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FAIR VALUE MEASUREMENTS
 12 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
FAIR VALUE MEASUREMENTS
(6) FAIR VALUE MEASUREMENTS
Recurring Fair Value Measurements
The following table represents the Company's financial assets and liabilities, which are measured at fair value on a recurring basis (in thousands):
Fair Value of Financial Assets and LiabilitiesQuoted Prices in Active Markets for Identical Assets
(Level 1)		Significant Other Observable Inputs
(Level 2)		Significant Unobservable Inputs
(Level 3)
June 30, 2025
Deferred compensation plan assets$53,850 $53,850 $— $— 
Total assets53,850 53,850 — — 
Earn-out liabilities7,706 — — 7,706 
Total liabilities$7,706 $— $— $7,706 
June 30, 2024
Deferred compensation plan assets$61,198 $61,198 $— $— 
Total assets61,198 61,198 — — 
Earn-out liabilities28,549 — — 28,549 
Total liabilities$28,549 $— $— $28,549 
Deferred compensation plan assets consisted of highly liquid mutual fund investments, which were classified as Level 1. The current portion of deferred compensation plan assets ($18.8 million and $6.8 million at June 30, 2025 and 2024, respectively) was included in prepaid expenses and other current assets in the accompanying Consolidated Balance Sheets.
Financial Instruments Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3)
FFF Put and Call Rights
On July 29, 2021, the FFF shareholders’ agreement was amended resulting in the termination of the FFF Put Right and the derecognition of the FFF Put Right liability.
In the event of a Key Man Event (generally defined in the shareholders’ agreement as the resignation, termination for cause, death or disability of the majority shareholder), the Company has a call right that requires the majority shareholder to sell its remaining interest in FFF to the Company, and is exercisable at any time within 180 calendar days after the date of a Key Man Event (the “Call Right,” together with the FFF Put Right, the “Put and Call Rights”). As of June 30, 2025 and 2024, the Call Right had zero value. In the event that either of these rights are exercised, the purchase price for the additional interest in FFF will be at a per share price equal to the earnings before interest, taxes, depreciation, and amortization (“FFF EBITDA”) over the twelve calendar months prior to the purchase date multiplied by a market adjusted multiple, adjusted for any outstanding debt and cash and cash equivalents, divided by the number of shares of FFF common stock then outstanding (“Equity Value per Share”).
Earn-out liabilities
Earn-out liabilities have been established in connection with certain acquisitions, including the acquisition of substantially all of the assets and certain liabilities of Acurity, Inc. and Nexera, Inc. (the “Acurity and Nexera asset acquisition”) in February 2020 as well as the IllumiCare acquisition in June 2025. The earn-out liability related to the Acurity and Nexera asset acquisition was based upon the Company’s achievement of a range of member renewals on terms agreed to by the Company and Greater New York Hospital Association based on prevailing market conditions in December 2023. Earn-out liabilities are classified as Level 3 of the fair value hierarchy. The earn-out liability values for the IllumiCare acquisition were determined based on projected results during the earn-out period.
Acurity and Nexera Earn-out (a)
The earn-out liability arising from expected earn-out payments related to the Acurity and Nexera asset acquisition was measured on the acquisition date using a probability-weighted expected payment model and was remeasured periodically due to changes in management’s estimates of the number of transferred member renewals and market conditions. In determining the fair value of the contingent liabilities, management reviewed the current results of the acquired business, along with projected results for the remaining earn-out period, to calculate the expected earn-out payment to be made based on the contractual terms set out in the acquisition agreement. At June 30, 2024, the Acurity and Nexera earn-out liability utilized a credit spread of 1.0%. The fair value of the Acurity and Nexera earn-out liability at June 30, 2024 was $28.5 million. The Company and Greater New York Hospital Association agreed to a total earn-out of $27.0 million, which was paid in January 2025.
A reconciliation of the Company’s Level 3 earn-out liabilities is as follows (in thousands):
Year Ended June 30,
202520242023
Beginning balance$28,549 $26,603 $22,789 
(Settlements) purchases (a)
(19,294)(1,375)1,460 
(Gains) losses (b)
(1,549)3,321 2,354 
Ending balance$7,706 $28,549 $26,603 
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(a)Settlements for the years ended June 30, 2025 and 2024 represent payments on earn-out liabilities. Purchases for the year ended June 30, 2025 represent the earn-out associated with the IllumiCare acquisition. Purchases for the year ended June 30, 2023 include an earn-out which had not been earned or paid as of June 30, 2023.
(b)Gains on level 3 liability balances will decrease the liability ending balance and losses on level 3 liability balances will increase the liability ending balance. (Gains) losses on earn-out liabilities are included in selling, general, and administrative expenses on the Consolidated Statements of Income and Comprehensive Income.
Non-Recurring Fair Value Measurements
As a result of the August 2020 Restructuring, the Company recorded non-interest bearing notes payable to former limited partners during the first quarter of fiscal year 2021. Although these notes are non-interest bearing, they include a Level 2 input associated with an implied fixed annual interest rate of 1.8% (see Note 10 - Debt and Notes Payable). At June 30, 2025, these notes payable to former limited partners were fully paid.
During the year ended June 30, 2025, in conjunction with the Company’s assessment to determine whether it was more likely than not that the fair values of any of its reporting units were below their carrying amounts, the Company recorded a pre-tax impairment charge in selling, general, and administrative expense in the accompanying Consolidated Statements of Income and Comprehensive Income related to the ITS reporting unit. The impairment related to goodwill (see Note 9 - Goodwill and Intangible Assets).
Financial Instruments for Which Fair Value is Only Disclosed
At June 30, 2025, the Company had no other non-interest bearing notes payable. At June 30, 2024, the fair values of non-interest bearing notes payable, classified as Level 2, were equal to their carrying value based on an assumed market interest rate of 1.6%.
Other Financial Instruments
The fair values of cash, accounts receivable, accounts payable, accrued liabilities, and the Credit Facility (as defined in Note 10 - Debt and Notes Payable) approximated carrying value due to the short-term nature of these financial instruments.