Penumbra (PEN) 10-Q 3 Aug 20 2020 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2020	Jul. 20, 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	001-37557
Entity Registrant Name	Penumbra Inc
Entity Address, Address Description	One Penumbra Place
Entity Address, City or Town	Alameda
Entity Address, State or Province	CA
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	05-0605598
Entity Address, Postal Zip Code	94502
City Area Code	510
Local Phone Number	748-3200
Title of 12(b) Security	Common Stock, Par value $0.001 per share
Trading Symbol	PEN
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		36,107,440
Entity Central Index Key	0001321732
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 134,381	$ 72,779
Marketable investments	143,914	116,610
Accounts receivable, net of allowance for credit losses of $2,076 and net of doubtful accounts of $2,946 at June 30, 2020 and December 31, 2019, respectively	97,613	105,901
Inventories	183,442	152,992
Prepaid expenses and other current assets	16,545	14,852
Total current assets	575,895	463,134
Property and equipment, net	62,188	51,812
Operating lease right-of-use assets	42,669	43,717
Finance lease right-of-use assets	37,927	39,924
Intangible assets, net	10,645	25,407
Goodwill	7,665	7,656
Deferred taxes	36,474	31,305
Other non-current assets	6,737	2,946
Total assets	780,200	665,901
Current liabilities:
Accounts payable	14,432	15,111
Accrued liabilities	57,718	67,630
Current operating lease liabilities	4,446	4,142
Current finance lease liabilities	1,016	4,165
Total current liabilities	77,612	91,048
Non-current operating lease liabilities	45,925	47,242
Non-current finance lease liabilities	26,202	26,748
Other non-current liabilities	7,300	15,250
Total liabilities	157,039	180,288
Commitments and contingencies
Stockholders’ equity:
Common stock	36	35
Additional paid-in capital	581,066	430,659
Accumulated other comprehensive loss	(2,097)	(2,324)
Retained earnings	45,789	57,522
Total Penumbra, Inc. stockholders’ equity	624,794	485,892
Non-controlling interest	(1,633)	(279)
Total stockholders’ equity	623,161	485,613
Total liabilities and stockholders’ equity	$ 780,200	$ 665,901

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2020	Mar. 31, 2020	Jan. 01, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Accounts Receivable, Allowance for Credit Loss	$ 2,076	$ 2,055	$ 1,892	$ 2,946

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income Statement [Abstract]
Revenue	$ 105,109	$ 134,201	$ 242,438	$ 262,640
Cost of revenue	40,179	40,273	89,499	84,802
Gross profit	64,930	93,928	152,939	177,838
Operating expenses:
Research and development	22,725	13,462	35,671	25,129
Sales, general and administrative	59,854	67,665	134,307	128,756
Total operating expenses	82,579	81,127	169,978	153,885
(Loss) income from operations	(17,649)	12,801	(17,039)	23,953
Interest income, net	108	784	407	1,517
Other income (expense), net	511	(71)	(1,144)	(47)
(Loss) income before income taxes	(17,030)	13,514	(17,776)	25,423
Benefit from income taxes	(4,129)	(2,735)	(5,763)	(1,280)
Consolidated net (loss) income	(12,901)	16,249	(12,013)	26,703
Net loss attributable to non-controlling interest	(941)	(339)	(1,478)	(583)
Net (loss) income attributable to Penumbra, Inc.	$ (11,960)	$ 16,588	$ (10,535)	$ 27,286
Net (loss) income attributable to Penumbra, Inc. per share:
Basic (in dollars per share)	$ (0.34)	$ 0.48	$ (0.30)	$ 0.79
Diluted (in dollars per share)	$ (0.34)	$ 0.46	$ (0.30)	$ 0.75
Weighted average shares outstanding:
Basic (in shares)	35,400,542	34,694,228	35,221,727	34,601,270
Diluted (in shares)	35,400,542	36,214,321	35,221,727	36,214,362

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive (Loss) Income - 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]
Consolidated net (loss) income	$ (12,901)	$ 16,249	$ (12,013)	$ 26,703
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments, net of tax	1,347	850	(287)	(248)
Net change in unrealized gains on available-for-sale securities, net of tax	1,131	214	514	676
Total other comprehensive income, net of tax	2,478	1,064	227	428
Consolidated comprehensive (loss) income	(10,423)	17,313	(11,786)	27,131
Net loss attributable to non-controlling interest	(941)	(339)	(1,478)	(583)
Comprehensive (loss) income attributable to Penumbra, Inc.	$ (9,482)	$ 17,652	$ (10,308)	$ 27,714

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity (Deficit) - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Retained Earnings (Accumulated Deficit)	Total Penumbra, Inc. Stockholders’ Equity	Non-controlling Interest
Beginning balance (in shares) at Dec. 31, 2018		34,437,339
Beginning balance at Dec. 31, 2018	$ 422,415	$ 34	$ 415,084	$ (1,942)	$ 9,064	$ 422,240	$ 175
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)		140,598
Issuance of common stock	1,071	$ 0	1,071			1,071
Shares held for tax withholdings (in shares)		(14,284)
Shares held for tax withholdings	(2,098)		(2,098)			(2,098)
Stock-based compensation	5,457		5,457			5,457
Other comprehensive income (loss)	(636)			(636)		(636)
Net income (loss)					10,698	10,698
Net loss attributable to non-controlling interest							(244)
Consolidated net (loss) income	10,454
Ending balance (in shares) at Mar. 31, 2019		34,563,653
Ending balance at Mar. 31, 2019	436,663	$ 34	419,514	(2,578)	19,762	436,732	(69)
Beginning balance (in shares) at Dec. 31, 2018		34,437,339
Beginning balance at Dec. 31, 2018	422,415	$ 34	415,084	(1,942)	9,064	422,240	175
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Other comprehensive income (loss)	428			428
Net income (loss)	27,286
Net loss attributable to non-controlling interest	(583)
Consolidated net (loss) income	26,703
Ending balance (in shares) at Jun. 30, 2019		34,786,503
Ending balance at Jun. 30, 2019	454,183	$ 35	419,220	(1,514)	36,350	454,091	92
Beginning balance (in shares) at Mar. 31, 2019		34,563,653
Beginning balance at Mar. 31, 2019	436,663	$ 34	419,514	(2,578)	19,762	436,732	(69)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)		259,080
Issuance of common stock	1,195	$ 1	1,194			1,195
Issuance of common stock under employee stock purchase plan (in shares)		46,065
Issuance of common stock under employee stock purchase plan	4,779		4,779			4,779
Shares held for tax withholdings (in shares)		82,295
Shares held for tax withholdings	(11,281)		(11,281)			(11,281)
Stock-based compensation	5,014		5,014			5,014
Capital contribution from non-controlling interest	500						500
Other comprehensive income (loss)	1,064			1,064		1,064
Net income (loss)	16,588				16,588	16,588
Net loss attributable to non-controlling interest	(339)						(339)
Consolidated net (loss) income	16,249
Ending balance (in shares) at Jun. 30, 2019		34,786,503
Ending balance at Jun. 30, 2019	454,183	$ 35	419,220	(1,514)	36,350	454,091	92
Beginning balance (in shares) at Dec. 31, 2019		35,001,581
Beginning balance at Dec. 31, 2019	485,613	$ 35	430,659	(2,324)	57,522	485,892	(279)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)		81,485
Issuance of common stock	396	$ 0	396			396
Shares held for tax withholdings (in shares)		(12,058)
Shares held for tax withholdings	(2,105)		(2,105)			(2,105)
Stock-based compensation	6,774		6,774			6,774
Other comprehensive income (loss)	(2,251)			(2,251)		(2,251)
Net income (loss)					1,425	1,425
Net loss attributable to non-controlling interest							(537)
Consolidated net (loss) income	888
Ending balance (in shares) at Mar. 31, 2020		35,071,008
Ending balance at Mar. 31, 2020	488,117	$ 35	435,724	(4,575)	57,749	488,933	(816)
Beginning balance (in shares) at Dec. 31, 2019		35,001,581
Beginning balance at Dec. 31, 2019	485,613	$ 35	430,659	(2,324)	57,522	485,892	(279)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Other comprehensive income (loss)	227			227
Net income (loss)	(10,535)
Net loss attributable to non-controlling interest	(1,478)
Consolidated net (loss) income	(12,013)
Ending balance (in shares) at Jun. 30, 2020		36,036,410
Ending balance at Jun. 30, 2020	623,161	$ 36	581,066	(2,097)	45,789	624,794	(1,633)
Beginning balance (in shares) at Mar. 31, 2020		35,071,008
Beginning balance at Mar. 31, 2020	488,117	$ 35	435,724	(4,575)	57,749	488,933	(816)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock (in shares)		68,153
Issuance of common stock	791	$ 0	667			667	124
Issuance of common stock under employee stock purchase plan (in shares)		41,590
Issuance of common stock under employee stock purchase plan	5,945		5,945			5,945
Issuance of common stock upon underwritten public offering, net of issuance cost (in shares)		865,963
Issuance of common stock upon underwritten public offering, net of issuance cost	134,759	$ 1	134,758			134,759
Shares held for tax withholdings (in shares)		10,304
Shares held for tax withholdings	(1,768)		(1,768)			(1,768)
Stock-based compensation	5,740		5,740			5,740
Other comprehensive income (loss)	2,478			2,478		2,478
Net income (loss)	(11,960)				(11,960)	(11,960)
Net loss attributable to non-controlling interest	(941)						(941)
Consolidated net (loss) income	(12,901)
Ending balance (in shares) at Jun. 30, 2020		36,036,410
Ending balance at Jun. 30, 2020	$ 623,161	$ 36	$ 581,066	$ (2,097)	$ 45,789	$ 624,794	$ (1,633)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Statement of Cash Flows [Abstract]
Consolidated net (loss) income	$ (12,013)	$ 26,703
Adjustments to reconcile consolidated net (loss) income to net cash used in operating activities:
Depreciation and amortization	6,090	3,737
Stock-based compensation	11,248	10,230
Inventory write-downs	1,716	1,668
Deferred taxes	(5,240)	(1,721)
Impairment of intangible asset	2,500	0
Other	2,629	603
Changes in operating assets and liabilities:
Accounts receivable	6,757	(17,552)
Inventories	(31,935)	(18,521)
Prepaid expenses and other current and non-current assets	(4,255)	(3,812)
Accounts payable	(6)	415
Accrued expenses and other non-current liabilities	(5,100)	(1,915)
Net cash provided by (used in) operating activities	(27,609)	(165)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of marketable investments	(60,320)	(29,550)
Proceeds from sales of marketable investments	7,188	2,700
Proceeds from maturities of marketable investments	27,535	50,800
Purchases of property and equipment	(16,850)	(6,208)
Other	(2,060)	(1,000)
Net cash provided by (used in) investing activities	(44,507)	16,742
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of common stock upon underwritten public offering, net of issuance cost	134,759	0
Proceeds from exercises of stock options	1,187	2,265
Proceeds from issuance of stock under employee stock purchase plan	5,945	4,779
Payment of employee taxes related to vested stock	(3,873)	(13,379)
Payments of finance lease obligations	(2,976)	0
Payment of acquisition-related obligations	(683)	(1,183)
Proceeds from capital contribution from non-controlling interest	0	500
Other	(248)	0
Net cash provided by (used in) financing activities	134,111	(7,018)
Effect of foreign exchange rate changes on cash and cash equivalents	(393)	(148)
NET INCREASE IN CASH AND CASH EQUIVALENTS	61,602	9,411
CASH AND CASH EQUIVALENTS—Beginning of period	72,779	67,850
CASH AND CASH EQUIVALENTS—End of period	134,381	77,261
NONCASH INVESTING AND FINANCING ACTIVITIES:
Purchase of property and equipment funded through accounts payable and accrued liabilities	666	1,290
Right-of-use assets obtained in exchange for lease obligations	$ 830	$ 1,111

Organization and Description of

Organization and Description of Business	6 Months Ended
	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Description of Business	1. Organization and Description of Business Penumbra, Inc. (the “Company”) is a global healthcare company focused on innovative therapies. The Company designs, develops, manufactures and markets novel products and has a broad portfolio that addresses challenging medical conditions in markets with significant unmet need.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies Basis of Presentation and Consolidation The accompanying condensed consolidated balance sheet as of June 30, 2020, the condensed consolidated statements of operations, the condensed consolidated statements of comprehensive (loss) income, and the condensed consolidated statements of stockholders’ equity for the three and six months ended June 30, 2020 and 2019, and the condensed consolidated statements of cash flows for the six months ended June 30, 2020 and 2019 are unaudited. The unaudited condensed consolidated financial statements included herein have been prepared by the Company in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the applicable rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) for interim financial information. Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. The condensed consolidated balance sheet data as of December 31, 2019 was derived from the audited financial statements as of that date. The unaudited condensed consolidated financial statements have been prepared on the same basis as the audited consolidated financial statements and, in the opinion of management, reflect all adjustments of a normal recurring nature considered necessary to state fairly the Company’s financial position as of June 30, 2020, the results of its operations for the three and six months ended June 30, 2020 and 2019, the changes in comprehensive (loss) income and stockholders’ equity for the three and six months ended June 30, 2020 and 2019, and the cash flows for the six months ended June 30, 2020 and 2019. The results for the three and six months ended June 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020 or for any other future annual or interim period. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, 2019, included in the Company’s Annual Report on Form 10-K. There have been no changes to the Company’s significant accounting policies during the six months ended June 30, 2020, as compared to the significant accounting policies described in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019, other than the changes described below in connection with the adoption of the guidance under Accounting Standard Update (“ASU”) No. 2016-13. The condensed consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries and its majority-owned subsidiary. The portion of equity and consolidated net income not attributable to the Company is considered non-controlling interest and is classified separately in the condensed consolidated financial statements. Any subsequent changes in the Company’s ownership interest while the Company retains its controlling interest in its majority-owned subsidiary will be accounted for as equity transactions. All intercompany balances and transactions have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and equity accounts; disclosure of contingent assets and liabilities at the date of the financial statements; and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including those related to marketable investments, allowances for credit losses, the amount of variable consideration included in the transaction price, warranty reserve, valuation of inventories, useful lives of property and equipment, operating and financing lease right-of-use (“ROU”) assets and liabilities, income taxes, contingent consideration and other contingencies, among others. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other data. Actual results could differ from those estimates. Segments The Company determined its operating segment on the same basis that it uses to evaluate its performance internally. The Company has one business activity: the design, development, manufacturing and marketing of innovative devices, and operates as one operating segment. The Company’s chief operating decision-maker, its Chief Executive Officer, reviews its consolidated operating results for the purpose of allocating resources and evaluating financial performance. Recently Adopted Accounting Standards On January 1, 2020, the Company adopted ASU No. 2016-13, Financial Instruments—Credit Losses (“ASU 2016-13”) using the modified retrospective transition approach, with the impact upon adoption reflected in opening retained earnings. The comparative prior year information has not been adjusted and continues to be reported under legacy GAAP. The standard significantly changed the impairment model for most financial assets and certain other instruments, including accounts receivable and available-for-sale securities. For financial assets measured at amortized cost, including our accounts receivable, the standard requires an entity to (1) estimate its lifetime expected credit losses upon recognition of the financial assets and establish an allowance to present the net amount expected to be collected, (2) recognize this allowance and changes in the allowance during subsequent periods through net income and (3) consider relevant information about past events, current conditions and reasonable and supportable forecasts in assessing the lifetime expected credit losses. For available-for-sale debt securities, this standard made several targeted amendments to the existing other-than-temporary impairment model, including (1) requiring disclosure of the allowance for credit losses, (2) allowing reversals of the previously recognized credit losses until the entity has the intent to sell, is more-likely-than-not required to sell the securities or the maturity of the securities, (3) limiting impairment to the difference between the amortized cost basis and fair value and (4) not allowing entities to consider the length of time that fair value has been less than amortized cost as a factor in evaluating whether a credit loss exists. As a result of adoption, the cumulative impact related to accounts receivable expected credit losses to our opening retained earnings at January 1, 2020 was $1.2 million . As of the adoption date, the difference between the amortized cost basis and fair value of the Company’s impaired available-for-sale securities held was not material. Accordingly, upon adoption there was no impact to our opening retained earnings for credit losses related to available-for-sale securities. For additional information on the impact of the adoption and disclosures required by ASU 2016-13, refer to the updates to significant accounting policies section below, Note “3. Investments and Fair Value of Financial Instruments” and Note “4. Balance Sheet Components.” On January 1, 2020, the Company adopted ASU 2018-13, Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. The primary focus of the standard is to improve the effectiveness of the disclosure requirements for fair value measurements. The Company had no significant changes to the fair value measurement related disclosures due to the adoption of the standard. Updates to Significant Accounting Policies As a result of the adoption of the ASU 2016-13, the Company has made the following updates to its significant accounting policies described in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019. Significant Accounting Policies Update - Credit Losses The Company is exposed to credit losses primarily through our accounts receivable from sales of products on credit terms of one year or less. The Company performs ongoing credit evaluations of its customers, does not require collateral, and maintains allowances for potential credit losses on customer accounts. The Company monitors its ongoing credit exposure and concentration through active review of customers balances against contract terms, due dates, geographic related risks and current economic conditions impacting our customers. Our activities include timely account reconciliation, dispute resolution and payment confirmation. Refer to “Significant Accounting Policies - Accounts Receivable” for more information on the allowance for credit losses on the Company’s accounts receivables. The Company is also exposed to credit losses through its investments in available-for-sale securities. An investment is impaired if the fair value of the investment is less than its amortized cost basis. The Company reviews each impaired available-for-sale security held in its portfolio to determine whether the decline in fair value below its amortized cost basis is the result of credit losses or other factors. An allowance for credit losses is to be recorded as a charge to net income in an amount equal to the difference between the impaired security’s amortized cost basis and the amount expected to be collected over the lifetime of security, limited by the amount that the fair value is less than its amortized cost basis. Any remaining difference between its amortized cost basis and fair value is deemed not to be due to expected credit losses and is recorded as a component of accumulated other comprehensive loss. The Company’s impairment review considers several factors to determine if an expected credit loss is present including the discounted present value of expected cash flows of the security, the capacity to hold a security or sell a security before recovery of the decline in amortized cost, the credit rating of the security and forecasted and historical factors that affect the value of the security. See Note “3. Investments and Fair Value of Financial Instruments” for more information. Significant Accounting Policies Update - Accounts Receivable Accounts receivable are measured at amortized cost less the allowances for credit losses. In accordance with ASU 2016-13, as of January 1, 2020, the Company measures expected credit losses for its accounts receivables utilizing a loss-rate approach. The allowance for expected credit losses assessment requires a degree of estimation and judgement. The expected loss-rate is calculated by utilizing historical credit losses incurred as percentage of the Company’s historical accounts receivable balances, pooled by customers with similar geographic credit risk characteristics. The loss-rate is adjusted for management’s expectations regarding current conditions and forecasts about future conditions which impact expected credit losses. The Company considers factors such as customers credit risk, geographic related risks and economic conditions that may affect a customer’s credit quality classification. Prior to the adoption of ASU 2016-13, the Company recognized losses when a loss was incurred or deemed probable. At June 30, 2020, the Company reported $97.6 million of accounts receivable, net of credit losses of $2.1 million. See Note “4. Balance Sheet Components” for more information. Recently Issued Accounting Standards In December 2019, the FASB issued ASU No. 2019-12, Income Taxes— Simplifying the Accounting for Income Taxes. The standard intends to simplify and reduce the cost of accounting for income taxes. The new guidance removes certain exceptions for recognizing deferred taxes for foreign investments, the incremental approach to performing intraperiod allocation, and calculating income taxes in interim periods for year to date losses that exceed anticipated full year losses. The standard also adds guidance to reduce complexity in certain areas, including accounting for franchise taxes that are partially based on income, transactions with a government that result with a step up in the tax basis of goodwill, enacted changes in tax law during interim periods, and allocating taxes to members of a consolidated group which are not subject to tax. For public business entities, the amendments in ASU 2019-12 are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early adoption is permitted for all periods in which financial statements have not yet been issued, including interim periods. The Company is currently evaluating the impact of adopting the new guidance. In January 2020, the FASB issued ASU 2020-01, Investments - Equity Securities (Topic 321), Investments-Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815). The amendments clarify that an entity should consider observable transactions that require it to either apply or discontinue the equity method of accounting for the purposes of applying the measurement alternative in accordance with Topic 321 immediately before applying or upon discontinuing the equity method. The amendments in this standard are effective for the Company for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. Early adoption is permitted, including early adoption in an interim period. The amendments in this standard should be applied prospectively. Under a prospective transition, the Company would apply the amendments at the beginning of the interim period that includes the adoption date. The Company is currently evaluating the impact of adopting the new standard.

Investments and Fair Value of F

Investments and Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Investments and Fair Value of Financial Instruments	3. Investments and Fair Value of Financial Instruments Marketable Investments The Company’s marketable investments have been classified and accounted for as available-for-sale. The following table presents the Company’s marketable investments as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Allowance Fair Value Commercial paper $ 13,231 $ — $ (2) $ — $ 13,229 U.S. agency and government sponsored securities 8,845 15 — — 8,860 U.S. states and municipalities 7,265 58 — — 7,323 Corporate bonds 113,592 927 (17) — 114,502 Total $ 142,933 $ 1,000 $ (19) $ — $ 143,914 December 31, 2019 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Commercial paper $ 7,456 $ 1 $ — $ 7,457 U.S. treasury 4,972 7 — 4,979 U.S. agency and government sponsored securities 2,499 19 — 2,518 U.S. states and municipalities 4,889 4 — 4,893 Corporate bonds 96,484 282 (3) 96,763 Total $ 116,300 $ 313 $ (3) $ 116,610 As of June 30, 2020, the total amortized cost basis of the Company’s impaired available-for-sale securities exceeded its fair value by a nominal amount. The Company reviewed its impaired available-for-sale securities and concluded that the decline in fair value was not related to credit losses and is recoverable. Accordingly, during the three and six months ended June 30, 2020 no allowance for credit losses was recorded and instead the unrealized losses are reported as a component of accumulated other comprehensive loss. Prior to the adoption of ASU 2016-13, the Company recognized losses, if any, in consolidated net income when the security was sold. The following tables present the gross unrealized losses and the fair value for those marketable investments that were in an unrealized loss position for less than twelve months or for twelve months or more as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 Less than 12 months 12 months or more Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Commercial paper $ 8,233 $ (2) $ — $ — $ 8,233 $ (2) Corporate bonds 27,861 (17) — — 27,861 (17) Total $ 36,094 $ (19) $ — $ — $ 36,094 $ (19) December 31, 2019 Less than 12 months 12 months or more Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Corporate bonds $ 7,875 $ (3) $ — $ — $ 7,875 $ (3) Total $ 7,875 $ (3) $ — $ — $ 7,875 $ (3) The following table presents the contractual maturities of the Company’s marketable investments as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Fair Value Fair Value Due in less than one year $ 40,375 $ 51,990 Due in one to five years 103,539 64,620 Total $ 143,914 $ 116,610 Fair Value of Financial Instruments Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. The accounting guidance establishes a three-tiered hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as 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 - 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 categorization of a financial instrument within the valuation hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company classifies its cash equivalents and marketable investments within Level 1 and Level 2, as it uses quoted market prices or alternative pricing sources and models utilizing market observable inputs. The Company determined the fair value of its Level 1 financial instruments, which are traded in active markets, using quoted market prices for identical instruments. Financial instruments classified within Level 2 of the fair value hierarchy are valued based on other observable inputs, including broker or dealer quotations or alternative pricing sources. When quoted prices in active markets for identical assets or liabilities are not available, the Company relies on non-binding quotes from its investment managers, which are based on proprietary valuation models of independent pricing services. These models generally use inputs such as observable market data, quoted market prices for similar instruments, or historical pricing trends of a security relative to its peers. To validate the fair value determination provided by its investment managers, the Company reviews the pricing movement in the context of overall market trends and trading information from its investment managers. In addition, the Company assesses the inputs and methods used in determining the fair value in order to determine the classification of securities in the fair value hierarchy. The following tables set forth the Company’s financial assets measured at fair value by level within the fair value hierarchy as of June 30, 2020 and December 31, 2019 (in thousands): As of June 30, 2020 Level 1 Level 2 Level 3 Fair Value Financial Assets Cash equivalents: Money market funds $ 102,750 $ — $ — $ 102,750 U.S. states and municipalities — 4,023 — 4,023 Marketable investments: Commercial paper — 13,229 — 13,229 U.S. treasury — — — — U.S. agency and government sponsored securities — 8,860 — 8,860 U.S. states and municipalities — 7,323 — 7,323 Corporate bonds — 114,502 — 114,502 Total — 143,914 — 143,914 Total $ 102,750 $ 147,937 $ — $ 250,687 As of December 31, 2019 Level 1 Level 2 Level 3 Fair Value Financial Assets Cash equivalents: Commercial paper $ — $ 9,474 $ — $ 9,474 Money market funds 24,054 — — 24,054 Marketable investments: Commercial paper — 7,457 — 7,457 U.S. treasury 4,979 — — 4,979 U.S. agency and government sponsored securities — 2,518 — 2,518 U.S. states and municipalities — 4,893 — 4,893 Corporate bonds — 96,763 — 96,763 Total 4,979 111,631 — 116,610 Total $ 29,033 $ 121,105 $ — $ 150,138 Contingent Consideration Obligations As of June 30, 2020 and December 31, 2019, there were no contingent consideration liabilities classified as Level 3. As of December 31, 2019, the Company’s contingent consideration liability balance of $1.2 million relates to milestone payments due in connection with the 2017 acquisition of Crossmed S.p.a. (“Crossmed”) and was based on actual revenue performance for the year ended December 31, 2019 and not based on unobservable inputs. The Company made this payment during the six months ended June 30, 2020. For more information related to the payment of the contingent consideration liabilities refer to Note “5. Business Combinations.” The following tables summarize the changes in fair value of the contingent consideration obligation for the six months ended June 30, 2020 and June 30, 2019 (in thousands): Fair Value of Contingent Consideration Balance at December 31, 2019 $ 1,206 Payments of contingent consideration liabilities (1,186) Changes in fair value — Foreign currency remeasurement (20) Balance at June 30, 2020 $ — Fair Value of Contingent Consideration Balance at December 31, 2018 $ 2,571 Payments of contingent consideration liabilities (1,296) Changes in fair value — Foreign currency remeasurement (19) Balance at June 30, 2019 $ 1,256 The Company did not hold any Level 3 marketable investments as of June 30, 2020 or December 31, 2019. During the six months ended June 30, 2020 and 2019, the Company did not have any transfers between Level 1, Level 2 or Level 3 of the fair value hierarchy. Additionally, the Company did not have any financial assets and liabilities measured at fair value on a non-recurring basis as of June 30, 2020 or December 31, 2019.

Balance Sheet Components

Balance Sheet Components	6 Months Ended
	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Balance Sheet Components	4. Balance Sheet Components Allowance for Credit Losses - Accounts Receivable The Company’s allowance for credit losses related to accounts receivable balances was comprised of the following (in thousands): Balance At Write-offs Provision for Balance At January 1, 2020 (1) $ 2,946 $ (2,361) $ 1,307 $ 1,892 January 1, 2020 - March 31, 2020 (2) $ 1,892 $ — $ 163 $ 2,055 April 1, 2020 - June 30, 2020 (2) $ 2,055 $ — $ 21 $ 2,076 (1) On January 1, 2020, the Company recorded a $1.3 million adjustment to opening retained earnings upon the adoption of ASU 2016-13. (2) The Company recorded a $0.2 million allowance for credit losses during the six months ended June 30, 2020. The allowance for credit losses recorded during the three months ended June 30, 2020 was not material. Inventories The following table shows the components of inventories as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Raw materials $ 27,823 $ 21,646 Work in process 16,010 21,651 Finished goods 139,609 109,695 Inventories $ 183,442 $ 152,992 Accrued Liabilities The following table shows the components of accrued liabilities as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Payroll and employee-related cost $ 32,035 $ 37,727 Accrued expenses 9,081 7,811 Sales return provision 1,821 1,821 Product warranty 2,416 2,318 Other acquisition-related costs (1) 3,000 4,291 Other accrued liabilities 9,365 13,662 Total accrued liabilities $ 57,718 $ 67,630 (1) Amount consists of a contingent liability related to an anti-dilution provision from the asset acquisition of MVI Health Inc. (“MVI”) in 2018. The following table shows the changes in the Company’s estimated product warranty accrual, included in accrued liabilities, as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Balance at the beginning of the period $ 2,318 $ 1,875 Accruals of warranties issued 485 1,065 Settlements of warranty claims (387) (622) Balance at the end of the period $ 2,416 $ 2,318 Other Non-Current Liabilities The following table shows the components of other non-current liabilities as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Deferred tax liabilities $ 4,033 $ 4,005 Licensing-related cost (1) — 10,878 Other non-current liabilities 3,267 367 Total other non-current liabilities $ 7,300 $ 15,250 (1) Amount relates to the non-current liability recorded for probable future milestone payments associated with the indefinite-lived intangible assets related to licensed technology described in Note “6. Intangible Assets.” Refer therein for more information.

Business Combinations

Business Combinations	6 Months Ended
	Jun. 30, 2020
Business Combinations [Abstract]
Business Combinations	5. Business Combinations Payments Related to 2017 Crossmed Acquisition On July 3, 2017, the Company completed its acquisition of Crossmed, a joint stock company organized under the laws of Italy. The purchase price measurement period was closed as of June 30, 2018. The Company was obligated to pay additional consideration to the sellers of Crossmed (the “Sellers”) in the form of milestone payments based on Crossmed’s net revenue and may be required to pay additional consideration based on incremental net revenue for each of the periods ended. There is no limit on the milestone payments that can be paid out. As of December 31, 2019, the Company’s condensed consolidated balance sheet included $1.2 million, in current liabilities primarily related to the final milestone payment due which was paid during the first quarter of 2020. During the six months ended June 30, 2020, the Company made $1.2 million in milestone payments of which $0.5 million is presented in operating activities and $0.7 million is presented in financing activities in the condensed consolidated statement of cash flows. During the six months ended June 30, 2019, the Company made $1.3 million in milestone payments of which $0.6 million is presented in operating activities and $0.7 million is presented in financing activities in the condensed consolidated statement of cash flows.

Intangible Assets

Intangible Assets	6 Months Ended
	Jun. 30, 2020
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Intangible Assets	6. Intangible Assets Acquired Intangible Assets The following tables present details of the Company’s acquired finite-lived and indefinite-lived intangible assets, as of June 30, 2020 and December 31, 2019 (in thousands, except weighted-average amortization period): As of June 30, 2020 Weighted-Average Amortization Period Gross Carrying Amount Accumulated Amortization Net Customer relationships 15.0 years $ 6,694 $ (1,339) $ 5,355 Trade secrets and processes 20.0 years 5,256 (657) 4,599 Other 5.0 years 1,726 (1,035) 691 Total intangible assets 16.5 years $ 13,676 $ (3,031) $ 10,645 As of December 31, 2019 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Customer relationships 15.0 years $ 6,686 $ (1,114) $ 5,572 Trade secrets and processes 20.0 years 5,256 (526) 4,730 Other 5.0 years 1,724 (862) 862 Total intangible assets subject to amortization 16.4 years $ 13,666 $ (2,502) $ 11,164 Intangible assets related to licensed technology 14,243 — 14,243 Total intangible assets $ 27,909 $ (2,502) $ 25,407 The customer relationships and other intangible assets subject to amortization relate to the acquisition of Crossmed during the third quarter of 2017. The gross carrying amount and accumulated amortization of these intangible assets are subject to foreign currency translation effects. Refer to Note “5. Business Combinations” for more information. The Company’s $5.3 million trade secrets and processes intangible asset was recognized in connection with a royalty buyout agreement during the first quarter of 2018, which is discussed further in Note “10. Commitments and Contingencies”. The following table presents the amortization expense recorded related to the Company’s finite-lived intangible assets for the three and six months ended June 30, 2020 and June 30, 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cost of revenue $ 66 $ 66 $ 131 $ 131 Sales, general and administrative 194 198 388 399 Total $ 260 $ 264 $ 519 $ 530 Licensed technology During the third quarter of 2017, the Company entered into an exclusive technology license agreement (the “License Agreement”) that required the Company to pay an upfront payment to the licensor of $2.5 million and future revenue milestone-based payments on sales of products covered by the licensed intellectual property. The Company accounted for the transaction as an asset acquisition and recorded an indefinite-lived intangible asset as it was determined to have alternative future use. The Company recorded an indefinite-lived intangible asset equal to the total payments made and expected to be made under the License Agreement and a corresponding contingent liability for the probable future milestone payments not yet paid. Upon the commercialization of the underlying product utilizing the licensed technology, the capitalized amount will be amortized over its estimated useful life. At the end of each reporting period the Company adjusts the contingent liabilities to reflect the amount of future milestone payments that are probable to be paid. Prior to the commercialization of products utilizing the underlying technology, any changes in the contingent liability are recorded as an adjustment between the liability balances and the gross carrying amount of the indefinite-lived intangible asset. As of June 30, 2020, there was no contingent liability balance related to probable future milestone payments under the License Agreement. As of December 31, 2019, the balance of the contingent liability related to probable future milestone payments under the License Agreement was $11.7 million, of which $0.8 million and $10.9 million were included in accrued liabilities and other non-current liabilities on the condensed consolidated balance sheet, respectively.

Goodwill

Goodwill	6 Months Ended
	Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	7. Goodwill The following table presents the changes in goodwill during the six months ended June 30, 2020 (in thousands): Total Company Balance as of December 31, 2019 $ 7,656 Foreign currency translation 9 Balance as of June 30, 2020 $ 7,665

Debt

Debt	6 Months Ended
	Jun. 30, 2020
Debt Disclosure [Abstract]
Indebtedness	8. Indebtedness Credit Agreement On April 24, 2020, the Company entered into a Credit Agreement (the “Credit Agreement”) with JPMorgan Chase Bank, N.A., as administrative agent and lender, and Bank of America, N.A. and Citibank, N.A. as lenders. The Credit Agreement is secured and provides for up to $100 million in available revolving borrowing capacity with an option, subject to certain conditions, for the Company to increase the aggregate borrowing capacity to up to $150 million, and matures on April 23, 2021. The revolving loans under the Credit Agreement will be available for general corporate purposes, including working capital and capital expenditures. In addition to allowing borrowings in US dollars, the Credit Agreement provides for borrowings in euros, Pounds Sterling and any other currency that is subsequently approved by JPMorgan and each lender. The initial commitment of the lenders under the Credit Agreement is $100 million. Subject to customary conditions and the approval of any lender whose commitment would be increased, the Company has the option to increase the maximum principal amount available under the Credit Agreement by up to an additional $50 million, resulting in a maximum available principal amount under the Credit Agreement of $150 million. The Credit Agreement provides a sublimit of up to $10 million for letters of credit, a sublimit of up to $10 million for swing-line loans, and a sublimit of up to $15 million for borrowings in available foreign currencies. The Credit Agreement requires the Company to maintain a minimum fixed charge coverage ratio and to not exceed a maximum leverage ratio. As of June 30, 2020, the Company was in compliance with these covenants. As of June 30, 2020 , there were no borrowings outstanding under the Credit Agreement.

Leases

Leases	6 Months Ended
	Jun. 30, 2020
Leases [Abstract]
Leases	9. Leases Lease Overview As of December 31, 2019 and June 30, 2020, the Company’s contracts that contained a lease consisted of real estate, equipment and vehicle leases. The Company leases real estate for office and warehouse space primarily under noncancelable operating leases that expire at various dates through 2035, subject to the Company’s option to renew certain leases for an additional five The following table presents the components of the Company’s lease cost, lease term and discount rate during the three and six months ended June 30, 2020 (in thousands, except years and percentages): Three Months Ended Six Months Ended June 30, 2020 June 30, 2019 June 30, 2020 June 30, 2019 Lease Cost Operating lease cost $ 1,905 $ 1,686 $ 3,792 $ 3,453 Finance lease cost: Amortization of right-of-use assets 645 — 1,316 — Interest on lease liabilities 360 — 755 — Variable lease cost (1) 1,439 846 2,892 1,604 Total lease costs $ 4,349 $ 2,532 $ 8,755 $ 5,057 Weighted Average Remaining Lease Term Operating leases 9.5 years 10.3 years Finance leases 14.5 years — Weighted Average Discount Rate Operating leases 6.19 % 6.20 % Finance leases 5.42 % — % (1) Variable lease costs represent payments that are dependent on usage, a rate or index. Variable lease cost primarily relates to common area maintenance charges for its real estate leases as the Company elected not to separate non-lease components from lease components upon adoption of ASC 842. During the third quarter of 2019, the Company signed a 15 year lease for additional space at the Company’s headquarters located at 1310 Harbor Bay Business Park, Alameda, California (the “1310 Harbor Bay Lease”) which has not yet commenced as of June 30, 2020. The 1310 Harbor Bay Lease is expected to commence upon substantial completion of lessor owned improvements in connection with the development of the building which the Company anticipates will occur in the next two years. In the fourth quarter of 2019, the 15 year term Roseville lease commenced once the building was made ready and available for its intended use. The Company determined that the Roseville lease is a non-cancelable finance lease which will expire in 2035. The following table is a schedule, by years, of maturities of the Company's operating and finance lease liabilities as of June 30, 2020 (in thousands): Operating Lease Payments Finance Lease Payments Remainder of 2020 $ 7,398 $ 2,433 2021 7,050 2,465 2022 6,713 2,514 2023 6,578 2,563 2024 6,250 2,614 Thereafter 33,424 27,292 Total undiscounted lease payments (1) 67,413 39,881 Less imputed interest (17,042) (12,663) Present value of lease liabilities $ 50,371 $ 27,218 (1) The table above excludes the estimated future minimum lease payment for the 1310 Harbor Bay Lease due to uncertainty around the timing of when the 1310 Harbor Bay Lease will commence and payments will be due. The total estimated lease payments over the 15 year lease term will be calculated based on the total development costs incurred in connection with the development of the building which will be determined upon substantial completion of the building. Supplemental cash flow information related to leases during the six months ended June 30, 2020 and June 30, 2019 are as follows (in thousands): Six Months Ended June 30, 2020 June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 3,740 $ 3,354 Financing cash flows from finance leases $ 2,976 $ — Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 830 $ 1,111 Finance leases $ — $ —

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	10. Commitments and Contingencies Royalty Obligations In March 2005, the Company entered into a license agreement that requires the Company to make minimum royalty payments to the licensor on a quarterly basis. As of June 30, 2019, the license agreement required minimum royalty payments of $0.1 million quarterly. On each January 1, the quarterly calendar year minimum royalty shall be adjusted to equal the prior year’s minimum royalty adjusted by a percentage equal to the percentage change in the “consumer price index for all urban consumers” for the prior calendar year as reported by the U.S. Department of Labor. Unless terminated earlier, the term of the license agreement shall continue until the expiration of the last to expire patent that covers that licensed product or for the period of fifteen years following the first commercial sale of such licensed product, whichever is longer. The first commercial sale of covered products occurred in June 2007. In July 2019, the Company amended the license agreement to extend the term for an additional ten years. As of June 30, 2020, the amended license agreement required minimum royalty payments of $0.3 million quarterly through 2027. In April 2012, the Company entered into an agreement that requires the Company to pay, on a quarterly basis, a 5% royalty on sales of products covered under applicable patents. The first commercial sale of covered products occurred in April 2014. Unless terminated earlier, the royalty term for each applicable product shall continue for fifteen years following the first commercial sale of such patented product, or when the applicable patent covering such product has expired, whichever is sooner. Royalty expense included in cost of revenue for the three months ended June 30, 2020 and 2019, was $0.4 million and $1.1 million, respectively, and for the six months ended June 30, 2020 and 2019, was $1.1 million and $2.2 million respectively. Contingencies From time to time, the Company may have certain contingent liabilities that arise in the ordinary course of business. The Company accrues a liability for such matters when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. Refer to Note “3. Investments and Fair Value of Financial Instruments,” Note “5. Business Combinations,” Note “6. Intangible Assets” and Note “8. Indebtedness” for more information on contingent liabilities recorded on the condensed consolidated balance sheet. Indemnification The Company enters into standard indemnification arrangements in the ordinary course of business. In many such arrangements, the Company agrees to indemnify, hold harmless, and reimburse the indemnified parties for losses suffered or incurred by the indemnified parties in connection with any trade secret, copyright, patent or other intellectual property infringement claim by any third-party with respect to the Company’s technology. The Company also agrees to indemnify many indemnified parties for product defect and similar claims. The term of these indemnification agreements is generally perpetual. The maximum potential amount of future payments the Company could be required to make under these agreements is not determinable because it involves claims that may be made against the Company in the future, but have not yet been made. The Company has entered into indemnification agreements with its directors and officers that may require the Company to indemnify its directors and officers against liabilities that may arise by reason of their status or service as directors or officers, other than liabilities arising from willful misconduct of the individual. The Company has not incurred costs to defend lawsuits or settle claims related to these indemnification agreements. No liability associated with any of these indemnification requirements has been recorded to date. Litigation From time to time, the Company is subject to other claims and assessments in the ordinary course of business. The Company is not currently a party to any such litigation matter that, individually or in the aggregate, is expected to have a material adverse effect on the Company’s business, financial condition, results of operations or cash flows.

Stockholder's Equity

Stockholder's Equity	3 Months Ended
	Jun. 30, 2020
Share-based Payment Arrangement [Abstract]
Stockholder's Equity	11. Stockholders’ Equity Common Stock In June 2020, the Company issued and sold an aggregate of 865,963 shares of common stock at a public offering price of $166.00 per share, less the underwriters’ discounts and commissions, pursuant to an underwritten public offering. The Company received approximately $134.8 million in net cash proceeds after deducting underwriting discounts and commissions of $8.6 million and other offering expenses of $0.4 million . Equity Incentive Plans Stock Options Activity of stock options under the 2005 Plan, 2011 Plan and 2014 Plan (collectively, the "Plans") is set forth below: Number of Shares Weighted-Average Balance at December 31, 2019 1,379,075 $ 21.02 Exercised (80,982) 13.12 Canceled/Forfeited — — Balance at June 30, 2020 1,298,093 21.51 Restricted Stock and Restricted Stock Units Activity of unvested restricted stock awards and restricted stock units under the Plans during the six months ended June 30, 2020 is set forth below: Number of Shares Weighted -Average Unvested at December 31, 2019 371,206 $ 130.47 Granted 92,936 164.28 Released/Vested - Restricted Stock/RSUs (68,656) 108.51 Canceled/Forfeited (5,293) 143.17 Unvested at June 30, 2020 390,193 142.21 As of June 30, 2020, 367,178 restricted stock awards and restricted stock units are expected to vest. Stock-based Compensation The following table sets forth the stock-based compensation expense included in the Company’s condensed consolidated statements of operations for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cost of revenue $ 407 $ 329 $ 1,055 $ 620 Research and development 891 677 1,765 1,201 Sales, general and administrative 4,261 4,129 8,428 8,409 Total $ 5,559 $ 5,135 $ 11,248 $ 10,230 As of June 30, 2020, total unrecognized compensation cost was $46.1 million related to unvested share-based compensation arrangements which is expected to be recognized over a weighted average period of 2.9 years. The total stock-based compensation cost capitalized in inventory was $1.0 million and $0.8 million as of June 30, 2020 and December 31, 2019, respectively.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	6 Months Ended
	Jun. 30, 2020
Equity [Abstract]
Accumulated Other Comprehensive Loss	12. Accumulated Other Comprehensive Loss Other comprehensive loss consists of two components: unrealized gains or losses on the Company’s available-for-sale marketable investments and gains or losses from foreign currency translation adjustments. Until realized and reported as a component of consolidated net (loss) income, these comprehensive income (loss) items accumulate and are included within accumulated other comprehensive loss. Unrealized gains and losses on the Company’s marketable investments are reclassified from accumulated other comprehensive loss into earnings when realized upon sale, and are determined based on specific identification of securities sold. Gains and losses from the translation of assets and liabilities denominated in non-U.S. dollar functional currencies are included in accumulated other comprehensive loss. The following table summarizes the changes in the accumulated balances during the period and includes information regarding the manner in which the reclassifications out of accumulated other comprehensive loss into earnings affect the Company’s condensed consolidated statements of operations and consolidated statements of comprehensive (loss) income (in thousands): Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Marketable Currency Translation Total Marketable Currency Translation Total Balance, beginning of the period $ (379) $ (4,196) $ (4,575) $ (38) $ (2,540) $ (2,578) Other comprehensive income (loss) before reclassifications: Unrealized gain — marketable investments 1,360 — 1,360 214 — 214 Foreign currency translation gains — 1,347 1,347 — 850 850 Income tax effect — expense (benefit) (229) — (229) — — — Net of tax 1,131 1,347 2,478 214 850 1,064 Amounts reclassified from accumulated other comprehensive income (loss) to consolidated net income: Realized gain (loss) — marketable investments — — — — — — Income tax effect — expense (benefit) — — — — — — Net of tax — — — — — — Net current-year other comprehensive income (loss) 1,131 1,347 2,478 214 850 1,064 Balance, end of the period $ 752 $ (2,849) $ (2,097) $ 176 $ (1,690) $ (1,514) Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Marketable Currency Translation Total Marketable Currency Translation Total Balance at beginning of the period $ 238 $ (2,562) $ (2,324) $ (500) $ (1,442) $ (1,942) Other comprehensive income (loss) before reclassifications: Unrealized gain — marketable investments 671 — 671 676 — 676 Foreign currency translation losses — (287) (287) — (248) (248) Income tax effect — benefit (expense) (157) — (157) — — — Net of tax 514 (287) 227 676 (248) 428 Amounts reclassified from accumulated other comprehensive income to earnings: Realized gain (loss)— marketable investments — — — — — — Income tax effect — expense — — — — — — Net of tax — — — — — — Net current-year other comprehensive income (loss) 514 (287) 227 676 (248) 428 Balance at end of the period $ 752 $ (2,849) $ (2,097) $ 176 $ (1,690) $ (1,514)

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	13. Income Taxes The Company’s income tax expense, deferred tax assets and liabilities, and reserves for unrecognized tax benefits reflect management’s best assessment of estimated current and future taxes to be paid. The Company is subject to income taxes in both the United States and foreign jurisdictions. Significant judgment and estimates are required in determining the consolidated income tax expense. During interim periods, the Company generally utilizes the estimated annual effective tax rate (“AETR”) method which involves the use of forecasted information. Under the AETR method, the provision is calculated by applying the estimated AETR for the full fiscal year to “ordinary” income or loss (pretax income or loss excluding unusual or infrequently occurring discrete items) for the reporting period. Jurisdictions with tax assets for which the Company believes a tax benefit cannot be realized are excluded from the computation of its AETR. However, for the three and six months ended June 30, 2020, the estimated AETR method yielded unconventional results and would not provide a reliable estimate of income taxes. Therefore, the Company determined that using the discrete effective tax rate method, which involves the use of year-to-date information, would provide a more reliable estimate of income taxes for the current period. The Company’s benefit from income taxes for the three months ended June 30, 2020 was $4.1 million , compared to $2.7 million of tax benefit for the three months ended June 30, 2019. The Company’s effective tax rate changed to 24.2% for the three months ended June 30, 2020, compared to (20.2)% for the three months ended June 30, 2019. The Company’s benefit from income taxes for the six months ended June 30, 2020 was $5.8 million , compared to $1.3 million of tax benefit for the six months ended June 30, 2019. The Company’s effective tax rate changed to 32.4% for the six months ended June 30, 2020, compared to (5.0)% for the six months ended June 30, 2019. The Company’s benefit from income taxes for the three and six months ended June 30, 2020 was primarily due to tax benefits attributable to its worldwide losses as a result of the COVID-19 pandemic impact and excess tax benefits from stock-based compensation attributable to its U.S. jurisdiction. The Company’s benefit from income taxes for the three and six months ended June 30, 2019 was primarily due to excess tax benefits from stock-based compensation attributable to its U.S. jurisdiction, offset by income taxes attributable to its worldwide profits. Using the discrete method instead of the AETR method to compute income taxes for the three and six months ended June 30, 2020 achieved a more reasonable comparison of the effective tax rates when compared to the three and six months ended June 30, 2019. The Company’s change in effective tax rate was primarily attributable to larger tax benefits over worldwide losses for the three and six months ended June 30, 2020, when compared to smaller tax benefits over worldwide profits for the three and six months ended June 30, 2019. On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), which provides certain tax relief. The CARES Act did not have a material impact to the income tax provision of the Company for the three and six months ended June 30, 2020. Significant domestic deferred tax assets (“DTAs”) were generated in recent years, primarily due to excess tax benefits from stock option exercises and vesting of restricted stock. The Company evaluates all available positive and negative evidence, objective and subjective in nature, in each reporting period to determine if sufficient taxable income will be generated to realize the benefits of its DTAs and, if not, a valuation allowance to reduce the DTAs is recorded. As of June 30, 2020 and 2019, the Company maintains a valuation allowance against its Federal Research and Development Tax Credit and California DTAs as the Company could not conclude at the required more-likely-than-not level of certainty, that the benefit of these tax attributes would be realized prior to expiration. As of June 30, 2020 and 2019, the Company also maintains a valuation allowance against DTAs acquired from MVI which are subject to Separate Return Limitation Year (“SRLY”) rules that limit the utilization of the pre-acquisition tax attributes to offset future taxable income solely generated by MVI. The Company maintains that all foreign earnings, with the exception of a portion of the earnings of its German subsidiary, are permanently reinvested outside the United States and therefore deferred taxes attributable to such are not provided for in the Company’s condensed consolidated financial statements as of June 30, 2020. In the three months ended June 30, 2020, the Company repatriated $6.6 million from its Germany subsidiary, which did not result in any material U.S. and foreign tax consequences.

Net Income Attributable to Penu

Net Income Attributable to Penumbra, Inc. Per Share	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Net Income Attributable to Penumbra, Inc. Per Share	14. Net (Loss) Income Attributable to Penumbra, Inc. Per Share The Company computed basic net (loss) income attributable to Penumbra, Inc. per share based on the weighted average number of shares of common stock outstanding during the period. The Company computed diluted net (loss) income attributable to Penumbra, Inc. per share based on the weighted average number of shares of common stock outstanding plus potentially dilutive common stock equivalents outstanding during the period using the treasury stock method. For the purposes of this calculation, stock options, restricted stock, restricted stock units and stock sold through the Company’s employee stock purchase plan are considered common stock equivalents. A reconciliation of the numerator and denominator used in the calculation of the basic and diluted net (loss) income attributable to Penumbra, Inc. is as follows (in thousands, except share and per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Numerator: Net (loss) income attributable to Penumbra, Inc. $ (11,960) $ 16,588 $ (10,535) $ 27,286 Denominator: Weighted average shares used to compute net income attributable to common stockholders: Basic 35,400,542 34,694,228 35,221,727 34,601,270 Potential dilutive stock-based options and awards — 1,520,093 — 1,613,092 Diluted 35,400,542 36,214,321 35,221,727 36,214,362 Net (loss) income attributable to Penumbra, Inc. per share: Basic $ (0.34) $ 0.48 $ (0.30) $ 0.79 Diluted $ (0.34) $ 0.46 $ (0.30) $ 0.75 For the three months ended June 30, 2020 and 2019 outstanding stock-based awards of 1.8 million and 45 thousand shares respectively, and for the six months ended June 30, 2020 and 2019 outstanding stock-based awards of 1.8 million and 48 thousand shares respectively, were excluded from the computation of diluted net (loss) income attributable to Penumbra, Inc. per share because their effect would have been anti-dilutive.

Revenues

Revenues	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Revenues	15. Revenues Revenue Recognition Revenue is recognized in an amount that reflects the consideration the Company expects to be entitled to in exchange for goods or services. All revenue recognized in the condensed consolidated statements of operations is considered to be revenue from contracts with customers. The following table presents the Company’s revenues disaggregated by geography, based on the destination to which the Company ships its products, for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 United States $ 78,043 $ 86,374 $ 173,817 $ 168,885 Other International 27,066 47,827 68,621 93,755 Total $ 105,109 $ 134,201 $ 242,438 $ 262,640 The following table presents the Company’s revenues disaggregated by product category, for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Neuro $ 58,837 $ 81,547 $ 136,913 $ 163,018 Vascular 46,272 52,654 105,525 99,622 Total $ 105,109 $ 134,201 $ 242,438 $ 262,640 Performance Obligations Delivery of products - The Company’s contracts with customers typically contain a single performance obligation, delivery of Penumbra products. Satisfaction of that performance obligation occurs when control of the promised goods transfers to the customer, which is generally upon shipment for non-consignment sale agreements and upon utilization for consignment sale agreements. Payment terms - The Company’s payment terms vary by the type and location of our customer. The timing between fulfillment of performance obligations and when payment is due is not significant and does not give rise to financing transactions. The Company did not have any contracts with significant financing components as of June 30, 2020. Product returns - The Company may allow customers to return products purchased at the Company’s discretion. The Company estimates the amount of its product sales that may be returned by its customers and records this estimate as a reduction of revenue in the period the related product revenue is recognized. The Company currently estimates product return liabilities using its own historic sales information, trends, industry data, and other relevant data points. Warranties - The Company offers its standard warranty to all customers and it is not available for sale on a standalone basis. The Company’s standard warranty represents its guarantee that its products function as intended, are free from defects, and comply with agreed-upon specifications and quality standards. This assurance does not constitute a service and is not a separate performance obligation. Transaction Price Revenue is recorded at the net sales price, which includes estimates of variable consideration such as product returns utilizing historical return rates, rebates, discounts, and other adjustments to net revenue. To the extent the transaction price includes variable consideration, the Company estimates the amount of variable consideration that should be included in the transaction price. When determining if variable consideration should be constrained, management considers whether there are factors that could result in a significant reversal of revenue and the likelihood of a potential reversal. Variable consideration is included in revenue only to the extent that it is probable that a significant reversal of the revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. These estimates are reassessed each reporting period as required. During the three and six months ended June 30, 2020, the Company made no material changes in estimates for variable consideration. When the Company performs shipping and handling activities after control of goods is transferred to the customer, they are considered as fulfillment activities, and costs are accrued for when the related revenue is recognized. Taxes collected from customers relating to product sales and remitted to governmental authorities are excluded from revenues.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation and Consolidation The accompanying condensed consolidated balance sheet as of June 30, 2020, the condensed consolidated statements of operations, the condensed consolidated statements of comprehensive (loss) income, and the condensed consolidated statements of stockholders’ equity for the three and six months ended June 30, 2020 and 2019, and the condensed consolidated statements of cash flows for the six months ended June 30, 2020 and 2019 are unaudited. The unaudited condensed consolidated financial statements included herein have been prepared by the Company in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and the applicable rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) for interim financial information. Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. The condensed consolidated balance sheet data as of December 31, 2019 was derived from the audited financial statements as of that date. The unaudited condensed consolidated financial statements have been prepared on the same basis as the audited consolidated financial statements and, in the opinion of management, reflect all adjustments of a normal recurring nature considered necessary to state fairly the Company’s financial position as of June 30, 2020, the results of its operations for the three and six months ended June 30, 2020 and 2019, the changes in comprehensive (loss) income and stockholders’ equity for the three and six months ended June 30, 2020 and 2019, and the cash flows for the six months ended June 30, 2020 and 2019. The results for the three and six months ended June 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020 or for any other future annual or interim period. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, 2019, included in the Company’s Annual Report on Form 10-K. There have been no changes to the Company’s significant accounting policies during the six months ended June 30, 2020, as compared to the significant accounting policies described in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019, other than the changes described below in connection with the adoption of the guidance under Accounting Standard Update (“ASU”) No. 2016-13.
Consolidation	The condensed consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries and its majority-owned subsidiary. The portion of equity and consolidated net income not attributable to the Company is considered non-controlling interest and is classified separately in the condensed consolidated financial statements. Any subsequent changes in the Company’s ownership interest while the Company retains its controlling interest in its majority-owned subsidiary will be accounted for as equity transactions. All intercompany balances and transactions have been eliminated in consolidation.
Use of Estimates	Use of EstimatesThe preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities and equity accounts; disclosure of contingent assets and liabilities at the date of the financial statements; and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates, including those related to marketable investments, allowances for credit losses, the amount of variable consideration included in the transaction price, warranty reserve, valuation of inventories, useful lives of property and equipment, operating and financing lease right-of-use (“ROU”) assets and liabilities, income taxes, contingent consideration and other contingencies, among others. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other data. Actual results could differ from those estimates.
Segments	Segments The Company determined its operating segment on the same basis that it uses to evaluate its performance internally. The Company has one business activity: the design, development, manufacturing and marketing of innovative devices, and operates
Recently Adopted Accounting Standards and Recently Issued Accounting Standards	Recently Adopted Accounting Standards On January 1, 2020, the Company adopted ASU No. 2016-13, Financial Instruments—Credit Losses (“ASU 2016-13”) using the modified retrospective transition approach, with the impact upon adoption reflected in opening retained earnings. The comparative prior year information has not been adjusted and continues to be reported under legacy GAAP. The standard significantly changed the impairment model for most financial assets and certain other instruments, including accounts receivable and available-for-sale securities. For financial assets measured at amortized cost, including our accounts receivable, the standard requires an entity to (1) estimate its lifetime expected credit losses upon recognition of the financial assets and establish an allowance to present the net amount expected to be collected, (2) recognize this allowance and changes in the allowance during subsequent periods through net income and (3) consider relevant information about past events, current conditions and reasonable and supportable forecasts in assessing the lifetime expected credit losses. For available-for-sale debt securities, this standard made several targeted amendments to the existing other-than-temporary impairment model, including (1) requiring disclosure of the allowance for credit losses, (2) allowing reversals of the previously recognized credit losses until the entity has the intent to sell, is more-likely-than-not required to sell the securities or the maturity of the securities, (3) limiting impairment to the difference between the amortized cost basis and fair value and (4) not allowing entities to consider the length of time that fair value has been less than amortized cost as a factor in evaluating whether a credit loss exists. As a result of adoption, the cumulative impact related to accounts receivable expected credit losses to our opening retained earnings at January 1, 2020 was $1.2 million . As of the adoption date, the difference between the amortized cost basis and fair value of the Company’s impaired available-for-sale securities held was not material. Accordingly, upon adoption there was no impact to our opening retained earnings for credit losses related to available-for-sale securities. For additional information on the impact of the adoption and disclosures required by ASU 2016-13, refer to the updates to significant accounting policies section below, Note “3. Investments and Fair Value of Financial Instruments” and Note “4. Balance Sheet Components.” On January 1, 2020, the Company adopted ASU 2018-13, Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. The primary focus of the standard is to improve the effectiveness of the disclosure requirements for fair value measurements. The Company had no significant changes to the fair value measurement related disclosures due to the adoption of the standard. Updates to Significant Accounting Policies As a result of the adoption of the ASU 2016-13, the Company has made the following updates to its significant accounting policies described in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019. Recently Issued Accounting Standards In December 2019, the FASB issued ASU No. 2019-12, Income Taxes— Simplifying the Accounting for Income Taxes. The standard intends to simplify and reduce the cost of accounting for income taxes. The new guidance removes certain exceptions for recognizing deferred taxes for foreign investments, the incremental approach to performing intraperiod allocation, and calculating income taxes in interim periods for year to date losses that exceed anticipated full year losses. The standard also adds guidance to reduce complexity in certain areas, including accounting for franchise taxes that are partially based on income, transactions with a government that result with a step up in the tax basis of goodwill, enacted changes in tax law during interim periods, and allocating taxes to members of a consolidated group which are not subject to tax. For public business entities, the amendments in ASU 2019-12 are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early adoption is permitted for all periods in which financial statements have not yet been issued, including interim periods. The Company is currently evaluating the impact of adopting the new guidance. In January 2020, the FASB issued ASU 2020-01, Investments - Equity Securities (Topic 321), Investments-Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815). The amendments clarify that an entity should consider observable transactions that require it to either apply or discontinue the equity method of accounting for the purposes of applying the measurement alternative in accordance with Topic 321 immediately before applying or upon discontinuing the equity method. The amendments in this standard are effective for the Company for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. Early adoption is permitted, including early adoption in an interim period. The amendments in this standard should be applied prospectively. Under a prospective transition, the Company would apply the amendments at the beginning of the interim period that includes the adoption date. The Company is currently evaluating the impact of adopting the new standard.
Credit Losses	Credit LossesThe Company is exposed to credit losses primarily through our accounts receivable from sales of products on credit terms of one year or less. The Company performs ongoing credit evaluations of its customers, does not require collateral, and maintains allowances for potential credit losses on customer accounts. The Company monitors its ongoing credit exposure and concentration through active review of customers balances against contract terms, due dates, geographic related risks and current economic conditions impacting our customers. Our activities include timely account reconciliation, dispute resolution and payment confirmation.
Accounts Receivable	Accounts Receivable Accounts receivable are measured at amortized cost less the allowances for credit losses. In accordance with ASU 2016-13, as of January 1, 2020, the Company measures expected credit losses for its accounts receivables utilizing a loss-rate approach. The allowance for expected credit losses assessment requires a degree of estimation and judgement. The expected loss-rate is calculated by utilizing historical credit losses incurred as percentage of the Company’s historical accounts receivable balances, pooled by customers with similar geographic credit risk characteristics. The loss-rate is adjusted for management’s expectations regarding current conditions and forecasts about future conditions which impact expected credit losses. The Company considers factors such as customers credit risk, geographic related risks and economic conditions that may affect a customer’s credit quality classification. Prior to the adoption of ASU 2016-13, the Company recognized losses when a loss was incurred or deemed probable.
Marketable Investments	Marketable InvestmentsThe Company’s marketable investments have been classified and accounted for as available-for-sale.

Investments and Fair Value of_2

Investments and Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Schedule of Marketable Investments	The following table presents the Company’s marketable investments as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Allowance Fair Value Commercial paper $ 13,231 $ — $ (2) $ — $ 13,229 U.S. agency and government sponsored securities 8,845 15 — — 8,860 U.S. states and municipalities 7,265 58 — — 7,323 Corporate bonds 113,592 927 (17) — 114,502 Total $ 142,933 $ 1,000 $ (19) $ — $ 143,914 December 31, 2019 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Commercial paper $ 7,456 $ 1 $ — $ 7,457 U.S. treasury 4,972 7 — 4,979 U.S. agency and government sponsored securities 2,499 19 — 2,518 U.S. states and municipalities 4,889 4 — 4,893 Corporate bonds 96,484 282 (3) 96,763 Total $ 116,300 $ 313 $ (3) $ 116,610
Schedule of the Fair Value of Marketable Investments in an Unrealized Loss Position for Less than Twelve Months	The following tables present the gross unrealized losses and the fair value for those marketable investments that were in an unrealized loss position for less than twelve months or for twelve months or more as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 Less than 12 months 12 months or more Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Commercial paper $ 8,233 $ (2) $ — $ — $ 8,233 $ (2) Corporate bonds 27,861 (17) — — 27,861 (17) Total $ 36,094 $ (19) $ — $ — $ 36,094 $ (19) December 31, 2019 Less than 12 months 12 months or more Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Corporate bonds $ 7,875 $ (3) $ — $ — $ 7,875 $ (3) Total $ 7,875 $ (3) $ — $ — $ 7,875 $ (3)
Schedule of Contractual Maturities of Marketable Investments	The following table presents the contractual maturities of the Company’s marketable investments as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Fair Value Fair Value Due in less than one year $ 40,375 $ 51,990 Due in one to five years 103,539 64,620 Total $ 143,914 $ 116,610
Schedule of Fair Value of Assets and Liabilities	The following tables set forth the Company’s financial assets measured at fair value by level within the fair value hierarchy as of June 30, 2020 and December 31, 2019 (in thousands): As of June 30, 2020 Level 1 Level 2 Level 3 Fair Value Financial Assets Cash equivalents: Money market funds $ 102,750 $ — $ — $ 102,750 U.S. states and municipalities — 4,023 — 4,023 Marketable investments: Commercial paper — 13,229 — 13,229 U.S. treasury — — — — U.S. agency and government sponsored securities — 8,860 — 8,860 U.S. states and municipalities — 7,323 — 7,323 Corporate bonds — 114,502 — 114,502 Total — 143,914 — 143,914 Total $ 102,750 $ 147,937 $ — $ 250,687 As of December 31, 2019 Level 1 Level 2 Level 3 Fair Value Financial Assets Cash equivalents: Commercial paper $ — $ 9,474 $ — $ 9,474 Money market funds 24,054 — — 24,054 Marketable investments: Commercial paper — 7,457 — 7,457 U.S. treasury 4,979 — — 4,979 U.S. agency and government sponsored securities — 2,518 — 2,518 U.S. states and municipalities — 4,893 — 4,893 Corporate bonds — 96,763 — 96,763 Total 4,979 111,631 — 116,610 Total $ 29,033 $ 121,105 $ — $ 150,138
Schedule of Fair Value of Contingent Consideration Obligation	The following tables summarize the changes in fair value of the contingent consideration obligation for the six months ended June 30, 2020 and June 30, 2019 (in thousands): Fair Value of Contingent Consideration Balance at December 31, 2019 $ 1,206 Payments of contingent consideration liabilities (1,186) Changes in fair value — Foreign currency remeasurement (20) Balance at June 30, 2020 $ — Fair Value of Contingent Consideration Balance at December 31, 2018 $ 2,571 Payments of contingent consideration liabilities (1,296) Changes in fair value — Foreign currency remeasurement (19) Balance at June 30, 2019 $ 1,256

Balance Sheet Components Balanc

Balance Sheet Components Balance Sheet Components (Tables)	6 Months Ended
	Jun. 30, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Allowance for Credit Losses	The Company’s allowance for credit losses related to accounts receivable balances was comprised of the following (in thousands): Balance At Write-offs Provision for Balance At January 1, 2020 (1) $ 2,946 $ (2,361) $ 1,307 $ 1,892 January 1, 2020 - March 31, 2020 (2) $ 1,892 $ — $ 163 $ 2,055 April 1, 2020 - June 30, 2020 (2) $ 2,055 $ — $ 21 $ 2,076 (1) On January 1, 2020, the Company recorded a $1.3 million adjustment to opening retained earnings upon the adoption of ASU 2016-13.
Schedule of Inventories	The following table shows the components of inventories as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Raw materials $ 27,823 $ 21,646 Work in process 16,010 21,651 Finished goods 139,609 109,695 Inventories $ 183,442 $ 152,992
Schedule of Accrued Liabilities	The following table shows the components of accrued liabilities as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Payroll and employee-related cost $ 32,035 $ 37,727 Accrued expenses 9,081 7,811 Sales return provision 1,821 1,821 Product warranty 2,416 2,318 Other acquisition-related costs (1) 3,000 4,291 Other accrued liabilities 9,365 13,662 Total accrued liabilities $ 57,718 $ 67,630
Schedule of Estimated Product Warranty Accrual	The following table shows the changes in the Company’s estimated product warranty accrual, included in accrued liabilities, as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Balance at the beginning of the period $ 2,318 $ 1,875 Accruals of warranties issued 485 1,065 Settlements of warranty claims (387) (622) Balance at the end of the period $ 2,416 $ 2,318
Schedule of Other Non-Current Liabilities	The following table shows the components of other non-current liabilities as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Deferred tax liabilities $ 4,033 $ 4,005 Licensing-related cost (1) — 10,878 Other non-current liabilities 3,267 367 Total other non-current liabilities $ 7,300 $ 15,250 (1) Amount relates to the non-current liability recorded for probable future milestone payments associated with the indefinite-lived intangible assets related to licensed technology described in Note “6. Intangible Assets.” Refer therein for more information.

Intangible Assets Intangible As

Intangible Assets Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2020
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Schedule of indefinite-lived intangible assets	The following tables present details of the Company’s acquired finite-lived and indefinite-lived intangible assets, as of June 30, 2020 and December 31, 2019 (in thousands, except weighted-average amortization period): As of June 30, 2020 Weighted-Average Amortization Period Gross Carrying Amount Accumulated Amortization Net Customer relationships 15.0 years $ 6,694 $ (1,339) $ 5,355 Trade secrets and processes 20.0 years 5,256 (657) 4,599 Other 5.0 years 1,726 (1,035) 691 Total intangible assets 16.5 years $ 13,676 $ (3,031) $ 10,645 As of December 31, 2019 Weighted-Average Gross Carrying Amount Accumulated Amortization Net Customer relationships 15.0 years $ 6,686 $ (1,114) $ 5,572 Trade secrets and processes 20.0 years 5,256 (526) 4,730 Other 5.0 years 1,724 (862) 862 Total intangible assets subject to amortization 16.4 years $ 13,666 $ (2,502) $ 11,164 Intangible assets related to licensed technology 14,243 — 14,243 Total intangible assets $ 27,909 $ (2,502) $ 25,407
Finite-lived Intangible Assets Amortization Expense	The following table presents the amortization expense recorded related to the Company’s finite-lived intangible assets for the three and six months ended June 30, 2020 and June 30, 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cost of revenue $ 66 $ 66 $ 131 $ 131 Sales, general and administrative 194 198 388 399 Total $ 260 $ 264 $ 519 $ 530

Goodwill Goodwill (Tables)

Goodwill Goodwill (Tables)	6 Months Ended
	Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of goodwill	The following table presents the changes in goodwill during the six months ended June 30, 2020 (in thousands): Total Company Balance as of December 31, 2019 $ 7,656 Foreign currency translation 9 Balance as of June 30, 2020 $ 7,665

Leases (Tables)

Leases (Tables)	6 Months Ended
	Jun. 30, 2020
Leases [Abstract]
Lease, Cost	The following table presents the components of the Company’s lease cost, lease term and discount rate during the three and six months ended June 30, 2020 (in thousands, except years and percentages): Three Months Ended Six Months Ended June 30, 2020 June 30, 2019 June 30, 2020 June 30, 2019 Lease Cost Operating lease cost $ 1,905 $ 1,686 $ 3,792 $ 3,453 Finance lease cost: Amortization of right-of-use assets 645 — 1,316 — Interest on lease liabilities 360 — 755 — Variable lease cost (1) 1,439 846 2,892 1,604 Total lease costs $ 4,349 $ 2,532 $ 8,755 $ 5,057 Weighted Average Remaining Lease Term Operating leases 9.5 years 10.3 years Finance leases 14.5 years — Weighted Average Discount Rate Operating leases 6.19 % 6.20 % Finance leases 5.42 % — % (1) Variable lease costs represent payments that are dependent on usage, a rate or index. Variable lease cost primarily relates to common area maintenance charges for its real estate leases as the Company elected not to separate non-lease components from lease components upon adoption of ASC 842.
Lessee, Operating Lease, Liability, Maturity	The following table is a schedule, by years, of maturities of the Company's operating and finance lease liabilities as of June 30, 2020 (in thousands): Operating Lease Payments Finance Lease Payments Remainder of 2020 $ 7,398 $ 2,433 2021 7,050 2,465 2022 6,713 2,514 2023 6,578 2,563 2024 6,250 2,614 Thereafter 33,424 27,292 Total undiscounted lease payments (1) 67,413 39,881 Less imputed interest (17,042) (12,663) Present value of lease liabilities $ 50,371 $ 27,218 (1) The table above excludes the estimated future minimum lease payment for the 1310 Harbor Bay Lease due to uncertainty around the timing of when the 1310 Harbor Bay Lease will commence and payments will be due. The total estimated lease payments over the 15 year lease term will be calculated based on the total development costs incurred in connection with the development of the building which will be determined upon substantial completion of the building.
Finance Lease, Liability, Maturity	The following table is a schedule, by years, of maturities of the Company's operating and finance lease liabilities as of June 30, 2020 (in thousands): Operating Lease Payments Finance Lease Payments Remainder of 2020 $ 7,398 $ 2,433 2021 7,050 2,465 2022 6,713 2,514 2023 6,578 2,563 2024 6,250 2,614 Thereafter 33,424 27,292 Total undiscounted lease payments (1) 67,413 39,881 Less imputed interest (17,042) (12,663) Present value of lease liabilities $ 50,371 $ 27,218 (1) The table above excludes the estimated future minimum lease payment for the 1310 Harbor Bay Lease due to uncertainty around the timing of when the 1310 Harbor Bay Lease will commence and payments will be due. The total estimated lease payments over the 15 year lease term will be calculated based on the total development costs incurred in connection with the development of the building which will be determined upon substantial completion of the building.
Schedule of Cash Flow, Supplemental Disclosures	Supplemental cash flow information related to leases during the six months ended June 30, 2020 and June 30, 2019 are as follows (in thousands): Six Months Ended June 30, 2020 June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 3,740 $ 3,354 Financing cash flows from finance leases $ 2,976 $ — Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 830 $ 1,111 Finance leases $ — $ —

Stockholder's Equity (Tables)

Stockholder's Equity (Tables)	6 Months Ended
	Jun. 30, 2020
Share-based Payment Arrangement [Abstract]
Summary of Stock Option Activity	Activity of stock options under the 2005 Plan, 2011 Plan and 2014 Plan (collectively, the "Plans") is set forth below: Number of Shares Weighted-Average Balance at December 31, 2019 1,379,075 $ 21.02 Exercised (80,982) 13.12 Canceled/Forfeited — — Balance at June 30, 2020 1,298,093 21.51
Summary of Unvested Restricted Stock and Restricted Stock Unit Activity	Activity of unvested restricted stock awards and restricted stock units under the Plans during the six months ended June 30, 2020 is set forth below: Number of Shares Weighted -Average Unvested at December 31, 2019 371,206 $ 130.47 Granted 92,936 164.28 Released/Vested - Restricted Stock/RSUs (68,656) 108.51 Canceled/Forfeited (5,293) 143.17 Unvested at June 30, 2020 390,193 142.21
Schedule of Stock-based Compensation Expense	The following table sets forth the stock-based compensation expense included in the Company’s condensed consolidated statements of operations for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Cost of revenue $ 407 $ 329 $ 1,055 $ 620 Research and development 891 677 1,765 1,201 Sales, general and administrative 4,261 4,129 8,428 8,409 Total $ 5,559 $ 5,135 $ 11,248 $ 10,230

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	3 Months Ended	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2020
Equity [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)	Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Marketable Currency Translation Total Marketable Currency Translation Total Balance at beginning of the period $ 238 $ (2,562) $ (2,324) $ (500) $ (1,442) $ (1,942) Other comprehensive income (loss) before reclassifications: Unrealized gain — marketable investments 671 — 671 676 — 676 Foreign currency translation losses — (287) (287) — (248) (248) Income tax effect — benefit (expense) (157) — (157) — — — Net of tax 514 (287) 227 676 (248) 428 Amounts reclassified from accumulated other comprehensive income to earnings: Realized gain (loss)— marketable investments — — — — — — Income tax effect — expense — — — — — — Net of tax — — — — — — Net current-year other comprehensive income (loss) 514 (287) 227 676 (248) 428 Balance at end of the period $ 752 $ (2,849) $ (2,097) $ 176 $ (1,690) $ (1,514)	The following table summarizes the changes in the accumulated balances during the period and includes information regarding the manner in which the reclassifications out of accumulated other comprehensive loss into earnings affect the Company’s condensed consolidated statements of operations and consolidated statements of comprehensive (loss) income (in thousands): Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Marketable Currency Translation Total Marketable Currency Translation Total Balance, beginning of the period $ (379) $ (4,196) $ (4,575) $ (38) $ (2,540) $ (2,578) Other comprehensive income (loss) before reclassifications: Unrealized gain — marketable investments 1,360 — 1,360 214 — 214 Foreign currency translation gains — 1,347 1,347 — 850 850 Income tax effect — expense (benefit) (229) — (229) — — — Net of tax 1,131 1,347 2,478 214 850 1,064 Amounts reclassified from accumulated other comprehensive income (loss) to consolidated net income: Realized gain (loss) — marketable investments — — — — — — Income tax effect — expense (benefit) — — — — — — Net of tax — — — — — — Net current-year other comprehensive income (loss) 1,131 1,347 2,478 214 850 1,064 Balance, end of the period $ 752 $ (2,849) $ (2,097) $ 176 $ (1,690) $ (1,514)

Net Income Attributable to Pe_2

Net Income Attributable to Penumbra, Inc. Per Share (Tables)	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Reconciliation of the Numerator and Denominator used in the Calculation of the Basic and Diluted Earnings per Share	A reconciliation of the numerator and denominator used in the calculation of the basic and diluted net (loss) income attributable to Penumbra, Inc. is as follows (in thousands, except share and per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Numerator: Net (loss) income attributable to Penumbra, Inc. $ (11,960) $ 16,588 $ (10,535) $ 27,286 Denominator: Weighted average shares used to compute net income attributable to common stockholders: Basic 35,400,542 34,694,228 35,221,727 34,601,270 Potential dilutive stock-based options and awards — 1,520,093 — 1,613,092 Diluted 35,400,542 36,214,321 35,221,727 36,214,362 Net (loss) income attributable to Penumbra, Inc. per share: Basic $ (0.34) $ 0.48 $ (0.30) $ 0.79 Diluted $ (0.34) $ 0.46 $ (0.30) $ 0.75

Revenues Revenues (Tables)

Revenues Revenues (Tables)	6 Months Ended
	Jun. 30, 2020
Revenue from Contract with Customer [Abstract]
Disaggregation of Revenue	The following table presents the Company’s revenues disaggregated by geography, based on the destination to which the Company ships its products, for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 United States $ 78,043 $ 86,374 $ 173,817 $ 168,885 Other International 27,066 47,827 68,621 93,755 Total $ 105,109 $ 134,201 $ 242,438 $ 262,640 The following table presents the Company’s revenues disaggregated by product category, for the three and six months ended June 30, 2020 and 2019 (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Neuro $ 58,837 $ 81,547 $ 136,913 $ 163,018 Vascular 46,272 52,654 105,525 99,622 Total $ 105,109 $ 134,201 $ 242,438 $ 262,640

Summary of Significant Accoun_3

Summary of Significant Accounting Policies - Additional Disclosures (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2020USD ($)segmentactivity	Jan. 01, 2020USD ($)	Dec. 31, 2019USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustments		$ (1,198)
Number of business activities | activity	1
Number of Operating Segments | segment	1
Accounts receivable, net	$ 97,613		$ 105,901
Accounts Receivable, Allowance For Credit Loss	$ 2,100
Retained Earnings (Accumulated Deficit)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustments		(1,198)
Retained Earnings (Accumulated Deficit) | Accounting Standards Update 2016-13
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect adjustments		$ 1,200

Investments and Fair Value of_3

Investments and Fair Value of Financial Instruments - Gains and Losses of Marketable Investments (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 142,933	$ 116,300
Gross Unrealized Gains	1,000	313
Gross Unrealized Losses	(19)	(3)
Allowance for Credit Loss	0
Fair Value	143,914	116,610
Commercial paper
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	13,231	7,456
Gross Unrealized Gains	0	1
Gross Unrealized Losses	(2)	0
Allowance for Credit Loss	0
Fair Value	13,229	7,457
U.S. treasury
Debt Securities, Available-for-sale [Line Items]
Amortized Cost		4,972
Gross Unrealized Gains		7
Gross Unrealized Losses		0
Fair Value		4,979
U.S. agency and government sponsored securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	8,845	2,499
Gross Unrealized Gains	15	19
Gross Unrealized Losses	0	0
Allowance for Credit Loss	0
Fair Value	8,860	2,518
U.S. states and municipalities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	7,265	4,889
Gross Unrealized Gains	58	4
Gross Unrealized Losses	0	0
Allowance for Credit Loss	0
Fair Value	7,323	4,893
Corporate bonds
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	113,592	96,484
Gross Unrealized Gains	927	282
Gross Unrealized Losses	(17)	(3)
Allowance for Credit Loss	0
Fair Value	$ 114,502	$ 96,763

Investments and Fair Value of_4

Investments and Fair Value of Financial Instruments - Marketable Securities in an Unrealized Loss Position (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Debt Securities, Available-for-sale [Line Items]
Less than 12 months: Fair Value	$ 36,094	$ 7,875
Less than 12 months: Gross Unrealized Losses	(19)	(3)
12 Months of more: Fair Value	0	0
12 months or more: Gross Unrealized Losses	0	0
Total: Fair Value	36,094	7,875
Total: Gross Unrealized Losses	(19)	(3)
Commercial paper
Debt Securities, Available-for-sale [Line Items]
Less than 12 months: Fair Value	8,233
Less than 12 months: Gross Unrealized Losses	(2)
12 Months of more: Fair Value	0
12 months or more: Gross Unrealized Losses	0
Total: Fair Value	8,233
Total: Gross Unrealized Losses	(2)
Corporate bonds
Debt Securities, Available-for-sale [Line Items]
Less than 12 months: Fair Value	27,861	7,875
Less than 12 months: Gross Unrealized Losses	(17)	(3)
12 Months of more: Fair Value	0	0
12 months or more: Gross Unrealized Losses	0	0
Total: Fair Value	27,861	7,875
Total: Gross Unrealized Losses	$ (17)	$ (3)

Investments and Fair Value of_5

Investments and Fair Value of Financial Instruments - Contractual Maturities of Marketable Investments (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Due in less than one year	$ 40,375	$ 51,990
Due in one to five years	103,539	64,620
Total	$ 143,914	$ 116,610

Investments and Fair Value of_6

Investments and Fair Value of Financial Instruments - Financial Assets and Liabilities Measured at Fair Value (Details) - Recurring - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Financial Assets
Marketable investments	$ 143,914	$ 116,610
Total	250,687	150,138
Commercial paper
Financial Assets
Marketable investments	13,229	7,457
U.S. treasury
Financial Assets
Marketable investments	0	4,979
U.S. agency and government sponsored securities
Financial Assets
Marketable investments	8,860	2,518
U.S. states and municipalities
Financial Assets
Cash equivalents	4,023
Marketable investments	7,323	4,893
Corporate bonds
Financial Assets
Marketable investments	114,502	96,763
Commercial paper
Financial Assets
Cash equivalents		9,474
Money market funds
Financial Assets
Cash equivalents	102,750	24,054
Level 1
Financial Assets
Marketable investments	0	4,979
Total	102,750	29,033
Level 1 | Commercial paper
Financial Assets
Marketable investments	0	0
Level 1 | U.S. treasury
Financial Assets
Marketable investments	0	4,979
Level 1 | U.S. agency and government sponsored securities
Financial Assets
Marketable investments	0	0
Level 1 | U.S. states and municipalities
Financial Assets
Cash equivalents	0
Marketable investments	0	0
Level 1 | Corporate bonds
Financial Assets
Marketable investments	0	0
Level 1 | Commercial paper
Financial Assets
Cash equivalents		0
Level 1 | Money market funds
Financial Assets
Cash equivalents	102,750	24,054
Level 2
Financial Assets
Marketable investments	143,914	111,631
Total	147,937	121,105
Level 2 | Commercial paper
Financial Assets
Marketable investments	13,229	7,457
Level 2 | U.S. treasury
Financial Assets
Marketable investments	0	0
Level 2 | U.S. agency and government sponsored securities
Financial Assets
Marketable investments	8,860	2,518
Level 2 | U.S. states and municipalities
Financial Assets
Cash equivalents	4,023
Marketable investments	7,323	4,893
Level 2 | Corporate bonds
Financial Assets
Marketable investments	114,502	96,763
Level 2 | Commercial paper
Financial Assets
Cash equivalents		9,474
Level 2 | Money market funds
Financial Assets
Cash equivalents	0	0
Level 3
Financial Assets
Marketable investments	0	0
Total	0	0
Level 3 | Commercial paper
Financial Assets
Marketable investments	0	0
Level 3 | U.S. treasury
Financial Assets
Marketable investments	0	0
Level 3 | U.S. agency and government sponsored securities
Financial Assets
Marketable investments	0	0
Level 3 | U.S. states and municipalities
Financial Assets
Cash equivalents	0
Marketable investments	0	0
Level 3 | Corporate bonds
Financial Assets
Marketable investments	0	0
Level 3 | Commercial paper
Financial Assets
Cash equivalents		0
Level 3 | Money market funds
Financial Assets
Cash equivalents	$ 0	$ 0

Investments and Fair Value of_7

Investments and Fair Value of Financial Instruments - Contingent Consideration (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Payments of contingent consideration liabilities	$ (1,186)
Foreign currency remeasurement	(20)
Ending balance	0
Fair Value of Contingent Consideration
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Payments of contingent consideration liabilities		$ (1,296)
Fair Value of Contingent Consideration | Measurement Input, Actual Revenue Results
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Contingent consideration liability balance			$ 1,200
Monte Carlo Simulation | Level 3 | Fair Value of Contingent Consideration
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	1,206	2,571
Ending balance		1,256
Sales, general and administrative | Fair Value of Contingent Consideration
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Changes in fair value	$ 0	0
Other Expense | Fair Value of Contingent Consideration
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Foreign currency remeasurement		$ (19)

Balance Sheet Components - Allo

Balance Sheet Components - Allowance For Credit Losses (Details) - USD ($) $ in Thousands	Jan. 01, 2020	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2020
Financing Receivable, Allowance for Credit Losses [Roll Forward]
Balance At Beginning Of Period	$ 2,946	$ 2,055	$ 1,892	$ 1,892
Write-offs	(2,361)	0	0
Provision for credit losses and doubtful accounts	1,307	21	163	200
Balance At End Of Period	$ 1,892	$ 2,076	$ 2,055	$ 2,076

Balance Sheet Components - Inve

Balance Sheet Components - Inventories (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Raw materials	$ 27,823	$ 21,646
Work in process	16,010	21,651
Finished goods	139,609	109,695
Inventories	$ 183,442	$ 152,992

Balance Sheet Components - Accr

Balance Sheet Components - Accrued Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Payroll and employee-related cost	$ 32,035	$ 37,727
Accrued expenses	9,081	7,811
Sales return provision	1,821	1,821
Product warranty	2,416	2,318
Other acquisition-related costs	3,000	4,291
Other accrued liabilities	9,365	13,662
Total accrued liabilities	$ 57,718	$ 67,630

Balance Sheet Components - Prod

Balance Sheet Components - Product Warranty (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Product Warranty, Increase (Decrease) [Roll Forward]
Balance at the beginning of the period	$ 2,318	$ 1,875
Accruals of warranties issued	485	1,065
Settlements of warranty claims	(387)	(622)
Balance at the end of the period	$ 2,416	$ 2,318

Balance Sheet Components - Othe

Balance Sheet Components - Other Non-Current Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Deferred tax liabilities	$ 4,033	$ 4,005
Licensing-related cost	0	10,878
Other non-current liabilities	3,267	367
Total other non-current liabilities	$ 7,300	$ 15,250

Business Combinations - Narrati

Business Combinations - Narrative (Details) - Fair Value of Contingent Consideration - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Business Acquisition [Line Items]
Milestone payments	$ 1.2	$ 1.3
Payment for contingent consideration, operating activities	0.5	0.6
Payment for contingent consideration, financing activities	$ 0.7	$ 0.7
Current Liabilities
Business Acquisition [Line Items]
Contingent consideration for milestone payments			$ 1.2

Intangible Assets - Intangible

Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended		9 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2017	Jun. 30, 2020	Jun. 30, 2019	Sep. 30, 2019	Dec. 31, 2019	Jun. 30, 2018
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Amortization Period				16 years 6 months		16 years 4 months 24 days
Finite lived intangible assets: gross carrying amount	$ 13,676			$ 13,676			$ 13,666
Accumulated amortization	(3,031)			(3,031)			(2,502)
Finite lived intangible assets: net	10,645			10,645			11,164
Indefinite-lived intangible assets							14,243
Total intangible assets, gross							27,909
Total intangible assets, net	10,645			10,645			25,407
Total amortization of finite lived intangible assets	260	$ 264		519	$ 530
Acquisition of intangible assets from a licensing agreement			$ 2,500
Impairment of intangible asset	2,500			$ 2,500	0
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Amortization Period				15 years		15 years
Finite lived intangible assets: gross carrying amount	6,694			$ 6,694			6,686
Accumulated amortization	(1,339)			(1,339)			(1,114)
Finite lived intangible assets: net	5,355			$ 5,355			5,572
Trade secrets and processes
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Amortization Period				20 years		20 years
Finite lived intangible assets: gross carrying amount	5,256			$ 5,256			5,256	$ 5,300
Accumulated amortization	(657)			(657)			(526)
Finite lived intangible assets: net	4,599			$ 4,599			4,730
Other Intangible Assets
Finite-Lived Intangible Assets [Line Items]
Weighted-Average Amortization Period				5 years		5 years
Finite lived intangible assets: gross carrying amount	1,726			$ 1,726			1,724
Accumulated amortization	(1,035)			(1,035)			(862)
Finite lived intangible assets: net	691			691			862
Technology Licensing Agreement
Finite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets							14,243
Contingent liability	0			0			11,700
Cost of revenue
Finite-Lived Intangible Assets [Line Items]
Total amortization of finite lived intangible assets	66	66		131	131
Sales, general and administrative
Finite-Lived Intangible Assets [Line Items]
Total amortization of finite lived intangible assets	$ 194	$ 198		$ 388	$ 399
Accrued Liabilities | Technology Licensing Agreement
Finite-Lived Intangible Assets [Line Items]
Contingent liability accrual, current							800
Noncurrent Liabilities | Technology Licensing Agreement
Finite-Lived Intangible Assets [Line Items]
Contingent liability, non-current							$ 10,900

Goodwill (Details)

Goodwill (Details)	6 Months Ended
	Jun. 30, 2020USD ($)
Goodwill [Roll Forward]
Goodwill	$ 7,656,000
Foreign currency translation	9,000
Goodwill	7,665,000
Goodwill impairment	$ 0

Debt (Details)

Debt (Details) - USD ($)	Jun. 30, 2020	Apr. 24, 2020
Revolving Credit Facility
Line of Credit Facility [Line Items]
Borrowing capacity		$ 100,000,000
Line of credit, increase limit		150,000,000
Line of credit, maximum principal increase limit		50,000,000
Borrowings outstanding	$ 0
Letter of Credit | Bank Of America And Citibank | Line of Credit
Line of Credit Facility [Line Items]
Borrowing capacity		10,000,000
Bridge Loan | Bank Of America And Citibank | Line of Credit
Line of Credit Facility [Line Items]
Borrowing capacity		10,000,000
Foreign Line of Credit | Bank Of America And Citibank | Line of Credit
Line of Credit Facility [Line Items]
Borrowing capacity		$ 15,000,000

Leases - Narrative (Details)

Leases - Narrative (Details)	3 Months Ended
	Dec. 31, 2019	Jun. 30, 2020
Lessee, Lease, Description [Line Items]
Building development period	2 years
1310 Harbor Bay Lease
Lessee, Lease, Description [Line Items]
Operating lease term, lease not yet commenced	15 years	15 years
Roseville Lease
Lessee, Lease, Description [Line Items]
Lease term	15 years
Minimum
Lessee, Lease, Description [Line Items]
Operating lease, renewal term		5 years
Maximum
Lessee, Lease, Description [Line Items]
Operating lease, renewal term		15 years

Leases - Summary of Lease Cost

Leases - Summary of Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Lease Cost
Operating lease cost	$ 1,905	$ 1,686	$ 3,792	$ 3,453
Finance lease cost:
Amortization of right-of-use assets	645	0	1,316	0
Interest on lease liabilities	360	0	755	0
Variable lease cost	1,439	846	2,892	1,604
Total lease costs	$ 4,349	$ 2,532	$ 8,755	$ 5,057
Weighted Average Remaining Lease Term
Operating leases	9 years 6 months	10 years 3 months 18 days	9 years 6 months	10 years 3 months 18 days
Finance leases	14 years 6 months		14 years 6 months
Weighted Average Discount Rate
Operating leases	6.19%	6.20%	6.19%	6.20%
Finance leases	5.42%		5.42%

Leases - Schedule of Maturity o

Leases - Schedule of Maturity of Lease Liabilities (Details) $ in Thousands	Jun. 30, 2020USD ($)
Operating Lease Payments
Remainder of 2020	$ 7,398
2021	7,050
2022	6,713
2023	6,578
2024	6,250
Thereafter	33,424
Total undiscounted lease payments(1)	67,413
Less imputed interest	(17,042)
Present value of lease liabilities	50,371
Finance Lease Payments
Remainder of 2020	2,433
2021	2,465
2022	2,514
2023	2,563
2024	2,614
Thereafter	27,292
Total undiscounted lease payments	39,881
Less imputed interest	(12,663)
Present value of lease liabilities	$ 27,218

Leases - Supplemental Cash Flow

Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$ 3,740	$ 3,354
Financing cash flows from finance leases	2,976	0
Right-of-use assets obtained in exchange for lease obligations:
Right-of-use assets obtained in exchange for lease obligations	830	1,111
Finance leases	$ 0	$ 0

Commitments and Contingencies -

Commitments and Contingencies - Royalty Obligations (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended		6 Months Ended
	Jul. 31, 2019	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Cost of revenue
Other Commitments [Line Items]
Royalty expense		$ 0.4	$ 1.1	$ 1.1	$ 2.2
Royalty Agreement, March 2005
Other Commitments [Line Items]
Minimum quarterly royalty payments		$ 0.3	$ 0.1	$ 0.3	$ 0.1
Term of agreement				15 years
Extended term of agreement	10 years
Royalty Agreement, April 2012
Other Commitments [Line Items]
Term of agreement				15 years
Royalty as a percent of sales				5.00%

Stockholder's Equity - Stock Op

Stockholder's Equity - Stock Option Activity (Details)	6 Months Ended
	Jun. 30, 2020$ / sharesshares
Number of Shares
Beginning balance (in shares) | shares	1,379,075
Options exercised (in shares) | shares	(80,982)
Options cancelled (in shares) | shares	0
Ending balance (in shares) | shares	1,298,093
Weighted-Average Exercise Price
Beginning balance (in dollars per share) | $ / shares	$ 21.02
Options exercised (in dollars per share) | $ / shares	13.12
Options cancelled (in dollars per share) | $ / shares	0
Ending balance (in dollars per share) | $ / shares	$ 21.51

Stockholder's Equity - Restrict

Stockholder's Equity - Restricted Stock and Restricted Stock Units Activity (Details) - Restricted stock and restricted stock units	6 Months Ended
	Jun. 30, 2020$ / sharesshares
Number of Shares
Unvested beginning balance (in shares)	371,206
Granted (in shares)	92,936
Vested (in shares)	(68,656)
Canceled/Forfeited (in shares)	(5,293)
Unvested and expected to vest ending balance (in shares)	390,193
Weighted -Average Grant Date Fair Value
Unvested beginning balance (in dollars per share) | $ / shares	$ 130.47
Granted (in dollars per share) | $ / shares	164.28
Vested (in dollars per share) | $ / shares	108.51
Canceled/Forfeited (in dollars per share) | $ / shares	143.17
Unvested and expected to vest ending balance (in dollars per share) | $ / shares	$ 142.21
Restricted stock and RSUs expected to vest (shares)	367,178

Stockholder's Equity - Stock-ba

Stockholder's Equity - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 5,559		$ 5,135	$ 11,248	$ 10,230
Unrecognized compensation cost related to unvested share-based compensation arrangements	46,100			$ 46,100
Unrecognized compensation cost, expected recognition period				2 years 10 months 24 days
Share-based compensation expense, capitalized in inventory		$ 800		$ 1,000
Cost of revenue
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	407		329	1,055	620
Research and development
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	891		677	1,765	1,201
Sales, general and administrative
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 4,261		$ 4,129	$ 8,428	$ 8,409

Stockholder's Equity Issuance o

Stockholder's Equity Issuance of Stock (Details) - USD ($) $ / shares in Units, $ in Thousands	May 27, 2020	Jun. 30, 2020
Class of Stock [Line Items]
Issuance of common stock upon underwritten public offering, net of issuance cost		$ 134,759
Public Stock Offering [Member]
Class of Stock [Line Items]
Shares issued (in shares)	865,963
Shares Issued, Price Per Share	$ 166
Issuance of common stock upon underwritten public offering, net of issuance cost	$ 134,800
Underwriting discounts and commissions	8,600
Other issuance costs	$ 400

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2020	Jun. 30, 2019
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance		$ 485,892			$ 485,892
Amounts reclassified from accumulated other comprehensive income (loss) to consolidated net income:
Total other comprehensive (loss) income, net of tax	$ 2,478	(2,251)	$ 1,064	$ (636)	227	$ 428
Ending balance	624,794				624,794
Marketable Investments
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(379)	238	(38)	(500)	238	(500)
Other comprehensive income (loss) before reclassifications:
Other comprehensive income before reclassifications	1,360		214		671	676
Income tax effect — expense (benefit)	(229)		0		(157)	0
Net of tax	1,131		214		514	676
Amounts reclassified from accumulated other comprehensive income (loss) to consolidated net income:
Realized gain (loss) — marketable investments	0		0		0	0
Income tax effect — expense (benefit)	0		0		0	0
Net of tax	0		0		0	0
Total other comprehensive (loss) income, net of tax	1,131		214		514	676
Ending balance	752	(379)	176	(38)	752	176
Currency Translation Adjustments
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(4,196)	(2,562)	(2,540)	(1,442)	(2,562)	(1,442)
Other comprehensive income (loss) before reclassifications:
Other comprehensive income before reclassifications	1,347		850		(287)	(248)
Income tax effect — expense (benefit)	0		0		0	0
Net of tax	1,347		850		(287)	(248)
Amounts reclassified from accumulated other comprehensive income (loss) to consolidated net income:
Realized gain (loss) — marketable investments	0		0		0	0
Income tax effect — expense (benefit)	0		0		0	0
Net of tax	0		0		0	0
Total other comprehensive (loss) income, net of tax	1,347		850		(287)	(248)
Ending balance	(2,849)	(4,196)	(1,690)	(2,540)	(2,849)	(1,690)
Total
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(4,575)	(2,324)	(2,578)	(1,942)	(2,324)	(1,942)
Other comprehensive income (loss) before reclassifications:
Income tax effect — expense (benefit)	(229)		0		(157)	0
Net of tax	2,478		1,064		227	428
Amounts reclassified from accumulated other comprehensive income (loss) to consolidated net income:
Realized gain (loss) — marketable investments	0		0		0	0
Income tax effect — expense (benefit)	0		0		0	0
Net of tax	0		0		0	0
Total other comprehensive (loss) income, net of tax	2,478	(2,251)	1,064	(636)	227	428
Ending balance	$ (2,097)	$ (4,575)	$ (1,514)	$ (2,578)	$ (2,097)	$ (1,514)

Income Taxes Income Taxes (Deta

Income Taxes Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Benefit from income taxes	$ 4,129	$ 2,735	$ 5,763	$ 1,280
Effective tax rate	24.20%	(20.20%)	32.40%	(5.00%)
Foreign earnings repatriated	$ 6,600

Net Income Attributable to Pe_3

Net Income Attributable to Penumbra, Inc. Per Share - Basic and Diluted Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Numerator:
Net (loss) income attributable to Penumbra, Inc.	$ (11,960)	$ 16,588	$ (10,535)	$ 27,286
Weighted average shares used to compute net income attributable to common stockholders:
Basic (in shares)	35,400,542	34,694,228	35,221,727	34,601,270
Potential dilutive stock-based options and awards (in shares)	0	1,520,093	0	1,613,092
Diluted (in shares)	35,400,542	36,214,321	35,221,727	36,214,362
Net (loss) income attributable to Penumbra, Inc. per share:
Basic (in dollars per share)	$ (0.34)	$ 0.48	$ (0.30)	$ 0.79
Diluted (in dollars per share)	$ (0.34)	$ 0.46	$ (0.30)	$ 0.75

Net Income Attributable to Pe_4

Net Income Attributable to Penumbra, Inc. Per Share - Antidilutive Securities (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Earnings Per Share [Abstract]
Antidilutive securities excluded from the computation of earnings per share (in shares)	1,800	45	1,800	48

Revenues - Disaggregation of Re

Revenues - 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]
Revenue from contract with customer	$ 105,109	$ 134,201	$ 242,438	$ 262,640
United States
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	78,043	86,374	173,817	168,885
Other International
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	27,066	47,827	68,621	93,755
Neuro
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	58,837	81,547	136,913	163,018
Vascular
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	$ 46,272	$ 52,654	$ 105,525	$ 99,622

Uncategorized Items - pen-20200

Label	Element	Value
Parent [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	$ (1,198,000)