Document_Entity_and_Informatio
Document, Entity and Information | 3 Months Ended |
Mar. 31, 2015 | |
Class of Stock [Line Items] | |
Entity Registrant Name | GoPro, Inc. |
Entity Central Index Key | 1500435 |
Current Fiscal Year End Date | -19 |
Entity Filer Category | Non-accelerated Filer |
Document Type | 10-Q |
Document Period End Date | 31-Mar-15 |
Document Fiscal Year Focus | 2015 |
Document Fiscal Period Focus | Q1 |
Amendment Flag | FALSE |
Common Class A [Member] | |
Class of Stock [Line Items] | |
Entity Common Stock, Shares Outstanding | 89,404,158 |
Common Class B [Member] | |
Class of Stock [Line Items] | |
Entity Common Stock, Shares Outstanding | 44,613,243 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $323,165 | $319,929 |
Marketable securities | 168,741 | 102,327 |
Accounts receivable, net | 105,970 | 183,992 |
Inventory | 164,044 | 153,026 |
Prepaid expenses and other current assets | 60,334 | 63,769 |
Total current assets | 822,254 | 823,043 |
Property and equipment, net | 43,890 | 41,556 |
Intangible assets and goodwill | 24,874 | 17,032 |
Other long-term assets | 39,616 | 36,060 |
Total assets | 930,634 | 917,691 |
Current liabilities: | ||
Accounts payable | 91,919 | 126,240 |
Accrued liabilities | 103,350 | 115,775 |
Deferred revenue | 12,327 | 14,022 |
Income taxes payable | 2,940 | 2,732 |
Total current liabilities | 210,536 | 258,769 |
Other long-term liabilities | 18,378 | 17,718 |
Total liabilities | 228,914 | 276,487 |
Commitments, contingencies and guarantees (see Note 9) | ||
Stockholders’ equity: | ||
Common stock and additional paid-in capital, $0.0001 par value, 500,000 Class A shares authorized, 89,404 and 52,091 shares issued and outstanding at March 31, 2015 and December 31, 2014, respectively; 150,000 Class B shares authorized, 44,613 and 77,023 shares issued and outstanding at March 31, 2015 and December 31, 2014, respectively | 576,764 | 533,000 |
Retained earnings | 124,956 | 108,204 |
Total stockholders’ equity | 701,720 | 641,204 |
Total liabilities and stockholders’ equity | $930,634 | $917,691 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common Class A [Member] | ||
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common Stock, shares, issued | 89,404,000 | 52,091,000 |
Common stock, shares, outstanding | 89,404,000 | 52,091,000 |
Common Class B [Member] | ||
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common Stock, shares, issued | 44,613,000 | 77,023,000 |
Common stock, shares, outstanding | 44,613,000 | 77,023,000 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income Statement [Abstract] | ||
Revenue | $363,109 | $235,716 |
Cost of revenue | 199,376 | 139,202 |
Gross profit | 163,733 | 96,514 |
Operating expenses: | ||
Research and development | 49,437 | 28,739 |
Sales and marketing | 56,369 | 41,341 |
General and administrative | 35,659 | 9,878 |
Total operating expenses | 141,465 | 79,958 |
Operating income | 22,268 | 16,556 |
Other expense, net | -2,244 | -1,625 |
Income before income taxes | 20,024 | 14,931 |
Income tax expense | 3,272 | 3,882 |
Net income | 16,752 | 11,049 |
Less: net income allocable to participating securities | 0 | 3,040 |
Net income attributable to common stockholders—basic | 16,752 | 8,009 |
Add: net income allocable to dilutive participating securities | 0 | 443 |
Net income attributable to common stockholders—diluted | $16,752 | $8,452 |
Net income per share attributable to common stockholders - Basic (in dollars per share) | $0.13 | $0.10 |
Net income per share attributable to common stockholders - Diluted (in dollars per share) | $0.11 | $0.08 |
Weighted-average shares used to compute net income per share attributable to common stockholders - Basic (in shares) | 132,278 | 81,582 |
Weighted-average shares used to compute net income per share attributable to common stockholders - Diluted (in shares) | 148,573 | 100,783 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Operating activities: | ||
Net income | $16,752 | $11,049 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 5,369 | 3,811 |
Stock-based compensation | 26,501 | 4,037 |
Foreign currency remeasurement and transaction losses | 2,190 | 0 |
Deferred taxes | -1,590 | -330 |
Other | 639 | 247 |
Changes in operating assets and liabilities: | ||
Accounts receivable, net | 77,684 | 75,359 |
Inventory | -11,017 | 21,807 |
Prepaids and other assets | 1,451 | 1,068 |
Accounts payable and other liabilities | -50,017 | -97,042 |
Deferred revenue | -1,695 | 908 |
Net cash provided by operating activities | 66,267 | 20,914 |
Investing activities: | ||
Purchases of property and equipment | -5,207 | -4,701 |
Purchases of marketable securities | -79,368 | 0 |
Sales and maturities of marketable securities | 12,503 | 0 |
Business acquisitions | -5,100 | -3,200 |
Net cash used in investing activities | -77,172 | -7,901 |
Financing activities: | ||
Proceeds from issuance of common stock, net of repurchases | 12,325 | 522 |
Taxes paid related to net share settlement of equity awards | -1,321 | 0 |
Excess tax benefit from stock-based compensation | 6,067 | 69 |
Payment of deferred public offering costs | -903 | -799 |
Repayment of debt | 0 | -3,000 |
Net cash provided by (used in) financing activities | 16,168 | -3,208 |
Effect of exchange rate changes on cash and cash equivalents | -2,027 | 0 |
Net increase in cash and cash equivalents | 3,236 | 9,805 |
Cash and cash equivalents at beginning of period | 319,929 | 101,410 |
Cash and cash equivalents at end of period | $323,165 | $111,215 |
Business_overview
Business overview | 3 Months Ended |
Mar. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business overview | Business overview |
GoPro, Inc. (GoPro or the Company) produces mountable and wearable cameras and accessories, which the Company refers to as capture devices. Additionally, GoPro develops and provides desktop editing software and mobile applications for free to consumers. The Company’s capture devices are sold globally through retailers, wholesale distributors and on the Company’s website. The Company has wholly-owned subsidiaries in Hong Kong, Germany, the Netherlands, and the Cayman Islands. The Company’s corporate headquarters are located in San Mateo, California with additional operational support offices in Hong Kong, the Netherlands, and Shenzhen, China. |
Basis_of_presentation_and_summ
Basis of presentation and summary of significant accounting policies | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of presentation and summary of significant accounting policies | Basis of presentation and summary of significant accounting policies |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) and in accordance with the interim period reporting requirements of Form 10-Q. The unaudited condensed consolidated financial statements reflect all adjustments (consisting only of normal recurring adjustments) that management believes are necessary for the fair presentation of the Company's financial condition, results of operations, and cash flows for the periods presented, but are not necessarily indicative of the results expected for the full fiscal year or any other future period. The condensed consolidated balance sheet at December 31, 2014 has been derived from the audited financial statements at that date, but does not include all of the disclosures required by GAAP. This quarterly report should be read in conjunction with the Company's Annual Report on Form 10-K (Annual Report) for the year ended December 31, 2014. There have been no significant changes in the Company’s accounting policies from those disclosed in the footnotes to the audited financial statements contained in its Annual Report on Form 10-K for the year ended December 31, 2014. | |
Principles of consolidation | |
These consolidated financial statements include all the accounts of the Company and its wholly-owned subsidiaries. Unless otherwise specified, references to the Company are references to GoPro, Inc. and its consolidated subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. | |
Use of estimates | |
The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the Company’s condensed consolidated financial statements and accompanying notes. The Company regularly evaluates estimates and assumptions in several areas, including those related to: the collectability of accounts receivable, stock-based compensation, inventory valuation, warranty liabilities, revenue recognition and related estimates (including sales returns, web-based sale deliveries at period-end, implied post contract support, and marketing allowances), the valuation and useful lives of intangible assets and property and equipment, the valuation of deferred income tax assets, and uncertain tax positions. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could differ materially from management's estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. | |
Comprehensive income | |
For all periods presented, comprehensive income equaled net income. Therefore, the condensed consolidated statements of comprehensive income have been omitted from the condensed consolidated financial statements. | |
Recent accounting pronouncements | |
In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2014-09 (ASU 2014-09), Revenue from Contracts with Customers, which amends the existing accounting standards for revenue recognition. ASU 2014-09 is based on principles that govern the recognition of revenue at an amount to which an entity expects to be entitled when products are transferred to customers. ASU 2014-09 becomes effective for the Company on January 1, 2017. Early application is not permitted. In April 2015, the FASB proposed a one-year deferral of the effective date of the new revenue standard. If approved, the new standard will become effective for the Company on January 1, 2018 and can be adopted either retrospectively to each prior reporting period presented or as a cumulative effect adjustment as of the date of adoption. The Company is currently evaluating the impact the adoption of ASU 2014-09 will have on the Company's consolidated financial statements. | |
Correction of error | |
During the preparation of the condensed consolidated financial statements for the period ended June 30, 2014, the Company determined that within the consolidated statement of cash flows previously disclosed for the quarter ended March 31, 2014, net cash provided by operating activities was understated by $3.2 million and net cash used for investing activities was understated by the same amount. The Company has properly presented its condensed consolidated statement of cash flows for the three months ended March 31, 2014 and determined that this revision is not material to prior periods. | |
Prior Period Reclassifications | |
Reclassifications of certain prior period amounts in the condensed consolidated financial statements have been made to conform to the current period presentation. |
Balance_sheet_components
Balance sheet components | 3 Months Ended | |||||||||
Mar. 31, 2015 | ||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||||||
Balance sheet components | Balance sheet components | |||||||||
Inventory | ||||||||||
Inventory consisted of the following: | ||||||||||
(in thousands) | March 31, | December 31, | ||||||||
2015 | 2014 | |||||||||
Components | $ | 3,301 | $ | 4,324 | ||||||
Finished goods | 160,743 | 148,702 | ||||||||
Total inventory | $ | 164,044 | $ | 153,026 | ||||||
Property and equipment, net | ||||||||||
Property and equipment, net consisted of the following: | ||||||||||
(in thousands) | Useful life | March 31, | December 31, | |||||||
(in years) | 2015 | 2014 | ||||||||
Leasehold improvements | 3–7 | $ | 23,037 | $ | 22,787 | |||||
Computers, software, equipment and furniture | 2–4 | 27,420 | 24,636 | |||||||
Tooling | 1–4 | 17,639 | 16,159 | |||||||
Construction in progress | 6,037 | 3,944 | ||||||||
Tradeshow equipment and other | 5-Feb | 3,864 | 3,830 | |||||||
Gross property and equipment | 77,997 | 71,356 | ||||||||
Less: Accumulated depreciation and amortization | -34,107 | -29,800 | ||||||||
Property and equipment, net | $ | 43,890 | $ | 41,556 | ||||||
Acquired intangible assets and goodwill | ||||||||||
Intangible assets and goodwill increased from $17.0 million at December 31, 2014 to $24.9 million at March 31, 2015 due to the acquisition of a development-stage company in March 2015, which was accounted for as a business combination. The intangible assets acquired were recorded as in-process research and development. The acquisition did not have an impact on the Company’s condensed consolidated statements of operations. There were no impairments to intangible assets and goodwill during the three months ended March 31, 2015. |
Fair_value_measurements
Fair value measurements | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||
Fair value measurements | Fair value measurements | ||||||||||||||||||||||||
The Company’s assets that are measured at fair value on a recurring basis, by level, within the fair value hierarchy are summarized as follows: | |||||||||||||||||||||||||
31-Mar-15 | 31-Dec-14 | ||||||||||||||||||||||||
(in thousands) | Level 1 | Level 2 | Total | Level 1 | Level 2 | Total | |||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||||||
Money market funds | $ | 16,618 | $ | — | $ | 16,618 | $ | 80,968 | $ | — | $ | 80,968 | |||||||||||||
Corporate debt securities | — | — | — | — | 2,000 | 2,000 | |||||||||||||||||||
Total cash equivalents | $ | 16,618 | $ | — | $ | 16,618 | $ | 80,968 | $ | 2,000 | $ | 82,968 | |||||||||||||
Marketable securities: | |||||||||||||||||||||||||
U.S. treasury securities | $ | 2,498 | $ | — | $ | 2,498 | $ | 1,994 | $ | — | $ | 1,994 | |||||||||||||
U.S. agency securities | — | 15,287 | 15,287 | — | 7,020 | 7,020 | |||||||||||||||||||
Commercial paper | — | 3,697 | 3,697 | — | 2,497 | 2,497 | |||||||||||||||||||
Corporate debt securities | — | 147,259 | 147,259 | — | 90,816 | 90,816 | |||||||||||||||||||
Total marketable securities | $ | 2,498 | $ | 166,243 | $ | 168,741 | $ | 1,994 | $ | 100,333 | $ | 102,327 | |||||||||||||
The Company classifies its cash equivalents and marketable securities as Level 1 or Level 2 within the fair value hierarchy. The fair value of Level 1 financial instruments, which are traded in active markets, is based on quoted market prices for identical instruments. The fair value of Level 2 financial instruments is obtained from an independent pricing service, which may use quoted market prices for identical or comparable instruments or model driven valuations using observable market data or inputs corroborated by observable market data. The Company's procedures include controls to ensure that appropriate fair values are recorded, including comparing the fair values obtained from the Company's pricing service against fair values obtained from other independent sources. At March 31, 2015 and December 31, 2014, the Company had no financial assets or liabilities that were classified as Level 3, which are valued based on inputs supported by little or no market activity. | |||||||||||||||||||||||||
During the three months ended March 31, 2015, the Company had no transfers of financial assets between levels. At March 31, 2015, $126.5 million of the Company's marketable securities had a contractual maturity of one year or less and $42.2 million had a contractual maturity of one to two years. |
Stockbased_compensation
Stock-based compensation | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||||||
Stock-based compensation | Stock-based compensation | |||||||||||||||||||
Equity incentive plans | ||||||||||||||||||||
The Company has issued equity grants from its three stock-based employee compensation plans: the 2014 Equity Incentive Plan (2014 Plan), the 2010 Equity Incentive Plan (2010 Plan), and the Employee Stock Purchase Plan (ESPP). | ||||||||||||||||||||
The 2014 Plan serves as the successor to the 2010 Plan and provides for the granting of incentive and nonqualified stock options, restricted stock awards (RSAs), restricted stock units (RSUs), stock appreciation rights, stock bonus awards, and performance awards to employees, non-employee directors, and consultants. No shares have been issued under the 2010 Plan since June 2014. Options granted under the 2014 Plan generally expire within 10 years from the date of grant and generally vest over four years. Options with performance or market-based conditions are generally subject to a required service period along with the performance or market condition. RSUs granted under the 2014 Plan generally vest either annually or quarterly over three or four years based upon on continued service. The ESPP allows eligible employees to purchase shares of the Company's Class A common stock through payroll deductions at a price equal to 85% of the lower of the fair market values of the stock as of the beginning or the end of six-month offering periods. For additional information regarding the Company's equity incentive plans, please refer to the footnotes to the audited financial statements contained in its Annual Report on Form 10-K for the year ended December 31, 2014. | ||||||||||||||||||||
Stock option activity | ||||||||||||||||||||
A summary of the Company’s stock option activity and related information is as follows: | ||||||||||||||||||||
Options outstanding | ||||||||||||||||||||
(shares in thousands) | Shares | Weighted- | Weighted- | Total intrinsic | Aggregate | |||||||||||||||
average | average | value of | intrinsic value | |||||||||||||||||
exercise | grant | exercises | (in thousands) | |||||||||||||||||
price | date fair | (in thousands) | ||||||||||||||||||
value | ||||||||||||||||||||
Outstanding at December 31, 2014: | 25,134 | $ | 6.62 | $ | 1,425,339 | |||||||||||||||
Granted | 420 | 45.56 | $ | 22.47 | ||||||||||||||||
Exercised | (4,143 | ) | 1.44 | $ | 203,784 | |||||||||||||||
Forfeited/Cancelled | (74 | ) | 20.91 | |||||||||||||||||
Outstanding at March 31, 2015: | 21,337 | $ | 8.34 | $ | 756,135 | |||||||||||||||
Exercisable at March 31, 2015 | 14,678 | $ | 2.68 | $ | 597,831 | |||||||||||||||
Vested and expected to vest at March 31, 2015 | 20,966 | $ | 8.08 | $ | 748,068 | |||||||||||||||
At March 31, 2015, there was $66.3 million of unearned stock-based compensation expense related to unvested options, which is expected to be amortized over a weighted average period of 2.6 years. | ||||||||||||||||||||
Restricted stock awards | ||||||||||||||||||||
RSAs represent share awards of the Company’s common stock that are generally subject to repurchase at the original issuance price upon termination of services prior to vesting. These repurchase terms are considered to be a forfeiture provision and do not result in mark-to-market accounting each reporting period. At March 31, 2015, all RSAs were fully vested. A summary of the Company’s restricted stock awards is as follows: | ||||||||||||||||||||
(shares in thousands) | Shares | Weighted- average grant date fair value | Aggregate | |||||||||||||||||
intrinsic value | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Non-vested shares at December 31, 2014 | 17 | $ | 6.3 | $ | 1,017 | |||||||||||||||
Vested | (17 | ) | ||||||||||||||||||
Non-vested shares at March 31, 2015 | — | $ | — | $ | — | |||||||||||||||
Restricted stock units | ||||||||||||||||||||
The cost of RSUs is determined using the fair value of the Company's common stock on the date of grant, and compensation is recognized on a straight-line basis over the requisite service period. The Company also has issued RSUs with both a market condition and service condition. The Company estimated the fair value of these market-based RSUs using a Monte Carlo valuation model on the date of grant. A summary of the Company’s RSU activity is as follows: | ||||||||||||||||||||
(shares in thousands) | Shares | Weighted- average grant date fair value | ||||||||||||||||||
Non-vested shares at December 31, 2014 | 4,307 | $ | 21.98 | |||||||||||||||||
Granted | 332 | 46.42 | ||||||||||||||||||
Vested | (817 | ) | 15.8 | |||||||||||||||||
Forfeited | (8 | ) | 79.22 | |||||||||||||||||
Non-vested shares at March 31, 2015 | 3,814 | 25.3 | ||||||||||||||||||
In June 2014, the Company granted a 4.5 million RSU award to the Chief Executive Officer (CEO RSUs), which included 1.5 million RSUs that vested immediately upon grant and 3.0 million RSUs that were subject to a market-based condition and a service condition. In January 2015, the market-based condition was achieved and the Company recorded stock-based compensation expense of $15.8 million during the three months ended March 31, 2015. At March 31, 2015, $20.6 million of total unearned compensation costs related to the CEO RSUs is expected to be recognized over the remaining vesting period of 2.3 years. | ||||||||||||||||||||
At March 31, 2015, there was $70.3 million of unearned stock-based compensation related to RSUs (including the CEO RSUs), which is expected to be amortized over a weighted average period of 2.3 years. | ||||||||||||||||||||
Employee stock purchase plan | ||||||||||||||||||||
On February 13, 2015, the first purchase under the Company's ESPP was made and employees purchased an aggregate of 313,233 shares at a price of $20.40 per share. During the three months ended March 31, 2015, the Company recorded $1.1 million of stock-based compensation expense related to the ESPP. At March 31, 2015, there was $1.5 million of unearned stock-based compensation related to the Company’s ESPP, which is expected to be recognized over 0.4 years. | ||||||||||||||||||||
Stock-based compensation expense | ||||||||||||||||||||
The Company measures compensation expense for all stock-based payment awards, including stock options, RSUs, and purchases under the Company's ESPP, based on the estimated fair values on the date of the grant. The fair value of stock options granted and purchases under the Company's ESPP is estimated using the Black-Scholes option pricing model. There have been no significant changes in the Company’s valuation assumptions for measuring compensation expense from those disclosed in the footnotes to the audited financial statements contained in its Annual Report on Form 10-K for the year ended December 31, 2014. | ||||||||||||||||||||
The following tables set forth the detailed allocation of stock-based compensation expense: | ||||||||||||||||||||
Three months ended | ||||||||||||||||||||
(in thousands) | March 31, | March 31, | ||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
Stock-based compensation expense: | ||||||||||||||||||||
Cost of revenue | $ | 283 | $ | 168 | ||||||||||||||||
Research and development | 3,535 | 1,401 | ||||||||||||||||||
Sales and marketing | 3,066 | 1,414 | ||||||||||||||||||
General and administrative | 19,617 | 1,054 | ||||||||||||||||||
Total stock-based compensation expense | 26,501 | 4,037 | ||||||||||||||||||
Total tax benefit recognized | (9,304 | ) | (342 | ) | ||||||||||||||||
Decrease in net income | $ | 17,197 | $ | 3,695 | ||||||||||||||||
Stock-based compensation expense by type of award: | ||||||||||||||||||||
Stock options | $ | 5,957 | $ | 2,894 | ||||||||||||||||
RSUs | 18,920 | 179 | ||||||||||||||||||
RSAs | 566 | 964 | ||||||||||||||||||
ESPP | 1,058 | — | ||||||||||||||||||
Total stock-based compensation expense | $ | 26,501 | $ | 4,037 | ||||||||||||||||
Net_income_per_share_attributa
Net income per share attributable to common stockholders | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Net income per share attributable to common stockholders | Net income per share attributable to common stockholders | |||||||||||
Basic and diluted net income per common share is presented in conformity with the two-class method required for participating securities. The Company considers shares issued upon the early exercise of options subject to repurchase and non-vested restricted shares to be participating securities, because holders of such shares have a non-forfeitable right to dividends. Additionally, prior to the date of the Company's initial public offering (IPO) in June 2014, the Company considered its redeemable convertible preferred stock to be participating securities due to their non-cumulative dividend rights. Immediately after the completion of the Company's IPO, all outstanding shares of redeemable convertible preferred stock converted to Class B common stock. | ||||||||||||
The rights of the holders of Class A and Class B common stock are identical, except with respect to voting and conversion. Each share of Class A common stock is entitled to one vote per share and each share of Class B common stock is entitled to ten votes per share. Each share of Class B common stock is convertible at any time at the option of the stockholder into one share of Class A common stock and has no expiration date. Each share of Class B common stock will convert automatically into one share of Class A common stock upon the date when the outstanding shares of Class B common stock represent less than 10% of the aggregate number of shares of common stock then outstanding. Class A common stock is not convertible into Class B common stock. | ||||||||||||
Basic net income per share attributable to common stockholders is computed by dividing the net income attributable to common stockholders by the weighted-average number of common shares outstanding during the period. All participating securities are excluded from basic weighted average common shares outstanding. Diluted net income per share attributable to common stockholders is computed by dividing the net income attributable to common stockholders by the weighted-average number of common shares outstanding, including all potentially dilutive common shares. | ||||||||||||
Undistributed earnings are allocated based on the contractual participation rights of common shares as if the earnings for the year have been distributed. As the liquidation and dividend rights are identical, the undistributed earnings are allocated on a proportionate basis. The computation of the diluted net income per share of Class A common stock assumes the conversion of Class B common stock. | ||||||||||||
The following table presents the calculations of basic and diluted net income per share attributable to common stockholders: | ||||||||||||
Three months ended | ||||||||||||
(dollars in thousands, except per share data) | March 31, | March 31, | ||||||||||
2015 | 2014 | |||||||||||
Class A | Class B | Common | ||||||||||
Numerator: | ||||||||||||
Allocation of net income | $ | 8,926 | $ | 7,826 | $ | 11,049 | ||||||
Less: net income allocable to participating securities | — | — | (3,040 | ) | ||||||||
Net income attributable to common stockholders—basic | $ | 8,926 | $ | 7,826 | $ | 8,009 | ||||||
Add: net income allocable to dilutive participating securities | — | — | 443 | |||||||||
Reallocation of net income as a result of conversion of Class B to Class A shares | 7,826 | — | — | |||||||||
Reallocation of net income to Class B shares | — | 968 | — | |||||||||
Net income attributable to common stockholders—diluted | $ | 16,752 | $ | 8,794 | $ | 8,452 | ||||||
Denominator: | ||||||||||||
Weighted-average common shares—basic | 70,483 | 61,795 | 81,582 | |||||||||
Conversion of Class B to Class A common stock outstanding | 61,795 | — | — | |||||||||
Effect of potentially dilutive stock options, ESPP shares, and RSUs | 16,295 | 16,202 | 19,201 | |||||||||
Weighted-average common shares—diluted | 148,573 | 77,997 | 100,783 | |||||||||
Net income per share attributable to common stockholders: | ||||||||||||
Basic | $ | 0.13 | $ | 0.13 | $ | 0.1 | ||||||
Diluted | $ | 0.11 | $ | 0.11 | $ | 0.08 | ||||||
The following potentially dilutive shares of were not included in the calculation of diluted shares outstanding as the effect would have been anti-dilutive: | ||||||||||||
Three months ended | ||||||||||||
(in thousands) | March 31, | March 31, | ||||||||||
2015 | 2014 | |||||||||||
Series A redeemable convertible preferred stock | — | 30,523 | ||||||||||
Stock options, ESPP shares, and RSUs | 1,984 | 3,634 | ||||||||||
Unvested stock awards and stock options | 5 | 451 | ||||||||||
1,989 | 34,608 | |||||||||||
Income_tax_expense
Income tax expense | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Income Tax Disclosure [Abstract] | ||||||||
Income tax expense | Income tax expense | |||||||
The Company's tax provision for interim periods is determined using an estimate of its annual effective tax rate, adjusted for discrete items arising in that quarter. In each quarter, the Company updates its estimate of the annual effective tax rate, and if the estimated annual tax rate changes, the Company makes a cumulative adjustment in that quarter. | ||||||||
Three months ended | ||||||||
(dollars in thousands) | March 31, | March 31, | ||||||
2015 | 2014 | |||||||
Income tax expense | $ | 3,272 | $ | 3,882 | ||||
Effective tax rate | 16.3 | % | 26 | % | ||||
The Company’s income tax expense was $3.3 million and $3.9 million for the three months ended March 31, 2015 and 2014, respectively. The Company’s provision for income taxes in each period has differed from the tax computed at the U.S. federal statutory income tax rate due to state taxes, the effect of non-U.S. operations, deductible and non-deductible stock-based compensation expense, non-deductible acquisition-related costs and adjustments to unrecognized tax benefits. The lower income tax expense for the three months ended March 31, 2015, compared to the same period in 2014, was primarily due to the effects of higher deductible stock-based compensation. | ||||||||
The Company is currently under examination by the U.S. Internal Revenue Service for tax years 2012 and 2013. The U.S. federal and U.S. state taxing authorities may choose to audit tax returns for tax years beyond the statute of limitation period due to significant tax attribute carryforwards from prior years, making adjustments only to carryforward attributes. The Company is also currently under examination by the California Franchise Tax Board for tax years 2011 and 2012. At this time, the Company is not able to estimate the potential impact that these examinations may have on income tax expense. If the examinations are resolved unfavorably, they may have a material negative impact on the Company's results of operations. | ||||||||
At March 31, 2015 and December 31, 2014, the Company’s total amount of gross unrecognized tax benefits was $16.9 million and $16.6 million, respectively. If recognized, $16.9 million of the unrecognized tax benefits (net of federal benefit) at March 31, 2015 would be recorded as a reduction of the income tax provision in future periods. Management believes events that could occur in the next 12 months and cause a material change in unrecognized tax benefits include, but are not limited to, the completion of examinations by the U.S. or foreign taxing authorities, and the expiration of statute of limitations on the Company's tax returns. The calculation of unrecognized tax benefits involves dealing with uncertainties in the application of complex global tax regulations. Management regularly assesses the Company's tax positions in light of legislative, bilateral tax treaty, regulatory and judicial developments in the countries in which it does business. It is reasonably possible that the total amounts of unrecognized tax benefits will significantly increase within the next 12 months. However, the range of the reasonably possible change cannot be reliably estimated. |
Related_parties
Related parties | 3 Months Ended |
Mar. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related parties | Related parties |
The Company has agreements for certain contract manufacturing and engineering services with a vendor affiliated with one of the Company's investors. In the three months ended March 31, 2015 and 2014, the Company made payments of $0.5 million and $8.4 million, respectively, for services rendered. | |
The Company incurs costs for company-related chartered aircraft fees for the use of the CEO’s private plane. In the three months ended March 31, 2015 and 2014, the Company made payments of $0.4 million and zero, respectively. | |
In 2013, the Company entered into a three-year agreement with a company affiliated with the son of one of the members of the Company's Board of Directors to acquire certain naming rights to a sprint kart race track. As consideration for these naming rights, the Company would pay a total of $0.5 million in installments beginning in October 2013 over the naming rights period. In addition, the Company would also provide 100 GoPro capture devices at no cost each year over the term of the agreement. As of March 31, 2015, the Company has made cumulative payments related to this agreement of $0.3 million. | |
In the second quarter of 2013, the Company loaned one of its executive officers $150,000 pursuant to a demand payment loan that did not bear interest, which was fully repaid in March 2014. |
Commitments_contingencies_and_
Commitments, contingencies and guarantees | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||
Commitments, contingencies and guarantees | Commitments, contingencies and guarantees | |||||||||||||||||||
The following table summarizes the Company’s contractual commitments as of March 31, 2015: | ||||||||||||||||||||
(in thousands) | Total | 1 year (remaining | 2-3 years (2016 and 2017) | 4-5 years (2018 and 2019) | More than | |||||||||||||||
9 months in 2015) | 5 years (beyond 2019) | |||||||||||||||||||
Operating leases(1) | $ | 44,004 | $ | 7,870 | $ | 21,927 | $ | 14,207 | $ | — | ||||||||||
Sponsorship commitments(2) | 11,314 | 4,912 | 6,402 | — | — | |||||||||||||||
Other contractual commitments(3) | 7,697 | 2,673 | 5,024 | — | — | |||||||||||||||
Capital equipment purchase commitments(4) | 16,107 | 16,107 | — | — | — | |||||||||||||||
Total contractual cash obligations | $ | 79,122 | $ | 31,562 | $ | 33,353 | $ | 14,207 | $ | — | ||||||||||
-1 | The Company leases its facilities under long-term operating leases, which expire at various dates through 2019. | |||||||||||||||||||
-2 | The Company sponsors sporting events, resorts and athletes as part of its marketing efforts. In many cases, the Company enters into multi-year agreements with event organizers, resorts and athletes. | |||||||||||||||||||
-3 | The Company purchases software licenses and engages outside consultants to assist with upgrading or implementing its financial and IT systems, which require payments over multiple years. | |||||||||||||||||||
-4 | The Company enters into contracts to acquire equipment for tooling and molds as part of its manufacturing operations. In addition, the Company incurs purchase commitments related to the manufacturing of its point-of-purchase (POP) displays by third parties. | |||||||||||||||||||
Rent expense was $2.4 million and $1.3 million for the three months ended March 31, 2015 and 2014, respectively. | ||||||||||||||||||||
Legal proceedings | ||||||||||||||||||||
From time to time, the Company is involved in legal proceedings in the ordinary course of business. The Company believes that the outcome of any existing litigation, either individually or in the aggregate, will not have a material impact on the results of operations, financial condition or cash flows of the Company. | ||||||||||||||||||||
Indemnifications | ||||||||||||||||||||
In the normal course of business, the Company enters into agreements that contain a variety of representations and warranties and provide for general indemnification. The Company’s exposure under these agreements is unknown because it involves claims that may be made against the Company in the future, but have not yet been made. As of March 31, 2015, the Company has not paid any claims or been required to defend any action related to its indemnification obligations. However, the Company may record charges in the future as a result of these indemnification obligations. | ||||||||||||||||||||
Product warranty | ||||||||||||||||||||
The following table summarizes the warranty liability activity: | ||||||||||||||||||||
Three months ended | ||||||||||||||||||||
(in thousands) | March 31, | March 31, | ||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
Beginning balances | $ | 6,405 | $ | 3,870 | ||||||||||||||||
Charged to cost of revenue | 6,044 | 271 | ||||||||||||||||||
Settlements of warranty claims | (3,480 | ) | (1,590 | ) | ||||||||||||||||
Ending balances | $ | 8,969 | $ | 2,551 | ||||||||||||||||
At March 31, 2015, $8.5 million of the warranty liability was recorded as an element of accrued liabilities and $0.4 million was recorded as an element of other long-term liabilities. |
Concentrations_of_risk_and_seg
Concentrations of risk and segment information | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Risks and Uncertainties [Abstract] | ||||||||
Concentrations of risk and segment information | Concentrations of risk and segment information | |||||||
Segment information | ||||||||
The Company operates as one operating segment as it only reports financial information on an aggregate and consolidated basis to its CEO, who is the Company’s chief operating decision maker. | ||||||||
Customer concentration | ||||||||
Financial instruments, which potentially subject the Company to concentrations of credit risk, consist principally of trade receivables. The Company believes that credit risk in its accounts receivable is mitigated by the Company’s credit evaluation process, relatively short collection terms and dispersion of its customer base. The Company generally does not require collateral and losses on trade receivables have historically been within management’s expectations. | ||||||||
The Company had the following customers who represented 10% or more of its net accounts receivable balance: | ||||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
A (retailer) | 16% | 17% | ||||||
B (distributor) | 26% | 14% | ||||||
C (retailer) | 10% | 11% | ||||||
D (retailer) | 12% | * | ||||||
E (distributor) | 11% | * | ||||||
* Less than 10% of total accounts receivable for the period indicated | ||||||||
In the three months ended March 31, 2015 and 2014, the Company sold accounts receivables, without recourse, of $35.3 million and $31.3 million, respectively, to a third-party banking institution. Factoring fees of $0.3 million for each of these periods were included in other expense, net. | ||||||||
Customers with revenue equal to or greater than 10% of total revenue were as follows: | ||||||||
Three months ended | ||||||||
March 31, | March 31, | |||||||
2015 | 2014 | |||||||
A (retailer) | 12% | 13% | ||||||
B (distributor) | * | 10% | ||||||
* | Less than 10% of total revenue for the period indicated | |||||||
Supplier concentration | ||||||||
The Company relies on third parties for the supply and manufacture of its capture devices, some of which are sole-source suppliers. The Company believes that outsourcing manufacturing enables greater scale and flexibility. As demand and product lines change, the Company periodically evaluates the need and advisability of adding manufacturers to support its operations. In instances where a supply and manufacture agreement does not exist or suppliers fail to perform their obligations, the Company may be unable to find alternative suppliers or satisfactorily deliver its products to its customers on time, if at all. The Company also relies on third parties with whom it outsources supply chain activities related to inventory warehousing, order fulfillment, distribution and other direct sales logistics. | ||||||||
Geographic and other information | ||||||||
Revenue by geographic region, based on ship-to destinations, was as follows: | ||||||||
Three months ended | ||||||||
(in thousands) | March 31, | March 31, | ||||||
2015 | 2014 | |||||||
Americas | $ | 180,093 | $ | 125,166 | ||||
Europe, Middle East and Africa (EMEA) | 139,079 | 84,174 | ||||||
Asia and Pacific area countries (APAC) | 43,937 | 26,376 | ||||||
$ | 363,109 | $ | 235,716 | |||||
Revenue in the United States, which is included in the Americas geographic region, was $155.3 million and $110.7 million for the three months ended March 31, 2015 and 2014, respectively. During the three months ended December 31, 2014, the Company reclassified four countries it had previously included in the APAC geographical region to now be included in the EMEA geographical region. This caused $4.1 million of revenue to be reclassified from the APAC region to the EMEA region for the three months ended March 31, 2014. The Company does not disclose revenue by product category as it does not track sales incentives and other revenue adjustments by product category to report such data. | ||||||||
As of March 31, 2015 and December 31, 2014, long-lived assets, which represent gross property and equipment, located outside the United States, primarily China, were $28.8 million and $25.4 million, respectively. |
Basis_of_presentation_and_summ1
Basis of presentation and summary of significant accounting policies (Policies) | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of accounting | The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) and in accordance with the interim period reporting requirements of Form 10-Q. The unaudited condensed consolidated financial statements reflect all adjustments (consisting only of normal recurring adjustments) that management believes are necessary for the fair presentation of the Company's financial condition, results of operations, and cash flows for the periods presented, but are not necessarily indicative of the results expected for the full fiscal year or any other future period. The condensed consolidated balance sheet at December 31, 2014 has been derived from the audited financial statements at that date, but does not include all of the disclosures required by GAAP. This quarterly report should be read in conjunction with the Company's Annual Report on Form 10-K (Annual Report) for the year ended December 31, 2014. There have been no significant changes in the Company’s accounting policies from those disclosed in the footnotes to the audited financial statements contained in its Annual Report on Form 10-K for the year ended December 31, 2014. |
Principles of consolidation | Principles of consolidation |
These consolidated financial statements include all the accounts of the Company and its wholly-owned subsidiaries. Unless otherwise specified, references to the Company are references to GoPro, Inc. and its consolidated subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. | |
Use of estimates | Use of estimates |
The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the Company’s condensed consolidated financial statements and accompanying notes. The Company regularly evaluates estimates and assumptions in several areas, including those related to: the collectability of accounts receivable, stock-based compensation, inventory valuation, warranty liabilities, revenue recognition and related estimates (including sales returns, web-based sale deliveries at period-end, implied post contract support, and marketing allowances), the valuation and useful lives of intangible assets and property and equipment, the valuation of deferred income tax assets, and uncertain tax positions. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could differ materially from management's estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. | |
Comprehensive income | Comprehensive income |
For all periods presented, comprehensive income equaled net income. Therefore, the condensed consolidated statements of comprehensive income have been omitted from the condensed consolidated financial statements. | |
Recent accounting pronouncements | Recent accounting pronouncements |
In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update No. 2014-09 (ASU 2014-09), Revenue from Contracts with Customers, which amends the existing accounting standards for revenue recognition. ASU 2014-09 is based on principles that govern the recognition of revenue at an amount to which an entity expects to be entitled when products are transferred to customers. ASU 2014-09 becomes effective for the Company on January 1, 2017. Early application is not permitted. In April 2015, the FASB proposed a one-year deferral of the effective date of the new revenue standard. If approved, the new standard will become effective for the Company on January 1, 2018 and can be adopted either retrospectively to each prior reporting period presented or as a cumulative effect adjustment as of the date of adoption. The Company is currently evaluating the impact the adoption of ASU 2014-09 will have on the Company's consolidated financial statements. | |
Correction of error | Correction of error |
During the preparation of the condensed consolidated financial statements for the period ended June 30, 2014, the Company determined that within the consolidated statement of cash flows previously disclosed for the quarter ended March 31, 2014, net cash provided by operating activities was understated by $3.2 million and net cash used for investing activities was understated by the same amount. The Company has properly presented its condensed consolidated statement of cash flows for the three months ended March 31, 2014 and determined that this revision is not material to prior periods. | |
Prior period reclassifications | Prior Period Reclassifications |
Reclassifications of certain prior period amounts in the condensed consolidated financial statements have been made to conform to the current period presentation. |
Balance_sheet_components_Table
Balance sheet components (Tables) | 3 Months Ended | |||||||||
Mar. 31, 2015 | ||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||||||
Schedule of Inventory | Inventory consisted of the following: | |||||||||
(in thousands) | March 31, | December 31, | ||||||||
2015 | 2014 | |||||||||
Components | $ | 3,301 | $ | 4,324 | ||||||
Finished goods | 160,743 | 148,702 | ||||||||
Total inventory | $ | 164,044 | $ | 153,026 | ||||||
Property, Plant and Equipment | Property and equipment, net consisted of the following: | |||||||||
(in thousands) | Useful life | March 31, | December 31, | |||||||
(in years) | 2015 | 2014 | ||||||||
Leasehold improvements | 3–7 | $ | 23,037 | $ | 22,787 | |||||
Computers, software, equipment and furniture | 2–4 | 27,420 | 24,636 | |||||||
Tooling | 1–4 | 17,639 | 16,159 | |||||||
Construction in progress | 6,037 | 3,944 | ||||||||
Tradeshow equipment and other | 5-Feb | 3,864 | 3,830 | |||||||
Gross property and equipment | 77,997 | 71,356 | ||||||||
Less: Accumulated depreciation and amortization | -34,107 | -29,800 | ||||||||
Property and equipment, net | $ | 43,890 | $ | 41,556 | ||||||
Fair_value_measurements_Tables
Fair value measurements (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||
Fair Value, Assets Measured on Recurring Basis | The Company’s assets that are measured at fair value on a recurring basis, by level, within the fair value hierarchy are summarized as follows: | ||||||||||||||||||||||||
31-Mar-15 | 31-Dec-14 | ||||||||||||||||||||||||
(in thousands) | Level 1 | Level 2 | Total | Level 1 | Level 2 | Total | |||||||||||||||||||
Cash equivalents: | |||||||||||||||||||||||||
Money market funds | $ | 16,618 | $ | — | $ | 16,618 | $ | 80,968 | $ | — | $ | 80,968 | |||||||||||||
Corporate debt securities | — | — | — | — | 2,000 | 2,000 | |||||||||||||||||||
Total cash equivalents | $ | 16,618 | $ | — | $ | 16,618 | $ | 80,968 | $ | 2,000 | $ | 82,968 | |||||||||||||
Marketable securities: | |||||||||||||||||||||||||
U.S. treasury securities | $ | 2,498 | $ | — | $ | 2,498 | $ | 1,994 | $ | — | $ | 1,994 | |||||||||||||
U.S. agency securities | — | 15,287 | 15,287 | — | 7,020 | 7,020 | |||||||||||||||||||
Commercial paper | — | 3,697 | 3,697 | — | 2,497 | 2,497 | |||||||||||||||||||
Corporate debt securities | — | 147,259 | 147,259 | — | 90,816 | 90,816 | |||||||||||||||||||
Total marketable securities | $ | 2,498 | $ | 166,243 | $ | 168,741 | $ | 1,994 | $ | 100,333 | $ | 102,327 | |||||||||||||
Stockbased_compensation_Tables
Stock-based compensation (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity | A summary of the Company’s stock option activity and related information is as follows: | |||||||||||||||||||
Options outstanding | ||||||||||||||||||||
(shares in thousands) | Shares | Weighted- | Weighted- | Total intrinsic | Aggregate | |||||||||||||||
average | average | value of | intrinsic value | |||||||||||||||||
exercise | grant | exercises | (in thousands) | |||||||||||||||||
price | date fair | (in thousands) | ||||||||||||||||||
value | ||||||||||||||||||||
Outstanding at December 31, 2014: | 25,134 | $ | 6.62 | $ | 1,425,339 | |||||||||||||||
Granted | 420 | 45.56 | $ | 22.47 | ||||||||||||||||
Exercised | (4,143 | ) | 1.44 | $ | 203,784 | |||||||||||||||
Forfeited/Cancelled | (74 | ) | 20.91 | |||||||||||||||||
Outstanding at March 31, 2015: | 21,337 | $ | 8.34 | $ | 756,135 | |||||||||||||||
Exercisable at March 31, 2015 | 14,678 | $ | 2.68 | $ | 597,831 | |||||||||||||||
Vested and expected to vest at March 31, 2015 | 20,966 | $ | 8.08 | $ | 748,068 | |||||||||||||||
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | A summary of the Company’s RSU activity is as follows: | |||||||||||||||||||
(shares in thousands) | Shares | Weighted- average grant date fair value | ||||||||||||||||||
Non-vested shares at December 31, 2014 | 4,307 | $ | 21.98 | |||||||||||||||||
Granted | 332 | 46.42 | ||||||||||||||||||
Vested | (817 | ) | 15.8 | |||||||||||||||||
Forfeited | (8 | ) | 79.22 | |||||||||||||||||
Non-vested shares at March 31, 2015 | 3,814 | 25.3 | ||||||||||||||||||
A summary of the Company’s restricted stock awards is as follows: | ||||||||||||||||||||
(shares in thousands) | Shares | Weighted- average grant date fair value | Aggregate | |||||||||||||||||
intrinsic value | ||||||||||||||||||||
(in thousands) | ||||||||||||||||||||
Non-vested shares at December 31, 2014 | 17 | $ | 6.3 | $ | 1,017 | |||||||||||||||
Vested | (17 | ) | ||||||||||||||||||
Non-vested shares at March 31, 2015 | — | $ | — | $ | — | |||||||||||||||
Allocation of Stock-based Compensation Expense | The following tables set forth the detailed allocation of stock-based compensation expense: | |||||||||||||||||||
Three months ended | ||||||||||||||||||||
(in thousands) | March 31, | March 31, | ||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
Stock-based compensation expense: | ||||||||||||||||||||
Cost of revenue | $ | 283 | $ | 168 | ||||||||||||||||
Research and development | 3,535 | 1,401 | ||||||||||||||||||
Sales and marketing | 3,066 | 1,414 | ||||||||||||||||||
General and administrative | 19,617 | 1,054 | ||||||||||||||||||
Total stock-based compensation expense | 26,501 | 4,037 | ||||||||||||||||||
Total tax benefit recognized | (9,304 | ) | (342 | ) | ||||||||||||||||
Decrease in net income | $ | 17,197 | $ | 3,695 | ||||||||||||||||
Stock-based compensation expense by type of award: | ||||||||||||||||||||
Stock options | $ | 5,957 | $ | 2,894 | ||||||||||||||||
RSUs | 18,920 | 179 | ||||||||||||||||||
RSAs | 566 | 964 | ||||||||||||||||||
ESPP | 1,058 | — | ||||||||||||||||||
Total stock-based compensation expense | $ | 26,501 | $ | 4,037 | ||||||||||||||||
Net_income_per_share_attributa1
Net income per share attributable to common stockholders (Tables) | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Schedule of Net Income per Share, Basic and Diluted | The following table presents the calculations of basic and diluted net income per share attributable to common stockholders: | |||||||||||
Three months ended | ||||||||||||
(dollars in thousands, except per share data) | March 31, | March 31, | ||||||||||
2015 | 2014 | |||||||||||
Class A | Class B | Common | ||||||||||
Numerator: | ||||||||||||
Allocation of net income | $ | 8,926 | $ | 7,826 | $ | 11,049 | ||||||
Less: net income allocable to participating securities | — | — | (3,040 | ) | ||||||||
Net income attributable to common stockholders—basic | $ | 8,926 | $ | 7,826 | $ | 8,009 | ||||||
Add: net income allocable to dilutive participating securities | — | — | 443 | |||||||||
Reallocation of net income as a result of conversion of Class B to Class A shares | 7,826 | — | — | |||||||||
Reallocation of net income to Class B shares | — | 968 | — | |||||||||
Net income attributable to common stockholders—diluted | $ | 16,752 | $ | 8,794 | $ | 8,452 | ||||||
Denominator: | ||||||||||||
Weighted-average common shares—basic | 70,483 | 61,795 | 81,582 | |||||||||
Conversion of Class B to Class A common stock outstanding | 61,795 | — | — | |||||||||
Effect of potentially dilutive stock options, ESPP shares, and RSUs | 16,295 | 16,202 | 19,201 | |||||||||
Weighted-average common shares—diluted | 148,573 | 77,997 | 100,783 | |||||||||
Net income per share attributable to common stockholders: | ||||||||||||
Basic | $ | 0.13 | $ | 0.13 | $ | 0.1 | ||||||
Diluted | $ | 0.11 | $ | 0.11 | $ | 0.08 | ||||||
Schedule of Antidilutive Securities Excluded from Computation of Net Income per Share | The following potentially dilutive shares of were not included in the calculation of diluted shares outstanding as the effect would have been anti-dilutive: | |||||||||||
Three months ended | ||||||||||||
(in thousands) | March 31, | March 31, | ||||||||||
2015 | 2014 | |||||||||||
Series A redeemable convertible preferred stock | — | 30,523 | ||||||||||
Stock options, ESPP shares, and RSUs | 1,984 | 3,634 | ||||||||||
Unvested stock awards and stock options | 5 | 451 | ||||||||||
1,989 | 34,608 | |||||||||||
Income_tax_expense_Tables
Income tax expense (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Income Tax Disclosure [Abstract] | ||||||||
Schedule of Components of Income Tax Expense (Benefit) | ||||||||
Three months ended | ||||||||
(dollars in thousands) | March 31, | March 31, | ||||||
2015 | 2014 | |||||||
Income tax expense | $ | 3,272 | $ | 3,882 | ||||
Effective tax rate | 16.3 | % | 26 | % |
Commitments_contingencies_and_1
Commitments, contingencies and guarantees (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||
Schedule of the Company's Contractual Commitments | The following table summarizes the Company’s contractual commitments as of March 31, 2015: | |||||||||||||||||||
(in thousands) | Total | 1 year (remaining | 2-3 years (2016 and 2017) | 4-5 years (2018 and 2019) | More than | |||||||||||||||
9 months in 2015) | 5 years (beyond 2019) | |||||||||||||||||||
Operating leases(1) | $ | 44,004 | $ | 7,870 | $ | 21,927 | $ | 14,207 | $ | — | ||||||||||
Sponsorship commitments(2) | 11,314 | 4,912 | 6,402 | — | — | |||||||||||||||
Other contractual commitments(3) | 7,697 | 2,673 | 5,024 | — | — | |||||||||||||||
Capital equipment purchase commitments(4) | 16,107 | 16,107 | — | — | — | |||||||||||||||
Total contractual cash obligations | $ | 79,122 | $ | 31,562 | $ | 33,353 | $ | 14,207 | $ | — | ||||||||||
-1 | The Company leases its facilities under long-term operating leases, which expire at various dates through 2019. | |||||||||||||||||||
-2 | The Company sponsors sporting events, resorts and athletes as part of its marketing efforts. In many cases, the Company enters into multi-year agreements with event organizers, resorts and athletes. | |||||||||||||||||||
-3 | The Company purchases software licenses and engages outside consultants to assist with upgrading or implementing its financial and IT systems, which require payments over multiple years. | |||||||||||||||||||
-4 | The Company enters into contracts to acquire equipment for tooling and molds as part of its manufacturing operations. In addition, the Company incurs purchase commitments related to the manufacturing of its point-of-purchase (POP) displays by third parties. | |||||||||||||||||||
Schedule of Product Warranty Liability Activity | The following table summarizes the warranty liability activity: | |||||||||||||||||||
Three months ended | ||||||||||||||||||||
(in thousands) | March 31, | March 31, | ||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
Beginning balances | $ | 6,405 | $ | 3,870 | ||||||||||||||||
Charged to cost of revenue | 6,044 | 271 | ||||||||||||||||||
Settlements of warranty claims | (3,480 | ) | (1,590 | ) | ||||||||||||||||
Ending balances | $ | 8,969 | $ | 2,551 | ||||||||||||||||
Concentrations_of_risk_and_seg1
Concentrations of risk and segment information (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Concentration Risk [Line Items] | ||||||||
Schedule of Revenue by Geographic Region | Revenue by geographic region, based on ship-to destinations, was as follows: | |||||||
Three months ended | ||||||||
(in thousands) | March 31, | March 31, | ||||||
2015 | 2014 | |||||||
Americas | $ | 180,093 | $ | 125,166 | ||||
Europe, Middle East and Africa (EMEA) | 139,079 | 84,174 | ||||||
Asia and Pacific area countries (APAC) | 43,937 | 26,376 | ||||||
$ | 363,109 | $ | 235,716 | |||||
Accounts Receivable [Member] | ||||||||
Concentration Risk [Line Items] | ||||||||
Schedules of Customer Concentration by Risk Factor | The Company had the following customers who represented 10% or more of its net accounts receivable balance: | |||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
A (retailer) | 16% | 17% | ||||||
B (distributor) | 26% | 14% | ||||||
C (retailer) | 10% | 11% | ||||||
D (retailer) | 12% | * | ||||||
E (distributor) | 11% | * | ||||||
* Less than 10% of total accounts receivable for the period indicated | ||||||||
Sales Revenue [Member] | ||||||||
Concentration Risk [Line Items] | ||||||||
Schedules of Customer Concentration by Risk Factor | Customers with revenue equal to or greater than 10% of total revenue were as follows: | |||||||
Three months ended | ||||||||
March 31, | March 31, | |||||||
2015 | 2014 | |||||||
A (retailer) | 12% | 13% | ||||||
B (distributor) | * | 10% | ||||||
* | Less than 10% of total revenue for the period indicated |
Basis_of_presentation_and_summ2
Basis of presentation and summary of significant accounting policies (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Understatement in net cash provided by operating activities | ($66,267) | ($20,914) |
Understatement in net cash used for investing activities | 77,172 | 7,901 |
Scenario, Adjustment [Member] | ||
Understatement in net cash provided by operating activities | 3,200 | |
Understatement in net cash used for investing activities | $3,200 |
Balance_sheet_components_Inven
Balance sheet components - Inventory (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Components | $3,301 | $4,324 |
Finished goods | 160,743 | 148,702 |
Total inventory | $164,044 | $153,026 |
Balance_sheet_components_Prope
Balance sheet components - Property and Equipment, Net (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Gross property and equipment | 77,997 | $71,356 |
Less: Accumulated depreciation and amortization | -34,107 | -29,800 |
Property and equipment, net | 43,890 | 41,556 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross property and equipment | 23,037 | 22,787 |
Computers, Software, Equipment and Furniture [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross property and equipment | 27,420 | 24,636 |
Tooling [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross property and equipment | 17,639 | 16,159 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross property and equipment | 6,037 | 3,944 |
Tradeshow Equipment and Other [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Gross property and equipment | 3,864 | $3,830 |
Minimum [Member] | Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in years) | 3 years | |
Minimum [Member] | Computers, Software, Equipment and Furniture [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in years) | 2 years | |
Minimum [Member] | Tooling [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in years) | 1 year | |
Minimum [Member] | Tradeshow Equipment and Other [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in years) | 2 years | |
Maximum [Member] | Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in years) | 7 years | |
Maximum [Member] | Computers, Software, Equipment and Furniture [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in years) | 4 years | |
Maximum [Member] | Tooling [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in years) | 4 years | |
Maximum [Member] | Tradeshow Equipment and Other [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life (in years) | 5 years |
Balance_sheet_components_Acqui
Balance sheet components - Acquired Intangible Assets and Goodwill (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Intangible assets and goodwill | $24,874 | $17,032 |
Fair_value_measurements_Detail
Fair value measurements (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | $168,741,000 | $102,327,000 |
Marketable securities with contractual maturity of one year or less | 126,500,000 | |
Marketable securities with contractual maturity of one to two years | 42,200,000 | |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 16,618,000 | 82,968,000 |
Marketable securities | 168,741,000 | 102,327,000 |
Fair Value, Measurements, Recurring [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 2,498,000 | 1,994,000 |
Fair Value, Measurements, Recurring [Member] | US Agency Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 15,287,000 | 7,020,000 |
Fair Value, Measurements, Recurring [Member] | Commercial Paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 3,697,000 | 2,497,000 |
Fair Value, Measurements, Recurring [Member] | Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 147,259,000 | 90,816,000 |
Fair Value, Measurements, Recurring [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 16,618,000 | 80,968,000 |
Fair Value, Measurements, Recurring [Member] | Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 2,000,000 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 16,618,000 | 80,968,000 |
Marketable securities | 2,498,000 | 1,994,000 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 2,498,000 | 1,994,000 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | US Agency Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | Commercial Paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 16,618,000 | 80,968,000 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 2,000,000 |
Marketable securities | 166,243,000 | 100,333,000 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | US Agency Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 15,287,000 | 7,020,000 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Commercial Paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 3,697,000 | 2,497,000 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Marketable securities | 147,259,000 | 90,816,000 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | $0 | $2,000,000 |
Stockbased_compensation_Narrat
Stock-based compensation - Narrative (Details) (USD $) | 0 Months Ended | 3 Months Ended | 1 Months Ended | 10 Months Ended | |
Feb. 13, 2015 | Mar. 31, 2015 | Mar. 31, 2014 | Jun. 30, 2014 | Mar. 31, 2015 | |
plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of stock-based employee compensation plans | 3 | ||||
Aggregate shares purchased by employees | 313,233 | ||||
Purchase price of shares purchased (in dollars per share) | $20.40 | ||||
Stock-based compensation | $26,501,000 | $4,037,000 | |||
ESPP [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Purchase price of common stock as percentage of fair value of Company common stock (percent) | 85.00% | ||||
Unearned stock-based compensation costs | 1,500,000 | 1,500,000 | |||
Unearned stock-based compensation, expected recognition period | 4 months 13 days | ||||
Stock-based compensation | 1,058,000 | 0 | |||
Stock Options [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unearned stock-based compensation costs | 66,300,000 | 66,300,000 | |||
Unearned stock-based compensation, expected recognition period | 2 years 7 months 6 days | ||||
Stock-based compensation | 5,957,000 | 2,894,000 | |||
RSUs [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unearned stock-based compensation costs | 70,300,000 | 70,300,000 | |||
Unearned stock-based compensation, expected recognition period | 2 years 3 months 18 days | ||||
Shares granted | 332,000 | ||||
Stock-based compensation | 18,920,000 | 179,000 | |||
RSUs [Member] | Chief Executive Officer (CEO) [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unearned stock-based compensation costs | 20,600,000 | 20,600,000 | |||
Unearned stock-based compensation, expected recognition period | 2 years 3 months | ||||
Shares granted | 4,500,000 | ||||
RSUs [Member] | Chief Executive Officer (CEO) [Member] | Vested Immediately [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares granted | 1,500,000 | ||||
RSUs [Member] | Chief Executive Officer (CEO) [Member] | Subject to Market-based and Service Condition [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares granted | 3,000,000 | ||||
Stock-based compensation expense | $15,800,000 | ||||
2010 Plan [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares issued | 0 | ||||
2010 Plan [Member] | Stock Options [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Expiration period | 10 years | ||||
Vesting period | 4 years | ||||
2014 Plan [Member] | RSUs [Member] | Vested Immediately [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 3 years | ||||
2014 Plan [Member] | RSUs [Member] | Subject to Market-based and Service Condition [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period | 4 years |
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, 2015 | Dec. 31, 2014 |
Shares | ||
Outstanding at beginning of period (shares) | 25,134 | |
Granted (shares) | 420 | |
Exercised (shares) | -4,143 | |
Forfeited/Cancelled (shares) | -74 | |
Outstanding at end of period (shares) | 21,337 | |
Weighted- average exercise price | ||
Outstanding at beginning of period (in dollars per share) | $6.62 | |
Granted (in dollars per share) | $45.56 | |
Exercised (in dollars per share) | $1.44 | |
Forfeited/Cancelled (in dollars per share) | $20.91 | |
Outstanding at end of period (in dollars per share) | $8.34 | |
Granted, Weighted average fair value at grant date (in dollars per share) | $22.47 | |
Exercised, Total intrinsic value of exercises | $203,784 | |
Aggregate intrinsic value | 756,135 | 1,425,339 |
Exercisable (shares) | 14,678 | |
Exercisable - Weighted average exercise price (in dollars per share) | $2.68 | |
Exercisable - Aggregate intrinsic value | 597,831 | |
Vested and expected to vest (shares) | 20,966 | |
Vested and expected to vest - Weighted average exercise price (in dollars per share) | $8.08 | |
Vested and expected to vest - Aggregate intrinsic value | $748,068 |
Stockbased_compensation_Restri
Stock-based compensation - Restricted Stock Units Activity (Details) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
RSAs [Member] | ||
Shares | ||
Non-vested shares at beginning of period (shares) | 17 | |
Vested (shares) | -17 | |
Non-vested shares at end of period (shares) | 0 | |
Weighted- average grant date fair value | ||
Non-vested shares at beginning of period (in dollars per share) | $6.30 | |
Non-vested shares at end of period (in dollars per share) | $0 | |
Aggregate intrinsic value, Non-vested shares | $0 | $1,017 |
RSUs [Member] | ||
Shares | ||
Non-vested shares at beginning of period (shares) | 4,307 | |
Granted (shares) | 332 | |
Vested (shares) | -817 | |
Forfeited (shares) | -8 | |
Non-vested shares at end of period (shares) | 3,814 | |
Weighted- average grant date fair value | ||
Non-vested shares at beginning of period (in dollars per share) | $21.98 | |
Granted (in dollars per share) | $46.42 | |
Vested (in dollars per share) | $15.80 | |
Forfeited (in dollars per share) | $79.22 | |
Non-vested shares at end of period (in dollars per share) | $25.30 |
Stockbased_compensation_Alloca
Stock-based compensation - Allocation of Stock-based Compensation Expense (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | $26,501 | $4,037 |
Total tax benefit recognized | -9,304 | -342 |
Decrease in net income | 17,197 | 3,695 |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | 5,957 | 2,894 |
RSUs [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | 18,920 | 179 |
RSAs [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | 566 | 964 |
ESPP [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | 1,058 | 0 |
Cost of Revenue [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | 283 | 168 |
Research and Development [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | 3,535 | 1,401 |
Selling and Marketing [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | 3,066 | 1,414 |
General and Administrative [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | $19,617 | $1,054 |
Net_income_per_share_attributa2
Net income per share attributable to common stockholders - Additional Information (Details) | 1 Months Ended |
Jun. 30, 2014 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Outstanding shares less than 10% of aggregate shares outstanding, conversion ratio | 1 |
Common Class A [Member] | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Common stock, number of voting rights | 1 |
Common Class B [Member] | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Common stock, number of voting rights | 10 |
Net_income_per_share_attributa3
Net income per share attributable to common stockholders - Basic and Diluted Net Income per Share Attributable to Common Stockholders (Details) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Numerator: | ||
Allocation of net income | $16,752 | $11,049 |
Less: net income allocable to participating securities | 0 | -3,040 |
Net income attributable to common stockholders—basic | 16,752 | 8,009 |
Add: net income allocable to dilutive participating securities | 0 | 443 |
Net income attributable to common stockholders—diluted | 16,752 | 8,452 |
Denominator: | ||
Weighted-average common shares—basic (in shares) | 132,278 | 81,582 |
Weighted-average common shares—diluted (in shares) | 148,573 | 100,783 |
Net income per share attributable to common stockholders - Basic (in dollars per share) | $0.13 | $0.10 |
Net income per share attributable to common stockholders - Diluted (in dollars per share) | $0.11 | $0.08 |
Class A [Member] | ||
Numerator: | ||
Allocation of net income | 8,926 | |
Less: net income allocable to participating securities | 0 | |
Net income attributable to common stockholders—basic | 8,926 | |
Add: net income allocable to dilutive participating securities | 0 | |
Reallocation of net income | 7,826 | |
Net income attributable to common stockholders—diluted | 16,752 | |
Denominator: | ||
Weighted-average common shares—basic (in shares) | 70,483 | |
Conversion of Class B to Class A common stock outstanding (in shares) | 61,795 | |
Effect of potentially dilutive stock options, ESPP shares and RSUs (in shares) | 16,295 | |
Weighted-average common shares—diluted (in shares) | 148,573 | |
Net income per share attributable to common stockholders - Basic (in dollars per share) | $0.13 | |
Net income per share attributable to common stockholders - Diluted (in dollars per share) | $0.11 | |
Class B [Member] | ||
Numerator: | ||
Allocation of net income | 7,826 | |
Less: net income allocable to participating securities | 0 | |
Net income attributable to common stockholders—basic | 7,826 | |
Add: net income allocable to dilutive participating securities | 0 | |
Reallocation of net income | 968 | |
Net income attributable to common stockholders—diluted | 8,794 | |
Denominator: | ||
Weighted-average common shares—basic (in shares) | 61,795 | |
Conversion of Class B to Class A common stock outstanding (in shares) | 0 | |
Effect of potentially dilutive stock options, ESPP shares and RSUs (in shares) | 16,202 | |
Weighted-average common shares—diluted (in shares) | 77,997 | |
Net income per share attributable to common stockholders - Basic (in dollars per share) | $0.13 | |
Net income per share attributable to common stockholders - Diluted (in dollars per share) | $0.11 | |
Common [Member] | ||
Numerator: | ||
Allocation of net income | 11,049 | |
Less: net income allocable to participating securities | -3,040 | |
Net income attributable to common stockholders—basic | 8,009 | |
Add: net income allocable to dilutive participating securities | 443 | |
Net income attributable to common stockholders—diluted | $8,452 | |
Denominator: | ||
Weighted-average common shares—basic (in shares) | 81,582 | |
Conversion of Class B to Class A common stock outstanding (in shares) | 0 | |
Effect of potentially dilutive stock options, ESPP shares and RSUs (in shares) | 19,201 | |
Weighted-average common shares—diluted (in shares) | 100,783 | |
Net income per share attributable to common stockholders - Basic (in dollars per share) | $0.10 | |
Net income per share attributable to common stockholders - Diluted (in dollars per share) | $0.08 |
Net_income_per_share_attributa4
Net income per share attributable to common stockholders - Antidilutive Securities Excluded from Computation of Net Income per Share (Details) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from the calculation of diluted shares outstanding (shares) | 1,989 | 34,608 |
Series A Redeemable Convertible Preferred Stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from the calculation of diluted shares outstanding (shares) | 0 | 30,523 |
Stock Options, ESPP Shares and RSUs [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from the calculation of diluted shares outstanding (shares) | 1,984 | 3,634 |
Unvested Stock Awards and Stock Options [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from the calculation of diluted shares outstanding (shares) | 5 | 451 |
Income_tax_expense_Details
Income tax expense (Details) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Income tax expense | $3,272,000 | $3,882,000 | |
Effective tax rate (percent) | 16.30% | 26.00% | |
Gross unrecognized tax benefits | 16,900,000 | 16,600,000 | |
Unrecognized tax benefits that would be recorded as reduction in income tax provision, if recognized | $16,900,000 |
Related_parties_Details
Related parties (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | |
Device | ||||
Company Affiliated with Investors [Member] | Related Party Transaction, Contract Manufacturing Agreement [Member] | ||||
Related Party Transaction [Line Items] | ||||
Payments made to affiliated vendor for services rendered | $500,000 | $8,400,000 | ||
Chief Executive Officer (CEO) [Member] | Related Party Transaction, Chartered Aircraft Expenses [Member] | ||||
Related Party Transaction [Line Items] | ||||
Payments to related parties | 400,000 | 0 | ||
Immediate Family Member of Member of the Board [Member] | ||||
Related Party Transaction [Line Items] | ||||
Naming rights agreement, period | 3 years | |||
Payments to be made to related party for naming rights | 500,000 | |||
Number of devices provided to related party at no cost | 100 | |||
Aggregate payments to related party for naming rights | 300,000 | |||
Executive Officer [Member] | Related Party Transaction, Demand Payment Loan [Member] | ||||
Related Party Transaction [Line Items] | ||||
Loan amount to executive officer pursuant to demand payment loan | $150,000 |
Commitments_contingencies_and_2
Commitments, contingencies and guarantees - Schedule of Company's Contractual Commitments (Details) (USD $) | Mar. 31, 2015 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies Disclosure [Abstract] | |
Operating leases | $44,004 |
Operating leases: 1 year (remaining 9 months in 2015) | 7,870 |
Operating leases: 2-3 years (2016 and 2017) | 21,927 |
Operating leases: 4-5 years (2018 and 2019) | 14,207 |
Operating leases: More than 5 years (beyond 2019) | 0 |
Sponsorship commitments | 11,314 |
Sponsorship commitments: 1 year (remaining 9 months in 2015) | 4,912 |
Sponsorship commitments: 2-3 years (2016 and 2017) | 6,402 |
Sponsorship commitments: 4-5 years (2018 and 2019) | 0 |
Sponsorship commitments: More than 5 years (beyond 2019) | 0 |
Other contractual commitments | 7,697 |
Other contractual commitments: 1 year (remaining 9 months in 2015) | 2,673 |
Other contractual commitments: 2-3 years (2016 and 2017) | 5,024 |
Other contractual commitments: 4-5 years (2018 and 2019) | 0 |
Other contractual commitments: More than 5 years (beyond 2019) | 0 |
Capital equipment purchase commitments | 16,107 |
Capital equipment purchase commitments: 1 year (remaining 9 months in 2015) | 16,107 |
Capital equipment purchase commitments: 2-3 years (2016 and 2017) | 0 |
Capital equipment purchase commitments: 4-5 years (2018 and 2019) | 0 |
Capital equipment purchase commitments: More than 5 years (beyond 2019) | 0 |
Total contractual cash obligations | 79,122 |
Total contractual cash obligations: 1 year (remaining 9 months in 2015) | 31,562 |
Total contractual cash obligations: 2-3 years (2016 and 2017) | 33,353 |
Total contractual cash obligations: 4-5 years (2018 and 2019) | 14,207 |
Total contractual cash obligations: More than 5 years (beyond 2019) | $0 |
Commitments_contingencies_and_3
Commitments, contingencies and guarantees - Schedule of Product Warranty Liability Activity (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | ||
Beginning balances | $6,405 | $3,870 |
Charged to cost of revenue | 6,044 | 271 |
Settlements of warranty claims | -3,480 | -1,590 |
Ending balances | $8,969 | $2,551 |
Commitments_contingencies_and_4
Commitments, contingencies and guarantees - Narrative (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Commitments and Contingencies Disclosure [Abstract] | ||
Rent expense | $2.40 | $1.30 |
Warranty liability | 8.5 | |
Warranty liability recorded as element of long-term liabilities | $0.40 |
Concentrations_of_risk_and_seg2
Concentrations of risk and segment information - Narrative (Details) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
country | |||
Risks and Uncertainties [Abstract] | |||
Accounts receivable sold during the period | $35,300,000 | $31,300,000 | |
Factoring fees | 300,000 | 300,000 | |
Revenue, Major Customer [Line Items] | |||
Revenue | 363,109,000 | 235,716,000 | |
United States [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenue | 155,300,000 | 110,700,000 | |
Formerly APAC to EMEA Region [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenue | 4,100,000 | ||
Number of countries previously included in the APAC region | 4 | ||
Outside the United States [Member] | |||
Revenue, Major Customer [Line Items] | |||
Long-lived assets | $28,800,000 | 25,400,000 |
Concentrations_of_risk_and_seg3
Concentrations of risk and segment information - Schedule of Customer Concentration by Risk Factor (Details) (Customer Concentration Risk [Member]) | 3 Months Ended | 12 Months Ended | 3 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | |
Accounts Receivable [Member] | A (Retailer) [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 16.00% | 17.00% | |
Accounts Receivable [Member] | B (Distributor) [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 26.00% | 14.00% | |
Accounts Receivable [Member] | C (Retailer) [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 10.00% | 11.00% | |
Accounts Receivable [Member] | D (Retailer) [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 12.00% | ||
Accounts Receivable [Member] | E (Distributor) [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 11.00% | ||
Sales Revenue [Member] | A (Retailer) [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 12.00% | 13.00% | |
Sales Revenue [Member] | B (Distributor) [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 10.00% |
Concentrations_of_risk_and_seg4
Concentrations of risk and segment information - Schedule of Revenue by Geographic Segment (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenue, Major Customer [Line Items] | ||
Revenue | $363,109 | $235,716 |
Americas [Member] | ||
Revenue, Major Customer [Line Items] | ||
Revenue | 180,093 | 125,166 |
Europe, Middle East and Africa [Member] | ||
Revenue, Major Customer [Line Items] | ||
Revenue | 139,079 | 84,174 |
Asia and Pacific Area Countries [Member] | ||
Revenue, Major Customer [Line Items] | ||
Revenue | $43,937 | $26,376 |