Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Oct. 30, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | CSCD | |
Entity Registrant Name | CASCADE MICROTECH INC | |
Entity Central Index Key | 864,559 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 15,855,869 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Current Assets: | ||
Cash and cash equivalents | $ 30,131 | $ 38,107 |
Short-term marketable securities | 10,988 | 1,626 |
Restricted cash | 4 | 61 |
Accounts receivable, net of allowances of $260 and $208 | 25,560 | 20,763 |
Inventories | 25,123 | 24,642 |
Prepaid expenses and other | 4,289 | 4,454 |
Deferred income taxes | 3,018 | 3,027 |
Total Current Assets | 99,113 | 92,680 |
Fixed assets, net of accumulated depreciation of $30,285 and $28,407 | 10,065 | 8,100 |
Goodwill | 11,898 | 12,823 |
Purchased intangible assets, net of accumulated amortization of $6,922 and $5,324 | 9,960 | 12,572 |
Deferred income taxes | 1,467 | 1,262 |
Other assets | 724 | 944 |
Total Assets | 133,227 | 128,381 |
Current Liabilities: | ||
Accounts payable | 8,659 | 7,505 |
Deferred revenue | 2,025 | 2,070 |
Accrued liabilities | 8,480 | 9,505 |
Total Current Liabilities | 19,164 | 19,080 |
Deferred revenue | 393 | 329 |
Other long-term liabilities | 1,583 | 1,511 |
Total Liabilities | 21,140 | 20,920 |
Shareholders' Equity: | ||
Common stock, $0.01 par value. Authorized 100,000 shares; issued and outstanding: 16,359 and 16,466 | 164 | 165 |
Additional paid-in capital | 109,468 | 111,480 |
Accumulated other comprehensive loss | (4,677) | (3,127) |
Retained earnings (accumulated deficit) | 7,132 | (1,057) |
Total Shareholders' Equity | 112,087 | 107,461 |
Total Liabilities and Shareholders' Equity | $ 133,227 | $ 128,381 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, allowances | $ 260 | $ 208 |
Fixed assets, accumulated depreciation | 30,285 | 28,407 |
Purchased intangible assets, accumulated amortization | $ 6,922 | $ 5,324 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 16,359,000 | 16,466,000 |
Common stock, shares outstanding | 16,359,000 | 16,466,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Income Statement [Abstract] | ||||
Revenue | $ 35,781 | $ 32,749 | $ 103,567 | $ 99,429 |
Cost of sales | 15,511 | 15,229 | 46,252 | 48,650 |
Gross profit | 20,270 | 17,520 | 57,315 | 50,779 |
Operating expenses: | ||||
Research and development | 4,344 | 3,554 | 12,208 | 10,223 |
Selling, general and administrative | 11,414 | 10,352 | 33,756 | 31,412 |
Total operating expenses | 15,758 | 13,906 | 45,964 | 41,635 |
Income from operations | 4,512 | 3,614 | 11,351 | 9,144 |
Other income (expense): | ||||
Interest income, net | 14 | 16 | 8 | 25 |
Other, net | (19) | (235) | 277 | (360) |
Total other income (expense), net | (5) | (219) | 285 | (335) |
Income before income taxes | 4,507 | 3,395 | 11,636 | 8,809 |
Income tax expense | 1,288 | 1,188 | 3,447 | 3,182 |
Net income | $ 3,219 | $ 2,207 | $ 8,189 | $ 5,627 |
Basic net income per share | $ 0.19 | $ 0.13 | $ 0.49 | $ 0.35 |
Diluted net income per share | $ 0.19 | $ 0.13 | $ 0.48 | $ 0.34 |
Shares used in per share calculations: | ||||
Basic | 16,529 | 16,357 | 16,549 | 16,286 |
Diluted | 17,112 | 16,851 | 17,135 | 16,775 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 3,219 | $ 2,207 | $ 8,189 | $ 5,627 |
Unrealized holding gains (losses) | 1 | (3) | ||
Change in cumulative translation adjustment | 33 | (2,042) | (1,551) | (2,138) |
Total other comprehensive income (loss) | 33 | (2,042) | (1,550) | (2,141) |
Comprehensive income | $ 3,252 | $ 165 | $ 6,639 | $ 3,486 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Cash flows from operating activities: | ||
Net income | $ 8,189 | $ 5,627 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation expense | 2,257 | 2,452 |
Amortization of intangibles | 1,876 | 2,317 |
Stock-based compensation | 2,009 | 1,918 |
Loss on write-down or disposal of long-lived assets | 1 | 45 |
Deferred income taxes | (21) | |
Excess tax benefits related to stock option exercises | (292) | |
(Increase) decrease, net of the effect of acquisition, in: | ||
Accounts receivable, net | (4,937) | 3,919 |
Inventories | 10 | (2,160) |
Prepaid expenses and other | 508 | (1,370) |
Increase (decrease), net of effect of acquisition, in: | ||
Accounts payable | 778 | (598) |
Deferred revenue | 19 | (473) |
Accrued and other long-term liabilities | (1,102) | 2,088 |
Net cash provided by operating activities | 9,316 | 13,744 |
Cash flows from investing activities: | ||
Purchase of marketable securities | (15,369) | (2,127) |
Proceeds from sale of marketable securities | 6,008 | 4,699 |
Purchase of fixed assets | (3,753) | (3,123) |
Proceeds from sales of fixed assets | 1 | 34 |
Decrease in restricted cash | 51 | 1,037 |
Cash paid for acquisitions, net of cash acquired | (654) | |
Net cash used in investing activities | (13,062) | (134) |
Cash flows from financing activities: | ||
Withholding taxes paid on net settlement of vested restricted stock units | (501) | (534) |
Excess tax benefits related to stock option exercises | 292 | |
Proceeds from issuances of common stock | 893 | 1,392 |
Cash paid for repurchase of common stock | (4,257) | (1,033) |
Net cash used in financing activities | (3,573) | (175) |
Effect of exchange rate changes on cash and cash equivalents | (657) | (890) |
Increase (decrease) in cash and cash equivalents | (7,976) | 12,545 |
Cash and cash equivalents: | ||
Beginning of period | 38,107 | 17,172 |
End of period | 30,131 | 29,717 |
Supplemental disclosure of cash flow information: | ||
Cash paid for income taxes, net | 3,520 | 913 |
Supplemental disclosure of non-cash information: | ||
Fixed asset purchases included in accounts payable | 558 | |
Common stock repurchases included in accrued liabilities | $ 434 | |
Transfer to inventory from fixed assets | $ 213 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2015 | |
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, 2014 is derived from our 2014 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 2014 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 | 9 Months Ended |
Sep. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 2. Inventories Inventories are stated at the lower of cost 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 Nine Months Ended September 30, 2015 2014 2015 2014 Inventory charges $ 18 $ 694 $ 483 $ 1,493 Inventories consisted of the following (in thousands): September 30, December 31 Raw materials $ 16,119 $ 14,120 Work-in-process 3,114 3,809 Finished goods 5,890 6,713 $ 25,123 $ 24,642 |
Net Income Per Share
Net Income Per Share | 9 Months Ended |
Sep. 30, 2015 | |
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 Nine Months Ended September 30, 2015 2014 2015 2014 Shares used to calculate basic net income per share 16,529 16,357 16,549 16,286 Dilutive effect of outstanding options and restricted stock units (“RSUs”) 583 494 586 489 Shares used to calculate diluted net income per share 17,112 16,851 17,135 16,775 Securities not included as they would have been antidilutive 861 978 858 984 |
Product Warranty
Product Warranty | 9 Months Ended |
Sep. 30, 2015 | |
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): Nine Months Ended September 30, 2015 2014 Warranty accrual, beginning of period $ 797 $ 745 Reductions for warranty charges (630 ) (616 ) Additions to warranty reserve 683 690 Warranty accrual, end of period $ 850 $ 819 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Sep. 30, 2015 | |
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): Nine Months September 30, 2015 Year Ended Balance, beginning of period $ 12,823 $ 14,471 Effect of exchange rate changes (925 ) (1,648 ) Balance, end of period $ 11,898 $ 12,823 Intangible Assets Intangible assets, net included the following (in thousands): September 30, December 31, 2015 2014 Purchased Intangible Assets Customer relationships $ 4,092 $ 4,323 Core technology 11,781 12,481 Trademarks and tradenames 1,009 1,092 16,882 17,896 Less accumulated amortization (6,922 ) (5,324 ) $ 9,960 $ 12,572 Patents Patents $ 4,632 $ 4,632 Less accumulated amortization (4,632 ) (4,540 ) $ — $ 92 Intangible asset amortization is a component of Selling, general and administrative expense and was as follows (in thousands): Three Months Ended Nine Months Ended September 30, 2015 2014 2015 2014 Intangible amortization $ 593 $ 752 $ 1,876 $ 2,317 The estimated amortization of intangible assets is as follows over the next five years and thereafter (in thousands): Remainder of 2015 $ 596 2016 2,186 2017 2,167 2018 2,090 2019 1,626 Thereafter 1,295 $ 9,960 |
Accrued Liabilities
Accrued Liabilities | 9 Months Ended |
Sep. 30, 2015 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities | Note 6. Accrued Liabilities Accrued liabilities consisted of the following (in thousands): September 30, December 31, 2015 2014 Accrued compensation and benefits $ 3,551 $ 3,606 Unrealized loss on forward contracts 303 — Accrued sales taxes and VAT 1,043 276 Accrued income taxes 800 1,628 Accrued warranty 850 797 Payable to seller related to our acquisition of ATT Advanced Temperature Test Systems GmbH (“ATT Systems”) 421 456 Accrued restructuring costs 413 1,959 Other 1,099 783 $ 8,480 $ 9,505 |
Stock-Based Compensation and St
Stock-Based Compensation and Stock-Based Plans | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation and Stock-Based Plans | Note 7. Stock-Based Compensation and Stock-Based Plans In May 2015, our shareholders approved an increase of 800,000 shares in the number of shares approved for issuance pursuant to our 2010 Stock Incentive Plan (as amended, the “2010 Plan”) to a total of 3,669,600 shares. As of September 30, 2015, a total of 1,464,634 shares remained available for future issuance pursuant to the 2010 Plan. Stock-based compensation was included in our Condensed Consolidated Statements of Operations as follows (in thousands): Three Months Ended Nine Months Ended 2015 2014 2015 2014 Cost of sales $ 47 $ 70 $ 108 $ 190 Research and development 108 88 255 228 Selling, general and administrative 650 490 1,646 1,500 $ 805 $ 648 $ 2,009 $ 1,918 Stock Incentive Plans Stock option activity for the first nine months of 2015 was as follows: Stock Options Weighted Outstanding at December 31, 2014 916,779 $ 6.10 Granted 82,300 14.34 Exercised (72,381 ) 7.62 Forfeited (100 ) 14.38 Outstanding at September 30, 2015 926,598 6.71 RSU activity for the first nine months of 2015 was as follows: RSUs Weighted Grant Date Per Share Fair Value Outstanding at December 31, 2014 395,724 $ 8.83 Granted – time-based 214,454 14.86 Granted – performance-based 49,000 14.34 Vested (125,795 ) 9.03 Forfeited (16,186 ) 7.91 Outstanding at September 30, 2015 517,197 11.84 The performance-based RSUs will vest if new product revenue as a percentage of total revenue meets a certain target for the second half of 2017. If the target is met, the performance-based RSUs will be earned and vested in the first quarter of 2018 at between 50% and 100% of the total granted based upon the target achievement level. Stock-based compensation expense is recognized over the vesting period based on our determination of the probability of the awards being earned. As of September 30, 2015, we determined that the target was not probable of achievement, and accordingly, no expense was recognized. As of September 30, 2015, total unrecognized stock-based compensation related to outstanding, but unvested, options and RSUs was $5.8 million, which will be recognized over the weighted average remaining vesting period of 2.3 years. Employee Stock Purchase Plan During the first nine months of 2015, we issued 36,542 shares of our common stock pursuant to our 2013 Employee Share Purchase Plan (the “2013 ESPP”) at a price of $9.13 per share, which represented a discount of $4.13 per share from the fair value of our common stock on the date of issuance. As of September 30, 2015, a total of 892,943 shares remained available for issuance pursuant to the 2013 ESPP. |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2015 | |
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 segment and our Probes segment. We do not track our assets on a segment level, and, accordingly, that information is not provided. Certain financial information by segment was as follows (dollars in thousands): Systems Probes Corporate Total Three Months Ended September 30, 2015 Revenue $ 19,146 $ 16,635 $ — $ 35,781 Gross profit $ 9,633 $ 10,637 $ — $ 20,270 Gross margin 50.3 % 63.9 % — 56.7 % Income (loss) from operations $ 1,952 $ 6,452 $ (3,892 ) $ 4,512 Three Months Ended September 30, 2014 Revenue $ 18,687 $ 14,062 $ — $ 32,749 Gross profit $ 8,162 $ 9,358 $ — $ 17,520 Gross margin 43.7 % 66.5 % — 53.5 % Income (loss) from operations (1) $ 556 $ 6,459 $ (3,401 ) $ 3,614 Systems Probes Corporate Total Nine Months Ended September 30, 2015 Revenue $ 56,161 $ 47,406 $ — $ 103,567 Gross profit $ 27,296 $ 30,019 $ — $ 57,315 Gross margin 48.6 % 63.3 % — 55.3 % Income (loss) from operations $ 4,779 $ 18,320 $ (11,748 ) $ 11,351 Nine Months Ended September 30, 2014 Revenue $ 61,489 $ 37,940 $ — $ 99,429 Gross profit $ 27,499 $ 23,280 $ — $ 50,779 Gross margin 44.7 % 61.4 % — 51.1 % Income (loss) from operations (1) $ 4,924 $ 14,785 $ (10,565 ) $ 9,144 (1) Amortization expense of $0.7 million and $2.2 million for the three and nine-month periods ended September 30, 2014, respectively, was reclassified from Corporate Unallocated to Systems to conform with the current period presentation. No customer accounted for 10% or greater of our total revenue in the three-month periods ended September 30, 2015 and 2014, or in the nine-month periods ended September 30, 2015 and 2014. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2015 | |
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): September 30, 2015 December 31, 2014 Fair Value Input Level Fair Value Input Level Marketable securities – corporate equities $ 4 Level 1 $ 6 Level 1 Marketable securities – corporate obligations $ 6,694 Level 2 $ 1,620 Level 2 Marketable securities – U.S. treasury securities $ 4,290 Level 2 $ — Level 2 Forward sale contracts for Japanese yen $ (10 ) Level 2 $ 131 Level 2 Forward purchase contract for euro $ (4 ) Level 2 $ (40 ) Level 2 Forward sale contract for euro $ (287 ) Level 2 $ 929 Level 2 The fair value of our marketable securities is determined based on quoted market prices for similar or identical securities. Any unrealized gain or loss is recorded as a component of Accumulated other comprehensive loss in our Condensed Consolidated Balance Sheets. 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 Statements of Operations as a component of Other income (expense). 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 nine months of 2015. |
Stock Repurchases
Stock Repurchases | 9 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Stock Repurchases | Note 10. Stock Repurchases In August 2015, our Board of Directors authorized a stock repurchase program under which we could repurchase up to $15.0 million of our common stock. This plan replaces, in its entirety, the November 2012 stock repurchase program, which had approximately $2.5 million of repurchase authority remaining. We did not repurchase any shares during the first six months of 2015. During the third quarter of 2015, we repurchased a total of 336,429 shares at a weighted-average price of $13.94 per share, for a total purchase price of $4.7 million. As of September 30, 2015, $10.3 million remained available for stock repurchases under the program authorized in August 2015, which does not have an expiration date. See Note 14 for a discussion of shares repurchased in October 2015. |
Restructuring Accrual
Restructuring Accrual | 9 Months Ended |
Sep. 30, 2015 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Accrual | Note 11. Restructuring Accrual Restructuring charges for the first nine months of 2015 relate to the consolidation of certain manufacturing, research and development operations, and the reorganization of business operations and the sales channel in Europe. Restructuring charges for the first nine months of 2014 related to adjustments to our lease abandonment reserve. Restructuring charges were as follows (in thousands): Three Months Ended Nine Months Ended September 30, 2015 2014 2015 2014 Cost of sales $ — $ — $ 243 $ — Research and development — — 19 — Selling, general and administrative — (191 ) — 58 $ — $ (191 ) $ 262 $ 58 The following tables summarize the charges, expenditures, write-offs and adjustments related to our restructuring accruals (in thousands): Nine Months Ended September 30, 2015 Beginning Charged to Expenditures Write-Offs Ending Accrued Termination and severance related $ 308 $ 112 $ (420 ) $ — $ — Factory transition — 150 (150 ) — — Lease abandonment 1,651 — (1,238 ) — 413 $ 1,959 $ 262 $ (1,808 ) $ — $ 413 Nine Months Ended September 30, 2014 Beginning Charged to Expenditures Write-Offs Ending Accrued Lease abandonment $ 2,129 $ 58 $ (873 ) $ — $ 1,314 We expect to pay all accrued restructuring costs by the end of 2015. |
Line of Credit Amendment
Line of Credit Amendment | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Line of Credit Amendment | Note 12. Line of Credit Amendment In March 2015, we amended our $10.0 million line of credit agreement with JPMorgan Chase Bank, N.A. to extend the maturity date of our line of credit facility to March 5, 2018. All other terms remain the same. We did not have any amounts outstanding under the line of credit facility at September 30, 2015. |
Recent Accounting Guidance
Recent Accounting Guidance | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Guidance | Note 13. Recent Accounting Guidance ASU 2015-11 In July 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-11 “Simplifying the Measurement of Inventory (Topic 330).” ASU 2015-11 simplifies the accounting for the valuation of all inventory not accounted for using the last-in, first-out (“LIFO”) method by prescribing inventory be valued at the lower of cost and net realizable value. ASU 2015-11 is effective for public companies’ annual periods, including interim periods within those fiscal years, beginning after December 15, 2016 on a prospective basis. Early adoption is permitted. We do not expect the adoption of ASU 2015-11 to have a material effect on our financial position, results of operations or cash flows. ASU 2015-05 In April 2015, the FASB issued ASU 2015-05, “Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40).” ASU 2015-05 provides guidance regarding the accounting for a customer’s fees paid in a cloud computing arrangement; specifically about whether a cloud computing arrangement includes a software license, and if so, how to account for the software license. ASU 2015-05 is effective for public companies’ annual periods, including interim periods within those fiscal years, beginning after December 15, 2015 on either a prospective or retrospective basis. Early adoption is permitted. We do not expect the adoption of ASU 2015-05 to have a material effect on our financial position, results of operations or cash flows. ASU 2015-02 In February 2015, the FASB issued ASU 2015-02, “Consolidation (Topic 810).” ASU 2015-02 amends guidance regarding the consolidation of certain legal entities. ASU 2015-02 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015, with early adoption permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. We do not expect the adoption of ASU 2015-02 to have any effect on our financial position, results of operations or cash flows. ASU 2015-01 In January 2015, the FASB issued ASU 2015-01, “Income Statement – Extraordinary and Unusual Items (Subtopic 225-20).” ASU 2015-01 simplifies income statement presentation by eliminating the concept of extraordinary items. ASU 2015-01 is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015, with early adoption permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. The adoption of ASU 2015-01 will not have any effect on our financial position, results of operations or cash flows. ASU 2014-16 In November 2014, the FASB issued ASU 2014-16, “Derivatives and Hedging (Topic 815).” ASU 2014-16 addresses whether the host contract in a hybrid financial instrument issued in the form of a share should be accounted for as debt or equity. ASU 2014-16 is effective for annual periods and interim periods beginning after December 15, 2015. We do not currently have issued, nor are we investors in, hybrid financial instruments. Accordingly, we do not expect the adoption of ASU 2014-16 to have any effect on our financial position, results of operations or cash flows. ASU 2014-12 In June 2014, the FASB issued 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, as amended, is effective for annual and interim periods beginning on or after December 15, 2017. 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. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 14. Subsequent Events On October 1, 2015, we paid the remaining $0.4 million of the deferred purchase price related to our acquisition of ATT Systems. Following this payment, we do not owe any additional amounts related to this acquisition. During October 2015, we repurchased 514,300 shares of our common stock pursuant to our August 2015 stock repurchase program for an average price of $14.55 per share, or a total of $7.5 million. Following these repurchases, $2.8 million remained available for future repurchases under the program. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [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. The financial information as of December 31, 2014 is derived from our 2014 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 2014 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, policy | Inventories are stated at the lower of cost 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 segment and our Probes segment. We do not track our assets on a segment level, and, accordingly, that information is not provided. |
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. Any unrealized gain or loss is recorded as a component of Accumulated other comprehensive loss in our Condensed Consolidated Balance Sheets. 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 Statements of Operations as a component of Other income (expense). |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Inventory Charges | Inventory charges were as follows (in thousands): Three Months Ended Nine Months Ended September 30, 2015 2014 2015 2014 Inventory charges $ 18 $ 694 $ 483 $ 1,493 |
Inventories | Inventories consisted of the following (in thousands): September 30, December 31 Raw materials $ 16,119 $ 14,120 Work-in-process 3,114 3,809 Finished goods 5,890 6,713 $ 25,123 $ 24,642 |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
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 Nine Months Ended September 30, 2015 2014 2015 2014 Shares used to calculate basic net income per share 16,529 16,357 16,549 16,286 Dilutive effect of outstanding options and restricted stock units (“RSUs”) 583 494 586 489 Shares used to calculate diluted net income per share 17,112 16,851 17,135 16,775 Securities not included as they would have been antidilutive 861 978 858 984 |
Product Warranty (Tables)
Product Warranty (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Guarantees [Abstract] | |
Product Warranty Activity | Product warranty activity was as follows (in thousands): Nine Months Ended September 30, 2015 2014 Warranty accrual, beginning of period $ 797 $ 745 Reductions for warranty charges (630 ) (616 ) Additions to warranty reserve 683 690 Warranty accrual, end of period $ 850 $ 819 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Change in Goodwill | The change in goodwill was as follows (in thousands): Nine Months September 30, 2015 Year Ended Balance, beginning of period $ 12,823 $ 14,471 Effect of exchange rate changes (925 ) (1,648 ) Balance, end of period $ 11,898 $ 12,823 |
Intangible Assets, Net | Intangible assets, net included the following (in thousands): September 30, December 31, 2015 2014 Purchased Intangible Assets Customer relationships $ 4,092 $ 4,323 Core technology 11,781 12,481 Trademarks and tradenames 1,009 1,092 16,882 17,896 Less accumulated amortization (6,922 ) (5,324 ) $ 9,960 $ 12,572 Patents Patents $ 4,632 $ 4,632 Less accumulated amortization (4,632 ) (4,540 ) $ — $ 92 |
Intangible Asset Amortization | Intangible asset amortization is a component of Selling, general and administrative expense and was as follows (in thousands): Three Months Ended Nine Months Ended September 30, 2015 2014 2015 2014 Intangible amortization $ 593 $ 752 $ 1,876 $ 2,317 |
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 2015 $ 596 2016 2,186 2017 2,167 2018 2,090 2019 1,626 Thereafter 1,295 $ 9,960 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities | Accrued liabilities consisted of the following (in thousands): September 30, December 31, 2015 2014 Accrued compensation and benefits $ 3,551 $ 3,606 Unrealized loss on forward contracts 303 — Accrued sales taxes and VAT 1,043 276 Accrued income taxes 800 1,628 Accrued warranty 850 797 Payable to seller related to our acquisition of ATT Advanced Temperature Test Systems GmbH (“ATT Systems”) 421 456 Accrued restructuring costs 413 1,959 Other 1,099 783 $ 8,480 $ 9,505 |
Stock-Based Compensation and 27
Stock-Based Compensation and Stock-Based Plans (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based 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 Nine Months Ended 2015 2014 2015 2014 Cost of sales $ 47 $ 70 $ 108 $ 190 Research and development 108 88 255 228 Selling, general and administrative 650 490 1,646 1,500 $ 805 $ 648 $ 2,009 $ 1,918 |
Stock Option Activity | Stock Incentive Plans Stock option activity for the first nine months of 2015 was as follows: Stock Options Weighted Outstanding at December 31, 2014 916,779 $ 6.10 Granted 82,300 14.34 Exercised (72,381 ) 7.62 Forfeited (100 ) 14.38 Outstanding at September 30, 2015 926,598 6.71 |
Summary of Restricted Stock Units Activity | RSU activity for the first nine months of 2015 was as follows: RSUs Weighted Grant Date Per Share Fair Value Outstanding at December 31, 2014 395,724 $ 8.83 Granted – time-based 214,454 14.86 Granted – performance-based 49,000 14.34 Vested (125,795 ) 9.03 Forfeited (16,186 ) 7.91 Outstanding at September 30, 2015 517,197 11.84 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Certain Financial Information by Segment | Certain financial information by segment was as follows (dollars in thousands): Systems Probes Corporate Total Three Months Ended September 30, 2015 Revenue $ 19,146 $ 16,635 $ — $ 35,781 Gross profit $ 9,633 $ 10,637 $ — $ 20,270 Gross margin 50.3 % 63.9 % — 56.7 % Income (loss) from operations $ 1,952 $ 6,452 $ (3,892 ) $ 4,512 Three Months Ended September 30, 2014 Revenue $ 18,687 $ 14,062 $ — $ 32,749 Gross profit $ 8,162 $ 9,358 $ — $ 17,520 Gross margin 43.7 % 66.5 % — 53.5 % Income (loss) from operations (1) $ 556 $ 6,459 $ (3,401 ) $ 3,614 Systems Probes Corporate Total Nine Months Ended September 30, 2015 Revenue $ 56,161 $ 47,406 $ — $ 103,567 Gross profit $ 27,296 $ 30,019 $ — $ 57,315 Gross margin 48.6 % 63.3 % — 55.3 % Income (loss) from operations $ 4,779 $ 18,320 $ (11,748 ) $ 11,351 Nine Months Ended September 30, 2014 Revenue $ 61,489 $ 37,940 $ — $ 99,429 Gross profit $ 27,499 $ 23,280 $ — $ 50,779 Gross margin 44.7 % 61.4 % — 51.1 % Income (loss) from operations (1) $ 4,924 $ 14,785 $ (10,565 ) $ 9,144 (1) Amortization expense of $0.7 million and $2.2 million for the three and nine-month periods ended September 30, 2014, respectively, was reclassified from Corporate Unallocated to Systems to conform with the current period presentation. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
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): September 30, 2015 December 31, 2014 Fair Value Input Level Fair Value Input Level Marketable securities – corporate equities $ 4 Level 1 $ 6 Level 1 Marketable securities – corporate obligations $ 6,694 Level 2 $ 1,620 Level 2 Marketable securities – U.S. treasury securities $ 4,290 Level 2 $ — Level 2 Forward sale contracts for Japanese yen $ (10 ) Level 2 $ 131 Level 2 Forward purchase contract for euro $ (4 ) Level 2 $ (40 ) Level 2 Forward sale contract for euro $ (287 ) Level 2 $ 929 Level 2 |
Restructuring Accrual (Tables)
Restructuring Accrual (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Charges | Restructuring charges were as follows (in thousands): Three Months Ended Nine Months Ended September 30, 2015 2014 2015 2014 Cost of sales $ — $ — $ 243 $ — Research and development — — 19 — Selling, general and administrative — (191 ) — 58 $ — $ (191 ) $ 262 $ 58 |
Charges, Expenditures, Write-Offs and Adjustments Related to Restructuring Accruals | The following tables summarize the charges, expenditures, write-offs and adjustments related to our restructuring accruals (in thousands): Nine Months Ended September 30, 2015 Beginning Charged to Expenditures Write-Offs Ending Accrued Termination and severance related $ 308 $ 112 $ (420 ) $ — $ — Factory transition — 150 (150 ) — — Lease abandonment 1,651 — (1,238 ) — 413 $ 1,959 $ 262 $ (1,808 ) $ — $ 413 Nine Months Ended September 30, 2014 Beginning Charged to Expenditures Write-Offs Ending Accrued Lease abandonment $ 2,129 $ 58 $ (873 ) $ — $ 1,314 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2015 | |
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 ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Inventory Disclosure [Abstract] | ||||
Inventory charges | $ 18 | $ 694 | $ 483 | $ 1,493 |
Inventories (Detail)
Inventories (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 16,119 | $ 14,120 |
Work-in-process | 3,114 | 3,809 |
Finished goods | 5,890 | 6,713 |
Inventories | $ 25,123 | $ 24,642 |
Basic and Diluted Net Income Pe
Basic and Diluted Net Income Per Share (Detail) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Earnings Per Share [Abstract] | ||||
Shares used to calculate basic net income per share | 16,529 | 16,357 | 16,549 | 16,286 |
Dilutive effect of outstanding options and restricted stock units ("RSUs") | 583 | 494 | 586 | 489 |
Shares used to calculate diluted net income per share | 17,112 | 16,851 | 17,135 | 16,775 |
Securities not included as they would have been antidilutive | 861 | 978 | 858 | 984 |
Product Warranty - Additional I
Product Warranty - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2015 | |
Minimum | |
Product Warranty Liability [Line Items] | |
Product warranty period | 90 days |
Maximum | |
Product Warranty Liability [Line Items] | |
Product warranty period | 1 year |
Product Warranty Activity (Deta
Product Warranty Activity (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Guarantees [Abstract] | ||
Warranty accrual, beginning of period | $ 797 | $ 745 |
Reductions for warranty charges | (630) | (616) |
Additions to warranty reserve | 683 | 690 |
Warranty accrual, end of period | $ 850 | $ 819 |
Change in Goodwill (Detail)
Change in Goodwill (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2015 | Dec. 31, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Balance, beginning of period | $ 12,823 | $ 14,471 |
Effect of exchange rate changes | (925) | (1,648) |
Balance, end of period | $ 11,898 | $ 12,823 |
Intangible Assets, Net (Detail)
Intangible Assets, Net (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Finite-Lived Intangible Assets [Line Items] | ||
Less accumulated amortization | $ (6,922) | $ (5,324) |
Total, Net | 9,960 | 12,572 |
Purchased Intangible Assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Customer relationships | 4,092 | 4,323 |
Core technology | 11,781 | 12,481 |
Trademarks and tradenames | 1,009 | 1,092 |
Total, Gross | 16,882 | 17,896 |
Less accumulated amortization | (6,922) | (5,324) |
Total, Net | 9,960 | 12,572 |
Patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Total, Gross | 4,632 | 4,632 |
Less accumulated amortization | $ (4,632) | (4,540) |
Total, Net | $ 92 |
Intangible Asset Amortization (
Intangible Asset Amortization (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible amortization | $ 1,876 | $ 2,317 | ||
Selling, general and administrative | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible amortization | $ 593 | $ 752 | $ 1,876 | $ 2,317 |
Estimated Amortization of Intan
Estimated Amortization of Intangible Assets (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2015 | $ 596 | |
2,016 | 2,186 | |
2,017 | 2,167 | |
2,018 | 2,090 | |
2,019 | 1,626 | |
Thereafter | 1,295 | |
Total, Net | $ 9,960 | $ 12,572 |
Accrued Liabilities (Detail)
Accrued Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Dec. 31, 2013 |
Schedule of Accrued Liabilities [Line Items] | ||||
Accrued compensation and benefits | $ 3,551 | $ 3,606 | ||
Unrealized loss on forward contracts | 303 | |||
Accrued sales taxes and VAT | 1,043 | 276 | ||
Accrued income taxes | 800 | 1,628 | ||
Accrued warranty | 850 | 797 | $ 819 | $ 745 |
Accrued restructuring costs | 413 | 1,959 | ||
Other | 1,099 | 783 | ||
Accrued liabilities | 8,480 | 9,505 | ||
Acquisition of ATT Advanced Temperature Test Systems GmbH | ||||
Schedule of Accrued Liabilities [Line Items] | ||||
Payable to seller related to our acquisition of ATT Advanced Temperature Test Systems GmbH ("ATT Systems") | $ 421 | $ 456 |
Stock-Based Compensation and 42
Stock-Based Compensation and Stock-Based Plans - Additional Information (Detail) - USD ($) | 1 Months Ended | 9 Months Ended |
May. 31, 2015 | Sep. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total unrecognized stock-based compensation | $ 5,800,000 | |
Total unrecognized stock-based compensation recognition period | 2 years 3 months 18 days | |
Performance-based RSUs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected vesting date of RSUs if target is met | First quarter of 2018 | |
Expense recognized on probable target achievement | $ 0 | |
2013 Employee Stock Purchase Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares remaining available for issuance | 892,943 | |
Shares issued pursuant to the ESPP | 36,542 | |
Weighted average price of shares issued | $ 9.13 | |
Discount per share from the fair market value on the dates of purchase | $ 4.13 | |
Amended 2010 Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Additional shares authorized (in shares) | 800,000 | |
Number of shares of common stock authorized for issuance (in shares) | 3,669,600 | |
Shares remaining available for issuance | 1,464,634 | |
Minimum | Performance-based RSUs | Share-based Compensation Award, Tranche One | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
RSUs vesting percentage if target is met | 50.00% | |
Maximum | Performance-based RSUs | Share-based Compensation Award, Tranche One | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
RSUs vesting percentage if target is met | 100.00% |
Stock-Based Compensation Includ
Stock-Based Compensation Included in Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation | $ 805 | $ 648 | $ 2,009 | $ 1,918 |
Cost of sales | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation | 47 | 70 | 108 | 190 |
Research and development | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation | 108 | 88 | 255 | 228 |
Selling, general and administrative | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation | $ 650 | $ 490 | $ 1,646 | $ 1,500 |
Stock Option Activity (Detail)
Stock Option Activity (Detail) | 9 Months Ended |
Sep. 30, 2015$ / sharesshares | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Options Outstanding, Beginning | shares | 916,779 |
Granted, Stock Options Outstanding | shares | 82,300 |
Exercised, Stock Options Outstanding | shares | (72,381) |
Forfeited, Stock Options Outstanding | shares | (100) |
Stock Options Outstanding, Ending | shares | 926,598 |
Weighted Average Exercise Price, Beginning | $ 6.10 |
Granted, Weighted Average Exercise Price | 14.34 |
Exercised, Weighted Average Exercise Price | 7.62 |
Forfeited, Weighted Average Exercise Price | 14.38 |
Weighted Average Exercise Price, Ending | $ 6.71 |
Summary of Restricted Stock Uni
Summary of Restricted Stock Units Activity (Detail) | 9 Months Ended |
Sep. 30, 2015$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Restricted Stock Units, Outstanding, Beginning balance | shares | 395,724 |
Vested, Restricted Stock Units | shares | (125,795) |
Forfeited, Restricted Stock Units | shares | (16,186) |
Restricted Stock Units, Outstanding, Ending balance | shares | 517,197 |
Weighted Average Grant Date Per Share Fair Value, Beginning balance | $ 8.83 |
Vested, Weighted Average Grant Date Per Share Fair Value | 9.03 |
Forfeited, Weighted Average Grant Date Per Share Fair Value | 7.91 |
Weighted Average Grant Date Per Share Fair Value, Ending balance | $ 11.84 |
Time-based RSUs | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Granted, Restricted Stock Units | shares | 214,454 |
Granted, Weighted Average Grant Date Per Share Fair Value | $ 14.86 |
Performance-based RSUs | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Granted, Restricted Stock Units | shares | 49,000 |
Granted, Weighted Average Grant Date Per Share Fair Value | $ 14.34 |
Certain Financial Information b
Certain Financial Information by Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 35,781 | $ 32,749 | $ 103,567 | $ 99,429 |
Gross profit | $ 20,270 | $ 17,520 | $ 57,315 | $ 50,779 |
Gross margin | 56.70% | 53.50% | 55.30% | 51.10% |
Income (loss) from operations | $ 4,512 | $ 3,614 | $ 11,351 | $ 9,144 |
Corporate Unallocated | ||||
Segment Reporting Information [Line Items] | ||||
Income (loss) from operations | (3,892) | (3,401) | (11,748) | (10,565) |
Systems | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 19,146 | 18,687 | 56,161 | 61,489 |
Gross profit | $ 9,633 | $ 8,162 | $ 27,296 | $ 27,499 |
Gross margin | 50.30% | 43.70% | 48.60% | 44.70% |
Income (loss) from operations | $ 1,952 | $ 556 | $ 4,779 | $ 4,924 |
Probes | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 16,635 | 14,062 | 47,406 | 37,940 |
Gross profit | $ 10,637 | $ 9,358 | $ 30,019 | $ 23,280 |
Gross margin | 63.90% | 66.50% | 63.30% | 61.40% |
Income (loss) from operations | $ 6,452 | $ 6,459 | $ 18,320 | $ 14,785 |
Certain Financial Information47
Certain Financial Information by Segment (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Segment Reporting Information [Line Items] | |||
Amortization expense | $ 1,876 | $ 2,317 | |
Systems | |||
Segment Reporting Information [Line Items] | |||
Amortization expense | $ 700 | $ 2,200 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Detail) - Customer Concentration Risk - Total Revenue - Customer | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Revenue, Major Customer [Line Items] | ||||
Number of customers accounted for 10% or greater of our total revenue | 0 | 0 | 0 | 0 |
Minimum | ||||
Revenue, Major Customer [Line Items] | ||||
Percentage of revenue for specified number of customer in relation to aggregate revenue | 10.00% | 10.00% | 10.00% | 10.00% |
Fair Value of Financial Assets
Fair Value of Financial Assets and (Liabilities) Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Forward sale contracts | Japanese yen | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial liabilities measured on recurring basis | $ (10) | |
Financial assets measured on recurring basis | $ 131 | |
Forward sale contracts | Euro | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial liabilities measured on recurring basis | (287) | |
Financial assets measured on recurring basis | 929 | |
Forward purchase contract | Euro | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial liabilities measured on recurring basis | (4) | (40) |
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 | 6 |
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 | 6,694 | $ 1,620 |
U.S. treasury and agency securities | Fair Value, Inputs, Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Financial assets measured on recurring basis | $ 4,290 |
Stock Repurchases - Additional
Stock Repurchases - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2015 | Jun. 30, 2015 | Aug. 31, 2015 | Nov. 30, 2012 | |
Equity, Class of Treasury Stock [Line Items] | ||||
Number of shares repurchased | 336,429 | 0 | ||
Weighted-average price of shares repurchased | $ 13.94 | |||
Value of total purchase price | $ 4,700,000 | |||
August 2015 stock repurchase program | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Value of common stock remaining available for stock repurchases under the program | $ 10,300,000 | |||
November 2012 stock repurchase program | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Value of common stock remaining available for stock repurchases under the program | $ 2,500,000 | |||
Maximum | August 2015 stock repurchase program | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Value of common stock authorized for repurchase | $ 15,000,000 |
Restructuring Charges (Detail)
Restructuring Charges (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Total restructuring charges | $ (191) | $ 262 | $ 58 |
Cost of sales | |||
Restructuring Cost and Reserve [Line Items] | |||
Total restructuring charges | 243 | ||
Research and development | |||
Restructuring Cost and Reserve [Line Items] | |||
Total restructuring charges | $ 19 | ||
Selling, general and administrative | |||
Restructuring Cost and Reserve [Line Items] | |||
Total restructuring charges | $ (191) | $ 58 |
Charges, Expenditures, Write-Of
Charges, Expenditures, Write-Offs and Adjustments Related to Restructuring Accruals (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Beginning Accrued Liability | $ 1,959 | ||
Charged to Expense, Net | $ (191) | 262 | $ 58 |
Expenditures | (1,808) | ||
Write-Offs and Adjustments | 0 | ||
Ending Accrued Liability | 413 | ||
Termination and severance related | |||
Restructuring Cost and Reserve [Line Items] | |||
Beginning Accrued Liability | 308 | ||
Charged to Expense, Net | 112 | ||
Expenditures | (420) | ||
Write-Offs and Adjustments | 0 | ||
Factory transition | |||
Restructuring Cost and Reserve [Line Items] | |||
Charged to Expense, Net | 150 | ||
Expenditures | (150) | ||
Write-Offs and Adjustments | 0 | ||
Lease abandonment | |||
Restructuring Cost and Reserve [Line Items] | |||
Beginning Accrued Liability | 1,651 | 2,129 | |
Charged to Expense, Net | 58 | ||
Expenditures | (1,238) | (873) | |
Write-Offs and Adjustments | 0 | 0 | |
Ending Accrued Liability | $ 1,314 | $ 413 | $ 1,314 |
Line of Credit Amendment - Addi
Line of Credit Amendment - Additional Information (Detail) - Line Of Credit Agreement [Member] - USD ($) | 9 Months Ended | |
Sep. 30, 2015 | Mar. 31, 2015 | |
Line of Credit Facility [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 10,000,000 | |
Line of credit facility, expiration date | Mar. 5, 2018 | |
Line of credit facility, amounts outstanding | $ 0 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) | Oct. 01, 2015 | Oct. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2014 |
Subsequent Event [Line Items] | |||||
Number of shares repurchased | 336,429 | 0 | |||
Weighted-average price of shares repurchased | $ 13.94 | ||||
Value of total purchase price | $ 4,700,000 | ||||
August 2015 stock repurchase program | |||||
Subsequent Event [Line Items] | |||||
Value of common stock remaining available for stock repurchases under the program | 10,300,000 | ||||
Acquisition of ATT Advanced Temperature Test Systems GmbH | |||||
Subsequent Event [Line Items] | |||||
Accrued acquisition costs | $ 421,000 | $ 456,000 | |||
Subsequent Event | August 2015 stock repurchase program | |||||
Subsequent Event [Line Items] | |||||
Number of shares repurchased | 514,300 | ||||
Weighted-average price of shares repurchased | $ 14.55 | ||||
Value of total purchase price | $ 7,500,000 | ||||
Value of common stock remaining available for stock repurchases under the program | $ 2,800,000 | ||||
Subsequent Event | Acquisition of ATT Advanced Temperature Test Systems GmbH | |||||
Subsequent Event [Line Items] | |||||
Date of deferred purchase price paid | Oct. 1, 2015 | ||||
Subsequent event description | Deferred purchase price payment | ||||
Deferred purchase price paid related to acquisition | $ 400,000 | ||||
Accrued acquisition costs | $ 0 |