0001564590-18-027536 | 10-Q | XBRL Viewer

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Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Sep. 30, 2018	Oct. 29, 2018
Document And Entity Information [Abstract]
Entity Registrant Name	ACCURAY INC
Entity Central Index Key	0001138723
Document Type	10-Q
Document Period End Date	Sep. 30, 2018
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Entity Current Reporting Status	Yes
Trading Symbol	ARAY
Entity Filer Category	Accelerated Filer
Smaller reporting company	false
Entity emerging growth company	false
Entity Common Stock, Shares Outstanding		86,660,010
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1

Unaudited Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Current assets:
Cash and cash equivalents	$ 68,545	$ 83,083
Restricted cash	1,969	9,830
Accounts receivable, net of allowance for doubtful accounts of $661 and $251 as of September 30, 2018 and June 30, 2018, respectively	66,420	65,994
Inventories	117,684	108,540
Prepaid expenses and other current assets	17,075	15,569
Deferred cost of revenue	220	1,141
Total current assets	271,913	284,157
Property and equipment, net	23,126	23,698
Goodwill	57,767	57,855
Intangible assets, net	785	821
Restricted cash	791	620
Other assets	14,749	11,576
Total assets	369,131	378,727
Current liabilities:
Accounts payable	25,921	19,694
Accrued compensation	21,857	28,992
Other accrued liabilities	21,240	22,448
Customer advances	19,181	22,896
Deferred revenue	72,278	75,404
Total current liabilities	160,477	169,434
Long-term liabilities:
Long-term other liabilities	9,890	8,608
Deferred revenue	22,732	20,976
Long-term debt	128,926	131,077
Total liabilities	322,025	330,095
Commitments and contingencies (Note 9)
Stockholders' equity:
Common stock, $0.001 par value; authorized: 200,000,000 shares as of September 30, 2018 and June 30, 2018, respectively; issued and outstanding: 86,500,260 and 86,129,256 shares at September 30, 2018 and June 30, 2018, respectively	86	86
Additional paid-in-capital	524,699	521,738
Accumulated other comprehensive income	698	1,093
Accumulated deficit	(478,377)	(474,285)
Total stockholders' equity	47,106	48,632
Total liabilities and stockholders' equity	$ 369,131	$ 378,727

Unaudited Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Statement Of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts (in dollars)	$ 661	$ 251
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized shares	200,000,000	200,000,000
Common stock, issued shares	86,500,260	86,129,256
Common stock, outstanding shares	86,500,260	86,129,256

Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Net revenue:
Total net revenue	$ 95,829	$ 90,950
Cost of revenue:
Total cost of revenue	57,950	52,844
Gross profit	37,879	38,106
Operating expenses:
Research and development	13,889	14,093
Selling and marketing	13,036	14,757
General and administrative	15,642	11,308
Total operating expenses	42,567	40,158
Loss from operations	(4,688)	(2,052)
Other expense, net	(3,983)	(6,571)
Loss before provision for income taxes	(8,671)	(8,623)
Provision for income taxes	535	759
Net loss	$ (9,206)	$ (9,382)
Net loss per share - basic and diluted	$ (0.11)	$ (0.11)
Weighted average common shares used in computing net loss per share:
Basic and diluted	86,479	83,747
Net loss	$ (9,206)	$ (9,382)
Foreign currency translation adjustment	(395)	346
Unrealized gain (loss) on investments, net of tax		22
Comprehensive loss	(9,601)	(9,014)
Products
Net revenue:
Total net revenue	41,517	38,916
Cost of revenue:
Total cost of revenue	24,524	22,102
Services
Net revenue:
Total net revenue	54,312	52,034
Cost of revenue:
Total cost of revenue	$ 33,426	$ 30,742

Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Cash flows from operating activities
Net loss	$ (9,206)	$ (9,382)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	2,129	2,514
Share-based compensation	3,212	2,432
Amortization of debt issuance costs	380	448
Accretion of interest on debt	811	862
Provision for bad debt	3,737	8
Provision for write-down of inventories	713	354
Loss on disposal of property and equipment	19	11
Loss on extinguishment of debt	0	3,192
Changes in assets and liabilities:
Accounts receivable	(1,377)	1,932
Inventories	(10,150)	(8,792)
Prepaid expenses and other assets	(1,096)	2,506
Deferred cost of revenue	459	991
Accounts payable	6,256	4,791
Accrued liabilities	(8,564)	(11,653)
Customer advances	(3,723)	2,374
Deferred revenues	(1,423)	(5,615)
Net cash used in operating activities	(17,823)	(13,027)
Cash flows from investing activities
Purchases of property and equipment, net	(1,602)	(929)
Net cash used in investing activities	(1,602)	(929)
Cash flows from financing activities
Proceeds from employee stock plans	837	900
Taxes paid related to net share settlement of equity awards	0	(19)
Proceeds from debt, net of costs	0	27,282
Payments made to note and loan holders	0	(29,581)
Borrowings (repayments) under Revolving Credit Facility, net	(3,263)	251
Net cash used in financing activities	(2,426)	(1,167)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(377)	684
Net decrease in cash, cash equivalents and restricted cash	(22,228)	(14,439)
Cash, cash equivalents and restricted cash at beginning of period	93,533	85,235
Cash, cash equivalents and restricted cash at end of period	$ 71,305	$ 70,796

The Company and its Significant Accounting Policies	3 Months Ended
The Company and its Significant Accounting Policies	Sep. 30, 2018
Organization Consolidation And Presentation Of Financial Statements [Abstract]
The Company and its Significant Accounting Policies	Note 1. The Company and its Significant Accounting Policies The Company Accuray Incorporated (together with its subsidiaries, the “Company” or “Accuray”) designs, develops and sells advanced radiosurgery and radiation therapy systems for the treatment of tumors throughout the body. The Company is incorporated in Delaware and has its principal place of business in Sunnyvale, California. The Company has primary offices in the United States, Switzerland, China, Hong Kong and Japan and conducts its business worldwide. Basis of Presentation The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant inter-company transactions and balances have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“GAAP”), pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and note disclosures have been condensed or omitted pursuant to such rules and regulations. The unaudited condensed consolidated financial statements have been prepared on the same basis as the annual financial statements and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for a fair presentation of the periods presented. The results for the three months ended September 30, 2018 are not necessarily indicative of the results to be expected for the fiscal year ending June 30, 2019, or for any other future interim period or fiscal year. These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes for the fiscal year ended June 30, 2018 included in the Company’s Annual Report on Form 10-K filed with the SEC on August 24, 2018. Significant Accounting Policies The Company adopted the Accounting Standard Codification (“ASC”) 606, Revenue from Contracts with Customers as of July 1, 2018, using the modified retrospective method. See Note 2. Recent Accounting Pronouncements and Note 3. Revenue, to our unaudited condensed consolidated financial statements included in this Quarterly Report on Form 10-Q for additional details. Except for the changes in the revenue recognition policy, there have been no other material changes to the Company’s accounting policies from the information provided in Note 1. The Company and its Significant Accounting Policies to the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended June 30, 2018. Revenue Recognition The Company’s revenue is primarily derived from sales of CyberKnife and TomoTherapy Systems and services, which include post-contract customer support (“PCS”), installation services, training and other professional services. The Company has a contract with a customer when there is approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. The Company’s customary practice is to have a signed contract with customers. The Company's revenues are measured based on consideration specified in the contract with each customer, net of any sales incentives and amounts collected on behalf of third parties such as sales taxes, excise taxes, and VAT. The majority of the Company's revenue arrangements consists of multiple performance obligations, which can include system, upgrades, installation, training, services, construction, and consumables. For bundled arrangements, the Company accounts for individual products and services separately if a product or service is separately identifiable from other items in the bundled package and if a customer can benefit from it on its own or with other resources that are readily available to the customer. The Company’s products are generally not sold with a right of return, and the Company’s contracts generally provide a fixed transaction price. However, the Company from time to time offers variable consideration such as volume discounts. The Company also offers extended payment terms beyond one year, trade-in allowance for old systems, and commissions or other forms of payment to customers. The stand-alone selling price (“SSP”) of performance obligations is determined based on observable prices at which the Company separately sells the products and services. If the SSP is not directly observable, then the Company will estimate the SSP considering market conditions, entity-specific factors, and information about the customer or class of customer that is reasonably available. The SSP is generally assessed as a percentage of the list price. The contract consideration allocation is based on the SSP at contract inception. The consideration (net of any discounts) is allocated among separate products and services in a bundle based on their individual SSP. For contract modifications that add additional goods or services or changes pricing, the SSP is used for allocation to the remaining performance obligations. The Company recognizes revenue for certain performance obligations at the point in time when control is transferred, such as delivery of products. The Company recognizes revenue for certain other performance obligations over a period of time as control of the goods or services is transferred, such as PCS and construction contracts. The Company recognizes an asset for the incremental costs of obtaining a contract with a customer if the Company expects the benefit of those costs to be longer than one year. The Company capitalizes incremental contract acquisition costs, and amortizes such costs over the period which the Company expects to benefit, as estimated by management, which may extend beyond the initial contract term. Most of the Company’s contract costs are associated with its internal sales force compensation program and a portion of its employee bonus program. The Company amortizes capitalized bonuses and a portion of sales commissions over a period of five years commencing upon the initial transfer of control of the system to the customer. The pattern of amortization is commensurate with the pattern of transfer of control of the performance obligations to the customer. The Company elected to use the practical expedient in ASC 340-40-25-4 and expense as incurred commissions related to service renewals and upgrades because the contract term is less than a year.

Recent Accounting Pronouncements	3 Months Ended
Recent Accounting Pronouncements	Sep. 30, 2018
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Recent Accounting Pronouncements	Note 2. Recent Accounting Pronouncements Accounting Pronouncement Recently Adopted In June 2018, the Financial Accounting Standard Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-7, Compensation – Stock Compensation (Topic 718) )— Improvements to Nonemployee Share-Based Payment Accounting. This guidance supersedes ASC 505-50 and expands the scope of ASC 718 to include all share-based payment arrangements related to the acquisition of goods and services from both nonemployees and employees. The amendments should be applied on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal year of adoption. The guidance permits early adoption and was adopted by the Company in the first quarter of fiscal year 2019. The adoption of this ASU did not have any impact on the Company’s consolidated financial statements and related disclosures. In May 2017, the FASB issued ASU No. 2017-09, Compensation—Stock Compensation (Topic 718)—Scope of Modification Accounting. This guidance redefines which changes to the terms and conditions of a share-based payment award require an entity to apply modification accounting for a share-based payment. Modification accounting will not be applied if the following are the same immediately before and after the change: fair value, vesting conditions, and classification. The Company adopted ASU No. 2017-09 as required in the first quarter of fiscal 2019 on a prospective basis. The adoption of this ASU did not have any impact on the Company’s consolidated financial statements and related disclosures. In March 2017, the FASB issued ASU No. 2017-07, Compensation—Retirement Benefits (Topic 715)—Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. This guidance revises the presentation of employer-sponsored defined benefit pension and other postretirement plans for the net periodic benefit cost in the statement of operations and requires that the service cost component of net periodic benefit be presented in the same income statement line items as other employee compensation costs for services rendered during the period. The other components of the net benefit costs are required to be presented in the statement of operations separately from the service cost component and outside the subtotal of income from operations. This guidance allows only the service cost component of net periodic benefit costs to be eligible for capitalization. In addition, changes to the presentation of benefit costs were required to be adopted retrospectively, while changes to the capitalization of service costs into inventories were required to be adopted prospectively. The standard permits, as a practical expedient, use of the amounts disclosed in the pension plans footnote for the prior comparative periods as the estimation basis for applying the retrospective presentation requirement. The Company adopted ASU No. 2017-07 as required in the first quarter of fiscal 2019, and the adoption of this ASU did not have a material impact on the Company’s consolidated financial statements and related disclosures. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments, which clarifies the presentation and classification of certain cash receipts and cash payments in the statement of cash flows. The amendments in the update provide guidance on eight specific cash flow issues. The amendments to the guidance should be applied using a retrospective transition method for each period presented and, if it is impracticable to apply all of the amendments retrospectively for some of the issues, the amendments for those issues would be applied prospectively as of the earliest date practicable. The Company adopted ASU No. 2016-15 as required in the first quarter of fiscal 2019. The adoption of this ASU did not have any impact on the Company’s consolidated financial statements and related disclosures. In January 2016, the FASB issued ASU No. 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities (ASU 2016-01). This guidance changes accounting for equity investments, financial liabilities under the fair value option and the presentation and disclosure requirements for financial instruments. In addition, it clarified guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses on available-for-sale debt securities. The Company adopted this ASU No. 2016-01 as required in the first quarter of fiscal 2019 on a required modified retrospective approach. The adoption of this ASU did not have any impact on the Company’s consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU No. 2017-04, Intangibles-Goodwill and Other Topics (Topic 350)-Simplifying the Test for Goodwill Impairment. This guidance simplifies the measurement of goodwill by eliminating the Step 2 impairment test. The new guidance requires companies to perform the goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. This guidance will be effective for the Company beginning in its first quarter of fiscal 2021. The amendment is required to be adopted prospectively. Early adoption is permitted for goodwill impairment tests performed on testing dates after January 1, 2017. The Company early adopted this guidance in the first quarter of fiscal 2019 and adoption of this ASU did not have any impact on its consolidated financial statements and related disclosures. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606), to supersede nearly all existing revenue recognition guidance under GAAP. The core principle of ASU 2014-09 is to recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. ASU 2014-09 defines a five-step process to achieve this core principle and, in doing so, it is possible more judgment and estimates may be required within the revenue recognition process than required under existing GAAP, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. ASU 2014-09 is required to be adopted, using either of two methods: (i) retrospective to each prior reporting period presented with the option to elect certain practical expedients as defined within ASU 2014-09; or (ii) retrospective with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application and providing certain additional disclosures. The Company adopted the new revenue standards as of July 1, 2018, using the modified retrospective transition method applied to those contracts which were not completed as of that date. The Company completed its assessment of the impact this guidance has on its consolidated financial statements and related disclosures. Based on that assessment, the Company concluded the significant impact areas were the capitalization and amortization of incremental costs of obtaining a contract, primarily related to certain bonuses and sales commissions, change in SSP and the removal of software revenue recognition rules along with the elimination of revenue deferral for cash basis customers. Under the new standards, the Company capitalizes incremental contract acquisition costs, such as certain bonuses and sales commissions, and amortizes such costs over the period which the Company benefits, as estimated by management, which may extend beyond the initial contract term. The Company amortizes capitalized bonuses and sales commissions over a period of five years commencing upon the initial transfer of control of the system to the customer. The pattern of amortization is commensurate with the pattern of transfer of control of the performance obligations to the customer. The Company elected to use the practical expedient in ASC 340-40-25-4 and expense commissions related to service renewals and upgrades with a renewal contract term of one year or less as incurred. The Company recorded a net reduction to opening accumulated deficit of $5.1 million, net of tax, as of July 1, 2018 due to the cumulative impact of adopting ASC 606, with the impact primarily related to the deferral of incremental costs to obtain contracts. Under ASC 606, product revenue for direct sales will be accelerated to reflect transfer of control upon delivery while an element of installation will be deferred until performed. Prior to the adoption of ASC 606, the Company deferred revenue until installation had occurred. The revenue recognition method for indirect sales and service revenues is unchanged under the new guidance. Refer to Note 3, Revenue, to the Unaudited Condensed Consolidated Financial Statement on this Quarterly report for the detailed impact of adopting ASC 606. Accounting Pronouncements Not Yet Effective In February 2018, the FASB issued ASU No. 2018-2, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, that allows companies to reclassify from Accumulated Other Comprehensive Income to Retained Earnings stranded tax effects resulting from the enactment of the Tax Cuts and Jobs Act (the "Tax Act"). The guidance will be effective for the Company in its first quarter of fiscal 2020. Early adoption is permitted. The guidance should be applied either in the period of adoption or retrospectively to each period in which the effect of the change in the U.S. federal corporate income tax rate in the Tax Cuts and Jobs Act is recognized. The Company has not yet selected a transition method, has not yet determined whether it will elect early adoption and is currently evaluating the impact of the adoption of this standard on its consolidated financial statements and related disclosures. In August 2017, the FASB issued ASU No. 2017-12, Derivatives and Hedging. This guidance simplifies the application and administration of hedge accounting. The guidance amends the presentation and disclosure requirements and changes how companies assess effectiveness. The guidance is intended to more closely align hedge accounting with companies' risk management strategies, simplify the application of hedge accounting, and increase transparency as to the scope and results of hedging programs. The guidance will be effective for the Company in its first quarter of fiscal 2020. Early adoption is permitted. The guidance is required to be adopted on a prospective basis. The Company will not early adopt and does not believe the adoption of this standard will have a material impact on its consolidated financial statements and related disclosures. In June 2016, the FASB issued ASU No. 2016-13 Measurement of Credit Losses on Financial Instruments (ASU 2016-13). ASU 2016-13 requires measurement and recognition of expected credit losses for financial assets held. This guidance will be effective for the Company in the first quarter of fiscal 2021 and must be adopted using a modified retrospective approach, with certain exceptions. Early adoption is permitted beginning in the first quarter of fiscal 2020. The Company has not yet decided whether it will early adopt and is currently evaluating the impact of the adoption of this standard on its consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). Under the new guidance, a lessee will be required to recognize assets and liabilities for all leases with lease terms of more than 12 months. Consistent with current GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. This guidance will be effective for the Company in the first quarter of fiscal 2020 and early adoption is permitted. In July 2018, the FASB issued ASU No. 2018-11, Targeted Improvements, which provides another transition method in addition to the existing modified retrospective transition approach. Accordingly, the new method allows entities to initially apply the new leases standard at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. The Company intends to adopt the allowed transition method allowed under ASU 2018-11, but will not elect early adoption, and is currently evaluating the impact of the adoption of this standard on its consolidated financial statements and related disclosures.

Revenue

3 Months Ended

Sep. 30, 2018

Revenue From Contract With Customer [Abstract]

Revenue

Note 3. Revenue

On July 1, 2018 the Company adopted ASC 606 electing the modified retrospective method for contracts that were still open as of July 1, 2018. Results for reporting periods after July 1, 2018 are presented under ASC 606, while prior period amounts are not adjusted and continue to be reported in accordance with legacy accounting guidance under ASC 605.

The beginning net cumulative-effect adjustment to retained earnings for the adoption of ASC 606 is as follows:

	Balance at			Adjustment Due to			Balance at
(Dollars in thousands)	June 30, 2018			ASC 606			July 1, 2018
Assets:
Account receivable, net	$	65,994		$	257		$	66,251
Deferred cost of revenue - current		1,141			(464	)		677
Prepaid expenses and other current assets		15,569			670			16,239
Other assets		11,576			5,840			17,416
Liabilities and Stockholders' Equity:
Other accrued liabilities		22,448			611			23,059
Deferred revenue - current		75,404			111			75,515
Long-term other liabilities		8,608			467			9,075
Accumulated deficit		(474,285	)		5,114			(469,171	)

Select unaudited condensed consolidated balance sheets line items, which reflect the adoption of ASC 606 are as follows:

	September 30, 2018
(Dollars in thousands)	Balances Without Adoption			Adjustments			As Reported
Assets:
Account receivable, net	$	61,798		$	4,622		$	66,420
Deferred cost of revenue - current		11,300			(11,080	)		220
Prepaid expenses and other current assets		16,118			957			17,075
Other assets		8,711			6,038			14,749
Liabilities and Stockholders' Equity:
Other accrued liabilities		20,606			634			21,240
Deferred revenue - current		86,592			(14,314	)		72,278
Long-term other liabilities		9,186			704			9,890
Accumulated deficit		(491,890	)		13,513			(478,377	)

Select unaudited condensed consolidated statements of operations and comprehensive loss line items for the three months ended September 30, 2018, which reflect the adoption of ASC 606 are as follows:

	Three Months Ended September 30, 2018
(Dollars in thousands)	Balances Without Adoption			Adjustments			As Reported
Net revenue	$	77,114		$	18,715		$	95,829
Cost of goods sold		47,356			10,594			57,950
Other expense, net		4,071			(88	)		3,983
Research and development		13,921			(32	)		13,889
Selling and marketing		13,226			(190	)		13,036
General and administrative		15,685			(43	)		15,642
Provision for income taxes		460			75			535
Net income (loss)		(17,605	)		8,399			(9,206	)
Net income (loss) per share - Basic and Diluted	$	(0.21	)	$	0.10		$	(0.11	)

The adoption of ASC 606 had no impact to net cash from or used in operating, investing or financing activities in the Company's unaudited condensed consolidated statements of cash flows.

Contract Balances

The timing of revenue recognition, billings, and cash collections results in trade, unbilled receivables, and deferred revenues on the unaudited condensed consolidated statement of balance sheets. The Company may offer longer or extended payments of more than one year for qualified customers in some circumstances. At times, revenue recognition occurs before the billing, resulting in an unbilled receivable, which represents a contract asset. The contract asset is a component of accounts receivable and other assets for the current and non-current portions, respectively.

When the Company receives advances or deposits from customers before revenue is recognized, this results in deferred revenues, which represents a contract liability. It can take up to two and half years from the time of order to revenue recognition due to the Company’s long sales cycle.

Changes in the contract assets and contract liabilities are as follows:

	July 1, 2018		September 30, 2018		Change
(Dollars in thousands)	Amount		Amount		$			%
Assets:
Unbilled accounts receivable - current (1)	$	3,218	$	11,105		7,887			71
Long Term Accounts Receivable (2)		6,833		4,189		(2,644	)		(63	)
Interest receivable - non-current (2)		611		701		90			13
Liabilities:
Customer advances		22,896		19,181		(3,715	)		(19	)
Deferred revenue - current		75,515		72,278		(3,237	)		(4	)
Deferred revenue - non-current		20,976		22,732		1,756			8

(1)

Included in accounts receivable on consolidated balance sheets

(2)

Included in other assets on consolidated balance sheets

Changes in deferred revenue from contracts with customers are as follows:

	Three Months Ended
(Dollars in thousands)	September 30, 2018
Balance at beginning of period	$	96,491
New billings		94,348
Recoginition of deferred revenue		(95,829	)
Balance at end of period	$	95,010

Remaining Performance Obligations

Remaining performance obligations represent deferred revenue from open contracts for which performance has already started and the transaction price from signed contracts for which performance has not yet started. Service contracts in general are considered month-to-month contracts, and therefore, the Company has elected the practical expedients available in the guidance related to ASC 606, to not disclose the value of unsatisfied performance obligations for contracts with an original expected duration of one year or less.

As of September 30, 2018, total remaining performance obligations amounted to $731.0 million. Of this total amount, $66.5 million related to long-term warranty and service, which is expected to be recognized over the remaining warranty period for systems that have been delivered. For system that have been delivered but not yet installed, management estimates the timing of installation since warranty starts upon installation.

The following table represents the Company's remaining performance obligations related to long-term warranty and service as of September 30, 2018 and the estimated revenue expected to be recognized:

	Fiscal years of revenue recognition
(Dollars in thousands)	2019		2020		2021		Thereafter
Long-term warranty and service	$	22,411	$	21,862	$	12,939	$	9,255

For the remaining $664.5 million of performance obligations, the Company estimates 30% to 40% will be recognized in the next 12 months, and the remaining 60% to 70% will be recognized in the 30 months thereafter. The Company’s historical experience indicates that some of its customers will cancel or renegotiate contracts as economic conditions change or when product offerings change during the long sales cycle. As such, about 15% to 20% of the Company’s contracts may never result in revenue due to cancellation.

The time bands reflect management’s best estimate of when the Company will transfer control to the customer and may change based on timing of shipment, readiness of customers’ facilities for installation, installation requirements, and availability of products.

Capitalized Contract Costs

The Company capitalizes and amortizes the incremental costs of obtaining a contract, primarily related to certain bonuses and sales commissions. The capitalized bonuses and sales commissions are amortized over a period of five years commencing upon the initial transfer of control of the system to the customer. The pattern of amortization is commensurate with the pattern of transfer of control of the performance obligations to the customer.

The opening balance of capitalized costs to obtain a contract was $5.9 million as of July 1, 2018. As of September 30, 2018, the balance of capitalized costs to obtain a contract was $6.2 million. The Company has classified the capitalized costs to obtain a contract as a component of prepaid expenses and other current assets and other assets with respect to the current and non-current portions of capitalized costs, respectively, on the consolidated balance sheets. The Company did not incur any impairment losses during any of the periods presented. During the three months ended September 30, 2018, the Company recognized $0.9 million in expense related to the amortization of the capitalized contract costs.

Supplemental Financial Information

3 Months Ended

Sep. 30, 2018

Supplemental Financial Information Disclosure [Abstract]

Supplemental Financial Information

Note 4. Supplemental Financial Information

Balance Sheet Components

Financing receivables

A financing receivable is a contractual right to receive money, on demand or on fixed or determinable dates, that is recognized as an asset on the Company’s balance sheet. The Company’s financing receivables, consisting of its accounts receivable with contractual maturities of more than one year and sales-type leases, totaled $4.2 million and $6.9 million at September 30, 2018 and June 30, 2018, respectively, and are included in other assets in the unaudited condensed consolidated balance sheets. The Company evaluates the credit quality of an obligor at lease or contract inception and monitors credit quality over the term of the underlying transactions. The Company performs a credit analysis for all new customers and reviews payment history, current order backlog, financial performance of the customers and other variables that augment or mitigate the inherent credit risk of a transaction. Such variables include the underlying value and liquidity of the collateral, the essential use of the equipment, the term of the lease and the inclusion of credit enhancements, such as guarantees, letters of credit or security deposits. The Company classifies accounts as high risk when it considers the financing receivable to be impaired or when management believes there is a significant near-term risk of non-payment. As of September 30, 2018, the sales-type lease portion of the financing receivables was rated at a moderate risk. The Company performed an assessment of the allowance for credit losses related to its financing receivables as of September 30, 2018 and June 30, 2018. Based upon such assessment, the Company recorded $3.3 million and zero adjustment to the allowance for credit losses related to such financing receivables as of September 30, 2018 and as of June 30, 2018, respectively.

A summary of the Company’s financing receivables is presented as follows (in thousands):

September 30, 2018	Lease Receivables			Financed Service Contracts and Other			Total
Gross	$	1,472		$	13,841		$	15,313
Unearned income		(113	)		(1,036	)		(1,149	)
Allowance for credit loss		—			(3,327	)		(3,327	)
Total, net	$	1,359		$	9,478		$	10,837
Reported as:
Current	$	444		$	6,204			6,648
Non-current		915			3,274			4,189
Total, net	$	1,359		$	9,478		$	10,837

June 30, 2018	Lease Receivables			Financed Service Contracts and Other		Total
Gross	$	1,588		$	8,009	$	9,597
Unearned income		(137	)		—	$	(137	)
Allowance for credit loss		—			—	$	—
Total, net		1,451			8,009		9,460
Reported as:
Current	$	432		$	2,139	$	2,571
Non-current		1,019			5,870		6,889
Total, net	$	1,451		$	8,009	$	9,460

Actual cash collections may differ from the contracted maturities due to early customer buyouts, refinancing, or defaults. Future minimum lease payments to be received as of September 30, 2018 are presented as follows (in thousands):

Year Ending June 30,	Amount
2019 (remaining 9 months)	$	387
2020		465
2021		465
2022		155
Total	$	1,472

Inventories

Inventories consisted of the following (in thousands):

	September 30, 2018		June 30, 2018
Raw materials	$	44,417	$	37,144
Work-in-process		17,189		17,703
Finished goods		56,078		53,693
Inventories	$	117,684	$	108,540

Property and equipment, net

Property and equipment, net consisted of the following (in thousands):

	September 30, 2018			June 30, 2018
Furniture and fixtures	$	2,910		$	2,927
Computer and office equipment		10,789			11,315
Software		10,840			11,307
Leasehold improvements		25,742			25,423
Machinery and equipment		42,736			47,065
Construction in progress		6,433			5,629
		99,450			103,666
Less: Accumulated depreciation		(76,324	)		(79,968	)
Property and equipment, net	$	23,126		$	23,698

Depreciation expense related to property and equipment for the three months ended September 30, 2018 and 2017 was $2.1 million and $2.5 million, respectively.

Accumulated Other Comprehensive Income

The changes in accumulated other comprehensive income are excluded from earnings and reported as a component of stockholders’ equity. The foreign currency translation adjustment results from those subsidiaries not using the U.S. Dollar as their functional currency since the majority of their economic activities are primarily denominated in their applicable local currency. Accordingly, all assets and liabilities related to these operations are translated to the U.S. Dollar at the current exchange rates at the end of each period. Revenues and expenses are translated at average exchange rates in effect during the period.

The components of accumulated other comprehensive income in the equity section of the balance sheets are as follows (in thousands):

	September 30, 2018			June 30, 2018
Cumulative foreign currency translation adjustment	$	842		$	1,237
Defined benefit pension obligation		(144	)		(144	)
Accumulated other comprehensive income	$	698		$	1,093

Goodwill and Intangible Assets

3 Months Ended

Sep. 30, 2018

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Note 5. Goodwill and Intangible Assets

Goodwill

Activity related to goodwill consisted of the following (in thousands):

	September 30, 2018			June 30, 2018
Balance at the beginning of the period	$	57,855		$	57,812
Currency translation		(88	)		43
Balance at the end of the period	$	57,767		$	57,855

In the second quarter of fiscal 2018, the Company performed its annual goodwill impairment test. Based on this analysis, the Company determined that there was no impairment to goodwill. The Company will continue to monitor its recorded goodwill for indicators of impairment.

Intangible Assets

The Company’s carrying amount of acquired intangible assets, net, is as follows (in thousands):

			September 30, 2018							June 30, 2018
	Useful Lives		Gross Carrying Amount		Accumulated Amortization			Net Amount		Gross Carrying Amount		Accumulated Amortization			Net Amount
	(in years)
Patent license		7	$	1,000	$	(215	)	$	785	$	1,000	$	(179	)	$	821

The Company did not identify any triggering events that would indicate potential impairment of its definite-lived intangible and long-lived assets as of September 30, 2018 and June 30, 2018.

Amortization expense related to intangible assets for the three months ended September 30, 2018 and 2017 was each $0.04 million.

The estimated future amortization expense of acquired intangible assets as of September 30, 2018 is as follows (in thousands):

Year Ending June 30,	Amount
2019 (remaining 9 months)	$	107
2020		143
2021		143
2022		143
2023		143
Thereafter		106
	$	785

Investments	3 Months Ended
Investments	Sep. 30, 2018
Investments Debt And Equity Securities [Abstract]
Investments	Note 6. Investments The Company considers all highly liquid investments held at major banks, certificates of deposit and other securities with original maturities of three months or less to be cash equivalents. The Company classifies all of its investments as available-for-sale at the time of purchase because management intends that these investments are available for current operations and includes these investments on its balance sheet as short-term investments. Investments with original maturities longer than three months include commercial paper, U.S. agency securities, non-U.S. government securities and investment-grade corporate debt securities. Investments classified as available-for-sale are recorded at fair market value with the related unrealized gains and losses included in accumulated other comprehensive income, a component of stockholders’ equity. Realized gains and losses are recorded based on specific identification of each security’s cost basis. The Company sold all of its investments in fiscal 2018 and as such, no investments were outstanding as of September 30, 2018 and June 30, 2018.

Derivative Financial Instruments

3 Months Ended

Sep. 30, 2018

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

Note 7. Derivative Financial Instruments

The Company manages some of its foreign currency risk through the purchase of foreign currency forward contracts that hedge against the short-term effect of currency fluctuations. These foreign currency forward contracts have a monthly maturity that mitigates the effect of rate fluctuations on certain local currency denominated intercompany balances, cash, and customer receivables. The Company does not use derivative financial instruments for speculative or trading purposes. These forward contracts are not designated as hedging instruments for accounting purposes. Principal hedged currencies include the Euro, Japanese Yen, Swiss Franc, and U.S. Dollar. There were no outstanding foreign currency forward contracts at the end of September 30, 2018 and June 30, 2018.

The following table provides information about gain (loss) associated with the Company’s derivative financial instruments (in thousands):

	Three Months Ended September 30,
	2018			2017
Foreign currency exchange gain on foreign contracts	$	17		$	241
Foreign currency transactions gain (loss)		(530	)		4

Fair Value Measurements

3 Months Ended

Sep. 30, 2018

Fair Value Disclosures [Abstract]

Fair Value Measurements

Note 8. Fair Value Measurements

Fair value is an exit price representing the amount that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The fair value hierarchy contains three levels of inputs that may be used to measure fair value, as follows:

Level 1— Unadjusted quoted prices that are available in active markets for the identical assets or liabilities at the measurement date.

Level 2— Other observable inputs available at the measurement date, other than quoted prices included in Level 1, either directly or indirectly, including:

•

Quoted prices for similar assets or liabilities in active markets;

•

Quoted prices for identical or similar assets in non-active markets;

•

Inputs other than quoted prices that are observable for the asset or liability; and

•

Inputs that are derived principally from or corroborated by other observable market data.

Level 3— Unobservable inputs that cannot be corroborated by observable market data and require the use of significant management judgment. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions.

The Company does not carry any investments, and its cash balance was $68.5 million and $83.1 million at September 30, 2018 and June 30, 2018, respectively.

Liabilities That Are Measured at Fair Value on a Nonrecurring Basis

The Company’s debt is measured on a non-recurring basis using Level 2 inputs based upon observable inputs of the Company’s underlying stock price and the time value of the conversion option since an observable quoted price of the 3.75% Convertible Notes (as defined below) are not readily available. The Revolving Credit Facility (as defined below) and the Term Loan (as defined below) (collectively the “Credit Facilities”) are valued at market interest rates, which it considers to be a level 2 fair value measurement. The carrying value of these financial instruments approximate its estimated fair value as there have not been significant changes in the Company’s credit quality or capital markets that would suggest changes in interest rates since the Credit Facilities were issued or amended in December 2017.

The following table summarizes the carrying value and estimated fair value of the Credit Facilities and the 3.75% Convertible Notes (in thousands):

	September 30, 2018				June 30, 2018
	Carrying Value		Fair Value		Carrying Value		Fair Value
3.75% Convertible Notes	$	70,197	$	90,100	$	69,382	$	70,742
Term Loan Facility		38,307		38,307		38,010		38,010
Revolving Credit Facility		20,422		20,422		23,685		23,685
Total	$	128,926	$	148,829	$	131,077	$	132,437

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Commitments and Contingencies	3 Months Ended
Commitments and Contingencies	Sep. 30, 2018
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 9. Commitments and Contingencies Litigation From time to time, the Company is involved in legal proceedings arising in the ordinary course of its business. The Company records a provision for a loss when it believes that it is both probable that a loss has been incurred and the amount can be reasonably estimated. Currently, management believes the Company does not have any probable and estimable losses related to legal proceedings and claims. Although occasional adverse decisions or settlements may occur, management does not believe that an adverse determination with respect to any of these claims would individually or in the aggregate materially and adversely affect the Company’s financial condition or operating results. Litigation is inherently unpredictable and is subject to significant uncertainties, some of which are beyond the Company’s control. Should any of these estimates and assumptions change or prove to have been incorrect, the Company could incur significant charges related to legal matters that could have a material impact on its results of operations, financial position and cash flows. Software License Indemnity Under the terms of the Company’s software license agreements with its customers, the Company agrees that in the event the software sold infringes upon any patent, copyright, trademark, or any other proprietary right of a third-party, it will indemnify its customer licensees against any loss, expense, or liability from any damages that may be awarded against them. The Company includes this infringement indemnification in all of its software license agreements and selected managed services arrangements. In the event the customer cannot use the software or service due to infringement and the Company cannot obtain the right to use, replace or modify the license or service in a commercially feasible manner so that it no longer infringes, then the Company may terminate the license and provide the customer a refund of the fees paid by the customer for the infringing license or service. The Company has not recorded any liability associated with this indemnification, as it is not aware of any pending or threatened actions that represent probable losses as of September 30, 2018.

Debt

3 Months Ended

Sep. 30, 2018

Debt Disclosure [Abstract]

Debt

Note 10. Debt

3.50% Convertible Senior Notes due February 2018

In February 2013, the Company issued 3.50% Convertible Senior Notes due 2018 (the “3.50% Convertible Notes”) under an indenture between the Company and The Bank of New York Mellon Trust Company, N.A., as trustee. Holders of the 3.50% Convertible Notes were entitled to convert their notes at any time until the close of the business day immediately preceding the maturity date of February 1, 2018. The 3.50% Convertible Notes were convertible into common stock of the Company at an initial conversion rate equal to 187.6877 shares of common stock per $1,000 principal amount, which is equivalent to a conversion price of approximately $5.33 per share of common stock, subject to adjustment.

On January 30, 2018, the Company entered into exchange agreements (the “Exchange Agreements”) with the holders of the 3.50% Convertible Notes, which amended the original settlement terms of the notes and allowed the Company to settle the then outstanding $13.0 million principal balance of the 3.50% Convertible Notes and accrued interest in cash at maturity, and any excess equity value over the original conversion price in shares. In exchange for the agreement to settle in cash, the Company agreed to pay a $0.3 million exchange premium. The $0.3 million exchange premium was accounted for as debt extinguishment and included in other expense, net.

On February 1, 2018, pursuant to the Exchange Agreements, the Company paid $13.2 million in cash to settle outstanding principal and accrued interest, and on February 7, 2018 issued 253,000 shares of the Company’s common stock to the holders of the 3.50% Convertible Notes. The total number of shares was determined using a three-day volume weighted averaging price period and based on a prescribed formula in the Exchange Agreements. As a result, the 3.50% Convertible Notes were repaid in full in fiscal year 2018.

3.50% Series A Convertible Senior Notes due February 2018

In April 2014, the Company issued 3.50% Series A Convertible Senior Notes due 2018 (the “3.50% Series A Convertible Notes”) under an indenture between the Company and The Bank of New York Mellon Trust Company, N.A., as trustee. Holders of the 3.50% Series A Convertible Notes were entitled to convert their notes at any time on or after November 1, 2017 until the close of business on the business day immediately preceding the maturity date of February 1, 2018. The initial conversion rate is 187.6877 shares of the Company’s common stock per $1,000 principal amount, which represents an initial conversion price of approximately $5.33 per share of the Company’s common stock.

Pursuant to the original settlement terms, the Company made an irrevocable net share settlement election and paid cash for principal plus accrued interest upon maturity to holders who did not elect to convert. Prior to maturity, one note holder elected to convert its notes and receive a combination of cash and shares at settlement. The number of shares was determined based on a prescribed formula in the indenture. On February 1, 2018, the Company paid an aggregate amount of $27.0 million in cash and delivered 1,252 shares of its common stock to settle the 3.50% Series A Convertible Notes. As a result, the 3.50% Series A Convertible Notes were repaid in full in fiscal year 2018.

3.75% Convertible Senior Notes due July 2022

In August 2017, the Company issued $85.0 million aggregate principal amount of its 3.75% Convertible Senior Notes due 2022 (the “3.75% Convertible Notes”) under an indenture between the Company and The Bank of New York Mellon Trust Company, N.A., as trustee. $53.0 million aggregate principal amount of the 3.75% Convertible Notes were issued to certain holders of the Company’s outstanding 3.50% Convertible Notes and 3.50% Series A Convertible Notes (together, the “Existing Notes”) in exchange for approximately $47.0 million aggregate principal amount of the Existing Notes (the “Exchange”), and $32.0 million aggregate principal amount of the 3.75% Convertible Notes were issued to certain other qualified new investors for cash. The net proceeds of the cash issuance were used to repurchase approximately $28.0 million of Existing Notes (the “Repurchase”).

Holders of the 3.75% Convertible Notes may convert their notes at any time on or after April 15, 2022 until the close of the business day immediately preceding the maturity date. Prior to April 15, 2022, holders of the 3.75% Convertible Notes may convert their notes only under certain circumstances.

Upon conversion, the Company will have the right to pay cash, or deliver shares of common stock of the Company or a combination thereof, at the Company’s election. The initial conversion rate is 174.8252 shares of the Company’s common stock per $1,000 principal amount (which represents an initial conversion price of approximately $5.72 per share of the Company’s common stock). The conversion rate, and thus the conversion price, is subject to adjustment as further described below.

Holders of the 3.75% Convertible Notes who convert their notes in connection with a “make-whole fundamental change,” as defined in the indenture, may be entitled to a make-whole premium in the form of an increase in the conversion rate. Additionally, in the event of a “fundamental change,” as defined in the indenture, holders of the 3.75% Convertible Notes may require the Company to purchase all or a portion of their note at a fundamental change repurchase price equal to 100% of the principal amount of the 3.75% Convertible Notes, plus accrued and unpaid interest, if any, to, but not including, the fundamental change repurchase date. As of September 30, 2018, $85.0 million of aggregate principal amount was outstanding.

Revolving Credit Facility

On June 14, 2017, the Company entered into a credit and security agreement with a lender (the “Credit Agreement”). The Credit Agreement provides the Company with a revolving credit facility in the initial amount of $52.0 million (the “Revolving Credit Facility”). Availability for borrowings under the Revolving Credit Facility is subject to a borrowing base that is calculated as a function of the value of the Company’s eligible accounts receivable and eligible inventory, and the Company is required to maintain a minimum drawn balance of at least 30% of such availability. Interest on the borrowings under the Revolving Credit Facility is payable monthly in arrears at an annual interest rate of reserve-adjusted, 90-day LIBOR plus 4.50% and had an initial maturity date of June 14, 2021.

In December 2017, concurrently with the Term Loan Agreement described below, the Company entered into an amendment to the Credit Agreement (the “Amendment” and, collectively with the Credit Agreement, the “Amended Credit Agreement”). The Amendment reduced the maximum borrowings under the Revolving Credit Facility to $32.0 million and extended the maturity date of the Revolving Credit Facility to December 15, 2022.

The Amended Credit Agreement contains restrictions and covenants applicable to the Company. Among other requirements, the Company may not permit the Fixed Charge Coverage Ratio (as defined in the Amended Credit Agreement) to be less than a certain specified ratio for each fiscal quarter during the term of the Revolving Credit Facility. In addition, the Amended Credit Agreement contains customary restrictive covenants that limit, among other things, the ability of the Company and its subsidiaries to (i) incur additional indebtedness, (ii) incur liens on their property, (iii) pay dividends or make other distributions, (iv) sell their assets, (v) make certain loans or investments, (vi) merge or consolidate, (vii) voluntarily repay or prepay certain indebtedness and (viii) enter into transactions with affiliates, in each case subject to certain exceptions.

In July 2018, the Company amended both the Amended Credit Agreement and the Term Loan Agreement (as defined below). The amendments provide for, among other things, adjustments to the Fixed Charge Coverage Ratio (as defined in the Amended Credit Agreement and the Term Loan Agreement) such that in the case of the Defined Periods (as defined in the Amended Credit Agreement and the Term Loan Agreement) for (a) the fiscal quarter ending June 30, 2018 as well as (b) the fiscal quarters ending September 30, 2018 and December 31, 2018, the Fixed Charge Coverage Ratio is not less than 0.75 to 1.00 and 0.50 to 1.00, respectively. Other significant terms remain unchanged.

The Company was in compliance with the covenants as of September 30, 2018. As of September 30, 2018, approximately $20.4 million of aggregate principal amount was outstanding under the Revolving Credit Facility.

Term Loan

In December 2017, the Company entered into a credit and security agreement with a lender (the “Term Loan Agreement”). The Term Loan Agreement provides for an initial term loan of $40.0 million with an additional tranche of $20.0 million available through December 31, 2018, if specified conditions are met (the “Term Loan”). In connection with the Amendment, the Company used a portion of the net proceeds from the initial advance to repay a portion of the outstanding borrowings under the Revolving Credit Facility. Interest on the Term Loan is payable monthly in arrears at an annual interest rate of 6.75% plus 90-day LIBOR. The Term Loan Agreement matures December 15, 2022 and, if prepaid, has fees equal to 3%, 2%, and 1% of the prepayment amount if such termination occurs within the first year, the second year, and the third year of funding, respectively. The term of the loan is 60 months with interest only for the first 24 months followed by straight-line amortization of principal for the remaining months. In addition, the Company will pay an annual administrative fee of 0.25% and a final payment of 4.0% of the Term Loan amount. As of September 30, 2018, $40.0 million of aggregate principal amount was outstanding.

The following table presents the carrying value of the Credit Facilities and 3.75% Convertible Notes (in thousands):

As of September 30, 2018	Revolving Credit Facility		3.75% Convertible Notes			Term Loan Facility			Total
Carrying amount of equity conversion component	$	—	$	14,650		$	—		$	14,650
Principal amount of the Notes	$	20,422	$	85,000		$	40,000		$	145,422
Unamortized debt costs		—		(3,192	)		(1,579	)	$	(4,771	)
Unamortized debt discount		—		(11,611	)		(114	)	$	(11,725	)
Net carrying amount	$	20,422	$	70,197		$	38,307		$	128,926
Reported as:
Short-term debt									$	—
Long-term debt										128,926
Total debt									$	128,926

As of June 30, 2018	Revolving Credit Facility		3.75% Convertible Notes			Term Loan Facility			Total
Carrying amount of equity conversion component	$	—	$	14,650		$	—		$	14,650
Principal amount of the Notes	$	23,685	$	85,000		$	40,000		$	148,685
Unamortized debt costs		—		(3,351	)		(1,721	)		(5,072	)
Unamortized debt discount		—		(12,267	)		(269	)		(12,536	)
Net carrying amount	$	23,685	$	69,382		$	38,010		$	131,077
Reported as:
Short-term debt									$	—
Long-term debt										131,077
Total debt									$	131,077

A summary of interest expense on the 3.50% Convertible Notes, the 3.50% Series A Convertible Notes, and the 3.75% Convertible Notes (collectively, “Notes”) and Credit Facilities is as follows (in thousands):

	Three Months Ended September 30,
	2018		2017
Interest expense related to contractual interest coupon	$	2,325	$	2,409
Interest expense related to amortization of debt discount		810		862
Interest expense related to amortization of debt issuance costs		382		448
	$	3,517	$	3,719

Share-Based Compensation

3 Months Ended

Sep. 30, 2018

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Share-Based Compensation

Note 11. Share-Based Compensation

The following table presents details of share-based compensation expenses by functional line item (in thousands):

	Three Months Ended September 30,
	2018		2017
Cost of revenue	$	431	$	493
Research and development		491		631
Selling and marketing		535		(163	)
General and administrative		1,755		1,471
	$	3,212	$	2,432

Net Loss Per Common Share

3 Months Ended

Sep. 30, 2018

Earnings Per Share [Abstract]

Net Loss Per Common Share

Note 12. Net Loss Per Common Share

The Company reports both basic and diluted loss per share, which is based on the weighted average number of common shares outstanding during the period.

A reconciliation of the numerator and denominator used in the calculation of basic and diluted net loss per common share follows (in thousands):

	Three Months Ended September 30,
	2018			2017
Numerator:
Net loss used to compute basic and diluted loss per share	$	(9,206	)	$	(9,382	)
Denominator:
Weighted average shares used to compute basic and diluted loss per share		86,479			83,747

The potentially dilutive shares of the Company’s common stock resulting from the assumed exercise of outstanding stock options, the settlement of vested Restricted Stock Units (RSUs), Market Stock Units (MSUs) and Performance Stock Units (PSUs), and the purchase of shares under the Company’s Employee Stock Purchase Program (ESPP), as determined under the treasury stock method, are excluded from the computation of diluted net loss per share because their effect would have been anti-dilutive. Additionally, the 3.50% Convertible Notes are included in the calculation of diluted net income per share only if their inclusion is dilutive.

The following table sets forth all potentially dilutive securities excluded from the computation in the table above because their effect would have been anti-dilutive (in thousands):

	As of September 30,
	2018		2017
Stock options		2,677		2,996
RSUs, PSUs and MSUs		4,835		5,564
3.50% Convertible Notes		—		2,439
		7,512		10,999

3.75% Convertible Notes—Diluted Share Impact

The 3.75% Convertible Notes and the 3.50% Series A Convertible Notes have an optional physical (share), cash or combination settlement feature and contain certain conditional conversion features. The 3.50% Series A Convertible Notes were retired in February 2018. Due to the optional cash settlement feature and management’s intent to settle the principal amount thereof in cash, the shares of our common stock issuable upon conversion of the outstanding principal amount of the 3.75% Convertible Notes as of September 30, 2018, totaling approximately 14.9 million shares of our common stock, were not included in the basic and diluted net loss per common share table above.

Segment Information

3 Months Ended

Sep. 30, 2018

Segment Reporting [Abstract]

Segment Information

Note 13. Segment Information

The Company operates in one reportable segment (oncology systems group), which develops, manufactures and markets proprietary medical devices used in radiation therapy and radiosurgery for the treatment of cancer patients. The Company’s Chief Executive Officer, its Chief Operating Decision Maker, reviews financial information presented on a consolidated basis for purposes of making operating decisions and assessing financial performance. The Company does not assess the performance of its individual product lines on measures of profit or loss, or asset-based metrics.

Disaggregation of Revenues

The Company disaggregates its revenues from contracts by geographic region, as the Company believes this best depicts how the nature, amount, timing and uncertainty of revenues and cash flows are affected by economic factors. Additionally, the Company typically recognizes revenue at a point in time for product revenue and recognizes revenue over time for service revenue.

The following tables present net revenue and long-lived asset information based on geographic region. Net revenue is based on the destination of the shipments and long-lived assets are based on the physical location of the assets (in thousands):

	Three Months Ended September 30,
Net Revenue	2018		2017
Americas	$	32,694	$	36,023
Europe, Middle East, India and Africa		36,035		35,148
Asia Pacific		12,177		6,702
Japan		14,923		13,077
Total	$	95,829	$	90,950

	September 30,		June 30,
Property and equipment, net	2018		2018
Americas	$	19,309	$	19,698
Europe, Middle East, India and Africa	$	654		569
Asia Pacific		1,572		1,635
Japan		1,591		1,796
Total	$	23,126	$	23,698

Income Tax	3 Months Ended
Income Tax	Sep. 30, 2018
Income Tax Disclosure [Abstract]
Income Tax	Note 14. Income Tax On a quarterly basis, the Company provides for income taxes based upon an estimated annual effective income tax rate. The Company recognized an income tax expense of $0.5 million and $0.8 million for the three months ended September 30, 2018 and 2017. respectively, primarily related to foreign taxes. On December 22, 2017, the “Tax Cuts and Jobs Act” (the “Tax Act”) was signed into law making significant changes to the Internal Revenue Code (the “IRC”). Changes include, but are not limited to, reduction in the U.S. corporate tax rate from 35% to 21% effective for tax years beginning after December 31, 2017, limitations on the deductibility of executive compensation, interest expense, net operating loss, immediate expensing of capital expenditures, a one-time transition tax on the mandatory deemed repatriation of cumulative foreign earnings as of December 31, 2017 and the transition of the U.S. international taxation from a “worldwide” system to a territorial system of taxation and the introduction of a base erosion and anti-abuse tax. In accordance with Staff Accounting Bulletin (SAB) No. 118 - Income Tax Accounting Implications of the Tax Cuts and Jobs Act, the effects of the Tax Act may be adjusted within a one-year measurement period from the enactment date for items that were previously reported as provisional, or where a provisional estimate could not be made. Income tax provision for the three months ended September 30, 2018, did not reflect any adjustment to the previously assessed Tax Act enactment effect. The Company will continue to assess forthcoming guidance and accounting interpretations on the effects of the Tax Act and expects to complete its analysis within the measurement period in accordance with the guidance provided in SAB No. 118. The Tax Act has a requirement that certain income earned by controlled foreign corporations (“CFCs”) must be included currently in the gross income of the CFC’s U.S. shareholder. The income required to be included in gross income is referred to as global intangible low tax income (“GILTI”) and is as defined under IRC Section 951A as is the excess of the shareholder’s net CFC tested income over the net deemed tangible income return. The GILTI inclusion amount is expected to be fully absorbed by net operating losses and is not expected to cause the Company to be in a U.S. taxable income position for fiscal year 2019. The Company has not recorded deferred taxes related to these GILTI provisions and has not yet determined its policy election with respect to whether it will treat GILTI as a current-period expense when incurred (the “period cost method”) or factor such amount into the measurement of deferred taxes (the “deferred method”). In addition to the GILTI provision, the Tax Act also enacted the Base Erosion and Anti-Abuse Tax (“BEAT”). The BEAT minimum tax under IRC Section 59A is applicable to the extent that the BEAT tax amount is greater than the regular corporate tax for a given year. This tax is applicable to companies with prior 3-year average annual gross receipts exceeding $500 million. The Company does not currently meet this threshold since its current average annual gross receipts are less than $500 million.

Subsequent Events	3 Months Ended
Subsequent Events	Sep. 30, 2018
Subsequent Events [Abstract]
Subsequent Events	Note 15. Subsequent Events On October 29, 2018, the Company informed affected employees of a cost saving initiative designed to reduce operating costs through the elimination of approximately 5 percent of its global workforce. The Company expects to complete the cost saving initiative in the second quarter of fiscal 2019. The Company estimates the total cost of this initiative to be approximately $1.5 million to $2.0 million, which is expected to be recorded in the second quarter of fiscal 2019.

The Company and its Significant Accounting Policies (Policies)	3 Months Ended
	Sep. 30, 2018
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The unaudited condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant inter-company transactions and balances have been eliminated in consolidation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“GAAP”), pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and note disclosures have been condensed or omitted pursuant to such rules and regulations. The unaudited condensed consolidated financial statements have been prepared on the same basis as the annual financial statements and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for a fair presentation of the periods presented. The results for the three months ended September 30, 2018 are not necessarily indicative of the results to be expected for the fiscal year ending June 30, 2019, or for any other future interim period or fiscal year. These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes for the fiscal year ended June 30, 2018 included in the Company’s Annual Report on Form 10-K filed with the SEC on August 24, 2018.
Significant Accounting Policies	Significant Accounting Policies The Company adopted the Accounting Standard Codification (“ASC”) 606, Revenue from Contracts with Customers as of July 1, 2018, using the modified retrospective method. See Note 2. Recent Accounting Pronouncements and Note 3. Revenue, to our unaudited condensed consolidated financial statements included in this Quarterly Report on Form 10-Q for additional details. Except for the changes in the revenue recognition policy, there have been no other material changes to the Company’s accounting policies from the information provided in Note 1. The Company and its Significant Accounting Policies to the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended June 30, 2018.
Revenue Recognition	Revenue Recognition The Company’s revenue is primarily derived from sales of CyberKnife and TomoTherapy Systems and services, which include post-contract customer support (“PCS”), installation services, training and other professional services. The Company has a contract with a customer when there is approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. The Company’s customary practice is to have a signed contract with customers. The Company's revenues are measured based on consideration specified in the contract with each customer, net of any sales incentives and amounts collected on behalf of third parties such as sales taxes, excise taxes, and VAT. The majority of the Company's revenue arrangements consists of multiple performance obligations, which can include system, upgrades, installation, training, services, construction, and consumables. For bundled arrangements, the Company accounts for individual products and services separately if a product or service is separately identifiable from other items in the bundled package and if a customer can benefit from it on its own or with other resources that are readily available to the customer. The Company’s products are generally not sold with a right of return, and the Company’s contracts generally provide a fixed transaction price. However, the Company from time to time offers variable consideration such as volume discounts. The Company also offers extended payment terms beyond one year, trade-in allowance for old systems, and commissions or other forms of payment to customers. The stand-alone selling price (“SSP”) of performance obligations is determined based on observable prices at which the Company separately sells the products and services. If the SSP is not directly observable, then the Company will estimate the SSP considering market conditions, entity-specific factors, and information about the customer or class of customer that is reasonably available. The SSP is generally assessed as a percentage of the list price. The contract consideration allocation is based on the SSP at contract inception. The consideration (net of any discounts) is allocated among separate products and services in a bundle based on their individual SSP. For contract modifications that add additional goods or services or changes pricing, the SSP is used for allocation to the remaining performance obligations. The Company recognizes revenue for certain performance obligations at the point in time when control is transferred, such as delivery of products. The Company recognizes revenue for certain other performance obligations over a period of time as control of the goods or services is transferred, such as PCS and construction contracts. The Company recognizes an asset for the incremental costs of obtaining a contract with a customer if the Company expects the benefit of those costs to be longer than one year. The Company capitalizes incremental contract acquisition costs, and amortizes such costs over the period which the Company expects to benefit, as estimated by management, which may extend beyond the initial contract term. Most of the Company’s contract costs are associated with its internal sales force compensation program and a portion of its employee bonus program. The Company amortizes capitalized bonuses and a portion of sales commissions over a period of five years commencing upon the initial transfer of control of the system to the customer. The pattern of amortization is commensurate with the pattern of transfer of control of the performance obligations to the customer. The Company elected to use the practical expedient in ASC 340-40-25-4 and expense as incurred commissions related to service renewals and upgrades because the contract term is less than a year.

Recent Accounting Pronouncements (Policies)	3 Months Ended
Recent Accounting Pronouncements (Policies)	Sep. 30, 2018
Accounting Pronouncement Recently Adopted
Accounting Pronouncements	Accounting Pronouncement Recently Adopted In June 2018, the Financial Accounting Standard Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-7, Compensation – Stock Compensation (Topic 718) )— Improvements to Nonemployee Share-Based Payment Accounting. This guidance supersedes ASC 505-50 and expands the scope of ASC 718 to include all share-based payment arrangements related to the acquisition of goods and services from both nonemployees and employees. The amendments should be applied on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal year of adoption. The guidance permits early adoption and was adopted by the Company in the first quarter of fiscal year 2019. The adoption of this ASU did not have any impact on the Company’s consolidated financial statements and related disclosures. In May 2017, the FASB issued ASU No. 2017-09, Compensation—Stock Compensation (Topic 718)—Scope of Modification Accounting. This guidance redefines which changes to the terms and conditions of a share-based payment award require an entity to apply modification accounting for a share-based payment. Modification accounting will not be applied if the following are the same immediately before and after the change: fair value, vesting conditions, and classification. The Company adopted ASU No. 2017-09 as required in the first quarter of fiscal 2019 on a prospective basis. The adoption of this ASU did not have any impact on the Company’s consolidated financial statements and related disclosures. In March 2017, the FASB issued ASU No. 2017-07, Compensation—Retirement Benefits (Topic 715)—Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. This guidance revises the presentation of employer-sponsored defined benefit pension and other postretirement plans for the net periodic benefit cost in the statement of operations and requires that the service cost component of net periodic benefit be presented in the same income statement line items as other employee compensation costs for services rendered during the period. The other components of the net benefit costs are required to be presented in the statement of operations separately from the service cost component and outside the subtotal of income from operations. This guidance allows only the service cost component of net periodic benefit costs to be eligible for capitalization. In addition, changes to the presentation of benefit costs were required to be adopted retrospectively, while changes to the capitalization of service costs into inventories were required to be adopted prospectively. The standard permits, as a practical expedient, use of the amounts disclosed in the pension plans footnote for the prior comparative periods as the estimation basis for applying the retrospective presentation requirement. The Company adopted ASU No. 2017-07 as required in the first quarter of fiscal 2019, and the adoption of this ASU did not have a material impact on the Company’s consolidated financial statements and related disclosures. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments, which clarifies the presentation and classification of certain cash receipts and cash payments in the statement of cash flows. The amendments in the update provide guidance on eight specific cash flow issues. The amendments to the guidance should be applied using a retrospective transition method for each period presented and, if it is impracticable to apply all of the amendments retrospectively for some of the issues, the amendments for those issues would be applied prospectively as of the earliest date practicable. The Company adopted ASU No. 2016-15 as required in the first quarter of fiscal 2019. The adoption of this ASU did not have any impact on the Company’s consolidated financial statements and related disclosures. In January 2016, the FASB issued ASU No. 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities (ASU 2016-01). This guidance changes accounting for equity investments, financial liabilities under the fair value option and the presentation and disclosure requirements for financial instruments. In addition, it clarified guidance related to the valuation allowance assessment when recognizing deferred tax assets resulting from unrealized losses on available-for-sale debt securities. The Company adopted this ASU No. 2016-01 as required in the first quarter of fiscal 2019 on a required modified retrospective approach. The adoption of this ASU did not have any impact on the Company’s consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU No. 2017-04, Intangibles-Goodwill and Other Topics (Topic 350)-Simplifying the Test for Goodwill Impairment. This guidance simplifies the measurement of goodwill by eliminating the Step 2 impairment test. The new guidance requires companies to perform the goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. This guidance will be effective for the Company beginning in its first quarter of fiscal 2021. The amendment is required to be adopted prospectively. Early adoption is permitted for goodwill impairment tests performed on testing dates after January 1, 2017. The Company early adopted this guidance in the first quarter of fiscal 2019 and adoption of this ASU did not have any impact on its consolidated financial statements and related disclosures. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606), to supersede nearly all existing revenue recognition guidance under GAAP. The core principle of ASU 2014-09 is to recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. ASU 2014-09 defines a five-step process to achieve this core principle and, in doing so, it is possible more judgment and estimates may be required within the revenue recognition process than required under existing GAAP, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. ASU 2014-09 is required to be adopted, using either of two methods: (i) retrospective to each prior reporting period presented with the option to elect certain practical expedients as defined within ASU 2014-09; or (ii) retrospective with the cumulative effect of initially applying ASU 2014-09 recognized at the date of initial application and providing certain additional disclosures. The Company adopted the new revenue standards as of July 1, 2018, using the modified retrospective transition method applied to those contracts which were not completed as of that date. The Company completed its assessment of the impact this guidance has on its consolidated financial statements and related disclosures. Based on that assessment, the Company concluded the significant impact areas were the capitalization and amortization of incremental costs of obtaining a contract, primarily related to certain bonuses and sales commissions, change in SSP and the removal of software revenue recognition rules along with the elimination of revenue deferral for cash basis customers. Under the new standards, the Company capitalizes incremental contract acquisition costs, such as certain bonuses and sales commissions, and amortizes such costs over the period which the Company benefits, as estimated by management, which may extend beyond the initial contract term. The Company amortizes capitalized bonuses and sales commissions over a period of five years commencing upon the initial transfer of control of the system to the customer. The pattern of amortization is commensurate with the pattern of transfer of control of the performance obligations to the customer. The Company elected to use the practical expedient in ASC 340-40-25-4 and expense commissions related to service renewals and upgrades with a renewal contract term of one year or less as incurred. The Company recorded a net reduction to opening accumulated deficit of $5.1 million, net of tax, as of July 1, 2018 due to the cumulative impact of adopting ASC 606, with the impact primarily related to the deferral of incremental costs to obtain contracts. Under ASC 606, product revenue for direct sales will be accelerated to reflect transfer of control upon delivery while an element of installation will be deferred until performed. Prior to the adoption of ASC 606, the Company deferred revenue until installation had occurred. The revenue recognition method for indirect sales and service revenues is unchanged under the new guidance. Refer to Note 3, Revenue, to the Unaudited Condensed Consolidated Financial Statement on this Quarterly report for the detailed impact of adopting ASC 606.
Accounting Pronouncements Not Yet Effective
Accounting Pronouncements	Accounting Pronouncements Not Yet Effective In February 2018, the FASB issued ASU No. 2018-2, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, that allows companies to reclassify from Accumulated Other Comprehensive Income to Retained Earnings stranded tax effects resulting from the enactment of the Tax Cuts and Jobs Act (the "Tax Act"). The guidance will be effective for the Company in its first quarter of fiscal 2020. Early adoption is permitted. The guidance should be applied either in the period of adoption or retrospectively to each period in which the effect of the change in the U.S. federal corporate income tax rate in the Tax Cuts and Jobs Act is recognized. The Company has not yet selected a transition method, has not yet determined whether it will elect early adoption and is currently evaluating the impact of the adoption of this standard on its consolidated financial statements and related disclosures. In August 2017, the FASB issued ASU No. 2017-12, Derivatives and Hedging. This guidance simplifies the application and administration of hedge accounting. The guidance amends the presentation and disclosure requirements and changes how companies assess effectiveness. The guidance is intended to more closely align hedge accounting with companies' risk management strategies, simplify the application of hedge accounting, and increase transparency as to the scope and results of hedging programs. The guidance will be effective for the Company in its first quarter of fiscal 2020. Early adoption is permitted. The guidance is required to be adopted on a prospective basis. The Company will not early adopt and does not believe the adoption of this standard will have a material impact on its consolidated financial statements and related disclosures. In June 2016, the FASB issued ASU No. 2016-13 Measurement of Credit Losses on Financial Instruments (ASU 2016-13). ASU 2016-13 requires measurement and recognition of expected credit losses for financial assets held. This guidance will be effective for the Company in the first quarter of fiscal 2021 and must be adopted using a modified retrospective approach, with certain exceptions. Early adoption is permitted beginning in the first quarter of fiscal 2020. The Company has not yet decided whether it will early adopt and is currently evaluating the impact of the adoption of this standard on its consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). Under the new guidance, a lessee will be required to recognize assets and liabilities for all leases with lease terms of more than 12 months. Consistent with current GAAP, the recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee primarily will depend on its classification as a finance or operating lease. This guidance will be effective for the Company in the first quarter of fiscal 2020 and early adoption is permitted. In July 2018, the FASB issued ASU No. 2018-11, Targeted Improvements, which provides another transition method in addition to the existing modified retrospective transition approach. Accordingly, the new method allows entities to initially apply the new leases standard at the adoption date and recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. The Company intends to adopt the allowed transition method allowed under ASU 2018-11, but will not elect early adoption, and is currently evaluating the impact of the adoption of this standard on its consolidated financial statements and related disclosures.

Revenue (Tables)

3 Months Ended

Sep. 30, 2018

Schedule of Net Cumulative-effect Adjustment to Retained Earnings for the Adoption of ASC 606

The beginning net cumulative-effect adjustment to retained earnings for the adoption of ASC 606 is as follows:

	Balance at			Adjustment Due to			Balance at
(Dollars in thousands)	June 30, 2018			ASC 606			July 1, 2018
Assets:
Account receivable, net	$	65,994		$	257		$	66,251
Deferred cost of revenue - current		1,141			(464	)		677
Prepaid expenses and other current assets		15,569			670			16,239
Other assets		11,576			5,840			17,416
Liabilities and Stockholders' Equity:
Other accrued liabilities		22,448			611			23,059
Deferred revenue - current		75,404			111			75,515
Long-term other liabilities		8,608			467			9,075
Accumulated deficit		(474,285	)		5,114			(469,171	)

Summary of Contract with Customer, Asset and Liability

Changes in the contract assets and contract liabilities are as follows:

	July 1, 2018		September 30, 2018		Change
(Dollars in thousands)	Amount		Amount		$			%
Assets:
Unbilled accounts receivable - current (1)	$	3,218	$	11,105		7,887			71
Long Term Accounts Receivable (2)		6,833		4,189		(2,644	)		(63	)
Interest receivable - non-current (2)		611		701		90			13
Liabilities:
Customer advances		22,896		19,181		(3,715	)		(19	)
Deferred revenue - current		75,515		72,278		(3,237	)		(4	)
Deferred revenue - non-current		20,976		22,732		1,756			8

(1)

Included in accounts receivable on consolidated balance sheets

(2)

Included in other assets on consolidated balance sheets

Summary of Changes In Deferred Revenue From Contracts With Customers

Changes in deferred revenue from contracts with customers are as follows:

	Three Months Ended
(Dollars in thousands)	September 30, 2018
Balance at beginning of period	$	96,491
New billings		94,348
Recoginition of deferred revenue		(95,829	)
Balance at end of period	$	95,010

Schedule of Remaining Performance Obligations related to Warranty

The following table represents the Company's remaining performance obligations related to long-term warranty and service as of September 30, 2018 and the estimated revenue expected to be recognized:

	Fiscal years of revenue recognition
(Dollars in thousands)	2019		2020		2021		Thereafter
Long-term warranty and service	$	22,411	$	21,862	$	12,939	$	9,255

ASC 606

Schedule of Net Cumulative-effect Adjustment to Retained Earnings for the Adoption of ASC 606

Select unaudited condensed consolidated balance sheets line items, which reflect the adoption of ASC 606 are as follows:

	September 30, 2018
(Dollars in thousands)	Balances Without Adoption			Adjustments			As Reported
Assets:
Account receivable, net	$	61,798		$	4,622		$	66,420
Deferred cost of revenue - current		11,300			(11,080	)		220
Prepaid expenses and other current assets		16,118			957			17,075
Other assets		8,711			6,038			14,749
Liabilities and Stockholders' Equity:
Other accrued liabilities		20,606			634			21,240
Deferred revenue - current		86,592			(14,314	)		72,278
Long-term other liabilities		9,186			704			9,890
Accumulated deficit		(491,890	)		13,513			(478,377	)

Schedule of Effect of Adoption of ASC 606 on Condensed Consolidated Statements of Operations and Comprehensive Loss

Select unaudited condensed consolidated statements of operations and comprehensive loss line items for the three months ended September 30, 2018, which reflect the adoption of ASC 606 are as follows:

	Three Months Ended September 30, 2018
(Dollars in thousands)	Balances Without Adoption			Adjustments			As Reported
Net revenue	$	77,114		$	18,715		$	95,829
Cost of goods sold		47,356			10,594			57,950
Other expense, net		4,071			(88	)		3,983
Research and development		13,921			(32	)		13,889
Selling and marketing		13,226			(190	)		13,036
General and administrative		15,685			(43	)		15,642
Provision for income taxes		460			75			535
Net income (loss)		(17,605	)		8,399			(9,206	)
Net income (loss) per share - Basic and Diluted	$	(0.21	)	$	0.10		$	(0.11	)

Supplemental Financial Information (Tables)

3 Months Ended

Sep. 30, 2018

Supplemental Financial Information Disclosure [Abstract]

Schedule of financing receivable

A summary of the Company’s financing receivables is presented as follows (in thousands):

September 30, 2018	Lease Receivables			Financed Service Contracts and Other			Total
Gross	$	1,472		$	13,841		$	15,313
Unearned income		(113	)		(1,036	)		(1,149	)
Allowance for credit loss		—			(3,327	)		(3,327	)
Total, net	$	1,359		$	9,478		$	10,837
Reported as:
Current	$	444		$	6,204			6,648
Non-current		915			3,274			4,189
Total, net	$	1,359		$	9,478		$	10,837

June 30, 2018	Lease Receivables			Financed Service Contracts and Other		Total
Gross	$	1,588		$	8,009	$	9,597
Unearned income		(137	)		—	$	(137	)
Allowance for credit loss		—			—	$	—
Total, net		1,451			8,009		9,460
Reported as:
Current	$	432		$	2,139	$	2,571
Non-current		1,019			5,870		6,889
Total, net	$	1,451		$	8,009	$	9,460

Schedule of future minimum lease payments receivable for capital leases

Year Ending June 30,	Amount
2019 (remaining 9 months)	$	387
2020		465
2021		465
2022		155
Total	$	1,472

Schedule of inventories

Inventories consisted of the following (in thousands):

	September 30, 2018		June 30, 2018
Raw materials	$	44,417	$	37,144
Work-in-process		17,189		17,703
Finished goods		56,078		53,693
Inventories	$	117,684	$	108,540

Schedule of property and equipment, net

Property and equipment, net consisted of the following (in thousands):

	September 30, 2018			June 30, 2018
Furniture and fixtures	$	2,910		$	2,927
Computer and office equipment		10,789			11,315
Software		10,840			11,307
Leasehold improvements		25,742			25,423
Machinery and equipment		42,736			47,065
Construction in progress		6,433			5,629
		99,450			103,666
Less: Accumulated depreciation		(76,324	)		(79,968	)
Property and equipment, net	$	23,126		$	23,698

Schedule of accumulated other comprehensive income (loss) in the equity section

The components of accumulated other comprehensive income in the equity section of the balance sheets are as follows (in thousands):

	September 30, 2018			June 30, 2018
Cumulative foreign currency translation adjustment	$	842		$	1,237
Defined benefit pension obligation		(144	)		(144	)
Accumulated other comprehensive income	$	698		$	1,093

Goodwill and Intangible Assets (Tables)

3 Months Ended

Sep. 30, 2018

Goodwill And Intangible Assets Disclosure [Abstract]

Schedule of goodwill

Activity related to goodwill consisted of the following (in thousands):

	September 30, 2018			June 30, 2018
Balance at the beginning of the period	$	57,855		$	57,812
Currency translation		(88	)		43
Balance at the end of the period	$	57,767		$	57,855

Schedule of carrying amount of acquired intangible assets, net

The Company’s carrying amount of acquired intangible assets, net, is as follows (in thousands):

			September 30, 2018							June 30, 2018
	Useful Lives		Gross Carrying Amount		Accumulated Amortization			Net Amount		Gross Carrying Amount		Accumulated Amortization			Net Amount
	(in years)
Patent license		7	$	1,000	$	(215	)	$	785	$	1,000	$	(179	)	$	821

Schedule of estimated future amortization expense of acquired intangible assets

The estimated future amortization expense of acquired intangible assets as of September 30, 2018 is as follows (in thousands):

Year Ending June 30,	Amount
2019 (remaining 9 months)	$	107
2020		143
2021		143
2022		143
2023		143
Thereafter		106
	$	785

Derivative Financial Instruments (Tables)

3 Months Ended

Sep. 30, 2018

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Schedule of gain (loss) associated with the Company's derivative financial instruments

The following table provides information about gain (loss) associated with the Company’s derivative financial instruments (in thousands):

	Three Months Ended September 30,
	2018			2017
Foreign currency exchange gain on foreign contracts	$	17		$	241
Foreign currency transactions gain (loss)		(530	)		4

Fair Value Measurements (Tables)

3 Months Ended

Sep. 30, 2018

Fair Value Disclosures [Abstract]

Summary of carrying values and estimated fair values of short-term and long-term debt

The following table summarizes the carrying value and estimated fair value of the Credit Facilities and the 3.75% Convertible Notes (in thousands):

	September 30, 2018				June 30, 2018
	Carrying Value		Fair Value		Carrying Value		Fair Value
3.75% Convertible Notes	$	70,197	$	90,100	$	69,382	$	70,742
Term Loan Facility		38,307		38,307		38,010		38,010
Revolving Credit Facility		20,422		20,422		23,685		23,685
Total	$	128,926	$	148,829	$	131,077	$	132,437

Debt (Tables)

3 Months Ended

Sep. 30, 2018

Debt Disclosure [Abstract]

Schedule of carrying values of all Debt

The following table presents the carrying value of the Credit Facilities and 3.75% Convertible Notes (in thousands):

As of September 30, 2018	Revolving Credit Facility		3.75% Convertible Notes			Term Loan Facility			Total
Carrying amount of equity conversion component	$	—	$	14,650		$	—		$	14,650
Principal amount of the Notes	$	20,422	$	85,000		$	40,000		$	145,422
Unamortized debt costs		—		(3,192	)		(1,579	)	$	(4,771	)
Unamortized debt discount		—		(11,611	)		(114	)	$	(11,725	)
Net carrying amount	$	20,422	$	70,197		$	38,307		$	128,926
Reported as:
Short-term debt									$	—
Long-term debt										128,926
Total debt									$	128,926

As of June 30, 2018	Revolving Credit Facility		3.75% Convertible Notes			Term Loan Facility			Total
Carrying amount of equity conversion component	$	—	$	14,650		$	—		$	14,650
Principal amount of the Notes	$	23,685	$	85,000		$	40,000		$	148,685
Unamortized debt costs		—		(3,351	)		(1,721	)		(5,072	)
Unamortized debt discount		—		(12,267	)		(269	)		(12,536	)
Net carrying amount	$	23,685	$	69,382		$	38,010		$	131,077
Reported as:
Short-term debt									$	—
Long-term debt										131,077
Total debt									$	131,077

Summary of interest expense on all Convertible Debt

	Three Months Ended September 30,
	2018		2017
Interest expense related to contractual interest coupon	$	2,325	$	2,409
Interest expense related to amortization of debt discount		810		862
Interest expense related to amortization of debt issuance costs		382		448
	$	3,517	$	3,719

Share-Based Compensation (Tables)

3 Months Ended

Sep. 30, 2018

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Summary of share-based compensation expenses by functional line item

The following table presents details of share-based compensation expenses by functional line item (in thousands):

	Three Months Ended September 30,
	2018		2017
Cost of revenue	$	431	$	493
Research and development		491		631
Selling and marketing		535		(163	)
General and administrative		1,755		1,471
	$	3,212	$	2,432

Net Loss Per Common Share (Tables)

3 Months Ended

Sep. 30, 2018

Earnings Per Share [Abstract]

Schedule of reconciliation of the numerator and denominator used in the calculation of basic and diluted net income (loss) per common share

A reconciliation of the numerator and denominator used in the calculation of basic and diluted net loss per common share follows (in thousands):

	Three Months Ended September 30,
	2018			2017
Numerator:
Net loss used to compute basic and diluted loss per share	$	(9,206	)	$	(9,382	)
Denominator:
Weighted average shares used to compute basic and diluted loss per share		86,479			83,747

Schedule of all potentially dilutive securities excluded from the computation of basic and diluted net income (loss) per common share

The following table sets forth all potentially dilutive securities excluded from the computation in the table above because their effect would have been anti-dilutive (in thousands):

	As of September 30,
	2018		2017
Stock options		2,677		2,996
RSUs, PSUs and MSUs		4,835		5,564
3.50% Convertible Notes		—		2,439
		7,512		10,999

Segment Information (Tables)

3 Months Ended

Sep. 30, 2018

Segment Reporting [Abstract]

Summary of Revenue by Geographic Region

The following tables present net revenue and long-lived asset information based on geographic region.

	Three Months Ended September 30,
Net Revenue	2018		2017
Americas	$	32,694	$	36,023
Europe, Middle East, India and Africa		36,035		35,148
Asia Pacific		12,177		6,702
Japan		14,923		13,077
Total	$	95,829	$	90,950

Schedule of Geographic Areas in Which the Company has Long Lived Tangible Assets

Net revenue is based on the destination of the shipments and long-lived assets are based on the physical location of the assets (in thousands):

	September 30,		June 30,
Property and equipment, net	2018		2018
Americas	$	19,309	$	19,698
Europe, Middle East, India and Africa	$	654		569
Asia Pacific		1,572		1,635
Japan		1,591		1,796
Total	$	23,126	$	23,698

Recent Accounting Pronouncements - Additional Information (Details) $ in Millions	Jul. 01, 2018 USD ($)
ASC 606
Estimated net cumulative-effect adjustment to retained earnings	$ 5.1

Revenue - Schedule of Net Cumulative-effect Adjustment to Retained Earnings for the Adoption of ASC 606 (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jul. 01, 2018	Jun. 30, 2018
ASSETS
Account receivable, net	$ 66,420		$ 65,994
Deferred cost of revenue - current	220		1,141
Prepaid expenses and other current assets	17,075		15,569
Other assets	14,749		11,576
LIABILITIES AND STOCKHOLDERS' EQUITY
Other accrued liabilities	21,240		22,448
Deferred revenue - current	72,278	$ 75,515	75,404
Long-term other liabilities	9,890		8,608
Accumulated deficit	$ (478,377)		$ (474,285)
ASC 606
ASSETS
Account receivable, net		66,251
Deferred cost of revenue - current		677
Prepaid expenses and other current assets		16,239
Other assets		17,416
LIABILITIES AND STOCKHOLDERS' EQUITY
Other accrued liabilities		23,059
Deferred revenue - current		75,515
Long-term other liabilities		9,075
Accumulated deficit		(469,171)
ASC 606 \| Adjustment Due to ASC 606
ASSETS
Account receivable, net		257
Deferred cost of revenue - current		(464)
Prepaid expenses and other current assets		670
Other assets		5,840
LIABILITIES AND STOCKHOLDERS' EQUITY
Other accrued liabilities		611
Deferred revenue - current		111
Long-term other liabilities		467
Accumulated deficit		$ 5,114

Revenue - Schedule of Effect of Adoption of ASC 606 on Balance Sheets (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jul. 01, 2018	Jun. 30, 2018
ASSETS
Account receivable, net	$ 66,420		$ 65,994
Deferred cost of revenue - current	220		1,141
Prepaid expenses and other current assets	17,075		15,569
Other assets	14,749		11,576
LIABILITIES AND STOCKHOLDERS' EQUITY
Other accrued liabilities	21,240		22,448
Deferred revenue - current	72,278	$ 75,515	75,404
Long-term other liabilities	9,890		8,608
Accumulated deficit	(478,377)		$ (474,285)
ASC 606
ASSETS
Account receivable, net		66,251
Deferred cost of revenue - current		677
Prepaid expenses and other current assets		16,239
Other assets		17,416
LIABILITIES AND STOCKHOLDERS' EQUITY
Other accrued liabilities		23,059
Deferred revenue - current		75,515
Long-term other liabilities		9,075
Accumulated deficit		$ (469,171)
ASC 606 \| Balances Without Adoption
ASSETS
Account receivable, net	61,798
Deferred cost of revenue - current	11,300
Prepaid expenses and other current assets	16,118
Other assets	8,711
LIABILITIES AND STOCKHOLDERS' EQUITY
Other accrued liabilities	20,606
Deferred revenue - current	86,592
Long-term other liabilities	9,186
Accumulated deficit	(491,890)
ASC 606 \| Adjustment Due to ASC 606
ASSETS
Account receivable, net	4,622
Deferred cost of revenue - current	(11,080)
Prepaid expenses and other current assets	957
Other assets	6,038
LIABILITIES AND STOCKHOLDERS' EQUITY
Other accrued liabilities	634
Deferred revenue - current	(14,314)
Long-term other liabilities	704
Accumulated deficit	$ 13,513

Revenue - Schedule of Effect of Adoption of ASC 606 on Condensed Consolidated Statements of Operations and Comprehensive Loss (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Net revenue	$ 95,829	$ 90,950
Cost of goods sold	57,950	52,844
Other expense, net	3,983	6,571
Research and development	13,889	14,093
Selling and marketing	13,036	14,757
General and administrative	15,642	11,308
Provision for income taxes	535	759
Net loss	$ (9,206)	$ (9,382)
Net income (loss) per share - Basic and Diluted	$ (0.11)	$ (0.11)
ASC 606 \| Balances Without Adoption
Net revenue	$ 77,114
Cost of goods sold	47,356
Other expense, net	4,071
Research and development	13,921
Selling and marketing	13,226
General and administrative	15,685
Provision for income taxes	460
Net loss	$ (17,605)
Net income (loss) per share - Basic and Diluted	$ (0.21)
ASC 606 \| Adjustment Due to ASC 606
Net revenue	$ 18,715
Cost of goods sold	10,594
Other expense, net	(88)
Research and development	(32)
Selling and marketing	(190)
General and administrative	(43)
Provision for income taxes	75
Net loss	$ 8,399
Net income (loss) per share - Basic and Diluted	$ 0.10

Revenue -Summary of Contract with Customer, Asset and Liability (Details) - USD ($)
$ in Thousands

3 Months Ended

Sep. 30, 2018

Jul. 01, 2018

Jun. 30, 2018

ASSETS

Unbilled accounts receivable - current

^[1]

$ 11,105

$ 3,218

Long Term Accounts Receivable

^[2]

4,189

6,833

Interest receivable - non-current

^[2]

701

611

Change in unbilled accounts receivable - current

^[1]

7,887

Change in long term accounts receivable

^[2]

(2,644)

Change in Interest receivable - non-current

^[2]

$ 90

Percentage change in unbilled accounts receivable - current

^[1]

71.00%

Percentage change in long term accounts receivable

^[2]

(63.00%)

Percentage change in interest receivable - non-current

^[2]

13.00%

Liabilities:

Customer advances

$ 19,181

22,896

$ 22,896

Deferred revenue - current

72,278

75,515

75,404

Deferred revenue - non-current

22,732

$ 20,976

Change in customer advances

(3,715)

Change in unbilled deferred revenue - current

(3,237)

Change in unbilled deferred revenue - non-current

$ 1,756

Percentage change in unbilled deferred revenue - current

(4.00%)

Percentage change in unbilled deferred revenue - non-current

8.00%

Percentage change in customer advances

(19.00%)

[1]	Included in accounts receivable on consolidated balance sheets
[2]	Included in other assets on consolidated balance sheets

Revenue - Summary of Revenue from Contract with Customer (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2018 USD ($)
Revenue From Contract With Customer [Abstract]
Balance at beginning of period	$ 96,491
New billings	94,348
Recoginition of deferred revenue	(95,829)
Balance at end of period	$ 95,010

Revenue - Additional Information (Details) $ in Millions	3 Months Ended
Revenue - Additional Information (Details) $ in Millions	Sep. 30, 2018 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2018-10-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining performance obligations recognized period	12 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-10-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining performance obligations recognized period	30 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: (nil)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining performance obligations amount	$ 731.0
Long-term warranty and service \| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: (nil)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining performance obligations amount	66.5
Performance Obligations Other Than Warrant \| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: (nil)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining performance obligations amount	$ 664.5
Minimum \| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2018-10-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining performance obligations percentage	30.00%
Minimum \| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-10-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining performance obligations percentage	60.00%
Minimum \| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: (nil)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Percentage of changes in operating results on entity's revenue	15.00%
Maximum \| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2018-10-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining performance obligations percentage	40.00%
Maximum \| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-10-01
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Remaining performance obligations percentage	70.00%
Maximum \| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: (nil)
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items]
Percentage of changes in operating results on entity's revenue	20.00%

Revenue - Schedule of Remaining Performance Obligations related to Warranty (Details) - Long-term warranty and service $ in Thousands	Sep. 30, 2018 USD ($)
2019	$ 22,411
2020	21,862
2021	12,939
Thereafter	$ 9,255

Revenue - Additional Information (Details1) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Jul. 01, 2018
Revenue From Contract With Customer [Abstract]
Capitalized costs to obtain a contract	$ 6,200	$ 5,900
Impairment loss	0
Capitalized contract cost, amortization	$ 900

Supplemental Financial Information - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Jun. 30, 2018
Financing receivables
Accounts receivable with contractual maturities and sales-type leases	$ 4,189		$ 6,889
Allowance for credit loss	3,327		$ 0
Property and equipment, net
Depreciation expense	$ 2,100	$ 2,500

Supplemental Financial Information - Summary of Financing Receivables (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Financing receivables
Gross	$ 15,313	$ 9,597
Unearned income	(1,149)	(137)
Allowance for credit loss	(3,327)	0
Total, net	10,837	9,460
Current	6,648	2,571
Non-current	4,189	6,889
Lease Receivables
Financing receivables
Gross	1,472	1,588
Unearned income	(113)	(137)
Total, net	1,359	1,451
Current	444	432
Non-current	915	1,019
Financed Service Contracts And Other
Financing receivables
Gross	13,841	8,009
Unearned income	(1,036)
Allowance for credit loss	(3,327)
Total, net	9,478	8,009
Current	6,204	2,139
Non-current	$ 3,274	$ 5,870

Supplemental Financial Information - Summary of Future Minimum Lease Payments Receivable (Details) $ in Thousands	Sep. 30, 2018 USD ($)
Capital leases future minimum payments receivable
2019 (remaining 9 months)	$ 387
2020	465
2021	465
2022	155
Total	$ 1,472

Supplemental Financial Information - Summary of Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Inventory Net [Abstract]
Raw materials	$ 44,417	$ 37,144
Work-in-process	17,189	17,703
Finished goods	56,078	53,693
Inventories	$ 117,684	$ 108,540

Supplemental Financial Information - Schedule of Property and Equipment, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Property and equipment, net
Property and equipment, gross	$ 99,450	$ 103,666
Less: Accumulated depreciation	(76,324)	(79,968)
Property and equipment, net	23,126	23,698
Furniture and Fixtures
Property and equipment, net
Property and equipment, gross	2,910	2,927
Computer and Office Equipment
Property and equipment, net
Property and equipment, gross	10,789	11,315
Software
Property and equipment, net
Property and equipment, gross	10,840	11,307
Leasehold Improvements
Property and equipment, net
Property and equipment, gross	25,742	25,423
Machinery and Equipment
Property and equipment, net
Property and equipment, gross	42,736	47,065
Construction in Progress
Property and equipment, net
Property and equipment, gross	$ 6,433	$ 5,629

Supplemental Financial Information - Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Accumulated Other Comprehensive Income (Loss)
Cumulative foreign currency translation adjustment	$ 842	$ 1,237
Defined benefit pension obligation	(144)	(144)
Accumulated other comprehensive income	$ 698	$ 1,093

Goodwill and Intangible Assets - Schedule of Goodwill (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Sep. 30, 2018	Jun. 30, 2018
Changes in the carrying amount of goodwill
Balance at the beginning of the period	$ 57,855	$ 57,812
Currency translation	(88)	43
Balance at the end of the period	$ 57,767	$ 57,855

Goodwill and Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Dec. 31, 2017	Sep. 30, 2017
Goodwill And Intangible Assets Disclosure [Abstract]
Impairment of goodwill		$ 0
Amortization expense	$ 40		$ 40

Goodwill and Intangible Assets - Schedule of Carrying Amount of Acquired Intangible Assets, Net (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Jun. 30, 2018
Finite Lived Intangible Assets [Line Items]
Net Amount	$ 785	$ 821
Patent license
Finite Lived Intangible Assets [Line Items]
Useful Lives	7 years
Gross Carrying Amount	$ 1,000	1,000
Accumulated Amortization	(215)	(179)
Net Amount	$ 785	$ 821

Goodwill and Intangible Assets - Schedule of Estimated Future Amortization Expense of Acquired Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Estimated future amortization expense of purchased intangible assets
2019 (remaining 9 months)	$ 107
2020	143
2021	143
2022	143
2023	143
Thereafter	106
Net Amount	$ 785	$ 821

Derivative Financial Instruments - Additional Information (Details) - contract	Sep. 30, 2018	Jun. 30, 2018
Derivative Instruments And Hedging Activities Disclosure [Abstract]
Outstanding foreign currency contracts (number of contracts)	0	0

Derivative Financial Instruments - Schedule of Gain (Loss) Associated with the Company's Derivative Financial Instruments (Details) - Other expense, net - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Foreign currency exchange gain (loss) on foreign contracts	$ (530)	$ 4
Foreign contracts
Foreign currency exchange gain (loss) on foreign contracts	$ 17	$ 241

Fair Value Measurements - Additional Information (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018	Aug. 31, 2017
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Cash and cash equivalents	$ 68,545	$ 83,083
3.75% Convertible Notes
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Interest rate (as a percent)	3.75%	3.75%	3.75%

Fair Value Measurements - Summary of Carrying Value and Estimated Fair Value of all Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Carrying Value
Fair value measurement
Long term debt	$ 128,926	$ 131,077
Fair Value
Fair value measurement
Long term debt	148,829	132,437
Non-recurring basis \| Carrying Value \| Level 2 \| 3.75% Convertible Notes
Fair value measurement
Long term debt	70,197	69,382
Non-recurring basis \| Fair Value \| Level 2 \| 3.75% Convertible Notes
Fair value measurement
Long term debt	90,100	70,742
Term loan \| Non-recurring basis \| Carrying Value \| Level 2
Fair value measurement
Long term debt	38,307	38,010
Term loan \| Non-recurring basis \| Fair Value \| Level 2
Fair value measurement
Long term debt	38,307	38,010
Revolving Credit Facility \| Non-recurring basis \| Carrying Value \| Level 2
Fair value measurement
Long term debt	20,422	23,685
Revolving Credit Facility \| Non-recurring basis \| Fair Value \| Level 2
Fair value measurement
Long term debt	$ 20,422	$ 23,685

Debt - Additional Information (Details)					1 Months Ended			3 Months Ended
Debt - Additional Information (Details)	Feb. 07, 2018 shares	Feb. 01, 2018 USD ($) shares	Jan. 30, 2018 USD ($)	Jun. 14, 2017 USD ($)	Dec. 31, 2017 USD ($)	Apr. 30, 2014 USD ($) $ / shares	Feb. 28, 2013 USD ($) $ / shares	Dec. 31, 2018	Sep. 30, 2018 USD ($) $ / shares	Jun. 30, 2018 USD ($)	Sep. 30, 2017	Aug. 31, 2017 USD ($)
Debt
Common stock value									$ 86,000	$ 86,000
Principal amount of the Notes									$ 145,422,000	148,685,000
Minimum
Debt
Fixed Charge Coverage Ratio									75.00%
Scenario, Forecast \| Minimum
Debt
Fixed Charge Coverage Ratio								50.00%
Revolving Credit Facility
Debt
Principal amount of the Notes									$ 20,422,000	23,685,000
Initial borrowing capacity				$ 52,000,000
Minimum drawn balance (as a percent)				30.00%
Outstanding revolving credit facility									$ 20,400,000
90-day LIBOR \| Revolving Credit Facility
Debt
Interest rate determination basis									90-day LIBOR
Variable rate (as a percent)				4.50%
Repurchase
Debt
Repurchase/Retirement of existing notes												$ 28,000,000
Revolving Credit Agreement \| Revolving Credit Facility
Debt
Reduced borrowing capacity					$ 32,000,000
Combined Term Loan and Credit Agreement Member
Debt
Debt agreement Amendment date									Jul. 31, 2018
Term Loan Facility due December 2022
Debt
Principal amount of the Notes									$ 40,000,000	$ 40,000,000
Term Loan Facility due December 2022 \| Term loan
Debt
Principal amount of the Notes									$ 40,000,000
Initial term loan borrowing capacity					40,000,000
Additional term loan borrowing capacity					$ 20,000,000
Loan prepayment fees for first year (percentage)					3.00%
Loan prepayment fees for second year (percentage)					2.00%
Loan prepayment fees for third year (percentage)					1.00%
Term of loan (in months)					60 months
Term of interest payable (in months)					24 months
Administrative fee payable on term loan as a percentage					0.25%
Final payment of administrative fee payable on term loan as a percentage					4.00%
Term Loan Facility due December 2022 \| 90-day LIBOR \| Term loan
Debt
Interest rate determination basis									90-day LIBOR
Variable rate (as a percent)					6.75%
3.50% Convertible Senior Notes
Debt
Interest rate (as a percent)							3.50%				3.50%
Conversion rate, number of shares to be issued per $1000 of principal amount (in shares)							187.6877
Principal amount used for debt instrument conversion ratio							$ 1,000
Conversion price (in dollars per share) \| $ / shares							$ 5.33
Repayment of convertible debt and accrued interest		$ 13,200,000	$ 13,000,000
Common stock value			300,000
Period of volume weighted averaging price which is used to determine total number of shares	3 days
3.50% Convertible Senior Notes \| Other expense, net
Debt
Extinguishment of debt			$ 300,000
3.50% Convertible Senior Notes \| Common Stock
Debt
Common stock shares issued to note holders \| shares	253,000
3.50% Series A Convertible Notes
Debt
Interest rate (as a percent)						3.50%
Conversion rate, number of shares to be issued per $1000 of principal amount (in shares)						187.6877
Principal amount used for debt instrument conversion ratio						$ 1,000
Conversion price (in dollars per share) \| $ / shares						$ 5.33
Repayment of convertible debt and accrued interest		$ 27,000,000
3.50% Series A Convertible Notes \| Common Stock
Debt
Common stock shares issued to settle Convertible Notes \| shares		1,252
3.75% Convertible Senior Notes due 2022
Debt
Interest rate (as a percent)									3.75%	3.75%		3.75%
Conversion rate, number of shares to be issued per $1000 of principal amount (in shares)									174.8252
Principal amount used for debt instrument conversion ratio									$ 1,000
Conversion price (in dollars per share) \| $ / shares									$ 5.72
Aggregate principal amount of debt issued												$ 85,000,000
Repurchase price, as a percentage of the principal amount, in the event of a fundamental change, as defined in Indenture									100.00%
Principal amount of the Notes									$ 85,000,000	$ 85,000,000
3.75% Convertible Senior Notes due 2022 \| Exchange
Debt
Aggregate principal amount of debt issued												53,000,000
3.75% Convertible Senior Notes due 2022 \| Repurchase
Debt
Aggregate principal amount of debt issued												32,000,000
3.50% Convertible Notes due 2018 and 3.5% Series A Senior Notes due February 2018
Debt
Interest rate (as a percent)									3.50%
3.50% Convertible Notes due 2018 and 3.5% Series A Senior Notes due February 2018 \| Exchange
Debt
Aggregate principal amount of debt issued												$ 47,000,000

Debt - Schedule of Carrying Values of All Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Debt
Carrying amount of equity conversion component	$ 14,650	$ 14,650
Principal amount of the Notes	145,422	148,685
Unamortized debt costs	(4,771)	(5,072)
Unamortized debt discount	(11,725)	(12,536)
Net carrying amount	128,926	131,077
Reported as:
Long-term debt	128,926	131,077
Net carrying amount	128,926	131,077
Long-term debt	128,926	131,077
Revolving Credit Facility
Debt
Principal amount of the Notes	20,422	23,685
Net carrying amount	20,422	23,685
Reported as:
Net carrying amount	20,422	23,685
3.75% Convertible Senior Notes due 2022
Debt
Carrying amount of equity conversion component	14,650	14,650
Principal amount of the Notes	85,000	85,000
Unamortized debt costs	(3,192)	(3,351)
Unamortized debt discount	(11,611)	(12,267)
Net carrying amount	70,197	69,382
Reported as:
Net carrying amount	70,197	69,382
Term Loan Facility due December 2022
Debt
Principal amount of the Notes	40,000	40,000
Unamortized debt costs	(1,579)	(1,721)
Unamortized debt discount	(114)	(269)
Net carrying amount	38,307	38,010
Reported as:
Net carrying amount	$ 38,307	$ 38,010

Debt - Summary of Interest Expense on All Convertible Debt (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Debt
Total interest expense recognized	$ 3,517	$ 3,719
3.50% Convertible Notes, 3.50% Series A Convertible Notes and 3.75% Convertible Notes
Debt
Interest expense related to contractual interest coupon	2,325	2,409
Interest expense related to amortization of debt discount	810	862
Interest expense related to amortization of debt issuance costs	$ 382	$ 448

Share-Based Compensation - Summary of Share-Based Compensation Expenses by Functional Line Item (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Share-based compensation expenses
Share-based compensation expense	$ 3,212	$ 2,432
Cost of revenue
Share-based compensation expenses
Share-based compensation expense	431	493
Research and development
Share-based compensation expenses
Share-based compensation expense	491	631
Selling and marketing
Share-based compensation expenses
Share-based compensation expense (benefit)	535	(163)
General and administrative
Share-based compensation expenses
Share-based compensation expense	$ 1,755	$ 1,471

Net Loss Per Common Share - Schedule of reconciliation of the numerator and denominator used in the calculation of basic and diluted net income (loss) per common share (Details) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Numerator:
Net loss used to compute basic and diluted loss per share	$ (9,206)	$ (9,382)
Weighted average common shares used in computing net loss per share:
Weighted average shares used to compute basic and diluted loss per share	86,479	83,747

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Net Loss Per Common Share - Additional Information (Details) - shares shares in Millions	3 Months Ended
	Sep. 30, 2018	Jun. 30, 2018	Sep. 30, 2017	Aug. 31, 2017	Feb. 28, 2013
3.50% Convertible Notes
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Interest rate (as a percent)	3.50%
3.75% Convertible Senior Notes due 2022
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Interest rate (as a percent)	3.75%	3.75%		3.75%
Common stock not included in the calculation of potentially diluted shares	14.9
3.50% Convertible Notes
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Interest rate (as a percent)			3.50%		3.50%
Date of convertible debt retired	2018-02

Net Loss Per Common Share - Schedule of all potentially dilutive securities excluded from the computation of basic and diluted net income (loss) per common share (Details) - shares shares in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from the computation of diluted net income (loss) per share (in shares)	7,512	10,999
Stock options
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from the computation of diluted net income (loss) per share (in shares)	2,677	2,996
RSUs, PSUs and MSUs
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from the computation of diluted net income (loss) per share (in shares)	4,835	5,564
3.50% Convertible Notes
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from the computation of diluted net income (loss) per share (in shares)		2,439

Net Loss Per Common Share - Schedule of all potentially dilutive securities excluded from the computation of basic and diluted net income (loss) per common share - Parenthetical (Details)	Sep. 30, 2017	Feb. 28, 2013
3.50% Convertible Notes
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Interest rate (as a percent)	3.50%	3.50%

Segment Information - Additional Information (Details)	3 Months Ended
Segment Information - Additional Information (Details)	Sep. 30, 2018 segment
Segment Reporting [Abstract]
Number of reportable segments	1

Segment Information - Summary of Revenue by Geographic Region (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Segment Information
Total net revenue	$ 95,829	$ 90,950
Americas
Segment Information
Total net revenue	32,694	36,023
Europe, Middle East, India and Africa
Segment Information
Total net revenue	36,035	35,148
Asia Pacific
Segment Information
Total net revenue	12,177	6,702
Japan
Segment Information
Total net revenue	$ 14,923	$ 13,077

Segment Information - Schedule of Geographic Areas in Which the Company has Long Lived Tangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Jun. 30, 2018
Segment Information
Property and equipment, net	$ 23,126	$ 23,698
Americas
Segment Information
Property and equipment, net	19,309	19,698
Europe, Middle East, India and Africa
Segment Information
Property and equipment, net	654	569
Asia Pacific
Segment Information
Property and equipment, net	1,572	1,635
Japan
Segment Information
Property and equipment, net	$ 1,591	$ 1,796

Income Tax - Additional Information (Details) $ in Thousands	3 Months Ended		12 Months Ended
	Sep. 30, 2018 USD ($) Year	Sep. 30, 2017 USD ($)	Jun. 30, 2018
Income Tax Examination [Line Items]
Income tax expense	$ 535	$ 759
Effective income tax rate	21.00%		35.00%
Tax cuts and jobs act 2017, measurement period from enactment date	1 year
Deferred tax	$ 0
Number of prior years with gross receipt eligible for BEAT minimum tax \| Year	3
Minimum
Income Tax Examination [Line Items]
Average annual prior gross receipts treshhold amount for exemption from base erosion and anti abuse tax	$ 500,000
Foreign
Income Tax Examination [Line Items]
Income tax expense	$ 500	$ 800

Subsequent Events - Additional Information (Details) - USD ($) $ in Millions		3 Months Ended
	Oct. 29, 2018	Dec. 31, 2019
Subsequent Event
Subsequent Event [Line Items]
Workforce affected by cost saving initiative (as a percent)	5.00%
Scenario, Forecast
Subsequent Event [Line Items]
Restructuring Charges		$ 2.0