Other Balance Sheet Components

9 Months Ended

Mar. 31, 2025

Accrued expenses included the following:


	March 31, 2025		June 30, 2024
Compensation costs	$	80,023	$	80,844
Income and indirect taxes	56,938		46,499
Advertising costs (1)	33,018		23,524
Third-party manufacturing and digital content costs	17,878		17,608
Shipping costs	12,466		10,088
Variable compensation incentives	9,916		9,263
Sales returns	5,799		5,181
Interest payable	2,871		3,658
Professional fees	2,749		2,596

Other	51,764		46,670
Total accrued expenses	$	273,422	$	245,931

______________________

(1) The increase in advertising costs is due in part to the timing of invoice receipts which resulted in higher accruals at March 31, 2025, as compared to accounts payable at June 30, 2024.

Other current liabilities included the following:


	March 31, 2025		June 30, 2024
Mandatorily redeemable noncontrolling interest (1)	$	9,663	$	—
Current portion of finance lease obligations	8,367		8,323

Short-term derivative liabilities	4,564		4,833
Other	2,266		(20)
Total other current liabilities	$	24,860	$	13,136

Other liabilities included the following:


	March 31, 2025		June 30, 2024
Long-term finance lease obligations	$	24,467	$	28,037
Long-term compensation incentives	15,178		17,127

Long-term derivative liabilities (1)	14,683		584
Mandatorily redeemable noncontrolling interest (2)	—		9,608
Other	20,820		20,949
Total other liabilities	$	75,148	$	76,305

________________________

(1) The increase in long-term derivative liabilities is primarily due to the increase in unrealized losses associated with forward contracts that are intended to mitigate our exposure to fluctuations in various currencies against our reporting currency, the U.S. dollar. The increase in unrealized losses is primarily due to the weakening of the U.S. dollar against certain currencies, including the Euro and GBP, which are our most significant currency exposures. Refer to Note 4 for additional details relating to our derivative contracts.

(2) During the current fiscal year, the mandatorily redeemable noncontrolling interests were reclassified from long-term liabilities to current liabilities, since we are required to purchase the outstanding equity interests during the second quarter of fiscal year 2026

CIMPRESS plc 10-Q