Goodwill and Purchased Intangible Assets (Tables)
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12 Months Ended |
Jun. 30, 2019 |
|---|
| Goodwill and Intangible Assets Disclosure [Abstract] |
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| Goodwill Rollforward |
The following table presents goodwill carrying value and the movements during the fiscal years ended June 30, 2019 and 2018(1):
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(In thousands) |
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Wafer Inspection |
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Patterning |
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GSS |
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SPC Others |
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Wafer Inspection and Patterning |
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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, 2017 |
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$ |
281,095 |
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|
$ |
53,255 |
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|
$ |
2,856 |
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$ |
12,320 |
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$ |
— |
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$ |
— |
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$ |
— |
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$ |
— |
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$ |
349,526 |
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Acquired goodwill |
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— |
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— |
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|
5,163 |
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— |
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— |
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— |
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— |
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— |
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5,163 |
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Foreign currency adjustment |
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(90 |
) |
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— |
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20 |
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|
79 |
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— |
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— |
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— |
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— |
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|
9 |
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Balance as of June 30, 2018 |
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281,005 |
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53,255 |
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|
8,039 |
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|
12,399 |
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— |
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— |
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— |
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— |
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354,698 |
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Acquired goodwill |
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— |
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26,362 |
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17,869 |
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|
1,176 |
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— |
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|
821,842 |
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|
989,918 |
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— |
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|
1,857,167 |
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Reallocation due to change in segments |
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(281,005 |
) |
|
(79,617 |
) |
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— |
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(13,575 |
) |
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360,622 |
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— |
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— |
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13,575 |
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— |
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Foreign currency and other adjustments |
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— |
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— |
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— |
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(7 |
) |
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— |
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— |
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— |
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(7 |
) |
Balance as of June 30, 2019 |
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$ |
— |
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$ |
— |
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$ |
25,908 |
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$ |
— |
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$ |
360,615 |
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$ |
821,842 |
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$ |
989,918 |
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$ |
13,575 |
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$ |
2,211,858 |
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_________________
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|
(1) |
No goodwill was assigned to the Other reporting unit, and accordingly not disclosed in the table above.
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| 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 June 30, 2019 |
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As of June 30, 2018 |
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
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Gross
Carrying
Amount
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Accumulated
Amortization and Impairment
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|
Net
Amount
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Existing technology |
4-8 |
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$ |
1,224,629 |
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$ |
196,582 |
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$ |
1,028,047 |
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$ |
160,859 |
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$ |
144,202 |
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$ |
16,657 |
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Trade name/trademark |
4-7 |
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114,573 |
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25,052 |
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89,521 |
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20,993 |
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20,060 |
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|
933 |
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Customer relationships |
4-9 |
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297,250 |
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66,471 |
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230,779 |
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56,680 |
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55,136 |
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|
1,544 |
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Backlog and other |
<1- 9 |
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43,969 |
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|
19,146 |
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|
24,823 |
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|
660 |
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|
461 |
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|
199 |
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Intangible assets subject to amortization |
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|
1,680,421 |
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|
307,251 |
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1,373,170 |
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|
239,192 |
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219,859 |
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|
19,333 |
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In-process research and development |
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|
187,500 |
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— |
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187,500 |
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— |
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— |
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— |
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Total |
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$ |
1,867,921 |
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$ |
307,251 |
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$ |
1,560,670 |
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$ |
239,192 |
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$ |
219,859 |
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$ |
19,333 |
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| Amortization Expense for Purchased Intangible Assets |
Amortization expense for purchased intangible assets for the periods indicated below was as follows:
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Year ended June 30, |
(In thousands) |
2019 |
|
2018 |
Amortization expense- Cost of revenues |
$ |
52,387 |
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$ |
4,095 |
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Amortization expense- Selling, general and administrative |
34,992 |
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|
535 |
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Amortization expense- Research and development |
13 |
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|
— |
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Total |
$ |
87,392 |
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$ |
4,630 |
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| Remaining Estimated Amortization Expense |
Based on the purchased intangible assets gross carrying amount recorded as of June 30, 2019, the underlying assets, the remaining estimated annual amortization expense is expected to be as follows:
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Fiscal year ending June 30: |
Amortization
(In thousands)
|
2020 |
$ |
206,293 |
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2021 |
186,609 |
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2022 |
185,159 |
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2023 |
184,060 |
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2024 |
182,113 |
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Thereafter |
428,936 |
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Total |
$ |
1,373,170 |
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