QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 04-2742817 | |
(State of Incorporation) | (I.R.S. Employer Identification No.) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||
Common Stock, par value $0.01 per share | VICR | The NASDAQ Stock Market LLC |
Large accelerated filer | ☑ | Accelerated filer | ☐ | |||
Non-accelerated filer | ☐ | Smaller reporting company | ☐ | |||
Emerging growth company | ☐ |
Common Stock, $.01 par value | 32,225,594 | |||
Class B Common Stock, $.01 par value | 11,758,218 |
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EX-31.1 SECTION 302 CERTIFICATION OF CEO | ||||
SECTION 302 CERTIFICATION OF CFO | ||||
SECTION 906 CERTIFICATION OF CEO | ||||
SECTION 906 CERTIFICATION OF CFO |
June 30, 2021 | December 31, 2020 | |||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 159,763 | $ | 161,742 | ||||
Short-term investments | 70,469 | 50,166 | ||||||
Accounts receivable, less allowance of $82 in 2021 and 2020 | 55,012 | 40,999 | ||||||
Inventories, net | 57,129 | 57,269 | ||||||
Other current assets | 6,657 | 6,756 | ||||||
Total current assets | 349,030 | 316,932 | ||||||
Long-term deferred tax assets, net | 221 | 226 | ||||||
Long-term investments, net | 2,561 | 2,517 | ||||||
Property, plant and equipment, net | 92,956 | 74,843 | ||||||
Other assets | 1,608 | 1,721 | ||||||
Total assets | $ | 446,376 | $ | 396,239 | ||||
Liabilities and Equity | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 22,081 | $ | 14,121 | ||||
Accrued compensation and benefits | 15,794 | 14,094 | ||||||
Accrued expenses | 3,618 | 2,624 | ||||||
Short-term lease liabilities | 1,559 | 1,629 | ||||||
Sales allowances | 1,919 | 597 | ||||||
Income taxes payable | 890 | 139 | ||||||
Short-term deferred revenue and customer prepayments | 3,916 | 7,309 | ||||||
Total current liabilities | 49,777 | 40,513 | ||||||
Long-term deferred revenue | 573 | 733 | ||||||
Contingent consideration obligations | 46 | 227 | ||||||
Long-term income taxes payable | 649 | 643 | ||||||
Long-term lease liabilities | 2,439 | 2,968 | ||||||
Total liabilities | 53,484 | 45,084 | ||||||
Commitments and contingencies (Note 10) | 0 | 0 | ||||||
Equity: | ||||||||
Vicor Corporation stockholders’ equity: | ||||||||
Class B Common Stock: 10 votes per share, $.01 par value, 14,000,000 shares authorized, 11,758,218 shares issued and outstanding in 2021 and 2020 | 118 | 118 | ||||||
Common Stock: 1 vote per share, $.01 par value, 62,000,000 shares authorized | ||||||||
43,452,740 shares issued and 31,817,934 shares outstanding in 2021; | ||||||||
43,204,671 shares issued and 31,569,865 shares outstanding in 2020 | 436 | 433 | ||||||
Additional paid-in capital | 336,278 | 328,392 | ||||||
Retained earnings | 195,494 | 161,008 | ||||||
Accumulated other comprehensive loss | (813 | ) | (204 | ) | ||||
Treasury stock at cost: 11,634,806 shares in 2021 and 2020 | (138,927 | ) | (138,927 | ) | ||||
Total Vicor Corporation stockholders’ equity | 392,586 | 350,820 | ||||||
Noncontrolling interest | 306 | 335 | ||||||
Total equity | 392,892 | 351,155 | ||||||
Total liabilities and equity | $ | 446,376 | $ | 396,239 | ||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Net revenues | $ | 95,376 | $ | 70,761 | $ | 184,172 | $ | 134,162 | ||||||||
Cost of revenues | 45,505 | 40,443 | 89,601 | 76,513 | ||||||||||||
Gross margin | 49,871 | 30,318 | 94,571 | 57,649 | ||||||||||||
Operating expenses: | ||||||||||||||||
Selling, general and administrative | 16,589 | 15,455 | 33,543 | 31,824 | ||||||||||||
Research and development | 13,273 | 12,830 | 26,299 | 26,165 | ||||||||||||
Total operating expenses | 29,862 | 28,285 | 59,842 | 57,989 | ||||||||||||
Income (loss) from operations | 20,009 | 2,033 | 34,729 | (340 | ) | |||||||||||
Other income (expense), net: | ||||||||||||||||
Total unrealized gains (losses) on available-for-sale | 20 | (2 | ) | 44 | 45 | |||||||||||
Less: portion of (gains) losses recognized in other comprehensive income | (19 | ) | 3 | (42 | ) | (43 | ) | |||||||||
Net credit gains recognized in earnings | 1 | 1 | 2 | 2 | ||||||||||||
Other income (expense), net | 372 | 232 | 603 | 379 | ||||||||||||
Total other income (expense), net | 373 | 233 | 605 | 381 | ||||||||||||
Income before income taxes | 20,382 | 2,266 | 35,334 | 41 | ||||||||||||
Provision (benefit) for income taxes | 999 | (406 | ) | 856 | (900 | ) | ||||||||||
Consolidated net income | 19,383 | 2,672 | 34,478 | 941 | ||||||||||||
Less: Net (loss) income attributable to noncontrolling interest | (11 | ) | 5 | (8 | ) | 9 | ||||||||||
Net income attributable to Vicor Corporation | $ | 19,394 | $ | 2,667 | $ | 34,486 | $ | 932 | ||||||||
Net income per common share attributable to Vicor Corporation: | ||||||||||||||||
Basic | $ | 0.45 | $ | 0.06 | $ | 0.79 | $ | 0.02 | ||||||||
Diluted | $ | 0.43 | $ | 0.06 | $ | 0.77 | $ | 0.02 | ||||||||
Shares used to compute net income per common share attributable to Vicor Corporation: | ||||||||||||||||
Basic | 43,553 | 41,643 | 43,504 | 41,140 | ||||||||||||
Diluted | 44,841 | 43,385 | 44,841 | 42,980 | ||||||||||||
June 30, 2022 | December 31, 2021 | |||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 187,677 | $ | 182,418 | ||||
Short-term investments | 19,921 | 45,215 | ||||||
Accounts receivable, net | 54,536 | 55,097 | ||||||
Inventories | 83,055 | 67,322 | ||||||
Other current assets | 7,142 | 6,708 | ||||||
Total current assets | 352,331 | 356,760 | ||||||
Long-term deferred tax assets, net | 266 | 208 | ||||||
Long-term investment, net | 2,552 | 2,639 | ||||||
Property, plant and equipment, net | 156,815 | 115,975 | ||||||
Other assets | 1,392 | 1,623 | ||||||
Total assets | $ | 513,356 | $ | 477,205 | ||||
Liabilities and Equity | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 32,032 | $ | 21,189 | ||||
Accrued compensation and benefits | 13,128 | 12,660 | ||||||
Accrued expenses | 4,011 | 4,158 | ||||||
Short-term lease liabilities | 1,572 | 1,551 | ||||||
Sales allowances | 1,006 | 1,464 | ||||||
Accrued severance and other charges | 0— | 93 | ||||||
Income taxes payable | 2 | 66 | ||||||
Short-term deferred revenue and customer prepayments | 7,702 | 7,912 | ||||||
Total current liabilities | 59,453 | 49,093 | ||||||
Long-term deferred revenue | 270 | 413 | ||||||
Long-term income taxes payable | 577 | 569 | ||||||
Long-term lease liabilities | 7,952 | 3,225 | ||||||
Total liabilities | 68,252 | 53,300 | ||||||
Commitments and contingencies (Note 10) | 0 | 0 | ||||||
Equity: | ||||||||
Vicor Corporation stockholders’ equity: | ||||||||
Class B Common Stock: 10 votes per share, $.01 par value, 14,000,000 shares authorized, 11,758,218 shares issued and outstanding in 2022 and 2021 | 118 | 118 | ||||||
Common Stock: 1 vote per share, $.01 par value, 62,000,000 shares authorized 43,885,382 shares issued and 32,220,576 shares outstanding in 2022; 43,789,528 shares issued and 32,154,722 shares outstanding in 2021 | 440 | 439 | ||||||
Additional paid-in capital | 352,253 | 345,664 | ||||||
Retained earnings | 233,225 | 217,633 | ||||||
Accumulated other comprehensive loss | (2,246 | ) | (1,328 | ) | ||||
Treasury stock at cost: 11,634,806 shares in 2022 and 2021 | (138,927 | ) | (138,927 | ) | ||||
Total Vicor Corporation stockholders’ equity | 444,863 | 423,599 | ||||||
Noncontrolling interest | 241 | 306 | ||||||
Total equity | 445,104 | 423,905 | ||||||
Total liabilities and equity | $ | 513,356 | $ | 477,205 | ||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Net revenues | $ | 102,186 | $ | 95,376 | $ | 190,468 | $ | 184,172 | ||||||||
Cost of revenues | 55,337 | 45,505 | 106,018 | 89,601 | ||||||||||||
Gross margin | 46,849 | 49,871 | 84,450 | 94,571 | ||||||||||||
Operating expenses: | ||||||||||||||||
Selling, general and administrative | 20,035 | 16,589 | 38,603 | 33,543 | ||||||||||||
Research and development | 15,516 | 13,273 | 29,769 | 26,299 | ||||||||||||
Total operating expenses | 35,551 | 29,862 | 68,372 | 59,842 | ||||||||||||
Income from operations | 11,298 | 20,009 | 16,078 | 34,729 | ||||||||||||
Other income (expense), net: | ||||||||||||||||
Total unrealized gains (losses) on available-for-sale | 16 | 20 | (87 | ) | 44 | |||||||||||
Less: portion of (gains) losses recognized in other comprehensive income | (15 | ) | (19 | ) | 89 | (42 | ) | |||||||||
Net credit gains recognized in earnings | 1 | 1 | 2 | 2 | ||||||||||||
Other income (expense), net | 83 | 372 | 244 | 603 | ||||||||||||
Total other income (expense), net | 84 | 373 | 246 | 605 | ||||||||||||
Income before income taxes | 11,382 | 20,382 | 16,324 | 35,334 | ||||||||||||
Provision for income taxes | 802 | 999 | 754 | 856 | ||||||||||||
Consolidated net income | 10,580 | 19,383 | 15,570 | 34,478 | ||||||||||||
Less: Net loss attributable to | ||||||||||||||||
noncontrolling interest | (13 | ) | (11 | ) | (22 | ) | (8 | ) | ||||||||
Net income attributable to Vicor Corporation | $ | 10,593 | $ | 19,394 | $ | 15,592 | $ | 34,486 | ||||||||
Net income per common share attributable to Vicor Corporation: | ||||||||||||||||
Basic | $ | 0.24 | $ | 0.45 | $ | 0.35 | $ | 0.79 | ||||||||
Diluted | $ | 0.24 | $ | 0.43 | $ | 0.35 | $ | 0.77 | ||||||||
Shares used to compute net income per common share attributable to Vicor Corporation: | ||||||||||||||||
Basic | 43,973 | 43,553 | 43,963 | 43,504 | ||||||||||||
Diluted | 44,866 | 44,841 | 44,910 | 44,841 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Consolidated net income | $ | 19,383 | $ | 2,672 | $ | 34,478 | $ | 941 | ||||||||
Foreign currency translation (losses) gains, net of tax (1) | (10 | ) | (15 | ) | (271 | ) | 26 | |||||||||
Unrealized (losses) gains on available-for-sale | (231 | ) | (3 | ) | (359 | ) | 43 | |||||||||
Other comprehensive (loss) income | (241 | ) | (18 | ) | (630 | ) | 69 | |||||||||
Consolidated comprehensive income | 19,142 | 2,654 | 33,848 | 1,010 | ||||||||||||
Less: Comprehensive (loss) income attributable to noncontrolling interest | (12 | ) | 3 | (29 | ) | 11 | ||||||||||
Comprehensive income attributable to Vicor Corporation | $ | 19,154 | $ | 2,651 | $ | 33,877 | $ | 999 | ||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Consolidated net income | $ | 10,580 | $ | 19,383 | $ | 15,570 | $ | 34,478 | ||||||||
Foreign currency translation losses, net of tax (1) | (385 | ) | (10 | ) | (579 | ) | (271 | ) | ||||||||
Unrealized losses on available-for-sale | (66 | ) | (231 | ) | (382 | ) | (359 | ) | ||||||||
Other comprehensive loss | (451 | ) | (241 | ) | (961 | ) | (630 | ) | ||||||||
Consolidated comprehensive income | 10,129 | 19,142 | 14,609 | 33,848 | ||||||||||||
Less: Comprehensive loss attributable to noncontrolling interest | (42 | ) | (12 | ) | (65 | ) | (29 | ) | ||||||||
Comprehensive income attributable to Vicor Corporation | $ | 10,171 | $ | 19,154 | $ | 14,674 | $ | 33,877 | ||||||||
(1) | The deferred tax assets associated with foreign currency translation available-for-sale June 30, and June 30, |
Six Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2021 | 2020 | 2022 | 2021 | |||||||||||||
Operating activities: | ||||||||||||||||
Consolidated net income | $ | 34,478 | $ | 941 | $ | 15,570 | $ | 34,478 | ||||||||
Adjustments to reconcile consolidated net income to net cash provided by (used for) operating activities: | ||||||||||||||||
Adjustments to reconcile consolidated net income to net cash provided by operating activities: | ||||||||||||||||
Depreciation and amortization | 5,618 | 5,439 | 6,665 | 5,618 | ||||||||||||
Stock-based compensation expense, net | 3,138 | 2,646 | ||||||||||||||
Stock-based compensation expense | 4,616 | 3,138 | ||||||||||||||
Decrease in long-term deferred revenue | (160 | ) | (160 | ) | (143 | ) | (160 | ) | ||||||||
Loss (gain) on disposal of equipment | 106 | (6 | ) | |||||||||||||
Decrease in contingent consideration obligations | (74 | ) | — | — | (74 | ) | ||||||||||
Decrease in other assets | 37 | 95 | ||||||||||||||
Gain on disposal of equipment | — | 106 | ||||||||||||||
Increase in other assets | 133 | 37 | ||||||||||||||
Increase in long-term income taxes payable | 6 | 4 | 8 | 6 | ||||||||||||
Deferred income taxes | 5 | 17 | (58 | ) | 5 | |||||||||||
Credit gain on available-for-sale | (2 | ) | (2 | ) | (2 | ) | (2 | ) | ||||||||
Provision for doubtful accounts | — | 23 | ||||||||||||||
Change in current assets and liabilities, net | (13,037 | ) | (5,233 | ) | (11,381 | ) | (13,037 | ) | ||||||||
Net cash provided by operating activities | 30,115 | 3,764 | 15,408 | 30,115 | ||||||||||||
Investing activities: | ||||||||||||||||
Purchases of short-term investments | (50,706 | ) | — | — | (50,706 | ) | ||||||||||
Sales or maturities of short-term investments | 30,000 | — | 25,000 | 30,000 | ||||||||||||
Additions to property, plant and equipment | (15,782 | ) | (8,724 | ) | (36,878 | ) | (15,782 | ) | ||||||||
Other | (106 | ) | 6 | — | (106 | ) | ||||||||||
Net cash used for investing activities | (36,594 | ) | (8,718 | ) | (11,878 | ) | (36,594 | ) | ||||||||
Financing activities: | ||||||||||||||||
Proceeds from employee stock plans | 4,751 | 7,385 | 1,974 | 4,751 | ||||||||||||
Payment of contingent consideration obligations | (107 | ) | (144 | ) | — | (107 | ) | |||||||||
Proceeds from public offering of Common Stock | — | 109,732 | ||||||||||||||
Net cash provided by financing activities | 4,644 | 116,973 | 1,974 | 4,644 | ||||||||||||
Effect of foreign exchange rates on cash | (144 | ) | 17 | (245 | ) | (144 | ) | |||||||||
Net (decrease) increase in cash and cash equivalents | (1,979 | ) | 112,036 | |||||||||||||
Net increase (decrease) in cash and cash equivalents | 5,259 | (1,979 | ) | |||||||||||||
Cash and cash equivalents at beginning of period | 161,742 | 84,668 | 182,418 | 161,742 | ||||||||||||
Cash and cash equivalents at end of period | $ | 159,763 | $ | 196,704 | $ | 187,677 | $ | 159,763 | ||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | �� | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | |||||||||||||||||||||||||||
Three months ended June 30, 2022 | ||||||||||||||||||||||||||||||||||||
Balance on March 31, 2022 | $ | 118 | $ | 440 | $ | 349,467 | $ | 222,632 | $ | (1,824 | ) | $ | (138,927 | ) | $ | 431,906 | $ | 283 | $ | 432,189 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 164 | 164 | 164 | |||||||||||||||||||||||||||||||||
Stock-based compensation expense | 2,622 | 2,622 | 2,622 | |||||||||||||||||||||||||||||||||
Components of comprehensive income (loss), net of tax: | ||||||||||||||||||||||||||||||||||||
Net income (loss) | 10,593 | 10,593 | (13 | ) | 10,580 | |||||||||||||||||||||||||||||||
Other comprehensive loss | (422 | ) | (422 | ) | (29 | ) | (451 | ) | ||||||||||||||||||||||||||||
Total comprehensive income (loss) | 10,171 | (42 | ) | 10,129 | ||||||||||||||||||||||||||||||||
Balance on June 30, 2022 | $ | 118 | $ | 440 | $ | 352,253 | $ | 233,225 | $ | (2,246 | ) | $ | (138,927 | ) | $ | 444,863 | $ | 241 | $ | 445,104 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Three months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||||
Balance on March 31, 2021 | $ | 118 | $ | 435 | $ | 333,011 | $ | 176,100 | $ | (573 | ) | $ | (138,927 | ) | $ | 370,164 | $ | 318 | $ | 370,482 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 1 | 1,700 | 1,701 | 1,701 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 1,567 | 1,567 | 1,567 | |||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 19,394 | 19,394 | (11 | ) | 19,383 | |||||||||||||||||||||||||||||||
Other comprehensive loss | (240 | ) | (240 | ) | (1 | ) | (241 | ) | ||||||||||||||||||||||||||||
Total comprehensive income (loss) | 19,154 | (12 | ) | 19,142 | ||||||||||||||||||||||||||||||||
Balance on June 30, 2021 | $ | 118 | $ | 436 | $ | 336,278 | $ | 195,494 | $ | (813 | ) | $ | (138,927 | ) | $ | 392,586 | $ | 306 | $ | 392,892 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Six months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||||
Balance on December 31, 2020 | $ | 118 | $ | 433 | $ | 328,392 | $ | 161,008 | $ | (204 | ) | $ | (138,927 | ) | $ | 350,820 | $ | 335 | $ | 351,155 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 3 | 4,748 | 4,751 | 4,751 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 3,138 | 3,138 | 3,138 | |||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 34,486 | 34,486 | (8 | ) | 34,478 | |||||||||||||||||||||||||||||||
Other comprehensive loss | (609 | ) | (609 | ) | (21 | ) | (630 | ) | ||||||||||||||||||||||||||||
Total comprehensive income (loss) | 33,877 | (29 | ) | 33,848 | ||||||||||||||||||||||||||||||||
Balance on June 30, 2021 | $ | 118 | $ | 436 | $ | 336,278 | $ | 195,494 | $ | (813 | ) | $ | (138,927 | ) | $ | 392,586 | $ | 306 | $ | 392,892 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Three months ended June 30, 2020 | ||||||||||||||||||||||||||||||||||||
Balance on March 31, 2020 | $ | 118 | $ | 407 | $ | 204,020 | $ | 141,363 | $ | (300 | ) | $ | (138,927 | ) | $ | 206,681 | $ | 316 | $ | 206,997 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 6 | 5,318 | 5,324 | 5,324 | ||||||||||||||||||||||||||||||||
Issuances of Common Stock in public offering | 18 | 109,714 | 109,732 | 109,732 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 1,936 | 1,936 | 1,936 | |||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 2,667 | 2,667 | 5 | 2,672 | ||||||||||||||||||||||||||||||||
Other comprehensive loss | (16 | ) | (16 | ) | (2 | ) | (18 | ) | ||||||||||||||||||||||||||||
Total comprehensive income | 2,651 | 3 | 2,654 | |||||||||||||||||||||||||||||||||
Balance on June 30, 2020 | $ | 118 | $ | 431 | $ | 320,988 | $ | 144,030 | $ | (316 | ) | $ | (138,927 | ) | $ | 326,324 | $ | 319 | $ | 326,643 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Six months ended June 30, 2022 | ||||||||||||||||||||||||||||||||||||
Balance on December 31, 2021 | $ | 118 | $ | 439 | $ | 345,664 | $ | 217,633 | $ | (1,328 | ) | $ | (138,927 | ) | $ | 423,599 | $ | 306 | $ | 423,905 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 1 | 1,973 | 1,974 | 1,974 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 4,616 | 4,616 | 4,616 | |||||||||||||||||||||||||||||||||
Components of comprehensive income (loss), net of tax: | ||||||||||||||||||||||||||||||||||||
Net income (loss) | 15,592 | 15,592 | (22 | ) | 15,570 | |||||||||||||||||||||||||||||||
Other comprehensive loss | (918 | ) | (918 | ) | (43 | ) | (961 | ) | ||||||||||||||||||||||||||||
Total comprehensive income (loss) | 14,674 | (65 | ) | 14,609 | ||||||||||||||||||||||||||||||||
Balance on June 30, 2022 | $ | 118 | $ | 440 | $ | 352,253 | $ | 233,225 | $ | (2,246 | ) | $ | (138,927 | ) | $ | 444,863 | $ | 241 | $ | 445,104 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Three months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||||
Balance on March 31, 2021 | $ | 118 | $ | 435 | $ | 333,011 | $ | 176,100 | $ | (573 | ) | $ | (138,927 | ) | $ | 370,164 | $ | 318 | $ | 370,482 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 1 | 1,700 | 1,701 | 1,701 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 1,567 | 1,567 | 1,567 | |||||||||||||||||||||||||||||||||
Components of comprehensive income (loss), net of tax: | ||||||||||||||||||||||||||||||||||||
Net income (loss) | 19,394 | 19,394 | (11 | ) | 19,383 | |||||||||||||||||||||||||||||||
Other comprehensive loss | (240 | ) | (240 | ) | (1 | ) | (241 | ) | ||||||||||||||||||||||||||||
Total comprehensive income (loss) | 19,154 | (12 | ) | 19,142 | ||||||||||||||||||||||||||||||||
Balance on June 30, 2021 | $ | 118 | $ | 436 | $ | 336,278 | $ | 195,494 | $ | (813 | ) | $ | (138,927 | ) | $ | 392,586 | $ | 306 | $ | 392,892 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Six months ended June 30, 2020 | ||||||||||||||||||||||||||||||||||||
Balance on December 31, 2019 | $ | 118 | $ | 405 | $ | 201,251 | $ | 143,098 | $ | (383 | ) | $ | (138,927 | ) | $ | 205,562 | $ | 308 | $ | 205,870 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 8 | 7,377 | 7,385 | 7,385 | ||||||||||||||||||||||||||||||||
Issuances of Common Stock in public offering | 18 | 109,714 | 109,732 | 109,732 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 2,646 | 2,646 | 2,646 | |||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 932 | 932 | 9 | 941 | ||||||||||||||||||||||||||||||||
Other comprehensive income | 67 | 67 | 2 | 69 | ||||||||||||||||||||||||||||||||
Total comprehensive income | 999 | 11 | 1,010 | |||||||||||||||||||||||||||||||||
Balance on June 30, 2020 | $ | 118 | $ | 431 | $ | 320,988 | $ | 144,030 | $ | (316 | ) | $ | (138,927 | ) | $ | 326,324 | $ | 319 | $ | 326,643 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Six months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||||
Balance on December 31, 2020 | $ | 118 | $ | 433 | $ | 328,392 | $ | 161,008 | $ | (204 | ) | $ | (138,927 | ) | $ | 350,820 | $ | 335 | $ | 351,155 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 3 | 4,748 | 4,751 | 4,751 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 3,138 | 3,138 | 3,138 | |||||||||||||||||||||||||||||||||
Components of comprehensive income (loss), net of tax: | ||||||||||||||||||||||||||||||||||||
Net income (loss) | 34,486 | 34,486 | (8 | ) | 34,478 | |||||||||||||||||||||||||||||||
Other comprehensive loss | (609 | ) | (609 | ) | (21 | ) | (630 | ) | ||||||||||||||||||||||||||||
Total comprehensive income (loss) | 33,877 | (29 | ) | 33,848 | ||||||||||||||||||||||||||||||||
Balance on June 30, 2021 | $ | 118 | $ | 436 | $ | 336,278 | $ | 195,494 | $ | (813 | ) | $ | (138,927 | ) | $ | 392,586 | $ | 306 | $ | 392,892 | ||||||||||||||||
June 30, 2021 | December 31, 2020 | |||||||
Raw materials | $ | 42,530 | $ | 42,556 | ||||
Work-in-process | 10,101 | 7,424 | ||||||
Finished goods | 4,498 | 7,289 | ||||||
$ | 57,129 | $ | 57,269 | |||||
June 30, 2022 | December 31, 2021 | |||||||
Raw materials | $ | 64,978 | $ | 51,289 | ||||
Work-in-process | 12,735 | 12,514 | ||||||
Finished goods | 5,342 | 3,519 | ||||||
$ | 83,055 | $ | 67,322 | |||||
June 30, 2021 | ||||||||||||
Cash and Cash Equivalents | Short-Term Investments | Long-Term Investments | ||||||||||
Measured at fair value: | ||||||||||||
Available-for-sale | ||||||||||||
Money market funds | $ | 68,978 | $ | — | $ | — | ||||||
U.S. Treasury Obligations | — | 70,469 | — | |||||||||
Failed Auction Security | — | — | 2,561 | |||||||||
Total | 68,978 | 70,469 | 2,561 | |||||||||
Other measurement basis: | ||||||||||||
Cash on hand | 90,785 | — | — | |||||||||
Total | $ | 159,763 | $ | 70,469 | $ | 2,561 | ||||||
December 31, 2020 | ||||||||||||
Cash and Cash Equivalents | Short-Term Investments | Long-Term Investments | ||||||||||
Measured at fair value: | ||||||||||||
Available-for-sale | ||||||||||||
Money market funds | $ | 69,493 | $ | — | $ | — | ||||||
U.S. Treasury Obligations | 19,998 | 50,166 | — | |||||||||
Failed Auction Security | — | — | 2,517 | |||||||||
Total | 89,491 | 50,166 | 2,517 | |||||||||
Other measurement basis: | ||||||||||||
Cash on hand | 72,251 | — | — | |||||||||
Total | $ | 161,742 | $ | 50,166 | $ | 2,517 | ||||||
June 30, 2022 | ||||||||||||
Cash and Cash Equivalents | Short-Term Investments | Long-Term Investment | ||||||||||
Measured at fair value: | ||||||||||||
Available-for-sale | ||||||||||||
Money market funds | $ | 119,736 | $ | — | $ | — | ||||||
U.S. Treasury Obligations | — | 19,921 | — | |||||||||
Failed Auction Security | — | — | 2,552 | |||||||||
Total | 119,736 | 19,921 | 2,552 | |||||||||
Other measurement basis: | ||||||||||||
Cash on hand | 67,941 | — | — | |||||||||
Total | $ | 187,677 | $ | 19,921 | $ | 2,552 | ||||||
December 31, 2021 | ||||||||||||
Cash and Cash Equivalents | Short-Term Investments | Long- Term Investment | ||||||||||
Measured at fair value: | ||||||||||||
Available-for-sale | ||||||||||||
Money market funds | $ | 94,282 | $ | — | $ | — | ||||||
U.S. Treasury Obligations | — | 45,215 | — | |||||||||
Failed Auction Security | — | — | 2,639 | |||||||||
Total | 94,282 | 45,215 | 2,639 | |||||||||
Other measurement basis: | ||||||||||||
Cash on hand | 88,136 | — | — | |||||||||
Total | $ | 182,418 | $ | 45,215 | $ | 2,639 | ||||||
June 30, 2021 | Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||
U.S. Treasury Obligations | $ | 70,470 | $ | 0 | $ | 1 | $ | 70,469 | ||||||||
Failed Auction Security | 3,000 | — | 439 | 2,561 | ||||||||||||
December 31, 2020 | Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||
U.S. Treasury Obligations | $ | 70,172 | $ | — | $ | 8 | $ | 70,164 | ||||||||
Failed Auction Security | 3,000 | — | 483 | 2,517 |
June 30, 2022 | Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||
U.S. Treasury Obligations | $ | 20,083 | $ | — | $ | 162 | $ | 19,921 | ||||||||
Failed Auction Security | 3,000 | — | 448 | 2,552 |
December 31, 2021 | Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||
U.S. Treasury Obligations | $ | 45,238 | $ | — | $ | 23 | $ | 45,215 | ||||||||
Failed Auction Security | 3,000 | — | 361 | 2,639 |
Cost | Estimated Fair Value | |||||||
U.S. Treasury Obligations: | ||||||||
Maturities greater than three months but less than one year | $ | 70,470 | $ | 70,469 | ||||
$ | 70,470 | $ | 70,469 | |||||
Cost | Estimated Fair Value | |||||||
Failed Auction Security: | ||||||||
Due in twenty to forty years | $ | 3,000 | $ | 2,561 | ||||
Cost | Estimated Fair Value | |||||||
U.S. Treasury Obligations: | ||||||||
Maturities greater than three months but less than one year | $ | 20,083 | $ | 19,921 | ||||
Cost | Estimated Fair Value | |||||||
Failed Auction Security: | ||||||||
Due in twenty years | $ | 3,000 | $ | 2,552 | ||||
2021 | 2020 | |||||||
Balance at the beginning of the period | $ | 33 | $ | 37 | ||||
Reductions in the amount related to credit gain for which other-than- temporary impairment was not previously recognized | (2 | ) | (2 | ) | ||||
Balance at the end of the period | $ | 31 | $ | 35 | ||||
Using | ||||||||||||||||
Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Fair Value as of June 30, 2021 | |||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 68,978 | $ | — | $ | — | $ | 68,978 | ||||||||
Short-term investments: | ||||||||||||||||
U.S. Treasury Obligations | 70,469 | — | — | 70,469 | ||||||||||||
Long-term investment: | ||||||||||||||||
Failed Auction Security | — | — | 2,561 | 2,561 | ||||||||||||
Liabilities: | ||||||||||||||||
Contingent consideration obligations | — | — | (46 | ) | (46 | ) |
Using | ||||||||||||||||
Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Fair Value as of June 30, 2022 | |||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 119,736 | $ | — | $ | — | $ | 119,736 | ||||||||
Short-term investments: | ||||||||||||||||
U.S. Treasury Obligations | 19,921 | — | — | 19,921 | ||||||||||||
Long-term investment: | ||||||||||||||||
Failed Auction Security | — | — | 2,552 | 2,552 |
Using | ||||||||||||||||
Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Fair Value as of December 31, 2020 | |||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 69,493 | $ | — | $ | — | $ | 69,493 | ||||||||
U.S. Treasury Obligations | 19,998 | — | — | 19,998 | ||||||||||||
Short-term investments: | ||||||||||||||||
U.S. Treasury Obligations | 50,166 | — | — | 50,166 | ||||||||||||
Long-term investment: | ||||||||||||||||
Failed Auction Security | — | — | 2,517 | 2,517 | ||||||||||||
Liabilities: | ||||||||||||||||
Contingent consideration obligations | — | — | (227 | ) | (227 | ) |
Using | ||||||||||||||||
Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Fair Value as of December 31, 2021 | |||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 94,282 | $ | — | $ | — | $ | 94,282 | ||||||||
Short-term investments: | ||||||||||||||||
U.S. Treasury Obligations | 45,215 | — | — | 45,215 | ||||||||||||
Long-term investment: | ||||||||||||||||
Failed Auction Security | — | — | 2,639 | 2,639 |
Fair Value | Valuation Technique | Unobservable Input | Weighted Average | |||||||||
Failed Auction Security | $ | 2,561 | Discounted cash flow | Cumulative probability of earning the maximum rate until maturity | 0.15 | % | ||||||
Cumulative probability of principal return prior to maturity | 94.27 | % | ||||||||||
Cumulative probability of default | 5.58 | % | ||||||||||
Liquidity risk premium | 5.00 | % | ||||||||||
Recovery rate in default | 40.00 | % |
Balance at the beginning of the period | $ | 2,517 | ||
Credit gain on available-for-sale | 2 | |||
Gain included in Other comprehensive income | 42 | |||
Balance at the end of the period | $ | 2,561 | ||
Balance at the beginning of the period | $ | 227 | ||
Payments | (107 | ) | ||
Decrease in contingent consideration obligations | (74 | ) | ||
Balance at the end of the period | $ | 46 | ||
Balance at the beginning of the period | $ | 2,639 | ||
Credit gain on available-for-sale | 2 | |||
Loss included in Other comprehensive income | (89 | ) | ||
Balance at the end of the period | $ | 2,552 | ||
Three Months Ended June 30, 2021 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
United States | $ | 19,708 | $ | 14,356 | $ | 34,064 | ||||||
Europe | 10,224 | 1,285 | 11,509 | |||||||||
Asia Pacific | 24,045 | 25,339 | 49,384 | |||||||||
All other | 375 | 44 | 419 | |||||||||
$ | 54,352 | $ | 41,024 | $ | 95,376 | |||||||
Six Months Ended June 30, 2021 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
United States | $ | 38,291 | $ | 22,905 | $ | 61,196 | ||||||
Europe | 18,420 | 2,280 | 20,700 | |||||||||
Asia Pacific | 51,373 | 49,992 | 101,365 | |||||||||
All other | 727 | 184 | 911 | |||||||||
$ | 108,811 | $ | 75,361 | $ | 184,172 | |||||||
Three Months Ended June 30, 2020 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
United States | $ | 15,005 | $ | 5,217 | $ | 20,222 | ||||||
Europe | 9,427 | 2,289 | 11,716 | |||||||||
Asia Pacific | 21,383 | 16,774 | 38,157 | |||||||||
All other | 613 | 53 | 666 | |||||||||
$ | 46,428 | $ | 24,333 | $ | 70,761 | |||||||
Six Months Ended June 30, 2020 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
United States | $ | 40,975 | $ | 12,814 | $ | 53,789 | ||||||
Europe | 13,995 | 3,168 | 17,163 | |||||||||
Asia Pacific | 35,039 | 26,150 | 61,189 | |||||||||
All other | 1,936 | 85 | 2,021 | |||||||||
$ | 91,945 | $ | 42,217 | $ | 134,162 | |||||||
Three Months Ended June 30, 2022 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
United States | $ | 18,668 | $ | 12,782 | $ | 31,450 | ||||||
Europe | 5,041 | 2,229 | 7,270 | |||||||||
Asia Pacific | 9,846 | 52,550 | 62,396 | |||||||||
All other | 968 | 102 | 1,070 | |||||||||
$ | 34,523 | $ | 67,663 | $ | 102,186 | |||||||
Six Months Ended June 30, 2022 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
United States | $ | 32,729 | $ | 23,408 | $ | 56,137 | ||||||
Europe | 12,083 | 4,997 | 17,080 | |||||||||
Asia Pacific | 23,367 | 92,045 | 115,412 | |||||||||
All other | 1,701 | 138 | 1,839 | |||||||||
$ | 69,880 | $ | 120,588 | $ | 190,468 | |||||||
Three Months Ended June 30, 2021 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
United States | $ | 19,708 | $ | 14,356 | $ | 34,064 | ||||||
Europe | 10,224 | 1,285 | 11,509 | |||||||||
Asia Pacific | 24,045 | 25,339 | 49,384 | |||||||||
All other | 375 | 44 | 419 | |||||||||
$ | 54,352 | $ | 41,024 | $ | 95,376 | |||||||
Six Months Ended June 30, 2021 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
United States | $ | 38,291 | $ | 22,905 | $ | 61,196 | ||||||
Europe | 18,420 | 2,280 | 20,700 | |||||||||
Asia Pacific | 51,373 | 49,992 | 101,365 | |||||||||
All other | 727 | 184 | 911 | |||||||||
$ | 108,811 | $ | 75,361 | $ | 184,172 | |||||||
Three Months Ended June 30, 2021 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 37,614 | $ | 32,644 | $ | 70,258 | ||||||
Stocking distributors, net of sales allowances | 16,634 | 4,634 | 21,268 | |||||||||
Non-recurring engineering | 104 | 3,726 | 3,830 | |||||||||
Royalties | — | 3 | 3 | |||||||||
Other | — | 17 | 17 | |||||||||
$ | 54,352 | $ | 41,024 | $ | 95,376 | |||||||
Six Months Ended June 30, 2021 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 81,422 | $ | 61,701 | $ | 143,123 | ||||||
Stocking distributors, net of sales allowances | 27,181 | 8,772 | 35,953 | |||||||||
Non-recurring engineering | 208 | 4,797 | 5,005 | |||||||||
Royalties | — | 56 | 56 | |||||||||
Other | — | 35 | 35 | |||||||||
$ | 108,811 | $ | 75,361 | $ | 184,172 | |||||||
Three Months Ended June 30, 2020 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 39,472 | $ | 20,044 | $ | 59,516 | ||||||
Stocking distributors, net of sales allowances | 6,814 | 1,576 | 8,390 | |||||||||
Non-recurring engineering | 142 | 2,695 | 2,837 | |||||||||
Other | — | 18 | 18 | |||||||||
$ | 46,428 | $ | 24,333 | $ | 70,761 | |||||||
Three Months Ended June 30, 2022 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 23,566 | $ | 61,979 | $ | 85,545 | ||||||
Stocking distributors, net of sales allowances | 10,908 | 3,102 | 14,010 | |||||||||
Non-recurring engineering | 49 | 1,908 | 1,957 | |||||||||
Royalties | — | 656 | 656 | |||||||||
Other | — | 18 | 18 | |||||||||
$ | 34,523 | $ | 67,663 | $ | 102,186 | |||||||
Six Months Ended June 30, 2022 | ||||||||||||
Brick | Advanced | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 47,967 | $ | 109,450 | $ | 157,417 | ||||||
Stocking distributors, net of sales allowances | 21,672 | 6,846 | 28,518 | |||||||||
Non-recurring engineering | 241 | 3,294 | 3,535 | |||||||||
Royalties | — | 962 | 962 | |||||||||
Other | — | 36 | 36 | |||||||||
$ | 69,880 | $ | 120,588 | $ | 190,468 | |||||||
Three Months Ended June 30, 2021 | ||||||||||||
Brick | Advanced | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 37,614 | $ | 32,644 | $ | 70,258 | ||||||
Stocking distributors, net of sales allowances | 16,634 | 4,634 | 21,268 | |||||||||
Non-recurring engineering | 104 | 3,726 | 3,830 | |||||||||
Royalties | — | 3 | 3 | |||||||||
Other | — | 17 | 17 | |||||||||
$ | 54,352 | $ | 41,024 | $ | 95,376 | |||||||
Six Months Ended June 30, 2020 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 75,211 | $ | 34,811 | $ | 110,022 | ||||||
Stocking distributors, net of sales allowances | 16,436 | 4,638 | 21,074 | |||||||||
Non-recurring engineering | 298 | 2,732 | 3,030 | |||||||||
Other | — | 36 | 36 | |||||||||
$ | 91,945 | $ | 42,217 | $ | 134,162 | |||||||
Six Months Ended June 30, 2021 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 81,422 | $ | 61,701 | $ | 143,123 | ||||||
Stocking distributors, net of sales allowances | 27,181 | 8,772 | 35,953 | |||||||||
Non-recurring engineering | 208 | 4,797 | 5,005 | |||||||||
Royalties | — | 56 | 56 | |||||||||
Other | — | 35 | 35 | |||||||||
$ | 108,811 | $ | 75,361 | $ | 184,172 | |||||||
June 30, 2021 | December 31, 2020 | Change | ||||||||||
Accounts receivable | $ | 55,012 | $ | 40,999 | $ | 14,013 | ||||||
Short-term deferred revenue and customer prepayments | (3,916 | ) | (7,309 | ) | 3,393 | |||||||
Long-term deferred revenue | (573 | ) | (733 | ) | 160 | |||||||
Deferred expenses | 980 | 1,650 | (670 | ) | ||||||||
Sales allowances | (1,919 | ) | (597 | ) | (1,322 | ) |
June 30, 2022 | December 31, 2021 | Change | ||||||||||
Short-term deferred revenue and customer prepayments | $ | (7,702 | ) | $ | (7,912 | ) | $ | 210 | ||||
Long-term deferred revenue | (270 | ) | (413 | ) | 143 | |||||||
Deferred expenses | 559 | 560 | (1 | ) | ||||||||
Sales allowances | (1,006 | ) | (1,464 | ) | 458 |
6. | Stock-Based Compensation |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||
Cost of revenues | $ | 252 | $ | 277 | $ | 480 | $ | 396 | $ | 431 | $ | 252 | $ | 682 | $ | 480 | ||||||||||||||||
Selling, general and administrative | 779 | 1,030 | 1,632 | 1,467 | 1,440 | 779 | 2,647 | 1,632 | ||||||||||||||||||||||||
Research and development | 536 | 629 | 1,026 | 783 | 751 | 536 | 1,287 | 1,026 | ||||||||||||||||||||||||
Total stock-based compensation | $ | 1,567 | $ | 1,936 | $ | 3,138 | $ | 2,646 | $ | 2,622 | $ | 1,567 | $ | 4,616 | $ | 3,138 | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Stock options | $ | 1,336 | $ | 1,737 | $ | 2,667 | $ | 2,243 | ||||||||
ESPP | 231 | 199 | 471 | 403 | ||||||||||||
Total stock-based compensation | $ | 1,567 | $ | 1,936 | $ | 3,138 | $ | 2,646 | ||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Stock options | $ | 2,351 | $ | 1,336 | $ | 4,110 | $ | 2,667 | ||||||||
ESPP | 271 | 231 | 506 | 471 | ||||||||||||
Total stock-based compensation | $ | 2,622 | $ | 1,567 | $ | 4,616 | $ | 3,138 | ||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Provision (benefit) for income taxes | $ | 999 | $ | (406 | ) | $ | 856 | $ | (900 | ) | ||||||
Effective income tax rate | 4.9 | % | (17.9 | )% | 2.4 | % | (2,195.1 | )% |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Provision for income taxes | $ | 802 | $ | 999 | $ | 754 | $ | 856 | ||||||||
Effective income tax rate | 7.0 | % | 4.9 | % | 4.6 | % | 2.4 | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Numerator: | ||||||||||||||||
Net income attributable to Vicor Corporation | $ | 19,394 | $ | 2,667 | $ | 34,486 | $ | 932 | ||||||||
Denominator: | ||||||||||||||||
Denominator for basic net income per share-weighted average shares (1) | 43,553 | 41,643 | 43,504 | 41,140 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Employee stock options (2) | 1,288 | 1,742 | 1,337 | 1,840 | ||||||||||||
Denominator for diluted net income per share – adjusted weighted-average shares and assumed conversions | 44,841 | 43,385 | 44,841 | 42,980 | ||||||||||||
Basic net income per share | $ | 0.45 | $ | 0.06 | $ | 0.79 | $ | 0.02 | ||||||||
Diluted net income per share | $ | 0.43 | $ | 0.06 | $ | 0.77 | $ | 0.02 | ||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Numerator: | ||||||||||||||||
Net income attributable to Vicor Corporation | $ | 10,593 | $ | 19,394 | $ | 15,592 | $ | 34,486 | ||||||||
Denominator: | ||||||||||||||||
Denominator for basic net income per share-weighted average shares (1) | 43,973 | 43,553 | 43,963 | 43,504 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Employee stock options (2) | 893 | 1,288 | 947 | 1,337 | ||||||||||||
Denominator for diluted net income per share – adjusted weighted-average shares and assumed conversions | 44,866 | 44,841 | 44,910 | 44,841 | ||||||||||||
Basic net income per share | $ | 0.24 | $ | 0.45 | $ | 0.35 | $ | 0.79 | ||||||||
Diluted net income per share | $ | 0.24 | $ | 0.43 | $ | 0.35 | $ | 0.77 | ||||||||
(1) | Denominator represents weighted average number of shares of Common Stock and Class B Common Stock outstanding. |
(2) | Options to purchase 898,640 and 658,014 shares of Common Stock for the three and six months ended June 30, 2022, respectively, and options to purchase 138,125 and 90,339 shares of Common Stock for the three and six months ended June 30, 2021, |
10. | Commitments and Contingencies |
11. | Impact of Recently Issued Accounting Standards |
Increase | ||||||||||||||||||||||||||||||||
2021 | 2020 | $ | % | Increase (decrease) | ||||||||||||||||||||||||||||
2022 | 2021 | $ | % | |||||||||||||||||||||||||||||
Brick Products | $ | 54,352 | $ | 46,428 | $ | 7,924 | 17.1 | % | $ | 34,523 | $ | 54,352 | $ | (19,829) | (36.5 | )% | ||||||||||||||||
Advanced Products | 41,024 | 24,333 | 16,691 | 68.6 | % | 67,663 | 41,024 | 26,639 | 64.9 | % | ||||||||||||||||||||||
Total | $ | 95,376 | $ | 70,761 | $ | 24,615 | 34.8 | % | $ | 102,186 | $ | 95,376 | $ | 6,810 | 7.1 | % | ||||||||||||||||
Increase (decrease) | ||||||||||||||||||||
Increase (decrease) | ||||||||||||||||||||
Legal fees | $ | 510 | 213.6 | % | (1 | ) | $ | 1,534 | 204.9 | %(1) | ||||||||||
Advertising | 307 | 44.2 | % | (2 | ) | |||||||||||||||
Compensation | 191 | 1.8 | % | (3 | ) | 1,466 | 13.6 | %(2) | ||||||||||||
Outside services | 278 | 51.1 | %(3) | |||||||||||||||||
Travel expense | 89 | 53.0 | % | (4 | ) | 251 | 97.9 | %(4) | ||||||||||||
Depreciation and amortization | 63 | 8.1 | % | |||||||||||||||||
Commissions | (92 | ) | (10.6 | )% | (5 | ) | ||||||||||||||
Computer and software expense | 125 | 40.5 | % | |||||||||||||||||
Facilities allocations | (127 | ) | (33.0 | )% | ||||||||||||||||
Other, net | 66 | 3.0 | % | (81 | ) | (2.2 | )% | |||||||||||||
$ | 1,134 | 7.3 | % | $ | 3,446 | 20.8 | % | |||||||||||||
(1) | Increase primarily attributable to an increase in activity related to the SynQor litigation (see Note |
(2) | Increase primarily attributable to |
(3) | Increase primarily attributable to |
(4) | Increase primarily attributable to |
Increase (decrease) | ||||||||||||||||
Increase | ||||||||||||||||
Compensation | $ | 375 | 4.1 | % (1) | $ | 818 | 8.6 | %(1) | ||||||||
Overhead absorption | 373 | 47.5 | %(2) | |||||||||||||
Supplies | 297 | 74.3 | %(3) | |||||||||||||
Project and pre-production materials | 321 | | 16.6 | % (2) | 226 | 10.0 | % | |||||||||
Supplies | 79 | 24.7 | % | |||||||||||||
Depreciation and amortization | 106 | 21.4 | % | |||||||||||||
Facilities allocations | 55 | 9.4 | % | 99 | 15.6 | % | ||||||||||
Freight | 40 | 153.3 | % | |||||||||||||
Overhead absorption | (523 | ) | (200.2 | )% (3) | ||||||||||||
Deferred costs | 88 | 46.8 | % | |||||||||||||
Travel expense | 59 | 182.7 | % | |||||||||||||
Other, net | 96 | 8.7 | % | 177 | 18.7 | % | ||||||||||
$ | 443 | 3.5 | % | $ | 2,243 | 16.9 | % | |||||||||
(1) | Increase primarily attributable to an increase in headcount, annual compensation adjustments in May |
(2) | Increase primarily attributable to |
(3) | Increase in engineering supplies. |
2021 | 2020 | Increase (decrease) | ||||||||||||||||||||||
2022 | 2021 | Increase (decrease) | ||||||||||||||||||||||
Interest income | $ | 276 | $ | 17 | $ | 259 | $ | 274 | $ | 276 | $ | (2 | ) | |||||||||||
Rental income | 198 | 198 | — | 198 | 198 | — | ||||||||||||||||||
Foreign currency (losses) gains, net | (12 | ) | 3 | (15 | ) | |||||||||||||||||||
(Losses) gains on disposals of equipment | (106 | ) | 6 | (112 | ) | |||||||||||||||||||
Foreign currency losses, net | (397 | ) | (12 | ) | (385 | ) | ||||||||||||||||||
Other, net | 17 | 9 | 8 | 9 | (89 | ) | 98 | |||||||||||||||||
$ | 373 | $ | 233 | $ | 140 | $ | 84 | $ | 373 | $ | (289 | ) | ||||||||||||
2021 | 2020 | 2022 | 2021 | |||||||||||||
Provision (benefit) for income taxes | $ | 999 | $ | (406 | ) | |||||||||||
Provision for income taxes | $ | 802 | $ | 999 | ||||||||||||
Effective income tax rate | 4.9 | % | (17.9 | )% | 7.0 | % | 4.9 | % |
Increase | ||||||||||||||||||||||||||||||||
2021 | 2020 | $ | % | Increase (decrease) | ||||||||||||||||||||||||||||
2022 | 2021 | $ | % | |||||||||||||||||||||||||||||
Brick Products | $ | 108,811 | $ | 91,945 | $ | 16,866 | 18.3 | % | $ | 69,880 | $ | 108,811 | $ | (38,931 | ) | (35.8 | )% | |||||||||||||||
Advanced Products | 75,361 | 42,217 | 33,144 | 78.5 | % | 120,588 | 75,361 | 45,227 | 60.0 | % | ||||||||||||||||||||||
Total | $ | 184,172 | $ | 134,162 | $ | 50,010 | 37.3 | % | $ | 190,468 | $ | 184,172 | $ | 6,296 | 3.4 | % | ||||||||||||||||
Increase (decrease) | Increase (decrease) | |||||||||||||||
Legal fees | $ | 2,025 | 151.1 | %(1) | ||||||||||||
Compensation | $ | 1,196 | 5.7 | % (1) | 1,951 | 8.9 | %(2) | |||||||||
Advertising expense | 251 | | 18.6 | % (2) | ||||||||||||
Legal fees | 188 | 16.3 | % (3) | |||||||||||||
Outside services | 770 | 69.3 | %(3) | |||||||||||||
Depreciation and amortization | 102 | 6.7 | % (4) | 432 | 26.5 | %(4) | ||||||||||
Travel expense | 387 | 80.6 | %(5) | |||||||||||||
Computer and software expense | 143 | 23.6 | % | |||||||||||||
Commissions | (284 | ) | (16.5 | )%(6) | ||||||||||||
Facilities allocations | 95 | 13.3 | % | (285 | ) | (35.3 | )%(7) | |||||||||
Travel expense | (205 | ) | (30.0 | )% (5) | ||||||||||||
Other, net | 92 | 1.6 | % | (79 | ) | (2.1 | )% | |||||||||
$ | 1,719 | 5.4 | % | $ | 5,060 | 15.1 | % | |||||||||
(1) |
Increase primarily attributable to an increase in activity related to the SynQor litigation (see Note |
(2) | Increase primarily attributable to an increase in headcount, annual compensation adjustments in May 2022, and higher stock-based compensation expense associated with stock options awarded in April 2022. |
(3) | Increase primarily attributable to an increase in the use of outside service providers at our Andover, MA facility. |
(4) | Increase attributable to net additions of furniture and fixtures and capitalization of building improvements. |
(5) | Increase primarily attributable to an increase in travel by the Company’s sales and marketing personnel. |
(6) | Decrease primarily attributable to |
(7) | Decrease primarily attributable to a decrease in utilities and |
Increase (decrease) | ||||||||||||||||
Increase | ||||||||||||||||
Compensation | $ | 968 | 5.4 | % (1) | $ | 1,211 | 6.4 | %(1) | ||||||||
Overhead absorption | 560 | 42.8 | %(2) | |||||||||||||
Supplies | 473 | 68.6 | %(3) | |||||||||||||
Project and pre-production materials | 187 | 4.5 | % | |||||||||||||
Depreciation and amortization | 181 | 17.9 | % | |||||||||||||
Facilities allocations | 198 | 17.0 | % (2) | 132 | 9.7 | % | ||||||||||
Freight | 66 | 115.5 | % | |||||||||||||
Computer expense | 60 | 19.0 | % | |||||||||||||
Project and pre-production materials | (354 | ) | (7.9 | )% (3) | ||||||||||||
Overhead absorption | (830 | ) | (174.2 | )% (4) | ||||||||||||
Deferred costs | 124 | 43.7 | % | |||||||||||||
Travel expense | 106 | 195.1 | % | |||||||||||||
Computer and software expense | 83 | 22.0 | % | |||||||||||||
Other, net | 26 | 1.0 | % | 413 | 31.2 | % | ||||||||||
$ | 134 | 0.5 | % | $ | 3,470 | 13.2 | % | |||||||||
(1) | Increase primarily attributable to an increase in headcount, annual compensation adjustments in May |
(2) | Increase primarily attributable to |
(3) | Increase in engineering supplies. |
Increase | ||||||||||||||||||||||||
2021 | 2020 | (decrease) | ||||||||||||||||||||||
2022 | 2021 | Increase (decrease) | ||||||||||||||||||||||
Interest income | $ | 469 | $ | 70 | $ | 399 | $ | 415 | $ | 469 | $ | (54 | ) | |||||||||||
Rental income | 396 | 396 | — | 396 | 396 | — | ||||||||||||||||||
(Losses) gains on disposals of equipment | (106 | ) | 6 | (112 | ) | |||||||||||||||||||
Foreign currency losses, net | (174 | ) | (117 | ) | (57 | ) | (604 | ) | (174 | ) | (430 | ) | ||||||||||||
Other, net | 20 | 26 | (6 | ) | 39 | (86 | ) | 125 | ||||||||||||||||
$ | 605 | $ | 381 | $ | 224 | $ | 246 | $ | 605 | $ | (359 | ) | ||||||||||||
2021 | 2020 | 2022 | 2021 | |||||||||||||
Provision (benefit) for income taxes | $ | 856 | $ | (900 | ) | |||||||||||
Provision for income taxes | $ | 754 | $ | 856 | ||||||||||||
Effective income tax rate | 2.4 | % | (2,195.1 | )% | 4.6 | % | 2.4 | % |
Increase (decrease) | ||||
Cash and cash equivalents | $ | (1,979 | ) | |
Short-term investments | 20,303 | |||
Accounts receivable | 14,013 | |||
Inventories, net | (140 | ) | ||
Other current assets | (99 | ) | ||
Accounts payable | (7,960 | ) | ||
Accrued compensation and benefits | (1,700 | ) | ||
Accrued expenses | (994 | ) | ||
Sales allowances | (1,322 | ) | ||
Short-term lease liabilities | 70 | |||
Income taxes payable | (751 | ) | ||
Short-term deferred revenue | 3,393 | |||
$ | 22,834 | |||
Increase (decrease) | ||||
Cash and cash equivalents | $ | 5,259 | ||
Short-term investments | (25,294 | ) | ||
Accounts receivable | (561 | ) | ||
Inventories | 15,733 | |||
Other current assets | 434 | |||
Accounts payable | (10,843 | ) | ||
Accrued compensation and benefits | (468 | ) | ||
Accrued expenses | 240 | |||
Sales allowances | 458 | |||
Short-term lease liabilities | (21 | ) | ||
Income taxes payable | 64 | |||
Short-term deferred revenue | 210 | |||
$ | (14,789 | ) | ||
Item |
4 — Controls and Procedures |
(b) Changes in internal control over financial reporting. |
(2) Filed as an exhibit to the Company’s Current Report on Form 8-K filed on June 4, 2020 (FileNo. 000-18277) and incorporated herein by reference. |
VICOR CORPORATION | ||||||
Date: August 3, 2022 | ||||||
By: | /s/ Patrizio Vinciarelli | |||||
Patrizio Vinciarelli | ||||||
Chairman of the Board, President and | ||||||
Chief Executive Officer | ||||||
(Principal Executive Officer) | ||||||
Date: August 3, 2022 | ||||||
By: | /s/ James F. Schmidt | |||||
James F. Schmidt | ||||||
Vice President, Chief Financial Officer | ||||||
(Principal Financial Officer) | ||||||