Multi Fineline Electronix (MFLX) 10-Q 5 Nov 15 2015 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Oct. 31, 2015
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Trading Symbol	MFLX
Entity Registrant Name	MULTI FINELINE ELECTRONIX INC
Entity Central Index Key	830,916
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		24,395,342

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
ASSETS
Cash and cash equivalents	$ 168,536	$ 132,382
Accounts receivable, net of allowances of $1,553 and $3,126 at September 30, 2015 and December 31, 2014, respectively	118,813	133,151
Inventories	76,636	65,627
Income tax receivable	1,071	265
Assets held for sale		11,387
Other current assets	10,512	7,548
Total current assets	375,568	350,360
Property plant and equipment, net	142,436	164,345
Land use rights	3,279	3,108
Deferred taxes	8,994	9,120
Other assets	401	454
Total assets	530,678	527,387
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable	134,030	143,032
Other current liabilities	30,068	42,697
Income taxes payable	2,333	2,020
Total current liabilities	166,431	187,749
Other long-term liabilities	8,755	11,178
Total liabilities	$ 175,186	$ 198,927
Commitments and contingencies (Note 2)
Stockholders' equity
Preferred stock, $0.0001 par value, 5,000,000 and 5,000,000 shares authorized at September 30, 2015 and December 31, 2014, respectively; 0 and 0 shares issued and outstanding at September 30, 2015 and December 31, 2014, respectively
Common stock, $0.0001 par value; 100,000,000 and 100,000,000 shares authorized at September 30, 2015 and December 31, 2014, respectively; 24,395,342 and 24,303,267 shares issued and outstanding at September 30, 2015 and December 31, 2014, respectively	$ 2	$ 2
Additional paid in capital	96,743	94,394
Retained earnings	218,759	184,099
Accumulated other comprehensive income	39,988	49,965
Total stockholders' equity	355,492	328,460
Total liabilities and stockholders' equity	$ 530,678	$ 527,387

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Statement Of Financial Position [Abstract]
Accounts receivable, allowances	$ 1,553	$ 3,126
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	24,395,342	24,303,267
Common stock, shares outstanding	24,395,342	24,303,267

Condensed Consolidated Statemen

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Statement [Abstract]
Net sales	$ 165,690	$ 172,884	$ 467,554	$ 421,481
Cost of sales	143,146	155,340	407,399	424,128
Gross profit (loss)	22,544	17,544	60,155	(2,647)
Operating expenses:
Research and development	1,258	1,270	3,858	4,486
Sales and marketing	3,509	4,207	11,452	13,107
General and administrative	4,857	4,281	14,989	12,078
Impairment and restructuring	(485)	780	(1,808)	33,939
Total operating expenses	9,139	10,538	28,491	63,610
Operating income (loss)	13,405	7,006	31,664	(66,257)
Other income and expense:
Interest income	490	400	1,265	816
Interest expense	(97)	(139)	(282)	(375)
Other income (expense), net	1,874	375	3,958	1,202
Income (loss) before taxes	15,672	7,642	36,605	(64,614)
Provision for income taxes	(1,983)	(1,719)	(1,945)	(10,639)
Net income (loss)	13,689	5,923	34,660	(75,253)
Other comprehensive income, net of tax:
Foreign currency translation adjustment	(10,164)	33	(9,977)	(2,297)
Total comprehensive net income (loss)	$ 3,525	$ 5,956	$ 24,683	$ (77,550)
Net income (loss) per share:
Basic	$ 0.56	$ 0.25	$ 1.42	$ (3.12)
Diluted	$ 0.54	$ 0.24	$ 1.37	$ (3.12)
Shares used in computing net income (loss) per share:
Basic	24,362,797	24,171,352	24,345,631	24,135,955
Diluted	25,192,967	24,389,191	25,219,334	24,135,955

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities
Net income (loss)	$ 34,660	$ (75,253)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization	35,323	38,559
Deferred taxes	126	7,564
Stock-based compensation expense	3,283	2,526
Income tax benefit related to stock option exercises		(57)
Asset (recoveries) impairments	(946)	18,241
Gain on disposal of equipment and assets held for sale	(830)	(513)
Changes in operating assets and liabilities:
Accounts receivable	12,294	13,340
Inventories	(20,303)	2,207
Other current assets	(1,907)	6,226
Other assets	63	4,976
Accounts payable	(6,351)	(19,192)
Other current liabilities	(11,811)	(2,548)
Income taxes payable	(780)	(2,481)
Other liabilities	(2,328)	2,399
Net cash provided by (used in) operating activities	40,493	(4,006)
Cash flows from investing activities
Purchases of property and equipment	(10,623)	(11,966)
Proceeds from sale of equipment and assets held for sale	6,987	3,096
Change in restricted cash, net	520	(520)
Net cash used in investing activities	(3,116)	(9,390)
Cash flows from financing activities
Income tax benefit related to stock option exercises		57
Tax withholdings for net share settlement of equity awards	(934)	(538)
Borrowings from lines of credit		20,000
Repayment of borrowings under line of credit agreement		(20,000)
Proceeds from exercise of stock options		782
Debt issuance costs		(442)
Net cash used in financing activities	(934)	(141)
Effect of exchange rate changes on cash	(289)	317
Net change in cash	36,154	(13,220)
Cash and cash equivalents at beginning of period	132,382	111,887
Cash and cash equivalents at end of period	168,536	98,667
Non-cash investing activities
Purchases of property and equipment	$ 9,106	$ 6,474

Description of Business

Description of Business	9 Months Ended
	Sep. 30, 2015
Basis Of Presentation [Abstract]
Description of Business	1. Description of Business Multi-Fineline Electronix, Inc. (“MFLEX” or the “Company”) was incorporated in 1984 in the State of California and reincorporated in the State of Delaware in June 2004. The Company is primarily engaged in the engineering, design and manufacture of flexible printed circuit boards along with related component assemblies. United Engineers Limited (“UEL”) and its wholly owned subsidiary, UE Centennial Venture Pte. Ltd (“UECV”, and together with UEL, “UE”), through its affiliates and subsidiaries, beneficially owned approximately 61% of the Company’s outstanding common stock as of each of September 30, 2015 and December 31, 2014. This beneficial ownership of the Company’s common stock by UE provides these entities with control over the outcome of stockholder votes at the Company, except with respect to certain related-party transactions with UE or its subsidiaries, including WBL Corporation Limited (“WBL”), which require a separate vote of the non-UE stockholders.

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Basis of Presentation	2. Basis of Presentation Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. The Company has three wholly owned subsidiaries located in China: MFLEX Suzhou Co., Ltd., (“MFC”), formerly known as Multi-Fineline Electronix (Suzhou No. 2) Co., Ltd. (“MFC2”) and into which Multi-Fineline Electronix (Suzhou) Co., Ltd. (“MFC1”, which we are in the process of de-registering) was merged in fiscal 2010, and MFLEX Chengdu Co., Ltd. (“MFLEX Chengdu”); one located in the Cayman Islands: M-Flex Cayman Islands, Inc. (“MFCI”); one located in Singapore: Multi-Fineline Electronix Singapore Pte. Ltd. (“MFLEX Singapore”); one located in Malaysia: Multi-Fineline Electronix Malaysia Sdn. Bhd. (“MFM”); one located in Cambridge, England: MFLEX UK Limited (“MFE”); one located in Korea: MFLEX Korea, Ltd. (“MKR”); and one located in the Netherlands: MFLEX B.V. (“MNE”). All significant intercompany transactions and balances have been eliminated in consolidation. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes contained in the Company’s Transition Report on Form 10-K for the transition period from October 1, 2014 to December 31, 2014 filed with the SEC on February 13, 2015 (the “Transition Report”). The financial information presented in the accompanying statements reflects all adjustments that are, in the opinion of management, necessary for a fair statement of the periods indicated. All such adjustments are of a normal recurring nature. The year-end condensed balance sheet data was derived from audited financial statements, but does not include all disclosures required by U.S. GAAP. Operating results for the three and nine months ended September 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015. Unless otherwise indicated, the financial information in these notes is presented in thousands (except per share amounts). Fair Value Measurements The carrying amounts of certain of the Company’s financial instruments, including cash, accounts receivable, accounts payable and other current liabilities approximated fair value due to their short maturities. For recognition purposes, on a recurring basis, the Company’s assets and liabilities related to money market funds are measured at fair value at the end of each reporting period. The fair value of the Company’s money market funds were measured using Level 1 fair value inputs, which consisted of quoted market prices in active markets for identical assets and liabilities. The Company’s assets and liabilities measured at fair value on a recurring basis subject to the disclosure requirements as defined under the Financial Accounting Standards Board (“FASB”) authoritative accounting guidance were as follows: Fair Value Measurements of Assets and Liabilities on a Recurring Basis as of September 30, 2015 Level 1 Level 2 Level 3 Money market funds (cash and cash equivalents) $ 5,007 $ — $ — $ 5,007 $ — $ — Fair Value Measurements of Assets and Liabilities on a Recurring Basis as of December 31, 2014 Level 1 Level 2 Level 3 Money market funds (cash and cash equivalents) $ 18,208 $ — $ — $ 18,208 $ — $ — As of September 30, 2015, no assets were measured at fair value on a non-recurring basis. Below is a summary of the Company’s assets measured at fair value on a non-recurring basis December 31, 2014; refer to Note 7 for further information. The fair value of the assets was determined using Level 3 unobservable inputs not corroborated by market data, consisting of a value assessment report and third-party offers for the building and equipment. Fair Value Measurements of Assets and Liabilities on a Non-Recurring Basis as of December 31, 2014 Level 1 Level 2 Level 3 Building and equipment (assets held for sale) $ — $ — $ 11,387 $ — $ — $ 11,387 Inventories Inventories, net of applicable write-downs, were composed of the following: September 30, 2015 December 31, 2014 Raw materials and supplies $ 18,407 $ 19,268 Work-in-progress 23,273 15,713 Finished goods 34,956 30,646 $ 76,636 $ 65,627 Property, Plant and Equipment Property, plant and equipment, net, were composed of the following: September 30, 2015 December 31, 2014 Building $ 54,458 $ 50,450 Machinery and equipment 328,676 334,539 Computers and capitalized software 14,124 13,328 Leasehold improvements 1,092 1,290 Construction-in-progress 2,160 598 $ 400,510 $ 400,205 Accumulated depreciation and amortization (258,074 ) (235,860 ) $ 142,436 $ 164,345 Other Current Liabilities Other current liabilities were composed of the following: September 30, 2015 December 31, 2014 Wages and compensation $ 14,714 $ 13,855 Restructuring expenses¹ 3,090 5,710 Current portion of liabilities on uncertain tax positions — 12,524 Other accrued expenses 12,264 10,608 $ 30,068 $ 42,697 1 Refer to Note 7 for further information on the Company’s impairment and restructuring activities during the three and nine months ended September 30, 2015. Product Warranty Accrual Changes in the product warranty accrual for the three and nine months ended September 30, 2015 and 2014 were as follows: Balance at July 1 Warranty Expenditures Provision for Estimated Warranty Cost Balance at September 30 2015 $ 668 (588 ) 569 $ 649 2014 $ 856 (465 ) 606 $ 997 Balance at January 1 Warranty Expenditures Provision for Estimated Warranty Cost Balance at September 30 2015 $ 1,013 (2,924 ) 2,560 $ 649 2014 $ 1,452 (3,559 ) 3,104 $ 997 Net Income Per Share—Basic and Diluted The following table presents a reconciliation of basic and diluted shares for the three and nine months ended September 30, 2015 and 2014: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Basic weighted-average number of common shares outstanding 24,362,797 24,171,352 24,345,631 24,135,955 Dilutive effect of potential common shares 830,170 217,839 873,703 — Diluted weighted-average number of common and potential common shares outstanding 25,192,967 24,389,191 25,219,334 24,135,955 Potential common shares excluded from the per share computations as the effect of their inclusion would not be dilutive 532,304 819,356 382,764 912,758 Commitments and Contingencies Litigation The Company is involved in litigation from time to time in the ordinary course of business. Management does not believe the outcome of any currently pending matters will have a material adverse effect on the Company’s financial position, results of operations or cash flows. Other Commitments The Company has outstanding purchase and other commitments, which exclude amounts already recorded on the Condensed Consolidated Balance Sheets. The outstanding purchase commitments to acquire capital assets and other materials and services totaled $7,470 and $8,791 as of September 30, 2015 and December 31, 2014, respectively. Pursuant to the laws applicable to the People’s Republic of China’s Foreign Investment Enterprises, the Company’s two active wholly owned subsidiaries in China, MFC and MFLEX Chengdu, are restricted from paying cash dividends on 10% of after-tax statutory profit, subject to certain cumulative limits. These restrictions as of September 30, 2015 and December 31, 2014 were $18,708 and $20,170, respectively. Significant Concentrations The Company’s net sales into its largest industry sectors, as a percentage of total net sales, are presented below: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Smartphones 71 % 69 % 70 % 69 % Tablets 10 % 18 % 13 % 16 % Consumer electronics 1 17 % 6 % 14 % 7 % 1 Includes wearables.

Lines of Credit

Lines of Credit	9 Months Ended
	Sep. 30, 2015
Debt Disclosure [Abstract]
Lines of Credit	3. Lines of Credit During August 2014, the Company, as guarantor, and MFLEX Singapore, as borrower, entered into a Loan and Security Agreement with certain financial institutions, as lenders, and Bank of America, N.A. (“BA”), as agent, providing for a senior revolving credit facility in an amount up to $30,000. The credit facility has a three-year term, and availability under the credit facility is calculated based on a formula which takes into account multiple factors, including the accounts receivable of borrower, the geographic location of borrower’s customer, and whether the customer’s receivable is insured by a third party. Amounts outstanding will bear interest at either: (1) a rate equal to LIBOR or SIBOR, plus an applicable margin, which ranges from 175 to 275 basis points, or (2) a defined base rate plus an applicable margin ranging from 75 to 275 basis points. In either case, the applicable margin is based on the fixed charge coverage ratio of the Company and its subsidiaries, measured on a consolidated basis. During July 2013, MFC entered into a Line of General Credit Agreement (the “MFC Credit Line”) with Agricultural Bank of China, Suzhou Wuzhong Sub-branch (“ABC”), providing for a line of credit to MFC in an amount of 200,000 Chinese Renminbi (“RMB”) ($31,440 at September 30, 2015). The MFC Credit Line will mature on July 30, 2016. During May 2013, MFC entered into a Line of Credit Agreement (the “CCB Credit Line”) with China Construction Bank, Suzhou Industry Park Sub-Branch (“CCB”), which provides for a borrowing facility for 300,000 RMB ($47,160 at September 30, 2015). The CCB Credit Line will mature on May 5, 2016 . A summary of the lines of credit is as follows: Amounts Available at Amounts Outstanding at September 30, 2015 December 31, 2014 September 30, 2015 December 31, 2014 Line of credit (BA) $ 30,000 $ 30,000 $ — $ — Line of credit (ABC) 31,440 32,685 — — Line of credit (CCB) 47,160 49,028 — — $ 108,600 $ 111,713 $ — $ — As of September 30, 2015, the Company was in compliance with all applicable financial covenants.

Segment Information

Segment Information	9 Months Ended
	Sep. 30, 2015
Segment Reporting [Abstract]
Segment Information	4. Segment Information Based on the evaluation of the Company’s internal financial information, management believes that the Company operates in one reportable segment under one reporting unit. The Company is primarily engaged in the engineering, design and manufacture of flexible circuit boards along with related component assemblies. For the periods presented, the Company operated in four geographical areas: United States, China, Singapore and Other (which includes Malaysia, Korea and the United Kingdom). Net sales are presented based on the country in which the sales originate, which is where the legal entity is domiciled. The financial results of the Company’s geographic segments are presented on a basis consistent with the condensed consolidated financial statements. The geographic area’s net sales amounts include intra-company product sales transactions, which are offset in the elimination line. Net sales by geographic segment is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net sales United States $ 2,509 $ 3,219 $ 8,390 $ 11,316 China 156,795 160,899 428,846 395,018 Singapore 161,876 156,496 453,260 358,532 Other 28 5,773 708 22,122 Eliminations (155,518 ) (153,503 ) (423,650 ) (365,507 ) Total $ 165,690 $ 172,884 $ 467,554 $ 421,481

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2015
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock-Based Compensation	5. Stock-Based Compensation 2014 Equity Incentive Plan At the Company’s annual meeting of stockholders on March 5, 2014, the stockholders approved the Company’s 2014 Equity Incentive Plan (the “2014 Plan”). Upon stockholder approval of the 2014 Plan, the Company’s 2004 Stock Incentive Plan, as amended and restated to date (the “2004 Plan”) was terminated. Restricted Stock Units From time to time, the Company grants service-based restricted stock units (“RSUs”) under the 2014 Plan to certain employees (including executive officers) and directors at no cost to such individual. Each RSU represents one hypothetical share of the Company’s common stock, without voting or dividend rights. The RSUs granted to employees generally vest over a period of three years with one-third vesting on each of the anniversary dates of the grant date. Total compensation cost related to RSUs is determined based on the fair value of the Company’s common stock on the date of grant and is amortized into expense over the vesting period using the straight-line method. RSU activity for the nine months ended September 30, 2015 is summarized as follows: Number of Shares Weighted -Average Grant-Date Fair Value Non-vested shares outstanding at December 31, 2014 1,568,365 $ 9.43 Granted 63,780 21.80 Vested (105,859 ) 17.28 Canceled (185,738 ) 9.35 Non-vested shares outstanding at September 30, 2015 1,340,548 $ 9.41 RSU details for the three and nine months ended September 30, 2015 and 2014 are summarized as follows: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Service-based RSUs granted — 2,700 63,780 53,616 Stock-based compensation expense recognized $ 1,255 $ 600 $ 3,283 $ 2,526 Weighted-average grant-date fair value of non-vested RSUs granted $ — $ 9.53 $ 21.80 $ 13.61 Weighted-average grant-date fair value of RSUs vested $ 19.48 $ 19.39 $ 17.28 $ 19.28 Aggregate intrinsic value of RSUs vested $ 1,091 $ 1,102 $ 1,864 $ 1,136 Unearned compensation as of September 30, 2015 was $6,721 related to non-vested RSUs, which will be recognized into expense over the weighted-average remaining contractual life of the non-vested RSUs of 1.8 years. Stock-Based Compensation Expense Summary The following table shows a summary of the stock-based compensation expense by expense type included in the Condensed Consolidated Statements of Comprehensive Income for the three and nine months ended September 30, 2015 and 2014: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Cost of sales $ 114 $ 46 $ 326 $ 179 Research and development 112 55 321 253 Sales and marketing 110 77 260 333 General and administrative 919 422 2,376 1,761 Total $ 1,255 $ 600 $ 3,283 $ 2,526

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	6. Income Taxes As of September 30, 2015, the Company recorded a liability for income taxes associated with uncertain tax positions of $13,963, of which $6,110, if recognized, would favorably affect the Company’s effective tax rate. As of December 31, 2014, the total liability for income taxes associated with uncertain tax positions was $26,109, of which $17,510, if recognized, would favorably affect the Company’s effective tax rate. The decrease in liability was due to the settlement with the Chinese tax authority on its audit of MFC and MFC1 for tax years 2005 through 2011. In addition, the Company recognized a one-time income tax benefit of $2,710 for the three months ended June 30, 2015 due to the expiration of statute of limitation. The Company anticipates that there will be changes to the unrecognized tax benefit associated with uncertain tax positions due to the expiration of statutes of limitation, payment of tax on amended returns, audit settlements and other changes in reserves. However, due to the uncertainty regarding the timing of these events, other than the statute of limitation expiration, a current estimate of the range of changes that may occur within the next 12 months cannot be made. The Chinese tax authority is currently auditing the income tax returns of MFLEX Chengdu for tax years 2009 through 2015. The Chinese tax authority raised questions related to transfer pricing on tangible goods sold by the Company to related parties. The questions primarily related to the transfer pricing methodology and the selection of comparable companies. Discussions with the Chinese tax authority surrounding this issue are ongoing. Management believes that an adequate provision has been made related to this audit. The outcome of these tax audits cannot be predicted with certainty. If any issues raised in the Company’s tax audits are resolved in a manner not consistent with management’s expectations, then the Company could be required to adjust its provision for income tax in the period such resolution occurs. Any significant adjustments from the tax authorities could have a material adverse effect on the Company’s results of operations, cash flows and financial position if not resolved favorably.

Impairment and Restructuring

Impairment and Restructuring	9 Months Ended
	Sep. 30, 2015
Restructuring And Related Activities [Abstract]
Impairment and Restructuring	7. Impairment and Restructuring The Company recorded the following impairment and restructuring (recoveries) expenses during the three and nine months ended September 30, 2015 and 2014: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Asset (recoveries) impairments $ (564 ) $ (198 ) $ (946 ) $ 18,241 Gain on sale of a satellite facility — — (1,101 ) — One-time termination benefits — 63 13 9,699 Other costs 79 915 226 5,999 Impairment and restructuring $ (485 ) $ 780 $ (1,808 ) $ 33,939 Assets Held for Sale During the three months ended March 31, 2015, the Company completed the sale of one of its satellite facilities in Suzhou, China, which resulted in a gain of $1,101. During the three and nine months ended September 30, 2015, the Company recorded impairment recoveries of $(3) and $(385), respectively, upon completing the sale of certain machinery and equipment previously classified as assets held for sale. In connection with the Company’s restructuring in 2014, the Company classified a manufacturing facility in Chengdu, China, as an asset held for sale as of March 31, 2014. The Company's intent continues to be to sell the facility, but the time of completion of a sale cannot be estimated at this time. Given this change in facts and circumstances, the asset no longer met the held for sale classification criteria under the relevant FASB authoritative guidance as of September 30, 2015. As a result, the Company reclassified this facility as property, plant and equipment and remeasured it at its estimated fair value as of September 30, 2015 (the reclassification date), recording a gain of $561 in impairment and restructuring for the three and nine months ended September 30, 2015. Restructuring Reserve Activity The following table reflects the movement activity of the restructuring reserve for the nine months ended September 30, 2015: One-Time Termination Benefits Contract Termination Costs Other Costs Total Accrued Restructuring Accrued at December 31, 2014 $ 542 $ (3 ) $ 5,171 $ 5,710 Restructuring additions 13 — 293 306 Adjustment/foreign exchange effect (181 ) 3 (385 ) (563 ) Amount paid (374 ) — (1,989 ) (2,363 ) Accrued at September 30, 2015 $ — $ — $ 3,090 $ 3,090

Basis of Presentation (Policies

Basis of Presentation (Policies)	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. The Company has three wholly owned subsidiaries located in China: MFLEX Suzhou Co., Ltd., (“MFC”), formerly known as Multi-Fineline Electronix (Suzhou No. 2) Co., Ltd. (“MFC2”) and into which Multi-Fineline Electronix (Suzhou) Co., Ltd. (“MFC1”, which we are in the process of de-registering) was merged in fiscal 2010, and MFLEX Chengdu Co., Ltd. (“MFLEX Chengdu”); one located in the Cayman Islands: M-Flex Cayman Islands, Inc. (“MFCI”); one located in Singapore: Multi-Fineline Electronix Singapore Pte. Ltd. (“MFLEX Singapore”); one located in Malaysia: Multi-Fineline Electronix Malaysia Sdn. Bhd. (“MFM”); one located in Cambridge, England: MFLEX UK Limited (“MFE”); one located in Korea: MFLEX Korea, Ltd. (“MKR”); and one located in the Netherlands: MFLEX B.V. (“MNE”). All significant intercompany transactions and balances have been eliminated in consolidation. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes contained in the Company’s Transition Report on Form 10-K for the transition period from October 1, 2014 to December 31, 2014 filed with the SEC on February 13, 2015 (the “Transition Report”). The financial information presented in the accompanying statements reflects all adjustments that are, in the opinion of management, necessary for a fair statement of the periods indicated. All such adjustments are of a normal recurring nature. The year-end condensed balance sheet data was derived from audited financial statements, but does not include all disclosures required by U.S. GAAP. Operating results for the three and nine months ended September 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015. Unless otherwise indicated, the financial information in these notes is presented in thousands (except per share amounts).
Fair Value Measurements	Fair Value Measurements The carrying amounts of certain of the Company’s financial instruments, including cash, accounts receivable, accounts payable and other current liabilities approximated fair value due to their short maturities. For recognition purposes, on a recurring basis, the Company’s assets and liabilities related to money market funds are measured at fair value at the end of each reporting period. The fair value of the Company’s money market funds were measured using Level 1 fair value inputs, which consisted of quoted market prices in active markets for identical assets and liabilities. The Company’s assets and liabilities measured at fair value on a recurring basis subject to the disclosure requirements as defined under the Financial Accounting Standards Board (“FASB”) authoritative accounting guidance were as follows: Fair Value Measurements of Assets and Liabilities on a Recurring Basis as of September 30, 2015 Level 1 Level 2 Level 3 Money market funds (cash and cash equivalents) $ 5,007 $ — $ — $ 5,007 $ — $ — Fair Value Measurements of Assets and Liabilities on a Recurring Basis as of December 31, 2014 Level 1 Level 2 Level 3 Money market funds (cash and cash equivalents) $ 18,208 $ — $ — $ 18,208 $ — $ — As of September 30, 2015, no assets were measured at fair value on a non-recurring basis. Below is a summary of the Company’s assets measured at fair value on a non-recurring basis December 31, 2014; refer to Note 7 for further information. The fair value of the assets was determined using Level 3 unobservable inputs not corroborated by market data, consisting of a value assessment report and third-party offers for the building and equipment. Fair Value Measurements of Assets and Liabilities on a Non-Recurring Basis as of December 31, 2014 Level 1 Level 2 Level 3 Building and equipment (assets held for sale) $ — $ — $ 11,387 $ — $ — $ 11,387
Inventories	Inventories Inventories, net of applicable write-downs, were composed of the following: September 30, 2015 December 31, 2014 Raw materials and supplies $ 18,407 $ 19,268 Work-in-progress 23,273 15,713 Finished goods 34,956 30,646 $ 76,636 $ 65,627
Property, Plant and Equipment	Property, Plant and Equipment Property, plant and equipment, net, were composed of the following: September 30, 2015 December 31, 2014 Building $ 54,458 $ 50,450 Machinery and equipment 328,676 334,539 Computers and capitalized software 14,124 13,328 Leasehold improvements 1,092 1,290 Construction-in-progress 2,160 598 $ 400,510 $ 400,205 Accumulated depreciation and amortization (258,074 ) (235,860 ) $ 142,436 $ 164,345
Other Current Liabilities	Other Current Liabilities Other current liabilities were composed of the following: September 30, 2015 December 31, 2014 Wages and compensation $ 14,714 $ 13,855 Restructuring expenses¹ 3,090 5,710 Current portion of liabilities on uncertain tax positions — 12,524 Other accrued expenses 12,264 10,608 $ 30,068 $ 42,697 1 Refer to Note 7 for further information on the Company’s impairment and restructuring activities during the three and nine months ended September 30, 2015.
Product Warranty Accrual	Product Warranty Accrual Changes in the product warranty accrual for the three and nine months ended September 30, 2015 and 2014 were as follows: Balance at July 1 Warranty Expenditures Provision for Estimated Warranty Cost Balance at September 30 2015 $ 668 (588 ) 569 $ 649 2014 $ 856 (465 ) 606 $ 997 Balance at January 1 Warranty Expenditures Provision for Estimated Warranty Cost Balance at September 30 2015 $ 1,013 (2,924 ) 2,560 $ 649 2014 $ 1,452 (3,559 ) 3,104 $ 997
Net Income Per Share-Basic and Diluted	Net Income Per Share—Basic and Diluted The following table presents a reconciliation of basic and diluted shares for the three and nine months ended September 30, 2015 and 2014: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Basic weighted-average number of common shares outstanding 24,362,797 24,171,352 24,345,631 24,135,955 Dilutive effect of potential common shares 830,170 217,839 873,703 — Diluted weighted-average number of common and potential common shares outstanding 25,192,967 24,389,191 25,219,334 24,135,955 Potential common shares excluded from the per share computations as the effect of their inclusion would not be dilutive 532,304 819,356 382,764 912,758
Commitments and Contingencies	Commitments and Contingencies Litigation The Company is involved in litigation from time to time in the ordinary course of business. Management does not believe the outcome of any currently pending matters will have a material adverse effect on the Company’s financial position, results of operations or cash flows. Other Commitments The Company has outstanding purchase and other commitments, which exclude amounts already recorded on the Condensed Consolidated Balance Sheets. The outstanding purchase commitments to acquire capital assets and other materials and services totaled $7,470 and $8,791 as of September 30, 2015 and December 31, 2014, respectively. Pursuant to the laws applicable to the People’s Republic of China’s Foreign Investment Enterprises, the Company’s two active wholly owned subsidiaries in China, MFC and MFLEX Chengdu, are restricted from paying cash dividends on 10% of after-tax statutory profit, subject to certain cumulative limits. These restrictions as of September 30, 2015 and December 31, 2014 were $18,708 and $20,170, respectively.
Significant Concentrations	Significant Concentrations The Company’s net sales into its largest industry sectors, as a percentage of total net sales, are presented below: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Smartphones 71 % 69 % 70 % 69 % Tablets 10 % 18 % 13 % 16 % Consumer electronics 1 17 % 6 % 14 % 7 % 1 Includes wearables.
Description Of Business	Description of Business Multi-Fineline Electronix, Inc. (“MFLEX” or the “Company”) was incorporated in 1984 in the State of California and reincorporated in the State of Delaware in June 2004. The Company is primarily engaged in the engineering, design and manufacture of flexible printed circuit boards along with related component assemblies. United Engineers Limited (“UEL”) and its wholly owned subsidiary, UE Centennial Venture Pte. Ltd (“UECV”, and together with UEL, “UE”), through its affiliates and subsidiaries, beneficially owned approximately 61% of the Company’s outstanding common stock as of each of September 30, 2015 and December 31, 2014. This beneficial ownership of the Company’s common stock by UE provides these entities with control over the outcome of stockholder votes at the Company, except with respect to certain related-party transactions with UE or its subsidiaries, including WBL Corporation Limited (“WBL”), which require a separate vote of the non-UE stockholders.

Basis of Presentation (Tables)

Basis of Presentation (Tables)	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis	The Company’s assets and liabilities measured at fair value on a recurring basis subject to the disclosure requirements as defined under the Financial Accounting Standards Board (“FASB”) authoritative accounting guidance were as follows: Fair Value Measurements of Assets and Liabilities on a Recurring Basis as of September 30, 2015 Level 1 Level 2 Level 3 Money market funds (cash and cash equivalents) $ 5,007 $ — $ — $ 5,007 $ — $ — Fair Value Measurements of Assets and Liabilities on a Recurring Basis as of December 31, 2014 Level 1 Level 2 Level 3 Money market funds (cash and cash equivalents) $ 18,208 $ — $ — $ 18,208 $ — $ —
Schedule of Assets Held For Sale Measured at Fair Value on Nonrecurring Basis	Below is a summary of the Company’s assets measured at fair value on a non-recurring basis December 31, 2014; refer to Note 7 for further information. The fair value of the assets was determined using Level 3 unobservable inputs not corroborated by market data, consisting of a value assessment report and third-party offers for the building and equipment. Fair Value Measurements of Assets and Liabilities on a Non-Recurring Basis as of December 31, 2014 Level 1 Level 2 Level 3 Building and equipment (assets held for sale) $ — $ — $ 11,387 $ — $ — $ 11,387
Components of Inventories, Net of Applicable Write-Downs	Inventories, net of applicable write-downs, were composed of the following: September 30, 2015 December 31, 2014 Raw materials and supplies $ 18,407 $ 19,268 Work-in-progress 23,273 15,713 Finished goods 34,956 30,646 $ 76,636 $ 65,627
Components of Property, Plant and Equipment	Property, plant and equipment, net, were composed of the following: September 30, 2015 December 31, 2014 Building $ 54,458 $ 50,450 Machinery and equipment 328,676 334,539 Computers and capitalized software 14,124 13,328 Leasehold improvements 1,092 1,290 Construction-in-progress 2,160 598 $ 400,510 $ 400,205 Accumulated depreciation and amortization (258,074 ) (235,860 ) $ 142,436 $ 164,345
Components of Other Current Liabilities	Other current liabilities were composed of the following: September 30, 2015 December 31, 2014 Wages and compensation $ 14,714 $ 13,855 Restructuring expenses¹ 3,090 5,710 Current portion of liabilities on uncertain tax positions — 12,524 Other accrued expenses 12,264 10,608 $ 30,068 $ 42,697 1 Refer to Note 7 for further information on the Company’s impairment and restructuring activities during the three and nine months ended September 30, 2015.
Changes in the Product Warranty Accrual	Changes in the product warranty accrual for the three and nine months ended September 30, 2015 and 2014 were as follows: Balance at July 1 Warranty Expenditures Provision for Estimated Warranty Cost Balance at September 30 2015 $ 668 (588 ) 569 $ 649 2014 $ 856 (465 ) 606 $ 997 Balance at January 1 Warranty Expenditures Provision for Estimated Warranty Cost Balance at September 30 2015 $ 1,013 (2,924 ) 2,560 $ 649 2014 $ 1,452 (3,559 ) 3,104 $ 997
Reconciliation of Basic and Diluted Shares	The following table presents a reconciliation of basic and diluted shares for the three and nine months ended September 30, 2015 and 2014: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Basic weighted-average number of common shares outstanding 24,362,797 24,171,352 24,345,631 24,135,955 Dilutive effect of potential common shares 830,170 217,839 873,703 — Diluted weighted-average number of common and potential common shares outstanding 25,192,967 24,389,191 25,219,334 24,135,955 Potential common shares excluded from the per share computations as the effect of their inclusion would not be dilutive 532,304 819,356 382,764 912,758
Company's Sales into its Largest Industry Sectors	The Company’s net sales into its largest industry sectors, as a percentage of total net sales, are presented below: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Smartphones 71 % 69 % 70 % 69 % Tablets 10 % 18 % 13 % 16 % Consumer electronics 1 17 % 6 % 14 % 7 % 1 Includes wearables.

Lines of Credit (Tables)

Lines of Credit (Tables)	9 Months Ended
	Sep. 30, 2015
Debt Disclosure [Abstract]
Summary of the Lines of Credit	A summary of the lines of credit is as follows: Amounts Available at Amounts Outstanding at September 30, 2015 December 31, 2014 September 30, 2015 December 31, 2014 Line of credit (BA) $ 30,000 $ 30,000 $ — $ — Line of credit (ABC) 31,440 32,685 — — Line of credit (CCB) 47,160 49,028 — — $ 108,600 $ 111,713 $ — $ —

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Sep. 30, 2015
Segment Reporting [Abstract]
Net Sales by Geographic Segment	Net sales by geographic segment is as follows: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Net sales United States $ 2,509 $ 3,219 $ 8,390 $ 11,316 China 156,795 160,899 428,846 395,018 Singapore 161,876 156,496 453,260 358,532 Other 28 5,773 708 22,122 Eliminations (155,518 ) (153,503 ) (423,650 ) (365,507 ) Total $ 165,690 $ 172,884 $ 467,554 $ 421,481

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2015
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Restricted Stock Units Activity	RSU activity for the nine months ended September 30, 2015 is summarized as follows: Number of Shares Weighted -Average Grant-Date Fair Value Non-vested shares outstanding at December 31, 2014 1,568,365 $ 9.43 Granted 63,780 21.80 Vested (105,859 ) 17.28 Canceled (185,738 ) 9.35 Non-vested shares outstanding at September 30, 2015 1,340,548 $ 9.41
Restricted Stock Units Details	RSU details for the three and nine months ended September 30, 2015 and 2014 are summarized as follows: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Service-based RSUs granted — 2,700 63,780 53,616 Stock-based compensation expense recognized $ 1,255 $ 600 $ 3,283 $ 2,526 Weighted-average grant-date fair value of non-vested RSUs granted $ — $ 9.53 $ 21.80 $ 13.61 Weighted-average grant-date fair value of RSUs vested $ 19.48 $ 19.39 $ 17.28 $ 19.28 Aggregate intrinsic value of RSUs vested $ 1,091 $ 1,102 $ 1,864 $ 1,136
Summary of Compensation Cost	The following table shows a summary of the stock-based compensation expense by expense type included in the Condensed Consolidated Statements of Comprehensive Income for the three and nine months ended September 30, 2015 and 2014: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Cost of sales $ 114 $ 46 $ 326 $ 179 Research and development 112 55 321 253 Sales and marketing 110 77 260 333 General and administrative 919 422 2,376 1,761 Total $ 1,255 $ 600 $ 3,283 $ 2,526

Impairment and Restructuring (T

Impairment and Restructuring (Tables)	9 Months Ended
	Sep. 30, 2015
Restructuring And Related Activities [Abstract]
Schedule of Impairment and Restructuring (Recoveries) Expense	The Company recorded the following impairment and restructuring (recoveries) expenses during the three and nine months ended September 30, 2015 and 2014: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Asset (recoveries) impairments $ (564 ) $ (198 ) $ (946 ) $ 18,241 Gain on sale of a satellite facility — — (1,101 ) — One-time termination benefits — 63 13 9,699 Other costs 79 915 226 5,999 Impairment and restructuring $ (485 ) $ 780 $ (1,808 ) $ 33,939
Activity of Restructuring Reserve	The following table reflects the movement activity of the restructuring reserve for the nine months ended September 30, 2015: One-Time Termination Benefits Contract Termination Costs Other Costs Total Accrued Restructuring Accrued at December 31, 2014 $ 542 $ (3 ) $ 5,171 $ 5,710 Restructuring additions 13 — 293 306 Adjustment/foreign exchange effect (181 ) 3 (385 ) (563 ) Amount paid (374 ) — (1,989 ) (2,363 ) Accrued at September 30, 2015 $ — $ — $ 3,090 $ 3,090

Description of Business - Addit

Description of Business - Additional Information (Detail)	Sep. 30, 2015	Dec. 31, 2014
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Percentage of shares owned by affiliates and subsidiaries of WBL Corporation Limited	61.00%	61.00%

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Detail) $ in Thousands	9 Months Ended
	Sep. 30, 2015USD ($)Subsidiary	Dec. 31, 2014USD ($)
Basis Of Presentation And Significant Accounting Policies [Line Items]
Assets measured at fair value on a non-recurring basis | $	$ 0
Outstanding purchase and other commitments | $	7,470	$ 8,791
Restrictions on net income | $	$ 18,708	$ 20,170
Percentage of restricted after-tax profits from paying cash dividends	10.00%
China
Basis Of Presentation And Significant Accounting Policies [Line Items]
Number of wholly owned subsidiaries	3
China | MFC and MFLEX Chengdu
Basis Of Presentation And Significant Accounting Policies [Line Items]
Number of active wholly owned subsidiaries restricted from paying cash dividends	2
Cayman Islands
Basis Of Presentation And Significant Accounting Policies [Line Items]
Number of wholly owned subsidiaries	1
Singapore
Basis Of Presentation And Significant Accounting Policies [Line Items]
Number of wholly owned subsidiaries	1
Malaysia
Basis Of Presentation And Significant Accounting Policies [Line Items]
Number of wholly owned subsidiaries	1
England
Basis Of Presentation And Significant Accounting Policies [Line Items]
Number of wholly owned subsidiaries	1
Korea
Basis Of Presentation And Significant Accounting Policies [Line Items]
Number of wholly owned subsidiaries	1
Netherlands
Basis Of Presentation And Significant Accounting Policies [Line Items]
Number of wholly owned subsidiaries	1

Basis of Presentation - Schedul

Basis of Presentation - Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Detail) - Fair Value, Measurements, Recurring - Level 1 - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Fair value of assets , Total	$ 5,007	$ 18,208
Money market funds
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Money market funds (cash and cash equivalents)	$ 5,007	$ 18,208

Basis of Presentation - Sched22

Basis of Presentation - Schedule of Assets Held For Sale Measured at Fair Value on Nonrecurring Basis (Detail) - Fair Value, Measurements, Nonrecurring - Level 3 $ in Thousands	Dec. 31, 2014USD ($)
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets held for sale	$ 11,387
Building and equipment
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets held for sale	$ 11,387

Basis of Presentation - Compone

Basis of Presentation - Components of Inventories, Net of Applicable Write-Downs (Detail) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Inventory Disclosure [Abstract]
Raw materials and supplies	$ 18,407	$ 19,268
Work-in-progress	23,273	15,713
Finished goods	34,956	30,646
Inventories, net	$ 76,636	$ 65,627

Basis of Presentation - Compo24

Basis of Presentation - Components of Property, Plant and Equipment (Detail) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	$ 400,510	$ 400,205
Accumulated depreciation and amortization	(258,074)	(235,860)
Property, plant and equipment, net	142,436	164,345
Building
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	54,458	50,450
Machinery and equipment
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	328,676	334,539
Computers and capitalized software
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	14,124	13,328
Leasehold improvements
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	1,092	1,290
Construction-in-progress
Property Plant And Equipment [Line Items]
Property, plant and equipment, gross	$ 2,160	$ 598

Basis of Presentation - Compo25

Basis of Presentation - Components of Other Current Liabilities (Detail) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Other Liabilities Current [Abstract]
Wages and compensation	$ 14,714	$ 13,855
Restructuring expenses¹	3,090	5,710
Current portion of liabilities on uncertain tax positions		12,524
Other accrued expenses	12,264	10,608
Other current liabilities	$ 30,068	$ 42,697

Basis of Presentation - Changes

Basis of Presentation - Changes in the Product Warranty Accrual (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Guarantees [Abstract]
Beginning Balance	$ 668	$ 856	$ 1,013	$ 1,452
Warranty Expenditures	(588)	(465)	(2,924)	(3,559)
Provision for Estimated Warranty Cost	569	606	2,560	3,104
Ending Balance	$ 649	$ 997	$ 649	$ 997

Basis of Presentation - Reconci

Basis of Presentation - Reconciliation of Basic and Diluted Shares (Detail) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Weighted Average Number Of Shares Outstanding Diluted Disclosure Items [Abstract]
Basic weighted-average number of common shares outstanding	24,362,797	24,171,352	24,345,631	24,135,955
Dilutive effect of potential common shares	830,170	217,839	873,703
Diluted weighted-average number of common and potential common shares outstanding	25,192,967	24,389,191	25,219,334	24,135,955
Potential common shares excluded from the per share computations as the effect of their inclusion would not be dilutive	532,304	819,356	382,764	912,758

Basis of Presentation - Company

Basis of Presentation - Company's Sales into its Largest Industry Sectors (Detail) - Product Concentration Risk - Sales Revenue, Product Line	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Smartphones
Concentration Risk [Line Items]
Percentage of net sales to largest industry sectors	71.00%	69.00%	70.00%	69.00%
Tablets
Concentration Risk [Line Items]
Percentage of net sales to largest industry sectors	10.00%	18.00%	13.00%	16.00%
Consumer Electronics
Concentration Risk [Line Items]
Percentage of net sales to largest industry sectors	17.00%	6.00%	14.00%	7.00%

Lines of Credit - Additional In

Lines of Credit - Additional Information (Detail) ¥ in Thousands, $ in Thousands	1 Months Ended	9 Months Ended
	Aug. 31, 2014USD ($)	Sep. 30, 2015USD ($)	Dec. 31, 2014USD ($)	Jul. 31, 2013CNY (¥)	May. 31, 2013CNY (¥)
Line Of Credit Facility [Line Items]
Borrowing capacity under Line of Credit Agreement		$ 108,600	$ 111,713
Bank of America | Loan and Security Agreement
Line Of Credit Facility [Line Items]
Borrowing capacity under Line of Credit Agreement	$ 30,000	30,000	30,000
Revolving credit facility, term	3 years
Bank of America | Minimum | Loan and Security Agreement | LIBOR or SIBOR
Line Of Credit Facility [Line Items]
Loan interest rate spread	1.75%
Bank of America | Minimum | Loan and Security Agreement | Basis Rate
Line Of Credit Facility [Line Items]
Loan interest rate spread	0.75%
Bank of America | Maximum | Loan and Security Agreement | LIBOR or SIBOR
Line Of Credit Facility [Line Items]
Loan interest rate spread	2.75%
Bank of America | Maximum | Loan and Security Agreement | Basis Rate
Line Of Credit Facility [Line Items]
Loan interest rate spread	2.75%
Agricultural Bank of China | Line of General Credit Agreement
Line Of Credit Facility [Line Items]
Borrowing capacity under Line of Credit Agreement		$ 31,440	32,685	¥ 200,000
Line of credit, maturity date		Jul. 30, 2016
China Construction Bank | Foreign Line of Credit
Line Of Credit Facility [Line Items]
Borrowing capacity under Line of Credit Agreement		$ 47,160	$ 49,028		¥ 300,000
Line of credit, maturity date		May 5, 2016

Lines of Credit - Summary of th

Lines of Credit - Summary of the Lines of Credit (Detail) ¥ in Thousands, $ in Thousands	Sep. 30, 2015USD ($)	Dec. 31, 2014USD ($)	Aug. 31, 2014USD ($)	Jul. 31, 2013CNY (¥)	May. 31, 2013CNY (¥)
Line Of Credit Facility [Line Items]
Line of credit, Amount Available	$ 108,600	$ 111,713
Bank of America | Loan and Security Agreement
Line Of Credit Facility [Line Items]
Line of credit, Amount Available	30,000	30,000	$ 30,000
Agricultural Bank of China | Line of General Credit Agreement
Line Of Credit Facility [Line Items]
Line of credit, Amount Available	31,440	32,685		¥ 200,000
China Construction Bank | Foreign Line of Credit
Line Of Credit Facility [Line Items]
Line of credit, Amount Available	$ 47,160	$ 49,028			¥ 300,000

Segment Information - Additiona

Segment Information - Additional Information (Detail)	9 Months Ended
	Sep. 30, 2015Segment
Segment Reporting [Abstract]
Number of reportable segment	1
Number of geographical segment	4
Number of reporting unit	1

Segment Information - Net Sales

Segment Information - Net Sales by Geographic Segment (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Segment Reporting Information [Line Items]
Net sales	$ 165,690	$ 172,884	$ 467,554	$ 421,481
Reportable Geographical Components | United States
Segment Reporting Information [Line Items]
Net sales	2,509	3,219	8,390	11,316
Reportable Geographical Components | China
Segment Reporting Information [Line Items]
Net sales	156,795	160,899	428,846	395,018
Reportable Geographical Components | Singapore
Segment Reporting Information [Line Items]
Net sales	161,876	156,496	453,260	358,532
Reportable Geographical Components | Other
Segment Reporting Information [Line Items]
Net sales	28	5,773	708	22,122
Eliminations
Segment Reporting Information [Line Items]
Net sales	$ (155,518)	$ (153,503)	$ (423,650)	$ (365,507)

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Detail) - Restricted Stock Units $ in Thousands	9 Months Ended
	Sep. 30, 2015USD ($)shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of hypothetical shares | shares	1
Vesting period	3 years
RSUs Vesting description	one-third
Unearned compensation related to non-vested RSUs	$ 6,721
Unearned compensation related to non-vested RSUs, weighted-average remaining contractual life (in years)	1 year 9 months 18 days

Stock-Based Compensation - Rest

Stock-Based Compensation - Restricted Stock Units Activity (Detail) - Restricted Stock Units - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Number of Shares [Roll Forward]
Number of Shares, Non-vested shares outstanding, Beginning Balance			1,568,365
Number of Shares, Granted		2,700	63,780	53,616
Number of Shares, Vested			(105,859)
Number of Shares, Canceled			(185,738)
Number of Shares, Non-vested shares outstanding, Ending Balance	1,340,548		1,340,548
Weighted Average Grant Date Fair Value [Abstract]
Weighted-Average Grant-Date Fair Value of non-vested shares outstanding, Beginning Balance			$ 9.43
Weighted-Average Grant-Date Fair Value, Granted		$ 9.53	21.80	$ 13.61
Weighted-Average Grant-Date Fair Value, Vested	$ 19.48	$ 19.39	17.28	$ 19.28
Weighted-Average Grant-Date Fair Value, Canceled			9.35
Weighted-Average Grant-Date Fair Value of non-vested shares outstanding, Ending Balance	$ 9.41		$ 9.41

Stock-Based Compensation - Re35

Stock-Based Compensation - Restricted Stock Units Details (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense recognized	$ 1,255	$ 600	$ 3,283	$ 2,526
Restricted Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of Shares, Granted		2,700	63,780	53,616
Stock-based compensation expense recognized	$ 1,255	$ 600	$ 3,283	$ 2,526
Weighted-average grant-date fair value of non-vested RSUs granted		$ 9.53	$ 21.80	$ 13.61
Weighted-average grant-date fair value of RSUs vested	$ 19.48	$ 19.39	$ 17.28	$ 19.28
Aggregate intrinsic value of RSUs vested	$ 1,091	$ 1,102	$ 1,864	$ 1,136

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Compensation Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense recognized	$ 1,255	$ 600	$ 3,283	$ 2,526
Cost of sales
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense recognized	114	46	326	179
Research and development
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense recognized	112	55	321	253
Sales and marketing
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense recognized	110	77	260	333
General and administrative
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense recognized	$ 919	$ 422	$ 2,376	$ 1,761

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Jun. 30, 2015	Sep. 30, 2015	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Liability for income taxes associated with uncertain tax positions, Gross		$ 13,963	$ 26,109
Liability for income taxes associated with uncertain tax positions that would have impact effective tax rate		$ 6,110	$ 17,510
One-time income tax benefit recognized due to expiration of statute of limitation	$ 2,710

Impairment and Restructuring -

Impairment and Restructuring - Schedule of Impairment and Restructuring (Recoveries) Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Restructuring Costs And Asset Impairment Charges [Abstract]
Asset (recoveries) impairments	$ (564)	$ (198)	$ (946)	$ 18,241
Gain on sale of a satellite facility			(1,101)
One-time termination benefits		63	13	9,699
Other costs	79	915	226	5,999
Impairment and restructuring	$ (485)	$ 780	$ (1,808)	$ 33,939

Impairment and Restructuring 39

Impairment and Restructuring - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2015	Mar. 31, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Restructuring Cost And Reserve [Line Items]
Asset (recoveries) impairments	$ (564)		$ (198)	$ (946)	$ 18,241
Gain on sale of a satellite facility				1,101
Impairment and restructuring gain	561			561
China
Restructuring Cost And Reserve [Line Items]
Asset (recoveries) impairments	$ (3)			$ (385)
Gain on sale of a satellite facility		$ 1,101

Impairment and Restructuring 40

Impairment and Restructuring - Activity of Restructuring Reserve (Detail) $ in Thousands	9 Months Ended
	Sep. 30, 2015USD ($)
Restructuring Cost And Reserve [Line Items]
Accrued, Beginning balance	$ 5,710
Restructuring additions	306
Adjustment/foreign exchange effect	(563)
Amount paid	(2,363)
Accrued, Ending balance	3,090
One-Time Termination Benefits
Restructuring Cost And Reserve [Line Items]
Accrued, Beginning balance	542
Restructuring additions	13
Adjustment/foreign exchange effect	(181)
Amount paid	(374)
Contract Termination Costs
Restructuring Cost And Reserve [Line Items]
Accrued, Beginning balance	(3)
Adjustment/foreign exchange effect	3
Other Costs
Restructuring Cost And Reserve [Line Items]
Accrued, Beginning balance	5,171
Restructuring additions	293
Adjustment/foreign exchange effect	(385)
Amount paid	(1,989)
Accrued, Ending balance	$ 3,090