Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Oct. 03, 2015 | Nov. 06, 2015 | |
Document Information [Line Items] | ||
Entity Registrant Name | LATTICE SEMICONDUCTOR CORP | |
Entity Central Index Key | 855,658 | |
Document Type | 10-Q | |
Document Period End Date | Oct. 3, 2015 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --01-02 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding (actual number) | 117,905,097 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Income Statement [Abstract] | ||||
Product | $ 98,572 | $ 86,570 | $ 280,587 | $ 282,527 |
Licensing and services | 11,143 | 0 | 24,185 | |
Total revenue | 109,715 | 86,570 | 304,772 | 282,527 |
Costs and expenses: | ||||
Cost of product revenue | 49,415 | 35,759 | 138,250 | 122,603 |
Cost of licensing and services revenue | 451 | 0 | 715 | |
Research and development | 37,619 | 22,053 | 104,813 | 65,594 |
Selling, general, and administrative | 23,819 | 17,645 | 73,096 | 55,226 |
Acquisition related charges | 610 | 0 | 22,078 | 0 |
Restructuring charges | 6,818 | 2 | 15,780 | 16 |
Amortization of acquired intangible assets | 8,941 | 737 | 20,824 | 2,211 |
Costs and Expenses | 127,673 | 76,196 | 375,556 | 245,650 |
(Loss) income from operations | (17,958) | 10,374 | (70,784) | 36,877 |
Interest expense | (5,754) | 0 | (12,870) | (48) |
Other (expense) income, net | (943) | 53 | (1,298) | 1,316 |
(Loss) income before income taxes | (24,655) | 10,427 | (84,952) | 38,145 |
Income tax expense | 309 | 1,021 | 29,030 | 4,984 |
Net (loss) income | (24,964) | 9,406 | (113,982) | 33,161 |
Less: Net loss attributable to noncontrolling interest | 102 | 0 | 203 | 0 |
Net (loss) income attributable to common stockholders | $ (24,862) | $ 9,406 | $ (113,779) | $ 33,161 |
Net (loss) income per share: | ||||
Basic (in dollars per share) | $ (0.21) | $ 0.08 | $ (0.97) | $ 0.28 |
Diluted (in dollars per share) | $ (0.21) | $ 0.08 | $ (0.97) | $ 0.28 |
Shares used in per share calculations: | ||||
Basic (in shares) | 117,669 | 118,643 | 117,151 | 117,661 |
Diluted (in shares) | 117,669 | 120,970 | 117,151 | 120,449 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive (Loss) Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
Net (loss) income | $ (24,964) | $ 9,406 | $ (113,982) | $ 33,161 |
Other comprehensive (loss) income: | ||||
Unrealized loss related to marketable securities, net | (130) | (210) | (133) | (280) |
Less: reclassification adjustment for losses (gains) included in other (expense) income, net | 209 | (1) | 443 | 98 |
Realized gain on sale of auction rate securities, previously unrealized, net of tax | 0 | 0 | 0 | (1,147) |
Translation adjustment | (697) | (159) | (752) | 579 |
Defined benefit pension net actuarial losses | (1) | 0 | (156) | 0 |
Comprehensive (loss) income | (25,583) | 9,036 | (114,580) | 32,411 |
Less: Comprehensive loss attributable to noncontrolling interest | 102 | 0 | 203 | 0 |
Comprehensive (loss) income attributable to common stockholders | $ (25,481) | $ 9,036 | $ (114,377) | $ 32,411 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Oct. 03, 2015 | Jan. 03, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 112,356 | $ 115,611 |
Short-term marketable securities | 6,090 | 139,233 |
Accounts receivable, net of allowance for doubtful accounts | 85,341 | 62,372 |
Inventories | 79,027 | 64,925 |
Prepaid expenses and other current assets | 18,375 | 16,281 |
Total current assets | 301,189 | 398,422 |
Property and equipment, less accumulated depreciation of $163,982 at October 3, 2015 and $154,078 at January 3, 2015 | 50,462 | 27,796 |
Intangible assets, net of amortization | 180,285 | 9,537 |
Goodwill | 280,209 | 44,808 |
Deferred income taxes | 3,754 | 20,105 |
Other long-term assets | 15,648 | 9,862 |
Total assets | 831,547 | 510,530 |
Current liabilities: | ||
Accounts payable and accrued expenses (includes restructuring) | 79,386 | 32,171 |
Accrued payroll obligations | 9,356 | 13,629 |
Current portion of long-term debt | 407 | 0 |
Deferred income and allowances on sales to sell-through distributors | 20,427 | 14,946 |
Deferred license revenue | 1,212 | 0 |
Total current liabilities | 110,788 | 60,746 |
Long-term debt | 338,097 | 0 |
Other long-term liabilities | 36,598 | 8,809 |
Total liabilities | $ 485,483 | $ 69,555 |
Commitments and contingencies (Note 15) | ||
Redeemable noncontrolling interest | $ 7,529 | $ 0 |
Stockholders' equity: | ||
Preferred stock, $.01 par value, 10,000,000 shares authorized, none issued and outstanding | 0 | 0 |
Common stock, $.01 par value, 300,000,000 shares authorized; 117,951,000 shares issued and outstanding as of October 3, 2015 and 117,288,000 shares issued and outstanding as of January 3, 2015 | 1,180 | 1,173 |
Additional paid-in capital | 647,229 | 635,299 |
Accumulated deficit | (307,392) | (193,613) |
Accumulated other comprehensive loss | (2,482) | (1,884) |
Total stockholders' equity | 338,535 | 440,975 |
Total liabilities, redeemable noncontrolling interest and stockholders' equity | $ 831,547 | $ 510,530 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Oct. 03, 2015 | Jan. 03, 2015 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 117,951,000 | 117,288,000 |
Common stock, shares outstanding | 117,951,000 | 117,288,000 |
Accumulated depreciation | $ 163,982 | $ 154,078 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Oct. 03, 2015 | Sep. 27, 2014 | |
Cash flows from operating activities: | ||
Net (loss) income | $ (113,982) | $ 33,161 |
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities: | ||
Depreciation and amortization | 42,916 | 16,884 |
Amortization of debt issuance costs and discount | 2,037 | 0 |
Change in deferred income tax provision | 17,689 | 3,827 |
Loss (gain) on sale of marketable securities | 336 | (1,698) |
Stock-based compensation expense | 13,609 | 9,543 |
Changes in assets and liabilities: | ||
Accounts receivable, net | 7,708 | 323 |
Inventories | 6,738 | (18,852) |
Prepaid expenses and other current assets | (2,776) | (3,289) |
Accounts payable and accrued expenses (includes restructuring) | 7,989 | (3,045) |
Accrued payroll obligations | (10,309) | (1,339) |
Income taxes payable | 971 | 0 |
Deferred income and allowances on sales to sell-through distributors | 5,481 | 3,799 |
Deferred income and allowances on sales to sell-through distributors | 967 | 0 |
Net cash (used in) provided by operating activities | (20,626) | 39,314 |
Cash flows from investing activities: | ||
Proceeds from sales or maturities of short-term marketable securities | 142,956 | 83,615 |
Proceeds from sales of auction rate securities | 0 | 5,488 |
Purchases of marketable securities | (4,005) | (116,421) |
Cash paid for business acquisition, net of cash acquired | (431,068) | 0 |
Capital expenditures, net | (11,584) | (6,873) |
Cash paid for a non-marketable cost-method investment | (3,000) | 0 |
Cash paid for software licenses | (5,393) | (3,800) |
Net cash used in investing activities | (312,094) | (37,991) |
Cash flows from financing activities: | ||
Net share settlement upon issuance of restricted stock units | (2,660) | (2,682) |
Purchases of treasury stock | (6,970) | (1,700) |
Net proceeds from issuance of common stock | 3,382 | 11,177 |
Net proceeds from issuance of long-term debt | 346,500 | 0 |
Cash paid for debt issuance costs | (8,283) | 0 |
Repayment of debt | (1,750) | 0 |
Net cash provided by financing activities | 330,219 | 6,795 |
Effect of exchange rate change on cash | (754) | 579 |
Net (decrease) increase in cash and cash equivalents | (3,255) | 8,697 |
Beginning cash and cash equivalents | 115,611 | 114,310 |
Ending cash and cash equivalents | 112,356 | 123,007 |
Supplemental cash flow information: | ||
Change in unrealized loss related to marketable securities, net of tax, included in Accumulated other comprehensive loss | (133) | (182) |
Income taxes paid, net of refunds | 5,403 | 1,090 |
Interest Paid | 6,225 | 0 |
Accrued purchases of plant and equipment | $ 817 | $ (84) |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 9 Months Ended |
Oct. 03, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | Basis of Presentation and Significant Accounting Policies: The accompanying Consolidated Financial Statements are unaudited and have been prepared by Lattice Semiconductor Corporation (“Lattice,” the “Company,” “we,” “us,” or “our”) pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and in our opinion include all adjustments, consisting only of normal recurring adjustments, necessary for the fair statement of results for the interim periods. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") have been condensed or omitted pursuant to such rules and regulations. These Consolidated Financial Statements should be read in conjunction with our audited financial statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended January 3, 2015 . We report based on a 52 or 53-week fiscal year ending on the Saturday closest to December 31. Our third quarter of fiscal 2015 and third quarter of fiscal 2014 ended on October 3, 2015 and September 27, 2014 , respectively. All references to quarterly, three or nine months ended financial results are references to the results for the relevant 13-week or 39-week fiscal period. Principles of Consolidation The accompanying Consolidated Financial Statements include the accounts of Lattice and its subsidiaries after the elimination of all intercompany balances and transactions. Certain balances in prior fiscal years have been reclassified to conform to the presentation adopted in the current year. Interest expense has been reported separately from Other (expense) income, net. Cash Equivalents and Marketable Securities We consider all investments that are readily convertible into cash and have original maturities of three months or less to be cash equivalents. Cash equivalents consist primarily of highly liquid investments in time deposits or money market accounts and are carried at cost. We account for marketable securities as available-for-sale investments, as defined by U.S. GAAP, and record unrealized gains or losses to Accumulated other comprehensive loss on our Consolidated Balance Sheets, unless losses are considered other than temporary, in which case, those are recorded directly to the Consolidated Statements of Operations and Statements of Comprehensive (Loss) Income. Fair Value of Financial Instruments We invest in various financial instruments including corporate and government bonds, notes, and commercial paper. In the past we have also invested in auction rate securities. We value these instruments at their fair value and monitor the portfolio for impairment on a periodic basis. In the event that the carrying value of an investment exceeds its fair value and the decline in value is determined to be other than temporary, we record an impairment charge and establish a new carrying value. We assess other than temporary impairment of marketable securities in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 820, “Fair Value Measurements.” The framework under the provisions of ASC 820 establishes three levels of inputs that may be used to measure fair value. Each level of input has different levels of subjectivity and difficulty involved in determining fair value. Foreign Exchange and Translation of Foreign Currencies We have international subsidiary and branch operations. In addition, a portion of our silicon wafer and other purchases are denominated in Japanese yen, we bill certain Japanese customers in yen and collect a Japanese consumption tax refund in yen. Gains or losses from foreign exchange rate fluctuations on balances denominated in foreign currencies are reflected in Other (expense) income, net . Realized and unrealized gains or losses on foreign currency transactions were not significant for the periods presented. We translate accounts denominated in foreign currencies in accordance with ASC 830, “Foreign Currency Matters,” using the current rate method under which asset and liability accounts are translated at the current rate, while stockholders' equity accounts are translated at the appropriate historical rates, and revenue and expense accounts are translated at average monthly exchange rates. Translation adjustments related to the consolidation of foreign subsidiary financial statements are reflected in Accumulated other comprehensive loss in Stockholders' equity. Derivative Financial Instruments We mitigate foreign currency exchange rate risk by entering into foreign currency forward exchange contracts. At October 3, 2015 and January 3, 2015 , we had open foreign exchange contracts of $ 1.7 million and $ 4.2 million , respectively. One contract outstanding at October 3, 2015 settled in October 2015 , and three contracts will settle in June 2016 . Although these hedges mitigate our foreign currency exchange rate exposure from an economic perspective, they were not designated as "effective" hedges under GAAP and as such are adjusted to fair value through Other (expense) income, net, with an impact of less than $0.1 million for the periods reported in the Consolidated Statements of Operations. We do not hold or issue derivative financial instruments for trading or speculative purposes. Concentration Risk Potential exposure to concentration risk may impact revenue, trade receivables, marketable securities, and supply of wafers for our new products. Customer concentration risk may impact revenue. Our top five end customers constituted approximately 31% of our revenue for the third quarter of fiscal 2015 , compared to approximately 41% for the third quarter of fiscal 2014 . Our top five end customers constituted approximately 33% of our revenue for the first nine months of fiscal 2015 , compared to approximately 46% for the first nine month of fiscal 2014 . Our largest end customer accounted for approximately 9% of total revenue in the third quarter of fiscal 2015 and 11% of total revenue in the first nine months of fiscal 2015 . Our two largest end customers accounted for approximately 18% and 10% of total revenue, respectively, in the third quarter of fiscal 2014 and 21% and 12% of total revenue, respectively, in the first nine months of fiscal 2014 . No other customers accounted for more than 10% of total revenue during these periods. Sales through distributors have historically accounted for a significant portion of our total revenue. Revenue attributable to resale of products by our sell-through distributors for the third quarter of fiscal 2015 and fiscal 2014 was 46% and 51% , respectively. Revenue attributable to resale of products by our sell-through distributors for the first nine months of fiscal 2015 and fiscal 2014 was 45% and 44% , respectively. Concentration of credit risk with respect to trade receivables is mitigated by our credit and collection process including active management of collections, credit limits, routine credit evaluations for essentially all customers and secure transactions with letters of credit or advance payments where appropriate. Accounts receivable do not bear interest and are shown net of allowances for doubtful accounts of $0.9 million and $0.9 million at October 3, 2015 and January 3, 2015 , respectively. We regularly review our allowance for doubtful accounts and the aging of our accounts receivable. Write-offs for uncollected trade receivables have not been significant to date. We place our investments primarily through one financial institution and mitigate the concentration of credit risk by limiting the maximum portion of the investment portfolio which may be invested in any one instrument. Our investment policy defines approved credit ratings for investment securities. Investments on-hand in marketable securities consisted primarily of money market instruments, “AA” or better corporate notes and bonds and commercial paper, and U.S. government agency obligations. See Note 5 for a discussion of the liquidity attributes of our marketable securities. We rely on a limited number of foundries for our wafer purchases including Fujitsu Limited, Seiko Epson Corporation, Taiwan Semiconductor Manufacturing Company, Ltd, and United Microelectronics Corporation. Revenue Recognition and Deferred Income Product Revenue We sell our products directly to end customers, through a network of independent manufacturers' representatives, and indirectly through a network of independent sell-in and sell-through distributors. Distributors provide periodic data regarding the product, price, quantity, and end customer when products are resold, as well as the quantities of our products they still have in stock. Revenue from sales to original equipment manufacturers ("OEMs") and sell-in distributors is generally recognized upon shipment. Reserves for sell-in stock rotations, where applicable, are estimated based primarily on historical experience and provided for at the time of shipment. Revenue from sales by our sell-through distributors is recognized at the time of reported resale. Under both types of revenue recognition, persuasive evidence of an arrangement exists, the price is fixed or determinable, title has transferred, collection of resulting receivables is reasonably assured, and there are no remaining customer acceptance requirements and no remaining significant performance obligations. Orders from our sell-through distributors are initially recorded at published list prices; however, for a majority of our sales, the final selling price is determined at the time of resale and in accordance with a distributor price agreement. In certain circumstances, we allow sell-through distributors to return unsold products. At times, we protect our sell-through distributors against reductions in published list prices. For these reasons, we do not recognize revenue until products are resold by sell-through distributors to an end customer. For sell-through distributors, at the time of shipment to distributors, we (a) record Accounts receivable at published list price since there is a legally enforceable obligation from the distributor to pay us currently for product delivered, (b) relieve inventory for the carrying value of goods shipped since legal title has passed to the distributor, and (c) record deferred revenue and deferred cost of sales in Deferred income and allowances on sales to sell-through distributors in the liability section of our Consolidated Balance Sheets. The final price is set at the time of resale and is determined in accordance with a distributor price agreement. Revenue and cost of sales to sell-through distributors are deferred until either the product is resold by the distributor or, in certain cases, return privileges terminate, at which time Revenue and Cost of products sold are reflected in Net (loss) income , and Accounts receivable, net are adjusted to reflect the final selling price. The components of Deferred income and allowances on sales to sell-through distributors are presented in the following table: (In thousands) October 3, January 3, Inventory valued at published list price and held by sell-through distributors with right of return $ 48,205 $ 50,854 Allowance for distributor advances (22,890 ) (29,490 ) Deferred cost of sales related to inventory held by sell-through distributors (4,888 ) (6,418 ) Total Deferred income and allowances on sales to sell-through distributors $ 20,427 $ 14,946 A significant portion of our year-to-date revenue in fiscal 2015 was from sell-through distributors. Resale of products by sell-through distributors as a percentage of total revenue was 46% and 45% for the three and nine months ended October 3, 2015 , respectively, and 51% and 44% for the three and nine months ended September 27, 2014 , respectively. We must use estimates and apply judgment to reconcile sell-through distributors' reported inventories to their activities. Errors in our estimates or judgments could result in inaccurate reporting of our Revenue, Cost of products sold, Deferred income and allowances on sales to sell-through distributors, and Net (loss) income. Licensing and Services Revenue Our licensing and services revenue is comprised of revenue from our intellectual property ("IP") core licensing activity, patent monetization activities, device management system and remote support services, and royalty and adopter fee revenue from our standards activities. These activities are complementary to our product sales and help us monetize our intellectual property and accelerate market adoption curves associated with our technology and standards. We enter into IP licensing agreements that generally provide licensees the right to incorporate our IP components into their products pursuant to terms and conditions that vary by licensee. Revenue earned under these agreements is classified as Licensing and services revenue. Our IP licensing agreements generally include multiple elements, which may include one or more off-the-shelf or customized IP licenses bundled with support services covering a fixed period of time, generally one year. If the different elements of a multiple-element arrangement qualify as separate units of accounting, we allocate the total arrangement consideration to each element based on relative selling price. Amounts allocated to off-the-shelf IP licenses are recognized at the time of sale provided the other conditions for revenue recognition have been met. Amounts allocated to the support services are deferred and recognized on a straight-line basis over the support period, generally one year. Certain licensing agreements provide for royalty payments based on agreed-upon royalty rates, which may be fixed or variable depending on the terms of the agreement. The amount of revenue we recognize is based on a specified time period or on the agreed-upon royalty rate multiplied by the number of units shipped by the customer. From time to time, we enter into IP licensing agreements that involve significant modification, customization or engineering services. Revenues derived from these contracts are accounted for using the percentage-of-completion method or completed contract method. The completed contract method is used for contracts where there is a risk of final acceptance by the customer or for short-term contracts. HDMI royalty revenue is determined by a contractual allocation formula agreed to by the members ("Founders") of the HDMI consortium. Evidence of an arrangement, as to HDMI royalty revenue, is deemed complete when all of the Founders agree on the royalty sharing formula. Property and Equipment Property and equipment are stated at cost. Depreciation and amortization are computed using the straight-line method for financial reporting purposes over the estimated useful lives of the related assets, generally three to five years for equipment and software, one to three years for tooling and thirty years for buildings. Upon disposal of Property and equipment, the accounts are relieved of the costs and related accumulated depreciation and amortization, and resulting gains or losses are reflected in the Consolidated Statements of Operations for recognized gains and losses, or in the Consolidated Balance Sheets for deferred gains and losses. Repair and maintenance costs are expensed as incurred. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts and classification of assets, such as marketable securities, accounts receivable, inventory, goodwill (including the assessment of reporting unit), intangible assets, current and deferred income taxes, accrued liabilities (including restructuring charges and bonus arrangements), deferred income and allowances on sales to sell-through distributors, disclosure of contingent assets and liabilities at the date of the financial statements, anticipated amounts used in acquisition valuations and purchase accounting, and the reported amounts of revenue and expenses during the fiscal periods presented. Actual results could differ from those estimates. |
New Accounting Pronouncements
New Accounting Pronouncements | 9 Months Ended |
Oct. 03, 2015 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements: In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance under U.S. GAAP when it becomes effective. While ASU 2014-09 was to be effective for annual periods and interim periods beginning after December 15, 2016, in August 2015, the FASB issued ASU 2015-14 deferring the effective date of ASU 2015-09 to periods beginning on or after December 15, 2017, with early adoption permitted for annual reporting periods beginning after December 15, 2016, and interim periods within that year. With the deferral, we intend to adopt ASU 2014-09 on December 31, 2017. The standard permits the use of either the retrospective or cumulative effect transition method. We are currently evaluating the impact of ASU 2014-09 on our consolidated financial statements and related disclosures and have not yet selected a transition method. In February 2015, the FASB issued ASU No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis, which focuses on the consolidation evaluation for reporting organizations and requires the evaluation of whether or not certain legal entities should be consolidated. All legal entities are subject to reevaluation under the revised consolidation model. The new standard will become effective for us on January 3, 2016. Early adoption is permitted, including adoption in an interim period. We do not expect the adoption of this accounting standard update to impact our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Cost. The ASU requires debt issuance costs associated with a recognized debt liability to be presented on the balance sheet as a direct deduction from the carrying amount of the corresponding debt liability. This new guidance is effective for interim and annual reporting periods beginning after December 15, 2015, with early adoption permitted. An entity should apply the new guidance on a retrospective basis. We adopted this ASU effective with the first quarter of fiscal year 2015. In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory. Under this ASU, inventory will be measured at the “lower of cost and net realizable value” and options that currently exist for “market value” will be eliminated. The ASU defines net realizable value as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation.” No other changes were made to the current guidance on inventory measure-ment. ASU 2015-11 is effective for interim and annual periods beginning after December 15, 2016. Early application is permitted and should be applied prospectively. We do not expect the adoption of this accounting standard update to impact our consolidated financial statements. In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments. This ASU eliminates the requirement to restate prior period financial statements for measurement period adjustments following a business combination. The new guidance requires that the cumulative impact of a measurement period adjustment (including the impact on prior periods) be recognized in the reporting period in which the adjustment is determined. The prior period impact of the adjustment should be either presented separately on the face of the income statement or disclosed in the notes. The guidance is effective for interim and annual periods beginning after December 15, 2015. Early application is permitted and should be applied prospectively. We do not expect the adoption of this accounting standard update to impact our consolidated financial statements. |
Net (Loss) Income Per Share
Net (Loss) Income Per Share | 9 Months Ended |
Oct. 03, 2015 | |
Earnings Per Share [Abstract] | |
Net (Loss) Income Per Share | Net (Loss) Income per Share: We compute basic Net (loss) income per share by dividing Net (loss) income available to common stockholders by the weighted average number of common shares outstanding during the period. To determine diluted share count, we apply the treasury stock method to determine the dilutive effect of outstanding stock option shares, restricted stock units ("RSUs"), Employee Stock Purchase Plan ("ESPP") shares, and treasury stock. Our application of the treasury stock method includes, as assumed proceeds, the average unamortized stock-based compensation expense for the period and the impact of the pro forma deferred tax benefit or cost associated with stock-based compensation expense. When we are in a net loss position, the treasury stock method is not used. A reconciliation of basic and diluted Net (loss) income per share is presented below: Three Months Ended Nine Months Ended (in thousands, except per share data) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Basic and diluted Net (loss) income attributable to common stockholders $ (24,862 ) $ 9,406 $ (113,779 ) $ 33,161 Shares used in basic Net (loss) income per share 117,669 118,643 117,151 117,661 Dilutive effect of stock options, RSUs and ESPP shares — 2,327 — 2,788 Shares used in diluted Net (loss) income per share 117,669 120,970 117,151 120,449 Basic Net (loss) income per share $ (0.21 ) $ 0.08 $ (0.97 ) $ 0.28 Diluted Net (loss) income per share $ (0.21 ) $ 0.08 $ (0.97 ) $ 0.28 The computation of diluted Net (loss) income per share for the three and nine months ended October 3, 2015 excludes the effects of stock options, RSUs, and ESPP shares, aggregating approximately 3.2 million and 9.4 million , respectively, which are antidilutive. The computation of diluted Net (loss) income per share for the three and nine months ended September 27, 2014 includes the effects of stock options, RSUs, and ESPP shares, aggregating approximately 2.3 million and 2.8 million , respectively, which are dilutive, and excludes the effects of stock options, RSUs, and ESPP shares aggregating approximately 2.7 million and 2.4 million , respectively, which are antidilutive. Stock options, RSUs, and ESPP shares are considered antidilutive when the aggregate of exercise price, unrecognized stock-based compensation expense, and excess tax benefit are greater than the average market price for our common stock during the period or when the Company is in a net loss position, as the effects would reduce the loss per share. Stock options, RSUs, and ESPP shares that are antidilutive at October 3, 2015 could become dilutive in the future. |
Marketable Securities
Marketable Securities | 9 Months Ended |
Oct. 03, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities | Marketable Securities: Our short-term marketable securities have contractual maturities of up to two years. The following table summarizes the remaining maturities of our marketable securities at fair value: (In thousands) October 3, January 3, Short-term marketable securities: Maturing within one year $ 3,077 $ 60,965 Maturing between one and two years 3,013 78,268 Total marketable securities $ 6,090 $ 139,233 The following table summarizes the composition of our marketable securities at fair value: (In thousands) October 3, January 3, Short-term marketable securities: Corporate and government bonds and notes and commercial paper $ 6,015 $ 139,233 Certificates of deposit 75 — Total marketable securities $ 6,090 $ 139,233 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 9 Months Ended |
Oct. 03, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments: Fair value measurements as of Fair value measurements as of October 3, 2015 January 3, 2015 (In thousands) Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Short-term marketable securities $ 6,090 $ 6,015 $ 75 $ — $ 139,233 $ 139,233 $ — $ — Foreign currency forward exchange contracts, net (15 ) — (15 ) — 414 — 414 — Total fair value of financial instruments $ 6,075 $ 6,015 $ 60 $ — $ 139,647 $ 139,233 $ 414 $ — We invest in various financial instruments including corporate and government bonds and notes, and commercial paper. In the past we have also invested in auction rate securities. In addition, we enter into foreign currency forward exchange contracts to mitigate our foreign currency exchange rate exposure. We carry these instruments at their fair value in accordance with ASC 820. The framework under the provisions of ASC 820 establishes three levels of inputs that may be used to measure fair value. Each level of input has different levels of subjectivity and difficulty involved in determining fair value. Level 1 instruments generally represent quoted prices for identical assets or liabilities in active markets. Therefore, determining fair value for Level 1 instruments generally does not require significant management judgment and the estimation is not difficult. Our Level 1 instruments consist of U.S. Government agency, corporate notes and bonds, and commercial paper that are traded in active markets and are classified as Short-term marketable securities on our Consolidated Balance Sheets. Level 2 instruments include inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices for identical instruments 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. Our Level 2 instruments consist of certificates of deposit and foreign currency exchange contracts, entered into to hedge against fluctuation in the Japanese yen. Level 3 instruments include unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Our auction rate securities were classified as Level 3 instruments. Management used a combination of the market and income approach to derive the fair value of auction rate securities, which included third party valuation results, investment broker provided market information, and available information on the credit quality of the underlying collateral. As a result, the determination of fair value for Level 3 instruments requires significant management judgment and subjectivity. There were no transfers between any of the levels during the first nine months of fiscal 2015 or 2014 . During the nine months ended October 3, 2015 and September 27, 2014 , the following changes occurred in our Level 3 instruments: Nine Months Ended (In thousands) October 3, September 27, Beginning fair value of Long-term marketable securities $ — $ 5,241 Fair value of securities sold or redeemed — (5,488 ) Realized gain from increase in fair value — 247 Ending fair value of Long-term marketable securities $ — $ — In the second quarter of fiscal 2014, we sold our remaining auction rate securities with a par value of $5.7 million and an estimated fair value of $5.2 million . In accordance with ASC 320, “Investments-Debt and Equity Securities,” we recorded an unrealized loss of $0.1 million during the nine months ended October 3, 2015 and an unrealized loss of $0.3 million during the nine months ended September 27, 2014 on certain Short-term marketable securities (Level 1 instruments), which have been recorded in Accumulated other comprehensive loss. Future fluctuations in fair value related to these instruments that we deem to be temporary, including any recoveries of previous write-downs, would be recorded to Accumulated other comprehensive loss. If we were to determine in the future that any further decline in fair value is other-than-temporary, we would record an impairment charge, which could have a materially adverse effect on our operating results. If we were to liquidate our position in these securities, it is likely that the amount of any future realized gain or loss would be different from the unrealized gain or loss reported in Accumulated other comprehens ive loss. |
Inventories
Inventories | 9 Months Ended |
Oct. 03, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories: (In thousands) October 3, January 3, 2015 Work in progress $ 59,400 $ 49,554 Finished goods 19,627 15,371 Total inventories $ 79,027 $ 64,925 |
Business Combinations and Goodw
Business Combinations and Goodwill | 9 Months Ended |
Oct. 03, 2015 | |
Business Combinations [Abstract] | |
Business Combinations and Goodwill | Business Combinations and Goodwill: On March 10, 2015, we acquired 100% of the outstanding equity of Silicon Image, Inc. ("Silicon Image"), a provider of video, audio, and data connectivity solutions for the mobile, consumer electronics, and personal computer markets. The preliminary fair value of the purchase price consideration consisted of the following: (In thousands) Estimated Fair Value Cash paid to Silicon Image shareholders $ 575,955 Cash paid for options and RSUs 7,383 Fair value of partially vested stock options and RSUs assumed 5,139 Total purchase consideration $ 588,477 There is no contingent consideration included in the determination of the purchase consideration. The Company is currently completing its evaluation of information and assumptions it used in the recognition and determination of the purchase price allocation. This includes reviewing information, inputs, assumptions, and valuation methodologies used to estimate consideration, liabilities, taxes, intangible assets, deferred revenue, inventory, and fixed assets. The purchase price allocation is based on the preliminary valuation and is our best estimate as of the filing date of this Form 10-Q. The purchase price allocation will be subject to revision as we perform and complete more detailed analysis. In the second quarter of 2015, we revised our preliminary valuation and allocation of purchase price consideration resulting in $1.4 million of additional Accounts payable and other accrued liabilities with an equivalent revision to Goodwill. In the third quarter of 2015, we revised our preliminary valuation and allocation of purchase price consideration resulting in $10.1 million of additional long-term liabilities related to an uncertain tax position with an equivalent revision to Goodwill. The revised preliminary allocation of the total purchase price is as follows: (In thousands) Estimated Fair Value Assets acquired: Cash, cash equivalents and short-term investments $ 157,923 Accounts receivable 30,677 Inventory 20,839 Other current assets 7,183 Property, plant and equipment 23,429 Other non-current assets 1,573 Intangible assets 192,079 Goodwill 235,401 Total assets acquired 669,104 Liabilities assumed Accounts payable and other accrued liabilities 47,735 Other current liabilities 1,252 Long-term liabilities 24,468 Redeemable noncontrolling interest 7,172 Total liabilities assumed 80,627 Fair value of net assets acquired $ 588,477 The following table presents details of the identified intangible assets acquired through the acquisition of Silicon Image: (In thousands) Asset Life in Years Fair Value Developed technology 3-5 $ 125,000 Customer relationships 4-7 29,458 Licensed technology 3-5 1,852 Patents 5 769 Total identified finite-lived intangible assets 157,079 In-process research and development indefinite 35,000 Total identified intangible assets $ 192,079 We do not believe there is any significant residual value associated with these intangible assets. We are amortizing the intangible assets using the straight-line method over their estimated useful lives. The estimation of the fair values of the intangible assets required the use of valuation techniques and entailed consideration of all the relevant factors that might affect the fair value such as present value factors, and estimates of future revenues and costs. Silicon Image’s results of operations and the estimated fair value of the assets acquired and liabilities assumed are included in Lattice's unaudited consolidated financial statements effective March 11, 2015. Silicon Image's revenue and net loss attributable to stockholders for the period from March 11, 2015 through October 3, 2015 were approximately $96.8 million and $43.9 million , respectively. Acquisition related charges, which were expensed as incurred, were approximately $8.2 million . Goodwill Goodwill represents the excess of the purchase price over the fair value of the underlying net tangible and intangible assets. The goodwill recognized in the acquisition of Silicon Image was derived from expected benefits from cost synergies and knowledgeable and experienced workforce who joined the Company after the acquisition. Goodwill will not be amortized, but will instead be tested for impairment annually or more frequently if certain indicators of impairment are present. We do not expect Goodwill impairment to be tax deductible for income tax purposes. No impairment charges relating to goodwill or intangible assets were recorded for the first nine months of 2015 or 2014 as no indicators of impairment were present. The goodwill balance of $280.2 million at October 3, 2015 is comprised of $44.8 million from prior acquisitions combined with the $235.4 million from the acquisition of Silicon Image. Unaudited Pro Forma Financial Information The unaudited pro forma financial information in the table below summarizes the combined results of operations for the Company and Silicon Image as if the merger occurred on December 29, 2013, the first day of our 2014 fiscal year. The pro forma financial information for the periods presented includes adjustments to amortization and depreciation for intangible assets and property, plant, and equipment acquired; adjustments to share-based compensation expense; and interest expense for the additional indebtedness incurred as part of the acquisition. The total of nonrecurring pro forma adjustments directly attributable to the business combination included in the reported pro forma revenue and earnings for the three and nine months ended September 27, 2014 and excluded in the reported pro forma revenue and earnings for the three and nine months ended October 3, 2015 was $0.6 million and $30.2 million , respectively, related to acquisition-related charges. The pro forma financial information as presented below is for informational purposes only, is based on certain assumptions and estimates, and is not indicative of the results of operations that would have been achieved if the acquisition had taken place at the beginning of the first period presented. The unaudited pro forma financial information for the three and nine months ended October 3, 2015 combined the historical results of the Company for the three and nine months ended October 3, 2015 , the historical results of Silicon Image for the three and nine months ended October 3, 2015 , and the effects of the pro forma adjustments described above. The unaudited pro forma financial information for the three and nine months ended September 27, 2014 combined the historical results of the Company for the three and nine months ended September 27, 2014 , the historical results of Silicon Image for the three and nine months ended September 27, 2014 , and the effects of the pro forma adjustments described above. Three Months Ended Nine Months Ended (Dollars in thousands, except per share amounts) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Total revenues $ 109,715 $ 156,898 $ 349,673 $ 473,952 Net loss attributable to common stockholders $ (29,613 ) $ 7,209 $ (115,426 ) $ (23,686 ) Basic net loss per share $ (0.25 ) $ 0.06 $ (0.98 ) $ (0.20 ) Diluted net loss per share $ (0.25 ) $ 0.06 $ (0.98 ) $ (0.20 ) The pro forma adjustments did not have any impact on the pro forma combined provision for income taxes for the three and nine months ended October 3, 2015 and September 27, 2014 due to net loss positions and valuation allowances on deferred income tax assets in those periods. |
Intangible Assets
Intangible Assets | 9 Months Ended |
Oct. 03, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Intangible Assets: In connection with our acquisitions of Silicon Image in March 2015 and SiliconBlue in December 2011 we recorded identifiable intangible assets related to developed technology, customer relationships, licensed technology, patents, and in-process research and development based on guidance for determining fair value under the provisions of ASC 820. The following table summarizes the details of our total purchased intangible assets: Weighted Average Amortization Period (in years) Gross Accumulated Amortization Intangible assets, net of amortization (In thousands) October 3, 2015 Developed technology 4.7 $ 135,700 $ (21,337 ) $ 114,363 Customer relationships 5.5 37,258 (8,448 ) 28,810 Licensed technology 2.5 1,852 (422 ) 1,430 Patents 5 769 (87 ) 682 Total identified finite-lived intangible assets 175,579 (30,294 ) 145,285 In-process research and development indefinite 35,000 — 35,000 Total identified intangible assets $ 210,579 $ (30,294 ) $ 180,285 We recorded amortization expense on the Consolidated Statements of Operations as follows: Three Months Ended Nine Months Ended (In thousands) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Research and development $ 223 $ — $ 507 $ — Amortization of acquired intangible assets 8,941 737 20,824 2,211 $ 9,164 $ 737 $ 21,331 $ 2,211 The annual expected amortization expense of acquired intangible assets with finite lives is as follows: (In thousands) Amount 2015 (remaining 3 months) $ 9,164 2016 36,452 2017 35,635 2018 29,752 Thereafter 34,282 Total $ 145,285 |
Redeemable Noncontrolling Inter
Redeemable Noncontrolling Interests | 9 Months Ended |
Oct. 03, 2015 | |
Noncontrolling Interest [Abstract] | |
Redeemable Noncontrolling Interest | Redeemable Noncontrolling Interest : With the acquisition of Silicon Image on March 10, 2015, we also assumed a redeemable noncontrolling interest which comprises a 7% investment in Qterics amounting to $7.0 million initially entered into on December 4, 2014. The investment is redeemable at fair market value at the third-party holder's option on the third, fourth, or fifth year anniversaries. If the fair market value at the redemption date, as negotiated and agreed to by the parties, does not exceed $21 million , the redemption price will be 130% of the fair market value. As of the acquisition date, the fair value of the noncontrolling interest was determined to be $7.2 million (Note 7). The Company has elected to accrete the carrying value to the estimated redemption value over the three-year redemption period and reports the accretion charge as a reduction to additional-paid-in-capital. For the three and nine months ended October 3, 2015 , we have recorded accretion charges of $0.2 million and $0.3 million , respectively, bringing the value of the redeemable noncontrolling interest to $7.5 million at October 3, 2015 . |
Changes in Stockholders' Equity
Changes in Stockholders' Equity and Accumulated Other Comprehensive Loss | 9 Months Ended |
Oct. 03, 2015 | |
Stockholders' Equity Note [Abstract] | |
Changes in Stockholders' Equity and Accumulated other Comprehensive Loss | Changes in Stockholders' Equity and Accumulated Other Comprehensive Loss: (In thousands) Common stock Additional Paid-in capital Treasury stock Accumulated deficit Accumulated other comprehensive loss Total Balances, January 3, 2015 $ 1,173 $ 635,299 $ — $ (193,613 ) $ (1,884 ) $ 440,975 Net loss attributable to common stockholders for the nine months ended October 3, 2015 — — — (113,779 ) — (113,779 ) Unrealized (loss) gain related to marketable securities, net of tax — — — — (133 ) (133 ) Recognized loss on redemption of marketable securities, previously unrealized — — — — 443 443 Translation adjustments, net of tax — — — — (752 ) (752 ) Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of tax 18 704 — — — 722 Stock repurchase — — (6,970 ) — — (6,970 ) Retirement of treasury stock (11 ) (6,959 ) 6,970 — — — Stock-based compensation expense related to stock options, ESPP and RSUs — 13,609 — — — 13,609 Fair value of partially vested stock options and RSUs assumed in business acquisition — 5,139 — — — 5,139 Defined benefit pension net actuarial losses — — — — (156 ) (156 ) Adjustment of redeemable noncontrolling interest to redemption value — (563 ) — — — (563 ) Balances, October 3, 2015 $ 1,180 $ 647,229 $ — $ (307,392 ) $ (2,482 ) $ 338,535 On March 3, 2014, the Company's Board of Directors approved a stock repurchase program pursuant to which up to $20.0 million of outstanding common stock could be repurchased from time to time. The duration of the repurchase program was twelve months. During fiscal 2014, approximately 1.9 million shares were repurchased for $13.1 million . The 2014 program completed during the three months ended April 4, 2015, during which approximately 1.1 million shares were repurchased for approximately $7.0 million . No shares were repurchased during the three months ended October 3, 2015, and all shares repurchased under the 2014 program have been retired. |
Income Taxes
Income Taxes | 9 Months Ended |
Oct. 03, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes: For the three months ended October 3, 2015 and September 27, 2014 , we recorded an income tax provision of approximately $0.3 million and $1.0 million , respectively. For the nine months ended October 3, 2015 and September 27, 2014 , we recorded an income tax provision of approximately $29.0 million and $5.0 million , respectively. The income tax provision for the three and nine months ended October 3, 2015 represents tax at the federal, state and foreign statutory tax rates adjusted for withholding taxes, changes in uncertain tax positions, changes in the U.S. valuation allowance, as well as other non-deductible items in the United States and foreign jurisdictions. The difference between the U.S. federal statutory tax rate of 35% and our effective tax rate is primarily due to a valuation allowance increase in the United States and income earned in lower tax rate jurisdictions, for which no U.S. income tax has been provided, because we intend to permanently reinvest these earnings outside of the United States. During the first quarter of 2015, we concluded that it was not more-likely-than-not that we would be able to realize the benefit of our remaining U.S. deferred tax assets, resulting in an increase to the valuation allowance and an increase to the tax provision of $21.0 million . We based this conclusion on changes to our expected operations in the United States as a result of the acquisition of Silicon Image. We exercised significant judgment and considered estimates about our ability to generate revenue and gross profits sufficient enough to offset expenditures in future periods within the United States. We are subject to federal income tax as well as income tax of multiple state and foreign jurisdictions. We are no longer subject to federal, for years before 2006, state and local, for years before 2006, or foreign, for years before 2008, income tax examinations. However, U.S. federal net operating loss ("NOL") and credit carryforwards from all years are subject to examination and adjustments for at least three years following the year in which we used the attributes. Our U.S. and French income tax returns are currently under examination for 2011 and 2012 , as well as our Singapore income tax return for 2012. We are not under examination in any other jurisdiction. We believe that it is reasonably possible that $2.6 million of unrecognized tax benefits and less than $0.1 million of associated interest and penalties could be recognized during the next twelve months. The $2.6 million potential change would represent a decrease in unrecognized tax benefits, comprised of items related to tax filings for years that will no longer be subject to examination under expiring statutes of limitations and the finalization of an ongoing tax examination. We have U.S. federal NOL carryforwards that expire at various dates between 2023 and 2035 . We have state net operating loss carryforwards that expire at various dates from 2015 through 2035 . We also have federal and state credit carryforwards, some not expiring and others expiring at various dates from 2015 through 2034 . We are not currently paying U.S. federal income taxes and do not expect to pay such taxes until we fully utilize our tax NOL and credit carryforwards. We expect to pay a nominal amount of state income tax. We are paying foreign income and withholding taxes, which are reflected in Income tax expense in our Consolidated Statements of Operations and are primarily related to the cost of operating offshore activities and subsidiaries. We accrue interest and penalties related to uncertain tax positions in the Income tax expense. |
Restructuring
Restructuring | 9 Months Ended |
Oct. 03, 2015 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring: In March 2015, our Board of Directors approved an internal restructuring plan (the "March 2015 Plan"), in connection with our acquisition of Silicon Image. The March 2015 Plan was designed to realize synergies from the acquisition by eliminating redundancies created as a result of combining the two companies. This included reductions in our worldwide workforce and consolidation of facilities, systems, and engineering tools. We expect the total cost of the March 2015 Plan to be in the range of $14 million to $19 million and to be substantially completed by the end of second quarter of fiscal 2016. Approximately $1.4 million and $10.3 million of expense was incurred in the three and nine months, respectively, ended October 3, 2015 under the March 2015 Plan. In September 2015, we implemented a further reduction of our worldwide workforce (the "September 2015 Reduction") separate from the March 2015 Plan. The September 2015 Reduction was designed to resize the company in line with the market environment and to better balance our workforce with the long-term strategic needs of our business. We expect the total cost of the September 2015 Reduction to be approximately $6.0 million and to be substantially completed by the end of the second quarter of 2016. Approximately $5.5 million of expense was incurred in the three and nine months ended October 3, 2015 under the September 2015 Reduction. Less than $0.1 million was incurred in both the three and nine month periods ended September 27, 2014 related to a prior restructuring plan. These expenses were recorded to Restructuring charges on the Statements of Operations. The restructuring accrual balance is presented in Accounts payable and accrued expenses (includes restructuring) on the Consolidated Balance Sheets. The following table displays the combined activity related to our restructuring activities: (In thousands) Severance and related Lease Termination Systems & Engineering Tools* Other Total Balance at December 28, 2013 $ 17 $ 368 $ — $ 147 $ 532 Restructuring charges — 1 — 9 10 Costs paid or otherwise settled (8 ) (325 ) — (18 ) (351 ) Adjustments to prior restructuring costs (9 ) 15 — — 6 Balance at September 27, 2014 $ — $ 59 $ — $ 138 $ 197 Balance at January 3, 2015 — 43 — 139 182 Restructuring charges 12,491 1,107 2,000 182 15,780 Costs paid or otherwise settled (5,825 ) (560 ) (1,551 ) (321 ) (8,257 ) Adjustments to prior restructuring costs — — — — — Balance at October 3, 2015 $ 6,666 $ 590 $ 449 $ — $ 7,705 * Includes cancellation of contracts and accelerated depreciation of ERP systems |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Oct. 03, 2015 | |
Debt Disclosure [Abstract] | |
Long-term Debt | Long-Term Debt: On March 10, 2015, we entered into a secured credit agreement (the "Credit Agreement") with Jefferies Finance, LLC and certain other lenders for purposes of funding, in part, our acquisition of Silicon Image. The Credit Agreement provided for a $350 million term loan (the "Term Loan") maturing on March 10, 2021 (the "Term Loan Maturity Date"). We received $346.5 million net of an original issue discount of $3.5 million and we paid debt issuance costs of $8.3 million . The Term Loan bears variable interest equal to the LIBOR, subject to a 1.00% floor, plus a spread of 4.25% . The current effective interest rate on the Term Loan is 7.36% . The Term Loan is payable through a combination of quarterly installments of approximately $0.9 million , which began on July 4, 2015, and annual excess cash flow payments, as defined in the Credit Agreement, becoming due in the second quarter of 2016. Payments could also become due upon certain issuances of additional indebtedness, and certain asset dispositions, with any remaining outstanding principal amount due and payable on the Term Loan Maturity Date. The percentage of excess cash flow we are required to pay ranges from 0% to 75% , depending on our leverage and other factors as defined in the Credit Agreement. Currently, the Credit Agreement would require a 75% excess cash flow payment. The Credit Agreement also contains informational covenants and certain restrictive covenants, including limitations on liens, mergers and consolidations, sales of assets, payment of dividends, and indebtedness. The Credit Agreement does not contain financial covenants. The original issue discount and the debt issuance costs have been accounted for as a reduction to the carrying value of the Term Loan on our Consolidated Balance Sheets and are being amortized to Interest expense in our Consolidated Statements of Operations over the contractual term, using the effective interest method. The carrying value of the Term Loan is reflected in our Consolidated Balance Sheets as follows: (In thousands) October 3, 2015 January 3, 2015 Principal amount $ 348,250 $ — Unamortized original issue discount and debt issuance costs (9,746 ) — Less Current portion of long-term debt (407 ) — Long-term debt $ 338,097 $ — Interest expense related to the Term Loan was included in Interest expense on the Consolidated Statements of Operations as follows: Three Months Ended Nine Months Ended (In thousands) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Contractual interest $ 4,633 $ — $ 10,553 $ — Amortization of debt issuance costs and discount 932 — 2,037 — Total Interest expense related to the Term Loan $ 5,565 $ — $ 12,590 $ — |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Oct. 03, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation: Total stock-based compensation expense included in our Consolidated Statements of Operations was as follows: Three Months Ended Nine Months Ended (In thousands) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Line item: Cost of products sold $ 406 $ 215 $ 1,044 $ 592 Research and development 2,789 1,356 6,644 3,744 Selling, general and administrative 1,004 1,562 4,874 5,207 Acquisition related charges 402 — 4,293 — Total stock-based compensation $ 4,601 $ 3,133 $ 16,855 $ 9,543 During the first and second quarters of 2015, we granted approximately 306,000 stock options and 91,500 stock options and RSUs, respectively, with a market condition to certain executives. During the third quarter, there were no new grants with a market condition. The options and RSUs have a two year vesting and vest between 0% and 200% of the target amount, based on the Company's relative Total Shareholder Return (TSR) when compared to the TSR of a component of companies of the PHLX Semiconductor Sector Index over a two year period. The fair values of the options were determined and fixed on the date of grant using a lattice-based option-pricing valuation model, which incorporates a Monte-Carlo simulation, and considered the likelihood that we would achieve the market condition. TSR is a measure of stock price appreciation plus dividends paid, if any, in the performance period. As of October 3, 2015 , 397,500 market-based stock options were outstanding. In the third quarter and first nine months of 2015 , we incurred stock compensation expense of $0.1 million and $0.4 million , respectively, related to these market condition awards. Total stock-based compensation for the nine months ended October 3, 2015 was $16.9 million of which $3.9 million was paid during the period. |
Contingencies
Contingencies | 9 Months Ended |
Oct. 03, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | : Legal Matters On or about January 29, 2015, Silicon Image, members of its Board, the Company and the Company’s wholly-owned merger acquisition subsidiary were named as defendants in two complaints filed in Santa Clara Superior Court by alleged stockholders of Silicon Image in connection with the proposed merger of Silicon Image and the Company. Both complaints were dated January 29, 2015 and were captioned respectively Molland v. George, et al. and Stein v. Silicon Image, Inc. et. al. Five additional complaints were subsequently filed on January 30, 2015, February 4, 2015 and February 9, 2015 in Delaware Chancery Court by alleged stockholders of Silicon Image, Inc. in connection with the Merger, captioned respectively Pfeiffer v. Martino et. al.; Lipinski v. Silicon Image, Inc. et. al.; Feldbaum et. al. v. Silicon Image, Inc. et. al; Nelson v. Silicon Image, Inc. et. al. and Partansky v. Silicon Image, Inc. et. al. The five Delaware matters were subsequently consolidated into an action captioned In re Silicon Image Stockholders Litigation by order of the Delaware Chancery Court on February 11, 2015, and a consolidated amended complaint was filed in the matter on February 13, 2015. Two complaints captioned Tapia v. Silicon Image, Inc. et. al. and Caldwel v. Silicon Image, Inc. were also filed on February 4, 2015 and February 9, 2015 in Santa Clara Superior Court by alleged stockholders in connection with the merger. Amended complaints were filed in the Molland and Stein actions on February 11, 2015. Each of these lawsuits are purported class actions brought on behalf of Silicon Image stockholders, asserting claims against each member of the Silicon Image Board for breach of fiduciary duty, and against various officers of the Silicon Image, the Company, and the Company’s wholly-owned merger subsidiary for aiding and abetting breach of fiduciary duty. The lawsuits allege that the Merger does not appropriately value Silicon Image, was the result of an inadequate process, and includes preclusive deal devices. The amended complaints also assert that the Silicon Image’s disclosures regarding the Merger in its Schedule 14D-9 omitted material information regarding the Merger. Each of these complaints purport to seek unspecified damages. The California cases are ongoing, but have been granted a motion to stay. The parties have reached a tentative settlement in the Delaware case, subject to final court approval. We have estimated a range of possible loss for this settlement, but consider the resulting accrual under U.S. GAAP to be immaterial to our Consolidated Statements of Operations. In November 2014, a patent infringement lawsuit was filed by Papst Licensing GmbH & Co., KG ("Papst") against us in the U.S. District Court for the District of Delaware. On September 21, 2015, the parties entered into a settlement agreement. Under that agreement, we received a non-exclusive, irrevocable, fully paid up, perpetual, worldwide license for use of the asserted patents. The license fully exhausts and includes all claims of the asserted patents. The settlement did not have a material adverse effect on our financial position. On October 22, 2015, the case was dismissed with prejudice. In March 2014, the China National Development and Reform Commission ("NDRC") notified HDMI Licensing, LLC ("HDMI LLC"), a wholly-owned subsidiary of the Company and the agent for and entity charged with administering the HDMI specification, that the NDRC was investigating HDMI LLC’s licensing activities in China under the Chinese Anti-Monopoly Law ("AML"). The NDRC has available a broad range of remedies with respect to business practices it deems to violate the AML, including the ability to issue an order to cease conduct deemed illegal, confiscate gains deemed illegally obtained, impose a fine and require modifications to business practices. In July 2015, the NDRC concluded its investigation and informed HDMI LLC that it did not intend to impose monetary penalties on HDMI LLC, subject to HDMI LLC entering into a settlement agreement with the China Video Industry Association (“CVIA”) relating to various issues arising in connection with HDMI LLC licensing to Chinese companies. HDMI LLC is negotiating the specific implementation terms of this agreement with CVIA. Lattice cannot predict the outcome of this matter because administrative proceedings and negotiations with industry associations are inherently uncertain. At this stage of the proceedings, we do not have an estimate of the likelihood or the amount of any financial consequences to the Company. We are exposed to certain other asserted and unasserted potential claims. There can be no assurance that, with respect to potential claims made against us, we could resolve such claims under terms and conditions that would not have a material adverse effect on our business, our liquidity or our financial results. Periodically, we review the status of each significant matter and assess its potential financial exposure. If the potential loss from any claim or legal proceeding is considered probable and a range of possible losses can be estimated, we then accrue a liability for the estimated loss based on the provisions of FASB ASC 450, “Contingencies" (“ASC 450”). Legal proceedings are subject to uncertainties, and the outcomes are difficult to predict. Because of such uncertainties, accruals are based only on the best information available at the time. As additional information becomes available, we reassess the potential liability related to pending claims and litigation and may revise estimates. |
Segment and Geographic Informat
Segment and Geographic Information | 9 Months Ended |
Oct. 03, 2015 | |
Segment Reporting [Abstract] | |
Segment and Geographic Information | Segment and Geographic Information: Segment Information Lattice has two operating segments: the core Lattice ("Core") business, which includes intellectual property and semiconductor devices, and Qterics, a discrete software-as-a-service business unit in the Lattice legal entity structure. Although these two operating segments constitute two reportable segments, we combine Qterics with our Core business and report them together as one reportable segment due to the immaterial nature of the Qterics segment. For both the three and nine months ended October 3, 2015 , revenue generated by Qterics comprised 0.3% of Total revenue. For the three and nine months ended October 3, 2015 , Qterics accounted for 5.5% and 2.4% , respectively, of the total Net loss attributable to common stockholders. As of October 3, 2015 , the Total assets of Qterics comprised 3.6% of the Total assets of the company. Geographic Information Our revenue by major geographic area, based on ship-to location, was as follows: Three Months Ended Nine Months Ended (In thousands) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Asia $ 86,443 79 % $ 63,364 73 % $ 232,372 76 % $ 209,567 74 % Europe 13,061 12 14,909 17 43,005 14 45,337 16 Americas 10,211 9 8,297 10 29,395 10 27,623 10 Total revenue $ 109,715 100 % $ 86,570 100 % $ 304,772 100 % $ 282,527 100 % |
Basis of Presentation and Sig23
Basis of Presentation and Significant Accounting Policies (Policies) | 9 Months Ended |
Oct. 03, 2015 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The accompanying Consolidated Financial Statements include the accounts of Lattice and its subsidiaries after the elimination of all intercompany balances and transactions. Certain balances in prior fiscal years have been reclassified to conform to the presentation adopted in the current year. Interest expense has been reported separately from Other (expense) income, net. |
Cash Equivalents | We consider all investments that are readily convertible into cash and have original maturities of three months or less to be cash equivalents. Cash equivalents consist primarily of highly liquid investments in time deposits or money market accounts and are carried at cost. |
Marketable Securities | We account for marketable securities as available-for-sale investments, as defined by U.S. GAAP, and record unrealized gains or losses to Accumulated other comprehensive loss on our Consolidated Balance Sheets, unless losses are considered other than temporary, in which case, those are recorded directly to the Consolidated Statements of Operations and Statements of Comprehensive (Loss) Income. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments We invest in various financial instruments including corporate and government bonds, notes, and commercial paper. In the past we have also invested in auction rate securities. We value these instruments at their fair value and monitor the portfolio for impairment on a periodic basis. In the event that the carrying value of an investment exceeds its fair value and the decline in value is determined to be other than temporary, we record an impairment charge and establish a new carrying value. We assess other than temporary impairment of marketable securities in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 820, “Fair Value Measurements.” The framework under the provisions of ASC 820 establishes three levels of inputs that may be used to measure fair value. Each level of input has different levels of subjectivity and difficulty involved in determining fair value. |
Foreign Exchange and Translation of Foreign Currencies | Foreign Exchange and Translation of Foreign Currencies We have international subsidiary and branch operations. In addition, a portion of our silicon wafer and other purchases are denominated in Japanese yen, we bill certain Japanese customers in yen and collect a Japanese consumption tax refund in yen. Gains or losses from foreign exchange rate fluctuations on balances denominated in foreign currencies are reflected in Other (expense) income, net . Realized and unrealized gains or losses on foreign currency transactions were not significant for the periods presented. We translate accounts denominated in foreign currencies in accordance with ASC 830, “Foreign Currency Matters,” using the current rate method under which asset and liability accounts are translated at the current rate, while stockholders' equity accounts are translated at the appropriate historical rates, and revenue and expense accounts are translated at average monthly exchange rates. Translation adjustments related to the consolidation of foreign subsidiary financial statements are reflected in Accumulated other comprehensive loss in Stockholders' equity. |
Derivative Financial Instruments | Derivative Financial Instruments We mitigate foreign currency exchange rate risk by entering into foreign currency forward exchange contracts. At October 3, 2015 and January 3, 2015 , we had open foreign exchange contracts of $ 1.7 million and $ 4.2 million , respectively. One contract outstanding at October 3, 2015 settled in October 2015 , and three contracts will settle in June 2016 . Although these hedges mitigate our foreign currency exchange rate exposure from an economic perspective, they were not designated as "effective" hedges under GAAP and as such are adjusted to fair value through Other (expense) income, net, with an impact of less than $0.1 million for the periods reported in the Consolidated Statements of Operations. We do not hold or issue derivative financial instruments for trading or speculative purposes. |
Concentration Risk | Concentration Risk Potential exposure to concentration risk may impact revenue, trade receivables, marketable securities, and supply of wafers for our new products. Customer concentration risk may impact revenue. Our top five end customers constituted approximately 31% of our revenue for the third quarter of fiscal 2015 , compared to approximately 41% for the third quarter of fiscal 2014 . Our top five end customers constituted approximately 33% of our revenue for the first nine months of fiscal 2015 , compared to approximately 46% for the first nine month of fiscal 2014 . Our largest end customer accounted for approximately 9% of total revenue in the third quarter of fiscal 2015 and 11% of total revenue in the first nine months of fiscal 2015 . Our two largest end customers accounted for approximately 18% and 10% of total revenue, respectively, in the third quarter of fiscal 2014 and 21% and 12% of total revenue, respectively, in the first nine months of fiscal 2014 . No other customers accounted for more than 10% of total revenue during these periods. Sales through distributors have historically accounted for a significant portion of our total revenue. Revenue attributable to resale of products by our sell-through distributors for the third quarter of fiscal 2015 and fiscal 2014 was 46% and 51% , respectively. Revenue attributable to resale of products by our sell-through distributors for the first nine months of fiscal 2015 and fiscal 2014 was 45% and 44% , respectively. Concentration of credit risk with respect to trade receivables is mitigated by our credit and collection process including active management of collections, credit limits, routine credit evaluations for essentially all customers and secure transactions with letters of credit or advance payments where appropriate. Accounts receivable do not bear interest and are shown net of allowances for doubtful accounts of $0.9 million and $0.9 million at October 3, 2015 and January 3, 2015 , respectively. We regularly review our allowance for doubtful accounts and the aging of our accounts receivable. Write-offs for uncollected trade receivables have not been significant to date. We place our investments primarily through one financial institution and mitigate the concentration of credit risk by limiting the maximum portion of the investment portfolio which may be invested in any one instrument. Our investment policy defines approved credit ratings for investment securities. Investments on-hand in marketable securities consisted primarily of money market instruments, “AA” or better corporate notes and bonds and commercial paper, and U.S. government agency obligations. See Note 5 for a discussion of the liquidity attributes of our marketable securities. We rely on a limited number of foundries for our wafer purchases including Fujitsu Limited, Seiko Epson Corporation, Taiwan Semiconductor Manufacturing Company, Ltd, and United Microelectronics Corporation. |
Revenue Recognition and Deferred Income | Revenue Recognition and Deferred Income Product Revenue We sell our products directly to end customers, through a network of independent manufacturers' representatives, and indirectly through a network of independent sell-in and sell-through distributors. Distributors provide periodic data regarding the product, price, quantity, and end customer when products are resold, as well as the quantities of our products they still have in stock. Revenue from sales to original equipment manufacturers ("OEMs") and sell-in distributors is generally recognized upon shipment. Reserves for sell-in stock rotations, where applicable, are estimated based primarily on historical experience and provided for at the time of shipment. Revenue from sales by our sell-through distributors is recognized at the time of reported resale. Under both types of revenue recognition, persuasive evidence of an arrangement exists, the price is fixed or determinable, title has transferred, collection of resulting receivables is reasonably assured, and there are no remaining customer acceptance requirements and no remaining significant performance obligations. Orders from our sell-through distributors are initially recorded at published list prices; however, for a majority of our sales, the final selling price is determined at the time of resale and in accordance with a distributor price agreement. In certain circumstances, we allow sell-through distributors to return unsold products. At times, we protect our sell-through distributors against reductions in published list prices. For these reasons, we do not recognize revenue until products are resold by sell-through distributors to an end customer. For sell-through distributors, at the time of shipment to distributors, we (a) record Accounts receivable at published list price since there is a legally enforceable obligation from the distributor to pay us currently for product delivered, (b) relieve inventory for the carrying value of goods shipped since legal title has passed to the distributor, and (c) record deferred revenue and deferred cost of sales in Deferred income and allowances on sales to sell-through distributors in the liability section of our Consolidated Balance Sheets. The final price is set at the time of resale and is determined in accordance with a distributor price agreement. Revenue and cost of sales to sell-through distributors are deferred until either the product is resold by the distributor or, in certain cases, return privileges terminate, at which time Revenue and Cost of products sold are reflected in Net (loss) income , and Accounts receivable, net are adjusted to reflect the final selling price. We must use estimates and apply judgment to reconcile sell-through distributors' reported inventories to their activities. Errors in our estimates or judgments could result in inaccurate reporting of our Revenue, Cost of products sold, Deferred income and allowances on sales to sell-through distributors, and Net (loss) income. Licensing and Services Revenue Our licensing and services revenue is comprised of revenue from our intellectual property ("IP") core licensing activity, patent monetization activities, device management system and remote support services, and royalty and adopter fee revenue from our standards activities. These activities are complementary to our product sales and help us monetize our intellectual property and accelerate market adoption curves associated with our technology and standards. We enter into IP licensing agreements that generally provide licensees the right to incorporate our IP components into their products pursuant to terms and conditions that vary by licensee. Revenue earned under these agreements is classified as Licensing and services revenue. Our IP licensing agreements generally include multiple elements, which may include one or more off-the-shelf or customized IP licenses bundled with support services covering a fixed period of time, generally one year. If the different elements of a multiple-element arrangement qualify as separate units of accounting, we allocate the total arrangement consideration to each element based on relative selling price. Amounts allocated to off-the-shelf IP licenses are recognized at the time of sale provided the other conditions for revenue recognition have been met. Amounts allocated to the support services are deferred and recognized on a straight-line basis over the support period, generally one year. Certain licensing agreements provide for royalty payments based on agreed-upon royalty rates, which may be fixed or variable depending on the terms of the agreement. The amount of revenue we recognize is based on a specified time period or on the agreed-upon royalty rate multiplied by the number of units shipped by the customer. From time to time, we enter into IP licensing agreements that involve significant modification, customization or engineering services. Revenues derived from these contracts are accounted for using the percentage-of-completion method or completed contract method. The completed contract method is used for contracts where there is a risk of final acceptance by the customer or for short-term contracts. HDMI royalty revenue is determined by a contractual allocation formula agreed to by the members ("Founders") of the HDMI consortium. Evidence of an arrangement, as to HDMI royalty revenue, is deemed complete when all of the Founders agree on the royalty sharing formula. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost. Depreciation and amortization are computed using the straight-line method for financial reporting purposes over the estimated useful lives of the related assets, generally three to five years for equipment and software, one to three years for tooling and thirty years for buildings. Upon disposal of Property and equipment, the accounts are relieved of the costs and related accumulated depreciation and amortization, and resulting gains or losses are reflected in the Consolidated Statements of Operations for recognized gains and losses, or in the Consolidated Balance Sheets for deferred gains and losses. Repair and maintenance costs are expensed as incurred. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts and classification of assets, such as marketable securities, accounts receivable, inventory, goodwill (including the assessment of reporting unit), intangible assets, current and deferred income taxes, accrued liabilities (including restructuring charges and bonus arrangements), deferred income and allowances on sales to sell-through distributors, disclosure of contingent assets and liabilities at the date of the financial statements, anticipated amounts used in acquisition valuations and purchase accounting, and the reported amounts of revenue and expenses during the fiscal periods presented. Actual results could differ from those estimates. |
New Accounting Pronouncements | New Accounting Pronouncements: In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance under U.S. GAAP when it becomes effective. While ASU 2014-09 was to be effective for annual periods and interim periods beginning after December 15, 2016, in August 2015, the FASB issued ASU 2015-14 deferring the effective date of ASU 2015-09 to periods beginning on or after December 15, 2017, with early adoption permitted for annual reporting periods beginning after December 15, 2016, and interim periods within that year. With the deferral, we intend to adopt ASU 2014-09 on December 31, 2017. The standard permits the use of either the retrospective or cumulative effect transition method. We are currently evaluating the impact of ASU 2014-09 on our consolidated financial statements and related disclosures and have not yet selected a transition method. In February 2015, the FASB issued ASU No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis, which focuses on the consolidation evaluation for reporting organizations and requires the evaluation of whether or not certain legal entities should be consolidated. All legal entities are subject to reevaluation under the revised consolidation model. The new standard will become effective for us on January 3, 2016. Early adoption is permitted, including adoption in an interim period. We do not expect the adoption of this accounting standard update to impact our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Cost. The ASU requires debt issuance costs associated with a recognized debt liability to be presented on the balance sheet as a direct deduction from the carrying amount of the corresponding debt liability. This new guidance is effective for interim and annual reporting periods beginning after December 15, 2015, with early adoption permitted. An entity should apply the new guidance on a retrospective basis. We adopted this ASU effective with the first quarter of fiscal year 2015. In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory. Under this ASU, inventory will be measured at the “lower of cost and net realizable value” and options that currently exist for “market value” will be eliminated. The ASU defines net realizable value as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation.” No other changes were made to the current guidance on inventory measure-ment. ASU 2015-11 is effective for interim and annual periods beginning after December 15, 2016. Early application is permitted and should be applied prospectively. We do not expect the adoption of this accounting standard update to impact our consolidated financial statements. In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments. This ASU eliminates the requirement to restate prior period financial statements for measurement period adjustments following a business combination. The new guidance requires that the cumulative impact of a measurement period adjustment (including the impact on prior periods) be recognized in the reporting period in which the adjustment is determined. The prior period impact of the adjustment should be either presented separately on the face of the income statement or disclosed in the notes. The guidance is effective for interim and annual periods beginning after December 15, 2015. Early application is permitted and should be applied prospectively. We do not expect the adoption of this accounting standard update to impact our consolidated financial statements. |
Basis of Presentation and Sig24
Basis of Presentation and Significant Accounting Policies (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Accounting Policies [Abstract] | |
Deferred Income and Allowances on Sales to Sell-through Distributors | The components of Deferred income and allowances on sales to sell-through distributors are presented in the following table: (In thousands) October 3, January 3, Inventory valued at published list price and held by sell-through distributors with right of return $ 48,205 $ 50,854 Allowance for distributor advances (22,890 ) (29,490 ) Deferred cost of sales related to inventory held by sell-through distributors (4,888 ) (6,418 ) Total Deferred income and allowances on sales to sell-through distributors $ 20,427 $ 14,946 |
Net (Loss) Income per Share (Ta
Net (Loss) Income per Share (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share Reconciliation | A reconciliation of basic and diluted Net (loss) income per share is presented below: Three Months Ended Nine Months Ended (in thousands, except per share data) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Basic and diluted Net (loss) income attributable to common stockholders $ (24,862 ) $ 9,406 $ (113,779 ) $ 33,161 Shares used in basic Net (loss) income per share 117,669 118,643 117,151 117,661 Dilutive effect of stock options, RSUs and ESPP shares — 2,327 — 2,788 Shares used in diluted Net (loss) income per share 117,669 120,970 117,151 120,449 Basic Net (loss) income per share $ (0.21 ) $ 0.08 $ (0.97 ) $ 0.28 Diluted Net (loss) income per share $ (0.21 ) $ 0.08 $ (0.97 ) $ 0.28 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Contractual Maturities of Marketable Securities | The following table summarizes the remaining maturities of our marketable securities at fair value: (In thousands) October 3, January 3, Short-term marketable securities: Maturing within one year $ 3,077 $ 60,965 Maturing between one and two years 3,013 78,268 Total marketable securities $ 6,090 $ 139,233 |
Schedule of Composition of Marketable Securities | The following table summarizes the composition of our marketable securities at fair value: (In thousands) October 3, January 3, Short-term marketable securities: Corporate and government bonds and notes and commercial paper $ 6,015 $ 139,233 Certificates of deposit 75 — Total marketable securities $ 6,090 $ 139,233 |
Fair Value of Financial Instr27
Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value of Financial Instruments | Fair value measurements as of Fair value measurements as of October 3, 2015 January 3, 2015 (In thousands) Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Short-term marketable securities $ 6,090 $ 6,015 $ 75 $ — $ 139,233 $ 139,233 $ — $ — Foreign currency forward exchange contracts, net (15 ) — (15 ) — 414 — 414 — Total fair value of financial instruments $ 6,075 $ 6,015 $ 60 $ — $ 139,647 $ 139,233 $ 414 $ — |
Schedule of Changes In Level 3 Instruments | During the nine months ended October 3, 2015 and September 27, 2014 , the following changes occurred in our Level 3 instruments: Nine Months Ended (In thousands) October 3, September 27, Beginning fair value of Long-term marketable securities $ — $ 5,241 Fair value of securities sold or redeemed — (5,488 ) Realized gain from increase in fair value — 247 Ending fair value of Long-term marketable securities $ — $ — |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | (In thousands) October 3, January 3, 2015 Work in progress $ 59,400 $ 49,554 Finished goods 19,627 15,371 Total inventories $ 79,027 $ 64,925 |
Business Combinations and Goo29
Business Combinations and Goodwill (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | (In thousands) Estimated Fair Value Assets acquired: Cash, cash equivalents and short-term investments $ 157,923 Accounts receivable 30,677 Inventory 20,839 Other current assets 7,183 Property, plant and equipment 23,429 Other non-current assets 1,573 Intangible assets 192,079 Goodwill 235,401 Total assets acquired 669,104 Liabilities assumed Accounts payable and other accrued liabilities 47,735 Other current liabilities 1,252 Long-term liabilities 24,468 Redeemable noncontrolling interest 7,172 Total liabilities assumed 80,627 Fair value of net assets acquired $ 588,477 The following table presents details of the identified intangible assets acquired through the acquisition of Silicon Image: (In thousands) Asset Life in Years Fair Value Developed technology 3-5 $ 125,000 Customer relationships 4-7 29,458 Licensed technology 3-5 1,852 Patents 5 769 Total identified finite-lived intangible assets 157,079 In-process research and development indefinite 35,000 Total identified intangible assets $ 192,079 The preliminary fair value of the purchase price consideration consisted of the following: (In thousands) Estimated Fair Value Cash paid to Silicon Image shareholders $ 575,955 Cash paid for options and RSUs 7,383 Fair value of partially vested stock options and RSUs assumed 5,139 Total purchase consideration $ 588,477 |
Business acquisition, pro forma information | Three Months Ended Nine Months Ended (Dollars in thousands, except per share amounts) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Total revenues $ 109,715 $ 156,898 $ 349,673 $ 473,952 Net loss attributable to common stockholders $ (29,613 ) $ 7,209 $ (115,426 ) $ (23,686 ) Basic net loss per share $ (0.25 ) $ 0.06 $ (0.98 ) $ (0.20 ) Diluted net loss per share $ (0.25 ) $ 0.06 $ (0.98 ) $ (0.20 ) |
Intangible Assets (Tables)
Intangible Assets (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Acquired Finite-lived Intangible Assets by Major Class | The following table summarizes the details of our total purchased intangible assets: Weighted Average Amortization Period (in years) Gross Accumulated Amortization Intangible assets, net of amortization (In thousands) October 3, 2015 Developed technology 4.7 $ 135,700 $ (21,337 ) $ 114,363 Customer relationships 5.5 37,258 (8,448 ) 28,810 Licensed technology 2.5 1,852 (422 ) 1,430 Patents 5 769 (87 ) 682 Total identified finite-lived intangible assets 175,579 (30,294 ) 145,285 In-process research and development indefinite 35,000 — 35,000 Total identified intangible assets $ 210,579 $ (30,294 ) $ 180,285 |
Schedule of Acquired Indefinite-lived Intangible Assets by Major Class | The following table summarizes the details of our total purchased intangible assets: Weighted Average Amortization Period (in years) Gross Accumulated Amortization Intangible assets, net of amortization (In thousands) October 3, 2015 Developed technology 4.7 $ 135,700 $ (21,337 ) $ 114,363 Customer relationships 5.5 37,258 (8,448 ) 28,810 Licensed technology 2.5 1,852 (422 ) 1,430 Patents 5 769 (87 ) 682 Total identified finite-lived intangible assets 175,579 (30,294 ) 145,285 In-process research and development indefinite 35,000 — 35,000 Total identified intangible assets $ 210,579 $ (30,294 ) $ 180,285 |
Finite-lived Intangible Assets Amortization Expense | We recorded amortization expense on the Consolidated Statements of Operations as follows: Three Months Ended Nine Months Ended (In thousands) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Research and development $ 223 $ — $ 507 $ — Amortization of acquired intangible assets 8,941 737 20,824 2,211 $ 9,164 $ 737 $ 21,331 $ 2,211 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The annual expected amortization expense of acquired intangible assets with finite lives is as follows: (In thousands) Amount 2015 (remaining 3 months) $ 9,164 2016 36,452 2017 35,635 2018 29,752 Thereafter 34,282 Total $ 145,285 |
Changes in Stockholders' Equi31
Changes in Stockholders' Equity and Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Changes in Stockholders' Equity and Accumulated other Comprehensive Loss | (In thousands) Common stock Additional Paid-in capital Treasury stock Accumulated deficit Accumulated other comprehensive loss Total Balances, January 3, 2015 $ 1,173 $ 635,299 $ — $ (193,613 ) $ (1,884 ) $ 440,975 Net loss attributable to common stockholders for the nine months ended October 3, 2015 — — — (113,779 ) — (113,779 ) Unrealized (loss) gain related to marketable securities, net of tax — — — — (133 ) (133 ) Recognized loss on redemption of marketable securities, previously unrealized — — — — 443 443 Translation adjustments, net of tax — — — — (752 ) (752 ) Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of tax 18 704 — — — 722 Stock repurchase — — (6,970 ) — — (6,970 ) Retirement of treasury stock (11 ) (6,959 ) 6,970 — — — Stock-based compensation expense related to stock options, ESPP and RSUs — 13,609 — — — 13,609 Fair value of partially vested stock options and RSUs assumed in business acquisition — 5,139 — — — 5,139 Defined benefit pension net actuarial losses — — — — (156 ) (156 ) Adjustment of redeemable noncontrolling interest to redemption value — (563 ) — — — (563 ) Balances, October 3, 2015 $ 1,180 $ 647,229 $ — $ (307,392 ) $ (2,482 ) $ 338,535 |
Restructuring (Tables)
Restructuring (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring Reserve by Type of Cost | The following table displays the combined activity related to our restructuring activities: (In thousands) Severance and related Lease Termination Systems & Engineering Tools* Other Total Balance at December 28, 2013 $ 17 $ 368 $ — $ 147 $ 532 Restructuring charges — 1 — 9 10 Costs paid or otherwise settled (8 ) (325 ) — (18 ) (351 ) Adjustments to prior restructuring costs (9 ) 15 — — 6 Balance at September 27, 2014 $ — $ 59 $ — $ 138 $ 197 Balance at January 3, 2015 — 43 — 139 182 Restructuring charges 12,491 1,107 2,000 182 15,780 Costs paid or otherwise settled (5,825 ) (560 ) (1,551 ) (321 ) (8,257 ) Adjustments to prior restructuring costs — — — — — Balance at October 3, 2015 $ 6,666 $ 590 $ 449 $ — $ 7,705 * Includes cancellation of contracts and accelerated depreciation of ERP systems |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | The carrying value of the Term Loan is reflected in our Consolidated Balance Sheets as follows: (In thousands) October 3, 2015 January 3, 2015 Principal amount $ 348,250 $ — Unamortized original issue discount and debt issuance costs (9,746 ) — Less Current portion of long-term debt (407 ) — Long-term debt $ 338,097 $ — |
Interest Income and Interest Expense Disclosure | Interest expense related to the Term Loan was included in Interest expense on the Consolidated Statements of Operations as follows: Three Months Ended Nine Months Ended (In thousands) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Contractual interest $ 4,633 $ — $ 10,553 $ — Amortization of debt issuance costs and discount 932 — 2,037 — Total Interest expense related to the Term Loan $ 5,565 $ — $ 12,590 $ — |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Stock-Based Compensation Expense | Total stock-based compensation expense included in our Consolidated Statements of Operations was as follows: Three Months Ended Nine Months Ended (In thousands) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Line item: Cost of products sold $ 406 $ 215 $ 1,044 $ 592 Research and development 2,789 1,356 6,644 3,744 Selling, general and administrative 1,004 1,562 4,874 5,207 Acquisition related charges 402 — 4,293 — Total stock-based compensation $ 4,601 $ 3,133 $ 16,855 $ 9,543 |
Segment and Geographic Inform35
Segment and Geographic Information (Tables) | 9 Months Ended |
Oct. 03, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Revenue by Major Geographic Area | Our revenue by major geographic area, based on ship-to location, was as follows: Three Months Ended Nine Months Ended (In thousands) October 3, 2015 September 27, 2014 October 3, 2015 September 27, 2014 Asia $ 86,443 79 % $ 63,364 73 % $ 232,372 76 % $ 209,567 74 % Europe 13,061 12 14,909 17 43,005 14 45,337 16 Americas 10,211 9 8,297 10 29,395 10 27,623 10 Total revenue $ 109,715 100 % $ 86,570 100 % $ 304,772 100 % $ 282,527 100 % |
Basis of Presentation and Sig36
Basis of Presentation and Significant Accounting Policies (Details) | 3 Months Ended | 9 Months Ended | |||
Oct. 03, 2015USD ($)Contract | Sep. 27, 2014 | Oct. 03, 2015USD ($)Contract | Sep. 27, 2014 | Jan. 03, 2015USD ($) | |
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |||||
Derivative, Number of Instruments Held | Contract | 1 | 1 | |||
Risks and Uncertainties [Abstract] | |||||
Allowance for doubtful accounts | $ 900,000 | $ 900,000 | $ 900,000 | ||
Deferred Revenue and Credits [Abstract] | |||||
Inventory valued at published list price and held by sell-through distributors with right of return | 48,205,000 | 48,205,000 | 50,854,000 | ||
Allowance for distributor advances | (22,890,000) | (22,890,000) | (29,490,000) | ||
Deferred cost of sales related to inventory held by sell-through distributors | (4,888,000) | (4,888,000) | (6,418,000) | ||
Total Deferred income and allowances on sales to sell-through distributors | $ 20,427,000 | $ 20,427,000 | 14,946,000 | ||
Fiscal Period Duration, Three Months | 91 days | ||||
Fiscal Period Duration, Nine Months | 273 days | ||||
Revenue | Customer Concentration Risk | |||||
Risks and Uncertainties [Abstract] | |||||
Concentration Risk | 9.00% | 11.00% | |||
Sales Revenue | Customer Concentration Risk | |||||
Risks and Uncertainties [Abstract] | |||||
Concentration Risk | 31.00% | 41.00% | 33.00% | 46.00% | |
Sell-Through Distributors [Member] | Customer Concentration Risk | |||||
Risks and Uncertainties [Abstract] | |||||
Concentration Risk | 46.00% | 51.00% | 45.00% | 44.00% | |
Derivative One [Member] | |||||
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |||||
Derivative, Number of Instruments Held | Contract | 3 | 3 | |||
Not designated as effective hedges for accounting purposes | Foreign exchange contracts | |||||
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |||||
Open foreign exchange contracts - notional amounts | $ 1,694,000 | $ 1,694,000 | $ 4,200,000 | ||
Minimum | |||||
Basis of Presentation and Significant Accounting Policies [Line Items] | |||||
Fiscal year duration (52 weeks or 53 weeks) | 364 days | ||||
Maximum | |||||
Basis of Presentation and Significant Accounting Policies [Line Items] | |||||
Fiscal year duration (52 weeks or 53 weeks) | 371 days | ||||
Term of maturities of investments considered cash and cash equivalents | 3 months | ||||
Customer A | Revenue | Customer Concentration Risk | |||||
Risks and Uncertainties [Abstract] | |||||
Concentration Risk | 18.00% | 21.00% | |||
Customer B | Revenue | Customer Concentration Risk | |||||
Risks and Uncertainties [Abstract] | |||||
Concentration Risk | 10.00% | 12.00% | |||
Other Nonoperating Income (Expense) [Member] | |||||
General Discussion of Derivative Instruments and Hedging Activities [Abstract] | |||||
Gain on foreign exchange contracts adjusted to fair value through earnings - less than | $ 100,000 |
Net (Loss) Income per Share (De
Net (Loss) Income per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Earnings Per Share [Abstract] | ||||
Basic and diluted Net (loss) income attributable to common stockholders | $ (24,862) | $ 9,406 | $ (113,779) | $ 33,161 |
Shares used in basic Net (loss) income per share (in shares) | 117,669 | 118,643 | 117,151 | 117,661 |
Dilutive effect of stock options, RSUs and ESPP shares (in shares) | 0 | 2,327 | 0 | 2,788 |
Shares used in diluted Net (loss) income per share (in shares) | 117,669 | 120,970 | 117,151 | 120,449 |
Basic Net (loss) income per share (in dollars per share) | $ (0.21) | $ 0.08 | $ (0.97) | $ 0.28 |
Diluted Net (loss) income per share (in dollars per share) | $ (0.21) | $ 0.08 | $ (0.97) | $ 0.28 |
Stock options, RSU's and ESPP shares | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of EPS (in shares) | 3,200 | 2,700 | 9,400 | 2,400 |
Marketable Securities Compositi
Marketable Securities Composition (Details) - Short-term marketable securities - USD ($) $ in Thousands | Oct. 03, 2015 | Jan. 03, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Maturing within one year | $ 3,077 | $ 60,965 |
Maturing between one and two years | 3,013 | 78,268 |
Total marketable securities | 6,090 | 139,233 |
Corporate and Government Bonds and Notes and Commercial Paper [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Total marketable securities | 6,015 | 139,233 |
Commercial Paper, Not Included with Cash and Cash Equivalents [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Total marketable securities | $ 75 | $ 0 |
Fair Value of Financial Instr39
Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Jan. 03, 2015 | |
Total | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Foreign currency forward exchange contracts, net | $ (15) | $ 414 | |
Total fair value of financial instruments | 6,075 | 139,647 | |
Short-term marketable securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fair value of marketable securities | 6,090 | 139,233 | |
Short-term marketable securities | Total | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fair value of marketable securities | 6,090 | 139,233 | |
Level 1 | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Foreign currency forward exchange contracts, net | 0 | 0 | |
Total fair value of financial instruments | 6,015 | 139,233 | |
Level 1 | Short-term marketable securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fair value of marketable securities | 6,015 | 139,233 | |
Level 2 | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Foreign currency forward exchange contracts, net | (15) | 414 | |
Total fair value of financial instruments | 60 | 414 | |
Level 2 | Short-term marketable securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fair value of marketable securities | 75 | 0 | |
Level 3 | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Foreign currency forward exchange contracts, net | 0 | 0 | |
Total fair value of financial instruments | 0 | 0 | |
Level 3 | Short-term marketable securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fair value of marketable securities | 0 | $ 0 | |
Maximum | Short-term marketable securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Unrealized gain (loss) | $ 100 | $ 300 |
Fair Value of Financial Instr40
Fair Value of Financial Instruments Unobservable Inputs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Jun. 28, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Short-term marketable securities | Maximum | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Unrealized gain (loss) | $ (100) | $ (300) | |
Fair Value, Inputs, Level 3 | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Beginning fair value of Long-term marketable securities | 0 | 5,241 | |
Fair value of securities sold or redeemed | 0 | (5,488) | |
Realized gain from increase in fair value | 0 | 247 | |
Ending fair value of Long-term marketable securities | $ 0 | $ 0 | |
Federally-insured or FFELP guaranteed student loan auction rate securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Par value | $ 5,700 | ||
Federally-insured or FFELP guaranteed student loan auction rate securities | Fair Value, Inputs, Level 3 | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Fair value of securities sold or redeemed | $ (5,200) |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Oct. 03, 2015 | Jan. 03, 2015 |
Inventory Disclosure [Abstract] | ||
Work in progress | $ 59,400 | $ 49,554 |
Finished goods | 19,627 | 15,371 |
Total inventories | $ 79,027 | $ 64,925 |
Business Combinations and Goo42
Business Combinations and Goodwill (Acquisition Silicon Image) (Details) - Silicon Image, Inc - USD ($) $ in Thousands | Mar. 10, 2015 | Oct. 03, 2015 |
Business Combination, Consideration Transferred [Abstract] | ||
Cash paid to Silicon Image shareholders | $ 575,955 | |
Cash paid for options and RSUs | 7,383 | |
Fair value of partially vested stock options and RSUs assumed | 5,139 | $ 10,100 |
Total purchase consideration | $ 588,477 |
Business Combinations and Goo43
Business Combinations and Goodwill (Allocation of the Purchase Price) (Details) - USD ($) $ in Thousands | Oct. 03, 2015 | Mar. 10, 2015 | Jan. 03, 2015 | Dec. 04, 2014 |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | ||||
Goodwill | $ 280,209 | $ 44,808 | ||
Redeemable noncontrolling interest | 7,500 | |||
Silicon Image, Inc | ||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | ||||
Cash, cash equivalents and short-term investments | 157,923 | |||
Accounts receivable | 30,677 | |||
Inventory | 20,839 | |||
Other current assets | 7,183 | |||
Property, plant and equipment | 23,429 | |||
Other non-current assets | 1,573 | |||
Intangible assets | 192,079 | $ 192,079 | ||
Goodwill | 235,401 | $ 235,400 | ||
Total assets acquired | 669,104 | |||
Accounts payable and other accrued liabilities | 47,735 | |||
Other current liabilities | 1,252 | |||
Long-term liabilities | 24,468 | |||
Redeemable noncontrolling interest | 7,172 | $ 7,000 | ||
Total liabilities assumed | 80,627 | |||
Fair value of net assets acquired | $ 588,477 |
Business Combinations and Goo44
Business Combinations and Goodwill (Identified Intangible Assets Acquired) (Details) - Silicon Image, Inc - USD ($) $ in Thousands | Mar. 10, 2015 | Oct. 03, 2015 |
Allocation of purchase price to assets acquired based on fair values: | ||
Total identified finite-lived intangible assets | $ 157,079 | |
Total identified intangible assets | 192,079 | $ 192,079 |
Developed technology | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Total identified finite-lived intangible assets | 125,000 | |
Customer relationships | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Total identified finite-lived intangible assets | 29,458 | |
Licensing Agreements | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Total identified finite-lived intangible assets | 1,852 | |
Patents | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Total identified finite-lived intangible assets | $ 769 | |
Asset Life in Years | 5 years | |
In Process Research and Development [Member] | ||
Allocation of purchase price to assets acquired based on fair values: | ||
In-process research and development | $ 35,000 | |
Minimum | Developed technology | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Asset Life in Years | 3 years | |
Minimum | Customer relationships | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Asset Life in Years | 4 years | |
Minimum | Licensing Agreements | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Asset Life in Years | 3 years | |
Maximum | Developed technology | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Asset Life in Years | 5 years | |
Maximum | Customer relationships | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Asset Life in Years | 7 years | |
Maximum | Licensing Agreements | ||
Allocation of purchase price to assets acquired based on fair values: | ||
Asset Life in Years | 5 years |
Business Combinations and Goo45
Business Combinations and Goodwill Pro Forma Financial Information (Details) - Silicon Image, Inc - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Business Acquisition [Line Items] | ||||
Total revenues | $ 109,715 | $ 156,898 | $ 349,673 | $ 473,952 |
Net loss attributable to common stockholders | $ (29,613) | $ 7,209 | $ (115,426) | $ (23,686) |
Basic net loss per share | $ (0.25) | $ 0.06 | $ (0.98) | $ (0.20) |
Diluted net loss per share | $ (0.25) | $ 0.06 | $ (0.98) | $ (0.20) |
Business Combinations and Goo46
Business Combinations and Goodwill (Narrative) (Details) - USD ($) | Mar. 10, 2015 | Oct. 03, 2015 | Jul. 04, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Oct. 03, 2015 | Sep. 27, 2014 | Jan. 03, 2015 | Dec. 04, 2014 |
Business Acquisition [Line Items] | |||||||||
Acquisition related charges | $ 610,000 | $ 0 | $ 22,078,000 | $ 0 | |||||
Goodwill and Intangible Asset Impairment | 0 | $ 0 | |||||||
Goodwill | 280,209,000 | $ 280,209,000 | 280,209,000 | $ 44,808,000 | |||||
Silicon Image, Inc | |||||||||
Business Acquisition [Line Items] | |||||||||
Increase (Decrease) in Accrued Liabilities | $ 1,400,000 | ||||||||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | 7.00% | |||||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 96,800,000 | ||||||||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | 43,900,000 | ||||||||
Acquisition related charges | 8,200,000 | ||||||||
Goodwill | $ 235,400,000 | 235,401,000 | $ 235,401,000 | 235,401,000 | |||||
Fair value of partially vested stock options and RSUs assumed | $ 5,139,000 | 10,100,000 | |||||||
Scenario, Adjustment [Member] | Silicon Image, Inc | |||||||||
Business Acquisition [Line Items] | |||||||||
Acquisition related charges | $ (600,000) | $ (30,200,000) |
Intangible Assets (Intangible A
Intangible Assets (Intangible Assets) (Details) - USD ($) $ in Thousands | Mar. 10, 2015 | Oct. 03, 2015 | Jan. 03, 2015 |
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Total | $ 145,285 | ||
Intangible Assets, Net (Excluding Goodwill) | 180,285 | $ 9,537 | |
SiliconBlue Technologies Ltd. and Silicon Image, Inc [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Gross | 175,579 | ||
Accumulated Amortization | (30,294) | ||
Total | 145,285 | ||
Intangible Assets, Gross (Excluding Goodwill) | 210,579 | ||
Intangible Assets, Net (Excluding Goodwill) | 180,285 | ||
SiliconBlue Technologies Ltd. and Silicon Image, Inc [Member] | Developed technology | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Weighted Average Amortization Period (in years) | 4 years 8 months 12 days | ||
Gross | 135,700 | ||
Accumulated Amortization | (21,337) | ||
Total | 114,363 | ||
SiliconBlue Technologies Ltd. and Silicon Image, Inc [Member] | Customer relationships | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Weighted Average Amortization Period (in years) | 5 years 6 months | ||
Gross | 37,258 | ||
Accumulated Amortization | (8,448) | ||
Total | 28,810 | ||
SiliconBlue Technologies Ltd. and Silicon Image, Inc [Member] | Licensing Agreements | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Weighted Average Amortization Period (in years) | 2 years 6 months | ||
Gross | 1,852 | ||
Accumulated Amortization | (422) | ||
Total | 1,430 | ||
SiliconBlue Technologies Ltd. and Silicon Image, Inc [Member] | Patents | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Weighted Average Amortization Period (in years) | 5 years | ||
Gross | 769 | ||
Accumulated Amortization | (87) | ||
Total | 682 | ||
In Process Research and Development [Member] | SiliconBlue Technologies Ltd. and Silicon Image, Inc [Member] | |||
Acquired Indefinite-lived Intangible Assets [Line Items] | |||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 35,000 |
Intangible Assets (Amortization
Intangible Assets (Amortization Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization of acquired intangible assets | $ 8,941 | $ 737 | $ 20,824 | $ 2,211 |
SiliconBlue Technologies Ltd. and Silicon Image, Inc | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization of acquired intangible assets | 9,164 | 737 | 21,331 | 2,211 |
Research and development | SiliconBlue Technologies Ltd. and Silicon Image, Inc | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization of acquired intangible assets | $ 223 | $ 0 | $ 507 | $ 0 |
Intangible Assets (Intangible49
Intangible Assets (Intangible Assets, Amortization Expense) (Details) $ in Thousands | Oct. 03, 2015USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2015 (remaining 3 months) | $ 9,164 |
2,016 | 36,452 |
2,017 | 35,635 |
2,018 | 29,752 |
Thereafter | 34,282 |
Total | $ 145,285 |
Redeemable Noncontrolling Int50
Redeemable Noncontrolling Interests (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Oct. 03, 2015 | Mar. 10, 2015 | Dec. 04, 2014 | |
Noncontrolling Interest [Line Items] | ||||
Redeemable noncontrolling interest | $ 7,500 | $ 7,500 | ||
Redeemable Noncontrolling Interest, Equity, Fair Value | $ 21,000 | $ 21,000 | ||
Noncontrolling Interest, Redemption Price, Fair Value, Percentage | 130.00% | 130.00% | ||
Noncontrolling Interest, Period Increase (Decrease) | $ 200 | $ 300 | ||
Silicon Image, Inc | ||||
Noncontrolling Interest [Line Items] | ||||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | 7.00% | ||
Redeemable noncontrolling interest | 7,172 | 7,172 | $ 7,000 | |
Redeemable Noncontrolling Interest, Equity, Fair Value | $ 7,200 | $ 7,200 |
Changes in Stockholders' Equi51
Changes in Stockholders' Equity and Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | $ 440,975 | |||
Net loss attributable to common stockholders for the nine months ended October 3, 2015 | $ (24,862) | $ 9,406 | (113,779) | $ 33,161 |
Unrealized (loss) gain related to marketable securities, net of tax | (130) | (210) | (133) | (280) |
Recognized loss on redemption of marketable securities, previously unrealized | 209 | (1) | 443 | 98 |
Translation adjustments, net of tax | (697) | (159) | (752) | 579 |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of tax | 722 | |||
Stock repurchase | (6,970) | |||
Retirement of treasury stock | 0 | |||
Stock-based compensation expense related to stock options, ESPP and RSUs | 13,609 | |||
Fair value of partially vested stock options and RSUs assumed in business acquisition | 5,139 | |||
Defined benefit pension net actuarial losses | (1) | $ 0 | (156) | $ 0 |
Noncontrolling Interest, Change in Redemption Value | (563) | |||
Ending balance | 338,535 | 338,535 | ||
Common stock | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 1,173 | |||
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of tax | 18 | |||
Stock repurchase | 0 | |||
Retirement of treasury stock | (11) | |||
Ending balance | 1,180 | 1,180 | ||
Additional Paid-in capital | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 635,299 | |||
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of tax | 704 | |||
Stock repurchase | 0 | |||
Retirement of treasury stock | (6,959) | |||
Stock-based compensation expense related to stock options, ESPP and RSUs | 13,609 | |||
Fair value of partially vested stock options and RSUs assumed in business acquisition | 5,139 | |||
Noncontrolling Interest, Change in Redemption Value | (563) | |||
Ending balance | 647,229 | 647,229 | ||
Treasury stock | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 0 | |||
Stock repurchase | (6,970) | |||
Retirement of treasury stock | 6,970 | |||
Ending balance | 0 | 0 | ||
Accumulated deficit | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | (193,613) | |||
Defined benefit pension net actuarial losses | 0 | |||
Ending balance | (307,392) | (307,392) | ||
Accumulated other comprehensive loss | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | (1,884) | |||
Net loss attributable to common stockholders for the nine months ended October 3, 2015 | (113,779) | |||
Unrealized (loss) gain related to marketable securities, net of tax | (133) | |||
Recognized loss on redemption of marketable securities, previously unrealized | 443 | |||
Translation adjustments, net of tax | (752) | |||
Defined benefit pension net actuarial losses | (156) | |||
Ending balance | $ (2,482) | $ (2,482) |
Changes in Stockholders' Equi52
Changes in Stockholders' Equity and Accumulated Other Comprehensive Loss Narrative (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Oct. 03, 2015 | Apr. 04, 2015 | Jan. 03, 2015 | Mar. 03, 2014 | |
Class of Stock [Line Items] | ||||
Treasury Stock, Shares, Acquired | 0 | 1,100,000 | ||
Share Repurchase Program Four [Member] | ||||
Class of Stock [Line Items] | ||||
Stock Repurchase Program, Authorized Amount | $ 20,000,000 | |||
Share Repurchase Program Three [Member] | ||||
Class of Stock [Line Items] | ||||
Treasury Stock, Shares, Acquired | 1,900,000 | |||
Treasury Stock, Value, Acquired, Cost Method | $ 7,000,000 | $ 13,100,000 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | Apr. 04, 2015 | |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | |||||
Income tax expense | $ 309 | $ 1,021 | $ 29,030 | $ 4,984 | |
Deferred Tax Assets, Valuation Allowance | $ 21,000 | ||||
Unrecognized tax benefits that could significantly change during the next twelve months | 2,600 | 2,600 | |||
Total potential decrease in UTB | 2,600 | 2,600 | |||
Maximum | |||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | |||||
Unrecognized tax benefits, associated interest and penalties that could significantly change within the next twelve months | $ 100 | $ 100 | |||
U.S. Federal | |||||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | |||||
Statutory income tax rate | 35.00% |
Restructuring (Details)
Restructuring (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Restructuring Cost and Reserve [Line Items] | ||||
Recorded restructuring charges - less than | $ 6,818 | $ 2 | $ 15,780 | $ 16 |
Restructuring Reserve [Roll Forward] | ||||
Balance at beginning of the period | 182 | 532 | ||
Restructuring charges | 15,780 | 10 | ||
Costs paid or otherwise settled | (8,257) | (351) | ||
Adjustments to prior restructuring costs | 0 | 6 | ||
Balance at the end of the period | 7,705 | 197 | 7,705 | 197 |
Severance and related | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance at beginning of the period | 0 | 17 | ||
Restructuring charges | 12,491 | 0 | ||
Costs paid or otherwise settled | (5,825) | (8) | ||
Adjustments to prior restructuring costs | 0 | (9) | ||
Balance at the end of the period | 6,666 | 0 | 6,666 | 0 |
Lease Termination | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance at beginning of the period | 43 | 368 | ||
Restructuring charges | 1,107 | 1 | ||
Costs paid or otherwise settled | (560) | (325) | ||
Adjustments to prior restructuring costs | 0 | 15 | ||
Balance at the end of the period | 590 | 59 | 590 | 59 |
Systems & Engineering Tools | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance at beginning of the period | 0 | 0 | ||
Restructuring charges | 2,000 | 0 | ||
Costs paid or otherwise settled | (1,551) | 0 | ||
Adjustments to prior restructuring costs | 0 | 0 | ||
Balance at the end of the period | 449 | 0 | 449 | 0 |
Other | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance at beginning of the period | 139 | 147 | ||
Restructuring charges | 182 | 9 | ||
Costs paid or otherwise settled | (321) | (18) | ||
Adjustments to prior restructuring costs | 0 | 0 | ||
Balance at the end of the period | 0 | 138 | 0 | 138 |
March 2015 Plan [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Recorded restructuring charges - less than | 1,400 | 10,300 | ||
September 2015 Reduction [Member] | Severance and related | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and Related Cost, Expected Cost | 6,000 | 6,000 | ||
2012 restructuring plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Recorded restructuring charges - less than | 5,500 | $ 100 | $ 0 | |
Minimum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and Related Cost, Expected Cost | 14,000 | 14,000 | ||
Maximum | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and Related Cost, Expected Cost | $ 19,000 | $ 19,000 |
Long-Term Debt (Narrative) (Det
Long-Term Debt (Narrative) (Details) - USD ($) | Mar. 10, 2015 | Oct. 03, 2015 | Sep. 27, 2014 |
Debt Instrument [Line Items] | |||
Repayment of debt | $ (1,750,000) | $ 0 | |
Line of Credit | Term Loan | |||
Debt Instrument [Line Items] | |||
Principal amount | $ 350,000,000 | 348,250,000 | 0 |
Repayment of debt | 346,500,000 | ||
Debt Instrument, Unamortized Discount | 3,500,000 | 9,746,000 | $ 0 |
Debt Issuance Cost | $ 8,300,000 | ||
Debt Instrument, Interest Rate, Effective Percentage | 7.36% | ||
Debt Instrument, Periodic Payment | $ 900,000 | ||
Debt Instrument, Payment, Percentage | 75.00% | ||
Line of Credit | Term Loan | London Interbank Offered Rate (LIBOR) | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Interest Rate, Stated Percentage Rate Range, Minimum | 1.00% | ||
Debt Instrument, Basis Spread on Variable Rate | 4.25% | ||
Minimum | Line of Credit | Term Loan | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Payment, Percentage | 0.00% | ||
Maximum | Line of Credit | Term Loan | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Payment, Percentage | 75.00% |
Long-Term Debt (Debt Schedule)
Long-Term Debt (Debt Schedule) (Details) - Line of Credit - Term Loan - USD ($) | Oct. 03, 2015 | Mar. 10, 2015 | Sep. 27, 2014 |
Debt Instrument [Line Items] | |||
Principal amount | $ 348,250,000 | $ 350,000,000 | $ 0 |
Unamortized original issue discount and debt issuance costs | (9,746,000) | $ (3,500,000) | 0 |
Less Current portion of long-term debt | (407,000) | 0 | |
Long-term debt | $ 338,097,000 | $ 0 |
Long-Term Debt (Interest Expens
Long-Term Debt (Interest Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Debt Disclosure [Abstract] | ||||
Contractual interest | $ 4,633 | $ 0 | $ 10,553 | $ 0 |
Amortization of debt issuance costs and discount | 932 | 0 | 2,037 | 0 |
Total Interest expense related to the Term Loan | $ 5,565 | $ 0 | $ 12,590 | $ 0 |
Stock-Based Compensation (Stock
Stock-Based Compensation (Stock-based Compensation Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation | $ 4,601 | $ 3,133 | $ 16,855 | $ 9,543 |
Cost of products sold | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation | 406 | 215 | 1,044 | 592 |
Research and development | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation | 2,789 | 1,356 | 6,644 | 3,744 |
Selling, general and administrative | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation | 1,004 | $ 1,562 | 4,874 | 5,207 |
Acquisition-related Costs | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation | $ 402 | $ 4,293 | $ 0 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015 | Sep. 27, 2014 | Oct. 03, 2015 | Sep. 27, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award Requisite Service Period | 2 years | |||
Total stock-based compensation | $ 4,601 | $ 3,133 | $ 16,855 | $ 9,543 |
Compensation Cost | $ 3,900 | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Grants in Period | 306,000 | |||
Options, Nonvested, Number of Shares | 397,500 | 397,500 | ||
Total stock-based compensation | $ 100 | $ 400 | ||
Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Grants in Period | 91,500 | |||
Minimum | Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award Vesting Rights, Percentage | 0.00% | |||
Maximum | Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award Vesting Rights, Percentage | 200.00% |
Contingencies (Details)
Contingencies (Details) - complant | Feb. 13, 2015 | Jan. 30, 2015 | Jan. 29, 2015 |
Molland v. George, et al. and Stein v. Silicon Image, Inc. [Member] | |||
Loss Contingencies [Line Items] | |||
Loss Contingency, Pending Claims, Number | 2 | 5 | 2 |
Segment and Geographic Inform61
Segment and Geographic Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Oct. 03, 2015USD ($) | Sep. 27, 2014USD ($) | Oct. 03, 2015USD ($)segment | Sep. 27, 2014USD ($) | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Number of operating segments | segment | 2 | |||
Total revenue | $ 109,715 | $ 86,570 | $ 304,772 | $ 282,527 |
Total revenue as percentage | 100.00% | 100.00% | 100.00% | 100.00% |
Asia | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | $ 86,443 | $ 63,364 | $ 232,372 | $ 209,567 |
Total revenue as percentage | 79.00% | 73.00% | 76.00% | 74.00% |
Europe | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | $ 13,061 | $ 14,909 | $ 43,005 | $ 45,337 |
Total revenue as percentage | 12.00% | 17.00% | 14.00% | 16.00% |
Americas | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenue | $ 10,211 | $ 8,297 | $ 29,395 | $ 27,623 |
Total revenue as percentage | 9.00% | 10.00% | 10.00% | 10.00% |
Qterics [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Revenue, Percent | 0.30% | 0.30% | ||
Net Loss, Percent | 5.50% | 2.40% | ||
Assets, Percent | 3.60% | 3.60% |