Cirrus Logic (CRUS) 10-Q 22 Jul 15 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Jun. 27, 2015	Jul. 17, 2015
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Entity Registrant Name	CIRRUS LOGIC INC
Entity Central Index Key	772,406
Entity Filer Category	Large Accelerated Filer
Entity Well-known Seasoned Issuer	Yes
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Document Period End Date	Jun. 27, 2015
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Current Fiscal Year End Date	--03-26
Entity Common Stock, Shares Outstanding		63,499,396

Consolidated Condensed Balance

Consolidated Condensed Balance Sheets - USD ($) $ in Thousands	Jun. 27, 2015	Mar. 28, 2015
Assets
Cash and cash equivalents	$ 102,531	$ 76,401
Marketable securities	120,226	124,246
Accounts receivable, net	120,838	112,608
Inventories	126,195	84,196
Deferred tax assets	5,276	18,559
Prepaid Expense, Current	24,019	27,093
Other current assets	8,963	8,810
Total current assets	508,048	451,913
Long-term marketable securities	50,629	60,072
Property and equipment, net	152,018	144,346
Intangibles, net	169,158	175,743
Goodwill	263,583	263,115
Deferred tax assets	25,639	25,593
Other assets	24,578	27,996
Total assets	1,193,653	1,148,778
Liabilities and Stockholders' Equity
Accounts payable	146,370	112,213
Accrued salaries and benefits	21,380	24,132
Deferred income	4,736	6,105
Software license agreement	19,697	18,711
Other accrued liabilities	10,939	15,417
Total current liabilities	203,122	176,578
Debt	160,439	180,439
Software license agreement long-term	18,411	26,204
Other long-term liabilities	11,909	8,786
Total long-term liabilities	190,759	215,429
Stockholders' Equity:
Capital stock	1,170,436	1,159,494
Accumulated deficit	(367,691)	(400,613)
Accumulated other comprehensive loss	(2,973)	(2,110)
Total stockholders' equity	799,772	756,771
Total liabilities and stockholders' equity	$ 1,193,653	$ 1,148,778

Consolidated Condensed Statemen

Consolidated Condensed Statements of Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Jun. 27, 2015	Jun. 28, 2014
Consolidated Condensed Statements of Income [Abstract]
Net sales	$ 282,633	$ 152,565
Cost of sales	150,179	77,190
Gross profit	132,454	75,375
Operating expenses:
Research and development	65,835	39,777
Selling, general and administrative	29,119	19,683
Patent agreement, net	(12,500)
Total operating expenses	82,454	59,460
Income from operations	50,000	15,915
Interest income	254	195
Interest expense	(892)	(662)
Other income	136	501
Income before income taxes	49,498	15,949
Provision for income taxes	16,144	5,701
Net income	$ 33,354	$ 10,248
Basic earnings per share	$ 0.53	$ 0.17
Diluted earnings per share	$ 0.50	$ 0.16
Basic weighted average common shares outstanding	63,274	62,032
Diluted weighted average common shares outstanding	66,410	64,688

Consolidated Condensed Stateme4

Consolidated Condensed Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Jun. 27, 2015	Jun. 28, 2014
Consolidated Condensed Statements of Comprehensive Income [Abstract]
Net income	$ 33,354	$ 10,248
Changes to foreign currency
Foreign currency translation	(783)
Changes to available-for-sale securities
Unrealized gain (loss) on marketable securities	(148)	100
Change to pension liabilities
Reclassification of actuarial loss to net income	16
Benefit (provision) for income taxes	52	(35)
Comprehensive income	$ 32,491	$ 10,313

Consolidated Condensed Stateme5

Consolidated Condensed Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Jun. 27, 2015	Jun. 28, 2014
Cash flows from operating activities:
Net income	$ 33,354	$ 10,248
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	13,388	4,097
Stock compensation expense	8,272	5,622
Deferred income taxes	12,769	2,134
Loss on retirement or write-off of long-lived assets	156	325
Actuarial loss amortization on defined benefit pension plan	16
Excess tax benefit from employee stock options		(3,119)
Other non-cash charges	3,884	2,125
Net change in operating assets and liabilities:
Accounts receivable, net	(8,230)	(13,999)
Inventories	(41,999)	(22,259)
Other current assets	2,792
Other assets		(698)
Accounts payable and other accrued liabilities	20,149	24,010
Deferred income	(1,369)	1,767
Income taxes payable		2,513
Net cash provided by operating activities	43,182	12,766
Cash flows from investing activities:
Proceeds from sale of available for sale marketable securities	36,017	246,865
Purchases of available for sale marketable securities	(22,649)	(9,290)
Purchases of property, equipment and software	(10,601)	(3,274)
Investments in technology	(1,816)	(112)
Purchase of hedge		(11,095)
(Increase) decrease in deposits and other assets	(232)	118
Net cash provided by investing activities	719	223,212
Cash flows from financing activities:
Principal payments on long-term revolver	(20,000)
Debt issuance costs		(2,978)
Issuance of common stock, net of shares withheld for taxes	2,661	852
Repurchase of stock to satisfy employee tax withholding obligations	(432)	(277)
Excess tax benefit from employee stock options		3,119
Net cash (used in) provided by financing activities	(17,771)	716
Net increase in cash and cash equivalents	26,130	236,694
Cash and cash equivalents at beginning of period	76,401	31,850
Cash and cash equivalents at end of period	$ 102,531	$ 268,544

Basis of Presentation

Basis of Presentation	3 Months Ended
	Jun. 27, 2015
Basis of Presentation [Abstract]
Basis of Presentation	1. Basis of Presentation The consolidated condensed financial statements have been prepared by Cirrus Logic, Inc. (“Cirrus Logic,” “we,” “us,” “our,” or the “Company”) pursuant to the rules and regulations of the Securities and Exchange Commission (the “Commission”). The accompanying unaudited consolidated condensed financial statements do not include complete footnotes and financial presentations. As a result, these financial statements should be read along with the audited consolidated financial statements and notes thereto for the year ended March 28, 2015, included in our Annual Report on Form 10-K filed with the Commission on May 27, 2015. In our opinion, the financial statements reflect all material adjustments, including normal recurring adjustments, necessary for a fair presentation of the financial position, operating results and cash flows for those periods presented. The preparation of financial statements in conformity with United States (“U.S.”) generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect reported assets, liabilities, revenues and expenses, as well as disclosure of contingent assets and liabilities. Actual results could differ from those estimates and assumptions. Moreover, the results of operations for the interim periods presented are not necessarily indicative of the results that may be expected for the entire year. Additionally, prior period amounts have been adjusted to conform to current year presentation.

Recently Issued Accounting Pron

Recently Issued Accounting Pronouncements	3 Months Ended
	Jun. 27, 2015
Recently Issued Accounting Pronouncements [Abstract]
Recently Issued Accounting Pronouncements	2. Recently Issued Accounting Pronouncements In August 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (“ASU”) No. 2014-15, Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern . The amendments in this ASU provide guidance in GAAP about management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. The amendments are effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. The Company is currently evaluating the impact of this ASU and expects no material modifications to its financial statements. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (ASC Topic 606) . The purpose of this ASU is to converge revenue recognition requirements per GAAP and International Financial Reporting Standards (IFRS). The core principle of the guidance is that an entity should recognize revenue to depict the transfer of 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. The amendments in this ASU are effective for interim and annual reporting periods beginning after December 15, 2016, with early adoption not permitted by the FASB; however, in April 2015 the FASB issued for public comment a proposal to delay the effective date of this ASU to annual reporting periods beginning after December 15, 2017. The Company is currently evaluating the impact of this ASU on its consolidated financial position, results of operations and cash flows. In April 2015, the FASB issued ASU No. 2015-03, Interest—Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs . The amendments in this update require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. ASU 2015-03 is to be applied retrospectively and represents a change in accounting principle. This ASU is effective for fiscal years beginning after December 15, 2015, including interim periods within those fiscal years. Earlier adoption is permitted for financial statements that have not been previously issued. The Company is currently evaluating the effect that the adoption of this ASU will have on its financial statements. In April 2015, the FASB issued ASU No. 2015-04, Compensation – Retirement Benefits (Topic 715): Practical Expedient for the Measurement Date of an Employer’s Defined Benefit Obligation and Plan Assets. The ASU is part of the FASB’s “Simplification Initiative” to reduce complexity in accounting standards. The FASB decided to permit entities to measure defined benefit plan assets and obligations as of the month-end that is closest to their fiscal year-end. An entity is required to disclose the accounting policy election and the date used to measure defined benefit plan assets and obligations in accordance with the amendments in this u pdate. The amendments in this u pdate are effective for public business entities for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years, with earlier application permitted. The Company is currently evaluating the likelihood of adoption and the impact this ASU would have on its financial statements.

Marketable Securities

Marketable Securities	3 Months Ended
	Jun. 27, 2015
Marketable Securities [Abstract]
Marketable Securities	3. Marketable Securities The Company’s investments that have original maturities greater than 90 days have been classified as available-for-sale securities in accordance with U.S. GAAP. Marketable securities are categorized on the consolidated condensed balance sheet as short- and long-term marketable securities, as appropriate . The following table is a summary of available-for-sale securities at June 27, 201 5 (in thousands): Estimated Gross Gross Fair Value Amortized Unrealized Unrealized (Net Carrying As of June 27, 2015 Cost Gains Losses Amount) Corporate debt securities $ $ $ $ U.S. Treasury securities - Commercial paper - Total securities $ $ $ $ The Company’s specifically identified gross unrealized losses of $ 225 thousand relates to 43 different securities with total amortized cost of approximately $ 157.6 million at June 27, 201 5 . Because the Company does not intend to sell the investments at a loss and the Company will not be required to sell the investments before recovery of its amortized cost basis, it did not consider the investment in these securities to be other-than-temporarily impaired at June 27, 201 5 . Further, the securities with gross unrealized losses had been in a continuous unrealized loss position for less than 12 months as of June 27, 201 5 . The following table is a summary of available -for-sale securities at March 28 , 201 5 (in thousands): Estimated Gross Gross Fair Value Amortized Unrealized Unrealized (Net Carrying As of March 28, 2015 Cost Gains Losses Amount) Corporate debt securities $ $ $ $ U.S. Treasury securities - Commercial paper - Total securities $ $ $ $ The Company’s specifically identified gross unrealized losses of $ 83 thousand relates to 34 different securities with total amortized cost of approximately $ 154.3 million at March 2 8 , 201 5 . Because the Company d id not intend to sell the investments at a loss and the Company did not expect to be required to sell the investments before recovery of its amortized cost basis, it did not consider the investment in these securities to be other-than-temporarily impaired at March 2 8 , 201 5 . Further, the securities with gross unrealized losses had been in a continuous unrealized loss position for less than 12 months as of March 2 8 , 201 5 . The cost and estimated fair value of available-for-sale securities by contractual maturities were as follows (in thousands): June 27, 2015 March 28, 2015 Amortized Estimated Amortized Estimated Cost Fair Value Cost Fair Value Within 1 year $ $ $ $ After 1 year Total $ $ $ $

Fair Value of Financial Instrum

Fair Value of Financial Instruments	3 Months Ended
	Jun. 27, 2015
Fair Value of Financial Instruments [Abstract]
Fair Value of Financial Instruments	4. Fair Value of Financial Instruments The Company has determined that the only assets and liabilities in the Company’s financial statements that are required to be measured at fair value on a recurring basis are the Company’s cash equivalents, investment portfolio, and pension plan assets / liabilities. The Company defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company applies the following fair value hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). • Level 1 - Quoted prices in active markets for identical assets or liabilities. • Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company’s cash equivalents and investment portfolio assets consist of corporate debt securities, money market funds, U.S. Treasury securities, and commercial paper and are reflected on our consolidated condensed balance sheets under the headings cash and cash equivalents, marketable securities, and long-term marketable securities. The Company determines the fair value of its investment portfolio assets by obtaining non-binding market prices from its third-party portfolio managers on the last day of the quarter, whose sources may use quoted prices in active markets for identical assets (Level 1 inputs) or inputs other than quoted prices that are observable either directly or indirectly (Level 2 inputs) in determining fair value. The Company’s long-term revolving facility, described in Note 8, bears interest at a base rate plus applicable margin or LIBOR plus applicable margin. As of June 27, 2015, the fair value of the Company’s long-term revolving facility approximates carrying value based on estimated margin. As of June 27 , 2015 and March 28, 2015, the Company classified all of its investment portfolio and pension plan assets as Level 1 or Level 2 assets. The Company has no Level 3 assets or liabilities. There were no transfers between Level 1, Level 2, or Level 3 measurements for the three month period ending June 27 , 2015. The following table summarizes the fair value of our financial instruments, exclusive of pension plan assets, at June 27, 2015, (in thousands): Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Level 1 Level 2 Level 3 Total Assets: Cash equivalents Money market funds $ $ - $ - $ Available-for-sale securities Corporate debt securities $ - $ $ - $ U.S. Treasury securities - - Commercial paper - - $ $ $ - $ The fair value of our financial assets at March 28 , 2015, was determined using the following inputs (in thousands): Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Level 1 Level 2 Level 3 Total Cash equivalents Money market funds $ $ - $ - $ Available-for-sale securities Corporate debt securities $ - $ $ - $ U.S. Treasury securities - - Commercial paper - - $ $ $ - $

Accounts Receivable, net

Accounts Receivable, net	3 Months Ended
	Jun. 27, 2015
Accounts Receivable, net [Abstract]
Accounts Receivable, net	5 . Accounts Receivable, net The following are the components of accounts receivable, net (in thousands): June 27, March 28, 2015 2015 Gross accounts receivable $ $ Allowance for doubtful accounts Accounts receivable, net $ $

Inventories

Inventories	3 Months Ended
	Jun. 27, 2015
Inventories [Abstract]
Inventories	6 . Inventories Inventories are comprised of the following (in thousands): June 27, March 28, 2015 2015 Work in process $ $ Finished goods $ $ The increase in inventory balances at June 27, 2015, as compared to March 28, 2015, is primarily related to production ramps ahead of customer demand.

Acquisition

Acquisition	3 Months Ended
	Jun. 27, 2015
Acquisition [Abstract]
Acquisition	7 . Acquisition Cirrus Logic completed the acquisition of Wolfson Microelectronics plc (the “Acquisition”), a public limited company incorporated in Scotland (“Wolfson”) in the second quarter of fiscal year 2015 . Upon completion of the acquisition, Wolfson was re-registered as a private limited company. The Acquisition was accounted for as a business purchase pursuant to ASC Topic 805, Business Combinations, and the operations of Wolfson have been included in the Company’s consolidated financial statements since August 21, 2014, the date of acquisition. The following table presents the final allocation of the purchase price to the assets acquired and liabilities assumed based on their estimated fair values at the date of acquisition as of June 27, 2015 (in thousands): Amount Cash and cash equivalents $ Inventory Other current assets Property, plant and equipment Intangible assets Pension assets Total identifiable assets acquired $ Deferred tax liability - current Deferred revenue Other accrued liabilities Other long-term liabilities Total identifiable liabilities assumed $ Net identifiable assets acquired $ Goodwill Net assets acquired $ The goodwill of $24 7.2 million arising from the Acquisition is attributable primarily to expected synergies and the product and customer base of Wolfson. None of the goodwill is expected to be deductible for income tax purposes. The components of the acquired intangible assets and related weighted average amortization periods are detailed below (in thousands): Intangible assets Amount Weighted-average Amortization Period (years) Developed technology $ 6.2 Technology intellectual property 5.3 Trademark 1.3 IPR&D 7.3 Customer relationships 10.0 Total $

Revolving Credit Facilities

Revolving Credit Facilities	3 Months Ended
	Jun. 27, 2015
Line of Credit [Abstract]
Revolving Credit Facilities	8. Revolving Credit Facilities Cirrus Logic’s credit agreement (the “Credit Agreement”) with Wells Fargo Bank, National Association, as Administrative Agent, and the Lenders party thereto provides for a $250 million senior secured revolving credit facility (the “Credit Facility”). The Credit Facility replaced Cirrus Logic’s interim credit facility described below, and may be used for general corporate purposes. The Credit Facility matures on August 29, 2017. The Credit Facility is required to be guaranteed by all of Cirrus Logic’s material domestic subsidiaries (the “Subsidiary Guarantors”). The Credit Facility is secured by substantially all of the assets of Cirrus Logic and any Subsidiary Guarantors, except for certain excluded assets. Borrowings under the Credit Facility may, at Cirrus Logic’s election, bear interest at either (a) a Base Rate plus the Applicable Margin (“Base Rate Loans”) or (b) a LIBOR Rate plus the Applicable Margin (“LIBOR Rate Loans”). The Applicable Margin ranges from 0% to .25% per annum for Base Rate Loans and 1.50% to 2.00% per annum for LIBOR Rate Loans based on Cirrus Logic’s Leverage Ratio (discussed below). A Commitment Fee accrues at a rate per annum ranging from 0.25% to 0.35% (based on the Leverage Ratio) on the average daily unused portion of the Commitment of the Lenders. The Credit Agreement contains customary affirmative covenants, including, among others, covenants regarding the payment of taxes and other obligations, maintenance of insurance, reporting requirements and compliance with applicable laws and regulations. Further, the Credit Agreement contains customary negative covenants limiting the ability of Cirrus Logic or any Subsidiary to, among other things, incur debt, grant liens, make investments, effect certain fundamental changes, make certain asset dispositions, and make certain restricted payments. The Credit Facility also contains certain financial covenants providing that (a) the ratio of consolidated funded indebtedness to consolidated EBITDA for the prior four consecutive quarters must not be greater than 2.00 to 1.00 (the “Leverage Ratio”) and (b) the sum of cash and Cash Equivalents of Cirrus Logic and its Subsidiaries on a consolidated basis must not be less than $100 million. At June 27, 2015, the Company was in compliance with all covenants under the Credit Agreement. On June 23, 2015, Cirrus Logic and Wells Fargo Bank, National Association, as Administrative Agent, entered into a first amendment of the Credit Agreement (the “First Amendment”). The First Amendment primarily provides additional flexibility to the Company for certain intercompany transactions. In particular, the First Amendment (i) amended the definition of “Permitted Acquisition” to increase the threshold whereby the Company must provide certain financial statements and certifications to the Administrative Agent; (ii) expanded the Company’s ability to make intercompany investments, including unsecured intercompany indebtedness to fund a Permitted Acquisition; and (iii) provided the Company with the ability, under certain circumstances, to transfer capital stock in a non-guarantor subsidiary to another wholly-owned subsidiary that is not a credit party. The Company had borrowed $ 160.4 million under the Credit Facility as of June 27, 2015, which is included in long-term liabilities on the consolidated condensed balance sheets. The borrowings were primarily used for refinancing the $225 million interim credit facility described below, which was used for financing the Acquisition in the second quarter of fiscal year 2015. Cirrus Logic entered into a credit agreement (the “Interim Credit Agreement”) with Wells Fargo Bank, National Association as administrative agent and lender, on April 29, 2014, in connection with the Acquisition. The Interim Credit Agreement provided for a $225 million senior secured revolving credit facility (the “Interim Facility”). The Interim Facility was to be used for, among other things, payment of the offer consideration in connection with the Acquisition. The Interim Facility was replaced with the Credit Facility described above, maturing with no outstanding borrowings or accrued interest on the maturity date.

Patent Agreement, net

Patent Agreement, net	3 Months Ended
	Jun. 27, 2015
Consolidated Condensed Statements of Income [Abstract]
Patent Agreement Net Text Block	9. Patent Agreement, net On May 8, 2015, we entered into a patent purchase agreement for the sale of certain Company-owned patents relating to our LED lighting products. As a result of this agreement, on June 22, 2015, the Company received cash consideration of $12.5 million from the purchaser. Under the agreement, the Company undertook to no longer be engaged in LED lighting and received a license under the sold patents for all other fields of use. The proceeds were recorded during fiscal year 2016 as a recovery of costs previously incurred and are reflected as a separate line item on the Consolidated Condensed Statements of Income in operating expenses under the caption “Patent agreement, net.”

Income Taxes

Income Taxes	3 Months Ended
	Jun. 27, 2015
Income Taxes [Abstract]
Income Taxes	10 . Income Taxes Our provision for income taxes is based on estimated effective tax rates derived from an estimate of annual consolidated earnings before taxes, adjusted for nondeductible expenses, other permanent items and any applicable credits. The following table presents the provision for income taxes and the effective tax rates (in thousands): Three Months Ended June 27, June 28, 2015 2014 Income before income taxes $ $ Provision for income taxes $ $ Effective tax rate Our income tax expense for the first quarter of fiscal year 2016 was below the federal statutory rate primarily due to income in certain foreign jurisdictions taxed below the federal statutory rate. Our income tax expense for the first quarter of fiscal year 2015 was slightly above the federal statutory rate primarily due to the effect of the permanent differences that are nondeductible for tax purposes. We record unrecognized tax benefits for the estimated risk associated with tax positions taken on tax returns. The unrecognized tax benefits balance was $ 3 .0 million as of June 27 , 2015. Due to the Wolfson acquisition and subsequent post-acquisition integration, it is reasonably possible that the total amount of unrecognized tax benefits could increase within the next 12 months. An estimate of the range of increase is impracticable as of June 27, 2015. We accrue interest and penalties related to unrecognized tax benefits as a component of the provision for income taxes. As of June 27 , 2015 , the balance of accrued interest and penalties was zero . No interest or penalties were incurred during the first three months of fiscal year 201 6 or 201 5 . The Company and its subsidiaries are subject to U.S. federal income tax as well as income tax in multiple state and foreign jurisdictions. Fiscal years 201 2 through 201 5 remain open to examination by the major taxing jurisdictions to which we are subject.

Pension Plan

Pension Plan	3 Months Ended
	Jun. 27, 2015
Pension and Other Postretirement and Postemployment Benefit Plans, Liabilities [Abstract]
Pension Plan	1 1 . Pension Plan The components of the Company’s net periodic pension expense for the three months ended June 27, 2015 and June 28, 2014 are as follows (in thousands): Three Months Ended June 27, June 28, 2015 2014 Expenses $ - $ - Interest cost - - Expected return on plan assets - - Amortization of actuarial loss - $ $ - Based on an actuarial study performed as of March 28, 2015, the pension plan is und erfunded and a long-term liability is reflected in the Company’s consolidated condensed balance sheet under the caption “ Other long-term liabilities ”.

Net Income Per Share

Net Income Per Share	3 Months Ended
	Jun. 27, 2015
Net Income Per Share [Abstract]
Net Income Per Share	1 2 . Net Income Per Share Basic net income per share is based on the weighted effect of common shares issued and outstanding and is calculated by dividing net income by the basic weighted average shares outstanding during the period. Diluted net income per share is calculated by dividing net income by the weighted average number of common shares used in the basic net income per share calculation, plus the equivalent number of common shares that would be issued assuming exercise or conversion of all potentially dilutive common shares outstanding. These potentially dilutive items consist primarily of outstanding stock options and restricted stock awards. The following table details the calculation of basic and diluted earnings per share for the three months ended June 27 , 201 5 and June 28 , 201 4 (in thousands, except per share amounts): Three Months Ended June 27, June 28, 2015 2014 Numerator: Net income $ $ Denominator: Weighted average shares outstanding Effect of dilutive securities Weighted average diluted shares Basic earnings per share $ $ Diluted earnings per share $ $ The weighted outstanding shares excluded from our diluted calculation for the three months ended June 27 , 201 5 and June 28, 2014 were 275 thousand and 640 thousand, respectively, as the shares were anti-dilutive.

Legal Matters

Legal Matters	3 Months Ended
	Jun. 27, 2015
Legal Matters [Abstract]
Legal Matters	1 3 . Legal Matters From time to time, we are involved in legal proceedings concerning matters arising in connection with the conduct of our business activities. We regularly evaluate the status of legal proceedings in which we are involved in order to assess whether a loss is probable or there is a reasonable possibility that a loss or additional loss may have been incurred and determine if accruals are appropriate. We further evaluate each legal proceeding to assess whether an estimate of possible loss or range of loss can be made. Based on current knowledge, management does not believe that there are any pending matters that could potentially have a material adverse effect on our business, financial condition, results of operations or cash flows. However, we are engaged in various legal actions in the normal course of business. While there can be no assurances in light of the inherent uncertainties involved in any potential legal proceedings, some of which are beyond our control, an adverse outcome in any legal proceeding could be material to our results of operations or cash flows for any particular reporting period.

Stockholders' Equtiy

Stockholders' Equtiy	3 Months Ended
	Jun. 27, 2015
Stockholder's Equity [Abstract]
Stockholders Equity Note Disclosure Text Block	14. Stockholders’ Equity Common Stock The Company issued a net 0.4 million and 0.2 million shares of common stock during the three month periods ending June 27, 2015 and June 28, 2014, respectively, in connection with stock issuances pursuant to the Company’s 2006 Stock Incentive Plan. Accumulated Other Comprehensive Loss T he Company updated the functional currencies of its smaller foreign entities (from the U.S. dollar to certain local currencies ). As a result, the Company is presenting the foreign currency translation effect, which amounted to a $0.8 million loss for the quarter ended June 27, 2015, within other comprehensive income in the Consolidated Condensed Statements of Comprehensive Income. Additionally, in the current quarter, the Company amortized pension actuarial losses out of accumulated other comprehensive income / (loss) to selling, general and administrative expenses. See Note 11 - Pension Plan above.

Segment Information

Segment Information	3 Months Ended
	Jun. 27, 2015
Segment Information [Abstract]
Segment Information	15. Segment Information We determine our operating segments in accordance with FASB guidelines. Our Chief Executive Officer (“CEO”) has been identified as the chief operating decision maker under these guidelines. The Company operates and tracks its results in one reportable segment, but reports revenue performance in two product lines, which, beginning in the second quarter of fiscal year 2015, are Portable Audio and Non-Portable Audio and Other. Our CEO receives and uses enterprise-wide financial information to assess financial performance and allocate resources, rather than detailed information at a product line level. Additionally, our product lines have similar characteristics and customers. They share operations support functions such as sales, public relations, supply chain management, various research and development and engineering support, in addition to the general and administrative functions of human resources, legal, finance and information technology. Therefore, no complete, discrete financial information is maintained for these product lines. Revenues from our product lines are as follows (in thousands): Three Months Ended June 27, June 28, 2015 2014 Portable Audio Products $ $ Non-Portable Audio and Other Products $ $

Subsequent Event

Subsequent Event	3 Months Ended
	Jun. 27, 2015
Subsequent Event [Abstract]
Subsequent Events [Text Block]	1 6 . Subsequent Event On July 21, 2015, the Company purchased a small, privately-held technology group that broadens our software capabilities for approximately $22 million. The purchase will be funded with our existing cash resources.

Marketable Securities (Tables)

Marketable Securities (Tables)	3 Months Ended
	Jun. 27, 2015
Marketable Securities [Abstract]
Schedule of Available-for-sale Securities	Estimated Gross Gross Fair Value Amortized Unrealized Unrealized (Net Carrying As of June 27, 2015 Cost Gains Losses Amount) Corporate debt securities $ $ $ $ U.S. Treasury securities - Commercial paper - Total securities $ $ $ $ The Company’s specifically identified gross unrealized losses of $ 225 thousand relates to 43 different securities with total amortized cost of approximately $ 157.6 million at June 27, 201 5 . Because the Company does not intend to sell the investments at a loss and the Company will not be required to sell the investments before recovery of its amortized cost basis, it did not consider the investment in these securities to be other-than-temporarily impaired at June 27, 201 5 . Further, the securities with gross unrealized losses had been in a continuous unrealized loss position for less than 12 months as of June 27, 201 5 . The following table is a summary of available -for-sale securities at March 28 , 201 5 (in thousands): Estimated Gross Gross Fair Value Amortized Unrealized Unrealized (Net Carrying As of March 28, 2015 Cost Gains Losses Amount) Corporate debt securities $ $ $ $ U.S. Treasury securities - Commercial paper - Total securities $ $ $ $
Schedule of Cost and Estimated Fair Value of Available-for-sale Securities by Contractual Maturity	June 27, 2015 March 28, 2015 Amortized Estimated Amortized Estimated Cost Fair Value Cost Fair Value Within 1 year $ $ $ $ After 1 year Total $ $ $ $

Fair Value of Financial Instr23

Fair Value of Financial Instruments (Tables)	3 Months Ended
	Jun. 27, 2015
Fair Value of Financial Instruments [Abstract]
Schedule of Fair Value of Financial Assets and Liabilities	Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Level 1 Level 2 Level 3 Total Assets: Cash equivalents Money market funds $ $ - $ - $ Available-for-sale securities Corporate debt securities $ - $ $ - $ U.S. Treasury securities - - Commercial paper - - $ $ $ - $ The fair value of our financial assets at March 28 , 2015, was determined using the following inputs (in thousands): Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Level 1 Level 2 Level 3 Total Cash equivalents Money market funds $ $ - $ - $ Available-for-sale securities Corporate debt securities $ - $ $ - $ U.S. Treasury securities - - Commercial paper - - $ $ $ - $

Accounts Receivable, net (Table

Accounts Receivable, net (Tables)	3 Months Ended
	Jun. 27, 2015
Accounts Receivable, net [Abstract]
Components of Accounts Receivable, net	June 27, March 28, 2015 2015 Gross accounts receivable $ $ Allowance for doubtful accounts Accounts receivable, net $ $

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Jun. 27, 2015
Inventories [Abstract]
Schedule of Inventories	June 27, March 28, 2015 2015 Work in process $ $ Finished goods $ $

Acquisition (Tables)

Acquisition (Tables)	3 Months Ended
	Jun. 27, 2015
Acquisition [Abstract]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block]	Amount Cash and cash equivalents $ Inventory Other current assets Property, plant and equipment Intangible assets Pension assets Total identifiable assets acquired $ Deferred tax liability - current Deferred revenue Other accrued liabilities Other long-term liabilities Total identifiable liabilities assumed $ Net identifiable assets acquired $ Goodwill Net assets acquired $

Acquisition Acquired Intangible

Acquisition Acquired Intangibles (Tables)	3 Months Ended
	Jun. 27, 2015
Acquisition [Abstract]
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block]	Intangible assets Amount Weighted-average Amortization Period (years) Developed technology $ 6.2 Technology intellectual property 5.3 Trademark 1.3 IPR&D 7.3 Customer relationships 10.0 Total $

Income Taxes (Tables)

Income Taxes (Tables)	3 Months Ended
	Jun. 27, 2015
Income Taxes [Abstract]
Schedule of Provision for Income Taxes and Effective Tax Rates	Three Months Ended June 27, June 28, 2015 2014 Income before income taxes $ $ Provision for income taxes $ $ Effective tax rate

Pension Plan (Periodic Pension

Pension Plan (Periodic Pension Costs) (Tables)	3 Months Ended
	Jun. 27, 2015
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract]
Schedule of Net Benefit Costs [Table Text Block]	Three Months Ended June 27, June 28, 2015 2014 Expenses $ - $ - Interest cost - - Expected return on plan assets - - Amortization of actuarial loss - $ $ -

Net Income Per Share (Tables)

Net Income Per Share (Tables)	3 Months Ended
	Jun. 27, 2015
Net Income Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	Three Months Ended June 27, June 28, 2015 2014 Numerator: Net income $ $ Denominator: Weighted average shares outstanding Effect of dilutive securities Weighted average diluted shares Basic earnings per share $ $ Diluted earnings per share $ $

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Jun. 27, 2015
Segment Information [Abstract]
Schedule of Segment Revenue from Product Lines	Three Months Ended June 27, June 28, 2015 2014 Portable Audio Products $ $ Non-Portable Audio and Other Products $ $

Marketable Securities (Narrativ

Marketable Securities (Narrative) (Details) $ in Thousands	Jun. 27, 2015USD ($)security	Mar. 28, 2015USD ($)security
Marketable Securities [Abstract]
Gross Unrealized Losses	$ (225)	$ (83)
Amortized cost on available for sale securities held at gross unrealized loss	$ 157,600	$ 154,300
Number of securities | security	43	34

Marketable Securities (Schedule

Marketable Securities (Schedule of Available-for-sale Securities) (Details) - USD ($) $ in Thousands	Jun. 27, 2015	Mar. 28, 2015
Schedule of Available-for-sale Securities [Line Items]
Estimated Fair Value	$ 170,855	$ 184,318
Gross Unrealized Gains	4	10
Gross Unrealized Losses	(225)	(83)
Amortized Cost	171,076	184,391
Corporate Debt Securities - U.S. [Member]
Schedule of Available-for-sale Securities [Line Items]
Estimated Fair Value	156,859	153,836
Gross Unrealized Gains	2	8
Gross Unrealized Losses	(223)	(68)
Amortized Cost	157,080	153,896
U.S. Treasury Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Estimated Fair Value	11,504	27,995
Gross Unrealized Losses	(2)	(15)
Amortized Cost	11,506	28,010
Commercial Paper [Member]
Schedule of Available-for-sale Securities [Line Items]
Estimated Fair Value	2,492	2,487
Gross Unrealized Gains	2	2
Amortized Cost	$ 2,490	$ 2,485

Marketable Securities (Schedu34

Marketable Securities (Schedule of Cost and Estimated Fair Value of Available-for-sale Securities by Contractual Maturity) (Details) - USD ($) $ in Thousands	Jun. 27, 2015	Mar. 28, 2015
Marketable Securities [Abstract]
Within 1 year, Amortized Cost	$ 120,288	$ 124,275
After 1 year, Amortized Cost	50,788	60,116
Within 1 year, Estimated Fair Value	120,226	124,246
After 1 year, Estimated Fair Value	50,629	60,072
Amortized Cost	171,076	184,391
Estimated Fair Value	$ 170,855	$ 184,318

Fair Value of Financial Instr35

Fair Value of Financial Instruments (Schedule of Fair Value of Financial Assets and Liabilities) (Details) - USD ($) $ in Thousands	Jun. 27, 2015	Mar. 28, 2015
Cash Equivalents [Member] | Money-Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	$ 1,293	$ 996
Cash Equivalents [Member] | Money-Market Funds [Member] | Quoted Prices In Active Markets For Identical Assets Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	1,293	996
Available-for-sale Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	170,855	184,318
Available-for-sale Securities [Member] | Quoted Prices In Active Markets For Identical Assets Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	11,504	27,995
Available-for-sale Securities [Member] | Significant Other Observable Inputs Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	159,351	156,323
Available-for-sale Securities [Member] | Corporate Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	156,859	153,836
Available-for-sale Securities [Member] | Corporate Debt Securities [Member] | Significant Other Observable Inputs Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	156,859	153,836
Available-for-sale Securities [Member] | U.S. Treasury Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	11,504	27,995
Available-for-sale Securities [Member] | U.S. Treasury Securities [Member] | Quoted Prices In Active Markets For Identical Assets Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	11,504	27,995
Available-for-sale Securities [Member] | Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	2,492	2,487
Available-for-sale Securities [Member] | Commercial Paper [Member] | Significant Other Observable Inputs Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of financial assets	$ 2,492	$ 2,487

Accounts Receivable, net (Compo

Accounts Receivable, net (Components of Accounts Receivable, net) (Details) - USD ($) $ in Thousands	Jun. 27, 2015	Mar. 28, 2015
Accounts Receivable, net [Abstract]
Gross accounts receivable	$ 121,194	$ 112,964
Allowance for doubtful accounts	(356)	(356)
Accounts receivable, net	$ 120,838	$ 112,608

Inventories (Schedule of Invent

Inventories (Schedule of Inventories) (Details) - USD ($) $ in Thousands	Jun. 27, 2015	Mar. 28, 2015
Inventories [Abstract]
Work in process	$ 83,521	$ 64,663
Finished goods	42,674	19,533
Total inventories	$ 126,195	$ 84,196

Acquisition (Narrative) (Detail

Acquisition (Narrative) (Details) - USD ($) $ in Thousands	Jun. 27, 2015	Mar. 28, 2015
Business Acquisition [Line Items]
Goodwill	$ 263,583	$ 263,115
Wolfson [Member]
Business Acquisition [Line Items]
Goodwill	$ 247,216

Acquisition (Schedule of Recogn

Acquisition (Schedule of Recognized Identified Assets Acquired, Goodwill, and Liabilities Assumed) (Details) - USD ($) $ in Thousands	Jun. 27, 2015	Mar. 28, 2015
Goodwill	$ 263,583	$ 263,115
Wolfson [Member]
Cash and cash equivalents	25,342
Inventory	30,530
Other current assets	16,226
Property, plant and equipment	27,398
Intangible assets	175,987
Pension assets	1,625
Total identifiable assets acquired	277,108
Deferred tax liability - current	(12,426)
Deferred revenue	(551)
Other accrued liabilities	(39,417)
Other long-term liabilities	(2,449)
Total identifiable liabilities assumed	(54,843)
Net identifiable assets acquired	222,265
Goodwill	247,216
Net assets acquired	$ 469,481

Acquisition (Schedule of Finite

Acquisition (Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination) (Details) - Jun. 27, 2015 - USD ($) $ in Thousands	Total
Wolfson [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles	$ 175,987
Developed technology [Member]
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	6 years 2 months 12 days
Developed technology [Member] | Wolfson [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles	$ 74,247
Technology intellectual property [Member]
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	5 years 3 months 18 days
Technology intellectual property [Member] | Wolfson [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles	$ 14,572
Trademark [Member]
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	1 year 3 months 18 days
Trademark [Member] | Wolfson [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles	$ 1,437
In-process research & development [Member]
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	7 years 3 months 18 days
In-process research & development [Member] | Wolfson [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles	$ 72,750
Customer relationships [Member]
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	10 years
Customer relationships [Member] | Wolfson [Member]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles	$ 12,981

Revolving Credit Facilities (Na

Revolving Credit Facilities (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jun. 27, 2015	Mar. 28, 2015	Apr. 29, 2014
Line of credit facility maximum borrowing capacity	$ 250,000
Covenant terms, leverage ratio requirement	200.00%
Covenant terms, cash and cash equivalents	$ 100,000
Long-term Line of Credit, Noncurrent	$ 160,439	$ 180,439
Maximum [Member]
Line of credit facility, unused capacity, commitment fee percentage	0.35%
Maximum [Member] | Base Rate [Member]
Basis spread on variable interest rate	0.25%
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member]
Line of credit facility, interest rate description	2.00%
Minimum [Member]
Line of credit facility, unused capacity, commitment fee percentage	0.25%
Minimum [Member] | Base Rate [Member]
Basis spread on variable interest rate	0.00%
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member]
Line of credit facility, interest rate description	1.50%
Wells Fargo interim credit facility [Member]
Line of credit facility maximum borrowing capacity			$ 225,000

Patent Agreement, net (Narrativ

Patent Agreement, net (Narrative) (Details) $ in Thousands	3 Months Ended
	Jun. 27, 2015USD ($)
Consolidated Condensed Statements of Income [Abstract]
Patent agreement, net	$ 12,500

Income Taxes (Narrative) (Detai

Income Taxes (Narrative) (Details) - Jun. 27, 2015 - USD ($)	Total
Income Taxes [Abstract]
Unrecognized tax benefit	$ 3,000,000
Accrued interest and penalties	0
Interest and penalties incurred during period	$ 0

Income Taxes (Table) (Details)

Income Taxes (Table) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jun. 27, 2015	Jun. 28, 2014
Income Taxes [Abstract]
Income before income taxes	$ 49,498	$ 15,949
Provision for income taxes	$ 16,144	$ 5,701
Effective tax rate	32.60%	35.70%

Pension Plan (Net Periodic Pens

Pension Plan (Net Periodic Pension Expense) (Table) (Details) $ in Thousands	3 Months Ended
	Jun. 27, 2015USD ($)
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract]
[DefinedBenefitPlanAmortizationOfGainsLosses]	$ 16
Total net periodic benefit expense (income)	$ 16

Net Income Per Share (Narrative

Net Income Per Share (Narrative) (Details) - shares shares in Thousands	3 Months Ended
	Jun. 27, 2015	Jun. 28, 2014
Net Income Per Share [Abstract]
Weighted average outstanding options excluded from diluted calculation	275	640

Net Income Per Share (Calculati

Net Income Per Share (Calculation Of Basic And Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Jun. 27, 2015	Jun. 28, 2014
Net Income Per Share [Abstract]
Net income	$ 33,354	$ 10,248
Basic weighted average common shares outstanding	63,274	62,032
Effect of dilutive securities	3,136	2,656
Diluted weighted average common shares outstanding	66,410	64,688
Basic earnings per share	$ 0.53	$ 0.17
Diluted earnings per share	$ 0.50	$ 0.16

Stockholders' Equity (Narrative

Stockholders' Equity (Narrative) (Details) - shares	3 Months Ended
	Jun. 27, 2015	Jun. 28, 2014
Stockholder's Equity [Abstract]
Stock Issued During Period, Shares, Share-based Compensation, Gross	400,000	200,000

Segment Information (Narrative)

Segment Information (Narrative) (Details) - 3 months ended Jun. 27, 2015	segmentitem
Segment Information [Abstract]
Number of reportable segments	1
Number of product lines | item	2

Segment Information (Schedule o

Segment Information (Schedule of Segment Revenue from Product Lines) (Details) - USD ($) $ in Thousands	3 Months Ended
	Jun. 27, 2015	Jun. 28, 2014
Segment Reporting Information [Line Items]
Net sales	$ 282,633	$ 152,565
Portable Audio Products [Member]
Segment Reporting Information [Line Items]
Net sales	235,866	112,570
Non-Portable Audio and Other Products [Member]
Segment Reporting Information [Line Items]
Net sales	$ 46,767	$ 39,995

Subsequent Event (Narrative) (D

Subsequent Event (Narrative) (Details) $ in Millions	Jul. 20, 2015USD ($)
Subsequent Event [Abstract]
Payments To Acquire Businesses Gross	$ 22