| Significant Accounting Policies [Text Block] | 1. Summary of Significant Accounting Policies Basis of Presentation Our fiscal years are based on a 52 53 December. December 26, 2020, June 26, 2021, ( second 2021” first six 2021” June 27, 2020, ( second 2020” first six 2020” three six June 26, 2021 June 27, 2020, 13 26 Our interim results are not June 26, 2021 six June 26, 2021. December 26, 2020, 2020 10 All significant consolidated transactions and balances have been eliminated in consolidation. Concentration of Credit Risk Financial instruments that potentially subject us to significant credit risk consist principally of cash equivalents, short-term investments and trade accounts receivable. We invest in a variety of financial instruments and, by policy, limit the amount of credit exposure with any one Our trade accounts receivable are presented net of an allowance for credit losses, which is determined in accordance with the guidance provided by Accounting Standards Update (“ASU”) 2016 13, Financial Instruments-Credit Losses (Topic 326 June 26, 2021 December 26, 2020 June 26, 2021, 19 may Inventories Inventories are stated at the lower of cost, determined on a first first Inventories by category were as follows ( in thousands June 26, December 26, 2021 2020 Raw materials and purchased parts $ 89,037 $ 83,755 Work in process 48,663 44,315 Finished goods 18,150 14,430 Total inventories $ 155,850 $ 142,500 Property, Plant and Equipment Depreciation and amortization of property, plant and equipment, both owned and under financing lease, is calculated principally on the straight-line method based on estimated useful lives of thirty forty five fifteen three ten not Property, plant and equipment, at cost, consisted of the following (in thousands) June 26, December 26, 2021 2020 Land and land improvements $ 8,393 $ 8,141 Buildings and building improvements 39,492 41,153 Machinery and equipment 60,402 65,342 108,287 114,636 Less accumulated depreciation and amortization (43,266 ) (47,720 ) Property, plant and equipment, net $ 65,021 $ 66,916 Cloud-based Enterprise Resource Planning Implementation Costs We have capitalized certain costs associated with the implementation of our new cloud-based Enterprise Resource Planning (“ERP”) system in accordance with Accounting Standard Codification (“ASC”) Topic 350, Intangibles Goodwill and Other 350” Unamortized capitalized cloud computing implementation costs totaled $12.9 million and $13.5 million at June 26, 2021 December 26, 2020, first 2021. first 2020 seven three six June 26, 2021, three six June 27, 2020, Segment Information We applied the provisions of ASC Topic 280, Segment Reporting 280” 280 June 24, 2021, Goodwill and Indefinite-Lived Intangibles, Other Intangible Assets and Long-lived Assets We evaluate goodwill and other indefinite-lived intangible assets, which are solely comprised of in-process research and development (“IPR&D”), for impairment annually and when an event occurs or circumstances change that indicate that the carrying value may not first second not We conduct our annual impairment test as of October 1st October 1, 2020 may 2, 2021. Long-lived assets, other than goodwill, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets might not may not not Product Warranty Product warranty costs are accrued in the period sales are recognized. Our products are generally sold with standard warranty periods, which differ by product, ranging from 12- to 36-months. Parts and labor are typically covered under the terms of the warranty agreement. Our warranty expense accruals are based on historical and estimated costs by product and configuration. From time-to-time we offer customers extended warranties beyond the standard warranty period. In those situations, the revenue relating to the extended warranty is deferred at its estimated relative standalone selling price and recognized on a straight-line basis over the contract period. Costs associated with our extended warranty contracts are expensed as incurred. Restructuring Costs We record restructuring activities including costs for one 420 420” Exit or Disposal Cost Obligations. 420 712, Nonretirement Postemployment Benefits. 4, Debt Issuance Costs We capitalized costs related to the issuance of debt. Debt issuance costs directly related to our Term Loan Credit Facility are presented within noncurrent liabilities as a reduction of long-term debt in our condensed consolidated balance sheets. The amortization of such costs is recognized as interest expense using the effective interest method over the term of the respective debt issue. Amortization related to deferred debt issuance costs and original discount costs was $0.2 million and $0.5 million for the three six June 26, 2021, three six June 27, 2020, Foreign Remeasurement and Currency Translation Assets and liabilities of our wholly owned foreign subsidiaries that use the U.S. Dollar as their functional currency are re-measured using exchange rates in effect at the end of the period, except for nonmonetary assets, such as inventories and property, plant and equipment, which are re-measured using historical exchange rates. Revenues and costs are re-measured using average exchange rates for the period, except for costs related to those balance sheet items that are re-measured using historical exchange rates. Gains and losses on foreign currency transactions are recognized as incurred. During the three six June 26, 2021, three six June 27, 2020, Foreign Exchange Derivative Contracts We operate and sell our products in various global markets. As a result, we are exposed to changes in foreign currency exchange rates. We enter into foreign currency forward contracts with a financial institution to hedge against future movements in foreign exchange rates that affect certain existing U.S. Dollar denominated assets and liabilities at our subsidiaries whose functional currency is the local currency. Under this program, our strategy is to have increases or decreases in our foreign currency exposures mitigated by gains or losses on the foreign currency forward contracts in order to mitigate the risks and volatility associated with foreign currency transaction gains or losses. We do not not 7, Share-Based Compensation We measure and recognize all share-based compensation under the fair value method. Our estimate of share-based compensation expense requires a number of complex and subjective assumptions including our stock price volatility, employee exercise patterns (expected life of the options) and related tax effects. The assumptions used in calculating the fair value of share-based awards represent our best estimates, but these estimates involve inherent uncertainties and the application of management judgment. Although we believe the assumptions and estimates we have made are reasonable and appropriate, changes in assumptions could materially impact our reported financial results. Reported share-based compensation is classified, in our condensed consolidated financial statements, as follows (in thousands) Three Months Ended Six Months Ended June 26, June 27, June 26, June 27, 2021 2020 2021 2020 Cost of sales $ 191 $ 211 $ 453 $ 423 Research and development 763 828 1,544 1,661 Selling, general and administrative 2,552 2,364 5,032 4,930 Total share-based compensation 3,506 3,403 7,029 7,014 Income tax benefit (180 ) (223 ) (414 ) (395 ) Total share-based compensation, net $ 3,326 $ 3,180 $ 6,615 $ 6,619 Income (Loss) Per Share Basic income (loss) per common share is computed by dividing net income (loss) by the weighted-average number of common shares outstanding during the reporting period. Diluted income (loss) per share includes the dilutive effect of common shares potentially issuable upon the exercise of stock options, vesting of outstanding restricted stock and performance stock units and issuance of stock under our employee stock purchase plan using the treasury stock method. In loss periods, potentially dilutive securities are excluded from the per share computations due to their anti-dilutive effect. For purposes of computing diluted income (loss) per share, stock options with exercise prices that exceed the average fair market value of our common stock for the period are excluded. For the three six June 26, 2021, three six June 27, 2020, The following table reconciles the denominators used in computing basic and diluted income (loss) per share ( in thousands) Three Months Ended Six Months Ended June 26, June 27, June 26, June 27, 2021 2020 2021 2020 Weighted average common shares 48,555 41,844 46,155 41,673 Effect of dilutive securities 919 - 1,323 - 49,474 41,844 47,478 41,673 Cohu has utilized the “control number” concept in the computation of diluted earnings per share to determine whether potential common stock instruments are dilutive. The control number used is income from continuing operations. The control number concept requires that the same number of potentially dilutive securities applied in computing diluted earnings per share from continuing operations be applied to all other categories of income or loss, regardless of their anti-dilutive effect on such categories. Leases We determine if a contract contains a lease at inception. Operating leases are included in operating lease right of use (“ROU”) assets, current other accrued liabilities, and long-term lease liabilities on our condensed consolidated balance sheets. Finance leases are included in property, plant and equipment, other current accrued liabilities, and long-term lease liabilities on our condensed consolidated balance sheets. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at the adoption date or the commencement date for leases entered into after the adoption date. As most of our leases do not The operating lease ROU asset also includes any lease payments made, lease incentives, favorable and unfavorable lease terms recognized in business acquisitions and excludes initial direct costs incurred and variable lease payments. Variable lease payments include estimated payments that are subject to reconciliations throughout the lease term, increases or decreases in the contractual rent payments, as a result of changes in indices or interest rates and tax payments that are based on prevailing rates. Our lease terms may Leases with an initial term of 12 not We sublease certain leased assets to third None Revenue Recognition Our net sales are derived from the sale of products and services and are adjusted for estimated returns and allowances, which historically have been insignificant. We recognize revenue when the obligations under the terms of a contract with our customers are satisfied; generally, this occurs with the transfer of control of our systems, non-system products or services. In circumstances where control is not Revenue for established products that have previously satisfied a customer’s acceptance requirements is generally recognized upon shipment. In cases where a prior history of customer acceptance cannot be demonstrated or from sales where customer payment dates are not Certain of our equipment sales have multiple performance obligations. These arrangements involve the delivery or performance of multiple performance obligations, and transfer of control of performance obligations may Unsatisfied performance obligations primarily represent contracts for products with future delivery dates. At June 26, 2021, one 606, not one We generally sell our equipment with a product warranty. The product warranty provides assurance to customers that delivered products are as specified in the contract (an “assurance-type warranty”). Therefore, we account for such product warranties under ASC 460, Guarantees 460” not The transaction price reflects our expectations about the consideration we will be entitled to receive from the customer and may not not Our contracts are typically less than one 606 one Accounts receivable represents our unconditional right to receive consideration from our customer. Payments terms do not one not no no On shipments where sales are not June 26, 2021, one December 26, 2020, one Net sales of our reportable segments, by type, are as follows (in thousands): Three Months Ended Six Months Ended Disaggregated Net Sales June 26, 2021 June 27, 2020 June 26, 2021 June 27, 2020 Systems: Semiconductor Test & Inspection $ 149,661 $ 74,011 $ 287,820 $ 144,550 PCB Test 9,211 8,109 17,831 14,949 Non-systems: Semiconductor Test & Inspection 81,464 57,417 155,711 114,891 PCB Test 4,467 4,547 8,929 8,615 Total net sales $ 244,803 $ 144,084 $ 470,291 $ 283,005 Revenue by geographic area based upon product shipment destination (in thousands Three Months Ended Six Months Ended Disaggregated Net Sales June 26, 2021 June 27, 2020 June 26, 2021 June 27, 2020 China $ 57,183 $ 31,133 $ 111,448 $ 61,944 Philippines 36,533 13,288 70,287 23,310 Taiwan 27,190 22,490 59,386 36,371 Malaysia 19,136 11,842 42,395 27,016 United States 21,878 20,550 41,937 39,628 Rest of the World 82,883 44,781 144,838 94,736 Total net sales $ 244,803 $ 144,084 $ 470,291 $ 283,005 A small number of customers historically have been responsible for a significant portion of our net sales. Significant customer concentration information, by reportable segment, is as follows: Three Months Ended Six Months Ended June 26, June 27, June 26, June 27, 2021 2020 2021 2020 Semiconductor Test & Inspection Customers individually accounting for more than 10% of net sales * * * one Percentage of net sales * * * 13% PCB Test Customers individually accounting for more than 10% of net sales * * * * Percentage of net sales * * * * * No 10% Accumulated Other Comprehensive Loss Our accumulated other comprehensive loss balance totaled approximately $14.2 million and $4.3 million at June 26, 2021 December 26, 2020, not first six 2021 2020 not Retiree Medical Benefits We provide post-retirement health benefits to certain retired executives, one no first six 2021 2020 not Business Divestitures and Discontinued Operations On June 24, 2021, February 2020, not Unless otherwise indicated, all amounts herein relate to continuing operations. For financial statement purposes, only the results of operations of our fixtures services business have been segregated from those of continuing operations and have been presented in our consolidated financial statements as discontinued operations for all periods presented. See Note 12, New Accounting Pronouncements There have been no 10 December 26, 2020. |
