Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Mar. 31, 2017	Apr. 28, 2017
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	Q3
Trading Symbol	FN
Entity Registrant Name	FABRINET
Entity Central Index Key	0001408710
Current Fiscal Year End Date	--06-30
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		37,329,321

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2017	Jun. 24, 2016
Current assets
Cash and cash equivalents	$ 136,634	$ 142,804
Marketable securities	152,608	141,709
Trade accounts receivable, net	250,922	196,145
Inventory, net	224,627	181,499
Deferred tax assets		1,358
Prepaid expenses	3,804	3,114
Other current assets	2,983	6,662
Total current assets	771,578	673,291
Non-current assets
Restricted cash in connection with business acquisition	3,175
Property, plant and equipment, net	216,378	178,410
Intangibles, net	5,857	499
Goodwill	3,649	0
Deferred tax assets	2,452	1,806
Deferred debt issuance costs on revolving loan and other non-current assets	1,596	1,851
Total non-current assets	233,107	182,566
Total Assets	1,004,685	855,857
Current liabilities
Bank borrowings, net of unamortized debt issuance costs	48,658	24,307
Trade accounts payable	210,105	172,052
Fixed assets payable	12,409	20,628
Capital lease liability, current portion	341
Income tax payable	2,209	2,010
Accrued payroll, bonus and related expenses	15,141	12,300
Accrued expenses	13,020	8,072
Other payables	10,931	16,356
Total current liabilities	312,814	255,725
Non-current liabilities
Long-term loan from bank, non-current portion, net of unamortized debt issuance costs	26,059	36,100
Deferred tax liability	1,754	854
Capital lease liability, non-current portion	1,062
Deferred liability in connection with business acquisition	3,175
Severance liabilities	7,896	6,684
Other non-current liabilities	2,822	2,075
Total non-current liabilities	42,768	45,713
Total Liabilities	355,582	301,438
Commitments and contingencies (Note 16)
Shareholders' equity
Preferred shares (5,000,000 shares authorized, $0.01 par value; no shares issued and outstanding as of March 31, 2017 and June 24, 2016)
Ordinary shares (500,000,000 shares authorized, $0.01 par value; 37,326,596 shares and 36,156,446 shares issued and outstanding as of March 31, 2017 and June 24, 2016, respectively)	373	362
Additional paid-in capital	128,868	102,325
Accumulated other comprehensive (loss) income	(993)	591
Retained earnings	520,855	451,141
Total Shareholders' Equity	649,103	554,419
Total Liabilities and Shareholders' Equity	$ 1,004,685	$ 855,857

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2017	Jun. 24, 2016
Preferred shares, shares authorized	5,000,000	5,000,000
Preferred shares, par value	$ 0.01	$ 0.01
Preferred shares, shares issued	0	0
Preferred shares, shares outstanding	0	0
Ordinary shares, shares authorized	500,000,000	500,000,000
Ordinary shares, par value	$ 0.01	$ 0.01
Ordinary shares, shares issued	37,326,596	36,156,446
Ordinary shares, shares outstanding	37,326,596	36,156,446

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Mar. 31, 2017	Mar. 25, 2016
Revenues	$ 366,837	$ 250,888	$ 1,050,036	$ 700,359
Cost of revenues	(322,791)	(219,711)	(923,336)	(614,678)
Gross profit	44,046	31,177	126,700	85,681
Selling, general and administrative expenses	(17,086)	(12,299)	(50,569)	(37,914)
Other income related to flooding, net		900		36
Operating income	26,960	19,778	76,131	47,803
Interest income	713	213	1,470	1,110
Interest expense	(641)	(335)	(2,517)	(1,156)
Foreign exchange (loss) gain, net	(3,702)	3,080	(100)	(1,246)
Other income	108	57	397	266
Income before income taxes	23,438	22,793	75,381	46,777
Income tax expense	(1,782)	(1,971)	(5,667)	(4,549)
Net income	21,656	20,822	69,714	42,228
Other comprehensive gain (loss), net of tax:
Change in net unrealized gain (loss) on marketable securities	49	292	(491)	117
Change in net unrealized (loss) gain on derivative instruments		722	(158)	674
Change in foreign currency translation adjustment	227		(935)
Total other comprehensive gain (loss), net of tax	276	1,014	(1,584)	791
Net comprehensive income	$ 21,932	$ 21,836	$ 68,130	$ 43,019
Earnings per share
Basic	$ 0.58	$ 0.58	$ 1.89	$ 1.18
Diluted	$ 0.57	$ 0.56	$ 1.85	$ 1.15
Weighted-average number of ordinary shares outstanding(thousands of shares)
Basic	37,116	35,964	36,792	35,785
Diluted	37,872	37,089	37,750	36,743

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016
Cash flows from operating activities
Net income for the period	$ 69,714	$ 42,228
Adjustments to reconcile net income to net cash provided by operating activities
Depreciation and amortization	16,956	12,793
Loss (gain) on disposal of property, plant and equipment	7	(13)
Loss from sales and maturities of available-for-sale securities	407	190
Amortization of investment premium	397	605
Amortization of deferred debt issuance costs	1,591	543
Income related to flooding		(828)
Proceeds from insurer in settlement of claim related to flood damage		272
Allowance for doubtful accounts (reversal)	3	(7)
Unrealized (gain) loss on exchange rate and fair value of derivative instruments	(718)	2,406
Share-based compensation	21,936	7,782
Deferred income tax	1,008	1,054
Other non-cash expenses	1,775	1,171
Reversal of inventory obsolescence	(72)	(344)
Loss from written-off inventory due to flood loss		233
Changes in operating assets and liabilities
Trade accounts receivable	(50,839)	(37,015)
Inventory	(39,766)	(19,258)
Other current assets and non-current assets	3,921	(3,803)
Trade accounts payable	32,653	30,731
Income tax payable	166	(114)
Other current liabilities and non-current liabilities	1,249	2,730
Net cash provided by operating activities	60,388	41,356
Cash flows from investing activities
Purchase of marketable securities	(100,751)	(85,644)
Proceeds from sales of marketable securities	33,812	28,735
Proceeds from maturities of marketable securities	54,745	54,290
Payments in connection with business acquisition, net of cash acquired	(9,917)
Purchase of property, plant and equipment	(57,224)	(33,545)
Purchase of intangibles	(1,910)	(274)
Proceeds from disposal of property, plant and equipment	190	62
Proceeds from insurer in settlement of equipment claims related to flood damage		556
Net cash used in investing activities	(81,055)	(35,820)
Cash flows from financing activities
Payment of debt issuance costs		(506)
Proceeds of short-term loans from banks	27,665	18,000
Repayment of long-term loans from bank	(14,700)	(8,500)
Repayment of capital lease liability	(182)
Proceeds from issuance of ordinary shares under employee share option plans	5,890	3,326
Withholding tax related to net share settlement of restricted share units	(1,272)	(2,372)
Net cash provided by financing activities	17,401	9,948
Net (decrease) increase in cash, cash equivalents and restricted cash	(3,266)	15,484
Movement in cash, cash equivalents and restricted cash
Cash, cash equivalents and restricted cash at beginning of period	142,804	112,978
Net (decrease) increase in cash, cash equivalents and restricted cash	(3,266)	15,484
Effect of exchange rate on cash, cash equivalents and restricted cash	271	(505)
Cash, cash equivalents and restricted cash at end of period	139,809	127,957
Non-cash investing and financing activities
Construction, software-related and equipment-related payables	12,409	5,068
Cash, cash equivalents and restricted cash
Cash and cash equivalents	136,634	$ 127,957
Restricted cash in connection with business acquisition (non-current assets)	$ 3,175

Business and organization

9 Months Ended

Mar. 31, 2017

Business and organization

1.	Business and organization

General

Fabrinet (“Fabrinet” or the “Parent Company”) was incorporated on August 12, 1999, and commenced operations on January 1, 2000. The Parent Company is an exempted company incorporated in the Cayman Islands, British West Indies. The “Company” refers to Fabrinet and its subsidiaries as a group.

The Company provides advanced optical packaging and precision optical, electro-mechanical and electronic manufacturing services to original equipment manufacturers (“OEMs”) of complex products, such as optical communication components, modules and sub-systems, industrial lasers, medical devices and sensors. The Company offers a broad range of advanced optical and electro-mechanical capabilities across the entire manufacturing process, including process design and engineering, supply chain management, manufacturing, complex printed circuit board assembly, advanced packaging, integration, final assembly and test. The Company focuses primarily on the production of low-volume, high-mix products. The principal subsidiaries of Fabrinet include Fabrinet Co., Ltd. (“Fabrinet Thailand”), Casix, Inc. (“Casix”), Fabrinet West, Inc. (“Fabrinet West”) and Exception EMS Ltd. (“Exception EMS”).

Accounting policies

9 Months Ended

Mar. 31, 2017

Accounting policies

2.	Accounting policies

Basis of presentation

The accompanying unaudited condensed consolidated financial statements for Fabrinet as of March 31, 2017 and for the three and nine months ended March 31, 2017 and March 25, 2016 includes normal recurring adjustments, necessary for a fair statement of the financial information set forth herein, in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, such information does not include all of the information and footnotes required by U.S. GAAP for annual financial statements. For further information, please refer to the consolidated financial statements and footnotes thereto included in Fabrinet’s Annual Report on Form 10-K for the year ended June 24, 2016.

The balance sheet as of June 24, 2016 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The results for the three and nine months ended March 31, 2017 may not be indicative of results for the year ending June 30, 2017 or any future periods.

Where necessary, comparative figures have been reclassified to conform to the current period accounting policies and presentation adopted.

On September 14, 2016, the Company acquired 100% shareholding in Global CEM Solutions, Ltd. and all of its subsidiaries (including Exception EMS), a privately-held group located in Wiltshire, United Kingdom. The unaudited condensed consolidated financial statements of the Company include the financial position, results of operations and the cash flows of Exception EMS commencing as of the acquisition date. See Note 8 - Business acquisitions for further details on the accounting for this transaction.

Use of Estimates

The preparation of the Company’s unaudited condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements, and the reported amount of total revenues and expenses during the year. The Company bases estimates on historical experience and various assumptions about the future that are believed to be reasonable based on available information. The Company’s reported financial position or results of operations may be materially different under different conditions or when using different estimates and assumptions, particularly with respect to significant accounting policies, which are discussed below. Significant assumptions are used in accounting for share-based compensation, allowance for doubtful accounts, income taxes, inventory obsolescence and valuation of intangible assets related to business acquisition, among others. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods may be different from these estimates. In the event that estimates or assumptions prove to differ from actual results, adjustments will be made in subsequent periods to reflect more current information.

Fiscal years

The Company utilizes a 52-53 week fiscal year ending on the Friday in June closest to June 30. The three months ended March 31, 2017 and March 25, 2016 each consisted of 13 weeks. The nine months ended March 31, 2017 and March 25, 2016 consisted of 40 weeks and 39 weeks, respectively. Fiscal year 2017 will be comprised of 53 weeks and will end on June 30, 2017.

Concentration of credit risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents, marketable securities, derivatives and accounts receivable.

Cash, cash equivalents and marketable securities are maintained with several financial institutions. Deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with financial institutions with reputable credit and therefore bear minimal credit risk. The Company seeks to mitigate its credit risks by spreading such risks across multiple counterparties and monitoring the risk profiles of these counterparties. The Company limits its investments in marketable securities to securities with a maturity not in excess of three years, and all marketable securities that the Company invests in are rated A1, P-1, F1, or better.

The Company performs ongoing credit evaluations for credit worthiness of its customers and usually does not require collateral from its customers. Management has implemented a program to closely monitor near term cash collection and credit exposures to mitigate any material losses.

Derivatives

The derivatives assets and liabilities are recognized on the unaudited condensed consolidated balance sheets as other current assets or accrued expenses and are measured at fair value.

The Company applies hedge accounting to arrangements that qualify and are designated for cash flow or fair value hedge accounting treatment. Hedge accounting is discontinued prospectively if the hedging relationship ceases to be effective or the hedging or hedged items cease to exist as a result of maturity, sale, termination or cancellation.

Derivatives designated and qualifying as hedges of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges which include forward currency contracts. In a cash flow hedging relationship, the effective portion of the change in the fair value of the hedging derivative is initially recorded in accumulated other comprehensive income (loss) (“AOCI”), while any ineffective portion is recognized directly in earnings, as a component of other income (expense). The portion of gain or loss on the derivative instrument remains in AOCI until the forecasted transaction is recognized in earnings.

The Company also enters into derivative contracts that are intended to economically hedge certain of the Company’s risks. The changes in the fair value of the derivatives are recorded directly in earnings as a component of other income (expense). In accordance with the fair value measurement guidance, the Company’s accounting policy is to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. The Company executes derivative instruments with financial institutions that are credit-worthy, defined by us as institutions that hold an investment grade credit rating.

Business acquisition

For the acquisition of Exception EMS, the Company allocated the fair value of purchase consideration to the assets acquired and liabilities assumed based on their fair values at the acquisition date. The total consideration and the allocation of consideration to the individual net assets are preliminary, pending the finalization of the estimated fair value attributable to the acquired customer relationships.

The acquired intangible assets, which consist of customer relationships and backlog, are recorded within intangibles, net in the unaudited condensed consolidated balance sheets. The fair value of the acquired intangible assets was determined based on the multi-period excess earnings method. The Company reviews definite lived intangibles for impairment whenever changes or circumstances indicate the carrying amount may not be recoverable.

In connection with the business acquisition, $3.2 million of cash for deferred consideration, net of foreign currency translation adjustment, was placed into an escrow account which is under the Company’s control. However, the Company has contractually agreed to remit this deferred consideration to the sellers of Exception EMS, subject to the resolution of claims that the Company may make against the funds with respect to indemnification and other claims within 24 months from the closing date of the transaction. The cash is presented as restricted cash in the unaudited condensed consolidated balance sheets within non-current assets and the related liability is presented within non-current liabilities for the deferred consideration.

Goodwill

Goodwill arising from the acquisition is primarily attributable to the ability to expand future products and services and the assembled workforce. Goodwill is reviewed annually for impairment or more frequently whenever changes or circumstances indicate the carrying amount of goodwill may not be recoverable.

Capital lease

Certain machine and equipment held under capital leases are classified as property, plant and equipment and amortized using the straight-line method over the terms of the lease contracts. The related obligations from the capital lease are recorded as liabilities in the unaudited condensed consolidated balance sheets.

New Accounting Pronouncements – not yet adopted by the Company

In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2017-04, “Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment.” This amendment modified the concept of impairment assessment from the condition that exists when the carrying amount of goodwill exceeds its implied fair value to the condition that exists when the carrying amount of a reporting unit exceeds its fair value. Public companies that are SEC filers should adopt the amendment for its annual and any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements.

In January 2017, the FASB issued ASU 2017-03, “Accounting Changes and Error Corrections (Topic 250) and Investments – Equity Method and Joint Ventures (Topic 323): Amendments to SEC Paragraphs Pursuant to Staff Announcements at the September 22, 2016 and November 17, 2016 EITF Meetings.” The amendment provides guidance to the Company in relation to the disclosure of the impact that ASU 2014-09, ASU 2016-02 and ASU 2016-13 will have on the Company’s financial statements when adopted. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements.

In January 2017, the FASB issued ASU 2017-01, “Business Combination (Topic 805): Clarifying the Definition of a Business.” This amendment clarifies the definition of a business to assist entities when evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or business. For public companies, this ASU is effective for annual periods beginning after December 15, 2017, including interim periods within those periods. Early adoption is permitted for the transactions that occur before the issuance date or effective date of the amendment, only when the transaction has not been reported in financial statements that have been issued or made available for issuance. The Company does not expect that the adoption of this update will have a material impact to its consolidated financial statements.

In October 2016, the FASB issued ASU 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory,” which eliminates the exception for an intra-entity transfer of an asset other than inventory that prohibits the recognition of current and deferred income taxes until the asset has been sold to an outside party. The entity should recognize income tax consequences of an intra-entity transfer of assets other than inventory when the transfer occurs. For public entities, this update is effective for annual reporting periods beginning after December 15, 2017, including interim reporting periods within those annual reporting periods. Early adoption is permitted for all entities as of the beginning of an annual reporting period for which financial statements have not been issued or made available for issuance. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements.

In August 2016, the FASB issued ASU 2016-15, “Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force).” The amendments in this ASU provide guidance on the presentation of certain cash receipts and cash payments in the statement of cash flows in order to reduce diversity in existing practice. The amendments in ASU 2016-15 are effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements.

In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” The amendments in this ASU replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements.

In March 2016, the FASB issued ASU 2016-09, “Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” This ASU simplifies several aspects of the accounting for share-based payment award transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. The amendments in this update are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods, for public companies. Early adoption is permitted for any entity in any interim or annual period. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements.

In March 2016, the FASB issued ASU 2016-05, “Derivatives and Hedging (Topic 815),” to clarify that a change in the counterparty to a derivative instrument that has been designated as a hedging instrument under Topic 815, does not, in and of itself, require a de-designation of the hedging relationship, provided that all other hedge accounting criteria continue to be met. This guidance is effective for public entities for financial statements issued for fiscal years beginning after December 15, 2016 and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements.

In February 2016, the FASB issued ASU 2016-02, “Lease (Topic 842).” The core principle of Topic 842 is that a lessee should recognize the lease assets and liabilities that arise from leases in the statement of financial position. For public business entities, this update is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application is permitted. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements.

In January 2016, the FASB issued ASU 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” This new guidance requires certain equity investments to be measured at fair value, use of the exit price notion and separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheet or the accompanying notes to the financial statements. The ASU on recognition and measurement will take effect for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements.

In August 2014, the FASB issued ASU 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.” The amendments require management to evaluate, for each annual and interim reporting period, an entity’s ability to continue as a going concern when relevant conditions and events, considered in the aggregate, indicate that it is probable that the entity will be unable to meet its obligations that become due within one year after the date that the financial statements are issued (or available to be issued). This ASU is effective for annual periods and interim reporting periods ending after December 15, 2016. The Company does not expect that the adoption of this update will have an effect on its consolidated financial statements.

In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606), issued as a new Topic, Accounting Standards Codification.” The core principle of this amendment is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This update is effective for public companies, as amended by ASU 2015-14, for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Earlier application of this guidance is permitted, but not before the original date of December 15, 2016, which can be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption. Subsequently, in March 2016 and April 2016, the FASB issued ASU 2016-08 and ASU 2016-10, respectively, to clarify the implementation guidance on principle versus agent considerations and address the potential diversity in practice at initial application and cost; and the complexity of applying Topic 606, both at transition and on an ongoing basis related to identification of performance obligations and licensing arrangements; and ASU 2016-12 and ASU 2016-20, in May 2016 and December 2016, respectively, to improve in certain aspects of Topic 606, with the same effective date as ASU 2015-14. The Company will adopt this standard during its fiscal year ending June 28, 2019. In the current period, the Company is assessing the contracts with its customers to identify the impact to its consolidated financial statements. The process is still ongoing and the Company expects to make significant progress in the coming quarters.

New Accounting Pronouncements – adopted by the Company

In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash,” which requires the statement of cash flows to explain the change during the period in the total of cash, cash equivalents and restricted cash or restricted cash equivalents. The Company has early adopted this update in the second quarter of fiscal year 2017 on a retrospective basis but there was no impact to the presentation of the comparative period in the unaudited condensed consolidated financial statements.

In November 2015, the FASB issued ASU 2015-17, “Balance Sheet Classification of Deferred Taxes,” which will require entities to present deferred tax assets (“DTAs”) and deferred tax liabilities (“DTLs”) as non-current in a classified balance sheet. The ASU simplifies the current guidance, which requires entities to separately present DTAs and DTLs as current and non-current in a classified balance sheet. The Company has early adopted this update in the first quarter of fiscal year 2017. The Company adopted this update on a prospective basis and did not change the presentation of the comparative period.

In September 2015, the FASB issued ASU 2015-16, “Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments” which require an acquirer to recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The Company adopted this update in the first quarter of fiscal year 2017 and applied it on a prospective basis. See Footnote 8 – Business acquisition, for further disclosure on measurement period adjustments recorded in the nine months ended March 31, 2017.

In July 2015, the FASB issued ASU 2015-11, “Inventory (Topic 330): Simplifying the Measurement of Inventory.” The update provides the guidance that an entity, that measured inventory by using first-in, first-out or average cost, should measure inventory at the lower of cost and net realizable value. Subsequent measurement is unchanged for inventory measured using last-in, first-out or the retail inventory method. The Company adopted this update in the first quarter of fiscal year 2017 with no impact to the unaudited condensed consolidated financial statements.

In April 2015, the FASB issued ASU 2015-03, “Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs.” The update requires debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of the related debt liability instead of being presented as an asset. Debt disclosures will include the face amount of the debt liability and the effective interest rate. The update requires retrospective application and represents a change in accounting principle. Additionally, in August 2015, the FASB issued ASU 2015-15, “Interest – Imputation of Interest (Subtopic 835-30): Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements” to amend ASU 2015-03. The Company adopted this amendment retrospectively in the first quarter of fiscal year 2017. As of March 31, 2017 and June 24, 2016, debt issuance costs of $0.4 million and $0.6 million, respectively, related to a recognized debt liability are presented in the balance sheet as a direct reduction of the carrying amount of the related debts.

In February 2015, the FASB issued ASU 2015-02, “Consolidation (Topic 810): Amendments to the Consolidation Analysis.” ASU No. 2015-02 amended the process that a reporting entity must perform to determine whether it should consolidate certain types of legal entities. In the first quarter of fiscal year 2017, the Company adopted this update with no impact to the unaudited condensed consolidated financial statements.

In January 2015, the FASB issued ASU 2015-01, “Income Statement – Extraordinary and Unusual Items (Subtopic 225-20): Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items.” The objective of this amendment is to reduce the complexity in accounting standards by eliminating the concept of extraordinary items from U.S. GAAP. To meet for extraordinary classification the underlying event or transaction should (a) possess a high degree of abnormality and be of a type clearly unrelated to, or only incidentally related to, the ordinary and typical activities of the entity and (b) not reasonably be expected to recur in the foreseeable future. In the first quarter of fiscal year 2017, the Company adopted this update with no impact to the unaudited condensed consolidated financial statements.

Earnings per ordinary share

9 Months Ended

Mar. 31, 2017

Earnings per ordinary share

3.	Earnings per ordinary share

Basic earnings per ordinary share is computed by dividing reported net income by the weighted-average number of ordinary shares outstanding during each period. Diluted earnings per ordinary share is computed by calculating the effect of potential dilutive ordinary shares outstanding during the period using the treasury stock method. Dilutive ordinary equivalent shares consist of share options, restricted share units and performance share units. Earnings per ordinary share was calculated as follows:


	Three Months Ended				Nine Months Ended
(amount in thousands except per share amounts)	March 31, 2017		March 25, 2016		March 31, 2017		March 25, 2016

Net income attributable to shareholders	$	21,656	$	20,822	$	69,714	$	42,228


Weighted-average number of ordinary shares outstanding (thousands of shares)		37,116		35,964		36,792		35,785

Incremental shares arising from the assumed exercise of share options and vesting of restricted share units (thousands of shares)		756		1,125		958		958

Weighted-average number of ordinary shares for diluted earnings per ordinary share (thousands of shares)		37,872		37,089		37,750		36,743


Basic earnings per ordinary share	$	0.58	$	0.58	$	1.89	$	1.18
Diluted earnings per ordinary share	$	0.57	$	0.56	$	1.85	$	1.15

As of March 31, 2017 and March 25, 2016, there were no anti-dilutive share options.

Cash, cash equivalents and marketable securities

9 Months Ended

Mar. 31, 2017

Cash, cash equivalents and marketable securities

4.	Cash, cash equivalents and marketable securities

The Company’s cash, cash equivalents, and marketable securities can be analyzed as follows:


						Fair Value
(amount in thousands)	Carrying Cost		Unrealized Gain (Loss)			Cash and Cash Equivalents		Marketable Securities

As of March 31, 2017
Cash	$	135,317	$	—		$	135,317	$	—
Cash equivalents		1,317		—			1,317		—
Corporate bonds and commercial papers		95,503		22			—		95,525
U.S. agency and U.S. treasury securities		54,201		(112	)		—		54,089
Sovereign and municipal securities		2,995		(1	)		—		2,994

Total	$	289,333	$	(91	)	$	136,634	$	152,608


					Fair Value
(amount in thousands)	Carrying Cost		Unrealized Gain		Cash and Cash Equivalents		Marketable Securities

As of June 24, 2016
Cash	$	136,754	$	—	$	136,754	$	—
Cash equivalents		6,050		—		6,050		—
Corporate bonds and commercial papers		112,128		394		—		112,522
U.S. agency and U.S. treasury securities		28,028		2		—		28,030
Sovereign and municipal securities		1,154		3		—		1,157

Total	$	284,114	$	399	$	142,804	$	141,709

All highly liquid investments with original maturities of three months or less at the date of purchase are classified as cash equivalents. Management determines the appropriate classification of its investments at the time of purchase and reevaluates the designations at each balance sheet date. The Company may sell certain of its marketable securities prior to their stated maturities for strategic reasons including, but not limited to, anticipation of credit deterioration and duration management. The maturities of the Company’s marketable securities generally range from three months to three years. The Company’s investments in marketable securities consist of investments in U.S. Treasury and fixed income securities and have been classified and accounted for as available-for-sale.

The following table summarizes the cost and estimated fair value of marketable securities classified as available-for-sale securities based on stated effective maturities as of March 31, 2017:


(amount in thousands)	Carrying Cost		Fair Value
Due within one year	$	21,222	$	21,214
Due between one to three years		131,477		131,394

Total	$	152,699	$	152,608

During the nine months ended March 31, 2017, the Company recognized a realized loss of $0.4 million from sales and maturities of available-for-sale securities as interest income in the unaudited condensed consolidated statements of operations and comprehensive income.

As of March 31, 2017, the Company considered the declines in market value of its marketable securities investment portfolio to be temporary in nature and did not consider any of its securities other-than-temporarily impaired. The Company typically invests in highly-rated securities, and its investment policy generally limits the amount of credit exposure to any one issuer. The policy requires investments generally to be investment grade, with the primary objective of minimizing the potential risk of principal loss. Fair values were determined for each individual security in the investment portfolio. When evaluating an investment for other-than-temporary impairment, the Company reviews factors such as the length of time and extent to which fair value has been below its cost basis, the financial condition of the issuer and any changes thereto, changes in market interest rates, and the Company’s intent to sell, or whether it is more likely than not it will be required to sell, the investment before recovery of the investment’s cost basis. No impairment losses were recorded for the nine months ended March 31, 2017.

As of March 31, 2017, cash, cash equivalents, and marketable securities included bank deposits of $40.0 million held in various financial institutions located in the United States in order to support the availability of the Facility Agreement (as defined in Note 11) and comply with covenants. As discussed in Note 11, under the terms and conditions of the Facility Agreement, the Company shall maintain cash, cash equivalents and/or marketable securities in an aggregate amount not less than $40.0 million in unencumbered deposits, and/or securities in accounts located in the United States at all times during the term of the Facility Agreement. The Company must comply with the covenant from and after the effective date of the Facility Agreement.

Fair value of financial instruments

9 Months Ended

Mar. 31, 2017

Fair value of financial instruments

5.	Fair value of financial instruments

Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A fair value hierarchy is established which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs for the valuation of an asset or liability as of measurement date. The three levels of inputs that may be used to measure fair value are defined as follows:

Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for assets or liabilities, either directly or indirectly. If the assets or liabilities have a specified (contractual) term, Level 2 inputs must be observable for substantially the full term of assets or liabilities.

Level 3 inputs are unobservable inputs for assets or liabilities, which require the reporting entity to develop its own valuation techniques and assumptions.

The Company utilizes the market approach to measure fair value for its financial assets and liabilities. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities.

The following table provides details of the financial instruments measured at fair value on a recurring basis, including:


	Fair Value Measurements at Reporting Date Using
(amount in thousands)	Level 1		Level 2			Level 3		Total
As of March 31, 2017
Assets
Cash equivalents	$	—	$	1,317		$	—	$	1,317
Corporate bonds and commercial papers		—		95,525			—		95,525
U.S. agency and U.S. treasury securities		—		54,089			—		54,089
Sovereign and municipal securities		—		2,994			—		2,994

Total	$	—	$	153,925		$	—	$	153,925

Liabilities
Derivative liabilities	$	—	$	8	⁽¹⁾	$	—	$	8

Total	$	—	$	8		$	—	$	8


	Fair Value Measurements at Reporting Date Using
(amount in thousands)	Level 1		Level 2			Level 3		Total
As of June 24, 2016
Assets
Cash equivalents	$	—	$	6,050		$	—	$	6,050
Corporate bonds and commercial papers		—		112,522			—		112,522
U.S. agency and U.S. treasury securities		—		28,030			—		28,030
Sovereign and municipal securities		—		1,157			—		1,157
Derivative assets		—		158	⁽²⁾		—		158

Total	$	—	$	147,917		$	—	$	147,917

Liabilities
Derivative liabilities	$	—	$	1,754	⁽³⁾	$	—	$	1,754

Total	$	—	$	1,754		$	—	$	1,754

⁽¹⁾	Foreign currency forward contract with notional amount of Canadian dollars 0.5 million.

⁽²⁾	Foreign currency forward contracts with notional amount of $7.0 million.

⁽³⁾	Foreign currency forward contracts with notional amount of $77.5 million and Canadian dollars 0.6 million.

Derivative Financial Instruments

As a result of foreign currency rate fluctuations, the U.S. dollar equivalent values of the Company’s foreign currency denominated assets and liabilities change. The Company uses foreign currency contracts to manage the foreign exchange risk associated with certain foreign currency denominated assets and liabilities and other foreign currency transactions. The Company minimizes the credit risk in derivative instruments by limiting its exposure to any single counterparty and by entering into derivative instruments only with counterparties that meet the Company’s minimum credit quality standard. As of March 31, 2017, the Company recognized the fair value of foreign currency forward contracts of $8 thousand as derivative liabilities in the unaudited condensed consolidated balance sheet under accrued expenses. As of June 24, 2016, the Company recognized the fair value of foreign currency forward contracts of $0.2 million as derivative assets and $1.7 million as derivative liabilities in the unaudited condensed consolidated balance sheet under other current assets and accrued expenses, respectively.

As of March 31, 2017, the Company had no foreign currency forward contracts designated as cash flow hedges. During the nine months ended March 31, 2017, the Company discontinued cash flow hedges and recognized a gain from unwinding foreign currency forward contracts of $0.3 million as foreign exchange gain, net in the unaudited condensed consolidated statements of operations and comprehensive income.

As of March 31, 2017, the Company had one outstanding foreign currency forward contract with an aggregate notional amount of Canadian dollars 0.5 million, maturing in June 2017. This foreign currency forward contract was not designated for hedge accounting and was used to hedge fluctuations in the U.S. dollar value of forecasted transactions denominated in Canadian dollar. During the nine months ended March 31, 2017, the Company included unrealized loss of $8 thousand from changes in the fair value of foreign currency contracts in earnings as foreign exchange loss, net in the unaudited condensed consolidated statements of operations and comprehensive income.

As of March 25, 2016, the Company had 17 outstanding foreign currency forward contracts with an aggregate notional amount of $102.0 million and Canadian dollars 0.3 million, maturing during June 2016 to December 2016. These foreign currency forward contracts were not designated for hedge accounting and were used to hedge fluctuations in the U.S. dollar value of forecasted transactions denominated in Thai baht and Canadian dollar. During the nine months ended March 25, 2016, the Company included unrealized loss of $2.3 million from changes in the fair value of foreign currency contracts as foreign exchange loss, net in earnings in the unaudited condensed consolidated statements of operations and comprehensive income.

- 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

Trade accounts receivable, net

9 Months Ended

Mar. 31, 2017

Trade accounts receivable, net

6.	Trade accounts receivable, net


(amount in thousands)	As of March 31, 2017			As of June 24, 2016

Trade accounts receivable	$	250,970		$	196,178
Less: allowance for doubtful account		(48	)		(33	)

Trade accounts receivable, net	$	250,922		$	196,145

As of March 31, 2017, trade accounts receivable of $5.6 million were secured to short-term loans from bank (see Note 11).

- Definition

The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses.

+ References + Details

Inventory

9 Months Ended

Mar. 31, 2017

Inventory

7.	Inventory


(amount in thousands)	As of March 31, 2017			As of June 24, 2016

Raw materials	$	64,715		$	58,199
Work in progress		114,844			94,762
Finished goods		31,662			21,593
Goods in transit		16,013			9,381

		227,234			183,935
Less: Inventory obsolescence		(2,607	)		(2,436	)

Inventory, net	$	224,627		$	181,499

Business acquisition

9 Months Ended

Mar. 31, 2017

Business acquisition

8.	Business acquisition

On September 14, 2016, the Company acquired 100% shareholding in Exception EMS, a privately-held group located in Wiltshire, United Kingdom, for cash consideration of approximately $13.0 million, net of $0.5 million cash acquired. Exception EMS provides contract electronics manufacturing services to the global electronics industry with innovative solutions, adding value to the design, manufacture and testing of printed circuit board assemblies. Pursuant to the acquisition agreement, the Company has placed $3.2 million of cash, net of foreign currency translation adjustment, for deferred consideration in an escrow account which is under the Company’s control. However, the Company has contractually agreed to remit this deferred consideration to the sellers of Exception EMS, subject to the resolution of claims that the Company may make against the funds with respect to indemnification and other claims within 24 months from the closing date of the transaction.

The Company has accounted for this acquisition under the provisions of business combinations accounting, in accordance with Accounting Standards Codification Topic 805 – Business Combinations. Accordingly, the estimated fair value of the acquisition consideration was allocated to the assets acquired and the liabilities assumed based on their respective fair values on the acquisition date. The Company has made certain estimates and assumptions in determining the allocation of the acquisition consideration.

The total consideration and the allocation of consideration to the individual Exception EMS net assets are preliminary, pending the finalization of the estimated fair value attributable to the acquired customer relationships. As the functional currency of Exception EMS is pound sterling (“GBP”), for the nine months ended March 31, 2017, the Company recognized a $0.9 million loss from foreign currency translation adjustment in its unaudited condensed consolidated statements of operations and comprehensive income.

During the third quarter of fiscal year 2017, the Company recorded a measurement period adjustment to recognized deferred tax liabilities of $1.2 million related to taxable temporary differences from intangibles and changes in the fair value of assets acquired. Therefore, goodwill which was previously reported at acquisition date of $2.7 million was changed to $3.9 million.

The Company’s preliminary allocation of the total purchase price for the acquisition is summarized below:


(amount in thousands)	Purchase price allocation
Cash	$	474
Accounts receivable		4,064
Inventory		3,490
Other current assets		427
Property, plant and equipment		5,678
Intangibles		4,492
Goodwill		3,883
Other non-current assets		516
Deferred tax liabilities		(1,148	)
Current liabilities		(6,796	)
Other non-current liabilities		(1,563	)

Total fair value of assets acquired and liabilities assumed	$	13,517

Total purchase price, net of cash acquired	$	13,043

In connection with the Company’s acquisition of Exception EMS, the Company assumed lease agreements for certain machine and equipment, which are accounted for as capital leases. As of March 31, 2017, the Company included approximately $1.9 million of capital lease assets and $1.4 million of capital lease liability in the unaudited condensed consolidated balance sheets associated with these acquired lease agreements.

During the nine months ended March 31, 2017, the Company incurred approximately $1.5 million in transaction costs related to the acquisition, which primarily consisted of legal, accounting and valuation-related expenses. These expenses were recorded in selling, general and administrative expense in the accompanying unaudited condensed consolidated statements of operations and comprehensive income.

Pro forma results of operations for the acquisition have not been presented as they were not material to the Company’s results of operations.

Identifiable intangibles

The acquired intangible assets include customer relationships and backlog. The fair value of the identified intangible assets was determined based on the multi-period excess earnings method.

Customer relationships represent the fair value of future projected revenues derived from the estimated sale of products to existing customers of the acquired company. The fair value of $4.4 million will be amortized over an estimated remaining useful life of ten years.

Backlog represents the fair value of sales orders backlog as of the valuation date. The fair value of $0.1 million will be amortized over the respective estimated remaining useful life of three years.

Goodwill

Goodwill arising from the acquisition is primarily attributable to the ability to expand future products and services and the assembled workforce. Goodwill is not deductible for tax purposes.

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1497-128463

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1490-128463

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1392-128463

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=35744584&loc=d3e7008-128479

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1486-128463

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=35744584&loc=d3e6927-128479

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=73530397&loc=d3e4845-128472

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1524-128463

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=35744584&loc=d3e7000-128479

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=73530397&loc=d3e4922-128472

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=73530397&loc=d3e4934-128472

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=73530397&loc=d3e4926-128472

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 4A
-URI http://asc.fasb.org/extlink&oid=73530397&loc=SL65897772-128472

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=65885119&loc=d3e1383-128463

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=35744584&loc=d3e6996-128479

+ Details

Intangibles

9 Months Ended

Mar. 31, 2017

Intangibles

9.	Intangibles

The following tables present details of the Company’s intangibles:


(amount in thousands)	Gross Carrying Amount		Accumulated Amortization			Foreign Currency Translation Adjustment			Net
As of March 31, 2017
Software	$	5,765	$	(3,686	)	$	—		$	2,079
Customer relationships		4,372		(407	)		(263	)		3,702
Backlog		120		(34	)		(10	)		76

Total intangibles	$	10,257	$	(4,127	)	$	(273	)	$	5,857


(amount in thousands)	Gross Carrying Amount		Accumulated Amortization			Foreign Currency Translation Adjustment		Net
As of June 24, 2016
Software	$	3,786	$	(3,287	)	$	—	$	499
Customer relationships		—		—			—		—
Backlog		—		—			—		—

Total intangibles	$	3,786	$	(3,287	)	$	—	$	499

In connection with the acquisition of Exception EMS, the Company recorded $4.4 million of customer relationships and $0.1 million of backlog. As of March 31, 2017, the weighted-average remaining life of customer relationships and backlog was 7.1 years and 1.8 years, respectively.

The Company recorded amortization expense relating to intangibles of $0.9 million and $0.02 million for the three months ended March 31, 2017 and March 25, 2016, respectively, and $1.1 million and $0.04 million for the nine months ended March 31, 2017 and March 25, 2016, respectively.

Based on the carrying amount of intangibles as of March 31, 2017, and assuming no future impairment of the underlying assets, the estimated future amortization during each fiscal year was as follows:


(amount in thousands)
2017 (remaining three months)	$	371
2018		1,413
2019		1,275
2020		875
2021		620
Thereafter		1,303

Total	$	5,857

Goodwill

9 Months Ended

Mar. 31, 2017

Goodwill

10.

Goodwill

As of March 31, 2017, the Company recorded $3.9 million of goodwill, in connection with the acquisition of Exception EMS, in the unaudited condensed consolidated balance sheets.

The changes in the carrying amount of goodwill were as follows:


(amount in thousands)	Goodwill

Balance as of June 24, 2016	$	—
Addition in connection with business acquisition		3,883
Foreign currency translation adjustment		(234	)

Balance as of March 31, 2017	$	3,649

Goodwill is not deductible for tax purposes. Goodwill is reviewed annually for impairment or more frequently whenever changes or circumstances indicate the carrying amount of goodwill may not be recoverable.

Borrowings

9 Months Ended

Mar. 31, 2017

Borrowings

11.

Borrowings

The Company’s total borrowings, including short-term and long-term borrowings, consisted of the following:


(amount in thousands)
				As of			As of
				March 31,			June 24,
Rate ⁽¹⁾	Conditions	Maturity		2017			2016

Short-term borrowing:
Revolving borrowing:
LIBOR + 1.75% per annum	Repayable in 1 to 6 months		April 2017 ⁽²⁾	$	34,000		$	6,500

Short-term borrowings from bank:
Bank of England base rate +1.85% per annum	Repayable based on credit terms of secured accounts receivable				1,257			—

Bank of England base rate + 2.2% per annum ⁽³⁾	Repayable on monthly basis		May 2017		23			—
Current portion of long-term borrowing					13,600			18,100

					48,880			24,600
Less: Unamortized debt issuance costs					(222	)		(293	)

				$	48,658		$	24,307


Long-term borrowing:
LIBOR + 2.8% per annum	Repayable in quarterly installments		March 2017	$	—	⁽⁴⁾	$	4,500

Term loan borrowing:
LIBOR +1.75% per annum	Repayable in quarterly installments		May 2019		39,800			50,000

					39,800			54,500
Less: Current portion					(13,600	)		(18,100	)
Unamortized debt issuance costs					(141	)		(300	)

Non-current portion				$	26,059		$	36,100

⁽¹⁾	LIBOR is London Interbank Offered Rate.

⁽²⁾	In March 2017, the maturity date was extended to April 2017.

⁽³⁾

As of March 31, 2017, the carrying amount of plant and machinery of Exception EMS secured to such loan was $0.8 million. Under the conditions stipulated in the loan agreement, this loan will be cross securitized, cross default and co-terminus with the short terms loans of $1.3 million which are secured by accounts receivable.

⁽⁴⁾

In March 2017, a subsidiary fully repaid the long term borrowing. The carrying amount of assets secured and pledged as collateral to such loan as of March 31, 2017 and June 24, 2016 was $45.9 million and $47.7 million, respectively. In April 2017, the bank released certain property, plant and equipment of the subsidiary which had been secured and pledged as collateral to such loans.

The movement of long-term borrowings was as follows for the nine months ended March 31, 2017 and March 25, 2016:


	Nine Months Ended
(amount in thousands)	March 31, 2017			March 25, 2016

Opening balance	$	54,500		$	10,500
Repayments during the period		(14,700	)		(4,500	)

Closing balance	$	39,800		$	6,000

As of March 31, 2017, future maturities of long-term borrowings during each fiscal year were as follows:


(amount in thousands)
2017 (remaining three months)	$	3,400
2018		13,600
2019		22,800

Total	$	39,800

Credit facilities:

Fabrinet entered into a syndicated senior credit facility agreement (the “Facility Agreement”) with a consortium of banks on May 22, 2014. The Facility Agreement, led by Bank of America, provides for a $200.0 million credit line, comprised of a $150.0 million revolving loan facility and a $50.0 million delayed draw term loan facility. The revolving loan facility contains an accordion feature permitting Fabrinet to request an increase in the facility up to $100.0 million subject to customary terms and conditions and provided that no default or event of default exists at the time of request. The revolving loan facility will be terminated and all amounts outstanding will be due and payable in full on May 22, 2019. The principal amount of any drawn term loans must be repaid according to scheduled quarterly amortization payments, with final payment of all amounts outstanding, plus accrued interest, being due May 22, 2019.

On February 26, 2015, the Company entered into the Second Amendment to the Facility Agreement. The amendment extended the availability period for draws on the term loan facility from May 21, 2015 to July 31, 2015. It also allowed the Company, upon the satisfaction of certain conditions, to designate from time to time one or more of its subsidiaries as borrowers under the Facility Agreement. On July 31, 2015, the Company entered into the Third Amendment to the Facility Agreement. The amendment extended the availability period for draws on the term loan facility from July 31, 2015 to July 31, 2016. As of March 31, 2017, $34.0 million of the revolving borrowing and $39.8 million of the term loan borrowing was outstanding under the Facility Agreement, resulting in available credit facilities for long-term borrowing of $126.2 million. Borrowings under the revolving credit facility are classified as current liabilities in the unaudited condensed consolidated balance sheets as the Company has the periodic option to renew or pay, all or a portion of, the outstanding balance at the end of the maturity date, which is in the range of one to six months, without premium or penalty, upon notice to the administrative agent. During March 2017, the Company sent notices to the bank to renew the maturity date of its revolving borrowings. The bank approved the notices and extended the maturity to April 2017.

Loans under the Facility Agreement bear interest, at Fabrinet’s option, at a rate per annum equal to a LIBOR rate plus a spread of 1.75% to 2.50%, or a base rate plus a spread of 0.75% to 1.50%, determined in accordance with the Facility Agreement in each case with such spread determined based on Fabrinet’s consolidated total leverage ratio for the preceding four fiscal quarter period. Interest is due and payable quarterly in arrears for loans bearing interest at the base rate and at the end of an interest period (or at each three-month interval in the case of loans with interest periods greater than three months) in the case of loans bearing interest at the LIBOR rate.

Fabrinet’s obligations under the Facility Agreement are guaranteed by certain of its existing and future direct material of subsidiaries. In addition, the Facility Agreement is secured by Fabrinet’s present and future accounts receivable, deposit accounts and cash, and a pledge of the capital stock of certain of Fabrinet’s direct subsidiaries. Fabrinet is required to maintain at least $40.0 million of cash, cash equivalents, and marketable securities at financial institutions located in the United States. Further, Fabrinet is required to maintain any of its deposits accounts or securities accounts with balances in excess of $10.0 million in a jurisdiction where a control agreement, or the equivalent under the local law, can be effected.

The Facility Agreement contains customary affirmative and negative covenants. Negative covenants include, among other things, limitations on liens, indebtedness, investments, mergers, sales of assets, changes in the nature of the business, dividends and distributions, affiliate transactions and capital expenditures. The Facility Agreement contains financial covenants requiring Fabrinet to maintain: (1) a minimum tangible net worth of not less than $200.0 million plus 50% of quarterly net income, exclusive of quarterly losses; (2) a minimum debt service coverage ratio of not less than 1.50:1.00; (3) a maximum senior leverage ratio of not more than 2.50:1.00; and (4) a minimum quick ratio of not less than 1.10:1.00. Each of these financial covenants is calculated on a consolidated basis for the consecutive four fiscal quarter period then ended. As of March 31, 2017, the Company was in compliance with all covenants under the Facility Agreement.

The Facility Agreement also contains customary events of default including, among other things, payment defaults, breaches of covenants or representations and warranties, cross-defaults with certain other indebtedness, bankruptcy and insolvency events and change in control of Fabrinet, subject to grace periods in certain instances. Upon an event of default, the lenders may terminate their commitments, declare all or a portion of the outstanding obligations payable by Fabrinet to be immediately due and payable and exercise other rights and remedies provided for under the Facility Agreement.

Fabrinet intends to use the proceeds of the credit line to finance its future manufacturing facility in Thailand, and for general corporate purposes including mergers and acquisitions of complementary manufacturing businesses or technology, although Fabrinet has no current commitments with respect to any such acquisitions.

Short-term borrowings from bank

In connection with the acquisition of Exception EMS, the Company assumed a secured borrowing agreement that is secured by trade accounts receivable of Exception EMS. As of March 31, 2017, the carrying amount of trade accounts receivable secured to the loans was $5.6 million. The secured borrowing agreement contains certain covenants that Exception EMS is required to comply with: (1) the value of credit notes may not exceed 4% of the value of assigned debts measured on a monthly basis, and (2) rolling cash flow must be provided to the financial institution along with monthly management information. As of March 31, 2017, the subsidiary was in compliance with all covenants under the secured borrowing agreement.

As of March 31, 2017, the Company drew down $1.3 million from this facility, which is recorded as short-term loans in the unaudited condensed consolidated balance sheets. The agreement bears interest for discount charge at 1.85% per annum above Bank of England base rate.

Undrawn available credit facilities classified by availability period of future borrowing as of March 31, 2017 and June 24, 2016 were as follows:


(amount in thousands)	March 31, 2017		June 24, 2016

Short-term	$	4,799	$	1,414
Long-term	$	126,200	$	143,500

Income taxes

9 Months Ended

Mar. 31, 2017

Income taxes

12.

Income taxes

As of March 31, 2017 and June 24, 2016, the liability for uncertain tax positions, including accrued interest and penalties, was $2.0 million and $1.8 million, respectively. The Company expects the estimated amount of liability associated with its uncertain tax positions to decrease within the next 12 months due to the lapse of the applicable statute of limitations in foreign tax jurisdictions.

The Company files income tax returns in the United States and foreign tax jurisdictions. The tax years from 2012 to 2016 remain open to examination by U.S. federal and state tax authorities, and foreign tax authorities. The Company’s income tax is recognized based on the best estimate of the expected annual effective tax rate for the full financial year of each entity in the Company, adjusted for discrete items arising in that quarter. If the Company’s estimated annual effective tax rate changes, the Company makes a cumulative adjustment in that quarter.

The effective tax rate for the Company for the three months ended March 31, 2017 and March 25, 2016 was 6.5% and 5.8% of net income, respectively. The increase in the effective tax rate for the three months ended March 31, 2017 was primarily due to the fact that the Company had higher taxable income during the three months ended March 31, 2017 compared with the three months ended March 25, 2016.

The effective tax rate for the Company for the nine months ended March 31, 2017 and March 25, 2016 was 6.7% and 6.4% of net income, respectively. The increase in the effective tax rate for the nine months ended March 31, 2017 was primarily due to the fact that the Company had higher taxable income during the nine months ended March 31, 2017 compared with the nine months ended March 25, 2016.

Share-based compensation

9 Months Ended

Mar. 31, 2017

Share-based compensation

13.

Share-based compensation

Share-based compensation

In determining the grant date fair value of equity awards, the Company is required to determine the fair value of Fabrinet’s ordinary shares and make estimates of expected dividends to be issued, expected volatility of Fabrinet’s ordinary shares, expected forfeitures of the awards, risk free interest rates for the expected term of the awards, expected terms of the awards, and the vesting period of the respective awards. Forfeitures are estimated at the time of grant and revised if necessary in subsequent periods if actual forfeitures differ from those estimates.

The effect of recording share-based compensation expense for the three and nine months ended March 31, 2017 and March 25, 2016 was as follows:


	Three Months Ended					Nine Months Ended
(amount in thousands)	March 31, 2017		March 25, 2016			March 31, 2017		March 25, 2016

Share-based compensation expense by type of award:
Share options	$	—	$	(1	)	$	—	$	17
Restricted share units		6,540		2,000			18,993		7,765
Performance share units		1,188		—			2,943		—

Total share-based compensation expense		7,728		1,999			21,936		7,782
Tax effect on share-based compensation expense		—		—			—		—

Net effect on share-based compensation expense	$	7,728	$	1,999		$	21,936	$	7,782

Share-based compensation expense was recorded in the unaudited condensed consolidated statements of operations and comprehensive income as follows:


	Three Months ended				Nine Months Ended
(amount in thousands)	March 31, 2017		March 25, 2016		March 31, 2017		March 25, 2016

Cost of revenue	$	1,657	$	517	$	4,185	$	1,594
Selling, general and administrative expense		6,071		1,482		17,751		6,188

Total share-based compensation expense	$	7,728	$	1,999	$	21,936	$	7,782

The Company did not capitalize any share-based compensation expense as part of any asset costs during the three and nine months ended March 31, 2017 and March 25, 2016.

Share-based award activity

Share options have been granted to directors and employees. As of March 31, 2017, there were no share options outstanding under Fabrinet’s Amended and Restated 1999 Share Option Plan (the “1999 Plan”). Additional option grants may not be made under the 1999 Plan.

As of March 31, 2017, there were an aggregate of 96,688 share options outstanding, 1,072,189 restricted share units outstanding and 234,678 performance share units outstanding under Fabrinet’s 2010 Performance Incentive Plan (the “2010 Plan”). As of March 31, 2017, there were 1,176,631 ordinary shares available for future grant under the 2010 Plan. The 1999 Plan and 2010 Plan are collectively referred to as the “Share Option Plans.”

Share options

Fabrinet’s board of directors has the authority to determine the type of option and the number of shares subject to an option. Options generally vest and become exercisable over four years and expire, if not exercised, within seven years of the grant date. In the case of a grantee’s first grant, 25 percent of the underlying shares vest 12 months after the vesting commencement date and 1/48 of the underlying shares vest monthly over each of the subsequent 36 months. In the case of any additional grants to a grantee, 1/48 of the underlying shares vest monthly over four years, commencing one month after the vesting commencement date.

The following summarizes share option activity:


	Number of Shares			Number of Exercisable Options		Weighted- Average Exercise Price Per Share		Weighted- Average Grant Date Fair Value Per Share

Balance as of June 24, 2016		464,334			464,334	$	15.95
Granted		—					—		—
Exercised		(367,641	)			$	16.02
Forfeited		—					—
Expired		(5	)			$	5.75

Balance as of March 31, 2017		96,688			96,688	$	15.70


	Number of Shares			Number of Exercisable Options		Weighted- Average Exercise Price Per Share		Weighted- Average Grant Date Fair Value Per Share

Balance as of June 26, 2015		792,019			758,451	$	16.33
Granted		—					—		—
Exercised		(198,334	)			$	16.77
Forfeited		(755	)			$	17.10
Expired		(1,400	)			$	23.62

Balance as of March 25, 2016		591,530			591,488	$	16.16

The following summarizes information for share options outstanding as of March 31, 2017 under the Share Option Plans:


	Range of Exercise Price		Number of Shares Underlying Options		Weighted- Average Remaining Contractual Life (years)		Aggregate Intrinsic Value (amount in thousands)

		$14.12 – $15.05		55,238		1.06
		$15.16 – $16.83		34,400		0.69
		$18.60 – $26.16		7,050		1.68

Options outstanding				96,688		0.97	$	2,546

Options exercisable				96,688		0.97	$	2,546

As of March 31, 2017, there was no unrecognized compensation cost for share options issued under the Share Option Plans.

Restricted share units and performance share units

Restricted share units and performance share units are types of share-based awards that may be granted under the 2010 Plan. Restricted share units granted to non-employee directors generally cliff vest 100% on the first of January, approximately one year from the grant date, provided the director continues to serve through such date. Restricted share units granted to employees generally vest in equal installments over three or four years on each anniversary of the vesting commencement date.

Performance share units granted to executives will vest at the end of a two-year performance period based on the Company’s achievement of pre-defined performance criteria, which consist of revenue and gross margin targets. The actual number of performance share units that may vest at the end of the performance period ranges from 0% to 100% of the award grant.

The Company has entered into an employment agreement, as amended on August 12, 2016, with one executive of the Company that provides for accelerated vesting of equity awards under certain circumstances, including upon termination of employment. In addition, pursuant to such agreement, because the executive’s employment with the Company continued through February 20, 2017, (1) all outstanding equity awards granted to the executive prior to August 2016 became 100% vested on February 20, 2017 and (2) certain restricted share units granted to the executive in August 2016 became 100% vested on February 20, 2017.

The following summarizes restricted share unit activity under the 2010 Plan:


	Number of Shares			Weighted- Average Grant Date Fair Value Per Share

Balance as of June 24, 2016		1,181,402		$	18.34
Granted		796,298		$	39.42
Issued		(835,785	)	$	21.01
Forfeited		(69,726	)	$	25.33

Balance as of March 31, 2017		1,072,189		$	31.57


	Number of Shares			Weighted- Average Grant Date Fair Value Per Share

Balance as of June 26, 2015		1,140,927		$	16.03
Granted		586,142		$	19.82
Issued		(492,124	)⁽¹⁾	$	15.53
Forfeited		(86,343	)	$	17.44

Balance as of March 25, 2016		1,148,602		$	17.56

⁽¹⁾	Includes 283 shares vested on March 25, 2016, but not settled.

The following summarizes performance share unit activity under the 2010 Plan:


	Number of Shares		Weighted-Average Grant Date Fair Value Per Share
Balance as of June 24, 2016		—		—
Granted		234,678	$	40.48
Issued		—		—
Forfeited		—		—

Balance as of March 31, 2017		234,678	$	40.48

As of March 31, 2017, there was $25.7 million of unrecognized share-based compensation expense related to restricted share units and performance share units under the 2010 Plan that is expected to be recorded over a weighted-average period of 2.10 years.

For the nine months ended March 31, 2017 and March 25, 2016, the Company withheld an aggregate of 33,276 shares and 111,584 shares, respectively, upon the vesting of restricted share units, based upon the closing share price on the vesting date to settle the employees’ minimum statutory obligation for the applicable income and other employment taxes. For the nine months ended March 31, 2017 and March 25, 2016, the Company then remitted cash of $1.3 million and $2.4 million, respectively, to the appropriate taxing authorities, and presented it as a financing activity within the unaudited condensed consolidated statements of cash flows. The payment had the effect on shares issued by the Company as it reduced the number of shares that would have been issued on the vesting date and was recorded as a reduction of additional paid-in capital.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References + Details

Shareholders' equity

9 Months Ended

Mar. 31, 2017

Shareholders' equity

14.

Shareholders’ equity

Share capital

Fabrinet’s authorized share capital is 500,000,000 ordinary shares, par value of $0.01 per ordinary share, and 5,000,000 preferred shares, par value of $0.01 per preferred share.

For the nine months ended March 31, 2017, Fabrinet issued 367,641 ordinary shares upon the exercise of options, for cash consideration at a weighted-average exercise price of $16.02 per share, and 802,509 ordinary shares upon the vesting of restricted share units, net of shares withheld.

All such issued shares are fully paid.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SAB Topic 4.E)
-URI http://asc.fasb.org/extlink&oid=27010918&loc=d3e74567-122707

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(29))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21488-112644

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(e))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(31))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SAB Topic 4.C)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187143-122770

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(30))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(d))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 30
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Preferred Stock
-URI http://asc.fasb.org/extlink&oid=6521494

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21463-112644

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

+ Details

Accumulated other comprehensive income

9 Months Ended

Mar. 31, 2017

Accumulated other comprehensive income

15.

Accumulated other comprehensive income

The changes in AOCI for the nine months ended March 31, 2017 were as follows:


(amount in thousands)	Unrealized net Gains (Losses) on Marketable Securities			Unrealized net Gains (Losses) on Derivative Instruments			Foreign Currency Translation Adjustment			Total

Balance as of June 24, 2016	$	399		$	192		$	—		$	591
Other comprehensive income before reclassification adjustment		75			—			(935	)		(860	)
Amounts reclassified out of AOCI to foreign exchange loss in the unaudited condensed consolidated statement of operations and comprehensive income		(566	)		(158	)		—			(724	)
Tax effects		—			—			—			—

Other comprehensive loss	$	(491	)	$	(158	)	$	(935	)	$	(1,584	)

Balance as of March 31, 2017	$	(92	)	$	34		$	(935	)	$	(993	)

- Definition

The entire disclosure for comprehensive income, which includes, but is not limited to, 1) the amount of income tax expense or benefit allocated to each component of other comprehensive income, including reclassification adjustments, 2) the reclassification adjustments for each classification of other comprehensive income and 3) the ending accumulated balances for each component of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=66004124&loc=d3e689-108580

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=66004124&loc=SL7669619-108580

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=66004124&loc=d3e640-108580

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 17
-URI http://asc.fasb.org/extlink&oid=66004124&loc=d3e716-108580

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 16
-URI http://asc.fasb.org/extlink&oid=66004124&loc=d3e709-108580

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=66004124&loc=d3e637-108580

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 14
-URI http://asc.fasb.org/extlink&oid=66004124&loc=d3e681-108580

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Reclassification Adjustments
-URI http://asc.fasb.org/extlink&oid=6522872

+ Details

Commitments and contingencies

9 Months Ended

Mar. 31, 2017

Commitments and contingencies

16.

Commitments and contingencies

Collateral assets

As of March 31, 2017 and June 24, 2016, certain property, plant and equipment of a subsidiary of $45.9 million and $47.7 million were pledged as collateral to overdraft facilities, letter of guarantee and foreign exchange lines, respectively. In April 2017, the bank released certain property, plant and equipment of the subsidiary which had been secured and pledged as collateral to such items.

Bank guarantees

As of March 31, 2017 and June 24, 2016, there were outstanding bank guarantees given by banks on behalf of Fabrinet Thailand for electricity usage and other normal business amounting to $1.5 million and $0.8 million, respectively.

Operating lease commitments

The Company leases a portion of its office, capital equipment, and certain land and buildings for its facilities in the Cayman Islands, China, New Jersey and the United Kingdom under operating lease arrangements that expire in various calendar years through 2023. Rental expense under these operating leases amounted to $1.2 million and $0.9 million for the nine months ended March 31, 2017 and March 25, 2016, respectively.

As of March 31, 2017, the future minimum lease payments due under non-cancelable operating leases during each fiscal year were as follows:


(amount in thousands)
2017 (remaining three months)	$	439
2018		1,663
2019		1,116
2020		911
2021		510
Thereafter		897

Total minimum operating lease payments	$	5,536

Capital lease commitments

In connection with the acquisition of Exception EMS, the Company assumed the capital lease commitments of several machines and equipment, with various expiration dates until September 2020. The equipment can be purchased at the determined prices upon expiration of such contracts.

As of March 31, 2017, the future minimum lease payments due under non-cancelable capital leases during each fiscal year were as follows:


(amount in thousands)
2017 (remaining three months)	$	92
2018		393
2019		426
2020		391
2021		101

Total minimum capital lease payments	$	1,403

Purchase obligations

Purchase obligations represent legally-binding commitments to purchase inventory and other commitments made in the normal course of business to meet operational requirements. Although open purchase orders are considered enforceable and legally binding, their terms generally give the Company the option to cancel, reschedule and/or adjust its requirements based on its business needs prior to the delivery of goods or performance of services. Obligations to purchase inventory and other commitments are generally expected to be fulfilled within one year.

On December 23, 2016, the Company entered into an agreement to purchase a parcel of land in Chonburi, Thailand, to support the expansion of the Company’s production in Thailand. The aggregate purchase price is approximately $5.6 million, of which the first installment of $1.1 million was paid by the Company on January 10, 2017. The Company expects to pay the remaining balance of the purchase price on or before December 25, 2017.

As of March 31, 2017, the Company had an outstanding commitment to third parties of approximately $12.1 million.

Indemnification of directors and officers

Cayman Islands law does not limit the extent to which a company’s memorandum and articles of association may provide for indemnification of directors and officers, except to the extent any such provision may be held by the Cayman Islands courts to be contrary to public policy, such as to provide indemnification against civil fraud or the consequences of committing a crime. Fabrinet’s amended and restated memorandum and articles of association provide for indemnification of directors and officers for actions, costs, charges, losses, damages and expenses incurred in their capacities as such, except that such indemnification does not extend to any matter in respect of any fraud or dishonesty that may attach to any of them.

In accordance with Fabrinet’s form of indemnification agreement for its directors and officers, Fabrinet has agreed to indemnify its directors and officers against certain liabilities and expenses incurred by such persons in connection with claims by reason of their being such a director or officer. Fabrinet maintains a director and officer liability insurance policy that may enable it to recover a portion of any future amounts paid under the indemnification agreements.

Business segments and geographic information

9 Months Ended

Mar. 31, 2017

Business segments and geographic information

17.

Business segments and geographic information

Operating segments are defined as components of an enterprise for which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. The Company’s chief operating decision maker is Fabrinet’s chief executive officer. As of March 31, 2017, the Company operated and internally managed a single operating segment. Accordingly, the Company does not accumulate discrete information with respect to separate product lines and does not have separate reportable segments.

Total revenues are attributed to a particular geographic area based on the bill-to-location of the customers. The Company operates primarily in three geographic regions: North America, Asia-Pacific and Europe. The following table presents total revenues by geographic regions:


	Three Months Ended				Nine Months Ended
(amount in thousands)	March 31, 2017		March 25, 2016		March 31, 2017		March 25, 2016

North America	$	154,708	$	138,687	$	478,700	$	369,284
Asia-Pacific		149,271		88,433		400,708		256,676
Europe		62,858		23,768		170,628		74,399

	$	366,837	$	250,888	$	1,050,036	$	700,359

As of March 31, 2017 and March 25, 2016, the Company had approximately $35.3 million and $33.4 million of long-lived assets based in North America, with the substantial remainder of assets based in Asia-Pacific.

Significant customers

The Company had two customers that each contributed 10% or more of its total accounts receivable as of March 31, 2017 and June 24, 2016, respectively.

During the three months ended March 31, 2017 and March 25, 2016, the Company had one customer that contributed 10% or more of its total revenues. This customer accounted for 15% and 21% of the Company’s total revenues during the respective periods. During the nine months ended March 31, 2017 and March 25, 2016, the Company had one customer that contributed 10% or more of its total revenues. This customer accounted for 18% and 20% of the Company’s total revenues during the respective periods.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9038-108599

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 33
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8971-108599

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8595-108599

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8380-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8933-108599

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 26
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8844-108599

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 35
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8984-108599

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9054-108599

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8538-108599

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 29
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8864-108599

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8924-108599

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599

+ Details

Other income related to flooding, net

9 Months Ended

Mar. 31, 2017

Other income related to flooding, net

18.

Other income related to flooding, net

During the week of August 10, 2015, the Company’s subsidiary in China temporarily suspended production in its manufacturing facility due to flooding caused by Typhoon Soudelor and resumed operations on August 15, 2015. During the nine months ended March 25, 2016, the Company recognized $0.04 million of other income related to flooding, net in the unaudited condensed consolidated statements of operations and comprehensive income, which mainly consisted of a final payment of $0.8 million from an insurer against the Company’s claim for flood damage, offset by expenses in relation to flood of $0.8 million.

Accounting policies (Policies)	9 Months Ended
Accounting policies (Policies)	Mar. 31, 2017
Basis of presentation	*Basis of presentation* The accompanying unaudited condensed consolidated financial statements for Fabrinet as of March 31, 2017 and for the three and nine months ended March 31, 2017 and March 25, 2016 includes normal recurring adjustments, necessary for a fair statement of the financial information set forth herein, in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, such information does not include all of the information and footnotes required by U.S. GAAP for annual financial statements. For further information, please refer to the consolidated financial statements and footnotes thereto included in Fabrinet’s Annual Report on Form 10-K for the year ended June 24, 2016. The balance sheet as of June 24, 2016 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The results for the three and nine months ended March 31, 2017 may not be indicative of results for the year ending June 30, 2017 or any future periods. Where necessary, comparative figures have been reclassified to conform to the current period accounting policies and presentation adopted. On September 14, 2016, the Company acquired 100% shareholding in Global CEM Solutions, Ltd. and all of its subsidiaries (including Exception EMS), a privately-held group located in Wiltshire, United Kingdom. The unaudited condensed consolidated financial statements of the Company include the financial position, results of operations and the cash flows of Exception EMS commencing as of the acquisition date. See Note 8 - Business acquisitions for further details on the accounting for this transaction.
Use of Estimates	*Use of Estimates* The preparation of the Company’s unaudited condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements, and the reported amount of total revenues and expenses during the year. The Company bases estimates on historical experience and various assumptions about the future that are believed to be reasonable based on available information. The Company’s reported financial position or results of operations may be materially different under different conditions or when using different estimates and assumptions, particularly with respect to significant accounting policies, which are discussed below. Significant assumptions are used in accounting for share-based compensation, allowance for doubtful accounts, income taxes, inventory obsolescence and valuation of intangible assets related to business acquisition, among others. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods may be different from these estimates. In the event that estimates or assumptions prove to differ from actual results, adjustments will be made in subsequent periods to reflect more current information.
Fiscal years	*Fiscal years* The Company utilizes a 52-53 week fiscal year ending on the Friday in June closest to June 30. The three months ended March 31, 2017 and March 25, 2016 each consisted of 13 weeks. The nine months ended March 31, 2017 and March 25, 2016 consisted of 40 weeks and 39 weeks, respectively. Fiscal year 2017 will be comprised of 53 weeks and will end on June 30, 2017.
Concentration of credit risk	*Concentration of credit risk* Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents, marketable securities, derivatives and accounts receivable. Cash, cash equivalents and marketable securities are maintained with several financial institutions. Deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with financial institutions with reputable credit and therefore bear minimal credit risk. The Company seeks to mitigate its credit risks by spreading such risks across multiple counterparties and monitoring the risk profiles of these counterparties. The Company limits its investments in marketable securities to securities with a maturity not in excess of three years, and all marketable securities that the Company invests in are rated A1, P-1, F1, or better. The Company performs ongoing credit evaluations for credit worthiness of its customers and usually does not require collateral from its customers. Management has implemented a program to closely monitor near term cash collection and credit exposures to mitigate any material losses.
Derivatives	*Derivatives* The derivatives assets and liabilities are recognized on the unaudited condensed consolidated balance sheets as other current assets or accrued expenses and are measured at fair value. The Company applies hedge accounting to arrangements that qualify and are designated for cash flow or fair value hedge accounting treatment. Hedge accounting is discontinued prospectively if the hedging relationship ceases to be effective or the hedging or hedged items cease to exist as a result of maturity, sale, termination or cancellation. Derivatives designated and qualifying as hedges of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges which include forward currency contracts. In a cash flow hedging relationship, the effective portion of the change in the fair value of the hedging derivative is initially recorded in accumulated other comprehensive income (loss) (“AOCI”), while any ineffective portion is recognized directly in earnings, as a component of other income (expense). The portion of gain or loss on the derivative instrument remains in AOCI until the forecasted transaction is recognized in earnings. The Company also enters into derivative contracts that are intended to economically hedge certain of the Company’s risks. The changes in the fair value of the derivatives are recorded directly in earnings as a component of other income (expense). In accordance with the fair value measurement guidance, the Company’s accounting policy is to measure the credit risk of its derivative financial instruments that are subject to master netting agreements on a net basis by counterparty portfolio. The Company executes derivative instruments with financial institutions that are credit-worthy, defined by us as institutions that hold an investment grade credit rating.
Business acquisition	*Business acquisition* For the acquisition of Exception EMS, the Company allocated the fair value of purchase consideration to the assets acquired and liabilities assumed based on their fair values at the acquisition date. The total consideration and the allocation of consideration to the individual net assets are preliminary, pending the finalization of the estimated fair value attributable to the acquired customer relationships. The acquired intangible assets, which consist of customer relationships and backlog, are recorded within intangibles, net in the unaudited condensed consolidated balance sheets. The fair value of the acquired intangible assets was determined based on the multi-period excess earnings method. The Company reviews definite lived intangibles for impairment whenever changes or circumstances indicate the carrying amount may not be recoverable. In connection with the business acquisition, $3.2 million of cash for deferred consideration, net of foreign currency translation adjustment, was placed into an escrow account which is under the Company’s control. However, the Company has contractually agreed to remit this deferred consideration to the sellers of Exception EMS, subject to the resolution of claims that the Company may make against the funds with respect to indemnification and other claims within 24 months from the closing date of the transaction. The cash is presented as restricted cash in the unaudited condensed consolidated balance sheets within non-current assets and the related liability is presented within non-current liabilities for the deferred consideration.
Goodwill	*Goodwill* Goodwill arising from the acquisition is primarily attributable to the ability to expand future products and services and the assembled workforce. Goodwill is reviewed annually for impairment or more frequently whenever changes or circumstances indicate the carrying amount of goodwill may not be recoverable.
Capital lease	*Capital lease* Certain machine and equipment held under capital leases are classified as property, plant and equipment and amortized using the straight-line method over the terms of the lease contracts. The related obligations from the capital lease are recorded as liabilities in the unaudited condensed consolidated balance sheets.
New Accounting Pronouncements - not yet adopted by the Company	*New Accounting Pronouncements – not yet adopted by the Company* In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2017-04, “Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment.” This amendment modified the concept of impairment assessment from the condition that exists when the carrying amount of goodwill exceeds its implied fair value to the condition that exists when the carrying amount of a reporting unit exceeds its fair value. Public companies that are SEC filers should adopt the amendment for its annual and any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements. In January 2017, the FASB issued ASU 2017-03, “Accounting Changes and Error Corrections (Topic 250) and Investments – Equity Method and Joint Ventures (Topic 323): Amendments to SEC Paragraphs Pursuant to Staff Announcements at the September 22, 2016 and November 17, 2016 EITF Meetings.” The amendment provides guidance to the Company in relation to the disclosure of the impact that ASU 2014-09, ASU 2016-02 and ASU 2016-13 will have on the Company’s financial statements when adopted. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements. In January 2017, the FASB issued ASU 2017-01, “Business Combination (Topic 805): Clarifying the Definition of a Business.” This amendment clarifies the definition of a business to assist entities when evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or business. For public companies, this ASU is effective for annual periods beginning after December 15, 2017, including interim periods within those periods. Early adoption is permitted for the transactions that occur before the issuance date or effective date of the amendment, only when the transaction has not been reported in financial statements that have been issued or made available for issuance. The Company does not expect that the adoption of this update will have a material impact to its consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory,” which eliminates the exception for an intra-entity transfer of an asset other than inventory that prohibits the recognition of current and deferred income taxes until the asset has been sold to an outside party. The entity should recognize income tax consequences of an intra-entity transfer of assets other than inventory when the transfer occurs. For public entities, this update is effective for annual reporting periods beginning after December 15, 2017, including interim reporting periods within those annual reporting periods. Early adoption is permitted for all entities as of the beginning of an annual reporting period for which financial statements have not been issued or made available for issuance. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, “Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force).” The amendments in this ASU provide guidance on the presentation of certain cash receipts and cash payments in the statement of cash flows in order to reduce diversity in existing practice. The amendments in ASU 2016-15 are effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” The amendments in this ASU replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, “Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” This ASU simplifies several aspects of the accounting for share-based payment award transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. The amendments in this update are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods, for public companies. Early adoption is permitted for any entity in any interim or annual period. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-05, “Derivatives and Hedging (Topic 815),” to clarify that a change in the counterparty to a derivative instrument that has been designated as a hedging instrument under Topic 815, does not, in and of itself, require a de-designation of the hedging relationship, provided that all other hedge accounting criteria continue to be met. This guidance is effective for public entities for financial statements issued for fiscal years beginning after December 15, 2016 and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, “Lease (Topic 842).” The core principle of Topic 842 is that a lessee should recognize the lease assets and liabilities that arise from leases in the statement of financial position. For public business entities, this update is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application is permitted. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” This new guidance requires certain equity investments to be measured at fair value, use of the exit price notion and separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheet or the accompanying notes to the financial statements. The ASU on recognition and measurement will take effect for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company is currently evaluating the impact of the adoption of this update on its consolidated financial statements. In August 2014, the FASB issued ASU 2014-15, “Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.” The amendments require management to evaluate, for each annual and interim reporting period, an entity’s ability to continue as a going concern when relevant conditions and events, considered in the aggregate, indicate that it is probable that the entity will be unable to meet its obligations that become due within one year after the date that the financial statements are issued (or available to be issued). This ASU is effective for annual periods and interim reporting periods ending after December 15, 2016. The Company does not expect that the adoption of this update will have an effect on its consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606), issued as a new Topic, Accounting Standards Codification.” The core principle of this amendment is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This update is effective for public companies, as amended by ASU 2015-14, for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Earlier application of this guidance is permitted, but not before the original date of December 15, 2016, which can be adopted either retrospectively to each prior reporting period presented or as a cumulative-effect adjustment as of the date of adoption. Subsequently, in March 2016 and April 2016, the FASB issued ASU 2016-08 and ASU 2016-10, respectively, to clarify the implementation guidance on principle versus agent considerations and address the potential diversity in practice at initial application and cost; and the complexity of applying Topic 606, both at transition and on an ongoing basis related to identification of performance obligations and licensing arrangements; and ASU 2016-12 and ASU 2016-20, in May 2016 and December 2016, respectively, to improve in certain aspects of Topic 606, with the same effective date as ASU 2015-14. The Company will adopt this standard during its fiscal year ending June 28, 2019. In the current period, the Company is assessing the contracts with its customers to identify the impact to its consolidated financial statements. The process is still ongoing and the Company expects to make significant progress in the coming quarters.
New Accounting Pronouncements - adopted by the Company	*New Accounting Pronouncements – adopted by the Company* In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash,” which requires the statement of cash flows to explain the change during the period in the total of cash, cash equivalents and restricted cash or restricted cash equivalents. The Company has early adopted this update in the second quarter of fiscal year 2017 on a retrospective basis but there was no impact to the presentation of the comparative period in the unaudited condensed consolidated financial statements. In November 2015, the FASB issued ASU 2015-17, “Balance Sheet Classification of Deferred Taxes,” which will require entities to present deferred tax assets (“DTAs”) and deferred tax liabilities (“DTLs”) as non-current in a classified balance sheet. The ASU simplifies the current guidance, which requires entities to separately present DTAs and DTLs as current and non-current in a classified balance sheet. The Company has early adopted this update in the first quarter of fiscal year 2017. The Company adopted this update on a prospective basis and did not change the presentation of the comparative period. In September 2015, the FASB issued ASU 2015-16, “Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments” which require an acquirer to recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The Company adopted this update in the first quarter of fiscal year 2017 and applied it on a prospective basis. See Footnote 8 – Business acquisition, for further disclosure on measurement period adjustments recorded in the nine months ended March 31, 2017. In July 2015, the FASB issued ASU 2015-11, “Inventory (Topic 330): Simplifying the Measurement of Inventory.” The update provides the guidance that an entity, that measured inventory by using first-in, first-out or average cost, should measure inventory at the lower of cost and net realizable value. Subsequent measurement is unchanged for inventory measured using last-in, first-out or the retail inventory method. The Company adopted this update in the first quarter of fiscal year 2017 with no impact to the unaudited condensed consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, “Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs.” The update requires debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of the related debt liability instead of being presented as an asset. Debt disclosures will include the face amount of the debt liability and the effective interest rate. The update requires retrospective application and represents a change in accounting principle. Additionally, in August 2015, the FASB issued ASU 2015-15, “Interest – Imputation of Interest (Subtopic 835-30): Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements” to amend ASU 2015-03. The Company adopted this amendment retrospectively in the first quarter of fiscal year 2017. As of March 31, 2017 and June 24, 2016, debt issuance costs of $0.4 million and $0.6 million, respectively, related to a recognized debt liability are presented in the balance sheet as a direct reduction of the carrying amount of the related debts. In February 2015, the FASB issued ASU 2015-02, “Consolidation (Topic 810): Amendments to the Consolidation Analysis.” ASU No. 2015-02 amended the process that a reporting entity must perform to determine whether it should consolidate certain types of legal entities. In the first quarter of fiscal year 2017, the Company adopted this update with no impact to the unaudited condensed consolidated financial statements. In January 2015, the FASB issued ASU 2015-01, “Income Statement – Extraordinary and Unusual Items (Subtopic 225-20): Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items.” The objective of this amendment is to reduce the complexity in accounting standards by eliminating the concept of extraordinary items from U.S. GAAP. To meet for extraordinary classification the underlying event or transaction should (a) possess a high degree of abnormality and be of a type clearly unrelated to, or only incidentally related to, the ordinary and typical activities of the entity and (b) not reasonably be expected to recur in the foreseeable future. In the first quarter of fiscal year 2017, the Company adopted this update with no impact to the unaudited condensed consolidated financial statements.

Earnings per ordinary share (Tables)

9 Months Ended

Mar. 31, 2017

Earnings Per Ordinary Share

Earnings per ordinary share was calculated as follows:


	Three Months Ended				Nine Months Ended
(amount in thousands except per share amounts)	March 31, 2017		March 25, 2016		March 31, 2017		March 25, 2016

Net income attributable to shareholders	$	21,656	$	20,822	$	69,714	$	42,228


Weighted-average number of ordinary shares outstanding (thousands of shares)		37,116		35,964		36,792		35,785

Incremental shares arising from the assumed exercise of share options and vesting of restricted share units (thousands of shares)		756		1,125		958		958

Weighted-average number of ordinary shares for diluted earnings per ordinary share (thousands of shares)		37,872		37,089		37,750		36,743


Basic earnings per ordinary share	$	0.58	$	0.58	$	1.89	$	1.18
Diluted earnings per ordinary share	$	0.57	$	0.56	$	1.85	$	1.15

Cash, cash equivalents and marketable securities (Tables)

9 Months Ended

Mar. 31, 2017

Cash, Cash Equivalents, and Marketable Securities

The Company’s cash, cash equivalents, and marketable securities can be analyzed as follows:


						Fair Value
(amount in thousands)	Carrying Cost		Unrealized Gain (Loss)			Cash and Cash Equivalents		Marketable Securities

As of March 31, 2017
Cash	$	135,317	$	—		$	135,317	$	—
Cash equivalents		1,317		—			1,317		—
Corporate bonds and commercial papers		95,503		22			—		95,525
U.S. agency and U.S. treasury securities		54,201		(112	)		—		54,089
Sovereign and municipal securities		2,995		(1	)		—		2,994

Total	$	289,333	$	(91	)	$	136,634	$	152,608


					Fair Value
(amount in thousands)	Carrying Cost		Unrealized Gain		Cash and Cash Equivalents		Marketable Securities

As of June 24, 2016
Cash	$	136,754	$	—	$	136,754	$	—
Cash equivalents		6,050		—		6,050		—
Corporate bonds and commercial papers		112,128		394		—		112,522
U.S. agency and U.S. treasury securities		28,028		2		—		28,030
Sovereign and municipal securities		1,154		3		—		1,157

Total	$	284,114	$	399	$	142,804	$	141,709

Available-for-Sale Securities Based on Stated Effective Maturities

The following table summarizes the cost and estimated fair value of marketable securities classified as available-for-sale securities based on stated effective maturities as of March 31, 2017:


(amount in thousands)	Carrying Cost		Fair Value
Due within one year	$	21,222	$	21,214
Due between one to three years		131,477		131,394

Total	$	152,699	$	152,608

- Definition

Tabular disclosure of available-for-sale securities which includes, but is not limited to, changes in the cost basis and fair value, fair value and gross unrealized gain (loss), fair values by type of security, contractual maturity and classification, amortized cost basis, contracts to acquire securities to be accounted for as available-for-sale, debt maturities, transfers to trading, change in net unrealized holding gain (loss) net of tax, continuous unrealized loss position fair value, aggregate losses qualitative disclosures, other than temporary impairment (OTTI) losses or other disclosures related to available for sale securities.

+ References + Details

Fair value of financial instruments (Tables)

9 Months Ended

Mar. 31, 2017

Financial Instruments Measured at Fair Value on Recurring Basis

The following table provides details of the financial instruments measured at fair value on a recurring basis, including:


	Fair Value Measurements at Reporting Date Using
(amount in thousands)	Level 1		Level 2			Level 3		Total
As of March 31, 2017
Assets
Cash equivalents	$	—	$	1,317		$	—	$	1,317
Corporate bonds and commercial papers		—		95,525			—		95,525
U.S. agency and U.S. treasury securities		—		54,089			—		54,089
Sovereign and municipal securities		—		2,994			—		2,994

Total	$	—	$	153,925		$	—	$	153,925

Liabilities
Derivative liabilities	$	—	$	8	⁽¹⁾	$	—	$	8

Total	$	—	$	8		$	—	$	8


	Fair Value Measurements at Reporting Date Using
(amount in thousands)	Level 1		Level 2			Level 3		Total
As of June 24, 2016
Assets
Cash equivalents	$	—	$	6,050		$	—	$	6,050
Corporate bonds and commercial papers		—		112,522			—		112,522
U.S. agency and U.S. treasury securities		—		28,030			—		28,030
Sovereign and municipal securities		—		1,157			—		1,157
Derivative assets		—		158	⁽²⁾		—		158

Total	$	—	$	147,917		$	—	$	147,917

Liabilities
Derivative liabilities	$	—	$	1,754	⁽³⁾	$	—	$	1,754

Total	$	—	$	1,754		$	—	$	1,754

⁽¹⁾	Foreign currency forward contract with notional amount of Canadian dollars 0.5 million.

⁽²⁾	Foreign currency forward contracts with notional amount of $7.0 million.

⁽³⁾	Foreign currency forward contracts with notional amount of $77.5 million and Canadian dollars 0.6 million.

- Definition

Tabular disclosure of financial instruments measured at fair value, including those classified in shareholders' equity measured on a recurring or nonrecurring basis. Disclosures include, but are not limited to, fair value measurements recorded and the reasons for the measurements, level within the fair value hierarchy in which the fair value measurements are categorized and transfers between levels 1 and 2. Nonrecurring fair value measurements are those that are required or permitted in the statement of financial position in particular circumstances.

+ References + Details

Trade accounts receivable, net (Tables)

9 Months Ended

Mar. 31, 2017

Trade Accounts Receivable, Net


(amount in thousands)	As of March 31, 2017			As of June 24, 2016

Trade accounts receivable	$	250,970		$	196,178
Less: allowance for doubtful account		(48	)		(33	)

Trade accounts receivable, net	$	250,922		$	196,145

Inventory (Tables)

9 Months Ended

Mar. 31, 2017

Inventories


(amount in thousands)	As of March 31, 2017			As of June 24, 2016

Raw materials	$	64,715		$	58,199
Work in progress		114,844			94,762
Finished goods		31,662			21,593
Goods in transit		16,013			9,381

		227,234			183,935
Less: Inventory obsolescence		(2,607	)		(2,436	)

Inventory, net	$	224,627		$	181,499

Business acquisition (Tables)

9 Months Ended

Mar. 31, 2017

Preliminary Allocation of Total Purchase Price

The Company’s preliminary allocation of the total purchase price for the acquisition is summarized below:


(amount in thousands)	Purchase price allocation
Cash	$	474
Accounts receivable		4,064
Inventory		3,490
Other current assets		427
Property, plant and equipment		5,678
Intangibles		4,492
Goodwill		3,883
Other non-current assets		516
Deferred tax liabilities		(1,148	)
Current liabilities		(6,796	)
Other non-current liabilities		(1,563	)

Total fair value of assets acquired and liabilities assumed	$	13,517

Total purchase price, net of cash acquired	$	13,043

Intangibles (Tables)

9 Months Ended

Mar. 31, 2017

Intangibles

The following tables present details of the Company’s intangibles:


(amount in thousands)	Gross Carrying Amount		Accumulated Amortization			Foreign Currency Translation Adjustment			Net
As of March 31, 2017
Software	$	5,765	$	(3,686	)	$	—		$	2,079
Customer relationships		4,372		(407	)		(263	)		3,702
Backlog		120		(34	)		(10	)		76

Total intangibles	$	10,257	$	(4,127	)	$	(273	)	$	5,857


(amount in thousands)	Gross Carrying Amount		Accumulated Amortization			Foreign Currency Translation Adjustment		Net
As of June 24, 2016
Software	$	3,786	$	(3,287	)	$	—	$	499
Customer relationships		—		—			—		—
Backlog		—		—			—		—

Total intangibles	$	3,786	$	(3,287	)	$	—	$	499

Estimated Future Amortization of intangibles

Based on the carrying amount of intangibles as of March 31, 2017, and assuming no future impairment of the underlying assets, the estimated future amortization during each fiscal year was as follows:


(amount in thousands)
2017 (remaining three months)	$	371
2018		1,413
2019		1,275
2020		875
2021		620
Thereafter		1,303

Total	$	5,857

Goodwill (Tables)

9 Months Ended

Mar. 31, 2017

Changes in Carrying Amount of Goodwill

The changes in the carrying amount of goodwill were as follows:


(amount in thousands)	Goodwill

Balance as of June 24, 2016	$	—
Addition in connection with business acquisition		3,883
Foreign currency translation adjustment		(234	)

Balance as of March 31, 2017	$	3,649

Borrowings (Tables)

9 Months Ended

Mar. 31, 2017

Total Borrowings, Including Short-Term and Long-Term Borrowings

The Company’s total borrowings, including short-term and long-term borrowings, consisted of the following:


(amount in thousands)
				As of			As of
				March 31,			June 24,
Rate ⁽¹⁾	Conditions	Maturity		2017			2016

Short-term borrowing:
Revolving borrowing:
LIBOR + 1.75% per annum	Repayable in 1 to 6 months		April 2017 ⁽²⁾	$	34,000		$	6,500

Short-term borrowings from bank:
Bank of England base rate +1.85% per annum	Repayable based on credit terms of secured accounts receivable				1,257			—

Bank of England base rate + 2.2% per annum ⁽³⁾	Repayable on monthly basis		May 2017		23			—
Current portion of long-term borrowing					13,600			18,100

					48,880			24,600
Less: Unamortized debt issuance costs					(222	)		(293	)

				$	48,658		$	24,307


Long-term borrowing:
LIBOR + 2.8% per annum	Repayable in quarterly installments		March 2017	$	—	⁽⁴⁾	$	4,500

Term loan borrowing:
LIBOR +1.75% per annum	Repayable in quarterly installments		May 2019		39,800			50,000

					39,800			54,500
Less: Current portion					(13,600	)		(18,100	)
Unamortized debt issuance costs					(141	)		(300	)

Non-current portion				$	26,059		$	36,100

⁽¹⁾	LIBOR is London Interbank Offered Rate.

⁽²⁾	In March 2017, the maturity date was extended to April 2017.

⁽³⁾

⁽⁴⁾

Movement of Long-Term Borrowings

The movement of long-term borrowings was as follows for the nine months ended March 31, 2017 and March 25, 2016:


	Nine Months Ended
(amount in thousands)	March 31, 2017			March 25, 2016

Opening balance	$	54,500		$	10,500
Repayments during the period		(14,700	)		(4,500	)

Closing balance	$	39,800		$	6,000

Future Maturities of Long-Term Borrowings

As of March 31, 2017, future maturities of long-term borrowings during each fiscal year were as follows:


(amount in thousands)
2017 (remaining three months)	$	3,400
2018		13,600
2019		22,800

Total	$	39,800

Undrawn Available Credit Facilities Classified by Availability Period of Future Borrowing

Undrawn available credit facilities classified by availability period of future borrowing as of March 31, 2017 and June 24, 2016 were as follows:


(amount in thousands)	March 31, 2017		June 24, 2016

Short-term	$	4,799	$	1,414
Long-term	$	126,200	$	143,500

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6479336&loc=d3e64711-112823

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=64930739&loc=d3e28878-108400

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21538-112644

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28541-108399

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28551-108399

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21521-112644

+ Details

Share-based compensation (Tables)

9 Months Ended

Mar. 31, 2017

Effect of Recording Share-Based Compensation Expense

The effect of recording share-based compensation expense for the three and nine months ended March 31, 2017 and March 25, 2016 was as follows:


	Three Months Ended					Nine Months Ended
(amount in thousands)	March 31, 2017		March 25, 2016			March 31, 2017		March 25, 2016

Share-based compensation expense by type of award:
Share options	$	—	$	(1	)	$	—	$	17
Restricted share units		6,540		2,000			18,993		7,765
Performance share units		1,188		—			2,943		—

Total share-based compensation expense		7,728		1,999			21,936		7,782
Tax effect on share-based compensation expense		—		—			—		—

Net effect on share-based compensation expense	$	7,728	$	1,999		$	21,936	$	7,782

Share-Based Compensation Expense Recorded in unaudited Condensed Consolidated Statements of Operations and Comprehensive Income

Share-based compensation expense was recorded in the unaudited condensed consolidated statements of operations and comprehensive income as follows:


	Three Months ended				Nine Months Ended
(amount in thousands)	March 31, 2017		March 25, 2016		March 31, 2017		March 25, 2016

Cost of revenue	$	1,657	$	517	$	4,185	$	1,594
Selling, general and administrative expense		6,071		1,482		17,751		6,188

Total share-based compensation expense	$	7,728	$	1,999	$	21,936	$	7,782

Share Option Activity

The following summarizes share option activity:


	Number of Shares			Number of Exercisable Options		Weighted- Average Exercise Price Per Share		Weighted- Average Grant Date Fair Value Per Share

Balance as of June 24, 2016		464,334			464,334	$	15.95
Granted		—					—		—
Exercised		(367,641	)			$	16.02
Forfeited		—					—
Expired		(5	)			$	5.75

Balance as of March 31, 2017		96,688			96,688	$	15.70


	Number of Shares			Number of Exercisable Options		Weighted- Average Exercise Price Per Share		Weighted- Average Grant Date Fair Value Per Share

Balance as of June 26, 2015		792,019			758,451	$	16.33
Granted		—					—		—
Exercised		(198,334	)			$	16.77
Forfeited		(755	)			$	17.10
Expired		(1,400	)			$	23.62

Balance as of March 25, 2016		591,530			591,488	$	16.16

Information for Share Options Outstanding

The following summarizes information for share options outstanding as of March 31, 2017 under the Share Option Plans:


	Range of Exercise Price		Number of Shares Underlying Options		Weighted- Average Remaining Contractual Life (years)		Aggregate Intrinsic Value (amount in thousands)

		$14.12 – $15.05		55,238		1.06
		$15.16 – $16.83		34,400		0.69
		$18.60 – $26.16		7,050		1.68

Options outstanding				96,688		0.97	$	2,546

Options exercisable				96,688		0.97	$	2,546

Restricted Share Unit Activity

The following summarizes restricted share unit activity under the 2010 Plan:


	Number of Shares			Weighted- Average Grant Date Fair Value Per Share

Balance as of June 24, 2016		1,181,402		$	18.34
Granted		796,298		$	39.42
Issued		(835,785	)	$	21.01
Forfeited		(69,726	)	$	25.33

Balance as of March 31, 2017		1,072,189		$	31.57


	Number of Shares			Weighted- Average Grant Date Fair Value Per Share

Balance as of June 26, 2015		1,140,927		$	16.03
Granted		586,142		$	19.82
Issued		(492,124	)⁽¹⁾	$	15.53
Forfeited		(86,343	)	$	17.44

Balance as of March 25, 2016		1,148,602		$	17.56

⁽¹⁾	Includes 283 shares vested on March 25, 2016, but not settled.

Performance Share Unit Activity

The following summarizes performance share unit activity under the 2010 Plan:


	Number of Shares		Weighted-Average Grant Date Fair Value Per Share
Balance as of June 24, 2016		—		—
Granted		234,678	$	40.48
Issued		—		—
Forfeited		—		—

Balance as of March 31, 2017		234,678	$	40.48

Accumulated other comprehensive income (Tables)

9 Months Ended

Mar. 31, 2017

Changes in AOCI, Net of Tax

The changes in AOCI for the nine months ended March 31, 2017 were as follows:


(amount in thousands)	Unrealized net Gains (Losses) on Marketable Securities			Unrealized net Gains (Losses) on Derivative Instruments			Foreign Currency Translation Adjustment			Total

Balance as of June 24, 2016	$	399		$	192		$	—		$	591
Other comprehensive income before reclassification adjustment		75			—			(935	)		(860	)
Amounts reclassified out of AOCI to foreign exchange loss in the unaudited condensed consolidated statement of operations and comprehensive income		(566	)		(158	)		—			(724	)
Tax effects		—			—			—			—

Other comprehensive loss	$	(491	)	$	(158	)	$	(935	)	$	(1,584	)

Balance as of March 31, 2017	$	(92	)	$	34		$	(935	)	$	(993	)

Commitments and contingencies (Tables)

9 Months Ended

Mar. 31, 2017

Future Minimum Lease Payments Due Under Non-Cancelable Operating Leases

As of March 31, 2017, the future minimum lease payments due under non-cancelable operating leases during each fiscal year were as follows:


(amount in thousands)
2017 (remaining three months)	$	439
2018		1,663
2019		1,116
2020		911
2021		510
Thereafter		897

Total minimum operating lease payments	$	5,536

Future Minimum Lease Payments Due Under Non-Cancelable Capital Leases

As of March 31, 2017, the future minimum lease payments due under non-cancelable capital leases during each fiscal year were as follows:


(amount in thousands)
2017 (remaining three months)	$	92
2018		393
2019		426
2020		391
2021		101

Total minimum capital lease payments	$	1,403

Business segments and geographic information (Tables)

9 Months Ended

Mar. 31, 2017

Total Revenues by Geographic Regions

The following table presents total revenues by geographic regions:


	Three Months Ended				Nine Months Ended
(amount in thousands)	March 31, 2017		March 25, 2016		March 31, 2017		March 25, 2016

North America	$	154,708	$	138,687	$	478,700	$	369,284
Asia-Pacific		149,271		88,433		400,708		256,676
Europe		62,858		23,768		170,628		74,399

	$	366,837	$	250,888	$	1,050,036	$	700,359

Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Sep. 14, 2016	Jun. 24, 2016
Accounting Policies [Line Items]
Restricted cash in connection with business acquisition	$ 3,175
ASU 2015-15
Accounting Policies [Line Items]
Debt issuance costs	$ 400		$ 600
Global CEM Solutions, Ltd.
Accounting Policies [Line Items]
Business Acquisition, Percentage of Voting Interests Acquired		100.00%
Restricted cash in connection with business acquisition		$ 3,200

Earnings Per Ordinary Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Mar. 31, 2017	Mar. 25, 2016
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items]
Net income attributable to shareholders	$ 21,656	$ 20,822	$ 69,714	$ 42,228
Weighted-average number of ordinary shares outstanding (thousands of shares)	37,116	35,964	36,792	35,785
Incremental shares arising from the assumed exercise of share options and vesting of restricted share units (thousands of shares)	756	1,125	958	958
Weighted-average number of ordinary shares for diluted earnings per ordinary share (thousands of shares)	37,872	37,089	37,750	36,743
Basic earnings per ordinary share	$ 0.58	$ 0.58	$ 1.89	$ 1.18
Diluted earnings per ordinary share	$ 0.57	$ 0.56	$ 1.85	$ 1.15

Earnings Per Ordinary Share - Additional Information (Detail) - shares	9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016
Employee Stock Option
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount	0	0

Cash, Cash Equivalents, and Marketable Securities (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Jun. 24, 2016	Mar. 25, 2016
Cash, cash equivalents and marketable securities [Line Items]
Cash and cash equivalents and Marketable securities, Carrying Cost	$ 289,333	$ 284,114
Marketable securities, Unrealized Gain/(Loss)	(91)	399
Cash and cash equivalents	136,634	142,804	$ 127,957
Marketable securities	152,608	141,709
Cash
Cash, cash equivalents and marketable securities [Line Items]
Carrying Cost	135,317	136,754
Cash and cash equivalents	135,317	136,754
Cash Equivalents
Cash, cash equivalents and marketable securities [Line Items]
Carrying Cost	1,317	6,050
Cash and cash equivalents	1,317	6,050
Corporate bonds and commercial papers
Cash, cash equivalents and marketable securities [Line Items]
Marketable securities, Carrying cost	95,503	112,128
Marketable securities, Unrealized Gain/(Loss)	22	394
Marketable securities	95,525	112,522
U.S. agency and U.S. treasury securities
Cash, cash equivalents and marketable securities [Line Items]
Marketable securities, Carrying cost	54,201	28,028
Marketable securities, Unrealized Gain/(Loss)	(112)	2
Marketable securities	54,089	28,030
Sovereign And Municipal Securities
Cash, cash equivalents and marketable securities [Line Items]
Marketable securities, Carrying cost	2,995	1,154
Marketable securities, Unrealized Gain/(Loss)	(1)	3
Marketable securities	$ 2,994	$ 1,157

Cash, Cash Equivalents and Marketable Securities - Additional Information (Detail)	9 Months Ended
	Mar. 31, 2017 USD ($)
Cash, cash equivalents and marketable securities [Line Items]
Loss from sales and maturities of available-for-sale securities	$ (400,000)
Impairment losses	0
Cash, cash equivalents and marketable securities at financial institutions located in the United States	$ 40,000,000
Minimum
Cash, cash equivalents and marketable securities [Line Items]
Maturities Period of Short-term marketable securities	3 months
Maximum
Cash, cash equivalents and marketable securities [Line Items]
Maturities Period of Short-term marketable securities	3 years

Available-for-Sale Securities Based on Stated Effective Maturities (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Jun. 24, 2016
Carrying cost
Due within one year	$ 21,222
Due between one to three years	131,477
Total	152,699
Fair value
Due within one year	21,214
Due between one to three years	131,394
Total	$ 152,608	$ 141,709

Financial Instruments Measured at Fair Value on Recurring Basis (Detail) - Fair Value, Measurements, Recurring - USD ($)
$ in Thousands

Mar. 31, 2017

Jun. 24, 2016

Assets

Total

$ 153,925

$ 147,917

Derivative assets

158

Liabilities

Derivative liabilities

1,754

Total

1,754

Cash Equivalents

Assets

Marketable securities

1,317

6,050

Corporate bonds and commercial papers

Assets

Marketable securities

95,525

112,522

U.S. agency and U.S. treasury securities

Assets

Marketable securities

54,089

28,030

Sovereign And Municipal Securities

Assets

Marketable securities

2,994

1,157

Significant Other Observable Inputs (Level 2)

Assets

Total

153,925

147,917

Derivative assets

^[1]

158

Liabilities

Derivative liabilities

^[2]

1,754

^[3]

Total

1,754

Significant Other Observable Inputs (Level 2) | Cash Equivalents

Assets

Marketable securities

1,317

6,050

Significant Other Observable Inputs (Level 2) | Corporate bonds and commercial papers

Assets

Marketable securities

95,525

112,522

Significant Other Observable Inputs (Level 2) | U.S. agency and U.S. treasury securities

Assets

Marketable securities

54,089

28,030

Significant Other Observable Inputs (Level 2) | Sovereign And Municipal Securities

Assets

Marketable securities

$ 2,994

$ 1,157

[1]	Foreign currency forward contracts with notional amount of $7.0 million.
[2]	Foreign currency forward contract with notional amount of Canadian dollars 0.5 million.
[3]	Foreign currency forward contracts with notional amount of $77.5 million and Canadian dollars 0.6 million.

Financial Instruments Measured at Fair Value on Recurring Basis (Parenthetical) (Detail) - Foreign currency forward contracts - Fair Value, Measurements, Recurring CAD in Millions, $ in Millions	Mar. 31, 2017 CAD	Jun. 24, 2016 USD ($)	Jun. 24, 2016 CAD
Fair Value Measurements at Reporting Date Using
Derivative liabilities, notional amount	CAD 0.5	$ 77.5	CAD 0.6
Derivative assets, notional amount		$ 7.0

Fair Value of Financial Instruments - Additional Information (Detail) $ in Thousands, CAD in Millions	9 Months Ended
	Mar. 31, 2017 USD ($) Contract	Mar. 25, 2016 USD ($) Contract	Mar. 31, 2017 CAD Contract	Jun. 24, 2016 USD ($)	Mar. 25, 2016 CAD Contract
Foreign Currency Fair Value Hedge Derivative [Line Items]
Unrealized loss on derivatives	$ 718	$ (2,406)
Foreign currency forward contracts
Foreign Currency Fair Value Hedge Derivative [Line Items]
Derivative assets				$ 200
Derivative liabilities	$ 8			$ 1,700
Foreign currency forward contracts \| Non designated
Foreign Currency Fair Value Hedge Derivative [Line Items]
Number of forward contracts outstanding \| Contract	1	17	1		17
Derivative liabilities, notional amount \| CAD			CAD 0.5
Derivative maturity period	2017-06
Unrealized loss on derivatives	$ (8)	$ (2,300)
Derivative notional amount		$ 102,000			CAD 0.3
Foreign currency forward contracts \| Non designated \| Minimum
Foreign Currency Fair Value Hedge Derivative [Line Items]
Derivative maturity period		2016-06
Foreign currency forward contracts \| Non designated \| Maximum
Foreign Currency Fair Value Hedge Derivative [Line Items]
Derivative maturity period		2016-12
Foreign currency forward contracts \| Cash Flow Hedging
Foreign Currency Fair Value Hedge Derivative [Line Items]
Gain recognized from discontinued cash flow hedges	$ 300
Number of forward contracts outstanding \| Contract	0		0

Trade Accounts Receivable, Net (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Jun. 24, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Trade accounts receivable	$ 250,970	$ 196,178
Less: allowance for doubtful account	(48)	(33)
Trade accounts receivable, net	$ 250,922	$ 196,145

Trade Accounts Receivable, Net - Additional Information (Detail) $ in Millions	Mar. 31, 2017 USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Trade accounts receivable secured to short-term loans from bank	$ 5.6

Inventory (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Jun. 24, 2016
Inventory [Line Items]
Raw materials	$ 64,715	$ 58,199
Work in progress	114,844	94,762
Finished goods	31,662	21,593
Goods in transit	16,013	9,381
Inventory, Gross, Total	227,234	183,935
Less: Inventory obsolescence	(2,607)	(2,436)
Inventory, net	$ 224,627	$ 181,499

Business Acquisition - Additional Information (Detail) - USD ($) $ in Thousands		3 Months Ended	9 Months Ended
	Sep. 14, 2016	Mar. 31, 2017	Mar. 31, 2017	Jun. 24, 2016
Business Acquisition [Line Items]
Total cash consideration, net of cash acquired			$ 9,917
Restricted cash in connection with business acquisition		$ 3,175	3,175
Foreign currency translation adjustment		227	(935)
Goodwill		3,649	3,649	$ 0
Global CEM Solutions, Ltd.
Business Acquisition [Line Items]
Total cash consideration, net of cash acquired	$ 13,043
Business acquisition, cash acquired	$ 474
Percentage of ownership acquired	100.00%
Restricted cash in connection with business acquisition	$ 3,200
Foreign currency translation adjustment			(900)
Goodwill	3,883	3,883	3,883
Deferred tax liabilities	1,148	1,148	1,148
Capital lease assets		1,900	1,900
Capital lease liability		$ 1,400	1,400
Global CEM Solutions, Ltd. \| Scenario, Previously Reported
Business Acquisition [Line Items]
Goodwill	$ 2,700
Global CEM Solutions, Ltd. \| Customer relationships
Business Acquisition [Line Items]
Intangible assets acquired			$ 4,400
Estimated remaining useful life			10 years
Global CEM Solutions, Ltd. \| Backlog
Business Acquisition [Line Items]
Intangible assets acquired			$ 100
Estimated remaining useful life			3 years
Global CEM Solutions, Ltd. \| Selling, General and Administrative Expenses
Business Acquisition [Line Items]
Transaction costs related to acquisition			$ 1,500

Preliminary Allocation of Total Purchase Price (Detail) - USD ($) $ in Thousands		9 Months Ended
	Sep. 14, 2016	Mar. 31, 2017	Jun. 24, 2016
Business Acquisition [Line Items]
Goodwill		$ 3,649	$ 0
Total purchase price, net of cash acquired		9,917
Global CEM Solutions, Ltd.
Business Acquisition [Line Items]
Cash	$ 474
Accounts receivable	4,064
Inventory	3,490
Other current assets	427
Property, plant and equipment	5,678
Intangibles	4,492
Goodwill	3,883	3,883
Other non-current assets	516
Deferred tax liabilities	(1,148)	$ (1,148)
Current liabilities	(6,796)
Other non-current liabilities	(1,563)
Total fair value of assets acquired and liabilities assumed	13,517
Total purchase price, net of cash acquired	$ 13,043

Intangibles (Detail) - USD ($) $ in Thousands	9 Months Ended
Intangibles (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Jun. 24, 2016
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 10,257	$ 3,786
Accumulated Amortization	(4,127)	(3,287)
Foreign Currency Translation Adjustment	(273)
Net	5,857	499
Software
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	5,765	3,786
Accumulated Amortization	(3,686)	(3,287)
Net	2,079	$ 499
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	4,372
Accumulated Amortization	(407)
Foreign Currency Translation Adjustment	(263)
Net	3,702
Backlog
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	120
Accumulated Amortization	(34)
Foreign Currency Translation Adjustment	(10)
Net	$ 76

Intangibles - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Mar. 31, 2017	Mar. 25, 2016
Finite-Lived Intangible Assets [Line Items]
Amortization expense related to intangibles	$ 900	$ 20	$ 1,100	$ 40
Global CEM Solutions, Ltd. \| Customer relationships
Finite-Lived Intangible Assets [Line Items]
Intangible assets acquired			$ 4,400
Weighted average remaining life of acquired intangible assets			7 years 1 month 6 days
Global CEM Solutions, Ltd. \| Backlog
Finite-Lived Intangible Assets [Line Items]
Intangible assets acquired			$ 100
Weighted average remaining life of acquired intangible assets			1 year 9 months 18 days

Estimated Future Amortization of Intangibles (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Jun. 24, 2016
Finite-Lived Intangible Assets [Line Items]
2017 (remaining three months)	$ 371
2018	1,413
2019	1,275
2020	875
2021	620
Thereafter	1,303
Total	$ 5,857	$ 499

Goodwill - Additional Information (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Sep. 14, 2016	Jun. 24, 2016
Goodwill [Line Items]
Goodwill	$ 3,649		$ 0
Global CEM Solutions, Ltd.
Goodwill [Line Items]
Goodwill	$ 3,883	$ 3,883

Changes in Carrying Amount of Goodwill (Detail) $ in Thousands	9 Months Ended
	Mar. 31, 2017 USD ($)
Goodwill [Line Items]
Balance as of June 24, 2016	$ 0
Addition in connection with business acquisition	3,883
Foreign currency translation adjustment	(234)
Balance as of March 31, 2017	$ 3,649

Total Borrowings, Including Short-Term and Long-Term Borrowings (Detail) - USD ($)
$ in Thousands

9 Months Ended

Mar. 31, 2017

Jun. 24, 2016

Mar. 25, 2016

Jun. 26, 2015

Debt Instrument [Line Items]

Revolving borrowing

$ 34,000

$ 6,500

Short-term loans from bank

1,257

Current portion of long-term borrowing

13,600

18,100

Bank borrowings, gross

48,880

24,600

Less: Unamortized debt issuance costs

(222)

(293)

Bank borrowings, net of unamortized debt issuance costs

48,658

24,307

Long-term borrowing

39,800

54,500

$ 6,000

$ 10,500

Unamortized debt issuance costs

(141)

(300)

Non-current portion

$ 26,059

36,100

Short-term loans from bank

Debt Instrument [Line Items]

Rate

^[1]

Bank of England base rate +1.85% per annum

Conditions

Repayable based on credit terms of secured accounts receivable

Revolving Credit Facility

Debt Instrument [Line Items]

Rate

^[1]

LIBOR + 1.75% per annum

Conditions

Repayable in 1 to 6 months

Term

^[2]

2017-04

Revolving borrowing

$ 34,000

Revolving Credit Facility | Minimum

Debt Instrument [Line Items]

Repayment duration

1 month

Revolving Credit Facility | Maximum

Debt Instrument [Line Items]

Repayment duration

6 months

LIBOR | Minimum

Debt Instrument [Line Items]

Margin above rate

1.75%

LIBOR | Maximum

Debt Instrument [Line Items]

Margin above rate

2.50%

LIBOR | Revolving Credit Facility

Debt Instrument [Line Items]

Margin above rate

1.75%

Base Rate | Minimum

Debt Instrument [Line Items]

Margin above rate

0.75%

Base Rate | Maximum

Debt Instrument [Line Items]

Margin above rate

1.50%

Base Rate | Short-term loans from bank

Debt Instrument [Line Items]

Margin above rate

1.85%

Loan Payable Due May 2017

Debt Instrument [Line Items]

Short-term loans from bank

^[3]

$ 23

Loan Payable Due May 2017 | Short-term loans from bank

Debt Instrument [Line Items]

Rate

^[1],[3]

Bank of England base rate + 2.2% per annum

Conditions

^[3]

Repayable on monthly basis

Term

^[3]

2017-05

Loan Payable Due May 2017 | Base Rate | Short-term loans from bank

Debt Instrument [Line Items]

Margin above rate

^[3]

2.20%

Loans Payable Due March 2017

Debt Instrument [Line Items]

Rate

^[1]

LIBOR + 2.8% per annum

Conditions

Repayable in quarterly installments

Term

2017-03

Long-term borrowing

$ 0

^[4]

4,500

Loans Payable Due March 2017 | LIBOR

Debt Instrument [Line Items]

Margin above rate

2.80%

Loans Payable Due May 2019

Debt Instrument [Line Items]

Rate

^[1]

LIBOR + 1.75% per annum

Conditions

Repayable in quarterly installments

Term

2019-05

Long-term borrowing

$ 39,800

$ 50,000

Loans Payable Due May 2019 | LIBOR

Debt Instrument [Line Items]

Margin above rate

1.75%

[1]	LIBOR is London Interbank Offered Rate.
[2]	In March 2017, the maturity date was extended to April 2017.
[3]	As of March 31, 2017, the carrying amount of plant and machinery of Exception EMS secured to such loan was $0.8 million. Under the conditions stipulated in the loan agreement, this loan will be cross securitized, cross default and co-terminus with the short terms loans of $1.3 million which are secured by accounts receivable.
[4]	In March 2017, a subsidiary fully repaid the long term borrowing. The carrying amount of assets secured and pledged as collateral to such loan as of March 31, 2017 and June 24, 2016 was $45.9 million and $47.7 million, respectively. In April 2017, the bank released certain property, plant and equipment of the subsidiary which had been secured and pledged as collateral to such loans.

Total Borrowings, Including Short-Term and Long-Term Borrowings (Parenthetical) (Detail) - USD ($) $ in Thousands	1 Months Ended
	Mar. 31, 2017	Jun. 24, 2016
Debt Instrument [Line Items]
Extended maturity date	2017-04
Property, plant and equipment, net	$ 216,378	$ 178,410
Short-term loans from bank	1,257
Short-term loans from bank
Debt Instrument [Line Items]
Property, plant and equipment, net	800
Subsidiary \| Bank borrowing No. 1
Debt Instrument [Line Items]
Carrying amount of assets secured and pledged as collateral	$ 45,900	$ 47,700

Movement of Long-Term Borrowings (Detail) - USD ($) $ in Thousands	9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016
Debt Instrument [Line Items]
Opening balance	$ 54,500	$ 10,500
Repayments during the period	(14,700)	(8,500)
Closing balance	39,800	6,000
Term Loan
Debt Instrument [Line Items]
Repayments during the period	$ (14,700)	$ (4,500)

Future Maturities of Long-Term Borrowings (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Jun. 24, 2016	Mar. 25, 2016	Jun. 26, 2015
Debt Instrument [Line Items]
2017 (remaining three months)	$ 3,400
2018	13,600
2019	22,800
Total	$ 39,800	$ 54,500	$ 6,000	$ 10,500

Borrowings - Additional Information (Detail) - USD ($)	1 Months Ended	9 Months Ended
Borrowings - Additional Information (Detail) - USD ($)	Mar. 31, 2017	Mar. 31, 2017	Jun. 24, 2016
Line of Credit Facility [Line Items]
Line of credit facility borrowing capacity	$ 200,000,000	$ 200,000,000
Line of credit facility amounts outstanding	34,000,000	34,000,000	$ 6,500,000
Undrawn available credit facilities for long-term borrowing	$ 126,200,000	126,200,000
Extended maturity date	2017-04
Cash, cash equivalents and marketable securities at financial institutions located in the United States	$ 40,000,000	40,000,000
Deposits or securities	10,000,000	10,000,000
Minimum net worth required for credit agreement	200,000,000	$ 200,000,000
Percentage of quarterly net income required for credit agreement		50.00%
Minimum debt service coverage ratio		150.00%
Maximum senior leverage ratio		250.00%
Minimum quick ratio required for credit agreement		110.00%
Trade accounts receivable, net	250,922,000	$ 250,922,000	$ 196,145,000
Short-term loans from bank	1,257,000	1,257,000
Short-term loans from bank
Line of Credit Facility [Line Items]
Trade accounts receivable, net	$ 5,600,000	$ 5,600,000
Credit facility maximum borrowing capacity, percentage	4.00%	4.00%
Interest rate on short term loans	1.85%	1.85%
LIBOR
Line of Credit Facility [Line Items]
Credit line interest rate		LIBOR rate plus a spread of 1.75% to 2.50%
LIBOR \| Minimum
Line of Credit Facility [Line Items]
Credit line interest rate, percentage		1.75%
LIBOR \| Maximum
Line of Credit Facility [Line Items]
Credit line interest rate, percentage		2.50%
Base Rate
Line of Credit Facility [Line Items]
Credit line interest rate		Base rate plus a spread of 0.75% to 1.50%, determined in accordance with the Facility Agreement
Base Rate \| Minimum
Line of Credit Facility [Line Items]
Credit line interest rate, percentage		0.75%
Base Rate \| Maximum
Line of Credit Facility [Line Items]
Credit line interest rate, percentage		1.50%
Base Rate \| Short-term loans from bank
Line of Credit Facility [Line Items]
Credit line interest rate, percentage		1.85%
Revolving Credit Facility
Line of Credit Facility [Line Items]
Line of credit facility borrowing capacity	$ 150,000,000	$ 150,000,000
Line of credit facility increase in borrowing capacity	100,000,000	$ 100,000,000
Line of credit expiration date		May 22, 2019
Line of credit facility amounts outstanding	$ 34,000,000	$ 34,000,000
Extended maturity date	2017-04
Revolving Credit Facility \| Minimum
Line of Credit Facility [Line Items]
Repayment duration		1 month
Revolving Credit Facility \| Maximum
Line of Credit Facility [Line Items]
Repayment duration		6 months
Revolving Credit Facility \| LIBOR
Line of Credit Facility [Line Items]
Credit line interest rate, percentage		1.75%
Term Loan Credit Facility
Line of Credit Facility [Line Items]
Line of credit facility borrowing capacity	$ 50,000,000	$ 50,000,000
Line of credit expiration date		May 22, 2019
Line of credit facility amounts outstanding	$ 39,800,000	$ 39,800,000

Undrawn Available Credit Facilities Classified by Availability Period of Future Borrowing (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Jun. 24, 2016
Line of Credit Facility [Line Items]
Undrawn available credit facilities	$ 126,200
Short-term loans
Line of Credit Facility [Line Items]
Undrawn available credit facilities	4,799	$ 1,414
Long-term loans
Line of Credit Facility [Line Items]
Undrawn available credit facilities	$ 126,200	$ 143,500

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Mar. 31, 2017	Mar. 25, 2016	Jun. 24, 2016
Income Taxes [Line Items]
Liability for uncertain tax positions including accrued interest and penalties	$ 2.0		$ 2.0		$ 1.8
Corporate effective income tax rate	6.50%	5.80%	6.70%	6.40%
Earliest Tax Year
Income Taxes [Line Items]
Tax year remain open to examination			2012
Latest Tax Year
Income Taxes [Line Items]
Tax year remain open to examination			2016

Effect of Recording Share-Based Compensation Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Mar. 31, 2017	Mar. 25, 2016
Share-based compensation expense by type of award:
Share options		$ (1)		$ 17
Restricted share units	$ 6,540	2,000	$ 18,993	7,765
Performance share units	1,188		2,943
Total share-based compensation expense	7,728	1,999	21,936	7,782
Tax effect on share-based compensation expense	0	0	0	0
Net effect on share-based compensation expense	$ 7,728	$ 1,999	$ 21,936	$ 7,782

Share-Based Compensation Expense Recorded in Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Mar. 31, 2017	Mar. 25, 2016
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Share-based compensation expense	$ 7,728	$ 1,999	$ 21,936	$ 7,782
Cost of Revenue
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Share-based compensation expense	1,657	517	4,185	1,594
Selling, General and Administrative Expenses
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Share-based compensation expense	$ 6,071	$ 1,482	$ 17,751	$ 6,188

Share-Based Compensation - Additional Information (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Mar. 31, 2017	Mar. 25, 2016	Jun. 24, 2016	Jun. 26, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation costs capitalized	$ 0	$ 0	$ 0	$ 0
Shares withheld to settle employee minimum statutory obligation for applicable income and other employment taxes			33,276	111,584
Tax withholdings related to net share settlement of restricted share units			$ 1,272,000	$ 2,372,000
Stock Plan 1999
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share options outstanding	0		0
Stock Plan 2010
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share options outstanding	96,688		96,688
Ordinary shares available for future grant	1,176,631		1,176,631
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award granted vesting period, year			4 years
Options expiration period, year			7 years
Employee Stock Option \| Stock Plan 2010
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized share-based compensation expense	$ 0		$ 0
Employee Stock Option \| Vest 12 months after the vesting commencement date
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			25.00%
Employee Stock Option \| Vest monthly over each of the subsequent 36 months
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			2.083%
Employee Stock Option \| Vest monthly over four years, commencing one month after the vesting commencement date
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			2.083%
Restricted Share Units \| Stock Plan 2010
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share units outstanding	1,072,189	1,148,602	1,072,189	1,148,602	1,181,402	1,140,927
Restricted Share Units \| Vesting Option One
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award granted vesting period, year			3 years
Restricted Share Units \| Vesting Option Two
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award granted vesting period, year			4 years
Restricted Share Units \| Non Employee Director
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award granted vesting period, year			1 year
Restricted Share Units \| Non Employee Director \| Vest on the first of January
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			100.00%
Restricted Share Units \| Executive of the Company \| Granted to the executive prior to August 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			100.00%
Restricted Share Units \| Executive of the Company \| Granted to the executive in August 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			100.00%
Performance Share Units \| Stock Plan 2010
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share units outstanding	234,678		234,678
Performance Share Units \| Executive of the Company
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award granted vesting period, year			2 years
Performance Share Units \| Executive of the Company \| Vest at the end of the performance period \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			0.00%
Performance Share Units \| Executive of the Company \| Vest at the end of the performance period \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting percentage			100.00%
Restricted Share Units and Performance Share Units \| Stock Plan 2010
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized share-based compensation expense	$ 25,700,000		$ 25,700,000
Unrecognized compensation expense, weighted-average period for recognition			2 years 1 month 6 days

Share Option Activity (Detail) - Stock Plan Nineteen Ninety Nine and Twenty Ten - $ / shares	9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Jun. 24, 2016	Jun. 26, 2015
Number of shares
Beginning balance	464,334	792,019
Granted	0	0
Exercised	(367,641)	(198,334)
Forfeited		(755)
Expired	(5)	(1,400)
Ending balance	96,688	591,530
Number of Exercisable Options
Number of Exercisable Options	96,688	591,488	464,334	758,451
Weighted-Average Exercise Price per share
Beginning balance	$ 15.95	$ 16.33
Granted	0	0
Exercised	16.02	16.77
Forfeited		17.10
Expired	5.75	23.62
Ending balance	15.70	16.16
Weighted-Average Grant Date Fair Value
Granted	$ 0	$ 0

Information for Share Options Outstanding (Detail) - Stock Plan Nineteen Ninety Nine and Twenty Ten $ / shares in Units, $ in Thousands	9 Months Ended
	Mar. 31, 2017 USD ($) $ / shares shares
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number of Shares Underlying Options, outstanding \| shares	96,688
Options outstanding, weighted average remaining contractual life (years)	11 months 19 days
Options outstanding, aggregate intrinsic value \| $	$ 2,546
Number of Shares Underlying Options, exercisable \| shares	96,688
Options exercisable, weighted average remaining contractual life (years)	11 months 19 days
Options exercisable, aggregate intrinsic value \| $	$ 2,546
Range of Exercise Price 1
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Price, Minimum	$ 14.12
Range of Exercise Price, Maximum	$ 15.05
Number of Shares Underlying Options, outstanding \| shares	55,238
Options outstanding, weighted average remaining contractual life (years)	1 year 22 days
Range of Exercise Price 2
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Price, Minimum	$ 15.16
Range of Exercise Price, Maximum	$ 16.83
Number of Shares Underlying Options, outstanding \| shares	34,400
Options outstanding, weighted average remaining contractual life (years)	8 months 9 days
Range of Exercise Price 3
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Range of Exercise Price, Minimum	$ 18.60
Range of Exercise Price, Maximum	$ 26.16
Number of Shares Underlying Options, outstanding \| shares	7,050
Options outstanding, weighted average remaining contractual life (years)	1 year 8 months 5 days

Restricted Share Unit Activity (Detail) - Stock Plan 2010 - Restricted Share Units - $ / shares

9 Months Ended

Mar. 31, 2017

Mar. 25, 2016

Number of restricted share units

Number of share units, beginning balance

1,181,402

1,140,927

Number of share units, Granted

796,298

586,142

Number of share units, Issued

(835,785)

(492,124)

^[1]

Number of share units, Forfeited

(69,726)

(86,343)

Number of share units, ending balance

1,072,189

1,148,602

Weighted Average Grant Date Fair Value Per Share

Weighted-average grant date fair value per share, Beginning Balance

$ 18.34

$ 16.03

Weighted-average grant date fair value per share, Granted

39.42

19.82

Weighted-average grant date fair value per share, Issued

21.01

15.53

Weighted-average grant date fair value per share, Forfeited

25.33

17.44

Weighted-average grant date fair value per share, Ending Balance

$ 31.57

$ 17.56

[1]	Includes 283 shares vested on March 25, 2016, but not settled.

Performance Share Unit Activity (Detail) - Stock Plan 2010 - Performance Share Units	9 Months Ended
	Mar. 31, 2017 $ / shares shares
Number of performance share units
Number of share units, Granted \| shares	234,678
Number of share units, Issued \| shares	0
Number of share units, Forfeited \| shares	0
Number of share units, ending balance \| shares	234,678
Weighted Average Grant Date Fair Value Per Share
Weighted-average grant date fair value per share, Granted \| $ / shares	$ 40.48
Weighted-average grant date fair value per share, Issued \| $ / shares	0
Weighted-average grant date fair value per share, Forfeited \| $ / shares	0
Weighted-average grant date fair value per share, Ending Balance \| $ / shares	$ 40.48

Shareholders' Equity - Additional Information (Detail) - $ / shares	9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Jun. 24, 2016
Shareholders Equity [Line Items]
Ordinary shares, authorized share capital	500,000,000		500,000,000
Ordinary shares, par value	$ 0.01		$ 0.01
Preferred shares, shares authorized	5,000,000		5,000,000
Preferred shares, par value	$ 0.01		$ 0.01
Stock Plan Nineteen Ninety Nine and Twenty Ten
Shareholders Equity [Line Items]
Ordinary shares issued upon exercise of options	367,641	198,334
Ordinary shares issued upon exercise of options, weight average exercise price	$ 16.02	$ 16.77
Ordinary shares issued upon vesting of restricted shares	802,509

Changes in AOCI, Net of Tax (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Mar. 31, 2017	Mar. 25, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance			$ 554,419
Other comprehensive income before reclassification adjustment			(860)
Amounts reclassified out of AOCI to foreign exchange loss in the unaudited condensed consolidated statement of operations and comprehensive income			(724)
Tax effects			0
Total other comprehensive gain (loss), net of tax	$ 276	$ 1,014	(1,584)	$ 791
Ending Balance	649,103		649,103
Unrealized Net Gains (Losses) on Marketable Securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance			399
Other comprehensive income before reclassification adjustment			75
Amounts reclassified out of AOCI to foreign exchange loss in the unaudited condensed consolidated statement of operations and comprehensive income			(566)
Tax effects			0
Total other comprehensive gain (loss), net of tax			(491)
Ending Balance	(92)		(92)
Unrealized Net Gains (Losses) on Derivative Instruments
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance			192
Other comprehensive income before reclassification adjustment			0
Amounts reclassified out of AOCI to foreign exchange loss in the unaudited condensed consolidated statement of operations and comprehensive income			(158)
Tax effects			0
Total other comprehensive gain (loss), net of tax			(158)
Ending Balance	34		34
Foreign Currency Translation Adjustment
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance			0
Other comprehensive income before reclassification adjustment			(935)
Amounts reclassified out of AOCI to foreign exchange loss in the unaudited condensed consolidated statement of operations and comprehensive income			0
Tax effects			0
Total other comprehensive gain (loss), net of tax			(935)
Ending Balance	(935)		(935)
AOCI Attributable to Parent
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance			591
Ending Balance	$ (993)		$ (993)

Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Millions		9 Months Ended
	Jan. 10, 2017	Mar. 31, 2017	Mar. 25, 2016	Dec. 23, 2016	Jun. 24, 2016
Commitments and Contingencies Disclosure [Line Items]
Outstanding bank guarantees given by banks on behalf of the company		$ 1.5			$ 0.8
Rental expense under operating leases		1.2	$ 0.9
Outstanding commitment to third parties		$ 12.1
Thailand
Commitments and Contingencies Disclosure [Line Items]
Purchase of land				$ 5.6
Payment to purchase of land	$ 1.1
Maximum
Commitments and Contingencies Disclosure [Line Items]
Operating lease expiration year		2023
Bank borrowing No. 1 \| Subsidiary
Commitments and Contingencies Disclosure [Line Items]
Carrying amount of assets secured and pledged as collateral		$ 45.9			$ 47.7

Future Minimum Lease Payments Due Under Non-Cancelable Operating Leases (Detail) $ in Thousands	Mar. 31, 2017 USD ($)
Operating Leased Assets [Line Items]
2017 (remaining three months)	$ 439
2018	1,663
2019	1,116
2020	911
2021	510
Thereafter	897
Total minimum operating lease payments	$ 5,536

Future Minimum Lease Payments Due Under Non-Cancelable Capital Leases (Detail) $ in Thousands	Mar. 31, 2017 USD ($)
Capital Leased Assets [Line Items]
2017 (remaining three months)	$ 92
2018	393
2019	426
2020	391
2021	101
Total minimum capital lease payments	$ 1,403

Business Segments and Geographic Information - Additional Information (Detail) $ in Millions	3 Months Ended		9 Months Ended
	Mar. 31, 2017 USD ($) Customer	Mar. 25, 2016 USD ($) Customer	Mar. 31, 2017 USD ($) Customer Segment	Mar. 25, 2016 USD ($) Customer	Jun. 24, 2016 Customer
Segment Reporting Information [Line Items]
Number of operating segment \| Segment			1
Number of customers that contributed more than 10% of accounts receivable	2		2		2
Number of customers that contributed more than 10% of total revenues	1	1	1	1
Revenue \| Customer Concentration Risk
Segment Reporting Information [Line Items]
Concentration risk, percentage	15.00%	21.00%	18.00%	20.00%
North America
Segment Reporting Information [Line Items]
Long-lived assets \| $	$ 35.3	$ 33.4	$ 35.3	$ 33.4

Total Revenues by Geographic Regions (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2017	Mar. 25, 2016	Mar. 31, 2017	Mar. 25, 2016
Entity Wide Disclosure On Geographic Areas Revenue From External Customers Attributed To Individual Foreign And Domestic Countries [Line Items]
Revenues	$ 366,837	$ 250,888	$ 1,050,036	$ 700,359
North America
Entity Wide Disclosure On Geographic Areas Revenue From External Customers Attributed To Individual Foreign And Domestic Countries [Line Items]
Revenues	154,708	138,687	478,700	369,284
Asia Pacific
Entity Wide Disclosure On Geographic Areas Revenue From External Customers Attributed To Individual Foreign And Domestic Countries [Line Items]
Revenues	149,271	88,433	400,708	256,676
Europe
Entity Wide Disclosure On Geographic Areas Revenue From External Customers Attributed To Individual Foreign And Domestic Countries [Line Items]
Revenues	$ 62,858	$ 23,768	$ 170,628	$ 74,399

Other Income Related to Flooding, Net - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Mar. 25, 2016	Mar. 25, 2016
Unusual or Infrequent Item [Line Items]
Other income related to flooding	$ 900	$ 36
Final payment from insurer		800
Expense related to flooding		$ 800

Restricted Share Unit Activity (Parenthetical) (Detail)	Mar. 25, 2016 shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted share unit of shares vested but not settled	283