Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Oct. 02, 2023 | Nov. 02, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Oct. 02, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | TTMI | |
Entity Registrant Name | TTM TECHNOLOGIES, INC. | |
Entity Central Index Key | 0001116942 | |
Current Fiscal Year End Date | --01-01 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 102,244,622 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false | |
Entity File Number | 000-31285 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 91-1033443 | |
Entity Address, Address Line One | 200 East Sandpointe | |
Entity Address, Address Line Two | Suite 400 | |
Entity Address, City or Town | Santa Ana | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 92707 | |
City Area Code | 714 | |
Local Phone Number | 327-3000 | |
Title of 12(b) Security | Common Stock | |
Security Exchange Name | NASDAQ | |
Document Quarterly Report | true | |
Document Transition Report | false |
Consolidated Condensed Balance
Consolidated Condensed Balance Sheets - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 408,331 | $ 402,749 |
Accounts receivable, net | 390,902 | 473,225 |
Contract assets | 304,279 | 335,788 |
Inventories | 206,176 | 170,639 |
Receivable from sale of Shanghai E-MS (SH E-MS) property | 6,554 | 69,240 |
Prepaid expenses and other current assets | 36,994 | 41,415 |
Total current assets | 1,353,236 | 1,493,056 |
Property, plant and equipment, net | 808,371 | 724,204 |
Operating lease right-of-use assets | 89,290 | 18,862 |
Goodwill | 702,735 | 760,437 |
Definite-lived intangibles, net | 250,476 | 288,037 |
Deposits and other non-current assets | 62,394 | 39,008 |
Total assets | 3,266,502 | 3,323,604 |
Current liabilities: | ||
Short-term debt, including current portion of long-term debt | 2,625 | 50,000 |
Accounts payable | 336,070 | 361,788 |
Contract liabilities | 102,236 | 103,981 |
Accrued salaries, wages and benefits | 94,053 | 115,524 |
Other current liabilities | 153,302 | 130,032 |
Total current liabilities | 688,286 | 761,325 |
Long-term debt, net of discount and issuance costs | 864,824 | 879,407 |
Operating lease liabilities | 82,103 | 12,249 |
Other long-term liabilities | 130,175 | 135,044 |
Total long-term liabilities | 1,077,102 | 1,026,700 |
Commitments and contingencies (Note 14) | ||
Equity: | ||
Common stock, $0.001 par value; 300,000 shares authorized; 111,250 and 109,598 shares issued as of October 2, 2023 and January 2, 2023, respectively; 102,860 and 102,228 shares outstanding as of October 2, 2023 and January 2, 2023, respectively | 111 | 110 |
Treasury stock - common stock at cost; 8.390 and 7,370 shares as of October 2, 2023 and January 2, 2023, respectively | (113,276) | (98,659) |
Additional paid-in capital | 874,804 | 858,077 |
Retained earnings | 764,785 | 800,841 |
Accumulated other comprehensive loss | (25,310) | (24,790) |
Total stockholders’ equity | 1,501,114 | 1,535,579 |
Total liabilities and stockholders' equity | $ 3,266,502 | $ 3,323,604 |
Consolidated Condensed Balanc_2
Consolidated Condensed Balance Sheets (Parenthetical) - $ / shares | Oct. 02, 2023 | Jan. 02, 2023 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 111,250,000 | 109,598,000 |
Common stock, shares outstanding | 102,860,000 | 102,228,000 |
Treasury stock, common shares | 8,390,000 | 7,370,000 |
Consolidated Condensed Statemen
Consolidated Condensed Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |||
Income Statement [Abstract] | ||||||
Net sales | $ 572,582 | $ 671,080 | [1] | $ 1,663,528 | $ 1,877,890 | [1] |
Cost of goods sold | 459,312 | 542,513 | 1,365,628 | 1,541,327 | ||
Gross profit | 113,270 | 128,567 | 297,900 | 336,563 | ||
Operating expenses: | ||||||
Selling and marketing | 18,763 | 19,824 | 58,245 | 55,653 | ||
General and administrative | 38,916 | 40,743 | 111,829 | 121,863 | ||
Research and development | 6,173 | 7,322 | 19,682 | 18,110 | ||
Amortization of definite-lived intangibles | 11,429 | 10,273 | 37,245 | 26,822 | ||
Impairment of goodwill | 44,100 | 0 | 44,100 | 0 | ||
Restructuring charges | 4,091 | 627 | 19,061 | 1,267 | ||
Total operating expenses | 123,472 | 78,789 | 290,162 | 223,715 | ||
Operating (loss) income | (10,202) | 49,778 | 7,738 | 112,848 | ||
Other (expense) income: | ||||||
Interest expense | (10,101) | (10,939) | (34,751) | (33,011) | ||
Loss on extinguishment of debt | 0 | 0 | (1,154) | 0 | ||
Gain on sale of subsidiary | 0 | 0 | 1,270 | 0 | ||
Other, net | 3,044 | 10,324 | 9,310 | 19,932 | ||
Total other expense, net | (7,057) | (615) | (25,325) | (13,079) | ||
(Loss) income before income taxes | (17,259) | 49,163 | (17,587) | 99,769 | ||
Income tax provision | (19,807) | (5,635) | (18,469) | (11,203) | ||
Net (loss) income | $ (37,066) | $ 43,528 | $ (36,056) | $ 88,566 | ||
(Loss) earnings per share: | ||||||
Basic (loss) earnings per share | $ (0.36) | $ 0.43 | $ (0.35) | $ 0.87 | ||
Diluted (loss) earnings per share | $ (0.36) | $ 0.42 | $ (0.35) | $ 0.85 | ||
[1] Amended for Telephonics integration. |
Consolidated Condensed Statem_2
Consolidated Condensed Statements of Comprehensive (Loss) Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income (Loss) | $ (37,066) | $ 43,528 | $ (36,056) | $ 88,566 |
Other comprehensive income (loss), net of tax: | ||||
Foreign currency translation adjustments | (52) | (614) | (485) | (2,350) |
Derecognition of foreign currency translation adjustments due to sale of subsidiary | 0 | 0 | (6,627) | 0 |
Net unrealized gain (loss) on cash flow hedges: | ||||
Unrealized gain on effective cash flow hedges during the period, net | 3,010 | 0 | 8,150 | 24 |
Amounts realized in the statement of operations, net | (837) | 5 | (1,558) | 3,092 |
Net | 2,173 | 5 | 6,592 | 3,116 |
Other comprehensive income (loss), net of tax | 2,121 | (609) | (520) | 766 |
Comprehensive (loss)income, net of tax | $ (34,945) | $ 42,919 | $ (36,576) | $ 89,332 |
Consolidated Condensed Statem_3
Consolidated Condensed Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Treasury Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive (Loss) Income |
Beginning balance at Jan. 03, 2022 | $ 1,455,417 | $ 108 | $ (63,807) | $ 840,113 | $ 706,258 | $ (27,255) |
Beginning balance (in shares) at Jan. 03, 2022 | 108,194 | (4,661) | ||||
Net Income (Loss) | 17,246 | 17,246 | ||||
Other comprehensive (loss) income | 2,151 | 2,151 | ||||
Issuance of common stock for performance-based restricted stock units (in shares) | 182 | |||||
Issuance of common stock for restricted stock units (in shares) | 7 | |||||
Repurchases of common stock | (30,232) | $ (30,232) | ||||
Repurchases of common stock (in shares) | (2,373) | |||||
Fair value of warrants reclassified to warrant liabilities | (987) | (987) | ||||
Issuance of stock from warrant exercises | $ 572 | (572) | ||||
Issuance of common stock from warrant exercises (in shares) | 38 | |||||
Stock-based compensation | 4,234 | 4,234 | ||||
Ending balance at Apr. 04, 2022 | 1,447,829 | $ 108 | $ (93,467) | 842,788 | 723,504 | (25,104) |
Ending balance (in shares) at Apr. 04, 2022 | 108,383 | (6,996) | ||||
Beginning balance at Jan. 03, 2022 | 1,455,417 | $ 108 | $ (63,807) | 840,113 | 706,258 | (27,255) |
Beginning balance (in shares) at Jan. 03, 2022 | 108,194 | (4,661) | ||||
Net Income (Loss) | 88,566 | |||||
Other comprehensive (loss) income | 766 | |||||
Ending balance at Oct. 03, 2022 | 1,522,469 | $ 109 | $ (98,659) | 852,684 | 794,824 | (26,489) |
Ending balance (in shares) at Oct. 03, 2022 | 109,576 | (7,370) | ||||
Beginning balance at Apr. 04, 2022 | 1,447,829 | $ 108 | $ (93,467) | 842,788 | 723,504 | (25,104) |
Beginning balance (in shares) at Apr. 04, 2022 | 108,383 | (6,996) | ||||
Net Income (Loss) | 27,792 | 27,792 | ||||
Other comprehensive (loss) income | (776) | (776) | ||||
Issuance of common stock for restricted stock units | $ 1 | (1) | ||||
Issuance of common stock for restricted stock units (in shares) | 1,172 | |||||
Repurchases of common stock | (5,192) | $ (5,192) | ||||
Repurchases of common stock (in shares) | (374) | |||||
Stock-based compensation | 4,427 | 4,427 | ||||
Ending balance at Jul. 04, 2022 | 1,474,080 | $ 109 | $ (98,659) | 847,214 | 751,296 | (25,880) |
Ending balance (in shares) at Jul. 04, 2022 | 109,555 | (7,370) | ||||
Net Income (Loss) | 43,528 | 43,528 | ||||
Other comprehensive (loss) income | (609) | (609) | ||||
Issuance of common stock for restricted stock units (in shares) | 21 | |||||
Stock-based compensation | 5,470 | 5,470 | ||||
Ending balance at Oct. 03, 2022 | 1,522,469 | $ 109 | $ (98,659) | 852,684 | 794,824 | (26,489) |
Ending balance (in shares) at Oct. 03, 2022 | 109,576 | (7,370) | ||||
Beginning balance at Jan. 02, 2023 | 1,535,579 | $ 110 | $ (98,659) | 858,077 | 800,841 | (24,790) |
Beginning balance (in shares) at Jan. 02, 2023 | 109,598 | (7,370) | ||||
Net Income (Loss) | (5,814) | (5,814) | ||||
Other comprehensive (loss) income | (7,271) | (7,271) | ||||
Issuance of common stock for performance-based restricted stock units (in shares) | 337 | |||||
Issuance of common stock for restricted stock units (in shares) | 21 | |||||
Stock-based compensation | 5,240 | 5,240 | ||||
Ending balance at Apr. 03, 2023 | 1,527,734 | $ 110 | $ (98,659) | 863,317 | 795,027 | (32,061) |
Ending balance (in shares) at Apr. 03, 2023 | 109,956 | (7,370) | ||||
Beginning balance at Jan. 02, 2023 | 1,535,579 | $ 110 | $ (98,659) | 858,077 | 800,841 | (24,790) |
Beginning balance (in shares) at Jan. 02, 2023 | 109,598 | (7,370) | ||||
Net Income (Loss) | (36,056) | |||||
Other comprehensive (loss) income | (520) | (520) | ||||
Repurchases of common stock | $ (14,617) | |||||
Repurchases of common stock (in shares) | (1,020) | |||||
Ending balance at Oct. 02, 2023 | $ 1,501,114 | $ 111 | $ (113,276) | 874,804 | 764,785 | (25,310) |
Ending balance (in shares) at Oct. 02, 2023 | 111,250 | (8,390) | ||||
Beginning balance at Apr. 03, 2023 | 1,527,734 | $ 110 | $ (98,659) | 863,317 | 795,027 | (32,061) |
Beginning balance (in shares) at Apr. 03, 2023 | 109,956 | (7,370) | ||||
Net Income (Loss) | 6,824 | 6,824 | ||||
Other comprehensive (loss) income | 4,630 | 4,630 | ||||
Issuance of common stock for restricted stock units | $ 1 | (1) | ||||
Issuance of common stock for restricted stock units (in shares) | 1,284 | |||||
Stock-based compensation | 5,121 | 5,121 | ||||
Ending balance at Jul. 03, 2023 | 1,544,309 | $ 111 | $ (98,659) | 868,437 | 801,851 | (27,431) |
Ending balance (in shares) at Jul. 03, 2023 | 111,240 | (7,370) | ||||
Net Income (Loss) | (37,066) | (37,066) | ||||
Other comprehensive (loss) income | 2,121 | 2,121 | ||||
Issuance of common stock for restricted stock units (in shares) | 10 | |||||
Repurchases of common stock | $ (14,617) | $ (14,617) | ||||
Repurchases of common stock (in shares) | (1,020) | (1,020) | ||||
Stock-based compensation | $ 6,367 | 6,367 | ||||
Ending balance at Oct. 02, 2023 | $ 1,501,114 | $ 111 | $ (113,276) | $ 874,804 | $ 764,785 | $ (25,310) |
Ending balance (in shares) at Oct. 02, 2023 | 111,250 | (8,390) |
Consolidated Condensed Statem_4
Consolidated Condensed Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Oct. 02, 2023 | Oct. 03, 2022 | |
Cash flows from operating activities: | ||
Net (loss) income | $ (36,056) | $ 88,566 |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | ||
Depreciation of property, plant and equipment | 74,060 | 67,306 |
Amortization of definite-lived intangible assets | 47,811 | 30,973 |
Amortization of debt discount and issuance costs | 1,726 | 1,608 |
Loss on extinguishment of debt | 1,154 | 0 |
Deferred income taxes | 1,177 | (7,158) |
Stock-based compensation | 16,728 | 14,131 |
Gain on sale of subsidiary | (1,270) | 0 |
Impairment of goodwill | 44,100 | 0 |
Other | (633) | (5,194) |
Changes in operating assets and liabilities: | ||
Accounts receivable, net | 72,591 | (40,605) |
Contract assets | 30,360 | (8,642) |
Inventories | (38,493) | (16,903) |
Prepaid expenses and other current assets | 81 | (31,638) |
Accounts payable | (26,788) | 24,337 |
Contract liabilities | (1,745) | 27,842 |
Accrued salaries, wages and benefits | (20,955) | 22,738 |
Other current liabilities | (24,034) | 27,953 |
Net cash provided by operating activities | 139,814 | 195,314 |
Cash flows from investing activities: | ||
Acquisition of Gritel Holding Co., Inc. and ISC Farmingdale Corp. | 0 | (298,339) |
Proceeds from sale of SH E-MS property | 61,769 | 0 |
Purchase of property, plant and equipment and other assets | (114,167) | (76,245) |
Proceeds from sale of property, plant and equipment and other assets | 384 | 150 |
Proceeds from sale of subsidiary, net of cash disposed | 6,039 | 0 |
Other | (101) | (245) |
Net cash used in investing activities | (46,076) | (374,679) |
Cash flows from financing activities: | ||
Repayment of long-term debt borrowings | (291,572) | 0 |
Proceeds from long-term debt borrowing | 234,818 | 0 |
Repurchases of common stock | (14,617) | (35,424) |
Refund of customer deposits | (7,500) | 0 |
Payment of debt issuance costs | (5,487) | 0 |
Payment of original issue discount | (3,500) | 0 |
Proceeds from borrowings of revolving loan | 0 | 50,000 |
Repayment of revolving loan | 0 | (50,000) |
Customer deposits | 0 | 15,000 |
Cash used to settle warrants | 0 | (887) |
Net cash used in financing activities | (87,858) | (21,311) |
Effect of foreign currency exchange rates on cash and cash equivalents | (298) | (1,377) |
Net increase (decrease) in cash and cash equivalents | 5,582 | (202,053) |
Cash and cash equivalents at beginning of period | 402,749 | 537,678 |
Cash and cash equivalents at end of period | 408,331 | 335,625 |
Supplemental cash flow information: | ||
Cash paid, net for interest | 42,688 | 38,405 |
Cash paid, net for income taxes | 27,830 | 3,031 |
Supplemental disclosure of noncash investing and financing activities: | ||
Cashless extinguishment of debt for issuance of new long-term debt borrowing | 115,182 | 0 |
Property, plant and equipment recorded in accounts payable and other current liabilities | 89,056 | 37,555 |
Issuance of common stock for warrant settlement | $ 0 | $ 589 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Oct. 02, 2023 | Jul. 03, 2023 | Apr. 03, 2023 | Oct. 03, 2022 | Jul. 04, 2022 | Apr. 04, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Pay vs Performance Disclosure | ||||||||
Net Income (Loss) | $ (37,066) | $ 6,824 | $ (5,814) | $ 43,528 | $ 27,792 | $ 17,246 | $ (36,056) | $ 88,566 |
Insider Trading Arrangements
Insider Trading Arrangements | 9 Months Ended |
Oct. 02, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Nature of Operations and Basis
Nature of Operations and Basis of Presentation | 9 Months Ended |
Oct. 02, 2023 | |
Accounting Policies [Abstract] | |
Nature of Operations and Basis of Presentation | (1) Nature of Operations and Basis of Presentation TTM Technologies, Inc. (the Company or TTM) is a leading global manufacturer of technology solutions including mission systems, radio frequency (RF) components/RF microwave/microelectronic assemblies, quick-turn and technologically advanced printed circuit boards (PCB). The Company provides time-to-market and volume production of advanced technology products and offers a one-stop design, engineering, and manufacturing solution to customers. This one-stop design, engineering, and manufacturing solution allows the Company to align technology developments with the diverse needs of the Company’s customers and to enable them to reduce the time required to develop new products and bring them to market. The Company serves a diversified customer base in various markets throughout the world, including aerospace and defense, data center computing, automotive, medical, industrial and instrumentation related products, and networking. The Company’s customers include original equipment manufacturers (OEMs), electronic manufacturing services (EMS) providers, original design manufacturers (ODMs), distributors and government agencies. The accompanying consolidated condensed financial statements have been prepared by the Company, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). Certain information and disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) have been condensed or omitted pursuant to such rules and regulations. These consolidated condensed financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company’s most recent Annual Report on Form 10-K. The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the Company’s consolidated condensed financial statements and accompanying notes. Due, in part, to the coronavirus (COVID-19) and its variants, the conflict between Russia and Ukraine, and the current conflict in Israel and the Gaza Strip, the global economy and financial markets have been volatile. In addition, the global economy and financial markets have experienced on-going disruptions in global supply chains, labor shortages, high inflation, and a potential recession. The Company has considered information available to it as of the date of issuance of these financial statements and is not aware of any specific events or circumstances that would require an update to its estimates or judgments, or a revision to the carrying value of its assets or liabilities. The actual results the Company experienced may differ materially and adversely from its estimates. The Company uses a 52/53 week fiscal calendar with the fourth quarter ending on the Monday nearest December 31. Reclassifications Certain amounts in the prior period financial statements have been reclassified to conform to the presentation of the current period financial statements. These reclassifications had no effect on the previously reported net income. Recently Adopted and Issued Accounting Standards Recently Adopted Accounting Standards In September 2022, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2022-04, Liabilities - Supplier Finance Programs (Topic 450-50): Disclosure of Supplier Finance Program Obligations , that requires entities that use supplier finance programs in connection with the purchase of goods and services to disclose the key terms of the programs and information about obligations outstanding at the end of the reporting period, including a rollforward of those obligations. The guidance does not affect the recognition, measurement or financial statement presentation of supplier finance program obligations. The amendments are effective for all entities for fiscal years beginning after December 15, 2022 on a retrospective basis, including interim periods within those fiscal years, except for the requirement to disclose rollforward information, which is effective prospectively for fiscal years beginning after December 15, 2023. The Company adopted ASU 2022-04 as of April 3, 2023 . The Company has agreements with financial institutions to facilitate the payments to certain suppliers. Under the terms of the agreements, the Company confirms the validity of each supplier invoice to the respective financial institution upon receipt. The supplier receives payment from the financial institution, and the Company pays the financial institution based on the terms negotiated, which generally range from 160 days to 360 days . Liabilities associated with these agreements are recorded in accounts payable on the consolidated condensed balance sheets and amounted to $ 15,945 and $ 6,653 as of October 2, 2023 and January 2, 2023, respectively. In December 2022, the FASB issued ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848 , which deferred the sunset date of Topic 848 to December 31, 2024, after which entities will no longer be permitted to apply the optional expedients and exceptions in Topic 848. On March 23, 2023, the Company entered into a four-year pay-fixed, receive floating (1-month CME Term Secured Overnight Financing Rate (SOFR)), interest rate swap arrangement with a notional amount of $ 250,000 for the period beginning April 1, 2023 and ending on April 1, 2027. Under the terms of the interest rate swap, the Company pays a fixed rate of 3.49 % against a portion of its Term SOFR-based debt and receives a floating 1-month CME Term SOFR during the swap period. The Company elected optional expedients provided in Topic 848 which allow the designation of the interest rate swap as a cash flow hedge. |
Acquisition of Gritel and ISC F
Acquisition of Gritel and ISC Farmingdale Corp. | 9 Months Ended |
Oct. 02, 2023 | |
Gritel and ISC Farmingdale Corporation | |
Acquisition of Gritel and ISC Farmingdale Corp. | (2) Acquisition of Gritel and ISC Farmingdale Corp. On June 27, 2022 , the Company completed its acquisition of all of the issued and outstanding capital stock of Gritel Holding Co., Inc. (Gritel) and ISC Farmingdale Corp. for a total consideration of $ 298,339 in cash. At the time of acquisition, Telephonics Corporation was wholly-owned by Gritel, and as a result of the acquisition, became an indirect, wholly-owned subsidiary of the Company (collectively with ISC Farmingdale Corp., Telephonics). For the quarter and three quarters ended October 2, 2023, legal, accounting, and other professional service costs associated with the acquisition of $ 90 and $ 598 , respectively, have been expensed and recorded as general and administrative expense in the consolidated condensed statements of operations. For the quarter and three quarters ended October 3, 2022, bank fees and legal, accounting, and other professional service costs associated with the acquisition of $ 270 and $ 10,978 , respectively, were expensed and recorded as general and administrative expense in the consolidated condensed statements of operations. Purchase Price Allocation The purchase price was allocated to tangible and intangible assets acquired, and liabilities assumed based on the fair value at the date of the acquisition, June 27, 2022. The excess of the purchase price over the fair value of net assets acquired was allocated to goodwill. The fair values were based on management’s analysis, including work performed by third-party valuation specialists. The Company finalized the allocation of the purchase price during the second quarter of 2023. The fair values assigned are based on reasonable methods applicable to the nature of the assets acquired and liabilities assumed. The following summarizes the final assigned fair values of net assets acquired: (In thousands) Accounts receivable $ 51,140 Contract assets 26,460 Inventories 38,616 Prepaid expenses and other current assets 5,605 Property, plant and equipment 69,253 Operating lease right-of-use assets 497 Goodwill 112,326 Identifiable intangible assets 101,000 Non-current deferred tax assets 913 Deposits and other non-current assets 3,129 Accounts payable ( 16,026 ) Contract liabilities ( 65,262 ) Accrued salaries, wages and benefits ( 10,616 ) Other current liabilities ( 12,751 ) Operating lease liabilities ( 336 ) Other long-term liabilities ( 5,609 ) Total $ 298,339 Identifiable Intangible Assets Acquired identifiable intangible assets include customer relationships, technology, backlog, and trade names. The fair value of the identifiable intangible assets was determined using various valuation methods including relief from royalty and excess earnings to determine the present value of expected future cash flows for each identifiable intangible asset based on discount rates. The expected cash flows were estimated using available historical data adjusted based on a market participant perspective. The Company used risk adjusted discount rates between 7.0 % and 8.0 % to discount the expected future cash flows. The Company finalized the acquired identifiable intangible asset valuation during the second quarter of 2023. The Company recorded amortization expense of $ 20,064 related to the acquired identifiable intangible assets during the three quarters ended October 2, 2023 (of which $ 5,627 corresponded to the year ended January 2, 2023 due to the change in amortization period). For the three quarters ended October 2, 2023, $ 7,375 of amortization expense is included in cost of goods sold (of which $ 2,950 corresponded to the year ended January 2, 2023). Goodwill Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed. The Company believes that the acquisition of Telephonics will strengthen the Company’s differentiated position in the Aerospace and Defense market. The Company believes that these factors support the amount of goodwill recognized as a result of the purchase price paid for Telephonics, in relation to other acquired tangible and intangible assets. The goodwill acquired in the acquisition is not deductible for income tax purposes. Results of Operations Included in the consolidated condensed statements of operations are net sales of $ 159,950 and $ 68,255 , excluding intercompany sales, for the three quarters ended October 2, 2023 and October 3, 2022, respectively. Included in the consolidated condensed statements of operations are pre-tax income of $ 15,883 and $ 6,997 , excluding amortization of intangibles, for the three quarters ended October 2, 2023 and October 3, 2022, respectively. Pro forma Financial Information The unaudited pro forma financial information below gives effect to this acquisition as if it had occurred at the beginning of fiscal 2022, or January 4, 2022. The pro forma financial information presented includes the effects of adjustments related to the amortization of acquired identifiable intangible assets, decrease in inventory markup, depreciation of acquired fixed assets, and other non-recurring transactions costs directly associated with the acquisition such as legal, accounting and banking fees. The pro forma financial information as presented below is for informational purposes only and is not necessarily indicative of the actual results that would have been achieved had the acquisition occurred at the beginning of the earliest period presented, or the results that may be achieved in future periods. Quarter Ended Three Quarters Ended October 2, 2023 October 3, 2022 October 2, 2023 October 3, 2022 (In thousands, except per share amounts) Net sales $ 572,582 $ 671,080 $ 1,663,528 $ 1,984,958 Net (loss) income ( 37,066 ) 41,254 ( 30,626 ) 88,905 Basic (loss) earnings per share $ ( 0.36 ) $ 0.40 $ ( 0.30 ) $ 0.87 Diluted (loss) earnings per share $ ( 0.36 ) $ 0.40 $ ( 0.30 ) $ 0.86 |
Leases
Leases | 9 Months Ended |
Oct. 02, 2023 | |
Leases [Abstract] | |
Leases | (3) Leases The Company leases some of its manufacturing and assembly plants, sales offices and equipment under non-cancellable operating leases and finance leases that expire at various dates through 2043 . The majority of the Company’s lease arrangements are comprised of fixed payments and certain leases consist of variable payments based on equipment usage. These variable payments are not included in the measurement of the right-of-use (ROU) asset or lease liability due to uncertainty of the payment amount and are recorded as lease expense in the period incurred. Certain leases contain renewal provisions at the Company’s option. Most of the leases require the Company to pay for certain other costs such as property taxes and maintenance. Certain leases also contain rent escalation clauses (step rents) that require additional rental amounts in the later years of the term. Rent expense for leases with step rents is recognized on a straight-line basis over the minimum lease term. The lease agreements do not contain any material residual value guarantees or material restrictive covenants. The components of lease expense were as follows: Quarter Ended Three Quarters Ended October 2, 2023 October 3, 2022 October 2, 2023 October 3, 2022 (In thousands) Operating lease cost $ 1,754 $ 2,080 $ 5,562 $ 5,756 Variable lease cost 179 383 674 837 Short-term lease cost 170 199 445 513 Finance lease costs: Amortization of right-of-use assets 344 344 1,031 1,031 Interest on lease liabilities 94 98 281 295 Supplemental cash flow information related to leases was as follows: Three Quarters Ended October 2, 2023 October 3, 2022 (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 5,632 $ 5,796 Right-of-use assets obtained in exchange for new lease obligations: Operating leases 77,840 5,196 Supplemental balance sheet information related to leases was as follows: As of Balance Sheet Location October 2, 2023 January 2, 2023 (In thousands) Assets: Operating leases Operating lease right-of-use assets $ 89,290 $ 18,862 Finance leases Property, plant and equipment, net 12,354 13,384 Total lease assets $ 101,644 $ 32,246 Liabilities: Current: Operating leases Other current liabilities $ 7,846 $ 7,368 Finance leases Other current liabilities 778 736 Long-term: Operating leases Operating lease liabilities 82,103 12,249 Finance leases Other long-term liabilities 12,993 13,579 Total lease liabilities $ 103,720 $ 33,932 As of October 2, 2023 January 2, 2023 Weighted average remaining lease term (years): Operating leases 13.1 3.3 Finance leases 12.9 13.6 Weighted average discount rate: Operating leases 6.11 % 3.09 % Finance leases 2.69 % 2.69 % Maturities of lease liabilities were as follows: Operating (1) Finance (In thousands) Less than one year $ 12,978 $ 1,136 1 - 2 years 11,403 1,133 2 - 3 years 9,038 1,175 3 - 4 years 8,203 1,184 4 - 5 years 7,844 1,228 Thereafter 87,535 10,538 Total lease payments 137,001 16,394 Less imputed interest ( 47,052 ) ( 2,623 ) Total $ 89,949 $ 13,771 (1) Excludes $ 851 of legally binding minimum lease payments for leases signed but not yet commenced. |
Revenues
Revenues | 9 Months Ended |
Oct. 02, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenues | (4) Revenues As of October 2, 2023, the aggregate amount of the transaction price allocated to remaining performance obligations for long-term contracts was $ 353,941 . The Company expects to recognize revenue on approximately 56 % of the remaining performance obligations for the Company’s long-term contracts over the next twelve months with the remaining amount expected to be recognized thereafter. For contracts in which anticipated total costs exceed the total expected revenue, an estimated loss is recognized in the period when identifiable. A provision for the entire amount of the estimated loss is recorded on a cumulative basis. The estimated remaining costs to complete for loss contracts as of October 2, 2023 and January 2, 2023 were $ 19,202 and $ 21,632 , respectively. Revenue recognized for the three quarters ended October 2, 2023 from amounts recorded as contract liabilities as of January 2, 2023 was $ 33,939 . Revenue from products and services transferred to customers over time and at a point in time accounted for 96 % and 4 %, respectively, of the Company’s revenue for the quarter and three quarters ended October 2, 2023, and 98 % and 2 %, respectively, of the Company’s revenue for the quarter and three quarters ended October 3, 2022. The following tables represent a disaggregation of revenue by principal end markets with the reportable segments: Quarter Ended October 2, 2023 Quarter Ended October 3, 2022 (1) PCB RF&S Components Total PCB RF&S Components Total End Markets (In thousands) Aerospace and Defense $ 255,618 $ — $ 255,618 $ 254,285 $ — $ 254,285 Automotive 86,803 — 86,803 100,811 — 100,811 Data Center Computing 99,584 — 99,584 95,830 13 95,843 Medical/Industrial/Instrumentation 89,818 895 90,713 128,444 1,239 129,683 Networking 31,853 8,011 39,864 78,181 12,494 90,675 Other — — — ( 376 ) 159 ( 217 ) Total $ 563,676 $ 8,906 $ 572,582 $ 657,175 $ 13,905 $ 671,080 Three Quarters Ended October 2, 2023 Three Quarters Ended October 3, 2022 (1) PCB RF&S Components Total PCB RF&S Components Total End Markets (In thousands) Aerospace and Defense $ 742,194 $ — $ 742,194 $ 616,141 $ — $ 616,141 Automotive 272,644 — 272,644 327,825 — 327,825 Data Center Computing 221,759 51 221,810 293,802 33 293,835 Medical/Industrial/Instrumentation 279,565 2,557 282,122 379,867 5,023 384,890 Networking 118,156 26,602 144,758 211,590 41,360 252,950 Other — — — 3,449 ( 1,200 ) 2,249 Total $ 1,634,318 $ 29,210 $ 1,663,528 $ 1,832,674 $ 45,216 $ 1,877,890 (1) Amended for Telephonics integration. |
Composition of Certain Consolid
Composition of Certain Consolidated Condensed Financial Statement Captions | 9 Months Ended |
Oct. 02, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Composition of Certain Consolidated Condensed Financial Statement Captions | (5) Composition of Certain Consolidated Condensed Financial Statement Captions As of October 2, 2023 January 2, 2023 (In thousands) Inventories: Raw materials $ 161,870 $ 145,561 Work-in-process 40,378 20,114 Finished goods 3,928 4,964 $ 206,176 $ 170,639 Property, plant and equipment, net: Land and land use rights $ 76,811 $ 76,811 Buildings and improvements 448,756 443,353 Machinery and equipment 986,615 989,935 Furniture and fixtures and other 10,155 11,327 Construction-in-progress 141,135 27,774 1,663,472 1,549,200 Less: Accumulated depreciation ( 855,101 ) ( 824,996 ) $ 808,371 $ 724,204 Other current liabilities: Accrued capital expenditures $ 48,181 $ — Income taxes payable 16,944 28,057 Sales return and allowances 12,216 12,319 Accrued facility operating costs 9,516 9,081 Operating leases 7,846 7,368 Warranty 7,929 8,045 Housing fund 7,410 7,440 Restructuring 5,738 2,513 Accrued professional fees 2,805 5,123 Interest 1,902 9,336 Derivative liabilities 1,040 1,622 Other 31,775 39,128 $ 153,302 $ 130,032 Other long-term liabilities: Deferred income taxes $ 59,130 $ 54,268 Customer deposits 31,250 38,750 Finance leases 12,993 13,579 Defined benefit pension plan liability 2,475 2,471 Other 24,327 25,976 $ 130,175 $ 135,044 On December 22, 2022, land, building, and relevant ancillary assets related to the Company’s former Shanghai E-MS (SH E-MS) manufacturing facility were expropriated by the Chinese government for a compensation fee of Renminbi (RMB) 477.6 million generating a gain on the sale of $ 51,804 . The Company has received 90 % of the proceeds as of October 2, 2023 and expects to receive the remaining 10 % of the proceeds before December 30, 2023. As of October 2, 2023 and January 2, 2023, the receivable from sale of SH E-MS property was $ 6,554 and $ 69,240 , respectively. |
Goodwill
Goodwill | 9 Months Ended |
Oct. 02, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | (6) Goodwill As of October 2, 2023 and January 2, 2023, goodwill by reportable segment was as follows: PCB RF&S Components Total (In thousands) Balance as of January 2, 2023 Goodwill $ 823,837 $ 177,200 $ 1,001,037 Accumulated impairment losses ( 171,400 ) ( 69,200 ) ( 240,600 ) 652,437 108,000 760,437 Impairment loss during the three quarters ended October 2, 2023 — ( 44,100 ) ( 44,100 ) Goodwill adjustment during the three quarters ended October 2, 2023 ( 10,787 ) — ( 10,787 ) Derecognition of goodwill due to sale of subsidiary ( 2,815 ) — ( 2,815 ) Balance as of October 2, 2023 Goodwill 810,235 177,200 987,435 Accumulated impairment losses ( 171,400 ) ( 113,300 ) ( 284,700 ) $ 638,835 $ 63,900 $ 702,735 The Company evaluates its goodwill on an annual basis during its fourth fiscal quarter and at other times when events or changes in circumstances – such as significant adverse changes in the business climate or operating results or changes in management strategy, coupled with a decline in the market price of its stock and market capitalization – indicate that there may be a potential impairment. The Company assesses qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount or performs a quantitative impairment test. During the third quarter of 2023, the Company experienced lower than anticipated results, lower forecasted sales in future years, and a continued decline in sales in the RF and Specialty Components (RF&S Components) reporting unit. The Company considered these factors to be indicators of potential impairment requiring the Company to test the related goodwill for impairment. As of October 2, 2023, the Company completed a quantitative goodwill impairment analysis related to its RF&S Components reporting unit by comparing the fair value of the reporting unit with its carrying amount. In making this assessment, management relies on a number of factors, including expected future operating results, business plans, economic projections, anticipated future cash flows, business trends and declines in the Company’s market capitalization. The Company determined the fair value of the reporting unit by using both a discounted cash flow (DCF) and a market approach. Under the market approach, the Company used revenue and earnings multiples based on comparable industry multiples to estimate the fair value of the reporting unit. If the carrying amount of a reporting unit exceeds the reporting unit’s fair value, the amount by which the carrying value exceeds the fair value is recognized as an impairment loss. Under the DCF approach, the Company estimated the future cash flows, as well as selected a risk-adjusted discount rate to measure the present value of the anticipated cash flows. When determining future cash flow estimates, the Company considered historical results adjusted to reflect current and anticipated future operating conditions. The Company estimated cash flows for the reporting unit over a discrete period and a terminal period (considering expected long-term growth rates and trends). Based on its analysis, the Company determined that the fair value of the RF&S Components reporting unit was less than its carrying value and recorded a non-cash goodwill impairment charge of $ 44,100 during the quarter ended October 2, 2023. If the Company's future cash flow projections and other fair value assumptions for its reporting unit change, the Company’s goodwill may be subject to potential additional impairment charges in subsequent quarters. Estimating the fair value of the reporting unit requires the Company to make assumptions and estimates in such areas as future economic conditions, industry-specific conditions, product pricing, and necessary capital expenditures. The use of different assumptions or estimates for future cash flows, discount rates, or terminal growth rates could produce substantially different estimates of the fair value of the reporting unit. In addition, the Company decreased goodwill by $ 10,787 during the three quarters ended October 2, 2023 due to an adjustment to the estimate of fair value for identifiable intangible assets and deferred taxes. Goodwill recognized as a result of the acquisition of Telephonics was finalized during the second quarter of 2023. See Note 2, Acquisition of Gritel and ISC Farmingdale Corp. , for further information. |
Definite-lived Intangibles
Definite-lived Intangibles | 9 Months Ended |
Oct. 02, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Definite-lived Intangibles | (7) Definite-lived Intangibles As of October 2, 2023 and January 2, 2023, the components of definite-lived intangibles were as follows: Gross Accumulated Net Weighted (In thousands) (In years) October 2, 2023 Customer relationships $ 416,230 $ ( 213,274 ) $ 202,956 11.2 Technology 66,650 ( 24,942 ) 41,708 8.2 Backlog 13,000 ( 8,125 ) 4,875 2.0 Trade names 2,500 ( 1,563 ) 937 2.0 $ 498,380 $ ( 247,904 ) $ 250,476 January 2, 2023 Customer relationships $ 366,071 $ ( 187,560 ) $ 178,511 11.3 Technology 47,650 ( 24,876 ) 22,774 9.5 Acquired intangibles from acquisition Customer relationships 82,500 ( 3,173 ) 79,327 13.0 Trade names 8,250 ( 825 ) 7,425 5.0 $ 504,471 $ ( 216,434 ) $ 288,037 The Company has acquired customer relationships, technology, backlog and trade names as a result of the Telephonics acquisition. See Note 2, Acquisition of Gritel and ISC Farmingdale Corp. , for further information. Definite-lived intangibles are amortized using the straight-line method of amortization over the useful life. Amortization expense was $ 13,764 and $ 11,657 for the quarters ended October 2, 2023 and October 3, 2022, respectively, and $ 47,811 and $ 30,973 for the three quarters ended October 2, 2023 and October 3, 2022, respectively. For the quarter and three quarters ended October 2, 2023, $ 2,335 and $ 10,566 , respectively, of amortization expense is included in cost of goods sold. For the quarter and three quarters ended October 3, 2022, $ 1,384 and $ 4,151 , respectively, of amortization expense is included in cost of goods sold. Estimated aggregate amortization for definite-lived intangible assets for the next five years and thereafter is as follows: (In thousands) Remaining 2023 $ 13,766 2024 44,892 2025 36,897 2026 36,897 2027 34,543 Thereafter 83,481 $ 250,476 |
Long-term Debt and Letters of C
Long-term Debt and Letters of Credit | 9 Months Ended |
Oct. 02, 2023 | |
Debt Disclosure [Abstract] | |
Long-term Debt and Letters of Credit | (8) Long-term Debt and Letters of Credit The following table summarizes the long-term debt of the Company as of October 2, 2023 and January 2, 2023: Interest Rate as of Principal Interest Rate as of Principal (In thousands, except interest rates) Senior Notes due March 2029 4.00 % $ 500,000 4.00 % $ 500,000 Term Loan due May 2030 8.07 349,125 — — Asia ABL Revolving Loan due June 2028 6.62 30,000 5.79 30,000 Term Loan due September 2024 — — 6.89 405,879 879,125 935,879 Less: Long-term debt unamortized debt ( 8,312 ) ( 6,080 ) Long-term debt unamortized discount ( 3,364 ) ( 392 ) 867,449 929,407 Less: current maturities ( 2,625 ) ( 50,000 ) Long-term debt, less current maturities $ 864,824 $ 879,407 Term Loan Facility On May 30, 2023, pursuant to an Amended & Restated Term Loan Credit Agreement by and among the Company, JPMorgan Chase Bank, N.A., as Administrative Agent, and the several lenders from time to time parties thereto (Term Loan Credit Agreement), the Company closed its $ 350,000 senior secured Term Loan due 2030 (Term Loan Facility). This Term Loan Facility had an outstanding balance of $ 349,125 as of October 2, 2023, of which $ 2,625 is included in short-term debt and $ 346,500 is included in long-term debt. The Term Loan Facility was issued with a 1.0 % original issue discount and bears interest at a floating rate of 1-month CME Term SOFR plus an applicable margin of 2.75 %. There is no provision, other than an event of default, for the interest margin to increase. The Company is required to make quarterly principal repayments in an aggregate annual amount equal to 1% of the initial aggregate principal amount of the Term Loan Facility. Such principal repayment is payable quarterly on January 1, April 1, July 1, and October 1 and ending with the last such day to occur prior to May 30, 2030. The remaining principal under the Term Loan Facility is scheduled to mature on May 30, 2030. In addition, the Term Loan Credit Agreement permits the Company to add one or more senior secured incremental term loan facilities to the Term Loan Facility subject to the satisfaction of certain conditions. The Company used $ 234,818 under the Term Loan Facility and $ 115,182 of cashless rollover from continuing lenders, together with cash on hand, to refinance the full amount of indebtedness outstanding under the Company’s previous Term Loan Facility that was due to mature in 2024, as well as to pay related fees and expenses. The obligations under the Term Loan Facility are unconditionally guaranteed by each Subsidiary Guarantor of the Company, subject to certain exceptions (Guarantors). The Term Loan Facility is secured by (i) a perfected first priority security interest in substantially all of the assets of the Company and the Guarantors (other than the U.S. ABL Priority Collateral (as defined below)), including all of the total outstanding voting capital stock held by the Company and the Guarantors (subject to a limitation of 65 % on pledges of such capital stock of certain foreign subsidiaries and domestic holding companies of foreign subsidiaries) and (ii) a perfected second priority interest in all of the U.S. ABL Priority Collateral. The Term Loan Facility is structurally senior to the Company’s Senior Notes due 2029. Asset-Based Lending Agreements The Company amended and restated its U.S. Asset-Based Lending Credit Agreement (U.S. ABL) on May 30, 2023 and its Asia Asset-Based Lending Credit Agreement (Asia ABL) on June 14, 2023. Both agreements were amended for the benchmark interest rate and margins and maturity was extended to May 2028 and June 2028 for the U.S. ABL and the Asia ABL, respectively. The U.S. ABL is comprised of a revolving credit facility for up to $ 150,000 and a sublimit for letter of credit for up to $ 50,000 , provided that at no time may amounts outstanding under the agreement exceed in the aggregate $ 150,000 or the applicable borrowing base, which is the sum of (i) a percentage of the principal amount of “Eligible Accounts”, plus (ii) a percentage of the net orderly liquidation value of (x) “Eligible Inventory”, minus (y) “Inventory Reserves” applicable thereto, minus (iii) “Reserves”, each as defined in the U.S. ABL agreement. Borrowings under the U.S. ABL bear interest at a floating rate of Term SOFR plus a margin ranging from 1.25 % to 1.50 %. The applicable margin can vary based on the remaining availability of the facility, from 1.25 % to 1.50 % for Term SOFR-based loans and from 0.25 % to 0.50 % for JPMorgan Chase Bank’s prime rate-based loans. Other than availability and an event of default, there are no other provisions for the interest margin to increase. The Company is also required to pay certain fees in connection with the U.S. ABL agreement, including unused commitment fees based on the average daily unused portion of the U.S. ABL facility, equal to 0.25 % on an annual basis. The U.S. ABL is scheduled to mature on May 30, 2028 . The Guarantors have also fully guaranteed the full and timely payment of all obligations in respect of the U.S. ABL. Loans made under the U.S. ABL are secured by a perfected first priority security interest in certain deposit accounts, cash and cash equivalents, accounts receivable and certain U.S. inventory (U.S. ABL Priority Collateral) as well as by a perfected second priority interest in all of the collateral securing the Term Loan Facility. The Asia ABL is comprised of a revolving credit facility for up to $ 150,000 and a sublimit for letter of credit for up to $ 100,000 , provided that at no time may amounts outstanding under the agreement exceed in aggregate $ 150,000 or the applicable borrowing base, which is a percentage of the principal amount of Eligible Accounts, as defined in the Asia ABL agreement. Borrowings under the Asia ABL bear interest at a floating rate of Term SOFR plus 1.30 %. There is no provision, other than an event of default, for the interest margin to increase. The Company is also required to pay certain fees in connection with the Asia ABL agreement, including unused commitment fees based on the average daily unused portion of the Asia ABL facility, equal to 0.25 % on an annual basis. The Asia ABL is scheduled to mature on June 13, 2028 . Loans made under the Asia ABL are secured by a portion of the Company’s Asia Pacific cash and receivables and are structurally senior to the Company’s domestic obligations, including the Senior Notes due 2029. As of October 2, 2023, letters of credit in the amount of $ 6,191 were outstanding under the U.S. ABL and $ 21,961 were outstanding under the Asia ABL with various maturities through November 2024. Available borrowing capacity under the U.S. ABL and the Asia ABL was $ 143,809 and $ 98,039 , respectively, which considers letters of credit outstanding as of October 2, 2023. Debt Covenants Borrowings under the Senior Notes due 2029 and Term Loan Facility are subject to certain affirmative and negative covenants, including limitations on indebtedness, corporate transactions, investments, dispositions, and restricted payments. Under the occurrence of certain events, the U.S. Asset-Based Lending Credit Agreement (U.S. ABL) and Asia Asset-Based Lending Credit Agreement (Asia ABL) (collectively, the ABL Revolving Loans), are subject to various financial covenants, including leverage and fixed charge coverage ratios. Debt Issuance and Debt Discount As of October 2, 2023 and January 2, 2023, remaining unamortized debt issuance costs and debt discount for the Senior Notes due 2029 and Term Loan Facility are as follows: As of October 2, 2023 As of January 2, 2023 Debt Debt Effective Debt Debt Effective (In thousands, except interest rates) Senior Notes due March 2029 $ 4,260 $ — 4.18 % $ 4,779 $ — 4.18 % Term Loan due May 2030 4,052 3,364 8.26 — — — Term Loan due September 2024 — — — 1,301 392 4.66 $ 8,312 $ 3,364 $ 6,080 $ 392 The above debt issuance costs and debt discount are recorded as a reduction of the debt and are amortized into interest expense using an effective interest rate over the duration of the debt. The remaining unamortized debt issuance costs for the ABL Revolving Loans of $ 1,695 and $ 792 as of October 2, 2023 and January 2, 2023, respectively, are included in other non-current assets and are amortized to interest expense over the duration of the ABL Revolving Loans using the straight-line method of amortization. As of October 2, 2023, the remaining weighted average amortization period for all unamortized debt issuance costs and debt discount was 6.0 years. Loss on Extinguishment of Debt During the three quarters ended October 2, 2023, the Company recognized loss on extinguishment of debt of $ 1,154 , primarily associated with the write-off of the remaining unamortized debt issuance costs and debt discount as a result of the repayment of the remaining outstanding balance of the Term Loan Facility that was due to mature September 2024. |
Income Taxes
Income Taxes | 9 Months Ended |
Oct. 02, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (9) Income Taxes The Company’s effective tax rate is impacted by the mix of foreign and U.S. income, tax rates in China and Hong Kong, the U.S. federal income tax rate, apportioned state income tax rates, the generation of credits and deductions available to the Company as well as changes in valuation allowances and certain non-deductible items. No tax benefit was recorded on the losses incurred in certain foreign jurisdictions as a result of corresponding increases in the valuation allowances in these jurisdictions. During the quarter and three quarters ended October 2, 2023, the Company’s effective tax rate was impacted by a net discrete benefit of $ 1,286 . This is primarily related to the finalization of the Company’s U.S. and Hong Kong corporate income tax returns, which included adjustments to various income and expense components. The Company has various foreign subsidiaries formed or acquired to conduct or support its business outside the U.S. The Company expects its earnings attributable to most foreign subsidiaries may be repatriated back to the U.S. and so a deferred tax liability has been recorded for foreign withholding taxes and the estimated federal/state tax impact on any repatriation. For those other companies with earnings currently being reinvested outside of the U.S., no deferred tax liability on undistributed earnings has been recorded. |
Segment Information
Segment Information | 9 Months Ended |
Oct. 02, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | (10) Segment Information The reportable segments shown below are the Company’s segments for which separate financial information is available and upon which operating results are evaluated by the chief operating decision maker to assess performance and to allocate resources. The Company, including the chief operating decision maker, evaluates segment performance based on reportable segment income, which is operating income before amortization of intangibles. Interest expense and interest income are not presented by segment since they are not included in the measure of segment profitability reviewed by the chief operating decision maker. All inter-segment transactions have been eliminated. Quarter Ended Three Quarters Ended October 2, 2023 October 3, 2022 October 2, 2023 October 3, 2022 (In thousands) Net Sales: PCB (1) $ 563,676 $ 657,175 $ 1,634,318 $ 1,832,674 RF&S Components 8,906 13,905 29,210 45,216 Total net sales $ 572,582 $ 671,080 $ 1,663,528 $ 1,877,890 Operating Segment (Loss) Income: PCB (1) $ 82,868 $ 89,868 $ 192,981 $ 238,316 RF&S Components ( 41,441 ) 5,984 ( 36,071 ) 18,412 Corporate and Other (1) ( 37,865 ) ( 34,417 ) ( 101,361 ) ( 112,907 ) Total operating segment income 3,562 61,435 55,549 143,821 Amortization of definite-lived intangibles (2) ( 13,764 ) ( 11,657 ) ( 47,811 ) ( 30,973 ) Total operating (loss) income ( 10,202 ) 49,778 7,738 112,848 Total other expense, net ( 7,057 ) ( 615 ) ( 25,325 ) ( 13,079 ) (Loss) income before income taxes $ ( 17,259 ) $ 49,163 $ ( 17,587 ) $ 99,769 As of October 2, 2023 January 2, 2023 (In thousands) Segment Assets: PCB $ 2,016,088 $ 1,890,723 RF&S Components 145,364 202,619 Corporate and Other 1,105,050 1,230,262 Total assets $ 3,266,502 $ 3,323,604 (1) Amended for Telephonics integration. (2) Amortization of definite-lived intangibles relates to the PCB and RF&S Components reportable segments. For the q uarter and three quarters ended October 2, 2023, $ 2,335 and $ 10,566 , respectively, of amortization expense is included in cost of goods sold. For the q uarter and three quarters ended October 3, 2022, $ 1,384 and $ 4,151 , respectively, of amortization expense is included in cost of goods sold. During the quarter and three quarters ended October 2, 2023, the Company recorded a non-cash goodwill impairment charge of $ 44,100 related to its RF&S Components reportable segment. The Corporate and Other category primarily includes operating expenses that are not included in the segment operating performance measures. Corporate and Other consists primarily of corporate governance functions such as finance, accounting, information technology and human resources personnel, as well as global sales and marketing personnel, research and development costs, and acquisition and integration costs associated with acquisitions and divestitures. The Company markets and sells its products in approximately 60 countries. Other than in the United States, the Company does not conduct business in any country in which its net sales in that country exceed 10 % of the Company’s total net sales. Net sales are as follows: Quarter Ended Three Quarters Ended October 2, 2023 October 3, 2022 October 2, 2023 October 3, 2022 (In thousands) Net Sales: United States $ 319,105 $ 343,696 $ 949,668 $ 882,577 China (1) 35,376 88,280 127,653 273,068 Other 218,101 239,104 586,207 722,245 Total net sales $ 572,582 $ 671,080 $ 1,663,528 $ 1,877,890 (1) Includes Hong Kong Net sales are attributed to countries by country invoiced. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Oct. 02, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | (11) Accumulated Other Comprehensive Loss The following provides a summary of the components of accumulated other comprehensive loss, net of tax, as of October 2, 2023 and January 2, 2023: Foreign Pension Gains (Losses) Total (In thousands) Ending balance as of January 2, 2023 $ ( 25,984 ) $ 1,279 $ ( 85 ) $ ( 24,790 ) Other comprehensive (loss) income ( 7,112 ) — 8,150 1,038 Amounts reclassified from accumulated — — ( 1,558 ) ( 1,558 ) Other comprehensive (loss) income ( 7,112 ) — 6,592 ( 520 ) Ending balance as of October 2, 2023 $ ( 33,096 ) $ 1,279 $ 6,507 $ ( 25,310 ) |
Significant Customers and Conce
Significant Customers and Concentration of Credit Risk | 9 Months Ended |
Oct. 02, 2023 | |
Risks and Uncertainties [Abstract] | |
Significant Customers and Concentration of Credit Risk | (12) Significant Customers and Concentration of Credit Risk Financial instruments that are potentially subject to concentrations of credit risk are primarily cash and cash equivalents and accounts receivable. The Company had cash and cash equivalents held by its foreign subsidiaries of $ 198,286 and $ 161,708 as of October 2, 2023 and January 2, 2023, respectively. The Company maintains its cash and cash equivalents with major financial institutions and such balances exceed Federal Deposit Insurance Corporation insurance limits. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant risk on cash and cash equivalents. In the normal course of business, the Company extends credit to its customers. Some customers to whom the Company extends credit are located outside the United States. The Company performs on-going credit evaluations of customers, does not require collateral, and considers the credit risk profile of the entity from which the receivable is due in further evaluating collection risk. There were no customers that accounted for 10 % or more of accounts receivable as of October 2, 2023. As of January 2, 2023, there was one customer that accounted for 11 % of the Company’s accounts receivable. The Company’s customers include both OEMs and EMS companies. The Company’s OEM customers often direct a significant portion of their purchases through EMS companies. While the Company’s customers include both OEM and EMS providers, the Company measures customer concentration based on OEM companies, as they are the ultimate end customers. For the quarter ended October 2, 2023, two customers collectively accounted for approximately 23 % of the Company’s net sales. There were no customers that accounted for 10 % or more of net sales for the quarter ended October 3, 2022. For the three quarters ended October 2, 2023 and October 3, 2022, one customer accounted for approximately 13 % and 10 % of the Company’s net sales, respectively. |
Fair Value Measures
Fair Value Measures | 9 Months Ended |
Oct. 02, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measures | (13) Fair Value Measures The Company measures at fair value its financial and non-financial assets by using a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, essentially an exit price, based on the highest and best use of the asset or liability. The carrying amount and estimated fair value of the Company’s financial instruments as of October 2, 2023 and January 2, 2023 were as follows: As of As of October 2, 2023 January 2, 2023 Carrying Fair Value Carrying Fair Value (In thousands) Derivative assets, current $ 4,434 $ 4,434 $ — $ — Derivative assets, non-current 4,279 4,279 — — Derivative liabilities, current 1,040 1,040 1,622 1,622 Senior Notes due March 2029 495,740 415,865 495,221 430,165 Term Loan due May 2030 341,709 349,781 — — Term Loan due September 2024 — — 404,186 405,628 ABL Revolving Loans 30,000 30,000 30,000 30,000 The fair value of the derivative instruments was determined using pricing models developed based on the 1-month CME Term SOFR swap rate, foreign currency exchange rates, and other observable market data, including quoted market prices, as appropriate using Level 2 inputs. The values were adjusted to reflect non-performance risk of both the counterparty and the Company, as necessary. The fair value of the long-term debt was estimated based on quoted market prices or discounting the debt over its life using current market rates for similar debt as of October 2, 2023 and January 2, 2023, which are considered Level 2 inputs. As of October 2, 2023 and January 2, 2023, the Company’s other financial instruments included cash and cash equivalents, accounts receivable, contract assets, accounts payable, and contract liabilities. The carrying amount of these instruments approximates fair value. The majority of the Company’s non-financial assets and liabilities, which include goodwill, intangible assets, inventories, and property, plant and equipment, are not required to be carried at fair value on a recurring basis. However, if certain triggering events occur (or are tested at least annually in the case of goodwill) such that a non-financial instrument is required to be evaluated for impairment, based upon a comparison of the non-financial instrument’s fair value to its carrying value, an impairment is recorded to reduce the carrying value to the fair value, if the carrying value exceeds the fair value. As of October 2, 2023, the Company’s goodwill balance related to its RF&S Components reporting unit of $ 63,900 was measured at fair value on a nonrecurring basis. The Company recorded a non-cash goodwill impairment charge of $ 44,100 related to its RF&S Components reporting unit during the quarter and three quarters ended October 2, 2023. The fair value of goodwill was determined using both a DCF and a market approach, which are considered Level 3 inputs. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Oct. 02, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (14) Commitments and Contingencies Legal Matters The Company is subject to various legal matters, which it considers normal for its business activities. While the Company currently believes that the amount of any reasonably possible loss for known matters would not be material to the Company’s financial condition, the outcome of these actions is inherently difficult to predict. In the event of an adverse outcome, the ultimate potential loss could have a material adverse effect on the Company’s financial condition or results of operations in a particular period. The Company has accrued amounts for its loss contingencies which are probable and estimable as of October 2, 2023 and January 2, 2023 and included as a component of other current liabilities. However, these amounts are not material to the consolidated condensed financial statements of the Company. Offset Agreements The Company has and may continue to enter into industrial cooperation agreements, sometimes referred to as offset agreements, as a condition to obtaining orders for products and services from customers in foreign countries. These agreements are intended to promote investment in the applicable country, and the Company’s obligations under these agreements may be satisfied through activities that do not require the Company to use cash, including transferring technology or providing manufacturing and other consulting support. The obligations under these agreements may also be satisfied through the use of cash for activities such as purchasing supplies from in-country vendors, setting up support centers, research and development investments, acquisitions, and building or leasing facilities for in-country operations. The amount of the offset requirement is determined by contract value awarded and negotiated percentages with customers. As of October 2, 2023, the Company had outstanding offset agreements of approximately $ 27,963 , some of which extend through 2028. Offset programs usually extend over several years and in some cases provide for penalties in the event the Company fails to perform in accordance with contract requirements. Historically, the Company has not paid any such penalties, and as of October 2, 2023, no such penalties have been paid. |
(Loss) Earnings Per Share
(Loss) Earnings Per Share | 9 Months Ended |
Oct. 02, 2023 | |
Earnings Per Share [Abstract] | |
(Loss) Earnings Per Share | (15) (Loss) Earnings Per Share The following is a reconciliation of the numerator and denominator used to calculate basic earnings per share and diluted earnings per share for the quarter and three quarters ended October 2, 2023 and October 3, 2022: Quarter Ended Three Quarters Ended October 2, October 3, October 2, October 3, 2023 2022 2023 2022 (In thousands, except per share amounts) Net (loss) income $ ( 37,066 ) $ 43,528 $ ( 36,056 ) $ 88,566 Basic weighted average shares 103,510 102,196 102,873 102,016 Dilutive effect of performance-based restricted stock — 1,524 — 1,720 Dilutive effect of outstanding warrants — — — 2 Diluted shares 103,510 103,720 102,873 103,738 (Loss) earnings per share: Basic $ ( 0.36 ) $ 0.43 $ ( 0.35 ) $ 0.87 Diluted $ ( 0.36 ) $ 0.42 $ ( 0.35 ) $ 0.85 For the quarter and three quarters ended October 2, 2023, potential shares of common stock, consisting of stock options to purchase approximately 60 shares of common stock at exercise prices ranging from $ 11.83 to $ 16.60 per share and 697 performance-based restricted stock units (PRUs) were not included in the computation of diluted earnings per share because the Company incurred a net loss and as a result, the impact would be anti-dilutive. For the quarter and three quarters ended October 2, 2023, potential shares of common stock, consisting of 3,533 and 3,204 restricted stock units (RSUs), respectively were not included in the computation of diluted earnings per share because the Company incurred a net loss and as a result, the impact would be anti-dilutive. PRUs, RSUs, and stock options to purchase 41 and 690 shares of common stock for the quarter and three quarters ended October 3, 2022, respectively, were not included in the computation of diluted earnings per share. The PRUs were not included in the computation of diluted earnings per share because the performance conditions had not been met at October 3, 2022, and for RSUs and stock options, the options’ exercise prices or the total expected proceeds under the treasury stock method was greater than the average market price of common stock during the applicable quarter and three quarters and, as a result, the impact would be anti-dilutive. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Oct. 02, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | (16) Stock-Based Compensation Stock-based compensation expense is recognized in the accompanying consolidated condensed statements of operations as follows: Quarter Ended Three Quarters Ended October 2, October 3, October 2, October 3, 2023 2022 2023 2022 (In thousands) Cost of goods sold $ 2,212 $ 1,699 $ 5,371 $ 4,147 Selling and marketing 888 762 2,327 2,032 General and administrative 2,958 2,685 8,197 7,134 Research and development 309 324 833 818 Stock-based compensation expense recognized $ 6,367 $ 5,470 $ 16,728 $ 14,131 Summary of Unrecognized Compensation Costs The following is a summary of total unrecognized compensation costs as of October 2, 2023: Unrecognized Stock-Based Compensation Cost Remaining Weighted Average (In thousands) (In years) RSU awards $ 41,382 1.6 PRU awards 2,919 1.6 $ 44,301 |
Restructuring Charges
Restructuring Charges | 9 Months Ended |
Oct. 02, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Charges | (17) Restructuring Charges On February 8, 2023, the Company announced a consolidation plan, which includes closing three of its manufacturing facilities and consolidating the operations of those facilities into other Company facilities. The three manufacturing facilities are PCB operations located in Anaheim and Santa Clara, California, and Hong Kong. As of October 2, 2023, the Company has ceased operations at the Hong Kong and Anaheim manufacturing facilities. The Company expects the Santa Clara facility to cease operations by the end of 2023. The Company expects to record between $ 22,000 and $ 28,000 in separation, accelerated depreciation and disposal costs related to this restructuring during 2023. Approximately 80 % of these costs are expected to be in the form of cash expenditures and the rest in the form of non-cash charges. As of October 2, 2023, the Company has incurred approximately $ 15,525 of restructuring charges and $ 3,374 of accelerated depreciation expense since the February 8, 2023 announcement. In addition to this consolidation plan, the Company recognized employee separation, contract termination and other costs during the quarter and three quarters ended October 2, 2023 and October 3, 2022 in connection with other global realignment restructuring efforts. Contract termination and other costs primarily represented plant closure costs. The below table summarizes such restructuring costs by reportable segment for the quarter and three quarters ended October 2, 2023 and October 3, 2022: Quarter Ended October 2, 2023 Three Quarters Ended October 2, 2023 Employee Contract Total Employee Contract Total (In thousands) Reportable Segment: PCB $ 1,924 $ 2,167 $ 4,091 $ 13,066 $ 5,352 $ 18,418 RF&S Components — — — 14 — 14 Corporate and Other — — — 305 324 629 $ 1,924 $ 2,167 $ 4,091 $ 13,385 $ 5,676 $ 19,061 Quarter Ended October 3, 2022 Three Quarters Ended October 3, 2022 Employee Contract Total Employee Contract Total (In thousands) Reportable Segment: (1) PCB $ — $ 506 $ 506 $ — $ 849 $ 849 Corporate and Other — 121 121 31 387 418 $ — $ 627 $ 627 $ 31 $ 1,236 $ 1,267 (1) There were no restructuring costs incurred for RF&S Components reportable segment during the quarter and three quarters ended October 3, 2022 . Accrued restructuring costs are included as a component of other current liabilities in the consolidated condensed balance sheet. The below table shows the utilization of the accrued restructuring costs during the three quarters ended October 2, 2023: Employee Contract Total (In thousands) Accrued as of January 2, 2023 $ 2,510 $ 3 $ 2,513 Charged to expense 13,385 5,676 19,061 Amount paid, net of government contributions eligible for offsetting ( 10,980 ) ( 4,856 ) ( 15,836 ) Accrued as of October 2, 2023 $ 4,915 $ 823 $ 5,738 |
Share Repurchase Program
Share Repurchase Program | 9 Months Ended |
Oct. 02, 2023 | |
Share Repurchase Program [Abstract] | |
Share Repurchase Program | (18) Share Repurchase Program On May 3, 2023, the Company's Board of Directors authorized and approved a share repurchase program (the “2023 Repurchase Program”) , under which the Company may repurchase up to $ 100,000 in value of the Company’s outstanding shares of common stock from time to time through May 3, 2025 . The Company may repurchase shares through open market purchases, privately-negotiated transactions, or otherwise in accordance with applicable federal securities laws, including Rule 10b-18 of the Securities Exchange Act of 1934, as amended (Exchange Act), which sets certain restrictions on the method, timing, price and volume of open market stock repurchases. In addition, the Company expects to adopt one or more trading plans in accordance with Rule 10b5-1 of the Exchange Act to facilitate certain purchases that may be effected under the share repurchase program. The timing, manner, price and amount of any repurchases will be determined at the Company’s discretion, and the share repurchase program may be suspended, terminated or modified at any time for any reason. The repurchase program does not obligate the Company to acquire any specific number of shares. During the quarter and three quarters ended October 2, 2023, the Company repurchased 1,020 shares of common stock for a total cost of approximately $ 14,617 (including commissions). As of October 2, 2023, the remaining amount in value available to be repurchased under the 2023 Repurchase Program was approximately $ 85,383 . |
Financial Instruments
Financial Instruments | 9 Months Ended |
Oct. 02, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments | (19) Financial Instruments Derivatives Interest Rate Swaps The Company’s business is exposed to risk resulting from fluctuations in interest rates on certain SOFR-based variable rate debt. Increases in interest rates increase interest expenses relating to the outstanding variable rate borrowings and increase the cost of debt. Fluctuations in interest rates can also lead to significant fluctuations in the fair value of the debt obligations. On March 23, 2023, the Company entered into a four-year pay-fixed, receive floating (1-month CME Term SOFR), interest rate swap arrangement with a notional amount of $ 250,000 for the period beginning April 1, 2023 and ending on April 1, 2027 . Under the terms of the interest rate swap, the Company pays a fixed rate of 3.49 % against a portion of its Term SOFR-based debt and receives a floating 1-month CME Term SOFR during the swap period. At inception, the Company designated the interest rate swap as a cash flow hedge and the fair value of the interest rate swap was zero . As of October 2, 2023, the fair value of the interest rate swap was recorded as an asset, of which $ 4,434 is included as a component of prepaid expenses and other current assets and $ 4,279 is included as a component of deposits and other non-current assets. The change in the fair value of the interest rate swap is recorded as a component of accumulated other comprehensive loss, net of tax in the Company's consolidated condensed balance sheets. No ineffectiveness was recognized for the quarter and three quarters ended October 2, 2023. The interest rate swap decreased interest expense by $ 1,116 and $ 2,084 for the quarter and three quarters ended October 2, 2023, respectively. Foreign Exchange Contracts The Company’s foreign subsidiaries may at times purchase forward exchange contracts to manage their foreign currency risks in relation to certain purchases of machinery denominated in foreign currencies other than the Company’s functional currencies. The notional amount of the foreign exchange contracts was $ 1,925 (Euro (EUR) 1.8 million) and $ 1,625 (EUR 1.4 million) as of October 2, 2023 and January 2, 2023, respectively. The Company has designated certain of these foreign exchange contracts as cash flow hedges. Commodity Price Risk Management The Company uses various raw materials in the manufacturing of PCBs. Copper clad laminates (CCLs), a key raw material for the manufacture of PCBs, are made from epoxy resin, glass cloth and copper foil. The Company only buys a small amount of copper directly. However, copper is a major driver of laminate cost. The Company enters into commodity contracts to hedge copper as a proxy for hedging laminate. As of October 2, 2023, the Company has commodity contracts with a notional quantity of (i) 0.7 metric tonnes for the period beginning October 1, 2023 and ending on December 31, 2023 , (ii) 0.7 metric tonnes for the period beginning January 1, 2024 and ending on March 31, 2024 , (iii) 0.6 metric tonnes for the period beginning April 1, 2024 and ending on June 30, 2024 , and (iv) 0.6 metric tonnes for the period beginning July 1, 2024 and ending on September 30, 2024 . As of October 2, 2023, the fair value of the commodity contracts was recorded as a liability in the amount of $ 997 and included as a component of other current liabilities. The changes in the fair value of these commodity contracts are recorded in cost of goods sold in the consolidated condensed statements of operations. The commodity contracts increased cost of goods sold by $ 997 and $ 1,152 for the quarter and three quarters ended October 2, 2023, respectively. The commodity contracts increased cost of goods sold by $ 1,204 and $ 5,011 for the quarter and three quarters ended October 3, 2022, respectively. These commodity contracts are not designated as accounting hedges. The fair values of derivative instruments in the consolidated condensed balance sheets are as follows: Asset/(Liability) Fair Value Balance Sheet Location October 2, 2023 January 2, 2023 (In thousands) Cash flow derivative instruments designated as hedges: Interest rate swap Prepaid expenses and other current assets $ 4,434 $ — Interest rate swap Deposits and other non-current assets 4,279 — Foreign exchange contracts Other current liabilities ( 43 ) ( 133 ) Cash flow derivative instruments not designated as hedges: Commodity contracts Other current liabilities ( 997 ) ( 1,489 ) The following table provides information about the amounts recorded in accumulated other comprehensive loss related to derivatives designated as cash flow hedges, as well as the amounts recorded in each caption in the consolidated condensed statements of operations when derivative amounts are reclassified out of accumulated other comprehensive loss for the quarter and three quarters ended October 2, 2023 and October 3, 2022: Quarter Ended October 2, 2023 Quarter Ended October 3, 2022 Financial Gain Recognized in Other Comprehensive Loss Amounts Gain Recognized Amounts (In thousands) Cash flow hedge: Interest rate swap Interest expense $ 3,988 $ ( 1,116 ) $ — $ — Three Quarters Ended October 2, 2023 Three Quarters Ended October 3, 2022 Financial Gain Recognized in Other Comprehensive Loss Amounts Gain Recognized Amounts (In thousands) Cash flow hedge: Interest rate swap Interest expense $ 10,797 $ ( 2,084 ) 190 $ ( 4,105 ) The following table provides a summary of the activity associated with the designated cash flow hedges reflected in accumulated other comprehensive loss for the three quarters ended October 2, 2023 and October 3, 2022: Three Quarters Ended October 2, October 3, 2023 2022 (In thousands) Beginning balance, net of tax $ ( 85 ) $ ( 3,223 ) Changes in fair value gain (loss), net of tax 8,150 24 Reclassification to earnings ( 1,558 ) 3,092 Ending balance, net of tax $ 6,507 $ ( 107 ) |
Nature of Operations and Basi_2
Nature of Operations and Basis of Presentation (Policies) | 9 Months Ended |
Oct. 02, 2023 | |
Accounting Policies [Abstract] | |
Reclassifications | Reclassifications Certain amounts in the prior period financial statements have been reclassified to conform to the presentation of the current period financial statements. These reclassifications had no effect on the previously reported net income. |
Recently Adopted and Issued Accounting Standards | Recently Adopted and Issued Accounting Standards Recently Adopted Accounting Standards In September 2022, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2022-04, Liabilities - Supplier Finance Programs (Topic 450-50): Disclosure of Supplier Finance Program Obligations , that requires entities that use supplier finance programs in connection with the purchase of goods and services to disclose the key terms of the programs and information about obligations outstanding at the end of the reporting period, including a rollforward of those obligations. The guidance does not affect the recognition, measurement or financial statement presentation of supplier finance program obligations. The amendments are effective for all entities for fiscal years beginning after December 15, 2022 on a retrospective basis, including interim periods within those fiscal years, except for the requirement to disclose rollforward information, which is effective prospectively for fiscal years beginning after December 15, 2023. The Company adopted ASU 2022-04 as of April 3, 2023 . The Company has agreements with financial institutions to facilitate the payments to certain suppliers. Under the terms of the agreements, the Company confirms the validity of each supplier invoice to the respective financial institution upon receipt. The supplier receives payment from the financial institution, and the Company pays the financial institution based on the terms negotiated, which generally range from 160 days to 360 days . Liabilities associated with these agreements are recorded in accounts payable on the consolidated condensed balance sheets and amounted to $ 15,945 and $ 6,653 as of October 2, 2023 and January 2, 2023, respectively. In December 2022, the FASB issued ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848 , which deferred the sunset date of Topic 848 to December 31, 2024, after which entities will no longer be permitted to apply the optional expedients and exceptions in Topic 848. On March 23, 2023, the Company entered into a four-year pay-fixed, receive floating (1-month CME Term Secured Overnight Financing Rate (SOFR)), interest rate swap arrangement with a notional amount of $ 250,000 for the period beginning April 1, 2023 and ending on April 1, 2027. Under the terms of the interest rate swap, the Company pays a fixed rate of 3.49 % against a portion of its Term SOFR-based debt and receives a floating 1-month CME Term SOFR during the swap period. The Company elected optional expedients provided in Topic 848 which allow the designation of the interest rate swap as a cash flow hedge. |
Acquisition of Gritel and ISC_2
Acquisition of Gritel and ISC Farmingdale Corp. (Tables) - Gritel and ISC Farmingdale Corporation | 9 Months Ended |
Oct. 02, 2023 | |
Summary of Preliminary Estimated Fair Values of Net Assets Acquired | The following summarizes the final assigned fair values of net assets acquired: (In thousands) Accounts receivable $ 51,140 Contract assets 26,460 Inventories 38,616 Prepaid expenses and other current assets 5,605 Property, plant and equipment 69,253 Operating lease right-of-use assets 497 Goodwill 112,326 Identifiable intangible assets 101,000 Non-current deferred tax assets 913 Deposits and other non-current assets 3,129 Accounts payable ( 16,026 ) Contract liabilities ( 65,262 ) Accrued salaries, wages and benefits ( 10,616 ) Other current liabilities ( 12,751 ) Operating lease liabilities ( 336 ) Other long-term liabilities ( 5,609 ) Total $ 298,339 |
Business Acquisition Preliminary Pro Forma Information of Financial Results | The pro forma financial information as presented below is for informational purposes only and is not necessarily indicative of the actual results that would have been achieved had the acquisition occurred at the beginning of the earliest period presented, or the results that may be achieved in future periods. Quarter Ended Three Quarters Ended October 2, 2023 October 3, 2022 October 2, 2023 October 3, 2022 (In thousands, except per share amounts) Net sales $ 572,582 $ 671,080 $ 1,663,528 $ 1,984,958 Net (loss) income ( 37,066 ) 41,254 ( 30,626 ) 88,905 Basic (loss) earnings per share $ ( 0.36 ) $ 0.40 $ ( 0.30 ) $ 0.87 Diluted (loss) earnings per share $ ( 0.36 ) $ 0.40 $ ( 0.30 ) $ 0.86 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Leases [Abstract] | |
Components of Lease Expense | The components of lease expense were as follows: Quarter Ended Three Quarters Ended October 2, 2023 October 3, 2022 October 2, 2023 October 3, 2022 (In thousands) Operating lease cost $ 1,754 $ 2,080 $ 5,562 $ 5,756 Variable lease cost 179 383 674 837 Short-term lease cost 170 199 445 513 Finance lease costs: Amortization of right-of-use assets 344 344 1,031 1,031 Interest on lease liabilities 94 98 281 295 |
Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases was as follows: Three Quarters Ended October 2, 2023 October 3, 2022 (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows for operating leases $ 5,632 $ 5,796 Right-of-use assets obtained in exchange for new lease obligations: Operating leases 77,840 5,196 |
Supplemental Balance Sheet Information Related to Leases | Supplemental balance sheet information related to leases was as follows: As of Balance Sheet Location October 2, 2023 January 2, 2023 (In thousands) Assets: Operating leases Operating lease right-of-use assets $ 89,290 $ 18,862 Finance leases Property, plant and equipment, net 12,354 13,384 Total lease assets $ 101,644 $ 32,246 Liabilities: Current: Operating leases Other current liabilities $ 7,846 $ 7,368 Finance leases Other current liabilities 778 736 Long-term: Operating leases Operating lease liabilities 82,103 12,249 Finance leases Other long-term liabilities 12,993 13,579 Total lease liabilities $ 103,720 $ 33,932 As of October 2, 2023 January 2, 2023 Weighted average remaining lease term (years): Operating leases 13.1 3.3 Finance leases 12.9 13.6 Weighted average discount rate: Operating leases 6.11 % 3.09 % Finance leases 2.69 % 2.69 % |
Maturities of Lease Liabilities | Maturities of lease liabilities were as follows: Operating (1) Finance (In thousands) Less than one year $ 12,978 $ 1,136 1 - 2 years 11,403 1,133 2 - 3 years 9,038 1,175 3 - 4 years 8,203 1,184 4 - 5 years 7,844 1,228 Thereafter 87,535 10,538 Total lease payments 137,001 16,394 Less imputed interest ( 47,052 ) ( 2,623 ) Total $ 89,949 $ 13,771 (1) Excludes $ 851 of legally binding minimum lease payments for leases signed but not yet commenced. |
Revenues (Tables)
Revenues (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue by Principal End Markets with the Reportable Segment | The following tables represent a disaggregation of revenue by principal end markets with the reportable segments: Quarter Ended October 2, 2023 Quarter Ended October 3, 2022 (1) PCB RF&S Components Total PCB RF&S Components Total End Markets (In thousands) Aerospace and Defense $ 255,618 $ — $ 255,618 $ 254,285 $ — $ 254,285 Automotive 86,803 — 86,803 100,811 — 100,811 Data Center Computing 99,584 — 99,584 95,830 13 95,843 Medical/Industrial/Instrumentation 89,818 895 90,713 128,444 1,239 129,683 Networking 31,853 8,011 39,864 78,181 12,494 90,675 Other — — — ( 376 ) 159 ( 217 ) Total $ 563,676 $ 8,906 $ 572,582 $ 657,175 $ 13,905 $ 671,080 Three Quarters Ended October 2, 2023 Three Quarters Ended October 3, 2022 (1) PCB RF&S Components Total PCB RF&S Components Total End Markets (In thousands) Aerospace and Defense $ 742,194 $ — $ 742,194 $ 616,141 $ — $ 616,141 Automotive 272,644 — 272,644 327,825 — 327,825 Data Center Computing 221,759 51 221,810 293,802 33 293,835 Medical/Industrial/Instrumentation 279,565 2,557 282,122 379,867 5,023 384,890 Networking 118,156 26,602 144,758 211,590 41,360 252,950 Other — — — 3,449 ( 1,200 ) 2,249 Total $ 1,634,318 $ 29,210 $ 1,663,528 $ 1,832,674 $ 45,216 $ 1,877,890 (1) Amended for Telephonics integration. |
Composition of Certain Consol_2
Composition of Certain Consolidated Condensed Financial Statement Captions (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Composition of Certain Consolidated Condensed Financial Statement Captions | As of October 2, 2023 January 2, 2023 (In thousands) Inventories: Raw materials $ 161,870 $ 145,561 Work-in-process 40,378 20,114 Finished goods 3,928 4,964 $ 206,176 $ 170,639 Property, plant and equipment, net: Land and land use rights $ 76,811 $ 76,811 Buildings and improvements 448,756 443,353 Machinery and equipment 986,615 989,935 Furniture and fixtures and other 10,155 11,327 Construction-in-progress 141,135 27,774 1,663,472 1,549,200 Less: Accumulated depreciation ( 855,101 ) ( 824,996 ) $ 808,371 $ 724,204 Other current liabilities: Accrued capital expenditures $ 48,181 $ — Income taxes payable 16,944 28,057 Sales return and allowances 12,216 12,319 Accrued facility operating costs 9,516 9,081 Operating leases 7,846 7,368 Warranty 7,929 8,045 Housing fund 7,410 7,440 Restructuring 5,738 2,513 Accrued professional fees 2,805 5,123 Interest 1,902 9,336 Derivative liabilities 1,040 1,622 Other 31,775 39,128 $ 153,302 $ 130,032 Other long-term liabilities: Deferred income taxes $ 59,130 $ 54,268 Customer deposits 31,250 38,750 Finance leases 12,993 13,579 Defined benefit pension plan liability 2,475 2,471 Other 24,327 25,976 $ 130,175 $ 135,044 |
Goodwill (Tables)
Goodwill (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill by Reportable Segment | As of October 2, 2023 and January 2, 2023, goodwill by reportable segment was as follows: PCB RF&S Components Total (In thousands) Balance as of January 2, 2023 Goodwill $ 823,837 $ 177,200 $ 1,001,037 Accumulated impairment losses ( 171,400 ) ( 69,200 ) ( 240,600 ) 652,437 108,000 760,437 Impairment loss during the three quarters ended October 2, 2023 — ( 44,100 ) ( 44,100 ) Goodwill adjustment during the three quarters ended October 2, 2023 ( 10,787 ) — ( 10,787 ) Derecognition of goodwill due to sale of subsidiary ( 2,815 ) — ( 2,815 ) Balance as of October 2, 2023 Goodwill 810,235 177,200 987,435 Accumulated impairment losses ( 171,400 ) ( 113,300 ) ( 284,700 ) $ 638,835 $ 63,900 $ 702,735 |
Definite-lived Intangibles (Tab
Definite-lived Intangibles (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Definite Lived Intangibles | As of October 2, 2023 and January 2, 2023, the components of definite-lived intangibles were as follows: Gross Accumulated Net Weighted (In thousands) (In years) October 2, 2023 Customer relationships $ 416,230 $ ( 213,274 ) $ 202,956 11.2 Technology 66,650 ( 24,942 ) 41,708 8.2 Backlog 13,000 ( 8,125 ) 4,875 2.0 Trade names 2,500 ( 1,563 ) 937 2.0 $ 498,380 $ ( 247,904 ) $ 250,476 January 2, 2023 Customer relationships $ 366,071 $ ( 187,560 ) $ 178,511 11.3 Technology 47,650 ( 24,876 ) 22,774 9.5 Acquired intangibles from acquisition Customer relationships 82,500 ( 3,173 ) 79,327 13.0 Trade names 8,250 ( 825 ) 7,425 5.0 $ 504,471 $ ( 216,434 ) $ 288,037 |
Estimated Aggregate Amortization for Definite-Lived Intangible Assets | Estimated aggregate amortization for definite-lived intangible assets for the next five years and thereafter is as follows: (In thousands) Remaining 2023 $ 13,766 2024 44,892 2025 36,897 2026 36,897 2027 34,543 Thereafter 83,481 $ 250,476 |
Long-term Debt and Letters of_2
Long-term Debt and Letters of Credit (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Debt Disclosure [Abstract] | |
Long-term Debt | The following table summarizes the long-term debt of the Company as of October 2, 2023 and January 2, 2023: Interest Rate as of Principal Interest Rate as of Principal (In thousands, except interest rates) Senior Notes due March 2029 4.00 % $ 500,000 4.00 % $ 500,000 Term Loan due May 2030 8.07 349,125 — — Asia ABL Revolving Loan due June 2028 6.62 30,000 5.79 30,000 Term Loan due September 2024 — — 6.89 405,879 879,125 935,879 Less: Long-term debt unamortized debt ( 8,312 ) ( 6,080 ) Long-term debt unamortized discount ( 3,364 ) ( 392 ) 867,449 929,407 Less: current maturities ( 2,625 ) ( 50,000 ) Long-term debt, less current maturities $ 864,824 $ 879,407 |
Schedule of Remaining Unamortized Debt Discount and Debt Issuance Costs | As of October 2, 2023 and January 2, 2023, remaining unamortized debt issuance costs and debt discount for the Senior Notes due 2029 and Term Loan Facility are as follows: As of October 2, 2023 As of January 2, 2023 Debt Debt Effective Debt Debt Effective (In thousands, except interest rates) Senior Notes due March 2029 $ 4,260 $ — 4.18 % $ 4,779 $ — 4.18 % Term Loan due May 2030 4,052 3,364 8.26 — — — Term Loan due September 2024 — — — 1,301 392 4.66 $ 8,312 $ 3,364 $ 6,080 $ 392 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Segment Reporting [Abstract] | |
Reconciliation of Operating Income (Loss) from Segments to Consolidated | Quarter Ended Three Quarters Ended October 2, 2023 October 3, 2022 October 2, 2023 October 3, 2022 (In thousands) Net Sales: PCB (1) $ 563,676 $ 657,175 $ 1,634,318 $ 1,832,674 RF&S Components 8,906 13,905 29,210 45,216 Total net sales $ 572,582 $ 671,080 $ 1,663,528 $ 1,877,890 Operating Segment (Loss) Income: PCB (1) $ 82,868 $ 89,868 $ 192,981 $ 238,316 RF&S Components ( 41,441 ) 5,984 ( 36,071 ) 18,412 Corporate and Other (1) ( 37,865 ) ( 34,417 ) ( 101,361 ) ( 112,907 ) Total operating segment income 3,562 61,435 55,549 143,821 Amortization of definite-lived intangibles (2) ( 13,764 ) ( 11,657 ) ( 47,811 ) ( 30,973 ) Total operating (loss) income ( 10,202 ) 49,778 7,738 112,848 Total other expense, net ( 7,057 ) ( 615 ) ( 25,325 ) ( 13,079 ) (Loss) income before income taxes $ ( 17,259 ) $ 49,163 $ ( 17,587 ) $ 99,769 As of October 2, 2023 January 2, 2023 (In thousands) Segment Assets: PCB $ 2,016,088 $ 1,890,723 RF&S Components 145,364 202,619 Corporate and Other 1,105,050 1,230,262 Total assets $ 3,266,502 $ 3,323,604 (1) Amended for Telephonics integration. (2) Amortization of definite-lived intangibles relates to the PCB and RF&S Components reportable segments. For the q uarter and three quarters ended October 2, 2023, $ 2,335 and $ 10,566 , respectively, of amortization expense is included in cost of goods sold. For the q uarter and three quarters ended October 3, 2022, $ 1,384 and $ 4,151 , respectively, of amortization expense is included in cost of goods sold. |
Net Sales | Net sales are as follows: Quarter Ended Three Quarters Ended October 2, 2023 October 3, 2022 October 2, 2023 October 3, 2022 (In thousands) Net Sales: United States $ 319,105 $ 343,696 $ 949,668 $ 882,577 China (1) 35,376 88,280 127,653 273,068 Other 218,101 239,104 586,207 722,245 Total net sales $ 572,582 $ 671,080 $ 1,663,528 $ 1,877,890 (1) Includes Hong Kong |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss, Net of Tax | The following provides a summary of the components of accumulated other comprehensive loss, net of tax, as of October 2, 2023 and January 2, 2023: Foreign Pension Gains (Losses) Total (In thousands) Ending balance as of January 2, 2023 $ ( 25,984 ) $ 1,279 $ ( 85 ) $ ( 24,790 ) Other comprehensive (loss) income ( 7,112 ) — 8,150 1,038 Amounts reclassified from accumulated — — ( 1,558 ) ( 1,558 ) Other comprehensive (loss) income ( 7,112 ) — 6,592 ( 520 ) Ending balance as of October 2, 2023 $ ( 33,096 ) $ 1,279 $ 6,507 $ ( 25,310 ) |
Fair Value Measures (Tables)
Fair Value Measures (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Fair Value Disclosures [Abstract] | |
Carrying Amount and Estimated Fair Value of Financial Instruments | The carrying amount and estimated fair value of the Company’s financial instruments as of October 2, 2023 and January 2, 2023 were as follows: As of As of October 2, 2023 January 2, 2023 Carrying Fair Value Carrying Fair Value (In thousands) Derivative assets, current $ 4,434 $ 4,434 $ — $ — Derivative assets, non-current 4,279 4,279 — — Derivative liabilities, current 1,040 1,040 1,622 1,622 Senior Notes due March 2029 495,740 415,865 495,221 430,165 Term Loan due May 2030 341,709 349,781 — — Term Loan due September 2024 — — 404,186 405,628 ABL Revolving Loans 30,000 30,000 30,000 30,000 |
(Loss) Earnings Per Share (Tabl
(Loss) Earnings Per Share (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Earnings Per Share [Abstract] | |
Reconciliation of Numerator and Denominator Used to Calculate Basic Earnings per Share and Diluted Earnings per Share from Continuing Operations | The following is a reconciliation of the numerator and denominator used to calculate basic earnings per share and diluted earnings per share for the quarter and three quarters ended October 2, 2023 and October 3, 2022: Quarter Ended Three Quarters Ended October 2, October 3, October 2, October 3, 2023 2022 2023 2022 (In thousands, except per share amounts) Net (loss) income $ ( 37,066 ) $ 43,528 $ ( 36,056 ) $ 88,566 Basic weighted average shares 103,510 102,196 102,873 102,016 Dilutive effect of performance-based restricted stock — 1,524 — 1,720 Dilutive effect of outstanding warrants — — — 2 Diluted shares 103,510 103,720 102,873 103,738 (Loss) earnings per share: Basic $ ( 0.36 ) $ 0.43 $ ( 0.35 ) $ 0.87 Diluted $ ( 0.36 ) $ 0.42 $ ( 0.35 ) $ 0.85 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Amounts Recognized in Consolidated Financial Statements of Operations with Respect to Stock Based Compensation Plan | Stock-based compensation expense is recognized in the accompanying consolidated condensed statements of operations as follows: Quarter Ended Three Quarters Ended October 2, October 3, October 2, October 3, 2023 2022 2023 2022 (In thousands) Cost of goods sold $ 2,212 $ 1,699 $ 5,371 $ 4,147 Selling and marketing 888 762 2,327 2,032 General and administrative 2,958 2,685 8,197 7,134 Research and development 309 324 833 818 Stock-based compensation expense recognized $ 6,367 $ 5,470 $ 16,728 $ 14,131 |
Summary of Unrecognized Compensation Costs | The following is a summary of total unrecognized compensation costs as of October 2, 2023: Unrecognized Stock-Based Compensation Cost Remaining Weighted Average (In thousands) (In years) RSU awards $ 41,382 1.6 PRU awards 2,919 1.6 $ 44,301 |
Restructuring Charges (Tables)
Restructuring Charges (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Restructuring and Related Activities [Abstract] | |
Summary of Restructuring Costs by Reportable Segment | The below table summarizes such restructuring costs by reportable segment for the quarter and three quarters ended October 2, 2023 and October 3, 2022: Quarter Ended October 2, 2023 Three Quarters Ended October 2, 2023 Employee Contract Total Employee Contract Total (In thousands) Reportable Segment: PCB $ 1,924 $ 2,167 $ 4,091 $ 13,066 $ 5,352 $ 18,418 RF&S Components — — — 14 — 14 Corporate and Other — — — 305 324 629 $ 1,924 $ 2,167 $ 4,091 $ 13,385 $ 5,676 $ 19,061 Quarter Ended October 3, 2022 Three Quarters Ended October 3, 2022 Employee Contract Total Employee Contract Total (In thousands) Reportable Segment: (1) PCB $ — $ 506 $ 506 $ — $ 849 $ 849 Corporate and Other — 121 121 31 387 418 $ — $ 627 $ 627 $ 31 $ 1,236 $ 1,267 (1) There were no restructuring costs incurred for RF&S Components reportable segment during the quarter and three quarters ended October 3, 2022 . |
Accrued Restructuring Costs | Accrued restructuring costs are included as a component of other current liabilities in the consolidated condensed balance sheet. The below table shows the utilization of the accrued restructuring costs during the three quarters ended October 2, 2023: Employee Contract Total (In thousands) Accrued as of January 2, 2023 $ 2,510 $ 3 $ 2,513 Charged to expense 13,385 5,676 19,061 Amount paid, net of government contributions eligible for offsetting ( 10,980 ) ( 4,856 ) ( 15,836 ) Accrued as of October 2, 2023 $ 4,915 $ 823 $ 5,738 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Oct. 02, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Fair Values of Derivative Instruments in Consolidated Condensed Balance Sheets | The fair values of derivative instruments in the consolidated condensed balance sheets are as follows: Asset/(Liability) Fair Value Balance Sheet Location October 2, 2023 January 2, 2023 (In thousands) Cash flow derivative instruments designated as hedges: Interest rate swap Prepaid expenses and other current assets $ 4,434 $ — Interest rate swap Deposits and other non-current assets 4,279 — Foreign exchange contracts Other current liabilities ( 43 ) ( 133 ) Cash flow derivative instruments not designated as hedges: Commodity contracts Other current liabilities ( 997 ) ( 1,489 ) |
Summary of Accumulated Other Comprehensive Loss Related to Derivatives Designated as Cash Flow Hedges | The following table provides information about the amounts recorded in accumulated other comprehensive loss related to derivatives designated as cash flow hedges, as well as the amounts recorded in each caption in the consolidated condensed statements of operations when derivative amounts are reclassified out of accumulated other comprehensive loss for the quarter and three quarters ended October 2, 2023 and October 3, 2022: Quarter Ended October 2, 2023 Quarter Ended October 3, 2022 Financial Gain Recognized in Other Comprehensive Loss Amounts Gain Recognized Amounts (In thousands) Cash flow hedge: Interest rate swap Interest expense $ 3,988 $ ( 1,116 ) $ — $ — Three Quarters Ended October 2, 2023 Three Quarters Ended October 3, 2022 Financial Gain Recognized in Other Comprehensive Loss Amounts Gain Recognized Amounts (In thousands) Cash flow hedge: Interest rate swap Interest expense $ 10,797 $ ( 2,084 ) 190 $ ( 4,105 ) |
Summary of Activity of Designated Cash Flow Hedges in Accumulated Other Comprehensive Loss | The following table provides a summary of the activity associated with the designated cash flow hedges reflected in accumulated other comprehensive loss for the three quarters ended October 2, 2023 and October 3, 2022: Three Quarters Ended October 2, October 3, 2023 2022 (In thousands) Beginning balance, net of tax $ ( 85 ) $ ( 3,223 ) Changes in fair value gain (loss), net of tax 8,150 24 Reclassification to earnings ( 1,558 ) 3,092 Ending balance, net of tax $ 6,507 $ ( 107 ) |
Nature of Operations and Basi_3
Nature of Operations and Basis of Presentation - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | |||
Oct. 02, 2023 | Apr. 03, 2023 | Mar. 23, 2023 | Jan. 02, 2023 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Accounts payable | $ 336,070 | $ 361,788 | ||
1-month Secured Overnight Financing Rate | Interest Rate Swap | ||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Derivative, notional amount | $ 250,000 | |||
Derivative, fixed rate | 3.49% | |||
Finacial Institution Agreements [Member] | ||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Accounts payable | $ 15,945 | $ 6,653 | ||
Minimum [Member] | ||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Financial institutions, negotiated period | 160 days | |||
Maximum [Member] | ||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Financial institutions, negotiated period | 360 days | |||
ASU 2022-04 | ||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Change in accounting principle, accounting standards update, adopted | true | |||
Change in accounting principle, accounting standards update, adoption date | Apr. 03, 2023 | |||
Change in accounting principle, accounting standards update, immaterial effect | true |
Acquisition of Gritel and ISC_3
Acquisition of Gritel and ISC Farmingdale Corp. - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Jun. 27, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | Jan. 02, 2023 | |||
Business Acquisition [Line Items] | ||||||||
Amortization of definite-lived intangibles | $ 11,429 | $ 10,273 | $ 37,245 | $ 26,822 | $ 5,627 | |||
Amortization of definite-lived intangibles included in cost of goods sold | 2,335 | 1,384 | 10,566 | 4,151 | ||||
Net sales | 572,582 | 671,080 | [1] | 1,663,528 | 1,877,890 | [1] | ||
Pre tax income | (17,259) | 49,163 | (17,587) | 99,769 | ||||
Gritel and ISC Farmingdale Corporation | ||||||||
Business Acquisition [Line Items] | ||||||||
Business acquisition completed date | Jun. 27, 2022 | |||||||
Total consideration in cash | $ 298,339 | |||||||
Adjustment for goodwill | 10,787 | |||||||
Amortization of definite-lived intangibles | 20,064 | |||||||
Amortization of definite-lived intangibles included in cost of goods sold | 7,375 | $ 2,950 | ||||||
Net sales | 159,950 | 68,255 | ||||||
Pre tax income | 15,883 | 6,997 | ||||||
Gritel and ISC Farmingdale Corporation | General and Administrative Expense | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination, related costs | $ 90 | $ 270 | $ 598 | $ 10,978 | ||||
Gritel and ISC Farmingdale Corporation | Maximum | ||||||||
Business Acquisition [Line Items] | ||||||||
Discount rate to expected future cash flows | 8% | |||||||
Gritel and ISC Farmingdale Corporation | Minimum | ||||||||
Business Acquisition [Line Items] | ||||||||
Discount rate to expected future cash flows | 7% | |||||||
[1] Amended for Telephonics integration. |
Acquisition of Gritel and ISC_4
Acquisition of Gritel and ISC Farmingdale Corp. - Summary of Preliminary Estimated Fair Values of Net Assets Acquired (Detail) - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Business Acquisition [Line Items] | ||
Goodwill | $ 702,735 | $ 760,437 |
Gritel and ISC Farmingdale Corporation | ||
Business Acquisition [Line Items] | ||
Accounts receivable | 51,140 | |
Contract assets | 26,460 | |
Inventories | 38,616 | |
Prepaid expenses and other current assets | 5,605 | |
Property, plant and equipment | 69,253 | |
Operating lease right-of-use assets | 497 | |
Goodwill | 112,326 | |
Identifiable intangible assets | 101,000 | |
Non-current deferred tax assets | 913 | |
Deposits and other non-current assets | 3,129 | |
Accounts payable | (16,026) | |
Contract liabilities | (65,262) | |
Accrued salaries, wages and benefits | (10,616) | |
Other current liabilities | (12,751) | |
Operating lease liabilities | (336) | |
Other long-term liabilities | (5,609) | |
Total | $ 298,339 |
Acquisition of Gritel and ISC_5
Acquisition of Gritel and ISC Farmingdale Corp. - Business Acquisition Preliminary Pro Forma Information of Financial Results (Detail) - Gritel and ISC Farmingdale Corporation - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Business Combination Separately Recognized Transactions [Line Items] | ||||
Net sales | $ 572,582 | $ 671,080 | $ 1,663,528 | $ 1,984,958 |
Net (loss) income | $ (37,066) | $ 41,254 | $ (30,626) | $ 88,905 |
Basic (loss) earnings per share | $ (0.36) | $ 0.4 | $ (0.3) | $ 0.87 |
Diluted (loss) earnings per share | $ (0.36) | $ 0.4 | $ (0.3) | $ 0.86 |
Leases - Additional Information
Leases - Additional Information (Detail) | 9 Months Ended |
Oct. 02, 2023 | |
Leases [Abstract] | |
Operating and finance leases expire | various dates through 2043 |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Leases [Abstract] | ||||
Operating lease cost | $ 1,754 | $ 2,080 | $ 5,562 | $ 5,756 |
Variable lease cost | 179 | 383 | 674 | 837 |
Short-term lease cost | 170 | 199 | 445 | 513 |
Finance lease costs: | ||||
Amortization of right-of-use assets | 344 | 344 | 1,031 | 1,031 |
Interest on lease liabilities | $ 94 | $ 98 | $ 281 | $ 295 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information Related to Leases (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Oct. 02, 2023 | Oct. 03, 2022 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows for operating leases | $ 5,632 | $ 5,796 |
Right-of-use assets obtained in exchange for new lease obligations: | ||
Operating leases | $ 77,840 | $ 5,196 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information Related to Leases (Detail) - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Assets: | ||
Operating lease right-of-use assets | $ 89,290 | $ 18,862 |
Finance leases | $ 12,354 | $ 13,384 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Property, plant and equipment, net | Property, plant and equipment, net |
Total lease assets | $ 101,644 | $ 32,246 |
Current: | ||
Operating leases | $ 7,846 | $ 7,368 |
Operating Lease Liability Current Statement Of Financial Position Extensible List | Other current liabilities | Other current liabilities |
Finance leases | $ 778 | $ 736 |
Finance Lease Liability Current Statement Of Financial Position Extensible List | Other current liabilities | Other current liabilities |
Long-term: | ||
Operating lease liabilities | $ 82,103 | $ 12,249 |
Finance leases | $ 12,993 | $ 13,579 |
Finance Lease Liability Noncurrent Statement Of Financial Position Extensible List | Other long-term liabilities | Other long-term liabilities |
Total lease liabilities | $ 103,720 | $ 33,932 |
Weighted average remaining lease term (years): | ||
Operating leases | 13 years 1 month 6 days | 3 years 3 months 18 days |
Finance leases | 12 years 10 months 24 days | 13 years 7 months 6 days |
Weighted average discount rate: | ||
Operating leases | 6.11% | 3.09% |
Finance leases | 2.69% | 2.69% |
Leases - Maturities of Lease Li
Leases - Maturities of Lease Liabilities (Detail) $ in Thousands | Oct. 02, 2023 USD ($) |
Leases [Abstract] | |
Operating leases Less than one year | $ 12,978 |
Operating leases 1 - 2 years | 11,403 |
Operating leases 2 - 3 years | 9,038 |
Operating leases 3 - 4 years | 8,203 |
Operating leases 4 - 5 years | 7,844 |
Operating leases Thereafter | 87,535 |
Total operating lease payments | 137,001 |
Less imputed interest | (47,052) |
Total operating lease | 89,949 |
Finance leases Less than one year | 1,136 |
Finance leases 1 - 2 years | 1,133 |
Finance leases 2 - 3 years | 1,175 |
Finance leases 3 - 4 years | 1,184 |
Finance leases 4 - 5 years | 1,228 |
Finance leases Thereafter | 10,538 |
Total finance lease payments | 16,394 |
Less imputed interest | (2,623) |
Total finance lease | $ 13,771 |
Leases - Maturities of Lease _2
Leases - Maturities of Lease Liabilities (Parenthetical) (Detail) $ in Thousands | Oct. 02, 2023 USD ($) |
Leases [Abstract] | |
Legally binding lease payments for leases signed but not yet commenced | $ 851 |
Revenues - Additional Informati
Revenues - Additional Information (Detail 1) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-07-04 $ in Thousands | Oct. 02, 2023 USD ($) |
Revenue From Contract With Customer [Line Items] | |
Transaction price allocated to remaining performance obligations | $ 353,941 |
Remaining performance obligation period | 12 months |
Revenues - Additional Informa_2
Revenues - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | Jan. 02, 2023 | |
Revenue From Contract With Customer [Line Items] | |||||
Remaining revenue performance obligation, percentage | 56% | 56% | |||
Estimated remaining costs to complete loss contracts | $ 19,202 | $ 21,632 | |||
Revenue Recognized | $ 33,939 | ||||
Transferred over Time | |||||
Revenue From Contract With Customer [Line Items] | |||||
Revenue from products and services transferred to customers, percentage | 96% | 98% | 96% | 98% | |
Transferred at Point in Time | |||||
Revenue From Contract With Customer [Line Items] | |||||
Revenue from products and services transferred to customers, percentage | 4% | 2% | 4% | 2% |
Revenues - Disaggregation of Re
Revenues - Disaggregation of Revenue by Principal End Markets with the Reportable Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Oct. 02, 2023 | Oct. 03, 2022 | [1] | Oct. 02, 2023 | Oct. 03, 2022 | [1] | |
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | $ 572,582 | $ 671,080 | $ 1,663,528 | $ 1,877,890 | ||
Printed Circuit Board | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 563,676 | 657,175 | 1,634,318 | 1,832,674 | ||
RF&S Components | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 8,906 | 13,905 | 29,210 | 45,216 | ||
Aerospace and Defense | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 255,618 | 254,285 | 742,194 | 616,141 | ||
Aerospace and Defense | Printed Circuit Board | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 255,618 | 254,285 | 742,194 | 616,141 | ||
Automotive | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 86,803 | 100,811 | 272,644 | 327,825 | ||
Automotive | Printed Circuit Board | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 86,803 | 100,811 | 272,644 | 327,825 | ||
Data Center Computing | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 99,584 | 95,843 | 221,810 | 293,835 | ||
Data Center Computing | Printed Circuit Board | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 99,584 | 95,830 | 221,759 | 293,802 | ||
Data Center Computing | RF&S Components | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 13 | 51 | 33 | |||
Medical/Industrial/Instrumentation | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 90,713 | 129,683 | 282,122 | 384,890 | ||
Medical/Industrial/Instrumentation | Printed Circuit Board | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 89,818 | 128,444 | 279,565 | 379,867 | ||
Medical/Industrial/Instrumentation | RF&S Components | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 895 | 1,239 | 2,557 | 5,023 | ||
Networking/Communications | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 39,864 | 90,675 | 144,758 | 252,950 | ||
Networking/Communications | Printed Circuit Board | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 31,853 | 78,181 | 118,156 | 211,590 | ||
Networking/Communications | RF&S Components | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 8,011 | 12,494 | 26,602 | 41,360 | ||
Other | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 0 | (217) | 0 | 2,249 | ||
Other | Printed Circuit Board | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | 0 | (376) | 0 | 3,449 | ||
Other | RF&S Components | ||||||
Disaggregation Of Revenue [Line Items] | ||||||
Total Revenue | $ 0 | $ 159 | $ 0 | $ (1,200) | ||
[1] Amended for Telephonics integration. |
Schedule of Composition of Cert
Schedule of Composition of Certain Consolidated Condensed Financial Statement Captions (Detail) - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Inventories: | ||
Raw materials | $ 161,870 | $ 145,561 |
Work-in-process | 40,378 | 20,114 |
Finished goods | 3,928 | 4,964 |
Inventories | 206,176 | 170,639 |
Property, plant and equipment, net: | ||
Land and land use rights | 76,811 | 76,811 |
Buildings and improvements | 448,756 | 443,353 |
Machinery and equipment | 986,615 | 989,935 |
Furniture and fixtures and other | 10,155 | 11,327 |
Construction-in-progress | 141,135 | 27,774 |
Property, plant and equipment, gross | 1,663,472 | 1,549,200 |
Less: Accumulated depreciation | (855,101) | (824,996) |
Property, plant and equipment, net | 808,371 | 724,204 |
Other current liabilities: | ||
Accrued Capital Expenditures | 48,181 | 0 |
Income taxes payable | 16,944 | 28,057 |
Sales return and allowances | 12,216 | 12,319 |
Accrued facility operating costs | 9,516 | 9,081 |
Operating leases | 7,846 | 7,368 |
Warranty | 7,929 | 8,045 |
Housing fund | 7,410 | 7,440 |
Restructuring | 5,738 | 2,513 |
Accrued professional fees | 2,805 | 5,123 |
Interest | 1,902 | 9,336 |
Derivative liabilities | 1,040 | 1,622 |
Other | 31,775 | 39,128 |
Other current liabilities | 153,302 | 130,032 |
Other long-term liabilities: | ||
Deferred income taxes | 59,130 | 54,268 |
Customer deposits | 31,250 | 38,750 |
Finance leases | 12,993 | 13,579 |
Defined benefit pension plan liability | 2,475 | 2,471 |
Other | 24,327 | 25,976 |
Other long-term liabilities | $ 130,175 | $ 135,044 |
Composition of Certain Consol_3
Composition of Certain Consolidated Condensed Financial Statement Captions - Additional Information (Detail) ¥ in Millions | 9 Months Ended | 12 Months Ended | ||||
Oct. 02, 2023 USD ($) | Jan. 02, 2023 USD ($) | Dec. 22, 2022 CNY (¥) | Dec. 22, 2022 USD ($) | Oct. 02, 2023 | Dec. 30, 2023 | |
Shanghai E-MS compensation fee | $ 6,554 | $ 69,240 | ¥ 477.6 | |||
Gain on the sale of asset | $ 51,804 | |||||
Percentage of compensation fee | 90% | |||||
Scenario Forecast | ||||||
Percentage of compensation fee | 10% |
Goodwill by Reportable Segment
Goodwill by Reportable Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | Jan. 02, 2023 | |
Goodwill [Line Items] | |||||
Impairment loss | $ (44,100) | $ 0 | $ (44,100) | $ 0 | |
Goodwill adjustment | (10,787) | ||||
Derecognition of goodwill due to sale of subsidiary | (2,815) | ||||
Goodwill | 987,435 | 987,435 | $ 1,001,037 | ||
Accumulated impairment losses | (284,700) | (284,700) | (240,600) | ||
Goodwill, net | 702,735 | 702,735 | 760,437 | ||
Printed Circuit Board | |||||
Goodwill [Line Items] | |||||
Goodwill adjustment | (10,787) | ||||
Derecognition of goodwill due to sale of subsidiary | (2,815) | ||||
Goodwill | 810,235 | 810,235 | 823,837 | ||
Accumulated impairment losses | (171,400) | (171,400) | (171,400) | ||
Goodwill, net | 638,835 | 638,835 | 652,437 | ||
RF&S Components | |||||
Goodwill [Line Items] | |||||
Impairment loss | (44,100) | (44,100) | |||
Goodwill | 177,200 | 177,200 | 177,200 | ||
Accumulated impairment losses | (113,300) | (113,300) | (69,200) | ||
Goodwill, net | $ 63,900 | $ 63,900 | $ 108,000 |
Goodwill - Additional Informati
Goodwill - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Goodwill [Line Items] | ||||
Impairment of goodwill | $ 44,100 | $ 0 | $ 44,100 | $ 0 |
RF&S Components | ||||
Goodwill [Line Items] | ||||
Impairment of goodwill | $ 44,100 | |||
Gritel and ISC Farmingdale Corporation | ||||
Goodwill [Line Items] | ||||
Adjustment for goodwill | $ 10,787 |
Definite-lived Intangibles (Det
Definite-lived Intangibles (Detail) - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $ 498,380 | $ 504,471 |
Accumulated Amortization | (247,904) | (216,434) |
Net Carrying Amount | 250,476 | 288,037 |
Customer Relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 416,230 | 366,071 |
Accumulated Amortization | (213,274) | (187,560) |
Net Carrying Amount | $ 202,956 | $ 178,511 |
Weighted Average Amortization Period | 11 years 2 months 12 days | 11 years 3 months 18 days |
Customer Relationships | Gritel and ISC Farmingdale Corporation | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $ 82,500 | |
Accumulated Amortization | (3,173) | |
Net Carrying Amount | $ 79,327 | |
Weighted Average Amortization Period | 13 years | |
Technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $ 66,650 | $ 47,650 |
Accumulated Amortization | (24,942) | (24,876) |
Net Carrying Amount | $ 41,708 | $ 22,774 |
Weighted Average Amortization Period | 8 years 2 months 12 days | 9 years 6 months |
Backlog | Gritel and ISC Farmingdale Corporation | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $ 13,000 | |
Accumulated Amortization | (8,125) | |
Net Carrying Amount | $ 4,875 | |
Weighted Average Amortization Period | 2 years | |
Trade Names | Gritel and ISC Farmingdale Corporation | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $ 2,500 | $ 8,250 |
Accumulated Amortization | (1,563) | (825) |
Net Carrying Amount | $ 937 | $ 7,425 |
Weighted Average Amortization Period | 2 years | 5 years |
Definite-lived Intangibles - Ad
Definite-lived Intangibles - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization of definite-lived intangibles | $ 13,764 | $ 11,657 | $ 47,811 | $ 30,973 |
Amortization of definite-lived intangibles included in cost of goods sold | $ 2,335 | $ 1,384 | $ 10,566 | $ 4,151 |
Estimated Aggregate Amortizatio
Estimated Aggregate Amortization for Definite-Lived Intangible Assets (Detail) - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remaining 2023 | $ 13,766 | |
2024 | 44,892 | |
2025 | 36,897 | |
2026 | 36,897 | |
2027 | 34,543 | |
Thereafter | 83,481 | |
Net Carrying Amount | $ 250,476 | $ 288,037 |
Long-term Debt (Detail)
Long-term Debt (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Oct. 02, 2023 | Jan. 02, 2023 | May 30, 2023 | |
Debt Instrument [Line Items] | |||
Long-term debt, gross | $ 879,125 | $ 935,879 | |
Less: Long-term debt unamortized debt issuance costs | (8,312) | (6,080) | |
Long-term debt unamortized discount | (3,364) | (392) | |
Long-term debt, Carrying Amount | 867,449 | 929,407 | |
Less: current maturities | (2,625) | (50,000) | |
Long-term debt, less current maturities | 864,824 | 879,407 | |
Senior Notes Due March 2029 | |||
Debt Instrument [Line Items] | |||
Long-term debt, gross | $ 500,000 | $ 500,000 | |
Debt instrument, interest rate | 4% | 4% | |
Term Loan Due May 2030 | |||
Debt Instrument [Line Items] | |||
Long-term debt, gross | $ 349,125 | $ 350,000 | |
Long-term debt unamortized discount | $ (3,364) | ||
Interest rate at period end | 8.07% | ||
Term Loan Due September 2024 | |||
Debt Instrument [Line Items] | |||
Long-term debt, gross | $ 405,879 | ||
Long-term debt unamortized discount | $ (392) | ||
Interest rate at period end | 6.89% | ||
Asia Asset Based Lending Revolving Loan Due June 2028 | |||
Debt Instrument [Line Items] | |||
Revolving loan | $ 30,000 | $ 30,000 | |
Interest rate at period end | 6.62% | 5.79% |
Long-term Debt (Parenthetical)
Long-term Debt (Parenthetical) (Detail) | 9 Months Ended |
Oct. 02, 2023 | |
Senior Notes Due March 2029 | |
Debt Instrument [Line Items] | |
Long-term debt, maturity month and year | 2029-03 |
Term Loan Due May 2030 | |
Debt Instrument [Line Items] | |
Long-term debt, maturity month and year | 2030-05 |
Term Loan Due September 2024 | |
Debt Instrument [Line Items] | |
Long-term debt, maturity month and year | 2024-09 |
Asia Asset Based Lending Revolving Loan Due June 2028 | |
Debt Instrument [Line Items] | |
Long-term debt, maturity month and year | 2028-06 |
Schedule of Remaining Unamortiz
Schedule of Remaining Unamortized Debt Discount and Debt Issuance Costs (Detail) - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Debt Instrument [Line Items] | ||
Debt Issuance Costs | $ 8,312 | $ 6,080 |
Debt Discount | 3,364 | 392 |
Senior Notes Due March 2029 | ||
Debt Instrument [Line Items] | ||
Debt Issuance Costs | $ 4,260 | $ 4,779 |
Effective Interest Rate | 4.18% | 4.18% |
Term Loan Due September 2024 | ||
Debt Instrument [Line Items] | ||
Debt Issuance Costs | $ 1,301 | |
Debt Discount | $ 392 | |
Effective Interest Rate | 4.66% | |
Term Loan Due May 2030 | ||
Debt Instrument [Line Items] | ||
Debt Issuance Costs | $ 4,052 | |
Debt Discount | $ 3,364 | |
Effective Interest Rate | 8.26% |
Long-term Debt and Letters of_3
Long-term Debt and Letters of Credit - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||||
Oct. 02, 2023 | May 30, 2023 | Oct. 02, 2023 | Oct. 03, 2022 | Jul. 03, 2023 | Oct. 02, 2023 | Oct. 03, 2022 | Jan. 02, 2023 | |
Debt Instrument [Line Items] | ||||||||
Remaining unamortized debt issuance costs | $ 8,312 | $ 8,312 | $ 8,312 | $ 6,080 | ||||
Loss on extinguishment of debt | 0 | $ 0 | 1,154 | $ 0 | ||||
Debt instrument amount | 879,125 | 879,125 | 879,125 | 935,879 | ||||
Proceeds from long-term debt borrowing | 234,818 | 0 | ||||||
Cashless extinguishment of debt for issuance of new long-term debt borrowing | $ (115,182) | $ 0 | ||||||
Weighted Average | ||||||||
Debt Instrument [Line Items] | ||||||||
Unamortized debt issuance costs and debt discount, amortization period | 6 years | |||||||
U.S. Asset Based Lending Revolving Loan Due June 2024 | ||||||||
Debt Instrument [Line Items] | ||||||||
Remaining unamortized debt issuance costs | 1,695 | 1,695 | $ 1,695 | 792 | ||||
U.S. Asset Based Lending Revolving Loan Due May 2028 | ||||||||
Debt Instrument [Line Items] | ||||||||
Long-term debt, maturity month and year | 2028-05 | |||||||
Debt instrument, maximum borrowing capacity | 150,000 | 150,000 | $ 150,000 | |||||
Commitment fee under credit agreement | 0.25% | |||||||
Long-term debt, maturity date | May 30, 2028 | |||||||
Line of credit outstanding amount | 6,191 | |||||||
U.S. Asset Based Lending Revolving Loan Due May 2028 | Letter of Credit [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, maximum borrowing capacity | 50,000 | 50,000 | $ 50,000 | |||||
Debt instrument, available borrowing capacity | 143,809 | 143,809 | 143,809 | |||||
U.S. Asset Based Lending Revolving Loan Due May 2028 | Revolving Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, maximum borrowing capacity | 150,000 | 150,000 | $ 150,000 | |||||
U.S. Asset Based Lending Revolving Loan Due May 2028 | Prime Rate [Member] | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 0.25% | |||||||
U.S. Asset Based Lending Revolving Loan Due May 2028 | Prime Rate [Member] | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 0.50% | |||||||
U.S. Asset Based Lending Revolving Loan Due May 2028 | 1-month Secured Overnight Financing Rate | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 1.25% | |||||||
U.S. Asset Based Lending Revolving Loan Due May 2028 | 1-month Secured Overnight Financing Rate | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 1.50% | |||||||
U.S. Asset Based Lending Revolving Loan Due May 2028 | 1-month Secured Overnight Financing Rate | Revolving Credit Facility [Member] | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 1.25% | |||||||
U.S. Asset Based Lending Revolving Loan Due May 2028 | 1-month Secured Overnight Financing Rate | Revolving Credit Facility [Member] | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 1.50% | |||||||
Asia Asset Based Lending Revolving Loan Due June 2028 | ||||||||
Debt Instrument [Line Items] | ||||||||
Long-term debt, maturity month and year | 2028-06 | |||||||
Debt instrument, maximum borrowing capacity | 150,000 | 150,000 | $ 150,000 | |||||
Commitment fee under credit agreement | 0.25% | |||||||
Long-term debt, maturity date | Jun. 13, 2028 | |||||||
Asia Asset Based Lending Revolving Loan Due June 2028 | Letter of Credit [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, maximum borrowing capacity | 100,000 | 100,000 | $ 100,000 | |||||
Line of credit outstanding amount | 21,961 | |||||||
Debt instrument, available borrowing capacity | 98,039 | 98,039 | 98,039 | |||||
Asia Asset Based Lending Revolving Loan Due June 2028 | Revolving Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, maximum borrowing capacity | 150,000 | 150,000 | $ 150,000 | |||||
Asia Asset Based Lending Revolving Loan Due June 2028 | 1-month Secured Overnight Financing Rate | Revolving Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 1.30% | |||||||
Term Loan Due May 2030 | ||||||||
Debt Instrument [Line Items] | ||||||||
Long-term debt, maturity month and year | 2030-05 | |||||||
Debt instrument amount | 349,125 | $ 350,000 | 349,125 | $ 349,125 | ||||
Proceeds from long-term debt borrowing | 234,818 | |||||||
Cashless extinguishment of debt for issuance of new long-term debt borrowing | 115,182 | |||||||
Debt instrument, percentage of voting stock pledged as security | 65% | |||||||
Debt discount percentage | 1% | |||||||
Term Loan Due May 2030 | 1-month Secured Overnight Financing Rate | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, basis spread on variable rate | 2.75% | |||||||
Term Loan Due May 2030 | Long-Term Debt [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument amount | $ 346,500 | |||||||
Term Loan Due May 2030 | Short-Term Debt [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument amount | $ 2,625 | $ 2,625 | $ 2,625 | |||||
Term Loan Due September 2024 | ||||||||
Debt Instrument [Line Items] | ||||||||
Long-term debt, maturity month and year | 2024-09 | |||||||
Loss on extinguishment of debt | $ 1,154 | |||||||
Debt instrument amount | $ 405,879 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Oct. 02, 2023 | Oct. 02, 2023 | |
Income Tax Disclosure [Abstract] | ||
Change in valuation allowance | $ 0 | |
Effective tax rate impacted by net discrete tax expense (benefit) | $ 1,286 | $ 1,286 |
Reconciliation of Operating Inc
Reconciliation of Operating Income (Loss) from Segments to Consolidated By Reportable Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |||
Segment Reporting Information [Line Items] | ||||||
Net sales | $ 572,582 | $ 671,080 | [1] | $ 1,663,528 | $ 1,877,890 | [1] |
Total operating (loss) income | (10,202) | 49,778 | 7,738 | 112,848 | ||
Amortization of definite-lived intangibles | (13,764) | (11,657) | (47,811) | (30,973) | ||
Total other expense, net | (7,057) | (615) | (25,325) | (13,079) | ||
(Loss) income before income taxes | (17,259) | 49,163 | (17,587) | 99,769 | ||
Printed Circuit Board | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 563,676 | 657,175 | [1] | 1,634,318 | 1,832,674 | [1] |
RF&S Components | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 8,906 | 13,905 | [1] | 29,210 | 45,216 | [1] |
Operating Segment | ||||||
Segment Reporting Information [Line Items] | ||||||
Total operating (loss) income | 3,562 | 61,435 | 55,549 | 143,821 | ||
Operating Segment | Printed Circuit Board | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 563,676 | 657,175 | 1,634,318 | 1,832,674 | ||
Total operating (loss) income | 82,868 | 89,868 | 192,981 | 238,316 | ||
Operating Segment | RF&S Components | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 8,906 | 13,905 | 29,210 | 45,216 | ||
Total operating (loss) income | (41,441) | 5,984 | (36,071) | 18,412 | ||
Corporate and Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Total operating (loss) income | $ (37,865) | $ (34,417) | $ (101,361) | $ (112,907) | ||
[1] Amended for Telephonics integration. |
Reconciliation of Operating I_2
Reconciliation of Operating Income (Loss) from Segments to Consolidated By Reportable Segments (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Segment Reporting Information [Line Items] | ||||
Amortization of definite-lived intangibles | $ 2,335 | $ 1,384 | $ 10,566 | $ 4,151 |
Printed Circuit Board and RF&S Components | ||||
Segment Reporting Information [Line Items] | ||||
Amortization of definite-lived intangibles | $ 2,335 | $ 1,384 | $ 10,566 | $ 4,151 |
Reconciliation of Assets from S
Reconciliation of Assets from Segment to Consolidated (Detail) - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ 3,266,502 | $ 3,323,604 |
Operating Segment | Printed Circuit Board | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 2,016,088 | 1,890,723 |
Operating Segment | RF&S Components | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 145,364 | 202,619 |
Corporate and Other | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ 1,105,050 | $ 1,230,262 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 USD ($) | Oct. 03, 2022 USD ($) | Oct. 02, 2023 USD ($) Country | Oct. 03, 2022 USD ($) | |
Segment Reporting [Abstract] | ||||
Non cash impairment charge for goodwill | $ | $ 44,100 | $ 0 | $ 44,100 | $ 0 |
Number of countries the parent company markets and sells its products | Country | 60 | |||
Percentage of total net sales, if exceed, the company does not conduct business | 10% |
Net Sales (Detail)
Net Sales (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |||
Segment Reporting Information [Line Items] | ||||||
Net sales | $ 572,582 | $ 671,080 | [1] | $ 1,663,528 | $ 1,877,890 | [1] |
United States | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 319,105 | 343,696 | 949,668 | 882,577 | ||
China | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | 35,376 | 88,280 | 127,653 | 273,068 | ||
Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | $ 218,101 | $ 239,104 | $ 586,207 | $ 722,245 | ||
[1] Amended for Telephonics integration. |
Schedule of Accumulated Other C
Schedule of Accumulated Other Comprehensive Loss, Net of Tax (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Oct. 02, 2023 | Jul. 03, 2023 | Apr. 03, 2023 | Oct. 03, 2022 | Jul. 04, 2022 | Apr. 04, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | $ 1,544,309 | $ 1,527,734 | $ 1,535,579 | $ 1,474,080 | $ 1,447,829 | $ 1,455,417 | $ 1,535,579 | $ 1,455,417 |
Other comprehensive (loss) income | 2,121 | 4,630 | (7,271) | (609) | (776) | 2,151 | (520) | 766 |
Ending balance | 1,501,114 | 1,544,309 | 1,527,734 | 1,522,469 | 1,474,080 | 1,447,829 | 1,501,114 | 1,522,469 |
Foreign Currency Translation | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | (25,984) | (25,984) | ||||||
Other comprehensive (loss) income before reclassifications | (7,112) | |||||||
Amounts reclassified from accumulated other comprehensive loss | 0 | |||||||
Other comprehensive (loss) income | (7,112) | |||||||
Ending balance | (33,096) | (33,096) | ||||||
Pension Obligation | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | 1,279 | 1,279 | ||||||
Other comprehensive (loss) income before reclassifications | 0 | |||||||
Amounts reclassified from accumulated other comprehensive loss | 0 | |||||||
Other comprehensive (loss) income | 0 | |||||||
Ending balance | 1,279 | 1,279 | ||||||
(Losses) Gains on Cash Flow Hedges | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | (85) | (3,223) | (85) | (3,223) | ||||
Other comprehensive (loss) income before reclassifications | 8,150 | 24 | ||||||
Amounts reclassified from accumulated other comprehensive loss | (1,558) | 3,092 | ||||||
Other comprehensive (loss) income | 6,592 | |||||||
Ending balance | 6,507 | (107) | 6,507 | (107) | ||||
Accumulated Other Comprehensive (Loss) Income | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | (27,431) | (32,061) | (24,790) | (25,880) | (25,104) | (27,255) | (24,790) | (27,255) |
Other comprehensive (loss) income before reclassifications | 1,038 | |||||||
Amounts reclassified from accumulated other comprehensive loss | (1,558) | |||||||
Other comprehensive (loss) income | 2,121 | 4,630 | (7,271) | (609) | (776) | 2,151 | (520) | |
Ending balance | $ (25,310) | $ (27,431) | $ (32,061) | $ (26,489) | $ (25,880) | $ (25,104) | $ (25,310) | $ (26,489) |
Significant Customers and Con_2
Significant Customers and Concentration of Credit Risk - Additional Information (Detail) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Oct. 02, 2023 USD ($) Customer | Oct. 03, 2022 Customer | Oct. 02, 2023 USD ($) Customer | Oct. 03, 2022 Customer | Jan. 02, 2023 USD ($) Customer | |
Concentration Risk [Line Items] | |||||
Cash and cash equivalents | $ 408,331 | $ 408,331 | $ 402,749 | ||
Net Sales | |||||
Concentration Risk [Line Items] | |||||
Number of customers contributing to more than ten percent of revenue | Customer | 2 | 0 | 1 | 1 | |
Accounts receivable | |||||
Concentration Risk [Line Items] | |||||
Number of customers contributing to more than ten percent of revenue | Customer | 0 | 1 | |||
China | |||||
Concentration Risk [Line Items] | |||||
Cash and cash equivalents | $ 161,708 | ||||
Hong Kong | |||||
Concentration Risk [Line Items] | |||||
Cash and cash equivalents | $ 198,286 | $ 198,286 | |||
PCB | Net Sales | Customer Concentration Risk | |||||
Concentration Risk [Line Items] | |||||
Percentage of net sales, accounted by one customer | 23% | 10% | 13% | 10% | |
PCB | Accounts receivable | Customer Concentration Risk | |||||
Concentration Risk [Line Items] | |||||
Percentage of net sales, accounted by one customer | 10% | 11% |
Fair Value Measures - Additiona
Fair Value Measures - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Non cash impairment charge for goodwill | $ 44,100 | $ 0 | $ 44,100 | $ 0 |
Fair Value, Nonrecurring | Fair Value, Inputs, Level 3 | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Goodwill fair value disclosure | 63,900 | 63,900 | ||
RF&S Components | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Non cash impairment charge for goodwill | $ 44,100 | $ 44,100 |
Carrying Amount and Estimated F
Carrying Amount and Estimated Fair Value of Financial Instruments (Detail) - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative Asset, Current, Statement of Financial Position [Extensible Enumeration] | Assets, Current | Assets, Current |
Derivative liabilities, current | $ 1,040 | $ 1,622 |
Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets, current | 4,434 | 0 |
Derivative assets, non-current | 4,279 | 0 |
Derivative liabilities, current | 1,040 | 1,622 |
Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative assets, current | 4,434 | 0 |
Derivative assets, non-current | 4,279 | 0 |
Derivative liabilities, current | 1,040 | 1,622 |
Senior Notes Due March 2029 | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 495,740 | 495,221 |
Senior Notes Due March 2029 | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 415,865 | 430,165 |
Term Loan Due May 2030 | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 341,709 | 0 |
Term Loan Due May 2030 | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 349,781 | 0 |
Term Loan Due September 2024 | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 0 | 404,186 |
Term Loan Due September 2024 | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 0 | 405,628 |
ABL Revolving Loans | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | 30,000 | 30,000 |
ABL Revolving Loans | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | $ 30,000 | $ 30,000 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | Oct. 02, 2023 USD ($) |
Offset Agreement [Member] | |
Loss Contingencies [Line Items] | |
Outstanding offset agreements | $ 27,963 |
Reconciliation of Numerator and
Reconciliation of Numerator and Denominator Used to Calculate Basic Earnings per Share and Diluted Earnings per Share from Continuing Operations (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Earnings Per Share [Abstract] | ||||
Net income | $ (37,066) | $ 43,528 | $ (36,056) | $ 88,566 |
Basic weighted average shares | 103,510 | 102,196 | 102,873 | 102,016 |
Dilutive effect of performance-based restricted stock units, restricted stock units and stock options | 0 | 1,524 | 0 | 1,720 |
Dilutive effect of outstanding warrants | 0 | 0 | 0 | 2 |
Diluted shares | 103,510 | 103,720 | 102,873 | 103,738 |
Earnings per share: | ||||
Basic | $ (0.36) | $ 0.43 | $ (0.35) | $ 0.87 |
Diluted | $ (0.36) | $ 0.42 | $ (0.35) | $ 0.85 |
(Loss) Earnings Per Share - Add
(Loss) Earnings Per Share - Additional Information (Detail) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Maximum [Member] | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Diluted shares exercise price | $ 16.6 | $ 16.6 | ||
Minimum [Member] | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Diluted shares exercise price | $ 11.83 | $ 11.83 | ||
Stock options | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Shares excluded from calculating diluted earnings per share | 60,000 | 41 | 60,000 | 690 |
Restricted Stock Units (RSUs) | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Shares excluded from calculating diluted earnings per share | 3,533,000 | 41 | 3,204,000 | 690 |
Performance-Based Restricted Stock Units (PRUs) | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Shares excluded from calculating diluted earnings per share | 697,000 | 41 | 697,000 | 690 |
Amounts Recognized in Consolida
Amounts Recognized in Consolidated Financial Statements of Operations with Respect to Stock Based Compensation Plan (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense recognized | $ 6,367 | $ 5,470 | $ 16,728 | $ 14,131 |
Cost of goods sold | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense recognized | 2,212 | 1,699 | 5,371 | 4,147 |
Selling and marketing | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense recognized | 888 | 762 | 2,327 | 2,032 |
General and administrative | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense recognized | 2,958 | 2,685 | 8,197 | 7,134 |
Research and development | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense recognized | $ 309 | $ 324 | $ 833 | $ 818 |
Summary of Unrecognized Compens
Summary of Unrecognized Compensation Costs (Detail) $ in Thousands | 9 Months Ended |
Oct. 02, 2023 USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Stock-Based Compensation Cost | $ 44,301 |
Restricted Stock Units (RSUs) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Stock-Based Compensation Cost | $ 41,382 |
Remaining Weighted Average Recognition Period (years) | 1 year 7 months 6 days |
Performance-Based Restricted Stock Units (PRUs) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Stock-Based Compensation Cost | $ 2,919 |
Remaining Weighted Average Recognition Period (years) | 1 year 7 months 6 days |
Restructuring Charges - Additio
Restructuring Charges - Additional Information (Detail) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Feb. 08, 2023 Facility | Dec. 31, 2023 USD ($) | Oct. 02, 2023 USD ($) | Oct. 03, 2022 USD ($) | Oct. 02, 2023 USD ($) | Oct. 03, 2022 USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||||||
Number of manufacturing facilities | Facility | 3 | |||||
Restructuring charges | $ 4,091 | $ 627 | $ 19,061 | $ 1,267 | ||
Accelerated depreciation expense | 3,374 | |||||
Scenario Forecast | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Accelerated depreciation expense | $ 22,000 | |||||
Disposal costs | $ 28,000 | |||||
Cash Percentage of accelerated depreciation and disposal costs | 80% | |||||
PCB | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Number of manufacturing facilities | Facility | 3 | |||||
Restructuring charges | $ 15,525 |
Summary of Restructuring Costs
Summary of Restructuring Costs (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | $ 4,091 | $ 627 | $ 19,061 | $ 1,267 | ||
PCB | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 15,525 | |||||
General and Administrative Expense | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 4,091 | 627 | [1] | 19,061 | 1,267 | [1] |
General and Administrative Expense | Operating Segment | PCB | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 4,091 | 506 | [1] | 18,418 | 849 | [1] |
General and Administrative Expense | Operating Segment | RF&S Components | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 0 | 14 | ||||
General and Administrative Expense | Corporate and Other | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 0 | 121 | [1] | 629 | 418 | [1] |
General and Administrative Expense | Employee Separation/Severance | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 1,924 | 0 | [1] | 13,385 | 31 | [1] |
General and Administrative Expense | Employee Separation/Severance | Operating Segment | PCB | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 1,924 | 0 | [1] | 13,066 | 0 | [1] |
General and Administrative Expense | Employee Separation/Severance | Operating Segment | RF&S Components | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 0 | 14 | ||||
General and Administrative Expense | Employee Separation/Severance | Corporate and Other | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 0 | 0 | [1] | 305 | 31 | [1] |
General and Administrative Expense | Contract Termination and Other Costs | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 2,167 | 627 | [1] | 5,676 | 1,236 | [1] |
General and Administrative Expense | Contract Termination and Other Costs | Operating Segment | PCB | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 2,167 | 506 | [1] | 5,352 | 849 | [1] |
General and Administrative Expense | Contract Termination and Other Costs | Operating Segment | RF&S Components | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | 0 | 0 | ||||
General and Administrative Expense | Contract Termination and Other Costs | Corporate and Other | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Restructuring charges | $ 0 | $ 121 | [1] | $ 324 | $ 387 | [1] |
[1] There were no restructuring costs incurred for RF&S Components reportable segment during the quarter and three quarters ended October 3, 2022 |
Accrued Restructuring Costs (De
Accrued Restructuring Costs (Detail) $ in Thousands | 9 Months Ended |
Oct. 02, 2023 USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Accrued as of January 2, 2023 | $ 2,513 |
Charged to expense | 19,061 |
Amount paid, net of government contributions eligible for offsetting | (15,836) |
Accrued as of October 2, 2023 | 5,738 |
Employee Separation/Severance | |
Restructuring Cost and Reserve [Line Items] | |
Accrued as of January 2, 2023 | 2,510 |
Charged to expense | 13,385 |
Amount paid, net of government contributions eligible for offsetting | (10,980) |
Accrued as of October 2, 2023 | 4,915 |
Contract Termination and Other Costs | |
Restructuring Cost and Reserve [Line Items] | |
Accrued as of January 2, 2023 | 3 |
Charged to expense | 5,676 |
Amount paid, net of government contributions eligible for offsetting | (4,856) |
Accrued as of October 2, 2023 | $ 823 |
Share Repurchase Program - Addi
Share Repurchase Program - Additional Information (Detail) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
May 03, 2023 | Oct. 02, 2023 | Jul. 04, 2022 | Apr. 04, 2022 | Oct. 02, 2023 | |
Share Repurchase Program [Abstract] | |||||
Share repurchase program, authorized amount | $ 100,000 | ||||
Share repurchase program, expiration date | May 03, 2025 | ||||
Common stock shares, repurchased | 1,020 | 1,020 | |||
Common stock value, repurchased | $ 14,617 | $ 5,192 | $ 30,232 | $ 14,617 | |
Stock repurchase program, remaining authorized repurchase amount | $ 85,383 | $ 85,383 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) $ in Thousands, € in Millions | 3 Months Ended | 9 Months Ended | ||||||||||
Mar. 23, 2023 USD ($) | Sep. 30, 2024 t | Jun. 30, 2024 t | Mar. 31, 2024 t | Dec. 31, 2023 t | Oct. 02, 2023 USD ($) | Oct. 03, 2022 USD ($) | Oct. 02, 2023 USD ($) | Oct. 03, 2022 USD ($) | Oct. 02, 2023 EUR (€) | Jan. 02, 2023 USD ($) | Jan. 02, 2023 EUR (€) | |
Interest Rate Swap | ||||||||||||
Derivative [Line Items] | ||||||||||||
Interest rate derivatives, at fair value, net | $ 0 | |||||||||||
Derivative, ineffectiveness | $ 0 | |||||||||||
Derivative instrument, increased interest expense | $ (1,116) | (2,084) | $ (4,105) | |||||||||
Interest Rate Swap | Prepaid Expenses And Other Current Assets | ||||||||||||
Derivative [Line Items] | ||||||||||||
Cash flow derivative instruments designated as hedges, asset fair value | 4,434 | 4,434 | $ 0 | |||||||||
Interest Rate Swap | Deposits and Other Non-current Assets | ||||||||||||
Derivative [Line Items] | ||||||||||||
Cash flow derivative instruments designated as hedges, asset fair value | 4,279 | 4,279 | 0 | |||||||||
Foreign Exchange Contract | ||||||||||||
Derivative [Line Items] | ||||||||||||
Derivative, notional amount | 1,925 | 1,925 | € 1.8 | 1,625 | € 1.4 | |||||||
Commodity Contract | Cost of Goods Sold | ||||||||||||
Derivative [Line Items] | ||||||||||||
Change in fair value of commodity contracts | 997 | $ 1,204 | 1,152 | $ 5,011 | ||||||||
Commodity Contract | Forecast | ||||||||||||
Derivative [Line Items] | ||||||||||||
Commodity contracts number of notional quantity | t | 0.6 | 0.6 | 0.7 | 0.7 | ||||||||
Commodity contracts with notional quantity beginning date | Jul. 01, 2024 | Apr. 01, 2024 | Jan. 01, 2024 | Oct. 01, 2023 | ||||||||
Commodity contracts with notional quantity ending date | Sep. 30, 2024 | Jun. 30, 2024 | Mar. 31, 2024 | Dec. 31, 2023 | ||||||||
Commodity Contract | Other Current Liabilities | ||||||||||||
Derivative [Line Items] | ||||||||||||
Commodity contracts, liability fair value | $ 997 | $ 997 | $ 1,489 | |||||||||
1- Month CME Term SOFR | Interest Rate Swap | ||||||||||||
Derivative [Line Items] | ||||||||||||
Derivative, maturity period | 4 years | |||||||||||
Derivative, notional amount | $ 250,000 | |||||||||||
Derivative, expiration date | Apr. 01, 2027 | |||||||||||
Derivative, fixed rate | 3.49% |
Summary of Fair Values of Deriv
Summary of Fair Values of Derivative Instruments in Consolidated Condensed Balance Sheets (Detail) - USD ($) $ in Thousands | Oct. 02, 2023 | Jan. 02, 2023 |
Interest Rate Swap | Prepaid Expenses And Other Current Assets | ||
Cash flow derivative instruments designated as hedges: | ||
Cash flow derivative instruments designated as hedges, asset fair value | $ 4,434 | $ 0 |
Interest Rate Swap | Deposits and Other Non-current Assets | ||
Cash flow derivative instruments designated as hedges: | ||
Cash flow derivative instruments designated as hedges, asset fair value | 4,279 | 0 |
Foreign Exchange Contract | Other Current Liabilities | ||
Cash flow derivative instruments designated as hedges: | ||
Cash flow derivative instruments designated as hedges, liability fair value | (43) | (133) |
Commodity Contract | Other Current Liabilities | ||
Cash flow derivative instruments not designated as hedges: | ||
Cash flow derivative instruments not designated as hedges, liability fair value | $ (997) | $ (1,489) |
Summary of Accumulated Other Co
Summary of Accumulated Other Comprehensive Loss Related to Derivatives Designated as Cash Flow Hedges (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 02, 2023 | Oct. 03, 2022 | Oct. 02, 2023 | Oct. 03, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income | $ 3,010 | $ 0 | $ 8,150 | $ 24 |
Interest Rate Swap | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income | 3,988 | 10,797 | 190 | |
Loss Reclassified into Income | $ (1,116) | $ (2,084) | $ (4,105) | |
Derivative Instrument Gain Loss Reclassified From Aoci Into Income Effective Portion Statement Of Income Or Comprehensive Income Extensible Enumeration | Interest Expense | Interest Expense | Interest Expense |
Summary of Activity of Designat
Summary of Activity of Designated Cash Flow Hedges in Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Oct. 02, 2023 | Oct. 03, 2022 | |
Derivative [Line Items] | ||
Beginning balance | $ 1,535,579 | $ 1,455,417 |
Ending balance | 1,501,114 | 1,522,469 |
Gains (Losses) on Cash Flow Hedges | ||
Derivative [Line Items] | ||
Beginning balance | (85) | (3,223) |
Changes in fair value gain (loss), net of tax | 8,150 | 24 |
Reclassification to earnings | (1,558) | 3,092 |
Ending balance | $ 6,507 | $ (107) |