Goodwill and Intangible Assets

9 Months Ended

Mar. 31, 2022

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Note 4. Goodwill and Intangible Assets

Goodwill

Changes in the carrying amounts of goodwill were as follows (in thousands):

	Nine Months Ended March 31,
	2022			2021
Balance, beginning of period	$	262,270		$	227,992
Foreign currency translation adjustment		(479	)		1,012
Balance, end of period	$	261,791		$	229,004

Intangible Assets

Intangible assets acquired through business combinations consisted of the following (in thousands):

	March 31, 2022
	Useful Life (In years)	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Client relationships	9 to 15	$	41,000	$	(18,787	)	$	22,213
Noncompete agreements	3 to 5		4,107		(2,762	)		1,345
Trademarks and trade names	Indefinite		4,683		—			4,683
Trademarks and trade names	1 to 3		7,822		(3,920	)		3,902
Core technology	3 to 5		47,019		(36,950	)		10,069
Intangible assets, net		$	104,631	$	(62,419	)	$	42,212

	June 30, 2021
	Useful Life (In years)	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Client relationships	9 to 15	$	41,000	$	(15,879	)	$	25,121
Noncompete agreements	3 to 5		4,107		(2,442	)		1,665
Trademarks and trade names	Indefinite		4,892		—			4,892
Trademarks and trade names	1 to 3		7,613		(2,902	)		4,711
Core technology	3 to 5		47,019		(31,059	)		15,960
Intangible assets, net		$	104,631	$	(52,282	)	$	52,349

The fair value of intangible assets was derived based on the income approach. This fair value measurement is based on significant inputs that are not observable in the market. Key assumptions utilized in management’s analysis included the following:

• Revenues and expense forecasts were based on trends of historical performance and management’s estimate of future performance.

• Cash flows utilized in the discounted cash flow analysis were estimated using a weighted-average cost of capital.  

Amortization expense related to acquired intangible assets was recognized as follows (in thousands):

	Three Months Ended March 31,				Nine Months Ended March 31,
	2022		2021		2022		2021
Cost of SaaS and support	$	1,964	$	1,628	$	5,891	$	5,061
Sales and marketing		1,448		993		3,927		2,977
General and administrative		106		—		319		—
Total amortization expense	$	3,518	$	2,621	$	10,137	$	8,038

As of March 31, 2022, the estimated future amortization expense of acquired intangible assets is as follows (in thousands):

Fiscal Year Ending June 30,	Amount
2022 (remaining 3 months)	$	3,309
2023		9,190
2024		7,707
2025		5,291
2026		3,111
2027 and thereafter		8,921
Total remaining amortization	$	37,529