Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Aug. 04, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Jun-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Trading Symbol | 'CYNO | ' |
Entity Registrant Name | 'CYNOSURE INC | ' |
Entity Central Index Key | '0000885306 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 21,643,570 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $65,939 | $93,655 |
Short-term marketable securities | 36,384 | 26,633 |
Accounts receivable, net | 47,688 | 36,587 |
Inventories | 52,379 | 50,251 |
Prepaid expenses and other current assets | 10,291 | 6,891 |
Deferred income taxes | 9,462 | 9,341 |
Total current assets | 222,143 | 223,358 |
Property and equipment, net | 32,304 | 26,445 |
Long-term marketable securities | 20,627 | 8,804 |
Goodwill | 99,281 | 99,237 |
Intangibles, net | 51,245 | 55,179 |
Other assets | 1,722 | 1,678 |
Total assets | 427,322 | 414,701 |
Current liabilities: | ' | ' |
Accounts payable | 20,780 | 13,985 |
Amounts due to related party | ' | 1,268 |
Accrued expenses | 30,420 | 36,954 |
Deferred revenue | 10,047 | 9,163 |
Capital lease obligation | 213 | 286 |
Total current liabilities | 61,460 | 61,656 |
Capital lease obligation, net of current portion | 15,272 | 14,957 |
Deferred revenue, net of current portion | 650 | 1,010 |
Other noncurrent liabilities | 11,820 | 8,726 |
Commitments and contingencies | ' | ' |
Stockholders' equity: | ' | ' |
Preferred stock, $0.001 par value Authorized - 5,000 shares Issued - none | ' | ' |
Class A and Class B common stock, $0.001 par value Authorized - 70,000 shares Issued - 23,180 Class A shares and no Class B shares at June 30, 2014; Issued - 22,633 Class A shares and no Class B shares at December 31, 2013 | 23 | 23 |
Additional paid-in capital | 352,041 | 338,742 |
Retained earnings | 13,900 | 8,636 |
Accumulated other comprehensive loss | -1,323 | -1,499 |
Treasury stock, 1,302 Class A shares, at cost, at June 30, 2014; 886 Class A shares, at cost, at December 31, 2013 | -26,521 | -17,550 |
Total stockholders' equity | 338,120 | 328,352 |
Total liabilities and stockholders' equity | $427,322 | $414,701 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Per Share data, unless otherwise specified | ||
Preferred stock, par value | $0.00 | $0.00 |
Preferred stock, shares authorized | 5,000 | 5,000 |
Preferred stock, shares issued | 0 | 0 |
Class A and Class B common stock, shares authorized | 70,000 | 70,000 |
Common Stock Class A [Member] | ' | ' |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares issued | 23,180 | 22,633 |
Treasury stock, shares | 1,302 | 886 |
Common Stock Class B [Member] | ' | ' |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares issued | 0 | 0 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Product revenues | $59,596 | $43,022 | $109,297 | $77,139 |
Parts, accessories, service and royalty revenues | 12,977 | 7,069 | 25,280 | 13,642 |
Total revenues | 72,573 | 50,091 | 134,577 | 90,781 |
Cost of revenues | 31,880 | 22,304 | 58,489 | 39,307 |
Gross profit | 40,693 | 27,787 | 76,088 | 51,474 |
Operating expenses: | ' | ' | ' | ' |
Sales and marketing | 20,867 | 14,231 | 40,989 | 26,834 |
Research and development | 4,999 | 3,536 | 10,573 | 7,317 |
Amortization of intangible assets acquired | 713 | 283 | 1,426 | 497 |
General and administrative | 7,716 | 24,376 | 15,356 | 29,477 |
Total operating expenses | 34,295 | 42,426 | 68,344 | 64,125 |
Income (loss) from operations | 6,398 | -14,639 | 7,744 | -12,651 |
Interest (expense) income, net | -343 | 23 | -692 | 55 |
Other income (expense), net | 213 | -46 | 279 | -403 |
Income (loss) before provision for income taxes | 6,268 | -14,662 | 7,331 | -12,999 |
Provision (benefit) for income taxes | 1,693 | -5,708 | 2,067 | -5,284 |
Net income (loss) | $4,575 | ($8,954) | $5,264 | ($7,715) |
Basic net income (loss) per share | $0.21 | ($0.54) | $0.24 | ($0.47) |
Diluted net income (loss) per share | $0.20 | ($0.54) | $0.23 | ($0.47) |
Basic weighted average common shares outstanding | 22,088 | 16,636 | 22,033 | 16,412 |
Diluted weighted average common shares outstanding | 22,373 | 16,636 | 22,470 | 16,412 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Loss) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net income (loss) | $4,575 | ($8,954) | $5,264 | ($7,715) |
Other comprehensive gain (loss) components: | ' | ' | ' | ' |
Cumulative translation adjustment | 229 | -34 | 180 | -628 |
Unrealized gain (loss) on marketable securities, net of taxes | 2 | -4 | -4 | 21 |
Total other comprehensive gain (loss) | 231 | -38 | 176 | -607 |
Comprehensive income (loss) | $4,806 | ($8,992) | $5,440 | ($8,322) |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Operating activities: | ' | ' |
Net income (loss) | $5,264 | ($7,715) |
Reconciliation of net income (loss) to net cash provided by (used in) operating activities: | ' | ' |
Depreciation and amortization | 8,435 | 3,256 |
Stock-based compensation expense | 3,344 | 1,703 |
Loss on disposal of fixed assets | 30 | 4 |
Noncash interest expense on capital lease obligations | 734 | ' |
Deferred income taxes | -154 | -5,625 |
Net accretion of marketable securities | 625 | 1,130 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | -10,941 | -10,515 |
Inventories | -2,626 | -435 |
Net book value of demonstration inventory sold | 293 | 348 |
Prepaid expenses and other current assets | 1,974 | 250 |
Accounts payable | 5,519 | 1,140 |
Due to related party | ' | -463 |
Tax benefit from stock option exercises | -2,468 | -1 |
Accrued expenses | -6,651 | 7,551 |
Deferred revenue | 498 | -1,037 |
Other noncurrent liabilities | ' | -109 |
Net cash provided by (used in) operating activities | 3,876 | -10,518 |
Investing activities: | ' | ' |
Purchases of property and equipment | -9,661 | -1,668 |
Proceeds from the sales and maturities of marketable securities | 12,940 | 56,880 |
Purchases of marketable securities | -35,146 | -10,961 |
Cash paid for acquisition, net of cash received | ' | -64,978 |
(Increase) decrease in other noncurrent assets | -70 | 42 |
Net cash used in investing activities | -31,937 | -20,685 |
Financing activities: | ' | ' |
Excess tax benefit on options exercised | 2,468 | 1 |
Repurchases of common stock | -8,971 | ' |
Proceeds from stock option exercises | 7,486 | 1,226 |
Acquisition-related equity issuance costs | ' | -507 |
Payments on capital lease obligation | -516 | -158 |
Net cash provided by financing activities | 467 | 562 |
Effect of exchange rate changes on cash and cash equivalents | -122 | -21 |
Net decrease in cash and cash equivalents | -27,716 | -30,662 |
Cash and cash equivalents, beginning of the period | 93,655 | 86,057 |
Cash and cash equivalents, end of the period | 65,939 | 55,395 |
Supplemental cash flow information | ' | ' |
Cash paid for interest | 9 | 14 |
Cash paid for income taxes | 1,359 | 490 |
Supplemental noncash investing and financing activities | ' | ' |
Transfer of demonstration equipment from inventory to fixed assets | 1,045 | 2,452 |
Assets acquired under capital lease | 58 | 24 |
Shares of common stock issued in connection with the acquisition of Palomar | ' | $141,353 |
Interim_Consolidated_Financial
Interim Consolidated Financial Statements | 6 Months Ended |
Jun. 30, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | ' |
Interim Consolidated Financial Statements | ' |
Note 1 — Interim Consolidated Financial Statements | |
The accompanying unaudited interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (U.S. GAAP) for interim information and pursuant to the rules and regulations of the Securities and Exchange Commission (SEC) for reporting on Form 10-Q. Accordingly, certain information and footnote disclosures required for complete financial statements are not included herein. It is recommended that these financial statements be read in conjunction with the consolidated financial statements and related notes that appear in the Annual Report on Form 10-K of Cynosure, Inc. (Cynosure) for the year ended December 31, 2013. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the financial position, results of operations, and cash flows as of the dates and for the periods presented have been included. The results of operations for the six months ended June 30, 2014 may not be indicative of the results that may be expected for the year ending December 31, 2014, or any other period. | |
The December 31, 2013 consolidated balance sheet within this Quarterly Report on Form 10-Q has been recast to reflect updated purchase accounting adjustments. |
StockBased_Compensation
Stock-Based Compensation | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||
Note 2 — Stock-Based Compensation | |||||||||||||||||
Cynosure recorded stock-based compensation expense of $1.9 million and $0.9 million for the three months ended June 30, 2014 and 2013, respectively. Cynosure recorded stock-based compensation expense of $3.3 million and $1.7 million for the six months ended June 30, 2014 and 2013, respectively. As of June 30, 2014 and 2013, respectively, Cynosure had $25,000 and $19,000 of stock-based compensation expense capitalized as a part of inventory. | |||||||||||||||||
Total stock-based compensation expense was recorded to cost of revenues and operating expenses based upon the functional responsibilities of the individual holding the respective share-based payments, as follows: | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended | Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(In thousands) | |||||||||||||||||
Cost of revenues | $ | 75 | $ | 41 | $ | 140 | $ | 77 | |||||||||
Sales and marketing | 519 | 261 | 962 | 501 | |||||||||||||
Research and development | 259 | 150 | 487 | 291 | |||||||||||||
General and administrative | 1,025 | 412 | 1,755 | 834 | |||||||||||||
Total stock-based compensation expense | $ | 1,878 | $ | 864 | $ | 3,344 | $ | 1,703 | |||||||||
Cash received from option exercises was $7.5 million and $1.2 million during the six months ended June 30, 2014 and 2013, respectively. | |||||||||||||||||
Cynosure granted 719,230 and 327,700 stock options during the six months ended June 30, 2014 and 2013, respectively. Cynosure has elected to use the Black-Scholes model to determine the weighted average fair value of options. The weighted average fair value of the options granted during the six months ended June 30, 2014 and 2013 was $10.99 and $13.15, respectively, using the following assumptions: | |||||||||||||||||
Six Months Ended | |||||||||||||||||
June 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Risk-free interest rate | 1.56% - 1.80% | 0.79% - 1.48% | |||||||||||||||
Expected dividend yield | — | — | |||||||||||||||
Expected term | 4.6 years | 4.8 years | |||||||||||||||
Expected volatility | 43% | 55% - 56% | |||||||||||||||
Estimated forfeiture rate | 5% | 5% | |||||||||||||||
Option-pricing models require the input of various subjective assumptions, including the option’s expected life and the price volatility of the underlying stock. Cynosure’s estimated expected stock price volatility is based on its own historical volatility. Cynosure’s expected term of options represents the weighted average period of time that options granted are expected to be outstanding giving consideration to vesting schedules and Cynosure’s historical exercise patterns. The risk-free rate for the expected term of the option is based on the U.S. Treasury yield curve in effect at the time of grant. The dividend yield of zero is based on the fact that Cynosure has never paid cash dividends and has no present intention to pay cash dividends. | |||||||||||||||||
Cynosure granted 44,840 restricted stock units (RSUs) during the six months ended June 30, 2014 to employees at a fair market value of its common stock on the date of grant and which vest quarterly over a three-year period. Cynosure is recognizing related compensation expense on a straight-line basis over the three-year period. | |||||||||||||||||
Cynosure granted 43,500 RSUs during the six months ended June 30, 2014 to non-employee directors at a fair market value of its common stock on the date of grant and which vest quarterly over a one-year period. Cynosure is recognizing related compensation expense on a straight-line basis over the one-year period. |
Inventories
Inventories | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
Note 3 — Inventories | |||||||||
Cynosure states all inventories at the lower of cost or market, determined on a first-in, first-out method. Inventory includes material, labor and overhead and consists of the following: | |||||||||
June 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(recast) | |||||||||
(in thousands) | |||||||||
Raw materials | $ | 15,322 | $ | 16,900 | |||||
Work in process | 3,562 | 2,316 | |||||||
Finished goods | 33,495 | 31,035 | |||||||
$ | 52,379 | $ | 50,251 | ||||||
Fair_Value
Fair Value | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value | ' | ||||||||||||||||
Note 4 — Fair Value | |||||||||||||||||
U.S. GAAP establishes a framework for measuring fair value under generally accepted accounting principles and enhances disclosures about fair value measurements. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The standard describes the following fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value: | |||||||||||||||||
• | Level 1 — Quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||
• | Level 2 — Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable markets data for substantially the full term of the assets or liabilities. | ||||||||||||||||
• | Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. | ||||||||||||||||
The following table represents Cynosure’s fair value hierarchy for its financial assets (cash equivalents and marketable securities) measured at fair value as of June 30, 2014 (in thousands): | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
Money market funds (1) | $ | 2,028 | $ | — | $ | — | $ | 2,028 | |||||||||
State and municipal bonds (2) | — | 42,026 | — | 42,026 | |||||||||||||
Treasuries and government agencies | — | 2,011 | — | 2,011 | |||||||||||||
Corporate obligations and commercial paper | — | 14,009 | — | 14,009 | |||||||||||||
Equity securities | 25 | — | — | 25 | |||||||||||||
Total | $ | 2,053 | $ | 58,046 | $ | — | $ | 60,099 | |||||||||
-1 | Included in cash and cash equivalents at June 30, 2014. | ||||||||||||||||
-2 | $1.1 million included in cash and cash equivalents at June 30, 2014. | ||||||||||||||||
During the six months ended June 30, 2014, there were no significant transfers in and out of Level 1 and Level 2. Cynosure did not have any Level 3 financial assets or liabilities at June 30, 2014 or December 31, 2013. |
Short_and_LongTerm_Marketable_
Short and Long-Term Marketable Securities | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Investments Debt And Equity Securities [Abstract] | ' | ||||||||||||||||
Short and Long-Term Marketable Securities | ' | ||||||||||||||||
Note 5 — Short and Long-Term Marketable Securities | |||||||||||||||||
Cynosure’s available-for-sale securities at June 30, 2014 consist of approximately $58.0 million of investments in debt securities consisting of state and municipal bonds, treasuries and government agencies, corporate obligations and commercial paper and approximately $25,000 in equity securities. All investments in available-for-sale securities are recorded at fair market value, with any unrealized gains and losses reported as a separate component of accumulated other comprehensive loss. As of June 30, 2014, Cynosure’s marketable securities consist of the following (in thousands): | |||||||||||||||||
Market | Amortized | Unrealized | Unrealized | ||||||||||||||
Value | Cost | Gains | Losses | ||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
State and municipal bonds | $ | 1,060 | $ | 1,060 | $ | — | $ | — | |||||||||
Total cash equivalents | $ | 1,060 | $ | 1,060 | $ | — | $ | — | |||||||||
Short-term marketable securities: | |||||||||||||||||
State and municipal bonds | $ | 20,339 | $ | 20,331 | $ | 8 | $ | — | |||||||||
Treasuries and government agencies | 14,009 | 14,007 | 2 | — | |||||||||||||
Corporate obligations and commercial paper | 2,011 | 2,008 | 3 | — | |||||||||||||
Equity securities | 25 | 27 | — | (2 | ) | ||||||||||||
Total short-term marketable securities | $ | 36,384 | $ | 36,373 | $ | 13 | $ | (2 | ) | ||||||||
Long-term marketable securities: | |||||||||||||||||
State and municipal bonds | $ | 20,627 | $ | 20,610 | $ | 18 | $ | (1 | ) | ||||||||
Total long-term marketable securities | $ | 20,627 | $ | 20,610 | $ | 18 | $ | (1 | ) | ||||||||
Total available-for-sale securities | $ | 58,071 | $ | 58,043 | $ | 31 | $ | (3 | ) | ||||||||
Total marketable securities | $ | 57,011 | |||||||||||||||
As of December 31, 2013, Cynosure’s marketable securities consist of the following (in thousands): | |||||||||||||||||
Market | Amortized | Unrealized | Unrealized | ||||||||||||||
Value | Cost | Gains | Losses | ||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
State and municipal bonds | $ | 793 | $ | 793 | $ | — | $ | — | |||||||||
Total cash equivalents | $ | 793 | $ | 793 | $ | — | $ | — | |||||||||
Short-term marketable securities: | |||||||||||||||||
State and municipal bonds | $ | 10,552 | $ | 10,551 | $ | 1 | $ | — | |||||||||
Treasuries and government agencies | 15,028 | 15,018 | 10 | — | |||||||||||||
Corporate obligations and commercial paper | 1,004 | 1,004 | — | — | |||||||||||||
Equity securities | 49 | 8 | 41 | — | |||||||||||||
Total short-term marketable securities | $ | 26,633 | $ | 26,581 | $ | 52 | $ | — | |||||||||
Long-term marketable securities: | |||||||||||||||||
State and municipal bonds | $ | 6,788 | $ | 6,787 | $ | 1 | $ | — | |||||||||
Corporate obligations and commercial paper | 2,016 | 2,015 | 1 | — | |||||||||||||
Total long-term marketable securities | $ | 8,804 | $ | 8,802 | $ | 2 | $ | — | |||||||||
Total available-for-sale securities | $ | 36,230 | $ | 36,176 | $ | 54 | $ | — | |||||||||
Total marketable securities | $ | 35,437 | |||||||||||||||
As of June 30, 2014, Cynosure’s available-for-sale debt securities mature as follows (in thousands): | |||||||||||||||||
Total | Maturities | ||||||||||||||||
Less | One to | More | |||||||||||||||
Than | Five | than | |||||||||||||||
One | Years | Five | |||||||||||||||
Year | Years | ||||||||||||||||
State and municipal bonds | $ | 42,026 | $ | 21,399 | $ | 20,627 | $ | — | |||||||||
Treasuries and government agencies | 14,009 | 14,009 | — | — | |||||||||||||
Corporate obligations and commercial paper | 2,011 | 2,011 | — | — | |||||||||||||
Total available-for-sale debt securities | $ | 58,046 | $ | 37,419 | $ | 20,627 | $ | — | |||||||||
Acquisition
Acquisition | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
Business Combinations [Abstract] | ' | ||||
Acquisition | ' | ||||
Note 6 — Acquisition | |||||
Palomar Medical Technologies, Inc. | |||||
On June 24, 2013, Cynosure acquired Palomar Medical Technologies, Inc. (Palomar). The acquisition has complemented and broadened Cynosure’s product lineup with the addition of Palomar’s intense pulsed light, fractional laser and diode aesthetic systems, doubled the number of patents in Cynosure’s portfolio and enhanced Cynosure’s global distribution network. As a result of the transaction, former Palomar stockholders, in the aggregate, received for their shares of Palomar common stock $145.8 million in cash and 6.0 million shares of Cynosure Class A common stock. The total consideration was valued at $287.2 million, based upon the closing price of Cynosure Class A common stock on June 24, 2013. This acquisition was considered a business acquisition for accounting purposes. The goodwill recognized is attributable to synergies associated with the Palomar technology which has been integrated with Cynosure’s product portfolio and distributed throughout the U.S. and international distribution channels. | |||||
Cynosure retained an independent valuation firm to assess the fair value of the identifiable intangible assets and certain tangible assets acquired, and also assessed the fair value of other assets acquired and liabilities assumed. Pro forma financial information was filed with the SEC within the applicable time period. Cynosure has allocated the purchase price to the net tangible and intangible assets based on their estimated fair values as of June 24, 2013. During the six months ended June 30, 2014, Cynosure completed its purchase accounting estimates of the assets acquired and liabilities assumed in regards to the acquisition of Palomar, and as a result, increased goodwill $4.1 million from December 31, 2013 to June 30, 2014, due primarily to adjustments to the inventory reserve of $3.8 million, reclassification of certain tax reserves, increases to accounts payable and decreases to accrued expenses related to the opening balance sheet. | |||||
The adjustments related to the opening balance sheet were finalized during the first half of 2014, after the December 31, 2013 financial statements were issued. The adjustments were based on facts that existed at the acquisition date and were finalized using information that came available during the first half of 2014. Under Accounting Standards Codification (ASC) 805, Business Combinations, an acquirer is required to recognize adjustments to provisional amounts during the measurement period as they are identified, and to recognize such adjustments retrospectively – as if the accounting from the business combination had been completed at the acquisition date. As a result, the carrying amount of inventory acquired in the acquisition of Palomar was retrospectively decreased by $3.8 million on June 24, 2013, and the carrying amounts of the deferred tax liability and accounts payable acquired in the acquisition of Palomar were retrospectively increased by $0.2 million and $0.1 million, respectively, on June 24, 2013, with corresponding increases to goodwill. The carrying amount of accrued expenses acquired in the acquisition of Palomar was retrospectively decreased by $23,000 on June 24, 2013, with a corresponding decrease to goodwill. The December 31, 2013 consolidated balance sheet within this Quarterly Report on Form 10-Q has been updated to disclose the recast values. | |||||
The following table summarizes the final purchase price allocation, net of $117.9 million in cash, cash equivalents and marketable securities acquired (in thousands): | |||||
Purchase price: | |||||
Cash and stock paid | $ | 287,204 | |||
Cash, cash equivalents and marketable securities acquired | (117,929 | ) | |||
Purchase price, net | $ | 169,275 | |||
Assets (liabilities) acquired: | |||||
Accounts receivable | 11,761 | ||||
Inventory | 16,207 | ||||
Prepaids and other assets | 722 | ||||
Property and equipment | 30,639 | ||||
Other assets | 132 | ||||
Intangible assets | 52,340 | ||||
Goodwill | 83,399 | ||||
Accounts payable | (7,338 | ) | |||
Accrued expenses | (9,748 | ) | |||
Deferred revenue | (3,528 | ) | |||
Deferred tax liability | (5,311 | ) | |||
Total | $ | 169,275 |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 6 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Goodwill and Other Intangible Assets | ' | ||||||||||||||||||||||||
Note 7 — Goodwill and Other Intangible Assets | |||||||||||||||||||||||||
Changes to goodwill during the six months ended June 30, 2014 were as follows (in thousands): | |||||||||||||||||||||||||
Balance – December 31, 2013 (recast) | $ | 99,237 | |||||||||||||||||||||||
Translation adjustment | 44 | ||||||||||||||||||||||||
Balance – June 30, 2014 | $ | 99,281 | |||||||||||||||||||||||
Other intangible assets consist of the following at June 30, 2014 and December 31, 2013 (in thousands): | |||||||||||||||||||||||||
Developed | Business | Customer | Trade | Other | Total | ||||||||||||||||||||
Technology | Licenses | Relationships | Names | ||||||||||||||||||||||
& Patents | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
Cost | $ | 27,510 | $ | 384 | $ | 16,108 | $ | 16,930 | $ | 1,338 | $ | 62,270 | |||||||||||||
Translation adjustment | — | 45 | 29 | — | 4 | 78 | |||||||||||||||||||
Accumulated amortization | (4,966 | ) | (256 | ) | (4,705 | ) | (1,168 | ) | (8 | ) | (11,103 | ) | |||||||||||||
Balance, June 30, 2014 | $ | 22,544 | $ | 173 | $ | 11,432 | $ | 15,762 | $ | 1,334 | $ | 51,245 | |||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Cost | $ | 27,510 | $ | 384 | $ | 15,833 | $ | 16,930 | $ | 1,338 | $ | 61,995 | |||||||||||||
Translation adjustment | — | 40 | 26 | — | 4 | 70 | |||||||||||||||||||
Accumulated amortization | (2,216 | ) | (239 | ) | (3,662 | ) | (761 | ) | (8 | ) | (6,886 | ) | |||||||||||||
Balance, December 31, 2013 | $ | 25,294 | $ | 185 | $ | 12,197 | $ | 16,169 | $ | 1,334 | $ | 55,179 | |||||||||||||
Amortization expense related to developed technology and patents is classified as a component of cost of revenues. Amortization expense related to customer relationships and trade names is classified as a component of amortization of intangible assets acquired. Amortization expense related to business licenses and other is classified as a component of general and administrative expenses. | |||||||||||||||||||||||||
Amortization expense for the three months ended June 30, 2014 and 2013 was $2.1 million and $0.4 million, respectively. Amortization expense for the six months ended June 30, 2014 and 2013 was $4.2 million and $0.7 million, respectively. Cynosure has approximately $1.3 million of indefinite-life intangible assets that are included in other intangible assets in the table above. As of June 30, 2014, amortization expense on existing intangible assets for the next five years and beyond is as follows (in thousands): | |||||||||||||||||||||||||
Remainder of 2014 | $ | 4,213 | |||||||||||||||||||||||
2015 | 8,452 | ||||||||||||||||||||||||
2016 | 7,671 | ||||||||||||||||||||||||
2017 | 5,732 | ||||||||||||||||||||||||
2018 | 4,277 | ||||||||||||||||||||||||
2019 and thereafter | 19,570 | ||||||||||||||||||||||||
Total | $ | 49,915 |
Warranty_Costs
Warranty Costs | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
Guarantees [Abstract] | ' | ||||
Warranty Costs | ' | ||||
Note 8 — Warranty Costs | |||||
Cynosure typically provides a one-year parts and labor warranty on end-user sales of lasers. Distributor sales generally include a one-year warranty on parts only. Estimated future costs for initial product warranties are provided for at the time of revenue recognition. The following table provides the detail of the change in Cynosure’s product warranty accrual during the six months ended June 30, 2014, which is a component of accrued expenses in the consolidated balance sheets (in thousands): | |||||
Balance – December 31, 2013 | $ | 6,651 | |||
Warranty provision related to new sales | 6,499 | ||||
Costs incurred | (6,227 | ) | |||
Balance – June 30, 2014 | $ | 6,923 | |||
Segment_Information
Segment Information | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segment Information | ' | ||||||||||||||||
Note 9 — Segment Information | |||||||||||||||||
In accordance with ASC 280, Segment Reporting Topic, operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision maker, or decision-making group, in making decisions how to allocate resources and assess performance. Cynosure’s chief decision-maker, as defined under ASC 280, is a combination of the Chief Executive Officer and the Chief Financial Officer. Cynosure views its operations and manages its business as one segment, aesthetic treatment products and services. | |||||||||||||||||
The following table represents total revenue by geographic destination: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in thousands) | |||||||||||||||||
United States | $ | 32,722 | $ | 22,693 | $ | 60,670 | $ | 40,434 | |||||||||
Europe | 13,490 | 9,005 | 25,623 | 16,773 | |||||||||||||
Asia / Pacific | 17,199 | 12,793 | 32,726 | 23,729 | |||||||||||||
Other | 9,162 | 5,600 | 15,558 | 9,845 | |||||||||||||
Total | $ | 72,573 | $ | 50,091 | $ | 134,577 | $ | 90,781 | |||||||||
Total assets by geographic area are as follows: | |||||||||||||||||
June 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in thousands) | |||||||||||||||||
United States | $ | 400,653 | $ | 391,148 | |||||||||||||
Europe | 17,573 | 15,916 | |||||||||||||||
Asia / Pacific | 13,794 | 11,496 | |||||||||||||||
Eliminations | (4,698 | ) | (3,859 | ) | |||||||||||||
Total | $ | 427,322 | $ | 414,701 | |||||||||||||
Long-lived assets by geographic area are as follows: | |||||||||||||||||
June 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in thousands) | |||||||||||||||||
United States | $ | 29,576 | $ | 24,120 | |||||||||||||
Europe | 2,284 | 2,403 | |||||||||||||||
Asia / Pacific | 2,166 | 1,600 | |||||||||||||||
Total | $ | 34,026 | $ | 28,123 | |||||||||||||
No individual country within Europe or Asia/Pacific represented greater than 10% of total revenue, total assets or total long-lived assets for any period presented. |
Net_Income_Loss_Per_Common_Sha
Net Income (Loss) Per Common Share | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Net Income (Loss) Per Common Share | ' | ||||||||||||||||
Note 10 — Net Income (Loss) Per Common Share | |||||||||||||||||
Basic net income (loss) per share is determined by dividing net income (loss) by the weighted average common shares outstanding during the period. Diluted net income (loss) per share is determined by dividing net income (loss) by the diluted weighted average shares outstanding during the period. Diluted weighted average shares reflect the dilutive effect, if any, of common stock options and restricted stock units based on the treasury stock method. For the three and six months ended June 30, 2014 and 2013, there were no outstanding Class B shares, and Cynosure may not issue Class B shares in the future. | |||||||||||||||||
A reconciliation of basic and diluted shares is as follows (in thousands, except per share data): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net income (loss) | $ | 4,575 | $ | (8,954 | ) | $ | 5,264 | $ | (7,715 | ) | |||||||
Basic weighted average common shares outstanding | 22,088 | 16,636 | 22,033 | 16,412 | |||||||||||||
Weighted average common equivalent shares | 285 | — | 437 | — | |||||||||||||
Diluted weighted average common shares outstanding | 22,373 | 16,636 | 22,470 | 16,412 | |||||||||||||
Basic net income (loss) per share | $ | 0.21 | $ | (0.54 | ) | $ | 0.24 | $ | (0.47 | ) | |||||||
Diluted net income (loss) per share | $ | 0.2 | $ | (0.54 | ) | $ | 0.23 | $ | (0.47 | ) | |||||||
For the three and six months ended June 30, 2014, approximately 1.5 million and 1.3 million, respectively, weighted average stock options and restricted stock units to purchase shares of the Company’s Class A common stock were excluded from the calculation of diluted weighted average common shares outstanding as their effect was antidilutive. | |||||||||||||||||
For the three and six months ended June 30, 2013, the number of basic and diluted weighted average shares outstanding was the same, as any increase in the number of shares of common stock equivalents for the three and six months ended June 30, 2013 would be antidilutive based on the net loss for the periods. For the three and six months ended June 30, 2013, respectively, outstanding options to purchase 1.1 million shares were excluded from the computation of diluted earnings per share because their inclusion would have been antidilutive. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Equity [Abstract] | ' | ||||||||||||
Accumulated Other Comprehensive Loss | ' | ||||||||||||
Note 11 — Accumulated Other Comprehensive Loss | |||||||||||||
Changes to accumulated other comprehensive loss during the six months ended June 30, 2014 were as follows (in thousands): | |||||||||||||
Unrealized | Translation | Accumulated | |||||||||||
Gain on | Adjustment | Other | |||||||||||
Marketable | Comprehensive | ||||||||||||
Securities, net | Loss | ||||||||||||
of taxes | |||||||||||||
Balance — December 31, 2013 | $ | 36 | $ | (1,535 | ) | $ | (1,499 | ) | |||||
Current period other comprehensive gain | (4 | ) | 180 | 176 | |||||||||
Balance — June 30, 2014 | $ | 32 | $ | (1,355 | ) | $ | (1,323 | ) |
Income_Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
Note 12 — Income Taxes | |
During the three months ended June 30, 2014 and 2013, Cynosure recorded an income tax provision of $1.7 million and income tax benefit of $5.7 million, respectively, representing an effective tax rate of 27% and 39%, respectively. The income tax provision for the three months ended June 30, 2014 is primarily attributable to the tax provision on the earnings of its foreign and domestic operations. The $1.7 million of income tax provision for the three months ended June 30, 2014 includes a $0.3 million discrete tax benefit for the release of valuation allowance previously maintained against the net deferred tax asset of Palomar Spain. The income tax benefit for the three months ended June 30, 2013 is primarily attributable to a non-recurring benefit of $5.8 million for the release of a portion of the legacy Cynosure domestic valuation allowance due to taxable temporary differences available as a source of income as a result of the Palomar business combination. | |
At December 31, 2013, Cynosure had gross unrecognized tax benefits of $1.7 million, of which $0.1 million, if recognized, would favorably impact the effective tax rate. During the three months ended June 30, 2014, unrecognized tax benefits decreased by $0.8 million, of which none impacted the effective rate. The decrease of $0.8 million in the Company’s unrecognized tax benefits resulted from management’s finalization of its assessment of pre-existing Palomar uncertain tax positions within the purchase accounting period. At June 30, 2013, Cynosure had gross unrecognized tax benefits of $0.9 million, of which $0.1 million, if recognized, would favorably impact the effective tax rate. During the three months ended June 30, 2014, Cynosure recorded an immaterial amount of interest and penalties on the previously recorded unrecognized tax benefits. Cynosure classifies interest and penalties related to income taxes as a component of its provision for income taxes. Cynosure does not expect any material changes in the amounts of unrecognized tax benefits over the next 12 months. | |
Cynosure files income tax returns in the U.S. federal jurisdiction, and in various state and foreign jurisdictions. Cynosure is no longer subject to U.S. federal income tax examinations by tax authorities for years before 2010. With few exceptions, Cynosure is no longer subject to U.S. state tax examinations for years before 2009. Additionally, certain non-U.S. jurisdictions are no longer subject to income tax examinations by tax authorities for years before 2009. |
Commitments_and_Contingencies
Commitments and Contingencies | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||||||||||||||||||
Commitments and Contingencies | ' | ||||||||||||||||||||
Note 13 — Commitments and Contingencies | |||||||||||||||||||||
Lease Commitments | |||||||||||||||||||||
On November 18, 2013, Cynosure entered into a Fifth Amendment to the Lease dated January 31, 2005 (the Lease) related to its headquarters located at 5 Carlisle Road, Westford, MA (Lease Amendment). Pursuant to the Lease Amendment, the term of the Lease has been extended to May 2027 (with two five-year extension options) and the leased premises have been expanded to include additional space at the current location as well as space in the adjacent building, 3 Carlisle Road, Westford, MA. Under the terms of the Lease Amendment, the base rent under the Lease will be abated for a 21-month period beginning in May 2014, and Cynosure will have rights to lease additional space at 3 Carlisle Road. | |||||||||||||||||||||
ASC 840, Leases, establishes the framework for accounting for the Lease Amendment. In accordance with ASC 840, Cynosure is accounting for the land portion of the leased premises as an operating lease. The buildings at 5 Carlisle Road and 3 Carlisle Road have met the criteria for capital lease accounting under ASC 840-10-25-1, and thus Cynosure is accounting for the buildings portion of the leased premises as capital leases and incurring interest charges accordingly. The interest rates used for the 5 Carlisle Road and 3 Carlisle Road capital leases are 10.7% and 8.8%, respectively. The expansion of the leased premises, and the improvements to the leased premises, are recorded on the balance sheet as leasehold improvements within property, plant and equipment. Assets under capital leases and leasehold improvements related to the Lease Amendment are amortized using the straight-line method over the respective lease term. | |||||||||||||||||||||
Cynosure leases the land portion of its U.S. operating facility and certain foreign facilities under non-cancelable operating lease agreements expiring through May 2027. These leases are non-cancellable and typically contain renewal options. Certain leases contain rent escalation clauses for which Cynosure recognizes the expense on a straight-line basis. Rent expense for the three and six months ended June 30, 2014 was approximately $1.0 million and $1.9 million, respectively. | |||||||||||||||||||||
Cynosure leases the buildings portion of its U.S. operating facility and certain equipment and vehicles under capital lease agreements with payments due through May 2027. Commitments under Cynosure’s lease arrangements are as follows (in thousands): | |||||||||||||||||||||
Operating | Capital | ||||||||||||||||||||
Leases | Leases | ||||||||||||||||||||
Remainder of 2014 | $ | 585 | $ | 144 | |||||||||||||||||
2015 | 746 | 121 | |||||||||||||||||||
2016 | 893 | 2,129 | |||||||||||||||||||
2017 | 903 | 2,531 | |||||||||||||||||||
2018 | 847 | 2,516 | |||||||||||||||||||
Thereafter | 2,911 | 22,679 | |||||||||||||||||||
Total minimum lease payments | $ | 6,885 | $ | 30,120 | |||||||||||||||||
Less amount representing interest | (14,635 | ) | |||||||||||||||||||
Present value of obligations under capital leases | $ | 15,485 | |||||||||||||||||||
Current portion of capital lease obligations | 213 | ||||||||||||||||||||
Capital lease obligations, net of current portion | $ | 15,272 | |||||||||||||||||||
Contractual Obligations | |||||||||||||||||||||
Cynosure’s significant outstanding contractual obligations relate to its capital leases from its facilities leases, including the buildings portion of its U.S. operating facility, and equipment financings. Cynosure’s leases are non-cancellable and typically contain renewal options. Certain leases contain rent escalation clauses for which Cynosure recognizes the expense on a straight-line basis. Cynosure has summarized in the table below its fixed contractual cash obligations as of June 30, 2014. | |||||||||||||||||||||
Total | Less Than | One to | Three to | More than | |||||||||||||||||
One Year | Three Years | Five Years | Five Years | ||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Capital lease obligations, including interest | $ | 30,120 | $ | 174 | $ | 2,852 | $ | 5,042 | $ | 22,052 | |||||||||||
Operating leases | 6,885 | 958 | 1,718 | 1,465 | 2,744 | ||||||||||||||||
Total contractual obligations | $ | 37,005 | $ | 1,132 | $ | 4,570 | $ | 6,507 | $ | 24,796 | |||||||||||
Recent_Accounting_Pronouncemen
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Changes And Error Corrections [Abstract] | ' |
Recent Accounting Pronouncements | ' |
Note 14 — Recent Accounting Pronouncements | |
In May 2014, the FASB issued guidance codified in ASC 606, Revenue Recognition – Revenue from Contracts with Customers, which amends the guidance in ASC 605, Revenue Recognition. This new revenue standard creates a single source of revenue guidance for all companies in all industries and is more principles-based than the current revenue guidance. The new guidance must be adopted using either a full retrospective approach for all periods presented in the period of adoption or a modified retrospective approach. ASC 606 is effective for interim and annual periods beginning after December 15, 2016. Cynosure is currently evaluating the impact of the provisions of ASC 606. |
Commitments_and_Contingencies_
Commitments and Contingencies (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Lease Commitments | ' |
ASC 840, Leases, establishes the framework for accounting for the Lease Amendment. In accordance with ASC 840, Cynosure is accounting for the land portion of the leased premises as an operating lease. The buildings at 5 Carlisle Road and 3 Carlisle Road have met the criteria for capital lease accounting under ASC 840-10-25-1, and thus Cynosure is accounting for the buildings portion of the leased premises as capital leases and incurring interest charges accordingly. The interest rates used for the 5 Carlisle Road and 3 Carlisle Road capital leases are 10.7% and 8.8%, respectively. The expansion of the leased premises, and the improvements to the leased premises, are recorded on the balance sheet as leasehold improvements within property, plant and equipment. Assets under capital leases and leasehold improvements related to the Lease Amendment are amortized using the straight-line method over the respective lease term. |
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Summary of Stock-Based Compensation Expenses | ' | ||||||||||||||||
Total stock-based compensation expense was recorded to cost of revenues and operating expenses based upon the functional responsibilities of the individual holding the respective share-based payments, as follows: | |||||||||||||||||
Three Months | Six Months | ||||||||||||||||
Ended | Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(In thousands) | |||||||||||||||||
Cost of revenues | $ | 75 | $ | 41 | $ | 140 | $ | 77 | |||||||||
Sales and marketing | 519 | 261 | 962 | 501 | |||||||||||||
Research and development | 259 | 150 | 487 | 291 | |||||||||||||
General and administrative | 1,025 | 412 | 1,755 | 834 | |||||||||||||
Total stock-based compensation expense | $ | 1,878 | $ | 864 | $ | 3,344 | $ | 1,703 | |||||||||
Summary of Share-Based Compensation Arrangement Fair Value Assumptions | ' | ||||||||||||||||
The weighted average fair value of the options granted during the six months ended June 30, 2014 and 2013 was $10.99 and $13.15, respectively, using the following assumptions: | |||||||||||||||||
Six Months Ended | |||||||||||||||||
June 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Risk-free interest rate | 1.56% - 1.80% | 0.79% - 1.48% | |||||||||||||||
Expected dividend yield | — | — | |||||||||||||||
Expected term | 4.6 years | 4.8 years | |||||||||||||||
Expected volatility | 43% | 55% - 56% | |||||||||||||||
Estimated forfeiture rate | 5% | 5% |
Inventories_Tables
Inventories (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
Inventory includes material, labor and overhead and consists of the following: | |||||||||
June 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(recast) | |||||||||
(in thousands) | |||||||||
Raw materials | $ | 15,322 | $ | 16,900 | |||||
Work in process | 3,562 | 2,316 | |||||||
Finished goods | 33,495 | 31,035 | |||||||
$ | 52,379 | $ | 50,251 | ||||||
Fair_Value_Tables
Fair Value (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Measurement of Fair Value Hierarchy for Financial Assets | ' | ||||||||||||||||
The following table represents Cynosure’s fair value hierarchy for its financial assets (cash equivalents and marketable securities) measured at fair value as of June 30, 2014 (in thousands): | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
Money market funds (1) | $ | 2,028 | $ | — | $ | — | $ | 2,028 | |||||||||
State and municipal bonds (2) | — | 42,026 | — | 42,026 | |||||||||||||
Treasuries and government agencies | — | 2,011 | — | 2,011 | |||||||||||||
Corporate obligations and commercial paper | — | 14,009 | — | 14,009 | |||||||||||||
Equity securities | 25 | — | — | 25 | |||||||||||||
Total | $ | 2,053 | $ | 58,046 | $ | — | $ | 60,099 | |||||||||
-1 | Included in cash and cash equivalents at June 30, 2014. | ||||||||||||||||
-2 | $1.1 million included in cash and cash equivalents at June 30, 2014. |
Short_and_LongTerm_Marketable_1
Short and Long-Term Marketable Securities (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Investments Debt And Equity Securities [Abstract] | ' | ||||||||||||||||
Schedule of Marketable Securities | ' | ||||||||||||||||
As of June 30, 2014, Cynosure’s marketable securities consist of the following (in thousands): | |||||||||||||||||
Market | Amortized | Unrealized | Unrealized | ||||||||||||||
Value | Cost | Gains | Losses | ||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
State and municipal bonds | $ | 1,060 | $ | 1,060 | $ | — | $ | — | |||||||||
Total cash equivalents | $ | 1,060 | $ | 1,060 | $ | — | $ | — | |||||||||
Short-term marketable securities: | |||||||||||||||||
State and municipal bonds | $ | 20,339 | $ | 20,331 | $ | 8 | $ | — | |||||||||
Treasuries and government agencies | 14,009 | 14,007 | 2 | — | |||||||||||||
Corporate obligations and commercial paper | 2,011 | 2,008 | 3 | — | |||||||||||||
Equity securities | 25 | 27 | — | (2 | ) | ||||||||||||
Total short-term marketable securities | $ | 36,384 | $ | 36,373 | $ | 13 | $ | (2 | ) | ||||||||
Long-term marketable securities: | |||||||||||||||||
State and municipal bonds | $ | 20,627 | $ | 20,610 | $ | 18 | $ | (1 | ) | ||||||||
Total long-term marketable securities | $ | 20,627 | $ | 20,610 | $ | 18 | $ | (1 | ) | ||||||||
Total available-for-sale securities | $ | 58,071 | $ | 58,043 | $ | 31 | $ | (3 | ) | ||||||||
Total marketable securities | $ | 57,011 | |||||||||||||||
As of December 31, 2013, Cynosure’s marketable securities consist of the following (in thousands): | |||||||||||||||||
Market | Amortized | Unrealized | Unrealized | ||||||||||||||
Value | Cost | Gains | Losses | ||||||||||||||
Available-for-Sale Securities: | |||||||||||||||||
Cash equivalents: | |||||||||||||||||
State and municipal bonds | $ | 793 | $ | 793 | $ | — | $ | — | |||||||||
Total cash equivalents | $ | 793 | $ | 793 | $ | — | $ | — | |||||||||
Short-term marketable securities: | |||||||||||||||||
State and municipal bonds | $ | 10,552 | $ | 10,551 | $ | 1 | $ | — | |||||||||
Treasuries and government agencies | 15,028 | 15,018 | 10 | — | |||||||||||||
Corporate obligations and commercial paper | 1,004 | 1,004 | — | — | |||||||||||||
Equity securities | 49 | 8 | 41 | — | |||||||||||||
Total short-term marketable securities | $ | 26,633 | $ | 26,581 | $ | 52 | $ | — | |||||||||
Long-term marketable securities: | |||||||||||||||||
State and municipal bonds | $ | 6,788 | $ | 6,787 | $ | 1 | $ | — | |||||||||
Corporate obligations and commercial paper | 2,016 | 2,015 | 1 | — | |||||||||||||
Total long-term marketable securities | $ | 8,804 | $ | 8,802 | $ | 2 | $ | — | |||||||||
Total available-for-sale securities | $ | 36,230 | $ | 36,176 | $ | 54 | $ | — | |||||||||
Total marketable securities | $ | 35,437 | |||||||||||||||
Schedule of Available-for-Sale Debt Securities Mature | ' | ||||||||||||||||
As of June 30, 2014, Cynosure’s available-for-sale debt securities mature as follows (in thousands): | |||||||||||||||||
Total | Maturities | ||||||||||||||||
Less | One to | More | |||||||||||||||
Than | Five | than | |||||||||||||||
One | Years | Five | |||||||||||||||
Year | Years | ||||||||||||||||
State and municipal bonds | $ | 42,026 | $ | 21,399 | $ | 20,627 | $ | — | |||||||||
Treasuries and government agencies | 14,009 | 14,009 | — | — | |||||||||||||
Corporate obligations and commercial paper | 2,011 | 2,011 | — | — | |||||||||||||
Total available-for-sale debt securities | $ | 58,046 | $ | 37,419 | $ | 20,627 | $ | — | |||||||||
Acquisition_Tables
Acquisition (Tables) | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
Business Combinations [Abstract] | ' | ||||
Estimated Fair Value of Net Assets Acquired | ' | ||||
The following table summarizes the final purchase price allocation, net of $117.9 million in cash, cash equivalents and marketable securities acquired (in thousands): | |||||
Purchase price: | |||||
Cash and stock paid | $ | 287,204 | |||
Cash, cash equivalents and marketable securities acquired | (117,929 | ) | |||
Purchase price, net | $ | 169,275 | |||
Assets (liabilities) acquired: | |||||
Accounts receivable | 11,761 | ||||
Inventory | 16,207 | ||||
Prepaids and other assets | 722 | ||||
Property and equipment | 30,639 | ||||
Other assets | 132 | ||||
Intangible assets | 52,340 | ||||
Goodwill | 83,399 | ||||
Accounts payable | (7,338 | ) | |||
Accrued expenses | (9,748 | ) | |||
Deferred revenue | (3,528 | ) | |||
Deferred tax liability | (5,311 | ) | |||
Total | $ | 169,275 |
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Schedule of Changes to Goodwill | ' | ||||||||||||||||||||||||
Changes to goodwill during the six months ended June 30, 2014 were as follows (in thousands): | |||||||||||||||||||||||||
Balance – December 31, 2013 (recast) | $ | 99,237 | |||||||||||||||||||||||
Translation adjustment | 44 | ||||||||||||||||||||||||
Balance – June 30, 2014 | $ | 99,281 | |||||||||||||||||||||||
Schedule of Components of Other Intangible Assets | ' | ||||||||||||||||||||||||
Other intangible assets consist of the following at June 30, 2014 and December 31, 2013 (in thousands): | |||||||||||||||||||||||||
Developed | Business | Customer | Trade | Other | Total | ||||||||||||||||||||
Technology | Licenses | Relationships | Names | ||||||||||||||||||||||
& Patents | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
Cost | $ | 27,510 | $ | 384 | $ | 16,108 | $ | 16,930 | $ | 1,338 | $ | 62,270 | |||||||||||||
Translation adjustment | — | 45 | 29 | — | 4 | 78 | |||||||||||||||||||
Accumulated amortization | (4,966 | ) | (256 | ) | (4,705 | ) | (1,168 | ) | (8 | ) | (11,103 | ) | |||||||||||||
Balance, June 30, 2014 | $ | 22,544 | $ | 173 | $ | 11,432 | $ | 15,762 | $ | 1,334 | $ | 51,245 | |||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Cost | $ | 27,510 | $ | 384 | $ | 15,833 | $ | 16,930 | $ | 1,338 | $ | 61,995 | |||||||||||||
Translation adjustment | — | 40 | 26 | — | 4 | 70 | |||||||||||||||||||
Accumulated amortization | (2,216 | ) | (239 | ) | (3,662 | ) | (761 | ) | (8 | ) | (6,886 | ) | |||||||||||||
Balance, December 31, 2013 | $ | 25,294 | $ | 185 | $ | 12,197 | $ | 16,169 | $ | 1,334 | $ | 55,179 | |||||||||||||
Schedule of Amortization Expenses on Intangible Assets | ' | ||||||||||||||||||||||||
As of June 30, 2014, amortization expense on existing intangible assets for the next five years and beyond is as follows (in thousands): | |||||||||||||||||||||||||
Remainder of 2014 | $ | 4,213 | |||||||||||||||||||||||
2015 | 8,452 | ||||||||||||||||||||||||
2016 | 7,671 | ||||||||||||||||||||||||
2017 | 5,732 | ||||||||||||||||||||||||
2018 | 4,277 | ||||||||||||||||||||||||
2019 and thereafter | 19,570 | ||||||||||||||||||||||||
Total | $ | 49,915 |
Warranty_Costs_Tables
Warranty Costs (Tables) | 6 Months Ended | ||||
Jun. 30, 2014 | |||||
Guarantees [Abstract] | ' | ||||
Schedule of Change in Product Warranty Accrual | ' | ||||
The following table provides the detail of the change in Cynosure’s product warranty accrual during the six months ended June 30, 2014, which is a component of accrued expenses in the consolidated balance sheets (in thousands): | |||||
Balance – December 31, 2013 | $ | 6,651 | |||
Warranty provision related to new sales | 6,499 | ||||
Costs incurred | (6,227 | ) | |||
Balance – June 30, 2014 | $ | 6,923 | |||
Segment_Information_Tables
Segment Information (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Schedule of Total Revenue by Geographic Destination | ' | ||||||||||||||||
The following table represents total revenue by geographic destination: | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in thousands) | |||||||||||||||||
United States | $ | 32,722 | $ | 22,693 | $ | 60,670 | $ | 40,434 | |||||||||
Europe | 13,490 | 9,005 | 25,623 | 16,773 | |||||||||||||
Asia / Pacific | 17,199 | 12,793 | 32,726 | 23,729 | |||||||||||||
Other | 9,162 | 5,600 | 15,558 | 9,845 | |||||||||||||
Total | $ | 72,573 | $ | 50,091 | $ | 134,577 | $ | 90,781 | |||||||||
Schedule of Total Assets by Geographic Area | ' | ||||||||||||||||
Total assets by geographic area are as follows: | |||||||||||||||||
June 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in thousands) | |||||||||||||||||
United States | $ | 400,653 | $ | 391,148 | |||||||||||||
Europe | 17,573 | 15,916 | |||||||||||||||
Asia / Pacific | 13,794 | 11,496 | |||||||||||||||
Eliminations | (4,698 | ) | (3,859 | ) | |||||||||||||
Total | $ | 427,322 | $ | 414,701 | |||||||||||||
Schedule of Long-Lived Assets by Geographic Area | ' | ||||||||||||||||
Long-lived assets by geographic area are as follows: | |||||||||||||||||
June 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in thousands) | |||||||||||||||||
United States | $ | 29,576 | $ | 24,120 | |||||||||||||
Europe | 2,284 | 2,403 | |||||||||||||||
Asia / Pacific | 2,166 | 1,600 | |||||||||||||||
Total | $ | 34,026 | $ | 28,123 | |||||||||||||
Net_Income_Loss_Per_Common_Sha1
Net Income (Loss) Per Common Share (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Schedule of Reconciliation of Basic and Diluted Shares | ' | ||||||||||||||||
A reconciliation of basic and diluted shares is as follows (in thousands, except per share data): | |||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||
June 30, | June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net income (loss) | $ | 4,575 | $ | (8,954 | ) | $ | 5,264 | $ | (7,715 | ) | |||||||
Basic weighted average common shares outstanding | 22,088 | 16,636 | 22,033 | 16,412 | |||||||||||||
Weighted average common equivalent shares | 285 | — | 437 | — | |||||||||||||
Diluted weighted average common shares outstanding | 22,373 | 16,636 | 22,470 | 16,412 | |||||||||||||
Basic net income (loss) per share | $ | 0.21 | $ | (0.54 | ) | $ | 0.24 | $ | (0.47 | ) | |||||||
Diluted net income (loss) per share | $ | 0.2 | $ | (0.54 | ) | $ | 0.23 | $ | (0.47 | ) | |||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Equity [Abstract] | ' | ||||||||||||
Changes to Accumulated Other Comprehensive Loss | ' | ||||||||||||
Changes to accumulated other comprehensive loss during the six months ended June 30, 2014 were as follows (in thousands): | |||||||||||||
Unrealized | Translation | Accumulated | |||||||||||
Gain on | Adjustment | Other | |||||||||||
Marketable | Comprehensive | ||||||||||||
Securities, net | Loss | ||||||||||||
of taxes | |||||||||||||
Balance — December 31, 2013 | $ | 36 | $ | (1,535 | ) | $ | (1,499 | ) | |||||
Current period other comprehensive gain | (4 | ) | 180 | 176 | |||||||||
Balance — June 30, 2014 | $ | 32 | $ | (1,355 | ) | $ | (1,323 | ) |
Commitments_and_Contingencies_1
Commitments and Contingencies (Tables) | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||||||||||||||||||
Operating Facility, Certain Equipment and Vehicles Under Operating Lease and Capital Lease Agreements with Payments | ' | ||||||||||||||||||||
Cynosure leases the buildings portion of its U.S. operating facility and certain equipment and vehicles under capital lease agreements with payments due through May 2027. Commitments under Cynosure’s lease arrangements are as follows (in thousands): | |||||||||||||||||||||
Operating | Capital | ||||||||||||||||||||
Leases | Leases | ||||||||||||||||||||
Remainder of 2014 | $ | 585 | $ | 144 | |||||||||||||||||
2015 | 746 | 121 | |||||||||||||||||||
2016 | 893 | 2,129 | |||||||||||||||||||
2017 | 903 | 2,531 | |||||||||||||||||||
2018 | 847 | 2,516 | |||||||||||||||||||
Thereafter | 2,911 | 22,679 | |||||||||||||||||||
Total minimum lease payments | $ | 6,885 | $ | 30,120 | |||||||||||||||||
Less amount representing interest | (14,635 | ) | |||||||||||||||||||
Present value of obligations under capital leases | $ | 15,485 | |||||||||||||||||||
Current portion of capital lease obligations | 213 | ||||||||||||||||||||
Capital lease obligations, net of current portion | $ | 15,272 | |||||||||||||||||||
Summary of Fixed Contractual Cash Obligations | ' | ||||||||||||||||||||
Cynosure has summarized in the table below its fixed contractual cash obligations as of June 30, 2014. | |||||||||||||||||||||
Total | Less Than | One to | Three to | More than | |||||||||||||||||
One Year | Three Years | Five Years | Five Years | ||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Capital lease obligations, including interest | $ | 30,120 | $ | 174 | $ | 2,852 | $ | 5,042 | $ | 22,052 | |||||||||||
Operating leases | 6,885 | 958 | 1,718 | 1,465 | 2,744 | ||||||||||||||||
Total contractual obligations | $ | 37,005 | $ | 1,132 | $ | 4,570 | $ | 6,507 | $ | 24,796 | |||||||||||
StockBased_Compensation_Additi
Stock-Based Compensation - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Stock-based compensation expense | $1,878,000 | $864,000 | $3,344,000 | $1,703,000 |
Stock-based compensation expense capitalized to inventory | ' | ' | 25,000 | 19,000 |
Cash received from option exercises | ' | ' | $7,500,000 | $1,200,000 |
Stock options granted | ' | ' | 719,230 | 327,700 |
Weighted average fair value of the options granted | ' | ' | $10.99 | $13.15 |
Dividend yield | ' | ' | 0.00% | 0.00% |
Restricted Stock Units (RSUs) [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Granted restricted stock units to employees | ' | ' | 44,840 | ' |
Vested period | ' | ' | '3 years | ' |
Share based compensation period | ' | ' | '3 years | ' |
Restricted Stock Units (RSUs) [Member] | Non Employee Director [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Granted restricted stock units to employees | ' | ' | 43,500 | ' |
Vested period | ' | ' | '1 year | ' |
Share based compensation period | ' | ' | '1 year | ' |
StockBased_Compensation_Summar
Stock-Based Compensation - Summary of Stock-Based Compensation Expenses (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Total stock-based compensation expense | $1,878 | $864 | $3,344 | $1,703 |
Cost of Revenues [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Total stock-based compensation expense | 75 | 41 | 140 | 77 |
Sales and Marketing [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Total stock-based compensation expense | 519 | 261 | 962 | 501 |
Research and Development [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Total stock-based compensation expense | 259 | 150 | 487 | 291 |
General and Administrative [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Total stock-based compensation expense | $1,025 | $412 | $1,755 | $834 |
StockBased_Compensation_Summar1
Stock-Based Compensation - Summary of Share-Based Compensation Arrangement Fair Value Assumptions (Detail) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' |
Risk-free interest rate - minimum | 1.56% | 0.79% |
Risk-free interest rate - maximum | 1.80% | 1.48% |
Expected dividend yield | 0.00% | 0.00% |
Expected term | '4 years 7 months 6 days | '4 years 9 months 18 days |
Expected volatility - minimum | ' | 55.00% |
Expected volatility - maximum | ' | 56.00% |
Expected volatility | 43.00% | ' |
Estimated forfeiture rate | 5.00% | 5.00% |
Inventories_Inventories_Detail
Inventories - Inventories (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Raw materials | $15,322 | $16,900 |
Work in process | 3,562 | 2,316 |
Finished goods | 33,495 | 31,035 |
Inventories, Total | $52,379 | $50,251 |
Fair_Value_Measurement_of_Fair
Fair Value - Measurement of Fair Value Hierarchy for Financial Assets (Detail) (USD $) | Jun. 30, 2014 |
In Thousands, unless otherwise specified | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | $60,099 |
Money Market Funds [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 2,028 |
State and Municipal Bonds [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 42,026 |
Treasuries and Government Agencies [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 2,011 |
Corporate Obligations and Commercial Paper [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 14,009 |
Equity Securities [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 25 |
Level 1 [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 2,053 |
Level 1 [Member] | Money Market Funds [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 2,028 |
Level 1 [Member] | Equity Securities [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 25 |
Level 2 [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 58,046 |
Level 2 [Member] | State and Municipal Bonds [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 42,026 |
Level 2 [Member] | Treasuries and Government Agencies [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | 2,011 |
Level 2 [Member] | Corporate Obligations and Commercial Paper [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Fair value of financial assets | $14,009 |
Fair_Value_Measurement_of_Fair1
Fair Value - Measurement of Fair Value Hierarchy for Financial Assets (Parenthetical) (Detail) (USD $) | Jun. 30, 2014 |
In Thousands, unless otherwise specified | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Cash and cash equivalents | $60,099 |
State and Municipal Bonds [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Cash and cash equivalents | 42,026 |
Cash and Cash Equivalents [Member] | State and Municipal Bonds [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Cash and cash equivalents | $1,100 |
Fair_Value_Additional_Informat
Fair Value - Additional Information (Detail) (USD $) | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | |
Level 3 [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Significant transfers in and out of Level 1 and Level 2 | $0 | ' | ' |
Fair value of financial assets | 60,099,000 | ' | ' |
Fair value of financial liabilities | ' | ' | ' |
Short_and_LongTerm_Marketable_2
Short and Long-Term Marketable Securities - Additional Information (Detail) (USD $) | Jun. 30, 2014 |
Investments Debt And Equity Securities [Abstract] | ' |
Available for sale securities in debt | $58,000,000 |
Available for sale securities in equity | $25,000 |
Short_and_LongTerm_Marketable_3
Short and Long-Term Marketable Securities - Schedule of Marketable Securities (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | $58,071 | $36,230 |
Amortized Cost | 58,043 | 36,176 |
Unrealized Gains | 31 | 54 |
Unrealized Losses | -3 | ' |
Total marketable securities | 57,011 | 35,437 |
Cash Equivalents [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | 1,060 | 793 |
Amortized Cost | 1,060 | 793 |
Cash Equivalents [Member] | State and Municipal Bonds [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | 1,060 | 793 |
Amortized Cost | 1,060 | 793 |
Short-Term Marketable Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | 36,384 | 26,633 |
Amortized Cost | 36,373 | 26,581 |
Unrealized Gains | 13 | 52 |
Unrealized Losses | -2 | ' |
Short-Term Marketable Securities [Member] | Corporate Obligations and Commercial Paper [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | 2,011 | 1,004 |
Amortized Cost | 2,008 | 1,004 |
Unrealized Gains | 3 | ' |
Short-Term Marketable Securities [Member] | State and Municipal Bonds [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | 20,339 | 10,552 |
Amortized Cost | 20,331 | 10,551 |
Unrealized Gains | 8 | 1 |
Short-Term Marketable Securities [Member] | Treasuries and Government Agencies [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | 14,009 | 15,028 |
Amortized Cost | 14,007 | 15,018 |
Unrealized Gains | 2 | 10 |
Short-Term Marketable Securities [Member] | Equity Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | 25 | 49 |
Amortized Cost | 27 | 8 |
Unrealized Gains | ' | 41 |
Unrealized Losses | -2 | ' |
Long-Term Marketable Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | 20,627 | 8,804 |
Amortized Cost | 20,610 | 8,802 |
Unrealized Gains | 18 | 2 |
Unrealized Losses | -1 | ' |
Long-Term Marketable Securities [Member] | Corporate Obligations and Commercial Paper [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | ' | 2,016 |
Amortized Cost | ' | 2,015 |
Unrealized Gains | ' | 1 |
Long-Term Marketable Securities [Member] | State and Municipal Bonds [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Market Value | 20,627 | 6,788 |
Amortized Cost | 20,610 | 6,787 |
Unrealized Gains | 18 | 1 |
Unrealized Losses | ($1) | ' |
Short_and_LongTerm_Marketable_4
Short and Long-Term Marketable Securities - Schedule of Available-for-Sale Debt Securities Mature (Detail) (USD $) | Jun. 30, 2014 |
In Thousands, unless otherwise specified | |
Schedule of Available-for-sale Securities [Line Items] | ' |
Total | $58,046 |
Less Than One Year | 37,419 |
One to Five Years | 20,627 |
Corporate Obligations and Commercial Paper [Member] | ' |
Schedule of Available-for-sale Securities [Line Items] | ' |
Total | 2,011 |
Less Than One Year | 2,011 |
State and Municipal Bonds [Member] | ' |
Schedule of Available-for-sale Securities [Line Items] | ' |
Total | 42,026 |
Less Than One Year | 21,399 |
One to Five Years | 20,627 |
Treasuries and Government Agencies [Member] | ' |
Schedule of Available-for-sale Securities [Line Items] | ' |
Total | 14,009 |
Less Than One Year | $14,009 |
Acquisition_Additional_Informa
Acquisition - Additional Information (Detail) (Palomar Medical Technologies, Inc. [Member], USD $) | 0 Months Ended | 6 Months Ended | |
Share data in Millions, unless otherwise specified | Jun. 24, 2013 | Jun. 30, 2014 | Jun. 24, 2013 |
Palomar Medical Technologies, Inc. [Member] | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' |
Business acquisition effective date of acquisition | ' | 24-Jun-13 | ' |
Cash consideration | ' | ' | $145,800,000 |
Number of shares issued | 6 | ' | ' |
Cash and stock paid per merger agreement | 287,204,000 | ' | ' |
Goodwill increased | ' | 4,100,000 | ' |
Adjustments to inventory reserve | ' | 3,800,000 | ' |
Decrease in inventory | 3,800,000 | ' | ' |
Increase in deferred tax liability | 200,000 | ' | ' |
Increase in accounts payable | 100,000 | ' | ' |
Decrease in accrued expenses | 23,000 | ' | ' |
Cash and cash equivalents acquired | $117,900,000 | ' | ' |
Acquisition_Estimated_Fair_Val
Acquisition - Estimated Fair Value of Net Assets Acquired (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 24, 2013 | Jun. 24, 2013 |
In Thousands, unless otherwise specified | Palomar Medical Technologies, Inc. [Member] | Palomar Medical Technologies, Inc. [Member] | ||
Business Acquisition [Line Items] | ' | ' | ' | ' |
Cash and stock paid | ' | ' | $287,204 | ' |
Cash, cash equivalents and marketable securities acquired | ' | ' | -117,929 | ' |
Purchase price, net | ' | ' | 169,275 | ' |
Assets (liabilities) acquired: | ' | ' | ' | ' |
Accounts receivable | ' | ' | ' | 11,761 |
Inventory | ' | ' | ' | 16,207 |
Prepaids and other assets | ' | ' | ' | 722 |
Property and equipment | ' | ' | ' | 30,639 |
Other assets | ' | ' | ' | 132 |
Intangible assets | ' | ' | ' | 52,340 |
Goodwill | 99,281 | 99,237 | ' | 83,399 |
Accounts payable | ' | ' | ' | -7,338 |
Accrued expenses | ' | ' | ' | -9,748 |
Deferred revenue | ' | ' | ' | -3,528 |
Deferred tax liability | ' | ' | ' | -5,311 |
Total | ' | ' | ' | $169,275 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets - Schedule of Changes to Goodwill (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Goodwill And Intangible Assets Disclosure [Abstract] | ' |
Balance - December 31, 2013 (recast) | $99,237 |
Translation adjustment | 44 |
Balance - June 30, 2014 | $99,281 |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets - Schedule of Components of Other Intangible Assets (Detail) (USD $) | 6 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Dec. 31, 2013 |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | $62,270 | $61,995 |
Translation adjustment | 78 | 70 |
Accumulated amortization | -11,103 | -6,886 |
Balance | 51,245 | 55,179 |
Developed Technology and Patents [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | 27,510 | 27,510 |
Accumulated amortization | -4,966 | -2,216 |
Balance | 22,544 | 25,294 |
Business Licenses [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | 384 | 384 |
Translation adjustment | 45 | 40 |
Accumulated amortization | -256 | -239 |
Balance | 173 | 185 |
Customer Relationships [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | 16,108 | 15,833 |
Translation adjustment | 29 | 26 |
Accumulated amortization | -4,705 | -3,662 |
Balance | 11,432 | 12,197 |
Trade Names [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | 16,930 | 16,930 |
Accumulated amortization | -1,168 | -761 |
Balance | 15,762 | 16,169 |
Other Intangible Assets [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Cost | 1,338 | 1,338 |
Translation adjustment | 4 | 4 |
Accumulated amortization | -8 | -8 |
Balance | $1,334 | $1,334 |
Goodwill_and_Other_Intangible_4
Goodwill and Other Intangible Assets - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ' | ' | ' |
Amortization expense | $2.10 | $0.40 | $4.20 | $0.70 |
Indefinite-life intangible assets | $1.30 | ' | $1.30 | ' |
Goodwill_and_Other_Intangible_5
Goodwill and Other Intangible Assets - Schedule of Amortization Expenses on Intangible Assets (Detail) (USD $) | Jun. 30, 2014 |
In Thousands, unless otherwise specified | |
Goodwill And Intangible Assets Disclosure [Abstract] | ' |
Remainder of 2014 | $4,213 |
2015 | 8,452 |
2016 | 7,671 |
2017 | 5,732 |
2018 | 4,277 |
2019 and thereafter | 19,570 |
Total | $49,915 |
Warranty_Costs_Additional_Info
Warranty Costs - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2014 | |
Guarantees [Abstract] | ' |
Warranty on end-user sales | '1 year |
Warranty_Costs_Schedule_of_Cha
Warranty Costs - Schedule of Change in Product Warranty Accrual (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Guarantees [Abstract] | ' |
Balance, beginning of period | $6,651 |
Warranty provision related to new sales | 6,499 |
Costs incurred | -6,227 |
Balance, end of period | $6,923 |
Segment_Information_Additional
Segment Information - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2014 | |
Country | |
Segment | |
Segment Reporting [Abstract] | ' |
Number of operating segments | 1 |
Number of individual countries with greater than 10% of total revenue, total assets or total long lived assets | 0 |
Percentage of total revenue | 10.00% |
Segment_Information_Schedule_o
Segment Information - Schedule of Total Revenue by Geographic Destination (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Total revenue | $72,573 | $50,091 | $134,577 | $90,781 |
United States [Member] | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Total revenue | 32,722 | 22,693 | 60,670 | 40,434 |
Europe [Member] | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Total revenue | 13,490 | 9,005 | 25,623 | 16,773 |
Asia / Pacific [Member] | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Total revenue | 17,199 | 12,793 | 32,726 | 23,729 |
Other Country [Member] | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' |
Total revenue | $9,162 | $5,600 | $15,558 | $9,845 |
Segment_Information_Schedule_o1
Segment Information - Schedule of Total Assets by Geographic Area (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Total assets | $427,322 | $414,701 |
Operating Segments [Member] | United States [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Total assets | 400,653 | 391,148 |
Operating Segments [Member] | Europe [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Total assets | 17,573 | 15,916 |
Operating Segments [Member] | Asia / Pacific [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Total assets | 13,794 | 11,496 |
Eliminations [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Total assets | ($4,698) | ($3,859) |
Segment_Information_Schedule_o2
Segment Information - Schedule of Long-Lived Assets by Geographic Area (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | $34,026 | $28,123 |
United States [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 29,576 | 24,120 |
Europe [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | 2,284 | 2,403 |
Asia / Pacific [Member] | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Long-lived assets | $2,166 | $1,600 |
Net_Income_Loss_Per_Common_Sha2
Net Income (Loss) Per Common Share - Additional Information (Detail) | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2014 |
Common Stock Class B [Member] | Common Stock Class B [Member] | Stock Option [Member] | Stock Option [Member] | Stock Option [Member] | Restricted Stock Units (RSUs) [Member] | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' | ' | ' |
Class B Common stock outstanding | 0 | 0 | ' | ' | ' | ' |
Outstanding options to purchase (shares) | ' | ' | 1,500,000 | 1,100,000 | 1,100,000 | 1,300,000 |
Net_Income_Loss_Per_Common_Sha3
Net Income (Loss) Per Common Share - Schedule of Reconciliation of Basic and Diluted Shares (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Net income (loss) | $4,575 | ($8,954) | $5,264 | ($7,715) |
Basic weighted average common shares outstanding | 22,088 | 16,636 | 22,033 | 16,412 |
Weighted average common equivalent shares | 285 | ' | 437 | ' |
Diluted weighted average common shares outstanding | 22,373 | 16,636 | 22,470 | 16,412 |
Basic net income (loss) per share | $0.21 | ($0.54) | $0.24 | ($0.47) |
Diluted net income (loss) per share | $0.20 | ($0.54) | $0.23 | ($0.47) |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss - Changes to Accumulated Other Comprehensive Loss (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Accumulated Other Comprehensive Loss, Beginning Balance | ' | ' | ($1,499) | ' |
Accumulated Other Comprehensive Loss, Current period other comprehensive gain | 231 | -38 | 176 | -607 |
Accumulated Other Comprehensive Loss, Ending Balance | -1,323 | ' | -1,323 | ' |
Unrealized Gain on Marketable Securities, Net of Taxes [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Accumulated Other Comprehensive Loss, Beginning Balance | ' | ' | 36 | ' |
Accumulated Other Comprehensive Loss, Current period other comprehensive gain | ' | ' | -4 | ' |
Accumulated Other Comprehensive Loss, Ending Balance | 32 | ' | 32 | ' |
Translation Adjustment [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Accumulated Other Comprehensive Loss, Beginning Balance | ' | ' | -1,535 | ' |
Accumulated Other Comprehensive Loss, Current period other comprehensive gain | ' | ' | 180 | ' |
Accumulated Other Comprehensive Loss, Ending Balance | ($1,355) | ' | ($1,355) | ' |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |
Deferred Tax Assets And Liabilities Classification [Line Items] | ' | ' | ' | ' | ' |
(Benefit) provision for income taxes | $1,693,000 | ($5,708,000) | $2,067,000 | ($5,284,000) | ' |
Effective tax rate | 27.00% | 39.00% | ' | ' | ' |
Unrecognized tax benefits | ' | 900,000 | ' | 900,000 | 1,700,000 |
Unrecognized tax benefit if recognized would impact effective tax rate | 0 | 100,000 | 0 | 100,000 | 100,000 |
Unrecognized tax benefits decreased | 800,000 | ' | ' | ' | ' |
Palomar Medical Technologies, Inc. [Member] | ' | ' | ' | ' | ' |
Deferred Tax Assets And Liabilities Classification [Line Items] | ' | ' | ' | ' | ' |
Unrecognized tax benefit resulting from acquisition | ' | 5,800,000 | ' | ' | ' |
Discrete tax benefit | $300,000 | ' | ' | ' | ' |
Commitments_and_Contingencies_2
Commitments and Contingencies - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2014 |
Operating Leased Assets [Line Items] | ' | ' |
Operating lease expiration period | ' | '2027-05 |
Rent under the lease abated period | ' | '21 months |
Operating lease rent expense | $1 | $1.90 |
Five Carlisle Road [Member] | ' | ' |
Operating Leased Assets [Line Items] | ' | ' |
Percentage of capital leases | 10.70% | 10.70% |
Three Carlisle Road [Member] | ' | ' |
Operating Leased Assets [Line Items] | ' | ' |
Percentage of capital leases | 8.80% | 8.80% |
Commitments_and_Contingencies_3
Commitments and Contingencies - Operating Facility, Certain Equipment and Vehicles Under Operating Lease and Capital Lease Agreements with Payments (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Commitments And Contingencies Disclosure [Abstract] | ' | ' |
Remainder of 2014 | $585 | ' |
2015 | 746 | ' |
2016 | 893 | ' |
2017 | 903 | ' |
2018 | 847 | ' |
Thereafter | 2,911 | ' |
Total minimum lease payments | 6,885 | ' |
Remainder of 2014 | 144 | ' |
2015 | 121 | ' |
2016 | 2,129 | ' |
2017 | 2,531 | ' |
2018 | 2,516 | ' |
Thereafter | 22,679 | ' |
Total minimum lease payments | 30,120 | ' |
Less amount representing interest | -14,635 | ' |
Present value of obligations under capital leases | 15,485 | ' |
Current portion of capital lease obligations | 213 | 286 |
Capital lease obligations, net of current portion | 15,272 | 14,957 |
Present value of obligations under capital leases | $15,485 | ' |
Commitments_and_Contingencies_4
Commitments and Contingencies - Summary of Fixed Contractual Cash Obligations (Detail) (USD $) | Jun. 30, 2014 |
In Thousands, unless otherwise specified | |
Contractual Obligation [Line Items] | ' |
Capital lease obligations, including interest | $30,120 |
Operating leases | 6,885 |
Total contractual obligations | 37,005 |
Less Than One Year [Member] | ' |
Contractual Obligation [Line Items] | ' |
Capital lease obligations, including interest | 174 |
Operating leases | 958 |
Total contractual obligations | 1,132 |
One To Three Years [Member] | ' |
Contractual Obligation [Line Items] | ' |
Capital lease obligations, including interest | 2,852 |
Operating leases | 1,718 |
Total contractual obligations | 4,570 |
Three To Five Years [Member] | ' |
Contractual Obligation [Line Items] | ' |
Capital lease obligations, including interest | 5,042 |
Operating leases | 1,465 |
Total contractual obligations | 6,507 |
More Than Five Years [Member] | ' |
Contractual Obligation [Line Items] | ' |
Capital lease obligations, including interest | 22,052 |
Operating leases | 2,744 |
Total contractual obligations | $24,796 |