Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 08, 2019 | Jun. 30, 2018 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | QUIDEL CORP /DE/ | ||
Entity Central Index Key | 353,569 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | QDEL | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 39,446,667 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 2,294,280,391 | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Entity Shell Company | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 43,695 | $ 36,086 |
Accounts receivable, net | 58,677 | 67,046 |
Inventories | 67,379 | 67,078 |
Assets held for sale | 0 | 146,644 |
Prepaid expenses and other current assets | 23,646 | 14,375 |
Total current assets | 193,397 | 331,229 |
Property, plant and equipment, net | 73,901 | 61,585 |
Goodwill | 337,021 | 337,028 |
Intangible assets, net | 175,029 | 203,827 |
Deferred tax asset—non-current | 22,192 | 0 |
Other non-current assets | 4,831 | 1,582 |
Total assets | 806,371 | 935,251 |
Current liabilities: | ||
Accounts payable | 25,171 | 27,279 |
Accrued payroll and related expenses | 19,210 | 15,926 |
Current portion of contingent consideration | 3,983 | 6,293 |
Current portion of deferred consideration | 44,000 | 46,000 |
Current portion of Revolving Credit Facility | 0 | 10,000 |
Current portion of Convertible Senior Notes | 54,379 | 0 |
Current portion of Term Loan | 0 | 10,184 |
Other current liabilities | 12,992 | 12,666 |
Total current liabilities | 159,735 | 128,348 |
Convertible Senior Notes | 0 | 149,868 |
Term Loan | 0 | 227,394 |
Revolving Credit Facility | 53,188 | 0 |
Deferred consideration - non-current | 143,158 | 177,158 |
Contingent consideration - non-current | 15,129 | 18,008 |
Deferred tax liability - non-current | 0 | 430 |
Other non-current liabilities | 9,577 | 6,941 |
Commitments and contingencies (Note 8) | ||
Stockholders’ equity: | ||
Preferred stock, $.001 par value per share; 5,000 shares authorized; none issued or outstanding at December 31, 2018 and 2017 | 0 | 0 |
Common stock, $.001 par value per share; 97,500 shares authorized; 39,386 and 34,540 shares issued and outstanding at December 31, 2018 and 2017, respectively | 39 | 35 |
Additional paid-in capital | 363,921 | 239,489 |
Accumulated other comprehensive loss | (139) | 0 |
Retained earnings (accumulated deficit) | 61,763 | (12,420) |
Total stockholders’ equity | 425,584 | 227,104 |
Total liabilities and stockholders’ equity | $ 806,371 | $ 935,251 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value per share | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value per share | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 97,500,000 | 97,500,000 |
Common stock, shares issued | 39,386,000 | 34,540,000 |
Common stock, shares outstanding | 39,386,000 | 34,540,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Statement [Abstract] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 522,285 | $ 277,743 | $ 191,603 |
Cost of Goods and Services Sold | 206,572 | 121,601 | 79,872 |
Gross profit | 315,713 | 156,142 | 111,731 |
Research and development | 51,649 | 33,644 | 38,672 |
Sales and marketing | 108,987 | 67,248 | 50,436 |
General and administrative | 44,951 | 29,192 | 26,351 |
Acquisition and integration costs | 14,197 | 16,506 | 711 |
Total operating expenses | 219,784 | 146,590 | 116,170 |
Operating income (loss) | 95,929 | 9,552 | (4,439) |
Other expense, net | (24,283) | (17,588) | (12,181) |
(Loss) gain on extinguishment of debt | (8,262) | 0 | 421 |
Total other expense, net | (32,545) | (17,588) | (11,760) |
Income (loss) before income taxes | 63,384 | (8,036) | (16,199) |
(Benefit) provision for income taxes | (10,799) | 129 | (2,391) |
Net income (loss) | $ 74,183 | $ (8,165) | $ (13,808) |
Basic earnings (loss) per share | $ 1.95 | $ (0.24) | $ (0.42) |
Diluted earnings (loss) per share | $ 1.86 | $ (0.24) | $ (0.42) |
Shares used in basic per share calculation | 37,995 | 33,734 | 32,708 |
Shares used in diluted per share calculation | 42,554 | 33,734 | 32,708 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive (Loss) Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Net income (loss) | $ 74,183 | $ (8,165) | $ (13,808) |
Other comprehensive (loss) income, net of tax | |||
Changes in cumulative translation adjustment | (139) | 53 | (22) |
Comprehensive income (loss) | $ 74,044 | $ (8,112) | $ (13,830) |
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 other comprehensive income (loss) [Member] | Retained earnings [Member] | Convertible Debt [Member] |
Beginning Balance at Dec. 31, 2015 | $ 218,676 | $ 33 | $ 209,121 | $ (31) | $ 9,553 | |
Beginning Balance, shares at Dec. 31, 2015 | 33,323 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock under equity compensation plans | 9,365 | $ 0 | 9,365 | |||
Issuance of common stock under equity compensation plans, shares | 755 | |||||
Stock-based compensation expense | 7,134 | 7,134 | ||||
Repurchases of common stock | (20,168) | $ 0 | (20,168) | |||
Repurchase of common stock, shares | (1,181) | |||||
Changes in cumulative translation adjustment, net of tax | (22) | (22) | ||||
Net income (loss) | (13,808) | (13,808) | ||||
Ending Balance at Dec. 31, 2016 | 200,630 | $ 33 | 204,905 | (53) | (4,255) | |
Ending Balance, shares at Dec. 31, 2016 | 32,897 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock under equity compensation plans | 26,079 | $ 2 | 26,077 | |||
Issuance of common stock under equity compensation plans, shares | 1,669 | |||||
Stock-based compensation expense | 9,048 | 9,048 | ||||
Repurchases of common stock | (541) | $ 0 | (541) | |||
Repurchase of common stock, shares | (26) | |||||
Changes in cumulative translation adjustment, net of tax | 53 | 53 | ||||
Net income (loss) | (8,165) | (8,165) | ||||
Ending Balance at Dec. 31, 2017 | 227,104 | $ 35 | 239,489 | 0 | (12,420) | |
Ending Balance, shares at Dec. 31, 2017 | 34,540 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of common stock under equity compensation plans | 17,047 | $ 0 | 17,047 | |||
Issuance of common stock under equity compensation plans, shares | 1,237 | |||||
Stock-based compensation expense | 10,078 | 10,078 | ||||
Repurchase of Convertible Senior Notes | (547) | |||||
Repurchases of common stock | (4,344) | $ 0 | (4,344) | |||
Repurchase of common stock, shares | (90) | |||||
Changes in cumulative translation adjustment, net of tax | (139) | (139) | ||||
Issuance of shares in exchange for Convertible Senior Notes | 200,219 | $ 4 | 200,215 | |||
Number of shares of common stock issued | 3,699 | |||||
Tax impact from the conversion of Convertible Senior Notes | 2,162 | 2,162 | ||||
Reduction for equity component of Convertible Senior Notes exchanged | (100,726) | (100,726) | ||||
Net income (loss) | 74,183 | 74,183 | ||||
Ending Balance at Dec. 31, 2018 | $ 425,584 | $ 39 | $ 363,921 | $ (139) | $ 61,763 | |
Ending Balance, shares at Dec. 31, 2018 | 39,386 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
OPERATING ACTIVITIES | |||
Net income (loss) | $ 74,183 | $ (8,165) | $ (13,808) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Depreciation, amortization and other | 46,266 | 30,762 | 22,796 |
Stock-based compensation expense | 11,709 | 9,061 | 7,986 |
Amortization of debt discount and deferred issuance costs | 3,952 | 6,022 | 5,891 |
Change in fair value of acquisition contingencies | 1,114 | (81) | (485) |
Accretion of interest on deferred consideration | 10,000 | 2,608 | 0 |
Amortization of inventory step-up to fair value | 3,650 | 10,950 | 0 |
Change in deferred tax assets and liabilities | (20,458) | 365 | (2,603) |
Loss (gain) on extinguishment of debt | 8,262 | 0 | (421) |
Increase (Decrease) in Operating Capital | |||
Accounts receivable | 8,236 | (42,052) | (6,265) |
Inventories | (3,974) | 362 | 859 |
Prepaid expenses and other current and non-current assets | (12,681) | (9,113) | (489) |
Accounts payable | (331) | 12,956 | 4,323 |
Accrued payroll and related expenses | 1,674 | 7,130 | (375) |
Other current and non-current liabilities | 4,743 | 6,904 | (5,594) |
Net cash provided by operating activities | 136,345 | 27,709 | 11,815 |
INVESTING ACTIVITIES | |||
Acquisitions of property, equipment and intangibles | (31,689) | (17,510) | (11,909) |
Acquisition of other businesses, net of cash acquired | 0 | (14,451) | (5,061) |
Acquisition of Triage and BNP Businesses | 0 | (399,798) | 0 |
Proceeds from sale of Summers Ridge Property | 146,644 | ||
Net cash provided by (used for) investing activities | 114,955 | (431,759) | (16,970) |
FINANCING ACTIVITIES | |||
Proceeds from issuance of Term Loan | 0 | 245,000 | 0 |
Proceeds from issuance of Revolving Credit Facility | 0 | 10,000 | 0 |
Proceeds from issuance of common stock | 17,047 | 25,426 | 8,575 |
Payments of debt issuance costs | (513) | (8,682) | 0 |
Payments on lease obligation | (130) | (98) | (540) |
Payments on Revolving Credit Facility | (40,000) | ||
Repurchases of common stock | (4,344) | (541) | (20,168) |
Repurchases of Convertible Senior Notes | 0 | 0 | (4,459) |
Payments on acquisition contingent consideration | (6,303) | (497) | (207) |
Payments of deferred consideration | (46,000) | ||
Payments of Term Loan | (161,813) | ||
Transaction costs related to debt exchange | (2,002) | ||
Net cash (used for) provided by financing activities | (244,058) | 270,608 | (16,799) |
Effect of exchange rate changes on cash | 367 | 20 | (9) |
Net increase (decrease) in cash and cash equivalents | 7,609 | (133,422) | (21,963) |
Cash and cash equivalents, beginning of period | 36,086 | 169,508 | 191,471 |
Cash and cash equivalents, at end of period | 43,695 | 36,086 | 169,508 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | |||
Cash paid during the period for interest | 7,929 | 9,137 | 6,488 |
Cash paid during the period for income taxes | 6,923 | 1,274 | 490 |
NON-CASH INVESTING ACTIVITIES | |||
Purchase of property, equipment and intangibles by incurring current liabilities | 1,785 | 1,446 | 3,280 |
NON-CASH FINANCING ACTIVITIES | |||
Decrease of accrued payroll and related expenses upon issuance of common stock | 0 | 903 | 539 |
Receivable for stock option exercises | 0 | 0 | 251 |
Deferred consideration for acquisition of BNP Business | $ 220,550 | $ 0 | |
Extinguishment of Convertible Senior Notes through issuance of stock | 200,219 | ||
Principal amount of Term Loan exchanged for Revolving Credit Facility | $ 83,187 |
Company Operations and Summary
Company Operations and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Company Operations and Summary of Significant Accounting Policies | Company Operations and Summary of Significant Accounting Policies Quidel Corporation (the “Company”) commenced operations in 1979. The Company operates in one business segment, which develops, manufactures and markets rapid diagnostic testing solutions. These diagnostic tests can be categorized in the following product categories: Rapid Immunoassay, Cardiac Immunoassay, Specialized Diagnostic Solutions and Molecular Diagnostic Solutions. The Company sells its products directly to end users and distributors, in each case, for professional use in physician offices, hospitals, clinical laboratories, reference laboratories, leading universities, retail clinics and wellness screening centers. The Company markets its products through a network of distributors and a direct sales force and temporary transition service arrangements entered into with Abbott Laboratories in connection with the acquisition of the Triage and BNP Businesses. The accompanying consolidated financial statements of the Company and its subsidiaries have been prepared in accordance with generally accepted accounting principles in the U.S. Consolidation— The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. Cash and Cash Equivalents— The Company considers cash equivalents to be highly liquid investments with a maturity at the date of purchase of three months or less. The Company invests its cash equivalents primarily in money market funds with high quality institutions. Accounts Receivable— The Company sells its products directly to hospitals and reference laboratories as well as to distributors in the U.S. and sells directly to hospitals and labs and through distribution internationally (see Note 9 ). The Company periodically assesses the financial strength of these customers and establishes reserves for anticipated losses when necessary, which historically have not been material. The Company’s reserves primarily consist of amounts related to cash discounts and contract rebates. The balance of accounts receivable is net of reserves of $12.0 million and $12.3 million at December 31, 2018 and 2017 , respectively. Concentration of Credit Risk— Financial instruments that potentially subject the Company to significant concentrations of credit risk consists principally of trade accounts receivable. The Company performs credit evaluations of its customers’ financial condition and limits the amount of credit extended when deemed necessary, but generally requires no collateral. Credit quality is monitored regularly by reviewing credit history. The Company believes that the concentration of credit risk in its trade accounts receivables is moderated by its credit evaluation process, relatively short collection terms, the high level of credit worthiness of its customers, and letters of credit issued on the Company’s behalf. Potential credit losses are limited to the gross value of accounts receivable. Inventories— Inventories are stated at the lower of cost (first-in, first-out) or net realizable value. The Company reviews the components of its inventory on a quarterly basis for excess, obsolete and impaired inventory and makes appropriate dispositions as obsolete stock is identified. Assets Held for Sale— Assets to be disposed that meet the held for sale criteria are reported at the lower of their carrying amount and fair value, less costs to sell, and are no longer depreciated. Property, Plant and Equipment— Property, plant and equipment is recorded at cost and depreciated over the estimated useful lives of the assets ( three to fifteen years) using the straight-line method. Amortization of leasehold improvements is computed on the straight-line method over the estimated useful lives of the assets. Goodwill and Intangible Assets— Intangible assets are recorded at cost and amortized on a straight-line basis over their estimated useful lives, except for indefinite-lived intangibles such as goodwill. Software development costs associated with software to be leased or otherwise marketed are expensed as incurred until technological feasibility has been established. After technological feasibility is established, software development costs are capitalized. The capitalized cost is amortized on a straight-line basis over the estimated product life or on the ratio of current revenues to total projected product revenues, whichever is greater. Convertible Debt— The Company accounts for convertible debt instruments that may be settled in cash upon conversion (including combination settlement of cash equal to the “principal portion” and delivery of the “share amount” in excess of the conversion value over the principal portion in shares of common stock and/or cash) by separating the liability and equity components of the instruments in a manner that reflects our nonconvertible debt borrowing rate. The Company determines the carrying amount of the liability component by measuring the fair value of similar debt instruments that do not have the conversion feature. If no similar debt instrument exists, the Company estimates fair value by using assumptions that market participants would use in pricing a debt instrument, including market interest rates, credit standing, yield curves and volatilities. Determining the fair value of the debt component requires the use of accounting estimates and assumptions. These estimates and assumptions are judgmental in nature and could have a significant impact on the determination of the debt component, and the associated non-cash interest expense. See Note 3 for additional discussion of the Convertible Senior Notes issued in December 2014. Revenue Recognition— The Company records revenues primarily from product sales. These revenues are recorded net of rebates and other discounts. These rebates and discounts are estimated at the time of sale, and are largely driven by various customer program offerings, including special pricing agreements, promotions and other volume-based incentives. Revenue is recognized when control of the products is transferred to the customers in an amount that reflects the consideration the Company expects to receive from the customers in exchange for those products and services. This process involves identifying the contract with a customer, determining the performance obligations in the contract and the contract price, allocating the contract price to the distinct performance obligations in the contract and recognizing revenue when the performance obligations have been satisfied. A performance obligation is considered distinct from other obligations in a contract when it provides a benefit to the customer either on its own or together with other resources that are readily available to the customer and is separately identified in the contract. A performance obligation is considered to be satisfied once the control of a product is transferred to the customer or the service is provided to the customer, meaning the customer has the ability to use and obtain the benefit of the goods or service. The Company recognizes revenue for satisfied performance obligations only when there are no uncertainties regarding payment terms or transfer of control. A portion of product sales includes revenues for diagnostic kits, which are utilized on leased instrument systems under the Company’s “reagent rental” program. The reagent rental program provides customers the right to use the instruments at no separate cost to the customer in consideration for a multi-year agreement to purchase annual minimum amounts of consumables (“reagents” or “diagnostic kits”). When an instrument is placed with a customer under a reagent rental agreement, the Company retains title to the equipment and it remains capitalized on the Company’s Consolidated Balance Sheets as property, plant and equipment, net. The instrument is depreciated on a straight-line basis over the lesser of the lease term or life of the instrument. Depreciation expense is recorded in cost of sales included in the Consolidated Statements of Operations. Instrument and consumables under the reagent rental agreements are deemed two distinct performance obligations. Though the instrument and consumables do not have any use to customers without one another, they are not highly interdependent because they do not significantly affect each other. The Company would be able to fulfill its promise to transfer the instrument even if its customers did not purchase any consumables and the Company would be able to fulfill its promise to provide the consumables even if customers acquired instruments separately . The contract price is allocated between these two performance obligations based on the relative standalone selling prices. The instrument is considered an operating lease and revenue allocated to the instrument will be separately disclosed, if material. Royalty income from the grant of license rights is recognized during the period in which the revenue is earned and the amount is determinable from the licensee. From time to time, the Company earns income from grants for research and commercialization activities. For the year ended December 31, 2016, the Company recognized $6.5 million as grant revenue related to the Bill and Melinda Gates Foundation to develop, manufacture and validate a quantitative, low-cost, nucleic acid assay for HIV drug treatment monitoring on the integrated Savanna MDx platform for use in limited resource settings. Cash payments received were restricted as to use until expenditures contemplated in the grant were incurred or committed. As of December 31, 2016, all payment related milestones have been achieved and all of the grant revenue was fully recognized. As such, the Company recognized no grant revenue during each of the twelve months ended December 31, 2017 and 2018. Research and Development Costs— Research and development costs are charged to operations as incurred. In conjunction with certain third-party service agreements, the Company is required to make periodic payments based on achievement of certain milestones. The costs related to these research and development services are also charged to operations as incurred. Product Shipment Costs— Product shipment costs are included in sales and marketing expense in the accompanying Consolidated Statements of Operations. Shipping and handling costs were $8.3 million , $3.7 million and $3.8 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Advertising Costs— Advertising costs are expensed as incurred. Advertising costs were $0.9 million , $0.5 million and $0.3 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Deferred Rent— The Company enters into lease arrangements for office space under non-cancelable operating leases. Certain of the operating lease agreements contain rent escalation provisions, which are considered in determining the straight-line rent expense to be recorded over the lease term. The lease term begins on the date of initial possession of the leased property for purposes of recognizing lease expense on a straight-line basis over the term of the lease. The Company does not assume renewals in the determination of the lease term unless the renewals are deemed to be reasonably assured at lease inception. The difference between rent expense and amounts paid under the Company’s lease agreements are recorded as deferred rent. Income Taxes— Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes, using enacted tax rates in effect for the year in which the differences are expected to reverse. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. The Company’s policy is to recognize the interest expense and penalties related to income tax matters as a component of the income tax provision. Fair Value of Financial Instruments — The Company uses the fair value hierarchy established in Accounting Standards Codification (“ASC”) Topic 820 , Fair Value Measurements and Disclosures, which requires that the valuation of assets and liabilities subject to fair value measurements be classified and disclosed by the Company in one of the following three categories: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2: Quoted prices for similar assets and liabilities in active markets, quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability; and Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e. supported by little or no market activity). The carrying amounts of the Company’s financial instruments, including cash and cash equivalents, accounts receivables, accounts payable and accrued liabilities approximate their fair values due to their short-term nature. Product Warranty —The Company generally sells products with a limited product warranty and certain limited indemnifications. Due to product testing, the short time between product shipment and the detection and correction of product failures and a low historical rate of payments on claims, the historical activity and the related expense were not significant for the fiscal years presented. Stock-Based Compensation —Compensation expense related to stock options granted is recognized ratably over the service vesting period for the entire option. For stock options with graded vesting, the Company ensures that the cumulative amount of compensation expense recognized at the end of any reporting period at least equals the portion of the stock option that has vested at that date. The total number of stock options expected to vest is adjusted by estimated forfeiture rates. The Company determined the estimated fair value of each stock option on the date of grant using the Black-Scholes option valuation model. The fair value of restricted stock units is determined based on the closing market price of the Company’s common stock on the grant date. Compensation expense for time-based restricted stock units is measured at the grant date and recognized ratably over the vesting period. For purposes of measuring compensation expense for performance-based restricted stock units, the number of shares ultimately expected to vest is estimated at each reporting date based on management’s expectations regarding the relevant performance criteria. The grant date of the PSUs takes place when the grant is authorized and the specific achievement goals are communicated. Comprehensive Income (loss) —Comprehensive income (loss) includes unrealized gains and losses which are related to the cumulative translation adjustments excluded from the Company’s Consolidated Statements of Operations. Use of Estimates —The preparation of financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Accounting Periods —Each of the Company’s fiscal quarters end on the Sunday closest to the end of the calendar quarter. The Company’s fiscal year ends are December 30, 2018, December 31, 2017 and January 1, 2017. For ease of reference, the calendar quarter end dates are used herein. Recent Accounting Pronouncements —In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance codified in Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers , which amends the guidance in former ASC 605, Revenue Recognition (“ASU 2014-09”). The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies are required to use more judgment and make more estimates than under prior authoritative guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. The FASB has issued several amendments to the new standard, which include clarification of accounting guidance related to identification of performance obligations, intellectual property licenses and principal vs. agent considerations. ASU 2014-09 and all subsequent amendments (collectively, “ASC 606”) were effective for public entities for annual reporting periods beginning after December 15, 2017, including interim periods therein. The Company adopted ASC 606 on January 1, 2018, using the modified retrospective transition method applied to those contracts which were not completed as of that date. The cumulative effect of applying the new revenue standard to all incomplete contracts as of January 1, 2018 was not material and, therefore, did not result in an adjustment to opening retained earnings. The adoption of ASC 606 did not have a material impact on the Company’s consolidated financial position, results of operations, equity or cash flows as of the adoption date or for the year ended December 31, 2018 . In February 2016, the FASB issued guidance codified in ASU 2016-02 (Topic 842), Leases . The guidance requires a lessee to recognize a lease liability for the obligation to make lease payments and a right-of-use asset representing the right to use the underlying asset for the lease term on the balance sheet. Under ASU 2016-02, adoption was required on a modified retrospective transition basis for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. In July 2018, the FASB issued ASU 2018-11, which allows for an alternative method to adopt the lease standard by recognizing a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption, with no adjustment to prior comparative periods. ASU 2016-02 and all subsequent amendments (collectively, “ASC 842”) are effective for public entities for annual reporting periods beginning after December 15, 2018, including interim periods therein. The Company will adopt ASC 842 on January 1, 2019 using the alternative method of adoption. We estimate that the impact of the adoption will be to add approximately $87.0 million in operating right-of-use assets; increase the current portion of operating lease liabilities and non-current operating lease liabilities by approximately $5.0 million and $85.0 million , respectively; and decrease current and non-current deferred rent by approximately $0.5 million and $2.5 million , respectively. There are no adjustments to retained earnings. In applying ASC 842, the Company will adopt the package of practical expedients which, among other things, allows the Company to carry forward its historical lease classification. Additionally, the Company will adopt a policy to exclude short-term leases from the calculation of the right-of-use assets and lease liabilities. In January 2017, the FASB issued guidance codified in ASU 2017-04, Intangibles-Goodwill and Other (Topic 350) Simplifying the Test for Goodwill Impairment (“ASU 2017-04”). Under this new guidance, an entity will no longer determine goodwill impairment by calculating the implied fair value of goodwill by assigning the fair value of a reporting unit to all of its assets and liabilities as if that reporting unit had been acquired in a business combination. Instead, an entity will compare the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The guidance is effective for fiscal years beginning after December 15, 2019 including interim periods therein. The Company is currently evaluating the impact of this guidance and expects to adopt the standard in the first quarter of 2020. |
Balance Sheet Account Details (
Balance Sheet Account Details (Notes) | 12 Months Ended |
Dec. 31, 2018 | |
Balance Sheet Related Disclosures [Abstract] | |
Supplemental Balance Sheet Disclosures [Text Block] | Balance Sheet Account Details Prepaid expenses and other current assets The following is a summary of prepaid expenses and other current assets (in thousands): December 31, 2018 2017 Receivables under transition service agreements $ 15,507 $ 7,509 Income taxes receivable 2,703 3,806 Prepaid expenses 4,508 2,898 Other 928 162 Total prepaid expenses and other current assets $ 23,646 $ 14,375 Inventories Inventories are stated at the lower of cost (first-in, first-out) or net realizable value. The following is a summary of inventories (in thousands): December 31, 2018 2017 Raw materials $ 24,292 $ 22,252 Work-in-process (materials, labor and overhead) 21,280 22,813 Finished goods (materials, labor and overhead) 21,807 22,013 Total inventories $ 67,379 $ 67,078 Property, Plant and Equipment The following is a summary of property, plant and equipment (in thousands): December 31, 2018 2017 Equipment, furniture and fixtures $ 89,285 $ 75,728 Building and improvements 37,335 34,994 Leased instruments 42,647 32,458 Land 1,080 1,080 Total property, plant and equipment, gross 170,347 144,260 Less: accumulated depreciation and amortization (96,446 ) (82,675 ) Total property, plant and equipment, net $ 73,901 $ 61,585 The equipment, furniture and fixtures category above includes construction in progress and instruments that have not been placed at a customer under a lease agreement. These items will be reclassified when the assets are placed in service. The total expense for depreciation of fixed assets and amortization of leasehold improvements was $17.7 million , $14.6 million and $13.4 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Maintenance and minor repairs are charged to operations as incurred. Goodwill and Intangible Assets The Company had goodwill of $337.0 million as of December 31, 2018 , which remains consistent with December 31, 2017 . Amortizable intangible assets consisted of the following (dollar amounts in thousands): December 31, 2018 December 31, 2017 Description Weighted-average useful life (years) Gross assets Accumulated amortization Net Gross assets Accumulated amortization Net Purchased technology 9.1 $ 112,100 $ (57,495 ) $ 54,605 $ 112,100 $ (49,614 ) $ 62,486 Customer relationships 7.0 122,389 (27,561 ) 94,828 122,404 (10,960 ) 111,444 License agreements 9.9 6,511 (4,530 ) 1,981 6,515 (3,980 ) 2,535 Patent and trademark costs 10.8 28,740 (7,624 ) 21,116 28,740 (4,917 ) 23,823 Software development costs 5.0 6,629 (4,130 ) 2,499 6,630 (3,091 ) 3,539 Total amortizable intangible assets $ 276,369 $ (101,340 ) $ 175,029 $ 276,389 $ (72,562 ) $ 203,827 Amortization expense related to the capitalized software costs was $1.0 million , $0.8 million and $0.5 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Amortization expense (including capitalized software costs) was $28.8 million , $16.1 million and $9.5 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. The expected future annual amortization expense of the Company’s intangible assets is as follows (in thousands): For the years ending December 31, Amortization expense 2019 $ 27,542 2020 27,144 2021 26,999 2022 26,468 2023 25,758 Thereafter 41,118 Total $ 175,029 Other current liabilities The following is a summary of other current liabilities (in thousands): December 31, 2018 2017 Customer incentives $ 7,516 $ 7,165 Accrued interest 347 442 Other 5,129 5,059 Total other current liabilities $ 12,992 $ 12,666 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt | Debt Convertible Senior Notes In December 2014, the Company issued $172.5 million aggregate principal amount of 3.25% Convertible Senior Notes due 2020. Debt issuance costs of approximately $5.1 million were primarily comprised of underwriters fees, legal, accounting, and other professional fees of which $4.2 million were capitalized and are recorded as a reduction to long-term debt and are being amortized using the effective interest method to interest expense over the six -year term of the Convertible Senior Notes. The remaining $0.9 million of debt issuance costs were allocated as a component of equity in additional paid-in capital. Deferred issuance costs related to the Convertible Senior Notes were $0.5 million and $2.1 million as of December 31, 2018 and 2017 , respectively. The holders of the Convertible Senior Notes may surrender their notes for conversion, subject to specified circumstances, into cash, shares of common stock, or a combination of cash and shares of common stock, at the election of the Company, based on an initial conversion rate, subject to adjustment, of 31.1891 shares per $1,000 principal amount of the Convertible Senior Notes (which represents an initial conversion price of approximately $32.06 per share) up until the business day immediately preceding September 15, 2020. This conversion may, in the discretion of the holder, occur in the following circumstances and to the following extent: (1) during any calendar quarter commencing after the calendar quarter ending on March 31, 2015, if the last reported sales price of the Company’s common stock, for at least 20 trading days (whether or not consecutive) in the period of 30 consecutive trading days ending on the last trading day of the calendar quarter immediately preceding the calendar quarter in which the conversion occurs, is more than 130% of the conversion price of the notes in effect on each applicable trading day; (2) during the five consecutive business day period following any five consecutive trading day period in which the trading price per $1,000 principal amount of the Convertible Senior Note for each such trading day was less than 98% of the product of the last reported sale price of the Company’s common stock and the conversion rate on each such day; or (3) upon the occurrence of specified events described in the indenture for the Convertible Senior Notes. On or after September 15, 2020 until the close of business on the second scheduled trading day immediately preceding the stated maturity date, holders may surrender their notes for conversion at any time, regardless of the foregoing circumstances. In general, for each $1,000 in principal, the “principal portion” of cash upon settlement is defined as the lesser of $1,000, or the conversion value during the 25 -day observation period as described in the indenture for the Convertible Senior Notes. The conversion value is the sum of the daily conversion value, which is the product of the effective conversion rate divided by 25 days and the daily volume weighted-average price (“VWAP”) of the Company’s common stock. The “share amount” is the cumulative “daily share amount” during the observation period, which is calculated by dividing the daily VWAP into the difference between the daily conversion value (i.e., conversion rate x daily VWAP) and $1,000. The Company pays 3.25% interest per annum on the principal amount of the Convertible Senior Notes semi-annually in arrears in cash on June 15 and December 15 of each year. The effective interest rate during fiscal year 2018 was 6.6% . The Convertible Senior Notes mature on December 15, 2020. During the year ended December 31, 2018 , the Company recorded total interest expense of $6.1 million related to the Convertible Senior Notes of which $3.1 million related to the amortization of the debt discount and issuance costs and $3.0 million related to the coupon due semi-annually. During the year ended December 31, 2017 , the Company recorded total interest expense of $10.9 million related to the Convertible Senior Notes of which $5.5 million related to the amortization of the debt discount and issuance costs and $5.4 million related to the coupon due semi-annually. During the year ended December 31, 2016 , the Company recorded total interest expense of $10.9 million related to the Convertible Senior Notes of which $5.4 million related to the amortization of the debt discount and issuance costs and $5.5 million related to the coupon due semi-annually. If a fundamental change, as defined in the indenture for the Convertible Senior Notes, such as certain acquisitions, mergers, or a liquidation of the Company, occurs prior to the maturity date, subject to certain limitations, holders of the Convertible Senior Notes may require the Company to repurchase all or a portion of their Convertible Senior Notes for cash at a repurchase price equal to 100% of the principal amount of the Convertible Senior Notes to be repurchased, plus any accrued and unpaid interest to, but excluding, the repurchase date. The Company accounts separately for the liability and equity components of the Convertible Senior Notes in accordance with authoritative guidance for convertible debt instruments that may be settled in cash upon conversion. The guidance requires the carrying amount of the liability component to be estimated by measuring the fair value of a similar liability that does not have an associated conversion feature. Because the Company had no outstanding non-convertible public debt, the Company determined that senior, unsecured corporate bonds traded on the market represent a similar liability to the Convertible Senior Notes without the conversion option. Based on market data available for publicly traded, senior, unsecured corporate bonds issued by companies in the same industry with similar credit ratings and with similar maturity, the Company estimated the implied interest rate of its Convertible Senior Notes to be 6.9% , assuming no conversion option. Assumptions used in the estimate represent what market participants would use in pricing the liability component, which were defined as Level 2 observable inputs. The estimated implied interest rate was applied to the Convertible Senior Notes, which resulted in a fair value of the liability component of $141.9 million upon issuance, calculated as the present value of implied future payments based on the $172.5 million aggregate principal amount. The $30.7 million difference between the cash proceeds of $172.5 million and the estimated fair value of the liability component was recorded in additional paid-in capital, net of tax and issuance costs, as the Convertible Senior Notes were not considered redeemable. During the fourth quarter of 2018, the last reported sales price of the Company’s common stock was greater than 130% of the Convertible Senior Notes conversion price for 20 or more of the 30 consecutive trading days preceding the quarter-end. Consequently, the Convertible Senior Notes were convertible as of December 31, 2018 . If the Convertible Senior Notes were converted as of December 31, 2018 , the if-converted amount would exceed the principal by $1.6 million . The Convertible Senior Notes may be settled at the Company’s option in cash or a combination of cash and shares of common stock. Because the settlement could be in cash, the Convertible Senior Notes have been classified as short-term debt as of December 31, 2018 . During the year ended December 31, 2018 , the Company entered into separate, privately negotiated exchange agreements with certain holders of the notes. In addition, certain note holders requested conversion and the Company elected to issue shares of common stock in exchange for the notes. To measure the resulting loss as of the settlement dates, the applicable interest rates were estimated using Level 2 observable inputs and applied to the converted notes using the same methodology as in the issuance date valuation. The following table summarizes information about the settlement of the Convertible Senior Notes (in thousands): Year ended December 30, 2018 Principal amount settled $ 108,811 Number of shares of common stock issued 3,699 Loss on extinguishment of debt $ 2,303 The following table summarizes information about the equity and liability components of the Convertible Senior Notes (dollars in thousands). The fair values of the respective notes outstanding were measured based on quoted market prices: December 31, 2018 2017 Principal amount of Convertible Senior Notes outstanding $ 58,503 $ 167,314 Unamortized discount of liability component (3,637 ) (15,356 ) Unamortized deferred issuance costs (487 ) (2,090 ) Net carrying amount of liability component 54,379 149,868 Less: current portion 54,379 — Long-term debt $ — $ 149,868 Carrying value of equity component, net of issuance costs $ 10,092 $ 29,211 Fair value of outstanding Convertible Senior Notes $ 85,999 $ 257,245 Remaining amortization period of discount on the liability component 2 years 3 years Credit Agreement On October 6, 2017, the Company entered into a Credit Agreement (the “Credit Agreement”), which provided the Company with a $245.0 million senior secured term loan facility (the “Term Loan”) and a $25.0 million Revolving Credit Facility (“Revolving Credit Facility”) together (the “Senior Credit Facility”). On the closing date of the Credit Agreement, the Company borrowed the entire amount of the Term Loan and $10.0 million under the Revolving Credit Facility. The Company used the proceeds of the Term Loan along with its cash on hand, to pay (i) the consideration for the Triage Business and (ii) the fees and expenses incurred in connection with the acquisition of the Triage and BNP Businesses. During the first three quarters of 2018, the Company used cash on hand of $161.8 million to pay down a portion of the existing Term Loan. Separately, the Company also repaid the entire outstanding $10.0 million balance on its Revolving Credit Facility under the Credit Agreement. On August 31, 2018, the Company entered into an Amended and Restated Credit Agreement to replace the prior Credit Agreement. The Amended and Restated Credit Agreement provides the Company with a $175.0 million Revolving Credit Facility. In connection with the closing of the Amended and Restated Credit Agreement, the Company borrowed $83.2 million under the Revolving Credit Facility to settle the outstanding Term Loan principal of $83.2 million . During the fourth quarter of 2018, Company used cash on hand to repay $30.0 million in principal of the Revolving Credit Facility. The remaining balance of $53.2 million is due upon maturity on August 31, 2023. Due to the early payments on the Term Loan and the modification of the Credit Facility, the Company recorded losses on extinguishment of debt of $6.0 million during the year ended December 31, 2018 . The Amended and Restated Credit Agreement does not include any term loan component. Loans will bear interest at a rate equal to (i) the London Interbank Offered Rate (“LIBOR”) plus the “applicable rate” or (ii) the “base rate” (defined as the highest of (a) the Bank of America prime rate, (b) the Federal Funds rate plus one-half of one percent and (c) LIBOR plus one percent) plus the “applicable rate.” The initial applicable rate was 1.00% per annum for base rate loans and 2.00% per annum for LIBOR rate loans, and thereafter will be determined in accordance with a pricing grid based on the Company’s Consolidated Leverage Ratio (as defined in the Credit Agreement) ranging from 1.75% to 2.50% per annum for LIBOR rate loans and from 0.75% to 1.50% per annum for base rate loans. In addition, the Company pays a commitment fee on the unused portion of the Credit Agreement based on the Company’s Consolidated Leverage Ratio ranging from 0.15% to 0.30% per annum. The Amended and Restated Credit Agreement is guaranteed by certain material domestic subsidiaries of the Company (the “Guarantors”) and is secured by liens on substantially all of the assets of the Company and the Guarantors, excluding real property and certain other types of excluded assets, and contains affirmative and negative covenants that are customary for credit agreements of this nature. The negative covenants include, among other things, limitations on asset sales, mergers, indebtedness, liens, dividends and other distributions, investments and transactions with affiliates. The Amended and Restated Credit Agreement contains two financial covenants: (i) maximum Consolidated Leverage Ratio (as defined in the Amended and Restated Credit Agreement) as of the last day of each fiscal quarter of 3.50 to 1.00, which ratio may be increased to 4.50 to 1.00 in case of certain qualifying acquisitions; and (ii) a minimum Consolidated Fixed Charge Coverage Ratio (as defined in the Amended and Restated Credit Agreement) of 1.25 to 1.00 as of the end of any fiscal quarter for the most recently completed four fiscal quarters. The Company was in compliance with all financial covenants as of December 31, 2018 . Interest expense recognized on the Term Loan and the Revolving Credit Facility for the year ended December 31, 2018 totaled $5.7 million for the stated interest and commitment fee. Amortization of debt issuance costs associated with the Term Loan and the Revolving Credit Facility was $0.8 million for the year ended December 31, 2018 , and was recorded to interest expense in the Company’s Consolidated Statements of Operations. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Significant components of the (benefit) provision for income taxes are as follows (in thousands): December 31, 2018 2017 2016 Current: Federal $ — $ (615 ) $ (117 ) State 755 314 246 Foreign 6,575 57 84 Total current provision (benefit) 7,330 (244 ) 213 Deferred: Federal (9,970 ) 131 (2,545 ) State (7,944 ) 238 (63 ) Foreign (215 ) 4 4 Total deferred (benefit) provision (18,129 ) 373 (2,604 ) (Benefit) provision for income taxes $ (10,799 ) $ 129 $ (2,391 ) The Company’s income (loss) before income taxes was subject to taxes in the following jurisdictions for the following periods (in thousands): December 31, 2018 2017 2016 United States $ 46,592 $ (8,198 ) $ (16,426 ) Foreign 16,792 162 227 Income (loss) before income taxes $ 63,384 $ (8,036 ) $ (16,199 ) Significant components of the Company’s deferred tax assets and deferred tax liabilities as of December 31, 2018 and 2017 are shown below (in thousands): December 31, 2018 2017 Deferred tax assets: Net operating loss carryforwards $ 711 $ 3,924 Intangible assets 3,502 2,935 Sale-leaseback, net 617 628 Allowance for returns and discounts 4,541 5,358 Stock-based compensation 5,333 5,933 Tax credit carryforwards 12,246 5,247 Other, net 6,883 4,580 Total deferred tax assets 33,833 28,605 Valuation allowance for deferred tax assets (1,830 ) (15,204 ) Total deferred tax assets, net of valuation allowance 32,003 13,401 Deferred tax liabilities: Convertible Senior Notes (636 ) (3,633 ) Intangible assets (2,165 ) (2,935 ) Property, plant and equipment (7,010 ) (7,263 ) Total deferred tax liabilities (9,811 ) (13,831 ) Net deferred tax assets (liabilities) $ 22,192 $ (430 ) Management assesses the available positive and negative evidence to estimate if sufficient future taxable income will be generated to use the existing deferred tax assets. A significant piece of objective negative evidence evaluated in prior years was 3 years of cumulative pre-tax book losses. For the three years ended December 31, 2018, however, the Company has demonstrated positive cumulative pre-tax book income. Such objective positive evidence allows the Company to consider other subjective evidence, such as the Company’s projections for future profitability, to determine the realizability of its deferred tax assets. On the basis of this evaluation, during the quarter ended December 31, 2018 , the Company released $13.4 million of valuation allowance, which is shown as a deferred tax benefit during the period. The Company maintains a valuation allowance of $1.8 million , which represents the portion of the deferred tax asset that management could not conclude was more likely than not to be realized. The amount of the deferred tax assets considered realizable could be adjusted in the future based on changes in available positive and negative evidence. As of December 31, 2018 , the Company had no federal net operating loss (“NOL”) carryforwards. The Company had state NOLs of approximately $19.3 million which will begin to expire in 2029, unless previously utilized. The Company has federal research credits of $5.8 million which will begin to expire on December 31, 2032 , unless previously utilized. The Company has federal foreign tax credits of $2.4 million which will begin to expire on December 31, 2028 unless previously utilized. The Company has state research credits of $12.8 million , of which $12.4 million do not expire. The remaining $0.4 million begin to expire in 2028, unless previously utilized. Pursuant to Internal Revenue Code Sections 382 and 383, the Company’s use of its NOL and research credit carryforwards may be limited as a result of cumulative changes in ownership of more than 50% over a three -year period. As of December 31, 2018 , the Company does not believe any historical ownership change has limited the use of its NOLs or tax credit carryforwards. The reconciliation of income tax computed at the federal statutory rate to the provision (benefit) for income taxes from continuing operations is as follows (in thousands): Year ended December 31, 2018 2017 2016 Tax expense (benefit) at statutory tax rate $ 13,311 $ (2,812 ) $ (5,775 ) State tax (benefits), net of federal tax 1,526 (239 ) (390 ) Permanent differences 635 327 129 Federal and state research credits—current year (3,628 ) (484 ) (979 ) Accrual of uncertain tax positions — 142 43 Stock-based compensation (9,286 ) (5,851 ) — Impact of change in federal and state tax rate on revaluing deferred tax assets — 3,357 (4 ) Change in valuation allowance (13,374 ) 5,799 4,687 Foreign Derived Intangible Income Deduction (FDII) (786 ) — — Other 803 (110 ) (102 ) (Benefit) provision for income taxes $ (10,799 ) $ 129 $ (2,391 ) On December 22, 2017, the Tax Cuts and Jobs Act (the “Tax Act”) was enacted into legislation, which includes a broad range of provisions affecting businesses. The Tax Act significantly revises how companies compute their U.S corporate tax liability by, among other provisions, reducing the corporate tax rate from 35% to 21% for tax years beginning after December 31, 2017, implementing a territorial tax system, and requiring a mandatory one-time tax on U.S. owned undistributed foreign earnings and profits known as the transition tax. Pursuant to the SEC Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act (“SAB 118”), a company may select between one of three scenarios to determine a reasonable estimate arising from the Tax Act. Those scenarios are (i) a final estimate which effectively closes the measurement window; (ii) a reasonable estimate leaving the measurement window open for future revisions; and (iii) no estimate as the law is still being analyzed. The Company was able to provide a reasonable estimate for the provisional revaluation of deferred taxes and the effects of the transition tax on undistributed foreign earnings and profits for the period ended December 31, 2017 . During the quarter ended December 31, 2018 the Company completed its accounting for the impacts of the Tax Act. Additionally, the Company has elected to treat global intangible low taxed income (GILTI) as a period cost and will expense GILTI in the period it is incurred. Because of the Company’s current operational structure, there is minimal expected GILTI impacts for the year ended December 31, 2018 and future years. The Company recognizes liabilities for uncertain tax positions based on a two-step process. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount that is more than 50% likely of being realized upon settlement. While the Company believes that it has appropriate support for the positions taken on its tax returns, the Company regularly assesses the potential outcome of examinations by tax authorities in determining the adequacy of its provision for income taxes. The following table summarizes the activity related to the Company’s unrecognized tax benefits (in thousands): Year ended December 31, 2018 2017 2016 Beginning balance $ 9,565 $ 8,604 $ 7,684 (Decreases) increases related to prior year tax positions (558 ) 10 (10 ) Increases related to current year tax positions 6,238 951 773 Other — — 157 Ending balance $ 15,245 $ 9,565 $ 8,604 As of December 31, 2018 and 2017 , the unrecognized tax benefits of $15.2 million and $9.6 million , respectively, of which $9.3 million and $8.1 million , respectively, would reduce the Company’s annual effective tax rate, subject to the valuation allowance. The Company does not anticipate any significant decreases in its unrecognized tax benefits over the next 12 months. The Company’s policy is to recognize the interest expense and penalties related to income tax matters as a component of the income tax provision. The Company has accrued approximately $0.3 million of interest and penalties associated with uncertain tax positions as of the years December 31, 2018 and 2017 . Interest expense, net of accrued interest (reversed), was approximately $0.1 million for both of the years ended December 31, 2018 and 2017. There was no interest expense, net of accrued interest (reversed) in 2016. The Company is subject to periodic audits by domestic and foreign tax authorities; however, there are no known audits at this time. Due to the carryforward of unutilized net operating loss and credit carryovers, the Company’s federal tax years from 2009 and forward and state tax years 2001 and forward are subject to examination by tax authorities. The Company believes that it has appropriate support for the income tax positions taken on its tax returns and that its accruals for tax liabilities are adequate for all open years based on an assessment of many factors, including past experience and interpretations of tax law applied to the facts of each matter. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders’ Equity Preferred Stock. The Company’s certificate of incorporation, as amended, authorizes the issuance of up to five million preferred shares. The Board of Directors is authorized to fix the number of shares of any series of preferred stock and to determine the designation of such shares. However, the amended certificate of incorporation specifies the initial series and the rights of that series. No shares of preferred stock were outstanding as of December 31, 2018 , 2017 or 2016 . Equity Incentive Plan. The Company grants stock options, time-based restricted stock units (“RSUs”) and performance-based restricted stock units (“PSUs”) to employees and non-employee directors under its 2018 Equity Incentive Plan (the “2018 Plan”). The Company previously granted stock options under its 2016 Equity Incentive Plan (the “2016 Plan”), Amended and Restated 2010 Equity Incentive Plan (the “2010 Plan”) and the Amended and Restated 2001 Equity Incentive Plan (the “2001 Plan”). The 2016 Plan, 2010 Plan and 2001 Plan were terminated at the time of adoption of the 2018 Plan, but the terminated Plans continue to govern outstanding options granted thereunder. The Company has stock options, RSUs and PSUs outstanding, which were issued under each of these equity incentive plans to certain employees and directors. Stock options granted under these plans have terms ranging up to ten years, have exercise prices ranging from $10.25 to $53.27 per share, and generally vest over four years. As of December 31, 2018 , approximately 3.2 million shares remained available for grant under the 2018 Plan. Restricted Stock Units. The Company grants both RSUs and PSUs to certain officers, directors and management. Until the restrictions lapse, ownership of the affected restricted stock units granted to the Company’s officers, directors and management is conditional upon continuous employment with the Company. For the years ended December 31, 2018 , 2017 and 2016 , the Company granted approximately 0.2 million , 0.3 million and 0.7 million shares, respectively, of RSUs to Board of Directors, officers and management, which either have a time-based four -year vesting provision or performance-based vesting provisions. During the years ended December 31, 2018 and 2016 , RSUs were granted to certain members of the Board of Directors in lieu of cash compensation as a part of the Company’s non-employee director’s deferred compensation program. During the year ended December 31, 2017 , common stock was issued to certain members of the Board of Directors in lieu of cash compensation for these members that elected to participate and agree to hold the stock for the elected deferral period. The compensation expense associated with these RSU grants were $0.4 million , $0.1 million and $0.4 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Employee Deferred Bonus Compensation Program. For the year ended December 31, 2017, the deferred bonus compensation program was suspended temporarily by the Board of Directors. For the years ended December 31, 2018 and 2016, certain employees of the Company were eligible to participate in the Company’s deferred bonus compensation program with respect to any payments received under the Company’s cash incentive plan. Participating employees could elect to receive 50% or 100% of the cash value of their cash bonus in the form of fully vested, restricted stock units plus an additional premium as additional restricted stock units, issued under the 2016 Plan or 2018 Plan. The premium restricted stock units are subject to a one -year vesting requirement from the date of issuance. The additional premium will be determined based on the length of time of the deferral period selected by the participating employee as follows: (i) if one year from the date of grant, a premium of 10% on the amount deferred, (ii) if two years from the date of grant, a premium of 20% on the amount deferred, or (iii) if four years from the date of grant, a premium of 30% on the amount deferred. Employee Stock Purchase Plan. Under the Company’s Amended and Restated 1983 Employee Stock Purchase Plan (the “ESPP”), full-time employees are allowed to purchase common stock through payroll deductions (which cannot exceed 10% of the employee’s compensation) at the lower of 85% of fair market value at the beginning or end of each six -month purchase period. As of December 31, 2018 , 1,321,456 shares had been sold under the Plan, leaving 178,544 shares available for future issuance. Share Repurchase Program. On January 25, 2016, the Company’s Board of Directors authorized an amendment to extend the previously announced stock repurchase program. The Board of Directors has authorized the Company to repurchase up to an aggregate of $50.0 million in shares of our common stock under our stock repurchase program. Any shares of common stock repurchased under this program will no longer be deemed outstanding upon repurchase and will be returned to the pool of authorized shares. During the year ended December 31, 2016, 1,152,386 shares of outstanding common stock were repurchased under the Company’s previously announced share repurchase program for approximately $19.6 million . There were no repurchases during 2017 and this repurchase program expired on January 25, 2018. On December 12, 2018, the Board of Directors authorized a new stock repurchase program, pursuant to which up to $50.0 million of the Company’s shares of common stock may be purchased through December 12, 2020. There were no repurchases during 2018 and at December 31, 2018, $50.0 million remained available under the new repurchase program. Shares Reserved for Future Issuance. At December 31, 2018 , approximately 5.7 million shares of common stock were reserved under the Company’s equity incentive plan and 178,544 shares were reserved for purchases under the ESPP. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation For the years ended December 31, 2018 , 2017 and 2016 stock-based compensation expense was $11.7 million , $9.1 million and $8.0 million , respectively, of which $3.4 million , $4.1 million and $4.7 million , respectively, related to stock options and $6.7 million , $4.9 million and $2.4 million , respectively, related to restricted stock units. For the years ended December 31, 2018 , 2017 and 2016 , the Company recorded $1.6 million , $0.1 million and $0.9 million in stock-based compensation expense, respectively, associated with the deferred bonus compensation program, described in Note 5 . During the years ended December 31, 2018 and 2016, $1.6 million and $0.9 million , respectively, was initially recorded as a component of accrued payroll and related expenses. Since the employee Deferred Bonus Compensation Program was suspended in 2017, there was no component of stock-based compensation recorded to accrued payroll related expenses during the year ended December 31, 2017. Stock-based compensation expense related to stock options and restricted stock units was as follows (in thousands): Year ended December 31, 2018 2017 2016 Cost of sales $ 763 $ 579 $ 617 Research and development 2,266 1,886 1,551 Sales and marketing 2,843 2,129 1,189 General and administrative 5,837 4,467 4,629 Total stock-based compensation expense $ 11,709 $ 9,061 $ 7,986 Stock-based compensation expense capitalized to inventory and compensation expense related to the Company’s ESPP were not material for the years ended December 31, 2018 , 2017 and 2016 . Stock Options Compensation expense related to stock options granted is recognized ratably over the service vesting period for the entire option award. The estimated fair value of each stock option was determined on the date of grant using the Black-Scholes option valuation model with the following weighted-average assumptions: Year ended December 31, 2018 2017 2016 Risk-free interest rate 2.49 % 2.30 % 1.47 % Expected option life (in years) 6.29 6.63 6.59 Volatility rate 36 % 36 % 36 % Dividend rate — % — % — % The computation of the expected option life is based on a weighted-average calculation combining the average life of options that have already been exercised and post-vest cancellations with the estimated life of the remaining vested and unexercised options. The expected volatility is based on the historical volatility of the Company’s stock. The risk-free interest rate is based on the U.S. Treasury yield curve over the expected term of the option. The Company has never paid any cash dividends on its common stock, and does not anticipate paying any cash dividends in the foreseeable future. Consequently, the Company uses an expected dividend yield of zero in the Black-Scholes option valuation model. The Company’s estimated forfeiture rate is based on its historical experience and future expectations. The Company’s determination of fair value is affected by the Company’s stock price as well as a number of assumptions that require judgment. The weighted-average fair value per share was $18.76 , $8.99 and $6.00 for options granted during the years ended December 31, 2018 , 2017 and 2016 , respectively. The total intrinsic value was $38.2 million , $26.8 million and $4.5 million for options exercised during the years ended December 31, 2018 , 2017 and 2016 , respectively. As of December 31, 2018 , total unrecognized compensation expense related to stock options was approximately $4.4 million and the related weighted-average period over which it is expected to be recognized is approximately 1.7 years. The maximum contractual term of the Company’s stock options is ten years. A summary of the status of stock option activity for the years ended December 31, 2016 , 2017 and 2018 is as follows (in thousands, except price data and years): Number of Shares Weighted- average exercise price per share Weighted- average remaining contractual term (in years) Aggregate intrinsic value Outstanding at January 1, 2016 3,967 $ 17.44 Granted 677 15.48 Exercised (553 ) 13.76 Cancelled (150 ) 20.86 Outstanding at December 31, 2016 3,941 17.49 Granted 263 22.21 Exercised (1,527 ) 16.38 Cancelled (18 ) 24.91 Outstanding at December 31, 2017 2,659 18.54 Granted 159 46.50 Exercised (891 ) 17.07 Cancelled (50 ) 21.19 Outstanding at December 31, 2018 1,877 $ 21.53 5.98 $ 49,976 Vested and expected to vest at December 31, 2018 1,838 $ 21.34 5.93 $ 49,302 Exercisable at December 31, 2018 1,117 $ 19.28 4.83 $ 32,374 Restricted Stock Units The Company grants both time-based restricted stock units (“RSUs”) and performance-based restricted stock units (“PSUs”). The fair value of RSUs and PSUs is determined based on the closing market price of the Company’s common stock on the grant date. Compensation expense for RSUs is measured at the grant date and recognized ratably over the vesting period. A portion of the restricted stock granted in 2018 and 2017 is performance-based and vesting is tied to achievement of specific Company goals over a three-year time period, subject to early vesting upon achievement of the performance goals. For purposes of measuring compensation expense for PSUs, the number of shares ultimately expected to vest is estimated at each reporting date based on management’s expectations regarding the relevant performance criteria. There was no stock-based compensation expense related to PSUs for the year ended December 31, 2016. A summary of the status of restricted stock unit activity for the years ended December 31, 2016 , 2017 and 2018 is as follows (in thousands, except price data): Shares Weighted-average grant date fair value Non-vested at January 1, 2016 459 $ 21.61 Granted 185 16.14 Vested (120 ) 18.50 Forfeited (23 ) 20.80 Non-vested at December 31, 2016 501 20.37 Granted 349 22.34 Vested (100 ) 23.49 Forfeited (4 ) 18.69 Non-vested at December 31, 2017 746 20.88 Granted 242 49.97 Vested (296 ) 21.70 Forfeited (16 ) 28.40 Non-vested at December 31, 2018 676 $ 30.75 Since the employee Deferred Bonus Compensation Program was suspended in 2017, there were no restricted stock units issued in exchanged for the deferred bonus liability in 2018. In 2017 and 2016 , the Company issued approximately 0.1 million restricted stock units each year in exchange for the deferred bonus liability of $0.9 million and $0.5 million , respectively. The total amount of unrecognized compensation expense related to non-vested restricted stock units as of December 31, 2018 was approximately $12.1 million , which is expected to be recognized over a weighted-average period of approximately 2.1 years. |
Earnings (Loss) Per Share (Note
Earnings (Loss) Per Share (Notes) | 12 Months Ended |
Dec. 31, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Earnings Per Share [Text Block] | Earnings (Loss) Per Share Basic earnings (loss) per share (“EPS”) is computed by dividing net income (loss) by the weighted-average number of common shares outstanding. Diluted EPS is computed based on the sum of the weighted average number of common shares and potentially dilutive common shares outstanding during the period. Potentially dilutive common shares consist of shares issuable from stock options, unvested RSUs and the 3.25% Convertible Senior Notes. Potentially dilutive common shares from outstanding stock options and unvested RSUs are determined using the average share price for each period under the treasury stock method. Potentially dilutive shares from the Convertible Senior Notes are determined using the if-converted method. Under the provisions of the if-converted method, the Convertible Senior Notes are assumed to be converted and the resulting commons shares are included in the denominator of the EPS calculation and the interest expense, net of tax, recorded in connection with the Convertible Senior Notes is added back to net income (loss). The Convertible Senior Notes have a dilutive impact when the average market price of the Company’s common stock exceeds the applicable conversion price of the notes. The Convertible Senior Notes became convertible on March 31, 2018 and remained convertible through December 31, 2018 . The following table reconciles net income (loss) and the weighted-average shares used in computing basic and diluted earnings per share in the respective periods (in thousands): Twelve months ended December 31, 2018 2017 2016 Numerator: Net income (loss) used for basic earnings per share $ 74,183 $ (8,165 ) $ (13,808 ) Interest expense on Convertible Senior Notes, net of tax 4,927 — — Net income (loss) used for diluted earnings per share, if-converted method $ 79,110 $ (8,165 ) $ (13,808 ) Basic weighted-average common shares outstanding 37,995 33,734 32,708 Potentially dilutive shares issuable from Convertible Senior Notes, if-converted 2,850 — — Potentially dilutive shares issuable from stock options and unvested RSUs 1,709 — — Diluted weighted-average common shares outstanding, if-converted 42,554 33,734 32,708 Potentially dilutive shares excluded from calculation due to anti-dilutive effect 161 37 2,770 Potentially dilutive shares excluded from the calculation above represent stock options when the combined exercise price and unrecognized stock-based compensation are greater than the average market price for the Company’s common stock because their effect is anti-dilutive. The number of potentially dilutive shares issuable under the Convertible Senior Notes that would have been included in the diluted EPS calculation if the Company had earnings amounted to 1.4 million for the year ended December 31, 2017 . Stock options and RSUs that would have been included in the diluted EPS calculation if the Company had earnings amounted to 1.4 million and 0.8 million for the years ended December 31, 2017 and 2016 . No conversion premium existed on the Convertible Senior Notes as of December 31, 2016; therefore, there was no dilutive impact from the Convertible Senior Notes to diluted EPS during the year ended December 31, 2016. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Leases The Company leases its facilities and certain equipment. Commitments for minimum rentals under non-cancelable leases at the end of 2018 are as follows (in thousands): Years ending December 31, Operating Leases Lease obligation 2019 $ 9,940 $ 956 2020 10,601 967 2021 10,502 — 2022 8,965 — 2023 8,409 — Thereafter 86,797 — Total minimum lease payments $ 135,214 $ 1,923 Operating Leases —Rent expense under operating leases totaled approximately $10.2 million for the year ended December 31, 2018 , $2.1 million for the year ended December 31, 2017 and $2.2 million for the year ended December 31, 2016 . On January 5, 2018, the Company entered into a sale and leaseback transaction for the San Diego property on Summers Ridge Road (the “Summers Ridge Property”) that was acquired as part of the Triage Business from Alere discussed in Note 12. The Summers Ridge Property was included as assets held for sale on the Consolidated Balance Sheet as of December 31, 2017. The Company sold the Summers Ridge Property for a net consideration of $146.6 million . In addition, the Company entered into a lease agreement with the buyer to lease two of the four buildings on the Summers Ridge Property for an initial term of 15 years. The Summers Ridge lease is subject to certain must-take provisions related to two additional buildings, consisting of approximately 125,000 square feet, upon the expiration of certain leases with the tenants of the other portion of the Summers Ridge Property. The initial term can be extended by the Company for two additional 5 -year terms upon satisfaction of certain conditions. The future minimum lease payments above excludes one building for which the must-take clause has not been triggered. McKellar Court Lease Obligation —During 1999, the Company completed a sale and leaseback transaction of its San Diego facility at McKellar Court. The facility was sold for $15.0 million , of which $3.8 million was capital contributed by the Company. The sale was an all-cash transaction, netting the Company approximately $7.0 million . The Company is a 25% limited partner in the partnership that acquired the facility. The transaction was deemed a financing transaction under the guidance in ASC Topic 840-40, Accounting for Sales of Real Estate . The assets sold remain on the books of the Company and will continue to be depreciated over the estimated useful life. In December 2009, the Company amended the terms of its lease agreement for the McKellar Court property, which had no significant impact on the Company’s financial statements. The amended terms included a new ten -year lease term through December 31, 2019 , with options to extend the lease for up to three additional five -year periods. In the fourth quarter of 2015, the Company amended the terms of its lease agreement to extend the lease term through December 31, 2020. The options to extend the lease for up to three additional five -year periods commence at the new lease term date of December 31, 2020. The Company is amortizing the lease obligation over the new estimated lease term, including extensions. As the Company accounts for the lease as a financing transaction, the Company adjusted the implied interest rate so that the existing lease obligation is amortized to the end of the estimated lease term, including extensions. The Company has determined that the partnership is a variable interest entity (VIE). The Company is not, however, the primary beneficiary of the VIE as it does not absorb the majority of the partnership’s expected losses or receive a majority of the partnership’s residual returns. The Company made lease payments to the partnership of approximately $0.9 million for each of the years ended December 31, 2018 , 2017 and 2016 , respectively. Purchase Commitments The Company has $ 9.1 million in firm inventory purchase commitments as of December 31, 2018 , the majority of which will be purchased within the next twelve months. Litigation and Other Legal Proceedings In Beckman Coulter Inc. v. Quidel Corporation, which was filed in the Superior Court for the County of San Diego, California (the “Trial Court”), on November 27, 2017, Beckman Coulter Inc. (“Beckman”) alleges that a provision of an agreement between Quidel and Beckman violates state antitrust laws. Our acquisition of the BNP Business consisted of assets and liabilities relating to a contractual arrangement with Beckman (the “Beckman Agreement”) for the supply of antibodies and other inputs related to, and distribution of, the Triage® BNP Test for the Beckman Coulter Access Family of Immunoassay Systems. The Beckman Agreement further provides that Beckman, for a specified period, cannot research or develop an assay for use in the diagnosis of cardiac diseases that measures or detects the presence or absence of BNP or NT-pro-BNP (a related biomarker). In the lawsuit, Beckman asserts that this provision violates certain California antitrust laws and is unenforceable. Beckman contends that it has suffered damages due to this provision and seeks a declaration that this provision is void. On December 7, 2018, the Trial Court granted Beckman’s motion for summary adjudication of its first cause of action for declaratory relief (the “Order”), finding the challenged provision void under California law. On December 18, 2018, the Trial Court stayed the effect of the Order pending our petitioning the Fourth District Court of Appeal (the “Court of Appeal”) for a stay and review of the Order. On January 18, 2019, we filed a petition for writ of mandate with the Court of Appeal, seeking immediate appellate review of the Order and requesting a stay of the Order pending review. Beckman requested and obtained an extension to file a preliminary opposition to the writ petition, which is due on February 25, 2019. We intend to file a reply to the preliminary opposition, which will be due twenty days after the filing of the opposition. On February 7, 2019, the Trial Court stayed the remaining litigation on Beckman’s second cause of action pending a decision from the Court of Appeal on whether they will hear the merits of our writ petition. The Trial Court also vacated all deadlines in the case, including the trial date. The parties are to report back to the Trial Court once the Court of Appeal issues its decision on whether to review the merits of our writ petition. We continue to deny that the contractual provision is unlawful, deny any liability with respect to this matter, and intend to continue to vigorously defend ourselves. There are multiple factors that prevent us from being able to estimate the amount of loss, if any, that may result from this matter including: (1) we are vigorously defending ourselves and believe that we have a number of meritorious legal defenses; (2) there are unresolved questions of law and fact that could be important to the ultimate resolution of this matter; and (3) discovery is in the very early stages. Accordingly, at this time, we are not able to estimate a possible loss or range of loss that may result from this matter or to determine whether such loss, if any, would have a material adverse effect on our financial condition, results of operations or liquidity. From time to time, the Company is involved in other litigation and proceedings, including matters related to product liability claims, commercial disputes and intellectual property claims, as well as regulatory, employment, and other claims related to our business. The Company accrues for legal claims when, and to the extent that, amounts associated with the claims become probable and are reasonably estimable. The actual costs of resolving legal claims may be substantially higher or lower than the amounts accrued for those claims. For those matters as to which we are not able to estimate a possible loss or range of loss, we are not able to determine whether the loss will have a material adverse effect on our business, financial condition or results of operations or liquidity. No accrual has been recorded as of December 31, 2018 and December 31, 2017 related to such matters as they are not probable and/or reasonably estimable. Management believes that all such current legal actions, in the aggregate, will not have a material adverse effect on the Company. However, the resolution of, or increase in any accruals for, one or more matters may have a material adverse effect on the Company’s results of operations and cash flows. The Company also maintains insurance, including coverage for product liability claims, in amounts which management believes are appropriate given the nature of its business. Licensing Arrangements The Company has entered into various licensing and royalty agreements, which largely require payments by the Company based on specified product sales as well as the achievement of specified milestones. The Company had royalty and license expenses relating to those agreements of approximately $0.4 million , $0.6 million and $0.8 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. |
Industry and Geographic Informa
Industry and Geographic Information | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Industry and Geographic Information | The Company operates in one reportable segment. Sales to customers outside the U.S. represented 32% , 18% and 17% of total revenue for the years ended December 31, 2018 , 2017 and 2016 , respectively. As of December 31, 2018 and 2017 , balances due from foreign customers were $23.4 million and $18.8 million , respectively. The Company had sales to individual customers in excess of 10% of total revenue, as follows: Year ended December 31, 2018 2017 2016 Customer: A 19 % 20 % 15 % B 13 % 13 % 13 % C 12 % 21 % 16 % 44 % 54 % 44 % As of December 31, 2018 and 2017 , accounts receivable from individual customers with balances due in excess of 10% of total accounts receivable totaled $33.3 million and $44.4 million , respectively. The following presents long-lived assets (excluding intangible assets) and total net revenue by geographic territory (in thousands): Long-lived assets as of December 31, Total revenue for the years ended December 31, 2018 2017 2018 2017 2016 Domestic $ 72,569 $ 59,833 $ 354,895 $ 227,611 $ 158,244 Foreign 1,332 1,752 167,390 50,132 33,359 Total $ 73,901 $ 61,585 $ 522,285 $ 277,743 $ 191,603 Consolidated net revenues by product category are as follows (in thousands): Year ended December 31, 2018 2017 2016 Rapid Immunoassay $ 183,160 $ 165,099 $ 121,416 Cardiac Immunoassay 266,524 47,030 — Specialized Diagnostic Solutions 53,243 51,978 60,681 Molecular Diagnostic Solutions 19,358 13,636 9,506 Total revenues $ 522,285 $ 277,743 $ 191,603 |
Fair Value Measurement
Fair Value Measurement | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | Fair Value Measurement The following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of the following periods (in thousands): December 31, 2018 December 31, 2017 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Contingent consideration $ — $ — $ 19,112 $ 19,112 $ — $ — $ 24,301 $ 24,301 Deferred consideration — 187,158 — 187,158 — 223,158 — 223,158 Total liabilities measured at fair value $ — $ 187,158 $ 19,112 $ 206,270 $ — $ 223,158 $ 24,301 $ 247,459 There were no transfers of assets or liabilities between Level 1, Level 2 and Level 3 categories of the fair value hierarchy during the years ended December 31, 2018 and 2017 . In connection with the acquisition of the BNP Business, the Company will pay up to $280.0 million in cash, of which $256.0 million is guaranteed and is considered deferred consideration and $24.0 million is contingent consideration. The fair value of the deferred consideration was determined to be $220.6 million on the acquisition date based on the net present value of cash payments using an estimated borrowing rate using a quoted price for a similar liability. The Company recorded $10.0 million for the accretion of interest on the deferred consideration in 2018. The fair value of contingent consideration on the acquisition date was $19.7 million and was calculated using a discounted probability weighted valuation model. Contingent consideration related to the acquisitions of BioHelix Corporation in May 2013, AnDiaTec GmbH & Co. KG in August 2013 and Immutopics, Inc. in March 2016, was $4.6 million as of December 31, 2017 . During the year ended December 31, 2018, the Company fully paid the BioHelix Corporation and AndiaTec GmbH & Co. KG related contingent consideration and the Immutopics, Inc. related contingent consideration of $0.3 million remained as of December 31, 2018 . The Company assesses the fair value of contingent consideration to be settled in cash related to these prior acquisitions using a discounted revenue model. Significant assumptions used in the measurement include revenue projections and discount rates. This fair value measurement of contingent consideration is based on significant inputs not observed in the market and thus represent Level 3 measurements. Due to changes in the estimated payments and a shorter discounting period related to the various contingent consideration liabilities, the fair value of the contingent consideration changed during the years ended 2018 , 2017 and 2016 . These changes resulted in loss of $1.1 million for 2018 recorded to general and administrative expenses in the Consolidated Statements of Operations and gains of $0.1 million and $0.5 million for the years 2017 and 2016 , respectively, recorded to cost of sales in the Consolidated Statements of Operations. Changes in estimated fair value of contingent consideration liabilities from December 31, 2017 through December 31, 2018 are as follows (in thousands): Contingent consideration liability (Level 3 measurement) Balance at December 31, 2017 $ 24,301 Cash payments (6,303 ) Net loss recorded for fair value adjustments 1,114 Balance at December 31, 2018 $ 19,112 |
Employee Benefit Plan
Employee Benefit Plan | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plan | Note 11. Employee Benefit Plan The Company has a defined contribution 401(k) plan (the “401(k) Plan”) covering all employees who are eligible to join the 401(k) Plan upon employment. Employee contributions are subject to a maximum limit by federal law. This Plan includes an employer match of 50% on the first 6% of pay contributed by the employee. The Company contributed approximately $2.6 million , $1.5 million and $1.5 million to the 401(k) Plan during the years ended December 31, 2018 , 2017 and 2016 , respectively |
Acquisition
Acquisition | 12 Months Ended |
Dec. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisition | On October 6, 2017, the Company closed on the acquisition of the Triage and BNP Businesses. The acquisition was accounted for in conformity with ASC Topic 805, Business Combinations . In connection with the acquisition of the Triage Business, the Company paid $399.8 million in cash and assumed certain liabilities. These acquisitions enhance the Company’s revenue profile and expand the Company’s geographic footprint and product diversity. The Company used proceeds from the Term Loan (defined and discussed in Note 3 ) of $245.0 million and cash on hand to pay (i) the consideration for the Triage Business and (ii) fees and expenses incurred in connection with the acquisition of the Triage and BNP Businesses. In connection with the acquisition of the BNP Business, the Company: (i) will pay (A) $16.0 million in cash plus up to an additional $24.0 million in contingent consideration, payable in five annual installments of up to $8.0 million , the first of which was due and paid on April 2018, (B) $240.0 million in cash, payable in six annual installments of $40.0 million each, the first of which was due and paid in April 2018 and (C) $0.2 million in cash for certain inventory related adjustments; and (ii) assumed certain liabilities. The purchase price consideration is as follows (in thousands): Cash consideration—Triage Business $ 399,798 Deferred consideration—BNP Business 220,550 Contingent consideration—BNP Business 19,700 Inventory related adjustment 205 Net consideration $ 640,253 The fair value of the deferred consideration was determined to be $220.6 million on the acquisition date based on the net present value of cash payments. The discount rate utilized was based on a quoted borrowing rate for a similar liability. The fair value of contingent consideration on the acquisition date of $19.7 million was calculated using a discounted probability weighted valuation model. The components of the purchase price allocation at the acquisition date is as follows: Prepaid expenses and other current assets $ 796 Assets held for sale 146,540 Inventories 52,205 Property, plant and equipment 10,608 Intangible assets 184,900 Goodwill 245,531 Other non-current assets 182 Total assets acquired 640,762 Other current liabilities (509 ) Total net assets and liabilities acquired $ 640,253 Goodwill represents the excess of the total purchase price over the fair value of the underlying net assets, largely arising from synergies expected to be achieved by the combined Company and the expanded revenue profile and product diversity. The goodwill is fully deductible for tax purposes. The fair value of the identified intangible assets was determined primarily using an income-based approach. Intangible assets are amortized on a straight-line basis over the respective amortization periods. The following sets forth results of the amounts assigned to the identifiable intangible assets acquired (in thousands): Intangible Asset Amortization period Fair value of assets acquired Purchased technology 10 years $ 52,400 Customer relationships 7 years 115,000 Trademarks 10 years 17,500 Total intangible assets $ 184,900 |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data (unaudited) | Selected Quarterly Financial Data (unaudited) First Quarter Second Quarter Third Quarter Fourth Quarter (in thousands, except per share data) 2018 Total revenues $ 169,143 $ 103,155 $ 117,399 $ 132,588 Gross profit $ 106,271 $ 57,668 $ 69,642 $ 82,132 Operating income (loss) $ 51,093 $ 404 $ 16,894 $ 27,538 Net income (loss) $ 33,958 $ (3,076 ) $ 10,822 $ 32,479 Basic income (loss) per share $ 0.96 $ (0.08 ) $ 0.28 $ 0.82 Diluted income (loss) per share $ 0.86 $ (0.08 ) $ 0.27 $ 0.78 2017 Total revenues $ 73,692 $ 38,267 $ 50,894 $ 114,890 Gross profit (1) $ 48,499 $ 18,826 $ 29,690 $ 59,127 Operating income (loss) $ 19,229 $ (11,027 ) $ (2,537 ) $ 3,887 Net income (loss) $ 14,290 $ (11,842 ) $ (5,525 ) $ (5,088 ) Basic income (loss) per share $ 0.43 $ (0.35 ) $ (0.16 ) $ (0.15 ) Diluted income (loss) per share $ 0.42 $ (0.35 ) $ (0.16 ) $ (0.15 ) |
Consolidated Valuation and Qual
Consolidated Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2018 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Consolidated Valuation and Qualifying Accounts | SCHEDULE II QUIDEL CORPORATION CONSOLIDATED VALUATION AND QUALIFYING ACCOUNTS Description Balance at beginning of period Additions charged to expense or as reductions to revenue (1) Deductions (2) Balance at end of period (in thousands) Year ended December 31, 2018: Accounts receivable allowance $ 12,309 $ 65,142 $ (65,472 ) $ 11,979 Year ended December 31, 2017: Accounts receivable allowance $ 7,165 $ 36,449 $ (31,305 ) $ 12,309 Year ended December 31, 2016: Accounts receivable allowance $ 7,488 $ 28,329 $ (28,652 ) $ 7,165 (1) Represents charges associated primarily to accruals for early payment discounts, volume discounts and contract rebates recorded as reductions to revenue. Additions to allowance for doubtful accounts are recorded to sales and marketing expenses. (2) The deductions represent actual charges against the accrual described above. |
Company Operations and Summar_2
Company Operations and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Consolidation | Consolidation— The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. |
Cash and Cash Equivalents | Cash and Cash Equivalents— The Company considers cash equivalents to be highly liquid investments with a maturity at the date of purchase of three months or less. The Company invests its cash equivalents primarily in money market funds with high quality institutions. |
Accounts Receivable | Accounts Receivable— The Company sells its products directly to hospitals and reference laboratories as well as to distributors in the U.S. and sells directly to hospitals and labs and through distribution internationally (see Note 9 ). The Company periodically assesses the financial strength of these customers and establishes reserves for anticipated losses when necessary, which historically have not been material. The Company’s reserves primarily consist of amounts related to cash discounts and contract rebates. The balance of accounts receivable is net of reserves of $12.0 million and $12.3 million at December 31, 2018 and 2017 , respectively. |
Concentration of Credit Risk | Concentration of Credit Risk— Financial instruments that potentially subject the Company to significant concentrations of credit risk consists principally of trade accounts receivable. The Company performs credit evaluations of its customers’ financial condition and limits the amount of credit extended when deemed necessary, but generally requires no collateral. Credit quality is monitored regularly by reviewing credit history. The Company believes that the concentration of credit risk in its trade accounts receivables is moderated by its credit evaluation process, relatively short collection terms, the high level of credit worthiness of its customers, and letters of credit issued on the Company’s behalf. Potential credit losses are limited to the gross value of accounts receivable. |
Inventories | Inventories— Inventories are stated at the lower of cost (first-in, first-out) or net realizable value. The Company reviews the components of its inventory on a quarterly basis for excess, obsolete and impaired inventory and makes appropriate dispositions as obsolete stock is identified. |
Property, Plant and Equipment | Property, Plant and Equipment— Property, plant and equipment is recorded at cost and depreciated over the estimated useful lives of the assets ( three to fifteen years) using the straight-line method. Amortization of leasehold improvements is computed on the straight-line method over the estimated useful lives of the assets. |
Intangible Assets | Goodwill and Intangible Assets— Intangible assets are recorded at cost and amortized on a straight-line basis over their estimated useful lives, except for indefinite-lived intangibles such as goodwill. Software development costs associated with software to be leased or otherwise marketed are expensed as incurred until technological feasibility has been established. After technological feasibility is established, software development costs are capitalized. The capitalized cost is amortized on a straight-line basis over the estimated product life or on the ratio of current revenues to total projected product revenues, whichever is greater. |
Convertible Debt | Convertible Debt— The Company accounts for convertible debt instruments that may be settled in cash upon conversion (including combination settlement of cash equal to the “principal portion” and delivery of the “share amount” in excess of the conversion value over the principal portion in shares of common stock and/or cash) by separating the liability and equity components of the instruments in a manner that reflects our nonconvertible debt borrowing rate. The Company determines the carrying amount of the liability component by measuring the fair value of similar debt instruments that do not have the conversion feature. If no similar debt instrument exists, the Company estimates fair value by using assumptions that market participants would use in pricing a debt instrument, including market interest rates, credit standing, yield curves and volatilities. Determining the fair value of the debt component requires the use of accounting estimates and assumptions. These estimates and assumptions are judgmental in nature and could have a significant impact on the determination of the debt component, and the associated non-cash interest expense. See Note 3 for additional discussion of the Convertible Senior Notes issued in December 2014. |
Revenue Recognition | Revenue Recognition |
Research and Development Costs | Research and Development Costs— Research and development costs are charged to operations as incurred. In conjunction with certain third-party service agreements, the Company is required to make periodic payments based on achievement of certain milestones. The costs related to these research and development services are also charged to operations as incurred. |
Shipping and Handling Cost, Policy [Policy Text Block] | Product Shipment Costs— Product shipment costs are included in sales and marketing expense in the accompanying Consolidated Statements of Operations. |
Advertising Costs | Advertising Costs— Advertising costs are expensed as incurred. |
Deferred Rent | Deferred Rent— The Company enters into lease arrangements for office space under non-cancelable operating leases. Certain of the operating lease agreements contain rent escalation provisions, which are considered in determining the straight-line rent expense to be recorded over the lease term. The lease term begins on the date of initial possession of the leased property for purposes of recognizing lease expense on a straight-line basis over the term of the lease. The Company does not assume renewals in the determination of the lease term unless the renewals are deemed to be reasonably assured at lease inception. The difference between rent expense and amounts paid under the Company’s lease agreements are recorded as deferred rent. |
Income Taxes | Income Taxes— Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes, using enacted tax rates in effect for the year in which the differences are expected to reverse. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. The Company’s policy is to recognize the interest expense and penalties related to income tax matters as a component of the income tax provision. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments — |
Product Warranty | Product Warranty —The Company generally sells products with a limited product warranty and certain limited indemnifications. Due to product testing, the short time between product shipment and the detection and correction of product failures and a low historical rate of payments on claims, the historical activity and the related expense were not significant for the fiscal years presented. |
Stock-Based Compensation | Stock-Based Compensation —Compensation expense related to stock options granted is recognized ratably over the service vesting period for the entire option. For stock options with graded vesting, the Company ensures that the cumulative amount of compensation expense recognized at the end of any reporting period at least equals the portion of the stock option that has vested at that date. The total number of stock options expected to vest is adjusted by estimated forfeiture rates. The Company determined the estimated fair value of each stock option on the date of grant using the Black-Scholes option valuation model. The fair value of restricted stock units is determined based on the closing market price of the Company’s common stock on the grant date. |
Comprehensive (Loss) Income | Comprehensive Income (loss) —Comprehensive income (loss) includes unrealized gains and losses which are related to the cumulative translation adjustments excluded from the Company’s Consolidated Statements of Operations. |
Use of Estimates | Use of Estimates —The preparation of financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Accounting Periods | Accounting Periods —Each of the Company’s fiscal quarters end on the Sunday closest to the end of the calendar quarter. The Company’s fiscal year ends are December 30, 2018, December 31, 2017 and January 1, 2017. For ease of reference, the calendar quarter end dates are used herein. |
Lessee, Operating Leases [Text Block] | In February 2016, the FASB issued guidance codified in ASU 2016-02 (Topic 842), Leases . The guidance requires a lessee to recognize a lease liability for the obligation to make lease payments and a right-of-use asset representing the right to use the underlying asset for the lease term on the balance sheet. Under ASU 2016-02, adoption was required on a modified retrospective transition basis for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. In July 2018, the FASB issued ASU 2018-11, which allows for an alternative method to adopt the lease standard by recognizing a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption, with no adjustment to prior comparative periods. ASU 2016-02 and all subsequent amendments (collectively, “ASC 842”) are effective for public entities for annual reporting periods beginning after December 15, 2018, including interim periods therein. The Company will adopt ASC 842 on January 1, 2019 using the alternative method of adoption. We estimate that the impact of the adoption will be to add approximately $87.0 million in operating right-of-use assets; increase the current portion of operating lease liabilities and non-current operating lease liabilities by approximately $5.0 million and $85.0 million , respectively; and decrease current and non-current deferred rent by approximately $0.5 million and $2.5 million , respectively. There are no adjustments to retained earnings. In applying ASC 842, the Company will adopt the package of practical expedients which, among other things, allows the Company to carry forward its historical lease classification. Additionally, the Company will adopt a policy to exclude short-term leases from the calculation of the right-of-use assets and lease liabilities. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements —In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance codified in Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers , which amends the guidance in former ASC 605, Revenue Recognition (“ASU 2014-09”). The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies are required to use more judgment and make more estimates than under prior authoritative guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. The FASB has issued several amendments to the new standard, which include clarification of accounting guidance related to identification of performance obligations, intellectual property licenses and principal vs. agent considerations. ASU 2014-09 and all subsequent amendments (collectively, “ASC 606”) were effective for public entities for annual reporting periods beginning after December 15, 2017, including interim periods therein. The Company adopted ASC 606 on January 1, 2018, using the modified retrospective transition method applied to those contracts which were not completed as of that date. The cumulative effect of applying the new revenue standard to all incomplete contracts as of January 1, 2018 was not material and, therefore, did not result in an adjustment to opening retained earnings. The adoption of ASC 606 did not have a material impact on the Company’s consolidated financial position, results of operations, equity or cash flows as of the adoption date or for the year ended December 31, 2018 . In February 2016, the FASB issued guidance codified in ASU 2016-02 (Topic 842), Leases . The guidance requires a lessee to recognize a lease liability for the obligation to make lease payments and a right-of-use asset representing the right to use the underlying asset for the lease term on the balance sheet. Under ASU 2016-02, adoption was required on a modified retrospective transition basis for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. In July 2018, the FASB issued ASU 2018-11, which allows for an alternative method to adopt the lease standard by recognizing a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption, with no adjustment to prior comparative periods. ASU 2016-02 and all subsequent amendments (collectively, “ASC 842”) are effective for public entities for annual reporting periods beginning after December 15, 2018, including interim periods therein. The Company will adopt ASC 842 on January 1, 2019 using the alternative method of adoption. We estimate that the impact of the adoption will be to add approximately $87.0 million in operating right-of-use assets; increase the current portion of operating lease liabilities and non-current operating lease liabilities by approximately $5.0 million and $85.0 million , respectively; and decrease current and non-current deferred rent by approximately $0.5 million and $2.5 million , respectively. There are no adjustments to retained earnings. In applying ASC 842, the Company will adopt the package of practical expedients which, among other things, allows the Company to carry forward its historical lease classification. Additionally, the Company will adopt a policy to exclude short-term leases from the calculation of the right-of-use assets and lease liabilities. In January 2017, the FASB issued guidance codified in ASU 2017-04, Intangibles-Goodwill and Other (Topic 350) Simplifying the Test for Goodwill Impairment (“ASU 2017-04”). Under this new guidance, an entity will no longer determine goodwill impairment by calculating the implied fair value of goodwill by assigning the fair value of a reporting unit to all of its assets and liabilities as if that reporting unit had been acquired in a business combination. Instead, an entity will compare the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The guidance is effective for fiscal years beginning after December 15, 2019 including interim periods therein. The Company is currently evaluating the impact of this guidance and expects to adopt the standard in the first quarter of 2020. |
Earnings (Loss) Per Share Earni
Earnings (Loss) Per Share Earnings per share (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share, Policy [Policy Text Block] | Basic earnings (loss) per share (“EPS”) is computed by dividing net income (loss) by the weighted-average number of common shares outstanding. Diluted EPS is computed based on the sum of the weighted average number of common shares and potentially dilutive common shares outstanding during the period. Potentially dilutive common shares consist of shares issuable from stock options, unvested RSUs and the 3.25% Convertible Senior Notes. Potentially dilutive common shares from outstanding stock options and unvested RSUs are determined using the average share price for each period under the treasury stock method. Potentially dilutive shares from the Convertible Senior Notes are determined using the if-converted method. Under the provisions of the if-converted method, the Convertible Senior Notes are assumed to be converted and the resulting commons shares are included in the denominator of the EPS calculation and the interest expense, net of tax, recorded in connection with the Convertible Senior Notes is added back to net income (loss). The Convertible Senior Notes have a dilutive impact when the average market price of the Company’s common stock exceeds the applicable conversion price of the notes. The Convertible Senior Notes became convertible on March 31, 2018 and remained convertible through December 31, 2018 . |
Balance Sheet Account Details_2
Balance Sheet Account Details (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Balance Sheet Related Disclosures [Abstract] | |
Schedule of Other Current Assets | Prepaid expenses and other current assets The following is a summary of prepaid expenses and other current assets (in thousands): December 31, 2018 2017 Receivables under transition service agreements $ 15,507 $ 7,509 Income taxes receivable 2,703 3,806 Prepaid expenses 4,508 2,898 Other 928 162 Total prepaid expenses and other current assets $ 23,646 $ 14,375 |
Summary of Inventories | December 31, 2018 2017 Raw materials $ 24,292 $ 22,252 Work-in-process (materials, labor and overhead) 21,280 22,813 Finished goods (materials, labor and overhead) 21,807 22,013 Total inventories $ 67,379 $ 67,078 |
Property, Plant and Equipment | The following is a summary of property, plant and equipment (in thousands): December 31, 2018 2017 Equipment, furniture and fixtures $ 89,285 $ 75,728 Building and improvements 37,335 34,994 Leased instruments 42,647 32,458 Land 1,080 1,080 Total property, plant and equipment, gross 170,347 144,260 Less: accumulated depreciation and amortization (96,446 ) (82,675 ) Total property, plant and equipment, net $ 73,901 $ 61,585 |
Summary of Intangible Assets | Amortizable intangible assets consisted of the following (dollar amounts in thousands): December 31, 2018 December 31, 2017 Description Weighted-average useful life (years) Gross assets Accumulated amortization Net Gross assets Accumulated amortization Net Purchased technology 9.1 $ 112,100 $ (57,495 ) $ 54,605 $ 112,100 $ (49,614 ) $ 62,486 Customer relationships 7.0 122,389 (27,561 ) 94,828 122,404 (10,960 ) 111,444 License agreements 9.9 6,511 (4,530 ) 1,981 6,515 (3,980 ) 2,535 Patent and trademark costs 10.8 28,740 (7,624 ) 21,116 28,740 (4,917 ) 23,823 Software development costs 5.0 6,629 (4,130 ) 2,499 6,630 (3,091 ) 3,539 Total amortizable intangible assets $ 276,369 $ (101,340 ) $ 175,029 $ 276,389 $ (72,562 ) $ 203,827 |
Summary of Expected Future Annual Amortization Expense | The expected future annual amortization expense of the Company’s intangible assets is as follows (in thousands): For the years ending December 31, Amortization expense 2019 $ 27,542 2020 27,144 2021 26,999 2022 26,468 2023 25,758 Thereafter 41,118 Total $ 175,029 |
Schedule of Other Current Liabilities | The following is a summary of other current liabilities (in thousands): December 31, 2018 2017 Customer incentives $ 7,516 $ 7,165 Accrued interest 347 442 Other 5,129 5,059 Total other current liabilities $ 12,992 $ 12,666 |
Debt Tables (Tables)
Debt Tables (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Extinguishment of Debt [Table Text Block] | The following table summarizes information about the settlement of the Convertible Senior Notes (in thousands): Year ended December 30, 2018 Principal amount settled $ 108,811 Number of shares of common stock issued 3,699 Loss on extinguishment of debt $ 2,303 |
Schedule of Long-term Debt Instruments | The following table summarizes information about the equity and liability components of the Convertible Senior Notes (dollars in thousands). The fair values of the respective notes outstanding were measured based on quoted market prices: December 31, 2018 2017 Principal amount of Convertible Senior Notes outstanding $ 58,503 $ 167,314 Unamortized discount of liability component (3,637 ) (15,356 ) Unamortized deferred issuance costs (487 ) (2,090 ) Net carrying amount of liability component 54,379 149,868 Less: current portion 54,379 — Long-term debt $ — $ 149,868 Carrying value of equity component, net of issuance costs $ 10,092 $ 29,211 Fair value of outstanding Convertible Senior Notes $ 85,999 $ 257,245 Remaining amortization period of discount on the liability component 2 years 3 years |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Components of (Benefit) Provision for Income Taxes | Significant components of the (benefit) provision for income taxes are as follows (in thousands): December 31, 2018 2017 2016 Current: Federal $ — $ (615 ) $ (117 ) State 755 314 246 Foreign 6,575 57 84 Total current provision (benefit) 7,330 (244 ) 213 Deferred: Federal (9,970 ) 131 (2,545 ) State (7,944 ) 238 (63 ) Foreign (215 ) 4 4 Total deferred (benefit) provision (18,129 ) 373 (2,604 ) (Benefit) provision for income taxes $ (10,799 ) $ 129 $ (2,391 ) |
Schedule of Income before (Benefit) Provision for Income Taxes | The Company’s income (loss) before income taxes was subject to taxes in the following jurisdictions for the following periods (in thousands): December 31, 2018 2017 2016 United States $ 46,592 $ (8,198 ) $ (16,426 ) Foreign 16,792 162 227 Income (loss) before income taxes $ 63,384 $ (8,036 ) $ (16,199 ) |
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Company’s deferred tax assets and deferred tax liabilities as of December 31, 2018 and 2017 are shown below (in thousands): December 31, 2018 2017 Deferred tax assets: Net operating loss carryforwards $ 711 $ 3,924 Intangible assets 3,502 2,935 Sale-leaseback, net 617 628 Allowance for returns and discounts 4,541 5,358 Stock-based compensation 5,333 5,933 Tax credit carryforwards 12,246 5,247 Other, net 6,883 4,580 Total deferred tax assets 33,833 28,605 Valuation allowance for deferred tax assets (1,830 ) (15,204 ) Total deferred tax assets, net of valuation allowance 32,003 13,401 Deferred tax liabilities: Convertible Senior Notes (636 ) (3,633 ) Intangible assets (2,165 ) (2,935 ) Property, plant and equipment (7,010 ) (7,263 ) Total deferred tax liabilities (9,811 ) (13,831 ) Net deferred tax assets (liabilities) $ 22,192 $ (430 ) |
Reconciliation of Income Tax Computed at Federal Statutory Rate | Year ended December 31, 2018 2017 2016 Tax expense (benefit) at statutory tax rate $ 13,311 $ (2,812 ) $ (5,775 ) State tax (benefits), net of federal tax 1,526 (239 ) (390 ) Permanent differences 635 327 129 Federal and state research credits—current year (3,628 ) (484 ) (979 ) Accrual of uncertain tax positions — 142 43 Stock-based compensation (9,286 ) (5,851 ) — Impact of change in federal and state tax rate on revaluing deferred tax assets — 3,357 (4 ) Change in valuation allowance (13,374 ) 5,799 4,687 Foreign Derived Intangible Income Deduction (FDII) (786 ) — — Other 803 (110 ) (102 ) (Benefit) provision for income taxes $ (10,799 ) $ 129 $ (2,391 ) |
Summary of Unrecognized Tax Benefits | The following table summarizes the activity related to the Company’s unrecognized tax benefits (in thousands): Year ended December 31, 2018 2017 2016 Beginning balance $ 9,565 $ 8,604 $ 7,684 (Decreases) increases related to prior year tax positions (558 ) 10 (10 ) Increases related to current year tax positions 6,238 951 773 Other — — 157 Ending balance $ 15,245 $ 9,565 $ 8,604 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Compensation Expense Related to Stock-Based Compensation Plans | Stock-based compensation expense related to stock options and restricted stock units was as follows (in thousands): Year ended December 31, 2018 2017 2016 Cost of sales $ 763 $ 579 $ 617 Research and development 2,266 1,886 1,551 Sales and marketing 2,843 2,129 1,189 General and administrative 5,837 4,467 4,629 Total stock-based compensation expense $ 11,709 $ 9,061 $ 7,986 |
Estimated Fair Value of Each Stock Option Award | The estimated fair value of each stock option was determined on the date of grant using the Black-Scholes option valuation model with the following weighted-average assumptions: Year ended December 31, 2018 2017 2016 Risk-free interest rate 2.49 % 2.30 % 1.47 % Expected option life (in years) 6.29 6.63 6.59 Volatility rate 36 % 36 % 36 % Dividend rate — % — % — % |
Summary of Status of Stock Option Activity | A summary of the status of stock option activity for the years ended December 31, 2016 , 2017 and 2018 is as follows (in thousands, except price data and years): Number of Shares Weighted- average exercise price per share Weighted- average remaining contractual term (in years) Aggregate intrinsic value Outstanding at January 1, 2016 3,967 $ 17.44 Granted 677 15.48 Exercised (553 ) 13.76 Cancelled (150 ) 20.86 Outstanding at December 31, 2016 3,941 17.49 Granted 263 22.21 Exercised (1,527 ) 16.38 Cancelled (18 ) 24.91 Outstanding at December 31, 2017 2,659 18.54 Granted 159 46.50 Exercised (891 ) 17.07 Cancelled (50 ) 21.19 Outstanding at December 31, 2018 1,877 $ 21.53 5.98 $ 49,976 Vested and expected to vest at December 31, 2018 1,838 $ 21.34 5.93 $ 49,302 Exercisable at December 31, 2018 1,117 $ 19.28 4.83 $ 32,374 |
Summary of Status of Stock Awards Activity | A summary of the status of restricted stock unit activity for the years ended December 31, 2016 , 2017 and 2018 is as follows (in thousands, except price data): Shares Weighted-average grant date fair value Non-vested at January 1, 2016 459 $ 21.61 Granted 185 16.14 Vested (120 ) 18.50 Forfeited (23 ) 20.80 Non-vested at December 31, 2016 501 20.37 Granted 349 22.34 Vested (100 ) 23.49 Forfeited (4 ) 18.69 Non-vested at December 31, 2017 746 20.88 Granted 242 49.97 Vested (296 ) 21.70 Forfeited (16 ) 28.40 Non-vested at December 31, 2018 676 $ 30.75 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | The following table reconciles net income (loss) and the weighted-average shares used in computing basic and diluted earnings per share in the respective periods (in thousands): Twelve months ended December 31, 2018 2017 2016 Numerator: Net income (loss) used for basic earnings per share $ 74,183 $ (8,165 ) $ (13,808 ) Interest expense on Convertible Senior Notes, net of tax 4,927 — — Net income (loss) used for diluted earnings per share, if-converted method $ 79,110 $ (8,165 ) $ (13,808 ) Basic weighted-average common shares outstanding 37,995 33,734 32,708 Potentially dilutive shares issuable from Convertible Senior Notes, if-converted 2,850 — — Potentially dilutive shares issuable from stock options and unvested RSUs 1,709 — — Diluted weighted-average common shares outstanding, if-converted 42,554 33,734 32,708 Potentially dilutive shares excluded from calculation due to anti-dilutive effect 161 37 2,770 |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The following table reconciles net income (loss) and the weighted-average shares used in computing basic and diluted earnings per share in the respective periods (in thousands): Twelve months ended December 31, 2018 2017 2016 Numerator: Net income (loss) used for basic earnings per share $ 74,183 $ (8,165 ) $ (13,808 ) Interest expense on Convertible Senior Notes, net of tax 4,927 — — Net income (loss) used for diluted earnings per share, if-converted method $ 79,110 $ (8,165 ) $ (13,808 ) Basic weighted-average common shares outstanding 37,995 33,734 32,708 Potentially dilutive shares issuable from Convertible Senior Notes, if-converted 2,850 — — Potentially dilutive shares issuable from stock options and unvested RSUs 1,709 — — Diluted weighted-average common shares outstanding, if-converted 42,554 33,734 32,708 Potentially dilutive shares excluded from calculation due to anti-dilutive effect 161 37 2,770 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments for Minimum Rentals under Non-cancelable Leases | The Company leases its facilities and certain equipment. Commitments for minimum rentals under non-cancelable leases at the end of 2018 are as follows (in thousands): Years ending December 31, Operating Leases Lease obligation 2019 $ 9,940 $ 956 2020 10,601 967 2021 10,502 — 2022 8,965 — 2023 8,409 — Thereafter 86,797 — Total minimum lease payments $ 135,214 $ 1,923 |
Industry and Geographic Infor_2
Industry and Geographic Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Sales to Individual Customers in Excess of 10% of Total Revenue | The Company had sales to individual customers in excess of 10% of total revenue, as follows: Year ended December 31, 2018 2017 2016 Customer: A 19 % 20 % 15 % B 13 % 13 % 13 % C 12 % 21 % 16 % 44 % 54 % 44 % |
Long-Lived Assets (Excluding Intangible Assets) and Total Net Revenue | The following presents long-lived assets (excluding intangible assets) and total net revenue by geographic territory (in thousands): Long-lived assets as of December 31, Total revenue for the years ended December 31, 2018 2017 2018 2017 2016 Domestic $ 72,569 $ 59,833 $ 354,895 $ 227,611 $ 158,244 Foreign 1,332 1,752 167,390 50,132 33,359 Total $ 73,901 $ 61,585 $ 522,285 $ 277,743 $ 191,603 |
Consolidated Net Product Revenues by Disease State | Consolidated net revenues by product category are as follows (in thousands): Year ended December 31, 2018 2017 2016 Rapid Immunoassay $ 183,160 $ 165,099 $ 121,416 Cardiac Immunoassay 266,524 47,030 — Specialized Diagnostic Solutions 53,243 51,978 60,681 Molecular Diagnostic Solutions 19,358 13,636 9,506 Total revenues $ 522,285 $ 277,743 $ 191,603 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of the following periods (in thousands): December 31, 2018 December 31, 2017 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Contingent consideration $ — $ — $ 19,112 $ 19,112 $ — $ — $ 24,301 $ 24,301 Deferred consideration — 187,158 — 187,158 — 223,158 — 223,158 Total liabilities measured at fair value $ — $ 187,158 $ 19,112 $ 206,270 $ — $ 223,158 $ 24,301 $ 247,459 |
Changes in Estimated Fair Value of Contingent Consideration Liabilities | Changes in estimated fair value of contingent consideration liabilities from December 31, 2017 through December 31, 2018 are as follows (in thousands): Contingent consideration liability (Level 3 measurement) Balance at December 31, 2017 $ 24,301 Cash payments (6,303 ) Net loss recorded for fair value adjustments 1,114 Balance at December 31, 2018 $ 19,112 |
Acquisition (Tables)
Acquisition (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Business Combinations [Abstract] | |
Business Acquisition | The purchase price consideration is as follows (in thousands): Cash consideration—Triage Business $ 399,798 Deferred consideration—BNP Business 220,550 Contingent consideration—BNP Business 19,700 Inventory related adjustment 205 Net consideration $ 640,253 |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | Prepaid expenses and other current assets $ 796 Assets held for sale 146,540 Inventories 52,205 Property, plant and equipment 10,608 Intangible assets 184,900 Goodwill 245,531 Other non-current assets 182 Total assets acquired 640,762 Other current liabilities (509 ) Total net assets and liabilities acquired $ 640,253 |
Finite-Lived Intangible Assets Acquired as Part of Business Combination | The following sets forth results of the amounts assigned to the identifiable intangible assets acquired (in thousands): Intangible Asset Amortization period Fair value of assets acquired Purchased technology 10 years $ 52,400 Customer relationships 7 years 115,000 Trademarks 10 years 17,500 Total intangible assets $ 184,900 |
Selected Quarterly Financial _2
Selected Quarterly Financial Data (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data | First Quarter Second Quarter Third Quarter Fourth Quarter (in thousands, except per share data) 2018 Total revenues $ 169,143 $ 103,155 $ 117,399 $ 132,588 Gross profit $ 106,271 $ 57,668 $ 69,642 $ 82,132 Operating income (loss) $ 51,093 $ 404 $ 16,894 $ 27,538 Net income (loss) $ 33,958 $ (3,076 ) $ 10,822 $ 32,479 Basic income (loss) per share $ 0.96 $ (0.08 ) $ 0.28 $ 0.82 Diluted income (loss) per share $ 0.86 $ (0.08 ) $ 0.27 $ 0.78 2017 Total revenues $ 73,692 $ 38,267 $ 50,894 $ 114,890 Gross profit (1) $ 48,499 $ 18,826 $ 29,690 $ 59,127 Operating income (loss) $ 19,229 $ (11,027 ) $ (2,537 ) $ 3,887 Net income (loss) $ 14,290 $ (11,842 ) $ (5,525 ) $ (5,088 ) Basic income (loss) per share $ 0.43 $ (0.35 ) $ (0.16 ) $ (0.15 ) Diluted income (loss) per share $ 0.42 $ (0.35 ) $ (0.16 ) $ (0.15 ) First Quarter Second Quarter Third Quarter Fourth Quarter (in thousands, except per share data) 2018 Total revenues $ 169,143 $ 103,155 $ 117,399 $ 132,588 Gross profit $ 106,271 $ 57,668 $ 69,642 $ 82,132 Operating income (loss) $ 51,093 $ 404 $ 16,894 $ 27,538 Net income (loss) $ 33,958 $ (3,076 ) $ 10,822 $ 32,479 Basic income (loss) per share $ 0.96 $ (0.08 ) $ 0.28 $ 0.82 Diluted income (loss) per share $ 0.86 $ (0.08 ) $ 0.27 $ 0.78 2017 Total revenues $ 73,692 $ 38,267 $ 50,894 $ 114,890 Gross profit (1) $ 48,499 $ 18,826 $ 29,690 $ 59,127 Operating income (loss) $ 19,229 $ (11,027 ) $ (2,537 ) $ 3,887 Net income (loss) $ 14,290 $ (11,842 ) $ (5,525 ) $ (5,088 ) Basic income (loss) per share $ 0.43 $ (0.35 ) $ (0.16 ) $ (0.15 ) Diluted income (loss) per share $ 0.42 $ (0.35 ) $ (0.16 ) $ (0.15 ) |
Company Operations and Summar_3
Company Operations and Summary of Significant Accounting Policies - Additional Information (Detail) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2016USD ($) | Dec. 31, 2018USD ($)segment | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Number of business segment | segment | 1 | |||
Cash and cash equivalents maximum maturity period | 3 months | |||
Account receivable, reserves | $ 12,000 | $ 12,300 | ||
Revenues | 522,285 | 277,743 | $ 191,603 | |
Costs and Expenses | 219,784 | 146,590 | 116,170 | |
Advertising cost expensed | $ 300 | 900 | 500 | |
Operating Lease, Right-of-Use Asset | 87,000 | |||
Operating Lease, Liability, Current | 5,000 | |||
Operating Lease, Liability, Noncurrent | 85,000 | |||
Deferred Rent Credit, Current | 500 | |||
Deferred rent | $ 2,500 | |||
Minimum [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Estimated useful lives of the assets | 3 years | |||
Maximum [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Estimated useful lives of the assets | 15 years | |||
Grant [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Revenues | $ 0 | 6,500 | ||
Shipping and Handling [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Costs and Expenses | $ 8,300 | $ 3,700 | $ 3,800 |
Balance Sheet Account Details
Balance Sheet Account Details - Prepaid expenses and other current assets (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Offsetting [Abstract] | ||
Receivables under transition service agreements | $ 15,507 | $ 7,509 |
Income taxes receivable | 2,703 | 3,806 |
Prepaid expenses | 4,508 | 2,898 |
Other | 928 | 162 |
Prepaid expenses and other current assets | $ 23,646 | $ 14,375 |
Balance Sheet Account Details_3
Balance Sheet Account Details - Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Balance Sheet Related Disclosures [Abstract] | ||
Raw materials | $ 24,292 | $ 22,252 |
Work-in-process (materials, labor and overhead) | 21,280 | 22,813 |
Finished goods (materials, labor and overhead) | 21,807 | 22,013 |
Total inventories | $ 67,379 | $ 67,078 |
Balance Sheet Account Details_4
Balance Sheet Account Details - Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Total property, plant and equipment, gross | $ 170,347 | $ 144,260 | |
Less: accumulated depreciation and amortization | 96,446 | 82,675 | |
Property, Plant and Equipment, Net | 73,901 | 61,585 | |
Depreciation and amortization | 17,700 | 14,600 | $ 13,400 |
Equipment, furniture and fixtures | |||
Property, Plant and Equipment [Line Items] | |||
Total property, plant and equipment, gross | 89,285 | 75,728 | |
Building and improvements | |||
Property, Plant and Equipment [Line Items] | |||
Total property, plant and equipment, gross | 37,335 | 34,994 | |
Leased instruments | |||
Property, Plant and Equipment [Line Items] | |||
Total property, plant and equipment, gross | 42,647 | 32,458 | |
Land | |||
Property, Plant and Equipment [Line Items] | |||
Total property, plant and equipment, gross | $ 1,080 | $ 1,080 |
Balance Sheet Account Details_5
Balance Sheet Account Details - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Balance Sheet Related Disclosures [Abstract] | |||
Depreciation and amortization | $ 17,700 | $ 14,600 | $ 13,400 |
Amortization of Intangible Assets | 28,800 | 16,100 | $ 9,500 |
Goodwill | $ 337,021 | $ 337,028 |
Balance Sheet Account Details -
Balance Sheet Account Details - Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of Intangible Assets | $ 28,800 | $ 16,100 | $ 9,500 |
Goodwill | 337,021 | 337,028 | |
Gross assets | 276,369 | 276,389 | |
Accumulated amortization | (101,340) | (72,562) | |
Total | 175,029 | 203,827 | |
Capitalized Software Cost [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of Intangible Assets | $ 1,000 | 800 | $ 500 |
Purchased technology | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average useful life (years) | 9 years 1 month | ||
Gross assets | $ 112,100 | 112,100 | |
Accumulated amortization | (57,495) | (49,614) | |
Total | $ 54,605 | 62,486 | |
Customer relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average useful life (years) | 7 years 10 days | ||
Gross assets | $ 122,389 | 122,404 | |
Accumulated amortization | (27,561) | (10,960) | |
Total | $ 94,828 | 111,444 | |
License agreements | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average useful life (years) | 9 years 10 months 10 days | ||
Gross assets | $ 6,511 | 6,515 | |
Accumulated amortization | (4,530) | (3,980) | |
Total | $ 1,981 | 2,535 | |
Patent and trademark costs | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average useful life (years) | 10 years 9 months | ||
Gross assets | $ 28,740 | 28,740 | |
Accumulated amortization | (7,624) | (4,917) | |
Total | $ 21,116 | 23,823 | |
Software development costs | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-average useful life (years) | 5 years | ||
Gross assets | $ 6,629 | 6,630 | |
Accumulated amortization | (4,130) | (3,091) | |
Total | $ 2,499 | $ 3,539 |
Balance Sheet Account Details_6
Balance Sheet Account Details - Future annual amortization expense (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Balance Sheet Related Disclosures [Abstract] | ||
2,018 | $ 27,542 | |
2,019 | 27,144 | |
2,020 | 26,999 | |
2,021 | 26,468 | |
2,022 | 25,758 | |
Thereafter | 41,118 | |
Total | $ 175,029 | $ 203,827 |
Balance Sheet Account Details_7
Balance Sheet Account Details - Other current liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Offsetting [Abstract] | ||
Customer incentives | $ 7,516 | $ 7,165 |
Accrued interest | 347 | 442 |
Other | 5,129 | 5,059 |
Total other current liabilities | $ 12,992 | $ 12,666 |
Debt Convertible Senior Notes (
Debt Convertible Senior Notes (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018USD ($)d | Dec. 31, 2017USD ($)$ / shares | Dec. 31, 2016USD ($) | Dec. 31, 2014USD ($) | |
Debt Instrument [Line Items] | ||||
Interest expense, Convertible Senior Notes, Amortization | $ 5,500 | |||
Interest Expense, Debt | $ 5,700 | 10,900 | $ 10,900 | |
Debt Instrument, Convertible, If-converted Value in Excess of Principal | 1,600 | |||
Convertible Debt [Member] | Convertible Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Carrying value of equity component, net of issuance costs | 10,092 | 29,211 | ||
Convertible Debt [Member] | Other Current Assets [Member] | Convertible Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Deferred financing costs | $ 487 | $ 2,090 | ||
3.25% Convertible Senior Notes due 2020 [Member] | Convertible Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Convertible Senior Notes, face amount | $ 172,500 | |||
Senior Credit Facility, applicable margin | 3.25% | 3.25% | ||
Debt issuance cost | $ 5,100 | |||
Deferred financing costs | $ 4,200 | |||
Remaining amortization period of discount on the liability component | 6 years | |||
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs | $ 900 | |||
Convertible Senior Notes, conversion ratio | 31.1891 | |||
Convertible Senior Notes, conversion price (in dollars per share) | $ / shares | $ 32.06 | |||
Convertible Senior Notes, threshold trading days | d | 20 | |||
Convertible Senior Notes, threshold consecutive trading days | d | 30 | |||
Convertible Senior Notes, threshold percentage of stock price trigger | 130.00% | |||
Convertible Senior Notes, threshold consecutive business days | 5 years | |||
Debt Instrument, Convertible, Threshold Consecutive Trading Days, Following Consecutive Business Days | 5 years | |||
Debt Instrument, Convertible, Threshold Percentage of Stock Price Trigger, Following Consecutive Business Days | 98.00% | |||
Convertible Senior Notes, observation period | 25 years | |||
Debt Instrument, Interest Rate, Effective Percentage | 6.60% | 6.90% | ||
Interest expense, Convertible Senior Notes, Amortization | $ 3,100 | 5,400 | ||
Interest Expense, Debt | 6,100 | |||
Interest expense, Convertible Senior Notes | $ 3,000 | $ 5,400 | $ 5,500 | |
Debt Conversion, Converted Instrument, Rate | 100.00% | |||
Convertible Senior Notes, fair value disclosures | $ 141,900 | |||
Proceeds from issuance | 172,500 | |||
Carrying value of equity component, net of issuance costs | $ 30,700 | |||
Convertible Debt [Member] | Convertible Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Extinguishment of Debt, Amount | $ 108,811 |
Debt Debt schedule (Details)
Debt Debt schedule (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | |||
Less: current portion | $ 0 | $ 10,184 | |
Long-term debt | 0 | 227,394 | |
Convertible Debt [Member] | 3.25% Convertible Senior Notes due 2020 [Member] | |||
Debt Instrument [Line Items] | |||
Unamortized deferred issuance costs | $ (4,200) | ||
Carrying value of equity component, net of issuance costs | $ 30,700 | ||
Convertible Debt [Member] | Convertible Debt [Member] | |||
Debt Instrument [Line Items] | |||
Principal amount of Convertible Senior Notes outstanding | 58,503 | 167,314 | |
Unamortized deferred issuance costs | (3,637) | (15,356) | |
Net carrying amount of liability component | 54,379 | 149,868 | |
Less: current portion | 54,379 | 0 | |
Long-term debt | 0 | 149,868 | |
Carrying value of equity component, net of issuance costs | 10,092 | 29,211 | |
Fair value of outstanding Convertible Senior Notes | $ 85,999 | $ 257,245 | |
Remaining amortization period of discount on the liability component | 2 years | 3 years | |
Other Current Assets [Member] | Convertible Debt [Member] | Convertible Debt [Member] | |||
Debt Instrument [Line Items] | |||
Unamortized deferred issuance costs | $ (487) | $ (2,090) |
Extinguishemnt of Debt (Detail)
Extinguishemnt of Debt (Detail) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Extinguishment of Debt [Line Items] | |||
Loss (gain) on extinguishment of debt | $ 8,262 | $ 0 | $ (421) |
Convertible Debt [Member] | |||
Extinguishment of Debt [Line Items] | |||
Number of shares of common stock issued | 3,699 | ||
Loss (gain) on extinguishment of debt | $ 2,303 | ||
Convertible Debt [Member] | Convertible Debt [Member] | |||
Extinguishment of Debt [Line Items] | |||
Principal amount settled | $ 108,811 |
Debt Credit Agreement (Details)
Debt Credit Agreement (Details) | Aug. 31, 2018USD ($) | Oct. 06, 2017USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Debt Instrument [Line Items] | |||||||
Secured Debt | $ 245,000,000 | ||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 175,000,000 | 25,000,000 | |||||
Revolving Credit Facility | $ 83,200,000 | $ 53,188,000 | $ 0 | ||||
Repayments of Lines of Credit | $ 30,000,000 | $ 10,000,000 | 40,000,000 | ||||
Proceeds from issuance of Revolving Credit Facility | $ 10,000,000 | 0 | 10,000,000 | $ 0 | |||
(Loss) gain on extinguishment of debt | (8,262,000) | 0 | 421,000 | ||||
Line of Credit Facility, Commitment Fee Percentage | 0.15% | ||||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.30% | ||||||
Number Of Financial Covenants | 2 | ||||||
Consolidated Leverage Ratio | 3.50 | ||||||
Consolidated Fixed Charge Coverage Ratio | 1.25 | ||||||
Repayments of Debt | 161,813,000 | ||||||
Interest Expense, Debt | 5,700,000 | $ 10,900,000 | $ 10,900,000 | ||||
Amortization of Debt Issuance Costs | $ 800,000 | ||||||
Federal Funds Effective Swap Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 0.005% | ||||||
Base Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior Credit Facility, applicable margin | 1.00% | ||||||
London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior Credit Facility, applicable margin | 2.00% | ||||||
Minimum [Member] | Base Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior Credit Facility, applicable margin | 0.75% | ||||||
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior Credit Facility, applicable margin | 1.75% | ||||||
Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Consolidated Leverage Ratio | 4.50 | ||||||
Maximum [Member] | Base Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior Credit Facility, applicable margin | 1.50% | ||||||
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Senior Credit Facility, applicable margin | 2.50% | ||||||
Term Loan [Member] | |||||||
Debt Instrument [Line Items] | |||||||
(Loss) gain on extinguishment of debt | $ 6,000,000 |
Income Taxes - Components of (B
Income Taxes - Components of (Benefit) Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current: | |||
Federal | $ 0 | $ (615) | $ (117) |
State | 755 | 314 | 246 |
Foreign | 6,575 | 57 | 84 |
Total current provision (benefit) | 7,330 | (244) | 213 |
Deferred: | |||
Federal | (9,970) | 131 | (2,545) |
State | (7,944) | 238 | (63) |
Foreign | (215) | 4 | 4 |
Total deferred (benefit) provision | (18,129) | 373 | (2,604) |
(Benefit) provision for income taxes | $ (10,799) | $ 129 | $ (2,391) |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income before (Benefit) Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
United States | $ 46,592 | $ (8,198) | $ (16,426) |
Foreign | 16,792 | 162 | 227 |
Income (loss) before income taxes | $ 63,384 | $ (8,036) | $ (16,199) |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred tax assets: | ||
Net operating loss carryforwards | $ 711 | $ 3,924 |
Intangible assets | 3,502 | 2,935 |
Sale-leaseback, net | 617 | 628 |
Allowance for returns and discounts | 4,541 | 5,358 |
Stock-based compensation | 5,333 | 5,933 |
Tax credit carryforwards | 12,246 | 5,247 |
Other, net | 6,883 | 4,580 |
Total deferred tax assets | 33,833 | 28,605 |
Valuation allowance for deferred tax assets | (1,830) | (15,204) |
Total deferred tax assets | 32,003 | 13,401 |
Deferred tax liabilities: | ||
Convertible Senior Notes | (636) | (3,633) |
Intangible assets | (2,165) | (2,935) |
Property, plant and equipment | (7,010) | (7,263) |
Deferred Tax Liabilities, Gross | (9,811) | (13,831) |
Total deferred tax liabilities | $ (430) | |
Deferred Tax Assets, Net | $ 22,192 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2014 | |
Income Taxes Disclosure [Line Items] | ||||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ 13,400,000 | |||
Deferred Tax Assets, Valuation Allowance | 1,830,000 | $ 15,204,000 | ||
Unrecognized Tax Benefits | 15,245,000 | 9,565,000 | $ 8,604,000 | $ 7,684,000 |
Federal Net Operating Loss carryforwards | 0 | |||
State Net Operating Loss carryforwards | 19,300,000 | |||
Federal foreign tax credits | 2,400,000 | |||
Gross research credits | $ 3,628,000 | 484,000 | $ 979,000 | |
Cumulative changes in ownership percentage | 50.00% | |||
Cumulative changes in ownership period | 3 years | |||
Realized upon settlement | 50.00% | |||
Unrecognized tax benefits that would impact effective tax rate | $ (9,300,000) | (8,100,000) | ||
Accrued interest and penalties associated with uncertain tax positions | 300,000 | |||
Interest expense, net of accrued interest reversed | 100,000 | $ 100,000 | ||
Federal research credits [Member] | ||||
Income Taxes Disclosure [Line Items] | ||||
Federal research credits | 5,800,000 | |||
Gross State Research Credits [Member] | ||||
Income Taxes Disclosure [Line Items] | ||||
Gross research credits | 12,800,000 | |||
State research credit - no expiry | 12,400,000 | |||
State research credit - with expiry | $ 400,000 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Income Tax Computed at Federal Statutory Rate (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
Tax expense (benefit) at statutory tax rate | $ 13,311 | $ (2,812) | $ (5,775) |
State tax (benefits), net of federal tax | 1,526 | (239) | (390) |
Permanent differences | 635 | 327 | 129 |
Federal and state research credits—current year | (3,628) | (484) | (979) |
Accrual of uncertain tax positions | 0 | 142 | 43 |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Share-based Compensation Cost, Amount | (9,286) | (5,851) | 0 |
Impact of change in federal and state tax rate on revaluing deferred tax assets | 0 | 3,357 | (4) |
Change in valuation allowance | (13,374) | 5,799 | 4,687 |
Effective Income Tax Rate Reconciliation, Tax Credit, Foreign, Amount | (786) | ||
Other | 803 | (110) | (102) |
(Benefit) provision for income taxes | $ (10,799) | $ 129 | $ (2,391) |
Income Taxes - Summary of Unrec
Income Taxes - Summary of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning balance | $ 9,565 | $ 8,604 | |
(Decreases) increases related to prior year tax positions | $ 10 | 558 | 10 |
Increases related to current year tax positions | 773 | 6,238 | 951 |
Other | 157 | 0 | 0 |
Ending balance | $ 8,604 | $ 15,245 | $ 9,565 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | Apr. 23, 2013 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 12, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Deferred Bonus Liability | $ 900 | $ 500 | |||
Preferred stock, shares authorized | 5,000,000 | 5,000,000 | 5,000,000 | ||
Preferred stock, shares outstanding | 0 | 0 | |||
Weighted- average remaining contractual term, exercisable (in years) | 4 years 9 months 29 days | ||||
Available for future grant, (in shares) | 3,200,000 | ||||
Restricted stock granted (in shares) | 242,000 | 349,000 | 185,000 | ||
Share-based compensation expense recognized | $ 11,709 | $ 9,061 | $ 7,986 | ||
Deferred period of grants (Condition 1) | 1 year | ||||
Percentage of premium on amount deferred (Condition 1) | 10.00% | ||||
Deferred period of grants (Condition 2) | 2 years | ||||
Percentage of premium on amount deferred (Condition 2) | 20.00% | ||||
Deferred period of grants (Condition 3) | 4 years | ||||
Percentage of premium on amount deferred (Condition 3) | 30.00% | ||||
Minimum percentage of common stock under payroll deductions | 10.00% | ||||
Fair value of payroll deductions | 85.00% | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Period | 6 years | ||||
Stock sold under the plan (in shares) | 1,321,456 | ||||
Capital shares reserved for future issuance (In shares) | 178,544 | ||||
Payments for repurchase of common stock | $ 4,344 | 541 | 20,168 | ||
Stock-based compensation expense | 4,344 | $ 541 | $ 20,168 | ||
Authorized stock repurchase program amount | $ 50,000 | ||||
Stock repurchase program remaining amount | $ 50,000 | ||||
Common stock reserved for future issuance | 5,700,000 | ||||
Restricted stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Weighted- average remaining contractual term, exercisable (in years) | 10 years | ||||
Performance-based vesting period | 4 years | ||||
Restricted stock granted (in shares) | 200,000 | 300,000 | 700,000 | ||
Share-based compensation expense recognized | $ 6,700 | $ 4,900 | $ 2,400 | ||
Employee Deferred Bonus Compensation Program [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense recognized | $ 1,600 | 100 | 900 | ||
2010 Plan [Member] | Restricted stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Performance-based vesting period | 1 year | ||||
Non-employee director [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense recognized | $ 400 | $ 100 | $ 400 | ||
Minimum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercise Price (in usd per share) | $ 10.25 | ||||
Percentage of deferred cash bonus | 50.00% | ||||
Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercise Price (in usd per share) | $ 53.27 | ||||
Percentage of deferred cash bonus | 100.00% | ||||
Share Repurchase Program, Amendment [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Payments for repurchase of common stock | $ 50,000 | ||||
Repurchase of available shares under share repurchase program (in shares) | 1,152,386 | ||||
Stock-based compensation expense | $ 19,600 | ||||
Employee Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares reserved for purchase under ESPP (in shares) | 178,544 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense recognized | $ 11,709 | $ 9,061 | $ 7,986 |
Weighted-average grant date fair value of stock options granted (in dollars per share) | $ 18.76 | $ 8.99 | $ 6 |
Total intrinsic value for options exercised | $ 38,200 | $ 26,800 | $ 4,500 |
Total unrecognized compensation expense related to non-vested stock options | $ 4,400 | ||
Expected weighted-average period of recognition for unrecognized compensation expense | 1 year 8 months 12 days | ||
Maximum contractual term | 10 years | ||
Deferred Bonus Liability | 900 | 500 | |
Deferred bonus compensation program [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense recognized | $ 1,600 | 100 | 900 |
Recorded as a component of accrued payroll and related expenses | 1,600 | 900 | |
Stock options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense recognized | 3,400 | 4,100 | 4,700 |
Restricted stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation expense recognized | $ 6,700 | $ 4,900 | $ 2,400 |
Number of restricted share units issued (in shares) | 0.1 | ||
Total unrecognized compensation expense related to non-vested stock awards | $ 12,100 |
Stock-Based Compensation - Comp
Stock-Based Compensation - Compensation Expense Related to Stock-Based Compensation Plans (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense | $ 11,709 | $ 9,061 | $ 7,986 |
Cost of sales [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense | 763 | 579 | 617 |
Research and development [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense | 2,266 | 1,886 | 1,551 |
Sales and marketing [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense | 2,843 | 2,129 | 1,189 |
General and administrative [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense | $ 5,837 | $ 4,467 | $ 4,629 |
Stock-Based Compensation - Esti
Stock-Based Compensation - Estimated Fair Value of Each Stock Option Award (Detail) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Equity [Abstract] | |||
Risk-free interest rate | 2.49% | 2.30% | 1.47% |
Expected option life (in years) | 6 years 3 months 14 days | 6 years 7 months 16 days | 6 years 7 months 3 days |
Volatility rate | 36.00% | 36.00% | 36.00% |
Dividend rate | 0.00% | 0.00% | 0.00% |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Status of Stock Option Activity (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Beginning balance, (in shares) | 2,659 | 3,941 | 3,967 |
Granted, number of shares (in shares) | 159 | 263 | 677 |
Exercised (in shares) | (891) | (1,527) | (553) |
Cancelled (in shares) | (50) | (18) | (150) |
Ending balance, (in shares) | 1,877 | 2,659 | 3,941 |
Exercisable, (in shares) | 1,117 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Rollforward] | |||
Beginning balance, weighted average exercise price per share (in dollars per share) | $ 18.54 | $ 17.49 | $ 17.44 |
Granted, weighted average exercise price per share (in dollars per share) | 46.50 | 22.21 | 15.48 |
Exercised, weighted average exercise price per share (in dollars per share) | 17.07 | 16.38 | 13.76 |
Cancelled, weighted average exercise price per share (in dollars per share) | $ 21.19 | 24.91 | 20.86 |
Vested and expected to vest, (in shares) | 1,838 | ||
Vested and expected to vest (in dollars per share) | $ 21.34 | ||
Exercisable (in usd per share) | 19.28 | ||
Ending balance, weighted average exercise price per share (in dollars per share) | $ 21.53 | $ 18.54 | $ 17.49 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||
Weighted- average remaining contractual term, outstanding (in years) | 5 years 11 months 23 days | ||
Weighted- average remaining contractual term, vested and expected to vest (in years) | 5 years 11 months 6 days | ||
Weighted- average remaining contractual term, exercisable (in years) | 4 years 9 months 29 days | ||
Aggregate intrinsic value, outstanding | $ 49,976 | ||
Aggregate intrinsic value, vested and expected to vest | 49,302 | ||
Aggregate intrinsic value, available for future grant | $ 32,374 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Status of Stock Awards Activity (Detail) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward] | |||
Beginning Balance (in shares) | 746 | 501 | 459 |
Granted (in shares) | 242 | 349 | 185 |
Vested (in shares) | (296) | (100) | (120) |
Forfeited (in shares) | (16) | (4) | (23) |
Ending Balance (in shares) | 676 | 746 | 501 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Rollforward] | |||
Beginning Balance, Weighted Average Grant Date Fair Value (in dollars per share) | $ 20.88 | $ 20.37 | $ 21.61 |
Granted, Weighted Average Grant Date Fair Value (in dollars per share) | 49,970 | 22.34 | 16.14 |
Vested, Weighted Average Grant Date Fair Value (in dollars per share) | 21,700 | 23.49 | 18.50 |
Forfeited, Weighted Average Grant Date Fair Value (in dollars per share) | 28,400 | 18.69 | 20.80 |
Ending Balance, Weighted Average Grant Date Fair Value (in dollars per share) | $ 30,750 | $ 20.88 | $ 20.37 |
Earnings (Loss) Per Share Compu
Earnings (Loss) Per Share Computation of earnings per share (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings Per Share Reconciliation [Abstract] | |||||||||||
Net Income (Loss) Attributable to Parent | $ 32,479 | $ 10,822 | $ (3,076) | $ 33,958 | $ (5,088) | $ (5,525) | $ (11,842) | $ 14,290 | $ 74,183 | $ (8,165) | $ (13,808) |
Dilutive Securities, Effect on Basic Earnings Per Share, Dilutive Convertible Securities | 4,927 | 0 | 0 | ||||||||
Net Income (Loss) Available to Common Stockholders, Diluted | $ 79,110 | $ (8,165) | $ (13,808) |
Earnings (Loss) Per Share Weigh
Earnings (Loss) Per Share Weighted-average shares outstanding (Details) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Weighted Average Number of Shares Outstanding, Diluted [Abstract] | |||
Basic weighted-average common shares outstanding | 37,995 | 33,734 | 32,708 |
Potentially dilutive shares issuable from Convertible Senior Notes, if-converted | 2,850 | 0 | 0 |
Potentially dilutive shares issuable from stock options and unvested RSUs | 1,709 | 0 | 0 |
Diluted weighted-average common shares outstanding, if-converted | 42,554 | 33,734 | 32,708 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 161 | 37 | 2,770 |
Convertible Debt [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 1,400 | ||
Stock options and RSUs [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 1,400 | 800 |
Commitments and Contingencies -
Commitments and Contingencies - Commitments for Minimum Rentals under Non-cancelable Leases (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Operating Leases, 2019 | $ 9,940 |
Operating Leases, 2020 | 10,601 |
Operating Leases, 2021 | 10,502 |
Operating Leases, 2022 | 8,965 |
Operating Leases, 2023 | 8,409 |
Operating Leases, Thereafter | 86,797 |
Operating Leases, Minimum Payments, Total | 135,214 |
Lease Obligation, 2019 | 956 |
Lease Obligation, 2020 | 967 |
Lease Obligation, 2021 | 0 |
Lease Obligation, 2022 | 0 |
Lease Obligation, 2023 | 0 |
Lease Obligation, Thereafter | 0 |
Lease Obligation, Minimum Payments, Total | $ 1,923 |
Commitments and Contingencies_2
Commitments and Contingencies - Additional Information (Detail) $ in Thousands | Jan. 05, 2018USD ($)ft²buildingoption | Dec. 31, 2016USD ($) | Dec. 31, 2018USD ($)Lease | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Leases [Abstract] | |||||
Rent expense under operating leases | $ 2,200 | $ 10,200 | $ 2,100 | ||
Sale Leaseback Transaction [Line Items] | |||||
Lessee, Sale Leaseback, Renewal Term | 5 years | ||||
Sale Leaseback Transaction, Gross Proceeds, Investing Activities | $ 146,600 | 146,644 | |||
Number Of Buildings | building | 4 | ||||
Sale Leaseback Transaction, Number Of Buildings | building | 2 | ||||
Lessee, Operating Lease, Term of Contract | 15 years | ||||
Area under new operating lease | ft² | 125,000 | ||||
Lessee, Sale Leaseback, Option To Extend, Number | option | 2 | ||||
Facility sold | 15,000 | ||||
Capital contributed | 3,800 | ||||
Cash transaction, netting | $ 7,000 | ||||
Partnership that acquired the facility | 25.00% | ||||
Lease payments | $ 900 | ||||
Purchase commitment | 9,100 | ||||
Royalty And License Expense | $ 400 | $ 600 | $ 800 | ||
San Diego [Member] | |||||
Sale Leaseback Transaction [Line Items] | |||||
Number of extension | Lease | 3 | ||||
Lessee, Finance Lease, Term of Contract | 10 years | ||||
Amended terms | P5Y |
Commitments and Contingencies C
Commitments and Contingencies Contingent Consideration (Acquisitions) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Business Acquisition, Contingent Consideration [Line Items] | |||
Current portion of contingent consideration | $ 3,983 | $ 6,293 | |
Contingent consideration non-current portion | 15,129 | 18,008 | |
Bio Helix | |||
Business Acquisition, Contingent Consideration [Line Items] | |||
Contingent consideration—BNP Business | 4,600 | ||
Fair Value, Inputs, Level 3 [Member] | |||
Business Acquisition, Contingent Consideration [Line Items] | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings | $ 1,114 | $ 100 | $ 500 |
Industry and Geographic Infor_3
Industry and Geographic Information - Additional Information (Detail) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018USD ($)segment | Dec. 31, 2017USD ($) | Dec. 31, 2016 | |
Revenue, Major Customer [Line Items] | |||
Number of reportable segments | segment | 1 | ||
Sales [Member] | |||
Revenue, Major Customer [Line Items] | |||
Percentage of risk concentration by major customer | 10.00% | ||
Customer Concentration Risk [Member] | Sales [Member] | |||
Revenue, Major Customer [Line Items] | |||
Percentage of risk concentration by major customer | 44.00% | 54.00% | 44.00% |
Customer Concentration Risk [Member] | Sales [Member] | Non-US [Member] | |||
Revenue, Major Customer [Line Items] | |||
Percentage of risk concentration by major customer | 32.00% | 18.00% | 17.00% |
Geographic Concentration Risk [Member] | Non-US [Member] | |||
Revenue, Major Customer [Line Items] | |||
Accounts receivable | $ 23.4 | $ 18.8 | |
Credit Concentration Risk [Member] | |||
Revenue, Major Customer [Line Items] | |||
Accounts receivable | $ 33.3 | $ 44.4 | |
Credit Concentration Risk [Member] | Accounts Receivable [Member] | Minimum [Member] | |||
Revenue, Major Customer [Line Items] | |||
Percentage of risk concentration by major customer | 10.00% | 10.00% |
Industry and Geographic Infor_4
Industry and Geographic Information - Sales to Individual Customers in Excess of 10% of Total Revenue (Detail) - Sales [Member] | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenue, Major Customer [Line Items] | |||
Sales percentage | 10.00% | ||
Customer Concentration Risk [Member] | |||
Revenue, Major Customer [Line Items] | |||
Sales percentage | 44.00% | 54.00% | 44.00% |
Customer Concentration Risk [Member] | Customer A [Member] | |||
Revenue, Major Customer [Line Items] | |||
Sales percentage | 19.00% | 20.00% | 15.00% |
Customer Concentration Risk [Member] | Customer B [Member] | |||
Revenue, Major Customer [Line Items] | |||
Sales percentage | 13.00% | 13.00% | 13.00% |
Customer Concentration Risk [Member] | Customer C [Member] | |||
Revenue, Major Customer [Line Items] | |||
Sales percentage | 12.00% | 21.00% | 16.00% |
Industry and Geographic Infor_5
Industry and Geographic Information - Long-lived Assets (Excluding Intangible Assets) and Total Net Revenue (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-lived assets, Total | $ 73,901 | $ 61,585 | $ 73,901 | $ 61,585 | |||||||
Revenue from Contract with Customer, Including Assessed Tax | 132,588 | $ 117,399 | $ 103,155 | $ 169,143 | 114,890 | $ 50,894 | $ 38,267 | $ 73,692 | 522,285 | 277,743 | $ 191,603 |
Federal [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-lived assets, Total | 72,569 | 59,833 | 72,569 | 59,833 | |||||||
Revenue from Contract with Customer, Including Assessed Tax | 354,895 | 227,611 | 158,244 | ||||||||
Foreign [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-lived assets, Total | $ 1,332 | $ 1,752 | 1,332 | 1,752 | |||||||
Revenue from Contract with Customer, Including Assessed Tax | $ 167,390 | $ 50,132 | $ 33,359 |
Industry and Geographic Infor_6
Industry and Geographic Information - Consolidated Net Product Revenues by Disease State (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 522,285 | $ 277,743 | $ 191,603 |
Infectious Disease [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 183,160 | 165,099 | 121,416 |
Cardiac Immunoassay [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 266,524 | 47,030 | 0 |
Specialized Diagnostic Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 53,243 | 51,978 | 60,681 |
Molecular Diagnostic Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 19,358 | $ 13,636 | $ 9,506 |
Fair Value Measurement - Assets
Fair Value Measurement - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | $ 206,270 | $ 247,459 |
Contingent consideration | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 19,112 | 24,301 |
Deferred consideration | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 187,158 | 223,158 |
Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | 0 |
Level 1 [Member] | Contingent consideration | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | 0 |
Level 1 [Member] | Deferred consideration | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | 0 |
Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 187,158 | 223,158 |
Level 2 [Member] | Contingent consideration | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 0 | 0 |
Level 2 [Member] | Deferred consideration | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 187,158 | 223,158 |
Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 19,112 | 24,301 |
Level 3 [Member] | Contingent consideration | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 19,112 | 24,301 |
Level 3 [Member] | Deferred consideration | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | $ 0 | $ 0 |
Fair Value Measurement - Additi
Fair Value Measurement - Additional Information (Detail) - USD ($) $ in Thousands | Oct. 06, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, Low | $ 256,000 | |||
Debt Issuance Costs Incurred During Noncash or Partial Noncash Transaction | $ 220,550 | $ 0 | ||
Accretion of interest on deferred consideration | 10,000 | 2,608 | 0 | |
Level 3 [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Gain (Loss) Included in Earnings | 1,114 | 100 | $ 500 | |
Triage Business | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | 280,000 | |||
Contingent consideration—BNP Business | $ 19,700 | |||
Business Combination, Consideration Transferred, Liabilities Incurred | 220,600 | |||
Debt Issuance Costs Incurred During Noncash or Partial Noncash Transaction | 0 | |||
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | 19,700 | |||
Bio Helix | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Contingent consideration—BNP Business | $ 4,600 | |||
Immutopics, Inc | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Contingent consideration—BNP Business | 300 | |||
Consideration A [Member] | Triage Business | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, Low | $ 16,000 | |||
Contingent consideration—BNP Business | $ 24,000 |
Fair Value Measurement - Change
Fair Value Measurement - Changes in Estimated Fair Value of Contingent Consideration Liabilities (Detail) - Level 3 [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance | $ 24,301 | ||
Cash payments | (6,303) | ||
Net loss recorded for fair value adjustments | (1,114) | $ (100) | $ (500) |
Balance | $ 24,301 | ||
Contingent consideration | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance | $ 19,112 |
Employee Benefit Plan - Additio
Employee Benefit Plan - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Compensation Related Costs [Abstract] | |||
Pay contributed by employer | 50.00% | ||
Pay contributed by employee | 6.00% | ||
Contribution to 401 (K) Plan | $ 2.6 | $ 1.5 | $ 1.5 |
- Additional Information (Detai
- Additional Information (Detail) $ in Thousands | Oct. 06, 2017USD ($)payment | Dec. 31, 2018USD ($)payment | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Business Acquisition [Line Items] | ||||
Secured Debt | $ 245,000 | |||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, Low | $ 256,000 | |||
Deferred consideration for acquisition of BNP Business | $ 220,550 | $ 0 | ||
Triage Business | ||||
Business Acquisition [Line Items] | ||||
Cash consideration | 399,798 | |||
Contingent consideration—BNP Business | 19,700 | |||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | 280,000 | |||
Deferred consideration for acquisition of BNP Business | 0 | |||
Change in amount of contingent consideration, liability | 19,700 | |||
Consideration A [Member] | Triage Business | ||||
Business Acquisition [Line Items] | ||||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, Low | $ 16,000 | |||
Contingent consideration—BNP Business | 24,000 | |||
Business Combination, Contingent Consideration Arrangements, Number Of Installment Payments | payment | 5 | |||
Business Combination, Contingent Consideration Arrangements, Amount Of Installment Payment | $ 8,000 | |||
Consideration B [Member] | Triage Business | ||||
Business Acquisition [Line Items] | ||||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 240,000 | |||
Business Combination, Contingent Consideration Arrangements, Number Of Installment Payments | payment | 6 | |||
Business Combination, Contingent Consideration Arrangements, Amount Of Installment Payment | $ 40,000 | |||
Consideration C [Member] | Triage Business | ||||
Business Acquisition [Line Items] | ||||
Inventory related adjustment | $ 205 |
Acquisition - Consideration (De
Acquisition - Consideration (Details) - USD ($) $ in Thousands | Oct. 06, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||
Deferred consideration for acquisition of BNP Business | $ 220,550 | $ 0 | ||
Net consideration | $ 0 | $ 14,451 | $ 5,061 | |
Triage Business | ||||
Business Acquisition [Line Items] | ||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 220,600 | |||
Cash consideration | 399,798 | |||
Deferred consideration for acquisition of BNP Business | $ 0 | |||
Contingent consideration—BNP Business | 19,700 | |||
Net consideration | $ 640,253 |
Acquisition - Purchase price al
Acquisition - Purchase price allocation (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Oct. 06, 2017 |
Business Acquisition [Line Items] | |||
Goodwill | $ 337,021 | $ 337,028 | |
Triage Business | |||
Business Acquisition [Line Items] | |||
Prepaid expenses and other current assets | $ 796 | ||
Assets held for sale | 146,540 | ||
Inventories | 52,205 | ||
Property, plant and equipment | 10,608 | ||
Intangible assets | 184,900 | ||
Goodwill | 245,531 | ||
Other non-current assets | 182 | ||
Total assets acquired | 640,762 | ||
Other current liabilities | (509) | ||
Total net assets and liabilities acquired | $ 640,253 |
Acquisition - Intangible assets
Acquisition - Intangible assets acquired (Details) - USD ($) $ in Thousands | Oct. 06, 2017 | Dec. 31, 2018 |
Triage Business | ||
Business Acquisition [Line Items] | ||
Intangible Asset | $ 184,900 | |
Purchased technology | ||
Business Acquisition [Line Items] | ||
Weighted-average useful life (years) | 9 years 1 month | |
Purchased technology | Triage Business | ||
Business Acquisition [Line Items] | ||
Intangible Asset | $ 52,400 | |
Weighted-average useful life (years) | 10 years | |
Customer relationships | ||
Business Acquisition [Line Items] | ||
Weighted-average useful life (years) | 7 years 10 days | |
Customer relationships | Triage Business | ||
Business Acquisition [Line Items] | ||
Intangible Asset | $ 115,000 | |
Weighted-average useful life (years) | 7 years | |
Trademarks | Triage Business | ||
Business Acquisition [Line Items] | ||
Intangible Asset | $ 17,500 | |
Weighted-average useful life (years) | 10 years |
Selected Quarterly Financial _3
Selected Quarterly Financial Data (unaudited) - Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Statement [Abstract] | ||||||||||||||
Revenue from Contract with Customer, Including Assessed Tax | $ 132,588 | $ 117,399 | $ 103,155 | $ 169,143 | $ 114,890 | $ 50,894 | $ 38,267 | $ 73,692 | $ 522,285 | $ 277,743 | $ 191,603 | |||
Cost of Goods and Services Sold | 206,572 | 121,601 | 79,872 | |||||||||||
Gross profit | 82,132 | 69,642 | 57,668 | 106,271 | 59,127 | $ 29,690 | $ 18,826 | $ 48,499 | 315,713 | 156,142 | 111,731 | |||
Operating income (loss) | 27,538 | 16,894 | 404 | 51,093 | 3,887 | (2,537) | (11,027) | 19,229 | 95,929 | 9,552 | (4,439) | |||
Net income (loss) | $ 32,479 | $ 10,822 | $ (3,076) | $ 33,958 | $ (5,088) | $ (5,525) | $ (11,842) | $ 14,290 | $ 74,183 | $ (8,165) | $ (13,808) | |||
Basic and diluted loss per share | $ 0.82 | $ 0.28 | $ (0.08) | $ 0.96 | $ (0.15) | $ (0.16) | $ (0.35) | $ 0.43 | ||||||
Diluted net earnings (loss) per share | $ 0.78 | $ 0.27 | $ (0.08) | $ 0.86 | $ (0.15) | $ (0.16) | $ (0.35) | $ 0.42 | $ 1.86 | $ (0.24) | $ (0.42) |
Consolidated Valuation and Qu_2
Consolidated Valuation and Qualifying Accounts (Detail) - SEC Schedule, 12-09, Allowance, Credit Loss [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning Balance | $ 12,309 | $ 7,165 | $ 7,488 |
Additions charged to expense or as reductions to revenue | 65,142 | 36,449 | 28,329 |
Deductions | (65,472) | (31,305) | (28,652) |
Ending Balance | $ 11,979 | $ 12,309 | $ 7,165 |