nLIGHT (LASR) 10-Q 6 Aug 20 2020 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Jun. 30, 2020	Aug. 03, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2020
Document Transition Report	false
Entity File Number	001-38462
Entity Registrant Name	NLIGHT, INC.
Entity Incorporation, Date of Incorporation	DE
Entity Tax Identification Number	91-2066376
Entity Address, Address Line One	5408 NE 88th Street, Building E
Entity Address, City or Town	Vancouver
Entity Address, State or Province	WA
Entity Address, Postal Zip Code	98665
City Area Code	360
Local Phone Number	566-4460
Title of 12(b) Security	Common Stock, par value $0.0001 per share
Trading Symbol	LASR
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Ex Transition Period	false
Entity Filer Category	Accelerated Filer
Smaller Reporting Company	false
Emerging Growth	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		38,873,902
Entity Central Index Key	0001124796
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Amendment Flag	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 120,899	$ 117,252
Accounts receivable, net of allowances of $309 and $269	23,891	27,126
Inventory	50,611	46,131
Prepaid expenses and other current assets	9,883	8,084
Total current assets	205,284	198,593
Property, plant and equipment, net of accumulated depreciation of $61,789 and $58,633	41,349	27,747
Lease right-of-use assets	11,080
Intangible assets, net of accumulated amortization of $4,937 and $3,150	8,849	10,006
Goodwill	9,972	9,872
Other assets, net	4,840	3,748
Total assets	281,374	249,966
Current liabilities:
Accounts payable	20,343	12,700
Accrued liabilities	12,179	11,605
Deferred revenues	2,191	679
Lease liabilities	2,480
Current portion of long-term debt	5	51
Total current liabilities	37,198	25,035
Non-current income taxes payable	6,656	6,429
Long-term lease liabilities	8,896
Long-term debt	15,000	0
Other long-term liabilities	2,299	1,894
Total liabilities	70,049	33,358
Stockholders' equity:
Common stock - $0.0001 par value; 190,000 shares authorized, 38,850 shares issued and outstanding at June 30, 2020 and 38,084 shares issued and outstanding at December 31, 2019	15	15
Additional paid-in capital	345,917	336,732
Accumulated other comprehensive loss	(2,848)	(2,685)
Accumulated deficit	(131,759)	(117,454)
Total stockholders’ equity	211,325	216,608
Total liabilities and stockholders’ equity	$ 281,374	$ 249,966

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Accounts receivable, allowances	$ 309	$ 269
Property and equipment, accumulated depreciation	61,789	58,633
Intangible assets, accumulated amortization	$ 4,937	$ 3,150
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	190,000,000	190,000,000
Common stock, shares issued (in shares)	38,850,000	38,084,000
Common stock, shares outstanding (in shares)	38,850,000	38,084,000

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Total revenue	$ 52,138	$ 48,048	$ 95,353	$ 89,909
Total cost of revenue	39,082	32,177	72,796	60,524
Gross profit	13,056	15,871	22,557	29,385
Operating expenses:
Research and development	9,472	6,494	18,010	12,916
Sales, general, and administrative	9,633	8,572	17,333	16,716
Total operating expenses	19,105	15,066	35,343	29,632
Income (loss) from operations	(6,049)	805	(12,786)	(247)
Other income (expense):
Interest income (expense), net	(65)	740	218	1,490
Other income (expense), net	(298)	(907)	(414)	(87)
Income (loss) before income taxes	(6,412)	638	(12,982)	1,156
Income tax expense	418	793	1,323	2,546
Net loss	$ (6,830)	$ (155)	$ (14,305)	$ (1,390)
Net loss per share, basic (in dollars per share)	$ (0.18)	$ 0	$ (0.38)	$ (0.04)
Net loss per share, diluted (in dollars per share)	$ (0.18)	$ 0	$ (0.38)	$ (0.04)
Shares used in per share calculations:
Basic (in shares)	38,177	37,065	38,003	36,880
Diluted (in shares)	38,177	37,065	38,003	36,880
Products
Total revenue	$ 45,104	$ 48,048	$ 82,034	$ 89,909
Total cost of revenue	32,597	32,177	60,497	60,524
Development
Total revenue	7,034	0	13,319	0
Total cost of revenue	$ 6,485	$ 0	$ 12,299	$ 0

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Statement of Comprehensive Income [Abstract]
Net loss	$ (6,830)	$ (155)	$ (14,305)	$ (1,390)
Other comprehensive income (loss):
Foreign currency translation adjustments, net of tax	333	317	(163)	57
Comprehensive income (loss)	$ (6,497)	$ 162	$ (14,468)	$ (1,333)

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Common stock	Additional paid-in capital	Accumulated other comprehensive income (loss)	Accumulated deficit	Cumulative Effect, Period of Adoption, AdjustmentAdditional paid-in capital	Cumulative Effect, Period of Adoption, AdjustmentAccumulated deficit
Beginning balance (in shares) at Dec. 31, 2018		36,705
Beginning balance at Dec. 31, 2018	$ 217,783	$ 15	$ 324,656	$ (2,157)	$ (104,731)	$ (161)	$ 161
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(1,390)				(1,390)
Issuance of common stock pursuant to exercise of stock options (in shares)		518
Issuance of common stock pursuant to exercise of stock options	915		915
Issuance of common stock pursuant to vesting of restricted stock awards and units, net of stock withheld for tax (in shares)		399
Issuance of common stock pursuant to vesting of restricted stock awards and units, net of stock withheld for tax	(480)		(480)
Issuance of common stock under the Employee Stock Purchase Plan (in shares)		43
Issuance of common stock under the Employee Stock Purchase Plan	762		762
Stock-based compensation	4,290		4,290
Cumulative translation adjustment	57			57
Ending balance (in shares) at Jun. 30, 2019		37,665
Ending balance at Jun. 30, 2019	221,937	$ 15	329,982	(2,100)	(105,960)
Beginning balance (in shares) at Mar. 31, 2019		36,906
Beginning balance at Mar. 31, 2019	218,663	$ 15	326,870	(2,417)	(105,805)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(155)				(155)
Issuance of common stock pursuant to exercise of stock options (in shares)		317
Issuance of common stock pursuant to exercise of stock options	449		449
Issuance of common stock pursuant to vesting of restricted stock awards and units, net of stock withheld for tax (in shares)		399
Issuance of common stock pursuant to vesting of restricted stock awards and units, net of stock withheld for tax	(480)		(480)
Issuance of common stock under the Employee Stock Purchase Plan (in shares)		43
Issuance of common stock under the Employee Stock Purchase Plan	762		762
Stock-based compensation	2,381		2,381
Cumulative translation adjustment	317			317
Ending balance (in shares) at Jun. 30, 2019		37,665
Ending balance at Jun. 30, 2019	$ 221,937	$ 15	329,982	(2,100)	(105,960)
Beginning balance (in shares) at Dec. 31, 2019	38,084	38,084
Beginning balance at Dec. 31, 2019	$ 216,608	$ 15	336,732	(2,685)	(117,454)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	$ (14,305)				(14,305)
Issuance of common stock pursuant to exercise of stock options (in shares)	518	518
Issuance of common stock pursuant to exercise of stock options	$ 857		857
Issuance of common stock pursuant to vesting of restricted stock awards and units, net of stock withheld for tax (in shares)		209
Issuance of common stock pursuant to vesting of restricted stock awards and units, net of stock withheld for tax	$ (2,157)		(2,157)
Issuance of common stock under the Employee Stock Purchase Plan (in shares)	39	39
Issuance of common stock under the Employee Stock Purchase Plan	$ 685		685
Stock-based compensation	9,800		9,800
Cumulative translation adjustment	$ (163)			(163)
Ending balance (in shares) at Jun. 30, 2020	38,850	38,850
Ending balance at Jun. 30, 2020	$ 211,325	$ 15	345,917	(2,848)	(131,759)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Accounting Standards Update [Extensible List]	us-gaap:AccountingStandardsUpdate201602Member
Beginning balance (in shares) at Mar. 31, 2020		38,473
Beginning balance at Mar. 31, 2020	$ 212,947	$ 15	341,042	(3,181)	(124,929)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(6,830)				(6,830)
Issuance of common stock pursuant to exercise of stock options (in shares)		145
Issuance of common stock pursuant to exercise of stock options	299		299
Issuance of common stock pursuant to vesting of restricted stock awards and units, net of stock withheld for tax (in shares)		193
Issuance of common stock pursuant to vesting of restricted stock awards and units, net of stock withheld for tax	(2,146)		(2,146)
Issuance of common stock under the Employee Stock Purchase Plan (in shares)		39
Issuance of common stock under the Employee Stock Purchase Plan	685		685
Stock-based compensation	6,037		6,037
Cumulative translation adjustment	$ 333			333
Ending balance (in shares) at Jun. 30, 2020	38,850	38,850
Ending balance at Jun. 30, 2020	$ 211,325	$ 15	$ 345,917	$ (2,848)	$ (131,759)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Cash flows from operating activities:
Net loss	$ (14,305)	$ (1,390)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation	3,614	3,205
Amortization	2,815	1,276
Reduction in carrying amount of right-of-use assets	1,425
Provision for losses on accounts receivable	62	33
Stock-based compensation	9,800	4,290
Loss on disposal of assets	0	5
Changes in operating assets and liabilities:
Accounts receivable, net	3,012	(4,334)
Inventory	(4,457)	(6,987)
Prepaid expenses and other current assets	(1,801)	3,192
Other assets	(2,131)	(1,800)
Accounts payable	7,400	1,111
Accrued and other long-term liabilities	1,243	(25)
Deferred revenues	1,519	(141)
Lease liabilities	(1,428)
Non-current income taxes payable	234	382
Net cash provided by (used in) operating activities	7,002	(1,183)
Cash flows from investing activities:
Purchases of property, plant and equipment	(17,040)	(6,110)
Capitalization of patents	(628)	(806)
Net cash used in investing activities	(17,668)	(6,916)
Cash flows from financing activities:
Proceeds from debt financing	15,000	0
Principal payments on debt and financing leases	(45)	(50)
Proceeds from employee stock plan purchases	685	762
Proceeds from stock option exercises	857	915
Tax payments related to stock award issuances	(2,157)	(480)
Net cash provided by financing activities	14,340	1,147
Effect of exchange rate changes on cash	(27)	135
Net increase (decrease) in cash and cash equivalents	3,647	(6,817)
Cash and cash equivalents, beginning of period	117,252	149,478
Cash and cash equivalents, end of period	120,899	142,661
Supplemental disclosures:
Cash received for interest	316	1,552
Cash paid for income taxes	1,015	1,393
Accrued purchases of property, equipment and patents	993	$ 952
Supplemental disclosure of noncash investing and financing activities:
Right-of-use assets obtained for operating leases	$ 12,408

Basis of Presentation and New A

Basis of Presentation and New Accounting Pronouncements	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Basis of Presentation and New Accounting Pronouncements	Basis of Presentation and New Accounting Pronouncements Basis of Presentation The accompanying consolidated financial statements of nLIGHT, Inc. and its wholly owned subsidiaries (Company) have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) and pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). The unaudited financial information reflects, in the opinion of management, all adjustments necessary for a fair presentation of financial position, results of operations, stockholders’ equity, and cash flows for the interim periods presented. The results reported for the interim period presented are not necessarily indicative of results that may be expected for the full year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2019 Annual Report on Form 10-K. Reclassifications Certain immaterial reclassifications were made to the prior period financial statements to conform to the current period presentation. Critical Accounting Policies Other than the adoption of new lease accounting standards as described in Note 13, our critical accounting policies have not materially changed during the six months ended June 30, 2020 from those disclosed in our Annual Report on Form 10-K for the year ended December 31, 2019 . New Accounting Pronouncements ASU 2016-02, ASU 2018-10, ASU 2018-11 and ASU 2019-01 The Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-02, Leases (Topic 842), in February 2016. ASU 2016-02 requires the recognition of right-of-use (ROU) assets and lease liabilities on the balance sheet for virtually all leases, other than leases that meet the definition of short-term. ASU 2016-02 was amended in July 2018 , Ma rch 2019 and February 2020. The Company adopted ASU 2016-02, as amended, on January 1, 2020 using the modified transition approach, resulting in the recognition of operating lease ROU assets and lease liabilities of $7.6 million and $7.9 million , respectively. Refer to Note 13 for additional information. ASU 2016-13, ASU 2018-19, ASU 2019-04, ASU 2019-05 and ASU 2020-03 The FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , in June 2016. ASU 2016-13 replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. For assets measured at amortized cost, the new standard requires that the income statement reflects the measurement of credit losses for newly recognized financial assets, as well as the expected increases or decreases of expected credit losses that have taken place during the period. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. ASU 2016-13 was amended in November 2018, April 2019 and March 2020. ASU 2016-13, as amended, is effective for annual reporting periods of emerging growth companies beginning after December 15, 2020, including interim periods within those fiscal years. An entity will apply the new standard, as amended, using a modified-retrospective approach and record a cumulative effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. The Company is currently evaluating the impact on its consolidated financial statements and cannot reasonably estimate the impact on its financial statements at this time. ASU 2020-04 FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting,

Acquisition

Acquisition	6 Months Ended
	Jun. 30, 2020
Business Combinations [Abstract]
Acquisition	Acquisition On November 14, 2019 , the Company acquired Nutronics, Inc. (Nutronics), a private company, pursuant to the Stock Purchase Agreement between nLIGHT, Inc. and selling stockholders of Nutronics, Inc. and sellers as of that date. The total acquisition consideration consisted of $17.4 million in cash. Based in Longmont, Colorado, Nutronics is a leading developer of coherently combined lasers and beam control systems (BCS) for high-energy laser (HEL) systems serving the defense market. The acquisition price was allocated to the tangible and identified intangible assets acquired and liabilities assumed as of the closing date of the acquisition based upon their respective fair values. The fair values assigned to assets acquired and liabilities assumed were based on management’s best estimates and assumptions, including future tax elections, as of the reporting date and are considered preliminary. During the six months ended June 30, 2020 , updated information resulted in an increase to other liabilities acquired of $0.1 million and a corresponding adjustment to goodwill. The table below summarizes the assets acquired and liabilities assumed (in thousands): Valuation as of Balances as of November 14, 2019 Adjustments June 30, 2020 Cash $ 33 $ — $ 33 Accounts receivable 635 — 635 Contract assets 456 — 456 Inventory 255 — 255 Other current assets 201 — 201 Property, plant and equipment 1,019 — 1,019 Security deposits 46 — 46 Tangible assets acquired 2,645 — 2,645 Accounts payable (278 ) — (278 ) Other liabilities (477 ) (100 ) (577 ) Deferred revenue (141 ) — (141 ) Liabilities assumed (896 ) (100 ) (996 ) Total tangible assets acquired and liabilities assumed 1,749 (100 ) 1,649 Intangible assets 7,200 7,200 Goodwill 8,484 100 8,584 Net assets acquired $ 17,433 $ — $ 17,433 The intangible assets as of the November 14, 2019 acquisition date were as follows (in thousands): Amount Weighted-Average Useful Life (in years) Development programs $ 7,200 3.1 Pro forma financial information has not been provided for the purchase as it was not material to the Company’s overall financial position.

Revenue

Revenue	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Revenue	Revenue The following tables represent a disaggregation of revenue from contracts with customers for the periods presented (in thousands): Sales by End Market Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Industrial $ 22,630 $ 20,920 $ 38,620 $ 39,044 Microfabrication 14,300 18,094 24,719 32,627 Aerospace and Defense 15,208 9,034 32,014 18,238 $ 52,138 $ 48,048 $ 95,353 $ 89,909 Sales by Geography Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 North America $ 20,494 $ 18,142 $ 41,540 $ 33,912 China 21,495 18,201 33,537 31,854 Rest of World 10,149 11,705 20,276 24,143 $ 52,138 $ 48,048 $ 95,353 $ 89,909 Sales by Timing of Revenue Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Point in time $ 45,273 $ 46,886 $ 82,203 $ 87,493 Over time 6,865 1,162 13,150 2,416 $ 52,138 $ 48,048 $ 95,353 $ 89,909 The Company's contract assets and liabilities are as follows (in thousands): As of Balance Sheet Classification June 30, 2020 December 31, 2019 Contract assets Prepaid expenses and other current assets $ 2,572 $ 2,449 Contract liabilities Deferred revenue 2,472 881 During the three and six months ended June 30, 2020 , the Company recognized revenue of $1.2 million and $1.5 million , respectively, that was included in the deferred revenue balances at the beginning of the periods as the performance obligations under the associated agreements were satisfied.

Concentrations of Credit and Ot

Concentrations of Credit and Other Risks	6 Months Ended
	Jun. 30, 2020
Risks and Uncertainties [Abstract]
Concentrations of Credit and Other Risks	Concentrations of Credit and Other Risks The following customers accounted for 10% or more of the Company's revenues for the periods presented: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Quick Laser Technology Co., Ltd. 15% 10% 12% * U.S. Government 12% * 11% * Raytheon Technologies 11% * 13% 10% *Represents less than 10% of total revenues Financial instruments that potentially expose the Company to concentrations of credit risk consist principally of accounts receivable. As of June 30, 2020 , one customer accounted for approximately 27% of net accounts receivable. As of December 31, 2019 , two customers accounted for approximately 48% of net accounts receivable. No other customers accounted for 10%

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	Fair Value of Financial Instruments The carrying amounts of certain of the Company’s financial instruments, including cash equivalents, accounts receivable and accounts payable, are shown at cost which approximates fair value due to the short-term nature of these instruments. The fair value of the Company’s term and revolving loans with Pacific Western Bank, also described in Note 12, approximates the carrying value due to the variable market rate used to calculate interest payments. The Company does not have any other significant financial assets or liabilities that are measured at fair value. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The standard describes a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value which are the following: • Level 1 Inputs: Observable inputs, such as quoted prices (unadjusted) in active markets for identical assets or liabilities at the measurement date. • Level 2 Inputs: Observable inputs, other than Level 1 prices, such as quoted prices in active markets for similar assets and liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 Inputs: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company’s financial instruments that are carried at fair value consist of Level 1 assets which include highly liquid investments and bank drafts classified as cash equivalents. The Company's fair value hierarchy for its financial instruments consists of cash equivalents as follows (in thousands): June 30, 2020 Level 1 Level 2 Level 3 Total Money market securities $ 74,074 $ — $ — $ 74,074 Commercial paper 4,168 — — 4,168 Total $ 78,242 $ — $ — $ 78,242 December 31, 2019 Level 1 Level 2 Level 3 Total Money market securities $ 94,260 $ — $ — $ 94,260 Commercial paper 2,401 — — 2,401 Total $ 96,661 $ — $ — $ 96,661

Inventory

Inventory	6 Months Ended
	Jun. 30, 2020
Inventory Disclosure [Abstract]
Inventory	Inventory Inventory is stated at the lower of average cost and net realizable value. Inventory consisted of the following (in thousands): As of June 30, 2020 December 31, 2019 Raw materials $ 18,923 $ 16,643 Work in process and semi-finished goods 19,580 17,723 Finished goods 12,108 11,765 $ 50,611 $ 46,131

Property, Plant and Equipment

Property, Plant and Equipment	6 Months Ended
	Jun. 30, 2020
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment	Property, Plant and Equipment Property, plant and equipment consist of the following (in thousands): As of Useful life (years) June 30, 2020 December 31, 2019 Computer hardware and software 3-5 $ 5,055 $ 4,764 Manufacturing and lab equipment 2-7 63,107 59,395 Office equipment and furniture 5-7 1,330 1,462 Leasehold improvements 2-12 20,910 20,759 Buildings 30 9,337 — Land N/A 3,399 — 103,138 86,380 Accumulated depreciation (61,789 ) (58,633 ) $ 41,349 $ 27,747 On March 31, 2020 , the Company purchased a commercial property in Camas, Washington that consists of approximately 21 acres of land and two buildings with approximately 165,000 square feet of office space, clean rooms and manufacturing space. The property was purchased "as is", and the Company intends to use the property as its new headquarters following the completion of certain renovations and modifications.

Intangible Assets and Goodwill

Intangible Assets and Goodwill	6 Months Ended
	Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets and Goodwill	Intangible Assets and Goodwill Intangibles The details of amortizing intangible assets are as follows (in thousands, except for estimated useful lives): As of Estimated useful life (in years) June 30, 2020 December 31, 2019 Patents 3 - 5 $ 6,586 $ 5,956 Development programs 2 - 4 7,200 7,200 13,786 13,156 Accumulated amortization (4,937 ) (3,150 ) $ 8,849 $ 10,006 Goodwill The carrying amount of goodwill by segment was as follows (in thousands): Laser Products Advanced Development Totals Balance, December 31, 2019 $ 1,387 $ 8,484 $ 9,872 Purchase price adjustment — 100 100 Balance, June 30, 2020 $ 1,387 $ 8,584 $ 9,972

Other Assets

Other Assets	6 Months Ended
	Jun. 30, 2020
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Other Assets	Other Assets Other assets consisted of the following (in thousands): As of June 30, 2020 December 31, 2019 Demonstration assets, net $ 2,252 $ 1,824 Deferred tax assets, net 72 72 Other 2,516 1,852 $ 4,840 $ 3,748 Demonstration (demo) assets are equipment that is used for demonstration and other purposes with existing and prospective customers. Demo assets are recorded at cost and amortized over an estimated useful life of approximately two years . Amortization expense was as follows for the periods presented (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Amortization expense $ 518 $ 433 $ 1,022 $ 901

Accrued Liabilities

Accrued Liabilities	6 Months Ended
	Jun. 30, 2020
Payables and Accruals [Abstract]
Accrued Liabilities	Accrued Liabilities Accrued liabilities consist of the following (in thousands): As of June 30, 2020 December 31, 2019 Accrued payroll and benefits $ 9,093 $ 8,208 Product warranty, current 1,918 1,683 Income tax payable 6 155 Other accrued expenses 1,162 1,559 $ 12,179 $ 11,605

Product Warranties

Product Warranties	6 Months Ended
	Jun. 30, 2020
Guarantees and Product Warranties [Abstract]
Product Warranties	Product Warranties The Company provides warranties on certain products and records a liability for the estimated future costs associated with warranty claims at the time revenue is recognized. The warranty liability is based on historical experience, any specifically identified failures, and its estimate of future costs. Product warranty liability activity for the six months ended June 30, 2020 and 2019 was as follows (in thousands): Six Months Ended June 30, 2020 2019 Product warranty liability, beginning $ 2,984 $ 4,555 Warranty charges incurred, net (1,531 ) (1,161 ) Provision for warranty charges, net of adjustments 2,271 249 Acquired warranty 100 — Product warranty liability, ending $ 3,824 $ 3,643 Less: current portion of product warranty liability (1,918 ) (2,002 ) Non-current portion of product warranty liability $ 1,906 $ 1,641

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Leases See Note 13. Credit Facilities The Company has a $40.0 million revolving line of credit (LOC) with Pacific Western Bank which is secured by its assets and expires in September 2021. Interest on the LOC is based primarily on the London Interbank Offered Rate (LIBOR), or an alternative rate such as the Prime rate, plus or minus, respectively, a margin based on certain liquidity levels. The loan agreement contains restrictive and financial covenants and bears an unused credit fee of 0.20% on an annualized basis. As of June 30, 2020 , $15.0 million was outstanding under the LOC and is classified in the Company's consolidated balance sheet as long-term debt as no payments are due currently. The Company was in compliance with all covenants under the loan agreement, and $24.5 million was available for borrowing under the LOC as of June 30, 2020 . Contractual Commitments and Purchase Obligations The Company's purchase obligations and other contractual obligations have not materially changed as of June 30, 2020 from those disclosed in its Annual Report on Form 10-K for the year ended December 31, 2019 . Legal Matters From time to time, the Company may be subject to legal proceedings and claims in the ordinary course of business. As of June 30, 2020 , and as of the filing of this Quarterly Report on Form 10-Q, the Company was not involved in any material legal proceedings.

Leases

Leases	6 Months Ended
	Jun. 30, 2020
Leases [Abstract]
Leases	Leases Adoption of ASC 842 The Company adopted ASU 2016-02, Leases (Topic 842) and related amendments, using the modified transition approach with an effective date of January 1, 2020. The modified transition approach permits a company to use its effective date as the date of initial application to apply the standard to its leases, and, therefore, not restate comparative prior period financial information. Consequently, prior period financial information is not updated, and the disclosures required under the new standard will not be provided for dates and periods prior to January 1, 2020. The adoption of the lease standard did not have any effect on our previously reported consolidated financial statements and did not result in a cumulative catch-up adjustment to opening equity. Transition Practical Expedients and Elections The standard provides several optional practical expedients in transition. The Company elected the ‘package of practical expedients,’ which permits it to not reassess, under the new standard, the Company's prior conclusions about lease identification, lease classification and initial direct costs. The Company did not elect the use-of-hindsight or the practical expedient pertaining to land easements; the latter not being applicable to it. The new standard also provides practical expedients for an entity’s ongoing accounting. The Company elected the short-term lease recognition exemption; for those leases that qualify, the Company will not recognize a right-of-use asset or lease liability, and this includes not recognizing right-of-use assets or lease liabilities for existing short-term leases of those assets in transition. The Company also elected the practical expedient to not separate lease and non-lease components for all its leases. Lease Accounting We lease real estate space under non-cancelable operating lease agreements for commercial and industrial space, as well as our corporate headquarters located in Vancouver, Washington. Our facilities-related operating leases have remaining terms of 0.25 to 14.9 years, and some leases include options to extend up to 15 years. We also have leases for automobiles, manufacturing and office and computer equipment with remaining lease terms of 0.3 to 3.7 years. These leases are primarily operating leases; financing leases are not material. We did not include any of our renewal options in our lease terms for calculating our lease liability as we are not reasonably certain we will exercise the options at this time. The weighted-average remaining lease term for our lease obligations was 9.1 years at June 30, 2020 , and the weighted-average discount rate was 3.6% . The components of lease expense related to operating leases were as follows (in thousands): Three Months Ended Six Months Ended Lease expense: Operating lease expense $ 651 $ 1,420 Short-term lease expense 31 118 Variable and other lease expense 107 253 $ 789 $ 1,791 Future minimum payments under our non-cancelable lease obligations were as follows as of June 30, 2020 (in thousands): Remainder of 2020 $ 1,582 2021 2,366 2022 1,711 2023 1,163 2024 1,105 Thereafter 5,582 $ 13,509

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Income Tax Provision To calculate the interim tax provision, at the end of each interim period the Company estimates the annual effective tax rate and applies that to its ordinary quarterly earnings. The effect of changes in the enacted tax laws or rates is recognized in the interim period in which the change occurs. The computation of the annual estimated effective tax rate at each interim period requires certain estimates and judgments including, but not limited to, the expected operating income for the year, projections of the proportion of income earned and taxed in foreign jurisdictions, permanent differences between book and tax amounts, and the likelihood of recovering deferred tax assets generated in the current year. The accounting estimates used to compute the provision for income taxes may change as new events occur, additional information is obtained, or the tax environment changes. The Company’s effective tax rate for the three and six months ended June 30, 2020 and 2019 differs from the U.S. statutory rate due to the U.S. and China valuation allowance, foreign income taxed at local statutory rates, and accrued withholding taxes. For the six months ended June 30, 2020 , the Company reported U.S. and China pre-tax losses. The Company has not yet been able to establish a sustained level of profitability in the U.S. and China, or other sufficient significant positive evidence, to conclude that its U.S. and China deferred tax assets are more likely than not to be realized. Therefore, the Company continues to maintain a valuation allowance against its U.S. and China deferred tax assets.

Stockholders' Equity and Stock-

Stockholders' Equity and Stock-Based Compensation	6 Months Ended
	Jun. 30, 2020
Equity [Abstract]
Stockholders' Equity and Stock-Based Compensation	Stockholders' Equity and Stock-Based Compensation Restricted Stock Awards and Units Restricted stock award (RSA) and restricted stock unit (RSU) activity under our equity incentive plan was as follows (in thousands, except weighted average grant date fair values): Number of Restricted Stock Awards Weighted-Average Grant Date Fair Value RSAs at December 31, 2019 459 $ 20.49 Awards granted — — Awards vested (72 ) 21.40 Awards forfeited and modified — — RSAs at June 30, 2020 387 $ 20.32 Number of Restricted Stock Units Weighted-Average Grant Date Fair Value RSUs at December 31, 2019 2,407 $ 19.47 Awards granted 99 14.28 Awards vested (293 ) 22.53 Awards forfeited & modified (53 ) 19.29 RSUs at June 30, 2020 2,160 $ 18.81 The total fair value of RSAs and RSUs vested during the six months ended June 30, 2020 was $1.5 million and $6.6 million , respectively. Awards outstanding as of June 30, 2020 include 0.5 million performance-based awards that will vest upon meeting certain performance criteria. Stock Options The following table summarizes the Company’s stock option activity during the six months ended June 30, 2020 (in thousands, except weighted average exercise prices): Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value Outstanding, December 31, 2019 4,239 $1.54 6.1 $79,443 Options exercised (518 ) $1.65 Options canceled (10 ) $1.16 Outstanding, June 30, 2020 3,711 $1.53 5.7 $76,948 Options exercisable at June 30, 2020 2,871 $1.04 5.4 $60,906 Options vested as of June 30, 2020 and expected to vest after June 30, 2020 3,711 $1.53 5.7 $76,948 Total intrinsic value of options exercised for the six months ended June 30, 2020 and 2019 was $8.8 million and $10.4 million , respectively. The Company received proceeds of $0.9 million and $0.9 million from the exercise of options for the six months ended June 30, 2020 and 2019 , respectively. Employee Stock Purchase Plan Information related to activity under our Employee Stock Purchase Plan (ESPP) was as follows (in thousands, except weighted- average per share prices): Six Months Ended June 30, 2020 Shares issued 39 Weighted-average per share purchase price $ 17.53 Weighted-average per share discount from the fair value of the Company's common stock on date of issuance $ 3.85 Stock-Based Compensation Total stock-based compensation expense was included in our consolidated statements of operations as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cost of revenues $ 339 $ 267 $ 684 $ 476 Research and development 2,275 711 4,057 1,269 Sales, general and administrative 3,423 1,403 5,059 2,545 $ 6,037 $ 2,381 $ 9,800 $ 4,290 Unrecognized Compensation Costs As of June 30, 2020 , total unrecognized stock-based compensation related to unvested stock awards was $40.9 million , which will be recognized over the next five years as follows (in thousands): Remainder of 2020 $ 9,086 2021 15,164 2022 11,001 2023 5,623 2024 20 $ 40,894 Total unrecognized stock-based compensation includes approximately 0.3 million awards that do not have a measurement date and have been valued as of June 30, 2020 . Common Stock Repurchase Plan On November 14, 2019 , the Company's Board of Directors authorized the repurchase of up to $10.0 million of its outstanding shares of common stock. This program is intended to offset the potentially dilutive effects of restricted stock grants awarded in connection with the acquisition of Nutronics, Inc. (See Note 2 for additional information.) As of June 30, 2020 , no repurchases had been executed under the program.

Segment Information

Segment Information	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
Segment Information	Segment Information The Company operates in two reportable segments consisting of the Laser Products segment and the Advanced Development segment. The following table summarizes the operating results by reportable segment for the period presented (dollars in thousands): Three Months Ended June 30, 2020 Laser Products Advanced Development Corporate and Other Totals Revenue $ 45,104 $ 7,034 $ — $ 52,138 Gross profit $ 12,846 $ 549 $ (339 ) $ 13,056 Gross margin 28.5 % 7.8 % NM 25.0 % Six Months Ended June 30, 2020 Laser Products Advanced Development Corporate and Other Totals Revenue $ 82,034 $ 13,319 $ — $ 95,353 Gross profit $ 22,221 $ 1,020 $ (684 ) $ 22,557 Gross margin 27.1 % 7.7 % NM 23.7 % Corporate and Other is unallocated expenses related to stock-based compensation. Since the Company operated only in the Laser Products segment prior to the acquisition of Nutronics in November 2019 , no comparative information is presented for 2019 . Except as described in Note 7, there have been no material changes to the geographic locations of the Company’s long‑lived assets, net, based on the location of the assets, as disclosed in our Annual Report on Form 10-K for the year ended December 31, 2019 .

Net Income (Loss) per Share

Net Income (Loss) per Share	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Net Income (Loss) per Share	Net Income (Loss) per Share The following table sets forth the calculation of basic and diluted net loss per share during the periods presented (in thousands, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Numerator: Net loss $ (6,830 ) $ (155 ) $ (14,305 ) $ (1,390 ) Denominator: Weighted-average shares, basic 38,177 37,065 38,003 36,880 Weighted-average shares, diluted 38,177 37,065 38,003 36,880 Net loss per share: Basic $ (0.18 ) $ — $ (0.38 ) $ (0.04 ) Diluted $ (0.18 ) $ — $ (0.38 ) $ (0.04 ) The following potentially dilutive shares of restricted stock awards and units, employee stock purchase plan, and stock options were not included in the calculation of diluted shares above as the effect would have been anti‑dilutive (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Restricted stock units and awards 2,293 1,906 2,260 1,906 Employee stock purchase plan 20 40 — 75 Common stock options 3,711 4,615 3,711 4,615 Total 6,024 6,561 5,971 6,596

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2020
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events On July 1, 2020, the Company entered into a lease amendment related to its Longmont, Colorado facilities. The agreement included lease modifications that extended the lease term on the Company's existing premises and added a new right-of-use asset consisting of expansion premises. The lease, as modified, includes a minimum lease term of five years . The lease modifications together resulted in increases to the Company's balance sheet of approximately $2.0 million each in right-of-use assets and lease liabilities as of the lease modification date. On July 24, 2020, the Company paid in full the $15.0 million outstanding principal balance on the LOC with Pacific Western Bank. As of that date, $39.5 million was available for borrowing under the LOC. On July 30, 2020, the Company acquired 100% of the equity interests in OPI Photonics S.r.l. (OPI), an Italian limited liability company, pursuant to a Sale and Purchase Agreement between nLIGHT, Inc. and selling stockholders of OPI for a purchase price of €1.55 million in cash, subject to adjustment for earn-out and hold-back amounts. OPI is located in Turin, Italy and develops high power multi-emitter laser diode sources and innovative devices for kilowatt fiber laser beam management, including beam collimation, coupling and switching.

Basis of Presentation and New_2

Basis of Presentation and New Accounting Pronouncements (Policies)	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying consolidated financial statements of nLIGHT, Inc. and its wholly owned subsidiaries (Company) have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) and pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). The unaudited financial information reflects, in the opinion of management, all adjustments necessary for a fair presentation of financial position, results of operations, stockholders’ equity, and cash flows for the interim periods presented. The results reported for the interim period presented are not necessarily indicative of results that may be expected for the full year. These consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2019 Annual Report on Form 10-K.
Reclassifications	Reclassifications Certain immaterial reclassifications were made to the prior period financial statements to conform to the current period presentation.
New Accounting Pronouncements	New Accounting Pronouncements ASU 2016-02, ASU 2018-10, ASU 2018-11 and ASU 2019-01 The Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-02, Leases (Topic 842), in February 2016. ASU 2016-02 requires the recognition of right-of-use (ROU) assets and lease liabilities on the balance sheet for virtually all leases, other than leases that meet the definition of short-term. ASU 2016-02 was amended in July 2018 , Ma rch 2019 and February 2020. The Company adopted ASU 2016-02, as amended, on January 1, 2020 using the modified transition approach, resulting in the recognition of operating lease ROU assets and lease liabilities of $7.6 million and $7.9 million , respectively. Refer to Note 13 for additional information. ASU 2016-13, ASU 2018-19, ASU 2019-04, ASU 2019-05 and ASU 2020-03 The FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , in June 2016. ASU 2016-13 replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. For assets measured at amortized cost, the new standard requires that the income statement reflects the measurement of credit losses for newly recognized financial assets, as well as the expected increases or decreases of expected credit losses that have taken place during the period. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. ASU 2016-13 was amended in November 2018, April 2019 and March 2020. ASU 2016-13, as amended, is effective for annual reporting periods of emerging growth companies beginning after December 15, 2020, including interim periods within those fiscal years. An entity will apply the new standard, as amended, using a modified-retrospective approach and record a cumulative effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. The Company is currently evaluating the impact on its consolidated financial statements and cannot reasonably estimate the impact on its financial statements at this time. ASU 2020-04 FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, in March 2020. ASU 2020-04 provides optional practical expedients and exceptions for applying U.S. GAAP to contracts and other transactions affected by reference rate reform if certain criteria are met. ASU 2020-04 applies only to contracts and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. ASU 2020-04 is effective for all entities for the period March 12, 2020 through December 31, 2022, and will not apply to contract modifications made after December 31, 2022. If elected, the optional expedients for contract modifications must be applied consistently for all eligible contracts or eligible transactions. Adoption of the ASU as of its effective date had no material impact on the Company's financial position, results of operations and cash flows.
Inventory	Inventory is stated at the lower of average cost and net realizable value.
Product Warranties	The Company provides warranties on certain products and records a liability for the estimated future costs associated with warranty claims at the time revenue is recognized. The warranty liability is based on historical experience, any specifically identified failures, and its estimate of future costs.

Acquisition (Tables)

Acquisition (Tables)	6 Months Ended
	Jun. 30, 2020
Business Combinations [Abstract]
Summary of Assets Acquired and Liabilities Assumed	The table below summarizes the assets acquired and liabilities assumed (in thousands): Valuation as of Balances as of November 14, 2019 Adjustments June 30, 2020 Cash $ 33 $ — $ 33 Accounts receivable 635 — 635 Contract assets 456 — 456 Inventory 255 — 255 Other current assets 201 — 201 Property, plant and equipment 1,019 — 1,019 Security deposits 46 — 46 Tangible assets acquired 2,645 — 2,645 Accounts payable (278 ) — (278 ) Other liabilities (477 ) (100 ) (577 ) Deferred revenue (141 ) — (141 ) Liabilities assumed (896 ) (100 ) (996 ) Total tangible assets acquired and liabilities assumed 1,749 (100 ) 1,649 Intangible assets 7,200 7,200 Goodwill 8,484 100 8,584 Net assets acquired $ 17,433 $ — $ 17,433
Schedule of Finite-Lived Intangible Assets Acquired	The intangible assets as of the November 14, 2019 acquisition date were as follows (in thousands): Amount Weighted-Average Useful Life (in years) Development programs $ 7,200 3.1

Revenue (Tables)

Revenue (Tables)	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Schedule of Sales by End Market	The following tables represent a disaggregation of revenue from contracts with customers for the periods presented (in thousands): Sales by End Market Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Industrial $ 22,630 $ 20,920 $ 38,620 $ 39,044 Microfabrication 14,300 18,094 24,719 32,627 Aerospace and Defense 15,208 9,034 32,014 18,238 $ 52,138 $ 48,048 $ 95,353 $ 89,909
Schedule of Sales by Geography	Sales by Geography Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 North America $ 20,494 $ 18,142 $ 41,540 $ 33,912 China 21,495 18,201 33,537 31,854 Rest of World 10,149 11,705 20,276 24,143 $ 52,138 $ 48,048 $ 95,353 $ 89,909
Schedule of Sales by Timing of Revenue	Sales by Timing of Revenue Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Point in time $ 45,273 $ 46,886 $ 82,203 $ 87,493 Over time 6,865 1,162 13,150 2,416 $ 52,138 $ 48,048 $ 95,353 $ 89,909
Schedule of Contract Assets and Liabilities	The Company's contract assets and liabilities are as follows (in thousands): As of Balance Sheet Classification June 30, 2020 December 31, 2019 Contract assets Prepaid expenses and other current assets $ 2,572 $ 2,449 Contract liabilities Deferred revenue 2,472 881

Concentrations of Credit and _2

Concentrations of Credit and Other Risks (Tables)	6 Months Ended
	Jun. 30, 2020
Risks and Uncertainties [Abstract]
Schedule of Concentration of Credit	The following customers accounted for 10% or more of the Company's revenues for the periods presented: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Quick Laser Technology Co., Ltd. 15% 10% 12% * U.S. Government 12% * 11% * Raytheon Technologies 11% * 13% 10% *Represents less than 10% of total revenues

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Schedule of Fair Value Hierarchy for its Cash Equivalents	The Company's fair value hierarchy for its financial instruments consists of cash equivalents as follows (in thousands): June 30, 2020 Level 1 Level 2 Level 3 Total Money market securities $ 74,074 $ — $ — $ 74,074 Commercial paper 4,168 — — 4,168 Total $ 78,242 $ — $ — $ 78,242 December 31, 2019 Level 1 Level 2 Level 3 Total Money market securities $ 94,260 $ — $ — $ 94,260 Commercial paper 2,401 — — 2,401 Total $ 96,661 $ — $ — $ 96,661

Inventory (Tables)

Inventory (Tables)	6 Months Ended
	Jun. 30, 2020
Inventory Disclosure [Abstract]
Schedule of Components of Inventory	Inventory consisted of the following (in thousands): As of June 30, 2020 December 31, 2019 Raw materials $ 18,923 $ 16,643 Work in process and semi-finished goods 19,580 17,723 Finished goods 12,108 11,765 $ 50,611 $ 46,131

Property, Plant and Equipment (

Property, Plant and Equipment (Tables)	6 Months Ended
	Jun. 30, 2020
Property, Plant and Equipment [Abstract]
Summary of Property and equipment	Property, plant and equipment consist of the following (in thousands): As of Useful life (years) June 30, 2020 December 31, 2019 Computer hardware and software 3-5 $ 5,055 $ 4,764 Manufacturing and lab equipment 2-7 63,107 59,395 Office equipment and furniture 5-7 1,330 1,462 Leasehold improvements 2-12 20,910 20,759 Buildings 30 9,337 — Land N/A 3,399 — 103,138 86,380 Accumulated depreciation (61,789 ) (58,633 ) $ 41,349 $ 27,747

Intangible Assets and Goodwill

Intangible Assets and Goodwill (Tables)	6 Months Ended
	Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets	The details of amortizing intangible assets are as follows (in thousands, except for estimated useful lives): As of Estimated useful life (in years) June 30, 2020 December 31, 2019 Patents 3 - 5 $ 6,586 $ 5,956 Development programs 2 - 4 7,200 7,200 13,786 13,156 Accumulated amortization (4,937 ) (3,150 ) $ 8,849 $ 10,006
Schedule of Goodwill	The carrying amount of goodwill by segment was as follows (in thousands): Laser Products Advanced Development Totals Balance, December 31, 2019 $ 1,387 $ 8,484 $ 9,872 Purchase price adjustment — 100 100 Balance, June 30, 2020 $ 1,387 $ 8,584 $ 9,972

Other Assets (Tables)

Other Assets (Tables)	6 Months Ended
	Jun. 30, 2020
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Schedule of Other Assets	Other assets consisted of the following (in thousands): As of June 30, 2020 December 31, 2019 Demonstration assets, net $ 2,252 $ 1,824 Deferred tax assets, net 72 72 Other 2,516 1,852 $ 4,840 $ 3,748 Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Amortization expense $ 518 $ 433 $ 1,022 $ 901

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	6 Months Ended
	Jun. 30, 2020
Payables and Accruals [Abstract]
Schedule of Accrued Liabilities	Accrued liabilities consist of the following (in thousands): As of June 30, 2020 December 31, 2019 Accrued payroll and benefits $ 9,093 $ 8,208 Product warranty, current 1,918 1,683 Income tax payable 6 155 Other accrued expenses 1,162 1,559 $ 12,179 $ 11,605

Product Warranties (Tables)

Product Warranties (Tables)	6 Months Ended
	Jun. 30, 2020
Guarantees and Product Warranties [Abstract]
Schedule of Reconciliation of the Changes in the Aggregate Product Warranty Liability	Product warranty liability activity for the six months ended June 30, 2020 and 2019 was as follows (in thousands): Six Months Ended June 30, 2020 2019 Product warranty liability, beginning $ 2,984 $ 4,555 Warranty charges incurred, net (1,531 ) (1,161 ) Provision for warranty charges, net of adjustments 2,271 249 Acquired warranty 100 — Product warranty liability, ending $ 3,824 $ 3,643 Less: current portion of product warranty liability (1,918 ) (2,002 ) Non-current portion of product warranty liability $ 1,906 $ 1,641

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2020
Leases [Abstract]
Schedule of Components of Lease Expense	The components of lease expense related to operating leases were as follows (in thousands): Three Months Ended Six Months Ended Lease expense: Operating lease expense $ 651 $ 1,420 Short-term lease expense 31 118 Variable and other lease expense 107 253 $ 789 $ 1,791
Schedule of Future Minimum Payments Under Non-Cancelable Lease Obligations	Future minimum payments under our non-cancelable lease obligations were as follows as of June 30, 2020 (in thousands): Remainder of 2020 $ 1,582 2021 2,366 2022 1,711 2023 1,163 2024 1,105 Thereafter 5,582 $ 13,509

Stockholders' Equity and Stoc_2

Stockholders' Equity and Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2020
Equity [Abstract]
Schedule of Restricted Stock Awards and Units	Restricted stock award (RSA) and restricted stock unit (RSU) activity under our equity incentive plan was as follows (in thousands, except weighted average grant date fair values): Number of Restricted Stock Awards Weighted-Average Grant Date Fair Value RSAs at December 31, 2019 459 $ 20.49 Awards granted — — Awards vested (72 ) 21.40 Awards forfeited and modified — — RSAs at June 30, 2020 387 $ 20.32 Number of Restricted Stock Units Weighted-Average Grant Date Fair Value RSUs at December 31, 2019 2,407 $ 19.47 Awards granted 99 14.28 Awards vested (293 ) 22.53 Awards forfeited & modified (53 ) 19.29 RSUs at June 30, 2020 2,160 $ 18.81
Schedule of Stock Option Activity	The following table summarizes the Company’s stock option activity during the six months ended June 30, 2020 (in thousands, except weighted average exercise prices): Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Aggregate Intrinsic Value Outstanding, December 31, 2019 4,239 $1.54 6.1 $79,443 Options exercised (518 ) $1.65 Options canceled (10 ) $1.16 Outstanding, June 30, 2020 3,711 $1.53 5.7 $76,948 Options exercisable at June 30, 2020 2,871 $1.04 5.4 $60,906 Options vested as of June 30, 2020 and expected to vest after June 30, 2020 3,711 $1.53 5.7 $76,948
Schedule of Employee Stock Purchase Plan	Information related to activity under our Employee Stock Purchase Plan (ESPP) was as follows (in thousands, except weighted- average per share prices): Six Months Ended June 30, 2020 Shares issued 39 Weighted-average per share purchase price $ 17.53 Weighted-average per share discount from the fair value of the Company's common stock on date of issuance $ 3.85
Schedule of Stock-based Compensation Expense	Total stock-based compensation expense was included in our consolidated statements of operations as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cost of revenues $ 339 $ 267 $ 684 $ 476 Research and development 2,275 711 4,057 1,269 Sales, general and administrative 3,423 1,403 5,059 2,545 $ 6,037 $ 2,381 $ 9,800 $ 4,290
Schedule of Share-Based Payment Arrangement, Nonvested Award, Cost	As of June 30, 2020 , total unrecognized stock-based compensation related to unvested stock awards was $40.9 million , which will be recognized over the next five years as follows (in thousands): Remainder of 2020 $ 9,086 2021 15,164 2022 11,001 2023 5,623 2024 20 $ 40,894

Segment Information (Tables)

Segment Information (Tables)	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
Summary of Operating Results by Reportable Segment	The following table summarizes the operating results by reportable segment for the period presented (dollars in thousands): Three Months Ended June 30, 2020 Laser Products Advanced Development Corporate and Other Totals Revenue $ 45,104 $ 7,034 $ — $ 52,138 Gross profit $ 12,846 $ 549 $ (339 ) $ 13,056 Gross margin 28.5 % 7.8 % NM 25.0 % Six Months Ended June 30, 2020 Laser Products Advanced Development Corporate and Other Totals Revenue $ 82,034 $ 13,319 $ — $ 95,353 Gross profit $ 22,221 $ 1,020 $ (684 ) $ 22,557 Gross margin 27.1 % 7.7 % NM 23.7 %

Net Income (Loss) per Share (Ta

Net Income (Loss) per Share (Tables)	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Schedule of Basic and Diluted Net Income (Loss) per Share	The following table sets forth the calculation of basic and diluted net loss per share during the periods presented (in thousands, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Numerator: Net loss $ (6,830 ) $ (155 ) $ (14,305 ) $ (1,390 ) Denominator: Weighted-average shares, basic 38,177 37,065 38,003 36,880 Weighted-average shares, diluted 38,177 37,065 38,003 36,880 Net loss per share: Basic $ (0.18 ) $ — $ (0.38 ) $ (0.04 ) Diluted $ (0.18 ) $ — $ (0.38 ) $ (0.04 )
Schedule of Potentially Dilutive Shares Not Included in Calculation of Diluted Shares	The following potentially dilutive shares of restricted stock awards and units, employee stock purchase plan, and stock options were not included in the calculation of diluted shares above as the effect would have been anti‑dilutive (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Restricted stock units and awards 2,293 1,906 2,260 1,906 Employee stock purchase plan 20 40 — 75 Common stock options 3,711 4,615 3,711 4,615 Total 6,024 6,561 5,971 6,596

Basis of Presentation and New_3

Basis of Presentation and New Accounting Pronouncements - New Accounting Pronouncements (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2018	Jan. 01, 2020
Accounting Policies [Abstract]
Accounting Standards Update [Extensible List]	us-gaap:AccountingStandardsUpdate201602Member	us-gaap:AccountingStandardsUpdate201807Member
Lease right-of-use assets	$ 11,080		$ 7,600
Operating lease liabilities			$ 7,900

Acquisition - Narrative (Detail

Acquisition - Narrative (Details) - USD ($) $ in Thousands	Nov. 14, 2019	Jun. 30, 2020	Jun. 30, 2020
Business Acquisition [Line Items]
Increase in other liabilities		$ 100
Nutronics, Inc.
Business Acquisition [Line Items]
Acquisition consideration, cash	$ 17,400
Increase in other liabilities			$ 100

Acquisition - Assets Acquired a

Acquisition - Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	6 Months Ended	8 Months Ended
	Jun. 30, 2020	Jun. 30, 2020	Dec. 31, 2019	Nov. 14, 2019
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net [Abstract]
Other liabilities	$ (100)
Goodwill	9,972	$ 9,972	$ 9,872
Goodwill	100
Nutronics, Inc.
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net [Abstract]
Cash	33	33		$ 33
Accounts receivable	635	635		635
Contract assets	456	456		456
Inventory	255	255		255
Other current assets	201	201		201
Property, plant and equipment	1,019	1,019		1,019
Security deposits	46	46		46
Tangible assets acquired	2,645	2,645		2,645
Accounts payable	(278)	(278)		(278)
Other liabilities	(577)	(577)		(477)
Other liabilities		(100)
Deferred revenue	(141)	(141)		(141)
Liabilities assumed	(996)	(996)		(896)
Liabilities assumed		(100)
Total tangible assets acquired and liabilities assumed	1,649	1,649		1,749
Total tangible assets acquired and liabilities assumed		(100)
Intangible assets	7,200	7,200		7,200
Goodwill	8,584	8,584		8,484
Goodwill		100
Net assets acquired	$ 17,433	$ 17,433		$ 17,433

Acquisition - Intangible Assets

Acquisition - Intangible Assets (Details) - Nutronics, Inc. - USD ($) $ in Thousands	Nov. 14, 2019	Jun. 30, 2020
Business Acquisition [Line Items]
Amount	$ 7,200	$ 7,200
Development programs
Business Acquisition [Line Items]
Amount	$ 7,200
Weighted-Average Useful Life (in years)	3 years 1 month 6 days

Revenue - Disaggregation of Rev

Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Disaggregation of Revenue [Line Items]
Total revenue	$ 52,138	$ 48,048	$ 95,353	$ 89,909
Point in time
Disaggregation of Revenue [Line Items]
Total revenue	45,273	46,886	82,203	87,493
Over time
Disaggregation of Revenue [Line Items]
Total revenue	6,865	1,162	13,150	2,416
North America
Disaggregation of Revenue [Line Items]
Total revenue	20,494	18,142	41,540	33,912
China
Disaggregation of Revenue [Line Items]
Total revenue	21,495	18,201	33,537	31,854
Rest of World
Disaggregation of Revenue [Line Items]
Total revenue	10,149	11,705	20,276	24,143
Industrial
Disaggregation of Revenue [Line Items]
Total revenue	22,630	20,920	38,620	39,044
Microfabrication
Disaggregation of Revenue [Line Items]
Total revenue	14,300	18,094	24,719	32,627
Aerospace and Defense
Disaggregation of Revenue [Line Items]
Total revenue	$ 15,208	$ 9,034	$ 32,014	$ 18,238

Revenue - Contract Assets and L

Revenue - Contract Assets and Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Revenue from Contract with Customer [Abstract]
Contract assets	$ 2,572	$ 2,449
Contract liabilities	$ 2,472	$ 881

Revenue - Narrative (Details)

Revenue - Narrative (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Revenue recognized, previously included in customer advances and deferred revenue	$ 1.2	$ 1.5

Concentrations of Credit and _3

Concentrations of Credit and Other Risks (Details) - Customer Concentration Risk	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Sales Revenue | Quick Laser Technology Co., Ltd.
Concentration Risk [Line Items]
Concentration risk, percentage	15.00%	10.00%	12.00%
Sales Revenue | U.S. Government
Concentration Risk [Line Items]
Concentration risk, percentage	12.00%		11.00%
Sales Revenue | Raytheon Technologies
Concentration Risk [Line Items]
Concentration risk, percentage	11.00%		13.00%	10.00%
Accounts receivable | One Customer
Concentration Risk [Line Items]
Concentration risk, percentage			27.00%
Accounts receivable | Two Customers
Concentration Risk [Line Items]
Concentration risk, percentage					48.00%

Fair Value of Financial Instr_3

Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	$ 78,242	$ 96,661
Level 1
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	78,242	96,661
Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	0	0
Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	0	0
Money market securities
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	74,074	94,260
Money market securities | Level 1
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	74,074	94,260
Money market securities | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	0	0
Money market securities | Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	0	0
Commercial paper
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	4,168	2,401
Commercial paper | Level 1
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	4,168	2,401
Commercial paper | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	0	0
Commercial paper | Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents, fair value	$ 0	$ 0

Inventory (Details)

Inventory (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Inventory Disclosure [Abstract]
Raw materials	$ 18,923	$ 16,643
Work in process and semi-finished goods	19,580	17,723
Finished goods	12,108	11,765
Inventory	$ 50,611	$ 46,131

Property, Plant and Equipment_2

Property, Plant and Equipment (Details) ft² in Thousands, $ in Thousands	6 Months Ended
	Jun. 30, 2020USD ($)	Mar. 31, 2020aft²building	Dec. 31, 2019USD ($)
Property, Plant and Equipment, Net [Abstract]
Property and equipment, gross	$ 103,138		$ 86,380
Accumulated depreciation	(61,789)		(58,633)
Property and equipment, net	41,349		27,747
Computer hardware and software
Property, Plant and Equipment, Net [Abstract]
Property and equipment, gross	$ 5,055		4,764
Computer hardware and software | Minimum
Property, Plant and Equipment [Line Items]
Useful life (years)	3 years
Computer hardware and software | Maximum
Property, Plant and Equipment [Line Items]
Useful life (years)	5 years
Manufacturing and lab equipment
Property, Plant and Equipment, Net [Abstract]
Property and equipment, gross	$ 63,107		59,395
Manufacturing and lab equipment | Minimum
Property, Plant and Equipment [Line Items]
Useful life (years)	2 years
Manufacturing and lab equipment | Maximum
Property, Plant and Equipment [Line Items]
Useful life (years)	7 years
Office equipment and furniture
Property, Plant and Equipment, Net [Abstract]
Property and equipment, gross	$ 1,330		1,462
Office equipment and furniture | Minimum
Property, Plant and Equipment [Line Items]
Useful life (years)	5 years
Office equipment and furniture | Maximum
Property, Plant and Equipment [Line Items]
Useful life (years)	7 years
Leasehold improvements
Property, Plant and Equipment, Net [Abstract]
Property and equipment, gross	$ 20,910		20,759
Leasehold improvements | Minimum
Property, Plant and Equipment [Line Items]
Useful life (years)	2 years
Leasehold improvements | Maximum
Property, Plant and Equipment [Line Items]
Useful life (years)	12 years
Buildings
Property, Plant and Equipment [Line Items]
Useful life (years)	30 years
Property, Plant and Equipment, Net [Abstract]
Property and equipment, gross	$ 9,337		0
Land
Property, Plant and Equipment, Net [Abstract]
Property and equipment, gross	$ 3,399		$ 0
Camas, Washington
Property, Plant and Equipment, Net [Abstract]
Area of land | a		21
Number of buildings | building		2
Area of office space | ft²		165

Intangible Assets and Goodwil_2

Intangible Assets and Goodwill - Intangible Assets (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	$ 13,786	$ 13,156
Accumulated amortization	(4,937)	(3,150)
Net value	8,849	10,006
Patents
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	6,586	5,956
Development programs
Finite-Lived Intangible Assets [Line Items]
Gross carrying amount	$ 7,200	$ 7,200
Minimum | Patents
Finite-Lived Intangible Assets [Line Items]
Average amortization period	3 years
Minimum | Development programs
Finite-Lived Intangible Assets [Line Items]
Average amortization period	2 years
Maximum | Patents
Finite-Lived Intangible Assets [Line Items]
Average amortization period	5 years
Maximum | Development programs
Finite-Lived Intangible Assets [Line Items]
Average amortization period	4 years

Intangible Assets and Goodwil_3

Intangible Assets and Goodwill - Goodwill (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2020USD ($)
Goodwill [Roll Forward]
Goodwill	$ 9,872
Purchase price adjustment	100
Goodwill	9,972
Laser Products
Goodwill [Roll Forward]
Goodwill	1,387
Purchase price adjustment	0
Goodwill	1,387
Advanced Development
Goodwill [Roll Forward]
Goodwill	8,484
Purchase price adjustment	100
Goodwill	$ 8,584

Other Assets (Details)

Other Assets (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Other Assets, Noncurrent Disclosure [Abstract]
Demonstration assets, net	$ 2,252		$ 2,252		$ 1,824
Deferred tax assets, net	72		72		72
Other	2,516		2,516		1,852
Other assets	4,840		$ 4,840		$ 3,748
Useful life of demonstration assets			2 years
Amortization expense	$ 518	$ 433	$ 1,022	$ 901

Accrued Liabilities (Details)

Accrued Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Payables and Accruals [Abstract]
Accrued payroll and benefits	$ 9,093	$ 8,208
Product warranty, current	1,918	1,683
Income tax payable	6	155
Other accrued expenses	1,162	1,559
Total accrued liabilities	$ 12,179	$ 11,605

Product Warranties (Details)

Product Warranties (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Movement in Standard Product Warranty Accrual [Roll Forward]
Product warranty liability, beginning	$ 2,984	$ 4,555
Warranty charges incurred, net	(1,531)	(1,161)
Provision for warranty charges, net of adjustments	2,271	249
Acquired warranty	100	0
Product warranty liability, ending	3,824	3,643
Less: current portion of product warranty liability	(1,918)	(2,002)
Non-current portion of product warranty liability	$ 1,906	$ 1,641

Commitments and Contingencies -

Commitments and Contingencies - Narrative (Details) - Revolving credit facility - Line of credit	6 Months Ended
	Jun. 30, 2020USD ($)
Line of Credit Facility [Line Items]
Revolving line of credit, borrowing capacity	$ 40,000,000
Unused credit fee (percent)	0.20%
Outstanding	$ 15,000,000
Available borrowing capacity	$ 24,500,000

Leases - Narrative (Details)

Leases - Narrative (Details)	Jun. 30, 2020
Lessee, Lease, Description [Line Items]
Weighted-average remaining lease term for operating leases	9 years 1 month 6 days
Weighted-average discount rate for operating leases	3.60%
Operating Leases, Excluding Automobiles
Lessee, Lease, Description [Line Items]
Renewal lease term	15 years
Operating Leases, Excluding Automobiles | Minimum
Lessee, Lease, Description [Line Items]
Remaining lease term	3 months
Operating Leases, Excluding Automobiles | Maximum
Lessee, Lease, Description [Line Items]
Remaining lease term	14 years 10 months 24 days
Operating Leases, Automobiles | Minimum
Lessee, Lease, Description [Line Items]
Remaining lease term	3 months 18 days
Operating Leases, Automobiles | Maximum
Lessee, Lease, Description [Line Items]
Remaining lease term	3 years 8 months 12 days

Leases - Components of Lease Ex

Leases - Components of Lease Expense (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2020
Leases [Abstract]
Operating lease expense	$ 651	$ 1,420
Short-term lease expense	31	118
Variable and other lease expense	107	253
Lease expense	$ 789	$ 1,791

Leases - Future Minimum Payment

Leases - Future Minimum Payments Under Non-Cancelable Operating Leases (Details) $ in Thousands	Jun. 30, 2020USD ($)
Leases [Abstract]
Remainder of 2020	$ 1,582
2021	2,366
2022	1,711
2023	1,163
2024	1,105
Thereafter	5,582
Total	$ 13,509

Stockholders' Equity and Stoc_3

Stockholders' Equity and Stock-Based Compensation - Narrative (Details) - USD ($) shares in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019	Nov. 14, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Intrinsic value of options exercised	$ 8,800,000	$ 10,400,000
Proceeds from the exercise of options	857,000	$ 915,000
Unrecognized expense	40,900,000
Authorized repurchase amount				$ 10,000,000
Restricted Stock Awards (RSAs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vested, fair value	$ 1,500,000
Awards outstanding (in shares)	387		459
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vested, fair value	$ 6,600,000
Awards outstanding (in shares)	2,160		2,407
Performance Restricted Stock Awards and Performance Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards outstanding (in shares)	500
Performance-based awards, performance goals not yet established (in shares)	300

Stockholders' Equity and Stoc_4

Stockholders' Equity and Stock-Based Compensation - Summary of Restricted Stock Award and Restricted Stock Unit Activity (Details) shares in Thousands	6 Months Ended
	Jun. 30, 2020$ / sharesshares
Restricted Stock Awards
Number of restricted shares
Balance, beginning (in shares) | shares	459
Granted (in shares) | shares	0
Vested (in shares) | shares	(72)
Forfeited & modified (in shares) | shares	0
Balance, ending (in shares) | shares	387
Weighted average exercise price
Balance, beginning (in dollars per share) | $ / shares	$ 20.49
Granted (in dollars per share) | $ / shares	0
Vested (in dollars per share) | $ / shares	21.40
Forfeited & modified (in dollars per share) | $ / shares	0
Balance, ending (in dollars per share) | $ / shares	$ 20.32
Restricted Stock Units
Number of restricted shares
Balance, beginning (in shares) | shares	2,407
Granted (in shares) | shares	99
Vested (in shares) | shares	(293)
Forfeited & modified (in shares) | shares	(53)
Balance, ending (in shares) | shares	2,160
Weighted average exercise price
Balance, beginning (in dollars per share) | $ / shares	$ 19.47
Granted (in dollars per share) | $ / shares	14.28
Vested (in dollars per share) | $ / shares	22.53
Forfeited & modified (in dollars per share) | $ / shares	19.29
Balance, ending (in dollars per share) | $ / shares	$ 18.81

Stockholders' Equity and Stoc_5

Stockholders' Equity and Stock-Based Compensation - Summary of Stock Option Activity (Details) $ / shares in Units, shares in Thousands, $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2020USD ($)$ / sharesshares	Dec. 31, 2019USD ($)$ / sharesshares
Number of shares
Outstanding, beginning of period (in shares) | shares	4,239
Options exercised (in shares) | shares	(518)
Options canceled (in shares) | shares	(10)
Outstanding, end of period (in shares) | shares	3,711	4,239
Weighted average exercise price
Outstanding, beginning of period (in dollars per share) | $ / shares	$ 1.54
Options exercised (in dollars per share) | $ / shares	1.65
Options canceled (in dollars per share) | $ / shares	1.16
Outstanding, end of period (in dollars per share) | $ / shares	$ 1.53	$ 1.54
Outstanding, Weighted average remaining contractual term (years)	5 years 8 months 12 days	6 years 1 month 6 days
Outstanding, Aggregate intrinsic value | $	$ 76,948	$ 79,443
Options exercisable at end of period
Options exercisable (in shares) | shares	2,871
Weighted average exercise price (in dollars per share) | $ / shares	$ 1.04
Weighted average remaining contractual term (years)	5 years 4 months 24 days
Aggregate intrinsic value | $	$ 60,906
Options vested as of end of period and expected to vest after end of period
Options vested and expected to vest (in shares) | shares	3,711
Weighted average exercise price (in dollars per share) | $ / shares	$ 1.53
Weighted Average Remaining Contractual Term (Years)	5 years 8 months 12 days
Aggregate Intrinsic Value | $	$ 76,948

Stockholders' Equity and Stoc_6

Stockholders' Equity and Stock-Based Compensation - Employee Stock Purchase Program (Details) shares in Thousands	6 Months Ended
	Jun. 30, 2020$ / sharesshares
Equity [Abstract]
Shares issued (in shares) | shares	39
Weighted average per share purchase price (in dollars per share)	$ 17.53
Weighted average per share discount from the fair value of our common stock on date of issuance (in dollars per share)	$ 3.85

Stockholders' Equity and Stoc_7

Stockholders' Equity and Stock-Based Compensation - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	$ 6,037	$ 2,381	$ 9,800	$ 4,290
Cost of revenues
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	339	267	684	476
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	2,275	711	4,057	1,269
Sales, general and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Stock-based compensation expense	$ 3,423	$ 1,403	$ 5,059	$ 2,545

Stockholders' Equity and Stoc_8

Stockholders' Equity and Stock-Based Compensation - Unrecognized Compensation Costs (Details) $ in Thousands	Jun. 30, 2020USD ($)
Equity [Abstract]
Remainder of 2020	$ 9,086
2021	15,164
2022	11,001
2023	5,623
2024	20
Total compensation cost	$ 40,894

Segment Information - Narrative

Segment Information - Narrative (Details)	6 Months Ended
	Jun. 30, 2020segment
Segment Reporting [Abstract]
Number of reportable segments	2

Segment Information - Operating

Segment Information - Operating Results (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Segment Reporting Information [Line Items]
Revenue	$ 52,138	$ 48,048	$ 95,353	$ 89,909
Gross profit	$ 13,056	$ 15,871	$ 22,557	$ 29,385
Gross margin	25.00%		23.70%
Operating segments | Laser Products
Segment Reporting Information [Line Items]
Revenue	$ 45,104		$ 82,034
Gross profit	$ 12,846		$ 22,221
Gross margin	28.50%		27.10%
Operating segments | Advanced Development
Segment Reporting Information [Line Items]
Revenue	$ 7,034		$ 13,319
Gross profit	$ 549		$ 1,020
Gross margin	7.80%		7.70%
Corporate and Other
Segment Reporting Information [Line Items]
Revenue	$ 0		$ 0
Gross profit	$ (339)		$ (684)

Net Income (Loss) per Share - C

Net Income (Loss) per Share - Calculation of Basic and Diluted Net Income (Loss) per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Numerator:
Net loss	$ (6,830)	$ (155)	$ (14,305)	$ (1,390)
Denominator:
Weighted-average shares, basic (in shares)	38,177	37,065	38,003	36,880
Weighted-average shares, diluted (in shares)	38,177	37,065	38,003	36,880
Net loss per share:
Basic (in dollars per share)	$ (0.18)	$ 0	$ (0.38)	$ (0.04)
Diluted (in dollars per share)	$ (0.18)	$ 0	$ (0.38)	$ (0.04)

Net Income (Loss) per Share - A

Net Income (Loss) per Share - Antidilutive Securities Excluded from Dilutive Shares (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	6,024	6,561	5,971	6,596
Restricted stock units and awards
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	2,293	1,906	2,260	1,906
Employee stock purchase plan
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	20	40	0	75
Common stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities (in shares)	3,711	4,615	3,711	4,615

Subsequent Events (Details)

Subsequent Events (Details) € in Thousands, $ in Thousands	Jul. 30, 2020EUR (€)	Jul. 24, 2020USD ($)	Jul. 01, 2020USD ($)	Jun. 30, 2020USD ($)	Jan. 01, 2020USD ($)
Subsequent Event [Line Items]
Right-of-use assets				$ 11,080	$ 7,600
Operating lease liabilities					$ 7,900
Longmont, Colorado Facility | Subsequent Event
Subsequent Event [Line Items]
Minimum lease term			5 years
Right-of-use assets			$ 2,000
Operating lease liabilities			$ 2,000
OPI Photonics | Subsequent Event
Subsequent Event [Line Items]
Equity interest acquired	100.00%
Consideration transferred | €	€ 1,550
Revolving credit facility | Line of credit
Subsequent Event [Line Items]
Available borrowing capacity				$ 24,500
Revolving credit facility | Line of credit | Subsequent Event
Subsequent Event [Line Items]
Repayment of LOC		$ 15,000
Available borrowing capacity		$ 39,500