Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Aug. 01, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Jun-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Trading Symbol | 'CSCD | ' |
Entity Registrant Name | 'CASCADE MICROTECH INC | ' |
Entity Central Index Key | '0000864559 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 16,334,754 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current Assets: | ' | ' |
Cash and cash equivalents | $27,764 | $17,172 |
Short-term marketable securities | 1,683 | 4,278 |
Restricted cash | 825 | 1,082 |
Accounts receivable, net of allowances of $217 and $269 | 21,912 | 26,520 |
Inventories | 27,095 | 24,884 |
Prepaid expenses and other | 3,090 | 2,147 |
Deferred income taxes | 2,273 | 2,268 |
Total Current Assets | 84,642 | 78,351 |
Fixed assets, net of accumulated depreciation of $28,300 and $27,730 | 6,796 | 6,403 |
Goodwill | 14,361 | 14,471 |
Purchased intangible assets, net of accumulated amortization of $6,681 and $5,228 | 15,364 | 16,937 |
Deferred income taxes | 1,273 | 1,235 |
Other assets, net of accumulated amortization of $4,453 and $4,349 | 1,039 | 1,114 |
Total Assets | 123,475 | 118,511 |
Current Liabilities: | ' | ' |
Accounts payable | 7,405 | 7,229 |
Deferred revenue | 2,183 | 2,555 |
Accrued liabilities | 9,757 | 8,859 |
Total Current Liabilities | 19,345 | 18,643 |
Deferred revenue | 538 | 548 |
Other long-term liabilities | 1,877 | 2,119 |
Total Liabilities | 21,760 | 21,310 |
Shareholders' Equity: | ' | ' |
Common stock, $0.01 par value. Authorized 100,000 shares; issued and outstanding: 16,313 and 16,218 | 163 | 162 |
Additional paid-in capital | 109,100 | 107,908 |
Accumulated other comprehensive income | 19 | 118 |
Accumulated deficit | -7,567 | -10,987 |
Total Shareholders' Equity | 101,715 | 97,201 |
Total Liabilities and Shareholders' Equity | $123,475 | $118,511 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Per Share data, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Accounts receivable, allowances | $217 | $269 |
Fixed assets, accumulated depreciation | 28,300 | 27,730 |
Purchased intangible assets, accumulated amortization | 6,681 | 5,228 |
Other assets, accumulated amortization | $4,453 | $4,349 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 100,000 | 100,000 |
Common stock, shares issued | 16,313 | 16,218 |
Common stock, shares outstanding | 16,313 | 16,218 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Revenue | $33,452 | $30,307 | $67,262 | $57,778 |
Cost of sales | 16,466 | 16,032 | 34,003 | 31,960 |
Gross profit | 16,986 | 14,275 | 33,259 | 25,818 |
Operating expenses: | ' | ' | ' | ' |
Research and development | 3,428 | 2,694 | 6,669 | 5,150 |
Selling, general and administrative | 10,630 | 9,064 | 21,060 | 17,110 |
Total operating expenses | 14,058 | 11,758 | 27,729 | 22,260 |
Income from operations | 2,928 | 2,517 | 5,530 | 3,558 |
Other income (expense): | ' | ' | ' | ' |
Interest income, net | 7 | 2 | 9 | 22 |
Other, net | -56 | -112 | -125 | -356 |
Total other income (expense), net | -49 | -110 | -116 | -334 |
Income before income taxes | 2,879 | 2,407 | 5,414 | 3,224 |
Income tax expense | 1,051 | 221 | 1,994 | 291 |
Net income | $1,828 | $2,186 | $3,420 | $2,933 |
Basic net income per share | $0.11 | $0.15 | $0.21 | $0.21 |
Diluted net income per share | $0.11 | $0.15 | $0.20 | $0.20 |
Shares used in per share calculations: | ' | ' | ' | ' |
Basic | 16,255 | 14,342 | 16,249 | 14,283 |
Diluted | 16,751 | 14,652 | 16,725 | 14,626 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net income | $1,828 | $2,186 | $3,420 | $2,933 |
Unrealized holding losses | -3 | -1 | -3 | -1 |
Change in cumulative translation adjustment | -110 | 267 | -96 | -255 |
Comprehensive income | $1,715 | $2,452 | $3,321 | $2,677 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $3,420 | $2,933 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation expense | 1,628 | 1,906 |
Amortization of intangibles | 1,565 | 470 |
Stock-based compensation | 1,270 | 872 |
Loss on write-down or disposal of long-lived assets | 66 | 1 |
Deferred income taxes | -12 | 49 |
(Increase) decrease in: | ' | ' |
Accounts receivable, net | 4,586 | -504 |
Inventories | -2,078 | 1,973 |
Prepaid expenses and other | -797 | 433 |
Increase (decrease) in: | ' | ' |
Accounts payable | -985 | 88 |
Deferred revenue | -382 | -2,092 |
Accrued and other long-term liabilities | 1,331 | -1,023 |
Net cash provided by operating activities | 9,612 | 5,106 |
Cash flows from investing activities: | ' | ' |
Purchase of marketable securities | -1,128 | -5,374 |
Proceeds from sale of marketable securities | 3,720 | 5,665 |
Purchase of fixed assets | -1,108 | -851 |
Proceeds from sale of fixed assets | 10 | 13 |
Decrease in restricted cash | 249 | 1,061 |
Cash paid for acquisitions, net of cash acquired | -654 | ' |
Net cash provided by investing activities | 1,089 | 514 |
Cash flows from financing activities: | ' | ' |
Principal payments on capital lease obligations | ' | -2 |
Withholding taxes paid on net settlement of vested restricted stock units | -247 | -202 |
Proceeds from issuances of common stock | 1,203 | 578 |
Cash paid for repurchase of common stock | -1,033 | -58 |
Net cash provided by (used in) financing activities | -77 | 316 |
Effect of exchange rate changes on cash and cash equivalents | -32 | -94 |
Increase in cash and cash equivalents | 10,592 | 5,842 |
Cash and cash equivalents: | ' | ' |
Beginning of period | 17,172 | 17,927 |
End of period | 27,764 | 23,769 |
Supplemental disclosure of cash flow information: | ' | ' |
Cash paid for income taxes, net | 717 | 440 |
Transfer to inventory from fixed assets | ($213) | ' |
Basis_of_Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Note 1. Basis of Presentation | |
The condensed consolidated financial information included herein has been prepared by Cascade Microtech, Inc. without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). However, such information reflects all adjustments, consisting only of normal recurring adjustments, which are, in the opinion of management, necessary for a fair presentation of the financial position, results of operations and cash flows for the interim periods. The financial information as of December 31, 2013 is derived from our 2013 Annual Report on Form 10-K. The condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in our 2013 Annual Report on Form 10-K. The results of operations for the interim periods presented are not necessarily indicative of the results to be expected for the full year. |
Inventories
Inventories | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Inventory Disclosure [Abstract] | ' | ||||||||||||||||
Inventories | ' | ||||||||||||||||
Note 2. Inventories | |||||||||||||||||
Inventories are stated at the lower of standard cost, which approximates cost computed on a first-in, first-out basis, or market, and include materials, labor and manufacturing overhead. Demonstration goods, which are included as a component of finished goods, represent inventory that is used for customer demonstration purposes. This inventory is typically sold after 12 to 18 months. We analyze the carrying value of our inventory quarterly, considering a combination of factors including, but not limited to, the following: forecasted sales or usage, historical usage rates, estimated service period, product end-of-life dates, estimated current and future market values, service inventory requirements and new product introductions. We estimate market value based on factors including, but not limited to, replacement cost and estimated resale value with declines in value below cost being recorded quarterly as a component of cost of sales, therefore establishing a new cost basis for the inventory. | |||||||||||||||||
Inventory charges were as follows (in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Inventory charges | $ | 344 | $ | 356 | $ | 799 | $ | 749 | |||||||||
Inventories consisted of the following (in thousands): | |||||||||||||||||
June 30, | December 31 | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Raw materials | $ | 16,585 | $ | 15,234 | |||||||||||||
Work-in-process | 2,945 | 2,958 | |||||||||||||||
Finished goods | 7,565 | 6,692 | |||||||||||||||
$ | 27,095 | $ | 24,884 | ||||||||||||||
Net_Income_Per_Share
Net Income Per Share | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Net Income Per Share | ' | ||||||||||||||||
Note 3. Net Income Per Share | |||||||||||||||||
The following table reconciles the shares used in calculating basic net income per share and diluted net income per share (in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Shares used to calculate basic net income per share | 16,255 | 14,342 | 16,249 | 14,283 | |||||||||||||
Dilutive effect of outstanding options and restricted stock units (“RSUs”) | 496 | 310 | 476 | 343 | |||||||||||||
Shares used to calculate diluted net income per share | 16,751 | 14,652 | 16,725 | 14,626 | |||||||||||||
Securities not considered as they would have been antidilutive | 1,020 | 1,132 | 1,040 | 1,099 | |||||||||||||
Product_Warranty
Product Warranty | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Guarantees [Abstract] | ' | ||||||||
Product Warranty | ' | ||||||||
Note 4. Product Warranty | |||||||||
We estimate a liability for costs to repair or replace products under warranty for periods ranging from 90 days to one year when the related product revenue is recognized. The liability for product warranties is calculated as a percentage of sales. The percentage is based on historical product repair costs. The liability for product warranties is included in Accrued liabilities on our Condensed Consolidated Balance Sheets. | |||||||||
Product warranty activity was as follows (in thousands): | |||||||||
Six Months Ended June 30, | |||||||||
2014 | 2013 | ||||||||
Warranty accrual, beginning of period | $ | 745 | $ | 716 | |||||
Reductions for warranty charges | (490 | ) | (399 | ) | |||||
Additions to warranty reserve | 493 | 288 | |||||||
Warranty accrual, end of period | $ | 748 | $ | 605 | |||||
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Goodwill and Intangible Assets | ' | ||||||||||||||||
Note 5. Goodwill and Intangible Assets | |||||||||||||||||
Goodwill | |||||||||||||||||
The change in goodwill was as follows (in thousands): | |||||||||||||||||
Six Months | Year Ended | ||||||||||||||||
Ended | December 31, | ||||||||||||||||
June 30, 2014 | 2013 | ||||||||||||||||
Balance, beginning of period | $ | 14,471 | $ | 990 | |||||||||||||
Acquisition of the Reliability Test Product division of Aetrium Incorporated (“RTP”) | — | 641 | |||||||||||||||
Acquisition of ATT Advanced Temperature Test Systems GmbH ATT (“ATT Systems”) | — | 12,551 | |||||||||||||||
Effect of exchange rate changes | (110 | ) | 289 | ||||||||||||||
Balance, end of period | $ | 14,361 | $ | 14,471 | |||||||||||||
Intangible Assets | |||||||||||||||||
Intangible assets, net included the following (in thousands): | |||||||||||||||||
June 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Purchased Intangible Assets | |||||||||||||||||
Customer relationships | $ | 7,171 | $ | 7,198 | |||||||||||||
Core technology | 13,645 | 13,728 | |||||||||||||||
Trademarks and tradenames | 1,229 | 1,239 | |||||||||||||||
22,045 | 22,165 | ||||||||||||||||
Less accumulated amortization | (6,681 | ) | (5,228 | ) | |||||||||||||
$ | 15,364 | $ | 16,937 | ||||||||||||||
Patents | |||||||||||||||||
Patents | $ | 4,632 | $ | 4,632 | |||||||||||||
Less accumulated amortization | (4,453 | ) | (4,349 | ) | |||||||||||||
$ | 179 | $ | 283 | ||||||||||||||
Intangible asset amortization is a component of Selling, general and administrative expense and was as follows (in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Amortization expense | $ | 780 | $ | 234 | $ | 1,565 | $ | 470 | |||||||||
The estimated amortization of intangible assets is as follows over the next five years and thereafter (in thousands): | |||||||||||||||||
Remainder of 2014 | $ | 1,506 | |||||||||||||||
2015 | 2,896 | ||||||||||||||||
2016 | 2,595 | ||||||||||||||||
2017 | 2,577 | ||||||||||||||||
2018 | 2,499 | ||||||||||||||||
Thereafter | 3,470 | ||||||||||||||||
$ | 15,543 | ||||||||||||||||
Accrued_Liabilities
Accrued Liabilities | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Payables And Accruals [Abstract] | ' | ||||||||
Accrued Liabilities | ' | ||||||||
Note 6. Accrued Liabilities | |||||||||
Accrued liabilities consisted of the following (in thousands): | |||||||||
June 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Accrued compensation and benefits | $ | 4,121 | $ | 2,812 | |||||
Accrued sales taxes and VAT | 108 | 470 | |||||||
Accrued income taxes | 1,773 | 492 | |||||||
Accrued warranty | 748 | 745 | |||||||
Contingent consideration related to our acquisition of RTP | 500 | 1,350 | |||||||
Payable to seller related to our acquisition of ATT Systems | 514 | 746 | |||||||
Accrued restructuring costs | 1,188 | 1,163 | |||||||
Other | 805 | 1,081 | |||||||
$ | 9,757 | $ | 8,859 | ||||||
StockBased_Compensation_and_St
Stock-Based Compensation and Stock-Based Plans | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Stock-Based Compensation and Stock-Based Plans | ' | ||||||||||||||||
Note 7. Stock-Based Compensation and Stock-Based Plans | |||||||||||||||||
Stock-based compensation was included in our Condensed Consolidated Statements of Operations as follows (in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Cost of sales | $ | 62 | $ | 45 | $ | 120 | $ | 96 | |||||||||
Research and development | 76 | 47 | 140 | 100 | |||||||||||||
Selling, general and administrative | 683 | 446 | 1,010 | 676 | |||||||||||||
$ | 821 | $ | 538 | $ | 1,270 | $ | 872 | ||||||||||
Stock Incentive Plans | |||||||||||||||||
Stock option activity for the first six months of 2014 was as follows: | |||||||||||||||||
Options | Weighted | ||||||||||||||||
Outstanding | Average | ||||||||||||||||
Exercise Price | |||||||||||||||||
Outstanding at December 31, 2013 | 1,042,937 | $ | 6.52 | ||||||||||||||
Granted | 90,000 | 9.61 | |||||||||||||||
Exercised | (98,686 | ) | 8.98 | ||||||||||||||
Forfeited | (1,800 | ) | 10.17 | ||||||||||||||
Outstanding at June 30, 2014 | 1,032,451 | 6.55 | |||||||||||||||
RSU activity for the first six months of 2014 was as follows: | |||||||||||||||||
Restricted | Weighted | ||||||||||||||||
Stock | Average | ||||||||||||||||
Units | Grant Date | ||||||||||||||||
Per Share | |||||||||||||||||
Fair Value | |||||||||||||||||
Outstanding at December 31, 2013 | 409,403 | $ | 6.87 | ||||||||||||||
Granted | 171,750 | 10.21 | |||||||||||||||
Vested | (98,020 | ) | 7.46 | ||||||||||||||
Forfeited | — | — | |||||||||||||||
Outstanding at June 30, 2014 | 483,133 | 7.93 | |||||||||||||||
As of June 30, 2014, total unrecognized stock-based compensation related to outstanding, but unvested, options and RSUs was $4.9 million, which will be recognized over the weighted average remaining vesting period of 2.5 years. | |||||||||||||||||
Employee Stock Purchase Plan | |||||||||||||||||
During the first six months of 2014, we issued 35,722 shares of our common stock pursuant to our 2013 Employee Share Purchase Plan (the “2013 ESPP”) at a price of $8.88 per share, which represented a discount of $1.90 per share from the fair value of our common stock on the date of issuance. As of June 30, 2014, a total of 964,278 shares remained available for issuance pursuant to the 2013 ESPP. |
Segment_Reporting
Segment Reporting | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segment Reporting | ' | ||||||||||||||||
Note 8. Segment Reporting | |||||||||||||||||
The segment data below is presented in the same manner that management currently organizes the segments for assessing certain performance trends. Our Chief Operating Decision Maker monitors the revenue streams and the operating income of our Systems sales and our Probes sales. We do not track our assets on a segment level, and, accordingly, that information is not provided. | |||||||||||||||||
Revenue and operating income information by segment was as follows (dollars in thousands): | |||||||||||||||||
Systems | Probes | Corporate | Total | ||||||||||||||
Unallocated | |||||||||||||||||
Three Months Ended June 30, 2014 | |||||||||||||||||
Revenue | $ | 21,824 | $ | 11,628 | $ | — | $ | 33,452 | |||||||||
Gross profit | $ | 10,139 | $ | 6,847 | $ | — | $ | 16,986 | |||||||||
Gross margin | 46.5 | % | 58.9 | % | — | 50.8 | % | ||||||||||
Income (loss) from operations | $ | 3,352 | $ | 3,900 | $ | (4,324 | ) | $ | 2,928 | ||||||||
Three Months Ended June 30, 2013 | |||||||||||||||||
Revenue | $ | 19,847 | $ | 10,460 | $ | — | $ | 30,307 | |||||||||
Gross profit | $ | 8,760 | $ | 5,515 | $ | — | $ | 14,275 | |||||||||
Gross margin | 44.1 | % | 52.7 | % | — | 47.1 | % | ||||||||||
Income (loss) from operations | $ | 3,268 | $ | 2,990 | $ | (3,741 | ) | $ | 2,517 | ||||||||
Systems | Probes | Corporate | Total | ||||||||||||||
Unallocated | |||||||||||||||||
Six Months Ended June 30, 2014 | |||||||||||||||||
Revenue | $ | 43,384 | $ | 23,878 | $ | — | $ | 67,262 | |||||||||
Gross profit | $ | 19,337 | $ | 13,922 | $ | — | $ | 33,259 | |||||||||
Gross margin | 44.6 | % | 58.3 | % | — | 49.4 | % | ||||||||||
Income (loss) from operations | $ | 5,831 | $ | 8,326 | $ | (8,627 | ) | $ | 5,530 | ||||||||
Six Months Ended June 30, 2013 | |||||||||||||||||
Revenue | $ | 37,547 | $ | 20,231 | $ | — | $ | 57,778 | |||||||||
Gross profit | $ | 15,472 | $ | 10,346 | $ | — | $ | 25,818 | |||||||||
Gross margin | 41.2 | % | 51.1 | % | — | 44.7 | % | ||||||||||
Income (loss) from operations | $ | 4,910 | $ | 5,414 | $ | (6,766 | ) | $ | 3,558 | ||||||||
In preparing this financial information, certain expenses were allocated between the segments based on management estimates, while others were based on specific factors such as headcount. These factors can have a significant impact on the amount of income (loss) from operations for each segment. While we believe we have applied a reasonable methodology, assignment of other reasonable cost allocations to each segment could result in materially different segment income (loss) from operations. | |||||||||||||||||
No customer accounted for 10% or greater of our total revenue in the six-month periods ended June 30, 2014 or 2013, or in the three-month period ended June 30, 2014. We had one customer which represented 11.3% of our total revenue in the three-month period ended June 30, 2013. |
Fair_Value_Measurements
Fair Value Measurements | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Note 9. Fair Value Measurements | |||||||||||||||||
Various inputs are used in determining the fair value of our financial assets and liabilities and are summarized into three broad categories: | |||||||||||||||||
• | Level 1 – quoted prices in active markets for identical securities; | ||||||||||||||||
• | Level 2 – other significant observable inputs, including quoted prices for similar securities, interest rates, credit risk, etc.; and | ||||||||||||||||
• | Level 3 – significant unobservable inputs, including our own assumptions in determining fair value. | ||||||||||||||||
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. | |||||||||||||||||
The disclosures related to our financial assets and (liabilities) that are reported at fair value on a recurring basis are as follows (in thousands): | |||||||||||||||||
June 30, 2014 | December 31, 2013 | ||||||||||||||||
Fair Value | Input Level | Fair Value | Input Level | ||||||||||||||
Marketable securities – corporate equities | $ | 4 | Level 1 | $ | 1 | Level 1 | |||||||||||
Marketable securities – corporate obligations | $ | 1,679 | Level 2 | $ | 4,277 | Level 2 | |||||||||||
Forward sale contracts for Japanese yen | $ | 2,960 | Level 2 | $ | 523 | Level 2 | |||||||||||
Forward purchase contract for euro | $ | 545 | Level 2 | $ | 2,061 | Level 2 | |||||||||||
Forward sale contract for euro | $ | 25,203 | Level 2 | $ | 24,561 | Level 2 | |||||||||||
Contingent consideration related to our acquisition of RTP | $ | (500 | ) | Level 3 | $ | (1,350 | ) | Level 3 | |||||||||
The fair value of our marketable securities is determined based on quoted market prices for similar or identical securities. The fair value of our forward contracts is based on quoted market prices for similar securities and is used for the purpose of determining any gain or loss on our foreign currency positions. We do not record the full value of the forward contracts on our Condensed Consolidated Balance Sheets. We record the net unrealized gain or loss in our Condensed Consolidated Balance Sheet and as a component of Other income (expense). | |||||||||||||||||
The fair value of the contingent consideration related to our acquisition of RTP is determined based on the present value of probability weighted payments expected to be made under the terms of the agreement. | |||||||||||||||||
The carrying values of Cash and cash equivalents, Restricted cash, Accounts receivable, Prepaid expenses and other, Accounts payable and Accrued liabilities approximate fair value due to their short maturities. | |||||||||||||||||
No changes were made to our valuation techniques during the first six months of 2014. | |||||||||||||||||
The following table summarizes our Level 3 activity for our contingent consideration liability (in thousands): | |||||||||||||||||
Level 3 | |||||||||||||||||
Balance at December 31, 2013 | $ | 1,350 | |||||||||||||||
Decrease in contingent consideration due to re-measurement | (422 | ) | |||||||||||||||
Payment of contingent consideration | (428 | ) | |||||||||||||||
Balance at June 30, 2014 | $ | 500 | |||||||||||||||
Stock_Repurchases
Stock Repurchases | 6 Months Ended |
Jun. 30, 2014 | |
Equity [Abstract] | ' |
Stock Repurchases | ' |
Note 10. Stock Repurchases | |
In November 2012, our Board of Directors authorized a stock repurchase program under which up to $2.0 million of our common stock could be repurchased from time to time in the open market or in privately negotiated transactions. In May 2014, our Board of Directors authorized an increase to the stock repurchase program of $2.0 million. In the first six months of 2014 we repurchased 111,256 shares of our common stock at a weighted average price of $9.28 per share, or a total of $1.0 million. As of June 30, 2014, $2.6 million remained available for repurchase under the program. The repurchase program does not have an expiration date. |
Restructuring_Accrual
Restructuring Accrual | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Restructuring And Related Activities [Abstract] | ' | ||||||||||||||||||||
Restructuring Accrual | ' | ||||||||||||||||||||
Note 11. Restructuring Accrual | |||||||||||||||||||||
Restructuring charges related to adjustments to our lease abandonment reserve were recorded as a component of Selling, general and administrative as follows: | |||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||
June 30, | June 30, | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Lease abandonment and termination | $ | 249 | $ | 112 | $ | 249 | $ | 112 | |||||||||||||
The following tables summarize the charges, expenditures and write-offs and adjustments related to our restructuring accruals (in thousands): | |||||||||||||||||||||
Beginning | Charged to | Expend- | Write-Offs | Ending | |||||||||||||||||
Accrued | Expense, | itures | and | Accrued | |||||||||||||||||
Liability | Net | Adjust- | Liability | ||||||||||||||||||
ments | |||||||||||||||||||||
Six Months Ended June 30, 2014 | |||||||||||||||||||||
Lease abandonment | $ | 2,129 | $ | 249 | $ | — | $ | (578 | ) | $ | 1,800 | ||||||||||
As of June 30, 2014, approximately $0.6 million of total accrued restructuring costs are included in Other long-term liabilities. The remainder is classified as a component of Accrued liabilities. We expect the lease abandonment costs will be paid by the end of 2015. |
Recent_Accounting_Guidance
Recent Accounting Guidance | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Changes And Error Corrections [Abstract] | ' |
Recent Accounting Guidance | ' |
Note 12. Recent Accounting Guidance | |
ASU 2014-12 | |
In June 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-12, “Compensation – Stock Compensation (Topic 718).” ASU 2014-12 addresses accounting for share-based payments when the terms of an award provide that a performance target could be achieved after the requisite service period. ASU 2014-12 indicates that, in such situations, the performance target should be treated as a performance condition and, accordingly, the performance target should not be reflected in estimating the grant-date fair value of the award. Instead, compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved. ASU 2014-12 is effective for annual periods and interim periods beginning after December 15, 2015. We do not expect the adoption of ASU 2014-12 to have a material effect on our financial position, results of operations or cash flows. | |
ASU 2014-09 | |
In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 clarifies the principles for recognizing revenue and develops a common revenue standard for GAAP and the International Accounting Standards Board. ASU 2014-09 is effective for annual and interim periods beginning on or after December 15, 2016. Early adoption is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. We are evaluating the effect that ASU 2014-09 will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting. | |
ASU 2013-11 | |
In July 2013, the FASB issued ASU No. 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” ASU 2013-11 amends the guidance related to the presentation of unrecognized tax benefits and allows for the reduction of a deferred tax asset for a net operating loss (“NOL”) carryforward whenever the NOL or tax credit carryforward would be available to reduce the additional taxable income or tax due if the tax position is disallowed. ASU 2013-11 is effective for annual and interim periods for fiscal years beginning after December 15, 2013, and early adoption is permitted. Since ASU 2013-11 relates only to the presentation of unrecognized tax benefits, our adoption of ASU 2013-11 in January 2014 did not have a material effect on our financial position, results of operations or cash flows. |
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 6 Months Ended | |||
Jun. 30, 2014 | ||||
Inventory Disclosure [Abstract] | ' | |||
Basis of presentation, policy | ' | |||
The condensed consolidated financial information included herein has been prepared by Cascade Microtech, Inc. without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). However, such information reflects all adjustments, consisting only of normal recurring adjustments, which are, in the opinion of management, necessary for a fair presentation of the financial position, results of operations and cash flows for the interim periods. | ||||
Inventories, policy | ' | |||
Inventories are stated at the lower of standard cost, which approximates cost computed on a first-in, first-out basis, or market, and include materials, labor and manufacturing overhead. Demonstration goods, which are included as a component of finished goods, represent inventory that is used for customer demonstration purposes. This inventory is typically sold after 12 to 18 months. We analyze the carrying value of our inventory quarterly, considering a combination of factors including, but not limited to, the following: forecasted sales or usage, historical usage rates, estimated service period, product end-of-life dates, estimated current and future market values, service inventory requirements and new product introductions. We estimate market value based on factors including, but not limited to, replacement cost and estimated resale value with declines in value below cost being recorded quarterly as a component of cost of sales, therefore establishing a new cost basis for the inventory. | ||||
Product warranty, policy | ' | |||
We estimate a liability for costs to repair or replace products under warranty for periods ranging from 90 days to one year when the related product revenue is recognized. The liability for product warranties is calculated as a percentage of sales. The percentage is based on historical product repair costs. The liability for product warranties is included in Accrued liabilities on our Condensed Consolidated Balance Sheets. | ||||
Segment reporting, policy | ' | |||
The segment data below is presented in the same manner that management currently organizes the segments for assessing certain performance trends. Our Chief Operating Decision Maker monitors the revenue streams and the operating income of our Systems sales and our Probes sales. We do not track our assets on a segment level, and, accordingly, that information is not provided. | ||||
In preparing this financial information, certain expenses were allocated between the segments based on management estimates, while others were based on specific factors such as headcount. These factors can have a significant impact on the amount of income (loss) from operations for each segment. While we believe we have applied a reasonable methodology, assignment of other reasonable cost allocations to each segment could result in materially different segment income (loss) from operations. | ||||
Fair value measurements, policy | ' | |||
Various inputs are used in determining the fair value of our financial assets and liabilities and are summarized into three broad categories: | ||||
• | Level 1 – quoted prices in active markets for identical securities; | |||
• | Level 2 – other significant observable inputs, including quoted prices for similar securities, interest rates, credit risk, etc.; and | |||
• | Level 3 – significant unobservable inputs, including our own assumptions in determining fair value. | |||
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. | ||||
Fair value of marketable securities, policy | ' | |||
The fair value of our marketable securities is determined based on quoted market prices for similar or identical securities. The fair value of our forward contracts is based on quoted market prices for similar securities and is used for the purpose of determining any gain or loss on our foreign currency positions. We do not record the full value of the forward contracts on our Condensed Consolidated Balance Sheets. We record the net unrealized gain or loss in our Condensed Consolidated Balance Sheet and as a component of Other income (expense). |
Inventories_Tables
Inventories (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Inventory Disclosure [Abstract] | ' | ||||||||||||||||
Inventory Charges | ' | ||||||||||||||||
Inventory charges were as follows (in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Inventory charges | $ | 344 | $ | 356 | $ | 799 | $ | 749 | |||||||||
Inventories | ' | ||||||||||||||||
Inventories consisted of the following (in thousands): | |||||||||||||||||
June 30, | December 31 | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Raw materials | $ | 16,585 | $ | 15,234 | |||||||||||||
Work-in-process | 2,945 | 2,958 | |||||||||||||||
Finished goods | 7,565 | 6,692 | |||||||||||||||
$ | 27,095 | $ | 24,884 | ||||||||||||||
Net_Income_Per_Share_Tables
Net Income Per Share (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Basic and Diluted Net Income Per Share | ' | ||||||||||||||||
The following table reconciles the shares used in calculating basic net income per share and diluted net income per share (in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Shares used to calculate basic net income per share | 16,255 | 14,342 | 16,249 | 14,283 | |||||||||||||
Dilutive effect of outstanding options and restricted stock units (“RSUs”) | 496 | 310 | 476 | 343 | |||||||||||||
Shares used to calculate diluted net income per share | 16,751 | 14,652 | 16,725 | 14,626 | |||||||||||||
Securities not considered as they would have been antidilutive | 1,020 | 1,132 | 1,040 | 1,099 | |||||||||||||
Product_Warranty_Tables
Product Warranty (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Guarantees [Abstract] | ' | ||||||||
Product Warranty Activity | ' | ||||||||
Product warranty activity was as follows (in thousands): | |||||||||
Six Months Ended June 30, | |||||||||
2014 | 2013 | ||||||||
Warranty accrual, beginning of period | $ | 745 | $ | 716 | |||||
Reductions for warranty charges | (490 | ) | (399 | ) | |||||
Additions to warranty reserve | 493 | 288 | |||||||
Warranty accrual, end of period | $ | 748 | $ | 605 | |||||
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Change in Goodwill | ' | ||||||||||||||||
The change in goodwill was as follows (in thousands): | |||||||||||||||||
Six Months | Year Ended | ||||||||||||||||
Ended | December 31, | ||||||||||||||||
June 30, 2014 | 2013 | ||||||||||||||||
Balance, beginning of period | $ | 14,471 | $ | 990 | |||||||||||||
Acquisition of the Reliability Test Product division of Aetrium Incorporated (“RTP”) | — | 641 | |||||||||||||||
Acquisition of ATT Advanced Temperature Test Systems GmbH ATT (“ATT Systems”) | — | 12,551 | |||||||||||||||
Effect of exchange rate changes | (110 | ) | 289 | ||||||||||||||
Balance, end of period | $ | 14,361 | $ | 14,471 | |||||||||||||
Intangible Assets, Net | ' | ||||||||||||||||
Intangible assets, net included the following (in thousands): | |||||||||||||||||
June 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Purchased Intangible Assets | |||||||||||||||||
Customer relationships | $ | 7,171 | $ | 7,198 | |||||||||||||
Core technology | 13,645 | 13,728 | |||||||||||||||
Trademarks and tradenames | 1,229 | 1,239 | |||||||||||||||
22,045 | 22,165 | ||||||||||||||||
Less accumulated amortization | (6,681 | ) | (5,228 | ) | |||||||||||||
$ | 15,364 | $ | 16,937 | ||||||||||||||
Patents | |||||||||||||||||
Patents | $ | 4,632 | $ | 4,632 | |||||||||||||
Less accumulated amortization | (4,453 | ) | (4,349 | ) | |||||||||||||
$ | 179 | $ | 283 | ||||||||||||||
Intangible Asset Amortization | ' | ||||||||||||||||
Intangible asset amortization is a component of Selling, general and administrative expense and was as follows (in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Amortization expense | $ | 780 | $ | 234 | $ | 1,565 | $ | 470 | |||||||||
Estimated Amortization of Intangible Assets | ' | ||||||||||||||||
The estimated amortization of intangible assets is as follows over the next five years and thereafter (in thousands): | |||||||||||||||||
Remainder of 2014 | $ | 1,506 | |||||||||||||||
2015 | 2,896 | ||||||||||||||||
2016 | 2,595 | ||||||||||||||||
2017 | 2,577 | ||||||||||||||||
2018 | 2,499 | ||||||||||||||||
Thereafter | 3,470 | ||||||||||||||||
$ | 15,543 | ||||||||||||||||
Accrued_Liabilities_Tables
Accrued Liabilities (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Payables And Accruals [Abstract] | ' | ||||||||
Accrued Liabilities | ' | ||||||||
Accrued liabilities consisted of the following (in thousands): | |||||||||
June 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Accrued compensation and benefits | $ | 4,121 | $ | 2,812 | |||||
Accrued sales taxes and VAT | 108 | 470 | |||||||
Accrued income taxes | 1,773 | 492 | |||||||
Accrued warranty | 748 | 745 | |||||||
Contingent consideration related to our acquisition of RTP | 500 | 1,350 | |||||||
Payable to seller related to our acquisition of ATT Systems | 514 | 746 | |||||||
Accrued restructuring costs | 1,188 | 1,163 | |||||||
Other | 805 | 1,081 | |||||||
$ | 9,757 | $ | 8,859 | ||||||
StockBased_Compensation_and_St1
Stock-Based Compensation and Stock-Based Plans (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Stock-Based Compensation Included in Consolidated Statements of Operations | ' | ||||||||||||||||
Stock-based compensation was included in our Condensed Consolidated Statements of Operations as follows (in thousands): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Cost of sales | $ | 62 | $ | 45 | $ | 120 | $ | 96 | |||||||||
Research and development | 76 | 47 | 140 | 100 | |||||||||||||
Selling, general and administrative | 683 | 446 | 1,010 | 676 | |||||||||||||
$ | 821 | $ | 538 | $ | 1,270 | $ | 872 | ||||||||||
Stock Option Activity | ' | ||||||||||||||||
Stock option activity for the first six months of 2014 was as follows: | |||||||||||||||||
Options | Weighted | ||||||||||||||||
Outstanding | Average | ||||||||||||||||
Exercise Price | |||||||||||||||||
Outstanding at December 31, 2013 | 1,042,937 | $ | 6.52 | ||||||||||||||
Granted | 90,000 | 9.61 | |||||||||||||||
Exercised | (98,686 | ) | 8.98 | ||||||||||||||
Forfeited | (1,800 | ) | 10.17 | ||||||||||||||
Outstanding at June 30, 2014 | 1,032,451 | 6.55 | |||||||||||||||
Summary of Restricted Stock Units Activity | ' | ||||||||||||||||
RSU activity for the first six months of 2014 was as follows: | |||||||||||||||||
Restricted | Weighted | ||||||||||||||||
Stock | Average | ||||||||||||||||
Units | Grant Date | ||||||||||||||||
Per Share | |||||||||||||||||
Fair Value | |||||||||||||||||
Outstanding at December 31, 2013 | 409,403 | $ | 6.87 | ||||||||||||||
Granted | 171,750 | 10.21 | |||||||||||||||
Vested | (98,020 | ) | 7.46 | ||||||||||||||
Forfeited | — | — | |||||||||||||||
Outstanding at June 30, 2014 | 483,133 | 7.93 |
Segment_Reporting_Tables
Segment Reporting (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Revenue and Operating Income Information by Segment | ' | ||||||||||||||||
Revenue and operating income information by segment was as follows (dollars in thousands): | |||||||||||||||||
Systems | Probes | Corporate | Total | ||||||||||||||
Unallocated | |||||||||||||||||
Three Months Ended June 30, 2014 | |||||||||||||||||
Revenue | $ | 21,824 | $ | 11,628 | $ | — | $ | 33,452 | |||||||||
Gross profit | $ | 10,139 | $ | 6,847 | $ | — | $ | 16,986 | |||||||||
Gross margin | 46.5 | % | 58.9 | % | — | 50.8 | % | ||||||||||
Income (loss) from operations | $ | 3,352 | $ | 3,900 | $ | (4,324 | ) | $ | 2,928 | ||||||||
Three Months Ended June 30, 2013 | |||||||||||||||||
Revenue | $ | 19,847 | $ | 10,460 | $ | — | $ | 30,307 | |||||||||
Gross profit | $ | 8,760 | $ | 5,515 | $ | — | $ | 14,275 | |||||||||
Gross margin | 44.1 | % | 52.7 | % | — | 47.1 | % | ||||||||||
Income (loss) from operations | $ | 3,268 | $ | 2,990 | $ | (3,741 | ) | $ | 2,517 | ||||||||
Systems | Probes | Corporate | Total | ||||||||||||||
Unallocated | |||||||||||||||||
Six Months Ended June 30, 2014 | |||||||||||||||||
Revenue | $ | 43,384 | $ | 23,878 | $ | — | $ | 67,262 | |||||||||
Gross profit | $ | 19,337 | $ | 13,922 | $ | — | $ | 33,259 | |||||||||
Gross margin | 44.6 | % | 58.3 | % | — | 49.4 | % | ||||||||||
Income (loss) from operations | $ | 5,831 | $ | 8,326 | $ | (8,627 | ) | $ | 5,530 | ||||||||
Six Months Ended June 30, 2013 | |||||||||||||||||
Revenue | $ | 37,547 | $ | 20,231 | $ | — | $ | 57,778 | |||||||||
Gross profit | $ | 15,472 | $ | 10,346 | $ | — | $ | 25,818 | |||||||||
Gross margin | 41.2 | % | 51.1 | % | — | 44.7 | % | ||||||||||
Income (loss) from operations | $ | 4,910 | $ | 5,414 | $ | (6,766 | ) | $ | 3,558 |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value of Financial Assets and (Liabilities) Measured on Recurring Basis | ' | ||||||||||||||||
The disclosures related to our financial assets and (liabilities) that are reported at fair value on a recurring basis are as follows (in thousands): | |||||||||||||||||
June 30, 2014 | December 31, 2013 | ||||||||||||||||
Fair Value | Input Level | Fair Value | Input Level | ||||||||||||||
Marketable securities – corporate equities | $ | 4 | Level 1 | $ | 1 | Level 1 | |||||||||||
Marketable securities – corporate obligations | $ | 1,679 | Level 2 | $ | 4,277 | Level 2 | |||||||||||
Forward sale contracts for Japanese yen | $ | 2,960 | Level 2 | $ | 523 | Level 2 | |||||||||||
Forward purchase contract for euro | $ | 545 | Level 2 | $ | 2,061 | Level 2 | |||||||||||
Forward sale contract for euro | $ | 25,203 | Level 2 | $ | 24,561 | Level 2 | |||||||||||
Contingent consideration related to our acquisition of RTP | $ | (500 | ) | Level 3 | $ | (1,350 | ) | Level 3 | |||||||||
Summary of Level 3 Activity for Contingent Consideration Liability | ' | ||||||||||||||||
The following table summarizes our Level 3 activity for our contingent consideration liability (in thousands): | |||||||||||||||||
Level 3 | |||||||||||||||||
Balance at December 31, 2013 | $ | 1,350 | |||||||||||||||
Decrease in contingent consideration due to re-measurement | (422 | ) | |||||||||||||||
Payment of contingent consideration | (428 | ) | |||||||||||||||
Balance at June 30, 2014 | $ | 500 | |||||||||||||||
Restructuring_Accrual_Tables
Restructuring Accrual (Tables) | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Restructuring And Related Activities [Abstract] | ' | ||||||||||||||||||||
Restructuring Charges Related to Adjustments to Lease Abandonment Reserve | ' | ||||||||||||||||||||
Restructuring charges related to adjustments to our lease abandonment reserve were recorded as a component of Selling, general and administrative as follows: | |||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||
June 30, | June 30, | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Lease abandonment and termination | $ | 249 | $ | 112 | $ | 249 | $ | 112 | |||||||||||||
Charges, Expenditures, Write-Offs and Adjustments Related to Restructuring Accruals | ' | ||||||||||||||||||||
The following tables summarize the charges, expenditures and write-offs and adjustments related to our restructuring accruals (in thousands): | |||||||||||||||||||||
Beginning | Charged to | Expend- | Write-Offs | Ending | |||||||||||||||||
Accrued | Expense, | itures | and | Accrued | |||||||||||||||||
Liability | Net | Adjust- | Liability | ||||||||||||||||||
ments | |||||||||||||||||||||
Six Months Ended June 30, 2014 | |||||||||||||||||||||
Lease abandonment | $ | 2,129 | $ | 249 | $ | — | $ | (578 | ) | $ | 1,800 |
Inventories_Additional_Informa
Inventories - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2014 | |
Minimum | ' |
Inventory [Line Items] | ' |
Inventory sold period | '12 months |
Maximum | ' |
Inventory [Line Items] | ' |
Inventory sold period | '18 months |
Inventory_Charges_Detail
Inventory Charges (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Inventory Disclosure [Abstract] | ' | ' | ' | ' |
Inventory charges | $344 | $356 | $799 | $749 |
Inventories_Detail
Inventories (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Raw materials | $16,585 | $15,234 |
Work-in-process | 2,945 | 2,958 |
Finished goods | 7,565 | 6,692 |
Inventories | $27,095 | $24,884 |
Basic_and_Diluted_Net_Income_P
Basic and Diluted Net Income Per Share (Detail) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Shares used to calculate basic net income per share | 16,255 | 14,342 | 16,249 | 14,283 |
Dilutive effect of outstanding options and restricted stock units ("RSUs") | 496 | 310 | 476 | 343 |
Shares used to calculate diluted net income per share | 16,751 | 14,652 | 16,725 | 14,626 |
Securities not considered as they would have been antidilutive | 1,020 | 1,132 | 1,040 | 1,099 |
Product_Warranty_Activity_Addi
Product Warranty Activity - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2014 | |
Minimum | ' |
Product Warranties [Line Items] | ' |
Product warranty period | '90 days |
Maximum | ' |
Product Warranties [Line Items] | ' |
Product warranty period | '1 year |
Product_Warranty_Activity_Deta
Product Warranty Activity (Detail) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Guarantees [Abstract] | ' | ' |
Warranty accrual, beginning of period | $745 | $716 |
Reductions for warranty charges | -490 | -399 |
Additions to warranty reserve | 493 | 288 |
Warranty accrual, end of period | $748 | $605 |
Change_in_Goodwill_Detail
Change in Goodwill (Detail) (USD $) | 6 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Dec. 31, 2013 |
Goodwill [Line Items] | ' | ' |
Balance, beginning of period | $14,471 | $990 |
Effect of exchange rate changes | -110 | 289 |
Balance, end of period | 14,361 | 14,471 |
Acquisition of the Reliability Test Product division of Aetrium Incorporated | ' | ' |
Goodwill [Line Items] | ' | ' |
Goodwill acquisition | ' | 641 |
Acquisition of ATT Advanced Temperature Test Systems GmbH | ' | ' |
Goodwill [Line Items] | ' | ' |
Goodwill acquisition | ' | $12,551 |
Intangible_Assets_Net_Detail
Intangible Assets, Net (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Customer relationships | $7,171 | $7,198 |
Core technology | 13,645 | 13,728 |
Trademarks and tradenames | 1,229 | 1,239 |
Total, Gross | 22,045 | 22,165 |
Less accumulated amortization | -6,681 | -5,228 |
Total, Net | 15,364 | 16,937 |
Total, Net | 15,543 | ' |
Patents | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Total, Gross | 4,632 | 4,632 |
Less accumulated amortization | -4,453 | -4,349 |
Total, Net | $179 | $283 |
Intangible_Asset_Amortization_
Intangible Asset Amortization (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Goodwill [Line Items] | ' | ' | ' | ' |
Amortization expense | ' | ' | $1,565 | $470 |
Selling, general and administrative | ' | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' | ' |
Amortization expense | $780 | $234 | $1,565 | $470 |
Estimated_Amortization_of_Inta
Estimated Amortization of Intangible Assets (Detail) (USD $) | Jun. 30, 2014 |
In Thousands, unless otherwise specified | |
Goodwill And Intangible Assets Disclosure [Abstract] | ' |
Remainder of 2014 | $1,506 |
2015 | 2,896 |
2016 | 2,595 |
2017 | 2,577 |
2018 | 2,499 |
Thereafter | 3,470 |
Total, Net | $15,543 |
Accrued_Liabilities_Detail
Accrued Liabilities (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||||
Schedule of Accrued Liabilities [Line Items] | ' | ' | ' | ' |
Accrued compensation and benefits | $4,121 | $2,812 | ' | ' |
Accrued sales taxes and VAT | 108 | 470 | ' | ' |
Accrued income taxes | 1,773 | 492 | ' | ' |
Accrued warranty | 748 | 745 | 605 | 716 |
Accrued restructuring costs | 1,188 | 1,163 | ' | ' |
Other | 805 | 1,081 | ' | ' |
Accrued liabilities | 9,757 | 8,859 | ' | ' |
Acquisition of the Reliability Test Product division of Aetrium Incorporated | ' | ' | ' | ' |
Schedule of Accrued Liabilities [Line Items] | ' | ' | ' | ' |
Contingent consideration related to our acquisition of RTP | 500 | 1,350 | ' | ' |
Acquisition of ATT Advanced Temperature Test Systems GmbH | ' | ' | ' | ' |
Schedule of Accrued Liabilities [Line Items] | ' | ' | ' | ' |
Payable to seller related to our acquisition of ATT Systems | $514 | $746 | ' | ' |
StockBased_Compensation_Includ
Stock-Based Compensation Included in Consolidated Statements of Operations (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Share-based compensation | $821 | $538 | $1,270 | $872 |
Cost of sales | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Share-based compensation | 62 | 45 | 120 | 96 |
Research and development | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Share-based compensation | 76 | 47 | 140 | 100 |
Selling, general and administrative | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Share-based compensation | $683 | $446 | $1,010 | $676 |
Stock_Option_Activity_Detail
Stock Option Activity (Detail) (USD $) | 6 Months Ended |
Jun. 30, 2014 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' |
Options Outstanding, Beginning | 1,042,937 |
Granted, Options Outstanding | 90,000 |
Exercised, Options Outstanding | -98,686 |
Forfeited, Options Outstanding | -1,800 |
Options Outstanding, Ending | 1,032,451 |
Weighted Average Exercise Price, Beginning | $6.52 |
Granted, Weighted Average Exercise Price | $9.61 |
Exercised, Weighted Average Exercise Price | $8.98 |
Forfeited, Weighted Average Exercise Price | $10.17 |
Weighted Average Exercise Price, Ending | $6.55 |
Summary_of_Restricted_Stock_Un
Summary of Restricted Stock Units Activity (Detail) (USD $) | 6 Months Ended |
Jun. 30, 2014 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' |
Restricted Stock Units, Outstanding, Beginning balance | 409,403 |
Granted, Restricted Stock Units | 171,750 |
Vested, Restricted Stock Units | -98,020 |
Forfeited, Restricted Stock Units | ' |
Restricted Stock Units, Outstanding, Ending balance | 483,133 |
Weighted Average Grant Date Per Share Fair Value, Beginning balance | $6.87 |
Granted, Weighted Average Grant Date Per Share Fair Value | $10.21 |
Vested, Weighted Average Grant Date Per Share Fair Value | $7.46 |
Forfeited, Weighted Average Grant Date Per Share Fair Value | ' |
Weighted Average Grant Date Per Share Fair Value, Ending balance | $7.93 |
StockBased_Compensation_and_St2
Stock-Based Compensation and Stock-Based Plans - Additional Information (Detail) (USD $) | 6 Months Ended |
In Millions, except Share data, unless otherwise specified | Jun. 30, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Total unrecognized stock-based compensation | $4.90 |
Total unrecognized stock-based compensation recognition period | '2 years 6 months |
2013 ESPP | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Shares of common stock issued pursuant to the ESPP | 35,722 |
Shares remaining available for issuance | 964,278 |
Employee Stock Purchase Plan | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Price of shares issued | $8.88 |
Discount per share from the fair market value on the dates of purchase | $1.90 |
Revenue_and_Operating_Income_I
Revenue and Operating Income Information by Segment (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Revenue | $33,452 | $30,307 | $67,262 | $57,778 |
Gross profit | 16,986 | 14,275 | 33,259 | 25,818 |
Gross margin | 50.80% | 47.10% | 49.40% | 44.70% |
Income (loss) from operations | 2,928 | 2,517 | 5,530 | 3,558 |
Corporate Unallocated | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Income (loss) from operations | -4,324 | -3,741 | -8,627 | -6,766 |
Systems | Operating Segments | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Revenue | 21,824 | 19,847 | 43,384 | 37,547 |
Gross profit | 10,139 | 8,760 | 19,337 | 15,472 |
Gross margin | 46.50% | 44.10% | 44.60% | 41.20% |
Income (loss) from operations | 3,352 | 3,268 | 5,831 | 4,910 |
Probes | Operating Segments | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Revenue | 11,628 | 10,460 | 23,878 | 20,231 |
Gross profit | 6,847 | 5,515 | 13,922 | 10,346 |
Gross margin | 58.90% | 52.70% | 58.30% | 51.10% |
Income (loss) from operations | $3,900 | $2,990 | $8,326 | $5,414 |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Detail) (Customer Concentration Risk [Member], Sales Revenue, Net [Member]) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Customer | Customer | Customer | Customer | |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Number of customers accounted for 10% or greater of our total revenue | 0 | 1 | 0 | 0 |
Customer 1 [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Percentage of revenue for specified number of customer in relation to aggregate revenue | ' | 11.30% | ' | ' |
Minimum | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Percentage of revenue for specified number of customer in relation to aggregate revenue | 10.00% | ' | 10.00% | 10.00% |
Fair_Value_of_Financial_Assets
Fair Value of Financial Assets and (Liabilities) Measured on Recurring Basis (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Contingent consideration related to the RTP Acquisition | Fair Value, Inputs, Level 3 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial liabilities measured on recurring basis | ($500) | ($1,350) |
Forward sale contracts | Japanese yen | Fair Value, Inputs, Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial assets measured on recurring basis | 2,960 | 523 |
Forward sale contracts | Euro | Fair Value, Inputs, Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial assets measured on recurring basis | 25,203 | 24,561 |
Forward purchase contract | Euro | Fair Value, Inputs, Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial assets measured on recurring basis | 545 | 2,061 |
Corporate equities | Fair Value, Inputs, Level 1 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial assets measured on recurring basis | 4 | 1 |
Corporate obligations | Fair Value, Inputs, Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Financial assets measured on recurring basis | $1,679 | $4,277 |
Summary_of_Level_3_Activity_fo
Summary of Level 3 Activity for Contingent Consideration Liability (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Fair Value Disclosures [Abstract] | ' |
Beginning balance | $1,350 |
Increase in contingent consideration due to re-measurement | -422 |
Payment of contingent consideration | -428 |
Ending balance | $500 |
Stock_Repurchases_Additional_I
Stock Repurchases - Additional Information (Detail) (USD $) | 0 Months Ended | 1 Months Ended | 6 Months Ended | 1 Months Ended |
In Millions, except Share data, unless otherwise specified | Jun. 30, 2014 | 31-May-14 | Jun. 30, 2014 | Nov. 30, 2012 |
Maximum | ||||
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' | ' |
Value of common stock authorized for repurchase | ' | $2 | ' | $2 |
Number of shares repurchased | ' | ' | 111,256 | ' |
Common stock repurchased, weighted average price | ' | ' | $9.28 | ' |
Common stock repurchased, value | ' | ' | 1 | ' |
Value of common stock remaining available for repurchases | $2.60 | ' | ' | ' |
Restructuring_Charges_Related_
Restructuring Charges Related to Adjustments to Lease Abandonment Reserve (Detail) (Lease abandonment and termination, USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Lease abandonment and termination | ' | ' | ' | ' |
Restructuring Cost and Reserve [Line Items] | ' | ' | ' | ' |
Restructuring charges | $249 | $112 | $249 | $112 |
Charges_Expenditures_WriteOffs
Charges, Expenditures, Write-Offs and Adjustments Related to Restructuring Accruals (Detail) (Lease abandonment, USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Lease abandonment | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Beginning Accrued Liability | $2,129 |
Charged to Expense, Net | 249 |
Expenditures | ' |
Write-Offs and Adjustments | -578 |
Ending Accrued Liability | $1,800 |
Restructuring_Accrual_Addition
Restructuring Accrual - Additional Information (Detail) (Other Noncurrent Liabilities [Member], USD $) | Jun. 30, 2014 |
In Millions, unless otherwise specified | |
Other Noncurrent Liabilities [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Accrued restructuring costs included in Other long-term liabilities | $0.60 |