Income Taxes (Tables)

12 Months Ended

Jun. 30, 2017

Income Tax Disclosure [Abstract]

Components of Income Before Income Taxes and Income Tax Expense (Benefit)

The components of income from continuing operations before income taxes and income tax expense were as follows:

	Year Ended June 30,
	2017			2016			2015
Income from continuing operations before income taxes:
United States	$	30,499		$	25,194		$	18,443
Foreign	569			92			352
	$	31,068		$	25,286		$	18,795
Tax provision (benefit):
Federal:
Current	$	11,476		$	6,707		$	4,267
Deferred	(7,645		)	(2,627		)	(458		)
	$	3,831		$	4,080		$	3,809
State:
Current	$	3,650		$	1,839		$	1,372
Deferred	(1,684		)	(424		)	(921		)
	$	1,966		$	1,415		$	451
Foreign:
Current	$	240		$	59		$	58
Deferred	156			(10		)	48
	396			49			106
	$	6,193		$	5,544		$	4,366

Reconciliation Between Statutory Federal Income Tax Rate and Effective Income Tax Rate from Continuing Operations

The following is the reconciliation between the statutory federal income tax rate and the Company’s effective income tax rate for continuing operations:

	Year Ended June 30,
	2017		2016		2015
Tax provision at federal statutory rates	35.0	%	35.0	%	35.0	%
State income tax, net of federal tax benefit	4.9		5.0		4.9
Research and development credits	(6.1	)	(8.4	)	(4.8	)
Excess tax benefits on stock compensation	(13.1	)	(4.4	)	—
Domestic manufacturing deduction	(3.9	)	(3.5	)	(3.2	)
Income from legal settlement excluded from taxable income	—		(2.8	)	—
Deemed repatriation of foreign earnings	(0.1	)	(0.2	)	(0.4	)
Foreign income tax rate differential	0.2		—		—
Equity compensation	0.6		0.3		(0.1	)
Officers' compensation	1.2		2.3		2.8
Deferred tax asset and liability adjustments	—		—		(4.2	)
Change in state tax rates	—		—		(3.1	)
Acquisition costs	0.9		—		—
Reserves for tax contingencies	(0.6	)	(3.2	)	(5.0	)
Other	0.9		1.8		1.3
	19.9	%	21.9	%	23.2	%

Components of Net Deferred Tax Assets (Liabilities)

	June 30,
	2017			2016
Deferred tax assets:
Inventory valuation and receivable allowances	$	13,845		$	12,768
Accrued compensation	4,555			3,267
Equity compensation	4,858			3,201
Federal and state research and development tax credit carryforwards	13,415			15,870
Gain on sale-leaseback	—			371
Other accruals	2,125			1,570
Deferred compensation	1,606			—
Capital loss carryforwards	3,562			3,562
Other temporary differences	1,500			4,011
	45,466			44,620
Valuation allowance	(16,570		)	(18,472		)
Total deferred tax assets	28,896			26,148
Deferred tax liabilities:
Prepaid expenses	(481		)	(773		)
Property and equipment	(3,749		)	(2,451		)
Intangible assets	(28,163		)	(33,826		)
Tax method of accounting change	(285		)	(570		)
Other temporary differences	(441		)	(370		)
Total deferred tax liabilities	(33,119		)	(37,990		)
Net deferred tax (liabilities) assets	$	(4,223	)	$	(11,842	)
As reported:
Deferred tax assets	$	633		$	—
Deferred tax liabilities	(4,856		)	(11,842		)
	$	(4,223	)	$	(11,842	)

Summary of Reserves for Unrecognized Income Tax Benefits

The changes in the Company’s reserves for unrecognized income tax benefits are summarized as follows:

	Year Ended June 30,
	2017			2016
Unrecognized tax benefits, beginning of period	$	1,566		$	2,190
Increases for previously recognized positions	46			79
Settlements of previously recognized positions	(793		)	—
Reductions as a result of a lapse of the applicable statute of limitations	(273		)	—
Increases for currently recognized positions	384			302
Reductions for previously recognized positions deemed effectively settled	—			(681		)
Reductions for previously recognized positions	(126		)	(324		)
Unrecognized tax benefits, end of period	$	804		$	1,566