v3.26.1
Income Taxes (Tables)
12 Months Ended
Jun. 30, 2026
Income Taxes  
Schedule of deferred tax assets and liabilities

June 30, 

  ​ ​ ​

2026

  ​ ​ ​

2025

(In thousands)

Deferred tax assets

Net operating loss carryforward

$

13,524

$

13,888

Reserves

 

10,545

 

9,154

Accrued expenses

 

11,916

 

15,441

Stock compensation expense

 

7,320

 

6,881

Other assets

 

2,170

 

3,308

Convertible debt

 

9,085

 

4,059

Deferred revenue

 

122

 

260

Capitalized software and website development costs

4,680

Lease liability

2,659

11,136

Total deferred tax assets

 

57,341

 

68,807

Deferred tax liabilities

Capitalized curriculum development

 

(9,758)

 

(10,071)

Capitalized software and website development costs

 

(24,023)

 

Property and equipment

 

(18,259)

 

(11,460)

Right-of-use assets

(1,755)

(3,832)

Returned materials

 

(2,220)

 

(2,722)

Purchased intangibles

(6,943)

(6,717)

Total deferred tax liabilities

 

(62,958)

 

(34,802)

Net deferred tax (liability) asset before valuation allowance

 

(5,617)

 

34,005

Valuation allowance

 

(7,416)

 

(7,628)

Net deferred tax (liability) asset

$

(13,033)

$

26,377

Reported as:

Long-term deferred tax (liability) asset

$

(13,033)

$

26,377

Schedule of components of income before income taxes

Years Ended June 30, 

  ​ ​ ​

2026

  ​ ​ ​

2025

  ​ ​ ​

2024

(In thousands)

Domestic

$

435,108

$

374,932

$

262,802

Foreign

 

5,850

 

6,016

 

5,863

Total income before income taxes

$

440,958

$

380,948

$

268,665

Schedule of reconciliation of provision for income taxes to the income tax from applying the statutory rate

Year Ended June 30, 2026

Amount

Percent

(In thousands)

U.S. Federal Statutory Tax Rate

$

92,601

21.0

%

State and Local Income Tax Effects, net of federal tax benefit (a)

 

14,705

3.3

Foreign Tax Effects

 

(18)

-

Tax Credits

Research and development tax credits

 

(2,866)

(0.7)

Changes in Valuation Allowance

 

31

-

Nontaxable or Nondeductible Items

 

Stock-based compensation

 

(20,007)

(4.5)

Non-deductible compensation

 

17,329

3.9

Other

 

85

-

Changes in Unrecognized Tax Benefits

 

583

0.2

Other Adjustments

 

322

0.1

Effective Tax Rate

$

102,765

23.3

%

(a) State taxes in California, Texas, and Virginia made up the majority (greater than 50 percent) of the tax effect in this category.

Years Ended June 30, 

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

U.S. federal tax at statutory rates

21.0

%  

21.0

%  

Lobbying

 

-

0.1

Non-deductible compensation

2.7

0.8

State taxes, net of federal benefit

 

3.4

3.2

Research and development tax credits

 

(1.2)

(1.5)

Effects of foreign operations

 

-

0.1

Reserve for unrecognized tax benefits

 

0.4

0.5

Noncontrolling interests

 

-

-

Other

 

(0.2)

0.1

Stock-based compensation

(1.7)

(0.3)

Provision for income taxes

 

24.4

%  

24.0

%  

Schedule of related components of the income tax expense

Years Ended June 30, 

2026

2025

2024

(In thousands)

Current:

Federal

$

47,321

$

91,696

$

52,678

State

 

14,213

 

17,921

 

7,660

Foreign

 

1,238

 

1,173

 

1,254

Total current

 

62,772

 

110,790

 

61,592

Deferred:

Federal

 

38,372

 

(16,047)

 

(667)

State

 

1,621

 

(1,736)

 

3,557

Total deferred

 

39,993

 

(17,783)

 

2,890

Total income tax expense

$

102,765

$

93,007

$

64,482

Schedule of unrecognized tax benefits

Years Ended June 30, 

2026

2025

2024

(In thousands)

Balance at beginning of the year

$

5,514

$

4,286

$

3,156

Additions for prior year tax positions

 

277

 

486

 

591

Additions for current year tax positions

 

1,236

 

1,635

 

1,205

Reductions for prior year tax positions

(1,047)

(893)

(666)

Balance at end of the year

$

5,980

$

5,514

$

4,286