Income Taxes (Tables)

12 Months Ended

Jun. 30, 2014

Schedule of Income before Income Tax, Domestic and Foreign

Income before income taxes is as follows (in thousands):



	Year Ended
	June 30, 2014			June 30, 2013			June 30, 2012
Domestic	$	(70,321	)	$	14,692		$	20,839
Foreign	17,200			(3,341		)	(3,771		)
Total	$	(53,121	)	$	11,351		$	17,068

Schedule of Components of Income Tax Expense (Benefit)

The provision for income taxes for fiscal 2014, 2013 and fiscal 2012 consisted of the following (in thousands):



	Year Ended
	June 30, 2014			June 30, 2013		June 30, 2012
Current:
Federal	$	22		$	225	$	114
State	329			140		79
Foreign	2,987			1,163		916
Total current	3,338			1,528		1,109
Deferred:
Federal	1,632			15		30
State	76			—		—
Foreign	(857		)	135		57
Total deferred	851			150		87
Provision for income taxes	$	4,189		$	1,678	$	1,196

Schedule of Effective Income Tax Rate Reconciliation

The difference between the provision for income taxes and the amount computed by applying the federal statutory income tax rate (35 percent) to income before taxes is explained below (in thousands):



	Year Ended
	June 30, 2014			June 30, 2013			June 30, 2012
Tax at federal statutory rate	$	(18,592	)	$	3,973		$	5,974
State income tax, net of federal benefit	329			105			51
Change in valuation allowance	20,729			(3,687		)	(8,035		)
Foreign earnings taxed at other than U.S. rates	(346		)	498			3,607
Deferred compensation	348			845			170
Goodwill amortization	1,097			—			—
Other	624			(56		)	(571		)
Provision for income taxes	$	4,189		$	1,678		$	1,196

Schedule of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets are as follows (in thousands):



	June 30, 2014			June 30, 2013
Deferred tax assets:
Net operating loss carry-forwards	$	97,630		$	85,276
Tax credit carry-forwards	30,019			28,882
Depreciation	129			—
Intangible amortization	6,061			—
Deferred revenue (net)	10,540			9,710
Warrant amortization	2,723			3,991
Inventory write-downs	3,265			2,759
Other allowances and accruals	6,380			3,658
Stock based compensation	6,257			2,973
Other	10,772			5,741
Total deferred tax assets	173,776			142,990
Valuation allowance	(172,475		)	(142,023		)
Total net deferred tax assets	1,301			967
Deferred tax liabilities:
Depreciation	—			(388		)
Goodwill amortization	(1,097		)	—
Brazilian foreign exchange gain	(2,670		)	—
Deferred tax liability on foreign withholdings	(167		)	(134		)
Total deferred tax liabilities	(3,934		)	(522		)
Net deferred tax assets (liabilities)	$	(2,633	)	$	445
Recorded as:
Net current deferred tax assets	$	1,058		$	386
Net non-current deferred tax assets	230			294
Net current deferred tax liabilities	(2,657		)	(235		)
Net non-current deferred tax liabilities	(1,264		)	—
Net deferred tax assets (liabilities)	$	(2,633	)	$	445

Schedule of Unrecognized Tax Benefits Roll Forward

A reconciliation of the beginning and ending amount of total unrecognized tax benefits is as follows (in thousands):



Balance at July 3, 2011	$	26,010
Increases related to prior year tax positions	(444		)
Increases related to current year tax positions	729
Lapse of statute of limitations	(549		)
Balance at June 30, 2012	$	25,746
Decrease related to prior year tax positions	(14,966		)
Increase related to prior year tax positions	45
Increase related to current year tax positions	270
Lapse of statute of limitations	(197		)
Balance at June 30, 2013	$	10,898
Decrease related to prior year tax positions	—
Increase related to prior year tax positions	415
Increase related to current year tax positions	464
Lapse of statute of limitations	(177		)
Balance at June 30, 2014	$	11,600