Cover Page
Cover Page - shares | 3 Months Ended | |
Apr. 01, 2022 | Apr. 27, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Apr. 1, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-39317 | |
Entity Registrant Name | ON SEMICONDUCTOR CORPORATION | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 36-3840979 | |
Entity Address, Address Line One | 5005 E. McDowell Road | |
Entity Address, City or Town | Phoenix | |
Entity Address, State or Province | AZ | |
Entity Address, Postal Zip Code | 85008 | |
City Area Code | 602 | |
Local Phone Number | 244-6600 | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | ON | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 434,505,663 | |
Entity Central Index Key | 0001097864 | |
Current Fiscal Year End | --12-31 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2022 | |
Amendment Flag | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Apr. 01, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and cash equivalents | $ 1,645.1 | $ 1,352.6 |
Receivables, net | 910.7 | 809.4 |
Inventories | 1,496 | 1,379.5 |
Other current assets | 315.6 | 240.1 |
Total current assets | 4,367.4 | 3,781.6 |
Property, plant and equipment, net | 2,559.4 | 2,524.3 |
Goodwill | 1,936.7 | 1,937.5 |
Intangible assets, net | 474.5 | 495.7 |
Deferred tax assets | 349.3 | 366.3 |
Other assets | 525.1 | 520.6 |
Total assets | 10,212.4 | 9,626 |
Liabilities, Non-Controlling Interest and Stockholders’ Equity | ||
Accounts payable | 725.3 | 635.1 |
Accrued expenses and other current liabilities | 670.4 | 747.6 |
Current portion of long-term debt | 170.4 | 160.7 |
Total current liabilities | 1,566.1 | 1,543.4 |
Long-term debt | 3,035.4 | 2,913.9 |
Deferred tax liabilities | 40.9 | 43.2 |
Other long-term liabilities | 552 | 521.1 |
Total liabilities | 5,194.4 | 5,021.6 |
Commitments and contingencies | ||
ON Semiconductor Corporation stockholders’ equity: | ||
Common stock ($0.01 par value, 1,250,000,000 shares authorized, 606,021,655 and 603,044,079 issued, 434,494,753 and 432,472,818 outstanding, respectively) | 6.1 | 6 |
Additional paid-in capital | 4,533.3 | 4,633.3 |
Accumulated other comprehensive loss | (26.4) | (40.6) |
Accumulated earnings | 2,992.4 | 2,435.1 |
Less: Treasury stock, at cost: 171,526,902 and 170,571,261 shares, respectively | (2,507.2) | (2,448.4) |
Total ON Semiconductor Corporation stockholders’ equity | 4,998.2 | 4,585.4 |
Non-controlling interest | 19.8 | 19 |
Total stockholders' equity | 5,018 | 4,604.4 |
Total liabilities and stockholders' equity | $ 10,212.4 | $ 9,626 |
CONSOLIDATED BALANCE SHEETS - P
CONSOLIDATED BALANCE SHEETS - Parenthetical - $ / shares | Apr. 01, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,250,000,000 | 1,250,000,000 |
Common stock, shares issued (in shares) | 606,021,655 | 603,044,079 |
Common stock, shares outstanding (in shares) | 434,494,753 | 432,472,818 |
Treasury stock, shares (in shares) | 171,526,902 | 170,571,261 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Income Statement [Abstract] | ||
Revenue | $ 1,945 | $ 1,481.7 |
Cost of revenue (exclusive of amortization shown below) | 983.7 | 960.5 |
Gross profit | 961.3 | 521.2 |
Operating expenses: | ||
Research and development | 156.8 | 173.6 |
Selling and marketing | 71.1 | 78.9 |
General and administrative | 77.9 | 72.4 |
Amortization of acquisition-related intangible assets | 21.3 | 25 |
Restructuring, asset impairments and other charges, net | (13) | 42.5 |
Intangible asset impairment | 0 | 2.9 |
Total operating expenses | 314.1 | 395.3 |
Operating income | 647.2 | 125.9 |
Other income (expense), net: | ||
Interest expense | (21.6) | (33.4) |
Interest income | 0.4 | 0.4 |
Other income (expense) | 2.1 | 4.5 |
Other income (expense), net | (19.1) | (28.5) |
Income before income taxes | 628.1 | 97.4 |
Income tax provision | (97.1) | (7.1) |
Net income | 531 | 90.3 |
Less: Net income attributable to non-controlling interest | (0.8) | (0.4) |
Net income attributable to ON Semiconductor Corporation | 530.2 | 89.9 |
Net income for diluted earnings per share of common stock | $ 530.7 | $ 89.9 |
Net income per share of common stock: | ||
Basic (in dollars per share) | $ 1.22 | $ 0.22 |
Diluted (in dollars per share) | $ 1.18 | $ 0.20 |
Weighted-average shares of common stock outstanding: | ||
Basic (in shares) | 433.3 | 413.4 |
Diluted (in shares) | 448.9 | 445.4 |
Comprehensive income, net of tax: | ||
Net income | $ 531 | $ 90.3 |
Foreign currency translation adjustments | (2.4) | (2.3) |
Effects of cash flow hedges and other adjustments | 16.6 | 4 |
Other comprehensive income, net of tax | 14.2 | 1.7 |
Comprehensive income | 545.2 | 92 |
Comprehensive income attributable to non-controlling interest | (0.8) | (0.4) |
Comprehensive income attributable to ON Semiconductor Corporation | $ 544.4 | $ 91.6 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Millions | Total | Cumulative Effect, Period of Adoption, Adjustment | Common Stock | Common StockCumulative Effect, Period of Adoption, Adjustment | Additional Paid-in Capital | Additional Paid-in CapitalCumulative Effect, Period of Adoption, Adjustment | Accumulated Other Comprehensive Loss | Accumulated Earnings | Accumulated EarningsCumulative Effect, Period of Adoption, Adjustment | Treasury Stock | Non-Controlling Interest |
Balance, beginning (in shares) at Dec. 31, 2020 | 570,766,439 | (158,923,810) | |||||||||
Balance, beginning at Dec. 31, 2020 | $ 3,558.1 | $ 5.7 | $ 4,133.1 | $ (57.6) | $ 1,425.5 | $ (1,968.2) | $ 19.6 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Shares issued pursuant to the ESPP (in shares) | 204,415 | ||||||||||
Shares issued pursuant to the ESPP | 5.7 | 5.7 | |||||||||
RSUs and stock grant awards issued (in shares) | 2,269,328 | ||||||||||
RSUs and stock grant awards issued | 0 | ||||||||||
Shares issued for warrants exercise - 1.00% Notes (in shares) | 6,313,262 | ||||||||||
Shares issued upon exercise of warrants for 1.00% Notes | 0 | $ 0.1 | (0.1) | ||||||||
Payment of tax withholding for RSUs (in shares) | (733,223) | ||||||||||
Payment of tax withholding for RSUs | (28.5) | $ (28.5) | |||||||||
Share-based compensation | 22.3 | 22.3 | |||||||||
Comprehensive income | 92 | 1.7 | 89.9 | 0.4 | |||||||
Balance, ending (in shares) at Apr. 02, 2021 | 579,553,444 | (159,657,033) | |||||||||
Balance, ending at Apr. 02, 2021 | 3,649.6 | $ 5.8 | 4,161 | (55.9) | 1,515.4 | $ (1,996.7) | 20 | ||||
Balance, beginning (in shares) at Dec. 31, 2021 | 603,044,079 | 0 | (170,571,261) | ||||||||
Balance, beginning at Dec. 31, 2021 | 4,604.4 | $ (102) | $ 6 | 4,633.3 | $ (129.1) | (40.6) | 2,435.1 | $ 27.1 | $ (2,448.4) | 19 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Shares issued pursuant to the ESPP (in shares) | 126,388 | ||||||||||
Shares issued pursuant to the ESPP | 6.7 | 6.7 | |||||||||
RSUs and stock grant awards issued (in shares) | 2,851,188 | ||||||||||
RSUs and stock grant awards issued | 0 | $ 0.1 | (0.1) | ||||||||
Payment of tax withholding for RSUs (in shares) | (955,641) | ||||||||||
Payment of tax withholding for RSUs | (58.8) | $ (58.8) | |||||||||
Share-based compensation | 22.5 | 22.5 | |||||||||
Comprehensive income | 545.2 | 14.2 | 530.2 | 0.8 | |||||||
Balance, ending (in shares) at Apr. 01, 2022 | 606,021,655 | (171,526,902) | |||||||||
Balance, ending at Apr. 01, 2022 | $ 5,018 | $ 6.1 | $ 4,533.3 | $ (26.4) | $ 2,992.4 | $ (2,507.2) | $ 19.8 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Accounting Standards Update [Extensible Enumeration] | Accounting Standards Update 2020-06 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Cash flows from operating activities: | ||
Net income | $ 531 | $ 90.3 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 140.6 | 153.4 |
(Gain) loss on sale or disposal of fixed assets | (16.6) | 0.3 |
Amortization of debt discount and issuance costs | 3.2 | 2.4 |
Share-based compensation | 22.5 | 22.3 |
Non-cash interest on convertible notes | 0 | 4.6 |
Non-cash asset impairment charges | 6.7 | 6.1 |
Change in deferred tax balances | 38.3 | (23.2) |
Other | 0.5 | (2) |
Changes in assets and liabilities (exclusive of divestiture): | ||
Receivables | (107.2) | (9.9) |
Inventories | (116.7) | (42) |
Other assets | (0.8) | 9.9 |
Accounts payable | 35.7 | 8.9 |
Accrued expenses and other current liabilities | (83.2) | 12.8 |
Other long-term liabilities | 24.6 | (15.4) |
Net cash provided by operating activities | 478.6 | 218.5 |
Cash flows from investing activities: | ||
Purchase of property, plant and equipment | (173.8) | (77) |
Proceeds from sale of property, plant and equipment | 36.7 | 0.2 |
Deposits utilized (made) for purchase of property, plant and equipment | 1.6 | (0.4) |
Divestiture of business, net of cash transferred and deposits received | 12.9 | 0 |
Payments related to prior acquisition | (2.4) | 0 |
Purchase of available-for-sale securities | (7.8) | 0 |
Proceeds from sale or maturity of available-for-sale securities | 3.4 | 0 |
Net cash used in investing activities | (129.4) | (77.2) |
Cash flows from financing activities: | ||
Proceeds for the issuance of common stock under the ESPP | 7.8 | 6.6 |
Payment of tax withholding for RSUs | (58.8) | (28.5) |
Repayment of borrowings under debt agreements | (4.1) | (154.1) |
Payments related to prior acquisition | 0 | (2.1) |
Dividend to non-controlling shareholder | (2.2) | 0 |
Net cash used in financing activities | (57.3) | (178.1) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (0.7) | (0.8) |
Net increase (decrease) in cash, cash equivalents and restricted cash | 291.2 | (37.6) |
Beginning cash, cash equivalents and restricted cash | 1,377.7 | 1,081.5 |
Ending cash, cash equivalents and restricted cash | $ 1,668.9 | $ 1,043.9 |
Background and Basis of Present
Background and Basis of Presentation | 3 Months Ended |
Apr. 01, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Background and Basis of Presentation | Note 1: Background and Basis of Presentation ON Semiconductor Corporation, together with its wholly and majority-owned subsidiaries, which operate under the onsemi TM brand ("onsemi," "we," "us," "our" or the "Company"), uses a thirteen-week fiscal quarter accounting period for the first three fiscal quarters of each year, with the first quarter of 2022 having ended on April 1, 2022 and each fiscal year ending on December 31. The quarters ended April 1, 2022 and April 2, 2021 contained 91 and 92 days, respectively. As of April 1, 2022, the Company was organized into the following three operating and reportable segments: the Power Solutions Group ("PSG"), the Advanced Solutions Group ("ASG") and the Intelligent Sensing Group ("ISG"). The accompanying unaudited financial statements as of and for the quarter ended April 1, 2022 have been prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP"). Accordingly, the unaudited financial statements do not include all of the information and footnotes required by GAAP for audited financial statements. The balance sheet as of December 31, 2021 was derived from the Company's audited financial statements, but does not include all disclosures required by GAAP for audited financial statements. In the opinion of the Company's management, the interim information includes all adjustments, which include normal recurring adjustments, necessary for a fair statement of the results for the interim periods. The footnote disclosures related to the interim financial information included herein are also unaudited. Such financial information should be read in conjunction with the consolidated financial statements and related notes thereto for the year ended December 31, 2021 included in the Company's Annual Report on Form 10-K for the year ended December 31, 2021, which was filed with the SEC on February 14, 2022 (the "2021 Form 10-K"). Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities at the date of the financial statements and the reported amount of revenue and expenses during the reporting period. Management evaluates these estimates and judgments on an ongoing basis and bases its estimates on experience, current and expected future conditions, third-party evaluations and various other assumptions that management believes are reasonable under the circumstances. Significant estimates have been used by management in conjunction with the following: (i) future payouts for customer incentives and amounts subject to allowances and returns; (ii) valuation and obsolescence relating to inventories; and (iii) measurement of valuation allowances against deferred tax assets and evaluations of uncertain tax positions. Additionally, during periods where it becomes applicable, significant estimates will be used by management in determining the future cash flows used to assess and test for impairment of long-lived assets and goodwill and in assumptions used in connection with business combinations. Actual results may differ from the estimates and assumptions used in the consolidated financial statements. |
Revenue and Segment Information
Revenue and Segment Information | 3 Months Ended |
Apr. 01, 2022 | |
Segment Reporting [Abstract] | |
Revenue and Segment Information | Note 2: Revenue and Segment Information The Company is organized into three operating and reportable segments consisting of PSG, ASG and ISG. These segments represent the Company’s view of the business, and its gross profit is used to evaluate the performance of the Company’s segments, the progress of major initiatives and the allocation of resources. Gross profit is exclusive of the amortization of acquisition-related intangible assets. During the quarter ended April 1, 2022, the Company received capacity payments and deposits of $5.5 million, which was recorded as a contract liability, of which an immaterial amount was recognized as revenue for satisfying the associated performance obligations. The remaining balances amounting to $27.6 million and $28.9 million were recorded as current liabilities and other long-term liabilities, respectively. Contract assets were immaterial as of April 1, 2022. There were no corresponding amounts for the quarter ended April 2, 2021. A significant portion of the Company’s orders are firm commitments that are non-cancellable, including certain orders or contracts with a duration of less than one year. Certain of the Company's customer contracts are multi-year agreements that include firmly committed amounts for which the remaining performance obligations as of April 1, 2022 were approximately $8.6 billion (excluding the remaining performance obligations for contracts having a duration of one year or less). The Company expects to recognize approximately 30% of this amount as revenue during the next twelve months upon shipment of products under these contracts. Total sales estimates are based on negotiated contract prices and demand quantities, and could be influenced by manufacturing and supply chain constraints, among other things. Accordingly, the amount represented by remaining performance obligations may not be indicative of the actual revenue recognized for future periods. Revenue and gross profit for the Company’s operating and reportable segments are as follows (in millions): PSG ASG ISG Total For the quarter ended April 1, 2022: Revenue from external customers $ 986.7 $ 689.3 $ 269.0 $ 1,945.0 Gross profit $ 474.7 $ 366.7 $ 119.9 $ 961.3 For the quarter ended April 2, 2021: Revenue from external customers $ 747.0 $ 531.5 $ 203.2 $ 1,481.7 Gross profit $ 246.5 $ 206.8 $ 67.9 $ 521.2 The Company had one customer, a distributor, whose revenue accounted for approximately 12.4% a nd 10.6% of the Company's total revenue for the quarters ended April 1, 2022 and April 2, 2021, respectively. Revenue for the Company's operating and reportable segments disaggregated into geographic locations based on sales billed from the respective country and sales channels are as follows (in millions): Quarter Ended April 1, 2022 PSG ASG ISG Total Geographic Location Singapore $ 280.5 $ 233.8 $ 41.4 $ 555.7 Hong Kong 303.1 173.9 52.6 529.6 United Kingdom 186.9 106.6 52.0 345.5 United States 144.9 92.3 74.5 311.7 Other 71.3 82.7 48.5 202.5 Total $ 986.7 $ 689.3 $ 269.0 $ 1,945.0 Sales Channel Distributors $ 633.9 $ 356.9 $ 150.6 $ 1,141.4 Direct Customers 352.8 332.4 118.4 803.6 Total $ 986.7 $ 689.3 $ 269.0 $ 1,945.0 Quarter Ended April 2, 2021 PSG ASG ISG Total Geographic Location Singapore $ 274.5 $ 201.7 $ 32.8 $ 509.0 Hong Kong 196.1 100.5 45.6 342.2 United Kingdom 142.7 82.6 43.6 268.9 United States 75.3 70.2 38.8 184.3 Other 58.4 76.5 42.4 177.3 Total $ 747.0 $ 531.5 $ 203.2 $ 1,481.7 Sales Channel Distributors $ 523.9 $ 288.9 $ 121.2 $ 934.0 Direct Customers 223.1 242.6 82.0 547.7 Total $ 747.0 $ 531.5 $ 203.2 $ 1,481.7 The Company operates in various geographic locations. Sales to external customers have little correlation with the location of manufacturers. It is, therefore, not meaningful to present operating profit by geographical location. The Company does not discretely allocate assets to its operating segments, nor does management evaluate operating segments using discrete asset information. The Company’s consolidated assets are not specifically ascribed to its individual reportable segments. Rather, assets used in operations are generally shared across the Company’s operating and reportable segments. Property, plant and equipment, net by geographic location, is summarized as follows (in millions): As of April 1, 2022 December 31, 2021 United States $ 752.4 $ 767.1 South Korea 573.0 492.8 Philippines 330.7 342.4 Czech Republic 220.7 214.2 China 214.0 216.8 Japan 188.1 198.6 Malaysia 172.8 175.3 Other 107.7 117.1 Total $ 2,559.4 $ 2,524.3 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 3 Months Ended |
Apr. 01, 2022 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Note 3: Recent Accounting Pronouncements Adopted: ASU 2020-06 - Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity ( " ASU 2020-06 " ) In August 2020, the FASB issued ASU 2020-06, which simplifies the guidance on the issuer’s accounting for convertible debt instruments by removing the separation models for (1) convertible debt with a cash conversion feature and (2) convertible instruments with a beneficial conversion feature. Also, ASU 2020-06 requires the application of the if-converted method for the purpose of calculating diluted earnings per share, and the treasury stock method will be no longer available for instruments that fall under this category. The Company adopted ASU 2020-06 as of January 1, 2022 using the modified retrospective method, and recorded adjustments to reduce additional paid-in capital by $129.1 million and increase opening retained earnings by $27.1 million to reflect the cumulative effect of the adoption. See Note 7: ''Long-Term Debt'' for further information. Pending adoption: ASU 2021-10 - Government Assistance (Topic 832) - Disclosures by Business Entities about Government Assistance ("ASU 2021-10") In November 2021, the FASB issued ASU 2021-10, which requires business entities to make annual disclosures about the nature of the certain government assistance received and the related accounting policy used to account for such assistance along with certain other disclosures related to the transactions. If an entity omits any required disclosures because it is legally prohibited, it must disclose that fact. ASU 2021-10 will be applicable to the 2022 annual financial statements, and the Company is currently evaluating the applicable disclosures. |
Acquisition and Divestitures
Acquisition and Divestitures | 3 Months Ended |
Apr. 01, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisition and Divestitures | Note 4: Acquisition and Divestitures Acquisition: The Company finalized its determination relating to the fair value of assets acquired and liabilities assumed from GTAT. The final allocation of purchase price, which did not change from the preliminary allocation disclosed in the 2021 Form 10-K is as follows (in millions): Purchase Price Allocation Cash and cash equivalents $ 8.2 Inventory and other current assets 10.0 Property, plant and equipment 31.9 Goodwill 274.8 Intangible assets - Developed Technology 130.0 Deferred tax assets 13.4 Other non-current assets 7.4 Total assets acquired 475.7 Current liabilities 5.8 Other long-term liabilities 35.0 Total liabilities assumed 40.8 Net assets acquired/purchase price $ 434.9 All assumptions and disclosures remained unchanged from the amounts included in the 2021 Form 10-K. Divestitures: Belgium fab In February 2022, the Company divested its Oudenaarde, Belgium site to BelGaN Group BV, which primarily included the assets, liabilities and relevant employee group related to the six-inch front-end wafer manufacturing facility for an aggregate consideration of $19.9 million and recognized a nominal gain after offsetting the carrying values of the assets disposed and liabilities transferred. South Portland, Maine fab |
Restructuring, Asset Impairment
Restructuring, Asset Impairments and Other, Net | 3 Months Ended |
Apr. 01, 2022 | |
Restructuring Charges [Abstract] | |
Restructuring, Asset Impairments and Other, Net | Note 5: Restructuring, Asset Impairments and Other, Net Details of restructuring, asset impairments and other charges, net are as follows (in millions): Restructuring Asset Impairments Other Total Quarter ended April 1, 2022 Other $ (0.5) $ 4.0 $ (16.5) $ (13.0) Total $ (0.5) $ 4.0 $ (16.5) $ (13.0) A summary of changes in accrued restructuring balance is as follows (in millions): As of As of December 31, 2021 Charges Usage April 1, 2022 Employee separation charges $ 10.8 $ (0.5) $ (4.8) $ 5.5 Total $ 10.8 $ (0.5) $ (4.8) $ 5.5 The Other category primarily includes the gain from the sale of an office building. There were no new restructuring programs implemented and the activity during the quarter ended April 1, 2022 represented payments to employees whose employments were terminated during 2021. |
Balance Sheet Information and O
Balance Sheet Information and Other | 3 Months Ended |
Apr. 01, 2022 | |
Balance Sheet Related Disclosures [Abstract] | |
Balance Sheet Information and Other | Note 6: Balance Sheet Information and Other Goodwill There was an insignificant change in the balance of goodwill from December 31, 2021 to April 1, 2022 relating to the divestiture of a business. Goodwill is tested for impairment annually on the first day of the fourth quarter or more frequently if events or changes in circumstances (each, a "triggering event") would more likely than not reduce the carrying value of goodwill below its fair value. Management did not identify any triggering events during the quarter ended April 1, 2022 that would require an interim impairment analysis. Inventory Details of Inventory included in the Company’s Consolidated Balance Sheets are as follows (in millions): As of April 1, 2022 December 31, 2021 Inventories: Raw materials $ 193.5 $ 174.2 Work in process 971.5 888.9 Finished goods 331.0 316.4 $ 1,496.0 $ 1,379.5 Other current assets Assets classified as held-for-sale, consisting of properties and certain other assets, are required to be recorded at the lower of carrying value or fair value less costs to sell. Fixed assets of approximately $70 million have been classified as held-for-sale within other current assets as of April 1, 2022. Defined Benefit Plans The Company recognizes the aggregate amount of all over-funded plans as assets and the aggregate amount of all underfunded plans as liabilities in its financial statements. As of April 1, 2022, the net assets for the over-funded plans totaled $14.3 million. The total accrued pension liability for underfunded plans was $112.6 million, of which the current portion of $0.2 million was classified as accrued expenses and other current liabilities. As of December 31, 2021, the net funded status for all the plans was a liability of $103.9 million, of which the current portion of $0.2 million was classified as accrued expenses and other current liabilities. The components of the net periodic pension expense were as follows (in millions): Quarters Ended April 1, 2022 April 2, 2021 Service cost $ 2.2 $ 3.1 Interest cost 1.1 1.1 Expected return on plan assets (1.2) (1.7) Curtailment loss — 1.9 Total net periodic pension cost $ 2.1 $ 4.4 Leases Operating lease arrangements are comprised primarily of real estate and equipment agreements. The components of lease expense were as follows (in millions): Quarters Ended April 1, 2022 April 2, 2021 Operating lease $ 11.2 $ 9.9 Variable lease 1.6 1.0 Short-term lease 0.4 0.7 Total lease expense $ 13.2 $ 11.6 The lease liabilities recognized in the Consolidated Balance Sheets are as follows (in millions): As of April 1, 2022 December 31, 2021 Operating lease liabilities included in: Accrued expenses and other current liabilities $ 35.1 $ 32.5 Other long-term liabilities 137.9 142.4 Total $ 173.0 $ 174.9 Operating ROU assets included in: Other assets $ 169.7 $ 170.1 Financing lease liabilities included in: Accrued expenses and other current liabilities $ 12.7 $ 12.7 Other long-term liabilities 10.2 10.2 Total $ 22.9 $ 22.9 Financing ROU assets included in: Other assets $ 21.9 $ 22.3 As of April 1, 2022, the weighted-average remaining lease-terms were 8.3 years and 19.8 years and the weighted-average discount rates were 4.2% and 6.0% for operating and financing leases, respectively. Supplemental Disclosure of Cash Flow Information Certain of the Company's cash and non-cash activities were as follows (in millions): Quarters Ended April 1, 2022 April 2, 2021 Non-cash investing activities: Capital expenditures in accounts payable and other long-term liabilities $ 225.4 $ 180.9 Operating ROU assets obtained in exchange of lease liabilities 10.7 7.1 Cash paid for: Interest expense $ 24.0 $ 31.4 Income taxes 15.7 20.9 Operating lease payments in operating cash flows 11.0 10.3 Reconciliation of the captions in the Consolidated Balance Sheets to the Consolidated Statements of Cash Flows (in millions) As of April 1, 2022 December 31, 2021 April 2, 2021 December 31, 2020 Consolidated Balance Sheets: Cash and cash equivalents $ 1,645.1 $ 1,352.6 $ 1,042.5 $ 1,080.7 Restricted cash (included in other current assets) 18.8 20.1 1.4 0.8 Restricted cash (included in other non-current assets) 5.0 5.0 — — Cash, cash equivalents and restricted cash in Consolidated Statements of Cash Flows $ 1,668.9 $ 1,377.7 $ 1,043.9 $ 1,081.5 As of April 1, 2022, $15.0 million of the restricted cash balance was held in escrow relating to the acquisition of GTAT and will be released to the former stockholders of GTAT upon satisfaction of certain outstanding items contained in the acquisition agreement. |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Apr. 01, 2022 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Note 7: Long-Term Debt The Company's long-term debt consists of the following (annualized interest rates, dollars in millions): As of April 1, 2022 December 31, 2021 Amended Credit Agreement: Term Loan "B" Facility due 2026, interest payable monthly at 2.46% and 2.10%, respectively 1,594.1 1,598.2 0% Notes due 2027 805.0 805.0 3.875% Notes due 2028 (1) 700.0 700.0 1.625% Notes due 2023 (2) 155.1 155.1 Gross long-term debt, including current maturities $ 3,254.2 $ 3,258.3 Less: Debt discount (3) (12.6) (149.0) Less: Debt issuance costs (4) (35.8) (34.7) Net long-term debt, including current maturities $ 3,205.8 $ 3,074.6 Less: Current maturities (170.4) (160.7) Net long-term debt $ 3,035.4 $ 2,913.9 (1) Interest is payable on March 1 and September 1 of each year at 3.875% annually. (2) Interest is payable on April 15 and October 15 of each year at 1.625% annually. (3) Debt discount of $7.2 million and $7.5 million for the Term Loan "B" Facility and $5.4 million and $5.8 million for the 3.875% Notes, in each case as of April 1, 2022 and December 31, 2021, respectively. Debt discount of $126.1 million for the 0% Notes and $9.6 million for the 1.625% Notes, in each case as of December 31, 2021. No debt discount as of April 1, 2022 for 0% Notes and 1.625% Notes due to the adoption of ASU 2020-06. (4) Debt issuance costs of $16.8 million and $17.7 million for the Term Loan "B" Facility, $16.3 million and $14.1 million for the 0% Notes, $1.9 million and $2.0 million for the 3.875% Notes and $0.8 million and $0.9 million for the 1.625% Notes, in each case as of April 1, 2022 and December 31, 2021, respectively. Expected maturities of gross long-term debt (including current portion - see section regarding 1.625% Notes below) as of April 1, 2022 were as follows (in millions): Period Expected Maturities Remainder of 2022 $ 167.4 2023 16.3 2024 16.3 2025 16.3 2026 1,532.9 Thereafter 1,505.0 Total $ 3,254.2 The Company was in compliance with its covenants under all debt agreements as of April 1, 2022. Adoption of ASU 2020-06 As described in Note 3: Recent Accounting Pronouncements, the Company adopted ASU 2020-06 using a modified retrospective method and reduced additional paid-in capital by $129.1 million and increased opening retained earnings by $27.1 million to reflect the cumulative effect of adoption as of January 1, 2022. The application of the if-converted method to determine the net income for diluted earnings and diluted weighted-average shares of common stock outstanding did not have a meaningful impact on the diluted net income per share of common stock under the treasury stock method previously applied. 1.625% Notes due 2023 The remaining outstanding principal amount of the 1.625% Notes, amounting to $155.1 million, net of unamortized issuance costs continues to be classified as a current portion of long-term debt as of April 1, 2022. Pursuant to the indenture governing the 1.625% Notes, because the last reported sale price of the Company’s common stock for at least 20 trading days during the period of 30 consecutive trading days ending on March 31, 2022 was greater than or equal to $26.94 (130% of the conversion price) on each applicable trading day, the holders have the right to surrender any portion of their 1.625% Notes (in minimum denominations of $1,000 in principal amount or an integral multiple thereof) for conversion during the calendar quarter ending June 30, 2022, and only during such calendar quarter. |
Earnings Per Share and Equity
Earnings Per Share and Equity | 3 Months Ended |
Apr. 01, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share and Equity | Note 8: Earnings Per Share and Equity Earnings Per Share Net income per share of common stock for calculating basic and diluted earnings per share is calculated as follows (in millions, except per share data): Quarters Ended April 1, 2022 April 2, 2021 Net income for basic earnings per share of common stock $ 530.2 $ 89.9 Add: Interest on 1.625% Notes 0.5 — Net income for diluted earnings per share of common stock $ 530.7 $ 89.9 Basic weighted-average shares of common stock outstanding 433.3 413.4 Dilutive effect of share-based awards 2.4 2.7 Dilutive effect of convertible notes and warrants 13.2 29.3 Diluted weighted-average shares of common stock outstanding 448.9 445.4 Net income per share of common stock: Basic $ 1.22 $ 0.22 Diluted $ 1.18 $ 0.20 Basic income per share of common stock is computed by dividing net income for basic earnings by the weighted-average number of shares of common stock outstanding during the period. To calculate the diluted weighted-average shares of common stock outstanding, treasury stock method has been applied to calculate the number of incremental shares from the assumed issuance of shares relating to RSUs. The excluded number of anti-dilutive share-based awards was approximately 0.2 million and 0.7 million for the quarters ended April 1, 2022 and April 2, 2021, respectively. The dilutive impacts related to the 0% Notes and 1.625% Notes have been calculated using the if-converted method. While the 0% Notes are repayable in cash up to the par value and in cash or shares of common stock for the excess over par value, the 1.625% Notes are repayable in cash or shares of common stock for their entire value. Prior to conversion, the convertible note hedges are not considered for purposes of the earnings per share calculations, as their effect would be anti-dilutive. Upon conversion, the convertible note hedges are expected to offset the dilutive effect of the 0% Notes and 1.625% Notes when the stock price is above $52.97 and $20.72 per share, respectively. The dilutive impact of the warrants issued concurrently with the issuance of the 0% Notes and 1.625% Notes with exercise prices of $74.34 and $30.70, respectively, has been included in the calculation of diluted weighted-average common shares outstanding, if applicable. Equity Share Repurchase Program Under the Company's share repurchase program announced on November 15, 2018 (the "Share Repurchase Program"), the Company may repurchase up to $1.5 billion (exclusive of fees, commissions and other expenses) of the Company's common stock from December 1, 2018 through December 31, 2022. There were no repurchases during the quarters ended April 1, 2022 and April 2, 2021 under the Share Repurchase Program. As of April 1, 2022, the authorized amount remaining under the Share Repurchase Program was $1,295.8 million. Shares for Restricted Stock Units Tax Withholding The amounts remitted for employee withholding taxes during the quarters ended April 1, 2022 and April 2, 2021 were $58.8 million and $28.5 million, respectively, for which the Company withheld approximately 1.0 million and 0.7 million shares of common stock, respectively, that were underlying the RSUs that vested. None of these shares had been reissued or retired as of April 1, 2022, but may be reissued or retired in the future. These deemed repurchases in connection with tax withholding upon vesting were not made under the Share Repurchase Program, and the amounts spent in connection with such deemed repurchases did not reduce the authorized amount remaining under the Share Repurchase Program. Non-Controlling Interest in Leshan-Phoenix Semiconductor Company Limited (“Leshan”) The results of Leshan have been consolidated in the Company's financial statements. As of December 31, 2021, the non-controlling interest balance was $19.0 million and, along with the $0.8 million share of the earnings for the quarter ended April 1, 2022, increased to $19.8 million as of April 1, 2022. |
Share-Based Compensation
Share-Based Compensation | 3 Months Ended |
Apr. 01, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Share-Based Compensation | Note 9: Share-Based Compensation Total share-based compensation expense related to the Company's RSUs, stock grant awards and the ESPP was recorded within the Consolidated Statements of Operations and Comprehensive Income as follows (in millions): Quarters Ended April 1, 2022 April 2, 2021 Cost of revenue $ 2.6 $ 3.3 Research and development 4.4 5.7 Selling and marketing 3.8 4.3 General and administrative 11.7 9.0 Share-based compensation expense $ 22.5 $ 22.3 Income tax benefit (4.7) (4.7) Share-based compensation expense, net of taxes $ 17.8 $ 17.6 As of April 1, 2022, total unrecognized expected share-based compensation expense, net of estimated forfeitures, related to non-vested RSUs with service, performance and market conditions was $157.6 million, which is expected to be recognized over a weighted-average period of 1.8 years. Upon vesting of RSUs, stock grant awards or completion of a purchase under the ESPP, the Company issues new shares of common stock. The annualized pre-vesting forfeiture rate for RSUs was estimated to be 6% for the quarter ended April 1, 2022 and 5% for the quarter ended April 2, 2021. Shares Available As of April 1, 2022 and December 31, 2021, there was an aggregate o f 39.9 million and 42.2 million s hares of common stock, respectively, available for grant under the Amended and Restated SIP. Restricted Stock Units RSUs generally vest ratably over three years for awards with service conditions and over two Number of Shares Weighted-Average Grant Date Fair Value Per Share Non-vested RSUs at December 31, 2021 6.2 $ 28.60 Granted 1.5 60.66 Achieved 0.2 41.35 Released (2.9) 25.19 Forfeited (0.2) 32.66 Non-vested RSUs at April 1, 2022 4.8 40.83 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Apr. 01, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 10: Commitments and Contingencies Environmental Contingencies There are no new material environmental contingencies subsequent to the filing of the 2021 Form 10-K. Financing Contingencies In the ordinary course of business, the Company provides standby letters of credit or other guarantee instruments to certain parties initiated by either the Company or its subsidiaries, as required for transactions, including, but not limited to, material purchase commitments, agreements to mitigate collection risk, leases, utilities or customs guarantees. As of April 1, 2022, the Company's Revolving Credit Facility included $15.0 million available for the issuance of letters of credit. There were $0.9 million in letters of credit outstanding under the Revolving Credit Facility as of April 1, 2022, which reduced the Company's borrowing capacity. As of April 1, 2022, the Company also had outstanding guarantees and letters of credit outside of its Revolving Credit Facility totaling $13.4 million. As part of obtaining financing in the ordinary course of business, the Company issued guarantees related to certain of its subsidiaries, which totaled $0.9 million as of April 1, 2022. Based on historical experience and information currently available, the Company believes that it will not be required to make payments under the standby letters of credit or guarantee arrangements for the foreseeable future. Indemnification Contingencies There are no new material indemnification contingencies subsequent to the filing of the 2021 Form 10-K. Legal Matters The Company is currently involved in a variety of legal matters that arise in the ordinary course of business. Based on information currently available, the Company is not involved in any pending or threatened legal proceedings that it believes could reasonably be expected to have a material adverse effect on its financial condition, results of operations or liquidity. The litigation process is inherently uncertain, and the Company cannot guarantee that the outcome of any litigation matter will be favorable to the Company. Intellectual Property Matters The Company faces risk of exposure from claims of infringement of the IP rights of others. In the ordinary course of business, the Company receives letters asserting that the Company’s products or components breach another party’s rights. Such letters may request royalty payments from the Company, that the Company cease and desist using certain IP or other remedies. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Apr. 01, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 11: Fair Value Measurements Fair Value of Financial Instruments The Company invests portions of its excess cash in different marketable securities, which are classified as available-for-sale. The following table summarizes the Company's financial assets and liabilities, excluding pension assets, disaggregated by the security type, measured at fair value on a recurring basis (in millions): As of April 1, 2022 Fair Value Level Description Amortized Cost Unrealized gains Unrealized losses Fair value Level 1 Level 2 Level 3 Assets: Cash and cash equivalents: Demand and time deposits $ 19.6 $ — $ — $ 19.6 $ 19.6 $ — $ — Money market funds 0.7 — — 0.7 0.7 — — Other current assets: Corporate bonds $ 22.3 $ — $ — $ 22.3 $ — $ 22.3 $ — Certificate of deposit 3.0 — — 3.0 — 3.0 — Commercial paper 6.8 — — 6.8 3.8 3.0 — US Treasury bonds 0.7 — — 0.7 — 0.7 — Other assets: Corporate bonds $ 14.2 $ — $ — $ 14.2 $ — $ 14.2 $ — US Treasury bonds 1.2 — — 1.2 — 1.2 — The investments included in other assets have maturity dates ranging between one As of December 31, 2021 Fair Value Level Description Amortized Cost Unrealized gains Unrealized losses Fair value Level 1 Level 2 Level 3 Assets: Cash and cash equivalents: Demand and time deposits $ 19.5 $ — $ — $ 19.5 $ 19.5 $ — $ — Money market funds 0.7 — — 0.7 0.7 — — Corporate bonds 1.6 — — 1.6 — 1.6 — Commercial paper 2.0 — — 2.0 — 2.0 — Other current assets: Corporate bonds $ 16.0 $ — $ — $ 16.0 $ — $ 16.0 $ — Certificate of deposit 1.9 — — 1.9 — 1.9 — Commercial paper 5.0 — — 5.0 3.0 2.0 — US Treasury bonds 0.4 — — 0.4 — 0.4 — Other assets: Corporate bonds $ 19.7 $ — $ — $ 19.7 $ — $ 19.7 $ — US Treasury bonds 1.6 — — 1.6 — 1.6 — Other The carrying amounts of other current assets and liabilities, such as accounts receivable and accounts payable, approximate fair value based on the short-term nature of these instruments. Fair Value of Long-Term Debt, including Current Portion The carrying amounts and fair values of the Company’s long-term borrowings were as follows (in millions): As of April 1, 2022 December 31, 2021 Carrying Fair Value Carrying Fair Value Long-term debt, including current portion (1) 0% Notes $ 788.7 $ 1,077.7 $ 664.8 $ 1,183.1 1.625% Notes 154.3 474.0 144.6 513.6 Other long-term debt 2,262.7 2,137.8 2,265.2 2,245.5 (1) Carrying amounts shown are net of debt discount, if applicable, and debt issuance costs. The fair values of the 3.875% Notes, 1.625% Notes and 0% Notes were estimated based on market prices in active markets (Level 1). The fair value of the Term Loan "B" Facility was estimated based on discounting the remaining principal and interest payments using current market rates for similar debt (Level 2). |
Financial Instruments
Financial Instruments | 3 Months Ended |
Apr. 01, 2022 | |
Investments, All Other Investments [Abstract] | |
Financial Instruments | Note 12: Financial Instruments Foreign Currencies As a multinational business, the Company engages in transactions that are denominated in a variety of currencies. When appropriate, the Company uses forward foreign currency contracts to reduce its overall exposure to the effects of currency fluctuations on its results of operations and cash flows. The Company’s policy prohibits trading in currencies for which there are no underlying exposures and entering into trades for any currency to intentionally increase the underlying exposure. The Company primarily hedges existing assets and liabilities associated with transactions currently on its balance sheet, which are undesignated hedges for accounting purposes. As of April 1, 2022 and December 31, 2021, the Company had net outstanding foreign exchange contracts with notional amounts of $236.7 million and $288.3 million, respectively. Such contracts were obtained through financial institutions and were scheduled to mature within one The following summarizes the Company’s net foreign exchange positions in U.S. Dollars (in millions): As of April 1, 2022 December 31, 2021 Buy (Sell) Notional Amount Buy (Sell) Notional Amount Philippine Peso 56.9 56.9 67.1 67.1 Japanese Yen 51.0 51.0 33.2 33.2 Korean Won 38.9 38.9 44.1 44.1 Czech Koruna 24.7 24.7 15.0 15.0 Euro 12.9 12.9 65.9 65.9 Other Currencies - Buy 46.6 46.6 58.7 58.7 Other Currencies - Sell (5.7) 5.7 (4.3) 4.3 $ 225.3 $ 236.7 $ 279.7 $ 288.3 Amounts receivable or payable under the contracts are included in other current assets or accrued expenses and other current liabilities in the accompanying Consolidated Balance Sheets. During the quarters ended April 1, 2022 and April 2, 2021, realized and unrealized foreign currency transactions totaled a gain of $1.9 million and a gain of $4.0 million, respectively. The realized and unrealized foreign currency transactions are included in other income (expense) in the Company's Consolidated Statements of Operations and Comprehensive Income. Cash Flow Hedges All derivatives are recognized on the Company’s Consolidated Balance Sheets at their fair value and classified based on the applicable instrument's maturity date. Foreign Currency Risk The purpose of the foreign currency hedging activities is to protect the Company from the risk that the eventual cash flows resulting from transactions in foreign currencies will be adversely affected by changes in exchange rates. The Company enters into forward contracts that are designated as a foreign currency cash flow hedge of a forecasted payment denominated in a currency other than U.S. Dollars. For the quarters ended April 1, 2022 and April 2, 2021, the Company did not have outstanding derivatives for its foreign currency exposure designated as cash flow hedges. Interest Rate Risk The Company uses interest rate swap contracts to mitigate its exposure to interest rate fluctuations. During the quarter ended April 1, 2022, the Company had interest rate swap agreements for notional amounts totaling $750.0 million. The Company did not identify any ineffectiveness with respect to the notional amounts of the interest rate swap contracts outstanding as of April 1, 2022 and April 2, 2021. Other As of April 1, 2022, the Company had no outstanding commodity derivatives, currency swaps or options relating to either its debt instruments or investments. The Company does not hedge the value of its equity investments in its subsidiaries or affiliated companies. The Company is exposed to credit-related losses if counterparties to hedge contracts fail to perform their obligations. As of April 1, 2022, the counterparties to the Company’s hedge contracts were held at financial institutions that the Company believes to be highly-rated, and no credit-related losses are anticipated. |
Income Taxes
Income Taxes | 3 Months Ended |
Apr. 01, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 13: Income Taxes The Company recognizes interest and penalties related to uncertain tax positions in tax expense on the Company's Consolidated Statements of Operations and Comprehensive Income. The Company had approximately $1.5 million and $3.0 million of net interest and penalties accrued as of April 1, 2022 and April 2, 2021, respectively. It is reasonably possible that $64.2 million of its uncertain tax positions will be reduced in the next 12 months due to settlement with tax authorities or expiration of the applicable statute of limitations. The Company maintains a partial valuation allowance on its U.S. state deferred tax assets and a valuation allowance on foreign net operating losses and tax credits in certain foreign jurisdictions, a substantial portion of which relate to Japan and Hong Kong net operating losses, which are projected to expire prior to utilization. The Company is currently under IRS examination for the 2017 tax year. Tax years prior to 2017 are generally not subject to examination by the IRS. For state tax returns, the Company is generally not subject to income tax examinations for tax years prior to 2017. The Company is also subject to routine examinations by various foreign tax jurisdictions in which it operates. With respect to jurisdictions outside the United States, the Company is generally not subject to examination for tax years prior to 2011. The Company believes that adequate provisions have been made for any adjustments that may result from tax examinations. However, the outcome of tax audits cannot be predicted with certainty. If any issues addressed in the Company’s tax audits are resolved in a manner not consistent with the Company's expectations, the Company could be required to adjust its provision for income taxes in the period such resolution occurs. |
Changes in Accumulated Other Co
Changes in Accumulated Other Comprehensive Loss | 3 Months Ended |
Apr. 01, 2022 | |
Equity [Abstract] | |
Changes in Accumulated Other Comprehensive Loss | Note 14: Changes in Accumulated Other Comprehensive Loss Amounts comprising the Company's accumulated other comprehensive loss and reclassifications are as follows (in millions): Currency Translation Adjustments Effects of Cash Flow Hedges and Other Adjustments Total Balance as of December 31, 2021 $ (44.4) $ 3.8 $ (40.6) Other comprehensive income (loss) prior to reclassifications (2.4) 17.3 14.9 Amounts reclassified from accumulated other comprehensive loss — (0.7) (0.7) Net current period other comprehensive income (loss) (1) (2.4) 16.6 14.2 Balance as of April 1, 2022 $ (46.8) $ 20.4 $ (26.4) (1) Effects of cash flow hedges are net of tax expense of $5.1 million for the quarter ended April 1, 2022. Amounts reclassified from accumulated other comprehensive loss to the specific caption within Consolidated Statements of Operations and Comprehensive Income were as follows: Quarters Ended April 1, 2022 April 2, 2021 To caption Interest rate swaps $ 0.7 $ 4.6 Interest expense Total reclassifications $ 0.7 $ 4.6 |
Background and Basis of Prese_2
Background and Basis of Presentation (Policies) | 3 Months Ended |
Apr. 01, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Use of Estimates | Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities at the date of the financial statements and the reported amount of revenue and expenses during the reporting period. Management evaluates these estimates and judgments on an ongoing basis and bases its estimates on experience, current and expected future conditions, third-party evaluations and various other assumptions that management believes are reasonable under the circumstances. Significant estimates have been used by management in conjunction with the following: (i) future payouts for customer incentives and amounts subject to allowances and returns; (ii) valuation and obsolescence relating to inventories; and (iii) measurement of valuation allowances against deferred tax assets and evaluations of uncertain tax positions. Additionally, during periods where it becomes applicable, significant estimates will be used by management in determining the future cash flows used to assess and test for impairment of long-lived assets and goodwill and in assumptions used in connection with business combinations. Actual results may differ from the estimates and assumptions used in the consolidated financial statements. |
Recent Accounting Pronouncements | ASU 2020-06 - Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity ( " ASU 2020-06 " ) In August 2020, the FASB issued ASU 2020-06, which simplifies the guidance on the issuer’s accounting for convertible debt instruments by removing the separation models for (1) convertible debt with a cash conversion feature and (2) convertible instruments with a beneficial conversion feature. Also, ASU 2020-06 requires the application of the if-converted method for the purpose of calculating diluted earnings per share, and the treasury stock method will be no longer available for instruments that fall under this category. The Company adopted ASU 2020-06 as of January 1, 2022 using the modified retrospective method, and recorded adjustments to reduce additional paid-in capital by $129.1 million and increase opening retained earnings by $27.1 million to reflect the cumulative effect of the adoption. See Note 7: ''Long-Term Debt'' for further information. Pending adoption: ASU 2021-10 - Government Assistance (Topic 832) - Disclosures by Business Entities about Government Assistance ("ASU 2021-10") In November 2021, the FASB issued ASU 2021-10, which requires business entities to make annual disclosures about the nature of the certain government assistance received and the related accounting policy used to account for such assistance along with certain other disclosures related to the transactions. If an entity omits any required disclosures because it is legally prohibited, it must disclose that fact. ASU 2021-10 will be applicable to the 2022 annual financial statements, and the Company is currently evaluating the applicable disclosures. |
Revenue and Segment Informati_2
Revenue and Segment Information (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Segment Reporting [Abstract] | |
Revenues and Gross Profit From Reportable Segments | Revenue and gross profit for the Company’s operating and reportable segments are as follows (in millions): PSG ASG ISG Total For the quarter ended April 1, 2022: Revenue from external customers $ 986.7 $ 689.3 $ 269.0 $ 1,945.0 Gross profit $ 474.7 $ 366.7 $ 119.9 $ 961.3 For the quarter ended April 2, 2021: Revenue from external customers $ 747.0 $ 531.5 $ 203.2 $ 1,481.7 Gross profit $ 246.5 $ 206.8 $ 67.9 $ 521.2 |
Disaggregation of Revenue | Revenue for the Company's operating and reportable segments disaggregated into geographic locations based on sales billed from the respective country and sales channels are as follows (in millions): Quarter Ended April 1, 2022 PSG ASG ISG Total Geographic Location Singapore $ 280.5 $ 233.8 $ 41.4 $ 555.7 Hong Kong 303.1 173.9 52.6 529.6 United Kingdom 186.9 106.6 52.0 345.5 United States 144.9 92.3 74.5 311.7 Other 71.3 82.7 48.5 202.5 Total $ 986.7 $ 689.3 $ 269.0 $ 1,945.0 Sales Channel Distributors $ 633.9 $ 356.9 $ 150.6 $ 1,141.4 Direct Customers 352.8 332.4 118.4 803.6 Total $ 986.7 $ 689.3 $ 269.0 $ 1,945.0 Quarter Ended April 2, 2021 PSG ASG ISG Total Geographic Location Singapore $ 274.5 $ 201.7 $ 32.8 $ 509.0 Hong Kong 196.1 100.5 45.6 342.2 United Kingdom 142.7 82.6 43.6 268.9 United States 75.3 70.2 38.8 184.3 Other 58.4 76.5 42.4 177.3 Total $ 747.0 $ 531.5 $ 203.2 $ 1,481.7 Sales Channel Distributors $ 523.9 $ 288.9 $ 121.2 $ 934.0 Direct Customers 223.1 242.6 82.0 547.7 Total $ 747.0 $ 531.5 $ 203.2 $ 1,481.7 |
Summary of Property, Plant and Equipment by Geographic Location | Property, plant and equipment, net by geographic location, is summarized as follows (in millions): As of April 1, 2022 December 31, 2021 United States $ 752.4 $ 767.1 South Korea 573.0 492.8 Philippines 330.7 342.4 Czech Republic 220.7 214.2 China 214.0 216.8 Japan 188.1 198.6 Malaysia 172.8 175.3 Other 107.7 117.1 Total $ 2,559.4 $ 2,524.3 |
Acquisition and Divestitures -
Acquisition and Divestitures - (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Assets Acquired and Liabilities Assumed | The final allocation of purchase price, which did not change from the preliminary allocation disclosed in the 2021 Form 10-K is as follows (in millions): Purchase Price Allocation Cash and cash equivalents $ 8.2 Inventory and other current assets 10.0 Property, plant and equipment 31.9 Goodwill 274.8 Intangible assets - Developed Technology 130.0 Deferred tax assets 13.4 Other non-current assets 7.4 Total assets acquired 475.7 Current liabilities 5.8 Other long-term liabilities 35.0 Total liabilities assumed 40.8 Net assets acquired/purchase price $ 434.9 |
Restructuring, Asset Impairme_2
Restructuring, Asset Impairments and Other, Net - (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Restructuring Charges [Abstract] | |
Schedule of Activity Included in Restructuring, Asset Impairments, and Other, Net | Details of restructuring, asset impairments and other charges, net are as follows (in millions): Restructuring Asset Impairments Other Total Quarter ended April 1, 2022 Other $ (0.5) $ 4.0 $ (16.5) $ (13.0) Total $ (0.5) $ 4.0 $ (16.5) $ (13.0) |
Schedule of Changes in Accrued Restructuring Reserve | A summary of changes in accrued restructuring balance is as follows (in millions): As of As of December 31, 2021 Charges Usage April 1, 2022 Employee separation charges $ 10.8 $ (0.5) $ (4.8) $ 5.5 Total $ 10.8 $ (0.5) $ (4.8) $ 5.5 |
Balance Sheet Information and_2
Balance Sheet Information and Other - (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Balance Sheet Related Disclosures [Abstract] | |
Schedule of Inventory | Details of Inventory included in the Company’s Consolidated Balance Sheets are as follows (in millions): As of April 1, 2022 December 31, 2021 Inventories: Raw materials $ 193.5 $ 174.2 Work in process 971.5 888.9 Finished goods 331.0 316.4 $ 1,496.0 $ 1,379.5 |
Schedule of Net Periodic Pension Expense | The components of the net periodic pension expense were as follows (in millions): Quarters Ended April 1, 2022 April 2, 2021 Service cost $ 2.2 $ 3.1 Interest cost 1.1 1.1 Expected return on plan assets (1.2) (1.7) Curtailment loss — 1.9 Total net periodic pension cost $ 2.1 $ 4.4 |
Schedule of Components of Lease Expense | The components of lease expense were as follows (in millions): Quarters Ended April 1, 2022 April 2, 2021 Operating lease $ 11.2 $ 9.9 Variable lease 1.6 1.0 Short-term lease 0.4 0.7 Total lease expense $ 13.2 $ 11.6 The lease liabilities recognized in the Consolidated Balance Sheets are as follows (in millions): As of April 1, 2022 December 31, 2021 Operating lease liabilities included in: Accrued expenses and other current liabilities $ 35.1 $ 32.5 Other long-term liabilities 137.9 142.4 Total $ 173.0 $ 174.9 Operating ROU assets included in: Other assets $ 169.7 $ 170.1 Financing lease liabilities included in: Accrued expenses and other current liabilities $ 12.7 $ 12.7 Other long-term liabilities 10.2 10.2 Total $ 22.9 $ 22.9 Financing ROU assets included in: Other assets $ 21.9 $ 22.3 |
Schedule of Cash and Non-cash Activities | Certain of the Company's cash and non-cash activities were as follows (in millions): Quarters Ended April 1, 2022 April 2, 2021 Non-cash investing activities: Capital expenditures in accounts payable and other long-term liabilities $ 225.4 $ 180.9 Operating ROU assets obtained in exchange of lease liabilities 10.7 7.1 Cash paid for: Interest expense $ 24.0 $ 31.4 Income taxes 15.7 20.9 Operating lease payments in operating cash flows 11.0 10.3 |
Schedule of Cash and Cash Equivalents | Reconciliation of the captions in the Consolidated Balance Sheets to the Consolidated Statements of Cash Flows (in millions) As of April 1, 2022 December 31, 2021 April 2, 2021 December 31, 2020 Consolidated Balance Sheets: Cash and cash equivalents $ 1,645.1 $ 1,352.6 $ 1,042.5 $ 1,080.7 Restricted cash (included in other current assets) 18.8 20.1 1.4 0.8 Restricted cash (included in other non-current assets) 5.0 5.0 — — Cash, cash equivalents and restricted cash in Consolidated Statements of Cash Flows $ 1,668.9 $ 1,377.7 $ 1,043.9 $ 1,081.5 |
Schedule of Restrictions on Cash and Cash Equivalents | Reconciliation of the captions in the Consolidated Balance Sheets to the Consolidated Statements of Cash Flows (in millions) As of April 1, 2022 December 31, 2021 April 2, 2021 December 31, 2020 Consolidated Balance Sheets: Cash and cash equivalents $ 1,645.1 $ 1,352.6 $ 1,042.5 $ 1,080.7 Restricted cash (included in other current assets) 18.8 20.1 1.4 0.8 Restricted cash (included in other non-current assets) 5.0 5.0 — — Cash, cash equivalents and restricted cash in Consolidated Statements of Cash Flows $ 1,668.9 $ 1,377.7 $ 1,043.9 $ 1,081.5 |
Long-Term Debt - (Tables)
Long-Term Debt - (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | The Company's long-term debt consists of the following (annualized interest rates, dollars in millions): As of April 1, 2022 December 31, 2021 Amended Credit Agreement: Term Loan "B" Facility due 2026, interest payable monthly at 2.46% and 2.10%, respectively 1,594.1 1,598.2 0% Notes due 2027 805.0 805.0 3.875% Notes due 2028 (1) 700.0 700.0 1.625% Notes due 2023 (2) 155.1 155.1 Gross long-term debt, including current maturities $ 3,254.2 $ 3,258.3 Less: Debt discount (3) (12.6) (149.0) Less: Debt issuance costs (4) (35.8) (34.7) Net long-term debt, including current maturities $ 3,205.8 $ 3,074.6 Less: Current maturities (170.4) (160.7) Net long-term debt $ 3,035.4 $ 2,913.9 (1) Interest is payable on March 1 and September 1 of each year at 3.875% annually. (2) Interest is payable on April 15 and October 15 of each year at 1.625% annually. (3) Debt discount of $7.2 million and $7.5 million for the Term Loan "B" Facility and $5.4 million and $5.8 million for the 3.875% Notes, in each case as of April 1, 2022 and December 31, 2021, respectively. Debt discount of $126.1 million for the 0% Notes and $9.6 million for the 1.625% Notes, in each case as of December 31, 2021. No debt discount as of April 1, 2022 for 0% Notes and 1.625% Notes due to the adoption of ASU 2020-06. (4) Debt issuance costs of $16.8 million and $17.7 million for the Term Loan "B" Facility, $16.3 million and $14.1 million for the 0% Notes, $1.9 million and $2.0 million for the 3.875% Notes and $0.8 million and $0.9 million for the 1.625% Notes, in each case as of April 1, 2022 and December 31, 2021, respectively. |
Schedule of Annual Maturities Relating To Long-Term Debt | Expected maturities of gross long-term debt (including current portion - see section regarding 1.625% Notes below) as of April 1, 2022 were as follows (in millions): Period Expected Maturities Remainder of 2022 $ 167.4 2023 16.3 2024 16.3 2025 16.3 2026 1,532.9 Thereafter 1,505.0 Total $ 3,254.2 |
Earnings Per Share and Equity -
Earnings Per Share and Equity - (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Earnings Per Share [Abstract] | |
Summary of Earnings Per Share | Net income per share of common stock for calculating basic and diluted earnings per share is calculated as follows (in millions, except per share data): Quarters Ended April 1, 2022 April 2, 2021 Net income for basic earnings per share of common stock $ 530.2 $ 89.9 Add: Interest on 1.625% Notes 0.5 — Net income for diluted earnings per share of common stock $ 530.7 $ 89.9 Basic weighted-average shares of common stock outstanding 433.3 413.4 Dilutive effect of share-based awards 2.4 2.7 Dilutive effect of convertible notes and warrants 13.2 29.3 Diluted weighted-average shares of common stock outstanding 448.9 445.4 Net income per share of common stock: Basic $ 1.22 $ 0.22 Diluted $ 1.18 $ 0.20 |
Share-Based Compensation - (Tab
Share-Based Compensation - (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Summary Of Share-Based Compensation Expense | Total share-based compensation expense related to the Company's RSUs, stock grant awards and the ESPP was recorded within the Consolidated Statements of Operations and Comprehensive Income as follows (in millions): Quarters Ended April 1, 2022 April 2, 2021 Cost of revenue $ 2.6 $ 3.3 Research and development 4.4 5.7 Selling and marketing 3.8 4.3 General and administrative 11.7 9.0 Share-based compensation expense $ 22.5 $ 22.3 Income tax benefit (4.7) (4.7) Share-based compensation expense, net of taxes $ 17.8 $ 17.6 |
Summary Of Restricted Stock Units Transactions | A summary of the RSU transactions for the quarter ended April 1, 2022 is as follows (in millions, except per share data): Number of Shares Weighted-Average Grant Date Fair Value Per Share Non-vested RSUs at December 31, 2021 6.2 $ 28.60 Granted 1.5 60.66 Achieved 0.2 41.35 Released (2.9) 25.19 Forfeited (0.2) 32.66 Non-vested RSUs at April 1, 2022 4.8 40.83 |
Fair Value Measurements - (Tabl
Fair Value Measurements - (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary of Fair Value Available-for-sale Securities | The following table summarizes the Company's financial assets and liabilities, excluding pension assets, disaggregated by the security type, measured at fair value on a recurring basis (in millions): As of April 1, 2022 Fair Value Level Description Amortized Cost Unrealized gains Unrealized losses Fair value Level 1 Level 2 Level 3 Assets: Cash and cash equivalents: Demand and time deposits $ 19.6 $ — $ — $ 19.6 $ 19.6 $ — $ — Money market funds 0.7 — — 0.7 0.7 — — Other current assets: Corporate bonds $ 22.3 $ — $ — $ 22.3 $ — $ 22.3 $ — Certificate of deposit 3.0 — — 3.0 — 3.0 — Commercial paper 6.8 — — 6.8 3.8 3.0 — US Treasury bonds 0.7 — — 0.7 — 0.7 — Other assets: Corporate bonds $ 14.2 $ — $ — $ 14.2 $ — $ 14.2 $ — US Treasury bonds 1.2 — — 1.2 — 1.2 — The investments included in other assets have maturity dates ranging between one As of December 31, 2021 Fair Value Level Description Amortized Cost Unrealized gains Unrealized losses Fair value Level 1 Level 2 Level 3 Assets: Cash and cash equivalents: Demand and time deposits $ 19.5 $ — $ — $ 19.5 $ 19.5 $ — $ — Money market funds 0.7 — — 0.7 0.7 — — Corporate bonds 1.6 — — 1.6 — 1.6 — Commercial paper 2.0 — — 2.0 — 2.0 — Other current assets: Corporate bonds $ 16.0 $ — $ — $ 16.0 $ — $ 16.0 $ — Certificate of deposit 1.9 — — 1.9 — 1.9 — Commercial paper 5.0 — — 5.0 3.0 2.0 — US Treasury bonds 0.4 — — 0.4 — 0.4 — Other assets: Corporate bonds $ 19.7 $ — $ — $ 19.7 $ — $ 19.7 $ — US Treasury bonds 1.6 — — 1.6 — 1.6 — |
Summary of Fair Value, by Balance Sheet Grouping | The carrying amounts and fair values of the Company’s long-term borrowings were as follows (in millions): As of April 1, 2022 December 31, 2021 Carrying Fair Value Carrying Fair Value Long-term debt, including current portion (1) 0% Notes $ 788.7 $ 1,077.7 $ 664.8 $ 1,183.1 1.625% Notes 154.3 474.0 144.6 513.6 Other long-term debt 2,262.7 2,137.8 2,265.2 2,245.5 (1) Carrying amounts shown are net of debt discount, if applicable, and debt issuance costs. |
Financial Instruments - (Tables
Financial Instruments - (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Investments, All Other Investments [Abstract] | |
Schedule of Net Foreign Exchange Positions | The following summarizes the Company’s net foreign exchange positions in U.S. Dollars (in millions): As of April 1, 2022 December 31, 2021 Buy (Sell) Notional Amount Buy (Sell) Notional Amount Philippine Peso 56.9 56.9 67.1 67.1 Japanese Yen 51.0 51.0 33.2 33.2 Korean Won 38.9 38.9 44.1 44.1 Czech Koruna 24.7 24.7 15.0 15.0 Euro 12.9 12.9 65.9 65.9 Other Currencies - Buy 46.6 46.6 58.7 58.7 Other Currencies - Sell (5.7) 5.7 (4.3) 4.3 $ 225.3 $ 236.7 $ 279.7 $ 288.3 |
Changes in Accumulated Other _2
Changes in Accumulated Other Comprehensive Loss - (Tables) | 3 Months Ended |
Apr. 01, 2022 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | Amounts comprising the Company's accumulated other comprehensive loss and reclassifications are as follows (in millions): Currency Translation Adjustments Effects of Cash Flow Hedges and Other Adjustments Total Balance as of December 31, 2021 $ (44.4) $ 3.8 $ (40.6) Other comprehensive income (loss) prior to reclassifications (2.4) 17.3 14.9 Amounts reclassified from accumulated other comprehensive loss — (0.7) (0.7) Net current period other comprehensive income (loss) (1) (2.4) 16.6 14.2 Balance as of April 1, 2022 $ (46.8) $ 20.4 $ (26.4) (1) Effects of cash flow hedges are net of tax expense of $5.1 million for the quarter ended April 1, 2022. Amounts reclassified from accumulated other comprehensive loss to the specific caption within Consolidated Statements of Operations and Comprehensive Income were as follows: Quarters Ended April 1, 2022 April 2, 2021 To caption Interest rate swaps $ 0.7 $ 4.6 Interest expense Total reclassifications $ 0.7 $ 4.6 |
Background and Basis of Prese_3
Background and Basis of Presentation (Details) - segment | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Fiscal period duration | 91 days | 92 days |
Number of operating segments | 3 | |
Number of reportable segments | 3 |
Revenue and Segment Informati_3
Revenue and Segment Information - Additional Information (Details) $ in Millions | 3 Months Ended | |
Apr. 01, 2022USD ($)segment | Apr. 02, 2021 | |
Segment Reporting Information [Line Items] | ||
Number of operating segments | segment | 3 | |
Number of reportable segments | segment | 3 | |
Revenue, remaining performance obligation, amount | $ 8,600 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-04-02 | ||
Segment Reporting Information [Line Items] | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | 12 months | |
Maximum | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-04-02 | ||
Segment Reporting Information [Line Items] | ||
Revenue remaining performance obligation, percentage | 30.00% | |
Long Term Supply Arrangement | ||
Segment Reporting Information [Line Items] | ||
Contract liability | $ 5.5 | |
Current contract liability | 27.6 | |
Noncurrent contract liability | $ 28.9 | |
One Customer | Revenue from Contract with Customer Benchmark | Customer Concentration Risk | ||
Segment Reporting Information [Line Items] | ||
Concentration risk, percentage | 12.40% | 10.60% |
Revenue and Segment Informati_4
Revenue and Segment Information - Segment Information Of Revenues, Gross Profit And Operating Income (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Segment Reporting Information [Line Items] | ||
Revenue from external customers | $ 1,945 | $ 1,481.7 |
Gross profit | 961.3 | 521.2 |
PSG | ||
Segment Reporting Information [Line Items] | ||
Revenue from external customers | 986.7 | 747 |
Gross profit | 474.7 | 246.5 |
ASG | ||
Segment Reporting Information [Line Items] | ||
Revenue from external customers | 689.3 | 531.5 |
Gross profit | 366.7 | 206.8 |
ISG | ||
Segment Reporting Information [Line Items] | ||
Revenue from external customers | 269 | 203.2 |
Gross profit | $ 119.9 | $ 67.9 |
Revenue and Segment Informati_5
Revenue and Segment Information - Disaggregation of Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Segment Reporting Information [Line Items] | ||
Revenue | $ 1,945 | $ 1,481.7 |
Distributors | ||
Segment Reporting Information [Line Items] | ||
Revenue | 1,141.4 | 934 |
Direct Customers | ||
Segment Reporting Information [Line Items] | ||
Revenue | 803.6 | 547.7 |
Singapore | ||
Segment Reporting Information [Line Items] | ||
Revenue | 555.7 | 509 |
Hong Kong | ||
Segment Reporting Information [Line Items] | ||
Revenue | 529.6 | 342.2 |
United Kingdom | ||
Segment Reporting Information [Line Items] | ||
Revenue | 345.5 | 268.9 |
United States | ||
Segment Reporting Information [Line Items] | ||
Revenue | 311.7 | 184.3 |
Other | ||
Segment Reporting Information [Line Items] | ||
Revenue | 202.5 | 177.3 |
PSG | ||
Segment Reporting Information [Line Items] | ||
Revenue | 986.7 | 747 |
PSG | Distributors | ||
Segment Reporting Information [Line Items] | ||
Revenue | 633.9 | 523.9 |
PSG | Direct Customers | ||
Segment Reporting Information [Line Items] | ||
Revenue | 352.8 | 223.1 |
PSG | Singapore | ||
Segment Reporting Information [Line Items] | ||
Revenue | 280.5 | 274.5 |
PSG | Hong Kong | ||
Segment Reporting Information [Line Items] | ||
Revenue | 303.1 | 196.1 |
PSG | United Kingdom | ||
Segment Reporting Information [Line Items] | ||
Revenue | 186.9 | 142.7 |
PSG | United States | ||
Segment Reporting Information [Line Items] | ||
Revenue | 144.9 | 75.3 |
PSG | Other | ||
Segment Reporting Information [Line Items] | ||
Revenue | 71.3 | 58.4 |
ASG | ||
Segment Reporting Information [Line Items] | ||
Revenue | 689.3 | 531.5 |
ASG | Distributors | ||
Segment Reporting Information [Line Items] | ||
Revenue | 356.9 | 288.9 |
ASG | Direct Customers | ||
Segment Reporting Information [Line Items] | ||
Revenue | 332.4 | 242.6 |
ASG | Singapore | ||
Segment Reporting Information [Line Items] | ||
Revenue | 233.8 | 201.7 |
ASG | Hong Kong | ||
Segment Reporting Information [Line Items] | ||
Revenue | 173.9 | 100.5 |
ASG | United Kingdom | ||
Segment Reporting Information [Line Items] | ||
Revenue | 106.6 | 82.6 |
ASG | United States | ||
Segment Reporting Information [Line Items] | ||
Revenue | 92.3 | 70.2 |
ASG | Other | ||
Segment Reporting Information [Line Items] | ||
Revenue | 82.7 | 76.5 |
ISG | ||
Segment Reporting Information [Line Items] | ||
Revenue | 269 | 203.2 |
ISG | Distributors | ||
Segment Reporting Information [Line Items] | ||
Revenue | 150.6 | 121.2 |
ISG | Direct Customers | ||
Segment Reporting Information [Line Items] | ||
Revenue | 118.4 | 82 |
ISG | Singapore | ||
Segment Reporting Information [Line Items] | ||
Revenue | 41.4 | 32.8 |
ISG | Hong Kong | ||
Segment Reporting Information [Line Items] | ||
Revenue | 52.6 | 45.6 |
ISG | United Kingdom | ||
Segment Reporting Information [Line Items] | ||
Revenue | 52 | 43.6 |
ISG | United States | ||
Segment Reporting Information [Line Items] | ||
Revenue | 74.5 | 38.8 |
ISG | Other | ||
Segment Reporting Information [Line Items] | ||
Revenue | $ 48.5 | $ 42.4 |
Revenue and Segment Informati_6
Revenue and Segment Information - Summary of Property, Plant and Equipment by Geographic Location (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Dec. 31, 2021 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | $ 2,559.4 | $ 2,524.3 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 752.4 | 767.1 |
South Korea | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 573 | 492.8 |
Philippines | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 330.7 | 342.4 |
Czech Republic | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 220.7 | 214.2 |
China | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 214 | 216.8 |
Japan | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 188.1 | 198.6 |
Malaysia | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | 172.8 | 175.3 |
Other | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Property, plant and equipment, net | $ 107.7 | $ 117.1 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Jan. 01, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | |||
Decrease in additional paid-in capital | $ 4,533.3 | $ 4,633.3 | |
Increase in retained earnings | $ 2,992.4 | $ 2,435.1 | |
Cumulative Effect, Period of Adoption, Adjustment | |||
Debt Instrument [Line Items] | |||
Increase in retained earnings | $ 27.1 | ||
Cumulative Effect, Period of Adoption, Adjustment | Accounting Standards Update 2020-06 | |||
Debt Instrument [Line Items] | |||
Decrease in additional paid-in capital | 129.1 | ||
Increase in retained earnings | $ 27.1 |
Acquisitions and Divestitures -
Acquisitions and Divestitures - GTAT Purchase Price Allocation (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Dec. 31, 2021 | Oct. 28, 2021 |
Business Acquisition [Line Items] | |||
Goodwill | $ 1,936.7 | $ 1,937.5 | |
GT Advanced Technologies Inc | |||
Business Acquisition [Line Items] | |||
Cash and cash equivalents | $ 8.2 | ||
Inventory and other current assets | 10 | ||
Property, plant and equipment | 31.9 | ||
Goodwill | 274.8 | ||
Intangible assets - Developed Technology | 130 | ||
Deferred tax assets | 13.4 | ||
Other non-current assets | 7.4 | ||
Total assets acquired | 475.7 | ||
Current liabilities | 5.8 | ||
Other long-term liabilities | 35 | ||
Total liabilities assumed | 40.8 | ||
Net assets acquired/purchase price | $ 434.9 |
Acquisition and Divestitures _2
Acquisition and Divestitures - Narrative (Details) $ in Millions | Feb. 28, 2022USD ($) |
Discontinued Operations, Disposed of by Sale | Belgium Fab | |
Business Acquisition [Line Items] | |
Divestiture consideration | $ 19.9 |
Restructuring, Asset Impairme_3
Restructuring, Asset Impairments and Other, Net - Schedule of Activity Included in Restructuring, Asset Impairments, and Other, Net (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring | $ (0.5) | |
Asset Impairments | 4 | |
Other | (16.5) | |
Total | (13) | $ 42.5 |
Other | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring | (0.5) | |
Asset Impairments | 4 | |
Other | (16.5) | |
Total | $ (13) |
Restructuring, Asset Impairme_4
Restructuring, Asset Impairments and Other, Net - Summary of Changes in Accrued Restructuring Charges (Details) $ in Millions | 3 Months Ended |
Apr. 01, 2022USD ($) | |
Restructuring Reserve [Roll Forward] | |
Balance at beginning of period | $ 10.8 |
Charges | (0.5) |
Usage | (4.8) |
Balance at end of period | 5.5 |
Employee separation charges | |
Restructuring Reserve [Roll Forward] | |
Balance at beginning of period | 10.8 |
Charges | (0.5) |
Usage | (4.8) |
Balance at end of period | $ 5.5 |
Balance Sheet Information and_3
Balance Sheet Information and Other - Inventory (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Dec. 31, 2021 |
Inventories: | ||
Raw materials | $ 193.5 | $ 174.2 |
Work in process | 971.5 | 888.9 |
Finished goods | 331 | 316.4 |
Inventories | $ 1,496 | $ 1,379.5 |
Balance Sheet Information and_4
Balance Sheet Information and Other - Narrative (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Assets held-for-sale | $ 70 | |
Net assets for overfunded plans | 14.3 | |
Accrued pension liability | 112.6 | $ 103.9 |
Current portion accrued pension liability | $ 0.2 | $ 0.2 |
Operating lease weighted average remaining lease term | 8 years 3 months 18 days | |
Finance lease weighted average remaining lease term | 19 years 9 months 18 days | |
Operating lease weighted average discount rate percent | 4.20% | |
Finance lease weighted average discount rate percent | 6.00% | |
GT Advanced Technologies Inc | ||
Debt Instrument [Line Items] | ||
Restricted cash | $ 15 |
Balance Sheet Information and_5
Balance Sheet Information and Other - Pension Expense (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Balance Sheet Related Disclosures [Abstract] | ||
Service cost | $ 2.2 | $ 3.1 |
Interest cost | 1.1 | 1.1 |
Expected return on plan assets | (1.2) | (1.7) |
Curtailment loss | 0 | 1.9 |
Total net periodic pension cost | $ 2.1 | $ 4.4 |
Balance Sheet Information and_6
Balance Sheet Information and Other - Lease Expense (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Apr. 01, 2022 | Apr. 02, 2021 | Dec. 31, 2021 | |
Balance Sheet Related Disclosures [Abstract] | |||
Operating lease | $ 11.2 | $ 9.9 | |
Variable lease | 1.6 | 1 | |
Short-term lease | 0.4 | 0.7 | |
Total lease expense | 13.2 | $ 11.6 | |
Operating lease liabilities included in: | |||
Accrued expenses and other current liabilities | 35.1 | $ 32.5 | |
Other long-term liabilities | 137.9 | 142.4 | |
Total | 173 | 174.9 | |
Operating ROU assets | 169.7 | 170.1 | |
Financing lease liabilities included in: | |||
Accrued expenses and other current liabilities | 12.7 | 12.7 | |
Other long-term liabilities | 10.2 | 10.2 | |
Total | 22.9 | 22.9 | |
Finance lease assets | $ 21.9 | $ 22.3 | |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Accrued Liabilities, Current | Accrued Liabilities, Current | |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Other long-term liabilities | Other long-term liabilities | |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued Liabilities, Current | Accrued Liabilities, Current | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other long-term liabilities | Other long-term liabilities | |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other assets | Other assets |
Balance Sheet Information and_7
Balance Sheet Information and Other - Cash and Non-cash Activity (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Non-cash investing activities: | ||
Capital expenditures in accounts payable and other long-term liabilities | $ 225.4 | $ 180.9 |
Operating ROU assets obtained in exchange of lease liabilities | 10.7 | 7.1 |
Cash paid for: | ||
Interest expense | 24 | 31.4 |
Income taxes | 15.7 | 20.9 |
Operating lease payments in operating cash flows | $ 11 | $ 10.3 |
Balance Sheet Information and_8
Balance Sheet Information and Other - Summary of Cash and Cash Equivalents (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Dec. 31, 2021 | Apr. 02, 2021 | Dec. 31, 2020 |
Balance Sheet Related Disclosures [Abstract] | ||||
Cash and cash equivalents | $ 1,645.1 | $ 1,352.6 | $ 1,042.5 | $ 1,080.7 |
Restricted cash (included in other current assets) | 18.8 | 20.1 | 1.4 | 0.8 |
Restricted cash (included in other non-current assets) | 5 | 5 | 0 | 0 |
Cash, cash equivalents and restricted cash in Consolidated Statements of Cash Flows | $ 1,668.9 | $ 1,377.7 | $ 1,043.9 | $ 1,081.5 |
Long-Term Debt - Schedule of Lo
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | |||
Long-term debt | $ 3,254.2 | $ 3,258.3 | |
Less: Debt discount | (12.6) | (149) | |
Less: Debt issuance costs | (35.8) | (34.7) | |
Net long-term debt, including current maturities | 3,205.8 | 3,074.6 | |
Less: Current maturities | (170.4) | (160.7) | |
Net long-term debt | 3,035.4 | 2,913.9 | |
Term Loan B Facility | |||
Debt Instrument [Line Items] | |||
Long-term debt | 1,594.1 | 1,598.2 | |
Less: Debt discount | (7.2) | (7.5) | |
Less: Debt issuance costs | $ (16.8) | $ (17.7) | |
Debt instrument, interest rate (as a percent) | 2.46% | 2.10% | |
0% Notes | Convertible Debt | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 805 | $ 805 | |
Less: Debt discount | (126.1) | ||
Less: Debt issuance costs | $ (16.3) | (14.1) | |
Debt instrument, interest rate (as a percent) | 0.00% | ||
3.875% Notes | Convertible Debt | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate (as a percent) | 3.875% | ||
3.875% Notes | Notes Payable | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 700 | 700 | |
Less: Debt discount | (5.4) | (5.8) | |
Less: Debt issuance costs | $ (1.9) | (2) | |
Debt instrument, interest rate (as a percent) | 3.875% | ||
1.625% Notes | Convertible Debt | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 155.1 | 155.1 | |
Less: Debt discount | (9.6) | ||
Less: Debt issuance costs | (0.8) | $ (0.9) | |
Less: Current maturities | $ (155.1) | ||
Debt instrument, interest rate (as a percent) | 1.625% | 1.625% |
Long-Term Debt - Annual Maturit
Long-Term Debt - Annual Maturities Relating To Long-Term Debt (Details) $ in Millions | Apr. 01, 2022USD ($) |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
Remainder of 2022 | $ 167.4 |
2023 | 16.3 |
2024 | 16.3 |
2025 | 16.3 |
2026 | 1,532.9 |
Thereafter | 1,505 |
Total | $ 3,254.2 |
Long-Term Debt - Adoption of AS
Long-Term Debt - Adoption of ASU 2020-06 (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Jan. 01, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | |||
Decrease in additional paid-in capital | $ 4,533.3 | $ 4,633.3 | |
Increase in retained earnings | $ 2,992.4 | $ 2,435.1 | |
Cumulative Effect, Period of Adoption, Adjustment | |||
Debt Instrument [Line Items] | |||
Increase in retained earnings | $ 27.1 | ||
Cumulative Effect, Period of Adoption, Adjustment | Accounting Standards Update 2020-06 | |||
Debt Instrument [Line Items] | |||
Decrease in additional paid-in capital | 129.1 | ||
Increase in retained earnings | $ 27.1 |
Long-Term Debt - 1.625% Notes d
Long-Term Debt - 1.625% Notes due 2023 (Details) $ / shares in Units, $ in Millions | Mar. 31, 2022$ / shares | Apr. 01, 2022USD ($)day | Dec. 31, 2021USD ($) |
Debt Instrument [Line Items] | |||
Current portion of long-term debt | $ | $ 170.4 | $ 160.7 | |
1.625% Notes | Convertible Debt | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate (as a percent) | 1.625% | 1.625% | |
Current portion of long-term debt | $ | $ 155.1 | ||
Threshold trading days | day | 20 | ||
Threshold consecutive trading days | day | 30 | ||
Stock price trigger (in dollars per share) | $ / shares | $ 26.94 | ||
Threshold percentage of stock price trigger (greater than or equal to) | 130.00% |
Earnings Per Share and Equity_2
Earnings Per Share and Equity - Summary of earnings per share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Earnings Per Share [Abstract] | ||
Net income for basic earnings per share of common stock | $ 530.2 | $ 89.9 |
Add: Interest on 1.625% Notes | 0.5 | 0 |
Net income for diluted earnings per share of common stock | $ 530.7 | $ 89.9 |
Basic weighted average shares of common stock outstanding (in shares) | 433.3 | 413.4 |
Dilutive effect of share-based awards (in shares) | 2.4 | 2.7 |
Dilutive effect of convertible notes and warrants (in shares) | 13.2 | 29.3 |
Diluted weighted-average shares of common stock outstanding (in shares) | 448.9 | 445.4 |
Net income per share of common stock: | ||
Basic (in dollars per share) | $ 1.22 | $ 0.22 |
Diluted (in dollars per share) | $ 1.18 | $ 0.20 |
Earnings Per Share and Equity_3
Earnings Per Share and Equity - Narrative (Details) - USD ($) | 3 Months Ended | ||||
Apr. 01, 2022 | Apr. 02, 2021 | Mar. 31, 2022 | Dec. 31, 2021 | Nov. 15, 2018 | |
Dividends Payable [Line Items] | |||||
Anti-dilutive shares | 200,000 | 700,000 | |||
Payments of tax withholding for restricted shares | $ 58,800,000 | $ 28,500,000 | |||
Common stock withheld underlying restricted stock units (in shares) | 1,000,000 | 700,000 | |||
Treasury shares reissued or retired during period (in shares) | 0 | ||||
Non-controlling interest | $ 19,800,000 | $ 19,000,000 | |||
Non-controlling interest share of earnings | $ 800,000 | $ 400,000 | |||
0% Notes Warrants | |||||
Dividends Payable [Line Items] | |||||
Exercise price (in dollars per share) | $ 74.34 | ||||
1.625% Notes Warrants | |||||
Dividends Payable [Line Items] | |||||
Exercise price (in dollars per share) | $ 30.70 | ||||
Convertible Debt | 0% Notes | |||||
Dividends Payable [Line Items] | |||||
Debt instrument, interest rate (as a percent) | 0.00% | ||||
Conversion price per share (in dollars per share) | $ 52.97 | ||||
Convertible Debt | 1.625% Notes | |||||
Dividends Payable [Line Items] | |||||
Debt instrument, interest rate (as a percent) | 1.625% | 1.625% | |||
Conversion price per share (in dollars per share) | $ 20.72 | ||||
Share Repurchase Program | |||||
Dividends Payable [Line Items] | |||||
Stock repurchase program, authorized amount | $ 1,500,000,000 | ||||
Number of repurchased shares (in shares) | 0 | 0 | |||
Remaining authorized amount available for repurchase | $ 1,295,800,000 |
Share-Based Compensation - Summ
Share-Based Compensation - Summary Of Share-Based Compensation (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Share-based compensation expense | $ 22.5 | $ 22.3 |
Income tax benefit | (4.7) | (4.7) |
Share-based compensation expense, net of taxes | 17.8 | 17.6 |
Cost of revenue | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Share-based compensation expense | 2.6 | 3.3 |
Research and development | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Share-based compensation expense | 4.4 | 5.7 |
Selling and marketing | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Share-based compensation expense | 3.8 | 4.3 |
General and administrative | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Share-based compensation expense | $ 11.7 | $ 9 |
Share-Based Compensation - Narr
Share-Based Compensation - Narrative (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | ||
Apr. 01, 2022 | Apr. 02, 2021 | Dec. 31, 2021 | |
Amended And Restated Stock Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Aggregate of common stock available for grant (in shares) | 39.9 | 42.2 | |
Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized share-based compensation expense on non-vested stock options | $ 157.6 | ||
Period for recognition (in years) | 1 year 9 months 18 days | ||
Options pre-vesting forfeitures rate | 6.00% | 5.00% | |
Service Based Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum award vesting period (in years) | 3 years | ||
Performance or Market Based Restricted Stock Units | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum award vesting period (in years) | 2 years | ||
Performance or Market Based Restricted Stock Units | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum award vesting period (in years) | 3 years |
Share-Based Compensation - Su_2
Share-Based Compensation - Summary Of Restricted Stock Units Transactions (Details) - Restricted Stock Units shares in Millions | 3 Months Ended |
Apr. 01, 2022$ / sharesshares | |
Number of Shares | |
Nonvested shares restricted stock units, beginning (in shares) | shares | 6.2 |
Restricted stock units granted (in shares) | shares | 1.5 |
Restricted stock units achieved (in shares) | shares | 0.2 |
Restricted stock units released (in shares) | shares | (2.9) |
Restricted stock units forfeited (in shares) | shares | (0.2) |
Nonvested shares restricted stock units, ending (in shares) | shares | 4.8 |
Weighted-Average Grant Date Fair Value Per Share | |
Weighted Average Grant Date Fair Value, Nonvested, beginning (in dollars per share) | $ / shares | $ 28.60 |
Weighted Average Grant Date Fair Value, Granted (in dollars per share) | $ / shares | 60.66 |
Weighted Average Grant Date Fair Value, Achieved (in dollars per share) | $ / shares | 41.35 |
Weighted-Average Grant Date Fair Value, Released (in dollars per share) | $ / shares | 25.19 |
Weighted Average Grant Date Fair Value, Forfeited (in dollars per share) | $ / shares | 32.66 |
Weighted Average Grant Date Fair Value, Nonvested, ending (in dollars per share) | $ / shares | $ 40.83 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) $ in Millions | Apr. 01, 2022USD ($) |
Loss Contingencies [Line Items] | |
Outstanding guarantees and letters of credit | $ 13.4 |
Guarantees | 0.9 |
Revolving Credit Facility | Senior Revolving Credit Facility | |
Loss Contingencies [Line Items] | |
Current borrowing capacity | 15 |
Letter of Credit | Senior Revolving Credit Facility | |
Loss Contingencies [Line Items] | |
Credit commitment outstanding | $ 0.9 |
Fair Value Measurements - Avail
Fair Value Measurements - Available-for-sale Securities (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Dec. 31, 2021 |
Other Assets | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment maturity | 1 year | |
Other Assets | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment maturity | 5 years | |
Demand and time deposits | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | $ 19.6 | $ 19.5 |
Unrealized gains | 0 | 0 |
Unrealized losses | 0 | 0 |
Fair value | 19.6 | 19.5 |
Money market funds | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 0.7 | 0.7 |
Unrealized gains | 0 | 0 |
Unrealized losses | 0 | 0 |
Fair value | 0.7 | 0.7 |
Corporate bonds | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 1.6 | |
Unrealized gains | 0 | |
Unrealized losses | 0 | |
Fair value | 1.6 | |
Corporate bonds | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 22.3 | 16 |
Unrealized gains | 0 | 0 |
Unrealized losses | 0 | 0 |
Fair value | 22.3 | 16 |
Corporate bonds | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 14.2 | 19.7 |
Unrealized gains | 0 | 0 |
Unrealized losses | 0 | 0 |
Fair value | 14.2 | 19.7 |
Commercial paper | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 2 | |
Unrealized gains | 0 | |
Unrealized losses | 0 | |
Fair value | 2 | |
Commercial paper | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 6.8 | 5 |
Unrealized gains | 0 | 0 |
Unrealized losses | 0 | 0 |
Fair value | 6.8 | 5 |
Certificate of deposit | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 3 | 1.9 |
Unrealized gains | 0 | 0 |
Unrealized losses | 0 | 0 |
Fair value | 3 | 1.9 |
US Treasury bonds | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 0.7 | 0.4 |
Unrealized gains | 0 | 0 |
Unrealized losses | 0 | 0 |
Fair value | 0.7 | 0.4 |
US Treasury bonds | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 1.2 | 1.6 |
Unrealized gains | 0 | 0 |
Unrealized losses | 0 | 0 |
Fair value | 1.2 | 1.6 |
Level 1 | Demand and time deposits | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 19.6 | 19.5 |
Level 1 | Money market funds | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0.7 | 0.7 |
Level 1 | Corporate bonds | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | |
Level 1 | Corporate bonds | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 1 | Corporate bonds | Fair Value, Measurements, Recurring | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 1 | Commercial paper | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | |
Level 1 | Commercial paper | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 3.8 | 3 |
Level 1 | Certificate of deposit | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 1 | US Treasury bonds | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 1 | US Treasury bonds | Fair Value, Measurements, Recurring | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 2 | Demand and time deposits | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 2 | Money market funds | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 2 | Corporate bonds | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 1.6 | |
Level 2 | Corporate bonds | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 22.3 | 16 |
Level 2 | Corporate bonds | Fair Value, Measurements, Recurring | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 14.2 | 19.7 |
Level 2 | Commercial paper | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 2 | |
Level 2 | Commercial paper | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 3 | 2 |
Level 2 | Certificate of deposit | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 3 | 1.9 |
Level 2 | US Treasury bonds | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0.7 | 0.4 |
Level 2 | US Treasury bonds | Fair Value, Measurements, Recurring | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 1.2 | 1.6 |
Level 3 | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | Demand and time deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | Money market funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 3 | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | Corporate bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | |
Level 3 | Fair Value, Measurements, Recurring | Cash and Cash Equivalents | Commercial paper | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | |
Level 3 | Corporate bonds | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 3 | Corporate bonds | Fair Value, Measurements, Recurring | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 3 | Commercial paper | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 3 | Certificate of deposit | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 3 | US Treasury bonds | Fair Value, Measurements, Recurring | Other Current Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | 0 | 0 |
Level 3 | US Treasury bonds | Fair Value, Measurements, Recurring | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value | $ 0 | $ 0 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Fair Value, by Balance Sheet Grouping (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Carrying Amount | $ 3,254.2 | ||
Convertible Debt | 0% Notes | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Carrying Amount | 788.7 | $ 664.8 | |
Fair Value | $ 1,077.7 | 1,183.1 | |
Debt instrument, interest rate (as a percent) | 0.00% | ||
Convertible Debt | 1.625% Notes | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Carrying Amount | $ 154.3 | 144.6 | |
Fair Value | $ 474 | 513.6 | |
Debt instrument, interest rate (as a percent) | 1.625% | 1.625% | |
Other long-term debt | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Carrying Amount | $ 2,262.7 | 2,265.2 | |
Fair Value | $ 2,137.8 | $ 2,245.5 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) | Apr. 01, 2022 | Mar. 31, 2022 |
Notes Payable | 3.875% Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate (as a percent) | 3.875% | |
Convertible Debt | 3.875% Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate (as a percent) | 3.875% | |
Convertible Debt | 1.625% Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate (as a percent) | 1.625% | 1.625% |
Convertible Debt | 0% Notes | ||
Debt Instrument [Line Items] | ||
Debt instrument, interest rate (as a percent) | 0.00% |
Financial Instruments - Narrati
Financial Instruments - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Apr. 01, 2022 | Apr. 02, 2021 | Dec. 31, 2021 | |
Derivatives, Fair Value [Line Items] | |||
Foreign currency transaction gain (loss) realized | $ 1.9 | $ 4 | |
Foreign currency exchange contracts | |||
Derivatives, Fair Value [Line Items] | |||
Notional Amount | $ 236.7 | $ 288.3 | |
Foreign currency exchange contracts | Minimum | |||
Derivatives, Fair Value [Line Items] | |||
Derivative, term of contract (in months) | 1 month | ||
Foreign currency exchange contracts | Maximum | |||
Derivatives, Fair Value [Line Items] | |||
Derivative, term of contract (in months) | 3 months | ||
Interest Rate Swap | |||
Derivatives, Fair Value [Line Items] | |||
Notional Amount | $ 750 |
Financial Instruments - Schedul
Financial Instruments - Schedule of Net Foreign Exchange Positions (Details) - Foreign currency exchange contracts - USD ($) $ in Millions | Apr. 01, 2022 | Dec. 31, 2021 |
Derivatives, Fair Value [Line Items] | ||
Buy (Sell) | $ 225.3 | $ 279.7 |
Notional Amount | 236.7 | 288.3 |
Other Currencies - Buy | ||
Derivatives, Fair Value [Line Items] | ||
Buy (Sell) | 46.6 | 58.7 |
Notional Amount | 46.6 | 58.7 |
Other Currencies - Sell | ||
Derivatives, Fair Value [Line Items] | ||
Buy (Sell) | (5.7) | (4.3) |
Notional Amount | 5.7 | 4.3 |
Philippine Peso | ||
Derivatives, Fair Value [Line Items] | ||
Buy (Sell) | 56.9 | 67.1 |
Notional Amount | 56.9 | 67.1 |
Japanese Yen | ||
Derivatives, Fair Value [Line Items] | ||
Buy (Sell) | 51 | 33.2 |
Notional Amount | 51 | 33.2 |
Korean Won | ||
Derivatives, Fair Value [Line Items] | ||
Buy (Sell) | 38.9 | 44.1 |
Notional Amount | 38.9 | 44.1 |
Czech Koruna | ||
Derivatives, Fair Value [Line Items] | ||
Buy (Sell) | 24.7 | 15 |
Notional Amount | 24.7 | 15 |
Euro | ||
Derivatives, Fair Value [Line Items] | ||
Buy (Sell) | 12.9 | 65.9 |
Notional Amount | $ 12.9 | $ 65.9 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Millions | Apr. 01, 2022 | Apr. 02, 2021 |
Income Tax Disclosure [Abstract] | ||
Unrecognized tax benefits, income tax penalties and interest accrued | $ 1.5 | $ 3 |
Possible reduction in unrecognized tax benefits in next twelve months | $ 64.2 |
Changes in Accumulated Other _3
Changes in Accumulated Other Comprehensive Loss - Schedule of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Accumulated Other Comprehensive Income [Roll Forward] | ||
Balance, beginning | $ 4,604.4 | $ 3,558.1 |
Other comprehensive income (loss) prior to reclassifications | 14.9 | |
Amounts reclassified from accumulated other comprehensive loss | (0.7) | |
Other comprehensive income, net of tax | 14.2 | 1.7 |
Balance, ending | 5,018 | 3,649.6 |
Cash flow hedge, tax | 5.1 | |
Currency Translation Adjustments | ||
Accumulated Other Comprehensive Income [Roll Forward] | ||
Balance, beginning | (44.4) | |
Other comprehensive income (loss) prior to reclassifications | (2.4) | |
Amounts reclassified from accumulated other comprehensive loss | 0 | |
Other comprehensive income, net of tax | (2.4) | |
Balance, ending | (46.8) | |
Effects of Cash Flow Hedges and Other Adjustments | ||
Accumulated Other Comprehensive Income [Roll Forward] | ||
Balance, beginning | 3.8 | |
Other comprehensive income (loss) prior to reclassifications | 17.3 | |
Amounts reclassified from accumulated other comprehensive loss | (0.7) | |
Other comprehensive income, net of tax | 16.6 | |
Balance, ending | 20.4 | |
Accumulated Other Comprehensive Loss | ||
Accumulated Other Comprehensive Income [Roll Forward] | ||
Balance, beginning | (40.6) | (57.6) |
Balance, ending | $ (26.4) | $ (55.9) |
Changes in Accumulated Other _4
Changes in Accumulated Other Comprehensive Loss - Reclassifications from Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 01, 2022 | Apr. 02, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Interest rate swaps | $ 2.1 | $ 4.5 |
Total reclassifications | 531 | 90.3 |
Interest rate swaps | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Total reclassifications | 0.7 | 4.6 |
Effects of Cash Flow Hedges and Other Adjustments | Interest rate swaps | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Interest rate swaps | $ 0.7 | $ 4.6 |