Annual report pursuant to Section 13 and 15(d)

GOODWILL AND PURCHASED INTANGIBLE ASSETS (Tables)

v3.22.2
GOODWILL AND PURCHASED INTANGIBLE ASSETS (Tables)
 12 Months Ended
Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill Rollforward
The following table presents goodwill carrying value and the movements by reporting unit during the fiscal years ended June 30, 2022 and 2021(1):
(In thousands) Wafer Inspection and Patterning
Global Service and Support (“GSS”)
 Specialty Semiconductor Process PCB and Display Component Inspection Total
Balance as of June 30, 2020 $ 416,840  $ 25,908  $ 681,858  $ 907,221  $ 13,575  $ 2,045,402 
Goodwill disposal from sale of business(2)
—  —  —  (34,250) —  (34,250)
Foreign currency adjustment 20  —  —  —  —  20 
Balance as of June 30, 2021 416,860  25,908  681,858  872,971  13,575  2,011,172 
Acquired goodwill 308,952  —  —  —  —  308,952 
Foreign currency adjustment (75) —  —  —  —  (75)
Balance as of June 30, 2022 $ 725,737  $ 25,908  $ 681,858  $ 872,971  $ 13,575  $ 2,320,049 
_________________
(1)No goodwill was assigned to the Other reporting unit, and accordingly is not disclosed in the table above.
(2)Refer to the Non-controlling Interest section of Note 10 “Equity, Long-term Incentive Compensation Plans and Non-Controlling Interest” for more information on the sale of PixCell Medical Technologies Ltd. (“PixCell”).
Schedule of Purchased Intangible Assets The components of purchased intangible assets as of the dates indicated below were as follows:
(In thousands) As of June 30, 2022 As of June 30, 2021
Category Range of
Useful Lives
(in years)		 Gross
Carrying
Amount		 Accumulated
Amortization and Impairment		 Net
Amount		 Gross
Carrying
Amount		 Accumulated
Amortization and Impairment		 Net
Amount
Existing technology
4-8
 $ 1,523,691  $ 668,175  $ 855,516  $ 1,382,612  $ 499,219  $ 883,393 
Customer relationships
4-9
 366,567  167,819  198,748  305,817  131,386  174,431 
Trade name/trademark
4-7
 121,083  68,194  52,889  117,383  53,493  63,890 
Order backlog and other
<1-9
 87,836  58,970  28,866  50,403  49,962  441 
Intangible assets subject to amortization 2,099,177  963,158  1,136,019  1,856,215  734,060  1,122,155 
IPR&D 64,457  6,062  58,395  63,256  100  63,156 
Total $ 2,163,634  $ 969,220  $ 1,194,414  $ 1,919,471  $ 734,160  $ 1,185,311 
Schedule of Amortization Expense for Purchased Intangible Assets Amortization expense for purchased intangible assets for the periods indicated below was as follows:
Year Ended June 30,
(In thousands) 2022 2021 2020
Amortization expense - Cost of revenues $ 168,957  $ 156,596  $ 145,823 
Amortization expense - SG&A 60,017  49,531  74,532 
Amortization expense - R&D 124  125  224 
Total $ 229,098  $ 206,252  $ 220,579 
Schedule of Remaining Estimated Amortization Expense Based on the purchased intangible assets’ gross carrying value recorded as of June 30, 2022, the remaining estimated annual amortization expense is expected to be as follows:
Fiscal Year Ending June 30: Amortization
(In thousands)
2023 $ 260,161 
2024 237,723 
2025 221,421 
2026 205,407 
2027 127,861 
Thereafter 83,446 
Total $ 1,136,019