SiTime (SITM) 10-Q 5 Nov 20 2020 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2020	Oct. 31, 2020
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2020
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Entity Registrant Name	SiTime Corporation
Entity Central Index Key	0001451809
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock Shares Outstanding		16,940,154
Entity Shell Company	false
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Title of 12(b) Security	Common Stock, $0.0001 par value per share
Trading Symbol	SITM
Security Exchange Name	NASDAQ
Entity File Number	001-39135
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	02-0713868
Entity Address, Address Line One	5451 Patrick Henry Drive
Entity Address, City or Town	Santa Clara
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	95054
City Area Code	408
Local Phone Number	328-4400
Document Quarterly Report	true
Document Transition Report	false

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Current assets:
Cash and cash equivalents	$ 69,208	$ 63,418
Accounts receivable, net	17,224	17,659
Related party accounts receivable	738	1,073
Inventories	15,208	11,911
Prepaid expenses and other current assets	2,975	5,601
Total current assets	105,353	99,662
Property and equipment, net	10,859	9,288
Intangible assets, net	2,103	4,489
Right-of-use assets, net	9,220	9,790
Other assets	162	162
Total assets	127,697	123,391
Current liabilities:
Accounts payable	7,473	3,869
Accrued expenses and other current liabilities	10,092	8,442
Loan obligations		41,000
Total current liabilities	17,565	53,311
Lease liabilities	7,309	7,940
Total liabilities	24,874	61,251
Commitments and contingencies (Note 10)
Stockholders’ equity:
Common stock, $0.0001 par value - 200,000 shares authorized; 16,940 and 14,968 shares issued and outstanding at September 30, 2020 and December 31, 2019	2	2
Additional paid-in capital	168,208	116,162
Accumulated deficit	(65,387)	(54,024)
Total stockholders’ equity	102,823	62,140
Total liabilities and stockholders’ equity	$ 127,697	$ 123,391

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Sep. 30, 2020	Dec. 31, 2019
Statement Of Financial Position [Abstract]
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares, issued	16,940,000	14,968,000
Common stock, shares, outstanding	16,940,000	14,968,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Statement [Abstract]
Revenue	$ 32,667	$ 25,325	$ 75,882	$ 55,985
Cost of revenue	15,765	13,178	39,021	29,875
Gross profit	16,902	12,147	36,861	26,110
Operating expenses:
Research and development	8,484	5,778	22,906	17,846
Selling, general and administrative	8,978	4,869	24,642	14,167
Total operating expenses	17,462	10,647	47,548	32,013
(Loss) income from operations	(560)	1,500	(10,687)	(5,903)
Interest expense	(110)	(426)	(726)	(1,320)
Other income (expense), net	3	5	51	(16)
(Loss) income before income taxes	(667)	1,079	(11,362)	(7,239)
Income tax expense			(1)	(1)
Net (loss) income	(667)	1,079	(11,363)	(7,240)
Net (loss) income attributable to common stockholders and comprehensive (loss) income	$ (667)	$ 1,079	$ (11,363)	$ (7,240)
Net (loss) income per share attributable to common stockholders, basic and diluted	$ (0.04)	$ 0.11	$ (0.72)	$ (0.72)
Weighted-average shares used to compute basic and diluted net (loss) income per share	16,818	10,000	15,737	10,000

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Deficit
Beginning Balance at Dec. 31, 2018	$ 11,015	$ 1	$ 58,431	$ (47,417)
Beginning Balance, Shares at Dec. 31, 2018		10,000
Net (loss) income	(7,240)			(7,240)
Ending Balance at Sep. 30, 2019	3,775	$ 1	58,431	(54,657)
Ending Balance, Shares at Sep. 30, 2019		10,000
Beginning Balance at Jun. 30, 2019	2,696	$ 1	58,431	(55,736)
Beginning Balance, Shares at Jun. 30, 2019		10,000
Net (loss) income	1,079			1,079
Ending Balance at Sep. 30, 2019	3,775	$ 1	58,431	(54,657)
Ending Balance, Shares at Sep. 30, 2019		10,000
Beginning Balance at Dec. 31, 2019	$ 62,140	$ 2	116,162	(54,024)
Beginning Balance, Shares at Dec. 31, 2019	14,968	14,968
Stock-based compensation expense	$ 9,749		9,749
Net (loss) income	(11,363)			(11,363)
Issuance of common stock upon follow-on public offering net of underwriting discounts and commissions and other offering costs	45,789		45,789
Issuance of common stock upon follow-on public offering net of underwriting discounts and commissions and other offerings costs, Shares		1,525
Issuance of shares upon vesting of restricted stock units, net of tax withholdings	(3,492)		(3,492)
Issuance of shares upon vesting of restricted stock units, net of tax withholdings, Shares		447
Ending Balance at Sep. 30, 2020	$ 102,823	$ 2	168,208	(65,387)
Ending Balance, Shares at Sep. 30, 2020	16,940	16,940
Beginning Balance at Jun. 30, 2020	$ 99,569	$ 2	164,287	(64,720)
Beginning Balance, Shares at Jun. 30, 2020		16,716
Stock-based compensation expense	3,919		3,919
Net (loss) income	(667)			(667)
Issuance of shares upon vesting of restricted stock units, net of tax withholdings	2		2
Issuance of shares upon vesting of restricted stock units, net of tax withholdings, Shares		224
Ending Balance at Sep. 30, 2020	$ 102,823	$ 2	$ 168,208	$ (65,387)
Ending Balance, Shares at Sep. 30, 2020	16,940	16,940

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Cash flows from operating activities:
Net loss	$ (11,363)	$ (7,240)
Adjustments to reconcile net loss to net cash provided by operating activities
Depreciation and amortization expense	4,966	6,159
Non-cash operating lease cost	1,230	968
Stock-based compensation expense	10,129
Impairment of internal-use software	959
Changes in assets and liabilities:
Accounts receivable, net	435	1,908
Related party accounts receivable	335	573
Inventories	(3,481)	7,367
Prepaid expenses and other assets	2,625	(1,825)
Accounts payable	3,820	(621)
Accrued expenses and other liabilities	2,108	(1,489)
Lease liabilities	(1,921)	(918)
Net cash provided by operating activities	9,842	4,882
Cash flows from investing activities
Purchase of property and equipment	(3,912)	(832)
Cash paid for intangibles	(1,437)	(1,378)
Net cash used in investing activities	(5,349)	(2,210)
Cash flows from financing activities
Proceeds from public offering, net of underwriting discounts and commissions and other offering costs	45,789	(1,329)
Tax withholding paid on behalf of employees for net share settlement	(3,492)
Proceeds from loans from financial institutions	35,000
Principal payments on loans to financial institutions	(76,000)
Net cash provided by (used in) financing activities	1,297	(1,329)
Net increase in cash and cash equivalents	5,790	1,343
Cash and cash equivalents
Beginning of period	63,418	7,889
End of period	69,208	9,232
Supplemental disclosure of cash flow information
Interest paid during the period	799	1,258
Income taxes paid	1	1
Supplemental disclosure of noncash flow information
Unpaid property and equipment	420	120
Unpaid deferred offering costs		461
Right-of-use assets acquired under operating leases	$ 382	$ 10,763

The Company and Basis of Presen

The Company and Basis of Presentation	9 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
The Company and Basis of Presentation	Note 1. The Company and Basis of Presentation SiTime Corporation (the “Company”) was incorporated in the State of Delaware in December 2003. The Company is a provider of silicon timing systems. The Company primarily supplies oscillator products that are comprised of a MEMS resonator and clock IC that is integrated into a package, as well as standalone resonators. The Company has also started to sample clock ICs. The Company’s products are designed to address a wide range of applications across a broad array of end markets. The Company operates a fabless business model and leverages its global network of distributors and resellers to address the broad set of end markets that it serves. In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments of a normal, recurring nature, which are necessary to state fairly the financial information included therein. These financial statements should be read in conjunction with the audited consolidated financial statements and related notes thereto included in SiTime Corporation's Annual Report on Form 10-K for the fiscal year ended December 31, 2019. The year-end condensed balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP. The Company was a wholly-owned subsidiary of MegaChips Corporation (“MegaChips”), a fabless semiconductor company based in Japan and traded on the Tokyo Stock Exchange, until the Company completed its initial public offering in November 2019. On June 16, 2020, we completed a follow-on public offering, in which we issued and sold 1,525,000 shares of our common stock and MegaChips sold 2,500,000 of our common stock held by them MegaChips remains the largest stockholder of the Company and held approximately 44.3% of the Company’s outstanding common stock as of September 30, 2020. Outbreak of Coronavirus Disease 2019 (“the COVID-19 pandemic”) On March 11, 2020, the World Health Organization characterized the outbreak of the coronavirus disease known as COVID-19 as a global pandemic and recommended containment and mitigation measures. On March 13, 2020, the United States declared a national emergency concerning the outbreak, and several states and municipalities have declared public health emergencies. To combat the spread of the COVID-19 pandemic, the United States and other foreign countries in which the Company operates have imposed measures such as quarantines and “shelter-in-place” orders that are restricting business operations and travel and requiring individuals to work from home (“WFH”), which has impacted all aspects of the Company’s business as well as those of the third-parties we rely upon for our manufacturing, assembly, testing, shipping and other operations. The global health crisis caused by the COVID-19 pandemic has negatively impacted business activity across the globe and has impacted the Company's employees and operations. The inputs into the Company’s judgments and estimates consider the economic implications of the COVID-19 pandemic, as the Company knows them, on the Company’s critical and significant accounting estimates. The extent to which the COVID-19 pandemic may impact the Company’s business will depend on future developments, which are highly uncertain and as such, the Company is not able to estimate the future effects of the COVID-19 pandemic on its employees, customers, suppliers, results of operations, financial condition, or liquidity for fiscal year 2020. Reporting Calendar The Company’s fiscal year begins on January 1 of the year stated and ends on December 31 of the same year. The Company reports its results on a calendar year basis. Principles of Consolidation The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. Significant Accounting Policies The Company’s significant accounting policies are disclosed in the Company’s audited consolidated financial statements and related notes thereto included in the Annual Report on Form 10-K for the year ended December 31, 2019. There had been no changes to these accounting policies except for the recently adopted accounting guidance as discussed below. Recently Adopted Accounting Guidance In August 2018, the Financial Accounting Standard Board (“FASB”) issued Accounting Standard Update (“ASU”) 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract, which aligns the requirements for capitalizing implementation costs incurred in a cloud computing arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use-software. The adoption of this standard on January 1, 2020 did not have any impact on the Company's consolidated financial position, results of operations and cash flows. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement, which modifies the disclosure requirements in Topic 820. The adoption of this standard on January 1, 2020 did not have any impact on the Company's disclosures. New Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which eliminates certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. It also clarifies and simplifies other aspects of the accounting for income taxes. The new standard will be effective for fiscal years beginning after December 15, 2020. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial position, results of operations and cash flows. In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which changes the credit loss model from an incurred loss approach to an expected loss approach. It requires the application of a current expected credit loss (“CECL”) impairment model to financial assets measured at amortized cost (including trade accounts receivable) and certain off-balance-sheet credit exposures. Under the CECL model, lifetime expected credit losses on such financial assets are measured and recognized at each reporting date based on historical, current, and forecasted information. The standard also changes the impairment model for available-for-sale debt securities, eliminating the concept of other than temporary impairment and requiring credit losses to be recorded through an allowance for credit losses. The amount of the allowance for credit losses for available-for-sale debt securities is limited to the amount by which fair value is below amortized cost. The standard is effective for interim and annual periods beginning after December 15, 2022. A modified retrospective adoption method is required, with a cumulative-effect adjustment to the opening retained earnings balance in the period of adoption. The adoption of this standard is not expected to have a material impact on the Company's consolidated financial position, results of operations and cash flows.

Net Loss (Income) Per Share

Net Loss (Income) Per Share	9 Months Ended
	Sep. 30, 2020
Earnings Per Share [Abstract]
Net Loss (Income) Per Share	Note 2. Net Loss (Income) Per Share The following table summarizes the computation of basic and diluted net loss (income) per share attributable to common stockholder of the Company: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands, except per share data) Net (loss) income attributable to common stockholders $ (667 ) $ 1,079 $ (11,363 ) $ (7,240 ) Weighted-average shares outstanding 16,818 10,000 15,737 10,000 Weighted average shares used to compute basic and diluted net (loss) income per share 16,818 10,000 15,737 10,000 Net (loss) income attributable to common stockholders per share, basic and diluted $ (0.04 ) $ 0.11 $ (0.72 ) $ (0.72 )

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2020
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 3. Fair Value Measurements The carrying amounts of the Company’s financial instruments, which include cash equivalents, accounts receivable, accounts payable, accrued liabilities, short-term debt obligations, and other current liabilities, approximate their fair values due to their short maturities. At September 30, 2020 and December 31, 2019, cash balances in bank checking and savings accounts of $14.1 million and $28.4 million, respectively were valued using Level 1 of the fair value hierarchy. At September 30, 2020 and December 31, 2019, highly liquid money market funds of $55.1 million and $35.0 million, respectively, were valued using Level 1 of the fair value hierarchy, quoted prices in active markets for identical assets, and are included in cash equivalents.

Balance Sheets Components

Balance Sheets Components	9 Months Ended
	Sep. 30, 2020
Balance Sheet Related Disclosures [Abstract]
Balance Sheets Components	Note 4. Balance Sheet Components Accounts Receivable, net Accounts receivable, net consisted of the following: As of September 30, 2020 December 31, 2019 (in thousands) Accounts receivables, gross $ 17,274 $ 17,788 Allowance for doubtful accounts (50 ) (129 ) Accounts receivables, net $ 17,224 $ 17,659 Inventory Inventory consisted of the following: As of September 30, 2020 December 31, 2019 (in thousands) Raw materials $ 1,382 $ 304 Work in progress 11,937 8,160 Finished goods 1,889 3,447 Total inventories $ 15,208 $ 11,911 Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consisted of the following: As of September 30, 2020 December 31, 2019 (in thousands) Advance to suppliers $ — $ 3,338 Prepaid expenses 1,921 1,279 Other current assets 1,054 984 Total prepaid and other current assets $ 2,975 $ 5,601 Property and Equipment, Net Property and equipment, net As of September 30, 2020 December 31, 2019 (in thousands) Lab Equipment $ 20,706 $ 17,376 Computer Equipment 1,028 800 Furniture and fixtures 241 241 Construction in Progress 921 221 Leasehold improvements 4,086 4,074 26,982 22,712 Accumulated depreciation (16,123 ) (13,424 ) Total property and equipment, net $ 10,859 $ 9,288 Depreciation expense related to property and equipment was $1.0 million, $2.7 million, $0.9 million, and $2.4 Intangible Assets, Net Intangible assets, net consisted As of September 30, 2020 December 31, 2019 (in thousands) Internal use software $ 9,338 $ 10,022 Purchased intangibles 5,334 4,793 14,672 14,815 Accumulated amortization (12,569 ) (10,326 ) Intangible assets, net $ 2,103 $ 4,489 Amortization expense for intangible assets was $ 0.3 As of September 30, 2020, the Company had $ 0.7 (in thousands) 2020 (remainder) $ 317 2021 1,177 2022 469 2023 140 $ 2,103 Accrued Expenses and Other Current Liabilities Accrued expenses and other As of September 30, 2020 December 31, 2019 (in thousands) Accrued payroll and related benefits $ 3,963 $ 1,880 Price adjustment and other revenue reserves 1,789 1,222 Short term lease liability 1,243 1,874 Other accrued expenses 3,097 3,466 Total accrued expenses and other current liabilities $ 10,092 $ 8,442

Leases

Leases	9 Months Ended
	Sep. 30, 2020
Leases [Abstract]
Leases	Note 5. Leases The Company leases The Company also leases office space in Michigan, Malaysia, Japan, the Netherlands, and Ukraine all under non-cancellable operating leases with various expiration dates through December 2026. The remaining lease terms vary from a few months to 6 years. For its leases the Company has options to extend the lease term for periods varying from one to five years. These renewal options are not considered in the remaining lease term unless it is reasonably certain that the Company will exercise such options. The Company also has variable lease payments that are primarily comprised of common area maintenance and utility charges. As of September 30, 2020, the Company did not have any leases that had not yet commenced. The table below presents the lease-related assets and liabilities recorded on the consolidated balance sheet as of September 30, 2020: As of September 30, 2020 December 31, 2019 (in thousands) Right-of-use assets $ 9,220 $ 9,790 Lease liabilities included in accrued expenses and other current liabilities 1,243 1,874 Lease liabilities - non-current 7,309 7,940 Total operating lease liabilities $ 8,552 $ 9,814 Weighted-average remaining lease term (years) 6.1 7.1 Weighted-average discount rate 4.2 % 4.1 % The table below presents certain information related to the lease costs for operating leases for the three and nine months ended September 30, 2020 and 2019: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) Operating lease cost $ 418 $ 352 $ 1,269 $ 1,006 Short-term lease cost 88 93 253 221 Variable lease cost 37 225 193 390 Total lease cost $ 543 $ 670 $ 1,715 $ 1,617 Cash paid for operating lease liabilities was $0.3 million, $1.9 million, $2.0 million and $2.7 million, respectively for the three and nine months ended September 30, 2020 and 2019. The cash paid for three and nine months ended September 30, 2019, includes $1.6 million of prepaid lease payments. The Company sub-leased a portion of its Santa Clara facility through March 31, 2019 and received $0.1 million in sub-lease income for the nine months ended September 30, 2019, which was included in the short-term lease cost above. Undiscounted Cash Flows The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years to the operating lease liabilities recorded on the consolidated balance sheet as of September 30, 2020: (in thousands) 2020 $ 275 2021 1,567 2022 1,595 2023 1,489 2024 1,532 2025 and beyond 3,194 Total minimum lease payments 9,652 Less: amount of lease payments representing interest (1,100 ) Present value of future minimum lease payments 8,552 Less: current obligations under leases (1,243 ) Long-term lease liabilities $ 7,309

Stockholders' Equity

Stockholders' Equity	9 Months Ended
	Sep. 30, 2020
Equity [Abstract]
Stockholders' Equity	Note 6. Stockholders’ Equity On June 16, 2020, we completed a follow-on public offering, in which we issued and sold 1,525,000 shares of our common stock and MegaChips sold 2,500,000 of our common stock held by them . Equity Incentive Plans The following table RSU Grant Date CRSU Grant Date Number of Fair Value Number of Fair Value Shares per share Shares per share Balance at December 31, 2019 2,989,322 $ 13.0 — $ - Granted 206,026 20.9 — — Vested (149,141 ) 13.2 — — Forfeited (130,939 ) 13.5 — — Balance at March 31, 2020 2,915,268 $ 13.5 — $ - Granted 130,640 33.8 4,780 22.2 Vested (183,910 ) 14.0 (3,290 ) 20.9 Forfeited (17,860 ) 13.8 — 13.8 Balance at June 30, 2020 2,844,138 $ 14.4 1,490 $ 25.2 Granted 133,825 51.4 3,524 46.9 Vested (224,179 ) 16.8 (4,130 ) 41.5 Forfeited (19,980 ) 15.0 — — Balance at September 30, 2020 2,733,804 $ 16.0 884 $ 26.9 On August 4, 2020, the Compensation Committee of the Company adopted and approved the Executive Bonus and Retention Plan (the “Bonus and Retention Plan”) with target bonus amounts and performance goals for the second half of the fiscal year 2020 (the “2020 Goals”). The 2020 Goals are based on the achievement of revenue and Non-GAAP operating profit for the second half of 2020, as well as individual performance goals. The target bonuses were granted based on a fixed dollar amount to be settled in restricted stock units on the vesting date and hence the awards have been classified as liability-based awards. Such expense is included in the non-cash adjustment within stock-based compensation expense on the condensed consolidated cash flow statement. The liability of $0.4 million was recorded as accrued expenses and other current liabilities in the condensed consolidated balance sheet. In the three and nine months ended September 30, 2020, the Company granted cash based RSUs (the “CRSU”) as part of an employee bonus plan. Generally, such units are granted quarterly and fully vest at the end of the quarter they are granted except units granted to new hires that have a one-year cliff vesting. Such awards have also been classified as liability-based awards. For the nine months ended September 30, 2020, the Company issued 447 ,077 Stock-Based Compensation The following table presents the detail of stock-based compensation expense amounts included in the condensed consolidated statement of operations for each of the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Equity awards (in thousands) Cost of revenue $ 34 $ — $ 119 $ — Research and development 1,100 — 3,016 — Selling, general and administrative 2,785 — 6,614 — $ 3,919 $ — $ 9,749 $ — Liability-based awards Cost of revenue $ 98 $ — $ 138 $ — Research and development 285 — 383 — Selling, general and administrative 338 — 392 — $ 721 $ — $ 913 $ — Total stock-based compensation expense $ 4,640 $ — $ 10,662 $ — As of September 30, 2020, there was $ 41 is 3.67

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	Note 7. Income Taxes The quarterly provision for (benefit from) income taxes is based on applying the estimated annual effective tax rate to the year to date pre-tax income (loss), plus any discrete items. The Company updates its estimate of its annual effective tax rate at the end of each quarterly period. The estimate takes into account annual forecasted income (loss) before income taxes, the geographic mix of income (loss) before income taxes and any significant permanent tax items. On March 27, 2020, the “Coronavirus Aid, Relief, and Economic Security Act” (“CARES Act”) was signed into law. The new legislation includes a number of income tax provisions applicable to individuals and businesses. Due to historical net operating losses incurred in the U.S., the CARES Act did not have material impacts on the Company’s condensed consolidated financial statements as of September 30, 2020. The Company continues to examine the elements of the CARES Act and the impact it may have on its financial statements. The following table presents the provision for income taxes and the effective tax rates for the three and nine months ended September 30, 2020 and 2019: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) (Loss) income before income taxes $ (667 ) $ 1,079 $ (11,362 ) $ (7,239 ) Provision (benefit) for income tax — — (1 ) (1 ) Effective tax rate 0 % 0 % 0 % 0 % The Company’s effective tax rate may vary from the U.S. federal statutory tax rate due to the change in the mix of earnings in tax jurisdictions with different statutory rates, benefits related to tax credits and the tax impact of non-deductible expenses, existence of full valuation allowance on its deferred tax assets, and other permanent differences between income before income taxes and taxable income. A valuation allowance is established or maintained when, based on currently available information and other factors, it is more likely than not that all or a portion of the deferred tax assets will not be realized. The Company regularly assesses its valuation allowance against deferred tax assets on a jurisdiction by jurisdiction basis. The Company considers all available positive and negative evidence, including future reversals of temporary differences, projected future taxable income, tax planning strategies and recent financial results. Based on management’s assessment of the realizability of deferred tax assets, the Company continues to maintain a full valuation reserve on its deferred tax assets as of September 30, 2020. As of September 30, 2020 and December 31, 2019, the Company had $ 2.2 The Company’s policy is to record interest and penalties related to unrecognized tax benefits as income tax expense. For the three and nine months ended September 30, 2020 and 2019, the Company had immaterial amounts related to the accrual of interest and penalties.

Segment, Geographic and Custome

Segment, Geographic and Customer Information	9 Months Ended
	Sep. 30, 2020
Segment Reporting [Abstract]
Segment, Geographic and Customer Information	Note 8. Segment, Geographic and Customer Information The Company operates in one reportable segment related to the design, development, and sale of silicon timing systems solutions. Revenue by geographic area are presented based upon the ship-to location of the original equipment manufacturers, the contract manufacturers or the distributors who purchased the Company’s products. For sales to the distributors, their geographic location may be different from the geographic locations of the ultimate end customers. The following table sets forth revenue by country for countries with 10% or more of the Company’s revenue during any of the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) Taiwan $ 16,126 $ 11,934 $ 34,099 $ 26,830 Hong Kong 9,209 4,442 19,530 11,047 United States 2,263 1,412 5,938 3,880 Other 5,069 7,537 16,315 14,228 Total $ 32,667 $ 25,325 $ 75,882 $ 55,985 The Company’s long-lived assets in the U.S. attributable to operations as of September 30, 2020 and December 31, 2019 were 96% and 97%, respectively, of total property and equipment and intangible assets. Revenue from sales to three of the Company's distributors accounted for 30.3%, 15.8%, and 14.6% of its consolidated revenues for the three months ended September 30, 2020. Revenue from sales to three of the Company's distributors accounted for 23.0%, 19.7% and 14.0% of its consolidated revenues for the nine months ended September 30, 2020. Revenue from sales to one end customer accounted for 44.6% and 36.3% for the three and nine months ended September 30, 2020. No other distributors or customers accounted for 10% or more of the Company's consolidated revenues for the three months or nine months ended September 30, 2020. Revenue from sales to four of the Company's distributors accounted for 27.5%, 16.9%, 15.3% and 11.7% of its consolidated revenues for the three months ended September 30, 2019. Revenue from sales to three of the Company's distributors accounted for 23.1%, 19.3% and 18.2% of its consolidated revenues for the nine months ended September 30, 2019. Revenue from sales to one end customer accounted for 34.1% and 35.4% for the three and nine months ended September 30, 2019. No other distributors or customers accounted for 10% or more of the Company's consolidated revenues for the three months or nine months ended September 30, 2019

Debt Obligations

Debt Obligations	9 Months Ended
	Sep. 30, 2020
Debt Disclosure [Abstract]
Debt Obligations	Note 9. Debt Obligations The Company has As of September 30, 2020, the Company was in compliance with all of the financial covenants under its debt agreement with MUFG. Debt obligations as of September 30, 2020 and December 31, 2019 consisted of the following: As of September 30, 2020 December 31, 2019 (in thousands) Revolving line of credit: MUFG $ — $ 41,000 Balance — 41,000 Less: Current portion of long-term debt — (41,000 ) Long-term debt $ — $ — As of December 31, 2019, debt obligations were as follows (dollars in thousands): Lender Loan Start Date Loan Amount Annual Interest Rate Maturity Date MUFG 12/19/2019 $ 38,000 2.97 % 6/10/2020 MUFG 8/23/2019 3,000 3.10 % 2/19/2020 $ 41,000 On June 10, 2020, the $38.0 million loan with MUFG matured, at which time the Company renewed the loan for $23.0 million at an interest rate of 1.39% through June 24, 2020. On June 24, 2020, the loan was further extended through July 24, 2020 at an interest rate of 1.45%. On July 24, 2020, the Company paid down all outstanding loans with MUFG of $35.0 million of which $12.0 million of loans were prepaid with a penalty of $0.1 million. E

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2020
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 10. Commitments and Contingencies Legal Matters From time to time, the Company may be a party to various litigation claims in the normal course of business. Legal fees and other costs associated with such actions are expensed as incurred. The Company assesses, in conjunction with legal counsel, the need to record a liability for litigation and contingencies. Accrual estimates are recorded when and if it is determined that such a liability for litigation and contingencies are both probable and reasonably estimable. No accruals for loss contingencies or recognition of actual losses have been recorded in any of the periods presented. In March 2019, VTT Technical Research Centre of Finland, Ltd. ("VTT") filed suit in the United States District Court for the Northern District of California alleging infringement by the Company of a patent relating to specific combinations of features set forth in U.S. Patent No. 8,558,643. The complaint sought unspecified monetary damages and injunctive relief. On January 22, 2020, the Company participated in a mediation that had been ordered by the Court. The case was not resolved at the mediation. A Markman Hearing was held on May 15, 2020 relating to a number of different disputed claim terms, and on July 9, 2020 the Court issued a Markman Order relating to those disputed claim terms. Among its determinations, the Court found that one of the disputed claim terms was indefinite, as well as any claim that had this claim term in it. On July 17, 2020, the Court issued a judgment finding all claims of U.S. Patent No. 8,558,643 invalid, based upon its Markman Order. VTT filed a Notice of Appeal of the Court's judgment with the US Court of Appeals for the Federal Circuit and is expected to file its opening brief by November 19, 2020 and the Company is expected to file its response brief by January 28, 2020. The Company has not accrued for a loss contingency relating to such matter as the potential loss is currently not probable and reasonably estimable. Indemnification The Company is a party to a variety of agreements pursuant to which it may be obligated to indemnify other parties to such agreements with respect to certain matters. Typically, these obligations arise in the context of contracts that the Company has entered into, under which the Company customarily agrees to hold the other party harmless against losses arising from a breach of representations and covenants or terms and conditions related to such matters as the sale and/or delivery of its products, title to assets sold, certain intellectual property claims, defective products, specified environmental matters, and certain income taxes. Further, the Company’s obligations under these agreements may be limited in terms of time, amount, or the scope of its responsibility and in some instances, the Company may have recourse against third-parties for certain payments made under these agreements. It is not possible to predict the maximum potential amount of future payments under these agreements due to the conditional nature of the Company’s obligations and the unique facts and circumstances involved in each particular agreement. Historically, the Company has had no material indemnification claims under these agreements.

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2020
Related Party Transactions [Abstract]
Related Party Transactions	Note 11. Related Party Transactions The Company entered into an agreement with MegaChips, whereby the Company appointed MegaChips as the exclusive sales representative of its products in Japan. The Company sells products through MegaChips to distributors, resellers, or direct customers in Japan. The Company pays MegaChips is the largest stockholder of the Company and held approximately 44.3% and 66.8% of the Company’s outstanding common stock as of September 30, 2020 and December 31, 2019, respectively In the three and nine months ended September 30, 2020, the Company entered into an asset purchase agreement with MegaChips Corporation. In the nine months ended September 30, 2020 the Company entered into an equipment purchase agreement with MegaChips Taiwan Corporation, a wholly-owned subsidiary of MegaChips Corporation. In the nine months ended September 30, 2020 the Company entered into a services and secondment agreement with MegaChips LSI USA Corporation, a wholly-owned subsidiary of MegaChips Corporation. See Note 9, “Debt Obligations” for more information regarding the Company’s loan agreement with MegaChips. The following is a summary of significant balances, transactions and payments with the related parties and affiliates. As of September 30, 2020 December 31, 2019 (in thousands) MegaChips Accounts receivable $ 738 $ 1,073 Prepaid expenses and other current assets — 18 Accounts payable 29 220 Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) MegaChips Sales $ 1,544 $ 1,418 $ 4,274 $ 3,232 License expense — 68 148 68 Commission expense 64 59 176 127 Affiliates Consulting fees 87 — 262 — Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) (in thousands) MegaChips Cash paid for commissions $ 64 $ 59 $ 176 $ 127 Cash paid for licenses — — 25 91 Affiliates Cash paid for consulting fees 87 — 262 —

The Company and Basis of Pres_2

The Company and Basis of Presentation (Policies)	9 Months Ended
	Sep. 30, 2020
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Outbreak of Coronavirus Disease 2019 (“the COVID-19 pandemic”)	Outbreak of Coronavirus Disease 2019 (“the COVID-19 pandemic”) On March 11, 2020, the World Health Organization characterized the outbreak of the coronavirus disease known as COVID-19 as a global pandemic and recommended containment and mitigation measures. On March 13, 2020, the United States declared a national emergency concerning the outbreak, and several states and municipalities have declared public health emergencies. To combat the spread of the COVID-19 pandemic, the United States and other foreign countries in which the Company operates have imposed measures such as quarantines and “shelter-in-place” orders that are restricting business operations and travel and requiring individuals to work from home (“WFH”), which has impacted all aspects of the Company’s business as well as those of the third-parties we rely upon for our manufacturing, assembly, testing, shipping and other operations. The global health crisis caused by the COVID-19 pandemic has negatively impacted business activity across the globe and has impacted the Company's employees and operations. The inputs into the Company’s judgments and estimates consider the economic implications of the COVID-19 pandemic, as the Company knows them, on the Company’s critical and significant accounting estimates. The extent to which the COVID-19 pandemic may impact the Company’s business will depend on future developments, which are highly uncertain and as such, the Company is not able to estimate the future effects of the COVID-19 pandemic on its employees, customers, suppliers, results of operations, financial condition, or liquidity for fiscal year 2020.
Reporting Calendar	Reporting Calendar The Company’s fiscal year begins on January 1 of the year stated and ends on December 31 of the same year. The Company reports its results on a calendar year basis.
Principles of Consolidation	Principles of Consolidation The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in consolidation.
Significant Accounting Policies	Significant Accounting Policies The Company’s significant accounting policies are disclosed in the Company’s audited consolidated financial statements and related notes thereto included in the Annual Report on Form 10-K for the year ended December 31, 2019. There had been no changes to these accounting policies except for the recently adopted accounting guidance as discussed below.
Accounting Standards Recently Adopted/Not Yet Adopted	Recently Adopted Accounting Guidance In August 2018, the Financial Accounting Standard Board (“FASB”) issued Accounting Standard Update (“ASU”) 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract, which aligns the requirements for capitalizing implementation costs incurred in a cloud computing arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use-software. The adoption of this standard on January 1, 2020 did not have any impact on the Company's consolidated financial position, results of operations and cash flows. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement, which modifies the disclosure requirements in Topic 820. The adoption of this standard on January 1, 2020 did not have any impact on the Company's disclosures. New Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which eliminates certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. It also clarifies and simplifies other aspects of the accounting for income taxes. The new standard will be effective for fiscal years beginning after December 15, 2020. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial position, results of operations and cash flows. In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which changes the credit loss model from an incurred loss approach to an expected loss approach. It requires the application of a current expected credit loss (“CECL”) impairment model to financial assets measured at amortized cost (including trade accounts receivable) and certain off-balance-sheet credit exposures. Under the CECL model, lifetime expected credit losses on such financial assets are measured and recognized at each reporting date based on historical, current, and forecasted information. The standard also changes the impairment model for available-for-sale debt securities, eliminating the concept of other than temporary impairment and requiring credit losses to be recorded through an allowance for credit losses. The amount of the allowance for credit losses for available-for-sale debt securities is limited to the amount by which fair value is below amortized cost. The standard is effective for interim and annual periods beginning after December 15, 2022. A modified retrospective adoption method is required, with a cumulative-effect adjustment to the opening retained earnings balance in the period of adoption. The adoption of this standard is not expected to have a material impact on the Company's consolidated financial position, results of operations and cash flows.

Net Loss (Income) Per Share (Ta

Net Loss (Income) Per Share (Tables)	9 Months Ended
	Sep. 30, 2020
Earnings Per Share [Abstract]
Summary of Computation of Basic and Diluted Net Loss (Income) per Share	The following table summarizes the computation of basic and diluted net loss (income) per share attributable to common stockholder of the Company: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands, except per share data) Net (loss) income attributable to common stockholders $ (667 ) $ 1,079 $ (11,363 ) $ (7,240 ) Weighted-average shares outstanding 16,818 10,000 15,737 10,000 Weighted average shares used to compute basic and diluted net (loss) income per share 16,818 10,000 15,737 10,000 Net (loss) income attributable to common stockholders per share, basic and diluted $ (0.04 ) $ 0.11 $ (0.72 ) $ (0.72 )

Balance Sheets Components (Tabl

Balance Sheets Components (Tables)	9 Months Ended
	Sep. 30, 2020
Balance Sheet Related Disclosures [Abstract]
Schedule of Accounts Receivable, Net	Accounts receivable, net consisted of the following: As of September 30, 2020 December 31, 2019 (in thousands) Accounts receivables, gross $ 17,274 $ 17,788 Allowance for doubtful accounts (50 ) (129 ) Accounts receivables, net $ 17,224 $ 17,659
Schedule of Inventory	Inventory consisted of the following: As of September 30, 2020 December 31, 2019 (in thousands) Raw materials $ 1,382 $ 304 Work in progress 11,937 8,160 Finished goods 1,889 3,447 Total inventories $ 15,208 $ 11,911
Schedule of Prepaid Expenses and Other Current Assets	Prepaid expenses and other current assets consisted of the following: As of September 30, 2020 December 31, 2019 (in thousands) Advance to suppliers $ — $ 3,338 Prepaid expenses 1,921 1,279 Other current assets 1,054 984 Total prepaid and other current assets $ 2,975 $ 5,601
Schedule of Property and Equipment Net	Property and equipment, net As of September 30, 2020 December 31, 2019 (in thousands) Lab Equipment $ 20,706 $ 17,376 Computer Equipment 1,028 800 Furniture and fixtures 241 241 Construction in Progress 921 221 Leasehold improvements 4,086 4,074 26,982 22,712 Accumulated depreciation (16,123 ) (13,424 ) Total property and equipment, net $ 10,859 $ 9,288
Schedule of Intangible Assets, Net	Intangible assets, net consisted As of September 30, 2020 December 31, 2019 (in thousands) Internal use software $ 9,338 $ 10,022 Purchased intangibles 5,334 4,793 14,672 14,815 Accumulated amortization (12,569 ) (10,326 ) Intangible assets, net $ 2,103 $ 4,489
Schedule of Future Amortization Expense for Intangible Assets	The estimated aggregate future amortization expense for intangible assets in development stage and subject to amortization as of September 30, 2020 is summarized as below: (in thousands) 2020 (remainder) $ 317 2021 1,177 2022 469 2023 140 $ 2,103
Schedule of Accrued Expenses and Other Current Liabilities	Accrued expenses and other As of September 30, 2020 December 31, 2019 (in thousands) Accrued payroll and related benefits $ 3,963 $ 1,880 Price adjustment and other revenue reserves 1,789 1,222 Short term lease liability 1,243 1,874 Other accrued expenses 3,097 3,466 Total accrued expenses and other current liabilities $ 10,092 $ 8,442

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2020
Leases [Abstract]
Summary of Lease Related Assets and Liabilities	The table below presents the lease-related assets and liabilities recorded on the consolidated balance sheet as of September 30, 2020: As of September 30, 2020 December 31, 2019 (in thousands) Right-of-use assets $ 9,220 $ 9,790 Lease liabilities included in accrued expenses and other current liabilities 1,243 1,874 Lease liabilities - non-current 7,309 7,940 Total operating lease liabilities $ 8,552 $ 9,814 Weighted-average remaining lease term (years) 6.1 7.1 Weighted-average discount rate 4.2 % 4.1 %
Summary of Lease Costs	The table below presents certain information related to the lease costs for operating leases for the three and nine months ended September 30, 2020 and 2019: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) Operating lease cost $ 418 $ 352 $ 1,269 $ 1,006 Short-term lease cost 88 93 253 221 Variable lease cost 37 225 193 390 Total lease cost $ 543 $ 670 $ 1,715 $ 1,617
Summary of Undiscounted Cash Flows	The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years to the operating lease liabilities recorded on the consolidated balance sheet as of September 30, 2020: (in thousands) 2020 $ 275 2021 1,567 2022 1,595 2023 1,489 2024 1,532 2025 and beyond 3,194 Total minimum lease payments 9,652 Less: amount of lease payments representing interest (1,100 ) Present value of future minimum lease payments 8,552 Less: current obligations under leases (1,243 ) Long-term lease liabilities $ 7,309

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	9 Months Ended
	Sep. 30, 2020
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Schedule of Stock-based Compensation Expense Amounts Included in Condensed Consolidated Statement of Operations	The following table presents the detail of stock-based compensation expense amounts included in the condensed consolidated statement of operations for each of the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Equity awards (in thousands) Cost of revenue $ 34 $ — $ 119 $ — Research and development 1,100 — 3,016 — Selling, general and administrative 2,785 — 6,614 — $ 3,919 $ — $ 9,749 $ — Liability-based awards Cost of revenue $ 98 $ — $ 138 $ — Research and development 285 — 383 — Selling, general and administrative 338 — 392 — $ 721 $ — $ 913 $ — Total stock-based compensation expense $ 4,640 $ — $ 10,662 $ —
RSU and CRSU
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Schedule of Restricted Stock Unit Award ("RSU") and Cash Restricted Stock Unit Award (''CRSU'') Activity (Details)	The following table RSU Grant Date CRSU Grant Date Number of Fair Value Number of Fair Value Shares per share Shares per share Balance at December 31, 2019 2,989,322 $ 13.0 — $ - Granted 206,026 20.9 — — Vested (149,141 ) 13.2 — — Forfeited (130,939 ) 13.5 — — Balance at March 31, 2020 2,915,268 $ 13.5 — $ - Granted 130,640 33.8 4,780 22.2 Vested (183,910 ) 14.0 (3,290 ) 20.9 Forfeited (17,860 ) 13.8 — 13.8 Balance at June 30, 2020 2,844,138 $ 14.4 1,490 $ 25.2 Granted 133,825 51.4 3,524 46.9 Vested (224,179 ) 16.8 (4,130 ) 41.5 Forfeited (19,980 ) 15.0 — — Balance at September 30, 2020 2,733,804 $ 16.0 884 $ 26.9

Income Taxes (Tables)

Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2020
Income Tax Disclosure [Abstract]
Schedule of Provision for Income Taxes and Effective Tax Rates	The following table presents the provision for income taxes and the effective tax rates for the three and nine months ended September 30, 2020 and 2019: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) (Loss) income before income taxes $ (667 ) $ 1,079 $ (11,362 ) $ (7,239 ) Provision (benefit) for income tax — — (1 ) (1 ) Effective tax rate 0 % 0 % 0 % 0 %

Segment, Geographic and Custo_2

Segment, Geographic and Customer Information (Tables)	9 Months Ended
	Sep. 30, 2020
Segment Reporting [Abstract]
Schedule of Revenue by Country	The following table sets forth revenue by country for countries with 10% or more of the Company’s revenue during any of the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) Taiwan $ 16,126 $ 11,934 $ 34,099 $ 26,830 Hong Kong 9,209 4,442 19,530 11,047 United States 2,263 1,412 5,938 3,880 Other 5,069 7,537 16,315 14,228 Total $ 32,667 $ 25,325 $ 75,882 $ 55,985

Debt Obligations (Tables)

Debt Obligations (Tables)	9 Months Ended
	Sep. 30, 2020
Debt Disclosure [Abstract]
Schedule of Long Term Debt	Debt obligations as of September 30, 2020 and December 31, 2019 consisted of the following: As of September 30, 2020 December 31, 2019 (in thousands) Revolving line of credit: MUFG $ — $ 41,000 Balance — 41,000 Less: Current portion of long-term debt — (41,000 ) Long-term debt $ — $ —
Schedule of Debt Obligations	As of December 31, 2019, debt obligations were as follows (dollars in thousands): Lender Loan Start Date Loan Amount Annual Interest Rate Maturity Date MUFG 12/19/2019 $ 38,000 2.97 % 6/10/2020 MUFG 8/23/2019 3,000 3.10 % 2/19/2020 $ 41,000

Related Party Transactions (Tab

Related Party Transactions (Tables)	9 Months Ended
	Sep. 30, 2020
Related Party Transactions [Abstract]
Summary of Significant Balances, Transactions and Payments with Related Parties and Affiliates	The following is a summary of significant balances, transactions and payments with the related parties and affiliates. As of September 30, 2020 December 31, 2019 (in thousands) MegaChips Accounts receivable $ 738 $ 1,073 Prepaid expenses and other current assets — 18 Accounts payable 29 220 Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) MegaChips Sales $ 1,544 $ 1,418 $ 4,274 $ 3,232 License expense — 68 148 68 Commission expense 64 59 176 127 Affiliates Consulting fees 87 — 262 — Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 (in thousands) (in thousands) MegaChips Cash paid for commissions $ 64 $ 59 $ 176 $ 127 Cash paid for licenses — — 25 91 Affiliates Cash paid for consulting fees 87 — 262 —

The Company and Basis of Pres_3

The Company and Basis of Presentation - Additional Information (Details) - USD ($) $ in Millions	Jun. 16, 2020	Sep. 30, 2020
Follow-on Public Offering
Significant Accounting Policies [Line Items]
Proceeds from public offering, net of underwriting discounts and commissions	$ 45.8
Payments for underwriting discounts and commissions	2.7
Deferred offering costs	$ 0.3
SiTime Corporation | Follow-on Public Offering
Significant Accounting Policies [Line Items]
Issuance of common stock upon follow-on public offering net of underwriting discounts and commissions and deferred offerings costs, Shares	1,525,000
MegaChips | Follow-on Public Offering
Significant Accounting Policies [Line Items]
Issuance of common stock upon follow-on public offering net of underwriting discounts and commissions and deferred offerings costs, Shares	2,500,000
MegaChips | SiTime Corporation
Significant Accounting Policies [Line Items]
Percentage of outstanding common stock held		44.30%

Net Loss (Income) Per Share - S

Net Loss (Income) Per Share - Summary of Computation of Basic and Diluted Net Loss (Income) per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Earnings Per Share [Abstract]
Net (loss) income attributable to common stockholders	$ (667)	$ 1,079	$ (11,363)	$ (7,240)
Weighted-average shares used to compute basic and diluted net (loss) income per share	16,818	10,000	15,737	10,000
Net (loss) income attributable to common stockholders per share, basic and diluted	$ (0.04)	$ 0.11	$ (0.72)	$ (0.72)

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Details) - Level 1 - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash balances in bank	$ 14.1	$ 28.4
Highly liquid money market funds	$ 55.1	$ 35

Balance Sheets Components - Sch

Balance Sheets Components - Schedule of Accounts Receivable, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Accounts Receivable Net Current [Abstract]
Accounts receivables, gross	$ 17,274	$ 17,788
Allowance for doubtful accounts	(50)	(129)
Accounts receivables, net	$ 17,224	$ 17,659

Balance Sheets Components - S_2

Balance Sheets Components - Schedule of Inventory (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Inventory Disclosure [Abstract]
Raw materials	$ 1,382	$ 304
Work in progress	11,937	8,160
Finished goods	1,889	3,447
Total inventories	$ 15,208	$ 11,911

Balance Sheets Components - S_3

Balance Sheets Components - Schedule of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Prepaid Expense And Other Assets Current [Abstract]
Advance to suppliers		$ 3,338
Prepaid expenses	$ 1,921	1,279
Other current assets	1,054	984
Total prepaid and other current assets	$ 2,975	$ 5,601

Balance Sheets Components - S_4

Balance Sheets Components - Schedule of Property and Equipment Net (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Property Plant And Equipment [Line Items]
Property and equipment, gross	$ 26,982	$ 22,712
Accumulated depreciation	(16,123)	(13,424)
Total property and equipment, net	10,859	9,288
Lab Equipment
Property Plant And Equipment [Line Items]
Property and equipment, gross	20,706	17,376
Computer Equipment
Property Plant And Equipment [Line Items]
Property and equipment, gross	1,028	800
Furniture and Fixtures
Property Plant And Equipment [Line Items]
Property and equipment, gross	241	241
Construction in Progress
Property Plant And Equipment [Line Items]
Property and equipment, gross	921	221
Leasehold Improvements
Property Plant And Equipment [Line Items]
Property and equipment, gross	$ 4,086	$ 4,074

Balance Sheets Components - Add

Balance Sheets Components - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Balance Sheet Related Disclosures [Line Items]
Depreciation expense	$ 1,000	$ 2,700	$ 900	$ 2,400
Amortization expense for intangible assets	300	$ 2,300	1,200	$ 3,700
Impairment of internal-use software			959
Intangibles Assets not amortized	700		700
Research and Development Expense
Balance Sheet Related Disclosures [Line Items]
Impairment of internal-use software	$ 800		$ 1,000

Balance Sheets Components - S_5

Balance Sheets Components - Schedule of Intangible Assets Net (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Finite Lived Intangible Assets [Line Items]
Intangible assets, gross	$ 14,672	$ 14,815
Accumulated amortization	(12,569)	(10,326)
Intangible assets, net	2,103	4,489
Internal use software
Finite Lived Intangible Assets [Line Items]
Intangible assets, gross	9,338	10,022
Purchased intangibles
Finite Lived Intangible Assets [Line Items]
Intangible assets, gross	$ 5,334	$ 4,793

Balance Sheets Components - S_6

Balance Sheets Components - Schedule of Future Amortization Expense for Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Finite Lived Intangible Assets Future Amortization Expense Current And Five Succeeding Fiscal Years [Abstract]
2020 (remainder)	$ 317
2021	1,177
2022	469
2023	140
Intangible assets, net	$ 2,103	$ 4,489

Balance Sheets Components - S_7

Balance Sheets Components - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Aug. 04, 2020	Dec. 31, 2019
Payables And Accruals [Abstract]
Accrued payroll and related benefits	$ 3,963		$ 1,880
Price adjustment and other revenue reserves	1,789		1,222
Short term lease liability	1,243		1,874
Other accrued expenses	3,097		3,466
Total accrued expenses and other current liabilities	$ 10,092	$ 400	$ 8,442

Leases - Additional Information

Leases - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Lease Disclosure [Line Items]
Leases not yet commenced			Company did not have any leases that had not yet commenced.
Cash paid for operating lease liabilities	$ 0.3	$ 2	$ 1.9	$ 2.7
Prepaid lease payments		$ 1.6		1.6
Sublease income				$ 0.1
Office Space
Lease Disclosure [Line Items]
Lease term expiration date			Dec. 31, 2026
Lease option to extend			The remaining lease terms vary from a few months to 6 years. For its leases the Company has options to extend the lease term for periods varying from one to five years.
Option to extend			true
Office Space | Maximum
Lease Disclosure [Line Items]
Lease term	6 years		6 years
Operating lease, renewal term	5 years		5 years
Office Space | Minimum
Lease Disclosure [Line Items]
Operating lease, renewal term	1 year		1 year

Leases - Summary of Lease Relat

Leases - Summary of Lease Related Assets and Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Leases [Abstract]
Right-of-use assets, net	$ 9,220	$ 9,790
Lease liabilities included in accrued expenses and other current liabilities	1,243	1,874
Lease liabilities - non-current	7,309	7,940
Total operating lease liabilities	$ 8,552	$ 9,814
Weighted-average remaining lease term (years)	6 years 1 month 6 days	7 years 1 month 6 days
Weighted-average discount rate	4.20%	4.10%

Leases - Summary of Lease Costs

Leases - Summary of Lease Costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Leases [Abstract]
Operating lease cost	$ 418	$ 352	$ 1,269	$ 1,006
Short-term lease cost	88	93	253	221
Variable lease cost	37	225	193	390
Total lease cost	$ 543	$ 670	$ 1,715	$ 1,617

Leases - Summary of Undiscounte

Leases - Summary of Undiscounted Cash Flows (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Leases [Abstract]
2020	$ 275
2021	1,567
2022	1,595
2023	1,489
2024	1,532
2025 and beyond	3,194
Total minimum lease payments	9,652
Less: amount of lease payments representing interest	(1,100)
Total operating lease liabilities	8,552	$ 9,814
Less: current obligations under leases	(1,243)	(1,874)
Long-term lease liabilities	$ 7,309	$ 7,940

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Details) - USD ($) $ in Thousands	Jun. 16, 2020	Sep. 30, 2020	Aug. 04, 2020	Dec. 31, 2019
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Accrued expenses and other current liabilities		$ 10,092	$ 400	$ 8,442
Issued of common stock		447,077
Restricted Stock Units RSU
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unrecognized compensation costs		$ 41,300
Liability-based Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unrecognized compensation costs		$ 1,100
Unrecognized compensation cost is expected weighted average period		5 months 8 days
Equity Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Unrecognized compensation cost is expected weighted average period		3 years 8 months 1 day
New Hires | Cash Restricted Stock Unit Award CRSU
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period		1 year
Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Percentage actual payouts			0.00%
Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Percentage actual payouts			150.00%
SiTime Corporation | Follow-on Public Offering
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Issuance of common stock upon follow-on public offering net of underwriting discounts and commissions and deferred offerings costs, Shares	1,525,000
MegaChips | Follow-on Public Offering
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Issuance of common stock upon follow-on public offering net of underwriting discounts and commissions and deferred offerings costs, Shares	2,500,000

Stockholders' Equity - Schedule

Stockholders' Equity - Schedule of Restricted Stock Unit Award ("RSU") and Cash Restricted Stock Unit Award (''CRSU'') Activity (Details) - $ / shares	3 Months Ended
	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020
Restricted Stock Units RSU
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of Shares, Beginning Balance	2,844,138	2,915,268	2,989,322
Number of Shares, Granted	133,825	130,640	206,026
Number of Shares, Vested	(224,179)	(183,910)	(149,141)
Number of Shares, Forfeited	(19,980)	(17,860)	(130,939)
Number of Shares, Ending Balance	2,733,804	2,844,138	2,915,268
Grant Date Fair Value per share, Beginning Balance	$ 14.4	$ 13.5	$ 13
Grant Date Fair Value per share, Granted	51.4	33.8	20.9
Grant Date Fair Value per share, Vested	16.8	14	13.2
Grant Date Fair Value per share, Forfeited	15	13.8	13.5
Grant Date Fair Value per share, Ending Balance	$ 16	$ 14.4	$ 13.5
Cash Restricted Stock Unit Award CRSU
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of Shares, Beginning Balance	1,490
Number of Shares, Granted	3,524	4,780
Number of Shares, Vested	(4,130)	(3,290)
Number of Shares, Ending Balance	884	1,490
Grant Date Fair Value per share, Beginning Balance	$ 25.2
Grant Date Fair Value per share, Granted	46.9	$ 22.2
Grant Date Fair Value per share, Vested	41.5	20.9
Grant Date Fair Value per share, Forfeited		13.8
Grant Date Fair Value per share, Ending Balance	$ 26.9	$ 25.2

Stockholders' Equity - Schedu_2

Stockholders' Equity - Schedule of Stock-based Compensation Expense Amounts Included in Condensed Consolidated Statement of Operations (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2020
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	$ 4,640	$ 10,662
Equity Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	3,919	9,749
Liability-based Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	721	913
Cost of Revenue | Equity Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	34	119
Cost of Revenue | Liability-based Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	98	138
Research and Development | Equity Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	1,100	3,016
Research and Development | Liability-based Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	285	383
Selling, General and Administrative | Equity Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	2,785	6,614
Selling, General and Administrative | Liability-based Awards
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense	$ 338	$ 392

Income Taxes - Schedule of Prov

Income Taxes - Schedule of Provision for Income Taxes and Effective Tax Rates (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Tax Disclosure [Abstract]
(Loss) income before income taxes	$ (667)	$ 1,079	$ (11,362)	$ (7,239)
Provision (benefit) for income tax			$ (1)	$ (1)
Effective tax rate	0.00%	0.00%	0.00%	0.00%

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Income Tax Disclosure [Abstract]
Unrecognized tax benefits	$ 2.2	$ 2.2

Segment, Geographic and Custo_3

Segment, Geographic and Customer Information - Additional Information (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2020DistributorCustomer	Sep. 30, 2019DistributorCustomer	Sep. 30, 2020SegmentDistributorCustomer	Sep. 30, 2019DistributorCustomer	Dec. 31, 2019
Segment Reporting Information [Line Items]
Number of reportable segments | Segment			1
Percentage of long lived assets	96.00%		96.00%		97.00%
Revenue Benchmark | Distributor Concentration Risk
Segment Reporting Information [Line Items]
Number of distributors accounted for 10% or more of revenues | Distributor	0	0	0	0
Revenue Benchmark | Customer Concentration Risk
Segment Reporting Information [Line Items]
Sales revenue percentage	44.60%	34.10%	36.30%	35.40%
Number of customers accounted for 10% or more of revenues | Customer	0	0	0	0
Revenue Benchmark | Distributor One | Distributor Concentration Risk
Segment Reporting Information [Line Items]
Sales revenue percentage	30.30%	27.50%	23.00%	23.10%
Revenue Benchmark | Distributor Two | Distributor Concentration Risk
Segment Reporting Information [Line Items]
Sales revenue percentage	15.80%	16.90%	19.70%	19.30%
Revenue Benchmark | Distributor Three | Distributor Concentration Risk
Segment Reporting Information [Line Items]
Sales revenue percentage	14.60%	15.30%	14.00%	18.20%
Revenue Benchmark | Distributor Four | Distributor Concentration Risk
Segment Reporting Information [Line Items]
Sales revenue percentage		11.70%

Segment, Geographic and Custo_4

Segment, Geographic and Customer Information - Schedule of Revenue by Country (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Segment Reporting Information [Line Items]
Revenue	$ 32,667	$ 25,325	$ 75,882	$ 55,985
Revenue from Contract with Customer Benchmark | Geographic Concentration Risk
Segment Reporting Information [Line Items]
Revenue	32,667	25,325	75,882	55,985
Taiwan | Revenue from Contract with Customer Benchmark | Geographic Concentration Risk
Segment Reporting Information [Line Items]
Revenue	16,126	11,934	34,099	26,830
Hong Kong | Revenue from Contract with Customer Benchmark | Geographic Concentration Risk
Segment Reporting Information [Line Items]
Revenue	9,209	4,442	19,530	11,047
United States | Revenue from Contract with Customer Benchmark | Geographic Concentration Risk
Segment Reporting Information [Line Items]
Revenue	2,263	1,412	5,938	3,880
Other | Revenue from Contract with Customer Benchmark | Geographic Concentration Risk
Segment Reporting Information [Line Items]
Revenue	$ 5,069	$ 7,537	$ 16,315	$ 14,228

Debt Obligations - Additional I

Debt Obligations - Additional Information (Details) - USD ($)	Jul. 24, 2020	Jun. 24, 2020	Jun. 10, 2020	Sep. 30, 2020	Dec. 31, 2019
Line Of Credit Facility [Line Items]
Weighted average interest rate on short term borrowings outstanding					1.42%
Loan Amount					$ 41,000,000
Repayment of outstanding loan				$ 76,000,000
Line of credit guarantee termination date				Jun. 30, 2020
MUFG
Line Of Credit Facility [Line Items]
Loan Amount					41,000,000
MUFG | 2.97% Loan Maturing on 6/10/2020
Line Of Credit Facility [Line Items]
Loan Amount			$ 38,000,000		$ 38,000,000
Debt instrument, interest rate					2.97%
Maturity Date					Jun. 10, 2020
MUFG | 1.39% Loan Maturing on 6/24/2020
Line Of Credit Facility [Line Items]
Loan Amount			$ 23,000,000
Debt instrument, interest rate			1.39%
Maturity Date			Jun. 24, 2020
MUFG | 1.45% Loan Maturing on 7/24/2020
Line Of Credit Facility [Line Items]
Debt instrument, interest rate		1.45%
Maturity Date		Jul. 24, 2020
Repayment of outstanding loan	$ 23,000,000
Revolving Line of Credit | MUFG
Line Of Credit Facility [Line Items]
Repayment of outstanding loan	35,000,000
Line of credit prepaid amount	12,000,000
Line of credit, prepayment penalties	$ 100,000
Line of credit				$ 50,000,000
Revolving Line of Credit | SMBC
Line Of Credit Facility [Line Items]
Line of credit				20,000,000
Line of credit facility, remaining borrowing capacity				0
Revolving Line of Credit | MegaChips
Line Of Credit Facility [Line Items]
Line of credit				30,000,000
Line of credit facility, remaining borrowing capacity				$ 0

Debt Obligations - Schedule of

Debt Obligations - Schedule of Long Term Debt (Details) $ in Thousands	Dec. 31, 2019USD ($)
Debt Instrument [Line Items]
Short term portion of total debt	$ 41,000
Less: Current portion of long-term debt	(41,000)
MUFG
Debt Instrument [Line Items]
Short term portion of total debt	$ 41,000

Debt Obligations - Schedule o_2

Debt Obligations - Schedule of Debt Obligations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2019	Jun. 10, 2020
Debt Instrument [Line Items]
Loan Amount	$ 41,000
MUFG
Debt Instrument [Line Items]
Loan Amount	$ 41,000
MUFG | 2.97% Loan Maturing on 6/10/2020
Debt Instrument [Line Items]
Loan Start Date	Dec. 19, 2019
Loan Amount	$ 38,000	$ 38,000
Annual Interest Rate	2.97%
Maturity Date	Jun. 10, 2020
MUFG | 3.10% Loan Maturing on 2/19/2020
Debt Instrument [Line Items]
Loan Start Date	Aug. 23, 2019
Loan Amount	$ 3,000
Annual Interest Rate	3.10%
Maturity Date	Feb. 19, 2020

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Details)	Sep. 30, 2020	Dec. 31, 2019
MegaChips | SiTime Corporation
Related Party Transaction [Line Items]
Percentage of outstanding common stock held	44.30%	66.80%

Related Party Transactions - Su

Related Party Transactions - Summary of Significant Balances, Transactions and Payments with Related Parties and Affiliates (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Related Party Transaction [Line Items]
Related party accounts receivable	$ 738		$ 738		$ 1,073
MegaChips
Related Party Transaction [Line Items]
Related party accounts receivable	738		738		1,073
Prepaid expenses and other current assets					18
Accounts payable	29		29		$ 220
Sales	1,544	$ 1,418	4,274	$ 3,232
License expense		68	148	68
Commission expense	64	59	176	127
Cash paid for commissions	64	$ 59	176	127
Cash paid for licenses			25	$ 91
Affliates
Related Party Transaction [Line Items]
Consulting fees	87		262
Cash paid for consulting fees	$ 87		$ 262