DOCUMENT_AND_ENTITY_INFORMATIO
DOCUMENT AND ENTITY INFORMATION (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Apr. 26, 2014 | Sep. 27, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'PLANTRONICS INC /CA/ | ' | ' |
Entity Central Index Key | '0000914025 | ' | ' |
Current Fiscal Year End Date | '--03-31 | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Mar-14 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Amendment Flag | 'false | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 42,548,666 | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Public Float | ' | ' | $2,043,949,950 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $232,704 | $228,776 |
Short-term investments | 102,717 | 116,581 |
Accounts receivable, net | 138,301 | 128,209 |
Inventory, net | 57,132 | 67,435 |
Deferred tax assets | 11,776 | 10,120 |
Other current assets | 13,657 | 15,369 |
Total current assets | 556,287 | 566,490 |
Long-term investments | 100,342 | 80,261 |
Property, plant, and equipment, net | 134,402 | 99,111 |
Goodwill and purchased intangibles, net | 16,165 | 16,440 |
Other assets | 4,619 | 2,303 |
Total assets | 811,815 | 764,605 |
Current liabilities: | ' | ' |
Accounts payable | 30,756 | 37,067 |
Accrued liabilities | 66,851 | 66,419 |
Total current liabilities | 97,607 | 103,486 |
Deferred tax liabilities | 0 | 1,742 |
Long-term income taxes payable | 12,719 | 12,005 |
Other long-term liabilities | 2,825 | 925 |
Total liabilities | 113,151 | 118,158 |
Commitments and contingencies (Note 7) | ' | ' |
Stockholders' equity: | ' | ' |
Preferred stock, $0.01 par value per share; 1,000 shares authorized, no shares outstanding | 0 | 0 |
Common stock, $0.01 par value per share; 100,000 shares authorized, 44,731 shares and 43,296 shares issued at 2014 and 2013, respectively | 770 | 757 |
Additional paid-in capital | 663,483 | 612,283 |
Accumulated other comprehensive income | 2,638 | 5,567 |
Retained earnings | 123,389 | 28,344 |
Total stockholders' equity before treasury stock | 790,280 | 646,951 |
Less: Treasury stock (common: 2,082 shares and 13 shares at 2014 and 2013, respectively) at cost | -91,616 | -504 |
Total stockholders' equity | 698,664 | 646,447 |
Total liabilities and stockholders' equity | $811,815 | $764,605 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parentheticals) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
Stockholders' equity: | ' | ' |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 44,731,000 | 43,296,000 |
Treasury stock, common shares | 2,082,000 | 13,000 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Income Statement [Abstract] | ' | ' | ' |
Net revenues | $818,607 | $762,226 | $713,368 |
Cost of revenues | 391,979 | 359,045 | 329,017 |
Gross profit | 426,628 | 403,181 | 384,351 |
Operating expenses: | ' | ' | ' |
Research, development, and engineering | 84,781 | 80,373 | 69,664 |
Selling, general, and administrative | 201,176 | 182,445 | 173,334 |
Restructuring and other related charges | 547 | 2,266 | 0 |
Total operating expenses | 286,504 | 265,084 | 242,998 |
Operating income | 140,124 | 138,097 | 141,353 |
Interest and other income, net | 1,015 | 328 | 1,249 |
Income before income taxes | 141,139 | 138,425 | 142,602 |
Income tax expense | 28,722 | 32,023 | 33,566 |
Net income | $112,417 | $106,402 | $109,036 |
Earnings Per Share, Basic [Abstract] | ' | ' | ' |
Basic (in dollars per share) | $2.65 | $2.55 | $2.48 |
Earnings Per Share, Diluted [Abstract] | ' | ' | ' |
Diluted (in dollars per share) | $2.59 | $2.49 | $2.41 |
Shares used in basic per share calculations | 42,452 | 41,748 | 44,023 |
Shares used in diluted per share calculations | 43,364 | 42,738 | 45,265 |
Cash dividends declared per common share (in dollars per share) | $0.40 | $0.40 | $0.20 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
CASH FLOWS FROM OPERATING ACTIVITIES | ' | ' | ' |
Net income | $112,417 | $106,402 | $109,036 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 15,566 | 16,219 | 13,760 |
Stock-based compensation | 23,180 | 18,350 | 17,481 |
Provision for excess and obsolete inventories | 4,138 | 1,576 | 2,222 |
Deferred income taxes | -5,813 | 984 | -3,497 |
Excess tax benefit from stock-based compensation | -4,659 | -2,722 | -7,043 |
Other operating activities | 1,983 | 2,249 | 2,995 |
Changes in assets and liabilities, net of effect of acquisition: | ' | ' | ' |
Accounts receivable, net | -11,136 | -16,335 | -9,402 |
Inventory, net | 6,040 | -14,811 | 606 |
Current and other assets | 1,355 | -6,056 | -67 |
Accounts payable | -6,311 | 2,778 | 131 |
Accrued liabilities | -418 | 9,641 | -4,303 |
Income taxes | 5,149 | 7,226 | 18,529 |
Cash provided by operating activities | 141,491 | 125,501 | 140,448 |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' | ' |
Proceeds from sales of investments | 102,414 | 56,471 | 88,489 |
Proceeds from maturities of investments | 137,955 | 184,115 | 189,131 |
Purchase of investments | -247,355 | -258,278 | -267,895 |
Capital expenditures and other assets | -50,985 | -39,310 | -19,140 |
Acquisition, net of cash acquired | 0 | -1,926 | 0 |
Cash used for investing activities | -57,971 | -58,928 | -9,415 |
CASH FLOWS FROM FINANCING ACTIVITIES | ' | ' | ' |
Repurchase of common stock | -85,654 | -23,931 | -273,791 |
Proceeds from issuances under stock-based compensation plans | 24,055 | 31,865 | 43,123 |
Employees' tax withheld and paid for restricted stock and restricted stock units | -6,222 | -3,047 | -2,596 |
Proceeds from revolving line of credit | 0 | 18,000 | 68,500 |
Repayments of revolving line of credit | 0 | -55,000 | -31,500 |
Payment of cash dividends | -17,372 | -17,072 | -9,040 |
Excess tax benefit from stock-based compensation | 4,659 | 2,722 | 7,043 |
Cash used for financing activities | -80,534 | -46,463 | -198,261 |
Effect of exchange rate changes on cash and cash equivalents | 942 | -669 | -810 |
Net increase (decrease) in cash and cash equivalents | 3,928 | 19,441 | -68,038 |
Cash and cash equivalents at beginning of year | 228,776 | 209,335 | 277,373 |
Cash and cash equivalents at end of year | 232,704 | 228,776 | 209,335 |
SUPPLEMENTAL DISCLOSURES | ' | ' | ' |
Cash paid for income taxes | $31,021 | $29,953 | $20,752 |
CONSOLIDATED_STATEMENTS_OF_STO
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (USD $) | Total | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income | Retained Earnings | Treasury Stock |
In Thousands, except Share data, unless otherwise specified | ||||||
Stockholders' equity, beginning of period at Mar. 31, 2011 | $634,852 | $720 | $499,027 | $1,473 | $192,468 | ($58,836) |
Common stock, shares, beginning of period at Mar. 31, 2011 | ' | 48,315,000 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Net income | 109,036 | ' | ' | ' | 109,036 | ' |
Foreign currency translation adjustments | -788 | ' | ' | -788 | ' | ' |
Net unrealized gains (losses) on cash flow hedges, net of tax | 5,618 | ' | ' | 5,618 | ' | ' |
Net unrealized gain on investments, net of tax | 54 | ' | ' | 54 | ' | ' |
Proceeds from issuances under stock-based compensation plans, shares | ' | 2,359,000 | ' | ' | ' | ' |
Proceeds from issuances under stock-based compensation plans | 43,123 | 21 | 37,415 | ' | ' | 5,687 |
Repurchase of restricted common stock, shares | ' | -60,000 | ' | ' | ' | ' |
Repurchase of restricted common stock | 0 | ' | ' | ' | ' | ' |
Cash dividends | -9,040 | ' | ' | ' | -9,040 | ' |
Stock-based compensation | 17,481 | ' | 17,481 | ' | ' | ' |
Tax benefit from stock-based awards | 3,295 | ' | 3,295 | ' | ' | ' |
Repurchase of common stock, shares | ' | -8,027,000 | ' | ' | ' | ' |
Repurchase of common stock | -273,791 | ' | ' | ' | ' | -273,791 |
Employees' tax withheld and paid for restricted stock and restricted stock units, shares | ' | -75,000 | ' | ' | ' | ' |
Employees' tax withheld and paid for restricted stock and restricted stock units | -2,596 | ' | ' | ' | ' | -2,596 |
Retirement of treasury stock | 0 | ' | ' | ' | -177,106 | 177,106 |
Stockholders' equity, end of period at Mar. 31, 2012 | 527,244 | 741 | 557,218 | 6,357 | 115,358 | -152,430 |
Common stock, shares, end of period at Mar. 31, 2012 | ' | 42,512,000 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Net income | 106,402 | ' | ' | ' | 106,402 | ' |
Foreign currency translation adjustments | -261 | ' | ' | -261 | ' | ' |
Net unrealized gains (losses) on cash flow hedges, net of tax | -555 | ' | ' | -555 | ' | ' |
Net unrealized gain on investments, net of tax | 26 | ' | ' | 26 | ' | ' |
Proceeds from issuances under stock-based compensation plans, shares | ' | 1,730,000 | ' | ' | ' | ' |
Proceeds from issuances under stock-based compensation plans | 31,865 | 16 | 29,289 | ' | ' | 2,560 |
Repurchase of restricted common stock, shares | ' | -114,000 | ' | ' | ' | ' |
Repurchase of restricted common stock | 0 | 0 | ' | ' | ' | ' |
Cash dividends | -17,072 | ' | ' | ' | -17,072 | ' |
Stock-based compensation | 18,350 | ' | 18,350 | ' | ' | ' |
Tax benefit from stock-based awards | 1,260 | ' | 1,260 | ' | ' | ' |
Repurchase of common stock, shares | ' | -752,000 | ' | ' | ' | ' |
Repurchase of common stock | -23,931 | ' | ' | ' | ' | -23,931 |
Employees' tax withheld and paid for restricted stock and restricted stock units, shares | ' | -93,000 | ' | ' | ' | ' |
Employees' tax withheld and paid for restricted stock and restricted stock units | -3,047 | ' | ' | ' | ' | -3,047 |
Adjustment related to expired stock options | 6,166 | ' | 6,166 | ' | ' | ' |
Retirement of treasury stock | 0 | ' | ' | ' | -176,344 | 176,344 |
Stockholders' equity, end of period at Mar. 31, 2013 | 646,447 | 757 | 612,283 | 5,567 | 28,344 | -504 |
Common stock, shares, end of period at Mar. 31, 2013 | ' | 43,283,000 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Net income | 112,417 | ' | ' | ' | 112,417 | ' |
Foreign currency translation adjustments | -244 | ' | ' | -244 | ' | ' |
Net unrealized gains (losses) on cash flow hedges, net of tax | -2,760 | ' | ' | -2,760 | ' | ' |
Net unrealized gain on investments, net of tax | 75 | ' | ' | 75 | ' | ' |
Proceeds from issuances under stock-based compensation plans, shares | ' | 1,498,000 | ' | ' | ' | ' |
Proceeds from issuances under stock-based compensation plans | 24,055 | 14 | 24,041 | ' | ' | 0 |
Repurchase of restricted common stock, shares | ' | -45,000 | ' | ' | ' | ' |
Repurchase of restricted common stock | 0 | 0 | ' | ' | ' | ' |
Cash dividends | -17,372 | ' | ' | ' | -17,372 | ' |
Stock-based compensation | 23,180 | ' | 23,180 | ' | ' | ' |
Tax benefit from stock-based awards | 4,659 | ' | 4,659 | ' | ' | ' |
Repurchase of common stock, shares | ' | -1,949,000 | ' | ' | ' | ' |
Repurchase of common stock | -85,654 | ' | ' | ' | ' | -85,654 |
Employees' tax withheld and paid for restricted stock and restricted stock units, shares | ' | -138,000 | ' | ' | ' | ' |
Employees' tax withheld and paid for restricted stock and restricted stock units | -6,222 | -1 | ' | ' | ' | -6,221 |
Other equity changes related to compensation | 83 | ' | -680 | ' | ' | 763 |
Stockholders' equity, end of period at Mar. 31, 2014 | $698,664 | $770 | $663,483 | $2,638 | $123,389 | ($91,616) |
Common stock, shares, end of period at Mar. 31, 2014 | ' | 42,649,000 | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME Statement (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' |
Net income | $112,417 | $106,402 | $109,036 |
Other comprehensive income: | ' | ' | ' |
Foreign currency translation adjustments | -244 | -261 | -788 |
Unrealized cash flow hedge gains (losses) arising during the year | -3,750 | 3,441 | 2,951 |
Net (gains) losses reclassified into net revenues for revenue hedges (effective portion) | 965 | -3,367 | 2,415 |
Net (gains) losses reclassified into cost of revenues for cost of revenues hedges (effective portion) | -28 | -640 | 385 |
Net unrealized gains (losses) on cash flow hedges | -2,813 | -566 | 5,751 |
Unrealized holding gains during the year | 101 | 35 | 68 |
Net losses reclassified into income | 0 | 0 | -11 |
Net unrealized gains on investments | 101 | 35 | 57 |
Aggregate income tax benefit (expense) of the above items | 27 | 2 | -136 |
Other comprehensive income (loss) | -2,929 | -790 | 4,884 |
Comprehensive income | $109,488 | $105,612 | $113,920 |
THE_COMPANY
THE COMPANY | 12 Months Ended |
Mar. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
THE COMPANY | ' |
THE COMPANY | |
Plantronics, Inc. (“Plantronics” or “the Company”) is a leading worldwide designer, manufacturer, and marketer of lightweight communications headsets, telephone headset systems, and accessories for the business and consumer markets under the Plantronics brand. In addition, the Company manufactures and markets specialty products under its Clarity brand, such as telephones for the hearing impaired, and other related products for people with special communication needs. The Company operates its business as one segment. | |
Founded in 1961, Plantronics is incorporated in the state of Delaware and trades on the New York Stock Exchange under the ticker symbol “PLT”. |
SIGNIFICANT_ACCOUNTING_POLICIE
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Mar. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Significant Accounting Policies | ' |
SIGNIFICANT ACCOUNTING POLICIES | |
Management's Use of Estimates and Assumptions | |
The Company's consolidated financial statements are prepared in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP"). In connection with the preparation of our financial statements, the Company is required to make assumptions and estimates about future events, and apply judgments that affect the reported amounts of assets, liabilities, net revenues, expenses, and the related disclosures. The Company bases its assumptions, estimates, and judgments on historical experience, current trends, future expectations, and other factors that management believes to be relevant at the time the consolidated financial statements are prepared. On an ongoing basis, the Company reviews its accounting policies, assumptions, estimates, and judgments, including those related to revenue and related reserves and allowances, inventory valuation, product warranty obligations, the useful lives of long-lived assets including property, plant and equipment and intangible assets, investment fair values, stock-based compensation, goodwill, income taxes, contingencies, and restructuring charges, to ensure that the consolidated financial statements are presented fairly and in accordance with U.S. GAAP. Because future events and their effects cannot be determined with certainty, actual results could differ from the Company's assumptions and estimates. | |
Principles of Consolidation | |
The consolidated financial statements include the accounts of Plantronics and its wholly owned subsidiaries. The Company has included the results of operations of acquired companies from the date of acquisition. All intercompany balances and transactions have been eliminated. | |
Fiscal Year | |
The Company’s fiscal year ends on the Saturday closest to the last day of March. Fiscal years 2014, 2013, and 2012 each consisted of 52 weeks and ended on March 29, 2014, March 30, 2013, and March 31, 2012, respectively. For purposes of presentation, the Company has indicated its accounting fiscal year as ending on March 31. | |
Financial Instruments | |
Cash, Cash Equivalents and Investments | |
All highly liquid investments with initial stated maturities of three months or less at the date of purchase are classified as cash equivalents. The Company classifies its investments as either short-term or long-term based on each instrument's underlying effective maturity date and reasonable expectations with regard to sales and redemptions of the instruments. All short-term investments have effective maturities less than 12 months, while all long-term investments have effective maturities greater than 12 months or the Company does not currently have the ability to liquidate the investments. The Company may sell its investments prior to their stated maturities for strategic purposes, in anticipation of credit deterioration, or for duration management. | |
As of March 31, 2014, all investments were classified as available-for-sale, with unrealized gains and losses recorded as a separate component of accumulated other comprehensive income ("AOCI") in stockholders’ equity. The specific identification method is used to determine the cost of disposed securities, with realized gains and losses reflected in interest and other income, net. | |
For investments with an unrealized loss, the factors considered in the review include the credit quality of the issuer, the duration that the fair value has been less than the adjusted cost basis, severity of impairment, reason for the decline in value and potential recovery period, the financial condition and near-term prospects of the investees, and whether the Company would be required to sell an investment due to liquidity or contractual reasons before its anticipated recovery. | |
Foreign Currency Derivatives | |
The Company accounts for its derivative instruments as either assets or liabilities and carries them at fair value. Derivative foreign currency contracts are valued using pricing models that use observable inputs. The accounting for changes in the fair value of a derivative depends on the intended use of the derivative and the resulting designation. | |
The Company enters into foreign exchange forward contracts to reduce the impact of foreign currency fluctuations on assets and liabilities denominated in currencies other than the functional currency of the reporting entity. The Company does not elect to obtain hedge accounting for these forward contracts. These forward contracts are carried at fair value with changes in the fair value recorded within interest and other income (expense), net in the consolidated statements of operations. Gains and losses on these contracts are intended to offset the impact of foreign exchange rate changes on the underlying foreign currency denominated assets and liabilities, and therefore, do not subject the Company to material balance sheet risk. | |
The Company has significant international revenues and costs denominated in foreign currencies, subjecting it to foreign currency risk. The Company purchases foreign currency option contracts and cross-currency swaps that qualify as cash flow hedges, with maturities of 12 months or less, to reduce the volatility of cash flows related primarily to forecasted revenue and intercompany transactions denominated in certain foreign currencies. All outstanding derivatives are recognized on the balance sheet at fair value. The effective portion of the designated derivative's gain or loss is initially reported as a component of AOCI and is subsequently reclassified into the financial statement line item in which the hedged item is recorded in the same period the forecasted transaction affects earnings. | |
The Company does not hold or issue derivative financial instruments for speculative trading purposes. Plantronics enters into derivatives only with counterparties that are among the largest United States ("U.S.") banks, ranked by assets, in order to minimize its credit risk and to date, no such counterparty has failed to meet its financial obligations under such contracts. | |
Provision for Doubtful Accounts | |
The Company maintains a provision for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. Plantronics regularly performs credit evaluations of its customers’ financial conditions and considers factors such as historical experience, credit quality, age of the accounts receivable balances, geographic or country-specific risks, and economic conditions that may affect a customer’s ability to pay. | |
Inventory and Related Reserves | |
Inventories are valued at the lower of cost or market. Cost is computed using standard cost, which approximates actual cost on a first-in, first-out basis. The Company writes down inventories that have become obsolete or are in excess of anticipated demand or net realizable value. Our estimate of write downs for excess and obsolete inventory is based on a detailed analysis of on-hand inventory and purchase commitments in excess of forecasted demand. | |
A substantial portion of the raw materials, components and subassemblies (together, “parts”) used in the Company's products are provided by its suppliers on a consignment basis. These consigned inventories are not recorded on the Company's consolidated balance sheet until it takes title to the parts, which occurs when they are consumed in the production process. The Company provides forecasts to its suppliers covering up to thirteen weeks of demand and places purchase orders when the parts are consumed in the production process, at which time all right, title, and interest in and to the parts transfers to the Company. Prior to consumption in the production process, the Company's suppliers bear the risk of loss and retain title to the consigned inventory. | |
The terms of the agreements allow the Company to return parts in excess of maximum order quantities to the suppliers at the supplier’s expense. Returns for other reasons are negotiated with the suppliers on a case-by-case basis and to date have been immaterial. As of March 31, 2014, the Company’s aggregate commitment to suppliers for parts used in the manufacture of the Company’s products was $163.9 million, which the Company expects to utilize in the normal course of business, net of an immaterial purchase commitments reserve. The Company’s purchase commitments reserve reflects the Company’s estimate of purchase commitments it does not expect to use in normal ongoing operations within the next twelve months. As of March 31, 2014 and 2013, the off-balance sheet consigned inventory balances were $40.0 million and $31.3 million, respectively. | |
Product Warranty Obligations | |
The Company records a liability for the estimated costs of warranties at the time the related revenue is recognized. The specific warranty terms and conditions range from one to two years starting from the delivery date to the end user and vary depending upon the product sold and the country in which the Company does business. Factors that affect the warranty obligations include product failure rates, estimated return rates, the amount of time lapsed from the date of sale to the date of return, material usage, and service delivery costs incurred in correcting product failures. | |
Goodwill and Purchased Intangibles | |
Goodwill has been measured as the excess of the cost of acquisition over the amount assigned to tangible and identifiable intangible assets acquired less liabilities assumed. At least annually, in the fourth quarter of each fiscal year or more frequently if indicators of impairment exist, management performs a review to determine if the carrying value of goodwill is impaired. The identification and measurement of goodwill impairment involves the estimation of fair value at the Company’s reporting unit level. The Company determines its reporting units by assessing whether discrete financial information is available and if segment management regularly reviews the results of that component. The Company has determined it has one reporting unit. | |
The Company performs an initial assessment of qualitative factors to determine whether the existence of events and circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing the totality of relevant events and circumstances, the Company determines that it is more likely than not that the fair value of the reporting unit exceeds its carrying value and there is no indication of impairment, no further testing is performed; however, if the Company concludes otherwise, the first step of the two-step impairment test must be performed by estimating the fair value of the reporting unit and comparing it with its carrying value, including goodwill. | |
Intangible assets other than goodwill are carried at cost and amortized over their estimated useful lives. The Company reviews identifiable finite-lived intangible assets to be held and used for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Determination of recoverability is based on the lowest level of identifiable estimated undiscounted cash flows resulting from use of the asset and its ultimate disposition. Measurement of any impairment loss is based on the amount by which the carrying value of the asset exceeds its fair market value. | |
Property, Plant and Equipment | |
Property, plant and equipment is stated at cost less accumulated depreciation and amortization. Depreciation is calculated using the straight-line method over the estimated useful lives of the respective assets, which range from two to thirty years. Amortization of leasehold improvements is computed using the straight-line method over the shorter of the estimated useful lives of the assets or the remaining lease term. Capitalized software costs are amortized on a straight-line basis over the estimated useful life of the assets. | |
Property, plant and equipment is reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. The Company recognizes an impairment charge in the event the net book value of such assets exceeds the future undiscounted cash flows attributable to the asset group. No material impairment losses were incurred in the periods presented. | |
Fair Value Measurements | |
All financial assets and liabilities and non-financial assets and liabilities are recognized or disclosed at fair value in the financial statements. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: | |
Level 1 | |
The Company's Level 1 financial assets consist of mutual funds. The fair value of Level 1 financial instruments is measured based on the quoted market price of identical securities. | |
Level 2 | |
The Company's Level 2 financial assets and liabilities consist of Government Agency Securities, Commercial Paper, Corporate Bonds, Certificates of Deposit ("CDs"), and derivative foreign currency contracts. | |
The fair value of Level 2 investment securities is determined based on other observable inputs, including multiple non-binding quotes from independent pricing services. Non-binding quotes are based on proprietary valuation models that are prepared by the independent pricing services and use algorithms based on inputs such as observable market data, quoted market prices for similar securities, issuer spreads, and internal assumptions of the broker. The Company corroborates the reasonableness of non-binding quotes received from the independent pricing services using a variety of techniques depending on the underlying instrument, including: (i) comparing them to actual experience gained from the purchases and maturities of investment securities, (ii) comparing them to internally developed cash flow models based on observable inputs, and (iii) monitoring changes in ratings of similar securities and the related impact on fair value. The fair value of Level 2 derivative foreign currency contracts is determined using pricing models that use observable market inputs. | |
Revenue Recognition | |
The Company sells substantially all of its products to end users through distributors, retailers, carriers, and original equipment manufacturers ("OEMs"). The Company's revenue is derived from the sale of headsets, telephone headset systems, and accessories for the business and consumer markets and is recognized when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the sales price is fixed or determinable, and collection is reasonably assured. These criteria are usually met at the time of product shipment; however, the Company defers revenue when any significant obligations remain and to date this has accounted for less than 1% of the Company's net revenues. Customer purchase orders and/or contracts are used to determine the existence of an arrangement. Product is considered delivered once it has been shipped and title and risk of loss have been transferred to the customer. The Company assesses whether a price is fixed or determinable based upon the selling terms associated with the transaction and whether the sales price is subject to refund or adjustment. The Company assesses collectibility based on a customer's credit quality, historical experience, and geographic or country-specific risks and economic conditions that may affect a customer's ability to pay. | |
Revenue is recorded net of taxes collected from customers that are remitted to governmental authorities, with the collected taxes recorded as current liabilities until remitted to the relevant government authority. Shipping and handling costs incurred in connection with the sale of products are included in cost of revenues. | |
Sales through retail and distribution channels are made primarily under agreements or commitments allowing for rights of return and include various sales incentive programs, such as rebates, advertising, price protection, and other sales incentives. The Company has an established sales history for these arrangements and records the estimated reserves and allowances at the time the related revenue is recognized. Sales return reserves are estimated based on historical data, relevant current data, and the monitoring of inventory build-up in the distribution channel. The allowance for sales incentive programs is based on historical experience and contractual terms or commitments in the form of lump sum payments or sell-through credits. | |
When a sales arrangement contains multiple elements, such as hardware and software products and/or services, the Company allocates revenue to each element based on relative selling prices. The selling price for a deliverable is based on its vendor specific objective evidence ("VSOE"), if available, third party evidence ("TPE") if VSOE is not available, or estimated selling price ("ESP") if neither VSOE nor TPE is available. In multiple element arrangements where more-than-incidental software deliverables are included, the Company allocates revenue to each separate unit of accounting for each of the non-software deliverables and to the software deliverables as a group using the relative selling prices of each of the deliverables in the arrangement based on the aforementioned selling price hierarchy. | |
Advertising Costs | |
The Company expenses all advertising costs as incurred. Advertising expense for the years ended March 31, 2014, 2013, and 2012 was $4.0 million, $3.6 million, and $2.6 million, respectively. | |
Income Taxes | |
Deferred income taxes are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. The Company records a valuation allowance against particular deferred income tax assets if it is more likely than not that those assets will not be realized. The provision for income taxes comprises the Company's current tax liability and changes in deferred income tax assets and liabilities. | |
Significant judgment is required in evaluating the Company's uncertain tax positions and determining its provision for income taxes. The Company establishes reserves for tax-related uncertainties based on estimates of whether, and the extent to which, additional taxes will be due. These reserves are established when the Company believes that certain positions might be challenged despite its belief that its tax return positions are in accordance with applicable tax laws. The Company adjusts these reserves in light of changing facts and circumstances, such as the closing of a tax audit, new tax legislation, or the change of an estimate. To the extent that the final tax outcome of these matters is different than the amounts recorded, such differences will affect the provision for income taxes in the period in which such determination is made. The provision for income taxes includes the effect of reserve provisions and changes to reserves that are considered appropriate, as well as the related net interest and penalties. The Company follows the tax law ordering to determine when excess tax benefits have been realized. | |
The Company is subject to income taxes in the U.S. and foreign jurisdictions. At any one time, multiple tax years are subject to audit by various tax authorities. | |
Earnings Per Share | |
Basic earnings per share is computed by dividing the net income for the period by the weighted average number of common shares outstanding during the period, less common stock subject to repurchase. Diluted earnings per share is computed by dividing the net income for the period by the weighted average number of shares of common stock and potentially dilutive common stock outstanding during the period. Potentially dilutive common shares include shares issuable upon the exercise of outstanding stock options, the vesting of awards of restricted stock, and the estimated shares to be purchased under the Company’s employee stock purchase plan ("ESPP"), which are reflected in diluted earnings per share by application of the treasury stock method. Under the treasury stock method, the amount that the employee must pay for exercising stock options, the amount of stock-based compensation cost for future services that the Company has not yet recognized, and the amount of tax benefit that would be recorded in additional paid-in capital upon exercise are assumed to be used to repurchase shares. | |
Comprehensive Income | |
Comprehensive income consists of two components, net income and other comprehensive income. Other comprehensive income refers to income, expenses, gains, and losses that under U.S. GAAP are recorded as an element of stockholders’ equity but are excluded from net income. Accumulated other comprehensive income, as presented in the accompanying consolidated balance sheets, consists of foreign currency translation adjustments, unrealized gains and losses on derivatives designated as cash flow hedges, net of tax, and unrealized gains and losses on marketable securities classified as available-for-sale, net of tax. | |
Foreign Operations and Currency Translation | |
The functional currency of the Company’s foreign sales and marketing offices, except as noted in the following paragraph, is the local currency of the respective operations. For these foreign operations, the Company translates assets and liabilities into U.S. dollars using the period-end exchange rates in effect as of the balance sheet date and translates revenues and expenses using the average monthly exchange rates. The resulting cumulative translation adjustments are included in accumulated other comprehensive income, a separate component of stockholders' equity in the accompanying consolidated balance sheets. | |
The functional currency of the Company’s European finance, sales and logistics headquarters in the Netherlands, sales office and warehouse in Japan, a manufacturing facility in Tijuana, Mexico, and logistic and research and development facilities in China, is the U.S. Dollar. For these foreign operations, assets and liabilities denominated in foreign currencies are re-measured at the period-end or historical rates, as appropriate. Revenues and expenses are re-measured at average monthly rates, which the Company believes to be a fair approximation of actual rates. Currency transaction gains and losses are recognized in current operations. | |
Stock-Based Compensation Expense | |
The Company applies the provisions of the Compensation – Stock Compensation Topic of the FASB ASC, which requires the measurement and recognition of compensation expense for all share-based payment awards made to employees and non-employee directors based on estimated fair values. The Company recognizes the grant-date fair value of stock-based compensation as compensation expense using the straight-line attribution approach over the service period for which the stock-based compensation is expected to vest. | |
The Company uses the “with and without” approach in determining the order in which tax attributes are utilized. As a result, the Company only recognizes a tax benefit from stock-based awards in additional paid-in capital if an incremental tax benefit is realized after all other tax attributes currently available to the Company have been utilized. When tax deductions from stock-based awards are less than the cumulative book compensation expense, the tax effect of the resulting difference (“shortfall”) is charged first to additional paid-in capital to the extent of the Company's pool of windfall tax benefits, with any remainder recognized in income tax expense. The Company has determined that it had a sufficient windfall pool available through the end of fiscal year 2014 to absorb any shortfalls. In addition, the Company accounts for the indirect effects of stock-based awards on other tax attributes, such as the research tax credit, through the consolidated statements of operations. | |
Treasury Shares | |
From time to time, the Company repurchases shares of its common stock, depending on market conditions, in the open market or through privately negotiated transactions, in accordance with programs authorized by the Board of Directors. Repurchased shares are held as treasury stock until such time as they are retired or re-issued. Retirements of treasury stock are non-cash equity transactions in which the reacquired shares are returned to the status of authorized but unissued shares and the cost is recorded as a reduction to both retained earnings and treasury stock. The stock repurchase programs are intended to offset the impact of dilution resulting from the Company's stock-based compensation programs. | |
Concentration of Risk | |
Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash equivalents, short-term and long-term investments, and trade accounts receivable. | |
Plantronics’ investment policy limits investments to highly-rated securities. In addition, the Company limits the amount of credit exposure to any one issuer and restricts placement of these investments to issuers evaluated as creditworthy. As of March 31, 2014 and 2013, the Company's investments were composed of Mutual Funds, Government Agency Securities, Commercial Paper, Corporate Bonds, and CDs. | |
Concentrations of credit risk with respect to trade receivables are limited due to the large number of customers that comprise the Company’s customer base and their dispersion across different geographies and markets. No customer accounted for 10% or more of total net accounts receivable for the fiscal years ended March 31, 2014 or 2013. The Company does not believe other significant concentrations of credit risk exist. Plantronics performs ongoing credit evaluations of its customers' financial condition and requires no collateral from its customers. The Company maintains a provision for doubtful accounts based upon expected collectibility of all accounts receivable. | |
Certain inventory components required by the Company are only available from a limited number of suppliers. The rapid rate of technological change and the necessity of developing and manufacturing products with short lifecycles may intensify these risks. The inability to obtain components as required, or to develop alternative sources, as required in the future, could result in delays or reductions in product shipments, which in turn could have a material adverse effect on the Company’s business, financial condition, results of operations and cash flows. |
RECENT_ACCOUNTING_PRONOUNCEMEN
RECENT ACCOUNTING PRONOUNCEMENTS | 12 Months Ended |
Mar. 31, 2014 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | ' |
Recent Accounting Pronouncements | ' |
RECENT ACCOUNTING PRONOUNCEMENTS | |
Recently Issued Pronouncements | |
In July 2013, the Financial Accounting Standards Board ("FASB") issued additional guidance regarding the presentation of unrecognized tax benefits. The guidance requires an unrecognized tax benefit, or a portion of an unrecognized tax benefit, to be presented in the financial statements as a reduction to a deferred tax asset if a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is available. This guidance is effective for fiscal years and interim periods beginning after December 15, 2013. The adoption is not expected to have a material impact on the Company’s results of operations or financial position. |
CASH_CASH_EQUIVALENTS_AND_INVE
CASH, CASH EQUIVALENTS AND INVESTMENTS | 12 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||
CASH, CASH EQUIVALENTS AND INVESTMENTS [Abstract] | ' | ||||||||||||||||||||||||||||
Cash, Cash Equivalents and Investments | ' | ||||||||||||||||||||||||||||
CASH, CASH EQUIVALENTS, AND INVESTMENTS | |||||||||||||||||||||||||||||
The following tables summarize the Company’s cash and available-for-sale securities’ adjusted cost, gross unrealized gains, gross unrealized losses, and fair value by significant investment category recorded as cash and cash equivalents, short-term, or long-term investments as of March 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||||||||||
March 31, 2014 | Amortized | Gross | Gross | Fair | Cash & Cash Equivalents | Short-term investments (due in 1 year or less) | Long-term investments (due in 1 to 3 years) | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||
Cash | $ | 232,704 | $ | — | $ | — | $ | 232,704 | $ | 232,704 | $ | — | $ | — | |||||||||||||||
Level 1: | |||||||||||||||||||||||||||||
Mutual Funds | 1,779 | 31 | (3 | ) | 1,807 | — | 1,807 | — | |||||||||||||||||||||
Level 2: | |||||||||||||||||||||||||||||
Government Agency Securities | 53,976 | 43 | (9 | ) | 54,010 | — | 21,325 | 32,685 | |||||||||||||||||||||
Commercial Paper | 47,766 | 7 | — | 47,773 | — | 47,773 | — | ||||||||||||||||||||||
Corporate Bonds | 98,289 | 195 | (17 | ) | 98,467 | — | 30,810 | 67,657 | |||||||||||||||||||||
Certificates of Deposits ("CDs") | 1,002 | — | — | 1,002 | — | 1,002 | — | ||||||||||||||||||||||
Subtotal | 201,033 | 245 | (26 | ) | 201,252 | — | 100,910 | 100,342 | |||||||||||||||||||||
Total cash, cash equivalents | $ | 435,516 | $ | 276 | $ | (29 | ) | $ | 435,763 | $ | 232,704 | $ | 102,717 | $ | 100,342 | ||||||||||||||
and investments measured at fair value | |||||||||||||||||||||||||||||
March 31, 2013 | Amortized | Gross | Gross | Fair | Cash & Cash Equivalents | Short-term investments (due in 1 year or less) | Long-term investments (due in 1 to 3 years) | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||
Cash | $ | 118,881 | $ | — | $ | — | $ | 118,881 | $ | 118,881 | $ | — | $ | — | |||||||||||||||
Level 1: | |||||||||||||||||||||||||||||
U.S. Treasury Bills and Government Agency Securities | 135,120 | 22 | — | 135,142 | 104,995 | 7,243 | 22,904 | ||||||||||||||||||||||
Level 2: | |||||||||||||||||||||||||||||
U.S. Treasury Bills and Government Agency Securities | 91,284 | 38 | (4 | ) | 91,318 | — | 58,864 | 32,454 | |||||||||||||||||||||
Commercial Paper | 20,570 | 9 | — | 20,579 | 4,900 | 15,679 | — | ||||||||||||||||||||||
Corporate Bonds | 58,644 | 54 | (5 | ) | 58,693 | — | 34,795 | 23,898 | |||||||||||||||||||||
CDs | 1,002 | 3 | — | 1,005 | — | — | 1,005 | ||||||||||||||||||||||
Subtotal | 171,500 | 104 | (9 | ) | 171,595 | 4,900 | 109,338 | 57,357 | |||||||||||||||||||||
Total cash, cash equivalents | $ | 425,501 | $ | 126 | $ | (9 | ) | $ | 425,618 | $ | 228,776 | $ | 116,581 | $ | 80,261 | ||||||||||||||
and investments measured at fair value | |||||||||||||||||||||||||||||
As of March 31, 2014 and 2013, all of the Company's investments are classified as available-for-sale securities. The carrying value of available-for-sale securities included in cash equivalents approximates fair value because of the short maturity of those instruments. | |||||||||||||||||||||||||||||
The Company did not incur any material realized or unrealized net gains or losses for the fiscal years ended March 31, 2014 and 2013. | |||||||||||||||||||||||||||||
There were no transfers between fair value measurement levels during the years ended March 31, 2014 and 2013. |
DETAILS_OF_CERTAIN_BALANCE_SHE
DETAILS OF CERTAIN BALANCE SHEET ACCOUNTS | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Balance Sheet Related Disclosures [Abstract] | ' | ||||||||
DETAILS OF CERTAIN BALANCE SHEET ACCOUNTS | ' | ||||||||
DETAILS OF CERTAIN BALANCE SHEET ACCOUNTS | |||||||||
Accounts receivable, net: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Accounts receivable | $ | 159,592 | $ | 151,250 | |||||
Provisions for returns | (6,201 | ) | (8,957 | ) | |||||
Provisions for promotions and rebates | (14,803 | ) | (13,675 | ) | |||||
Provisions for doubtful accounts and sales allowances | (287 | ) | (409 | ) | |||||
Accounts receivable, net | $ | 138,301 | $ | 128,209 | |||||
Inventory, net: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Raw materials | $ | 28,071 | $ | 28,743 | |||||
Work in process | 985 | 82 | |||||||
Finished goods | 28,076 | 38,610 | |||||||
Inventory, net | $ | 57,132 | $ | 67,435 | |||||
Property, plant, and equipment, net: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Land | $ | 14,170 | $ | 13,961 | |||||
Buildings and improvements (useful life: 7-30 years) | 94,299 | 72,263 | |||||||
Machinery and equipment (useful life: 2-10 years) | 97,520 | 88,538 | |||||||
Software (useful life: 5-6 years) | 30,368 | 30,538 | |||||||
Construction in progress | 24,927 | 16,101 | |||||||
261,284 | 221,401 | ||||||||
Accumulated depreciation and amortization | (126,882 | ) | (122,290 | ) | |||||
Property, plant, and equipment, net | $ | 134,402 | $ | 99,111 | |||||
Depreciation and amortization expense for fiscal years 2014, 2013, and 2012 was $15.5 million, $15.8 million, and $13.3 million, respectively. Included in depreciation and amortization expense in fiscal years 2014 and 2013 is an immaterial amount of accelerated amortization in connection with restructuring activity announced in fiscal year 2013 related to leasehold improvement assets with no alternative future use. | |||||||||
Included in Software are unamortized capitalized software costs of $5.1 million and $6.1 million at March 31, 2014 and 2013, respectively. Amortization expense related to capitalized software costs in fiscal years 2014, 2013, and 2012 was $2.3 million, $2.9 million, and $3.1 million, respectively. | |||||||||
Accrued liabilities: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Employee compensation and benefits | $ | 32,280 | $ | 29,796 | |||||
Warranty obligation | 7,965 | 13,410 | |||||||
Income taxes payable | 3,092 | 3,376 | |||||||
Accrued other | 23,514 | 19,837 | |||||||
Accrued liabilities | $ | 66,851 | $ | 66,419 | |||||
Changes in the warranty obligation, which are included as a component of accrued liabilities in the consolidated balance sheets, are as follows: | |||||||||
Year ended March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Warranty obligation at beginning of year | $ | 13,410 | $ | 13,346 | |||||
Correction of immaterial prior period error (1) | (5,042 | ) | — | ||||||
Warranty provision relating to products shipped during the year | 5,158 | 16,287 | |||||||
Deductions for warranty claims processed | (5,561 | ) | (16,223 | ) | |||||
Warranty obligation at end of year | $ | 7,965 | $ | 13,410 | |||||
(1) During the third quarter of fiscal year 2014, the Company identified immaterial out of period errors related to its estimated warranty obligation and return material authorization ("RMA") reserves, the correction of which decreased its cost of revenues by approximately $2.4 million and increased net income by approximately $2.1 million. The Company recorded these corrections in the quarter ended December 31, 2013 because the errors were not material, either individually or in the aggregate, to any of the prior reporting periods. In addition, these adjustments are not material for the fiscal year ending March 31, 2014, either individually or in the aggregate. |
GOODWILL
GOODWILL | 12 Months Ended |
Mar. 31, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ' |
Goodwill | ' |
GOODWILL | |
Goodwill as of March 31, 2014 and March 31, 2013 was $15.5 million and $15.5 million, net of accumulated impairment of $54.6 million. | |
In fiscal years 2014 and 2013, for purposes of the annual goodwill impairment test, the Company determined there to be no reporting units below its operating segment; therefore, the annual goodwill impairment analysis was performed at the segment level in both of these years. | |
In the fourth quarter of fiscal years 2014 and 2013, the Company evaluated qualitative factors that may affect the fair value of the reporting unit and concluded there to be no indication of goodwill impairment. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | ||||
Mar. 31, 2014 | |||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||
Commitments and Contingencies | ' | ||||
COMMITMENTS AND CONTINGENCIES | |||||
Minimum Future Rental Payments | |||||
Minimum future rental payments under non-cancelable operating leases having remaining terms in excess of one year as of March 31, 2014 are as follows: | |||||
Fiscal Year Ending March 31, | (in thousands) | ||||
2015 | $ | 3,193 | |||
2016 | 1,738 | ||||
2017 | 745 | ||||
2018 | 599 | ||||
2019 | 470 | ||||
Thereafter | 840 | ||||
Total minimum future rental payments | $ | 7,585 | |||
Total rent expense for operating leases was approximately $4.3 million, $5.6 million, and $5.9 million in fiscal years 2014, 2013, and 2012, respectively. | |||||
Unconditional Purchase Obligations | |||||
The Company purchases services and components from a variety of suppliers and manufacturers. During the normal course of business and to manage manufacturing operations and general and administrative activities, the Company may enter into firm, non-cancelable, and unconditional purchase obligations for which amounts are not recorded in the consolidated balance sheets. Such obligations totaled $163.9 million as of March 31, 2014. | |||||
Other Guarantees and Obligations | |||||
In the ordinary course of business, the Company may provide indemnifications of varying scope and terms to customers, vendors, lessors, business partners, purchasers of assets or subsidiaries and other parties with respect to certain matters, including, but not limited to, losses arising out of the Company's breach of agreements or representations and warranties made by the Company, services to be provided by the Company, intellectual property infringement claims made by third parties or, with respect to the sale of assets or a subsidiary, matters related to the Company's conduct of the business and tax matters prior to the sale. From time to time, the Company indemnifies customers against combinations of loss, expense, or liability arising from various triggering events relating to the sale and use of its products and services. In addition, Plantronics also provides protection to customers against claims related to undiscovered liabilities, additional product liability, or environmental obligations. In addition, the Company has entered into indemnification agreements with its directors and certain of its officers that will require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors or officers. The Company maintains director and officer insurance, which may cover certain liabilities arising from its obligation to indemnify its directors and officers in certain circumstances. It is not possible to determine the aggregate maximum potential loss under these indemnification agreements due to the limited history of prior indemnification claims and the unique facts and circumstances involved in each particular agreement. Such indemnification agreements might not be subject to maximum loss clauses. Historically, the Company has not incurred material costs as a result of obligations under these agreements and it has not accrued any liabilities related to such indemnification obligations in the consolidated financial statements. | |||||
Claims and Litigation | |||||
On October 12, 2012, GN Netcom, Inc. sued Plantronics, Inc. in the U.S. District Court for the District of Delaware, alleging violations of the Sherman Act, the Clayton Act, and Delaware common law. In its complaint, GN specifically alleges four causes of action: Monopolization, Attempted Monopolization, Concerted Action in Restraint of Trade, and Tortious Interference with Business Relations. GN claims that Plantronics dominates the market for headsets sold into contact centers in the United States and that a critical channel for sales of headsets to contact centers is through a limited network of specialized independent distributors (“SIDs”). GN asserts that Plantronics attracts SIDs through Plantronics Only Distributor Agreements and the use of these agreements is allegedly illegal. The Company denies each of the allegations in the complaint and is vigorously defending itself. Given the preliminary nature of the case, the Company is unable to estimate an amount or range of any reasonably possible losses resulting from these allegations. | |||||
In March 2014, the Company settled pending patent litigation with Aliph, Inc. and AliphCom, Inc. (collectively, “Aliph”). As part of this settlement, the Company granted to Aliph a non-exclusive, non-transferable license under the licensed patent and released Aliph from all claims in exchange for a settlement payment of $8 million, payable in four equal installments of $2 million each, commencing in May 2014 and ending in January 2015. The Company will recognize the gain upon receipt of the settlement proceeds, net of immaterial legal contingency fees, within operating income. | |||||
In addition, the Company is involved in various legal proceedings arising in the normal course of conducting business. For such legal proceedings, where applicable, the Company has accrued an amount that reflects the aggregate liability deemed probable and estimable, but this amount is not material to the Company's financial condition, results of operations, or cash flows. The Company is not able to estimate an amount or range of any reasonably possible additional losses because of the preliminary nature of many of these proceedings, the difficulty in ascertaining the applicable facts relating to many of these proceedings, the variable treatment of claims made in many of these proceedings, and the difficulty of predicting the settlement value of many of these proceedings; however, based upon the Company's historical experience, the resolution of these proceedings is not expected to have a material effect on the Company's financial condition, results of operations or cash flows. The Company may incur substantial legal fees, which are expensed as incurred, in defending against these legal proceedings. |
CREDIT_AGREEMENT
CREDIT AGREEMENT | 12 Months Ended |
Mar. 31, 2014 | |
Debt Disclosure [Abstract] | ' |
Credit Agreement | ' |
CREDIT AGREEMENT | |
On May 9, 2011, the Company entered into a credit agreement with Wells Fargo Bank, National Association ("the Bank"), which was most recently amended on January 24, 2014 to extend its term to May 9, 2017 (as amended, "the Credit Agreement") with the Bank. The Credit Agreement provides for a $100.0 million unsecured revolving line of credit ("line of credit") and, if requested by the Company, the Bank may increase its commitment thereunder by up to $100.0 million, for a total facility size of up to $200.0 million. As of March 31, 2013 and 2014, the Company had no outstanding borrowings under the line of credit. | |
Loans under the Credit Agreement bear interest at the election of the Company (i) at the Bank's announced prime rate less 1.50% per annum, (ii) at a daily one month LIBOR rate plus 1.10% per annum or (iii) at an adjusted LIBOR rate, for a term of one, three or six months, plus 1.10% per annum. Interest on the loans is payable quarterly in arrears. In addition, the Company pays a fee equal to 0.20% per annum on the average daily unused amount of the line of credit, which is payable quarterly in arrears. | |
Principal, together with accrued and unpaid interest, is due on the amended maturity date, May 9, 2017. The Company may prepay the loans and terminate the commitments in whole at any time, without premium or penalty, subject to reimbursement of certain costs in the case of LIBOR loans. | |
The Company's obligations under the Credit Agreement are guaranteed by the Company's domestic subsidiaries, subject to certain exceptions. | |
The line of credit requires the Company to comply with a maximum ratio of funded debt to earnings before interest, taxes, depreciation and amortization ("EBITDA") and a minimum EBITDA coverage ratio, in each case at each fiscal quarter end and determined on a rolling four-quarter basis. In addition, the Company and its subsidiaries are required to maintain unrestricted cash, cash equivalents, and marketable securities plus availability under the Credit Agreement at the end of each fiscal quarter of at least $200.0 million. | |
The line of credit contains affirmative covenants, including covenants regarding the payment of taxes and other liabilities, maintenance of insurance, reporting requirements, and compliance with applicable laws and regulations. The line of credit also contains negative covenants, among other things, limiting, subject to certain monetary thresholds, the ability of the Company to incur debt, make capital expenditures, grant liens, make acquisitions, and make investments. The events of default under the line of credit include payment defaults, cross defaults with certain other indebtedness, breaches of covenants, judgment defaults, and bankruptcy and insolvency events involving the Company or any of its subsidiaries. The Company was in compliance with all covenants at March 31, 2014. |
STOCKBASED_COMPENSATION
STOCK-BASED COMPENSATION | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||||||||||
Stock Plans and Stock-Based Compensation | ' | ||||||||||||||||||||||||
STOCK PLANS AND STOCK-BASED COMPENSATION | |||||||||||||||||||||||||
2003 Stock Plan | |||||||||||||||||||||||||
On May 2003, the Board of Directors ("Board") adopted the Plantronics, Inc. 2003 Stock Plan ("2003 Stock Plan") which was approved by the stockholders in June 27, 2003. The 2003 Stock Plan, which will continue in effect until terminated by the Board, allows for the issuance of the Company's common stock through the granting of non-qualified stock options, restricted stock awards, and restricted stock units. As of March 31, 2014, there have been 13,900,000 shares of common stock (which number is subject to adjustment in the event of stock splits, reverse stock splits, recapitalization or certain corporate reorganizations) cumulatively reserved since inception of the 2003 Stock Plan for issuance to employees, non-employee directors, and consultants of Plantronics. The Company settles stock option exercises and releases of vested restricted stock with newly issued common shares. | |||||||||||||||||||||||||
The exercise price of stock options may not be less than 100% of the fair market value of the Company's common stock on the date of grant. The term of an option may not exceed 7 years from the date it is granted. Stock options granted to employees subsequent to September 2007 vest over a three-year period, and stock options granted from September 2004 to September 2007 vested over a four-year period. Stock options granted to non-employee directors vest over a four-year period. | |||||||||||||||||||||||||
Awards of restricted stock and restricted stock units with a per share or per unit purchase price less than the fair market value on the grant date that were granted from July 26, 2006 through August 4, 2011 are counted against the total number of shares issuable under the Plan as 2.5 shares for every 1 share subject thereto. No participant shall receive restricted stock awards in any fiscal year having an aggregate initial value greater than $2.0 million, and no participant shall receive restricted stock units in any fiscal year having an aggregate initial value greater than $2.0 million. Restricted stock and restricted stock units granted to employees subsequent to May 2013 vest over a three-year period, and restricted stock and restricted stock units granted from September 2007 to April 2013 vest over a three or four-year period depending on the size of the grant. Restricted stock granted to non-employee directors vests over a four-year period. | |||||||||||||||||||||||||
At March 31, 2014, options to purchase 1,933,775 shares of common stock and 1,115,786 shares of unvested restricted stock were outstanding, and there were 3,324,264 shares available for future grant under the 2003 Stock Plan. | |||||||||||||||||||||||||
2002 ESPP | |||||||||||||||||||||||||
On June 10, 2002, the Board adopted the 2002 Employee Stock Purchase Plan ("ESPP"), which was approved by the stockholders on July 17, 2002, to provide eligible employees with an opportunity to purchase the Company's common stock through payroll deductions. The ESPP qualifies under Section 423 of the Internal Revenue Code. Under the ESPP, which is effective until terminated by the Board, the purchase price of the Company's common stock is equal to 85% of the lesser of the closing price of the common stock on (i) the first day of the offering period or (ii) the last day of the offering period. Each offering period is six months long. There were 151,607, 158,596, and 182,209 shares issued under the ESPP in fiscal years 2014, 2013, and 2012, respectively. At March 31, 2014, there were 307,607 shares reserved for future issuance under the ESPP. The total cash received from employees as a result of stock issuances under the ESPP during fiscal year 2014 was $5.4 million, net of taxes. | |||||||||||||||||||||||||
Stock-based Compensation | |||||||||||||||||||||||||
The following table summarizes the amount of stock-based compensation expense included in the consolidated statements of operations for the periods presented: | |||||||||||||||||||||||||
Fiscal Year Ended March 31, | |||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Cost of revenues | $ | 2,554 | $ | 2,020 | $ | 2,212 | |||||||||||||||||||
Research, development and engineering | 6,404 | 4,842 | 3,917 | ||||||||||||||||||||||
Selling, general and administrative | 14,222 | 11,488 | 11,352 | ||||||||||||||||||||||
Stock-based compensation expense included in operating expenses | 20,626 | 16,330 | 15,269 | ||||||||||||||||||||||
Total stock-based compensation | 23,180 | 18,350 | 17,481 | ||||||||||||||||||||||
Income tax benefit | (6,790 | ) | (5,479 | ) | (5,463 | ) | |||||||||||||||||||
Total stock-based compensation expense, net of tax | $ | 16,390 | $ | 12,871 | $ | 12,018 | |||||||||||||||||||
Stock Plan Activity | |||||||||||||||||||||||||
Stock Options | |||||||||||||||||||||||||
The following is a summary of the Company’s stock option activity during fiscal year 2014: | |||||||||||||||||||||||||
Options Outstanding | |||||||||||||||||||||||||
Number of Shares | Weighted Average Exercise Price | Weighted Average Remaining Contractual Life | Aggregate Intrinsic Value | ||||||||||||||||||||||
(in thousands) | (in years) | (in thousands) | |||||||||||||||||||||||
Outstanding at March 31, 2013 | 2,415 | $ | 27.96 | ||||||||||||||||||||||
Options granted | 297 | $ | 44.75 | ||||||||||||||||||||||
Options exercised | (765 | ) | $ | 24.39 | |||||||||||||||||||||
Options forfeited or expired | (13 | ) | $ | 33.3 | |||||||||||||||||||||
Outstanding at March 31, 2014 | 1,934 | $ | 31.91 | 4 | $ | 22,190 | |||||||||||||||||||
Vested and expected to vest at March 31, 2014 | 1,900 | $ | 31.75 | 3.9 | $ | 22,075 | |||||||||||||||||||
Exercisable at March 31, 2014 | 1,377 | $ | 28.83 | 3.3 | $ | 19,675 | |||||||||||||||||||
The total intrinsic values of options exercised during fiscal years 2014, 2013, and 2012 were $16.3 million, $15.6 million, and $27.6 million, respectively. Intrinsic value is defined as the amount by which the fair value of the underlying stock exceeds the exercise price at the time of option exercise. The total cash received from employees as a result of employee stock option exercises during fiscal year 2014 was $18.7 million, net of taxes. The total net tax benefit attributable to stock options exercised during the year ended March 31, 2014 was $5.4 million. | |||||||||||||||||||||||||
As of March 31, 2014, the total unrecognized compensation cost related to unvested stock options was $4.8 million and is expected to be recognized over a weighted average period of 1.9 years. | |||||||||||||||||||||||||
Restricted Stock | |||||||||||||||||||||||||
Restricted stock consists of awards of restricted stock and restricted stock units ("RSUs"). The following is a summary of the Company’s restricted stock activity during fiscal year 2014: | |||||||||||||||||||||||||
Number of Shares | Weighted Average Grant Date Fair Value | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Non-vested at March 31, 2013 | 1,025 | $ | 33.34 | ||||||||||||||||||||||
Restricted stock granted | 582 | $ | 46.02 | ||||||||||||||||||||||
Restricted stock vested | (385 | ) | $ | 33.17 | |||||||||||||||||||||
Restricted stock forfeited | (50 | ) | $ | 37.55 | |||||||||||||||||||||
Non-vested at March 31, 2014 | 1,172 | $ | 39.52 | ||||||||||||||||||||||
The weighted average grant-date fair value of restricted stock is based on the quoted market price of the Company's common stock on the date of grant. The weighted average grant-date fair values of restricted stock granted during fiscal years 2014, 2013 and 2012 were $46.02, $32.22, and $36.37, respectively. The total grant-date fair values of restricted stock that vested during fiscal years 2014, 2013, and 2012 were $12.8 million, $7.9 million, and $5.5 million, respectively. | |||||||||||||||||||||||||
As of March 31, 2014, the total unrecognized compensation cost related to non-vested restricted stock awards was $28.6 million and is expected to be recognized over a weighted average period of 2.0 years. | |||||||||||||||||||||||||
Valuation Assumptions | |||||||||||||||||||||||||
The Company estimates the fair value of stock options and ESPP shares using a Black-Scholes option valuation model. At the date of grant, the Company estimated the fair value of each stock option grant and purchase right granted under the ESPP using the following weighted average assumptions: | |||||||||||||||||||||||||
Employee Stock Options | ESPP | ||||||||||||||||||||||||
Fiscal Year Ended March 31, | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||
Expected volatility | 32.2 | % | 41.8 | % | 45.3 | % | 26.5 | % | 32.4 | % | 37.3 | % | |||||||||||||
Risk-free interest rate | 0.9 | % | 0.6 | % | 1 | % | 0.1 | % | 0.1 | % | 0.1 | % | |||||||||||||
Expected dividends | 0.9 | % | 1.2 | % | 0.6 | % | 0.9 | % | 1 | % | 0.6 | % | |||||||||||||
Expected life (in years) | 4.2 | 4.3 | 4 | 0.5 | 0.5 | 0.5 | |||||||||||||||||||
Weighted-average grant date fair value | $ | 11.15 | $ | 10.31 | $ | 12.06 | $ | 9.62 | $ | 9 | $ | 8.69 | |||||||||||||
The expected stock price volatility for the years ended March 31, 2014, 2013, and 2012 was determined based on an equally weighted average of historical and implied volatility. Implied volatility is based on the volatility of the Company’s publicly traded options on its common stock with terms of six months or less. The Company determined that a blend of implied volatility and historical volatility is more reflective of market conditions and a better indicator of expected volatility than using exclusively historical volatility. The expected life was determined based on historical experience of similar awards, giving consideration to the contractual terms of the stock-based awards, vesting schedules, and expectations of future employee behavior. The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant for periods corresponding with the expected life of the option. The dividend yield assumption is based on our current dividend and the market price of our common stock at the date of grant. |
COMMON_STOCK_REPURCHASES
COMMON STOCK REPURCHASES | 12 Months Ended |
Mar. 31, 2014 | |
Equity [Abstract] | ' |
Common Stock Repurchases | ' |
COMMON STOCK REPURCHASES | |
From time to time, the Board authorizes programs under which the Company may repurchase shares of its common stock, depending on market conditions, in the open market or through privately negotiated transactions. Repurchased shares are held as treasury stock until such time they are retired or re-issued. During the years ended March 31, 2014, 2013, and 2012, the Company repurchased 1,949,407, 751,706, and 8,027,287 shares of its common stock, respectively, for a total cost of $85.7 million, $23.9 million, and $273.8 million, respectively. All repurchases in fiscal years 2014 and 2013 were made in the open market. Of the total 8,027,287 shares repurchased in fiscal year 2012, 4,327,770 shares were repurchased in privately negotiated transactions and 3,699,517 shares were repurchased in the open market. Repurchases by the Company pursuant to the Board authorized programs during fiscal years 2014, 2013, and 2012 are discussed in detail below. As of March 31, 2014, there remained 932,500 shares authorized for repurchase under the program approved by the Board on February 20, 2014. | |
Open Market Repurchases | |
Under the Board authorized programs, during the years ended March 31, 2014, 2013, and 2012, the Company repurchased 1,949,407, 751,706 and 3,699,517 shares of its common stock, respectively, in the open market for a total cost of $85.7 million, $23.9 million and $123.8 million, respectively, and an average price per share of $43.94, $31.84, and $33.46, respectively. The Company financed the repurchases using a combination of funds generated from operations and borrowings under its revolving line of credit. | |
Privately Negotiated Transactions | |
Pursuant to a Board authorized accelerated share repurchase ("ASR") program, the Company entered into three separate Master Confirmation and Supplemental Confirmations ("the ASR Agreements") with Goldman, Sachs & Co. ("Goldman") during the year ended March 31, 2012. Under the ASR Agreements, the Company paid Goldman $150.0 million in exchange for delivery of 4,327,770 shares during the year ended March 31, 2012 at an average price per share of $34.66, which was based on the volume-weighted average price of the Company's common stock during the terms of the ASR Agreements, less a discount. | |
In addition, the Company withheld shares valued at $6.2 million during the year ended March 31, 2014, compared to $3.0 million in fiscal year 2013, and $2.6 million in fiscal year 2012, in satisfaction of employee tax withholding obligations upon the vesting of restricted stock granted under the Company's stock plans. The amounts withheld were equivalent to the employees' minimum statutory tax withholding requirements and are reflected as a financing activity within the Company's consolidated statements of cash flows. These share withholdings have the effect of share repurchases by the Company because they reduce the number of shares outstanding as a result of the vesting. | |
Treasury Stock Retirement | |
There were no retirements of treasury stock during fiscal year 2014. During the years ended March 31, 2013 and 2012, the Company retired 5,398,376 and 5,000,000 shares of treasury stock, respectively, at a total value of $176.3 million and $177.1 million, respectively. These were non-cash equity transactions in which the cost of the reacquired shares was recorded as a reduction to both retained earnings and treasury stock. These shares were returned to the status of authorized but unissued shares. |
ACCUMULATED_OTHER_COMPREHENSIV
ACCUMULATED OTHER COMPREHENSIVE INCOME | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ||||||||
Accumulated Other Comprehensive Income | ' | ||||||||
ACCUMULATED OTHER COMPREHENSIVE INCOME | |||||||||
The components of accumulated other comprehensive income, net of associated tax impacts, were as follows: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Accumulated unrealized gain (loss) on cash flow hedges (1) | $ | (1,411 | ) | $ | 1,349 | ||||
Accumulated foreign currency translation adjustments | 3,887 | 4,131 | |||||||
Accumulated unrealized gain on investments | 162 | 87 | |||||||
Accumulated other comprehensive income | $ | 2,638 | $ | 5,567 | |||||
(1) Refer to Note 13, Foreign Currency Derivatives, which discloses the nature of the Company's derivative assets and liabilities as of March 31, 2014 and March 31, 2013. |
EMPLOYEE_BENEFIT_PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended |
Mar. 31, 2014 | |
EMPLOYEE BENEFIT PLANS [Abstract] | ' |
Employee Benefit Plans | ' |
EMPLOYEE BENEFIT PLANS | |
The Company has a defined contribution benefit plan under Section 401(k) of the Internal Revenue Code, which covers substantially all U.S. employees. Eligible employees may contribute pre-tax amounts to the plan through payroll withholdings, subject to certain limitations. Under the plan, the Company currently matches 50% of the first 6% of employees' compensation and provides a non-elective Company contribution equal to 3% of base salary. All matching contributions are currently 100% vested immediately. The Company reserves the right to modify its policies at any time, including increasing, decreasing, or eliminating contribution matching and vesting requirements. Total Company contributions in fiscal years 2014, 2013, and 2012 were $4.2 million, $4.0 million, and $3.8 million, respectively. |
FOREIGN_CURRENCY_DERIVATIVES
FOREIGN CURRENCY DERIVATIVES | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ||||||||||||
FOREIGN CURRENCY DERIVATIVES | ' | ||||||||||||
FOREIGN CURRENCY DERIVATIVES | |||||||||||||
The Company's foreign currency derivatives consist primarily of foreign currency forward exchange contracts, option contracts, and cross-currency swaps. The derivatives expose the Company to credit risk to the extent the counterparties may be unable to meet the terms of the derivative instrument. The Company's maximum exposure to loss due to credit risk that it would incur if parties to derivative contracts failed completely to perform according to the terms of the contracts was equal to the carrying value of the Company's derivative assets as of March 31, 2014. The Company seeks to mitigate such risk by limiting its counterparties to large financial institutions. In addition, the Company monitors the potential risk of loss with any one counterparty resulting from this type of credit risk on an ongoing basis. | |||||||||||||
The Company enters into master netting arrangements with counterparties when possible to mitigate credit risk in derivative transactions. A master netting arrangement may allow each counterparty to net settle amounts owed between Plantronics and the counterparty as a result of multiple, separate derivative transactions. As of March 31, 2014, the Company has International Swaps and Derivatives Association (ISDA) agreements with three applicable banks and financial institutions which contain netting provisions. Plantronics has elected to present the fair value of derivative assets and liabilities within the Company's consolidated balance sheet on a gross basis even when derivative transactions are subject to master netting arrangements and may otherwise qualify for net presentation. However, the following tables provide information as if the Company had elected to offset the asset and liability balances of derivative instruments, netted in accordance with various criteria in the event of default or termination as stipulated by the terms of netting arrangements with each of the counterparties. For each counterparty, if netted, the Company would offset the asset and liability balances of all derivatives at the end of the reporting period. Derivatives not subject to master netting agreements are not eligible for net presentation. As of March 31, 2014 and March 31, 2013, no cash collateral had been received or pledged related to these derivative instruments. | |||||||||||||
Offsetting of Financial Assets/Liabilities under Master Netting Agreements with Derivative Counterparties | |||||||||||||
As of March 31, 2014: | |||||||||||||
Gross Amount of Derivative Assets Presented in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheet that are Subject to Master Netting Agreements | ||||||||||||
(in thousands) | Gross Amount of Eligible Offsetting Recognized Derivative Liabilities | Cash Collateral Received | Net Amount of Derivative Assets | ||||||||||
Derivatives subject to master netting agreements | $ | 473 | $ | (473 | ) | $ | — | $ | — | ||||
Derivatives not subject to master netting agreements | 654 | 654 | |||||||||||
Total | $ | 1,127 | $ | 654 | |||||||||
Gross Amount of Derivative Liabilities Presented in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheet that are Subject to Master Netting Agreements | ||||||||||||
(in thousands) | Gross Amount of Eligible Offsetting Recognized Derivative Assets | Cash Collateral Received | Net Amount of Derivative Liabilities | ||||||||||
Derivatives subject to master netting agreements | $ | (1,428 | ) | $ | 473 | $ | — | $ | (955 | ) | |||
Derivatives not subject to master netting agreements | (1,455 | ) | (1,455 | ) | |||||||||
Total | $ | (2,883 | ) | $ | (2,410 | ) | |||||||
As of March 31, 2013: | |||||||||||||
Gross Amount of Derivative Assets Presented in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheet that are Subject to Master Netting Agreements | ||||||||||||
(in thousands) | Gross Amount of Eligible Offsetting Recognized Derivative Liabilities | Cash Collateral Received | Net Amount of Derivative Assets | ||||||||||
Derivatives subject to master netting agreements | $ | 1,005 | $ | (215 | ) | $ | — | $ | 790 | ||||
Derivatives not subject to master netting agreements | 660 | 660 | |||||||||||
Total | $ | 1,665 | $ | 1,450 | |||||||||
Gross Amount of Derivative Liabilities Presented in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheet that are Subject to Master Netting Agreements | ||||||||||||
(in thousands) | Gross Amount of Eligible Offsetting Recognized Derivative Assets | Cash Collateral Received | Net Amount of Derivative Liabilities | ||||||||||
Derivatives subject to master netting agreements | $ | (215 | ) | $ | 215 | $ | — | $ | — | ||||
Derivatives not subject to master netting agreements | (79 | ) | (79 | ) | |||||||||
Total | $ | (294 | ) | $ | (79 | ) | |||||||
The Company's derivative instruments are measured using Level 2 fair value inputs. | |||||||||||||
Non-Designated Hedges | |||||||||||||
As of March 31, 2014, the Company had foreign currency forward contracts denominated in EUR, GBP, and Australian Dollars ("AUD"). The Company does not elect to obtain hedge accounting for these forward contracts. These forward contracts hedge against a portion of the Company's foreign currency-denominated cash, accounts receivable, and accounts payable balances. The following table summarizes the notional value of the Company’s outstanding foreign exchange currency contracts and approximate U.S. Dollar equivalent (“USD Equivalent”) at March 31, 2014: | |||||||||||||
Local Currency | USD Equivalent | Position | Maturity | ||||||||||
(in thousands) | (in thousands) | ||||||||||||
EUR | € | 19,600 | $ | 26,951 | Sell EUR | 1 month | |||||||
GBP | £ | 1,600 | $ | 2,662 | Sell GBP | 1 month | |||||||
AUD | A$ | 3,700 | $ | 3,413 | Sell AUD | 1 month | |||||||
Effect of Non-Designated Derivative Contracts on the Consolidated Statements of Operations | |||||||||||||
The effect of non-designated derivative contracts on results of operations recognized in interest and other income (expense), net in the consolidated statements of operations was as follows: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Gain on foreign exchange contracts | $ | 1,631 | $ | 1,065 | $ | 1,009 | |||||||
Cash Flow Hedges | |||||||||||||
On a monthly basis, the Company enters into option contracts with a one-year term. The Company hedges a portion of the forecasted EUR and GBP denominated revenues with costless collars. The Company does not purchase options for trading purposes. As of March 31, 2014, the Company had foreign currency put and call option contracts of approximately €55.7 million and £23.9 million. As of March 31, 2013, the Company had foreign currency put and call option contracts of approximately €50.2 million and £19.9 million. The Company will reclassify all amounts accumulated in other comprehensive income into earnings within the next twelve months. | |||||||||||||
The Company hedges a portion of the forecasted Mexican Peso (“MXN”) denominated expenditures with a cross-currency swap. There were no material gains in AOCI as of March 31, 2014 to be recognized during the next 12 months due to the recognition of the hedged forecasted expenditures. As of March 31, 2014 and 2013, the Company had foreign currency swap contracts of approximately MXN204.6 million and MXN325.4 million, respectively. | |||||||||||||
The following table summarizes the notional value of the Company's outstanding MXN currency swaps and approximate USD Equivalent at March 31, 2014: | |||||||||||||
Local Currency | USD Equivalent | Position | Maturity | ||||||||||
(in thousands) | (in thousands) | ||||||||||||
MX$ | 204,550 | $ | 15,339 | Buy MXN | Monthly over | 9 months | |||||||
Effect of Designated Derivative Contracts on AOCI and Consolidated Statements of Operations | |||||||||||||
The following table presents the pre-tax effects of derivative instruments designated as cash flow hedges on AOCI and the consolidated statements of operations for fiscal years ended March 31, 2014, 2013, and 2012: | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Gain (loss) included in AOCI as of beginning of period | $ | 1,371 | $ | 1,937 | $ | (3,814 | ) | ||||||
Amount of gain (loss) recognized in OCI (effective portion) | (3,750 | ) | 3,441 | 2,951 | |||||||||
Amount of gain (loss) reclassified from OCI into net revenues (effective portion) | (965 | ) | 3,367 | (2,415 | ) | ||||||||
Amount of gain (loss) reclassified from OCI into cost of revenues (effective portion) | 28 | 640 | (385 | ) | |||||||||
Total amount of gain (loss) reclassified from AOCI to income (loss) (effective portion) | (937 | ) | 4,007 | (2,800 | ) | ||||||||
Loss included in AOCI as of end of period | $ | (1,442 | ) | $ | 1,371 | $ | 1,937 | ||||||
The Company recognized an immaterial loss in the consolidated statement operations on the ineffective portion of the cash flow hedges reported in interest and other income, net during the year ended March 31, 2014. There was no ineffective portion of hedges designated as cash flow hedging instruments during the years ended March 31, 2013 or March 31, 2012. |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
INCOME TAXES | ' | ||||||||||||
INCOME TAXES | |||||||||||||
Income tax expense for fiscal years 2014, 2013, and 2012 consisted of the following: | |||||||||||||
(in thousands) | Fiscal Year Ended March 31, | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
Current: | |||||||||||||
Federal | $ | 28,859 | $ | 25,530 | $ | 23,844 | |||||||
State | 1,263 | 2,452 | 2,719 | ||||||||||
Foreign | 4,384 | 4,777 | 5,080 | ||||||||||
Total current provision for income taxes | 34,506 | 32,759 | 31,643 | ||||||||||
Deferred: | |||||||||||||
Federal | (4,675 | ) | (586 | ) | 2,324 | ||||||||
State | (629 | ) | (474 | ) | (569 | ) | |||||||
Foreign | (480 | ) | 324 | 168 | |||||||||
Total deferred benefit for income taxes | (5,784 | ) | (736 | ) | 1,923 | ||||||||
Income tax expense | $ | 28,722 | $ | 32,023 | $ | 33,566 | |||||||
The components of income before income taxes for fiscal years 2014, 2013, and 2012 are as follows: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
United States | $ | 85,231 | $ | 80,875 | $ | 79,589 | |||||||
Foreign | 55,908 | 57,550 | 63,013 | ||||||||||
Income before income taxes | $ | 141,139 | $ | 138,425 | $ | 142,602 | |||||||
The following is a reconciliation between statutory federal income taxes and the income tax expense for fiscal years 2014, 2013, and 2012: | |||||||||||||
(in thousands) | Fiscal Year Ended March 31, | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
Tax expense at statutory rate | $ | 49,399 | $ | 48,449 | $ | 49,911 | |||||||
Foreign operations taxed at different rates | (16,175 | ) | (15,244 | ) | (16,973 | ) | |||||||
State taxes, net of federal benefit | 634 | 1,978 | 2,149 | ||||||||||
Research and development credit | (1,805 | ) | (3,380 | ) | (1,392 | ) | |||||||
Other, net | (3,331 | ) | 220 | (129 | ) | ||||||||
Income tax expense | $ | 28,722 | $ | 32,023 | $ | 33,566 | |||||||
The effective tax rate for fiscal years 2014, 2013, and 2012 was 20.4%, 23.1%, and 23.5% respectively. The effective tax rate for fiscal year 2014 is lower than the previous year due primarily to the generation of a foreign tax credit carryover, changes in Mexican tax law that resulted in the reversal of a valuation allowance, and a deduction for qualifying domestic production activities offset by a smaller proportion of income earned in foreign jurisdictions that is taxed at lower rates and a decrease in the benefit from the U.S. federal research tax credit. The U.S. federal research tax credit expired December 31, 2013 and was therefore only available for three quarters in fiscal year 2014, compared to fiscal year 2013, which included a full four quarters of benefit as well as the impact of the credit earned in our fourth quarter of fiscal year 2012 due to the retroactive reinstatement in January 2012. | |||||||||||||
In comparison to fiscal year 2012, the decrease in the effective tax rate for fiscal year 2013 was due primarily to a smaller proportion of income earned in foreign jurisdictions that is taxed at lower rates partially offset by the increased benefit from the U.S. federal research tax credit in fiscal year 2013. The U.S. federal research credit was reinstated in January 2013 retroactively to January 2012; therefore, the effective tax rate for fiscal year 2013 includes the benefit of the credit earned in the fourth quarter of fiscal year 2012 compared to the benefit of the credit for only three quarters in fiscal year 2012. | |||||||||||||
The effective tax rate for fiscal years 2014, 2013, and 2012 differs from the statutory rate due to the impact of foreign operations taxed at different statutory rates, income tax credits, state taxes, and other factors. The future tax rate could be impacted by a shift in the mix of domestic and foreign income, tax treaties with foreign jurisdictions, changes in tax laws in the U.S. or internationally, or a change in estimate of future taxable income which could result in a valuation allowance being required. | |||||||||||||
The Company's provision for income taxes does not include provisions for U.S. income taxes and foreign withholding taxes associated with the repatriation of undistributed earnings of certain foreign operations that it intends to reinvest indefinitely in the foreign operations. Permanently reinvested foreign earnings were approximately $594.2 million at March 31, 2014. The determination of the tax liability that would be incurred if these amounts were remitted back to the U.S. is not practical but would likely be material. If these earnings were distributed to the U.S. in the form of dividends or otherwise, the Company would be subject to additional U.S. income taxes, subject to an adjustment for foreign tax credits and foreign withholding taxes. The Company's current plans do not require repatriation of earnings from foreign operations to fund the U.S. operations because it generates sufficient domestic operating cash flow and has access to external funding under its line of credit. As a result, the Company does not expect a material impact on its business or financial flexibility with respect to undistributed earnings of its foreign operations. | |||||||||||||
Deferred tax assets and liabilities represent the tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting and income tax purposes. Significant components of the Company's deferred tax assets and liabilities as of March 31, 2014 and 2013 are as follows: | |||||||||||||
March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||
Accruals and other reserves | $ | 8,459 | $ | 7,983 | |||||||||
Net operating loss carry forward | 4,580 | 5,956 | |||||||||||
Stock compensation | 8,957 | 8,199 | |||||||||||
Other deferred tax assets | 3,937 | 3,643 | |||||||||||
Valuation allowance | (3,351 | ) | (5,984 | ) | |||||||||
Total deferred tax assets | 22,582 | 19,797 | |||||||||||
Deferred gains on sales of properties | (1,756 | ) | (1,756 | ) | |||||||||
Unremitted earnings of certain subsidiaries | (3,064 | ) | (3,064 | ) | |||||||||
Fixed asset depreciation | (3,571 | ) | (4,402 | ) | |||||||||
Other deferred tax liabilities | — | (2,197 | ) | ||||||||||
Total deferred tax liabilities | (8,391 | ) | (11,419 | ) | |||||||||
Net deferred tax assets | $ | 14,191 | (1) | $ | 8,378 | ||||||||
(1) The long-term portion of the Company's deferred tax assets for the fiscal year ending March 31, 2014 is included as a component of other assets in the consolidated balance sheets. | |||||||||||||
The Company evaluates its deferred tax assets, including a determination of whether a valuation allowance is necessary, based upon its ability to utilize the assets using a more likely than not analysis. Deferred tax assets are only recorded to the extent that they are realizable based upon past and future income. The Company has a long established earnings history with taxable income in its carryback years and forecasted future earnings. The Company has concluded that no valuation allowance is required, except for the specific items discussed below. | |||||||||||||
The valuation allowance of $3.4 million as of March 31, 2014 was related to the net operating losses of a foreign subsidiary with an insufficient history of earnings to support the realization of the deferred tax asset. | |||||||||||||
The impact of an uncertain income tax position on income tax expense must be recognized at the largest amount that is more likely than not to be sustained. An uncertain income tax position will not be recognized unless it has a greater than 50% likelihood of being sustained. As of March 31, 2014, 2013, and 2012, the Company had $12.6 million, $11.1 million, and $11.1 million, respectively, of unrecognized tax benefits. The unrecognized tax benefits as of March 31, 2014 would favorably impact the effective tax rate in future periods if recognized. | |||||||||||||
A reconciliation of the change in the amount of gross unrecognized income tax benefits for the periods is as follows: | |||||||||||||
March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Balance at beginning of period | $ | 11,072 | $ | 11,141 | $ | 10,458 | |||||||
Increase (decrease) of unrecognized tax benefits related to prior years | 641 | (117 | ) | 116 | |||||||||
Increase of unrecognized tax benefits related to the current year | 2,427 | 2,430 | 2,074 | ||||||||||
Reductions to unrecognized tax benefits related to lapse of applicable statute of limitations | (1,569 | ) | (2,382 | ) | (1,507 | ) | |||||||
Balance at end of period | $ | 12,571 | $ | 11,072 | $ | 11,141 | |||||||
The Company's continuing practice is to recognize interest and penalties related to income tax matters in income tax expense. The interest related to unrecognized tax benefits was $1.7 million and $2.0 million as of March 31, 2014 and 2013, respectively. No penalties have been accrued. | |||||||||||||
The Company and its subsidiaries are subject to taxation in various foreign and state jurisdictions, including the U.S. The Company is under examination by the Internal Revenue Service for its 2010 tax year. The California Franchise Tax Board completed its examination of our 2007 and 2008 tax years. We received a Notice of Proposed Assessment and responded by filing a protest letter. The amount of the proposed assessment is not material. Foreign income tax matters for material tax jurisdictions have been concluded for tax years prior to fiscal year 2007, except for the United Kingdom, which has been concluded for tax years prior to fiscal year 2013. | |||||||||||||
The Company believes that an adequate provision has been made for any adjustments that may result from tax examinations; however, the outcome of such examinations cannot be predicted with certainty. If any issues addressed in the tax examinations are resolved in a manner inconsistent with the Company's expectations, the Company could be required to adjust its provision for income tax in the period such resolution occurs. The timing of any resolution and/or closure of tax examinations is not certain. |
COMPUTATION_OF_EARNINGS_PER_CO
COMPUTATION OF EARNINGS PER COMMON SHARE | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Computation of Earnings Per Common Share | ' | ||||||||||||
COMPUTATION OF EARNINGS PER COMMON SHARE | |||||||||||||
The Company has a share-based compensation plan under which employees may be granted share-based awards, including shares of restricted stock on which non-forfeitable dividends are paid on unvested shares. As such, shares of restricted stock are considered participating securities under the two-class method of calculating earnings per share as described in the Earnings per Share Topic of the FASB ASC. The two-class method of calculating earnings per share did not have a material impact on the Company's earnings per share calculation as of March 31, 2014, 2013, and 2012. | |||||||||||||
The following table sets forth the computation of basic and diluted earnings per share: | |||||||||||||
(in thousands, except earnings per share data) | Fiscal Year Ended March 31, | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
Numerator: | |||||||||||||
Net income | $ | 112,417 | $ | 106,402 | $ | 109,036 | |||||||
Denominator: | |||||||||||||
Weighted average common shares-basic | 42,452 | 41,748 | 44,023 | ||||||||||
Dilutive effect of employee equity incentive plans | 912 | 990 | 1,242 | ||||||||||
Weighted average shares-diluted | 43,364 | 42,738 | 45,265 | ||||||||||
Basic earnings per common share | $ | 2.65 | $ | 2.55 | $ | 2.48 | |||||||
Diluted earnings per common share | $ | 2.59 | $ | 2.49 | $ | 2.41 | |||||||
Potentially dilutive securities excluded from diluted earnings per share because their effect is anti-dilutive | 202 | 1,038 | 1,199 | ||||||||||
GEOGRAPHIC_INFORMATION
GEOGRAPHIC INFORMATION | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Segments, Geographical Areas [Abstract] | ' | ||||||||||||
Geographic Information | ' | ||||||||||||
GEOGRAPHIC INFORMATION | |||||||||||||
The Company designs, manufactures, markets, and sells headsets for business and consumer applications, and other specialty products for the hearing impaired. With respect to headsets, it makes products for use in offices and contact centers, with mobile and cordless phones, and with computers and gaming consoles. Major product categories include “Office and Contact Center”, which includes corded and cordless communication headsets, audio processors, and telephone systems; “Mobile”, which includes Bluetooth and corded products for mobile phone applications; “Gaming and Computer Audio”, which includes personal computer ("PC") and gaming headsets; and “Clarity”, which includes specialty products marketed for hearing impaired individuals. | |||||||||||||
The following table presents net revenues by product group: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Net revenues from unaffiliated customers: | |||||||||||||
Office and Contact Center | $ | 588,265 | $ | 549,301 | $ | 531,709 | |||||||
Mobile | 186,206 | 163,460 | 131,825 | ||||||||||
Gaming and Computer Audio | 29,674 | 30,747 | 31,855 | ||||||||||
Clarity | 14,462 | 18,718 | 17,979 | ||||||||||
Total net revenues | $ | 818,607 | $ | 762,226 | $ | 713,368 | |||||||
For reporting purposes, revenue is attributed to each geographic region based on the location of the customer. Other than the U.S., no country accounted for 10% or more of the Company's net revenues for the years ended March 31, 2014, 2013, and 2012. The following table presents net revenues by geography: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Net revenues from unaffiliated customers: | |||||||||||||
U.S. | $ | 475,278 | $ | 436,447 | $ | 406,233 | |||||||
Europe and Africa | 195,385 | 181,439 | 177,157 | ||||||||||
Asia Pacific | 94,455 | 92,193 | 78,853 | ||||||||||
Americas, excluding U.S. | 53,489 | 52,147 | 51,125 | ||||||||||
Total International net revenues | 343,329 | 325,779 | 307,135 | ||||||||||
Total net revenues | $ | 818,607 | $ | 762,226 | $ | 713,368 | |||||||
No customer accounted for 10% or more of total net revenues for fiscal years 2014, 2013, or 2012. | |||||||||||||
The following table presents long-lived assets by geographic area on a consolidated basis: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||
U.S. | $ | 74,092 | $ | 62,263 | |||||||||
Mexico | 38,453 | 24,033 | |||||||||||
Other countries | 21,857 | 12,815 | |||||||||||
Total long-lived assets | $ | 134,402 | $ | 99,111 | |||||||||
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Mar. 31, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
SUBSEQUENT EVENTS | |
On April 29, 2014, the Audit Committee approved the payment of a dividend of $0.15 per share on June 10, 2014 to holders of record on May 20, 2014. |
SUPPLEMENTARY_QUARTERLY_FINANC
SUPPLEMENTARY QUARTERLY FINANCIAL DATA | 12 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||
Quarterly Financial Information | ' | |||||||||||||||
SUPPLEMENTARY QUARTERLY FINANCIAL DATA | ||||||||||||||||
(Unaudited) | ||||||||||||||||
Each of the Company's fiscal years ends on the Saturday closest to the last day of March. The Company's fiscal years 2014 and 2013 consisted of 52 weeks. Our interim fiscal quarters for the first, second, third, and fourth quarter of fiscal year 2014 ended on June 29, 2013, September 28, 2013, December 28, 2013, and March 29, 2014, respectively, and our interim fiscal quarters for the first, second, third, and fourth quarter of fiscal year 2013 ended on June 30, 2012, September 29, 2012, December 29, 2012, and March 30, 2013, respectively. For purposes of presentation, the Company has indicated its accounting fiscal year as ending on March 31 and our interim quarterly periods as ending on the last calendar day of the applicable month end. | ||||||||||||||||
Quarter Ended | ||||||||||||||||
31-Mar-14 | 31-Dec-13 | September 30, | June 30, | |||||||||||||
2013 | 2013 | |||||||||||||||
(in thousands, except per share data) | ||||||||||||||||
Net revenues | $ | 209,070 | $ | 212,739 | $ | 193,980 | $ | 202,818 | ||||||||
Gross profit | $ | 111,055 | $ | 110,327 | $ | 99,614 | $ | 105,632 | ||||||||
Net income | $ | 27,943 | $ | 34,383 | $ | 23,138 | $ | 26,953 | ||||||||
Basic net income per common share | $ | 0.67 | $ | 0.81 | $ | 0.54 | $ | 0.63 | ||||||||
Diluted net income per common share | $ | 0.65 | $ | 0.8 | $ | 0.53 | $ | 0.62 | ||||||||
Cash dividends declared per common share | $ | 0.1 | $ | 0.1 | $ | 0.1 | $ | 0.1 | ||||||||
Quarter Ended | ||||||||||||||||
31-Mar-13 | December 31, 2012 1 | 30-Sep-12 | 30-Jun-12 | |||||||||||||
(in thousands, except per share data) | ||||||||||||||||
Net revenues | $ | 204,179 | $ | 197,402 | $ | 179,280 | $ | 181,365 | ||||||||
Gross profit | $ | 106,093 | $ | 102,164 | $ | 97,228 | $ | 97,696 | ||||||||
Net income | $ | 28,709 | $ | 28,206 | $ | 25,924 | $ | 23,563 | ||||||||
Basic net income per common share | $ | 0.68 | $ | 0.68 | $ | 0.62 | $ | 0.57 | ||||||||
Diluted net income per common share | $ | 0.67 | $ | 0.66 | $ | 0.61 | $ | 0.55 | ||||||||
Cash dividends declared per common share | $ | 0.1 | $ | 0.1 | $ | 0.1 | $ | 0.1 | ||||||||
1 | We initiated a restructuring plan during the third quarter of fiscal year 2013. Under the plan, we eliminated certain positions in the US., Mexico, China, and Europe, and transitioned some of these positions to lower cost locations. The pre-tax charges incurred during fiscal year 2013 included $1.9 million for severance and related benefits and an immaterial amount of accelerated amortization on leasehold assets with no alternative future use. |
SCHEDULE_II_VALUATION_AND_QUAL
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | |||||||||||||||
SCHEDULE II: VALUATION AND QUALITYING ACCOUNTS AND RESERVES | ' | |||||||||||||||
PLANTRONICS, INC. | ||||||||||||||||
SCHEDULE II: VALUATION AND QUALIFYING | ||||||||||||||||
ACCOUNTS AND RESERVES | ||||||||||||||||
(in thousands) | ||||||||||||||||
Balance at Beginning of Year | Charged to Expenses or Other Accounts | Deductions | Balance at End of Year | |||||||||||||
Provision for doubtful accounts and sales allowances: | ||||||||||||||||
Year ended March 31, 2014 | $ | 409 | $ | 179 | $ | (301 | ) | $ | 287 | |||||||
Year ended March 31, 2013 | 1,093 | 468 | (1,152 | ) | 409 | |||||||||||
Year ended March 31, 2012 | 951 | 758 | (616 | ) | 1,093 | |||||||||||
Provision for returns: | ||||||||||||||||
Year ended March 31, 2014 | $ | 8,957 | $ | 18,469 | $ | (21,225 | ) | $ | 6,201 | |||||||
Year ended March 31, 2013 | 7,613 | 21,111 | (19,767 | ) | 8,957 | |||||||||||
Year ended March 31, 2012 | 10,437 | 16,660 | (19,484 | ) | 7,613 | |||||||||||
Provision for promotions and rebates: | ||||||||||||||||
Year ended March 31, 2014 | $ | 13,675 | $ | 35,207 | $ | (34,079 | ) | $ | 14,803 | |||||||
Year ended March 31, 2013 | 12,756 | 33,343 | (32,424 | ) | 13,675 | |||||||||||
Year ended March 31, 2012 | 10,460 | 34,170 | (31,874 | ) | 12,756 | |||||||||||
Inventory reserves: | ||||||||||||||||
Year ended March 31, 2014 | $ | 4,775 | $ | 4,138 | $ | (1,697 | ) | $ | 7,216 | |||||||
Year ended March 31, 2013 | 5,712 | 1,089 | (2,026 | ) | 4,775 | |||||||||||
Year ended March 31, 2012 | 7,423 | 2,154 | (3,865 | ) | 5,712 | |||||||||||
Valuation allowance for deferred tax assets: | ||||||||||||||||
Year ended March 31, 2014 | $ | 5,984 | $ | — | $ | (2,633 | ) | $ | 3,351 | |||||||
Year ended March 31, 2013 | 6,088 | 89 | (193 | ) | 5,984 | |||||||||||
Year ended March 31, 2012 | 5,274 | 1,259 | (445 | ) | 6,088 | |||||||||||
All other schedules have been omitted because the required information is either not present or not present in the amounts sufficient to require submission of the schedule, or because the information required is included in the consolidated financial statements or notes thereto. |
SIGNIFICANT_ACCOUNTING_POLICIE1
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Mar. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Management's Use of Estimates and Assumptions | ' |
Management's Use of Estimates and Assumptions | |
The Company's consolidated financial statements are prepared in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP"). In connection with the preparation of our financial statements, the Company is required to make assumptions and estimates about future events, and apply judgments that affect the reported amounts of assets, liabilities, net revenues, expenses, and the related disclosures. The Company bases its assumptions, estimates, and judgments on historical experience, current trends, future expectations, and other factors that management believes to be relevant at the time the consolidated financial statements are prepared. On an ongoing basis, the Company reviews its accounting policies, assumptions, estimates, and judgments, including those related to revenue and related reserves and allowances, inventory valuation, product warranty obligations, the useful lives of long-lived assets including property, plant and equipment and intangible assets, investment fair values, stock-based compensation, goodwill, income taxes, contingencies, and restructuring charges, to ensure that the consolidated financial statements are presented fairly and in accordance with U.S. GAAP. Because future events and their effects cannot be determined with certainty, actual results could differ from the Company's assumptions and estimates. | |
Principles of Consolidation | ' |
Principles of Consolidation | |
The consolidated financial statements include the accounts of Plantronics and its wholly owned subsidiaries. The Company has included the results of operations of acquired companies from the date of acquisition. All intercompany balances and transactions have been eliminated. | |
Fiscal Year | ' |
Fiscal Year | |
The Company’s fiscal year ends on the Saturday closest to the last day of March. Fiscal years 2014, 2013, and 2012 each consisted of 52 weeks and ended on March 29, 2014, March 30, 2013, and March 31, 2012, respectively. For purposes of presentation, the Company has indicated its accounting fiscal year as ending on March 31. | |
Financial Instruments | ' |
Financial Instruments | |
Cash, Cash Equivalents and Investments | |
All highly liquid investments with initial stated maturities of three months or less at the date of purchase are classified as cash equivalents. The Company classifies its investments as either short-term or long-term based on each instrument's underlying effective maturity date and reasonable expectations with regard to sales and redemptions of the instruments. All short-term investments have effective maturities less than 12 months, while all long-term investments have effective maturities greater than 12 months or the Company does not currently have the ability to liquidate the investments. The Company may sell its investments prior to their stated maturities for strategic purposes, in anticipation of credit deterioration, or for duration management. | |
As of March 31, 2014, all investments were classified as available-for-sale, with unrealized gains and losses recorded as a separate component of accumulated other comprehensive income ("AOCI") in stockholders’ equity. The specific identification method is used to determine the cost of disposed securities, with realized gains and losses reflected in interest and other income, net. | |
For investments with an unrealized loss, the factors considered in the review include the credit quality of the issuer, the duration that the fair value has been less than the adjusted cost basis, severity of impairment, reason for the decline in value and potential recovery period, the financial condition and near-term prospects of the investees, and whether the Company would be required to sell an investment due to liquidity or contractual reasons before its anticipated recovery. | |
Foreign Currency Derivatives | |
The Company accounts for its derivative instruments as either assets or liabilities and carries them at fair value. Derivative foreign currency contracts are valued using pricing models that use observable inputs. The accounting for changes in the fair value of a derivative depends on the intended use of the derivative and the resulting designation. | |
The Company enters into foreign exchange forward contracts to reduce the impact of foreign currency fluctuations on assets and liabilities denominated in currencies other than the functional currency of the reporting entity. The Company does not elect to obtain hedge accounting for these forward contracts. These forward contracts are carried at fair value with changes in the fair value recorded within interest and other income (expense), net in the consolidated statements of operations. Gains and losses on these contracts are intended to offset the impact of foreign exchange rate changes on the underlying foreign currency denominated assets and liabilities, and therefore, do not subject the Company to material balance sheet risk. | |
The Company has significant international revenues and costs denominated in foreign currencies, subjecting it to foreign currency risk. The Company purchases foreign currency option contracts and cross-currency swaps that qualify as cash flow hedges, with maturities of 12 months or less, to reduce the volatility of cash flows related primarily to forecasted revenue and intercompany transactions denominated in certain foreign currencies. All outstanding derivatives are recognized on the balance sheet at fair value. The effective portion of the designated derivative's gain or loss is initially reported as a component of AOCI and is subsequently reclassified into the financial statement line item in which the hedged item is recorded in the same period the forecasted transaction affects earnings. | |
The Company does not hold or issue derivative financial instruments for speculative trading purposes. Plantronics enters into derivatives only with counterparties that are among the largest United States ("U.S.") banks, ranked by assets, in order to minimize its credit risk and to date, no such counterparty has failed to meet its financial obligations under such contracts. | |
Provision for Doubtful Accounts | ' |
Provision for Doubtful Accounts | |
The Company maintains a provision for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. Plantronics regularly performs credit evaluations of its customers’ financial conditions and considers factors such as historical experience, credit quality, age of the accounts receivable balances, geographic or country-specific risks, and economic conditions that may affect a customer’s ability to pay. | |
Inventory and Related Reserves | ' |
Inventory and Related Reserves | |
Inventories are valued at the lower of cost or market. Cost is computed using standard cost, which approximates actual cost on a first-in, first-out basis. The Company writes down inventories that have become obsolete or are in excess of anticipated demand or net realizable value. Our estimate of write downs for excess and obsolete inventory is based on a detailed analysis of on-hand inventory and purchase commitments in excess of forecasted demand. | |
A substantial portion of the raw materials, components and subassemblies (together, “parts”) used in the Company's products are provided by its suppliers on a consignment basis. These consigned inventories are not recorded on the Company's consolidated balance sheet until it takes title to the parts, which occurs when they are consumed in the production process. The Company provides forecasts to its suppliers covering up to thirteen weeks of demand and places purchase orders when the parts are consumed in the production process, at which time all right, title, and interest in and to the parts transfers to the Company. Prior to consumption in the production process, the Company's suppliers bear the risk of loss and retain title to the consigned inventory. | |
The terms of the agreements allow the Company to return parts in excess of maximum order quantities to the suppliers at the supplier’s expense. Returns for other reasons are negotiated with the suppliers on a case-by-case basis and to date have been immaterial. As of March 31, 2014, the Company’s aggregate commitment to suppliers for parts used in the manufacture of the Company’s products was $163.9 million, which the Company expects to utilize in the normal course of business, net of an immaterial purchase commitments reserve. The Company’s purchase commitments reserve reflects the Company’s estimate of purchase commitments it does not expect to use in normal ongoing operations within the next twelve months. As of March 31, 2014 and 2013, the off-balance sheet consigned inventory balances were $40.0 million and $31.3 million, respectively. | |
Product Warranty Obligations | ' |
Product Warranty Obligations | |
The Company records a liability for the estimated costs of warranties at the time the related revenue is recognized. The specific warranty terms and conditions range from one to two years starting from the delivery date to the end user and vary depending upon the product sold and the country in which the Company does business. Factors that affect the warranty obligations include product failure rates, estimated return rates, the amount of time lapsed from the date of sale to the date of return, material usage, and service delivery costs incurred in correcting product failures. | |
Goodwill and Purchased Intangibles | ' |
Goodwill and Purchased Intangibles | |
Goodwill has been measured as the excess of the cost of acquisition over the amount assigned to tangible and identifiable intangible assets acquired less liabilities assumed. At least annually, in the fourth quarter of each fiscal year or more frequently if indicators of impairment exist, management performs a review to determine if the carrying value of goodwill is impaired. The identification and measurement of goodwill impairment involves the estimation of fair value at the Company’s reporting unit level. The Company determines its reporting units by assessing whether discrete financial information is available and if segment management regularly reviews the results of that component. The Company has determined it has one reporting unit. | |
The Company performs an initial assessment of qualitative factors to determine whether the existence of events and circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing the totality of relevant events and circumstances, the Company determines that it is more likely than not that the fair value of the reporting unit exceeds its carrying value and there is no indication of impairment, no further testing is performed; however, if the Company concludes otherwise, the first step of the two-step impairment test must be performed by estimating the fair value of the reporting unit and comparing it with its carrying value, including goodwill. | |
Intangible assets other than goodwill are carried at cost and amortized over their estimated useful lives. The Company reviews identifiable finite-lived intangible assets to be held and used for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Determination of recoverability is based on the lowest level of identifiable estimated undiscounted cash flows resulting from use of the asset and its ultimate disposition. Measurement of any impairment loss is based on the amount by which the carrying value of the asset exceeds its fair market value. | |
Property, Plant and Equipment | ' |
Property, Plant and Equipment | |
Property, plant and equipment is stated at cost less accumulated depreciation and amortization. Depreciation is calculated using the straight-line method over the estimated useful lives of the respective assets, which range from two to thirty years. Amortization of leasehold improvements is computed using the straight-line method over the shorter of the estimated useful lives of the assets or the remaining lease term. Capitalized software costs are amortized on a straight-line basis over the estimated useful life of the assets. | |
Property, plant and equipment is reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. The Company recognizes an impairment charge in the event the net book value of such assets exceeds the future undiscounted cash flows attributable to the asset group. No material impairment losses were incurred in the periods presented. | |
Fair Value Measurements | ' |
Fair Value Measurements | |
All financial assets and liabilities and non-financial assets and liabilities are recognized or disclosed at fair value in the financial statements. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: | |
Level 1 | |
The Company's Level 1 financial assets consist of mutual funds. The fair value of Level 1 financial instruments is measured based on the quoted market price of identical securities. | |
Level 2 | |
The Company's Level 2 financial assets and liabilities consist of Government Agency Securities, Commercial Paper, Corporate Bonds, Certificates of Deposit ("CDs"), and derivative foreign currency contracts. | |
The fair value of Level 2 investment securities is determined based on other observable inputs, including multiple non-binding quotes from independent pricing services. Non-binding quotes are based on proprietary valuation models that are prepared by the independent pricing services and use algorithms based on inputs such as observable market data, quoted market prices for similar securities, issuer spreads, and internal assumptions of the broker. The Company corroborates the reasonableness of non-binding quotes received from the independent pricing services using a variety of techniques depending on the underlying instrument, including: (i) comparing them to actual experience gained from the purchases and maturities of investment securities, (ii) comparing them to internally developed cash flow models based on observable inputs, and (iii) monitoring changes in ratings of similar securities and the related impact on fair value. The fair value of Level 2 derivative foreign currency contracts is determined using pricing models that use observable market inputs. | |
Revenue Recognition | ' |
Revenue Recognition | |
The Company sells substantially all of its products to end users through distributors, retailers, carriers, and original equipment manufacturers ("OEMs"). The Company's revenue is derived from the sale of headsets, telephone headset systems, and accessories for the business and consumer markets and is recognized when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the sales price is fixed or determinable, and collection is reasonably assured. These criteria are usually met at the time of product shipment; however, the Company defers revenue when any significant obligations remain and to date this has accounted for less than 1% of the Company's net revenues. Customer purchase orders and/or contracts are used to determine the existence of an arrangement. Product is considered delivered once it has been shipped and title and risk of loss have been transferred to the customer. The Company assesses whether a price is fixed or determinable based upon the selling terms associated with the transaction and whether the sales price is subject to refund or adjustment. The Company assesses collectibility based on a customer's credit quality, historical experience, and geographic or country-specific risks and economic conditions that may affect a customer's ability to pay. | |
Revenue is recorded net of taxes collected from customers that are remitted to governmental authorities, with the collected taxes recorded as current liabilities until remitted to the relevant government authority. Shipping and handling costs incurred in connection with the sale of products are included in cost of revenues. | |
Sales through retail and distribution channels are made primarily under agreements or commitments allowing for rights of return and include various sales incentive programs, such as rebates, advertising, price protection, and other sales incentives. The Company has an established sales history for these arrangements and records the estimated reserves and allowances at the time the related revenue is recognized. Sales return reserves are estimated based on historical data, relevant current data, and the monitoring of inventory build-up in the distribution channel. The allowance for sales incentive programs is based on historical experience and contractual terms or commitments in the form of lump sum payments or sell-through credits. | |
When a sales arrangement contains multiple elements, such as hardware and software products and/or services, the Company allocates revenue to each element based on relative selling prices. The selling price for a deliverable is based on its vendor specific objective evidence ("VSOE"), if available, third party evidence ("TPE") if VSOE is not available, or estimated selling price ("ESP") if neither VSOE nor TPE is available. In multiple element arrangements where more-than-incidental software deliverables are included, the Company allocates revenue to each separate unit of accounting for each of the non-software deliverables and to the software deliverables as a group using the relative selling prices of each of the deliverables in the arrangement based on the aforementioned selling price hierarchy. | |
Advertising Costs | ' |
Advertising Costs | |
The Company expenses all advertising costs as incurred. Advertising expense for the years ended March 31, 2014, 2013, and 2012 was $4.0 million, $3.6 million, and $2.6 million, respectively. | |
Income Taxes | ' |
Income Taxes | |
Deferred income taxes are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. The Company records a valuation allowance against particular deferred income tax assets if it is more likely than not that those assets will not be realized. The provision for income taxes comprises the Company's current tax liability and changes in deferred income tax assets and liabilities. | |
Significant judgment is required in evaluating the Company's uncertain tax positions and determining its provision for income taxes. The Company establishes reserves for tax-related uncertainties based on estimates of whether, and the extent to which, additional taxes will be due. These reserves are established when the Company believes that certain positions might be challenged despite its belief that its tax return positions are in accordance with applicable tax laws. The Company adjusts these reserves in light of changing facts and circumstances, such as the closing of a tax audit, new tax legislation, or the change of an estimate. To the extent that the final tax outcome of these matters is different than the amounts recorded, such differences will affect the provision for income taxes in the period in which such determination is made. The provision for income taxes includes the effect of reserve provisions and changes to reserves that are considered appropriate, as well as the related net interest and penalties. The Company follows the tax law ordering to determine when excess tax benefits have been realized. | |
The Company is subject to income taxes in the U.S. and foreign jurisdictions. At any one time, multiple tax years are subject to audit by various tax authorities. | |
Earnings Per Share | ' |
Earnings Per Share | |
Basic earnings per share is computed by dividing the net income for the period by the weighted average number of common shares outstanding during the period, less common stock subject to repurchase. Diluted earnings per share is computed by dividing the net income for the period by the weighted average number of shares of common stock and potentially dilutive common stock outstanding during the period. Potentially dilutive common shares include shares issuable upon the exercise of outstanding stock options, the vesting of awards of restricted stock, and the estimated shares to be purchased under the Company’s employee stock purchase plan ("ESPP"), which are reflected in diluted earnings per share by application of the treasury stock method. Under the treasury stock method, the amount that the employee must pay for exercising stock options, the amount of stock-based compensation cost for future services that the Company has not yet recognized, and the amount of tax benefit that would be recorded in additional paid-in capital upon exercise are assumed to be used to repurchase shares. | |
Comprehensive Income | ' |
Comprehensive Income | |
Comprehensive income consists of two components, net income and other comprehensive income. Other comprehensive income refers to income, expenses, gains, and losses that under U.S. GAAP are recorded as an element of stockholders’ equity but are excluded from net income. Accumulated other comprehensive income, as presented in the accompanying consolidated balance sheets, consists of foreign currency translation adjustments, unrealized gains and losses on derivatives designated as cash flow hedges, net of tax, and unrealized gains and losses on marketable securities classified as available-for-sale, net of tax. | |
Foreign Operations and Currency Translation | ' |
Foreign Operations and Currency Translation | |
The functional currency of the Company’s foreign sales and marketing offices, except as noted in the following paragraph, is the local currency of the respective operations. For these foreign operations, the Company translates assets and liabilities into U.S. dollars using the period-end exchange rates in effect as of the balance sheet date and translates revenues and expenses using the average monthly exchange rates. The resulting cumulative translation adjustments are included in accumulated other comprehensive income, a separate component of stockholders' equity in the accompanying consolidated balance sheets. | |
The functional currency of the Company’s European finance, sales and logistics headquarters in the Netherlands, sales office and warehouse in Japan, a manufacturing facility in Tijuana, Mexico, and logistic and research and development facilities in China, is the U.S. Dollar. For these foreign operations, assets and liabilities denominated in foreign currencies are re-measured at the period-end or historical rates, as appropriate. Revenues and expenses are re-measured at average monthly rates, which the Company believes to be a fair approximation of actual rates. Currency transaction gains and losses are recognized in current operations. | |
Stock-Based Compensation Expense | ' |
Stock-Based Compensation Expense | |
The Company applies the provisions of the Compensation – Stock Compensation Topic of the FASB ASC, which requires the measurement and recognition of compensation expense for all share-based payment awards made to employees and non-employee directors based on estimated fair values. The Company recognizes the grant-date fair value of stock-based compensation as compensation expense using the straight-line attribution approach over the service period for which the stock-based compensation is expected to vest. | |
The Company uses the “with and without” approach in determining the order in which tax attributes are utilized. As a result, the Company only recognizes a tax benefit from stock-based awards in additional paid-in capital if an incremental tax benefit is realized after all other tax attributes currently available to the Company have been utilized. When tax deductions from stock-based awards are less than the cumulative book compensation expense, the tax effect of the resulting difference (“shortfall”) is charged first to additional paid-in capital to the extent of the Company's pool of windfall tax benefits, with any remainder recognized in income tax expense. The Company has determined that it had a sufficient windfall pool available through the end of fiscal year 2014 to absorb any shortfalls. In addition, the Company accounts for the indirect effects of stock-based awards on other tax attributes, such as the research tax credit, through the consolidated statements of operations. | |
Treasury Shares | ' |
Treasury Shares | |
From time to time, the Company repurchases shares of its common stock, depending on market conditions, in the open market or through privately negotiated transactions, in accordance with programs authorized by the Board of Directors. Repurchased shares are held as treasury stock until such time as they are retired or re-issued. Retirements of treasury stock are non-cash equity transactions in which the reacquired shares are returned to the status of authorized but unissued shares and the cost is recorded as a reduction to both retained earnings and treasury stock. The stock repurchase programs are intended to offset the impact of dilution resulting from the Company's stock-based compensation programs. | |
Concentration of Risk | ' |
Concentration of Risk | |
Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash equivalents, short-term and long-term investments, and trade accounts receivable. | |
Plantronics’ investment policy limits investments to highly-rated securities. In addition, the Company limits the amount of credit exposure to any one issuer and restricts placement of these investments to issuers evaluated as creditworthy. As of March 31, 2014 and 2013, the Company's investments were composed of Mutual Funds, Government Agency Securities, Commercial Paper, Corporate Bonds, and CDs. | |
Concentrations of credit risk with respect to trade receivables are limited due to the large number of customers that comprise the Company’s customer base and their dispersion across different geographies and markets. No customer accounted for 10% or more of total net accounts receivable for the fiscal years ended March 31, 2014 or 2013. The Company does not believe other significant concentrations of credit risk exist. Plantronics performs ongoing credit evaluations of its customers' financial condition and requires no collateral from its customers. The Company maintains a provision for doubtful accounts based upon expected collectibility of all accounts receivable. | |
Certain inventory components required by the Company are only available from a limited number of suppliers. The rapid rate of technological change and the necessity of developing and manufacturing products with short lifecycles may intensify these risks. The inability to obtain components as required, or to develop alternative sources, as required in the future, could result in delays or reductions in product shipments, which in turn could have a material adverse effect on the Company’s business, financial condition, results of operations and cash flows. |
CASH_CASH_EQUIVALENTS_AND_INVE1
CASH, CASH EQUIVALENTS AND INVESTMENTS (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||
CASH, CASH EQUIVALENTS AND INVESTMENTS [Abstract] | ' | ||||||||||||||||||||||||||||
Cash, Cash Equivalents and Investments | ' | ||||||||||||||||||||||||||||
The following tables summarize the Company’s cash and available-for-sale securities’ adjusted cost, gross unrealized gains, gross unrealized losses, and fair value by significant investment category recorded as cash and cash equivalents, short-term, or long-term investments as of March 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||||||||||
March 31, 2014 | Amortized | Gross | Gross | Fair | Cash & Cash Equivalents | Short-term investments (due in 1 year or less) | Long-term investments (due in 1 to 3 years) | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||
Cash | $ | 232,704 | $ | — | $ | — | $ | 232,704 | $ | 232,704 | $ | — | $ | — | |||||||||||||||
Level 1: | |||||||||||||||||||||||||||||
Mutual Funds | 1,779 | 31 | (3 | ) | 1,807 | — | 1,807 | — | |||||||||||||||||||||
Level 2: | |||||||||||||||||||||||||||||
Government Agency Securities | 53,976 | 43 | (9 | ) | 54,010 | — | 21,325 | 32,685 | |||||||||||||||||||||
Commercial Paper | 47,766 | 7 | — | 47,773 | — | 47,773 | — | ||||||||||||||||||||||
Corporate Bonds | 98,289 | 195 | (17 | ) | 98,467 | — | 30,810 | 67,657 | |||||||||||||||||||||
Certificates of Deposits ("CDs") | 1,002 | — | — | 1,002 | — | 1,002 | — | ||||||||||||||||||||||
Subtotal | 201,033 | 245 | (26 | ) | 201,252 | — | 100,910 | 100,342 | |||||||||||||||||||||
Total cash, cash equivalents | $ | 435,516 | $ | 276 | $ | (29 | ) | $ | 435,763 | $ | 232,704 | $ | 102,717 | $ | 100,342 | ||||||||||||||
and investments measured at fair value | |||||||||||||||||||||||||||||
March 31, 2013 | Amortized | Gross | Gross | Fair | Cash & Cash Equivalents | Short-term investments (due in 1 year or less) | Long-term investments (due in 1 to 3 years) | ||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||
Cash | $ | 118,881 | $ | — | $ | — | $ | 118,881 | $ | 118,881 | $ | — | $ | — | |||||||||||||||
Level 1: | |||||||||||||||||||||||||||||
U.S. Treasury Bills and Government Agency Securities | 135,120 | 22 | — | 135,142 | 104,995 | 7,243 | 22,904 | ||||||||||||||||||||||
Level 2: | |||||||||||||||||||||||||||||
U.S. Treasury Bills and Government Agency Securities | 91,284 | 38 | (4 | ) | 91,318 | — | 58,864 | 32,454 | |||||||||||||||||||||
Commercial Paper | 20,570 | 9 | — | 20,579 | 4,900 | 15,679 | — | ||||||||||||||||||||||
Corporate Bonds | 58,644 | 54 | (5 | ) | 58,693 | — | 34,795 | 23,898 | |||||||||||||||||||||
CDs | 1,002 | 3 | — | 1,005 | — | — | 1,005 | ||||||||||||||||||||||
Subtotal | 171,500 | 104 | (9 | ) | 171,595 | 4,900 | 109,338 | 57,357 | |||||||||||||||||||||
Total cash, cash equivalents | $ | 425,501 | $ | 126 | $ | (9 | ) | $ | 425,618 | $ | 228,776 | $ | 116,581 | $ | 80,261 | ||||||||||||||
and investments measured at fair value | |||||||||||||||||||||||||||||
DETAILS_OF_CERTAIN_BALANCE_SHE1
DETAILS OF CERTAIN BALANCE SHEET ACCOUNTS (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Balance Sheet Related Disclosures [Abstract] | ' | ||||||||
Accounts receivable, net | ' | ||||||||
Accounts receivable, net: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Accounts receivable | $ | 159,592 | $ | 151,250 | |||||
Provisions for returns | (6,201 | ) | (8,957 | ) | |||||
Provisions for promotions and rebates | (14,803 | ) | (13,675 | ) | |||||
Provisions for doubtful accounts and sales allowances | (287 | ) | (409 | ) | |||||
Accounts receivable, net | $ | 138,301 | $ | 128,209 | |||||
Inventory, net | ' | ||||||||
Inventory, net: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Raw materials | $ | 28,071 | $ | 28,743 | |||||
Work in process | 985 | 82 | |||||||
Finished goods | 28,076 | 38,610 | |||||||
Inventory, net | $ | 57,132 | $ | 67,435 | |||||
Property, Plant and Equipment | ' | ||||||||
Property, plant, and equipment, net: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Land | $ | 14,170 | $ | 13,961 | |||||
Buildings and improvements (useful life: 7-30 years) | 94,299 | 72,263 | |||||||
Machinery and equipment (useful life: 2-10 years) | 97,520 | 88,538 | |||||||
Software (useful life: 5-6 years) | 30,368 | 30,538 | |||||||
Construction in progress | 24,927 | 16,101 | |||||||
261,284 | 221,401 | ||||||||
Accumulated depreciation and amortization | (126,882 | ) | (122,290 | ) | |||||
Property, plant, and equipment, net | $ | 134,402 | $ | 99,111 | |||||
Accrued Liabilities | ' | ||||||||
Accrued liabilities: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Employee compensation and benefits | $ | 32,280 | $ | 29,796 | |||||
Warranty obligation | 7,965 | 13,410 | |||||||
Income taxes payable | 3,092 | 3,376 | |||||||
Accrued other | 23,514 | 19,837 | |||||||
Accrued liabilities | $ | 66,851 | $ | 66,419 | |||||
Changes in the warranty obligation accrual | ' | ||||||||
Changes in the warranty obligation, which are included as a component of accrued liabilities in the consolidated balance sheets, are as follows: | |||||||||
Year ended March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Warranty obligation at beginning of year | $ | 13,410 | $ | 13,346 | |||||
Correction of immaterial prior period error (1) | (5,042 | ) | — | ||||||
Warranty provision relating to products shipped during the year | 5,158 | 16,287 | |||||||
Deductions for warranty claims processed | (5,561 | ) | (16,223 | ) | |||||
Warranty obligation at end of year | $ | 7,965 | $ | 13,410 | |||||
(1) During the third quarter of fiscal year 2014, the Company identified immaterial out of period errors related to its estimated warranty obligation and return material authorization ("RMA") reserves, the correction of which decreased its cost of revenues by approximately $2.4 million and increased net income by approximately $2.1 million. The Company recorded these corrections in the quarter ended December 31, 2013 because the errors were not material, either individually or in the aggregate, to any of the prior reporting periods. In addition, these adjustments are not material for the fiscal year ending March 31, 2014, either individually or in the aggregate. |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | ||||
Mar. 31, 2014 | |||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||
Schedule of Future Minimum Rental Payments for Operating Leases | ' | ||||
Minimum future rental payments under non-cancelable operating leases having remaining terms in excess of one year as of March 31, 2014 are as follows: | |||||
Fiscal Year Ending March 31, | (in thousands) | ||||
2015 | $ | 3,193 | |||
2016 | 1,738 | ||||
2017 | 745 | ||||
2018 | 599 | ||||
2019 | 470 | ||||
Thereafter | 840 | ||||
Total minimum future rental payments | $ | 7,585 | |||
STOCKBASED_COMPENSATION_Tables
STOCK-BASED COMPENSATION (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||||||||||
Stock-Based Compensation Expense Included in Statements of Operations | ' | ||||||||||||||||||||||||
The following table summarizes the amount of stock-based compensation expense included in the consolidated statements of operations for the periods presented: | |||||||||||||||||||||||||
Fiscal Year Ended March 31, | |||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Cost of revenues | $ | 2,554 | $ | 2,020 | $ | 2,212 | |||||||||||||||||||
Research, development and engineering | 6,404 | 4,842 | 3,917 | ||||||||||||||||||||||
Selling, general and administrative | 14,222 | 11,488 | 11,352 | ||||||||||||||||||||||
Stock-based compensation expense included in operating expenses | 20,626 | 16,330 | 15,269 | ||||||||||||||||||||||
Total stock-based compensation | 23,180 | 18,350 | 17,481 | ||||||||||||||||||||||
Income tax benefit | (6,790 | ) | (5,479 | ) | (5,463 | ) | |||||||||||||||||||
Total stock-based compensation expense, net of tax | $ | 16,390 | $ | 12,871 | $ | 12,018 | |||||||||||||||||||
Summary of Stock Option Activity | ' | ||||||||||||||||||||||||
The following is a summary of the Company’s stock option activity during fiscal year 2014: | |||||||||||||||||||||||||
Options Outstanding | |||||||||||||||||||||||||
Number of Shares | Weighted Average Exercise Price | Weighted Average Remaining Contractual Life | Aggregate Intrinsic Value | ||||||||||||||||||||||
(in thousands) | (in years) | (in thousands) | |||||||||||||||||||||||
Outstanding at March 31, 2013 | 2,415 | $ | 27.96 | ||||||||||||||||||||||
Options granted | 297 | $ | 44.75 | ||||||||||||||||||||||
Options exercised | (765 | ) | $ | 24.39 | |||||||||||||||||||||
Options forfeited or expired | (13 | ) | $ | 33.3 | |||||||||||||||||||||
Outstanding at March 31, 2014 | 1,934 | $ | 31.91 | 4 | $ | 22,190 | |||||||||||||||||||
Vested and expected to vest at March 31, 2014 | 1,900 | $ | 31.75 | 3.9 | $ | 22,075 | |||||||||||||||||||
Exercisable at March 31, 2014 | 1,377 | $ | 28.83 | 3.3 | $ | 19,675 | |||||||||||||||||||
Summary of Restricted Stock Activity | ' | ||||||||||||||||||||||||
The following is a summary of the Company’s restricted stock activity during fiscal year 2014: | |||||||||||||||||||||||||
Number of Shares | Weighted Average Grant Date Fair Value | ||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Non-vested at March 31, 2013 | 1,025 | $ | 33.34 | ||||||||||||||||||||||
Restricted stock granted | 582 | $ | 46.02 | ||||||||||||||||||||||
Restricted stock vested | (385 | ) | $ | 33.17 | |||||||||||||||||||||
Restricted stock forfeited | (50 | ) | $ | 37.55 | |||||||||||||||||||||
Non-vested at March 31, 2014 | 1,172 | $ | 39.52 | ||||||||||||||||||||||
Valuation Assumptions | ' | ||||||||||||||||||||||||
he Company estimates the fair value of stock options and ESPP shares using a Black-Scholes option valuation model. At the date of grant, the Company estimated the fair value of each stock option grant and purchase right granted under the ESPP using the following weighted average assumptions: | |||||||||||||||||||||||||
Employee Stock Options | ESPP | ||||||||||||||||||||||||
Fiscal Year Ended March 31, | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||
Expected volatility | 32.2 | % | 41.8 | % | 45.3 | % | 26.5 | % | 32.4 | % | 37.3 | % | |||||||||||||
Risk-free interest rate | 0.9 | % | 0.6 | % | 1 | % | 0.1 | % | 0.1 | % | 0.1 | % | |||||||||||||
Expected dividends | 0.9 | % | 1.2 | % | 0.6 | % | 0.9 | % | 1 | % | 0.6 | % | |||||||||||||
Expected life (in years) | 4.2 | 4.3 | 4 | 0.5 | 0.5 | 0.5 | |||||||||||||||||||
Weighted-average grant date fair value | $ | 11.15 | $ | 10.31 | $ | 12.06 | $ | 9.62 | $ | 9 | $ | 8.69 | |||||||||||||
ACCUMULATED_OTHER_COMPREHENSIV1
ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ||||||||
Accumulated Other Comprehensive Income | ' | ||||||||
The components of accumulated other comprehensive income, net of associated tax impacts, were as follows: | |||||||||
March 31, | |||||||||
(in thousands) | 2014 | 2013 | |||||||
Accumulated unrealized gain (loss) on cash flow hedges (1) | $ | (1,411 | ) | $ | 1,349 | ||||
Accumulated foreign currency translation adjustments | 3,887 | 4,131 | |||||||
Accumulated unrealized gain on investments | 162 | 87 | |||||||
Accumulated other comprehensive income | $ | 2,638 | $ | 5,567 | |||||
(1) Refer to Note 13, Foreign Currency Derivatives, which discloses the nature of the Company's derivative assets and liabilities as of March 31, 2014 and March 31, 2013. |
FOREIGN_CURRENCY_DERIVATIVES_T
FOREIGN CURRENCY DERIVATIVES (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ||||||||||||
Offsetting Financial Assets Under Master Netting Agreements | ' | ||||||||||||
As of March 31, 2013: | |||||||||||||
Gross Amount of Derivative Assets Presented in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheet that are Subject to Master Netting Agreements | ||||||||||||
(in thousands) | Gross Amount of Eligible Offsetting Recognized Derivative Liabilities | Cash Collateral Received | Net Amount of Derivative Assets | ||||||||||
Derivatives subject to master netting agreements | $ | 1,005 | $ | (215 | ) | $ | — | $ | 790 | ||||
Derivatives not subject to master netting agreements | 660 | 660 | |||||||||||
Total | $ | 1,665 | $ | 1,450 | |||||||||
As of March 31, 2014: | |||||||||||||
Gross Amount of Derivative Assets Presented in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheet that are Subject to Master Netting Agreements | ||||||||||||
(in thousands) | Gross Amount of Eligible Offsetting Recognized Derivative Liabilities | Cash Collateral Received | Net Amount of Derivative Assets | ||||||||||
Derivatives subject to master netting agreements | $ | 473 | $ | (473 | ) | $ | — | $ | — | ||||
Derivatives not subject to master netting agreements | 654 | 654 | |||||||||||
Total | $ | 1,127 | $ | 654 | |||||||||
Offsetting Financial Liabilities Under Master Netting Agreements | ' | ||||||||||||
Gross Amount of Derivative Liabilities Presented in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheet that are Subject to Master Netting Agreements | ||||||||||||
(in thousands) | Gross Amount of Eligible Offsetting Recognized Derivative Assets | Cash Collateral Received | Net Amount of Derivative Liabilities | ||||||||||
Derivatives subject to master netting agreements | $ | (1,428 | ) | $ | 473 | $ | — | $ | (955 | ) | |||
Derivatives not subject to master netting agreements | (1,455 | ) | (1,455 | ) | |||||||||
Total | $ | (2,883 | ) | $ | (2,410 | ) | |||||||
Gross Amount of Derivative Liabilities Presented in the Consolidated Balance Sheets | Gross Amounts Not Offset in the Consolidated Balance Sheet that are Subject to Master Netting Agreements | ||||||||||||
(in thousands) | Gross Amount of Eligible Offsetting Recognized Derivative Assets | Cash Collateral Received | Net Amount of Derivative Liabilities | ||||||||||
Derivatives subject to master netting agreements | $ | (215 | ) | $ | 215 | $ | — | $ | — | ||||
Derivatives not subject to master netting agreements | (79 | ) | (79 | ) | |||||||||
Total | $ | (294 | ) | $ | (79 | ) | |||||||
Notional Amounts of Outstanding Foreign Exchange Contracts and Approximate U.S. Dollar Equivalent | ' | ||||||||||||
The following table summarizes the notional value of the Company’s outstanding foreign exchange currency contracts and approximate U.S. Dollar equivalent (“USD Equivalent”) at March 31, 2014: | |||||||||||||
Local Currency | USD Equivalent | Position | Maturity | ||||||||||
(in thousands) | (in thousands) | ||||||||||||
EUR | € | 19,600 | $ | 26,951 | Sell EUR | 1 month | |||||||
GBP | £ | 1,600 | $ | 2,662 | Sell GBP | 1 month | |||||||
AUD | A$ | 3,700 | $ | 3,413 | Sell AUD | 1 month | |||||||
Effect of Non-Designated Derivative Contracts On Results of Operations Recognized in Interest and Other Income (Expense), Net in Statements of Operations | ' | ||||||||||||
The effect of non-designated derivative contracts on results of operations recognized in interest and other income (expense), net in the consolidated statements of operations was as follows: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Gain on foreign exchange contracts | $ | 1,631 | $ | 1,065 | $ | 1,009 | |||||||
Notional Value of Outstanding Currency Swaps and Approximate U.S. Dollar Equivalent | ' | ||||||||||||
The following table summarizes the notional value of the Company's outstanding MXN currency swaps and approximate USD Equivalent at March 31, 2014: | |||||||||||||
Local Currency | USD Equivalent | Position | Maturity | ||||||||||
(in thousands) | (in thousands) | ||||||||||||
MX$ | 204,550 | $ | 15,339 | Buy MXN | Monthly over | 9 months | |||||||
Balance of Designated Derivative Contracts and the Pre-Tax Impact on Accumulated Other Comprehensive Income | ' | ||||||||||||
The following table presents the pre-tax effects of derivative instruments designated as cash flow hedges on AOCI and the consolidated statements of operations for fiscal years ended March 31, 2014, 2013, and 2012: | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Gain (loss) included in AOCI as of beginning of period | $ | 1,371 | $ | 1,937 | $ | (3,814 | ) | ||||||
Amount of gain (loss) recognized in OCI (effective portion) | (3,750 | ) | 3,441 | 2,951 | |||||||||
Amount of gain (loss) reclassified from OCI into net revenues (effective portion) | (965 | ) | 3,367 | (2,415 | ) | ||||||||
Amount of gain (loss) reclassified from OCI into cost of revenues (effective portion) | 28 | 640 | (385 | ) | |||||||||
Total amount of gain (loss) reclassified from AOCI to income (loss) (effective portion) | (937 | ) | 4,007 | (2,800 | ) | ||||||||
Loss included in AOCI as of end of period | $ | (1,442 | ) | $ | 1,371 | $ | 1,937 | ||||||
The Company recognized an immaterial loss in the consolidated statement operations on the ineffective portion of the cash flow hedges reported in interest and other income, net during the year ended March 31, 2014. There was no ineffective portion of hedges designated as cash flow hedging instruments during the years ended March 31, 2013 or March 31, 2012. |
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||
Schedule of Components of Income Tax Expense (Benefit) | ' | ||||||||||||
Income tax expense for fiscal years 2014, 2013, and 2012 consisted of the following: | |||||||||||||
(in thousands) | Fiscal Year Ended March 31, | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
Current: | |||||||||||||
Federal | $ | 28,859 | $ | 25,530 | $ | 23,844 | |||||||
State | 1,263 | 2,452 | 2,719 | ||||||||||
Foreign | 4,384 | 4,777 | 5,080 | ||||||||||
Total current provision for income taxes | 34,506 | 32,759 | 31,643 | ||||||||||
Deferred: | |||||||||||||
Federal | (4,675 | ) | (586 | ) | 2,324 | ||||||||
State | (629 | ) | (474 | ) | (569 | ) | |||||||
Foreign | (480 | ) | 324 | 168 | |||||||||
Total deferred benefit for income taxes | (5,784 | ) | (736 | ) | 1,923 | ||||||||
Income tax expense | $ | 28,722 | $ | 32,023 | $ | 33,566 | |||||||
Schedule of Income before Income Tax, Domestic and Foreign | ' | ||||||||||||
The components of income before income taxes for fiscal years 2014, 2013, and 2012 are as follows: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
United States | $ | 85,231 | $ | 80,875 | $ | 79,589 | |||||||
Foreign | 55,908 | 57,550 | 63,013 | ||||||||||
Income before income taxes | $ | 141,139 | $ | 138,425 | $ | 142,602 | |||||||
Schedule of Effective Income Tax Rate Reconciliation | ' | ||||||||||||
The following is a reconciliation between statutory federal income taxes and the income tax expense for fiscal years 2014, 2013, and 2012: | |||||||||||||
(in thousands) | Fiscal Year Ended March 31, | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
Tax expense at statutory rate | $ | 49,399 | $ | 48,449 | $ | 49,911 | |||||||
Foreign operations taxed at different rates | (16,175 | ) | (15,244 | ) | (16,973 | ) | |||||||
State taxes, net of federal benefit | 634 | 1,978 | 2,149 | ||||||||||
Research and development credit | (1,805 | ) | (3,380 | ) | (1,392 | ) | |||||||
Other, net | (3,331 | ) | 220 | (129 | ) | ||||||||
Income tax expense | $ | 28,722 | $ | 32,023 | $ | 33,566 | |||||||
Schedule of Deferred Tax Assets and Liabilities | ' | ||||||||||||
Significant components of the Company's deferred tax assets and liabilities as of March 31, 2014 and 2013 are as follows: | |||||||||||||
March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||
Accruals and other reserves | $ | 8,459 | $ | 7,983 | |||||||||
Net operating loss carry forward | 4,580 | 5,956 | |||||||||||
Stock compensation | 8,957 | 8,199 | |||||||||||
Other deferred tax assets | 3,937 | 3,643 | |||||||||||
Valuation allowance | (3,351 | ) | (5,984 | ) | |||||||||
Total deferred tax assets | 22,582 | 19,797 | |||||||||||
Deferred gains on sales of properties | (1,756 | ) | (1,756 | ) | |||||||||
Unremitted earnings of certain subsidiaries | (3,064 | ) | (3,064 | ) | |||||||||
Fixed asset depreciation | (3,571 | ) | (4,402 | ) | |||||||||
Other deferred tax liabilities | — | (2,197 | ) | ||||||||||
Total deferred tax liabilities | (8,391 | ) | (11,419 | ) | |||||||||
Net deferred tax assets | $ | 14,191 | (1) | $ | 8,378 | ||||||||
Schedule of Unrecognized Tax Benefits Roll Forward | ' | ||||||||||||
A reconciliation of the change in the amount of gross unrecognized income tax benefits for the periods is as follows: | |||||||||||||
March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Balance at beginning of period | $ | 11,072 | $ | 11,141 | $ | 10,458 | |||||||
Increase (decrease) of unrecognized tax benefits related to prior years | 641 | (117 | ) | 116 | |||||||||
Increase of unrecognized tax benefits related to the current year | 2,427 | 2,430 | 2,074 | ||||||||||
Reductions to unrecognized tax benefits related to lapse of applicable statute of limitations | (1,569 | ) | (2,382 | ) | (1,507 | ) | |||||||
Balance at end of period | $ | 12,571 | $ | 11,072 | $ | 11,141 | |||||||
COMPUTATION_OF_EARNINGS_PER_CO1
COMPUTATION OF EARNINGS PER COMMON SHARE (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Computation of Basic and Diluted Earnings per Common Share | ' | ||||||||||||
The following table sets forth the computation of basic and diluted earnings per share: | |||||||||||||
(in thousands, except earnings per share data) | Fiscal Year Ended March 31, | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
Numerator: | |||||||||||||
Net income | $ | 112,417 | $ | 106,402 | $ | 109,036 | |||||||
Denominator: | |||||||||||||
Weighted average common shares-basic | 42,452 | 41,748 | 44,023 | ||||||||||
Dilutive effect of employee equity incentive plans | 912 | 990 | 1,242 | ||||||||||
Weighted average shares-diluted | 43,364 | 42,738 | 45,265 | ||||||||||
Basic earnings per common share | $ | 2.65 | $ | 2.55 | $ | 2.48 | |||||||
Diluted earnings per common share | $ | 2.59 | $ | 2.49 | $ | 2.41 | |||||||
Potentially dilutive securities excluded from diluted earnings per share because their effect is anti-dilutive | 202 | 1,038 | 1,199 | ||||||||||
GEOGRAPHIC_INFORMATION_Tables
GEOGRAPHIC INFORMATION (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Segments, Geographical Areas [Abstract] | ' | ||||||||||||
Revenue from External Customers by Products and Services | ' | ||||||||||||
The following table presents net revenues by product group: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Net revenues from unaffiliated customers: | |||||||||||||
Office and Contact Center | $ | 588,265 | $ | 549,301 | $ | 531,709 | |||||||
Mobile | 186,206 | 163,460 | 131,825 | ||||||||||
Gaming and Computer Audio | 29,674 | 30,747 | 31,855 | ||||||||||
Clarity | 14,462 | 18,718 | 17,979 | ||||||||||
Total net revenues | $ | 818,607 | $ | 762,226 | $ | 713,368 | |||||||
Net Revenues by Geography | ' | ||||||||||||
For reporting purposes, revenue is attributed to each geographic region based on the location of the customer. Other than the U.S., no country accounted for 10% or more of the Company's net revenues for the years ended March 31, 2014, 2013, and 2012. The following table presents net revenues by geography: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | 2012 | ||||||||||
Net revenues from unaffiliated customers: | |||||||||||||
U.S. | $ | 475,278 | $ | 436,447 | $ | 406,233 | |||||||
Europe and Africa | 195,385 | 181,439 | 177,157 | ||||||||||
Asia Pacific | 94,455 | 92,193 | 78,853 | ||||||||||
Americas, excluding U.S. | 53,489 | 52,147 | 51,125 | ||||||||||
Total International net revenues | 343,329 | 325,779 | 307,135 | ||||||||||
Total net revenues | $ | 818,607 | $ | 762,226 | $ | 713,368 | |||||||
Schedule of Long-Lived Assets, by Geographic Areas | ' | ||||||||||||
The following table presents long-lived assets by geographic area on a consolidated basis: | |||||||||||||
Fiscal Year Ended March 31, | |||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||
U.S. | $ | 74,092 | $ | 62,263 | |||||||||
Mexico | 38,453 | 24,033 | |||||||||||
Other countries | 21,857 | 12,815 | |||||||||||
Total long-lived assets | $ | 134,402 | $ | 99,111 | |||||||||
SUPPLEMENTARY_QUARTERLY_FINANC1
SUPPLEMENTARY QUARTERLY FINANCIAL DATA (Tables) | 12 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||
Schedule of Quarterly Financial Information | ' | |||||||||||||||
Quarter Ended | ||||||||||||||||
31-Mar-14 | 31-Dec-13 | September 30, | June 30, | |||||||||||||
2013 | 2013 | |||||||||||||||
(in thousands, except per share data) | ||||||||||||||||
Net revenues | $ | 209,070 | $ | 212,739 | $ | 193,980 | $ | 202,818 | ||||||||
Gross profit | $ | 111,055 | $ | 110,327 | $ | 99,614 | $ | 105,632 | ||||||||
Net income | $ | 27,943 | $ | 34,383 | $ | 23,138 | $ | 26,953 | ||||||||
Basic net income per common share | $ | 0.67 | $ | 0.81 | $ | 0.54 | $ | 0.63 | ||||||||
Diluted net income per common share | $ | 0.65 | $ | 0.8 | $ | 0.53 | $ | 0.62 | ||||||||
Cash dividends declared per common share | $ | 0.1 | $ | 0.1 | $ | 0.1 | $ | 0.1 | ||||||||
Quarter Ended | ||||||||||||||||
31-Mar-13 | December 31, 2012 1 | 30-Sep-12 | 30-Jun-12 | |||||||||||||
(in thousands, except per share data) | ||||||||||||||||
Net revenues | $ | 204,179 | $ | 197,402 | $ | 179,280 | $ | 181,365 | ||||||||
Gross profit | $ | 106,093 | $ | 102,164 | $ | 97,228 | $ | 97,696 | ||||||||
Net income | $ | 28,709 | $ | 28,206 | $ | 25,924 | $ | 23,563 | ||||||||
Basic net income per common share | $ | 0.68 | $ | 0.68 | $ | 0.62 | $ | 0.57 | ||||||||
Diluted net income per common share | $ | 0.67 | $ | 0.66 | $ | 0.61 | $ | 0.55 | ||||||||
Cash dividends declared per common share | $ | 0.1 | $ | 0.1 | $ | 0.1 | $ | 0.1 | ||||||||
1 | We initiated a restructuring plan during the third quarter of fiscal year 2013. Under the plan, we eliminated certain positions in the US., Mexico, China, and Europe, and transitioned some of these positions to lower cost locations. The pre-tax charges incurred during fiscal year 2013 included $1.9 million for severance and related benefits and an immaterial amount of accelerated amortization on leasehold assets with no alternative future use. |
SIGNIFICANT_ACCOUNTING_POLICIE2
SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Customer | Customer | ||
Product Information [Line Items] | ' | ' | ' |
Unconditional purchase obligations | $163.90 | ' | ' |
Off-balance sheet consigned inventory | 40 | 31.3 | ' |
Number of customers accounting for 10% or more of net accounts receivable | 0 | 0 | ' |
Duration of fiscal year | '364 days | '364 days | '364 days |
Advertising expense | $4 | $3.60 | $2.60 |
Minimum | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' |
Product warranty terms | '1 year | ' | ' |
Maximum | ' | ' | ' |
Product Information [Line Items] | ' | ' | ' |
Product warranty terms | '2 years | ' | ' |
CASH_CASH_EQUIVALENTS_AND_INVE2
CASH, CASH EQUIVALENTS AND INVESTMENTS (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | $232,704 | $228,776 | $209,335 | $277,373 |
Short-term investments (due in 1 year or less) | 102,717 | 116,581 | ' | ' |
Long-term investments (due in 1 to 3 years) | 100,342 | 80,261 | ' | ' |
Total cash, cash equivalents and investments measured at fair value, amortized cost | 435,516 | 425,501 | ' | ' |
Total cash, cash equivalents and investments measured at fair value, gross unrealized gain | 276 | 126 | ' | ' |
Total cash, cash equivalents and investments measured at fair value, gross unrealized loss | -29 | -9 | ' | ' |
Total cash, cash equivalents and investments measured at fair value, fair value | 435,763 | 425,618 | ' | ' |
Level 2 | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | ' | 4,900 | ' | ' |
Available-for-sale Securities, amortized cost basis | 201,033 | 171,500 | ' | ' |
Available-for-sale Securities, gross unrealized gains | 245 | 104 | ' | ' |
Available-for-sale Securities, gross unrealized losses | -26 | -9 | ' | ' |
Available-for-sale Securities, fair value | 201,252 | 171,595 | ' | ' |
Short-term investments (due in 1 year or less) | 100,910 | 109,338 | ' | ' |
Long-term investments (due in 1 to 3 years) | 100,342 | 57,357 | ' | ' |
Cash | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | 232,704 | 118,881 | ' | ' |
Mutual Funds | Level 1 | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Available-for-sale Securities, amortized cost basis | 1,779 | ' | ' | ' |
Available-for-sale Securities, gross unrealized gains | 31 | ' | ' | ' |
Available-for-sale Securities, gross unrealized losses | -3 | ' | ' | ' |
Available-for-sale Securities, fair value | 1,807 | ' | ' | ' |
Short-term investments (due in 1 year or less) | 1,807 | ' | ' | ' |
Long-term investments (due in 1 to 3 years) | 0 | ' | ' | ' |
Government Agency Securities | Level 2 | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Available-for-sale Securities, amortized cost basis | 53,976 | ' | ' | ' |
Available-for-sale Securities, gross unrealized gains | 43 | ' | ' | ' |
Available-for-sale Securities, gross unrealized losses | -9 | ' | ' | ' |
Available-for-sale Securities, fair value | 54,010 | ' | ' | ' |
Short-term investments (due in 1 year or less) | 21,325 | ' | ' | ' |
Long-term investments (due in 1 to 3 years) | 32,685 | ' | ' | ' |
US Treasury Bills and Government Securities | Level 1 | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | ' | 104,995 | ' | ' |
Available-for-sale Securities, amortized cost basis | ' | 135,120 | ' | ' |
Available-for-sale Securities, gross unrealized gains | ' | 22 | ' | ' |
Available-for-sale Securities, gross unrealized losses | ' | 0 | ' | ' |
Available-for-sale Securities, fair value | ' | 135,142 | ' | ' |
Short-term investments (due in 1 year or less) | ' | 7,243 | ' | ' |
Long-term investments (due in 1 to 3 years) | ' | 22,904 | ' | ' |
US Treasury Bills and Government Securities | Level 2 | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | ' | 0 | ' | ' |
Available-for-sale Securities, amortized cost basis | ' | 91,284 | ' | ' |
Available-for-sale Securities, gross unrealized gains | ' | 38 | ' | ' |
Available-for-sale Securities, gross unrealized losses | ' | -4 | ' | ' |
Available-for-sale Securities, fair value | ' | 91,318 | ' | ' |
Short-term investments (due in 1 year or less) | ' | 58,864 | ' | ' |
Long-term investments (due in 1 to 3 years) | ' | 32,454 | ' | ' |
Commercial Paper-not included in Cash and Cash Equivalents | Level 2 | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Available-for-sale Securities, amortized cost basis | 47,766 | 20,570 | ' | ' |
Available-for-sale Securities, gross unrealized gains | 7 | 9 | ' | ' |
Available-for-sale Securities, gross unrealized losses | 0 | 0 | ' | ' |
Available-for-sale Securities, fair value | 47,773 | 20,579 | ' | ' |
Short-term investments (due in 1 year or less) | 47,773 | 15,679 | ' | ' |
Long-term investments (due in 1 to 3 years) | 0 | 0 | ' | ' |
Commercial Paper | Level 2 | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | ' | 4,900 | ' | ' |
Corporate Bonds | Level 2 | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | ' | 0 | ' | ' |
Available-for-sale Securities, amortized cost basis | 98,289 | 58,644 | ' | ' |
Available-for-sale Securities, gross unrealized gains | 195 | 54 | ' | ' |
Available-for-sale Securities, gross unrealized losses | -17 | -5 | ' | ' |
Available-for-sale Securities, fair value | 98,467 | 58,693 | ' | ' |
Short-term investments (due in 1 year or less) | 30,810 | 34,795 | ' | ' |
Long-term investments (due in 1 to 3 years) | 67,657 | 23,898 | ' | ' |
Certificates of Deposits (CDs) | Level 2 | ' | ' | ' | ' |
Schedule of Cash, Cash Equivalents and Investments [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | ' | 0 | ' | ' |
Available-for-sale Securities, amortized cost basis | 1,002 | 1,002 | ' | ' |
Available-for-sale Securities, gross unrealized gains | 0 | 3 | ' | ' |
Available-for-sale Securities, gross unrealized losses | 0 | 0 | ' | ' |
Available-for-sale Securities, fair value | 1,002 | 1,005 | ' | ' |
Short-term investments (due in 1 year or less) | 1,002 | 0 | ' | ' |
Long-term investments (due in 1 to 3 years) | $0 | $1,005 | ' | ' |
DETAILS_OF_CERTAIN_BALANCE_SHE2
DETAILS OF CERTAIN BALANCE SHEET ACCOUNTS (Details) (USD $) | 12 Months Ended | 3 Months Ended | ||||||||||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | ||
Buildings and improvements | Buildings and improvements | Machinery and equipment | Machinery and equipment | Software | Software | Provision For Returns | Provision For Returns | Provision for promotions and rebates | Provision for promotions and rebates | Provision for doubtful accounts and sales allowances | Provision for doubtful accounts and sales allowances | Error Related to Estimated Warranty Obligation and Return Material Authorization | Error Related to Estimated Warranty Obligation and Return Material Authorization | |||||
Minimum | Maximum | Minimum | Maximum | Minimum | Maximum | Cost of revenues | Net income | |||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Accounts Receivable | $159,592,000 | $151,250,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Accounts Receivable Reserves | ' | ' | ' | ' | ' | ' | ' | ' | ' | -6,201,000 | -8,957,000 | -14,803,000 | -13,675,000 | -287,000 | -409,000 | ' | ' | |
Accounts receivable, net | 138,301,000 | 128,209,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Inventory, net [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Raw materials | 28,071,000 | 28,743,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Work in process | 985,000 | 82,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Finished goods | 28,076,000 | 38,610,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Inventory, Net | 57,132,000 | 67,435,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Property, Plant and Equipment, Net [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Land | 14,170,000 | 13,961,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Buildings and Improvements | 94,299,000 | 72,263,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Machinery and Equipment | 97,520,000 | 88,538,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Software | 30,368,000 | 30,538,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Construction in Progress | 24,927,000 | 16,101,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Property, Plant and Equipment, Gross | 261,284,000 | 221,401,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Accumulated Depreciation and Amortization | -126,882,000 | -122,290,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Property, plant, and equipment, net | 134,402,000 | 99,111,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Useful life | ' | ' | ' | '7 years | '30 years | '2 years | '10 years | '5 years | '6 years | ' | ' | ' | ' | ' | ' | ' | ' | |
Depreciation and amortization expense | 15,500,000 | 15,800,000 | 13,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Unamortized capitalized software costs | 5,100,000 | 6,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Amortization expense related to capitalized software costs | 2,300,000 | 2,900,000 | 3,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Accrued Liabilities [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Employee compensation and benefits | 32,280,000 | 29,796,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Warranty obligation | 7,965,000 | 13,410,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Incomes taxes payable | 3,092,000 | 3,376,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Accrued other | 23,514,000 | 19,837,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Accrued liabilities | 66,851,000 | 66,419,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Movement in Standard Product Warranty Accrual [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Warranty obligation at beginning of year | 13,410,000 | 13,346,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Correction of immaterial prior period error | -5,042,000 | [1] | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warranty provision relating to products shipped during the year | 5,158,000 | 16,287,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Deductions for warranty claims processed | -5,561,000 | -16,223,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Warranty obligation at end of year | 7,965,000 | 13,410,000 | 13,346,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Estimated warranty obligation correction, increase (decrease) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($2,400,000) | $2,100,000 | |
[1] | During the third quarter of fiscal year 2014, the Company identified immaterial out of periodB errors related to its estimated warranty obligation and return material authorization ("RMA") reserves, the correction of which decreased its cost of revenues by approximatelyB $2.4 millionB and increased net income by approximatelyB $2.1 million. The Company recorded these corrections in the quarter endedB DecemberB 31, 2013B because the errors were not material, either individually or in the aggregate, to any of the prior reporting periods. In addition, these adjustments are not material for the fiscal year endingB MarchB 31, 2014, either individually or in the aggregate. |
GOODWILL_Details
GOODWILL (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Millions, unless otherwise specified | ||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' |
Goodwill | $15.50 | $15.50 |
Accumulated impairment | $54.60 | $54.60 |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Details) (USD $) | 12 Months Ended | 1 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | |
Aliph, Inc and AliphCom, Inc | ||||
installment | ||||
Gain Contingencies [Line Items] | ' | ' | ' | ' |
Total rent expense for operating leases | $4,300,000 | $5,600,000 | $5,900,000 | ' |
Unconditional purchase obligations | 163,900,000 | ' | ' | ' |
Litigation settlement payment, amount | ' | ' | ' | 8,000,000 |
Number of litigation payment installments | ' | ' | ' | 4 |
Litigation settlement, amount of each installment | ' | ' | ' | 2,000,000 |
Operating Leases, Future Minimum Payments Due [Abstract] | ' | ' | ' | ' |
2015 | 3,193,000 | ' | ' | ' |
2016 | 1,738,000 | ' | ' | ' |
2017 | 745,000 | ' | ' | ' |
2018 | 599,000 | ' | ' | ' |
2019 | 470,000 | ' | ' | ' |
Thereafter | 840,000 | ' | ' | ' |
Total minimum future rental payments | $7,585,000 | ' | ' | ' |
CREDIT_AGREEMENT_Details
CREDIT AGREEMENT (Details) (USD $) | 12 Months Ended |
Mar. 31, 2014 | |
Line of Credit Facility [Line Items] | ' |
Line of Credit Facility, Initiation Date | 9-May-11 |
Line of Credit Facility, Latest Amendment Date | '2014-01-24 |
Line of Credit Facility, Expiration Date | 9-May-17 |
Line of Credit Facility, Maximum Borrowing Capacity | $100,000,000 |
Potential Increase to Borrowing Capacity | 100,000,000 |
Total Facility Size, Including Potential Increase to Borrowing Capacity | 200,000,000 |
One Month Term | '1 month |
Three Month Term | '3 months |
Six Month Term | '6 months |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.20% |
Minimum Required Liquid Funds | $200,000,000 |
Line Of Credit Facility Interest Rate Spread Below The Banks Announced Prime Rate | ' |
Line of Credit Facility [Line Items] | ' |
Loans Under The Credit Agreement, Basis Spread on Variable Rate | 1.50% |
Line Of Credit Facility Interest Rate Spread Above A Daily One Month LIBOR Rate | ' |
Line of Credit Facility [Line Items] | ' |
Loans Under The Credit Agreement, Basis Spread on Variable Rate | 1.10% |
Line Of Credit Facility Interest Rate Spread Above Adjusted LIBOR Rate For A Term Of One Three Or Six Months | ' |
Line of Credit Facility [Line Items] | ' |
Loans Under The Credit Agreement, Basis Spread on Variable Rate | 1.10% |
STOCKBASED_COMPENSATION_Narrat
STOCK-BASED COMPENSATION (Narrative) (Details) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
2003 Stock Plan | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Number of shares reserved under plan (shares) | 13,900,000 | ' | ' |
Percent of estimated fair market value at the date of grant (percentage) | 100.00% | ' | ' |
Options to purchase shares of common stock (shares) | 1,933,775 | ' | ' |
Unvested restricted stock (shares) | 1,115,786 | ' | ' |
Shares available for future grant (shares) | 3,324,264 | ' | ' |
2002 Employee Stock Purchase Plan | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Number of shares reserved under plan (shares) | 307,607 | ' | ' |
Percentage of fair market value at date of grant (percentage) | 85.00% | ' | ' |
Shares issued under the ESPP | 151,607 | 158,596 | 182,209 |
Offering period | '6 months | ' | ' |
Total cash received from employees as a result of stock issuances under the ESPP | $5,400,000 | ' | ' |
Restricted Stock | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Unvested restricted stock (shares) | 1,172,000 | 1,025,000 | ' |
Restricted stock granted (shares) | 582,000 | ' | ' |
Weighted average grant date fair value (in dollars per share) | $46.02 | 32.22 | 36.37 |
Period for recognition for unrecognized compensation cost | '2 years 0 days | ' | ' |
Total unrecognized compensation cost | 28,600,000 | ' | ' |
Total grant date fair value | 12,800,000 | 7,900,000 | 5,500,000 |
Restricted Stock | 2003 Stock Plan | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Ratio for grants of restricted stock, numerator (shares) | 2.5 | ' | ' |
Initial value of restricted stock received (maximum) | 2,000,000 | ' | ' |
Stock Options | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Options to purchase shares of common stock (shares) | 1,934,000 | 2,415,000 | ' |
Period for recognition for unrecognized compensation cost | '1 year 328 days | ' | ' |
Total intrinsic value | 16,300,000 | 15,600,000 | 27,600,000 |
Total cash received from employees as a result of exercises, net of taxes | 18,700,000 | ' | ' |
Total net tax benefit attributable to stock options exercised | 5,400,000 | ' | ' |
Total unrecognized compensation cost | 4,800,000 | ' | ' |
Restricted Stock Units (RSUs) | 2003 Stock Plan | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Initial value of restricted stock received (maximum) | $2,000,000 | ' | ' |
Minimum | Restricted Stock | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock option vesting period (years) | '3 years | ' | ' |
Maximum | 2003 Stock Plan | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Term of award (years) | '7 years | ' | ' |
Maximum | Restricted Stock | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock option vesting period (years) | '4 years | ' | ' |
Options Granted Subsequent to September 2007 | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock option vesting period (years) | '3 years | ' | ' |
Options granted from September 2004 to September 2007 | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Stock option vesting period (years) | '4 years | ' | ' |
STOCKBASED_COMPENSATION_Detail
STOCK-BASED COMPENSATION (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | $16,390 | $12,871 | $12,018 |
Cost of revenues | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 2,554 | 2,020 | 2,212 |
Research, development and engineering | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 6,404 | 4,842 | 3,917 |
Selling, general and administrative | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 14,222 | 11,488 | 11,352 |
Stock-based compensation expense included in operating expenses | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 20,626 | 16,330 | 15,269 |
Total stock-based compensation | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | 23,180 | 18,350 | 17,481 |
Income tax benefit | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Stock-based compensation expense | ($6,790) | ($5,479) | ($5,463) |
STOCKBASED_COMPENSATION_Stock_
STOCK-BASED COMPENSATION Stock Option Activity (Details) (Stock Options, USD $) | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 |
Stock Options | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' |
Options outstanding, March 31, 2013 (shares) | 2,415,000 |
Options granted (shares) | 297,000 |
Options exercised (shares) | -765,000 |
Options forfeited or expired (shares) | -13,000 |
Options outstanding, March 31, 2014 (shares) | 1,934,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ' |
Weighted average exercise price of options outstanding at March 31, 2013 (in dollars per share) | $27.96 |
Weighted average exercise price of options granted (in dollars per share) | $44.75 |
Weighted average exercise price of options exercised (in dollars per share) | $24.39 |
Weighted average exercise price of options forfeited or expired (in dollars per share) | $33.30 |
Weighted average exercise price of options outstanding at March 31, 2014 (in dollars per share) | $31.91 |
Weighted average remaining contractual life of options outstanding at March 31, 2014 (in years) | '4 years 0 days |
Aggregate intrinsic value of options outstanding at March 31, 2014 | $22,190 |
Vested and expected to vest at March 31, 2014 (in shares) | 1,900,000 |
Weighted average exercise price of options vested and expected to vest at March 31, 2014 (in dollars per share) | $31.75 |
Weighted average remaining contractual life of options vested and expected to vest at March 31, 2014 (in years) | '3 years 328 days |
Aggregate intrinsic value of options vested and expected to vest at March 31, 2014 | 22,075 |
Exercisable at March 31, 2014 (in shares) | 1,377,000 |
Weighted average exercise price of options exercisable at March 31, 2014 (in dollars per share) | $28.83 |
Weighted average remaining contractual life of options exercisable at March 31, 2014 (in years) | '3 years 110 days |
Aggregate intrinsic value of options exercisable at March 31, 2014 | $19,675 |
STOCKBASED_COMPENSATION_Restri
STOCK-BASED COMPENSATION Restricted Stock Activity (Details) (Restricted Stock, USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Restricted Stock | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ' | ' | ' |
Non-vested Restricted Stock at March 31, 2013 (shares) | 1,025,000 | ' | ' |
Restricted stock granted (shares) | 582,000 | ' | ' |
Restricted stock vested (shares) | -385,000 | ' | ' |
Restricted stock forfeited (shares) | -50,000 | ' | ' |
Non-vested Restricted Stock at March 31, 2014 (shares) | 1,172,000 | 1,025,000 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ' | ' | ' |
Weighted Average Grant Date Fair Value of Non-Vested Restricted Stock, March 31, 2013 (in dollars per share) | $33.34 | ' | ' |
Weighted average grant date fair value of restricted stock granted (in dollars per share) | $46.02 | $32.22 | $36.37 |
Weighted average grant date fair value of restricted stock vested (in dollars per share) | $33.17 | ' | ' |
Weighted average grant date fair value of restricted stock forfeited (in dollars per share) | $37.55 | ' | ' |
Weighted Average Grant Date Fair Value of Non-Vested Restricted Stock, March 31, 2014 (in dollars per share) | $39.52 | $33.34 | ' |
STOCKBASED_COMPENSATION_Valuat
STOCK-BASED COMPENSATION Valuation Assumptions (Details) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Stock Options | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected volatility | 32.20% | 41.80% | 45.30% |
Risk-free interest rate | 0.90% | 0.60% | 1.00% |
Expected dividends | 0.90% | 1.20% | 0.60% |
Expected life (in years) | '4 years 73 days | '4 years 110 days | '4 years |
Weighted-average grant date fair value | $11.15 | $10.31 | $12.06 |
ESPP | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Expected volatility | 26.50% | 32.40% | 37.30% |
Risk-free interest rate | 0.10% | 0.10% | 0.10% |
Expected dividends | 0.90% | 1.00% | 0.60% |
Expected life (in years) | '183 days | '183 days | '183 days |
Weighted-average grant date fair value | $9.62 | $9 | $8.69 |
COMMON_STOCK_REPURCHASES_Detai
COMMON STOCK REPURCHASES (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' |
Payments for Repurchase of Common Stock | $85,654 | $23,931 | $273,791 |
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased | 932,500 | ' | ' |
Treasury Stock, Value, Acquired, Cost Method | 85,654 | 23,931 | 273,791 |
Employees Taxes Withheld And Paid For Restricted Stock And Restricted Stock Units | 6,222 | 3,047 | 2,596 |
Treasury Stock, Shares, Retired | 0 | 5,398,376 | 5,000,000 |
Treasury Stock, Retired, Cost Method, Amount | ' | 0 | 0 |
Share Repurchases, Total | ' | ' | ' |
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' |
Treasury Stock, Shares, Acquired | 1,949,407 | 751,706 | 8,027,287 |
Payments for Repurchase of Common Stock | 85,700 | 23,900 | 273,800 |
Open Market Repurchases | ' | ' | ' |
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' |
Treasury Stock, Shares, Acquired | 1,949,407 | 751,706 | 3,699,517 |
Payments for Repurchase of Common Stock | 85,700 | 23,900 | 123,800 |
Treasury Stock Acquired, Average Cost Per Share | $43.94 | $31.84 | $33.46 |
Accelerated Share Repurchases, Total | ' | ' | ' |
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' |
Treasury Stock, Shares, Acquired | ' | ' | 4,327,770 |
Accelerated Share Repurchase | ' | ' | ' |
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' |
Treasury Stock Acquired, Average Cost Per Share | ' | ' | $34.66 |
Treasury Stock, Value, Acquired, Cost Method | ' | ' | 150,000 |
Treasury Stock | ' | ' | ' |
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' |
Treasury Stock, Value, Acquired, Cost Method | 85,654 | 23,931 | 273,791 |
Treasury Stock, Retired, Cost Method, Amount | ' | $176,344 | $177,106 |
ACCUMULATED_OTHER_COMPREHENSIV2
ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | ' | ||
Accumulated unrealized gain (loss) on cash flow hedges | ($1,411) | [1] | $1,349 | [1] |
Accumulated foreign currency translation adjustments | 3,887 | 4,131 | ||
Accumulated unrealized gain on investments | 162 | 87 | ||
Accumulated other comprehensive income | $2,638 | $5,567 | ||
[1] | Refer to Note 13, Foreign Currency Derivatives, which discloses the nature of the Company's derivative assets and liabilities as ofB MarchB 31, 2014B andB MarchB 31, 2013. |
EMPLOYEE_BENEFIT_PLANS_Details
EMPLOYEE BENEFIT PLANS (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
EMPLOYEE BENEFIT PLANS [Abstract] | ' | ' | ' |
Company match | 50.00% | ' | ' |
Portion of employee compensation matched under 401(k) | 6.00% | ' | ' |
Non-elective company contribution as percentage of employee salary | 3.00% | ' | ' |
Vesting of matching contributions | 100.00% | ' | ' |
Company contributions | $4.20 | $4 | $3.80 |
FOREIGN_CURRENCY_DERIVATIVES_D
FOREIGN CURRENCY DERIVATIVES (Details) | 12 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 |
Foreign currency put and call options | Foreign currency put and call options | Foreign currency put and call options | Foreign currency put and call options | Foreign currency swap contract | Foreign currency swap contract | Foreign currency swap contract | Foreign Exchange Forward, EURO | Foreign Exchange Forward, GBP | Foreign Exchange Forward, AUD | Not Designated as Hedging Instrument | Not Designated as Hedging Instrument | Not Designated as Hedging Instrument | Not Designated as Hedging Instrument | Not Designated as Hedging Instrument | Not Designated as Hedging Instrument | |
EUR (€) | GBP (£) | EUR (€) | GBP (£) | USD ($) | MXN | MXN | Foreign Exchange Forward, EURO | Foreign Exchange Forward, EURO | Foreign Exchange Forward, GBP | Foreign Exchange Forward, GBP | Foreign Exchange Forward, AUD | Foreign Exchange Forward, AUD | ||||
USD ($) | EUR (€) | USD ($) | GBP (£) | USD ($) | AUD | |||||||||||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term of Derivative Contract | '1 year | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
One Month Maturity | ' | ' | ' | ' | ' | ' | ' | '1 month | '1 month | '1 month | ' | ' | ' | ' | ' | ' |
Notional amount of cash flow hedge | € 55,700 | £ 23,900 | € 50,200 | £ 19,900 | $15,339 | 204,550 | 325,400 | ' | ' | ' | $26,951 | € 19,600 | $2,662 | £ 1,600 | $3,413 | 3,700 |
Derivative, Currency Sold | ' | ' | ' | ' | ' | ' | ' | 'Sell EUR | 'Sell GBP | 'Sell AUD | ' | ' | ' | ' | ' | ' |
Derivative, Currency Bought | ' | ' | ' | ' | 'Buy MXN | 'Buy MXN | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative, Remaining Maturity | ' | ' | ' | ' | '9 months | '9 months | ' | '1 month | '1 month | '1 month | ' | ' | ' | ' | ' | ' |
FOREIGN_CURRENCY_DERIVATIVES_D1
FOREIGN CURRENCY DERIVATIVES (Details 1) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Derivative Asset [Abstract] | ' | ' |
Derivatives subject to master netting agreements, gross amount | $473 | $1,005 |
Derivative asset not subject to master netting agreements | 654 | 660 |
Gross Amount of Derivative Assets | 1,127 | 1,665 |
Gross Amounts Not Offset, Derivative Liabilities | -473 | -215 |
Cash Collateral Received | 0 | 0 |
Net Amount of Derivative Assets, subject to master netting agreements | 0 | 790 |
Net Amount of Derivative Assets | 654 | 1,450 |
Derivative Liability [Abstract] | ' | ' |
Derivatives subject to master netting agreements, gross amount | -1,428 | -215 |
Derivative liability not subject to master netting agreements | -1,455 | -79 |
Gross Amount of Derivative Liabilities | -2,883 | -294 |
Gross Amounts Not Offset, Derivative Assets | 473 | 215 |
Cash Collateral Received | 0 | 0 |
Net Amount of Derivative Liabilities, subject to master netting agreements | -955 | 0 |
Net Amount of Derivative Liabilities | ($2,410) | ($79) |
FOREIGN_CURRENCY_DERIVATIVES_D2
FOREIGN CURRENCY DERIVATIVES (Details 2) (Not Designated as Hedging Instrument, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Not Designated as Hedging Instrument | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' |
Gain on foreign exchange contracts | $1,631 | $1,065 | $1,009 |
FOREIGN_CURRENCY_DERIVATIVES_D3
FOREIGN CURRENCY DERIVATIVES (Details 3) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Effect of Derivative Contracts on Accumulated Other Comprehensive Income and Statements of Operations [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Gain (loss) included in AOCI as of beginning of period | ' | ' | ' | $1,371 | ' | ' | ' | $1,937 | $1,371 | $1,937 | ($3,814) | |
Amount of gain (loss) recognized in OCI (effective portion) | ' | ' | ' | ' | ' | ' | ' | ' | -3,750 | 3,441 | 2,951 | |
Amount of gain (loss) reclassified from OCI into net revenues (effective portion) | 209,070 | 212,739 | 193,980 | 202,818 | 204,179 | 197,402 | [1] | 179,280 | 181,365 | 818,607 | 762,226 | 713,368 |
Amount of gain (loss) reclassified from OCI into cost of revenues (effective portion) | ' | ' | ' | ' | ' | ' | ' | ' | -391,979 | -359,045 | -329,017 | |
Total amount of gain (loss) reclassified from AOCI to income (loss) (effective portion) | ' | ' | ' | ' | ' | ' | ' | ' | -937 | 4,007 | -2,800 | |
Loss included in AOCI as of end of period | -1,442 | ' | ' | ' | 1,371 | ' | ' | ' | -1,442 | 1,371 | 1,937 | |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Effect of Derivative Contracts on Accumulated Other Comprehensive Income and Statements of Operations [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Amount of gain (loss) reclassified from OCI into net revenues (effective portion) | ' | ' | ' | ' | ' | ' | ' | ' | -965 | 3,367 | -2,415 | |
Amount of gain (loss) reclassified from OCI into cost of revenues (effective portion) | ' | ' | ' | ' | ' | ' | ' | ' | $28 | $640 | ($385) | |
[1] | We initiated a restructuring plan during the third quarter of fiscal year 2013. Under the plan, we eliminated certain positions in the US., Mexico, China, and Europe, and transitioned some of these positions to lower cost locations. The pre-tax charges incurred during fiscal year 2013 included $1.9 million for severance and related benefits and an immaterial amount of accelerated amortization on leasehold assets with no alternative future use. |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 12 Months Ended | ||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Current: | ' | ' | ' | ||
Federal | $28,859,000 | $25,530,000 | $23,844,000 | ||
State | 1,263,000 | 2,452,000 | 2,719,000 | ||
Foreign | 4,384,000 | 4,777,000 | 5,080,000 | ||
Total current provision for income taxes | 34,506,000 | 32,759,000 | 31,643,000 | ||
Deferred [Abstract] | ' | ' | ' | ||
Federal | -4,675,000 | -586,000 | 2,324,000 | ||
State | -629,000 | -474,000 | -569,000 | ||
Foreign | -480,000 | 324,000 | 168,000 | ||
Total deferred benefit for income taxes | -5,784,000 | -736,000 | 1,923,000 | ||
Income tax expense | 28,722,000 | 32,023,000 | 33,566,000 | ||
Components of income before income taxes | ' | ' | ' | ||
United States | 85,231,000 | 80,875,000 | 79,589,000 | ||
Foreign | 55,908,000 | 57,550,000 | 63,013,000 | ||
Income before income taxes | 141,139,000 | 138,425,000 | 142,602,000 | ||
Reconciliation between statutory federal income taxes and income tax expense | ' | ' | ' | ||
Tax expense at statutory rate | 49,399,000 | 48,449,000 | 49,911,000 | ||
Foreign operations taxed at different rates | -16,175,000 | -15,244,000 | -16,973,000 | ||
State taxes, net of federal benefit | 634,000 | 1,978,000 | 2,149,000 | ||
Research and development credit | -1,805,000 | -3,380,000 | -1,392,000 | ||
Other, net | -3,331,000 | 220,000 | -129,000 | ||
Income tax expense | 28,722,000 | 32,023,000 | 33,566,000 | ||
Effective tax rate | 20.40% | 23.10% | 23.50% | ||
Permanently reinvested foreign earnings | 594,200,000 | ' | ' | ||
Components of Deferred Tax Assets [Abstract] | ' | ' | ' | ||
Accruals and other reserves | 8,459,000 | 7,983,000 | ' | ||
Net operating loss carry forward | 4,580,000 | 5,956,000 | ' | ||
Stock compensation | 8,957,000 | 8,199,000 | ' | ||
Other deferred tax assets | 3,937,000 | 3,643,000 | ' | ||
Valuation allowance | -3,351,000 | -5,984,000 | ' | ||
Total deferred tax assets | 22,582,000 | 19,797,000 | ' | ||
Components of Deferred Tax Liabilities [Abstract] | ' | ' | ' | ||
Deferred gains on sales of properties | -1,756,000 | -1,756,000 | ' | ||
Unremitted earnings of certain subsidiaries | -3,064,000 | -3,064,000 | ' | ||
Fixed asset depreciation | -3,571,000 | -4,402,000 | ' | ||
Other deferred tax liabilities | 0 | -2,197,000 | ' | ||
Total deferred tax liabilities | -8,391,000 | -11,419,000 | ' | ||
Net deferred tax assets | 14,191,000 | [1] | 8,378,000 | [1] | ' |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ' | ' | ' | ||
Balance at beginning of period | 11,072,000 | 11,141,000 | 10,458,000 | ||
Increase (decrease) of unrecognized tax benefits related to prior years | 641,000 | -117,000 | 116,000 | ||
Increase of unrecognized tax benefits related to the current year | 2,427,000 | 2,430,000 | 2,074,000 | ||
Reductions to unrecognized tax benefits related to lapse of applicable statute of limitations | -1,569,000 | -2,382,000 | -1,507,000 | ||
Balance at end of period | 12,571,000 | 11,072,000 | 11,141,000 | ||
Unrecognized Tax Benefits, Interest on Income Taxes Accrued | 1,700,000 | 2,000,000 | ' | ||
Accrued penalties related to unrecognized tax benefits | $0 | $0 | ' | ||
[1] | The long-term portion of the Company's deferred tax assets for the fiscal year ending MarchB 31, 2014 is included as a component of other assets in the consolidated balance sheets. |
COMPUTATION_OF_EARNINGS_PER_CO2
COMPUTATION OF EARNINGS PER COMMON SHARE (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Earnings Per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net income | $27,943 | $34,383 | $23,138 | $26,953 | $28,709 | $28,206 | [1] | $25,924 | $23,563 | $112,417 | $106,402 | $109,036 |
Earnings Per Share, Basic and Diluted [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Weighted average common shares-basic | ' | ' | ' | ' | ' | ' | ' | ' | 42,452 | 41,748 | 44,023 | |
Dilutive effect of employee equity incentive plans | ' | ' | ' | ' | ' | ' | ' | ' | 912 | 990 | 1,242 | |
Weighted average common shares-diluted | ' | ' | ' | ' | ' | ' | ' | ' | 43,364 | 42,738 | 45,265 | |
Basic net income per common share (in dollars per share) | $0.67 | $0.81 | $0.54 | $0.63 | $0.68 | $0.68 | [1] | $0.62 | $0.57 | $2.65 | $2.55 | $2.48 |
Diluted net income per common share (in dollars per share) | $0.65 | $0.80 | $0.53 | $0.62 | $0.67 | $0.66 | [1] | $0.61 | $0.55 | $2.59 | $2.49 | $2.41 |
Potentially dilutive securities excluded from diluted earnings per share because their effect is anti-dilutive | ' | ' | ' | ' | ' | ' | ' | ' | 202 | 1,038 | 1,199 | |
[1] | We initiated a restructuring plan during the third quarter of fiscal year 2013. Under the plan, we eliminated certain positions in the US., Mexico, China, and Europe, and transitioned some of these positions to lower cost locations. The pre-tax charges incurred during fiscal year 2013 included $1.9 million for severance and related benefits and an immaterial amount of accelerated amortization on leasehold assets with no alternative future use. |
GEOGRAPHIC_INFORMATION_Details
GEOGRAPHIC INFORMATION (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Customer | Customer | Customer | ||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | $209,070 | $212,739 | $193,980 | $202,818 | $204,179 | $197,402 | [1] | $179,280 | $181,365 | $818,607 | $762,226 | $713,368 |
Number of customers representing 10% or more or Net Revenue | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | |
Long-Lived Assets | 134,402 | ' | ' | ' | 99,111 | ' | ' | ' | 134,402 | 99,111 | ' | |
U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | ' | ' | ' | ' | ' | ' | ' | ' | 475,278 | 436,447 | 406,233 | |
Long-Lived Assets | 74,092 | ' | ' | ' | 62,263 | ' | ' | ' | 74,092 | 62,263 | ' | |
Europe and Africa | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | ' | ' | ' | ' | ' | ' | ' | ' | 195,385 | 181,439 | 177,157 | |
Asia Pacific | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | ' | ' | ' | ' | ' | ' | ' | ' | 94,455 | 92,193 | 78,853 | |
Americas, excluding U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | ' | ' | ' | ' | ' | ' | ' | ' | 53,489 | 52,147 | 51,125 | |
Mexico | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Long-Lived Assets | 38,453 | ' | ' | ' | 24,033 | ' | ' | ' | 38,453 | 24,033 | ' | |
Other countries | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Long-Lived Assets | 21,857 | ' | ' | ' | 12,815 | ' | ' | ' | 21,857 | 12,815 | ' | |
International | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | ' | ' | ' | ' | ' | ' | ' | ' | 343,329 | 325,779 | 307,135 | |
Office and Contact Center | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | ' | ' | ' | ' | ' | ' | ' | ' | 588,265 | 549,301 | 531,709 | |
Mobile | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | ' | ' | ' | ' | ' | ' | ' | ' | 186,206 | 163,460 | 131,825 | |
Gaming and Computer Audio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | ' | ' | ' | ' | ' | ' | ' | ' | 29,674 | 30,747 | 31,855 | |
Clarity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Net revenues | ' | ' | ' | ' | ' | ' | ' | ' | $14,462 | $18,718 | $17,979 | |
[1] | We initiated a restructuring plan during the third quarter of fiscal year 2013. Under the plan, we eliminated certain positions in the US., Mexico, China, and Europe, and transitioned some of these positions to lower cost locations. The pre-tax charges incurred during fiscal year 2013 included $1.9 million for severance and related benefits and an immaterial amount of accelerated amortization on leasehold assets with no alternative future use. |
SUBSEQUENT_EVENTS_Details
SUBSEQUENT EVENTS (Details) (Subsequent event, USD $) | 0 Months Ended |
Apr. 29, 2014 | |
Subsequent event | ' |
Subsequent Event [Line Items] | ' |
Dividend declaration date | 29-Apr-14 |
Cash dividend payable per share | $0.15 |
Date on which dividend will be paid | 10-Jun-14 |
Stockholders of record date for dividend | 20-May-14 |
SUPPLEMENTARY_QUARTERLY_FINANC2
SUPPLEMENTARY QUARTERLY FINANCIAL DATA (Details) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | ||
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Duration of fiscal year | ' | ' | ' | ' | ' | ' | ' | ' | '364 days | '364 days | '364 days | |
Net revenues | $209,070,000 | $212,739,000 | $193,980,000 | $202,818,000 | $204,179,000 | $197,402,000 | [1] | $179,280,000 | $181,365,000 | $818,607,000 | $762,226,000 | $713,368,000 |
Gross Profit | 111,055,000 | 110,327,000 | 99,614,000 | 105,632,000 | 106,093,000 | 102,164,000 | [1] | 97,228,000 | 97,696,000 | 426,628,000 | 403,181,000 | 384,351,000 |
Net income | 27,943,000 | 34,383,000 | 23,138,000 | 26,953,000 | 28,709,000 | 28,206,000 | [1] | 25,924,000 | 23,563,000 | 112,417,000 | 106,402,000 | 109,036,000 |
Basic net income per common share (in dollars per share) | $0.67 | $0.81 | $0.54 | $0.63 | $0.68 | $0.68 | [1] | $0.62 | $0.57 | $2.65 | $2.55 | $2.48 |
Diluted net income per common share (in dollars per share) | $0.65 | $0.80 | $0.53 | $0.62 | $0.67 | $0.66 | [1] | $0.61 | $0.55 | $2.59 | $2.49 | $2.41 |
Cash dividends declared per common share (in dollars per share) | $0.10 | $0.10 | $0.10 | $0.10 | $0.10 | $0.10 | [1] | $0.10 | $0.10 | $0.40 | $0.40 | $0.20 |
Restructuring and other related charges incurred during fiscal year 2013 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,900,000 | ' | |
[1] | We initiated a restructuring plan during the third quarter of fiscal year 2013. Under the plan, we eliminated certain positions in the US., Mexico, China, and Europe, and transitioned some of these positions to lower cost locations. The pre-tax charges incurred during fiscal year 2013 included $1.9 million for severance and related benefits and an immaterial amount of accelerated amortization on leasehold assets with no alternative future use. |
SCHEDULE_II_VALUATION_AND_QUAL1
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Provision for doubtful accounts and sales allowances | ' | ' | ' |
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' |
Balance at Beginning of Year | $409 | $1,093 | $951 |
Charged to Expenses or Other Accounts | 179 | 468 | 758 |
Deductions | -301 | -1,152 | -616 |
Balance at End of Year | 287 | 409 | 1,093 |
Provision for returns | ' | ' | ' |
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' |
Balance at Beginning of Year | 8,957 | 7,613 | 10,437 |
Charged to Expenses or Other Accounts | 18,469 | 21,111 | 16,660 |
Deductions | -21,225 | -19,767 | -19,484 |
Balance at End of Year | 6,201 | 8,957 | 7,613 |
Provision for promotions and rebates | ' | ' | ' |
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' |
Balance at Beginning of Year | 13,675 | 12,756 | 10,460 |
Charged to Expenses or Other Accounts | 35,207 | 33,343 | 34,170 |
Deductions | -34,079 | -32,424 | -31,874 |
Balance at End of Year | 14,803 | 13,675 | 12,756 |
Inventory reserves | ' | ' | ' |
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' |
Balance at Beginning of Year | 4,775 | 5,712 | 7,423 |
Charged to Expenses or Other Accounts | 4,138 | 1,089 | 2,154 |
Deductions | -1,697 | -2,026 | -3,865 |
Balance at End of Year | 7,216 | 4,775 | 5,712 |
Valuation allowance for deferred tax assets | ' | ' | ' |
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' |
Balance at Beginning of Year | 5,984 | 6,088 | 5,274 |
Charged to Expenses or Other Accounts | 0 | 89 | 1,259 |
Deductions | -2,633 | -193 | -445 |
Balance at End of Year | $3,351 | $5,984 | $6,088 |