Document and Entity Information
Document and Entity Information - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 30, 2023 | Feb. 12, 2024 | Jul. 01, 2023 | |
Document and Entity Information | |||
Entity Registrant Name | SILICON LABORATORIES INC. | ||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 30, 2023 | ||
Document Transition Report | false | ||
Entity File Number | 000-29823 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 74-2793174 | ||
Entity Address, Address Line One | 400 West Cesar Chavez | ||
Entity Address, City or Town | Austin | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 78701 | ||
City Area Code | 512 | ||
Local Phone Number | 416-8500 | ||
Title of 12(b) Security | Common Stock, $0.0001 par value | ||
Trading Symbol | SLAB | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 4.9 | ||
Entity Common Stock, Shares Outstanding | 31,904,670 | ||
Entity Central Index Key | 0001038074 | ||
Current Fiscal Year End Date | --12-30 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Auditor Firm ID | 42 | ||
Auditor Name | Ernst & Young LLP | ||
Auditor Location | Austin, Texas |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 30, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 227,504 | $ 499,915 |
Short-term investments | 211,720 | 692,024 |
Accounts receivable, net | 29,295 | 71,437 |
Inventories | 194,295 | 100,417 |
Prepaid expenses and other current assets | 75,117 | 97,570 |
Total current assets | 737,931 | 1,461,363 |
Property and equipment, net | 145,890 | 152,016 |
Goodwill | 376,389 | 376,389 |
Other intangible assets, net | 59,533 | 84,907 |
Other assets, net | 123,313 | 94,753 |
Total assets | 1,443,056 | 2,169,428 |
Current liabilities: | ||
Accounts payable | 57,498 | 89,860 |
Revolving line of credit | 45,000 | |
Deferred revenue and returns liability | 2,117 | 6,780 |
Other current liabilities | 58,955 | 89,136 |
Total current liabilities | 163,570 | 185,776 |
Convertible debt, net | 529,573 | |
Other non-current liabilities | 70,804 | 49,071 |
Total liabilities | 234,374 | 764,420 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock - $0.0001 par value; 10,000 shares authorized; no shares issued | ||
Common stock - $0.0001 par value; 250,000 shares authorized; 31,897 and 31,994 shares issued and outstanding at December 30, 2023 and December 31, 2022, respectively | 3 | 3 |
Additional paid-in capital | 16,973 | |
Retained earnings | 1,192,731 | 1,415,693 |
Accumulated other comprehensive loss | (1,025) | (10,688) |
Total stockholders' equity | 1,208,682 | 1,405,008 |
Total liabilities and stockholders' equity | $ 1,443,056 | $ 2,169,428 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands | Dec. 30, 2023 | Dec. 31, 2022 |
Consolidated Balance Sheets | ||
Preferred stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000 | 10,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 250,000 | 250,000 |
Common stock, shares issued | 31,897 | 31,994 |
Common stock, shares outstanding | 31,897 | 31,994 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Consolidated Statements of Operations | |||
Revenues | $ 782,258 | $ 1,024,106 | $ 720,860 |
Cost of revenues | 321,672 | 381,549 | 295,468 |
Gross profit | 460,586 | 642,557 | 425,392 |
Operating expenses: | |||
Research and development | 337,744 | 332,326 | 273,208 |
Selling, general and administrative | 146,996 | 190,971 | 185,022 |
Operating expenses | 484,740 | 523,297 | 458,230 |
Operating income (loss) | (24,154) | 119,260 | (32,838) |
Other income (expense): | |||
Interest income and other, net | 19,165 | 13,915 | 5,696 |
Interest expense | (5,554) | (6,723) | (31,033) |
Income (loss) from continuing operations before income taxes | (10,543) | 126,452 | (58,175) |
Provision for income taxes | 7,943 | 38,450 | 13,427 |
Equity-method earnings (loss) | (16,030) | 3,400 | 13,728 |
Income (loss) from continuing operations | (34,516) | 91,402 | (57,874) |
Income from discontinued operations, net of income taxes | 0 | 0 | 2,175,273 |
Net income (loss) | $ (34,516) | $ 91,402 | $ 2,117,399 |
Basic earnings (loss) per share: | |||
Continuing operations | $ (1.09) | $ 2.61 | $ (1.35) |
Basic earnings (in dollars per share) | (1.09) | 2.61 | 49.44 |
Diluted earnings (loss) per share: | |||
Continuing operations | (1.09) | 2.54 | (1.35) |
Diluted earnings (in dollars per share) | $ (1.09) | $ 2.54 | $ 47.78 |
Weighted-average common shares outstanding: | |||
Weighted-average common shares outstanding Basic (in shares) | 31,804 | 35,086 | 42,830 |
Weighted-average common shares outstanding Diluted (in shares) | 31,804 | 36,042 | 44,315 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Consolidated Statements of Comprehensive Income (Loss) | |||
Net income (loss) | $ (34,516) | $ 91,402 | $ 2,117,399 |
Net changes to available-for-sale securities: | |||
Unrealized gains (losses) arising during the period | 7,709 | (12,562) | (4,338) |
Reclassification for (gains) losses included in net income (loss) | 4,596 | 2,088 | (335) |
Net changes to cash flow hedges: | |||
Unrealized gains (losses) arising during the period | 210 | (4,110) | (598) |
Reclassification for (gains) losses included in net income (loss) | (250) | 4,110 | (87) |
Other comprehensive income (loss), before tax | 12,265 | (10,474) | (5,358) |
Provision (benefit) for income taxes | 2,602 | (2,205) | (1,125) |
Other comprehensive income (loss) | 9,663 | (8,269) | (4,233) |
Comprehensive income (loss) | $ (24,853) | $ 83,133 | $ 2,113,166 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Common Stock | Additional Paid-In Capital | Retained Earnings Cumulative effect of adoption of accounting standard | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Cumulative effect of adoption of accounting standard | Total |
Balance at Jan. 02, 2021 | $ 4 | $ 204,359 | $ 993,664 | $ 1,814 | $ 1,199,841 | ||
Balance (in shares) at Jan. 02, 2021 | 43,925 | ||||||
Increase (Decrease) in Stockholders' Equity | |||||||
Net income (loss) | 2,117,399 | 2,117,399 | |||||
Other comprehensive income (loss) | (4,233) | (4,233) | |||||
Stock issuances, net of shares withheld for taxes | (8,056) | (8,056) | |||||
Stock issuances, net of shares withheld for taxes (in shares) | 548 | ||||||
Repurchases of common stock | (253,820) | (896,224) | (1,150,044) | ||||
Repurchases of common stock (in shares) | (6,520) | ||||||
Stock-based compensation | 58,264 | 58,264 | |||||
Convertible debt activity | (747) | (747) | |||||
Convertible debt activity (in shares) | 528 | ||||||
Balance at Jan. 01, 2022 | $ 4 | 2,214,839 | (2,419) | 2,212,424 | |||
Balance (in shares) at Jan. 01, 2022 | 38,481 | ||||||
Increase (Decrease) in Stockholders' Equity | |||||||
Net income (loss) | 91,402 | 91,402 | |||||
Other comprehensive income (loss) | (8,269) | (8,269) | |||||
Stock issuances, net of shares withheld for taxes | (3,608) | (3,608) | |||||
Stock issuances, net of shares withheld for taxes (in shares) | 387 | ||||||
Repurchases of common stock | $ (1) | (56,968) | (830,585) | (887,554) | |||
Repurchases of common stock (in shares) | (6,874) | ||||||
Stock-based compensation | 60,576 | 60,576 | |||||
Balance at Dec. 31, 2022 | $ 3 | $ (59,963) | 1,415,693 | (10,688) | $ (59,963) | $ 1,405,008 | |
Balance (in shares) at Dec. 31, 2022 | 31,994 | 31,994 | |||||
Increase (Decrease) in Stockholders' Equity | |||||||
Net income (loss) | (34,516) | $ (34,516) | |||||
Other comprehensive income (loss) | 9,663 | 9,663 | |||||
Stock issuances, net of shares withheld for taxes | (3,577) | (3,577) | |||||
Stock issuances, net of shares withheld for taxes (in shares) | 505 | ||||||
Repurchases of common stock | (24,578) | (188,446) | (213,024) | ||||
Repurchases of common stock (in shares) | (1,522) | ||||||
Stock-based compensation | 48,688 | 48,688 | |||||
Convertible debt activity | (3,560) | (3,560) | |||||
Convertible debt activity (in shares) | 920 | ||||||
Balance at Dec. 30, 2023 | $ 3 | $ 16,973 | $ 1,192,731 | $ (1,025) | $ 1,208,682 | ||
Balance (in shares) at Dec. 30, 2023 | 31,897 | 31,897 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Operating Activities | |||
Net income (loss) | $ (34,516) | $ 91,402 | $ 2,117,399 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities of continuing operations: | |||
Income from discontinued operations, net of income taxes | 0 | 0 | (2,175,273) |
Depreciation of property and equipment | 25,707 | 22,524 | 18,051 |
Amortization of other intangible assets | 25,374 | 34,071 | 44,505 |
Amortization of debt discount and debt issuance costs | 960 | 2,003 | 22,767 |
Loss on extinguishment of convertible debt | 3 | 3,370 | |
Stock-based compensation expense | 48,208 | 60,510 | 56,842 |
Equity-method (earnings) loss | 16,030 | (3,400) | (13,728) |
Deferred income taxes | (11,815) | (18,240) | (3,414) |
Changes in operating assets and liabilities: | |||
Accounts receivable | 42,142 | 26,876 | (3,144) |
Inventories | (93,398) | (51,044) | (1,510) |
Prepaid expenses and other assets | (10,733) | (31,240) | 44,664 |
Accounts payable | (25,644) | 36,797 | (7,704) |
Other current liabilities and income taxes | (37,793) | (12,738) | 2,109 |
Deferred revenue and returns liability | (4,663) | (7,069) | 863 |
Other non-current liabilities | 29,793 | (9,181) | (14,599) |
Net cash provided by (used in) operating activities of continuing operations | (30,348) | 141,274 | 91,198 |
Investing Activities | |||
Purchases of marketable securities | (103,485) | (607,237) | (1,541,971) |
Sales of marketable securities | 395,565 | 223,354 | 250,075 |
Maturities of marketable securities | 200,530 | 650,946 | 844,966 |
Purchases of property and equipment | (22,282) | (26,525) | (28,577) |
Purchases of other assets | (520) | (1,158) | |
Net cash provided by (used in) investing activities of continuing operations | 469,808 | 240,538 | (476,665) |
Financing Activities | |||
Proceeds from issuance of debt | 80,000 | ||
Payments on debt | (571,157) | (21) | (140,572) |
Repurchases of common stock | (217,137) | (883,424) | (1,150,044) |
Payment of taxes withheld for vested stock awards | (18,189) | (15,387) | (22,239) |
Proceeds from the issuance of common stock | 14,612 | 11,779 | 14,183 |
Net cash used in financing activities of continuing operations | (711,871) | (887,053) | (1,298,672) |
Discontinued Operations | |||
Operating activities | (69,467) | (191,642) | |
Investing activities | 0 | 0 | 2,747,684 |
Net cash provided by (used in) discontinued operations | (69,467) | 2,556,042 | |
Increase (decrease) in cash and cash equivalents | (272,411) | (574,708) | 871,903 |
Cash and cash equivalents at beginning of period | 499,915 | 1,074,623 | 202,720 |
Cash and cash equivalents at end of period | 227,504 | 499,915 | 1,074,623 |
Supplemental Disclosure of Cash Flow Information: | |||
Interest paid | 4,471 | 4,427 | 5,010 |
Income taxes paid | 31,713 | $ 132,005 | $ 266,277 |
Noncash financing activities: | |||
Issuance of common stock in connection with settlement of convertible debt | $ 148,487 |
Description of Business
Description of Business | 12 Months Ended |
Dec. 30, 2023 | |
Description of Business | |
Description of Business | 1. Description of Business Silicon Laboratories Inc. (the “Company”), a Delaware corporation, is a leader in secure, intelligent wireless technology for a more connected world. Our integrated hardware and software platform, intuitive development tools, industry-leading ecosystem, and robust support help customers build advanced industrial, commercial, home, and life applications. The Company provides analog-intensive, mixed-signal solutions for use in a variety of electronic products in a broad range of applications for the Internet of Things (“IoT”) including connected home and security, industrial automation and control, smart metering, smart lighting, commercial building automation, consumer electronics, asset tracking and medical instrumentation. Within the semiconductor industry, the Company is known as a “fabless” company meaning that the integrated circuits (“ICs”) incorporated in its products are manufactured by third-party foundry semiconductor companies. On July 26, 2021, the Company sold its infrastructure and automotive business to Skyworks Solutions, Inc. for $2.75 billion in cash. The financial results of the infrastructure and automotive business for the fiscal year ended January 1, 2022 have been presented as discontinued operations in the Consolidated Financial Statements. See Note 3, Discontinued Operations |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 30, 2023 | |
Significant Accounting Policies | |
Significant Accounting Policies | 2. Significant Accounting Policies Basis of Presentation and Principles of Consolidation The Company prepares financial statements on a 52- or 53-week fiscal year that ends on the Saturday closest to December 31. Fiscal 2023, 2022, and 2021 had 52 weeks. Fiscal 2023, 2022 and 2021 ended on December 30, 2023, December 31, 2022, and January 1, 2022, respectively. The accompanying Consolidated Financial Statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Foreign Currency Transactions The Company’s foreign subsidiaries are considered to be extensions of the U.S. Company. The functional currency of the foreign subsidiaries is the U.S. dollar. Accordingly, gains and losses resulting from remeasuring transactions denominated in currencies other than U.S. dollars are included in interest income and other, net in the Consolidated Statements of Operations. Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Among the significant estimates affecting the financial statements are those related to inventories, goodwill, acquired intangible assets, other long-lived assets, revenue recognition, stock-based compensation and income taxes. Actual results could differ from those estimates, and such differences could be material to the financial statements. The Company periodically reviews the assumptions used in its financial statement estimates. Fair Value of Financial Instruments The fair values of the Company’s financial instruments are recorded using a hierarchical disclosure framework based upon the level of subjectivity of the inputs used in measuring assets and liabilities. The three levels are described below: Level 1 - Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2 - Inputs other than Level 1 that are directly or indirectly observable, such as quoted prices for similar assets or liabilities and quoted prices in less active markets. Level 3 - Inputs are unobservable for the asset or liability and are developed based on the best information available in the circumstances, which might include the Company’s own data. 2. Significant Accounting Policies (Continued) Cash and Cash Equivalents Cash and cash equivalents consist of cash deposits, money market funds and investments in debt securities with original maturities of ninety days or less when purchased. Investments The Company’s investments typically have original maturities greater than ninety days as of the date of purchase and are classified as available-for-sale securities. Investments in available-for-sale securities are reported at fair value, with unrealized gains and losses, net of tax, recorded as a component of accumulated other comprehensive loss in the Consolidated Balance Sheet. Investments in which the Company has the ability and intent, if necessary, to liquidate in order to support its current operations (including those with contractual maturities greater than one year from the date of purchase) are classified as short-term. The Company reviews its available-for-sale investments as of the end of each reporting period for declines in fair value based on the specific identification method. The Company records an allowance for credit loss when a decline in fair value is due to credit-related factors. The Company considers various factors in determining whether an investment is impaired, including the severity of the impairment, changes in underlying credit ratings, forecasted recovery, its intent to sell or the likelihood that it would be required to sell the investment before its anticipated recovery in market value and the probability that the scheduled cash payments will continue to be made. When the Company concludes that a credit-related impairment has occurred, the Company assesses whether it intends to sell the security or if it is more likely than not that it will be required to sell the security before recovery. If either of these two conditions is met, the Company recognizes a charge in earnings equal to the entire difference between the security’s amortized cost basis and its fair value. If the Company does not intend to sell a security and it is not more likely than not that it will be required to sell the security before recovery, the unrealized loss is separated into an amount representing the credit loss, which is recognized in earnings, and the amount related to all other factors, which is recorded in accumulated other comprehensive loss. In addition, the Company has made equity investments in non-publicly traded companies. Equity investments in which the Company does not have control, but has the ability to exercise significant influence over operating and financial policies, are accounted for using the equity method. The Company’s proportionate share of income or loss is recorded in equity-method earnings in the Consolidated Statements of Operations. The Company has elected to use the measurement alternative under Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2019-04, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments, Derivative Financial Instruments The Company uses derivative financial instruments to manage certain exposures to the variability of foreign currency exchange rates. The Company’s objective is to offset increases and decreases in expenses resulting from these exposures with gains and losses on the derivative contracts, thereby reducing volatility of earnings. The Company does not use derivative contracts for speculative or trading purposes. The Company recognizes derivatives, on a gross basis, in the Consolidated Balance Sheet at fair value. Cash flows from derivatives are classified according to the nature of the cash receipt or payment in the Consolidated Statement of Cash Flows. The Company also uses foreign currency forward contracts to reduce the earnings impact that exchange rate fluctuations have on non-U.S. dollar balance sheet exposures. The Company does not apply hedge accounting to these foreign currency forward contracts. 2. Significant Accounting Policies (Continued) Inventories Inventories are stated at the lower of cost, determined using the first-in, first-out method, or net realizable value. The Company writes down the carrying value of inventory to net realizable value for estimated obsolescence or unmarketable inventory based upon assumptions about the age of inventory, future demand and market conditions. Inventory impairment charges establish a new cost basis for inventory and charges are not subsequently reversed to income even if circumstances later suggest that increased carrying amounts are recoverable. Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is computed using the straight-line method over the useful lives of the assets ranging from three The Company owns the facilities for its headquarters in Austin, Texas. The buildings are located on land which is leased through 2099 from a third party. The rents for these ground leases were prepaid for the term of the leases. The buildings and leasehold interest in ground leases are being depreciated on a straight-line basis over their estimated useful lives of 40 years and 86 years, respectively. Business Combinations The Company records business combinations using the acquisition method of accounting and, accordingly, allocates the fair value of acquisition consideration to the assets acquired and liabilities assumed based on their fair values at the acquisition date. The excess of the fair value of purchase consideration over the fair value of the assets acquired and liabilities assumed is recorded as goodwill. The results of operations of the businesses acquired are included in the Company’s consolidated results of operations beginning on the date of the acquisition. Long-Lived Assets Purchased intangible assets are stated at cost, net of accumulated amortization, and are amortized using the straight-line method over their estimated useful lives, ranging from five Long-lived assets “held and used” by the Company are reviewed for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. When such factors and circumstances exist, the Company compares the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives against their respective carrying amounts. Impairment, if any, is based on the excess of the carrying amount over the fair value of those assets and is recorded in the period in which the determination was made. The Company tests goodwill for impairment annually as of the first day of its fourth fiscal quarter and in interim periods if events occur that would indicate that the carrying value of goodwill may be impaired. The Company assesses goodwill for impairment by comparing the fair value of the reporting unit to its carrying amount. In determining fair value, several valuation methodologies are allowed, although quoted market prices are the best evidence of fair value. If the fair value of the reporting unit is less than its carrying amount, an impairment loss is recognized equal to that excess amount. 2. Significant Accounting Policies (Continued) Leases At the commencement date of a lease, the Company recognizes a liability to make lease payments and an asset representing the right to use the underlying asset during the lease term. The lease liability is measured at the present value of lease payments over the lease term. As its leases typically do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the commencement date taking into consideration necessary adjustments for collateral, depending on the facts and circumstances of the lessee and the leased asset, and term to match the lease term. The right-of-use (“ROU”) asset is measured at cost, which includes the initial measurement of the lease liability and initial direct costs incurred by the Company and excludes lease incentives. Lease liabilities are recorded in other current liabilities and other non-current liabilities. ROU assets are recorded in other assets, net. Lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Operating lease costs are recognized on a straight-line basis over the lease term. Lease agreements that contain both lease and non-lease components are generally accounted for separately. Revenue Recognition Revenue is recognized when control of the promised goods or services is transferred to the customer, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. Substantially all of the Company’s contracts with customers contain a single performance obligation, the sale of mixed-signal integrated circuit (IC) products. This performance obligation is satisfied when control of the product is transferred to the customer, which typically occurs upon delivery. Unsatisfied performance obligations primarily represent contracts for products with future delivery dates. The Company has opted to not disclose the amount of unsatisfied performance obligations as these contracts have original expected durations of less than one year . The transaction price reflects the Company’s expectations about the consideration it will be entitled to receive from the customer and may include fixed or variable amounts. Variable consideration primarily includes sales made to distributors under agreements allowing certain rights of return, referred to as stock rotation, and credits issued to the distributor due to price protection. The Company estimates variable consideration at the most likely amount to which it expects to be entitled. The estimate is based on information available to the Company, including recent sales activity and pricing data. The Company applies a constraint to its variable consideration estimate which considers both the likelihood of a return and the amount of a potential price concession. Variable consideration that does not meet revenue recognition criteria is deferred. The Company records a right of return asset in prepaid expenses and other current assets for the costs of distributor inventory not meeting revenue recognition criteria. A corresponding deferred revenue and returns liability amount is recorded for unrecognized revenue associated with such costs. The Company’s products carry a one-year replacement warranty. Payments are typically due within 30 days of invoicing and do not include a significant financing component. Shipping and Handling Shipping and handling costs are classified as a component of cost of revenues in the Consolidated Statements of Operations. Stock-Based Compensation The Company has stock-based compensation plans, which are more fully described in Note 15, Stock-Based Compensation 2. Significant Accounting Policies (Continued) Research and Development Research and development costs are expensed as incurred. Research and development expense consists primarily of personnel-related expenses, including stock-based compensation, as well as new product masks, external consulting and services costs, equipment tooling, equipment depreciation, amortization of intangible assets, and an allocated portion of our occupancy costs. Assets purchased to support the Company’s ongoing research and development activities are capitalized when related to products which have achieved technological feasibility or have an alternative future use, and are amortized over their estimated useful lives. Advertising Advertising costs are expensed as incurred. Advertising expenses were not material for any of the periods presented. Income Taxes The Company accounts for income taxes using the liability method whereby deferred tax asset and liability account balances are determined based on differences between the financial reporting and the tax bases of assets and liabilities and are measured using the enacted tax laws and related rates that will be in effect when the differences are expected to reverse. These differences result in deferred tax assets and liabilities, which are included in the Company’s Consolidated Balance Sheets. The Company then assesses the likelihood that the deferred tax assets will be realized. A valuation allowance is established against deferred tax assets to the extent the Company believes that it is more likely than not that the deferred tax assets will not be realized, taking into consideration the level of historical taxable income and projections for future taxable income over the periods in which the temporary differences are deductible. Uncertain tax positions must meet a more-likely-than-not threshold to be recognized in the financial statements and the tax benefits recognized are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon final settlement. See Note 17, Income Taxes Recent Accounting Pronouncements In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280)—Improvements to Reportable Segment Disclosures . This ASU requires interim and annual disclosure of significant segment expenses that are regularly provided to the chief operating decision-maker (“CODM”) and included within the reported measure of a segment’s profit or loss, requires interim disclosures about a reportable segment’s profit or loss and assets that are currently required annually, requires disclosure of the position and title of the CODM, clarifies circumstances in which an entity can disclose multiple segment measures of profit or loss, and contains other disclosure requirements. This authoritative guidance is effective for annual periods beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. We are currently evaluating the effect of this new guidance on our consolidated financial statements. In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740)—Improvements to Income Tax Disclosures |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 30, 2023 | |
Discontinued Operations. | |
Discontinued Operations | 3. Discontinued Operations On July 26, 2021, the Company sold its infrastructure and automotive business to Skyworks Solutions, Inc. for $2.75 billion in cash. The financial results of the infrastructure and automotive business, which are readily distinguishable from other components of the Company, have been presented as discontinued operations in the Consolidated Financial Statements because the sale represented a strategic shift for the Company. The following table presents the financial results of the infrastructure and automotive business (the “discontinued operations”) in the Company’s Consolidated Statements of Income for the year ended January 1, 2022 (in thousands, except per share data): Revenues $ 233,918 Costs of revenues 95,457 Operating expenses 46,643 Operating income from discontinued operations 91,818 Gain on sale of discontinued operations 2,423,161 Income from discontinued operations before income taxes 2,514,979 Provision for income taxes 339,706 Income from discontinued operations $ 2,175,273 Income from discontinued operations per share: Basic $ 50.79 Diluted $ 49.09 |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 12 Months Ended |
Dec. 30, 2023 | |
Earnings (Loss) Per Share | |
Earnings (Loss) Per Share | 4. Earnings (Loss) Per Share The following table sets forth the computation of basic and diluted earnings (loss) per share (in thousands, except per share data): Year Ended December 30, December 31, January 1, 2023 2022 2022 Income (loss) from continuing operations $ (34,516) $ 91,402 $ (57,874) Shares used in computing basic earnings (loss) per share 31,804 35,086 42,830 Effect of dilutive securities: Stock-based awards and convertible debt — 956 — Shares used in computing diluted earnings (loss) per share 31,804 36,042 42,830 Earnings (loss) per share: Basic $ (1.09) $ 2.61 $ (1.35) Diluted $ (1.09) $ 2.54 $ (1.35) In periods where the Company reports income from continuing operations, diluted earnings per share was computed using the treasury stock method for stock-based awards and the if-converted method for convertible debt. Diluted shares for fiscal 2023 excluded 0.9 million shares and fiscal 2021 excluded 1.5 million shares due to the Company’s loss from continuing operations for the periods. The Company irrevocably elected to settle the principal amount of its 0.625% convertible senior notes due 2025 (the “2025 Notes”) in cash and intended to settle any excess value in shares in the event of a conversion. In June 2023, the Company paid $535.0 million in cash and issued 0.9 million shares of common stock in connection with the conversions and redemptions of the 2025 Notes. For fiscal 2022, approximately 0.6 million shares were included in the denominator for the calculation of diluted earnings per share (related to the not yet converted or redeemed 2025 Notes.) See Note 10, Debt |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 30, 2023 | |
Fair Value of Financial Instruments | |
Fair Value of Financial Instruments | 5. Fair Value of Financial Instruments The following summarizes the valuation of the Company’s financial instruments (in thousands). The tables do not include either cash on hand or assets and liabilities that are measured at historical cost or any basis other than fair value. Fair Value Measurements at December 30, 2023 Using Quoted Prices in Significant Other Active Markets for Observable Identical Assets Inputs Description (Level 1) (Level 2) Total Cash equivalents: Money market funds $ 137,195 $ — $ 137,195 Total cash equivalents $ 137,195 $ — $ 137,195 Short-term investments: Corporate debt securities $ — $ 130,047 $ 130,047 Government debt securities — 81,673 81,673 Total short-term investments $ — $ 211,720 $ 211,720 Total $ 137,195 $ 211,720 $ 348,915 5. Fair Value of Financial Instruments (Continued) Fair Value Measurements at December 31, 2022 Using Quoted Prices in Significant Other Active Markets for Observable Identical Assets Inputs Description (Level 1) (Level 2) Total Cash equivalents: Money market funds $ 310,969 $ — $ 310,969 Corporate debt securities — 3,249 3,249 Total cash equivalents $ 310,969 $ 3,249 $ 314,218 Short-term investments: Corporate debt securities $ — $ 501,014 $ 501,014 Government debt securities — 191,010 191,010 Total short-term investments $ — $ 692,024 $ 692,024 Total $ 310,969 $ 695,273 $ 1,006,242 Valuation methodology The Company’s cash equivalents and short-term investments that are classified as Level 2 are valued using non-binding market consensus prices that are corroborated with observable market data; quoted market prices for similar instruments in active markets; quoted prices in less active markets; or pricing models, such as a discounted cash flow model, with all significant inputs derived from or corroborated with observable market data. Investments classified as Level 3 are valued using a discounted cash flow model. The assumptions used in preparing the discounted cash flow model include estimates for interest rates, amount of cash flows, expected holding periods of the securities and a discount to reflect the Company’s inability to liquidate the securities. The Company’s foreign currency derivative instruments are valued using discounted cash flow models. The assumptions used in preparing the valuation models include foreign exchange rates, forward and spot prices for currencies and market observable data of similar instruments. Contractual maturities of investments The Company’s available-for-sale investments are reported at fair value, with unrealized gains and losses, net of tax, recorded as a component of accumulated other comprehensive loss in the Consolidated Balance Sheet. The following summarizes the contractual underlying maturities of the Company’s available-for-sale investments at December 30, 2023 (in thousands): Fair Cost Value Due in one year or less $ 155,431 $ 154,349 Due after one year through five years 57,518 57,371 $ 212,949 $ 211,720 Unrealized Gains and Losses The available-for-sale investments that were in a continuous unrealized loss position, aggregated by length of time that individual securities have been in a continuous loss position, were as follows (in thousands): Less Than 12 Months 12 Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized As of December 30, 2023 Value Losses Value Losses Value Losses Corporate debt securities $ 12,449 $ (13) $ 95,760 $ (867) $ 108,209 $ (880) Government debt securities 28,255 (115) 31,122 (440) 59,377 (555) $ 40,704 $ (128) $ 126,882 $ (1,307) $ 167,586 $ (1,435) 5. Fair Value of Financial Instruments (Continued) Less Than 12 Months 12 Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized As of December 31, 2022 Value Losses Value Losses Value Losses Corporate debt securities $ 307,085 $ (5,297) $ 185,467 $ (4,090) $ 492,552 $ (9,387) Government debt securities 76,651 (626) 100,209 (3,541) 176,860 (4,167) $ 383,736 $ (5,923) $ 285,676 $ (7,631) $ 669,412 $ (13,554) The gross unrealized losses as of December 30, 2023 and December 31, 2022 were due primarily to changes in market interest rates. The Company records an allowance for credit loss when a decline in investment market value is due to credit-related factors. When evaluating an investment for impairment, the Company reviews factors such as the severity of the impairment, changes in underlying credit ratings, forecasted recovery, the Company’s intent to sell or the likelihood that it would be required to sell the investment before its anticipated recovery in market value and the probability that the scheduled cash payments will continue to be made. As of December 30, 2023, there were no material declines in the market value of available-for-sale investments due to credit-related factors. At December 30, 2023 and December 31, 2022, there were no material unrealized gains associated with the Company’s available-for-sale investments. Level 3 fair value measurements The following summarizes the activity in Level 3 financial instruments for the year ended December 31, 2022 (in thousands): Assets December 31, Auction Rate Securities 2022 Beginning balance $ 4,980 Sales (1) (6,000) Loss recognized in earnings 300 Gain (loss) included in other comprehensive income (loss) 720 Ending balance $ — (1) On May 31, 2022, the Company sold its prior remaining holding of auction-rate securities for $ 5.7 million. Fair values of other financial instruments Prior to its conversion or redemption in June 2023, the Company’s debt was recorded at cost, but measured at fair value for disclosure purposes. The fair value of the Company’s 2025 Notes was determined using observable market prices. The notes were traded in less active markets and were therefore classified as a Level 2 fair value measurement. As of December 31, 2022, the fair value of the notes was $671.9 million. No notes were outstanding as of December 30, 2023. The Company’s other financial instruments, including cash, accounts receivable and accounts payable, are recorded at amounts that approximate their fair values due to their short maturities. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 30, 2023 | |
Derivative Financial Instruments | |
Derivative Financial Instruments | 6. Derivative Financial Instruments The Company uses derivative financial instruments to manage certain exposures to the variability of foreign currency exchange rates. The Company’s objective is to offset increases and decreases in expenses resulting from these exposures with gains and losses on the derivative contracts, thereby reducing volatility of earnings. Cash Flow Hedges Foreign Currency Forward Contracts The Company may use foreign currency forward contracts to reduce the earnings impact that exchange rate fluctuations have on operating expenses denominated in currencies other than the U.S. dollar. Changes in the fair value of the contracts are recorded in accumulated other comprehensive loss in the Consolidated Balance Sheet and subsequently reclassified into earnings in the period during which the hedged transaction is recognized. The reclassified amount is reported in the same financial statement line item as the hedged item. If the foreign currency forward contracts are terminated or can no longer qualify as hedging instruments prior to maturity, the fair value of the contracts recorded in accumulated other comprehensive loss may be recognized in the Consolidated Statement of Operations based on an assessment of the contracts at the time of termination. As of December 30, 2023, the contracts had maturities of one Non-designated Hedges Foreign Currency Forward Contracts The Company may use foreign currency forward contracts to reduce the earnings impact that exchange rate fluctuations have on non-U.S. dollar balance sheet exposures. The Company recognizes gains and losses on the foreign currency forward contracts in interest income and other, net in the Consolidated Statement of Operations in the same period as the remeasurement loss and gain of the related foreign currency denominated asset or liability. The Company does not apply hedge accounting to these foreign currency forward contracts. As of December 30, 2023, the Company held no such foreign currency forward contracts. The fair value of the foreign contracts and contract gains and losses recognized in income were not material for any of the periods presented. |
Supplemental Information
Supplemental Information | 12 Months Ended |
Dec. 30, 2023 | |
Supplemental Information | |
Supplemental Information | 7. Supplemental Information The following tables show the details of selected Consolidated Balance Sheet items (in thousands): Inventories December 30, December 31, 2023 2022 Work in progress $ 173,802 $ 75,112 Finished goods 20,493 25,305 $ 194,295 $ 100,417 7. Supplemental Information (Continued) Property and Equipment December 30, December 31, 2023 2022 Buildings and improvements $ 130,482 $ 125,471 Equipment 68,703 62,304 Computers and purchased software 51,755 55,065 Leasehold interest in ground leases 23,840 23,840 Leasehold improvements 14,971 14,209 Furniture and fixtures 9,574 9,909 299,325 290,798 Accumulated depreciation (153,435) (138,782) $ 145,890 $ 152,016 Other Assets, net December 30, December 31, 2023 2022 Equity-method investment (1) $ — $ 27,478 Other 123,313 67,275 $ 123,313 $ 94,753 (1) At December 31, 2022, the Company held an 8% equity interest in Walden Technology Ventures III, a limited partnership. In fiscal 2023, the Company sold its ownership in this investment and recognized the net loss of $15.2 million in the Consolidated Statement of Operations. Other Current Liabilities December 30, December 31, 2023 2022 Accrued compensation and benefits $ 16,891 $ 43,736 Income taxes payable 6,133 11,472 Other 35,931 33,928 $ 58,955 $ 89,136 Other Non-Current Liabilities December 30, December 31, 2023 2022 Lease liability – non-current $ 19,830 $ 18,009 Other 50,974 31,062 $ 70,804 $ 49,071 |
Risks and Uncertainties
Risks and Uncertainties | 12 Months Ended |
Dec. 30, 2023 | |
Risks and Uncertainties | |
Risks and Uncertainties | 8. Risks and Uncertainties Financial Instruments Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash equivalents, investments, accounts receivable and derivatives. The Company places its cash equivalents and investments primarily in municipal bonds, money market funds, corporate bonds, U.S. government securities, agency bonds, asset-back securities, and Yankee bonds. Concentrations of credit risk with respect to accounts receivable are primarily due to customers with large outstanding balances. The Company’s customers that accounted for greater than 10% of accounts receivable consisted of the following: December 30, December 31, 2023 2022 Arrow Electronics * 29 % Other 13 % * * Less than 10% of accounts receivable The Company performs periodic credit evaluations of its customers’ financial condition and generally requires no collateral from its customers. The Company provides an allowance for expected credit losses based upon the net amount expected to be collected on such receivables. Losses have not been significant for any of the periods presented. As a result of its use of derivative instruments, the Company is exposed to the risk that its counterparties will fail to meet their contractual obligations. To mitigate this counterparty credit risk, the Company has a policy to enter into contracts with only selected major financial institutions. The Company periodically reviews and re-assesses the creditworthiness of such counterparties based on a variety of factors. Distributor Advances On sales to distributors, the Company’s payment terms often require the distributor to initially pay amounts owed to the Company for an amount in excess of their ultimate cost. The Company’s sales price to its distributors may be higher than the amount that the distributors will ultimately owe the Company because distributors often negotiate price reductions after purchasing the product from the Company and such reductions are often significant. These negotiated price discounts are not granted until the distributor sells the product to the end customer, which may occur after the distributor has paid the original invoice amount to the Company. Payment of invoices prior to receiving an associated discount can have an adverse impact on the working capital of the Company’s distributors. Accordingly, the Company has entered into agreements with certain distributors whereby it advances cash to the distributors to reduce the distributor’s working capital requirements. The advance amounts are based on the distributor’s inventory balance, and are adjusted quarterly. Such amounts are recorded in prepaid expenses and other current assets in the Consolidated Balance Sheet. The terms of these advances are set forth in binding legal agreements and are unsecured, bear no interest on unsettled balances and are due upon demand. The agreements governing these advances can be cancelled by the Company at any time. Suppliers A significant portion of the Company’s products are fabricated by Taiwan Semiconductor Manufacturing Co. (“TSMC”) or Semiconductor Manufacturing International Corporation (“SMIC”). The inability of TSMC or SMIC to deliver wafers to the Company on a timely basis could impact the production of the Company’s products for a substantial period of time, which could have a material adverse effect on the Company’s business, financial condition, results of operations and cash flows. 8. Risks and Uncertainties (Continued) Customers The Company sells directly to end customers, distributors and contract manufacturers. Although the Company actually sells the products to, and is paid by, distributors and contract manufacturers, the Company refers to the end customer as its customer. None of the Company’s end customers accounted for greater than 10% of revenue during fiscal 2023, 2022 or 2021. The Company’s distributors that accounted for greater than 10% of revenue consisted of the following: Year Ended December 30, December 31, January 1, 2023 2022 2022 Arrow Electronics 34 % 33 % 28 % Edom Technology 15 % 17 % 18 % Sekorm * * 12 % * Less than 10% of revenue |
Other Intangible Assets, Net
Other Intangible Assets, Net | 12 Months Ended |
Dec. 30, 2023 | |
Other Intangible Assets, Net | |
Other Intangible Assets, Net | 9. Other Intangible Assets, Net The gross carrying amount and accumulated amortization of other intangible assets, net are as follows (in thousands): Weighted-Average Amortization December 30, 2023 December 31, 2022 Period Gross Accumulated Gross Accumulated (Years) Amount Amortization Amount Amortization Developed technology 8 $ 211,217 $ (151,722) $ 211,217 $ (126,424) Trademarks 12 910 (872) 910 (796) Total intangible assets 8 $ 212,127 $ (152,594) $ 212,127 $ (127,220) The following table presents details of intangible asset amortization expense recognized in the Consolidated Statements of Operations (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Research and development $ 25,298 $ 28,962 $ 32,319 Selling, general and administrative 76 5,109 12,186 $ 25,374 $ 34,071 $ 44,505 The estimated aggregate amortization expense for intangible assets subject to amortization for each of the five succeeding fiscal years is as follows (in thousands): Fiscal Year 2024 $ 23,034 2025 13,369 2026 9,178 2027 9,178 2028 4,039 |
Debt
Debt | 12 Months Ended |
Dec. 30, 2023 | |
Debt | |
Debt | 10. Debt 0.625% Convertible Senior Notes On June 1, 2020, the Company completed a private placement of $535 million principal amount convertible senior notes (the “2025 Notes”). The 2025 Notes bore interest semi-annually at a rate of 0.625% per year and were scheduled to mature on June 15, 2025. The 2025 Notes were convertible at a conversion rate of 8.1980 shares of common stock per $1,000 principal amount of the 2025 Notes, or approximately 4.4 million shares of common stock, which was equivalent to a conversion price of $121.98 per share. The conversion rate was subject to adjustment under certain circumstances. Holders may have converted the 2025 Notes under the following circumstances: during any calendar quarter after the calendar quarter ended on September 30, 2020 if the closing price of the Company’s common stock for at least 20 trading days in the 30 consecutive trading days ending on the last trading day of the preceding calendar quarter is greater than or equal to $159.51 per share, representing 130% of the conversion price of the 2025 Notes (“the Sales Price Trigger”); during the five business day period after any ten consecutive trading day period (the “measurement period”) in which the trading price per $1,000 principal amount of notes for each trading day of the measurement period was less than 98% of the product of the closing sale price of our common stock and the conversion rate on each such trading day; if specified distributions or corporate events occur; if the 2025 Notes are called for redemption; or at any time after March 15, 2025. The Company may have redeemed all or any portion of the 2025 Notes, at its option, on or after June 20, 2023, if the last reported sale price of the Company’s common stock has been at least 130% of the conversion price then in effect for at least 20 trading days during any 30 consecutive trading day period. 10. Debt (Continued) The principal balance of the 2025 Notes was initially separated into liability and equity components, and recorded at fair value. The excess of the principal amount of the liability component over its carrying amount represented the debt discount, which was amortized to interest expense over the term of the 2025 Notes using the effective interest method. With the Company’s adoption of ASU 2020-06 in fiscal 2022, the principal balance of the 2025 Notes was no longer separated between liability and equity components. This resulted in an increase to the carrying value of its convertible debt, representing the unamortized debt discount as of January 2, 2022, with an offsetting reduction in stockholders’ equity. The Company incurred debt issuance costs of $10.4 million, which were allocated to the liability and equity components in proportion to the allocation of the proceeds. Upon the adoption of ASU 2020-06, the equity component was reclassified to liabilities and remeasured to reflect cumulative amortization since the issuance of the 2025 Notes. On March 22, 2023, the Company issued a notice of redemption for the 2025 Notes. Prior to the redemption, the Company received conversion notices representing $533.6 million principal amount of the notes. The Company paid $533.6 million in cash and issued 0.9 million shares of common stock, as well as $47 thousand in cash in lieu of fractional shares, for the conversions. Notes representing $1.4 million principal amount were redeemed at par, plus accrued interest. All note conversions and redemptions were completed in June 2023. The liability component of the 2025 Notes is recorded in convertible debt on the Consolidated Balance Sheet. Prior to the Company’s adoption of ASU 2020-06, the equity component of the 2025 Notes was recorded in stockholders’ equity. The effective interest rate for the liability component was 5.336 %. As of December 30, 2023, there were no remaining debt issuance costs. Interest expense related to the Company’s convertible debt was comprised of the following (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Contractual interest expense $ 1,493 $ 3,346 $ 3,662 Amortization of debt discount — — 21,112 Amortization of debt issuance costs 960 2,003 1,655 $ 2,453 $ 5,349 $ 26,429 Credit Facility The Company and certain of its domestic subsidiaries (the “Guarantors”) have a $400 million revolving credit facility, as amended on June 30, 2023, with a maturity date of June 30, 2028. The credit facility includes a $25 million letter of credit sublimit and a $10 million swingline loan sublimit. The Company also has an option to increase the size of the borrowing capacity by up to the greater of an aggregate of $250 million and 100% of EBITDA of the last four fiscal quarters, plus an amount that would not cause a secured net leverage ratio (funded debt secured by assets/EBITDA) to exceed 3.50 to 1.00, subject to certain conditions. 10. Debt (Continued) Credit Facility (Continued) The credit facility, other than swingline loans, will bear interest at the Adjusted Term Secured Overnight Financing Rate (“SOFR”) plus an applicable margin or, at the option of the Company, a base rate (defined as the highest of the Wells Fargo prime rate, the Federal Funds rate plus 0.50% and the Adjusted Term SOFR plus 1.00% ) plus an applicable margin. Swingline loans accrue interest at the base rate plus the applicable margin for base rate loans. The applicable margins for the Adjusted Term SOFR loans range from 1.00% to 1.75% and for base rate loans range from 0.00% to 0.75% , depending in each case, on the leverage ratio as defined in the credit facility. The credit facility contains various conditions, covenants and representations with which the Company must be in compliance in order to borrow funds and to avoid an event of default, including financial covenants that the Company must maintain a consolidated net leverage ratio (funded indebtedness less cash and cash equivalents up to $750 million and divided by EBITDA) of no more than 4.25 to 1, and a minimum interest coverage ratio (EBITDA/interest payments) of no less than 2.50 to 1. As of December 30, 2023, the Company was in compliance with all covenants of the credit facility. The Company’s obligations under the credit facility are guaranteed by the Guarantors and are secured by a security interest in substantially all assets of the Company and the Guarantors. As of December 30, 2023, $45.0 million was outstanding on the credit facility, with a weighted average interest rate of 6.46%. |
Leases
Leases | 12 Months Ended |
Dec. 30, 2023 | |
Leases | |
Leases | 11. Leases The Company leases certain facilities under operating lease agreements that expire at various dates through 2030. Some of these arrangements contain renewal options and require the Company to pay taxes, insurance and maintenance costs. Lease costs for operating leases were $7.8 million, $7.3 million and $7.4 million during fiscal 2023, 2022 and 2021, respectively. Supplemental Lease Information Consolidated Balance December 30, December 31, Balance Sheet Information (in thousands) Sheet Classification 2023 2022 Operating lease right-of-use assets Other assets, net $ 26,740 $ 24,717 Operating lease liabilities Other current liabilities $ 7,185 $ 6,281 Operating lease liabilities Other non-current liabilities $ 19,830 $ 18,009 Year Ended December 30, December 31, Cash Flow Information (in thousands) 2023 2022 Cash paid for operating lease liabilities $ 7,487 $ 7,518 Right-of-use assets obtained in exchange for operating lease obligations $ 534 $ 3,198 December 30, December 31, Operating Lease Information 2023 2022 Weighted-average remaining lease term 5.1 years Weighted-average discount rate 4.72 % 3.96 % 11. Leases (Continued) The maturities of operating lease liabilities as of December 30, 2023 were as follows (in thousands): Fiscal Year 2024 $ 7,772 2025 6,251 2026 4,559 2027 3,737 2028 2,676 Thereafter 6,219 Total lease payments 31,214 Less imputed interest (4,199) Total lease liabilities $ 27,015 Lease income The Company leases a portion of its headquarter facilities to other tenants. Lease income from operating leases was $3.1 million, $6.2 million and $4.9 million during fiscal 2023, 2022 and 2021, respectively. Maturities of lease income as of December 30, 2023 were as follows (in thousands): Fiscal Year 2024 $ 2,481 2025 1,919 2026 1,322 2027 439 2028 452 Thereafter 233 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 30, 2023 | |
Commitments and Contingencies | |
Commitments and Contingencies | 12. Commitments and Contingencies Litigation The Company is involved in various legal proceedings that have arisen in the normal course of business. While the ultimate results cannot be predicted with certainty, the Company does not expect them to have a material adverse effect on its Consolidated Financial Statements. |
Share Repurchases
Share Repurchases | 12 Months Ended |
Dec. 30, 2023 | |
Share Repurchases | |
Share Repurchases | 13. Share Repurchases The Company repurchased 1.5 million shares, 6.9 million shares and 6.5 million shares of its common stock for $213.0 million, $887.6 million, and $1.15 billion during fiscal 2023, 2022 and 2021, respectively. Shares repurchased in fiscal 2021 included purchases of 4.0 million shares through a tender offer, 1.7 million shares through an accelerated share repurchase agreement and 0.8 million shares through the Company’s existing share repurchase program. |
Revenues
Revenues | 12 Months Ended |
Dec. 30, 2023 | |
Revenues | |
Revenues | 14. Revenues The Company groups its products as Industrial & Commercial or Home & Life based on the target markets they address. The following represents revenue by product category (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Industrial & Commercial $ 496,578 $ 573,725 $ 377,401 Home & Life 285,680 450,381 343,459 $ 782,258 $ 1,024,106 $ 720,860 A portion of the Company’s sales are made to distributors under agreements allowing certain rights of return and/or price protection related to the final selling price to the end customers. These factors impact the timing and uncertainty of revenues and cash flows. The Company did not recognize any revenue during fiscal 2023 from performance obligations that were satisfied in previous reporting periods, and recognized revenue of $30.1 million and $12.4 million during fiscal 2022 and 2021, respectively, from performance obligations that were satisfied in previous reporting periods. The following disaggregates the Company’s revenue by sales channel (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Distributors $ 611,332 $ 829,373 $ 584,010 Direct customers 170,926 194,733 136,850 $ 782,258 $ 1,024,106 $ 720,860 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 30, 2023 | |
Stock-Based Compensation | |
Stock-Based Compensation | 15. Stock-Based Compensation The Company has two active stock plans, the 2009 Stock Incentive Plan (the “2009 Plan”) and the 2009 Employee Stock Purchase Plan (the “2009 ESPP”) that have been amended and approved by shareholders from time to time. ● The 2009 Plan allows for grants of stock options, stock appreciation rights, performance shares, performance stock units, restricted stock units (“RSUs”), restricted stock awards (“RSAs”), performance-based stock units (“PSUs”) and other awards (collectively, “awards”). All awards deduct one share from the 2009 Plan shares available for issuance for each share granted. Awards granted under the 2009 Plan contain vesting provisions mostly ranging from three to four years . To the extent awards granted under the 2009 Plan terminate, expire, or lapse for any reason, or are settled in cash, shares subject to such awards will again be available for grant. ● The 2009 ESPP allows eligible employees to purchase a limited number of shares of the Company’s common stock at no less than 85% of the fair market value of a share of common stock at prescribed purchase intervals during an offering period. Each offering period is comprised of a series of one or more successive and/or overlapping purchase intervals and has a maximum term of 27 months . 2009 Plan The Company granted to its employees 0.5 million, 0.5 million and 0.6 million shares of full value awards from the 2009 Plan during fiscal 2023, 2022 and 2021, respectively. Full value awards include RSUs, MSUs, and PSUs. MSUs provide the rights to acquire a number of shares of common stock for no cash consideration based upon achievement of specified levels of market conditions. The requisite measurement period for these MSUs is also the vesting period, which is generally three years. MSUs granted in 2020 measured the relative performance of the total stockholders’ return of the Company against that of a selected benchmarked group of companies. The Company granted no MSUs in fiscal 2023, 2022 and 2021. 15. Stock-Based Compensation (Continued) PSUs provide for the rights to acquire a number of shares of common stock for no cash consideration based upon the achievement of specified revenue or profitability objectives during the year. The requisite performance period of these PSUs is approximately three years from the date of grant. The Company granted 85,554, 52,078, and 116,809 PSUs in fiscal 2023, 2022, and 2021, respectively. 2009 ESPP The rights to purchase common stock granted under the 2009 ESPP are intended to be treated as either (i) purchase rights granted under an “employee stock purchase plan,” as that term is defined in Section 423(b) of the Internal Revenue Code (the “423(b) Plan”), or (ii) purchase rights granted under an employee stock purchase plan that is not subject to the terms and conditions of Section 423(b) of the Internal Revenue Code (the “Non-423(b) Plan”). The Company will retain the discretion to grant purchase rights under either the 423(b) Plan or the Non-423(b) Plan. During fiscal 2023, 2022 and 2021, the Company issued 154,000, 109,000, and 146,000 shares, respectively, under the 2009 ESPP to its employees. The weighted-average fair value for purchase rights granted in fiscal 2023 under the 2009 ESPP was $27.81 per share. Accounting for Stock-Based Compensation Stock-based compensation costs are based on the fair values on the date of grant for awards under the 2009 Plan, and on the date of enrollment for grants under the 2009 ESPP. The fair values of stock awards (such as RSUs, PSUs and RSAs) are estimated based on their intrinsic values. The fair values of MSUs are estimated using a Monte Carlo simulation. The fair values of stock options and grants under the 2009 ESPP are estimated using the Black-Scholes option-pricing model. The fair values of all such stock-based grants are generally amortized on a straight-line basis over the vesting period of the grants. The Company estimates potential forfeitures of stock grants and adjusts compensation cost recorded accordingly. The estimate of forfeitures will be adjusted over the requisite service period to the extent that actual forfeitures differ, or are expected to differ, from such estimates. Changes in estimated forfeitures are recognized through a cumulative catch-up adjustment in the period of change and will also impact the amount of stock-based compensation expense to be recognized in future periods. The following table presents details of stock-based compensation costs recognized in the Consolidated Statements of Operations (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Cost of revenues $ 906 $ 1,152 $ 964 Research and development 35,491 32,860 24,986 Selling, general and administrative 11,812 26,498 30,892 48,208 60,510 56,842 Income tax benefit (6,230) (5,980) (954) Share-based compensation – continuing operations 41,978 54,530 55,888 Share-based compensation – discontinued operations, net — — (2,007) Total $ 41,978 $ 54,530 $ 53,881 The Company recorded $0.6 million and $7.8 million of stock-based compensation charges included in selling, general and administrative expense during fiscal 2023 and fiscal 2021, respectively, in connection with the modification of certain equity awards. The modifications were pursuant to employee terminations. There were no other significant modifications made to any stock grants during fiscal 2023, 2022 or 2021. The Company had approximately $88.7 million of total unrecognized compensation cost related to equity grants as of December 30, 2023 that is expected to be recognized over a weighted-average period of approximately 2.0 years. There were no significant stock-based compensation costs capitalized into assets in any of the periods presented. 15. Stock-Based Compensation (Continued) Fair value assumptions and stock awards activity The fair values estimated from the Black-Scholes option-pricing model for ESPP shares granted were calculated using the following assumptions: Year Ended December 30, December 31, January 1, Employee Stock Purchase Plan 2023 2022 2022 Expected volatility 40 % 44 % 42 % Risk-free interest rate % 5.47 % 3.18 % 0.05 % Expected term (in months) 9 9 9 Dividend yield — — — A summary of stock-based compensation activity with respect to fiscal 2023 follows: Weighted- Weighted-Average Aggregate Average Remaining Intrinsic Shares Exercise Contractual Term Value Stock Options (000s) Price (In Years) (000s) Outstanding at December 31, 2022 118 $ 38.80 3.12 $ 11,457 Exercised 24 $ 37.88 $ 2,162 Outstanding at December 30, 2023 94 $ 39.03 2.12 $ 8,790 Vested at December 30, 2023 and expected to vest 94 $ 39.03 2.12 $ 8,790 Exercisable at December 30, 2023 94 $ 39.03 2.12 $ 8,790 Weighted- Weighted-Average Aggregate Average Remaining Intrinsic Shares Grant Date Vesting Term Value RSAs and RSUs (000s) Fair Value (In Years) (000s) Outstanding at December 31, 2022 897 $ 134.74 Granted 420 $ 137.11 Vested or issued (416) $ 127.51 Cancelled or forfeited (77) $ 142.05 Outstanding at December 30, 2023 824 $ 139.34 1.14 $ 109,044 Outstanding at December 30, 2023 and expected to vest 759 $ 139.36 1.14 $ 100,329 Weighted- Weighted-Average Aggregate Average Remaining Intrinsic Shares Grant Date Vesting Term Value PSUs and MSUs (000s) Fair Value (In Years) (000s) Outstanding at December 31, 2022 225 $ 134.93 Granted 86 $ 188.45 Vested or issued (33) $ 92.31 Cancelled or forfeited (33) $ 95.47 Outstanding at December 30, 2023 245 $ 164.62 1.22 $ 32,438 Outstanding at December 30, 2023 and expected to vest 85 $ 132.99 1.22 $ 11,205 15. Stock-Based Compensation (Continued) The following summarizes the Company’s weighted average fair value at the date of grant: Year Ended December 30, December 31, January 1, 2023 2022 2022 Per grant of RSAs and RSUs $ 137.11 $ 144.40 $ 135.28 Per grant of PSUs and MSUs $ 188.45 $ 160.97 $ 145.11 The following summarizes the Company’s stock-based payment and stock option values (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Intrinsic value of stock options exercised $ 2,162 $ — $ 986 Intrinsic value of RSUs that vested $ 61,371 $ 57,621 $ 76,654 Grant date fair value of RSUs that vested $ 53,088 $ 41,610 $ 47,726 Intrinsic value of PSUs and MSUs that vested $ 5,163 $ — $ 5,231 Grant date fair value of PSUs and MSUs that vested $ 3,037 $ — $ 3,562 As of December 30, 2023, the Company had reserved shares of common stock for future issuance as follows (in thousands): 2009 Plan 2,096 2009 ESPP 991 Total shares reserved 3,087 |
Employee Benefit Plan
Employee Benefit Plan | 12 Months Ended |
Dec. 30, 2023 | |
Employee Benefit Plan | |
Employee Benefit Plan | 16. Employee Benefit Plan The Company maintains a defined contribution or 401(k) Plan for its qualified U.S. employees. Participants may contribute a percentage of their compensation on a pre-tax basis, subject to a maximum annual contribution imposed by the Internal Revenue Code. The Company may make discretionary matching contributions as well as discretionary profit-sharing contributions to the 401(k) Plan. The Company contributed $3.3 million, $3.2 million and $3.5 million to the 401(k) Plan during fiscal 2023, 2022 and 2021, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 30, 2023 | |
Income Taxes | |
Income Taxes | 17. Income Taxes Income (loss) from continuing operations, inclusive of equity-method earnings (loss) and before income taxes, includes the following components (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Domestic $ (14,539) $ 32,088 $ (15,384) Foreign (12,034) 97,764 (29,063) $ (26,573) $ 129,852 $ (44,447) 17. Income Taxes (Continued) The provision (benefit) for income taxes consists of the following (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Current: Domestic $ 3,291 $ 52,834 $ (12,630) Foreign 15,599 3,856 9,447 Total Current 18,890 56,690 (3,183) Deferred: Domestic (9,036) (17,728) 17,873 Foreign (1,911) (512) (1,263) Total Deferred (10,947) (18,240) 16,610 Provision for income taxes $ 7,943 $ 38,450 $ 13,427 The reconciliation of the federal statutory tax rate to the Company’s effective tax rate is as follows: Year Ended December 30, December 31, January 1, 2023 2022 2022 Federal statutory rate 21.0 % 21.0 % 21.0 % Foreign tax rate benefit (33.2) (6.2) (16.4) (Nondeductible) nontaxable foreign items (25.5) 4.4 (7.2) GILTI and Subpart F income, net of foreign tax credits (24.2) 16.5 (2.4) Base erosion and anti-abuse tax (7.4) — — (Nondeductible) nontaxable domestic items (3.6) 0.7 (2.8) Foreign withholding taxes (2.2) 0.4 — State tax expense (1.5) 1.2 (0.8) Change in prior period valuation allowance (1.5) (0.3) (10.5) Net operating loss not benefited — — (6.0) Other tax effects of equity compensation 1.1 (0.3) 0.5 Nondeductible officer compensation 1.3 2.0 (10.3) Excess tax benefit of stock-based compensation 4.0 (1.1) 3.7 Return to provision adjustments 16.5 (2.0) 0.8 Research and development tax credits 26.4 (5.3) 0.1 Other (1.1) (1.4) 0.1 Effective tax rate (29.9) % 29.6 % (30.2) % 17. Income Taxes (Continued) The decrease in the provision for income taxes for fiscal 2023 was primarily due to decreases in pre-tax book income and global intangible low-taxed income inclusions as compared to fiscal 2022. The provision for income taxes for fiscal 2022 increased from fiscal 2021 primarily due to the recognition of certain tax benefits for fiscal 2021 in discontinued operations under FASB ASU 2019-12, Simplifying the Accounting for Income Taxes, Under ASU 2019-12, the income tax benefit of a loss from continuing operations should be recognized in discontinued operations if the Company would be unable to benefit from the loss without considering the income from discontinued operations. As such, tax benefits associated with losses incurred for fiscal 2021 were recognized in discontinued operations. The Tax Cuts and Jobs Act (the “Act”) was enacted on December 22, 2017. Under the Act, research and experimental expenditures incurred for tax years beginning after December 31, 2021 must be capitalized and amortized ratably over five or fifteen years for tax purposes, depending on where the research activities are conducted. The Company has elected to treat global intangible low-taxed income (“GILTI”) as a period cost, so the capitalization of research and experimental costs in GILTI increases the Company’s provision for income taxes. Additionally, the Act required companies to pay a one-time transition tax on earnings of certain foreign subsidiaries that were previously deferred from U.S. income tax under U.S. tax law. The Company elected to pay the transition tax over the eight-year period provided in the Act. As of December 30, 2023, the unpaid balance of its transition tax obligation was $14.3 million, which is payable between April 2024 and April 2025. This was recorded as components of other current liabilities and other non-current liabilities in the Consolidated Balance Sheet in the amounts of $6.4 million and $7.9 million, respectively. 17. Income Taxes (Continued) Deferred Income Taxes Deferred tax assets and liabilities are recorded for the estimated tax impact of temporary differences between the tax basis and book basis of assets and liabilities. Significant components of the Company’s deferred taxes as of December 30, 2023 and December 31, 2022 were as follows (in thousands): December 30, December 31, 2023 2022 Deferred tax assets: Capitalized research and development $ 27,402 $ 15,188 Tax credit carryforwards 13,303 13,334 Intangible assets 7,188 7,938 Net operating loss carryforwards 6,911 4,965 Leases 6,584 5,517 Deferred income on shipments to distributors 6,465 6,726 Accrued liabilities 2,859 6,809 Other 3,072 7,118 73,784 67,595 Less: Valuation allowance (10,530) (9,409) 63,254 58,186 Deferred tax liabilities: Intangible assets 13,916 13,789 Fixed assets 8,353 8,518 Leases 6,238 5,189 Prepaid expenses and other 4,534 5,637 Unrealized gain on equity-method investment — 4,120 33,041 37,253 Net deferred tax assets (liabilities) $ 30,213 $ 20,933 As of December 30, 2023, the Company had foreign net operating loss and research and development tax credit carryforwards of approximately $47.2 million and $0.2 million, respectively. The foreign net operating loss carryforward does not expire. The foreign research and development tax credits expire in fiscal years 2042 through 2043. The Company also had U.S. federal net operating loss and research and development tax credit carryforwards of approximately $12.4 million and $1.1 million, respectively. These carryforwards expire in fiscal years 2026 through 2031. Recognition of these loss and credit carryforwards is subject to an annual limit, which may cause them to expire before they are used. Additionally, the Company had state loss, state research and development, and state alternative minimum tax credit carryforwards of approximately $28.2 million, $12.9 million, and $0.1 million, respectively. Certain of these carryforwards expire in fiscal years 2025 through 2036, and others do not expire. Recognition of some of these loss and credit carryforwards is subject to an annual limit, which may cause them to expire before they are used. 17. Income Taxes (Continued) A valuation allowance is established against a deferred tax asset when it is more likely than not that the deferred tax asset will not be realized. The Company maintains a valuation allowance with respect to certain deferred tax assets relating to state research and development tax credits, state net operating loss carryforwards and state alternative minimum tax credits. The following table summarizes the activity related to the valuation allowance for deferred tax assets (in thousands): Balance at Additions Balance at Beginning of Charged to End of Period Expenses Deductions Period Year ended December 30, 2023 $ 9,409 $ 1,121 — $ 10,530 Year ended December 31, 2022 $ 9,529 $ 792 $ (912) $ 9,409 Year ended January 1, 2022 $ 5,311 $ 5,370 $ (1,152) $ 9,529 Prior to fiscal 2023, the Company asserted permanent reinvestment of the earnings of all foreign subsidiaries, except for Singapore and China. During fiscal 2023, the Company modified its previous indefinite reinvestment assertion for the remaining foreign subsidiaries and recorded a deferred tax liability for applicable withholding taxes on the undistributed earnings in those jurisdictions. Uncertain Tax Positions The following table summarizes the activity related to gross unrecognized tax benefits (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Beginning balance $ 4,109 $ 3,677 $ 2,853 Additions based on tax positions related to current year 737 872 830 Additions based on tax positions related to prior years 22 — — Reductions based on tax positions related to prior years — (6) (6) Reductions for tax positions as a result of a lapse of the applicable statute of limitations — (434) — Ending balance $ 4,868 $ 4,109 $ 3,677 As of December 30, 2023, December 31, 2022 and January 1, 2022, the Company had gross unrecognized tax benefits, inclusive of interest, of $5.4 million, $4.4 million and $3.9 million, respectively, of which $5.1 million, $4.4 million and $3.9 million, respectively, would affect the effective tax rate if recognized. The Company recognizes interest and penalties related to unrecognized tax benefits in the provision for income taxes. These amounts were not material for any of the periods presented. Following the completion of the Norwegian Tax Administration (“NTA”) examination of the Company’s Norwegian subsidiary for income tax matters relating to fiscal years 2013 – 2016, the Company received an assessment from the NTA in December 2017 concerning an adjustment to its 2013 taxable income related to the pricing of an intercompany transaction. The Company is currently appealing the assessment. The adjustment to the pricing of the intercompany transaction results in approximately 141.3 million Norwegian kroner, or $13.9 million, additional Norwegian income tax. The Company disagrees with the NTA’s assessment and believes the Company’s position on this matter is more likely than not to be sustained. The Company plans to exhaust all available administrative remedies, and if unable to resolve this matter through administrative remedies with the NTA, the Company plans to pursue judicial remedies. 17. Income Taxes (Continued) The Company believes that it has accrued adequate reserves related to all matters contained in tax periods open to examination. Should the Company experience an unfavorable outcome in the NTA matter, however, such an outcome could have a material impact on its financial statements. Tax years 2015 through 2023 remain open to examination by the major taxing jurisdictions in which the Company operates. The Company’s 2021 tax year is currently under examination in India. Although the outcome of tax audits is always uncertain, the Company believes that the results of the examination will not materially impact its financial position or results of operations. The Company is not currently under audit in any other major taxing jurisdiction. The Company believes it is reasonably possible that its gross unrecognized benefits will decrease by approximately $1.7 million, inclusive of interest, in the next 12 months due to the lapse of the statute of limitations. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 30, 2023 | |
Segment Information | |
Segment Information | 18. Segment Information The Company has one operating segment, mixed-signal analog intensive products, consisting of numerous product areas. The Company’s chief operating decision maker is considered to be its Chief Executive Officer. The chief operating decision maker allocates resources and assesses performance of the business and other activities at the operating segment level. The Company groups its products into two categories, based on the target markets they address. See Note 14, Revenues Revenue is attributed to a geographic area based on the shipped-to location. The following summarizes the Company’s revenue by geographic area (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 United States $ 92,550 $ 176,379 $ 97,471 China 219,741 334,821 311,513 Taiwan 90,382 105,602 68,196 Rest of world 379,585 407,304 243,680 Total $ 782,258 $ 1,024,106 $ 720,860 The following summarizes the Company’s property and equipment, net by geographic area (in thousands): December 30, December 31, 2023 2022 United States $ 116,357 $ 121,031 Rest of world 29,533 30,985 Total $ 145,890 $ 152,016 |
Restructuring Activities
Restructuring Activities | 12 Months Ended |
Dec. 30, 2023 | |
Restructuring Activities | |
Restructuring Activities | 19. Restructuring Activities During the fourth quarter of 2023, the Company implemented a workforce reduction of approximately 10% of its employees to reduce costs and align its business in response to market conditions. In fiscal 2023, the Company incurred employee separation costs of $9.1 million and non-cash charges for the accelerated vesting of certain equity awards of approximately $0.6 million. Employee separation costs of $6.0 million were recorded to research and development expenses and $3.0 million were recorded to selling, general and administrative expenses Consolidated Statement of Operations |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 30, 2023 | |
Significant Accounting Policies | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The Company prepares financial statements on a 52- or 53-week fiscal year that ends on the Saturday closest to December 31. Fiscal 2023, 2022, and 2021 had 52 weeks. Fiscal 2023, 2022 and 2021 ended on December 30, 2023, December 31, 2022, and January 1, 2022, respectively. The accompanying Consolidated Financial Statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. |
Foreign Currency Transactions | Foreign Currency Transactions The Company’s foreign subsidiaries are considered to be extensions of the U.S. Company. The functional currency of the foreign subsidiaries is the U.S. dollar. Accordingly, gains and losses resulting from remeasuring transactions denominated in currencies other than U.S. dollars are included in interest income and other, net in the Consolidated Statements of Operations. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Among the significant estimates affecting the financial statements are those related to inventories, goodwill, acquired intangible assets, other long-lived assets, revenue recognition, stock-based compensation and income taxes. Actual results could differ from those estimates, and such differences could be material to the financial statements. The Company periodically reviews the assumptions used in its financial statement estimates. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The fair values of the Company’s financial instruments are recorded using a hierarchical disclosure framework based upon the level of subjectivity of the inputs used in measuring assets and liabilities. The three levels are described below: Level 1 - Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2 - Inputs other than Level 1 that are directly or indirectly observable, such as quoted prices for similar assets or liabilities and quoted prices in less active markets. Level 3 - Inputs are unobservable for the asset or liability and are developed based on the best information available in the circumstances, which might include the Company’s own data. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist of cash deposits, money market funds and investments in debt securities with original maturities of ninety days or less when purchased. |
Investments | Investments The Company’s investments typically have original maturities greater than ninety days as of the date of purchase and are classified as available-for-sale securities. Investments in available-for-sale securities are reported at fair value, with unrealized gains and losses, net of tax, recorded as a component of accumulated other comprehensive loss in the Consolidated Balance Sheet. Investments in which the Company has the ability and intent, if necessary, to liquidate in order to support its current operations (including those with contractual maturities greater than one year from the date of purchase) are classified as short-term. The Company reviews its available-for-sale investments as of the end of each reporting period for declines in fair value based on the specific identification method. The Company records an allowance for credit loss when a decline in fair value is due to credit-related factors. The Company considers various factors in determining whether an investment is impaired, including the severity of the impairment, changes in underlying credit ratings, forecasted recovery, its intent to sell or the likelihood that it would be required to sell the investment before its anticipated recovery in market value and the probability that the scheduled cash payments will continue to be made. When the Company concludes that a credit-related impairment has occurred, the Company assesses whether it intends to sell the security or if it is more likely than not that it will be required to sell the security before recovery. If either of these two conditions is met, the Company recognizes a charge in earnings equal to the entire difference between the security’s amortized cost basis and its fair value. If the Company does not intend to sell a security and it is not more likely than not that it will be required to sell the security before recovery, the unrealized loss is separated into an amount representing the credit loss, which is recognized in earnings, and the amount related to all other factors, which is recorded in accumulated other comprehensive loss. In addition, the Company has made equity investments in non-publicly traded companies. Equity investments in which the Company does not have control, but has the ability to exercise significant influence over operating and financial policies, are accounted for using the equity method. The Company’s proportionate share of income or loss is recorded in equity-method earnings in the Consolidated Statements of Operations. The Company has elected to use the measurement alternative under Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2019-04, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments, |
Derivative Financial Instruments | Derivative Financial Instruments The Company uses derivative financial instruments to manage certain exposures to the variability of foreign currency exchange rates. The Company’s objective is to offset increases and decreases in expenses resulting from these exposures with gains and losses on the derivative contracts, thereby reducing volatility of earnings. The Company does not use derivative contracts for speculative or trading purposes. The Company recognizes derivatives, on a gross basis, in the Consolidated Balance Sheet at fair value. Cash flows from derivatives are classified according to the nature of the cash receipt or payment in the Consolidated Statement of Cash Flows. The Company also uses foreign currency forward contracts to reduce the earnings impact that exchange rate fluctuations have on non-U.S. dollar balance sheet exposures. The Company does not apply hedge accounting to these foreign currency forward contracts. |
Inventories | Inventories Inventories are stated at the lower of cost, determined using the first-in, first-out method, or net realizable value. The Company writes down the carrying value of inventory to net realizable value for estimated obsolescence or unmarketable inventory based upon assumptions about the age of inventory, future demand and market conditions. Inventory impairment charges establish a new cost basis for inventory and charges are not subsequently reversed to income even if circumstances later suggest that increased carrying amounts are recoverable. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is computed using the straight-line method over the useful lives of the assets ranging from three The Company owns the facilities for its headquarters in Austin, Texas. The buildings are located on land which is leased through 2099 from a third party. The rents for these ground leases were prepaid for the term of the leases. The buildings and leasehold interest in ground leases are being depreciated on a straight-line basis over their estimated useful lives of 40 years and 86 years, respectively. |
Business Combinations | Business Combinations The Company records business combinations using the acquisition method of accounting and, accordingly, allocates the fair value of acquisition consideration to the assets acquired and liabilities assumed based on their fair values at the acquisition date. The excess of the fair value of purchase consideration over the fair value of the assets acquired and liabilities assumed is recorded as goodwill. The results of operations of the businesses acquired are included in the Company’s consolidated results of operations beginning on the date of the acquisition. |
Long-Lived Assets | Long-Lived Assets Purchased intangible assets are stated at cost, net of accumulated amortization, and are amortized using the straight-line method over their estimated useful lives, ranging from five Long-lived assets “held and used” by the Company are reviewed for impairment whenever events or changes in circumstances indicate that their net book value may not be recoverable. When such factors and circumstances exist, the Company compares the projected undiscounted future cash flows associated with the related asset or group of assets over their estimated useful lives against their respective carrying amounts. Impairment, if any, is based on the excess of the carrying amount over the fair value of those assets and is recorded in the period in which the determination was made. The Company tests goodwill for impairment annually as of the first day of its fourth fiscal quarter and in interim periods if events occur that would indicate that the carrying value of goodwill may be impaired. The Company assesses goodwill for impairment by comparing the fair value of the reporting unit to its carrying amount. In determining fair value, several valuation methodologies are allowed, although quoted market prices are the best evidence of fair value. If the fair value of the reporting unit is less than its carrying amount, an impairment loss is recognized equal to that excess amount. |
Leases | Leases At the commencement date of a lease, the Company recognizes a liability to make lease payments and an asset representing the right to use the underlying asset during the lease term. The lease liability is measured at the present value of lease payments over the lease term. As its leases typically do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the commencement date taking into consideration necessary adjustments for collateral, depending on the facts and circumstances of the lessee and the leased asset, and term to match the lease term. The right-of-use (“ROU”) asset is measured at cost, which includes the initial measurement of the lease liability and initial direct costs incurred by the Company and excludes lease incentives. Lease liabilities are recorded in other current liabilities and other non-current liabilities. ROU assets are recorded in other assets, net. Lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Operating lease costs are recognized on a straight-line basis over the lease term. Lease agreements that contain both lease and non-lease components are generally accounted for separately. |
Revenue Recognition | Revenue Recognition Revenue is recognized when control of the promised goods or services is transferred to the customer, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. Substantially all of the Company’s contracts with customers contain a single performance obligation, the sale of mixed-signal integrated circuit (IC) products. This performance obligation is satisfied when control of the product is transferred to the customer, which typically occurs upon delivery. Unsatisfied performance obligations primarily represent contracts for products with future delivery dates. The Company has opted to not disclose the amount of unsatisfied performance obligations as these contracts have original expected durations of less than one year . The transaction price reflects the Company’s expectations about the consideration it will be entitled to receive from the customer and may include fixed or variable amounts. Variable consideration primarily includes sales made to distributors under agreements allowing certain rights of return, referred to as stock rotation, and credits issued to the distributor due to price protection. The Company estimates variable consideration at the most likely amount to which it expects to be entitled. The estimate is based on information available to the Company, including recent sales activity and pricing data. The Company applies a constraint to its variable consideration estimate which considers both the likelihood of a return and the amount of a potential price concession. Variable consideration that does not meet revenue recognition criteria is deferred. The Company records a right of return asset in prepaid expenses and other current assets for the costs of distributor inventory not meeting revenue recognition criteria. A corresponding deferred revenue and returns liability amount is recorded for unrecognized revenue associated with such costs. The Company’s products carry a one-year replacement warranty. Payments are typically due within 30 days of invoicing and do not include a significant financing component. |
Shipping and Handling | Shipping and Handling Shipping and handling costs are classified as a component of cost of revenues in the Consolidated Statements of Operations. |
Stock-Based Compensation | Stock-Based Compensation The Company has stock-based compensation plans, which are more fully described in Note 15, Stock-Based Compensation |
Research and Development | Research and Development Research and development costs are expensed as incurred. Research and development expense consists primarily of personnel-related expenses, including stock-based compensation, as well as new product masks, external consulting and services costs, equipment tooling, equipment depreciation, amortization of intangible assets, and an allocated portion of our occupancy costs. Assets purchased to support the Company’s ongoing research and development activities are capitalized when related to products which have achieved technological feasibility or have an alternative future use, and are amortized over their estimated useful lives. |
Advertising | Advertising Advertising costs are expensed as incurred. Advertising expenses were not material for any of the periods presented. |
Income Taxes | Income Taxes The Company accounts for income taxes using the liability method whereby deferred tax asset and liability account balances are determined based on differences between the financial reporting and the tax bases of assets and liabilities and are measured using the enacted tax laws and related rates that will be in effect when the differences are expected to reverse. These differences result in deferred tax assets and liabilities, which are included in the Company’s Consolidated Balance Sheets. The Company then assesses the likelihood that the deferred tax assets will be realized. A valuation allowance is established against deferred tax assets to the extent the Company believes that it is more likely than not that the deferred tax assets will not be realized, taking into consideration the level of historical taxable income and projections for future taxable income over the periods in which the temporary differences are deductible. Uncertain tax positions must meet a more-likely-than-not threshold to be recognized in the financial statements and the tax benefits recognized are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon final settlement. See Note 17, Income Taxes |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280)—Improvements to Reportable Segment Disclosures . This ASU requires interim and annual disclosure of significant segment expenses that are regularly provided to the chief operating decision-maker (“CODM”) and included within the reported measure of a segment’s profit or loss, requires interim disclosures about a reportable segment’s profit or loss and assets that are currently required annually, requires disclosure of the position and title of the CODM, clarifies circumstances in which an entity can disclose multiple segment measures of profit or loss, and contains other disclosure requirements. This authoritative guidance is effective for annual periods beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. We are currently evaluating the effect of this new guidance on our consolidated financial statements. In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740)—Improvements to Income Tax Disclosures |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Discontinued Operations. | |
Schedule of financial results, assets and liabilities from discontinued operations | The following table presents the financial results of the infrastructure and automotive business (the “discontinued operations”) in the Company’s Consolidated Statements of Income for the year ended January 1, 2022 (in thousands, except per share data): Revenues $ 233,918 Costs of revenues 95,457 Operating expenses 46,643 Operating income from discontinued operations 91,818 Gain on sale of discontinued operations 2,423,161 Income from discontinued operations before income taxes 2,514,979 Provision for income taxes 339,706 Income from discontinued operations $ 2,175,273 Income from discontinued operations per share: Basic $ 50.79 Diluted $ 49.09 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Earnings (Loss) Per Share | |
Schedule of computation of basic and diluted earnings (loss) per share | The following table sets forth the computation of basic and diluted earnings (loss) per share (in thousands, except per share data): Year Ended December 30, December 31, January 1, 2023 2022 2022 Income (loss) from continuing operations $ (34,516) $ 91,402 $ (57,874) Shares used in computing basic earnings (loss) per share 31,804 35,086 42,830 Effect of dilutive securities: Stock-based awards and convertible debt — 956 — Shares used in computing diluted earnings (loss) per share 31,804 36,042 42,830 Earnings (loss) per share: Basic $ (1.09) $ 2.61 $ (1.35) Diluted $ (1.09) $ 2.54 $ (1.35) |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Fair Value of Financial Instruments | |
Summary of valuation of the financial instruments | The following summarizes the valuation of the Company’s financial instruments (in thousands). The tables do not include either cash on hand or assets and liabilities that are measured at historical cost or any basis other than fair value. Fair Value Measurements at December 30, 2023 Using Quoted Prices in Significant Other Active Markets for Observable Identical Assets Inputs Description (Level 1) (Level 2) Total Cash equivalents: Money market funds $ 137,195 $ — $ 137,195 Total cash equivalents $ 137,195 $ — $ 137,195 Short-term investments: Corporate debt securities $ — $ 130,047 $ 130,047 Government debt securities — 81,673 81,673 Total short-term investments $ — $ 211,720 $ 211,720 Total $ 137,195 $ 211,720 $ 348,915 Fair Value Measurements at December 31, 2022 Using Quoted Prices in Significant Other Active Markets for Observable Identical Assets Inputs Description (Level 1) (Level 2) Total Cash equivalents: Money market funds $ 310,969 $ — $ 310,969 Corporate debt securities — 3,249 3,249 Total cash equivalents $ 310,969 $ 3,249 $ 314,218 Short-term investments: Corporate debt securities $ — $ 501,014 $ 501,014 Government debt securities — 191,010 191,010 Total short-term investments $ — $ 692,024 $ 692,024 Total $ 310,969 $ 695,273 $ 1,006,242 |
Schedule of maturities of the Company's available-for-sale investments and money market funds | The following summarizes the contractual underlying maturities of the Company’s available-for-sale investments at December 30, 2023 (in thousands): Fair Cost Value Due in one year or less $ 155,431 $ 154,349 Due after one year through five years 57,518 57,371 $ 212,949 $ 211,720 |
Schedule of available-for-sale investments in continuous unrealized loss position | The available-for-sale investments that were in a continuous unrealized loss position, aggregated by length of time that individual securities have been in a continuous loss position, were as follows (in thousands): Less Than 12 Months 12 Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized As of December 30, 2023 Value Losses Value Losses Value Losses Corporate debt securities $ 12,449 $ (13) $ 95,760 $ (867) $ 108,209 $ (880) Government debt securities 28,255 (115) 31,122 (440) 59,377 (555) $ 40,704 $ (128) $ 126,882 $ (1,307) $ 167,586 $ (1,435) Less Than 12 Months 12 Months or Greater Total Gross Gross Gross Fair Unrealized Fair Unrealized Fair Unrealized As of December 31, 2022 Value Losses Value Losses Value Losses Corporate debt securities $ 307,085 $ (5,297) $ 185,467 $ (4,090) $ 492,552 $ (9,387) Government debt securities 76,651 (626) 100,209 (3,541) 176,860 (4,167) $ 383,736 $ (5,923) $ 285,676 $ (7,631) $ 669,412 $ (13,554) |
Summary of activity in Level 3 financial instruments | The following summarizes the activity in Level 3 financial instruments for the year ended December 31, 2022 (in thousands): Assets December 31, Auction Rate Securities 2022 Beginning balance $ 4,980 Sales (1) (6,000) Loss recognized in earnings 300 Gain (loss) included in other comprehensive income (loss) 720 Ending balance $ — (1) On May 31, 2022, the Company sold its prior remaining holding of auction-rate securities for $ 5.7 million. |
Supplemental Information (Table
Supplemental Information (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Supplemental Information | |
Schedule of Inventories | The following tables show the details of selected Consolidated Balance Sheet items (in thousands): December 30, December 31, 2023 2022 Work in progress $ 173,802 $ 75,112 Finished goods 20,493 25,305 $ 194,295 $ 100,417 |
Schedule of Property and Equipment | December 30, December 31, 2023 2022 Buildings and improvements $ 130,482 $ 125,471 Equipment 68,703 62,304 Computers and purchased software 51,755 55,065 Leasehold interest in ground leases 23,840 23,840 Leasehold improvements 14,971 14,209 Furniture and fixtures 9,574 9,909 299,325 290,798 Accumulated depreciation (153,435) (138,782) $ 145,890 $ 152,016 |
Schedule of Other Assets, net | December 30, December 31, 2023 2022 Equity-method investment (1) $ — $ 27,478 Other 123,313 67,275 $ 123,313 $ 94,753 (1) At December 31, 2022, the Company held an 8% equity interest in Walden Technology Ventures III, a limited partnership. In fiscal 2023, the Company sold its ownership in this investment and recognized the net loss of $15.2 million in the Consolidated Statement of Operations. |
Schedule of Other Current Liabilities | December 30, December 31, 2023 2022 Accrued compensation and benefits $ 16,891 $ 43,736 Income taxes payable 6,133 11,472 Other 35,931 33,928 $ 58,955 $ 89,136 |
Schedule of Other Non-current Liabilities | December 30, December 31, 2023 2022 Lease liability – non-current $ 19,830 $ 18,009 Other 50,974 31,062 $ 70,804 $ 49,071 |
Risks and Uncertainties (Tables
Risks and Uncertainties (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Accounts receivable | |
Schedule of concentration risk | December 30, December 31, 2023 2022 Arrow Electronics * 29 % Other 13 % * * Less than 10% of accounts receivable |
Revenue | |
Schedule of concentration risk | Year Ended December 30, December 31, January 1, 2023 2022 2022 Arrow Electronics 34 % 33 % 28 % Edom Technology 15 % 17 % 18 % Sekorm * * 12 % * Less than 10% of revenue |
Other Intangible Assets, Net (T
Other Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Other Intangible Assets, Net | |
Schedule of gross carrying amount and accumulated amortization of other intangible assets | The gross carrying amount and accumulated amortization of other intangible assets, net are as follows (in thousands): Weighted-Average Amortization December 30, 2023 December 31, 2022 Period Gross Accumulated Gross Accumulated (Years) Amount Amortization Amount Amortization Developed technology 8 $ 211,217 $ (151,722) $ 211,217 $ (126,424) Trademarks 12 910 (872) 910 (796) Total intangible assets 8 $ 212,127 $ (152,594) $ 212,127 $ (127,220) |
Schedule of amortization expense of intangible assets | The following table presents details of intangible asset amortization expense recognized in the Consolidated Statements of Operations (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Research and development $ 25,298 $ 28,962 $ 32,319 Selling, general and administrative 76 5,109 12,186 $ 25,374 $ 34,071 $ 44,505 |
Schedule of estimated aggregate amortization expense for intangible assets subject to amortization | The estimated aggregate amortization expense for intangible assets subject to amortization for each of the five succeeding fiscal years is as follows (in thousands): Fiscal Year 2024 $ 23,034 2025 13,369 2026 9,178 2027 9,178 2028 4,039 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Debt | |
Schedule of components of interest expense | Interest expense related to the Company’s convertible debt was comprised of the following (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Contractual interest expense $ 1,493 $ 3,346 $ 3,662 Amortization of debt discount — — 21,112 Amortization of debt issuance costs 960 2,003 1,655 $ 2,453 $ 5,349 $ 26,429 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Leases | |
Schedule of supplemental lease information | Consolidated Balance December 30, December 31, Balance Sheet Information (in thousands) Sheet Classification 2023 2022 Operating lease right-of-use assets Other assets, net $ 26,740 $ 24,717 Operating lease liabilities Other current liabilities $ 7,185 $ 6,281 Operating lease liabilities Other non-current liabilities $ 19,830 $ 18,009 Year Ended December 30, December 31, Cash Flow Information (in thousands) 2023 2022 Cash paid for operating lease liabilities $ 7,487 $ 7,518 Right-of-use assets obtained in exchange for operating lease obligations $ 534 $ 3,198 December 30, December 31, Operating Lease Information 2023 2022 Weighted-average remaining lease term 5.1 years Weighted-average discount rate 4.72 % 3.96 % |
Schedule of maturities of operating lease liabilities | The maturities of operating lease liabilities as of December 30, 2023 were as follows (in thousands): Fiscal Year 2024 $ 7,772 2025 6,251 2026 4,559 2027 3,737 2028 2,676 Thereafter 6,219 Total lease payments 31,214 Less imputed interest (4,199) Total lease liabilities $ 27,015 |
Schedule of maturities of lease income | Maturities of lease income as of December 30, 2023 were as follows (in thousands): Fiscal Year 2024 $ 2,481 2025 1,919 2026 1,322 2027 439 2028 452 Thereafter 233 |
Revenues (Tables)
Revenues (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Revenues | |
Schedule of disaggregation of revenue | The following represents revenue by product category (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Industrial & Commercial $ 496,578 $ 573,725 $ 377,401 Home & Life 285,680 450,381 343,459 $ 782,258 $ 1,024,106 $ 720,860 Year Ended December 30, December 31, January 1, 2023 2022 2022 Distributors $ 611,332 $ 829,373 $ 584,010 Direct customers 170,926 194,733 136,850 $ 782,258 $ 1,024,106 $ 720,860 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Stock-Based Compensation | |
Schedule of stock-based compensation costs recognized in the Condensed Consolidated Statements of Income | The following table presents details of stock-based compensation costs recognized in the Consolidated Statements of Operations (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Cost of revenues $ 906 $ 1,152 $ 964 Research and development 35,491 32,860 24,986 Selling, general and administrative 11,812 26,498 30,892 48,208 60,510 56,842 Income tax benefit (6,230) (5,980) (954) Share-based compensation – continuing operations 41,978 54,530 55,888 Share-based compensation – discontinued operations, net — — (2,007) Total $ 41,978 $ 54,530 $ 53,881 |
Summary of assumptions used to estimate fair values for ESPP | Year Ended December 30, December 31, January 1, Employee Stock Purchase Plan 2023 2022 2022 Expected volatility 40 % 44 % 42 % Risk-free interest rate % 5.47 % 3.18 % 0.05 % Expected term (in months) 9 9 9 Dividend yield — — — |
Summary of stock-based compensation activity, options | Weighted- Weighted-Average Aggregate Average Remaining Intrinsic Shares Exercise Contractual Term Value Stock Options (000s) Price (In Years) (000s) Outstanding at December 31, 2022 118 $ 38.80 3.12 $ 11,457 Exercised 24 $ 37.88 $ 2,162 Outstanding at December 30, 2023 94 $ 39.03 2.12 $ 8,790 Vested at December 30, 2023 and expected to vest 94 $ 39.03 2.12 $ 8,790 Exercisable at December 30, 2023 94 $ 39.03 2.12 $ 8,790 |
Summary of stock-based compensation activity, RSAs and RSUs | Weighted- Weighted-Average Aggregate Average Remaining Intrinsic Shares Grant Date Vesting Term Value RSAs and RSUs (000s) Fair Value (In Years) (000s) Outstanding at December 31, 2022 897 $ 134.74 Granted 420 $ 137.11 Vested or issued (416) $ 127.51 Cancelled or forfeited (77) $ 142.05 Outstanding at December 30, 2023 824 $ 139.34 1.14 $ 109,044 Outstanding at December 30, 2023 and expected to vest 759 $ 139.36 1.14 $ 100,329 |
Summary of stock-based compensation activity, PSUs and MSUs | Weighted- Weighted-Average Aggregate Average Remaining Intrinsic Shares Grant Date Vesting Term Value PSUs and MSUs (000s) Fair Value (In Years) (000s) Outstanding at December 31, 2022 225 $ 134.93 Granted 86 $ 188.45 Vested or issued (33) $ 92.31 Cancelled or forfeited (33) $ 95.47 Outstanding at December 30, 2023 245 $ 164.62 1.22 $ 32,438 Outstanding at December 30, 2023 and expected to vest 85 $ 132.99 1.22 $ 11,205 |
Summary of weighted average fair value at the date of grant | Year Ended December 30, December 31, January 1, 2023 2022 2022 Per grant of RSAs and RSUs $ 137.11 $ 144.40 $ 135.28 Per grant of PSUs and MSUs $ 188.45 $ 160.97 $ 145.11 |
Summary of stock-based payment and stock option values | The following summarizes the Company’s stock-based payment and stock option values (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Intrinsic value of stock options exercised $ 2,162 $ — $ 986 Intrinsic value of RSUs that vested $ 61,371 $ 57,621 $ 76,654 Grant date fair value of RSUs that vested $ 53,088 $ 41,610 $ 47,726 Intrinsic value of PSUs and MSUs that vested $ 5,163 $ — $ 5,231 Grant date fair value of PSUs and MSUs that vested $ 3,037 $ — $ 3,562 |
Summary of shares reserved of common stock for future issuance | As of December 30, 2023, the Company had reserved shares of common stock for future issuance as follows (in thousands): 2009 Plan 2,096 2009 ESPP 991 Total shares reserved 3,087 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Income Taxes | |
Schedule of income (loss) from continuing operations, inclusive of equity-method earnings and before income taxes | Income (loss) from continuing operations, inclusive of equity-method earnings (loss) and before income taxes, includes the following components (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Domestic $ (14,539) $ 32,088 $ (15,384) Foreign (12,034) 97,764 (29,063) $ (26,573) $ 129,852 $ (44,447) |
Schedule of provision (benefit) for income taxes | The provision (benefit) for income taxes consists of the following (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Current: Domestic $ 3,291 $ 52,834 $ (12,630) Foreign 15,599 3,856 9,447 Total Current 18,890 56,690 (3,183) Deferred: Domestic (9,036) (17,728) 17,873 Foreign (1,911) (512) (1,263) Total Deferred (10,947) (18,240) 16,610 Provision for income taxes $ 7,943 $ 38,450 $ 13,427 |
Schedule of reconciliation of federal statutory tax rate to effective tax rate | The reconciliation of the federal statutory tax rate to the Company’s effective tax rate is as follows: Year Ended December 30, December 31, January 1, 2023 2022 2022 Federal statutory rate 21.0 % 21.0 % 21.0 % Foreign tax rate benefit (33.2) (6.2) (16.4) (Nondeductible) nontaxable foreign items (25.5) 4.4 (7.2) GILTI and Subpart F income, net of foreign tax credits (24.2) 16.5 (2.4) Base erosion and anti-abuse tax (7.4) — — (Nondeductible) nontaxable domestic items (3.6) 0.7 (2.8) Foreign withholding taxes (2.2) 0.4 — State tax expense (1.5) 1.2 (0.8) Change in prior period valuation allowance (1.5) (0.3) (10.5) Net operating loss not benefited — — (6.0) Other tax effects of equity compensation 1.1 (0.3) 0.5 Nondeductible officer compensation 1.3 2.0 (10.3) Excess tax benefit of stock-based compensation 4.0 (1.1) 3.7 Return to provision adjustments 16.5 (2.0) 0.8 Research and development tax credits 26.4 (5.3) 0.1 Other (1.1) (1.4) 0.1 Effective tax rate (29.9) % 29.6 % (30.2) % |
Schedule of significant components of deferred taxes | Significant components of the Company’s deferred taxes as of December 30, 2023 and December 31, 2022 were as follows (in thousands): December 30, December 31, 2023 2022 Deferred tax assets: Capitalized research and development $ 27,402 $ 15,188 Tax credit carryforwards 13,303 13,334 Intangible assets 7,188 7,938 Net operating loss carryforwards 6,911 4,965 Leases 6,584 5,517 Deferred income on shipments to distributors 6,465 6,726 Accrued liabilities 2,859 6,809 Other 3,072 7,118 73,784 67,595 Less: Valuation allowance (10,530) (9,409) 63,254 58,186 Deferred tax liabilities: Intangible assets 13,916 13,789 Fixed assets 8,353 8,518 Leases 6,238 5,189 Prepaid expenses and other 4,534 5,637 Unrealized gain on equity-method investment — 4,120 33,041 37,253 Net deferred tax assets (liabilities) $ 30,213 $ 20,933 |
Schedule of valuation allowance | The following table summarizes the activity related to the valuation allowance for deferred tax assets (in thousands): Balance at Additions Balance at Beginning of Charged to End of Period Expenses Deductions Period Year ended December 30, 2023 $ 9,409 $ 1,121 — $ 10,530 Year ended December 31, 2022 $ 9,529 $ 792 $ (912) $ 9,409 Year ended January 1, 2022 $ 5,311 $ 5,370 $ (1,152) $ 9,529 |
Schedule of activity related to gross unrecognized tax benefits | The following table summarizes the activity related to gross unrecognized tax benefits (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 Beginning balance $ 4,109 $ 3,677 $ 2,853 Additions based on tax positions related to current year 737 872 830 Additions based on tax positions related to prior years 22 — — Reductions based on tax positions related to prior years — (6) (6) Reductions for tax positions as a result of a lapse of the applicable statute of limitations — (434) — Ending balance $ 4,868 $ 4,109 $ 3,677 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 30, 2023 | |
Segment Information | |
Schedule of revenue attributed to geographic area based on shipped-to location | . The following summarizes the Company’s revenue by geographic area (in thousands): Year Ended December 30, December 31, January 1, 2023 2022 2022 United States $ 92,550 $ 176,379 $ 97,471 China 219,741 334,821 311,513 Taiwan 90,382 105,602 68,196 Rest of world 379,585 407,304 243,680 Total $ 782,258 $ 1,024,106 $ 720,860 |
Schedule of property and equipment, net by geographic area | The following summarizes the Company’s property and equipment, net by geographic area (in thousands): December 30, December 31, 2023 2022 United States $ 116,357 $ 121,031 Rest of world 29,533 30,985 Total $ 145,890 $ 152,016 |
Description of Business (Detail
Description of Business (Details) $ in Millions | Jul. 26, 2021 USD ($) |
Discontinued Operations, Disposed of by Sale | Infrastructure and automotive business | |
Description of Business | |
Asset purchase agreement sale amount | $ 2,750 |
Significant Accounting Polici_3
Significant Accounting Policies - Basis of Presentation and Principles of Consolidation (Details) | 12 Months Ended | |
Dec. 30, 2023 | Jan. 01, 2022 | |
Significant Accounting Policies | ||
Length of fiscal year | 364 days | |
Minimum | ||
Significant Accounting Policies | ||
Length of fiscal year | 364 days | |
Maximum | ||
Significant Accounting Policies | ||
Length of fiscal year | 371 days |
Significant Accounting Polici_4
Significant Accounting Policies - Property and Equipment, Long-Lived Assets and Leases (Details) | Dec. 30, 2023 | Dec. 31, 2022 |
Leases | ||
Operating lease right-of-use assets, Statement of Financial Position | Other assets, net | Other assets, net |
Operating lease liabilities, Statement of Financial Position | us-gaap:LiabilitiesOtherThanLongtermDebtNoncurrent, Other current liabilities | us-gaap:LiabilitiesOtherThanLongtermDebtNoncurrent, Other current liabilities |
Minimum | ||
Property and Equipment | ||
Useful life, Property and Equipment | 3 years | |
Long-Lived Assets | ||
Useful life, Intangible assets | 5 years | |
Maximum | ||
Property and Equipment | ||
Useful life, Property and Equipment | 15 years | |
Long-Lived Assets | ||
Useful life, Intangible assets | 12 years | |
Buildings | ||
Property and Equipment | ||
Useful life, Property and Equipment | 40 years | |
Leasehold interest in ground leases | ||
Property and Equipment | ||
Useful life, Property and Equipment | 86 years |
Significant Accounting Polici_5
Significant Accounting Policies - Revenue Recognition (Details) | 12 Months Ended |
Dec. 30, 2023 | |
Revenue Recognition | |
Product replacement warranty | 1 year |
Discontinued Operations (Detail
Discontinued Operations (Details) - Discontinued Operations, Disposed of by Sale - Infrastructure and automotive business - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Jan. 01, 2022 | Jul. 26, 2021 | |
Discontinued Operations | ||
Asset purchase agreement sale amount | $ 2,750,000 | |
Income from discontinued operations, net of income taxes | ||
Revenues | $ 233,918 | |
Costs of revenues | 95,457 | |
Operating expenses | 46,643 | |
Operating income from discontinued operations | 91,818 | |
Gain on sale of discontinued operations | 2,423,161 | |
Income from discontinued operations before income taxes | 2,514,979 | |
Provision for income taxes | 339,706 | |
Income from discontinued operations | $ 2,175,273 | |
Income from discontinued operations per share: | ||
Basic | $ 50.79 | |
Diluted | $ 49.09 |
Earnings (Loss) Per Share (Deta
Earnings (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Jun. 30, 2023 | Jun. 30, 2023 | Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | Jun. 01, 2020 | |
Earnings Per Share | ||||||
Income (loss) from continuing operations | $ (34,516) | $ 91,402 | $ (57,874) | |||
Shares used in computing basic earnings per share | 31,804 | 35,086 | 42,830 | |||
Effect of dilutive securities: | ||||||
Stock-based awards and convertible debt | 956 | |||||
Shares used in computing diluted earnings (loss) per share | 31,804 | 36,042 | 42,830 | |||
Earnings (loss) per share: | ||||||
Basic | $ (1.09) | $ 2.61 | $ (1.35) | |||
Diluted | $ (1.09) | $ 2.54 | $ (1.35) | |||
Shares excluded from calculation of diluted shares due to loss from continuing operations | 900 | 1,500 | ||||
Shares attributable to dilutive effect of conversion of debt securities | 600 | |||||
0.625% Convertible Senior Notes (2025 Notes) | ||||||
Earnings (loss) per share: | ||||||
Interest rate (as a percent) | 0.625% | 0.625% | ||||
Repayment of convertible senior notes | $ 535,000 | |||||
Number of shares issued in connection with conversion | 900 | 900 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Valuation of financial instruments (Details) - USD ($) $ in Thousands | Dec. 30, 2023 | Dec. 31, 2022 |
Fair Value of Financial Instruments | ||
Short-term investments | $ 211,720 | $ 692,024 |
Recurring | ||
Fair Value of Financial Instruments | ||
Cash equivalents | 137,195 | 314,218 |
Short-term investments | 211,720 | 692,024 |
Total | 348,915 | 1,006,242 |
Recurring | Money market funds | ||
Fair Value of Financial Instruments | ||
Cash equivalents | 137,195 | 310,969 |
Recurring | Corporate debt securities | ||
Fair Value of Financial Instruments | ||
Cash equivalents | 3,249 | |
Short-term investments | 130,047 | 501,014 |
Recurring | Government debt securities | ||
Fair Value of Financial Instruments | ||
Short-term investments | 81,673 | 191,010 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value of Financial Instruments | ||
Cash equivalents | 137,195 | 310,969 |
Total | 137,195 | 310,969 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Money market funds | ||
Fair Value of Financial Instruments | ||
Cash equivalents | 137,195 | 310,969 |
Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value of Financial Instruments | ||
Cash equivalents | 3,249 | |
Short-term investments | 211,720 | 692,024 |
Total | 211,720 | 695,273 |
Recurring | Significant Other Observable Inputs (Level 2) | Corporate debt securities | ||
Fair Value of Financial Instruments | ||
Cash equivalents | 3,249 | |
Short-term investments | 130,047 | 501,014 |
Recurring | Significant Other Observable Inputs (Level 2) | Government debt securities | ||
Fair Value of Financial Instruments | ||
Short-term investments | $ 81,673 | $ 191,010 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Contractual maturities of investments (Details) $ in Thousands | Dec. 30, 2023 USD ($) |
Cost | |
Due in one year or less, Cost | $ 155,431 |
Due after one year through five years, Cost | 57,518 |
Total Cost | 212,949 |
Fair Value | |
Due in one year or less, Fair Value | 154,349 |
Due after one year through five years, Fair Value | 57,371 |
Total Fair Value | $ 211,720 |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments - Unrealized Gains and Losses (Details) - USD ($) $ in Thousands | Dec. 30, 2023 | Dec. 31, 2022 |
Continuous unrealized loss position, Fair Value | ||
Fair value of available-for-sale investments, continuous loss position for less than twelve months | $ 40,704 | $ 383,736 |
Fair value of available-for-sale investments, continuous loss position for twelve months or greater | 126,882 | 285,676 |
Total fair value of available-for-sale investments, continuous loss position | 167,586 | 669,412 |
Continuous unrealized loss position, Gross Unrealized Losses | ||
Available-for-sale investments, continuous loss position for less than 12 months, gross unrealized losses | (128) | (5,923) |
Available-for-sale investments, continuous loss position for 12 months or greater, gross unrealized losses | (1,307) | (7,631) |
Available-for-sale investments, total gross unrealized losses | (1,435) | (13,554) |
Corporate debt securities | ||
Continuous unrealized loss position, Fair Value | ||
Fair value of available-for-sale investments, continuous loss position for less than twelve months | 12,449 | 307,085 |
Fair value of available-for-sale investments, continuous loss position for twelve months or greater | 95,760 | 185,467 |
Total fair value of available-for-sale investments, continuous loss position | 108,209 | 492,552 |
Continuous unrealized loss position, Gross Unrealized Losses | ||
Available-for-sale investments, continuous loss position for less than 12 months, gross unrealized losses | (13) | (5,297) |
Available-for-sale investments, continuous loss position for 12 months or greater, gross unrealized losses | (867) | (4,090) |
Available-for-sale investments, total gross unrealized losses | (880) | (9,387) |
Government debt securities | ||
Continuous unrealized loss position, Fair Value | ||
Fair value of available-for-sale investments, continuous loss position for less than twelve months | 28,255 | 76,651 |
Fair value of available-for-sale investments, continuous loss position for twelve months or greater | 31,122 | 100,209 |
Total fair value of available-for-sale investments, continuous loss position | 59,377 | 176,860 |
Continuous unrealized loss position, Gross Unrealized Losses | ||
Available-for-sale investments, continuous loss position for less than 12 months, gross unrealized losses | (115) | (626) |
Available-for-sale investments, continuous loss position for 12 months or greater, gross unrealized losses | (440) | (3,541) |
Available-for-sale investments, total gross unrealized losses | $ (555) | $ (4,167) |
Fair Value of Financial Instr_6
Fair Value of Financial Instruments - Activity in Level 3 financial instruments (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended |
May 31, 2022 | Dec. 31, 2022 | |
Fair value assets reconciliation of changes | ||
Beginning balance | $ 4,980 | |
Sales | (6,000) | |
Loss recognized in earnings | $ 300 | |
Loss recognized in earnings, Statements of Income location | Interest income and other, net | |
Gain (loss) included in other comprehensive income (loss) | $ 720 | |
Gain (loss) included in other comprehensive income (loss), Statements of Comprehensive Income location | Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, before Tax | |
Ending balance | $ 0 | |
Significant Unobservable Inputs (Level 3) | Recurring | Auction rate securities | ||
Fair value assets reconciliation of changes | ||
Sales | $ (5,700) |
Fair Value of Financial Instr_7
Fair Value of Financial Instruments - Fair values of other financial instruments (Details) - Convertible notes 2025 - USD ($) $ in Thousands | Dec. 30, 2023 | Dec. 31, 2022 |
Fair Value of Financial Instruments | ||
Fair value of debt | $ 671,900 | |
Outstanding notes | $ 0 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Details) - Cash flow hedges - Foreign currency forward contracts $ in Millions | 12 Months Ended |
Dec. 30, 2023 USD ($) | |
Derivative Financial Instruments | |
Derivative, notional amount | $ 6.8 |
Minimum | |
Derivative Financial Instruments | |
Maturity of contracts | 1 month |
Maximum | |
Derivative Financial Instruments | |
Maturity of contracts | 3 months |
Supplemental Information (Detai
Supplemental Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 30, 2023 | |
Inventories | ||
Work in progress | $ 75,112 | $ 173,802 |
Finished goods | 25,305 | 20,493 |
Inventories | 100,417 | 194,295 |
Prepaid Expenses and Other Current Assets | ||
Prepaid Expenses and Other Current Assets | 97,570 | 75,117 |
Property and Equipment | ||
Property and equipment, gross | 290,798 | 299,325 |
Accumulated depreciation | (138,782) | (153,435) |
Total Property and Equipment, net | 152,016 | 145,890 |
Other Assets, net | ||
Equity-method investment | 27,478 | |
Other | 67,275 | 123,313 |
Total Other Assets, net | 94,753 | 123,313 |
Other Current Liabilities | ||
Accrued compensation and benefits | 43,736 | 16,891 |
Income taxes payable | 11,472 | 6,133 |
Other | 33,928 | 35,931 |
Total Other Current Liabilities | 89,136 | 58,955 |
Other Non-Current Liabilities | ||
Lease liability - non-current | 18,009 | 19,830 |
Other | 31,062 | 50,974 |
Total Other Non-Current Liabilities | $ 49,071 | 70,804 |
Walden Technology Ventures III | ||
Other Assets, net | ||
Percentage of equity interest held | 8% | |
Net loss on sale of equity investment | $ (15,200) | |
Buildings and improvements | ||
Property and Equipment | ||
Property and equipment, gross | 125,471 | 130,482 |
Equipment | ||
Property and Equipment | ||
Property and equipment, gross | 62,304 | 68,703 |
Computers and purchased software | ||
Property and Equipment | ||
Property and equipment, gross | 55,065 | 51,755 |
Leasehold interest in ground leases | ||
Property and Equipment | ||
Property and equipment, gross | 23,840 | 23,840 |
Leasehold improvements | ||
Property and Equipment | ||
Property and equipment, gross | 14,209 | 14,971 |
Furniture and fixtures | ||
Property and Equipment | ||
Property and equipment, gross | $ 9,909 | $ 9,574 |
Risks and Uncertainties (Detail
Risks and Uncertainties (Details) | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Accounts receivable | Customers | Arrow Electronics | |||
Risks and Uncertainties | |||
Concentrations of credit risk (as a percent) | 29% | ||
Accounts receivable | Customers | Other | |||
Risks and Uncertainties | |||
Concentrations of credit risk (as a percent) | 13% | ||
Revenue | Distributors | Arrow Electronics | |||
Risks and Uncertainties | |||
Concentrations of credit risk (as a percent) | 34% | 33% | 28% |
Revenue | Distributors | Edom Technology | |||
Risks and Uncertainties | |||
Concentrations of credit risk (as a percent) | 15% | 17% | 18% |
Revenue | Distributors | Sekorm | |||
Risks and Uncertainties | |||
Concentrations of credit risk (as a percent) | 12% |
Other Intangible Assets, Net -
Other Intangible Assets, Net - Gross carrying amount and accumulated amortization (Details) - USD ($) $ in Thousands | Dec. 30, 2023 | Dec. 31, 2022 |
Other Intangible Assets, Net | ||
Gross Amount | $ 212,127 | $ 212,127 |
Accumulated Amortization | $ (152,594) | (127,220) |
Weighted Average | ||
Other Intangible Assets, Net | ||
Weighted-Average Amortization Period (Years) | 8 years | |
Developed technology | ||
Other Intangible Assets, Net | ||
Gross Amount | $ 211,217 | 211,217 |
Accumulated Amortization | $ (151,722) | (126,424) |
Developed technology | Weighted Average | ||
Other Intangible Assets, Net | ||
Weighted-Average Amortization Period (Years) | 8 years | |
Trademarks | ||
Other Intangible Assets, Net | ||
Gross Amount | $ 910 | 910 |
Accumulated Amortization | $ (872) | $ (796) |
Trademarks | Weighted Average | ||
Other Intangible Assets, Net | ||
Weighted-Average Amortization Period (Years) | 12 years |
Other Intangible Assets, Net _2
Other Intangible Assets, Net - Amortization Expense For Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Other Intangible Assets, Net | |||
Intangible asset amortization expense | $ 25,374 | $ 34,071 | $ 44,505 |
Research and development | |||
Other Intangible Assets, Net | |||
Intangible asset amortization expense | 25,298 | 28,962 | 32,319 |
Selling, general and administrative | |||
Other Intangible Assets, Net | |||
Intangible asset amortization expense | $ 76 | $ 5,109 | $ 12,186 |
Other Intangible Assets, Net _3
Other Intangible Assets, Net - Estimated aggregate amortization expense (Details) $ in Thousands | Dec. 30, 2023 USD ($) |
Estimated aggregate amortization expense for intangible assets subject to amortization | |
2024 | $ 23,034 |
2025 | 13,369 |
2026 | 9,178 |
2027 | 9,178 |
2028 | $ 4,039 |
Debt - Convertible Senior Notes
Debt - Convertible Senior Notes (Details) - 0.625% Convertible Senior Notes (2025 Notes) $ / shares in Units, $ in Thousands, shares in Millions | 1 Months Ended | ||||
Jun. 30, 2023 USD ($) shares | Jun. 01, 2020 USD ($) D $ / shares | Jun. 30, 2023 shares | Dec. 30, 2023 | Mar. 22, 2023 USD ($) | |
Debt | |||||
Principal amount | $ | $ 535,000 | $ 533,600 | |||
Semi-annual interest rate (as a percent) | 0.625% | 0.625% | |||
Conversion rate, shares per $1,000 principal | 8.1980 | ||||
Conversion, number of shares of common stock | $ | 4,400 | ||||
Conversion price per share | $ / shares | $ 121.98 | ||||
Debt issuance costs | $ | $ 10,400 | ||||
Repayment of convertible senior notes including conversions and redemptions | $ | $ 533,600 | ||||
Number of shares issued in connection with conversion | shares | 0.9 | 0.9 | |||
Payments made in lieu of fractional shares | $ | $ 47 | ||||
Principal amount were redeemed at par, plus accrued interest | $ | $ 1,400 | ||||
Conversion of Notes, Holders | |||||
Debt | |||||
Number of trading days within 30 trading day period | D | 20 | ||||
Number of consecutive trading days | D | 30 | ||||
Stock price trigger per share | $ / shares | $ 159.51 | ||||
Stock price trigger, as a percentage of conversion price | 130% | ||||
Number of consecutive business days after the 10 consecutive trading day period | D | 5 | ||||
Number of consecutive trading days before the five consecutive business days | D | 10 | ||||
Maximum threshold stock price, as a percentage of conversion price | 98% | ||||
Conversion of Notes, Company | |||||
Debt | |||||
Stock price trigger, as a percentage of conversion price | 130% | ||||
Number of consecutive business days after the 10 consecutive trading day period | D | 20 | ||||
Number of consecutive trading days before the five consecutive business days | D | 30 |
Debt - Interest expense (Detail
Debt - Interest expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
0.625% Convertible Senior Notes (2025 Notes) | |||
Debt | |||
Effective interest rate | 5.336% | ||
Unamortized debt issuance costs | $ 0 | ||
Convertible Senior Notes | |||
Interest expense related to the notes | |||
Contractual interest expense | 1,493 | $ 3,346 | $ 3,662 |
Amortization of debt discount | 21,112 | ||
Amortization of debt issuance costs | 960 | 2,003 | 1,655 |
Interest Expense, Total | $ 2,453 | $ 5,349 | $ 26,429 |
Debt - Credit Facility (Details
Debt - Credit Facility (Details) $ in Millions | 12 Months Ended |
Dec. 30, 2023 USD ($) | |
Debt | |
Cash and cash equivalents used in net leverage ratio | $ 750 |
Credit Facility | |
Debt | |
Additional increase in borrowing capacity of the line of credit available at the entity's option | $ 250 |
Additional increase in borrowing capacity based on EBITDA (as a percent) | 100% |
Maximum net leverage ratio | 4.25 |
Maximum secured leverage ratio | 3.50 |
Minimum interest coverage ratio | 2.50 |
Amount outstanding | $ 45 |
Weighted average interest rate | 6.46% |
Revolving Credit Facility | |
Debt | |
Maximum borrowing capacity | $ 400 |
Revolving credit facility, other than swingline loans | Federal Funds Rate | |
Debt | |
Interest rate margin (as a percent) | 0.50% |
Revolving credit facility, other than swingline loans | SOFR | |
Debt | |
Interest rate margin (as a percent) | 1% |
Letter of Credit | |
Debt | |
Maximum borrowing capacity | $ 25 |
Swingline Loans | |
Debt | |
Maximum borrowing capacity | $ 10 |
Swingline Loans | Base Rate | Minimum | |
Debt | |
Interest rate margin (as a percent) | 0% |
Swingline Loans | Base Rate | Maximum | |
Debt | |
Interest rate margin (as a percent) | 0.75% |
Swingline Loans | SOFR | Minimum | |
Debt | |
Interest rate margin (as a percent) | 1% |
Swingline Loans | SOFR | Maximum | |
Debt | |
Interest rate margin (as a percent) | 1.75% |
Leases - Supplemental Lease Inf
Leases - Supplemental Lease Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Leases | |||
Operating lease costs | $ 7,800 | $ 7,300 | $ 7,400 |
Balance Sheet Information | |||
Operating lease right-of-use assets | $ 26,740 | $ 24,717 | |
Operating lease right-of-use assets, Statement of Financial Position | Other assets, net | Other assets, net | |
Operating lease liabilities, Current | $ 7,185 | $ 6,281 | |
Operating lease liabilities, Current, Statement of Financial Position | Other current liabilities | Other current liabilities | |
Operating lease liabilities, Non current | $ 19,830 | $ 18,009 | |
Operating lease liabilities, Noncurrent, Statement of Financial Position | Other non-current liabilities | Other non-current liabilities | |
Cash Flow Information | |||
Cash paid for operating lease liabilities | $ 7,487 | $ 7,518 | |
Right-of-use assets obtained in exchange for operating lease obligations | $ 534 | $ 3,198 | |
Operating Lease Information | |||
Weighted-average remaining lease term | 5 years 4 months 24 days | 5 years 1 month 6 days | |
Weighted-average discount rate | 4.72% | 3.96% |
Leases - Maturities of operatin
Leases - Maturities of operating lease liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Maturities of operating lease liabilities | |||
2024 | $ 7,772 | ||
2025 | 6,251 | ||
2026 | 4,559 | ||
2027 | 3,737 | ||
2028 | 2,676 | ||
Thereafter | 6,219 | ||
Total lease payments | 31,214 | ||
Less imputed interest | (4,199) | ||
Total lease liabilities | 27,015 | ||
Lease income from operating leases | $ 3,100 | $ 6,200 | $ 4,900 |
Operating Lease, Lease Income, Statement of Income or Comprehensive Income [Extensible Enumeration] | Selling, General and Administrative Expense | Selling, General and Administrative Expense | Selling, General and Administrative Expense |
Leases - Maturities of lease in
Leases - Maturities of lease income (Details) $ in Thousands | Dec. 30, 2023 USD ($) |
Maturities of lease income | |
2024 | $ 2,481 |
2025 | 1,919 |
2026 | 1,322 |
2027 | 439 |
2028 | 452 |
Thereafter | $ 233 |
Share Repurchases (Details)
Share Repurchases (Details) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Share Repurchases | |||
Value of shares repurchased | $ 213,024 | $ 887,554 | $ 1,150,044 |
Common Stock | |||
Share Repurchases | |||
Number of shares repurchased | 1,522 | 6,874 | 6,520 |
Value of shares repurchased | $ 1 | ||
Share Repurchase Program | Common Stock | |||
Share Repurchases | |||
Number of shares repurchased | 1,500 | 6,900 | 6,500 |
Value of shares repurchased | $ 213,000 | $ 887,600 | $ 1,150,000 |
Share Repurchases through Tender Offer | Common Stock | |||
Share Repurchases | |||
Number of shares repurchased | 4,000 | ||
Accelerated Share Repurchase | Common Stock | |||
Share Repurchases | |||
Number of shares repurchased | 1,700 | ||
Existing share repurchase program | Common Stock | |||
Share Repurchases | |||
Number of shares repurchased | 800 |
Revenues (Details)
Revenues (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Revenues | |||
Revenues | $ 782,258 | $ 1,024,106 | $ 720,860 |
Revenue from performance obligations that were satisfied in previous reporting periods | 30,100 | 12,400 | |
Distributors | |||
Revenues | |||
Revenues | 611,332 | 829,373 | 584,010 |
Direct customers | |||
Revenues | |||
Revenues | 170,926 | 194,733 | 136,850 |
Industrial & Commercial | |||
Revenues | |||
Revenues | 496,578 | 573,725 | 377,401 |
Home & Life | |||
Revenues | |||
Revenues | $ 285,680 | $ 450,381 | $ 343,459 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of plans (Details) | 12 Months Ended |
Dec. 30, 2023 shares | |
2009 Stock Incentive Plan | |
Stock-Based Compensation | |
Number of available shares deducted for each share granted | 1 |
2009 Stock Incentive Plan | Minimum | |
Stock-Based Compensation | |
Award vesting period | 3 years |
2009 Stock Incentive Plan | Maximum | |
Stock-Based Compensation | |
Award vesting period | 4 years |
2009 Employee Stock Purchase Plan | |
Stock-Based Compensation | |
Percentage of purchase price of shares on fair value | 85% |
2009 Employee Stock Purchase Plan | Maximum | |
Stock-Based Compensation | |
Term of award | 27 months |
Stock-Based Compensation - 2009
Stock-Based Compensation - 2009 Plan (Details) - 2009 Stock Incentive Plan - USD ($) | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Full value awards | |||
Stock-Based Compensation | |||
Stock options granted (in shares) | 500,000 | 500,000 | 600,000 |
MSUs | |||
Stock-Based Compensation | |||
Cash consideration based upon achievement of specified levels of market conditions | $ 0 | ||
Award vesting period | 3 years | ||
Number of equity awards granted | 0 | 0 | 0 |
PSUs | |||
Stock-Based Compensation | |||
Cash consideration based upon achievement of specified levels of market conditions | $ 0 | ||
Award vesting period | 3 years | ||
Number of equity awards granted | 85,554,000 | 52,078,000 | 116,809,000 |
Stock-Based Compensation - 20_2
Stock-Based Compensation - 2009 ESPP (Details) - 2009 Employee Stock Purchase Plan - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Stock-Based Compensation | |||
Shares issued to employees under the plan | 154,000 | 109,000 | 146,000 |
Weighted average fair value for purchase rights granted (in dollars per share) | $ 27.81 |
Stock-Based Compensation - Acco
Stock-Based Compensation - Accounting for Stock Based Compensation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Stock-Based Compensation | |||
Stock-based compensation cost | $ 48,208 | $ 60,510 | $ 56,842 |
Income tax benefit | (6,230) | (5,980) | (954) |
Share based compensation costs after tax | 41,978 | 54,530 | 53,881 |
Total unrecognized compensation costs related to awards | $ 88,700 | ||
Weighted-average period of recognition of unrecognized compensation costs | 2 years | ||
Continuing operations | |||
Stock-Based Compensation | |||
Share based compensation costs after tax | $ 41,978 | 54,530 | 55,888 |
Discontinued operations | |||
Stock-Based Compensation | |||
Share based compensation costs after tax | (2,007) | ||
Cost of revenues | |||
Stock-Based Compensation | |||
Stock-based compensation cost | 906 | 1,152 | 964 |
Research and development | |||
Stock-Based Compensation | |||
Stock-based compensation cost | 35,491 | 32,860 | 24,986 |
Selling, general and administrative | |||
Stock-Based Compensation | |||
Stock-based compensation cost | 11,812 | $ 26,498 | 30,892 |
Expenses attributable to modification of equity awards | $ 600 | $ 7,800 |
Stock-Based Compensation - Fair
Stock-Based Compensation - Fair value assumptions (Details) - 2009 Employee Stock Purchase Plan | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Fair value assumptions | |||
Expected volatility | 40% | 44% | 42% |
Risk-free interest rate % | 5.47% | 3.18% | 0.05% |
Expected term (in months) | 9 months | 9 months | 9 months |
Dividend yield | 0% | 0% | 0% |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock awards activity (Details) - Employee Stock Option [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Shares | |||
Outstanding at the beginning of the year (in shares) | 118 | ||
Exercised (in shares) | 24 | ||
Outstanding at the end of the year (in shares) | 94 | 118 | |
Vested and expected to vest at the end of the year (in shares) | 94 | ||
Exercisable at the end of the year (in shares) | 94 | ||
Weighted-Average Exercise Price | |||
Outstanding at the beginning of the year (in dollars per share) | $ 38.80 | ||
Exercised (in dollars per share) | 37.88 | ||
Outstanding at the end of the year (in dollars per share) | 39.03 | $ 38.80 | |
Vested and expected to vest at the end of the year (in dollars per share) | 39.03 | ||
Exercisable at the end of the year (in dollars per share) | $ 39.03 | ||
Weighted-Average Remaining Contractual Term (In years) | |||
Outstanding at the end of the year | 2 years 1 month 13 days | 3 years 1 month 13 days | |
Vested and expected to vest at the end of the year | 2 years 1 month 13 days | ||
Exercisable at the end of the year | 2 years 1 month 13 days | ||
Aggregate Intrinsic Value | |||
Outstanding at the end of the year (in dollars) | $ 8,790 | $ 11,457 | |
Exercised (in dollars) | 2,162 | $ 986 | |
Vested and expected to vest at the end of the year (in dollars) | 8,790 | ||
Options exercisable at the end of the year (in dollars) | $ 8,790 |
Stock-Based Compensation - RSAs
Stock-Based Compensation - RSAs and RSUs, PSUs and MSUs activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
RSAs and RSUs | |||
Shares | |||
Outstanding at the beginning the of year (in shares) | 897 | ||
Granted (in shares) | 420 | ||
Vested or issued (in shares) | (416) | ||
Cancelled or forfeited (in shares) | (77) | ||
Outstanding at the end of the year (in shares) | 824 | 897 | |
Outstanding at the end of the year and expected to vest (in shares) | 759 | ||
Weighted-Average Grant Date Fair Value | |||
Outstanding at the beginning of the year (in dollars per share) | $ 134.74 | ||
Granted (in dollars per share) | 137.11 | $ 144.40 | $ 135.28 |
Vested Earned or issued (in dollars per share) | 127.51 | ||
Cancelled or forfeited (in dollars per share) | 142.05 | ||
Outstanding at the end of the year (in dollars per share) | 139.34 | $ 134.74 | |
Outstanding at the end of the year and expected to vest (in dollars per share) | $ 139.36 | ||
Weighted-Average Remaining Vesting Term | |||
Outstanding at the end of year | 1 year 1 month 20 days | ||
Outstanding at the end of year and expected to vest | 1 year 1 month 20 days | ||
Aggregate Intrinsic Value | |||
Outstanding at the end of the year (in dollars) | $ 109,044 | ||
Outstanding at the end of the year and expected to vest (in dollars) | $ 100,329 | ||
PSUs and MSUs | |||
Shares | |||
Outstanding at the beginning the of year (in shares) | 225 | ||
Granted (in shares) | 86 | ||
Vested or issued (in shares) | (33) | ||
Cancelled or forfeited (in shares) | (33) | ||
Outstanding at the end of the year (in shares) | 245 | 225 | |
Outstanding at the end of the year and expected to vest (in shares) | 85 | ||
Weighted-Average Grant Date Fair Value | |||
Outstanding at the beginning of the year (in dollars per share) | $ 134.93 | ||
Granted (in dollars per share) | 188.45 | $ 160.97 | $ 145.11 |
Vested Earned or issued (in dollars per share) | 92.31 | ||
Cancelled or forfeited (in dollars per share) | 95.47 | ||
Outstanding at the end of the year (in dollars per share) | 164.62 | $ 134.93 | |
Outstanding at the end of the year and expected to vest (in dollars per share) | $ 132.99 | ||
Weighted-Average Remaining Vesting Term | |||
Outstanding at the end of year | 1 year 2 months 19 days | ||
Outstanding at the end of year and expected to vest | 1 year 2 months 19 days | ||
Aggregate Intrinsic Value | |||
Outstanding at the end of the year (in dollars) | $ 32,438 | ||
Outstanding at the end of the year and expected to vest (in dollars) | $ 11,205 |
Stock-Based Compensation - Weig
Stock-Based Compensation - Weighted average fair value at grant date (Details) - $ / shares | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
RSAs and RSUs | |||
Stock-Based Compensation | |||
Equity award, weighted average fair value at grant date | $ 137.11 | $ 144.40 | $ 135.28 |
PSUs and MSUs | |||
Stock-Based Compensation | |||
Equity award, weighted average fair value at grant date | $ 188.45 | $ 160.97 | $ 145.11 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of stock-based payment and stock option values (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Employee Stock Option [Member] | |||
Stock-Based Compensation | |||
Intrinsic value of stock options exercised | $ 2,162 | $ 986 | |
RSUs | |||
Stock-Based Compensation | |||
Intrinsic value of equity awards that vested | 61,371 | $ 57,621 | 76,654 |
Grant date fair value of equity awards that vested | 53,088 | $ 41,610 | 47,726 |
PSUs and MSUs | |||
Stock-Based Compensation | |||
Intrinsic value of equity awards that vested | 5,163 | 5,231 | |
Grant date fair value of equity awards that vested | $ 3,037 | $ 3,562 |
Stock-Based Compensation - Shar
Stock-Based Compensation - Shares reserved for future issuance (Details) shares in Thousands | Dec. 30, 2023 shares |
Stock-Based Compensation | |
Common stock shares reserved for future issuance | 3,087 |
2009 Plan | |
Stock-Based Compensation | |
Common stock shares reserved for future issuance | 2,096 |
2009 ESPP | |
Stock-Based Compensation | |
Common stock shares reserved for future issuance | 991 |
Employee Benefit Plan (Details)
Employee Benefit Plan (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Employee Benefit Plan | |||
Contributions made to the 401(k) Plan | $ 3.3 | $ 3.2 | $ 3.5 |
Income Taxes - Income (loss) fr
Income Taxes - Income (loss) from continuing operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Income before income taxes | |||
Domestic | $ (14,539) | $ 32,088 | $ (15,384) |
Foreign | (12,034) | 97,764 | (29,063) |
Loss from continuing operations before income taxes | (26,573) | 129,852 | (44,447) |
Current: | |||
Domestic | 3,291 | 52,834 | (12,630) |
Foreign | 15,599 | 3,856 | 9,447 |
Total Current | 18,890 | 56,690 | (3,183) |
Deferred: | |||
Domestic | (9,036) | (17,728) | 17,873 |
Foreign | (1,911) | (512) | (1,263) |
Total Deferred | (10,947) | (18,240) | 16,610 |
Provision for income taxes | $ 7,943 | $ 38,450 | $ 13,427 |
Income Taxes - Tax rate reconci
Income Taxes - Tax rate reconciliation (Details) | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Reconciliation of federal statutory tax rate to effective tax rate | |||
Federal statutory rate | 21% | 21% | 21% |
Foreign tax rate benefit | (33.20%) | (6.20%) | (16.40%) |
(Nondeductible) nontaxable foreign items | (25.50%) | 4.40% | (7.20%) |
GILTI and Subpart F income, net of foreign tax credits | (24.20%) | 16.50% | (2.40%) |
Base erosion and anti-abuse tax | (7.40%) | ||
(Nondeductible) nontaxable domestic items | (3.60%) | 0.70% | (2.80%) |
Foreign withholding taxes | (2.20%) | 0.40% | |
State tax expense | (1.50%) | 1.20% | (0.80%) |
Change in prior period valuation allowance | (1.50%) | (0.30%) | (10.50%) |
Net operating loss not benefited | (6.00%) | ||
Other tax effects of equity compensation | 1.10% | (0.30%) | 0.50% |
Nondeductible officer compensation | 1.30% | 2% | (10.30%) |
Excess tax benefit of stock-based compensation | 4% | (1.10%) | 3.70% |
Return to provision adjustments | 16.50% | (2.00%) | 0.80% |
Research and development tax credits | 26.40% | (5.30%) | 0.10% |
Other | (1.10%) | (1.40%) | 0.10% |
Effective tax rate | (29.90%) | 29.60% | (30.20%) |
Income Taxes - Deferred Income
Income Taxes - Deferred Income Taxes (Details) - USD ($) $ in Thousands | Dec. 30, 2023 | Dec. 31, 2022 |
Deferred tax assets: | ||
Capitalized research and development | $ 27,402 | $ 15,188 |
Tax credit carryforwards | 13,303 | 13,334 |
Intangible assets | 7,188 | 7,938 |
Net operating loss carryforwards | 6,911 | 4,965 |
Leases | 6,584 | 5,517 |
Deferred income on shipments to distributors | 6,465 | 6,726 |
Accrued liabilities | 2,859 | 6,809 |
Other | 3,072 | 7,118 |
Deferred tax assets | 73,784 | 67,595 |
Less: Valuation allowance | (10,530) | (9,409) |
Deferred tax assets, net | 63,254 | 58,186 |
Deferred tax liabilities: | ||
Intangible assets | 13,916 | 13,789 |
Fixed assets | 8,353 | 8,518 |
Leases | 6,238 | 5,189 |
Prepaid expenses and other | 4,534 | 5,637 |
Unrealized gain on equity method investment | 4,120 | |
Deferred tax liabilities | 33,041 | 37,253 |
Net deferred tax assets (liabilities) | $ 30,213 | $ 20,933 |
Income Taxes - Valuation allowa
Income Taxes - Valuation allowance (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Changes in the valuation allowance for deferred tax assets | |||
Balance at Beginning of Period | $ 9,409 | $ 9,529 | $ 5,311 |
Additions Charged to Expenses | 1,121 | 792 | 5,370 |
Deductions | 0 | (912) | (1,152) |
Balance at End of Period | $ 10,530 | $ 9,409 | $ 9,529 |
Income Taxes - Unrecognized tax
Income Taxes - Unrecognized tax benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 | Dec. 31, 2022 | Jan. 01, 2022 | |
Summary of the activity related to gross unrecognized tax benefits | |||
Beginning balance | $ 4,109 | $ 3,677 | $ 2,853 |
Additions based on tax positions related to current year | 737 | 872 | 830 |
Additions based on tax positions related to prior years | 22 | ||
Reductions based on tax positions related to prior years | (6) | (6) | |
Reductions for tax positions as a result of a lapse of the applicable statute of limitations | (434) | ||
Ending balance | 4,868 | 4,109 | 3,677 |
Unrecognized tax benefits, other disclosures | |||
Gross unrecognized tax benefits, inclusive of interest | 5,400 | 4,400 | 3,900 |
Gross unrecognized tax benefits which would affect the effective tax rate if recognized | $ 5,100 | $ 4,400 | $ 3,900 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - 12 months ended Dec. 30, 2023 kr in Millions, $ in Millions | USD ($) | NOK (kr) |
Income Taxes | ||
Transition Tax obligation | $ 14.3 | |
Decrease in gross unrecognized benefits | (1.7) | |
Other current liabilities | ||
Income Taxes | ||
Transition Tax obligation | 6.4 | |
Other non-current liabilities | ||
Income Taxes | ||
Transition Tax obligation | 7.9 | |
Norwegian Tax Administration | 2013 | ||
Income Taxes | ||
Estimate of additional income tax expense | 13.9 | kr 141.3 |
Foreign | ||
Income Taxes | ||
Operating Loss Carryforwards | 47.2 | |
Foreign | Research and development tax credit | ||
Income Taxes | ||
Tax credit carryforwards | 0.2 | |
Federal | ||
Income Taxes | ||
Operating Loss Carryforwards | 12.4 | |
Federal | Research and development tax credit | ||
Income Taxes | ||
Tax credit carryforwards | 1.1 | |
State | ||
Income Taxes | ||
Operating Loss Carryforwards | 28.2 | |
State | Alternative minimum tax credit | ||
Income Taxes | ||
Tax credit carryforwards | 0.1 | |
State | Research and development tax credit | ||
Income Taxes | ||
Tax credit carryforwards | $ 12.9 |
Segment Information (Details)
Segment Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 30, 2023 USD ($) segment | Dec. 31, 2022 USD ($) | Jan. 01, 2022 USD ($) | |
Segment Information | |||
Number of operating segments | segment | 1 | ||
Revenues | $ 782,258 | $ 1,024,106 | $ 720,860 |
Property and equipment, net | 145,890 | 152,016 | |
United States | |||
Segment Information | |||
Revenues | 92,550 | 176,379 | 97,471 |
Property and equipment, net | 116,357 | 121,031 | |
China | |||
Segment Information | |||
Revenues | 219,741 | 334,821 | 311,513 |
Taiwan | |||
Segment Information | |||
Revenues | 90,382 | 105,602 | 68,196 |
Rest of world | |||
Segment Information | |||
Revenues | 379,585 | 407,304 | $ 243,680 |
Property and equipment, net | $ 29,533 | $ 30,985 |
Restructuring Activities (Detai
Restructuring Activities (Details) $ in Millions | 3 Months Ended | 12 Months Ended |
Dec. 30, 2023 USD ($) | Dec. 30, 2023 USD ($) | |
Restructuring Activities | ||
Workforce reduction (as a percent) | 10% | |
Research and development | ||
Restructuring Activities | ||
Employee separation costs and Non-cash charges for the accelerated vesting of certain equity awards | $ 6 | |
Restructuring, Incurred Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Operating Expenses | |
Selling, general and administrative | ||
Restructuring Activities | ||
Employee separation costs and Non-cash charges for the accelerated vesting of certain equity awards | $ 3 | |
Restructuring, Incurred Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Operating Expenses | |
Employee separation costs | ||
Restructuring Activities | ||
Employee separation costs and Non-cash charges for the accelerated vesting of certain equity awards | $ 9.1 | |
Employee separation payments made | 5 | |
Accrued employee separation costs | $ 4 | 4 |
Non-cash charges for the accelerated vesting of certain equity awards | ||
Restructuring Activities | ||
Employee separation costs and Non-cash charges for the accelerated vesting of certain equity awards | $ 0.6 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |