Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Mar. 06, 2017 | Jun. 30, 2016 | |
Document Information [Line Items] | |||
Entity Registrant Name | DSP GROUP INC /DE/ | ||
Entity Central Index Key | 915,778 | ||
Trading Symbol | dspg | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Common Stock, Shares Outstanding (in shares) | 22,067,410 | ||
Entity Public Float | $ 150,687,480 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 17,752,000 | $ 13,704,000 |
Restricted deposits | 70,000 | 168,000 |
Marketable securities and short-term deposits (Note 3) | 29,031,000 | 18,070,000 |
Trade receivables, net | 19,069,000 | 19,211,000 |
Other accounts receivable and prepaid expenses (Note 4) | 2,331,000 | 3,319,000 |
Inventories (Note 5) | 9,748,000 | 11,453,000 |
Total current assets | 78,001,000 | 65,925,000 |
PROPERTY AND EQUIPMENT, NET (Note 6) | 4,130,000 | 3,764,000 |
NON-CURRENT ASSETS: | ||
Long-term marketable securities (Note 3) | 78,092,000 | 89,714,000 |
Long-term prepaid expenses and lease deposits | 1,329,000 | 743,000 |
Deferred income taxes (Note 15) | 918,000 | 1,311,000 |
Severance pay fund | 12,751,000 | 11,578,000 |
Investment in other company (Note 9) | 1,800,000 | |
Intangible assets, net (Note 7) | 4,480,000 | 3,851,000 |
Goodwill | 6,243,000 | 5,276,000 |
Total non-current assets | 103,813,000 | 114,273,000 |
Total assets | 185,944,000 | 183,962,000 |
CURRENT LIABILITIES: | ||
Trade payables | 12,540,000 | 13,103,000 |
Accrued compensation and benefits | 8,666,000 | 7,788,000 |
Income tax accruals and payables | 1,137,000 | 1,864,000 |
Accrued expenses and other accounts payable (Note 10) | 3,556,000 | 5,026,000 |
Total current liabilities | 25,899,000 | 27,781,000 |
NON-CURRENT LIABILITIES: | ||
Deferred income taxes, net (Note 15) | 787,000 | 476,000 |
Accrued severance pay | 12,908,000 | 11,703,000 |
Accrued pensions (Note 11) | 803,000 | 684,000 |
Total non-current liabilities | 14,498,000 | 12,863,000 |
COMMITMENTS AND CONTINGENCIES (Note 14) | ||
Common stock, $0.001 par value - Authorized: 50,000,000 shares at December 31, 2016 and 2015; Issued and outstanding: 21,931,157 and 21,572,616 shares at December 31, 2016 and 2015, respectively | 22,000 | 22,000 |
Additional paid-in capital | 366,121,000 | 361,023,000 |
Treasury stock at cost | (122,632,000) | (125,697,000) |
Accumulated other comprehensive loss | (1,852,000) | (1,267,000) |
Accumulated deficit | (96,112,000) | (90,763,000) |
Total stockholders’ equity | 145,547,000 | 143,318,000 |
Total liabilities and stockholders’ equity | $ 185,944,000 | $ 183,962,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares | Dec. 31, 2016 | Dec. 31, 2015 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, issued (in shares) | 21,931,157 | 21,572,616 |
Common stock, outstanding (in shares) | 21,931,157 | 21,572,616 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Revenues | $ 137,869,000 | $ 144,271,000 | $ 143,036,000 | |
Costs of revenues (1) | [1] | 77,023,000 | 84,411,000 | 85,992,000 |
Gross profit | 60,846,000 | 59,860,000 | 57,044,000 | |
Operating expenses: | ||||
Research and development | [2] | 34,885,000 | 35,483,000 | 33,468,000 |
Sales and marketing | [3] | 13,867,000 | 12,103,000 | 11,905,000 |
General and administrative | [4] | 9,006,000 | 9,876,000 | 10,541,000 |
Amortization of intangible assets | 1,457,000 | 1,284,000 | 1,573,000 | |
Other income (Note 10) | (2,549,000) | |||
Write-off of expired option related to investment in other company | 400,000 | |||
Total operating expenses | 56,666,000 | 59,146,000 | 57,487,000 | |
Operating income (loss) | 4,180,000 | 714,000 | (443,000) | |
Financial income, net (Note 12) | 1,227,000 | 1,175,000 | 1,204,000 | |
Income before income tax benefit | 5,407,000 | 1,889,000 | 761,000 | |
Income tax benefit (expense) | (594,000) | (327,000) | 2,841,000 | |
Net income | $ 4,813,000 | $ 1,562,000 | $ 3,602,000 | |
Net earnings per share: | ||||
Basic (in dollars per share) | $ 0.22 | $ 0.07 | $ 0.16 | |
Diluted (in dollars per share) | $ 0.21 | $ 0.07 | $ 0.16 | |
Weighted average number of shares used in per share computations of: | ||||
Basic net earnings per share (in shares) | 21,800 | 21,924 | 21,968 | |
Diluted net earnings per share (in shares) | 22,887 | 23,340 | 22,954 | |
[1] | Includes equity-based compensation expense in the amount of $328, $300 and $300 for the years ended December 31, 2016, 2015 and 2014, respectively. | |||
[2] | Includes equity-based compensation expense in the amount of $2,205, $2,201and $2,381 for the years ended December 31, 2016, 2015 and 2014, respectively. | |||
[3] | Includes equity-based compensation expense in the amount of $806, $641 and $621 for the years ended December 31, 2016, 2015 and 2014, respectively. | |||
[4] | Includes equity-based compensation expense in the amount of $1,749, $1,950 and $2,057 for the years ended December 31, 2016, 2015 and 2014, respectively. |
Consolidated Statements of Ope5
Consolidated Statements of Operations (Parentheticals) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Equity-based compensation expense included in cost of revenues | $ 328 | $ 300 | $ 300 |
Equity-based compensation expenses included in research and development, net | 2,205 | 2,201 | 2,381 |
Equity-based compensation expense included in sales and marketing | 806 | 641 | 621 |
Equity-based compensation expense included in general and administrative | $ 1,749 | $ 1,950 | $ 2,057 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net income | $ 4,813 | $ 1,562 | $ 3,602 |
Changes in unrealized gains/losses | (617) | (230) | 157 |
Reclassification adjustments for losses losses (gains) included in net income (loss) | 17 | 24 | (61) |
Net change | (600) | (206) | 96 |
Changes in unrealized gains/losses | 45 | (38) | (1,180) |
Reclassification adjustments for (gains) losses (gains) included in net income (loss) | (1) | 621 | 562 |
Net change | 44 | 583 | (618) |
Gains (losses) arising during the period | (117) | 62 | (209) |
Amortization of actuarial loss and prior service benefit | 14 | 20 | 11 |
Net change | (103) | 83 | (198) |
Foreign currency translation adjustments, net | 74 | (161) | (25) |
Other comprehensive income (loss) | (585) | 299 | (745) |
Comprehensive income | $ 4,228 | $ 1,861 | $ 2,857 |
Statements of Changes in Stockh
Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Total | |
Balance (in shares) at Dec. 31, 2013 | 22,350,000 | ||||||
Balance at Dec. 31, 2013 | $ 22 | $ 350,494 | $ (118,749) | $ (821) | $ (83,535) | $ 147,411 | |
Issuance of treasury stock upon purchase of common stock under employee stock purchase plan (in shares) | 310,000 | ||||||
Issuance of treasury stock upon purchase of common stock under employee stock purchase plan | [1] | 3,031 | (1,309) | 1,722 | |||
Issuance of treasury stock upon exercise of stock options, stock appreciation rights and restricted stock units by employees and directors (in shares) | 598,000 | ||||||
Issuance of treasury stock upon exercise of stock options, stock appreciation rights and restricted stock units by employees and directors | $ 1 | 53 | 5,814 | (4,110) | $ 1,758 | ||
Purchase of treasury stock (in shares) | (1,414,000) | (1,414,000) | |||||
Purchase of treasury stock | $ (1) | (12,483) | $ (12,484) | ||||
Equity-based compensation expenses | 5,359 | 5,359 | |||||
Net income | 3,602 | 3,602 | |||||
Change in accumulated other comprehensive income | (745) | (745) | |||||
Balance (in shares) at Dec. 31, 2014 | 21,844,000 | ||||||
Balance at Dec. 31, 2014 | $ 22 | 355,906 | (122,387) | (1,566) | (85,352) | 146,623 | |
Issuance of treasury stock upon purchase of common stock under employee stock purchase plan (in shares) | 233,000 | ||||||
Issuance of treasury stock upon purchase of common stock under employee stock purchase plan | [1] | 2,269 | (500) | 1,769 | |||
Issuance of treasury stock upon exercise of stock options, stock appreciation rights and restricted stock units by employees and directors (in shares) | 791,000 | ||||||
Issuance of treasury stock upon exercise of stock options, stock appreciation rights and restricted stock units by employees and directors | $ 1 | 25 | 7,689 | (6,473) | $ 1,242 | ||
Purchase of treasury stock (in shares) | (1,295,000) | (1,295,000) | |||||
Purchase of treasury stock | $ (1) | (13,268) | $ (13,267) | ||||
Equity-based compensation expenses | 5,092 | 5,092 | |||||
Net income | 1,562 | 1,562 | |||||
Change in accumulated other comprehensive income | 299 | 299 | |||||
Balance (in shares) at Dec. 31, 2015 | 21,573,000 | ||||||
Balance at Dec. 31, 2015 | $ 22 | 361,023 | (125,697) | (1,267) | (90,763) | 143,318 | |
Issuance of treasury stock upon purchase of common stock under employee stock purchase plan (in shares) | 233,000 | ||||||
Issuance of treasury stock upon purchase of common stock under employee stock purchase plan | [1] | 2,270 | (492) | 1,778 | |||
Issuance of treasury stock upon exercise of stock options, stock appreciation rights and restricted stock units by employees and directors (in shares) | 1,176,000 | ||||||
Issuance of treasury stock upon exercise of stock options, stock appreciation rights and restricted stock units by employees and directors | $ 1 | 10 | 11,461 | (9,670) | $ 1,802 | ||
Purchase of treasury stock (in shares) | (1,051,000) | (1,051,000) | |||||
Purchase of treasury stock | $ (1) | (10,666) | $ (10,666) | ||||
Equity-based compensation expenses | 5,088 | 5,088 | |||||
Net income | 4,813 | 4,813 | |||||
Change in accumulated other comprehensive income | (585) | (585) | |||||
Balance (in shares) at Dec. 31, 2016 | 21,931,000 | ||||||
Balance at Dec. 31, 2016 | $ 22 | $ 366,121 | $ (122,632) | $ (1,852) | $ (96,112) | $ 145,547 | |
[1] | Represents an amount lower than $1. |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Cash flows from operating activities: | ||||
Net income | $ 4,813,000 | $ 1,562,000 | $ 3,602,000 | |
Adjustments required to reconcile net income to net cash provided by operating activities: | ||||
Depreciation | 1,704,000 | 1,356,000 | 1,290,000 | |
Equity-based compensation expenses related to employees’ stock options, SARs and RSUs | 5,088,000 | 5,092,000 | 5,359,000 | |
Capital loss from sale and disposal of property and equipment | 10,000 | 4,000 | ||
Realized losses (gains) from sale of marketable securities | 17,000 | 24,000 | (61,000) | |
Amortization of intangible assets | 1,457,000 | 1,284,000 | 1,573,000 | |
Write-off of expired option related to investment in other company | 400,000 | |||
Accrued interest and amortization of premium on marketable securities and short-term deposits | 610,000 | 847,000 | 1,214,000 | |
Change in operating assets and liabilities: | ||||
Deferred income tax assets and liabilities, net | 320,000 | (756,000) | (1,170,000) | |
Trade receivables, net | 168,000 | 945,000 | 704,000 | |
Other accounts receivable and prepaid expenses | 953,000 | (987,000) | 719,000 | |
Inventories | 1,702,000 | 4,131,000 | (3,333,000) | |
Long-term prepaid expenses and lease deposits | (166,000) | (31,000) | (1,052,000) | |
Trade payables | (575,000) | (2,180,000) | 1,142,000 | |
Accrued compensation and benefits | 2,566,000 | 184,000 | 1,323,000 | |
Income tax accruals and payables | (724,000) | 800,000 | (730,000) | |
Accrued expenses and other accounts payable | (1,379,000) | (499,000) | (289,000) | |
Accrued severance pay, net | (91,000) | 55,000 | 58,000 | |
Accrued pensions | 42,000 | (7,000) | 30,000 | |
Net cash provided by operating activities | 16,515,000 | 12,224,000 | 10,379,000 | |
Cash flows from investing activities: | ||||
Purchase of marketable securities | (47,934,000) | (35,475,000) | (70,517,000) | |
Purchase of short-term deposits | (7,601,000) | (5,563,000) | (2,561,000) | |
Proceeds from maturity of marketable securities | 35,090,000 | 20,127,000 | 23,250,000 | |
Proceeds from sales of marketable securities | 14,277,000 | 13,238,000 | 46,491,000 | |
Proceeds from redemption of short-term deposits | 5,601,000 | 2,589,000 | 2,561,000 | |
Purchases of property and equipment | (2,103,000) | (2,297,000) | (1,315,000) | |
Acquisition of initially consolidated subsidiary (1) | [1] | (494,000) | ||
Proceeds from sale of fixed assets | 9,000 | |||
Decrease (increase) in restricted deposits | 98,000 | 455,000 | (556,000) | |
Net cash used in investing activities | (3,057,000) | (6,926,000) | (2,647,000) | |
Cash flows from financing activities: | ||||
Issuance of common stock and treasury stock upon exercise of stock options | 1,457,000 | 1,242,000 | 1,758,000 | |
Repayment of short- term loan | (168,000) | |||
Purchase of treasury stock | (10,727,000) | (13,206,000) | (12,484,000) | |
Net cash used in financing activities | (9,438,000) | (11,964,000) | (10,726,000) | |
Increase (decrease) in cash and cash equivalents | 4,020,000 | (6,666,000) | (2,994,000) | |
Cash and cash equivalents at the beginning of the year | 13,704,000 | 20,544,000 | 23,578,000 | |
Cash (erosion) due to exchange rate differences | 28,000 | (174,000) | (40,000) | |
Cash and cash equivalents at the end of the year | 17,752,000 | 13,704,000 | 20,544,000 | |
Taxes on income | $ 1,018,000 | $ 134,000 | $ 131,000 | |
[1] | During the third quarter of 2016, the Company acquired the remaining 86% of the equity of a private company in Asia that it previously invested in, bringing its holding in such company to 100%. The net fair value of the assets acquired and the liabilities assumed, on the date of acquisition, was as follows: |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Cash Flow, Supplemental Disclosures [Text Block] | (1) During the third 2016, 86% 100%. Working capital, excluding cash and cash equivalents $ (386 ) Property and equipment 4 Distribution agreement 2,086 Deferred tax liability (377 ) Goodwill 967 2,294 The acquisition date fair value of the Company's previously held equity interest in the private company in Asia (1,800 ) $ 494 The accompanying notes are an integral part of the consolidated financial statements. |
Note 1 - General
Note 1 - General | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | NOTE 1: GENERAL DSP Group, Inc., a Delaware corporation, and its subsidiaries (collectively, the “Company”), are a fabless semiconductor company offering advanced chipset solutions for a variety of applications. The Company is a worldwide leader in the short-range wireless communication market, enabling home networking convergence for voice, audio, video and data. The Company sells its products primarily through distributors and directly to OEMs and original design manufacturers (ODMs) that incorporate the Company’s products into consumer and enterprise products. The Company’s future performance will depend, in part, on the continued success of its distributors in marketing and selling its products. The loss of the Company’s distributors and the Company’s inability to obtain satisfactory replacements in a timely manner may The following table represents the Company’s sales, as a percentage of the Company’s total revenues, for the years ended December 31, 2016, 2015 2014: Year ended December 31, Major Customers/ Distributors 2016 2015 2014 VTech Holdings Ltd. 29% 31% 35% Shenzhen Guo Wei Electronics Ltd. 9% 12% 8% Tomen Electronics Corporation ¹ ² 12% 16% 20% Ascend Technology Inc. ¹ ³ 16% 15% 10% Samsung Electronics Ltd. 12% - - ¹ Distributor ² Tomen Electronics sells the Company’s products to a limited number of customers. One customer, Panasonic Communications Co., Ltd. (“Panasonic”)has continually accounted for a majority of the sales of Tomen Electronics. Sales to Panasonic through Tomen Electronics generated approximately 10%, 13% 15% 2016, 2015 2014, ³ Ascend Technology sells the Company’s products to a limited number of customers; however none of those customers accounted for more than 10% 2016, 2015 2014. The Japanese and Hong Kong markets and the OEMs that operate in those markets are among the largest suppliers in the world with significant market share in the U.S. market for residential wireless products. All of the Company’s integrated circuit products are manufactured and tested by independent foundries and test houses. While these foundries and test houses have been able to adequately meet the demands of the Company’s business, the Company is and will continue to be dependent upon these foundries and test houses to achieve acceptable manufacturing yields, quality levels and costs, and to allocate to the Company a sufficient portion of foundry and test capacity to meet the Company’s needs in a timely manner. Revenues could be materially and adversely affected should any of these foundries and test houses fail to meet the Company’s request for product manufacturing due to a shortage of production capacity, process difficulties, low yield rates or financial instability. Additionally, certain of the raw materials, components, and subassemblies included in the products manufactured by the Company’s original equipment manufacturer (OEM) customers, which incorporate the Company’s products, are obtained from a limited group of suppliers. Disruptions, shortages, or termination of certain of these sources of supply could occur and could negatively affect the Company’s financial condition and results of operations. |
Note 2 - Significant Accounting
Note 2 - Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | NOTE 2: SIGNIFICANT ACCOUNTING POLICIES The consolidated financial statements are prepared according to United States generally accepted accounting principles (“U.S. GAAP”). a. Use of estimates: The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions. The Company’s management believes that the estimates, judgments and assumptions used are reasonable based upon information available at the time that these estimates, judgments and assumptions are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. b. Financial statements in U.S. dollars: Most of the Company’s revenues are generated in U.S. dollars (“dollar”). In addition, a substantial portion of the Company’s costs are incurred in dollars. The Company’s management believes that the dollar is the currency of the primary economic environment in which the Company operates. Thus, the functional and reporting currency of the Company is the dollar. Monetary accounts maintained in currencies other than the dollar are remeasured into dollars in accordance with ASC No. 830 30, The financial statements of the Company’s subsidiary – DSP Group Technologies GmbH whose functional currency is in Euro, has been translated into dollars. All amounts on the balance sheets have been translated into the dollar using the exchange rates in effect on the relevant balance sheet dates. All amounts in the consolidated statements of operations have been translated into the dollar using the average exchange rate for the relevant periods. The resulting translation adjustments are reported as a component of accumulated other comprehensive income (loss) in changes in stockholders’ equity. Accumulated other comprehensive loss related to foreign currency translation adjustments, net amounted to $305 $379 December 31, 2016 2015, c. Principles of consolidation: The consolidated financial statements include the accounts of the Company. Intercompany transactions and balances have been eliminated in consolidation. d. Cash equivalents: Cash equivalents are short-term highly liquid investments, which are readily convertible to cash with original maturity of three e. Restricted deposits: Restricted deposits include deposits which are used as security for derivative instruments and for one f. Short-term deposits: Bank deposits with original maturities of more than three one g. Marketable securities: The Company accounts for investments in debt securities in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) No. 320 10, The Company classified all of its investments in marketable securities as available for sale. Available-for-sale securities are carried at fair value, with the unrealized gains and losses, reported in other comprehensive income (loss) using the specific identification method. Unrealized losses determined to be other-than-temporary are recorded as a financial expense. The amortized cost of marketable securities is adjusted for amortization of premiums and accretion of discounts to maturity. Such amortization is included in financial income, net. Interest and dividends on securities are included in financial income, net. The marketable securities are periodically reviewed for impairment. If management concludes that any of these investments are impaired, management determines whether such impairment is other-than-temporary. Factors considered in making such a determination include the duration and severity of the impairment, the reason for the decline in value and the potential recovery period, and the Company’s intent to sell, or whether it is more likely than not that the Company will be required to sell the investment before recovery of cost basis. For debt securities, only the decline attributable to deteriorating credit of an-other-than-temporary impairment is recorded in the consolidated statement of operations, unless the Company intends, or more likely than not it will be forced, to sell the security. During the years ended December 31, 2016, 2015 2014, 3). h. Fair value of financial instruments: Cash and cash equivalents, restricted deposits, short-term deposits, trade receivables, trade payables and accrued liabilities approximate fair value due to short term maturities of these instruments. Marketable securities and derivative instruments are carried at fair value. See Note 3 Fair value is an exit price, representing the amount that would be received for selling an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. A three Level 1 Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 Include other inputs that are directly or indirectly observable in the marketplace. Level 3 Unobservable inputs which are supported by little or no market activity. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. i. Inventories: Inventories are stated at the lower of cost or market value. Inventory reserves are provided to cover risks arising from slow-moving items or technological obsolescence. The Company and its subsidiaries periodically evaluate the quantities on hand relative to historical, current and projected sales volume. Based on this evaluation, an impairment charge is recorded when required to write-down inventory to its market value. Cost is determined as follows: Work in progress and finished products- on the basis of raw materials and manufacturing costs on an average basis. The Company regularly evaluates the ability to realize the value of inventory based on a combination of factors, including the following: historical usage rates and forecasted sales according to outstanding backlogs. Purchasing requirements and alternative usage are explored within these processes to mitigate inventory exposure. When recorded, the reserves are intended to reduce the carrying value of inventory to its net realizable value. Inventory of $9,748, $11,453 $15,635 December 31, 2016, 2015 2014, $571, $670 $505 may j. Property and equipment, net: Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets, at the following annual rates: % Computers and equipment 20 - 33 Office furniture and equipment 6 - 15 Leasehold improvements ”see below” Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Company and intended to be exercised) and the expected life of the improvement. Property and equipment of the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may During the years ended December 31, 2016, 2015 2014, no The Company accounts for costs of computer software developed or obtained for internal use in accordance with FASB ASC No. 350 40, 350 40 2016, 2015 2014, $0, $1,086 $128, three k. Goodwill and other intangible assets: The goodwill and certain other purchased intangible assets have been recorded as a result of the BoneTone acquisition and the acquisition of a private company in Asia. Goodwill represents the excess of the purchase price in a business combination over the fair value of net tangible and intangible assets acquired. Goodwill is not amortized, but rather is subject to an annual impairment test. ASC 350 two first second second 350 first two Alternatively, ASC 350 first The Company performs an annual impairment test on December 31 The Company’s reporting units are consistent with the reportable segments identified in Note 17. Fair value is determined using discounted cash flows, market multiples and market capitalization. Significant estimates used in the methodologies include estimates of future cash-flows, future short-term and long-term growth rates, weighted average cost of capital and market multiples for the reporting unit. For the fiscal year ended December 31, 2016, 2015 2014, no Intangible assets that are not considered to have an indefinite useful life are amortized using the straight-line basis over their estimated useful lives, which range from 3 7.3 may If such asset is considered to be impaired, the impairment to be recognized is measured as the difference between the carrying amount of the assets and the fair value of the impaired asset. During the fiscal year ended December 31, 2016, 2015 2014, l. Severance pay: DSP Group Ltd., the Company’s Israeli subsidiary (“DSP Israel”), has a liability for severance pay pursuant to Israeli law, based on the most recent monthly salary of its employees multiplied by the number of years of employment as of the balance sheet date for such employees. DSP Israel’s liability is fully provided for by monthly accrual and deposits with severance pay funds and insurance policies. The deposited funds include profits accumulated up to the balance sheet date. The deposited funds may The Company’s Korean subsidiary has a statutory liability for severance pay pursuant to Korean law based on the most recent monthly salary of its employees multiplied by the number of years of employment as of the balance sheet date for such employees. This Korean subsidiary’s liability is fully accrued. Severance expenses for the years ended December 31, 2016, 2015 2014, $1,582, $1,498 $1,568, m. Revenue recognition: The Company generates its revenues from sales of products. The Company sells its products through a direct sales force and through a network of distributors. Product sales are recognized when persuasive evidence of an agreement exists, delivery of the product has occurred, the fee is fixed or determinable, collectability is reasonably assured, and no significant obligations remain. Persuasive evidence of an arrangement exists - Delivery has occurred Separately, the Company has consignment inventory which is held for specific customers at the customers’ premises. It recognizes revenue on the consigned inventory when the customer consumes the products from the warehouse, as that is when per the consignment inventory agreements, risk and title passes to the customer and the products are deemed delivered to the customer. Price is fixed or determinable four Collectability of the related receivable is reasonably assured With respect to product sales through the Company’s distributors, such product revenues are deferred until the distributors resell the Company’s products to the end-customers (“sell through”) and recognized based upon receipt of reports from the distributors, provided all other revenue recognition criteria as discussed above are met. The Company views its distributor arrangements as that of consignment because, although the actual sales are conducted through the distributors and legally title for the products passes to the distributors upon delivery to the distributors, in substance inventory is simply being transferred to another location for sale to the end-user customers as the Company’s primary business relationships and responsibilities are directly with the end-user customers. Because the Company views its arrangements with its distributors as that of consignment relationships, delivery of goods is not deemed to have occurred solely upon delivery to the distributors. Therefore, the Company recognizes revenues from distributors under the “sell-through” method. As a result, revenue is deferred at the time of shipment to the distributors and is recognized only when the distributors sell the products to the end-user customers. n. Warranty: The Company warrants its products against errors, defects and bugs for generally one may December 31, 2016, 2015 2014. o. Research and development costs, net: Research and development costs, net of grants received, are charged to the consolidated statement of operations as incurred. p. Government grants: Government grants received by the Company’s Israeli subsidiary relating to categories of operating expenditures are credited to the consolidated statements of income during the period in which the expenditure to which they relate is charged. Royalty and non-royalty-bearing grants from the Israeli Innovation Authority ("IIA") (formerly known as Office of the Chief Scientist) for funding certain approved research and development projects are recognized at the time when the Company’s Israeli subsidiary is entitled to such grants, on the basis of the related costs incurred, and are included as a deduction from research and development expenses, net. The Company recorded grants in the amount of $2,687, $2,738 $3,002 December 31, 2016 2015 2014, The Company’s Israeli subsidiary is obligated to pay royalties amounting to 5% may may third may may six three third q. Equity-based compensation: At December 31, 2016, two may three may one 13. The Company accounts for equity-based compensation in accordance with FASB ASC No. 718, 718”). 718 The Company recognizes compensation expenses for the value of its awards granted based on the accelerated attribution method, rather than a straight-line method over the requisite service period of each of the awards, net of estimated forfeitures. FASB ASC No. 718 The Company selected the lattice option pricing model as the most appropriate fair value method for its equity-based awards and values options and stock appreciation rights (SARs) based on the market value of the underlying shares on the date of grant. The option-pricing model requires a number of assumptions, of which the most significant are the expected stock price volatility and the expected term of the equity-based award. Expected volatility is calculated based upon actual historical stock price movements. The expected term of the equity-based award granted is based upon historical experience and represents the period of time that the award granted is expected to be outstanding. The risk-free interest rate is based on the yield from U.S. treasury bonds with an equivalent term. The Company has historically not paid dividends and has no foreseeable plans to pay dividends. The Company granted stock appreciation rights (SARs) until 2012. 2013, . r. Basic and diluted income (loss) per share: Basic net income (loss) per share is computed based on the weighted average number of shares of common stock outstanding during the year. Diluted net income (loss) per share further includes the dilutive effect of stock options, SARs and RSUs outstanding during the year, all in accordance with FASB ASC No. 260, The total weighted average number of shares related to the outstanding stock options, SARs and RSUs excluded from the calculation of diluted net income per share due to their anti-dilutive effect was 334,833, 403,632 1,811,687 December 31, 2016, 2015 2014, s. Income taxes: The Company accounts for income taxes in accordance with FASB ASC No. 740, Deferred tax liabilities and assets are classified as non-current based on the adopting of Accounting Standards Update (“ASU”) 2015 17, 2015 17, 2015 17 for all period presented. The Company accounts for uncertain tax positions in accordance with ASC 740, two first second 50% The Company includes interest related to tax issues as part of income tax expense in its consolidated financial statements. The Company records any applicable penalties related to tax issues within the income tax provision. t. Concentrations of credit risk: Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, restricted deposits, short-term deposits, trade receivables and marketable securities. The majority of cash and cash equivalents and short-term deposits of the Company are invested in dollar deposits with major U.S., European and Israeli banks. Deposits in U.S. banks may these deposits may The Company’s marketable securities consist of investment-grade corporate bonds and U.S. government-sponsored enterprise (“GSE”) securities. As of December 31, 2016, $100,615, $99,513, $1,102. A significant portion of the products of the Company is sold to original equipment manufacturers of consumer electronics products. The customers of the Company are located primarily in Japan, Hong Kong, Taiwan, China, Korea, Europe and the United States. The Company performs ongoing credit evaluations of their customers. A specific allowance for doubtful accounts is determined, based on management’s estimates and historical experience. Under certain circumstances, the Company may December 31, 2016 2015, The Company has no off-balance-sheet concentration of credit risk, except for certain derivative instruments as mentioned below. u. Derivative instruments: The Company accounts for derivatives and hedging based on FASB ASC No.815, ASC No. 815 requires companies to recognize all of their derivative instruments as either assets or liabilities on the balance sheet at fair value. For derivative instruments that are designated and qualify as a cash flows hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Any gain or loss on a derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item is recognized in current earnings during the period of change. To protect against the increase in value of forecasted foreign currency cash flows resulting from salary and rent payments in New Israeli Shekel (“NIS”) during the year, the Company instituted a foreign currency cash flow hedging program. The Company hedges portions of the anticipated payroll and rent of its Israeli facilities denominated in NIS for a period of one 12 The fair value of the outstanding derivative instruments at December 31, 2016 2015 Fair value of Derivative assets December 31, (liabilities) Balance sheet location 2016 2015 Foreign exchange forward contracts and put and call options Other accounts receivable and prepaid expenses (Accrued expenses and other accounts payable) $ 9 $ (36 ) Total $ 9 $ (36 ) The effect of derivative instruments in cash flow hedging transactions on income and other comprehensive income (“OCI”) for the years ended December 31, 2016, 2015 2014 Gains (losses) on derivatives Year ended December 31, 2016 2015 2014 Foreign exchange forward contracts and put and call options $ 45 $ (38 ) $ (1,180 ) Gains (losses) on derivatives reclassified Year ended December 31, Location 2016 2015 2014 Foreign exchange forward contracts and put and call options Operating expenses $ 1 $ (621 ) $ (562 ) As of December 31, 2016, $6,000. As of December 31, 2015, $12,850 $1,800, As of December 31, 2014, $16,575. v. Comprehensive income: The Company accounts for comprehensive income in accordance with FASB ASC No. 220, The following table summarizes the changes in accumulated balances of other comprehensive income (loss) for 2016: Unrealized gains (losses) on available- for-sale marketable securities Unrealized gains (losses) on Cash Flow Hedges Unrealized gains (losses) on components of defined benefit plans Unrealized gains (losses) on foreign currency translation Total January 1, 2016 $ (501 ) $ (35 ) $ (352 ) $ (379 ) $ (1,267 ) Other comprehensive income (loss) before reclassifications (617 ) 45 (117 ) 74 (615 ) Amounts reclassified from accumulated other comprehensive income (loss) 17 (1 ) 14 - 30 Net current period other comprehensive income (loss) (600 ) 44 (103 ) 74 (585 ) December 31, 2016 $ (1,101 ) $ 9 $ (455 ) $ (305 ) $ (1,852 ) The following table provides details about reclassifications out of accumulated other comprehensive income (loss) for 2016: Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement of Income Losses on available-for-sale marketable securities $ 17 Financial income, net - Provision for income taxes 17 Total, net of income taxes Gains on cash flow hedges (1 ) Research and development - Sales and marketing - General and administrative (1 ) Total, before income taxes - Provision for income taxes (1 ) Total, net of income taxes Losses on components of defined benefit plans 7 Research and development 7 Sales and marketing 14 Total, before income taxes - Provision for income taxes 14 Total, net of income taxes Total reclassifications for the period 30 Total, net of income taxes w. Treasury stock at cost The Company repurchases its common stock from time to time on the open market or in other transactions and holds such shares as treasury stock. The Company presents the cost to repurchase treasury stock as a reduction of stockholders’ equity. From time to time, the Company reissues treasury stock under its employee stock purchase plan and equity incentive plans, upon purchases or exercises of equity awards under the plans. When treasury stock is reissued, the Company accounts for the re-issuance in accordance with ASC No. 505 30, x. Investment in other company: Investment in other company is stated at cost. The Company followed ASC 323, The Company’s investment in other company is reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such investment may 325 20. December 31, 2014, December 31, 2015, $400 9). During the third 2016, 86% 100%. $500 9). y. Recently Issued Accounting Guidance: 1. In May 2014, 2014 09, 2014 09 Step 1: Step 2: Step 3: Step 4: Step 5: The guidance permits two (1) (2) The new standard will be effective for the Company beginning on January 1, 2018, January 1, 2017 January 1, 2018. The Company is still in the process of completing its assessment on the impact this guidance will have on its consolidated financial statements and related disclosures. The Company expects to complete its assessment process during 2017. In September 2015, 2015 16, 2015 16 2015 16, 2015 16 December 15, 2015, 2. In February 2016, 2016 02, December 15, 2018, 3. In August 2016, 2016 15 December 15, 2017 4. In March 2016, 2016 09, January 1, 2017. 5. In January 2017, 2017 04, 2 zero 2 December 15, 2019. January 1, 2017. 6. The FASB issued ASU 2016 13 December 15, 2019 December 15, 2018. first |
Note 3 - Marketable Securities
Note 3 - Marketable Securities and Time Deposits | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | NOTE 3: MARKETABLE SECURITIES AND TIME DEPOSITS The following is a summary of marketable securities and time deposits at December 31, 2016 2015 8): Amortized cost Unrealized gains (losses), net Fair value 2016 2015 2016 2015 2016 2015 Short -term deposit $ 7,610 $ 5,568 $ - $ - $ 7,610 $ 5,568 U.S. GSE securities 24,351 23,645 (289 ) (114 ) 24,062 23,531 Corporate obligations 76,264 79,072 (813 ) (387 ) 75,451 78,685 $ 108,225 $ 108,285 $ (1,102 ) $ (501 ) $ 107,123 $ 107,784 The amortized costs of marketable debt securities at December 31, 2016, : Amortized Unrealized gains (losses) Fair cost Gains Losses value Due in one year or less $ 21,491 $ 6 $ (76 ) $ 21,421 Due after one year to five years 79,124 44 (1,076 ) 78,092 $ 100,615 $ 50 $ (1,152 ) $ 99,513 The amortized cost of marketable debt securities at December 31, 2015, : Amortized Unrealized gains (losses) Fair cost Gains Losses value Due in one year or less $ 12,500 $ 8 $ (7 ) $ 12,501 Due after one year to six years 90,217 25 (527 ) 89,715 $ 102,717 $ 33 $ (534 ) $ 102,216 The actual maturity dates may may The total fair value of marketable securities with outstanding unrealized losses as of December 31, 2016 $80,819, $1,152. $1,152 December 31, 2016, $85 12 $1,067 12 The total fair value of marketable securities with outstanding unrealized losses as of December 31, 2015 $84,095, $534. $534 December 31, 2015, $70 12 $464 12 Management believes that as of December 31, 2016, The unrealized losses related to the Company’s marketable securities were primarily due to changes in interest rates. Because the Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost bases, which may December 31, 2016. Proceeds from maturity of available-for-sale marketable securities during 2016, 2015 2014 $35,090, $20,127 $23,250, 2016, 2015 2014 $14,277, $13,238 $46,491, 2016, 2015 2014 $16, $3 $73, 2016, 2015 2014 $33, $27 $12, |
Note 4 - Other Accounts Receiva
Note 4 - Other Accounts Receivable and Prepaid Expenses | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Other Accounts Receivable and Prepaid Expenses Disclosure [Text Block] | NOTE 4: OTHER ACCOUNTS RECEIVABLE AND PREPAID EXPENSES December 31, 2016 2015 Prepaid expenses $ 1,262 $ 2,054 Tax and governmental receivables 606 956 Deposits 304 260 Others 159 49 $ 2,331 $ 3,319 |
Note 5 - Inventories
Note 5 - Inventories | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | NOTE 5: INVENTORIES Inventories are composed of the following: December 31, 2016 2015 Work-in-progress $ 5,784 $ 6,384 Finished products 3,964 5,069 $ 9,748 $ 11,453 Inventory write-downs amounted to $151 $361 December 31, 2016 2015, |
Note 6 - Property and Equipment
Note 6 - Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | NOTE 6: PROPERTY AND EQUIPMENT, NET Composition of assets, grouped by major classifications, is as follows: December 31, 2016 2015 Cost: Computers and equipment $ 20,636 $ 19,735 Office furniture and equipment 1,537 1,469 Leasehold improvements 5,004 4,728 27,177 25,932 Less - accumulated depreciation 23,047 22,168 Depreciated cost $ 4,130 $ 3,764 During 2016, $953. $10 Depreciation expenses, which also include amortization expenses of assets recorded under capital leases, amounted to $1,704, $1,356 $1,290 December 31, 2016, 2015 2014, |
Note 7 - Intangible Assets, Net
Note 7 - Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | NOTE 7: INTANGIBLE ASSETS, NET The following table shows the Company’s intangible assets for the periods presented: Useful life December 31, (years) 2016 2015 Cost: Current technology 4.2 - 5.3 $ 77,080 $ 77,080 Customer relations 7.3 23,477 23,477 Technology (completion of the development of in-process R&D) 6 7,702 7,702 Distribution agreement 5 2,086 - Non-competition agreement 3 519 519 110,864 108,778 Accumulated amortization: Current technology 48,263 48,263 Customer relations 13,407 13,407 Technology (completion of the development of in-process R&D) 5,134 3,851 Distribution agreement 174 - Non-competition agreement 519 519 67,497 66,040 Impairment: Current technology 28,817 28,817 Customer relations 10,070 10,070 38,887 38,887 Amortized cost $ 4,480 $ 3,851 a. Amortization expenses amounted to $1,457, $1,284 $1,573 December 31, 2016, 2015 2014, b. Estimated amortization expenses for the years ending: Year ending December 31, 2017 $ 1,701 2018 1,701 2019 417 2020 417 2021 244 $ 4,480 |
Note 8 - Fair Value Measurement
Note 8 - Fair Value Measurements | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Fair Value, Measurement Inputs, Disclosure [Text Block] | NOTE 8: FAIR VALUE MEASUREMENTS In accordance with ASC 820, 1 2 2 The following table provides information by value level for financial assets and liabilities that are measured at fair value on a recurring basis as of December 31, 2016 3): Balance as of Fair value measurements Description December 31, 2016 Level 1 Level 2 Level 3 Assets Cash equivalents Money market mutual funds $ 1,370 $ 1,370 - - Short-term marketable securities and time deposits U.S. GSE securities $ 376 - $ 376 - Corporate debt securities $ 21,045 - $ 21,045 - Long-term marketable securities U.S. GSE securities $ 23,686 - $ 23,686 - Corporate debt securities $ 54,406 - $ 54,406 - Derivative assets $ 9 - $ 9 - The following table provides information by value level for financial assets and liabilities that are measured at fair value on a recurring basis as of December 31, 2015: Balance as of Fair value measurements Description December 31, 2015 Level 1 Level 2 Level 3 Assets Cash equivalents Money market mutual funds $ 1,089 $ 1,089 - - Short-term marketable securities and time deposits U.S. GSE securities - - Corporate debt securities $ 12,501 - $ 12,501 - Long-term marketable securities U.S. GSE securities $ 23,531 - $ 23,531 - Corporate debt securities $ 66,184 - $ 66,184 - Derivative liabilities $ (36 ) - $ (36 ) - In addition to the assets and liabilities described above, the Company’s financial instruments also include cash and cash equivalents, restricted deposits, short term deposits, trade receivables, other accounts receivable, trade payables, accrued expenses and other payables. The fair value of these financial instruments was not materially different from their carrying value at December 31, 2016 2015 |
Note 9 - Investment in Other Co
Note 9 - Investment in Other Company | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Cost-method Investments, Description [Text Block] | NOTE 9: INVESTMENT IN OTHER COMPANY On October 24, 2013, $2,200 14% December 31, 2014. November 2014, December 31, 2015. 325 20. The Company did not exercise the purchase option by December 31, 2015 $400. During the third 2016, 86% 100%. $500 $1,800. The net fair value of the assets acquired and the liabilities assumed, on the date of acquisition, was as follows: Working capital $ (380 ) Property and equipment 4 Distribution agreement 2,086 Deferred tax liability (377 ) Goodwill 967 $ 2,300 |
Note 10 - Accrued Expenses and
Note 10 - Accrued Expenses and Other Accounts Payable | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | NOTE 10: ACCRUED EXPENSES AND OTHER ACCOUNTS PAYABLE December 31, 2016 2015 Accrued expenses (1) $ 1,385 $ 2,937 Derivative instruments - 36 Legal, accounting and investors relation accrual 537 615 Royalties and commission 1,128 488 Governmental payables 421 212 Others (1) 85 738 $ 3,556 $ 5,026 (1) The above decreases in 2016 $2,549, |
Note 11 - Accrued Pension Liabi
Note 11 - Accrued Pension Liabilities | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | NOTE 11: ACCRUED PENSION LIABILITIES As of December 31, 2016 2015, third The Company’s pension obligation in Germany relating to the unvested pension claims (i.e. future obligation that will result from future service period) of the employees were outsourced in November 2010 external insurance company. The Company legally is released from its obligations to the German employees once the premiums are paid, and it is no longer subject to any of the risks and rewards associated with the benefit obligations covered and the plan assets transferred to the external insurance company. Since the outsourcing arrangement meets the requirements of a nonparticipating annuity contract, the Company treats the costs of the outsourcing arrangement as the costs of the benefits being earned in accordance with ASC Paragraph 715 30 25 7 of ASC 715 The following tables provide a reconciliation of the changes in the pension plans’ benefit obligation and the fair value of assets for the years ended December 31, 2016 2015, December 31, 2016 2015: December 31, 2016 201 5 Accumulated benefit obligation $ 792 $ 729 Change in benefit obligation Benefit obligation at beginning of year $ 738 $ 997 Service cost 4 5 Interest cost 17 17 Benefits paid from the plan (55 ) (96 ) Actuarial (gain) loss 121 (62 ) Exchange rates and others (22 ) (123 ) Benefit obligation at end of year $ 803 $ 738 Change in plan assets Fair value of plan assets at beginning of year 54 116 Actual return on plan assets 3 5 Benefits paid from the plan (58 ) (56 ) Exchange rates 1 (11 ) Fair value of plan assets at end of year $ - $ 54 The assumptions used in the measurement of the Company’s pension expense and benefit obligations as of December 31, 2016, 2015 2014 Year ended December 31, 2016 201 5 201 4 Weighted-average assumptions Discount rate 1.7% 2.5% 2.1% Expected return on plan assets 4.59% 4.28% 2.86% Rate of compensation increase 2.5% 2.5% 2.5% The amounts reported for net periodic pension costs and the respective benefit obligation amounts are dependent upon the actuarial assumptions used. The Company reviews historical trends, future expectations, current market conditions, and external data to determine the assumptions. The discount rate is determined considering the yield of government bonds. The rate of compensation increase is determined by the Company, based on its long-term plans for such increases. The following table provides the components of net periodic benefit cost for the years ended December 31, 2016, 2015 2014: December 31, 2016 201 2014 Components of net periodic benefit cost Service cost $ 4 $ 5 $ 5 Interest cost 17 17 29 Expected return on plan assets (3 ) (5 ) (6 ) Amortization of net loss 15 20 11 Net periodic benefit cost $ 33 $ 37 $ 39 December 31, 2016 201 5 Net amounts recognized in the consolidated balance sheets as of December 31, 2016 and 2015 consist of: Current liabilities $ - $ - Noncurrent liabilities 803 684 Net amounts recognized in the consolidated balance sheets $ 803 $ 684 Net amounts recognized in accumulated other comprehensive income as of December 31, 2016 and 2015 consist of: Net actuarial loss $ (454 ) $ (351 ) Net amounts recognized in accumulated other comprehensive loss $ (454 ) $ (351 ) The estimated amount that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost in 2017 2017 Net actuarial loss and other $ 20 Benefit payments are expected to be paid as follows: Year ending December 31, 2017 $ 20 2018 $ 8 2019 $ 8 2020 $ 9 2021 $ 27 2022 - 2026 $ 84 The Company had no pension plan assets at December 31, 2016. Regarding the policy for amortizing actuarial gains or losses for pension and post-employment plans, the Company has chosen the “corridor” option. This option consists of recognizing in the consolidated statements of operations, the part of unrecognized actuarial gains or losses exceeding 10% $117 December 31, 2016. $62 December 31, 2015. $209 December 31, 2014. |
Note 12 - Financial Income, Net
Note 12 - Financial Income, Net | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Other Nonoperating Income and Expense [Text Block] | NOTE 12: FINANCIAL INCOME, NET The components of financial income, net were as follows: Year ended December 31, 2016 2015 2014 Foreign exchange gains $ 14 $ 19 $ 27 Interest income from marketable securities and deposits, net of amortization of premium on marketable securities 1,534 1,391 1,391 Realized gains on marketable securities 16 3 73 Financial income 1,564 1,413 1,491 Realized losses on marketable securities 33 27 12 Foreign exchange losses 132 58 113 Interest expenses 16 12 24 Other 156 141 138 Financial expense 337 238 287 Financial income, net $ 1,227 $ 1,175 $ 1,204 |
Note 13 - Stockholders' Equity
Note 13 - Stockholders' Equity | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | NOTE 13: STOCKHOLDERS’ EQUITY a. Preferred stock: The Company’s Board of Directors has the authority, without any further vote or action by the stockholders, to provide for the issuance of up to 5,000,000 one may No b. Common stock: Currently, 50,000,000 one may Holders of common stock have no preemptive rights or other subscription rights to convert their shares into any other securities. There are no redemption or sinking fund provisions applicable to common stock. c. Dividend policy: At December 31, 2016, $96,112. d. Share repurchase program: The Company’s board of directors has previously approved a number of share repurchase plans, including those in accordance with Rule 10b5 1 1934, August 2016, $10 In 2016, 2015 2014, 1,051,000, 1,295 ,000 and 1,414,000 shares, respectively, of common stock at an average purchase price of $10 .15, $10 .24 and $8.83 per share, respectively, for an aggregate purchase price of $1 0,666, $13 ,267 and $12,484, December 31, 2016, 320,220 In 2016, 2015 2014, 1 ,409,000, 1 ,024,000 908,000 1993 e. Stock purchase plan and equity incentive plans: The Company has various equity incentive plans under which employees, officers, non-employee directors of the Company and its subsidiaries and others, including consultants, may 100% Equity awards granted under all stock incentive plans that are cancelled or forfeited before expiration become available for future grant. Until the end of 2012, Starting in 2013, vest over a four 25% first 6.25% A summary of the various plans is as follows: 1993 Upon the closing of the Company’s initial public offering, the Company adopted the Directors Plan. Under the Directors Plan, which expired in January 2014, 1,980,875 30,000 15,000 January 1 six 15,000 January 1 six Options granted under the Directors Plan generally had a term of 10 third first one third twelve The Directors Plan expired in January 2014 may December 31, 2016, 2,464,933 360,000 1998 (1998 In 1998, 1998 1998 may 1998 5,062,881 December 31, 2016, 137,681 1998 The exercise price of options under the 1998 Options under the 1998 48 12 1998 seven 2001 (2001 In 2001, 2001 2001 2011 may December 31, 2016, 2,194,847 10,000 The 2001 100% Equity awards under the 2001 48 12 2001 seven 2003 (2003 In 2003, 2003 2003 2012 2012 “2012 December 31, 2016, 10,700,543 228,670 2003 May 2012, may Equity awards under the 2003 48 12 2003 seven 2012 (2012 In 2012, 2012 2012 may 2012 2012 2,450,000 December 31, 2016, 513,862 2012 Stock options, SARs and RSUs awarded under the 2012 48 12 2012 seven A director subplan was established under the 2012 2014, January 1 8,000 4,000 one 2014, 8,000 4,000 January 1, 2014 15,000 1993 Upon the closing of the Company’s initial public offering, the Company adopted the ESPP. The Company has reserved an aggregate of 4,800,000 may 85% 233,000, 233,000 310,000 $7.62, $7.59 $5.55 2016, 2015 2014, December 31, 2016, 942,000 Stock Reserved for Future Issuance The following table summarizes the number of shares available for future issuance at December 31, 2016 ESPP 942,000 Equity awards 652,000 Undesignated preferred stock 5,000,000 6,594,000 The following is a summary of activities relating to the Company’s stock options, SARs and RSUs granted among the Company’s various plans: Year ended December 31, 2016 2015 2014 Amount of options/ SARs/RSUs Weighted average exercise price Aggregate intrinsic value (4) Amount of options/ SARs/RSUs Weighted average exercise price Aggregate intrinsic value (4) Amount of options/ SARs/RSUs Weighted average exercise price Aggregate intrinsic value (4) in thousands in thousands in thousands Options outstanding at beginning of year 3,740 $ 6.22 $ - 4,644 $ 6.52 $ - 6,537 $ 8.68 $ - Changes during the year: Options granted 64 $ 9.44 $ - 179 $ 11.2 $ - 232 $ 9.15 $ - RSUs granted 573 $ - $ - 405 $ - $ - 337 $ - $ - Exercised (4) (1,905 ) $ 5.55 $ 10,344 (1,403 ) $ 5.68 $ 7,302 (1,715 ) $ 7.92 $ 3,537 Forfeited and cancelled (320 ) $ 7.16 $ - (85 ) $ 12.21 $ - (747 ) $ 20.11 $ - Options/SARs/RSUs outstanding at end of year (1,2,4) 2,152 $ 5.12 $ 17,347 3,740 $ 6.22 $ 13,364 4,644 $ 6.52 $ 21,409 Options/SARs/RSUs exercisable at end of year (1,3,4) 1,132 $ 8.27 $ 5,703 2,552 $ 7.47 $ 6,031 3,106 $ 7.73 $ 10,941 (1) SAR grants made prior to January 1, 2009 50% January 1, 2009 January 1, 2010 75% January 1, 2010 66.67% January 1, 2012 50% (2) Due to the ceiling imposed on the SAR grants, the outstanding amount above can be exercised for a maximum of 2,038 December 31, 2016. (3) Due to the ceiling imposed on the SAR grants, the exercisable amount above can be exercised for a maximum of 1,018 December 31, 2016. (4) Calculation of aggregate intrinsic value for options, RSUs and SARs outstanding and exercisable is based on the share price of the Company’s common stock as of December 31, 2016, 2015 2014 $13.05, $9.44 $10.87 The stock options and SARs outstanding as of December 31, 2016, Range of exercise price Outstanding Remaining contractual life (years) ( 1 ) Weighted average exercise price Exercisable Remaining contractual life (years) Weighted average exercise price $ thousands $ thousands $ 0 (RSUs) 851 - - - - - 5.21 - 7.26 347 3.57 6.12 339 3.58 6.11 7.49 - 9.71 722 3.36 8.18 625 2.80 8.03 10.87 - 15.79 202 4.99 11.60 138 4.92 11.70 21.07 - 25.06 30 0.00 21.70 30 0.00 21.70 2,152 3.59 5.12 1,132 3.22 8.27 (1) Calculation of weighted average remaining contractual term does not include the RSUs that were granted, which have an indefinite contractual term. As of December 31, 2016, 343,019 December 31, 2016 ($13.05 December 31, 2016. The weighted average estimated fair value of employee RSUs granted during 2016, 2015 2014 $8.33, $10.43 $7.94 3.78%, 3.49% 3.79% 2016, 2015 2014, The weighted-average estimated fair value of employee stock options granted during the years ended December 31, 2016, 2015 2014 $3.97, $3.80 $3.47 Year ended December 31, 2016 2015 2014 Volatility 46.02% 49.04% 43.14% Risk-free interest rate 2.29% 1.96% 1.85% Dividend yield 0% 0% 0% Pre-vest cancellation rate *) 1.87% 3.95% 4.17% Post-vest cancellation rate **) 3.44% 3.86% 4.09% Suboptimal exercise factor ***) 1.69 1.46 1.61 Expected life ( 5.50 4.43 3.27 *) The pre-vest cancellation rate was calculated on an annual basis and is presented here on an annual basis. **) The post-vest cancellation rate was calculated on a monthly basis and is presented here on an annual basis. ***) The ratio of the stock price to strike price at the time of exercise of the option. The computation of volatility uses a combination of historical volatility and implied volatility derived from the Company’s exchange traded options with similar characteristics. The risk-free interest rate assumption is based on U.S. treasury bill interest rates appropriate for the term of the Company’s employee equity-based awards. The dividend yield assumption is based on the Company’s historical and expectation of future dividend payouts and may The expected term of employee equity-based awards represents the weighted-average period the awards are expected to remain outstanding and is a derived output of the binomial model. The expected life of employee equity-based awards is impacted by all of the underlying assumptions used in the Company’s model. The binomial model assumes that employees’ exercise behavior is a function of the award’s remaining contractual life and the extent to which the award is in-the-money (i.e., the average stock price during the period is above the strike price of the award). The binomial model estimates the probability of exercise as a function of these two As equity-based compensation expense recognized in the consolidated statement of operations is based on awards ultimately expected to vest, it should be reduced for estimated forfeitures. The forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. Pre and post-vesting forfeitures were estimated based on historical experience. The fair value for rights to purchase shares of common stock under the Company’s ESPP was estimated on each enrollment date using the same assumptions set forth above for the years ended 2016, 2015 2014 six 24 29.60% 41.21% 2016, 22.83% 34.53% 2015 29.06% 37.17% 2014. The Company’s aggregate equity compensation expenses for the years ended December 31, 2016, 2015 2014 $5,088, $5,092 $5,359, A summary of the status of the Company’s non-vested stock options, SARs and RSUs as of December 31, 2016, December 31, 2016, Non-vested Units Weighted average grant date fair value (In thousands) $ Non-vested at January 1, 2016 1,188 6.90 Granted 637 7.89 Vested (694 ) 6.59 Forfeited (112 ) 7.29 Non-vested at December 31, 2016 1,019 7.69 As of December 31, 2016, 1,869,000 As of December 31, 2016, $4,206 2016 2020. |
Note 14 - Commitments and Conti
Note 14 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | NOTE 14: COMMITMENTS AND CONTINGENCIES Commitments a. The Company and its subsidiaries lease certain equipment and facilities under non-cancelable operating leases. The Company has significant leased facilities in Herzliya Pituach, Israel. The lease agreement for the Israeli facilities is effective until November 2018. 2018. 2017, 2018, 2017, 2017, 2019 2017, 2020. 2017 2019. At December 31, 2016, Year ended December 31, 2017 $ 2,689 2018 2,202 2019 502 $ 5,393 Facilities rental expenses amounted to $2,362, $2,252 $2,298 December 31, 2016, 2015 2014, b. The Company participated in programs (most of which are royalty bearing grants) sponsored by the Israeli government for the support of research and development activities. Through December 31, 2016, 5% 100% As of December 31, 2016, $9,841. may third may may six three third Litigation a. The Company is involved in certain claims arising in the normal course of business. However, the Company believes that the ultimate resolution of these matters will not have a material adverse effect on its financial position, results of operations, or cash flows. b. From time to time, the Company may may may third |
Note 15 - Taxes on Income
Note 15 - Taxes on Income | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | NOTE 15: TAXES ON INCOME a. The provision for income taxes is as follows: Year ended December 31, 2016 2015 2014 Domestic taxes Federal taxes: Current $ - $ - $ - State taxes: Current 3 2 2 Foreign taxes: Current (1) 264 1,081 (1,673 ) Deferred (2) 327 (756 ) (1,170 ) 591 325 (2,843 ) Tax expenses (income) tax benefit 594 $ 327 $ (2,841 ) (1) Includes for 2014 $858 one $1,234 (2) Includes for 2014 $827 There were no 2016, 2015 2014. b. Income (loss) before taxes is comprised as follows: Year ended December 31, 2016 2015 2014 Domestic $ (2,188 ) $ (909 ) $ (3,497 ) Foreign 7,595 2,798 4,258 $ 5,407 $ 1,889 $ 761 c. A reconciliation between the Company’s effective tax rate assuming all income is taxed at statutory tax rate applicable to the income of the Company and the U.S. statutory rate is as follows: Year ended December 31, 2016 2015 2014 Income (loss) before taxes on income $ 5,407 $ 1,889 $ 761 Theoretical tax at U.S. statutory tax rate (35%) $ 1,892 $ 661 $ 266 State taxes, net of federal benefit 3 2 2 Foreign income taxed at rates other than the U.S. rate (including deferred taxes that were not provided, valuation allowance and current adjustment and interest on uncertain tax position liability) (2,580 ) (2,209 ) (5,974 ) Nondeductible equity-based compensation expenses 695 1,782 1,876 Valuation allowance in U.S. 583 91 989 Other 1 - - $ 594 $ 327 $ (2,841 ) d. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. December 31, 2016 2015 Reserves and accruals $ 1,322 $ 1,823 Equity-based compensation 846 462 Intangible assets 688 805 Carryforward tax losses 5,770 5,798 (1) Total deferred tax assets (long-term) 8,626 8,888 Valuation allowance (7,708 ) (7,577 ) Total $ 918 $ 1,311 Total deferred tax assets $ 918 $ 1,311 Deferred tax liabilities, net (Long term): Acquired intangible assets 987 963 Acquired carryforward tax losses (200 ) (487 ) Total deferred tax liabilities, net $ 787 $ 476 (1) 2015 $200,208 December 31, 2015. Management believes that part of the deferred tax assets will not be realized based on current levels of future taxable income and potentially refundable taxes. Accordingly, a valuation allowance in the amount of $7,708 $7,577 December 31, 2016 2015, As of December 31, 2016, $124.9 $124.9 $114.4 may e. Uncertain tax positions: A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits is as follows: 2016 2015 Gross unrecognized tax benefits at January 1 $ 1,711 $ 1,031 Increases (decreases) in tax positions for previous years (1) (918 ) 177 Increases in tax positions for current year 396 533 Change in interest and linkage related to tax positions (166 ) (30 ) Gross unrecognized tax benefits at December 31 $ 1,023 $ 1,711 (1) The decrease in 2016 of an examination that was conducted by the German tax authorities of the Company’s German tax returns for 2007 2009 The total amount of net unrecognized tax benefits that, if recognized, would affect the effective tax rate was $1,023 $1,711 December 31, 2016 2015, December 31, 2016 2015, $46 $180, The Company and certain of its subsidiaries file income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. The last examination conducted by U.S. tax authorities was with respect to the Company’s U.S. federal income tax returns for 2004. 2012. The last examination conducted by the Israeli tax authorities was with respect to the Company’s Israeli income tax returns for the years between 2006 2012. With respect to DSP Israel, the tax returns up to and including 2012 With respect to the Company’s Swiss subsidiary, which is undergoing a liquidation, the statute of limitations related to its tax returns is opened for all tax years since 2010. A change in the amount of unrecognized tax benefit is reasonably possible in the next 12 2010 2013. f. Tax benefits under the Law for the Encouragement of Capital Investments, 1959 The Investment Law provides certain Israeli tax benefits for eligible capital investments in a production facility, as discussed in greater detail below. On April 1, 2005, The Amendment enacted major changes in the manner in which tax benefits are awarded under the Investment Law so that companies are no longer required to get the Investment Center’s prior approval to qualify for tax benefits. An enterprise that receives tax benefits without the initial approval from the Investment Center is called a “Beneficiary Enterprise,” rather than the previous terminology of “Approved Enterprise” used under the Investment Law. The period of tax benefits for a new Beneficiary Enterprise commences in the “Year of Commencement,” which is the later of: (1) first (2) In addition, under the Amendment, tax benefits are available for production facilities, which generally are required to derive more than 25% DSP Israel chose the “alternative benefits” track for all of its investment programs. Accordingly, DSP Israel’s income from an “Approved Enterprise” and “Beneficiary Enterprise” is tax-exempt for a period of two four 10% 25% six eight DSP Israel’s first, second, third, fourth, fifth sixth 1994, 1996, 1998, 1999, 2002 2004, two four first 10% 25% six eight 2016, DSP Israel’s seventh eighth 2006 2009, two 10% 25% eight first 2016, seventh Since DSP Israel is operating under more than one During 2006, fifth sixth 2008, second, third fourth The Company’s investment programs that generate taxable income are currently subject to an average tax rate of up to approximately 10% may 10% Amendment to the Law for the Encouragement of Capital Investments, 1959 73): In December 2016, 2017 2018 2016 73 “2016 2016 7.5% 9% January 1, 2017 . The 2016 March 31, 2017. The new tax tracks under the 2016 Technological preferred enterprise - an enterprise for which total consolidated revenues of its parent company and all subsidiaries are less than NIS 10 ($2.6 12% 12%. Any dividends distributed to "foreign companies," as defined in the Law, deriving from income from the technological enterprises, will be subject to a tax rate of 4%. The Company evaluated the effect of the adoption of the 2016 2016 2016 2016 may The Company is required to comply with the 2016 2016 may As of December 31, 2016, Should DSP Israel fail to meet such conditions in the future, it could be subject to corporate tax in Israel at the standard tax rate (25% 2016) As of December 31, 2016, $33,293 If DSP Israel’s retained tax-exempt income is distributed, the income would be taxed at the applicable corporate tax rate (currently 10%) $3,699 December 31, 2016. DSP Israel’s income from sources other than the “Approved Enterprises” and “Beneficiary Enterprises” during the benefit period will be subject to tax at the effective standard corporate tax rate in Israel (25% 2016). g. The Law for Encouragement of Industry (Taxation), 1969: DSP Israel has the status of an “industrial company”, as defined by this law. According to this status and by virtue of regulations published thereunder, DSP Israel is entitled to claim a deduction of accelerated depreciation on equipment used in industrial activities, as determined in the regulations issued under the Inflationary Law. The Company is also entitled to amortize a patent or rights to use a patent or intellectual property that are used in the enterprise's development or advancement, to deduct issuance expenses for shares listed for trading, and to file consolidated financial statements under certain conditions. h. Israeli tax rates: The rate of the Israeli corporate tax is as follows: 2014 2015 26.5% 2016 25%, 25% January 1, 2003. In December 2016, 2016 24% 25%) January 1, 2017 23% January 1, 2018. j. The Company has accumulated losses for federal and state tax purposes as of December 31, 2016 $13,725 $2,950, may fifteen twenty December 31, 2016, $14,534 may December 31, 2016, $1,621, may seven |
Note 16 - Basic and Diluted Los
Note 16 - Basic and Diluted Loss Per Share | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | NOTE 16: BASIC AND DILUTED LOSS PER SHARE The following table sets forth the computation of basic and diluted net loss per share: Year ended December 31, 2016 2015 2014 Numerator: Net income $ 4,813 $ 1,562 $ 3,602 Denominator: Weighted average number of shares of common stock outstanding during the year used to compute basic net earnings per share (in thousands) 21,800 21,924 21,968 Incremental shares attributable to exercise of outstanding options, SARs and RSUs (assuming proceeds would be used to purchase treasury stock) (in thousands) 1,087 1,416 986 Weighted average number of shares of common stock used to compute diluted net earnings per share (in thousands) 22,887 23,340 22,954 Basic net earnings per share $ 0.22 $ 0.07 $ 0.16 Diluted net earnings per share $ 0.21 $ 0.07 $ 0.16 |
Note 17 - Segment Information
Note 17 - Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | NOTE 17: SEGMENT INFORMATION Description of segments: The Company operates under three The Company’s segment information has been prepared in accordance with ASC 280, The Company’s operating segments are as follows: Home, Office and Mobile. The classification of the Company’s business segments is based on a number of factors that its management uses to evaluate, view and run its business operations, which include, but are not limited to, customer base, homogeneity of products and technology. A description of the types of products provided by each business segment is as follows: Home - Wireless chipset solutions for converged communication at home. Such solutions include integrated circuits targeted for cordless phones sold in retail or supplied by telecommunication service providers, home gateway devices supplied by telecommunication service providers which integrate the DECT/CAT-iq functionality, integrated circuits addressing home automation applications, as well as fixed-mobile convergence solutions. In this segment, (i) revenues from cordless telephony products exceeded 10% 57%, 72% 79% 2016, 2015 2014, 8%, 10% 8% 2016, 2015 2014, Office - Comprehensive solution for Voice-over-IP (VoIP) office products, including office solutions that offer businesses of all sizes low-cost VoIP terminals with converged voice and data applications. Revenues from the Company’s VoIP products represented 19%, 15% 10% 2016, 2015 2014, 10% 2016, 2015 2014. Mobile - Products for the mobile market that provides voice enhancement, always-on and far-end noise elimination targeted for mobile phone and mobile headsets and wearable devices that incorporate the Company’s noise suppression and voice quality enhancement HDClear technology. Revenues from the Company’s HDCear products represented 12%, 0%, 0% 2016, 2015 2014. 10% 2016, 2015 2014. Segment data: The Company derives the results of its business segments directly from its internal management reporting system and by using certain allocation methods. The accounting policies the Company uses to derive business segment results are substantially the same as those the Company uses for consolidation of its financial statements. The CODM measures the performance of each business segment based on several metrics, including earnings from operations. CODM uses these results, in part, to evaluate the performance of, and to assign resources to, each of the business segments. The Company does not allocate to its business segments certain operating expenses, which it manages separately at the corporate level. These unallocated costs include primarily amortization of purchased intangible assets, equity-based compensation expenses and certain corporate governance costs. The Company does not allocate any assets to segments and, therefore, no amount of assets is reported to management and disclosed in the financial information for segments. Selected operating results information for each business segment was as follows for the year ended December 31, 2016, 2015 2014: Year ended December 31 Revenues Income (loss) from operations 2016 2015 2014 2016 2015 2014 Home $ 95,388 $ 121,714 $ 128,690 $ 17,715 $ 24,815 $ 23,438 Office $ 26,590 $ 22,216 $ 14,276 $ (2,961 ) $ (4,861 ) $ (2,805 ) Mobile $ 15,891 $ 341 $ 70 $ (5,190 ) $ (10,308 ) $ (11,983 ) Total $ 137,869 $ 144,271 $ 143,036 $ 9,564 $ 9,646 $ 8,650 The reconciliation of segment operating results information to the Company’s consolidated financial information was as follows: Year ended December 31, 2016 2015 2014 Income from operations $ 9,564 $ 9,646 $ 8,650 Unallocated corporate, general and administrative expenses * (1,388 ) (2,156 ) (2,161 ) Other income 2,549 - - Equity-based compensation expenses (5,088 ) (5,092 ) (5,359 ) Intangible assets amortization expenses (1,457 ) (1,284 ) (1,573 ) Write–off of expired option related to investment in other company - (400 ) - Financial income, net 1,227 1,175 1,204 Total consolidated income before taxes $ 5,407 $ 1,889 $ 761 *Includes mainly legal, accounting, board of directors and investors relation expenses. Major customers and geographic information The following is a summary of operations within geographic areas based on customer locations: Year ended December 31, 2016 2015 2014 Revenue distribution Hong-Kong $ 56,768 $ 72,608 $ 79,622 Japan 18,440 26,114 31,261 Europe 9,703 8,464 6,787 United States 4,696 3,944 4,702 China 10,244 10,359 6,568 Taiwan 16,428 16,902 9,077 South Korea 17,503 1,913 1,308 Other 4,087 3,967 3,711 $ 137,869 $ 144,271 $ 143,036 For a summary of revenues from major customers, please see Note 1. December 31, 2016 2015 Long-lived assets Europe $ 216 $ 259 Israel 2,652 2,989 Other 1,262 516 $ 4,130 $ 3,764 |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2016 | |
Notes to Financial Statements | |
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block] | Schedule II DSP GROUP, INC. Description Balance at Beginning of Period Charged to (deducted from) Costs and Expenses Balance at End of Period Year ended December 31, 2014: Allowance for doubtful accounts Sales returns reserve - - - Year ended December 31, 2015: Allowance for doubtful accounts Sales returns reserve - - - Year ended December 31, 2016: Allowance for doubtful accounts Sales returns reserve - - - |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Use of Estimates, Policy [Policy Text Block] | Use of estimates: The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions. The Company’s management believes that the estimates, judgments and assumptions used are reasonable based upon information available at the time that these estimates, judgments and assumptions are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. |
Basis of Accounting, Policy [Policy Text Block] | Financial statements in U.S. dollars: Most of the Company’s revenues are generated in U.S. dollars (“dollar”). In addition, a substantial portion of the Company’s costs are incurred in dollars. The Company’s management believes that the dollar is the currency of the primary economic environment in which the Company operates. Thus, the functional and reporting currency of the Company is the dollar. Monetary accounts maintained in currencies other than the dollar are remeasured into dollars in accordance with ASC No. 830 30, The financial statements of the Company’s subsidiary – DSP Group Technologies GmbH whose functional currency is in Euro, has been translated into dollars. All amounts on the balance sheets have been translated into the dollar using the exchange rates in effect on the relevant balance sheet dates. All amounts in the consolidated statements of operations have been translated into the dollar using the average exchange rate for the relevant periods. The resulting translation adjustments are reported as a component of accumulated other comprehensive income (loss) in changes in stockholders’ equity. Accumulated other comprehensive loss related to foreign currency translation adjustments, net amounted to $305 $379 December 31, 2016 2015, |
Consolidation, Policy [Policy Text Block] | Principles of consolidation: The consolidated financial statements include the accounts of the Company. Intercompany transactions and balances have been eliminated in consolidation. |
Cash and Cash Equivalents, Unrestricted Cash and Cash Equivalents, Policy [Policy Text Block] | Cash equivalents: Cash equivalents are short-term highly liquid investments, which are readily convertible to cash with original maturity of three |
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | Restricted deposits: Restricted deposits include deposits which are used as security for derivative instruments and for one |
Deposit Contracts, Policy [Policy Text Block] | Short-term deposits: Bank deposits with original maturities of more than three one |
Marketable Securities, Available-for-sale Securities, Policy [Policy Text Block] | Marketable securities: The Company accounts for investments in debt securities in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) No. 320 10, The Company classified all of its investments in marketable securities as available for sale. Available-for-sale securities are carried at fair value, with the unrealized gains and losses, reported in other comprehensive income (loss) using the specific identification method. Unrealized losses determined to be other-than-temporary are recorded as a financial expense. The amortized cost of marketable securities is adjusted for amortization of premiums and accretion of discounts to maturity. Such amortization is included in financial income, net. Interest and dividends on securities are included in financial income, net. The marketable securities are periodically reviewed for impairment. If management concludes that any of these investments are impaired, management determines whether such impairment is other-than-temporary. Factors considered in making such a determination include the duration and severity of the impairment, the reason for the decline in value and the potential recovery period, and the Company’s intent to sell, or whether it is more likely than not that the Company will be required to sell the investment before recovery of cost basis. For debt securities, only the decline attributable to deteriorating credit of an-other-than-temporary impairment is recorded in the consolidated statement of operations, unless the Company intends, or more likely than not it will be forced, to sell the security. During the years ended December 31, 2016, 2015 2014, 3). |
Fair Value Measurement, Policy [Policy Text Block] | Fair value of financial instruments: Cash and cash equivalents, restricted deposits, short-term deposits, trade receivables, trade payables and accrued liabilities approximate fair value due to short term maturities of these instruments. Marketable securities and derivative instruments are carried at fair value. See Note 3 Fair value is an exit price, representing the amount that would be received for selling an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. A three Level 1 Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 Include other inputs that are directly or indirectly observable in the marketplace. Level 3 Unobservable inputs which are supported by little or no market activity. The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. |
Inventory, Policy [Policy Text Block] | Inventories: Inventories are stated at the lower of cost or market value. Inventory reserves are provided to cover risks arising from slow-moving items or technological obsolescence. The Company and its subsidiaries periodically evaluate the quantities on hand relative to historical, current and projected sales volume. Based on this evaluation, an impairment charge is recorded when required to write-down inventory to its market value. Cost is determined as follows: Work in progress and finished products- on the basis of raw materials and manufacturing costs on an average basis. The Company regularly evaluates the ability to realize the value of inventory based on a combination of factors, including the following: historical usage rates and forecasted sales according to outstanding backlogs. Purchasing requirements and alternative usage are explored within these processes to mitigate inventory exposure. When recorded, the reserves are intended to reduce the carrying value of inventory to its net realizable value. Inventory of $9,748, $11,453 $15,635 December 31, 2016, 2015 2014, $571, $670 $505 may |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and equipment, net: Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets, at the following annual rates: % Computers and equipment 20 - 33 Office furniture and equipment 6 - 15 Leasehold improvements ”see below” Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Company and intended to be exercised) and the expected life of the improvement. Property and equipment of the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may During the years ended December 31, 2016, 2015 2014, no The Company accounts for costs of computer software developed or obtained for internal use in accordance with FASB ASC No. 350 40, 350 40 2016, 2015 2014, $0, $1,086 $128, three |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Goodwill and other intangible assets: The goodwill and certain other purchased intangible assets have been recorded as a result of the BoneTone acquisition and the acquisition of a private company in Asia. Goodwill represents the excess of the purchase price in a business combination over the fair value of net tangible and intangible assets acquired. Goodwill is not amortized, but rather is subject to an annual impairment test. ASC 350 two first second second 350 first two Alternatively, ASC 350 first The Company performs an annual impairment test on December 31 The Company’s reporting units are consistent with the reportable segments identified in Note 17. Fair value is determined using discounted cash flows, market multiples and market capitalization. Significant estimates used in the methodologies include estimates of future cash-flows, future short-term and long-term growth rates, weighted average cost of capital and market multiples for the reporting unit. For the fiscal year ended December 31, 2016, 2015 2014, no Intangible assets that are not considered to have an indefinite useful life are amortized using the straight-line basis over their estimated useful lives, which range from 3 7.3 may If such asset is considered to be impaired, the impairment to be recognized is measured as the difference between the carrying amount of the assets and the fair value of the impaired asset. During the fiscal year ended December 31, 2016, 2015 2014, |
Severance Pay [Policy Text Block] | Severance pay: DSP Group Ltd., the Company’s Israeli subsidiary (“DSP Israel”), has a liability for severance pay pursuant to Israeli law, based on the most recent monthly salary of its employees multiplied by the number of years of employment as of the balance sheet date for such employees. DSP Israel’s liability is fully provided for by monthly accrual and deposits with severance pay funds and insurance policies. The deposited funds include profits accumulated up to the balance sheet date. The deposited funds may The Company’s Korean subsidiary has a statutory liability for severance pay pursuant to Korean law based on the most recent monthly salary of its employees multiplied by the number of years of employment as of the balance sheet date for such employees. This Korean subsidiary’s liability is fully accrued. Severance expenses for the years ended December 31, 2016, 2015 2014, $1,582, $1,498 $1,568, |
Revenue Recognition, Policy [Policy Text Block] | Revenue recognition: The Company generates its revenues from sales of products. The Company sells its products through a direct sales force and through a network of distributors. Product sales are recognized when persuasive evidence of an agreement exists, delivery of the product has occurred, the fee is fixed or determinable, collectability is reasonably assured, and no significant obligations remain. Persuasive evidence of an arrangement exists - Delivery has occurred Separately, the Company has consignment inventory which is held for specific customers at the customers’ premises. It recognizes revenue on the consigned inventory when the customer consumes the products from the warehouse, as that is when per the consignment inventory agreements, risk and title passes to the customer and the products are deemed delivered to the customer. Price is fixed or determinable four Collectability of the related receivable is reasonably assured With respect to product sales through the Company’s distributors, such product revenues are deferred until the distributors resell the Company’s products to the end-customers (“sell through”) and recognized based upon receipt of reports from the distributors, provided all other revenue recognition criteria as discussed above are met. The Company views its distributor arrangements as that of consignment because, although the actual sales are conducted through the distributors and legally title for the products passes to the distributors upon delivery to the distributors, in substance inventory is simply being transferred to another location for sale to the end-user customers as the Company’s primary business relationships and responsibilities are directly with the end-user customers. Because the Company views its arrangements with its distributors as that of consignment relationships, delivery of goods is not deemed to have occurred solely upon delivery to the distributors. Therefore, the Company recognizes revenues from distributors under the “sell-through” method. As a result, revenue is deferred at the time of shipment to the distributors and is recognized only when the distributors sell the products to the end-user customers. |
Standard Product Warranty, Policy [Policy Text Block] | Warranty: The Company warrants its products against errors, defects and bugs for generally one may December 31, 2016, 2015 2014. |
Research and Development Expense, Policy [Policy Text Block] | Research and development costs, net: Research and development costs, net of grants received, are charged to the consolidated statement of operations as incurred. |
Government Grants [Policy Text Block] | Government grants: Government grants received by the Company’s Israeli subsidiary relating to categories of operating expenditures are credited to the consolidated statements of income during the period in which the expenditure to which they relate is charged. Royalty and non-royalty-bearing grants from the Israeli Innovation Authority ("IIA") (formerly known as Office of the Chief Scientist) for funding certain approved research and development projects are recognized at the time when the Company’s Israeli subsidiary is entitled to such grants, on the basis of the related costs incurred, and are included as a deduction from research and development expenses, net. The Company recorded grants in the amount of $2,687, $2,738 $3,002 December 31, 2016 2015 2014, The Company’s Israeli subsidiary is obligated to pay royalties amounting to 5% may may third may may six three third |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Equity-based compensation: At December 31, 2016, two may three may one 13. The Company accounts for equity-based compensation in accordance with FASB ASC No. 718, 718”). 718 The Company recognizes compensation expenses for the value of its awards granted based on the accelerated attribution method, rather than a straight-line method over the requisite service period of each of the awards, net of estimated forfeitures. FASB ASC No. 718 The Company selected the lattice option pricing model as the most appropriate fair value method for its equity-based awards and values options and stock appreciation rights (SARs) based on the market value of the underlying shares on the date of grant. The option-pricing model requires a number of assumptions, of which the most significant are the expected stock price volatility and the expected term of the equity-based award. Expected volatility is calculated based upon actual historical stock price movements. The expected term of the equity-based award granted is based upon historical experience and represents the period of time that the award granted is expected to be outstanding. The risk-free interest rate is based on the yield from U.S. treasury bonds with an equivalent term. The Company has historically not paid dividends and has no foreseeable plans to pay dividends. The Company granted stock appreciation rights (SARs) until 2012. 2013, . |
Earnings Per Share, Policy [Policy Text Block] | Basic and diluted income (loss) per share: Basic net income (loss) per share is computed based on the weighted average number of shares of common stock outstanding during the year. Diluted net income (loss) per share further includes the dilutive effect of stock options, SARs and RSUs outstanding during the year, all in accordance with FASB ASC No. 260, The total weighted average number of shares related to the outstanding stock options, SARs and RSUs excluded from the calculation of diluted net income per share due to their anti-dilutive effect was 334,833, 403,632 1,811,687 December 31, 2016, 2015 2014, |
Income Tax, Policy [Policy Text Block] | Income taxes: The Company accounts for income taxes in accordance with FASB ASC No. 740, Deferred tax liabilities and assets are classified as non-current based on the adopting of Accounting Standards Update (“ASU”) 2015 17, 2015 17, 2015 17 for all period presented. The Company accounts for uncertain tax positions in accordance with ASC 740, two first second 50% The Company includes interest related to tax issues as part of income tax expense in its consolidated financial statements. The Company records any applicable penalties related to tax issues within the income tax provision. |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentrations of credit risk: Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, restricted deposits, short-term deposits, trade receivables and marketable securities. The majority of cash and cash equivalents and short-term deposits of the Company are invested in dollar deposits with major U.S., European and Israeli banks. Deposits in U.S. banks may these deposits may The Company’s marketable securities consist of investment-grade corporate bonds and U.S. government-sponsored enterprise (“GSE”) securities. As of December 31, 2016, $100,615, $99,513, $1,102. A significant portion of the products of the Company is sold to original equipment manufacturers of consumer electronics products. The customers of the Company are located primarily in Japan, Hong Kong, Taiwan, China, Korea, Europe and the United States. The Company performs ongoing credit evaluations of their customers. A specific allowance for doubtful accounts is determined, based on management’s estimates and historical experience. Under certain circumstances, the Company may December 31, 2016 2015, The Company has no off-balance-sheet concentration of credit risk, except for certain derivative instruments as mentioned below. |
Derivatives, Policy [Policy Text Block] | Derivative instruments: The Company accounts for derivatives and hedging based on FASB ASC No.815, ASC No. 815 requires companies to recognize all of their derivative instruments as either assets or liabilities on the balance sheet at fair value. For derivative instruments that are designated and qualify as a cash flows hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Any gain or loss on a derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item is recognized in current earnings during the period of change. To protect against the increase in value of forecasted foreign currency cash flows resulting from salary and rent payments in New Israeli Shekel (“NIS”) during the year, the Company instituted a foreign currency cash flow hedging program. The Company hedges portions of the anticipated payroll and rent of its Israeli facilities denominated in NIS for a period of one 12 The fair value of the outstanding derivative instruments at December 31, 2016 2015 Fair value of Derivative assets December 31, (liabilities) Balance sheet location 2016 2015 Foreign exchange forward contracts and put and call options Other accounts receivable and prepaid expenses (Accrued expenses and other accounts payable) $ 9 $ (36 ) Total $ 9 $ (36 ) The effect of derivative instruments in cash flow hedging transactions on income and other comprehensive income (“OCI”) for the years ended December 31, 2016, 2015 2014 Gains (losses) on derivatives Year ended December 31, 2016 2015 2014 Foreign exchange forward contracts and put and call options $ 45 $ (38 ) $ (1,180 ) Gains (losses) on derivatives reclassified Year ended December 31, Location 2016 2015 2014 Foreign exchange forward contracts and put and call options Operating expenses $ 1 $ (621 ) $ (562 ) As of December 31, 2016, $6,000. As of December 31, 2015, $12,850 $1,800, As of December 31, 2014, $16,575. |
Comprehensive Income, Policy [Policy Text Block] | Comprehensive income: The Company accounts for comprehensive income in accordance with FASB ASC No. 220, The following table summarizes the changes in accumulated balances of other comprehensive income (loss) for 2016: Unrealized gains (losses) on available- for-sale marketable securities Unrealized gains (losses) on Cash Flow Hedges Unrealized gains (losses) on components of defined benefit plans Unrealized gains (losses) on foreign currency translation Total January 1, 2016 $ (501 ) $ (35 ) $ (352 ) $ (379 ) $ (1,267 ) Other comprehensive income (loss) before reclassifications (617 ) 45 (117 ) 74 (615 ) Amounts reclassified from accumulated other comprehensive income (loss) 17 (1 ) 14 - 30 Net current period other comprehensive income (loss) (600 ) 44 (103 ) 74 (585 ) December 31, 2016 $ (1,101 ) $ 9 $ (455 ) $ (305 ) $ (1,852 ) The following table provides details about reclassifications out of accumulated other comprehensive income (loss) for 2016: Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement of Income Losses on available-for-sale marketable securities $ 17 Financial income, net - Provision for income taxes 17 Total, net of income taxes Gains on cash flow hedges (1 ) Research and development - Sales and marketing - General and administrative (1 ) Total, before income taxes - Provision for income taxes (1 ) Total, net of income taxes Losses on components of defined benefit plans 7 Research and development 7 Sales and marketing 14 Total, before income taxes - Provision for income taxes 14 Total, net of income taxes Total reclassifications for the period 30 Total, net of income taxes |
Treasury Stock [Policy Text Block] | Treasury stock at cost The Company repurchases its common stock from time to time on the open market or in other transactions and holds such shares as treasury stock. The Company presents the cost to repurchase treasury stock as a reduction of stockholders’ equity. From time to time, the Company reissues treasury stock under its employee stock purchase plan and equity incentive plans, upon purchases or exercises of equity awards under the plans. When treasury stock is reissued, the Company accounts for the re-issuance in accordance with ASC No. 505 30, |
Cost Method Investments, Policy [Policy Text Block] | Investment in other company: Investment in other company is stated at cost. The Company followed ASC 323, The Company’s investment in other company is reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such investment may 325 20. December 31, 2014, December 31, 2015, $400 9). During the third 2016, 86% 100%. $500 9). |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Guidance: 1. In May 2014, 2014 09, 2014 09 Step 1: Step 2: Step 3: Step 4: Step 5: The guidance permits two (1) (2) The new standard will be effective for the Company beginning on January 1, 2018, January 1, 2017 January 1, 2018. The Company is still in the process of completing its assessment on the impact this guidance will have on its consolidated financial statements and related disclosures. The Company expects to complete its assessment process during 2017. In September 2015, 2015 16, 2015 16 2015 16, 2015 16 December 15, 2015, 2. In February 2016, 2016 02, December 15, 2018, 3. In August 2016, 2016 15 December 15, 2017 4. In March 2016, 2016 09, January 1, 2017. 5. In January 2017, 2017 04, 2 zero 2 December 15, 2019. January 1, 2017. 6. The FASB issued ASU 2016 13 December 15, 2019 December 15, 2018. first |
Supplemental Cash Flow Inform29
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block] | Working capital, excluding cash and cash equivalents $ (386 ) Property and equipment 4 Distribution agreement 2,086 Deferred tax liability (377 ) Goodwill 967 2,294 The acquisition date fair value of the Company's previously held equity interest in the private company in Asia (1,800 ) $ 494 |
Note 1 - General (Tables)
Note 1 - General (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | Year ended December 31, Major Customers/ Distributors 2016 2015 2014 VTech Holdings Ltd. 29% 31% 35% Shenzhen Guo Wei Electronics Ltd. 9% 12% 8% Tomen Electronics Corporation ¹ ² 12% 16% 20% Ascend Technology Inc. ¹ ³ 16% 15% 10% Samsung Electronics Ltd. 12% - - |
Note 2 - Significant Accounti31
Note 2 - Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Useful Life of Property and Equipment [Table Text Block] | % Computers and equipment 20 - 33 Office furniture and equipment 6 - 15 Leasehold improvements ”see below” |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | Fair value of Derivative assets December 31, (liabilities) Balance sheet location 2016 2015 Foreign exchange forward contracts and put and call options Other accounts receivable and prepaid expenses (Accrued expenses and other accounts payable) $ 9 $ (36 ) Total $ 9 $ (36 ) |
Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) [Table Text Block] | Gains (losses) on derivatives Year ended December 31, 2016 2015 2014 Foreign exchange forward contracts and put and call options $ 45 $ (38 ) $ (1,180 ) |
Derivative Instruments, Gain (Loss) [Table Text Block] | Gains (losses) on derivatives reclassified Year ended December 31, Location 2016 2015 2014 Foreign exchange forward contracts and put and call options Operating expenses $ 1 $ (621 ) $ (562 ) |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Unrealized gains (losses) on available- for-sale marketable securities Unrealized gains (losses) on Cash Flow Hedges Unrealized gains (losses) on components of defined benefit plans Unrealized gains (losses) on foreign currency translation Total January 1, 2016 $ (501 ) $ (35 ) $ (352 ) $ (379 ) $ (1,267 ) Other comprehensive income (loss) before reclassifications (617 ) 45 (117 ) 74 (615 ) Amounts reclassified from accumulated other comprehensive income (loss) 17 (1 ) 14 - 30 Net current period other comprehensive income (loss) (600 ) 44 (103 ) 74 (585 ) December 31, 2016 $ (1,101 ) $ 9 $ (455 ) $ (305 ) $ (1,852 ) |
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement of Income Losses on available-for-sale marketable securities $ 17 Financial income, net - Provision for income taxes 17 Total, net of income taxes Gains on cash flow hedges (1 ) Research and development - Sales and marketing - General and administrative (1 ) Total, before income taxes - Provision for income taxes (1 ) Total, net of income taxes Losses on components of defined benefit plans 7 Research and development 7 Sales and marketing 14 Total, before income taxes - Provision for income taxes 14 Total, net of income taxes Total reclassifications for the period 30 Total, net of income taxes |
Note 3 - Marketable Securitie32
Note 3 - Marketable Securities and Time Deposits (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Available-for-sale Securities [Table Text Block] | Amortized cost Unrealized gains (losses), net Fair value 2016 2015 2016 2015 2016 2015 Short -term deposit $ 7,610 $ 5,568 $ - $ - $ 7,610 $ 5,568 U.S. GSE securities 24,351 23,645 (289 ) (114 ) 24,062 23,531 Corporate obligations 76,264 79,072 (813 ) (387 ) 75,451 78,685 $ 108,225 $ 108,285 $ (1,102 ) $ (501 ) $ 107,123 $ 107,784 |
Investments Classified by Contractual Maturity Date [Table Text Block] | Amortized Unrealized gains (losses) Fair cost Gains Losses value Due in one year or less $ 21,491 $ 6 $ (76 ) $ 21,421 Due after one year to five years 79,124 44 (1,076 ) 78,092 $ 100,615 $ 50 $ (1,152 ) $ 99,513 Amortized Unrealized gains (losses) Fair cost Gains Losses value Due in one year or less $ 12,500 $ 8 $ (7 ) $ 12,501 Due after one year to six years 90,217 25 (527 ) 89,715 $ 102,717 $ 33 $ (534 ) $ 102,216 |
Note 4 - Other Accounts Recei33
Note 4 - Other Accounts Receivable and Prepaid Expenses (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Other Accounts Receivable [Table Text Block] | December 31, 2016 2015 Prepaid expenses $ 1,262 $ 2,054 Tax and governmental receivables 606 956 Deposits 304 260 Others 159 49 $ 2,331 $ 3,319 |
Note 5 - Inventories (Tables)
Note 5 - Inventories (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | December 31, 2016 2015 Work-in-progress $ 5,784 $ 6,384 Finished products 3,964 5,069 $ 9,748 $ 11,453 |
Note 6 - Property and Equipme35
Note 6 - Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | December 31, 2016 2015 Cost: Computers and equipment $ 20,636 $ 19,735 Office furniture and equipment 1,537 1,469 Leasehold improvements 5,004 4,728 27,177 25,932 Less - accumulated depreciation 23,047 22,168 Depreciated cost $ 4,130 $ 3,764 |
Note 7 - Intangible Assets, N36
Note 7 - Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | Useful life December 31, (years) 2016 2015 Cost: Current technology 4.2 - 5.3 $ 77,080 $ 77,080 Customer relations 7.3 23,477 23,477 Technology (completion of the development of in-process R&D) 6 7,702 7,702 Distribution agreement 5 2,086 - Non-competition agreement 3 519 519 110,864 108,778 Accumulated amortization: Current technology 48,263 48,263 Customer relations 13,407 13,407 Technology (completion of the development of in-process R&D) 5,134 3,851 Distribution agreement 174 - Non-competition agreement 519 519 67,497 66,040 Impairment: Current technology 28,817 28,817 Customer relations 10,070 10,070 38,887 38,887 Amortized cost $ 4,480 $ 3,851 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Year ending December 31, 2017 $ 1,701 2018 1,701 2019 417 2020 417 2021 244 $ 4,480 |
Note 8 - Fair Value Measureme37
Note 8 - Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Balance as of Fair value measurements Description December 31, 2016 Level 1 Level 2 Level 3 Assets Cash equivalents Money market mutual funds $ 1,370 $ 1,370 - - Short-term marketable securities and time deposits U.S. GSE securities $ 376 - $ 376 - Corporate debt securities $ 21,045 - $ 21,045 - Long-term marketable securities U.S. GSE securities $ 23,686 - $ 23,686 - Corporate debt securities $ 54,406 - $ 54,406 - Derivative assets $ 9 - $ 9 - Balance as of Fair value measurements Description December 31, 2015 Level 1 Level 2 Level 3 Assets Cash equivalents Money market mutual funds $ 1,089 $ 1,089 - - Short-term marketable securities and time deposits U.S. GSE securities - - Corporate debt securities $ 12,501 - $ 12,501 - Long-term marketable securities U.S. GSE securities $ 23,531 - $ 23,531 - Corporate debt securities $ 66,184 - $ 66,184 - Derivative liabilities $ (36 ) - $ (36 ) - |
Note 9 - Investment in Other 38
Note 9 - Investment in Other Company (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | Working capital $ (380 ) Property and equipment 4 Distribution agreement 2,086 Deferred tax liability (377 ) Goodwill 967 $ 2,300 |
Note 10 - Accrued Expenses an39
Note 10 - Accrued Expenses and Other Accounts Payable (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Accounts Payable and Accrued Liabilities [Table Text Block] | December 31, 2016 2015 Accrued expenses (1) $ 1,385 $ 2,937 Derivative instruments - 36 Legal, accounting and investors relation accrual 537 615 Royalties and commission 1,128 488 Governmental payables 421 212 Others (1) 85 738 $ 3,556 $ 5,026 |
Note 11 - Accrued Pension Lia40
Note 11 - Accrued Pension Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan [Table Text Block] | December 31, 2016 201 5 Accumulated benefit obligation $ 792 $ 729 Change in benefit obligation Benefit obligation at beginning of year $ 738 $ 997 Service cost 4 5 Interest cost 17 17 Benefits paid from the plan (55 ) (96 ) Actuarial (gain) loss 121 (62 ) Exchange rates and others (22 ) (123 ) Benefit obligation at end of year $ 803 $ 738 Change in plan assets Fair value of plan assets at beginning of year 54 116 Actual return on plan assets 3 5 Benefits paid from the plan (58 ) (56 ) Exchange rates 1 (11 ) Fair value of plan assets at end of year $ - $ 54 |
Schedule of Assumptions Used [Table Text Block] | Year ended December 31, 2016 201 5 201 4 Weighted-average assumptions Discount rate 1.7% 2.5% 2.1% Expected return on plan assets 4.59% 4.28% 2.86% Rate of compensation increase 2.5% 2.5% 2.5% |
Schedule of Net Benefit Costs [Table Text Block] | December 31, 2016 201 2014 Components of net periodic benefit cost Service cost $ 4 $ 5 $ 5 Interest cost 17 17 29 Expected return on plan assets (3 ) (5 ) (6 ) Amortization of net loss 15 20 11 Net periodic benefit cost $ 33 $ 37 $ 39 |
Schedule of Amounts Recognized in Balance Sheet [Table Text Block] | December 31, 2016 201 5 Net amounts recognized in the consolidated balance sheets as of December 31, 2016 and 2015 consist of: Current liabilities $ - $ - Noncurrent liabilities 803 684 Net amounts recognized in the consolidated balance sheets $ 803 $ 684 Net amounts recognized in accumulated other comprehensive income as of December 31, 2016 and 2015 consist of: Net actuarial loss $ (454 ) $ (351 ) Net amounts recognized in accumulated other comprehensive loss $ (454 ) $ (351 ) |
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block] | 2017 Net actuarial loss and other $ 20 |
Schedule of Expected Benefit Payments [Table Text Block] | Year ending December 31, 2017 $ 20 2018 $ 8 2019 $ 8 2020 $ 9 2021 $ 27 2022 - 2026 $ 84 |
Note 12 - Financial Income, N41
Note 12 - Financial Income, Net (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Other Nonoperating Income (Expense) [Table Text Block] | Year ended December 31, 2016 2015 2014 Foreign exchange gains $ 14 $ 19 $ 27 Interest income from marketable securities and deposits, net of amortization of premium on marketable securities 1,534 1,391 1,391 Realized gains on marketable securities 16 3 73 Financial income 1,564 1,413 1,491 Realized losses on marketable securities 33 27 12 Foreign exchange losses 132 58 113 Interest expenses 16 12 24 Other 156 141 138 Financial expense 337 238 287 Financial income, net $ 1,227 $ 1,175 $ 1,204 |
Note 13 - Stockholders' Equity
Note 13 - Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Equity Based Awards Available for Future Issuance [Table Text Block] | ESPP 942,000 Equity awards 652,000 Undesignated preferred stock 5,000,000 6,594,000 |
Schedule of Share-based Compensation, Activity [Table Text Block] | Year ended December 31, 2016 2015 2014 Amount of options/ SARs/RSUs Weighted average exercise price Aggregate intrinsic value (4) Amount of options/ SARs/RSUs Weighted average exercise price Aggregate intrinsic value (4) Amount of options/ SARs/RSUs Weighted average exercise price Aggregate intrinsic value (4) in thousands in thousands in thousands Options outstanding at beginning of year 3,740 $ 6.22 $ - 4,644 $ 6.52 $ - 6,537 $ 8.68 $ - Changes during the year: Options granted 64 $ 9.44 $ - 179 $ 11.2 $ - 232 $ 9.15 $ - RSUs granted 573 $ - $ - 405 $ - $ - 337 $ - $ - Exercised (4) (1,905 ) $ 5.55 $ 10,344 (1,403 ) $ 5.68 $ 7,302 (1,715 ) $ 7.92 $ 3,537 Forfeited and cancelled (320 ) $ 7.16 $ - (85 ) $ 12.21 $ - (747 ) $ 20.11 $ - Options/SARs/RSUs outstanding at end of year (1,2,4) 2,152 $ 5.12 $ 17,347 3,740 $ 6.22 $ 13,364 4,644 $ 6.52 $ 21,409 Options/SARs/RSUs exercisable at end of year (1,3,4) 1,132 $ 8.27 $ 5,703 2,552 $ 7.47 $ 6,031 3,106 $ 7.73 $ 10,941 |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | Range of exercise price Outstanding Remaining contractual life (years) ( 1 ) Weighted average exercise price Exercisable Remaining contractual life (years) Weighted average exercise price $ thousands $ thousands $ 0 (RSUs) 851 - - - - - 5.21 - 7.26 347 3.57 6.12 339 3.58 6.11 7.49 - 9.71 722 3.36 8.18 625 2.80 8.03 10.87 - 15.79 202 4.99 11.60 138 4.92 11.70 21.07 - 25.06 30 0.00 21.70 30 0.00 21.70 2,152 3.59 5.12 1,132 3.22 8.27 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | Year ended December 31, 2016 2015 2014 Volatility 46.02% 49.04% 43.14% Risk-free interest rate 2.29% 1.96% 1.85% Dividend yield 0% 0% 0% Pre-vest cancellation rate *) 1.87% 3.95% 4.17% Post-vest cancellation rate **) 3.44% 3.86% 4.09% Suboptimal exercise factor ***) 1.69 1.46 1.61 Expected life ( 5.50 4.43 3.27 |
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | Non-vested Units Weighted average grant date fair value (In thousands) $ Non-vested at January 1, 2016 1,188 6.90 Granted 637 7.89 Vested (694 ) 6.59 Forfeited (112 ) 7.29 Non-vested at December 31, 2016 1,019 7.69 |
Note 14 - Commitments and Con43
Note 14 - Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Year ended December 31, 2017 $ 2,689 2018 2,202 2019 502 $ 5,393 |
Note 15 - Taxes on Income (Tabl
Note 15 - Taxes on Income (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | Year ended December 31, 2016 2015 2014 Domestic taxes Federal taxes: Current $ - $ - $ - State taxes: Current 3 2 2 Foreign taxes: Current (1) 264 1,081 (1,673 ) Deferred (2) 327 (756 ) (1,170 ) 591 325 (2,843 ) Tax expenses (income) tax benefit 594 $ 327 $ (2,841 ) |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | Year ended December 31, 2016 2015 2014 Domestic $ (2,188 ) $ (909 ) $ (3,497 ) Foreign 7,595 2,798 4,258 $ 5,407 $ 1,889 $ 761 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Year ended December 31, 2016 2015 2014 Income (loss) before taxes on income $ 5,407 $ 1,889 $ 761 Theoretical tax at U.S. statutory tax rate (35%) $ 1,892 $ 661 $ 266 State taxes, net of federal benefit 3 2 2 Foreign income taxed at rates other than the U.S. rate (including deferred taxes that were not provided, valuation allowance and current adjustment and interest on uncertain tax position liability) (2,580 ) (2,209 ) (5,974 ) Nondeductible equity-based compensation expenses 695 1,782 1,876 Valuation allowance in U.S. 583 91 989 Other 1 - - $ 594 $ 327 $ (2,841 ) |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | December 31, 2016 2015 Reserves and accruals $ 1,322 $ 1,823 Equity-based compensation 846 462 Intangible assets 688 805 Carryforward tax losses 5,770 5,798 (1) Total deferred tax assets (long-term) 8,626 8,888 Valuation allowance (7,708 ) (7,577 ) Total $ 918 $ 1,311 Total deferred tax assets $ 918 $ 1,311 Deferred tax liabilities, net (Long term): Acquired intangible assets 987 963 Acquired carryforward tax losses (200 ) (487 ) Total deferred tax liabilities, net $ 787 $ 476 |
Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block] | 2016 2015 Gross unrecognized tax benefits at January 1 $ 1,711 $ 1,031 Increases (decreases) in tax positions for previous years (1) (918 ) 177 Increases in tax positions for current year 396 533 Change in interest and linkage related to tax positions (166 ) (30 ) Gross unrecognized tax benefits at December 31 $ 1,023 $ 1,711 |
Note 16 - Basic and Diluted L45
Note 16 - Basic and Diluted Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Year ended December 31, 2016 2015 2014 Numerator: Net income $ 4,813 $ 1,562 $ 3,602 Denominator: Weighted average number of shares of common stock outstanding during the year used to compute basic net earnings per share (in thousands) 21,800 21,924 21,968 Incremental shares attributable to exercise of outstanding options, SARs and RSUs (assuming proceeds would be used to purchase treasury stock) (in thousands) 1,087 1,416 986 Weighted average number of shares of common stock used to compute diluted net earnings per share (in thousands) 22,887 23,340 22,954 Basic net earnings per share $ 0.22 $ 0.07 $ 0.16 Diluted net earnings per share $ 0.21 $ 0.07 $ 0.16 |
Note 17 - Segment Information (
Note 17 - Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Year ended December 31 Revenues Income (loss) from operations 2016 2015 2014 2016 2015 2014 Home $ 95,388 $ 121,714 $ 128,690 $ 17,715 $ 24,815 $ 23,438 Office $ 26,590 $ 22,216 $ 14,276 $ (2,961 ) $ (4,861 ) $ (2,805 ) Mobile $ 15,891 $ 341 $ 70 $ (5,190 ) $ (10,308 ) $ (11,983 ) Total $ 137,869 $ 144,271 $ 143,036 $ 9,564 $ 9,646 $ 8,650 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | Year ended December 31, 2016 2015 2014 Income from operations $ 9,564 $ 9,646 $ 8,650 Unallocated corporate, general and administrative expenses * (1,388 ) (2,156 ) (2,161 ) Other income 2,549 - - Equity-based compensation expenses (5,088 ) (5,092 ) (5,359 ) Intangible assets amortization expenses (1,457 ) (1,284 ) (1,573 ) Write–off of expired option related to investment in other company - (400 ) - Financial income, net 1,227 1,175 1,204 Total consolidated income before taxes $ 5,407 $ 1,889 $ 761 |
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area [Table Text Block] | Year ended December 31, 2016 2015 2014 Revenue distribution Hong-Kong $ 56,768 $ 72,608 $ 79,622 Japan 18,440 26,114 31,261 Europe 9,703 8,464 6,787 United States 4,696 3,944 4,702 China 10,244 10,359 6,568 Taiwan 16,428 16,902 9,077 South Korea 17,503 1,913 1,308 Other 4,087 3,967 3,711 $ 137,869 $ 144,271 $ 143,036 |
Schedule of Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country [Table Text Block] | December 31, 2016 2015 Long-lived assets Europe $ 216 $ 259 Israel 2,652 2,989 Other 1,262 516 $ 4,130 $ 3,764 |
Schedule II - Valuation and Q47
Schedule II - Valuation and Qualifying Accounts (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Notes Tables | |
Valuation Allowances and Reserves [Table Text Block] | Description Balance at Beginning of Period Charged to (deducted from) Costs and Expenses Balance at End of Period Year ended December 31, 2014: Allowance for doubtful accounts Sales returns reserve - - - Year ended December 31, 2015: Allowance for doubtful accounts Sales returns reserve - - - Year ended December 31, 2016: Allowance for doubtful accounts Sales returns reserve - - - |
Supplemental Cash Flow Inform48
Supplemental Cash Flow Information (Details Textual) - Private Company in Asia [Member] | Sep. 30, 2016 |
Business Acquisition, Percentage of Voting Interests Acquired | 86.00% |
Business Combination, Step Acquisition, Equity Interest in Acquiree, Including Subsequent Acquisition, Percentage | 100.00% |
Supplemental Cash Flow Inform49
Supplemental Cash Flow Information - Value of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Goodwill | $ 6,243 | $ 5,276 | |||
[1] | 494 | ||||
Private Company in Asia [Member] | |||||
Working capital, excluding cash and cash equivalents | $ (386) | ||||
Property and equipment | 4 | 4 | |||
Distribution agreement | 2,086 | 2,086 | |||
Deferred tax liability | (377) | (377) | |||
Goodwill | 967 | $ 967 | |||
2,294 | |||||
The acquisition date fair value of the Company's previously held equity interest in the private company in Asia | (1,800) | ||||
$ 494 | |||||
[1] | During the third quarter of 2016, the Company acquired the remaining 86% of the equity of a private company in Asia that it previously invested in, bringing its holding in such company to 100%. The net fair value of the assets acquired and the liabilities assumed, on the date of acquisition, was as follows: |
Note 1 - General (Details Textu
Note 1 - General (Details Textual) - Customer Concentration Risk [Member] - Sales Revenue, Net [Member] | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Panasonic Communications Corporation [Member] | ||||
Concentration Risk, Percentage | 10.00% | 13.00% | 15.00% | |
Ascend Technology Inc [Member] | ||||
Concentration Risk, Percentage | [1],[2] | 16.00% | 15.00% | 10.00% |
[1] | Ascend Technology sells the Company's products to a limited number of customers; however none of those customers accounted for more than 10% of the Company's total revenues for 2016, 2015 and 2014. | |||
[2] | Distributor |
Note 1 - General - Sales as Per
Note 1 - General - Sales as Percentage of the Company's Total Revenue by Major Customers (Details) - Customer Concentration Risk [Member] - Sales Revenue, Net [Member] | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
VTech Holdings Ltd [Member] | ||||
Major Customers/ Distributors | 29.00% | 31.00% | 35.00% | |
Guo Wei Electronics [Member] | ||||
Major Customers/ Distributors | 9.00% | 12.00% | 8.00% | |
Tomen Electronics Corporation [Member] | ||||
Major Customers/ Distributors | [1],[2] | 12.00% | 16.00% | 20.00% |
Ascend Technology Inc [Member] | ||||
Major Customers/ Distributors | [1],[3] | 16.00% | 15.00% | 10.00% |
Samsung Mobile [Member] | ||||
Major Customers/ Distributors | 12.00% | |||
[1] | Distributor | |||
[2] | Tomen Electronics sells the Company's products to a limited number of customers. One customer, Panasonic Communications Co., Ltd. ("Panasonic")has continually accounted for a majority of the sales of Tomen Electronics. Sales to Panasonic through Tomen Electronics generated approximately 10%, 13% and 15% of the Company's total revenues for 2016, 2015 and 2014, respectively. | |||
[3] | Ascend Technology sells the Company's products to a limited number of customers; however none of those customers accounted for more than 10% of the Company's total revenues for 2016, 2015 and 2014. |
Note 2 - Significant Accounti52
Note 2 - Significant Accounting Policies (Details Textual) | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2016USD ($) | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($)shares | |
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | $ 305,000 | $ 379,000 | ||
Inventory, Net | 9,748,000 | 11,453,000 | $ 15,635,000 | |
Inventory Valuation Reserves | 571,000 | 670,000 | 505,000 | |
Goodwill, Impairment Loss | 0 | 0 | 0 | |
Capitalized Computer Software, Additions | 0 | 1,086,000 | 128,000 | |
Severance Costs | $ 1,582,000 | 1,498,000 | 1,568,000 | |
Product Warranty Term | 1 year | |||
Financial Grants in Support of Research and Development | $ 2,687,000 | $ 2,738,000 | $ 3,002,000 | |
Share-based Compensation Arrangement by Share-based Payment Award Number of Equity Incentive Plans | 2 | |||
Share-based Compensation Arrangement by Share-based Payment Award Number of Expired Equity Incentive Plans | 3 | |||
Share-based Compensation Employee Stock Purchase Plan, Number of Plans | 1 | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | shares | 334,833 | 403,632 | 1,811,687 | |
Available-for-sale Securities, Amortized Cost Basis | $ 108,225,000 | $ 108,285,000 | ||
Available-for-sale Securities | 107,123,000 | 107,784,000 | ||
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | 1,152,000 | 534,000 | ||
Write-off of Expired Option Related to Equity Method Investment | 400,000 | |||
Impairment of Long-Lived Assets Held-for-use | 0 | 0 | 0 | |
Private Company in Asia [Member] | ||||
Business Acquisition, Percentage of Voting Interests Acquired | 86.00% | |||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Including Subsequent Acquisition, Percentage | 100.00% | |||
Payments to Acquire Businesses, Gross | $ 500,000 | |||
Foreign Exchange Option [Member] | ||||
Price Risk Cash Flow Hedge Asset, at Fair Value | 6,000,000 | 12,850,000 | $ 16,575,000 | |
Foreign Exchange Forward Contracts and Put Options [Member] | ||||
Price Risk Cash Flow Hedge Asset, at Fair Value | 1,800,000 | |||
Debt Securities [Member] | ||||
Available-for-sale Securities, Amortized Cost Basis | 100,615,000 | 102,717,000 | ||
Available-for-sale Securities | 99,513,000 | $ 102,216,000 | ||
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | $ 1,102,000 | |||
Minimum [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 3 years | |||
Derivative Instrument Hedging Period | 30 days | |||
Maximum [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 7 years 109 days | |||
Derivative Instrument Hedging Period | 1 year | |||
Computer Software, Intangible Asset [Member] | ||||
Finite-Lived Intangible Asset, Useful Life | 3 years |
Note 2 - Significant Accounti53
Note 2 - Significant Accounting Policies - Property and Equipment Depreciation Rates (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Computer Equipment [Member] | Minimum [Member] | |
Computers and equipment | 20.00% |
Computer Equipment [Member] | Maximum [Member] | |
Computers and equipment | 33.00% |
Office Furniture and Equipment [Member] | Minimum [Member] | |
Computers and equipment | 6.00% |
Office Furniture and Equipment [Member] | Maximum [Member] | |
Computers and equipment | 15.00% |
Note 2 - Significant Accounti54
Note 2 - Significant Accounting Policies - Fair Value of the Outstanding Derivative Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair value of derivative instruments | $ 9 | $ (36) |
Foreign Exchange Forward Contracts and Put Options [Member] | Prepaid Expenses and Other Current Assets [Member] | ||
Fair value of derivative instruments | $ 9 | $ (36) |
Note 2 - Significant Accounti55
Note 2 - Significant Accounting Policies - Effect of Derivative Instruments in Cash Flow Hedging Transactions on Income and Other Comprehensive Income Gains (Losses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Foreign Exchange Contract [Member] | |||
Foreign exchange forward contracts and put and call options | $ 45 | $ (38) | $ (1,180) |
Note 2 - Significant Accounti56
Note 2 - Significant Accounting Policies - Gains (Losses) on Derivatives Reclassified from OCI to Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Foreign exchange forward contracts and put and call options | $ 1 | $ (621) | $ (562) |
Note 2 - Significant Accounti57
Note 2 - Significant Accounting Policies - Changes in Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Balance | $ (1,267) | ||
Other comprehensive income (loss) before reclassifications | (615) | ||
Amounts reclassified from accumulated other comprehensive income (loss) | 30 | ||
Other comprehensive income (loss) | (585) | $ 299 | $ (745) |
Balance | (1,852) | (1,267) | |
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | |||
Balance | (501) | ||
Other comprehensive income (loss) before reclassifications | (617) | ||
Amounts reclassified from accumulated other comprehensive income (loss) | 17 | ||
Other comprehensive income (loss) | (600) | ||
Balance | (1,101) | (501) | |
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | |||
Balance | (35) | ||
Other comprehensive income (loss) before reclassifications | 45 | ||
Amounts reclassified from accumulated other comprehensive income (loss) | (1) | ||
Other comprehensive income (loss) | 44 | ||
Balance | 9 | (35) | |
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | |||
Balance | (352) | ||
Other comprehensive income (loss) before reclassifications | (117) | ||
Amounts reclassified from accumulated other comprehensive income (loss) | 14 | ||
Other comprehensive income (loss) | (103) | ||
Balance | (455) | (352) | |
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | |||
Balance | (379) | ||
Other comprehensive income (loss) before reclassifications | 74 | ||
Amounts reclassified from accumulated other comprehensive income (loss) | |||
Other comprehensive income (loss) | 74 | ||
Balance | $ (305) | $ (379) |
Note 2 - Significant Accounti58
Note 2 - Significant Accounting Policies - Reclassifications Out of Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Losses on available-for-sale marketable securities | $ 1,227 | $ 1,175 | $ 1,204 | |
Net income | 4,813 | 1,562 | 3,602 | |
Research and development | [1] | 34,885 | 35,483 | 33,468 |
Sales and marketing | [2] | 13,867 | 12,103 | 11,905 |
General and administrative | [3] | 9,006 | 9,876 | 10,541 |
Research and development | [1] | 34,885 | 35,483 | 33,468 |
Sales and marketing | [2] | 13,867 | $ 12,103 | $ 11,905 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Net income | 30,000 | |||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | ||||
Losses on available-for-sale marketable securities | 17,000 | |||
Net income | 17,000 | |||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | ||||
Net income | (1,000) | |||
Research and development | (1,000) | |||
Sales and marketing | ||||
General and administrative | ||||
Research and development | (1,000) | |||
Sales and marketing | ||||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | ||||
Net income | 14,000 | |||
Research and development | 7,000 | |||
Sales and marketing | 7,000 | |||
General and administrative | 14,000 | |||
Research and development | 7,000 | |||
Sales and marketing | $ 7,000 | |||
[1] | Includes equity-based compensation expense in the amount of $2,205, $2,201and $2,381 for the years ended December 31, 2016, 2015 and 2014, respectively. | |||
[2] | Includes equity-based compensation expense in the amount of $806, $641 and $621 for the years ended December 31, 2016, 2015 and 2014, respectively. | |||
[3] | Includes equity-based compensation expense in the amount of $1,749, $1,950 and $2,057 for the years ended December 31, 2016, 2015 and 2014, respectively. |
Note 3 - Marketable Securitie59
Note 3 - Marketable Securities and Time Deposits (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | $ 80,819 | $ 84,095 | |
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax | 1,152 | 534 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 85 | 70 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 1,067 | 464 | |
Proceeds from Maturities, Prepayments and Calls of Available-for-sale Securities | 35,090 | 20,127 | $ 23,250 |
Proceeds from Sale of Available-for-sale Securities | 14,277 | 13,238 | 46,491 |
Available-for-sale Securities, Gross Realized Gains | 16 | 3 | 73 |
Available-for-sale Securities, Gross Realized Losses | $ 33 | $ 27 | $ 12 |
Note 3 - Marketable Securitie60
Note 3 - Marketable Securities and Time Deposits - Marketable Securities and Time Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Available-for-sale Securities, Amortized Cost Basis | $ 108,225 | $ 108,285 |
Marketable securities and time deposits, unrealized gains (losses), net | (1,102) | (501) |
Available-for-sale Securities | 107,123 | 107,784 |
Short-term Deposits [Member] | ||
Available-for-sale Securities, Amortized Cost Basis | 7,610 | 5,568 |
Marketable securities and time deposits, unrealized gains (losses), net | ||
Available-for-sale Securities | 7,610 | 5,568 |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Available-for-sale Securities, Amortized Cost Basis | 24,351 | 23,645 |
Marketable securities and time deposits, unrealized gains (losses), net | (289) | (114) |
Available-for-sale Securities | 24,062 | 23,531 |
Corporate Debt Securities [Member] | ||
Available-for-sale Securities, Amortized Cost Basis | 76,264 | 79,072 |
Marketable securities and time deposits, unrealized gains (losses), net | (813) | (387) |
Available-for-sale Securities | $ 75,451 | $ 78,685 |
Note 3 - Marketable Securitie61
Note 3 - Marketable Securities and Time Deposits - Marketable Debt Securities by Contractual Maturities (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 |
Marketable debt securities, amortized cost | $ 108,225,000 | $ 108,285,000 |
Marketable debt securities, estimated fair value | 107,123,000 | 107,784,000 |
Debt Securities [Member] | ||
Marketable debt securities, amortized cost | 100,615,000 | 102,717,000 |
Marketable debt securities, unrealized gains | 50,000 | 33,000 |
Marketable debt securities, unrealized losses | (1,152,000) | (534,000) |
Marketable debt securities, estimated fair value | 99,513,000 | 102,216,000 |
Debt Securities [Member] | Due in One Year or Less [Member] | ||
Marketable debt securities, amortized cost | 21,491,000 | 12,500,000 |
Marketable debt securities, unrealized gains | 6,000 | 8,000 |
Marketable debt securities, unrealized losses | (76,000) | (7,000) |
Marketable debt securities, estimated fair value | 21,421,000 | 12,501,000 |
Debt Securities [Member] | Due after One Year to Five Years [Member] | ||
Marketable debt securities, amortized cost | 79,124,000 | 90,217,000 |
Marketable debt securities, unrealized gains | 44,000 | 25,000 |
Marketable debt securities, unrealized losses | (1,076,000) | (527,000) |
Marketable debt securities, estimated fair value | $ 78,092,000 | $ 89,715,000 |
Note 4 - Other Accounts Recei62
Note 4 - Other Accounts Receivable and Prepaid Expenses - Other Accounts Receivable and Prepaid Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Prepaid expenses | $ 1,262 | $ 2,054 |
Tax and governmental receivables | 606 | 956 |
Deposits | 304 | 260 |
Others | 159 | 49 |
$ 2,331 | $ 3,319 |
Note 5 - Inventories (Details T
Note 5 - Inventories (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Inventory Write-down | $ 151 | $ 361 |
Note 5 - Inventories - Componen
Note 5 - Inventories - Components of Inventories (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Work-in-progress | $ 5,784,000 | $ 6,384,000 | |
Finished products | 3,964,000 | 5,069,000 | |
$ 9,748,000 | $ 11,453,000 | $ 15,635,000 |
Note 6 - Property and Equipme65
Note 6 - Property and Equipment, Net (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment, Disposals | $ 953 | ||
Gain (Loss) on Disposition of Property Plant Equipment, Excluding Oil and Gas Property and Timber Property | (10) | ||
Depreciation, Depletion and Amortization, Nonproduction | $ 1,704 | $ 1,356 | $ 1,290 |
Note 6 - Property and Equipme66
Note 6 - Property and Equipment, Net - Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Property and equipment | $ 27,177 | $ 25,932 |
Less - accumulated depreciation | 23,047 | 22,168 |
Depreciated cost | 4,130 | 3,764 |
Computer Equipment [Member] | ||
Property and equipment | 20,636 | 19,735 |
Office Furniture and Equipment [Member] | ||
Property and equipment | 1,537 | 1,469 |
Leasehold Improvements [Member] | ||
Property and equipment | $ 5,004 | $ 4,728 |
Note 7 - Intangible Assets, N67
Note 7 - Intangible Assets, Net (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Amortization of Intangible Assets | $ 1,457 | $ 1,284 | $ 1,573 |
Note 7 - Intangible Assets, N68
Note 7 - Intangible Assets, Net - Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Intangible assets, cost | $ 110,864 | $ 108,778 |
Intangible assets, accumulated amortization | 67,497 | 66,040 |
Inangible assets, impairment | 38,887 | 38,887 |
Inangible assets, amortized cost | $ 4,480 | 3,851 |
Minimum [Member] | ||
Intangible assets, useful life (Year) | 3 years | |
Maximum [Member] | ||
Intangible assets, useful life (Year) | 7 years 109 days | |
Technology-Based Intangible Assets [Member] | ||
Intangible assets, cost | $ 77,080 | 77,080 |
Intangible assets, accumulated amortization | 48,263 | 48,263 |
Inangible assets, impairment | $ 28,817 | 28,817 |
Technology-Based Intangible Assets [Member] | Minimum [Member] | ||
Intangible assets, useful life (Year) | 4 years 73 days | |
Technology-Based Intangible Assets [Member] | Maximum [Member] | ||
Intangible assets, useful life (Year) | 5 years 109 days | |
Customer Relationships [Member] | ||
Intangible assets, useful life (Year) | 7 years 109 days | |
Intangible assets, cost | $ 23,477 | 23,477 |
Intangible assets, accumulated amortization | 13,407 | 13,407 |
Inangible assets, impairment | $ 10,070 | 10,070 |
In Process Research and Development [Member] | ||
Intangible assets, useful life (Year) | 6 years | |
Intangible assets, cost | $ 7,702 | 7,702 |
Intangible assets, accumulated amortization | $ 5,134 | 3,851 |
Distribution Rights [Member] | ||
Intangible assets, useful life (Year) | 5 years | |
Intangible assets, cost | $ 2,086 | |
Intangible assets, accumulated amortization | $ 174 | |
Noncompete Agreements [Member] | ||
Intangible assets, useful life (Year) | 3 years | |
Intangible assets, cost | $ 519 | 519 |
Intangible assets, accumulated amortization | $ 519 | $ 519 |
Note 7 - Intangible Assets, N69
Note 7 - Intangible Assets, Net - Estimated Amortization Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
2,017 | $ 1,701 | |
2,018 | 1,701 | |
2,019 | 417 | |
2,020 | 417 | |
2,021 | 244 | |
$ 4,480 | $ 3,851 |
Note 8 - Fair Value Measureme70
Note 8 - Fair Value Measurements - Fair Value Measurements of Assets and Liabilities on Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Derivative Financial Instruments, Liabilities [Member] | ||
Derivative liabilities | $ (36) | |
Fair Value, Inputs, Level 1 [Member] | Derivative Financial Instruments, Liabilities [Member] | ||
Derivative liabilities | ||
Fair Value, Inputs, Level 2 [Member] | Derivative Financial Instruments, Liabilities [Member] | ||
Derivative liabilities | (36) | |
Fair Value, Inputs, Level 3 [Member] | Derivative Financial Instruments, Liabilities [Member] | ||
Derivative liabilities | ||
Money Market Funds [Member] | ||
Money market mutual funds | $ 1,370 | 1,089 |
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Money market mutual funds | 1,370 | 1,089 |
Money Market Funds [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Money market mutual funds | ||
Money Market Funds [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Money market mutual funds | ||
US Government-sponsored Enterprises Debt Securities [Member] | ||
Short-term securities | 376 | |
Long-term securities | 23,686 | 23,531 |
US Government-sponsored Enterprises Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Short-term securities | ||
Long-term securities | ||
US Government-sponsored Enterprises Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Short-term securities | 376 | |
Long-term securities | 23,686 | 23,531 |
US Government-sponsored Enterprises Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Short-term securities | ||
Long-term securities | ||
Corporate Debt Securities [Member] | ||
Short-term securities | 21,045 | 12,501 |
Long-term securities | 54,406 | 66,184 |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Short-term securities | ||
Long-term securities | ||
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Short-term securities | 21,045 | 12,501 |
Long-term securities | 54,406 | 66,184 |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Short-term securities | ||
Long-term securities | ||
Derivative Financial Instruments, Assets [Member] | ||
Derivative assets | 9 | |
Derivative Financial Instruments, Assets [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Derivative assets | ||
Derivative Financial Instruments, Assets [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Derivative assets | 9 | |
Derivative Financial Instruments, Assets [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Derivative assets |
Note 9 - Investment in Other 71
Note 9 - Investment in Other Company (Details Textual) - USD ($) | Oct. 24, 2013 | Sep. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Write-off of Expired Option Related to Equity Method Investment | $ 400,000 | ||||
Private Company in Asia [Member] | |||||
Business Acquisition, Percentage of Voting Interests Acquired | 86.00% | ||||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Including Subsequent Acquisition, Percentage | 100.00% | ||||
Payments to Acquire Businesses, Gross | $ 500,000 | ||||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Fair Value | $ 1,800,000 | ||||
Asian Private Company [Member] | |||||
Payments to Acquire Investments | $ 2,200,000 | ||||
Cost Method Investment Ownership Percentage | 14.00% |
Note 9 - Investment in Other 72
Note 9 - Investment in Other Company - Value of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2015 |
Goodwill | $ 6,243 | $ 5,276 | |
Private Company in Asia [Member] | |||
Working capital | (380) | ||
Property and equipment | 4 | $ 4 | |
Distribution agreement | 2,086 | 2,086 | |
Deferred tax liability | (377) | (377) | |
Goodwill | 967 | $ 967 | |
$ 2,300 |
Note 10 - Accrued Expenses an73
Note 10 - Accrued Expenses and Other Accounts Payable (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Increase (Decrease) in Other Accounts Payable and Accrued Liabilities | $ (1,379) | $ (499) | $ (289) |
Other Income [Member] | |||
Increase (Decrease) in Other Accounts Payable and Accrued Liabilities | $ (2,549) |
Note 10 - Accrued Expenses an74
Note 10 - Accrued Expenses and Other Accounts Payable - Accrued Expenses and Other Accounts Payable (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | |
Accrued expenses (1) | [1] | $ 1,385 | $ 2,937 |
Derivative instruments | 36 | ||
Legal, accounting and investors relation accrual | 537 | 615 | |
Royalties and commission | 1,128 | 488 | |
Governmental payables | 421 | 212 | |
Others (1) | [1] | 85 | 738 |
$ 3,556 | $ 5,026 | ||
[1] | The above decreases in 2016 were mainly related to the reversal of certain provisions due to the elapse of the applicable statute of limitations, in the amount of $2,549, which amount was recorded in other income, |
Note 11 - Accrued Pension Lia75
Note 11 - Accrued Pension Liabilities (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plan Corridor Percentage | 10.00% | ||
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net Unamortized Gain (Loss) Arising During Period, Net of Tax | $ (117) | $ 62 | $ (209) |
Note 11 - Accrued Pension Lia76
Note 11 - Accrued Pension Liabilities - Changes in the Pension Plans' Benefit Obligation and Fair Value of Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accumulated benefit obligation | $ 792 | $ 729 | |
Benefit obligation at beginning of year | 738 | 997 | |
Service cost | 4 | 5 | $ 5 |
Interest cost | 17 | 17 | 29 |
Benefits paid from the plan | (55) | (96) | |
Actuarial (gain) loss | 121 | (62) | |
Exchange rates and others | (22) | (123) | |
Benefit obligation at end of year | 803 | 738 | 997 |
Fair value of plan assets at beginning of year | 54 | 116 | |
Actual return on plan assets | 3 | 5 | |
Benefits paid from the plan | (58) | (56) | |
Exchange rates | 1 | (11) | |
Fair value of plan assets at end of year | $ 54 | $ 116 |
Note 11 - Accrued Pension Lia77
Note 11 - Accrued Pension Liabilities - Assumptions Used in the Measurement of the Pension Expense and Benefit Obligation (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Discount rate | 1.70% | 2.50% | 2.10% |
Expected return on plan assets | 4.59% | 4.28% | 2.86% |
Rate of compensation increase | 2.50% | 2.50% | 2.50% |
Note 11 - Accrued Pension Lia78
Note 11 - Accrued Pension Liabilities - Components of Net Periodic Benefit Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Components of net periodic benefit cost | |||
Service cost | $ 4 | $ 5 | $ 5 |
Interest cost | 17 | 17 | 29 |
Expected return on plan assets | (3) | (5) | (6) |
Amortization of net loss | 15 | 20 | 11 |
Net periodic benefit cost | $ 33 | $ 37 | $ 39 |
Note 11 - Accrued Pension Lia79
Note 11 - Accrued Pension Liabilities - Net Amounts Recognized in Consolidated Balance Sheets and Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Accrued pensions (Note 11) | $ 803 | $ 684 |
Net amounts recognized in the consolidated balance sheets | 803 | 684 |
Net actuarial loss | (454) | (351) |
Net amounts recognized in accumulated other comprehensive loss | $ (454) | $ (351) |
Note 11 - Accrued Pension Lia80
Note 11 - Accrued Pension Liabilities - Estimated Amount That will Amortized from Accumulated Other Comprehensive Income (Loss) into Net Periodic Benefit Cost (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Net actuarial loss and other | $ 20 |
Note 11 - Accrued Pension Lia81
Note 11 - Accrued Pension Liabilities - Benefit Payments Expected to Be Paid (Details) $ in Thousands | Dec. 31, 2016USD ($) |
2,017 | $ 20 |
2,018 | 8 |
2,019 | 8 |
2,020 | 9 |
2,021 | 27 |
2022-2026 | $ 84 |
Note 12 - Financial Income, N82
Note 12 - Financial Income, Net - Components of Financial Income, Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Foreign exchange gains | $ 14 | $ 19 | $ 27 |
Interest income from marketable securities and deposits, net of amortization of premium on marketable securities | 1,534 | 1,391 | 1,391 |
Realized gains on marketable securities | 16 | 3 | 73 |
Financial income | 1,564 | 1,413 | 1,491 |
Realized losses on marketable securities | 33 | 27 | 12 |
Foreign exchange losses | 132 | 58 | 113 |
Interest expenses | 16 | 12 | 24 |
Other | 156 | 141 | 138 |
Financial expense | 337 | 238 | 287 |
Financial income, net | $ 1,227 | $ 1,175 | $ 1,204 |
Note 13 - Stockholders' Equit83
Note 13 - Stockholders' Equity (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | Dec. 31, 2008 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2009 | Dec. 31, 2011 | Aug. 31, 2016 |
Preferred Stock, Shares Authorized | 5,000,000 | ||||||
Common Stock, Shares Authorized | 50,000,000 | 50,000,000 | |||||
Retained Earnings (Accumulated Deficit) | $ (96,112) | $ (90,763) | |||||
Stock Repurchase Program, Authorized Amount, Additional | $ 10,000 | ||||||
Treasury Stock, Shares, Acquired | 1,051,000 | 1,295,000 | 1,414,000 | ||||
Treasury Stock Acquired, Average Cost Per Share | $ 10.15 | $ 10.24 | $ 8.83 | ||||
Treasury Stock, Value, Acquired, Cost Method | $ 10,666 | $ 13,267 | $ 12,484 | ||||
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased | 320,220 | ||||||
Stock Issued During Period, Shares, Employee Stock Ownership Plan | 1,409,000 | 1,024,000 | 908,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 6,594,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 64,000 | 179,000 | 232,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 2,152,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 5 years 182 days | 4 years 156 days | 3 years 98 days | ||||
Allocated Share-based Compensation Expense | $ 5,088 | $ 5,092 | $ 5,359 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 1,869,000 | ||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 4,206 | ||||||
Preferred Stock, Shares Outstanding | 0 | ||||||
Common Stock [Member] | |||||||
Treasury Stock, Shares, Acquired | 1,051,000 | 1,295,000 | 1,414,000 | ||||
Treasury Stock, Value, Acquired, Cost Method | $ 1 | $ 1 | $ 1 | ||||
Share Price | $ 13.05 | $ 9.44 | $ 10.87 | ||||
Non-employee Directors [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 8,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 4,000 | ||||||
1993 Director Stock Option Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 1,980,875 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 2,464,933 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 360,000 | ||||||
1993 Director Stock Option Plan [Member] | Subsequent Option [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 15,000 | ||||||
1998 Non-Officer Employee Stock Option Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 5,062,881 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 7 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 137,681 | ||||||
2001 Stock Incentive Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award Options Grants in Period, Exercise Price Based on Percentage of Fair Market Value of Common Stock | 100.00% | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 2,194,847 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 7 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 10,000 | ||||||
2003 Israeli Share Option Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 10,700,543 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 7 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 228,670 | ||||||
2012 Equity Incentive Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 2,450,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 7 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 513,862 | ||||||
1993 Employee Stock Purchase Plan (ESPP) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award Options Grants in Period, Exercise Price Based on Percentage of Fair Market Value of Common Stock | 85.00% | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 942,000 | ||||||
Employee Stock Purchase Plan, Espp Shares Reserved for Future Purchase | 4,800,000 | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 233,000 | 233,000 | 310,000 | ||||
Employee Stock Ownership Plan (ESOP), Weighted Average Purchase Price of Shares Purchased | $ 7.62 | $ 7.59 | $ 5.55 | ||||
Employee Stock Purchase Plan (ESPP), Shares Reserved for Future Purchase, Remaining | 942,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate, Minimum | 29.60% | 22.83% | 29.06% | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate, Maximum | 41.21% | 34.53% | 37.17% | ||||
Restricted Stock Units (RSUs) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 851,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 573,000 | 405,000 | 337,000 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 343,019 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 8.33 | $ 10.43 | $ 7.94 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Weighted Average Pre Vest Cancel Rate | 3.78% | 3.49% | 3.79% | ||||
Restricted Stock Units (RSUs) [Member] | Each Quarter After First Anniversary [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 6.25% | ||||||
Restricted Stock Units (RSUs) [Member] | First Anniversary [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 25.00% | ||||||
First Option [Member] | 1993 Director Stock Option Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 30,000 | ||||||
Committee Option [Member] | 1993 Director Stock Option Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 15,000 | ||||||
Stock Appreciation Rights (SARs) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 3.97 | $ 3.80 | $ 3.47 | ||||
Minimum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award Options Grants in Period, Exercise Price Based on Percentage of Fair Market Value of Common Stock | 100.00% | ||||||
Minimum [Member] | 1993 Employee Stock Purchase Plan (ESPP) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 180 days | ||||||
Maximum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares to be Issued Upon Exercise of Outstanding Awards | 2,038,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award Options and Stock Appreciation Rights, Exercisable Number | 1,018,000 | ||||||
Maximum [Member] | 1993 Employee Stock Purchase Plan (ESPP) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 2 years | ||||||
Maximum [Member] | Stock Appreciation Rights (SARs) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant as Percentage of Company Outstanding Common Stock | 50.00% | 50.00% | 75.00% | 66.67% |
Note 13 - Stockholders' Equit84
Note 13 - Stockholders' Equity - Number of Shares Available for Future Issuance (Details) | Dec. 31, 2016shares |
Number of shares available for future issuance (in shares) | 6,594,000 |
Equity Awards [Member] | |
Number of shares available for future issuance (in shares) | 652,000 |
Preferred Stock [Member] | |
Number of shares available for future issuance (in shares) | 5,000,000 |
1993 Employee Stock Purchase Plan (ESPP) [Member] | |
Number of shares available for future issuance (in shares) | 942,000 |
Note 13 - Stockholders' Equit85
Note 13 - Stockholders' Equity - Stock Options, SARs and RSUs Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||||
Options outstanding at beginning of year (in shares) | 3,740 | [1],[2],[3] | 4,644 | [1],[2],[3] | 6,537 | |
Options outstanding at beginning of year, weighted average exercise price (in dollars per share) | $ 6.22 | [1],[2],[3] | $ 6.52 | [1],[2],[3] | $ 8.68 | |
Options outstanding at beginning of year | ||||||
Options granted (in shares) | 64 | 179 | 232 | |||
Options granted, weighted average exercise price (in dollars per share) | $ 9.44 | $ 11.20 | $ 9.15 | |||
Options granted, aggregate intrinsic value | ||||||
Exercised (in shares) | (1,905) | (1,403) | (1,715) | |||
Exercised, weighted average exercise price (in dollars per share) | $ 5.55 | $ 5.68 | $ 7.92 | |||
Exercised, aggregate intrinsic value | $ 10,344 | $ 7,302 | $ 3,537 | |||
Forfeited and cancelled (in shares) | (320) | (85) | (747) | |||
Forfeited and cancelled, weighted average exercise price (in dollars per share) | $ 7.16 | $ 12.21 | $ 20.11 | |||
Forfeited and cancelled, aggregate intrinsic value | ||||||
Options outstanding at end of year (in shares) | [1],[2],[3] | 2,152 | 3,740 | 4,644 | ||
Options outstanding at end of year, weighted average exercise price (in dollars per share) | [1],[2],[3] | $ 5.12 | $ 6.22 | $ 6.52 | ||
Options/SARs/RSUs outstanding at end of year (1,2,4) | [1],[2],[3] | $ 17,347 | $ 13,364 | $ 21,409 | ||
Options/SARs/RSUs exercisable at end of year (1,3,4) (in shares) | [1],[3],[4] | 1,132 | 2,552 | 3,106 | ||
Options/SARs/RSUs exercisable at end of year (1,3,4), weighted average exercise price (in dollars per share) | [1],[3],[4] | $ 8.27 | $ 7.47 | $ 7.73 | ||
Options/SARs/RSUs exercisable at end of year (1,3,4), aggregate intrinsic value | [1],[3],[4] | $ 5,703 | $ 6,031 | $ 10,941 | ||
Restricted Stock Units (RSUs) [Member] | ||||||
RSUs granted (in shares) | 573 | 405 | 337 | |||
RSUs granted, aggregate intrinsic value | ||||||
[1] | Calculation of aggregate intrinsic value for options, RSUs and SARs outstanding and exercisable is based on the share price of the Company's common stock as of December 31, 2016, 2015 and 2014 which was $13.05, $9.44 and $10.87 per share, respectively. The intrinsic value for options, RSUs and SARs exercised during those years represents the difference between the fair market value of the Company's common stock on the date of exercise and the exercise price of each option, RSU or SAR, as applicable. | |||||
[2] | Due to the ceiling imposed on the SAR grants, the outstanding amount above can be exercised for a maximum of 2,037,595 shares of the Company's common stock as of December 31, 2016. | |||||
[3] | SAR grants made prior to January 1, 2009 are convertible for a maximum number of shares of the Company's common stock equal to 50% of the SAR units subject to the grant. SAR grants made on or after January 1, 2009 and before January 1, 2010 are convertible for a maximum number of shares of the Company's common stock equal to 75% of the SAR units subject to the grant. SAR grants made on or after January 1, 2010 are convertible for a maximum number of shares of the Company's common stock equal to 66.67% of the SAR units subject to the grant. SAR grants made on or after January 1, 2012 are convertible for a maximum number of shares of the Company's common stock equal to 50% of the SAR units subject to the grant. | |||||
[4] | Due to the ceiling imposed on the SAR grants, the exercisable amount above can be exercised for a maximum of 1,017,986 shares of the Company's common stock as of December 31, 2016. |
Note 13 - Stockholders' Equit86
Note 13 - Stockholders' Equity - Stock Options and SARs Outstanding by Exercise Price Range (Details) shares in Thousands | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Outstanding (in shares) | shares | 2,152 |
Outstanding, remaining contractual life (Year) | 3 years 215 days |
Outstanding, weighted average exercise price (in dollars per share) | $ 5.12 |
Exercisable (in shares) | shares | 1,132 |
Exercisable, remaining contractual life (Year) | 3 years 80 days |
Exercisable, weighted average exercise price (in dollars per share) | $ 8.27 |
Restricted Stock Units (RSUs) [Member] | |
Outstanding (in shares) | shares | 851 |
Range 1 [Member] | |
Outstanding (in shares) | shares | 347 |
Range of exercise price, lower limit (in dollars per share) | $ 5.21 |
Range of exercise price, upper limit (in dollars per share) | $ 7.26 |
Outstanding, remaining contractual life (Year) | 3 years 208 days |
Outstanding, weighted average exercise price (in dollars per share) | $ 6.12 |
Exercisable (in shares) | shares | 339 |
Exercisable, remaining contractual life (Year) | 3 years 211 days |
Exercisable, weighted average exercise price (in dollars per share) | $ 6.11 |
Range 2 [Member] | |
Outstanding (in shares) | shares | 722 |
Range of exercise price, lower limit (in dollars per share) | $ 7.49 |
Range of exercise price, upper limit (in dollars per share) | $ 9.71 |
Outstanding, remaining contractual life (Year) | 3 years 131 days |
Outstanding, weighted average exercise price (in dollars per share) | $ 8.18 |
Exercisable (in shares) | shares | 625 |
Exercisable, remaining contractual life (Year) | 2 years 292 days |
Exercisable, weighted average exercise price (in dollars per share) | $ 8.03 |
Range 3 [Member] | |
Outstanding (in shares) | shares | 202 |
Range of exercise price, lower limit (in dollars per share) | $ 10.87 |
Range of exercise price, upper limit (in dollars per share) | $ 15.79 |
Outstanding, remaining contractual life (Year) | 4 years 361 days |
Outstanding, weighted average exercise price (in dollars per share) | $ 11.60 |
Exercisable (in shares) | shares | 138 |
Exercisable, remaining contractual life (Year) | 4 years 335 days |
Exercisable, weighted average exercise price (in dollars per share) | $ 11.70 |
Range 4 [Member] | |
Outstanding (in shares) | shares | 30 |
Range of exercise price, lower limit (in dollars per share) | $ 21.07 |
Range of exercise price, upper limit (in dollars per share) | $ 25.06 |
Outstanding, remaining contractual life (Year) | 0 years |
Outstanding, weighted average exercise price (in dollars per share) | $ 21.70 |
Exercisable (in shares) | shares | 30 |
Exercisable, remaining contractual life (Year) | 0 years |
Exercisable, weighted average exercise price (in dollars per share) | $ 21.70 |
Note 13 - Stockholders' Equit87
Note 13 - Stockholders' Equity - Weighted Average Fair Value Assumptions (Details) | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Volatility | 46.02% | 49.04% | 43.14% | |
Risk-free interest rate | 2.29% | 1.96% | 1.85% | |
Dividend yield | 0.00% | 0.00% | 0.00% | |
Pre-vest cancellation rate *) | [1] | 1.87% | 3.95% | 4.17% |
Post-vest cancellation rate **) | [2] | 3.44% | 3.86% | 4.09% |
Suboptimal exercise factor ***) | [3] | 1.69% | 1.46% | 1.61% |
Expected life (years) (Year) | 5 years 182 days | 4 years 156 days | 3 years 98 days | |
[1] | The pre-vest cancellation rate was calculated on an annual basis and is presented here on an annual basis. | |||
[2] | The post-vest cancellation rate was calculated on a monthly basis and is presented here on an annual Basis. | |||
[3] | The ratio of the stock price to strike price at the time of exercise of the option. |
Note 13 - Stockholders' Equit88
Note 13 - Stockholders' Equity - Non-vested Stock Options, SARs and RSUs (Details) shares in Thousands | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Non-vested (in shares) | shares | 1,188 |
Non-vested, weighted average grant date fair value (in dollars per share) | $ / shares | $ 6.90 |
Granted (in shares) | shares | 637 |
Granted, weighted average grant date fair value (in dollars per share) | $ / shares | $ 7.89 |
Vested (in shares) | shares | (694) |
Vested, weighted average grant date fair value (in dollars per share) | $ / shares | $ 6.59 |
Forfeited (in shares) | shares | (112) |
Forfeited, weighted average grant date fair value (in dollars per share) | $ / shares | $ 7.29 |
Non-vested (in shares) | shares | 1,019 |
Non-vested, weighted average grant date fair value (in dollars per share) | $ / shares | $ 7.69 |
Note 14 - Commitments and Con89
Note 14 - Commitments and Contingencies (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating Leases, Rent Expense | $ 2,362 | $ 2,252 | $ 2,298 |
Isreaeli Office of the Chief Scientist Royalties [Member] | |||
Loss Contingency Accrual | $ 9,841 |
Note 14 - Commitments and Con90
Note 14 - Commitments and Contingencies - Future Minimum Lease Payments (Details) $ in Thousands | Dec. 31, 2016USD ($) |
2,017 | $ 2,689 |
2,018 | 2,202 |
2,019 | 502 |
$ 5,393 |
Note 15 - Taxes on Income (Deta
Note 15 - Taxes on Income (Details Textual) $ in Thousands, ₪ in Billions | Jan. 01, 2018 | Jan. 01, 2017 | Dec. 31, 2016USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2016ILS (₪) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Income Tax Expense (Benefit) | $ 594 | $ 327 | $ (2,841) | |||||
Current Foreign Tax Expense (Benefit) | [1] | 264 | 1,081 | (1,673) | ||||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | (827) | |||||||
Operating Loss Carryforward, Expired | 200,208 | |||||||
Deferred Tax Assets, Valuation Allowance | $ 7,708 | 7,708 | 7,577 | |||||
Cash and Cash Equivalents, Marketable Securities, and Time Deposit | 124,900 | 124,900 | ||||||
Unrecognized Tax Benefits | 1,023 | 1,023 | 1,711 | $ 1,031 | ||||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 46 | 46 | $ 180 | |||||
Domestic Tax Authority [Member] | ||||||||
Operating Loss Carryforwards | 13,725 | 13,725 | ||||||
State and Local Jurisdiction [Member] | ||||||||
Operating Loss Carryforwards | 2,950 | $ 2,950 | ||||||
Israel Tax Authority [Member] | ||||||||
Corporate Tax Rate | 25.00% | 25.00% | 26.50% | 26.50% | ||||
Effective Income Tax Rate Reconciliation, Tax Exempt Income, Amount | $ 33,293 | |||||||
Income Tax, Net, Liabilities | 3,699 | 3,699 | ||||||
Operating Loss Carryforwards | $ 14,534 | $ 14,534 | ||||||
Capital Loss Carryforward Expiration Period | 7 years | 7 years | ||||||
Israel Tax Authority [Member] | Scenario, Forecast [Member] | ||||||||
Corporate Tax Rate | 23.00% | |||||||
Israel Tax Authority [Member] | Subsequent Event [Member] | ||||||||
Corporate Tax Rate | 24.00% | |||||||
Israel Tax Authority [Member] | Minimum [Member] | ||||||||
Tax Credit Carryforward, Expiration Period | 15 years | 15 years | ||||||
Israel Tax Authority [Member] | Maximum [Member] | ||||||||
Tax Credit Carryforward, Expiration Period | 20 years | 20 years | ||||||
Israel Tax Authority [Member] | Approved Enterprise Investment [Member] | ||||||||
Tax Exemption Period | 2 years | 2 years | ||||||
Corporate Tax Rate | 10.00% | 10.00% | ||||||
Additional Tax Exemption Period | 6 years | 6 years | ||||||
Israel Tax Authority [Member] | Beneficiary Enterprise [Member] | ||||||||
Tax Exemption Period | 4 years | 4 years | ||||||
Corporate Tax Rate | 25.00% | 25.00% | ||||||
Additional Tax Exemption Period | 8 years | 8 years | ||||||
Israel Tax Authority [Member] | First, Second, Third, Fourth, Fifth and Sixth Investment Programs [Member] | Minimum [Member] | ||||||||
Tax Exemption Period | 2 years | 2 years | ||||||
Corporate Tax Rate | 10.00% | 10.00% | ||||||
Additional Tax Exemption Period | 6 years | 6 years | ||||||
Israel Tax Authority [Member] | First, Second, Third, Fourth, Fifth and Sixth Investment Programs [Member] | Maximum [Member] | ||||||||
Tax Exemption Period | 4 years | 4 years | ||||||
Corporate Tax Rate | 25.00% | 25.00% | ||||||
Additional Tax Exemption Period | 8 years | 8 years | ||||||
Israel Tax Authority [Member] | Seventh and Eighth Investment Programs [Member] | ||||||||
Tax Exemption Period | 2 years | 2 years | ||||||
Additional Tax Exemption Period | 8 years | 8 years | ||||||
Israel Tax Authority [Member] | Seventh and Eighth Investment Programs [Member] | Minimum [Member] | ||||||||
Corporate Tax Rate | 10.00% | 10.00% | ||||||
Israel Tax Authority [Member] | Seventh and Eighth Investment Programs [Member] | Maximum [Member] | ||||||||
Corporate Tax Rate | 25.00% | 25.00% | ||||||
Israel Tax Authority [Member] | Preferred Enterprises [Member] | ||||||||
Corporate Tax Rate | 9.00% | |||||||
Israel Tax Authority [Member] | Preferred Enterprises [Member] | Subsequent Event [Member] | ||||||||
Corporate Tax Rate | 7.50% | |||||||
Israel Tax Authority [Member] | Technological Preferred Enterprise [Member] | ||||||||
Corporate Tax Rate | 12.00% | 12.00% | ||||||
Technological Preferred Enterprise, Maximum, Consolidated Revenues | $ 2,600,000 | ₪ 10 | ||||||
Tax Rate, Dividends from Technological Enterprises to Foreign Companies | 4.00% | 4.00% | ||||||
Swiss Federal Tax Administration (FTA) [Member] | ||||||||
Operating Loss Carryforwards | $ 1,621 | $ 1,621 | ||||||
Investment Held by Foreign Entities [Member] | ||||||||
Cash and Cash Equivalents, Marketable Securities, and Time Deposit | $ 114,400 | 114,400 | ||||||
Nonqualified Stock Options [Member] | ||||||||
Income Tax Expense (Benefit) | $ 0 | $ 0 | $ 0 | |||||
Valuation Allowance, Tax Credit Carryforward [Member] | ||||||||
Current Foreign Tax Expense (Benefit) | (1,234) | |||||||
Finalization of Tax Assessment [Member] | ||||||||
Income Tax Expense (Benefit) | $ (858) | |||||||
[1] | Includes for 2014 (i) income in the amount of $858 due to reversal of income tax contingency reserves that were determined to be no longer needed due to finalization of a tax assessment of one of the Company’s subsidiaries and (ii) income in the amount of $1,234 due to removal of valuation allowance of tax advances. |
Note 15 - Taxes on Income - Pro
Note 15 - Taxes on Income - Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Current, Federal taxes | ||||
Current, State taxes | 3 | 2 | 2 | |
Current (1) | [1] | 264 | 1,081 | (1,673) |
Deferred (2) | [2] | 327 | (756) | (1,170) |
591 | 325 | (2,843) | ||
Tax expenses (income) tax benefit | $ 594 | $ 327 | $ (2,841) | |
[1] | Includes for 2014 (i) income in the amount of $858 due to reversal of income tax contingency reserves that were determined to be no longer needed due to finalization of a tax assessment of one of the Company’s subsidiaries and (ii) income in the amount of $1,234 due to removal of valuation allowance of tax advances. | |||
[2] | Includes for 2014 income tax benefit in the amount of $827 due to elimination of valuation allowance of deferred tax assets. |
Note 15 - Taxes on Income - Inc
Note 15 - Taxes on Income - Income (Loss) Before Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Domestic | $ (2,188) | $ (909) | $ (3,497) |
Foreign | 7,595 | 2,798 | 4,258 |
Total consolidated income before taxes | $ 5,407 | $ 1,889 | $ 761 |
Note 15 - Taxes on Income - I94
Note 15 - Taxes on Income - Income Tax Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income before income tax benefit | $ 5,407 | $ 1,889 | $ 761 |
Theoretical tax at U.S. statutory tax rate (35%) | 1,892 | 661 | 266 |
State taxes, net of federal benefit | 3 | 2 | 2 |
Foreign income taxed at rates other than the U.S. rate (including deferred taxes that were not provided, valuation allowance and current adjustment and interest on uncertain tax position liability) | (2,580) | (2,209) | (5,974) |
Nondeductible equity-based compensation expenses | 695 | 1,782 | 1,876 |
Valuation allowance in U.S. | 583 | 91 | 989 |
Other | 1 | ||
$ 594 | $ 327 | $ (2,841) |
Note 15 - Taxes on Income - I95
Note 15 - Taxes on Income - Income Tax Reconciliation (Details) (Parentheticals) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
U.S. statutory tax rate | 35.00% | 35.00% | 35.00% |
Note 15 - Taxes on Income - Def
Note 15 - Taxes on Income - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | |
Reserves and accruals | $ 1,322 | $ 1,823 | |
Equity-based compensation | 846 | 462 | |
Intangible assets | 688 | 805 | |
Carryforward tax losses | 5,770 | 5,798 | [1] |
Total deferred tax assets (long-term) | 8,626 | 8,888 | |
Valuation allowance | (7,708) | (7,577) | |
Total | 918 | 1,311 | |
Total deferred tax assets | 918 | 1,311 | |
Acquired intangible assets | 987 | 963 | |
Acquired carryforward tax losses | (200) | (487) | |
Total deferred tax liabilities, net | $ 787 | $ 476 | |
[1] | The amount in 2015 is after a deduction of $200,208 carryforward tax losses of a foreign subsidiary that expired by December 31, 2015. |
Note 15 - Taxes on Income - Unc
Note 15 - Taxes on Income - Uncertain Tax Positions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | ||
Gross unrecognized tax benefits at January 1 | $ 1,711 | $ 1,031 | |
Increases (decreases) in tax positions for previous years (1) | [1] | (918) | |
Increases (decreases) in tax positions for previous years (1) | [1] | 177 | |
Increases in tax positions for current year | 396 | 533 | |
Change in interest and linkage related to tax positions | (166) | (30) | |
Gross unrecognized tax benefits at December 31 | $ 1,023 | $ 1,711 | |
[1] | The decrease in 2016 is mainly the result of finalization of an examination that was conducted by the German tax authorities of the Company's German tax returns for 2007 – 2009 and the tax payment that was made following such examination. |
Note 16 - Basic and Diluted L98
Note 16 - Basic and Diluted Loss Per Share - Net Income (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net income | $ 4,813 | $ 1,562 | $ 3,602 |
Weighted average number of shares of common stock outstanding during the year used to compute basic net earnings per share (in thousands) (in shares) | 21,800 | 21,924 | 21,968 |
Incremental shares attributable to exercise of outstanding options, SARs and RSUs (assuming proceeds would be used to purchase treasury stock) (in thousands) (in shares) | 1,087 | 1,416 | 986 |
Weighted average number of shares of common stock used to compute diluted net earnings per share (in thousands) (in shares) | 22,887 | 23,340 | 22,954 |
Basic net earnings per share (in dollars per share) | $ 0.22 | $ 0.07 | $ 0.16 |
Diluted net earnings per share (in dollars per share) | $ 0.21 | $ 0.07 | $ 0.16 |
Note 17 - Segment Information99
Note 17 - Segment Information (Details Textual) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Number of Reportable Segments | 3 | ||
Product Concentration Risk [Member] | Sales Revenue, Segment [Member] | Home [Member] | Telephony [Member] | |||
Concentration Risk, Percentage | 57.00% | 72.00% | 79.00% |
Product Concentration Risk [Member] | Sales Revenue, Segment [Member] | Home [Member] | Gateway [Member] | |||
Concentration Risk, Percentage | 8.00% | 10.00% | 8.00% |
Product Concentration Risk [Member] | Sales Revenue, Segment [Member] | Office [Member] | VoIP [Member] | |||
Concentration Risk, Percentage | 19.00% | 15.00% | 10.00% |
Product Concentration Risk [Member] | Sales Revenue, Segment [Member] | Mobile [Member] | |||
Concentration Risk, Percentage | 12.00% | 0.00% | 0.00% |
Note 17 - Segment Information -
Note 17 - Segment Information - Selected Operating Results (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenues | $ 137,869 | $ 144,271 | $ 143,036 |
Income from operations | 9,564 | 9,646 | 8,650 |
Home [Member] | |||
Revenues | 95,388 | 121,714 | 128,690 |
Income from operations | 17,715 | 24,815 | 23,438 |
Office [Member] | |||
Revenues | 26,590 | 22,216 | 14,276 |
Income from operations | (2,961) | (4,861) | (2,805) |
Mobile [Member] | |||
Revenues | 15,891 | 341 | 70 |
Income from operations | $ (5,190) | $ (10,308) | $ (11,983) |
Note 17 - Segment Informatio101
Note 17 - Segment Information - Reconciliation of Segment Operating Results (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Income from operations | $ 9,564,000 | $ 9,646,000 | $ 8,650,000 | |
Unallocated corporate, general and administrative expenses * | [1] | (1,388,000) | (2,156,000) | (2,161,000) |
Other income | 2,549,000 | |||
Equity-based compensation expenses | (5,088,000) | (5,092,000) | (5,359,000) | |
Intangible assets amortization expenses | (1,457,000) | (1,284,000) | (1,573,000) | |
Write–off of expired option related to investment in other company | (400,000) | |||
Losses on available-for-sale marketable securities | 1,227,000 | 1,175,000 | 1,204,000 | |
Total consolidated income before taxes | $ 5,407,000 | $ 1,889,000 | $ 761,000 | |
[1] | Includes mainly legal, accounting, board of directors and investors relation expenses. |
Note 17 - Segment Informatio102
Note 17 - Segment Information - Summary of Operations Within Geographic Areas Based on Customer Locations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenue distribution | $ 137,869 | $ 144,271 | $ 143,036 |
HONG KONG | |||
Revenue distribution | 56,768 | 72,608 | 79,622 |
JAPAN | |||
Revenue distribution | 18,440 | 26,114 | 31,261 |
Europe [Member] | |||
Revenue distribution | 9,703 | 8,464 | 6,787 |
UNITED STATES | |||
Revenue distribution | 4,696 | 3,944 | 4,702 |
CHINA | |||
Revenue distribution | 10,244 | 10,359 | 6,568 |
TAIWAN, PROVINCE OF CHINA | |||
Revenue distribution | 16,428 | 16,902 | 9,077 |
KOREA, REPUBLIC OF | |||
Revenue distribution | 17,503 | 1,913 | 1,308 |
Other Geographic Regions [Member] | |||
Revenue distribution | $ 4,087 | $ 3,967 | $ 3,711 |
Note 17 - Segment Informatio103
Note 17 - Segment Information - Summary of Long-lived Assets Within Geographic Areas Based on the Assets' Locations (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Long-lived assets | $ 4,130 | $ 3,764 |
Europe [Member] | ||
Long-lived assets | 216 | 259 |
ISRAEL | ||
Long-lived assets | 2,652 | 2,989 |
Other Geographic Regions [Member] | ||
Long-lived assets | $ 1,262 | $ 516 |
Schedule II - Valuation and 104
Schedule II - Valuation and Qualifying Accounts (Details) - Allowance for Sales Returns [Member] - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Balance | |||
Charged to (deducted from) Costs and Expenses | |||
Balance |