Novanta (NOVT) 10-Q 7 Nov 23 2023 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 29, 2023	Oct. 30, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 29, 2023
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Trading Symbol	NOVT
Entity Registrant Name	NOVANTA INC.
Entity Central Index Key	0001076930
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		35,810,370
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity File Number	001-35083
Entity Tax Identification Number	98-0110412
Entity Address, Address Line One	125 Middlesex Turnpike
Entity Address, City or Town	Bedford
Entity Address, State or Province	MA
Entity Address, Country	US
Entity Address, Postal Zip Code	01730
City Area Code	781
Local Phone Number	266-5700
Document Quarterly Report	true
Document Transition Report	false
Entity Incorporation, State or Country Code	A3
Entity Interactive Data Current	Yes
Security Exchange Name	NASDAQ
Title of 12(b) Security	Common shares, no par value

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Current assets
Cash and cash equivalents	$ 75,961	$ 100,105
Accounts receivable, net of allowance of $1,316 and $995, respectively	143,086	137,697
Inventories	153,809	167,997
Prepaid income taxes and income taxes receivable	5,299	1,508
Prepaid expenses and other current assets	13,167	13,212
Total current assets	391,322	420,519
Property, plant and equipment, net	103,323	103,186
Operating lease assets	40,527	43,317
Deferred tax assets	24,714	15,113
Other assets	5,653	4,414
Intangible assets, net	151,096	175,766
Goodwill	477,642	478,897
Total assets	1,194,277	1,241,212
Current liabilities
Current portion of long-term debt	4,736	4,800
Accounts payable	63,983	75,225
Income taxes payable	7,223	13,660
Current portion of operating lease liabilities	8,072	7,793
Accrued expenses and other current liabilities	54,375	63,044
Total current liabilities	138,389	164,522
Long-term debt	347,879	430,662
Operating lease liabilities	38,577	40,808
Deferred tax liabilities	14,439	17,194
Income taxes payable	4,932	4,355
Other liabilities	5,205	6,085
Total liabilities	549,421	663,626
Commitments and contingencies (Note 14)
Stockholders’ equity:
Preferred shares, no par value; Authorized shares: 7,000; No shares issued and outstanding
Common shares, no par value; Authorized shares: unlimited; Issued and outstanding: 35,810 and 35,711, respectively	423,856	423,856
Additional paid-in capital	63,362	55,155
Retained earnings	190,951	130,584
Accumulated other comprehensive loss	(33,313)	(32,009)
Total stockholders' equity	644,856	577,586
Total liabilities and stockholders’ equity	$ 1,194,277	$ 1,241,212

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 29, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Accounts receivable, allowance	$ 1,307	$ 995
Preferred shares, no par value	$ 0	$ 0
Preferred shares, Authorized	7,000,000	7,000,000
Preferred shares, Issued	0	0
Preferred shares, outstanding	0	0
Common shares, Authorized	Unlimited	Unlimited
Common shares, no par value	$ 0	$ 0
Common shares, Issued	35,810,000	35,711,000
Common shares, outstanding	35,810,000	35,711,000

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Income Statement [Abstract]
Revenue	$ 221,503	$ 222,958	$ 670,093	$ 642,530
Cost of revenue	119,912	124,550	366,751	358,601
Gross profit	101,591	98,408	303,342	283,929
Operating expenses:
Research and development and engineering	22,022	21,349	68,230	63,866
Selling, general and administrative	39,648	40,301	122,758	120,191
Amortization of purchased intangible assets	5,131	6,472	15,344	20,987
Restructuring, acquisition, and related costs	4,481	1,625	8,191	2,650
Total operating expenses	71,282	69,747	214,523	207,694
Operating income	30,309	28,661	88,819	76,235
Interest income (expense), net	(6,756)	(4,062)	(19,898)	(9,928)
Foreign exchange transaction gains (losses), net	(370)	2,086	(373)	2,307
Other income (expense), net	(189)	87	(546)	(390)
Income before income taxes	22,994	26,772	68,002	68,224
Income tax provision	1,771	4,282	7,635	9,435
Consolidated net income	$ 21,223	$ 22,490	$ 60,367	$ 58,789
Earnings per common share:
Basic	$ 0.59	$ 0.63	$ 1.68	$ 1.65
Diluted	$ 0.59	$ 0.63	$ 1.68	$ 1.64
Weighted average common shares outstanding—basic	35,856	35,729	35,839	35,625
Weighted average common shares outstanding—diluted	36,041	35,928	36,024	35,881

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Statement of Comprehensive Income [Abstract]
Consolidated net income		$ 21,223	$ 22,490	$ 60,367	$ 58,789
Other comprehensive income (loss):
Foreign currency translation adjustments, net of tax	[1]	(8,786)	(18,972)	(1,980)	(37,672)
Pension liability adjustments, net of tax	[2]	515	710	676	1,611
Total other comprehensive income (loss)		(8,271)	(18,262)	(1,304)	(36,061)
Total consolidated comprehensive income		$ 12,952	$ 4,228	$ 59,063	$ 22,728
[1] The tax effect on this component of comprehensive income (loss) was nominal for all periods presented. The tax effect on this component of comprehensive income (loss) was nominal for all periods presented. See Note 3 to the Consolidated Financial Statements for the total amount of pension liability adjustments reclassified out of accumulated other comprehensive income (loss).

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Loss
Balance at Dec. 31, 2021	$ 521,291	$ 423,856	$ 53,768	$ 56,533	$ (12,866)
Balance (in shares) at Dec. 31, 2021		35,601
Net Income (Loss)	58,789			58,789
Common shares issued under stock plans (in shares)		238
Common shares withheld for taxes on vested stock awards	(9,626)		(9,626)
Common shares withheld for taxes on vested stock awards (in shares)		(66)
Repurchases of common shares	(10,000)		(10,000)
Repurchases of common shares (in shares)		(84)
Share-based compensation	17,809		17,809
Other comprehensive income (loss), net of tax	(36,061)				(36,061)
Balance at Sep. 30, 2022	542,202	$ 423,856	51,951	115,322	(48,927)
Balance (in shares) at Sep. 30, 2022		35,689
Balance at Jul. 01, 2022	532,169	$ 423,856	46,146	92,832	(30,665)
Balance (in shares) at Jul. 01, 2022		35,623
Net Income (Loss)	22,490			22,490
Common shares issued under stock plans (in shares)		67
Common shares withheld for taxes on vested stock awards	(149)		(149)
Common shares withheld for taxes on vested stock awards (in shares)		(1)
Share-based compensation	5,954		5,954
Other comprehensive income (loss), net of tax	(18,262)				(18,262)
Balance at Sep. 30, 2022	542,202	$ 423,856	51,951	115,322	(48,927)
Balance (in shares) at Sep. 30, 2022		35,689
Balance at Dec. 31, 2022	577,586	$ 423,856	55,155	130,584	(32,009)
Balance (in shares) at Dec. 31, 2022		35,711
Net Income (Loss)	60,367			60,367
Common shares issued under stock plans (in shares)		167
Common shares withheld for taxes on vested stock awards	(10,171)		(10,171)
Common shares withheld for taxes on vested stock awards (in shares)		(68)
Share-based compensation	18,378		18,378
Other comprehensive income (loss), net of tax	(1,304)				(1,304)
Balance at Sep. 29, 2023	644,856	$ 423,856	63,362	190,951	(33,313)
Balance (in shares) at Sep. 29, 2023		35,810
Balance at Jun. 30, 2023	626,030	$ 423,856	57,488	169,728	(25,042)
Balance (in shares) at Jun. 30, 2023		35,808
Net Income (Loss)	21,223			21,223
Common shares issued under stock plans (in shares)		3
Common shares withheld for taxes on vested stock awards	(163)		(163)
Common shares withheld for taxes on vested stock awards (in shares)		(1)
Share-based compensation	6,037		6,037
Other comprehensive income (loss), net of tax	(8,271)				(8,271)
Balance at Sep. 29, 2023	$ 644,856	$ 423,856	$ 63,362	$ 190,951	$ (33,313)
Balance (in shares) at Sep. 29, 2023		35,810

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022
Cash flows from operating activities:
Consolidated net income	$ 60,367	$ 58,789
Adjustments to reconcile consolidated net income to net cash provided by operating activities:
Depreciation and amortization	35,065	40,999
Provision for inventory excess and obsolescence	6,563	1,940
Impairment of assets	1,421
Share-based compensation	18,378	17,809
Deferred income taxes	(12,328)	(14,628)
Write-off of unamortized deferred financing costs		624
Other	1,289	(152)
Changes in assets and liabilities which (used)/provided cash, excluding effects from business acquisitions:
Accounts receivable	(6,371)	(34,444)
Inventories	5,619	(46,552)
Prepaid income taxes, income taxes receivable, prepaid expenses and other current assets	(3,444)	(2,041)
Accounts payable, income taxes payable, accrued expenses and other current liabilities	(24,759)	29,393
Other non-current assets and liabilities	(717)	(1,570)
Net cash provided by operating activities	81,083	50,167
Cash flows from investing activities:
Cash paid for business acquisitions, net of working capital adjustments		(21,565)
Purchases of property, plant and equipment	(13,741)	(15,385)
Payment of contingent consideration related to acquisition of technology assets		(1,470)
Other investing activities		137
Net cash used in investing activities	(13,741)	(38,283)
Cash flows from financing activities:
Borrowings under revolving credit facilities		69,941
Repayments under term loan and revolving credit facilities	(82,047)	(37,791)
Payments of debt issuance costs		(2,492)
Payments of withholding taxes from share-based awards	(10,171)	(9,626)
Repurchases of common shares		(10,000)
Payments of contingent consideration related to acquisitions	(81)	(46,254)
Other financing activities	(484)	(447)
Net cash used in financing activities	(92,783)	(36,669)
Effect of exchange rates on cash and cash equivalents	1,297	(8,028)
Decrease in cash and cash equivalents	(24,144)	(32,813)
Cash and cash equivalents, beginning of the period	100,105	117,393
Cash and cash equivalents, end of the period	75,961	84,580
Supplemental disclosure of cash flow information:
Cash paid for interest	19,290	8,962
Cash paid for income taxes	28,684	17,102
Income tax refunds received	$ 275	$ 164

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Pay vs Performance Disclosure
Net Income (Loss)	$ 21,223	$ 22,490	$ 60,367	$ 58,789

Insider Trading Arrangements

Insider Trading Arrangements	9 Months Ended
	Sep. 29, 2023 shares
Trading Arrangements, by Individual
Material Terms of Trading Arrangement	Rule 10b5-1 Trading Plans The adoption or termination of contracts, instructions or written plans for the purchase or sale of our securities by our Section 16 officers and directors during the three months ended September 29, 2023, each of which is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act (“Rule 10b5-1 Plan”), are summarized below. Name Title Action Date Total Shares to Be Sold Expiration Date Brian S. Young Chief Human Resources Officer Adoption September 12, 2023 6,119 September 13, 2024 None of our officers or directors adopted or terminated a “non-Rule 10b5-1 trading arrangement” as defined in Item 408 of Regulation S-K.
Non-Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Terminated	false
Brian S. Young
Trading Arrangements, by Individual
Name	Brian S. Young
Title	Chief Human Resources Officer
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	September 12, 2023
Aggregate Available	6,119
Expiration Date	September 13, 2024

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 29, 2023
Accounting Policies [Abstract]
Basis of Presentation	1. Basis of Presentation Novanta Inc. (“Novanta” or the “Company”) is a leading global supplier of core technology solutions that give medical and advanced industrial original equipment manufacturers (“OEMs”) a competitive advantage. Novanta combines deep proprietary technology expertise and competencies in precision medicine and manufacturing, medical solutions, and robotics and automation with a proven ability to solve complex technical challenges. This enables Novanta to engineer core components and sub-systems that deliver extreme precision and performance, tailored to the customers’ demanding applications. The accompanying unaudited interim consolidated financial statements have been prepared by the Company in United States (“U.S.”) dollars and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”), the instructions to Form 10-Q and the provisions of Regulation S-X pertaining to interim financial statements. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the U.S. have been condensed or omitted. The interim consolidated financial statements and notes included in this report should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. In the opinion of management, these interim consolidated financial statements include all adjustments and accruals of a normal and recurring nature necessary to fairly state the results of the interim periods presented. The results for interim periods are not necessarily indicative of results to be expected for the full year or for any future periods. The Company’s unaudited interim consolidated financial statements are prepared for each quarterly period ending on the Friday closest to the end of the calendar quarter, with the exception of the fourth quarter which always ends on December 31. During the first quarter of 2023, the Company changed the names of its reportable segments from “Photonics” to “Precision Medicine and Manufacturing”, from “Vision” to “Medical Solutions”, and from “Precision Motion” to “Robotics and Automation”, respectively. The segment name changes did not result in any change to the compositions of the Company's segments and therefore did not result in any change to historical results. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities as of the dates of the financial statements, and the reported amounts of revenue and expenses during the reporting periods. Estimates and assumptions are reviewed on an on-going basis and the effects of revisions are reflected in the period in which such revisions are deemed to be necessary. The Company evaluates its estimates based on historical experience, current conditions, and various other assumptions that it believes are reasonable under the circumstances. Actual results could differ significantly from these estimates. Recent Accounting Pronouncements Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In October 2023, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2023-06, “Disclosure Improvements: Codification Amendments in Response to SEC’s Disclosure Update and Simplification Initiative.” ASU 2023-06 clarifies or improves disclosure and presentation requirements of a variety of topics, which allow users to easily compare entities subject to the SEC’s existing disclosures with those entities that were not previously subject to the requirements and align the requirements in the FASB Accounting Standards Codification with the SEC’s regulations. The effective date for each amendment in ASU 2023-06 will be the date on which the SEC’s removal of that related disclosure from Regulation S-X or Regulation S-K becomes effective, with early adoption prohibited. The Company is currently evaluating the impact of ASU 2023-06 on its consolidated financial statements.

Revenue

Revenue	9 Months Ended
	Sep. 29, 2023
Revenue from Contract with Customer [Abstract]
Revenue	2. Revenue The Company recognizes revenue when control of promised goods or services is transferred to customers. The transfer of control generally occurs upon shipment when title and risk of loss pass to the customer. The vast majority of the Company’s revenue is generated from the sale of distinct products. Revenue is measured as the amount of consideration the Company expects to receive in exchange for such products, which is generally at contractually stated prices. Sales taxes and value added taxes collected concurrently with revenue generating activities are excluded from revenue. Performance Obligations Substantially all of the Company’s revenue is recognized at a point in time, upon shipment, rather than over time. At the request of its customers, the Company may perform professional services, generally for the maintenance and repair of products previously sold to those customers and for engineering services. Professional services for the maintenance and repair of products are typically short in duration, mostly less than one month , and generally involve a single distinct performance obligation. The related revenue is recognized at a point in time when control transfers to the customer upon completion of professional services. The consideration expected to be received in exchange for such services is typically the contractually stated amount. Certain engineering services are longer in duration and the related revenue is recognized over time. As the Company’s right to payment from a customer is based on the value of engineering services performed, the Company recognizes revenue based on the corresponding value to the customer from the Company’s performance completed to date. Revenue from engineering services aggregated to less than 3 % of the Company’s consolidated revenue during the nine months ended September 29, 2023 and September 30, 2022. The Company occasionally sells separately priced non-standard/extended warranty services or preventative maintenance plans with the sale of products. The transfer of control over the service plans is over time. The Company recognizes the related revenue ratably over the terms of the service plans. The transaction price of a contract is allocated to each performance obligation based on its relative standalone selling price. Standalone selling prices are generally determined based on the prices charged to customers or using the expected cost plus a margin. Shipping & Handling Costs The Company accounts for shipping and handling activities that occur after the transfer of control over the related goods as fulfillment activities rather than performance obligations. Shipping and handling fees charged to customers are recognized as revenue and the related costs are recorded in cost of revenue at the time of transfer of control. Warranties The standard warranty periods for the Company’s products are typically 12 months to 36 months . The Company recognizes estimated liabilities associated with standard warranty periods for its products in accordance with the provisions of ASC 450, “Contingencies,” as the Company has the ability to ascertain the likelihood of the liabilities and can reasonably estimate the amount of the liabilities. A provision for the estimated cost related to standard warranties is recorded as cost of revenue at the time revenue is recognized. The Company’s estimate of the costs to service the warranty obligations is based on historical experience and expectations of future conditions. To the extent that the Company’s experience in warranty claims or costs associated with servicing those claims differ from the original estimates, revisions to the estimated warranty liabilities are recorded at that time, with offsetting adjustments to cost of revenue. Practical Expedients and Exemptions The Company expenses incremental direct costs of obtaining a contract when incurred because the expected amortization period is typically one year or less. These costs are recorded within selling, general and administrative expenses in the consolidated statement of operations. The Company does not adjust the promised amount of consideration for the effects of a financing component because the transfer of a promised good to a customer and the customer’s payment for that good are typically one year or less. The Company does not disclose the value of the remaining performance obligation for contracts with an original expected length of one year or less. Contract Liabilities Contract liabilities consist of deferred revenue and advance payments from customers, including amounts that are refundable. These contract liabilities are classified as either current or long-term liabilities in the consolidated balance sheet based on the timing of when the Company expects to recognize the related revenue. As of September 29, 2023 and December 31, 2022, contract liabilities were $ 6.8 million and $ 8.4 million, respectively, and are included in accrued expenses and other current liabilities and other liabilities in the accompanying consolidated balance sheets. The decrease in the contract liability balance during the nine months ended September 29, 2023 is primarily due to $ 6.2 million of revenue recognized during the period that was included in the contract liability balance as of December 31, 2022, partially offset by cash payments received in advance of satisfying performance obligations. Disaggregated Revenue See Note 15 for the Company’s disaggregation of revenue by segment, geography and end market.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	9 Months Ended
	Sep. 29, 2023
Equity [Abstract]
Accumulated Other Comprehensive Loss	3. Accumulated Other Comprehensive Loss Changes in accumulated other comprehensive loss were as follows (in thousands): Total Accumulated Other Cumulative Pension Comprehensive Translation Liability Loss Adjustments Adjustments Balance at December 31, 2022 $ ( 32,009 ) $ ( 24,427 ) $ ( 7,582 ) Other comprehensive income (loss) ( 2,068 ) ( 1,980 ) ( 88 ) Amounts reclassified from accumulated other comprehensive loss 764 — 764 Balance at September 29, 2023 $ ( 33,313 ) $ ( 26,407 ) $ ( 6,906 ) The amounts reclassified from accumulated other comprehensive loss were included in other income (expense) in the consolidated statements of operations.

Earnings per Common Share

Earnings per Common Share	9 Months Ended
	Sep. 29, 2023
Earnings Per Share [Abstract]
Earnings per Common Share	4. Earnings per Common Share Basic earnings per common share is computed by dividing consolidated net income by the weighted average number of common shares outstanding during the period. For diluted earnings per common share, the denominator includes the dilutive effect of outstanding common share equivalents. The dilutive effects of outstanding common share equivalents, including outstanding service-based restricted stock units, stock options and performance-based restricted stock units, are determined using the treasury stock method. Performance-based restricted stock units are considered contingently issuable shares, the vesting of which may be based on achievement of specified company performance conditions (“attainment-based PSUs”), certain market conditions (“market-based PSUs”) or a hybrid of company performance conditions and market conditions (“hybrid PSUs”). The dilutive effects of market-based PSUs are included in the weighted average common share calculation based on the number of shares, if any, that would be issuable as of the end of the reporting period, assuming the end of the reporting period is also the end of the performance period. The dilutive effects of attainment-based and hybrid PSUs are included in the weighted average common share calculation based on the cumulative achievement against the performance targets only when the performance targets have been achieved as of the end of the reporting period. The following table sets forth the computation of basic and diluted earnings per common share (amounts in thousands, except per share data): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Numerators: Consolidated net income $ 21,223 $ 22,490 $ 60,367 $ 58,789 Denominators: Weighted average common shares outstanding— basic 35,856 35,729 35,839 35,625 Dilutive potential common shares 185 199 185 256 Weighted average common shares outstanding— diluted 36,041 35,928 36,024 35,881 Antidilutive potential common shares excluded from above 49 73 101 104 Earnings per Common Share: Basic $ 0.59 $ 0.63 $ 1.68 $ 1.65 Diluted $ 0.59 $ 0.63 $ 1.68 $ 1.64 For both the three and nine months ended September 29, 2023 , 143 thousand shares of performance-based restricted stock units were excluded from the calculation of the denominator because they were attainment-based and hybrid contingently issuable shares and the related performance targets had not been achieved as of September 29, 2023. For both the three and nine months ended September 30, 2022 , 124 thousand shares of performance-based restricted stock units were excluded from the calculation of the denominator because they were attainment-based contingently issuable shares and the related performance targets had not been achieved as of September 30, 2022 .

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 29, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	5. Fair Value Measurements ASC 820, “Fair Value Measurements,” establishes a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the third is considered unobservable: • Level 1: Quoted prices for identical assets or liabilities in active markets which the Company can access • Level 2: Observable inputs other than those described in Level 1 • Level 3: Unobservable inputs Current Assets and Liabilities The Company’s cash equivalents are highly liquid investments with original maturities of three months or less, which represent assets measured at fair value on a recurring basis. The Company determines the fair value of cash equivalents using a market approach based on quoted prices in active markets. The fair values of cash equivalents, accounts receivable, income taxes receivable, accounts payable, income taxes payable and accrued expenses and other current liabilities approximate their carrying values because of their short-term nature. Foreign Currency Contracts The Company addresses market risks from changes in foreign currency exchange rates through a risk management program that includes the use of derivative financial instruments to mitigate certain balance sheet foreign currency transaction exposures. The Company uses foreign currency forward contracts as a part of its strategy to manage exposures related to foreign currency denominated monetary assets and liabilities. The fair value of these foreign currency forward contracts is reported either in other current assets or in other current liabilities as of the end of the period. Contingent Considerations On July 31, 2019, the Company acquired ARGES GmbH (“ARGES ”). Under the purchase and sale agreement for the ARGES acquisition, the former owner of ARGES is eligible to receive contingent consideration based on the achievement of certain revenue targets by the Company from August 2019 through December 2026. The undiscounted range of possible contingent consideration is zero to € 10.0 million ($ 11.1 million). If the revenue targets are achieved, the contingent consideration would be payable annually with the first payment due in the first quarter of 2021. The estimated fair value of the contingent consideration of € 7.1 million ($ 7.9 million) was determined based on the Monte Carlo valuation method and was recorded as part of the purchase price as of the acquisition date. Subsequent changes in the estimated fair value of the contingent consideration liability are recorded in the consolidated statement of operations in restructuring, acquisition, and related costs until the liability is fully settled. During 2020, the fair value of the contingent consideration was adjusted to € 4.1 million ($ 5.1 million). During 2021, the Company made the first installment payment of € 0.4 million ($ 0.4 million) in March 2021 and adjusted the fair value of the contingent consideration to € 3.3 million ($ 3.8 million) as of December 31, 2021. During 2022, the Company made the second installment payment of € 0.3 million ($ 0.4 million) in March 2022 and adjusted the fair value of the contingent consideration to € 0.4 million ($ 0.4 million). During the nine months ended September 29, 2023, the Company made the third installment payment of € 0.1 million ($ 0.1 million). The installment payments have been reported as cash outflows from financing activities in the consolidated statement of cash flows for the respective periods. Based on the revenue performance and revenue projections as of September 29, 2023, the Company did no t make any adjustments to the fair value of the remaining contingent consideration during the nine months ended September 29, 2023. Summary by Fair Value Hierarchy The following table summarizes the fair values of the Company’s assets and liabilities measured at fair value on a recurring basis as of September 29, 2023 (in thousands): Quoted Prices in Significant Other Active Markets for Significant Other Unobservable Identical Assets Observable Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Assets Cash equivalents $ 1,724 $ 1,724 $ — $ — Prepaid expenses and other current assets: Foreign currency forward contracts 237 — 237 — $ 1,961 $ 1,724 $ 237 $ — Liabilities Accrued expenses and other current liabilities: Contingent considerations - Current $ 45 $ — $ — $ 45 Foreign currency forward contracts 23 — 23 — Other liabilities: Contingent considerations - Long-term 296 — — 296 $ 364 $ — $ 23 $ 341 The following table summarizes the fair values of the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2022 (in thousands): Quoted Prices in Significant Other Active Markets for Significant Other Unobservable Identical Assets Observable Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Assets Cash equivalents $ 1,369 $ 1,369 $ — $ — Prepaid expenses and other current assets: Foreign currency forward contracts 391 — 391 — $ 1,760 $ 1,369 $ 391 $ — Liabilities Accrued expenses and other current liabilities: Contingent considerations - Current $ 124 $ — $ — $ 124 Foreign currency forward contracts 412 — 412 — Other liabilities: Contingent considerations - Long-term 301 — — 301 $ 837 $ — $ 412 $ 425 Changes in the fair value of Level 3 contingent considerations during the nine months ended September 29, 2023 were as follows (in thousands): Amount Balance at December 31, 2022 $ 425 Payments ( 81 ) Fair value adjustments — Effect of foreign exchange rates ( 3 ) Balance at September 29, 2023 $ 341 See Note 9 to Consolidated Financial Statements for a discussion of the estimated fair value of the Company’s outstanding debt.

Foreign Currency Contracts

Foreign Currency Contracts	9 Months Ended
	Sep. 29, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Foreign Currency Contracts	6. Foreign Currency Contracts The Company addresses market risks from changes in foreign currency exchange rates through a risk management program that includes the use of derivative financial instruments to mitigate certain foreign currency transaction exposures from future settlement of non-functional currency monetary assets and liabilities as of the end of a period. The Company does not enter into derivative transactions for speculative purposes. Gains and losses on derivative financial instruments substantially offset losses and gains on the underlying hedged exposures and are included in foreign exchange transaction gains (losses) in the consolidated statements of operations. Furthermore, the Company manages its exposures to counterparty risks on derivative instruments by entering into contracts with a diversified group of major financial institutions and by actively monitoring outstanding positions. As of September 29, 2023, the aggregate notional amount and fair value of the Company’s foreign currency forward contracts was $ 163.5 million and a net gain of $ 0.2 million, respective ly. As of December 31, 2022, the aggregate notional amount and fair value of the Company’s foreign currency forward contracts was $ 117.1 million and a net loss of less than $ 0.1 million, respectively. The Company recognized an aggregate net loss of $ 0.2 million and aggregate net gain of $ 2.5 million for the three and nine months ended September 29, 2023, respectively. The Company recognized an aggregate net loss of $ 0.8 million and $ 2.3 million for the three and nine months ended September 30, 2022, respectively .

Goodwill and Intangible Assets

Goodwill and Intangible Assets	9 Months Ended
	Sep. 29, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	7. Goodwill and Intangible Assets Goodwill Goodwill is recorded when the consideration for a business combination exceeds the fair value of net tangible and identifiable intangible assets acquired. The Company tests its goodwill balances for impairment annually as of the beginning of the second quarter or more frequently if indicators are present or changes in circumstances suggest that an impairment may exist. The Company performed the most recent annual goodwill and indefinite-lived intangible asset impairment test as of the beginning of the second quarter of 2023 and noted no impairment. The following table summarizes changes in goodwill during the nine months ended September 29, 2023 (in thousands): Balance at beginning of the period $ 478,897 Effect of foreign exchange rate changes ( 1,255 ) Balance at end of the period $ 477,642 Goodwill by reportable segment as of September 29, 2023 was as follows (in thousands): Reportable Segment Precision Medicine and Manufacturing Medical Solutions Robotics and Automation Total Goodwill $ 208,110 $ 166,905 $ 253,856 $ 628,871 Accumulated impairment of goodwill ( 102,461 ) ( 31,722 ) ( 17,046 ) ( 151,229 ) Total $ 105,649 $ 135,183 $ 236,810 $ 477,642 Goodwill by reportable segment as of December 31, 2022 was as follows (in thousands): Reportable Segment Precision Medicine and Manufacturing Medical Solutions Robotics and Automation Total Goodwill $ 208,387 $ 167,891 $ 253,848 $ 630,126 Accumulated impairment of goodwill ( 102,461 ) ( 31,722 ) ( 17,046 ) ( 151,229 ) Total $ 105,926 $ 136,169 $ 236,802 $ 478,897 Intangible Assets Intangible assets as of September 29, 2023 and December 31, 2022, respectively, are summarized as follows (in thousands): September 29, 2023 December 31, 2022 Gross Carrying Accumulated Net Carrying Gross Carrying Accumulated Net Carrying Amortizable intangible assets: Patents and developed technologies $ 184,246 $ ( 141,182 ) $ 43,064 $ 184,589 $ ( 132,350 ) $ 52,239 Customer relationships 221,706 ( 135,476 ) 86,230 222,173 ( 121,527 ) 100,646 Trademarks and trade names 23,297 ( 14,522 ) 8,775 23,311 ( 13,457 ) 9,854 Amortizable intangible assets 429,249 ( 291,180 ) 138,069 430,073 ( 267,334 ) 162,739 Non-amortizable intangible assets: Trade names 13,027 — 13,027 13,027 — 13,027 Total intangible assets $ 442,276 $ ( 291,180 ) $ 151,096 $ 443,100 $ ( 267,334 ) $ 175,766 All definite-lived intangible assets are amortized either on a straight-line basis or an economic benefit basis over their remaining estimated useful life. Amortization expense for patents and developed technologies is included in cost of revenue in the accompanying consolidated statements of operations. Amortization expense for customer relationships and definite-lived trademarks, trade names and other intangibles is included in operating expenses in the accompanying consolidated statements of operations. Amortization expense was as follows (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Amortization expense – cost of revenue $ 3,051 $ 3,247 $ 9,119 $ 10,004 Amortization expense – operating expenses 5,131 6,472 15,344 20,987 Total amortization expense $ 8,182 $ 9,719 $ 24,463 $ 30,991 As of September 29, 2023, estimated amortization expense for each of the five succeeding years and thereafter was as follows (in thousands): Year Ending December 31, Cost of Revenue Operating Total 2023 (remainder of year) $ 3,005 $ 5,065 $ 8,070 2024 9,771 16,998 26,769 2025 8,289 14,378 22,667 2026 6,933 12,227 19,160 2027 4,197 9,861 14,058 Thereafter 10,869 36,476 47,345 Total $ 43,064 $ 95,005 $ 138,069

Supplementary Balance Sheet Inf

Supplementary Balance Sheet Information	9 Months Ended
	Sep. 29, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Supplementary Balance Sheet Information	8. Supplementary Balance Sheet Information The following tables provide the details of selected balance sheet items as of the periods indicated (in thousands): Inventories September 29, December 31, 2023 2022 Raw materials $ 109,067 $ 118,292 Work-in-process 21,266 23,328 Finished goods 23,096 25,738 Demo and consigned inventory 380 639 Total inventories $ 153,809 $ 167,997 Accrued Expenses and Other Current Liabilities September 29, December 31, 2023 2022 Accrued compensation and benefits $ 26,691 $ 35,501 Accrued warranty 5,498 5,127 Contract liabilities, current portion 6,576 8,128 Finance lease obligations 708 668 Other 14,902 13,620 Total $ 54,375 $ 63,044 Accrued Warranty Nine Months Ended September 29, September 30, 2023 2022 Balance at beginning of the period $ 5,127 $ 4,783 Provision charged to cost of revenue 1,837 2,091 Use of provision ( 1,467 ) ( 1,933 ) Foreign currency exchange rate changes 1 ( 203 ) Balance at end of the period $ 5,498 $ 4,738 Other Long-Term Liabilities September 29, December 31, 2023 2022 Finance lease obligations $ 4,117 $ 4,652 Accrued contingent considerations and earn-outs 296 301 Other 792 1,132 Total $ 5,205 $ 6,085

Debt

Debt	9 Months Ended
	Sep. 29, 2023
Debt Disclosure [Abstract]
Debt	9. Debt Outstanding debt consisted of the following (in thousands): September 29, December 31, 2023 2022 Senior Credit Facilities – term loan $ 4,763 $ 4,832 Less: unamortized debt issuance costs ( 27 ) ( 32 ) Total current portion of long-term debt $ 4,736 $ 4,800 Senior Credit Facilities – term loan $ 72,400 $ 77,060 Senior Credit Facilities – revolving credit facility 279,423 358,413 Less: unamortized debt issuance costs ( 3,944 ) ( 4,811 ) Total long-term debt $ 347,879 $ 430,662 Total Senior Credit Facilities $ 352,615 $ 435,462 Senior Credit Facilities On December 31, 2019, the Company entered into an amended and restated credit agreement (the “Third Amended and Restated Credit Agreement”) with existing lenders for an aggregate credit facility of $ 450.0 million, consisting of a $ 100.0 million U.S. dollar equivalent euro-denominated (approximately € 90.2 million) 5 -year term loan facility and a $ 350.0 million 5 -year revolving credit facility (collectively, the “Senior Credit Facilities”). The outstanding principal balance under the term loan facility is payable in quarterly installments of € 1.1 million that began in March 2020, with the remaining balance due upon maturity. The Company may make additional principal payments at any time, which will reduce the next quarterly installment payment due. Borrowings under the revolving credit facility may be repaid at any time until maturity. The Company made principal payments of € 3.4 million ($ 3.6 million) towards its term loan and $ 78.4 million towards its revolving credit facility during the nine months ended September 29, 2023. On March 27, 2020, the Company entered into an amendment (the “First Amendment”) to the Third Amended and Restated Credit Agreement and exercised a portion of the uncommitted accordion option. The First Amendment increased the revolving credit facility commitment under the Third Amended and Restated Credit Agreement by $ 145.0 million, from $ 350.0 million to $ 495.0 million, and reset the uncommitted accordion option to $ 200.0 million for potential future expansion. On October 5, 2021, the Company entered into an amendment (the “Fourth Amendment”) to the Third Amended and Restated Credit Agreement to exercise the accordion option. The Fourth Amendment increased the revolving credit facility commitment under the Third Amended and Restated Credit Agreement by $ 200.0 million, from $ 495.0 million to $ 695.0 million, and reset the uncommitted accordion option to $ 200.0 million for potential future expansion. On March 10, 2022, the Company entered into an amendment (the “Fifth Amendment”) to the Third Amended and Restated Credit Agreement to extend the maturity date from December 31, 2024 to March 10, 2027, update the pricing grid, replace LIBOR with SOFR as the reference rate for U.S. dollar borrowings, and increase the uncommitted accordion option from $ 200 million to $ 350 million. In connection with the Fifth Amendment, the Company capitalized $ 2.5 million deferred financing costs and recorded a $ 0.6 million loss from the write-off of a portion of the unamortized deferred financing costs. The Company is required to satisfy certain financial and non-financial covenants under the Third Amended and Restated Credit Agreement. The Third Amended and Restated Credit Agreement also contains customary events of default. The Company was in compliance with these covenants as of September 29, 2023. Liens The Company’s obligations under the Senior Credit Facilities are secured, on a senior basis, by a lien on substantially all of the assets of Novanta Inc. Fair Value of Debt As of September 29, 2023 and December 31, 2022, the outstanding balance of the Company’s debt approximated its fair value based on current rates available to the Company for debt of similar maturities. The fair value of the Company’s debt is classified as Level 2 under the fair value hierarchy.

Leases

Leases	9 Months Ended
	Sep. 29, 2023
Leases [Abstract]
Leases	10. Leases Most leases held by the Company expire between 2023 and 2036 . In the U.K., where longer lease terms are more common, the Company has a land lease that extends through 2078 . Certain leases include one or more options to renew, with renewal terms that can extend the lease term from one to ten years , and options to terminate the leases within one year . The exercise of lease renewal or termination options is at the Company’s sole discretion; therefore, the majority of renewal options to extend the lease terms are not included in the Company’s right-of-use assets and operating lease liabilities as they are not reasonably certain of being exercised. The Company regularly evaluates the renewal options and includes the renewal periods in the lease term when they are reasonably certain of being exercised. The depreciable lives of the right-of-use assets and leasehold improvements are limited to the expected lease terms. The following table summarizes the components of lease costs (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Operating lease cost $ 2,639 $ 2,544 $ 7,916 $ 7,936 Finance lease cost Amortization of right-of-use assets 150 150 452 451 Interest on lease liabilities 68 77 208 234 Variable lease cost 227 271 787 888 Total lease cost $ 3,084 $ 3,042 $ 9,363 $ 9,509 The following table provides additional details of balance sheet information related to the Company’s leases (in thousands, except lease term and discount rate): September 29, December 31, 2023 2022 Operating leases Operating lease right-of-use assets $ 40,527 $ 43,317 Current portion of operating lease liabilities $ 8,072 $ 7,793 Operating lease liabilities 38,577 40,808 Total operating lease liabilities $ 46,649 $ 48,601 Finance leases Property, plant and equipment, gross $ 9,582 $ 9,582 Accumulated depreciation ( 6,122 ) ( 5,670 ) Finance lease assets included in property, plant and equipment, net $ 3,460 $ 3,912 Accrued expenses and other current liabilities $ 708 $ 668 Other liabilities 4,117 4,652 Total finance lease liabilities $ 4,825 $ 5,320 Weighted-average remaining lease term (in years): Operating leases 7.7 8.2 Finance leases 5.8 6.5 Weighted-average discount rate: Operating leases 4.84 % 4.64 % Finance leases 5.54 % 5.54 % The following table provides additional details of cash flow information related to the Company’s leases (in thousands): Nine Months Ended September 29, September 30, 2023 2022 Cash paid for amounts included in lease liabilities: Operating cash flows from finance leases $ 208 $ 234 Operating cash flows from operating leases $ 5,916 $ 5,921 Financing cash flows from finance leases $ 484 $ 447 Supplemental non-cash information: Right-of-use assets obtained in exchange for new operating lease liabilities $ 3,893 $ 4,621 Future minimum lease payments under operating and finance leases expiring subsequent to September 29, 2023, including operating leases associated with facilities that have been vacated as a result of the Company’s restructuring actions, are summarized as follows (in thousands): Year Ending December 31, Operating Leases Finance Leases 2023 (remainder of year) $ 2,426 $ 238 2024 9,617 954 2025 9,386 954 2026 7,945 979 2027 7,066 1,003 Thereafter 20,832 1,505 Total minimum lease payments 57,272 5,633 Less: Interest ( 10,623 ) ( 808 ) Present value of lease liabilities $ 46,649 $ 4,825

Preferred and Common Shares and

Preferred and Common Shares and Share-Based Compensation	9 Months Ended
	Sep. 29, 2023
Share-Based Payment Arrangement [Abstract]
Preferred and Common Shares and Share-Based Compensation	11. Preferred and Common Shares and Share-Based Compensation Preferred Shares In May 2021, the Company’s shareholders approved a special resolution to amend the Company’s articles to authorize up to 7.0 million preferred shares for future issuance. The Company’s Board of Directors is authorized to designate and issue one or more series of preferred shares, fix the rights, preferences and designation, as deemed necessary or advisable, relating to the preferred shares, provided that no shares of any series may be entitled to more than one vote per share . As of September 29, 2023 , no preferred shares had been issued and outstanding. Common Share Repurchases In February 2020, the Company’s Board of Directors approved a new share repurchase plan (the “2020 Repurchase Plan”), authorizing the repurchase of $ 50.0 million worth of the Company’s common shares. During the nine months ended September 30, 2022 , the Company repurchased 4 thousand shares under the 2020 Repurchase Plan for an aggregate purchase price of $ 0.5 million and an average price of $ 116.95 per share. During the nine months ended September 29, 2023, the Company did not repurchase any shares. As of September 29, 2023 , the Company had $ 49.5 million available for future share repurchases under the 2020 Repurchase Plan. Share-Based Compensation Expense The table below summarizes share-based compensation expense recorded in the consolidated statements of operations (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Selling, general and administrative $ 5,229 $ 4,649 $ 15,631 $ 13,906 Research and development and engineering 510 586 1,495 1,780 Cost of revenue 298 719 1,252 2,123 Total share-based compensation expense $ 6,037 $ 5,954 $ 18,378 $ 17,809 Share-based compensation expense reported in selling, general and administrative expenses included expenses related to restricted stock units and deferred stock units granted to the members of the Company’s Board of Directors of $ 1.2 million and $ 1.1 million during the nine months ended September 29, 2023 and September 30, 2022, respectively. Restricted Stock Units and Deferred Stock Units The Company’s restricted stock units (“RSUs”) have generally been issued with vesting periods ranging from zero to five years and vest based solely on service conditions. Accordingly, the Company recognizes compensation expense on a straight-line basis over the requisite service period. The Company reduces the compensation expense by an estimated forfeiture rate which is based on anticipated forfeitures and historical forfeiture experience. Deferred stock units (“DSUs”) are granted to the members of the Company’s Board of Directors (the “Board”). Compensation expense associated with the DSUs is recognized in full on the date of grant, as the DSUs are fully vested and non-forfeitable upon grant. Outstanding DSUs are converted into common shares upon Board members' resignation or retirement from the Board. There were 41 thousand and 38 thousand DSUs outstanding as of September 29, 2023 and December 31, 2022, respectively. Outstanding DSUs are included in the calculation of weighted average basic shares outstanding for the respective periods. The table below summarizes activities relating to RSUs and DSUs issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the nine months ended September 29, 2023: Shares Weighted Unvested at December 31, 2022 238 $ 128.26 Granted 91 $ 156.47 Vested ( 102 ) $ 122.48 Forfeited ( 24 ) $ 139.50 Unvested at September 29, 2023 203 $ 142.72 Expected to vest as of September 29, 2023 185 The total fair value of RSUs and DSUs that vested during the nine months ended September 29, 2023 was $ 15.2 million based on the market price of the underlying shares on the date of vesting. Performance Stock Units The Company typically grants performance-based restricted stock unit awards (“PSUs”) that are based on the Company's financial metrics, market conditions, or a hybrid of financial metrics and market conditions. These performance stock unit awards generally cliff vest on the first day following the end of the specified performance period. The number of common shares to be issued upon settlement following vesting of attainment-based PSUs is determined based on the Company’s financial metrics over the specified performance period against the targets established by the Company’s Board of Directors at the time of grant and will be in the range of zero to 200 % of the target number of shares. The Company recognizes compensation expense ratably over the performance period based on the number of shares that are deemed probable of vesting at the end of the specified performance period. This probability assessment is performed quarterly and the cumulative effect of a change in the estimated compensation expense, if any, is recognized in the consolidated statement of operations in the period in which such determination is made. The number of common shares to be issued upon settlement following vesting of market-based PSUs is determined based on the relative market performance of the Company’s common stock compared to the Russell 2000 Index over the specified performance period using a payout formula established by the Company’s Board of Directors at the time of grant and will be in the range of zero to 200 % of the target number of shares. The Company recognizes the related compensation expense based on the fair value of the market-based PSUs, determined using the Monte-Carlo valuation model as of the grant date, on a straight-line basis from the grant date to the end of the specified performance period. Compensation expense on market-based PSUs will not be affected by the number of shares that will ultimately vest at the end of the specified performance period. The number of common shares to be issued upon settlement following vesting of PSU awards that are based on the achievement of a hybrid of financial metrics and market conditions (“Hybrid PSUs”) is determined based on the Company's financial metrics achieved over the specified performance period against the targets established by the Company's Board of Directors at the time of grant with a market condition multiplier and will be in the range of zero to 260 % of the target number of shares. The Company determines the fair value of these Hybrid PSUs using the Monte-Carlo valuation model as of the grant date. The Company recognizes compensation expense associated with the Hybrid PSUs ratably over the performance period based on the fair value of the PSUs as of the grant date and the number of shares that are deemed probable of vesting at the end of the specified performance period. The probability assessment is performed quarterly and the cumulative effect of a change in the estimated compensation expense, if any, is recognized in the consolidated statement of operations in the period in which such determination is made. The table below summarizes the activities relating to the performance-based awards issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the nine months ended September 29, 2023: Shares Weighted Unvested at December 31, 2022 216 $ 144.16 Granted 57 $ 179.15 Performance adjustments (1) 20 $ 122.24 Vested ( 70 ) $ 116.56 Forfeited ( 16 ) $ 168.97 Unvested at September 29, 2023 207 $ 160.40 Expected to vest as of September 29, 2023 246 (1) The amount shown represents performance adjustments related to the performance-based awards granted on February 20, 2020. These performance-based awards vested at a blended payout of 142 % during the nine months ended September 29, 2023 based on the achievement of cumulative Non-GAAP EPS and applicable relative TSR performance conditions, respectively, over the performance period of fiscal years 2020 through 2022. The unvested PSUs are shown at target payout levels in the table above. As of September 29, 2023 , the maximum number of common shares that could be earned under these PSU grants was approximately 369 thousand shares. The total fair value of PSUs that vested during the nine months ended September 29, 2023 was $ 9.9 million based on the market price of the underlying common shares on the date of vesting. The grant-date fair value of the hybrid PSUs granted during the nine months ended September 29, 2023 was estimated using the Monte Carlo valuation method with the following assumptions: Nine Months Ended Grant-date stock price $ 156.72 Expected volatility 35.89 % Risk-free interest rate 4.44 % Expected annual dividend yield — Fair value $ 181.45 Stock Options In February 2023, the Company granted 48 thousand nonqualified stock options to certain members of the executive management team to purchase common shares of the Company at a strike price equal to the closing market price on the date of grant. The stock options vest ratably over three years on the anniversary of the date of grant and expire on the seven th anniversary of the date of grant. The Company estimates the fair value of stock options using the Black-Scholes valuation model. The Company recognizes compensation expense related to the stock options on a straight-line basis over the vesting period in the consolidated statement of operations. The table below summarizes the activities relating to stock options issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the nine months ended September 29, 2023: Shares Weighted Outstanding as of December 31, 2022 84 $ 72.18 Granted 48 $ 156.72 Exercised — $ — Forfeited or expired — $ — Outstanding as of September 29, 2023 132 $ 102.86 Exercisable as of September 29, 2023 57 Expected to vest as of September 29, 2023 75 The aggregate Black-Scholes fair value of $ 3.0 million for the stock options granted during the nine months ended September 29, 2023 was estimated using the following assumptions as of the grant date: Nine Months Ended Expected option term in years 4.5 Expected volatility 40.7 % Risk-free interest rate 4.00 % Expected annual dividend yield — The expected option term was calculated using the simplified method permitted under Codification of Staff Accounting Bulletins Topic 14, “Share-Based Payment”. The expected volatility was determined based on the historical volatility of the Company’s common shares over the expected option term. The risk-free interest rate was based on treasury instrument whose term was six months longer than the expected option term. The expected annual dividend yield is zero as the Company does not have plans to issue dividends.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 29, 2023
Income Tax Disclosure [Abstract]
Income Taxes	12. Income Taxes The Company determines its estimated annual effective tax rate at the end of each interim period based on full-year forecasted pre-tax income and facts known at that time. The estimated annual effective tax rate is applied to the year-to-date pre-tax income at the end of each interim period with the cumulative effect of any changes in the estimated annual effective tax rate being recorded in the period in which the changes are determined. The tax effect of significant unusual items is reflected in the period in which they occur. Since the Company is incorporated in Canada, it is required to use Canada’s statutory tax rate of 29.0 % in the determination of the estimated annual effective tax rate. The Company maintains a valuation allowance on balances of certain U.S. state net operating losses, credits and certain non-U.S. tax attributes that the Company has determined are not more likely than not to be realized. A valuation allowance is required when, based upon an assessment of various factors, including recent operating loss history, anticipated future earnings, and prudent and reasonable tax planning strategies, it is more likely than not that some portion of the deferred tax assets will not be realized. In conjunction with the Company’s ongoing review of its actual results and anticipated future earnings, the Company continuously reassesses the possibility of adding a new or additional valuation allowance or releasing the valuation allowance currently in place on its deferred tax assets. The Company’s effective tax rate of 7.7 % for the three months ended September 29, 2023 differs from the Canadian statutory tax rate of 29.0 % primarily due to the mix of income earned in jurisdictions with varying tax rates, estimated deductions for Foreign Derived Intangible Income, U.K. patent box deductions, R&D tax credits, and tax benefits of share-based compensation awards, partially offset by disallowed compensation deductions and uncertain tax position accruals. The Company’s effective tax rate of 11.2 % for the nine months ended September 29, 2023 differs from the Canadian statutory tax rate of 29.0 % primarily due to the mix of income earned in jurisdictions with varying tax rates, estimated deductions for Foreign Derived Intangible Income, U.K. patent box deductions, R&D tax credits, and tax benefits of share-based compensation awards, partially offset by disallowed compensation deductions and uncertain tax position accruals. For the nine months ended September 29, 2023, the tax benefits of share-based compensation awards had a benefit of 4.5 % on the Company’s effective tax rate. The Company’s effective tax rate of 16.0 % for the three months ended September 30, 2022 differs from the Canadian statutory tax rate of 29.0 % primarily due to the mix of income earned in jurisdictions with varying tax rates, estimated deductions for Foreign Derived Intangible Income, U.K. patent box deductions and R&D tax credits, partially offset by disallowed compensation deductions and uncertain tax position accruals. The Company’s effective tax rate of 13.8 % for the nine months ended September 30, 2022 differs from the Canadian statutory tax rate of 29.0 % primarily due to the mix of income earned in jurisdictions with varying tax rates, estimated deductions for Foreign Derived Intangible Income, U.K. patent box deductions, R&D tax credits, and tax benefits of share-based compensation awards, partially offset by disallowed compensation deductions and uncertain tax position accruals. For the nine months ended September 30, 2022, the tax benefits of share-based compensation awards had a benefit of 0.2 % on the Company’s effective tax rate.

Restructuring, Acquisition, and

Restructuring, Acquisition, and Related Costs	9 Months Ended
	Sep. 29, 2023
Restructuring and Related Activities [Abstract]
Restructuring, Acquisition, and Related Costs	13. Restructuring, Acquisition, and Related Costs The following table summarizes restructuring, acquisition, and related costs in the accompanying consolidated statements of operations (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 2022 restructuring $ 2,450 $ 889 $ 5,324 $ 889 2020 restructuring 1,880 887 2,613 2,119 Total restructuring charges 4,330 1,776 7,937 3,008 Acquisition and related charges 151 ( 151 ) 254 ( 358 ) Total restructuring, acquisition, and related costs $ 4,481 $ 1,625 $ 8,191 $ 2,650 2022 Restructuring As a result of the Company’s ongoing evaluations and efforts to reduce its operating costs, while improving efficiency and effectiveness, the Company initiated the 2022 restructuring program in the third quarter of 2022. This program is focused on reducing operating complexity in the Company, including reducing infrastructure costs and streamlining the Company’s operating model to better serve its customers. In addition, the program is focused on cost reduction actions that improve gross margins for the overall company in line with the Company's multi-year gross margin expansion program. During the three and nine months ended September 29, 2023 , the Company recorded $ 2.5 million and $ 5.3 million, respectively, in severance, facility related, and other charges in connection with the 2022 restructuring program. As of September 29, 2023, the Company had incurred cumulative cost s of $ 6.7 million rel ated to this restructuring plan. The Company anticipates substantially completing the 2022 restructuring program by the end of 2023 an d expects to incur additional restructuring charges of $ 2.5 million to $ 3.0 million related to the 2022 restructuring program. The following table summarizes restructuring costs associated with the 2022 restructuring program by reportable segment (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 76 $ 889 $ 1,064 $ 889 Medical Solutions 253 — 293 — Robotics and Automation 1,632 — 3,168 — Unallocated Corporate and Shared Services 489 — 799 — Total $ 2,450 $ 889 $ 5,324 $ 889 2020 Restructuring The Company initiated the 2020 restructuring program in the third quarter of 2020. This program is focused on reducing operating complexity in the Company, including reducing infrastructure costs and streamlining the Company’s operating model to bett er serve its customers. In addition, the program is focused on cost reduction actions that improve gross margins for the overall company. During the three and nine months ended September 29, 2023 , the Company recorded $ 1.9 million and $ 2.6 million respectively, in severance, facility related, and other costs in connection with the 2020 restructuring program. As of September 29, 2023 , the Company had incurred cumulative costs of $ 16.5 million related to this restructuring plan. The 2020 restructuring program was substantially completed in the third quarter of 2023. The following table summarizes restructuring costs associated with the 2020 restructuring program by reportable segment (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 1,543 $ 758 $ 2,050 $ 1,952 Medical Solutions — 101 — 207 Robotics and Automation 337 22 563 ( 46 ) Unallocated Corporate and Shared Services — 6 — 6 Total $ 1,880 $ 887 $ 2,613 $ 2,119 Rollforward of Accrued Expenses Related to Restructuring The following table summarizes the accrual activities, by component, related to the Company’s restructuring plans recorded in the accompanying consolidated balance sheets (in thousands): Total Employee Related Facility Related Other Balance at December 31, 2022 $ 2,410 $ 1,902 $ 452 $ 56 Restructuring charges 7,937 4,799 1,929 1,209 Cash payments ( 5,969 ) ( 4,803 ) ( 600 ) ( 566 ) Non-cash write-offs and other adjustments (1) ( 1,346 ) 20 ( 823 ) ( 543 ) Balance at September 29, 2023 $ 3,032 $ 1,918 $ 958 $ 156 (1) Non-cash write-offs and other adjustments included impairment of assets amounting to $ 1.4 million. Acquisition and Related Charges Acquisition costs in connection with business combinations, including finders’ fees, legal, valuation, and other professional or consulting fees, totaled $ 0.2 million and $ 0.3 million for the three and nine months ended September 29, 2023 , and $ 0.8 million and $ 1.1 million for the three and nine months ended September 30, 2022, respectively. During the three and nine months ended September 30, 2022 , the Company recognized a reduction of $ 1.0 million and $ 1.4 million, respectively, in earn-out expenses related to prior-year acquisitions. The majority of acquisition and related costs for the three and nine months ended September 29, 2023 were included in the Company’s Unallocated Corporate and Shared Services reportable segment. The majority of acquisition and related costs for the three and nine months ended September 30, 2022 were included in the Company’s Precision Medicine and Manufacturing, Robotics and Automation, and Unallocated Corporate and Shared Services reportable segments.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 29, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	14. Commitments and Contingencies Purchase Commitments There have been no material changes to the Company’s purchase commitments since December 31, 2022. Business Interruption Insurance Recoveries The Company made an insurance claim to recover lost margin and additional costs incurred in connection with a fire at a key supplier that caused business interruption in the second half of 2022. During the three and nine months ended September 29, 2023, the Company received insurance recovery payments of $ 4.4 million and $ 5.0 million, respectively, which have been recorded as a reduction to cost of revenue. The insurance claim was fully settled as of September 29, 2023. Legal Contingencies The Company is subject to various legal proceedings and claims that arise in the ordinary course of business. The Company reviews the status of each significant matter and assesses the potential financial exposure on a quarterly basis. If the potential loss from any claim or legal proceeding is considered probable and the amount can be reasonably estimated, the Company accrues a liability for the estimated loss. Significant judgment is required in both the determination of probability and the determination as to whether an exposure is reasonably estimable. Because of uncertainties related to these matters, accruals are based only on the best information available as of the date of the consolidated balance sheet. As additional information becomes available, the Company reassesses the potential liability related to any pending claims and litigations and may revise its estimates. When a material loss contingency is considered reasonably possible but not probable, the Company does not record a liability, but instead discloses the nature and the amount of the claim, and an estimate of the potential loss or a range of potential losses, if such an estimate can be reasonably made. Legal fees are expensed as incurred. The Company does not believe that the outcome of outstanding claims will have a material adverse effect on its consolidated financial statements but there can be no assurance that any such claims would not have a material adverse effect on the consolidated financial statements. Guarantees and Indemnifications In the normal course of its operations, the Company executes agreements that provide for indemnification and guarantees to counterparties in transactions such as business dispositions, sale of assets, sale of products, and operating leases. Additionally, the by-laws of the Company require it to indemnify certain current or former directors, officers, and employees of the Company against expenses incurred by them in connection with each proceeding in which they are involved as a result of serving or having served in certain capacities. Indemnification is not available with respect to a proceeding as to which it has been adjudicated that the person did not act in good faith in the reasonable belief that the action was in the best interests of the Company. Certain of the Company’s officers and directors are also a party to indemnification agreements with the Company. These indemnification agreements provide, among other things, that the director or officer shall be indemnified to the fullest extent permitted by applicable law against all expenses, judgments, fines and amounts paid in settlement actually and reasonably incurred by such director or officer in connection with any proceeding by reason of their relationship with the Company. In addition, the indemnification agreements provide for the advancement of expenses incurred by such director or officer in connection with any proceeding covered by the indemnification agreement, subject to the conditions set forth therein and to the extent such advancement is not prohibited by law. The indemnification agreements also set out the procedures for determining entitlement to indemnification, the requirements relating to notice and defense of claims for which indemnification is sought, the procedures for enforcement of indemnification rights, the limitations on and exclusions from indemnification, and the minimum levels of directors and officers liability insurance to be maintained by the Company.

Segment Information

Segment Information	9 Months Ended
	Sep. 29, 2023
Segment Reporting [Abstract]
Segment Information	15. Segment Information Reportable Segments The Company’s Chief Operating Decision Maker (“CODM”) utilizes certain financial information to make decisions about allocating resources and assessing performance for the entire Company. The Company evaluates the performance of and allocates resources to its segments based on revenue, gross profit and operating profit. The Company’s reportable segments have been identified based on commonality and adjacency of technologies, applications and customers amongst the Company’s individual product lines. The Company determined that disclosing revenue by specific product is impracticable due to the highly customized and extensive portfolio of technologies offered to customers. Based upon the information provided to the CODM, the Company has determined that it operates in three reportable segments: Precision Medicine and Manufacturing, Medical Solutions, and Robotics and Automation. The reportable segments and their principal activities are described below. Precision Medicine and Manufacturing The Precision Medicine and Manufacturing segment designs, manufactures and markets photonics-based solutions, including laser scanning, laser beam delivery, CO2 laser, solid state laser, ultrafast laser, and optical light engine products. The segment serves highly demanding photonics-based applications for advanced industrial processes, metrology, medical and life science imaging, DNA sequencing, and medical laser procedures, particularly ophthalmology applications. The vast majority of the segment’s product offerings are sold to OEM customers worldwide. The segment sells these products both directly, utilizing a highly technical sales force, and indirectly, through resellers and distributors. Medical Solutions The Medical Solutions segment designs, manufactures and markets a range of medical grade technologies, including medical insufflators, pumps and related disposables; visualization solutions; wireless technologies, video recorder and video integration technologies for operating room integrations; optical data collection and machine vision technologies; radio frequency identification (“RFID”) technologies; thermal chart recorders; spectrometry technologies; and embedded touch screen solutions. The vast majority of the segment’s product offerings are sold to OEM customers worldwide. The segment sells these products both directly, utilizing a highly technical sales force, and indirectly, through resellers and distributors. Robotics and Automation The Robotics and Automation segment designs, manufactures and markets optical and inductive encoders, precision motors, servo drives and motion control solutions, integrated stepper motors, intelligent robotic end-of-arm technology solutions, air bearings, and air bearing spindles. The vast majority of the segment’s product offerings are sold to OEM customers worldwide. The segment sells these products both directly, utilizing a highly technical sales force, and indirectly, through resellers and distributors. Reportable Segment Financial Information Revenue, gross profit, gross profit margin, operating income (loss), and depreciation and amortization expenses by reportable segment were as follows (in thousands, except percentage data): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Revenue 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 71,277 $ 70,799 $ 215,138 $ 203,042 Medical Solutions 83,378 73,345 244,340 200,911 Robotics and Automation 66,848 78,814 210,615 238,577 Total $ 221,503 $ 222,958 $ 670,093 $ 642,530 Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Gross Profit 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 36,208 $ 34,699 $ 107,054 $ 94,268 Medical Solutions 34,027 28,201 100,170 79,966 Robotics and Automation 32,652 36,832 100,376 113,846 Unallocated Corporate and Shared Services ( 1,296 ) ( 1,324 ) ( 4,258 ) ( 4,151 ) Total $ 101,591 $ 98,408 $ 303,342 $ 283,929 Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Gross Profit Margin 2023 2022 2023 2022 Precision Medicine and Manufacturing 50.8 % 49.0 % 49.8 % 46.4 % Medical Solutions 40.8 % 38.4 % 41.0 % 39.8 % Robotics and Automation 48.8 % 46.7 % 47.7 % 47.7 % Total 45.9 % 44.1 % 45.3 % 44.2 % Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Operating Income (Loss) 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 18,508 $ 18,351 $ 54,803 $ 45,782 Medical Solutions 11,050 8,744 30,974 20,811 Robotics and Automation 12,208 15,800 39,456 48,222 Unallocated Corporate and Shared Services ( 11,457 ) ( 14,234 ) ( 36,414 ) ( 38,580 ) Total $ 30,309 $ 28,661 $ 88,819 $ 76,235 Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Depreciation and Amortization Expenses 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 2,644 $ 2,760 $ 7,901 $ 8,234 Medical Solutions 3,860 4,240 11,877 12,989 Robotics and Automation 4,705 6,050 14,467 19,467 Unallocated Corporate and Shared Services 188 93 820 309 Total $ 11,397 $ 13,143 $ 35,065 $ 40,999 Revenue by Geography The Company aggregates geographic revenue based on the customer locations where products are shipped to. Revenue by geography was as follows (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 United States $ 110,462 $ 99,230 $ 321,898 $ 268,585 Germany 33,263 34,625 100,222 99,526 Rest of Europe 34,257 33,996 98,159 105,327 China 15,679 24,209 54,331 80,877 Rest of Asia-Pacific 24,060 26,886 79,561 74,400 Other 3,782 4,012 15,922 13,815 Total $ 221,503 $ 222,958 $ 670,093 $ 642,530 The majority of revenue from Precision Medicine and Manufacturing, Medical Solutions and Robotics and Automation segments is generated from sales to customers within the United States and Europe. Each segment also generates revenue across the other geographies, with no significant concentration of any segment’s remaining revenue. Revenue by End Market The Company primarily operates in two end markets: the medical market and the advanced industrial market. Revenue by end market was approximately as follows: Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Medical 57 % 50 % 54 % 48 % Advanced Industrial 43 % 50 % 46 % 52 % Total 100 % 100 % 100 % 100 % The majority of revenue from the Precision Medicine and Manufacturing and Robotics and Automation segments is generated from sales to customers in the advanced industrial market. The majority of revenue from the Medical Solutions segment is generated from sales to customers in the medical market.

Basis of Presentation (Policies

Basis of Presentation (Policies)	9 Months Ended
	Sep. 29, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation Novanta Inc. (“Novanta” or the “Company”) is a leading global supplier of core technology solutions that give medical and advanced industrial original equipment manufacturers (“OEMs”) a competitive advantage. Novanta combines deep proprietary technology expertise and competencies in precision medicine and manufacturing, medical solutions, and robotics and automation with a proven ability to solve complex technical challenges. This enables Novanta to engineer core components and sub-systems that deliver extreme precision and performance, tailored to the customers’ demanding applications. The accompanying unaudited interim consolidated financial statements have been prepared by the Company in United States (“U.S.”) dollars and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”), the instructions to Form 10-Q and the provisions of Regulation S-X pertaining to interim financial statements. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the U.S. have been condensed or omitted. The interim consolidated financial statements and notes included in this report should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. In the opinion of management, these interim consolidated financial statements include all adjustments and accruals of a normal and recurring nature necessary to fairly state the results of the interim periods presented. The results for interim periods are not necessarily indicative of results to be expected for the full year or for any future periods. The Company’s unaudited interim consolidated financial statements are prepared for each quarterly period ending on the Friday closest to the end of the calendar quarter, with the exception of the fourth quarter which always ends on December 31. During the first quarter of 2023, the Company changed the names of its reportable segments from “Photonics” to “Precision Medicine and Manufacturing”, from “Vision” to “Medical Solutions”, and from “Precision Motion” to “Robotics and Automation”, respectively. The segment name changes did not result in any change to the compositions of the Company's segments and therefore did not result in any change to historical results.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities as of the dates of the financial statements, and the reported amounts of revenue and expenses during the reporting periods. Estimates and assumptions are reviewed on an on-going basis and the effects of revisions are reflected in the period in which such revisions are deemed to be necessary. The Company evaluates its estimates based on historical experience, current conditions, and various other assumptions that it believes are reasonable under the circumstances. Actual results could differ significantly from these estimates.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In October 2023, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) 2023-06, “Disclosure Improvements: Codification Amendments in Response to SEC’s Disclosure Update and Simplification Initiative.” ASU 2023-06 clarifies or improves disclosure and presentation requirements of a variety of topics, which allow users to easily compare entities subject to the SEC’s existing disclosures with those entities that were not previously subject to the requirements and align the requirements in the FASB Accounting Standards Codification with the SEC’s regulations. The effective date for each amendment in ASU 2023-06 will be the date on which the SEC’s removal of that related disclosure from Regulation S-X or Regulation S-K becomes effective, with early adoption prohibited. The Company is currently evaluating the impact of ASU 2023-06 on its consolidated financial statements.
Revenue Recognition	The Company recognizes revenue when control of promised goods or services is transferred to customers. The transfer of control generally occurs upon shipment when title and risk of loss pass to the customer. The vast majority of the Company’s revenue is generated from the sale of distinct products. Revenue is measured as the amount of consideration the Company expects to receive in exchange for such products, which is generally at contractually stated prices. Sales taxes and value added taxes collected concurrently with revenue generating activities are excluded from revenue. Performance Obligations Substantially all of the Company’s revenue is recognized at a point in time, upon shipment, rather than over time. At the request of its customers, the Company may perform professional services, generally for the maintenance and repair of products previously sold to those customers and for engineering services. Professional services for the maintenance and repair of products are typically short in duration, mostly less than one month , and generally involve a single distinct performance obligation. The related revenue is recognized at a point in time when control transfers to the customer upon completion of professional services. The consideration expected to be received in exchange for such services is typically the contractually stated amount. Certain engineering services are longer in duration and the related revenue is recognized over time. As the Company’s right to payment from a customer is based on the value of engineering services performed, the Company recognizes revenue based on the corresponding value to the customer from the Company’s performance completed to date. Revenue from engineering services aggregated to less than 3 % of the Company’s consolidated revenue during the nine months ended September 29, 2023 and September 30, 2022. The Company occasionally sells separately priced non-standard/extended warranty services or preventative maintenance plans with the sale of products. The transfer of control over the service plans is over time. The Company recognizes the related revenue ratably over the terms of the service plans. The transaction price of a contract is allocated to each performance obligation based on its relative standalone selling price. Standalone selling prices are generally determined based on the prices charged to customers or using the expected cost plus a margin. Shipping & Handling Costs The Company accounts for shipping and handling activities that occur after the transfer of control over the related goods as fulfillment activities rather than performance obligations. Shipping and handling fees charged to customers are recognized as revenue and the related costs are recorded in cost of revenue at the time of transfer of control. Warranties The standard warranty periods for the Company’s products are typically 12 months to 36 months . The Company recognizes estimated liabilities associated with standard warranty periods for its products in accordance with the provisions of ASC 450, “Contingencies,” as the Company has the ability to ascertain the likelihood of the liabilities and can reasonably estimate the amount of the liabilities. A provision for the estimated cost related to standard warranties is recorded as cost of revenue at the time revenue is recognized. The Company’s estimate of the costs to service the warranty obligations is based on historical experience and expectations of future conditions. To the extent that the Company’s experience in warranty claims or costs associated with servicing those claims differ from the original estimates, revisions to the estimated warranty liabilities are recorded at that time, with offsetting adjustments to cost of revenue. Practical Expedients and Exemptions The Company expenses incremental direct costs of obtaining a contract when incurred because the expected amortization period is typically one year or less. These costs are recorded within selling, general and administrative expenses in the consolidated statement of operations. The Company does not adjust the promised amount of consideration for the effects of a financing component because the transfer of a promised good to a customer and the customer’s payment for that good are typically one year or less. The Company does not disclose the value of the remaining performance obligation for contracts with an original expected length of one year or less. Contract Liabilities Contract liabilities consist of deferred revenue and advance payments from customers, including amounts that are refundable. These contract liabilities are classified as either current or long-term liabilities in the consolidated balance sheet based on the timing of when the Company expects to recognize the related revenue. As of September 29, 2023 and December 31, 2022, contract liabilities were $ 6.8 million and $ 8.4 million, respectively, and are included in accrued expenses and other current liabilities and other liabilities in the accompanying consolidated balance sheets. The decrease in the contract liability balance during the nine months ended September 29, 2023 is primarily due to $ 6.2 million of revenue recognized during the period that was included in the contract liability balance as of December 31, 2022, partially offset by cash payments received in advance of satisfying performance obligations. Disaggregated Revenue See Note 15 for the Company’s disaggregation of revenue by segment, geography and end market.

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	9 Months Ended
	Sep. 29, 2023
Equity [Abstract]
Components of Accumulated Other Comprehensive Loss	Changes in accumulated other comprehensive loss were as follows (in thousands): Total Accumulated Other Cumulative Pension Comprehensive Translation Liability Loss Adjustments Adjustments Balance at December 31, 2022 $ ( 32,009 ) $ ( 24,427 ) $ ( 7,582 ) Other comprehensive income (loss) ( 2,068 ) ( 1,980 ) ( 88 ) Amounts reclassified from accumulated other comprehensive loss 764 — 764 Balance at September 29, 2023 $ ( 33,313 ) $ ( 26,407 ) $ ( 6,906 )

Earnings per Common Share (Tabl

Earnings per Common Share (Tables)	9 Months Ended
	Sep. 29, 2023
Earnings Per Share [Abstract]
Computation of Basic and Diluted Earnings per Common Share	The following table sets forth the computation of basic and diluted earnings per common share (amounts in thousands, except per share data): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Numerators: Consolidated net income $ 21,223 $ 22,490 $ 60,367 $ 58,789 Denominators: Weighted average common shares outstanding— basic 35,856 35,729 35,839 35,625 Dilutive potential common shares 185 199 185 256 Weighted average common shares outstanding— diluted 36,041 35,928 36,024 35,881 Antidilutive potential common shares excluded from above 49 73 101 104 Earnings per Common Share: Basic $ 0.59 $ 0.63 $ 1.68 $ 1.65 Diluted $ 0.59 $ 0.63 $ 1.68 $ 1.64

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 29, 2023
Fair Value Disclosures [Abstract]
Fair Values of Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table summarizes the fair values of the Company’s assets and liabilities measured at fair value on a recurring basis as of September 29, 2023 (in thousands): Quoted Prices in Significant Other Active Markets for Significant Other Unobservable Identical Assets Observable Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Assets Cash equivalents $ 1,724 $ 1,724 $ — $ — Prepaid expenses and other current assets: Foreign currency forward contracts 237 — 237 — $ 1,961 $ 1,724 $ 237 $ — Liabilities Accrued expenses and other current liabilities: Contingent considerations - Current $ 45 $ — $ — $ 45 Foreign currency forward contracts 23 — 23 — Other liabilities: Contingent considerations - Long-term 296 — — 296 $ 364 $ — $ 23 $ 341 The following table summarizes the fair values of the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2022 (in thousands): Quoted Prices in Significant Other Active Markets for Significant Other Unobservable Identical Assets Observable Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) Assets Cash equivalents $ 1,369 $ 1,369 $ — $ — Prepaid expenses and other current assets: Foreign currency forward contracts 391 — 391 — $ 1,760 $ 1,369 $ 391 $ — Liabilities Accrued expenses and other current liabilities: Contingent considerations - Current $ 124 $ — $ — $ 124 Foreign currency forward contracts 412 — 412 — Other liabilities: Contingent considerations - Long-term 301 — — 301 $ 837 $ — $ 412 $ 425
Changes in Fair Value of Level 3 Contingent Considerations	Changes in the fair value of Level 3 contingent considerations during the nine months ended September 29, 2023 were as follows (in thousands): Amount Balance at December 31, 2022 $ 425 Payments ( 81 ) Fair value adjustments — Effect of foreign exchange rates ( 3 ) Balance at September 29, 2023 $ 341

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	9 Months Ended
	Sep. 29, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of Changes in Goodwill	The following table summarizes changes in goodwill during the nine months ended September 29, 2023 (in thousands): Balance at beginning of the period $ 478,897 Effect of foreign exchange rate changes ( 1,255 ) Balance at end of the period $ 477,642
Goodwill by Reportable Segment	Goodwill by reportable segment as of September 29, 2023 was as follows (in thousands): Reportable Segment Precision Medicine and Manufacturing Medical Solutions Robotics and Automation Total Goodwill $ 208,110 $ 166,905 $ 253,856 $ 628,871 Accumulated impairment of goodwill ( 102,461 ) ( 31,722 ) ( 17,046 ) ( 151,229 ) Total $ 105,649 $ 135,183 $ 236,810 $ 477,642 Goodwill by reportable segment as of December 31, 2022 was as follows (in thousands): Reportable Segment Precision Medicine and Manufacturing Medical Solutions Robotics and Automation Total Goodwill $ 208,387 $ 167,891 $ 253,848 $ 630,126 Accumulated impairment of goodwill ( 102,461 ) ( 31,722 ) ( 17,046 ) ( 151,229 ) Total $ 105,926 $ 136,169 $ 236,802 $ 478,897
Intangible Assets	Intangible assets as of September 29, 2023 and December 31, 2022, respectively, are summarized as follows (in thousands): September 29, 2023 December 31, 2022 Gross Carrying Accumulated Net Carrying Gross Carrying Accumulated Net Carrying Amortizable intangible assets: Patents and developed technologies $ 184,246 $ ( 141,182 ) $ 43,064 $ 184,589 $ ( 132,350 ) $ 52,239 Customer relationships 221,706 ( 135,476 ) 86,230 222,173 ( 121,527 ) 100,646 Trademarks and trade names 23,297 ( 14,522 ) 8,775 23,311 ( 13,457 ) 9,854 Amortizable intangible assets 429,249 ( 291,180 ) 138,069 430,073 ( 267,334 ) 162,739 Non-amortizable intangible assets: Trade names 13,027 — 13,027 13,027 — 13,027 Total intangible assets $ 442,276 $ ( 291,180 ) $ 151,096 $ 443,100 $ ( 267,334 ) $ 175,766
Amortization Expense of Intangible Assets	Amortization expense was as follows (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Amortization expense – cost of revenue $ 3,051 $ 3,247 $ 9,119 $ 10,004 Amortization expense – operating expenses 5,131 6,472 15,344 20,987 Total amortization expense $ 8,182 $ 9,719 $ 24,463 $ 30,991
Estimated Amortization Expense	As of September 29, 2023, estimated amortization expense for each of the five succeeding years and thereafter was as follows (in thousands): Year Ending December 31, Cost of Revenue Operating Total 2023 (remainder of year) $ 3,005 $ 5,065 $ 8,070 2024 9,771 16,998 26,769 2025 8,289 14,378 22,667 2026 6,933 12,227 19,160 2027 4,197 9,861 14,058 Thereafter 10,869 36,476 47,345 Total $ 43,064 $ 95,005 $ 138,069

Supplementary Balance Sheet I_2

Supplementary Balance Sheet Information (Tables)	9 Months Ended
	Sep. 29, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Inventories	Inventories September 29, December 31, 2023 2022 Raw materials $ 109,067 $ 118,292 Work-in-process 21,266 23,328 Finished goods 23,096 25,738 Demo and consigned inventory 380 639 Total inventories $ 153,809 $ 167,997
Accrued Expenses and Other Current Liabilities	Accrued Expenses and Other Current Liabilities September 29, December 31, 2023 2022 Accrued compensation and benefits $ 26,691 $ 35,501 Accrued warranty 5,498 5,127 Contract liabilities, current portion 6,576 8,128 Finance lease obligations 708 668 Other 14,902 13,620 Total $ 54,375 $ 63,044
Accrued Warranty	Accrued Warranty Nine Months Ended September 29, September 30, 2023 2022 Balance at beginning of the period $ 5,127 $ 4,783 Provision charged to cost of revenue 1,837 2,091 Use of provision ( 1,467 ) ( 1,933 ) Foreign currency exchange rate changes 1 ( 203 ) Balance at end of the period $ 5,498 $ 4,738
Other Long Term Liabilities	Other Long-Term Liabilities September 29, December 31, 2023 2022 Finance lease obligations $ 4,117 $ 4,652 Accrued contingent considerations and earn-outs 296 301 Other 792 1,132 Total $ 5,205 $ 6,085

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 29, 2023
Debt Disclosure [Abstract]
Outstanding debt	Outstanding debt consisted of the following (in thousands): September 29, December 31, 2023 2022 Senior Credit Facilities – term loan $ 4,763 $ 4,832 Less: unamortized debt issuance costs ( 27 ) ( 32 ) Total current portion of long-term debt $ 4,736 $ 4,800 Senior Credit Facilities – term loan $ 72,400 $ 77,060 Senior Credit Facilities – revolving credit facility 279,423 358,413 Less: unamortized debt issuance costs ( 3,944 ) ( 4,811 ) Total long-term debt $ 347,879 $ 430,662 Total Senior Credit Facilities $ 352,615 $ 435,462

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 29, 2023
Leases [Abstract]
Summary of Components of Lease Costs	The following table summarizes the components of lease costs (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Operating lease cost $ 2,639 $ 2,544 $ 7,916 $ 7,936 Finance lease cost Amortization of right-of-use assets 150 150 452 451 Interest on lease liabilities 68 77 208 234 Variable lease cost 227 271 787 888 Total lease cost $ 3,084 $ 3,042 $ 9,363 $ 9,509
Summary of Balance Sheet Information Related to Leases	The following table provides additional details of balance sheet information related to the Company’s leases (in thousands, except lease term and discount rate): September 29, December 31, 2023 2022 Operating leases Operating lease right-of-use assets $ 40,527 $ 43,317 Current portion of operating lease liabilities $ 8,072 $ 7,793 Operating lease liabilities 38,577 40,808 Total operating lease liabilities $ 46,649 $ 48,601 Finance leases Property, plant and equipment, gross $ 9,582 $ 9,582 Accumulated depreciation ( 6,122 ) ( 5,670 ) Finance lease assets included in property, plant and equipment, net $ 3,460 $ 3,912 Accrued expenses and other current liabilities $ 708 $ 668 Other liabilities 4,117 4,652 Total finance lease liabilities $ 4,825 $ 5,320 Weighted-average remaining lease term (in years): Operating leases 7.7 8.2 Finance leases 5.8 6.5 Weighted-average discount rate: Operating leases 4.84 % 4.64 % Finance leases 5.54 % 5.54 %
Summary of Cash Flow Information Related to Leases	The following table provides additional details of cash flow information related to the Company’s leases (in thousands): Nine Months Ended September 29, September 30, 2023 2022 Cash paid for amounts included in lease liabilities: Operating cash flows from finance leases $ 208 $ 234 Operating cash flows from operating leases $ 5,916 $ 5,921 Financing cash flows from finance leases $ 484 $ 447 Supplemental non-cash information: Right-of-use assets obtained in exchange for new operating lease liabilities $ 3,893 $ 4,621
Future Minimum Lease Payments Under Operating and Finance Leases	Future minimum lease payments under operating and finance leases expiring subsequent to September 29, 2023, including operating leases associated with facilities that have been vacated as a result of the Company’s restructuring actions, are summarized as follows (in thousands): Year Ending December 31, Operating Leases Finance Leases 2023 (remainder of year) $ 2,426 $ 238 2024 9,617 954 2025 9,386 954 2026 7,945 979 2027 7,066 1,003 Thereafter 20,832 1,505 Total minimum lease payments 57,272 5,633 Less: Interest ( 10,623 ) ( 808 ) Present value of lease liabilities $ 46,649 $ 4,825

Preferred and Common Shares a_2

Preferred and Common Shares and Share-Based Compensation (Tables)	9 Months Ended
	Sep. 29, 2023
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-Based Compensation Expense Recorded in the Consolidated Statements of Operations	The table below summarizes share-based compensation expense recorded in the consolidated statements of operations (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Selling, general and administrative $ 5,229 $ 4,649 $ 15,631 $ 13,906 Research and development and engineering 510 586 1,495 1,780 Cost of revenue 298 719 1,252 2,123 Total share-based compensation expense $ 6,037 $ 5,954 $ 18,378 $ 17,809
Schedule of Share Based Payment Award Performance Stock Awards Valuation Assumptions	The grant-date fair value of the hybrid PSUs granted during the nine months ended September 29, 2023 was estimated using the Monte Carlo valuation method with the following assumptions: Nine Months Ended Grant-date stock price $ 156.72 Expected volatility 35.89 % Risk-free interest rate 4.44 % Expected annual dividend yield — Fair value $ 181.45
Schedule of Share Based Payment Award Stock Options Valuation Assumptions	The aggregate Black-Scholes fair value of $ 3.0 million for the stock options granted during the nine months ended September 29, 2023 was estimated using the following assumptions as of the grant date: Nine Months Ended Expected option term in years 4.5 Expected volatility 40.7 % Risk-free interest rate 4.00 % Expected annual dividend yield — The expected option term was calculated using the simplified method permitted under Codification of Staff Accounting Bulletins Topic 14, “Share-Based Payment”. The expected volatility was determined based on the historical volatility of the Company’s common shares over the expected option term. The risk-free interest rate was based on treasury instrument whose term was six months longer than the expected option term. The expected annual dividend yield is zero as the Company does not have plans to issue dividends.
Amended and Restated 2010 Incentive Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Restricted Stock Units and Deferred Stock Units Issued and Outstanding	The table below summarizes activities relating to RSUs and DSUs issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the nine months ended September 29, 2023: Shares Weighted Unvested at December 31, 2022 238 $ 128.26 Granted 91 $ 156.47 Vested ( 102 ) $ 122.48 Forfeited ( 24 ) $ 139.50 Unvested at September 29, 2023 203 $ 142.72 Expected to vest as of September 29, 2023 185
Performance-Based Awards Issued and Outstanding	The table below summarizes the activities relating to the performance-based awards issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the nine months ended September 29, 2023: Shares Weighted Unvested at December 31, 2022 216 $ 144.16 Granted 57 $ 179.15 Performance adjustments (1) 20 $ 122.24 Vested ( 70 ) $ 116.56 Forfeited ( 16 ) $ 168.97 Unvested at September 29, 2023 207 $ 160.40 Expected to vest as of September 29, 2023 246 (1) The amount shown represents performance adjustments related to the performance-based awards granted on February 20, 2020. These performance-based awards vested at a blended payout of 142 % during the nine months ended September 29, 2023 based on the achievement of cumulative Non-GAAP EPS and applicable relative TSR performance conditions, respectively, over the performance period of fiscal years 2020 through 2022.
Stock Options Issued and Outstanding	The table below summarizes the activities relating to stock options issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the nine months ended September 29, 2023: Shares Weighted Outstanding as of December 31, 2022 84 $ 72.18 Granted 48 $ 156.72 Exercised — $ — Forfeited or expired — $ — Outstanding as of September 29, 2023 132 $ 102.86 Exercisable as of September 29, 2023 57 Expected to vest as of September 29, 2023 75

Restructuring, Acquisition, a_2

Restructuring, Acquisition, and Related Costs (Tables)	9 Months Ended
	Sep. 29, 2023
Restructuring and Related Activities [Abstract]
Schedule of Restructuring, Acquisition and Related Costs	The following table summarizes restructuring, acquisition, and related costs in the accompanying consolidated statements of operations (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 2022 restructuring $ 2,450 $ 889 $ 5,324 $ 889 2020 restructuring 1,880 887 2,613 2,119 Total restructuring charges 4,330 1,776 7,937 3,008 Acquisition and related charges 151 ( 151 ) 254 ( 358 ) Total restructuring, acquisition, and related costs $ 4,481 $ 1,625 $ 8,191 $ 2,650
Summary of Restructuring Charges by Reportable Segment	The following table summarizes restructuring costs associated with the 2022 restructuring program by reportable segment (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 76 $ 889 $ 1,064 $ 889 Medical Solutions 253 — 293 — Robotics and Automation 1,632 — 3,168 — Unallocated Corporate and Shared Services 489 — 799 — Total $ 2,450 $ 889 $ 5,324 $ 889 The following table summarizes restructuring costs associated with the 2020 restructuring program by reportable segment (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 1,543 $ 758 $ 2,050 $ 1,952 Medical Solutions — 101 — 207 Robotics and Automation 337 22 563 ( 46 ) Unallocated Corporate and Shared Services — 6 — 6 Total $ 1,880 $ 887 $ 2,613 $ 2,119
Summary of Accrual Activities by Components Related to Company's Restructuring Plans	The following table summarizes the accrual activities, by component, related to the Company’s restructuring plans recorded in the accompanying consolidated balance sheets (in thousands): Total Employee Related Facility Related Other Balance at December 31, 2022 $ 2,410 $ 1,902 $ 452 $ 56 Restructuring charges 7,937 4,799 1,929 1,209 Cash payments ( 5,969 ) ( 4,803 ) ( 600 ) ( 566 ) Non-cash write-offs and other adjustments (1) ( 1,346 ) 20 ( 823 ) ( 543 ) Balance at September 29, 2023 $ 3,032 $ 1,918 $ 958 $ 156 (1) Non-cash write-offs and other adjustments included impairment of assets amounting to $ 1.4 million.

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Sep. 29, 2023
Segment Reporting [Abstract]
Revenue, Gross Profit, Gross Profit Margin, Operating Income (Loss), and Depreciation and Amortization Expenses by Reportable Segment	Revenue, gross profit, gross profit margin, operating income (loss), and depreciation and amortization expenses by reportable segment were as follows (in thousands, except percentage data): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Revenue 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 71,277 $ 70,799 $ 215,138 $ 203,042 Medical Solutions 83,378 73,345 244,340 200,911 Robotics and Automation 66,848 78,814 210,615 238,577 Total $ 221,503 $ 222,958 $ 670,093 $ 642,530 Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Gross Profit 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 36,208 $ 34,699 $ 107,054 $ 94,268 Medical Solutions 34,027 28,201 100,170 79,966 Robotics and Automation 32,652 36,832 100,376 113,846 Unallocated Corporate and Shared Services ( 1,296 ) ( 1,324 ) ( 4,258 ) ( 4,151 ) Total $ 101,591 $ 98,408 $ 303,342 $ 283,929 Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Gross Profit Margin 2023 2022 2023 2022 Precision Medicine and Manufacturing 50.8 % 49.0 % 49.8 % 46.4 % Medical Solutions 40.8 % 38.4 % 41.0 % 39.8 % Robotics and Automation 48.8 % 46.7 % 47.7 % 47.7 % Total 45.9 % 44.1 % 45.3 % 44.2 % Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Operating Income (Loss) 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 18,508 $ 18,351 $ 54,803 $ 45,782 Medical Solutions 11,050 8,744 30,974 20,811 Robotics and Automation 12,208 15,800 39,456 48,222 Unallocated Corporate and Shared Services ( 11,457 ) ( 14,234 ) ( 36,414 ) ( 38,580 ) Total $ 30,309 $ 28,661 $ 88,819 $ 76,235 Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, Depreciation and Amortization Expenses 2023 2022 2023 2022 Precision Medicine and Manufacturing $ 2,644 $ 2,760 $ 7,901 $ 8,234 Medical Solutions 3,860 4,240 11,877 12,989 Robotics and Automation 4,705 6,050 14,467 19,467 Unallocated Corporate and Shared Services 188 93 820 309 Total $ 11,397 $ 13,143 $ 35,065 $ 40,999
Schedule of Geographic Revenue	The Company aggregates geographic revenue based on the customer locations where products are shipped to. Revenue by geography was as follows (in thousands): Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 United States $ 110,462 $ 99,230 $ 321,898 $ 268,585 Germany 33,263 34,625 100,222 99,526 Rest of Europe 34,257 33,996 98,159 105,327 China 15,679 24,209 54,331 80,877 Rest of Asia-Pacific 24,060 26,886 79,561 74,400 Other 3,782 4,012 15,922 13,815 Total $ 221,503 $ 222,958 $ 670,093 $ 642,530
Revenue By End Market	The Company primarily operates in two end markets: the medical market and the advanced industrial market. Revenue by end market was approximately as follows: Three Months Ended Nine Months Ended September 29, September 30, September 29, September 30, 2023 2022 2023 2022 Medical 57 % 50 % 54 % 48 % Advanced Industrial 43 % 50 % 46 % 52 % Total 100 % 100 % 100 % 100 %

Revenue - Additional Informatio

Revenue - Additional Information (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Dec. 31, 2022
Revenue [Line Items]
Incremental direct costs of obtaining a contract, practical expedient	true
Effects of a financing component, practical expedient	true
Remaining performance obligation for contracts, optional exemption	true
Adoption of Topic 606
Revenue [Line Items]
Contract liabilities	$ 6.8		$ 8.4
Revenue recognized	$ 6.2
Warranties
Revenue [Line Items]
Standard product warranty description	The standard warranty periods for the Company’s products are typically 12 months to 36 months. The Company recognizes estimated liabilities associated with standard warranty periods for its products in accordance with the provisions of ASC 450, “Contingencies,” as the Company has the ability to ascertain the likelihood of the liabilities and can reasonably estimate the amount of the liabilities.
Minimum | Warranties
Revenue [Line Items]
Standard warranty period on products	12 months
Maximum | Warranties
Revenue [Line Items]
Standard warranty period on products	36 months
Maximum | Professional Services
Revenue [Line Items]
Percentage of revenue for professional services	3%	3%
Duration of professional services performed under customer contract	1 month

Business Combinations - Additio

Business Combinations - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022	Dec. 31, 2022
Business Acquisition [Line Items]
Goodwill	$ 477,642		$ 477,642		$ 478,897
Acquisition costs	$ 151	$ (151)	$ 254	$ (358)

Business Combinations - Summary

Business Combinations - Summary of Fair Values of Assets Acquired and Liabilities Assumed Purchase Price Allocation (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Business Acquisition [Line Items]
Goodwill	$ 477,642	$ 478,897

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Loss (Details) $ in Thousands	9 Months Ended
	Sep. 29, 2023 USD ($)
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	$ 577,586
Ending Balance	644,856
Total Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	(32,009)
Other comprehensive income (loss)	(2,068)
Amounts reclassified from accumulated other comprehensive loss	764
Ending Balance	(33,313)
Cumulative Translation Adjustments
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	(24,427)
Other comprehensive income (loss)	(1,980)
Ending Balance	(26,407)
Pension Liability Adjustments
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	(7,582)
Other comprehensive income (loss)	(88)
Amounts reclassified from accumulated other comprehensive loss	764
Ending Balance	$ (6,906)

Computation of Basic and Dilute

Computation of Basic and Diluted Earnings per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Numerators:
Consolidated net income	$ 21,223	$ 22,490	$ 60,367	$ 58,789
Denominators:
Weighted average common shares outstanding—basic	35,856	35,729	35,839	35,625
Dilutive potential common shares	185	199	185	256
Weighted average common shares outstanding— diluted	36,041	35,928	36,024	35,881
Antidilutive potential common shares excluded from above	49	73	101	104
Earnings per common share:
Basic	$ 0.59	$ 0.63	$ 1.68	$ 1.65
Diluted	$ 0.59	$ 0.63	$ 1.68	$ 1.64

Earnings per Common Share - Add

Earnings per Common Share - Additional Information (Details) - shares shares in Thousands	Sep. 29, 2023	Sep. 30, 2022
Performance Based Restricted Stock Units
Computation Of Earnings Per Share [Line Items]
Contingently issuable shares excluded from calculation of weighted average common shares outstanding	143	124

Fair Value Measurements - Busin

Fair Value Measurements - Business Combination Contingent Consideration - Additional Information (Details)	1 Months Ended				9 Months Ended
	Mar. 31, 2022 USD ($)	Mar. 31, 2022 EUR (€)	Mar. 31, 2021 USD ($)	Mar. 31, 2021 EUR (€)	Sep. 29, 2023 USD ($)	Sep. 29, 2023 EUR (€)	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2022 EUR (€)	Dec. 31, 2021 USD ($)	Dec. 31, 2021 EUR (€)	Dec. 31, 2020 USD ($)	Dec. 31, 2020 EUR (€)	Jul. 31, 2019 USD ($)	Jul. 31, 2019 EUR (€)
Business Acquisition [Line Items]
Payment for contingent consideration					$ 81,000		$ 46,254,000
ARGES GmbH
Business Acquisition [Line Items]
Fair value of contingent consideration								$ 400,000	€ 400,000	$ 3,800,000	€ 3,300,000	$ 5,100,000	€ 4,100,000	$ 7,900,000	€ 7,100,000
Adjustment to contingent consideration liabilities					0
Undiscounted low range of contingent consideration | €															0
Undiscounted high range of contingent consideration														$ 11,100,000	€ 10,000,000
Payment for contingent consideration	$ 400,000	€ 300,000	$ 400,000	€ 400,000	$ 100,000	€ 100,000

Fair Values of Assets and Liabi

Fair Values of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value Measurements Recurring - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Assets
Cash equivalents	$ 1,724	$ 1,369
Assets, fair value	1,961	1,760
Liabilities
Liabilities, fair value	364	837
Prepaid Expenses and Other Current Assets
Assets
Foreign currency forward contracts	23	391
Accrued Expenses and Other Current Liabilities
Assets
Foreign currency forward contracts	237
Liabilities
Contingent considerations - Current	45	124
Foreign currency forward contracts		412
Other Liabilities
Liabilities
Contingent considerations - Long-term	296	301
Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets
Cash equivalents	1,724	1,369
Assets, fair value	1,724	1,369
Significant Other Observable Inputs (Level 2)
Assets
Assets, fair value	237	391
Liabilities
Liabilities, fair value	23	412
Significant Other Observable Inputs (Level 2) | Prepaid Expenses and Other Current Assets
Assets
Foreign currency forward contracts	23	391
Significant Other Observable Inputs (Level 2) | Accrued Expenses and Other Current Liabilities
Assets
Foreign currency forward contracts	237
Liabilities
Foreign currency forward contracts		412
Significant Other Unobservable Inputs (Level 3)
Liabilities
Liabilities, fair value	341	425
Significant Other Unobservable Inputs (Level 3) | Accrued Expenses and Other Current Liabilities
Liabilities
Contingent considerations - Current	45	124
Significant Other Unobservable Inputs (Level 3) | Other Liabilities
Liabilities
Contingent considerations - Long-term	$ 296	$ 301

Fair Value Measurements - Chang

Fair Value Measurements - Changes in Fair Value of Level 3 Contingent Considerations (Details) - Significant Other Unobservable Inputs (Level 3) $ in Thousands	9 Months Ended
	Sep. 29, 2023 USD ($)
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]
Beginning balance	$ 425
Payments	(81)
Fair value adjustments	$ 0
Fair Value, Liability, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration]	Restructuring Charges And Acquisition Related Costs
Effect of foreign exchange rates	$ (3)
Ending balance	$ 341

Foreign Currency Contracts - Ad

Foreign Currency Contracts - Additional Information (Details) - Foreign Currency Forward Contracts - USD ($)	3 Months Ended		9 Months Ended			12 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 29, 2023	Sep. 30, 2022	Dec. 31, 2022
Derivative [Line Items]
Notional amount of foreign currency forward contracts	$ 163,500,000			$ 163,500,000		$ 117,100,000
Net gain (loss) on foreign currency forward contracts				$ 200,000
Foreign Exchange Transaction Gains (Losses)
Derivative [Line Items]
Net gain (loss) on foreign currency forward contracts	$ (200,000)	$ (800,000)	$ 2,500,000		$ (2,300,000)
Maximum
Derivative [Line Items]
Net gain (loss) on foreign currency forward contracts						$ (100,000)

Goodwill and Intangible Asset_2

Goodwill and Intangible Assets - Additional Information (Details)	3 Months Ended
	Jun. 30, 2023 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Impairment of goodwill and intangible assets	$ 0

Summary of Changes in Goodwill

Summary of Changes in Goodwill (Details) $ in Thousands	9 Months Ended
	Sep. 29, 2023 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Balance at beginning of the period	$ 478,897
Effect of foreign exchange rate changes	(1,255)
Balance at end of the period	$ 477,642

Goodwill By Reportable Segment

Goodwill By Reportable Segment (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Goodwill [Line Items]
Goodwill	$ 628,871	$ 630,126
Accumulated impairment of goodwill	(151,229)	(151,229)
Total	477,642	478,897
Precision Medicine and Manufacturing
Goodwill [Line Items]
Goodwill	208,110	208,387
Accumulated impairment of goodwill	(102,461)	(102,461)
Total	105,649	105,926
Medical Solutions
Goodwill [Line Items]
Goodwill	166,905	167,891
Accumulated impairment of goodwill	(31,722)	(31,722)
Total	135,183	136,169
Robotics and Automation
Goodwill [Line Items]
Goodwill	253,856	253,848
Accumulated impairment of goodwill	(17,046)	(17,046)
Total	$ 236,810	$ 236,802

Intangible Assets (Details)

Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Schedule of Intangible Assets Disclosure [Line Items]
Amortizable intangible assets, gross carrying amount	$ 429,249	$ 430,073
Amortizable intangible assets, accumulated amortization	(291,180)	(267,334)
Amortizable intangible assets, net carrying amount	138,069	162,739
Non-amortizable intangible assets	13,027	13,027
Gross carrying amount	442,276	443,100
Net carrying amount	151,096	175,766
Patents and Developed Technologies
Schedule of Intangible Assets Disclosure [Line Items]
Amortizable intangible assets, gross carrying amount	184,246	184,589
Amortizable intangible assets, accumulated amortization	(141,182)	(132,350)
Amortizable intangible assets, net carrying amount	43,064	52,239
Customer Relationships
Schedule of Intangible Assets Disclosure [Line Items]
Amortizable intangible assets, gross carrying amount	221,706	222,173
Amortizable intangible assets, accumulated amortization	(135,476)	(121,527)
Amortizable intangible assets, net carrying amount	86,230	100,646
Trademarks and Trade Names
Schedule of Intangible Assets Disclosure [Line Items]
Amortizable intangible assets, gross carrying amount	23,297	23,311
Amortizable intangible assets, accumulated amortization	(14,522)	(13,457)
Amortizable intangible assets, net carrying amount	$ 8,775	$ 9,854

Amortization Expense of Intangi

Amortization Expense of Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense – cost of revenue	$ 3,051	$ 3,247	$ 9,119	$ 10,004
Amortization expense - operating expenses	5,131	6,472	15,344	20,987
Total amortization expense	$ 8,182	$ 9,719	$ 24,463	$ 30,991

Estimated Amortization Expense

Estimated Amortization Expense (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Finite Lived Intangible Assets [Line Items]
2023 (remainder of year)	$ 8,070
2024	26,769
2025	22,667
2026	19,160
2027	14,058
Thereafter	47,345
Amortizable intangible assets, net carrying amount	138,069	$ 162,739
Cost of Revenue
Finite Lived Intangible Assets [Line Items]
2023 (remainder of year)	3,005
2024	9,771
2025	8,289
2026	6,933
2027	4,197
Thereafter	10,869
Amortizable intangible assets, net carrying amount	43,064
Operating Expenses
Finite Lived Intangible Assets [Line Items]
2023 (remainder of year)	5,065
2024	16,998
2025	14,378
2026	12,227
2027	9,861
Thereafter	36,476
Amortizable intangible assets, net carrying amount	$ 95,005

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Inventory Disclosure [Abstract]
Raw materials	$ 109,067	$ 118,292
Work-in-process	21,266	23,328
Finished goods	23,096	25,738
Demo and consigned inventory	380	639
Total inventories	$ 153,809	$ 167,997

Accrued Expenses and Other Curr

Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022	Sep. 30, 2022	Dec. 31, 2021
Other Liabilities Disclosure [Abstract]
Accrued compensation and benefits	$ 26,691	$ 35,501
Accrued warranty	5,498	5,127	$ 4,738	$ 4,783
Contract liabilities, current portion	6,576	8,128
Finance lease obligations	708	668
Other	14,902	13,620
Total	$ 54,375	$ 63,044

Accrued Warranty (Details)

Accrued Warranty (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022
Product Warranties Disclosures [Abstract]
Balance at beginning of the period	$ 5,127	$ 4,783
Provision charged to cost of revenue	1,837	2,091
Use of provision	(1,467)	(1,933)
Foreign currency exchange rate changes	1	(203)
Balance at end of the period	$ 5,498	$ 4,738

Other Long Term Liabilities (De

Other Long Term Liabilities (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Other Liabilities Disclosure [Abstract]
Finance lease obligations	$ 4,117	$ 4,652
Accrued contingent considerations and earn-outs	296	301
Other	792	1,132
Total	$ 5,205	$ 6,085

Outstanding Debt (Details)

Outstanding Debt (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Total current portion of long-term debt	$ 4,736	$ 4,800
Total long-term debt	347,879	430,662
Total Senior Credit Facilities	352,615	435,462
Term Loan
Debt Instrument [Line Items]
Current portion of long-term debt, Gross	4,763	4,832
Long-term debt, Gross	72,400	77,060
Term Loan And Revolving Credit Facility
Debt Instrument [Line Items]
Less: unamortized debt issuance costs	(27)	(32)
Less: unamortized debt issuance costs	(3,944)	(4,811)
Revolving Credit Facility
Debt Instrument [Line Items]
Long-term debt, Gross	$ 279,423	$ 358,413

Debt - Additional Information (

Debt - Additional Information (Details)			1 Months Ended	9 Months Ended
	Mar. 10, 2022 USD ($)	Dec. 31, 2019 USD ($)	Mar. 31, 2020 EUR (€)	Sep. 29, 2023 USD ($)	Sep. 29, 2023 EUR (€)	Sep. 30, 2022 USD ($)	Oct. 05, 2021 USD ($)	Mar. 27, 2020 USD ($)	Dec. 31, 2019 EUR (€)
Debt Instrument [Line Items]
Repayment of debt				$ 82,047,000		$ 37,791,000
Third Amended and Restated Credit Agreement
Debt Instrument [Line Items]
Maximum borrowing capacity		$ 450,000,000
Third Amended and Restated Credit Agreement | First Amendment Revolving Credit Facility
Debt Instrument [Line Items]
Maximum borrowing capacity								$ 495,000,000
Increased in line of credit facility								145,000,000
Line of credit facility accordion potential feature								$ 200,000,000
Third Amended and Restated Credit Agreement | Term Loan
Debt Instrument [Line Items]
Maximum borrowing capacity		$ 100,000,000							€ 90,200,000
Senior credit facilities maturity period		5 years
Debt instrument, frequency of periodic payment			quarterly
Quarterly installments payable on term loan | €			€ 1,100,000
Repayment of debt				3,600,000	€ 3,400,000
Third Amended and Restated Credit Agreement | Revolving Credit Facility
Debt Instrument [Line Items]
Maximum borrowing capacity		$ 350,000,000
Senior credit facilities maturity period		5 years
Repayment of debt				$ 78,400,000
Third Amended and Restated Credit Agreement | Fourth Amendment Revolving Credit Facility
Debt Instrument [Line Items]
Maximum borrowing capacity							$ 695,000,000
Increased in line of credit facility							200,000,000
Line of credit facility accordion potential feature							$ 200,000,000
Third Amended and Restated Credit Agreement | Fifth Amendment Revolving Credit Facility
Debt Instrument [Line Items]
Line of credit facility accordion potential feature	$ 350,000,000
Deferred financing costs capitalized	2,500,000
Loss from write-off of portion of unamortized deferred financing costs	$ 600,000

Leases - Additional Information

Leases - Additional Information (Details)	9 Months Ended
	Sep. 29, 2023
Lessee Lease Description [Line Items]
Lease renewal terms and termination description	Certain leases include one or more options to renew, with renewal terms that can extend the lease term from one to ten years, and options to terminate the leases within one year.
Minimum
Lessee Lease Description [Line Items]
Lease agreement expiration year	2023
Lease renewal terms	1 year
Maximum
Lessee Lease Description [Line Items]
Lease agreement expiration year	2036
Lease renewal terms	10 years
Lease termination period	1 year
Land | Maximum
Lessee Lease Description [Line Items]
Lease agreement expiration year	2078

Summary of Components of Lease

Summary of Components of Lease Costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Leases [Abstract]
Operating lease cost	$ 2,639	$ 2,544	$ 7,916	$ 7,936
Finance lease cost
Amortization of right-of-use assets	150	150	452	451
Interest on lease liabilities	68	77	208	234
Variable lease cost	227	271	787	888
Total lease cost	$ 3,084	$ 3,042	$ 9,363	$ 9,509

Summary of Balance Sheet Inform

Summary of Balance Sheet Information Related to Leases (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Operating leases
Operating lease right-of-use assets	$ 40,527	$ 43,317
Current portion of operating lease liabilities	8,072	7,793
Operating lease liabilities	38,577	40,808
Total operating lease liabilities	46,649	48,601
Finance leases
Finance lease right-of-use assets gross	9,582	9,582
Finance lease right-of-use assets accumulated depreciation	(6,122)	(5,670)
Finance lease assets included in property, plant and equipment, net	$ 3,460	$ 3,912
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	Property, plant and equipment, net	Property, plant and equipment, net
Current portion of finance lease liabilities	$ 708	$ 668
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List]	Accrued expenses and other current liabilities	Accrued expenses and other current liabilities
Noncurrent portion of finance lease liabilities	$ 4,117	$ 4,652
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]	Other liabilities	Other liabilities
Total finance lease liabilities	$ 4,825	$ 5,320
Weighted-average remaining lease term (in years):
Operating leases	7 years 8 months 12 days	8 years 2 months 12 days
Finance leases	5 years 9 months 18 days	6 years 6 months
Weighted-average discount rate:
Operating leases	4.84%	4.64%
Finance leases	5.54%	5.54%

Summary of Cash Flow Informatio

Summary of Cash Flow Information Related to Leases (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022
Cash paid for amounts included in lease liabilities:
Operating cash flows from finance leases	$ 208	$ 234
Operating cash flows from operating leases	5,916	5,921
Financing cash flows from finance leases	484	447
Supplemental non-cash information:
Right-of-use assets obtained in exchange for new operating lease liabilities	$ 3,893	$ 4,621

Future Minimum Lease Payments U

Future Minimum Lease Payments Under Operating and Finance Leases (Details) - USD ($) $ in Thousands	Sep. 29, 2023	Dec. 31, 2022
Operating Lease
2023 (remainder of year)	$ 2,426
2024	9,617
2025	9,386
2026	7,945
2027	7,066
Thereafter	20,832
Total minimum lease payments	57,272
Less: Interest	(10,623)
Present value of lease liabilities	46,649	$ 48,601
Finance Lease
2023 (remainder of year)	238
2024	954
2025	954
2026	979
2027	1,003
Thereafter	1,505
Total minimum lease payments	5,633
Less: Interest	(808)
Present value of lease liabilities	$ 4,825	$ 5,320

Preferred and Common Shares a_3

Preferred and Common Shares and Share-based Compensation - Additional Information (Details) - USD ($)	1 Months Ended		3 Months Ended		9 Months Ended
	Feb. 28, 2023	May 31, 2021	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022	Dec. 31, 2022	Feb. 29, 2020
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Preferred shares, Authorized		7,000,000	7,000,000		7,000,000		7,000,000
Preferred shares, voting rights		one vote per share
Preferred shares, Issued			0		0		0
Preferred shares, outstanding			0		0		0
Repurchase of common stock						$ 10,000,000
Share-based compensation expense recognized			$ 6,037,000	$ 5,954,000	$ 18,378,000	17,809,000
Selling, General and Administrative Expenses
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation expense recognized			$ 5,229,000	$ 4,649,000	15,631,000	13,906,000
Employee Stock Option
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Fair value of stock options granted					$ 3,000,000
Expected annual dividend yield					0%
Hybrid PSUs
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected annual dividend yield					0%
Amended and Restated 2010 Incentive Plan | Deferred Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of outstanding shares			41,000		41,000		38,000
Amended and Restated 2010 Incentive Plan | Employee Stock Option
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting/Performance period	3 years
Stock options, Granted	48,000				48,000
Stock options, Expiration Period	7 years
Amended and Restated 2010 Incentive Plan | Restricted Stock Units and Deferred Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Total fair value of stock units vested					$ 15,200,000
Amended and Restated 2010 Incentive Plan | Restricted Stock Units and Deferred Stock Units | Board of Directors | Selling, General and Administrative Expenses
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation expense recognized					$ 1,200,000	$ 1,100,000
Amended and Restated 2010 Incentive Plan | Restricted Stock Units (RSUs) | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting/Performance period					5 years
Amended and Restated 2010 Incentive Plan | Restricted Stock Units (RSUs) | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting/Performance period					0 days
Amended and Restated 2010 Incentive Plan | Attainment-based PSUs | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Range of percentage of shares to be issued upon settlement following vesting of target number of shares					200%
Amended and Restated 2010 Incentive Plan | Attainment-based PSUs | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Range of percentage of shares to be issued upon settlement following vesting of target number of shares					0%
Amended and Restated 2010 Incentive Plan | Market-based PSUs | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Range of percentage of shares to be issued upon settlement following vesting of target number of shares					200%
Amended and Restated 2010 Incentive Plan | Market-based PSUs | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Range of percentage of shares to be issued upon settlement following vesting of target number of shares					0%
Amended and Restated 2010 Incentive Plan | Hybrid PSUs | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Range of percentage of shares to be issued upon settlement following vesting of target number of shares					260%
Amended and Restated 2010 Incentive Plan | Hybrid PSUs | Minimum [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Range of percentage of shares to be issued upon settlement following vesting of target number of shares					0%
Amended and Restated 2010 Incentive Plan | Performance Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Total fair value of stock units vested					$ 9,900,000
Maximum number of common shares to be earned under these PSU grants			369,000		369,000
2020 Repurchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock repurchase program authorized amount								$ 50,000,000
Shares repurchased						4,000
Repurchase of common stock						$ 500,000
Shares repurchased, average cost per share						$ 116.95
Available for share repurchases			$ 49,500,000		$ 49,500,000

Share-Based Compensation Expens

Share-Based Compensation Expense Recorded in the Consolidated Statements of Operations (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation expense	$ 6,037	$ 5,954	$ 18,378	$ 17,809
Selling, general and administrative
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation expense	5,229	4,649	15,631	13,906
Research and development and engineering
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation expense	510	586	1,495	1,780
Cost of Revenue
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation expense	$ 298	$ 719	$ 1,252	$ 2,123

Restricted Stock Units and Defe

Restricted Stock Units and Deferred Stock Units Issued and Outstanding (Details) - Amended and Restated 2010 Incentive Plan - Restricted Stock Units and Deferred Stock Units shares in Thousands	9 Months Ended
	Sep. 29, 2023 $ / shares shares
Restricted Stock Units
Unvested, Beginning Balance	238
Granted	91
Vested	(102)
Forfeited	(24)
Unvested, Ending Balance	203
Expected to vest at end of period	185
Weighted Average Grant Date Fair Value
Unvested, Beginning Balance | $ / shares	$ 128.26
Granted | $ / shares	156.47
Vested | $ / shares	122.48
Forfeited | $ / shares	139.5
Unvested, Ending Balance | $ / shares	$ 142.72

Performance-Based Awards Issued

Performance-Based Awards Issued and Outstanding (Details) - Amended and Restated 2010 Incentive Plan - Performance Stock Units shares in Thousands	9 Months Ended
	Sep. 29, 2023 $ / shares shares
Performance-based Awards
Unvested, Beginning Balance	216
Granted	57
Performance adjustments	20
Vested	(70)
Forfeited	(16)
Unvested, Ending Balance	207
Expected to vest at end of period	246
Weighted Average Grant Date Fair Value
Unvested, Beginning Balance | $ / shares	$ 144.16
Granted | $ / shares	179.15
Performance adjustment | $ / shares	122.24
Vested | $ / shares	116.56
Forfeited | $ / shares	168.97
Unvested, Ending Balance | $ / shares	$ 160.40

Performance-Based Awards Issu_2

Performance-Based Awards Issued and Outstanding (Parenthetical) (Details)	9 Months Ended
	Sep. 29, 2023
EPS and Applicable Relative TSR Performance Condition
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Vesting percentage	142%

Fair Value of TSR Performance-B

Fair Value of TSR Performance-Based Restricted Stock Units Estimated Using Monte-Carol Valuation Method (Details) - Hybrid PSUs	9 Months Ended
	Sep. 29, 2023 $ / shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Grant-date stock price	$ 156.72
Expected volatility	35.89%
Risk-free interest rate	4.44%
Expected annual dividend yield	0%
Fair value	$ 181.45

Stock Options Issued and Outsta

Stock Options Issued and Outstanding (Details) - Amended and Restated 2010 Incentive Plan - Employee Stock Option - $ / shares shares in Thousands	1 Months Ended	9 Months Ended
	Feb. 28, 2023	Sep. 29, 2023
Stock options
Outstanding as of December 31, 2022		84
Stock options, Granted	48	48
Outstanding as of March 31, 2023		132
Exercisable as of March 31, 2023		57
Expected to vest as of March 31, 2023		75
Weighted Average Exercise Price
Outstanding as of December 31, 2022		$ 72.18
Granted		156.72
Outstanding as of March 31, 2023		$ 102.86

Fair Value of Stock Options Gra

Fair Value of Stock Options Granted Estimated Using Black-Scholes Valuation Model (Details) - Employee Stock Option	9 Months Ended
	Sep. 29, 2023
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Expected option term in years	4 years 6 months
Expected volatility	40.70%
Risk-free interest rate	4%
Expected annual dividend yield	0%

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details)	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Income Taxes [Line Items]
Effective tax rate on income from operations	7.70%	16%	11.20%	13.80%
Effective tax rate on income from operations			4.50%	0.20%
Canada Revenue Agency | CANADA
Income Taxes [Line Items]
Statutory tax rate	29%	29%	29%	29%

Schedule of Restructuring, Acqu

Schedule of Restructuring, Acquisition and Related Costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Restructuring Cost And Reserve [Line Items]
Total restructuring charges	$ 4,330	$ 1,776	$ 7,937	$ 3,008
Acquisition and related charges	151	(151)	254	(358)
Total restructuring, acquisition, and related costs	4,481	1,625	8,191	2,650
2022 Restructuring
Restructuring Cost And Reserve [Line Items]
Total restructuring charges	2,450	889	5,324	889
2020 Restructuring
Restructuring Cost And Reserve [Line Items]
Total restructuring charges	$ 1,880	$ 887	$ 2,613	$ 2,119

Restructuring, Acquisition, a_3

Restructuring, Acquisition, and Related Costs - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Restructuring, Acquisition, and Related Costs [Line Items]
Acquisition and related charges	$ 151	$ (151)	$ 254	$ (358)
Adjustment in fair values of certain prior-year acquisition contingent considerations		(1,000)		(1,400)
Finders' Fees, Legal, Valuation And Other Professional Or Consulting Fees
Restructuring, Acquisition, and Related Costs [Line Items]
Acquisition and related charges	200	$ 800	$ 300	$ 1,100
2022 Restructuring
Restructuring, Acquisition, and Related Costs [Line Items]
Restructuring and related cost description			As a result of the Company’s ongoing evaluations and efforts to reduce its operating costs, while improving efficiency and effectiveness, the Company initiated the 2022 restructuring program in the third quarter of 2022. This program is focused on reducing operating complexity in the Company, including reducing infrastructure costs and streamlining the Company’s operating model to better serve its customers. In addition, the program is focused on cost reduction actions that improve gross margins for the overall company in line with the Company's multi-year gross margin expansion program. During the three and nine months ended September 29, 2023, the Company recorded $2.5 million and $5.3 million, respectively, in severance, facility related, and other charges in connection with the 2022 restructuring program. As of September 29, 2023, the Company had incurred cumulative costs of $6.7 million related to this restructuring plan. The Company anticipates substantially completing the 2022 restructuring program by the end of 2023 and expects to incur additional restructuring charges of $2.5 million to $3.0 million related to the 2022 restructuring program.
Restructuring cumulative costs incurred	6,700		$ 6,700
2022 Restructuring | Minimum
Restructuring, Acquisition, and Related Costs [Line Items]
Restructuring costs	2,500		2,500
2022 Restructuring | Maximum
Restructuring, Acquisition, and Related Costs [Line Items]
Restructuring costs	3,000		3,000
2022 Restructuring | Severance, Facility Related, and Other Charges
Restructuring, Acquisition, and Related Costs [Line Items]
Severance cost	2,500		$ 5,300
2020 Restructuring
Restructuring, Acquisition, and Related Costs [Line Items]
Restructuring and related cost description			The Company initiated the 2020 restructuring program in the third quarter of 2020. This program is focused on reducing operating complexity in the Company, including reducing infrastructure costs and streamlining the Company’s operating model to better serve its customers. In addition, the program is focused on cost reduction actions that improve gross margins for the overall company. During the three and nine months ended September 29, 2023, the Company recorded $1.9 million and $2.6 million respectively, in severance, facility related, and other costs in connection with the 2020 restructuring program. As of September 29, 2023, the Company had incurred cumulative costs of $16.5 million related to this restructuring plan. The 2020 restructuring program was substantially completed in the third quarter of 2023.
Restructuring cumulative costs incurred	16,500		$ 16,500
2020 Restructuring | Severance, Facility Related, and Other Charges
Restructuring, Acquisition, and Related Costs [Line Items]
Severance cost	$ 1,900		$ 2,600

Summary of Restructuring Charge

Summary of Restructuring Charges by Reportable Segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Restructuring Cost And Reserve [Line Items]
Restructuring costs	$ 4,330	$ 1,776	$ 7,937	$ 3,008
2022 Restructuring
Restructuring Cost And Reserve [Line Items]
Restructuring costs	2,450	889	5,324	889
2022 Restructuring | Precision Medicine and Manufacturing
Restructuring Cost And Reserve [Line Items]
Restructuring costs	76	889	1,064	889
2022 Restructuring | Medical Solutions
Restructuring Cost And Reserve [Line Items]
Restructuring costs	253		293
2022 Restructuring | Robotics and Automation
Restructuring Cost And Reserve [Line Items]
Restructuring costs	1,632		3,168
2022 Restructuring | Unallocated Corporate and Shared Services
Restructuring Cost And Reserve [Line Items]
Restructuring costs	489		799
2020 Restructuring
Restructuring Cost And Reserve [Line Items]
Restructuring costs	1,880	887	2,613	2,119
2020 Restructuring | Precision Medicine and Manufacturing
Restructuring Cost And Reserve [Line Items]
Restructuring costs	1,543	758	2,050	1,952
2020 Restructuring | Medical Solutions
Restructuring Cost And Reserve [Line Items]
Restructuring costs		101		207
2020 Restructuring | Robotics and Automation
Restructuring Cost And Reserve [Line Items]
Restructuring costs	$ 337	22	$ 563	(46)
2020 Restructuring | Unallocated Corporate and Shared Services
Restructuring Cost And Reserve [Line Items]
Restructuring costs		$ 6		$ 6

Summary of Accrual Activities b

Summary of Accrual Activities by Components Related to Company's Restructuring Charges (Details) $ in Thousands	9 Months Ended
	Sep. 29, 2023 USD ($)
Restructuring Cost And Reserve [Line Items]
Accrued expense beginning balance	$ 2,410
Restructuring charges	7,937
Cash payments	(5,969)
Non-cash write-offs and other adjustments	(1,346)
Accrued expense ending balance	3,032
Employee Related
Restructuring Cost And Reserve [Line Items]
Accrued expense beginning balance	1,902
Restructuring charges	4,799
Cash payments	(4,803)
Non-cash write-offs and other adjustments	20
Accrued expense ending balance	1,918
Facility Related
Restructuring Cost And Reserve [Line Items]
Accrued expense beginning balance	452
Restructuring charges	1,929
Cash payments	(600)
Non-cash write-offs and other adjustments	(823)
Accrued expense ending balance	958
Other Restructuring Charges
Restructuring Cost And Reserve [Line Items]
Accrued expense beginning balance	56
Restructuring charges	1,209
Cash payments	(566)
Non-cash write-offs and other adjustments	(543)
Accrued expense ending balance	$ 156

Summary of Accrual Activities_2

Summary of Accrual Activities by Components Related to Company's Restructuring Charges (Parenthetical) (Details) $ in Thousands	9 Months Ended
	Sep. 29, 2023 USD ($)
Business Combinations [Abstract]
Impairment of assets	$ 1,421

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 29, 2023	Sep. 29, 2023
Commitments and Contingencies Disclosure [Abstract]
Insurance recovery payments	$ 4.4	$ 5

Segment Information - Additiona

Segment Information - Additional Information (Details)	9 Months Ended
	Sep. 29, 2023 EndMarket Segment
Segment Reporting [Abstract]
Number of reportable segments | Segment	3
Number of primary end market segments | EndMarket	2

Revenue, Gross Profit, Gross Pr

Revenue, Gross Profit, Gross Profit Margin and Operating Income (Loss) by Reportable Segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Segment Reporting Information [Line Items]
Revenue	$ 221,503	$ 222,958	$ 670,093	$ 642,530
Gross Profit	$ 101,591	$ 98,408	$ 303,342	$ 283,929
Gross profit margin percentage	45.90%	44.10%	45.30%	44.20%
Operating Income (Loss)	$ 30,309	$ 28,661	$ 88,819	$ 76,235
Operating Segments | Precision Medicine and Manufacturing
Segment Reporting Information [Line Items]
Revenue	71,277	70,799	215,138	203,042
Gross Profit	$ 36,208	$ 34,699	$ 107,054	$ 94,268
Gross profit margin percentage	50.80%	49%	49.80%	46.40%
Operating Income (Loss)	$ 18,508	$ 18,351	$ 54,803	$ 45,782
Operating Segments | Medical Solutions
Segment Reporting Information [Line Items]
Revenue	83,378	73,345	244,340	200,911
Gross Profit	$ 34,027	$ 28,201	$ 100,170	$ 79,966
Gross profit margin percentage	40.80%	38.40%	41%	39.80%
Operating Income (Loss)	$ 11,050	$ 8,744	$ 30,974	$ 20,811
Operating Segments | Robotics and Automation
Segment Reporting Information [Line Items]
Revenue	66,848	78,814	210,615	238,577
Gross Profit	$ 32,652	$ 36,832	$ 100,376	$ 113,846
Gross profit margin percentage	48.80%	46.70%	47.70%	47.70%
Operating Income (Loss)	$ 12,208	$ 15,800	$ 39,456	$ 48,222
Unallocated Corporate and Shared Services
Segment Reporting Information [Line Items]
Gross Profit	(1,296)	(1,324)	(4,258)	(4,151)
Operating Income (Loss)	$ (11,457)	$ (14,234)	$ (36,414)	$ (38,580)

Depreciation and Amortization E

Depreciation and Amortization Expenses by Reportable Segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Depreciation and Amortization Expenses
Depreciation and amortization expenses	$ 11,397	$ 13,143	$ 35,065	$ 40,999
Unallocated Corporate and Shared Services
Depreciation and Amortization Expenses
Depreciation and amortization expenses	188	93	820	309
Precision Medicine and Manufacturing | Operating Segments
Depreciation and Amortization Expenses
Depreciation and amortization expenses	2,644	2,760	7,901	8,234
Medical Solutions | Operating Segments
Depreciation and Amortization Expenses
Depreciation and amortization expenses	3,860	4,240	11,877	12,989
Robotics and Automation | Operating Segments
Depreciation and Amortization Expenses
Depreciation and amortization expenses	$ 4,705	$ 6,050	$ 14,467	$ 19,467

Schedule of Geographic Revenue

Schedule of Geographic Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Segment Reporting Information [Line Items]
Revenue	$ 221,503	$ 222,958	$ 670,093	$ 642,530
United States
Segment Reporting Information [Line Items]
Revenue	110,462	99,230	321,898	268,585
Germany
Segment Reporting Information [Line Items]
Revenue	33,263	34,625	100,222	99,526
Rest of Europe
Segment Reporting Information [Line Items]
Revenue	34,257	33,996	98,159	105,327
China
Segment Reporting Information [Line Items]
Revenue	15,679	24,209	54,331	80,877
Rest of Asia-Pacific
Segment Reporting Information [Line Items]
Revenue	24,060	26,886	79,561	74,400
Other Countries
Segment Reporting Information [Line Items]
Revenue	$ 3,782	$ 4,012	$ 15,922	$ 13,815

Schedule of Revenue by End Mark

Schedule of Revenue by End Market (Details)	3 Months Ended		9 Months Ended
	Sep. 29, 2023	Sep. 30, 2022	Sep. 29, 2023	Sep. 30, 2022
Segment Reporting Information [Line Items]
Total revenue by end market	100%	100%	100%	100%
Medical
Segment Reporting Information [Line Items]
Total revenue by end market	57%	50%	54%	48%
Advanced Industrial
Segment Reporting Information [Line Items]
Total revenue by end market	43%	50%	46%	52%