PDF Solutions (PDFS) 10-Q 4 Aug 17 2017 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2017	Jul. 27, 2017
Document Information [Line Items]
Entity Registrant Name	PDF SOLUTIONS INC
Entity Central Index Key	1,120,914
Trading Symbol	pdfs
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		32,333,162
Document Type	10-Q
Document Period End Date	Jun. 30, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q2
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 109,007	$ 116,787
Accounts receivable, net of allowance of $324 and $200, respectively	54,029	48,157
Prepaid expenses and other current assets	8,813	5,335
Total current assets	171,849	170,279
Property and equipment, net	23,068	19,341
Goodwill	215	215
Intangible assets, net	3,847	4,223
Deferred tax assets	15,815	15,640
Other non-current assets	12,263	12,631
Total assets	227,057	222,329
Current liabilities:
Accounts payable	2,270	2,206
Accrued compensation and related benefits	5,863	5,959
Accrued and other current liabilities	2,075	2,080
Deferred revenues – current portion	8,933	8,189
Billings in excess of recognized revenue	389	88
Total current liabilities	19,530	18,522
Long-term income taxes payable	3,174	3,354
Other non-current liabilities	2,253	1,650
Total liabilities	24,957	23,526
Commitments and contingencies (Note 9)
Stockholders’ equity:
Preferred stock, $0.00015 par value, 5,000 shares authorized, no shares issued and outstanding	0	0
Common stock, $0.00015 par value, 70,000 shares authorized: shares issued 39,187 and 38,514, respectively; shares outstanding 32,162and 31,864, respectively	5	5
Additional paid-in-capital	289,956	281,423
Treasury stock at cost, 7,025 and 6,650 shares, respectively	(61,532)	(54,882)
Accumulated deficit	(25,046)	(25,752)
Accumulated other comprehensive loss	(1,283)	(1,991)
Total stockholders’ equity	202,100	198,803
Total liabilities and stockholders’ equity	$ 227,057	$ 222,329

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Accounts receivable, allowance	$ 324	$ 200
Preferred stock, par value (in dollars per share)	$ 0.00015	$ 0.00015
Preferred stock, shares authorized (in shares)	5,000	5,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.00015	$ 0.00015
Common stock, shares authorized (in shares)	70,000	70,000
Common stock, shares issued (in shares)	39,187	38,514
Common stock, shares outstanding (in shares)	32,162	31,864
Treasury stock, shares (in shares)	7,025	6,650

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Revenues:
Design-to-silicon-yield solutions	$ 16,500	$ 20,574	$ 36,198	$ 39,152
Gainshare performance incentives	7,789	6,114	12,380	12,617
Total revenues	24,289	26,688	48,578	51,769
Costs of Design-to-silicon-yield solutions:
Direct costs of Design-to-silicon-yield solutions	11,283	10,558	22,618	20,668
Amortization of acquired technology	96	96	192	192
Total cost of Design-to-silicon-yield solutions	11,379	10,654	22,810	20,860
Gross profit	12,910	16,034	25,768	30,909
Operating expenses:
Research and development	7,276	7,060	14,557	13,371
Selling, general and administrative	6,195	5,094	12,095	10,218
Amortization of other acquired intangible assets	92	117	184	234
Total operating expenses	13,563	12,271	26,836	23,823
Income (loss) from operations	(653)	3,763	(1,068)	7,086
Interest and other income (expense), net	27	(51)	(202)	(287)
Income (loss) before income taxes	(626)	3,712	(1,270)	6,799
Income tax provision (benefit)	(815)	1,579	(1,976)	2,605
Net income	$ 189	$ 2,133	$ 706	$ 4,194
Net income per share:
Basic (in dollars per share)	$ 0.01	$ 0.07	$ 0.02	$ 0.13
Diluted (in dollars per share)	$ 0.01	$ 0.07	$ 0.02	$ 0.13
Weighted average common shares:
Basic (in shares)	32,111	31,276	32,051	31,222
Diluted (in shares)	33,388	32,099	33,491	31,927
Net income	$ 189	$ 2,133	$ 706	$ 4,194
Other comprehensive income:
Foreign currency translation adjustments, net of tax	435	(186)	708	173
Comprehensive income	$ 624	$ 1,947	$ 1,414	$ 4,367

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Operating activities:
Net income	$ 706	$ 4,194
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	2,286	1,624
Stock-based compensation expense	5,788	4,957
Amortization of acquired intangible assets	376	425
Deferred taxes	(193)	1,023
Loss on disposal of property and equipment	5	107
Provision for (reversal of) allowance for doubtful accounts	124	(99)
Unrealized loss (gain) on foreign currency forward contract	33	(34)
Changes in operating assets and liabilities:
Accounts receivable, net of allowance	(5,996)	(1,249)
Prepaid expenses and other current assets	(3,435)	(1,057)
Accounts payable	851	610
Accrued compensation and related benefits	(223)	346
Accrued and other liabilities	(745)	(223)
Deferred revenues	726	947
Billings in excess of recognized revenues	301	(955)
Other non-current assets	377	(7,852)
Net cash provided by operating activities	981	2,764
Investing activities:
Purchases of property and equipment	(4,964)	(5,051)
Net cash used in investing activities	(4,964)	(5,051)
Financing activities:
Proceeds from exercise of stock options	1,808	452
Proceeds from employee stock purchase plan	910	778
Purchases of treasury stock	(4,770)	(1,843)
Payments for taxes related to net share settlement of equity awards	(1,879)	(1,075)
Net cash (used in) provided by financing activities	(3,931)	(1,688)
Effect of exchange rate changes on cash and cash equivalents	134	39
Net change in cash and cash equivalents	(7,780)	(3,936)
Cash and cash equivalents, beginning of period	116,787	126,158
Cash and cash equivalents, end of period	109,007	122,222
Supplemental disclosure of cash flow information:
Taxes	1,339	1,336
Property and equipment received and accrued in accounts payable and accrued and other liabilities	$ 1,726	$ 1,656

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	1. Basis of Presentation The interim unaudited condensed consolidated financial statements included herein have been prepared by PDF Solutions, Inc. (the “Company”) pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”), including the instructions to the Quarterly Report on Form 10 10 X. not may ’s Annual Report on Form 10 December 31, 2016. The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries after the elimination of all intercompany balances and transactions. The condensed consolidated balance sheet at December 31, 2016, has been derived from the audited consolidated financial statements but does not Use of Estimates — The preparation of financial statements in conformity with generally accepted accounting principles in the United States (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates in these financial statements include revenue recognition for fixed-price solution implementation service contracts, accounting for goodwill and intangible assets, stock-based compensation expense and accounting for income taxes. Actual results could differ from those estimates. Revenue Recognition — The Company derives revenue from two Design-to-silicon-yield solutions — Revenues that are derived from Design-to-silicon-yield solutions come from services and software and hardware licenses. The Company recognizes revenue for each element of Design-to-silicon-yield solutions as follows: The Company generates a significant portion of its Design-to-silicon-yield solutions revenue from fixed-price solution implementation service contracts delivered over a specific period of time. These contracts require reliable estimation of costs to perform obligations and the overall scope of each engagement. Revenue under project –based contracts for solution implementation services is recognized as services are performed using percentage of completion method of contract accounting based on costs or labor-hours input method, whichever is the most appropriate measure of the progress towards completion of the contract. Losses on fixed-price solution implementation contracts are recognized in the period when they become probable. Revisions in profit estimates are reflected in the period in which the conditions that require the revisions become known and can be estimated (cumulative catch-up method). Revenue under time and materials contracts for solution implementation services are recognized as the services are performed. On occasion, the Company licenses its software products as a component of its fixed-price service con tracts. In such instances, the software products are licensed to customers over a specified term of the agreement with support and maintenance to be provided, if applicable, over the license term. The amount of product and service revenue recognized in a given period is affected by the Company’s judgment as to whether an arrangement includes multiple deliverables and, if so, the Company’s determination of the fair value of each deliverable. In general, vendor-specific objective evidence of selling price (“VSOE”) does not not third not In some instances, the Company also licenses its DFI system as a separate component of fixed-price service contracts. The Company allocates revenue to all deliverables based on their relative selling prices. The Company currently does not The Company defers certain pre-contract costs incurred for specific anticipated contracts. Deferred costs consist primarily of direct costs to provide solution implementation services in relation to the specific anticipated contracts. The Company recognizes such costs as a component of cost of revenues, the timing of which is dependent upon persuasive evidence of contract arrangement assuming all other revenue recognition criteria are met. The Company also defers costs from arrangements that required us to defer the revenues, typically due to revenue recognition from multi-element arrangements or from contracts subject to customer acceptance. These costs are recognized in proportion to the related revenue. At the end of the reporting period, the Company evaluates its deferred costs for their probable recoverability. The Company recognizes impairment of deferred costs when it is determined that the costs no no $1.1 $0.5 June 30, 2017 December 31, 2016, The Company also licenses its software products separately from solution implementations. For software license arrangements that do not 2 3 4 5 not 1 2 3 Revenue from software-as-a-service (SaaS) that allow for the use of a hosted software product or service over a contractually determined period of time without taking possession of software are accounted for as subscriptions and recognized as revenue ratably over the coverage period beginning on the date the service is made available to customers. Revenue for software licenses with extended payment terms is not Deferred revenues consist substantially of amounts invoiced in advance of revenue recognition and is recognized as the revenue recognition criteria are met. Deferred revenues that will be recognized during the succeeding 12 $1.5 $1.5 June 30, 2017 December 31, 2016. Gainshare Performance Incentives — When the Company enters into a contract to provide yield improvement services, the contract usually includes two 1 2 may no

Note 2 - Recent Accounting Pron

Note 2 - Recent Accounting Pronouncements	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
New Accounting Pronouncements and Changes in Accounting Principles [Text Block]	2. In May 2014, No. 2014 09, 606 No. 2015 14, 606 2016 08, 606 No. 2016 10, 606 No. 2016 11, 605 815 No. 2016 12, 606 2016 20, 606 five December 15, 2017, two not In February 2016, No. 2016 02, 842 ’ financial statements issued for fiscal years beginning after December 15, 2018, In August 2016 , the FASB issued ASU No. 2016 15, December 15, 2017, not In January 2017, No. 2017 01, : Clarifying the Definition of a Business , which narrows the existing definition of a business and provides a framework for evaluating whether a transaction should be accounted for as an acquisition (or disposal) of assets or a business. The guidance is effective for fiscal years beginning after December 15, 2017, In January 2017, No. 2017 04, 350 “ No. 2017 04” No. 2017 04 2 December 15, 2019, In May 2017, No. 2017 09, 718 No. 2017 09” No. 2017 09 718. December 15, 2017,

Note 3 - Balance Sheet Componen

Note 3 - Balance Sheet Components	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Supplemental Balance Sheet Disclosures [Text Block]	3. Accounts receivable include amounts that are unbilled at the end of the period that are expected to be billed and collected within 12 receivable, totaled $21.0 $20.8 June 30, 2017 December 31, 2016, not 12 $9.7 $9.8 June 30, 2017 December 31, 2016, $1.1 $0.5 June 30, 2017 December 31, 2016, Property and equipment, net consists of (in thousands): June 30 , 2017 December 31, 2016 Property and equipment, net: Computer equipment $ 10,735 $ 10,642 Software 3,341 1,679 Furniture, fixtures and equipment 1,821 1,185 Leasehold improvements 1,972 1,132 Test equipment 12,597 11,723 Construction-in-progress 11,128 9,550 41,594 35,911 Less: accumulated depreciation (18,526 ) (16,570 ) Total $ 23,068 $ 19,341 Depreciation and amortization expense was $1. 2 $0.9 three June 30, 2017 2016, $2.3 $1.6 six June 30, 2017 2016, As of both June 30, 2017 December 31, 2016, $0.2 June 30 , 2017 Balance as of December 31, 2016 $ 215 Add: Goodwill from acquisition — Adjustment — Balance as of June 30, 2017 $ 215 Intangible assets balance was $ 3.8 $4.2 June 30, 2017 December 31, 2016, June 30, 2017 December 31, 2016 June 30, 2017 December 31, 2016 Amortization Period (Years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Acquired identifiable intangibles: Customer relationships 1 - 9 $ 5,920 $ (3, 964 ) $ 1,956 $ 5,920 $ (3,825 ) $ 2,095 Developed technology 4 - 6 14,100 (12,551 ) 1,549 14,100 (12,359 ) 1,741 Tradename 2 - 4 610 (608 ) 2 610 (583 ) 27 Backlog 1 100 (100 ) - 100 (100 ) - Patent 7 - 10 1,800 (1,460 ) 340 1,800 (1,440 ) 360 Other acquired intangibles 4 255 (255 ) - 255 (255 ) - Total $ 22,785 $ (18,938 ) $ 3,847 $ 22,785 $ (18,562 ) $ 4,223 The weighted average amortization period for acquired identifiable intangible assets was 5.97 June 30, 2017. three June 30, 2017 2016, $0.2 six June 30, 2017 2016, $0.4 Period Ending June 30 , 2017 (remaining 6 months) $ 353 2018 701 2019 701 2020 701 2021 526 2022 and thereafter 865 Total future amortization expense $ 3,847 Intangible assets are amortized over their useful lives unless these lives are determined to be indefinite. Intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not three and six June 30, 2017, no

Note 4 - Stockholders' Equity

Note 4 - Stockholders' Equity	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Shareholders' Equity and Share-based Payments [Text Block]	4. ’ EQUITY Stock-based compensation is estimated at the grant date based on the award ’s fair value and is recognized on a straight-line basis over the vesting periods, generally four . Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Cost of design-to-silicon yield-solutions $ 1,069 $ 956 $ 2,261 $ 2,041 Research and development 848 651 1,682 1,357 Selling, general and administrative 987 684 1,845 1,559 Stock-based compensation expenses $ 2,904 $ 2,291 $ 5,788 $ 4,957 On June 30, 2017, Stock Plans — November 16, 2011, 2011 May 28, 2013, 2011 May 27, 2014, 2011 May 31, 2016, 2011 May 31, 2017,when 2011 “2011 2011 may 9,050,000 3,500,000 2001 2001 November 16, 2011. 1.33 no ten four In 2001, adopted a 2001 “2001 2003, 2001 2001Plan 2011. 2001 ten four no may 2001 2001 The Company estimated the fair value of share-based awards granted under the 2011 Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Expected life (in years) 4.41 4.42 4.41 4.42 Volatility 41.63 % 43.58 % 41.53 % 44.26 % Risk-free interest rate 1.67 % 1.30 % 1.69 % 1.25 % Expected dividend — — — — Weighted average fair value per share of options granted during the period $ 5.98 $ 5.00 $ 6.16 $ 4.46 As of June 30, 2017, 9.6 2011 2.5 2011 0.5 2001 2011 June 30, 2017. June 30, 2017, no 2011 2001 Stock Plans ). Stock option activity under the Company ’s Stock Plans during the six June 30, 2017, Number of Options (in thousands) Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in thousands) Outstanding, January 1, 2017 1,364 $ 8.00 Granted (weighted average fair value of $ 6.16 per share) 96 $ 17 Exercised (257 ) $ 7.04 Canceled (3 ) $ 17.80 Expired - $ - Outstanding, June 30, 2017 1,200 $ 8.89 4.78 $ 9,288 Vested and expected to vest, June 30, 2017 1,182 $ 8.78 4.71 $ 9,271 Exercisable, June 30, 2017 989 $ 7.42 3.86 $ 9,010 The aggregate intrinsic value in the table above represents the total intrinsic value based on the Company ’s closing stock price of $16.45 June 30, 2017. six June 30, 2017, $3.1 As of June 30, 2017, $1.0 3.4 six June 30, 2017, $0.2 Nonvested restricted stock units activity during the six June 30, 2017, Shares (in thousands) Weighted Average Grant Date Fair Value Per Share Nonvested, January 1, 2017 1,542 $ 15.50 Granted 751 $ 16.56 Vested (317 ) $ 16.36 Forfeited (20 ) $ 15.70 Nonvested, June 30, 2017 1,956 $ 15.76 As of June 30, 2017, $26.1 3 not Employee Stock Purchase Plan — In July 2001, ten 10% 85% twenty-four four six January 1 2002, 1 675,000 2 2% 3 May 18, 2010, May 17, 2020. The Company estimated the fair value of purchase rights granted under the Purchase Plan during the period using the Black-Scholes-Merton option-pricing model with the following weighted average assumptions, resulting in the following weighted average fair values: Six Months Ended June 30 , 2017 2016 Expected life (in years) 1.25 1.25 Volatility 33.32 % 44.15 % Risk-free interest rate 0.93 % 0.50 % Expected dividend — — Weighted average fair value per share of options granted during the period $ 6.78 $ 3.56 During the three June 30, 2017 2016, not During the six June 30, 2017 2016, 100,000 84,000 $9.13 $9.21 June 30, 2017, $0.6 0.89 June 30, 2017, 4.4 Stock Repurchase Program —On October 25, 2016, $25.0 two three six June 30, 2017, 276,279 June 30, 2017, 276,279 $17.27 $4.8 $20.2

Note 5 - Income Taxes

Note 5 - Income Taxes	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Income Tax Disclosure [Text Block]	5. Income tax provision decreased $4.6 six June 30, 2017, $2.0 $2.6 six June 30, 2016. ’s effective tax rate was 155.6% 38.3% six June 30, 2017 2016, six June 30, 2017, 2016, $1.1 The Company ’s total amount of unrecognized tax benefits, excluding interest and penalties, as of June 30, 2017, $11.5 $6.9 December 31, 2016, $11.9 $7.2 June 30, 2017, $2.6 $9.3 $4.6 The valuation allowance was approximately $6.5 $6.8 June 30, 2017 December 31, 2016, not not The Company conducts business globally and, as a result, files numerous consolidated and separate income tax returns in the U.S. federal, various state and foreign jurisdictions. Because the Company used some of the tax attributes carried forward from previous years to tax years that are still open, statutes of limitation remain open for all tax years to the extent of the attributes carried forward into tax year 2002 not

Note 6 - Net Income Per Share

Note 6 - Net Income Per Share	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Earnings Per Share [Text Block]	6. Basic net income per share is computed by dividing net income by weighted average number of common shares outstanding for the period (excluding outstanding stock options and shares subject to repurchase). Diluted net income per share is computed using the weighted-average number of common shares outstanding for the period plus the potential effect of dilutive securities which are convertible into common shares (using the treasury stock method), except in cases in which the effect would be anti-dilutive. The following is a reconciliation of the numerators and denominators used in computing basic and diluted net income per share (in thousands except per share amount): Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Numerator: Net income $ 189 $ 2,133 $ 706 $ 4,194 Denominator: Basic weighted average common shares outstanding 32,111 31,276 32,051 31,222 Dilutive effect of equity incentive plans 1,277 823 1,440 705 Diluted weighted average common shares outstanding 33,388 32,099 33,491 31,927 Net income per share: Basic $ 0.01 $ 0.07 $ 0.02 $ 0.13 Diluted $ 0.01 $ 0.07 $ 0.02 $ 0.13 The following table sets forth potential shares of common stock that are not Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Outstanding options 102 230 79 264 Nonvested restricted stock units 13 348 4 798 Employee Stock Purchase Plan 27 — 29 230 Total 142 578 112 1,292

Note 7 - Customer and Geographi

Note 7 - Customer and Geographic Information	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	7. Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or group, in deciding how to allocate resources and in assessing performance. The Company ’s chief operating decision maker, the chief executive officer, reviews discrete financial information presented on a consolidated basis for purposes of regularly making operating decisions, allocation of resources, and assessing financial performance. Accordingly, the Company considers itself to be in one The Company had revenues from individual customers in excess of 10% Three Months Ended June 30, Six Months Ended June 30, Customer 2017 2016 2017 2016 A 36 % 39 % 42 % 44 % B 15 % * % 10 % * % C * % * % * % 12 % D * % 13 % * % * % * represents less than 10% The Company had gross accounts receivable from individual customers in excess of 10% Customer June 30 , 2017 December 31, 2016 A 41 % 42 % B 19 % 13 % * represents less than 10% Revenues from customers by geographic area based on the location of the customers ’ work sites are as follows (in thousands): Three Months Ended June 30 , 2017 2016 Revenues Percentage of Revenues Revenues Percentage of Revenues United States $ 9,226 38 % $ 9,518 36 % China 4,753 20 1,499 6 Taiwan 3,643 15 5,725 21 Germany 1,794 7 3,994 15 Rest of the world 4,873 20 5,952 22 Total revenue $ 24,289 100 % $ 26,688 100 % Six Months Ended June 30, 2017 2016 Revenues Percentage of Revenues Revenues Percentage of Revenues United States $ 20,860 43 % $ 21,640 42 % Taiwan 7,480 15 7,909 15 China 6,440 13 2,598 5 Germany 4,102 8 7,028 14 South Korea 3,620 7 5,497 11 Rest of the world 6,076 14 7,097 13 Total revenue $ 48,578 100 % $ 51,769 100 % Long-lived assets, net by geographic area are as follows (in thousands): June 30 , 2017 December 31, 2016 United States $ 22,501 $ 18,818 Rest of the world 568 523 Total long-lived assets, net $ 23,068 $ 19,341

Note 8 - Fair Value Measurement

Note 8 - Fair Value Measurements	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Fair Value Disclosures [Text Block]	8. Fair value is the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The multiple assumptions used to value financial instruments are referred to as inputs, and a hierarchy for inputs used in measuring fair value is established, that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs reflect assumptions market participants would use in pricing an asset or liability based on market data obtained from independent sources while unobservable inputs reflect a reporting entity ’s pricing based upon its own market assumptions. These inputs are ranked according to a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three Level 1 Inputs are quoted prices in active markets for identical assets or liabilities. Level 2 Inputs are quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not Level 3 Inputs are derived from valuation techniques in which one The following table represents the Company ’s assets measured at fair value on a recurring basis as of June 30, 2017, Assets Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market mutual funds $ 26,522 $ 26,522 $ — $ — The following table represents the Company ’s assets measured at fair value on a recurring basis as of December 31, 2016, Assets Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market mutual funds $ 26,456 $ 26,456 $ — $ — The Company enters into foreign currency forward contracts to reduce the exposure to foreign currency exchange rate fluctuations on certain foreign currency denominated monetary assets and liabilities, primarily on third ’s hedging program is to reduce volatility of earnings related to foreign currency exchange rate fluctuations. The counterparty to these foreign currency forward contracts is a large global financial institution that the Company believes is creditworthy, and therefore, the Company believes the credit risk of counterparty nonperformance is not not three June 30, 2017 2016, $0.4 $0.3 six June 30, 2017 2016, $0.5 $8,000 The Company carries these derivatives financial instruments on its Consolidated Balance Sheets at their fair values. The Company ’s foreign currency forward contracts are classified as Level 2 not June 30, 2017, one $7.7 $48,000 December 31, 2016, one $6.9 $15,000

Note 9 - Commitments and Contin

Note 9 - Commitments and Contingencies	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	9. Leases The Company leases administrative and sales offices and certain equipment under noncancelable operating leases, which contain various renewal options and, in some cases, require payment of common area costs, taxes and utilities. These operating leases expire at various times through 2024. $0.6 both three June 30, 2017 2016, $1.1 $1.2 six June 30, 2017 2016. Future minimum lease payments under noncancelable operating leases at June 30, 2017, Period Ending June 30 , Amount 2017 (remaining six months) $ 936 2018 1,329 2019 448 2020 381 2021 297 2022 and thereafter 75 Total future minimum lease payments $ 3,466 Indemnifications — The Company generally provides a warranty to its customers that its software will perform substantially in accordance with documented specifications typically for a period of 90 third not Purchase obligations June 30, 2017, $8.1 12 Indemnification of Officers and Directors In addition, the Bylaws of the Company provide that the Company is required to indemnify its officers and directors even when indemnification would otherwise be discretionary, and the Company is required to advance expenses to its officers and directors as incurred in connection with proceedings against them for which they may may ’ and officers’ insurance if available on reasonable terms. The Company has obtained directors’ and officers’ liability insurance in amounts comparable to other companies of the Company’s size and in the Company’s industry. Since a maximum obligation of the Company is not Litigation — From time to time, the Company is subject to various claims and legal proceedings that arise in the ordinary course of business. The Company accrues for losses related to litigation when a potential loss is probable and the loss can be reasonably estimated in accordance with FASB requirements. As of June 30, 2017, not no no

Note 10 - Subsequent Event

Note 10 - Subsequent Event	6 Months Ended
	Jun. 30, 2017
Notes to Financial Statements
Subsequent Events [Text Block]	10. On July 1 1, 2017, $4.5 $0.6

Significant Accounting Policies

Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Basis of Presentation The interim unaudited condensed consolidated financial statements included herein have been prepared by PDF Solutions, Inc. (the “Company”) pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”), including the instructions to the Quarterly Report on Form 10 10 X. not may ’s Annual Report on Form 10 December 31, 2016. The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries after the elimination of all intercompany balances and transactions. The condensed consolidated balance sheet at December 31, 2016, has been derived from the audited consolidated financial statements but does not
Use of Estimates, Policy [Policy Text Block]	Use of Estimates — The preparation of financial statements in conformity with generally accepted accounting principles in the United States (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates in these financial statements include revenue recognition for fixed-price solution implementation service contracts, accounting for goodwill and intangible assets, stock-based compensation expense and accounting for income taxes. Actual results could differ from those estimates.
Revenue Recognition, Policy [Policy Text Block]	Revenue Recognition — The Company derives revenue from two Design-to-silicon-yield solutions — Revenues that are derived from Design-to-silicon-yield solutions come from services and software and hardware licenses. The Company recognizes revenue for each element of Design-to-silicon-yield solutions as follows: The Company generates a significant portion of its Design-to-silicon-yield solutions revenue from fixed-price solution implementation service contracts delivered over a specific period of time. These contracts require reliable estimation of costs to perform obligations and the overall scope of each engagement. Revenue under project –based contracts for solution implementation services is recognized as services are performed using percentage of completion method of contract accounting based on costs or labor-hours input method, whichever is the most appropriate measure of the progress towards completion of the contract. Losses on fixed-price solution implementation contracts are recognized in the period when they become probable. Revisions in profit estimates are reflected in the period in which the conditions that require the revisions become known and can be estimated (cumulative catch-up method). Revenue under time and materials contracts for solution implementation services are recognized as the services are performed. On occasion, the Company licenses its software products as a component of its fixed-price service con tracts. In such instances, the software products are licensed to customers over a specified term of the agreement with support and maintenance to be provided, if applicable, over the license term. The amount of product and service revenue recognized in a given period is affected by the Company’s judgment as to whether an arrangement includes multiple deliverables and, if so, the Company’s determination of the fair value of each deliverable. In general, vendor-specific objective evidence of selling price (“VSOE”) does not not third not In some instances, the Company also licenses its DFI system as a separate component of fixed-price service contracts. The Company allocates revenue to all deliverables based on their relative selling prices. The Company currently does not The Company defers certain pre-contract costs incurred for specific anticipated contracts. Deferred costs consist primarily of direct costs to provide solution implementation services in relation to the specific anticipated contracts. The Company recognizes such costs as a component of cost of revenues, the timing of which is dependent upon persuasive evidence of contract arrangement assuming all other revenue recognition criteria are met. The Company also defers costs from arrangements that required us to defer the revenues, typically due to revenue recognition from multi-element arrangements or from contracts subject to customer acceptance. These costs are recognized in proportion to the related revenue. At the end of the reporting period, the Company evaluates its deferred costs for their probable recoverability. The Company recognizes impairment of deferred costs when it is determined that the costs no no $1.1 $0.5 June 30, 2017 December 31, 2016, The Company also licenses its software products separately from solution implementations. For software license arrangements that do not 2 3 4 5 not 1 2 3 Revenue from software-as-a-service (SaaS) that allow for the use of a hosted software product or service over a contractually determined period of time without taking possession of software are accounted for as subscriptions and recognized as revenue ratably over the coverage period beginning on the date the service is made available to customers. Revenue for software licenses with extended payment terms is not Deferred revenues consist substantially of amounts invoiced in advance of revenue recognition and is recognized as the revenue recognition criteria are met. Deferred revenues that will be recognized during the succeeding 12 $1.5 $1.5 June 30, 2017 December 31, 2016. Gainshare Performance Incentives — When the Company enters into a contract to provide yield improvement services, the contract usually includes two 1 2 may no

Note 3 - Balance Sheet Compon17

Note 3 - Balance Sheet Components (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Property, Plant and Equipment [Table Text Block]	June 30 , 2017 December 31, 2016 Property and equipment, net: Computer equipment $ 10,735 $ 10,642 Software 3,341 1,679 Furniture, fixtures and equipment 1,821 1,185 Leasehold improvements 1,972 1,132 Test equipment 12,597 11,723 Construction-in-progress 11,128 9,550 41,594 35,911 Less: accumulated depreciation (18,526 ) (16,570 ) Total $ 23,068 $ 19,341
Schedule of Goodwill [Table Text Block]	June 30 , 2017 Balance as of December 31, 2016 $ 215 Add: Goodwill from acquisition — Adjustment — Balance as of June 30, 2017 $ 215
Schedule of Finite-Lived Intangible Assets [Table Text Block]	June 30, 2017 December 31, 2016 Amortization Period (Years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Acquired identifiable intangibles: Customer relationships 1 - 9 $ 5,920 $ (3, 964 ) $ 1,956 $ 5,920 $ (3,825 ) $ 2,095 Developed technology 4 - 6 14,100 (12,551 ) 1,549 14,100 (12,359 ) 1,741 Tradename 2 - 4 610 (608 ) 2 610 (583 ) 27 Backlog 1 100 (100 ) - 100 (100 ) - Patent 7 - 10 1,800 (1,460 ) 340 1,800 (1,440 ) 360 Other acquired intangibles 4 255 (255 ) - 255 (255 ) - Total $ 22,785 $ (18,938 ) $ 3,847 $ 22,785 $ (18,562 ) $ 4,223
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	Period Ending June 30 , 2017 (remaining 6 months) $ 353 2018 701 2019 701 2020 701 2021 526 2022 and thereafter 865 Total future amortization expense $ 3,847

Note 4 - Stockholders' Equity (

Note 4 - Stockholders' Equity (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Cost of design-to-silicon yield-solutions $ 1,069 $ 956 $ 2,261 $ 2,041 Research and development 848 651 1,682 1,357 Selling, general and administrative 987 684 1,845 1,559 Stock-based compensation expenses $ 2,904 $ 2,291 $ 5,788 $ 4,957
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Expected life (in years) 4.41 4.42 4.41 4.42 Volatility 41.63 % 43.58 % 41.53 % 44.26 % Risk-free interest rate 1.67 % 1.30 % 1.69 % 1.25 % Expected dividend — — — — Weighted average fair value per share of options granted during the period $ 5.98 $ 5.00 $ 6.16 $ 4.46 Six Months Ended June 30 , 2017 2016 Expected life (in years) 1.25 1.25 Volatility 33.32 % 44.15 % Risk-free interest rate 0.93 % 0.50 % Expected dividend — — Weighted average fair value per share of options granted during the period $ 6.78 $ 3.56
Share-based Compensation, Stock Options, Activity [Table Text Block]	Number of Options (in thousands) Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in thousands) Outstanding, January 1, 2017 1,364 $ 8.00 Granted (weighted average fair value of $ 6.16 per share) 96 $ 17 Exercised (257 ) $ 7.04 Canceled (3 ) $ 17.80 Expired - $ - Outstanding, June 30, 2017 1,200 $ 8.89 4.78 $ 9,288 Vested and expected to vest, June 30, 2017 1,182 $ 8.78 4.71 $ 9,271 Exercisable, June 30, 2017 989 $ 7.42 3.86 $ 9,010
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block]	Shares (in thousands) Weighted Average Grant Date Fair Value Per Share Nonvested, January 1, 2017 1,542 $ 15.50 Granted 751 $ 16.56 Vested (317 ) $ 16.36 Forfeited (20 ) $ 15.70 Nonvested, June 30, 2017 1,956 $ 15.76

Note 6 - Net Income Per Share (

Note 6 - Net Income Per Share (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Numerator: Net income $ 189 $ 2,133 $ 706 $ 4,194 Denominator: Basic weighted average common shares outstanding 32,111 31,276 32,051 31,222 Dilutive effect of equity incentive plans 1,277 823 1,440 705 Diluted weighted average common shares outstanding 33,388 32,099 33,491 31,927 Net income per share: Basic $ 0.01 $ 0.07 $ 0.02 $ 0.13 Diluted $ 0.01 $ 0.07 $ 0.02 $ 0.13
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Outstanding options 102 230 79 264 Nonvested restricted stock units 13 348 4 798 Employee Stock Purchase Plan 27 — 29 230 Total 142 578 112 1,292

Note 7 - Customer and Geograp20

Note 7 - Customer and Geographic Information (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, Customer 2017 2016 2017 2016 A 36 % 39 % 42 % 44 % B 15 % * % 10 % * % C * % * % * % 12 % D * % 13 % * % * %
Receivables by Major Customers [Table Text Block]	Customer June 30 , 2017 December 31, 2016 A 41 % 42 % B 19 % 13 %
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block]	Three Months Ended June 30 , 2017 2016 Revenues Percentage of Revenues Revenues Percentage of Revenues United States $ 9,226 38 % $ 9,518 36 % China 4,753 20 1,499 6 Taiwan 3,643 15 5,725 21 Germany 1,794 7 3,994 15 Rest of the world 4,873 20 5,952 22 Total revenue $ 24,289 100 % $ 26,688 100 % Six Months Ended June 30, 2017 2016 Revenues Percentage of Revenues Revenues Percentage of Revenues United States $ 20,860 43 % $ 21,640 42 % Taiwan 7,480 15 7,909 15 China 6,440 13 2,598 5 Germany 4,102 8 7,028 14 South Korea 3,620 7 5,497 11 Rest of the world 6,076 14 7,097 13 Total revenue $ 48,578 100 % $ 51,769 100 %
Schedule of Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country [Table Text Block]	June 30 , 2017 December 31, 2016 United States $ 22,501 $ 18,818 Rest of the world 568 523 Total long-lived assets, net $ 23,068 $ 19,341

Note 8 - Fair Value Measureme21

Note 8 - Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Fair Value, Assets Measured on Recurring Basis [Table Text Block]	Assets Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market mutual funds $ 26,522 $ 26,522 $ — $ — Assets Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market mutual funds $ 26,456 $ 26,456 $ — $ —

Note 9 - Commitments and Cont22

Note 9 - Commitments and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2017
Notes Tables
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]	Period Ending June 30 , Amount 2017 (remaining six months) $ 936 2018 1,329 2019 448 2020 381 2021 297 2022 and thereafter 75 Total future minimum lease payments $ 3,466

Note 1 - Basis of Presentation

Note 1 - Basis of Presentation (Details Textual) - USD ($) $ in Millions	Jun. 30, 2017	Dec. 31, 2016
Deferred Pre-contract Costs	$ 1.1	$ 0.5
Other Noncurrent Liabilities [Member]
Deferred Revenue, Noncurrent	$ 1.5	$ 1.5

Note 3 - Balance Sheet Compon24

Note 3 - Balance Sheet Components (Details Textual) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Unbilled Receivables, Current	$ 21,000		$ 21,000		$ 20,800
Unbilled Receivables, Not Billable, Amount Expected to be Collected after Next Twelve Months	9,700		9,700		9,800
Deferred Pre-contract Costs	1,100		$ 1,100		500
Finite-Lived Intangible Assets, Remaining Amortization Period			5 years 354 days
Amortization of Intangible Assets	200	$ 200	$ 376	$ 425
Impairment of Intangible Assets, Finite-lived	0	0	0	0
Depreciation, Depletion and Amortization, Nonproduction	1,200	$ 900	2,300	$ 1,600
Goodwill	215		215		215
Finite-Lived Intangible Assets, Net	$ 3,847		$ 3,847		$ 4,223

Note 3 - Balance Sheet Compon25

Note 3 - Balance Sheet Components - Property and Equipment (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Property and equipment, gross	$ 41,594	$ 35,911
Less: accumulated depreciation	(18,526)	(16,570)
Total	23,068	19,341
Computer Equipment [Member]
Property and equipment, gross	10,735	10,642
Software and Software Development Costs [Member]
Property and equipment, gross	3,341	1,679
Furniture and Fixtures [Member]
Property and equipment, gross	1,821	1,185
Leasehold Improvements [Member]
Property and equipment, gross	1,972	1,132
Test Equipment [Member]
Property and equipment, gross	12,597	11,723
Construction in Progress [Member]
Property and equipment, gross	$ 11,128	$ 9,550

Note 3 - Balance Sheet Compon26

Note 3 - Balance Sheet Components - Goodwill Activity (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2017USD ($)
Balance	$ 215
Add: Goodwill from acquisition	0
Adjustment	0
Balance	$ 215

Note 3 - Balance Sheet Compon27

Note 3 - Balance Sheet Components - Intangible Assets (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Gross Carrying Amount	$ 22,785	$ 22,785
Accumulated Amortization	(18,938)	(18,562)
Intangible assets, net	3,847	4,223
Customer Relationships [Member]
Gross Carrying Amount	5,920	5,920
Accumulated Amortization	(3,964)	(3,825)
Intangible assets, net	$ 1,956	2,095
Customer Relationships [Member] | Minimum [Member]
Amortization Period (Year)	1 year
Customer Relationships [Member] | Maximum [Member]
Amortization Period (Year)	9 years
Developed Technology Rights [Member]
Gross Carrying Amount	$ 14,100	14,100
Accumulated Amortization	(12,551)	(12,359)
Intangible assets, net	$ 1,549	1,741
Developed Technology Rights [Member] | Minimum [Member]
Amortization Period (Year)	4 years
Developed Technology Rights [Member] | Maximum [Member]
Amortization Period (Year)	6 years
Trade Names [Member]
Gross Carrying Amount	$ 610	610
Accumulated Amortization	(608)	(583)
Intangible assets, net	$ 2	27
Trade Names [Member] | Minimum [Member]
Amortization Period (Year)	2 years
Trade Names [Member] | Maximum [Member]
Amortization Period (Year)	4 years
Order or Production Backlog [Member]
Amortization Period (Year)	1 year
Gross Carrying Amount	$ 100	100
Accumulated Amortization	(100)	(100)
Intangible assets, net
Patents [Member]
Gross Carrying Amount	1,800	1,800
Accumulated Amortization	(1,460)	(1,440)
Intangible assets, net	$ 340	360
Patents [Member] | Minimum [Member]
Amortization Period (Year)	7 years
Patents [Member] | Maximum [Member]
Amortization Period (Year)	10 years
Other Intangible Assets [Member]
Amortization Period (Year)	4 years
Gross Carrying Amount	$ 255	255
Accumulated Amortization	(255)	(255)
Intangible assets, net

Note 3 - Balance Sheet Compon28

Note 3 - Balance Sheet Components - Annual Amortization of Identifiable Intangible Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
2017 (remaining 6 months)	$ 353
2,018	701
2,019	701
2,020	701
2,021	526
2022 and thereafter	865
Total future amortization expense	$ 3,847	$ 4,223

Note 4 - Stockholders' Equity29

Note 4 - Stockholders' Equity (Details Textual) - USD ($) $ / shares in Units, $ in Millions	Oct. 25, 2016	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value				$ 0.2
Stock Repurchase Program, Authorized Amount	$ 25
Stock Repurchase Program, Period in Force	2 years
Treasury Stock, Shares, Acquired		276,279		276,279
Treasury Stock Acquired, Average Cost Per Share				$ 17.27
Treasury Stock, Value, Acquired, Cost Method				$ 4.8
Stock Repurchase Program, Remaining Authorized Repurchase Amount		$ 20.2		$ 20.2
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period				4 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period				3,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number		1,200,000		1,200,000		1,364,000
Share Price		$ 16.45		$ 16.45
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value				$ 3.1
Employee Stock Option [Member]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized		$ 1		$ 1
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition				3 years 146 days
Restricted Stock Units (RSUs) [Member]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized		$ 26.1		$ 26.1
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition				3 years
Twenty Eleven Stock Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized		9,050,000		9,050,000
Share Based Compensation Arrangement By Share Based Payment Award Shares Reserved Decrease Rate				1.33
Common Stock, Capital Shares Reserved for Future Issuance		9,600,000		9,600,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant		2,500,000		2,500,000
Twenty Eleven Stock Incentive Plan [Member] | Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period				10 years
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period				4 years
Shares Previously Issued Under the 2001 Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized		3,500,000		3,500,000
IDS Plan [Member] | Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period				10 years
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period				4 years
Two Thousand One Stock Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period				500,000
Outside of the 2011, 2001 or IDS Plans [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number		0		0
Employee Stock Purchase Plan [Member]
Number Of ESPP Shares Available For Future Issuance		4,400,000		4,400,000
Share-based Compensation Arrangement by Share-based Payment Award, Maximum Employee Subscription Rate		10.00%		10.00%
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent				85.00%
ESPP Maximum Annual Share Replenishment				675,000
ESPP Maximum Annual Share Replenishment Percentage of Prior Year Outstanding Company Common Stock				2.00%
Stock Issued During Period, Shares, Employee Stock Purchase Plans		0	0	100,000	84,000
Employee Stock Purchase Plan Weighted Average Purchase Price of Shares Purchased				$ 9.13	$ 9.21
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized		$ 0.6		$ 0.6
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition				324 days
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period				10 years

Note 4 - Stockholders' Equity -

Note 4 - Stockholders' Equity - Allocation of Recognized Period Costs (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Allocation of recognized period costs	$ 2,904	$ 2,291	$ 5,788	$ 4,957
Cost of Sales [Member]
Allocation of recognized period costs	1,069	956	2,261	2,041
Research and Development Expense [Member]
Allocation of recognized period costs	848	651	1,682	1,357
Selling, General and Administrative Expenses [Member]
Allocation of recognized period costs	$ 987	$ 684	$ 1,845	$ 1,559

Note 4 - Stockholders' Equity31

Note 4 - Stockholders' Equity - Stock Options, Valuation Assumptions (Details) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Weighted average fair value (in dollars per share)			$ 6.16
Employee Stock Purchase Plan [Member]
Volatility			33.32%	44.15%
Risk-free interest rate			0.93%	0.50%
Expected dividend
Weighted average fair value (in dollars per share)			$ 6.78	$ 3.56
Expected life (Year)			1 year 91 days	1 year 91 days
Stock Plans [Member]
Volatility	41.63%	43.58%	41.53%	44.26%
Risk-free interest rate	1.67%	1.30%	1.69%	1.25%
Expected dividend	0.00%	0.00%
Weighted average fair value (in dollars per share)	$ 5.98	$ 5	$ 6.16	$ 4.46
Expected life (Year)	4 years 149 days	4 years 153 days	4 years 149 days	4 years 153 days

Note 4 - Stockholders' Equity32

Note 4 - Stockholders' Equity - Stock Options Activity (Details) $ / shares in Units, shares in Thousands, $ in Thousands	6 Months Ended
	Jun. 30, 2017USD ($)$ / sharesshares
Outstanding, January 1, 2017 (in shares) | shares	1,364
Outstanding, January 1, 2017 (in dollars per share) | $ / shares	$ 8
Granted (in shares) | shares	96
Granted (in dollars per share) | $ / shares	$ 17
Exercised (in shares) | shares	(257)
Exercised (in dollars per share) | $ / shares	$ 7.04
Canceled (in shares) | shares	(3)
Canceled (in dollars per share) | $ / shares	$ 17.80
Expired (in shares) | shares
Outstanding, June 30, 2017 (in dollars per share) | $ / shares	$ 8.89
Outstanding, June 30, 2017 (Year)	4 years 284 days
Outstanding, June 30, 2017 | $	$ 9,288
Vested and expected to vest, June 30, 2017 (in shares) | shares	1,182
Vested and expected to vest, June 30, 2017 (in dollars per share) | $ / shares	$ 8.78
Vested and expected to vest, June 30, 2017 (Year)	4 years 259 days
Vested and expected to vest, June 30, 2017 | $	$ 9,271
Exercisable, June 30, 2017 (in shares) | shares	989
Exercisable, June 30, 2017 (in dollars per share) | $ / shares	$ 7.42
Expired (in dollars per share) | $ / shares
Outstanding, June 30, 2017 (in shares) | shares	1,200
Exercisable, June 30, 2017 (Year)	3 years 313 days
Exercisable, June 30, 2017 | $	$ 9,010

Note 4 - Stockholders' Equity33

Note 4 - Stockholders' Equity - Stock Options Activity (Details) (Parentheticals)	6 Months Ended
	Jun. 30, 2017$ / shares
Weighted average fair value (in dollars per share)	$ 6.16

Note 4 - Stockholders' Equity34

Note 4 - Stockholders' Equity - Nonvested Restricted Stock Units Activity (Details) - Restricted Stock Units (RSUs) [Member] shares in Thousands	6 Months Ended
	Jun. 30, 2017$ / sharesshares
Nonvested, Balance (in shares) | shares	1,542
Nonvested, Balance (in dollars per share) | $ / shares	$ 15.50
Nonvested, Balance (in dollars per share) | $ / shares	$ 15.76
Granted (in shares) | shares	751
Granted (in dollars per share) | $ / shares	$ 16.56
Vested (in shares) | shares	(317)
Vested (in dollars per share) | $ / shares	$ 16.36
Forfeited (in shares) | shares	(20)
Forfeited (in dollars per share) | $ / shares	$ 15.70
Nonvested, Balance (in shares) | shares	1,956

Note 5 - Income Taxes (Details

Note 5 - Income Taxes (Details Textual) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Increase (Decrease) in Income Taxes			$ (4,600)
Income Tax Expense (Benefit)	$ (815)	$ 1,579	$ (1,976)	$ 2,605
Effective Income Tax Rate Reconciliation, Percent			155.60%	38.30%
Unrecognized Tax Benefits	11,500		$ 11,500		$ 11,900
Unrecognized Tax Benefits that Would Impact Effective Tax Rate	6,900		6,900		7,200
Unrecognized Tax Benefits In Long Term Liabilities	2,600		2,600
Unrecognized Tax Benefits In Deferred Tax Assets	9,300		9,300
Unrecognized Tax Benefits In Deferred Tax Asset Subject To Full Valuation Allowance	4,600		4,600
Deferred Tax Assets, Valuation Allowance	$ 6,500		6,500		$ 6,800
Accounting Standards Update 2016-09 [Member]
Excess Tax Benefit from Share-based Compensation			$ 1,100

Note 6 - Net Income Per Share -

Note 6 - Net Income Per Share - Calculation of Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Net income	$ 189	$ 2,133	$ 706	$ 4,194
Basic weighted average common shares outstanding (in shares)	32,111	31,276	32,051	31,222
Dilutive effect of equity incentive plans (in shares)	1,277	823	1,440	705
Diluted weighted average common shares outstanding (in shares)	33,388	32,099	33,491	31,927
Basic (in dollars per share)	$ 0.01	$ 0.07	$ 0.02	$ 0.13
Diluted (in dollars per share)	$ 0.01	$ 0.07	$ 0.02	$ 0.13

Note 6 - Net Income Per Share37

Note 6 - Net Income Per Share - Antidilutive Securities (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Antidilutive securities (in shares)	142	578	112	1,292
Employee Stock Option [Member]
Antidilutive securities (in shares)	102	230	79	264
Restricted Stock Units (RSUs) [Member]
Antidilutive securities (in shares)	13	348	4	798
Employee Stock Purchase Plan [Member]
Antidilutive securities (in shares)	27		29	230

Note 7 - Customer and Geograp38

Note 7 - Customer and Geographic Information (Details Textual)	6 Months Ended
	Jun. 30, 2017
Number of Operating Segments	1

Note 7 - Customer and Geograp39

Note 7 - Customer and Geographic Information - Revenue Percentage by Major Customers (Details) - Customer Concentration Risk [Member] - Sales Revenue, Net [Member]		3 Months Ended				6 Months Ended
		Jun. 30, 2017		Jun. 30, 2016		Jun. 30, 2017		Jun. 30, 2016
Customer A [Member]
Receivables percentage by major customer		36.00%		39.00%		42.00%		44.00%
Customer B [Member]
Receivables percentage by major customer		15.00%			[1]	10.00%			[1]
Customer C [Member]
Receivables percentage by major customer			[1]		[1]		[1]	12.00%
Customer D [Member]
Receivables percentage by major customer	[1]			13.00%
[1]	represents less than 10%

Note 7 - Customer and Geograp40

Note 7 - Customer and Geographic Information - Receivables Percentage by Major Customers (Details) - Customer Concentration Risk [Member] - Accounts Receivable [Member]	6 Months Ended	12 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Customer A [Member]
Receivables percentage by major customer	41.00%	42.00%
Customer B [Member]
Receivables percentage by major customer	19.00%	13.00%

Note 7 - Customer and Geograp41

Note 7 - Customer and Geographic Information - Revenues by Geographic Area (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Revenues	$ 24,289	$ 26,688	$ 48,578	$ 51,769
Geographic Concentration Risk [Member] | Sales Revenue, Net [Member]
Percentage of Revenues	100.00%	100.00%	100.00%	100.00%
Revenues	$ 24,289	$ 26,688	$ 48,578	$ 51,769
Geographic Concentration Risk [Member] | Sales Revenue, Net [Member] | UNITED STATES
Percentage of Revenues	38.00%	36.00%	43.00%	42.00%
Revenues	$ 9,226	$ 9,518	$ 20,860	$ 21,640
Geographic Concentration Risk [Member] | Sales Revenue, Net [Member] | CHINA
Percentage of Revenues	20.00%	6.00%	13.00%	5.00%
Revenues	$ 4,753	$ 1,499	$ 6,440	$ 2,598
Geographic Concentration Risk [Member] | Sales Revenue, Net [Member] | TAIWAN, PROVINCE OF CHINA
Percentage of Revenues	15.00%	21.00%	15.00%	15.00%
Revenues	$ 3,643	$ 5,725	$ 7,480	$ 7,909
Geographic Concentration Risk [Member] | Sales Revenue, Net [Member] | GERMANY
Percentage of Revenues	7.00%	15.00%	8.00%	14.00%
Revenues	$ 1,794	$ 3,994	$ 4,102	$ 7,028
Geographic Concentration Risk [Member] | Sales Revenue, Net [Member] | Rest of the World [Member]
Percentage of Revenues	20.00%	22.00%	14.00%	13.00%
Revenues	$ 4,873	$ 5,952	$ 6,076	$ 7,097
Geographic Concentration Risk [Member] | Sales Revenue, Net [Member] | KOREA, REPUBLIC OF
Percentage of Revenues			7.00%	11.00%
Revenues			$ 3,620	$ 5,497

Note 7 - Customer and Geograp42

Note 7 - Customer and Geographic Information - Long-lived Assets by Geographic Area (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Long-lived assets	$ 23,068	$ 19,341
UNITED STATES
Long-lived assets	22,501	18,818
Rest of the World [Member]
Long-lived assets	$ 568	$ 523

Note 8 - Fair Value Measureme43

Note 8 - Fair Value Measurements (Details Textual) - Foreign Exchange Contract [Member] - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Derivative Asset, Notional Amount	$ 7,700,000		$ 7,700,000		$ 6,900,000
Other Current Liabilities [Member]
Derivative Liability, Current	48,000		48,000		$ 15,000
Other Nonoperating Income (Expense) [Member]
Derivative, Gain (Loss) on Derivative, Net	$ 400,000	$ (300,000)	$ 500,000	$ 8,000

Note 8 - Fair Value Measureme44

Note 8 - Fair Value Measurements - Fair Value, Assets Measured on a Recurring Basis (Details) - Money Market Funds [Member] - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Money market mutual funds	$ 26,522	$ 26,456
Fair Value, Inputs, Level 1 [Member]
Money market mutual funds	26,522	26,456
Fair Value, Inputs, Level 2 [Member]
Money market mutual funds
Fair Value, Inputs, Level 3 [Member]
Money market mutual funds

Note 9 - Commitments and Cont45

Note 9 - Commitments and Contingencies (Details Textual) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Operating Leases, Rent Expense, Net	$ 600	$ 600	$ 1,100	$ 1,200
Purchase Obligation, Due in Next Twelve Months	8,100		8,100
Loss Contingency Accrual	$ 0		$ 0

Note 9 - Commitments and Cont46

Note 9 - Commitments and Contingencies - Future Minimum Lease Payments Under Noncancelable Operating Leases (Details) $ in Thousands	Jun. 30, 2017USD ($)
2017 (remaining six months)	$ 936
2,018	1,329
2,019	448
2,020	381
2,021	297
2022 and thereafter	75
Total future minimum lease payments	$ 3,466

Note 10 - Subsequent Event (Det

Note 10 - Subsequent Event (Details Textual) - Kinesys Software [Member] - Subsequent Event [Member] $ in Millions	Jul. 11, 2017USD ($)
Business Combination, Consideration Transferred	$ 4.5
Business Combination, Earn-out in Cash Payable upon Certain Milestones	$ 0.6