Income Taxes (Tables)

12 Months Ended

Jun. 30, 2025

Jun. 30, 2024

Income (loss) before income taxes consisted of the following for the years ended June 30:


(in thousands)	2025			2024			2023
Income (loss) before income taxes:
United States	$	(10,085)		$	(13,544)		$	(14,702)
International	142,089			157,994			174,323
Total income before income taxes	$	132,004		$	144,450		$	159,621
Current income tax expense (benefit):
Federal	$	2,048		$	(4,003)		$	2,007
State	346			1,045			546
International	43,986			41,784			42,921
Total current income tax expense	46,380			38,826			45,474
Deferred income tax expense (benefit):
Federal	$	(7,647)		$	(3,389)		$	(3,394)
State	(1,549)			(2,880)			683
International	(3,888)			(1,748)			(6,508)
Total deferred income tax expense (benefit):	(13,084)			(8,017)			(9,219)
Provision for income taxes	$	33,296		$	30,809		$	36,255
Effective tax rate	25.2		%	21.3		%	22.7		%

Reconciliation of Income Taxes and the Provision for Income Taxes

The reconciliation of income taxes computed using the statutory U.S. income tax rate and the provision for income taxes was as follows for the years ended June 30:


(in thousands)	2025		2024		2023
Income taxes at U.S. statutory rate	$	27,721	$	30,335	$	33,520
State income taxes, net of federal tax benefit	(950)		(1,412)		971
U.S. income taxes provided on international income	3,220		4,272		4,583
Combined tax effects of international income	8,165		10,355		5,761

Change in valuation allowance and other uncertain tax positions	(103)		(3,590)		(4,060)

U.S. research and development credit	(2,880)		(4,026)		(3,325)
Advanced manufacturing production credit	(2,941)		(488)		—

Combined effects of Swiss tax reform	—		(7,801)		(2,225)

Non-deductible executive compensation	417		2,389		667

Other	647		775		363

Provision for income taxes	$	33,296	$	30,809	$	36,255

Components of Net Deferred Tax Liabilities and Assets

The components of net deferred tax assets and liabilities were as follows at June 30:


(in thousands)	2025		2024
Deferred tax assets:
Net operating loss (NOL) carryforwards	$	19,756	$	20,340
Inventory valuation and reserves	8,974		9,322
Accrued employee benefits	13,613		13,627
Operating lease liabilities	10,759		12,097
Other accrued liabilities	12,976		13,810
Capitalized research and development costs	42,947		35,637
Tax credits and other carryforwards	19,582		18,231
Intangible assets	11,618		11,095

Total	140,225		134,159
Valuation allowance	6,214		5,911
Total deferred tax assets	$	134,011	$	128,248
Deferred tax liabilities:
Tax depreciation in excess of book	$	53,337	$	58,723
Operating lease right-of-use assets	10,710		12,038

Unremitted earnings not permanently reinvested	3,754		6,931
Pension benefits	3,882		2,633
Other	4,464		4,761
Total deferred tax liabilities	$	76,147	$	85,086
Total net deferred tax assets	$	57,864	$	43,162

Reconciliation of Unrecognized Tax Benefits Excluding Interest

A reconciliation of the beginning and ending amount of unrecognized tax benefits (excluding interest and penalty) is as follows as of June 30:


(in thousands)	2025		2024		2023
Balance at beginning of year	$	1,309	$	6,935	$	7,598
(Decreases)/Increases for tax positions of prior years	316		—		(658)

Increases for tax positions related to the current year	77		79		—

Decreases related to lapse of statute of limitations	(140)		(5,686)		(99)
Foreign currency translation	132		(19)		94
Balance at end of year	$	1,694	$	1,309	$	6,935

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