Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 26, 2015 | Oct. 26, 2015 | |
Document And Entity Information | ||
Entity Registrant Name | GARMIN LTD | |
Entity Central Index Key | 1,121,788 | |
Document Type | 10-Q | |
Trading Symbol | grmn | |
Document Period End Date | Sep. 26, 2015 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-27 | |
Entity a Well-known Seasoned Issuer | Yes | |
Entity a Voluntary Filer | No | |
Entity's Reporting Status Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 208,077,418 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,015 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 26, 2015 | Dec. 27, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 914,907 | $ 1,196,268 |
Marketable securities | 211,834 | 167,989 |
Accounts receivable, net | 431,942 | 570,191 |
Inventories, net | 503,183 | 420,475 |
Deferred income taxes | 49,857 | 56,102 |
Deferred costs | 47,526 | 51,336 |
Prepaid expenses and other current assets | 72,704 | 48,615 |
Total current assets | 2,231,953 | 2,510,976 |
Property and equipment, net | 439,094 | 430,887 |
Marketable securities | 1,290,147 | 1,407,344 |
Restricted cash | 259 | 308 |
Noncurrent deferred income tax | 67,126 | 67,712 |
Noncurrent deferred costs | 32,709 | 36,140 |
Intangible assets, net | 220,848 | 218,083 |
Other assets | 106,336 | 21,853 |
Total assets | 4,388,472 | 4,693,303 |
Current liabilities: | ||
Accounts payable | 158,663 | 149,094 |
Salaries and benefits payable | 70,622 | 62,764 |
Accrued warranty costs | 24,649 | 27,609 |
Accrued sales program costs | 46,005 | 58,934 |
Deferred revenue | 169,225 | 203,598 |
Accrued royalty costs | 10,832 | 51,889 |
Accrued advertising expense | 20,434 | 26,334 |
Other accrued expenses | 70,741 | 67,780 |
Deferred income taxes | 13,299 | 17,673 |
Income taxes payable | 18,221 | 182,260 |
Dividend payable | 291,965 | 185,326 |
Total current liabilities | 894,656 | 1,033,261 |
Deferred income taxes | 43,170 | 39,497 |
Non-current income taxes | 96,311 | 80,611 |
Non-current deferred revenue | 118,090 | 135,130 |
Other liabilities | 1,560 | 1,437 |
Stockholders' equity: | ||
Shares, CHF 10 par value, 208,077 shares authorized and issued; 190,342 shares outstanding at September 26, 2015 and 191,815 shares outstanding at December 27, 2014 | 1,797,435 | 1,797,435 |
Additional paid-in capital | 89,879 | 73,521 |
Treasury stock | (425,380) | (330,132) |
Retained earnings | 1,795,900 | 1,859,972 |
Accumulated other comprehensive income | (23,149) | 2,571 |
Total stockholders' equity | 3,234,685 | 3,403,367 |
Total liabilities and stockholders' equity | $ 4,388,472 | $ 4,693,303 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - SFr / shares | Sep. 26, 2015 | Dec. 27, 2014 |
Statement of Financial Position [Abstract] | ||
Shares, par value (in dollars per share) | SFr 10 | SFr 10 |
Shares, shares authorized | 208,077 | 208,077 |
Shares, shares issued | 208,077 | 208,077 |
Shares, shares outstanding | 190,342 | 191,815 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | |
Income Statement [Abstract] | ||||
Net sales | $ 679,690 | $ 706,283 | $ 2,038,913 | $ 2,067,352 |
Cost of goods sold | 317,500 | 308,037 | 913,352 | 893,788 |
Gross profit | 362,190 | 398,246 | 1,125,561 | 1,173,564 |
Advertising expense | 36,887 | 33,112 | 110,352 | 92,457 |
Selling, general and administrative expense | 94,057 | 90,632 | 290,359 | 272,914 |
Research and development expense | 105,789 | 98,998 | 321,031 | 293,567 |
Total operating expense | 236,733 | 222,742 | 721,742 | 658,938 |
Operating income | 125,457 | 175,504 | 403,819 | 514,626 |
Other income (expense): | ||||
Interest income | 6,851 | 9,344 | 22,295 | 28,781 |
Foreign currency gains (losses) | 30,573 | (12,703) | (14,177) | (20,266) |
Other income | 2,010 | 517 | 2,707 | 707 |
Total other income (expense) | 39,434 | (2,842) | 10,825 | 9,222 |
Income before income taxes | 164,891 | 172,662 | 414,644 | 523,848 |
Income tax provision | 45,592 | 319,496 | 90,800 | 369,882 |
Net income (loss) | $ 119,299 | $ (146,834) | $ 323,844 | $ 153,966 |
Net income (loss) per share: | ||||
Basic (in dollars per share) | $ 0.63 | $ (0.76) | $ 1.69 | $ 0.79 |
Diluted (in dollars per share) | $ 0.63 | $ (0.76) | $ 1.69 | $ 0.79 |
Weighted average common shares outstanding: | ||||
Basic (in shares) | 190,342 | 192,239 | 191,068 | 193,700 |
Diluted (in shares) | 190,822 | 192,239 | 191,523 | 194,763 |
Dividends declared per share (in dollars per share) | $ 2.04 | $ 1.92 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | |
Condensed Consolidated Statements Of Comprehensive Income | ||||
Net income | $ 119,299 | $ (146,834) | $ 323,844 | $ 153,966 |
Foreign currency translation adjustment | (55,161) | (22,791) | (34,690) | (15,552) |
Change in fair value of available-for-sale marketable securities, net of deferred taxes | 7,937 | (3,332) | 8,970 | 24,681 |
Comprehensive income | $ 72,075 | $ (172,957) | $ 298,124 | $ 163,095 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 26, 2015 | Sep. 27, 2014 | |
Operating Activities: | ||
Net income | $ 323,844 | $ 153,966 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation | 37,936 | 35,860 |
Amortization | 20,447 | 19,705 |
(Gain) loss on sale of property and equipment | (190) | (742) |
Provision for doubtful accounts | (1,781) | 778 |
Deferred income taxes | 5,796 | 55,235 |
Unrealized foreign currency loss | 30,473 | 22,610 |
Provision for obsolete and slow moving inventories | 9,925 | 21,051 |
Stock compensation expense | 19,596 | 18,988 |
Realized (gain) loss on marketable securities | (76) | 685 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 123,875 | 74,323 |
Inventories | (111,008) | (107,273) |
Other current and non-current assets | (110,695) | 1,528 |
Accounts payable | 16,864 | (3,209) |
Other current and non-current liabilities | (44,636) | (1,997) |
Deferred revenue | (49,790) | (80,712) |
Deferred cost | 7,080 | 11,136 |
Income taxes payable | (155,529) | 155,762 |
Net cash provided by operating activities | 122,131 | 377,694 |
Investing activities: | ||
Purchases of property and equipment | (53,297) | (54,829) |
Proceeds from sale of property and equipment | 670 | 748 |
Purchase of intangible assets | (2,817) | (9,422) |
Purchase of marketable securities | (649,881) | (746,305) |
Redemption of marketable securities | $ 720,717 | 807,778 |
Proceeds from repayment on loan receivable | 137,379 | |
Change in restricted cash | $ 48 | (44) |
Acquisitions, net of cash acquired | (12,632) | (18,871) |
Net cash provided by investing activities | 2,808 | 116,434 |
Financing activities: | ||
Dividends paid | (281,247) | (268,023) |
Purchase of treasury stock under share repurchase plan | (108,057) | (241,460) |
Purchase of treasury stock related to equity awards | (241) | (11,274) |
Proceeds from issuance of treasury stock related to equity awards | 8,554 | 12,761 |
Tax benefit from issuance of equity awards | 1,257 | 4,422 |
Net cash used in financing activities | (379,734) | (503,574) |
Effect of exchange rate changes on cash and cash equivalents | (26,566) | (15,145) |
Net decrease in cash and cash equivalents | (281,361) | (24,591) |
Cash and cash equivalents at beginning of period | 1,196,268 | 1,179,149 |
Cash and cash equivalents at end of period | $ 914,907 | $ 1,154,558 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 26, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Basis of Presentation | 1. Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Additionally, the condensed consolidated financial statements should be read in conjunction with Item 2 of Managements Discussion and Analysis of Financial Condition and Results of Operations, included in this Form 10-Q. Operating results for the 13-week and 39-week periods ended September 26, 2015 are not necessarily indicative of the results that may be expected for the year ending December 26, 2015. The condensed consolidated balance sheet at December 27, 2014 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in the Companys Annual Report on Form 10-K for the year ended December 27, 2014. The Companys fiscal year is based on a 52-53 week period ending on the last Saturday of the calendar year. Therefore the financial results of certain fiscal years, and the associated 14-week quarters, will not be exactly comparable to the prior and subsequent 52-week fiscal years and the associated quarters having only 13 weeks. The quarters ended September 26, 2015 and September 27, 2014 both contain operating results for 13 weeks. |
Inventories
Inventories | 9 Months Ended |
Sep. 26, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | 2. Inventories The components of inventories consist of the following: September 26, 2015 December 27, 2014 Raw Materials $ 187,048 $ 161,444 Work-in-process 64,472 53,824 Finished goods 289,947 244,282 Inventory Reserves (38,284 ) (39,075 ) Inventory, net of reserves $ 503,183 $ 420,475 |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 26, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 3. Earnings Per Share The following table sets forth the computation of basic and diluted net income per share: 13-Weeks Ended Sept 26, Sept 27, 2015 2014 Numerator: Numerator for basic and diluted net income per share - net income $ 119,299 $ (146,834 ) Denominator: Denominator for basic net income per share weighted-average common shares 190,342 192,239 Effect of dilutive securities stock options, stock appreciation rights and restricted stock units 480 0 Denominator for diluted net income per share adjusted weighted-average common shares 190,822 192,239 Basic net income per share $ 0.63 $ (0.76 ) Diluted net income per share $ 0.63 $ (0.76 ) 39-Weeks Ended Sept 26, Sept 27, 2015 2014 Numerator: Numerator for basic and diluted net income per share - net income $ 323,844 $ 153,966 Denominator: Denominator for basic net income per share weighted-average common shares 191,068 193,700 Effect of dilutive securities stock options, stock appreciation rights and restricted stock units 455 1,063 Denominator for diluted net income per share adjusted weighted-average common shares 191,523 194,763 Basic net income per share $ 1.69 $ 0.79 Diluted net income per share $ 1.69 $ 0.79 There were 4,075 anti-dilutive stock options, stock appreciation rights and restricted stock units (collectively equity awards) outstanding during the 13-week period ended September 26, 2015. For the 13-week periods ended September 27, 2014, the effect of dilutive securities has been excluded because the effect would have been anti-dilutive. There were 4,108 and 2,253 anti-dilutive stock options, stock appreciation rights and restricted stock units (collectively equity awards) outstanding during the 39-week periods ended September 26, 2015 and September 27, 2014, respectively. There were 5 and 81 shares issued as a result of exercises and releases of equity awards for the 13-week periods ended September 26, 2015 and September 27, 2014, respectively. There were 133 and 446 shares issued as a result of exercises and releases of equity awards for the 39-week periods ended September 26, 2015 and September 27, 2014, respectively. There were 214 employee stock purchase plan (ESPP) shares issued from outstanding Treasury stock during the 39-week period ended September 26, 2015. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 26, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | 4. Segment Information The Company has identified five reportable segments Auto, Aviation, Marine, Outdoor and Fitness. The Companys Chief Operating Decision Maker (CODM) assesses segment performance and allocates resources to each segment individually. During the 39-week period ended September 26, 2015, the measure of segment profit or loss used by the CODM to assess segment performance and allocate resources changed from income before income taxes to operating income. This change did not impact the measurement methods used to determine reported segment profit or loss in the 13-week and 39-week periods ended September 26, 2015 and September 27, 2014. Net sales, gross profit, and operating income for each of the Companys reportable segments are presented below: Reporting Segments Outdoor Fitness Marine Auto Aviation Total 13-Weeks Ended September 26, 2015 Net sales $ 115,284 $ 143,216 $ 62,315 $ 264,643 $ 94,232 $ 679,690 Gross profit $ 68,175 $ 77,261 $ 34,115 $ 112,598 $ 70,041 $ 362,190 Operating income $ 37,761 $ 26,577 $ 5,737 $ 31,660 $ 23,722 $ 125,457 13-Weeks Ended September 27, 2014 Net sales $ 121,079 $ 116,171 $ 62,128 $ 307,558 $ 99,347 $ 706,283 Gross profit $ 79,227 $ 74,056 $ 31,510 $ 140,995 $ 72,458 $ 398,246 Operating income $ 51,382 $ 36,670 $ 5,452 $ 53,042 $ 28,958 $ 175,504 39-Weeks Ended September 26, 2015 Net sales $ 301,523 $ 432,859 $ 230,325 $ 779,646 $ 294,560 $ 2,038,913 Gross profit $ 185,341 $ 248,795 $ 128,204 $ 347,407 $ 215,814 $ 1,125,561 Operating income $ 99,012 $ 94,286 $ 34,204 $ 99,010 $ 77,307 $ 403,819 39-Weeks Ended September 27, 2014 Net sales $ 311,123 $ 367,137 $ 195,911 $ 900,545 $ 292,636 $ 2,067,352 Gross profit $ 194,805 $ 236,204 $ 105,097 $ 422,379 $ 215,079 $ 1,173,564 Operating income $ 110,345 $ 133,054 $ 26,919 $ 158,248 $ 86,060 $ 514,626 Allocation of certain research and development expenses, and selling, general, and administrative expenses are made to each segment on a percent of revenue basis. Net sales and property and equipment, net by geographic area are as follows as of and for the 39-week periods ended September 26, 2015 and September 27, 2014. Note that APAC includes Asia Pacific and EMEA includes Europe, the Middle East and Africa: Americas APAC EMEA Total September 26, 2015 Net sales to external customers $ 1,057,359 $ 237,202 $ 744,352 $ 2,038,913 Property and equipment, net $ 282,930 $ 108,650 $ 47,514 $ 439,094 September 27, 2014 Net sales to external customers $ 1,090,267 $ 195,225 $ 781,860 $ 2,067,352 Property and equipment, net $ 263,581 $ 117,191 $ 50,981 $ 431,753 |
Warranty Reserves
Warranty Reserves | 9 Months Ended |
Sep. 26, 2015 | |
Product Warranties Disclosures [Abstract] | |
Warranty Reserves | 5. Warranty Reserves The Companys products sold are generally covered by a warranty for periods ranging from one to two years. The Companys estimate of costs to service its warranty obligations are based on historical experience and expectation of future conditions and are recorded as a liability on the balance sheet. The following reconciliation provides an illustration of changes in the aggregate warranty reserve. 13-Weeks Ended September 26, September 27, 2015 2014 Balance - beginning of period $ 26,101 $ 27,349 Accrual for products sold during the period 8,075 8,512 Expenditures (9,527 ) (9,318 ) Balance - end of period $ 24,649 $ 26,543 39-Weeks Ended September 26, September 27, 2015 2014 Balance - beginning of period $ 27,609 $ 26,767 Accrual for products sold during the period 25,165 29,803 Expenditures (28,125 ) (30,027 ) Balance - end of period $ 24,649 $ 26,543 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 26, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 6. Commitments and Contingencies The Company is party to certain commitments, which include purchases of raw materials, advertising expenditures, investments in certain low income housing tax credit projects, and other indirect purchases in connection with conducting our business. Pursuant to these agreements, the Company is contractually committed to make payments of approximately $312,258 over the next five years. In the normal course of business, the Company and its subsidiaries are parties to various legal claims, investigations and complaints, including matters alleging patent infringement and other intellectual property claims. The Company evaluates, on a quarterly basis, developments in legal proceedings, investigations or claims that could affect the amount of any accrual or disclosure. The assessment regarding whether a loss is probable or a reasonable possibility, and whether the loss or a range of loss is estimable, often involves a series of complex judgments about future events. Management of the Company currently does not believe there is at least a reasonable possibility the Company may have incurred a material loss, or a material loss in excess of recorded accruals, with respect to loss contingencies individually and in the aggregate, for the fiscal quarter ended September 26, 2015. The results of legal proceedings, investigations and claims, however, cannot be predicted with certainty. Although management considers the likelihood to be remote, an adverse resolution of one or more of such matters in excess of managements expectations could have a material adverse effect on the Companys results of operations in a particular quarter or fiscal year. The Company settled or resolved certain matters during the fiscal quarter ended September 26, 2015 that did not individually or in the aggregate have a material impact on the Companys financial condition or results of operations. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 26, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 7. Income Taxes The Companys income tax expense decreased by $273,904, to $45,592 for the 13-week period ended September 26, 2015, from $319,496 for the 13-week period ended September 27, 2014. The effective tax rate was 28% in the third quarter of 2015. The third quarter 2015 income tax expense decreased compared to the third quarter 2014 due to: the tax expense of $307,635 associated with the inter-company restructuring recorded in the third quarter 2014 Offset by: the release of uncertain tax position reserves due to expiration of certain statutes of limitations or completion of tax audits was insignificant in third quarter 2015 and reduced the Companys expense by $24,400 in third quarter 2014 and the current projected full year income mix for 2015 compared to the same projection at third quarter of 2014 is unfavorable resulting in an increased effective tax rate The Companys income tax expense decreased by $279,082 to $90,800 for the first three quarters of 2015, from $369,882 for the first three quarters of 2014. The effective tax rate was 22% in the first three quarters of 2015. The first three quarters of 2015 income tax expense decreased compared to the first three quarters of 2014 due to: the tax expense of $307,635 associated with the inter-company restructuring recorded in the third quarter 2014 Offset by: the release of uncertain tax position reserves due to expiration of certain statutes of limitations or completion of tax audits reduced expense by $7,197 and $35,385, respectively, in the first three quarters of 2015 and the first three quarters of 2014 and the current projected full year income mix for 2015 compared to the same projection at third quarter of 2014 is unfavorable resulting in an increased effective tax rate |
Marketable Securities
Marketable Securities | 9 Months Ended |
Sep. 26, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities | 8. Marketable Securities The Financial Accounting Standards Board (FASB) ASC topic entitled Fair Value Measurements and Disclosures Level 1 Unadjusted quoted prices in active markets for the identical asset or liability Level 2 Observable inputs for the asset or liability, either directly or indirectly, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability Level 3 Unobservable inputs for the asset or liability The Company endeavors to utilize the best available information in measuring fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Valuation is based on prices obtained from an independent pricing vendor using both market and income approaches. The primary inputs to the valuation include quoted prices for similar assets in active markets, quoted prices for identical or similar assets in markets that are not active, contractual cash flows, benchmark yields, and credit spreads. The method described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. Available-for-sale securities measured at estimated fair value on a recurring basis are summarized below: Fair Value Measurements as of September 26, 2015 Total Level 1 Level 2 Level 3 U.S. Treasury securities $ 27,584 $ $ 27,584 $ Agency securities 236,086 236,086 Mortgage-backed securities 396,501 396,501 Corporate securities 545,682 545,682 Municipal securities 219,994 219,994 Other 76,134 76,134 Total $ 1,501,981 $ $ 1,501,981 $ Fair Value Measurements as of December 27, 2014 (1) Total Level 1 Level 2 Level 3 U.S. Treasury securities $ 30,144 $ $ 30,144 $ Agency securities 428,320 428,320 Mortgage-backed securities 324,307 324,307 Corporate securities 594,402 594,402 Municipal securities 125,410 125,410 Other 72,750 72,750 Total $ 1,575,333 $ $ 1,575,333 $ (1) Marketable securities classified as available-for-sale securities are summarized below: Available-For-Sale Securities as of September 26, 2015 Amortized Cost Gross Unrealized Gross (2) Gross Unrealized Losses-Other (3) Estimated Fair U.S. Treasury securities $ 27,433 $ 178 $ $ (27 ) $ 27,584 Agency securities 238,559 205 (2,553 ) (125 ) 236,086 Mortgage-backed securities 399,866 465 (987 ) (2,843 ) 396,501 Corporate securities 549,830 241 (1,453 ) (2,936 ) 545,682 Municipal securities 219,911 893 (1 ) (809 ) 219,994 Other 76,170 7 (17 ) (26 ) 76,134 Total $ 1,511,769 $ 1,989 $ (5,011 ) $ (6,766 ) $ 1,501,981 Available-For-Sale Securities as of December 27, 2014 (1) Amortized Cost Gross Unrealized Gains Gross (2) Gross Unrealized Losses-Other (3) Estimated Fair U.S. Treasury securities $ 30,185 $ 26 $ (25 ) $ (42 ) $ 30,144 Agency securities 436,817 169 (8,259 ) (407 ) 428,320 Mortgage-backed securities 329,048 580 (1,813 ) (3,508 ) 324,307 Corporate securities 600,674 689 (2,874 ) (4,087 ) 594,402 Municipal securities 125,183 497 (48 ) (222 ) 125,410 Other 72,857 59 (12 ) (154 ) 72,750 Total $ 1,594,764 $ 2,020 $ (13,031 ) $ (8,420 ) $ 1,575,333 (1) Certain available-for-sale securities held as of December 27, 2014 have been reclassified among major security types to conform to the current year presentation. These reclassifications had no effect on fair value measurement. (2) Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired. (3) Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired. The Companys investment policy requires investments to be rated A or better with the objective of minimizing the potential risk of principal loss. The fair value of the securities varies from period to period due to changes in interest rates, in the performance of the underlying collateral and in the credit performance of the underlying issuer, among other factors. The Company does not intend to sell the securities that have an unrealized loss shown in the table above and it is not more likely than not that the Company will be required to sell the investment before recovery of their amortized costs bases, which may be maturity. The Company recognizes the credit component of other-than-temporary impairments of debt securities in Other Income and the noncredit component in Other comprehensive income (loss) for those securities that we do not intend to sell and for which it is not more likely than not that we will be required to sell before recovery. During 2014 and the 39-week period ending September 26, 2015, the Company did not record any material impairment charges on its outstanding securities. The amortized cost and estimated fair value of the securities at an unrealized loss position at September 26, 2015 were $1,018,087 and $1,006,310, respectively. Approximately 49% of securities in the Companys portfolio were at an unrealized loss position at September 26, 2015. We have the ability to hold these securities until maturity or their value is recovered. We do not consider these unrealized losses to be other than temporary credit losses because there has been no deterioration in credit quality and no change in the cash flows of the underlying securities. The Company does not intend to sell the securities and it is not more likely than not that the Company will be required to sell the securities; therefore, no impairment has been recorded in the accompanying condensed consolidated statement of income. The cost of securities sold is based on the specific identification method. The following table displays additional information regarding gross unrealized losses and fair value by major security type for available-for-sale securities in an unrealized loss position as of September 26, 2015. As of September 26, 2015 Less than 12 Consecutive Months 12 Consecutive Months or Longer Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value U.S. Treasury securities $ (27 ) $ 2,326 $ $ Agency securities $ (468 ) $ 90,244 $ (2,210 ) $ 85,942 Mortgage-backed securities $ (2,381 ) $ 252,600 $ (1,449 ) $ 71,097 Corporate securities $ (4,020 ) $ 376,149 $ (369 ) $ 21,725 Municipal securities $ (769 ) $ 68,517 $ (41 ) $ 8,670 Other $ (11 ) $ 11,318 $ (32 ) $ 17,722 Total $ (7,676 ) $ 801,154 $ (4,101 ) $ 205,156 The amortized cost and estimated fair value of marketable securities at September 26, 2015, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. Cost Estimated Fair Value Due in one year or less $ 211,698 $ 211,834 Due after one year through five years 1,099,194 1,093,285 Due after five years through ten years 135,930 133,289 Due after ten years 64,946 63,573 $ 1,511,768 $ 1,501,981 |
Share Repurchase Plan
Share Repurchase Plan | 9 Months Ended |
Sep. 26, 2015 | |
Disclosure Text Block Supplement [Abstract] | |
Share Repurchase Plan | 9. Share Repurchase Plan On February 13, 2015, the Board of Directors approved a share repurchase program authorizing the Company to repurchase up to $300,000 of the common shares of Garmin Ltd. The repurchases may be made from time to time as market and business conditions warrant on the open market or in negotiated transactions in compliance with the SECs Rule 10b-18. The timing and amounts of any repurchases will be determined by the Companys management depending on market conditions and other factors including price, regulatory requirements and capital availability. The program does not require the purchase of any minimum number of shares and may be suspended or discontinued at any time. The share repurchase authorization expires on December 31, 2016. As of September 26, 2015, the Company had repurchased 2,494 shares using cash of $108,057. There remains approximately $191,943 available to repurchase additional shares under this authorization. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 9 Months Ended |
Sep. 26, 2015 | |
Stockholders' Equity Note [Abstract] | |
Accumulated Other Comprehensive Income | 10. Accumulated Other Comprehensive Income The following provides required disclosure of changes in accumulated other comprehensive income (AOCI) balances by component for the 13-week and the 39-week periods ended September 26, 2015: 13-Weeks Ended September 26, 2015 Foreign Currency Gross unrealized losses (4) Net unrealized gains (5) Total Beginning Balance $ 41,345 $ (9,414 ) $ (7,856 ) $ 24,075 Other comprehensive income before reclassification (55,161 ) 4,403 3,324 (47,434 ) Amounts reclassified from accumulated other comprehensive income 210 210 Net current-period other comprehensive income (55,161 ) 4,403 3,534 (47,224 ) Ending Balance $ (13,816 ) $ (5,011 ) $ (4,322 ) $ (23,149 ) 39-Weeks Ended September 26, 2015 Foreign Currency Gross unrealized losses (4) Net unrealized gains (5) Total Beginning Balance $ 20,874 $ (13,031 ) $ (5,272 ) $ 2,571 Other comprehensive income before reclassification (34,690 ) 8,020 1,066 (25,604 ) Amounts reclassified from accumulated other comprehensive income (116 ) (116 ) Net current-period other comprehensive income (34,690 ) 8,020 950 (25,720 ) Ending Balance $ (13,816 ) $ (5,011 ) $ (4,322 ) $ (23,149 ) (4) Represents the change in impairment, not related to credit, for those investment securities that have been determined to be other-than- temporarily impaired. (5) Represents the change in unrealized gains (losses) on investment securities that have not been determined to be other-than-temporarily impaired. The following provides required disclosure of reporting reclassifications out of AOCI for the 13-week and 26-week periods ended September 26, 2015: 13-Weeks Ended September 26, 2015 Details about accumulated other comprehensive income components Amount reclassified from accumulated other comprehensive income Affected line item in the statement where net income is presented Unrealized gains (losses) on available-for-sale securities $ (289 ) Other income (expense) $ 79 Income tax (provision) benefit $ (210 ) Net of tax 39-Weeks Ended September 26, 2015 Details about accumulated other comprehensive income components Amount reclassified from accumulated other comprehensive income Affected line item in the statement where net income is presented Unrealized gains (losses) on available-for-sale securities $ 76 Other income (expense) $ 41 Income tax (provision) benefit $ 117 Net of tax |
Recently Issued Accounting Pron
Recently Issued Accounting Pronouncements | 9 Months Ended |
Sep. 26, 2015 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recently Issued Accounting Pronouncements | 11. Recently Issued Accounting Pronouncements In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) (ASU 2014-09), which supersedes previous revenue recognition guidance. ASU 2014-09 requires that a company will recognize revenue at an amount that reflects the consideration to which the company expects to be entitled in exchange or transferring goods or services to a customer. In applying the new guidance, a company will (1) identify the contract(s) with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the contracts performance obligations; and (5) recognize revenue when (or as) the entity satisfies a performance obligation. The new standard may be applied retrospectively to each prior period presented or in a modified retrospective approach in which the cumulative effect will be recognized as of the date of adoption. In August 2015, the FASB issued Accounting Standards Update No. 2015-14, which defers the effective date of the new guidance by one year such that the new provisions will now be required for annual reporting periods beginning after December 15, 2017. The Company is currently evaluating the impact of adopting the new revenue standard on its consolidated financial statements. |
Stock Compensation Plans
Stock Compensation Plans | 9 Months Ended |
Sep. 26, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Compensation Plans | 12. Stock Compensation Plans In February 2015, Restricted Stock Units (RSUs) were granted to certain employees under the Companys 2005 Equity Incentive Plan (the 2005 Plan). The vesting of these RSUs is contingent upon the achievement of certain revenue and profitability goals, as well as on time-based vesting requirements. The compensation expense related to these grants did not have a material impact on the results of operations for the 13-week or 39-week periods ended September 26, 2015 and is not expected to have a material impact on the results of operations for the fiscal year ending December 26, 2015. The 2005 Plan is discussed further in the Companys Annual Report on Form 10-K for the fiscal year ended December 27, 2014. |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 26, 2015 | |
Inventory Disclosure [Abstract] | |
Schedule of inventories | The components of inventories consist of the following: September 26, 2015 December 27, 2014 Raw Materials $ 187,048 $ 161,444 Work-in-process 64,472 53,824 Finished goods 289,947 244,282 Inventory Reserves (38,284 ) (39,075 ) Inventory, net of reserves $ 503,183 $ 420,475 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 26, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of basic and diluted net income per share | The following table sets forth the computation of basic and diluted net income per share: 13-Weeks Ended Sept 26, Sept 27, 2015 2014 Numerator: Numerator for basic and diluted net income per share - net income $ 119,299 $ (146,834 ) Denominator: Denominator for basic net income per share weighted-average common shares 190,342 192,239 Effect of dilutive securities stock options, stock appreciation rights and restricted stock units 480 0 Denominator for diluted net income per share adjusted weighted-average common sh ares 190,822 192,239 Basic net income per share $ 0.63 $ (0.76 ) Diluted net income per share $ 0.63 $ (0.76 ) 39-Weeks Ended Sept 26, Sept 27, 2015 2014 Numerator: Numerator for basic and diluted net income per share - net income $ 323,844 $ 153,966 Denominator: Denominator for basic net income per share weighted-average common shares 191,068 193,700 Effect of dilutive securities stock options, stock appreciation rights and restricted stock units 455 1,063 Denominator for diluted net income per share adjusted weighted-average common shares 191,523 194,763 Basic net income per share $ 1.69 $ 0.79 Diluted net income per share $ 1.69 $ 0.7 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 26, 2015 | |
Segment Reporting [Abstract] | |
Sechedule of reportable segments | Net sales, gross profit, and operating income for each of the Companys reportable segments are presented below: Reporting Segments Outdoor Fitness Marine Auto Aviation Total 13-Weeks Ended September 26, 2015 Net sales $ 115,284 $ 143,216 $ 62,315 $ 264,643 $ 94,232 $ 679,690 Gross profit $ 68,175 $ 77,261 $ 34,115 $ 112,598 $ 70,041 $ 362,190 Operating income $ 37,761 $ 26,577 $ 5,737 $ 31,660 $ 23,722 $ 125,457 13-Weeks Ended September 27, 2014 Net sales $ 121,079 $ 116,171 $ 62,128 $ 307,558 $ 99,347 $ 706,283 Gross profit $ 79,227 $ 74,056 $ 31,510 $ 140,995 $ 72,458 $ 398,246 Operating income $ 51,382 $ 36,670 $ 5,452 $ 53,042 $ 28,958 $ 175,504 39-Weeks Ended September 26, 2015 Net sales $ 301,523 $ 432,859 $ 230,325 $ 779,646 $ 294,560 $ 2,038,913 Gross profit $ 185,341 $ 248,795 $ 128,204 $ 347,407 $ 215,814 $ 1,125,561 Operating income $ 99,012 $ 94,286 $ 34,204 $ 99,010 $ 77,307 $ 403,819 39-Weeks Ended September 27, 2014 Net sales $ 311,123 $ 367,137 $ 195,911 $ 900,545 $ 292,636 $ 2,067,352 Gross profit $ 194,805 $ 236,204 $ 105,097 $ 422,379 $ 215,079 $ 1,173,564 Operating income $ 110,345 $ 133,054 $ 26,919 $ 158,248 $ 86,060 $ 514,626 |
Schedule of net sales and property and equipment, net by geographic area | Net sales and property and equipment, net by geographic area are as follows as of and for the 39-week periods ended September 26, 2015 and September 27, 2014. Note that APAC includes Asia Pacific and EMEA includes Europe, the Middle East and Africa: Americas APAC EMEA Total September 26, 2015 Net sales to external customers $ 1,057,359 $ 237,202 $ 744,352 $ 2,038,913 Property and equipment, net $ 282,930 $ 108,650 $ 47,514 $ 439,094 September 27, 2014 Net sales to external customers $ 1,090,267 $ 195,225 $ 781,860 $ 2,067,352 Property and equipment, net $ 263,581 $ 117,191 $ 50,981 $ 431,753 |
Warranty Reserves (Tables)
Warranty Reserves (Tables) | 9 Months Ended |
Sep. 26, 2015 | |
Product Warranties Disclosures [Abstract] | |
Schedule of aggregate warranty reserve | The following reconciliation provides an illustration of changes in the aggregate warranty reserve. 13-Weeks Ended September 26, September 27, 2015 2014 Balance - beginning of period $ 26,101 $ 27,349 Accrual for products sold during the period 8,075 8,512 Expenditures (9,527 ) (9,318 ) Balance - end of period $ 24,649 $ 26,543 39-Weeks Ended September 26, September 27, 2015 2014 Balance - beginning of period $ 27,609 $ 26,767 Accrual for products sold during the period 25,165 29,803 Expenditures (28,125 ) (30,027 ) Balance - end of period $ 24,649 $ 26,543 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 9 Months Ended |
Sep. 26, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of available-for-sale securities measured at estimated fair value on a recurring basis | Available-for-sale securities measured at estimated fair value on a recurring basis are summarized below: Fair Value Measurements as of September 26, 2015 Total Level 1 Level 2 Level 3 U.S. Treasury securities $ 27,584 $ $ 27,584 $ Agency securities 236,086 236,086 Mortgage-backed securities 396,501 396,501 Corporate securities 545,682 545,682 Municipal securities 219,994 219,994 Other 76,134 76,134 Total $ 1,501,981 $ $ 1,501,981 $ Fair Value Measurements as of December 27, 2014 (1) Total Level 1 Level 2 Level 3 U.S. Treasury securities $ 30,144 $ $ 30,144 $ Agency securities 428,320 428,320 Mortgage-backed securities 324,307 324,307 Corporate securities 594,402 594,402 Municipal securities 125,410 125,410 Other 72,750 72,750 Total $ 1,575,333 $ $ 1,575,333 $ (1) |
Schedule of marketable securities classified as available-for-sale securities | Marketable securities classified as available-for-sale securities are summarized below: Available-For-Sale Securities as of September 26, 2015 Amortized Cost Gross Unrealized Gross (2) Gross Unrealized Losses-Other (3) Estimated Fair U.S. Treasury securities $ 27,433 $ 178 $ $ (27 ) $ 27,584 Agency securities 238,559 205 (2,553 ) (125 ) 236,086 Mortgage-backed securities 399,866 465 (987 ) (2,843 ) 396,501 Corporate securities 549,830 241 (1,453 ) (2,936 ) 545,682 Municipal securities 219,911 893 (1 ) (809 ) 219,994 Other 76,170 7 (17 ) (26 ) 76,134 Total $ 1,511,769 $ 1,989 $ (5,011 ) $ (6,766 ) $ 1,501,981 Available-For-Sale Securities as of December 27, 2014 (1) Amortized Cost Gross Unrealized Gains Gross (2) Gross Unrealized Losses-Other (3) Estimated Fair U.S. Treasury securities $ 30,185 $ 26 $ (25 ) $ (42 ) $ 30,144 Agency securities 436,817 169 (8,259 ) (407 ) 428,320 Mortgage-backed securities 329,048 580 (1,813 ) (3,508 ) 324,307 Corporate securities 600,674 689 (2,874 ) (4,087 ) 594,402 Municipal securities 125,183 497 (48 ) (222 ) 125,410 Other 72,857 59 (12 ) (154 ) 72,750 Total $ 1,594,764 $ 2,020 $ (13,031 ) $ (8,420 ) $ 1,575,333 (1) Certain available-for-sale securities held as of December 27, 2014 have been reclassified among major security types to conform to the current year presentation. These reclassifications had no effect on fair value measurement. (2) Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired. (3) Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired. |
Schedule of available-for-sale securities in an unrealized loss position | The following table displays additional information regarding gross unrealized losses and fair value by major security type for available-for-sale securities in an unrealized loss position as of September 26, 2015. As of September 26, 2015 Less than 12 Consecutive Months 12 Consecutive Months or Longer Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value U.S. Treasury securities $ (27 ) $ 2,326 $ $ Agency securities $ (468 ) $ 90,244 $ (2,210 ) $ 85,942 Mortgage-backed securities $ (2,381 ) $ 252,600 $ (1,449 ) $ 71,097 Corporate securities $ (4,020 ) $ 376,149 $ (369 ) $ 21,725 Municipal securities $ (769 ) $ 68,517 $ (41 ) $ 8,670 Other $ (11 ) $ 11,318 $ (32 ) $ 17,722 Total $ (7,676 ) $ 801,154 $ (4,101 ) $ 205,156 |
Schedule of expected maturities will differ from contractual maturities | The amortized cost and estimated fair value of marketable securities at September 26, 2015, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. Cost Estimated Fair Value Due in one year or less $ 211,698 $ 211,834 Due after one year through five years 1,099,194 1,093,285 Due after five years through ten years 135,930 133,289 Due after ten years 64,946 63,573 $ 1,511,768 $ 1,501,981 |
Accumulated Other Comprehensi24
Accumulated Other Comprehensive Income (Tables) | 9 Months Ended |
Sep. 26, 2015 | |
Stockholders' Equity Note [Abstract] | |
Schedule of accumulated other comprehensive income (AOCI) | The following provides required disclosure of changes in accumulated other comprehensive income (AOCI) balances by component for the 13-week and the 39-week periods ended September 26, 2015: 13-Weeks Ended September 26, 2015 Foreign Currency Gross unrealized losses (4) Net unrealized gains (5) Total Beginning Balance $ 41,345 $ (9,414 ) $ (7,856 ) $ 24,075 Other comprehensive income before reclassification (55,161 ) 4,403 3,324 (47,434 ) Amounts reclassified from accumulated other comprehensive income 210 210 Net current-period other comprehensive income (55,161 ) 4,403 3,534 (47,224 ) Ending Balance $ (13,816 ) $ (5,011 ) $ (4,322 ) $ (23,149 ) 39-Weeks Ended September 26, 2015 Foreign Currency Gross unrealized losses (4) Net unrealized gains (5) Total Beginning Balance $ 20,874 $ (13,031 ) $ (5,272 ) $ 2,571 Other comprehensive income before reclassification (34,690 ) 8,020 1,066 (25,604 ) Amounts reclassified from accumulated other comprehensive income (116 ) (116 ) Net current-period other comprehensive income (34,690 ) 8,020 950 (25,720 ) Ending Balance $ (13,816 ) $ (5,011 ) $ (4,322 ) $ (23,149 ) (4) Represents the change in impairment, not related to credit, for those investment securities that have been determined to be other-than- temporarily impaired. (5) Represents the change in unrealized gains (losses) on investment securities that have not been determined to be other-than-temporarily impaired. |
Schedule of reporting reclassifications out of AOCI | The following provides required disclosure of reporting reclassifications out of AOCI for the 13-week and 26-week periods ended September 26, 2015: 13-Weeks Ended September 26, 2015 Details about accumulated other comprehensive income components Amount reclassified from accumulated other comprehensive income Affected line item in the statement where net income is presented Unrealized gains (losses) on available-for-sale securities $ (289 ) Other income (expense) $ 79 Income tax (provision) benefit $ (210 ) Net of tax 39-Weeks Ended September 26, 2015 Details about accumulated other comprehensive income components Amount reclassified from accumulated other comprehensive income Affected line item in the statement where net income is presented Unrealized gains (losses) on available-for-sale securities $ 76 Other income (expense) $ 41 Income tax (provision) benefit $ 117 Net of tax |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Sep. 26, 2015 | Dec. 27, 2014 |
Inventory Disclosure [Abstract] | ||
Raw Materials | $ 187,048 | $ 161,444 |
Work-in-process | 64,472 | 53,824 |
Finished goods | 289,947 | 244,282 |
Inventory Reserves | (38,284) | (39,075) |
Inventory, net of reserves | $ 503,183 | $ 420,475 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | |
Numerator: | ||||
Numerator for basic and diluted net income per share - net income | $ 119,299 | $ (146,834) | $ 323,844 | $ 153,966 |
Denominator: | ||||
Denominator for basic net income per share - weighted-average common shares | 190,342 | 192,239 | 191,068 | 193,700 |
Effect of dilutive securities - stock options, stock appreciation rights and restricted stock units | 480 | 0 | 455 | 1,063 |
Denominator for diluted net income per share - adjusted weighted-average common shares | 190,822 | 192,239 | 191,523 | 194,763 |
Basic net income per share (in dollars per share) | $ 0.63 | $ (0.76) | $ 1.69 | $ 0.79 |
Diluted net income per share (in dollars per share) | $ 0.63 | $ (0.76) | $ 1.69 | $ 0.79 |
Earnings Per Share (Details Nar
Earnings Per Share (Details Narrative) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | |
Earnings Per Share [Abstract] | ||||
Number of anti-dilutive equity awards | 4,075 | 4,108 | 2,253 | |
Number of shares issued for exercises of equity awards | 5 | 81 | 133 | 446 |
Number of shares issued from outstanding treasury stock ESPP | 214 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 679,690 | $ 706,283 | $ 2,038,913 | $ 2,067,352 |
Gross profit | 362,190 | 398,246 | 1,125,561 | 1,173,564 |
Operating income | 125,457 | 175,504 | 403,819 | 514,626 |
Outdoor [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 115,284 | 121,079 | 301,523 | 311,123 |
Gross profit | 68,175 | 79,227 | 185,341 | 194,805 |
Operating income | 37,761 | 51,382 | 99,012 | 110,345 |
Fitness [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 143,216 | 116,171 | 432,859 | 367,137 |
Gross profit | 77,261 | 74,056 | 248,795 | 236,204 |
Operating income | 26,577 | 36,670 | 94,286 | 133,054 |
Marine [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 62,315 | 62,128 | 230,325 | 195,911 |
Gross profit | 34,115 | 31,510 | 128,204 | 105,097 |
Operating income | 5,737 | 5,452 | 34,204 | 26,919 |
Auto [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 264,643 | 307,558 | 779,646 | 900,545 |
Gross profit | 112,598 | 140,995 | 347,407 | 422,379 |
Operating income | 31,660 | 53,042 | 99,010 | 158,248 |
Aviation [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 94,232 | 99,347 | 294,560 | 292,636 |
Gross profit | 70,041 | 72,458 | 215,814 | 215,079 |
Operating income | $ 23,722 | $ 28,958 | $ 77,307 | $ 86,060 |
Segment Information (Details 1)
Segment Information (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | Dec. 27, 2014 | |
Segment Reporting Information [Line Items] | |||||
Net sales to external customers | $ 679,690 | $ 706,283 | $ 2,038,913 | $ 2,067,352 | |
Property and equipment, net | 439,094 | 431,753 | 439,094 | 431,753 | $ 430,887 |
Americas [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net sales to external customers | 1,057,359 | 1,090,267 | |||
Property and equipment, net | 282,930 | 263,581 | 282,930 | 263,581 | |
APAC [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net sales to external customers | 237,202 | 195,225 | |||
Property and equipment, net | 108,650 | 117,191 | 108,650 | 117,191 | |
EMEA [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Net sales to external customers | 744,352 | 781,860 | |||
Property and equipment, net | $ 47,514 | $ 50,981 | $ 47,514 | $ 50,981 |
Segment Information (Details Na
Segment Information (Details Narrative) | 9 Months Ended |
Sep. 26, 2015Number | |
Segment Reporting [Abstract] | |
Number of reportable segments | 5 |
Warranty Reserves (Details)
Warranty Reserves (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | ||||
Balance - beginning of period | $ 26,101 | $ 27,349 | $ 27,609 | $ 26,767 |
Accrual for products sold during the period | 8,075 | 8,512 | 25,165 | 29,803 |
Expenditures | (9,527) | (9,318) | (28,125) | (30,027) |
Balance - end of period | $ 24,649 | $ 26,543 | $ 24,649 | $ 26,543 |
Warranty Reserves (Details Narr
Warranty Reserves (Details Narrative) | 9 Months Ended |
Sep. 26, 2015 | |
Minimum [Member] | |
Product Warranty Liability [Line Items] | |
Warranty term | 1 year |
Maximum [Member] | |
Product Warranty Liability [Line Items] | |
Warranty term | 2 years |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) $ in Thousands | 9 Months Ended |
Sep. 26, 2015USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Contractually committed payments | $ 312,258 |
Contractually committed period | 5 years |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | |
Income Tax Disclosure [Abstract] | ||||
Decrease in income tax provision | $ 273,904 | $ 279,082 | ||
Income tax provision | $ 45,592 | $ 319,496 | $ 90,800 | $ 369,882 |
Effective tax rate | 28.00% | 22.00% | ||
Inter-company restructuring tax expenses | 307,635 | |||
Uncertain tax position reserves | $ 24,400 | $ 7,197 | $ 35,385 |
Marketable Securities (Details)
Marketable Securities (Details) - USD ($) $ in Thousands | Sep. 26, 2015 | Dec. 27, 2014 | |
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | $ 1,501,981 | $ 1,575,333 | [1] |
U.S.Treasury Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 27,584 | 30,144 | [1] |
Agency Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 236,086 | 428,320 | [1] |
Mortgage-Backed Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 396,501 | 324,307 | [1] |
Corporate Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 545,682 | 594,402 | [1] |
Municipal Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 219,994 | 125,410 | [1] |
Other [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 76,134 | 72,750 | [1] |
Recurring Basis [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 1,501,981 | 1,575,333 | [1] |
Recurring Basis [Member] | U.S.Treasury Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 27,584 | 30,144 | [1] |
Recurring Basis [Member] | Agency Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 236,086 | 428,320 | [1] |
Recurring Basis [Member] | Mortgage-Backed Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 396,501 | 324,307 | [1] |
Recurring Basis [Member] | Corporate Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 545,682 | 594,402 | [1] |
Recurring Basis [Member] | Municipal Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 219,994 | 125,410 | [1] |
Recurring Basis [Member] | Other [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | $ 76,134 | $ 72,750 | [1] |
Recurring Basis [Member] | Level 1 [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 1 [Member] | U.S.Treasury Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 1 [Member] | Agency Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 1 [Member] | Mortgage-Backed Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 1 [Member] | Corporate Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 1 [Member] | Municipal Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 1 [Member] | Other [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 2 [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | $ 1,501,981 | $ 1,575,333 | [1] |
Recurring Basis [Member] | Level 2 [Member] | U.S.Treasury Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 27,584 | 30,144 | [1] |
Recurring Basis [Member] | Level 2 [Member] | Agency Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 236,086 | 428,320 | [1] |
Recurring Basis [Member] | Level 2 [Member] | Mortgage-Backed Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 396,501 | 324,307 | [1] |
Recurring Basis [Member] | Level 2 [Member] | Corporate Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 545,682 | 594,402 | [1] |
Recurring Basis [Member] | Level 2 [Member] | Municipal Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | 219,994 | 125,410 | [1] |
Recurring Basis [Member] | Level 2 [Member] | Other [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | $ 76,134 | $ 72,750 | [1] |
Recurring Basis [Member] | Level 3 [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 3 [Member] | U.S.Treasury Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 3 [Member] | Agency Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 3 [Member] | Mortgage-Backed Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 3 [Member] | Corporate Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 3 [Member] | Municipal Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
Recurring Basis [Member] | Level 3 [Member] | Other [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, total | |||
[1] | Certain available-for-sale securities held as of December 27, 2014 have been reclassified among major security types to conform to the current year presentation. These reclassifications had no effect on fair value measurement. |
Marketable Securities (Details
Marketable Securities (Details 1) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 26, 2015 | Dec. 27, 2014 | [1] | ||
Schedule of Available-for-sale Securities [Line Items] | ||||
Amortized Cost | $ 1,511,768 | $ 1,594,764 | ||
Gross Unrealized Gains | 1,989 | 2,020 | ||
Gross Unrealized Losses-OTTI | [2] | (5,011) | (13,031) | |
Gross Unrealized Losses-Other | [3] | (6,766) | (8,420) | |
Estimated Fair Value (Net Carrying Amount) | 1,501,981 | 1,575,333 | ||
U.S.Treasury Securities [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Amortized Cost | 27,433 | 30,185 | ||
Gross Unrealized Gains | $ 178 | 26 | ||
Gross Unrealized Losses-OTTI | [2] | (25) | ||
Gross Unrealized Losses-Other | [3] | $ (27) | (42) | |
Estimated Fair Value (Net Carrying Amount) | 27,584 | 30,144 | ||
Agency Securities [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Amortized Cost | 238,559 | 436,817 | ||
Gross Unrealized Gains | 205 | 169 | ||
Gross Unrealized Losses-OTTI | [2] | (2,553) | (8,259) | |
Gross Unrealized Losses-Other | [3] | (125) | (407) | |
Estimated Fair Value (Net Carrying Amount) | 236,086 | 428,320 | ||
Mortgage-Backed Securities [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Amortized Cost | 399,866 | 329,048 | ||
Gross Unrealized Gains | 465 | 580 | ||
Gross Unrealized Losses-OTTI | [2] | (987) | (1,813) | |
Gross Unrealized Losses-Other | [3] | (2,843) | (3,508) | |
Estimated Fair Value (Net Carrying Amount) | 396,501 | 324,307 | ||
Corporate Securities [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Amortized Cost | 549,830 | 600,674 | ||
Gross Unrealized Gains | 241 | 689 | ||
Gross Unrealized Losses-OTTI | [2] | (1,453) | (2,874) | |
Gross Unrealized Losses-Other | [3] | (2,936) | (4,087) | |
Estimated Fair Value (Net Carrying Amount) | 545,682 | 594,402 | ||
Municipal Securities [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Amortized Cost | 219,911 | 125,183 | ||
Gross Unrealized Gains | 893 | 497 | ||
Gross Unrealized Losses-OTTI | [2] | (1) | (48) | |
Gross Unrealized Losses-Other | [3] | (809) | (222) | |
Estimated Fair Value (Net Carrying Amount) | 219,994 | 125,410 | ||
Other [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Amortized Cost | 76,170 | 72,857 | ||
Gross Unrealized Gains | 7 | 59 | ||
Gross Unrealized Losses-OTTI | [2] | (17) | (12) | |
Gross Unrealized Losses-Other | [3] | (26) | (154) | |
Estimated Fair Value (Net Carrying Amount) | $ 76,134 | $ 72,750 | ||
[1] | Certain available-for-sale securities held as of December 27, 2014 have been reclassified among major security types to conform to the current year presentation. These reclassifications had no effect on fair value measurement. | |||
[2] | Represents impairment not related to credit for those investment securities that have been determined to be other-than-temporarily impaired. | |||
[3] | Represents unrealized losses on investment securities that have not been determined to be other-than-temporarily impaired. |
Marketable Securities (Detail37
Marketable Securities (Details 2) $ in Thousands | 9 Months Ended |
Sep. 26, 2015USD ($) | |
Schedule of Available-for-sale Securities [Line Items] | |
Gross Unrealized Losses Less than 12 Consecutive Months | $ (7,676) |
Fair Value Less than 12 Consecutive Months | 801,154 |
Gross Unrealized Losses 12 Consecutive Months or Longer | (4,101) |
Fair Value 12 Consecutive Months or Longer | 205,156 |
U.S.Treasury Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Gross Unrealized Losses Less than 12 Consecutive Months | (27) |
Fair Value Less than 12 Consecutive Months | $ 2,326 |
Gross Unrealized Losses 12 Consecutive Months or Longer | |
Fair Value 12 Consecutive Months or Longer | |
Agency Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Gross Unrealized Losses Less than 12 Consecutive Months | $ (468) |
Fair Value Less than 12 Consecutive Months | 90,244 |
Gross Unrealized Losses 12 Consecutive Months or Longer | (2,210) |
Fair Value 12 Consecutive Months or Longer | 85,942 |
Mortgage-Backed Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Gross Unrealized Losses Less than 12 Consecutive Months | (2,381) |
Fair Value Less than 12 Consecutive Months | 252,600 |
Gross Unrealized Losses 12 Consecutive Months or Longer | (1,449) |
Fair Value 12 Consecutive Months or Longer | 71,097 |
Corporate Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Gross Unrealized Losses Less than 12 Consecutive Months | (4,020) |
Fair Value Less than 12 Consecutive Months | 376,149 |
Gross Unrealized Losses 12 Consecutive Months or Longer | (369) |
Fair Value 12 Consecutive Months or Longer | 21,725 |
Municipal Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Gross Unrealized Losses Less than 12 Consecutive Months | (769) |
Fair Value Less than 12 Consecutive Months | 68,517 |
Gross Unrealized Losses 12 Consecutive Months or Longer | (41) |
Fair Value 12 Consecutive Months or Longer | 8,670 |
Other [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Gross Unrealized Losses Less than 12 Consecutive Months | (11) |
Fair Value Less than 12 Consecutive Months | 11,318 |
Gross Unrealized Losses 12 Consecutive Months or Longer | (32) |
Fair Value 12 Consecutive Months or Longer | $ 17,722 |
Marketable Securities (Detail38
Marketable Securities (Details 3) - USD ($) $ in Thousands | Sep. 26, 2015 | Dec. 27, 2014 | [1] |
Cost [Abstract] | |||
Due in one year or less | $ 211,698 | ||
Due after one year through five years | 1,099,194 | ||
Due after five years through ten years | 135,930 | ||
Due after ten years | 64,946 | ||
Total | 1,511,768 | $ 1,594,764 | |
Estimated Fair Value [Abstract] | |||
Due in one year or less | 211,834 | ||
Due after one year through five years | 1,093,285 | ||
Due after five years through ten years | 133,289 | ||
Due after ten years | 63,573 | ||
Total | $ 1,501,981 | $ 1,575,333 | |
[1] | Certain available-for-sale securities held as of December 27, 2014 have been reclassified among major security types to conform to the current year presentation. These reclassifications had no effect on fair value measurement. |
Marketable Securities (Detail39
Marketable Securities (Details Narrative) $ in Thousands | 9 Months Ended |
Sep. 26, 2015USD ($) | |
Investments, Debt and Equity Securities [Abstract] | |
Unrealized loss position amortized cost | $ 1,018,087 |
Unrealized loss position fair value | $ 1,006,310 |
Percentage of available-for-sale securities in unrealized loss positions | 49.00% |
Share Repurchase Plan (Details
Share Repurchase Plan (Details Narrative) - USD ($) $ in Thousands | Feb. 13, 2015 | Sep. 26, 2015 |
Disclosure Text Block Supplement [Abstract] | ||
Stock repurchase program, authorized amount | $ 300,000 | |
Stock repurchase program, expiration date | Dec. 31, 2016 | |
Stock issued for repurchase program, shares | 2,494 | |
Stock issued for repurchase program, value | $ 108,057 | |
Remaining stock available under repurchase program | $ 191,943 |
Accumulated Other Comprehensi41
Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | ||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Parent [Roll Forward] | |||||
Beginning Balance | $ 41,345 | $ 20,874 | |||
Other comprehensive income before reclassification | $ (55,161) | $ (34,690) | |||
Amounts reclassified from accumulated other comprehensive income | |||||
Net current-period other comprehensive income | $ (55,161) | $ (22,791) | $ (34,690) | $ (15,552) | |
Ending Balance | (13,816) | (13,816) | |||
Accumulated Other Comprehensive Income (Loss), Other than Temporary Impairment, Not Credit Loss, Net of Tax, Debt Securities [Roll Forward] | |||||
Beginning Balance | [1] | (9,414) | (13,031) | ||
Other comprehensive income before reclassification | [1] | $ 4,403 | $ 8,020 | ||
Amounts reclassified from accumulated other comprehensive income | [1] | ||||
Net current-period other comprehensive income | [1] | $ 4,403 | $ 8,020 | ||
Ending Balance | [1] | (5,011) | (5,011) | ||
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent [Roll Forward] | |||||
Beginning Balance | [2] | (7,856) | (5,272) | ||
Other comprehensive income before reclassification | [2] | 3,324 | 1,066 | ||
Amounts reclassified from accumulated other comprehensive income | [2] | 210 | (116) | ||
Net current-period other comprehensive income | [2] | 3,534 | 950 | ||
Ending Balance | [2] | (4,322) | (4,322) | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||
Beginning Balance | 24,075 | 2,571 | |||
Other comprehensive income before reclassification | (47,434) | (25,604) | |||
Amounts reclassified from accumulated other comprehensive income | 210 | (116) | |||
Net current-period other comprehensive income | (47,224) | (25,720) | |||
Ending Balance | $ (23,149) | $ (23,149) | |||
[1] | Represents the change in impairment, not related to credit, for those investment securities that have been determined to be other - than - temporarily impaired. | ||||
[2] | Represents the change in unrealized gains (losses) on investment securities that have not been determined to be other - than - temporarily impaired. |
Accumulated Other Comprehensi42
Accumulated Other Comprehensive Income (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2015 | Sep. 27, 2014 | Sep. 26, 2015 | Sep. 27, 2014 | |
Other income (expense) | $ 39,434 | $ (2,842) | $ 10,825 | $ 9,222 |
Income tax (provision) benefit | (45,592) | $ (319,496) | (90,800) | $ (369,882) |
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | Reclassification from accumulated other comprehensive income [Member] | ||||
Other income (expense) | (289) | 76 | ||
Income tax (provision) benefit | 79 | 41 | ||
Net of tax | $ (210) | $ 117 |