Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2018 | May 03, 2018 | |
Document Information [Line Items] | ||
Entity Registrant Name | MONOLITHIC POWER SYSTEMS INC | |
Entity Central Index Key | 1,280,452 | |
Trading Symbol | mpwr | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Common Stock, Shares Outstanding (in shares) | 42,187,416 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 76,016 | $ 82,759 |
Short-term investments | 231,243 | 216,331 |
Accounts receivable | 48,241 | 38,037 |
Inventories | 111,897 | 99,281 |
Other current assets | 16,707 | 12,762 |
Total current assets | 484,104 | 449,170 |
Property and equipment, net | 153,770 | 144,636 |
Long-term investments | 5,250 | 5,256 |
Goodwill | 6,571 | 6,571 |
Acquisition-related intangible assets, net | 701 | 951 |
Deferred tax assets, net | 15,840 | 15,917 |
Other long-term assets | 31,531 | 30,068 |
Total assets | 697,767 | 652,569 |
Current liabilities: | ||
Accounts payable | 27,511 | 22,813 |
Accrued compensation and related benefits | 13,060 | 15,597 |
Accrued liabilities | 32,730 | 27,507 |
Total current liabilities | 73,301 | 65,917 |
Income tax liabilities | 31,900 | 31,621 |
Other long-term liabilities | 34,260 | 33,024 |
Total liabilities | 139,461 | 130,562 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Common stock and additional paid-in capital, $0.001 par value; shares authorized: 150,000; shares issued and outstanding: 42,145 and 41,614 as of March 31, 2018 and December 31, 2017, respectively | 401,007 | 376,586 |
Retained earnings | 152,257 | 143,608 |
Accumulated other comprehensive income | 5,042 | 1,813 |
Total stockholders’ equity | 558,306 | 522,007 |
Total liabilities and stockholders’ equity | $ 697,767 | $ 652,569 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares shares in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 150,000 | 150,000 |
Common stock, shares issued (in shares) | 42,145 | 41,614 |
Common stock, shares outstanding (in shares) | 42,145 | 41,614 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | ||
Revenue | $ 129,150 | $ 100,362 | [1] |
Cost of revenue | 57,655 | 45,520 | |
Gross profit | 71,495 | 54,842 | |
Operating expenses: | |||
Research and development | 21,609 | 18,894 | |
Selling, general and administrative | 27,318 | 22,092 | |
Litigation expense | 531 | 286 | |
Total operating expenses | 49,458 | 41,272 | |
Income from operations | 22,037 | 13,570 | |
Interest and other income, net | 440 | 1,381 | |
Income before income taxes | 22,477 | 14,951 | |
Income tax provision | 621 | 474 | |
Net income | $ 21,856 | $ 14,477 | |
Net income per share: | |||
Basic (in dollars per share) | $ 0.52 | $ 0.35 | |
Diluted (in dollars per share) | $ 0.49 | $ 0.33 | |
Weighted-average shares outstanding: | |||
Basic (in shares) | 41,922 | 41,047 | |
Diluted (in shares) | 44,282 | 43,268 | |
Cash dividends declared per common share (in dollars per share) | $ 0.30 | $ 0.20 | |
[1] | 2017 amounts have not been retrospectively adjusted under the modified retrospective method. |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Net income | $ 21,856 | $ 14,477 |
Other comprehensive income, net of tax: | ||
Foreign currency translation adjustments, net of $0 tax in 2018 and 2017 | 4,389 | 1,306 |
Change in unrealized gain (loss) on available-for-sale securities, net of $0 tax in 2018 and 2017 | (1,160) | 202 |
Total other comprehensive income, net of tax | 3,229 | 1,508 |
Comprehensive income | $ 25,085 | $ 15,985 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Comprehensive Income (Unaudited) (Parentheticals) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Foreign currency translation adjustments, tax | $ 0 | $ 0 |
Change in unrealized losses on securities, tax | $ 0 | $ 0 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Cash flows from operating activities: | ||
Net income | $ 21,856 | $ 14,477 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization of intangible assets | 2,755 | 4,044 |
Gain on sales of property and equipment | (3) | |
Amortization of premium on available-for-sale investments | 435 | 507 |
(Gain) loss on deferred compensation plan investments | 66 | (733) |
Stock-based compensation expense | 15,030 | 11,662 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (11,103) | (3,865) |
Inventories | (12,590) | (7,057) |
Other assets | (3,954) | (1,465) |
Accounts payable | 3,856 | 4,927 |
Accrued compensation and related benefits | (2,821) | (2,251) |
Accrued liabilities | 4,998 | 2,402 |
Income tax liabilities | (2,236) | (753) |
Net cash provided by operating activities | 16,292 | 21,892 |
Cash flows from investing activities: | ||
Property and equipment purchases | (7,400) | (3,424) |
Proceeds from sales of property and equipment | 3 | |
Purchases of short-term investments | (47,565) | (71,989) |
Proceeds from maturities and sales of short-term investments | 31,063 | 25,400 |
Contributions to deferred compensation plan, net | (1,300) | (1,233) |
Net cash used in investing activities | (25,202) | (51,243) |
Cash flows from financing activities: | ||
Property and equipment purchased on extended payment terms | (250) | |
Proceeds from exercise of stock options | 16 | 61 |
Proceeds from release of restricted stock units | 7,793 | |
Proceeds from shares issued under the employee stock purchase plan | 1,563 | 1,382 |
Dividends and dividend equivalents paid | (8,339) | (8,179) |
Net cash provided by (used in) financing activities | 1,033 | (6,986) |
Effect of change in exchange rates | 1,137 | 460 |
Net decrease in cash, cash equivalents and restricted cash | (6,740) | (35,877) |
Cash, cash equivalents and restricted cash, beginning of period | 82,874 | 112,813 |
Cash, cash equivalents and restricted cash, end of period | 76,134 | 76,936 |
Supplemental disclosures: | ||
Cash paid for taxes and interest | 3,374 | 1,220 |
Liability accrued for property and equipment purchases | 2,491 | 1,208 |
Liability accrued for dividends and dividend equivalents | $ 13,603 | $ 8,902 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1. The accompanying unaudited condensed consolidated financial statements have been prepared by Monolithic Power Systems, Inc. (the “Company” or “MPS”) in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted in accordance with these accounting principles, rules and regulations. The information in this report should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto included in the Annual Report on Form 10 December 31, 2017, March 1, 2018. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments (consisting only of normal recurring adjustments) necessary to present fairly the Company’s financial position, results of operations and cash flows for the interim periods presented. The financial statements contained in this Form 10 not may December 31, 2018 Summary of Significant Accounting Policies Except for the changes related to revenue recognition discussed in “Recently Adopted Accounting Pronouncements” and in Note 2 no three March 31, 2018 10 December 31, 2017. Recent ly Adopted Accounting Pronouncement s In May 2014, No. 2014 09, Revenue from Contracts with Customers (Topic 606 ), January 1, 2018 not December 31, 2017. January 1, 2018 606, not 605, Revenue Recognition The Company recorded a net increase to the opening balance of retained earnings of $0.4 January 1, 2018 606, three 606, 606, January 1, 2018, 2 In November 2016, No. 2016 18, Statement of Cash Flows - Restricted Cash (Topic 230 ), January 1, 2018 9 Recent Accounting Pronouncements Not Yet Adopted as of March 31, 2018 In February 2016, No. 2016 02, Leases (Topic 842 12 December 15, 2018, In June 2016, No. 2016 13, Financial Instruments – Cre dit Losses (Topic 326 , December 15, 2019, December 15, 2018. In January 2017, No. 2017 04, Intangibles – Goodwill and Other (Topic 350 , two not December 15, 2019. |
Note 2 - Revenue Recognition
Note 2 - Revenue Recognition | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | 2. Revenue from Product Sales The following table presents the Company’s revenue disaggregated by end market (in thousands, except for percentages): Three Months Ended March 31, 2018 % of Revenue 2017 (1) % of Revenue Consumer $ 47,144 36.5 % $ 35,611 35.5 % Computing and storage 30,970 24.0 20,617 20.5 Industrial 17,554 13.6 15,354 15.3 Automotive 17,732 13.7 12,331 12.3 Communications 15,750 12.2 16,449 16.4 Total $ 129,150 100.0 % $ 100,362 100.0 % _______________ ( 1 2017 not The Company generates revenue primarily from product sales, which include assembled and tested integrated circuits and dies in wafer form to the consumer, computing and storage, industrial, automotive and communications markets. The Company also generates royalty revenue from licensing arrangements and revenue from wafer testing services performed for third not The Company sells its products primarily through third three March 31, 2018 2017, 88% not Under Topic 606, Product sales consist of a single performance obligation that the Company satisfies at a point in time. The Company recognizes product revenue from distributors and direct end customers when the following events have occurred: (a) the Company has transferred physical possession of the products, (b) the Company has a present right to payment, (c) the customer has legal title to the products, and (d) the customer bears significant risks and rewards of ownership of the products. In accordance with the shipping terms specified in the contracts, these criteria are generally met when the products are shipped from the Company’s facilities (such as the “Ex Works” shipping term) or delivered to the customers’ locations (such as the “Delivered Duty Paid” shipping term). Under certain consignment agreements, revenue is not not 60 Variable Consideration The Company records variable consideration as a reduction to revenue in the same period the revenue is recognized. Three U.S.-based distributors have price adjustment rights when they sell the Company’s products to their end customers at a price that is lower than the distribution price invoiced by the Company. When the Company receives claims from the distributors that products have been sold to the end customers at the lower price, the Company issues the distributors credit memos for the price adjustments. The Company estimates the price adjustments based on analyses of historical claims, at both the distributor and product level, as well as an assessment of any known trends of product sales mix. Other U.S. distributors and non-U.S. distributors, which make up the majority of the Company’s total sales to distributors, do not In addition, certain distributors have limited stock rotation rights that permit the return of a small percentage of the previous six Contract Balances The Company records a receivable when it has an unconditional right to receive consideration after the performance obligations are satisfied. As of March 31, 2018 December 31, 2017, $48.2 $38.0 not For certain customers located in Asia, the Company requires cash payments two March 31, 2018 December 31, 2017, $2.9 $4.7 three March 31, 2018 three March 31, 2018, $4.6 December 31, 2017. Contract Costs The Company pays sales commissions based on the achievement of pre-determined product sales targets. As the Company recognizes product sales at a point in time, sales commissions are expensed as incurred. Warranty The Company generally provides one two no not Practical Expedients The Company’s standard payment terms generally require customers to pay 30 60 one not As of March 31, 2018, not one not Changes to Financial Statement Line Items The following tables compare the impact on the financial statement line items between the application of Topic 606 605 March 31, 2018 three March 31, 2018. two ● Under Topic 606, three 605, ● Under Topic 606, 605, ● Under Topic 606, 605, not Condensed Consolidated Balance Sheets (in thousands): March 31, 2018 Topic 606 Line Item (As Reported) Topic 605 Difference Assets: Accounts receivable $ 48,241 $ 49,121 $ (880 ) Inventory $ 111,897 $ 112,215 $ (318 ) Other current assets $ 16,707 $ 14,602 $ 2,105 Deferred tax assets $ 15,840 $ 15,941 $ (101 ) Total assets $ 697,767 $ 696,961 $ 806 Liabilities and Stockholders' Equity: Accrued liabilities $ 32,730 $ 32,406 $ 324 Retained earnings $ 152,257 $ 151,775 $ 482 Total liabilities and stockholders' Equity $ 697,767 $ 696,961 $ 806 Condensed Consolidated Statements of Operations (in tho usands ): Three Months Ended March 31, 2018 Topic 606 Line Item (As Reported) Topic 605 Difference Revenue $ 129,150 $ 128,959 $ 191 Cost of revenue $ 57,655 $ 57,595 $ 60 Gross profit $ 71,495 $ 71,364 $ 131 Income from operations $ 22,037 $ 21,906 $ 131 Income before income taxes $ 22,477 $ 22,346 $ 131 Income tax provision $ 621 $ 594 $ 27 Net income $ 21,856 $ 21,752 $ 104 C ondensed Consolidated Statements of Comprehensive Income (in tho usands ): Three Months Ended March 31, 2018 Topic 606 Line Item (As Reported) Topic 605 Difference Net income $ 21,856 $ 21,752 $ 104 Comprehensive income $ 25,085 $ 24,981 $ 104 Condensed Consolidated Statements of Cash Flows (in thousands): Three Months Ended March 31, 2018 Topic 606 Line Item (As Reported) Topic 605 Difference Cash flows from operating activities: Net income $ 21,856 $ 21,752 $ 104 Changes in operating assets and liabilities: Accounts receivable $ (11,103 ) $ (11,082 ) $ (21 ) Inventories $ (12,590 ) $ (12,908 ) $ 318 Other assets $ (3,954 ) $ (1,940 ) $ (2,014 ) Accrued liabilities $ 4,998 $ 3,412 $ 1,586 Income tax liabilities $ (2,236 ) $ (2,263 ) $ 27 |
Note 3 - Stock-based Compensati
Note 3 - Stock-based Compensation | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 3 . STOCK-BASED COMPENSATION 2014 Equity Incentive Plan (the “2014 The Board of Directors adopted the 2014 April 2013, June 2013. October 2014, 2014 2014 November 13, 2014 5.5 2014 November 13, 2024. March 31, 2018, 2.7 2014 Stock-Based Compensation Expense The Company recognized stock-based compensation expenses as follows (in thousands): Three Months Ended March 31, 2018 2017 Cost of revenue $ 433 $ 358 Research and development 3,995 3,498 Selling, general and administrative 10,602 7,806 Total stock-based compensation expense $ 15,030 $ 11,662 Tax benefit related to stock-based compensation $ 1,131 $ - Restricted Stock Units The Company’s restricted stock units (“RSUs”) include time-based RSUs, RSUs with only performance conditions (“PSUs”), RSUs with both market and performance conditions (“MPSUs”), and RSUs with only market conditions (“MSUs”). Vesting of all awards requires continued service for the Company. In addition, vesting of awards with performance conditions or market conditions is subject to the achievement of pre-determined performance goals. A summary of RSU activity is presented in the table below (in thousands, except per-share amounts): Time-Based RSUs Weighted- Average Grant Date Fair Value Per Share PSUs and MPSUs Weighted- Average Grant Date Fair Value Per Share MSUs Weighted- Average Grant Date Fair Value Per Share Total Weighted- Average Grant Date Fair Value Per Share Outstanding at January 1, 2018 258 $ 66.30 2,266 $ 48.59 1,620 $ 23.57 4,144 $ 39.91 Granted 53 $ 110.00 622 (1) $ 81.96 - $ - 675 $ 84.15 Released (42 ) $ 58.17 (471 ) $ 39.90 - $ - (513 ) $ 41.41 Forfeited (5 ) $ 73.96 (3 ) $ 56.69 - $ - (8 ) $ 67.94 Outstanding at March 31, 2018 264 $ 76.23 2,414 $ 58.88 1,620 $ 23.57 4,298 $ 46.63 ( 1 Amount reflects the number of PSUs and MPSUs that may The intrinsic value related to RSUs released was $49.5 $37.4 three March 31, 2018 2017, March 31, 2018, $451.7 $115.77. March 31, 2018, $117.2 3.5 Cash proceeds from the release of PSUs with a purchase price feature totaled $7.8 three March 31, 2018. no three March 31, 2017. Time-Based RSUs: For the three March 31, 2018, 53,000 four one 2018 PSUs: In February 2018, 188,000 two 2018 2019 two “2018 300% 2018 50% 2018 first 2020 2018 two 2018 $46.1 In February 2018, 44,000 2019 two 2018 2019 two “2018 200% 300% 2018 50% 2018 first 2020 2018 two 2018 $8.9 The 2018 2018 $30 not not 2018 2018 $110.00, 2.6 27.5% 2.3%. 2015 On December 31, 2015, 86,000 41,000 “2015 500% 2015 2015 four December 31, 2019. first five $71.36 $95.57 January 1, 2016 December 31, 2019. September 30, 2017, five first The second, third fourth five 1 20 2 second $89.56 $106.81 January 1, 2017 December 31, 2019. December 31, 2017, five second third $120.80 $135.48 January 1, 2018 December 31, 2019. March 31, 2018, none third fourth December 31, 2018 January 1, 2019 December 31, 2019. In addition, each of the second, third fourth one six 1. Successful implementation of full digital solutions for certain power products. 2. Successful implementation, and adoption by a key customer, of an integrated, software-based field-oriented control with sensors to motor drivers. 3. Successful implementation of certain advanced power analog processes. 4. Successful design wins and achievement of a specific level of revenue with a global networking customer. 5. Achievement of a specific level of revenue with a global electronics manufacturer. 6. Achievement of a specific level of market share with certain core power products. As of March 31, 2018, none Subject to the employees’ continued employment with the Company, the 2015 January 1, 2020 2015 two The Company determined the grant date fair value of the 2015 $61.35, 33.2%, 1.3%, 7.8% 2015 $24.6 $8.3 first $4.5 second $5.2 third $6.6 fourth For the first third fourth March 31, 2018, three six third fourth Employee Stock Purchase Plan (“ESPP”) For the three March 31, 2018 2017, 18,000 22,000 March 31, 2018, 4.6 The intrinsic value of the shares issued was $0.5 three March 31, 2018 2017. March 31, 2018, $0.3 third 2018. Three Months Ended March 31, 2018 2017 Expected term (years) 0.5 0.5 Expected volatility 28.2 % 23.4 % Risk-free interest rate 1.8 % 0.7 % Dividend yield 1.0 % 0.9 % Cash proceeds from the shares issued under the ESPP were $1.6 $1.4 three March 31, 2018 2017, |
Note 4 - Balance Sheet Componen
Note 4 - Balance Sheet Components | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Supplemental Balance Sheet Disclosures [Text Block] | 4 . BALANCE SHEET COMPONENTS Inventories Inventories consist of the following (in thousands): March 31, December 31, 2018 2017 Raw materials $ 25,934 $ 20,573 Work in process 45,087 40,030 Finished goods 40,876 38,678 Total $ 111,897 $ 99,281 Other Current Assets Other current assets consist of the following (in thousands): March 31, December 31, 2018 2017 Prepaid wafer purchase $ 6,217 $ 6,217 Other prepaid expense 4,699 2,742 Assets for product returns 2,105 - Interest receivable 1,426 1,352 Value-added tax receivable 1,325 1,235 Other 935 1,216 Total $ 16,707 $ 12,762 Under Topic 606, 606, Other Long-Term Assets Other long-term assets consist of the following (in thousands): March 31, December 31, 2018 2017 Deferred compensation plan assets $ 29,314 $ 28,080 Other prepaid expense 1,057 897 Other 1,160 1,091 Total $ 31,531 $ 30,068 Accrued Liabilities Accrued liabilities consist of the following (in thousands): March 31, December 31, 2018 2017 Dividends and dividend equivalents $ 14,169 $ 9,248 Stock rotation and other returns 6,747 2,647 Warranty 3,740 2,416 Customer prepayments 2,915 4,742 Commissions 1,386 938 Sales rebate 1,287 1,036 Income tax payable 360 2,861 Deferred income - 1,845 Other 2,126 1,774 Total $ 32,730 $ 27,507 A roll-forward of the warranty reserve is as follows (in thousands): Three Months Ended March 31, 2018 2017 Balance at beginning of period $ 2,416 $ 1,030 Warranty provision for product sales 1,479 791 Settlements made (55 ) (296 ) Unused warranty provision (100 ) (179 ) Balance at end of period $ 3,740 $ 1,346 Other Long-Term Liabilities Other long-term liabilities consist of the following (in thousands): March 31, December 31, 2018 2017 Deferred compensation plan liabilities $ 28,959 $ 28,087 Dividend equivalents 5,215 4,881 Other 86 56 Total $ 34,260 $ 33,024 |
Note 5 - Goodwill and Acquisiti
Note 5 - Goodwill and Acquisition-related Intangible Assets, Net | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Goodwill and Intangible Assets Disclosure [Text Block] | 5 . GOODWILL AND ACQUISITION-RELATED INTAN GIBLE ASSETS , NET There have been no three March 31, 2018. Acquisition-related intangible assets consist of the following (in thousands): March 31, 2018 Gross Amount Accumulated Amortization Net Amount Know-how $ 1,018 $ (755 ) $ 263 Developed technologies 6,466 (6,028 ) 438 Total $ 7,484 $ (6,783 ) $ 701 December 31, 2017 Gross Amount Accumulated Amortization Net Amount Know-how $ 1,018 $ (704 ) $ 314 Developed technologies 6,466 (5,829 ) 637 Total $ 7,484 $ (6,533 ) $ 951 Amortization expense is recorded in cost of revenue in the Condensed Consolidated Statements of Operations. For the three March 31, 2018 2017, $0.3 $0.5 As of March 31, 2018, 2018 (remaining nine months) $ 591 2019 110 Total $ 701 |
Note 6 - Net Income Per Share
Note 6 - Net Income Per Share | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 6 . NET INCOME PER SHARE Basic net income per share is computed by dividing net income by the weighted-average number of common shares outstanding for the period. Diluted net income per share reflects the potential dilution that would occur if outstanding securities or other contracts to issue common stock were exercised or converted into common shares, and calculated using the treasury stock method. Contingently issuable shares, including equity awards with performance conditions or market conditions, are considered outstanding common shares and included in the basic net income per share as of the date that all necessary conditions to earn the awards have been satisfied. Prior to the end of the contingency period, the number of contingently issuable shares included in the diluted net income per share is based on the number of shares, if any, that would be issuable under the terms of the arrangement at the end of the reporting period. The Company’s outstanding RSUs contain forfeitable rights to receive cash dividend equivalents, which are accumulated and paid to the employees when the underlying RSUs vest. Dividend equivalents accumulated on the underlying RSUs are forfeited if the employees do not not not The following table sets forth the computation of basic and diluted net income per share (in thousands, except per-share amounts): Three Months Ended March 31, 2018 2017 Numerator: Net income $ 21,856 $ 14,477 Denominator: Weighted-average outstanding shares used to compute basic net income per share 41,922 41,047 Effect of dilutive securities 2,360 2,221 Weighted-average outstanding shares used to compute diluted net income per share 44,282 43,268 Net income per share: Basic $ 0.52 $ 0.35 Diluted $ 0.49 $ 0.33 |
Note 7 - Segment and Geographic
Note 7 - Segment and Geographic Information | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 7 . SEGMENT AND GEOGRAPHIC INFORMATION The Company operates in one The Company sells its products primarily through third 10% 10% Revenue Accounts Receivable Three Months Ended March 31, March 31, December 31, Customer 2018 2017 2018 2017 A (distributor) 20 % 18 % 20 % 16 % B (distributor) 10 % 10 % 14 % * C (value-added reseller) * * * 15 % __________________ * Represents less than 10%. The Company’s agreements with these third may may not The following is a summary of revenue by geographic regions (in thousands): Three Months Ended March 31, Country or Region 2018 2017 China $ 72,865 $ 56,084 Taiwan 16,391 14,875 Europe 11,465 7,907 Korea 9,787 8,161 Southeast Asia 9,024 6,372 Japan 5,613 4,825 United States 3,755 2,042 Other 250 96 Total $ 129,150 $ 100,362 The following is a summary of revenue by product family (in thousands): Three Months Ended March 31, Product Family 2018 2017 DC to DC $ 119,268 $ 91,424 Lighting Control 9,882 8,938 Total $ 129,150 $ 100,362 The following is a summary of long-lived assets by geographic regions (in thousands): March 31, December 31, Country 2018 2017 China $ 97,258 $ 89,472 United States 67,434 65,618 Taiwan 17,769 17,238 Bermuda 7,272 7,522 Other 623 388 Total $ 190,356 $ 180,238 |
Note 8 - Litigation
Note 8 - Litigation | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Legal Matters and Contingencies [Text Block] | 8 . LITIGATION The Company is a party to actions and proceedings in the ordinary course of business, including potential litigation initiated by its shareholders, challenges to the enforceability or validity of its intellectual property, claims that the Company’s products infringe on the intellectual property rights of others, and employment matters. These proceedings often involve complex questions of fact and law and may March 31, 2018, no |
Note 9 - Cash, Cash Equivalents
Note 9 - Cash, Cash Equivalents, Investments and Restricted Cash | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Cash, Cash Equivalents, Investments, and Restricted Cash Disclosure [Text Block] | 9 . CASH, CASH EQUIVALENTS, INVESTMENTS AND RESTRICTED CASH The following is a summary of the Company’s cash, cash equivalents and short-term and long-term investments (in thousands): March 31, December 31, 2018 2017 Cash, cash equivalents and investments: Cash $ 66,896 $ 75,125 Money market funds 8,621 7,134 Corporate debt securities 208,261 203,807 Commercial paper 499 - U.S. treasuries and government agency bonds 22,982 13,024 Auction-rate securities backed by student-loan notes 5,250 5,256 Total $ 312,509 $ 304,346 March 31, December 31, 2018 2017 Reported as: Cash and cash equivalents $ 76,016 $ 82,759 Short-term investments 231,243 216,331 Long-term investments 5,250 5,256 Total $ 312,509 $ 304,346 The contractual maturities of the Company’s short-term and long-term available-for-sale investments are as follows (in thousands): March 31, December 31, 2018 2017 Due in less than 1 year $ 94,820 $ 89,399 Due in 1 - 5 years 136,423 126,932 Due in greater than 5 years 5,250 5,256 Total $ 236,493 $ 221,587 The following tables summarize the unrealized gain and loss positions related to the Company’s available-for sale investments (in thousands): March 31, 2018 Amortized Cost Unrealized Gains Unrealized Losses Total Fair Value Fair Value of Investments in Unrealized Loss Position Money market funds $ 8,621 $ - $ - $ 8,621 $ - Corporate debt securities 210,341 7 (2,087 ) 208,261 205,953 Commercial paper 499 - - 499 - U.S. treasuries and government agency bonds 23,106 - (124 ) 22,982 22,982 Auction-rate securities backed by student-loan notes 5,570 - (320 ) 5,250 5,250 Total $ 248,137 $ 7 $ (2,531 ) $ 245,613 $ 234,185 December 31, 2017 Amortized Cost Unrealized Gains Unrealized Losses Total Fair Value Fair Value of Investments in Unrealized Loss Position Money market funds $ 7,134 $ - $ - $ 7,134 $ - Corporate debt securities 204,789 17 (999 ) 203,807 197,564 U.S. treasuries and government agency bonds 13,092 - (68 ) 13,024 13,024 Auction-rate securities backed by student-loan notes 5,570 - (314 ) 5,256 5,256 Total $ 230,585 $ 17 $ (1,381 ) $ 229,221 $ 215,844 Restricted Cash The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the Condensed Consolidated Balance Sheets to the amounts shown in the Condensed Consolidated Statements of Cash Flows: March 31, December 31, 2018 2017 Cash and cash equivalents $ 76,016 $ 82,759 Restricted cash included in other long-term assets 118 115 Total cash, cash equivalents and restricted cash shown in the Condensed Consolidated Statements of Cash Flows $ 76,134 $ 82,874 Restricted cash includes a security deposit that is set aside in a bank account and cannot be withdrawn by the Company under the terms of a lease agreement. The restriction will end and any unused amount will be returned to the Company upon the expiration of the lease. |
Note 10 - Fair Value Measuremen
Note 10 - Fair Value Measurements | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | 10 . FAIR VALUE MEASUR E MENTS The following table details the fair value measurement of the financial assets (in thousands): Fair Value Measurement at March 31, 2018 Total Level 1 Level 2 Level 3 Money market funds $ 8,621 $ 8,621 $ - $ - Corporate debt securities 208,261 - 208,261 - Commercial paper 499 - 499 - U.S. treasuries and government agency bonds 22,982 - 22,982 - Auction-rate securities backed by student-loan notes 5,250 - - 5,250 Mutual and money market funds under deferred compensation plan 17,979 17,979 - - Total $ 263,592 $ 26,600 $ 231,742 $ 5,250 Fair Value Measurement at December 31, 2017 Total Level 1 Level 2 Level 3 Money market funds $ 7,134 $ 7,134 $ - $ - Corporate debt securities 203,807 - 203,807 - U.S. treasuries and government agency bonds 13,024 - 13,024 - Auction-rate securities backed by student-loan notes 5,256 - - 5,256 Mutual and money market funds under deferred compensation plan 16,625 16,625 - - Total $ 245,846 $ 23,759 $ 216,831 $ 5,256 _________________ ● Level 1—includes ● Level 2—includes may third ● Level 3—includes The Company’s level 3 2008. Balance at January 1, 2018 $ 5,256 Change in unrealized loss included in other comprehensive income (6 ) Balance at March 31, 2018 $ 5,250 The Company determined the fair value of the auction-rate securities using a discounted cash flow model with the following assumptions: March 31, December 31, 2018 2017 Time-to-liquidity (years) 2 - 3 2 - 3 Discount rate 5.0% - 10.1% 4.5% - 9.6% |
Note 11 - Deferred Compensation
Note 11 - Deferred Compensation Plan | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Compensation and Employee Benefit Plans [Text Block] | 11 . DEFERRED COMPENSATION PLAN The following table summarizes the deferred compensation plan balances in the Condensed Consolidated Balance Sheets (in thousands): March 31, December 31, 2018 2017 Deferred compensation plan asset components: Cash surrender value of corporate-owned life insurance policies $ 11,335 $ 11,455 Fair value of mutual and money market funds 17,979 16,625 Total $ 29,314 $ 28,080 Deferred compensation plan assets reported in: Other long-term assets $ 29,314 $ 28,080 Deferred compensation plan liabilities reported in: Accrued compensation and related benefits (short-term) $ 389 $ 356 Other long-term liabilities 28,959 28,087 Total $ 29,348 $ 28,443 |
Note 12 - Interest and Other In
Note 12 - Interest and Other Income, Net | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Other Nonoperating Income and Expense [Text Block] | 12 . INTEREST AND OTHER INCOME, NET The components of interest and other income, net are as follows (in thousands): Three Months Ended March 31, 2018 2017 Interest income $ 1,460 $ 1,264 Amortization of premium on available-for-sale investments (435 ) (507 ) Gain (loss) on deferred compensation plan investments (186 ) 733 Foreign currency exchange loss (399 ) (109 ) Total $ 440 $ 1,381 |
Note 13 - Income Taxes
Note 13 - Income Taxes | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 13 . INCOME TAXES The Company has not December 2017 ( “2017 fourth 2017. March 31, 2018 No. 118, 2018 The income tax provision for the three March 31, 2018 $0.6 2.8% 2017 For the three March 31, 2018, $12.4 three March 31, 2018, 2018 $1.9 March 31, 2018, $22.0 The income tax provision for the three March 31, 2017 $0.5 3.2% As of March 31, 2018, $18.8 $9.9 December 31, 2017, $16.3 $9.1 Uncertain tax positions relate to the allocation of income and deductions among the Company’s global entities and to the determination of the research and development tax credit. It is reasonably possible that over the next twelve may not The Company recognizes interest and penalties, if any, related to uncertain tax positions in its income tax provision. As of March 31, 2018 December 31, 2017, $0.6 $0.5 On July 27, 2015, Altera Corp. v. Commissioner December 2015, February 2016. not not March 31, 2018. |
Note 14 - Accumulated Other Com
Note 14 - Accumulated Other Comprehensive Income | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | 14 . ACCUMU LATED OTHER COMPREHENSIVE INCOME The following table summarizes the changes in accumulated other comprehensive income (in thousands): Unrealized Losses on Available-for- Sale Securities Foreign Currency Translation Adjustments Total Balance as of January 1, 2018 $ (1,364 ) $ 3,177 $ 1,813 Other comprehensive income (loss) before reclassifications (1,185 ) 4,389 3,204 Amounts reclassified from accumulated other comprehensive income 25 - 25 Net current period other comprehensive income (loss) (1,160 ) 4,389 3,229 Balance as of March 31, 2018 $ (2,524 ) $ 7,566 $ 5,042 The amounts reclassified from accumulated other comprehensive income were recorded in interest and other income, net, in the Condensed Consolidated Statements of Operations. |
Note 15 - Dividends and Dividen
Note 15 - Dividends and Dividend Equivalents | 3 Months Ended |
Mar. 31, 2018 | |
Notes to Financial Statements | |
Dividends And Dividend Equivalents [Text Block] | 1 5 . DIVIDENDS AND DIVIDEND EQUIVALENTS Cash Dividend Program In June 2014, Three Months Ended March 31, 2018 2017 Dividend declared per share $ 0.30 $ 0.20 Total amount $ 12,644 $ 8,248 As of March 31, 2018 December 31, 2017, $12.6 $8.3 The declaration of any future cash dividends is at the discretion of the Board of Directors and will depend on, among other things, the Company’s financial condition, results of operations, capital requirements, business conditions, statutory requirements of Delaware law, and other factors that the Board of Directors may The Company anticipates that cash used for future dividend payments will come from its current domestic cash and cash generated from ongoing U.S. operations. In addition, the Company currently plans to repatriate cash from its Bermuda subsidiary to fund future dividends and continue to indefinitely reinvest its earnings from other foreign subsidiaries. Cash Dividend Equivalent Rights Under the Company’s stock plans, outstanding RSUs contain rights to receive cash dividend equivalents, which entitle employees who hold RSUs to the same dividend value per share as holders of common stock. The dividend equivalents are accumulated and paid to the employees when the underlying RSUs vest. Dividend equivalents accumulated on the underlying RSUs are forfeited if the employees do not not March 31, 2018 December 31, 2017, $6.7 $5.8 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | The accompanying unaudited condensed consolidated financial statements have been prepared by Monolithic Power Systems, Inc. (the “Company” or “MPS”) in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted in accordance with these accounting principles, rules and regulations. The information in this report should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto included in the Annual Report on Form 10 December 31, 2017, March 1, 2018. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments (consisting only of normal recurring adjustments) necessary to present fairly the Company’s financial position, results of operations and cash flows for the interim periods presented. The financial statements contained in this Form 10 not may December 31, 2018 |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent ly Adopted Accounting Pronouncement s In May 2014, No. 2014 09, Revenue from Contracts with Customers (Topic 606 January 1, 2018 not December 31, 2017. January 1, 2018 606, not 605, Revenue Recognition The Company recorded a net increase to the opening balance of retained earnings of $0.4 January 1, 2018 606, three 606, 606, January 1, 2018, 2 In November 2016, No. 2016 18, Statement of Cash Flows - Restricted Cash (Topic 230 ), January 1, 2018 9 Recent Accounting Pronouncements Not March 31, 2018 In February 2016, No. 2016 02, Leases (Topic 842 12 December 15, 2018, In June 2016, No. 2016 13, Financial Instruments – Cre dit Losses (Topic 326 , December 15, 2019, December 15, 2018. In January 2017, No. 2017 04, Intangibles – Goodwill and Other (Topic 350 , two not December 15, 2019. |
Note 2 - Revenue Recognition (T
Note 2 - Revenue Recognition (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Three Months Ended March 31, 2018 % of Revenue 2017 (1) % of Revenue Consumer $ 47,144 36.5 % $ 35,611 35.5 % Computing and storage 30,970 24.0 20,617 20.5 Industrial 17,554 13.6 15,354 15.3 Automotive 17,732 13.7 12,331 12.3 Communications 15,750 12.2 16,449 16.4 Total $ 129,150 100.0 % $ 100,362 100.0 % |
Accounting Standards Update 2014-09 [Member] | |
Notes Tables | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block] | March 31, 2018 Topic 606 Line Item (As Reported) Topic 605 Difference Assets: Accounts receivable $ 48,241 $ 49,121 $ (880 ) Inventory $ 111,897 $ 112,215 $ (318 ) Other current assets $ 16,707 $ 14,602 $ 2,105 Deferred tax assets $ 15,840 $ 15,941 $ (101 ) Total assets $ 697,767 $ 696,961 $ 806 Liabilities and Stockholders' Equity: Accrued liabilities $ 32,730 $ 32,406 $ 324 Retained earnings $ 152,257 $ 151,775 $ 482 Total liabilities and stockholders' Equity $ 697,767 $ 696,961 $ 806 Three Months Ended March 31, 2018 Topic 606 Line Item (As Reported) Topic 605 Difference Revenue $ 129,150 $ 128,959 $ 191 Cost of revenue $ 57,655 $ 57,595 $ 60 Gross profit $ 71,495 $ 71,364 $ 131 Income from operations $ 22,037 $ 21,906 $ 131 Income before income taxes $ 22,477 $ 22,346 $ 131 Income tax provision $ 621 $ 594 $ 27 Net income $ 21,856 $ 21,752 $ 104 Three Months Ended March 31, 2018 Topic 606 Line Item (As Reported) Topic 605 Difference Net income $ 21,856 $ 21,752 $ 104 Comprehensive income $ 25,085 $ 24,981 $ 104 Three Months Ended March 31, 2018 Topic 606 Line Item (As Reported) Topic 605 Difference Cash flows from operating activities: Net income $ 21,856 $ 21,752 $ 104 Changes in operating assets and liabilities: Accounts receivable $ (11,103 ) $ (11,082 ) $ (21 ) Inventories $ (12,590 ) $ (12,908 ) $ 318 Other assets $ (3,954 ) $ (1,940 ) $ (2,014 ) Accrued liabilities $ 4,998 $ 3,412 $ 1,586 Income tax liabilities $ (2,236 ) $ (2,263 ) $ 27 |
Note 3 - Stock-based Compensa25
Note 3 - Stock-based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block] | Three Months Ended March 31, 2018 2017 Cost of revenue $ 433 $ 358 Research and development 3,995 3,498 Selling, general and administrative 10,602 7,806 Total stock-based compensation expense $ 15,030 $ 11,662 Tax benefit related to stock-based compensation $ 1,131 $ - |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block] | Time-Based RSUs Weighted- Average Grant Date Fair Value Per Share PSUs and MPSUs Weighted- Average Grant Date Fair Value Per Share MSUs Weighted- Average Grant Date Fair Value Per Share Total Weighted- Average Grant Date Fair Value Per Share Outstanding at January 1, 2018 258 $ 66.30 2,266 $ 48.59 1,620 $ 23.57 4,144 $ 39.91 Granted 53 $ 110.00 622 (1) $ 81.96 - $ - 675 $ 84.15 Released (42 ) $ 58.17 (471 ) $ 39.90 - $ - (513 ) $ 41.41 Forfeited (5 ) $ 73.96 (3 ) $ 56.69 - $ - (8 ) $ 67.94 Outstanding at March 31, 2018 264 $ 76.23 2,414 $ 58.88 1,620 $ 23.57 4,298 $ 46.63 |
Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions [Table Text Block] | Three Months Ended March 31, 2018 2017 Expected term (years) 0.5 0.5 Expected volatility 28.2 % 23.4 % Risk-free interest rate 1.8 % 0.7 % Dividend yield 1.0 % 0.9 % |
Note 4 - Balance Sheet Compon26
Note 4 - Balance Sheet Components (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | March 31, December 31, 2018 2017 Raw materials $ 25,934 $ 20,573 Work in process 45,087 40,030 Finished goods 40,876 38,678 Total $ 111,897 $ 99,281 |
Schedule of Other Current Assets [Table Text Block] | March 31, December 31, 2018 2017 Prepaid wafer purchase $ 6,217 $ 6,217 Other prepaid expense 4,699 2,742 Assets for product returns 2,105 - Interest receivable 1,426 1,352 Value-added tax receivable 1,325 1,235 Other 935 1,216 Total $ 16,707 $ 12,762 |
Schedule of Other Assets, Noncurrent [Table Text Block] | March 31, December 31, 2018 2017 Deferred compensation plan assets $ 29,314 $ 28,080 Other prepaid expense 1,057 897 Other 1,160 1,091 Total $ 31,531 $ 30,068 |
Schedule of Accrued Liabilities [Table Text Block] | March 31, December 31, 2018 2017 Dividends and dividend equivalents $ 14,169 $ 9,248 Stock rotation and other returns 6,747 2,647 Warranty 3,740 2,416 Customer prepayments 2,915 4,742 Commissions 1,386 938 Sales rebate 1,287 1,036 Income tax payable 360 2,861 Deferred income - 1,845 Other 2,126 1,774 Total $ 32,730 $ 27,507 |
Schedule of Product Warranty Liability [Table Text Block] | Three Months Ended March 31, 2018 2017 Balance at beginning of period $ 2,416 $ 1,030 Warranty provision for product sales 1,479 791 Settlements made (55 ) (296 ) Unused warranty provision (100 ) (179 ) Balance at end of period $ 3,740 $ 1,346 |
Other Noncurrent Liabilities [Table Text Block] | March 31, December 31, 2018 2017 Deferred compensation plan liabilities $ 28,959 $ 28,087 Dividend equivalents 5,215 4,881 Other 86 56 Total $ 34,260 $ 33,024 |
Note 5 - Goodwill and Acquisi27
Note 5 - Goodwill and Acquisition-related Intangible Assets, Net (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] | March 31, 2018 Gross Amount Accumulated Amortization Net Amount Know-how $ 1,018 $ (755 ) $ 263 Developed technologies 6,466 (6,028 ) 438 Total $ 7,484 $ (6,783 ) $ 701 December 31, 2017 Gross Amount Accumulated Amortization Net Amount Know-how $ 1,018 $ (704 ) $ 314 Developed technologies 6,466 (5,829 ) 637 Total $ 7,484 $ (6,533 ) $ 951 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | 2018 (remaining nine months) $ 591 2019 110 Total $ 701 |
Note 6 - Net Income Per Share (
Note 6 - Net Income Per Share (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended March 31, 2018 2017 Numerator: Net income $ 21,856 $ 14,477 Denominator: Weighted-average outstanding shares used to compute basic net income per share 41,922 41,047 Effect of dilutive securities 2,360 2,221 Weighted-average outstanding shares used to compute diluted net income per share 44,282 43,268 Net income per share: Basic $ 0.52 $ 0.35 Diluted $ 0.49 $ 0.33 |
Note 7 - Segment and Geograph29
Note 7 - Segment and Geographic Information (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Revenue and Accounts Receivable by Major Customers by Reporting Segments [Table Text Block] | Revenue Accounts Receivable Three Months Ended March 31, March 31, December 31, Customer 2018 2017 2018 2017 A (distributor) 20 % 18 % 20 % 16 % B (distributor) 10 % 10 % 14 % * C (value-added reseller) * * * 15 % |
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block] | Three Months Ended March 31, Country or Region 2018 2017 China $ 72,865 $ 56,084 Taiwan 16,391 14,875 Europe 11,465 7,907 Korea 9,787 8,161 Southeast Asia 9,024 6,372 Japan 5,613 4,825 United States 3,755 2,042 Other 250 96 Total $ 129,150 $ 100,362 |
Revenue from External Customers by Products and Services [Table Text Block] | Three Months Ended March 31, Product Family 2018 2017 DC to DC $ 119,268 $ 91,424 Lighting Control 9,882 8,938 Total $ 129,150 $ 100,362 |
Schedule of Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country [Table Text Block] | March 31, December 31, Country 2018 2017 China $ 97,258 $ 89,472 United States 67,434 65,618 Taiwan 17,769 17,238 Bermuda 7,272 7,522 Other 623 388 Total $ 190,356 $ 180,238 |
Note 9 - Cash, Cash Equivalen30
Note 9 - Cash, Cash Equivalents, Investments and Restricted Cash (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Fair Value, by Balance Sheet Grouping [Table Text Block] | March 31, December 31, 2018 2017 Cash, cash equivalents and investments: Cash $ 66,896 $ 75,125 Money market funds 8,621 7,134 Corporate debt securities 208,261 203,807 Commercial paper 499 - U.S. treasuries and government agency bonds 22,982 13,024 Auction-rate securities backed by student-loan notes 5,250 5,256 Total $ 312,509 $ 304,346 March 31, December 31, 2018 2017 Reported as: Cash and cash equivalents $ 76,016 $ 82,759 Short-term investments 231,243 216,331 Long-term investments 5,250 5,256 Total $ 312,509 $ 304,346 |
Investments Classified by Contractual Maturity Date [Table Text Block] | March 31, December 31, 2018 2017 Due in less than 1 year $ 94,820 $ 89,399 Due in 1 - 5 years 136,423 126,932 Due in greater than 5 years 5,250 5,256 Total $ 236,493 $ 221,587 |
Unrealized Gain (Loss) on Investments [Table Text Block] | March 31, 2018 Amortized Cost Unrealized Gains Unrealized Losses Total Fair Value Fair Value of Investments in Unrealized Loss Position Money market funds $ 8,621 $ - $ - $ 8,621 $ - Corporate debt securities 210,341 7 (2,087 ) 208,261 205,953 Commercial paper 499 - - 499 - U.S. treasuries and government agency bonds 23,106 - (124 ) 22,982 22,982 Auction-rate securities backed by student-loan notes 5,570 - (320 ) 5,250 5,250 Total $ 248,137 $ 7 $ (2,531 ) $ 245,613 $ 234,185 December 31, 2017 Amortized Cost Unrealized Gains Unrealized Losses Total Fair Value Fair Value of Investments in Unrealized Loss Position Money market funds $ 7,134 $ - $ - $ 7,134 $ - Corporate debt securities 204,789 17 (999 ) 203,807 197,564 U.S. treasuries and government agency bonds 13,092 - (68 ) 13,024 13,024 Auction-rate securities backed by student-loan notes 5,570 - (314 ) 5,256 5,256 Total $ 230,585 $ 17 $ (1,381 ) $ 229,221 $ 215,844 |
Restrictions on Cash and Cash Equivalents [Table Text Block] | March 31, December 31, 2018 2017 Cash and cash equivalents $ 76,016 $ 82,759 Restricted cash included in other long-term assets 118 115 Total cash, cash equivalents and restricted cash shown in the Condensed Consolidated Statements of Cash Flows $ 76,134 $ 82,874 |
Note 10 - Fair Value Measurem31
Note 10 - Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Fair Value Measurement at March 31, 2018 Total Level 1 Level 2 Level 3 Money market funds $ 8,621 $ 8,621 $ - $ - Corporate debt securities 208,261 - 208,261 - Commercial paper 499 - 499 - U.S. treasuries and government agency bonds 22,982 - 22,982 - Auction-rate securities backed by student-loan notes 5,250 - - 5,250 Mutual and money market funds under deferred compensation plan 17,979 17,979 - - Total $ 263,592 $ 26,600 $ 231,742 $ 5,250 Fair Value Measurement at December 31, 2017 Total Level 1 Level 2 Level 3 Money market funds $ 7,134 $ 7,134 $ - $ - Corporate debt securities 203,807 - 203,807 - U.S. treasuries and government agency bonds 13,024 - 13,024 - Auction-rate securities backed by student-loan notes 5,256 - - 5,256 Mutual and money market funds under deferred compensation plan 16,625 16,625 - - Total $ 245,846 $ 23,759 $ 216,831 $ 5,256 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | Balance at January 1, 2018 $ 5,256 Change in unrealized loss included in other comprehensive income (6 ) Balance at March 31, 2018 $ 5,250 |
Schedule Of Level 3 Assumptions [Table Text Block] | March 31, December 31, 2018 2017 Time-to-liquidity (years) 2 - 3 2 - 3 Discount rate 5.0% - 10.1% 4.5% - 9.6% |
Note 11 - Deferred Compensati32
Note 11 - Deferred Compensation Plan (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Deferred Compensation Plan [Table Text Block] | March 31, December 31, 2018 2017 Deferred compensation plan asset components: Cash surrender value of corporate-owned life insurance policies $ 11,335 $ 11,455 Fair value of mutual and money market funds 17,979 16,625 Total $ 29,314 $ 28,080 Deferred compensation plan assets reported in: Other long-term assets $ 29,314 $ 28,080 Deferred compensation plan liabilities reported in: Accrued compensation and related benefits (short-term) $ 389 $ 356 Other long-term liabilities 28,959 28,087 Total $ 29,348 $ 28,443 |
Note 12 - Interest and Other 33
Note 12 - Interest and Other Income, Net (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Other Nonoperating Income (Expense) [Table Text Block] | Three Months Ended March 31, 2018 2017 Interest income $ 1,460 $ 1,264 Amortization of premium on available-for-sale investments (435 ) (507 ) Gain (loss) on deferred compensation plan investments (186 ) 733 Foreign currency exchange loss (399 ) (109 ) Total $ 440 $ 1,381 |
Note 14 - Accumulated Other C34
Note 14 - Accumulated Other Comprehensive Income (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Unrealized Losses on Available-for- Sale Securities Foreign Currency Translation Adjustments Total Balance as of January 1, 2018 $ (1,364 ) $ 3,177 $ 1,813 Other comprehensive income (loss) before reclassifications (1,185 ) 4,389 3,204 Amounts reclassified from accumulated other comprehensive income 25 - 25 Net current period other comprehensive income (loss) (1,160 ) 4,389 3,229 Balance as of March 31, 2018 $ (2,524 ) $ 7,566 $ 5,042 |
Note 15 - Dividends and Divid35
Note 15 - Dividends and Dividend Equivalents (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Notes Tables | |
Dividends Declared [Table Text Block] | Three Months Ended March 31, 2018 2017 Dividend declared per share $ 0.30 $ 0.20 Total amount $ 12,644 $ 8,248 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation (Details Textual) $ in Millions | Jan. 01, 2018USD ($) |
Accounting Standards Update 2014-09 [Member] | Retained Earnings [Member] | |
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 0.4 |
Note 2 - Revenue Recognition (D
Note 2 - Revenue Recognition (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Number of Reportable Segments | 1 | ||
Lapse Period for Consignment | 60 days | ||
Accounts Receivable, Net, Current, Total | $ 48,241 | $ 38,037 | |
Allowance for Doubtful Accounts Receivable, Write-offs | $ 0 | 0 | |
Revenue, Performance Obligation, Performance Period Following Prepayment | 90 days | ||
Minimum [Member] | |||
Contract with Customer, Payment Term | 30 days | ||
Maximum [Member] | |||
Contract with Customer, Payment Term | 60 days | ||
Certain Customers in China [Member] | |||
Contract with Customer, Payment Term Required Prior to Shipping Products | 14 days | ||
Contract with Customer, Liability, Revenue Recognized | $ 4,600 | ||
Certain Customers in China [Member] | Accrued Liabilities, Current [Member] | |||
Contract with Customer, Liability, Current | $ 2,900 | $ 4,700 | |
Customer Concentration Risk [Member] | Sales Revenue, Goods, Net [Member] | Distributor Sales [Member] | |||
Concentration Risk, Percentage | 88.00% | 88.00% |
Note 2 - Revenue Recognition -
Note 2 - Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | ||
Revenue | $ 129,150 | $ 100,362 | [1] |
Percentage of revenue | 100.00% | 100.00% | |
Consumer Market [Member] | |||
Revenue | $ 47,144 | $ 35,611 | [1] |
Percentage of revenue | 36.50% | 35.50% | |
Computing and Storage Market [Member] | |||
Revenue | $ 30,970 | $ 20,617 | [1] |
Percentage of revenue | 24.00% | 20.50% | |
Industrial Market [Member] | |||
Revenue | $ 17,554 | $ 15,354 | [1] |
Percentage of revenue | 13.60% | 15.30% | |
Automotive Market [Member] | |||
Revenue | $ 17,732 | $ 12,331 | [1] |
Percentage of revenue | 13.70% | 12.30% | |
Communications Market [Member] | |||
Revenue | $ 15,750 | $ 16,449 | [1] |
Percentage of revenue | 12.20% | 16.40% | |
[1] | 2017 amounts have not been retrospectively adjusted under the modified retrospective method. |
Note 2 - Revenue Recognition 39
Note 2 - Revenue Recognition - Impact of Topic 606 (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | ||
Assets: | ||||
Accounts receivable | $ 48,241 | $ 38,037 | ||
Inventory | 111,897 | 99,281 | ||
Other current assets | 16,707 | 12,762 | ||
Deferred tax assets | 15,840 | 15,917 | ||
Total assets | 697,767 | 652,569 | ||
Liabilities and Stockholders' Equity: | ||||
Accrued liabilities | 32,730 | 27,507 | ||
Retained earnings | 152,257 | 143,608 | ||
Total liabilities and stockholders' Equity | 697,767 | $ 652,569 | ||
Revenue | 129,150 | $ 100,362 | [1] | |
Cost of revenue | 57,655 | 45,520 | ||
Gross profit | 71,495 | 54,842 | ||
Income from operations | 22,037 | 13,570 | ||
Income before income taxes | 22,477 | 14,951 | ||
Income tax provision | 621 | 474 | ||
Net income | 21,856 | 14,477 | ||
Comprehensive income | 25,085 | 15,985 | ||
Cash flows from operating activities: | ||||
Accounts receivable | (11,103) | (3,865) | ||
Inventories | (12,590) | (7,057) | ||
Other assets | (3,954) | (1,465) | ||
Accrued liabilities | 4,998 | 2,402 | ||
Income tax liabilities | (2,236) | $ (753) | ||
Calculated under Revenue Guidance in Effect before Topic 606 [Member] | ||||
Assets: | ||||
Accounts receivable | 49,121 | |||
Inventory | 112,215 | |||
Other current assets | 14,602 | |||
Deferred tax assets | 15,941 | |||
Total assets | 696,961 | |||
Liabilities and Stockholders' Equity: | ||||
Accrued liabilities | 32,406 | |||
Retained earnings | 151,775 | |||
Total liabilities and stockholders' Equity | 696,961 | |||
Revenue | 128,959 | |||
Cost of revenue | 57,595 | |||
Gross profit | 71,364 | |||
Income from operations | 21,906 | |||
Income before income taxes | 22,346 | |||
Income tax provision | 594 | |||
Net income | 21,752 | |||
Comprehensive income | 24,981 | |||
Cash flows from operating activities: | ||||
Accounts receivable | (11,082) | |||
Inventories | (12,908) | |||
Other assets | (1,940) | |||
Accrued liabilities | 3,412 | |||
Income tax liabilities | (2,263) | |||
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | Accounting Standards Update 2014-09 [Member] | ||||
Assets: | ||||
Accounts receivable | (880) | |||
Inventory | (318) | |||
Other current assets | 2,105 | |||
Deferred tax assets | (101) | |||
Total assets | 806 | |||
Liabilities and Stockholders' Equity: | ||||
Accrued liabilities | 324 | |||
Retained earnings | 482 | |||
Total liabilities and stockholders' Equity | 806 | |||
Revenue | 191 | |||
Cost of revenue | 60 | |||
Gross profit | 131 | |||
Income from operations | 131 | |||
Income before income taxes | 131 | |||
Income tax provision | 27 | |||
Net income | 104 | |||
Comprehensive income | 104 | |||
Cash flows from operating activities: | ||||
Accounts receivable | (21) | |||
Inventories | 318 | |||
Other assets | (2,014) | |||
Accrued liabilities | 1,586 | |||
Income tax liabilities | $ 27 | |||
[1] | 2017 amounts have not been retrospectively adjusted under the modified retrospective method. |
Note 3 - Stock-based Compensa40
Note 3 - Stock-based Compensation (Details Textual) $ / shares in Units, $ in Thousands | Dec. 31, 2015$ / sharesshares | Feb. 28, 2018USD ($)$ / sharesshares | Dec. 31, 2015$ / shares | Mar. 31, 2018USD ($)$ / sharesshares | Mar. 31, 2017USD ($)shares | Sep. 30, 2017 | Dec. 31, 2015USD ($)$ / shares | Nov. 13, 2014shares |
Proceeds from Issuance of Shares under Incentive and Share-based Compensation Plans, Excluding Stock Options | $ 7,793 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 675,000 | |||||||
Proceeds from Stock Plans | $ 1,563 | 1,382 | ||||||
Restricted Stock Units (RSUs) [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Vested | 49,500 | 37,400 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding | $ 451,700 | |||||||
Share Price | $ / shares | $ 115.77 | |||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total | $ 117,200 | |||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 3 years 182 days | |||||||
Proceeds from Issuance of Shares under Incentive and Share-based Compensation Plans, Excluding Stock Options | $ 7,800 | $ 0 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 53,000 | |||||||
Time-Based RSUs [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 53,000 | |||||||
Time-Based RSUs [Member] | Employees [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | |||||||
Time-Based RSUs [Member] | Director [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | |||||||
PSU 2018 [Member] | Executive Officer [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 188,000 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting, Measurement Period of Relative Revenue Growth Rate to Industry Average | 2 years | |||||||
PSUs Earn-Out Percentage | 300.00% | |||||||
Maximum Stock Compensation Costs | $ 46,100 | |||||||
PSU 2018 [Member] | Executive Officer [Member] | Vesting First Quarter of 2020 if Performance Conditions are Met [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 50.00% | |||||||
PSU 2018 [Member] | Executive Officer [Member] | Quarterly Vesting of Awards Not Based on Performance [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 2 years | |||||||
PSU 2018 [Member] | Non-Executive Employees [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 44,000 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Vesting, Measurement Period of Relative Revenue Growth Rate to Industry Average | 2 years | |||||||
Maximum Stock Compensation Costs | $ 8,900 | |||||||
PSU 2018 [Member] | Non-Executive Employees [Member] | Minimum [Member] | ||||||||
PSUs Earn-Out Percentage | 200.00% | |||||||
PSU 2018 [Member] | Non-Executive Employees [Member] | Maximum [Member] | ||||||||
PSUs Earn-Out Percentage | 300.00% | |||||||
PSU 2018 [Member] | Non-Executive Employees [Member] | Vesting First Quarter of 2020 if Performance Conditions are Met [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 50.00% | |||||||
PSU 2018 [Member] | Non-Executive Employees [Member] | Annual or Quarterly Vesting of Awards Not Based on Performance [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 2 years | |||||||
2018 Executive PSUs and 2018 Non-executive PSUs [Member] | ||||||||
Share Price | $ / shares | $ 110 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Price Per Share Payable Upon Vesting of Equity Instruments Other than Options | $ / shares | $ 30 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 2 years 219 days | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 27.50% | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 2.30% | |||||||
2015 MPSUs [Member] | ||||||||
Share Price | $ / shares | $ 61.35 | $ 61.35 | $ 61.35 | |||||
PSUs Earn-Out Percentage | 500.00% | |||||||
Maximum Stock Compensation Costs | $ 24,600 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 33.20% | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.30% | |||||||
Number of MPSU Tranches | 4 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Post-Award Vesting Period, Restriction Period on Sales | 2 years | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Discount for Postvesting Restrictions | 7.80% | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche One [Member] | ||||||||
Maximum Stock Compensation Costs | $ 8,300 | |||||||
Number of Price Targets | 5 | |||||||
Stock Price Targets Achieved | 5 | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche One [Member] | Minimum [Member] | ||||||||
Market Awards Price Targets | $ / shares | $ 71.36 | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche One [Member] | Maximum [Member] | ||||||||
Market Awards Price Targets | $ / shares | $ 95.57 | |||||||
2015 MPSUs [Member] | Second, Third, and Fourth Tranches [Member] | ||||||||
Number of Price Targets | 5 | |||||||
Total number of performance conditions | 6 | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche Two [Member] | ||||||||
Maximum Stock Compensation Costs | 4,500 | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche Two [Member] | Minimum [Member] | ||||||||
Market Awards Price Targets | $ / shares | $ 89.56 | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche Two [Member] | Maximum [Member] | ||||||||
Market Awards Price Targets | $ / shares | 106.81 | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche Three [Member] | ||||||||
Maximum Stock Compensation Costs | 5,200 | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche Three [Member] | Minimum [Member] | ||||||||
Market Awards Price Targets | $ / shares | 120.80 | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche Three [Member] | Maximum [Member] | ||||||||
Market Awards Price Targets | $ / shares | $ 135.48 | |||||||
2015 MPSUs [Member] | Share-based Compensation Award, Tranche Four [Member] | ||||||||
Maximum Stock Compensation Costs | $ 6,600 | |||||||
2015 MPSUs [Member] | Executive Officer [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 86,000 | |||||||
2015 MPSUs [Member] | Non-Executive Employees [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 41,000 | |||||||
The2014 Plan [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | shares | 5,500,000 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | shares | 2,700,000 | |||||||
Employee Stock Purchase Plan [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | shares | 4,600,000 | |||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total | $ 300 | |||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | shares | 18,000 | 22,000 | ||||||
Employee Stock Purchase Plan Shares Issued, Intrinsic Value | $ 500 | $ 500 | ||||||
Proceeds from Stock Plans | $ 1,600 | $ 1,400 |
Note 3 - Stock-based Compensa41
Note 3 - Stock-based Compensation - Stock-based Compensation Plan Expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Share based compensation expense | $ 15,030 | $ 11,662 |
Tax benefit related to stock-based compensation | 1,131 | |
Cost of Sales [Member] | ||
Share based compensation expense | 433 | 358 |
Research and Development Expense [Member] | ||
Share based compensation expense | 3,995 | 3,498 |
Selling, General and Administrative Expenses [Member] | ||
Share based compensation expense | $ 10,602 | $ 7,806 |
Note 3 - Stock-based Compensa42
Note 3 - Stock-based Compensation - RSU Summary (Details) shares in Thousands | 3 Months Ended | |
Mar. 31, 2018$ / sharesshares | ||
Beginning balance (in shares) | shares | 4,144 | |
Weighted-Average Grant Date Fair Value Per Share, beginning balance (in dollars per share) | $ / shares | $ 39.91 | |
Granted (in shares) | shares | 675 | |
Weighted-Average Grant Date Fair Value Per Share, granted (in dollars per share) | $ / shares | $ 84.15 | |
Released (in shares) | shares | (513) | |
Weighted-Average Grant Date Fair Value Per Share, released (in dollars per share) | $ / shares | $ 41.41 | |
Forfeited (in shares) | shares | (8) | |
Weighted-Average Grant Date Fair Value Per Share, forfeited (in dollars per share) | $ / shares | $ 67.94 | |
Ending balance (in shares) | shares | 4,298 | |
Weighted-Average Grant Date Fair Value Per Share, ending balance (in dollars per share) | $ / shares | $ 46.63 | |
Time-Based RSUs [Member] | ||
Beginning balance (in shares) | shares | 258 | |
Weighted-Average Grant Date Fair Value Per Share, beginning balance (in dollars per share) | $ / shares | $ 66.30 | |
Granted (in shares) | shares | 53 | |
Weighted-Average Grant Date Fair Value Per Share, granted (in dollars per share) | $ / shares | $ 110 | |
Released (in shares) | shares | (42) | |
Weighted-Average Grant Date Fair Value Per Share, released (in dollars per share) | $ / shares | $ 58.17 | |
Forfeited (in shares) | shares | (5) | |
Weighted-Average Grant Date Fair Value Per Share, forfeited (in dollars per share) | $ / shares | $ 73.96 | |
Ending balance (in shares) | shares | 264 | |
Weighted-Average Grant Date Fair Value Per Share, ending balance (in dollars per share) | $ / shares | $ 76.23 | |
PSUs and MPSUs [Member] | ||
Beginning balance (in shares) | shares | 2,266 | |
Weighted-Average Grant Date Fair Value Per Share, beginning balance (in dollars per share) | $ / shares | $ 48.59 | |
Granted (in shares) | shares | 622 | [1] |
Weighted-Average Grant Date Fair Value Per Share, granted (in dollars per share) | $ / shares | $ 81.96 | |
Released (in shares) | shares | (471) | |
Weighted-Average Grant Date Fair Value Per Share, released (in dollars per share) | $ / shares | $ 39.90 | |
Forfeited (in shares) | shares | (3) | |
Weighted-Average Grant Date Fair Value Per Share, forfeited (in dollars per share) | $ / shares | $ 56.69 | |
Ending balance (in shares) | shares | 2,414 | |
Weighted-Average Grant Date Fair Value Per Share, ending balance (in dollars per share) | $ / shares | $ 58.88 | |
MSUs [Member] | ||
Beginning balance (in shares) | shares | 1,620 | |
Weighted-Average Grant Date Fair Value Per Share, beginning balance (in dollars per share) | $ / shares | $ 23.57 | |
Granted (in shares) | shares | [1] | |
Weighted-Average Grant Date Fair Value Per Share, granted (in dollars per share) | $ / shares | ||
Released (in shares) | shares | ||
Weighted-Average Grant Date Fair Value Per Share, released (in dollars per share) | $ / shares | ||
Forfeited (in shares) | shares | ||
Weighted-Average Grant Date Fair Value Per Share, forfeited (in dollars per share) | $ / shares | ||
Ending balance (in shares) | shares | 1,620 | |
Weighted-Average Grant Date Fair Value Per Share, ending balance (in dollars per share) | $ / shares | $ 23.57 | |
[1] | Amount reflects the number of PSUs and MPSUs that may ultimately be earned based on management's probability assessment of the achievement of performance conditions at each reporting period. In addition, MPSUs are subject to the achievement of market conditions. |
Note 3 - Stock-based Compensa43
Note 3 - Stock-based Compensation - Valuation Assumptions (Details) - 2004 Employee Stock Plan [Member] - Employee Stock Purchase Plan [Member] | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Expected term (years) (Year) | 182 days | 182 days |
Expected volatility | 28.20% | 23.40% |
Risk-free interest rate | 1.80% | 0.70% |
Dividend yield | 1.00% | 0.90% |
Note 4 - Balance Sheet Compon44
Note 4 - Balance Sheet Components - Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Raw materials | $ 25,934 | $ 20,573 |
Work in process | 45,087 | 40,030 |
Finished goods | 40,876 | 38,678 |
Total | $ 111,897 | $ 99,281 |
Note 4 - Balance Sheet Compon45
Note 4 - Balance Sheet Components - Other Current Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Prepaid wafer purchase | $ 6,217 | $ 6,217 |
Other prepaid expense | 4,699 | 2,742 |
Assets for product returns | 2,105 | |
Interest receivable | 1,426 | 1,352 |
Value-added tax receivable | 1,325 | 1,235 |
Other | 935 | 1,216 |
Total | $ 16,707 | $ 12,762 |
Note 4 - Balance Sheet Compon46
Note 4 - Balance Sheet Components - Other Long-term Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Deferred compensation plan assets | $ 29,314 | $ 28,080 |
Other prepaid expense | 1,057 | 897 |
Other | 1,160 | 1,091 |
Total | $ 31,531 | $ 30,068 |
Note 4 - Balance Sheet Compon47
Note 4 - Balance Sheet Components - Accrued Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Dividends and dividend equivalents | $ 14,169 | $ 9,248 |
Stock rotation and other returns | 6,747 | 2,647 |
Warranty | 3,740 | 2,416 |
Customer prepayments | 2,915 | 4,742 |
Commissions | 1,386 | 938 |
Sales rebate | 1,287 | 1,036 |
Income tax payable | 360 | 2,861 |
Deferred income | 1,845 | |
Other | 2,126 | 1,774 |
Total | $ 32,730 | $ 27,507 |
Note 4 - Balance Sheet Compon48
Note 4 - Balance Sheet Components - Roll-forward of the Warranty Reserve (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Balance | $ 2,416 | $ 1,030 |
Warranty provision for product sales | 1,479 | 791 |
Settlements made | (55) | (296) |
Unused warranty provision | (100) | (179) |
Balance | $ 3,740 | $ 1,346 |
Note 4 - Balance Sheet Compon49
Note 4 - Balance Sheet Components - Long-term Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Deferred compensation plan liabilities | $ 28,959 | $ 28,087 |
Dividend equivalents | 5,215 | 4,881 |
Other | 86 | 56 |
Total | $ 34,260 | $ 33,024 |
Note 5 - Goodwill and Acquisi50
Note 5 - Goodwill and Acquisition-related Intangible Assets, Net (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Goodwill, Period Increase (Decrease), Total | $ 0 | |
Cost Of Revenue [Member] | ||
Amortization of Intangible Assets, Total | $ 300 | $ 500 |
Note 5 - Goodwill and Acquisi51
Note 5 - Goodwill and Acquisition-related Intangible Assets, Net - Acquisition-related Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Gross Amount | $ 7,484 | $ 7,484 |
Accumulated Amortization | (6,783) | (6,533) |
Net Amount | 701 | 951 |
Know-How [Member] | ||
Gross Amount | 1,018 | 1,018 |
Accumulated Amortization | (755) | (704) |
Net Amount | 263 | 314 |
Developed Technology Rights [Member] | ||
Gross Amount | 6,466 | 6,466 |
Accumulated Amortization | (6,028) | (5,829) |
Net Amount | $ 438 | $ 637 |
Note 5 - Goodwill and Acquisi52
Note 5 - Goodwill and Acquisition-related Intangible Assets, Net - Future Amortization Expense (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
2018 (remaining nine months) | $ 591 | |
2,019 | 110 | |
Total | $ 701 | $ 951 |
Note 6 - Net Income Per Share -
Note 6 - Net Income Per Share - Net Income Per Share Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Numerator: | ||
Net income | $ 21,856 | $ 14,477 |
Denominator: | ||
Weighted-average shares outstanding, basic (in shares) | 41,922 | 41,047 |
Effect of dilutive securities (in shares) | 2,360 | 2,221 |
Weighted-average shares outstanding, diluted (in shares) | 44,282 | 43,268 |
Net income per share: | ||
Earnings per share, basic (in dollars per share) | $ 0.52 | $ 0.35 |
Earnings per share, diluted (in dollars per share) | $ 0.49 | $ 0.33 |
Note 7 - Segment and Geograph54
Note 7 - Segment and Geographic Information (Details Textual) | 3 Months Ended |
Mar. 31, 2018 | |
Number of Reportable Segments | 1 |
Note 7 - Segment and Geograph55
Note 7 - Segment and Geographic Information - Customers with Sales and Accounts Receivable Greater Than 10% (Details) - Customer Concentration Risk [Member] | 3 Months Ended | ||||
Mar. 31, 2018 | Mar. 31, 2017 | ||||
Distributor A [Member] | Sales Revenue, Net [Member] | |||||
Concentration risk | 20.00% | 18.00% | |||
Distributor A [Member] | Accounts Receivable [Member] | |||||
Concentration risk | 20.00% | 16.00% | |||
Distributor B [Member] | Sales Revenue, Net [Member] | |||||
Concentration risk | 10.00% | 10.00% | |||
Distributor B [Member] | Accounts Receivable [Member] | |||||
Concentration risk | 14.00% | [1] | |||
Distributor C [Member] | Sales Revenue, Net [Member] | |||||
Concentration risk | [1] | ||||
Distributor C [Member] | Accounts Receivable [Member] | |||||
Concentration risk | [1] | 15.00% | |||
[1] | Represents less than 10%. |
Note 7 - Segment and Geograph56
Note 7 - Segment and Geographic Information - Revenue by Region (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | ||
Revenue | $ 129,150 | $ 100,362 | [1] |
CHINA | |||
Revenue | 72,865 | 56,084 | |
TAIWAN, PROVINCE OF CHINA | |||
Revenue | 16,391 | 14,875 | |
Europe [Member] | |||
Revenue | 11,465 | 7,907 | |
KOREA, REPUBLIC OF | |||
Revenue | 9,787 | 8,161 | |
South East Asia [Member] | |||
Revenue | 9,024 | 6,372 | |
JAPAN | |||
Revenue | 5,613 | 4,825 | |
UNITED STATES | |||
Revenue | 3,755 | 2,042 | |
Other Region [Member] | |||
Revenue | $ 250 | $ 96 | |
[1] | 2017 amounts have not been retrospectively adjusted under the modified retrospective method. |
Note 7 - Segment and Geograph57
Note 7 - Segment and Geographic Information - Revenue by Product Family (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | ||
Revenue | $ 129,150 | $ 100,362 | [1] |
DC To DC Products [Member] | |||
Revenue | 119,268 | 91,424 | |
Lighting Control Products [Member] | |||
Revenue | $ 9,882 | $ 8,938 | |
[1] | 2017 amounts have not been retrospectively adjusted under the modified retrospective method. |
Note 7 - Segment and Geograph58
Note 7 - Segment and Geographic Information - Long Lived Assets by Geographic Region (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Long lived assets by region | $ 190,356 | $ 180,238 |
CHINA | ||
Long lived assets by region | 97,258 | 89,472 |
UNITED STATES | ||
Long lived assets by region | 67,434 | 65,618 |
TAIWAN, PROVINCE OF CHINA | ||
Long lived assets by region | 17,769 | 17,238 |
BERMUDA | ||
Long lived assets by region | 7,272 | 7,522 |
Other Region [Member] | ||
Long lived assets by region | $ 623 | $ 388 |
Note 9 - Cash, Cash Equivalen59
Note 9 - Cash, Cash Equivalents, Investments and Restricted Cash - Cash Equivalents, Short-term and Long-term Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Cash | $ 66,896 | $ 75,125 |
Money market funds | 8,621 | 7,134 |
Commercial paper | 499 | |
U.S. treasuries and government agency bonds | 22,982 | 13,024 |
Total | 312,509 | 304,346 |
Cash and cash equivalents | 76,016 | 82,759 |
Short-term investments | 231,243 | 216,331 |
Long-term investments | 5,250 | 5,256 |
Corporate Debt Securities [Member] | ||
Available-for-sale securities | 208,261 | 203,807 |
Auction Rate Securities [Member] | ||
Available-for-sale securities | $ 5,250 | $ 5,256 |
Note 9 - Cash, Cash Equivalen60
Note 9 - Cash, Cash Equivalents, Investments and Restricted Cash - Investment Maturity Classification (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Due in less than 1 year | $ 94,820 | $ 89,399 |
Due in 1 - 5 years | 136,423 | 126,932 |
Due in greater than 5 years | 5,250 | 5,256 |
Total | $ 236,493 | $ 221,587 |
Note 9 - Cash, Cash Equivalen61
Note 9 - Cash, Cash Equivalents, Investments and Restricted Cash - Unrealized Gains and Losses on Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Adjusted Cost | $ 248,137 | $ 230,585 |
Total Fair Value | 245,613 | 229,221 |
Unrealized Gains | 7 | 17 |
Unrealized Losses | (2,531) | (1,381) |
Fair Value of Investments in Unrealized Loss Position | 234,185 | 215,844 |
Money Market Funds [Member] | ||
Adjusted Cost | 8,621 | 7,134 |
Total Fair Value | 8,621 | 7,134 |
Corporate Debt Securities [Member] | ||
Adjusted Cost | 210,341 | 204,789 |
Total Fair Value | 208,261 | 203,807 |
Unrealized Gains | 7 | 17 |
Unrealized Losses | (2,087) | (999) |
Fair Value of Investments in Unrealized Loss Position | 205,953 | 197,564 |
Commercial Paper [Member] | ||
Adjusted Cost | 499 | |
Total Fair Value | 499 | |
US Government Agencies Short-term Debt Securities [Member] | ||
Adjusted Cost | 23,106 | 13,092 |
Total Fair Value | 22,982 | 13,024 |
Unrealized Losses | (124) | (68) |
Fair Value of Investments in Unrealized Loss Position | 22,982 | 13,024 |
Auction Rate Securities [Member] | ||
Adjusted Cost | 5,570 | 5,570 |
Total Fair Value | 5,250 | 5,256 |
Unrealized Losses | (320) | (314) |
Fair Value of Investments in Unrealized Loss Position | $ 5,250 | $ 5,256 |
Note 9 - Cash, Cash Equivalen62
Note 9 - Cash, Cash Equivalents, Investments and Restricted Cash - Restricted Cash (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Cash and cash equivalents | $ 76,016 | $ 82,759 | ||
Restricted cash included in other long-term assets | 118 | 115 | ||
Total cash, cash equivalents and restricted cash shown in the Condensed Consolidated Statements of Cash Flows | $ 76,134 | $ 82,874 | $ 76,936 | $ 112,813 |
Note 10 - Fair Value Measurem63
Note 10 - Fair Value Measurements - Financial Assets and Liabilities, Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Total Fair Value | $ 245,613 | $ 229,221 |
Assets, fair value | 263,592 | 245,846 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets, fair value | 26,600 | 23,759 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets, fair value | 231,742 | 216,831 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets, fair value | 5,250 | 5,256 |
Money Market Funds [Member] | ||
Total Fair Value | 8,621 | 7,134 |
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Total Fair Value | 8,621 | 7,134 |
Corporate Debt Securities [Member] | ||
Total Fair Value | 208,261 | 203,807 |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Total Fair Value | 208,261 | 203,807 |
Commercial Paper [Member] | ||
Total Fair Value | 499 | |
Commercial Paper [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Total Fair Value | 499 | |
US Government Agencies Short-term Debt Securities [Member] | ||
Total Fair Value | 22,982 | 13,024 |
US Government Agencies Short-term Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Total Fair Value | 22,982 | 13,024 |
Auction Rate Securities [Member] | ||
Total Fair Value | 5,250 | 5,256 |
Auction Rate Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Total Fair Value | 5,250 | 5,256 |
Mutual Fund [Member] | ||
Deferred compensation plan, fair value | 17,979 | 16,625 |
Mutual Fund [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Deferred compensation plan, fair value | 17,979 | $ 16,625 |
Mutual Fund [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Deferred compensation plan, fair value |
Note 10 - Fair Value Measurem64
Note 10 - Fair Value Measurements - Level 3 Investments (Details) - Auction Rate Securities [Member] $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Balance, auction rate securities | $ 5,256 |
Change in unrealized loss included in other comprehensive income (loss) | (6) |
Balance, auction rate securities | $ 5,250 |
Note 10 - Fair Value Measurem65
Note 10 - Fair Value Measurements - Discounted Cash Flow Assumptions (Details) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Minimum [Member] | ||
Time-to-liquidity (years) (Year) | 2 years | 2 years |
Discount rate | 5.00% | 4.50% |
Maximum [Member] | ||
Time-to-liquidity (years) (Year) | 3 years | 3 years |
Discount rate | 10.10% | 9.60% |
Note 11 - Deferred Compensati66
Note 11 - Deferred Compensation Plan - Summary of Deferred Compensation Plan (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Deferred compensation plan assets | $ 29,314 | $ 28,080 |
Deferred compensation plan assets reported in: | ||
Deferred compensation plan assets | 29,314 | 28,080 |
Deferred compensation plan liabilities reported in: | ||
Deferred compensation plan liabilities | 29,348 | 28,443 |
Other Long-term Assets [Member] | ||
Deferred compensation plan assets | 29,314 | 28,080 |
Deferred compensation plan assets reported in: | ||
Deferred compensation plan assets | 29,314 | 28,080 |
Accrued Compensation and Related Benefits [Member] | ||
Deferred compensation plan liabilities reported in: | ||
Deferred compensation plan liabilities | 389 | 356 |
Other Long-term Liabilities [Member] | ||
Deferred compensation plan liabilities reported in: | ||
Deferred compensation plan liabilities | 28,959 | 28,087 |
Cash Surrender Value [Member] | ||
Deferred compensation plan assets | 11,335 | 11,455 |
Deferred compensation plan assets reported in: | ||
Deferred compensation plan assets | 11,335 | 11,455 |
Mutual Funds and Money Market Funds, Fair Value [Member] | ||
Deferred compensation plan assets | 17,979 | 16,625 |
Deferred compensation plan assets reported in: | ||
Deferred compensation plan assets | $ 17,979 | $ 16,625 |
Note 12 - Interest and Other 67
Note 12 - Interest and Other Income, Net - Interest and Other Income Components (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Interest income | $ 1,460 | $ 1,264 |
Amortization of premium on available-for-sale investments | (435) | (507) |
Gain (loss) on deferred compensation plan investments | (186) | 733 |
Foreign currency exchange loss | (399) | (109) |
Total | $ 440 | $ 1,381 |
Note 13 - Income Taxes (Details
Note 13 - Income Taxes (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Income Tax Expense (Benefit), Total | $ 621 | $ 474 |
Effective Income Tax Rate Reconciliation, Percent, Total | 2.80% | 3.20% |
GILTI Tax | $ 12,400 | |
Payment for the Transition Tax | 1,900 | |
Unrecognized Tax Benefits, Ending Balance | 18,800 | $ 16,300 |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 9,900 | 9,100 |
Unrecognized Tax Benefits, Interest on Income Taxes Accrued | 600 | $ 500 |
Income Tax Liabilities, Noncurrent [Member] | ||
Transition Tax Liability | $ 22,000 |
Note 14 - Accumulated Other C69
Note 14 - Accumulated Other Comprehensive Income - Changes in Accumulated Other Comprehensive Income (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Balance | $ 522,007 |
Balance | 558,306 |
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | |
Balance | (1,364) |
Other comprehensive income (loss) before reclassifications | (1,185) |
Amounts reclassified from accumulated other comprehensive income | 25 |
Net current period other comprehensive income (loss) | (1,160) |
Balance | (2,524) |
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | |
Balance | 3,177 |
Other comprehensive income (loss) before reclassifications | 4,389 |
Amounts reclassified from accumulated other comprehensive income | |
Net current period other comprehensive income (loss) | 4,389 |
Balance | 7,566 |
AOCI Attributable to Parent [Member] | |
Balance | 1,813 |
Other comprehensive income (loss) before reclassifications | 3,204 |
Amounts reclassified from accumulated other comprehensive income | 25 |
Net current period other comprehensive income (loss) | 3,229 |
Balance | $ 5,042 |
Note 15 - Dividends and Divid70
Note 15 - Dividends and Dividend Equivalents (Details Textual) - USD ($) $ in Millions | Mar. 31, 2018 | Dec. 31, 2017 |
Dividends Payable, Current | $ 12.6 | $ 8.3 |
Accrued Dividend Equivalents | $ 6.7 | $ 5.8 |
Note 15 - Dividends and Divid71
Note 15 - Dividends and Dividend Equivalents - Cash Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Cash dividends declared per common share (in dollars per share) | $ 0.30 | $ 0.20 |
Total amount | $ 12,644 | $ 8,248 |