IPG Photonics (IPGP) 10-Q 7 Nov 14 2014 Q3 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	9 Months Ended
	Sep. 30, 2014	Nov. 03, 2014
Document And Entity Information [Abstract]	'	'
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	30-Sep-14	'
Document Fiscal Period Focus	'Q3	'
Document Fiscal Year Focus	'2014	'
Entity Registrant Name	'IPG PHOTONICS CORP	'
Entity Central Index Key	'0001111928	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Large Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	52,182,177

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
CURRENT ASSETS:	'	'
Cash and cash equivalents	$487,518	$448,776
Accounts receivable, net	136,629	103,803
Inventories	179,476	172,700
Prepaid income taxes and income taxes receivable	20,940	15,996
Prepaid expenses and other current assets	23,464	30,836
Deferred income taxes, net	15,227	14,232
Total current assets	863,254	786,343
PROPERTY, PLANT AND EQUIPMENT, NET	271,286	252,245
DEFERRED INCOME TAXES, NET	9,674	4,799
INTANGIBLE ASSETS, NET	9,847	9,564
GOODWILL	455	455
OTHER ASSETS	30,872	7,810
TOTAL	1,185,388	1,061,216
CURRENT LIABILITIES:	'	'
Revolving line-of-credit facilities	2,276	3,296
Current portion of long-term debt	11,667	1,333
Accounts payable	18,969	18,787
Accrued expenses and other liabilities	66,862	59,336
Deferred income taxes, net	3,151	2,109
Income taxes payable	25,088	15,218
Total current liabilities	128,013	100,079
DEFERRED INCOME TAXES AND OTHER LONG-TERM LIABILITIES	20,672	21,835
LONG-TERM DEBT, NET OF CURRENT PORTION	0	11,333
Total liabilities	148,685	133,247
COMMITMENTS AND CONTINGENCIES (NOTE 12)	'	'
IPG PHOTONICS CORPORATION STOCKHOLDERS’ EQUITY:	'	'
Common stock, $0.0001 par value, 175,000,000 shares authorized; 52,168,371 shares issued and outstanding at September 30, 2014; 51,930,978 shares issued and outstanding at December 31, 2013	5	5
Additional paid-in capital	556,401	538,908
Retained earnings	534,771	390,757
Accumulated other comprehensive loss	-54,474	-1,701
Total IPG Photonics Corporation stockholders’ equity	1,036,703	927,969
TOTAL	$1,185,388	$1,061,216

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Statement of Financial Position [Abstract]	'	'
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized	175,000,000	175,000,000
Common stock, shares issued	52,168,371	51,930,978
Common stock, shares outstanding	52,168,371	51,930,978

Consolidated_Statements_Of_Inc

Consolidated Statements Of Income (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Income Statement [Abstract]	'	'	'	'
NET SALES	$199,651	$172,152	$562,430	$482,175
COST OF SALES	90,561	79,339	259,829	223,799
GROSS PROFIT	109,090	92,813	302,601	258,376
OPERATING EXPENSES:	'	'	'	'
Sales and marketing	7,496	6,801	22,708	19,514
Research and development	13,447	11,501	39,593	30,782
General and administrative	14,172	13,175	40,212	37,814
(Gain) loss on foreign exchange	-3,614	1,563	-4,039	972
Total operating expenses	31,501	33,040	98,474	89,082
OPERATING INCOME	77,589	59,773	204,127	169,294
OTHER INCOME (EXPENSE), Net:	'	'	'	'
Interest (expense) income, net	-4	63	-143	-25
Other income, net	162	218	735	49
Total other income (expense)	158	281	592	24
INCOME BEFORE PROVISION FOR INCOME TAXES	77,747	60,054	204,719	169,318
PROVISION FOR INCOME TAXES	-22,547	-17,716	-60,705	-50,133
NET INCOME ATTRIBUTABLE TO IPG PHOTONICS CORPORATION	$55,200	$42,338	$144,014	$119,185
NET INCOME ATTRIBUTABLE TO IPG PHOTONICS CORPORATION PER SHARE:	'	'	'	'
Basic (in dollars per share)	$1.06	$0.82	$2.77	$2.32
Diluted (in dollars per share)	$1.05	$0.81	$2.73	$2.28
WEIGHTED AVERAGE SHARES OUTSTANDING:	'	'	'	'
Basic (shares)	52,088	51,495	52,060	51,474
Diluted (shares)	52,792	52,367	52,780	52,346

Consolidated_Statements_Of_Com

Consolidated Statements Of Comprehensive Income (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Statement of Comprehensive Income [Abstract]	'	'	'	'
Net income	$55,200	$42,338	$144,014	$119,185
Other comprehensive income, net of tax:	'	'	'	'
Translation adjustments	-46,918	11,892	-52,901	-2,094
Unrealized gain on derivatives	45	53	128	227
Total other comprehensive (loss) income	-46,873	11,945	-52,773	-1,867
Comprehensive income attributable to IPG Photonics Corporation	$8,327	$54,283	$91,241	$117,318

Consolidated_Statements_Of_Cas

Consolidated Statements Of Cash Flows (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:	'	'
Net income	$144,014	$119,185
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Depreciation and amortization	26,409	23,414
Deferred income taxes	-5,954	-7,591
Stock-based compensation	11,067	8,604
Unrealized (gain) loss on foreign currency transactions	-4,547	972
Other	464	369
Provisions for inventory, warranty & bad debt	19,906	18,203
Changes in assets and liabilities that (used) provided cash:	'	'
Accounts receivable	-37,926	-26,942
Inventories	-30,220	-43,705
Prepaid expenses and other current assets	202	-3,478
Accounts payable	1,324	-2,008
Accrued expenses and other liabilities	2,653	2,734
Income and other taxes payable	-609	-25,186
Tax benefit from exercise of employee stock options	-2,696	-3,610
Net cash provided by operating activities	124,087	60,961
CASH FLOWS FROM INVESTING ACTIVITIES:	'	'
Purchases of and deposits on property, plant and equipment	-72,723	-48,333
Purchase of intangible assets	-2,000	0
Proceeds from sales of property, plant and equipment	418	202
Acquisition of businesses	0	-5,555
Other	66	442
Net cash used in investing activities	-74,239	-53,244
CASH FLOWS FROM FINANCING ACTIVITIES:	'	'
Proceeds from line-of-credit facilities	26,051	14,124
Payments on line-of-credit facilities	-26,836	-15,019
Principal payments on long-term borrowings	-1,000	-2,519
Exercise of employee stock options and issuances under employee stock purchase plan	3,730	3,228
Tax benefit from exercise of employee stock options	2,696	3,610
Net cash provided by financing activities	4,641	3,424
EFFECT OF CHANGES IN EXCHANGE RATES ON CASH AND CASH EQUIVALENTS	-15,747	3,161
NET INCREASE IN CASH AND CASH EQUIVALENTS	38,742	14,302
CASH AND CASH EQUIVALENTS — Beginning of period	448,776	384,053
CASH AND CASH EQUIVALENTS — End of period	487,518	398,355
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:	'	'
Cash paid for interest	302	190
Cash paid for income taxes	56,730	74,107
Non-cash transactions:	'	'
Demonstration units transferred from inventory to other assets	2,649	3,185
Inventory transferred to machinery and equipment	1,303	0
Additions to property, plant and equipment included in accounts payable	$1,959	$679

Consolidated_Statements_Of_Equ

Consolidated Statements Of Equity (USD $)	Total	COMMON STOCK	ADDITIONAL PAID-IN CAPITAL	RETAINED EARNINGS	ACCUMULATED OTHER COMPREHENSIVE LOSS	TOTAL IPG PHOTONICS CORPORATION STOCKHOLDERS’ EQUITY
In Thousands, except Share data, unless otherwise specified
Balance at Dec. 31, 2012	'	$5	$511,039	$234,977	($3,094)	'
Balance, shares at Dec. 31, 2012	'	51,359,247	'	'	'	'
Increase (Decrease) in Stockholders' Equity [Roll Forward]	'	'	'	'	'	'
Exercise of stock options, shares	'	231,408	'	'	'	'
Common stock issued under employee stock purchase plan, shares	'	13,913	'	'	'	'
Stock-based compensation	'	'	8,604	'	'	'
Exercise of stock options and related tax benefit from exercise	'	0	6,120	'	'	'
Common stock issued under employee stock purchase plan	'	0	718	'	'	'
Net income attributable to IPG Photonics Corporation	119,185	'	'	119,185	'	'
Translation adjustments	-2,094	'	'	'	-2,094	'
Unrealized gain on derivatives, net of tax	227	'	'	'	227	'
Balance at Sep. 30, 2013	'	5	526,481	354,162	-4,961	875,687
Balance, shares at Sep. 30, 2013	'	51,604,568	'	'	'	'
Balance at Dec. 31, 2013	'	5	538,908	390,757	-1,701	'
Balance, shares at Dec. 31, 2013	'	51,930,978	'	'	'	'
Increase (Decrease) in Stockholders' Equity [Roll Forward]	'	'	'	'	'	'
Exercise of stock options, shares	'	219,875	'	'	'	'
Common stock issued under employee stock purchase plan, shares	'	17,518	'	'	'	'
Stock-based compensation	'	'	11,067	'	'	'
Exercise of stock options and related tax benefit from exercise	'	0	5,402	'	'	'
Common stock issued under employee stock purchase plan	'	0	1,024	'	'	'
Net income attributable to IPG Photonics Corporation	144,014	'	'	144,014	'	'
Translation adjustments	-52,901	'	'	'	-52,901	'
Unrealized gain on derivatives, net of tax	128	'	'	'	128	'
Balance at Sep. 30, 2014	'	$5	$556,401	$534,771	($54,474)	$1,036,703
Balance, shares at Sep. 30, 2014	'	52,168,371	'	'	'	'

Basis_Of_Presentation

Basis Of Presentation	9 Months Ended
	Sep. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Basis Of Presentation	'
	BASIS OF PRESENTATION
	The accompanying unaudited consolidated financial statements have been prepared by IPG Photonics Corporation, or "IPG", "we", "our", "its" or the "Company". Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). The consolidated financial statements include the Company's accounts and those of its subsidiaries. All intercompany balances have been eliminated in consolidation. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto in the Company's Annual Report on Form 10-K for the year ended December 31, 2013.
	In the opinion of the Company's management, the unaudited financial information for the interim periods presented reflects all adjustments necessary for a fair presentation of the Company's financial position, results of operations and cash flows. The results reported in these consolidated financial statements are not necessarily indicative of results that may be expected for the entire year.
	The Company has evaluated subsequent events through the time of filing this Quarterly Report on Form 10-Q with the SEC.

Recent_Accounting_Pronouncemen

Recent Accounting Pronouncements	9 Months Ended
	Sep. 30, 2014
Accounting Changes and Error Corrections [Abstract]	'
Recent Accounting Pronouncements	'
	RECENT ACCOUNTING PRONOUNCEMENTS
	Accounting standards that have been issued or proposed by the FASB or other standards-setting bodies that do not require
	adoption until a future date are not expected to have a material impact on the Company's financial statements upon adoption.

Inventories

Inventories	9 Months Ended
	Sep. 30, 2014
Inventory Disclosure [Abstract]	'
Inventories	'
	INVENTORIES
	Inventories consist of the following:
		September 30,		December 31,
		2014		2013
	Components and raw materials	$	58,172	$	54,539
	Work-in-process	63,823		64,927
	Finished goods	57,481		53,234
	Total	$	179,476	$	172,700
	The Company recorded inventory provisions totaling $2,551 and $4,286 for the three months ended September 30, 2014 and 2013, respectively, and $8,363 and $7,842 for the nine months ended September 30, 2014 and 2013, respectively. These provisions relate to the recoverability of the value of inventories due to technological changes and excess quantities. These provisions are reported as a reduction to components and raw materials and finished goods.

Accrued_Expenses_And_Other_Lia

Accrued Expenses And Other Liabilities	9 Months Ended
	Sep. 30, 2014
Payables and Accruals [Abstract]	'
Accrued Expenses And Other Liabilities	'
	ACCRUED EXPENSES AND OTHER LIABLILITES
	Accrued expenses and other liabilities consist of the following:
		September 30,		December 31,
		2014		2013
	Accrued compensation	$	29,626	$	25,727
	Customer deposits and deferred revenue	21,504		18,489
	Current portion of accrued warranty	7,948		7,724
	Other	7,784		7,396
	Total	$	66,862	$	59,336

Financing_Arrangements

Financing Arrangements	9 Months Ended
	Sep. 30, 2014
Debt Disclosure [Abstract]	'
Financing Arrangements	'
	FINANCING ARRANGEMENTS
	The Company's borrowings under existing financing arrangements consist of the following:
		September 30,			December 31,
		2014			2013
	Revolving line-of-credit facilities:
	European overdraft facilities	$	2,276		$	1,038
	Euro line of credit	—			2,258
	Total	$	2,276		$	3,296
	Term debt:
	U.S. long-term note	$	11,667		$	12,666
	Less: current portion	(11,667		)	(1,333		)
	Total long-term debt	$	—		$	11,333
	The U.S. and Euro lines of credit are available to certain foreign subsidiaries and allow for borrowings in the local currencies of those subsidiaries. There were no drawings on the U.S. line of credit at September 30, 2014 or December 31, 2013. At September 30, 2014, there were no amounts drawn on the Euro line of credit, however, there were $1.9 million of guarantees issued against the line which reduces total availability.
	As of September 30, 2014, the remaining balance of the U.S. long-term note outstanding is considered current because the term of the note expires in June 2015 and is thus due within one year.

Net_Income_Attributable_To_IPG

Net Income Attributable To IPG Photonics Corporation Per Share	9 Months Ended
	Sep. 30, 2014
Earnings Per Share [Abstract]	'
Net Income Attributable To IPG Photonics Corporation Per Share	'
	NET INCOME ATTRIBUTABLE TO IPG PHOTONICS CORPORATION PER SHARE
	The following table sets forth the computation of diluted net income attributable to IPG Photonics Corporation per share:
		Three Months Ended September 30,				Nine Months Ended September 30,
		2014		2013		2014		2013
	Net income attributable to IPG Photonics Corporation	$	55,200	$	42,338	$	144,014	$	119,185
	Weighted average shares	52,088		51,495		52,060		51,474
	Dilutive effect of common stock equivalents	704		872		720		872
	Diluted weighted average common shares	52,792		52,367		52,780		52,346
	Basic net income attributable to IPG Photonics Corporation per share	$	1.06	$	0.82	$	2.77	$	2.32
	Diluted net income attributable to IPG Photonics Corporation per share	$	1.05	$	0.81	$	2.73	$	2.28
	The computation of diluted weighted average common shares excludes options to purchase 30,000 shares and 31,000 shares for the three months ended September 30, 2014 and 2013, respectively, and 61,000 shares and 210,000 shares for the nine months ended September 30, 2014 and 2013, respectively, because the effect would be anti-dilutive.

Derivative_Financial_Instrumen

Derivative Financial Instruments	9 Months Ended
	Sep. 30, 2014
Derivative Instruments and Hedging Activities Disclosure [Abstract]	'
Derivative Financial Instruments	'
	DERIVATIVE FINANCIAL INSTRUMENTS
	Derivative instruments – The Company's primary market exposures are to interest rates and foreign exchange rates. The Company uses certain derivative financial instruments to help manage these exposures. The Company executes these instruments with financial institutions it judges to be credit-worthy. The Company does not hold or issue derivative financial instruments for trading or speculative purposes.
	The Company recognizes all derivative financial instruments as either assets or liabilities at fair value in the consolidated balance sheets. The Company has an interest rate swap that is classified as a cash flow hedge of its variable rate debt. The Company has no derivatives that are not accounted for as a hedging instrument.
	Cash flow hedges – The Company's cash flow hedge is an interest rate swap under which it pays fixed rates of interest. The fair value amounts in the consolidated balance sheet related to the interest rate swap were:
	Notional Amounts1								Other Assets								Other Current Liabilities2				Other Long-Term Liabilities2
	September 30,				December 31,				September 30,				December 31,				September 30,		December 31,		September 30,		December 31,
	2014				2013				2014				2013				2014		2013		2014		2013
	$	11,667			$	12,666			$	—			$	—			$	221	$	—	$	—	$	423
	(1) Notional amounts represent the gross contract/notional amount of the derivatives outstanding.
	(2) As of September 30, 2014, the remaining balance of the U.S. long-term note outstanding is considered current because the term of the note expires in June 2015 and is thus due within one year. Accordingly, the interest rate swap liability has been reclassified.
	The derivative gains and losses in the consolidated statements of income related to the Company's interest rate swap contracts were as follows:
		Three Months Ended September 30,								Nine Months Ended September 30,
		2014				2013				2014				2013
	Effective portion recognized in other comprehensive loss, pretax:
	Interest rate swap	$	145			$	186			$	427			$	733
	Effective portion reclassified from other comprehensive loss to interest expense, pretax:
	Interest rate swap	$	(73	)		$	(101	)		$	(225	)		$	(371	)
	Ineffective portion recognized in income:
	Interest rate swap	$	—			$	—			$	—			$	—

Fair_Value_Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2014
Fair Value Disclosures [Abstract]	'
Fair Value Measurements	'
	FAIR VALUE MEASUREMENTS
	The Company's financial instruments consist of cash equivalents, accounts receivable, auction rate securities, accounts
	payable, drawings on revolving lines of credit, long-term debt and certain derivative instruments.
	The valuation techniques used to measure fair value are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect internal market assumptions. These two types of inputs create the following fair value hierarchy: Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs for which little or no market data exists, therefore requiring an entity to develop its own assumptions.
	The carrying amounts of cash equivalents, accounts receivable, accounts payable and drawings on revolving lines of credit are considered reasonable estimates of their fair market value, due to the short maturity of these instruments or as a result of the competitive market interest rates, which have been negotiated. If measured at fair value, accounts receivable and accounts payable would be classified as Level 3 and drawings on the revolving lines of credit would be classified as Level 2.
	The following table presents information about the Company’s assets and liabilities measured at fair value:
					Fair Value Measurements at September 30, 2014
		Total			Level 1			Level 2			Level 3
	Assets
	Cash equivalents	$	237,390		$	237,390		$	—		$	—
	Auction rate securities	1,126			—			—			1,126
	Total assets	$	238,516		$	237,390		$	—		$	1,126
	Liabilities
	Contingent purchase consideration	$	98		$	—		$	—		$	98
	Interest rate swaps	221			—			221			—
	Total liabilities	$	319		$	—		$	221		$	98
					Fair Value Measurements at December 31, 2013
		Total			Level 1			Level 2			Level 3
	Assets
	Cash equivalents	$	240,159		$	240,159		$	—		$	—
	Auction rate securities	1,120			—			—			1,120
	Total assets	$	241,279		$	240,159		$	—		$	1,120
	Liabilities
	Contingent purchase consideration	$	375		$	—		$	—		$	375
	Interest rate swaps	423			—			423			—
	Total liabilities	$	798		$	—		$	423		$	375
	The fair value of the auction rate securities considered prices observed in inactive secondary markets for the securities held by the Company.
	The fair value of accrued contingent consideration incurred was determined using an income approach at the acquisition date and reporting date. That approach is based on significant inputs that are not observable in the market. Key assumptions include assessing the probability of meeting certain milestones required to earn the contingent consideration.
		Three Months Ended September 30,						Nine Months Ended September 30,
		2014			2013			2014			2013
	Auction Rate Securities
	Balance, beginning of period	$	1,124		$	1,116		$	1,120		$	1,112
	Change in fair value and accretion	2			2			6			6
	Balance, end of period	$	1,126		$	1,118		$	1,126		$	1,118
	Contingent Purchase Consideration
	Balance, beginning of period	$	357		$	559		$	375		$	3,023
	Change in fair value and currency fluctuations	(259		)	(184		)	(277		)	(2,648		)
	Balance, end of period	$	98		$	375		$	98		$	375

Goodwill_And_Intangibles

Goodwill And Intangibles	9 Months Ended
	Sep. 30, 2014
Goodwill and Intangible Assets Disclosure [Abstract]	'
Goodwill And Intangibles	'
	GOODWILL AND INTANGIBLES
	The carrying amount of goodwill was $455 at both December 31, 2013 and September 30, 2014.
	Intangible assets, subject to amortization, consisted of the following:
		30-Sep-14								31-Dec-13
		Gross  Carrying		Accumulated			Net  Carrying		Weighted-	Gross  Carrying		Accumulated			Net  Carrying		Weighted-
		Amount		Amortization			Amount		Average  Lives	Amount		Amortization			Amount		Average  Lives
	Patents	$	6,642	$	(4,124	)	$	2,518	6 Years	$	4,667	$	(4,091	)	$	576	6 Years
	Customer relationships	3,828		(3,376		)	452		5 Years	4,112		(3,324		)	788		5 Years
	Production know-how	6,918		(2,427		)	4,491		8 Years	7,063		(1,747		)	5,316		8 Years
	Technology, trademark and tradename	4,175		(1,789		)	2,386		8 Years	4,271		(1,387		)	2,884		8 Years
		$	21,563	$	(11,716	)	$	9,847		$	20,113	$	(10,549	)	$	9,564
	During the third quarter of 2014, the Company purchased certain patents and patent rights in the amount of $2,000.
	Amortization expense for the three months ended September 30, 2014 and 2013 was $527 and $596, respectively. Amortization expense for the nine months ended September 30, 2014 and 2013 was $1,604 and $1,705, respectively. The estimated future amortization expense for intangibles for the remainder of 2014 and subsequent years is as follows:
	2014		2015	2016		2017		2018	Thereafter		Total
	$518		$1,527	$1,439		$1,439		$1,375	$3,549		$9,847

Product_Warranties

Product Warranties	9 Months Ended
	Sep. 30, 2014
Product Warranties Disclosures [Abstract]	'
Product Warranties	'
	PRODUCT WARRANTIES
	The Company typically provides one to three-year parts and service warranties on lasers and amplifiers. Most of the Company's sales offices provide support to customers in their respective geographic areas. Warranty reserves have generally been sufficient to cover product warranty repair and replacement costs. The following table summarizes product warranty activity recorded during the nine months ended September 30, 2014 and 2013.
		2014			2013
	Balance at January 1	$	14,997		$	10,714
	Provision for warranty accrual	10,460			7,867
	Warranty claims and other reductions	(7,195		)	(4,977		)
	Foreign currency translation	(1,183		)	136
	Balance at September 30	$	17,079		$	13,740
	Accrued warranty reported in the accompanying consolidated financial statements as of September 30, 2014 and December 31, 2013 consist of $7,948 and $7,724 in accrued expenses and other liabilities and $9,131 and $7,273 in other long-term liabilities, respectively.

Income_Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2014
Income Tax Disclosure [Abstract]	'
Income Taxes	'
	INCOME TAXES
	A reconciliation of the total amounts of unrecognized tax benefits is as follows:
		2014			2013
	Balance at January 1	$	6,501		$	5,392
	Reductions of prior period positions	—			(63		)
	Additions for tax positions in prior period	—			—
	(Reductions) additions for tax positions in current period	(795		)	293
	Balance at September 30	$	5,706		$	5,622
	Substantially all of the liability for uncertain tax benefits related to various federal, state and foreign income tax matters, would benefit the Company's effective tax rate, if recognized.

Commitments_and_Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Commitments and Contingencies	'
	COMMITMENTS AND CONTINGENCIES
	From time to time, the Company may be involved in disputes and legal proceedings in the ordinary course of its business.
	These proceedings may include allegations of infringement of intellectual property, commercial disputes and employment
	matters. As of September 30, 2014 and through the filing date of these Financial Statements, the Company has no legal proceedings ongoing that management estimates could have a material effect on the Company's Consolidated Financial Statements.
	Russia/Ukraine
	Recent events in Ukraine have resulted in the United States and the European Union imposing and escalating sanctions on Russia and certain businesses, sectors and individuals in Russia. The United States and the European Union also suspended the granting of certain types of export licenses to Russia. Russia has imposed its own sanctions on certain individuals in the U.S. and may be considering other sanctions on the U.S. and the European Union or certain businesses or individuals from them. The Company has a large manufacturing facility and research and development operations in Russia which supplies components to its U.S. and German manufacturing facilities and finished lasers to the Company's subsidiary in China. In addition, the Company supplies components from its U.S. and German manufacturing facilities to its Russian facility. To date, the Company has not experienced any material disruptions or impact from current sanctions. Should there be disruption of the Company's supplies from or to its Russian operations, or should the United States, the European Union or Russia implement different sanctions, the Company's production and/or deliveries as well as results of operations would be affected.

Inventories_Tables

Inventories (Tables)	9 Months Ended
	Sep. 30, 2014
Inventory Disclosure [Abstract]	'
Components Of Inventories	'
	Inventories consist of the following:
		September 30,		December 31,
		2014		2013
	Components and raw materials	$	58,172	$	54,539
	Work-in-process	63,823		64,927
	Finished goods	57,481		53,234
	Total	$	179,476	$	172,700

Accrued_Expenses_And_Other_Lia1

Accrued Expenses And Other Liabilities (Tables)	9 Months Ended
	Sep. 30, 2014
Payables and Accruals [Abstract]	'
Components Of Accrued Expenses And Other Liabilities	'
	Accrued expenses and other liabilities consist of the following:
		September 30,		December 31,
		2014		2013
	Accrued compensation	$	29,626	$	25,727
	Customer deposits and deferred revenue	21,504		18,489
	Current portion of accrued warranty	7,948		7,724
	Other	7,784		7,396
	Total	$	66,862	$	59,336

Financing_Arrangements_Tables

Financing Arrangements (Tables)	9 Months Ended
	Sep. 30, 2014
Debt Disclosure [Abstract]	'
Borrowings Under Existing Financing Arrangements	'
	The Company's borrowings under existing financing arrangements consist of the following:
		September 30,			December 31,
		2014			2013
	Revolving line-of-credit facilities:
	European overdraft facilities	$	2,276		$	1,038
	Euro line of credit	—			2,258
	Total	$	2,276		$	3,296
	Term debt:
	U.S. long-term note	$	11,667		$	12,666
	Less: current portion	(11,667		)	(1,333		)
	Total long-term debt	$	—		$	11,333

Net_Income_Attributable_To_IPG1

Net Income Attributable To IPG Photonics Corporation Per Share (Tables)	9 Months Ended
	Sep. 30, 2014
Earnings Per Share [Abstract]	'
Computation Of Diluted Net Income Per Share	'
	The following table sets forth the computation of diluted net income attributable to IPG Photonics Corporation per share:
		Three Months Ended September 30,				Nine Months Ended September 30,
		2014		2013		2014		2013
	Net income attributable to IPG Photonics Corporation	$	55,200	$	42,338	$	144,014	$	119,185
	Weighted average shares	52,088		51,495		52,060		51,474
	Dilutive effect of common stock equivalents	704		872		720		872
	Diluted weighted average common shares	52,792		52,367		52,780		52,346
	Basic net income attributable to IPG Photonics Corporation per share	$	1.06	$	0.82	$	2.77	$	2.32
	Diluted net income attributable to IPG Photonics Corporation per share	$	1.05	$	0.81	$	2.73	$	2.28

Derivative_Financial_Instrumen1

Derivative Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2014
Derivative Instruments and Hedging Activities Disclosure [Abstract]	'
Fair Value Of Cash Flow Hedges	'
	The fair value amounts in the consolidated balance sheet related to the interest rate swap were:
	Notional Amounts1								Other Assets								Other Current Liabilities2				Other Long-Term Liabilities2
	September 30,				December 31,				September 30,				December 31,				September 30,		December 31,		September 30,		December 31,
	2014				2013				2014				2013				2014		2013		2014		2013
	$	11,667			$	12,666			$	—			$	—			$	221	$	—	$	—	$	423
	(1) Notional amounts represent the gross contract/notional amount of the derivatives outstanding.
	(2) As of September 30, 2014, the remaining balance of the U.S. long-term note outstanding is considered current because the term of the note expires in June 2015 and is thus due within one year. Accordingly, the interest rate swap liability has been reclassified.
Derivative Gains (Losses) In The Consolidated Statements Of Income Related To Interest Rate Swap Contracts	'
	The derivative gains and losses in the consolidated statements of income related to the Company's interest rate swap contracts were as follows:
		Three Months Ended September 30,								Nine Months Ended September 30,
		2014				2013				2014				2013
	Effective portion recognized in other comprehensive loss, pretax:
	Interest rate swap	$	145			$	186			$	427			$	733
	Effective portion reclassified from other comprehensive loss to interest expense, pretax:
	Interest rate swap	$	(73	)		$	(101	)		$	(225	)		$	(371	)
	Ineffective portion recognized in income:
	Interest rate swap	$	—			$	—			$	—			$	—

Fair_Value_Measurements_Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2014
Fair Value Disclosures [Abstract]	'
Assets And Liabilities Measured At Fair Value	'
	The following table presents information about the Company’s assets and liabilities measured at fair value:
					Fair Value Measurements at September 30, 2014
		Total			Level 1			Level 2			Level 3
	Assets
	Cash equivalents	$	237,390		$	237,390		$	—		$	—
	Auction rate securities	1,126			—			—			1,126
	Total assets	$	238,516		$	237,390		$	—		$	1,126
	Liabilities
	Contingent purchase consideration	$	98		$	—		$	—		$	98
	Interest rate swaps	221			—			221			—
	Total liabilities	$	319		$	—		$	221		$	98
					Fair Value Measurements at December 31, 2013
		Total			Level 1			Level 2			Level 3
	Assets
	Cash equivalents	$	240,159		$	240,159		$	—		$	—
	Auction rate securities	1,120			—			—			1,120
	Total assets	$	241,279		$	240,159		$	—		$	1,120
	Liabilities
	Contingent purchase consideration	$	375		$	—		$	—		$	375
	Interest rate swaps	423			—			423			—
	Total liabilities	$	798		$	—		$	423		$	375
Fair Value Of Auction Rate Securities	'
		Three Months Ended September 30,						Nine Months Ended September 30,
		2014			2013			2014			2013
	Auction Rate Securities
	Balance, beginning of period	$	1,124		$	1,116		$	1,120		$	1,112
	Change in fair value and accretion	2			2			6			6
	Balance, end of period	$	1,126		$	1,118		$	1,126		$	1,118
	Contingent Purchase Consideration
	Balance, beginning of period	$	357		$	559		$	375		$	3,023
	Change in fair value and currency fluctuations	(259		)	(184		)	(277		)	(2,648		)
	Balance, end of period	$	98		$	375		$	98		$	375

Goodwill_And_Intangibles_Table

Goodwill And Intangibles (Tables)	9 Months Ended
	Sep. 30, 2014
Goodwill and Intangible Assets Disclosure [Abstract]	'
Intangible Assets	'
	Intangible assets, subject to amortization, consisted of the following:
		30-Sep-14								31-Dec-13
		Gross  Carrying		Accumulated			Net  Carrying		Weighted-	Gross  Carrying		Accumulated			Net  Carrying		Weighted-
		Amount		Amortization			Amount		Average  Lives	Amount		Amortization			Amount		Average  Lives
	Patents	$	6,642	$	(4,124	)	$	2,518	6 Years	$	4,667	$	(4,091	)	$	576	6 Years
	Customer relationships	3,828		(3,376		)	452		5 Years	4,112		(3,324		)	788		5 Years
	Production know-how	6,918		(2,427		)	4,491		8 Years	7,063		(1,747		)	5,316		8 Years
	Technology, trademark and tradename	4,175		(1,789		)	2,386		8 Years	4,271		(1,387		)	2,884		8 Years
		$	21,563	$	(11,716	)	$	9,847		$	20,113	$	(10,549	)	$	9,564
Estimated Future Amortization Expense For Intangibles	'
	The estimated future amortization expense for intangibles for the remainder of 2014 and subsequent years is as follows:
	2014		2015	2016		2017		2018	Thereafter		Total
	$518		$1,527	$1,439		$1,439		$1,375	$3,549		$9,847

Product_Warranties_Tables

Product Warranties (Tables)	9 Months Ended
	Sep. 30, 2014
Product Warranties Disclosures [Abstract]	'
Summary Of Product Warranty Activity	'
	The following table summarizes product warranty activity recorded during the nine months ended September 30, 2014 and 2013.
		2014			2013
	Balance at January 1	$	14,997		$	10,714
	Provision for warranty accrual	10,460			7,867
	Warranty claims and other reductions	(7,195		)	(4,977		)
	Foreign currency translation	(1,183		)	136
	Balance at September 30	$	17,079		$	13,740

Income_Taxes_Tables

Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2014
Income Tax Disclosure [Abstract]	'
Reconciliation Of The Total Amounts Of Unrecognized Tax Benefits	'
	A reconciliation of the total amounts of unrecognized tax benefits is as follows:
		2014			2013
	Balance at January 1	$	6,501		$	5,392
	Reductions of prior period positions	—			(63		)
	Additions for tax positions in prior period	—			—
	(Reductions) additions for tax positions in current period	(795		)	293
	Balance at September 30	$	5,706		$	5,622

Inventories_Components_Of_Inve

Inventories (Components Of Inventories) (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Inventory Disclosure [Abstract]	'	'	'	'	'
Components and raw materials	$58,172	'	$58,172	'	$54,539
Work-in-process	63,823	'	63,823	'	64,927
Finished goods	57,481	'	57,481	'	53,234
Total	179,476	'	179,476	'	172,700
Inventory provisions	$2,551	$4,286	$8,363	$7,842	'

Accrued_Expenses_And_Other_Lia2

Accrued Expenses And Other Liabilities (Components Of Accrued Expenses And Other Liabilities) (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Payables and Accruals [Abstract]	'	'
Accrued compensation	$29,626	$25,727
Customer deposits and deferred revenue	21,504	18,489
Current portion of accrued warranty	7,948	7,724
Other	7,784	7,396
Total	$66,862	$59,336

Financing_Arrangements_Borrowi

Financing Arrangements (Borrowings Under Existing Financing Arrangements) (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Debt Instrument [Line Items]	'	'
Revolving line-of-credit facilities:	$2,276,000	$3,296,000
Less: current portion	-11,667,000	-1,333,000
Total long-term debt	0	11,333,000
European overdraft facilities	'	'
Debt Instrument [Line Items]	'	'
Revolving line-of-credit facilities:	2,276,000	1,038,000
Euro line of credit	'	'
Debt Instrument [Line Items]	'	'
Revolving line-of-credit facilities:	0	2,258,000
Guarantees issued	1,900,000	'
U.S. long-term note	'	'
Debt Instrument [Line Items]	'	'
Term debt:	$11,667,000	$12,666,000

Net_Income_Attributable_To_IPG2

Net Income Attributable To IPG Photonics Corporation Per Share (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Share data, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Earnings Per Share [Abstract]	'	'	'	'
Net income attributable to IPG Photonics Corporation	$55,200	$42,338	$144,014	$119,185
Weighted average shares (shares)	52,088,000	51,495,000	52,060,000	51,474,000
Dilutive effect of common stock equivalents (shares)	704,000	872,000	720,000	872,000
Diluted weighted average common shares (shares)	52,792,000	52,367,000	52,780,000	52,346,000
Basic net income attributable to IPG Photonics Corporation per share (in dollars per share)	$1.06	$0.82	$2.77	$2.32
Diluted net income attributable to IPG Photonics Corporation per share (in dollars per share)	$1.05	$0.81	$2.73	$2.28
Options excluded from computation of diluted weighted average common shares	30,000	31,000	61,000	210,000

Derivative_Financial_Instrumen2

Derivative Financial Instruments (Fair Value Of Cash Flow Hedges) (Details) (USD $)	Sep. 30, 2014		Dec. 31, 2013
Interest rate swap	'		'
Derivatives, Fair Value [Line Items]	'		'
Notional amount of derivatives	$11,667,000	[1]	$12,666,000	[1]
Other Assets | Interest rate swap	'		'
Derivatives, Fair Value [Line Items]	'		'
Derivative asset fair value	0		0
Other Current Laibilities | Interest rate swap	'		'
Derivatives, Fair Value [Line Items]	'		'
Derivative liability fair value	221,000	[2]	0	[2]
Other Long-Term Laibilities | Interest rate swap	'		'
Derivatives, Fair Value [Line Items]	'		'
Derivative liability fair value	0	[2]	423,000	[2]
Designated as Hedging Instrument	'		'
Derivatives, Fair Value [Line Items]	'		'
Notional amount of derivatives	$0		'
[1]	Notional amounts represent the gross contract/notional amount of the derivatives outstanding.
[2]	As of September 30, 2014, the remaining balance of the U.S. long-term note outstanding is considered current because the term of the note expires in June 2015 and is thus due within one year. Accordingly, the interest rate swap liability has been reclassified.

Derivative_Financial_Instrumen3

Derivative Financial Instruments (Derivative Gains (Losses) In The Consolidated Statements Of Income Related To Interest Rate Swap Contracts) (Details) (Interest rate swap, USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Interest rate swap	'	'	'	'
Derivative Instruments, Gain (Loss) [Line Items]	'	'	'	'
Effective portion recognized in other comprehensive loss, pretax:	$145	$186	$427	$733
Effective portion reclassified from other comprehensive loss to interest expense, pretax:	-73	-101	-225	-371
Ineffective portion recognized in income:	$0	$0	$0	$0

Fair_Value_Measurements_Assets

Fair Value Measurements (Assets And Liabilities Measured At Fair Value) (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total assets	$238,516	$241,279
Total liabilities	319	798
Level 1	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total assets	237,390	240,159
Level 2	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total liabilities	221	423
Level 3	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total assets	1,126	1,120
Total liabilities	98	375
Cash equivalents	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total assets	237,390	240,159
Cash equivalents | Level 1	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total assets	237,390	240,159
Auction rate securities	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total assets	1,126	1,120
Auction rate securities | Level 1	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total assets	'	0
Auction rate securities | Level 3	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total assets	1,126	1,120
Contingent purchase consideration	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total liabilities	98	375
Contingent purchase consideration | Level 2	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total liabilities	'	0
Contingent purchase consideration | Level 3	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total liabilities	98	375
Interest rate swap	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total liabilities	221	423
Interest rate swap | Level 2	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total liabilities	221	423
Interest rate swap | Level 3	'	'
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]	'	'
Total liabilities	'	$0

Fair_Value_Measurements_Fair_V

Fair Value Measurements (Fair Value Of Auction Rate Securities) (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Auction rate securities	'	'	'	'
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]	'	'	'	'
Balance, beginning of period	$1,124	$1,116	$1,120	$1,112
Change in fair value and accretion	2	2	6	6
Balance, end of period	1,126	1,118	1,126	1,118
Contingent purchase consideration	'	'	'	'
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]	'	'	'	'
Balance, beginning of period	357	559	375	3,023
Change in fair value and currency fluctuations	-259	-184	-277	-2,648
Balance, end of period	$98	$375	$98	$375

Goodwill_And_Intangibles_Narra

Goodwill And Intangibles (Narrative) (Details) (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013	Dec. 31, 2013
Finite-Lived Intangible Assets [Line Items]	'	'	'	'	'
Carrying amount of goodwill	$455	'	$455	'	$455
Amortization expense	527	596	1,604	1,705	'
Patents	'	'	'	'	'
Finite-Lived Intangible Assets [Line Items]	'	'	'	'	'
Patents and patent rights purchased	$2,000	'	'	'	'

Goodwill_And_Intangibles_Intan

Goodwill And Intangibles (Intangible Assets) (Details) (USD $)	9 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Finite-Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	$21,563	$20,113
Accumulated Amortization	-11,716	-10,549
Net Carrying Amount	9,847	9,564
Patents	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	6,642	4,667
Accumulated Amortization	-4,124	-4,091
Net Carrying Amount	2,518	576
Weighted- Average Lives	'6 years	'6 years
Customer relationships	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	3,828	4,112
Accumulated Amortization	-3,376	-3,324
Net Carrying Amount	452	788
Weighted- Average Lives	'5 years	'5 years
Production know-how	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	6,918	7,063
Accumulated Amortization	-2,427	-1,747
Net Carrying Amount	4,491	5,316
Weighted- Average Lives	'8 years	'8 years
Technology, trademark and tradename	'	'
Finite-Lived Intangible Assets [Line Items]	'	'
Gross Carrying Amount	4,175	4,271
Accumulated Amortization	-1,789	-1,387
Net Carrying Amount	$2,386	$2,884
Weighted- Average Lives	'8 years	'8 years

Goodwill_And_Intangibles_Estim

Goodwill And Intangibles (Estimated Future Amortization Expense For Intangibles) (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Goodwill and Intangible Assets Disclosure [Abstract]	'	'
2014	$518	'
2015	1,527	'
2016	1,439	'
2017	1,439	'
2018	1,375	'
Thereafter	3,549	'
Net Carrying Amount	$9,847	$9,564

Product_Warranties_Narrative_D

Product Warranties (Narrative) (Details) (USD $)	Sep. 30, 2014	Dec. 31, 2013	Sep. 30, 2014	Sep. 30, 2014
In Thousands, unless otherwise specified			Minimum	Maximum
Product Warranties [Line Items]	'	'	'	'
Service warranties on lasers and amplifiers	'	'	'1 year	'3 years
Accrued warranty reported in accrued expenses and other liabilities	$7,948	$7,724	'	'
Accrued warranty reported in other long-term liabilities	$9,131	$7,273	'	'

Product_Warranties_Summary_Of_

Product Warranties (Summary Of Product Warranty Activity) (Details) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward]	'	'
Balance at January 1	$14,997	$10,714
Provision for warranty accrual	10,460	7,867
Warranty claims and other reductions	-7,195	-4,977
Foreign currency translation	-1,183	136
Balance at September 30	$17,079	$13,740

Income_Taxes_Details

Income Taxes (Details) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2014	Sep. 30, 2013
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]	'	'
Balance at January 1	$6,501	$5,392
Reductions of prior period positions	0	-63
Additions for tax positions in prior period	0	0
(Reductions) additions for tax positions in current period	-795	293
Balance at September 30	$5,706	$5,622