Onto Innovation (ONTO) 10-Q 10 Aug 23 2023 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document - shares	6 Months Ended
	Jul. 01, 2023	Jul. 20, 2023
Cover [Abstract]
Entity Registrant Name	ONTO INNOVATION INC.
Trading Symbol	ONTO
Entity Central Index Key	0000704532
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Jul. 01, 2023
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q2
Document Quarterly Report	true
Document Transition Report	false
Entity Interactive Data Current	Yes
Amendment Flag	false
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Entity Shell Company	false
Title of 12(b) Security	Common Stock, $0.001 par value per share
Security Exchange Name	NYSE
Entity Common Stock, Shares Outstanding		49,065,801
Entity File Number	001-39110
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	94-2276314
Entity Address, Address Line One	16 Jonspin Road
Entity Address, City or Town	Wilmington
Entity Address, State or Province	MA
Entity Address, Postal Zip Code	01887
City Area Code	978
Local Phone Number	253-6200

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Income Statement [Abstract]
Revenue	$ 190,662	$ 256,310	$ 389,827	$ 497,660
Cost of revenue	90,201	124,183	184,391	234,510
Gross profit	100,461	132,127	205,436	263,150
Operating expenses:
Research and development	27,043	25,637	54,285	51,978
Sales and marketing	16,024	16,913	31,661	32,545
General and administrative	18,762	18,306	37,999	34,793
Amortization	13,825	13,820	27,649	27,639
Total operating expenses	75,654	74,676	151,594	146,955
Operating income	24,807	57,451	53,842	116,195
Interest income, net	4,758	661	8,206	1,038
Other expense, net	(1,710)	(859)	(1,991)	(1,063)
Income before provision for income taxes	27,855	57,253	60,057	116,170
Provision for income taxes	1,959	5,678	5,093	11,265
Net income	$ 25,896	$ 51,575	$ 54,964	$ 104,905
Earnings per share:
Basic	$ 0.53	$ 1.04	$ 1.12	$ 2.12
Diluted	$ 0.53	$ 1.03	$ 1.12	$ 2.1
Weighted average shares outstanding:
Basic	48,976	49,617	48,865	49,525
Diluted	49,274	49,907	49,175	49,909

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Statement of Comprehensive Income [Abstract]
Net income	$ 25,896	$ 51,575	$ 54,964	$ 104,905
Other comprehensive loss, net of tax:
Change in net unrealized gains (losses) on available-for-sale marketable securities	(163)	552	1,229	(2,449)
Change in currency translation adjustments	(2,998)	(5,934)	(1,908)	(9,546)
Total other comprehensive loss, net of tax	(3,161)	(5,382)	(679)	(11,995)
Total comprehensive income	$ 22,735	$ 46,193	$ 54,285	$ 92,910

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Current Assets:
Cash and cash equivalents	$ 224,257	$ 175,872
Marketable securities	385,346	371,912
Accounts receivable, less allowance of $1,311 and $1,572	187,852	241,395
Inventories, net	352,073	324,282
Prepaid expenses and other current assets	33,517	21,411
Total current assets	1,183,045	1,134,872
Property, plant and equipment, net	99,883	91,980
Goodwill	315,811	315,811
Identifiable intangible assets, net	194,548	222,197
Deferred income taxes	8,320	4,778
Other assets	19,254	25,225
Total assets	1,820,861	1,794,863
Current liabilities:
Accounts payable	49,600	54,526
Accrued liabilities	35,967	48,836
Deferred revenue	24,067	30,163
Other current liabilities	27,303	27,033
Total current liabilities	136,937	160,558
Deferred income taxes	0	7,366
Other non-current liabilities	27,210	30,513
Total liabilities	164,147	198,437
Commitments and contingencies
Stockholders’ equity:
Common stock	49	49
Additional paid-in capital	1,251,193	1,243,631
Accumulated other comprehensive loss	(10,689)	(10,010)
Retained earnings	416,161	362,756
Total stockholders’ equity	1,656,714	1,596,426
Total liabilities and stockholders’ equity	$ 1,820,861	$ 1,794,863

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) (Unaudited) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Allowances for doubtful accounts	$ 1,311	$ 1,572

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022
Cash flows from operating activities:
Net income	$ 54,964	$ 104,905
Adjustments to reconcile net income to net cash and cash equivalents provided by operating activities:
Amortization of intangibles	27,649	27,639
Depreciation	5,815	4,666
Share-based compensation	13,864	12,815
Provision for inventory valuation	6,386	4,494
Deferred income taxes	(11,020)	(13,962)
Other, net	1,136	2,415
Changes in operating assets and liabilities, net of effects of business acquired	(17,039)	(87,584)
Net cash and cash equivalents provided by operating activities	81,755	55,388
Cash flows from investing activities:
Purchases of marketable securities	(209,154)	(174,730)
Proceeds from maturities and sales of marketable securities	198,717	148,426
Purchases of property, plant and equipment	(12,463)	(6,902)
Net cash and cash equivalents used in investing activities	(22,900)	(33,206)
Cash flows from financing activities:
Purchases and retirement of common stock	(3,197)	0
Tax payments related to shares withheld for share-based compensation plans	(9,949)	(8,337)
Payment of contingent consideration for acquired business	(304)	(2,287)
Issuance of shares through share-based compensation plans	5,285	4,499
Net cash and cash equivalents used in financing activities	(8,165)	(6,125)
Effect of exchange rate changes on cash and cash equivalents	(2,305)	(5,484)
Net increase in cash and cash equivalents	48,385	10,573
Cash and cash equivalents at beginning of period	175,872	169,602
Cash and cash equivalents at end of period	224,257	180,175
Supplemental disclosure of cash flow information:
Income taxes paid (net of refunds)	$ 18,888	$ 32,945

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Retained Earnings [Member]
Balance - Beginning Balance at Jan. 01, 2022	$ 1,426,055	$ 49	$ 1,256,179	$ 1,316	$ 168,511
Balance, Shares - Beginning Balance at Jan. 01, 2022		49,300
Net income	53,330				53,330
Share-based compensation	4,832		4,832
Issuance of shares through share-based compensation plans	6		6
Issuance of shares through share-based compensation plans, Shares		184
Share-based compensation plan withholdings	(5,289)		(5,289)
Share-based compensation plan withholdings, Shares		(46)
Currency translation	(3,612)			(3,612)
Unrealized gain (loss) on investments	(3,001)			(3,001)
Balance - Ending Balance at Apr. 02, 2022	1,472,321	$ 49	1,255,728	(5,297)	221,841
Balance, shares - Ending Balance at Apr. 02, 2022		49,438
Balance - Beginning Balance at Jan. 01, 2022	1,426,055	$ 49	1,256,179	1,316	168,511
Balance, Shares - Beginning Balance at Jan. 01, 2022		49,300
Net income	104,905
Currency translation	(9,546)
Balance - Ending Balance at Jul. 02, 2022	1,527,943	$ 50	1,265,156	(10,679)	273,416
Balance, shares - Ending Balance at Jul. 02, 2022		49,604
Balance - Beginning Balance at Apr. 02, 2022	1,472,321	$ 49	1,255,728	(5,297)	221,841
Balance, Shares - Beginning Balance at Apr. 02, 2022		49,438
Net income	51,575				51,575
Share-based compensation	7,983		7,983
Issuance of shares through share-based compensation plans	4,494	$ 1	4,493
Issuance of shares through share-based compensation plans, Shares		219
Share-based compensation plan withholdings	(3,048)		(3,048)
Share-based compensation plan withholdings, Shares		(53)
Currency translation	(5,934)			(5,934)
Unrealized gain (loss) on investments	552			552
Balance - Ending Balance at Jul. 02, 2022	1,527,943	$ 50	1,265,156	(10,679)	273,416
Balance, shares - Ending Balance at Jul. 02, 2022		49,604
Balance - Beginning Balance at Dec. 31, 2022	1,596,426	$ 49	1,243,631	(10,010)	362,756
Balance, Shares - Beginning Balance at Dec. 31, 2022		48,684
Net income	29,068				29,068
Share-based compensation	6,119		6,119
Issuance of shares through share-based compensation plans	0
Issuance of shares through share-based compensation plans, Shares		225
Purchases of common stock	(3,197)		(1,638)		(1,559)
Purchases of common stock (in shares)		(46)
Share-based compensation plan withholdings	(6,273)		(6,273)
Share-based compensation plan withholdings, Shares		(62)
Currency translation	1,090			1,090
Unrealized gain (loss) on investments	1,392			1,392
Balance - Ending Balance at Apr. 01, 2023	1,624,625	$ 49	1,241,839	(7,528)	390,265
Balance, shares - Ending Balance at Apr. 01, 2023		48,801
Balance - Beginning Balance at Dec. 31, 2022	1,596,426	$ 49	1,243,631	(10,010)	362,756
Balance, Shares - Beginning Balance at Dec. 31, 2022		48,684
Net income	$ 54,964
Purchases of common stock (in shares)	(46)
Currency translation	$ (1,908)
Balance - Ending Balance at Jul. 01, 2023	1,656,714	$ 49	1,251,193	(10,689)	416,161
Balance, shares - Ending Balance at Jul. 01, 2023		48,972
Balance - Beginning Balance at Apr. 01, 2023	1,624,625	$ 49	1,241,839	(7,528)	390,265
Balance, Shares - Beginning Balance at Apr. 01, 2023		48,801
Net income	25,896				25,896
Share-based compensation	7,745		7,745
Issuance of shares through share-based compensation plans	$ 5,285		5,285
Issuance of shares through share-based compensation plans, Shares		227
Purchases of common stock (in shares)	0
Share-based compensation plan withholdings	$ (3,676)		(3,676)
Share-based compensation plan withholdings, Shares		(56)
Currency translation	(2,998)			(2,998)
Unrealized gain (loss) on investments	(163)			(163)
Balance - Ending Balance at Jul. 01, 2023	$ 1,656,714	$ 49	$ 1,251,193	$ (10,689)	$ 416,161
Balance, shares - Ending Balance at Jul. 01, 2023		48,972

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jul. 01, 2023	Apr. 01, 2023	Jul. 02, 2022	Apr. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Pay vs Performance Disclosure
Net Income (Loss)	$ 25,896	$ 29,068	$ 51,575	$ 53,330	$ 54,964	$ 104,905

Insider Trading Arrangements

Insider Trading Arrangements shares in Thousands	6 Months Ended
	Jul. 01, 2023 shares
Trading Arrangements, by Individual
Material Terms of Trading Arrangement	Rule 10b5-1 Plan Elections The table below provides the details of all trading plans adopted or terminated by a director or officer during the Company’s last fiscal quarter. Each of the trading plans is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) of the Exchange Act. Officer's name Title Adoption date Expiration date Aggregate number of securities to be sold Michael P. Plisinski Chief Executive Officer 5/18/2023 11/15/2023 31,000 Mark R. Slicer Chief Financial Officer 6/16/2023 10/27/2023 3,005 Robert Fiordalice Senior Vice President & General Manager, Metrology Business Unit 6/16/2023 12/31/2024 7,049
Rule 10b5-1 Arrangement Adopted	true
Michael P. Plisinski [Member]
Trading Arrangements, by Individual
Name	Michael P. Plisinski
Title	Chief Executive Officer
Adoption Date	5/18/2023
Termination Date	11/15/2023
Aggregate Available	31,000
Mark R. Slicer [Member]
Trading Arrangements, by Individual
Name	Mark R. Slicer
Title	Chief Financial Officer
Adoption Date	6/16/2023
Termination Date	10/27/2023
Aggregate Available	3,005
Robert Fiordalice [Member]
Trading Arrangements, by Individual
Name	Robert Fiordalice
Title	Senior Vice President & General Manager, Metrology Business Unit
Adoption Date	6/16/2023
Termination Date	12/31/2024
Aggregate Available	7,049

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jul. 01, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	NOTE 1. Basis of Presentation The accompanying interim unaudited Condensed Consolidated Financial Statements have been prepared by Onto Innovation Inc. (together with its consolidated subsidiaries, unless otherwise specified or suggested by the context, the “Company,” “Onto Innovation,” “we,” “our” or “us”) and in the opinion of management reflect all adjustments, consisting of normal recurring accruals, necessary for their fair presentation in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). Preparing financial statements requires management to make estimates and assumptions that affect amounts reported in the financial statements and accompanying notes. Actual amounts could differ materially from reported amounts. The interim results for the three and six months ended July 1, 2023 are not necessarily indicative of results to be expected for the entire year or any future periods. This interim financial information should be read in conjunction with the financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 (the “2022 Form 10-K”) filed with the Securities and Exchange Commission (“SEC”) on February 24, 2023. The accompanying Condensed Consolidated Balance Sheet at December 31, 2022 has been derived from the audited consolidated financial statements included in the 2022 Form 10-K. The Company operates on a 52- or 53-week fiscal year ending on the Saturday closest to December 31. Our fiscal year ending December 30, 2023 (“fiscal year 2023”) is a 52-week fiscal year. The first quarter of the Company’s fiscal year 2023 ended on April 1, 2023, the second quarter ended on July 1, 2023 and the third quarter ends on September 30, 2023. Our fiscal year ended December 31, 2022 was a 52-week fiscal year. The second quarter of the fiscal year ended December 31, 2022 ended on July 2, 2022. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Significant estimates made by management include excess and obsolete inventory, fair value of assets acquired and liabilities assumed in a business combination, recoverability and useful lives of property, plant and equipment and identifiable intangible assets, recoverability of goodwill, recoverability of deferred tax assets, allowance for credit losses, liabilities for product warranty, contingencies, including litigation reserves and share-based payments and liabilities for tax uncertainties. Actual results could differ from those estimates. These estimates and assumptions are based on historical experience and on various other factors which the Company believes to be reasonable under the circumstances. The Company may engage third-party valuation specialists to assist with estimates related to the valuation of financial instruments, assets and stock awards associated with various contractual arrangements. Such estimates often require the selection of appropriate valuation methodologies and significant judgment. Actual results could differ from these estimates under different assumptions or circumstances and such differences could be material. Adoption of Accounting Standards There have been no recent accounting pronouncements or changes in accounting pronouncements during the three and six months ended July 1, 2023, as compared to the recent accounting pronouncements described in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022, that are of significance, or potential significance to the Company.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jul. 01, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	NOTE 2. Fair Value Measurements Fair Value of Financial Instruments The Company has evaluated the estimated fair value of financial instruments using available market information and valuations as provided by third-party sources. The use of different market assumptions and/or estimation methodologies could have a significant effect on the estimated fair value amounts. The carrying value of cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities approximates fair value because of the short-term maturity of these instruments. Fair Value Hierarchy The Company applies a three-level valuation hierarchy for fair value measurements. This hierarchy prioritizes the inputs into three broad levels. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the asset or liability. Level 3 inputs are unobservable inputs based on management’s assumptions used to measure assets and liabilities at fair value. A financial asset’s or liability’s fair value measurement classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The following tables provide the assets and liabilities carried at fair value measured on a recurring basis at July 1, 2023 and December 31, 2022: Fair Value Measurements Using Carrying Quoted Prices in Significant Other Significant July 1, 2023 Assets: Available-for-sale debt securities: Government notes and bonds $ 167,963 $ — $ 167,963 $ — Asset-backed securities 694 — 694 — Certificates of deposit 61,921 — 61,921 — Commercial paper 90,786 — 90,786 — Corporate bonds 63,982 — 63,982 — Foreign currency forward contracts 44 — 44 — Total assets $ 385,390 $ — $ 385,390 $ — December 31, 2022 Assets: Available-for-sale debt securities: Government notes and bonds $ 178,868 $ — $ 178,868 $ — Asset-backed securities 1,534 — 1,534 — Certificates of deposit 52,095 — 52,095 — Commercial paper 80,079 — 80,079 — Corporate bonds 59,335 — 59,335 — Total assets $ 371,912 $ — $ 371,912 $ — Liabilities: Foreign currency forward contracts $ 135 $ — $ 135 $ — Total liabilities $ 135 $ — $ 135 $ — Available-for-sale debt securities classified as Level 2 are valued using observable inputs to quoted market prices, benchmark yields, reported trades, broker/dealer quotes or alternative pricing sources with reasonable levels of price transparency. The foreign currency forward contracts are primarily measured based on the foreign currency spot and forward rates quoted by the banks or foreign currency dealers. Investment prices are obtained from third party pricing providers, which model prices utilizing the above observable inputs, for each asset class. Level 3 investments consisted of contingent consideration related to an acquisition for which the Company uses revenue projections to value this liability. See Note 3 for additional discussion regarding the fair value of the Company’s marketable securities.

Marketable Securities

Marketable Securities	6 Months Ended
	Jul. 01, 2023
Marketable Securities [Abstract]
Marketable Securities	NOTE 3. Marketable Securities At July 1, 2023 and December 31, 2022, marketable securities are categorized as follows: Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value July 1, 2023 Government notes and bonds $ 169,514 $ 1 $ 1,552 $ 167,963 Asset-backed securities 700 — 6 694 Certificates of deposit 61,983 5 67 61,921 Commercial paper 90,902 2 118 90,786 Corporate bonds 64,572 6 596 63,982 Total marketable securities $ 387,671 $ 14 $ 2,339 $ 385,346 December 31, 2022 Government notes and bonds $ 181,196 $ 27 $ 2,355 $ 178,868 Asset-backed securities 1,555 — 21 1,534 Certificates of deposit 52,190 24 118 52,095 Commercial paper 80,199 16 136 80,079 Corporate bonds 60,334 4 1,003 59,335 Total marketable securities $ 375,474 $ 71 $ 3,633 $ 371,912 The amortized cost and estimated fair value of marketable securities classified by the maturity date listed on the security, regardless of the Condensed Consolidated Balance Sheets classification, is as follows at July 1, 2023 and December 31, 2022: July 1, 2023 December 31, 2022 Amortized Cost Fair Value Amortized Cost Fair Value Due within one year $ 290,368 $ 289,094 $ 311,934 $ 309,385 Due after one through five years 97,303 96,252 63,540 62,527 Due after five years — — — — Total marketable securities $ 387,671 $ 385,346 $ 375,474 $ 371,912 The Company has evaluated its investment policies and determined that all of its marketable securities, which are comprised of debt securities, are to be classified as available-for-sale. The Company’s available-for-sale debt securities are carried at fair value, with the unrealized gains and losses reported in Stockholders’ equity under the caption “Accumulated other comprehensive income (loss).” Gross realized gains and losses on available-for-sale securities are included in “Other expense, net” on the Condensed Consolidated Statements of Operations and were not material during the three and six months ended July 1, 2023 and July 2, 2022. The Company records credit losses for its available-for-sale debt securities when it intends to sell the securities, it is more-likely-than not that it will be required to sell the securities before a recovery, or when it does not expect to recover the entire amortized cost basis of the securities. The cost of securities sold is based on the specific identification method. The Company has determined that the gross unrealized losses on its marketable securities at July 1, 2023 and December 31, 2022 are temporary in nature. The Company regularly reviews its investment portfolio to identify and evaluate marketable securities that have indications of possible impairment from credit losses or other factors. Factors considered in determining whether an unrealized loss is considered to be a credit loss include the length of time and extent to which fair value has been less than the cost basis, credit quality and the Company’s ability and intent to hold the securities for a period of time sufficient to allow for any anticipated recovery in market value. The following table summarizes the estimated fair value and gross unrealized holding losses of marketable securities, aggregated by investment instrument and period of time in an unrealized loss position, at July 1, 2023 and December 31, 2022: In Unrealized Loss Position For In Unrealized Loss Position For Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses July 1, 2023 Government notes and bonds $ 121,171 $ 1,248 $ 47,856 $ 304 Asset-backed securities — — 700 6 Certificates of deposit 33,938 67 — — Commercial paper 83,373 118 — — Corporate bonds 36,854 217 22,229 379 Total $ 275,336 $ 1,650 $ 70,785 $ 689 December 31, 2022 Government notes and bonds $ 96,301 $ 1,273 $ 69,159 $ 1,082 Asset-backed securities 1,555 21 — — Certificates of deposit 22,400 118 — — Commercial paper 50,550 136 — — Corporate bonds 28,975 637 28,769 366 Total $ 199,781 $ 2,185 $ 97,928 $ 1,448 See Note 2 for additional discussion regarding the fair value of the Company’s marketable securities.

Derivative Instruments and Hedg

Derivative Instruments and Hedging Activities	6 Months Ended
	Jul. 01, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Instruments and Hedging Activities	NOTE 4. Derivative Instruments and Hedging Activities The Company, when it considers it to be appropriate, enters into forward contracts to hedge the economic exposures arising from foreign currency denominated transactions. At July 1, 2023, these contracts included the future sale of euro, Japanese yen, Korean won, Singapore dollar, and Taiwanese dollar to purchase U.S. dollars. At December 31, 2022, these contracts included the future sale of euro, Japanese yen, Korean won, Singapore dollar, Taiwanese dollar, and Chinese renminbi to purchase U.S. dollars. Foreign currency forward contracts are not designated as hedges for accounting purposes, and therefore, the change in fair value is recorded in “Other expense, net,” in the Condensed Consolidated Statements of Operations. The Company records its forward contracts at fair value in either prepaid expenses and other current assets or other current liabilities in the Condensed Consolidated Balance Sheets. The dollar equivalent of the U.S. dollar forward contracts and related fair values as of July 1, 2023 and December 31, 2022 were as follows: July 1, 2023 December 31, 2022 Notional amount $ 21,607 $ 27,923 Fair value of asset (liability) $ 44 $ ( 135 )

Purchased Intangible Assets

Purchased Intangible Assets	6 Months Ended
	Jul. 01, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Purchased Intangible Assets	NOTE 5. Purchased Intangible Assets Intangible Assets Purchased intangible assets as of July 1, 2023 and December 31, 2022 are as follows: Gross Carrying Amount Accumulated Amortization Net July 1, 2023 Finite-lived intangibles: Developed technology $ 378,197 $ 230,097 $ 148,100 Customer and distributor relationships 73,321 32,489 40,832 Trademarks and trade names 14,171 8,555 5,616 Total identifiable intangible assets $ 465,689 $ 271,141 $ 194,548 December 31, 2022 Finite-lived intangibles: Developed technology $ 378,197 $ 205,386 $ 172,811 Customer and distributor relationships 73,321 30,195 43,126 Trademarks and trade names 14,171 7,911 6,260 Total identifiable intangible assets $ 465,689 $ 243,492 $ 222,197 Assuming no change in the gross carrying value of identifiable intangible assets and estimated lives, future estimated amortization expenses are: Expected Amortization Fiscal Year: Expense 2023 (remainder) $ 27,174 2024 49,137 2025 32,587 2026 31,394 2027 23,173 2028 12,288 Thereafter 18,795 Total $ 194,548

Balance Sheet Details

Balance Sheet Details	6 Months Ended
	Jul. 01, 2023
Balance Sheet Detail [Abstract]
Balance Sheet Details	NOTE 6. Balance Sheet Components Inventories Inventories, net are comprised of the following: July 1, 2023 December 31, 2022 Materials $ 250,577 $ 231,029 Work-in-process 70,414 69,072 Finished goods 31,082 24,181 Total inventories, net $ 352,073 $ 324,282 Property, Plant and Equipment Property, plant and equipment, net is comprised of the following: July 1, 2023 December 31, 2022 Machinery and equipment $ 66,899 $ 56,924 Land and building 50,340 50,344 Computer equipment and software 16,141 15,415 Leasehold improvements 21,155 18,539 Furniture and fixtures 3,332 2,949 157,867 144,171 Accumulated depreciation ( 57,984 ) ( 52,191 ) Total property, plant and equipment, net $ 99,883 $ 91,980 Other assets Other assets are comprised of the following: July 1, 2023 December 31, 2022 Operating lease right-of-use assets $ 17,806 $ 20,746 Other 1,448 4,479 Total other assets $ 19,254 $ 25,225 Accrued liabilities Accrued liabilities are comprised of the following: July 1, 2023 December 31, 2022 Payroll and related expenses $ 25,323 $ 36,529 Warranty 9,110 10,890 Other 1,534 1,417 Total accrued liabilities $ 35,967 $ 48,836 Other current liabilities Other current liabilities are comprised of the following: July 1, 2023 December 31, 2022 Customer deposits $ 10,325 $ 12,482 Current operating lease obligations 5,966 5,678 Income tax payable 1,899 1,910 Accrued professional fees 1,041 968 Other 8,072 5,995 Total other current liabilities $ 27,303 $ 27,033 Other non-current liabilities Other non-current liabilities are comprised of the following: July 1, 2023 December 31, 2022 Non-current operating lease obligations $ 13,317 $ 16,345 Unrecognized tax benefits (including interest) 8,764 7,693 Deferred revenue 3,189 2,852 Other 1,940 3,623 Total other non-current liabilities $ 27,210 $ 30,513

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jul. 01, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 7. Commitments and Contingencies Factoring The Company maintains arrangements under which eligible accounts receivable in Japan are sold without recourse to unrelated third-party financial institutions. The Company sold $ 8,061 of receivables during the six months ended July 1, 2023. These receivables were not included in the Condensed Consolidated Balance Sheets as the criteria for sale treatment had been met. There were no material gains or losses on the sale of such receivables. There were no amounts due from such third-party financial institutions at July 1, 2023. Intellectual Property Indemnification Obligations The Company has entered into agreements with customers that include limited intellectual property indemnification obligations that are customary in the industry. These guarantees generally require the Company to compensate the other party for certain damages and costs incurred as a result of third-party intellectual property claims arising from these transactions. The nature of the intellectual property indemnification obligations prevents the Company from making a reasonable estimate of the maximum potential amount it could be required to pay to its customers. Historically, the Company has not made any indemnification payments under such agreements and no amount has been accrued in the accompanying Condensed Consolidated Financial Statements with respect to these indemnification guarantees. Warranty Reserves The Company generally provides a warranty on its products for a period of 12 to 14 months against defects in material and workmanship. The Company estimates the costs that may be incurred during the warranty period and records a liability in the amount of such costs at the time revenue is recognized. The Company’s estimate is based primarily on historical experience. The Company periodically assesses the adequacy of its recorded warranty liabilities and adjusts the amounts as necessary. Warranty provisions are generally related to current period sales. Settlements of warranty reserves are generally associated with sales that occurred during the 12 to 14 months prior to the period-end. Changes in the Company’s warranty reserves are as follows: Six Months Ended July 1, July 2, 2023 2022 Balance, beginning of the period $ 11,830 $ 9,682 Accruals 4,659 7,392 Usage ( 6,708 ) ( 5,859 ) Balance, end of the period $ 9,781 $ 11,215 Warranty reserves are reported in the Condensed Consolidated Balance Sheets under the captions “Accrued liabilities” and “Other non-current liabilities.” Legal Matters From time to time, the Company is subject to legal proceedings and claims in the ordinary course of business. The following reflects an overview of the material developments with regard to the Company’s pending material legal proceedings. Optical Solutions Inc. v. Nanometrics Incorporated (Case No. 18-cv-00417-BLF): On August 2, 2017, Nanometrics was named as defendant in a complaint filed by Optical Solutions, Inc. (“OSI”) in New Hampshire Superior Court (the “OSI Action”). OSI’s complaint alleged claims arising from a purchase contract between OSI and Nanometrics. The relief sought was the award of damages in an amount to be proven at trial, attorney’s fees and costs, and such other relief that the court deemed just and proper. The OSI Action was subsequently removed to the United States District Court for the District of New Hampshire and then transferred to the United States District Court for the Northern District of California (the “Northern District of California”). On December 20, 2017, Nanometrics filed its own complaint against OSI in the California Superior Court for the County of Santa Clara alleging claims arising from OSI’s breach of certain purchase orders (the “Nanometrics Action”). The relief sought was the award of damages in an amount to be proven at trial, including pre- and post-judgment interest, punitive damages, restitution for benefits unjustly received by OSI, attorney’s fees and costs, and such other relief the court deemed just and proper. The Nanometrics Action was later removed to the Northern District of California and then consolidated with the OSI Action. On July 7, 2020, after the Northern District of California granted the Company’s motion to dismiss with prejudice with regard to two of OSI’s claims and dismissed two other claims asserted by OSI with leave to amend, OSI filed a Fourth Amended Complaint. On August 14, 2020, the Company filed a motion to dismiss one of the two remaining claims. On December 1, 2020, the Northern District of California denied the Company’s motion and as a result the Company filed its Answer in this matter on December 22, 2020. Discovery is now closed. On March 1, 2023, the Company filed a motion for summary judgment, and the hearing on that motion took place on June 29, 2023. On August 3, 2023, the Northern District of California denied the Company’s motion for summary judgment. The trial date is set for December 4, 2023. At the time of filing of this Quarterly Report on Form 10-Q (this “Form 10-Q”), the loss contingency in this matter is remote and the Company does not anticipate the outcome of the matter to have a material impact on its financial position, results of operations, or cash flows. Line of Credit The Company has a credit agreement with a bank that provides for a line of credit which is secured by the marketable securities the Company has with the bank. The Company is permitted to borrow up to 70 % of the value of eligible securities held at the time the line of credit is accessed. The available line of credit as of July 1, 2023 was approximately $ 100.0 million with an available interest rate of 6.8 %. The credit agreement is available to the Company until such time that either party terminates the arrangement at their discretion. The Company has not utilized the line of credit as of the date of this filing.

Revenue

Revenue	6 Months Ended
	Jul. 01, 2023
Revenue from Contract with Customer [Abstract]
Revenue	NOTE 8. Revenue The following table represents a disaggregation of revenue by timing of revenue: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Point-in-time $ 178,325 $ 244,466 $ 364,699 $ 474,436 Over-time 12,337 11,844 25,128 23,224 Total revenue $ 190,662 $ 256,310 $ 389,827 $ 497,660 See Note 14 for additional discussion of the Company’s disaggregated revenue in detail. Contract Liabilities The Company records contract liabilities when the customer has been billed in advance of the Company completing its performance obligations primarily with respect to liabilities related to service contracts and installation. For contracts that have a duration of one year or less, these amounts are recorded as current deferred revenue in the Condensed Consolidated Balance Sheets. As of July 1, 2023 and December 31, 2022, the Company carried a long-term deferred revenue balance of $ 3,189 and $ 2,852 , respectively, in “Other non-current liabilities” on the Condensed Consolidated Balance Sheets. Changes in deferred revenue were as follows: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Balance, beginning of the period $ 30,383 $ 38,599 $ 33,014 $ 31,672 Deferral of revenue 18,214 21,557 34,290 45,057 Recognition of deferred revenue ( 21,341 ) ( 25,725 ) ( 40,048 ) ( 42,298 ) Balance, end of the period $ 27,256 $ 34,431 $ 27,256 $ 34,431

Share-Based Compensation

Share-Based Compensation	6 Months Ended
	Jul. 01, 2023
Share-Based Payment Arrangement [Abstract]
Share-Based Compensation	NOTE 9. Share-Based Compensation Restricted Stock Unit Activity A summary of the Company’s restricted stock unit activity with respect to the six months ended July 1, 2023 is as follows: Number of Shares Weighted Average Nonvested at December 31, 2022 743 $ 69.01 Granted 312 $ 88.06 Vested ( 386 ) $ 58.56 Forfeited ( 31 ) $ 81.36 Nonvested at July 1, 2023 638 $ 84.05 Of the 638 nonvested shares outstanding at July 1, 2023, 540 are service-based RSUs and 98 are market-based PRSUs. The fair value of the Company’s service-based RSUs was calculated based on the fair market value of the Company’s stock at the date of grant. The fair value of the Company’s market-based PRSUs granted during fiscal years 2023 and 2022 was calculated using a Monte Carlo simulation model at the date of the grant, resulting in a weighted average grant-date fair value per share of $ 100.79 and $ 85.49 , respectively. As of July 1, 2023 and December 31 2022, there was $ 38,787 and $ 28,653 of total unrecognized compensation cost related to restricted stock units granted under the Company’s stock plans, respectively. That cost is expected to be recognized over a weighted average period of 1.8 years and 1.5 years for July 1, 2023 and December 31, 2022, respectively.

Other Expense, Net

Other Expense, Net	6 Months Ended
	Jul. 01, 2023
Other Income Expense [Abstract]
Other Expense, Net	NOTE 10. Other Expense, Net Other expense, net, is comprised of the following: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Foreign currency exchange losses, net $ ( 1,800 ) $ ( 811 ) $ ( 2,107 ) $ ( 1,025 ) Other 90 ( 48 ) 116 ( 38 ) Total other expense, net $ ( 1,710 ) $ ( 859 ) $ ( 1,991 ) $ ( 1,063 )

Income Taxes

Income Taxes	6 Months Ended
	Jul. 01, 2023
Income Tax Disclosure [Abstract]
Income Taxes	NOTE 11. Income Taxes The following table provides details of income taxes: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Income before income taxes $ 27,855 $ 57,253 $ 60,057 $ 116,170 Provision for income taxes $ 1,959 $ 5,678 $ 5,093 $ 11,265 Effective tax rate 7 % 10 % 8 % 10 % The income tax provision for the three and six months ended July 1, 2023 was computed based on the Company’s annual forecast of profit by jurisdiction and forecasted effective tax rate for the year. The income tax provision for the six months ended July 1, 2023 and July 2, 2022 reflected the impact of a change in U.S. tax law effective January 1, 2022, which requires the capitalization and amortization of research and development expenditures incurred after December 31, 2021. The decrease in the Company’s income tax provision for the three and six months ended July 1, 2023 as compared to the three and six months ended July 2, 2022 was primarily due to a decrease in quarterly and year-to-date earnings and an increase in the federal research and development tax credit, offset by a decrease in the Foreign Derived Intangible Income (“FDII”) deduction. The Company’s recorded effective tax rate for the periods presented is less than the U.S. statutory rate primarily due to projected FDII deductions, federal research and development tax credits, and excess tax benefits associated with equity compensation. The Company currently has a partial valuation allowance recorded against certain foreign and state net operating loss and credit carryforwards where the realizability of such deferred tax assets is substantially in doubt. Each quarter, the Company assesses the likelihood that it will be able to recover its deferred tax assets. The Company considers available evidence, both positive and negative, including forecasted earnings, in assessing its need for a valuation allowance. As a result of the Company’s analysis, it concluded that it is more likely than not that a portion of its deferred tax assets will not be realized. Therefore, the Company continues to provide a valuation allowance against certain deferred tax assets. The Company continues to monitor available evidence and may reverse some or all of its remaining valuation allowance in future periods, if appropriate. The Company has a recorded valuation allowance against a certain portion of its deferred tax assets of $ 11,772 at July 1, 2023 and December 31, 2022.

Earnings Per Share

Earnings Per Share	6 Months Ended
	Jul. 01, 2023
Earnings Per Share [Abstract]
Earnings Per Share	NOTE 12. Earnings Per Share Basic earnings per share is calculated using the weighted average number of shares of common stock outstanding during the period. Restricted stock units, employee stock purchase grants and stock options are included in the calculation of diluted earnings per share, except when their effect would be anti-dilutive. The Company’s basic and diluted earnings per share amounts are as follows: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Numerator: Net income $ 25,896 $ 51,575 $ 54,964 $ 104,905 Denominator: Basic earnings per share - weighted average shares 48,976 49,617 48,865 49,525 Effect of potential dilutive securities: Employee stock options, employee stock 298 290 310 384 Diluted earnings per share - weighted average shares 49,274 49,907 49,175 49,909 Earnings per share: Basic $ 0.53 $ 1.04 $ 1.12 $ 2.12 Diluted $ 0.53 $ 1.03 $ 1.12 $ 2.10

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	6 Months Ended
	Jul. 01, 2023
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive Income (Loss)	NOTE 13. Accumulated Other Comprehensive Loss The components of accumulated other comprehensive loss, net of tax, at July 1, 2023, as well as the activity for the six months ended July 1, 2023, were as follows: Foreign currency Net unrealized losses on Accumulated other Balance at December 31, 2022 $ ( 7,115 ) $ ( 2,895 ) $ ( 10,010 ) Net current period other comprehensive income ( 1,908 ) 1,229 ( 679 ) Reclassifications — — — Balance at July 1, 2023 $ ( 9,023 ) $ ( 1,666 ) $ ( 10,689 ) For the six months ended July 1, 2023, tax effects on net income of amounts recorded in other comprehensive loss for net unrealized gains on available-for-sale marketable securities and foreign currency translation adjustments was $ 264.

Segment Reporting and Geographi

Segment Reporting and Geographic Information	6 Months Ended
	Jul. 01, 2023
Segment Reporting [Abstract]
Segment Reporting and Geographic Information	NOTE 14. Segment Reporting and Geographic Information The Company is engaged in the design, development, manufacture and support of high-performance control metrology, defect inspection, lithography and data analysis systems used by microelectronics device manufacturers. The Company and its subsidiaries currently operate in a single operating segment: the design, development, manufacture and support of high-performance process control defect inspection and metrology, lithography and process control software systems used by microelectronics device manufacturers. Therefore, the Company has one reportable segment. The Company’s chief operating decision maker is the Chief Executive Officer (the “CEO”). The CEO allocates resources and assesses performance of the business and other activities at the reportable segment level. The following table lists the different sources of revenue: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Systems and software $ 159,353 83 % $ 220,786 86 % $ 326,177 84 % $ 430,170 86 % Parts 18,142 10 % 22,756 9 % 38,565 10 % 42,613 9 % Services 13,167 7 % 12,768 5 % 25,085 6 % 24,877 5 % Total revenue $ 190,662 100 % $ 256,310 100 % $ 389,827 100 % $ 497,660 100 % The Company’s significant operations outside the United States include sales, service and application offices in Asia and Europe. For geographical revenue reporting, revenue is attributed to the geographic location to which the product is shipped. Revenue by geographic region is as follows: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Revenue from third parties: South Korea $ 37,840 $ 68,881 $ 83,313 $ 130,016 China 41,957 67,619 78,509 131,013 United States 33,237 31,073 73,951 57,874 Taiwan 31,013 48,456 57,718 101,848 Southeast Asia 25,680 10,444 42,980 19,669 Japan 13,732 10,789 28,235 19,764 Europe 7,203 19,048 25,121 37,476 Total revenue $ 190,662 $ 256,310 $ 389,827 $ 497,660 The following customers accounted for 10% or more of total revenue for the indicated periods: Six Months Ended July 1, July 2, 2023 2022 Samsung Semiconductor 21 % 11 % Taiwan Semiconductor Manufacturing Co. Ltd. 13 % 15 % SK Hynix Inc. 2 % 17 %

Share Repurchase Authorization

Share Repurchase Authorization	6 Months Ended
	Jul. 01, 2023
Share Repurchase Program [Abstract]
Share Repurchase Authorization	NOTE 15. Share Repurchase Authorization In November 2020, the Onto Innovation Board of Directors approved a share repurchase authorization, which allows the Company to repurchase up to $ 100,000 worth of shares of its common stock. Repurchases may be made through both public market and private transactions from time to time with shares purchased being subsequently retired. During the three and six month periods ended July 1, 2023, the Company repurchased 0 and 46 shares of its common stock, respectively. The amount paid to repurchase the shares in excess of par value, including transaction costs, is recorded directly as a decrease to additional paid-in capital and accumulated earnings. At July 1, 2023, there was $ 31,577 available for future share repurchases under this share repurchase authorization.

Restructuring

Restructuring	6 Months Ended
	Jul. 01, 2023
Restructuring Charges [Abstract]
Restructuring	NOTE 16. Restructuring The Company initiated a restructuring plan to streamline operations and align the Company’s cost structure with its business outlook for 2023. During the three and six months ended July 1, 2023, restructuring costs of $ 1,192 and $ 3,226 were recorded in operating expense for employee severance and $ 0 and $ 2,279 were recorded in cost of goods sold for inventory write-downs. All employee severance costs were paid during the six-month period. The Company anticipates that these activities will continue into subsequent quarters of 2023 and anticipates recording additional restructuring charges.

Basis of Presentation (Policies

Basis of Presentation (Policies)	6 Months Ended
	Jul. 01, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Significant estimates made by management include excess and obsolete inventory, fair value of assets acquired and liabilities assumed in a business combination, recoverability and useful lives of property, plant and equipment and identifiable intangible assets, recoverability of goodwill, recoverability of deferred tax assets, allowance for credit losses, liabilities for product warranty, contingencies, including litigation reserves and share-based payments and liabilities for tax uncertainties. Actual results could differ from those estimates. These estimates and assumptions are based on historical experience and on various other factors which the Company believes to be reasonable under the circumstances. The Company may engage third-party valuation specialists to assist with estimates related to the valuation of financial instruments, assets and stock awards associated with various contractual arrangements. Such estimates often require the selection of appropriate valuation methodologies and significant judgment. Actual results could differ from these estimates under different assumptions or circumstances and such differences could be material.
Adoption of Accounting Standards	Adoption of Accounting Standards There have been no recent accounting pronouncements or changes in accounting pronouncements during the three and six months ended July 1, 2023, as compared to the recent accounting pronouncements described in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022, that are of significance, or potential significance to the Company.

Fair Value Measurements - (Tabl

Fair Value Measurements - (Tables)	6 Months Ended
	Jul. 01, 2023
Fair Value Disclosures [Abstract]
Schedule of Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis	The following tables provide the assets and liabilities carried at fair value measured on a recurring basis at July 1, 2023 and December 31, 2022: Fair Value Measurements Using Carrying Quoted Prices in Significant Other Significant July 1, 2023 Assets: Available-for-sale debt securities: Government notes and bonds $ 167,963 $ — $ 167,963 $ — Asset-backed securities 694 — 694 — Certificates of deposit 61,921 — 61,921 — Commercial paper 90,786 — 90,786 — Corporate bonds 63,982 — 63,982 — Foreign currency forward contracts 44 — 44 — Total assets $ 385,390 $ — $ 385,390 $ — December 31, 2022 Assets: Available-for-sale debt securities: Government notes and bonds $ 178,868 $ — $ 178,868 $ — Asset-backed securities 1,534 — 1,534 — Certificates of deposit 52,095 — 52,095 — Commercial paper 80,079 — 80,079 — Corporate bonds 59,335 — 59,335 — Total assets $ 371,912 $ — $ 371,912 $ — Liabilities: Foreign currency forward contracts $ 135 $ — $ 135 $ — Total liabilities $ 135 $ — $ 135 $ —

Marketable Securities - (Tables

Marketable Securities - (Tables)	6 Months Ended
	Jul. 01, 2023
Marketable Securities [Abstract]
Schedule of Marketable Securities by Category	At July 1, 2023 and December 31, 2022, marketable securities are categorized as follows: Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value July 1, 2023 Government notes and bonds $ 169,514 $ 1 $ 1,552 $ 167,963 Asset-backed securities 700 — 6 694 Certificates of deposit 61,983 5 67 61,921 Commercial paper 90,902 2 118 90,786 Corporate bonds 64,572 6 596 63,982 Total marketable securities $ 387,671 $ 14 $ 2,339 $ 385,346 December 31, 2022 Government notes and bonds $ 181,196 $ 27 $ 2,355 $ 178,868 Asset-backed securities 1,555 — 21 1,534 Certificates of deposit 52,190 24 118 52,095 Commercial paper 80,199 16 136 80,079 Corporate bonds 60,334 4 1,003 59,335 Total marketable securities $ 375,474 $ 71 $ 3,633 $ 371,912
Schedule of Amortized Cost and Estimated Fair Value of Marketable Securities Classified by Maturity Date	The amortized cost and estimated fair value of marketable securities classified by the maturity date listed on the security, regardless of the Condensed Consolidated Balance Sheets classification, is as follows at July 1, 2023 and December 31, 2022: July 1, 2023 December 31, 2022 Amortized Cost Fair Value Amortized Cost Fair Value Due within one year $ 290,368 $ 289,094 $ 311,934 $ 309,385 Due after one through five years 97,303 96,252 63,540 62,527 Due after five years — — — — Total marketable securities $ 387,671 $ 385,346 $ 375,474 $ 371,912
Summary of Estimated Fair Value and Gross Unrealized Holding Losses of Marketable Securities in Unrealized Loss Position	The following table summarizes the estimated fair value and gross unrealized holding losses of marketable securities, aggregated by investment instrument and period of time in an unrealized loss position, at July 1, 2023 and December 31, 2022: In Unrealized Loss Position For In Unrealized Loss Position For Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses July 1, 2023 Government notes and bonds $ 121,171 $ 1,248 $ 47,856 $ 304 Asset-backed securities — — 700 6 Certificates of deposit 33,938 67 — — Commercial paper 83,373 118 — — Corporate bonds 36,854 217 22,229 379 Total $ 275,336 $ 1,650 $ 70,785 $ 689 December 31, 2022 Government notes and bonds $ 96,301 $ 1,273 $ 69,159 $ 1,082 Asset-backed securities 1,555 21 — — Certificates of deposit 22,400 118 — — Commercial paper 50,550 136 — — Corporate bonds 28,975 637 28,769 366 Total $ 199,781 $ 2,185 $ 97,928 $ 1,448

Derivative Instruments and He_2

Derivative Instruments and Hedging Activities (Tables)	6 Months Ended
	Jul. 01, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Forward Contracts and Related Fair Values	The dollar equivalent of the U.S. dollar forward contracts and related fair values as of July 1, 2023 and December 31, 2022 were as follows: July 1, 2023 December 31, 2022 Notional amount $ 21,607 $ 27,923 Fair value of asset (liability) $ 44 $ ( 135 )

Purchased Intangible Assets (Ta

Purchased Intangible Assets (Tables)	6 Months Ended
	Jul. 01, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Purchased Intangible Assets	Intangible Assets Purchased intangible assets as of July 1, 2023 and December 31, 2022 are as follows: Gross Carrying Amount Accumulated Amortization Net July 1, 2023 Finite-lived intangibles: Developed technology $ 378,197 $ 230,097 $ 148,100 Customer and distributor relationships 73,321 32,489 40,832 Trademarks and trade names 14,171 8,555 5,616 Total identifiable intangible assets $ 465,689 $ 271,141 $ 194,548 December 31, 2022 Finite-lived intangibles: Developed technology $ 378,197 $ 205,386 $ 172,811 Customer and distributor relationships 73,321 30,195 43,126 Trademarks and trade names 14,171 7,911 6,260 Total identifiable intangible assets $ 465,689 $ 243,492 $ 222,197
Schedule of Estimated Future Amortization Expenses	Assuming no change in the gross carrying value of identifiable intangible assets and estimated lives, future estimated amortization expenses are: Expected Amortization Fiscal Year: Expense 2023 (remainder) $ 27,174 2024 49,137 2025 32,587 2026 31,394 2027 23,173 2028 12,288 Thereafter 18,795 Total $ 194,548

Balance Sheet Details (Tables)

Balance Sheet Details (Tables)	6 Months Ended
	Jul. 01, 2023
Balance Sheet Detail [Abstract]
Schedule of Inventories	Inventories, net are comprised of the following: July 1, 2023 December 31, 2022 Materials $ 250,577 $ 231,029 Work-in-process 70,414 69,072 Finished goods 31,082 24,181 Total inventories, net $ 352,073 $ 324,282
Schedule of Property, Plant and Equipment, Net	Property, plant and equipment, net is comprised of the following: July 1, 2023 December 31, 2022 Machinery and equipment $ 66,899 $ 56,924 Land and building 50,340 50,344 Computer equipment and software 16,141 15,415 Leasehold improvements 21,155 18,539 Furniture and fixtures 3,332 2,949 157,867 144,171 Accumulated depreciation ( 57,984 ) ( 52,191 ) Total property, plant and equipment, net $ 99,883 $ 91,980
Schedule of Other Assets	Other assets are comprised of the following: July 1, 2023 December 31, 2022 Operating lease right-of-use assets $ 17,806 $ 20,746 Other 1,448 4,479 Total other assets $ 19,254 $ 25,225
Schedule of Accrued Liabilities	Accrued liabilities are comprised of the following: July 1, 2023 December 31, 2022 Payroll and related expenses $ 25,323 $ 36,529 Warranty 9,110 10,890 Other 1,534 1,417 Total accrued liabilities $ 35,967 $ 48,836
Schedule of Other Current Liabilities	Other current liabilities are comprised of the following: July 1, 2023 December 31, 2022 Customer deposits $ 10,325 $ 12,482 Current operating lease obligations 5,966 5,678 Income tax payable 1,899 1,910 Accrued professional fees 1,041 968 Other 8,072 5,995 Total other current liabilities $ 27,303 $ 27,033
Schedule of Other Non-Current Liabilities	Other non-current liabilities are comprised of the following: July 1, 2023 December 31, 2022 Non-current operating lease obligations $ 13,317 $ 16,345 Unrecognized tax benefits (including interest) 8,764 7,693 Deferred revenue 3,189 2,852 Other 1,940 3,623 Total other non-current liabilities $ 27,210 $ 30,513

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
	Jul. 01, 2023
Commitments and Contingencies Disclosure [Abstract]
Schedule of Changes in Warranty Reserves	Changes in the Company’s warranty reserves are as follows: Six Months Ended July 1, July 2, 2023 2022 Balance, beginning of the period $ 11,830 $ 9,682 Accruals 4,659 7,392 Usage ( 6,708 ) ( 5,859 ) Balance, end of the period $ 9,781 $ 11,215

Revenue (Tables)

Revenue (Tables)	6 Months Ended
	Jul. 01, 2023
Revenue from Contract with Customer [Abstract]
Schedule of Disaggregation of Revenue	The following table represents a disaggregation of revenue by timing of revenue: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Point-in-time $ 178,325 $ 244,466 $ 364,699 $ 474,436 Over-time 12,337 11,844 25,128 23,224 Total revenue $ 190,662 $ 256,310 $ 389,827 $ 497,660
Schedule of Changes in Deferred Revenue	Changes in deferred revenue were as follows: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Balance, beginning of the period $ 30,383 $ 38,599 $ 33,014 $ 31,672 Deferral of revenue 18,214 21,557 34,290 45,057 Recognition of deferred revenue ( 21,341 ) ( 25,725 ) ( 40,048 ) ( 42,298 ) Balance, end of the period $ 27,256 $ 34,431 $ 27,256 $ 34,431

Share-Based Compensation - (Tab

Share-Based Compensation - (Tables)	6 Months Ended
	Jul. 01, 2023
Share-Based Payment Arrangement [Abstract]
Summary of Restricted Stock Unit Activity	A summary of the Company’s restricted stock unit activity with respect to the six months ended July 1, 2023 is as follows: Number of Shares Weighted Average Nonvested at December 31, 2022 743 $ 69.01 Granted 312 $ 88.06 Vested ( 386 ) $ 58.56 Forfeited ( 31 ) $ 81.36 Nonvested at July 1, 2023 638 $ 84.05

Other Expense, Net (Tables)

Other Expense, Net (Tables)	6 Months Ended
	Jul. 01, 2023
Other Income Expense [Abstract]
Schedule of Other Expense, Net	Other expense, net, is comprised of the following: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Foreign currency exchange losses, net $ ( 1,800 ) $ ( 811 ) $ ( 2,107 ) $ ( 1,025 ) Other 90 ( 48 ) 116 ( 38 ) Total other expense, net $ ( 1,710 ) $ ( 859 ) $ ( 1,991 ) $ ( 1,063 )

Income Taxes - (Tables)

Income Taxes - (Tables)	6 Months Ended
	Jul. 01, 2023
Income Tax Disclosure [Abstract]
Details of Income Tax	The following table provides details of income taxes: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Income before income taxes $ 27,855 $ 57,253 $ 60,057 $ 116,170 Provision for income taxes $ 1,959 $ 5,678 $ 5,093 $ 11,265 Effective tax rate 7 % 10 % 8 % 10 %

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
	Jul. 01, 2023
Earnings Per Share [Abstract]
Schedule of Basic and Diluted Earnings Per Share	The Company’s basic and diluted earnings per share amounts are as follows: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Numerator: Net income $ 25,896 $ 51,575 $ 54,964 $ 104,905 Denominator: Basic earnings per share - weighted average shares 48,976 49,617 48,865 49,525 Effect of potential dilutive securities: Employee stock options, employee stock 298 290 310 384 Diluted earnings per share - weighted average shares 49,274 49,907 49,175 49,909 Earnings per share: Basic $ 0.53 $ 1.04 $ 1.12 $ 2.12 Diluted $ 0.53 $ 1.03 $ 1.12 $ 2.10

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	6 Months Ended
	Jul. 01, 2023
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Components of Accumulated Other Comprehensive Loss, Net of Tax	The components of accumulated other comprehensive loss, net of tax, at July 1, 2023, as well as the activity for the six months ended July 1, 2023, were as follows: Foreign currency Net unrealized losses on Accumulated other Balance at December 31, 2022 $ ( 7,115 ) $ ( 2,895 ) $ ( 10,010 ) Net current period other comprehensive income ( 1,908 ) 1,229 ( 679 ) Reclassifications — — — Balance at July 1, 2023 $ ( 9,023 ) $ ( 1,666 ) $ ( 10,689 )

Segment Reporting and Geograp_2

Segment Reporting and Geographic Information - (Tables)	6 Months Ended
	Jul. 01, 2023
Segment Reporting [Abstract]
Schedule of Revenue from External Customers by Products and Services	The following table lists the different sources of revenue: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Systems and software $ 159,353 83 % $ 220,786 86 % $ 326,177 84 % $ 430,170 86 % Parts 18,142 10 % 22,756 9 % 38,565 10 % 42,613 9 % Services 13,167 7 % 12,768 5 % 25,085 6 % 24,877 5 % Total revenue $ 190,662 100 % $ 256,310 100 % $ 389,827 100 % $ 497,660 100 %
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area	For geographical revenue reporting, revenue is attributed to the geographic location to which the product is shipped. Revenue by geographic region is as follows: Three Months Ended Six Months Ended July 1, July 2, July 1, July 2, 2023 2022 2023 2022 Revenue from third parties: South Korea $ 37,840 $ 68,881 $ 83,313 $ 130,016 China 41,957 67,619 78,509 131,013 United States 33,237 31,073 73,951 57,874 Taiwan 31,013 48,456 57,718 101,848 Southeast Asia 25,680 10,444 42,980 19,669 Japan 13,732 10,789 28,235 19,764 Europe 7,203 19,048 25,121 37,476 Total revenue $ 190,662 $ 256,310 $ 389,827 $ 497,660
Schedule of Revenue by Major Customer by Reporting Segments	The following customers accounted for 10% or more of total revenue for the indicated periods: Six Months Ended July 1, July 2, 2023 2022 Samsung Semiconductor 21 % 11 % Taiwan Semiconductor Manufacturing Co. Ltd. 13 % 15 % SK Hynix Inc. 2 % 17 %

Fair Value Measurements - Asset

Fair Value Measurements - Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	$ 385,346	$ 371,912
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Total assets
Foreign currency forward contracts
Total liabilities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value, Measurements, Recurring [Member] | Government notes and bonds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value, Measurements, Recurring [Member] | Asset-backed securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value, Measurements, Recurring [Member] | Certificates of deposits [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value, Measurements, Recurring [Member] | Commercial paper [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value, Measurements, Recurring [Member] | Corporate bonds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Significant Other Observable Inputs (Level 2) [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Total assets	385,390	371,912
Foreign currency forward contracts	44	135
Total liabilities		135
Significant Other Observable Inputs (Level 2) [Member] | Fair Value, Measurements, Recurring [Member] | Government notes and bonds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	167,963	178,868
Significant Other Observable Inputs (Level 2) [Member] | Fair Value, Measurements, Recurring [Member] | Asset-backed securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	694	1,534
Significant Other Observable Inputs (Level 2) [Member] | Fair Value, Measurements, Recurring [Member] | Certificates of deposits [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	61,921	52,095
Significant Other Observable Inputs (Level 2) [Member] | Fair Value, Measurements, Recurring [Member] | Commercial paper [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	90,786	80,079
Significant Other Observable Inputs (Level 2) [Member] | Fair Value, Measurements, Recurring [Member] | Corporate bonds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	63,982	59,335
Significant Unobservable Inputs (Level 3) [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Total assets
Foreign currency forward contracts
Total liabilities
Significant Unobservable Inputs (Level 3) [Member] | Fair Value, Measurements, Recurring [Member] | Government notes and bonds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Significant Unobservable Inputs (Level 3) [Member] | Fair Value, Measurements, Recurring [Member] | Asset-backed securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Significant Unobservable Inputs (Level 3) [Member] | Fair Value, Measurements, Recurring [Member] | Certificates of deposits [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Significant Unobservable Inputs (Level 3) [Member] | Fair Value, Measurements, Recurring [Member] | Commercial paper [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Significant Unobservable Inputs (Level 3) [Member] | Fair Value, Measurements, Recurring [Member] | Corporate bonds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities
Carrying Value [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Total assets	385,390	371,912
Foreign currency forward contracts	44	135
Total liabilities		135
Carrying Value [Member] | Fair Value, Measurements, Recurring [Member] | Government notes and bonds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	167,963	178,868
Carrying Value [Member] | Fair Value, Measurements, Recurring [Member] | Asset-backed securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	694	1,534
Carrying Value [Member] | Fair Value, Measurements, Recurring [Member] | Certificates of deposits [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	61,921	52,095
Carrying Value [Member] | Fair Value, Measurements, Recurring [Member] | Commercial paper [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	90,786	80,079
Carrying Value [Member] | Fair Value, Measurements, Recurring [Member] | Corporate bonds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Available-for-sale debt securities	$ 63,982	$ 59,335

Marketable Securities - Schedul

Marketable Securities - Schedule of Marketable Securities by Category (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 387,671	$ 375,474
Gross Unrealized Holding Gains	14	71
Gross Unrealized Holding Losses	2,339	3,633
Fair Value	385,346	371,912
Government notes and bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	169,514	181,196
Gross Unrealized Holding Gains	1	27
Gross Unrealized Holding Losses	1,552	2,355
Fair Value	167,963	178,868
Asset-Backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	700	1,555
Gross Unrealized Holding Gains	0	0
Gross Unrealized Holding Losses	6	21
Fair Value	694	1,534
Certificates of Deposit [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	61,983	52,190
Gross Unrealized Holding Gains	5	24
Gross Unrealized Holding Losses	67	118
Fair Value	61,921	52,095
Commercial Paper [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	90,902	80,199
Gross Unrealized Holding Gains	2	16
Gross Unrealized Holding Losses	118	136
Fair Value	90,786	80,079
Corporate Bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	64,572	60,334
Gross Unrealized Holding Gains	6	4
Gross Unrealized Holding Losses	596	1,003
Fair Value	$ 63,982	$ 59,335

Marketable Securities - Sched_2

Marketable Securities - Schedule of Amortized Cost and Estimated Fair Value of Marketable Securities Classified by Maturity Date (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Debt Securities, Available-for-Sale, Fair Value, Fiscal Year Maturity [Abstract]
Amortized Cost, Due within one year	$ 290,368	$ 311,934
Amortized Cost, Due after one through five years	97,303	63,540
Amortized Cost, Due after five years	0	0
Amortized Cost	387,671	375,474
Fair Value, Due within one year	289,094	309,385
Fair Value, Due after one through five years	96,252	62,527
Fair Value, Due after five years	0	0
Fair Value, Total marketable securities	$ 385,346	$ 371,912

Marketable Securities - Summary

Marketable Securities - Summary of Estimated Fair Value and Gross Unrealized Holding Losses of Marketable Securities in Unrealized Loss Position (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Schedule of Available-for-sale Securities [Line Items]
In Unrealized Loss Position For Less Than 12 Months, Fair Value	$ 275,336	$ 199,781
In Unrealized Loss Position For Less Than 12 Months, Gross Unrealized Losses	1,650	2,185
In Unrealized Loss Position For Greater Than 12 Months, Fair Value	70,785	97,928
In Unrealized Loss Position For Greater Than 12 Months, Gross Unrealized Losses	689	1,448
Government notes and bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
In Unrealized Loss Position For Less Than 12 Months, Fair Value	121,171	96,301
In Unrealized Loss Position For Less Than 12 Months, Gross Unrealized Losses	1,248	1,273
In Unrealized Loss Position For Greater Than 12 Months, Fair Value	47,856	69,159
In Unrealized Loss Position For Greater Than 12 Months, Gross Unrealized Losses	304	1,082
Asset-backed securities [Member]
Schedule of Available-for-sale Securities [Line Items]
In Unrealized Loss Position For Less Than 12 Months, Fair Value	0	1,555
In Unrealized Loss Position For Less Than 12 Months, Gross Unrealized Losses	0	21
In Unrealized Loss Position For Greater Than 12 Months, Fair Value	700	0
In Unrealized Loss Position For Greater Than 12 Months, Gross Unrealized Losses	6	0
Certificates of deposits [Member]
Schedule of Available-for-sale Securities [Line Items]
In Unrealized Loss Position For Less Than 12 Months, Fair Value	33,938	22,400
In Unrealized Loss Position For Less Than 12 Months, Gross Unrealized Losses	67	118
In Unrealized Loss Position For Greater Than 12 Months, Fair Value	0	0
In Unrealized Loss Position For Greater Than 12 Months, Gross Unrealized Losses	0	0
Commercial paper [Member]
Schedule of Available-for-sale Securities [Line Items]
In Unrealized Loss Position For Less Than 12 Months, Fair Value	83,373	50,550
In Unrealized Loss Position For Less Than 12 Months, Gross Unrealized Losses	118	136
In Unrealized Loss Position For Greater Than 12 Months, Fair Value	0	0
In Unrealized Loss Position For Greater Than 12 Months, Gross Unrealized Losses	0	0
Corporate bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
In Unrealized Loss Position For Less Than 12 Months, Fair Value	36,854	28,975
In Unrealized Loss Position For Less Than 12 Months, Gross Unrealized Losses	217	637
In Unrealized Loss Position For Greater Than 12 Months, Fair Value	22,229	28,769
In Unrealized Loss Position For Greater Than 12 Months, Gross Unrealized Losses	$ 379	$ 366

Derivative Instruments and He_3

Derivative Instruments and Hedging Activities - Forward Contracts and Related Fair Values (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Notional amount	$ 21,607	$ 27,923
Fair value of assets (liability)	$ 44	$ (135)

Purchased Intangible Assets - S

Purchased Intangible Assets - Schedule of Purchased Intangible Assets (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Finite Lived Intangible Assets [Line Items]
Finite-lived intangibles assets, Net	$ 194,548
Identifiable intangibles assets, Gross Carrying Amount	465,689	$ 465,689
Identifiable intangibles assets, Accumulated Amortization	271,141	243,492
Identifiable intangibles assets, Net	194,548	222,197
Developed technology [Member]
Finite Lived Intangible Assets [Line Items]
Finite-lived intangibles assets, Gross Carrying Amount	378,197	378,197
Finite-lived intangibles assets, Accumulated Amortization	230,097	205,386
Finite-lived intangibles assets, Net	148,100	172,811
Customer and distributor relationships [Member]
Finite Lived Intangible Assets [Line Items]
Finite-lived intangibles assets, Gross Carrying Amount	73,321	73,321
Finite-lived intangibles assets, Accumulated Amortization	32,489	30,195
Finite-lived intangibles assets, Net	40,832	43,126
Trademarks and trade names [Member]
Finite Lived Intangible Assets [Line Items]
Finite-lived intangibles assets, Gross Carrying Amount	14,171	14,171
Finite-lived intangibles assets, Accumulated Amortization	8,555	7,911
Finite-lived intangibles assets, Net	$ 5,616	$ 6,260

Purchased Intangible Assets -_2

Purchased Intangible Assets - Schedule of Estimated Future Amortization Expenses (Details) $ in Thousands	Jul. 01, 2023 USD ($)
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
2023 (remainder)	$ 27,174
2024	49,137
2025	32,587
2026	31,394
2027	23,173
2028	12,288
Thereafter	18,795
Finite-lived intangibles assets, Net	$ 194,548

Balance Sheet Details - Schedul

Balance Sheet Details - Schedule of Inventories (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Inventory Details [Abstract]
Materials	$ 250,577	$ 231,029
Work-in-process	70,414	69,072
Finished goods	31,082	24,181
Total inventories, net	$ 352,073	$ 324,282

Balance Sheet Details - Sched_2

Balance Sheet Details - Schedule of Property, Plant and Equipment, Net (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	$ 157,867	$ 144,171
Accumulated depreciation and amortization	(57,984)	(52,191)
Total property, plant and equipment, net	99,883	91,980
Land and building [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	50,340	50,344
Machinery and equipment [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	66,899	56,924
Furniture and fixtures [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	3,332	2,949
Computer equipment and software [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	16,141	15,415
Leasehold improvements [Member]
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	$ 21,155	$ 18,539

Balance Sheet Details - Sched_3

Balance Sheet Details - Schedule of Other Assets (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Other Assets [Abstract]
Operating lease right-of-use assets	$ 17,806	$ 20,746
Other	1,448	4,479
Total other assets	$ 19,254	$ 25,225

Balance Sheet Details - Sched_4

Balance Sheet Details - Schedule of Accrued Liabilities (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Accrued Liabilities, Current [Abstract]
Payroll and related expenses	$ 25,323	$ 36,529
Warranty	9,110	10,890
Other	1,534	1,417
Total accrued liabilities	$ 35,967	$ 48,836

Balance Sheet Details - Sched_5

Balance Sheet Details - Schedule of Other Current Liabilities (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Other Liabilities, Current [Abstract]
Customer deposits	$ 10,325	$ 12,482
Current operating lease obligations	5,966	5,678
Income tax payable	1,899	1,910
Accrued professional fees	1,041	968
Other	8,072	5,995
Total other current liabilities	$ 27,303	$ 27,033

Balance Sheet Details - Sched_6

Balance Sheet Details - Schedule of Other Non-Current Liabilities (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Other Liabilities, Noncurrent [Abstract]
Non-current operating lease obligations	$ 13,317	$ 16,345
Unrecognized tax benefits (including interest)	$ 8,764	$ 7,693
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]	Total other non-current liabilities	Total other non-current liabilities
Deferred revenue	$ 3,189	$ 2,852
Other	1,940	3,623
Total other non-current liabilities	$ 27,210	$ 30,513

Commitments and Contingencies -

Commitments and Contingencies - Textual (Details)	6 Months Ended
	Jul. 01, 2023 USD ($)
Commitments And Contingencies [Line Items]
Sold receivables amount	$ 8,061,000
Due from unrelated third parties	0
Liabilities recorded for obligations	$ 0
Percentage of maximum borrowing capacity of value of eligible securities	70%
Available line of credit	$ 100,000,000
Available interest rate on line of credit	6.80%
Minimum [Member]
Commitments And Contingencies [Line Items]
Warranty period	12 months
Maximum [Member]
Commitments And Contingencies [Line Items]
Warranty period	14 months

Commitments and Contingencies_2

Commitments and Contingencies - Schedule of Changes in Warranty Reserves (Details) - USD ($) $ in Thousands	6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022
Commitments and Contingencies Disclosure [Abstract]
Balance, beginning of the period	$ 11,830	$ 9,682
Accruals	4,659	7,392
Usage	(6,708)	(5,859)
Balance, end of the period	$ 9,781	$ 11,215

Revenue - Schedule of Disaggreg

Revenue - Schedule of Disaggregation of Revenue by Timing of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Disaggregation Of Revenue [Line Items]
Total revenue	$ 190,662	$ 256,310	$ 389,827	$ 497,660
Transferred at Point in Time [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	178,325	244,466	364,699	474,436
Transferred Over Time [Member]
Disaggregation Of Revenue [Line Items]
Total revenue	$ 12,337	$ 11,844	$ 25,128	$ 23,224

Revenue - Additional Informatio

Revenue - Additional Information (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Revenue from Contract with Customer [Abstract]
Long-term deferred revenue	$ 3,189	$ 2,852

Revenue - Schedule of Changes i

Revenue - Schedule of Changes in Deferred Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Deferred Revenue Disclosure [Abstract]
Balance, beginning of the period	$ 30,383	$ 38,599	$ 33,014	$ 31,672
Deferral of revenue	18,214	21,557	34,290	45,057
Recognition of deferred revenue	(21,341)	(25,725)	(40,048)	(42,298)
Balance, end of the period	$ 27,256	$ 34,431	$ 27,256	$ 34,431

Share-Based Compensation - Summ

Share-Based Compensation - Summary of Restricted Stock Unit Activity (Details) - Restricted Stock Units (RSUs) [Member]	6 Months Ended
	Jul. 01, 2023 $ / shares shares
Activity for RSUs [Roll Forward]
Number of Shares, Beginning balance (in shares) | shares	743,000
Number of Shares, Granted (in shares) | shares	312,000
Number of Shares, Vested (in shares) | shares	(386,000)
Number of Shares, Forfeited (in shares) | shares	(31,000)
Number of Shares, Ending balance (in shares) | shares	638,000
Weighted Average Grant Date Fair Value for RSUs [Roll Forward]
Weighted Average Grant Date Fair Value, Beginning balance (in dollars per share) | $ / shares	$ 69.01
Weighted Average Grant Date Fair Value, Granted (in dollars per share) | $ / shares	88.06
Weighted Average Grant Date Fair Value, Vested (in dollars per share) | $ / shares	58.56
Weighted Average Grant Date Fair Value, Forfeited (in dollars per share) | $ / shares	81.36
Weighted Average Grant Date Fair Value, Ending balance (in dollars per share) | $ / shares	$ 84.05

Share-Based Compensation - Text

Share-Based Compensation - Textual (Details) - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended	12 Months Ended
	Jul. 01, 2023	Dec. 31, 2022
Restricted Stock Units (RSUs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of nonvested shares outstanding	638,000	743,000
Weighted average grant-date fair value per share	$ 84.05	$ 69.01
Total unrecognized compensation cost related to restricted stock units granted	$ 38,787	$ 28,653
Unrecognized compensation cost related to restricted stock units, weighted average period	1 year 9 months 18 days	1 year 6 months
Restricted Stock Units, Service-Based RSUs [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of nonvested shares outstanding	540,000
Performance Restricted Stock Units (PRSUs) [Member]
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of nonvested shares outstanding	98,000
Weighted average grant-date fair value per share	$ 100.79	$ 85.49

Other Expense, Net - Schedule o

Other Expense, Net - Schedule of Other Expense, Net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Other Income Expense [Abstract]
Foreign currency exchange losses, net	$ (1,800)	$ (811)	$ (2,107)	$ (1,025)
Other	90	(48)	116	(38)
Total other expense, net	$ (1,710)	$ (859)	$ (1,991)	$ (1,063)

Income Taxes - Details of Incom

Income Taxes - Details of Income Tax (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Income Tax Disclosure [Abstract]
Income before income taxes	$ 27,855	$ 57,253	$ 60,057	$ 116,170
Provision for income taxes	$ 1,959	$ 5,678	$ 5,093	$ 11,265
Effective tax rate	7%	10%	8%	10%

Income Taxes - Textual (Details

Income Taxes - Textual (Details) - USD ($) $ in Thousands	Jul. 01, 2023	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Deferred tax assets, valuation allowance	$ 11,772	$ 11,772

Earnings Per Share - Schedule o

Earnings Per Share - Schedule of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended				6 Months Ended
	Jul. 01, 2023	Apr. 01, 2023	Jul. 02, 2022	Apr. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Earnings Per Share [Abstract]
Net income	$ 25,896	$ 29,068	$ 51,575	$ 53,330	$ 54,964	$ 104,905
Basic earnings per share - weighted average shares outstanding	48,976		49,617		48,865	49,525
Employee stock options, employee stock purchase grants and restricted stock units - dilutive shares	298		290		310	384
Diluted earnings per share - weighted average shares outstanding	49,274		49,907		49,175	49,909
Earnings per share:
Basic	$ 0.53		$ 1.04		$ 1.12	$ 2.12
Diluted	$ 0.53		$ 1.03		$ 1.12	$ 2.1

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) - Components of Accumulated Other Comprehensive Loss, Net of Tax (Details) $ in Thousands	6 Months Ended
	Jul. 01, 2023 USD ($)
Accumulated Other Comprehensive Income Loss [Line Items]
Balance - Beginning Balance	$ 1,596,426
Balance - Ending Balance	1,656,714
Accumulated Foreign Currency Translation Adjustments [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Balance - Beginning Balance	(7,115)
Net current period other comprehensive income	(1,908)
Reclassifications	0
Balance - Ending Balance	(9,023)
Accumulated Net Unrealized Losses on Available-for-sale Marketable Securities [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Balance - Beginning Balance	(2,895)
Net current period other comprehensive income	1,229
Reclassifications	0
Balance - Ending Balance	(1,666)
Accumulated Other Comprehensive Income (Loss) [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Balance - Beginning Balance	(10,010)
Net current period other comprehensive income	(679)
Reclassifications	0
Balance - Ending Balance	$ (10,689)

Accumulated Other Comprehensi_4

Accumulated Other Comprehensive Income (Loss) - Additional Information (Details) $ in Thousands	6 Months Ended
	Jul. 01, 2023 USD ($)
Accumulated Other Comprehensive Loss [Abstract]
Tax Effect Marketable Securities	$ 264

Segment Reporting and Geograp_3

Segment Reporting and Geographic Information - Additional Information (Details)	6 Months Ended
	Jul. 01, 2023 Segment
Segment Reporting [Abstract]
Number of reportable segments	1

Segment Reporting and Geograp_4

Segment Reporting and Geographic Information - Schedule of Revenue from External Customers by Products and Services (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Segment Reporting Information [Line Items]
Total revenue	$ 190,662	$ 256,310	$ 389,827	$ 497,660
Sales [Member] | Product [Member]
Segment Reporting Information [Line Items]
Concentration risk, percentage	100%	100%	100%	100%
Systems and Software [Member]
Segment Reporting Information [Line Items]
Total revenue	$ 159,353	$ 220,786	$ 326,177	$ 430,170
Systems and Software [Member] | Sales [Member] | Product [Member]
Segment Reporting Information [Line Items]
Concentration risk, percentage	83%	86%	84%	86%
Parts Revenue [Member]
Segment Reporting Information [Line Items]
Total revenue	$ 18,142	$ 22,756	$ 38,565	$ 42,613
Parts Revenue [Member] | Sales [Member] | Product [Member]
Segment Reporting Information [Line Items]
Concentration risk, percentage	10%	9%	10%	9%
Service Revenue [Member]
Segment Reporting Information [Line Items]
Total revenue	$ 13,167	$ 12,768	$ 25,085	$ 24,877
Service Revenue [Member] | Sales [Member] | Product [Member]
Segment Reporting Information [Line Items]
Concentration risk, percentage	7%	5%	6%	5%

Segment Reporting and Geograp_5

Segment Reporting and Geographic Information - Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022	Jul. 01, 2023	Jul. 02, 2022
Segment Reporting Information [Line Items]
Total revenue	$ 190,662	$ 256,310	$ 389,827	$ 497,660
South Korea [Member]
Segment Reporting Information [Line Items]
Total revenue	37,840	68,881	83,313	130,016
China [Member]
Segment Reporting Information [Line Items]
Total revenue	41,957	67,619	78,509	131,013
United States [Member]
Segment Reporting Information [Line Items]
Total revenue	33,237	31,073	73,951	57,874
Taiwan [Member]
Segment Reporting Information [Line Items]
Total revenue	31,013	48,456	57,718	101,848
Southeast Asia [Member]
Segment Reporting Information [Line Items]
Total revenue	25,680	10,444	42,980	19,669
Japan [Member]
Segment Reporting Information [Line Items]
Total revenue	13,732	10,789	28,235	19,764
Europe [Member]
Segment Reporting Information [Line Items]
Total revenue	$ 7,203	$ 19,048	$ 25,121	$ 37,476

Segment Reporting and Geograp_6

Segment Reporting and Geographic Information - Schedule of Revenue by Major Customer by Reporting Segments (Details) - Customer Concentration Risk - Sales [Member]	6 Months Ended
	Jul. 01, 2023	Jul. 02, 2022
Taiwan Semiconductor Manufacturing Co. Ltd. [Member]
Concentration Risk [Line Items]
Customer concentration risk percentage	13%	15%
SK Hynix Inc. [Member]
Concentration Risk [Line Items]
Customer concentration risk percentage	2%	17%
Samsung Semiconductor [Member]
Concentration Risk [Line Items]
Customer concentration risk percentage	21%	11%

Share Repurchase Authorization

Share Repurchase Authorization - Textual (Details) - USD ($) shares in Thousands	3 Months Ended	6 Months Ended
	Jul. 01, 2023	Jul. 01, 2023	Nov. 30, 2020
Shares Repurchase Authorization [Line Items]
Purchases and retirement of common stock (in shares)	0	46
Amount available for future repurchase	$ 31,577,000	$ 31,577,000
Maximum [Member]
Shares Repurchase Authorization [Line Items]
Stock repurchase, authorized amount			$ 100,000,000

Disclosure - Restructuring (Add

Disclosure - Restructuring (Additional Information) (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jul. 01, 2023	Jul. 01, 2023
Restructuring Charges [Abstract]
Restructuring cost in cost of goods sold	$ 0	$ 2,279
Restructuring costs in operating expenses	$ 1,192	$ 3,226