v3.26.1
Income Taxes (Tables)
 12 Months Ended
Jun. 30, 2026
Income Tax Disclosure [Abstract]  
Schedule of Income (loss) before Provision for Income Taxes
The components of income (loss) before provision for income taxes were as follows during the periods presented (in thousands):
Year ended
June 30,
202620252024
Domestic$(17,325)$(43,567)$5,312 
Foreign7,194 73,977 (31,631)
Total income (loss) before provision for income taxes$(10,131)$30,410 $(26,319)
Schedule of Provision for Income Taxes
The components of provision for income taxes were as follows during the periods presented (in thousands):
Year ended
June 30,
202620252024
Current:
Federal$(205)$3,850 $1,650 
State1,033 2,758 1,251 
Foreign2 80 19 
Total current830 6,688 2,920 
Deferred:
Federal205 (32)(262)
State75 (45)(99)
Total deferred280 (77)(361)
Provision for income taxes$1,110 $6,611 $2,559 
Schedule of Difference between Income Taxes Computed At Federal Statutory Rate and Provision for Income Taxes
The items accounting for the difference between the income taxes computed at the U.S. federal statutory tax rate and the provision for income taxes after the adoption of ASU 2023-09 consisted of the following during the period presented (in thousands, except percentages):
Year e
ded June 30,
2026
U.S. federal statutory tax rate$(2,127)21 %
State and local income taxes, net of federal income tax effect947 (9)%
Foreign tax effects
Australia
Statutory tax rate difference647 (6)%
Internal restructuring (1)
24,227 (239)%
Changes in valuation allowances (1)
(26,439)261 %
Other57 (1)%
Effect of cross-border tax laws
Tax effects of foreign disregarded entity1,509 (15)%
Tax credits
Research and development tax credits(7,355)73 %
Changes in valuation allowances (1)
(17,218)170 %
Nontaxable or nondeductible items
Stock-based compensation (2)
20,772 (205)%
Limitation on executive compensation5,588 (55)%
Nondeductible meals658 (7)%
Other10 — %
Other adjustments(166)1 %
Provision for income taxes and effective tax rate$1,110 (11)%
The Company's effective tax rates for the years ended June 30, 2025, and 2024, were 22% and (10)%, respectively. The items accounting for the difference between the income taxes computed at the U.S. federal statutory tax rate and the provision for income taxes prior to adoption of ASU 2023-09 consisted of the following during the periods presented (in thousands):
Year ended
June 30,
20252024
Expected provision (benefit) at U.S. federal statutory rate$6,386 $(5,528)
State income taxes, net of federal benefit7,325 9,134 
Stock-based compensation (2)
19,204 24,300 
Research and development tax credits(23,383)(24,039)
Change in valuation allowance (3)
10,939 4,943 
Restructuring— (13,769)
Foreign rate differential(15,455)6,658 
Other1,595 860 
Provision for income taxes$6,611 $2,559 
(1) The rate impact during the year ended June 30, 2026 pertains to a decrease in valuation allowance due to the decrease in net deferred tax assets during the year.

(2) The rate impact during the year ended June 30, 2026, 2025 and 2024 relates to the impact of non-deductible stock compensation and shortfalls related to tax deductions being smaller than the associated stock compensation expense.
(3) The rate impact during the year ended June 30, 2025 and 2024 pertains to an increase in valuation allowance due to the increase in net deferred tax assets, capitalized R&D expense and tax credits generated during the year.
Schedule of Components of Deferred Tax Assets and Liabilities
The components of deferred tax assets and liabilities were as follows as of the dates presented (in thousands):
June 30,
20262025
Deferred tax assets:
Accruals and reserves$15,808 $17,888 
Capitalized research and development123,090 160,755 
Stock-based compensation12,822 19,532 
Net operating and other loss carryforwards267,807 280,004 
Research and development credits108,218 99,626 
Operating lease liabilities15,460 17,874 
Other (1)
783 3,842 
Total deferred tax assets before valuation allowance
543,988 599,521 
Valuation allowance(455,485)(503,692)
Deferred tax assets$88,503 $95,829 
Deferred tax liabilities:
Deferred contract costs$(6,940)$(6,603)
Property and equipment(30,106)(22,253)
Intangible assets(38,436)(53,280)
Operating right of use assets(12,056)(14,066)
Other
(1,617)— 
Total deferred tax liabilities(89,155)(96,202)
Net deferred tax liabilities$(652)$(373)
(1) Fiscal 2025 amounts have been conformed to the fiscal 2026 presentation.
Schedule of Reconciliation of Unrecognized Tax Benefits
Below is the reconciliation of the unrecognized tax benefits related to federal and state research and development credits during the periods presented (in thousands):
Year e
ded June 30,
202620252024
Balance at the beginning of the year$45,959 $35,128 $23,300 
Add:
Tax positions related to the current year
6,082 10,622 9,134 
Purchase of intangible assets— 209 — 
Tax positions related to the prior year
— — 2,714 
Less:
Tax positions related to the prior year
3,997 — — 
Statute of limitations lapse— — 20 
Balance at the end of the year$48,044 $45,959 $35,128