Cover Page
Cover Page - shares | 9 Months Ended | |
Dec. 24, 2021 | Jan. 19, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Dec. 24, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-39675 | |
Entity Registrant Name | ALLEGRO MICROSYSTEMS, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 46-2405937 | |
Entity Address, Address Line One | 955 Perimeter Road | |
Entity Address, City or Town | Manchester, | |
Entity Address, State or Province | NH | |
Entity Address, Postal Zip Code | 03103 | |
City Area Code | 603 | |
Local Phone Number | 626-2300 | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | ALGM | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 189,913,804 | |
Entity Central Index Key | 0000866291 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --03-25 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 259,208 | $ 197,214 |
Restricted cash | 7,497 | 6,661 |
Trade accounts receivable, net of provision for expected credit losses of $70 at December 24, 2021 and allowance for doubtful accounts of $138 at March 26, 2021 | 76,235 | 69,500 |
Trade and other accounts receivable due from related party | 28,305 | 23,832 |
Accounts receivable – other | 1,485 | 1,516 |
Inventories | 78,858 | 87,498 |
Prepaid expenses and other current assets | 16,198 | 18,374 |
Current portion of related party note receivable | 1,406 | 0 |
Assets held for sale | 0 | 25,969 |
Total current assets | 469,192 | 430,564 |
Property, plant and equipment, net | 207,705 | 192,393 |
Operating lease right-of-use assets | 15,922 | 0 |
Deferred income tax assets | 20,942 | 26,972 |
Goodwill | 20,043 | 20,106 |
Intangible assets, net | 35,985 | 36,366 |
Related party note receivable, less current portion | 6,094 | 0 |
Equity investment in related party | 27,456 | 26,664 |
Other assets, net | 48,078 | 14,613 |
Total assets | 851,417 | 747,678 |
Current liabilities: | ||
Trade accounts payable | 34,189 | 35,389 |
Amounts due to related party | 4,051 | 2,353 |
Accrued expenses and other current liabilities | 59,262 | 78,932 |
Current portion of operating lease liabilities | 3,339 | 0 |
Total current liabilities | 100,841 | 116,674 |
Obligations due under Senior Secured Credit Facilities | 25,000 | 25,000 |
Operating lease liabilities, less current portion | 12,907 | 0 |
Other long-term liabilities | 16,830 | 19,133 |
Total liabilities | 155,578 | 160,807 |
Commitments and contingencies (Note 16) | ||
Stockholders’ Equity: | ||
Preferred Stock, $0.01 par value; 20,000,000 shares authorized, no shares issued or outstanding at December 24, 2021 and March 26, 2021 | 0 | 0 |
Common stock, $0.01 par value; 1,000,000,000 shares authorized, 189,797,145 shares issued and outstanding at December 24, 2021; 1,000,000,000 shares authorized, 189,588,161 issued and outstanding at March 26, 2021 | 1,898 | 1,896 |
Additional paid-in capital | 612,106 | 592,170 |
Retained earnings | 97,342 | 3,551 |
Accumulated other comprehensive loss | (16,677) | (11,865) |
Equity attributable to Allegro MicroSystems, Inc. | 694,669 | 585,752 |
Non-controlling interests | 1,170 | 1,119 |
Total stockholders’ equity | 695,839 | 586,871 |
Total liabilities, non-controlling interest and stockholders’ equity | $ 851,417 | $ 747,678 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Statement of Financial Position [Abstract] | ||
Allowances for doubtful accounts | $ 70 | $ 138 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (in shares) | 189,797,145 | 189,588,161 |
Common stock, shares outstanding (in shares) | 189,797,145 | 189,588,161 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Net sales | $ 186,629 | $ 164,449 | $ 568,381 | $ 416,099 |
Cost of goods sold | 85,464 | 90,024 | 270,524 | 224,203 |
Gross profit | 101,165 | 74,425 | 297,857 | 191,896 |
Operating expenses: | ||||
Research and development | 30,297 | 30,999 | 89,441 | 80,509 |
Selling, general and administrative | 37,963 | 67,650 | 104,115 | 118,677 |
Change in fair value of contingent consideration | (2,700) | 0 | (2,100) | 0 |
Total operating expenses | 65,560 | 98,649 | 191,456 | 199,186 |
Operating income (loss) | 35,605 | (24,224) | 106,401 | (7,290) |
Other income (expense): | ||||
Loss on debt extinguishment | 0 | (9,055) | 0 | (9,055) |
Interest expense, net | (269) | (2,598) | (1,764) | (1,935) |
Foreign currency transaction loss | (3) | (145) | (55) | (1,331) |
Income in earnings of equity investment | 287 | 949 | 792 | 1,407 |
Other, net | 3,634 | (510) | 5,216 | (297) |
Income (loss) before income tax provision (benefit) | 39,254 | (35,583) | 110,590 | (18,501) |
Income tax provision (benefit) | 6,281 | (30,523) | 16,687 | (27,913) |
Net income (loss) | 32,973 | (5,060) | 93,903 | 9,412 |
Net income attributable to non-controlling interests | 37 | 35 | 112 | 103 |
Net income (loss) attributable to Allegro MicroSystems, Inc. | $ 32,936 | $ (5,095) | $ 93,791 | $ 9,309 |
Net income (loss) attributable to Allegro MicroSystems, Inc. per share (Note 17): | ||||
Basic (in dollars per share) | $ 0.17 | $ (0.04) | $ 0.49 | $ 0.19 |
Diluted (in dollars per share) | $ 0.17 | $ (0.04) | $ 0.49 | $ 0.05 |
Weighted average shares outstanding: | ||||
Basic (in shares) | 189,736,901 | 124,363,078 | 189,665,324 | 48,121,026 |
Diluted (in shares) | 192,068,222 | 124,363,078 | 191,678,951 | 171,638,787 |
Non-Related Party Revenue | ||||
Net sales | $ 147,168 | $ 138,010 | $ 456,302 | $ 343,529 |
Related Party Revenue | ||||
Net sales | $ 39,461 | $ 26,439 | $ 112,079 | $ 72,570 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 32,973 | $ (5,060) | $ 93,903 | $ 9,412 |
Net income attributable to non-controlling interests | 37 | 35 | 112 | 103 |
Net income (loss) attributable to Allegro MicroSystems, Inc. | 32,936 | (5,095) | 93,791 | 9,309 |
Other comprehensive (loss) income: | ||||
Foreign currency translation adjustment | (1,306) | 3,972 | (4,873) | 10,152 |
Net actuarial loss amortization of net transition obligation and prior service costs related to defined benefit plans, net of tax | 0 | 0 | 0 | (313) |
Comprehensive income (loss) | 31,630 | (1,123) | 88,918 | 19,148 |
Other comprehensive (income) loss attributable to non-controlling interest | (3) | (10) | 61 | (34) |
Comprehensive income (loss) attributable to Allegro MicroSystems, Inc. | $ 31,627 | $ (1,133) | $ 88,979 | $ 19,114 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Non-Controlling Interests | Common Class ACommon Stock | Common Class LCommon Stock |
Beginning balance (in shares) at Mar. 27, 2020 | 0 | 10,000,000 | 622,470 | |||||
Beginning balance at Mar. 27, 2020 | $ 634,132 | $ 0 | $ 458,697 | $ 194,355 | $ (19,976) | $ 950 | $ 100 | $ 6 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income (loss) | 9,412 | 9,309 | 103 | |||||
Issuance of common stock (in shares) | 25,000,000 | 15,828 | ||||||
Issuance of common stock | 321,425 | $ 250 | 321,175 | |||||
Capitalization changes related to organizational structure of affiliates and direct and indirect interests in subsidiaries | (19,165) | (19,165) | ||||||
Stock-based compensation | 46,901 | 46,901 | ||||||
Conversion of Class A and Class L common stock into common stock in connection with the IPO (in shares) | 166,500,000 | (10,000,000) | (636,301) | |||||
Conversion of Class A and Class L common stock into common stock in connection with the IPO | $ 1,665 | (1,559) | $ (100) | $ (6) | ||||
Repurchase of Class A and Class L common stock to cover related taxes (in shares) | (2,068,274) | (1,997) | ||||||
Repurchase of Class A and Class L common stock to cover related taxes | (27,707) | $ (21) | (27,686) | |||||
Conversion of LTCIP/TRIP awards into restricted stock units in connection with the IPO | 2,081 | 2,081 | ||||||
Cash dividend paid to holders of Class A common stock | (400,000) | (191,242) | (208,758) | |||||
Foreign currency translation adjustment | 10,152 | 10,118 | 34 | |||||
Net actuarial loss amortization of net transition obligation and prior service costs related to defined benefit plans, net of tax | 313 | 313 | ||||||
Ending balance (in shares) at Dec. 25, 2020 | 189,431,726 | 0 | 0 | |||||
Ending balance at Dec. 25, 2020 | 576,918 | $ 1,894 | 589,202 | (5,094) | (10,171) | 1,087 | $ 0 | $ 0 |
Beginning balance (in shares) at Sep. 25, 2020 | 0 | 10,000,000 | 638,298 | |||||
Beginning balance at Sep. 25, 2020 | 635,506 | $ 0 | 439,732 | 208,759 | (14,133) | 1,042 | $ 100 | $ 6 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income (loss) | (5,060) | (5,095) | 35 | |||||
Issuance of common stock (in shares) | 25,000,000 | |||||||
Issuance of common stock | 321,425 | $ 250 | 321,175 | |||||
Capitalization changes related to organizational structure of affiliates and direct and indirect interests in subsidiaries | 527 | 527 | ||||||
Reclassification of certain class L shares | 298 | 298 | ||||||
Stock-based compensation | 45,876 | 45,876 | ||||||
Conversion of Class A and Class L common stock into common stock in connection with the IPO (in shares) | 166,500,000 | (10,000,000) | (636,301) | |||||
Conversion of Class A and Class L common stock into common stock in connection with the IPO | $ 1,665 | (1,559) | $ (100) | $ (6) | ||||
Repurchase of Class A and Class L common stock to cover related taxes (in shares) | (2,068,274) | (1,997) | ||||||
Repurchase of Class A and Class L common stock to cover related taxes | (27,707) | $ (21) | (27,686) | |||||
Conversion of LTCIP/TRIP awards into restricted stock units in connection with the IPO | 2,081 | 2,081 | ||||||
Cash dividend paid to holders of Class A common stock | (400,000) | (191,242) | (208,758) | |||||
Foreign currency translation adjustment | 3,972 | 3,962 | 10 | |||||
Net actuarial loss amortization of net transition obligation and prior service costs related to defined benefit plans, net of tax | 0 | |||||||
Ending balance (in shares) at Dec. 25, 2020 | 189,431,726 | 0 | 0 | |||||
Ending balance at Dec. 25, 2020 | $ 576,918 | $ 1,894 | 589,202 | (5,094) | (10,171) | 1,087 | $ 0 | $ 0 |
Beginning balance (in shares) at Mar. 26, 2021 | 189,588,161 | 189,588,161 | ||||||
Beginning balance at Mar. 26, 2021 | $ 586,871 | $ 1,896 | 592,170 | 3,551 | (11,865) | 1,119 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income (loss) | 93,903 | 93,791 | 112 | |||||
Employee stock purchase plan issuances (in shares) | 59,563 | |||||||
Employee stock purchase plan issuances | 1,291 | 1,291 | ||||||
Stock-based compensation, net of forfeitures (in shares) | 149,421 | |||||||
Stock-based compensation, net of forfeitures | 18,647 | $ 2 | 18,645 | |||||
Foreign currency translation adjustment | (4,873) | (4,812) | (61) | |||||
Net actuarial loss amortization of net transition obligation and prior service costs related to defined benefit plans, net of tax | $ 0 | |||||||
Ending balance (in shares) at Dec. 24, 2021 | 189,797,145 | 189,797,145 | ||||||
Ending balance at Dec. 24, 2021 | $ 695,839 | $ 1,898 | 612,106 | 97,342 | (16,677) | 1,170 | ||
Beginning balance (in shares) at Sep. 24, 2021 | 189,702,550 | |||||||
Beginning balance at Sep. 24, 2021 | 656,553 | $ 1,897 | 604,488 | 64,406 | (15,368) | 1,130 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income (loss) | 32,973 | 32,936 | 37 | |||||
Stock-based compensation, net of forfeitures (in shares) | 94,595 | |||||||
Stock-based compensation, net of forfeitures | 7,619 | $ 1 | 7,618 | |||||
Foreign currency translation adjustment | (1,306) | (1,309) | 3 | |||||
Net actuarial loss amortization of net transition obligation and prior service costs related to defined benefit plans, net of tax | $ 0 | |||||||
Ending balance (in shares) at Dec. 24, 2021 | 189,797,145 | 189,797,145 | ||||||
Ending balance at Dec. 24, 2021 | $ 695,839 | $ 1,898 | $ 612,106 | $ 97,342 | $ (16,677) | $ 1,170 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Dec. 24, 2021 | Dec. 25, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 93,903 | $ 9,412 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 36,522 | 36,225 |
Amortization of deferred financing costs | 75 | 226 |
Deferred income taxes | (3,061) | (17,526) |
Stock-based compensation | 18,647 | 46,901 |
(Gain) loss on disposal of assets | (349) | 272 |
Loss on debt extinguishment | 0 | 9,055 |
Gain on contingent consideration change in fair value | (2,100) | 0 |
Provisions for inventory and credit losses/bad debt | 4,787 | 3,857 |
Unrealized gains on marketable securities | (4,482) | 0 |
Changes in operating assets and liabilities: | ||
Trade accounts receivable | (6,133) | (5,975) |
Accounts receivable - other | (9) | 115 |
Inventories | 3,251 | 1,118 |
Prepaid expenses and other assets | (11,870) | (29,655) |
Trade accounts payable | 2,026 | 2,411 |
Due to/from related parties | (2,775) | 8,283 |
Accrued expenses and other current and long-term liabilities | (9,874) | (1,185) |
Net cash provided by operating activities | 118,558 | 63,534 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchases of property, plant and equipment | (55,792) | (25,880) |
Acquisition of business, net of cash acquired | (12,549) | (8,500) |
Proceeds from sales of property, plant and equipment | 27,407 | 314 |
Investments in marketable securities | (9,189) | 0 |
Contribution of cash balances due to divestiture of subsidiary | 0 | (16,335) |
Net cash used in investing activities | (50,123) | (50,401) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Related party note receivable | (7,500) | |
Related party note receivable | 51,377 | |
Proceeds from initial public offering, net of underwriting discounts and other offering costs | 0 | 321,425 |
Payments for taxes related to net share settlement of equity awards | 0 | (27,707) |
Proceeds from issuance of common stock under employee stock purchase plan | 1,291 | 0 |
Dividends paid | 0 | (400,000) |
Borrowings of senior secured debt, net of deferred financing costs | 0 | 315,719 |
Repayment of senior secured debt | 0 | (300,000) |
Repayment of unsecured credit facilities | 0 | (33,000) |
Net cash used in financing activities | (6,209) | (72,186) |
Effect of exchange rate changes on Cash and cash equivalents and Restricted cash | 604 | 3,350 |
Net increase in Cash and cash equivalents and Restricted cash | 62,830 | (55,703) |
Cash and cash equivalents and Restricted cash at beginning of period | 203,875 | 219,876 |
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD: | 266,705 | 164,173 |
RECONCILIATION OF CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: | ||
Cash and cash equivalents at beginning of period | 197,214 | 214,491 |
Restricted cash at beginning of period | 6,661 | 5,385 |
Cash and cash equivalents and Restricted cash at beginning of period | 203,875 | 219,876 |
Cash and cash equivalents at end of period | 259,208 | 157,653 |
Restricted cash at end of period | 7,497 | 6,520 |
Cash and cash equivalents and Restricted cash at end of period | 266,705 | 164,173 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||
Cash paid for interest | 541 | 2,559 |
Cash paid for income taxes | 16,635 | 7,568 |
Noncash transactions: | ||
Changes in Trade accounts payable related to Property, plant and equipment, net | (4,934) | (786) |
Loans to cover purchase of common stock under employee stock plan | 0 | 171 |
Recognition of right of use assets and lease liability upon adoption of new accounting standard | $ 356 | $ 0 |
Nature of the Business and Basi
Nature of the Business and Basis of Presentation | 9 Months Ended |
Dec. 24, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of the Business and Basis of Presentation | Nature of the Business and Basis of Presentation Allegro MicroSystems, Inc., together with its consolidated subsidiaries (“AMI” or the “Company”), is a global leader in designing, developing and manufacturing sensing and power solutions for motion control and energy-efficient systems in automotive and industrial markets. The Company is headquartered in Manchester, New Hampshire, and has a global footprint with 16 locations across four continents. The accompanying unaudited condensed consolidated financial statements have been prepared by the Company. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The unaudited condensed consolidated financial statements include the Company’s accounts and those of its subsidiaries. All intercompany balances have been eliminated in consolidation. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K filed with the SEC on May 19, 2021 (the “2021 Annual Report”). In the opinion of the Company’s management, the financial information for the interim periods presented reflects all adjustments necessary for a fair presentation of the Company’s financial position, results of operations and cash. The results reported in these unaudited condensed consolidated financial statements are not necessarily indicative of results that may be expected for the entire year. On November 2, 2020, the Company completed its initial public offering (“IPO”). Refer to Note 1, “Nature of Business and Basis of Presentation” to the Company’s 2021 Annual Report for details. Financial Periods The Company’s third quarter three-month period is a 13-week period ending on the Friday closest to the last day in December. The Company’s third quarter of fiscal 2022 ended December 24, 2021, and the Company’s third quarter of fiscal 2021 ended December 25, 2020. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Dec. 24, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and disclosures of contingencies at the date of the unaudited consolidated financial statements and the reported amounts of net sales and expenses during the reporting period. Such estimates relate to useful lives of fixed and intangible assets, current expected credit losses/allowances for doubtful accounts and customer returns and sales allowances. Such estimates could also relate to the fair value of acquired assets and liabilities, including goodwill and intangible assets, net realizable value of inventory, accrued liabilities, the valuation of stock-based awards, deferred tax valuation allowances, and other reserves. On an ongoing basis, management evaluates its estimates. Actual results could differ from those estimates, and such differences may be material to the unaudited condensed consolidated financial statements. Reclassifications Certain reclassifications have been made to prior-period amounts to conform to current-period reporting classifications. Concentrations of Credit Risk and Significant Customers Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash, cash equivalents and accounts receivable. The Company maintains its cash and cash equivalents with financial institutions that management believes to be of a high credit quality. To manage credit risk related to accounts receivables, the Company evaluates the creditworthiness of its customers and maintains allowances, to the extent necessary, for potential credit losses based upon the aging of its accounts receivable balances and known collection issues. The Company has not experienced any significant credit losses to date. As of December 24, 2021 and March 26, 2021, Sanken Electric Co., Ltd. (“Sanken”) accounted for 27.0% and 22.7% of the Company’s outstanding trade accounts receivable, net, respectively, including related party trade accounts receivable. No other customers accounted for 10% or more of outstanding trade accounts receivable, net during those periods. For the three- and nine-month periods ended December 24, 2021, Sanken accounted for 21.1% and 19.7% of total net sales, respectively. No other customers accounted for 10% or more of total net sales for either of the three- and nine-month periods ended December 24, 2021. For the three- and nine-month periods ended December 25, 2020, Sanken accounted for 16.1% and 17.4% of total net sales, respectively. No other customers accounted for 10% or more of total net sales for either of the three- and nine-month periods ended December 25, 2020. During the three-month period ended December 24, 2021, sales from customers located outside of the United States accounted for, in the aggregate, 85.9% of the Company’s total net sales, with Greater China accounting for 26.1%, Japan accounting for 21.1% and South Korea accounting for 10.7%. During the nine-month period ended December 24, 2021, sales from customers located outside of the United States accounted for, in the aggregate, 85.8% of the Company’s total net sales, with Greater China accounting for 25.0%, Japan accounting for 19.7% and South Korea accounting for 10.8%. No other countries accounted for greater than 10% of total net sales for the three- and nine-month periods ended December 24, 2021. During the three-month period ended December 25, 2020, sales from customers located outside of the United States, in the aggregate, accounted for 85.4% of the Company’s total net sales, with Greater China accounting for 28.1%, Japan accounting for 16.0% and South Korea accounting for 10.7%. During the nine-month period ended December 25, 2020, sales from customers located outside of the United States, in the aggregate, accounted for 86.1% of the Company’s total net sales, with Greater China accounting for 27.9%, Japan accounting for 17.4% and South Korea accounting for 10.5%. No other countries accounted for greater than 10% of total net sales for the three- and nine-month periods ended December 25, 2020 . Recently Adopted Accounting Standards The Company qualifies as an “emerging growth company” as defined in the Jumpstart Our Business Startups Act of 2012 and has elected to “opt in” to the extended transition related to complying with new or revised accounting standards, which means that when a standard is issued or revised and it has different application dates for public and nonpublic companies, the Company will adopt the new or revised standard at the time nonpublic companies adopt the new or revised standard and will do so until such time that the Company either (i) irrevocably elects to “opt out” of such extended transition period or (ii) no longer qualifies as an emerging growth company. The Company may choose to early adopt any new or revised accounting standards whenever such early adoption is permitted for nonpublic companies. In February 2016, the Financial Accounting Standards Board (“FASB”) issued its new lease accounting guidance in Accounting Standards Update (“ASU”) 2016‑02, “Leases (Topic 842)” (“ASU 2016-02”), which is codified as Accounting Standard Codification (“ASC”) Topic 842 (“ASC 842”) and replaces ASC Topic 840, Leases (“ASC 840”). ASU 2016-02 and all subsequent amendments amend various aspects of existing guidance for leases and require significant additional quantitative and qualitative disclosures about lease arrangements. ASU 2016-02 requires lessees to recognize lease assets representing the right to use an underlying asset and lease liabilities representing the obligation to make lease payments over the lease term, measured on a discounted basis, for substantially all leases. ASU 2016-02 retains a distinction between finance leases and operating leases using classification criteria that are substantially similar to the previous lease guidance. Although the Company has elected to opt-in to the extended transition dates for new or revised accounting standards to align with nonpublic companies, the Company elected to early adopt ASU 2016-02 effective March 27, 2021. The Company used the optional transition method to the modified retrospective approach, which eliminates the requirement to restate the prior period financial statements. Under this transition provision, the Company has applied ASU 2016-02 to reporting periods beginning on March 27, 2021, while prior periods continue to be reported and disclosed in accordance with the legacy guidance under ASC 840. A number of practical expedients and policy elections are available under the new guidance to reduce the burden of adoption and ongoing compliance with ASC 842. The Company elected the “package of practical expedients”, which permitted the Company to retain lease classification and initial direct costs for any identified leases that existed prior to adoption of ASC 842. Under this transition guidance, the Company also did not reassess whether any existing contracts at March 27, 2021 are, or contain, leases and carried forward its initial determination under legacy lease guidance. The Company has elected not to adopt the “hindsight” practical expedient and, therefore, will measure the right-of-use (“ROU”) asset and lease liability using the remaining portion of the lease term at adoption on March 27, 2021. The Company made an accounting policy election available under the new lease standard to not recognize lease assets and lease liabilities for leases with a term of 12 months or less. For all other leases, the initial measurement of the lease liability is based on the present value of future lease payments over the lease term at the application date or the commencement date of the lease. Lease payments may include fixed rent escalation clauses or payments that depend on an index or a rate (such as the consumer price index) measured using the index or applicable rate at lease commencement. Subsequent changes in the index or rate and any other variable payments, such as market-rate base rent adjustments, are recognized as variable lease expense in the period incurred. Payments for terminating a lease are included in lease payments only when it is probable they will be incurred. To determine the present value of lease payments, the Company uses its incremental borrowing rate, as the leases generally do not have a readily determinable implicit discount rate. The Company applies judgment in assessing factors such as Company-specific credit risk, lease term, nature and quality of the underlying collateral, currency and economic environment in determining the lease-specific incremental borrowing rate. The carrying value of the ROU assets at the application date equals the lease liability adjusted for any initial direct costs incurred and lease payments made at or before the commencement date and for any lease incentives. The Company’s leases generally include a non-lease component representing additional services transferred to the Company. The Company has made an accounting policy election to account for lease and non-lease components in its contacts as a single lease component for all asset classes. The non-lease components are usually variable in nature and recorded in variable lease expense in the period incurred. Adoption of ASC 842 resulted in ROU assets of $18,403 and lease liabilities of $18,759 related to the Company’s operating leases at March 27, 2021. The Company does not have any leases classified as finance leases. The adoption of ASC 842 did not materially impact the Company’s consolidated net income or consolidated cash flows and did not result in a cumulative-effect adjustment to the opening balance of retained earnings. In June 2016, the FASB issued ASU No. 2016-13, “Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”), which adds an impairment model (known as the current expected credit loss (“CECL”) model) that is based on expected losses rather than incurred losses. Under the new guidance, an entity recognizes as an allowance its estimate of expected credit losses, which the FASB believes will result in more timely recognition of such losses. The ASU is also intended to reduce complexity by decreasing the number of credit impairment models that entities use to account for debt instruments. The Company adopted ASU 2016-13 effective March 27, 2021 and concluded that the standard update did not have a material impact on either the financial position, results of operations, cash flows, or related disclosures. There was no impact on beginning balance retained earnings upon adoption of this ASU. The Company is exposed to credit losses primarily through trade and other financing receivables arising from revenue transactions. The Company uses an aging schedule method to estimate current expected credit losses based on days of delinquency, including information about past events and current economic conditions. The Company’s accounts receivable is separated int o two categories using a portfolio methodology to evaluate the allowance under the CECL impairment model based on sales categorization and similar credit quality and worthiness of the customers: original equipment manufacturers (“OEMs”) and distributors. The receivables in each category share similar risk characteristics. The change to the CECL impairment model resulted in an immaterial increase in the provision for expected credit losses compared to the allowance for doubtful accounts under the previous incurred loss method. The Company increases the allowance for expected credits losses when the Company determines all or a portion of a receivable is uncollectible. The Company recognizes recoveries as a decrease to the allowance for expected credit losses. For the three- and nine-month periods ended December 24, 2021, no material changes in the allowance occurred. Recently Issued Accounting Standards Not Yet Adopted In October 2021, the FASB issued ASU No. 2021-08, Business Combinations (Topic 805), Accounting for Contract Assets and Contract Liabilities from Contracts with Customers (“ASU 2021-08”), which eliminates the diversity in practice and inconsistency related to the accounting for acquired revenue contracts with customers in a business combination. The amendments in ASU 2021-08 require an acquiring entity to apply ASC Topic 606, Contracts with Customers (“ASC 606”), to recognize and measure contract assets and contract liabilities in a business combination as if the acquired contracts with customers were originated by the acquiring entity at the acquisition date. An acquirer may assess how the acquiree applied ASC 606 and generally should recognize and measure the acquired contract assets and contract liabilities consistent with the recognition and measurement in the acquiree’s financial statements as prepared in accordance with U.S. GAAP. If unable to rely on the acquiree’s accounting due to errors, noncompliance with U.S. GAAP, or differences in accounting policies, the acquirer should consider the terms of the acquired contracts, such as timing of payment, identify each performance obligation in the contracts, and allocate the total transaction price to each identified performance obligation on a relative standalone selling price basis as of contract inception (that is, the date the acquiree entered into the contracts) or contract modification to determine what should be recorded at the acquisition date. The guidance is effective prospectively for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Early adoption is permitted, including in an interim period as of the beginning of the fiscal year that includes that interim period. An entity that early adopts in an interim period should apply the amendments (1) retrospectively to all business combinations for which the acquisition date occurs on or after the beginning of the fiscal year that includes the interim period of early application and (2) prospectively to all business combinations that occur on or after the date of initial application. The Company is currently in the process of evaluating the impact of this new guidance on the consolidated financial statements and the related disclosures, which will be dependent on the consummation of any future business combination. In May 2021, the FASB issued ASU No. 2021-04, Earnings Per Share (Topic 260), Debt—Modifications and Extinguishments (Subtopic 470-50), Compensation—Stock Compensation (Topic 718), and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40) (“ASU 2021-04”). ASU 2021-04 outlines how an entity should account for modifications made to equity-classified written call options, including stock options and warrants to purchase the entity’s own common stock. The guidance in the ASU requires an entity to treat a modification of an equity-classified written call option that does not cause the option to become liability-classified as an exchange of the original option for a new option. This guidance applies whether the modification is structured as an amendment to the terms and conditions of the equity-classified written call option or as termination of the original option and issuance of a new option. The guidance is effective prospectively for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. Early adoption is permitted, including in an interim period as of the beginning of the fiscal year that includes that interim period. The Company is currently in the process of evaluating the impact of this new guidance on the consolidated financial statements and the related disclosures. |
Revenue from Contract with Cust
Revenue from Contract with Customers | 9 Months Ended |
Dec. 24, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | Revenue from Contracts with Customers The Company generates revenue from the sale of magnetic sensor integrated circuits (“ICs”) and application-specific analog power semiconductors. The following tables summarize net sales disaggregated by application, by product and by geography for the three- and nine-month periods ended December 24, 2021 and December 25, 2020. The categorization of net sales by application is determined using various characteristics of the product and the application into which the Company’s product will be incorporated. The categorization of net sales by geography is determined based on the location the products are being shipped to. Net sales by application: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Automotive $ 130,797 $ 113,902 $ 390,351 $ 279,759 Industrial 31,903 23,654 98,533 65,710 Other 23,929 26,893 79,497 70,630 Total net sales $ 186,629 $ 164,449 $ 568,381 $ 416,099 Net sales by product: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Power integrated circuits $ 62,859 $ 54,406 $ 195,054 $ 146,276 Magnetic sensors 123,543 109,457 371,806 268,956 Photonics 227 586 1,521 867 Total net sales $ 186,629 $ 164,449 $ 568,381 $ 416,099 Net sales by geography: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Americas: United States $ 26,228 $ 23,934 $ 80,854 $ 57,892 Other Americas 4,921 5,620 16,697 10,797 EMEA: Europe 29,891 28,239 97,108 70,459 Asia: Japan 39,461 26,439 112,079 72,570 Greater China 48,696 46,172 142,158 116,178 South Korea 19,935 17,606 61,614 43,733 Other Asia 17,497 16,439 57,871 44,470 Total net sales $ 186,629 $ 164,449 $ 568,381 $ 416,099 The Company recognizes sales net of returns, credits issued, price protection adjustments and stock rotation rights. At December 24, 2021 and March 26, 2021, these adjustments and current expected credit losses were $16,014 and $15,412, respectively, and were netted against trade accounts receivable in the unaudited consolidated balance sheets. These amounts represent activity of net charges and income of $602 and $898, respec tively, for the nine-month periods ended December 24, 2021 and December 25, 2020, respectively. Refer to Note 5, “Trade Accounts Receivable, net” for details of these adjustments and allowances. Unsatisfied performance obligations primarily represent contracts for products with future delivery dates. The Company elected to not disclose the amount of unsatisfied performance obligations, as these contracts have original expected durations of less than one year. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Dec. 24, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The following tables present information about the Company’s financial assets and liabilities as of December 24, 2021 and March 26, 2021 measured at fair value on a recurring basis and indicate the level of the fair value hierarchy utilized to determine such fair values: Fair Value Measurement at December 24, 2021 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market fund deposits $ 16,348 $ — $ — $ 16,348 Restricted cash: Money market fund deposits 7,497 — — 7,497 Other assets, net (long-term): Investments in marketable securities $ 13,393 $ — $ — $ 13,393 Total assets $ 37,238 $ — $ — $ 37,238 Liabilities: Other long-term liabilities: Contingent consideration $ — $ — $ 2,700 $ 2,700 Total liabilities $ — $ — $ 2,700 $ 2,700 Fair Value Measurement at March 26, 2021 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market fund deposits $ 16,327 $ — $ — $ 16,327 Restricted cash: Money market fund deposits 6,661 — — 6,661 Total assets $ 22,988 $ — $ — $ 22,988 Liabilities: Other long-term liabilities: Contingent consideration — — 4,800 4,800 Total liabilities $ — $ — $ 4,800 $ 4,800 The following table represents the unrealized gains and losses on investments in marketable securities held with a readily determinable fair value for the nine-month period ended December 24, 2021: Net gains and losses recognized during the period on equity securities $ 4,482 Less: Net gains and losses recognized during the period on equity securities sold during the period — Unrealized gains and losses recognized during the reporting period on equity securities still held at the reporting date $ 4,482 In addition to the unrealized gains in the table above, the change in fair value of the equity securities was impacted by unrealized foreign currency exchange losses of $278 for the nine-month period ended December 24, 2021. The following table shows the change in fair value of Level 3 contingent consideration in connection with the fiscal year 2021 purchase of Voxtel, Inc. (“Voxtel”), a privately-held technology company located in Beaverton, Oregon that develops, manufactures and supplies photonic and advanced 3D imaging technologies (the “Voxtel Acquisition”), for the nine-month period ended December 24, 2021: Level 3 Balance at March 26, 2021 $ 4,800 Change in fair value of contingent consideration (2,100) Balance at December 24, 2021 $ 2,700 Assets and liabilities measured at fair value on a recurring basis also consist of marketable securities, unit investment trust fund, loans, bonds, stock and other investments which are the Company’s defined benefit plan assets. Fair value information for those assets and liabilities, including their classification in the fair value hierarchy, is included in Note 15, “Retirement Plans.” During the nine-month periods ended December 24, 2021 and December 25, 2020, there were no transfers among Level 1, Level 2 and Level 3 asset or liabilities. |
Trade Accounts Receivable, net
Trade Accounts Receivable, net | 9 Months Ended |
Dec. 24, 2021 | |
Receivables [Abstract] | |
Trade Accounts Receivable, net | Trade Accounts Receivable, net Trade accounts receivable, net (including related party trade accounts receivable) consisted of the following: December 24, March 26, Trade accounts receivable $ 120,500 $ 108,546 Less: Provision for expected credit losses and allowance for doubtful accounts (70) (138) Returns and sales allowances (15,944) (15,274) Related party trade accounts receivable (28,251) (23,634) Total $ 76,235 $ 69,500 Changes in the Company’s provision for expected credit losses / allowance for doubtful accounts and returns and sales allowances were as follows: Description Provision for Expected Credit Losses / Allowance for Returns Total Balance at March 26, 2021 $ 138 $ 15,274 $ 15,412 Charged to costs and expenses or revenue (68) 114,047 113,979 Write-offs, net of recoveries — (113,377) (113,377) Balance at December 24, 2021 $ 70 $ 15,944 $ 16,014 Description Allowance for Returns Total Balance at March 27, 2020 $ 288 $ 17,185 $ 17,473 Charged to costs and expenses or revenue (150) 103,660 103,510 Write-offs, net of recoveries — (104,408) (104,408) Balance at December 25, 2020 $ 138 $ 16,437 $ 16,575 |
Inventories
Inventories | 9 Months Ended |
Dec. 24, 2021 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories include material, labor and overhead and consisted of the following: December 24, March 26, Raw materials and supplies $ 11,751 $ 9,629 Work in process 45,089 50,095 Finished goods 22,018 27,774 Total $ 78,858 $ 87,498 The Company recorded inventory provisions totaling $348 and $5,389 for the three- and nine-month periods ended December 24, 2021, respectively, and $885 and $2,958 for the three- and nine-month periods ended December 25, 2020, respectively. The Company discontinued a product line manufactured by Voxtel and subsequently recognized impairment charges, which represented much of the increase in inventory provisions, for the related inventory of $— and $3,106 for the three- and nine-month periods ended December 24, 2021, respectively. |
Assets Held For Sale
Assets Held For Sale | 9 Months Ended |
Dec. 24, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Assets Held For Sale | Assets Held for SaleAs of March 26, 2021, the Company had entered into a definitive agreement to sell its Thailand-based facility (the “AMTC Facility”) as it had already transferred production to the Manila, Philippines facility, which was reclassified from Property, plant and equipment, net to Assets held for sale in fiscal year 2021. The sale of the AMTC Facility was completed on August 3, 2021 following receipt of government approvals in Thailand and the fulfillment of customary closing conditions. The Company received cash of $27,405, which with related selling costs, resulted in a gain on the final disposition of $370. |
Property, Plant and Equipment,
Property, Plant and Equipment, net | 9 Months Ended |
Dec. 24, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, net | Property, Plant and Equipment, net Property, plant and equipment, net is stated at cost, and consisted of the following: December 24, March 26, Land $ 16,257 $ 16,602 Buildings, building improvements and leasehold improvements 57,282 56,911 Machinery and equipment 528,786 491,025 Office equipment 6,252 6,281 Construction in progress 27,971 29,201 Total 636,548 600,020 Less accumulated depreciation (428,843) (407,627) Total $ 207,705 $ 192,393 Total depreciation expense amounted to $10,893 and $33,235 for the three- and nine-month periods ended December 24, 2021, respectively, and $11,255 and $33,861 for the three- and nine-month periods ended December 25, 2020, respectively. Long-lived assets include property, plant and equipment and related deposits on such assets, and capitalized tooling costs. The geographic locations of the Company’s long-lived assets, net, based on physical location of the assets, as of December 24, 2021 and March 26, 2021 are as follows: December 24, March 26, United States $ 34,793 $ 36,529 Philippines 166,087 148,374 Thailand — 1,698 Other 7,328 7,190 Total $ 208,208 $ 193,791 Amortization of prepaid tooling costs amounted to $31 and $97 for the three- and nine-month periods ended December 24, 2021, respectively, and $18 and $54 for the three- and nine-month periods ended December 25, 2020, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Dec. 24, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The table below summarizes the changes in the carrying amount of goodwill as follows: Total Balance at March 26, 2021 $ 20,106 Currency translation (63) Balance at December 24, 2021 $ 20,043 Intangible assets, net is as follows: December 24, 2021 Description Gross Accumulated Net Carrying Weighted- Average Lives Patents $ 35,558 $ 14,580 $ 20,978 10 years Customer relationships 6,899 6,640 259 9 years Process technology 13,100 1,470 11,630 12 years Indefinite-lived and legacy process technology 4,050 1,650 2,400 Trademarks 200 54 146 5 years Legacy trademarks 629 57 572 Other 32 32 — Total $ 60,468 $ 24,483 $ 35,985 March 26, 2021 Description Gross Accumulated Net Carrying Weighted- Average Lives Patents $ 32,751 $ 12,307 $ 20,444 10 years Customer relationships 6,193 5,865 328 9 years Process technology 13,100 651 12,449 12 years Indefinite-lived and legacy process technology 4,050 1,650 2,400 Trademarks 200 24 176 5 years Legacy trademarks 627 58 569 Other 32 32 — Total $ 56,953 $ 20,587 $ 36,366 Intangible assets amortization expense was $1,087 and $3,190 for the three- and nine-month periods ended December 24, 2021, respectively, and $926 and $2,310 for the three- and nine-month periods ended December 25, 2020, respectively. The majority of the Company’s intangible assets are related to patents as noted above. The Company capitalizes external legal costs incurred in the defense of its patents when it believes that a significant, discernible increase in value will result from the defense and a successful outcome of the legal action is probable. When the Company capitalizes patent defense costs, it amortizes these costs over the remaining estimated useful life of the patent, which is generally 10 years. There were no significant costs capitalized during either of the first nine months of fiscal years 2022 or 2021. As of December 24, 2021, annual amortization expense of intangible assets for the next five fiscal years is expected to be as follows: Remainder of 2022 $ 935 2023 3,612 2024 3,480 2025 3,260 2026 3,032 Thereafter 21,666 Total $ 35,985 |
Other Assets, net
Other Assets, net | 9 Months Ended |
Dec. 24, 2021 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Other Assets, net | Other Assets, net The composition of other assets, net is as follows: December 24, March 26, VAT receivables long-term, net $ 10,659 $ 8,177 Income taxes receivable long-term 11,462 — Investments in marketable securities (1) 13,393 — Deposits 9,680 3,573 Prepaid contracts long-term 1,466 1,295 Deferred financing costs 74 149 Other 1,344 1,419 Total $ 48,078 $ 14,613 (1) Represents equity investments in an entity whose equity securities have a readily determinable fair value. These strategic investments represent less than a 20% ownership interest in the entity, and the Company does not maintain power over or control of the entity. These investments are measured at fair value with unrealized gains and losses related to changes in the entity’s stock price and the impact of changes in foreign exchange rates each included in the consolidated statements of operations. |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 9 Months Ended |
Dec. 24, 2021 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities The composition of accrued expenses and other current liabilities is as follows: December 24, March 26, Accrued management incentives $ 24,927 $ 21,538 Accrued salaries and wages 16,639 15,060 Base acquisition purchase price due 2,000 14,588 Deposits on AMTC Facility — 14,531 Accrued vacation 5,423 5,739 Accrued severance 709 572 Accrued professional fees 1,949 2,029 Accrued income taxes 2,096 514 Accrued utilities 604 623 Other current liabilities 4,915 3,738 Total $ 59,262 $ 78,932 |
Leases
Leases | 9 Months Ended |
Dec. 24, 2021 | |
Leases [Abstract] | |
Leases | Leases The Company determines if an arrangement is or contains a lease at inception, which is the date on which the terms of the contract are agreed to and the agreement creates enforceable rights and obligations. The Company also considers whether its service arrangements include the right to control the use of an asset. The Company leases real estate, equipment and vehicles under operating lease agreements that have initial terms ranging from 1 to 10 years. The Company does not have any leases classified as finance leases. Some leases include one or more options to exercise renewal terms, generally at the Company’s sole discretion, that can extend the lease term. Certain leases contain rights to terminate whereby those termination options are held by either the Company, the lessor, or both parties. These options to extend or terminate a lease are included in the lease term only when it is reasonably certain that the Company will exercise that option. The Company’s leases generally do not contain any material restrictive covenants. Operating lease cost is recognized on a straight-line basis over the lease term. Information regarding the Company’s leases are as follows: Three-Month Period Ended Nine-Month Period Ended December 24, 2021 December 24, 2021 Lease costs: Operating lease expense $ 1,075 $ 3,378 Short term lease expense 190 332 Other information: Operating cash flows from operating leases $ 1,259 $ 3,733 Weighted-average remaining lease term – operating leases 5.53 years 5.53 years Weighted-average discount rate – operating leases 4.5 % 4.5 % Rent expense incurred under operating leas e agreements was $1,454 and $4,226 for the three- and nine-month periods ended December 24, 2021, respectively, and $1,172 and $3,477 for the three- and nine-month periods ended December 25, 2020. As of December 24, 2021, expirations of lease obligations by fiscal year were as follows: Remainder of 2022 $ 1,056 2023 3,886 2024 3,503 2025 3,070 2026 2,597 Thereafter 4,406 Total undiscounted lease payments $ 18,518 Less: present value adjustment (2,272) Total operating lease liabilities $ 16,246 Information as Lessee under ASC 840 Future minimum lease payments for noncancellable operating leases as reported under the previous lease guidance as of March 26, 2021 are as follows: 2022 $ 2,887 2023 2,726 2024 2,644 2025 2,172 2026 1,773 Thereafter 3,713 Total $ 15,915 |
Debt and Other Borrowings
Debt and Other Borrowings | 9 Months Ended |
Dec. 24, 2021 | |
Debt Disclosure [Abstract] | |
Debt and Other Borrowings | Debt and Other Borrowings On September 30, 2020, the Company entered into a term loan credit agreement with Credit Suisse AG, Cayman Islands Branch, as administrative agent and collateral agent, and the other agents, arrangers and lenders party thereto, providing for a $325,000 senior secured term loan facility due in 2027 (the “Term Loan Facility”). On September 30, 2020, the Company also entered into a revolving facility credit agreement with Mizuho Bank, Ltd., as administrative agent and collateral agent, and the other agents, arrangers and lenders party thereto, providing for a $50,000 senior secured revolving credit facility expiring in 2023 (the “Revolving Credit Facility” and, together with the Term Loan Facility, the “Senior Secured Credit Facilities”). The Revolving Credit Facility is secured by a lien on the same collateral and on the same basis as the Term Loan Facility. Interest on the Term Loan Facility is calculated at LIBOR plus 3.75% to 4.00% based on the Company’s net leverage ratio, and LIBOR is subject to a 0.5% floor. The Company’s outstanding borrowings bore an interest rate of 4.25% at December 24, 2021. As of both December 24, 2021 and March 26, 2021, the Company had $25,000 outstanding under the Term Loan Facility and had not borrowed on the Revolving Credit Facility. Included in the Term Loan Facility were deferred financing costs of $9,374, which the Company has deducted from the carrying amount presented on its unaudited consolidated balance sheet and amortized into interest expense or recognized as loss on debt extinguishment . Included in the Revolving Credit Facility were deferred financing costs of $300, which the Company classified the related short-term and long-term portions within “Prepaid expenses and other current assets” and “Other assets” on its unaudited consolidated balance sheet and is amortizing those costs over the term of the facility. The unamortized portion of the deferred financing costs associated with the Revolving Credit Facility was $174 and $249 at December 24, 2021 and March 26, 2021, respectively . On November 26, 2019, the Company, through its subsidiaries, entered into a line of credit agreement with a financial institution that provides for a maximum borrowing capacity of 60,000 Philippine pesos (approximately $1,196 at December 24, 2021) at the bank’s prevailing interest rate. While this line of credit initially expired on August 21, 2021 (in connection with certain delays as a result of the COVID-19 pandemic and its impact on bank operations), the line of credit was extended in September 2021 and is now expected to expire on August 21, 2022. There were no borrowings outstanding under this line of credit as of December 24, 2021 and March 26, 2021. On November 20, 2019, the Company, through its subsidiaries, entered into a line of credit agreement with a financial institution that provides for a maximum capacity of 75,000 Philippine pesos (approximately $1,495 at December 24, 2021) at the bank’s prevailing interest rate. While this line of credit initially expired on June 30, 2021 (in connection with certain delays as a result of the COVID-19 pandemic and its impact on bank operations), the line of credit was extended in September 2021 and is now expected to expire on June 30, 2022. There were no borrowings outstanding under this line of credit as of December 24, 2021 and March 26, 2021. |
Other Long-Term Liabilities
Other Long-Term Liabilities | 9 Months Ended |
Dec. 24, 2021 | |
Other Liabilities Disclosure [Abstract] | |
Other Long-Term Liabilities | Other Long-Term Liabilities The composition of other long-term liabilities is as follows: December 24, March 26, Accrued management incentives $ 734 $ 628 Accrued retirement 10,655 10,656 Accrued contingent consideration 2,700 4,800 Provision for uncertain tax positions (net) 2,741 2,774 Other — 275 Total $ 16,830 $ 19,133 |
Retirement Plans
Retirement Plans | 9 Months Ended |
Dec. 24, 2021 | |
Retirement Benefits [Abstract] | |
Retirement Plans | Retirement PlansThe Company recognizes the funded status (i.e., the difference between the fair value of plan assets and the benefit obligations) of its defined benefit pension plans in its unaudited consolidated balance sheets with a corresponding adjustment to accumulated other comprehensive income, net of tax. These amounts will continue to be recognized as a component of future net periodic benefit costs consistent with the Company’s past practice. Further, actuarial gains and losses and prior service costs that arise in future periods and are not recognized as net periodic benefit costs in the same periods will be recognized as a component of other comprehensive income. Those amounts will also be recognized as a component of future net periodic benefit costs consistent with the Company’s past practice. The Company uses a measurement date for its defined benefit pension plans and other postretirement benefit plans that is equivalent to its fiscal year-end. Plan Descriptions Non-U.S. Defined Benefit Plan The Company, through its wholly owned subsidiary, Allegro MicroSystems Philippines, Inc. (“AMPI”), has a defined benefit pension plan, which is a noncontributory plan that covers substantially all employees of the respective subsidiary. The plan’s assets are invested in common trust funds, bonds and other debt instruments and stocks. Effect on the unaudited statements of operations Expense related to the non-United States (“U.S.”). defined benefit plan was as follows: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Service cost $ 365 $ 296 $ 1,119 $ 843 Interest cost 158 166 485 474 Expected return on plan assets (75) (79) (230) (231) Amortization of prior service cost 1 2 1 6 Actuarial loss 51 47 156 126 Net periodic pension expense $ 500 $ 432 $ 1,531 $ 1,218 Information on Plan Assets The table below sets forth the fair value of the entity’s plan assets as of December 24, 2021 and March 26, 2021, using the same three-level hierarchy of fair value inputs described in the significant accounting policies included in the Company’s 2021 Annual Report. Fair Value at December 24, Level 1 Level 2 Level 3 Assets of non-U.S. defined benefit plan: Government securities $ 2,005 $ 2,005 $ — $ — Unit investment trust fund 1,217 — 1,217 — Loans 578 — — 578 Bonds 706 — 706 — Stocks and other investments 2,338 1,224 2 1,112 Total $ 6,844 $ 3,229 $ 1,925 $ 1,690 Fair Value at March 26, Level 1 Level 2 Level 3 Assets of non-U.S. defined benefit plan: Government securities $ 1,646 $ 1,646 $ — $ — Unit investment trust fund 1,221 — 1,221 — Loans 584 — — 584 Bonds 1,112 — 1,112 — Stocks and other investments 3,081 1,947 1 1,133 Total $ 7,644 $ 3,593 $ 2,334 $ 1,717 The following table shows the change in fair value of Level 3 plan assets for the nine months ended December 24, 2021: Level 3 Non-U.S. Defined Plan Assets Loans Stocks Balance at March 26, 2021 $ 584 $ 1,133 Additions during the year 308 — Redemptions during the year (289) — Revaluation of equity securities (5) 13 Change in foreign currency exchange rates (20) (34) Balance at December 24, 2021 $ 578 $ 1,112 The investments in the Company’s major benefit plans largely consist of low-cost, broad-market index funds to mitigate risks of concentration within the market sectors. In recent years, the Company’s investment policy has shifted toward a closer matching of the interest-rate sensitivity of the plan assets and liabilities. The appropriate mix of equity and bond investments is determined primarily through the use of detailed asset-liability modeling studies that look to balance the impact of changes in the discount rate against the need to provide asset growth to cover future service cost. The Company, through its wholly owned subsidiary, Allegro MicroSystems, LLC’s (“AML”), non-U.S. defined benefit plan, has added a greater proportion of fixed income securities with return characteristics that are more closely aligned with changes in liabilities caused by discount rate volatility. There are no significant restrictions on the amount or nature of the investments that may be acquired or held by the plans. During the three- and nine-month periods ended December 24, 2021, the Company contributed a pproximately $344 and $1,040 to its non-U.S. pension plan, respectively. During the three- and nine-month periods ended December 25, 2020, the Company contributed approximately $249 and $736 to its non-U.S. pension plan, respectively. The Company expects to contribute approx imately $1,425 to it s non-U.S. pension plan in fiscal year 2022. Other Defined Benefit Plans In December 1993, the Company commenced with a rollover pension promise agreement (“Pension Promise”) to offer a then European employee an insured annuity upon their retirement at age 65. The employee was the only eligible participant of the Pension Promise. The impact associated with the expense and related other income with the Pension Promise was insignificant in fiscal years 2021 and 2020, respectively. The total values of the Pension Promise in the amounts of 663 and 928 British Pounds Sterling at December 24, 2021 and March 26, 2021, respectively (approximately $882 and $1,272 at December 24, 2021 and March 26, 2021, respectively), were classified with other in other assets, net and accrued retirement in other long-term liabilities in the Company’s unaudited consolidated balance sheets. Defined Contribution Plan The Company has a 401(k) plan that covers all employees meeting certain service and age requirements. Employees are eligible to participate in the plan upon hire when the service and age requirements are met. Employees may contribute up to 35% of their compensation, subject to the maximum contribution allowed by the Internal Revenue Service. All employees are 100% vested in their contributions at the time of plan entry. Eligible AML U.S. employees may contribute up to 50% of their pretax compensation to a defined contribution plan, subject to certain limitations, and AML may match, at its discretion, 100% of the participants’ pretax contributions, up to a maximum of 5% of their eligible compensation. Matching contributions by AML totaled approximatel y $655 and $3,000 f or the three- and nine-month periods ended December 24, 2021, respectively, and approximatel y $1,112 and $3,181 for the three- and nine-month periods ended December 25, 2020, respectively. The Company, through its AML subsidiary, Allegro MicroSystems Europe, Ltd. (“Allegro Europe”), also has a defined contribution plan (the “AME Plan”) covering substantially all employees of Allegro Europe. Contributions to the AME Plan by the Company totaled approximate ly $209 and $639 for the three- and nine-month periods ended December 24, 2021, respectively, and approximately $207 and $592 for the three- and nine-month periods ended December 25, 2020, respectively. |
Commitment and Contingencies
Commitment and Contingencies | 9 Months Ended |
Dec. 24, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Insurance The Company, through its subsidiaries, utilizes self-insured employee health programs for employees in the United States. The Company records estimated liabilities for its self-insured health programs based on information provided by the third-party plan administrators, historical claims experience and expected costs of claims incurred but not reported. The Company monitors its estimated liabilities on a quarterly basis. As facts change, it may become necessary to make adjustments that could be material to the Company’s unaudited consolidated financial position and results of operations. The accrued liability related to self-insurance wa s $863 and $1,518 as of December 24, 2021 and March 26, 2021, respectively, and was included in accrued expenses and other current liabilities in the Company’s unaudited consolidated balance sheets. Legal proceedings The Company is subject to various legal proceedings and claims, the outcomes of which are subject to significant uncertainty. The Company does not believe there are any such matters that could have a material adverse effect on the Company’s financial position, results of operations or cash flows. The Company records an accrual for legal contingencies when it is determined that it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. In making such determinations, the Company evaluates, among other things, the degree of probability of an unfavorable outcome and, when it is probable that a liability has been incurred, and the ability to make a reasonable estimate of the loss. If the occurrence of liability is probable, the Company will disclose the nature of the contingency, and if estimable, will provide the likely amount of such loss or range of loss. Indemnification From time to time, the Company has agreed to indemnify and hold harmless certain customers for potential allegations of infringement of intellectual property rights and patents arising from the use of its products. To date, the Company has not incurred any costs in connection with such indemnification arrangements; therefore, there was no accrual of such amounts at December 24, 2021 or March 26, 2021. Environmental Matters The Company establishes accrued liabilities for environmental matters when it is probable that a liability has been incurred and the amount of the liability can be reasonably estimated. If the contingency is resolved for an amount greater or less than the accrual, or the Company’s share of the contingency increases or decreases or other assumptions relevant to the development of the estimate were to change, the Company would recognize an additional expense or benefit in the unaudited consolidated statements of operations during the period such determination was made. No significant environmental accruals were established at December 24, 2021 and March 26, 2021. |
Net Income per Share
Net Income per Share | 9 Months Ended |
Dec. 24, 2021 | |
Earnings Per Share [Abstract] | |
Net Income per Share | Net Income per Share In connection with completion of the Company’s IPO on November 2, 2020 and immediately following the pricing of the IPO, all outstanding shares of Class A common stock and Class L common stock were automatically converted into an aggregate of 166,500,000 shares of common stock (the “Common Stock Conversion”). Outstanding shares of Class A and Class L common stock were converted to common stock in the Common Stock Conversion at conversion rates of approximately 15.822 and 13.010 shares of common stock to each share of Class A and Class L common stock, respectively. As part of the Common Stock Conversion, 2,066,508 and 1,766 shares of common stock were returned to the Company for tax payments made on behalf of holders of Class A common stock and Class L common stock, respectively, in withhold to cover tax transactions. Prior to the Company’s IPO, shares of Class A common stock were entitled to a priority dividend of 8%. After Class A shareholders received an annualized return on capital of 8%, distributions of the remaining value were split between Class A and Class L shareholders based on the achievement of certain return targets. In determining income to the Class A stockholders for computing basic and diluted earnings per share for the three- and nine-month periods ended December 25, 2020, the Company did not allocate income to the shares of Class L common stock in accordance with ASC 260, because such classes of shares would not have shared in the distribution had all of the income for the periods been distributed. Accordingly, earnings per share calculations were provided only for the Class A shares with a weighted average of 124,363,078 shares for the three-month period ended December 25, 2020. The following table sets forth the basic and diluted net income attributable to Allegro MicroSystems, Inc. per share. The number of shares of common stock reflected in the calculation is the total shares of common stock (vested and unvested) held on the IPO date, after the Common Stock Conversion. Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Net income attributable to Allegro MicroSystems, Inc. $ 32,936 $ (5,095) $ 93,791 $ 9,309 Net income attributable to common stockholders 32,973 (5,060) 93,903 9,412 Basic weighted average shares of common stock 189,736,901 124,363,078 189,665,324 48,121,026 Dilutive effect of common stock equivalents 2,331,321 — 2,013,627 123,517,761 Diluted weighted average shares of common stock 192,068,222 124,363,078 191,678,951 171,638,787 Basic net income attributable to Allegro MicroSystems, Inc. per share $ 0.17 $ (0.04) $ 0.49 $ 0.19 Basic net income attributable to common stockholders per share $ 0.17 $ (0.04) $ 0.50 $ 0.20 Diluted net income attributable to Allegro MicroSystems, Inc. per share $ 0.17 $ (0.04) $ 0.49 $ 0.05 Diluted net income attributable to common stockholders per share $ 0.17 $ (0.04) $ 0.49 $ 0.05 The computed net income per share for the three- and nine-month periods ended December 24, 2021 and December 25, 2020 does not assume conversion of securities that would have an antidilutive effect on income per share. As the Company was in a net loss position for the three-month period ended December 25, 2020, common stock equivalents of 57,553,282 were deemed antidilutive. The following table represents issuable weighted average share information for the respective periods: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Restricted stock units 1,199,816 377,767 1,046,229 125,922 Performance stock units 1,117,532 422,768 959,084 140,923 Employee stock purchase plan 13,973 — 8,314 — Shares related to Common Stock Conversion — 56,752,747 — 123,250,916 Total 2,331,321 57,553,282 2,013,627 123,517,761 |
Common Stock and Stock-Based Co
Common Stock and Stock-Based Compensation | 9 Months Ended |
Dec. 24, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Common Stock and Stock-Based Compensation | Common Stock and Stock-Based Compensation The Company accounts for stock-based compensation through the measurement and recognition of compensation expense for share-based payment awards made to employees over the related requisite service period, including stock options, performance share units (“PSUs”), restricted share units (“RSUs”) and restricted shares (all part of our equity incentive plan). During the nine months ended December 24, 2021, the Company granted 1,030,887 RSUs to employees with an estimated grant date fair value of $25.47. Stock-based compensation expense related to non-vested awards not yet recorded at December 24, 2021 was $25,133, which is expected to be recognized over a weighted-average of 1.34 years. During the nine months ended December 24, 2021, 168,717 shares vested. PSUs are included at 100% - 200% of target goals. The intrinsic value of the PSU’s that were unvested during the nine months ended December 24, 2021 was $36,708. The total compensation cost related to unvested awards not yet recorded at December 24, 2021 was $13,765, which is expected to be recognized over a weighted average of 1.78 years. No shares vested during the nine months ended December 24, 2021. During the nine months ended December 24, 2021, 227,530 shares of the Company’s restricted common stock vested. In addition, 24,014 shares were forfeited, which reduced common stock outstanding during the same period. The Company had 154,783 unvested shares of restricted common stock at December 24, 2021 with a weighted average grant date fair value of $14.00 and remaining vesting period of 1.07 years. The Company recorded stock-based compensation expense in the following expense categories of its unaudited consolidated statements of operations: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Cost of sales $ 742 $ 4,694 $ 1,992 $ 4,844 Research and development 1,019 2,984 2,814 3,037 Selling, general and administrative 5,859 38,198 13,841 39,020 Total stock-based compensation $ 7,620 $ 45,876 $ 18,647 $ 46,901 |
Income Taxes
Income Taxes | 9 Months Ended |
Dec. 24, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company recorded the following tax (benefit) provision in its unaudited consolidated statements of operations: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Operating taxes $ 6,517 $ (12,169) $ 17,785 $ (9,764) Discrete tax items (236) (18,354) (1,098) (18,149) Provision (benefit) for income taxes $ 6,281 $ (30,523) $ 16,687 $ (27,913) Annual operating tax rate 16.6 % 34.2 % 16.1 % 52.8 % Effective tax rate 16.0 % 85.8 % 15.1 % 150.9 % The Company’s provision (benefit) for income taxes is comprised of the year-to-date taxes based on an estimate of the annual effective tax rate plus the tax impact of discrete items. The Company is subject to tax in the U.S. and various foreign jurisdictions. The Company’s effective tax rate can fluctuate primarily based on: the mix of its U.S. and foreign income; the impact of discrete transactions; and the difference between the amount of tax benefit generated by the foreign derived intangible income deduction (“FDII”) and research credits offset by the additional tax from the global intangible low-tax income (“GILTI”). The Company regularly assesses the likelihood of outcomes that could result from the examination of its tax returns by the IRS and other tax authorities to determine the adequacy of its income tax reserves and expense. Should actual events or results differ from the Company’s then-current expectations, charges or credits to the Company’s provision for income taxes may become necessary. Any such adjustments could have a significant effect on the results of operations. Income tax expense and the effective income tax rate were $6,281, or 16.0%, and $16,687, or 15.1%, for the three- and nine-month periods ended December 24, 2021, respectively. Income tax benefit and the effective income tax rate were $30,523, or 85.8%, and $27,913, or 150.9%, for the three- and nine-month periods ended December 25, 2020, re spectively. The increase in income tax expense was primarily attributable to tax impacts of the IPO transaction recorded in the prior three- and nine-month period. The IPO transaction resulted in excess tax over financial reporting deductions related to a $40,440 stock-based compensation charge (and the related incremental tax deductions), a $16,000 one-time dividend treated as compensation expense for tax purposes, as well as a tax loss on the divestiture of Polar Semiconductor, LLC (“PSL”). The tax impacts of these transactions and other discrete transactions caused an overall U.S. NOL that will be carried back five years. Additional fluctuations in our effective income tax rate relate primarily to differences in our U.S. taxable income, estimated FDII benefits, GILTI income, research credits, non-deductible stock-based compensation charges, and discrete tax items. |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Dec. 24, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Transactions involving Sanken The Company sells products and services to, and purchases in-process products from, Sanken. In addition, prior to March 28, 2020, the Company also sold products for Sanken. Net sales of the Company’s products and services to Sanken t otaled $39,461 and $112,079 during the three- and nine-month periods ended December 24, 2021, respectively, and $26,439 and $72,570 during the three- and nine-month periods ended December 25, 2020, respectively. Trade accounts receivables, net of allowances from Sanken, totaled $28,251 and $21,595 as of December 24, 2021 and March 26, 2021, respectively. Other accounts receivable from Sanken totaled $54 a nd $198 as of December 24, 2021 and March 26, 2021, respectively. Transactions involving PSL In May 2009, the Company entered into a technology development agreement (the “IC Technology Development Agreement”) with Polar Semiconductor, Inc. (“PSI”) (subsequently changed to Polar Semiconductor, LLC), and Sanken, pursuant to which the parties agreed upon the general terms under which they may, from time to time, undertake certain activities (the “IC Process Development Activities”) to develop new technologies to be used by PSI to manufacture products for the Company and Sanken, as well as the ownership and use of such technologies following their development. The IC Technology Development Agreement provides that the expenses for all IC Process Development Activities will be shared equally by the Company and Sanken on an annual basis (subject to any exceptions upon which the parties may agree from time to time), with such expenses being paid to PSL by Sanken in the form of an up-front annual fee, with PSL being responsible for any expenses that exceed the amount of such fee. The IC Technology Development Agreement will continue in effect until such time as the Company, PSL and Sanken mutually agree to its termination or adopt a successor agreement, or in the event that the companies fail to agree upon the annual fee for that fiscal year within three months after the commencement of such fiscal year. During the three- and nine-month periods ended December 24, 2021, the Company (through PSL) received no fees from Sanken pursuant to the IC Technology Development Agreement, and, during the same periods, the Company paid no fees to PSL pursuant to the IC Technology Development Agreement. There are also no expected payments to be made during the remainder of fiscal year 2022. During the three- and nine-month periods ended December 25, 2020, the Company (through PSL) received fees of $300 and $900, respectively, from Sanken pursuant to the IC Technology Development Agreement, and, during the same periods, the Company paid fees of $300 and $900 to PSL pursuant to the IC Technology Development Agreement. In April 2015, PSL and Sanken entered into a discrete technology development agreement (as amended, the “Discrete Technology Development Agreement”), pursuant to which the parties agreed upon the general terms under which they, from time to time, would undertake certain activities (the “Discrete Development Activities”) to develop new technologies to be used by PSL to manufacture products for Sanken, as well as the ownership and use of such technologies following their development. In June 2018, the Company, PSL and Sanken entered into an amendment to the Discrete Technology Development Agreement pursuant to which the parties agreed to the assignment of all rights and obligations of PSL under such agreement to the Company and to certain amendments to the terms of such agreement. The Discrete Technology Development Agreement provided that the expenses for all Discrete Development Activities were to be shared equally by the Company and Sanken on an annual basis (subject to any exceptions upon which the parties agreed to from time to time). As of March 26, 2021, the Company had accrued $614 included in amounts due to a related party under the Discrete Technology Development Agreement, which was paid in the first quarter of fiscal year 2022. The Discrete Technology Development Agreement terminated on March 31, 2021 in accordance with its terms. On March 28, 2020, the Company entered into an agreement to divest a majority of its ownership interest in PSL to Sanken, in order to better align with its fabless, asset-lite scalable manufacturing strategy (the “PSL Divestiture”). In addition, this also resulted in PSL taking over the distribution of Sanken products in the U.S. and Europe at the same time. The Company continues to purchase in-process products from PSL. Purchases of various products from PSL totale d $11,837 and $38,346 for the three- and nine-month periods ended December 24, 2021, respectively, and $11,558 and $33,448 for the three- and nine-month periods ended December 25, 2020, respectively. For the three- and nine-month periods ended December 25, 2020, these amounts include $1,500 and $5,000, respectively, of price support payments. The price support payments were for fiscal year 2021 only. Accounts payable to PSL included in amounts due to a related party totaled $4,051 and $1,739 as of December 24, 2021 and March 26, 2021, respectively. Note Receivable from PSL On December 2, 2021, AML entered into a loan agreement with PSL wherein PSL provided an initial promissory note to AML for a principal amount of $7,500 (“Initial PSL Loan”). The Initial PSL Loan will be repaid in equal installments, comprising of principal and interest accrued at 1.26% per annum, over a term of four years with payments due on the first day of each calendar year quarter (April 1 st , July 1 st , October 1 st , and January 1 st ). In addition, PSL has the option of borrowing up to an additional $7,500 on or around January 1, 2023 under the same terms of the PSL Loan (“Secondary PSL Loan”, and, collectively with the Initial PSL Loan, the “PSL Promissory Notes”). The loan funds will be used by PSL to procure a deep ultraviolet scanner and other associated manufacturing tools necessary to increase wafer fabrication capacity in support of the Company’s increasing wafer demand. Transactions involving Sanken Electric Europe Ltd. (“SEEL”) During fiscal year ended March 26, 2021 (and following the PSL Divestiture), Sanken, through PSL formed SEEL in order to cover its distribution business in Europe. The Company, in connection with the transition services agreement with Sanken and PSL, paid certain costs on behalf of them, and as such, had no related party accounts receivable from SEEL as of December 24, 2021. The Company had related party accounts receivable from SEEL of $1,272 as of March 26, 2021. Sublease Agreement In 2014, the Company, through one of its subsidiaries, entered into a sublease agreement with Sanken pursuant to which the subsidiary subleases from Sanken certain office building space in Japan. The sublease automatically renews on an annual basis unless either party provides notice to the other party and can otherwise be terminated by either party upon providing six months’ prior notice. The Company made aggregate payments of approxi mately $56 and $166 to Sanken under the sublease agreement during the three- and nine-month periods ended December 24, 2021, respectively, and $59 and $173 during the three- and nine-month periods ended December 25, 2020, respectively. Consulting Agreement In December 2018 and prior to Reza Kazerounian becoming a member of the Company’s board of directors, the Company entered into a board executive advisor agreement (the “Consulting Agreement”) with Mr. Kazerounian, pursuant to which the Company engaged Mr. Kazerounian to serve as executive advisor to the board of directors and the office of Chief Executive Officer. The Consulting Agreement provides for a fee payable to Mr. Kazerounian on a monthly basis in exchange for his services (which fee was reduced from $30 per month to $19 per month in connection with Mr. Kazerounian’s appointment to the board of directors in June 2018), as well as a grant of 12,000 shares of the Company’s Class L common stock and a signing bonus of $54 in connection with the execution of the Consulting Agreement. The Consulting Agreement provides that if Mr. Kazerounian’s employment is terminated by the board of directors, he will be entitled to a severance payment in the amount of $180 as well as a six-month vesting acceleration of his shares of Class L common stock. The board of directors and Mr. Kazerounian each have the right to terminate the Consulting Agreement at any time. During the three- and nine-month periods ended December 24, 2021, the Company paid aggregate fe es of $69 and $191, res pectively, to Mr. Kazerounian pursuant to the Consulting Agreement. During the three- and nine-month periods ended December 25, 2020, the Company paid aggregate fees of $82 and $262, respectively, to Mr. Kazerounian pursuant to the Consulting Agreement. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Dec. 24, 2021 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and disclosures of contingencies at the date of the unaudited consolidated financial statements and the reported amounts of net sales and expenses during the reporting period. Such estimates relate to useful lives of fixed and intangible assets, current expected credit losses/allowances for doubtful accounts and customer returns and sales allowances. Such estimates could also relate to the fair value of acquired assets and liabilities, including goodwill and intangible assets, net realizable value of inventory, accrued liabilities, the valuation of stock-based awards, deferred tax valuation allowances, and other reserves. On an ongoing basis, management evaluates its estimates. Actual results could differ from those estimates, and such differences may be material to the unaudited condensed consolidated financial statements. |
Reclassifications | Reclassifications Certain reclassifications have been made to prior-period amounts to conform to current-period reporting classifications. |
Concentrations of Credit Risk and Significant Customers | Concentrations of Credit Risk and Significant CustomersFinancial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash, cash equivalents and accounts receivable. The Company maintains its cash and cash equivalents with financial institutions that management believes to be of a high credit quality. To manage credit risk related to accounts receivables, the Company evaluates the creditworthiness of its customers and maintains allowances, to the extent necessary, for potential credit losses based upon the aging of its accounts receivable balances and known collection issues. |
Recently Adopted Accounting Standards and Recently Issued Accounting Standards Not Yet Adopted | Recently Adopted Accounting Standards The Company qualifies as an “emerging growth company” as defined in the Jumpstart Our Business Startups Act of 2012 and has elected to “opt in” to the extended transition related to complying with new or revised accounting standards, which means that when a standard is issued or revised and it has different application dates for public and nonpublic companies, the Company will adopt the new or revised standard at the time nonpublic companies adopt the new or revised standard and will do so until such time that the Company either (i) irrevocably elects to “opt out” of such extended transition period or (ii) no longer qualifies as an emerging growth company. The Company may choose to early adopt any new or revised accounting standards whenever such early adoption is permitted for nonpublic companies. In February 2016, the Financial Accounting Standards Board (“FASB”) issued its new lease accounting guidance in Accounting Standards Update (“ASU”) 2016‑02, “Leases (Topic 842)” (“ASU 2016-02”), which is codified as Accounting Standard Codification (“ASC”) Topic 842 (“ASC 842”) and replaces ASC Topic 840, Leases (“ASC 840”). ASU 2016-02 and all subsequent amendments amend various aspects of existing guidance for leases and require significant additional quantitative and qualitative disclosures about lease arrangements. ASU 2016-02 requires lessees to recognize lease assets representing the right to use an underlying asset and lease liabilities representing the obligation to make lease payments over the lease term, measured on a discounted basis, for substantially all leases. ASU 2016-02 retains a distinction between finance leases and operating leases using classification criteria that are substantially similar to the previous lease guidance. Although the Company has elected to opt-in to the extended transition dates for new or revised accounting standards to align with nonpublic companies, the Company elected to early adopt ASU 2016-02 effective March 27, 2021. The Company used the optional transition method to the modified retrospective approach, which eliminates the requirement to restate the prior period financial statements. Under this transition provision, the Company has applied ASU 2016-02 to reporting periods beginning on March 27, 2021, while prior periods continue to be reported and disclosed in accordance with the legacy guidance under ASC 840. A number of practical expedients and policy elections are available under the new guidance to reduce the burden of adoption and ongoing compliance with ASC 842. The Company elected the “package of practical expedients”, which permitted the Company to retain lease classification and initial direct costs for any identified leases that existed prior to adoption of ASC 842. Under this transition guidance, the Company also did not reassess whether any existing contracts at March 27, 2021 are, or contain, leases and carried forward its initial determination under legacy lease guidance. The Company has elected not to adopt the “hindsight” practical expedient and, therefore, will measure the right-of-use (“ROU”) asset and lease liability using the remaining portion of the lease term at adoption on March 27, 2021. The Company made an accounting policy election available under the new lease standard to not recognize lease assets and lease liabilities for leases with a term of 12 months or less. For all other leases, the initial measurement of the lease liability is based on the present value of future lease payments over the lease term at the application date or the commencement date of the lease. Lease payments may include fixed rent escalation clauses or payments that depend on an index or a rate (such as the consumer price index) measured using the index or applicable rate at lease commencement. Subsequent changes in the index or rate and any other variable payments, such as market-rate base rent adjustments, are recognized as variable lease expense in the period incurred. Payments for terminating a lease are included in lease payments only when it is probable they will be incurred. To determine the present value of lease payments, the Company uses its incremental borrowing rate, as the leases generally do not have a readily determinable implicit discount rate. The Company applies judgment in assessing factors such as Company-specific credit risk, lease term, nature and quality of the underlying collateral, currency and economic environment in determining the lease-specific incremental borrowing rate. The carrying value of the ROU assets at the application date equals the lease liability adjusted for any initial direct costs incurred and lease payments made at or before the commencement date and for any lease incentives. The Company’s leases generally include a non-lease component representing additional services transferred to the Company. The Company has made an accounting policy election to account for lease and non-lease components in its contacts as a single lease component for all asset classes. The non-lease components are usually variable in nature and recorded in variable lease expense in the period incurred. Adoption of ASC 842 resulted in ROU assets of $18,403 and lease liabilities of $18,759 related to the Company’s operating leases at March 27, 2021. The Company does not have any leases classified as finance leases. The adoption of ASC 842 did not materially impact the Company’s consolidated net income or consolidated cash flows and did not result in a cumulative-effect adjustment to the opening balance of retained earnings. In June 2016, the FASB issued ASU No. 2016-13, “Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”), which adds an impairment model (known as the current expected credit loss (“CECL”) model) that is based on expected losses rather than incurred losses. Under the new guidance, an entity recognizes as an allowance its estimate of expected credit losses, which the FASB believes will result in more timely recognition of such losses. The ASU is also intended to reduce complexity by decreasing the number of credit impairment models that entities use to account for debt instruments. The Company adopted ASU 2016-13 effective March 27, 2021 and concluded that the standard update did not have a material impact on either the financial position, results of operations, cash flows, or related disclosures. There was no impact on beginning balance retained earnings upon adoption of this ASU. The Company is exposed to credit losses primarily through trade and other financing receivables arising from revenue transactions. The Company uses an aging schedule method to estimate current expected credit losses based on days of delinquency, including information about past events and current economic conditions. The Company’s accounts receivable is separated int o two categories using a portfolio methodology to evaluate the allowance under the CECL impairment model based on sales categorization and similar credit quality and worthiness of the customers: original equipment manufacturers (“OEMs”) and distributors. The receivables in each category share similar risk characteristics. The change to the CECL impairment model resulted in an immaterial increase in the provision for expected credit losses compared to the allowance for doubtful accounts under the previous incurred loss method. The Company increases the allowance for expected credits losses when the Company determines all or a portion of a receivable is uncollectible. The Company recognizes recoveries as a decrease to the allowance for expected credit losses. For the three- and nine-month periods ended December 24, 2021, no material changes in the allowance occurred. Recently Issued Accounting Standards Not Yet Adopted In October 2021, the FASB issued ASU No. 2021-08, Business Combinations (Topic 805), Accounting for Contract Assets and Contract Liabilities from Contracts with Customers (“ASU 2021-08”), which eliminates the diversity in practice and inconsistency related to the accounting for acquired revenue contracts with customers in a business combination. The amendments in ASU 2021-08 require an acquiring entity to apply ASC Topic 606, Contracts with Customers (“ASC 606”), to recognize and measure contract assets and contract liabilities in a business combination as if the acquired contracts with customers were originated by the acquiring entity at the acquisition date. An acquirer may assess how the acquiree applied ASC 606 and generally should recognize and measure the acquired contract assets and contract liabilities consistent with the recognition and measurement in the acquiree’s financial statements as prepared in accordance with U.S. GAAP. If unable to rely on the acquiree’s accounting due to errors, noncompliance with U.S. GAAP, or differences in accounting policies, the acquirer should consider the terms of the acquired contracts, such as timing of payment, identify each performance obligation in the contracts, and allocate the total transaction price to each identified performance obligation on a relative standalone selling price basis as of contract inception (that is, the date the acquiree entered into the contracts) or contract modification to determine what should be recorded at the acquisition date. The guidance is effective prospectively for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. Early adoption is permitted, including in an interim period as of the beginning of the fiscal year that includes that interim period. An entity that early adopts in an interim period should apply the amendments (1) retrospectively to all business combinations for which the acquisition date occurs on or after the beginning of the fiscal year that includes the interim period of early application and (2) prospectively to all business combinations that occur on or after the date of initial application. The Company is currently in the process of evaluating the impact of this new guidance on the consolidated financial statements and the related disclosures, which will be dependent on the consummation of any future business combination. In May 2021, the FASB issued ASU No. 2021-04, Earnings Per Share (Topic 260), Debt—Modifications and Extinguishments (Subtopic 470-50), Compensation—Stock Compensation (Topic 718), and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40) (“ASU 2021-04”). ASU 2021-04 outlines how an entity should account for modifications made to equity-classified written call options, including stock options and warrants to purchase the entity’s own common stock. The guidance in the ASU requires an entity to treat a modification of an equity-classified written call option that does not cause the option to become liability-classified as an exchange of the original option for a new option. This guidance applies whether the modification is structured as an amendment to the terms and conditions of the equity-classified written call option or as termination of the original option and issuance of a new option. The guidance is effective prospectively for fiscal years beginning after December 15, 2021, including interim periods within those fiscal years. Early adoption is permitted, including in an interim period as of the beginning of the fiscal year that includes that interim period. The Company is currently in the process of evaluating the impact of this new guidance on the consolidated financial statements and the related disclosures. |
Revenue from Contract with Cu_2
Revenue from Contract with Customers (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Net Sales by Core End Market and Application | Net sales by application: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Automotive $ 130,797 $ 113,902 $ 390,351 $ 279,759 Industrial 31,903 23,654 98,533 65,710 Other 23,929 26,893 79,497 70,630 Total net sales $ 186,629 $ 164,449 $ 568,381 $ 416,099 |
Net Sales by Product | Net sales by product: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Power integrated circuits $ 62,859 $ 54,406 $ 195,054 $ 146,276 Magnetic sensors 123,543 109,457 371,806 268,956 Photonics 227 586 1,521 867 Total net sales $ 186,629 $ 164,449 $ 568,381 $ 416,099 |
Net Sales by Geography | Net sales by geography: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Americas: United States $ 26,228 $ 23,934 $ 80,854 $ 57,892 Other Americas 4,921 5,620 16,697 10,797 EMEA: Europe 29,891 28,239 97,108 70,459 Asia: Japan 39,461 26,439 112,079 72,570 Greater China 48,696 46,172 142,158 116,178 South Korea 19,935 17,606 61,614 43,733 Other Asia 17,497 16,439 57,871 44,470 Total net sales $ 186,629 $ 164,449 $ 568,381 $ 416,099 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value, by Balance Sheet Grouping | The following tables present information about the Company’s financial assets and liabilities as of December 24, 2021 and March 26, 2021 measured at fair value on a recurring basis and indicate the level of the fair value hierarchy utilized to determine such fair values: Fair Value Measurement at December 24, 2021 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market fund deposits $ 16,348 $ — $ — $ 16,348 Restricted cash: Money market fund deposits 7,497 — — 7,497 Other assets, net (long-term): Investments in marketable securities $ 13,393 $ — $ — $ 13,393 Total assets $ 37,238 $ — $ — $ 37,238 Liabilities: Other long-term liabilities: Contingent consideration $ — $ — $ 2,700 $ 2,700 Total liabilities $ — $ — $ 2,700 $ 2,700 Fair Value Measurement at March 26, 2021 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market fund deposits $ 16,327 $ — $ — $ 16,327 Restricted cash: Money market fund deposits 6,661 — — 6,661 Total assets $ 22,988 $ — $ — $ 22,988 Liabilities: Other long-term liabilities: Contingent consideration — — 4,800 4,800 Total liabilities $ — $ — $ 4,800 $ 4,800 |
Unrealized Gains and Losses on Marketable Securities with a Readily Determinable Fair Value | The following table represents the unrealized gains and losses on investments in marketable securities held with a readily determinable fair value for the nine-month period ended December 24, 2021: Net gains and losses recognized during the period on equity securities $ 4,482 Less: Net gains and losses recognized during the period on equity securities sold during the period — Unrealized gains and losses recognized during the reporting period on equity securities still held at the reporting date $ 4,482 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | The following table shows the change in fair value of Level 3 contingent consideration in connection with the fiscal year 2021 purchase of Voxtel, Inc. (“Voxtel”), a privately-held technology company located in Beaverton, Oregon that develops, manufactures and supplies photonic and advanced 3D imaging technologies (the “Voxtel Acquisition”), for the nine-month period ended December 24, 2021: Level 3 Balance at March 26, 2021 $ 4,800 Change in fair value of contingent consideration (2,100) Balance at December 24, 2021 $ 2,700 |
Trade Accounts Receivable, net
Trade Accounts Receivable, net (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Receivables [Abstract] | |
Schedule of Trade Accounts Receivable, Net | Trade accounts receivable, net (including related party trade accounts receivable) consisted of the following: December 24, March 26, Trade accounts receivable $ 120,500 $ 108,546 Less: Provision for expected credit losses and allowance for doubtful accounts (70) (138) Returns and sales allowances (15,944) (15,274) Related party trade accounts receivable (28,251) (23,634) Total $ 76,235 $ 69,500 |
Schedule of Changes in Allowance for Doubtful Accounts and Returns and Sales Allowances | Changes in the Company’s provision for expected credit losses / allowance for doubtful accounts and returns and sales allowances were as follows: Description Provision for Expected Credit Losses / Allowance for Returns Total Balance at March 26, 2021 $ 138 $ 15,274 $ 15,412 Charged to costs and expenses or revenue (68) 114,047 113,979 Write-offs, net of recoveries — (113,377) (113,377) Balance at December 24, 2021 $ 70 $ 15,944 $ 16,014 Description Allowance for Returns Total Balance at March 27, 2020 $ 288 $ 17,185 $ 17,473 Charged to costs and expenses or revenue (150) 103,660 103,510 Write-offs, net of recoveries — (104,408) (104,408) Balance at December 25, 2020 $ 138 $ 16,437 $ 16,575 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories include material, labor and overhead and consisted of the following: December 24, March 26, Raw materials and supplies $ 11,751 $ 9,629 Work in process 45,089 50,095 Finished goods 22,018 27,774 Total $ 78,858 $ 87,498 |
Property, Plant and Equipment_2
Property, Plant and Equipment, net (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant, and Equipment | Property, plant and equipment, net is stated at cost, and consisted of the following: December 24, March 26, Land $ 16,257 $ 16,602 Buildings, building improvements and leasehold improvements 57,282 56,911 Machinery and equipment 528,786 491,025 Office equipment 6,252 6,281 Construction in progress 27,971 29,201 Total 636,548 600,020 Less accumulated depreciation (428,843) (407,627) Total $ 207,705 $ 192,393 |
Schedule of Long-lived Assets | The geographic locations of the Company’s long-lived assets, net, based on physical location of the assets, as of December 24, 2021 and March 26, 2021 are as follows: December 24, March 26, United States $ 34,793 $ 36,529 Philippines 166,087 148,374 Thailand — 1,698 Other 7,328 7,190 Total $ 208,208 $ 193,791 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Changes in Carrying Amount of Goodwill | The table below summarizes the changes in the carrying amount of goodwill as follows: Total Balance at March 26, 2021 $ 20,106 Currency translation (63) Balance at December 24, 2021 $ 20,043 |
Schedule of Intangible Assets, Net | Intangible assets, net is as follows: December 24, 2021 Description Gross Accumulated Net Carrying Weighted- Average Lives Patents $ 35,558 $ 14,580 $ 20,978 10 years Customer relationships 6,899 6,640 259 9 years Process technology 13,100 1,470 11,630 12 years Indefinite-lived and legacy process technology 4,050 1,650 2,400 Trademarks 200 54 146 5 years Legacy trademarks 629 57 572 Other 32 32 — Total $ 60,468 $ 24,483 $ 35,985 March 26, 2021 Description Gross Accumulated Net Carrying Weighted- Average Lives Patents $ 32,751 $ 12,307 $ 20,444 10 years Customer relationships 6,193 5,865 328 9 years Process technology 13,100 651 12,449 12 years Indefinite-lived and legacy process technology 4,050 1,650 2,400 Trademarks 200 24 176 5 years Legacy trademarks 627 58 569 Other 32 32 — Total $ 56,953 $ 20,587 $ 36,366 |
Schedule of Annual Amortization Expense | As of December 24, 2021, annual amortization expense of intangible assets for the next five fiscal years is expected to be as follows: Remainder of 2022 $ 935 2023 3,612 2024 3,480 2025 3,260 2026 3,032 Thereafter 21,666 Total $ 35,985 |
Other Assets, net (Tables)
Other Assets, net (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Assets, Net | The composition of other assets, net is as follows: December 24, March 26, VAT receivables long-term, net $ 10,659 $ 8,177 Income taxes receivable long-term 11,462 — Investments in marketable securities (1) 13,393 — Deposits 9,680 3,573 Prepaid contracts long-term 1,466 1,295 Deferred financing costs 74 149 Other 1,344 1,419 Total $ 48,078 $ 14,613 (1) Represents equity investments in an entity whose equity securities have a readily determinable fair value. These strategic investments represent less than a 20% ownership interest in the entity, and the Company does not maintain power over or control of the entity. These investments are measured at fair value with unrealized gains and losses related to changes in the entity’s stock price and the impact of changes in foreign exchange rates each included in the consolidated statements of operations. |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | The composition of accrued expenses and other current liabilities is as follows: December 24, March 26, Accrued management incentives $ 24,927 $ 21,538 Accrued salaries and wages 16,639 15,060 Base acquisition purchase price due 2,000 14,588 Deposits on AMTC Facility — 14,531 Accrued vacation 5,423 5,739 Accrued severance 709 572 Accrued professional fees 1,949 2,029 Accrued income taxes 2,096 514 Accrued utilities 604 623 Other current liabilities 4,915 3,738 Total $ 59,262 $ 78,932 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Leases [Abstract] | |
Schedule of Lease Costs and Other Information | Operating lease cost is recognized on a straight-line basis over the lease term. Information regarding the Company’s leases are as follows: Three-Month Period Ended Nine-Month Period Ended December 24, 2021 December 24, 2021 Lease costs: Operating lease expense $ 1,075 $ 3,378 Short term lease expense 190 332 Other information: Operating cash flows from operating leases $ 1,259 $ 3,733 Weighted-average remaining lease term – operating leases 5.53 years 5.53 years Weighted-average discount rate – operating leases 4.5 % 4.5 % |
Schedule of Lease Liability Maturity | As of December 24, 2021, expirations of lease obligations by fiscal year were as follows: Remainder of 2022 $ 1,056 2023 3,886 2024 3,503 2025 3,070 2026 2,597 Thereafter 4,406 Total undiscounted lease payments $ 18,518 Less: present value adjustment (2,272) Total operating lease liabilities $ 16,246 |
Schedule of Future Minimum Rental Payments | Future minimum lease payments for noncancellable operating leases as reported under the previous lease guidance as of March 26, 2021 are as follows: 2022 $ 2,887 2023 2,726 2024 2,644 2025 2,172 2026 1,773 Thereafter 3,713 Total $ 15,915 |
Other Long-Term Liabilities (Ta
Other Long-Term Liabilities (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Long-Term Liabilities | The composition of other long-term liabilities is as follows: December 24, March 26, Accrued management incentives $ 734 $ 628 Accrued retirement 10,655 10,656 Accrued contingent consideration 2,700 4,800 Provision for uncertain tax positions (net) 2,741 2,774 Other — 275 Total $ 16,830 $ 19,133 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Retirement Benefits [Abstract] | |
Schedule of Expense Related to Defined Benefit Plan | Expense related to the non-United States (“U.S.”). defined benefit plan was as follows: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Service cost $ 365 $ 296 $ 1,119 $ 843 Interest cost 158 166 485 474 Expected return on plan assets (75) (79) (230) (231) Amortization of prior service cost 1 2 1 6 Actuarial loss 51 47 156 126 Net periodic pension expense $ 500 $ 432 $ 1,531 $ 1,218 |
Fair Value of Entity's Plan Assets | The table below sets forth the fair value of the entity’s plan assets as of December 24, 2021 and March 26, 2021, using the same three-level hierarchy of fair value inputs described in the significant accounting policies included in the Company’s 2021 Annual Report. Fair Value at December 24, Level 1 Level 2 Level 3 Assets of non-U.S. defined benefit plan: Government securities $ 2,005 $ 2,005 $ — $ — Unit investment trust fund 1,217 — 1,217 — Loans 578 — — 578 Bonds 706 — 706 — Stocks and other investments 2,338 1,224 2 1,112 Total $ 6,844 $ 3,229 $ 1,925 $ 1,690 Fair Value at March 26, Level 1 Level 2 Level 3 Assets of non-U.S. defined benefit plan: Government securities $ 1,646 $ 1,646 $ — $ — Unit investment trust fund 1,221 — 1,221 — Loans 584 — — 584 Bonds 1,112 — 1,112 — Stocks and other investments 3,081 1,947 1 1,133 Total $ 7,644 $ 3,593 $ 2,334 $ 1,717 |
Schedule of Changes in Fair Value of Level 3 Plan Assets | The following table shows the change in fair value of Level 3 plan assets for the nine months ended December 24, 2021: Level 3 Non-U.S. Defined Plan Assets Loans Stocks Balance at March 26, 2021 $ 584 $ 1,133 Additions during the year 308 — Redemptions during the year (289) — Revaluation of equity securities (5) 13 Change in foreign currency exchange rates (20) (34) Balance at December 24, 2021 $ 578 $ 1,112 |
Net Income per Share (Tables)
Net Income per Share (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Net Income per Share | The following table sets forth the basic and diluted net income attributable to Allegro MicroSystems, Inc. per share. The number of shares of common stock reflected in the calculation is the total shares of common stock (vested and unvested) held on the IPO date, after the Common Stock Conversion. Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Net income attributable to Allegro MicroSystems, Inc. $ 32,936 $ (5,095) $ 93,791 $ 9,309 Net income attributable to common stockholders 32,973 (5,060) 93,903 9,412 Basic weighted average shares of common stock 189,736,901 124,363,078 189,665,324 48,121,026 Dilutive effect of common stock equivalents 2,331,321 — 2,013,627 123,517,761 Diluted weighted average shares of common stock 192,068,222 124,363,078 191,678,951 171,638,787 Basic net income attributable to Allegro MicroSystems, Inc. per share $ 0.17 $ (0.04) $ 0.49 $ 0.19 Basic net income attributable to common stockholders per share $ 0.17 $ (0.04) $ 0.50 $ 0.20 Diluted net income attributable to Allegro MicroSystems, Inc. per share $ 0.17 $ (0.04) $ 0.49 $ 0.05 Diluted net income attributable to common stockholders per share $ 0.17 $ (0.04) $ 0.49 $ 0.05 |
Schedule of Issuable Weighted Average Share Information | The following table represents issuable weighted average share information for the respective periods: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Restricted stock units 1,199,816 377,767 1,046,229 125,922 Performance stock units 1,117,532 422,768 959,084 140,923 Employee stock purchase plan 13,973 — 8,314 — Shares related to Common Stock Conversion — 56,752,747 — 123,250,916 Total 2,331,321 57,553,282 2,013,627 123,517,761 |
Common Stock and Stock-Based _2
Common Stock and Stock-Based Compensation (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Stock-Based Compensation Expense | The Company recorded stock-based compensation expense in the following expense categories of its unaudited consolidated statements of operations: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Cost of sales $ 742 $ 4,694 $ 1,992 $ 4,844 Research and development 1,019 2,984 2,814 3,037 Selling, general and administrative 5,859 38,198 13,841 39,020 Total stock-based compensation $ 7,620 $ 45,876 $ 18,647 $ 46,901 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Dec. 24, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Tax (Benefit) Provision | The Company recorded the following tax (benefit) provision in its unaudited consolidated statements of operations: Three-Month Period Ended Nine-Month Period Ended December 24, December 25, December 24, December 25, Operating taxes $ 6,517 $ (12,169) $ 17,785 $ (9,764) Discrete tax items (236) (18,354) (1,098) (18,149) Provision (benefit) for income taxes $ 6,281 $ (30,523) $ 16,687 $ (27,913) Annual operating tax rate 16.6 % 34.2 % 16.1 % 52.8 % Effective tax rate 16.0 % 85.8 % 15.1 % 150.9 % |
Nature of the Business and Ba_2
Nature of the Business and Basis of Presentation (Details) | Dec. 24, 2021continentlocation |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of locations | location | 16 |
Number of continents on which entity operates | continent | 4 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | Mar. 26, 2021 | Mar. 27, 2021 | |
Concentration Risk [Line Items] | ||||||
Operating lease right-of-use assets | $ 15,922 | $ 15,922 | $ 0 | |||
Total operating lease liabilities | $ 16,246 | $ 16,246 | ||||
Accounting Standards Update 2016-02 | ||||||
Concentration Risk [Line Items] | ||||||
Operating lease right-of-use assets | $ 18,403 | |||||
Total operating lease liabilities | $ 18,759 | |||||
Revenue Benchmark | Geographic Concentration Risk | Non-US | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 85.90% | 85.40% | 85.80% | 86.10% | ||
Revenue Benchmark | Geographic Concentration Risk | Greater China | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 26.10% | 28.10% | 25.00% | 27.90% | ||
Revenue Benchmark | Geographic Concentration Risk | Japan | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 21.10% | 16.00% | 19.70% | 17.40% | ||
Revenue Benchmark | Geographic Concentration Risk | South Korea | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 10.70% | 10.70% | 10.80% | 10.50% | ||
Sanken | Trade Accounts Receivable | Customer Concentration Risk | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 27.00% | 22.70% | ||||
Sanken | Revenue Benchmark | Customer Concentration Risk | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 21.10% | 16.10% | 19.70% | 17.40% |
Revenue from Contract with Cu_3
Revenue from Contract with Customers - Net Sales by Application (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Total net sales | $ 186,629 | $ 164,449 | $ 568,381 | $ 416,099 |
Automotive | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 130,797 | 113,902 | 390,351 | 279,759 |
Industrial | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 31,903 | 23,654 | 98,533 | 65,710 |
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | $ 23,929 | $ 26,893 | $ 79,497 | $ 70,630 |
Revenue from Contract with Cu_4
Revenue from Contract with Customers - Net Sales by Product (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Total net sales | $ 186,629 | $ 164,449 | $ 568,381 | $ 416,099 |
Power integrated circuits | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 62,859 | 54,406 | 195,054 | 146,276 |
Magnetic sensors | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 123,543 | 109,457 | 371,806 | 268,956 |
Photonics | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | $ 227 | $ 586 | $ 1,521 | $ 867 |
Revenue from Contract with Cu_5
Revenue from Contract with Customers - Net Sales by Geography (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Total net sales | $ 186,629 | $ 164,449 | $ 568,381 | $ 416,099 |
United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 26,228 | 23,934 | 80,854 | 57,892 |
Other Americas | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 4,921 | 5,620 | 16,697 | 10,797 |
Europe | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 29,891 | 28,239 | 97,108 | 70,459 |
Japan | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 39,461 | 26,439 | 112,079 | 72,570 |
Greater China | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 48,696 | 46,172 | 142,158 | 116,178 |
South Korea | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | 19,935 | 17,606 | 61,614 | 43,733 |
Other Asia | ||||
Disaggregation of Revenue [Line Items] | ||||
Total net sales | $ 17,497 | $ 16,439 | $ 57,871 | $ 44,470 |
Revenue from Contract with Cu_6
Revenue from Contract with Customers - Additional Information (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Mar. 26, 2021 | |
Revenue from Contract with Customer [Abstract] | |||
Trade accounts receivable, returns, credits issued, and price protection adjustments, current | $ 16,014 | $ 15,412 | |
Trade accounts receivable, returns, credits issued, and price protection adjustments expense (credit) | $ 602 | $ (898) |
Fair Value Measurements - Asset
Fair Value Measurements - Assets And Liabilities Measured At Fair Value (Details) - Fair Value, Recurring - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Assets: | ||
Total assets | $ 37,238 | $ 22,988 |
Liabilities: | ||
Contingent consideration | 2,700 | 4,800 |
Total liabilities | 2,700 | 4,800 |
Level 1 | ||
Assets: | ||
Total assets | 37,238 | 22,988 |
Liabilities: | ||
Contingent consideration | 0 | 0 |
Total liabilities | 0 | 0 |
Level 2 | ||
Assets: | ||
Total assets | 0 | 0 |
Liabilities: | ||
Contingent consideration | 0 | 0 |
Total liabilities | 0 | 0 |
Level 3 | ||
Assets: | ||
Total assets | 0 | 0 |
Liabilities: | ||
Contingent consideration | 2,700 | 4,800 |
Total liabilities | 2,700 | 4,800 |
Money market fund deposits | ||
Assets: | ||
Cash and cash equivalents | 16,348 | 16,327 |
Restricted cash | 7,497 | 6,661 |
Investments in marketable securities | 13,393 | |
Money market fund deposits | Level 1 | ||
Assets: | ||
Cash and cash equivalents | 16,348 | 16,327 |
Restricted cash | 7,497 | 6,661 |
Investments in marketable securities | 13,393 | |
Money market fund deposits | Level 2 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash | 0 | 0 |
Investments in marketable securities | 0 | |
Money market fund deposits | Level 3 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash | 0 | $ 0 |
Investments in marketable securities | $ 0 |
Fair Value Measurements - Unrea
Fair Value Measurements - Unrealized Gains and Losses on Marketable Securities with a Readily Determinable Fair Value (Details) $ in Thousands | 9 Months Ended |
Dec. 24, 2021USD ($) | |
Fair Value Disclosures [Abstract] | |
Net gains and losses recognized during the period on equity securities | $ 4,482 |
Less: Net gains and losses recognized during the period on equity securities sold during the period | 0 |
Unrealized gains and losses recognized during the reporting period on equity securities still held at the reporting date | $ 4,482 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) $ in Thousands | 9 Months Ended |
Dec. 24, 2021USD ($) | |
Fair Value Disclosures [Abstract] | |
Unrealized foreign currency exchange losses on equity securities | $ 278 |
Fair Value Measurements - Chang
Fair Value Measurements - Change in Fair Value of Level 3 Contingent Consideration (Details) - Fair Value, Recurring - Level 3 - Contingent Consideration Liability $ in Thousands | 9 Months Ended |
Dec. 24, 2021USD ($) | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning balance | $ 4,800 |
Change in fair value of contingent consideration | (2,100) |
Ending balance | $ 2,700 |
Trade Accounts Receivable, ne_2
Trade Accounts Receivable, net - Summary of Trade Accounts Receivable, net (Details) - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 | Dec. 25, 2020 | Mar. 27, 2020 |
Receivables [Abstract] | ||||
Trade accounts receivable | $ 120,500 | $ 108,546 | ||
Less: | ||||
Provision for expected credit losses and allowance for doubtful accounts | (70) | (138) | $ (138) | $ (288) |
Returns and sales allowances | (15,944) | (15,274) | $ (16,437) | $ (17,185) |
Related party trade accounts receivable | (28,251) | (23,634) | ||
Trade accounts receivable, net | $ 76,235 | $ 69,500 |
Trade Accounts Receivable, ne_3
Trade Accounts Receivable, net - Schedule of Changes in Allowance For Doubtful Accounts and Sales Returns and Sales Allowances (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Dec. 24, 2021 | Dec. 25, 2020 | |
Provision for Expected Credit Losses / Allowance for Doubtful Accounts | ||
Balance at the beginning of the period | $ 138 | $ 288 |
Charged to costs and expenses or revenue | (68) | (150) |
Write-offs, net of recoveries | 0 | 0 |
Balance at the end of the period | 70 | 138 |
Returns and Sales Allowances | ||
Balance at the beginning of the period | 15,274 | 17,185 |
Charged to costs and expenses or revenue | 114,047 | 103,660 |
Write-offs, net of recoveries | (113,377) | (104,408) |
Balance at the end of the period | 15,944 | 16,437 |
Total | ||
Balance at the beginning of the period | 15,412 | 17,473 |
Charged to costs and expenses or revenue | 113,979 | 103,510 |
Write-offs, net of recoveries | (113,377) | (104,408) |
Balance at the end of the period | $ 16,014 | $ 16,575 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Details) - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Inventory Disclosure [Abstract] | ||
Raw materials and supplies | $ 11,751 | $ 9,629 |
Work in process | 45,089 | 50,095 |
Finished goods | 22,018 | 27,774 |
Total | $ 78,858 | $ 87,498 |
Inventories - Narrative (Detail
Inventories - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Inventory Disclosure [Abstract] | ||||
Recorded inventory provisions | $ 348 | $ 885 | $ 5,389 | $ 2,958 |
Disposal Group, Not Discontinued Operations | Voxtel Product Line | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Recorded inventory provisions | $ 0 | $ 3,106 |
Assets Held for Sale (Details)
Assets Held for Sale (Details) - Disposal Group, Held-for-sale, Not Discontinued Operations - AMTC Facility $ in Thousands | Aug. 03, 2021USD ($) |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Proceeds from divestiture of businesses | $ 27,405 |
Gain on final disposition | $ 370 |
Property, Plant and Equipment_3
Property, Plant and Equipment, net - Schedule of Property, Plant, and Equipment (Details) - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Property, Plant and Equipment [Line Items] | ||
Total | $ 636,548 | $ 600,020 |
Less accumulated depreciation | (428,843) | (407,627) |
Total | 207,705 | 192,393 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Total | 16,257 | 16,602 |
Buildings, building improvements and leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total | 57,282 | 56,911 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total | 528,786 | 491,025 |
Office equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total | 6,252 | 6,281 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Total | $ 27,971 | $ 29,201 |
Property, Plant and Equipment_4
Property, Plant and Equipment, net - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 10,893 | $ 11,255 | $ 33,235 | $ 33,861 |
Prepaid tooling costs | ||||
Property, Plant and Equipment [Line Items] | ||||
Amortization expense | $ 31 | $ 18 | $ 97 | $ 54 |
Property, Plant and Equipment_5
Property, Plant and Equipment, net - Schedule of Long Lived Assets (Details) - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total | $ 208,208 | $ 193,791 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total | 34,793 | 36,529 |
Philippines | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total | 166,087 | 148,374 |
Thailand | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total | 0 | 1,698 |
Other | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total | $ 7,328 | $ 7,190 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Summary of Changes in Carrying Amount of Goodwill (Details) $ in Thousands | 9 Months Ended |
Dec. 24, 2021USD ($) | |
Goodwill [Roll Forward] | |
Beginning balance | $ 20,106 |
Currency translation | (63) |
Ending balance | $ 20,043 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Schedule of Intangible Assets, Net (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Dec. 24, 2021 | Mar. 26, 2021 | |
Finite-Lived Intangible Assets [Line Items] | ||
Gross | $ 60,468 | $ 56,953 |
Accumulated Amortization | 24,483 | 20,587 |
Net Carrying Amount | 35,985 | 36,366 |
Patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | 35,558 | 32,751 |
Accumulated Amortization | 14,580 | 12,307 |
Net Carrying Amount | $ 20,978 | $ 20,444 |
Weighted- Average Lives | 10 years | 10 years |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | $ 6,899 | $ 6,193 |
Accumulated Amortization | 6,640 | 5,865 |
Net Carrying Amount | $ 259 | $ 328 |
Weighted- Average Lives | 9 years | 9 years |
Process technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | $ 13,100 | $ 13,100 |
Accumulated Amortization | 1,470 | 651 |
Net Carrying Amount | $ 11,630 | $ 12,449 |
Weighted- Average Lives | 12 years | 12 years |
Indefinite-lived and legacy process technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | $ 4,050 | $ 4,050 |
Accumulated Amortization | 1,650 | 1,650 |
Net Carrying Amount | 2,400 | 2,400 |
Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | 200 | 200 |
Accumulated Amortization | 54 | 24 |
Net Carrying Amount | $ 146 | $ 176 |
Weighted- Average Lives | 5 years | 5 years |
Legacy trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | $ 629 | $ 627 |
Accumulated Amortization | 57 | 58 |
Net Carrying Amount | 572 | 569 |
Other | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross | 32 | 32 |
Accumulated Amortization | 32 | 32 |
Net Carrying Amount | $ 0 | $ 0 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | Mar. 26, 2021 | |
Acquired Finite-Lived Intangible Assets [Line Items] | |||||
Intangible assets amortization expense | $ 1,087 | $ 926 | $ 3,190 | $ 2,310 | |
Patents | |||||
Acquired Finite-Lived Intangible Assets [Line Items] | |||||
Estimated useful life | 10 years | 10 years |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Future Amortization Expense (Details) - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2022 | $ 935 | |
2023 | 3,612 | |
2024 | 3,480 | |
2025 | 3,260 | |
2026 | 3,032 | |
Thereafter | 21,666 | |
Net Carrying Amount | $ 35,985 | $ 36,366 |
Other Assets, net (Details)
Other Assets, net (Details) - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
VAT receivables long-term, net | $ 10,659 | $ 8,177 |
Income taxes receivable long-term | 11,462 | 0 |
Investments in marketable securities | 13,393 | 0 |
Deposits | 9,680 | 3,573 |
Prepaid contracts long-term | 1,466 | 1,295 |
Deferred financing costs | 74 | 149 |
Other | 1,344 | 1,419 |
Total | $ 48,078 | $ 14,613 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Payables and Accruals [Abstract] | ||
Accrued management incentives | $ 24,927 | $ 21,538 |
Accrued salaries and wages | 16,639 | 15,060 |
Base acquisition purchase price due | 2,000 | 14,588 |
Deposits on AMTC Facility | 0 | 14,531 |
Accrued vacation | 5,423 | 5,739 |
Accrued severance | 709 | 572 |
Accrued professional fees | 1,949 | 2,029 |
Accrued income taxes | 2,096 | 514 |
Accrued utilities | 604 | 623 |
Other current liabilities | 4,915 | 3,738 |
Total | $ 59,262 | $ 78,932 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Lessee, Lease, Description [Line Items] | ||||
Rent expense | $ 1,454 | $ 1,172 | $ 4,226 | $ 3,477 |
Minimum | ||||
Lessee, Lease, Description [Line Items] | ||||
Operating lease agreement term | 1 year | 1 year | ||
Maximum | ||||
Lessee, Lease, Description [Line Items] | ||||
Operating lease agreement term | 10 years | 10 years |
Leases - Schedule of Lease Cost
Leases - Schedule of Lease Costs and Other Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended |
Dec. 24, 2021USD ($) | Dec. 24, 2021USD ($) | |
Lease costs: | ||
Operating lease expense | $ 1,075 | $ 3,378 |
Short term lease expense | 190 | 332 |
Other information: | ||
Operating cash flows from operating leases | $ 1,259 | $ 3,733 |
Weighted-average remaining lease term – operating leases | 5 years 6 months 10 days | 5 years 6 months 10 days |
Weighted-average discount rate – operating leases | 4.50% | 4.50% |
Leases - Schedule of Lease Liab
Leases - Schedule of Lease Liability Maturity (Details) $ in Thousands | Dec. 24, 2021USD ($) |
Leases [Abstract] | |
Remainder of 2022 | $ 1,056 |
2023 | 3,886 |
2024 | 3,503 |
2025 | 3,070 |
2026 | 2,597 |
Thereafter | 4,406 |
Total undiscounted lease payments | 18,518 |
Less: present value adjustment | (2,272) |
Operating lease liabilities | $ 16,246 |
Leases - Schedule of Future Min
Leases - Schedule of Future Minimum Rental Payments (Details) $ in Thousands | Mar. 26, 2021USD ($) |
Leases [Abstract] | |
2022 | $ 2,887 |
2023 | 2,726 |
2024 | 2,644 |
2025 | 2,172 |
2026 | 1,773 |
Thereafter | 3,713 |
Total | $ 15,915 |
Debt and Other Borrowings (Deta
Debt and Other Borrowings (Details) | Sep. 30, 2020USD ($) | Dec. 24, 2021USD ($) | Mar. 26, 2021USD ($) | Nov. 26, 2019PHP (₱) | Nov. 20, 2019PHP (₱) |
Term Loan Facility | Line of Credit | |||||
Line of Credit Facility [Line Items] | |||||
Outstanding balance | $ 25,000,000 | $ 25,000,000 | |||
Term Loan Facility | Credit Suisse AG, Cayman Islands Branch | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 325,000,000 | ||||
Deferred financing costs | 9,374,000 | ||||
Senior Secured Revolving Credit Facility | Mizuho Bank, Ltd | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 50,000,000 | ||||
Interest rate at period end | 4.25% | ||||
Outstanding balance | $ 0 | 0 | |||
Deferred financing costs | $ 300,000 | ||||
Unamortized deferred financing costs | 174,000 | 249,000 | |||
Senior Secured Revolving Credit Facility | Mizuho Bank, Ltd | London Interbank Offered Rate (LIBOR) | |||||
Line of Credit Facility [Line Items] | |||||
Interest rate floor | 0.50% | ||||
Senior Secured Revolving Credit Facility | Mizuho Bank, Ltd | Minimum | London Interbank Offered Rate (LIBOR) | |||||
Line of Credit Facility [Line Items] | |||||
Basis spread on variable rate | 3.75% | ||||
Senior Secured Revolving Credit Facility | Mizuho Bank, Ltd | Maximum | London Interbank Offered Rate (LIBOR) | |||||
Line of Credit Facility [Line Items] | |||||
Basis spread on variable rate | 4.00% | ||||
Unsecured Revolving Credit Facilities | Line-of-Credit Agreement Expiring August 31, 2021 | Line of Credit | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 1,196,000 | ₱ 60,000,000 | |||
Outstanding balance | 0 | 0 | |||
Unsecured Revolving Credit Facilities | Line-of-Credit Agreement Expiring June 30, 2021 | Line of Credit | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 1,495,000 | ₱ 75,000,000 | |||
Outstanding balance | $ 0 | $ 0 |
Other Long-Term Liabilities (De
Other Long-Term Liabilities (Details) - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Other Liabilities Disclosure [Abstract] | ||
Accrued management incentives | $ 734 | $ 628 |
Accrued retirement | 10,655 | 10,656 |
Accrued contingent consideration | 2,700 | 4,800 |
Provision for uncertain tax positions (net) | 2,741 | 2,774 |
Other | 0 | 275 |
Total | $ 16,830 | $ 19,133 |
Retirement Plans - Schedule of
Retirement Plans - Schedule of Expense Related to Defined Benefit Plan (Details) - Pension Plan - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 365 | $ 296 | $ 1,119 | $ 843 |
Interest cost | 158 | 166 | 485 | 474 |
Expected return on plan assets | (75) | (79) | (230) | (231) |
Amortization of prior service cost | 1 | 2 | 1 | 6 |
Actuarial loss | 51 | 47 | 156 | 126 |
Net periodic pension expense | $ 500 | $ 432 | $ 1,531 | $ 1,218 |
Retirement Plans - Fair Value o
Retirement Plans - Fair Value of Entity's Plan Assets (Details) - Pension Plan - USD ($) $ in Thousands | Dec. 24, 2021 | Mar. 26, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | $ 6,844 | $ 7,644 |
Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 3,229 | 3,593 |
Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 1,925 | 2,334 |
Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 1,690 | 1,717 |
Government securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 2,005 | 1,646 |
Government securities | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 2,005 | 1,646 |
Government securities | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 0 | 0 |
Government securities | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 0 | 0 |
Unit investment trust fund | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 1,217 | 1,221 |
Unit investment trust fund | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 0 | 0 |
Unit investment trust fund | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 1,217 | 1,221 |
Unit investment trust fund | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 0 | 0 |
Loans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 578 | 584 |
Loans | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 0 | 0 |
Loans | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 0 | 0 |
Loans | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 578 | 584 |
Bonds | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 706 | 1,112 |
Bonds | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 0 | 0 |
Bonds | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 706 | 1,112 |
Bonds | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 0 | 0 |
Stocks and other investments | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 2,338 | 3,081 |
Stocks and other investments | Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 1,224 | 1,947 |
Stocks and other investments | Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | 2 | 1 |
Stocks and other investments | Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets of non-U.S. defined benefit plan | $ 1,112 | $ 1,133 |
Retirement Plans - Schedule o_2
Retirement Plans - Schedule of Changes in Fair Value of Level 3 Plan Assets (Details) - Pension Plan $ in Thousands | 9 Months Ended |
Dec. 24, 2021USD ($) | |
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] | |
Beginning balance | $ 7,644 |
Ending balance | 6,844 |
Loans | |
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] | |
Beginning balance | 584 |
Ending balance | 578 |
Level 3 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] | |
Beginning balance | 1,717 |
Ending balance | 1,690 |
Level 3 | Loans | |
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] | |
Beginning balance | 584 |
Additions during the year | 308 |
Redemptions during the year | (289) |
Revaluation of equity securities | (5) |
Change in foreign currency exchange rates | (20) |
Ending balance | 578 |
Level 3 | Stocks | |
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] | |
Beginning balance | 1,133 |
Additions during the year | 0 |
Redemptions during the year | 0 |
Revaluation of equity securities | 13 |
Change in foreign currency exchange rates | (34) |
Ending balance | $ 1,112 |
Retirement Plans - Narrative (D
Retirement Plans - Narrative (Details) £ in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Dec. 24, 2021USD ($) | Dec. 25, 2020USD ($) | Dec. 24, 2021USD ($) | Dec. 25, 2020USD ($) | Dec. 24, 2021GBP (£) | Mar. 26, 2021USD ($) | Mar. 26, 2021GBP (£) | |
Pension Plan | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Company contributions | $ 344 | $ 249 | $ 1,040 | $ 736 | |||
Expected contributions in current fiscal year | 1,425 | $ 1,425 | |||||
Other Defined Benefit Plans | Pension Promise | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Retirement age | 65 years | ||||||
Other assets, net | 882 | $ 882 | £ 663 | $ 1,272 | £ 928 | ||
Accrued retirement, other long-term liabilities | 882 | $ 882 | £ 663 | $ 1,272 | £ 928 | ||
Defined Contribution Plan | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Maximum employee contribution | 50.00% | ||||||
Employer matching contribution | 100.00% | ||||||
Maximum employer contribution | 5.00% | ||||||
Total contributions | 655 | 1,112 | $ 3,000 | 3,181 | |||
Defined Contribution Plan | 401(K) Plan | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Maximum employee contribution | 35.00% | ||||||
Vesting percentage | 100.00% | ||||||
Defined Contribution Plan | AME Plan | |||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||
Total contributions | $ 209 | $ 207 | $ 639 | $ 592 |
Commitment and Contingencies (D
Commitment and Contingencies (Details) - USD ($) | Dec. 24, 2021 | Mar. 26, 2021 |
Commitments and Contingencies Disclosure [Abstract] | ||
Self insurance accruals | $ 863,000 | $ 1,518,000 |
Indemnification accruals | 0 | 0 |
Environmental accruals | $ 0 | $ 0 |
Net Income per Share - Narrativ
Net Income per Share - Narrative (Details) | Nov. 02, 2020shares | Nov. 01, 2020 | Dec. 24, 2021shares | Dec. 25, 2020shares | Dec. 24, 2021shares | Dec. 25, 2020shares |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Shares issued upon conversion, including shares withheld for tax withholding obligation (in shares) | 166,500,000 | |||||
Diluted weighted average shares of common stock (in shares) | 192,068,222 | 124,363,078 | 191,678,951 | 171,638,787 | ||
Common Class A | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Conversion rate | 15.822 | |||||
Shares returned for tax payments made on behalf of holders of common stock (in shares) | 2,066,508 | |||||
Common Class A | Common Stock | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Priority dividend rate | 8.00% | |||||
Annualized return on capital, triggering percent, remaining distributions split between Class A and Class L shareholders | 8.00% | |||||
Common Class L | ||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||
Conversion rate | 13.010 | |||||
Shares returned for tax payments made on behalf of holders of common stock (in shares) | 1,766 |
Net Income per Share - Schedule
Net Income per Share - Schedule of Computation of Net Income per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Earnings Per Share [Abstract] | ||||
Net income attributable to Allegro MicroSystems, Inc. | $ 32,936 | $ (5,095) | $ 93,791 | $ 9,309 |
Net (loss) income attributable to common stockholders, basic | 32,973 | (5,060) | 93,903 | 9,412 |
Net (loss) income attributable to common stockholders, diluted | $ 32,973 | $ (5,060) | $ 93,903 | $ 9,412 |
Basic weighted average shares of common stock (in shares) | 189,736,901 | 124,363,078 | 189,665,324 | 48,121,026 |
Dilutive effect of common stock equivalents (in shares) | 2,331,321 | 0 | 2,013,627 | 123,517,761 |
Diluted weighted average common shares (in shares) | 192,068,222 | 124,363,078 | 191,678,951 | 171,638,787 |
Basic net income attributable to Allegro MicroSystems, Inc. per share (in dollars per share) | $ 0.17 | $ (0.04) | $ 0.49 | $ 0.19 |
Basic net income attributable to common stockholders per share (in dollars per share) | 0.17 | (0.04) | 0.50 | 0.20 |
Diluted net income attributable to Allegro MicroSystems, Inc. per share (in dollars per share) | 0.17 | (0.04) | 0.49 | 0.05 |
Diluted net income attributable to common stockholders per share (in dollars per share) | $ 0.17 | $ (0.04) | $ 0.49 | $ 0.05 |
Net Income per Share - Schedu_2
Net Income per Share - Schedule of Issuable Weighted Average Share Information (Details) - shares | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Dilutive effect of common stock equivalents (in shares) | 2,331,321 | 57,553,282 | 2,013,627 | 123,517,761 |
Common Class A and Common Class L | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Dilutive effect of common stock equivalents (in shares) | 0 | 56,752,747 | 0 | 123,250,916 |
Restricted stock units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Dilutive effect of common stock equivalents (in shares) | 1,199,816 | 377,767 | 1,046,229 | 125,922 |
Performance stock units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Dilutive effect of common stock equivalents (in shares) | 1,117,532 | 422,768 | 959,084 | 140,923 |
Employee stock purchase plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Dilutive effect of common stock equivalents (in shares) | 13,973 | 0 | 8,314 | 0 |
Common Stock and Stock-Based _3
Common Stock and Stock-Based Compensation - Narrative (Details) $ / shares in Units, $ in Thousands | 9 Months Ended |
Dec. 24, 2021USD ($)$ / sharesshares | |
Restricted stock units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grants in period (in shares) | 1,030,887 |
Grant date fair value (in dollars per share) | $ / shares | $ 25.47 |
Stock-based compensation expense not yet recorded | $ | $ 25,133 |
Weighted-average remaining contractual life | 1 year 4 months 2 days |
Vested during period (in shares) | 168,717 |
Performance stock units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock-based compensation expense not yet recorded | $ | $ 13,765 |
Weighted-average remaining contractual life | 1 year 9 months 10 days |
Vested during period (in shares) | 0 |
Intrinsic value, vested | $ | $ 36,708 |
Performance stock units | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Inclusion percentage of target goals | 100.00% |
Performance stock units | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Inclusion percentage of target goals | 200.00% |
Restricted Common Stock | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Weighted-average remaining contractual life | 1 year 25 days |
Vested during period (in shares) | 227,530 |
Cancelled (in shares) | 24,014 |
Unvested shares of restricted commons stock (in shares) | 154,783 |
Weighted-average grant date fair value (in dollars per share) | $ / shares | $ 14 |
Common Stock and Stock-Based _4
Common Stock and Stock-Based Compensation - Schedule of Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Stock-based compensation | $ 7,620 | $ 45,876 | $ 18,647 | $ 46,901 |
Cost of sales | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Stock-based compensation | 742 | 4,694 | 1,992 | 4,844 |
Research and development | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Stock-based compensation | 1,019 | 2,984 | 2,814 | 3,037 |
Selling, general and administrative | ||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||||
Stock-based compensation | $ 5,859 | $ 38,198 | $ 13,841 | $ 39,020 |
Income Taxes - Schedule of Tax
Income Taxes - Schedule of Tax Provision (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021USD ($) | Dec. 25, 2020USD ($) | Dec. 24, 2021USD ($) | Dec. 25, 2020USD ($) | |
Income Tax Disclosure [Abstract] | ||||
Operating taxes | $ 6,517 | $ (12,169) | $ 17,785 | $ (9,764) |
Discrete tax items | (236) | (18,354) | (1,098) | (18,149) |
Provision (benefit) for income taxes | $ 6,281 | $ (30,523) | $ 16,687 | $ (27,913) |
Annual operating tax rate | 0.166 | 0.342 | 0.161 | 0.528 |
Effective tax rate | 16.00% | 85.80% | 15.10% | 150.90% |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | |
Income Tax Contingency [Line Items] | ||||
Income tax provision (benefit) | $ 6,281 | $ (30,523) | $ 16,687 | $ (27,913) |
Effective tax rate | 16.00% | 85.80% | 15.10% | 150.90% |
Stock-based compensation | $ 7,620 | $ 45,876 | $ 18,647 | $ 46,901 |
Effective income tax rate reconciliation, deduction, dividends | 16,000 | |||
IPO | ||||
Income Tax Contingency [Line Items] | ||||
Stock-based compensation | $ 40,440 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | Jan. 01, 2023 | Dec. 02, 2021 | Sep. 30, 2018 | Dec. 24, 2021 | Dec. 25, 2020 | Dec. 24, 2021 | Dec. 25, 2020 | Mar. 26, 2021 | Jun. 30, 2018 | May 31, 2018 |
Related Party Transaction [Line Items] | ||||||||||
Total net sales | $ 186,629,000 | $ 164,449,000 | $ 568,381,000 | $ 416,099,000 | ||||||
Trade and other accounts receivable due from related party | 28,305,000 | 28,305,000 | $ 23,832,000 | |||||||
Amounts due to related party | 4,051,000 | 4,051,000 | 2,353,000 | |||||||
Rent expense | 1,454,000 | 1,172,000 | 4,226,000 | 3,477,000 | ||||||
Related Party Revenue | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Total net sales | 39,461,000 | 26,439,000 | 112,079,000 | 72,570,000 | ||||||
Sanken | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Trade and other accounts receivable due from related party | 28,251,000 | 28,251,000 | 21,595,000 | |||||||
Other accounts receivable from related party | 54,000 | $ 54,000 | 198,000 | |||||||
Option to terminate, period of notice | 6 months | |||||||||
Rent expense | 56,000 | 59,000 | $ 166,000 | 173,000 | ||||||
Sanken | Related Party Revenue | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Total net sales | 39,461,000 | 26,439,000 | 112,079,000 | 72,570,000 | ||||||
PSL | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Amounts due to related party | 4,051,000 | 4,051,000 | 1,739,000 | |||||||
Purchases from related party | 11,837,000 | 11,558,000 | 38,346,000 | 33,448,000 | ||||||
PSL | Loans Payable | Initial PSL Loan | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Face amount | $ 7,500,000 | |||||||||
Stated interest rate | 1.26% | |||||||||
Term | 4 years | |||||||||
PSL | Loans Payable | Secondary PSL Loan | Forecast | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Face amount | $ 7,500,000 | |||||||||
Stated interest rate | 1.26% | |||||||||
Term | 4 years | |||||||||
PSL | IC Technology Development Agreement | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Fees received | 0 | 300,000 | 0 | 900,000 | ||||||
Fees paid | 0 | 300,000 | 0 | 900,000 | ||||||
PSL | Discrete Technology Development Agreement | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Amounts due to related party | 614,000 | |||||||||
PSL | Price Support Payment | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Purchases from related party | 1,500,000 | 5,000,000 | ||||||||
Sanken Electric Europe Ltd. | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Trade and other accounts receivable due from related party | 0 | 0 | $ 1,272,000 | |||||||
Director | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Fees paid | $ 69,000 | $ 82,000 | $ 191,000 | $ 262,000 | ||||||
Monthly fee payable | $ 19,000 | $ 30,000 | ||||||||
Signing fee | $ 54,000 | |||||||||
Severance payment if terminated | $ 180,000 | |||||||||
Accelerated vesting, acceleration period | 6 months | |||||||||
Director | Common Class L | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Shares granted (in shares) | 12,000,000 |