Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jun. 30, 2015 | Jul. 27, 2015 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | APPLIED MICRO CIRCUITS CORP | |
Entity Central Index Key | 711,065 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --03-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 81,530,580 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | [1] |
Current assets: | |||
Cash and cash equivalents | $ 44,290 | $ 36,495 | |
Short-term investments | 32,326 | 38,863 | |
Accounts receivable, net | 11,526 | 12,407 | |
Inventories | 19,803 | 23,514 | |
Other current assets | 15,665 | 16,840 | |
Total current assets | 123,610 | 128,119 | |
Property and equipment, net | 15,227 | 16,749 | |
Goodwill | 11,425 | 11,425 | |
Other assets | 1,173 | 2,570 | |
Total assets | 151,435 | 158,863 | |
Current liabilities: | |||
Accounts payable | 10,473 | 13,896 | |
Accrued payroll and other accrued liabilities | 4,486 | 3,770 | |
Veloce accrued liability | 8,051 | 5,742 | |
Other accrued liabilities | 8,203 | 7,644 | |
Deferred revenue | 422 | 415 | |
Total current liabilities | 31,635 | 31,467 | |
Non-current liabilities | $ 1,004 | $ 4,291 | |
Commitments and contingencies (Note 7) | |||
Stockholders’ equity: | |||
Preferred stock, $0.01 par value: Authorized shares - 2,000, none issued and outstanding | $ 0 | $ 0 | |
Common stock, $0.01 par value: Authorized shares - 375,000 at June 30, 2015 and March 31, 2015; Issued and outstanding shares - 81,519 at June 30, 2015 and 80,816 at March 31, 2015 | 814 | 808 | |
Additional paid-in capital | 6,037,482 | 6,032,604 | |
Accumulated other comprehensive loss | (9,275) | (7,486) | |
Accumulated deficit | (5,910,225) | (5,902,821) | |
Total stockholders’ equity | 118,796 | 123,105 | |
Total liabilities and stockholders’ equity | $ 151,435 | $ 158,863 | |
[1] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2015 | Mar. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in Dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (shares) | 2,000,000 | 2,000,000 |
Preferred stock, shares issued (shares) | 0 | 0 |
Preferred stock, shares outstanding (shares) | 0 | 0 |
Common stock, par value (in Dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (shares) | 375,000,000 | 375,000,000 |
Common stock, shares issued (shares) | 79,136,000 | 77,677,000 |
Common stock, shares outstanding (shares) | 79,136,000 | 77,677,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | ||
Income Statement [Abstract] | |||
Net revenues | $ 37,813 | $ 50,272 | |
Cost of revenues | 16,806 | 20,257 | |
Gross profit | 21,007 | 30,015 | |
Operating expenses: | |||
Research and development | 21,617 | 33,205 | |
Selling, general and administrative | 8,764 | 9,058 | |
Amortization of purchased intangible assets | 0 | 62 | |
Restructuring | 96 | 1,211 | |
Total operating expenses | 30,477 | 43,536 | |
Operating loss | (9,470) | (13,521) | |
Realized gain on short-term investments and interest income, net | 1,619 | 336 | |
Other income (expense), net | 25 | (21) | |
Loss before income taxes | (7,826) | (13,206) | |
Income tax benefit | (422) | (141) | |
Net loss | $ (7,404) | $ (13,065) | [1] |
Basic and diluted net loss per share (in dollars per share) | $ (0.09) | $ (0.17) | |
Shares used in calculating basic and diluted net loss per share (in Shares) | 81,179 | 77,916 | |
[1] | The Statement of Cash Flows for the three months ended June 30, 2014 reflects an immaterial revision to correct outstanding payables related to purchases of property and equipment previously included in net cash used for investing activities to net cash used for operating activities. As a result, net cash used for operating activities increased by $0.3 million and net cash used for investing activities decreased by the corresponding amount. |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Loss (unaudited) - USD ($) | 3 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | |||
Statement of Comprehensive Income [Abstract] | ||||
Net loss | $ (7,404,000) | $ (13,065,000) | [1] | |
Other comprehensive loss, net of tax: | ||||
Unrealized (loss) gain on investments | [2] | (1,653,000) | 467,000 | |
Loss on foreign currency translation | (137,000) | (88,000) | ||
Other comprehensive (loss) gain, net of tax | (1,790,000) | 379,000 | ||
Total comprehensive loss | (9,194,000) | (12,686,000) | ||
Reclassification adjustment from AOCI to earnings, short term investments | $ (1,400,000) | $ 0 | ||
[1] | The Statement of Cash Flows for the three months ended June 30, 2014 reflects an immaterial revision to correct outstanding payables related to purchases of property and equipment previously included in net cash used for investing activities to net cash used for operating activities. As a result, net cash used for operating activities increased by $0.3 million and net cash used for investing activities decreased by the corresponding amount. | |||
[2] | The amounts reclassified from accumulated other comprehensive loss and recorded in net realized gain on short-term investments and interest income, net in the Condensed Consolidated Statement of Operations relating to sale of short-term investments were $1.4 million and zero for the three months ended June 30, 2015 and 2014, respectively. Refer to Note 2, Certain Financial Statement Information, to the Condensed Consolidated Financial Statements for additional details. |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | [1] | ||
Adjustments to reconcile net loss to net cash provided by (used for) operating activities: | ||||
Net loss | $ (7,404) | $ (13,065) | ||
Depreciation | 1,838 | 2,174 | ||
Amortization of purchased intangible assets | 0 | 62 | ||
Stock-based compensation expense | 6,092 | 5,216 | ||
Veloce acquisition consideration | 0 | 7,140 | ||
Gain (Loss) on Sale of Short-term Investments and Disposal of Long-lived Assets | 1,455 | (16) | ||
Tax effect on other comprehensive loss | 0 | (194) | ||
Changes in operating assets and liabilities: | ||||
Accounts receivable | 882 | 2,246 | ||
Inventories | 3,723 | (1,745) | ||
Other assets | 2,464 | 1,942 | ||
Accounts payable | (3,453) | (6,479) | ||
Accrued payroll and other accrued liabilities | 220 | 1,663 | ||
Veloce accrued liability | (65) | (6,383) | ||
Deferred revenue | 7 | 502 | ||
Net cash provided by (used for) operating activities | 2,849 | (6,905) | ||
Investing activities: | ||||
Proceeds from sales and maturities of short-term investments | 7,444 | 682 | ||
Purchases of short-term investments | (1,129) | (1,320) | ||
Proceeds from sale of property and equipment | 25 | 0 | ||
Purchases of property and equipment | (315) | (4,264) | ||
Proceeds from sale of TPack | 0 | 3,353 | ||
Net cash provided by (used for) investing activities | 6,025 | (1,549) | ||
Financing activities: | ||||
Proceeds from issuance of common stock | 133 | 106 | ||
Funding of restricted stock units withheld for taxes | (1,212) | (924) | ||
Net cash used for financing activities | (1,079) | (818) | ||
Net increase (decrease) in cash and cash equivalents | 7,795 | (9,272) | ||
Cash and cash equivalents at beginning of year | 36,495 | [2] | 71,539 | |
Cash and cash equivalents at end of period | 44,290 | 62,267 | ||
Supplementary cash flow disclosures: | ||||
Cash paid for income taxes | $ 145 | $ 226 | ||
[1] | The Statement of Cash Flows for the three months ended June 30, 2014 reflects an immaterial revision to correct outstanding payables related to purchases of property and equipment previously included in net cash used for investing activities to net cash used for operating activities. As a result, net cash used for operating activities increased by $0.3 million and net cash used for investing activities decreased by the corresponding amount. | |||
[2] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows (Unaudited) Parenthetical - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2014 | ||
Prior Period Adjustments Restatement [Line Items] | ||
Net cash provided by (used for) operating activities | [1] | $ (6,905) |
Net cash provided by (used for) investing activities | [1] | (1,549) |
Restatement Adjustment [Member] | ||
Prior Period Adjustments Restatement [Line Items] | ||
Net cash provided by (used for) operating activities | 300 | |
Net cash provided by (used for) investing activities | $ (300) | |
[1] | The Statement of Cash Flows for the three months ended June 30, 2014 reflects an immaterial revision to correct outstanding payables related to purchases of property and equipment previously included in net cash used for investing activities to net cash used for operating activities. As a result, net cash used for operating activities increased by $0.3 million and net cash used for investing activities decreased by the corresponding amount. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The Condensed Consolidated Financial Statements include all the accounts of Applied Micro Circuits Corporation (the "Company") and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The Company prepared the accompanying unaudited Condensed Consolidated Financial Statements pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). In management’s opinion, the unaudited Condensed Consolidated Financial Statements reflect all adjustments (consisting only of normal recurring adjustments) necessary to fairly present the Company's financial position, results of operations and cash flows. Interim period operating results do not necessarily indicate the results that may be expected for any other interim period or for the full fiscal year. The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements as of that date but does not include all disclosures required by U.S. generally accepted accounting principles, or GAAP. These financial statements and accompanying notes should be read in conjunction with the Consolidated Financial Statements and notes thereto in the Company's Annual Report on Form 10-K for the fiscal year ended March 31, 2015. Use of Estimates The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of net revenue and expenses in the reporting period. The Company regularly evaluates estimates and assumptions related to its: • capitalized mask sets including their useful lives, which affect cost of goods sold and property and equipment or Research and Development ("R&D") expenses, if not capitalized; • inventory valuation, warranty liabilities and revenue reserves, which affect cost of sales, gross margin, and revenues; • allowance for doubtful accounts, which affects operating expenses; • unrealized losses or other-than-temporary impairments of short-term investments available for sale, which affect interest income (expense), net; • valuation of other long-lived assets and goodwill, which affects depreciation and impairment of long-lived assets, impairment of goodwill and apportionment of goodwill related to divestitures; • potential costs of litigation, which affect operating expenses; • valuation of deferred income taxes, which affects income tax expense (benefit); and • stock-based compensation, which affects gross margin and operating expenses. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from management’s estimates. To the extent there are material differences between the estimates and actual results, future results of operations will be affected. New Accounting Pronouncements In August 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update ("ASU") No. 2014-15, "Presentation of Financial Statements-Going Concern, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern", which requires an entity's management to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date that the financial statements are issued or within one year after the date that the financial statements are available to be issued, when applicable. The standard is effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently evaluating this new standard, and after adoption, it will incorporate this guidance in its assessment of going concern. In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers", which will supersede most of the existing revenue recognition guidance under U.S. GAAP. This ASU requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This standard's effective date was for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. In July 2015, the FASB approved a one-year deferral of the effective date. Early adoption is not permitted but adoption on the original effective date is permitted. The ASU allows for either full retrospective or modified retrospective adoption. The Company is currently evaluating the potential effect of this ASU on its financial statements and related disclosures. |
Certain Financial Statement Inf
Certain Financial Statement Information | 3 Months Ended |
Jun. 30, 2015 | |
Certain Financial Statement Information [Abstract] | |
CERTAIN FINANCIAL STATEMENT INFORMATION | CERTAIN FINANCIAL STATEMENT INFORMATION Accounts receivable, net: June 30, March 31, (In thousands) Accounts receivable $ 11,803 $ 12,709 Less: allowance for bad debts (277 ) (302 ) $ 11,526 $ 12,407 Inventories: June 30, March 31, (In thousands) Finished goods $ 10,305 $ 15,310 Work in process 5,250 5,377 Raw materials 4,248 2,827 $ 19,803 $ 23,514 Other current assets: June 30, March 31, (In thousands) Prepaid expenses $ 13,790 $ 14,847 Executive deferred compensation assets 1,003 1,004 Other 872 989 $ 15,665 $ 16,840 Property and equipment: Useful Life June 30, March 31, (In years) (In thousands) Machinery and equipment 3-5 $ 38,895 $ 37,286 Leasehold improvements 1-5 7,526 9,909 Computers, office furniture and equipment 3-5 32,996 32,902 79,417 80,097 Less: accumulated depreciation and amortization (64,190 ) (63,348 ) $ 15,227 $ 16,749 Goodwill: June 30, March 31, (In thousands) Goodwill $ 11,425 $ 11,425 Other assets: June 30, March 31, (In thousands) Non-current portion of prepaid expenses $ 578 $ 1,974 Other 595 596 $ 1,173 $ 2,570 Other accrued liabilities: June 30, March 31, (In thousands) Employee related liabilities $ 1,383 $ 1,454 Executive deferred compensation 1,028 1,025 Income taxes 852 1,311 Professional fees 761 515 Other 4,179 3,339 $ 8,203 $ 7,644 Short-term investments: The following is a summary of cash, cash equivalents and available-for-sale investments by type of instrument (in thousands): June 30, 2015 March 31, 2015 Amortized Cost Gross Unrealized Estimated Fair Value Amortized Cost Gross Unrealized Estimated Fair Value Gains Losses Gains Losses Cash $ 35,209 $ — $ — $ 35,209 $ 33,936 $ — $ — $ 33,936 Cash equivalents 9,081 — — 9,081 2,559 — — 2,559 U.S. Treasury securities and agency bonds 985 — — 985 1,230 — — 1,230 Corporate bonds 10,918 17 (13 ) 10,922 10,772 28 (6 ) 10,794 Mortgage-backed securities — 6 — 6 — 15 — 15 Municipal bonds 267 — — 267 — — — — Mutual funds 19,849 391 (110 ) 20,130 24,895 1,955 (59 ) 26,791 Preferred stock 5 11 — 16 11 22 — 33 $ 76,314 $ 425 $ (123 ) $ 76,616 $ 73,403 $ 2,020 $ (65 ) $ 75,358 Reported as: Cash and cash equivalents $ 44,290 $ 36,495 Short-term investments available-for-sale 32,326 38,863 $ 76,616 $ 75,358 The established guidelines for measuring fair value and expanded disclosures regarding fair value measurements are defined as a three-level valuation hierarchy for disclosure of fair value measurements as follows: Level 1 — Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2 — Inputs (other than quoted market prices included in Level 1) are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the instrument’s anticipated life. Level 3 — Inputs reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model. Valuation of instruments includes unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of assets or liabilities. The following is a summary of cash, cash equivalents and available-for-sale investments by type of instrument measured at fair value on a recurring basis (in thousands): June 30, 2015 March 31, 2015 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash $ 35,209 $ — $ — $ 35,209 $ 33,936 $ — $ — $ 33,936 Cash equivalents 9,081 — — 9,081 2,559 — — 2,559 U.S. Treasury securities and agency bonds 985 — — 985 1,230 — — 1,230 Corporate bonds — 10,922 — 10,922 — 10,794 — 10,794 Mortgage-backed securities — 6 — 6 — 15 — 15 Municipal bonds 267 — — 267 — — — — Mutual funds 20,130 — — 20,130 26,791 — — 26,791 Preferred stock — 16 — 16 — 33 — 33 $ 65,672 $ 10,944 $ — $ 76,616 $ 64,516 $ 10,842 $ — $ 75,358 There were no significant transfers in and out of Level 1 and Level 2 fair value measurement categories during the three months ended June 30, 2015 and 2014 . The following is a summary of the cost and estimated fair values of available-for-sale securities with stated maturities, which include U.S. Treasury securities and agency bonds, corporate bonds and mortgage-backed securities, by contractual maturity (in thousands): June 30, 2015 Cost Estimated Fair Value Less than 1 year $ 3,546 $ 3,552 Mature in 1 – 2 years 7,518 7,519 Mature in 3 – 5 years 839 836 Mature after 5 years — 6 $ 11,903 $ 11,913 The following is a summary of gross unrealized losses (in thousands): As of June 30, 2015 Less Than 12 Months of Unrealized Losses 12 Months or More of Unrealized Losses Total Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Corporate bonds $ 3,502 $ (13 ) $ — $ — $ 3,502 $ (13 ) Mutual funds 2,186 (58 ) 421 (52 ) 2,607 (110 ) $ 5,688 $ (71 ) $ 421 $ (52 ) $ 6,109 $ (123 ) As of March 31, 2015 Less Than 12 Months of Unrealized Losses 12 Months or More of Unrealized Losses Total Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Corporate bonds $ 878 $ (6 ) $ — $ — $ 878 $ (6 ) Mutual funds 14,592 (17 ) 475 (42 ) 15,067 (59 ) $ 15,470 $ (23 ) $ 475 $ (42 ) $ 15,945 $ (65 ) Other-Than-Temporary Impairment Based on an evaluation of securities that have been in a continuous loss position, the Company did not recognize any other-than-temporary impairment charges for the three months ended June 30, 2015 and 2014 . The Company considered various factors which included a credit and liquidity assessment of the underlying securities and the Company’s intent and ability to hold the underlying securities until the estimated date of recovery of its amortized cost. Warranty reserves: The Company's products typically carry a one-year warranty. The Company establishes reserves for estimated product warranty costs at the time revenue is recognized. Although the Company engages in extensive product quality programs and processes, its warranty obligation is affected by product failure rates, use of materials, and service delivery costs incurred in correcting any product failure. Should actual product failure rates, use of materials or service delivery costs differ from the Company’s estimates, additional warranty reserves could be required, which could reduce its gross margin. The following table summarizes warranty reserve activity (in thousands): Three months ended June 30, 2015 2014 Beginning balance $ 194 $ 199 Additions during the period 57 — Settlements and expirations (28 ) (15 ) Change in estimates (1 ) (7 ) Ending balance $ 222 $ 177 Net realized gain (loss) on short-term investments and interest income, net (in thousands): Three months ended June 30, 2015 2014 Net realized gain (loss) on short-term investments $ 1,430 $ (5 ) Interest income, net 189 341 $ 1,619 $ 336 Net loss per share: Shares used in basic net loss per share are computed using the weighted average number of common shares outstanding during each period. Shares used in diluted net loss per share include the dilutive effect of common shares potentially issuable upon the exercise of stock options and vesting of restricted stock units ("RSUs"). The reconciliation of shares used to calculate basic and diluted net loss per share consists of the following (in thousands, except per share data): Three months ended June 30, 2015 2014 Net loss $ (7,404 ) $ (13,065 ) Shares used in net loss per share computation: Weighted average common shares outstanding, basic 81,179 77,916 Net effect of dilutive common share equivalents — — Weighted average common shares outstanding, diluted 81,179 77,916 Basic and diluted net loss per share $ (0.09 ) $ (0.17 ) The effect of dilutive securities (comprised of options and RSUs) totaling 0.7 million and 1.2 million shares for the three months ended June 30, 2015 and 2014 , respectively, has been excluded from the diluted net loss per share computation since the Company incurred net losses in the periods presented and their effect would be antidilutive. |
Restructuring Charges
Restructuring Charges | 3 Months Ended |
Jun. 30, 2015 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING CHARGES | RESTRUCTURING CHARGES In January 2015, the Company implemented a restructuring plan to reorganize its operations and reduce its workforce and related operating expenses in order to increase its operating efficiencies. This plan eliminated approximately 40 positions, or approximately 7% , of headcount. The Company incurred cumulative restructuring charges of $4.2 million , of which $0.1 million was incurred during the three months ended June 30, 2015 . The Company expects to incur the remaining $0.1 million during fiscal 2016. The Company anticipates that the restructuring plan will reduce its ongoing net operating expenses by approximately $14.0 million to $18.0 million annually. The following table sets forth a summary of restructuring activities related to the Company's restructuring plan described above (in thousands): Workforce Reduction Operating Lease Commitments Other Total Liability, March 31, 2015 $ 449 $ 113 $ 15 $ 577 Restructuring charges 94 — 2 96 Cash payments (228 ) (18 ) (9 ) (255 ) Non-cash items $ 6 $ 12 $ — $ 18 Liability, June 30, 2015 $ 321 $ 107 $ 8 $ 436 |
Veloce
Veloce | 3 Months Ended |
Jun. 30, 2015 | |
Variable Interest Entity, Measure of Activity [Abstract] | |
VELOCE | VELOCE In June 2012, the Company completed its acquisition of Veloce Technologies, Inc. ("Veloce") which had been developing specific ARM-based technology for the Company. The total purchase consideration for Veloce was $178.5 million , the payment of which has been subject to the completion of certain development milestones and vesting requirements. For accounting purposes, the costs incurred in connection with the development milestones relating to Veloce are considered compensatory and are recognized as R&D expense in the Condensed Consolidated Statements of Operations. Veloce completed the milestones as of March 31, 2014 and the total consideration of $178.5 million has been recognized as R&D expense as of March 31, 2015. R&D expenses recognized related to Veloce were zero and $7.1 million during the three months ended June 30, 2015 and 2014 , respectively. During the three months ended June 30, 2015 and 2014 , as part of the above arrangement, the Company paid $0.1 million and $6.4 million , respectively, in cash and issued 163,000 shares and 38,000 shares, respectively, valued at $0.9 million and $0.3 million , respectively. As of June 30, 2015 , $169.9 million of the total Veloce consideration has been paid and the Company expects that an additional $2.0 million will be paid in cash and stock by September 30, 2015 . The $169.9 million paid to date includes $89.4 million in cash and the issuance of 10.9 million shares of common stock valued at $80.5 million . The consideration not yet paid of $8.6 million as of June 30, 2015 can be settled in cash or common stock (or a combination of cash and stock) at the Company's election and is classified as long-term if payments of the consideration are expected to occur beyond a 12 month period. |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
STOCKHOLDERS' EQUITY | STOCKHOLDERS’ EQUITY Stock Options The Company has granted stock options to employees and non-employee directors under several plans. These option plans include two stockholder-approved plans (1992 Stock Option Plan and 2011 Equity Incentive Plan) and one plan not approved by stockholders (2000 Equity Incentive Plan). Certain other outstanding options were assumed through the Company’s various acquisitions. A summary of the Company's stock option activity and related information during the three months ended June 30, 2015 is as follows: Number of Shares (thousands) Weighted Average Exercise Price Per Share Weighted-Average Remaining Contractual Term (years) Aggregate Intrinsic Value (millions) Outstanding at the beginning of the year 1,794 $ 9.15 Granted — — Exercised (25 ) $ 5.23 — (1 ) Cancelled (56 ) $ 10.99 Outstanding at the end of the period 1,713 $ 9.15 1.6 $ 0.1 (2 ) Vested and expected to vest at the end of the period 1,713 $ 9.15 1.6 $ 0.1 (2 ) Vested and exercisable at the end of the period 1,713 $ 9.15 1.6 $ 0.1 (2 ) (1) The aggregate pre-tax intrinsic value is calculated as the difference between the market value on the date of exercise and the exercise price of the shares. (2) The aggregate pre-tax intrinsic value is calculated as the difference between the market value as of the end of the first quarter 2015 and the exercise price of the shares. The closing price of the Company’s common stock was $6.75 per share on June 30, 2015 . Restricted Stock Units The Company has granted RSUs to employees and non-employee directors pursuant to its 1992 Plan and 2011 Equity Incentive Plan. RSUs are share awards that, upon vesting, will deliver to the holder shares of the Company’s common stock. Generally, RSUs vest ratably on a quarterly basis over four years from the date of grant. For new employees hired, RSUs will vest on a quarterly basis over four years provided that no shares will vest during the first year of employment, at the end of which the shares that would have vested during that year will vest and the remaining shares will vest over the remaining 12 quarters. In May and November 2013 and May and October 2014, the Compensation Committee (the "Committee") authorized market-performance based RSUs ("MSUs"). The MSUs will be earned, if at all, based on the Company's Total Shareholder Return (“TSR”) compared to that of the SPDR S&P Semiconductor Index ("Index”) over a two -year performance period for half of the MSU award and a three -year performance period for the remaining half of the MSU award. The MSUs will vest between ranges of 0% and 150% based on the Company's relative TSR compared to the Index. Total grant-date fair value of these MSUs was $4.5 million , of which $1.3 million expired unvested as of June 30, 2015 . In March 2015, the Committee authorized an incentive compensation program with respect to fiscal 2016 (the “Incentive Compensation Program”). Total cash value of the Incentive Compensation Program was $6.6 million as of June 30, 2015 , of which $1.7 million was recognized during the three months ended June 30, 2015 . Awards under the Incentive Compensation Program pay out in fully vested shares of common stock on a quarterly basis over a one -year period. In May 2015 , the Committee authorized an annual incentive compensation plan with respect to fiscal 2016 (the “FY2016 Short-Term Incentive Plan”). The FY2016 Short-Term Incentive Plan will pay out based on our actual performance as measured against revenue. The award payouts range from 50% to 150% of the pre-established target level based on the Company's actual performance for fiscal 2016. Awards under the FY2016 Short-Term Incentive Plan will be payable, if at all, in fully vested shares of common stock or cash on May 16, 2016. RSU activity during the three months ended June 30, 2015 is set forth below (in thousands): Number of Shares Outstanding at the beginning of the year 4,328 Awarded 708 Vested (712 ) Cancelled (327 ) Outstanding at the end of the period 3,997 The weighted average remaining contractual term for the RSUs outstanding as of June 30, 2015 was 1.3 years. As of June 30, 2015 , the aggregate pre-tax intrinsic value of RSUs outstanding including performance-based awards which are subject to milestone attainment was $27.0 million . The aggregate pretax intrinsic value was calculated based on the closing price of the Company’s common stock of $6.75 on June 30, 2015 . The aggregate pre-tax intrinsic value of RSUs vested during the three months ended June 30, 2015 was $4.4 million . This intrinsic value represents the fair market value of the Company’s common stock on the date of release. Employee Stock Purchase Plan Under the Company's 2012 Employee Stock Purchase Plan, or ESPP, the Company reserved 1.8 million shares for issuance. In August 2014, the Company’s stockholders approved a proposal to reserve an additional 2.0 million shares under the ESPP. Under the terms of the ESPP, eligible employees are entitled to purchase common stock, on a semi-annual basis, at a purchase price equal to 85% of the fair market value of the common stock on the first or last day of the offering period, whichever is lower. During the three months ended June 30, 2015 and 2014 , no shares were issued under the ESPP. At June 30, 2015 , 1.8 million shares were available for future issuance under the ESPP. |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION Stock-based compensation cost is measured at the grant date based on the fair value of the award. The fair value of RSUs is estimated using the Company's stock price on the grant date. The fair value of options and employee stock purchase rights is estimated using the Black-Scholes model on the grant date. The Black-Scholes model determines the fair value of share-based payment awards based on assumptions including the Company's stock price on the date of grant, volatility over the term of the awards, actual and projected employee stock option exercise behaviors and risk free interest rate. The MSUs were valued using the Monte Carlo pricing model, which uses the Company's stock price, the Index value, expected volatilities of the Company's stock price and the Index, correlation coefficients and risk free interest rates to determine the fair value. The Company did not grant options or employee stock purchase rights during the three months ended June 30, 2015 and 2014 . The weighted average grant-date fair value per share of the RSUs awarded was $6.09 and $8.85 during the three months ended June 30, 2015 and 2014 , respectively. The weighted average grant-date fair value per share was calculated based on the fair market value of the Company’s common stock on the respective grant dates. During the first quarter of fiscal 2016, the Company revised the estimated forfeiture rate used in determining the amount of stock-based compensation from 6.1% to 7.4% , which the Company believes is indicative of the rate it will experience during the remaining vesting period of currently outstanding unvested grants. The following tables summarize the allocation of the stock-based compensation expense (in thousands): Stock-based compensation expense by type of grant: Three months ended June 30, 2015 2014 Stock options and stock purchase rights $ 207 $ 414 RSUs 5,897 4,784 6,104 5,198 Stock-based compensation (capitalized to) expensed from inventory (12 ) 18 Total stock-based compensation expense $ 6,092 $ 5,216 Stock-based compensation expense by cost centers: Three months ended June 30, 2015 2014 Cost of revenues $ 105 $ 29 Research and development 4,060 3,271 Selling, general and administrative 1,939 1,898 $ 6,104 $ 5,198 Stock-based compensation (capitalized to) expensed from inventory (12 ) 18 Total stock-based compensation expense $ 6,092 $ 5,216 As of June 30, 2015 , the amount of unrecognized stock-based compensation cost, net of estimated forfeitures, related to unvested stock options and unvested RSUs was $25.1 million which will be recognized over a weighted average period of 1.3 years . |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Jun. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Commitments The following table summarizes the Company's contractual operating leases and other purchase commitments as of June 30, 2015 (in thousands): Fiscal Years Ending March 31, Operating Leases Purchase Commitments * Total 2016 (remainder of year) $ 1,890 $ 18,635 $ 20,525 2017 2,240 3,440 5,680 2018 825 3,032 3,857 2019 467 — 467 Total minimum payments $ 5,422 $ 25,107 $ 30,529 * Includes open purchase orders with terms that generally allow us the option to cancel or reschedule the order, subject to various restrictions and limitations. Also includes the licensing fees relating to the Company's R&D efforts, including licensed intellectual property, or IP, technology, product design, test and verification tools, of $13.0 million . Legal Proceedings The Company is currently a party to certain legal proceedings, including those noted in this section. While the Company presently believes that the ultimate outcome of these proceedings, individually and in the aggregate, will not materially harm the Company's financial position, results of operations or cash flows, legal proceedings are subject to inherent uncertainties, unfavorable rulings or other events that could occur. In addition, legal proceedings are expensive to prosecute and defend against and can divert management attention and Company resources away from the Company's business objectives. Unfavorable resolutions could include monetary damages against the Company or injunctions or other restrictions on the conduct of the Company’s business, or preclude the Company from recovering the damages it seeks in legal proceedings it has commenced. It is also possible that the Company could conclude it is in the best interests of its stockholders, employees, and customers to settle one or more such matters, and any such settlement could include substantial payments or the surrender of rights to collect payments from third parties. However, the Company has not reached this conclusion with respect to any material matter at this time. In 1993, the Company was named as a Potentially Responsible Party (“PRP”) along with more than 100 other companies that used an Omega Chemical Corporation waste treatment facility in Whittier, California (the “Omega Site”). The U.S. Environmental Protection Agency (“EPA”) has alleged that Omega failed to properly treat and dispose of certain hazardous waste materials at the Omega Site. The Company is a member of a large group of PRPs, known as the Omega Chemical Site PRP Organized Group (“OPOG”), that has agreed to fund certain on-going remediation efforts at the Omega Site. In February 2001, the U.S. District Court for the Central District of California (the “Court”) approved a consent decree between EPA and OPOG to study the contamination and evaluate cleanup options at the Omega Site (the Operable Unit 1 or “OU1”). In January 2009, the Court approved two amendments to the consent decree, the first expanding the scope of work to mitigate volatile organic compounds affecting indoor air quality near the Omega Site (the Operable Unit 3 or “OU3”) and the second adding settling parties to the consent decree. Removal of waste materials from the Omega Site has been completed. As part of OU1 and OU3, efforts to remediate the soil and groundwater at the Omega Site, as well as the extraction of chemical vapors from the soil and improving indoor air quality in and around the site, are underway and are expected to be ongoing for several years. In addition, OPOG and EPA are investigating a regional groundwater contamination plume allegedly originating at the Omega Site (the Operable Unit 2 or “OU2”). In September 2011, EPA issued an interim Record of Decision specifying the interim clean-up actions EPA has chosen for OU2, and in September 2012, it issued a special notice letter that triggered the commencement of good faith settlement negotiations with OPOG. In November 2014, EPA submitted a term sheet, accepted by OPOG in December 2014, describing the settlement terms and remediation actions for OU2 that will be set forth in a final consent decree to be filed with the Court. It is anticipated that EPA and OPOG will finalize the remediation consent decree in fiscal year 2016. In December 2013, OPOG retained legal counsel to pursue claims against other PRPs for the regional groundwater contamination and, in December 2014, OPOG retained legal counsel to protect its interests in connection with the bankruptcy proceedings filed by an OPOG member. In November 2007, Angeles Chemical Company, located downstream from the Omega Site, filed a lawsuit (the “Angeles Litigation”) in the Court against OPOG and the PRPs for cost recovery and indemnification for future response costs allegedly resulting from the regional groundwater contamination plume described above. In March 2008, the Court granted OPOG’s motion to stay the Angeles Litigation pending EPA’s determination of how to investigate and remediate the regional groundwater. In January 2012, as a result of challenges made by certain PRPs to the criteria previously used to allocate liability among OPOG members, and of the departure of certain PRPs from OPOG, OPOG approved changes to the cost allocation structure that resulted in an increase to the Company’s proportional allocation of liability. In addition, the subsequent departure or bankruptcy of one or more other PRPs from OPOG could have the effect of increasing the proportional liability of the remaining PRPs, including the Company. Although the Company considers a loss relating to the Omega Site probable, its share of any financial obligations for the remediation of the Omega Site, including taking into account the allocation increases described above, is not currently believed to be material to the Company’s financial statements, based on the Company’s approximately 0.5% contribution to the total waste tonnage sent to the site and current estimates of the potential remediation costs. Based on currently available information, the Company has a loss accrual that is not material and believes that the actual amount of its costs will not be materially different from the amount accrued. However, proceedings are ongoing and the eventual outcome of the clean-up efforts and the pending litigation matters is uncertain at this time. Based on currently available information, the Company does not believe that any eventual outcome will have a material adverse effect on its operations. |
Summary of Significant Accoun15
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Jun. 30, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The Condensed Consolidated Financial Statements include all the accounts of Applied Micro Circuits Corporation (the "Company") and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The Company prepared the accompanying unaudited Condensed Consolidated Financial Statements pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). In management’s opinion, the unaudited Condensed Consolidated Financial Statements reflect all adjustments (consisting only of normal recurring adjustments) necessary to fairly present the Company's financial position, results of operations and cash flows. Interim period operating results do not necessarily indicate the results that may be expected for any other interim period or for the full fiscal year. The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements as of that date but does not include all disclosures required by U.S. generally accepted accounting principles, or GAAP. These financial statements and accompanying notes should be read in conjunction with the Consolidated Financial Statements and notes thereto in the Company's Annual Report on Form 10-K for the fiscal year ended March 31, 2015. |
Use of Estimates | Use of Estimates The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of net revenue and expenses in the reporting period. The Company regularly evaluates estimates and assumptions related to its: • capitalized mask sets including their useful lives, which affect cost of goods sold and property and equipment or Research and Development ("R&D") expenses, if not capitalized; • inventory valuation, warranty liabilities and revenue reserves, which affect cost of sales, gross margin, and revenues; • allowance for doubtful accounts, which affects operating expenses; • unrealized losses or other-than-temporary impairments of short-term investments available for sale, which affect interest income (expense), net; • valuation of other long-lived assets and goodwill, which affects depreciation and impairment of long-lived assets, impairment of goodwill and apportionment of goodwill related to divestitures; • potential costs of litigation, which affect operating expenses; • valuation of deferred income taxes, which affects income tax expense (benefit); and • stock-based compensation, which affects gross margin and operating expenses. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from management’s estimates. To the extent there are material differences between the estimates and actual results, future results of operations will be affected. |
New Accounting Pronouncements | New Accounting Pronouncements In August 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update ("ASU") No. 2014-15, "Presentation of Financial Statements-Going Concern, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern", which requires an entity's management to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date that the financial statements are issued or within one year after the date that the financial statements are available to be issued, when applicable. The standard is effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period. The Company is currently evaluating this new standard, and after adoption, it will incorporate this guidance in its assessment of going concern. In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers", which will supersede most of the existing revenue recognition guidance under U.S. GAAP. This ASU requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This standard's effective date was for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. In July 2015, the FASB approved a one-year deferral of the effective date. Early adoption is not permitted but adoption on the original effective date is permitted. The ASU allows for either full retrospective or modified retrospective adoption. The Company is currently evaluating the potential effect of this ASU on its financial statements and related disclosures. |
Certain Financial Statement I16
Certain Financial Statement Information (Tables) | 3 Months Ended |
Jun. 30, 2015 | |
Certain Financial Statement Information [Abstract] | |
Schedule of Accounts receivable | Accounts receivable, net: June 30, March 31, (In thousands) Accounts receivable $ 11,803 $ 12,709 Less: allowance for bad debts (277 ) (302 ) $ 11,526 $ 12,407 |
Schedule of Inventories | Inventories: June 30, March 31, (In thousands) Finished goods $ 10,305 $ 15,310 Work in process 5,250 5,377 Raw materials 4,248 2,827 $ 19,803 $ 23,514 |
Schedule of Other current assets | Other current assets: June 30, March 31, (In thousands) Prepaid expenses $ 13,790 $ 14,847 Executive deferred compensation assets 1,003 1,004 Other 872 989 $ 15,665 $ 16,840 |
Schedule of Property and equipment | Property and equipment: Useful Life June 30, March 31, (In years) (In thousands) Machinery and equipment 3-5 $ 38,895 $ 37,286 Leasehold improvements 1-5 7,526 9,909 Computers, office furniture and equipment 3-5 32,996 32,902 79,417 80,097 Less: accumulated depreciation and amortization (64,190 ) (63,348 ) $ 15,227 $ 16,749 |
Schedule of Goodwill | June 30, March 31, (In thousands) Goodwill $ 11,425 $ 11,425 |
Schedule of Other assets | Other assets: June 30, March 31, (In thousands) Non-current portion of prepaid expenses $ 578 $ 1,974 Other 595 596 $ 1,173 $ 2,570 |
Schedule of Other accrued liabilities | Other accrued liabilities: June 30, March 31, (In thousands) Employee related liabilities $ 1,383 $ 1,454 Executive deferred compensation 1,028 1,025 Income taxes 852 1,311 Professional fees 761 515 Other 4,179 3,339 $ 8,203 $ 7,644 |
Schedule of Cash, cash equivalents and available-for-sale investments by type of instruments | Short-term investments: The following is a summary of cash, cash equivalents and available-for-sale investments by type of instrument (in thousands): June 30, 2015 March 31, 2015 Amortized Cost Gross Unrealized Estimated Fair Value Amortized Cost Gross Unrealized Estimated Fair Value Gains Losses Gains Losses Cash $ 35,209 $ — $ — $ 35,209 $ 33,936 $ — $ — $ 33,936 Cash equivalents 9,081 — — 9,081 2,559 — — 2,559 U.S. Treasury securities and agency bonds 985 — — 985 1,230 — — 1,230 Corporate bonds 10,918 17 (13 ) 10,922 10,772 28 (6 ) 10,794 Mortgage-backed securities — 6 — 6 — 15 — 15 Municipal bonds 267 — — 267 — — — — Mutual funds 19,849 391 (110 ) 20,130 24,895 1,955 (59 ) 26,791 Preferred stock 5 11 — 16 11 22 — 33 $ 76,314 $ 425 $ (123 ) $ 76,616 $ 73,403 $ 2,020 $ (65 ) $ 75,358 Reported as: Cash and cash equivalents $ 44,290 $ 36,495 Short-term investments available-for-sale 32,326 38,863 $ 76,616 $ 75,358 |
Schedule of Cash, cash equivalents and available-for-sale investments by type of instruments measured at fair value on recurring basis | The following is a summary of cash, cash equivalents and available-for-sale investments by type of instrument measured at fair value on a recurring basis (in thousands): June 30, 2015 March 31, 2015 Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Cash $ 35,209 $ — $ — $ 35,209 $ 33,936 $ — $ — $ 33,936 Cash equivalents 9,081 — — 9,081 2,559 — — 2,559 U.S. Treasury securities and agency bonds 985 — — 985 1,230 — — 1,230 Corporate bonds — 10,922 — 10,922 — 10,794 — 10,794 Mortgage-backed securities — 6 — 6 — 15 — 15 Municipal bonds 267 — — 267 — — — — Mutual funds 20,130 — — 20,130 26,791 — — 26,791 Preferred stock — 16 — 16 — 33 — 33 $ 65,672 $ 10,944 $ — $ 76,616 $ 64,516 $ 10,842 $ — $ 75,358 |
Schedule of Cost and estimated fair values of available-for-sale securities with stated maturities by contractual maturity | The following is a summary of the cost and estimated fair values of available-for-sale securities with stated maturities, which include U.S. Treasury securities and agency bonds, corporate bonds and mortgage-backed securities, by contractual maturity (in thousands): June 30, 2015 Cost Estimated Fair Value Less than 1 year $ 3,546 $ 3,552 Mature in 1 – 2 years 7,518 7,519 Mature in 3 – 5 years 839 836 Mature after 5 years — 6 $ 11,903 $ 11,913 |
Schedule of Gross unrealized losses | The following is a summary of gross unrealized losses (in thousands): As of June 30, 2015 Less Than 12 Months of Unrealized Losses 12 Months or More of Unrealized Losses Total Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Corporate bonds $ 3,502 $ (13 ) $ — $ — $ 3,502 $ (13 ) Mutual funds 2,186 (58 ) 421 (52 ) 2,607 (110 ) $ 5,688 $ (71 ) $ 421 $ (52 ) $ 6,109 $ (123 ) As of March 31, 2015 Less Than 12 Months of Unrealized Losses 12 Months or More of Unrealized Losses Total Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Corporate bonds $ 878 $ (6 ) $ — $ — $ 878 $ (6 ) Mutual funds 14,592 (17 ) 475 (42 ) 15,067 (59 ) $ 15,470 $ (23 ) $ 475 $ (42 ) $ 15,945 $ (65 ) |
Schedule of Warranty reserve activity | The following table summarizes warranty reserve activity (in thousands): Three months ended June 30, 2015 2014 Beginning balance $ 194 $ 199 Additions during the period 57 — Settlements and expirations (28 ) (15 ) Change in estimates (1 ) (7 ) Ending balance $ 222 $ 177 |
Schedule of Interest income, net | Net realized gain (loss) on short-term investments and interest income, net (in thousands): Three months ended June 30, 2015 2014 Net realized gain (loss) on short-term investments $ 1,430 $ (5 ) Interest income, net 189 341 $ 1,619 $ 336 |
Schedule of Reconciliation of shares used to calculate basic and diluted net loss per share | The reconciliation of shares used to calculate basic and diluted net loss per share consists of the following (in thousands, except per share data): Three months ended June 30, 2015 2014 Net loss $ (7,404 ) $ (13,065 ) Shares used in net loss per share computation: Weighted average common shares outstanding, basic 81,179 77,916 Net effect of dilutive common share equivalents — — Weighted average common shares outstanding, diluted 81,179 77,916 Basic and diluted net loss per share $ (0.09 ) $ (0.17 ) |
Restructuring Charges (Tables)
Restructuring Charges (Tables) | 3 Months Ended |
Jun. 30, 2015 | |
Restructuring and Related Activities [Abstract] | |
Schedule of restructuring activity | The following table sets forth a summary of restructuring activities related to the Company's restructuring plan described above (in thousands): Workforce Reduction Operating Lease Commitments Other Total Liability, March 31, 2015 $ 449 $ 113 $ 15 $ 577 Restructuring charges 94 — 2 96 Cash payments (228 ) (18 ) (9 ) (255 ) Non-cash items $ 6 $ 12 $ — $ 18 Liability, June 30, 2015 $ 321 $ 107 $ 8 $ 436 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 3 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Schedule of Option Activity Under Stock Incentive Plans | A summary of the Company's stock option activity and related information during the three months ended June 30, 2015 is as follows: Number of Shares (thousands) Weighted Average Exercise Price Per Share Weighted-Average Remaining Contractual Term (years) Aggregate Intrinsic Value (millions) Outstanding at the beginning of the year 1,794 $ 9.15 Granted — — Exercised (25 ) $ 5.23 — (1 ) Cancelled (56 ) $ 10.99 Outstanding at the end of the period 1,713 $ 9.15 1.6 $ 0.1 (2 ) Vested and expected to vest at the end of the period 1,713 $ 9.15 1.6 $ 0.1 (2 ) Vested and exercisable at the end of the period 1,713 $ 9.15 1.6 $ 0.1 (2 ) |
Schedule of Restricted Stock Unit Activity | RSU activity during the three months ended June 30, 2015 is set forth below (in thousands): Number of Shares Outstanding at the beginning of the year 4,328 Awarded 708 Vested (712 ) Cancelled (327 ) Outstanding at the end of the period 3,997 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Assumptions Used | The Company did not grant options or employee stock purchase rights during the three months ended June 30, 2015 and 2014 . |
Summary of Stock-Based Compensation Expense of Stock Options and Restricted Stock Units | The following tables summarize the allocation of the stock-based compensation expense (in thousands): Stock-based compensation expense by type of grant: Three months ended June 30, 2015 2014 Stock options and stock purchase rights $ 207 $ 414 RSUs 5,897 4,784 6,104 5,198 Stock-based compensation (capitalized to) expensed from inventory (12 ) 18 Total stock-based compensation expense $ 6,092 $ 5,216 |
Summary of Stock-Based Compensation Expense | Stock-based compensation expense by cost centers: Three months ended June 30, 2015 2014 Cost of revenues $ 105 $ 29 Research and development 4,060 3,271 Selling, general and administrative 1,939 1,898 $ 6,104 $ 5,198 Stock-based compensation (capitalized to) expensed from inventory (12 ) 18 Total stock-based compensation expense $ 6,092 $ 5,216 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Jun. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Contractual Obligation by Fiscal Year Maturity | The following table summarizes the Company's contractual operating leases and other purchase commitments as of June 30, 2015 (in thousands): Fiscal Years Ending March 31, Operating Leases Purchase Commitments * Total 2016 (remainder of year) $ 1,890 $ 18,635 $ 20,525 2017 2,240 3,440 5,680 2018 825 3,032 3,857 2019 467 — 467 Total minimum payments $ 5,422 $ 25,107 $ 30,529 * Includes open purchase orders with terms that generally allow us the option to cancel or reschedule the order, subject to various restrictions and limitations. Also includes the licensing fees relating to the Company's R&D efforts, including licensed intellectual property, or IP, technology, product design, test and verification tools, of $13.0 million . |
Certain Financial Statement I21
Certain Financial Statement Information Accounts Receivable (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | |
Schedule of Accounts receivable | |||
Accounts receivable | $ 11,803 | $ 12,709 | |
Less: allowance for bad debts | (277) | (302) | |
Accounts receivable, net | $ 11,526 | $ 12,407 | [1] |
[1] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. |
Certain Financial Statement I22
Certain Financial Statement Information Inventories (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | |
Schedule of Inventories | |||
Finished goods | $ 10,305 | $ 15,310 | |
Work in process | 5,250 | 5,377 | |
Raw materials | 4,248 | 2,827 | |
Inventories, total | $ 19,803 | $ 23,514 | [1] |
[1] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. |
Certain Financial Statement I23
Certain Financial Statement Information Other Current Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | |
Schedule of Other current assets | |||
Prepaid expenses | $ 13,790 | $ 14,847 | |
Executive deferred compensation assets | 1,003 | 1,004 | |
Other | 872 | 989 | |
Other current assets, total | $ 15,665 | $ 16,840 | [1] |
[1] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. |
Certain Financial Statement I24
Certain Financial Statement Information Property and Equipment (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jun. 30, 2015 | Mar. 31, 2015 | ||
Schedule of Property and equipment | |||
Machinery and equipment | $ 38,895 | $ 37,286 | |
Leasehold improvements | 7,526 | 9,909 | |
Computers, office furniture and equipment | 32,996 | 32,902 | |
Property and equipment, gross | 79,417 | 80,097 | |
Less: accumulated depreciation and amortization | (64,190) | (63,348) | |
Property and equipment, net | $ 15,227 | $ 16,749 | [1] |
Machinery and Equipment | Minimum | |||
Schedule of Property and equipment | |||
Useful life | 3 years | ||
Machinery and Equipment | Maximum | |||
Schedule of Property and equipment | |||
Useful life | 5 years | ||
Leasehold Improvements | Minimum | |||
Schedule of Property and equipment | |||
Useful life | 1 year | ||
Leasehold Improvements | Maximum | |||
Schedule of Property and equipment | |||
Useful life | 5 years | ||
Computers, Office Furniture and Equipment | Minimum | |||
Schedule of Property and equipment | |||
Useful life | 3 years | ||
Computers, Office Furniture and Equipment | Maximum | |||
Schedule of Property and equipment | |||
Useful life | 5 years | ||
[1] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. |
Certain Financial Statement I25
Certain Financial Statement Information Goodwill (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | [1] |
Certain Financial Statement Information [Abstract] | |||
Goodwill | $ 11,425 | $ 11,425 | |
[1] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. |
Certain Financial Statement I26
Certain Financial Statement Information Other Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | |
Schedule of other assets | |||
Non-current portion of prepaid expenses | $ 578 | $ 1,974 | |
Other | 595 | 596 | |
Total other assets | $ 1,173 | $ 2,570 | [1] |
[1] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. |
Certain Financial Statement I27
Certain Financial Statement Information Other Accrued Liabiliteis (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | |
Schedule of other accrued liabilities | |||
Employee related liabilities | $ 1,383 | $ 1,454 | |
Executive deferred compensation | 1,028 | 1,025 | |
Income taxes | 852 | 1,311 | |
Professional fees | 761 | 515 | |
Other | 4,179 | 3,339 | |
Total other accrued liabilities | $ 8,203 | $ 7,644 | [1] |
[1] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. |
Certain Financial Statement I28
Certain Financial Statement Information Short-Term Investments (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | Jun. 30, 2014 | [2] | Mar. 31, 2014 | [2] | |
Schedule of cash, cash equivalents and available-for-sale investments by type of instruments | |||||||
Available-for-sale Securities, Amortized Cost | $ 76,314 | $ 73,403 | |||||
Available-for-sale Securities, Gross Unrealized Gains | 425 | 2,020 | |||||
Available-for-sale Securities, Gross Unrealized Losses | (123) | (65) | |||||
Available-for-sale Securities, Estimated Fair Value | 76,616 | 75,358 | |||||
Cash and cash equivalents | 44,290 | 36,495 | [1] | $ 62,267 | $ 71,539 | ||
Short-term investments available-for-sale | 32,326 | 38,863 | [1] | ||||
Cash, Cash equivalents and Short-term investments, Estimated Fair Value | 76,616 | 75,358 | |||||
Cash | |||||||
Schedule of cash, cash equivalents and available-for-sale investments by type of instruments | |||||||
Cash and Cash equivalents, Estimated Fair Value | 35,209 | 33,936 | |||||
Cash equivalents | |||||||
Schedule of cash, cash equivalents and available-for-sale investments by type of instruments | |||||||
Cash and Cash equivalents, Estimated Fair Value | 9,081 | 2,559 | |||||
U.S Treasury securities and agency bonds | |||||||
Schedule of cash, cash equivalents and available-for-sale investments by type of instruments | |||||||
Available-for-sale Securities, Amortized Cost | 985 | 1,230 | |||||
Available-for-sale Securities, Gross Unrealized Gains | 0 | 0 | |||||
Available-for-sale Securities, Gross Unrealized Losses | 0 | 0 | |||||
Available-for-sale Securities, Estimated Fair Value | 985 | 1,230 | |||||
Corporate bonds | |||||||
Schedule of cash, cash equivalents and available-for-sale investments by type of instruments | |||||||
Available-for-sale Securities, Amortized Cost | 10,918 | 10,772 | |||||
Available-for-sale Securities, Gross Unrealized Gains | 17 | 28 | |||||
Available-for-sale Securities, Gross Unrealized Losses | (13) | (6) | |||||
Available-for-sale Securities, Estimated Fair Value | 10,922 | 10,794 | |||||
Mortgage-backed securities | |||||||
Schedule of cash, cash equivalents and available-for-sale investments by type of instruments | |||||||
Available-for-sale Securities, Amortized Cost | 0 | 0 | |||||
Available-for-sale Securities, Gross Unrealized Gains | 6 | 15 | |||||
Available-for-sale Securities, Gross Unrealized Losses | 0 | 0 | |||||
Available-for-sale Securities, Estimated Fair Value | 6 | 15 | |||||
Municipal bonds | |||||||
Schedule of cash, cash equivalents and available-for-sale investments by type of instruments | |||||||
Available-for-sale Securities, Amortized Cost | 267 | 0 | |||||
Available-for-sale Securities, Gross Unrealized Gains | 0 | 0 | |||||
Available-for-sale Securities, Gross Unrealized Losses | 0 | 0 | |||||
Available-for-sale Securities, Estimated Fair Value | 267 | 0 | |||||
Mutual Funds | |||||||
Schedule of cash, cash equivalents and available-for-sale investments by type of instruments | |||||||
Available-for-sale Securities, Amortized Cost | 19,849 | 24,895 | |||||
Available-for-sale Securities, Gross Unrealized Gains | 391 | 1,955 | |||||
Available-for-sale Securities, Gross Unrealized Losses | (110) | (59) | |||||
Available-for-sale Securities, Estimated Fair Value | 20,130 | 26,791 | |||||
Preferred stock | |||||||
Schedule of cash, cash equivalents and available-for-sale investments by type of instruments | |||||||
Available-for-sale Securities, Amortized Cost | 5 | 11 | |||||
Available-for-sale Securities, Gross Unrealized Gains | 11 | 22 | |||||
Available-for-sale Securities, Gross Unrealized Losses | 0 | 0 | |||||
Available-for-sale Securities, Estimated Fair Value | $ 16 | $ 33 | |||||
[1] | The Condensed Consolidated Balance Sheet as of March 31, 2015 has been derived from the audited Consolidated Financial Statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. | ||||||
[2] | The Statement of Cash Flows for the three months ended June 30, 2014 reflects an immaterial revision to correct outstanding payables related to purchases of property and equipment previously included in net cash used for investing activities to net cash used for operating activities. As a result, net cash used for operating activities increased by $0.3 million and net cash used for investing activities decreased by the corresponding amount. |
Certain Financial Statement I29
Certain Financial Statement Information Short Term Investments Fair Value (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 |
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | $ 76,616 | $ 75,358 |
Cash, cash equivalents and available-for-sale investments measured at fair value on recurring basis | 76,616 | 75,358 |
Level 1 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash, cash equivalents and available-for-sale investments measured at fair value on recurring basis | 65,672 | 64,516 |
Level 2 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash, cash equivalents and available-for-sale investments measured at fair value on recurring basis | 10,944 | 10,842 |
Level 3 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash, cash equivalents and available-for-sale investments measured at fair value on recurring basis | 0 | 0 |
Cash | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash and cash equivalents measured at fair value on a recurring basis | 35,209 | 33,936 |
Cash | Level 1 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash and cash equivalents measured at fair value on a recurring basis | 35,209 | 33,936 |
Cash | Level 2 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash and cash equivalents measured at fair value on a recurring basis | 0 | 0 |
Cash | Level 3 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash and cash equivalents measured at fair value on a recurring basis | 0 | 0 |
Cash equivalents | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash and cash equivalents measured at fair value on a recurring basis | 9,081 | 2,559 |
Cash equivalents | Level 1 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash and cash equivalents measured at fair value on a recurring basis | 9,081 | 2,559 |
Cash equivalents | Level 2 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash and cash equivalents measured at fair value on a recurring basis | 0 | 0 |
Cash equivalents | Level 3 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Cash and cash equivalents measured at fair value on a recurring basis | 0 | 0 |
U.S Treasury securities and agency bonds | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 985 | 1,230 |
U.S Treasury securities and agency bonds | Level 1 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 985 | 1,230 |
U.S Treasury securities and agency bonds | Level 2 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
U.S Treasury securities and agency bonds | Level 3 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Corporate bonds | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 10,922 | 10,794 |
Corporate bonds | Level 1 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Corporate bonds | Level 2 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 10,922 | 10,794 |
Corporate bonds | Level 3 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Mortgage-backed securities | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 6 | 15 |
Mortgage-backed securities | Level 1 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Mortgage-backed securities | Level 2 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 6 | 15 |
Mortgage-backed securities | Level 3 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Municipal bonds | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 267 | 0 |
Municipal bonds | Level 1 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 267 | 0 |
Municipal bonds | Level 2 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Municipal bonds | Level 3 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Mutual Funds | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 20,130 | 26,791 |
Mutual Funds | Level 1 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 20,130 | 26,791 |
Mutual Funds | Level 2 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Mutual Funds | Level 3 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Preferred stock | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 16 | 33 |
Preferred stock | Level 1 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 0 | 0 |
Preferred stock | Level 2 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | 16 | 33 |
Preferred stock | Level 3 | ||
Schedule of Cash, Cash Equivalents and Available-For-Sale Investments by Type of Instruments Measured at Fair Value on Recurring Basis | ||
Available-for-sale securities measured at fair value on a recurring basis | $ 0 | $ 0 |
Certain Financial Statement I30
Certain Financial Statement Information Short-Term Investments Schedule of Maturities (Details) $ in Thousands | Jun. 30, 2015USD ($) |
Schedule of cost and estimated fair values of available-for-sale securities with stated maturities by contractual maturity | |
Less than 1 year, Cost | $ 3,546 |
Mature in 1 - 2 years, Cost | 7,518 |
Mature in 3 - 5 years, Cost | 839 |
Mature after 5 years, Cost | 0 |
Cost, Total | 11,903 |
Less than 1 year, Fair Value | 3,552 |
Mature in 1 - 2 years, Fair Value | 7,519 |
Mature in 3 - 5 years, Fair Value | 836 |
Mature after 5 years, Fair Value | 6 |
Fair Value, Total | $ 11,913 |
Certain Financial Statement I31
Certain Financial Statement Information Short-Term Investments Gross Unrealized Losses (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 |
Schedule of Gross Unrealized Losses | ||
Less Than 12 Months of Unrealized Losses, Estimated Fair Value | $ 5,688 | $ 15,470 |
Less than 12 Months of Unrealized Losses, Gross Unrealized Losses | (71) | (23) |
12 Months or More of Unrealized Losses, Estimated Fair Value | 421 | 475 |
12 Months or More of Unrealized Losses, Gross Unrealized Losses | (52) | (42) |
Total, Estimated Fair Value | 6,109 | 15,945 |
Total Gross Unrealized Losses | (123) | (65) |
Corporate bonds | ||
Schedule of Gross Unrealized Losses | ||
Less Than 12 Months of Unrealized Losses, Estimated Fair Value | 3,502 | 878 |
Less than 12 Months of Unrealized Losses, Gross Unrealized Losses | (13) | (6) |
12 Months or More of Unrealized Losses, Estimated Fair Value | 0 | 0 |
12 Months or More of Unrealized Losses, Gross Unrealized Losses | 0 | 0 |
Total, Estimated Fair Value | 3,502 | 878 |
Total Gross Unrealized Losses | (13) | (6) |
Mutual Funds | ||
Schedule of Gross Unrealized Losses | ||
Less Than 12 Months of Unrealized Losses, Estimated Fair Value | 2,186 | 14,592 |
Less than 12 Months of Unrealized Losses, Gross Unrealized Losses | (58) | (17) |
12 Months or More of Unrealized Losses, Estimated Fair Value | 421 | 475 |
12 Months or More of Unrealized Losses, Gross Unrealized Losses | (52) | (42) |
Total, Estimated Fair Value | 2,607 | 15,067 |
Total Gross Unrealized Losses | $ (110) | $ (59) |
Certain Financial Statement I32
Certain Financial Statement Information Warranty (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Schedule of Warranty Reserve Activity | ||
Beginning balance | $ 194 | $ 199 |
Additions during the period | 57 | 0 |
Settlements and expirations | (28) | (15) |
Change in estimates | (1) | (7) |
Ending balance | $ 222 | $ 177 |
Certain Financial Statement I33
Certain Financial Statement Information Net Realized Gain/Loss on Short-Term Investments and Interest Income/Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Schedule of Interest Income, Net | ||
Net realized gain (loss) on short-term investments | $ 1,430 | $ (5) |
Interest income, net | 189 | 341 |
Net realized gain (loss) on short-term investments and interest income | $ 1,619 | $ 336 |
Certain Financial Statement I34
Certain Financial Statement Information Net Income/Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | ||
Schedule of Reconciliation of Shares Used to Calculate Basic and Diluted Net (Loss) Income Per Share | |||
Net loss | $ (7,404) | $ (13,065) | [1] |
Shares used in net loss per share computation: | |||
Weighted average common shares outstanding, basic (shares) | 81,179 | 77,916 | |
Net effect of dilutive common share equivalents (shares) | 0 | 0 | |
Weighted average common shares outstanding, diluted (shares) | 81,179 | 77,916 | |
Basic and diluted net loss per share (in dollars per share) | $ (0.09) | $ (0.17) | |
[1] | The Statement of Cash Flows for the three months ended June 30, 2014 reflects an immaterial revision to correct outstanding payables related to purchases of property and equipment previously included in net cash used for investing activities to net cash used for operating activities. As a result, net cash used for operating activities increased by $0.3 million and net cash used for investing activities decreased by the corresponding amount. |
Certain Financial Statement I35
Certain Financial Statement Information (Details Textual) - shares shares in Millions | 3 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Options and Restricted Stock Units | ||
Certain Financial Statement Information [Line Items] | ||
Dilutive securities excluded from the net loss per share computation | 0.7 | 1.2 |
Restructuring Charges (Details
Restructuring Charges (Details Textual) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | |
Jan. 31, 2015employee | Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($) | Jun. 30, 2015USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges | $ 96 | $ 1,211 | ||
Restructuring Plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Number of positions eliminated | employee | 40 | |||
Number of positions expected to be eliminated (percent) | 7.00% | |||
Restructuring charges | 100 | $ 4,200 | ||
Expected cost remaining | 100 | 100 | ||
Restructuring Plan | Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Reduction in net operating expenses | 14,000 | 14,000 | ||
Restructuring Plan | Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Reduction in net operating expenses | $ 18,000 | $ 18,000 |
Restructuring Charges (Detail37
Restructuring Charges (Details 1) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | $ 577 | |
Restructuring charges | 96 | $ 1,211 |
Cash payments | (255) | |
Non-cash items | 18 | |
Liability, ending balance | 436 | |
Workforce Reduction [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 449 | |
Restructuring charges | 94 | |
Cash payments | (228) | |
Non-cash items | 6 | |
Liability, ending balance | 321 | |
Operating Lease Commitments [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 113 | |
Restructuring charges | 0 | |
Cash payments | (18) | |
Non-cash items | 12 | |
Liability, ending balance | 107 | |
Other [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 15 | |
Restructuring charges | 2 | |
Cash payments | (9) | |
Non-cash items | 0 | |
Liability, ending balance | $ 8 |
Veloce (Details Textual)
Veloce (Details Textual) - USD ($) $ in Thousands | Jun. 20, 2012 | Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | |
Veloce (Textual) [Abstract] | |||||
Total equity value transferred | $ 0 | $ (7,140) | [1] | ||
Veloce Technologies Inc | |||||
Veloce (Textual) [Abstract] | |||||
Consideration | $ 178,500 | $ 169,900 | |||
Research and development expenses incurred | 0 | 7,100 | |||
Cash payments | $ 100 | $ 6,400 | $ 89,400 | ||
Stock issued (in shares) | 163,000 | 38,000 | 10,900,000 | ||
Stock issued | $ 900 | $ 300 | $ 900 | ||
Cash and stock to be paid in next period | 2,000 | 2,000 | |||
Total equity value transferred | 80,500 | ||||
Consideration payable in cash or equity | $ 8,600 | $ 8,600 | |||
[1] | The Statement of Cash Flows for the three months ended June 30, 2014 reflects an immaterial revision to correct outstanding payables related to purchases of property and equipment previously included in net cash used for investing activities to net cash used for operating activities. As a result, net cash used for operating activities increased by $0.3 million and net cash used for investing activities decreased by the corresponding amount. |
Stockholders' Equity - Stock Op
Stockholders' Equity - Stock Options (Details) - Jun. 30, 2015 $ / shares in Units, shares in Thousands, $ in Millions | USD ($)Approved_Plan$ / sharesshares | |
Equity [Abstract] | ||
Number of stockholder-approved plans | Approved_Plan | 2 | |
Number of plans unapproved by stockholders | Approved_Plan | 1 | |
Schedule of Option Activity Under Stock Incentive Plans | ||
Number of Shares, Outstanding at the beginning of the year | shares | 1,794 | |
Number of Shares, Granted | shares | 0 | |
Number of Shares, Exercised | shares | (25) | |
Number of Shares, Forfeited | shares | (56) | |
Number of Shares, Outstanding at the end of the period | shares | 1,713 | |
Number of Shares, Vested at the end of the period | shares | 1,713 | |
Number of Shares, Vested and exercisable at end of period | shares | 1,713 | |
Schedule of Weighted Average Exercise Price Per Share Under Stock Incentive Plans | ||
Weighted Average Exercise Price Per Share, Outstanding at the beginning of the year (USD per share) | $ 9.15 | |
Weighted Average Exercise Price Per Share, Granted (USD per share) | 0 | |
Weighted Average Exercise Price Per Share, Exercised (USD per share) | 5.23 | |
Weighted Average Exercise Price Per Share, Forfeited (USD per share) | 10.99 | |
Weighted Average Exercise Price Per Share, Outstanding at the end of the period (USD per share) | 9.15 | |
Weighted Average Exercise Price Per Share, Vested at the end of the period (USD per share) | 9.15 | |
Weighted Average Exercise Price Per Share, Vested and exercisable at the end of the period (USD per share) | $ 9.15 | |
Aggregate pretax intrinsic value of options exercised | $ | [1] | $ 0 |
Weighted average remaining contractual term for options outstanding at end of period (in years) | 1 year 7 months | |
Aggregate intrinsic value of options outstanding at end of period | $ | [2] | $ 0.1 |
Weighted Average Remaining Contractual Life, Vested and Exercisable at Period End (in years) | 1 year 7 months | |
Aggregate intrinsic value of options, Vested and exercisable at end of period | $ | [2] | $ 0.1 |
Weighted Average Remaining Contractual Life, Vested and expected to vest at end of period (in years) | 1 year 7 months | |
Aggregate intrinsic value of options, Vested and expected to vest at end of period | $ | [2] | $ 0.1 |
Common stock, closing price per share | $ 6.75 | |
[1] | The aggregate pre-tax intrinsic value is calculated as the difference between the market value on the date of exercise and the exercise price of the shares. | |
[2] | The aggregate pre-tax intrinsic value is calculated as the difference between the market value as of the end of the first quarter 2015 and the exercise price of the shares. The closing price of the Company’s common stock was $6.75 per share on June 30, 2015. |
Stockholders' Equity - Restrict
Stockholders' Equity - Restricted Stock Units (Details) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | |||||
Mar. 31, 2015shares | May. 31, 2014 | Nov. 30, 2013USD ($) | May. 31, 2013 | Jun. 30, 2015USD ($)quartershares | Jun. 30, 2014USD ($) | Jun. 30, 2015USD ($)$ / sharesshares | |
Class of Stock [Line Items] | |||||||
Stock-based compensation expense recognized | $ | $ 6,104 | $ 5,198 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||||||
Weighted average remaining contractual term for the restricted stock units outstanding, in years | 1 year 3 months 10 days | ||||||
Aggregate pre-tax intrinsic value of restricted stock units outstanding which includes performance based awards which are subject to milestone attainments | $ | $ 27,000 | ||||||
Common stock, closing price per share | $ / shares | $ 6.75 | ||||||
Aggregate pretax intrinsic value | $ | $ 4,400 | ||||||
Restricted Stock Units (RSUs) | |||||||
Class of Stock [Line Items] | |||||||
Nonvested restricted units outstanding | 4,328,000 | 4,328,000 | 3,997,000 | ||||
Restricted stock units awarded | 708,000 | ||||||
Restricted stock units vested | 712,000 | ||||||
Stock-based compensation expense recognized | $ | $ 5,897 | $ 4,784 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||||||
Number of Shares, Beginning balance | 4,328,000 | ||||||
Number of Shares, Awarded | 708,000 | ||||||
Number of Shares, Vested | (712,000) | ||||||
Number of Shares, Cancelled | (327,000) | ||||||
Number of Shares, Ending balance | 4,328,000 | 3,997,000 | |||||
Performance-Based MSU | |||||||
Class of Stock [Line Items] | |||||||
Grants in period, fair value | $ | $ 4,500 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||||||
Number of Shares, Cancelled | 1,300,000 | ||||||
Performance-Based MSU | Minimum | |||||||
Class of Stock [Line Items] | |||||||
Award vesting percentage | 0.00% | ||||||
Performance-Based MSU | Maximum | |||||||
Class of Stock [Line Items] | |||||||
Award vesting percentage | 150.00% | ||||||
Performance-Based MSU | First Vesting Period | |||||||
Class of Stock [Line Items] | |||||||
Award performance period | 2 years | ||||||
Performance-Based MSU | Second Vesting Period | |||||||
Class of Stock [Line Items] | |||||||
Award performance period | 3 years | ||||||
1992 Plan | Restricted Stock Units (RSUs) | |||||||
Class of Stock [Line Items] | |||||||
Vesting period, in years | 4 years | ||||||
Vested in first period of employment | 0 | ||||||
Award vesting period, quarters | quarter | 12 | ||||||
2011 Plan | Restricted Stock Units (RSUs) | |||||||
Class of Stock [Line Items] | |||||||
Vesting period, in years | 4 years | ||||||
Vested in first period of employment | 0 | ||||||
Award vesting period, quarters | quarter | 12 | ||||||
FY2016 Short-Term Incentive Plan | Minimum | |||||||
Class of Stock [Line Items] | |||||||
Award pay out percentage | 50.00% | ||||||
FY2016 Short-Term Incentive Plan | Maximum | |||||||
Class of Stock [Line Items] | |||||||
Award pay out percentage | 150.00% | ||||||
Incentive Compensation Program | |||||||
Class of Stock [Line Items] | |||||||
Vesting period, in years | 1 year | ||||||
Value of program | $ | $ 6,600 | ||||||
Stock-based compensation expense recognized | $ | $ 1,700 |
Stockholders' Equity - Employee
Stockholders' Equity - Employee Stock Purchase Plan (Details) - Employee Stock Purchase Plan [Member] - 2012 Employee Stock Purchase Plan - shares shares in Millions | 3 Months Ended | ||
Jun. 30, 2015 | Aug. 31, 2014 | Aug. 30, 2012 | |
Class of Stock [Line Items] | |||
Common stock reserved for issuance | 1.8 | ||
Additional shares reserved for issuance | 2 | ||
Percentage of purchase price of common stock equal to fair market value | 85.00% | ||
Shares available for future issuance | 1.8 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Summary of Stock-Based Compensation Expense of Stock Options and Restricted Stock Units | ||
Stock-based compensation expense by type of grant | $ 6,104 | $ 5,198 |
Stock-based compensation (capitalized to) expensed from inventory | (12) | 18 |
Total stock-based compensation expense | 6,092 | 5,216 |
Cost of Revenues [Member] | ||
Summary of Stock-Based Compensation Expense of Stock Options and Restricted Stock Units | ||
Stock-based compensation expense by type of grant | 105 | 29 |
Research and Development Expense [Member] | ||
Summary of Stock-Based Compensation Expense of Stock Options and Restricted Stock Units | ||
Stock-based compensation expense by type of grant | 4,060 | 3,271 |
Selling General and Administrative [Member] | ||
Summary of Stock-Based Compensation Expense of Stock Options and Restricted Stock Units | ||
Stock-based compensation expense by type of grant | 1,939 | 1,898 |
Stock Options [Member] | ||
Summary of Stock-Based Compensation Expense of Stock Options and Restricted Stock Units | ||
Stock-based compensation expense by type of grant | 207 | 414 |
Restricted Stock Units [Member] | ||
Summary of Stock-Based Compensation Expense of Stock Options and Restricted Stock Units | ||
Stock-based compensation expense by type of grant | $ 5,897 | $ 4,784 |
Stock-Based Compensation (Det43
Stock-Based Compensation (Details Textual) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | ||
Jun. 30, 2015 | Mar. 31, 2015 | Jun. 30, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Weighted average grant-date fair value per share of the restricted stock units awarded | $ 6.09 | $ 8.85 | |
Forfeiture rate | 7.40% | 6.10% | |
Unearned stock-based compensation | $ 25.1 | ||
Weighted-average period over which the unearned stock-based compensation is expected to be recognized, years | 1 year 3 months |
Commitments and Contingencies -
Commitments and Contingencies - Commitments (Details) $ in Thousands | Jun. 30, 2015USD ($) | |
Operating Leases | ||
2016 (remainder of year) | $ 1,890 | |
2,016 | 2,240 | |
2,017 | 825 | |
2,018 | 467 | |
Total minimum payments | 5,422 | |
Purchase Commitments | ||
2016 (remainder of year) | [1] | 18,635 |
2,016 | [1] | 3,440 |
2,017 | [1] | 3,032 |
2,018 | [1] | 0 |
Total minimum payments | [1] | 25,107 |
Total | ||
2016 (remainder of year) | 20,525 | |
2,016 | 5,680 | |
2,017 | 3,857 | |
2,018 | 467 | |
Total minimum payments | 30,529 | |
Licensing Costs Due | $ 13,000 | |
[1] | Includes open purchase orders with terms that generally allow us the option to cancel or reschedule the order, subject to various restrictions and limitations. Also includes the licensing fees relating to the Company's R&D efforts, including licensed intellectual property, or IP, technology, product design, test and verification tools, of $13.0 million. |
- Contingencies (Details)
- Contingencies (Details) | 1 Months Ended | 3 Months Ended | |
Jan. 31, 2012 | Jan. 31, 2009Amendments | Jun. 30, 2015Company | |
Contingencies (Textual) [Abstract] | |||
Companies named as Potentially Responsible Parties (more than) | Company | 100 | ||
Amendments approved to consent decree | 2 | ||
Percent of contribution to the total waste | 0.50% |