Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | 31-May-14 | Sep. 30, 2013 | |
Document And Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Mar-14 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Trading Symbol | 'MCZ | ' | ' |
Entity Registrant Name | 'MAD CATZ INTERACTIVE INC | ' | ' |
Entity Central Index Key | '0001088162 | ' | ' |
Current Fiscal Year End Date | '--03-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 64,098,173 | ' |
Entity Public Float | ' | ' | $49,227,260 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash | $1,496 | $2,773 |
Accounts receivable, net of allowances of $6,359 and $7,644 at March 31, 2014 and 2013, respectively | 8,059 | 13,884 |
Other receivables | 1,531 | 1,374 |
Inventories | 17,189 | 23,795 |
Deferred tax assets | 926 | 257 |
Income tax receivable | 895 | 344 |
Prepaid expenses and other current assets | 1,605 | 2,711 |
Total current assets | 31,701 | 45,138 |
Deferred tax assets | 1,334 | 370 |
Other assets | 499 | 359 |
Property and equipment, net | 2,737 | 2,977 |
Intangible assets, net | 3,022 | 3,679 |
Total assets | 39,293 | 52,523 |
Current liabilities: | ' | ' |
Bank loan | 5,612 | 8,888 |
Accounts payable | 13,661 | 15,573 |
Accrued liabilities | 4,874 | 6,652 |
Note payable | 1,336 | ' |
Contingent consideration, current | ' | 1,650 |
Income taxes payable | 330 | 258 |
Total current liabilities | 25,813 | 33,021 |
Note payable | 1,023 | ' |
Contingent consideration | ' | 2,214 |
Warrant liability | 75 | 149 |
Deferred tax liabilities | 178 | 152 |
Other long-term liabilities | 78 | 109 |
Total liabilities | 27,167 | 35,645 |
Commitments and contingencies | ' | ' |
Shareholders' equity: | ' | ' |
Common stock, no par value, unlimited shares authorized; 63,931,506 and 63,477,399 shares issued and outstanding at March 31, 2014 and 2013, respectively | 60,847 | 60,102 |
Accumulated other comprehensive loss | -1,757 | -3,701 |
Accumulated deficit | -46,964 | -39,523 |
Total shareholders' equity | 12,126 | 16,878 |
Total liabilities and shareholders' equity | $39,293 | $52,523 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Allowances for accounts receivable | $6,359 | $7,644 |
Common stock, par value | ' | ' |
Common stock, shares authorized | 'unlimited | 'unlimited |
Common stock, shares issued | 63,931,506 | 63,477,399 |
Common stock, shares outstanding | 63,931,506 | 63,477,399 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Income Statement [Abstract] | ' | ' | ' |
Net sales | $89,629 | $122,664 | $117,552 |
Cost of sales | 66,731 | 88,148 | 86,052 |
Gross profit | 22,898 | 34,516 | 31,500 |
Operating expenses: | ' | ' | ' |
Sales and marketing | 12,656 | 15,397 | 15,313 |
General and administrative | 11,649 | 11,941 | 12,411 |
Research and development | 4,238 | 4,205 | 5,634 |
Acquisition related items | 134 | 1,088 | 1,067 |
Amortization of intangible assets | 743 | 933 | 955 |
Goodwill impairment | ' | 10,468 | ' |
Total operating expenses | 29,420 | 44,032 | 35,380 |
Operating loss | -6,522 | -9,516 | -3,880 |
Other (expense) income: | ' | ' | ' |
Interest expense, net | -659 | -894 | -1,123 |
Foreign exchange (loss) gain, net | -870 | 615 | -560 |
Change in fair value of warrant liability | 74 | 544 | 2,557 |
Other income | 142 | 87 | 115 |
Total other (expense) income | -1,313 | 352 | 989 |
Loss before income taxes | -7,835 | -9,164 | -2,891 |
Income tax benefit (expense) | 394 | -2,036 | 1,264 |
Net loss | ($7,441) | ($11,200) | ($1,627) |
Net loss per share: | ' | ' | ' |
Basic | ($0.12) | ($0.18) | ($0.03) |
Diluted | ($0.12) | ($0.18) | ($0.03) |
Shares used in per share computations: | ' | ' | ' |
Basic | 63,757,395 | 63,471,235 | 63,094,422 |
Diluted | 63,757,395 | 63,471,235 | 63,094,422 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Loss (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' | ' |
Net loss | ($7,441) | ($11,200) | ($1,627) |
Foreign currency translation adjustments | 1,944 | -2,083 | -1,608 |
Comprehensive loss | ($5,497) | ($13,283) | ($3,235) |
Consolidated_Statements_of_Sha
Consolidated Statements of Shareholders' Equity (USD $) | Total | Common Stock [Member] | Accumulated Other Comprehensive Loss [Member] | Accumulated Deficit [Member] |
In Thousands, except Share data, unless otherwise specified | ||||
Balance at Mar. 31, 2011 | $23,942 | $50,648 | ($10) | ($26,696) |
Balance, Shares at Mar. 31, 2011 | ' | 57,029,350 | ' | ' |
Issuance of common stock in connection with securities purchase agreement | 8,100 | 8,100 | ' | ' |
Issuance of common stock in connection with securities purchase agreement, Shares | ' | 6,352,293 | ' | ' |
Stock option exercises | 35 | 35 | ' | ' |
Stock option exercises, Shares | 80,756 | 80,756 | ' | ' |
Stock-based compensation | 649 | 649 | ' | ' |
Comprehensive loss | ' | ' | ' | ' |
Net loss | -1,627 | ' | ' | -1,627 |
Other comprehensive income (loss) | -1,608 | ' | -1,608 | ' |
Balance at Mar. 31, 2012 | 29,491 | 59,432 | -1,618 | -28,323 |
Balance, Shares at Mar. 31, 2012 | ' | 63,462,399 | ' | ' |
Stock option exercises | 7 | 7 | ' | ' |
Stock option exercises, Shares | 15,000 | 15,000 | ' | ' |
Stock-based compensation | 663 | 663 | ' | ' |
Comprehensive loss | ' | ' | ' | ' |
Net loss | -11,200 | ' | ' | -11,200 |
Other comprehensive income (loss) | -2,083 | ' | -2,083 | ' |
Balance at Mar. 31, 2013 | 16,878 | 60,102 | -3,701 | -39,523 |
Balance, Shares at Mar. 31, 2013 | ' | 63,477,399 | ' | ' |
Stock option exercises | 188 | 188 | ' | ' |
Stock option exercises, Shares | 454,107 | 454,107 | ' | ' |
Stock-based compensation | 557 | 557 | ' | ' |
Comprehensive loss | ' | ' | ' | ' |
Net loss | -7,441 | ' | ' | -7,441 |
Other comprehensive income (loss) | 1,944 | ' | 1,944 | ' |
Balance at Mar. 31, 2014 | $12,126 | $60,847 | ($1,757) | ($46,964) |
Balance, Shares at Mar. 31, 2014 | ' | 63,931,506 | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | 31-May-12 |
Cash flows from operating activities: | ' | ' | ' |
Net loss | ($7,441) | ($11,200) | ($1,627) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ' | ' | ' |
Depreciation and amortization | 2,568 | 3,022 | 3,253 |
Accrued and unpaid interest expense on note payable | 11 | ' | ' |
Amortization of deferred financing fees | 39 | 7 | 149 |
Stock-based compensation | 557 | 663 | 649 |
Change in fair value of contingent consideration | -729 | 475 | 1,067 |
Loss on disposal of assets | 79 | 72 | 22 |
Change in fair value of warrant liability | -74 | -544 | -2,557 |
Goodwill impairment | ' | 10,468 | ' |
(Benefit) provision for deferred income taxes | -1,607 | 188 | 232 |
Changes in operating assets and liabilities: | ' | ' | ' |
Accounts receivable | 6,406 | 1,221 | 4,057 |
Other receivables | -142 | -200 | -922 |
Inventories | 7,265 | 7,640 | -4,832 |
Prepaid expenses and other current assets | 1,216 | 207 | -1,474 |
Other assets | -153 | 346 | -418 |
Accounts payable | -1,890 | -2,367 | 4,410 |
Accrued liabilities | -1,601 | 220 | -4,943 |
Income taxes receivable/payable | -417 | -28 | -2,441 |
Net cash provided by (used in) operating activities | 4,087 | 10,190 | -5,375 |
Cash flows from investing activities: | ' | ' | ' |
Purchases of property and equipment | -1,461 | -1,046 | -2,442 |
Purchases of intangible assets | -80 | ' | ' |
Net cash used in investing activities | -1,541 | -1,046 | -2,442 |
Cash flows from financing activities: | ' | ' | ' |
Borrowings on bank loan | 69,810 | 90,640 | 131,678 |
Repayments on bank loan | -73,086 | -98,406 | -120,430 |
Payment of financing fees | -40 | ' | ' |
Payment of contingent consideration | -787 | -980 | -1,546 |
Proceeds from exercise of stock options | 188 | 7 | 35 |
Repayments on notes payable | ' | ' | -14,500 |
Proceeds from issuance of common stock and warrants, net of issuance costs of $820 | ' | ' | 11,350 |
Net cash (used in) provided by financing activities | -3,915 | -8,739 | 6,587 |
Effects of foreign currency exchange rate changes on cash | 92 | -106 | -30 |
Net (decrease) increase in cash | -1,277 | 299 | -1,260 |
Cash, beginning of year | 2,773 | 2,474 | 3,734 |
Cash, end of year | 1,496 | 2,773 | 2,474 |
Supplemental cash flow information: | ' | ' | ' |
Income taxes paid | 1,656 | 2,979 | 827 |
Interest paid | 532 | 777 | 950 |
Supplemental disclosures of noncash investing and financing activities: | ' | ' | ' |
Conversion of contingent consideration to note payable | 2,348 | ' | ' |
Fair value of warrants issued | ' | ' | $3,250 |
Consolidated_Statements_of_Cas1
Consolidated Statements of Cash Flows (Parenthetical) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 |
Statement Of Cash Flows [Abstract] | ' |
Net issuance costs for common stock and warrants | $820 |
Organization_and_Description_o
Organization and Description of Business | 12 Months Ended |
Mar. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Organization and Description of Business | ' |
(1) Organization and Description of Business | |
Mad Catz Interactive, Inc. (“Mad Catz”) designs, manufactures (primarily through third parties in Asia), markets and distributes innovative interactive entertainment products marketed under its Mad Catz (gaming), Tritton (audio), and Saitek (simulation) brands. Mad Catz products, which primarily include headsets, mice, keyboards, controllers, specialty controllers, and other accessories, cater to passionate gamers across multiple platforms in including in-home gaming consoles, handheld gaming consoles, Windows PC and Mac computers, smart phones, tablets and other mobile devices. Mad Catz distributes its products through its online store as well as through many leading retailers around the globe. Operationally headquartered in San Diego, California, Mad Catz also maintains offices in Europe and Asia. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||||||||
(2) Summary of Significant Accounting Policies | |||||||||||||||||
Basis of Presentation | |||||||||||||||||
The consolidated financial statements include the accounts of Mad Catz Interactive, Inc. and its wholly-owned subsidiaries, collectively, the Company. All intercompany transactions and balances have been eliminated in consolidation. The Company refers to its fiscal years based on the fiscal year ending date. For instance, fiscal year 2014 refers to the fiscal year ending March 31, 2014. All currency amounts are presented in U.S. dollars. | |||||||||||||||||
Use of Estimates | |||||||||||||||||
The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the year. On an ongoing basis, the Company evaluates its estimates, including those related to asset impairments, reserves for accounts receivable and inventory, contingencies and litigation, valuation and recognition of share-based payments, the liability for contingent consideration, warrant liability and income taxes. As future events and their effects cannot be determined with precision, actual results could differ from these estimates. Changes in estimates resulting from continuing changes in the economic environment will be reflected in the financial statements in future periods. Actual results could differ from those estimates. | |||||||||||||||||
Concentration of Credit Risk | |||||||||||||||||
The Company’s credit risk is primarily concentrated in accounts receivable. The Company generally does not require collateral on accounts receivable because a majority of its customers are large, well-capitalized, established retail entities with operations throughout the United States, Canada and Europe. The Company maintains an allowance for doubtful accounts. For the year ended March 31, 2014, sales to the largest customer constituted 13% of gross sales and sales to the second largest customer constituted 11% of gross sales. For the year ended March 31, 2013, sales to the largest customer constituted 17% of gross sales. For the year ended March 31, 2012, sales to the largest customer constituted 20% of gross sales and sales to the second largest customer constituted 11% of gross sales. At March 31, 2014, one customer represented 15% of accounts receivable. At March 31, 2013, one customer represented 15% of accounts receivable and another customer represented 12% of accounts receivable. At March 31, 2012, one customer represented 27% of accounts receivable and another customer represented 10% of accounts receivable. At March 31, 2014, 2013 and 2012, there were no other customers which accounted for greater than 10% of gross sales or represented greater than 10% of accounts receivable. | |||||||||||||||||
Fair Value of Financial Instruments and Fair Value Measurements | |||||||||||||||||
The carrying values of the Company’s financial instruments, including cash, accounts receivable, other receivables, accounts payable, accrued liabilities and income taxes receivable/payable approximate their fair values due to the short maturity of these instruments. The carrying value of the bank loan approximates its fair value as the interest rate and other terms are that which is currently available to the Company. The carrying value of the note payable approximates fair value as it represents the present value of the fixed payment schedule using an effective interest rate of 5.25%, which approximates the interest rate on the Company’s bank loan. | |||||||||||||||||
Fair value measurements are market-based measurements, not entity-specific measurements. Therefore, fair value measurements are determined based on the assumptions that market participants would use in pricing the asset or liability. The Company follows a three-level hierarchy to prioritize the inputs used in the valuation techniques to derive fair values. The basis for fair value measurements for each level within the hierarchy is described below: | |||||||||||||||||
Ÿ | Level 1: Quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||
Ÿ | Level 2: Quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs are observable in active markets. | ||||||||||||||||
Ÿ | Level 3: Valuations derived from valuation techniques in which one or more significant inputs are unobservable in active markets. | ||||||||||||||||
The following table provides a summary of the recognized assets and liabilities carried at fair value on a recurring basis (in thousands): | |||||||||||||||||
Balance as of | Basis of Fair Value | ||||||||||||||||
March 31, 2014 | Measurements | ||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Liabilities: | |||||||||||||||||
Warrant liability (Note 10) | $ | (75 | ) | $ | — | $ | — | $ | (75 | ) | |||||||
Balance as of | Basis of Fair Value | ||||||||||||||||
March 31, 2013 | Measurements | ||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Liabilities: | |||||||||||||||||
Contingent consideration (Note 3) | $ | (3,864 | ) | $ | — | $ | — | $ | (3,864 | ) | |||||||
Warrant liability (Note 10) | $ | (149 | ) | $ | — | $ | — | $ | (149 | ) | |||||||
The following tables provide a rollforward of the Company’s level three fair value measurements during the year ended March 31, 2014, which consist of the Company’s contingent consideration liability and warrant liability (in thousands): | |||||||||||||||||
Contingent consideration, net of working capital: | |||||||||||||||||
Balance at March 31, 2011 | $ | (4,439 | ) | ||||||||||||||
Contingent consideration payment | 1,546 | ||||||||||||||||
Changes in working capital adjustment | (409 | ) | |||||||||||||||
Change in fair value of contingent consideration | (1,067 | ) | |||||||||||||||
Balance at March 31, 2012 | $ | (4,369 | ) | ||||||||||||||
Contingent consideration payment | 1,600 | ||||||||||||||||
Changes in working capital adjustment | (7 | ) | |||||||||||||||
Change in fair value of contingent consideration | (1,088 | ) | |||||||||||||||
Balance at March 31, 2013 | $ | (3,864 | ) | ||||||||||||||
Contingent consideration payment | 1,650 | ||||||||||||||||
Converted to note payable | 2,348 | ||||||||||||||||
Change in fair value of contingent consideration | (134 | ) | |||||||||||||||
Balance at March 31, 2014 | $ | — | |||||||||||||||
Warrant liability: | |||||||||||||||||
Balance at March 31, 2011 | $ | — | |||||||||||||||
Securities purchase agreement — warrant liability | (3,250 | ) | |||||||||||||||
Change in fair value of warrant liability | 2,557 | ||||||||||||||||
Balance at March 31, 2012 | $ | (693 | ) | ||||||||||||||
Change in fair value of warrant liability | 544 | ||||||||||||||||
Balance at March 31, 2013 | $ | (149 | ) | ||||||||||||||
Change in fair value of warrant liability | 74 | ||||||||||||||||
Balance at March 31, 2014 | $ | (75 | ) | ||||||||||||||
Revenue Recognition | |||||||||||||||||
The Company recognizes revenue when (1) there is persuasive evidence that an arrangement with the customer exists, which is generally a customer purchase order, (2) the products are delivered, which occurs when the products are shipped and risk of loss has been transferred to the customer, (3) the selling price is fixed or determinable and (4) collection of the customer receivable is deemed reasonably assured. The Company’s payment arrangements with customers typically provide net 30- and 60-day terms. All of the Company’s arrangements are single element arrangements and there are no undelivered elements after the point of shipment. | |||||||||||||||||
Amounts billed to customers for shipping and handling are included in net sales, and costs incurred related to shipping and handling is included in cost of sales. | |||||||||||||||||
Allowance for Doubtful Accounts and Other Allowances | |||||||||||||||||
Accounts receivable are recorded net of an allowance for doubtful accounts and other sales related allowances. When evaluating the adequacy of the allowance for doubtful accounts, the Company analyzes known uncollectible accounts, the aging of accounts receivable, historical bad debts, customer credit-worthiness and current economic trends. The Company performs ongoing credit evaluations of its customers, and generally does not require collateral on its accounts receivable. The Company estimates the need for allowances for potential credit losses based on historical collection activity and the facts and circumstances relevant to specific customers and records a provision for uncollectible accounts when collection is uncertain. To date, the Company has not experienced significant credit related losses. | |||||||||||||||||
The Company records allowances for customer marketing programs, including certain rights of return, price protection, volume-based cash incentives and cooperative advertising. The estimated cost of these programs is accrued as a reduction to revenue or as an operating expense in the period the Company sells the product or commits to the program. Such amounts are estimated, based on historical experience and contractual terms, and periodically adjusted based on historical and anticipated rates of returns, inventory levels and other factors. | |||||||||||||||||
Inventories | |||||||||||||||||
Raw materials, packaging materials and accessories are valued at the lower of cost, determined by the first-in, first-out method, or market. Finished goods are valued at the lower of cost or market, with cost being determined on an average cost basis. The Company regularly reviews inventory quantities on hand and in the retail channel, consumer demand and seasonality factors in order to recognize any loss of utility in the period incurred. | |||||||||||||||||
Property and Equipment | |||||||||||||||||
Property and equipment are stated at cost less accumulated depreciation and amortization. Property and equipment are depreciated or amortized using the straight-line method over the estimated useful lives of the assets as follows: | |||||||||||||||||
Molds | 3 years | ||||||||||||||||
Computer equipment and software | 3 years | ||||||||||||||||
Manufacturing and office equipment | 3 -5 years | ||||||||||||||||
Furniture and fixtures | 5 years | ||||||||||||||||
Leasehold improvements | Shorter of estimated useful life or remaining life | ||||||||||||||||
of lease | |||||||||||||||||
Major improvements and betterments are capitalized. | |||||||||||||||||
Intangible Assets | |||||||||||||||||
Intangible assets are stated at cost less accumulated amortization and are amortized over the estimated useful lives of the assets on a straight-line basis. The range of useful lives is as follows: | |||||||||||||||||
Useful Life | |||||||||||||||||
(Years) | |||||||||||||||||
Trademarks | 6 - 15 | ||||||||||||||||
Customer relationships | 8-Jun | ||||||||||||||||
Goodwill | |||||||||||||||||
The Company reviews its goodwill for impairment as of the end of each fiscal year or when an event or a change in facts and or circumstances indicates the fair value of a reporting unit may be below its carrying amount. | |||||||||||||||||
We perform an annual impairment review at the reporting unit level during the fourth quarter of each fiscal year or more frequently if we believe indicators of impairment are present. Authoritative guidance requires that goodwill and certain intangible assets be assessed for impairment using fair value measurement techniques. Specifically, goodwill impairment is determined using a two-step process. The first step of the goodwill impairment test is used to identify potential impairment by comparing the fair value of a reporting unit with its carrying amount, including goodwill, using a combination of the income approach (using discounted future cash flows) and the market valuation approach. If the carrying amount of the reporting unit exceeds the reporting unit’s fair value, we perform the second step of the goodwill impairment test to determine the amount of impairment loss. The second step of the goodwill impairment test involves comparing the implied fair value of our reporting unit’s goodwill based on a number of factors, including the implied discount rate, with the carrying amount of that goodwill. If the carrying amount of the reporting unit’s goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. During the fourth quarter of fiscal 2013, our market capitalization declined to a point below our book equity value. As a result, we completed the first step of our goodwill impairment testing, which indicated that the fair value of our reporting unit was lower than its carrying value. The decrease in value was due to lower projected near-term growth rates in the gaming industry. | |||||||||||||||||
The Company performed the second step of the goodwill impairment test and recorded an impairment charge of $10.5 million in the year ended March 31, 2013, which reduced the goodwill balance to zero. | |||||||||||||||||
Impairment of Long-Lived Assets | |||||||||||||||||
Long-lived assets, such as property and equipment and purchased intangibles subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset. Assets to be disposed of would be separately presented in the balance sheet and reported at the lower of the carrying amount or fair value less costs to sell, and are no longer depreciated. The assets and liabilities of a disposal group classified as held for sale would be presented separately in the appropriate asset and liability sections of the balance sheet. The Company did not record impairment of long-lived assets in fiscal years 2014, 2013 and 2012. | |||||||||||||||||
Royalties and Intellectual Property Licenses | |||||||||||||||||
Royalty and license expenses consist of royalties and license fees paid to intellectual property rights holders for use of their trademarks, copyrights, software, technology or other intellectual property or proprietary rights in the development or sale of the Company’s products. Royalty-based payments that are paid in advance are generally capitalized and expensed to cost of sales at the greater of the contractual or effective royalty rate based on net product sales. | |||||||||||||||||
Royalty payments to independent video game developers and co-publishing affiliates are payments for the development of intellectual property related to the Company’s video game titles. Payments made prior to the establishment of technological feasibility are expensed as research and development. Once technological feasibility has been established, payments made are capitalized and amortized upon release of the product. Additional royalty payments due after the general release of the product are typically expensed as cost of sales at the higher of the contractual or effective royalty rate based on net product sales. | |||||||||||||||||
Advertising and Research and Development | |||||||||||||||||
Advertising costs and research and development are expensed as incurred. Advertising costs amounted to $2,575,000, $3,513,000, and $3,511,000 in fiscal years 2014, 2013 and 2012, respectively. Cooperative advertising with retailers is recorded when revenue is recognized and such amounts are included in sales and marketing expense if there is a separate identifiable benefit with a fair value. Otherwise, such costs are recognized as a reduction of sales. Research and development costs amounted to $4,238,000, $4,205,000 and $5,634,000 for the years ended March 31, 2014, 2013 and 2012, respectively. | |||||||||||||||||
Income Taxes | |||||||||||||||||
Income taxes are accounted for using the asset and liability method. Under the asset and liability method of accounting for income taxes, deferred tax assets and liabilities are recognized for future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. | |||||||||||||||||
Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. To the extent that it is not “more likely than not” that a deferred tax asset will be realized, a valuation allowance is provided. Significant management judgment is required in assessing the ability to realize the Company’s deferred tax assets. In performing this assessment, management considers whether it is more likely than not that some portion or all of the assets will not be realized. The ultimate realization of deferred tax assets is dependent upon generation of future taxable income in each tax jurisdiction during the periods in which the temporary differences become deductible. Management considers the scheduled reversal of deferred liabilities, projected future taxable income, and tax planning strategies in making this assessment. | |||||||||||||||||
Foreign Currency Translation | |||||||||||||||||
For each of the Company’s foreign operating subsidiaries the functional currency is its local currency. Assets and liabilities of foreign operations are translated into U.S. dollars using month-end exchange rates, and revenue and expenses are translated into U.S. dollars using monthly average exchange rates. The effects of foreign currency translation adjustments are included as a component of accumulated other comprehensive loss in shareholders’ equity. | |||||||||||||||||
Foreign currency transaction gains and losses are a result of the effect of exchange rate changes on transactions denominated in currencies other than the functional currency. | |||||||||||||||||
Net Loss per Share | |||||||||||||||||
Basic net loss per share is computed by dividing the net loss for the period by the weighted average number of common shares outstanding during the period. Diluted net loss per share is computed by dividing net loss for the period by the weighted average number of common shares outstanding, increased by potentially dilutive securities. Potentially dilutive securities are calculated using the treasury stock method and represent incremental shares issuable upon exercise of outstanding stock options and warrants. However, potentially dilutive securities are not included in the denominator of the diluted earnings per share calculation when inclusion of such shares would be anti-dilutive. As a result, the denominator for diluted loss per share is the same as the weighted average common shares in periods when a net loss is reported. | |||||||||||||||||
The following table sets forth the computation of diluted weighted average common and potential common shares outstanding for the years ended March 31, 2014, 2013 and 2012 (in thousands, except share and per share amounts): | |||||||||||||||||
Years Ended March 31, | |||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||
Numerator: | |||||||||||||||||
Net loss | $ | (7,441 | ) | $ | (11,200 | ) | $ | (1,627 | ) | ||||||||
Denominator: | |||||||||||||||||
Weighted average common shares | 63,757,395 | 63,471,235 | 63,094,422 | ||||||||||||||
Denominator for diluted net loss per share | 63,757,395 | 63,471,235 | 63,094,422 | ||||||||||||||
Loss per share: | |||||||||||||||||
Basic | $ | (0.12 | ) | $ | (0.18 | ) | $ | (0.03 | ) | ||||||||
Diluted | $ | (0.12 | ) | $ | (0.18 | ) | $ | (0.03 | ) | ||||||||
Anti-dilutive securities excluded from the computation of diluted loss per share: | |||||||||||||||||
Outstanding options | 7,644,948 | 8,832,288 | 7,453,212 | ||||||||||||||
Outstanding warrants | 2,540,918 | 2,540,918 | 2,311,191 | ||||||||||||||
Shares subject to convertible note payable | — | — | 475,895 | ||||||||||||||
Stock-Based Compensation | |||||||||||||||||
The Company records compensation expense associated with share-based awards made to employees and directors based upon their grant date fair value. The Company recognizes these compensation costs on a straight-line basis over the requisite service period of the award, which is four years, except for grants to Board of Directors, which vest in one year. | |||||||||||||||||
The fair value of each option award is estimated on the date of grant using the Black-Scholes option valuation model, using the assumptions noted in Note 8 — Stock-Based Compensation. The expected life of the options is based on a number of factors, including historical exercise experience, the vesting term of the award, and the expected volatility of the Company’s stock. The expected volatility is estimated based on the historical volatility (using daily pricing) of the Company’s stock. The risk-free interest rate is determined based on a constant U.S. Treasury security rate with a contractual life that approximates the expected term of the stock options. The Company reduces the calculated stock-based compensation expense for estimated forfeitures by applying a forfeiture rate, based upon historical pre-vesting option cancelations. Estimated forfeitures are reassessed at each balance sheet date and may change based on new facts and circumstances. | |||||||||||||||||
See Note 8 — Stock-Based Compensation for additional information regarding the Company’s stock-based compensation plans. | |||||||||||||||||
Comprehensive Loss | |||||||||||||||||
Comprehensive loss consists of net loss and certain changes in equity that are excluded from net loss. Accumulated other comprehensive loss represents net unrealized gains and losses from foreign currency translation adjustments. | |||||||||||||||||
Recently Issued Accounting Standards | |||||||||||||||||
The Company has adopted no new accounting standards during the year ended March 31, 2014. |
Prior_Acquisition
Prior Acquisition | 12 Months Ended |
Mar. 31, 2014 | |
Business Combinations [Abstract] | ' |
Prior Acquisition | ' |
(3) Prior Acquisition | |
May 28, 2010, the Company acquired all of the outstanding stock of Tritton Technologies Inc. (“Tritton”) for $1,400,000 cash, subject to a working capital adjustment, and contingent consideration based on a percentage of future sales of Tritton products over a five-year period, subject to maximum annual amounts, up to an aggregate of $8,700,000. Through May 2013, the Company paid $4,788,000 for the first three years of the five-year contingent period. On February 27, 2014, the Company and individuals who held approximately 99% of Tritton prior to the purchase (the “Sellers”) entered into a Settlement and Release Agreement (the “Settlement Agreement”). Under the Settlement Agreement, the Company agreed to issue to the Sellers a Promissory Note (the “Note Payable”) providing for payments to the Sellers in an aggregate amount equal to $2,475,000 over a two-year period commencing in May 2014, which replaced the final two years of contingent consideration. As of March 31, 2014, the liability for contingent consideration is $0 and the present value of the Note Payable is $2,359,000, with an effective interest rate of 5.25%. | |
The fair value of the contingent consideration arrangement had been determined primarily by using the income approach. Fluctuations in the fair value of contingent consideration were impacted by unobservable inputs, most significantly estimated future sales of Tritton products and the estimated discount rate. Significant increases (decreases) in either of those inputs in isolation would result in a significantly higher (lower) fair value measurement. Generally, a change in the assumption used for estimated future sales of Tritton products is accompanied by a directionally similar change in the fair value of contingent consideration liability, whereas a change in assumption used for the estimated discount rate is accompanied by a directionally opposite change in the fair value of contingent consideration liability. | |
The Company assessed the estimated fair value of the contractual obligation to pay the contingent consideration on a quarterly basis and any changes in estimated fair value are recorded in ‘acquisition related items’ in the Company’s statement of operations. |
Inventories
Inventories | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
(4) Inventories | |||||||||
Inventories consist of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Raw materials | $ | 1,032 | $ | 1,789 | |||||
Finished goods | 16,157 | 22,006 | |||||||
$ | 17,189 | $ | 23,795 | ||||||
The amount of inventory pledged as collateral totaled $11,647,000 at March 31, 2014. |
Property_and_Equipment
Property and Equipment | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||
Property and Equipment | ' | ||||||||
(5) Property and Equipment | |||||||||
Property and equipment, net, consist of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Molds | $ | 8,707 | $ | 7,868 | |||||
Computer equipment and software | 2,529 | 2,413 | |||||||
Manufacturing and office equipment | 1,376 | 1,562 | |||||||
Furniture and fixtures | 518 | 552 | |||||||
Leasehold improvements | 984 | 1,001 | |||||||
14,114 | 13,396 | ||||||||
Less: Accumulated depreciation and amortization | (11,377 | ) | (10,419 | ) | |||||
$ | 2,737 | $ | 2,977 | ||||||
Depreciation expense related to property and equipment totaled $1,825,000, $2,089,000, and $2,297,000 for the years ended March 31, 2014, 2013 and 2012, respectively. |
Intangible_Assets_and_Goodwill
Intangible Assets and Goodwill | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Intangible Assets and Goodwill | ' | ||||||||||||||||||||||||
(6) Intangible Assets and Goodwill | |||||||||||||||||||||||||
The Company’s acquired intangible assets are summarized as follows (in thousands): | |||||||||||||||||||||||||
March 31, 2014 | March 31, 2013 | ||||||||||||||||||||||||
Cost | Accumulated | Net Book | Cost | Accumulated | Net Book | ||||||||||||||||||||
Amortization | Value | Amortization | Value | ||||||||||||||||||||||
Trademarks | $ | 4,154 | $ | 1,601 | $ | 2,553 | $ | 4,073 | $ | 1,271 | $ | 2,802 | |||||||||||||
Customer relationships | 3,852 | 3,383 | 469 | 3,733 | 2,856 | 877 | |||||||||||||||||||
Intangible assets | $ | 8,006 | $ | 4,984 | $ | 3,022 | $ | 7,806 | $ | 4,127 | $ | 3,679 | |||||||||||||
Amortization of intangible assets was approximately $743,000, $933,000 and $955,000 in fiscal 2014, 2013 and 2012, respectively. | |||||||||||||||||||||||||
As of March 31, 2014, the future estimated amortization expense for these acquired intangible assets for the next five years and thereafter is expected to be as follows (in thousands): | |||||||||||||||||||||||||
Years ending March 31: | |||||||||||||||||||||||||
2015 | $ | 437 | |||||||||||||||||||||||
2016 | 437 | ||||||||||||||||||||||||
2017 | 438 | ||||||||||||||||||||||||
2018 | 438 | ||||||||||||||||||||||||
2019 | 344 | ||||||||||||||||||||||||
Thereafter | 928 | ||||||||||||||||||||||||
$ | 3,022 | ||||||||||||||||||||||||
The changes in the carrying amount of goodwill for the years ended March 31, 2013 are as follows (in thousands): | |||||||||||||||||||||||||
Balance at March 31, 2012 | $ | 10,476 | |||||||||||||||||||||||
Translation adjustment | (8 | ) | |||||||||||||||||||||||
Goodwill impairment | (10,468 | ) | |||||||||||||||||||||||
Balance at March 31, 2013 | $ | 0 | |||||||||||||||||||||||
The accumulated goodwill impairment losses previously recognized by the Company totaled $38,355,000 at March 31, 2014 and 2013. |
Bank_Loan
Bank Loan | 12 Months Ended |
Mar. 31, 2014 | |
Debt Disclosure [Abstract] | ' |
Bank Loan | ' |
(7) Bank Loan | |
We maintain a Credit Facility with Wells Fargo Capital Finance, LLC (“Wells Fargo”) to borrow up to $30 million under a revolving line of credit subject to the availability of eligible collateral (accounts receivable and inventories), which changes throughout the year. The Credit Facility expires on October 31, 2015. Under the line of credit, interest accrues on the daily outstanding balance at an interest rate that ranges from U.S. prime rate plus 0.50% to U.S. prime rate plus 2.0% per annum, depending upon the fixed charge coverage ratio. At March 31, 2014 and 2013, the interest rate was 5.25% and 3.75%, respectively. The Company is also required to pay a monthly service fee of $1,500 and an unused line fee equal to 0.25% of the unused portion of the loan. Borrowings under the Credit Facility are secured by a first priority interest in the inventories, equipment, and accounts receivable of certain subsidiaries of Mad Catz, Inc. (“MCI”) and by a pledge of all of the capital stock of the Company’s subsidiaries and is guaranteed by the Company. The Company is required to meet a monthly financial covenant based on a trailing three months’ Adjusted EBITDA, as defined, through May 2014, and a quarterly financial covenant, effective with the quarter ending June 30, 2014, based on the Company’s trailing four quarter’s coverage of fixed charges. The Company was in compliance with the financial covenants as of March 31, 2014. On June 4, 2014, the Credit Facility was amended to reduce the amount that can be borrowed under the facility from $30 million to $25 million, eliminate the quarterly financial covenant, and add a monthly financial covenant based on a trailing twelve months’ Adjusted EBITDA, as defined, effective June 2014 through June 2015. | |
We depend upon the availability of capital under our Credit Facility to finance our operations. To meet the requirements of the monthly financial covenant in the coming fiscal year, our plan depends on our ability to increase net sales and improve gross margin. If we are unable to comply with the amended monthly financial covenant contained in the Credit Facility, Wells Fargo may declare the outstanding borrowings under the facility immediately due and payable. If we need to obtain additional funds as a result of the termination of the Credit Facility or the acceleration of amounts due thereunder, there can be no assurance that alternative financing can be obtained on substantially similar or acceptable terms, or at all. Our failure to promptly obtain alternate financing could limit our ability to implement our business plan and have an immediate, severe and adverse impact on our business, results of operations, financial condition and liquidity. In the event that no alternative financing is available, we would be forced to drastically curtail operations, or dispose of assets, or cease operations altogether. |
StockBased_Compensation
Stock-Based Compensation | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||||||||||
(8) Stock-Based Compensation | |||||||||||||||||||||||||
The Company’s Stock Option Plan (the “2007 Plan”) allows the Company to grant options to purchase common stock to employees, officers and directors up to a maximum of 10,300,000 shares of common stock. Options granted under the 2007 Plan expire ten years from the date of grant and generally vest over a period of four years, with the first 25% vesting on the one-year anniversary of the grant date and the remainder vesting monthly over the remaining 36 months. At March 31, 2014, a total of 1,552,039 shares were available for future grant under the 2007 Plan. | |||||||||||||||||||||||||
A summary of option activity is presented as follows: | |||||||||||||||||||||||||
Years Ended March 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Options | Weighted | Options | Weighted | Options | Weighted | ||||||||||||||||||||
Average | Average | Average | |||||||||||||||||||||||
Exercise | Exercise | Exercise | |||||||||||||||||||||||
Price | Price | Price | |||||||||||||||||||||||
Outstanding, beginning of year | 9,364,744 | $ | 0.66 | 7,951,463 | $ | 0.66 | 6,437,259 | $ | 0.58 | ||||||||||||||||
Granted | 362,054 | 0.5 | 1,500,000 | 0.67 | 1,975,000 | 0.98 | |||||||||||||||||||
Exercised | (454,107 | ) | 0.41 | (15,000 | ) | 0.47 | (80,756 | ) | 0.43 | ||||||||||||||||
Expired/canceled | (2,072,709 | ) | 0.89 | (71,719 | ) | 0.49 | (380,040 | ) | 1.13 | ||||||||||||||||
Outstanding, end of year | 7,199,982 | $ | 0.66 | 9,364,744 | $ | 0.66 | 7,951,463 | $ | 0.66 | ||||||||||||||||
Exercisable, end of year | 5,542,304 | $ | 0.65 | 6,320,370 | $ | 0.61 | 4,804,378 | $ | 0.59 | ||||||||||||||||
Vested and expected to vest, end of year | 6,716,143 | $ | 0.66 | 8,812,244 | $ | 0.66 | 7,392,475 | $ | 0.66 | ||||||||||||||||
As of March 31, 2014, the aggregate intrinsic value of options outstanding was $162,763 and the weighted average remaining contractual term of these options was 6.3 years; the aggregate intrinsic value of options exercisable was $147,732, and the remaining weighted average contractual term of these options was 5.7 years. The aggregate intrinsic value of options exercised in fiscal years 2014, 2013 and 2012 was $100,988, $3,000 and $87,609, respectively. As of March 31, 2014, the total unrecognized compensation cost related to unvested options was $781,441, which is expected to be recognized over a weighted-average period of 1.5 years. | |||||||||||||||||||||||||
The weighted average per share fair value of the options granted during the years ended March 31, 2014, 2013 and 2012 were $0.35, $0.47 and $0.69, respectively. | |||||||||||||||||||||||||
The Company estimated the fair value of each stock option grant on the date of grant using the Black-Scholes model with the following assumptions for the years ended March 31, 2014, 2013 and 2012: | |||||||||||||||||||||||||
Years Ended March 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Assumptions: | |||||||||||||||||||||||||
Expected volatility | 84% - 90% | 92% | 92% | ||||||||||||||||||||||
Risk-free interest rate | 0.68% - 1.72% | 0.71% | 1.02% | ||||||||||||||||||||||
Dividend yield | — | — | — | ||||||||||||||||||||||
Expected term | 5 - 7 years | 5 years | 5 years | ||||||||||||||||||||||
The Company’s net loss for the years ended March 31, 2014, 2013 and 2012 has been increased by stock-based compensation expense, net of taxes, of approximately $485,000, $481,000 and $470,000, respectively. |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
Income Taxes | ' | ||||||||||||
(9) Income Taxes | |||||||||||||
Domestic and foreign loss before income taxes and details of income tax (benefit) expense are as follows (in thousands): | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Loss) income before income taxes: | |||||||||||||
Domestic (U.S.) | $ | (4,324 | ) | $ | (8,711 | ) | $ | (16,812 | ) | ||||
Foreign | (3,511 | ) | (453 | ) | 13,921 | ||||||||
$ | (7,835 | ) | $ | (9,164 | ) | $ | (2,891 | ) | |||||
Income tax (benefit) expense: | |||||||||||||
Current: | |||||||||||||
Federal (U.S.) | $ | — | $ | — | $ | (3,477 | ) | ||||||
State (U.S.) | 55 | (33 | ) | 94 | |||||||||
Foreign | 527 | 1,881 | 1,887 | ||||||||||
582 | 1,848 | (1,496 | ) | ||||||||||
Deferred: | |||||||||||||
Federal (U.S.) | — | — | — | ||||||||||
State (U.S.) | — | — | — | ||||||||||
Foreign | (976 | ) | 188 | 232 | |||||||||
(976 | ) | 188 | 232 | ||||||||||
Income tax (benefit) expense | $ | (394 | ) | $ | 2,036 | $ | (1,264 | ) | |||||
The difference between reported income tax (benefit) expense and the amount computed by multiplying loss before income taxes by the Company’s applicable Canadian statutory tax rate of approximately 26.5%, 26.5% and 28% is reconciled as follows (in thousands): | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Income tax benefit using the Company’s Canadian statutory tax rates | $ | (2,076 | ) | $ | (2,428 | ) | $ | (810 | ) | ||||
Income taxed in jurisdictions other than Canada | (405 | ) | (1,715 | ) | (2,959 | ) | |||||||
Prior year true-up | 181 | (219 | ) | (2,477 | ) | ||||||||
Change in valuation allowance | 1,572 | 2,987 | 2,181 | ||||||||||
Goodwill impairment | — | 2,827 | — | ||||||||||
Other tax increases due to nondeductible expenses | 126 | 489 | 2,859 | ||||||||||
Gain on change in fair value of warrant liability | (9 | ) | (141 | ) | (703 | ) | |||||||
Tax rate changes | 189 | 64 | 662 | ||||||||||
Other | 28 | 172 | (17 | ) | |||||||||
$ | (394 | ) | $ | 2,036 | $ | (1,264 | ) | ||||||
The sources of significant temporary differences that give rise to the deferred tax assets and liabilities are as follows (in thousands): | |||||||||||||
March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Deferred tax assets: | |||||||||||||
Tax loss carryforwards | $ | 16,583 | $ | 12,568 | |||||||||
Difference between book and tax basis of inventories | 835 | 1,336 | |||||||||||
Difference between book and tax basis of accounts receivables | 322 | 574 | |||||||||||
Deferred fees not currently deductible | 147 | 109 | |||||||||||
Accruals and reserves not currently deductible | 652 | 756 | |||||||||||
Difference between book and tax basis of intangible assets, property & equipment | 978 | 1,188 | |||||||||||
Unclaimed depreciation on property and equipment | 204 | 221 | |||||||||||
Goodwill and intangibles | 842 | 966 | |||||||||||
Unclaimed scientific research expenditures | 190 | 207 | |||||||||||
Foreign tax credits | 1,615 | 1,389 | |||||||||||
Other | 175 | 320 | |||||||||||
22,543 | 19,634 | ||||||||||||
Less valuation allowance | (18,730 | ) | (17,339 | ) | |||||||||
$ | 3,813 | $ | 2,295 | ||||||||||
Deferred tax liabilities: | |||||||||||||
Federal liability on state tax loss | $ | 699 | $ | 538 | |||||||||
Prepaid liabilities | 46 | 106 | |||||||||||
Goodwill and intangibles | 986 | 1,177 | |||||||||||
$ | 1,731 | $ | 1,821 | ||||||||||
Net deferred tax assets | $ | 2,082 | $ | 474 | |||||||||
In assessing the ability to realize the deferred tax assets, management considers whether it is more likely than not that some portion or all of the assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income in each tax jurisdiction during the periods in which temporary differences in those jurisdictions become deductible. Management considers the scheduled reversal of deferred liabilities, projected future taxable income, and tax planning strategies in making this assessment. | |||||||||||||
With regards to the deferred tax assets of the Company’s Canadian holding company, Mad Catz Interactive, Inc. (“MCII”), the Company believes there is insufficient evidence to conclude that realization of the benefit is more likely than not and, therefore, the Company has provided a full valuation allowance against these assets. MCII is a corporate entity, which has no revenue or other income, and incurs corporate-related expenses. Taxable losses are incurred each year and MCII has a history of operating losses. These circumstances are not anticipated to change and, therefore, the Company does not expect MCII to generate sufficient taxable income in the foreseeable future to enable the entity to utilize its tax loss carryforwards. MCI is the Company’s U.S. operating entity and corporate headquarters and also owns the majority of Mad Catz intellectual property. As MCI has a cumulative three year pretax book loss as of March 31, 2014, the Company believes there is not sufficient positive evidence to overcome this significant piece of negative evidence in order to conclude that realization of the deferred tax assets are more likely than not and, therefore, continues to record a full valuation allowance against these assets. The Company’s French subsidiary (“Saitek S.A.”) has historical deferred tax assets that are not more likely than not realizable due to a change in the structure of the business and therefore has a full valuation allowance against these assets. The Company’s United Kingdom (“Mad Catz UK”) and Canadian (“Mad Catz Canada”) entities both have deferred tax assets that are not more likely than not realizable and therefore has recorded a partial valuation allowance against these assets. During fiscal 2014, the Company released $0.7 million of valuation allowances related to deferred tax assets in Mad Catz UK and Mad Catz Canada due to a change in estimate of the future profitability of these entities based on positive changes in the underlying businesses. With regard to the Company’s Hong Kong, (“MCIA”) and German (“ Mad Catz GmBH”) entities’ deferred tax assets, the Company believes that it is more likely than not that the results of future operations will generate sufficient taxable income to realize the deferred tax assets, and therefore no valuation allowance has been provided for these assets. These entities have historically realized pretax book income and taxable income and are projected to continue to do so for the foreseeable future. The Company’s Japanese entity (“Mad Catz Japan”) is a new sales and marketing subsidiary that incurred start-up losses, but is expected to generate future operating income. Therefore, the Company believes that it is more likely than not that the results of future operations will generate sufficient taxable income to realize the deferred tax assets and, therefore, no valuation allowance has been provided for these assets. The Company will continue to evaluate the ability to realize its net deferred tax asset on an ongoing basis to identify whether any significant changes in circumstances or assumptions have occurred that could materially affect the ability to realize its deferred tax assets and expects to release the valuation allowance when it has sufficient positive evidence, including but not limited to, cumulative earnings in successive recent periods, to overcome such negative evidence. We believe our net deferred tax assets will be realized within the next ten years. | |||||||||||||
MCI has U.S. federal and California tax loss carryforwards of approximately $18.0 million, and $23.2 million, respectively, which may be carried forward to reduce future years’ taxable income. These tax loss carryforwards begin to expire in 2022 and 2015, respectively. As noted above, a full valuation allowance is provided against the deferred tax assets related to these tax loss carryforwards. | |||||||||||||
MCIA has net operating loss carryforwards of $4.1 million which may be carried forward indefinitely. | |||||||||||||
Saitek has foreign net operating loss carryforwards of approximately $12.7 million which may be carried forward indefinitely. The Internal Revenue Code (the “Code”) limits the future availability of net operating loss and tax credit carryforwards that arose prior to certain cumulative changes in a corporation’s ownership resulting in a change of control. In 2007, when the Company purchased the Saitek group, it acquired federal and state net operating loss carryforwards of approximately $2.8 million and $3.6 million, respectively. All of the federal and California net operating losses are subject to an annual limitation based on the ownership change. | |||||||||||||
The total non-capital and capital income tax loss carryforwards of MCII of $16.3 million consists of non-capital income tax losses of $13.4 million, which expire from 2014 through 2034, and net capital tax losses of $2.9 million, which are available indefinitely to offset taxable capital gains. As noted above, a full valuation allowance is provided against the deferred tax assets related to these tax loss carryforwards. | |||||||||||||
MCII does not record deferred income taxes on the approximate $41.3 million of undistributed earnings of its non-Canadian subsidiaries based upon the Company’s intention to permanently reinvest undistributed earnings. MCII may be subject to income and withholding taxes if earnings of the non-Canadian subsidiaries were distributed. Considering the MCII tax loss carry forward and related valuation allowance, the deferred tax liability on the Company’s undistributed earnings would be no more than $2.2 million at March 31, 2014. | |||||||||||||
There were no unrecognized tax benefits at March 31, 2014 and 2013. The Company’s policy is to recognize interest and penalties related to unrecognized tax benefits in income tax expense. | |||||||||||||
The Company is subject to taxation in the U.S. and various states and foreign jurisdictions. | |||||||||||||
The Company’s historical tax years are subject to examination by the Internal Revenue Service and various state jurisdictions for fiscal years ended March 31, 2011 to the present. With few exceptions, the Company is no longer subject to foreign examinations by tax authorities for fiscal years ended before March 31, 2010. Effectively, all of the Company’s Saitek foreign subsidiaries historical tax years are subject to examination by various foreign tax authorities due to the generation of net operating losses. | |||||||||||||
The Company does not foresee any material changes to unrecognized tax benefits within the next twelve months. |
Securities_Purchase_Agreement
Securities Purchase Agreement | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||
Securities Purchase Agreement | ' | ||||||||
(10) Securities Purchase Agreement | |||||||||
In April 2011, the Company entered into a Securities Purchase Agreement (the “Securities Purchase Agreement”) with certain accredited investors, pursuant to which the Company sold (a) an aggregate of 6,352,293 shares of its common stock (the “Shares”) and (b) warrants to purchase an aggregate of 2,540,918 shares of common stock of the Company (“Warrants” and, together with the Shares, the “Securities”). On May 3, 2011 the Company filed a Registration Statement registering up to 8,893,211 common shares of the Company comprised of: (i) 6,352,293 common shares and (ii) 2,540,918 common shares issuable upon exercise of 2,540,918 warrants. The Securities were issued at a price equal to $1.92 per share for aggregate gross proceeds of approximately $12,196,000. The Warrants became exercisable on October 21, 2011 at a per share exercise price equal to $2.56. The Warrants contain provisions that adjust the exercise price in the event the Company pays stock dividends, effects stock splits or issues additional shares of common stock at a price per share less than the exercise price of the Warrants. The Warrants will remain exercisable until October 21, 2016. | |||||||||
The Company accounts for the Warrants with exercise price reset as liabilities carried at fair value, with changes in fair value included in net loss until such time as the Warrants are exercised or expire. | |||||||||
The fair value of the Warrants decreased from $3,250,000 as of the initial valuation date to $693,000 as of March 31, 2012, which resulted in a $2,557,000 gain from the change in fair value of warrants for the year ended March 31, 2012. The fair value of the Warrants decreased from $693,000 as of March 31, 2012 to $149,000 as of March 31, 2013, which resulted in a $544,000 gain from the change in fair value of warrants for the year ended March 31, 2013. The fair value of the Warrants decreased from $149,000 as of March 31, 2013 to $75,000 as of March 31, 2014, which resulted in a $74,000 gain from the change in fair value of warrants for the year ended March 31, 2014. | |||||||||
These Warrants are not traded in an active securities market, and as such, the Company estimates the fair value of the Warrants using the Black-Scholes option pricing model using the following assumptions: | |||||||||
March 31, 2014 | March 31, 2013 | ||||||||
Expected term | 2.5 years | 3.5 years | |||||||
Common stock market price | $ | 0.48 | $ | 0.38 | |||||
Risk-free interest rate | 0.67 | % | 0.46 | % | |||||
Expected volatility | 68.56 | % | 79.65 | % | |||||
Expected volatility is based primarily on historical volatility. Historical volatility was computed using daily pricing observations for recent periods that correspond to the expected term of the Warrants. The Company believes this method produces an estimate that is representative of the Company’s expectations of future volatility over the expected term of these Warrants. The Company currently has no reason to believe future volatility over the expected remaining life of these Warrants is likely to differ materially from historical volatility. The expected life is based on the remaining contractual term of the Warrants. The risk-free interest rate is the interest rate for treasury constant maturity instruments published by the Federal Reserve Board that is closest to the expected term of the Warrants. | |||||||||
Fluctuations in the fair value of the Warrants are impacted by unobservable inputs, most significantly the assumption with regards to future equity issuances and their impact to the down-round protection feature. Significant increases (decreases) in this input in isolation would result in a significantly higher (lower) fair value measurement. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | ||||
Mar. 31, 2014 | |||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||
Commitments and Contingencies | ' | ||||
(11) Commitments and Contingencies | |||||
Litigation | |||||
On October 3, 2013, the Company filed a complaint for patent infringement styled Mad Catz Interactive, Inc. v. Razer USA, Ltd., Case No. 13-cv-02371-GPC-JLB, in the United States District Court for the Southern District of California against Razer USA, Ltd. (“Razer”). The complaint alleges that the Company holds an exclusive license, within the United States, to make, use, sell, offer for sale, import, gift or otherwise dispose of the any product falling within the scope of one or more claims of U.S. Patent No. 6,157,370 (the “‘370 Patent”), including all right, power and interest to enforce the ‘370 Patent against any and all third parties, as well as exclusive standing to bring suit against any third party infringing the ‘370 Patent. The complaint further alleges that Razer has infringed and continues to infringe the ‘370 Patent by making, using, offering for sale, selling, and/or importing in the United States certain products covered by one of more claims of the ‘370 Patent, including Razer’s “Ouroboros” computer mouse. On January 10, 2014, Razer filed a counterclaim against the Company for alleged infringement of U.S. Patent No. 8,605,063 (the “‘063 Patent”). Razer further contends that the ‘370 Patent is invalid and unenforceable, and denies infringement. Mad Catz also contends that the ‘063 Patent is invalid and unenforceable, and denies infringement. No trial date has been set in the matter. The Claim Construction Hearing for the ‘370 Patent and the ‘063 Patent is scheduled for August 22, 2014. The parties are currently conducting discovery. The Company believes that the allegations lack merit and intends to vigorously defend all claims asserted. We have not recorded any accrual for a contingent liability associated with this legal proceeding based on our belief that a liability is not probable and any range of potential future charge cannot be reasonably estimated at this time. | |||||
On March 6, 2014, AI Automation, LLC filed a complaint against the Company (and third parties Harmonix Music Systems, Inc. and Gamestop Corp.) for patent infringement in the United States District Court for the Eastern District of Texas. The complaint is styled AI Automation, LLC v. Harmonix Music Systems, Inc., et al, Civil Action No. 6:14-CV-156 and it alleges that the defendants have infringed and continue to infringe U.S. Patent No. 6,388,181 (the “‘181 Patent”) by making, using, offering for sale, selling, and/or importing in the United States various video games software and accessories, including, but not limited to, Rock Band 3 software and Rock Band 3 instruments specially designed for use with the Rock Band 3 software covered by one of more claims of the ‘181 Patent. The complaint was formally served on the Company on April 14, 2014. No trial date has been set and no discovery has commenced. Mad Catz is entitled to defense and indemnity arising out of the claims of the ‘181 patent by reason of its agreement with Harmonix Music Systems relating to the sale and marketing of the Rock Band 3 software and manufacture and sale of certain peripherals for Rock Band 3. | |||||
On March 11, 2014, the Better Mouse Company, LLC filed a complaint against the Company and its subsidiary, Mad Catz, Inc., for patent infringement in the United States District Court for the Eastern District of Texas. The complaint is styled Better Mouse Company, LLC v. Mad Catz Interactive, Inc., et al, Civil Action No. 2:14-CV-204 and it alleges that the Company and its subsidiary have infringed and continue to infringe U.S. Patent No. 7,532,200 (the “‘200 Patent”) by making, using, offering for sale, selling, and/or importing in the United States certain products (computer mice) covered by one of more claims of the ‘200 Patent. The complaint was formally served on the Company on May 8, 2014. No trial date has been set and no discovery has commenced. The Company believes that the allegations lack merit and intends to vigorously defend all claims asserted. We have not recorded any accrual for a contingent liability associated with this legal proceeding based on our belief that a liability is not probable and any range of potential future charge cannot be reasonably estimated at this time. | |||||
In addition to the foregoing matters, from time to time, the Company may become involved in various lawsuits and legal proceedings that arise in the ordinary course of business. Although claims, suits, investigations and proceedings are inherently uncertain and their results cannot be predicted with certainty, we believe that the resolution of any current pending matters will not have a material adverse effect on our business, financial condition, results of operations or liquidity. | |||||
Leases | |||||
The Company is obligated under certain non-cancelable operating leases, primarily for warehouses and office space. Rent expense for operating leases was approximately $2,274,000, $2,104,000 and $2,229,000 for the years ended March 31, 2014, 2013 and 2012, respectively. Annual future minimum rental payments required under operating leases as of March 31, 2014 are as follows (in thousands): | |||||
Years ending March 31: | |||||
2015 | $ | 1,781 | |||
2016 | 984 | ||||
2017 | 663 | ||||
2018 | 179 | ||||
Thereafter | — | ||||
$ | 3,607 | ||||
Royalty and License Agreements | |||||
The Company has license agreements to utilize existing design and utility technology with its products. The Company also has royalty agreements for use of licensed trademarks and celebrity endorsements. These agreements have royalty and license fees based on different percentages of certain types of sales or a predetermined amount per unit. Royalty and license expenses were $3,294,000, $6,319,000 and $6,425,000 for the years ended March 31, 2014, 2013 and 2012, respectively. Annual future minimum payments required under royalty and license agreements as of March 31, 2014 are as follows (in thousands): | |||||
Years ending March 31: | |||||
2015 | $ | 183 | |||
2016 | 50 | ||||
2017 | 50 | ||||
2018 | 40 | ||||
Thereafter | — | ||||
$ | 323 | ||||
Employee_Savings_Plan
Employee Savings Plan | 12 Months Ended |
Mar. 31, 2014 | |
Compensation And Retirement Disclosure [Abstract] | ' |
Employee Savings Plan | ' |
(12) Employee Savings Plan | |
The Company has an employee savings plan in the U.S. that permits eligible participants to make contributions by salary reduction pursuant to section 401(k) of the Internal Revenue Code. The Company may make discretionary matches of employee contributions. During the years ended March 31, 2014, 2013 and 2012, the Company matched 50% of the first 8% of compensation that was contributed by each participating employee to the plan. The Company’s discretionary contributions to the plan were $138,000, $164,000 and $183,000 for the years ended March 31, 2014, 2013 and 2012, respectively. |
Geographic_and_Product_Line_Da
Geographic and Product Line Data | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||
Geographic and Product Line Data | ' | ||||||||||||
(13) Geographic and Product Line Data | |||||||||||||
The Company’s sales are attributed to the following geographic regions (in thousands): | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Net sales: | |||||||||||||
EMEA | $ | 53,132 | $ | 61,960 | $ | 54,512 | |||||||
Americas | 28,470 | 51,316 | 57,363 | ||||||||||
APAC | 8,027 | 9,388 | 5,677 | ||||||||||
$ | 89,629 | $ | 122,664 | $ | 117,552 | ||||||||
Revenue is attributed to geographic regions based on the location of the customer. | |||||||||||||
The Company’s property and equipment, net, are attributed to the following geographic regions (in thousands): | |||||||||||||
2014 | 2013 | ||||||||||||
Property and equipment, net: | |||||||||||||
Americas | $ | 417 | $ | 644 | |||||||||
EMEA | 92 | 150 | |||||||||||
APAC | 2,228 | 2,183 | |||||||||||
$ | 2,737 | $ | 2,977 | ||||||||||
Our sales by platform were as follows: | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
PC and Mac | 45 | % | 33 | % | |||||||||
Universal | 29 | % | 25 | % | |||||||||
Next gen consoles (a) | 3 | % | 1 | % | |||||||||
Legacy consoles (b) | 19 | % | 39 | % | |||||||||
Smart devices | 2 | % | 1 | % | |||||||||
All others | 2 | % | 1 | % | |||||||||
100 | % | 100 | % | ||||||||||
(a) Includes products developed for Xbox One, Playstation 4 and Wii U. | |||||||||||||
(b) Includes products developed for Xbox 360, Playstation 3 and Wii. | |||||||||||||
Our sales by product category were as follows: | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Audio | 47 | % | 48 | % | |||||||||
Mice and Keyboards | 29 | % | 21 | % | |||||||||
Specialty controllers | 16 | % | 14 | % | |||||||||
Accessories | 5 | % | 8 | % | |||||||||
Controllers | 1 | % | 5 | % | |||||||||
Games and other | 2 | % | 4 | % | |||||||||
100 | % | 100 | % | ||||||||||
Our sales by brand were as follows: | |||||||||||||
Years Ended | |||||||||||||
March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Mad Catz | 41 | % | 45 | % | |||||||||
Tritton | 42 | % | 44 | % | |||||||||
Saitek | 12 | % | 9 | % | |||||||||
All others | 5 | % | 2 | % | |||||||||
100 | % | 100 | % | ||||||||||
Quarterly_Financial_and_Market
Quarterly Financial and Market Information | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||
Quarterly Financial and Market Information | ' | ||||||||||||||||
(14) Quarterly Financial and Market Information (Unaudited) | |||||||||||||||||
Quarter Ended | |||||||||||||||||
June 30 | Sept. 30 | Dec. 31 | Mar. 31 | ||||||||||||||
(Amounts in thousands, except per share data) | |||||||||||||||||
Fiscal 2014: | |||||||||||||||||
Net sales | $ | 18,684 | $ | 17,839 | $ | 32,889 | $ | 20,217 | |||||||||
Gross profit | 5,365 | 4,770 | 7,925 | 4,838 | |||||||||||||
Operating (loss) income | (2,118 | ) | (3,617 | ) | 902 | (1,689 | ) | ||||||||||
Net loss | (2,065 | ) | (4,545 | ) | (566 | ) | (265 | ) | |||||||||
Net loss per share — basic | (0.03 | ) | (0.07 | ) | (0.01 | ) | (0.00 | ) | |||||||||
Net loss per share — diluted | (0.03 | ) | (0.07 | ) | (0.01 | ) | (0.00 | ) | |||||||||
Common stock price per share: | |||||||||||||||||
High | 0.5 | 0.9 | 0.81 | 0.54 | |||||||||||||
Low | 0.38 | 0.46 | 0.44 | 0.42 | |||||||||||||
Fiscal 2013: | |||||||||||||||||
Net sales | $ | 21,822 | $ | 31,215 | $ | 45,019 | $ | 24,608 | |||||||||
Gross profit | 6,275 | 8,987 | 12,903 | 6,351 | |||||||||||||
Operating (loss) income | (1,692 | ) | 512 | 4,144 | (12,479 | ) | |||||||||||
Net (loss) income | (1,717 | ) | (450 | ) | 3,127 | (12,160 | ) | ||||||||||
Net (loss) income per share — basic | (0.03 | ) | (0.01 | ) | 0.05 | (0.19 | ) | ||||||||||
Net (loss) income per share — diluted | (0.03 | ) | (0.01 | ) | 0.05 | (0.19 | ) | ||||||||||
Common stock price per share: | |||||||||||||||||
High | 0.6 | 0.71 | 0.68 | 0.61 | |||||||||||||
Low | 0.41 | 0.54 | 0.5 | 0.38 |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Basis of Presentation | ' | ||||||||||||||||
Basis of Presentation | |||||||||||||||||
The consolidated financial statements include the accounts of Mad Catz Interactive, Inc. and its wholly-owned subsidiaries, collectively, the Company. All intercompany transactions and balances have been eliminated in consolidation. The Company refers to its fiscal years based on the fiscal year ending date. For instance, fiscal year 2014 refers to the fiscal year ending March 31, 2014. All currency amounts are presented in U.S. dollars. | |||||||||||||||||
Use of Estimates | ' | ||||||||||||||||
Use of Estimates | |||||||||||||||||
The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the year. On an ongoing basis, the Company evaluates its estimates, including those related to asset impairments, reserves for accounts receivable and inventory, contingencies and litigation, valuation and recognition of share-based payments, the liability for contingent consideration, warrant liability and income taxes. As future events and their effects cannot be determined with precision, actual results could differ from these estimates. Changes in estimates resulting from continuing changes in the economic environment will be reflected in the financial statements in future periods. Actual results could differ from those estimates. | |||||||||||||||||
Concentration of Credit Risk | ' | ||||||||||||||||
Concentration of Credit Risk | |||||||||||||||||
The Company’s credit risk is primarily concentrated in accounts receivable. The Company generally does not require collateral on accounts receivable because a majority of its customers are large, well-capitalized, established retail entities with operations throughout the United States, Canada and Europe. The Company maintains an allowance for doubtful accounts. For the year ended March 31, 2014, sales to the largest customer constituted 13% of gross sales and sales to the second largest customer constituted 11% of gross sales. For the year ended March 31, 2013, sales to the largest customer constituted 17% of gross sales. For the year ended March 31, 2012, sales to the largest customer constituted 20% of gross sales and sales to the second largest customer constituted 11% of gross sales. At March 31, 2014, one customer represented 15% of accounts receivable. At March 31, 2013, one customer represented 15% of accounts receivable and another customer represented 12% of accounts receivable. At March 31, 2012, one customer represented 27% of accounts receivable and another customer represented 10% of accounts receivable. At March 31, 2014, 2013 and 2012, there were no other customers which accounted for greater than 10% of gross sales or represented greater than 10% of accounts receivable. | |||||||||||||||||
Fair Value of Financial Instruments and Fair Value Measurements | ' | ||||||||||||||||
Fair Value of Financial Instruments and Fair Value Measurements | |||||||||||||||||
The carrying values of the Company’s financial instruments, including cash, accounts receivable, other receivables, accounts payable, accrued liabilities and income taxes receivable/payable approximate their fair values due to the short maturity of these instruments. The carrying value of the bank loan approximates its fair value as the interest rate and other terms are that which is currently available to the Company. The carrying value of the note payable approximates fair value as it represents the present value of the fixed payment schedule using an effective interest rate of 5.25%, which approximates the interest rate on the Company’s bank loan. | |||||||||||||||||
Fair value measurements are market-based measurements, not entity-specific measurements. Therefore, fair value measurements are determined based on the assumptions that market participants would use in pricing the asset or liability. The Company follows a three-level hierarchy to prioritize the inputs used in the valuation techniques to derive fair values. The basis for fair value measurements for each level within the hierarchy is described below: | |||||||||||||||||
Ÿ | Level 1: Quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||
Ÿ | Level 2: Quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs are observable in active markets. | ||||||||||||||||
Ÿ | Level 3: Valuations derived from valuation techniques in which one or more significant inputs are unobservable in active markets. | ||||||||||||||||
The following table provides a summary of the recognized assets and liabilities carried at fair value on a recurring basis (in thousands): | |||||||||||||||||
Balance as of | Basis of Fair Value | ||||||||||||||||
March 31, 2014 | Measurements | ||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Liabilities: | |||||||||||||||||
Warrant liability (Note 10) | $ | (75 | ) | $ | — | $ | — | $ | (75 | ) | |||||||
Balance as of | Basis of Fair Value | ||||||||||||||||
March 31, 2013 | Measurements | ||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Liabilities: | |||||||||||||||||
Contingent consideration (Note 3) | $ | (3,864 | ) | $ | — | $ | — | $ | (3,864 | ) | |||||||
Warrant liability (Note 10) | $ | (149 | ) | $ | — | $ | — | $ | (149 | ) | |||||||
The following tables provide a rollforward of the Company’s level three fair value measurements during the year ended March 31, 2014, which consist of the Company’s contingent consideration liability and warrant liability (in thousands): | |||||||||||||||||
Contingent consideration, net of working capital: | |||||||||||||||||
Balance at March 31, 2011 | $ | (4,439 | ) | ||||||||||||||
Contingent consideration payment | 1,546 | ||||||||||||||||
Changes in working capital adjustment | (409 | ) | |||||||||||||||
Change in fair value of contingent consideration | (1,067 | ) | |||||||||||||||
Balance at March 31, 2012 | $ | (4,369 | ) | ||||||||||||||
Contingent consideration payment | 1,600 | ||||||||||||||||
Changes in working capital adjustment | (7 | ) | |||||||||||||||
Change in fair value of contingent consideration | (1,088 | ) | |||||||||||||||
Balance at March 31, 2013 | $ | (3,864 | ) | ||||||||||||||
Contingent consideration payment | 1,650 | ||||||||||||||||
Converted to note payable | 2,348 | ||||||||||||||||
Change in fair value of contingent consideration | (134 | ) | |||||||||||||||
Balance at March 31, 2014 | $ | — | |||||||||||||||
Warrant liability: | |||||||||||||||||
Balance at March 31, 2011 | $ | — | |||||||||||||||
Securities purchase agreement — warrant liability | (3,250 | ) | |||||||||||||||
Change in fair value of warrant liability | 2,557 | ||||||||||||||||
Balance at March 31, 2012 | $ | (693 | ) | ||||||||||||||
Change in fair value of warrant liability | 544 | ||||||||||||||||
Balance at March 31, 2013 | $ | (149 | ) | ||||||||||||||
Change in fair value of warrant liability | 74 | ||||||||||||||||
Balance at March 31, 2014 | $ | (75 | ) | ||||||||||||||
Revenue Recognition | ' | ||||||||||||||||
Revenue Recognition | |||||||||||||||||
The Company recognizes revenue when (1) there is persuasive evidence that an arrangement with the customer exists, which is generally a customer purchase order, (2) the products are delivered, which occurs when the products are shipped and risk of loss has been transferred to the customer, (3) the selling price is fixed or determinable and (4) collection of the customer receivable is deemed reasonably assured. The Company’s payment arrangements with customers typically provide net 30- and 60-day terms. All of the Company’s arrangements are single element arrangements and there are no undelivered elements after the point of shipment. | |||||||||||||||||
Amounts billed to customers for shipping and handling are included in net sales, and costs incurred related to shipping and handling is included in cost of sales. | |||||||||||||||||
Allowance for Doubtful Accounts and Other Allowances | ' | ||||||||||||||||
Allowance for Doubtful Accounts and Other Allowances | |||||||||||||||||
Accounts receivable are recorded net of an allowance for doubtful accounts and other sales related allowances. When evaluating the adequacy of the allowance for doubtful accounts, the Company analyzes known uncollectible accounts, the aging of accounts receivable, historical bad debts, customer credit-worthiness and current economic trends. The Company performs ongoing credit evaluations of its customers, and generally does not require collateral on its accounts receivable. The Company estimates the need for allowances for potential credit losses based on historical collection activity and the facts and circumstances relevant to specific customers and records a provision for uncollectible accounts when collection is uncertain. To date, the Company has not experienced significant credit related losses. | |||||||||||||||||
The Company records allowances for customer marketing programs, including certain rights of return, price protection, volume-based cash incentives and cooperative advertising. The estimated cost of these programs is accrued as a reduction to revenue or as an operating expense in the period the Company sells the product or commits to the program. Such amounts are estimated, based on historical experience and contractual terms, and periodically adjusted based on historical and anticipated rates of returns, inventory levels and other factors. | |||||||||||||||||
Inventories | ' | ||||||||||||||||
Inventories | |||||||||||||||||
Raw materials, packaging materials and accessories are valued at the lower of cost, determined by the first-in, first-out method, or market. Finished goods are valued at the lower of cost or market, with cost being determined on an average cost basis. The Company regularly reviews inventory quantities on hand and in the retail channel, consumer demand and seasonality factors in order to recognize any loss of utility in the period incurred. | |||||||||||||||||
Property and Equipment | ' | ||||||||||||||||
Property and Equipment | |||||||||||||||||
Property and equipment are stated at cost less accumulated depreciation and amortization. Property and equipment are depreciated or amortized using the straight-line method over the estimated useful lives of the assets as follows: | |||||||||||||||||
Molds | 3 years | ||||||||||||||||
Computer equipment and software | 3 years | ||||||||||||||||
Manufacturing and office equipment | 3 -5 years | ||||||||||||||||
Furniture and fixtures | 5 years | ||||||||||||||||
Leasehold improvements | Shorter of estimated useful life or remaining life | ||||||||||||||||
of lease | |||||||||||||||||
Major improvements and betterments are capitalized. | |||||||||||||||||
Intangible Assets | ' | ||||||||||||||||
Intangible Assets | |||||||||||||||||
Intangible assets are stated at cost less accumulated amortization and are amortized over the estimated useful lives of the assets on a straight-line basis. The range of useful lives is as follows: | |||||||||||||||||
Useful Life | |||||||||||||||||
(Years) | |||||||||||||||||
Trademarks | 6 - 15 | ||||||||||||||||
Customer relationships | 8-Jun | ||||||||||||||||
Goodwill | ' | ||||||||||||||||
Goodwill | |||||||||||||||||
The Company reviews its goodwill for impairment as of the end of each fiscal year or when an event or a change in facts and or circumstances indicates the fair value of a reporting unit may be below its carrying amount. | |||||||||||||||||
We perform an annual impairment review at the reporting unit level during the fourth quarter of each fiscal year or more frequently if we believe indicators of impairment are present. Authoritative guidance requires that goodwill and certain intangible assets be assessed for impairment using fair value measurement techniques. Specifically, goodwill impairment is determined using a two-step process. The first step of the goodwill impairment test is used to identify potential impairment by comparing the fair value of a reporting unit with its carrying amount, including goodwill, using a combination of the income approach (using discounted future cash flows) and the market valuation approach. If the carrying amount of the reporting unit exceeds the reporting unit’s fair value, we perform the second step of the goodwill impairment test to determine the amount of impairment loss. The second step of the goodwill impairment test involves comparing the implied fair value of our reporting unit’s goodwill based on a number of factors, including the implied discount rate, with the carrying amount of that goodwill. If the carrying amount of the reporting unit’s goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. During the fourth quarter of fiscal 2013, our market capitalization declined to a point below our book equity value. As a result, we completed the first step of our goodwill impairment testing, which indicated that the fair value of our reporting unit was lower than its carrying value. The decrease in value was due to lower projected near-term growth rates in the gaming industry. | |||||||||||||||||
The Company performed the second step of the goodwill impairment test and recorded an impairment charge of $10.5 million in the year ended March 31, 2013, which reduced the goodwill balance to zero. | |||||||||||||||||
Impairment of Long-Lived Assets | ' | ||||||||||||||||
Impairment of Long-Lived Assets | |||||||||||||||||
Long-lived assets, such as property and equipment and purchased intangibles subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset. Assets to be disposed of would be separately presented in the balance sheet and reported at the lower of the carrying amount or fair value less costs to sell, and are no longer depreciated. The assets and liabilities of a disposal group classified as held for sale would be presented separately in the appropriate asset and liability sections of the balance sheet. The Company did not record impairment of long-lived assets in fiscal years 2014, 2013 and 2012. | |||||||||||||||||
Royalties and Intellectual Property Licenses | ' | ||||||||||||||||
Royalties and Intellectual Property Licenses | |||||||||||||||||
Royalty and license expenses consist of royalties and license fees paid to intellectual property rights holders for use of their trademarks, copyrights, software, technology or other intellectual property or proprietary rights in the development or sale of the Company’s products. Royalty-based payments that are paid in advance are generally capitalized and expensed to cost of sales at the greater of the contractual or effective royalty rate based on net product sales. | |||||||||||||||||
Royalty payments to independent video game developers and co-publishing affiliates are payments for the development of intellectual property related to the Company’s video game titles. Payments made prior to the establishment of technological feasibility are expensed as research and development. Once technological feasibility has been established, payments made are capitalized and amortized upon release of the product. Additional royalty payments due after the general release of the product are typically expensed as cost of sales at the higher of the contractual or effective royalty rate based on net product sales. | |||||||||||||||||
Advertising and Research and Development | ' | ||||||||||||||||
Advertising and Research and Development | |||||||||||||||||
Advertising costs and research and development are expensed as incurred. Advertising costs amounted to $2,575,000, $3,513,000, and $3,511,000 in fiscal years 2014, 2013 and 2012, respectively. Cooperative advertising with retailers is recorded when revenue is recognized and such amounts are included in sales and marketing expense if there is a separate identifiable benefit with a fair value. Otherwise, such costs are recognized as a reduction of sales. Research and development costs amounted to $4,238,000, $4,205,000 and $5,634,000 for the years ended March 31, 2014, 2013 and 2012, respectively. | |||||||||||||||||
Income Taxes | ' | ||||||||||||||||
Income Taxes | |||||||||||||||||
Income taxes are accounted for using the asset and liability method. Under the asset and liability method of accounting for income taxes, deferred tax assets and liabilities are recognized for future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. | |||||||||||||||||
Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. To the extent that it is not “more likely than not” that a deferred tax asset will be realized, a valuation allowance is provided. Significant management judgment is required in assessing the ability to realize the Company’s deferred tax assets. In performing this assessment, management considers whether it is more likely than not that some portion or all of the assets will not be realized. The ultimate realization of deferred tax assets is dependent upon generation of future taxable income in each tax jurisdiction during the periods in which the temporary differences become deductible. Management considers the scheduled reversal of deferred liabilities, projected future taxable income, and tax planning strategies in making this assessment. | |||||||||||||||||
Foreign Currency Translation | ' | ||||||||||||||||
Foreign Currency Translation | |||||||||||||||||
For each of the Company’s foreign operating subsidiaries the functional currency is its local currency. Assets and liabilities of foreign operations are translated into U.S. dollars using month-end exchange rates, and revenue and expenses are translated into U.S. dollars using monthly average exchange rates. The effects of foreign currency translation adjustments are included as a component of accumulated other comprehensive loss in shareholders’ equity. | |||||||||||||||||
Foreign currency transaction gains and losses are a result of the effect of exchange rate changes on transactions denominated in currencies other than the functional currency. | |||||||||||||||||
Net Loss per Share | ' | ||||||||||||||||
Net Loss per Share | |||||||||||||||||
Basic net loss per share is computed by dividing the net loss for the period by the weighted average number of common shares outstanding during the period. Diluted net loss per share is computed by dividing net loss for the period by the weighted average number of common shares outstanding, increased by potentially dilutive securities. Potentially dilutive securities are calculated using the treasury stock method and represent incremental shares issuable upon exercise of outstanding stock options and warrants. However, potentially dilutive securities are not included in the denominator of the diluted earnings per share calculation when inclusion of such shares would be anti-dilutive. As a result, the denominator for diluted loss per share is the same as the weighted average common shares in periods when a net loss is reported. | |||||||||||||||||
The following table sets forth the computation of diluted weighted average common and potential common shares outstanding for the years ended March 31, 2014, 2013 and 2012 (in thousands, except share and per share amounts): | |||||||||||||||||
Years Ended March 31, | |||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||
Numerator: | |||||||||||||||||
Net loss | $ | (7,441 | ) | $ | (11,200 | ) | $ | (1,627 | ) | ||||||||
Denominator: | |||||||||||||||||
Weighted average common shares | 63,757,395 | 63,471,235 | 63,094,422 | ||||||||||||||
Denominator for diluted net loss per share | 63,757,395 | 63,471,235 | 63,094,422 | ||||||||||||||
Loss per share: | |||||||||||||||||
Basic | $ | (0.12 | ) | $ | (0.18 | ) | $ | (0.03 | ) | ||||||||
Diluted | $ | (0.12 | ) | $ | (0.18 | ) | $ | (0.03 | ) | ||||||||
Anti-dilutive securities excluded from the computation of diluted loss per share: | |||||||||||||||||
Outstanding options | 7,644,948 | 8,832,288 | 7,453,212 | ||||||||||||||
Outstanding warrants | 2,540,918 | 2,540,918 | 2,311,191 | ||||||||||||||
Shares subject to convertible note payable | — | — | 475,895 | ||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||
Stock-Based Compensation | |||||||||||||||||
The Company records compensation expense associated with share-based awards made to employees and directors based upon their grant date fair value. The Company recognizes these compensation costs on a straight-line basis over the requisite service period of the award, which is four years, except for grants to Board of Directors, which vest in one year. | |||||||||||||||||
The fair value of each option award is estimated on the date of grant using the Black-Scholes option valuation model, using the assumptions noted in Note 8 — Stock-Based Compensation. The expected life of the options is based on a number of factors, including historical exercise experience, the vesting term of the award, and the expected volatility of the Company’s stock. The expected volatility is estimated based on the historical volatility (using daily pricing) of the Company’s stock. The risk-free interest rate is determined based on a constant U.S. Treasury security rate with a contractual life that approximates the expected term of the stock options. The Company reduces the calculated stock-based compensation expense for estimated forfeitures by applying a forfeiture rate, based upon historical pre-vesting option cancelations. Estimated forfeitures are reassessed at each balance sheet date and may change based on new facts and circumstances. | |||||||||||||||||
See Note 8 — Stock-Based Compensation for additional information regarding the Company’s stock-based compensation plans. | |||||||||||||||||
Comprehensive Loss | ' | ||||||||||||||||
Comprehensive Loss | |||||||||||||||||
Comprehensive loss consists of net loss and certain changes in equity that are excluded from net loss. Accumulated other comprehensive loss represents net unrealized gains and losses from foreign currency translation adjustments. | |||||||||||||||||
Recently Issued Accounting Standards | ' | ||||||||||||||||
Recently Issued Accounting Standards | |||||||||||||||||
The Company has adopted no new accounting standards during the year ended March 31, 2014. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Recognized Assets and Liabilities Carried at Fair Value on Recurring Basis | ' | ||||||||||||||||
The following table provides a summary of the recognized assets and liabilities carried at fair value on a recurring basis (in thousands): | |||||||||||||||||
Balance as of | Basis of Fair Value | ||||||||||||||||
March 31, 2014 | Measurements | ||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Liabilities: | |||||||||||||||||
Warrant liability (Note 10) | $ | (75 | ) | $ | — | $ | — | $ | (75 | ) | |||||||
Balance as of | Basis of Fair Value | ||||||||||||||||
March 31, 2013 | Measurements | ||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Liabilities: | |||||||||||||||||
Contingent consideration (Note 3) | $ | (3,864 | ) | $ | — | $ | — | $ | (3,864 | ) | |||||||
Warrant liability (Note 10) | $ | (149 | ) | $ | — | $ | — | $ | (149 | ) | |||||||
Fair Value Measurements of Contingent Consideration Liability and Warrant Liability | ' | ||||||||||||||||
The following tables provide a rollforward of the Company’s level three fair value measurements during the year ended March 31, 2014, which consist of the Company’s contingent consideration liability and warrant liability (in thousands): | |||||||||||||||||
Contingent consideration, net of working capital: | |||||||||||||||||
Balance at March 31, 2011 | $ | (4,439 | ) | ||||||||||||||
Contingent consideration payment | 1,546 | ||||||||||||||||
Changes in working capital adjustment | (409 | ) | |||||||||||||||
Change in fair value of contingent consideration | (1,067 | ) | |||||||||||||||
Balance at March 31, 2012 | $ | (4,369 | ) | ||||||||||||||
Contingent consideration payment | 1,600 | ||||||||||||||||
Changes in working capital adjustment | (7 | ) | |||||||||||||||
Change in fair value of contingent consideration | (1,088 | ) | |||||||||||||||
Balance at March 31, 2013 | $ | (3,864 | ) | ||||||||||||||
Contingent consideration payment | 1,650 | ||||||||||||||||
Converted to note payable | 2,348 | ||||||||||||||||
Change in fair value of contingent consideration | (134 | ) | |||||||||||||||
Balance at March 31, 2014 | $ | — | |||||||||||||||
Warrant liability: | |||||||||||||||||
Balance at March 31, 2011 | $ | — | |||||||||||||||
Securities purchase agreement — warrant liability | (3,250 | ) | |||||||||||||||
Change in fair value of warrant liability | 2,557 | ||||||||||||||||
Balance at March 31, 2012 | $ | (693 | ) | ||||||||||||||
Change in fair value of warrant liability | 544 | ||||||||||||||||
Balance at March 31, 2013 | $ | (149 | ) | ||||||||||||||
Change in fair value of warrant liability | 74 | ||||||||||||||||
Balance at March 31, 2014 | $ | (75 | ) | ||||||||||||||
Estimated Useful Lives of Property and Equipment | ' | ||||||||||||||||
Property and equipment are depreciated or amortized using the straight-line method over the estimated useful lives of the assets as follows: | |||||||||||||||||
Molds | 3 years | ||||||||||||||||
Computer equipment and software | 3 years | ||||||||||||||||
Manufacturing and office equipment | 3 -5 years | ||||||||||||||||
Furniture and fixtures | 5 years | ||||||||||||||||
Leasehold improvements | Shorter of estimated useful life or remaining life | ||||||||||||||||
of lease | |||||||||||||||||
Estimated Useful Lives of Intangible Assets | ' | ||||||||||||||||
The range of useful lives is as follows: | |||||||||||||||||
Useful Life | |||||||||||||||||
(Years) | |||||||||||||||||
Trademarks | 6 - 15 | ||||||||||||||||
Customer relationships | 8-Jun | ||||||||||||||||
Computation of Diluted Weighted Average Common and Potential Common Shares Outstanding | ' | ||||||||||||||||
The following table sets forth the computation of diluted weighted average common and potential common shares outstanding for the years ended March 31, 2014, 2013 and 2012 (in thousands, except share and per share amounts): | |||||||||||||||||
Years Ended March 31, | |||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||
Numerator: | |||||||||||||||||
Net loss | $ | (7,441 | ) | $ | (11,200 | ) | $ | (1,627 | ) | ||||||||
Denominator: | |||||||||||||||||
Weighted average common shares | 63,757,395 | 63,471,235 | 63,094,422 | ||||||||||||||
Denominator for diluted net loss per share | 63,757,395 | 63,471,235 | 63,094,422 | ||||||||||||||
Loss per share: | |||||||||||||||||
Basic | $ | (0.12 | ) | $ | (0.18 | ) | $ | (0.03 | ) | ||||||||
Diluted | $ | (0.12 | ) | $ | (0.18 | ) | $ | (0.03 | ) | ||||||||
Anti-dilutive securities excluded from the computation of diluted loss per share: | |||||||||||||||||
Outstanding options | 7,644,948 | 8,832,288 | 7,453,212 | ||||||||||||||
Outstanding warrants | 2,540,918 | 2,540,918 | 2,311,191 | ||||||||||||||
Shares subject to convertible note payable | — | — | 475,895 |
Inventories_Tables
Inventories (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Schedule of Inventory | ' | ||||||||
Inventories consist of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Raw materials | $ | 1,032 | $ | 1,789 | |||||
Finished goods | 16,157 | 22,006 | |||||||
$ | 17,189 | $ | 23,795 | ||||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||
Components of Property and Equipment, Net | ' | ||||||||
Property and equipment, net, consist of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Molds | $ | 8,707 | $ | 7,868 | |||||
Computer equipment and software | 2,529 | 2,413 | |||||||
Manufacturing and office equipment | 1,376 | 1,562 | |||||||
Furniture and fixtures | 518 | 552 | |||||||
Leasehold improvements | 984 | 1,001 | |||||||
14,114 | 13,396 | ||||||||
Less: Accumulated depreciation and amortization | (11,377 | ) | (10,419 | ) | |||||
$ | 2,737 | $ | 2,977 | ||||||
Intangible_Assets_and_Goodwill1
Intangible Assets and Goodwill (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Summary of Acquired Intangible Assets | ' | ||||||||||||||||||||||||
The Company’s acquired intangible assets are summarized as follows (in thousands): | |||||||||||||||||||||||||
March 31, 2014 | March 31, 2013 | ||||||||||||||||||||||||
Cost | Accumulated | Net Book | Cost | Accumulated | Net Book | ||||||||||||||||||||
Amortization | Value | Amortization | Value | ||||||||||||||||||||||
Trademarks | $ | 4,154 | $ | 1,601 | $ | 2,553 | $ | 4,073 | $ | 1,271 | $ | 2,802 | |||||||||||||
Customer relationships | 3,852 | 3,383 | 469 | 3,733 | 2,856 | 877 | |||||||||||||||||||
Intangible assets | $ | 8,006 | $ | 4,984 | $ | 3,022 | $ | 7,806 | $ | 4,127 | $ | 3,679 | |||||||||||||
Future Estimated Amortization Expense for Acquired Intangible Assets | ' | ||||||||||||||||||||||||
As of March 31, 2014, the future estimated amortization expense for these acquired intangible assets for the next five years and thereafter is expected to be as follows (in thousands): | |||||||||||||||||||||||||
Years ending March 31: | |||||||||||||||||||||||||
2015 | $ | 437 | |||||||||||||||||||||||
2016 | 437 | ||||||||||||||||||||||||
2017 | 438 | ||||||||||||||||||||||||
2018 | 438 | ||||||||||||||||||||||||
2019 | 344 | ||||||||||||||||||||||||
Thereafter | 928 | ||||||||||||||||||||||||
$ | 3,022 | ||||||||||||||||||||||||
Changes in Carrying Amount of Goodwill | ' | ||||||||||||||||||||||||
The changes in the carrying amount of goodwill for the years ended March 31, 2013 are as follows (in thousands): | |||||||||||||||||||||||||
Balance at March 31, 2012 | $ | 10,476 | |||||||||||||||||||||||
Translation adjustment | (8 | ) | |||||||||||||||||||||||
Goodwill impairment | (10,468 | ) | |||||||||||||||||||||||
Balance at March 31, 2013 | $ | 0 | |||||||||||||||||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||||||||||
Summary of Option Activity | ' | ||||||||||||||||||||||||
A summary of option activity is presented as follows: | |||||||||||||||||||||||||
Years Ended March 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Options | Weighted | Options | Weighted | Options | Weighted | ||||||||||||||||||||
Average | Average | Average | |||||||||||||||||||||||
Exercise | Exercise | Exercise | |||||||||||||||||||||||
Price | Price | Price | |||||||||||||||||||||||
Outstanding, beginning of year | 9,364,744 | $ | 0.66 | 7,951,463 | $ | 0.66 | 6,437,259 | $ | 0.58 | ||||||||||||||||
Granted | 362,054 | 0.5 | 1,500,000 | 0.67 | 1,975,000 | 0.98 | |||||||||||||||||||
Exercised | (454,107 | ) | 0.41 | (15,000 | ) | 0.47 | (80,756 | ) | 0.43 | ||||||||||||||||
Expired/canceled | (2,072,709 | ) | 0.89 | (71,719 | ) | 0.49 | (380,040 | ) | 1.13 | ||||||||||||||||
Outstanding, end of year | 7,199,982 | $ | 0.66 | 9,364,744 | $ | 0.66 | 7,951,463 | $ | 0.66 | ||||||||||||||||
Exercisable, end of year | 5,542,304 | $ | 0.65 | 6,320,370 | $ | 0.61 | 4,804,378 | $ | 0.59 | ||||||||||||||||
Vested and expected to vest, end of year | 6,716,143 | $ | 0.66 | 8,812,244 | $ | 0.66 | 7,392,475 | $ | 0.66 | ||||||||||||||||
Schedule of Estimated Fair Value of Each Stock Option Grant | ' | ||||||||||||||||||||||||
The Company estimated the fair value of each stock option grant on the date of grant using the Black-Scholes model with the following assumptions for the years ended March 31, 2014, 2013 and 2012: | |||||||||||||||||||||||||
Years Ended March 31, | |||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||
Assumptions: | |||||||||||||||||||||||||
Expected volatility | 84% - 90% | 92% | 92% | ||||||||||||||||||||||
Risk-free interest rate | 0.68% - 1.72% | 0.71% | 1.02% | ||||||||||||||||||||||
Dividend yield | — | — | — | ||||||||||||||||||||||
Expected term | 5 - 7 years | 5 years | 5 years |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
Summary of Domestic and Foreign Loss Before Income Taxes and Income Tax (Benefit) Expense | ' | ||||||||||||
Domestic and foreign loss before income taxes and details of income tax (benefit) expense are as follows (in thousands): | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
(Loss) income before income taxes: | |||||||||||||
Domestic (U.S.) | $ | (4,324 | ) | $ | (8,711 | ) | $ | (16,812 | ) | ||||
Foreign | (3,511 | ) | (453 | ) | 13,921 | ||||||||
$ | (7,835 | ) | $ | (9,164 | ) | $ | (2,891 | ) | |||||
Income tax (benefit) expense: | |||||||||||||
Current: | |||||||||||||
Federal (U.S.) | $ | — | $ | — | $ | (3,477 | ) | ||||||
State (U.S.) | 55 | (33 | ) | 94 | |||||||||
Foreign | 527 | 1,881 | 1,887 | ||||||||||
582 | 1,848 | (1,496 | ) | ||||||||||
Deferred: | |||||||||||||
Federal (U.S.) | — | — | — | ||||||||||
State (U.S.) | — | — | — | ||||||||||
Foreign | (976 | ) | 188 | 232 | |||||||||
(976 | ) | 188 | 232 | ||||||||||
Income tax (benefit) expense | $ | (394 | ) | $ | 2,036 | $ | (1,264 | ) | |||||
Summary of Income Tax (Benefit) Expense Reconciliation | ' | ||||||||||||
The difference between reported income tax (benefit) expense and the amount computed by multiplying loss before income taxes by the Company’s applicable Canadian statutory tax rate of approximately 26.5%, 26.5% and 28% is reconciled as follows (in thousands): | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Income tax benefit using the Company’s Canadian statutory tax rates | $ | (2,076 | ) | $ | (2,428 | ) | $ | (810 | ) | ||||
Income taxed in jurisdictions other than Canada | (405 | ) | (1,715 | ) | (2,959 | ) | |||||||
Prior year true-up | 181 | (219 | ) | (2,477 | ) | ||||||||
Change in valuation allowance | 1,572 | 2,987 | 2,181 | ||||||||||
Goodwill impairment | — | 2,827 | — | ||||||||||
Other tax increases due to nondeductible expenses | 126 | 489 | 2,859 | ||||||||||
Gain on change in fair value of warrant liability | (9 | ) | (141 | ) | (703 | ) | |||||||
Tax rate changes | 189 | 64 | 662 | ||||||||||
Other | 28 | 172 | (17 | ) | |||||||||
$ | (394 | ) | $ | 2,036 | $ | (1,264 | ) | ||||||
Schedule of Significant Temporary Differences of Deferred Tax Assets and Liabilities | ' | ||||||||||||
The sources of significant temporary differences that give rise to the deferred tax assets and liabilities are as follows (in thousands): | |||||||||||||
March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Deferred tax assets: | |||||||||||||
Tax loss carryforwards | $ | 16,583 | $ | 12,568 | |||||||||
Difference between book and tax basis of inventories | 835 | 1,336 | |||||||||||
Difference between book and tax basis of accounts receivables | 322 | 574 | |||||||||||
Deferred fees not currently deductible | 147 | 109 | |||||||||||
Accruals and reserves not currently deductible | 652 | 756 | |||||||||||
Difference between book and tax basis of intangible assets, property & equipment | 978 | 1,188 | |||||||||||
Unclaimed depreciation on property and equipment | 204 | 221 | |||||||||||
Goodwill and intangibles | 842 | 966 | |||||||||||
Unclaimed scientific research expenditures | 190 | 207 | |||||||||||
Foreign tax credits | 1,615 | 1,389 | |||||||||||
Other | 175 | 320 | |||||||||||
22,543 | 19,634 | ||||||||||||
Less valuation allowance | (18,730 | ) | (17,339 | ) | |||||||||
$ | 3,813 | $ | 2,295 | ||||||||||
Deferred tax liabilities: | |||||||||||||
Federal liability on state tax loss | $ | 699 | $ | 538 | |||||||||
Prepaid liabilities | 46 | 106 | |||||||||||
Goodwill and intangibles | 986 | 1,177 | |||||||||||
$ | 1,731 | $ | 1,821 | ||||||||||
Net deferred tax assets | $ | 2,082 | $ | 474 | |||||||||
Securities_Purchase_Agreement_
Securities Purchase Agreement (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||
Estimated Fair Value of Warrants | ' | ||||||||
These Warrants are not traded in an active securities market, and as such, the Company estimates the fair value of the Warrants using the Black-Scholes option pricing model using the following assumptions: | |||||||||
March 31, 2014 | March 31, 2013 | ||||||||
Expected term | 2.5 years | 3.5 years | |||||||
Common stock market price | $ | 0.48 | $ | 0.38 | |||||
Risk-free interest rate | 0.67 | % | 0.46 | % | |||||
Expected volatility | 68.56 | % | 79.65 | % |
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | ||||
Mar. 31, 2014 | |||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||
Annual Future Minimum Rental Payments Required Under Operating Leases | ' | ||||
Annual future minimum rental payments required under operating leases as of March 31, 2014 are as follows (in thousands): | |||||
Years ending March 31: | |||||
2015 | $ | 1,781 | |||
2016 | 984 | ||||
2017 | 663 | ||||
2018 | 179 | ||||
Thereafter | — | ||||
$ | 3,607 | ||||
Annual Future Minimum Payments Required Under Royalty and License Agreements | ' | ||||
Annual future minimum payments required under royalty and license agreements as of March 31, 2014 are as follows (in thousands): | |||||
Years ending March 31: | |||||
2015 | $ | 183 | |||
2016 | 50 | ||||
2017 | 50 | ||||
2018 | 40 | ||||
Thereafter | — | ||||
$ | 323 | ||||
Geographic_and_Product_Line_Da1
Geographic and Product Line Data (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Sales [Member] | ' | ||||||||||||
Property and Equipment, Net, Attributed to Geographic Regions | ' | ||||||||||||
The Company’s sales are attributed to the following geographic regions (in thousands): | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Net sales: | |||||||||||||
EMEA | $ | 53,132 | $ | 61,960 | $ | 54,512 | |||||||
Americas | 28,470 | 51,316 | 57,363 | ||||||||||
APAC | 8,027 | 9,388 | 5,677 | ||||||||||
$ | 89,629 | $ | 122,664 | $ | 117,552 | ||||||||
Property and Equipment [Member] | ' | ||||||||||||
Property and Equipment, Net, Attributed to Geographic Regions | ' | ||||||||||||
The Company’s property and equipment, net, are attributed to the following geographic regions (in thousands): | |||||||||||||
2014 | 2013 | ||||||||||||
Property and equipment, net: | |||||||||||||
Americas | $ | 417 | $ | 644 | |||||||||
EMEA | 92 | 150 | |||||||||||
APAC | 2,228 | 2,183 | |||||||||||
$ | 2,737 | $ | 2,977 | ||||||||||
Platform [Member] | ' | ||||||||||||
Summary of Sales by Platform, Product Category and Brand | ' | ||||||||||||
Our sales by platform were as follows: | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
PC and Mac | 45 | % | 33 | % | |||||||||
Universal | 29 | % | 25 | % | |||||||||
Next gen consoles (a) | 3 | % | 1 | % | |||||||||
Legacy consoles (b) | 19 | % | 39 | % | |||||||||
Smart devices | 2 | % | 1 | % | |||||||||
All others | 2 | % | 1 | % | |||||||||
100 | % | 100 | % | ||||||||||
(a) Includes products developed for Xbox One, Playstation 4 and Wii U. | |||||||||||||
(b) Includes products developed for Xbox 360, Playstation 3 and Wii. | |||||||||||||
Product Category [Member] | ' | ||||||||||||
Summary of Sales by Platform, Product Category and Brand | ' | ||||||||||||
Our sales by product category were as follows: | |||||||||||||
Years Ended March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Audio | 47 | % | 48 | % | |||||||||
Mice and Keyboards | 29 | % | 21 | % | |||||||||
Specialty controllers | 16 | % | 14 | % | |||||||||
Accessories | 5 | % | 8 | % | |||||||||
Controllers | 1 | % | 5 | % | |||||||||
Games and other | 2 | % | 4 | % | |||||||||
100 | % | 100 | % | ||||||||||
Brand [Member] | ' | ||||||||||||
Summary of Sales by Platform, Product Category and Brand | ' | ||||||||||||
Our sales by brand were as follows: | |||||||||||||
Years Ended | |||||||||||||
March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Mad Catz | 41 | % | 45 | % | |||||||||
Tritton | 42 | % | 44 | % | |||||||||
Saitek | 12 | % | 9 | % | |||||||||
All others | 5 | % | 2 | % | |||||||||
100 | % | 100 | % | ||||||||||
Quarterly_Financial_and_Market1
Quarterly Financial and Market Information (Tables) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||
Summary of Quarterly Financial and Market Information | ' | ||||||||||||||||
Quarter Ended | |||||||||||||||||
June 30 | Sept. 30 | Dec. 31 | Mar. 31 | ||||||||||||||
(Amounts in thousands, except per share data) | |||||||||||||||||
Fiscal 2014: | |||||||||||||||||
Net sales | $ | 18,684 | $ | 17,839 | $ | 32,889 | $ | 20,217 | |||||||||
Gross profit | 5,365 | 4,770 | 7,925 | 4,838 | |||||||||||||
Operating (loss) income | (2,118 | ) | (3,617 | ) | 902 | (1,689 | ) | ||||||||||
Net loss | (2,065 | ) | (4,545 | ) | (566 | ) | (265 | ) | |||||||||
Net loss per share — basic | (0.03 | ) | (0.07 | ) | (0.01 | ) | (0.00 | ) | |||||||||
Net loss per share — diluted | (0.03 | ) | (0.07 | ) | (0.01 | ) | (0.00 | ) | |||||||||
Common stock price per share: | |||||||||||||||||
High | 0.5 | 0.9 | 0.81 | 0.54 | |||||||||||||
Low | 0.38 | 0.46 | 0.44 | 0.42 | |||||||||||||
Fiscal 2013: | |||||||||||||||||
Net sales | $ | 21,822 | $ | 31,215 | $ | 45,019 | $ | 24,608 | |||||||||
Gross profit | 6,275 | 8,987 | 12,903 | 6,351 | |||||||||||||
Operating (loss) income | (1,692 | ) | 512 | 4,144 | (12,479 | ) | |||||||||||
Net (loss) income | (1,717 | ) | (450 | ) | 3,127 | (12,160 | ) | ||||||||||
Net (loss) income per share — basic | (0.03 | ) | (0.01 | ) | 0.05 | (0.19 | ) | ||||||||||
Net (loss) income per share — diluted | (0.03 | ) | (0.01 | ) | 0.05 | (0.19 | ) | ||||||||||
Common stock price per share: | |||||||||||||||||
High | 0.6 | 0.71 | 0.68 | 0.61 | |||||||||||||
Low | 0.41 | 0.54 | 0.5 | 0.38 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Goodwill impairment charge | ' | $10,468,000 | ' |
Goodwill balance | ' | 0 | ' |
Impairment of long-lived assets | 0 | 0 | 0 |
Advertising costs | 2,575,000 | 3,513,000 | 3,511,000 |
Research and development costs | $4,238,000 | $4,205,000 | $5,634,000 |
Requisite service period of award | '4 years | ' | ' |
Board of Directors [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Requisite service period of award | '1 year | ' | ' |
Notes payable [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Note payable, interest rate percentage | 5.25% | ' | ' |
Largest customer [Member] | Sales [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Customers accounted for revenue and accounts receivable, Percentage | 13.00% | 17.00% | 20.00% |
Second largest customer [Member] | Sales [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Customers accounted for revenue and accounts receivable, Percentage | 11.00% | ' | 11.00% |
Customer one [Member] | Accounts receivable [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Customers accounted for revenue and accounts receivable, Percentage | 15.00% | 15.00% | 27.00% |
Customer two [Member] | Accounts receivable [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Customers accounted for revenue and accounts receivable, Percentage | ' | 12.00% | 10.00% |
Another customer [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Number of customers accounting for 10% or more of companies revenue or accounts receivable | 0 | 0 | 0 |
Minimum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Payment arrangements with customers, terms | '30 days | ' | ' |
Maximum [Member] | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' |
Payment arrangements with customers, terms | '60 days | ' | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Recognized Assets and Liabilities Carried at Fair Value on Recurring Basis (Detail) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2012 | Mar. 31, 2011 |
Liabilities: | ' | ' | ' | ' | ' |
Contingent consideration (Note 3) | ' | ($3,864,000) | ' | ($4,369,000) | ($4,439,000) |
Warrant liability (Note 10) | -75,000 | -149,000 | -3,250,000 | -693,000 | ' |
Level 1 [Member] | ' | ' | ' | ' | ' |
Liabilities: | ' | ' | ' | ' | ' |
Contingent consideration (Note 3) | ' | ' | ' | ' | ' |
Warrant liability (Note 10) | ' | ' | ' | ' | ' |
Level 2 [Member] | ' | ' | ' | ' | ' |
Liabilities: | ' | ' | ' | ' | ' |
Contingent consideration (Note 3) | ' | ' | ' | ' | ' |
Warrant liability (Note 10) | ' | ' | ' | ' | ' |
Level 3 [Member] | ' | ' | ' | ' | ' |
Liabilities: | ' | ' | ' | ' | ' |
Contingent consideration (Note 3) | ' | -3,864,000 | ' | ' | ' |
Warrant liability (Note 10) | ($75,000) | ($149,000) | ' | ' | ' |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Fair Value Measurements of Contingent Consideration Liability and Warrant Liability (Detail) (USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | 31-May-12 | Mar. 31, 2012 | Dec. 31, 2012 |
Contingent consideration, net of working capital: | ' | ' | ' | ' | ' |
Beginning Balance | ($3,864) | ($4,369) | ' | ($4,439) | ' |
Contingent consideration payment | 1,650 | 1,600 | ' | 1,546 | ' |
Changes in working capital adjustment | ' | -7 | ' | -409 | ' |
Converted to note payable | 2,348 | ' | ' | ' | ' |
Change in fair value of contingent consideration | -134 | -1,088 | ' | -1,067 | ' |
Ending Balance | ' | -3,864 | ' | -4,369 | ' |
Ending Balance | ' | ' | ' | ' | ' |
Warrant liability: | ' | ' | ' | ' | ' |
Beginning Balance | 149 | 693 | ' | ' | 3,250 |
Securities purchase agreement - warrant liability | ' | ' | ' | -3,250 | ' |
Change in fair value of warrant liability | 74 | 544 | 2,557 | 2,557 | ' |
Ending Balance | ($75) | ($149) | ' | ($693) | ($3,250) |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies - Estimated Useful Lives of Property and Equipment (Detail) | 12 Months Ended |
Mar. 31, 2014 | |
Molds [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives | '3 years |
Computer equipment and software [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives | '3 years |
Manufacturing and office equipment [Member] | Minimum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives | '3 years |
Manufacturing and office equipment [Member] | Maximum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives | '5 years |
Furniture and fixtures [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives | '5 years |
Leasehold improvements [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Estimated useful lives | 'Shorter of estimated useful life or remaining life of lease |
Summary_of_Significant_Account7
Summary of Significant Accounting Policies - Estimated Useful Lives of Intangible Assets (Detail) | 12 Months Ended |
Mar. 31, 2014 | |
Minimum [Member] | Trademarks [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Useful Life (Years) | '6 years |
Minimum [Member] | Customer relationships [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Useful Life (Years) | '6 years |
Maximum [Member] | Trademarks [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Useful Life (Years) | '15 years |
Maximum [Member] | Customer relationships [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Useful Life (Years) | '8 years |
Summary_of_Significant_Account8
Summary of Significant Accounting Policies - Computation of Diluted Weighted Average Common and Potential Common Shares Outstanding (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | 31-May-12 | Mar. 31, 2012 |
Numerator: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net loss | ($265) | ($566) | ($4,545) | ($2,065) | ($12,160) | $3,127 | ($450) | ($1,717) | ($7,441) | ($11,200) | ($1,627) | ($1,627) |
Denominator: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average common shares | ' | ' | ' | ' | ' | ' | ' | ' | 63,757,395 | 63,471,235 | ' | 63,094,422 |
Denominator for diluted net loss per share | ' | ' | ' | ' | ' | ' | ' | ' | 63,757,395 | 63,471,235 | ' | 63,094,422 |
Loss per share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic | $0 | ($0.01) | ($0.07) | ($0.03) | ($0.19) | $0.05 | ($0.01) | ($0.03) | ($0.12) | ($0.18) | ' | ($0.03) |
Diluted | $0 | ($0.01) | ($0.07) | ($0.03) | ($0.19) | $0.05 | ($0.01) | ($0.03) | ($0.12) | ($0.18) | ' | ($0.03) |
Outstanding options [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Anti-dilutive securities excluded from the computation of diluted loss per share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Anti-dilutive securities excluded from the computation of diluted loss per share | ' | ' | ' | ' | ' | ' | ' | ' | 7,644,948 | 8,832,288 | ' | 7,453,212 |
Outstanding warrants [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Anti-dilutive securities excluded from the computation of diluted loss per share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Anti-dilutive securities excluded from the computation of diluted loss per share | ' | ' | ' | ' | ' | ' | ' | ' | 2,540,918 | 2,540,918 | ' | 2,311,191 |
Shares subject to convertible note payable [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Anti-dilutive securities excluded from the computation of diluted loss per share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Anti-dilutive securities excluded from the computation of diluted loss per share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 475,895 |
Prior_Acquisitions_Additional_
Prior Acquisitions - Additional Information (Detail) (USD $) | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2011 | Feb. 27, 2014 | 28-May-10 | 31-May-13 | Mar. 31, 2014 |
Tritton [Member] | Tritton [Member] | Tritton [Member] | Tritton [Member] | ||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Cash paid for the acquisition | ' | ' | ' | ' | $1,400,000 | ' | ' |
Contingent consideration paid for acquisition | ' | ' | ' | ' | 8,700,000 | 4,788,000 | ' |
Additional consideration based on percentage of future sales to be paid to former owners, period | ' | ' | ' | ' | '5 years | ' | ' |
Ownership percentage | ' | ' | ' | 99.00% | ' | ' | ' |
Promissory Note, amount | ' | ' | ' | 2,475,000 | ' | ' | ' |
Term of the Note | ' | ' | ' | '2 years | ' | ' | ' |
Liability for contingent consideration | 3,864,000 | 4,369,000 | 4,439,000 | ' | ' | ' | 0 |
Promissory Note, interest rate | ' | ' | ' | ' | ' | ' | 5.25% |
Promissory Note, present value | ' | ' | ' | ' | ' | ' | $2,359,000 |
Inventories_Schedule_of_Invent
Inventories - Schedule of Inventory (Detail) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Raw materials | $1,032 | $1,789 |
Finished goods | 16,157 | 22,006 |
Inventories | $17,189 | $23,795 |
Inventories_Additional_Informa
Inventories - Additional Information (Detail) (Pledged as collateral [Member], USD $) | Mar. 31, 2014 |
Pledged as collateral [Member] | ' |
Inventories [Line Items] | ' |
Amount of inventory pledged as collateral | $11,647,000 |
Property_and_Equipment_Compone
Property and Equipment - Components of Property and Equipment, Net (Detail) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | $14,114 | $13,396 |
Less: Accumulated depreciation and amortization | -11,377 | -10,419 |
Property and equipment, net | 2,737 | 2,977 |
Molds [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 8,707 | 7,868 |
Computer equipment and software [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 2,529 | 2,413 |
Manufacturing and office equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 1,376 | 1,562 |
Furniture and fixtures [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 518 | 552 |
Leasehold improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | $984 | $1,001 |
Property_and_Equipment_Additio
Property and Equipment - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Property Plant And Equipment Useful Life And Values [Abstract] | ' | ' | ' |
Depreciation expense related to property and equipment total | $1,825,000 | $2,089,000 | $2,297,000 |
Intangible_Assets_and_Goodwill2
Intangible Assets and Goodwill - Summary of Acquired Intangible Assets (Detail) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Intangible Assets By Major Class [Line Items] | ' | ' |
Cost | $8,006 | $7,806 |
Accumulated Amortization | 4,984 | 4,127 |
Intangible assets, net | 3,022 | 3,679 |
Trademarks [Member] | ' | ' |
Intangible Assets By Major Class [Line Items] | ' | ' |
Cost | 4,154 | 4,073 |
Accumulated Amortization | 1,601 | 1,271 |
Intangible assets, net | 2,553 | 2,802 |
Customer relationships [Member] | ' | ' |
Intangible Assets By Major Class [Line Items] | ' | ' |
Cost | 3,852 | 3,733 |
Accumulated Amortization | 3,383 | 2,856 |
Intangible assets, net | $469 | $877 |
Intangible_Assets_and_Goodwill3
Intangible Assets and Goodwill - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ' | ' |
Amortization of intangible assets | $743,000 | $933,000 | $955,000 |
Accumulated goodwill impairment losses | $38,355,000 | $38,355,000 | ' |
Intangible_Assets_and_Goodwill4
Intangible Assets and Goodwill - Future Estimated Amortization Expense for Acquired Intangible Assets (Detail) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ' |
2015 | $437 | ' |
2016 | 437 | ' |
2017 | 438 | ' |
2018 | 438 | ' |
2019 | 344 | ' |
Thereafter | 928 | ' |
Intangible assets, net | $3,022 | $3,679 |
Intangible_Assets_and_Goodwill5
Intangible Assets and Goodwill - Changes in Carrying Amount of Goodwill (Detail) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2013 |
Goodwill And Intangible Assets Disclosure [Abstract] | ' |
Balance | $10,476 |
Translation adjustment | -8 |
Goodwill impairment | -10,468 |
Balance | $0 |
Bank_Loan_Additional_Informati
Bank Loan - Additional Information (Detail) (USD $) | 12 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Credit Facilities [Line Items] | ' | ' |
Credit facility maximum borrowing capacity | $30,000,000 | ' |
Credit Facility, interest rate | 5.25% | 3.75% |
Credit Facility, monthly service fee | 1,500 | ' |
Credit Facility, service fee percentage on unused portion of the loan | 0.25% | ' |
Subsequent events [Member] | June 4, 2014 | ' | ' |
Credit Facilities [Line Items] | ' | ' |
Amended amount of borrowing under credit facility | $25,000,000 | ' |
Minimum [Member] | ' | ' |
Credit Facilities [Line Items] | ' | ' |
Interest rate over prime rate | 0.50% | ' |
Maximum [Member] | ' | ' |
Credit Facilities [Line Items] | ' | ' |
Interest rate over prime rate | 2.00% | ' |
StockBased_Compensation_Additi
Stock-Based Compensation - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Compensation Related Costs Share Based Payments Disclosure [Line Items] | ' | ' | ' |
Aggregate intrinsic value of options outstanding | $162,763 | ' | ' |
Weighted average remaining contractual term of options outstanding | '6 years 3 months 18 days | ' | ' |
Aggregate intrinsic value of options exercisable | 147,732 | ' | ' |
Weighted average remaining contractual term of options exercisable | '5 years 8 months 12 days | ' | ' |
Aggregate intrinsic value of options exercised | 100,988 | 3,000 | 87,609 |
Unrecognized compensation cost related to unvested options | 781,441 | ' | ' |
Unrecognized compensation cost expected to recognized weighted-average period | '1 year 6 months | ' | ' |
Weighted average per share fair value of the options granted | $0.35 | $0.47 | $0.69 |
Stock-based compensation expense, net of taxes | $485,000 | $481,000 | $470,000 |
2007 Plan [Member] | ' | ' | ' |
Compensation Related Costs Share Based Payments Disclosure [Line Items] | ' | ' | ' |
Maximum shares of common stock granted to purchase | 10,300,000 | ' | ' |
Options granted, expiry period from date of grant | '10 years | ' | ' |
Options granted, vesting period | '4 years | ' | ' |
Options granted, vesting percentage | 25.00% | ' | ' |
Options granted, vesting period on grant date | '1 year | ' | ' |
Options granted, remaining vesting period | '36 months | ' | ' |
Shares available for future grant | 1,552,039 | ' | ' |
StockBased_Compensation_Summar
Stock-Based Compensation - Summary of Option Activity (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' | ' |
Options, Outstanding, beginning of year | 9,364,744 | 7,951,463 | 6,437,259 |
Options, Granted | 362,054 | 1,500,000 | 1,975,000 |
Options, Exercised | -454,107 | -15,000 | -80,756 |
Options, Expired/canceled | -2,072,709 | -71,719 | -380,040 |
Options, Outstanding, end of year | 7,199,982 | 9,364,744 | 7,951,463 |
Options, Exercisable, end of year | 5,542,304 | 6,320,370 | 4,804,378 |
Options, Vested and expected to vest, end of year | 6,716,143 | 8,812,244 | 7,392,475 |
Weighted Average Exercise Price, Outstanding, beginning of year | $0.66 | $0.66 | $0.58 |
Weighted Average Exercise Price, Granted | $0.50 | $0.67 | $0.98 |
Weighted Average Exercise Price, Exercised | $0.41 | $0.47 | $0.43 |
Weighted Average Exercise Price, Expired/canceled | $0.89 | $0.49 | $1.13 |
Weighted Average Exercise Price, Outstanding, end of year | $0.66 | $0.66 | $0.66 |
Weighted Average Exercise Price, Exercisable, end of year | $0.65 | $0.61 | $0.59 |
Weighted Average Exercise Price, Vested and expected to vest, end of year | $0.66 | $0.66 | $0.66 |
StockBased_Compensation_Schedu
Stock-Based Compensation - Schedule of Estimated Fair Value of Each Stock Option Grant (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Assumptions: | ' | ' | ' |
Expected volatility | ' | 92.00% | 92.00% |
Risk-free interest rate | ' | 0.71% | 1.02% |
Dividend yield | ' | ' | ' |
Expected term | ' | '5 years | '5 years |
Minimum [Member] | ' | ' | ' |
Assumptions: | ' | ' | ' |
Expected volatility | 84.00% | ' | ' |
Risk-free interest rate | 0.68% | ' | ' |
Expected term | '5 years | ' | ' |
Maximum [Member] | ' | ' | ' |
Assumptions: | ' | ' | ' |
Expected volatility | 90.00% | ' | ' |
Risk-free interest rate | 1.72% | ' | ' |
Expected term | '7 years | ' | ' |
Income_Taxes_Summary_of_Domest
Income Taxes - Summary of Domestic and Foreign Loss Before Income Taxes and Income Tax (Benefit) Expense (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | 31-May-12 | Mar. 31, 2012 |
(Loss) income before income taxes: | ' | ' | ' | ' |
Domestic (U.S.) | ($4,324) | ($8,711) | ' | ($16,812) |
Foreign | -3,511 | -453 | ' | 13,921 |
Total | -7,835 | -9,164 | ' | -2,891 |
Current: | ' | ' | ' | ' |
Federal (U.S.) | ' | ' | ' | -3,477 |
State (U.S.) | 55 | -33 | ' | 94 |
Foreign | 527 | 1,881 | ' | 1,887 |
Total current | 582 | 1,848 | ' | -1,496 |
Deferred: | ' | ' | ' | ' |
Federal (U.S.) | ' | ' | ' | ' |
State (U.S.) | ' | ' | ' | ' |
Foreign | -976 | 188 | ' | 232 |
Total deferred | -1,607 | 188 | 232 | 232 |
Income tax (benefit) expense | ($394) | $2,036 | ' | ($1,264) |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 12 Months Ended | 12 Months Ended | ||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2007 | Mar. 31, 2007 | Mar. 31, 2014 | |
U.S. federal [Member] | California [Member] | Mad Catz UK and Mad Catz Canada [Member] | Parent [Member] | Federal [Member] | State [Member] | Foreign [Member] | ||||
Income Taxes [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Canadian statutory tax rate | 26.50% | 26.50% | 28.00% | ' | ' | ' | ' | ' | ' | ' |
Cumulative pretax book loss | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred tax assets valuation allowance | $18,730,000 | $17,339,000 | ' | ' | ' | $700,000 | ' | ' | ' | ' |
Tax loss carryforwards amount | ' | ' | ' | 18,000,000 | 23,200,000 | ' | ' | ' | ' | ' |
Tax loss carryforwards expiry date | '2015 | ' | ' | '2022 | ' | ' | ' | ' | ' | ' |
Net operating loss carry forwards | 4,100,000 | ' | ' | ' | ' | ' | ' | 2,800,000 | 3,600,000 | 12,700,000 |
Total non-capital and capital income tax losses | ' | ' | ' | ' | ' | ' | 16,300,000 | ' | ' | ' |
Non-capital income tax losses | ' | ' | ' | ' | ' | ' | 13,400,000 | ' | ' | ' |
Non-capital income tax losses expiration date | ' | ' | ' | ' | ' | ' | '2014 through 2034 | ' | ' | ' |
Capital tax losses | ' | ' | ' | ' | ' | ' | 2,900,000 | ' | ' | ' |
Undistributed earnings of non-Canadian subsidiaries | 41,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred tax liability on undistributed earnings | 2,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized tax benefits | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | ' |
Income_Taxes_Summary_of_Income
Income Taxes - Summary of Income Tax (Benefit) Expense Reconciliation (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Income tax benefit using the Company's Canadian statutory tax rates | ($2,076) | ($2,428) | ($810) |
Income taxed in jurisdictions other than Canada | -405 | -1,715 | -2,959 |
Prior year true-up | 181 | -219 | -2,477 |
Change in valuation allowance | 1,572 | 2,987 | 2,181 |
Goodwill impairment | ' | 2,827 | ' |
Other tax increases due to nondeductible expenses | 126 | 489 | 2,859 |
Gain on change in fair value of warrant liability | -9 | -141 | -703 |
Tax rate changes | 189 | 64 | 662 |
Other | 28 | 172 | -17 |
Income tax (benefit) expense | ($394) | $2,036 | ($1,264) |
Income_Taxes_Schedule_of_Signi
Income Taxes - Schedule of Significant Temporary Differences of Deferred Tax Assets and Liabilities (Detail) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ' | ' |
Tax loss carryforwards | $16,583 | $12,568 |
Difference between book and tax basis of inventories | 835 | 1,336 |
Difference between book and tax basis of accounts receivables | 322 | 574 |
Deferred fees not currently deductible | 147 | 109 |
Accruals and reserves not currently deductible | 652 | 756 |
Difference between book and tax basis of intangible assets, property & equipment | 978 | 1,188 |
Unclaimed depreciation on property and equipment | 204 | 221 |
Goodwill and intangibles | 842 | 966 |
Unclaimed scientific research expenditures | 190 | 207 |
Foreign tax credits | 1,615 | 1,389 |
Other | 175 | 320 |
Deferred tax assets | 22,543 | 19,634 |
Less valuation allowance | -18,730 | -17,339 |
Net deferred tax assets | 3,813 | 2,295 |
Deferred tax liabilities: | ' | ' |
Federal liability on state tax loss | 699 | 538 |
Prepaid liabilities | 46 | 106 |
Goodwill and intangibles | 986 | 1,177 |
Net deferred tax liabilities | 1,731 | 1,821 |
Net deferred tax assets | $2,082 | $474 |
Securities_Purchase_Agreement_1
Securities Purchase Agreement - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |||||||
Oct. 21, 2011 | 3-May-11 | Mar. 31, 2014 | Mar. 31, 2013 | 31-May-12 | Mar. 31, 2012 | Dec. 31, 2012 | Apr. 30, 2011 | Mar. 31, 2011 | |
Schedule Of Investments [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of common stock | ' | ' | 63,931,506 | 63,477,399 | ' | ' | ' | 6,352,293 | ' |
Warrants to purchase shares of common stock | ' | 2,540,918 | ' | ' | ' | ' | ' | 2,540,918 | ' |
Number of shares, registering | ' | 8,893,211 | ' | ' | ' | ' | ' | ' | ' |
Securities issued price per share | ' | $1.92 | $0.48 | $0.38 | ' | ' | ' | ' | ' |
Proceeds from issuance of Securities | ' | $12,196,000 | ' | ' | ' | ' | ' | ' | ' |
Warrants exercise price | $2.56 | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants expiration date | ' | ' | 21-Oct-16 | ' | ' | ' | ' | ' | ' |
Fair value of warrants | ' | ' | 75,000 | 149,000 | ' | 693,000 | 3,250,000 | ' | ' |
Change in fair value of warrant liability | ' | ' | $74,000 | $544,000 | $2,557,000 | $2,557,000 | ' | ' | ' |
Securities_Purchase_Agreement_2
Securities Purchase Agreement - Estimated Fair Value of Warrants (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | 3-May-11 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' | ' |
Expected term | '2 years 6 months | '3 years 6 months | ' |
Common stock market price | $0.48 | $0.38 | $1.92 |
Risk-free interest rate | 0.67% | 0.46% | ' |
Expected volatility | 68.56% | 79.65% | ' |
Commitments_and_Contingencies_1
Commitments and Contingencies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Commitments And Contingencies [Line Items] | ' | ' | ' |
Rent expense for operating leases | $2,274,000 | $2,104,000 | $2,229,000 |
Royalty and License Agreements [Member] | ' | ' | ' |
Commitments And Contingencies [Line Items] | ' | ' | ' |
Royalty and license expenses | $3,294,000 | $6,319,000 | $6,425,000 |
Commitments_and_Contingencies_2
Commitments and Contingencies - Annual Future Minimum Rental Payments Required Under Operating Leases (Detail) (USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
Leases [Abstract] | ' |
2015 | $1,781 |
2016 | 984 |
2017 | 663 |
2018 | 179 |
Thereafter | ' |
Total | $3,607 |
Commitments_and_Contingencies_3
Commitments and Contingencies - Annual Future Minimum Payments Required Under Royalty and License Agreements (Detail) (USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
Leases [Abstract] | ' |
2015 | $183 |
2016 | 50 |
2017 | 50 |
2018 | 40 |
Thereafter | ' |
Total | $323 |
Employee_Savings_Plan_Addition
Employee Savings Plan - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Compensation And Retirement Disclosure [Abstract] | ' | ' | ' |
Matched contribution by employer | 50.00% | 50.00% | 50.00% |
Employee's contribution to plan | 8.00% | 8.00% | 8.00% |
Discretionary contributions to the plan | $138,000 | $164,000 | $183,000 |
Geographic_and_Product_Line_Da2
Geographic and Product Line Data - Sales Attributed to Geographic Regions (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Net sales: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | $20,217 | $32,889 | $17,839 | $18,684 | $24,608 | $45,019 | $31,215 | $21,822 | $89,629 | $122,664 | $117,552 |
EMEA [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | ' | ' | ' | ' | ' | ' | ' | ' | 53,132 | 61,960 | 54,512 |
Americas [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | ' | ' | ' | ' | ' | ' | ' | ' | 28,470 | 51,316 | 57,363 |
APAC [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | ' | ' | ' | ' | ' | ' | ' | ' | $8,027 | $9,388 | $5,677 |
Geographic_and_Product_Line_Da3
Geographic and Product Line Data - Property and Equipment, Net, Attributed to Geographic Regions (Detail) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property and equipment, net: | ' | ' |
Property and equipment, net | $2,737 | $2,977 |
Americas [Member] | ' | ' |
Property and equipment, net: | ' | ' |
Property and equipment, net | 417 | 644 |
EMEA [Member] | ' | ' |
Property and equipment, net: | ' | ' |
Property and equipment, net | 92 | 150 |
APAC [Member] | ' | ' |
Property and equipment, net: | ' | ' |
Property and equipment, net | $2,228 | $2,183 |
Geographic_and_Product_Line_Da4
Geographic and Product Line Data - Summary of Sales by Platform (Detail) (Platform [Member], Sales [Member]) | 12 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by platform | 100.00% | 100.00% |
PC and Mac [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by platform | 45.00% | 33.00% |
Universal [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by platform | 29.00% | 25.00% |
Next gen consoles [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by platform | 3.00% | 1.00% |
Legacy consoles [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by platform | 19.00% | 39.00% |
Smart devices [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by platform | 2.00% | 1.00% |
All Others [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by platform | 2.00% | 1.00% |
Geographic_and_Product_Line_Da5
Geographic and Product Line Data - Summary of Sales by Product Category (Detail) (Product Category [Member], Sales [Member]) | 12 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by product category | 100.00% | 100.00% |
Audio [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by product category | 47.00% | 48.00% |
Mice and Keyboards [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by product category | 29.00% | 21.00% |
Specialty controllers [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by product category | 16.00% | 14.00% |
Accessories [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by product category | 5.00% | 8.00% |
Controllers [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by product category | 1.00% | 5.00% |
Games and others [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by product category | 2.00% | 4.00% |
Geographic_and_Product_Line_Da6
Geographic and Product Line Data - Summary of Sales by Brand (Detail) (Brand [Member], Sales [Member]) | 12 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by brand | 100.00% | 100.00% |
Mad Catz [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by brand | 41.00% | 45.00% |
Tritton [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by brand | 42.00% | 44.00% |
Saitek [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by brand | 12.00% | 9.00% |
All others [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Percentage of sales by brand | 5.00% | 2.00% |
Quarterly_Financial_and_Market2
Quarterly Financial and Market Information - Summary of Quarterly Financial and Market Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | 31-May-12 | Mar. 31, 2012 |
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net sales | $20,217 | $32,889 | $17,839 | $18,684 | $24,608 | $45,019 | $31,215 | $21,822 | $89,629 | $122,664 | ' | $117,552 |
Gross profit | 4,838 | 7,925 | 4,770 | 5,365 | 6,351 | 12,903 | 8,987 | 6,275 | 22,898 | 34,516 | ' | 31,500 |
Operating (loss) income | -1,689 | 902 | -3,617 | -2,118 | -12,479 | 4,144 | 512 | -1,692 | -6,522 | -9,516 | ' | -3,880 |
Net (loss) income | ($265) | ($566) | ($4,545) | ($2,065) | ($12,160) | $3,127 | ($450) | ($1,717) | ($7,441) | ($11,200) | ($1,627) | ($1,627) |
Net (loss) income per share - basic | $0 | ($0.01) | ($0.07) | ($0.03) | ($0.19) | $0.05 | ($0.01) | ($0.03) | ($0.12) | ($0.18) | ' | ($0.03) |
Net (loss) income per share - diluted | $0 | ($0.01) | ($0.07) | ($0.03) | ($0.19) | $0.05 | ($0.01) | ($0.03) | ($0.12) | ($0.18) | ' | ($0.03) |
Common stock price per share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
High | $0.54 | $0.81 | $0.90 | $0.50 | $0.61 | $0.68 | $0.71 | $0.60 | ' | ' | ' | ' |
Low | $0.42 | $0.44 | $0.46 | $0.38 | $0.38 | $0.50 | $0.54 | $0.41 | ' | ' | ' | ' |