Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Feb. 12, 2016 | Jun. 30, 2015 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | MAXWELL TECHNOLOGIES INC | ||
Entity Central Index Key | 319,815 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2015 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | mxwl | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Common Stock, Shares Outstanding | 31,849,932 | ||
Entity Public Float | $ 186,068,190 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 24,382,000 | $ 24,732,000 |
Restricted cash | 400,000 | 0 |
Trade and other accounts receivable, net of allowance for doubtful accounts of $252 and $143 at December 31, 2015 and 2014, respectively | 43,172,000 | 43,698,000 |
Inventories, net | 39,055,000 | 44,856,000 |
Prepaid expenses and other current assets | 2,593,000 | 2,426,000 |
Total current assets | 109,602,000 | 115,712,000 |
Property and equipment, net | 32,324,000 | 39,223,000 |
Goodwill | 23,635,000 | 23,599,000 |
Pension asset | 5,849,000 | 7,362,000 |
Other non-current assets | 603,000 | 704,000 |
Total assets | 172,013,000 | 186,600,000 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 33,985,000 | 27,011,000 |
Accrued employee compensation | 6,672,000 | 9,348,000 |
Deferred revenue and customer deposits | 3,066,000 | 703,000 |
Short-term borrowings and current portion of long-term debt | 42,000 | 15,549,000 |
Deferred tax liability | 0 | 1,111,000 |
Total current liabilities | 43,765,000 | 53,722,000 |
Deferred tax liability, long-term | 6,076,000 | 3,304,000 |
Long-term debt, excluding current portion | 49,000 | 20,000 |
Other long-term liabilities | 2,947,000 | 2,601,000 |
Total liabilities | $ 52,837,000 | $ 59,647,000 |
Commitments and contingencies (Note 10 and Note 12) | ||
Stockholders’ equity: | ||
Common stock, $0.10 par value per share, 40,000 shares authorized; 31,782 and 29,846 shares issued and outstanding at December 31, 2015 and 2014, respectively | $ 3,176,000 | $ 2,982,000 |
Additional paid-in capital | 291,505,000 | 277,314,000 |
Accumulated deficit | (180,399,000) | (158,066,000) |
Accumulated other comprehensive income | 4,894,000 | 4,723,000 |
Total stockholders’ equity | 119,176,000 | 126,953,000 |
Total liabilities and stockholders’ equity | $ 172,013,000 | $ 186,600,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Trade and other accounts receivable, allowance for doubtful accounts | $ 252 | $ 143 |
Common stock, par value | $ 0.10 | $ 0.10 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 31,782,000 | 29,846,000 |
Common stock, shares outstanding | 31,782,000 | 29,846,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Statement [Abstract] | |||
Revenue | $ 167,372 | $ 186,586 | $ 193,534 |
Cost of revenue | 116,410 | 118,143 | 118,244 |
Gross profit | 50,962 | 68,443 | 75,290 |
Operating expenses: | |||
Selling, general and administrative | 40,758 | 43,022 | 43,543 |
Research and development | 24,697 | 26,320 | 22,542 |
Restructuring and exit costs | 2,512 | 0 | 0 |
Total operating expenses | 67,967 | 69,342 | 66,085 |
Income (loss) from operations | (17,005) | (899) | 9,205 |
Interest expense, net | 266 | 169 | 4 |
Amortization of prepaid debt costs | 18 | 20 | 60 |
Foreign currency exchange loss, net | 441 | 838 | 649 |
Income (loss) before income taxes | (17,730) | (1,926) | 8,492 |
Income tax provision | 4,603 | 4,346 | 2,152 |
Net income (loss) | $ (22,333) | $ (6,272) | $ 6,340 |
Net income (loss) per share: | |||
Basic (in dollars per share) | $ (0.73) | $ (0.21) | $ 0.22 |
Diluted (in dollars per share) | $ (0.73) | $ (0.21) | $ 0.22 |
Weighted average common shares outstanding: | |||
Basic (in shares) | 30,716 | 29,216 | 28,869 |
Diluted (in shares) | 30,716 | 29,216 | 28,903 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Comprehensive Income [Abstract] | |||
Net income (loss) | $ (22,333) | $ (6,272) | $ 6,340 |
Other comprehensive income (loss), net of tax: | |||
Foreign currency translation adjustment | 1,574 | (10,445) | 2,428 |
Defined benefit pension plan, net of tax: | |||
Actuarial gain (loss) on benefit obligation and plan assets, net of tax benefit of $531 and $922, and tax provision of $597 for the years ended December 31, 2015, 2014 and 2013, respectively | (1,862) | (2,358) | 2,785 |
Amortization of deferred loss, net of tax provision of $10 and $32 for the years ended December 31, 2015 and 2013, respectively | 35 | 0 | 148 |
Amortization of prior service cost, net of tax provision of $30, $39 and $8 for the years ended December 31, 2015, 2014 and 2013, respectively | 106 | 101 | 36 |
Settlements and plan changes, net of tax provision of $91 and $118, and tax benefit of $173 for the years ended December 31, 2015, 2014 and 2013, respectively | 318 | 302 | (805) |
Other comprehensive income (loss), net of tax | 171 | (12,400) | 4,592 |
Comprehensive income (loss) | $ (22,162) | $ (18,672) | $ 10,932 |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Comprehensive Income [Abstract] | |||
Tax benefit from (provision for) actuarial (loss) gain on benefit obligation and plan assets | $ 531 | $ 922 | $ (597) |
Tax benefit from (provision for) amortization of net loss recognized in net periodic benefit cost | (10) | 0 | (32) |
Tax benefit from (provision for) amortization of prior service cost recognized in net periodic benefit cost | (30) | (39) | (8) |
Tax benefit from (provision for) settlement | $ (91) | $ (118) | $ 173 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Income [Member] |
Beginning balance, shares at Dec. 31, 2012 | 29,162 | ||||
Beginning balance at Dec. 31, 2012 | $ 124,933 | $ 2,913 | $ 267,623 | $ (158,134) | $ 12,531 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Common stock issued under employee benefit plans, shares | 67 | ||||
Common stock issued under employee benefit plans | 412 | $ 7 | 405 | ||
Share-based compensation, shares | 359 | ||||
Share-based compensation | 3,980 | $ 36 | 3,944 | ||
Repurchase and cancellation of restricted shares, shares | (25) | ||||
Repurchase and cancellation of restricted shares | 47 | $ 3 | 44 | ||
Net income (loss) | 6,340 | 6,340 | |||
Other Comprehensive Income | |||||
Foreign currency translation adjustment | 2,428 | 2,428 | |||
Pension adjustment, net of tax provision (benefit) | 2,164 | 2,164 | |||
Ending balance, shares at Dec. 31, 2013 | 29,563 | ||||
Ending balance at Dec. 31, 2013 | 140,210 | $ 2,953 | 271,928 | (151,794) | 17,123 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Common stock issued under employee benefit plans, shares | 175 | ||||
Common stock issued under employee benefit plans | 1,450 | $ 18 | 1,432 | ||
Share-based compensation, shares | 312 | ||||
Share-based compensation | 3,964 | $ 31 | 3,933 | ||
Repurchase and cancellation of restricted shares, shares | (204) | ||||
Repurchase and cancellation of restricted shares | 1 | $ 20 | 21 | ||
Net income (loss) | (6,272) | (6,272) | |||
Other Comprehensive Income | |||||
Foreign currency translation adjustment | (10,445) | (10,445) | |||
Pension adjustment, net of tax provision (benefit) | (1,955) | (1,955) | |||
Ending balance, shares at Dec. 31, 2014 | 29,846 | ||||
Ending balance at Dec. 31, 2014 | 126,953 | $ 2,982 | 277,314 | (158,066) | 4,723 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Common stock issued under employee benefit plans, shares | 142 | ||||
Common stock issued under employee benefit plans | 875 | $ 14 | 861 | ||
Share-based compensation, shares | 80 | ||||
Share-based compensation | 3,946 | $ 8 | 3,938 | ||
Proceeds from issuance of common stock, shares | 1,831 | ||||
Proceeds from issuance of common stock, net | 9,564 | $ 183 | 9,381 | ||
Cancellation of restricted shares, shares | (117) | ||||
Cancellation of restricted shares | 0 | $ 11 | 11 | ||
Net income (loss) | (22,333) | (22,333) | |||
Other Comprehensive Income | |||||
Foreign currency translation adjustment | 1,574 | 1,574 | |||
Pension adjustment, net of tax provision (benefit) | (1,403) | (1,403) | |||
Ending balance, shares at Dec. 31, 2015 | 31,782 | ||||
Ending balance at Dec. 31, 2015 | $ 119,176 | $ 3,176 | $ 291,505 | $ (180,399) | $ 4,894 |
Consolidated Statements of Sto8
Consolidated Statements of Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Stockholders' Equity [Abstract] | |||
Tax on pension adjustment | $ 400 | $ 765 | $ (464) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Operating activities: | |||
Net income (loss) | $ (22,333,000) | $ (6,272,000) | $ 6,340,000 |
Adjustments to reconcile net income (loss) to net cash from operating activities: | |||
Depreciation | 11,385,000 | 11,159,000 | 8,880,000 |
Amortization of intangible assets | 166,000 | 203,000 | 299,000 |
Amortization of prepaid debt costs | 18,000 | 20,000 | 60,000 |
Loss on lease due to restructuring | 1,043,000 | 0 | 0 |
Pension cost | 412,000 | 319,000 | 20,000 |
Stock-based compensation expense | 3,946,000 | 3,967,000 | 3,980,000 |
Unrealized loss (gain) on foreign currency exchange rates | 1,631,000 | (2,126,000) | 0 |
Release of tax valuation allowance | (170,000) | 0 | 0 |
Provision for (recovery of) losses on accounts receivable | 281,000 | 20,000 | (35,000) |
Provision for losses on inventory | 541,000 | 910,000 | 1,622,000 |
Provision for warranties | 1,327,000 | 717,000 | 0 |
Changes in operating assets and liabilities: | |||
Trade and other accounts receivable | 315,000 | (15,100,000) | 3,729,000 |
Inventories | 5,251,000 | (1,520,000) | (4,568,000) |
Prepaid expenses and other assets | (53,000) | (99,000) | 129,000 |
Pension asset | (650,000) | (724,000) | 0 |
Deferred tax liability | 2,017,000 | 2,250,000 | 994,000 |
Accounts payable and accrued liabilities | 5,031,000 | 144,000 | (2,559,000) |
Deferred revenue and customer deposits | 2,362,000 | 46,000 | (5,365,000) |
Accrued employee compensation | (2,670,000) | 651,000 | 4,018,000 |
Other long-term liabilities | (470,000) | (728,000) | 2,347,000 |
Net cash provided by (used in) operating activities | 9,380,000 | (6,163,000) | 19,891,000 |
Investing activities: | |||
Purchases of property and equipment | (4,143,000) | (6,975,000) | (16,850,000) |
Net cash used in investing activities | (4,143,000) | (6,975,000) | (16,850,000) |
Financing activities: | |||
Principal payments on long-term debt and short-term borrowings | (18,845,000) | (7,164,000) | (10,430,000) |
Proceeds from long-term and short-term borrowings | 3,040,000 | 15,279,000 | 8,709,000 |
Repurchase of shares | 0 | 0 | (47,000) |
Proceeds from issuance of common stock under equity compensation plans | 875,000 | 1,448,000 | 412,000 |
Proceeds from sale of common stock, net of offering costs | 9,564,000 | 0 | 0 |
Restricted cash - compensating balance | (400,000) | 0 | 0 |
Net cash provided by (used in) financing activities | (5,766,000) | 9,563,000 | (1,356,000) |
Increase (decrease) in cash and cash equivalents from operations | (529,000) | (3,575,000) | 1,685,000 |
Effect of exchange rate changes on cash and cash equivalents | 179,000 | (2,340,000) | 223,000 |
Increase (decrease) in cash and cash equivalents | (350,000) | (5,915,000) | 1,908,000 |
Cash and cash equivalents at beginning of year | 24,732,000 | 30,647,000 | 28,739,000 |
Cash and cash equivalents at end of year | 24,382,000 | 24,732,000 | 30,647,000 |
Cash paid for: | |||
Interest | 245,000 | 223,000 | 190,000 |
Income taxes | 3,475,000 | 3,304,000 | 1,950,000 |
Purchases of property and equipment included in accounts payable and accrued liabilities | $ 345,000 | $ 889,000 | $ 575,000 |
Description of Business and Sum
Description of Business and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business and Summary of Significant Accounting Policies | Description of Business and Summary of Significant Accounting Policies Description of Business Maxwell Technologies, Inc. is a Delaware corporation originally incorporated in 1965 under the name Maxwell Laboratories, Inc. In 1983, the Company completed an initial public offering, and in 1996, changed its name to Maxwell Technologies, Inc. The Company is headquartered in San Diego, California, and has three manufacturing facilities located in San Diego, California; Rossens, Switzerland; and Peoria, Arizona. In addition, the Company has two contract manufacturers located in China. Maxwell operates as single operating segment, which is comprised of three product lines: • Ultracapacitors: Maxwell's primary focus, ultracapacitors, are energy storage devices that possess a unique combination of high power density, extremely long operational life and the ability to charge and discharge very rapidly. Maxwell's ultracapacitor cells and multi-cell packs and modules provide highly reliable energy storage and power delivery solutions for applications in multiple industries, including transportation, automotive, information technology, renewable energy and industrial electronics. • High-Voltage Capacitors: Maxwell's CONDIS ® high-voltage capacitors are designed and manufactured to perform reliably for decades in all climates. These products include grading and coupling capacitors and electronic voltage transformers that are used to ensure the safety and reliability of electric utility infrastructure and other applications involving transport, distribution and measurement of high-voltage electrical energy. • Radiation-Hardened Microelectronic Products: Maxwell's radiation-hardened microelectronic products for satellites and spacecraft include single board computers and components, such as high-density memory and data conversion modules. Many of these products incorporate Maxwell's proprietary RADPAK ® packaging and shielding technology and novel architectures that enable them to withstand the effects of environmental radiation and perform reliably in space. The Company’s products are designed and manufactured to perform reliably for the life of the products and systems into which they are integrated. The Company achieves high reliability through the application of proprietary technologies and rigorously controlled design, development, manufacturing and test processes. Financial Statement Presentation The accompanying consolidated financial statements include the accounts of Maxwell Technologies, Inc. and its subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). All intercompany transactions and account balances have been eliminated in consolidation. Liquidity As of December 31, 2015 , the Company had approximately $24.4 million in cash and cash equivalents and working capital of $65.8 million . In July 2015, the Company entered into a loan agreement with East West Bank (“EWB”), whereby EWB made available to the Company a secured credit facility in the form of a revolving line of credit which is available up to a maximum of the lesser of: (a) $25.0 million ; or (b) a certain percentage of domestic and foreign trade receivables. As of December 31, 2015 , there were no drawings under this revolving line of credit and the amount available was $22.7 million . Management believes the available cash balance, along with the available borrowings under the revolving line of credit, will be sufficient to fund operations, obligations as they become due, and capital investments for at least the next twelve months. Reclassifications Foreign currency exchange gains and losses have been reclassified from "cost of revenue" and "selling, general and administrative" expenses to "foreign currency exchange gains and losses, net" in the consolidated statement of operations for the years ended December 31, 2014 and 2013 to conform to the current period presentation. These reclassifications do not impact reported net income (loss) and do not otherwise have a material impact on the presentation of the overall financial statements. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect reported amounts and related disclosures. These estimates include, but are not limited to, assessing the collectability of accounts receivable, applied and unapplied production costs, production capacities, the usage and recoverability of inventories and long-lived assets, deferred income taxes, the incurrence of warranty obligations, impairment of goodwill, estimation of the cost to complete certain projects, estimation of pension assets and liabilities, accruals for estimated losses from legal matters, and estimation of the value of stock-based compensation awards, including the probability that the performance criteria of restricted stock awards and restricted stock units awards will be met. Revenue Recognition Revenue is derived primarily from the sale of manufactured products directly to customers. Product revenue is recognized, according to the guidelines of the Securities and Exchange Commission (“SEC”) Staff Accounting Bulletin (“SAB”) Numbers 101, Revenue Recognition in Financial Statements , and 104, Revenue Recognition , when all of the following criteria are met: (1) persuasive evidence of an arrangement exists (upon contract signing or receipt of an authorized purchase order from a customer); (2) title passes to the customer at either shipment from the Company’s facilities or receipt at the customer facility, depending on shipping terms; (3) customer payment is deemed fixed or determinable and free of contingencies or significant uncertainties; and (4) collectability is reasonably assured. This policy has been consistently applied from period to period. A portion of our sales revenue is derived from sales to distributors. Distributor revenue is recognized when all of the criteria for revenue recognition are met, which is generally the time of shipment to the distributor; all returns and credits are estimable and not significant. Revenue from production-type contracts, which represent less than five percent of total revenue, is recognized using the percentage of completion method. The degree of completion is determined based on costs incurred as a percentage of total costs anticipated, excluding costs that are not representative of progress to completion. Total deferred revenue and customer deposits in the consolidated balance sheets as of December 31, 2015 and 2014 of $3.1 million and $703,000 , respectively, relates to cash received from customers on sales for which the revenue recognition criteria had not been achieved, customer advances, as well as other less significant customer arrangements requiring the deferral of revenue. Cash and Cash Equivalents Cash and cash equivalents consist primarily of cash in readily available checking accounts. Cash equivalents consist of highly liquid investments that are readily convertible to cash and that mature within three months or less from the date of purchase. The carrying amounts approximate fair value due to the short maturities of these instruments. Restricted Cash Restricted cash as of December 31, 2015 consists of a $400,000 cash balance on deposit to secure certain ongoing banking transactions. Accounts Receivable and Allowance for Doubtful Accounts Trade receivables are stated at gross invoiced amount less an allowance for uncollectible accounts. The allowance for doubtful accounts reflects management’s best estimate of probable losses inherent in the accounts receivable balance. Management determines the allowance for doubtful accounts based on known troubled accounts, historical experience and other currently available evidence. Inventories, net Inventories are stated at the lower of cost (first-in first-out basis) or market. Finished goods and work-in-process inventory values include the cost of raw materials, labor and manufacturing overhead. Consigned inventory includes finished goods delivered to customers for which the related sale has not met the revenue recognition criteria and revenue has not been recognized. Inventory when written down to market value establishes a new cost basis and its value is not subsequently increased based upon changes in underlying facts and circumstances. The Company makes adjustments to reduce the cost of inventory to its net realizable value, if required, for estimated excess or obsolete inventories. Factors influencing these adjustments include inventories on-hand compared with historical and estimated future sales for existing and new products and assumptions about the likelihood of obsolescence. Unabsorbed costs are treated as expense in the period incurred. Property and Equipment Property and equipment are carried at cost and are depreciated using the straight-line method. Depreciation is provided over the estimated useful lives of the related assets ( three to ten years). Leasehold improvements are depreciated over the shorter of their estimated useful life or the term of the lease. Leasehold improvements funded by landlords are recorded as property and equipment, which is depreciated over the shorter of the estimated useful life of the asset or the lease term, and deferred rent, which is amortized over the lease term. As of December 31, 2015 and 2014 , the net book value of leasehold improvements funded by landlords was $2.2 million and $2.5 million , respectively. As of December 31, 2015 and 2014 , the unamortized balance of deferred rent related to landlord funding of leasehold improvements was $2.2 million and $2.7 million , respectively, which is included in "accounts payable and accrued liabilities" and "other long-term liabilities" in the consolidated balance sheets. Goodwill Goodwill, which represents the excess of the cost of an acquired business over the net fair value assigned to its assets and liabilities, is not amortized. Instead, goodwill is assessed for impairment under the Intangibles—Goodwill and Other Topic of the FASB ASC. The Company has established December 31 as the annual impairment test date. The Company first makes a qualitative assessment as to whether goodwill is impaired and if it is more likely than not that goodwill is impaired, the Company performs a two-step quantitative impairment analysis to determine if goodwill is impaired. The Company may also determine to skip the qualitative assessment in any year and move directly to the quantitative test. No impairments of goodwill were reported during the years ended December 31, 2015 , 2014 and 2013 . Impairment of Long-Lived Assets Property and equipment are reviewed for impairment whenever events or changes in circumstances indicate the carrying value of the assets may not be recoverable. If the Company determines that the carrying value of the asset is not recoverable, a permanent impairment charge is recorded for the amount by which the carrying value of the long-lived asset exceeds its fair value. No impairments of property and equipment were recorded during the years ended December 31, 2015 , 2014 and 2013 . Warranty Obligation The Company provides warranties on all product sales. The majority of the Company’s warranties are for one to eight years in the normal course of business. The Company accrues for the estimated warranty costs at the time of sale based on historical warranty experience plus any known or expected changes in warranty exposure. As of December 31, 2015 and 2014 , the accrued warranty liability included in "accounts payable and accrued liabilities" in the consolidated balance sheets was $1.3 million and $716,000 , respectively. Income Taxes Deferred income taxes are provided on a liability method in accordance with the Income Taxes Topic of the FASB ASC, whereby deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Under this method, deferred income taxes are recorded to reflect the tax consequences on future years of temporary differences between the tax basis of assets and liabilities and their reported amounts at each period end. If it is more likely than not that some portion or all of a deferred tax asset will not be realized, a valuation allowance is recognized. The guidance also provides criteria for the recognition, measurement, presentation and disclosures of uncertain tax positions. A tax benefit from an uncertain tax position may be recognized if it is “more likely than not” that the position is sustainable based solely on its technical merits. Concentration of Credit Risk The Company maintains cash balances at various financial institutions primarily in California and in Switzerland. In California, cash balances commonly exceed the $250,000 Federal Deposit Insurance Corporation insurance limit. In Switzerland, the banks where the Company has cash deposits are either government-owned, or in the case of cash deposited with non-government banks, deposits are insured up to 100,000 Swiss Francs. The Company has not experienced any losses in such accounts and management believes that the Company is not exposed to any significant credit risk with respect to such cash and cash equivalents. Financial instruments, which subject the Company to potential concentrations of credit risk, consist principally of the Company’s accounts receivable. The Company’s accounts receivable result from product sales to customers in various industries and in various geographical areas, both domestic and foreign. The Company performs credit evaluations of its customers and generally requires no collateral. One customer, Shenzhen Xinlikang Supply China Management Co. LTD., accounted for 19% of total revenues in 2015 , 20% of total revenues in 2014 , and 22% of total revenues in 2013 , and accounted for 33% of total accounts receivable as of December 31, 2015 . There were no customers that accounted for more than 10% of accounts receivable as of December 31, 2014 . Research and Development Expense Research and development expenditures are expensed in the period incurred. Third-party funding of research and development expense under cost-sharing arrangements is recorded as an offset to research and development expense in the period the expenses are incurred. Research and development expense was $24.7 million , $26.3 million and $22.5 million , net of third-party funding under cost-sharing arrangements of $1.3 million , $1.0 million and $1.3 million , for the years ended December 31, 2015 , 2014 and 2013 , respectively. Advertising Expense Advertising costs are expensed in the period incurred. Advertising expense was $1.1 million , $1.4 million and $884,000 for the years ended December 31, 2015 , 2014 and 2013 , respectively. Shipping and Handling Expense The Company recognizes shipping and handling expenses as a component of cost of revenue. Total shipping and handling expense included in cost of revenue was $1.0 million , $1.5 million , and $1.3 million for the years ended December 31, 2015 , 2014 and 2013 , respectively. Foreign Currencies The Company’s primary foreign currency exposure is related to its subsidiary in Switzerland, which has Euro and local currency (Swiss Franc) revenue and operating expenses, and local currency loans. Changes in these currency exchange rates impact the reported U.S. dollar amount of revenue, expenses and debt. The functional currency of the Swiss subsidiary is the Swiss Franc. Assets and liabilities of the Swiss subsidiary are translated at month-end exchange rates, and revenues, expenses, gains and losses are translated at rates of exchange that approximate the rate in effect at the time of the transaction. Any translation adjustments resulting from this process are presented separately as a component of accumulated other comprehensive income within stockholders’ equity in the consolidated balance sheets. Foreign currency transaction gains and losses on intercompany balances considered long term in nature are accounted for as translation adjustments within equity. All other foreign currency transaction gains and losses are reported in "foreign currency exchange loss, net" in the consolidated statements of operations. Foreign Currency Derivative Instruments As part of its risk management strategy, the Company uses forward contracts to hedge certain foreign currency exposures. The Company's objective is to partially offset gains or losses resulting from these exposures with opposing gains or losses on the forward contracts, thereby reducing volatility of earnings created by these foreign currency exposures. In accordance with the Derivatives and Hedging Topic of the FASB ASC, the fair values of the forward contracts are estimated at each period end based on quoted market prices and are recorded as a net asset or liability on the consolidated balance sheets. These contracts are considered economic hedges but are not designated as hedges under the Derivatives and Hedging Topic of the FASB ASC, therefore, the change in the fair value of the instruments is recognized currently in the consolidated statements of operations and is recorded in "foreign currency exchange loss, net" in the consolidated statements of operations. Net Income (Loss) per Share In accordance with the Earnings Per Share Topic of the FASB ASC, basic net income (loss) per share is calculated using the weighted average number of common shares outstanding during the period. Diluted net income per share includes the impact of additional common shares that would have been outstanding if dilutive potential common shares were issued. Potentially dilutive securities are not considered in the calculation of diluted net loss per share, as their inclusion would be anti-dilutive. The following table sets forth the computation of basic and diluted net income (loss) per share (in thousands, except per share data): Years Ended December 31, 2015 2014 2013 Numerator Net income (loss) $ (22,333 ) $ (6,272 ) $ 6,340 Denominator Weighted average common shares outstanding 30,716 29,216 28,869 Effect of potentially dilutive securities Options to purchase common stock — — 16 Restricted stock awards — — 3 Restricted stock unit awards — — 14 Employee stock purchase plan — — 1 Weighted average common shares outstanding, assuming dilution 30,716 29,216 28,903 Net income (loss) per share Basic $ (0.73 ) $ (0.21 ) $ 0.22 Diluted $ (0.73 ) $ (0.21 ) $ 0.22 The following table summarizes instruments that may be convertible into common shares that are not included in the denominator used in the diluted net income (loss) per share calculation because to do so would be anti-dilutive (in thousands): Common Stock 2015 2014 2013 Outstanding options to purchase common stock 931 672 790 Unvested restricted stock awards 245 528 424 Unvested restricted stock unit awards 885 224 — Employee stock purchase plan awards 10 9 1 Stock-Based Compensation The Company issues stock-based compensation awards to its employees and non-employee directors, including stock options, restricted stock, restricted stock units, and shares under an employee stock purchase plan. The Company records compensation expense for stock-based awards in accordance with the criteria set forth in the Stock Compensation Subtopic of the FASB ASC. The Company uses the Black-Scholes option pricing model to estimate the fair value of stock option grants. The determination of the fair value of stock options utilizing the Black-Scholes model is affected by the Company’s stock price and a number of assumptions, including expected volatility, expected term, risk-free interest rate and expected dividends. The fair value of restricted stock awards ("RSAs") and restricted stock unit awards ("RSUs") with service-based or performance-based vesting is based on the closing market price of the Company’s common stock on the date of grant. Compensation expense equal to the fair value of each RSA or RSU is recognized ratably over the requisite service period. For RSAs and RSUs with vesting contingent on Company performance conditions, the Company uses the requisite service period that is most likely to occur. The requisite service period is estimated based on the performance period as well as any time-based service requirements. If it is unlikely that a performance condition will be achieved, no compensation expense is recognized unless it is later determined that achievement of the performance condition is likely. Expense may be adjusted for changes in the expected outcomes of the related performance conditions, with the impact of such changes recognized as a cumulative adjustment in the consolidated statement of operations in the period in which the expectation changes. In 2014, the Company issued market-condition RSUs to certain members of executive management. Since the vesting of the market-condition RSUs is dependent on stock price performance, the fair values of these awards were estimated using a Monte-Carlo valuation model. The determination of the fair value of market-condition RSUs utilizing a Monte-Carlo valuation model was affected by the Company’s stock price and a number of assumptions, including expected volatility, expected life, risk-free interest rate and expected dividends. Share-based compensation expense recognized in the consolidated statements of operations is based on equity awards ultimately expected to vest. The FASB ASC requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods with a cumulative catch up adjustment if actual forfeitures differ from those estimates. For market-condition awards, because the effect of the market-condition is reflected as a discount to the awards' fair value at grant date, subsequent forfeitures due to the Company's stock price performance do not result in a reversal of expense. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers . The standard provides companies with a single model for accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance, including industry-specific revenue guidance. The core principle of the model is to recognize revenue when control of the goods or services transfers to the customer, as opposed to recognizing revenue when the risks and rewards transfer to the customer under the existing revenue guidance. The guidance permits companies to either apply the requirements retrospectively to all prior periods presented, or apply the requirements in the year of adoption, through a cumulative adjustment. In August 2015, the FASB issued ASU 2015-14, Deferral of the Effective date , which defers the required adoption date of ASU 2014-09 by one year. As a result of the deferred effective date, ASU 2014-09 will be effective for the Company in its first quarter of fiscal 2018. Early adoption is permitted but not before the original effective date of the new standard of the first quarter of fiscal 2017. The Company is in the process of evaluating the transition method that will be elected and the impact of adoption on its consolidated financial statements. In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern . The standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued and provides guidance on determining when and how to disclose going concern uncertainties in the financial statements. Certain disclosures will be required if conditions give rise to substantial doubt about an entity’s ability to continue as a going concern. ASU 2014-15 applies to all entities and is effective for annual and interim reporting periods ending after December 15, 2016, with early adoption permitted. The Company does not expect that the adoption of this standard will have a material effect on its financial statements. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs . The update changes the presentation of debt issuance costs to a direct deduction from the related debt liability rather than as an asset. Amortization of the costs will continue to be reported as interest expense. ASU 2015-03 is effective for annual and interim reporting periods ending after December 15, 2015. Early adoption is permitted, and the new guidance is to be applied on a retrospective basis to all prior periods. The Company does not expect that the adoption of this standard will have a material effect on its financial statements. In November 2015, the FASB issued ASU No. 2015-17 , Balance Sheet Classification of Deferred Taxes, to simplify the presentation of deferred taxes. This amendment requires that all deferred tax assets and liabilities, along with any related valuation allowances, be classified as noncurrent on the balance sheet. ASU 2015-17 is effective for annual and interim reporting periods ending after December 15, 2017. Early adoption is permitted, and the new guidance may be applied either prospectively or retrospectively. The Company has adopted this guidance prospectively as of December 31, 2015. Therefore, prior periods have not been adjusted to reflect this adoption. In July 2015, the FASB issued ASU No. 2015-11, Simplifying the Measurement of Inventory . The new guidance was issued to more closely align the measurement of inventory in U.S. GAAP with the measurement of inventory in International Financial Reporting Standards. The core principle of this updated guidance is that an entity should measure inventory at the lower of cost or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The amendments in ASU 2015-11 apply to inventory that is measured using the first-in, first-out or average cost methods. ASU 2015-11 is effective for annual and interim reporting periods ending after December 15, 2016, including interim periods within those fiscal years, and should be applied prospectively. Early adoption is permitted as of the beginning of an interim or annual reporting period. The Company does not expect that the adoption of this standard will have a material effect on its financial statements. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments—Overall (Subtopic 825-10) . This standard makes several modifications to Subtopic 825-10 including the elimination of the available-for-sale classification of equity investments, and requires equity investments with readily determinable fair values to be measured at fair value with changes in fair value recognized in net income. It is effective for interim and annual periods beginning after December 15, 2017. The Company does not expect that the adoption of this standard will have a material effect on its financial statements. Business Enterprise Information The Company operates as a single operating segment. According to the FASB ASC Topic Disclosures about Segments of an Enterprise and Related Information , operating segments are defined as components of an enterprise for which separate financial information is evaluated regularly by the chief operating decision maker ("CODM") in deciding how to allocate resources and in assessing performance. The Company’s CODM is the Chief Executive Officer who evaluates the Company’s financial information and resources and assesses performance on a consolidated basis. Revenues by product line and geographic area are presented below (in thousands): Years ended December 31, 2015 2014 2013 Revenues by product line: Ultracapacitors $ 114,525 $ 135,637 $ 136,277 High-voltage capacitors 41,718 40,361 43,339 Microelectronic products 11,129 10,588 13,918 Total $ 167,372 $ 186,586 $ 193,534 Years ended December 31, 2015 2014 2013 Revenues from external customers located in: China $ 87,856 $ 89,143 $ 92,817 United States 20,836 23,758 29,090 Germany 13,972 16,384 25,935 All other countries (1) 44,708 57,301 45,692 Total $ 167,372 $ 186,586 $ 193,534 _____________ (1) Revenue from external customers located in countries included in “All other countries” do not individually comprise more than 10% of total revenues for any of the years presented. Long-lived assets by geographic location are as follows (in thousands): As of December 31, 2015 2014 2013 Long-lived assets: United States $ 22,267 $ 28,013 $ 33,740 China 4,148 4,991 5,444 Switzerland 6,021 5,663 6,422 Total $ 32,436 $ 38,667 $ 45,606 |
Balance Sheet Details
Balance Sheet Details | 12 Months Ended |
Dec. 31, 2015 | |
Balance Sheet Related Disclosures [Abstract] | |
Balance Sheet Details | Balance Sheet Details (in thousands): December 31, 2015 2014 Inventories, net: Raw material and purchased parts $ 21,126 $ 23,042 Work-in-process 4,367 2,522 Finished goods 16,913 23,127 Consigned finished goods 28 184 Reserves (3,379 ) (4,019 ) Total inventories, net $ 39,055 $ 44,856 Property and equipment, net: Machinery, furniture and office equipment $ 76,077 $ 72,323 Computer hardware and software 12,235 12,003 Leasehold improvements 16,883 16,661 Construction in progress 2,527 2,715 Property and equipment, gross 107,722 103,702 Less accumulated depreciation and amortization (75,398 ) (64,479 ) Total property and equipment, net $ 32,324 $ 39,223 Accounts payable and accrued liabilities: Accounts payable $ 22,291 $ 12,544 Income tax payable 1,376 1,852 Accrued warranty 1,288 716 Other accrued liabilities 9,030 11,899 Total accounts payable and accrued liabilities $ 33,985 $ 27,011 Foreign Currency Translation Adjustment Defined Benefit Pension Plan Accumulated Other Comprehensive Income Affected Line Item in the Statement of Operations Accumulated other comprehensive income: Balance at December 31, 2014 $ 8,359 $ (3,636 ) $ 4,723 Other comprehensive income before reclassification 1,574 — 1,574 Amounts reclassified from accumulated other comprehensive income (loss) — (1,403 ) (1,403 ) Cost of Sales, Selling, General and Administrative and Research and Development Expense Net other comprehensive income for the year ended December 31, 2015 1,574 (1,403 ) 171 Balance at December 31, 2015 $ 9,933 $ (5,039 ) $ 4,894 |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Goodwill The Company reviews goodwill for impairment annually according to the Intangibles—Goodwill and Other Topic of the FASB ASC. The Company makes a qualitative evaluation about the likelihood of goodwill impairment and if it concludes that it is more likely than not that the carrying amount of a reporting unit is greater than its fair value, then it will be required to perform the first step of the two-step quantitative impairment test. Otherwise, performing the two-step impairment test is unnecessary. The first step consists of estimating the fair value and comparing the estimated fair value with the carrying value of the reporting unit. If the fair value is less than the carrying value, a second step is performed to compute the amount of the impairment by determining an implied fair value of goodwill. The implied fair value of goodwill is the residual fair value derived by deducting the fair value of a reporting unit’s assets and liabilities from its estimated total fair value, which was calculated in step one. An impairment charge would represent the excess of the carrying amount of the reporting unit’s goodwill over the implied fair value of the goodwill. The guidance requires goodwill to be reviewed annually at the same time every year or when an event occurs or circumstances change such that it is reasonably possible that an impairment may exist. The Company selected December 31 as its annual testing date. As a result of the Company’s annual assessments as of December 31, 2015 , 2014 , and 2013 , no impairment was indicated. The change in the carrying amount of goodwill during 2014 and 2015 was as follows (in thousands): Balance at December 31, 2013 $ 25,978 Foreign currency translation adjustments (2,379 ) Balance at December 31, 2014 23,599 Foreign currency translation adjustments 36 Balance at December 31, 2015 $ 23,635 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurement The Company records certain financial instruments at fair value in accordance with the Fair Value Measurements and Disclosures Topic of the FASB ASC. As of December 31, 2015 , the financial instruments to which this topic applied were financial instruments for foreign currency forward contracts and pension assets. As of December 31, 2015 , the fair value of foreign currency forward contracts was an asset of $16,000 , which is recorded in “trade and other accounts receivable” in the consolidated balance sheet. The fair value of derivative instruments is measured using models following quoted market prices in active markets for identical instruments, which is a Level 2 input under the fair value hierarchy of the Fair Value Measurements and Disclosures Topic of the FASB ASC. All forward contracts as of December 31, 2015 had approximately a one-month original maturity term and matured on January 5, 2016 or February 2, 2016. Also see Note 6 , Foreign Currency Derivative Instruments , and Note 11 , Pension and Other Postretirement Benefit Plans , of this Annual Report on Form 10-K, for further discussion of fair value measurements. The carrying value of short-term and long-term borrowings approximates fair value because of the relative short maturity of these instruments and the interest rates the Company could currently obtain. |
Credit Facilities
Credit Facilities | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Borrowings | Credit Facilities Revolving Line of Credit In July 2015, the Company entered into a Loan and Security Agreement (the “Loan Agreement”) with East West Bank (“EWB”), whereby EWB made available to the Company a secured credit facility in the form of a revolving line of credit (the “Revolving Line of Credit”). The Revolving Line of Credit is available up to a maximum of the lesser of: (a) $25.0 million ; or (b) a certain percentage of domestic and foreign trade receivables. As of December 31, 2015 the amount available under the Revolving Line of Credit was $22.7 million . In general, amounts borrowed under the Revolving Line of Credit are secured by a lien on all of the Company’s assets, including its intellectual property, as well as a pledge of 100% of its equity interests in the Company’s Swiss subsidiary. The obligations under the Loan Agreement are guaranteed by the Swiss subsidiary. The Revolving Line of Credit will mature on July 3, 2018; however, repayment of amounts owed pursuant to the Loan Agreement may be accelerated in the event that the Company is in violation of the representations, warranties and covenants made in the Loan Agreement, including certain financial covenants set forth therein. The financial covenants that the Company is required to meet during the term of the credit agreement include a minimum four-quarter rolling EBITDA, a quarterly minimum quick ratio and a monthly minimum cash requirement. Amounts borrowed under the Revolving Line of Credit bear interest, payable monthly. Such interest shall accrue based upon, at the Company’s election, subject to certain limitations, either the Prime Rate plus a margin ranging from 0% to 0.50% or the LIBOR Rate plus a margin ranging from 2.75% to 3.25% , the specific rate for each as determined based upon the Company’s leverage ratio from time to time. The Company is required to pay an annual commitment fee of $125,000 , and an unused commitment fee of the average daily unused amount of the Revolving Line of Credit, payable monthly, equal to a per annum rate in a range of 0.30% to 0.50% , as determined by the Company’s leverage ratio on the last day of the previous fiscal quarter. No amounts have been borrowed under the Revolving Line of Credit as of December 31, 2015 . Former Credit Facility In December 2011, the Company obtained a secured credit facility in the form of a revolving line of credit (the “Former Revolving Line of Credit”) and an equipment term loan (the “Equipment Term Loan”) (together, the “Former Credit Facility”). Borrowings under the Former Credit Facility bore interest, payable monthly, at either (i) the bank's prime rate or (ii) LIBOR plus 2.25% , at the Company's option subject to certain limitations. The Equipment Term Loan was available to finance 80% of eligible equipment purchases made between April 1, 2011 and April 30, 2012. During this period, the Company borrowed $5.0 million under the Equipment Term Loan. The balance of the Equipment Term Loan was paid in full by the maturity date of April 30, 2015. Concurrently with entering into the Loan Agreement described above, in July 2015, the Company repaid all outstanding loans under the Former Revolving Line of Credit and the Former Credit Facility was terminated. The Company did not incur any early termination or prepayment penalties under the Former Credit Facility in connection with the above transactions. Other Long-term Borrowings Maxwell SA has various financing agreements for vehicles. These agreements are for up to an original three -year repayment period with interest rates ranging from 1.9% to 5.1% . At December 31, 2015 and 2014 , $91,000 and $82,000 , respectively, was outstanding under these agreements. |
Foreign Currency Derivative Ins
Foreign Currency Derivative Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Foreign Currency Derivatives [Abstract] | |
Foreign Currency Derivative Instruments | Foreign Currency Derivative Instruments Maxwell uses forward contracts to hedge certain monetary assets and liabilities, primarily receivables and payables, and cash balances, denominated in foreign currencies. The change in fair value of these forward contracts represents a natural hedge as gains and losses on these instruments partially offset the changes in the fair value of the underlying monetary assets and liabilities due to movements in currency exchange rates. These forward contracts generally expire in one month. These contracts are considered economic hedges but are not designated as hedges under the Derivatives and Hedging Topic of the FASB ASC, therefore, the change in the fair value of the instruments is recognized currently in the consolidated statements of operations. The net gains and losses on foreign currency forward contracts included in "foreign currency exchange loss, net" in the consolidated statements of operations are as follows (in thousands): Year Ended December 31, 2015 2014 2013 Total gain (loss) $ (720 ) $ (5,265 ) $ 359 The net gains and losses on foreign currency derivative contracts were partially offset by net gains and losses on the underlying monetary assets and liabilities. Foreign currency gains and losses on those underlying monetary assets and liabilities included in "foreign currency exchange loss, net" in the consolidated statements of operations are as follows (in thousands): Year Ended December 31, 2015 2014 2013 Total gain (loss) $ 179 $ 4,391 $ (1,009 ) As of December 31, 2015 , the total notional amount of foreign currency forward contracts not designated as hedges was $1.3 million . The following table presents gross amounts, amounts offset and net amounts presented in the consolidated balance sheets for the Company's derivative instruments measured at fair value (in thousands): December 31, 2015 December 31, 2014 Gross amounts of recognized asset (liability) $ 66 $ (1,993 ) Gross amounts offset in the consolidated balance sheets (50 ) 350 Net amount of recognized asset (liability) presented in the consolidated balance sheets $ 16 $ (1,643 ) The Company has the legal right to offset these recognized assets and liabilities upon settlement of the derivative instruments. All of the forward contracts outstanding at December 31, 2015 matured on January 5, 2016 or February 2, 2016. For additional information, refer to Note 4 , Fair Value Measurements . |
Stock Plans
Stock Plans | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Plans | Stock Plans Equity Incentive Plans The Company has two active share-based compensation plans as of December 31, 2015 : the 2004 Employee Stock Purchase Plan (“ESPP”) and the 2013 Omnibus Equity Incentive Plan (the “Incentive Plan”), as approved by the stockholders. Under the Incentive Plan, incentive stock options, non-qualified stock options, restricted stock awards and restricted stock units have been granted to employees and non-employee directors. Generally, these awards vest over periods of one to four years. In addition, equity awards have been issued to senior management where vesting of the award is tied to Company performance or market conditions. The Company’s policy is to issue new shares of its common stock upon the exercise of stock options, vesting of restricted stock units, granting of restricted stock awards or ESPP purchases. The Company’s Incentive Plan currently provides for an equity incentive pool of 3,750,000 shares. Shares reserved for issuance are replenished by forfeited shares. Additionally, equity awards forfeited under the Company’s 2005 equity incentive plan are added to the total shares available for issuance under the Incentive Plan. For the year ended December 31, 2015 , the tax benefit associated with stock option exercises, restricted stock unit vesting, restricted stock grants, and disqualifying dispositions of both incentive stock options and stock issued under the Company’s ESPP, was approximately $1.4 million . No tax benefits were recognized in the years ended December 31, 2015 , 2014 or 2013 because excess tax benefits were not realized by the Company. Stock Options The Company grants stock options to its employees and executive management on a discretionary basis. The following table summarizes total aggregate stock option activity for the year ended December 31, 2015 (in thousands, except for per share data): Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Balance at December 31, 2014 672 $ 12.00 Granted 322 6.72 Exercised (19 ) 6.80 Cancelled (44 ) 11.70 Balance at December 31, 2015 931 $ 10.19 3.85 $ 196 Vested or expected to vest at December 31, 2015 886 $ 10.38 3.57 $ 162 Exercisable at December 31, 2015 638 $ 11.81 1.34 $ 16 The weighted-average grant date fair value of stock options granted during the years ended December 31, 2015 and 2013 was $3.34 and $2.89 , respectively. No stock options were granted during the year ended December 31, 2014 . The total intrinsic value of options exercised during the years ended December 31, 2015 , 2014 and 2013 was $16,000 , $638,000 and $18,000 , respectively. Cash proceeds from option exercises for the year ended December 31, 2015 were $128,000 . The fair value of the stock options granted during the years ended December 31, 2015 and 2013 was estimated using the Black-Scholes valuation model using the following assumptions: Years Ended December 31, 2015 2013 Expected dividends — % — % Expected volatility range 60% to 61% 58% to 69% Expected volatility weighted average 60 % 63 % Risk-free interest rate 1.6 % 1.1% to 2.1% Expected life/term weighted average (in years) 4.9 2.9 The expected dividend yield is zero because the Company has never paid cash dividends and has no present intention to pay cash dividends. The expected term is based on the Company’s historical experience from previous stock option grants. Expected volatility is based on the historical volatility of the Company’s stock measured over a period commensurate with the expected option term. The Company does not consider implied volatility due to the low volume of publicly traded options in the Company's stock. The risk-free interest rate is derived from the zero coupon rate on U.S. Treasury instruments with a term comparable to the option’s expected term. As of December 31, 2015 , there was $741,000 of total unrecognized compensation cost related to stock options. The cost is expected to be recognized over a weighted average period of 3.3 years . Restricted Stock Awards In 2011, the Company began granting restricted stock awards ("RSAs") to its employees as part of its annual equity incentive award programs. Generally, vesting of RSAs is contingent upon a period of service, typically four years. In addition, the Company granted performance RSAs to executive management with vesting contingent upon specified Company performance conditions; however, no performance RSAs vested or are expected to vest. During the year ended December 31, 2014 , the Company ceased granting RSAs and began granting restricted stock unit awards ("RSUs") to employees and executive management as part of its annual equity incentive award program. The following table summarizes RSA activity for the year ended December 31, 2015 (in thousands, except for per share data): Shares Weighted Average Grant Date Fair Value Nonvested at December 31, 2014 528 $ 13.77 Vested (180 ) 15.58 Forfeited (103 ) 10.37 Nonvested at December 31, 2015 245 $ 13.87 The weighted average grant date fair value of RSAs granted during the years ended December 31, 2014 and 2013 was $14.21 and $10.20 , respectively. No RSAs were granted during the year ended December 31, 2015 . The vest date fair value of RSAs vested in 2015 , 2014 and 2013 was $1.2 million , $1.2 million and $916,000 , respectively. As of December 31, 2015 , there was $2.4 million of unrecognized compensation cost related to nonvested RSAs expected to be recognized over a weighted average period of 1.7 years. Restricted Stock Units Non-employee directors receive annual RSU awards, normally in February of each year, as partial consideration for their annual retainer compensation. These awards vest in full one year from the date of grant provided the non-employee director provides continued service. Beginning in 2014, the Company began granting RSUs to employees and executive management as part of its annual equity incentive award program. The majority of RSU awards are service-based and vest in equal installments over four years of continuous service. Each RSU represents the right to receive one unrestricted share of the Company’s common stock upon vesting. The following table summarizes RSU activity for the year ended December 31, 2015 (in thousands, except for per share data): Shares Weighted Average Grant Date Fair Value Nonvested at December 31, 2014 224 $ 10.02 Granted 829 7.02 Vested (80 ) 10.02 Forfeited (88 ) 8.57 Nonvested at December 31, 2015 885 $ 7.36 The weighted average grant date fair value of RSUs granted in the years ended December 31, 2015 , 2014 and 2013 was $7.02 , $12.63 and $10.25 , respectively. The vest date fair value of RSUs vested in 2015 , 2014 and 2013 was $498,000 , $631,000 and $275,000 , respectively. As of December 31, 2015 , there was $2.9 million of unrecognized compensation cost related to nonvested RSU awards. The cost is expected to be recognized over a weighted average period of 2.5 years . Included in RSU activity above are 215,000 and 50,000 performance-RSUs granted in the years ended December 31, 2015 and 2014 with an average grant date fair value of $7.18 and $10.85 per share, respectively, and vesting contingent upon specified Company performance conditions. Also included in RSUs are 70,000 market-condition RSUs granted in 2014, which vest upon the achievement of certain stock price thresholds and the completion of three years of continuous employment from the date of grant and have an average grant date fair value of $7.71 per share. Since the vesting of the market-condition RSUs is dependent on stock price performance, the fair values of these awards were estimated using a Monte-Carlo valuation model with the following weighted-average assumptions: Year ended December 31, 2014 Market price at grant per share $ 15.03 Expected dividends — Expected volatility 65 % Risk-free interest rate 0.86 % The following table summarizes the amount of compensation expense recognized for RSUs for the years ended December 31, 2015 , 2014 and 2013 (in thousands): Years Ended December 31, 2015 2014 2013 Service-based restricted stock units $ 1,362 $ 749 $ 592 Performance-based restricted stock units (28 ) 28 — Market-condition restricted stock units 128 90 — Total compensation expense recognized for employee restricted stock units $ 1,462 $ 867 $ 592 Employee Stock Purchase Plan In 2013, the Company amended and restated the 2004 Employee Stock Purchase Plan (“ESPP”). Pursuant to the ESPP, the aggregate number of shares of common stock which may be purchased shall not exceed 1,000,000 shares of common stock of the Company. For the years ended December 31, 2015 and 2014 , 145,733 and 93,588 shares, respectively, were purchased under the ESPP. The ESPP permits substantially all employees to purchase common stock through payroll deductions, at 85% of the lower of the trading price of the stock at the beginning or at the end of each six -month offering period. The number of shares purchased is based on participants’ contributions made during the offering period. The fair value of the “look back” option for ESPP shares issued during the offering period is estimated using the Black-Scholes valuation model for a call and a put option. The share price used for the model is a 15% discount on the stock price on the last trading day before the offering period; the number of shares to be purchased is based on employee contributions. The fair value of ESPP awards was calculated using the following weighted-average assumptions: Years Ended December 31, 2015 2014 2013 Expected dividends — % — % — % Stock price on valuation date 5.97 8.47 7.77 Expected volatility 57 % 77 % 46 % Risk-free interest rate 0.29 % 0.08 % 0.07 % Expected life (in years) 0.5 0.4 0.3 Fair value per share $ 1.86 $ 4.56 $ 2.45 The intrinsic value of shares of the Company’s stock purchased pursuant to the ESPP for offering periods within the years ended December 31, 2015 , 2014 and 2013 was $210,000 , $449,000 and $33,000 , respectively. Stock-based Compensation Expense Compensation cost for stock options, restricted stock, restricted stock units and the ESPP is as follows (in thousands): Years Ended December 31, 2015 2014 2013 Stock options $ 232 $ 52 $ 827 Restricted stock 1,974 2,536 2,491 Restricted stock units 1,462 867 592 ESPP 278 512 70 Total stock-based compensation expense $ 3,946 $ 3,967 $ 3,980 Stock-based compensation cost included in cost of revenue; selling, general and administrative expense; and research and development expense is as follows (in thousands): Years Ended December 31, 2015 2014 2013 Cost of revenue $ 644 $ 740 $ 1,079 Selling, general and administrative 2,502 2,362 2,140 Research and development 800 865 761 Total stock-based compensation expense $ 3,946 $ 3,967 $ 3,980 Share Reservations The following table summarizes the reservation of shares under the Company's stock-based compensation plans as of December 31, 2015 : 2013 Omnibus Equity Incentive Plan 2,200,800 2004 Employee Stock Purchase Plan 307,126 Total 2,507,926 |
Stock Offering
Stock Offering | 12 Months Ended |
Dec. 31, 2015 | |
Stock Offering [Abstract] | |
Stock offering | Shelf Registration Statement On June 3, 2014, the Company filed a shelf registration statement on Form S-3 with the U.S. Securities and Exchange Commission ("SEC") to, from time to time, sell up to an aggregate of $125 million of any combination of its common stock, warrants, debt securities or units. On June 30, 2014, the registration statement was declared effective by the SEC. On April 23, 2015, the Company entered into an At-the-Market Equity Offering Sales Agreement (“Sales Agreement”) with Cowen and Company, LLC (“Cowen”) pursuant to which they could sell, up to an aggregate of $10.0 million in shares of common stock through Cowen, as sales agent. Under the Sales Agreement, the Company agreed to pay Cowen a commission equal to 3.0% of the gross proceeds from the sale of shares of our common stock. On June 11, 2015, the Company completed the sale of approximately $10.0 million of common stock and terminated the offering. Approximately 1.83 million shares were sold in the offering at an average share price of $5.46 . The Company received net proceeds of $9.6 million after commissions and offering costs of $406,000 . Due to a late Form 8-K filing by the Company on June 1, 2015, which was due by May 29, 2015, the Company is currently ineligible to use its shelf registration statement beginning on the filing date of this Annual Report on Form 10-K. The Company expects to again be eligible as of June 1, 2016. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes For financial reporting purposes, income (loss) before income taxes includes the following components (in thousands): Years Ended December 31, 2015 2014 2013 United States $ (35,074 ) $ (19,301 ) $ (5,270 ) Foreign 17,344 17,375 13,762 Total $ (17,730 ) $ (1,926 ) $ 8,492 The provision for income taxes based on income (loss) before income taxes is as follows (in thousands): Years Ended December 31, 2015 2014 2013 Federal: Current $ — $ — $ (258 ) Deferred (4,297 ) (5,608 ) 222 (4,297 ) (5,608 ) (36 ) State: Current 6 6 6 Deferred 62 853 88 68 859 94 Foreign: Current 4,930 2,453 2,022 Deferred 8 1,944 311 4,938 4,397 2,333 Increase (decrease) in valuation allowance 3,894 4,698 (239 ) Tax provision $ 4,603 $ 4,346 $ 2,152 The provision for income taxes in the accompanying consolidated statements of operations differs from the amount calculated by applying the statutory income tax rate to income (loss) from continuing operations before income taxes. The primary components of such difference are as follows (in thousands): Years Ended December 31, 2015 2014 2013 Taxes at federal statutory rate $ (6,028 ) $ (655 ) $ 2,888 State taxes, net of federal benefit (236 ) (90 ) (29 ) Effect of tax rate differential for foreign subsidiary (2,641 ) (3,570 ) (2,531 ) Valuation allowance, including tax benefits of stock activity 3,894 4,698 (239 ) Foreign taxes on unremitted earnings 2,085 1,590 — Stock-based compensation 134 621 460 Foreign withholding taxes 180 — — Return to provision adjustments 1,131 536 (920 ) Subpart F income inclusion 5,914 1,167 2,446 Other 170 49 77 Tax provision $ 4,603 $ 4,346 $ 2,152 The Company has established a valuation allowance against its U.S. federal and state deferred tax assets due to the uncertainty surrounding the realization of such assets as evidenced by the cumulative losses from operations through December 31, 2015 . Management periodically evaluates the recoverability of the deferred tax assets. At such time as it is determined that it is more likely than not that deferred assets are realizable, the valuation allowance will be reduced accordingly and recorded as a tax benefit, with the exception of $15.5 million which will impact additional paid in capital as discussed below. The Company has recorded a valuation allowance of $68.1 million as of December 31, 2015 to reflect the estimated amount of deferred tax assets that may not be realized. The Company released its valuation allowance related to its Germany subsidiary of $316,000 as the Company believes that it is more likely than not that the deferred tax assets will be realized. The Company increased its valuation allowance by $3.9 million for the year ended December 31, 2015 . At December 31, 2015 , the Company has federal and state net operating loss carryforwards of approximately $152.9 million and $61.2 million , respectively. The federal tax loss carryforwards will begin to expire in 2020 and the state tax loss carryforwards will begin to expire in 2016. In addition, the Company has research and development and other tax credit carryforwards for federal and state income tax purposes as of December 31, 2015 of $6.1 million and $7.7 million , respectively. The federal credits will begin to expire in 2019 unless utilized and the state credits have an indefinite life. Pursuant to Internal Revenue Code Sections 382 and 383, use of the Company’s federal net operating loss and credit carryforwards may be limited due to a cumulative change in ownership of more than 50% within a three-year period. Excess tax benefits associated with stock option exercises, restricted stock grants, and disqualifying dispositions of both incentive stock options and stock issued from the Company’s Employee Stock Purchase Plan in the amount of $3.5 million and $3.6 million , for 2015 and 2014 , respectively, did not reduce current income taxes payable and, accordingly, are not included in the deferred tax asset relating to net operating loss carryforwards, but are included with the federal and state net operating loss carryforwards disclosed in this footnote. The tax benefits associated with stock option deductions from 1998 to 2005 in the amount of $15.5 million were not recorded in additional paid-in capital because their realization was not more likely than not to occur and, consequently, a valuation allowance was recorded against the entire benefit. The Company has been granted a tax holiday in Switzerland, which is effective as of January 1, 2012 for 10 years. The tax holiday is conditional upon the Company meeting certain employment and investment thresholds. The impact of this tax holiday decreased foreign taxes by $672,000 and $665,000 for 2015 and 2014 , respectively. The benefit of the tax holiday on net loss per diluted share was $0.02 and $0.02 for 2015 and 2014 , respectively. The Company records U.S. income taxes on the undistributed earnings of foreign subsidiaries unless the subsidiaries’ earnings are considered indefinitely reinvested outside of the U.S. As a result of changes in the Company's financial projections, the Company changed its estimate of amounts considered permanently reinvested. Therefore, in the years ended December 31, 2015 and 2014 , the Company recorded a deferred tax liability of $2.1 million and $1.6 million , respectively, associated with $41.7 million and $31.8 million , respectively, of unremitted earnings of a foreign subsidiary that are no longer considered indefinitely reinvested. In the event that the Company repatriates these funds, this withholding tax would become payable to the Swiss government. As of December 31, 2015 , the cumulative amount of undistributed earnings considered indefinitely reinvested was $10.2 million . Determination of the amount of any unrecognized deferred income tax liability on the excess of the financial reporting basis over the tax basis of investments in foreign subsidiaries is not practicable because of the complexities of the hypothetical calculation. Items that give rise to significant portions of the deferred tax accounts are as follows (in thousands): December 31, 2015 2014 Deferred tax assets: Tax loss carryforwards $ 52,504 $ 54,551 Tax credit carryforwards 19 19 Uniform capitalization, contract and inventory related reserves 1,558 1,728 Accrued vacation 592 669 Stock-based compensation 1,466 1,428 Capitalized research and development 6,212 — Tax basis depreciation less book depreciation 1,019 — Intangible assets 1,533 1,364 Deferred revenue 254 149 Accrued foreign taxes 1,271 — Unrealized gains and losses — 1,780 Other 2,527 2,668 Total 68,955 64,356 Deferred tax liabilities: Inventory deduction (235 ) (206 ) Pension assets (1,173 ) (1,476 ) Allowance for doubtful accounts (378 ) (407 ) Tax basis depreciation less book depreciation — (192 ) Withholding tax on undistributed earnings of foreign subsidiary (3,675 ) (1,590 ) Unrealized gains and losses (984 ) — Other (1 ) (241 ) Total (6,446 ) (4,112 ) Net deferred tax assets before valuation allowance 62,509 60,244 Valuation allowance (68,093 ) (64,199 ) Net deferred tax liabilities $ (5,584 ) $ (3,955 ) As of December 31, 2015 and 2014 , deferred tax assets of $491,000 and $460,000 , respectively were included in other non-current assets in the consolidated balance sheet. The Company accounts for uncertain tax benefits in accordance with the provisions of section 740-10 of the Accounting for Uncertainty in Income Taxes Topic of the FASB ASC. Of the total unrecognized tax benefits at December 31, 2015 , approximately $13.8 million was recorded as a reduction to deferred tax assets, which caused a corresponding reduction in the Company’s valuation allowance of $13.8 million . To the extent unrecognized tax benefits are recognized at a time when a valuation allowance does not exist, the recognition of the $13.8 million tax benefit would reduce the effective tax rate. The Company does not anticipate that the amount of unrecognized tax benefits as of December 31, 2015 will change materially within the 12 month period following December 31, 2015 . A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): Balance at December 31, 2013 $ 12,634 Increase in current period positions 890 Decrease in prior period positions (1,585 ) Balance at December 31, 2014 11,939 Increase in current period positions 1,466 Increase in prior period positions 609 Balance at December 31, 2015 $ 14,014 The Company recognizes interest and penalties as a component of income tax expense. Interest and penalties for the years ended December 31, 2015 , 2014 and 2013 were $119,000 , $34,000 and $126,000 , respectively. The Company’s U.S. federal income tax returns for tax years subsequent to 2009 are subject to examination by the Internal Revenue Service and its state income tax returns subsequent to 2008 are subject to examination by state tax authorities. The Company’s foreign tax returns subsequent to 2004 are subject to examination by the foreign tax authorities. Net operating losses from years for which the statute of limitations has expired (2008 and prior for federal and 2007 and prior for state) could be adjusted in the event that the taxing jurisdictions challenge the amounts of net operating loss carryforwards from such years. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2015 | |
Leases [Abstract] | |
Leases | Leases Rental expense amounted to $5.0 million , $5.6 million and $5.1 million for the years ended December 31, 2015 , 2014 and 2013 , respectively, and was incurred primarily for facility leases. Future annual minimum rental commitments as of December 31, 2015 are as follows (in thousands): Fiscal Years 2016 $ 4,316 2017 3,652 2018 2,274 2019 2,266 2020 1,266 Thereafter 2,407 Total $ 16,181 |
Pension and Other Postretiremen
Pension and Other Postretirement Benefit Plans | 12 Months Ended |
Dec. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Pension and Other Postretirement Benefit Plans | Pension and Other Postretirement Benefit Plans Foreign Plan The Compensation—Retirement Benefits Subtopic of the FASB ASC requires balance sheet recognition of the total over funded or underfunded status of pension and postretirement benefit plans. Under the guidance, actuarial gains and losses, prior service costs or credits, and any remaining transition assets or obligations that have not been recognized under previous accounting standards must be recognized as a component of accumulated other comprehensive income within stockholders’ equity, net of tax effects, until they are amortized as a component of net periodic benefit cost (income). The Company’s plan is regulated by the Swiss Government and is funded by the employees and the Company. The pension benefit is based on compensation, length of service and credited investment earnings. The plan guarantees both a minimum rate of return as well as minimum annuity purchase rates. The Company’s funding policy with respect to the pension plan is to contribute the amount required by Swiss law, using the required percentage applied to the employee’s compensation. In addition, participating employees are required to contribute to the pension plan. The Company made pension contributions of $640,000 , $720,000 and $722,000 in 2015 , 2014 and 2013 , respectively; 45% of the total contributions to the plan each year are made by the employees. This plan has a measurement date of December 31. The Company does not have any rights to the assets of the plan other than the right to offset the liabilities of the plan. The net pension asset decreased from $7.4 million to $5.8 million during the year ended December 31, 2015 . The decrease in plan assets was primarily due to a significant number of employee departures and the corresponding benefits paid from account balances combined with a decreased return on plan assets. The increase in the benefit obligation was affected by an actuarial loss resulting from assumption changes made to reflect current market conditions as well as other plan costs. This increase was partially offset by the amount of benefits paid. The accumulated benefit obligation was approximately $31.3 million as of December 31, 2015 and 2014 . The plan is fully funded and continues to be in a surplus condition. The following table reflects changes in the pension benefit obligation and plan assets for the years ended December 31, 2015 and 2014 (in thousands): Pension Benefits Years ended December 31, 2015 2014 Change in benefit obligation: Benefit obligation at beginning of year $ 33,006 $ 32,577 Service cost 958 846 Interest cost 332 697 Plan participant contributions 523 593 Benefits paid (3,064 ) (3,018 ) Actuarial loss 1,262 4,974 Plan change 83 — Effect of foreign currency translation 53 (3,663 ) Projected benefit obligation at end of year 33,153 33,006 Changes in plan assets: Fair value of plan assets at beginning of year 40,368 43,145 Actual return on plan assets 419 3,478 Company contributions 640 720 Plan participant contributions 523 593 Benefits paid (3,064 ) (3,018 ) Effect of foreign currency translation 116 (4,550 ) Fair value of plan assets at end of year 39,002 40,368 Funded status at end of year $ 5,849 $ 7,362 Amounts recognized in the consolidated balance sheets consist of (in thousands): As of December 31, 2015 2014 Net long-term pension asset $ 5,849 $ 7,362 Accumulated other comprehensive loss consists of the following: Net prior service cost 837 853 Net loss 5,668 3,897 Accumulated other comprehensive loss before taxes $ 6,505 $ 4,750 The components of net periodic pension cost and other amounts recognized in other comprehensive income (loss) before taxes are as follows (in thousands): Years ended December 31, 2015 2014 2013 Components of net periodic pension cost: Service cost $ 958 $ 846 $ 831 Interest cost 332 697 504 Expected return on plan assets (1,551 ) (1,784 ) (1,539 ) Prior service cost amortization 136 140 44 Deferred loss amortization 45 — 180 Settlement cost 492 420 — Net periodic pension cost $ 412 $ 319 $ 20 Other amounts recognized in other comprehensive income (loss) before income taxes are as follows: Prior service cost amortization $ (136 ) $ (140 ) $ (44 ) Loss (gain) on value of plan assets 1,131 (1,695 ) (2,977 ) Actuarial (gain) loss on benefit obligation 1,262 4,975 (405 ) Plan change 83 — 978 Settlement (492 ) (420 ) — Deferred loss amortization (45 ) — (180 ) Total recognized in other comprehensive income (loss), before taxes $ 1,803 $ 2,720 $ (2,628 ) Total recognized in net periodic pension cost and other comprehensive income (loss), before taxes $ 2,215 $ 3,039 $ (2,608 ) Assumptions used to determine the benefit obligation and net periodic pension cost are as follows: Pension Benefits Years ended December 31, 2015 2014 Weighted-average assumptions used to determine benefit obligation: Discount rate 0.75 % 1.00 % Rate of compensation increase 2.50 % 2.50 % Measurement date 11/30/2015 12/31/2014 Weighted-average assumptions used to determine net periodic pension cost: Discount rate 1.00 % 2.25 % Expected long-term return on plan assets 3.75 % 4.25 % Rate of compensation increase 2.50 % 2.50 % Percentage of the fair value of total plan assets held in each major category of plan assets: Equity securities 29 % 33 % Debt securities 23 % 22 % Real estate investment funds 43 % 40 % Other 5 % 5 % Total 100 % 100 % The pension plan’s overall strategy and investment policy is managed by the board of the plan. The overall long-term rate is based on the target asset allocation of 14% Swiss bonds, 10% non-Swiss hedged bonds, 10% Swiss equities, 15% global equities, 40% real estate, 5% emerging market equities, 4% alternative investments and 2% cash and other short-term investments. The 2016 expected future long-term rate of return is estimated to be 3.00% , which is based on historical asset rates of returns for each asset allocation classification at a 0.21% rate for Swiss bonds, 0% for hedged foreign bonds, 2.54% for real estate, 3.52% for Swiss equities, 5.21% for unhedged global equities, 5.21% unhedged emerging markets, 1.23% for alternative investments and 0.23% for cash. The 2015 expected long-term rate of return was 3.75% and was based on the historical asset rates of return of 0.76% for Swiss bonds, 5.31% for unhedged emerging markets, 1.04% for hedged foreign bonds, 3.69% for real property, 4.10% for Swiss equities and 5.45% for unhedged global equities, 2.33% for alternative investments and 1.32% for cash. Expected amortization during the year ending December 31, 2016 is as follows (in thousands): Amortization of net prior service costs $ 149 The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid (in thousands): 2016 $ 1,360 2017 1,372 2018 1,431 2019 1,411 2020 1,340 Years 2021 through 2025 7,392 Total $ 14,306 The Company expects to contribute approximately $550,000 to the pension plan in 2016 . Investment objectives: The primary investment goal of the pension plan is to achieve a total annualized return of 3.00% over the long-term. The investments are evaluated, compared and benchmarked to plans with similar investment strategies. The plan also attempts to minimize risk by not having any single security or class of securities with a disproportionate impact on the plan. As a guideline, assets are diversified by asset classes (equity, fixed income/bonds, and alternative investments). The fair values of the plans assets at December 31, 2015 and 2014 , by asset category, are as follows (in thousands): Fair Value Measurements at December 31, 2015 Total Active Market Prices (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash: Held in Swiss Franc, Euro and USD $ 808 $ 808 $ — $ — Equity securities: Investment funds 12,292 11,303 989 — Real estate investment funds 16,917 — — 16,917 Fixed income / Bond Securities Fixed income / Bond securities: 8,949 8,949 — — Other assets (accounts receivable, assets at real estate management company) 36 — 36 — Net assets of pension plan $ 39,002 $ 21,060 $ 1,025 $ 16,917 Fair Value Measurements at December 31, 2014 Total Active Market Prices (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash: Held in Swiss Franc, Euro and USD $ 973 $ 973 $ — $ — Equity securities: Investment funds 14,481 14,481 — — Real estate investment funds 16,049 — — 16,049 Fixed income / Bond Securities Fixed income / Bond securities: 8,839 8,839 — — Other assets (accounts receivable, assets at real estate management company) 26 — 26 — Net assets of pension plan $ 40,368 $ 24,293 $ 26 $ 16,049 Fair Value of Assets Level 1: Observable inputs such as quoted prices in active markets for identical assets. Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3 : Unobservable inputs that reflect the reporting entity’s own assumptions. For those financial instruments with significant Level 3 inputs, the following table summarizes the activity for the year by investment type: Description Real estate investments Beginning balance, December 31, 2014 $ 16,049 Total unrealized gains included in net gain (1) 869 Foreign currency translation adjustments (1 ) Ending balance, December 31, 2015 $ 16,917 _____________ (1) Total unrealized gains are reported as a component of the pension adjustment in accumulated other comprehensive income in the consolidated statement of stockholders’ equity. U.S. Plan The Company has a postretirement benefit plan covering its employees in the United States. Substantially all U.S. employees are eligible to elect coverage under a contributory employee savings plan which provides for Company matching contributions based on one-half of employee contributions up to certain plan limits. The Company’s matching contributions under this plan totaled $637,000 , $547,000 and $506,000 for the years ended December 31, 2015 , 2014 and 2013 , respectively. |
Legal Proceedings
Legal Proceedings | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal Proceedings | Legal Proceedings Although the Company expects to incur significant legal fees in connection with the below legal proceedings, the Company is unable to estimate the amount of such legal fees and therefore, such fees will be expensed in the period the legal services are performed. FCPA Matter In January 2011, the Company reached settlements with the U.S. Securities and Exchange Commission ("SEC") and the U.S. Department of Justice (“DOJ”) with respect to charges asserted by the SEC and DOJ relating to the anti-bribery, books and records, internal controls, and disclosure provisions of the U.S. Foreign Corrupt Practices Act (“FCPA”) and other securities laws violations. The Company paid the monetary penalties under these settlements in installments such that all monetary penalties were paid in full by January 2013. With respect to the DOJ charges, a judgment of dismissal was issued in the U.S. District Court for the Southern District of California on March 28, 2014. On October 15, 2013, the Company received an informal notice from the DOJ that an indictment against the former Senior Vice President and General Manager of its Swiss subsidiary had been filed in the United States District Court for the Southern District of California. The indictment is against the individual, a former officer, and not against the Company and the Company does not foresee that further penalties or fines could be assessed against it as a corporate entity for this matter. However, the Company may be required throughout the term of the action to advance the legal fees and costs incurred by the individual defendant and to incur other financial obligations. While the Company maintains directors’ and officers’ insurance policies which are intended to cover legal expenses related to its indemnification obligations in situations such as these, the Company cannot determine if and to what extent the insurance policy will cover the legal fees for this matter. Accordingly, the legal fees that may be incurred by the Company in defending this former officer could have a material impact on its financial condition and results of operation. Swiss Bribery Matter In August 2013, the Company's Swiss subsidiary was served with a search warrant from the Swiss federal prosecutor’s office. At the end of the search, the Swiss federal prosecutor presented the Company with a listing of the materials gathered by the representatives and then removed the materials from its premises for keeping at the prosecutor’s office. Based upon the Company’s exposure to the case, the Company believes this action to be related to the same or similar facts and circumstances as the FCPA action previously settled with the SEC and the DOJ. During initial discussions, the Swiss prosecutor has acknowledged both the existence of the Company's deferred prosecution agreement with the DOJ and its cooperation efforts thereunder, both of which should have a positive impact on discussions going forward. Additionally, other than the activities previously reviewed in conjunction with the SEC and DOJ matters under the FCPA, the Company has no reason to believe that additional facts or circumstances are under review by the Swiss authorities. In late March 2015, the Company was informed that the Swiss prosecutor intended to inform the parties in April 2015 as to whether the prosecutor’s office will bring charges or abandon the proceedings. However, to date, the Swiss prosecutor has not issued its formal decision. At this stage in the investigation, the Company is currently unable to determine the extent to which it will be subject to fines in accordance with Swiss bribery laws and what additional expenses will be incurred in order to defend this matter. As such, the Company cannot determine whether there is a reasonable possibility that a loss will be incurred nor can it estimate the range of any such potential loss. Accordingly, the Company has not accrued an amount for any potential loss associated with this action, but an adverse result could have a material adverse impact on its financial condition and results of operation. Government Investigations In early 2013, the Company voluntarily provided information to the United States Attorney's Office for the Southern District of California and the SEC related to its announcement that it intended to file restated financial statements for fiscal years 2011 and 2012. On June 11, 2015, the Company received a subpoena from the SEC requesting certain documents related to, among other things, the facts and circumstances surrounding the restated financial statements. The Company is providing information to the SEC in response to that subpoena and continues to cooperate with the SEC. At this stage, the Company cannot predict the ultimate outcome of this investigation or whether it will result in any loss. Accordingly, the Company has not accrued an amount for any potential loss associated with this action, but an adverse result could have a material adverse impact on its financial condition and results of operation. Federal Shareholder Derivative Matter On April 23, 2013 and May 7, 2013, two shareholder derivative actions were filed in the United States District Court for the Southern District of California, entitled Kienzle v. Schramm, et al., Case No. 13-cv-0966 (S.D. Cal. filed April 23, 2013) and Agrawal v. Cortes, et al., Case No. 13-cv-1084 (S.D. Cal. filed May 7, 2013). The complaints named as defendants certain of the Company's current and former officers and directors and named the Company as a nominal defendant. The complaints alleged that the individual defendants caused or allowed the Company to issue false and misleading statements about its financial condition, operations, management, and internal controls and falsely represented that it maintained adequate controls. The complaints asserted causes of action for breach of fiduciary duty, abuse of control, gross mismanagement, waste of corporate assets and unjust enrichment. The lawsuits sought unspecified damages, an order directing the Company to take all necessary actions to reform and improve its corporate governance and internal procedures, restitution and disgorgement of profits, benefits, and other compensation, attorneys' and experts' fees, and costs and expenses.. The court issued an order consolidating the two actions on October 30, 2013 under the heading In re Maxwell Technologies, Inc. Derivative Litigation. On September 19, 2014, the parties entered into a memorandum of understanding concerning settlement of this matter related to certain corporate governance reforms to be implemented and/or maintained by the Company. On December 10, 2014, the parties signed a stipulation of settlement and on March 16, 2015, the court granted final approval of the settlement and dismissed this action. On July 13, 2015, the court issued an order establishing a fee award of $1.1 million to be paid to the plaintiffs in exchange for the benefit bestowed upon the Company due to the corporate governance reforms, and on August 10, 2015, the Company’s insurance carrier paid this amount in full. State Shareholder Derivative Matter On April 11, 2013 and April 18, 2013, two shareholder derivative actions were filed in California Superior Court for the County of San Diego, entitled Warsh v. Schramm, et al. , Case No. 37-2013-00043884 (San Diego Sup. Ct. filed April 11, 2013) and Neville v. Cortes, et al. , Case No. 37-2013-00044911-CU-BT-CTL (San Diego Sup. Ct. filed April 18, 2013). The complaints named as defendants certain of the Company's current and former officers and directors as well as its former auditor McGladrey LLP. The Company was named as a nominal defendant. The complaints alleged that the individual defendants made or caused the Company to make false and/or misleading statements regarding its financial condition, and failed to disclose material adverse facts about its business, operations and prospects. The complaints asserted causes of action for breaches of fiduciary duty for disseminating false and misleading information, failing to maintain internal controls, and failing to properly oversee and manage the Company, as well as for unjust enrichment, abuse of control, gross mismanagement, professional negligence and accounting malpractice, and aiding and abetting breaches of fiduciary duty. The lawsuits sought unspecified damages, an order directing the Company to take all necessary actions to reform and improve its corporate governance and internal procedures, restitution and disgorgement of profits, benefits and other compensation, attorneys' and experts' fees, and costs and expenses. On May 7, 2013, the court consolidated the two actions. On July 2, 2013, the Company filed a motion to stay the actions pending resolution of the federal derivative actions, which the state court granted on November 1, 2013. As a result of the settlement in the federal derivative action above, the parties filed a joint stipulation to dismiss this matter and, on May 13, 2015, the court signed an order dismissing the matter with prejudice. The deadline to appeal this order lapsed on August 24, 2015. Shareholder Inspection Letter On April 9, 2013, Stephen Neville, a purported shareholder of the Company, sent a letter to the Company seeking to inspect its books and records pursuant to California Corporations Code Section 1601. The demand sought inspection of documents related to the Company's March 7, 2013 announcement that it would be restating its previously-issued financial statements for 2011 and 2012, board minutes and committee materials, and other documents related to its board or management discussions regarding revenue recognition from January 1, 2011 to the present. Pursuant to the stipulation of settlement in the federal shareholder derivative matter and following the settlement in the federal derivative action above, the parties filed a joint stipulation to dismiss this matter and, on May 12, 2015, the court signed an order dismissing the matter with prejudice. The deadline to appeal this order lapsed on August 24, 2015. |
Restructuring and Exit Costs
Restructuring and Exit Costs | 12 Months Ended |
Dec. 31, 2015 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Exit Costs | Restructuring and Exit Costs During the year ended December 31, 2015 , the Company initiated a restructuring plan to consolidate U.S. manufacturing operations and to reduce headcount and operating expenses in order to align the Company’s cost structure with the current business forecast and to improve operational efficiency. The plan also includes the potential divestiture of a product line. In connection with the restructuring plan, the Company expects to incur total restructuring charges between $2.6 million and $3.3 million . The anticipated charges include approximately $1.2 million to $1.9 million in facilities costs related to the consolidation of manufacturing operations, $1.3 million in employee severance costs and $125,000 in relocation costs. The Company also expects to incur $560,000 in accelerated equipment depreciation expense and $1.6 million in capital expenditures related to the restructuring. Upon completion of the plan, which is anticipated to be substantially completed by the end of the first quarter of 2016, total cash expenditures related to restructuring activities are expected to be approximately $1.4 million . During the year ended December 31, 2015 , the Company paid $1.0 million in restructuring expenses. The Company accounts for charges resulting from restructuring and exit activities in accordance with ASC Topic 420, Exit or Disposal Cost Obligations (“ASC 420”), and ASC Topic 712, Compensation-Nonretirement Postemployment Benefits for employee termination benefits to be paid in accordance with its ongoing employee termination benefit arrangement. In June 2015, the Company ceased use of approximately 60,000 square feet of its Peoria, AZ manufacturing facility, and determined this leased space would have no future economic benefit to the Company based on the current business forecast. As a result, in June 2015, the Company recorded a liability for the future rent obligation associated with this space, net of estimated sublease income, in accordance with ASC Topic 420. The liability recorded related to the exit of this leased space was $1.2 million , before tax, and is a component of the total expected restructuring charge. Restructuring charges for the year ended December 31, 2015 include $1.3 million in employee severance costs for work force reductions. This amount includes planned severance payments to be paid in consideration of past employee services under the Company’s ongoing employee termination benefit arrangement, which were probable of incurrence and estimable as of December 31, 2015 . For the year ended December 31, 2015 , the Company recorded total charges related to its restructuring plan of $2.5 million within "restructuring and exit costs" and recorded $434,000 of accelerated depreciation expense within “cost of revenue” in the consolidated statements of operations. As of December 31, 2015 , the Company had a $294,000 liability associated with employee severance recorded in “accrued employee compensation”, $231,000 of lease obligation costs recorded within “other current liabilities” and $812,000 of lease obligation costs recorded within "other long term liabilities” in the consolidated balance sheet. The following table summarizes the restructuring and exit costs for the year ended December 31, 2015 (in thousands): Year ended December 31, 2015 Employee Severance Costs Lease Obligation Costs Total Costs incurred $ 1,439 $ 1,208 $ 2,647 Amounts paid (1,010 ) — (1,010 ) Accruals released (135 ) — (135 ) Other non-cash adjustments — (165 ) (165 ) Restructuring liability as of December 31, 2015 $ 294 $ 1,043 $ 1,337 |
Unaudited Quarterly Financial I
Unaudited Quarterly Financial Information | 12 Months Ended |
Dec. 31, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Unaudited Quarterly Financial Information | Unaudited Quarterly Financial Information Quarter Ended March 31 June 30 September 30 December 31 (in thousands except per share data) Year Ended December 31, 2015 Operating: Total revenue $ 34,670 $ 37,796 $ 45,076 $ 49,830 Gross profit 10,303 12,153 14,256 14,250 Net income (loss) (9,341 ) (a) (9,376 ) (b) (1,449 ) (c) (2,167 ) (d) Basic and diluted net loss per share $ (0.32 ) $ (0.31 ) $ (0.05 ) $ (0.07 ) Quarter Ended March 31 June 30 September 30 December 31 (in thousands except per share data) Year Ended December 31, 2014 Operating: Total revenue $ 46,001 $ 46,074 $ 41,593 $ 52,918 Gross profit 17,863 16,597 15,480 18,503 Net income (loss) 319 (e) (1,181 ) (f) (3,292 ) (g) (2,118 ) (h) Basic and diluted net income (loss) per share $ 0.01 $ (0.04 ) $ (0.11 ) $ (0.07 ) _____________ (a) Includes a non-cash expense for stock-based compensation of $839,000 . (b) Includes restructuring costs of $2.3 million , a non-cash deferred tax expense of $2.1 million in connection with the probable repatriation of a portion of the unremitted earnings of a foreign subsidiary and a non-cash expense for stock-based compensation of $1.0 million . (c) Includes a non-cash expense for stock-based compensation of $1.1 million . (d) Includes a non-cash expense for stock-based compensation of $1.0 million . (e) Includes a non-cash expense for stock-based compensation of $755,000 . (f) Includes a non-cash expense for stock-based compensation of $1.2 million . (g) Includes a non-cash expense for stock-based compensation of $1.0 million . (h) Includes non-cash deferred tax expense of $1.6 million in connection with the probable repatriation of a portion of the unremitted earnings of a foreign subsidiary and a non-cash expense for stock-based compensation of $1.0 million . |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2015 | |
Valuation and Qualifying Accounts [Abstract] | |
Schedule II Valuation and Qualifying Accounts | Schedule II Valuation and Qualifying Accounts (in thousands) Balance at the Beginning of the Year ($) Charged to Expense ($) Acquisitions/ Transfers and Other ($) Write-offs Net of Recoveries ($) Balance at the End of the Year ($) Allowance for Doubtful Accounts: December 31, 2013 157 22 — (45 ) 134 December 31, 2014 134 61 — (52 ) 143 December 31, 2015 143 304 1 (196 ) 252 Allowance for Excess and Obsolete Inventories: December 31, 2013 1,941 2,023 12 (406 ) 3,570 December 31, 2014 3,570 892 (24 ) (419 ) 4,019 December 31, 2015 4,019 475 (1 ) (1,114 ) 3,379 |
Description of Business and S25
Description of Business and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Financial Statement Presentation | Financial Statement Presentation The accompanying consolidated financial statements include the accounts of Maxwell Technologies, Inc. and its subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). All intercompany transactions and account balances have been eliminated in consolidation. |
Reclassification | Reclassifications Foreign currency exchange gains and losses have been reclassified from "cost of revenue" and "selling, general and administrative" expenses to "foreign currency exchange gains and losses, net" in the consolidated statement of operations for the years ended December 31, 2014 and 2013 to conform to the current period presentation. These reclassifications do not impact reported net income (loss) and do not otherwise have a material impact on the presentation of the overall financial statements. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect reported amounts and related disclosures. These estimates include, but are not limited to, assessing the collectability of accounts receivable, applied and unapplied production costs, production capacities, the usage and recoverability of inventories and long-lived assets, deferred income taxes, the incurrence of warranty obligations, impairment of goodwill, estimation of the cost to complete certain projects, estimation of pension assets and liabilities, accruals for estimated losses from legal matters, and estimation of the value of stock-based compensation awards, including the probability that the performance criteria of restricted stock awards and restricted stock units awards will be met. |
Revenue Recognition | Revenue Recognition Revenue is derived primarily from the sale of manufactured products directly to customers. Product revenue is recognized, according to the guidelines of the Securities and Exchange Commission (“SEC”) Staff Accounting Bulletin (“SAB”) Numbers 101, Revenue Recognition in Financial Statements , and 104, Revenue Recognition , when all of the following criteria are met: (1) persuasive evidence of an arrangement exists (upon contract signing or receipt of an authorized purchase order from a customer); (2) title passes to the customer at either shipment from the Company’s facilities or receipt at the customer facility, depending on shipping terms; (3) customer payment is deemed fixed or determinable and free of contingencies or significant uncertainties; and (4) collectability is reasonably assured. This policy has been consistently applied from period to period. A portion of our sales revenue is derived from sales to distributors. Distributor revenue is recognized when all of the criteria for revenue recognition are met, which is generally the time of shipment to the distributor; all returns and credits are estimable and not significant. Revenue from production-type contracts, which represent less than five percent of total revenue, is recognized using the percentage of completion method. The degree of completion is determined based on costs incurred as a percentage of total costs anticipated, excluding costs that are not representative of progress to completion. Total deferred revenue and customer deposits in the consolidated balance sheets as of December 31, 2015 and 2014 of $3.1 million and $703,000 , respectively, relates to cash received from customers on sales for which the revenue recognition criteria had not been achieved, customer advances, as well as other less significant customer arrangements requiring the deferral of revenue. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist primarily of cash in readily available checking accounts. Cash equivalents consist of highly liquid investments that are readily convertible to cash and that mature within three months or less from the date of purchase. The carrying amounts approximate fair value due to the short maturities of these instruments. |
Accounts Receivable and Allowance for Doubtful Accounts | Accounts Receivable and Allowance for Doubtful Accounts Trade receivables are stated at gross invoiced amount less an allowance for uncollectible accounts. The allowance for doubtful accounts reflects management’s best estimate of probable losses inherent in the accounts receivable balance. Management determines the allowance for doubtful accounts based on known troubled accounts, historical experience and other currently available evidence. |
Inventories | Inventories, net Inventories are stated at the lower of cost (first-in first-out basis) or market. Finished goods and work-in-process inventory values include the cost of raw materials, labor and manufacturing overhead. Consigned inventory includes finished goods delivered to customers for which the related sale has not met the revenue recognition criteria and revenue has not been recognized. Inventory when written down to market value establishes a new cost basis and its value is not subsequently increased based upon changes in underlying facts and circumstances. The Company makes adjustments to reduce the cost of inventory to its net realizable value, if required, for estimated excess or obsolete inventories. Factors influencing these adjustments include inventories on-hand compared with historical and estimated future sales for existing and new products and assumptions about the likelihood of obsolescence. Unabsorbed costs are treated as expense in the period incurred. |
Property and Equipment | Property and Equipment Property and equipment are carried at cost and are depreciated using the straight-line method. Depreciation is provided over the estimated useful lives of the related assets ( three to ten years). Leasehold improvements are depreciated over the shorter of their estimated useful life or the term of the lease. Leasehold improvements funded by landlords are recorded as property and equipment, which is depreciated over the shorter of the estimated useful life of the asset or the lease term, and deferred rent, which is amortized over the lease term. As of December 31, 2015 and 2014 , the net book value of leasehold improvements funded by landlords was $2.2 million and $2.5 million , respectively. As of December 31, 2015 and 2014 , the unamortized balance of deferred rent related to landlord funding of leasehold improvements was $2.2 million and $2.7 million , respectively, which is included in "accounts payable and accrued liabilities" and "other long-term liabilities" in the consolidated balance sheets. |
Goodwill | Goodwill Goodwill, which represents the excess of the cost of an acquired business over the net fair value assigned to its assets and liabilities, is not amortized. Instead, goodwill is assessed for impairment under the Intangibles—Goodwill and Other Topic of the FASB ASC. The Company has established December 31 as the annual impairment test date. The Company first makes a qualitative assessment as to whether goodwill is impaired and if it is more likely than not that goodwill is impaired, the Company performs a two-step quantitative impairment analysis to determine if goodwill is impaired. The Company may also determine to skip the qualitative assessment in any year and move directly to the quantitative test. No impairments of goodwill were reported during the years ended December 31, 2015 , 2014 and 2013 . The Company reviews goodwill for impairment annually according to the Intangibles—Goodwill and Other Topic of the FASB ASC. The Company makes a qualitative evaluation about the likelihood of goodwill impairment and if it concludes that it is more likely than not that the carrying amount of a reporting unit is greater than its fair value, then it will be required to perform the first step of the two-step quantitative impairment test. Otherwise, performing the two-step impairment test is unnecessary. The first step consists of estimating the fair value and comparing the estimated fair value with the carrying value of the reporting unit. If the fair value is less than the carrying value, a second step is performed to compute the amount of the impairment by determining an implied fair value of goodwill. The implied fair value of goodwill is the residual fair value derived by deducting the fair value of a reporting unit’s assets and liabilities from its estimated total fair value, which was calculated in step one. An impairment charge would represent the excess of the carrying amount of the reporting unit’s goodwill over the implied fair value of the goodwill. The guidance requires goodwill to be reviewed annually at the same time every year or when an event occurs or circumstances change such that it is reasonably possible that an impairment may exist. The Company selected December 31 as its annual testing date. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets Property and equipment are reviewed for impairment whenever events or changes in circumstances indicate the carrying value of the assets may not be recoverable. If the Company determines that the carrying value of the asset is not recoverable, a permanent impairment charge is recorded for the amount by which the carrying value of the long-lived asset exceeds its fair value. No impairments of property and equipment were recorded during the years ended December 31, 2015 , 2014 and 2013 . |
Warranty Obligation | Warranty Obligation The Company provides warranties on all product sales. The majority of the Company’s warranties are for one to eight years in the normal course of business. The Company accrues for the estimated warranty costs at the time of sale based on historical warranty experience plus any known or expected changes in warranty exposure. |
Income Tax | Income Taxes Deferred income taxes are provided on a liability method in accordance with the Income Taxes Topic of the FASB ASC, whereby deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Under this method, deferred income taxes are recorded to reflect the tax consequences on future years of temporary differences between the tax basis of assets and liabilities and their reported amounts at each period end. If it is more likely than not that some portion or all of a deferred tax asset will not be realized, a valuation allowance is recognized. The guidance also provides criteria for the recognition, measurement, presentation and disclosures of uncertain tax positions. A tax benefit from an uncertain tax position may be recognized if it is “more likely than not” that the position is sustainable based solely on its technical merits. |
Concentration of Credit Risk | Concentration of Credit Risk The Company maintains cash balances at various financial institutions primarily in California and in Switzerland. In California, cash balances commonly exceed the $250,000 Federal Deposit Insurance Corporation insurance limit. In Switzerland, the banks where the Company has cash deposits are either government-owned, or in the case of cash deposited with non-government banks, deposits are insured up to 100,000 Swiss Francs. The Company has not experienced any losses in such accounts and management believes that the Company is not exposed to any significant credit risk with respect to such cash and cash equivalents. Financial instruments, which subject the Company to potential concentrations of credit risk, consist principally of the Company’s accounts receivable. The Company’s accounts receivable result from product sales to customers in various industries and in various geographical areas, both domestic and foreign. The Company performs credit evaluations of its customers and generally requires no collateral. |
Research and Development Expense | Research and Development Expense Research and development expenditures are expensed in the period incurred. Third-party funding of research and development expense under cost-sharing arrangements is recorded as an offset to research and development expense in the period the expenses are incurred. |
Advertising Expenses | Advertising Expense Advertising costs are expensed in the period incurred. |
Shipping and Handling Expense | Shipping and Handling Expense The Company recognizes shipping and handling expenses as a component of cost of revenue. |
Foreign Currencies | Foreign Currencies The Company’s primary foreign currency exposure is related to its subsidiary in Switzerland, which has Euro and local currency (Swiss Franc) revenue and operating expenses, and local currency loans. Changes in these currency exchange rates impact the reported U.S. dollar amount of revenue, expenses and debt. The functional currency of the Swiss subsidiary is the Swiss Franc. Assets and liabilities of the Swiss subsidiary are translated at month-end exchange rates, and revenues, expenses, gains and losses are translated at rates of exchange that approximate the rate in effect at the time of the transaction. Any translation adjustments resulting from this process are presented separately as a component of accumulated other comprehensive income within stockholders’ equity in the consolidated balance sheets. Foreign currency transaction gains and losses on intercompany balances considered long term in nature are accounted for as translation adjustments within equity. All other foreign currency transaction gains and losses are reported in "foreign currency exchange loss, net" in the consolidated statements of operations. |
Foreign Currency Derivatives Instruments | Foreign Currency Derivative Instruments As part of its risk management strategy, the Company uses forward contracts to hedge certain foreign currency exposures. The Company's objective is to partially offset gains or losses resulting from these exposures with opposing gains or losses on the forward contracts, thereby reducing volatility of earnings created by these foreign currency exposures. In accordance with the Derivatives and Hedging Topic of the FASB ASC, the fair values of the forward contracts are estimated at each period end based on quoted market prices and are recorded as a net asset or liability on the consolidated balance sheets. These contracts are considered economic hedges but are not designated as hedges under the Derivatives and Hedging Topic of the FASB ASC, therefore, the change in the fair value of the instruments is recognized currently in the consolidated statements of operations and is recorded in "foreign currency exchange loss, net" in the consolidated statements of operations. |
Net Income (Loss) per Share | Net Income (Loss) per Share In accordance with the Earnings Per Share Topic of the FASB ASC, basic net income (loss) per share is calculated using the weighted average number of common shares outstanding during the period. Diluted net income per share includes the impact of additional common shares that would have been outstanding if dilutive potential common shares were issued. Potentially dilutive securities are not considered in the calculation of diluted net loss per share, as their inclusion would be anti-dilutive. |
Stock-Based Compensation | Stock-Based Compensation The Company issues stock-based compensation awards to its employees and non-employee directors, including stock options, restricted stock, restricted stock units, and shares under an employee stock purchase plan. The Company records compensation expense for stock-based awards in accordance with the criteria set forth in the Stock Compensation Subtopic of the FASB ASC. The Company uses the Black-Scholes option pricing model to estimate the fair value of stock option grants. The determination of the fair value of stock options utilizing the Black-Scholes model is affected by the Company’s stock price and a number of assumptions, including expected volatility, expected term, risk-free interest rate and expected dividends. The fair value of restricted stock awards ("RSAs") and restricted stock unit awards ("RSUs") with service-based or performance-based vesting is based on the closing market price of the Company’s common stock on the date of grant. Compensation expense equal to the fair value of each RSA or RSU is recognized ratably over the requisite service period. For RSAs and RSUs with vesting contingent on Company performance conditions, the Company uses the requisite service period that is most likely to occur. The requisite service period is estimated based on the performance period as well as any time-based service requirements. If it is unlikely that a performance condition will be achieved, no compensation expense is recognized unless it is later determined that achievement of the performance condition is likely. Expense may be adjusted for changes in the expected outcomes of the related performance conditions, with the impact of such changes recognized as a cumulative adjustment in the consolidated statement of operations in the period in which the expectation changes. In 2014, the Company issued market-condition RSUs to certain members of executive management. Since the vesting of the market-condition RSUs is dependent on stock price performance, the fair values of these awards were estimated using a Monte-Carlo valuation model. The determination of the fair value of market-condition RSUs utilizing a Monte-Carlo valuation model was affected by the Company’s stock price and a number of assumptions, including expected volatility, expected life, risk-free interest rate and expected dividends. Share-based compensation expense recognized in the consolidated statements of operations is based on equity awards ultimately expected to vest. The FASB ASC requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods with a cumulative catch up adjustment if actual forfeitures differ from those estimates. For market-condition awards, because the effect of the market-condition is reflected as a discount to the awards' fair value at grant date, subsequent forfeitures due to the Company's stock price performance do not result in a reversal of expense. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers . The standard provides companies with a single model for accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance, including industry-specific revenue guidance. The core principle of the model is to recognize revenue when control of the goods or services transfers to the customer, as opposed to recognizing revenue when the risks and rewards transfer to the customer under the existing revenue guidance. The guidance permits companies to either apply the requirements retrospectively to all prior periods presented, or apply the requirements in the year of adoption, through a cumulative adjustment. In August 2015, the FASB issued ASU 2015-14, Deferral of the Effective date , which defers the required adoption date of ASU 2014-09 by one year. As a result of the deferred effective date, ASU 2014-09 will be effective for the Company in its first quarter of fiscal 2018. Early adoption is permitted but not before the original effective date of the new standard of the first quarter of fiscal 2017. The Company is in the process of evaluating the transition method that will be elected and the impact of adoption on its consolidated financial statements. In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern . The standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued and provides guidance on determining when and how to disclose going concern uncertainties in the financial statements. Certain disclosures will be required if conditions give rise to substantial doubt about an entity’s ability to continue as a going concern. ASU 2014-15 applies to all entities and is effective for annual and interim reporting periods ending after December 15, 2016, with early adoption permitted. The Company does not expect that the adoption of this standard will have a material effect on its financial statements. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs . The update changes the presentation of debt issuance costs to a direct deduction from the related debt liability rather than as an asset. Amortization of the costs will continue to be reported as interest expense. ASU 2015-03 is effective for annual and interim reporting periods ending after December 15, 2015. Early adoption is permitted, and the new guidance is to be applied on a retrospective basis to all prior periods. The Company does not expect that the adoption of this standard will have a material effect on its financial statements. In November 2015, the FASB issued ASU No. 2015-17 , Balance Sheet Classification of Deferred Taxes, to simplify the presentation of deferred taxes. This amendment requires that all deferred tax assets and liabilities, along with any related valuation allowances, be classified as noncurrent on the balance sheet. ASU 2015-17 is effective for annual and interim reporting periods ending after December 15, 2017. Early adoption is permitted, and the new guidance may be applied either prospectively or retrospectively. The Company has adopted this guidance prospectively as of December 31, 2015. Therefore, prior periods have not been adjusted to reflect this adoption. In July 2015, the FASB issued ASU No. 2015-11, Simplifying the Measurement of Inventory . The new guidance was issued to more closely align the measurement of inventory in U.S. GAAP with the measurement of inventory in International Financial Reporting Standards. The core principle of this updated guidance is that an entity should measure inventory at the lower of cost or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The amendments in ASU 2015-11 apply to inventory that is measured using the first-in, first-out or average cost methods. ASU 2015-11 is effective for annual and interim reporting periods ending after December 15, 2016, including interim periods within those fiscal years, and should be applied prospectively. Early adoption is permitted as of the beginning of an interim or annual reporting period. The Company does not expect that the adoption of this standard will have a material effect on its financial statements. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments—Overall (Subtopic 825-10) . This standard makes several modifications to Subtopic 825-10 including the elimination of the available-for-sale classification of equity investments, and requires equity investments with readily determinable fair values to be measured at fair value with changes in fair value recognized in net income. It is effective for interim and annual periods beginning after December 15, 2017. The Company does not expect that the adoption of this standard will have a material effect on its financial statements. |
Business Enterprise Information | Business Enterprise Information The Company operates as a single operating segment. According to the FASB ASC Topic Disclosures about Segments of an Enterprise and Related Information , operating segments are defined as components of an enterprise for which separate financial information is evaluated regularly by the chief operating decision maker ("CODM") in deciding how to allocate resources and in assessing performance. The Company’s CODM is the Chief Executive Officer who evaluates the Company’s financial information and resources and assesses performance on a consolidated basis. |
Fair Value Measurement | Fair Value Measurement The Company records certain financial instruments at fair value in accordance with the Fair Value Measurements and Disclosures Topic of the FASB ASC. As of December 31, 2015 , the financial instruments to which this topic applied were financial instruments for foreign currency forward contracts and pension assets. As of December 31, 2015 , the fair value of foreign currency forward contracts was an asset of $16,000 , which is recorded in “trade and other accounts receivable” in the consolidated balance sheet. The fair value of derivative instruments is measured using models following quoted market prices in active markets for identical instruments, which is a Level 2 input under the fair value hierarchy of the Fair Value Measurements and Disclosures Topic of the FASB ASC. All forward contracts as of December 31, 2015 had approximately a one-month original maturity term and matured on January 5, 2016 or February 2, 2016. Also see Note 6 , Foreign Currency Derivative Instruments , and Note 11 , Pension and Other Postretirement Benefit Plans , of this Annual Report on Form 10-K, for further discussion of fair value measurements. The carrying value of short-term and long-term borrowings approximates fair value because of the relative short maturity of these instruments and the interest rates the Company could currently obtain. |
Description of Business and S26
Description of Business and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of computation of basic and diluted net income (loss) per share | The following table sets forth the computation of basic and diluted net income (loss) per share (in thousands, except per share data): Years Ended December 31, 2015 2014 2013 Numerator Net income (loss) $ (22,333 ) $ (6,272 ) $ 6,340 Denominator Weighted average common shares outstanding 30,716 29,216 28,869 Effect of potentially dilutive securities Options to purchase common stock — — 16 Restricted stock awards — — 3 Restricted stock unit awards — — 14 Employee stock purchase plan — — 1 Weighted average common shares outstanding, assuming dilution 30,716 29,216 28,903 Net income (loss) per share Basic $ (0.73 ) $ (0.21 ) $ 0.22 Diluted $ (0.73 ) $ (0.21 ) $ 0.22 |
Schedule of anti-dilutive shares | The following table summarizes instruments that may be convertible into common shares that are not included in the denominator used in the diluted net income (loss) per share calculation because to do so would be anti-dilutive (in thousands): Common Stock 2015 2014 2013 Outstanding options to purchase common stock 931 672 790 Unvested restricted stock awards 245 528 424 Unvested restricted stock unit awards 885 224 — Employee stock purchase plan awards 10 9 1 |
Revenues by product line and geographic area | Revenues by product line and geographic area are presented below (in thousands): Years ended December 31, 2015 2014 2013 Revenues by product line: Ultracapacitors $ 114,525 $ 135,637 $ 136,277 High-voltage capacitors 41,718 40,361 43,339 Microelectronic products 11,129 10,588 13,918 Total $ 167,372 $ 186,586 $ 193,534 Years ended December 31, 2015 2014 2013 Revenues from external customers located in: China $ 87,856 $ 89,143 $ 92,817 United States 20,836 23,758 29,090 Germany 13,972 16,384 25,935 All other countries (1) 44,708 57,301 45,692 Total $ 167,372 $ 186,586 $ 193,534 _____________ (1) Revenue from external customers located in countries included in “All other countries” do not individually comprise more than 10% of total revenues for any of the years presented. |
Long-lived assets by geographic location | Long-lived assets by geographic location are as follows (in thousands): As of December 31, 2015 2014 2013 Long-lived assets: United States $ 22,267 $ 28,013 $ 33,740 China 4,148 4,991 5,444 Switzerland 6,021 5,663 6,422 Total $ 32,436 $ 38,667 $ 45,606 |
Balance Sheet Details (Tables)
Balance Sheet Details (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Balance Sheet Related Disclosures [Abstract] | |
Schedule of Balance Sheet related disclosures | December 31, 2015 2014 Inventories, net: Raw material and purchased parts $ 21,126 $ 23,042 Work-in-process 4,367 2,522 Finished goods 16,913 23,127 Consigned finished goods 28 184 Reserves (3,379 ) (4,019 ) Total inventories, net $ 39,055 $ 44,856 Property and equipment, net: Machinery, furniture and office equipment $ 76,077 $ 72,323 Computer hardware and software 12,235 12,003 Leasehold improvements 16,883 16,661 Construction in progress 2,527 2,715 Property and equipment, gross 107,722 103,702 Less accumulated depreciation and amortization (75,398 ) (64,479 ) Total property and equipment, net $ 32,324 $ 39,223 Accounts payable and accrued liabilities: Accounts payable $ 22,291 $ 12,544 Income tax payable 1,376 1,852 Accrued warranty 1,288 716 Other accrued liabilities 9,030 11,899 Total accounts payable and accrued liabilities $ 33,985 $ 27,011 |
Schedule of accumulated other comprehensive income | Foreign Currency Translation Adjustment Defined Benefit Pension Plan Accumulated Other Comprehensive Income Affected Line Item in the Statement of Operations Accumulated other comprehensive income: Balance at December 31, 2014 $ 8,359 $ (3,636 ) $ 4,723 Other comprehensive income before reclassification 1,574 — 1,574 Amounts reclassified from accumulated other comprehensive income (loss) — (1,403 ) (1,403 ) Cost of Sales, Selling, General and Administrative and Research and Development Expense Net other comprehensive income for the year ended December 31, 2015 1,574 (1,403 ) 171 Balance at December 31, 2015 $ 9,933 $ (5,039 ) $ 4,894 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Change in the carrying amount of goodwill | The change in the carrying amount of goodwill during 2014 and 2015 was as follows (in thousands): Balance at December 31, 2013 $ 25,978 Foreign currency translation adjustments (2,379 ) Balance at December 31, 2014 23,599 Foreign currency translation adjustments 36 Balance at December 31, 2015 $ 23,635 |
Foreign Currency Derivative I29
Foreign Currency Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Foreign Currency Derivatives [Abstract] | |
Schedule of gains (losses) on foreign currency forward contracts | The net gains and losses on foreign currency forward contracts included in "foreign currency exchange loss, net" in the consolidated statements of operations are as follows (in thousands): Year Ended December 31, 2015 2014 2013 Total gain (loss) $ (720 ) $ (5,265 ) $ 359 |
Schedule of foreign currency gains (losses) on underlying assets and liabilities | Foreign currency gains and losses on those underlying monetary assets and liabilities included in "foreign currency exchange loss, net" in the consolidated statements of operations are as follows (in thousands): Year Ended December 31, 2015 2014 2013 Total gain (loss) $ 179 $ 4,391 $ (1,009 ) |
Gross amounts, amounts offset and net amounts | The following table presents gross amounts, amounts offset and net amounts presented in the consolidated balance sheets for the Company's derivative instruments measured at fair value (in thousands): December 31, 2015 December 31, 2014 Gross amounts of recognized asset (liability) $ 66 $ (1,993 ) Gross amounts offset in the consolidated balance sheets (50 ) 350 Net amount of recognized asset (liability) presented in the consolidated balance sheets $ 16 $ (1,643 ) |
Stock Plans (Tables)
Stock Plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock Options Activity | The following table summarizes total aggregate stock option activity for the year ended December 31, 2015 (in thousands, except for per share data): Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Balance at December 31, 2014 672 $ 12.00 Granted 322 6.72 Exercised (19 ) 6.80 Cancelled (44 ) 11.70 Balance at December 31, 2015 931 $ 10.19 3.85 $ 196 Vested or expected to vest at December 31, 2015 886 $ 10.38 3.57 $ 162 Exercisable at December 31, 2015 638 $ 11.81 1.34 $ 16 |
Stock Options, Valuation Assumptions | The fair value of the stock options granted during the years ended December 31, 2015 and 2013 was estimated using the Black-Scholes valuation model using the following assumptions: Years Ended December 31, 2015 2013 Expected dividends — % — % Expected volatility range 60% to 61% 58% to 69% Expected volatility weighted average 60 % 63 % Risk-free interest rate 1.6 % 1.1% to 2.1% Expected life/term weighted average (in years) 4.9 2.9 |
Nonvested Restricted Stock Units Activity | The following table summarizes RSU activity for the year ended December 31, 2015 (in thousands, except for per share data): Shares Weighted Average Grant Date Fair Value Nonvested at December 31, 2014 224 $ 10.02 Granted 829 7.02 Vested (80 ) 10.02 Forfeited (88 ) 8.57 Nonvested at December 31, 2015 885 $ 7.36 |
Employee Stock Purchase Plan, Valuation Assumptions | The share price used for the model is a 15% discount on the stock price on the last trading day before the offering period; the number of shares to be purchased is based on employee contributions. The fair value of ESPP awards was calculated using the following weighted-average assumptions: Years Ended December 31, 2015 2014 2013 Expected dividends — % — % — % Stock price on valuation date 5.97 8.47 7.77 Expected volatility 57 % 77 % 46 % Risk-free interest rate 0.29 % 0.08 % 0.07 % Expected life (in years) 0.5 0.4 0.3 Fair value per share $ 1.86 $ 4.56 $ 2.45 |
Stock-based Compensation Expense Allocation | Compensation cost for stock options, restricted stock, restricted stock units and the ESPP is as follows (in thousands): Years Ended December 31, 2015 2014 2013 Stock options $ 232 $ 52 $ 827 Restricted stock 1,974 2,536 2,491 Restricted stock units 1,462 867 592 ESPP 278 512 70 Total stock-based compensation expense $ 3,946 $ 3,967 $ 3,980 Stock-based compensation cost included in cost of revenue; selling, general and administrative expense; and research and development expense is as follows (in thousands): Years Ended December 31, 2015 2014 2013 Cost of revenue $ 644 $ 740 $ 1,079 Selling, general and administrative 2,502 2,362 2,140 Research and development 800 865 761 Total stock-based compensation expense $ 3,946 $ 3,967 $ 3,980 |
Schedule of Stock Plan Shares Reserved for Future Issuance | The following table summarizes the reservation of shares under the Company's stock-based compensation plans as of December 31, 2015 : 2013 Omnibus Equity Incentive Plan 2,200,800 2004 Employee Stock Purchase Plan 307,126 Total 2,507,926 |
Restricted Stock Awards | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested Restricted Stock Shares Activity | The following table summarizes RSA activity for the year ended December 31, 2015 (in thousands, except for per share data): Shares Weighted Average Grant Date Fair Value Nonvested at December 31, 2014 528 $ 13.77 Vested (180 ) 15.58 Forfeited (103 ) 10.37 Nonvested at December 31, 2015 245 $ 13.87 |
Restricted Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Employee Stock Purchase Plan, Valuation Assumptions | Since the vesting of the market-condition RSUs is dependent on stock price performance, the fair values of these awards were estimated using a Monte-Carlo valuation model with the following weighted-average assumptions: Year ended December 31, 2014 Market price at grant per share $ 15.03 Expected dividends — Expected volatility 65 % Risk-free interest rate 0.86 % |
Stock-based Compensation Expense Allocation | The following table summarizes the amount of compensation expense recognized for RSUs for the years ended December 31, 2015 , 2014 and 2013 (in thousands): Years Ended December 31, 2015 2014 2013 Service-based restricted stock units $ 1,362 $ 749 $ 592 Performance-based restricted stock units (28 ) 28 — Market-condition restricted stock units 128 90 — Total compensation expense recognized for employee restricted stock units $ 1,462 $ 867 $ 592 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income (loss) before income tax, domestic and foreign | For financial reporting purposes, income (loss) before income taxes includes the following components (in thousands): Years Ended December 31, 2015 2014 2013 United States $ (35,074 ) $ (19,301 ) $ (5,270 ) Foreign 17,344 17,375 13,762 Total $ (17,730 ) $ (1,926 ) $ 8,492 |
Components of income tax expense (benefit) | The provision for income taxes based on income (loss) before income taxes is as follows (in thousands): Years Ended December 31, 2015 2014 2013 Federal: Current $ — $ — $ (258 ) Deferred (4,297 ) (5,608 ) 222 (4,297 ) (5,608 ) (36 ) State: Current 6 6 6 Deferred 62 853 88 68 859 94 Foreign: Current 4,930 2,453 2,022 Deferred 8 1,944 311 4,938 4,397 2,333 Increase (decrease) in valuation allowance 3,894 4,698 (239 ) Tax provision $ 4,603 $ 4,346 $ 2,152 |
Tax rate reconciliation | The primary components of such difference are as follows (in thousands): Years Ended December 31, 2015 2014 2013 Taxes at federal statutory rate $ (6,028 ) $ (655 ) $ 2,888 State taxes, net of federal benefit (236 ) (90 ) (29 ) Effect of tax rate differential for foreign subsidiary (2,641 ) (3,570 ) (2,531 ) Valuation allowance, including tax benefits of stock activity 3,894 4,698 (239 ) Foreign taxes on unremitted earnings 2,085 1,590 — Stock-based compensation 134 621 460 Foreign withholding taxes 180 — — Return to provision adjustments 1,131 536 (920 ) Subpart F income inclusion 5,914 1,167 2,446 Other 170 49 77 Tax provision $ 4,603 $ 4,346 $ 2,152 |
Deferred tax assets and liabilities | Items that give rise to significant portions of the deferred tax accounts are as follows (in thousands): December 31, 2015 2014 Deferred tax assets: Tax loss carryforwards $ 52,504 $ 54,551 Tax credit carryforwards 19 19 Uniform capitalization, contract and inventory related reserves 1,558 1,728 Accrued vacation 592 669 Stock-based compensation 1,466 1,428 Capitalized research and development 6,212 — Tax basis depreciation less book depreciation 1,019 — Intangible assets 1,533 1,364 Deferred revenue 254 149 Accrued foreign taxes 1,271 — Unrealized gains and losses — 1,780 Other 2,527 2,668 Total 68,955 64,356 Deferred tax liabilities: Inventory deduction (235 ) (206 ) Pension assets (1,173 ) (1,476 ) Allowance for doubtful accounts (378 ) (407 ) Tax basis depreciation less book depreciation — (192 ) Withholding tax on undistributed earnings of foreign subsidiary (3,675 ) (1,590 ) Unrealized gains and losses (984 ) — Other (1 ) (241 ) Total (6,446 ) (4,112 ) Net deferred tax assets before valuation allowance 62,509 60,244 Valuation allowance (68,093 ) (64,199 ) Net deferred tax liabilities $ (5,584 ) $ (3,955 ) |
Unrecognized tax benefits rollforward | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands): Balance at December 31, 2013 $ 12,634 Increase in current period positions 890 Decrease in prior period positions (1,585 ) Balance at December 31, 2014 11,939 Increase in current period positions 1,466 Increase in prior period positions 609 Balance at December 31, 2015 $ 14,014 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Leases [Abstract] | |
Future annual minimum rental commitments | Future annual minimum rental commitments as of December 31, 2015 are as follows (in thousands): Fiscal Years 2016 $ 4,316 2017 3,652 2018 2,274 2019 2,266 2020 1,266 Thereafter 2,407 Total $ 16,181 |
Pension and Other Postretirem33
Pension and Other Postretirement Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Changes in the pension benefit obligation and plan assets | The following table reflects changes in the pension benefit obligation and plan assets for the years ended December 31, 2015 and 2014 (in thousands): Pension Benefits Years ended December 31, 2015 2014 Change in benefit obligation: Benefit obligation at beginning of year $ 33,006 $ 32,577 Service cost 958 846 Interest cost 332 697 Plan participant contributions 523 593 Benefits paid (3,064 ) (3,018 ) Actuarial loss 1,262 4,974 Plan change 83 — Effect of foreign currency translation 53 (3,663 ) Projected benefit obligation at end of year 33,153 33,006 Changes in plan assets: Fair value of plan assets at beginning of year 40,368 43,145 Actual return on plan assets 419 3,478 Company contributions 640 720 Plan participant contributions 523 593 Benefits paid (3,064 ) (3,018 ) Effect of foreign currency translation 116 (4,550 ) Fair value of plan assets at end of year 39,002 40,368 Funded status at end of year $ 5,849 $ 7,362 |
Amounts recognized in balance sheet | Amounts recognized in the consolidated balance sheets consist of (in thousands): As of December 31, 2015 2014 Net long-term pension asset $ 5,849 $ 7,362 Accumulated other comprehensive loss consists of the following: Net prior service cost 837 853 Net loss 5,668 3,897 Accumulated other comprehensive loss before taxes $ 6,505 $ 4,750 |
Net benefit cost and amounts recognized in other comprehensive income (loss) | The components of net periodic pension cost and other amounts recognized in other comprehensive income (loss) before taxes are as follows (in thousands): Years ended December 31, 2015 2014 2013 Components of net periodic pension cost: Service cost $ 958 $ 846 $ 831 Interest cost 332 697 504 Expected return on plan assets (1,551 ) (1,784 ) (1,539 ) Prior service cost amortization 136 140 44 Deferred loss amortization 45 — 180 Settlement cost 492 420 — Net periodic pension cost $ 412 $ 319 $ 20 Other amounts recognized in other comprehensive income (loss) before income taxes are as follows: Prior service cost amortization $ (136 ) $ (140 ) $ (44 ) Loss (gain) on value of plan assets 1,131 (1,695 ) (2,977 ) Actuarial (gain) loss on benefit obligation 1,262 4,975 (405 ) Plan change 83 — 978 Settlement (492 ) (420 ) — Deferred loss amortization (45 ) — (180 ) Total recognized in other comprehensive income (loss), before taxes $ 1,803 $ 2,720 $ (2,628 ) Total recognized in net periodic pension cost and other comprehensive income (loss), before taxes $ 2,215 $ 3,039 $ (2,608 ) |
Assumptions used to determine the benefit obligation and net periodic benefit cost | Assumptions used to determine the benefit obligation and net periodic pension cost are as follows: Pension Benefits Years ended December 31, 2015 2014 Weighted-average assumptions used to determine benefit obligation: Discount rate 0.75 % 1.00 % Rate of compensation increase 2.50 % 2.50 % Measurement date 11/30/2015 12/31/2014 Weighted-average assumptions used to determine net periodic pension cost: Discount rate 1.00 % 2.25 % Expected long-term return on plan assets 3.75 % 4.25 % Rate of compensation increase 2.50 % 2.50 % Percentage of the fair value of total plan assets held in each major category of plan assets: Equity securities 29 % 33 % Debt securities 23 % 22 % Real estate investment funds 43 % 40 % Other 5 % 5 % Total 100 % 100 % |
Net prior service costs amortization expense for next fiscal year | Expected amortization during the year ending December 31, 2016 is as follows (in thousands): Amortization of net prior service costs $ 149 |
Expected benefit payments | The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid (in thousands): 2016 $ 1,360 2017 1,372 2018 1,431 2019 1,411 2020 1,340 Years 2021 through 2025 7,392 Total $ 14,306 |
Fair values of the plans assets | The fair values of the plans assets at December 31, 2015 and 2014 , by asset category, are as follows (in thousands): Fair Value Measurements at December 31, 2015 Total Active Market Prices (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash: Held in Swiss Franc, Euro and USD $ 808 $ 808 $ — $ — Equity securities: Investment funds 12,292 11,303 989 — Real estate investment funds 16,917 — — 16,917 Fixed income / Bond Securities Fixed income / Bond securities: 8,949 8,949 — — Other assets (accounts receivable, assets at real estate management company) 36 — 36 — Net assets of pension plan $ 39,002 $ 21,060 $ 1,025 $ 16,917 Fair Value Measurements at December 31, 2014 Total Active Market Prices (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash: Held in Swiss Franc, Euro and USD $ 973 $ 973 $ — $ — Equity securities: Investment funds 14,481 14,481 — — Real estate investment funds 16,049 — — 16,049 Fixed income / Bond Securities Fixed income / Bond securities: 8,839 8,839 — — Other assets (accounts receivable, assets at real estate management company) 26 — 26 — Net assets of pension plan $ 40,368 $ 24,293 $ 26 $ 16,049 |
Level three defined benefit plan assets | For those financial instruments with significant Level 3 inputs, the following table summarizes the activity for the year by investment type: Description Real estate investments Beginning balance, December 31, 2014 $ 16,049 Total unrealized gains included in net gain (1) 869 Foreign currency translation adjustments (1 ) Ending balance, December 31, 2015 $ 16,917 _____________ (1) Total unrealized gains are reported as a component of the pension adjustment in accumulated other comprehensive income in the consolidated statement of stockholders’ equity. |
Restructuring and Exit Costs (T
Restructuring and Exit Costs (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and exit costs | The following table summarizes the restructuring and exit costs for the year ended December 31, 2015 (in thousands): Year ended December 31, 2015 Employee Severance Costs Lease Obligation Costs Total Costs incurred $ 1,439 $ 1,208 $ 2,647 Amounts paid (1,010 ) — (1,010 ) Accruals released (135 ) — (135 ) Other non-cash adjustments — (165 ) (165 ) Restructuring liability as of December 31, 2015 $ 294 $ 1,043 $ 1,337 |
Unaudited Quarterly Financial35
Unaudited Quarterly Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Unaudited quarterly results of operations | Quarter Ended March 31 June 30 September 30 December 31 (in thousands except per share data) Year Ended December 31, 2015 Operating: Total revenue $ 34,670 $ 37,796 $ 45,076 $ 49,830 Gross profit 10,303 12,153 14,256 14,250 Net income (loss) (9,341 ) (a) (9,376 ) (b) (1,449 ) (c) (2,167 ) (d) Basic and diluted net loss per share $ (0.32 ) $ (0.31 ) $ (0.05 ) $ (0.07 ) Quarter Ended March 31 June 30 September 30 December 31 (in thousands except per share data) Year Ended December 31, 2014 Operating: Total revenue $ 46,001 $ 46,074 $ 41,593 $ 52,918 Gross profit 17,863 16,597 15,480 18,503 Net income (loss) 319 (e) (1,181 ) (f) (3,292 ) (g) (2,118 ) (h) Basic and diluted net income (loss) per share $ 0.01 $ (0.04 ) $ (0.11 ) $ (0.07 ) _____________ (a) Includes a non-cash expense for stock-based compensation of $839,000 . (b) Includes restructuring costs of $2.3 million , a non-cash deferred tax expense of $2.1 million in connection with the probable repatriation of a portion of the unremitted earnings of a foreign subsidiary and a non-cash expense for stock-based compensation of $1.0 million . (c) Includes a non-cash expense for stock-based compensation of $1.1 million . (d) Includes a non-cash expense for stock-based compensation of $1.0 million . (e) Includes a non-cash expense for stock-based compensation of $755,000 . (f) Includes a non-cash expense for stock-based compensation of $1.2 million . (g) Includes a non-cash expense for stock-based compensation of $1.0 million . (h) Includes non-cash deferred tax expense of $1.6 million in connection with the probable repatriation of a portion of the unremitted earnings of a foreign subsidiary and a non-cash expense for stock-based compensation of $1.0 million . |
Description of Business and S36
Description of Business and Summary of Significant Accounting Policies (Textual) (Details) | 12 Months Ended | |||||
Dec. 31, 2015USD ($)manufacturing_locationcontract_manufacturerSegmentproduct_line | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2015CHF (SFr) | Dec. 31, 2015USD ($) | Dec. 31, 2012USD ($) | |
Significant Accounting Policies [Line Items] | ||||||
Restricted cash | $ 0 | $ 400,000 | ||||
Manufacturing locations | manufacturing_location | 3 | |||||
Cash and cash equivalents | 24,732,000 | $ 30,647,000 | 24,382,000 | $ 28,739,000 | ||
Consigned finished goods | 184,000 | 28,000 | ||||
Total deferred revenue and customer deposits | 703,000 | 3,066,000 | ||||
Leasehold improvements funded by landlords | 2,500,000 | 2,200,000 | ||||
Deferred rent related to leasehold improvements funding by landlords | 2,700,000 | 2,200,000 | ||||
Standard product warranty, term, minimum | 1 year | |||||
Standard product warranty, term, maximum | 8 years | |||||
Accrued warranty | 716,000 | 1,288,000 | ||||
FDIC insurance limit | $ 250,000 | |||||
Switzerland non-government financial institutions insured amount | SFr | SFr 100,000 | |||||
Research and development expense | $ 24,697,000 | 26,320,000 | 22,542,000 | |||
Third party funding offset | 1,300,000 | 1,000,000 | 1,300,000 | |||
Advertising expense | 1,100,000 | 1,400,000 | 884,000 | |||
Shipping and handling expense | $ 1,000,000 | $ 1,500,000 | $ 1,300,000 | |||
Number of operating segments | Segment | 1 | |||||
High Reliability [Member] | ||||||
Significant Accounting Policies [Line Items] | ||||||
Number of product lines | product_line | 3 | |||||
China [Member] | ||||||
Significant Accounting Policies [Line Items] | ||||||
Number of contract manufacturers | contract_manufacturer | 2 | |||||
Minimum | ||||||
Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives of property and equipment | 3 years | |||||
Maximum | ||||||
Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives of property and equipment | 10 years | |||||
Shenzhen Xinlikang [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||||||
Significant Accounting Policies [Line Items] | ||||||
Concentration Risk, Percentage | 33.00% |
Description of Business and S37
Description of Business and Summary of Significant Accounting Policies (Concentration of Credit Risk) (Details) - Customer Concentration Risk [Member] - customer | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Sales [Member] | |||
Concentration Risk [Line Items] | |||
Number of customers over 10% or Sales and AR | 1 | ||
Sales [Member] | Shenzhen Xinlikang [Member] | |||
Concentration Risk [Line Items] | |||
Major customer, percentage of sales | 19.00% | 20.00% | 22.00% |
Accounts Receivable [Member] | Shenzhen Xinlikang [Member] | |||
Concentration Risk [Line Items] | |||
Major customer, percentage of sales | 33.00% |
Description of Business and S38
Description of Business and Summary of Significant Accounting Policies (Computation of basic and diluted net income (loss) per share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2015 | [1] | Sep. 30, 2015 | [2] | Jun. 30, 2015 | [3] | Mar. 31, 2015 | [4] | Dec. 31, 2014 | [5] | Sep. 30, 2014 | [6] | Jun. 30, 2014 | [7] | Mar. 31, 2014 | [8] | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Schedule of computation of basic and diluted net income (loss) per share | |||||||||||||||||||
Net income (loss) | $ (2,167) | $ (1,449) | $ (9,376) | $ (9,341) | $ (2,118) | $ (3,292) | $ (1,181) | $ 319 | $ (22,333) | $ (6,272) | $ 6,340 | ||||||||
Weighted average common shares outstanding | 30,716 | 29,216 | 28,869 | ||||||||||||||||
Effect of potentially dilutive securities | |||||||||||||||||||
Weighted average common shares outstanding, assuming dilution | 30,716 | 29,216 | 28,903 | ||||||||||||||||
Net income (loss) per share: | |||||||||||||||||||
Basic (in dollars per share) | $ (0.73) | $ (0.21) | $ 0.22 | ||||||||||||||||
Diluted (in dollars per share) | $ (0.73) | $ (0.21) | $ 0.22 | ||||||||||||||||
Options to purchase common stock | |||||||||||||||||||
Effect of potentially dilutive securities | |||||||||||||||||||
Effect of potentially dilutive securities | 0 | 0 | 16 | ||||||||||||||||
Restricted Stock Awards | |||||||||||||||||||
Effect of potentially dilutive securities | |||||||||||||||||||
Effect of potentially dilutive securities | 0 | 0 | 3 | ||||||||||||||||
Restricted Stock Units | |||||||||||||||||||
Effect of potentially dilutive securities | |||||||||||||||||||
Effect of potentially dilutive securities | 0 | 0 | 14 | ||||||||||||||||
Employee Stock Purchase Plan | |||||||||||||||||||
Effect of potentially dilutive securities | |||||||||||||||||||
Effect of potentially dilutive securities | 0 | 0 | 1 | ||||||||||||||||
[1] | Includes a non-cash expense for stock-based compensation of $1.0 million. | ||||||||||||||||||
[2] | Includes a non-cash expense for stock-based compensation of $1.1 million. | ||||||||||||||||||
[3] | Includes restructuring costs of $2.3 million, a non-cash deferred tax expense of $2.1 million in connection with the probable repatriation of a portion of the unremitted earnings of a foreign subsidiary and a non-cash expense for stock-based compensation of $1.0 million. | ||||||||||||||||||
[4] | Includes a non-cash expense for stock-based compensation of $839,000. | ||||||||||||||||||
[5] | Includes non-cash deferred tax expense of $1.6 million in connection with the probable repatriation of a portion of the unremitted earnings of a foreign subsidiary and a non-cash expense for stock-based compensation of $1.0 million. | ||||||||||||||||||
[6] | Includes a non-cash expense for stock-based compensation of $1.0 million. | ||||||||||||||||||
[7] | Includes a non-cash expense for stock-based compensation of $1.2 million | ||||||||||||||||||
[8] | Includes a non-cash expense for stock-based compensation of $755,000. |
Description of Business and S39
Description of Business and Summary of Significant Accounting Policies (Antidilutive securities excluded from computation of earnings per share) (Details) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Options to purchase common stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive, shares | 931 | 672 | 790 |
Restricted Stock Awards | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive, shares | 245 | 528 | 424 |
Restricted Stock Units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive, shares | 885 | 224 | 0 |
Employee stock purchase plan awards | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive, shares | 10 | 9 | 1 |
Description of Business and S40
Description of Business and Summary of Significant Accounting Policies (Revenues by product line and geographic area) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Revenue from External Customer [Line Items] | ||||||||||||
Total | $ 49,830 | $ 45,076 | $ 37,796 | $ 34,670 | $ 52,918 | $ 41,593 | $ 46,074 | $ 46,001 | $ 167,372 | $ 186,586 | $ 193,534 | |
China [Member] | ||||||||||||
Revenue from External Customer [Line Items] | ||||||||||||
Total | 87,856 | 89,143 | 92,817 | |||||||||
United States [Member] | ||||||||||||
Revenue from External Customer [Line Items] | ||||||||||||
Total | 20,836 | 23,758 | 29,090 | |||||||||
Germany | ||||||||||||
Revenue from External Customer [Line Items] | ||||||||||||
Total | 13,972 | 16,384 | 25,935 | |||||||||
All other countries [Member] | ||||||||||||
Revenue from External Customer [Line Items] | ||||||||||||
Total | [1] | 44,708 | 57,301 | 45,692 | ||||||||
Ultracapacitors [Member] | ||||||||||||
Revenue from External Customer [Line Items] | ||||||||||||
Total | 114,525 | 135,637 | 136,277 | |||||||||
High-Voltage Capacitors [Member] | ||||||||||||
Revenue from External Customer [Line Items] | ||||||||||||
Total | 41,718 | 40,361 | 43,339 | |||||||||
Microelectronic Products [Member] | ||||||||||||
Revenue from External Customer [Line Items] | ||||||||||||
Total | $ 11,129 | $ 10,588 | $ 13,918 | |||||||||
[1] | Revenue from external customers located in countries included in “All other countries” do not individually comprise more than 10% of total revenues for any of the years presented. |
Description of Business and S41
Description of Business and Summary of Significant Accounting Policies (Long-lived assets by geographic location) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Long-Lived Assets [Line Items] | |||
Total | $ 32,436 | $ 38,667 | $ 45,606 |
United States [Member] | |||
Long-Lived Assets [Line Items] | |||
Total | 22,267 | 28,013 | 33,740 |
China [Member] | |||
Long-Lived Assets [Line Items] | |||
Total | 4,148 | 4,991 | 5,444 |
Switzerland [Member] | |||
Long-Lived Assets [Line Items] | |||
Total | $ 6,021 | $ 5,663 | $ 6,422 |
Balance Sheet Details (Details)
Balance Sheet Details (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Inventory | ||
Raw material and purchased parts | $ 21,126,000 | $ 23,042,000 |
Work-in-process | 4,367,000 | 2,522,000 |
Finished goods | 16,913,000 | 23,127,000 |
Consigned finished goods | 28,000 | 184,000 |
Reserves | (3,379,000) | (4,019,000) |
Total inventories, net | 39,055,000 | 44,856,000 |
Property and equipment, net: | ||
Property and equipment, gross | 107,722,000 | 103,702,000 |
Less accumulated depreciation and amortization | (75,398,000) | (64,479,000) |
Total property and equipment, net | 32,324,000 | 39,223,000 |
Accounts payable and accrued liabilities: | ||
Accounts payable | 22,291,000 | 12,544,000 |
Income tax payable | 1,376,000 | 1,852,000 |
Accrued warranty | 1,288,000 | 716,000 |
Other accrued liabilities | 9,030,000 | 11,899,000 |
Total accounts payable and accrued liabilities | 33,985,000 | 27,011,000 |
Machinery, furniture and office equipment [Member] | ||
Property and equipment, net: | ||
Property and equipment, gross | 76,077,000 | 72,323,000 |
Computer hardware and software [Member] | ||
Property and equipment, net: | ||
Property and equipment, gross | 12,235,000 | 12,003,000 |
Leasehold improvements [Member] | ||
Property and equipment, net: | ||
Property and equipment, gross | 16,883,000 | 16,661,000 |
Construction in progress [Member] | ||
Property and equipment, net: | ||
Property and equipment, gross | $ 2,527,000 | $ 2,715,000 |
Balance Sheet Details (Accumula
Balance Sheet Details (Accumulated other comprehensive income) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Accumulated other comprehensive income | |
Balance at December 31, 2014 | $ 4,723 |
Other comprehensive income before reclassification | 1,574 |
Amounts reclassified from accumulated other comprehensive income (loss) | (1,403) |
Net other comprehensive income for the year ended December 31, 2015 | 171 |
Balance at December 31, 2015 | 4,894 |
Foreign Currency Translation Adjustment | |
Accumulated other comprehensive income | |
Balance at December 31, 2014 | 8,359 |
Other comprehensive income before reclassification | 1,574 |
Amounts reclassified from accumulated other comprehensive income (loss) | 0 |
Net other comprehensive income for the year ended December 31, 2015 | 1,574 |
Balance at December 31, 2015 | 9,933 |
Defined Benefit Pension Plan | |
Accumulated other comprehensive income | |
Balance at December 31, 2014 | (3,636) |
Other comprehensive income before reclassification | 0 |
Amounts reclassified from accumulated other comprehensive income (loss) | (1,403) |
Net other comprehensive income for the year ended December 31, 2015 | (1,403) |
Balance at December 31, 2015 | $ (5,039) |
Goodwill (Goodwill rollforward)
Goodwill (Goodwill rollforward) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Balance, beginning of period | $ 23,599 | $ 25,978 |
Foreign currency translation adjustments | 36 | (2,379) |
Balance, end of period | $ 23,635 | $ 23,599 |
Fair Value Measurements Fair Va
Fair Value Measurements Fair Value Measurements (Details) | Dec. 31, 2015USD ($) |
Fair Value Disclosures [Abstract] | |
Fair value of foreign currency forward contracts | $ 16,000 |
Credit facilities (Details)
Credit facilities (Details) - USD ($) | 12 Months Ended | 13 Months Ended | |
Dec. 31, 2015 | Apr. 30, 2012 | Dec. 31, 2014 | |
Line of Credit Facility [Line Items] | |||
Required pledge of equity interests in subsidiary, percent | 100.00% | ||
Annual commitment fee | $ 125,000 | ||
Minimum | |||
Line of Credit Facility [Line Items] | |||
Unused commitment fee, percentage | 0.30% | ||
Maximum | |||
Line of Credit Facility [Line Items] | |||
Unused commitment fee, percentage | 0.50% | ||
Maxwell SA auto leases | Financing Agreements | Vehicles | |||
Line of Credit Facility [Line Items] | |||
Interest rate percentage, minimum | 1.90% | ||
Interest rate percentage, maximum | 5.10% | ||
Debt instrument, term | 3 years | ||
Long-term borrowings | $ 91,000 | $ 82,000 | |
Revolving Credit Facility | |||
Line of Credit Facility [Line Items] | |||
Revolving line of credit, maximum | 25,000,000 | ||
Amount available revolving credit facility | $ 22,700,000 | ||
Revolving Credit Facility | Prime Rate | |||
Line of Credit Facility [Line Items] | |||
Interest rate percentage, minimum | 0.00% | ||
Interest rate percentage, maximum | 0.50% | ||
Revolving Credit Facility | LIBOR | |||
Line of Credit Facility [Line Items] | |||
Interest rate percentage, minimum | 2.75% | ||
Interest rate percentage, maximum | 3.25% | ||
Debt instrument, variable rate | 2.25% | ||
Secured Debt | Equipment Term Loan | |||
Line of Credit Facility [Line Items] | |||
Eligible equipment purchase, percentage | 80.00% | ||
Debt instrument, amount borrowed | $ 5,000,000 |
Foreign Currency Derivative I47
Foreign Currency Derivative Instruments (Gains and losses on foreign currency forward contracts) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Foreign Currency Derivatives [Abstract] | |||
Total gain (loss) | $ (720) | $ (5,265) | $ 359 |
Foreign Currency Derivative I48
Foreign Currency Derivative Instruments (Gains and losses on foreign currency derivative contracts partially offset by net gains and losses on underlying monetary assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Foreign Currency Derivatives [Abstract] | |||
Total gain (loss) | $ 179 | $ 4,391 | $ (1,009) |
Foreign Currency Derivative I49
Foreign Currency Derivative Instruments (Textual) (Details) $ in Millions | Dec. 31, 2015USD ($) |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Notional amount of foreign currency forward contracts not designated as hedges | $ 1.3 |
Foreign Currency Derivative I50
Foreign Currency Derivative Instruments Foreign Currency Derivative Instruments (Schedule of Gross Amounts, Amounts Offset, and Net Amounts) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Gross amounts of recognized asset (liability) | $ 66 | |
Gross amounts of recognized asset (liability) | $ (1,993) | |
Gross amounts offset in the consolidated balance sheets | 50 | |
Gross amounts offset in the consolidated balance sheets | 350 | |
Net amount of recognized asset (liability) presented in the consolidated balance sheets | $ 16 | |
Net amount of recognized asset (liability) presented in the consolidated balance sheets | $ (1,643) |
Stock Plans (Textual) (Details)
Stock Plans (Textual) (Details) | 12 Months Ended | ||
Dec. 31, 2015USD ($)share_based_compensation_planshares$ / shares | Dec. 31, 2014USD ($)$ / sharesshares | Dec. 31, 2013USD ($)$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of active share-based compensation plans | share_based_compensation_plan | 2 | ||
Tax benefit associated with stock option exercises | $ 1,400,000 | ||
Tax benefit realized on stock-based compensation | $ 0 | $ 0 | $ 0 |
Weighted average grant date fair value of stock options granted | $ / shares | $ 3.34 | $ 2.89 | |
Number of stock options granted | shares | 322,000 | 0 | |
Total intrinsic value of options exercised | $ 16,000 | $ 638,000 | $ 18,000 |
Cash proceeds from options exercises | $ 128,000 | ||
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of option vesting | 1 year | ||
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of option vesting | 4 years | ||
Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total unrecognized compensation cost adjusted for estimated forfeitures | $ 741,000 | ||
Unrecognized compensation cost, weighted average recognition period | 3 years 4 months | ||
Restricted Stock Awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of option vesting | 4 years | ||
Total unrecognized compensation cost adjusted for estimated forfeitures | $ 2,400,000 | ||
Unrecognized compensation cost, weighted average recognition period | 1 year 8 months | ||
Fair value per unit | $ / shares | $ 14.21 | $ 10.20 | |
Service-based share awards vest date fair value | $ 1,200,000 | $ 1,200,000 | $ 916,000 |
Number of shares granted | shares | 0 | ||
Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of option vesting | 1 year | ||
Total unrecognized compensation cost adjusted for estimated forfeitures | $ 2,900,000 | ||
Unrecognized compensation cost, weighted average recognition period | 2 years 6 months | ||
Fair value per unit | $ / shares | $ 7.02 | $ 12.63 | $ 10.25 |
Service-based share awards vest date fair value | $ 498,000 | $ 631,000 | $ 275,000 |
Number of shares granted | shares | 829,000 | ||
Number of unrestricted shares of common stock received upon vesting | shares | 1 | ||
Restricted Stock Units | Service-based restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of option vesting | 4 years | ||
Restricted Stock Units | Performance-based restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair value per unit | $ / shares | $ 7.18 | $ 10.85 | |
Number of shares granted | shares | 215,000 | 50,000 | |
Restricted Stock Units | Market-condition restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of option vesting | 3 years | ||
Fair value per unit | $ / shares | $ 7.71 | ||
Number of shares granted | shares | 70,000 | ||
Employee stock purchase plan awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares included in equity incentive pool | shares | 1,000,000 | ||
Fair value per unit | $ / shares | $ 1.86 | $ 4.56 | $ 2.45 |
Number of shares issued during period | shares | 145,733 | 93,588 | |
Percentage of trading price of stock | 85.00% | ||
Offering period under ESPP | 6 months | ||
Percentage discount on the stock price | 15.00% | ||
Intrinsic value of stock purchased pursuant to ESPP | $ 210,000 | $ 449,000 | $ 33,000 |
Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares included in equity incentive pool | shares | 3,750,000 |
Stock Plans (Stock Option Activ
Stock Plans (Stock Option Activity) (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Number of Shares | ||
Balance at December 31, 2014 | 672,000 | |
Granted | 322,000 | 0 |
Exercised | (19,000) | |
Cancelled | (44,000) | |
Balance at December 31, 2015 | 931,000 | 672,000 |
Vested or expected to vest at December 31, 2015 | 886,000 | |
Exercisable at December 31, 2015 | 638,000 | |
Weighted Average Exercise Price | ||
Balance at December 31, 2014 | $ 12 | |
Granted | 6.72 | |
Exercised | 6.80 | |
Cancelled | 11.70 | |
Balance at December 31, 2015 | 10.19 | $ 12 |
Vested or expected to vest at December 31, 2015 | 10.38 | |
Exercisable at December 31, 2015 | $ 11.81 | |
Additional Disclosures | ||
Balance at period end, Weighted Average Remaining Contractual Term (in years) | 3 years 10 months 5 days | |
Balance at period end, Aggregate Intrinsic Value | $ 196 | |
Vested or expected to vest, Weighted Average Contractual Term (in years) | 3 years 6 months 27 days | |
Vested or expected to vest, Aggregate Intrinsic Value | $ 162 | |
Exercisable, Weighted Average Contractual Term (in years) | 1 year 4 months 2 days | |
Exercisable, Aggregate Intrinsic Value | $ 16 |
Stock Plans (Fair Value of Awar
Stock Plans (Fair Value of Awards Weighted-Average Assumptions) (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividends | 0.00% | 0.00% | |
Expected volatility, minimum | 60.00% | 58.00% | |
Expected volatility, maximum | 61.00% | 69.00% | |
Expected volatility, weighted average | 60.00% | 63.00% | |
Risk-free interest rate | 1.60% | ||
Expected life (in years) | 4 years 10 months 15 days | 2 years 10 months 15 days | |
Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Market price at grant per share | $ 15.03 | ||
Expected dividends | 0.00% | ||
Expected volatility | 65.00% | ||
Risk-free interest rate | 0.86% | ||
Minimum | Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 1.10% | ||
Maximum | Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 2.10% |
Stock Plans (Restricted Stock A
Stock Plans (Restricted Stock Award Activity) (Details) - Restricted Stock Awards - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Shares | |||
Nonvested at December 31, 2014 | 528,000 | ||
Granted | 0 | ||
Vested | (180,000) | ||
Forfeited | (103,000) | ||
Nonvested at December 31, 2015 | 245,000 | 528,000 | |
Weighted Average Grant Date Fair Value | |||
Nonvested at December 31, 2014 | $ 13.77 | ||
Granted | $ 14.21 | $ 10.20 | |
Vested | 15.58 | ||
Forfeited | 10.37 | ||
Nonvested at December 31, 2015 | $ 13.87 | $ 13.77 |
Stock Plans Stock Plans (Restri
Stock Plans Stock Plans (Restricted Stock Unit Awards Activity) (Details) - Restricted Stock Units - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Shares | |||
Nonvested at December 31, 2014 | 224 | ||
Granted | 829 | ||
Vested | (80) | ||
Forfeited | (88) | ||
Nonvested at December 31, 2015 | 885 | 224 | |
Weighted Average Grant Date Fair Value | |||
Nonvested at December 31, 2014 | $ 10.02 | ||
Granted | 7.02 | $ 12.63 | $ 10.25 |
Vested | 10.02 | ||
Forfeited | 8.57 | ||
Nonvested at December 31, 2015 | $ 7.36 | $ 10.02 |
Stock Plans (Stock-based Compen
Stock Plans (Stock-based Compensation Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | $ 3,946 | $ 3,967 | $ 3,980 |
Cost of revenue | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | 644 | 740 | 1,079 |
Selling, general and administrative | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | 2,502 | 2,362 | 2,140 |
Research and development | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | 800 | 865 | 761 |
Restricted Stock Units | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | 1,462 | 867 | 592 |
Restricted Stock Units | Service-based restricted stock units | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | 1,362 | 749 | 592 |
Restricted Stock Units | Performance-based restricted stock units | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | (28) | 28 | 0 |
Restricted Stock Units | Market-condition restricted stock units | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | 128 | 90 | 0 |
Employee Stock Option | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | 232 | 52 | 827 |
Restricted Stock Awards | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | 1,974 | 2,536 | 2,491 |
Employee Stock Purchase Plan | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense | $ 278 | $ 512 | $ 70 |
Stock Plans (Fair Value of "Loo
Stock Plans (Fair Value of "Look Back" Option for ESPP Weighted-Average Assumptions) (Details) - Employee Stock Purchase Plan - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Schedule of stock options and employee stock purchase plan weighted-average assumptions | |||
Expected dividends | 0.00% | 0.00% | 0.00% |
Stock price on valuation date | $ 5.97 | $ 8.47 | $ 7.77 |
Expected volatility | 57.00% | 77.00% | 46.00% |
Risk-free interest rate | 0.29% | 0.08% | 0.07% |
Expected life (in years) | 6 months | 4 months 25 days | 3 months |
Fair value per unit | $ 1.86 | $ 4.56 | $ 2.45 |
Stock Plans (Reservation of Sha
Stock Plans (Reservation of Shares for Issuance) (Details) | Dec. 31, 2015shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Total reservation of shares under stock compensation plans | 2,507,926 |
2013 Omnibus Equity Incentive Plan | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Total reservation of shares under stock compensation plans | 2,200,800 |
2004 Employee Stock Purchase Plan | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Total reservation of shares under stock compensation plans | 307,126 |
Stock Offering Stock Offering (
Stock Offering Stock Offering (Textual) (Details) - USD ($) $ / shares in Units, shares in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Jun. 03, 2014 | |
Stock Offering [Line Items] | ||
Value of Securities Permitted For Issuance Under Shelf Registration | $ 125,000,000 | |
Sale of Stock, Consideration Received on Transaction Upon Sale | $ 10,000,000 | |
Sale of Stock, Percentage of Commissions to Sales Agent for Shares of Common Stock Sold Upon Sale | 3.00% | |
Shares Issued, Price Per Share | $ 5.46 | |
Proceeds from Issuance of Common Stock | $ 9,600,000 | |
Payments of Stock Issuance Costs | $ 406,000 | |
Common Stock [Member] | ||
Stock Offering [Line Items] | ||
Proceeds from issuance of common stock, shares | 1,831 |
Income Taxes - Income (Loss) Be
Income Taxes - Income (Loss) Before Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (35,074) | $ (19,301) | $ (5,270) |
Foreign | 17,344 | 17,375 | 13,762 |
Income (loss) before income taxes | $ (17,730) | $ (1,926) | $ 8,492 |
Income Taxes - Income Taxes Pro
Income Taxes - Income Taxes Provision (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
Federal, current | $ 0 | $ 0 | $ (258) |
Federal, deferred | (4,297) | (5,608) | 222 |
Federal, total | (4,297) | (5,608) | (36) |
State, current | 6 | 6 | 6 |
State, deferred | 62 | 853 | 88 |
State, total | 68 | 859 | 94 |
Foreign, current | 4,930 | 2,453 | 2,022 |
Foreign, deferred | 8 | 1,944 | 311 |
Foreign, total | 4,938 | 4,397 | 2,333 |
Valuation allowance | 3,894 | 4,698 | (239) |
Tax provision | $ 4,603 | $ 4,346 | $ 2,152 |
Income Taxes - Reconciliation (
Income Taxes - Reconciliation (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | ||||
Taxes at federal statutory rate | $ (6,028) | $ (655) | $ 2,888 | |
State taxes, net of federal benefit | (236) | (90) | (29) | |
Effect of tax rate differential for foreign subsidiary | (2,641) | (3,570) | (2,531) | |
Valuation allowance, including tax benefits of stock activity | 3,894 | 4,698 | (239) | |
Foreign taxes on unremitted earnings | $ 1,590 | 2,085 | 0 | |
Stock-based compensation | 134 | 621 | 460 | |
Foreign withholding taxes | 180 | 0 | 0 | |
Return to provision adjustments | 1,131 | 536 | (920) | |
Subpart F income inclusion | 5,914 | 1,167 | 2,446 | |
Other | 170 | 49 | 77 | |
Tax provision | $ 4,603 | $ 4,346 | $ 2,152 |
Income Taxes Income Taxes (Text
Income Taxes Income Taxes (Textual) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Taxes [Line Items] | ||||
Valuation allowance | $ 64,199,000 | $ 68,093,000 | $ 64,199,000 | |
Increase (decrease) in valuation allowance | (3,900,000) | |||
Operating loss carryforwards, federal | 152,900,000 | |||
Operating loss carryforwards, state | 61,200,000 | |||
Tax credit carryforwards research and development and other, federal | 6,100,000 | |||
Tax credit carryforwards research and development and other, state | 7,700,000 | |||
Excess tax benefits from employee stock purchase plan | 3,500,000 | 3,600,000 | ||
Decrease in foreign tax | $ 672,000 | $ 665,000 | ||
Benefit of the tax holiday on net income per share (diluted) | $ 0.02 | $ 0.02 | ||
Foreign taxes on unremitted earnings | 1,590,000 | $ 2,085,000 | $ 0 | |
Unremitted earnings of a foreign subsidiary no longer considered indefinitely reinvested | 31,800,000 | 41,700,000 | $ 31,800,000 | |
Unremitted earnings from foreign subsidiaries | 10,200,000 | |||
Deferred tax assets included in non-current assets | $ 460,000 | 491,000 | 460,000 | |
Total unrecognized tax benefits | 13,800,000 | |||
Interest and penalties | 119,000 | $ 34,000 | $ 126,000 | |
Germany | ||||
Income Taxes [Line Items] | ||||
Increase (decrease) in valuation allowance | 316,000 | |||
Deferred Tax Asset, Stock Option Deductions | ||||
Income Taxes [Line Items] | ||||
Valuation allowance | $ 15,500,000 |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred tax assets: | ||
Tax loss carryforwards | $ 52,504 | $ 54,551 |
Tax credit carryforwards | 19 | 19 |
Uniform capitalization, contract and inventory related reserves | 1,558 | 1,728 |
Accrued vacation | 592 | 669 |
Stock-based compensation | 1,466 | 1,428 |
Capitalized research and development | 6,212 | 0 |
Tax basis depreciation less book depreciation | 1,019 | 0 |
Intangible assets | 1,533 | 1,364 |
Deferred revenue | 254 | 149 |
Accrued foreign taxes | 1,271 | 0 |
Unrealized gains and losses | 0 | 1,780 |
Other | 2,527 | 2,668 |
Total | 68,955 | 64,356 |
Deferred tax liabilities: | ||
Inventory deduction | (235) | (206) |
Pension assets | (1,173) | (1,476) |
Allowance for doubtful accounts | (378) | (407) |
Tax basis depreciation less book depreciation | 0 | (192) |
Withholding tax on undistributed earnings of foreign subsidiary | (3,675) | (1,590) |
Unrealized gains and losses | (984) | 0 |
Other | (1) | (241) |
Total | (6,446) | (4,112) |
Net deferred tax assets before valuation allowance | 62,509 | 60,244 |
Valuation allowance | (68,093) | (64,199) |
Net deferred tax liabilities | $ (5,584) | $ (3,955) |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Unrecognized Tax Benefit (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Beginning Balance | $ 11,939 | $ 12,634 |
Increase in current period positions | 1,466 | 890 |
Decrease in prior period positions | (1,585) | |
Increase in prior period positions | 609 | |
Ending Balance | $ 14,014 | $ 11,939 |
Leases (Future annual minimum r
Leases (Future annual minimum rental commitments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Leases [Abstract] | |||
Rental expense | $ 5,000 | $ 5,600 | $ 5,100 |
Future annual minimum rental commitments | |||
2,015 | 4,316 | ||
2,016 | 3,652 | ||
2,017 | 2,274 | ||
2,018 | 2,266 | ||
2,019 | 1,266 | ||
Thereafter | 2,407 | ||
Total | $ 16,181 |
Pension and Other Postretirem67
Pension and Other Postretirement Benefit Plans (Textual) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of total contributions made by employees | 45.00% | ||
Pension asset | $ 5,849,000 | $ 7,362,000 | |
Foreign Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Employer contributions | 640,000 | 720,000 | $ 722,000 |
Pension asset | 5,849,000 | 7,362,000 | |
Accumulated benefit obligation | 31,300,000 | $ 31,300,000 | |
Estimated future employer contributions in 2015 | $ 550,000 |
Pension and Other Postretirem68
Pension and Other Postretirement Benefit Plans (Changes in the pension benefit obligation and plan assets) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Change in benefit obligation: | |||
Defined Benefit Plan, Plan Amendments | $ 83,000 | $ 0 | |
Changes in plan assets: | |||
Funded status at end of year | 5,849,000 | 7,362,000 | |
Foreign Plan [Member] | |||
Change in benefit obligation: | |||
Benefit obligation at beginning of year | 33,006,000 | 32,577,000 | |
Service cost | 958,000 | 846,000 | $ 831,000 |
Interest cost | 332,000 | 697,000 | 504,000 |
Plan participant contributions | 523,000 | 593,000 | |
Benefits paid | (3,064,000) | (3,018,000) | |
Actuarial loss | 1,262,000 | 4,974,000 | |
Effect of foreign currency translation | 53,000 | (3,663,000) | |
Projected benefit obligation at end of year | 33,153,000 | 33,006,000 | 32,577,000 |
Changes in plan assets: | |||
Fair value of plan assets at beginning of year | 40,368,000 | 43,145,000 | |
Actual return on plan assets | 419,000 | 3,478,000 | |
Company contributions | 640,000 | 720,000 | 722,000 |
Plan participant contributions | 523,000 | 593,000 | |
Benefits paid | (3,064,000) | (3,018,000) | |
Effect of foreign currency translation | 116,000 | (4,550,000) | |
Fair value of plan assets at end of year | 39,002,000 | 40,368,000 | $ 43,145,000 |
Funded status at end of year | $ 5,849,000 | $ 7,362,000 |
Pension and Other Postretirem69
Pension and Other Postretirement Benefit Plans (Amounts recognized in balance sheet) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Defined Benefit Plan Disclosure [Line Items] | ||
Net long-term pension asset | $ 5,849 | $ 7,362 |
Foreign Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net long-term pension asset | 5,849 | 7,362 |
Accumulated other comprehensive loss consists of the following: | ||
Net prior service cost | 837 | 853 |
Net loss | 5,668 | 3,897 |
Accumulated other comprehensive loss before taxes | $ 6,505 | $ 4,750 |
Pension and Other Postretirem70
Pension and Other Postretirement Benefit Plans (Net periodic pension cost (income) and other amounts recognized in other comprehensive income (loss) before taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Components of net periodic pension cost: | |||
Net periodic pension cost | $ 412 | $ 319 | $ 20 |
Foreign Plan [Member] | |||
Components of net periodic pension cost: | |||
Service cost | 958 | 846 | 831 |
Interest cost | 332 | 697 | 504 |
Expected return on plan assets | (1,551) | (1,784) | (1,539) |
Prior service cost amortization | 136 | 140 | 44 |
Deferred loss amortization | 45 | 0 | 180 |
Settlement cost | 492 | 420 | 0 |
Net periodic pension cost | 412 | 319 | 20 |
Other amounts recognized in other comprehensive income (loss) before income taxes are as follows: | |||
Prior service cost amortization | (136) | (140) | (44) |
Loss (gain) on value of plan assets | 1,131 | (1,695) | (2,977) |
Actuarial (gain) loss on benefit obligation | 1,262 | 4,975 | (405) |
Actuarial (gain) loss on benefit obligation | 83 | 0 | 978 |
Settlement | (492) | (420) | 0 |
Deferred loss amortization | (45) | 0 | (180) |
Total recognized in other comprehensive income (loss), before taxes | 1,803 | 2,720 | (2,628) |
Total recognized in net periodic pension cost and other comprehensive income (loss), before taxes | $ 2,215 | $ 3,039 | $ (2,608) |
Pension and Other Postretirem71
Pension and Other Postretirement Benefit Plans (Assumptions used to determine the benefit obligation and net periodic benefit cost) (Details) - Foreign Plan [Member] | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Weighted-average assumptions used to determine benefit obligation: | ||
Discount rate | 0.75% | 1.00% |
Rate of compensation increase | 2.50% | 2.50% |
Weighted-average assumptions used to determine net periodic pension cost: | ||
Discount rate | 1.00% | 2.25% |
Expected long-term return on plan assets | 3.75% | 4.25% |
Rate of compensation increase | 2.50% | 2.50% |
Percentage of the fair value of total plan assets held in each major category of plan assets: | ||
Percentage of the fair value of total plan assets held in each major category of plan assets: | 100.00% | 100.00% |
Equity Securities [Member] | ||
Percentage of the fair value of total plan assets held in each major category of plan assets: | ||
Percentage of the fair value of total plan assets held in each major category of plan assets: | 29.00% | 33.00% |
Debt Securities [Member] | ||
Percentage of the fair value of total plan assets held in each major category of plan assets: | ||
Percentage of the fair value of total plan assets held in each major category of plan assets: | 23.00% | 22.00% |
Real estate investment funds | ||
Percentage of the fair value of total plan assets held in each major category of plan assets: | ||
Percentage of the fair value of total plan assets held in each major category of plan assets: | 43.00% | 40.00% |
Other [Member] | ||
Percentage of the fair value of total plan assets held in each major category of plan assets: | ||
Percentage of the fair value of total plan assets held in each major category of plan assets: | 5.00% | 5.00% |
Pension and Other Postretirem72
Pension and Other Postretirement Benefit Plans (Plan assets) (Details) - Foreign Plan [Member] | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Expected future long-term rate of return on plan assets, percent | 3.00% | 3.75% |
Swiss bonds [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target plan asset allocation, percentage | 14.00% | |
Historical asset rates of return (percentage) | 0.21% | 0.76% |
Non-Swiss hedged bonds [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target plan asset allocation, percentage | 10.00% | |
Swiss equities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target plan asset allocation, percentage | 10.00% | |
Historical asset rates of return (percentage) | 3.52% | 4.10% |
Global equities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target plan asset allocation, percentage | 15.00% | |
Hedged Foreign Bonds [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Historical asset rates of return (percentage) | 0.00% | 1.04% |
Real Estate [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target plan asset allocation, percentage | 40.00% | |
Historical asset rates of return (percentage) | 2.54% | 3.69% |
Unhedged Global Equities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Historical asset rates of return (percentage) | 5.21% | 5.45% |
Emerging Market Equities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target plan asset allocation, percentage | 5.00% | |
Historical asset rates of return (percentage) | 5.21% | 5.31% |
Alernative investments [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target plan asset allocation, percentage | 4.00% | |
Historical asset rates of return (percentage) | 1.23% | 2.33% |
Cash and other short-term investments [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target plan asset allocation, percentage | 2.00% | |
Historical asset rates of return (percentage) | 0.23% | 1.32% |
Pension and Other Postretirem73
Pension and Other Postretirement Benefit Plans (Amounts that will be amortized in next fiscal year) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Foreign Plan [Member] | |
Expected amortization during the year ending December 31, 2013 is as follows (in thousands): | |
Amortization of net prior service costs | $ 149 |
Pension and Other Postretirem74
Pension and Other Postretirement Benefit Plans (Expected benefit payments) (Details) - Foreign Plan [Member] $ in Thousands | Dec. 31, 2015USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
2,015 | $ 1,360 |
2,016 | 1,372 |
2,017 | 1,431 |
2,018 | 1,411 |
2,019 | 1,340 |
Years 2020 through 2024 | 7,392 |
Total | $ 14,306 |
Pension and Other Postretirem75
Pension and Other Postretirement Benefit Plans (Fair values of the plans assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Financial instruments with significant Level 3 inputs | ||||
Foreign currency translation adjustment | $ 1,574 | $ (10,445) | $ 2,428 | |
Foreign Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 39,002 | 40,368 | $ 43,145 | |
Financial instruments with significant Level 3 inputs | ||||
Beginning balance, December 31, 2014 | 16,049 | |||
Total unrealized gains included in net gain | [1] | 869 | ||
Foreign currency translation adjustment | (1) | |||
Ending balance, December 31, 2015 | 16,917 | 16,049 | ||
Foreign Plan [Member] | Held in Swiss Franc, Euro and USD [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 808 | 973 | ||
Foreign Plan [Member] | Equity Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 12,292 | 14,481 | ||
Foreign Plan [Member] | Real estate investment funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 16,917 | 16,049 | ||
Foreign Plan [Member] | Fixed income / Bond securities: | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 8,949 | 8,839 | ||
Foreign Plan [Member] | Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 36 | 26 | ||
Foreign Plan [Member] | Active Market Prices (Level 1) | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 21,060 | 24,293 | ||
Foreign Plan [Member] | Active Market Prices (Level 1) | Held in Swiss Franc, Euro and USD [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 808 | 973 | ||
Foreign Plan [Member] | Active Market Prices (Level 1) | Equity Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 11,303 | 14,481 | ||
Foreign Plan [Member] | Active Market Prices (Level 1) | Real estate investment funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 0 | 0 | ||
Foreign Plan [Member] | Active Market Prices (Level 1) | Fixed income / Bond securities: | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 8,949 | 8,839 | ||
Foreign Plan [Member] | Active Market Prices (Level 1) | Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 0 | 0 | ||
Foreign Plan [Member] | Significant Observable Inputs (Level 2) | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 1,025 | 26 | ||
Foreign Plan [Member] | Significant Observable Inputs (Level 2) | Held in Swiss Franc, Euro and USD [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 0 | 0 | ||
Foreign Plan [Member] | Significant Observable Inputs (Level 2) | Equity Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 989 | 0 | ||
Foreign Plan [Member] | Significant Observable Inputs (Level 2) | Real estate investment funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 0 | 0 | ||
Foreign Plan [Member] | Significant Observable Inputs (Level 2) | Fixed income / Bond securities: | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 0 | 0 | ||
Foreign Plan [Member] | Significant Observable Inputs (Level 2) | Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 36 | 26 | ||
Foreign Plan [Member] | Significant Unobservable Inputs (Level 3) | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 16,917 | 16,049 | ||
Foreign Plan [Member] | Significant Unobservable Inputs (Level 3) | Held in Swiss Franc, Euro and USD [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 0 | 0 | ||
Foreign Plan [Member] | Significant Unobservable Inputs (Level 3) | Equity Securities [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 0 | 0 | ||
Foreign Plan [Member] | Significant Unobservable Inputs (Level 3) | Real estate investment funds | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 16,917 | 16,049 | ||
Foreign Plan [Member] | Significant Unobservable Inputs (Level 3) | Fixed income / Bond securities: | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | 0 | 0 | ||
Foreign Plan [Member] | Significant Unobservable Inputs (Level 3) | Other [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net assets of pension plan | $ 0 | $ 0 | ||
[1] | Total unrealized gains are reported as a component of the pension adjustment in accumulated other comprehensive income in the consolidated statement of stockholders’ equity. |
Pension and Other Postretirem76
Pension and Other Postretirement Benefit Plans (Contributory employee savings plan) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Contribution Plan Disclosure [Line Items] | |||
Matching contribution, contributory employee savings plan, amount | $ 637,000 | $ 547,000 | $ 506,000 |
Postretirement Benefit Plan [Member] | United States [Member] | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Company matching contribution percentage | 50.00% |
Legal Proceedings (Textual) (De
Legal Proceedings (Textual) (Details) $ in Millions | Jul. 13, 2015USD ($) | Jun. 30, 2013shareholder_derivative_actions | May. 07, 2013shareholder_derivative_actions |
Federal Shareholder Derivative Settlement | |||
Loss Contingencies [Line Items] | |||
Number of shareholder class actions filed | 2 | ||
Fee award amount | $ | $ 1.1 | ||
State Shareholder Derivative Matter | |||
Loss Contingencies [Line Items] | |||
Number of shareholder class actions filed | 2 | ||
Number of actions | 2 |
Restructuring and Exit Costs (N
Restructuring and Exit Costs (Narrative) (Details) | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2015USD ($) | Dec. 31, 2015USD ($)ft² | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||||
Total expected restructuring charges | $ 1,400,000 | |||
Amount paid in restructuring expenses | 1,010,000 | |||
Liability recorded related to the exit of leased space | 2,647,000 | |||
Restructuring and exit costs | $ 2,300,000 | 2,512,000 | $ 0 | $ 0 |
Accelerated depreciation expense | 434,000 | |||
Restructuring liability | 1,337,000 | |||
Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total expected restructuring charges | 2,600,000 | |||
Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total expected restructuring charges | 3,300,000 | |||
Facility Closing | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Amount paid in restructuring expenses | $ 0 | |||
Square feet of manufacturing facility | ft² | 60,000 | |||
Liability recorded related to the exit of leased space | $ 1,208,000 | |||
Restructuring liability | 1,043,000 | |||
Facility Closing | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total expected restructuring charges | 1,200,000 | |||
Facility Closing | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total expected restructuring charges | 1,900,000 | |||
Employee Severance Costs | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total expected restructuring charges | 1,300,000 | |||
Amount paid in restructuring expenses | 1,010,000 | |||
Liability recorded related to the exit of leased space | 1,439,000 | |||
Restructuring and exit costs | 1,300,000 | |||
Restructuring liability | 294,000 | |||
Employee Relocation | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total expected restructuring charges | 125,000 | |||
Accelerated Depreciation | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total expected restructuring charges | 560,000 | |||
Capital Expenditures | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Total expected restructuring charges | 1,600,000 | |||
Other Current Liabilities | Facility Closing | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring liability | 231,000 | |||
Other Noncurrent Liabilities | Facility Closing | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring liability | $ 812,000 |
Restructuring and Exit Costs (S
Restructuring and Exit Costs (Schedule of Severance and Exit Costs) (Details) | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Costs incurred | $ 2,647,000 |
Amounts paid | (1,010,000) |
Accruals released | (135,000) |
Other non-cash adjustments | (165,000) |
Restructuring liability | 1,337,000 |
Employee Severance Costs | |
Restructuring Cost and Reserve [Line Items] | |
Costs incurred | 1,439,000 |
Amounts paid | (1,010,000) |
Accruals released | (135,000) |
Other non-cash adjustments | 0 |
Restructuring liability | 294,000 |
Facility Closing | |
Restructuring Cost and Reserve [Line Items] | |
Costs incurred | 1,208,000 |
Amounts paid | 0 |
Accruals released | 0 |
Other non-cash adjustments | (165,000) |
Restructuring liability | $ 1,043,000 |
Unaudited Quarterly Financial80
Unaudited Quarterly Financial Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||||||||
Operating Income (Loss) [Abstract] | |||||||||||||||||||
Revenue | $ 49,830,000 | $ 45,076,000 | $ 37,796,000 | $ 34,670,000 | $ 52,918,000 | $ 41,593,000 | $ 46,074,000 | $ 46,001,000 | $ 167,372,000 | $ 186,586,000 | $ 193,534,000 | ||||||||
Gross profit | 14,250,000 | 14,256,000 | 12,153,000 | 10,303,000 | 18,503,000 | 15,480,000 | 16,597,000 | 17,863,000 | 50,962,000 | 68,443,000 | 75,290,000 | ||||||||
Net income (loss) | $ (2,167,000) | [1] | $ (1,449,000) | [2] | $ (9,376,000) | [3] | $ (9,341,000) | [4] | $ (2,118,000) | [5] | $ (3,292,000) | [6] | $ (1,181,000) | [7] | $ 319,000 | [8] | (22,333,000) | (6,272,000) | 6,340,000 |
Basic and diluted net loss per share | $ (0.07) | $ (0.05) | $ (0.31) | $ (0.32) | $ (0.07) | $ (0.11) | $ (0.04) | $ 0.01 | |||||||||||
Stock-based compensation expense | $ 1,000,000 | $ 1,100,000 | $ 1,000,000 | $ 839,000 | $ 1,000,000 | $ 1,000,000 | $ 1,200,000 | $ 755,000 | 3,946,000 | 3,967,000 | 3,980,000 | ||||||||
Deferred Tax Liabilities, Undistributed Foreign Earnings | $ 3,675,000 | 1,590,000 | 3,675,000 | 1,590,000 | |||||||||||||||
Restructuring and exit costs | $ 2,300,000 | 2,512,000 | $ 0 | 0 | |||||||||||||||
Repatriation of Foreign Earnings, Amount | $ 1,590,000 | $ 2,085,000 | $ 0 | ||||||||||||||||
[1] | Includes a non-cash expense for stock-based compensation of $1.0 million. | ||||||||||||||||||
[2] | Includes a non-cash expense for stock-based compensation of $1.1 million. | ||||||||||||||||||
[3] | Includes restructuring costs of $2.3 million, a non-cash deferred tax expense of $2.1 million in connection with the probable repatriation of a portion of the unremitted earnings of a foreign subsidiary and a non-cash expense for stock-based compensation of $1.0 million. | ||||||||||||||||||
[4] | Includes a non-cash expense for stock-based compensation of $839,000. | ||||||||||||||||||
[5] | Includes non-cash deferred tax expense of $1.6 million in connection with the probable repatriation of a portion of the unremitted earnings of a foreign subsidiary and a non-cash expense for stock-based compensation of $1.0 million. | ||||||||||||||||||
[6] | Includes a non-cash expense for stock-based compensation of $1.0 million. | ||||||||||||||||||
[7] | Includes a non-cash expense for stock-based compensation of $1.2 million | ||||||||||||||||||
[8] | Includes a non-cash expense for stock-based compensation of $755,000. |
Schedule II - Valuation and Q81
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Allowance for Doubtful Accounts [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at the Beginning of the Year ($) | $ 143 | $ 134 | $ 157 |
Charged to Expense ($) | 304 | 61 | 22 |
Acquisitions/ Transfers and Other ($) | 1 | 0 | 0 |
Write-offs Net of Recoveries ($) | (196) | (52) | (45) |
Balance at the End of the Year ($) | 252 | 143 | 134 |
Allowance for Excess and Obsolete Inventories [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at the Beginning of the Year ($) | 4,019 | 3,570 | 1,941 |
Charged to Expense ($) | 475 | 892 | 2,023 |
Acquisitions/ Transfers and Other ($) | (1) | (24) | 12 |
Write-offs Net of Recoveries ($) | (1,114) | (419) | (406) |
Balance at the End of the Year ($) | $ 3,379 | $ 4,019 | $ 3,570 |