Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2019 | Nov. 12, 2019 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | PC TEL INC | |
Entity Central Index Key | 0001057083 | |
Entity Incorporation, State or Country Code | DE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | PCTI | |
Security Exchange Name | NASDAQ | |
Entity File Number | 000-27115 | |
Entity Tax Identification Number | 77-0364943 | |
Entity Address, Address Line One | 471 Brighton Drive | |
Entity Address, City or Town | Bloomingdale | |
Entity Address, State or Province | IL | |
Entity Address, Postal Zip Code | 60108 | |
City Area Code | 630 | |
Local Phone Number | 372-6800 | |
Entity Common Stock Shares Outstanding | 18,582,338 | |
Document Quarterly Report | true | |
Document Transition Report | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
ASSETS | ||
Cash and cash equivalents | $ 5,647 | $ 4,329 |
Short-term investment securities | 32,419 | 30,870 |
Accounts receivable, net of allowances of $95 and $63 at September 30, 2019 and December 31, 2018, respectively | 17,117 | 15,864 |
Inventories, net | 13,577 | 12,848 |
Prepaid expenses and other assets | 1,087 | 1,416 |
Total current assets | 69,847 | 65,327 |
Property and equipment, net | 11,109 | 12,138 |
Goodwill | 3,332 | 3,332 |
Intangible assets, net | 359 | 1,029 |
Other noncurrent assets | 3,220 | 45 |
TOTAL ASSETS | 87,867 | 81,871 |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
Accounts payable | 4,992 | 6,083 |
Accrued liabilities | 8,427 | 5,801 |
Total current liabilities | 13,419 | 11,884 |
Long-term liabilities | 2,970 | 381 |
Total liabilities | 16,389 | 12,265 |
Stockholders’ equity: | ||
Common stock, $0.001 par value, 100,000,000 shares authorized, 18,572,493 and 18,271,249 shares issued and outstanding at September 30, 2019 and December 31, 2018, respectively | 19 | 18 |
Additional paid-in capital | 134,034 | 133,859 |
Accumulated deficit | (62,103) | (64,055) |
Accumulated other comprehensive loss | (472) | (216) |
Total stockholders’ equity | 71,478 | 69,606 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 87,867 | $ 81,871 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Allowance for accounts receivable | $ 95 | $ 63 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 18,572,493 | 18,572,493 |
Common stock, shares outstanding | 18,271,249 | 18,271,249 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Statement [Abstract] | ||||
REVENUES | $ 23,630 | $ 18,426 | $ 67,720 | $ 61,739 |
COST OF REVENUES | 12,983 | 11,705 | 37,720 | 39,355 |
GROSS PROFIT | 10,647 | 6,721 | 30,000 | 22,384 |
OPERATING EXPENSES: | ||||
Research and development | 3,214 | 3,028 | 9,223 | 9,021 |
Sales and marketing | 2,935 | 2,957 | 8,830 | 9,059 |
General and administrative | 3,214 | 3,029 | 10,381 | 9,172 |
Amortization of intangible assets | 48 | 85 | 170 | 333 |
Restructuring expenses | 295 | 0 | 295 | 0 |
Total operating expenses | 9,706 | 9,099 | 28,899 | 27,585 |
OPERATING INCOME (LOSS) | 941 | (2,378) | 1,101 | (5,201) |
Other income, net | 393 | 226 | 874 | 486 |
INCOME (LOSS) BEFORE INCOME TAXES | 1,334 | (2,152) | 1,975 | (4,715) |
Expense (benefit) for income taxes | 6 | (482) | 23 | (961) |
NET INCOME (LOSS) | $ 1,328 | $ (1,670) | $ 1,952 | $ (3,754) |
Net Income (Loss) per Share: | ||||
Basic | $ 0.07 | $ (0.10) | $ 0.11 | $ (0.22) |
Diluted | $ 0.07 | $ (0.10) | $ 0.11 | $ (0.22) |
Weighted Average Shares: | ||||
Basic | 17,922 | 17,234 | 17,792 | 17,145 |
Diluted | 18,181 | 17,234 | 18,105 | 17,145 |
Cash dividend per share | $ 0.055 | $ 0.055 | $ 0.155 | $ 0.155 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) (unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
NET INCOME (LOSS) | $ 1,328 | $ (1,670) | $ 1,952 | $ (3,754) |
OTHER COMPREHENSIVE LOSS: | ||||
Foreign currency translation adjustments | (261) | (223) | (256) | (327) |
COMPREHENSIVE INCOME (LOSS) | $ 1,067 | $ (1,893) | $ 1,696 | $ (4,081) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity (unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid - In Capital [Member] | Retained Deficit [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
BALANCE at beginning of year at Dec. 31, 2017 | $ 83,319 | $ 18 | $ 134,505 | $ (51,258) | $ 54 |
Cumulative-effect adjustment resulting from adoption of ASU 2016-16 at Dec. 31, 2017 | 92 | 0 | 0 | 92 | 0 |
BALANCE at beginning of year, as adjusted at Dec. 31, 2017 | 83,411 | 18 | 134,505 | (51,166) | 54 |
Stock-based compensation expense | 2,572 | 0 | 2,572 | 0 | 0 |
Issuance of shares for stock purchase plans and stock options | 686 | 0 | 686 | 0 | 0 |
Cancellation of shares for payment of withholding tax | (301) | 0 | (301) | 0 | 0 |
Dividends paid | (3,007) | 0 | (3,007) | 0 | 0 |
Net income (loss) | (3,754) | 0 | 0 | (3,754) | 0 |
Change in cumulative translation adjustment, net | (327) | 0 | 0 | 0 | (327) |
BALANCE at end of year at Sep. 30, 2018 | 79,280 | 18 | 134,455 | (54,920) | (273) |
BALANCE at beginning of year at Jun. 30, 2018 | 81,085 | 18 | 134,367 | (53,250) | (50) |
Stock-based compensation expense | 786 | 0 | 786 | 0 | 0 |
Issuance of shares for stock purchase plans and stock options | 322 | 0 | 322 | 0 | 0 |
Cancellation of shares for payment of withholding tax | (12) | 0 | (12) | 0 | 0 |
Dividends paid | (1,008) | 0 | (1,008) | 0 | 0 |
Net income (loss) | (1,670) | 0 | 0 | (1,670) | 0 |
Change in cumulative translation adjustment, net | (223) | 0 | 0 | 0 | (223) |
BALANCE at end of year at Sep. 30, 2018 | 79,280 | 18 | 134,455 | (54,920) | (273) |
BALANCE at beginning of year at Dec. 31, 2018 | 69,606 | 18 | 133,859 | (64,055) | (216) |
Stock-based compensation expense | 3,246 | 0 | 3,246 | 0 | 0 |
Issuance of shares for stock purchase plans and stock options | 730 | 1 | 729 | 0 | 0 |
Cancellation of shares for payment of withholding tax | (754) | 0 | (754) | 0 | 0 |
Dividends paid | (3,046) | 0 | (3,046) | 0 | 0 |
Net income (loss) | 1,952 | 0 | 0 | 1,952 | 0 |
Change in cumulative translation adjustment, net | (256) | 0 | 0 | 0 | (256) |
BALANCE at end of year at Sep. 30, 2019 | 71,478 | 19 | 134,034 | (62,103) | (472) |
BALANCE at beginning of year at Jun. 30, 2019 | 70,129 | 18 | 133,753 | (63,431) | (211) |
Stock-based compensation expense | 918 | 0 | 918 | 0 | 0 |
Issuance of shares for stock purchase plans and stock options | 392 | 1 | 391 | 0 | 0 |
Cancellation of shares for payment of withholding tax | (11) | 0 | (11) | 0 | 0 |
Dividends paid | (1,017) | 0 | (1,017) | 0 | 0 |
Net income (loss) | 1,328 | 0 | 0 | 1,328 | 0 |
Change in cumulative translation adjustment, net | (261) | 0 | 0 | 0 | (261) |
BALANCE at end of year at Sep. 30, 2019 | $ 71,478 | $ 19 | $ 134,034 | $ (62,103) | $ (472) |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Stockholders' Equity (Parenthetical) (unaudited) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Statement Of Stockholders Equity [Abstract] | ||||
Cash dividend per share | $ 0.055 | $ 0.055 | $ 0.155 | $ 0.155 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Operating Activities: | ||
Net income (loss) | $ 1,952 | $ (3,754) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 2,152 | 2,088 |
Intangible asset amortization | 670 | 833 |
Stock-based compensation | 3,246 | 2,572 |
Loss on disposal of property and equipment | 91 | 11 |
Restructuring costs | 268 | (28) |
Bad debt provision | (3) | 248 |
Deferred tax provision | 0 | (868) |
Changes in operating assets and liabilities: | ||
Accounts receivable | (1,276) | 4,968 |
Inventories | (838) | (173) |
Prepaid expenses and other assets | 902 | 425 |
Accounts payable | (1,019) | 255 |
Income taxes payable | (40) | (39) |
Other accrued liabilities | 1,485 | (2,395) |
Deferred revenue | 5 | (43) |
Net cash provided by operating activities | 7,595 | 4,100 |
Investing Activities: | ||
Capital expenditures | (1,366) | (2,205) |
Proceeds from disposal of property and equipment | 0 | 14 |
Purchases of short-term investments | (38,393) | (33,978) |
Redemptions/maturities of short-term investments | 36,844 | 34,707 |
Net cash used in investing activities | (2,915) | (1,462) |
Financing Activities: | ||
Proceeds from issuance of common stock | 730 | 686 |
Payment of withholding tax on stock-based compensation | (754) | (301) |
Principle payments on finance leases | (79) | (91) |
Cash dividends | (3,046) | (3,007) |
Net cash used in financing activities | (3,149) | (2,713) |
Net increase (decrease) in cash and cash equivalents | 1,531 | (75) |
Effect of exchange rate changes on cash | (213) | (107) |
Cash and cash equivalents, beginning of period | 4,329 | 5,559 |
Cash and Cash Equivalents, End of Period | $ 5,647 | $ 5,377 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | 1. Basis of Presentation The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. For further information, refer to the audited consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 (the “2018 Form 10-K”). Nature of Operations PCTEL, Inc. (“PCTEL”, the “Company”, “we”, “ours”, and “us”) delivers Performance Critical TELecom technology solutions to the wireless industry. PCTEL is a leading global supplier of wireless network antenna and test solutions. PCTEL designs and manufactures precision antennas and provides test and measurement products that improve the performance of wireless networks globally. PCTEL products address three market segments: Enterprise Wireless, Intelligent Transportation, and Industrial Internet of Things (“IoT”). PCTEL antennas are deployed in small cells, enterprise Wi-Fi access points, fleet management and transit systems, and in network equipment and devices for the Industrial IoT. PCTEL test tools improve the performance of wireless networks globally. Mobile operators, neutral hosts, and network equipment manufacturers rely on PCTEL to analyze, design, and optimize next generation wireless networks. Product Lines Antenna Products PCTEL designs and manufactures precision antennas and offers in-house wireless product development for our customers, including design, testing, radio integration, and manufacturing capabilities. PCTEL antennas are deployed in small cells, enterprise Wi-Fi access points, fleet management and transit systems, and in network equipment and devices for the Industrial IoT. Revenue growth in these markets is driven by the increased use and complexity of wireless communications. Consistent with the Company’s mission to solve complex network engineering problems and in order to compete effectively in the antenna market, PCTEL maintains expertise in the following areas: radio frequency engineering, wireless network engineering, mechanical engineering, mobile antenna design, manufacturing, and product quality and testing. The Company seeks out product applications that command a premium for product design and performance and customer service, and we avoid commodity markets. The Company’s antennas are primarily sold to original equipment manufacturer (“OEM”) providers where they are designed into the customer’s solution. Competition in the antenna markets is fragmented. Competitors include Airgain, Amphenol, Laird, Panorama and Taoglas. Test and Measurement Products PCTEL provides RF test and measurement tools that improve the performance of wireless networks globally, with a focus on LTE, public safety, and emerging 5G technologies. Network operators, neutral hosts, and equipment manufacturers rely on our scanning receivers and testing solutions to analyze, design, and optimize next generation wireless networks. Revenue growth in this market is driven by the implementation and roll out of new wireless technology standards (i.e. 3G to 4G, 4G to 5G). Consistent with our mission to solve complex network engineering problems and in order to compete effectively in the RF test and measurement market, PCTEL maintains expertise in the following areas: radio frequency engineering, digital signal process (“DSP”) engineering, wireless network engineering, mechanical engineering, manufacturing, and product quality and testing. The Company’s test equipment is sold directly to wireless carriers or to OEMs who integrate its products into their solutions which are then sold to wireless carriers. Competitors for the Company’s test tool products include OEMs such as Anritsu, Berkley Varitronics, Digital Receiver Technology, and Rohde and Schwarz. Reorganization and Segment Reporting Effective August 2018, the Company consolidated its organizational structure to drive growth and address the convergence in the Industrial IoT, public safety, and 4G infrastructure markets and the emergence of new technologies such as 5G (the “Reorganization”). The Company’s operations, engineering, business development, sales and marketing, and operational general and administrative functions were consolidated into a single enterprise-wide organization. As a result of the Reorganization that occurred in the third quarter 2018, the Company’s Chief Executive Officer, as the chief operating decision maker (“CODM”) began assessing operating profits and identified assets at the enterprise level for resource allocations. In connection with the Reorganization, the Board of Directors appointed a Chief Operating Officer who maintains regular contact with the CODM to discuss operating activities, financial results, forecasts, and plans for the Company’s businesses. All operating profit and cash flows are measured and managed at the enterprise level. Until the Reorganization, PCTEL operated in two segments for reporting purposes, Connected Solutions and RF Solutions. The CODM assessed operating profits and identified assets for the Connected Solutions and RF Solutions segments for resource allocations. Each segment had its own general manager as well as its own engineering, business development, sales and marketing, and operational general and administrative functions. The Company includes revenues and gross profit for the two major product lines (antenna products and test and measurement products) because each product line has a significantly different gross profit profile. In order to understand the Company’s financial results, it is necessary to understand the impact on gross profit of the revenue mix between them. Basis of Consolidation The unaudited interim condensed consolidated financial statements of the Company include the condensed consolidated balance sheets for the period ended September 30, 2019 and December 31, 2018, and the condensed consolidated statements of operations, statements of comprehensive loss, the condensed consolidated statements of stockholders’ equity and statements of cash flows for the three and nine months ended September 30, 2019 and 2018, respectively. The interim condensed consolidated financial statements are unaudited and reflect all adjustments of a normal recurring nature that are, in the opinion of management, necessary for a fair presentation of the interim period financial statements. The condensed consolidated balance sheet as of December 31, 2018 is derived from the audited financial statements as of December 31, 2018. The unaudited interim condensed consolidated financial statements of the Company have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. The significant accounting policies followed by the Company are set forth in the 2018 Form 10-K. There were no significant changes in the Company’s significant accounting policies during the nine months ended September 30, 2019. See Note 10 related to Leases for additional disclosures related to the implementation of ASU 2016-02 (“Topic 842”). In addition, the Company reaffirms the use of estimates in the preparation of the financial statements as set forth in the 2018 Form 10-K. These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto included in the 2018 Form 10-K. The results of operations for the period ended September 30, 2019 may not be indicative of the results for the period ending December 31, 2019. Foreign Operations The Company is exposed to foreign currency fluctuations due to its foreign operations and because products are sold internationally. The functional currency for the Company’s foreign operations is predominantly the applicable local currency. Accounts of foreign operations are translated into U.S. dollars using the exchange rate in effect at the applicable balance sheet date for assets and liabilities and average monthly rates prevailing during the period for revenue and expense accounts. Adjustments resulting from translation are included in accumulated other comprehensive loss, a separate component of stockholders’ equity. Gains and losses resulting from other transactions originally in foreign currencies and then translated into U.S. dollars are included in the condensed consolidated statements of operations. Net foreign exchange gains resulting from foreign currency transactions included in other income, net was $198 and $37 for the three months ended September 30, 2019 and 2018, respectively. Net foreign exchange gains resulting from foreign currency transactions included in other income, net was $226 and $28 for the nine months ended September 30, 2019 and 2018, respectively. Recent Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-02, Leases (“Topic 842”), which amends existing guidance to require lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by long-term leases and to disclose additional quantitative and qualitative information about leasing arrangements. This ASU also provides clarifications surrounding the presentation of the effects of leases in the statement of operations and statement of cash flows. The Company adopted this guidance on January 1, 2019. The Company commenced its assessment of Topic 842 in the second half of 2018 and developed a project plan to guide the implementation. The Company completed this project planin which it analyzed the ASU's impact on its leases, surveyed the Company's key employees, assessed the portfolio of leases, and established a future lease process to keep the lease accounting portfolio up to date. The Company also evaluated the key policy elections and considerations under the standard and completed the internal policy documentation to address the new standard requirements. The Company adopted this new guidance using the updated modified transition method allowed per ASU 2018-11 of Topic 842. Upon adoption on January 1, 2019, total assets and liabilities increased due to the recording of right-of-use assets of $1.5 million and lease liabilities of $1.6 million. See Note 10 for additional information and disclosures required by this new standard. In October 2016, the FASB issued ASU 2016-16, Income Taxes (“Topic 740”): Intra-Entity Transfer of Assets Other than Inventory. Topic 740 requires an entity to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The Company adopted Topic 740 on January 1, 2018 using the modified retrospective approach, and as a result recorded a deferred tax asset with a corresponding adjustment to retained earnings of $0.1 million associated with an intra-entity transfer of goodwill in 2009. The goodwill was transferred to the U.S. entity from a Canadian entity that was dissolved in 2009. In June 2016, the FASB issued Accounting Standards Update No. 2016-13 (ASU 2016-13) regarding ASC Topic 326, Financial Instruments - Credit Losses, which modifies the measurement of expected credit losses of certain financial instruments. The amendments will be effective for the Company on January 1, 2020. The Company is currently evaluating this guidance and the impact it will have on its consolidated financial statements. In August 2018, the FASB issued ASU 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract The amendments in this update align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected by the amendments in this update. This guidance will be effective for the Company on January 1, 2020. The Company is currently evaluating this guidance and the impact it will have on its consolidated financial statements and related disclosures. The Company does not expect the adoption of ASU 2018-15 to have a material impact on its consolidated financial statements. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | 2. Fair Value of Financial Instruments The Company follows accounting guidance for fair value measurements and disclosures, which establishes a fair value hierarchy that requires the Company to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, a three-tier fair value hierarchy has been established, which prioritizes the inputs used in measuring fair value as follows: Level 1: inputs are unadjusted quoted prices in active markets for identical assets or liabilities. Level 2: inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices in active markets for similar assets and liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of assets or liabilities. Level 3: unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Cash equivalents are measured at fair value and investments are recognized at amortized cost in the Company’s financial statements. Accounts receivable and other investments are financial assets with carrying values that approximate fair value due to the short-term nature of these assets. Accounts payable is a financial liability with a carrying value that approximates fair value due to the short-term nature of these liabilities. |
Earnings per Share
Earnings per Share | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per Share | 3. Earnings per Share The following table is the computation of basic and diluted earnings per share: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Basic Income (Loss) Per Share computation: Numerator: Net income (loss) $ 1,328 $ (1,670 ) $ 1,952 $ (3,754 ) Denominator: Common shares outstanding 17,922 17,234 17,792 17,145 Net income (loss) per common share - basic Net income (loss) $ 0.07 $ (0.10 ) $ 0.11 $ (0.22 ) Diluted Income (Loss) Per Share computation: Denominator: Common shares outstanding 17,922 17,234 17,792 17,145 Performance related awards 52 * 162 * Restricted shares subject to vesting 206 * 150 * Common stock option grants 1 * 1 * Total shares 18,181 17,234 18,105 17,145 Net income (loss) per common share - diluted Net income (loss) $ 0.07 $ (0.10 ) $ 0.11 $ (0.22 ) * As denoted by “*” in the table above, the weighted average common stock option grants and restricted shares of 274,000 and 566,000 for the three and nine months ended September 30, 2018, respectively, were excluded from the calculations of diluted net loss per share since their effects are anti-dilutive. |
Cash, Cash Equivalents and Inve
Cash, Cash Equivalents and Investments | 9 Months Ended |
Sep. 30, 2019 | |
Cash And Cash Equivalents [Abstract] | |
Cash, Cash Equivalents and Investments | 4. Cash, Cash Equivalents and Investments The Company’s cash and investments consisted of the following: September 30, December 31, 2019 2018 Cash $ 4,697 $ 1,485 Cash equivalents $ 950 2,844 Short-term investments $ 32,419 30,870 Total $ 38,066 $ 35,199 Cash and Cash Equivalents At September 30, 2019 and December 31, 2018, cash and cash equivalents included bank balances and investments with original maturities less than 90 days. At September 30, 2019 and December 31, 2018, the Company’s cash equivalents were invested in highly liquid AAA rated money market funds that are required to comply with Rule 2a-7 of the Investment Company Act of 1940. Such funds utilize the amortized cost method of accounting, seek to maintain a constant $1.00 per share price, and are redeemable upon demand. The Company restricts its investments in AAA money market funds to those invested 100% in either short-term U.S. government agency securities or bank repurchase agreements collateralized by these same securities. The fair values of these money market funds are established through quoted prices in active markets for identical assets (Level 1 inputs). The Company’s cash in U.S. banks is insured by the Federal Deposit Insurance Corporation up to the insurable limit of $250. The Company had $2.8 million and $0.8 million of cash and cash equivalents in foreign bank accounts at September 30, 2019 and December 31, 2018, respectively. The Company’s cash in its foreign bank accounts is not insured. Within the cash in foreign bank accounts, the Company had cash of $2.8 million and $0.6 million in China bank accounts at September 30, 2019 and December 31, 2018, respectively. As of September 30, 2019, the Company has no intentions of repatriating the cash in its foreign bank accounts in China. If the Company decides to repatriate the cash in the foreign bank accounts, it may have trouble doing so in a timely manner. The Company may also be exposed to foreign currency fluctuations and taxes if it repatriates these funds. The Company completed the closure of its Israeli subsidiary during the fourth quarter of 2018 and repatriated the subsidiary’s remaining cash of $0.2 million during the second quarter of 2019. The foreign currency exchange impact related to the repatriation of these funds did not have a material impact on the financial statements. Investments At September 30, 2019 and December 31, 2018, the Company’s short-term investments consisted of U.S. government agency bonds, A or higher rated corporate bonds, and certificates of deposit. All the investments at September 30, 2019 and December 31, 2018 were classified as held-to-maturity. The bonds have original maturities greater than 90 days and mature in less than one year. The Company’s bond investments are recorded at the purchase price and carried at amortized cost. Cash equivalents and investments were as follows at September 30, 2019 and December 31, 2018: September 30, 2019 December 31, 2018 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash equivalents: Corporate bonds $ 0 $ 504 $ 0 $ 504 $ 0 $ 1,156 $ 0 $ 1,156 Certificates of deposit 0 0 0 $ 0 0 0 0 0 Money market funds 446 0 0 $ 446 1,688 0 0 1,688 Total Cash Equivalents $ 446 $ 504 $ 0 $ 950 $ 1,688 $ 1,156 $ 0 $ 2,844 Investments: Corporate bonds $ 0 $ 27,640 $ 0 $ 27,640 $ 0 $ 21,583 $ 0 $ 21,583 US government agency bonds 0 729 0 $ 729 0 5,671 0 5,671 Certificates of deposit 4,050 0 0 $ 4,050 3,616 0 0 3,616 Total Investments $ 4,050 $ 28,369 $ 0 $ 32,419 $ 3,616 $ 27,254 $ 0 $ 30,870 Cash equivalents and Investments - book value $ 4,496 $ 28,873 $ 0 $ 33,369 $ 5,304 $ 28,410 $ 0 $ 33,714 Cash equivalents and Investments - fair value $ 4,497 $ 28,842 $ 0 $ 33,339 $ 5,304 $ 28,389 $ 0 $ 33,693 The Company categorizes its financial instruments within a fair value hierarchy according to accounting guidance for fair value. The fair value hierarchy is described under the Fair Value of Financial Instruments in Note 2. For the Level 2 investments, the Company uses quoted prices of similar assets in active markets. The fair values in the table above reflect net unrealized losses of $29 and $21 at September 30, 2019 and December 31, 2018, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | 5. Goodwill and Intangible Assets Goodwill There were no changes to the goodwill valued at $3.3 million during the three and nine months ended September 30, 2019. There were no triggering events during the quarter ended September 30, 2019. The Company will continue to monitor goodwill for impairment going forward. The goodwill is related to the test and measurement product line, not to the whole Company. The test and measurement product line is a reporting unit because the Company has discrete financial information necessary to perform goodwill impairment testing for this reporting unit under the accounting guidance. The Company evaluates the goodwill based on the cash flows for the test and measurement product line. Intangible Assets The Company amortizes intangible assets with finite lives on a straight-line basis over the estimated useful lives, which range from one to six years. The summary of amortization expense in the consolidated statement of operations is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Cost of revenues $ 167 $ 167 $ 500 $ 500 Operating expenses 48 85 170 333 Total $ 215 $ 252 $ 670 $ 833 The summary of other intangible assets, net is as follows: September 30, 2019 December 31, 2018 Accumulated Net Book Accumulated Net Book Cost Amortization Value Cost Amortization Value Customer contracts and relationships $ 16,880 $ 16,880 $ 0 $ 16,880 $ 16,880 $ 0 Patents and technology 10,114 9,836 278 10,114 9,336 778 Trademarks and trade names 4,834 4,753 81 4,834 4,607 227 Other 2,506 2,506 0 2,506 2,482 24 Total $ 34,334 $ 33,975 $ 359 $ 34,334 $ 33,305 $ 1,029 The $0.7 million decrease in the net book value of intangible assets at September 30, 2019 compared to December 31, 2018 relates to amortization expense for the nine months ended September 30, 2019. The assigned lives and weighted average amortization periods by intangible asset category are summarized below: Intangible Assets Assigned Life Weighted Average Amortization Period Customer contracts and relationships 5 years 5.0 Patents and technology 5 to 6 years 5.1 Trademarks and trade names 5 to 6 years 5.6 Other 1 to 6 years 3.0 The Company’s intangible amortization is scheduled through February 2020. The amortization expense for 2019 and 2020 is as follows: Fiscal Year Amount 2019 $ 885 2020 $ 144 |
Balance Sheet Information
Balance Sheet Information | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Balance Sheet Information | 6. Balance Sheet Information Accounts Receivable Accounts receivable are recorded at invoiced amounts with standard net terms that range between 30 and 90 days. The Company extends credit to its customers based on an evaluation of a customer’s financial condition and collateral is generally not required. The Company maintains an allowance for estimated uncollectible accounts receivable. The allowance is based on the Company’s assessment of known delinquent accounts, historical experience, and other currently available evidence of the collectability and the aging of accounts receivable. The Company’s allowance for doubtful accounts was $0.1 million at September 30, 2019 and at December 31, 2018. Inventories Inventories are stated at the lower of cost or market and include material, labor and overhead costs using the first-in, first-out method of costing. Inventories as of September 30, 2019 and December 31, 2018 were composed of raw materials, sub-assemblies, work-in-process and finished goods. The Company had consigned inventory with customers of $0.2 million and $0.9 million at September 30, 2019 and December 31, 2018, respectively. The Company records allowances to reduce the value of inventory to the lower of cost or market, including allowances for excess and obsolete inventory. Reserves for excess inventory are calculated based on our estimate of inventory in excess of normal and planned usage. Obsolete reserves are based on our identification of inventory where the carrying value is above net realizable value. The allowance for inventory losses was $3.4 million and $3.3 million at September 30, 2019 and at December 31, 2018, respectively. Inventories consisted of the following: September 30, 2019 December 31, 2018 Raw materials $ 6,748 $ 7,023 Work-in-process 1,256 1,388 Finished goods 5,573 4,437 Inventories, net $ 13,577 $ 12,848 Prepaid and Other Current Assets Prepaid assets are stated at cost and are amortized over the useful lives (up to one year) of the assets. Property and Equipment Property and equipment are stated at cost and are depreciated using the straight-line method over the estimated useful lives of the assets. The Company depreciates computer equipment over three to five years, office equipment, manufacturing and test equipment, and motor vehicles over five years, furniture and fixtures over seven years, and buildings over 30 years. Leasehold improvements are amortized over the shorter of the corresponding lease term or useful life. Depreciation expense and gains and losses on the disposal of property and equipment are included in cost of sales and operating expenses in the condensed consolidated statements of operations. Maintenance and repairs are expensed as incurred. Property and equipment consisted of the following: September 30, 2019 December 31, 2018 Building $ 6,389 $ 6,351 Computers and office equipment 10,677 10,963 Manufacturing and test equipment 14,276 13,573 Furniture and fixtures 1,326 1,318 Leasehold improvements 1,565 1,529 Motor vehicles 20 20 Total property and equipment 34,253 33,754 Less: Accumulated depreciation and amortization (24,914 ) (23,386 ) Land 1,770 1,770 Property and equipment, net $ 11,109 $ 12,138 Depreciation and amortization expense was approximately $0.7 million for the three months ended September 30, 2019 and 2018, respectively. Depreciation and amortization expense was approximately $2.1 million for the nine months ended September 30, 2019 and 2018, respectively. Amortization for finance leases is included in depreciation and amortization expense. See Note 10 for information related to finance leases. Liabilities Accrued liabilities consisted of the following: September 30, 2019 December 31, 2018 Payroll, bonuses, and other employee benefits $ 3,091 $ 1,409 Inventory receipts 1,885 1,396 Paid time off 932 936 Short-term obligations under operating leases 479 0 Professional fees and contractors 435 346 Warranties 400 339 Restructuring 344 33 Deferred revenues 152 149 Income and sales taxes 147 186 Customer refunds for estimated returns 126 154 Real estate taxes 107 148 Short-term obligations under finance leases 80 91 Employee stock purchase plan 0 343 Other 249 271 Total $ 8,427 $ 5,801 Long-term liabilities consisted of the following: September 30, 2019 December 31, 2018 Finance leases $ 182 $ 132 Operating leases 2,552 0 Deferred Rent 0 87 Other 236 162 Total $ 2,970 $ 381 |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 7. Stock-Based Compensation The condensed consolidated statements of operations include $0.9 million and $0.8 million of stock compensation expense for the three months ended September 30, 2019 and 2018, respectively. The condensed consolidated statements of operations include $3.2 million and $2.6 million of stock compensation expense for the nine months ended September 30, 2019 and 2018, respectively. T The stock-based compensation expense by type is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Service-based awards $ 472 $ 730 $ 1,942 $ 2,404 Performance-based awards - short-term incentive plan 361 0 990 0 Performance-based awards - long-term incentive plan 56 0 170 0 Stock option and employee purchase plans 29 56 144 168 Total $ 918 $ 786 $ 3,246 $ 2,572 Total stock-based compensation is reflected in the condensed consolidated statements of operations as follows: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Cost of revenues $ 87 $ (49 ) $ 292 $ 131 Research and development 158 165 507 462 Sales and marketing 158 174 521 462 General and administrative 515 496 1,926 1,517 Total $ 918 $ 786 $ 3,246 $ 2,572 Restricted Stock – Service Based The Company grants restricted shares as employee and director incentives. When service-based restricted stock is granted, the Company records deferred stock compensation within additional paid in capital, representing the fair value of the common stock on the date the restricted shares are granted. The Company records stock compensation expense on a straight-line basis over the vesting period of the applicable service-based restricted shares. These grants vest over various periods. During the first quarter 2019, the Company issued 190,159 service-based restricted stock awards to employees that vest in equal annual increments over three years. The following table summarizes service-based restricted stock activity for the nine months ended September 30, 2019: Shares Weighted Average Fair Value Unvested Restricted Stock Awards - December 31, 2018 838,967 $ 6.21 Shares awarded 190,159 5.25 Shares vested (410,013 ) 6.25 Shares cancelled (12,226 ) 6.34 Unvested Restricted Stock Awards - September 30, 2019 606,887 $ 5.88 The intrinsic value of service-based restricted shares that vested during the three months ended September 30, 2019 and 2018 was $32 and $36 respectively. The intrinsic value of service-based restricted shares that vested during the nine months ended September 30, 2019 and 2018 was At September 30, 2019, total unrecognized compensation expense related to restricted stock was approximately $2.0 million to be recognized through 2022 over a weighted average period of 1.3 years. Restricted Stock Units – Service Based The Company grants restricted stock units as employee incentives. Restricted stock units are primarily granted to foreign employees for long-term incentive purposes. Employee restricted stock units are service-based awards and are amortized over the vesting period. At the vesting date, these units are converted to shares of common stock. The Company records expense on a straight-line basis for restricted stock units. The following table summarizes the restricted stock unit activity during the nine months ended September 30, 2019: Shares Weighted Average Fair Value Unvested Restricted Stock Units - December 31, 2018 18,638 $ 5.66 Units awarded 2,700 5.27 Units vested/Shares awarded (5,721 ) 5.67 Unvested Restricted Stock Units - September 30, 2019 15,617 $ 5.48 The intrinsic value of service-based restricted stock units that vested and were issued as shares during the nine months ended September 30, 2019 and 2018 was $30 and $29, respectively. No service-based restricted stock units vested during the three months ended September 30, 2019 or 2018. As of September 30, 2019, the unrecognized compensation expense related to the unvested portion of the Company’s restricted stock units was approximately $30 , to be recognized through 2022 over a weighted average period of 1.2 years. Stock Options The Company grants stock options to purchase common stock primarily to certain new employees. The exercise price of the stock options is no less than the fair value of the Company’s stock on the grant date. Outstanding stock options have either a seven-year or ten-year life and generally vest over a period of four years, 25% after one year, and ratably on a monthly basis thereafter. Stock options may be exercised at any time prior to their expiration date or within 180 days of termination of employment, or such shorter time as may be provided in the related stock option agreement. A summary of the Company’s stock option activity for the nine months ended September 30, 2019 is as follows: Options Outstanding Weighted Average Exercise Price Outstanding at December 31, 2018 423,534 $ 7.15 Options exercised (500 ) 7.22 Options cancelled/expired (114,929 ) 7.16 Outstanding at September 30, 2019 308,105 $ 7.14 Exercisable at September 30, 2019 304,703 $ 7.16 The range of exercise prices for options outstanding and exercisable at September 30, 2019, was $5.00 to $8.32. The following table summarizes information about stock options outstanding under all stock option plans: Options Outstanding Options Exercisable Range of Exercise Prices Number Outstanding Weighted Average Contractual Life (Years) Weighted- Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 5.00 - $ 7.15 17,459 2.70 $ 6.02 14,057 $ 6.08 $ 7.16 185,041 0.53 7.16 185,041 7.16 $ 7.22 93,105 0.51 7.22 93,105 7.22 $ 7.23 - $ 8.32 12,500 1.52 7.86 12,500 7.86 $ 5.00 - $ 8.32 308,105 0.68 $ 7.14 304,703 $ 7.16 The weighted average contractual life and intrinsic value of options outstanding and options exercisable at September 30, 2019, was the following: Weighted Average Contractual Life (years) Intrinsic Value Options Outstanding 0.68 $ 388 Options Exercisable 0.64 $ 379 The intrinsic value is based on the share price of $8.40 at September 30, 2019. There were no stock options granted during the nine months ended September 30, 2019. For outstanding stock options, the Company calculated the fair value of each option grant on the date of grant using the Black-Scholes option-pricing model. Because the Company’s employee stock options have characteristics significantly different from those of traded options, and because changes in the subjective input assumptions can materially affect the fair value estimate, the existing models may not necessarily provide a reliable single measure of the fair value of the employee stock options. In addition, option valuation models require the input of highly subjective assumptions including the expected stock price volatility and expected option life. The dividend yield rate is calculated by dividing the Company’s annual dividend by the closing price on the grant date. The risk-free interest rate is based on the U.S. Treasury yields with a remaining term that approximates the expected life of the options granted. The expected volatility is based on a five-year historical period of the Company’s stock price. The expected life for options granted is based on historical data of employee exercise performance. The Company records expense based on the graded vesting method. As of September 30, 2019, the unrecognized compensation expense related to the unvested portion of the Company’s stock options was approximately $2, to be recognized through 2021 over a weighted average period of 1.1 years. Performance-Based Equity Awards In February 2019, the Company’s Board of Directors approved the 2019 Long-Term Incentive Plan (“2019 LTIP”). Under the 2019 LTIP, shares of the Company’s stock can be earned by certain executives and key managers based on achievement of a three-year revenue growth target with a penalty if a certain adjusted EBITDA level is not maintained. At target, the aggregate number of shares that can be earned is 171,437. If the Company achieves less than the target growth over the performance period, the participant will receive fewer shares than the target award, determined on a straight-line basis. If the Company, achieves greater than the target growth, the participant will receive more shares than the target award on an accelerated basis. The maximum number of aggregate shares that may be issued under the 2019 LTIP is 300,015 as of September 30, 2019. During the three and nine months ended September 30, 2019, the shares that can be earned at target and the maximum shares that can be earned declined by 2,680 and 4,690, respectively due to employee terminations. The performance period for the 2019 LTIP is from January 1, 2019 through December 31, 2021 and the participants are required to be in service at the determination date of the award following the end of the performance period in order to receive the award. Shares earned under the 2019 LTIP will be fully vested shares. Stock compensation expense is amortized over the performance period for these awards based on estimated achievement of the goal. At target, the total fair market value of the award was $0.9 million based on the share price of $5.27 on the grant date. Short-Term Incentive Plan In February 2019, the Board of Directors approved the 2019 short-term incentive plan (“2019 STIP”) based on two components of the Company’s performance: (1) revenues weighted 20% and (2) Adjusted EBITDA weighted 80%. “Adjusted EBITDA” is defined as GAAP operating profit excluding stock compensation expenses, amortization of intangible assets, depreciation, restructuring charges, impairment charges, gain/loss on sale of product lines, and expenses included in GAAP operating profit to the extent recovery of such expenses is recorded in other income. The goals are consistent for all employees who participate in the 2019 STIP. Incentive awards earned by certain executives and key managers under the Company’s 2019 STIP will be settled 50% in cash and 50% in shares of the Company’s stock. The incentive awards for all other participants under the 2019 STIP will be 100% in cash. The Company records stock compensation expense based on the estimated payouts under the STIP. No incentive awards were settled for the 2018 short-term incentive plan because the Company did not meet the performance objectives. Employee Stock Purchase Plan (“ESPP”) The ESPP enables eligible employees to purchase common stock at the lower of 85% of the fair market value of the common stock on the first or last day of each offering period. Each offering period is approximately six months. The Company received proceeds of $0.3 million from the issuance of 95,376 shares under the ESPP in February 2019 and received proceeds of $0.4 million from the issuance of 68,212 shares under the ESPP in February 2018. The Company received proceeds of $0.4 million from the issuance of 85,483 shares under the ESPP in August 2019 and received proceeds of $0.3 million from the issuance of 88,583 shares under the ESPP in August 2018. Based on the 15% discount and the fair value of the option feature of the ESPP, it is considered compensatory. Compensation expense is calculated using the fair value of the employees’ purchase rights under the Black-Scholes model. The Company calculated the fair value of each employee stock purchase grant on the date of grant using the Black-Scholes option-pricing model using the following assumptions: Employee Stock Purchase Plan 2019 2018 Dividend yield 4.1 % 3.2 % Risk-free interest rate 2.5 % 2.1 % Expected volatility 34 % 33 % Expected life (in years) 0.5 0.5 The dividend yield rate was calculated by dividing the Company’s annual dividend by the closing price on the grant date. The risk-free interest rate was based on the U.S. Treasury yields with a remaining term that approximates the expected life of the options granted. The volatility was based on a five-year historical period of the Company’s stock price. The expected life was based on the offering period. Board of Director Equity Awards The Company grants equity awards under the PCTEL, Inc. Stock Plan (the “Stock Plan”) to members of its Board of Directors as an annual retainer and for committee service. These awards are shares of the Company’s stock that vest upon issuance. New directors receive a one-time grant that vests over three years. In June 2019, the Company issued 79,918 shares of the Company’s stock with a fair value of $0.4 million for the director’s annual retainer and for committee service. In June 2018, the Company issued 60,988 shares of the Company’s stock with a fair value of $0.4 million for the directors’ annual retainer and for committee service. Employee Withholding Taxes on Stock Awards For ease in administering the issuance of stock awards, the Company holds back shares of vested restricted stock awards and short-term incentive plan stock awards for the value of the statutory withholding taxes. For each individual receiving a share award, the Company redeems the shares it computes as the value for the withholding tax and remits this amount to the appropriate tax authority. For withholding taxes related to stock awards, the Company paid $0.8 million and $0.3 million during the nine months ended September 30, 2019 and 2018, respectively. |
Benefit Plans
Benefit Plans | 9 Months Ended |
Sep. 30, 2019 | |
Compensation And Retirement Disclosure [Abstract] | |
Benefit Plans | 8. Benefit Plans Employee Benefit Plans The Company’s 401(k) plan covers all U.S. employees beginning the first day of the month following the first month of their employment. Under this plan, employees may elect to contribute up to 15% of their current compensation to the 401(k) plan up to the statutorily prescribed annual limit. The Company matches employee contributions up to 4% and may also make discretionary contributions to the 401(k) plan. The Company also contributes to various retirement plans for foreign employees. The Company’s contributions to retirement plans were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 PCTEL, Inc. 401(k) profit sharing plan - US employees $ 165 $ 158 $ 484 $ 523 Defined contribution plans - foreign employees 111 137 356 400 Total $ 276 $ 295 $ 840 $ 923 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 9. Commitments and Contingencies China Restructuring On August 7, 2019 the Board of Directors approved a transition plan for the Company’s China manufacturing operations. In order to optimize the cost structure of the antenna product line and increase the Company’s competitiveness, it will transition high-volume manufacturing from its Tianjin, China facility to contract manufacturers in China and elsewhere. The Company expects the transition to be substantially completed by the end of our 2020 fiscal year (the “Transition Period”) and it expects to recognize cumulative pre-tax charges of approximately $1.0 million consisting of severance and other transition costs. The Company expects to eliminate approximately 140 positions, or approximately 35% of the Company’s full-time global workforce over the course of the Transition Period. Approximately $0.9 million of severance costs will be paid in cash. Other non-cash costs associated with the transition to contract manufacturers include fixed asset dispositions estimated to be $0.1 million. During the three months ended September 30, 2019, the Company incurred restructuring expenses of $0.3 million for employee severance and payroll related costs for 49 manufacturing employees. The severance payments and related payroll costs for these employees were paid in October 2019. Recognition of the remaining restructuring expense will occur as the employees are notified of their termination. Colorado Restructuring During the first quarter 2016, the Company exited from its Colorado office in order to consolidate facility space and recorded restructuring expense for the remaining obligations under the lease, net of proceeds for a sublease. The Company signed a sublease for the office space in the second quarter 2017. The obligation for the Colorado lease was retained by the Company. The Company recorded $0.3 million of restructuring expense for the three and nine months ended September 30, 2019 and $0 for the three and nine months ended September 30, 2018. The following table summarizes the restructuring activity during the nine months ended September 30, 2019 and the status of the reserves at September 30, 2019: China Colorado Restructuring Restructuring Total Balance at December 31, 2018 $ 0 $ 77 $ 77 Restructuring expense 295 0 $ 295 Foreign currency adjustment (1 ) 0 $ (1 ) Payments made 0 (105 ) $ (105 ) Payments received 0 79 $ 79 Balance at September 30, 2019 $ 294 $ 51 $ 345 The restructuring liability is recorded on the balance sheet at September 30, 2019 and December 31, 2018 as follows: September 30, 2019 December 31, 2018 Accrued liabilities $ 344 $ 33 Long-term liabilities 1 44 Total $ 345 $ 77 Warranty Reserve and Sales Returns The Company allows its major distributors and certain other customers to return unused product under specified terms and conditions. The Company accrues for product returns based on historical sales and return trends. The refund liability related to estimated sales returns was $0.1 million at September 30, 2019 and $0.2 million at December 31, 2018, respectively, and is included within accrued liabilities on the accompanying condensed consolidated balance sheets. The Company offers repair and replacement warranties of up to five years for certain antenna products and scanning receiver products. The Company’s warranty reserve is based on historical sales and costs of repair and replacement trends. The warranty reserve was $0.4 million at September 30, 2019 and 2018, respectively, and is included in accrued liabilities in the accompanying condensed consolidated balance sheets. The following table summarizes the warranty activity during the nine months ended September 30, 2019 and 2018: Nine Months Ended September 30, 2019 2018 Beginning balance $ 339 $ 382 Provisions for warranties 207 65 Consumption of reserves (146 ) (46 ) Ending balance $ 400 $ 401 |
Leases
Leases | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Leases | 10. Leases The Company adopted Topic 842 as of January 1, 2019, using the transition method per ASU No. 2018-11, wherein entities are allowed to apply the new leases standard at the adoption date. Accordingly, all periods prior to January 1, 2019 were presented in accordance with the previous ASC Topic 840 (“Topic 840”), Leases, and no retrospective adjustments were made to the comparative periods presented. Adoption of Topic 842 resulted in an increase to total assets of $1.5 million and to liabilities of $1.6 million due to the recording of operating lease right-of-use assets ("ROU") and operating lease liabilities. Finance leases were not impacted by the adoption of Topic 842, as finance lease liabilities and the corresponding ROU assets were already recorded in the balance sheet under the previous guidance, Topic 840. The adoption did not materially impact the Company’s consolidated statements of operations or cash flows. The Company has operating leases for facilities and finance leases for office equipment. Leases with an initial term of 12 months or less are not recorded in the balance sheet. The Company has elected the practical expedient to account for each separate lease component of a contract and its associated non-lease components as a single lease component, thus causing all fixed payments to be capitalized. The Company also elected the package of practical expedients permitted within the new standard, which among other things, allows the Company to carry forward historical lease classifications. The Company determines if an arrangement is a lease at inception of a contract. ROU assets represent the Company's right to use an underlying asset during the lease term and lease liabilities represent the Company's obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at the lease commencement date based on the net present value of fixed lease payments over the lease term. The Company's lease term is deemed to include options to extend or terminate the lease when it is reasonably certain that it will exercise that option. ROU assets also include any advance lease payments made and exclude lease incentives. As most of the Company's operating leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments on a collateralized basis. Finance lease agreements generally include an interest rate that is used to determine the present value of future lease payments. Operating fixed lease expense and finance lease depreciation expense are recognized on a straight-line basis over the lease term. The Company's lease cost for the nine months ended September 30, 2019 included the following components: Three Months ended September 30, 2019 Nine Months ended September 30, 2019 Operating lease costs $ 238 $ 673 Short-term lease costs 20 71 Amortization of finance lease assets 27 78 Interest on finance lease liabilities 2 6 Total lease cost $ 287 $ 828 The table below summarizes the Company's scheduled future minimum lease payments under operating and finance leases recorded on the balance sheet as of September 30, 2019: Year Operating Leases Finance Leases 2019 $ 228 $ 23 2020 305 86 2021 472 73 2022 558 48 2023 569 32 Thereafter 3,756 20 Total minimum payments required 5,888 282 Less: present value of tenant allowance 1,448 0 Less: amount representing interest 1,409 20 Present value of net minimum lease payments 3,031 262 Less: current maturities of lease obligations (479 ) (80 ) Long-term lease obligations $ 2,552 $ 182 The weighted average remaining lease terms and discount rates for all the Company’s operating and finance leases were as follows as of September 30, 2019: September 30, 2019 Weighted-average remaining lease term - finance leases 3.77 years Weighted-average remaining lease term - operating leases 9.01 years Weighted-average discount rate - finance leases 4% Weighted-average discount rate - operating leases 5% The table below presents supplemental cash flow information related to leases during the nine months ended September 30, 2019: September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 684 Operating cash flows for finance leases $ 6 Financing cash flows for finance leases $ 79 The following table summarizes the classification of ROU assets and lease liabilities as of September 30, 2019: Leases Consolidated Balance Sheet Classification September 30, 2019 Assets: Operating right-of-use assets Other noncurrent assets $ 2,931 Finance right-of-use assets Other noncurrent assets 254 Total leased assets $ 3,185 Liabilities: Current Operating lease liabilities Accrued liabilities $ 479 Finance lease liabilities Accrued liabilities 80 Noncurrent Operating lease liabilities Long-term liabilities 2,552 Finance lease liabilities Long-term liabilities 182 Total lease liabilities $ 3,293 In January 2019, the Company entered into an eleven-year lease ending February 28, 2031 for 21,030 square feet of office space in Clarksburg, Maryland for the Company’s test and measurement product line. The Company will move the operations for its test and measurement product line from its Germantown, Maryland office to the new office in the first quarter 2020. The Company recognized a present value right of use asset of $2.1 million in August 2019, which was the lease commencement date for accounting purposes. The present value of the right of use asset reflects 14 months of rent abatement and up to $1.5 million in tenant improvement incentives in the form of cash reimbursements which the Company is expected to fully utilize. In accordance with the disclosure requirements for our adoption of Topic 842, the Company is presenting the operating lease commitments table under Topic 840 as of December 31, 2018. The following table is unchanged from the disclosure in Note 7 in the 2018 Form 10-K: Year Amount 2019 $ 1,176 2020 518 2021 145 2022 146 2023 131 Thereafter 137 Future minimum lease payments $ 2,253 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 11. Income Taxes The Company recorded income tax expense of $6 and $23 for the three and nine months ended September 30, 2019, respectively. The Company recorded an income tax benefit of $0.5 million and $1.0 million for the three and nine months ended September 30, 2018, respectively. The expense recorded for the three and nine months ended September 30, 2019 was lower than the statutory rate of 21% because the Company has a full valuation allowance on its deferred tax assets related to federal, foreign, and state jurisdictions. The income tax benefit recorded for the three and nine months ended September 30, 2018 was higher than the statutory rate of 21% due to permanent differences and estimated research credits. The Company’s gross deferred tax assets consist of federal and state net operating losses (“NOLs”), credits, and timing differences and are virtually all related to United States jurisdictions. The Company’s federal NOLs generated in 2019 and 2018 have an infinite life, and the Company’s NOLs and credits generated as of December 31, 2017 have a finite life primarily based on the 20-year carry forward of federal net operating losses. The timing differences have a ratable reversal pattern over 12 years. The analysis that the Company prepared to determine the valuation allowance required significant judgment and assumptions regarding future market conditions as well as forecasts for profits, taxable income, and taxable income by jurisdiction. Due to the sensitivity of the analysis, changes to the assumptions in subsequent periods could have a material effect on the valuation allowance. The Company’s gross unrecognized tax benefit was $0.7 million at September 30, 2019 and at December 31, 2018. The Company files a consolidated federal income tax return, income tax returns with various states, and foreign income tax returns in various foreign jurisdictions. The Company’s U.S. federal tax returns remain subject to examination for 2015 and subsequent periods. The Company’s U.S. state tax returns remain subject to examination for 2012 and subsequent periods. The Company’s foreign tax returns remain subject to examination for 2010 and subsequent periods. |
Product Line, Customer and Geog
Product Line, Customer and Geographic Information | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Product Line, Customer and Geographic Information | 12. Product Line, Customer and Geographic Information The following tables are the product line revenues and gross profits for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, 2019 Antenna Products Test & Measurement Corporate Total Revenues $ 16,463 $ 7,240 $ (73 ) $ 23,630 Gross Profit $ 5,712 $ 4,937 $ (2 ) $ 10,647 Gross Profit % 34.7 % 68.2 % NA 45.1 % Nine Months Ended September 30, 2019 Antenna Products Test & Measurement Corporate Total Revenues $ 47,565 $ 20,301 $ (146 ) $ 67,720 Gross Profit $ 16,142 $ 13,834 $ 24 $ 30,000 Gross Profit % 33.9 % 68.1 % NA 44.3 % Three Months Ended September 30, 2018 Antenna Products Test & Measurement Corporate Total Revenues $ 14,877 $ 3,556 $ (7 ) $ 18,426 Gross Profit $ 4,504 $ 2,201 $ 16 $ 6,721 Gross Profit % 30.3 % 61.9 % NA 36.5 % Nine Months Ended September 30, 2018 Antenna Products Test & Measurement Corporate Total Revenues $ 50,120 $ 11,691 $ (72 ) $ 61,739 Gross Profit $ 14,734 $ 7,627 $ 23 $ 22,384 Gross Profit % 29.4 % 65.2 % NA 36.3 % The Company’s revenue from customers by geographic location, as a percent of total revenues, is as follows: Three Months Ended September 30, Nine Months Ended September 30, Region 2019 2018 2019 2018 Europe, Middle East, & Africa 12% 13% 13% 11% Asia Pacific 6% 17% 9% 17% Other Americas 4% 5% 3% 4% Total Foreign sales 22% 35% 25% 32% There were no customers that accounted for 10% or more of revenues during the three and nine months ended September 30, 2019 and 2018. The following table represents the customers that accounted for 10% or more of total trade accounts receivable at September 30, 2019 and December 31, 2018. Trade Accounts Receivable September 30, 2019 December 31, 2018 Customer A 16% 9% Customer B 15% 13% Customer C 12% 1% |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 9 Months Ended |
Sep. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Contracts with Customers | 13. Revenue from Contracts with Customers Under Topic 606, a contract with a customer is an agreement which both parties have approved, that creates enforceable rights and obligations, has commercial substance, and specified payment terms, and for which collectability is probable. Once the Company has entered into a contract, it is evaluated to identify performance obligations. For each performance obligation, revenue is recognized as control of promised goods or services transfers to the customer in an amount that reflects the consideration the Company expects to receive in exchange for those goods or services. The amount of revenue recognized takes into account variable consideration, such as returns and volume rebates. A majority of the Company’s revenue is short cycle in nature with shipments within one year from order. The Company's payment terms generally range between 30 to 90 days. All of the Company’s revenue relates to contracts with customers. The Company’s accounting contracts are from purchase orders or purchase orders combined with purchase agreements. The majority of the Company’s revenue is recognized on a “point-in-time” basis and a nominal amount of revenue is recognized “over time”. For the sale of antenna products and test and measurement products, the Company satisfies its performance obligations generally at the time of shipment or upon delivery based on the contractual terms with its customers. For products shipped on consignment, the Company recognizes revenue upon delivery from the consignment location. For its test and measurement software tools, the Company has a performance obligation to provide software maintenance and support for one year. The Company recognizes revenues for the maintenance and support over this period. The Company considers shipping and handling performed by the Company as fulfillment activities. Amounts billed for shipping and handling are included in revenues, while costs incurred for shipping and handling are included in cost of revenues. The Company excludes taxes from the transaction price. Cost of contracts include sales commissions. The Company expenses the cost of contracts when incurred because the amortization period is one year or less. The Company allows its major distributors and certain other customers to return unused product under specified terms and conditions. The Company estimates product returns based on historical sales and return trends and records a corresponding refund liability. The refund liability was $0.1 million and $0.2 million at September 30, 2019 and December 31, 2018, respectively, and is included within accrued liabilities in the accompanying condensed consolidated balance sheets. The Company records an asset based on historical experience for the amount of product it expects to return to inventory as a result of customer returns, which is recorded in inventories in the accompanying condensed consolidated balance sheets. The product return asset was $0.1 million at September 30, 2019 and December 31, 2018. There were no contract assets at September 30, 2019 or December 31, 2018. The Company records contract liabilities for deferred revenue and customer prepayments. Contract liabilities are recorded in accrued liabilities in the accompanying condensed consolidated balance sheets. The contract liability was $0.3 million and $0.2 million at September 30, 2019 and December 31, 2018, respectively. The Company recognized revenue of $0.1 million during the nine months ended September 30, 2019 and September 30, 2018, respectively, related to contract liabilities at the beginning of the period. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | 14. Subsequent Events The Company evaluates subsequent events occurring between the most recent balance sheet date and the date that the financial statements are available to be issued in order to determine whether the subsequent events are to be recorded and/or disclosed in the Company’s financial statements and footnotes. The financial statements are considered to be available to be issued at the time that they are filed with the SEC. Other than the event described below, there were no subsequent events or transactions that required recognition or disclosure in the unaudited interim condensed consolidated financial statements. On November 6, 2019 the Board of Directors approved a share repurchase program pursuant to which the Company may repurchase up to $7.0 million of its common stock, effective immediately through the end of 2020. Such purchases may be made from time to time at prevailing prices in the open market, by block purchases, in private transactions or otherwise. The repurchases will be funded with cash on hand. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Nature of Operations | Nature of Operations PCTEL, Inc. (“PCTEL”, the “Company”, “we”, “ours”, and “us”) delivers Performance Critical TELecom technology solutions to the wireless industry. PCTEL is a leading global supplier of wireless network antenna and test solutions. PCTEL designs and manufactures precision antennas and provides test and measurement products that improve the performance of wireless networks globally. PCTEL products address three market segments: Enterprise Wireless, Intelligent Transportation, and Industrial Internet of Things (“IoT”). PCTEL antennas are deployed in small cells, enterprise Wi-Fi access points, fleet management and transit systems, and in network equipment and devices for the Industrial IoT. PCTEL test tools improve the performance of wireless networks globally. Mobile operators, neutral hosts, and network equipment manufacturers rely on PCTEL to analyze, design, and optimize next generation wireless networks. |
Segment Reporting | Product Lines Antenna Products PCTEL designs and manufactures precision antennas and offers in-house wireless product development for our customers, including design, testing, radio integration, and manufacturing capabilities. PCTEL antennas are deployed in small cells, enterprise Wi-Fi access points, fleet management and transit systems, and in network equipment and devices for the Industrial IoT. Revenue growth in these markets is driven by the increased use and complexity of wireless communications. Consistent with the Company’s mission to solve complex network engineering problems and in order to compete effectively in the antenna market, PCTEL maintains expertise in the following areas: radio frequency engineering, wireless network engineering, mechanical engineering, mobile antenna design, manufacturing, and product quality and testing. The Company seeks out product applications that command a premium for product design and performance and customer service, and we avoid commodity markets. The Company’s antennas are primarily sold to original equipment manufacturer (“OEM”) providers where they are designed into the customer’s solution. Competition in the antenna markets is fragmented. Competitors include Airgain, Amphenol, Laird, Panorama and Taoglas. Test and Measurement Products PCTEL provides RF test and measurement tools that improve the performance of wireless networks globally, with a focus on LTE, public safety, and emerging 5G technologies. Network operators, neutral hosts, and equipment manufacturers rely on our scanning receivers and testing solutions to analyze, design, and optimize next generation wireless networks. Revenue growth in this market is driven by the implementation and roll out of new wireless technology standards (i.e. 3G to 4G, 4G to 5G). Consistent with our mission to solve complex network engineering problems and in order to compete effectively in the RF test and measurement market, PCTEL maintains expertise in the following areas: radio frequency engineering, digital signal process (“DSP”) engineering, wireless network engineering, mechanical engineering, manufacturing, and product quality and testing. The Company’s test equipment is sold directly to wireless carriers or to OEMs who integrate its products into their solutions which are then sold to wireless carriers. Competitors for the Company’s test tool products include OEMs such as Anritsu, Berkley Varitronics, Digital Receiver Technology, and Rohde and Schwarz. Reorganization and Segment Reporting Effective August 2018, the Company consolidated its organizational structure to drive growth and address the convergence in the Industrial IoT, public safety, and 4G infrastructure markets and the emergence of new technologies such as 5G (the “Reorganization”). The Company’s operations, engineering, business development, sales and marketing, and operational general and administrative functions were consolidated into a single enterprise-wide organization. As a result of the Reorganization that occurred in the third quarter 2018, the Company’s Chief Executive Officer, as the chief operating decision maker (“CODM”) began assessing operating profits and identified assets at the enterprise level for resource allocations. In connection with the Reorganization, the Board of Directors appointed a Chief Operating Officer who maintains regular contact with the CODM to discuss operating activities, financial results, forecasts, and plans for the Company’s businesses. All operating profit and cash flows are measured and managed at the enterprise level. Until the Reorganization, PCTEL operated in two segments for reporting purposes, Connected Solutions and RF Solutions. The CODM assessed operating profits and identified assets for the Connected Solutions and RF Solutions segments for resource allocations. Each segment had its own general manager as well as its own engineering, business development, sales and marketing, and operational general and administrative functions. The Company includes revenues and gross profit for the two major product lines (antenna products and test and measurement products) because each product line has a significantly different gross profit profile. In order to understand the Company’s financial results, it is necessary to understand the impact on gross profit of the revenue mix between them. |
Basis of Consolidation | Basis of Consolidation The unaudited interim condensed consolidated financial statements of the Company include the condensed consolidated balance sheets for the period ended September 30, 2019 and December 31, 2018, and the condensed consolidated statements of operations, statements of comprehensive loss, the condensed consolidated statements of stockholders’ equity and statements of cash flows for the three and nine months ended September 30, 2019 and 2018, respectively. The interim condensed consolidated financial statements are unaudited and reflect all adjustments of a normal recurring nature that are, in the opinion of management, necessary for a fair presentation of the interim period financial statements. The condensed consolidated balance sheet as of December 31, 2018 is derived from the audited financial statements as of December 31, 2018. The unaudited interim condensed consolidated financial statements of the Company have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. The significant accounting policies followed by the Company are set forth in the 2018 Form 10-K. There were no significant changes in the Company’s significant accounting policies during the nine months ended September 30, 2019. See Note 10 related to Leases for additional disclosures related to the implementation of ASU 2016-02 (“Topic 842”). In addition, the Company reaffirms the use of estimates in the preparation of the financial statements as set forth in the 2018 Form 10-K. These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto included in the 2018 Form 10-K. The results of operations for the period ended September 30, 2019 may not be indicative of the results for the period ending December 31, 2019. |
Foreign Operations | Foreign Operations The Company is exposed to foreign currency fluctuations due to its foreign operations and because products are sold internationally. The functional currency for the Company’s foreign operations is predominantly the applicable local currency. Accounts of foreign operations are translated into U.S. dollars using the exchange rate in effect at the applicable balance sheet date for assets and liabilities and average monthly rates prevailing during the period for revenue and expense accounts. Adjustments resulting from translation are included in accumulated other comprehensive loss, a separate component of stockholders’ equity. Gains and losses resulting from other transactions originally in foreign currencies and then translated into U.S. dollars are included in the condensed consolidated statements of operations. Net foreign exchange gains resulting from foreign currency transactions included in other income, net was $198 and $37 for the three months ended September 30, 2019 and 2018, respectively. Net foreign exchange gains resulting from foreign currency transactions included in other income, net was $226 and $28 for the nine months ended September 30, 2019 and 2018, respectively. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-02, Leases (“Topic 842”), which amends existing guidance to require lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by long-term leases and to disclose additional quantitative and qualitative information about leasing arrangements. This ASU also provides clarifications surrounding the presentation of the effects of leases in the statement of operations and statement of cash flows. The Company adopted this guidance on January 1, 2019. The Company commenced its assessment of Topic 842 in the second half of 2018 and developed a project plan to guide the implementation. The Company completed this project planin which it analyzed the ASU's impact on its leases, surveyed the Company's key employees, assessed the portfolio of leases, and established a future lease process to keep the lease accounting portfolio up to date. The Company also evaluated the key policy elections and considerations under the standard and completed the internal policy documentation to address the new standard requirements. The Company adopted this new guidance using the updated modified transition method allowed per ASU 2018-11 of Topic 842. Upon adoption on January 1, 2019, total assets and liabilities increased due to the recording of right-of-use assets of $1.5 million and lease liabilities of $1.6 million. See Note 10 for additional information and disclosures required by this new standard. In October 2016, the FASB issued ASU 2016-16, Income Taxes (“Topic 740”): Intra-Entity Transfer of Assets Other than Inventory. Topic 740 requires an entity to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The Company adopted Topic 740 on January 1, 2018 using the modified retrospective approach, and as a result recorded a deferred tax asset with a corresponding adjustment to retained earnings of $0.1 million associated with an intra-entity transfer of goodwill in 2009. The goodwill was transferred to the U.S. entity from a Canadian entity that was dissolved in 2009. In June 2016, the FASB issued Accounting Standards Update No. 2016-13 (ASU 2016-13) regarding ASC Topic 326, Financial Instruments - Credit Losses, which modifies the measurement of expected credit losses of certain financial instruments. The amendments will be effective for the Company on January 1, 2020. The Company is currently evaluating this guidance and the impact it will have on its consolidated financial statements. In August 2018, the FASB issued ASU 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract The amendments in this update align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected by the amendments in this update. This guidance will be effective for the Company on January 1, 2020. The Company is currently evaluating this guidance and the impact it will have on its consolidated financial statements and related disclosures. The Company does not expect the adoption of ASU 2018-15 to have a material impact on its consolidated financial statements. |
Earnings per Share (Tables)
Earnings per Share (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Share | The following table is the computation of basic and diluted earnings per share: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Basic Income (Loss) Per Share computation: Numerator: Net income (loss) $ 1,328 $ (1,670 ) $ 1,952 $ (3,754 ) Denominator: Common shares outstanding 17,922 17,234 17,792 17,145 Net income (loss) per common share - basic Net income (loss) $ 0.07 $ (0.10 ) $ 0.11 $ (0.22 ) Diluted Income (Loss) Per Share computation: Denominator: Common shares outstanding 17,922 17,234 17,792 17,145 Performance related awards 52 * 162 * Restricted shares subject to vesting 206 * 150 * Common stock option grants 1 * 1 * Total shares 18,181 17,234 18,105 17,145 Net income (loss) per common share - diluted Net income (loss) $ 0.07 $ (0.10 ) $ 0.11 $ (0.22 ) * As denoted by “*” in the table above, the weighted average common stock option grants and restricted shares of 274,000 and 566,000 for the three and nine months ended September 30, 2018, respectively, were excluded from the calculations of diluted net loss per share since their effects are anti-dilutive. |
Cash, Cash Equivalents and In_2
Cash, Cash Equivalents and Investments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Cash And Cash Equivalents [Abstract] | |
Cash and Cash Equivalents and Investments | The Company’s cash and investments consisted of the following: September 30, December 31, 2019 2018 Cash $ 4,697 $ 1,485 Cash equivalents $ 950 2,844 Short-term investments $ 32,419 30,870 Total $ 38,066 $ 35,199 |
Cash Equivalents and Investments | Cash equivalents and investments were as follows at September 30, 2019 and December 31, 2018: September 30, 2019 December 31, 2018 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash equivalents: Corporate bonds $ 0 $ 504 $ 0 $ 504 $ 0 $ 1,156 $ 0 $ 1,156 Certificates of deposit 0 0 0 $ 0 0 0 0 0 Money market funds 446 0 0 $ 446 1,688 0 0 1,688 Total Cash Equivalents $ 446 $ 504 $ 0 $ 950 $ 1,688 $ 1,156 $ 0 $ 2,844 Investments: Corporate bonds $ 0 $ 27,640 $ 0 $ 27,640 $ 0 $ 21,583 $ 0 $ 21,583 US government agency bonds 0 729 0 $ 729 0 5,671 0 5,671 Certificates of deposit 4,050 0 0 $ 4,050 3,616 0 0 3,616 Total Investments $ 4,050 $ 28,369 $ 0 $ 32,419 $ 3,616 $ 27,254 $ 0 $ 30,870 Cash equivalents and Investments - book value $ 4,496 $ 28,873 $ 0 $ 33,369 $ 5,304 $ 28,410 $ 0 $ 33,714 Cash equivalents and Investments - fair value $ 4,497 $ 28,842 $ 0 $ 33,339 $ 5,304 $ 28,389 $ 0 $ 33,693 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Amortization Expense | The summary of amortization expense in the consolidated statement of operations is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Cost of revenues $ 167 $ 167 $ 500 $ 500 Operating expenses 48 85 170 333 Total $ 215 $ 252 $ 670 $ 833 |
Summary of Other Intangible Assets | The summary of other intangible assets, net is as follows: September 30, 2019 December 31, 2018 Accumulated Net Book Accumulated Net Book Cost Amortization Value Cost Amortization Value Customer contracts and relationships $ 16,880 $ 16,880 $ 0 $ 16,880 $ 16,880 $ 0 Patents and technology 10,114 9,836 278 10,114 9,336 778 Trademarks and trade names 4,834 4,753 81 4,834 4,607 227 Other 2,506 2,506 0 2,506 2,482 24 Total $ 34,334 $ 33,975 $ 359 $ 34,334 $ 33,305 $ 1,029 |
Summary of Assigned Lives and Weighted Average Amortization Periods by Intangible Asset Category | The assigned lives and weighted average amortization periods by intangible asset category are summarized below: Intangible Assets Assigned Life Weighted Average Amortization Period Customer contracts and relationships 5 years 5.0 Patents and technology 5 to 6 years 5.1 Trademarks and trade names 5 to 6 years 5.6 Other 1 to 6 years 3.0 |
Schedule of Expected Amortization Expense | The Company’s intangible amortization is scheduled through February 2020. The amortization expense for 2019 and 2020 is as follows: Fiscal Year Amount 2019 $ 885 2020 $ 144 |
Balance Sheet Information (Tabl
Balance Sheet Information (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Summary of Inventories | Inventories consisted of the following: September 30, 2019 December 31, 2018 Raw materials $ 6,748 $ 7,023 Work-in-process 1,256 1,388 Finished goods 5,573 4,437 Inventories, net $ 13,577 $ 12,848 |
Summary of Property and Equipment | Property and equipment consisted of the following: September 30, 2019 December 31, 2018 Building $ 6,389 $ 6,351 Computers and office equipment 10,677 10,963 Manufacturing and test equipment 14,276 13,573 Furniture and fixtures 1,326 1,318 Leasehold improvements 1,565 1,529 Motor vehicles 20 20 Total property and equipment 34,253 33,754 Less: Accumulated depreciation and amortization (24,914 ) (23,386 ) Land 1,770 1,770 Property and equipment, net $ 11,109 $ 12,138 |
Summary of Accrued Liabilities | Accrued liabilities consisted of the following: September 30, 2019 December 31, 2018 Payroll, bonuses, and other employee benefits $ 3,091 $ 1,409 Inventory receipts 1,885 1,396 Paid time off 932 936 Short-term obligations under operating leases 479 0 Professional fees and contractors 435 346 Warranties 400 339 Restructuring 344 33 Deferred revenues 152 149 Income and sales taxes 147 186 Customer refunds for estimated returns 126 154 Real estate taxes 107 148 Short-term obligations under finance leases 80 91 Employee stock purchase plan 0 343 Other 249 271 Total $ 8,427 $ 5,801 |
Summary of Long-term Liabilities | Long-term liabilities consisted of the following: September 30, 2019 December 31, 2018 Finance leases $ 182 $ 132 Operating leases 2,552 0 Deferred Rent 0 87 Other 236 162 Total $ 2,970 $ 381 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Summary of Stock-Based Compensation Expense by Type | The stock-based compensation expense by type is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Service-based awards $ 472 $ 730 $ 1,942 $ 2,404 Performance-based awards - short-term incentive plan 361 0 990 0 Performance-based awards - long-term incentive plan 56 0 170 0 Stock option and employee purchase plans 29 56 144 168 Total $ 918 $ 786 $ 3,246 $ 2,572 |
Stock-Based Compensation | Total stock-based compensation is reflected in the condensed consolidated statements of operations as follows: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Cost of revenues $ 87 $ (49 ) $ 292 $ 131 Research and development 158 165 507 462 Sales and marketing 158 174 521 462 General and administrative 515 496 1,926 1,517 Total $ 918 $ 786 $ 3,246 $ 2,572 |
Summary of Stock Option Activity | A summary of the Company’s stock option activity for the nine months ended September 30, 2019 is as follows: Options Outstanding Weighted Average Exercise Price Outstanding at December 31, 2018 423,534 $ 7.15 Options exercised (500 ) 7.22 Options cancelled/expired (114,929 ) 7.16 Outstanding at September 30, 2019 308,105 $ 7.14 Exercisable at September 30, 2019 304,703 $ 7.16 |
Information about Stock Options Outstanding Under all Stock Plans | The following table summarizes information about stock options outstanding under all stock option plans: Options Outstanding Options Exercisable Range of Exercise Prices Number Outstanding Weighted Average Contractual Life (Years) Weighted- Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 5.00 - $ 7.15 17,459 2.70 $ 6.02 14,057 $ 6.08 $ 7.16 185,041 0.53 7.16 185,041 7.16 $ 7.22 93,105 0.51 7.22 93,105 7.22 $ 7.23 - $ 8.32 12,500 1.52 7.86 12,500 7.86 $ 5.00 - $ 8.32 308,105 0.68 $ 7.14 304,703 $ 7.16 |
Weighted Average Contractual Life and Intrinsic Value of the Options Outstanding and Options Exercisable | The weighted average contractual life and intrinsic value of options outstanding and options exercisable at September 30, 2019, was the following: Weighted Average Contractual Life (years) Intrinsic Value Options Outstanding 0.68 $ 388 Options Exercisable 0.64 $ 379 |
Calculation of Fair Value of Each Employee Stock Purchase Grant Using Black-Scholes Option-Pricing Model | The Company calculated the fair value of each employee stock purchase grant on the date of grant using the Black-Scholes option-pricing model using the following assumptions: Employee Stock Purchase Plan 2019 2018 Dividend yield 4.1 % 3.2 % Risk-free interest rate 2.5 % 2.1 % Expected volatility 34 % 33 % Expected life (in years) 0.5 0.5 |
Restricted Stock [Member] | |
Summary of Service-based Restricted Stock Activity | The following table summarizes service-based restricted stock activity for the nine months ended September 30, 2019: Shares Weighted Average Fair Value Unvested Restricted Stock Awards - December 31, 2018 838,967 $ 6.21 Shares awarded 190,159 5.25 Shares vested (410,013 ) 6.25 Shares cancelled (12,226 ) 6.34 Unvested Restricted Stock Awards - September 30, 2019 606,887 $ 5.88 |
Restricted Stock Units [Member] | |
Summary of Service-based Restricted Stock Activity | The following table summarizes the restricted stock unit activity during the nine months ended September 30, 2019: Shares Weighted Average Fair Value Unvested Restricted Stock Units - December 31, 2018 18,638 $ 5.66 Units awarded 2,700 5.27 Units vested/Shares awarded (5,721 ) 5.67 Unvested Restricted Stock Units - September 30, 2019 15,617 $ 5.48 |
Benefit Plans (Tables)
Benefit Plans (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Compensation And Retirement Disclosure [Abstract] | |
Summary of Contributions to Retirement Plans | The Company’s contributions to retirement plans were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 PCTEL, Inc. 401(k) profit sharing plan - US employees $ 165 $ 158 $ 484 $ 523 Defined contribution plans - foreign employees 111 137 356 400 Total $ 276 $ 295 $ 840 $ 923 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Summary of Restructuring Activity | The Company recorded $0.3 million of restructuring expense for the three and nine months ended September 30, 2019 and $0 for the three and nine months ended September 30, 2018. The following table summarizes the restructuring activity during the nine months ended September 30, 2019 and the status of the reserves at September 30, 2019: China Colorado Restructuring Restructuring Total Balance at December 31, 2018 $ 0 $ 77 $ 77 Restructuring expense 295 0 $ 295 Foreign currency adjustment (1 ) 0 $ (1 ) Payments made 0 (105 ) $ (105 ) Payments received 0 79 $ 79 Balance at September 30, 2019 $ 294 $ 51 $ 345 |
Schedule of Restructuring Liability Recorded | The restructuring liability is recorded on the balance sheet at September 30, 2019 and December 31, 2018 as follows: September 30, 2019 December 31, 2018 Accrued liabilities $ 344 $ 33 Long-term liabilities 1 44 Total $ 345 $ 77 |
Summary of Warranty Activity | The following table summarizes the warranty activity during the nine months ended September 30, 2019 and 2018: Nine Months Ended September 30, 2019 2018 Beginning balance $ 339 $ 382 Provisions for warranties 207 65 Consumption of reserves (146 ) (46 ) Ending balance $ 400 $ 401 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Components of Lease Cost | The Company's lease cost for the nine months ended September 30, 2019 included the following components: Three Months ended September 30, 2019 Nine Months ended September 30, 2019 Operating lease costs $ 238 $ 673 Short-term lease costs 20 71 Amortization of finance lease assets 27 78 Interest on finance lease liabilities 2 6 Total lease cost $ 287 $ 828 |
Schedule of Future Minimum Lease Payments under Operating and Finance Leases | The table below summarizes the Company's scheduled future minimum lease payments under operating and finance leases recorded on the balance sheet as of September 30, 2019: Year Operating Leases Finance Leases 2019 $ 228 $ 23 2020 305 86 2021 472 73 2022 558 48 2023 569 32 Thereafter 3,756 20 Total minimum payments required 5,888 282 Less: present value of tenant allowance 1,448 0 Less: amount representing interest 1,409 20 Present value of net minimum lease payments 3,031 262 Less: current maturities of lease obligations (479 ) (80 ) Long-term lease obligations $ 2,552 $ 182 |
Summary of Weighted Average Remaining Lease Terms and Discount Rates | The weighted average remaining lease terms and discount rates for all the Company’s operating and finance leases were as follows as of September 30, 2019: September 30, 2019 Weighted-average remaining lease term - finance leases 3.77 years Weighted-average remaining lease term - operating leases 9.01 years Weighted-average discount rate - finance leases 4% Weighted-average discount rate - operating leases 5% |
Schedule of Supplemental Cash Flow Information Related to Leases | The table below presents supplemental cash flow information related to leases during the nine months ended September 30, 2019: September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 684 Operating cash flows for finance leases $ 6 Financing cash flows for finance leases $ 79 |
Schedule of Classification of ROU Assets and Lease liabilities | The following table summarizes the classification of ROU assets and lease liabilities as of September 30, 2019: Leases Consolidated Balance Sheet Classification September 30, 2019 Assets: Operating right-of-use assets Other noncurrent assets $ 2,931 Finance right-of-use assets Other noncurrent assets 254 Total leased assets $ 3,185 Liabilities: Current Operating lease liabilities Accrued liabilities $ 479 Finance lease liabilities Accrued liabilities 80 Noncurrent Operating lease liabilities Long-term liabilities 2,552 Finance lease liabilities Long-term liabilities 182 Total lease liabilities $ 3,293 |
Schedule of Future Minimum Rental Payments Under Operating Leases | In accordance with the disclosure requirements for our adoption of Topic 842, the Company is presenting the operating lease commitments table under Topic 840 as of December 31, 2018. The following table is unchanged from the disclosure in Note 7 in the 2018 Form 10-K: Year Amount 2019 $ 1,176 2020 518 2021 145 2022 146 2023 131 Thereafter 137 Future minimum lease payments $ 2,253 |
Product Line, Customer and Ge_2
Product Line, Customer and Geographic Information (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Result of Product Line Revenues and Gross Profits | The following tables are the product line revenues and gross profits for the three and nine months ended September 30, 2019 and 2018. Three Months Ended September 30, 2019 Antenna Products Test & Measurement Corporate Total Revenues $ 16,463 $ 7,240 $ (73 ) $ 23,630 Gross Profit $ 5,712 $ 4,937 $ (2 ) $ 10,647 Gross Profit % 34.7 % 68.2 % NA 45.1 % Nine Months Ended September 30, 2019 Antenna Products Test & Measurement Corporate Total Revenues $ 47,565 $ 20,301 $ (146 ) $ 67,720 Gross Profit $ 16,142 $ 13,834 $ 24 $ 30,000 Gross Profit % 33.9 % 68.1 % NA 44.3 % Three Months Ended September 30, 2018 Antenna Products Test & Measurement Corporate Total Revenues $ 14,877 $ 3,556 $ (7 ) $ 18,426 Gross Profit $ 4,504 $ 2,201 $ 16 $ 6,721 Gross Profit % 30.3 % 61.9 % NA 36.5 % Nine Months Ended September 30, 2018 Antenna Products Test & Measurement Corporate Total Revenues $ 50,120 $ 11,691 $ (72 ) $ 61,739 Gross Profit $ 14,734 $ 7,627 $ 23 $ 22,384 Gross Profit % 29.4 % 65.2 % NA 36.3 % |
Customers Accounted Revenues by Geographic Location | The Company’s revenue from customers by geographic location, as a percent of total revenues, is as follows: Three Months Ended September 30, Nine Months Ended September 30, Region 2019 2018 2019 2018 Europe, Middle East, & Africa 12% 13% 13% 11% Asia Pacific 6% 17% 9% 17% Other Americas 4% 5% 3% 4% Total Foreign sales 22% 35% 25% 32% |
Sales [Member] | |
Schedule of Revenues and Total Trade Accounts Receivable Represents Customers Accounted for 10% or More Percentage | There were no customers that accounted for 10% or more of revenues during the three and nine months ended September 30, 2019 and 2018. |
Trade Accounts Receivable [Member] | |
Schedule of Revenues and Total Trade Accounts Receivable Represents Customers Accounted for 10% or More Percentage | The following table represents the customers that accounted for 10% or more of total trade accounts receivable at September 30, 2019 and December 31, 2018. Trade Accounts Receivable September 30, 2019 December 31, 2018 Customer A 16% 9% Customer B 15% 13% Customer C 12% 1% |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) $ in Thousands | Jul. 31, 2018Segment | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Jan. 01, 2019USD ($) |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | ||||||
Number of operating segments | Segment | 2 | |||||
Net foreign exchange gains (losses) resulting from foreign currency transactions included in other income | $ 198 | $ 37 | $ 226 | $ 28 | ||
Total right-of-use assets | 3,185 | 3,185 | $ 1,500 | |||
Total lease liabilities | $ 3,293 | $ 3,293 | $ 1,600 |
Earnings per Share - Computatio
Earnings per Share - Computation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Numerator: | ||||
Net income (loss) | $ 1,328 | $ (1,670) | $ 1,952 | $ (3,754) |
Denominator: | ||||
Common shares outstanding | 17,922 | 17,234 | 17,792 | 17,145 |
Net income (loss) per common share - basic | ||||
Net income (loss) | $ 0.07 | $ (0.10) | $ 0.11 | $ (0.22) |
Weighted Average Shares: | ||||
Common shares outstanding | 17,922 | 17,234 | 17,792 | 17,145 |
Common stock option grants | 1 | 1 | ||
Total shares | 18,181 | 17,234 | 18,105 | 17,145 |
Net income (loss) per common share - diluted | ||||
Net income (loss) | $ 0.07 | $ (0.10) | $ 0.11 | $ (0.22) |
Performance Related Awards [Member] | ||||
Weighted Average Shares: | ||||
Performance related awards/Restricted shares subject to vesting | 52 | 162 | ||
Restricted Stock [Member] | ||||
Weighted Average Shares: | ||||
Performance related awards/Restricted shares subject to vesting | 206 | 150 |
Earnings per Share - Computat_2
Earnings per Share - Computation of Basic and Diluted Earnings Per Share (Parenthetical) (Detail) - shares | 3 Months Ended | 9 Months Ended |
Sep. 30, 2018 | Sep. 30, 2018 | |
Earnings Per Share [Abstract] | ||
Antidilutive shares excluded | 274,000 | 566,000 |
Cash, Cash Equivalents and In_3
Cash, Cash Equivalents and Investments - Cash and Cash Equivalents and Investments (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Cash And Cash Equivalents [Abstract] | ||
Cash | $ 4,697 | $ 1,485 |
Cash equivalents | 950 | 2,844 |
Short-term investments | 32,419 | 30,870 |
Cash and investments | $ 38,066 | $ 35,199 |
Cash, Cash Equivalents and In_4
Cash, Cash Equivalents and Investments - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | Dec. 31, 2018 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Cash and cash equivalents maturities | 90 days | 90 days | |
Investment of cash equivalents are redeemable upon demand using amortized cost method | $ 1 | ||
Investment in money market funds restricted by investment in short term securities, percentage | 100.00% | 100.00% | |
Cash and cash equivalents in foreign bank | $ 2,800,000 | $ 2,800,000 | $ 800,000 |
Short-term investments, maturities, minimum | 90 days | ||
Short-term investments, maturities, maximum | 1 year | ||
Net unrealized losses | $ 29,000 | 21,000 | |
Israel [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Foreign earnings repatriated | 200,000 | ||
China [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Cash in foreign bank | 2,800,000 | 2,800,000 | $ 600,000 |
Maximum [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Federal Deposit Insurance Corporation insured limit | $ 250,000 | $ 250,000 |
Cash, Cash Equivalents and In_5
Cash, Cash Equivalents and Investments - Cash Equivalents and Investments (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | $ 950 | $ 2,844 |
Investments | 32,419 | 30,870 |
Cash equivalents and Investments - book value | 33,369 | 33,714 |
Cash equivalents and Investments - fair value | 33,339 | 33,693 |
Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 446 | 1,688 |
Investments | 4,050 | 3,616 |
Cash equivalents and Investments - book value | 4,496 | 5,304 |
Cash equivalents and Investments - fair value | 4,497 | 5,304 |
Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 504 | 1,156 |
Investments | 28,369 | 27,254 |
Cash equivalents and Investments - book value | 28,873 | 28,410 |
Cash equivalents and Investments - fair value | 28,842 | 28,389 |
Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 0 | 0 |
Investments | 0 | 0 |
Cash equivalents and Investments - book value | 0 | 0 |
Cash equivalents and Investments - fair value | 0 | 0 |
Corporate Bonds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 504 | 1,156 |
Investments | 27,640 | 21,583 |
Corporate Bonds [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 0 | 0 |
Investments | 0 | 0 |
Corporate Bonds [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 504 | 1,156 |
Investments | 27,640 | 21,583 |
Corporate Bonds [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 0 | 0 |
Investments | 0 | 0 |
Certificates of Deposit [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 0 | 0 |
Investments | 4,050 | 3,616 |
Certificates of Deposit [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 0 | 0 |
Investments | 4,050 | 3,616 |
Certificates of Deposit [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 0 | 0 |
Investments | 0 | 0 |
Certificates of Deposit [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 0 | 0 |
Investments | 0 | 0 |
Money Market Funds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 446 | 1,688 |
Money Market Funds [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 446 | 1,688 |
Money Market Funds [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 0 | 0 |
Money Market Funds [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash equivalents | 0 | 0 |
U.S. Government Agency Bonds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments | 729 | 5,671 |
U.S. Government Agency Bonds [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments | 0 | 0 |
U.S. Government Agency Bonds [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments | 729 | 5,671 |
U.S. Government Agency Bonds [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Investments | $ 0 | $ 0 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2019 | Dec. 31, 2018 | |
Finite Lived Intangible Assets [Line Items] | |||
Change in goodwill | $ 0 | $ 0 | |
Goodwill | $ 3,332,000 | 3,332,000 | $ 3,332,000 |
Increase (decrease) in cost of intangible assets | $ 700,000 | ||
Minimum [Member] | |||
Finite Lived Intangible Assets [Line Items] | |||
Amortization of intangible assets basis over estimated useful lives | 1 year | ||
Maximum [Member] | |||
Finite Lived Intangible Assets [Line Items] | |||
Amortization of intangible assets basis over estimated useful lives | 6 years |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Summary Of Amortization Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Finite Lived Intangible Assets [Line Items] | ||||
Amortization expense, total | $ 215 | $ 252 | $ 670 | $ 833 |
Cost of Revenues [Member] | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Amortization expense, total | 167 | 167 | 500 | 500 |
Operating Expense [Member] | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Amortization expense, total | $ 48 | $ 85 | $ 170 | $ 333 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Summary of Other Intangible Assets (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Finite Lived Intangible Assets [Line Items] | ||
Cost | $ 34,334 | $ 34,334 |
Accumulated Amortization | 33,975 | 33,305 |
Net Book Value | 359 | 1,029 |
Customer Contracts and Relationships [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Cost | 16,880 | 16,880 |
Accumulated Amortization | 16,880 | 16,880 |
Net Book Value | 0 | 0 |
Patents and Technology [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Cost | 10,114 | 10,114 |
Accumulated Amortization | 9,836 | 9,336 |
Net Book Value | 278 | 778 |
Trademarks and Trade Names [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Cost | 4,834 | 4,834 |
Accumulated Amortization | 4,753 | 4,607 |
Net Book Value | 81 | 227 |
Other [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Cost | 2,506 | 2,506 |
Accumulated Amortization | 2,506 | 2,482 |
Net Book Value | $ 0 | $ 24 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Summary of Assigned Lives and Weighted Average Amortization Periods by Intangible Asset Category (Detail) | 9 Months Ended |
Sep. 30, 2019 | |
Minimum [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Assigned Life | 1 year |
Maximum [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Assigned Life | 6 years |
Customer Contracts and Relationships [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Assigned Life | 5 years |
Weighted Average Amortization Period | 5 years |
Patents and Technology [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Weighted Average Amortization Period | 5 years 1 month 6 days |
Patents and Technology [Member] | Minimum [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Assigned Life | 5 years |
Patents and Technology [Member] | Maximum [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Assigned Life | 6 years |
Trademarks and Trade Names [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Weighted Average Amortization Period | 5 years 7 months 6 days |
Trademarks and Trade Names [Member] | Minimum [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Assigned Life | 5 years |
Trademarks and Trade Names [Member] | Maximum [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Assigned Life | 6 years |
Other [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Weighted Average Amortization Period | 3 years |
Other [Member] | Minimum [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Assigned Life | 1 year |
Other [Member] | Maximum [Member] | |
Summary of assigned lives and weighted average amortization periods by intangible asset category | |
Assigned Life | 6 years |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Schedule of Expected Amortization Expense (Detail) $ in Thousands | Sep. 30, 2019USD ($) |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2019 | $ 885 |
2020 | $ 144 |
Balance Sheet Information - Add
Balance Sheet Information - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Property, Plant and Equipment [Line Items] | |||||
Allowance for doubtful accounts | $ 95 | $ 95 | $ 63 | ||
Consigned inventory with customers | 200 | 200 | 900 | ||
Allowance for inventory losses | 3,400 | 3,400 | $ 3,300 | ||
Depreciation and amortization | $ 700 | $ 700 | $ 2,100 | $ 2,100 | |
Equipment [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Period over which assets are depreciated | 5 years | ||||
Furniture and Fixtures [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Period over which assets are depreciated | 7 years | ||||
Building [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Period over which assets are depreciated | 30 years | ||||
Minimum [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Standard term of accounts receivable | 30 days | ||||
Minimum [Member] | Computer Equipment [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Period over which assets are depreciated | 3 years | ||||
Maximum [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Standard term of accounts receivable | 90 days | ||||
Useful lives of the assets | 1 year | ||||
Maximum [Member] | Computer Equipment [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Period over which assets are depreciated | 5 years |
Balance Sheet Information - Sum
Balance Sheet Information - Summary of Inventories (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Inventory Net [Abstract] | ||
Raw materials | $ 6,748 | $ 7,023 |
Work-in-process | 1,256 | 1,388 |
Finished goods | 5,573 | 4,437 |
Inventories, net | $ 13,577 | $ 12,848 |
Balance Sheet Information - S_2
Balance Sheet Information - Summary of Property and Equipment (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 34,253 | $ 33,754 |
Less: Accumulated depreciation and amortization | (24,914) | (23,386) |
Land | 1,770 | 1,770 |
Property and equipment, net | 11,109 | 12,138 |
Building [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 6,389 | 6,351 |
Computers and Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 10,677 | 10,963 |
Manufacturing and Test Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 14,276 | 13,573 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 1,326 | 1,318 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | 1,565 | 1,529 |
Motor Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment | $ 20 | $ 20 |
Balance Sheet Information - S_3
Balance Sheet Information - Summary of Accrued Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Payables And Accruals [Abstract] | ||
Payroll, bonuses, and other employee benefits | $ 3,091 | $ 1,409 |
Inventory receipts | 1,885 | 1,396 |
Paid time off | 932 | 936 |
Short-term obligations under operating leases | 479 | 0 |
Professional fees and contractors | 435 | 346 |
Warranties | 400 | 339 |
Restructuring | 344 | 33 |
Deferred revenues | 152 | 149 |
Income and sales taxes | 147 | 186 |
Customer refunds for estimated returns | 126 | 154 |
Real estate taxes | 107 | 148 |
Short-term obligations under finance leases | 80 | 91 |
Employee stock purchase plan | 0 | 343 |
Other | 249 | 271 |
Total | $ 8,427 | $ 5,801 |
Balance Sheet Information - S_4
Balance Sheet Information - Summary of Long-term Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Liabilities Noncurrent [Abstract] | ||
Finance leases | $ 182 | $ 132 |
Operating leases | 2,552 | 0 |
Deferred Rent | 0 | 87 |
Other | 236 | 162 |
Total | $ 2,970 | $ 381 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ||||
Stock compensation expense | $ 918 | $ 786 | $ 3,246 | $ 2,572 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock-Based Compensation Expense by Type (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Stock Based Compensation [Line Items] | ||||
Total | $ 918 | $ 786 | $ 3,246 | $ 2,572 |
Service-based Awards [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Total | 472 | 730 | 1,942 | 2,404 |
Performance-based Awards - Short-term Incentive Plan [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Total | 361 | 0 | 990 | 0 |
Performance-based Awards - Long-term Incentive Plan [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Total | 56 | 0 | 170 | 0 |
Stock Option and Employee Purchase Plans [Member] | ||||
Stock Based Compensation [Line Items] | ||||
Total | $ 29 | $ 56 | $ 144 | $ 168 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-Based Compensation (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Stock compensation expense | $ 918 | $ 786 | $ 3,246 | $ 2,572 |
Cost of Revenues [Member] | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Stock compensation expense | 87 | (49) | 292 | 131 |
Research and Development [Member] | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Stock compensation expense | 158 | 165 | 507 | 462 |
Sales and Marketing [Member] | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Stock compensation expense | 158 | 174 | 521 | 462 |
General and Administrative [Member] | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Stock compensation expense | $ 515 | $ 496 | $ 1,926 | $ 1,517 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock - Service-Based - Additional Information (Detail) - Service Based Restricted Stock [Member] - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock awards issued during the period | 190,159 | |||
Grants vesting period | 3 years | |||
Restricted shares vested grant date intrinsic value | $ 32 | $ 36 | $ 2,200 | $ 800 |
Unrecognized compensation expense | $ 2,000 | $ 2,000 | ||
Weighted average period | 1 year 3 months 18 days |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Service-based Restricted Stock Activity (Detail) - Restricted Stock [Member] shares in Thousands | 9 Months Ended |
Sep. 30, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unvested Beginning balance, Shares | shares | 838,967 |
Shares awarded, Shares | shares | 190,159 |
Shares vested, Shares | shares | (410,013) |
Shares cancelled, Shares | shares | (12,226) |
Unvested Ending balance, Shares | shares | 606,887 |
Unvested Beginning balance, Weighted Average Fair Value | $ / shares | $ 6.21 |
Shares awarded, Weighted Average Fair Value | $ / shares | 5.25 |
Shares vested, Weighted Average Fair Value | $ / shares | 6.25 |
Shares cancelled, Weighted Average Fair Value | $ / shares | 6.34 |
Unvested Ending balance, Weighted Average Fair Value | $ / shares | $ 5.88 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Restricted Stock Unit Activity (Detail) - Restricted Stock Units [Member] shares in Thousands | 9 Months Ended |
Sep. 30, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unvested Beginning balance, Shares | shares | 18,638 |
Units awarded, Shares | shares | 2,700 |
Units vested/Shares awarded, Shares | shares | (5,721) |
Unvested Ending balance, Shares | shares | 15,617 |
Unvested Beginning balance, Weighted Average Fair Value | $ / shares | $ 5.66 |
Units awarded, Weighted Average Fair Value | $ / shares | 5.27 |
Units vested/Shares awarded, Weighted Average Fair Value | $ / shares | 5.67 |
Unvested Ending balance, Weighted Average Fair Value | $ / shares | $ 5.48 |
Stock-Based Compensation - Re_2
Stock-Based Compensation - Restricted Stock Units - Service-Based - Additional Information (Detail) - Service Based Restricted Stock Units [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted shares vested grant date intrinsic value | $ 0 | $ 0 | $ 30 | $ 29 |
Unrecognized compensation expense | $ 30 | $ 30 | ||
Weighted average period | 1 year 2 months 12 days |
Stock-Based Compensation - St_2
Stock-Based Compensation - Stock Options - Additional Information (Detail) $ / shares in Units, shares in Thousands, $ in Millions | 9 Months Ended |
Sep. 30, 2019USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Intrinsic value based on share price | $ 8.40 |
Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Employee stock options vesting provisions, description | stock options have either a seven-year or ten-year life and generally vest over a period of four years, 25% after one year, and ratably on a monthly basis thereafter. |
Options vested in remaining period | 4 years |
Options vesting percentage after one year | 25.00% |
Period of termination of employment | 180 days |
Lower range of exercise prices | $ 5 |
Upper range of exercise prices | $ 8.32 |
Stock options granted during the period | shares | 0 |
Period of expected life, options granted | 5 years |
Unrecognized compensation expense | $ | $ 2 |
Weighted average period | 1 year 1 month 6 days |
Stock Options [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock options outstanding, granted period | 7 years |
Stock Options [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock options outstanding, granted period | 10 years |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of Stock Option Activity (Detail) - Stock Options [Member] shares in Thousands | 9 Months Ended |
Sep. 30, 2019$ / sharesshares | |
Summary Of Stock Option Activities [Line Items] | |
Options Outstanding, Beginning balance, Shares | shares | 423,534 |
Options Outstanding, Exercised | shares | (500) |
Options Outstanding, Cancelled/expired | shares | (114,929) |
Options Outstanding, Ending balance, Shares | shares | 308,105 |
Options Exercisable, Ending balance, Shares | shares | 304,703 |
Weighted Average Exercise Price, Beginning balance | $ / shares | $ 7.15 |
Weighted Average Exercise Price, Exercised | $ / shares | 7.22 |
Weighted Average Exercise Price, Options cancelled/expired | $ / shares | 7.16 |
Weighted Average Exercise Price, Ending balance | $ / shares | 7.14 |
Weighted Average Exercise Price, Exercisable | $ / shares | $ 7.16 |
Stock-Based Compensation - Info
Stock-Based Compensation - Information about Stock Options Outstanding Under all Stock Plans (Detail) shares in Thousands | 9 Months Ended |
Sep. 30, 2019$ / sharesshares | |
Range One [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Lower range of exercise prices | $ 5 |
Upper range of exercise prices | $ 7.15 |
Options Outstanding, Number | shares | 17,459 |
Options Outstanding, Weighted Average Contractual Life (Years) | 2 years 8 months 12 days |
Options Outstanding, Weighted-Average Exercise Price | $ 6.02 |
Options Exercisable, Number | shares | 14,057 |
Options Exercisable, Weighted Average Exercise Price | $ 6.08 |
Range Two [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise prices | $ 7.16 |
Options Outstanding, Number | shares | 185,041 |
Options Outstanding, Weighted Average Contractual Life (Years) | 6 months 10 days |
Options Outstanding, Weighted-Average Exercise Price | $ 7.16 |
Options Exercisable, Number | shares | 185,041 |
Options Exercisable, Weighted Average Exercise Price | $ 7.16 |
Range Three [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise prices | $ 7.22 |
Options Outstanding, Number | shares | 93,105 |
Options Outstanding, Weighted Average Contractual Life (Years) | 6 months 3 days |
Options Outstanding, Weighted-Average Exercise Price | $ 7.22 |
Options Exercisable, Number | shares | 93,105 |
Options Exercisable, Weighted Average Exercise Price | $ 7.22 |
Range Four [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Lower range of exercise prices | 7.23 |
Upper range of exercise prices | $ 8.32 |
Options Outstanding, Number | shares | 12,500 |
Options Outstanding, Weighted Average Contractual Life (Years) | 1 year 6 months 7 days |
Options Outstanding, Weighted-Average Exercise Price | $ 7.86 |
Options Exercisable, Number | shares | 12,500 |
Options Exercisable, Weighted Average Exercise Price | $ 7.86 |
Range Five [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Lower range of exercise prices | 5 |
Upper range of exercise prices | $ 8.32 |
Options Outstanding, Number | shares | 308,105 |
Options Outstanding, Weighted Average Contractual Life (Years) | 8 months 4 days |
Options Outstanding, Weighted-Average Exercise Price | $ 7.14 |
Options Exercisable, Number | shares | 304,703 |
Options Exercisable, Weighted Average Exercise Price | $ 7.16 |
Stock-Based Compensation - Weig
Stock-Based Compensation - Weighted Average Contractual Life and Intrinsic Value of Options Outstanding and Options Exercisable (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Share Based Compensation Arrangement By Share Based Payment Award Options Additional Disclosures [Abstract] | |
Options Outstanding Weighted Average Contractual Life (years) | 8 months 4 days |
Options Exercisable Weighted Average Contractual Life (years) | 7 months 20 days |
Options Outstanding Intrinsic Value | $ 388 |
Options Exercisable Intrinsic Value | $ 379 |
Stock-Based Compensation - Perf
Stock-Based Compensation - Performance-Based Equity Awards - Additional Information (Detail) - 2019 LTIP - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended |
Feb. 28, 2019 | Sep. 30, 2019 | Sep. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Revenue growth target performance period | 3 years | ||
Number of shares earned | 171,437 | 2,680 | 2,680 |
Maximum number of shares that may be issued | 300,015 | ||
Maximum number of earned shares declined | 4,690 | 4,690 | |
Revenue growth target performance period start date | Jan. 1, 2019 | ||
Revenue growth target performance period end date | Dec. 31, 2021 | ||
Total fair market value of award at target | $ 0.9 | ||
Share price at target, on grant date | $ 5.27 |
Stock-Based Compensation - Shor
Stock-Based Compensation - Short-Term Incentive Plan - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2019USD ($) | |
2019 STIP | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Performance component, percentage of weighted revenue | 20.00% |
Performance component, percentage of weighted adjusted EBITDA | 80.00% |
2019 STIP | Certain Executives [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Percentage of incentive awards in shares | 50.00% |
Percentage of incentive awards in cash | 50.00% |
2019 STIP | All Other Participants [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Percentage of incentive awards in cash | 100.00% |
2018 STIP | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Short term incentive award settled | $ 0 |
Stock-Based Compensation - Empl
Stock-Based Compensation - Employee Stock Purchase Plan ("ESPP") - Additional Information (Detail) - USD ($) shares in Thousands, $ in Millions | 1 Months Ended | 9 Months Ended | |||
Aug. 31, 2019 | Feb. 28, 2019 | Aug. 31, 2018 | Feb. 28, 2018 | Sep. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Offering period | 6 months | ||||
Employee Stock Purchase Plan ("ESPP") [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of fair market value to determine purchase price | 85.00% | ||||
Proceeds of from issuance of shares under ESPP | $ 0.4 | $ 0.3 | $ 0.3 | $ 0.4 | |
Options issued | 85,483 | 95,376 | 88,583 | 68,212 | |
Rate of discount on fair market value of common stock under ESPP | 15.00% | ||||
Period of expected life, options granted | 5 years |
Stock-Based Compensation - Calc
Stock-Based Compensation - Calculation of Fair Value of Each Employee Stock Purchase Grant Using the Black-Scholes Option-Pricing Model (Detail) - Employee Stock Purchase Plan ("ESPP") [Member] | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Calculation of fair value of each employee stock purchase grant using the Black-Scholes option-pricing model | ||
Dividend yield | 4.10% | 3.20% |
Risk-free interest rate | 2.50% | 2.10% |
Expected volatility | 34.00% | 33.00% |
Expected life (in years) | 6 months | 6 months |
Stock-Based Compensation - Boar
Stock-Based Compensation - Board of Director Equity Awards - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
New Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Grants vesting period | 3 years | |
Board of Directors [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Common stock issued | 79,918 | 60,988 |
Company's stock at fair value | $ 0.4 | $ 0.4 |
Stock-Based Compensation - Em_2
Stock-Based Compensation - Employee Withholding Taxes on Stock Awards - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Payment of withholding taxes related to stock awards | $ 754 | $ 301 |
Employee Withholding Taxes on Stock Awards [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Payment of withholding taxes related to stock awards | $ 800 | $ 300 |
Benefit Plans - Additional Info
Benefit Plans - Additional Information (Detail) - Employee Benefit Plans [Member] | 9 Months Ended |
Sep. 30, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | |
Maximum percentage of current compensation of employee to contribute in plan | 15.00% |
Maximum [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Employer matches employee contribution percentage | 4.00% |
Benefit Plans - Summary of Cont
Benefit Plans - Summary of Contributions to Retirement Plans (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Contribution to retirement plans | $ 276 | $ 295 | $ 840 | $ 923 |
US Employees [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Contribution to retirement plans | 165 | 158 | 484 | 523 |
Foreign Employees [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Contribution to retirement plans | $ 111 | $ 137 | $ 356 | $ 400 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Thousands | Aug. 07, 2019USD ($)Position | Sep. 30, 2019USD ($)Employee | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)Employee | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($) | Jun. 30, 2018USD ($) | Dec. 31, 2017USD ($) |
Commitments And Contingencies Disclosure [Line Items] | ||||||||
Restructuring and related activities, initiation date | Aug. 7, 2019 | |||||||
Restructuring and related activities, description | The Company expects the transition to be substantially completed by the end of our 2020 fiscal year (the “Transition Period”) | |||||||
Restructuring and related charges, description | The severance payments and related payroll costs for these employees were paid in October 2019. Recognition of the remaining restructuring expense will occur as the employees are notified of their termination. | |||||||
Number of expected full-time global workforce positions eliminations | Position | 140 | |||||||
Percentage of expected full time global workforce positions eliminations | 35.00% | |||||||
Severance costs | $ 900 | |||||||
Restructuring expenses | $ 295 | $ 0 | $ 295 | $ 0 | ||||
Number of manufacturing employees | Employee | 49 | 49 | ||||||
Lease obligation | $ 3,031 | $ 3,031 | ||||||
Refund liability related to estimated sales returns | 126 | 126 | $ 154 | |||||
Warranties | 400 | 400 | 339 | |||||
Warranty Reserves [Member] | ||||||||
Commitments And Contingencies Disclosure [Line Items] | ||||||||
Refund liability related to estimated sales returns | 100 | 100 | 200 | |||||
Warranties | 400 | $ 400 | $ 400 | $ 400 | $ 339 | $ 401 | $ 382 | |
Warranty Reserves [Member] | Antenna [Member] | ||||||||
Commitments And Contingencies Disclosure [Line Items] | ||||||||
Repair and replacement warranty | 5 years | |||||||
Colorado Office [Member] | ||||||||
Commitments And Contingencies Disclosure [Line Items] | ||||||||
Restructuring expenses | $ 0 | |||||||
Lease obligation | $ 125 | $ 125 | ||||||
Lease expiration month and year | 2020-10 | |||||||
Sublease payments | $ 74 | |||||||
Severance and Other Transition Costs [Member] | ||||||||
Commitments And Contingencies Disclosure [Line Items] | ||||||||
Cumulative pre-tax charges | 1,000 | |||||||
Contract Termination [Member] | ||||||||
Commitments And Contingencies Disclosure [Line Items] | ||||||||
Other non-cash costs of estimated fixed asset dispositions | $ 100 |
Commitments and Contingencies_2
Commitments and Contingencies - Summary of Restructuring Activity (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Restructuring Cost And Reserve [Line Items] | ||||
Beginning balance | $ 77 | |||
Restructuring expenses | $ 295 | $ 0 | 295 | $ 0 |
Foreign currency adjustment | (1) | |||
Payments made | (105) | |||
Payments received | 79 | |||
Ending balance | 345 | 345 | ||
China Restructuring [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Beginning balance | 0 | |||
Restructuring expenses | 295 | |||
Foreign currency adjustment | (1) | |||
Payments made | 0 | |||
Payments received | 0 | |||
Ending balance | 294 | 294 | ||
Colorado Restructuring [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Beginning balance | 77 | |||
Restructuring expenses | 0 | |||
Foreign currency adjustment | 0 | |||
Payments made | (105) | |||
Payments received | 79 | |||
Ending balance | $ 51 | $ 51 |
Commitments and Contingencies_3
Commitments and Contingencies - Summary of Restructuring Liability Recorded (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Restructuring Cost And Reserve [Line Items] | ||
Restructuring liability | $ 345 | $ 77 |
Accrued Liabilities [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Restructuring liability | 344 | 33 |
Long-term Liabilities [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Restructuring liability | $ 1 | $ 44 |
Commitments and Contingencies_4
Commitments and Contingencies - Summary of Warranty Activity (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Changes in warranty reserves | ||
Beginning balance | $ 339 | |
Ending balance | 400 | |
Warranty Reserves [Member] | ||
Changes in warranty reserves | ||
Beginning balance | 339 | $ 382 |
Provisions for warranties | 207 | 65 |
Consumption of reserves | (146) | (46) |
Ending balance | $ 400 | $ 400 |
Leases - Additional Information
Leases - Additional Information (Detail) $ in Thousands | 1 Months Ended | 9 Months Ended | ||
Jan. 31, 2019ft² | Sep. 30, 2019USD ($) | Aug. 31, 2019USD ($) | Jan. 01, 2019USD ($) | |
Leases [Line Items] | ||||
Total right-of-use assets | $ 3,185 | $ 1,500 | ||
Total lease liabilities | 3,293 | $ 1,600 | ||
Operating right-of-use assets | 2,931 | $ 2,100 | ||
Tenant improvement incentives in form of cash reimbursements | $ 1,448 | |||
Rent abatement duration | 14 months | |||
Lease description | In January 2019, the Company entered into an eleven-year lease ending February 28, 2031 for 21,030 square feet of office space in Clarksburg, Maryland for the Company’s test and measurement product line. The Company will move the operations for its test and measurement product line from its Germantown, Maryland office to the new office in the first quarter 2020. | |||
Maximum [Member] | ||||
Leases [Line Items] | ||||
Tenant improvement incentives in form of cash reimbursements | $ 1,500 | |||
Test & Measurement Product Line [Member] | ||||
Leases [Line Items] | ||||
Operating lease term of contract | 11 years | |||
Area of lease | ft² | 21,030 | |||
Lease expiration date | Feb. 28, 2031 |
Leases - Components of Lease Co
Leases - Components of Lease Cost (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Leases [Abstract] | ||
Operating lease costs | $ 238 | $ 673 |
Short-term lease costs | 20 | 71 |
Amortization of finance lease assets | 27 | 78 |
Interest on finance lease liabilities | 2 | 6 |
Total lease cost | $ 287 | $ 828 |
Leases - Schedule of Future Min
Leases - Schedule of Future Minimum Lease Payments under Operating and Finance Leases (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Operating Leases | ||
2019 | $ 228 | |
2020 | 305 | |
2021 | 472 | |
2022 | 558 | |
2023 | 569 | |
Thereafter | 3,756 | |
Total minimum payments required | 5,888 | |
Less: present value of tenant allowance | 1,448 | |
Less: amount representing interest | 1,409 | |
Present value of net minimum lease payments | 3,031 | |
Less: current maturities of lease obligations | (479) | $ 0 |
Long-term lease obligations | 2,552 | 0 |
Finance Leases | ||
2019 | 23 | |
2020 | 86 | |
2021 | 73 | |
2022 | 48 | |
2023 | 32 | |
Thereafter | 20 | |
Total minimum payments required | 282 | |
Less: present value of tenant allowance | 0 | |
Less: amount representing interest | 20 | |
Present value of net minimum lease payments | 262 | |
Less: current maturities of lease obligations | (80) | (91) |
Long-term lease obligations | $ 182 | $ 132 |
Leases - Summary of Weighted Av
Leases - Summary of Weighted Average Remaining Lease Terms and Discount Rates (Detail) | Sep. 30, 2019 |
Leases [Abstract] | |
Weighted-average remaining lease term - finance leases | 3 years 9 months 7 days |
Weighted-average remaining lease term - operating leases | 9 years 3 days |
Weighted-average discount rate - finance leases | 4.00% |
Weighted-average discount rate - operating leases | 5.00% |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Cash Flow Information Related to Leases (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Leases [Abstract] | ||
Operating cash flows for operating leases | $ 684 | |
Operating cash flows for finance leases | 6 | |
Financing cash flows for finance leases | $ 79 | $ 91 |
Leases - Schedule of Classifica
Leases - Schedule of Classification of ROU Assets and Lease liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Aug. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
ASSETS | ||||
Operating right-of-use assets | $ 2,931 | $ 2,100 | ||
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsNoncurrent | |||
Finance right-of-use assets | $ 254 | |||
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsNoncurrent | |||
Total leased assets | $ 3,185 | $ 1,500 | ||
Current | ||||
Short-term obligations under operating leases | $ 479 | $ 0 | ||
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:AccruedLiabilitiesCurrent | |||
Short-term obligations under finance leases | $ 80 | 91 | ||
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:AccruedLiabilitiesCurrent | |||
Noncurrent | ||||
Operating leases | $ 2,552 | 0 | ||
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:LiabilitiesNoncurrent | |||
Finance leases | $ 182 | $ 132 | ||
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:LiabilitiesNoncurrent | |||
Total lease liabilities | $ 3,293 | $ 1,600 |
Leases - Schedule of Future M_2
Leases - Schedule of Future Minimum Rental Payments Under Operating Leases (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Operating Leases Future Minimum Payments Due [Abstract] | |
2019 | $ 1,176 |
2020 | 518 |
2021 | 145 |
2022 | 146 |
2023 | 131 |
Thereafter | 137 |
Future minimum lease payments | $ 2,253 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||||
Income tax expense (benefit) | $ 6 | $ (482) | $ 23 | $ (961) | |
Statutory rate | 21.00% | 21.00% | 21.00% | 21.00% | |
Operating loss and credit carry forward, expiration period | The Company’s federal NOLs generated in 2019 and 2018 have an infinite life, and the Company’s NOLs and credits generated as of December 31, 2017 have a finite life primarily based on the 20-year carry forward of federal net operating losses. | ||||
Net operating loss carry forward period | 20 years | ||||
Domestic deferred tax assets ratable reversal pattern period | 12 years | ||||
Deferred tax assets, valuation allowance | $ 14,500 | $ 14,500 | $ 14,500 | ||
Cumulative terms of US book pre-tax income turned to pre-tax loss | 3 years | ||||
Gross unrecognized tax benefit | $ 700 | $ 700 | $ 700 |
Product Line, Customer and Ge_3
Product Line, Customer and Geographic Information - Result of Product Line Revenues and Gross Profits (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Results of operations by segments | ||||
REVENUES | $ 23,630 | $ 18,426 | $ 67,720 | $ 61,739 |
Gross Profit | $ 10,647 | $ 6,721 | $ 30,000 | $ 22,384 |
Gross Profit % | 45.10% | 36.50% | 44.30% | 36.30% |
Operating Segments [Member] | Antenna Products [Member] | ||||
Results of operations by segments | ||||
REVENUES | $ 16,463 | $ 14,877 | $ 47,565 | $ 50,120 |
Gross Profit | $ 5,712 | $ 4,504 | $ 16,142 | $ 14,734 |
Gross Profit % | 34.70% | 30.30% | 33.90% | 29.40% |
Operating Segments [Member] | Test & Measurement Product Line [Member] | ||||
Results of operations by segments | ||||
REVENUES | $ 7,240 | $ 3,556 | $ 20,301 | $ 11,691 |
Gross Profit | $ 4,937 | $ 2,201 | $ 13,834 | $ 7,627 |
Gross Profit % | 68.20% | 61.90% | 68.10% | 65.20% |
Corporate, Non-Segment [Member] | ||||
Results of operations by segments | ||||
REVENUES | $ (73) | $ (7) | $ (146) | $ (72) |
Gross Profit | $ (2) | $ 16 | $ 24 | $ 23 |
Product Line, Customer and Ge_4
Product Line, Customer and Geographic Information - Customers Accounted Revenues by Geographic Location (Detail) - Sales [Member] - Geographic Concentration Risk [Member] | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Asia Pacific [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Sales | 6.00% | 17.00% | 9.00% | 17.00% |
Europe, Middle East, & Africa [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Sales | 12.00% | 13.00% | 13.00% | 11.00% |
Other Americas [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Sales | 4.00% | 5.00% | 3.00% | 4.00% |
Total Foreign Sales [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total Sales | 22.00% | 35.00% | 25.00% | 32.00% |
Product Line, Customer and Ge_5
Product Line, Customer and Geographic Information - Schedule of Revenues and Total Trade Accounts Receivable Represents Customers Accounted for 10% or More Percentage (Detail) - Customer Concentration Risk - Trade Accounts Receivable [Member] | 9 Months Ended | 12 Months Ended |
Sep. 30, 2019 | Dec. 31, 2018 | |
Customer A [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Concentration risk percentage | 16.00% | 9.00% |
Customer B [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Concentration risk percentage | 15.00% | 13.00% |
Customer C [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Concentration risk percentage | 12.00% | 1.00% |
Revenue from Contracts with C_2
Revenue from Contracts with Customers - Additional Information (Detail) - USD ($) | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Disaggregation Of Revenue [Line Items] | |||
Order shipments, description | A majority of the Company’s revenue is short cycle in nature with shipments within one year from order. | ||
Payment terms, description | The Company's payment terms generally range between 30 to 90 days. | ||
Refund liability | $ 126,000 | $ 154,000 | |
Contract assets | 0 | 0 | |
Contract with customer liability, revenue recognized | 100,000 | $ 100,000 | |
Accrued Liabilities [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Refund liability | 100,000 | 200,000 | |
Contract liability | 300,000 | 200,000 | |
Inventories [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Product return asset | $ 100,000 | $ 100,000 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Additional Information1 (Detail) | Sep. 30, 2019 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-04-01 | |
Disaggregation Of Revenue [Line Items] | |
Period for performance obligation to provide software maintenance and support | 1 year |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) $ in Millions | Nov. 06, 2019USD ($) |
Subsequent Events [Member] | Maximum [Member] | |
Subsequent Event [Line Items] | |
Number of shares authorized to be repurchased | $ 7 |