Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Dec. 28, 2019 | Jan. 31, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Dec. 28, 2019 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | SYNA | |
Entity Registrant Name | SYNAPTICS INCORPORATED | |
Entity Central Index Key | 0000817720 | |
Current Fiscal Year End Date | --06-27 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 33,940,408 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false | |
Title of 12(b) Security | Common Stock, par value $.001 per share | |
Security Exchange Name | NASDAQ | |
Entity File Number | 000-49602 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 77-0118518 | |
Entity Address, Address Line One | 1251 McKay Drive | |
Entity Address, City or Town | San Jose | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 95131 | |
City Area Code | 408 | |
Local Phone Number | 904-1100 | |
Document Quarterly Report | true | |
Document Transition Report | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions | Dec. 31, 2019 | Jun. 30, 2019 |
Current Assets: | ||
Cash and cash equivalents | $ 424.8 | $ 327.8 |
Accounts receivable, net of allowances of $1.7 at December 31, 2019 and $2.1 at June 30, 2019 | 246.4 | 230 |
Inventories | 82.1 | 158.7 |
Current assets held for sale | 21 | |
Prepaid expenses and other current assets | 16.5 | 14.6 |
Total current assets | 790.8 | 731.1 |
Property and equipment at cost, net of accumulated depreciation of $134.2 and $133.1 at December 31, 2019 and June 30, 2019, respectively | 87.7 | 103 |
Non-current assets held for sale | 16.1 | |
Goodwill | 362.8 | 372.8 |
Acquired intangibles, net | 115.5 | 144.8 |
Non-current other assets | 84.3 | 58.1 |
Total assets | 1,457.2 | 1,409.8 |
Current Liabilities: | ||
Accounts payable | 88.9 | 98.3 |
Accrued compensation | 45.5 | 30.4 |
Income taxes payable | 17.5 | 19.1 |
Other accrued liabilities | 87.6 | 106.1 |
Total current liabilities | 239.5 | 253.9 |
Convertible notes, net | 477.4 | 468.3 |
Other long-term liabilities | 49 | 30.3 |
Total liabilities | 765.9 | 752.5 |
Stockholders' Equity: | ||
Common stock $0.001 par value; 120,000,000 shares authorized, 65,388,813 and 64,283,948 shares issued, and 33,898,937 and 33,349,735 shares outstanding, at December 31, 2019 and June 30, 2019, respectively | 0.1 | 0.1 |
Additional paid-in capital | 1,294.2 | 1,266.1 |
Treasury stock: 31,489,876 and 30,934,213 common treasury shares at December 31, 2019 and June 30, 2019, respectively, at cost | (1,209.4) | (1,192.4) |
Retained earnings | 606.4 | 583.5 |
Total stockholders' equity | 691.3 | 657.3 |
Liabilities and stockholders' equity | $ 1,457.2 | $ 1,409.8 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) (Unaudited) - USD ($) $ in Millions | Dec. 31, 2019 | Jun. 30, 2019 |
Statement Of Financial Position [Abstract] | ||
Allowance for doubtful accounts receivable | $ 1.7 | $ 2.1 |
Property and equipment, accumulated depreciation | $ 134.2 | $ 133.1 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 120,000,000 | 120,000,000 |
Common stock, shares issued | 65,388,813 | 64,283,948 |
Common stock, shares outstanding | 33,898,937 | 33,349,735 |
Common treasury shares | 31,489,876 | 30,934,213 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Unaudited) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Statement [Abstract] | ||||
Net revenue | $ 388.3 | $ 425.5 | $ 728.2 | $ 843.1 |
Cost of revenue | 229 | 275.7 | 442.7 | 552.4 |
Gross margin | 159.3 | 149.8 | 285.5 | 290.7 |
Operating expenses: | ||||
Research and development | 77 | 84.2 | 163 | 174.3 |
Selling, general, and administrative | 31.5 | 35.6 | 59 | 69.4 |
Acquired intangibles amortization | 3 | 2.9 | 5.9 | 5.8 |
Restructuring costs | 13.3 | 2.1 | 19.9 | 10.4 |
Total operating expenses | 124.8 | 124.8 | 247.8 | 259.9 |
Operating income | 34.5 | 25 | 37.7 | 30.8 |
Interest and other expense, net | (2.3) | (4.3) | (5.9) | (6.2) |
Income/(loss) before provision/(benefit) for income taxes and equity investment loss | 32.2 | 20.7 | 31.8 | 24.6 |
Provision/(benefit) for income taxes | 12 | 7.5 | 7.1 | 7.2 |
Equity investment loss | (0.4) | (0.4) | (0.9) | (0.8) |
Net income | $ 19.8 | $ 12.8 | $ 23.8 | $ 16.6 |
Net income per share: | ||||
Basic | $ 0.59 | $ 0.37 | $ 0.72 | $ 0.48 |
Diluted | $ 0.58 | $ 0.36 | $ 0.70 | $ 0.47 |
Shares used in computing net income per share: | ||||
Basic | 33.5 | 34.5 | 33.2 | 34.8 |
Diluted | 34.4 | 35.1 | 34.1 | 35.6 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 19.8 | $ 12.8 | $ 23.8 | $ 16.6 |
Other comprehensive income: | ||||
Change in unrealized net gain on investment | (1.5) | |||
Comprehensive income | $ 19.8 | $ 12.8 | $ 23.8 | $ 15.1 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Millions | Total | As Adjusted [Member] | Common Stock [Member] | Common Stock [Member]As Adjusted [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member]As Adjusted [Member] | Treasury Stock [Member] | Treasury Stock [Member]As Adjusted [Member] | Retained Earnings [Member] | Retained Earnings [Member]As Adjusted [Member] | Accumulated Other Comprehensive Income [Member] |
Balance, value at Jun. 30, 2018 | $ 729.3 | $ 0.1 | $ 1,195.2 | $ (1,073.9) | $ 606.4 | $ 1.5 | |||||
Balance, shares at Jun. 30, 2018 | 62,889,679 | ||||||||||
Net income | 3.8 | 3.8 | |||||||||
Other comprehensive income | (1.5) | (1.5) | |||||||||
Issuance of common stock for share- based award compensation plans | 2.1 | 2.1 | |||||||||
Issuance of common stock for share-based award compensation plans, shares | 140,379 | ||||||||||
Payroll taxes for deferred stock units | (0.9) | (0.9) | |||||||||
Purchases of treasury stock | (39.4) | (39.4) | |||||||||
Share-based compensation | 16.7 | 16.7 | |||||||||
Balance, value at Sep. 30, 2018 | 710.1 | $ 0.1 | 1,213.1 | (1,113.3) | 610.2 | ||||||
Balance, shares at Sep. 30, 2018 | 63,030,058 | ||||||||||
Balance, value at Jun. 30, 2018 | 729.3 | $ 0.1 | 1,195.2 | (1,073.9) | 606.4 | $ 1.5 | |||||
Balance, shares at Jun. 30, 2018 | 62,889,679 | ||||||||||
Net income | 16.6 | ||||||||||
Balance, value at Dec. 31, 2018 | 704.2 | $ 0.1 | 1,232.3 | (1,151.2) | 623 | ||||||
Balance, shares at Dec. 31, 2018 | 63,803,544 | ||||||||||
Balance, value at Sep. 30, 2018 | 710.1 | $ 0.1 | 1,213.1 | (1,113.3) | 610.2 | ||||||
Balance, shares at Sep. 30, 2018 | 63,030,058 | ||||||||||
Net income | 12.8 | 12.8 | |||||||||
Issuance of common stock for share- based award compensation plans | 9.3 | 9.3 | |||||||||
Issuance of common stock for share-based award compensation plans, shares | 773,486 | ||||||||||
Payroll taxes for deferred stock units | (6.3) | (6.3) | |||||||||
Purchases of treasury stock | (37.9) | (37.9) | |||||||||
Share-based compensation | 16.2 | 16.2 | |||||||||
Balance, value at Dec. 31, 2018 | 704.2 | $ 0.1 | 1,232.3 | (1,151.2) | 623 | ||||||
Balance, shares at Dec. 31, 2018 | 63,803,544 | ||||||||||
Balance, value at Jun. 30, 2019 | 657.3 | $ 656.4 | $ 0.1 | $ 0.1 | 1,266.1 | $ 1,266.1 | (1,192.4) | $ (1,192.4) | 583.5 | $ 582.6 | |
Balance, shares at Jun. 30, 2019 | 64,283,948 | 64,283,948 | |||||||||
Cumulative effect of changes in accounting principles at Jun. 30, 2019 | (0.9) | (0.9) | |||||||||
Net income | 4 | 4 | |||||||||
Issuance of common stock for share- based award compensation plans | 1.7 | 1.7 | |||||||||
Issuance of common stock for share-based award compensation plans, shares | 209,110 | ||||||||||
Payroll taxes for deferred stock units | (1.5) | (1.5) | |||||||||
Purchases of treasury stock | (17) | (17) | |||||||||
Share-based compensation | 11.2 | 11.2 | |||||||||
Balance, value at Sep. 30, 2019 | 654.8 | $ 0.1 | 1,277.5 | (1,209.4) | 586.6 | ||||||
Balance, shares at Sep. 30, 2019 | 64,493,058 | ||||||||||
Balance, value at Jun. 30, 2019 | 657.3 | $ 656.4 | $ 0.1 | $ 0.1 | 1,266.1 | $ 1,266.1 | (1,192.4) | $ (1,192.4) | 583.5 | $ 582.6 | |
Balance, shares at Jun. 30, 2019 | 64,283,948 | 64,283,948 | |||||||||
Cumulative effect of changes in accounting principles at Jun. 30, 2019 | (0.9) | (0.9) | |||||||||
Net income | 23.8 | ||||||||||
Balance, value at Dec. 31, 2019 | 691.3 | $ 0.1 | 1,294.2 | (1,209.4) | 606.4 | ||||||
Balance, shares at Dec. 31, 2019 | 65,388,813 | ||||||||||
Balance, value at Sep. 30, 2019 | 654.8 | $ 0.1 | 1,277.5 | (1,209.4) | 586.6 | ||||||
Balance, shares at Sep. 30, 2019 | 64,493,058 | ||||||||||
Net income | 19.8 | 19.8 | |||||||||
Issuance of common stock for share- based award compensation plans | 11.8 | 11.8 | |||||||||
Issuance of common stock for share-based award compensation plans, shares | 895,755 | ||||||||||
Payroll taxes for deferred stock units | (7.2) | (7.2) | |||||||||
Share-based compensation | 12.1 | 12.1 | |||||||||
Balance, value at Dec. 31, 2019 | $ 691.3 | $ 0.1 | $ 1,294.2 | $ (1,209.4) | $ 606.4 | ||||||
Balance, shares at Dec. 31, 2019 | 65,388,813 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 6 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities | ||
Net income | $ 23.8 | $ 16.6 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Share-based compensation costs | 23.3 | 32.9 |
Depreciation and amortization | 15.3 | 19.2 |
Acquired intangibles amortization | 29.3 | 38 |
Deferred taxes | (4.5) | |
Amortization of convertible debt discount and issuance costs | 9.1 | 8.7 |
Amortization of debt issuance costs | 0.2 | 0.3 |
Impairment recovery on investments | (2.8) | |
Acquired in-process research and development | 3.7 | |
Arbitration settlement | (1.9) | |
Equity investment loss | 0.9 | 0.8 |
Foreign currency remeasurement loss | (0.3) | 0.2 |
Changes in operating assets and liabilities, net of acquisitions: | ||
Accounts receivable, net | (16.4) | (31.7) |
Inventories | 55.6 | (14.5) |
Prepaid expenses and other current assets | (2.5) | (17) |
Other assets | 0.8 | 2.6 |
Accounts payable | (7.4) | 19.5 |
Accrued compensation | 15.1 | (2.2) |
Acquisition-related liabilities | (6.8) | |
Income taxes payable | (0.5) | (0.4) |
Other accrued liabilities | (30) | 6.5 |
Net cash provided by operating activities | 120 | 63.5 |
Cash flows from investing activities | ||
Purchase of in-process research and development | (2.5) | |
Proceeds from sales of investments | 2.8 | |
Purchases of property and equipment | (8.2) | (11.2) |
Net cash used in investing activities | (10.7) | (8.4) |
Cash flows from financing activities | ||
Purchases of treasury stock | (17) | (77.3) |
Proceeds from issuance of shares | 13.5 | 11.4 |
Payroll taxes for deferred stock and market stock units | (8.7) | (7.2) |
Net cash used in financing activities | (12.2) | (73.1) |
Effect of exchange rate changes on cash and cash equivalents | (0.1) | |
Net increase/(decrease) in cash and cash equivalents | 97 | (18) |
Cash and cash equivalents at beginning of period | 327.8 | 301 |
Cash and cash equivalents at end of period | 424.8 | 283 |
Supplemental disclosures of cash flow information | ||
Cash paid for taxes | 7.9 | 14.3 |
Cash refund on taxes | 1.3 | 5.2 |
Non-cash investing and financing activities: | ||
Purchases of property and equipment in current liabilities | $ 1.9 | $ 2.8 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | 1. Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission, or the SEC, and U.S. generally accepted accounting principles, or U.S. GAAP. Certain information or footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to SEC rules and regulations. In our opinion, the financial statements include all adjustments, which are of a normal and recurring nature and necessary for the fair presentation of the results of the interim periods presented. The results of operations for the interim periods are not necessarily indicative of the operating results for the full fiscal year or any future period. These financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in our Annual Report on Form 10-K for the fiscal year ended June 29, 2019. The consolidated financial statements include our financial statements and those of our wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated upon consolidation. Our fiscal year is the 52- or 53-week period ending on the last Saturday in June. Our fiscal 2020 is a 52-week period ending June 27, 2020, and our fiscal 2019 was a 52-week period ending on June 29, 2019. The fiscal periods presented in this report are 13- and 26-weeks for the three and six months ended December 28, 2019, and December 29, 2018. For simplicity, the accompanying condensed consolidated financial statements have been shown as ending on calendar quarter end dates as of and for all periods presented, unless otherwise indicated. Effective at the beginning of our first quarter of fiscal 2020, the quarter ended September 30, 2019, we adopted the requirements of Accounting Standards Update, or ASU, 2016-02, Leases, or Topic 842, issued by the Financial Accounting Standards Board, or FASB. Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue, expenses, and related disclosure of contingent assets and liabilities. On an ongoing basis, we evaluate our estimates, including those related to revenue recognition, allowance for doubtful accounts, cost of revenue, inventories, loss on purchase commitments, product warranty, accrued liabilities, share-based compensation costs, provision for income taxes, deferred income tax asset valuation allowances, uncertain tax positions, goodwill, intangible assets, investments and loss contingencies. We base our estimates on historical experience, applicable laws and regulations, and various other assumptions that we believe to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. Foreign Currency Transactions and Foreign Exchange Contracts The U.S. dollar is our functional and reporting currency. We remeasure our monetary assets and liabilities not denominated in the functional currency into U.S. dollar equivalents at the rate of exchange in effect on the balance sheet date. We measure and record non-monetary balance sheet accounts at the historical rate in effect at the date of transaction. We remeasure foreign currency expenses at the weighted average exchange rate in the month that the transaction occurred. Our foreign currency transactions and remeasurement gains and losses are included in selling, general, and administrative expenses in the condensed consolidated statements of income and resulted in net losses of $0.4 million and net gains of $0.1 million in the three and six months ended December 31, 2019, respectively, and net losses of $0.2 million and $0.6 million for the three and six months ended December 31, 2018, respectively. Leases We determine if a contract is a lease or contains a lease at the inception of the contract and reassess that conclusion if the contract is modified. All leases are assessed for classification as an operating lease or a finance lease. Operating lease right-of-use, or ROU, assets are included in non-current other assets on our condensed consolidated balance sheet. Operating lease liabilities are separated into a current portion, included within accrued liabilities on our condensed consolidated balance sheet, and a non-current portion, included within operating lease liabilities on our condensed consolidated balance sheet. We do not have any finance lease ROU assets or liabilities. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. We do not obtain and control the right to use the identified asset until the lease commencement date. Our lease liabilities are recognized at the applicable lease commencement date based on the present value of the lease payments required to be paid over the lease term. Because the interest rate implicit in the lease is not readily determinable, we generally use our incremental borrowing rate to discount the lease payments to present value. The estimated incremental borrowing rate is derived from information available at the lease commencement date. We factor in publicly available data for instruments with similar characteristics when calculating our incremental borrowing rates. Our ROU assets are also recognized at the applicable lease commencement date. The ROU asset equals the carrying amount of the related lease liability, adjusted for any lease payments made prior to lease commencement and lease incentives provided by the lessor. Variable lease payments are expensed as incurred and do not factor into the measurement of the applicable ROU asset or lease liability. The term of our leases equals the non-cancellable period of the lease, including any rent-free periods provided by the lessor, and also include options to renew or extend the lease (including by not terminating the lease) that we are reasonably certain to exercise. We establish the term of each lease at lease commencement and reassess that term in subsequent periods when one of the triggering events outlined in Topic 842 occurs. Operating lease cost for lease payments is recognized on a straight-line basis over the lease term. Our lease contracts often include lease and non-lease components. For our leases, we have elected the practical expedient offered by the standard to not separate lease from non-lease components and account for them as a single lease component. We have elected, for all classes of underlying assets, not to recognize ROU assets and lease liabilities for leases with a term of twelve months or less. Lease cost for short-term leases is recognized on a straight-line basis over the lease term. Asset Acquisition We acquired an emerging technology startup company focused on the design of high-speed connectivity products in August 2019. The purchase price primarily included $2.5 million in cash paid at the closing, and up to $6.5 million in contingent consideration which is payable in set amounts upon meeting various milestones on dates from December 2021 through December 2023. As of December 31, 2019, we have accrued $1.3 million of the contingent consideration as that is the portion which is currently estimable and probable. The acquisition was accounted for as an asset purchase and accordingly we expensed $3.7 million of in-process research and development, recorded liabilities of approximately $1.5 million and recorded a long-term deferred tax asset of $0.3 million in the six months ended December 31, 2019. Divestiture In December 2019, we entered into an asset purchase agreement with a third party to sell the assets of our LCD Touch Controller and Display Driver Integration product line, or TDDI, for LCD mobile displays. We will retain our automotive TDDI product line and our discrete touch and discrete display driver product lines supporting LCD and OLED for the mobile market. Subject to certain post-closing adjustments and indemnification obligations, the aggregate consideration payable by the buyer will be $120.0 million in cash, the dollar value of specified inventory at a purchase price of standard cost plus 5% in cash, and the assumption of certain liabilities as set forth in the asset purchase agreement. The transaction is expected to close in the fourth quarter of fiscal 2020, subject to satisfaction of certain closing conditions. The assets to be sold under the asset purchase agreement, have a carrying value of approximately $37.1 million as of December 31, 2019, and have been included as $21.0 million of current assets held for sale and $16.1 million of non-current assets held for sale in our condensed consolidated balance sheets. |
Impact of Recently Adopted Acco
Impact of Recently Adopted Accounting Pronouncements | 6 Months Ended |
Dec. 31, 2019 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Impact of Recently Adopted Accounting Pronouncements | 2. Impact of Recently Adopted Accounting Pronouncements On June 30, 2019, we adopted Accounting Standards Codification Topic 842, or ASC 842, Leases, which requires recognition of ROU assets and lease liabilities for most leases on our consolidated balance sheet. We adopted ASC 842 using a modified retrospective transition approach as of the effective date as permitted by ASC 842. As a result, we were not required to adjust our comparative period financial information for effects of the standard or make the new required lease disclosures for the periods before the date of adoption. We elected the package of practical expedients which allows us not to reassess (1) whether existing or expired contracts, as of the adoption date, contain leases, (2) the lease classification for existing leases, and (3) whether existing initial direct costs meet the new definition. We also elected the practical expedient to not separate lease and non-lease components for our leases, and to not recognize ROU assets and liabilities for short-term leases. The standard had a material impact on our condensed consolidated balance sheet but did not have a significant impact on our condensed consolidated statements of income or cash flows. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases. The adoption of this new standard at June 30, 2019, resulted in the following changes: • assets increased by $27.8 million, primarily representing the recognition of ROU assets for operating leases; and • liabilities increased by $28.4 million, primarily representing the recognition of lease liabilities for operating leases. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Dec. 31, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Revenue Recognition | 3. Revenue Recognition We adopted Accounting Standards Codification Topic 606, or ASC 606, Revenue from Contracts with Customers, at the beginning of our fiscal 2019. Our revenue is primarily generated from the sale of application specific integrated circuit chips, or ASIC chips, either directly to a customer or to a distributor. Revenues are recognized when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration we expect to receive in exchange for those goods or services. All of our revenue, except an inconsequential amount, is recognized at a point in time, either on shipment or delivery of the product, depending on customer terms and conditions. We generally warrant our products for a period of 12 months from the date of sale and estimate probable product warranty costs at the time we recognize revenue as the warranty is considered an assurance warranty and not a performance obligation. Non-product revenue is recognized over the same period of time such performance obligations are satisfied. We then select an appropriate method for measuring satisfaction of the performance obligations. Revenue from sales to distributors is recognized upon shipment of the product to the distributors (sell-in basis). Master sales agreements are in place with certain customers, and these agreements typically contain terms and conditions with respect to payment, delivery, warranty and supply. In the absence of a master sales agreement, we consider a customer's purchase order or our standard terms and conditions to be the contract with the customer. Our pricing terms are negotiated independently, on a stand-alone basis. In determining the transaction price, we evaluate whether the price is subject to refund or adjustment to determine the net consideration which we expect to receive for the sale of such products. In limited situations, we make sales to certain customers under arrangements where we grant stock rotation rights, price protection and price allowances; variable consideration associated with these rights is expected to be inconsequential. These adjustments and incentives are accounted for as variable consideration, classified as other current liabilities under the revenue standard, Our accounts receivable balance is from contracts with customers and represents our unconditional right to receive consideration from customers. Payments are generally due within three months $0 and the six months ended December 31, 2018 , we recognized $ million in revenue related to contract liabilities , which was outstanding as of the beginning of each such fiscal year . We invoice customers for each delivery upon shipment and recognize revenue in accordance with delivery terms. As of December 31, 2019, we did not have any remaining unsatisfied performance obligations with an original duration greater than one year. Accordingly, under the optional exception provided by ASC 606, we do not disclose revenues allocated to future performance obligations of partially completed contracts. We have elected to account for shipping and handling costs as fulfillment costs before the customer obtains control of the goods. We incur commission expense that is incremental to obtaining contracts with customers. Sales commissions (which are recorded as a selling, general and administrative expense in the condensed consolidated statements of income) are expensed when the product is shipped because such commissions are owed after shipment. Revenue from contracts with customers disaggregated by geographic area based on customer location and groups of similar products is presented in Note 14 Segment, Customers, and Geographical Information. |
Net Income Per Share
Net Income Per Share | 6 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | 4. Net Income Per Share The computation of basic and diluted net income per share was as follows (in millions, except per share data): Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 Numerator: Net income $ 19.8 $ 12.8 $ 23.8 $ 16.6 Denominator: Shares, basic 33.5 34.5 33.2 34.8 Effect of dilutive share-based awards 0.9 0.6 0.9 0.8 Shares, diluted 34.4 35.1 34.1 35.6 Net income per share: Basic $ 0.59 $ 0.37 $ 0.72 $ 0.48 Diluted $ 0.58 $ 0.36 $ 0.70 $ 0.47 Our basic net income per share amounts for each period presented have been computed using the weighted average number of shares of common stock outstanding over the period measured. Our diluted net income per share amounts for each period presented include the weighted average effect of potentially dilutive shares. We use the treasury stock method to determine the dilutive effect of our stock options, deferred stock units, or DSUs, market stock units, or MSUs, performance stock units, or PSUs, and our convertible notes. Dilutive net income per share amounts do not include the potential weighted average effect of 775,347 and 1,736,456 shares of common stock related to certain share-based awards that were outstanding during the three months ended December 31, 2019 and 2018, respectively, and 1,074,778 and 1,426,365 shares of common stock related to certain share-based awards that were outstanding during the six months ended December 31, 2019 and 2018, respectively. These share-based awards were not included in the computation of diluted net income per share because their effect would have been antidilutive. |
Fair Value
Fair Value | 6 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value | 5. Fair Value Our financial assets, measured at fair value on a recurring basis under the fair value hierarchy, consisted of money market funds within level 1 financial assets and totaled $400.9 million and $313.7 million as of December 31, 2019 and June 30, 2019, respectively. These money market funds were included in cash and cash equivalents in our condensed consolidated balance sheets. The fair values of our accounts receivable and accounts payable approximate their carrying values because of the short-term nature of those instruments. Intangible assets, property and equipment, and goodwill are measured at fair value on a non-recurring basis if impairment is indicated. |
Inventories
Inventories | 6 Months Ended |
Dec. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | 6. Inventories Inventories are stated at the lower of cost (first-in, first-out method) or net realizable value and consisted of the following (in millions): December 31, June 30, 2019 2019 Raw materials and work-in-progress $ 52.3 $ 110.7 Finished goods 29.8 48.0 $ 82.1 $ 158.7 We record a write-down, if necessary, to reduce the carrying value of inventory to its net realizable value. The effect of these write-downs is to establish a new cost basis in the related inventory, which we do not subsequently write up. We also record a liability and charge to cost of revenue for estimated losses on inventory we are obligated to purchase from our contract manufacturers when such losses become probable from customer delays, order cancellations, or other factors. As of December 31, 2019, we transferred $20.9 million of inventory to current assets held for sale. See Note 1 Basis of presentation under the heading Divestiture . |
Acquired Intangibles and Goodwi
Acquired Intangibles and Goodwill | 6 Months Ended |
Dec. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Acquired Intangibles and Goodwill | 7. Acquired Intangibles and Goodwill Acquired Intangibles The following table summarizes the life, the gross carrying value and the related accumulated amortization of our acquired intangible assets as of December 31, 2019 and June 30, 2019 (in millions): December 31, 2019 June 30, 2019 Weighted Average Life in Years Gross Carrying Value Accumulated Amortization Net Carrying Value Gross Carrying Value Accumulated Amortization Net Carrying Value Display driver technology 5.3 $ 164.0 $ (156.7 ) $ 7.3 $ 164.0 $ (148.1 ) $ 15.9 Audio and video technology 5.3 138.6 (62.9 ) 75.7 138.6 (49.4 ) 89.2 Customer relationships 4.1 81.8 (55.7 ) 26.1 81.8 (49.9 ) 31.9 Fingerprint authentication technology Not applicable — — — 47.2 (47.2 ) — Licensed technology and other 4.2 7.7 (4.6 ) 3.1 7.7 (3.6 ) 4.1 Patents 8.1 4.4 (2.3 ) 2.1 4.4 (2.0 ) 2.4 Tradename 7.0 1.8 (0.6 ) 1.2 1.8 (0.5 ) 1.3 Acquired intangibles, gross 3.1 $ 398.3 $ (282.8 ) $ 115.5 $ 445.5 $ (300.7 ) $ 144.8 The total amortization expense for the acquired intangible assets was $11.1 million and $18.0 million for the three months ended December 31, 2019 and 2018, respectively, and $29.3 million and $38.0 million for the six months ended December 31, 2019 and 2018, respectively. During the three months ended December 31, 2019 and 2018, $8.2 million and $15.1 million, respectively, and $23.5 million and $32.1 million for the six months ended December 31, 2019 and 2018, respectively, of amortization expense was included in our condensed consolidated statements of income in cost of revenue; the remainder was included in acquired intangibles amortization. The following table presents expected annual fiscal year aggregate amortization expense as of December 31, 2019 (in millions): Remainder of 2020 $ 22.1 2021 37.5 2022 32.9 2023 20.4 2024 2.5 2025 0.1 Future amortization $ 115.5 Goodwill Goodwill represents the excess of the purchase price over the fair value of net tangible and identifiable intangible assets acquired. There was no change in goodwill during the six months ended December 31, 2019. |
Leases
Leases | 6 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | 8. Leases Our leases mainly include our worldwide office and research and development facilities which are all classified as operating leases. Certain leases include renewal options that are under our discretion. The leases expire at various dates through fiscal year 2026, some of which include options to extend the lease for up to 5 years. For the six months ended December 31, 2019, we recorded approximately $4.7 million of operating leases expense. Our short-term leases are immaterial and we do not have finance leases. As of December 31, 2019, the components of leases and lease costs are as follows (in millions): December 31, 2019 Operating lease right-of-use assets $ 24.8 Operating lease liabilities $ 8.3 Operating lease liabilities, long-term 16.8 Total operating lease liabilities $ 25.1 Supplemental cash flow information related to leases is as follows (in millions): Six Months Ended December 31, 2019 Cash paid for operating leases included in operating cash flows $ 4.7 Supplemental non-cash information related to lease liabilities arising from obtaining right-of-use assets 1.5 As of December 31, 2019, the weighted average remaining lease term is 3.8 years, and the weighted average discount rate is 4.21%. Future minimum lease payments for the operating lease liabilities are as follows (in millions): Operating Lease Fiscal Year Payments Remainder of 2020 $ 4.7 2021 8.6 2022 5.8 2023 3.7 2024 2.5 Thereafter 1.8 Total future minimum operating lease payments 27.1 Less: interest (2.0 ) Total lease liabilities $ 25.1 As of the beginning of our fiscal quarter ended September 30, 2019, our aggregate minimum rental commitments for future fiscal years for non-cancelable operating leases with initial or remaining terms in excess of one year were as follows (in millions): Operating Lease Fiscal Year Payments 2020 $ 7.4 2021 3.2 2022 0.9 2023 0.3 2024 0.1 Total future minimum operating lease payments $ 11.9 |
Other Accrued Liabilities and O
Other Accrued Liabilities and Other Long-Term Liabilities | 6 Months Ended |
Dec. 31, 2019 | |
Payables And Accruals [Abstract] | |
Other Accrued Liabilities and Other Long-Term Liabilities | 9. Other Accrued Liabilities and Other Long-Term Liabilities Other accrued liabilities consisted of the following (in millions): December 31, June 30, 2019 2019 Customer Obligations $ 27.3 $ 52.0 Inventory obligations 27.1 26.7 Operating lease liabilities 8.3 — Warranty 4.0 4.0 Other 20.9 23.4 $ 87.6 $ 106.1 Other long-term liabilities consisted of the following (in millions): December 31, June 30, 2019 2019 Income taxes payable, long-term $ 17.1 $ 16.2 Operating lease liabilities, long-term 16.8 — Other 15.1 14.1 $ 49.0 $ 30.3 |
Indemnifications and Contingenc
Indemnifications and Contingencies | 6 Months Ended |
Dec. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Indemnifications and Contingencies | 10. Indemnifications and Contingencies Indemnifications In connection with certain agreements, we are obligated to indemnify the counterparty against third party claims alleging infringement of certain intellectual property rights by us. We have also entered into indemnification agreements with our officers and directors. Maximum potential future payments under these agreements cannot be estimated because these agreements generally do not have a maximum stated liability. However, historical costs related to these indemnification provisions have not been significant. We have not recorded any liability in our condensed consolidated financial statements for such indemnification obligations. Contingencies We have in the past, and may in the future, receive notices from third parties that claim our products infringe their intellectual property rights. We cannot be certain that our technologies and products do not and will not infringe issued patents or other proprietary rights of third parties. Any infringement claims, with or without merit, could result in significant litigation costs and diversion of management and financial resources, including the payment of damages, which could have a material adverse effect on our business, financial condition, and results of operations. |
Debt
Debt | 6 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Debt | 11. Debt Convertible Debt Our convertible debt consists of an original $525 million aggregate principal amount of 0.50% convertible senior notes due 2022, or the Notes, which were issued in a private placement transaction. The net proceeds from the Notes, after deducting discounts, were $514.5 million. The Notes bear interest at a rate of 0.50% per year, which is payable semi-annually in arrears, on June 15 and December 15 of each year. The Notes are senior unsecured obligations and rank senior in right of payment to any of our indebtedness that is expressly subordinated in right of payment to the Notes; equal in right of payment to any our liabilities that are not so subordinated; effectively junior in right of payment to any of our secured indebtedness to the extent of the value of the assets securing such indebtedness; and structurally junior to all indebtedness and other liabilities (including trade payables) of our subsidiaries. The Notes mature on June 15, 2022, or the Maturity Date, unless earlier repurchased, redeemed or converted. Holders may convert all or any portion of their Notes, in multiples of $1,000 principal amounts, at their option at any time prior to the close of business on the business day immediately preceding March 15, 2022 under certain defined circumstances. On or after March 15, 2022 until the close of business on the business day immediately preceding the Maturity Date, holders may convert all or any portion of their Notes, in multiples of $1,000 principal amounts, at the option of the holder. Upon conversion, we will pay or deliver, at our election, shares of common stock, cash, or a combination of cash and shares of common stock. The conversion rate for the Notes is initially 13.6947 shares of common stock per $1,000 principal amount of Notes (equivalent to an initial conversion price of approximately $73.02 per share of common stock). The conversion rate is subject to adjustment in certain circumstances. Upon the occurrence of a fundamental change (as defined in the Notes indenture), holders of the Notes may require us to repurchase for cash all or a portion of their Notes at a fundamental change repurchase price equal to 100% of the principal amount of the Notes to be repurchased, plus accrued and unpaid interest up to, but excluding, the fundamental change repurchase date. We may not redeem the Notes prior to June 20, 2020. We may redeem for cash all or any portion of the Notes, at our option, on or after June 20, 2020, if the last reported sale price of our common stock, as determined by us, has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which we provide notice of redemption at a redemption price equal to 100% of the principal amount of the Notes to be redeemed, plus accrued and unpaid interest up to, but excluding, the redemption date. Our policy is to settle the principal amount of our Notes with cash upon conversion or redemption. As of the issuance date of the Notes, we recorded $82.1 million of the principal amount to equity, representing the debt discount for the difference between our estimated nonconvertible debt borrowing rate of 4.39% and the coupon rate of the Notes of 0.50% using a five-year The contractual interest expense and amortization of discount on the Notes for the six months ended December 31, 2019, were as follows (in millions): Six Months Ended December 31, 2019 Interest expense $ 1.3 Amortization of discount and debt issuance costs 9.1 Total interest $ 10.4 The unamortized amounts of the debt issuance costs and discount associated with the Notes as of December 31, 2019, were $4.8 million and $42.8 million, respectively. Revolving Credit Facility In September 2017, we entered into an Amendment and Restatement Agreement, or the Agreement, with the lenders that are party thereto, or the Lenders, and Wells Fargo Bank, National Association, as administrative agent for the Lenders. The Agreement terminated our prior term loan arrangement and provides for a revolving credit facility in a principal amount of up to $200 million, which includes a $20 million sublimit for letters of credit and a $20 million sublimit for swingline loans. Under the terms of the Agreement, we may, subject to the satisfaction of certain conditions, request increases in the revolving credit facility commitments in an aggregate principal amount of up to $100 million to the extent existing or new lenders agree to provide such increased or additional commitments, as applicable. Proceeds under the revolving credit facility are available for working capital and general corporate purposes. As of December 31, 2019, there was no balance outstanding under the revolving credit facility. The revolving credit facility is required to be repaid in full on the earlier of (i) September 27, 2022, and (ii) the date 91 days prior to the Maturity Date of the Notes if the Notes have not been refinanced in full by such date. Debt issuance costs of $2.3 million relating to the revolving credit facility will be amortized over 60 months. Our obligations under the Agreement are guaranteed by the material domestic subsidiaries of our Company, subject to certain exceptions (such material subsidiaries, together with our Company, collectively, the Credit Parties). The obligations of the Credit Parties under the Agreement and the other loan documents delivered in connection therewith are secured by a first priority security interest in substantially all of the existing and future personal property of the Credit Parties, including, without limitation, 65% of the voting capital stock of certain of the Credit Parties’ direct foreign subsidiaries, subject to certain exceptions. The revolving credit facility bears interest at our election of a Base Rate plus an Applicable Margin or LIBOR plus an Applicable Margin. Swingline loans bear interest at a Base Rate plus an Applicable Margin. The Base Rate is a floating rate that is the greater of the Prime Rate, the Federal Funds Rate plus 50 basis points, or LIBOR plus 100 basis points. The Applicable Margin is based on a sliding scale which ranges from 0.25 to 100 basis points for Base Rate loans and 100 basis points to 175 basis points for LIBOR loans. We are required to pay a commitment fee on any unused commitments under the Agreement which is determined on a leverage-based sliding scale ranging from 0.175% to 0.25% per annum. Interest and fees are payable on a quarterly basis. The LIBOR index is expected to be discontinued at the end of 2021. Under our credit facility, when the LIBOR index is discontinued, we will switch to a comparable or successor rate as approved by the Administrative Agent, which is currently anticipated to be the Secured Overnight Financing Rate, or SOFR. Under the Agreement, there are various restrictive covenants, including three financial covenants which limit the consolidated total leverage ratio, or leverage ratio, the consolidated interest coverage ratio, or interest coverage ratio, a restriction which places a limit on the amount of capital expenditures that may be made in any fiscal year, a restriction that permits up to $50 million per fiscal quarter of accounts receivable financings, and sets the Specified Leverage Ratio. The leverage ratio is the ratio of debt as of the measurement date to earnings before interest, taxes, depreciation and amortization, or EBITDA, for the four consecutive quarters ending with the quarter of measurement. The current leverage ratio shall not exceed 3.50 to 1.00 provided that for the four fiscal quarters ending after the date of a material acquisition, such maximum leverage ratio shall be adjusted to 3.75 to 1.00, and thereafter, shall not be more than 3.50 to 1.00. The interest coverage ratio is EBITDA to interest expense for the four consecutive quarters ending with the quarter of measurement. The interest coverage ratio must not be less than 3.50 to 1.0 during the term of the Agreement. The Specified Leverage Ratio is the ratio used in determining, among other things, whether we are permitted to make dividends and/or prepay certain indebtedness, at a fixed ratio of 3.00 to 1.00. As of the end of the fiscal quarter, we were in compliance with the restrictive covenants. |
Share-Based Compensation
Share-Based Compensation | 6 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Compensation | 12. Share-Based Compensation Share-based compensation and the related tax benefit recognized in our condensed consolidated statements of income were as follows (in millions): Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 Cost of revenue $ 0.6 $ 0.8 $ 1.3 $ 1.7 Research and development 8.1 8.5 15.6 16.8 Selling, general, and administrative 6.4 6.9 9.4 14.4 Total $ 15.1 $ 16.2 $ 26.3 $ 32.9 Income tax expense/(benefit) on share-based compensation $ (1.8 ) $ 0.3 $ (2.7 ) $ (2.4 ) Included in the preceding table is share-based compensation for our cash-settled phantom stock units, which we granted in October 2019 (see Phantom Stock Units Three Months Ended December 31, 2019 Cost of revenue $ 0.1 Research and development 2.5 Selling, general, and administrative 0.4 Total $ 3.0 Historically, we have issued new shares in connection with our equity-settled share-based compensation plans, however, treasury shares are also available for issuance. Any additional shares repurchased under our common stock repurchase program will be available for issuance under our share-based compensation plans. New Share-Based Compensation Plans On October 29, 2019, our stockholders approved: (i) The 2019 Incentive Plan authorizes our board of directors to provide equity-based compensation in the form of stock options, stock appreciation rights, restricted stock, restricted stock units, cash incentive awards, performance shares, performance units, and other stock-based awards. The number of shares approved by stockholders under the 2019 Incentive Plan was 1,230,000. The 2019 ESPP authorizes the company to provide eligible employees with an opportunity to acquire an equity interest in the company through the purchase of stock at a discount, with an initial authorization of 1,500,000 shares. Effective August 19, 2019, we adopted the 2019 Inducement Equity Plan. 650,000 shares of our common stock have been reserved for issuance under the 2019 Inducement Equity Plan, subject to adjustment for stock dividends, stock splits, or other changes in our common stock or capital structure. The 2019 Inducement Equity Plan is intended to comply with Rule 5635(c)(4) of the Nasdaq Stock Market Listing Rules, which provide an exception to the Nasdaq Stock Market Listing Rules’ on the shareholder approval requirement for the issuance of securities with regards to grants to employees of the Company or its subsidiaries as an inducement material to such individuals entering into employment with the Company or its subsidiaries. An individual is eligible to receive an award under the 2019 Inducement Equity Plan only if he or she was not previously an employee or director of our company (or is returning to work after a bona-fide period of non-employment), and an award under the 2019 Inducement Equity Plan is a material inducement for him or her to accept employment with our company. Stock Options Stock option activity was as follows: Stock Weighted Aggregate Option Average Intrinsic Awards Exercise Value Outstanding Price (in millions) Balance as of June 30, 2019 1,191,929 $ 59.07 Granted — — Exercised (180,278 ) 34.43 Forfeited (99,108 ) 69.18 Balance as of December 31, 2019 912,543 62.84 $ 8.7 Exercisable at December 31, 2019 906,030 62.93 $ 8.6 The aggregate intrinsic value was determined using the closing price of our common stock on December 27, 2019 of $66.89 and excludes the impact of stock options that were not in-the-money. Deferred Stock Units DSU activity was as follows: Aggregate DSU Intrinsic Awards Value Outstanding (in millions) Balance as of June 30, 2019 1,878,853 Granted 600,711 Delivered (780,121 ) Forfeited (225,320 ) Balance as of December 31, 2019 1,474,123 $ 98.6 The aggregate intrinsic value was determined using the closing price of our common stock on December 27, 2019 of $66.89. Of the shares delivered, 184,466 shares valued at $7.4 million were withheld to meet statutory tax withholding requirements. Market Stock Units Our 2019 Incentive Plan and our Amended and Restated 2010 Incentive Compensation Plans provide for the grant of MSU awards to our employees, consultants, and directors, and our 2019 Inducement Equity Plan provides for the grant of MSU awards to certain of our employees. An MSU is a promise to deliver shares of our common stock at a future date based on the achievement of market-based performance requirements in accordance with the terms of the MSU grant agreement. We have granted MSUs to our executive officers and other management members under our Amended and Restated 2010 Incentive Compensation Plan, our 2019 Incentive Plan and our 2019 Inducement Equity Plan, which are designed to vest in three or four tranches with the target quantity for each tranche equal to one-third one-fourth one-year two-year three-year four-year two (100% + ([Synaptics TSR — {SPSISC Index TSR or SOX Index TSR}] x 2)) For MSUs vesting over three years, the payout for the first tranche and the second tranche will not exceed 100% and the payout for the third tranche will be calculated based on the total target quantity for the entire grant multiplied by the payout factor, based on performance for the three-year performance period, less shares issued for the first tranche and the second tranche. For MSUs vesting over four years, the payout for the first tranche, the second tranche and the third tranche will not exceed 100% and the payout for the fourth tranche will be calculated based on the total target quantity for the entire grant multiplied by the payout factor, based on performance for the four-year performance period, less shares issued for the first tranche, the second tranche and the third tranche. Delivery of shares earned, if any, will take place on the dates provided in the applicable MSU grant agreement, assuming the grantee is still an employee, consultant, or director of our company at the end of the applicable performance period. On the delivery date, we withhold shares to cover statutory tax withholding requirements and deliver a net quantity of shares to the employee, consultant, or director after such withholding. Until delivery of shares, the grantee has no rights as a stockholder with respect to any shares underlying the MSU award. MSU activity was as follows: Aggregate MSU Intrinsic Awards Value Outstanding (in millions) Balance as of June 30, 2019 210,732 Granted 328,599 Performance adjustment (58,707 ) Delivered (23,018 ) Forfeited (54,774 ) Balance as of December 31, 2019 402,832 $ 26.9 The aggregate intrinsic value was determined using the closing price of our common stock on December 27, 2019 of $66.89. We value MSUs using the Monte Carlo simulation model on the date of grant and amortize the compensation expense over the three- or four-year performance and service period on a straight-line basis. The unrecognized share-based compensation cost of our outstanding MSUs was approximately $19.4 million as of December 31, 2019, which will be recognized over a weighted average period of approximately 1.8 years. Performance Stock Units Our 2019 Incentive Plan and our Amended and Restated 2010 Incentive Compensation Plan provide for the grant of PSU awards to our employees, consultants, and directors. A PSU is a promise to deliver shares of our common stock at a future date based on the achievement of performance-based requirements in accordance with the terms of the PSU grant agreement. We have granted PSUs to our executive officers and other management members under our Amended and Restated 2010 Incentive Compensation Plan, our 2019 Incentive Plan and our 2019 Inducement Equity Plan, which are designed to vest in three tranches with the target quantity for each tranche equal to one-third Delivery of shares earned, if any, will take place on the dates provided in the applicable PSU grant agreement, assuming the grantee is still an employee, consultant, or director of our company at the end of the applicable service period. On the delivery date, we withhold shares to cover statutory tax withholding requirements and deliver a net quantity of shares to the employee, consultant, or director after such withholding. Until delivery of shares, the grantee has no rights as a stockholder with respect to any shares underlying the PSU award. PSU activity was as follows: Aggregate PSU Intrinsic Awards Value Outstanding (in millions) Balance as of June 30, 2019 192,618 Awarded 328,023 Performance adjustment (10,242 ) Released (61,668 ) Forfeited (70,441 ) Balance as of December 31, 2019 378,290 $ 25.3 The aggregate intrinsic value was determined using the closing price of our common stock on December 27, 2019 of $66.89. We value PSUs using the aggregate intrinsic value on the date of grant adjusted for estimated performance achievement during the performance period and amortize the compensation expense over the three-year Phantom Stock Units The 2019 Incentive Plan authorizes the grant of phantom stock units to non-employee directors, officers and employees. We initially granted phantom stock units in October 2019. Phantom stock units are cash-settled and entitle the recipient to receive a cash payment equal to the value of a single share for each unit based on the average closing share price of our stock over the thirty calendar days prior to the vesting date. Grants of phantom stock units vest over three years, with an annual vesting date of October 31 each year subsequent to the grant date. We recognize compensation expense for phantom stock units on a straight-line basis for each tranche of each award based on the average closing price of our common stock over the thirty calendar days ended prior to each balance sheet date. The outstanding phantom stock units had a fair value of $62.02 per unit at December 31, 2019 and our accrued liability for such units was $3.0 million. Phantom stock activity was as follows: Aggregate Phantom Intrinsic Stock Units Value Outstanding (in millions) Granted 953,305 Forfeited (45,496 ) Balance as of December 31, 2019 907,809 $ 60.7 The aggregate intrinsic value was determined using the closing price of our common stock on December 27, 2019 of $66.89. The unrecognized share-based compensation cost of our outstanding phantom stock units was approximately $53.3 million as of December 31, 2019, which will be recognized over a weighted average period of approximately 2.8 years. Employee Stock Purchase Plan Shares purchased, weighted average purchase price, cash received, and the aggregate intrinsic value for employee stock purchase plan purchases during the six months ended December 31, 2019 were as follows (in millions, except for shares purchased and weighted average price): Shares purchased 275,473 Weighted average purchase price $ 25.86 Cash received $ 7.1 Aggregate intrinsic value $ 9.5 |
Income Taxes
Income Taxes | 6 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 13. Income Taxes We account for income taxes under the asset and liability method. The provision for income taxes recorded in interim periods is recorded by applying the estimated annual effective tax rate to year-to-date income before provision for income taxes, excluding the effects of significant unusual or infrequently occurring discrete items. The tax effects of discrete items are recorded in the same period that the related discrete items are reported and results in a difference between the actual effective tax rate and the estimated annual effective tax rate. The provision for income taxes of $12.0 million and $7.5 million for the three months ended December 31, 2019 and 2018, respectively, represented estimated federal, foreign, and state income taxes. The effective tax rate for the three months ended December 31, 2019 diverged from the combined U.S. federal and state statutory tax rate primarily because of foreign withholding taxes and global intangible low-taxed income, or GILTI, partially offset by the benefit of research credits, foreign tax credits and income taxed at lower tax rates. The effective tax rate for the three months ended December 31, 2018, diverged from the combined U.S. federal and state statutory tax rate, primarily because of foreign withholding taxes, nondeductible amortization, the impact of net shortfalls in share-based compensation deductions and GILTI, partially offset by the benefit of research credits, foreign tax credits, foreign-derived intangible income deduction, release of reserves related to uncertain tax positions and foreign income taxed at lower tax rates. The provision for income taxes of $7.1 million and $7.2 million for the six months ended December 31, 2019 and 2018, respectively, represented estimated federal, foreign, and state income taxes. The effective tax rate for the six months ended December 31, 2019 diverged from the combined U.S. federal and state statutory tax rate primarily because of foreign withholding taxes and GILTI, partially offset by the benefit of research credits, foreign tax credits and foreign income taxed at lower tax rates. The effective tax rate for the six months ended December 31, 2018, diverged from the combined U.S. federal and state statutory tax rate, primarily due to foreign withholding taxes, nondeductible amortization, the impact of net shortfalls in share-based compensation deductions and GILTI, partially offset by the benefit of research credits, foreign tax credits, foreign-derived intangible income deduction, excess share-based compensation deductions, release of reserves related to uncertain tax positions and foreign income taxed at lower tax rates. The total liability for gross unrecognized tax benefits related to uncertain tax positions increased $1.9 million during the six months ended December 31, 2019, to $20.8 million from $18.9 million at June 30, 2019, and was included in other long-term liabilities on our condensed consolidated balance sheets. If recognized, the total gross unrecognized tax benefits would reduce the effective tax rate on income from continuing operations. Accrued interest and penalties related to unrecognized tax benefits as of December 31, 2019 were $1.9 million; this balance changed less than $0.1 million compared to June 30, 2019. We classify interest and penalties as components of income tax expense. It is reasonably possible that the amount of the liability for unrecognized tax benefits may change within the next twelve months and an estimate of the range of possible changes includes an increase in our liability of up to $2.6 million. In June 2019, the U.S. Ninth Circuit Court of Appeals reversed the 2015 decision of the U.S. Tax Court in Altera Corp. v. Commissioner which found that the Treasury regulations addressing the treatment of stock-based compensation in a cost-sharing arrangement with a related party were invalid. As our tax filing position is consistent with the Treasury regulations, no adjustment to our financial statements is required. However, due to uncertainties with respect to the ultimate resolution of this case, we will continue to monitor developments in this case. Our major tax jurisdictions are the United States, Hong Kong SAR, and Japan. From fiscal 2013 onward, we remain subject to examination by one or more of these jurisdictions. In August 2018, we received the revenue agent’s report resolving the fiscal 2014 and fiscal 2015 examination by the Internal Revenue Service with no material impact on our condensed consolidated financial statements. Our case was reviewed by the Joint Committee on Taxation, which concluded in September 2019 with no further impact to our condensed consolidated financial statements. |
Segment, Customers, and Geograp
Segment, Customers, and Geographic Information | 6 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Segment, Customers, and Geographic Information | 14. Segment, Customers, and Geographic Information We operate in one segment: the development, marketing, and sale of semiconductor products used in electronic devices and products. We generate our revenue from three broad product categories: the Mobile product market, the personal computing, or PC, product market, and the Internet of Things, or IoT, product market. We sell our products to original equipment manufacturers, or OEMs, and to contract manufacturers that provide manufacturing services to OEMs. Net revenue within geographic areas based on our customers’ locations for the periods presented was as follows (in millions): Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 China $ 138.2 $ 251.7 $ 315.0 $ 479.5 Japan 149.5 78.0 212.7 146.5 Taiwan 56.4 61.0 121.6 137.4 South Korea 21.6 11.7 38.0 31.8 Other 20.5 13.9 37.0 29.3 United States 2.1 9.2 3.9 18.6 $ 388.3 $ 425.5 $ 728.2 $ 843.1 Net revenue from our customers for each group of similar products was as follows (in millions): Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 Mobile product applications $ 217.7 $ 274.4 $ 402.0 $ 537.1 PC product applications 81.6 63.9 149.4 132.5 IoT product applications 89.0 87.2 176.8 173.5 $ 388.3 $ 425.5 $ 728.2 $ 843.1 Net revenue from major customers as a percentage of total net revenue for the periods presented was as follows: Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 Customer A 21% * 15% * Customer B 13% * 11% * Customer C * 20% * 19% Customer D * 14% * 12% * Less than 10% We extend credit based on evaluation of a customer’s financial condition, and we generally do not require collateral. Major customer accounts receivable as a percentage of total accounts receivable were as follows: December 31, June 30, 2019 2019 Customer A 21% * Customer B 16% * Customer C 11% 25% Customer D * 16% * Less than 10% |
Comprehensive Income
Comprehensive Income | 6 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Comprehensive Income | 1 5 . Comprehensive Income Our comprehensive income generally consists of net income plus the effect of unrealized gains and losses on our investments, primarily due to temporary changes in market value of certain of our auction rate securities, or ARS, investments. In addition, we recognize the noncredit portion of other-than-temporary impairment on debt securities in other comprehensive income. We recognize foreign currency remeasurement adjustments and foreign currency transaction gains and losses in our condensed consolidated statements of income as the U.S. dollar is the functional currency of our foreign entities. |
Restructuring Activities
Restructuring Activities | 6 Months Ended |
Dec. 31, 2019 | |
Restructuring And Related Activities [Abstract] | |
Restructuring Activities | 16. Restructuring Activities In November 2019, we committed to and initiated activities to restructure and further improve efficiencies in our operational activities to align our cost structure consistent with our revenue levels. Restructuring costs related to the November 2019 restructuring activities were recorded to the restructuring costs line item within our condensed consolidated statements of income. These costs related to severance costs for a reduction in headcount. The activities relating to the November 2019 restructuring action are expected to be complete by the end of fiscal 2020. The restructuring liability activities relating to the November 2019 initiated activity during fiscal 2020 were as follows (in millions): Employee Severance and Benefits Accruals $ 13.3 Cash payments (5.7 ) Balance as of December 31, 2019 $ 7.6 In August 2018, we committed to and initiated a restructuring of our mobile fingerprint optical business. The costs for this restructuring activity primarily related to severance costs for a reduction in headcount and related costs. These activities were complete as of June 30, 2019. In June 2019, we committed to and initiated a restructuring action intended to reduce our operating cost structure further. The costs for this restructuring action primarily related to severance costs for a reduction in headcount. Restructuring costs related to these fiscal 2019 restructuring activities were recorded to the restructuring costs line item within our condensed consolidated statements of income. The activities relating to the June 2019 restructuring action are complete as of December 31, 2019. The restructuring liability for the fiscal 2019 initiated activity during fiscal 2019 and the six months ended December 31, 2019 were as follows (in millions): Employee Severance and Benefits Accruals $ 17.7 Cash payments (12.5 ) Balance as of June 30, 2019 5.2 Accruals 7.5 Cash payments (11.1 ) Balance as of December 31, 2019 $ 1.6 |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue, expenses, and related disclosure of contingent assets and liabilities. On an ongoing basis, we evaluate our estimates, including those related to revenue recognition, allowance for doubtful accounts, cost of revenue, inventories, loss on purchase commitments, product warranty, accrued liabilities, share-based compensation costs, provision for income taxes, deferred income tax asset valuation allowances, uncertain tax positions, goodwill, intangible assets, investments and loss contingencies. We base our estimates on historical experience, applicable laws and regulations, and various other assumptions that we believe to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. |
Foreign Currency Transactions and Foreign Exchange Contracts | Foreign Currency Transactions and Foreign Exchange Contracts The U.S. dollar is our functional and reporting currency. We remeasure our monetary assets and liabilities not denominated in the functional currency into U.S. dollar equivalents at the rate of exchange in effect on the balance sheet date. We measure and record non-monetary balance sheet accounts at the historical rate in effect at the date of transaction. We remeasure foreign currency expenses at the weighted average exchange rate in the month that the transaction occurred. Our foreign currency transactions and remeasurement gains and losses are included in selling, general, and administrative expenses in the condensed consolidated statements of income and resulted in net losses of $0.4 million and net gains of $0.1 million in the three and six months ended December 31, 2019, respectively, and net losses of $0.2 million and $0.6 million for the three and six months ended December 31, 2018, respectively. |
Leases | Leases We determine if a contract is a lease or contains a lease at the inception of the contract and reassess that conclusion if the contract is modified. All leases are assessed for classification as an operating lease or a finance lease. Operating lease right-of-use, or ROU, assets are included in non-current other assets on our condensed consolidated balance sheet. Operating lease liabilities are separated into a current portion, included within accrued liabilities on our condensed consolidated balance sheet, and a non-current portion, included within operating lease liabilities on our condensed consolidated balance sheet. We do not have any finance lease ROU assets or liabilities. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. We do not obtain and control the right to use the identified asset until the lease commencement date. Our lease liabilities are recognized at the applicable lease commencement date based on the present value of the lease payments required to be paid over the lease term. Because the interest rate implicit in the lease is not readily determinable, we generally use our incremental borrowing rate to discount the lease payments to present value. The estimated incremental borrowing rate is derived from information available at the lease commencement date. We factor in publicly available data for instruments with similar characteristics when calculating our incremental borrowing rates. Our ROU assets are also recognized at the applicable lease commencement date. The ROU asset equals the carrying amount of the related lease liability, adjusted for any lease payments made prior to lease commencement and lease incentives provided by the lessor. Variable lease payments are expensed as incurred and do not factor into the measurement of the applicable ROU asset or lease liability. The term of our leases equals the non-cancellable period of the lease, including any rent-free periods provided by the lessor, and also include options to renew or extend the lease (including by not terminating the lease) that we are reasonably certain to exercise. We establish the term of each lease at lease commencement and reassess that term in subsequent periods when one of the triggering events outlined in Topic 842 occurs. Operating lease cost for lease payments is recognized on a straight-line basis over the lease term. Our lease contracts often include lease and non-lease components. For our leases, we have elected the practical expedient offered by the standard to not separate lease from non-lease components and account for them as a single lease component. We have elected, for all classes of underlying assets, not to recognize ROU assets and lease liabilities for leases with a term of twelve months or less. Lease cost for short-term leases is recognized on a straight-line basis over the lease term. |
Asset Acquisition | Asset Acquisition We acquired an emerging technology startup company focused on the design of high-speed connectivity products in August 2019. The purchase price primarily included $2.5 million in cash paid at the closing, and up to $6.5 million in contingent consideration which is payable in set amounts upon meeting various milestones on dates from December 2021 through December 2023. As of December 31, 2019, we have accrued $1.3 million of the contingent consideration as that is the portion which is currently estimable and probable. The acquisition was accounted for as an asset purchase and accordingly we expensed $3.7 million of in-process research and development, recorded liabilities of approximately $1.5 million and recorded a long-term deferred tax asset of $0.3 million in the six months ended December 31, 2019. |
Divestiture | Divestiture |
Impact of Recently Adopted Accounting Pronouncements | Impact of Recently Adopted Accounting Pronouncements On June 30, 2019, we adopted Accounting Standards Codification Topic 842, or ASC 842, Leases, which requires recognition of ROU assets and lease liabilities for most leases on our consolidated balance sheet. We adopted ASC 842 using a modified retrospective transition approach as of the effective date as permitted by ASC 842. As a result, we were not required to adjust our comparative period financial information for effects of the standard or make the new required lease disclosures for the periods before the date of adoption. We elected the package of practical expedients which allows us not to reassess (1) whether existing or expired contracts, as of the adoption date, contain leases, (2) the lease classification for existing leases, and (3) whether existing initial direct costs meet the new definition. We also elected the practical expedient to not separate lease and non-lease components for our leases, and to not recognize ROU assets and liabilities for short-term leases. The standard had a material impact on our condensed consolidated balance sheet but did not have a significant impact on our condensed consolidated statements of income or cash flows. The most significant impact was the recognition of ROU assets and lease liabilities for operating leases. The adoption of this new standard at June 30, 2019, resulted in the following changes: • assets increased by $27.8 million, primarily representing the recognition of ROU assets for operating leases; and • liabilities increased by $28.4 million, primarily representing the recognition of lease liabilities for operating leases. |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 6 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Net Income Per Share | The computation of basic and diluted net income per share was as follows (in millions, except per share data): Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 Numerator: Net income $ 19.8 $ 12.8 $ 23.8 $ 16.6 Denominator: Shares, basic 33.5 34.5 33.2 34.8 Effect of dilutive share-based awards 0.9 0.6 0.9 0.8 Shares, diluted 34.4 35.1 34.1 35.6 Net income per share: Basic $ 0.59 $ 0.37 $ 0.72 $ 0.48 Diluted $ 0.58 $ 0.36 $ 0.70 $ 0.47 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Dec. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories are stated at the lower of cost (first-in, first-out method) or net realizable value and consisted of the following (in millions): December 31, June 30, 2019 2019 Raw materials and work-in-progress $ 52.3 $ 110.7 Finished goods 29.8 48.0 $ 82.1 $ 158.7 |
Acquired Intangibles and Good_2
Acquired Intangibles and Goodwill (Tables) | 6 Months Ended |
Dec. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Life, Gross Carrying Value and Related Accumulated Amortization of Acquired Intangible Assets | The following table summarizes the life, the gross carrying value and the related accumulated amortization of our acquired intangible assets as of December 31, 2019 and June 30, 2019 (in millions): December 31, 2019 June 30, 2019 Weighted Average Life in Years Gross Carrying Value Accumulated Amortization Net Carrying Value Gross Carrying Value Accumulated Amortization Net Carrying Value Display driver technology 5.3 $ 164.0 $ (156.7 ) $ 7.3 $ 164.0 $ (148.1 ) $ 15.9 Audio and video technology 5.3 138.6 (62.9 ) 75.7 138.6 (49.4 ) 89.2 Customer relationships 4.1 81.8 (55.7 ) 26.1 81.8 (49.9 ) 31.9 Fingerprint authentication technology Not applicable — — — 47.2 (47.2 ) — Licensed technology and other 4.2 7.7 (4.6 ) 3.1 7.7 (3.6 ) 4.1 Patents 8.1 4.4 (2.3 ) 2.1 4.4 (2.0 ) 2.4 Tradename 7.0 1.8 (0.6 ) 1.2 1.8 (0.5 ) 1.3 Acquired intangibles, gross 3.1 $ 398.3 $ (282.8 ) $ 115.5 $ 445.5 $ (300.7 ) $ 144.8 |
Schedule of Expected Annual Aggregate Amortization Expense | The following table presents expected annual fiscal year aggregate amortization expense as of December 31, 2019 (in millions): Remainder of 2020 $ 22.1 2021 37.5 2022 32.9 2023 20.4 2024 2.5 2025 0.1 Future amortization $ 115.5 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Schedule of Components of Leases and Lease Costs | As of December 31, 2019, the components of leases and lease costs are as follows (in millions): December 31, 2019 Operating lease right-of-use assets $ 24.8 Operating lease liabilities $ 8.3 Operating lease liabilities, long-term 16.8 Total operating lease liabilities $ 25.1 |
Schedule of Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases is as follows (in millions): Six Months Ended December 31, 2019 Cash paid for operating leases included in operating cash flows $ 4.7 Supplemental non-cash information related to lease liabilities arising from obtaining right-of-use assets 1.5 |
Schedule of Future Minimum Lease Payments for Operating Leases | As of December 31, 2019, the weighted average remaining lease term is 3.8 years, and the weighted average discount rate is 4.21%. Future minimum lease payments for the operating lease liabilities are as follows (in millions): Operating Lease Fiscal Year Payments Remainder of 2020 $ 4.7 2021 8.6 2022 5.8 2023 3.7 2024 2.5 Thereafter 1.8 Total future minimum operating lease payments 27.1 Less: interest (2.0 ) Total lease liabilities $ 25.1 |
Schedule of Aggregate Minimum Rental Commitments for Non-cancelable Operating Leases | As of the beginning of our fiscal quarter ended September 30, 2019, our aggregate minimum rental commitments for future fiscal years for non-cancelable operating leases with initial or remaining terms in excess of one year were as follows (in millions): Operating Lease Fiscal Year Payments 2020 $ 7.4 2021 3.2 2022 0.9 2023 0.3 2024 0.1 Total future minimum operating lease payments $ 11.9 |
Other Accrued Liabilities and_2
Other Accrued Liabilities and Other Long-Term Liabilities (Tables) | 6 Months Ended |
Dec. 31, 2019 | |
Payables And Accruals [Abstract] | |
Other Accrued Liabilities | Other accrued liabilities consisted of the following (in millions): December 31, June 30, 2019 2019 Customer Obligations $ 27.3 $ 52.0 Inventory obligations 27.1 26.7 Operating lease liabilities 8.3 — Warranty 4.0 4.0 Other 20.9 23.4 $ 87.6 $ 106.1 |
Other Long-Term Liabilities | Other long-term liabilities consisted of the following (in millions): December 31, June 30, 2019 2019 Income taxes payable, long-term $ 17.1 $ 16.2 Operating lease liabilities, long-term 16.8 — Other 15.1 14.1 $ 49.0 $ 30.3 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Contractual Interest Expense and Amortization of Discount on Notes | The contractual interest expense and amortization of discount on the Notes for the six months ended December 31, 2019, were as follows (in millions): Six Months Ended December 31, 2019 Interest expense $ 1.3 Amortization of discount and debt issuance costs 9.1 Total interest $ 10.4 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 6 Months Ended |
Dec. 31, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Share-Based Compensation, Cash-Based Awards and Related Tax Benefit Recognized in Condensed Consolidated Statements of Operations | Share-based compensation and the related tax benefit recognized in our condensed consolidated statements of income were as follows (in millions): Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 Cost of revenue $ 0.6 $ 0.8 $ 1.3 $ 1.7 Research and development 8.1 8.5 15.6 16.8 Selling, general, and administrative 6.4 6.9 9.4 14.4 Total $ 15.1 $ 16.2 $ 26.3 $ 32.9 Income tax expense/(benefit) on share-based compensation $ (1.8 ) $ 0.3 $ (2.7 ) $ (2.4 ) |
Schedule of Stock Option Activity | Stock option activity was as follows: Stock Weighted Aggregate Option Average Intrinsic Awards Exercise Value Outstanding Price (in millions) Balance as of June 30, 2019 1,191,929 $ 59.07 Granted — — Exercised (180,278 ) 34.43 Forfeited (99,108 ) 69.18 Balance as of December 31, 2019 912,543 62.84 $ 8.7 Exercisable at December 31, 2019 906,030 62.93 $ 8.6 |
Shares Purchased, Weighted Average Purchase Price, Cash Received, and Aggregate Intrinsic Value for ESPP | Shares purchased, weighted average purchase price, cash received, and the aggregate intrinsic value for employee stock purchase plan purchases during the six months ended December 31, 2019 were as follows (in millions, except for shares purchased and weighted average price): Shares purchased 275,473 Weighted average purchase price $ 25.86 Cash received $ 7.1 Aggregate intrinsic value $ 9.5 |
Phantom Stock Unit [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Share-Based Compensation, Cash-Based Awards and Related Tax Benefit Recognized in Condensed Consolidated Statements of Operations | Included in the preceding table is share-based compensation for our cash-settled phantom stock units, which we granted in October 2019 (see Phantom Stock Units Three Months Ended December 31, 2019 Cost of revenue $ 0.1 Research and development 2.5 Selling, general, and administrative 0.4 Total $ 3.0 |
Schedule of Stock Units Activity | Phantom stock activity was as follows: Aggregate Phantom Intrinsic Stock Units Value Outstanding (in millions) Granted 953,305 Forfeited (45,496 ) Balance as of December 31, 2019 907,809 $ 60.7 |
Deferred stock units outstanding [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Schedule of Stock Units Activity | DSU activity was as follows: Aggregate DSU Intrinsic Awards Value Outstanding (in millions) Balance as of June 30, 2019 1,878,853 Granted 600,711 Delivered (780,121 ) Forfeited (225,320 ) Balance as of December 31, 2019 1,474,123 $ 98.6 |
Market stock units outstanding [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Schedule of Stock Units Activity | MSU activity was as follows: Aggregate MSU Intrinsic Awards Value Outstanding (in millions) Balance as of June 30, 2019 210,732 Granted 328,599 Performance adjustment (58,707 ) Delivered (23,018 ) Forfeited (54,774 ) Balance as of December 31, 2019 402,832 $ 26.9 |
Performance stock units outstanding [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Schedule of Stock Units Activity | PSU activity was as follows: Aggregate PSU Intrinsic Awards Value Outstanding (in millions) Balance as of June 30, 2019 192,618 Awarded 328,023 Performance adjustment (10,242 ) Released (61,668 ) Forfeited (70,441 ) Balance as of December 31, 2019 378,290 $ 25.3 |
Segment, Customers, and Geogr_2
Segment, Customers, and Geographic Information (Tables) | 6 Months Ended |
Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |
Net Revenue within Geographic Areas Based on Customers' Locations | Net revenue within geographic areas based on our customers’ locations for the periods presented was as follows (in millions): Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 China $ 138.2 $ 251.7 $ 315.0 $ 479.5 Japan 149.5 78.0 212.7 146.5 Taiwan 56.4 61.0 121.6 137.4 South Korea 21.6 11.7 38.0 31.8 Other 20.5 13.9 37.0 29.3 United States 2.1 9.2 3.9 18.6 $ 388.3 $ 425.5 $ 728.2 $ 843.1 |
Net Revenue from External Customers | Net revenue from our customers for each group of similar products was as follows (in millions): Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 Mobile product applications $ 217.7 $ 274.4 $ 402.0 $ 537.1 PC product applications 81.6 63.9 149.4 132.5 IoT product applications 89.0 87.2 176.8 173.5 $ 388.3 $ 425.5 $ 728.2 $ 843.1 |
Sales Revenue, Net [Member] | |
Segment Reporting Information [Line Items] | |
Major Customers as Percentage of Net Revenue | Net revenue from major customers as a percentage of total net revenue for the periods presented was as follows: Three Months Ended Six Months Ended December 31, December 31, 2019 2018 2019 2018 Customer A 21% * 15% * Customer B 13% * 11% * Customer C * 20% * 19% Customer D * 14% * 12% * Less than 10% |
Accounts Receivable [Member] | |
Segment Reporting Information [Line Items] | |
Major Customers as Percentage of Net Revenue | Major customer accounts receivable as a percentage of total accounts receivable were as follows: December 31, June 30, 2019 2019 Customer A 21% * Customer B 16% * Customer C 11% 25% Customer D * 16% * Less than 10% |
Restructuring Activities (Table
Restructuring Activities (Tables) | 6 Months Ended |
Dec. 31, 2019 | |
Restructuring And Related Activities [Abstract] | |
Restructuring Liability Activities | The restructuring liability activities relating to the November 2019 initiated activity during fiscal 2020 were as follows (in millions): Employee Severance and Benefits Accruals $ 13.3 Cash payments (5.7 ) Balance as of December 31, 2019 $ 7.6 The restructuring liability for the fiscal 2019 initiated activity during fiscal 2019 and the six months ended December 31, 2019 were as follows (in millions): Employee Severance and Benefits Accruals $ 17.7 Cash payments (12.5 ) Balance as of June 30, 2019 5.2 Accruals 7.5 Cash payments (11.1 ) Balance as of December 31, 2019 $ 1.6 |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Basis Of Presentation [Line Items] | |||||
Net gain (loss) on foreign currency transactions | $ (0.4) | $ (0.2) | $ 0.1 | $ (0.6) | |
Purchase price included in cash | 2.5 | ||||
Assets acquired accrued Contingent Consideration | $ 1.3 | 1.3 | 1.3 | ||
Research and development expenses | 3.7 | ||||
Liabilities recorded in acquisition | 1.5 | 1.5 | $ 1.5 | ||
Period for amount payable upon meeting milestones | December 2021 through December 2023 | ||||
Long-term deferred tax asset | 0.3 | 0.3 | $ 0.3 | ||
Assets held for sale | 37.1 | 37.1 | 37.1 | ||
Current assets held for sale | 21 | 21 | 21 | ||
Non-current assets held for sale | 16.1 | 16.1 | 16.1 | ||
Asset Purchase Agreement [Member] | |||||
Basis Of Presentation [Line Items] | |||||
Cash consideration receivable on divestiture of business | $ 120 | ||||
Percentage of purchase price of inventory | 5.00% | ||||
Business divestiture closing | fourth quarter of fiscal 2020 | ||||
Contingent Consideration Milestones Payable Dates from December 2021 through December 2023 [Member] | |||||
Basis Of Presentation [Line Items] | |||||
Purchase price in contingent consideration | $ 6.5 | $ 6.5 | $ 6.5 |
Impact of Recently Adopted Ac_2
Impact of Recently Adopted Accounting Pronouncements - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2019 | Jun. 30, 2019 |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | ||
Operating lease right-of-use assets | $ 24.8 | $ 27.8 |
Operating lease, liability | $ 25.1 | $ 28.4 |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Detail) - USD ($) | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2019 | |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||
Contract asset | $ 800,000 | $ 900,000 | |
Contract liability | 5,900,000 | 4,500,000 | |
Refund liability | 21,400,000 | $ 47,500,000 | |
Revenue recognized related to contract liabilities | $ 300,000 | $ 300,000 | |
Description of payment terms in contract with customer | Payments are generally due within three months of completion of the performance obligation and subsequent invoicing and therefore, do not include significant financing components. | ||
Accounting Standards Update 2014-09 [Member] | |||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||
Remaining unsatisfied performance obligation | $ 0 | ||
Maximum [Member] | |||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||
Revenue, performance obligation, payment terms | 3 months |
Net Income Per Share - Computat
Net Income Per Share - Computation of Basic and Diluted Net Income Per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Numerator: | ||||||
Net income | $ 19.8 | $ 4 | $ 12.8 | $ 3.8 | $ 23.8 | $ 16.6 |
Denominator: | ||||||
Shares, basic | 33.5 | 34.5 | 33.2 | 34.8 | ||
Effect of dilutive share-based awards | 0.9 | 0.6 | 0.9 | 0.8 | ||
Shares, diluted | 34.4 | 35.1 | 34.1 | 35.6 | ||
Net income per share: | ||||||
Basic | $ 0.59 | $ 0.37 | $ 0.72 | $ 0.48 | ||
Diluted | $ 0.58 | $ 0.36 | $ 0.70 | $ 0.47 |
Net Income Per Share - Addition
Net Income Per Share - Additional Information (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-Based Awards [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Common shares that were not included in computation of diluted net income per share | 775,347 | 1,736,456 | 1,074,778 | 1,426,365 |
Fair Value - Additional Informa
Fair Value - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2019 | Jun. 30, 2019 |
Level 1 [Member] | Money Market Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Available-for-sale securities, debt securities | $ 400.9 | $ 313.7 |
Inventories - Inventories (Deta
Inventories - Inventories (Detail) - USD ($) $ in Millions | Dec. 31, 2019 | Jun. 30, 2019 |
Inventory Disclosure [Abstract] | ||
Raw materials and work-in-progress | $ 52.3 | $ 110.7 |
Finished goods | 29.8 | 48 |
Total Inventories | $ 82.1 | $ 158.7 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) $ in Millions | 6 Months Ended |
Dec. 31, 2019USD ($) | |
Inventory Disclosure [Abstract] | |
Transfer of inventory to current assets held for sale | $ 20.9 |
Acquired Intangibles and Good_3
Acquired Intangibles and Goodwill - Summary of Life, Gross Carrying Value and Related Accumulated Amortization of Acquired Intangible Assets (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Dec. 31, 2019 | Jun. 30, 2019 | |
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangibles, Gross Carrying Value | $ 398.3 | $ 445.5 |
Acquired intangibles, Accumulated Amortization | (282.8) | (300.7) |
Acquired intangibles, Net Carrying Value | $ 115.5 | 144.8 |
Weighted Average Life in Years | 3 years 1 month 6 days | |
Display Driver Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangibles, Gross Carrying Value | $ 164 | 164 |
Acquired intangibles, Accumulated Amortization | (156.7) | (148.1) |
Acquired intangibles, Net Carrying Value | $ 7.3 | 15.9 |
Weighted Average Life in Years | 5 years 3 months 18 days | |
Audio and Video Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangibles, Gross Carrying Value | $ 138.6 | 138.6 |
Acquired intangibles, Accumulated Amortization | (62.9) | (49.4) |
Acquired intangibles, Net Carrying Value | $ 75.7 | 89.2 |
Weighted Average Life in Years | 5 years 3 months 18 days | |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangibles, Gross Carrying Value | $ 81.8 | 81.8 |
Acquired intangibles, Accumulated Amortization | (55.7) | (49.9) |
Acquired intangibles, Net Carrying Value | $ 26.1 | 31.9 |
Weighted Average Life in Years | 4 years 1 month 6 days | |
Fingerprint Authentication Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangibles, Gross Carrying Value | 47.2 | |
Acquired intangibles, Accumulated Amortization | (47.2) | |
Licensed Technology and Other [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangibles, Gross Carrying Value | $ 7.7 | 7.7 |
Acquired intangibles, Accumulated Amortization | (4.6) | (3.6) |
Acquired intangibles, Net Carrying Value | $ 3.1 | 4.1 |
Weighted Average Life in Years | 4 years 2 months 12 days | |
Patents [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangibles, Gross Carrying Value | $ 4.4 | 4.4 |
Acquired intangibles, Accumulated Amortization | (2.3) | (2) |
Acquired intangibles, Net Carrying Value | $ 2.1 | 2.4 |
Weighted Average Life in Years | 8 years 1 month 6 days | |
Tradename [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangibles, Gross Carrying Value | $ 1.8 | 1.8 |
Acquired intangibles, Accumulated Amortization | (0.6) | (0.5) |
Acquired intangibles, Net Carrying Value | $ 1.2 | $ 1.3 |
Weighted Average Life in Years | 7 years |
Acquired Intangibles and Good_4
Acquired Intangibles and Goodwill - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Acquired intangibles amortization | $ 11,100,000 | $ 18,000,000 | $ 29,300,000 | $ 38,000,000 |
Changes in goodwill | 0 | |||
Cost of Revenue [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Acquired intangibles amortization | $ 8,200,000 | $ 15,100,000 | $ 23,500,000 | $ 32,100,000 |
Acquired Intangibles and Good_5
Acquired Intangibles and Goodwill - Schedule of Expected Annual Aggregate Amortization Expense (Detail) - USD ($) $ in Millions | Dec. 31, 2019 | Jun. 30, 2019 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
Remainder of 2020 | $ 22.1 | |
2021 | 37.5 | |
2022 | 32.9 | |
2023 | 20.4 | |
2024 | 2.5 | |
2025 | 0.1 | |
Acquired intangibles, Net Carrying Value | $ 115.5 | $ 144.8 |
Leases - Additional Information
Leases - Additional Information (Detail) $ in Millions | 6 Months Ended |
Dec. 31, 2019USD ($) | |
Lessee Lease Description [Line Items] | |
Lease Option to Extend | The leases expire at various dates through fiscal year 2026, some of which include options to extend the lease for up to 5 years. |
Lease Expiration Year. | 2026 |
Lessee, Operating Lease, Existence of Option to Extend | true |
Operating Leases, Expense | $ 4.7 |
Operating Lease, Weighted Average Remaining Lease Term | 3 years 9 months 18 days |
Operating Lease, Weighted Average Discount Rate, Percent | 4.21% |
Maximum [Member] | |
Lessee Lease Description [Line Items] | |
Duration of Extending leases | 5 years |
Leases - Schedule of Components
Leases - Schedule of Components of Leases and Lease Costs (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Jun. 30, 2019 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 24.8 | $ 27.8 |
Operating lease liabilities | 8.3 | |
Operating lease liabilities, long-term | 16.8 | |
Total operating lease liabilities | $ 25.1 |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Cash Flow Information Related to Leases (Details) $ in Millions | 6 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Cash paid for operating leases included in operating cash flows | $ 4.7 |
Supplemental non-cash information related to lease liabilities arising from obtaining right-of-use assets | $ 1.5 |
Leases - Schedule of Future Min
Leases - Schedule of Future Minimum Lease Payments for Operating Leases (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 |
Leases [Abstract] | |||
Remainder of 2020 | $ 4.7 | ||
2021 | 8.6 | ||
2022 | 5.8 | ||
2023 | 3.7 | ||
2024 | 2.5 | ||
Thereafter | 1.8 | ||
Total | 27.1 | ||
Less: interest | (2) | ||
Total lease liabilities | $ 25.1 | $ 28.4 | |
Total | $ 11.9 |
Leases - Aggregate Minimum Rent
Leases - Aggregate Minimum Rental Commitments for Non-cancelable Operating Leases (Details) $ in Millions | Sep. 30, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 7.4 |
2021 | 3.2 |
2022 | 0.9 |
2023 | 0.3 |
2024 | 0.1 |
Total | $ 11.9 |
Other Accrued Liabilities and_3
Other Accrued Liabilities and Other Long-Term Liabilities - Other Accrued Liabilities (Detail) - USD ($) $ in Millions | Dec. 31, 2019 | Jun. 30, 2019 |
Payables And Accruals [Abstract] | ||
Customer Obligations | $ 27.3 | $ 52 |
Inventory obligations | 27.1 | 26.7 |
Operating lease liabilities | 8.3 | |
Warranty | 4 | 4 |
Other | 20.9 | 23.4 |
Other accrued liabilities | $ 87.6 | $ 106.1 |
Other Accrued Liabilities and_4
Other Accrued Liabilities and Other Long-Term Liabilities - Other Long-Term Liabilities (Detail) - USD ($) $ in Millions | Dec. 31, 2019 | Jun. 30, 2019 |
Payables And Accruals [Abstract] | ||
Income taxes payable, long-term | $ 17.1 | $ 16.2 |
Operating lease liabilities, long-term | 16.8 | |
Other | 15.1 | 14.1 |
Other long-term liabilities | $ 49 | $ 30.3 |
Debt - Additional Information (
Debt - Additional Information (Detail) | 6 Months Ended | |
Dec. 31, 2019USD ($)Day$ / sharesshares | Sep. 30, 2017USD ($) | |
Debt Instrument [Line Items] | ||
Percentage of voting capital stock | 65.00% | |
0.50% Convertible Senior Notes due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Debt instrument aggregate principal amounts | $ 525,000,000 | |
Net proceeds from issuance of convertible debt | $ 514,500,000 | |
Interest rates on borrowings | 0.50% | |
Debt instrument maturity date | Jun. 15, 2022 | |
Conversion of notes in multiples of principal amounts | $ 1,000 | |
Convertible number of shares, principal amount of notes | shares | 13.6947 | |
Initial conversion price per share of common stock | $ / shares | $ 73.02 | |
Note repurchase price, percentage of principal amount of notes | 100.00% | |
Sale price of common stock, minimum threshold percentage | 130.00% | |
Sale of common stock, threshold trading days | Day | 20 | |
Sale of common stock, threshold consecutive trading days | Day | 30 | |
Equity component of the principal amount of the convertible debt | $ 82,100,000 | |
Nonconvertible debt borrowing rate | 4.39% | |
Debt instrument term | 5 years | |
Debt issuance costs | $ 11,100,000 | |
Initial purchaser's discount | 10,500,000 | |
Legal, accounting, and printing costs | 579,000 | |
Convertible debt issuance costs pro rata to equity components | 1,900,000 | |
Convertible debt issuance costs pro rata to debt components | $ 9,200,000 | |
Debt amortization period | 5 years | |
Unamortized amounts of debt issuance costs | $ 4,800,000 | |
Unamortized amounts of debt discount | $ 42,800,000 | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Debt amortization period | 60 months | |
Line of credit facility amount | $ 200,000,000 | |
Line of credit facility allowable requests for additional borrowing | 100,000,000 | |
Outstanding principal amount | $ 0 | |
Maturity period | Sep. 27, 2022 | |
Repayment date, description | The revolving credit facility is required to be repaid in full on the earlier of (i) September 27, 2022, and (ii) the date 91 days prior to the Maturity Date of the Notes if the Notes have not been refinanced in full by such date. | |
Debt issuance cost | $ 2,300,000 | |
Description of base rate | The revolving credit facility bears interest at our election of a Base Rate plus an Applicable Margin or LIBOR plus an Applicable Margin. Swingline loans bear interest at a Base Rate plus an Applicable Margin. The Base Rate is a floating rate that is the greater of the Prime Rate, the Federal Funds Rate plus 50 basis points, or LIBOR plus 100 basis points. The Applicable Margin is based on a sliding scale which ranges from 0.25 to 100 basis points for Base Rate loans and 100 basis points to 175 basis points for LIBOR loans. | |
Covenant description | Under the Agreement, there are various restrictive covenants, including three financial covenants which limit the consolidated total leverage ratio, or leverage ratio, the consolidated interest coverage ratio, or interest coverage ratio, a restriction which places a limit on the amount of capital expenditures that may be made in any fiscal year, a restriction that permits up to $50 million per fiscal quarter of accounts receivable financings, and sets the Specified Leverage Ratio. The leverage ratio is the ratio of debt as of the measurement date to earnings before interest, taxes, depreciation and amortization, or EBITDA, for the four consecutive quarters ending with the quarter of measurement. The current leverage ratio shall not exceed 3.50 to 1.00 provided that for the four fiscal quarters ending after the date of a material acquisition, such maximum leverage ratio shall be adjusted to 3.75 to 1.00, and thereafter, shall not be more than 3.50 to 1.00. The interest coverage ratio is EBITDA to interest expense for the four consecutive quarters ending with the quarter of measurement. The interest coverage ratio must not be less than 3.50 to 1.0 during the term of the Agreement. The Specified Leverage Ratio is the ratio used in determining, among other things, whether we are permitted to make dividends and/or prepay certain indebtedness, at a fixed ratio of 3.00 to 1.00. As of the end of the fiscal quarter, we were in compliance with the restrictive covenants | |
Maximum accounts receivable financings per quarter | $ 50,000,000 | |
Maximum leverage ratio permitted | 3.50% | |
Minimum interest coverage ratio | 3.50% | |
Fixed coverage ratio | 3.00% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | For The First Four Fiscal Quarters Ending After Date of Material Acquisition [Member] | ||
Debt Instrument [Line Items] | ||
Maximum leverage ratio permitted | 3.75% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | Thereafter [Member] | ||
Debt Instrument [Line Items] | ||
Maximum leverage ratio permitted | 3.50% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | Federal Funds Rates [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 0.50% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.00% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Commitment fee percentage of unused portion | 0.175% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | Minimum [Member] | LIBOR [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.00% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | Minimum [Member] | Base Rate [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 0.0025% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Commitment fee percentage of unused portion | 0.25% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | Maximum [Member] | LIBOR [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.75% | |
Amendment and Restatement Agreement [Member] | Revolving Credit Facility [Member] | Maximum [Member] | Base Rate [Member] | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.00% | |
Amendment and Restatement Agreement [Member] | Letter of Credit [Member] | ||
Debt Instrument [Line Items] | ||
Line of credit facility amount | 20,000,000 | |
Amendment and Restatement Agreement [Member] | Bridge Loan [Member] | ||
Debt Instrument [Line Items] | ||
Line of credit facility amount | $ 20,000,000 |
Debt - Schedule of Contractual
Debt - Schedule of Contractual Interest Expense and Amortization of Discount on Notes (Detail) - 0.50% Convertible Senior Notes due 2022 [Member] $ in Millions | 6 Months Ended |
Dec. 31, 2019USD ($) | |
Debt Instrument [Line Items] | |
Interest expense | $ 1.3 |
Amortization of discount and debt issuance costs | 9.1 |
Total interest | $ 10.4 |
Share-Based Compensation - Shar
Share-Based Compensation - Share-Based Compensation, Cash-Based Awards and Related Tax Benefit Recognized in Condensed Consolidated Statements of Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total | $ 15.1 | $ 16.2 | $ 26.3 | $ 32.9 |
Income tax expense/(benefit) on share-based compensation | (1.8) | 0.3 | (2.7) | (2.4) |
Phantom Stock Unit [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total | 3 | |||
Cost of Revenue [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total | 0.6 | 0.8 | 1.3 | 1.7 |
Cost of Revenue [Member] | Phantom Stock Unit [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total | 0.1 | |||
Research and Development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total | 8.1 | 8.5 | 15.6 | 16.8 |
Research and Development [Member] | Phantom Stock Unit [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total | 2.5 | |||
Selling, General, and Administrative [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total | 6.4 | $ 6.9 | $ 9.4 | $ 14.4 |
Selling, General, and Administrative [Member] | Phantom Stock Unit [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total | $ 0.4 |
Share-Based Compensation - New
Share-Based Compensation - New Stock-Based Compensation Plans - Additional Information (Detail) - shares | Oct. 29, 2019 | Aug. 19, 2019 |
2019 Incentive Plan [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Number of shares approved by stockholders | 1,230,000 | |
2019 Inducement Equity Plan [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Common stock reserved for issuance | 650,000 | |
Employee Stock Purchase Plan [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Number of shares authorized to purchase | 1,500,000 |
Share-Based Compensation - Sche
Share-Based Compensation - Schedule of Stock Option Activity (Detail) $ / shares in Units, $ in Millions | 6 Months Ended |
Dec. 31, 2019USD ($)$ / sharesshares | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock Option Awards Outstanding, Balance as of June 30, 2019 | shares | 1,191,929 |
Stock Option Awards Outstanding, Exercised | shares | (180,278) |
Stock Option Awards Outstanding, Forfeited | shares | (99,108) |
Stock Option Awards Outstanding, Balance as of December 31, 2019 | shares | 912,543 |
Stock Option Awards Outstanding, Exercisable at December 31, 2019 | shares | 906,030 |
Weighted Average Exercise Price, Balance as of June 30, 2019 | $ / shares | $ 59.07 |
Weighted Average Exercise Price, Exercised | $ / shares | 34.43 |
Weighted Average Exercise Price, Forfeited | $ / shares | 69.18 |
Weighted Average Exercise Price, Balance as of December 31, 2019 | $ / shares | 62.84 |
Weighted Average Exercise Price, Exercisable at December 31, 2019 | $ / shares | $ 62.93 |
Aggregate Intrinsic Value, Balance as of December 31, 2019 | $ | $ 8.7 |
Aggregate Intrinsic Value, Exercisable at December 31, 2019 | $ | $ 8.6 |
Share-Based Compensation - Stoc
Share-Based Compensation - Stock Options - Additional Information (Detail) | Dec. 27, 2019$ / shares |
Stock option outstanding [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Closing price of common stock used to calculate Aggregate intrinsic value of stock option outstanding | $ 66.89 |
Share-Based Compensation - Sc_2
Share-Based Compensation - Schedule of Stock Units Activity (Detail) $ in Millions | 6 Months Ended |
Dec. 31, 2019USD ($)shares | |
Deferred stock units outstanding [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock Unit Awards Outstanding, Balance as of June 30, 2019 | 1,878,853 |
Stock Unit Awards, Granted | 600,711 |
Stock Unit Awards, Delivered | (780,121) |
Stock Unit Awards, Forfeited | (225,320) |
Stock Unit Awards Outstanding, Balance as of December 31, 2019 | 1,474,123 |
Aggregate Intrinsic Value, Balance as of December 31, 2019 | $ | $ 98.6 |
Market stock units outstanding [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock Unit Awards Outstanding, Balance as of June 30, 2019 | 210,732 |
Stock Unit Awards, Granted | 328,599 |
Stock Unit Awards, Performance adjustment | (58,707) |
Stock Unit Awards, Delivered | (23,018) |
Stock Unit Awards, Forfeited | (54,774) |
Stock Unit Awards Outstanding, Balance as of December 31, 2019 | 402,832 |
Aggregate Intrinsic Value, Balance as of December 31, 2019 | $ | $ 26.9 |
Performance stock units outstanding [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock Unit Awards Outstanding, Balance as of June 30, 2019 | 192,618 |
Stock Unit Awards, Granted | 328,023 |
Stock Unit Awards, Performance adjustment | (10,242) |
Stock Unit Awards, Delivered | (61,668) |
Stock Unit Awards, Forfeited | (70,441) |
Stock Unit Awards Outstanding, Balance as of December 31, 2019 | 378,290 |
Aggregate Intrinsic Value, Balance as of December 31, 2019 | $ | $ 25.3 |
Phantom Stock Unit [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock Unit Awards, Granted | 953,305 |
Stock Unit Awards, Forfeited | (45,496) |
Stock Unit Awards Outstanding, Balance as of December 31, 2019 | 907,809 |
Aggregate Intrinsic Value, Balance as of December 31, 2019 | $ | $ 60.7 |
Share-Based Compensation - Defe
Share-Based Compensation - Deferred Stock Units - Additional Information (Detail) - Deferred stock units outstanding [Member] - USD ($) $ / shares in Units, $ in Millions | 6 Months Ended | |
Dec. 31, 2019 | Dec. 27, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Closing price of common stock used to calculate Aggregate intrinsic value of stock option outstanding | $ 66.89 | |
Shares withheld to meet statutory minimum tax withholding requirements | 184,466 | |
Shares valued withheld to meet statutory minimum tax withholding requirements | $ 7.4 |
Share-Based Compensation - Mark
Share-Based Compensation - Market Stock Units - Additional Information (Detail) - Market stock units outstanding [Member] - USD ($) $ / shares in Units, $ in Millions | 6 Months Ended | |
Dec. 31, 2019 | Dec. 27, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout adjustment ratio | 200.00% | |
Closing price of common stock used to calculate Aggregate intrinsic value of stock option outstanding | $ 66.89 | |
Unrecognized share-based compensation cost | $ 19.4 | |
Unrecognized share-based compensation, period for recognition | 1 year 9 months 18 days | |
Minimum [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout range | 0.00% | |
Maximum [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout range | 200.00% | |
Share-based Compensation Award, First Tranche [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Vesting period of the underlying awards | 1 year | |
Vesting percentage of the underlying awards | 33.33% | |
Share-based Compensation Award, First Tranche [Member] | Maximum [Member] | Three Year Performance | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout range | 100.00% | |
Share-based Compensation Award, First Tranche [Member] | Maximum [Member] | Four Year Performance | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout range | 100.00% | |
Share-based Compensation Award, Second Tranche [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Vesting period of the underlying awards | 2 years | |
Vesting percentage of the underlying awards | 33.33% | |
Share-based Compensation Award, Second Tranche [Member] | Maximum [Member] | Three Year Performance | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout range | 100.00% | |
Share-based Compensation Award, Second Tranche [Member] | Maximum [Member] | Four Year Performance | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout range | 100.00% | |
Share-based Compensation Award, Third Tranche [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Vesting period of the underlying awards | 3 years | |
Vesting percentage of the underlying awards | 33.33% | |
Share-based Compensation Award, Third Tranche [Member] | Maximum [Member] | Four Year Performance | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout range | 100.00% | |
Share-based Compensation Award, Fourth Tranche [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Vesting period of the underlying awards | 4 years | |
Vesting percentage of the underlying awards | 25.00% |
Share-Based Compensation - Perf
Share-Based Compensation - Performance Stock Units - Additional Information (Detail) - Performance stock units outstanding [Member] - USD ($) $ / shares in Units, $ in Millions | 6 Months Ended | |
Dec. 31, 2019 | Dec. 27, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Vesting period of the underlying awards | 3 years | |
Vesting percentage of the underlying awards | 33.33% | |
Closing price of common stock used to calculate Aggregate intrinsic value of stock option outstanding | $ 66.89 | |
Requisite service period | 3 years | |
Unrecognized share-based compensation cost | $ 21 | |
Unrecognized share-based compensation, period for recognition | 1 year 8 months 12 days | |
Minimum [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout range | 0.00% | |
Threshold percentage of earnings per share to trigger pay out | 65.00% | |
Maximum [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Potential payout range | 200.00% | |
Threshold percentage of earnings per share to trigger pay out | 135.00% |
Share-Based Compensation - Phan
Share-Based Compensation - Phantom Stock Units - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 27, 2019 | Jun. 30, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Fair value of outstanding stock units | $ 62.84 | $ 59.07 | |
Phantom Stock Unit [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Vesting period of the underlying awards | 3 years | ||
Fair value of outstanding stock units | $ 62.02 | ||
Accrued liability for outstanding stock units | $ 3 | ||
Closing price of common stock used to calculate Aggregate intrinsic value of stock option outstanding | $ 66.89 | ||
Unrecognized share-based compensation cost | $ 53.3 | ||
Unrecognized share-based compensation, period for recognition | 2 years 9 months 18 days |
Share-Based Compensation - Sh_2
Share-Based Compensation - Shares Purchased, Weighted Average Purchase Price, Cash Received, and Aggregate Intrinsic Value for ESPP (Detail) $ / shares in Units, $ in Millions | 6 Months Ended |
Dec. 31, 2019USD ($)$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Aggregate intrinsic value | $ 8.7 |
Employee Stock Purchase Plan [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Shares purchased | shares | 275,473 |
Weighted average purchase price | $ / shares | $ 25.86 |
Cash received | $ 7.1 |
Aggregate intrinsic value | $ 9.5 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2019 | |
Income Tax Disclosure [Line Items] | |||||
Provision/(benefit) for income taxes | $ 12 | $ 7.5 | $ 7.1 | $ 7.2 | |
Gross unrecognized tax benefits | 20.8 | 20.8 | $ 18.9 | ||
Gross unrecognized tax benefits increased (decreased) during the year | 1.9 | ||||
Interest and penalties accrued related to unrecognized tax benefits | 1.9 | 1.9 | |||
Increase (decrease) in interest and penalties accrued related to unrecognized tax benefits | (0.1) | ||||
Maximum [Member] | |||||
Income Tax Disclosure [Line Items] | |||||
Estimated increase in unrecognized tax benefit in next twelve months | $ 2.6 | $ 2.6 |
Segment, Customers, and Geogr_3
Segment, Customers, and Geographic Information - Additional Information (Detail) | 6 Months Ended |
Dec. 31, 2019SegmentProduct | |
Segment Reporting [Abstract] | |
Number of operating segments | Segment | 1 |
Number of product | Product | 3 |
Segment, Customers, and Geogr_4
Segment, Customers, and Geographic Information - Net Revenue within Geographic Areas Based on Customers' Locations (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenue | $ 388.3 | $ 425.5 | $ 728.2 | $ 843.1 |
China [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenue | 138.2 | 251.7 | 315 | 479.5 |
Japan [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenue | 149.5 | 78 | 212.7 | 146.5 |
Taiwan [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenue | 56.4 | 61 | 121.6 | 137.4 |
South Korea [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenue | 21.6 | 11.7 | 38 | 31.8 |
Other [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenue | 20.5 | 13.9 | 37 | 29.3 |
United States [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Net revenue | $ 2.1 | $ 9.2 | $ 3.9 | $ 18.6 |
Segment, Customers, and Geogr_5
Segment, Customers, and Geographic Information - Net Revenue from External Customers (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue from External Customer [Line Items] | ||||
Net revenue | $ 388.3 | $ 425.5 | $ 728.2 | $ 843.1 |
Mobile Product Applications [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Net revenue | 217.7 | 274.4 | 402 | 537.1 |
PC Product Applications [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Net revenue | 81.6 | 63.9 | 149.4 | 132.5 |
Internet of Things Product Applications [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Net revenue | $ 89 | $ 87.2 | $ 176.8 | $ 173.5 |
Segment, Customers, and Geogr_6
Segment, Customers, and Geographic Information - Major Customers as Percentage of Net Revenue (Detail) - Sales Revenue, Net [Member] - Customer Concentration Risk [Member] | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Customer A [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Concentration Risk, Percentage | 21.00% | 15.00% | ||
Customer B [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Concentration Risk, Percentage | 13.00% | 11.00% | ||
Customer C [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Concentration Risk, Percentage | 20.00% | 19.00% | ||
Customer D [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Concentration Risk, Percentage | 14.00% | 12.00% |
Segment, Customers, and Geogr_7
Segment, Customers, and Geographic Information - Major Customers as Percentage of Net Revenue (Parenthetical) (Detail) | 6 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Customer Concentration Risk [Member] | Sales Revenue, Net [Member] | Maximum [Member] | ||
Revenue, Major Customer [Line Items] | ||
Concentration Risk, Percentage | 10.00% | 10.00% |
Segment, Customers, and Geogr_8
Segment, Customers, and Geographic Information - Major Customer Accounts Receivable as Percentage of Accounts Receivable (Detail) - Accounts Receivable [Member] - Credit Concentration Risk [Member] | 6 Months Ended | 12 Months Ended |
Dec. 31, 2019 | Jun. 30, 2019 | |
Customer A [Member] | ||
Revenue, Major Customer [Line Items] | ||
Concentration Risk, Percentage | 21.00% | |
Customer B [Member] | ||
Revenue, Major Customer [Line Items] | ||
Concentration Risk, Percentage | 16.00% | |
Customer C [Member] | ||
Revenue, Major Customer [Line Items] | ||
Concentration Risk, Percentage | 11.00% | 25.00% |
Customer D [Member] | ||
Revenue, Major Customer [Line Items] | ||
Concentration Risk, Percentage | 16.00% |
Segment, Customers, and Geogr_9
Segment, Customers, and Geographic Information - Major Customer Accounts Receivable as Percentage of Accounts Receivable (Parenthetical) (Detail) | 6 Months Ended | 12 Months Ended |
Dec. 31, 2019 | Jun. 30, 2019 | |
Customer Concentration Risk [Member] | Accounts Receivable [Member] | Maximum [Member] | ||
Revenue, Major Customer [Line Items] | ||
Concentration Risk, Percentage | 10.00% | 10.00% |
Restructuring Activities - Rest
Restructuring Activities - Restructuring Liability Activities (Detail) - Employee Severance and Benefits [Member] - USD ($) $ in Millions | 2 Months Ended | 6 Months Ended | 12 Months Ended |
Dec. 31, 2019 | Dec. 31, 2019 | Jun. 30, 2019 | |
Fiscal 2020 Restructuring Plan [Member] | |||
Restructuring Cost And Reserve [Line Items] | |||
Accruals | $ 13.3 | ||
Cash payments | (5.7) | ||
Ending Balance | 7.6 | $ 7.6 | |
Fiscal 2019 Retructucturing Plan [Member] | |||
Restructuring Cost And Reserve [Line Items] | |||
Beginning Balance | 5.2 | ||
Accruals | 7.5 | $ 17.7 | |
Cash payments | (11.1) | (12.5) | |
Ending Balance | $ 1.6 | $ 1.6 | $ 5.2 |