KLA Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Marketable Securities

Marketable Securities

9 Months Ended

Mar. 31, 2020

Investments, Debt and Equity Securities [Abstract]

The amortized cost and fair value of marketable securities as of the dates indicated below were as follows:



As of March 31, 2020 (In thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Corporate debt securities	$	389,870	$	307	$	(3,302	)	$	386,875
Money market funds and other	415,952		—		—			415,952
Municipal securities	19,531		161		(9		)	19,683
Sovereign securities	6,018		30		—			6,048
U.S. Government agency securities	78,416		272		(8		)	78,680
U.S. Treasury securities	194,710		2,266		(1		)	196,975
Subtotal	1,104,497		3,036		(3,320		)	1,104,213
Add: Time deposits ⁽¹⁾	85,834		—		—			85,834
Less: Cash equivalents	501,692		—		(1		)	501,691
Marketable securities	$	688,639	$	3,036	$	(3,319	)	$	688,356



As of June 30, 2019 (In thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Corporate debt securities	$	433,518	$	141	$	(582	)	$	433,077
Money market funds and other	352,708		—		—			352,708
Municipal securities	1,910		3		—			1,913
Sovereign securities	6,001		1		(8		)	5,994
U.S. Government agency securities	159,454		5		(241		)	159,218
U.S. Treasury securities	208,058		39		(401		)	207,696
Subtotal	1,161,649		189		(1,232		)	1,160,606
Add: Time deposits ⁽¹⁾	99,006		—		—			99,006
Less: Cash equivalents	536,206		17		(2		)	536,221
Marketable securities	$	724,449	$	172	$	(1,230	)	$	723,391

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(1) Time deposits excluded from fair value measurements.

Our investment portfolio consists of both corporate and government securities that have a maximum maturity of three years . The longer the duration of these securities, the more susceptible they are to changes in market interest rates and bond yields. As yields increase, those securities with a lower yield-at-cost show a mark-to-market unrealized loss. Most of our unrealized losses are due to changes in market interest rates and bond yields. We believe that we have the ability to realize the full value of all of these investments upon maturity. As of March 31, 2020 , we had 182 investments in an unrealized loss position. The following table summarizes the fair value and gross unrealized losses of our investments that were in an unrealized loss position as of the date indicated below, none of which were in a continuous loss position for 12 months or more:



As of March 31, 2020 (In thousands)	Fair Value		Gross Unrealized Losses
Corporate debt securities	$	304,859	$	(3,301	)
Municipal securities	2891年		(9		)
U.S. Government agency securities	10,669		(8		)
U.S Treasury securities	2,010		(1		)
Total	$	320,429	$	(3,319	)

The contractual maturities of securities classified as available-for-sale, regardless of their classification on our Condensed Consolidated Balance Sheets, as of the date indicated below were as follows:



As of March 31, 2020 (In thousands)	摊销有限公司st		Fair Value
Due within one year	$	329,627	$	329,836
Due after one year through three years	359,012		358,520
	$	688,639	$	688,356

Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Realized gains and losses on available-for-sale securities for the three and nine months ended March 31, 2020 and 2019 were immaterial.