GOODWILL AND PURCHASED INTANGIBLE ASSETS (Tables)
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6 Months Ended |
Dec. 31, 2021 |
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| Goodwill and Intangible Assets Disclosure [Abstract] |
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| Schedule of Goodwill Balances |
The following table presents changes in goodwill carrying value during the six months ended December 31, 2021(1):
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| (In thousands) |
Wafer Inspection and Patterning |
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Global Service and Support (“GSS”)
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Specialty Semiconductor Process |
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PCB and Display |
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Component Inspection |
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Total |
| Balance as of June 30, 2021 |
$ |
416,860 |
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$ |
25,908 |
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$ |
681,858 |
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$ |
872,971 |
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$ |
13,575 |
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$ |
2,011,172 |
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| Acquired goodwill |
31,621 |
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— |
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— |
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— |
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— |
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31,621 |
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| Foreign currency adjustments |
1 |
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— |
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— |
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— |
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— |
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1 |
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| Balance as of December 31, 2021 |
$ |
448,482 |
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$ |
25,908 |
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$ |
681,858 |
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$ |
872,971 |
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$ |
13,575 |
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$ |
2,042,794 |
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_________________
(1)No goodwill was assigned to the Other reporting unit and, accordingly, it was excluded from the table above.
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| Schedule of Components of Purchased Intangible Assets |
The components of purchased intangible assets as of the dates indicated below were as follows:
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| (In thousands) |
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As of December 31, 2021 |
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As of June 30, 2021 |
| Category |
Range of
Useful
Lives
(in years)
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|
Gross
Carrying
Amount |
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Accumulated
Amortization
and
Impairment |
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Net
Amount |
|
Gross
Carrying
Amount |
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Accumulated
Amortization
and
Impairment |
|
Net
Amount |
| Existing technology |
4-8 |
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$ |
1,400,191 |
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$ |
581,249 |
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$ |
818,942 |
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$ |
1,382,612 |
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$ |
499,219 |
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$ |
883,393 |
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| Customer relationships |
4-9 |
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313,317 |
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148,452 |
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164,865 |
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305,817 |
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131,386 |
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174,431 |
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| Trade name / Trademark |
4-7 |
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117,983 |
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60,707 |
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57,276 |
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117,383 |
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53,493 |
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63,890 |
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| Backlog and other |
<1-9 |
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52,836 |
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50,522 |
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2,314 |
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50,403 |
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49,962 |
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441 |
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| Intangible assets subject to amortization |
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1,884,327 |
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840,930 |
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1,043,397 |
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1,856,215 |
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734,060 |
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1,122,155 |
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| In-process research and development |
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67,656 |
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6,062 |
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61,594 |
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63,256 |
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100 |
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63,156 |
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| Total |
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$ |
1,951,983 |
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$ |
846,992 |
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$ |
1,104,991 |
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$ |
1,919,471 |
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$ |
734,160 |
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$ |
1,185,311 |
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| Schedule of Amortization Expense for Purchased Intangible Assets |
Amortization expense for purchased intangible assets for the periods indicated below was as follows:
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Three Months Ended December 31, |
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Six Months Ended December 31, |
| (In thousands) |
2021 |
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2020 |
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2021 |
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2020 |
| Amortization expense - Costs of revenues |
$ |
41,124 |
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$ |
38,738 |
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$ |
82,248 |
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$ |
75,778 |
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| Amortization expense - SG&A |
12,389 |
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12,301 |
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24,778 |
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25,730 |
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| Amortization expense - Research and development |
31 |
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31 |
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62 |
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62 |
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| Total |
$ |
53,544 |
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$ |
51,070 |
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$ |
107,088 |
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$ |
101,570 |
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| Schedule of Remaining Estimated Amortization Expense |
Based on the purchased intangible assets gross carrying amount recorded as of December 31, 2021, the remaining estimated annual amortization expense is expected to be as follows:
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| Fiscal year ending June 30: |
Amortization (In thousands) |
| 2022 (remaining six months) |
$ |
107,197 |
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| 2023 |
212,659 |
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| 2024 |
209,665 |
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| 2025 |
197,596 |
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| 2026 |
182,271 |
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| 2027 and thereafter |
134,009 |
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| Total |
$ |
1,043,397 |
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