UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
(Mark One)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from to
Commission File Number
(Exact name of registrant as specified in its charter)
| ||
(State or other jurisdiction of | (I.R.S. Employer |
(Address of principal executive offices) (Zip Code)
(
(Registrant’s telephone number, including area code)
N/A
(Former name, former address and former fiscal year, if changed since last report)
Securities registered pursuant to Section 12(b) of the Act:
Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
The |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
| Accelerated filer ☐ | |
Non-accelerated filer ☐ | Smaller reporting company | |
Emerging growth company |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes
As of April 22, 2021, there were
OSI SYSTEMS, INC.
INDEX
2
PART I—FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
OSI SYSTEMS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(amounts in thousands, except share amounts and par value)
June 30, | March 31, | |||||
| 2020 |
| 2021 | |||
ASSETS | ||||||
CURRENT ASSETS: | ||||||
Cash and cash equivalents | $ | | $ | | ||
Accounts receivable, net |
| |
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Inventories |
| |
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Prepaid expenses and other current assets |
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Total current assets |
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Property and equipment, net |
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Goodwill |
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Intangible assets, net |
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Other assets |
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Total assets | $ | | $ | | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
CURRENT LIABILITIES: | ||||||
Bank lines of credit | $ | | $ | |||
Current portion of long-term debt |
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Accounts payable |
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Accrued payroll and related expenses |
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Advances from customers |
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Other accrued expenses and current liabilities |
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Total current liabilities |
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Long-term debt |
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Deferred income taxes |
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Other long-term liabilities |
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Total liabilities |
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Commitments and contingencies (Note 10) | ||||||
STOCKHOLDERS' EQUITY: | ||||||
Preferred stock, $ |
|
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Common stock, $ |
| |
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Retained earnings |
| |
| | ||
Accumulated other comprehensive loss |
| ( |
| ( | ||
Total stockholders’ equity |
| |
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Total liabilities and stockholders’ equity | $ | | $ | |
See accompanying notes to condensed consolidated financial statements.
3
OSI SYSTEMS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(amounts in thousands, except per share data)
Three Months Ended March 31, | Nine Months Ended March 31, | |||||||||||
| 2020 |
| 2021 |
| 2020 | 2021 | ||||||
Net revenues: |
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Products | $ | | $ | | $ | | $ | | ||||
Services |
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| |
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Total net revenues |
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Cost of goods sold: | ||||||||||||
Products |
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Services |
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Total cost of goods sold |
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Gross profit |
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Operating expenses: | ||||||||||||
Selling, general and administrative |
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Research and development |
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Impairment, restructuring and other charges (benefit), net |
| |
| ( |
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Total operating expenses |
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Income from operations |
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Interest and other expense, net |
| ( |
| ( |
| ( |
| ( | ||||
Income before income taxes |
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| |
| |
| | ||||
(Provision) benefit for income taxes |
| |
| ( |
| ( |
| ( | ||||
Net income | $ | | $ | | $ | | $ | | ||||
Earnings per share: | ||||||||||||
Basic | $ | | $ | | $ | | $ | | ||||
Diluted | $ | | $ | | $ | | $ | | ||||
Shares used in per share calculation: | ||||||||||||
Basic |
| |
| |
| |
| | ||||
Diluted |
| |
| |
| |
| |
See accompanying notes to condensed consolidated financial statements.
4
OSI SYSTEMS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)
(amounts in thousands)
| Three Months Ended March 31, | Nine Months Ended March 31, | ||||||||||
2020 |
| 2021 |
| 2020 |
| 2021 | ||||||
Net income | $ | | $ | | $ | | $ | | ||||
Other comprehensive income (loss): | ||||||||||||
Foreign currency translation adjustment |
| ( |
| ( |
| ( |
| | ||||
Other | | | | | ||||||||
Other comprehensive income (loss) | ( | ( | ( | | ||||||||
Comprehensive income | $ | | $ | | $ | | $ | |
See accompanying notes to condensed consolidated financial statements.
5
OSI SYSTEMS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (UNAUDITED)
(amounts in thousands, except share data)
Three Months Ended March 31, 2020 | ||||||||||||||
Accumulated | ||||||||||||||
Common Stock | Other | |||||||||||||
| Number of |
|
| Retained |
| Comprehensive |
| |||||||
Shares | Amount | Earnings | Loss | Total | ||||||||||
Balance—December 31, 2019 |
| | $ | | $ | | $ | ( | $ | | ||||
Exercise of stock options |
| | | — | — | | ||||||||
Vesting of RSUs |
| | — | — | — | — | ||||||||
Shares issued under employee stock purchase program |
| | | — | — | | ||||||||
Stock-based compensation expense |
| — | | — | — | | ||||||||
Repurchase of common stock | ( | ( | — | — | ( | |||||||||
Taxes paid related to net share settlement of equity awards |
| ( | ( | — | — | ( | ||||||||
Net income |
| — | — | | — | | ||||||||
Other comprehensive loss |
| — | — | — | ( | ( | ||||||||
Balance—March 31, 2020 | $ | $ | $ | ( | $ |
Three Months Ended March 31, 2021 | ||||||||||||||
Accumulated | ||||||||||||||
Common Stock | Other | |||||||||||||
| Number of |
|
| Retained |
| Comprehensive |
| |||||||
Shares | Amount | Earnings | Loss | Total | ||||||||||
Balance—December 31, 2020 | | $ | $ | | $ | ( | $ | | ||||||
Exercise of stock options | | | — | — | | |||||||||
Vesting of RSUs | | — | — | — | — | |||||||||
Shares issued under employee stock purchase program | | | — | — | | |||||||||
Stock-based compensation expense | — | | — | — | | |||||||||
Repurchase of common stock | ( | ( | — | — | ( | |||||||||
Taxes paid related to net share settlement of equity awards | ( | ( | — | — | ( | |||||||||
Net income | — | — | | — | | |||||||||
Other comprehensive loss | — | — | — | ( | ( | |||||||||
Balance—March 31, 2021 |
| | $ | | $ | | $ | ( | $ | |
6
Nine Months Ended March 31, 2020 | ||||||||||||||
Accumulated | ||||||||||||||
Common Stock | Other | |||||||||||||
| Number of |
|
| Retained |
| Comprehensive |
| |||||||
Shares | Amount | Earnings | Loss | Total | ||||||||||
Balance—June 30, 2019 |
| | $ | | $ | | $ | ( | $ | | ||||
Exercise of stock options |
| |
| |
| — |
| — |
| | ||||
Vesting of RSUs |
| |
| — |
| — |
| — |
| — | ||||
Shares issued under employee stock purchase program |
| |
| |
| — |
| — |
| | ||||
Stock-based compensation expense |
| — |
| |
| — |
| — |
| | ||||
Repurchase of common stock | ( | ( | — | — | ( | |||||||||
Taxes paid related to net share settlement of equity awards |
| ( |
| ( |
| — |
| — |
| ( | ||||
Net income |
| — |
| — |
| |
| — |
| | ||||
Other comprehensive loss |
| — |
| — |
| — |
| ( |
| ( | ||||
Balance—March 31, 2020 | $ | $ | $ | ( | $ |
Nine Months Ended March 31, 2021 | ||||||||||||||
Accumulated | ||||||||||||||
Common Stock | Other | |||||||||||||
| Number of |
|
| Retained |
| Comprehensive |
| |||||||
Shares | Amount | Earnings | Loss | Total | ||||||||||
Balance—June 30, 2020 |
| | $ | $ | | $ | ( | $ | | |||||
Exercise of stock options |
| | | — | — | | ||||||||
Vesting of RSUs |
| | — | — | — | — | ||||||||
Shares issued under employee stock purchase program |
| | | — | — | | ||||||||
Stock-based compensation expense |
| — | | — | — | | ||||||||
Repurchase of common stock | ( | ( | — | — | ( | |||||||||
Taxes paid related to net share settlement of equity awards |
| ( | ( | — | — | ( | ||||||||
Net income |
| — | — | | — | | ||||||||
Other comprehensive income |
| — | — | — | | | ||||||||
Balance—March 31, 2021 | | $ | | $ | | $ | ( | $ | |
7
OSI SYSTEMS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
(amounts in thousands)
Nine Months Ended March 31, | ||||||
2020 | 2021 | |||||
CASH FLOWS FROM OPERATING ACTIVITIES |
|
|
| |||
Net income | $ | | $ | | ||
Adjustments to reconcile net income to net cash provided by operating activities, net of effects from acquisitions: | ||||||
Depreciation and amortization |
| |
| | ||
Stock-based compensation expense |
| |
| | ||
Provision for losses on accounts receivable | | | ||||
Deferred income taxes | ( |
| ( | |||
Amortization of debt discount and issuance costs |
| | | |||
Impairment charges | | | ||||
Other |
| |
| ( | ||
Changes in operating assets and liabilities—net of business acquisitions: | ||||||
Accounts receivable |
| ( |
| | ||
Inventories |
| |
| ( | ||
Prepaid expenses and other assets |
| ( |
| ( | ||
Accounts payable |
| |
| | ||
Accrued payroll and related expenses | ( | | ||||
Advances from customers |
| ( |
| | ||
Other |
| ( |
| | ||
Net cash provided by operating activities |
| |
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CASH FLOWS FROM INVESTING ACTIVITIES | ||||||
Acquisition of property and equipment |
| ( |
| ( | ||
Purchases of certificates of deposit | — | ( | ||||
Proceeds from maturities of certificates of deposit | — | | ||||
Acquisition of business, net of cash acquired |
| ( |
| ( | ||
Payments for intangible and other assets |
| ( |
| ( | ||
Net cash used in investing activities |
| ( |
| ( | ||
CASH FLOWS FROM FINANCING ACTIVITIES | ||||||
Net borrowings (repayments) on bank lines of credit |
| |
| ( | ||
Proceeds from long-term debt |
| |
| | ||
Payments on long-term debt |
| ( |
| ( | ||
Proceeds from exercise of stock options and employee stock purchase plan |
| |
| | ||
Payments of contingent consideration | ( | ( | ||||
Repurchases of common stock |
| ( |
| ( | ||
Taxes paid related to net share settlement of equity awards |
| ( |
| ( | ||
Net cash used in financing activities |
| ( |
| ( | ||
Effect of exchange rate changes on cash |
| ( |
| | ||
Net change in cash and cash equivalents |
| |
| | ||
Cash and cash equivalents—beginning of period |
| |
| | ||
Cash and cash equivalents—end of period | $ | | $ | | ||
Supplemental disclosure of cash flow information: | ||||||
Cash paid, net during the period for: | ||||||
Interest | $ | | $ | | ||
Income taxes | $ | | $ | |
See accompanying notes to condensed consolidated financial statements.
8
OSI SYSTEMS, INC. AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
1. Basis of Presentation
The condensed consolidated financial statements include the accounts of OSI Systems, Inc. and our subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated financial statements have been prepared by management in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and in conjunction with the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures required for annual financial statements have been condensed or excluded in accordance with SEC rules and regulations and GAAP applicable to interim unaudited financial statements. Accordingly, the condensed consolidated financial statements do not include all of the information and footnotes required by GAAP for audited annual financial statements. In the opinion of management, the condensed consolidated financial statements reflect all adjustments of a normal and recurring nature that are considered necessary for a fair presentation of the results for the interim periods presented. These unaudited condensed consolidated financial statements and the accompanying notes should be read in conjunction with the audited consolidated financial statements and accompanying notes included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2020 filed with the SEC. The results of operations for the three and nine months ended March 31, 2021 are not necessarily indicative of the operating results to be expected for the full 2021 fiscal year or any future periods.
Use of Estimates
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of sales and costs of sales during the reporting period. The most significant of these estimates and assumptions for our company relate to contract revenue, profit and loss recognition, fair values of assets acquired and liabilities assumed in business combinations, values for inventories reported at lower of cost or net realizable value, stock-based compensation expense, income taxes, accrued warranty costs and the recoverability, useful lives and valuation of recorded amounts of long-lived assets, identifiable intangible assets and goodwill. Changes in estimates are reflected in the periods during which they become known. Due to the inherent uncertainty involved in making estimates, our actual amounts reported in future periods could differ materially from these estimates.
Earnings Per Share Computations
We compute basic earnings per share by dividing net income available to common stockholders by the weighted average number of common shares outstanding during the period. We compute diluted earnings per share by dividing net income available to common stockholders by the sum of the weighted average number of common shares and dilutive potential common shares outstanding during the period. Potential common shares consist of the shares issuable upon the exercise of stock options and restricted stock unit awards under the treasury stock method. The underlying equity component of the
9
The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share amounts):
Three Months Ended March 31, | Nine Months Ended March 31, | |||||||||||
| 2020 |
| 2021 |
| 2020 |
| 2021 | |||||
Net income available to common stockholders | $ | | $ | | $ | | $ | | ||||
Weighted average shares outstanding—basic |
| |
| |
| |
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Dilutive effect of equity awards |
| |
| |
| |
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Weighted average shares outstanding—diluted |
| |
| |
| |
| | ||||
Basic earnings per share | $ | | $ | | $ | | $ | | ||||
Diluted earnings per share | $ | | $ | | $ | | $ | | ||||
Shares excluded from diluted earnings per share due to their anti-dilutive effect | | | | |
Cash and Cash Equivalents
We consider all highly liquid investments with maturities of three months or less as of the acquisition date to be cash equivalents.
Our cash and cash equivalents totaled $
Fair Value of Financial Instruments
Our financial instruments consist primarily of cash and cash equivalents, insurance company contracts, accounts receivable, accounts payable, debt instruments and foreign currency forward contracts. The carrying values of financial instruments, other than long-term debt instruments, are representative of their fair values due to their short-term maturities. The carrying values of our long-term debt instruments are considered to approximate their fair values, as the interest rates of these instruments are variable or comparable to current rates for financing available to us. The fair values of our foreign currency forward contracts were not significant as of March 31, 2021.
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Level 1 category includes assets and liabilities measured at quoted prices in active markets for identical assets and liabilities. The Level 2 category includes assets and liabilities measured from observable inputs other than quoted market prices. The Level 3 category includes assets and liabilities for which valuation inputs are unobservable and significant to the fair value measurement. Our contingent payment obligations related to acquisitions, which are further discussed in Note 10 to the condensed consolidated financial statements, are in the Level 3 category for valuation purposes.
The fair values of our financial assets and liabilities are categorized as follows (in thousands):
| June 30, 2020 |
| March 31, 2021 | |||||||||||||||||||||
| Level 1 |
| Level 2 |
| Level 3 |
| Total |
| Level 1 |
| Level 2 |
| Level 3 |
| Total | |||||||||
Assets : | ||||||||||||||||||||||||
Insurance company contracts | $ | — | $ | | $ | — | $ | | $ | — | $ | | $ | — | $ | | ||||||||
Liabilities: | ||||||||||||||||||||||||
Contingent consideration | $ | — | $ | — | $ | | $ | | $ | — | $ | — | $ | | $ | |
Derivative Instruments and Hedging Activity
Our use of derivatives consists of foreign currency forward contracts. These forward contracts are utilized to partially mitigate certain balance sheet exposures or used as a net investment hedge to protect against potential changes resulting from short-term foreign currency fluctuations. These contracts have original maturities of up to three months. We do not use hedging instruments for speculative purposes.
10
The net investment hedge has been designated as a hedge instrument and accounted for under Accounting Standards Codification ("ASC”) 815 “Derivatives and Hedging”. Hedge effectiveness is assessed using the spot method, consistent with guidance in ASC 815 whereby the change in fair value of the forward contract is recorded in the same manner as the related currency translation adjustments, within other comprehensive income, as the hedging instrument is expected to be fully effective unless the amount hedged exceeds the net investment in the foreign operation, or the foreign operation is liquidated. We settled the net investment hedge in the second quarter of fiscal 2021, and the amount recorded in other comprehensive loss was not significant. There were no net investment hedges outstanding as of March 31, 2021.
The net gains or losses from the foreign currency forward contracts, which are not designated as hedge instruments, are reported in the consolidated income statement. We initiated these forward contracts in the first quarter of fiscal 2021 and the amounts reported in the consolidated income statement for the three and nine months ended March 31, 2021 were not significant. The fair value of our forward foreign exchange contracts is estimated using a standard valuation model and market-based observable inputs over the contractual term. Unrealized gains are recognized as assets and unrealized losses are recognized as liabilities. As of March 31, 2021, we held foreign currency forward contracts with notional amounts totaling $
Recently Adopted Accounting Pronouncements
In August 2018, the Financial Accounting Standards Board (“FASB”) issued authoritative guidance under Accounting Standards Update (“ASU”) 2018-14, Compensation—Retirement Benefits—Defined Benefit Plans—General: Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans. This ASU eliminates requirements for certain disclosures and requires additional disclosures under defined benefit pension plans and other post-retirement plans. We adopted this new guidance in the first quarter of fiscal 2021, and it did not have a significant impact on our disclosures in the consolidated financial statements.
In August 2018, the FASB issued authoritative guidance under ASU 2018-15, Intangibles—Goodwill and Other—Internal-Use Software: Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract. This ASU requires implementation costs incurred by customers in cloud computing arrangements (i.e., hosting arrangements) to be capitalized under the same premises of authoritative guidance for internal-use software and deferred over the noncancellable term of the cloud computing arrangements plus any option renewal periods that are reasonably certain to be exercised by the customer or for which the exercise is controlled by the service provider. We adopted this new guidance in the first quarter of fiscal 2021, and it did not have a significant impact on our consolidated financial statements.
In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which temporarily simplifies the accounting for contract modifications, including hedging relationships, due to the transition from LIBOR and other interbank offered rates to alternative reference interest rates. For example, entities can elect not to remeasure the contracts at the modification date or reassess a previous accounting determination if certain conditions are met. Additionally, entities can elect to continue applying hedge accounting for hedging relationships affected by reference rate reform if certain conditions are met. Modifications to debt agreements for a change in the reference interest rate will be accounted for by prospectively adjusting the effective interest rate. The new standard was effective upon issuance and did not have a significant impact on our consolidated financial statements. ASU 2020-04 generally can be applied to applicable contract modifications through December 31, 2022. We are currently evaluating the impact of the transition from LIBOR to alternative reference interest rates; however the adoption of this new guidance for future modifications to contracts, if any, is not expected to have a significant impact on our consolidated financial statements.
Recently Issued Accounting Pronouncements Not Yet Adopted
In August 2020, the FASB issued ASU 2020-06, Accounting for Convertible Instruments and Contracts in an Entity's Own Equity ("ASU 2020-06"). Under ASU 2020-06, the embedded conversion features are no longer separated from the host contract for convertible instruments with conversion features that are not required to be accounted for as derivatives under Topic 815, Derivatives and Hedging, or that do not result in substantial premiums accounted for as paid-in capital. Consequently, a convertible debt instrument will be accounted for as a single liability measured at its amortized cost and a convertible preferred stock will be accounted for as a single equity instrument measured at its historical cost, as long as no other features require bifurcation and recognition as derivatives. By removing those separation models, the interest rate of convertible debt instruments typically will be closer to the coupon interest rate. ASU 2020-06 also provides for certain disclosures with regard to convertible instruments and associated fair values. We are required to adopt this new guidance in the first quarter of fiscal 2023. Early adoption is permitted for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. We are currently evaluating the potential impact of adoption of this guidance on our consolidated financial statements.
11
In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes ("ASU 2019-12"). ASU 2019-12 removes certain exceptions to the general principles of ASC 740 and is intended to improve consistency and simplify GAAP by clarifying and amending existing guidance for income taxes and related topics. We are required to adopt this new guidance in the first quarter of fiscal 2022. Early adoption is permitted in any interim or annual period, with any adjustments reflected as of the beginning of the fiscal year of adoption. We are currently evaluating the potential impact of adoption of this guidance on our consolidated financial statements.
2. Business Combinations
Under ASC 805, Business Combinations, the acquisition method of accounting requires us to record assets acquired less liabilities assumed in an acquisition at their estimated fair values at the date of acquisition. Any excess of the total estimated purchase consideration over the estimated fair value of the assets acquired less liabilities assumed should be recorded as goodwill. Such valuations require management to make significant estimates and assumptions, especially with respect to intangible assets. Significant estimates in valuing certain intangible assets include, but are not limited to, future expected cash flows from acquired customers, acquired technology, trade names, useful lives and discount rates. Management’s estimates of fair value are based upon assumptions believed to be reasonable but which are inherently uncertain and unpredictable and, as a result, actual results may differ from estimates. We may record adjustments to the assets acquired and liabilities assumed, with corresponding adjustments to goodwill, during the one-year post-acquisition measurement period as additional information becomes available. Upon the conclusion of the measurement period, any subsequent adjustments are reflected in reported earnings.
Fiscal Year 2021 Business Acquisition
In July 2020, we (through our Healthcare division) acquired a privately-held software development company for $
12
3. Balance Sheet Details
The following tables provide details of selected balance sheet accounts (in thousands):
June 30, | March 31, | |||||
Accounts receivable, net |
| 2020 |
| 2021 | ||
Accounts receivable | $ | |
| $ | | |
Less allowance for doubtful accounts |
| ( |
| ( | ||
Total | $ | | $ | |
June 30, | March 31, | |||||
Inventories |
| 2020 |
| 2021 | ||
Raw materials | $ | |
| $ | | |
Work-in-process |
| |
| | ||
Finished goods |
| |
| | ||
Total | $ | | $ | |
June 30, | March 31, | |||||
Property and equipment, net | 2020 | 2021 | ||||
Land |
| $ | |
| $ | |
Buildings, civil works and improvements |
| |
| | ||
Leasehold improvements |
| |
| | ||
Equipment, furniture and fixtures |
| |
| | ||
Computer software |
| |
| | ||
Computer software implementation in process | | | ||||
Construction in process |
| |
| | ||
Total |
| |
| | ||
Less accumulated depreciation and amortization |
| ( |
| ( | ||
Property and equipment, net | $ | | $ | |
Depreciation and amortization expense for property and equipment was $
4. Goodwill and Intangible Assets
The changes in the carrying value of goodwill by segment for the nine-month period ended March 31, 2021 were as follows (in thousands):
Optoelectronics | ||||||||||||
and | ||||||||||||
Security | Healthcare | Manufacturing | ||||||||||
| Division |
| Division |
| Division |
| Consolidated | |||||
Balance as of June 30, 2020 | $ | | $ | | $ | | $ | | ||||
Goodwill acquired or adjusted during the period |
| |
| |
| — |
| | ||||
Foreign currency translation adjustment |
| |
| |
| |
| | ||||
Balance as of March 31, 2021 | $ | | $ | | $ | | $ | |
13