Annual report pursuant to Section 13 and 15(d)

Supplemental Balance Sheet and Cash Flow Information

v3.22.2.2
Supplemental Balance Sheet and Cash Flow Information
12 Months Ended
Jun. 30, 2022
Notes to Financial Statements  
Supplemental Balance Sheet Disclosures [Text Block]

Note 3. Supplemental Balance Sheet and Cash Flow Information:

Inventories:

Inventories consist of (in thousands):

June 30, 

2022

    

2021

Raw materials

$

79,291

$

55,096

Finished goods(1)

 

66,943

 

67,108

Inventories, net

$

146,234

$

122,204

(1) Finished goods inventory of $5,111 and $5,456 is included within other long-term assets in the June 30, 2022 and June 30, 2021 Balance Sheets, respectively, as it forecasted to be sold after the 12 months subsequent to the consolidated balance sheet date.

Property and Equipment:

Property and equipment consist of (in thousands):

June 30, 

2022

    

2021

Cost:

  

 

  

Land

$

8,572

$

8,612

Buildings and improvements

 

229,551

 

190,661

Machinery and equipment

174,813

 

149,410

Construction in progress

 

21,729

49,073

Property and equipment, cost

 

434,665

 

397,756

Accumulated depreciation and amortization

 

(211,423)

 

(189,849)

Property and equipment, net

$

223,242

$

207,907

Intangibles assets were comprised of the following (in thousands):

Useful Life

June 30, 

(years)

2022

2021

Developed technology

 

9 - 15

$

542,038

$

552,160

Trade names

 

2 - 20

 

146,457

 

147,640

Customer relationships

 

7 - 16

 

225,882

 

232,493

Patents

 

10

 

3,313

 

2,926

Other intangibles

 

5 - 15

 

6,306

 

6,316

Definite-lived intangible assets

 

923,996

 

941,535

Accumulated amortization

 

(415,174)

 

(348,267)

Definite-lived intangibles assets, net

 

508,822

 

593,268

In process research and development

 

22,700

 

22,700

Total intangible assets, net

$

531,522

$

615,968

Changes to the carrying amount of net intangible assets consist of (in thousands):

    

June 30, 

2022

2021

Beginning balance

$

615,968

$

516,545

Acquisitions

 

 

153,311

Other additions

 

293

 

5,912

Amortization expense

 

(74,147)

 

(64,940)

Currency translation

(2,029)

5,140

Eminence impairment (1)

 

(8,563)

 

Ending balance

$

531,522

$

615,968

(1) As disclosed in Note 1, the Company recorded an impairment charge of $8.6 million related to Eminence in Q2 of fiscal 2022.

Amortization expense related to developed technologies included in cost of sales was $40.6 million, $36.5 million, and $34.5 million in fiscal 2022, 2021, and 2020, respectively. Amortization expense related to trade names, customer relationships, non-compete agreements, and patents included in selling, general and administrative expense was $33.5 million, $28.4 million, and $26.6 million, in fiscal 2022, 2021, and 2020 respectively.

The estimated future amortization expense for intangible assets as of June 30, 2022, excluding any possible future amortization associated with acquired IPR&D which has not met technological feasibility, is as follows (in thousands):

2023

    

$

71,366

2024

 

68,702

2025

 

65,266

2026

 

61,689

2027

 

51,771

Thereafter

 

190,028

Total

$

508,822

Changes in goodwill by segment and in total consist of (in thousands):

    

    

Diagnostics and

    

Protein Sciences

 Genomics

Total

June 30, 2020

    

$

373,081

    

$

355,229

    

$

728,310

Acquisitions (Note 4)

 

7,848

 

94,970

 

102,818

Currency translation

 

11,788

 

151

 

11,939

June 30, 2021

$

392,717

$

450,350

$

843,067

Acquisitions(1)

 

(4,407)

(4,407)

Eminence impairment

(8,275)

(8,275)

Currency translation

 

(7,949)

(335)

(8,284)

June 30, 2022

$

376,493

$

445,608

$

822,101

(1)As discussed in Note 4, there was an adjustment to the preliminary allocation of the Asuragen acquisition opening balance sheet during the measurement period.

Supplemental Cash Flow Information:

Supplemental cash flow information was as follows (in thousands):

    

Year Ended June 30, 

    

2022

    

2021

    

2020

Income taxes paid

$

30,341

$

20,952

$

41,992

Interest paid

 

11,027

 

13,576

 

18,615

Non-cash activities:

 

 

  

 

  

Acquisition-related liabilities(1)

 

20,400

 

23,600

 

(2,105)

Other intangibles(2)

 

 

4,000

 

(1) Consists of holdback payments due at future dates and liabilities for contingent consideration. Amounts disclosed above represent the total non-cash change in the liability from the prior fiscal year. Further information regarding liabilities for contingent consideration can be found in Notes 4 and 5.
(2) $4.0 million of the third party patented technology acquired in fiscal 2021 was a non-cash activity within the consolidated statement of cash flows as a cash payment was not made within the fiscal year ended June 30, 2021.