Novanta (NOVT) 10-Q 9 Nov 21 2021 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Oct. 01, 2021	Oct. 27, 2021
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Oct. 1, 2021
Document Fiscal Year Focus	2021
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		35,599,658
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	Oct. 01, 2021	Dec. 31, 2020
Current assets
Cash and cash equivalents	$ 102,395	$ 125,054
Accounts receivable, net of allowance of $498 and $274, respectively	112,080	75,054
Inventories	119,422	92,737
Prepaid income taxes and income taxes receivable	7,252	3,203
Prepaid expenses and other current assets	12,163	8,125
Total current assets	353,312	304,173
Property, plant and equipment, net	86,279	78,676
Operating lease assets	43,459	34,444
Deferred tax assets	411	10,491
Other assets	2,809	2,894
Intangible assets, net	231,027	148,521
Goodwill	492,940	285,980
Total assets	1,210,237	865,179
Current liabilities
Current portion of long-term debt	5,207	5,508
Accounts payable	65,012	42,966
Income taxes payable	5,674	5,787
Current portion of operating lease liabilities	7,575	6,188
Accrued expenses and other current liabilities	104,506	53,780
Total current liabilities	187,974	114,229
Long-term debt	441,831	194,927
Operating lease liabilities	40,850	32,802
Deferred tax liabilities	21,936	24,134
Income taxes payable	5,789	5,112
Other liabilities	11,744	17,166
Total liabilities	710,124	388,370
Commitments and contingencies (Note 15)
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: 35,600 and 35,163, respectively	423,856	423,856
Additional paid-in capital	48,489	58,992
Retained earnings	42,779	6,202
Accumulated other comprehensive loss	(15,011)	(12,241)
Total stockholders' equity	500,113	476,809
Total liabilities and stockholders’ equity	$ 1,210,237	$ 865,179

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Oct. 01, 2021	Dec. 31, 2020
Statement Of Financial Position [Abstract]
Accounts receivable, allowance	$ 498	$ 274
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	35,600,000	35,163,000
Common shares, outstanding	35,600,000	35,163,000

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Income Statement [Abstract]
Revenue	$ 177,726	$ 142,929	$ 507,833	$ 443,125
Cost of revenue	101,428	83,824	290,389	260,873
Gross profit	76,298	59,105	217,444	182,252
Operating expenses:
Research and development and engineering	17,468	15,231	53,104	45,005
Selling, general and administrative	31,296	26,788	94,189	82,451
Amortization of purchased intangible assets	4,139	3,533	11,300	10,388
Restructuring, acquisition and related costs	8,120	1,687	16,485	5,591
Total operating expenses	61,023	47,239	175,078	143,435
Operating income	15,275	11,866	42,366	38,817
Interest income (expense), net	(1,710)	(1,698)	(4,496)	(5,077)
Foreign exchange transaction gains (losses), net	34	(136)	(299)	(164)
Other income (expense), net	(71)	(14)	(238)	47
Income before income taxes	13,528	10,018	37,333	33,623
Income tax provision (benefit)	(75)	1,760	756	1,758
Consolidated net income	$ 13,603	$ 8,258	$ 36,577	$ 31,865
Earnings per common share (Note 5):
Basic	$ 0.38	$ 0.23	$ 1.03	$ 0.91
Diluted	$ 0.38	$ 0.23	$ 1.02	$ 0.89
Weighted average common shares outstanding—basic	35,447	35,142	35,366	35,144
Weighted average common shares outstanding—diluted	35,764	35,688	35,771	35,609

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Statement Of Income And Comprehensive Income [Abstract]
Consolidated net income		$ 13,603	$ 8,258	$ 36,577	$ 31,865
Other comprehensive income (loss):
Foreign currency translation adjustments, net of tax	[1]	(3,248)	4,302	(3,602)	(1,006)
Pension liability adjustments, net of tax	[2]	448	(68)	832	769
Total other comprehensive income (loss)		(2,800)	4,234	(2,770)	(237)
Total consolidated comprehensive income		$ 10,803	$ 12,492	$ 33,807	$ 31,628
[1]	The tax effect on this component of comprehensive income (loss) was nominal for all periods presented.
[2]	The tax effect on this component of comprehensive income (loss) was nominal for all periods presented. See Note 4 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 Shares	Additional Paid-In Capital	Retained Earning (Deficit)	Accumulated Other Comprehensive Loss
Balance at Dec. 31, 2019	$ 417,172	$ 423,856	$ 49,748	$ (38,319)	$ (18,113)
Balance (in shares) at Dec. 31, 2019		35,052
Consolidated net income	31,865			31,865
Common shares issued under stock plans	179		179
Common shares issued under stock plans (in shares)		264
Common shares withheld for taxes on vested stock awards	(8,302)		(8,302)
Common shares withheld for taxes on vested stock awards (in shares)		(91)
Repurchases of common shares	(5,500)		(5,500)
Repurchases of common shares (in shares)		(65)
Share-based compensation	16,072		16,072
Other comprehensive income (loss), net of tax	(237)				(237)
Balance at Oct. 02, 2020	451,249	$ 423,856	52,197	(6,454)	(18,350)
Balance (in shares) at Oct. 02, 2020		35,160
Balance at Jul. 03, 2020	431,898	$ 423,856	45,338	(14,712)	(22,584)
Balance (in shares) at Jul. 03, 2020		35,155
Consolidated net income	8,258			8,258
Common shares issued under stock plans (in shares)		8
Common shares withheld for taxes on vested stock awards	(366)		(366)
Common shares withheld for taxes on vested stock awards (in shares)		(3)
Share-based compensation	7,225		7,225
Other comprehensive income (loss), net of tax	4,234				4,234
Balance at Oct. 02, 2020	451,249	$ 423,856	52,197	(6,454)	(18,350)
Balance (in shares) at Oct. 02, 2020		35,160
Balance at Dec. 31, 2020	476,809	$ 423,856	58,992	6,202	(12,241)
Balance (in shares) at Dec. 31, 2020		35,163
Consolidated net income	36,577			36,577
Common shares issued under stock plans (in shares)		658
Common shares withheld for taxes on vested stock awards	(30,672)		(30,672)
Common shares withheld for taxes on vested stock awards (in shares)		(221)
Share-based compensation	20,169		20,169
Other comprehensive income (loss), net of tax	(2,770)				(2,770)
Balance at Oct. 01, 2021	500,113	$ 423,856	48,489	42,779	(15,011)
Balance (in shares) at Oct. 01, 2021		35,600
Balance at Jul. 02, 2021	493,064	$ 423,856	52,243	29,176	(12,211)
Balance (in shares) at Jul. 02, 2021		35,489
Consolidated net income	13,603			13,603
Common shares issued under stock plans (in shares)		199
Common shares withheld for taxes on vested stock awards	(12,244)		(12,244)
Common shares withheld for taxes on vested stock awards (in shares)		(88)
Share-based compensation	8,490		8,490
Other comprehensive income (loss), net of tax	(2,800)				(2,800)
Balance at Oct. 01, 2021	$ 500,113	$ 423,856	$ 48,489	$ 42,779	$ (15,011)
Balance (in shares) at Oct. 01, 2021		35,600

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020
Cash flows from operating activities:
Consolidated net income	$ 36,577	$ 31,865
Adjustments to reconcile consolidated net income to net cash provided by operating activities:
Depreciation and amortization	30,613	28,363
Provision for inventory excess and obsolescence	3,187	3,550
Share-based compensation	20,169	16,072
Deferred income taxes	(3,064)	(3,455)
Inventory acquisition fair value adjustments	280	188
Other	934	427
Changes in assets and liabilities which (used)/provided cash, excluding effects from business acquisitions:
Accounts receivable	(21,458)	9,655
Inventories	(11,943)	11,937
Prepaid income taxes, income taxes receivable, prepaid expenses and other current assets	(7,043)	5,741
Accounts payable, income taxes payable, accrued expenses and other current liabilities	19,511	(13,134)
Other non-current assets and liabilities	(1,851)	2,477
Cash provided by operating activities	65,912	93,686
Cash flows from investing activities:
Acquisition of businesses, net of cash acquired and working capital adjustments	(285,181)
Purchases of property, plant and equipment	(14,759)	(7,164)
Payment of contingent consideration related to acquisition of technology assets	(2,200)	(2,632)
Cash used in investing activities	(302,140)	(9,796)
Cash flows from financing activities:
Borrowings under revolving credit facilities	280,000
Repayments under term loan and revolving credit facilities	(24,036)	(34,017)
Payments of debt issuance costs		(1,614)
Payments of withholding taxes from share-based awards	(30,672)	(8,302)
Repurchases of common shares		(5,500)
Payment of contingent consideration related to acquisitions	(1,836)	(1,135)
Purchase of building under finance lease	(8,743)
Payments of deferred and escrowed purchase price related to acquisitions		(5,772)
Other financing activities	(423)	(855)
Cash provided by (used in) financing activities	214,290	(57,195)
Effect of exchange rates on cash and cash equivalents	(721)	991
Increase (decrease) in cash and cash equivalents	(22,659)	27,686
Cash and cash equivalents, beginning of the period	125,054	78,944
Cash and cash equivalents, end of the period	102,395	106,630
Supplemental disclosure of cash flow information:
Cash paid for interest	3,679	4,099
Cash paid for income taxes	9,231	4,350
Income tax refunds received	$ 1,201	$ 4,613

Basis of Presentation

Basis of Presentation	9 Months Ended
	Oct. 01, 2021
Accounting Policies [Abstract]
Basis of Presentation	1. Basis of Presentation Novanta Inc. and its subsidiaries (collectively referred to as “Novanta”, the “Company”, “we”, “us”, “our”) 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 photonics, vision and precision motion 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, 2020. 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. 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, including estimated economic implications of the COVID-19 pandemic, and various other assumptions that it believes are reasonable under the circumstances. The accounting estimates assessed included, but were not limited to, the Company’s allowance for doubtful accounts and credit losses, inventory and related reserves and the carrying value of goodwill and other long-lived assets. While there was not a material change to the consolidated financial statements related to these estimates as of and for the nine months ended October 1, 2021, the Company’s future assessment of the magnitude and duration of the COVID-19 pandemic, as well as other factors, could result in material impacts to the Company’s consolidated financial statements in future reporting periods. Recent Accounting Pronouncements The following table provides a brief description of recent Accounting Standards Updates (“ASU”) issued by the Financial Accounting Standards Board (“FASB”): Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In December 2019, the FASB issued ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes.” ASU 2019-12 simplifies the accounting for income taxes by removing certain exceptions to the general principles of Accounting Standards Codification (“ASC”) 740, “Income Taxes”, including: (i) the exception to the incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items; (ii) the exception to the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment (or vice-versa); and (iii) the exception for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. ASU 2019-12 also simplifies GAAP for other areas of ASC 740 by clarifying and amending the existing guidance. January 1, 2021. Early adoption is permitted. The Company adopted ASU 2019-12 during the first quarter of 2021. The adoption of ASU 2019-12 did not have a material impact on the Company’s consolidated financial statements. In March 2020, the FASB issued ASU 2020-04, “Reference rate reform (Topic 848): Facilitation of the effects of reference rate reform on financial reporting.” ASU 2020-04 provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. Upon issuance. ASU 2020-04 is elective. The Company does not expect the impact of ASU 2020-04 to be material to its consolidated financial statements. In October 2021, the FASB issued ASU 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers.” ASU 2021-08 requires that entities recognize and measure contract assets and liabilities acquired in a business combination in accordance with ASC 606, “Revenue from Contracts with Customers”. ASU 2021-08 also applies to contract assets or liabilities from other contracts to which the provisions of ASC 606 apply. The amendments in ASU 2021-08 do not affect the accounting for other assets or liabilities that may arise from revenue contracts with customers in accordance with ASC 606, such as refund liabilities, or in a business combination, such as customer-related intangible assets and contract-based intangible assets. January 1, 2023. Early adoption is permitted. The Company is evaluating the impact of the adoption of ASU 2021-08 on its consolidated financial statements.

Revenue

Revenue	9 Months Ended
	Oct. 01, 2021
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 has a right to consideration from a customer, based on the corresponding value to the customer from the Company’s performance completed to date. Engineering services aggregate to less than 3% of the Company’s consolidated revenue. 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. The 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 Company generally provides warranties for its products. The standard warranty period is typically 12 months to 24 months for the Photonics and Precision Motion segments and 12 months to 36 months for the Vision segment. The standard warranty period for product sales is accounted for under the provisions of ASC 450, “Contingencies,” as the Company has the ability to ascertain the likelihood of the liability and can reasonably estimate the amount of the liability. A provision for the estimated cost related to warranty is recorded as cost of revenue at the time revenue is recognized. The Company’s estimate of 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 liability are recorded at that time, with an offsetting adjustment to cost of revenue. Practical Expedients and Exemptions The Company expenses incremental direct costs of obtaining a contract when incurred if the expected amortization period is 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 October 1, 2021 and December 31, 2020, contract liabilities were $9.5 million and $6.5 million, respectively, and are included in accrued expenses and other current liabilities and other liabilities in the accompanying consolidated balance sheets. The increase in the contract liability balance during the nine months ended October 1, 2021 is primarily due to cash payments received in advance of satisfying performance obligations and acquired contract liabilities of $2.0 million from current year acquisitions, partially offset by $4.9 million of revenue recognized during the period that was included in the contract liability balance at December 31, 2020. Disaggregated Revenue See Note 16 for the Company’s disaggregation of revenue by segment, geography and end market.

Business Combinations

Business Combinations	9 Months Ended
	Oct. 01, 2021
Business Combinations [Abstract]
Business Combinations	3. Business Combinations On August 30, 2021, the Company acquired 100% of the outstanding shares of ATI Industrial Automation, Inc. (“ATI”), an Apex, North Carolina-based leading supplier of intelligent end-of-arm technology solutions to OEMs for advanced industrial and surgical robots for an initial cash purchase price of $170.0 million, net of cash acquired, and $51.9 million estimated fair value of contingent consideration. The contingent consideration will be payable in 2022 based on a multiple of actual standalone ATI Adjusted EBITDA, as defined in the purchase and sale agreement, for the fiscal year ending December 31, 2021. The initial cash purchase price was financed with borrowings under the Company’s revolving credit facility and cash available on hand. The addition of ATI is expected to complement and add intelligent technology solutions to further expand the Company’s position in mission critical robotic applications. ATI will contribute to the Company’s operations and growth within the Precision Motion reportable segment. On August 31, 2021, the Company acquired 100% of the outstanding shares of Schneider Electric Motion USA, Inc. (“SEM”), a Marlborough, Connecticut-based manufacturer of integrated stepper motors and electronic controls for automation equipment for a total purchase price of $115.1 million, net of cash acquired, subject to customary working capital adjustments. The acquisition was financed with borrowings under our revolving credit facility. The addition of SEM is expected to complement and expand the Company’s presence in life science applications and solutions for industrial automation applications within the Precision Motion reportable segment. Allocation of Purchase Price The acquisitions of ATI and SEM have been accounted for as business combinations. The purchase price for each acquisition is allocated based upon a valuation of the fair values of assets acquired and liabilities assumed as of the acquisition date. The fair values of intangible assets were based on valuations using a discounted cash flow income approach and a relief from royalty income approach, with estimates and assumptions developed by management. The process for estimating the fair values of identifiable intangible assets requires the use of significant estimates and assumptions, including estimating future cash flows and developing appropriate discount rates. The excess of the purchase price over the fair values of tangible assets, identifiable intangible assets and assumed liabilities was recorded as goodwill for each acquisition. The Company’s estimates and assumptions in determining the estimated fair values of certain assets and liabilities are subject to change within the measurement period (up to one year from the acquisition date) as a result of additional information obtained with regards to facts and circumstances that existed as of the acquisition date. ATI Based upon a preliminary valuation, the total purchase price for ATI was allocated as follows (in thousands): Purchase Allocation Cash $ 10,709 Accounts receivable 12,596 Inventories 17,431 Property, plant and equipment 4,195 Intangible assets 52,400 Goodwill 143,851 Deferred tax assets 345 Other assets 11,425 Total assets acquired 252,952 Accounts payable 5,135 Deferred tax liabilities 228 Other liabilities 14,938 Total liabilities assumed 20,301 Total assets acquired, net of liabilities assumed 232,651 Less: cash acquired 10,709 Less: contingent consideration 51,900 Initial purchase price, net of cash acquired $ 170,042 The purchase price allocation is preliminary as the Company is in the process of collecting additional information for the valuation of inventories, property plant and equipment, intangible assets, other liabilities, contingent consideration and unrecognized tax benefits. The fair value of intangible assets for ATI is comprised of the following (dollar amounts in thousands): Weighted Average Estimated Fair Amortization Value Period Developed technologies $ 19,800 15 years Customer relationships 23,600 15 years Trademarks and trade names 5,600 15 years Backlog 3,400 1 year Total $ 52,400 The purchase price allocation resulted in $52.4 million of identifiable intangible assets and $143.9 million of goodwill. Goodwill amounting to $143.4 million is expected to be deductible for U.S. income tax purposes. Intangible assets are being amortized over their weighted average useful lives primarily based upon the pattern in which anticipated economic benefits from such assets are expected to be realized. The goodwill recorded represents the anticipated incremental value of future cash flows potentially attributable to: (i) ATI’s ability to grow the business with existing and new customers, including leveraging the Company’s customer base; (ii) ATI’s ability to grow the business through new product introductions; and (iii) cost improvements due to the integration of ATI’s operations into the Company’s existing infrastructure. The operating results of ATI were included in the Company’s results of operations beginning on August 31, 2021. ATI contributed revenues of $8.7 million and a profit before income taxes of $0.8 million to the Company’s operating results for the nine months ended October 1, 2021. ATI’s profit before income taxes for the period from the acquisition date through October 1, 2021 included amortization of inventory fair value adjustments and amortization of purchased intangible assets of $0.8 million. SEM Based upon a preliminary valuation, the total purchase price for SEM was allocated as follows (in thousands): Purchase Allocation Cash $ 3,881 Accounts receivable 4,240 Inventories 2,499 Property, plant and equipment 452 Intangible assets 54,570 Goodwill 70,064 Other assets 776 Total assets acquired 136,482 Accounts payable 1,325 Deferred tax liabilities 12,387 Other liabilities 3,750 Total liabilities assumed 17,462 Total assets acquired, net of liabilities assumed 119,020 Less: cash acquired 3,881 Total purchase price, net of cash acquired $ 115,139 The purchase price allocation is preliminary as the Company is in the process of collecting additional information for the valuation of inventories, intangible assets, other liabilities and unrecognized tax benefits. The fair value of intangible assets for SEM is comprised of the following (dollar amounts in thousands): Weighted Average Estimated Fair Amortization Value Period Developed technologies $ 9,110 15 years Customer relationships 41,740 20 years Trademarks and trade names 370 4 years Backlog 3,350 1 year Total $ 54,570 The purchase price allocation resulted in $54.6 million of identifiable intangible assets and $70.1 million of goodwill. As the SEM acquisition was structured as a stock acquisition for income tax purposes, the goodwill is not expected to be deductible for income tax purposes. Intangible assets are being amortized over their weighted average useful lives primarily based upon the pattern in which anticipated economic benefits from such assets are expected to be realized. The goodwill recorded represents the anticipated incremental value of future cash flows potentially attributable to: (i) SEM’s ability to grow the business with existing and new customers, including leveraging the Company’s customer base; (ii) SEM’s ability to grow the business through new product introductions; and (iii) cost improvements due to the integration of SEM’s operations into the Company’s existing infrastructure. The operating results of SEM were included in the Company’s results of operations beginning on September 1, 2021. SEM contributed revenues of $2.4 million and a profit before income taxes of $0.1 million to the Company’s operating results for the nine months ended October 1, 2021. SEM’s profit before income taxes for the period from the acquisition date through October 1, 2021 included amortization of inventory fair value adjustments and amortization of purchased intangible assets of $0.5 million. Unaudited Pro Forma Information The pro forma information for all periods presented below includes the effects of business combination accounting resulting from the acquisitions of ATI and SEM, including amortization of inventory fair value adjustments, amortization of intangible assets, interest expense on borrowings in connection with the acquisition, and the related tax effects, assuming that the acquisitions had been consummated as of January 1, 2020. The pro forma financial information is presented for comparative purposes only and is not necessarily indicative of the results of operations that actually would have been achieved if the acquisitions had taken place on January 1, 2020. Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Revenue $ 197,715 $ 186,919 $ 584,051 $ 508,906 Consolidated net income $ 13,995 $ 9,908 $ 38,188 $ 25,551 Acquisition Costs Acquisition costs are included in restructuring and acquisition related costs in the consolidated statements of operations. Acquisition-related costs for ATI and SEM acquisitions are as follows (in thousands): Three Nine Months Ended October 1, October 1, 2021 2021 ATI $ 1,956 $ 3,321 SEM $ 864 $ 1,052

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	9 Months Ended
	Oct. 01, 2021
Equity [Abstract]
Accumulated Other Comprehensive Loss	4. Accumulated Other Comprehensive Loss Changes in accumulated other comprehensive loss was as follows (in thousands): Total Accumulated Other Cumulative Pension Comprehensive Translation Liability Loss Adjustments Adjustments Balance at December 31, 2020 $ (12,241 ) $ (2,296 ) $ (9,945 ) Other comprehensive income (loss) (3,487 ) (3,602 ) 115 Amounts reclassified from accumulated other comprehensive loss 717 — 717 Balance at October 1, 2021 $ (15,011 ) $ (5,898 ) $ (9,113 ) 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
	Oct. 01, 2021
Earnings Per Share [Abstract]
Earnings per Common Share	5. 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. For the three and nine months ended October 1, 2021 and October 2, 2020, respectively, weighted average shares outstanding for the diluted earnings per common share included the dilutive effect of outstanding restricted stock units, stock options, and total shareholder return performance-based restricted stock units, determined using the treasury stock method. The dilutive effects of market-based contingently issuable shares 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. Dilutive effects of attainment-based contingently issuable shares granted to the former Laser Quantum Limited (“Laser Quantum”) noncontrolling interest shareholders, non-GAAP EPS performance-based restricted stock units and operating cash flow performance-based restricted stock units are included in the weighted average common share calculation when the performance targets have been achieved based on the cumulative achievement against the performance targets as of the end of each 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 Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Numerators: Consolidated net income $ 13,603 $ 8,258 $ 36,577 $ 31,865 Denominators: Weighted average common shares outstanding— basic 35,447 35,142 35,366 35,144 Dilutive potential common shares 317 546 405 465 Weighted average common shares outstanding— diluted 35,764 35,688 35,771 35,609 Antidilutive potential common shares excluded from above 1 — 18 17 Earnings per Common Share: Basic $ 0.38 $ 0.23 $ 1.03 $ 0.91 Diluted $ 0.38 $ 0.23 $ 1.02 $ 0.89 For both the three and nine months ended October 1, 2021, 45 thousand non-GAAP EPS performance-based restricted stock units and 37 thousand operating cash flow performance-based restricted stock units granted to certain members of the executive management team, and 213 thousand shares of restricted stock issued to the former Laser Quantum non-controlling interest shareholders are considered contingently issuable shares and were excluded from the calculation of the denominator as the contingent conditions had not been met as of October 1, 2021. For both the three and nine months ended October 2, 2020, 73 thousand non-GAAP EPS performance-based restricted stock units granted to certain members of the executive management team and 213 thousand shares of restricted stock issued to the former Laser Quantum non-controlling interest shareholders were considered contingently issuable shares and were excluded from the calculation of the denominator as the contingent conditions had not been met as of October 2, 2020.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Oct. 01, 2021
Fair Value Disclosures [Abstract]
Fair Value Measurements	6. 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 an asset the Company measures 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, 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 Consideration s On August 30, 2021, the Company acquired ATI. Under the purchase and sale agreement for the ATI acquisition, the former shareholders of ATI are eligible to receive contingent consideration based on ATI’s fiscal year 2021 Adjusted EBITDA, as defined in the purchase and sale agreement. The contingent consideration will be payable in 2022. The preliminary fair value of the contingent consideration of $51.9 million was determined based on the Monte Carlo valuation method and was recorded as part of the purchase price as of the acquisition date. Once the fair value of contingent consideration is finalized, 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. There have been no changes in the fair value of the contingent consideration since the date of the acquisition. 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). In March 2021, the Company made the first installment payment of €0.4 million ($0.4 million), which is included in cash flows from financing activities in the consolidated statement of cash flows for the nine months ended October 1, 2021. Based on the revenue performance and revenue projections as of October 1, 2021, the fair value of the contingent consideration was adjusted to €3.7 million ($4.3 million). There were no other changes in the fair value of the contingent consideration during the three and nine months ended October 1, 2021. On April 16, 2019, the Company acquired Ingenia CAT, S.L. (“Ingenia”). Under the purchase and sale agreement for the Ingenia acquisition, the shareholders of Ingenia are eligible to receive contingent consideration based on the achievement of certain revenue targets by the Company from April 2019 through March 2022. The undiscounted range of possible contingent consideration is zero to €8.0 million ($9.0 million). If the revenue targets are achieved, the contingent consideration would be payable in cash in three annual installments from 2020 to 2022. The estimated fair value of the contingent consideration of €5.8 million ($6.6 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. Based on the revenue performance and revenue projections for fiscal years 2021 and 2022 as of December 31, 2020, the fair value of the contingent consideration was adjusted to €2.3 million ($2.9 million). Based on the revenue performance and revenue projections as of April 2, 2021, the fair value of the contingent consideration was adjusted to €2.4 million ($2.9 million). The Company made the first installment payment of €1.0 million ($1.1 million) in May 2020 and the second installment payment of €1.2 million ($1.4 million) in May 2021. These installment payments are reported as cash flows from financing activities in the consolidated statement of cash flows for the respective periods. There were no other changes in the fair value of the contingent consideration during the three and nine months ended October 1, 2021. On December 14, 2016, the Company acquired certain video signal processing and management technologies used in medical visualization solutions. Under the purchase and sale agreement, the former owners are eligible to receive contingent consideration based on the achievement of certain revenue targets by the Company from 2018 to 2021 from products utilizing the acquired technologies. The undiscounted range of possible contingent consideration is zero to €5.5 million ($6.6 million). If the revenue targets are achieved, the contingent consideration would be payable in cash in four installments from 2019 to 2022. As the acquired assets did not meet the definition of a business, the fair value of the contingent consideration is recognized when probable and estimable and is capitalized as part of the cost of the acquired assets. Subsequent changes in the estimated fair value of this contingent liability are recorded as adjustments to the carrying value of the assets acquired and amortized over the remaining useful life of the underlying assets. The Company made the first installment payment of €2.4 million ($2.6 million) in February 2020 and the second installment payment of €1.8 million ($2.2 million) in February 2021. These installment payments are reported as cash flows from investing activities in the consolidated statement of cash flows for the respective periods. There were no other changes in the fair value of the contingent consideration during the three and nine months ended October 1, 2021. 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 October 1, 2021 (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 $ 3,089 $ 3,089 $ — $ — Prepaid expenses and other current assets: Foreign currency forward contracts 202 — 202 — $ 3,291 $ 3,089 $ 202 $ — Liabilities Accrued expenses and other current liabilities: Contingent considerations - Current $ 55,469 $ — $ — $ 55,469 Foreign currency forward contracts 10 — 10 — Other liabilities: Contingent considerations - Long-term 3,605 — — 3,605 $ 59,084 $ — $ 10 $ 59,074 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, 2020 (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 $ 11,047 $ 11,047 $ — $ — Prepaid expenses and other current assets: Foreign currency forward contracts 27 — 27 — $ 11,074 $ 11,047 $ 27 $ — Liabilities Accrued expenses and other current liabilities: Contingent considerations - Current $ 4,280 $ — $ — $ 4,280 Foreign currency forward contracts — — — — Other liabilities: Contingent considerations - Long-term 7,276 — — 7,276 $ 11,556 $ — $ — $ 11,556 Changes in the fair value of Level 3 contingent considerations during the nine months ended October 1, 2021 were as follows (in thousands): Contingent Considerations Balance at December 31, 2020 $ 11,556 Acquisition of ATI 51,900 Payments (4,036 ) Fair value adjustments 26 Effect of foreign exchange rates (372 ) Balance at October 1, 2021 $ 59,074 The following table provides qualitative information associated with the fair value measurement of the Company’s Level 3 liabilities: Liability October 1, 2021 Fair Value (in thousands) Valuation Technique Unobservable Inputs Percentage Applied Contingent consideration (ATI) $51,900 Monte Carlo method Historical and projected adjusted N/A EBITDA for fiscal year 2021 EBITDA risk premium 7.2% EBITDA volatility 27.0% Credit spread 2.1% Contingent consideration (ARGES) $4,282 Monte Carlo method Historical and projected revenues from August 2019 through December 2026 N/A Revenue volatility 21.0% Cost of debt 2.6% Discount rate 3.7% Contingent consideration (Ingenia) $1,493 Monte Carlo method Historical and projected revenues from April 2019 through March 2022 N/A Revenue volatility 38.5% Cost of debt 3.1% Discount rate 9.6% Contingent consideration (Other) $1,399 Discounted cash flow method Historical and projected revenues for fiscal years 2018 to 2021 N/A Revenue discount rate 22.8% Increases or decreases in the unobservable inputs noted above would result in a higher or lower fair value measurement. See Note 10 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
	Oct. 01, 2021
Derivative Instruments And Hedging Activities Disclosure [Abstract]
Foreign Currency Contracts	7. 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. 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 October 1, 2021, the aggregate notional amount and fair value of the Company’s foreign currency forward contracts was $48.3 million and a net gain of $0.2 million, respectively. As of December 31, 2020, the aggregate notional amount and fair value of the Company’s foreign currency forward contracts was $28.5 million and a net gain of less than $0.1 million, respectively. The Company recognized an aggregate net gain of $0.3 million and $0.9 million for the three and nine months ended October 1, 2021, respectively, and an aggregate net gain of $1.0 million and $1.4 million for the three and nine months ended October 2, 2020, respectively. These amounts were included in foreign exchange transaction gains (losses) in the consolidated statement of operations for all periods presented.

Goodwill and Intangible Assets

Goodwill and Intangible Assets	9 Months Ended
	Oct. 01, 2021
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	8. 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 2021 and noted no impairment. The following table summarizes changes in goodwill during the nine months ended October 1, 2021 (in thousands): Balance at beginning of the period $ 285,980 Goodwill acquired from acquisitions 213,915 Effect of foreign exchange rate changes (6,955 ) Balance at end of the period $ 492,940 Goodwill by reportable segment as of October 1, 2021 was as follows (in thousands): Reportable Segment Photonics Vision Precision Motion Total Goodwill $ 215,453 $ 161,885 $ 266,831 $ 644,169 Accumulated impairment of goodwill (102,461 ) (31,722 ) (17,046 ) (151,229 ) Total $ 112,992 $ 130,163 $ 249,785 $ 492,940 Goodwill by reportable segment as of December 31, 2020 was as follows (in thousands): Reportable Segment Photonics Vision Precision Motion Total Goodwill $ 218,517 $ 165,195 $ 53,497 $ 437,209 Accumulated impairment of goodwill (102,461 ) (31,722 ) (17,046 ) (151,229 ) Total $ 116,056 $ 133,473 $ 36,451 $ 285,980 Intangible Assets Intangible assets as of October 1, 2021 and December 31, 2020, respectively, are summarized as follows (in thousands): October 1, 2021 December 31, 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Amount Accumulated Amortization Net Carrying Amount Amortizable intangible assets: Patents and developed technologies $ 190,485 $ (118,535 ) $ 71,950 $ 164,430 $ (110,572 ) $ 53,858 Customer relationships 229,369 (101,546 ) 127,823 167,429 (92,892 ) 74,537 Customer backlog 6,753 (563 ) 6,190 — — — Trademarks and trade names 24,052 (12,015 ) 12,037 18,367 (11,268 ) 7,099 Amortizable intangible assets 450,659 (232,659 ) 218,000 350,226 (214,732 ) 135,494 Non-amortizable intangible assets: Trade names 13,027 — 13,027 13,027 — 13,027 Totals $ 463,686 $ (232,659 ) $ 231,027 $ 363,253 $ (214,732 ) $ 148,521 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. Amortizat ion expense was as follows (in thousands): Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Amortization expense – cost of revenue $ 3,316 $ 2,820 $ 9,275 $ 8,270 Amortization expense – operating expenses 4,139 3,533 11,300 10,388 Total amortization expense $ 7,455 $ 6,353 $ 20,575 $ 18,658 Estimated amortization expense for each of the five succeeding years and thereafter as of October 1, 2021 was as follows (in thousands): Year Ending December 31, Cost of Revenue Operating Expenses Total 2021 (remainder of year) $ 4,029 $ 5,294 $ 9,323 2022 13,854 27,032 40,886 2023 12,544 20,998 33,542 2024 10,170 17,631 27,801 2025 8,579 14,917 23,496 Thereafter 22,774 60,178 82,952 Total $ 71,950 $ 146,050 $ 218,000

Supplementary Balance Sheet Inf

Supplementary Balance Sheet Information	9 Months Ended
	Oct. 01, 2021
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Supplementary Balance Sheet Information	9. Supplementary Balance Sheet Information The following tables provide the details of selected balance sheet items as of the periods indicated (in thousands): Inventories October 1, December 31, 2021 2020 Raw materials $ 75,445 $ 55,657 Work-in-process 21,409 15,487 Finished goods 20,781 20,234 Demo and consigned inventory 1,787 1,359 Total inventories $ 119,422 $ 92,737 Accrued Expenses and Other Current Liabilities October 1, December 31, 2021 2020 Accrued compensation and benefits $ 20,546 $ 12,510 Accrued warranty 4,527 4,919 Contract liabilities, current portion 9,190 6,173 Finance lease obligations 590 9,720 Accrued earn-out and contingent considerations 55,469 10,796 Other 14,184 9,662 Total $ 104,506 $ 53,780 Accrued Warranty Nine Months Ended October 1, October 2, 2021 2020 Balance at beginning of the period $ 4,919 $ 5,756 Provision charged to cost of revenue 1,215 1,255 Warranty liabilities acquired from acquisitions 541 — Use of provision (2,075 ) (1,941 ) Foreign currency exchange rate changes (73 ) 32 Balance at end of the period $ 4,527 $ 5,102 Other Long Term Liabilities October 1, December 31, 2021 2020 Finance lease obligations $ 5,461 $ 5,908 Accrued pension liabilities 326 1,511 Accrued contingent considerations 3,605 7,276 Other 2,352 2,471 Total $ 11,744 $ 17,166

Debt

Debt	9 Months Ended
	Oct. 01, 2021
Debt Disclosure [Abstract]
Debt	10. Debt Debt consisted of the following (in thousands): October 1, December 31, 2021 2020 Senior Credit Facilities – term loan $ 5,238 $ 5,545 Less: unamortized debt issuance costs (31 ) (37 ) Total current portion of long-term debt $ 5,207 $ 5,508 Senior Credit Facilities – term loan $ 90,092 $ 99,534 Senior Credit Facilities – revolving credit facility 355,288 99,761 Less: unamortized debt issuance costs (3,549 ) (4,368 ) Total long-term debt $ 441,831 $ 194,927 Total Senior Credit Facilities $ 447,038 $ 200,435 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 Senior Credit Facilities mature in December 2024 and includes an uncommitted “accordion” feature pursuant to which the commitments under the revolving credit facility may be increased by an additional $200.0 million in aggregate, subject to certain customary conditions. On March 27, 2020, the Company entered into an amendment (the “First Amendment”) to the Third Amended and Restated Credit Agreement The outstanding principal balance under the term loan facility is payable in quarterly installments of €1.1 million beginning 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 through December 2024. The Company made principal payments of €3.4 million ($4.0 million) towards its term loan and $20.0 million towards its revolving credit facility during the nine months ended October 1, 2021. 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 October 1, 2021. 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 October 1, 2021 and December 31, 2020, 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
	Oct. 01, 2021
Leases [Abstract]
Leases	11. Leases Most leases held by the Company expire between 2021 and 2034. 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 10 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 renewals 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 Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Operating lease cost $ 2,418 $ 1,786 $ 6,213 $ 5,693 Finance lease cost Amortization of right-of-use assets 149 253 451 748 Interest on lease liabilities 85 108 257 326 Variable lease cost 275 320 834 1,043 Total lease cost $ 2,927 $ 2,467 $ 7,755 $ 7,810 The following table provides additional details of balance sheet information related to the Company’s leases (in thousands, except lease term and discount rate): October 1, December 31, 2021 2020 Operating leases Operating lease right-of-use assets $ 43,459 $ 34,444 Current portion of operating lease liabilities $ 7,575 $ 6,188 Operating lease liabilities 40,850 32,802 Total operating lease liabilities $ 48,425 $ 38,990 Finance leases Property, plant and equipment, gross $ 9,582 $ 19,819 Accumulated depreciation (4,918 ) (4,934 ) Finance lease assets included in property, plant and equipment, net $ 4,664 $ 14,885 Accrued expenses and other current liabilities $ 590 $ 9,720 Other liabilities 5,461 5,908 Total finance lease liabilities $ 6,051 $ 15,628 Weighted-average remaining lease term (in years): Operating leases 8.4 9.3 Finance leases 7.8 3.5 Weighted-average discount rate: Operating leases 4.96% 5.50 % Finance leases 5.54% 3.00 % The following table provides additional details of cash flow information related to the Company’s leases (in thousands): Nine Months Ended October 1, October 2, 2021 2020 Cash paid for amounts included in lease liabilities: Operating cash flows from finance leases $ 257 $ 357 Operating cash flows from operating leases $ 5,562 $ 5,088 Financing cash flows from finance leases $ 9,166 $ 1,034 Supplemental non-cash information: Right-of-use assets obtained in exchange for new operating lease liabilities $ 15,340 $ 3,050 During the nine months ended October 1, 2021, the Company paid $8.7 million upon the exercise of an option to purchase a building under a finance lease agreement in Germany. The cash payment is presented as a cash outflow from financing activities in the consolidated statement of cash flows. Future minimum lease payments under operating and finance leases expiring subsequent to October 1, 2021, 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 2021 (remainder of year) $ 2,141 $ 227 2022 9,539 907 2023 8,241 930 2024 7,230 954 2025 6,967 954 Thereafter 27,090 3,486 Total minimum lease payments 61,208 7,458 Less: Interest (12,783 ) (1,407 ) Present value of lease liabilities $ 48,425 $ 6,051

Preferred and Common Shares and

Preferred and Common Shares and Share-Based Compensation	9 Months Ended
	Oct. 01, 2021
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Preferred and Common Shares and Share-Based Compensation	12. 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 October 1, 2021, no preferred shares had been issued and outstanding. Common Share Repurchases In October 2018, the Company’s Board of Directors approved a share repurchase plan (the “2018 Repurchase Plan”), authorizing the repurchase of $25.0 million worth of the Company’s common shares. In February 2020, the Company’s Board of Directors approved a new share repurchase plan (the “2020 Repurchase Plan”), authorizing the repurchase of an additional $50.0 million worth of the Company’s common shares. As of October 1, 2021, the Company had $59.5 million available for future share repurchases under these share repurchase plans. Share-Based Compensation Expense The table below summarizes share-based compensation expense recorded in the consolidated statements of operations (in thousands): Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Selling, general and administrative $ 4,360 $ 4,265 $ 13,123 $ 10,225 Research and development and engineering 534 1,150 1,776 2,204 Cost of revenue 631 1,589 2,305 3,185 Restructuring, acquisition, and related costs 2,965 221 2,965 458 Total share-based compensation expense $ 8,490 $ 7,225 $ 20,169 $ 16,072 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 $1.1 million and $1.0 million during the nine months ended October 1, 2021 and October 2, 2020, respectively. On May 13, 2021, the Company’s shareholders approved the Amended and Restated 2010 Incentive Award Plan, which increased the number of shares authorized for issuance under the plan from 4,398,613 shares to 6,148,613 shares, extended the term of the plan through May 13, 2031, and included certain provisions that reflect good corporate governance practices. 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. 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. There were 91 thousand and 162 thousand DSUs outstanding as of October 1, 2021 and December 31, 2020, 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 October 1, 2021: Shares (In thousands) Weighted Average Grant Date Fair Value Unvested at December 31, 2020 625 $ 58.79 Granted 169 $ 136.85 Vested (485 ) $ 51.21 Forfeited (20 ) $ 103.20 Unvested at October 1, 2021 289 $ 113.94 Expected to vest as of October 1, 2021 272 The total fair value of RSUs and DSUs that vested during the nine months ended October 1, 2021 was $68.0 million based on the market price of the underlying shares on the date of vesting. Performance Stock Units The Company typically grants two types of annual performance-based stock awards to certain members of the executive management team: non-GAAP EPS performance-based restricted stock units (“EPS-PSUs”) and relative total shareholder return performance-based restricted stock units (“TSR-PSUs”). Both types of performance-based restricted stock units generally cliff vest on the first day following the end of the three-year The number of common shares to be issued upon settlement following vesting of the EPS-PSUs is determined based on the Company’s cumulative non-GAAP EPS over a three-year performance period against the performance 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 three-year performance cycle. 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 the TSR-PSUs is determined based on the relative market performance of the Company’s common shares compared to the Russell 2000 Index over a three-year In February 2021, the Company granted operating cash flow performance-based restricted stock units (“OCF-PSUs”) to certain members of the executive management team. Upon completion of the requisite service periods, the OCF-PSUs will vest in two tranches if the Company achieves the cumulative operating cash flow performance target for fiscal years 2021 through 2023 as approved by the Company’s Compensation Committee as of the date of grant. The first fifty percent of the OCF-PSU grant will vest at the end of the four-year end of the five-year service period from the date of grant. The Company recognizes compensation expense ratably over the requisite service period based on the expectation that 100 percent of the OCF-PSUs are deemed probable of vesting. 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 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 October 1, 2021: Shares (In thousands) Weighted Average Grant Date Fair Value Unvested at December 31, 2020 142 $ 88.99 Granted 67 $ 150.89 Performance adjustment 28 $ 67.72 Vested (75 ) $ 64.25 Forfeited — $ — Unvested at October 1, 2021 162 $ 122.26 Expected to vest as of October 1, 2021 177 The unvested PSUs are shown at target in the table above. As of October 1, 2021, the maximum number of common shares to be earned under these PSU grants was approximately 286 thousand shares. The performance adjustment shares and vested shares shown in the table above are for performance-based awards granted on February 22, 2018. These awards vested at 160% of target number of common shares during the nine months ended October 1, 2021 based on the achievement of cumulative Non-GAAP EPS and applicable relative TSR performance conditions during the performance period of fiscal years 2018 through 2020. The total fair value of PSUs that vested during the nine months ended October 1, 2021 was $9.3 million based on the market price of the underlying common shares on the date of vesting. The fair value of the TSR-PSUs at the date of grant was estimated using the Monte Carlo valuation method with the following assumptions: Nine Months Ended October 1, 2021 Grant-date stock price $ 138.23 Expected volatility 42.44 % Risk-free interest rate 0.22 % Expected annual dividend yield — Fair value $ 166.64 Stock Options No stock options were granted during the nine months ended October 1, 2021. There were 60 thousand fully-vested stock options outstanding as of October 1, 2021.

Income Taxes

Income Taxes	9 Months Ended
	Oct. 01, 2021
Income Tax Disclosure [Abstract]
Income Taxes	13. 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 fiscal quarter 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 and certain non-U.S. tax attributes that the Company has determined are 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 (0.6%) for the three months ended October 1, 2021 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, other tax credits, and windfall tax benefits upon vesting of certain share-based compensation awards, partially offset by an increase in valuation allowances. The Company’s effective tax rate of 2.0% for the nine months ended October 1, 2021 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, other tax credits, a release of uncertain tax position reserves, and windfall tax benefits upon vesting of certain share-based compensation awards, partially offset by the revaluation of long term deferred tax balances resulting from the U.K. corporate tax rate change and an increase in valuation allowances during the period. For the nine months ended October 1, 2021, the windfall tax benefits upon vesting of certain share-based compensation awards had a benefit of 14.5% on the Company’s effective tax rate. The Company’s effective tax rate of 17.6% for the three months ended October 2, 2020 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 other tax credits. The Company’s effective tax rate of 5.2% for the nine months ended October 2, 2020 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, other tax credits, windfall tax benefits upon vesting of certain share-based compensation awards during the period, and a release of a portion of the valuation allowance on the deferred tax assets in Canada. For the nine months ended October 2, 2020, the windfall tax benefits upon vesting of certain share-based compensation awards and the valuation allowance release had a benefit of 7.9% and 3.3%, respectively, on the Company’s effective tax rate.

Restructuring, Acquisition, and

Restructuring, Acquisition, and Related Costs	9 Months Ended
	Oct. 01, 2021
Restructuring And Related Activities [Abstract]
Restructuring, Acquisition, and Related Costs	14. Restructuring, Acquisition, and Related Costs The following table summarizes restructuring, acquisition, and related costs in the accompanying consolidated statements of operations (in thousands): Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 2020 restructuring $ 5,185 $ 1,006 $ 7,688 $ 1,006 2019 restructuring — 68 208 667 2018 restructuring — — — 754 Total restructuring charges $ 5,185 $ 1,074 $ 7,896 $ 2,427 Acquisition and related charges 2,935 613 8,589 3,164 Total restructuring, acquisition, and related costs $ 8,120 $ 1,687 $ 16,485 $ 5,591 2020 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 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 will be focused on cost reduction actions that improve gross margins for the overall company. During the three and nine months ended October 1, 2021, the Company recorded $5.2 million and $7.7 million, respectively, in severance and other costs in connection with the 2020 restructuring program. As of October 1, 2021, the Company had incurred cumulative costs related to this restructuring plan totaling $ million. The Company anticipates substantially completing the 2020 restructuring program in the second quarter of 202 2 and expects to incur additional restructuring charges of $ million to $ million related to the 2020 restructuring program. The following table summarizes restructuring costs associated with the 2020 restructuring program by reportable segment (in thousands): Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Photonics $ 2,349 $ — $ 2,839 $ — Vision 193 1,006 890 1,006 Precision Motion 2,643 — 3,959 — Unallocated Corporate and Shared Services — — — — Total $ 5,185 $ 1,006 $ 7,688 $ 1,006 2019 Restructuring During the fourth quarter of 2018, the Company implemented a restructuring plan intended to realign operations, reduce costs, achieve operational efficiencies and focus resources on growth initiatives (the “2019 restructuring plan”). During the three and nine months ended October 1, 2021, the Company incurred zero and $0.2 million, respectively, in severance and related costs in connection with the 2019 restructuring plan. As of October 2, 2021, the Company incurred cumulative costs related to this restructuring plan totaling $9.0 million. The 2019 restructuring program was completed in the first quarter of 2021. 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 Severance Facility Other Balance at December 31, 2020 $ 1,800 $ 1,681 $ 116 $ 3 Restructuring charges 7,896 6,292 1,183 421 Cash payments (2,333 ) (1,837 ) (215 ) (281 ) Non-cash charges and other adjustments (1) (3,486 ) (2,981 ) (505 ) — Balance at October 1, 2021 $ 3,877 $ 3,155 $ 579 $ 143 (1) Non-cash charges included stock compensation charges amounting to $3.0 million associated with severance agreements for certain employees. Acquisition and Related Charges Acquisition costs in connection with business combinations, including finders’ fees, legal, valuation, and other professional or consulting fees, totaled $2.9 million and $4.7 million for the three and nine months ended October 1, 2021, respectively, and less than $0.1 million and $0.1 million for the three and nine months ended October 2, 2020, respectively. The Company incurred $0.1 million and $1.9 million for the three and nine months ended October 1, 2021, respectively, and $0.4 million and $1.0 million for the three and nine months ended October 2, 2020, respectively, in legal costs related to a dispute involving a company that was acquired in 2019. Acquisition and related costs recognized under earn-out agreements in connection with acquisitions totaled less than ($0.1) million and $1.9 million for the three and nine months ended October 1, 2021, respectively, and $0.2 million and $2.0 million for the three and nine months ended October 2, 2020, respectively. The majority of acquisition and related costs for the three months ended October 1, 2021 were included in the Company’s Unallocated Corporate and Shared Services reportable segment. The majority of acquisition and related costs for the nine months ended October 1, 2021 were included in the Company’s Precision Motion, Vision and Unallocated Corporate and Shared Services reportable segments. The majority of acquisition and related costs for the three and nine months ended October 2, 2020 were included in the Company’s Precision Motion and Vision reportable segments.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Oct. 01, 2021
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	15. Commitments and Contingencies Purchase Commitments Excluding ATI’s purchase commitments, there have been no material changes to the Company’s purchase commitments since December 31, 2020. As of October 1, 2021, ATI had noncancellable commitments of $17.9 million, primarily related to inventory purchases. The majority of these purchase commitments are expected to be incurred within the next twelve months. Legal Contingencies In April 2020, the Company received notification of an arbitration demand filed with the American Arbitration Association against a business acquired by the Company in June 2019. The arbitration demand was filed by a contract counterparty to a joint product development agreement entered into by the business before Novanta acquired it. The arbitration demand alleged breach of contract and other claims arising out of allegations that the business failed to engage in required marketing activities for the product developed under the joint product development agreement. The claimant sought compensatory and punitive damages, lost profits and other relief. During the second quarter of 2021, the arbitrator formally closed the arbitration pursuant to a settlement between the parties. No financial damages payments were made by the Company. 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 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 made. Legal fees are expensed as incurred. The Company does not believe that the outcome of these claims will have a material adverse effect on its consolidated financial statements but there can be no assurance that any such claims, or any similar 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 and 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 officer or director in connection with any proceeding by reason of his or her 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
	Oct. 01, 2021
Segment Reporting [Abstract]
Segment Information	16. Segment Information Reportable Segments The Company’s Chief Operating Decision Maker (“CODM”) utilizes 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 was impracticable due to the highly customized and extensive portfolio of technologies offered to customer s . Based upon the information provided to the CODM, the Company has determined that it operates in three reportable segments: Photonics, Vision, and Precision Motion. The reportable segments and their principal activities consist of the following: Photonics The Photonics 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 to customers worldwide. The segment serves highly demanding photonics-based applications for advanced industrial processes, metrology, medical and life science imaging, DNA sequencing, and medical laser procedures. The vast majority of the segment’s product offerings are sold to OEM customers. The segment sells these products both directly, utilizing a highly technical sales force, and indirectly, through resellers and distributors. Vision The Vision segment designs, manufactures and markets a range of medical grade technologies, including medical insufflators, pumps and related disposables; visualization solutions; wireless, 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. The segment sells these products both directly, utilizing a highly technical sales force, and indirectly, through resellers and distributors. Precision Motion The Precision Motion segment designs, manufactures and markets optical and inductive encoders, precision motor and motion control sub-assemblies, servo drives, intelligent robotic end-of-arm technology solutions, air bearings, and air bearing spindles to customers worldwide. The vast majority of the segment’s product offerings are sold to OEM customers. 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 Nine Months Ended October 1, October 2, October 1, October 2, Revenue 2021 2020 2021 2020 Photonics $ 55,263 $ 46,394 $ 176,113 $ 149,337 Vision 65,346 64,299 196,429 198,047 Precision Motion 57,117 32,236 135,291 95,741 Total $ 177,726 $ 142,929 $ 507,833 $ 443,125 Three Nine Months Ended October 1, October 2, October 1, October 2, Gross Profit 2021 2020 2021 2020 Photonics $ 25,311 $ 20,166 $ 83,014 $ 65,725 Vision 24,763 24,586 76,132 75,676 Precision Motion 27,743 15,011 64,694 42,753 Unallocated Corporate and Shared Services (1,519 ) (658 ) (6,396 ) (1,902 ) Total $ 76,298 $ 59,105 $ 217,444 $ 182,252 Three Nine Months Ended October 1, October 2, October 1, October 2, Gross Profit Margin 2021 2020 2021 2020 Photonics 45.8 % 43.5 % 47.1 % 44.0 % Vision 37.9 % 38.2 % 38.8 % 38.2 % Precision Motion 48.6 % 46.6 % 47.8 % 44.7 % Total 42.9 % 41.4 % 42.8 % 41.1 % Three Nine Months Ended October 1, October 2, October 1, October 2, Operating Income (Loss) 2021 2020 2021 2020 Photonics $ 9,294 $ 7,026 $ 35,885 $ 22,878 Vision 5,606 3,799 12,178 14,098 Precision Motion 14,957 7,675 34,681 20,728 Unallocated Corporate and Shared Services (14,582 ) (6,634 ) (40,378 ) (18,887 ) Total $ 15,275 $ 11,866 $ 42,366 $ 38,817 Three Nine Months Ended October 1, October 2, October 1, October 2, Depreciation and Amortization Expenses 2021 2020 2021 2020 Photonics $ 2,901 $ 2,864 $ 8,703 $ 8,303 Vision 5,239 5,296 15,793 15,845 Precision Motion 2,691 1,369 5,916 4,055 Unallocated Corporate and Shared Services 59 67 201 160 Total $ 10,890 $ 9,596 $ 30,613 $ 28,363 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 Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 United States $ 72,972 $ 57,635 $ 191,699 $ 171,364 Germany 25,313 18,885 71,448 64,266 Rest of Europe 34,163 30,483 105,338 94,281 China 22,230 17,409 68,286 50,285 Rest of Asia-Pacific 21,256 16,414 64,765 55,956 Other 1,792 2,103 6,297 6,973 Total $ 177,726 $ 142,929 $ 507,833 $ 443,125 The majority of revenue from our Photonics, Vision and Precision Motion segments is generated from sales to customers within the United States and Europe. Revenue by End Market The Company primarily operates in two end markets: the medical market and advanced industrial market. Revenue by end market was approximately as follows: Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Medical 53 % 54 % 53 % 56 % Advanced Industrial 47 % 46 % 47 % 44 % Total 100 % 100 % 100 % 100 % The majority of revenue from the Photonics and Precision Motion segments is generated from sales to customers in the advanced industrial market. The majority of revenue from the Vision segment is generated from sales to customers in the medical market.

Subsequent Events

Subsequent Events	9 Months Ended
	Oct. 01, 2021
Subsequent Events [Abstract]
Subsequent Events	17. Subsequent Events 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 feature to $200.0 million for potential future expansion.

Basis of Presentation (Policies

Basis of Presentation (Policies)	9 Months Ended
	Oct. 01, 2021
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation Novanta Inc. and its subsidiaries (collectively referred to as “Novanta”, the “Company”, “we”, “us”, “our”) 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 photonics, vision and precision motion 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, 2020. 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.
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, including estimated economic implications of the COVID-19 pandemic, and various other assumptions that it believes are reasonable under the circumstances. The accounting estimates assessed included, but were not limited to, the Company’s allowance for doubtful accounts and credit losses, inventory and related reserves and the carrying value of goodwill and other long-lived assets. While there was not a material change to the consolidated financial statements related to these estimates as of and for the nine months ended October 1, 2021, the Company’s future assessment of the magnitude and duration of the COVID-19 pandemic, as well as other factors, could result in material impacts to the Company’s consolidated financial statements in future reporting periods.
Recent Accounting Pronouncements	Recent Accounting Pronouncements The following table provides a brief description of recent Accounting Standards Updates (“ASU”) issued by the Financial Accounting Standards Board (“FASB”): Standard Description Effective Date Effect on the Financial Statements or Other Significant Matters In December 2019, the FASB issued ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes.” ASU 2019-12 simplifies the accounting for income taxes by removing certain exceptions to the general principles of Accounting Standards Codification (“ASC”) 740, “Income Taxes”, including: (i) the exception to the incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items; (ii) the exception to the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment (or vice-versa); and (iii) the exception for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. ASU 2019-12 also simplifies GAAP for other areas of ASC 740 by clarifying and amending the existing guidance. January 1, 2021. Early adoption is permitted. The Company adopted ASU 2019-12 during the first quarter of 2021. The adoption of ASU 2019-12 did not have a material impact on the Company’s consolidated financial statements. In March 2020, the FASB issued ASU 2020-04, “Reference rate reform (Topic 848): Facilitation of the effects of reference rate reform on financial reporting.” ASU 2020-04 provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. Upon issuance. ASU 2020-04 is elective. The Company does not expect the impact of ASU 2020-04 to be material to its consolidated financial statements. In October 2021, the FASB issued ASU 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers.” ASU 2021-08 requires that entities recognize and measure contract assets and liabilities acquired in a business combination in accordance with ASC 606, “Revenue from Contracts with Customers”. ASU 2021-08 also applies to contract assets or liabilities from other contracts to which the provisions of ASC 606 apply. The amendments in ASU 2021-08 do not affect the accounting for other assets or liabilities that may arise from revenue contracts with customers in accordance with ASC 606, such as refund liabilities, or in a business combination, such as customer-related intangible assets and contract-based intangible assets. January 1, 2023. Early adoption is permitted. The Company is evaluating the impact of the adoption of ASU 2021-08 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 has a right to consideration from a customer, based on the corresponding value to the customer from the Company’s performance completed to date. Engineering services aggregate to less than 3% of the Company’s consolidated revenue. 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. The 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 Company generally provides warranties for its products. The standard warranty period is typically 12 months to 24 months for the Photonics and Precision Motion segments and 12 months to 36 months for the Vision segment. The standard warranty period for product sales is accounted for under the provisions of ASC 450, “Contingencies,” as the Company has the ability to ascertain the likelihood of the liability and can reasonably estimate the amount of the liability. A provision for the estimated cost related to warranty is recorded as cost of revenue at the time revenue is recognized. The Company’s estimate of 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 liability are recorded at that time, with an offsetting adjustment to cost of revenue. Practical Expedients and Exemptions The Company expenses incremental direct costs of obtaining a contract when incurred if the expected amortization period is 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 October 1, 2021 and December 31, 2020, contract liabilities were $9.5 million and $6.5 million, respectively, and are included in accrued expenses and other current liabilities and other liabilities in the accompanying consolidated balance sheets. The increase in the contract liability balance during the nine months ended October 1, 2021 is primarily due to cash payments received in advance of satisfying performance obligations and acquired contract liabilities of $2.0 million from current year acquisitions, partially offset by $4.9 million of revenue recognized during the period that was included in the contract liability balance at December 31, 2020. Disaggregated Revenue See Note 16 for the Company’s disaggregation of revenue by segment, geography and end market.
Foreign Currency Contracts	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. 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.

Business Combinations (Tables)

Business Combinations (Tables)	9 Months Ended
	Oct. 01, 2021
Summary of Unaudited Pro Forma Information	The pro forma information for all periods presented below includes the effects of business combination accounting resulting from the acquisitions of ATI and SEM, including amortization of inventory fair value adjustments, amortization of intangible assets, interest expense on borrowings in connection with the acquisition, and the related tax effects, assuming that the acquisitions had been consummated as of January 1, 2020. The pro forma financial information is presented for comparative purposes only and is not necessarily indicative of the results of operations that actually would have been achieved if the acquisitions had taken place on January 1, 2020. Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Revenue $ 197,715 $ 186,919 $ 584,051 $ 508,906 Consolidated net income $ 13,995 $ 9,908 $ 38,188 $ 25,551
Summary of Acquisition Costs	Acquisition costs are included in restructuring and acquisition related costs in the consolidated statements of operations. Acquisition-related costs for ATI and SEM acquisitions are as follows (in thousands): Three Nine Months Ended October 1, October 1, 2021 2021 ATI $ 1,956 $ 3,321 SEM $ 864 $ 1,052
ATI Industrial Automation, Inc.
Summary of Fair Values of Assets Acquired and Liabilities Assumed Purchase Price Allocation	Based upon a preliminary valuation, the total purchase price for ATI was allocated as follows (in thousands): Purchase Allocation Cash $ 10,709 Accounts receivable 12,596 Inventories 17,431 Property, plant and equipment 4,195 Intangible assets 52,400 Goodwill 143,851 Deferred tax assets 345 Other assets 11,425 Total assets acquired 252,952 Accounts payable 5,135 Deferred tax liabilities 228 Other liabilities 14,938 Total liabilities assumed 20,301 Total assets acquired, net of liabilities assumed 232,651 Less: cash acquired 10,709 Less: contingent consideration 51,900 Initial purchase price, net of cash acquired $ 170,042
Fair Value of Intangible Assets	The fair value of intangible assets for ATI is comprised of the following (dollar amounts in thousands): Weighted Average Estimated Fair Amortization Value Period Developed technologies $ 19,800 15 years Customer relationships 23,600 15 years Trademarks and trade names 5,600 15 years Backlog 3,400 1 year Total $ 52,400
Schneider Electric Motion USA, Inc.
Summary of Fair Values of Assets Acquired and Liabilities Assumed Purchase Price Allocation	Based upon a preliminary valuation, the total purchase price for SEM was allocated as follows (in thousands): Purchase Allocation Cash $ 3,881 Accounts receivable 4,240 Inventories 2,499 Property, plant and equipment 452 Intangible assets 54,570 Goodwill 70,064 Other assets 776 Total assets acquired 136,482 Accounts payable 1,325 Deferred tax liabilities 12,387 Other liabilities 3,750 Total liabilities assumed 17,462 Total assets acquired, net of liabilities assumed 119,020 Less: cash acquired 3,881 Total purchase price, net of cash acquired $ 115,139
Fair Value of Intangible Assets	The fair value of intangible assets for SEM is comprised of the following (dollar amounts in thousands): Weighted Average Estimated Fair Amortization Value Period Developed technologies $ 9,110 15 years Customer relationships 41,740 20 years Trademarks and trade names 370 4 years Backlog 3,350 1 year Total $ 54,570

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	9 Months Ended
	Oct. 01, 2021
Equity [Abstract]
Components of Accumulated Other Comprehensive Loss	Changes in accumulated other comprehensive loss was as follows (in thousands): Total Accumulated Other Cumulative Pension Comprehensive Translation Liability Loss Adjustments Adjustments Balance at December 31, 2020 $ (12,241 ) $ (2,296 ) $ (9,945 ) Other comprehensive income (loss) (3,487 ) (3,602 ) 115 Amounts reclassified from accumulated other comprehensive loss 717 — 717 Balance at October 1, 2021 $ (15,011 ) $ (5,898 ) $ (9,113 )

Earnings per Common Share (Tabl

Earnings per Common Share (Tables)	9 Months Ended
	Oct. 01, 2021
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 Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Numerators: Consolidated net income $ 13,603 $ 8,258 $ 36,577 $ 31,865 Denominators: Weighted average common shares outstanding— basic 35,447 35,142 35,366 35,144 Dilutive potential common shares 317 546 405 465 Weighted average common shares outstanding— diluted 35,764 35,688 35,771 35,609 Antidilutive potential common shares excluded from above 1 — 18 17 Earnings per Common Share: Basic $ 0.38 $ 0.23 $ 1.03 $ 0.91 Diluted $ 0.38 $ 0.23 $ 1.02 $ 0.89

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Oct. 01, 2021
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 October 1, 2021 (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 $ 3,089 $ 3,089 $ — $ — Prepaid expenses and other current assets: Foreign currency forward contracts 202 — 202 — $ 3,291 $ 3,089 $ 202 $ — Liabilities Accrued expenses and other current liabilities: Contingent considerations - Current $ 55,469 $ — $ — $ 55,469 Foreign currency forward contracts 10 — 10 — Other liabilities: Contingent considerations - Long-term 3,605 — — 3,605 $ 59,084 $ — $ 10 $ 59,074 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, 2020 (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 $ 11,047 $ 11,047 $ — $ — Prepaid expenses and other current assets: Foreign currency forward contracts 27 — 27 — $ 11,074 $ 11,047 $ 27 $ — Liabilities Accrued expenses and other current liabilities: Contingent considerations - Current $ 4,280 $ — $ — $ 4,280 Foreign currency forward contracts — — — — Other liabilities: Contingent considerations - Long-term 7,276 — — 7,276 $ 11,556 $ — $ — $ 11,556
Changes in Fair Value of Level 3 Contingent Considerations	Changes in the fair value of Level 3 contingent considerations during the nine months ended October 1, 2021 were as follows (in thousands): Contingent Considerations Balance at December 31, 2020 $ 11,556 Acquisition of ATI 51,900 Payments (4,036 ) Fair value adjustments 26 Effect of foreign exchange rates (372 ) Balance at October 1, 2021 $ 59,074
Schedule of Fair Value Measurement Inputs and Valuation Techniques	The following table provides qualitative information associated with the fair value measurement of the Company’s Level 3 liabilities: Liability October 1, 2021 Fair Value (in thousands) Valuation Technique Unobservable Inputs Percentage Applied Contingent consideration (ATI) $51,900 Monte Carlo method Historical and projected adjusted N/A EBITDA for fiscal year 2021 EBITDA risk premium 7.2% EBITDA volatility 27.0% Credit spread 2.1% Contingent consideration (ARGES) $4,282 Monte Carlo method Historical and projected revenues from August 2019 through December 2026 N/A Revenue volatility 21.0% Cost of debt 2.6% Discount rate 3.7% Contingent consideration (Ingenia) $1,493 Monte Carlo method Historical and projected revenues from April 2019 through March 2022 N/A Revenue volatility 38.5% Cost of debt 3.1% Discount rate 9.6% Contingent consideration (Other) $1,399 Discounted cash flow method Historical and projected revenues for fiscal years 2018 to 2021 N/A Revenue discount rate 22.8%

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	9 Months Ended
	Oct. 01, 2021
Goodwill And Intangible Assets Disclosure [Abstract]
Summary of Changes in Goodwill	The following table summarizes changes in goodwill during the nine months ended October 1, 2021 (in thousands): Balance at beginning of the period $ 285,980 Goodwill acquired from acquisitions 213,915 Effect of foreign exchange rate changes (6,955 ) Balance at end of the period $ 492,940
Goodwill by Reportable Segment	Goodwill by reportable segment as of October 1, 2021 was as follows (in thousands): Reportable Segment Photonics Vision Precision Motion Total Goodwill $ 215,453 $ 161,885 $ 266,831 $ 644,169 Accumulated impairment of goodwill (102,461 ) (31,722 ) (17,046 ) (151,229 ) Total $ 112,992 $ 130,163 $ 249,785 $ 492,940 Goodwill by reportable segment as of December 31, 2020 was as follows (in thousands): Reportable Segment Photonics Vision Precision Motion Total Goodwill $ 218,517 $ 165,195 $ 53,497 $ 437,209 Accumulated impairment of goodwill (102,461 ) (31,722 ) (17,046 ) (151,229 ) Total $ 116,056 $ 133,473 $ 36,451 $ 285,980
Intangible Assets	Intangible assets as of October 1, 2021 and December 31, 2020, respectively, are summarized as follows (in thousands): October 1, 2021 December 31, 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Amount Accumulated Amortization Net Carrying Amount Amortizable intangible assets: Patents and developed technologies $ 190,485 $ (118,535 ) $ 71,950 $ 164,430 $ (110,572 ) $ 53,858 Customer relationships 229,369 (101,546 ) 127,823 167,429 (92,892 ) 74,537 Customer backlog 6,753 (563 ) 6,190 — — — Trademarks and trade names 24,052 (12,015 ) 12,037 18,367 (11,268 ) 7,099 Amortizable intangible assets 450,659 (232,659 ) 218,000 350,226 (214,732 ) 135,494 Non-amortizable intangible assets: Trade names 13,027 — 13,027 13,027 — 13,027 Totals $ 463,686 $ (232,659 ) $ 231,027 $ 363,253 $ (214,732 ) $ 148,521
Amortization Expense of Intangible Assets	Amortizat ion expense was as follows (in thousands): Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Amortization expense – cost of revenue $ 3,316 $ 2,820 $ 9,275 $ 8,270 Amortization expense – operating expenses 4,139 3,533 11,300 10,388 Total amortization expense $ 7,455 $ 6,353 $ 20,575 $ 18,658
Estimated Amortization Expense	Estimated amortization expense for each of the five succeeding years and thereafter as of October 1, 2021 was as follows (in thousands): Year Ending December 31, Cost of Revenue Operating Expenses Total 2021 (remainder of year) $ 4,029 $ 5,294 $ 9,323 2022 13,854 27,032 40,886 2023 12,544 20,998 33,542 2024 10,170 17,631 27,801 2025 8,579 14,917 23,496 Thereafter 22,774 60,178 82,952 Total $ 71,950 $ 146,050 $ 218,000

Supplementary Balance Sheet I_2

Supplementary Balance Sheet Information (Tables)	9 Months Ended
	Oct. 01, 2021
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Inventories	Inventories October 1, December 31, 2021 2020 Raw materials $ 75,445 $ 55,657 Work-in-process 21,409 15,487 Finished goods 20,781 20,234 Demo and consigned inventory 1,787 1,359 Total inventories $ 119,422 $ 92,737
Accrued Expenses and Other Current Liabilities	Accrued Expenses and Other Current Liabilities October 1, December 31, 2021 2020 Accrued compensation and benefits $ 20,546 $ 12,510 Accrued warranty 4,527 4,919 Contract liabilities, current portion 9,190 6,173 Finance lease obligations 590 9,720 Accrued earn-out and contingent considerations 55,469 10,796 Other 14,184 9,662 Total $ 104,506 $ 53,780
Accrued Warranty	Accrued Warranty Nine Months Ended October 1, October 2, 2021 2020 Balance at beginning of the period $ 4,919 $ 5,756 Provision charged to cost of revenue 1,215 1,255 Warranty liabilities acquired from acquisitions 541 — Use of provision (2,075 ) (1,941 ) Foreign currency exchange rate changes (73 ) 32 Balance at end of the period $ 4,527 $ 5,102
Other Long Term Liabilities	Other Long Term Liabilities October 1, December 31, 2021 2020 Finance lease obligations $ 5,461 $ 5,908 Accrued pension liabilities 326 1,511 Accrued contingent considerations 3,605 7,276 Other 2,352 2,471 Total $ 11,744 $ 17,166

Debt (Tables)

Debt (Tables)	9 Months Ended
	Oct. 01, 2021
Debt Disclosure [Abstract]
Debt	Debt consisted of the following (in thousands): October 1, December 31, 2021 2020 Senior Credit Facilities – term loan $ 5,238 $ 5,545 Less: unamortized debt issuance costs (31 ) (37 ) Total current portion of long-term debt $ 5,207 $ 5,508 Senior Credit Facilities – term loan $ 90,092 $ 99,534 Senior Credit Facilities – revolving credit facility 355,288 99,761 Less: unamortized debt issuance costs (3,549 ) (4,368 ) Total long-term debt $ 441,831 $ 194,927 Total Senior Credit Facilities $ 447,038 $ 200,435

Leases (Tables)

Leases (Tables)	9 Months Ended
	Oct. 01, 2021
Leases [Abstract]
Summary of Components of Lease Costs	The following table summarizes the components of lease costs (in thousands): Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Operating lease cost $ 2,418 $ 1,786 $ 6,213 $ 5,693 Finance lease cost Amortization of right-of-use assets 149 253 451 748 Interest on lease liabilities 85 108 257 326 Variable lease cost 275 320 834 1,043 Total lease cost $ 2,927 $ 2,467 $ 7,755 $ 7,810
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): October 1, December 31, 2021 2020 Operating leases Operating lease right-of-use assets $ 43,459 $ 34,444 Current portion of operating lease liabilities $ 7,575 $ 6,188 Operating lease liabilities 40,850 32,802 Total operating lease liabilities $ 48,425 $ 38,990 Finance leases Property, plant and equipment, gross $ 9,582 $ 19,819 Accumulated depreciation (4,918 ) (4,934 ) Finance lease assets included in property, plant and equipment, net $ 4,664 $ 14,885 Accrued expenses and other current liabilities $ 590 $ 9,720 Other liabilities 5,461 5,908 Total finance lease liabilities $ 6,051 $ 15,628 Weighted-average remaining lease term (in years): Operating leases 8.4 9.3 Finance leases 7.8 3.5 Weighted-average discount rate: Operating leases 4.96% 5.50 % Finance leases 5.54% 3.00 %
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 October 1, October 2, 2021 2020 Cash paid for amounts included in lease liabilities: Operating cash flows from finance leases $ 257 $ 357 Operating cash flows from operating leases $ 5,562 $ 5,088 Financing cash flows from finance leases $ 9,166 $ 1,034 Supplemental non-cash information: Right-of-use assets obtained in exchange for new operating lease liabilities $ 15,340 $ 3,050
Future Minimum Lease Payments Under Operating and Finance Leases	Future minimum lease payments under operating and finance leases expiring subsequent to October 1, 2021, 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 2021 (remainder of year) $ 2,141 $ 227 2022 9,539 907 2023 8,241 930 2024 7,230 954 2025 6,967 954 Thereafter 27,090 3,486 Total minimum lease payments 61,208 7,458 Less: Interest (12,783 ) (1,407 ) Present value of lease liabilities $ 48,425 $ 6,051

Preferred and Common Shares a_2

Preferred and Common Shares and Share-Based Compensation (Tables)	9 Months Ended
	Oct. 01, 2021
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 Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Selling, general and administrative $ 4,360 $ 4,265 $ 13,123 $ 10,225 Research and development and engineering 534 1,150 1,776 2,204 Cost of revenue 631 1,589 2,305 3,185 Restructuring, acquisition, and related costs 2,965 221 2,965 458 Total share-based compensation expense $ 8,490 $ 7,225 $ 20,169 $ 16,072
Schedule of Share Based Payment Award Performance Stock Awards Valuation Assumptions	The fair value of the TSR-PSUs at the date of grant was estimated using the Monte Carlo valuation method with the following assumptions: Nine Months Ended October 1, 2021 Grant-date stock price $ 138.23 Expected volatility 42.44 % Risk-free interest rate 0.22 % Expected annual dividend yield — Fair value $ 166.64
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 October 1, 2021: Shares (In thousands) Weighted Average Grant Date Fair Value Unvested at December 31, 2020 625 $ 58.79 Granted 169 $ 136.85 Vested (485 ) $ 51.21 Forfeited (20 ) $ 103.20 Unvested at October 1, 2021 289 $ 113.94 Expected to vest as of October 1, 2021 272
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 October 1, 2021: Shares (In thousands) Weighted Average Grant Date Fair Value Unvested at December 31, 2020 142 $ 88.99 Granted 67 $ 150.89 Performance adjustment 28 $ 67.72 Vested (75 ) $ 64.25 Forfeited — $ — Unvested at October 1, 2021 162 $ 122.26 Expected to vest as of October 1, 2021 177

Restructuring, Acquisition, a_2

Restructuring, Acquisition, and Related Costs (Tables)	9 Months Ended
	Oct. 01, 2021
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 Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 2020 restructuring $ 5,185 $ 1,006 $ 7,688 $ 1,006 2019 restructuring — 68 208 667 2018 restructuring — — — 754 Total restructuring charges $ 5,185 $ 1,074 $ 7,896 $ 2,427 Acquisition and related charges 2,935 613 8,589 3,164 Total restructuring, acquisition, and related costs $ 8,120 $ 1,687 $ 16,485 $ 5,591
Summary of Restructuring Charges by Reportable Segment	The following table summarizes restructuring costs associated with the 2020 restructuring program by reportable segment (in thousands): Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Photonics $ 2,349 $ — $ 2,839 $ — Vision 193 1,006 890 1,006 Precision Motion 2,643 — 3,959 — Unallocated Corporate and Shared Services — — — — Total $ 5,185 $ 1,006 $ 7,688 $ 1,006
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 Severance Facility Other Balance at December 31, 2020 $ 1,800 $ 1,681 $ 116 $ 3 Restructuring charges 7,896 6,292 1,183 421 Cash payments (2,333 ) (1,837 ) (215 ) (281 ) Non-cash charges and other adjustments (1) (3,486 ) (2,981 ) (505 ) — Balance at October 1, 2021 $ 3,877 $ 3,155 $ 579 $ 143 (1) Non-cash charges included stock compensation charges amounting to $3.0 million associated with severance agreements for certain employees.

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Oct. 01, 2021
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 Nine Months Ended October 1, October 2, October 1, October 2, Revenue 2021 2020 2021 2020 Photonics $ 55,263 $ 46,394 $ 176,113 $ 149,337 Vision 65,346 64,299 196,429 198,047 Precision Motion 57,117 32,236 135,291 95,741 Total $ 177,726 $ 142,929 $ 507,833 $ 443,125 Three Nine Months Ended October 1, October 2, October 1, October 2, Gross Profit 2021 2020 2021 2020 Photonics $ 25,311 $ 20,166 $ 83,014 $ 65,725 Vision 24,763 24,586 76,132 75,676 Precision Motion 27,743 15,011 64,694 42,753 Unallocated Corporate and Shared Services (1,519 ) (658 ) (6,396 ) (1,902 ) Total $ 76,298 $ 59,105 $ 217,444 $ 182,252 Three Nine Months Ended October 1, October 2, October 1, October 2, Gross Profit Margin 2021 2020 2021 2020 Photonics 45.8 % 43.5 % 47.1 % 44.0 % Vision 37.9 % 38.2 % 38.8 % 38.2 % Precision Motion 48.6 % 46.6 % 47.8 % 44.7 % Total 42.9 % 41.4 % 42.8 % 41.1 % Three Nine Months Ended October 1, October 2, October 1, October 2, Operating Income (Loss) 2021 2020 2021 2020 Photonics $ 9,294 $ 7,026 $ 35,885 $ 22,878 Vision 5,606 3,799 12,178 14,098 Precision Motion 14,957 7,675 34,681 20,728 Unallocated Corporate and Shared Services (14,582 ) (6,634 ) (40,378 ) (18,887 ) Total $ 15,275 $ 11,866 $ 42,366 $ 38,817 Three Nine Months Ended October 1, October 2, October 1, October 2, Depreciation and Amortization Expenses 2021 2020 2021 2020 Photonics $ 2,901 $ 2,864 $ 8,703 $ 8,303 Vision 5,239 5,296 15,793 15,845 Precision Motion 2,691 1,369 5,916 4,055 Unallocated Corporate and Shared Services 59 67 201 160 Total $ 10,890 $ 9,596 $ 30,613 $ 28,363
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 Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 United States $ 72,972 $ 57,635 $ 191,699 $ 171,364 Germany 25,313 18,885 71,448 64,266 Rest of Europe 34,163 30,483 105,338 94,281 China 22,230 17,409 68,286 50,285 Rest of Asia-Pacific 21,256 16,414 64,765 55,956 Other 1,792 2,103 6,297 6,973 Total $ 177,726 $ 142,929 $ 507,833 $ 443,125
Revenue By End Market	The Company primarily operates in two end markets: the medical market and advanced industrial market. Revenue by end market was approximately as follows: Three Nine Months Ended October 1, October 2, October 1, October 2, 2021 2020 2021 2020 Medical 53 % 54 % 53 % 56 % Advanced Industrial 47 % 46 % 47 % 44 % Total 100 % 100 % 100 % 100 %

Revenue - Additional Informatio

Revenue - Additional Information (Details) - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Oct. 01, 2021	Dec. 31, 2020
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	$ 9.5	$ 6.5
Revenue recognized	$ 2	$ 4.9
Warranties
Revenue [Line Items]
Standard product warranty description	The Company generally provides warranties for its products. The standard warranty period is typically 12 months to 24 months for the Photonics and Precision Motion segments and 12 months to 36 months for the Vision segment. The standard warranty period for product sales is accounted for under the provisions of ASC 450, “Contingencies,” as the Company has the ability to ascertain the likelihood of the liability and can reasonably estimate the amount of the liability.
Minimum | Photonics and Precision Motion | Warranties
Revenue [Line Items]
Standard warranty period on products	12 months
Minimum | Vision | Warranties
Revenue [Line Items]
Standard warranty period on products	12 months
Maximum | Photonics and Precision Motion | Warranties
Revenue [Line Items]
Standard warranty period on products	24 months
Maximum | Vision | Warranties
Revenue [Line Items]
Standard warranty period on products	36 months
Maximum | Maintenance and Repair of Products
Revenue [Line Items]
Percentage of revenue for professional services	3.00%
Duration of engineering services performed under customer contract	1 month

Business Combinations - Additio

Business Combinations - Additional Information (Details) - USD ($) $ in Thousands	Aug. 31, 2021	Aug. 30, 2021	Oct. 01, 2021	Oct. 01, 2021	Oct. 01, 2021	Dec. 31, 2020
Business Acquisition [Line Items]
Goodwill			$ 492,940	$ 492,940	$ 492,940	$ 285,980
ATI Industrial Automation, Inc.
Business Acquisition [Line Items]
Business acquisition, date of acquisition		Aug. 30, 2021
Percentage of shares acquired		100.00%
Initial cash purchase price, net of cash acquired		$ 170,042
Fair value of contingent consideration		51,900
Intangible assets		52,400
Goodwill		143,851
Goodwill assets expected to be deductible for income tax purposes		$ 143,400
Revenues					8,700
Income (loss) before income taxes					800
Amortization of inventory fair value adjustments and purchased intangible assets				$ 800
Schneider Electric Motion USA, Inc.
Business Acquisition [Line Items]
Business acquisition, date of acquisition	Aug. 31, 2021
Percentage of shares acquired	100.00%
Purchase price	$ 115,139
Intangible assets	54,570
Goodwill	$ 70,064
Revenues					2,400
Income (loss) before income taxes					$ 100
Amortization of inventory fair value adjustments and purchased intangible assets			$ 500

Summary of Fair Values of Asset

Summary of Fair Values of Assets Acquired and Liabilities Assumed Purchase Price Allocation (Details) - USD ($) $ in Thousands	Aug. 31, 2021	Aug. 30, 2021	Oct. 01, 2021	Dec. 31, 2020
Business Acquisition [Line Items]
Goodwill			$ 492,940	$ 285,980
ATI Industrial Automation, Inc.
Business Acquisition [Line Items]
Cash		$ 10,709
Accounts receivable		12,596
Inventories		17,431
Property, plant and equipment		4,195
Intangible assets		52,400
Goodwill		143,851
Deferred tax assets		345
Other assets		11,425
Total assets acquired		252,952
Accounts payable		5,135
Deferred tax liabilities		228
Other liabilities		14,938
Total liabilities assumed		20,301
Total assets acquired, net of liabilities assumed		232,651
Less: cash acquired		10,709
Less: contingent consideration		51,900
Initial purchase price, net of cash acquired		$ 170,042
Schneider Electric Motion USA, Inc.
Business Acquisition [Line Items]
Cash	$ 3,881
Accounts receivable	4,240
Inventories	2,499
Property, plant and equipment	452
Intangible assets	54,570
Goodwill	70,064
Other assets	776
Total assets acquired	136,482
Accounts payable	1,325
Deferred tax liabilities	12,387
Other liabilities	3,750
Total liabilities assumed	17,462
Total assets acquired, net of liabilities assumed	119,020
Less: cash acquired	3,881
Total purchase price, net of cash acquired	$ 115,139

Fair Value of Intangible Assets

Fair Value of Intangible Assets (Details) - USD ($) $ in Thousands	Aug. 31, 2021	Aug. 30, 2021
ATI Industrial Automation, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value		$ 52,400
Schneider Electric Motion USA, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value	$ 54,570
Developed Technologies | ATI Industrial Automation, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value		$ 19,800
Intangible Assets Weighted Average Amortization Period		15 years
Developed Technologies | Schneider Electric Motion USA, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value	$ 9,110
Intangible Assets Weighted Average Amortization Period	15 years
Customer Relationships | ATI Industrial Automation, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value		$ 23,600
Intangible Assets Weighted Average Amortization Period		15 years
Customer Relationships | Schneider Electric Motion USA, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value	$ 41,740
Intangible Assets Weighted Average Amortization Period	20 years
Trademarks and Trade Names | ATI Industrial Automation, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value		$ 5,600
Intangible Assets Weighted Average Amortization Period		15 years
Trademarks and Trade Names | Schneider Electric Motion USA, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value	$ 370
Intangible Assets Weighted Average Amortization Period	4 years
Backlog | ATI Industrial Automation, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value		$ 3,400
Intangible Assets Weighted Average Amortization Period		1 year
Backlog | Schneider Electric Motion USA, Inc.
Acquired Finite Lived Intangible Assets [Line Items]
Intangible Assets Estimated Fair Value	$ 3,350
Intangible Assets Weighted Average Amortization Period	1 year

Summary of Unaudited Pro Forma

Summary of Unaudited Pro Forma Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Business Combinations [Abstract]
Revenue	$ 197,715	$ 186,919	$ 584,051	$ 508,906
Consolidated net income	$ 13,995	$ 9,908	$ 38,188	$ 25,551

Summary of Acquisition Costs (D

Summary of Acquisition Costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Business Acquisition [Line Items]
Acquisition costs	$ 2,935	$ 613	$ 8,589	$ 3,164
ATI Industrial Automation, Inc.
Business Acquisition [Line Items]
Acquisition costs	1,956		3,321
Schneider Electric Motion USA, Inc.
Business Acquisition [Line Items]
Acquisition costs	$ 864		$ 1,052

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Loss (Details) $ in Thousands	9 Months Ended
	Oct. 01, 2021USD ($)
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	$ 476,809
Other comprehensive income (loss)	(3,487)
Amounts reclassified from accumulated other comprehensive loss	717
Ending Balance	500,113
Total Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	(12,241)
Ending Balance	(15,011)
Cumulative Translation Adjustments
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	(2,296)
Other comprehensive income (loss)	(3,602)
Ending Balance	(5,898)
Pension Liability Adjustments
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	(9,945)
Other comprehensive income (loss)	115
Amounts reclassified from accumulated other comprehensive loss	717
Ending Balance	$ (9,113)

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
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Numerators:
Consolidated net income	$ 13,603	$ 8,258	$ 36,577	$ 31,865
Denominators:
Weighted average common shares outstanding—basic	35,447	35,142	35,366	35,144
Dilutive potential common shares	317	546	405	465
Weighted average common shares outstanding— diluted	35,764	35,688	35,771	35,609
Antidilutive potential common shares excluded from above	1		18	17
Earnings per Common Share:
Basic	$ 0.38	$ 0.23	$ 1.03	$ 0.91
Diluted	$ 0.38	$ 0.23	$ 1.02	$ 0.89

Earnings per Common Share - Add

Earnings per Common Share - Additional Information (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
EPS Performance-based Restricted Stock Units
Computation Of Earnings Per Share [Line Items]
Contingently issuable shares excluded from calculation of weighted average common shares outstanding	45	73	45	73
Operating Cash Flow Performance Based Restricted Stock Units
Computation Of Earnings Per Share [Line Items]
Contingently issuable shares excluded from calculation of weighted average common shares outstanding	37		37
Laser Quantum | Restricted Stock
Computation Of Earnings Per Share [Line Items]
Contingently issuable shares excluded from calculation of weighted average common shares outstanding	213	213	213	213

Fair Value Measurements - Busin

Fair Value Measurements - Business Combination Contingent Consideration - Additional Information (Details)	Aug. 30, 2021USD ($)	May 31, 2021USD ($)	May 31, 2021EUR (€)	May 31, 2020USD ($)	May 31, 2020EUR (€)	Oct. 01, 2021USD ($)	Jul. 02, 2021USD ($)	Oct. 01, 2021USD ($)	Oct. 01, 2021EUR (€)	Oct. 02, 2020USD ($)Installment	Oct. 01, 2021EUR (€)	Apr. 02, 2021USD ($)	Apr. 02, 2021EUR (€)	Dec. 31, 2020USD ($)	Dec. 31, 2020EUR (€)	Jul. 31, 2019USD ($)	Jul. 31, 2019EUR (€)	Apr. 16, 2019USD ($)	Apr. 16, 2019EUR (€)
Business Acquisition [Line Items]
Payment for contingent consideration								$ 1,836,000		$ 1,135,000
ATI Industrial Automation, Inc.
Business Acquisition [Line Items]
Fair value of contingent consideration	$ 51,900,000
Changes in fair value of contingent consideration	$ 0
ARGES GmbH
Business Acquisition [Line Items]
Fair value of contingent consideration						$ 4,300,000		4,300,000			€ 3,700,000			$ 5,100,000	€ 4,100,000	$ 7,900,000	€ 7,100,000
Changes in fair value of contingent consideration							$ 0	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	€ 400,000
Ingenia-CAT, S.L.
Business Acquisition [Line Items]
Fair value of contingent consideration												$ 2,900,000	€ 2,400,000	$ 2,900,000	€ 2,300,000			$ 6,600,000	€ 5,800,000
Changes in fair value of contingent consideration						$ 0		$ 0
Undiscounted low range of contingent consideration | €																			0
Undiscounted high range of contingent consideration																		$ 9,000,000	€ 8,000,000
Payment for contingent consideration		$ 1,400,000	€ 1,200,000	$ 1,100,000	€ 1,000,000
Number of contingent consideration annual installments | Installment										3

Fair Value Measurements - Asset

Fair Value Measurements - Asset Acquisition Contingent Consideration - Additional Information (Details)	1 Months Ended				3 Months Ended		9 Months Ended
	Feb. 28, 2021USD ($)	Feb. 28, 2021EUR (€)	Feb. 29, 2020USD ($)	Feb. 29, 2020EUR (€)	Oct. 01, 2021USD ($)	Apr. 02, 2021Installment	Oct. 01, 2021USD ($)	Dec. 14, 2016USD ($)	Dec. 14, 2016EUR (€)
Asset Acquisition Contingent Consideration [Line Items]
Payment for contingent consideration	$ 2,200,000	€ 1,800,000	$ 2,600,000	€ 2,400,000
Video Signal Processing and Management Technologies
Asset Acquisition Contingent Consideration [Line Items]
Date of Acquisition Agreement						Dec. 14, 2016
Number of contingent consideration annual installments | Installment						4
Undiscounted range of outcomes, minimum | €									€ 0
Undiscounted range of outcomes, maximum								$ 6,600,000	€ 5,500,000
Changes in fair value of contingent consideration | $					$ 0		$ 0

Fair Values of Assets and Liabi

Fair Values of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020
Liabilities
Contingent considerations - Long-term	$ 3,605	$ 7,276
Fair Value Measurements Recurring
Assets
Cash equivalents	3,089	11,047
Assets, fair value	3,291	11,074
Liabilities
Liabilities, fair value	59,084	11,556
Fair Value Measurements Recurring | Prepaid Expenses and Other Current Assets
Assets
Foreign currency forward contracts	202	27
Fair Value Measurements Recurring | Accrued Expenses and Other Current Liabilities
Liabilities
Contingent considerations - Current	55,469	4,280
Foreign currency forward contracts	10
Fair Value Measurements Recurring | Other Liabilities
Liabilities
Contingent considerations - Long-term	3,605	7,276
Fair Value Measurements Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets
Cash equivalents	3,089	11,047
Assets, fair value	3,089	11,047
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2)
Assets
Assets, fair value	202	27
Liabilities
Liabilities, fair value	10
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | Prepaid Expenses and Other Current Assets
Assets
Foreign currency forward contracts	202	27
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | Accrued Expenses and Other Current Liabilities
Liabilities
Foreign currency forward contracts	10
Fair Value Measurements Recurring | Significant Other Unobservable Inputs (Level 3)
Liabilities
Liabilities, fair value	59,074	11,556
Fair Value Measurements Recurring | Significant Other Unobservable Inputs (Level 3) | Accrued Expenses and Other Current Liabilities
Liabilities
Contingent considerations - Current	55,469	4,280
Fair Value Measurements Recurring | Significant Other Unobservable Inputs (Level 3) | Other Liabilities
Liabilities
Contingent considerations - Long-term	$ 3,605	$ 7,276

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
	Oct. 01, 2021USD ($)
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]
Beginning balance	$ 11,556
Acquisition of ATI	51,900
Payments	(4,036)
Fair value adjustments	26
Effect of foreign exchange rates	(372)
Ending balance	$ 59,074

Fair Value Measurements - Sched

Fair Value Measurements - Schedule of Fair Value Measurement Inputs and Valuation Techniques (Details) $ in Thousands, € in Millions	9 Months Ended
	Oct. 01, 2021USD ($)	Oct. 01, 2021EUR (€)	Aug. 30, 2021USD ($)	Apr. 02, 2021USD ($)	Apr. 02, 2021EUR (€)	Dec. 31, 2020USD ($)	Dec. 31, 2020EUR (€)	Jul. 31, 2019USD ($)	Jul. 31, 2019EUR (€)	Apr. 16, 2019USD ($)	Apr. 16, 2019EUR (€)
ATI Industrial Automation, Inc.
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Contingent consideration			$ 51,900
ARGES GmbH
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Contingent consideration	$ 4,300	€ 3.7				$ 5,100	€ 4.1	$ 7,900	€ 7.1
Ingenia-CAT, S.L.
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Contingent consideration				$ 2,900	€ 2.4	$ 2,900	€ 2.3			$ 6,600	€ 5.8
Significant Other Unobservable Inputs (Level 3) | ATI Industrial Automation, Inc.
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Valuation Technique	novt:ValuationTechniqueMonteCarloMethodMember
Contingent consideration	$ 51,900
Significant Other Unobservable Inputs (Level 3) | ATI Industrial Automation, Inc. | EBITDA Risk Premium
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Business acquisition, Percentage Applied	7.2	7.2
Significant Other Unobservable Inputs (Level 3) | ATI Industrial Automation, Inc. | EBITDA Volatility
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Business acquisition, Percentage Applied	27	27
Significant Other Unobservable Inputs (Level 3) | ATI Industrial Automation, Inc. | Credit Spread
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Business acquisition, Percentage Applied	2.1	2.1
Significant Other Unobservable Inputs (Level 3) | ARGES GmbH
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Valuation Technique	novt:ValuationTechniqueMonteCarloMethodMember
Contingent consideration	$ 4,282
Significant Other Unobservable Inputs (Level 3) | ARGES GmbH | Revenue volatility
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Business acquisition, Percentage Applied	21	21
Significant Other Unobservable Inputs (Level 3) | ARGES GmbH | Cost of debt
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Business acquisition, Percentage Applied	2.6	2.6
Significant Other Unobservable Inputs (Level 3) | ARGES GmbH | Discount rate
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Business acquisition, Percentage Applied	3.7	3.7
Significant Other Unobservable Inputs (Level 3) | Ingenia-CAT, S.L.
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Valuation Technique	novt:ValuationTechniqueMonteCarloMethodMember
Contingent consideration	$ 1,493
Significant Other Unobservable Inputs (Level 3) | Ingenia-CAT, S.L. | Revenue volatility
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Business acquisition, Percentage Applied	38.5	38.5
Significant Other Unobservable Inputs (Level 3) | Ingenia-CAT, S.L. | Cost of debt
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Business acquisition, Percentage Applied	3.1	3.1
Significant Other Unobservable Inputs (Level 3) | Ingenia-CAT, S.L. | Discount rate
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Business acquisition, Percentage Applied	9.6	9.6
Significant Other Unobservable Inputs (Level 3) | Other Acquisitions
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Valuation Technique	us-gaap:ValuationTechniqueDiscountedCashFlowMember	us-gaap:ValuationTechniqueDiscountedCashFlowMember
Contingent consideration	$ 1,399
Significant Other Unobservable Inputs (Level 3) | Other Acquisitions | Discount rate
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Asset acquisition, Percentage Applied	22.8	22.8

Foreign Currency Contracts - Ad

Foreign Currency Contracts - Additional Information (Details) - Foreign Currency Forward Contracts - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020	Dec. 31, 2020
Derivative [Line Items]
Notional amount of foreign currency forward contracts	$ 48,300,000		$ 48,300,000		$ 28,500,000
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	$ 300,000	$ 1,000,000	$ 900,000	$ 1,400,000
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
	Jul. 02, 2021USD ($)
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
	Oct. 01, 2021USD ($)
Goodwill And Intangible Assets Disclosure [Abstract]
Balance at beginning of the period	$ 285,980
Goodwill acquired from acquisitions	213,915
Effect of foreign exchange rate changes	(6,955)
Balance at end of the period	$ 492,940

Goodwill By Reportable Segment

Goodwill By Reportable Segment (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020
Goodwill [Line Items]
Goodwill	$ 644,169	$ 437,209
Accumulated impairment of goodwill	(151,229)	(151,229)
Total	492,940	285,980
Photonics
Goodwill [Line Items]
Goodwill	215,453	218,517
Accumulated impairment of goodwill	(102,461)	(102,461)
Total	112,992	116,056
Vision
Goodwill [Line Items]
Goodwill	161,885	165,195
Accumulated impairment of goodwill	(31,722)	(31,722)
Total	130,163	133,473
Precision Motion
Goodwill [Line Items]
Goodwill	266,831	53,497
Accumulated impairment of goodwill	(17,046)	(17,046)
Total	$ 249,785	$ 36,451

Intangible Assets (Details)

Intangible Assets (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020
Schedule of Intangible Assets Disclosure [Line Items]
Amortizable intangible assets, gross carrying amount	$ 450,659	$ 350,226
Amortizable intangible assets, accumulated amortization	(232,659)	(214,732)
Amortizable intangible assets, net carrying amount	218,000	135,494
Non-amortizable intangible assets	13,027	13,027
Gross carrying amount	463,686	363,253
Net carrying amount	231,027	148,521
Patents and Developed Technologies
Schedule of Intangible Assets Disclosure [Line Items]
Amortizable intangible assets, gross carrying amount	190,485	164,430
Amortizable intangible assets, accumulated amortization	(118,535)	(110,572)
Amortizable intangible assets, net carrying amount	71,950	53,858
Customer Relationships
Schedule of Intangible Assets Disclosure [Line Items]
Amortizable intangible assets, gross carrying amount	229,369	167,429
Amortizable intangible assets, accumulated amortization	(101,546)	(92,892)
Amortizable intangible assets, net carrying amount	127,823	74,537
Customer Backlog
Schedule of Intangible Assets Disclosure [Line Items]
Amortizable intangible assets, gross carrying amount	6,753
Amortizable intangible assets, accumulated amortization	(563)
Amortizable intangible assets, net carrying amount	6,190
Trademarks and Trade Names
Schedule of Intangible Assets Disclosure [Line Items]
Amortizable intangible assets, gross carrying amount	24,052	18,367
Amortizable intangible assets, accumulated amortization	(12,015)	(11,268)
Amortizable intangible assets, net carrying amount	$ 12,037	$ 7,099

Amortization Expense of Intangi

Amortization Expense of Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Goodwill And Intangible Assets Disclosure [Abstract]
Amortization expense – cost of revenue	$ 3,316	$ 2,820	$ 9,275	$ 8,270
Amortization expense – operating expenses	4,139	3,533	11,300	10,388
Total amortization expense	$ 7,455	$ 6,353	$ 20,575	$ 18,658

Estimated Amortization Expense

Estimated Amortization Expense (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020
Finite Lived Intangible Assets [Line Items]
2021 (remainder of year)	$ 9,323
2022	40,886
2023	33,542
2024	27,801
2025	23,496
Thereafter	82,952
Amortizable intangible assets, net carrying amount	218,000	$ 135,494
Cost of Revenue
Finite Lived Intangible Assets [Line Items]
2021 (remainder of year)	4,029
2022	13,854
2023	12,544
2024	10,170
2025	8,579
Thereafter	22,774
Amortizable intangible assets, net carrying amount	71,950
Operating Expenses
Finite Lived Intangible Assets [Line Items]
2021 (remainder of year)	5,294
2022	27,032
2023	20,998
2024	17,631
2025	14,917
Thereafter	60,178
Amortizable intangible assets, net carrying amount	$ 146,050

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020
Inventory Disclosure [Abstract]
Raw materials	$ 75,445	$ 55,657
Work-in-process	21,409	15,487
Finished goods	20,781	20,234
Demo and consigned inventory	1,787	1,359
Total inventories	$ 119,422	$ 92,737

Accrued Expenses and Other Curr

Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020	Oct. 02, 2020	Dec. 31, 2019
Other Liabilities Disclosure [Abstract]
Accrued compensation and benefits	$ 20,546	$ 12,510
Accrued warranty	4,527	4,919	$ 5,102	$ 5,756
Contract liabilities, current portion	9,190	6,173
Finance lease obligations	590	9,720
Accrued earn-out and contingent considerations	55,469	10,796
Other	14,184	9,662
Total	$ 104,506	$ 53,780

Accrued Warranty (Details)

Accrued Warranty (Details) - USD ($) $ in Thousands	9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020
Product Warranties Disclosures [Abstract]
Balance at beginning of the period	$ 4,919	$ 5,756
Provision charged to cost of revenue	1,215	1,255
Warranty liabilities acquired from acquisitions	541
Use of provision	(2,075)	(1,941)
Foreign currency exchange rate changes	(73)	32
Balance at end of the period	$ 4,527	$ 5,102

Other Long Term Liabilities (De

Other Long Term Liabilities (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020
Other Liabilities Disclosure [Abstract]
Finance lease obligations	$ 5,461	$ 5,908
Accrued pension liabilities	326	1,511
Accrued contingent considerations	3,605	7,276
Other	2,352	2,471
Total	$ 11,744	$ 17,166

Debt (Details)

Debt (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020
Debt Instrument [Line Items]
Total current portion of long-term debt	$ 5,207	$ 5,508
Total long-term debt	441,831	194,927
Total Senior Credit Facilities	447,038	200,435
Term Loan
Debt Instrument [Line Items]
Current portion of long-term debt, Gross	5,238	5,545
Long-term debt, Gross	90,092	99,534
Term Loan And Revolving Credit Facility
Debt Instrument [Line Items]
Less: unamortized debt issuance costs	(31)	(37)
Less: unamortized debt issuance costs	(3,549)	(4,368)
Revolving Credit Facility
Debt Instrument [Line Items]
Long-term debt, Gross	$ 355,288	$ 99,761

Debt - Additional Information (

Debt - Additional Information (Details)	Dec. 31, 2019USD ($)	Mar. 31, 2021EUR (€)	Oct. 01, 2021USD ($)	Oct. 01, 2021EUR (€)	Oct. 02, 2020USD ($)	Mar. 27, 2020USD ($)	Dec. 31, 2019EUR (€)
Debt Instrument [Line Items]
Repayment of debt			$ 24,036,000		$ 34,017,000
Term Loan
Debt Instrument [Line Items]
Repayment of debt			$ 4,000,000	€ 3,400,000
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
Senior credit facilities, maturity month and year	2024-12
Debt instrument, frequency of periodic payment		quarterly
Quarterly installments payable on term loan | €		€ 1,100,000
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
Senior credit facilities, maturity month and year	2024-12		2024-12	2024-12
Line of credit facility accordion potential feature	$ 200,000,000
Repayment of debt			$ 20,000,000

Leases - Additional Information

Leases - Additional Information (Details) $ in Thousands	9 Months Ended
	Oct. 01, 2021USD ($)
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 10 years, and options to terminate the leases within one year.
Purchase of building under finance lease	$ 8,743
Minimum
Lessee Lease Description [Line Items]
Lease agreement expiration year	2021
Lease renewal terms	1 year
Maximum
Lessee Lease Description [Line Items]
Lease agreement expiration year	2034
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
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Leases [Abstract]
Operating lease cost	$ 2,418	$ 1,786	$ 6,213	$ 5,693
Finance lease cost
Amortization of right-of-use assets	149	253	451	748
Interest on lease liabilities	85	108	257	326
Variable lease cost	275	320	834	1,043
Total lease cost	$ 2,927	$ 2,467	$ 7,755	$ 7,810

Summary of Balance Sheet Inform

Summary of Balance Sheet Information Related to Leases (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020
Operating leases
Operating lease right-of-use assets	$ 43,459	$ 34,444
Current portion of operating lease liabilities	7,575	6,188
Operating lease liabilities	40,850	32,802
Total operating lease liabilities	48,425	38,990
Finance leases
Finance lease right-of-use assets gross	9,582	19,819
Finance lease right-of-use assets accumulated depreciation	(4,918)	(4,934)
Finance lease assets included in property, plant and equipment, net	$ 4,664	$ 14,885
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	$ 590	$ 9,720
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	$ 5,461	$ 5,908
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]	Other liabilities	Other liabilities
Total finance lease liabilities	$ 6,051	$ 15,628
Weighted-average remaining lease term (in years):
Operating leases	8 years 4 months 24 days	9 years 3 months 18 days
Finance leases	7 years 9 months 18 days	3 years 6 months
Weighted-average discount rate:
Operating leases	4.96%	5.50%
Finance leases	5.54%	3.00%

Summary of Cash Flow Informatio

Summary of Cash Flow Information Related to Leases (Details) - USD ($) $ in Thousands	9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020
Cash paid for amounts included in lease liabilities:
Operating cash flows from finance leases	$ 257	$ 357
Operating cash flows from operating leases	5,562	5,088
Financing cash flows from finance leases	9,166	1,034
Supplemental non-cash information:
Right-of-use assets obtained in exchange for new operating lease liabilities	$ 15,340	$ 3,050

Future Minimum Lease Payments U

Future Minimum Lease Payments Under Operating and Finance Leases (Details) - USD ($) $ in Thousands	Oct. 01, 2021	Dec. 31, 2020
Operating Lease
2021 (remainder of year)	$ 2,141
2022	9,539
2023	8,241
2024	7,230
2025	6,967
Thereafter	27,090
Total minimum lease payments	61,208
Less: Interest	(12,783)
Present value of lease liabilities	48,425	$ 38,990
Finance Lease
2021 (remainder of year)	227
2022	907
2023	930
2024	954
2025	954
Thereafter	3,486
Total minimum lease payments	7,458
Less: Interest	(1,407)
Present value of lease liabilities	$ 6,051	$ 15,628

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
	May 31, 2021	Feb. 28, 2021	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020	May 13, 2021	May 12, 2021	Dec. 31, 2020	Feb. 29, 2020	Oct. 31, 2018
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
Common stock repurchase program authorized amount										$ 50,000,000	$ 25,000,000
Share-based compensation expense recognized			$ 8,490,000	$ 7,225,000	$ 20,169,000	$ 16,072,000
Requisite service period		5 years
Selling, General and Administrative Expenses
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation expense recognized			$ 4,360,000	$ 4,265,000	$ 13,123,000	10,225,000
Amended and Restated 2010 Incentive Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Increase from and increase to, number of shares authorized for issuance							6,148,613	4,398,613
Amended and Restated 2010 Incentive Plan | Deferred Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of outstanding shares			91,000		91,000				162,000
Amended and Restated 2010 Incentive Plan | Stock Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Fully-vested stock options outstanding			60,000		60,000
Stock options granted					0
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					$ 68,000,000
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					$ 1,100,000	$ 1,000,000
Amended and Restated 2010 Incentive Plan | Restricted Stock Units (RSUs) | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period					0 years
Amended and Restated 2010 Incentive Plan | Restricted Stock Units (RSUs) | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period					5 years
Amended and Restated 2010 Incentive Plan | EPS Performance-based Restricted Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period					3 years
Amended and Restated 2010 Incentive Plan | EPS Performance-based Restricted Stock Units | Minimum
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					0.00%
Amended and Restated 2010 Incentive Plan | EPS Performance-based Restricted Stock Units | 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					200.00%
Amended and Restated 2010 Incentive Plan | TSR Performance-based Restricted Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period					3 years
Amended and Restated 2010 Incentive Plan | TSR Performance-based Restricted Stock Units | Minimum
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					0.00%
Amended and Restated 2010 Incentive Plan | TSR Performance-based Restricted Stock Units | 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					200.00%
Amended and Restated 2010 Incentive Plan | Operating Cash Flow Performance Based Restricted Stock Units
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		100.00%
Amended and Restated 2010 Incentive Plan | Operating Cash Flow Performance Based Restricted Stock Units | Vesting in Four Year
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period		4 years
Range of percentage of shares to be issued upon settlement following vesting of target number of shares		50.00%
Amended and Restated 2010 Incentive Plan | Operating Cash Flow Performance Based Restricted Stock Units | Vesting in Five Year
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period		5 years
Range of percentage of shares to be issued upon settlement following vesting of target number of shares		50.00%
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					$ 9,300,000
Range of percentage of shares to be issued upon settlement following vesting of target number of shares					160.00%
Maximum number of common shares to be earned under these PSU grants			286,000		286,000
2018 and 2020 Repurchase Plans
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Available for share repurchases			$ 59,500,000		$ 59,500,000

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
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation expense	$ 8,490	$ 7,225	$ 20,169	$ 16,072
Selling, general and administrative
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation expense	4,360	4,265	13,123	10,225
Research and development and engineering
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation expense	534	1,150	1,776	2,204
Cost of Revenue
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation expense	631	1,589	2,305	3,185
Restructuring, acquisition, and related costs
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Share-based compensation expense	$ 2,965	$ 221	$ 2,965	$ 458

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
	Oct. 01, 2021$ / sharesshares
Restricted Stock Units
Unvested, Beginning Balance	625
Granted	169
Vested	(485)
Forfeited	(20)
Unvested, Ending Balance	289
Expected to vest at end of period	272
Weighted Average Grant Date Fair Value
Unvested, Beginning Balance | $ / shares	$ 58.79
Granted | $ / shares	136.85
Vested | $ / shares	51.21
Forfeited | $ / shares	103.20
Unvested, Ending Balance | $ / shares	$ 113.94

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
	Oct. 01, 2021$ / sharesshares
Performance-based Awards
Unvested, Beginning Balance	142
Granted	67
Performance adjustment	28
Vested	(75)
Unvested, Ending Balance	162
Expected to vest at end of period	177
Weighted Average Grant Date Fair Value
Unvested, Beginning Balance | $ / shares	$ 88.99
Granted | $ / shares	150.89
Performance adjustment | $ / shares	67.72
Vested | $ / shares	64.25
Unvested, Ending Balance | $ / shares	$ 122.26

Fair Value of TSR Performance-B

Fair Value of TSR Performance-Based Restricted Stock Units Estimated Using Monte-Carol Valuation Method (Details) - TSR Performance-based Restricted Stock Units	9 Months Ended
	Oct. 01, 2021$ / shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Grant-date stock price	$ 138.23
Expected volatility	42.44%
Risk-free interest rate	0.22%
Expected annual dividend yield	0.00%
Fair value	$ 166.64

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details)	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Income Taxes [Line Items]
Effective tax rate on income from operations	(0.60%)	17.60%	2.00%	5.20%
Effective tax rate upon vesting of certain share based compensation awards			14.50%	7.90%
Effective tax rate upon valuation allowance release				3.30%
Canada Revenue Agency | CANADA
Income Taxes [Line Items]
Statutory tax rate	29.00%	29.00%	29.00%	29.00%

Schedule of Restructuring, Acqu

Schedule of Restructuring, Acquisition and Related Costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Restructuring Cost And Reserve [Line Items]
Total restructuring charges	$ 5,185	$ 1,074	$ 7,896	$ 2,427
Acquisition and related charges	2,935	613	8,589	3,164
Total restructuring, acquisition, and related costs	8,120	1,687	16,485	5,591
2020 Restructuring
Restructuring Cost And Reserve [Line Items]
Total restructuring charges	$ 5,185	1,006	7,688	1,006
2019 Restructuring
Restructuring Cost And Reserve [Line Items]
Total restructuring charges		$ 68	$ 208	667
2018 Restructuring
Restructuring Cost And Reserve [Line Items]
Total restructuring charges				$ 754

Restructuring, Acquisition, a_3

Restructuring, Acquisition, and Related Costs - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Restructuring, Acquisition, and Related Costs [Line Items]
Total restructuring charges	$ 5,185,000	$ 1,074,000	$ 7,896,000	$ 2,427,000
Acquisition and related charges	2,935,000	613,000	8,589,000	3,164,000
Legal costs	100,000	400,000	1,900,000	1,000,000
Finders' Fees, Legal, Valuation And Other Professional Or Consulting Fees
Restructuring, Acquisition, and Related Costs [Line Items]
Acquisition and related charges	2,900,000		4,700,000	100,000
Earn-out Agreement
Restructuring, Acquisition, and Related Costs [Line Items]
Acquisition and related charges		200,000	$ 1,900,000	2,000,000
Maximum | Finders' Fees, Legal, Valuation And Other Professional Or Consulting Fees
Restructuring, Acquisition, and Related Costs [Line Items]
Acquisition and related charges		100,000
Maximum | Earn-out Agreement
Restructuring, Acquisition, and Related Costs [Line Items]
Acquisition and related charges	100,000
2020 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 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 will be focused on cost reduction actions that improve gross margins for the overall company. During the three and nine months ended October 1, 2021, the Company recorded $5.2 million and $7.7 million, respectively, in severance and other costs in connection with the 2020 restructuring program. As of October 1, 2021, the Company had incurred cumulative costs related to this restructuring plan totaling $10.4 million. The Company anticipates substantially completing the 2020 restructuring program in the second quarter of 2022 and expects to incur additional restructuring charges of $3.0 million to $4.0 million related to the 2020 restructuring program.
Total restructuring charges	5,185,000	1,006,000	$ 7,688,000	1,006,000
Restructuring cumulative costs incurred	10,400,000		10,400,000
2020 Restructuring | Minimum
Restructuring, Acquisition, and Related Costs [Line Items]
Restructuring costs	3,000,000		3,000,000
2020 Restructuring | Maximum
Restructuring, Acquisition, and Related Costs [Line Items]
Restructuring costs	4,000,000		4,000,000
2020 Restructuring | Severance and Related Costs
Restructuring, Acquisition, and Related Costs [Line Items]
Total restructuring charges	5,200,000		$ 7,700,000
2019 Restructuring
Restructuring, Acquisition, and Related Costs [Line Items]
Restructuring and related cost description			During the fourth quarter of 2018, the Company implemented a restructuring plan intended to realign operations, reduce costs, achieve operational efficiencies and focus resources on growth initiatives (the “2019 restructuring plan”). During the three and nine months ended October 1, 2021, the Company incurred zero and $0.2 million, respectively, in severance and related costs in connection with the 2019 restructuring plan. As of October 2, 2021, the Company incurred cumulative costs related to this restructuring plan totaling $9.0 million. The 2019 restructuring program was completed in the first quarter of 2021.
Total restructuring charges		$ 68,000	$ 208,000	$ 667,000
Restructuring cumulative costs incurred	9,000,000		9,000,000
2019 Restructuring | Severance and Related Costs
Restructuring, Acquisition, and Related Costs [Line Items]
Total restructuring charges	$ 0		$ 200,000

Summary of Restructuring Charge

Summary of Restructuring Charges by Reportable Segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Restructuring Cost And Reserve [Line Items]
Restructuring costs	$ 5,185	$ 1,074	$ 7,896	$ 2,427
2020 Restructuring
Restructuring Cost And Reserve [Line Items]
Restructuring costs	5,185	1,006	7,688	1,006
2020 Restructuring | Photonics
Restructuring Cost And Reserve [Line Items]
Restructuring costs	2,349		2,839
2020 Restructuring | Vision
Restructuring Cost And Reserve [Line Items]
Restructuring costs	193	$ 1,006	890	$ 1,006
2020 Restructuring | Precision Motion
Restructuring Cost And Reserve [Line Items]
Restructuring costs	$ 2,643		$ 3,959

Summary of Accrual Activities b

Summary of Accrual Activities by Components Related to Company's Restructuring Charges (Details) $ in Thousands	9 Months Ended
	Oct. 01, 2021USD ($)
Restructuring Cost And Reserve [Line Items]
Accrued expense beginning balance	$ 1,800
Restructuring charges	7,896
Cash payments	(2,333)
Non-cash charges and other adjustments	(3,486)	[1]
Accrued expense ending balance	3,877
Severance
Restructuring Cost And Reserve [Line Items]
Accrued expense beginning balance	1,681
Restructuring charges	6,292
Cash payments	(1,837)
Non-cash charges and other adjustments	(2,981)	[1]
Accrued expense ending balance	3,155
Facility
Restructuring Cost And Reserve [Line Items]
Accrued expense beginning balance	116
Restructuring charges	1,183
Cash payments	(215)
Non-cash charges and other adjustments	(505)	[1]
Accrued expense ending balance	579
Other Restructuring Charges
Restructuring Cost And Reserve [Line Items]
Accrued expense beginning balance	3
Restructuring charges	421
Cash payments	(281)
Accrued expense ending balance	$ 143
[1]	Non-cash charges included stock compensation charges amounting to $3.0 million associated with severance agreements for certain employees.

Summary of Accrual Activities_2

Summary of Accrual Activities by Components Related to Company's Restructuring Charges (Parenthetical) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Restructuring Cost And Reserve [Line Items]
Share-based compensation expense recognized	$ 8,490	$ 7,225	$ 20,169	$ 16,072
Severance and Related Costs
Restructuring Cost And Reserve [Line Items]
Share-based compensation expense recognized			$ 3,000

Commitment and Contingencies -

Commitment and Contingencies - Additional Information (Details) - USD ($)	3 Months Ended
	Jul. 02, 2021	Oct. 01, 2021
Commitments And Contingencies Disclosure [Abstract]
Purchase commitments		$ 17,900,000
Loss contingency, damages payment	$ 0

Segment Information - Additiona

Segment Information - Additional Information (Details)	9 Months Ended
	Oct. 01, 2021SegmentEndMarket
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
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Segment Reporting Information [Line Items]
Revenue	$ 177,726	$ 142,929	$ 507,833	$ 443,125
Gross Profit	$ 76,298	$ 59,105	$ 217,444	$ 182,252
Gross profit margin percentage	42.90%	41.40%	42.80%	41.10%
Operating Income (Loss)	$ 15,275	$ 11,866	$ 42,366	$ 38,817
Operating Segments | Photonics
Segment Reporting Information [Line Items]
Revenue	55,263	46,394	176,113	149,337
Gross Profit	$ 25,311	$ 20,166	$ 83,014	$ 65,725
Gross profit margin percentage	45.80%	43.50%	47.10%	44.00%
Operating Income (Loss)	$ 9,294	$ 7,026	$ 35,885	$ 22,878
Operating Segments | Vision
Segment Reporting Information [Line Items]
Revenue	65,346	64,299	196,429	198,047
Gross Profit	$ 24,763	$ 24,586	$ 76,132	$ 75,676
Gross profit margin percentage	37.90%	38.20%	38.80%	38.20%
Operating Income (Loss)	$ 5,606	$ 3,799	$ 12,178	$ 14,098
Operating Segments | Precision Motion
Segment Reporting Information [Line Items]
Revenue	57,117	32,236	135,291	95,741
Gross Profit	$ 27,743	$ 15,011	$ 64,694	$ 42,753
Gross profit margin percentage	48.60%	46.60%	47.80%	44.70%
Operating Income (Loss)	$ 14,957	$ 7,675	$ 34,681	$ 20,728
Unallocated Corporate and Shared Services
Segment Reporting Information [Line Items]
Gross Profit	(1,519)	(658)	(6,396)	(1,902)
Operating Income (Loss)	$ (14,582)	$ (6,634)	$ (40,378)	$ (18,887)

Depreciation and Amortization E

Depreciation and Amortization Expenses by Reportable Segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Depreciation and Amortization Expenses
Depreciation and amortization expenses	$ 10,890	$ 9,596	$ 30,613	$ 28,363
Unallocated Corporate and Shared Services
Depreciation and Amortization Expenses
Depreciation and amortization expenses	59	67	201	160
Photonics | Operating Segments
Depreciation and Amortization Expenses
Depreciation and amortization expenses	2,901	2,864	8,703	8,303
Vision | Operating Segments
Depreciation and Amortization Expenses
Depreciation and amortization expenses	5,239	5,296	15,793	15,845
Precision Motion | Operating Segments
Depreciation and Amortization Expenses
Depreciation and amortization expenses	$ 2,691	$ 1,369	$ 5,916	$ 4,055

Schedule of Geographic Revenue

Schedule of Geographic Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Segment Reporting Information [Line Items]
Revenue	$ 177,726	$ 142,929	$ 507,833	$ 443,125
United States
Segment Reporting Information [Line Items]
Revenue	72,972	57,635	191,699	171,364
Germany
Segment Reporting Information [Line Items]
Revenue	25,313	18,885	71,448	64,266
Rest of Europe
Segment Reporting Information [Line Items]
Revenue	34,163	30,483	105,338	94,281
China
Segment Reporting Information [Line Items]
Revenue	22,230	17,409	68,286	50,285
Rest of Asia-Pacific
Segment Reporting Information [Line Items]
Revenue	21,256	16,414	64,765	55,956
Other Countries
Segment Reporting Information [Line Items]
Revenue	$ 1,792	$ 2,103	$ 6,297	$ 6,973

Schedule of Revenue by End Mark

Schedule of Revenue by End Market (Details)	3 Months Ended		9 Months Ended
	Oct. 01, 2021	Oct. 02, 2020	Oct. 01, 2021	Oct. 02, 2020
Segment Reporting Information [Line Items]
Total revenue by end market	100.00%	100.00%	100.00%	100.00%
Advanced Industrial
Segment Reporting Information [Line Items]
Total revenue by end market	47.00%	46.00%	47.00%	44.00%
Medical
Segment Reporting Information [Line Items]
Total revenue by end market	53.00%	54.00%	53.00%	56.00%

Subsequent Events - Additional

Subsequent Events - Additional Information (Details) - Third Amended and Restated Credit Agreement - USD ($)	Oct. 05, 2021	Oct. 04, 2021	Dec. 31, 2019
Subsequent Event [Line Items]
Maximum borrowing capacity			$ 450,000,000
Revolving Credit Facility
Subsequent Event [Line Items]
Maximum borrowing capacity			350,000,000
Line of credit facility accordion potential feature			$ 200,000,000
Revolving Credit Facility | Subsequent Event
Subsequent Event [Line Items]
Maximum borrowing capacity		$ 495,000,000
Fourth Amendment Revolving Credit Facility | Subsequent Event
Subsequent Event [Line Items]
Increased in line of credit facility	$ 200,000,000
Maximum borrowing capacity	695,000,000
Line of credit facility accordion potential feature	$ 200,000,000