v3.26.1
Income Taxes (Tables)
 12 Months Ended
Jun. 30, 2026
Income Tax Disclosure [Abstract]  
Schedule of Income (loss) before Income Tax, Domestic and Foreign
The components of income (loss) before provision for income taxes by U.S. and foreign jurisdictions consist of the following (in thousands):
Fiscal Year Ended June 30,
202620252024
Domestic$(71,814)$(137,403)$(139,687)
Foreign93,864 38,508 54,280 
Total$22,050 $(98,895)$(85,407)
Schedule of Components of Income Tax Expense (Benefit)
The provision for income taxes consists of the following (in thousands):
Fiscal Year Ended June 30,
202620252024
Current:
Federal$1,270 $(1,249)$2,134 
State3,472 4,534 3,969 
Foreign94,225 149,908 209,002 
Total98,967 153,193 215,105 
Deferred:
Federal(22,681)927 (14,030)
State(1,333)1,814 3,680 
Foreign925 1,858 10,357 
Total(23,089)4,599 7 
Total provision for income taxes$75,878 $157,792 $215,112 
Schedule of Effective Income Tax Rate Reconciliation
The Company adopted ASU 2023-09 on a prospective basis effective July 1, 2025. A reconciliation of the U.S. federal statutory rate to the Company’s effective tax rate for the fiscal year 2026 is as follows (in thousands):
Fiscal Year Ended June 30, 2026
AmountPercent
Tax at U.S. federal statutory rate$4,630 21 %
State, net of the federal benefit (1)
(3,774)(17)
Foreign tax effects:
Australia
Statutory tax rate difference between Australia and the U.S.(5,885)(27)
R&D incentive(8,651)(39)
Foreign tax credits(15,791)(72)
Stock-based compensation115,305 523 
Change in valuation allowance(79,820)(362)
Other5,248 24 
India
Statutory tax rate difference between India and the U.S.16,131 73 
Other1,193 5 
Brazil
Withholding taxes7,494 34 
Other foreign jurisdictions23,580 107 
Effects of cross border tax laws
Global intangible low-taxed income42,216 192 
Other(4,637)(21)
Tax credits
Research and development(38,700)(175)
Foreign tax credits(7,855)(36)
Non-taxable or non-deductible items
Stock-based compensation81,330 369 
Section 162(m) adjustment
5,871 27 
Basis difference in investments9,559 43 
Change in unrecognized tax benefits
34,860 158 
Change in valuation allowance(109,140)(495)
Other2,714 12 
Provision for income taxes
$75,878 344 %
(1) The state that contributed to the majority of the tax effect in this category was California.
A reconciliation between the effective income tax rate and the federal statutory income tax rate applied to the loss before income taxes for years prior to the adoption of ASU 2023-09 is as follows (in thousands):
Fiscal Year Ended June 30,
20252024
Tax at federal statutory rate$(20,768)$(17,935)
State, net of the federal benefit28,097 16,362 
Effects of non-U.S. operations7,332 (14,575)
Tax credits(233,946)(151,912)
Stock-based compensation94,305 123,719 
Non-deductible executive compensation10,462 6,721 
Australian R&D deductions forgone in lieu of R&D credit29,169 29,502 
Foreign taxes1,159 (131)
Basis difference in investments(34,562)14,615 
Change in reserves29,886 32,505 
Change in valuation allowance239,975 174,994 
Other6,683 1,247 
Provision for income taxes$157,792 $215,112 
Effective tax rate (%)(160)%(252)%
Schedule of Cash Paid for Income Taxes
Income taxes paid, net of refunds received, for the fiscal year 2026 were as follows (in thousands):
Fiscal Year Ended June 30,
2026
Federal$(7,112)
State930 
Foreign
Australia90,592 
India36,077 
Netherlands11,261 
All other foreign28,958 
Income taxes, net of amounts refunded$160,706 
Schedule of Deferred Tax Assets and Liabilities
The following table sets forth significant components of the Company’s deferred tax assets and deferred tax liabilities (in thousands). Where necessary, a valuation allowance has been recognized to offset the Company’s deferred tax assets by the amount of any tax benefits that are not expected to be realized.
As of June 30,
20262025
Deferred tax assets:
Property and equipment$5,957 $11,028 
Loss carryforwards
645,268 615,687 
Credit carryforwards460,856 401,629 
Operating lease liabilities55,358 56,962 
Basis differences in investments1,900,521 2,040,203 
Provisions, accruals, and prepayments
69,336 66,735 
Deferred revenue242,151 317,761 
Capitalized research and development89,790 113,489 
Other1,197 571 
Total deferred tax assets3,470,434 3,624,065 
Less valuation allowance(3,383,071)(3,549,451)
Total deferred tax assets, net of valuation allowance87,363 74,614 
Deferred tax liabilities:
Unrealized investment gains3,233 4,163 
Operating right of use assets26,689 46,348 
Stock-based compensation1,355 7,205 
Intangible assets79,851 35,495 
Other— 1,522 
Total deferred tax liabilities111,128 94,733 
Net deferred tax liabilities$(23,765)$(20,119)
Schedule of Unrecognized Tax Benefits A reconciliation of the beginning and ending balance of total unrecognized tax benefits is as follows (in thousands):
Fiscal Year Ended June 30,
202620252024
Beginning of the period$136,882 $104,453 $122,302 
Tax positions taken in prior period:
Gross increases— 105 10,887 
Gross decreases(5,302)(4,547)— 
Tax positions taken in current period:
Gross increases47,195 36,871 25,707 
Settlements— — (53,648)
Lapse of statute of limitations(29)— — 
Currency translation effect— — (795)
End of period$178,746 $136,882 $104,453