Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2014 | Apr. 30, 2014 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'Enphase Energy, Inc. | ' |
Entity Central Index Key | '0001463101 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-14 | ' |
Amendment Flag | 'false | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 42,613,014 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $39,935 | $38,190 |
Accounts receivable, net of allowances of $2,026 and $2,000 | 28,450 | 32,084 |
Inventory | 14,113 | 16,580 |
Prepaid expenses and other | 4,283 | 3,655 |
Total current assets | 86,781 | 90,509 |
Property and equipment, net | 24,809 | 24,853 |
Other assets | 1,570 | 1,307 |
Total assets | 113,160 | 116,669 |
Current liabilities: | ' | ' |
Accounts payable | 9,353 | 7,363 |
Accrued liabilities | 13,578 | 14,780 |
Deferred revenues | 1,900 | 2,773 |
Warranty obligations, current portion (includes $126 and $0 measured at fair value at March 31, 2014 and December 31, 2013, respectively) | 5,894 | 4,942 |
Term loans, current portion | 3,370 | 3,507 |
Total current liabilities | 34,095 | 33,365 |
Long-term liabilities: | ' | ' |
Deferred revenues, noncurrent | 12,064 | 11,284 |
Warranty obligations, noncurrent (includes $461 and $0 measured at fair value at March 31, 2014 and December 31, 2013, respectively) | 24,834 | 25,490 |
Other liabilities | 1,272 | 1,154 |
Term loans, noncurrent | 4,457 | 5,170 |
Total liabilities | 76,722 | 76,463 |
Commitments and contingencies | ' | ' |
Stockholders’ equity: | ' | ' |
Preferred stock, $0.00001 par value, 10,000 shares authorized; none issued and outstanding | 0 | 0 |
Common stock, $0.00001 par value, 100,000 shares authorized; 42,354 and 42,123 shares issued and outstanding as of March 31, 2014 and December 31, 2013, respectively | 0 | 0 |
Additional paid-in capital | 195,383 | 192,916 |
Accumulated deficit | -159,175 | -152,939 |
Accumulated other comprehensive income | 230 | 229 |
Total stockholders’ equity | 36,438 | 40,206 |
Total liabilities and stockholders’ equity | $113,160 | $116,669 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Unaudited ) (Parenthetical) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Allowances, accounts receivable | $2,026 | $2,000 |
Warranty obligations, current at fair value | 126 | 0 |
Warranty obligations, non-current at fair value | $461 | $0 |
Common stock, par value (usd per share) | $0.00 | $0.00 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 42,354,000 | 42,123,000 |
Common stock, shares outstanding | 42,354,000 | 42,123,000 |
Preferred stock, par value (usd per share) | $0.00 | $0.00 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Net revenues | $57,580 | $45,577 |
Cost of revenues | 38,925 | 33,376 |
Gross profit | 18,655 | 12,201 |
Operating expenses: | ' | ' |
Research and development | 9,086 | 9,026 |
Sales and marketing | 8,828 | 6,850 |
General and administrative | 6,526 | 6,036 |
Total operating expenses | 24,440 | 21,912 |
Loss from operations | -5,785 | -9,711 |
Other income (expense), net: | ' | ' |
Interest expense | -449 | -464 |
Other income (expense) | 107 | -49 |
Total other expense, net | -342 | -513 |
Loss before income taxes | -6,127 | -10,224 |
Provision for income taxes | -109 | -182 |
Net loss | ($6,236) | ($10,406) |
Net loss per share attributable to common stockholders, basic and diluted (usd per share) | ($0.15) | ($0.25) |
Shares used in computing net loss per share, basic and diluted | 42,205 | 41,149 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Loss (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Net loss | ($6,236) | ($10,406) |
Other comprehensive (loss) income: | ' | ' |
Foreign currency translation adjustments | 1 | -178 |
Comprehensive loss | ($6,235) | ($10,584) |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Cash flows from operating activities: | ' | ' |
Net loss | ($6,236) | ($10,406) |
Adjustments to reconcile net loss to net cash used in operating activities: | ' | ' |
Depreciation and amortization | 1,910 | 1,660 |
Provision for doubtful accounts | 26 | 0 |
Net loss on disposal of assets | 6 | 0 |
Non-cash interest expense | 102 | 108 |
Stock-based compensation | 2,013 | 1,435 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | 3,608 | 2,835 |
Inventory | 2,467 | -2,466 |
Prepaid expenses and other assets | -977 | -355 |
Accounts payable, accrued compensation and other accrued liabilities | 1,159 | -3,316 |
Warranty obligations | 296 | 2,557 |
Deferred revenues | -93 | 976 |
Net cash provided by (used in) operating activities | 4,281 | -6,972 |
Cash flows from investing activities: | ' | ' |
Purchases of property and equipment | -2,172 | -1,682 |
Net cash used in investing activities | -2,172 | -1,682 |
Cash flows from financing activities: | ' | ' |
Repayments of term loans | -866 | -591 |
Principal payments under capital leases | 0 | -40 |
Proceeds from issuance of common stock under employee stock plans | 454 | 603 |
Net cash used in financing activities | -412 | -28 |
Effect of exchange rate changes on cash | 48 | -178 |
Net increase (decrease) in cash and cash equivalents | 1,745 | -8,860 |
Cash and cash equivalents—Beginning of period | 38,190 | 45,294 |
Cash and cash equivalents—End of period | 39,935 | 36,434 |
Supplemental disclosures of non-cash investing and financing activities: | ' | ' |
Purchases of property and equipment included in accounts payable | $497 | $490 |
Overview_and_Summary_of_Signif
Overview and Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Overview and Summary of Significant Accounting Policies | ' |
Overview and Summary of Significant Accounting Policies | |
The Company | |
Enphase Energy, Inc. ("Enphase" or the “Company”) designs, develops, and sells microinverter systems for the solar photovoltaic industry. The Company’s microinverter system consists of (i) an Enphase microinverter and related accessories that convert direct current (“DC”) power to grid-compliant alternating current (“AC”) power; (ii) an Envoy communications gateway device that collects and transmits performance information from each solar module to the Company’s hosted data center; and (iii) the Enlighten web-based software platform that collects and processes this information to enable customers to monitor and manage their solar power systems. The Company sells microinverter systems primarily to distributors who resell them to solar installers. The Company also sells directly to large installers as well as through original equipment manufacturers (“OEMs”) and strategic partners. | |
Basis of Presentation and Consolidation | |
The accompanying condensed consolidated financial statements are presented in accordance with accounting principles generally accepted in the United States. The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in the consolidation. | |
Certain reclassifications of prior year's balances have been made to conform to current year presentation, including separately presenting balances for "Warranty obligations" in current liabilities on the condensed consolidated balance sheet and under changes in operating assets and liabilities on the condensed consolidated statements of cash flow. | |
Unaudited Interim Financial Information | |
These accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. In the opinion of management, these unaudited condensed consolidated interim financial statements reflect all adjustments, consisting of normal recurring items, considered necessary to present fairly the Company's financial condition, results of operations, comprehensive loss and cash flows for the periods indicated. The results of operations for the three months ended March 31, 2014 are not necessarily indicative of the operating results for the full year. Certain information and footnote disclosures typically included in annual consolidated financial statements have been condensed or omitted. Accordingly, these unaudited interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in the Company's Annual Report on Form 10-K for the year ended December 31, 2013. | |
Except for the the election to account for all eligible warranty obligations associated with microinverters sold since January 1, 2014 at fair value, there have been no material changes in the Company's significant accounting policies during the three months ended March 31, 2014 as compared to the significant accounting policies described in the Company's Annual Report on Form 10-K for the year ended December 31, 2013. Reference is made to the disclosures therein for a summary of all of the Company’s significant accounting policies. | |
Use of Estimates | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions about future events, and apply judgments that affect the reported amounts of assets, liabilities, revenue, expenses and the related disclosures. Significant estimates and assumptions reflected in the financial statements include revenue recognition, inventory valuation and accrued warranty obligations. Actual results could differ from those estimates. | |
Fair Value Option for Microinverters Sold Since January 1, 2014 | |
The Company’s warranty obligations related to microinverters sold since January 1, 2014 provide the Company the right, but not the requirement, to assign its warranty obligations to a third-party. Under Accounting Standards Codification ("ASC") 825—Financial Instruments, ("fair value option"), an entity may choose to elect the fair value option for such warranties at the time it first recognizes the eligible item. The Company made an irrevocable election to account for all eligible warranty obligations associated with microinverters sold since January 1, 2014 at fair value. This election was made to reflect the underlying economics of the time value of money for an obligation that will be settled over an extended period of up to 25 years. See Note 4—Fair Value Measurements. | |
The Company estimates the fair value of warranty obligations by calculating the warranty obligations in the same manner as for sales prior to January 1, 2014 and applying an expected present value technique to that result. The expected present value technique, an income approach, converts future amounts into a single current discounted amount. In addition to the key estimates of failure rates, claim rates and replacement costs, the Company used certain Level 3 inputs which are unobservable and significant to the overall fair value measurement. Such additional assumptions included a discount rate based on the Company's credit-adjusted risk-free rate and compensation comprised of a profit element and risk premium required of a market participant to assume the obligation. Warranty obligations initially recorded at fair value at the time of sale will be subsequently re-measured to fair value at each reporting date. In addition, the fair value of the liability will be accreted over the corresponding term of the warranty of up to 25 years using the interest method. Any changes in fair value of the liability from period-to-period, including accretion expense, will be recognized in cost of revenues. As of March 31, 2014, warranty obligations associated with sales prior to December 31, 2013 were $30.1 million and warranty obligations associated with sales subsequent to December 31, 2013 were $629,000, of which $587,000 were eligible for fair value accounting. The portion of warranty obligations arising from sales subsequent to December 31, 2013 that were not eligible for fair value accounting relates to sales of non-microinverter products. Periodic adjustments necessitated by actual experience of claims and any future changes in estimates to amounts not eligible for fair value accounting will continue to be accounted for on an undiscounted basis. |
Inventory
Inventory | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
INVENTORY | ' | |||||||
INVENTORY | ||||||||
Inventory as of March 31, 2014 and December 31, 2013 consists of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Raw materials | $ | 1,916 | $ | 1,428 | ||||
Finished goods | 12,197 | 15,152 | ||||||
Total inventory | $ | 14,113 | $ | 16,580 | ||||
Warranty_Obligations
Warranty Obligations | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Product Warranties Disclosures [Abstract] | ' | |||||||
WARRANTY OBLIGATIONS | ' | |||||||
WARRANTY OBLIGATIONS | ||||||||
The Company’s warranty activities during the three months ended March 31, 2014 and 2013 were as follows (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Warranty obligations, beginning of period | $ | 30,432 | $ | 21,338 | ||||
Accruals for warranties issued during period | 613 | 1,474 | ||||||
Changes in estimates | 1,400 | 2,051 | ||||||
Settlements | (1,733 | ) | (968 | ) | ||||
Increase due to accretion expense | 20 | — | ||||||
Other | (4 | ) | — | |||||
Warranty obligations, end of period | $ | 30,728 | $ | 23,895 | ||||
Less current portion | $ | (5,894 | ) | $ | (6,801 | ) | ||
Noncurrent | $ | 24,834 | $ | 17,094 | ||||
As of March 31, 2014, the $30.7 million in warranty obligations included $587,000 measured at fair value (see Note 4—Fair Value Measurements). The portion of warranty obligations arising from sales subsequent to December 31, 2013 that were not eligible for fair value accounting relates to sales of non-microinverter products. | ||||||||
Included within warranty expense in the three months ended March 31, 2014 and 2013 were net changes in estimates of $1.4 million and $2.1 million, respectively, to reflect higher than originally estimated replacement unit costs related to the Company's second generation microinverter. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Fair Value Disclosures [Abstract] | ' | |||||||
FAIR VALUE OF FINANCIAL INSTRUMENTS | ' | |||||||
FAIR VALUE MEASUREMENTS | ||||||||
The accounting guidance defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities recorded at fair value, the Company considers the principal or most advantageous market in which it would transact and considers assumptions that market participants would use when pricing the asset or liability, such as inherent risk, transfer restrictions, and risk of nonperformance. | ||||||||
The fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. An asset’s or liability’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Three levels of inputs may be used to measure fair value: | ||||||||
• | Level 1—Valuations based on quoted prices in active markets for identical assets or liabilities that the Company is able to access. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of such assets or liabilities do not entail a significant degree of judgment. | |||||||
• | Level 2—Valuations based on one or more quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly. | |||||||
• | Level 3—Valuations based on inputs that are unobservable and significant to the overall fair value measurement. | |||||||
Derivative Instruments | ||||||||
The Company utilizes foreign currency forward contracts from time to time to reduce the impact of foreign currency fluctuations arising from both sales and purchases denominated in Euros and the British Pound Sterling. | ||||||||
The Company did not have any foreign currency forward contracts outstanding at March 31, 2014. The following table presents the Company’s financial instruments that were measured at fair value on a recurring basis by level within the fair value hierarchy at December 31, 2013 (in thousands): | ||||||||
As of December 31, 2013 | ||||||||
Asset Derivatives | Liability Derivatives | |||||||
Foreign currency forward contracts (Level 2) | $ | 325 | $ | 605 | ||||
For the three months ended March 31, 2014 and 2013, the Company recorded net gains of $50,000 and $86,000, respectively, related to foreign currency forward contracts in other income (expense), net. | ||||||||
Fair Value Option for Warranty Obligations Related to Microinverters Sold Since January 1, 2014 | ||||||||
The Company estimates the fair value of warranty obligations by calculating the warranty obligations in the same manner as for sales prior to January 1, 2014 and applying an expected present value technique to that result. The expected present value technique, an income approach, converts future amounts into a single current discounted amount. In addition to the key estimates of failure rates, claim rates and replacement costs, the Company used certain Level 3 inputs which are unobservable and significant to the overall fair value measurement. Such additional assumptions included a discount rate based on the Company's credit-adjusted risk-free rate and compensation comprised of a profit element and risk premium required of a market participant to assume the obligation. | ||||||||
The following table presents the Company's warranty obligations measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended March 31, 2014 (in thousands): | ||||||||
Warranty Obligations Measured at Fair Value | ||||||||
Balance—December 31, 2013 | $ | — | ||||||
Accruals for warranties issued during period | 571 | |||||||
Settlements | — | |||||||
Increase due to accretion expense | 20 | |||||||
Other | (4 | ) | ||||||
Balance—March 31, 2014 | $ | 587 | ||||||
Quantitative and Qualitative Information about Level 3 Fair Value Measurements | ||||||||
The significant unobservable inputs used in the fair value measurement of the Company's warranty obligations designated as Level 3 are as follows: | ||||||||
Item Measured at Fair Value | Valuation Technique | Description of Significant Unobservable Input | Percent Used | |||||
Warranty obligations for microinverters sold since January 1, 2014 | Discounted cash flows | Profit element and risk premium | 16% | |||||
Credit-adjusted risk-free rate (discount rate) | 14% | |||||||
An increase (decrease) in the profit element and risk premium input in isolation would result in a higher (lower) fair value measurement of the liability. A significant increase (decrease) in the discount rate in isolation would result in a substantially lower (higher) fair value measurement of the liability. |
Term_Loans
Term Loans | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Long-term Debt, by Current and Noncurrent [Abstract] | ' | |||||||
TERM LOANS | ' | |||||||
TERM LOANS | ||||||||
The Company’s long-term debt at March 31, 2014 and December 31, 2013 consists of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Term loans | $ | 7,181 | $ | 7,400 | ||||
Equipment financing facility, net of unamortized discount of $16 and $31, respectively | 646 | 1,277 | ||||||
Total term loans | 7,827 | 8,677 | ||||||
Less current portion | (3,370 | ) | (3,507 | ) | ||||
Term loans, noncurrent | $ | 4,457 | $ | 5,170 | ||||
As of March 31, 2014, the Company was a party to three debt agreements: (i) a $50.0 million revolving credit facility (the "Revolver") with Wells Fargo Bank, N.A., (ii) a facility with Hercules Technology Growth Capital, Inc. (“Hercules Facility”) consisting of an initial draw in the amount of $7.4 million under the facility and a commitment to provide an incremental line of credit of up to $15.6 million through March 31, 2014, and (iii) a $5.0 million equipment financing facility, also with Hercules. Each of these debt agreements is described in greater detail in the consolidated financial statements and related notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2013. | ||||||||
On February 14, 2014, the Company entered into an amendment to the Revolver which extended the maturity date from November 7, 2015 to November 7, 2016. In addition, the amendment lowered the minimum liquidity covenant in undrawn availability from $8.0 million to $5.0 million in cash while maintaining at least $15.0 million of liquidity (defined as the sum of cash and the borrowing base) at all times. To date, the Company has not drawn on the Revolver. | ||||||||
On March 31, 2014, the undrawn $15.6 million incremental line of credit under the Hercules Facility expired in accordance with its terms as the Company elected not to renew this incremental line of credit. As of March 31, 2014, the outstanding principal balance under the Hercules Facility was $7.2 million. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
COMMITMENTS AND CONTINGENCIES | ' |
COMMITMENTS AND CONTINGENCIES | |
Contingencies —The Company is not currently involved in any material legal proceedings. The Company may become involved in various legal proceedings and claims that arise in the ordinary course of business. Such matters are subject to uncertainty and there can be no assurance that such legal proceedings will not have a material adverse effect on its business, results of operations, financial position or cash flows. |
StockBased_Compensation
Stock-Based Compensation | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||
STOCK-BASED COMPENSATION | ' | |||||||
STOCK-BASED COMPENSATION | ||||||||
The Company has adopted certain equity incentive and stock purchase plans as described in the consolidated financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. | ||||||||
Equity Awards Activity | ||||||||
Stock Options | ||||||||
The following is a summary of stock option activity for the three months ended March 31, 2014 (in thousands, except per share data): | ||||||||
Number of | Weighted- | |||||||
Shares | Average | |||||||
Outstanding | Exercise Price | |||||||
per Share | ||||||||
Outstanding at December 31, 2013 | 8,509 | $ | 3.94 | |||||
Granted | 228 | 7.82 | ||||||
Exercised | (202 | ) | 2.25 | |||||
Canceled | (83 | ) | 7.53 | |||||
Outstanding at March 31, 2014 | 8,452 | 4.05 | ||||||
The intrinsic value of options exercised in the three months ended March 31, 2014 was $1.1 million. As of March 31, 2014, the intrinsic value of options outstanding was $30.4 million based on the closing price of the Company's stock as of March 31, 2014. | ||||||||
Restricted Stock Units | ||||||||
The following is a summary of restricted stock unit activity for the three months ended March 31, 2014 (in thousands, except per share data): | ||||||||
Restricted Stock Units | Weighted Average | |||||||
Fair Value per Share at | ||||||||
Grant Date | ||||||||
Outstanding at December 31, 2013 | 418 | $ | 6.31 | |||||
Granted | 1,160 | 8.44 | ||||||
Vested | (29 | ) | 6 | |||||
Canceled | (1 | ) | 6.6 | |||||
Outstanding at March 31, 2014 | 1,548 | 7.91 | ||||||
The total fair value of restricted stock units that vested in the three months ended March 31, 2014 was $0.2 million. As of March 31, 2014, the intrinsic value of restricted stock units outstanding was $11.4 million based on the closing price of the Company's stock as of March 31, 2014. | ||||||||
Stock-Based Compensation Expense | ||||||||
Compensation cost for all stock-based awards expected to vest is measured at fair value on the date of grant and recognized ratably over the requisite service period. The following table summarizes the components of total stock-based compensation expense included in the condensed consolidated statements of operations for the periods presented (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Cost of revenues | $ | 149 | $ | 108 | ||||
Research and development | 613 | 478 | ||||||
Sales and marketing | 532 | 378 | ||||||
General and administrative | 719 | 471 | ||||||
Total | $ | 2,013 | $ | 1,435 | ||||
The following table summarizes stock-based compensation associated with each type of award for the periods presented (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Stock options and restricted stock units | $ | 1,839 | $ | 1,285 | ||||
Employee stock purchase plan | 174 | 150 | ||||||
Total | $ | 2,013 | $ | 1,435 | ||||
Valuation Assumptions | ||||||||
The fair value of option awards is estimated on the date of the grant using the Black-Scholes option pricing model with the following input assumptions: | ||||||||
• | Expected term—The expected term of the option awards represents the period of time between the grant date of the option awards and the date the option awards are either exercised, converted or canceled, including an estimate for those option awards still outstanding. | |||||||
• | Expected volatility—The Company uses the simplified method, as permitted by the SEC for companies with a limited history of stock option exercise activity, to determine the expected term for its option grants. Expected stock price volatility is determined based on an average of the historical volatilities of the common stock of several companies with characteristics similar to those of the Company. | |||||||
• | Risk-free interest rate—The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant and with a maturity that approximates our expected term. | |||||||
• | Dividend yield—The dividend yield is based on our dividend history and the anticipated dividend payout over our expected term. | |||||||
The following table presents the weighted-average assumptions used to estimate the fair values of the stock options granted in the periods presented | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Expected term (in years) | 4.6 | 4.7 | ||||||
Expected volatility | 62.2 | % | 73 | % | ||||
Annual risk-free rate of return | 1.4 | % | 0.8 | % | ||||
Dividend yield | 0 | % | 0 | % | ||||
Weighted average grant date fair value | $ | 3.99 | $ | 2.85 | ||||
The fair value of restricted stock units granted is determined based on the price of the Company's common stock on the date of grant. | ||||||||
As of March 31, 2014, there was approximately $20.8 million of total unrecognized compensation cost related to unvested equity awards expected to be recognized over a weighted-average period of 3.0 years. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2014 | |
Income Tax Disclosure [Abstract] | ' |
INCOME TAXES | ' |
INCOME TAXES | |
No provision for U.S. federal or state income taxes has been made due to cumulative losses since the commencement of operations. The Company had a provision for income taxes of $109,000 and $182,000 for the three months ended March 31, 2014 and 2013, respectively. The provision relates to the Company's subsidiaries located outside of the United States. |
Net_Loss_Per_Share
Net Loss Per Share | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Earnings Per Share [Abstract] | ' | |||||||
NET LOSS PER SHARE | ' | |||||||
NET LOSS PER SHARE | ||||||||
The following table presents the computation of basic and diluted net loss per share (in thousands, except per share data): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Numerator: | ||||||||
Net loss | $ | (6,236 | ) | $ | (10,406 | ) | ||
Denominator: | ||||||||
Weighted average number of common shares outstanding | 42,205 | 41,149 | ||||||
Net loss per share, basic and diluted | $ | (0.15 | ) | $ | (0.25 | ) | ||
As the Company incurred a net loss for all periods presented, potential dilutive securities from employee stock options, restricted stock units and warrants have been excluded from the diluted net loss per share computations because the effect of including such shares would have been anti-dilutive. The following table sets forth the potentially dilutive securities excluded from the computation of the diluted net loss per share (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Employee stock options | 8,489 | 7,908 | ||||||
Restricted stock units | 732 | 247 | ||||||
Warrants to purchase common stock | 293 | 331 | ||||||
Total | 9,514 | 8,486 | ||||||
Overview_and_Summary_of_Signif1
Overview and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of Presentation, Consolidation and Related Party Transactions | ' |
Basis of Presentation and Consolidation | |
The accompanying condensed consolidated financial statements are presented in accordance with accounting principles generally accepted in the United States. The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in the consolidation. | |
Unaudited Interim Financial Information | |
These accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. In the opinion of management, these unaudited condensed consolidated interim financial statements reflect all adjustments, consisting of normal recurring items, considered necessary to present fairly the Company's financial condition, results of operations, comprehensive loss and cash flows for the periods indicated. The results of operations for the three months ended March 31, 2014 are not necessarily indicative of the operating results for the full year. Certain information and footnote disclosures typically included in annual consolidated financial statements have been condensed or omitted. Accordingly, these unaudited interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in the Company's Annual Report on Form 10-K for the year ended December 31, 2013. | |
Reclassifications | ' |
Certain reclassifications of prior year's balances have been made to conform to current year presentation, including separately presenting balances for "Warranty obligations" in current liabilities on the condensed consolidated balance sheet and under changes in operating assets and liabilities on the condensed consolidated statements of cash flow. | |
Unaudited Interim Financial Information | ' |
Unaudited Interim Financial Information | |
These accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial reporting. In the opinion of management, these unaudited condensed consolidated interim financial statements reflect all adjustments, consisting of normal recurring items, considered necessary to present fairly the Company's financial condition, results of operations, comprehensive loss and cash flows for the periods indicated. The results of operations for the three months ended March 31, 2014 are not necessarily indicative of the operating results for the full year. Certain information and footnote disclosures typically included in annual consolidated financial statements have been condensed or omitted. Accordingly, these unaudited interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in the Company's Annual Report on Form 10-K for the year ended December 31, 2013. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions about future events, and apply judgments that affect the reported amounts of assets, liabilities, revenue, expenses and the related disclosures. Significant estimates and assumptions reflected in the financial statements include revenue recognition, inventory valuation and accrued warranty obligations. Actual results could differ from those estimates. | |
Fair Value Option for Microinverters Sold Since January 1, 2014 | ' |
Fair Value Option for Microinverters Sold Since January 1, 2014 | |
The Company’s warranty obligations related to microinverters sold since January 1, 2014 provide the Company the right, but not the requirement, to assign its warranty obligations to a third-party. Under Accounting Standards Codification ("ASC") 825—Financial Instruments, ("fair value option"), an entity may choose to elect the fair value option for such warranties at the time it first recognizes the eligible item. The Company made an irrevocable election to account for all eligible warranty obligations associated with microinverters sold since January 1, 2014 at fair value. This election was made to reflect the underlying economics of the time value of money for an obligation that will be settled over an extended period of up to 25 years. See Note 4—Fair Value Measurements. | |
The Company estimates the fair value of warranty obligations by calculating the warranty obligations in the same manner as for sales prior to January 1, 2014 and applying an expected present value technique to that result. The expected present value technique, an income approach, converts future amounts into a single current discounted amount. In addition to the key estimates of failure rates, claim rates and replacement costs, the Company used certain Level 3 inputs which are unobservable and significant to the overall fair value measurement. Such additional assumptions included a discount rate based on the Company's credit-adjusted risk-free rate and compensation comprised of a profit element and risk premium required of a market participant to assume the obligation. Warranty obligations initially recorded at fair value at the time of sale will be subsequently re-measured to fair value at each reporting date. In addition, the fair value of the liability will be accreted over the corresponding term of the warranty of up to 25 years using the interest method. Any changes in fair value of the liability from period-to-period, including accretion expense, will be recognized in cost of revenues. As of March 31, 2014, warranty obligations associated with sales prior to December 31, 2013 were $30.1 million and warranty obligations associated with sales subsequent to December 31, 2013 were $629,000, of which $587,000 were eligible for fair value accounting. The portion of warranty obligations arising from sales subsequent to December 31, 2013 that were not eligible for fair value accounting relates to sales of non-microinverter products. Periodic adjustments necessitated by actual experience of claims and any future changes in estimates to amounts not eligible for fair value accounting will continue to be accounted for on an undiscounted basis. |
Inventory_Tables
Inventory (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Schedule of inventory | ' | |||||||
Inventory as of March 31, 2014 and December 31, 2013 consists of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Raw materials | $ | 1,916 | $ | 1,428 | ||||
Finished goods | 12,197 | 15,152 | ||||||
Total inventory | $ | 14,113 | $ | 16,580 | ||||
Warranty_Obligations_Tables
Warranty Obligations (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Product Warranties Disclosures [Abstract] | ' | |||||||
Changes in the Company's product warranty liability | ' | |||||||
The Company’s warranty activities during the three months ended March 31, 2014 and 2013 were as follows (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Warranty obligations, beginning of period | $ | 30,432 | $ | 21,338 | ||||
Accruals for warranties issued during period | 613 | 1,474 | ||||||
Changes in estimates | 1,400 | 2,051 | ||||||
Settlements | (1,733 | ) | (968 | ) | ||||
Increase due to accretion expense | 20 | — | ||||||
Other | (4 | ) | — | |||||
Warranty obligations, end of period | $ | 30,728 | $ | 23,895 | ||||
Less current portion | $ | (5,894 | ) | $ | (6,801 | ) | ||
Noncurrent | $ | 24,834 | $ | 17,094 | ||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Fair Value Disclosures [Abstract] | ' | |||||||
Schedule of financial instruments that are measured at fair value on a recurring basis | ' | |||||||
The following table presents the Company’s financial instruments that were measured at fair value on a recurring basis by level within the fair value hierarchy at December 31, 2013 (in thousands): | ||||||||
As of December 31, 2013 | ||||||||
Asset Derivatives | Liability Derivatives | |||||||
Foreign currency forward contracts (Level 2) | $ | 325 | $ | 605 | ||||
Schedule of warranty obligations measured at fair value on a recurring basis | ' | |||||||
The following table presents the Company's warranty obligations measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended March 31, 2014 (in thousands): | ||||||||
Warranty Obligations Measured at Fair Value | ||||||||
Balance—December 31, 2013 | $ | — | ||||||
Accruals for warranties issued during period | 571 | |||||||
Settlements | — | |||||||
Increase due to accretion expense | 20 | |||||||
Other | (4 | ) | ||||||
Balance—March 31, 2014 | $ | 587 | ||||||
Schedule of significant unobservable inputs used in the fair value measurement of the Company's warranty obligations designated as Level 3 | ' | |||||||
The significant unobservable inputs used in the fair value measurement of the Company's warranty obligations designated as Level 3 are as follows: | ||||||||
Item Measured at Fair Value | Valuation Technique | Description of Significant Unobservable Input | Percent Used | |||||
Warranty obligations for microinverters sold since January 1, 2014 | Discounted cash flows | Profit element and risk premium | 16% | |||||
Credit-adjusted risk-free rate (discount rate) | 14% |
Term_Loans_Tables
Term Loans (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Long-term Debt, by Current and Noncurrent [Abstract] | ' | |||||||
Schedule of long-term debt | ' | |||||||
The Company’s long-term debt at March 31, 2014 and December 31, 2013 consists of the following (in thousands): | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Term loans | $ | 7,181 | $ | 7,400 | ||||
Equipment financing facility, net of unamortized discount of $16 and $31, respectively | 646 | 1,277 | ||||||
Total term loans | 7,827 | 8,677 | ||||||
Less current portion | (3,370 | ) | (3,507 | ) | ||||
Term loans, noncurrent | $ | 4,457 | $ | 5,170 | ||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||
Schedule of summary of stock option activity | ' | |||||||
The following is a summary of stock option activity for the three months ended March 31, 2014 (in thousands, except per share data): | ||||||||
Number of | Weighted- | |||||||
Shares | Average | |||||||
Outstanding | Exercise Price | |||||||
per Share | ||||||||
Outstanding at December 31, 2013 | 8,509 | $ | 3.94 | |||||
Granted | 228 | 7.82 | ||||||
Exercised | (202 | ) | 2.25 | |||||
Canceled | (83 | ) | 7.53 | |||||
Outstanding at March 31, 2014 | 8,452 | 4.05 | ||||||
Schedule of restricted stock unit activity | ' | |||||||
The following is a summary of restricted stock unit activity for the three months ended March 31, 2014 (in thousands, except per share data): | ||||||||
Restricted Stock Units | Weighted Average | |||||||
Fair Value per Share at | ||||||||
Grant Date | ||||||||
Outstanding at December 31, 2013 | 418 | $ | 6.31 | |||||
Granted | 1,160 | 8.44 | ||||||
Vested | (29 | ) | 6 | |||||
Canceled | (1 | ) | 6.6 | |||||
Outstanding at March 31, 2014 | 1,548 | 7.91 | ||||||
Schedule of components of stock-based compensation expense in the consolidated statement of operations, by report line | ' | |||||||
The following table summarizes the components of total stock-based compensation expense included in the condensed consolidated statements of operations for the periods presented (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Cost of revenues | $ | 149 | $ | 108 | ||||
Research and development | 613 | 478 | ||||||
Sales and marketing | 532 | 378 | ||||||
General and administrative | 719 | 471 | ||||||
Total | $ | 2,013 | $ | 1,435 | ||||
Schedule of stock-based compensation expense by award type | ' | |||||||
The following table summarizes stock-based compensation associated with each type of award for the periods presented (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Stock options and restricted stock units | $ | 1,839 | $ | 1,285 | ||||
Employee stock purchase plan | 174 | 150 | ||||||
Total | $ | 2,013 | $ | 1,435 | ||||
Schedule of valuation assumptions of stock options | ' | |||||||
The following table presents the weighted-average assumptions used to estimate the fair values of the stock options granted in the periods presented | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Expected term (in years) | 4.6 | 4.7 | ||||||
Expected volatility | 62.2 | % | 73 | % | ||||
Annual risk-free rate of return | 1.4 | % | 0.8 | % | ||||
Dividend yield | 0 | % | 0 | % | ||||
Weighted average grant date fair value | $ | 3.99 | $ | 2.85 | ||||
Net_Loss_Per_Share_Tables
Net Loss Per Share (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Earnings Per Share [Abstract] | ' | |||||||
Schedule of computation of basic and diluted net loss per share | ' | |||||||
The following table presents the computation of basic and diluted net loss per share (in thousands, except per share data): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Numerator: | ||||||||
Net loss | $ | (6,236 | ) | $ | (10,406 | ) | ||
Denominator: | ||||||||
Weighted average number of common shares outstanding | 42,205 | 41,149 | ||||||
Net loss per share, basic and diluted | $ | (0.15 | ) | $ | (0.25 | ) | ||
Schedule of potential common shares outstanding that were excluded from the computation of diluted net loss per share attributable to common stockholders | ' | |||||||
The following table sets forth the potentially dilutive securities excluded from the computation of the diluted net loss per share (in thousands): | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2014 | 2013 | |||||||
Employee stock options | 8,489 | 7,908 | ||||||
Restricted stock units | 732 | 247 | ||||||
Warrants to purchase common stock | 293 | 331 | ||||||
Total | 9,514 | 8,486 | ||||||
Overview_and_Summary_of_Accoun
Overview and Summary of Accounting Policies (Details Textual) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 |
Prior to December 31, 2013 | Subsequent to December 31, 2013 | Subsequent to December 31, 2013 | Maximum | |||||
Warranty obligations, fair value option | ||||||||
Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Product warranty term | ' | ' | ' | ' | ' | ' | ' | '25 years |
Warranty obligation | $30,728,000 | $30,432,000 | $23,895,000 | $21,338,000 | $30,100,000 | $629,000 | $587,000 | ' |
Inventory_Details
Inventory (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of inventory | ' | ' |
Raw materials | $1,916 | $1,428 |
Finished goods | 12,197 | 15,152 |
Total inventory | $14,113 | $16,580 |
Warranty_Obligations_Details
Warranty Obligations (Details) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 |
Changes in the Company's product warranty liability | ' | ' | ' |
Warranty obligations, beginning of period | $30,432 | $21,338 | ' |
Accruals for warranties issued during period | 613 | 1,474 | ' |
Changes in estimates | 1,400 | 2,051 | ' |
Settlements | -1,733 | -968 | ' |
Increase due to accretion expense | 20 | 0 | ' |
Other | -4 | 0 | ' |
Warranty obligations, end of period | 30,728 | 23,895 | ' |
Less current portion | -5,894 | -6,801 | -4,942 |
Noncurrent | $24,834 | $17,094 | $25,490 |
Warranty_Obligations_Details_T
Warranty Obligations (Details Textual) (USD $) | 3 Months Ended | |||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |
Product Liability [Line Items] | ' | ' | ' | ' |
Warranty obligation | $30,728,000 | $23,895,000 | $30,432,000 | $21,338,000 |
Changes in warranty estimates | 1,400,000 | 2,051,000 | ' | ' |
Subsequent to December 31, 2013 | ' | ' | ' | ' |
Product Liability [Line Items] | ' | ' | ' | ' |
Warranty obligation | 629,000 | ' | ' | ' |
Warranty obligations, fair value option | Subsequent to December 31, 2013 | ' | ' | ' | ' |
Product Liability [Line Items] | ' | ' | ' | ' |
Warranty obligation | $587,000 | ' | ' | ' |
Fair_Value_Measurements_Financ
Fair Value Measurements Financial Instruments Measured at Fair Value (Details) (Fair value, measurements, recurring, Level 2, USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Fair value, measurements, recurring | Level 2 | ' |
Asset Derivatives | ' |
Foreign currency forward contracts | $325 |
Liability Derivatives | ' |
Foreign currency forward contracts | $605 |
Fair_Value_Measurements_Warran
Fair Value Measurements Warranty Obligations Measured at Fair Value (Details) (Warranty obligations, fair value option, USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 |
Warranty obligations, fair value option | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' |
Balance—December 31, 2013 | $0 |
Accruals for warranties issued during period | 571 |
Settlements | 0 |
Increase due to accretion expense | 20 |
Other | -4 |
Balance—March 31, 2014 | $587 |
Fair_Value_Measurements_Unobse
Fair Value Measurements Unobservable Inputs Used in the Fair Value Measurement of Warranty Obligations (Details) (Warranty obligations for microinverters sold since January 1, 2014, Discounted cash flows, Level 3) | 3 Months Ended |
Mar. 31, 2014 | |
Warranty obligations for microinverters sold since January 1, 2014 | Discounted cash flows | Level 3 | ' |
Fair Value Inputs [Abstract] | ' |
Profit element and risk premium | 16.00% |
Credit-adjusted risk-free rate (discount rate) | 14.00% |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details Textual) (Not designated as hedging instrument, Foreign exchange forward, USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Not designated as hedging instrument | Foreign exchange forward | ' | ' |
Derivative [Line Items] | ' | ' |
Net gain on foreign currency | $50,000 | $86,000 |
Term_Loans_Details
Term Loans (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of long-term debt | ' | ' |
Total term loans | $7,827 | $8,677 |
Less current portion | -3,370 | -3,507 |
Term loans, noncurrent | 4,457 | 5,170 |
Term loans | ' | ' |
Schedule of long-term debt | ' | ' |
Total term loans | 7,181 | 7,400 |
Equipment financing facility, net of unamortized discount of $16 and $31, respectively | ' | ' |
Schedule of long-term debt | ' | ' |
Total term loans | 646 | 1,277 |
Unamortized discount | $16 | $31 |
Term_Loans_Details_Textual
Term Loans (Details Textual) (USD $) | Mar. 31, 2014 | Mar. 31, 2014 | Feb. 14, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 |
debt_agreement | Wells Fargo Bank | Wells Fargo Bank | Wells Fargo Bank | Hercules Technology Growth Capital Inc | Hercules Technology Growth Capital Inc | |
Revolving credit facility | Revolving credit facility | Revolving credit facility | Secured debt | Equipment financing facility | ||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' |
Number of debt agreements | 3 | ' | ' | ' | ' | ' |
Credit line facility | ' | $50,000,000 | ' | ' | ' | $5,000,000 |
Initial draw under credit line arrangement | ' | ' | ' | ' | 7,400,000 | ' |
Incremental line of credit amount | ' | ' | ' | ' | 15,600,000 | ' |
Amount of undrawn credit for debt compliance | ' | ' | 5,000,000 | 8,000,000 | ' | ' |
Amount of liquidity required for debt compliance | ' | ' | 15,000,000 | ' | ' | ' |
Undrawn incremental line of credit expired during period | ' | ' | ' | ' | 15,600,000 | ' |
Outstanding principal balance | ' | ' | ' | ' | $7,200,000 | ' |
StockBased_Compensation_Stock_
Stock-Based Compensation Stock Option Activity (Details) (USD $) | 3 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 |
Number of Shares Outstanding | ' |
Outstanding at December 31, 2013 (in shares) | 8,509 |
Granted (in shares) | 228 |
Exercised (in shares) | -202 |
Canceled (in shares) | -83 |
Outstanding at March 31, 2014 (in shares) | 8,452 |
Weighted- Average Exercise Price per Share | ' |
Outstanding at December 31, 2013 (in usd per share) | $3.94 |
Granted (in usd per share) | $7.82 |
Exercised (in usd per share) | $2.25 |
Canceled (in usd per share) | $7.53 |
Outstanding at March 31, 2014 (in usd per share) | $4.05 |
StockBased_Compensation_Restri
Stock-Based Compensation Restricted Stock Unit Activity (Details) (Restricted stock units, USD $) | 3 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 |
Restricted stock units | ' |
Restricted Stock Units | ' |
Outstanding at December 31, 2013 (in shares) | 418 |
Granted (in shares) | 1,160 |
Vested (in shares) | -29 |
Canceled (in shares) | -1 |
Outstanding at March 31, 2014 (in shares) | 1,548 |
Weighted Average Fair Value per Share at Grant Date | ' |
Outstanding at December 31, 2013 (in usd per share) | $6.31 |
Granted (in usd per share) | $8.44 |
Vested (in usd per share) | $6 |
Canceled (in usd per share) | $6.60 |
Outstanding at March 31, 2014 (in usd per share) | $7.91 |
StockBased_Compensation_Compon
Stock-Based Compensation Components of Stock-based Compensation Expense by Report Line (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Allocation of Stock-based Compensation Expense Included in the Consolidated Statement of Operations [Abstract] | ' | ' |
Total stock-based compensation expense | $2,013 | $1,435 |
Cost of revenues | ' | ' |
Allocation of Stock-based Compensation Expense Included in the Consolidated Statement of Operations [Abstract] | ' | ' |
Total stock-based compensation expense | 149 | 108 |
Research and development | ' | ' |
Allocation of Stock-based Compensation Expense Included in the Consolidated Statement of Operations [Abstract] | ' | ' |
Total stock-based compensation expense | 613 | 478 |
Sales and marketing | ' | ' |
Allocation of Stock-based Compensation Expense Included in the Consolidated Statement of Operations [Abstract] | ' | ' |
Total stock-based compensation expense | 532 | 378 |
General and administrative | ' | ' |
Allocation of Stock-based Compensation Expense Included in the Consolidated Statement of Operations [Abstract] | ' | ' |
Total stock-based compensation expense | $719 | $471 |
StockBased_Compensation_Expens
Stock-Based Compensation Expense by Award Type (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Total stock-based compensation expense | $2,013 | $1,435 |
Stock options and restricted stock units | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Total stock-based compensation expense | 1,839 | 1,285 |
Employee stock purchase plan | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Total stock-based compensation expense | $174 | $150 |
StockBased_Compensation_Valuat
Stock-Based Compensation Valuation Assumptions of Stock Options Under Black-Scholes Model (Details) (Stock options, USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Stock options | ' | ' |
The fair value of each option granted during the periods | ' | ' |
Expected term | '4 years 7 months 6 days | '4 years 8 months 12 days |
Expected volatility | 62.20% | 73.00% |
Annual risk-free rate of return | 1.40% | 0.80% |
Dividend yield | 0.00% | 0.00% |
Weighted average grant date fair value (usd per share) | $3.99 | $2.85 |
StockBased_Compensation_Detail
Stock-Based Compensation (Details Textual) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Fair value of options exercised during period | $1.10 |
Intrinsic value of options outstanding | 30.4 |
Total unrecognized compensation cost | 20.8 |
Weighted-average recognition period for unrecognized compensation cost | '3 years 0 months 0 days |
Restricted stock | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Fair value of stock vested during period | 0.2 |
Intrinsic value of restricted stock units outstanding | $11.40 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Income Tax Disclosure [Abstract] | ' | ' |
Provision for U.S. federal or state income taxes | $0 | ' |
Provision for income taxes related to subsidiaries located outside the U.S. | $109,000 | $182,000 |
Net_Loss_Per_Share_Computation
Net Loss Per Share Computation of Basic and Diluted Net Loss Per Share (Details) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Numerator: | ' | ' |
Net loss | ($6,236) | ($10,406) |
Denominator: | ' | ' |
Weighted average number of common shares outstanding | 42,205 | 41,149 |
Net loss per share, basic and diluted | ($0.15) | ($0.25) |
Net_Loss_Per_Share_Potentially
Net Loss Per Share Potentially Dilutive Securities Excluded from Computation of Diluted Net Loss Per Share (Details) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
The potential common shares outstanding that were excluded from the computation of diluted net loss per share attributable to common stockholders | ' | ' |
Total | 9,514 | 8,486 |
Employee stock options | ' | ' |
The potential common shares outstanding that were excluded from the computation of diluted net loss per share attributable to common stockholders | ' | ' |
Total | 8,489 | 7,908 |
Restricted stock units | ' | ' |
The potential common shares outstanding that were excluded from the computation of diluted net loss per share attributable to common stockholders | ' | ' |
Total | 732 | 247 |
Warrants to purchase common stock | ' | ' |
The potential common shares outstanding that were excluded from the computation of diluted net loss per share attributable to common stockholders | ' | ' |
Total | 293 | 331 |