Leases (Notes)

6 Months Ended

Dec. 31, 2021

Leases [Abstract]

Leases

Leases

The Company has entered into leases for building facilities, vehicles and other equipment. The Company’s leases have remaining contractual terms through September 30, 2028, some of which have options to extend the lease for up to 10 years. For purposes of calculating operating lease liabilities, lease terms are deemed not to include options to extend the lease renewal until it is reasonably certain that the Company will exercise that option. The Company's lease agreements do not contain any material residual value guarantees or material restrictive covenants.

Supplemental unaudited consolidated balance sheet information related to leases is as follows:

(In thousands)	Classification	December 31, 2021		June 30, 2021
Operating lease assets	Right-of-use operating lease assets	$	28,221	$	26,254
Finance lease assets	Property, plant and equipment, net	656		739
Total lease assets		$	28,877	$	26,993
Operating lease liabilities - current	Operating lease liabilities - current	6,999		6,262
Finance lease liabilities - current	Other current liabilities	193		192
Operating lease liabilities - noncurrent	Operating lease liabilities - noncurrent	21,605		20,049
Finance lease liabilities -noncurrent	Other long-term liabilities	484		563
Total lease liabilities		$	29,281	$	27,066

The components of lease expense are as follows:

		Three Months Ended December 31,				Six Months Ended December 31,
(In thousands)	Classification	2021		2020		2021		2020
Operating lease expense	General and administrative expenses and cost of goods sold	$	1,888	$	1,953	$	3,670	$	3,578
Finance lease expense:
Amortization of finance lease assets	General and administrative expenses	41		—		82		9
Interest on finance lease liabilities	Interest expense	11		—		23		—
Total lease expense		$	1,940	$	1,953	$	3,775	$	3,587

Maturities of lease liabilities are as follows:

	December 31, 2021
(In thousands)	Operating Leases		Finance Leases
2022	$	3,516	$	96
2023	6,890		193
2024	6,624		193
2025	5,432		193
2026	4,325		96
Thereafter	6,559		—
Total lease payments	33,346		771
Less: interest	(4,742)		(94)
Total lease obligations	$	28,604	$	677

Lease term and discount rate:

	December 31, 2021		June 30, 2021
Weighted-average remaining lease terms (in years):
Operating lease	6.8		7.3
Finance lease	4.0		4.5
Weighted-average discount rate:
Operating lease	5.61	%	5.23	%
Finance lease	6.50	%	6.50	%

Other Information:

	Six Months Ended December 31,
(In thousands)	2021		2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	3,351	$	3,835
Operating cash flows from finance leases	73		—
Financing cash flows from finance leases	23		9

Leases

Leases

The Company has entered into leases for building facilities, vehicles and other equipment. The Company’s leases have remaining contractual terms through September 30, 2028, some of which have options to extend the lease for up to 10 years. For purposes of calculating operating lease liabilities, lease terms are deemed not to include options to extend the lease renewal until it is reasonably certain that the Company will exercise that option. The Company's lease agreements do not contain any material residual value guarantees or material restrictive covenants.

Supplemental unaudited consolidated balance sheet information related to leases is as follows:

(In thousands)	Classification	December 31, 2021		June 30, 2021
Operating lease assets	Right-of-use operating lease assets	$	28,221	$	26,254
Finance lease assets	Property, plant and equipment, net	656		739
Total lease assets		$	28,877	$	26,993
Operating lease liabilities - current	Operating lease liabilities - current	6,999		6,262
Finance lease liabilities - current	Other current liabilities	193		192
Operating lease liabilities - noncurrent	Operating lease liabilities - noncurrent	21,605		20,049
Finance lease liabilities -noncurrent	Other long-term liabilities	484		563
Total lease liabilities		$	29,281	$	27,066

The components of lease expense are as follows:

		Three Months Ended December 31,				Six Months Ended December 31,
(In thousands)	Classification	2021		2020		2021		2020
Operating lease expense	General and administrative expenses and cost of goods sold	$	1,888	$	1,953	$	3,670	$	3,578
Finance lease expense:
Amortization of finance lease assets	General and administrative expenses	41		—		82		9
Interest on finance lease liabilities	Interest expense	11		—		23		—
Total lease expense		$	1,940	$	1,953	$	3,775	$	3,587

Maturities of lease liabilities are as follows:

	December 31, 2021
(In thousands)	Operating Leases		Finance Leases
2022	$	3,516	$	96
2023	6,890		193
2024	6,624		193
2025	5,432		193
2026	4,325		96
Thereafter	6,559		—
Total lease payments	33,346		771
Less: interest	(4,742)		(94)
Total lease obligations	$	28,604	$	677

Lease term and discount rate:

	December 31, 2021		June 30, 2021
Weighted-average remaining lease terms (in years):
Operating lease	6.8		7.3
Finance lease	4.0		4.5
Weighted-average discount rate:
Operating lease	5.61	%	5.23	%
Finance lease	6.50	%	6.50	%

Other Information:

	Six Months Ended December 31,
(In thousands)	2021		2020
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	3,351	$	3,835
Operating cash flows from finance leases	73		—
Financing cash flows from finance leases	23		9