Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Jun. 30, 2016 | Jul. 26, 2016 | |
Document Information [Line Items] | ||
Entity Registrant Name | IXYS CORP /DE/ | |
Entity Central Index Key | 945,699 | |
Trading Symbol | IXYS | |
Current Fiscal Year End Date | --03-31 | |
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) | 31,458,652 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
Unaudited Condensed Consolidate
Unaudited Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 151,393 | $ 155,806 |
Restricted cash | 272 | 277 |
Accounts receivable, net | 41,063 | 38,440 |
Inventories | 85,656 | 89,604 |
Prepaid expenses and other current assets | 4,028 | 4,203 |
Total current assets | 282,412 | 288,330 |
Property, plant and equipment, net | 44,325 | 42,623 |
Intangible assets, net | 6,590 | 7,607 |
Goodwill | 42,313 | 42,355 |
Deferred income taxes | 27,825 | 28,024 |
Other assets | 14,171 | 13,762 |
Total assets | 417,636 | 422,701 |
Current liabilities: | ||
Current portion of loans payable | 1,076 | 1,804 |
Accounts payable | 12,272 | 11,416 |
Accrued expenses and other current liabilities | 23,575 | 21,290 |
Total current liabilities | 36,923 | 34,510 |
Long term loans, net of current portion | 77,940 | 85,253 |
Pension liabilities | 15,620 | 16,307 |
Other long term liabilities | 7,197 | 7,336 |
Total liabilities | 137,680 | 143,406 |
Commitments and contingencies (Note 16) | ||
Stockholders' equity: | ||
Preferred stock, $0.01 par value: Authorized: 5,000,000 shares; none issued and outstanding | ||
Common stock, $0.01 par value: Authorized: 80,000,000 shares; 38,269,389 issued and 31,458,652 outstanding at June 30, 2016 and 38,214,158 issued and 31,375,524 outstanding at March 31, 2016 | 383 | 382 |
Additional paid-in capital | 215,354 | 214,045 |
Treasury stock, at cost: 6,810,737 common shares at June 30, 2016 and 6,838,634 common shares at March 31, 2016 | (61,592) | (61,845) |
Retained earnings | 148,727 | 146,979 |
Accumulated other comprehensive loss | (22,916) | (20,266) |
Total stockholders' equity | 279,956 | 279,295 |
Total liabilities and stockholders' equity | $ 417,636 | $ 422,701 |
Unaudited Condensed Consolidat3
Unaudited Condensed Consolidated Balance Sheets (Parentheticals) - $ / shares | Jun. 30, 2016 | Mar. 31, 2016 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 80,000,000 | 80,000,000 |
Common stock, shares issued (in shares) | 38,269,389 | 38,214,158 |
Common stock, shares outstanding (in shares) | 31,458,652 | 31,375,524 |
Treasury stock, shares (in shares) | 6,810,737 | 6,838,634 |
Unaudited Condensed Consolidat4
Unaudited Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Net revenues | $ 80,638 | $ 82,047 |
Cost of goods sold | 56,644 | 56,445 |
Gross profit | 23,994 | 25,602 |
Operating expenses: | ||
Research, development and engineering | 7,910 | 7,683 |
Selling, general and administrative | 10,038 | 10,636 |
Amortization of acquisition-related intangible assets | 1,017 | 1,579 |
Total operating expenses | 18,965 | 19,898 |
Operating income | 5,029 | 5,704 |
Other income (expense): | ||
Interest income | 62 | 47 |
Interest expense | (635) | (314) |
Other income (expense), net | 815 | (790) |
Income before income tax provision | 5,271 | 4,647 |
Provision for income tax | (2,252) | (1,662) |
Net income | $ 3,019 | $ 2,985 |
Net income per share: | ||
Basic (in dollars per share) | $ 0.10 | $ 0.09 |
Diluted (in dollars per share) | 0.09 | 0.09 |
Cash dividends per common share (in dollars per share) | $ 0.04 | $ 0.035 |
Weighted average shares used in per share calculation: | ||
Basic (in shares) | 31,401 | 31,746 |
Diluted (in shares) | 32,001 | 32,733 |
Unaudited Condensed Consolidat5
Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Net income | $ 3,019 | $ 2,985 |
Foreign currency translation adjustments | (2,825) | 2,692 |
Changes in market value of investments: | ||
Changes in unrealized gains (losses), net of tax of $45 and $(78) | 85 | (117) |
Reclassification adjustment for net losses (gains) realized in net income, net of tax of $61 | 90 | |
Net change in market value of investments | 175 | (117) |
Total comprehensive income (loss) | $ 369 | $ 5,560 |
Unaudited Condensed Consolidat6
Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) (Parentheticals) - USD ($) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Taxes (benefits) on changes in unrealized gain (loss) | $ 45,000 | $ (78,000) |
Taxes on reclassification adjustment for sales of securities included in net income | $ 61,000 | $ 0 |
Unaudited Condensed Consolidat7
Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Cash flows from operating activities: | ||
Net income | $ 3,019 | $ 2,985 |
Adjustments to reconcile net income to net cash provided by operating activities, net of assets acquired and liabilities assumed: | ||
Depreciation and amortization | 2,832 | 3,784 |
Provision for receivable allowances | 1,610 | 1,407 |
Net change in inventory provision | 425 | 300 |
Stock-based compensation | 855 | 739 |
Loss (gain) on investments | (169) | 147 |
Foreign currency adjustments on intercompany amounts and other non-cash items | (111) | 248 |
Changes in operating assets and liabilities, net of business acquired: | ||
Accounts receivable | (4,652) | (630) |
Inventories | 2,083 | 611 |
Prepaid expenses and other current assets | 130 | (779) |
Accounts payable | 559 | 609 |
Accrued expenses and other liabilities | 1,113 | 329 |
Pension liabilities | (198) | (301) |
Net cash provided by operating activities | 7,496 | 9,449 |
Cash flows from investing activities: | ||
Change in restricted cash | 5 | (5) |
Purchase of businesses, net of cash and cash equivalents acquired and installment payments | (14,571) | |
Purchases of plant and equipment | (3,477) | (3,696) |
Net cash used in investing activities | (3,472) | (18,272) |
Cash flows from financing activities: | ||
Principal payments on capital lease obligations | (321) | |
Repayments of loans and notes payable | (7,970) | (449) |
Proceeds from loans | 3,317 | |
Proceeds from employee equity plans | 694 | 2,468 |
Net cash provided by (used in) financing activities | (7,276) | 5,015 |
Effect of exchange rate fluctuations on cash and cash equivalents | (1,161) | 860 |
Net decrease in cash and cash equivalents | (4,413) | (2,948) |
Cash and cash equivalents at beginning of period | 155,806 | 121,164 |
Cash and cash equivalents at end of period | $ 151,393 | $ 118,216 |
Note 1 - Unaudited Condensed Co
Note 1 - Unaudited Condensed Consolidated Financial Statements | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Basis of Accounting [Text Block] | 1 . Unaudited Condensed Consolidated Financial Statements The accompanying interim unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. The unaudited condensed consolidated financial statements include the accounts of IXYS Corporation and its wholly-owned subsidiaries. The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and judgments that affect the amounts reported in the financial statements and accompanying notes. The accounting estimates that require management’s most difficult judgments include, but are not limited to, revenue reserves, inventory valuation, accounting for income taxes, and allocation of purchase price in business combinations. All significant intercompany transactions have been eliminated in consolidation. All adjustments of a normal recurring nature that, in the opinion of management, are necessary for a fair statement of the results for the interim periods have been made. The condensed consolidated balance sheet as of March 31, 2016 has been derived from our audited consolidated balance sheet as of that date. It is recommended that the interim financial statements be read in conjunction with our audited consolidated financial statements and notes thereto for the fiscal year ended March 31, 2016, or fiscal 2016, contained in our Annual Report on Form 10-K. Interim results are not necessarily indicative of the operating results expected for later quarters or the full fiscal year. Our fiscal years end March 31. References to any numerically identified year preceded by the word “fiscal” are references to the year ending on March 31 of such numerically identified year. |
Note 2 - Recent Accounting Pron
Note 2 - Recent Accounting Pronouncements and Accounting Changes | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
New Accounting Pronouncements and Changes in Accounting Principles [Text Block] | 2. Recent Accounting Pronouncements and Accounting Changes In May 2014, Financial Accounting Standards Board, or FASB, issued a new standard on the recognition of revenue from contracts with customers, which includes a single set of rules and criteria for revenue recognition to be used across all industries. The revenue standard’s core principle is built on the contract between a vendor and a customer for the provision of goods and services. It attempts to depict the exchange of rights and obligations between the parties in the pattern of revenue recognition based on the consideration to which the vendor is entitled. To accomplish this objective, the standard requires five basic steps: identify the contract with the customer, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to the performance obligations in the contract, and recognize revenue when or as the entity satisfies a performance obligation. This standard is effective for annual reporting periods beginning after December 15, 2017, including interim periods during the annual period. Early adoption is prohibited for annual periods commencing before December 15, 2016. Different transition methods are available — full retrospective method, retrospective with certain practical expedients, and a modified retrospective (cumulative effect) approach. We are currently evaluating the impact of the adoption of the standard on our consolidated financial statements including selection of the transition method. In March 2016, FASB issued an amended guidance on the topic of revenue from contracts with customers relating to revenue recognition to clarify the implementation guidance on principal versus agent considerations and to address how an entity should assess whether it is the principal or the agent in contracts that include three or more parties. The effective date and transition requirements for these amendments are the same as the effective date and transition requirements of the new revenue recognition standard. We are currently evaluating the impact of these amendments on our financial statements. In April 2016, FASB issued an amended guidance to clarify the following two aspects relating revenue recognition: identifying performance obligations and the licensing implementation guidance, while retaining the related principles for those areas. Before an entity can identify its performance obligation in a contract with a customer, the entity first identifies the promised goods or services in the contract. The amendments are expected to reduce the cost and complexity of applying the guidance on identifying promised goods or services. The amendments include implementation guidance on determining whether an entity’s promise to grant a license provides a customer with either a right to use the entity’s intellectual property or a right to access the entity’s intellectual property. The amendments are intended to improve the operability and understandability of the licensing implementation guidance. The effective date and transition requirements for the amendments are the same as the effective date and transition requirements relating to the new revenue recognition standard. We are currently evaluating the impact of these amendments and the transition alternatives on our consolidated financial statements. In May 2016, FASB issued an amended guidance on the topic of revenue from contracts with customers which would affect the narrow aspects of Topic 606, including assessing the collectibility criterion and accounting for contracts that do not meet the criteria for identifying the contracts with a customer, presentation of sales taxes and other similar taxes collected from customers, noncash consideration, contract modifications at transition, completed contracts at transition, and technical correction. The effective date and transition requirements for the amendments are the same as the effective date and transition requirements relating to the new revenue recognition standard. We are currently evaluating the impact of these amendments and the transition alternatives on our consolidated financial statements. In July 2015, FASB issued an amendment to modify the inventory measurement guidance in Topic 330, Inventory and interim periods during the annual period. The new standard is required to be applied prospectively with earlier application permitted as of the beginning of an interim or annual reporting period. We do not expect this change to have a significant impact on our consolidated financial statements. In January 2016, the FASB issued authoritative guidance that modifies how entities measure equity investments and present changes in the fair value of financial liabilities. Under the new guidance, entities will have to measure equity investments that do not result in consolidation and are not accounted under the equity method at fair value and recognize any changes in fair value in net income unless the investments qualify for the new practicality exception. A practicality exception will apply to those equity investments that do not have a readily determinable fair value and do not qualify for the practical expedient to estimate fair value under Accounting Standards Codification, or ASC 820, Fair Value Measurements, and as such these investments may be measured at cost. This guidance is effective for financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. We are currently evaluating the impact of this standard on our consolidated financial statements. In February 2016, FASB issued amended guidance for lease arrangements, which requires lessees to recognize the followings for all leases with terms longer than 12 months: a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis and a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. The amendment is effective for financial statements issued for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. We are currently evaluating the impact of this amended guidance on our consolidated financial statements. In March 2016, FASB issued amended guidance to simplify the transition to the equity method of accounting. This standard eliminates the requirement that when an existing cost method investment qualifies for use of the equity method, an investor must restate its historical financial statements, as if the equity method had been used during all previous periods. Additionally, any unrealized gain or loss in accumulated other comprehensive income (loss) will be recognized through earnings at the point an investment qualifies for the equity method. The amended guidance is effective for financial statements issued for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. It should be applied prospectively. Early adoption is permitted. We are currently evaluating the impact of this amended guidance on our consolidated financial statements. In March, 2016, FASB issued amended guidance which simplifies several aspects of the accounting for employee share-based payment awards, including forfeitures, employer tax withholding on share-based compensation and excess tax benefits or deficiencies. The amended guidance also clarifies the statement of cash flows presentation for share-based awards. The guidance is effective for financial statements issued for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is permitted in any interim or annual period for which financial statements have not yet been issued or have not been made available for issuance. We are currently evaluating the impact of this amended guidance on our consolidated financial statements. In June 2016, FASB issued amended guidance which replaces the incurred loss impairment methodology in the current guidance with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments affect financial assets and net investment in leases that are not accounted for at fair value through net income. The new guidance is effective for financial statements issued for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is allowed as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. We are currently evaluating the impact of this amended guidance on our consolidated financial statements. |
Note 3 - Business Combinations
Note 3 - Business Combinations | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Business Combination Disclosure [Text Block] | 3. Business Combinations RadioPulse, Inc. On May 1, 2015, we acquired RadioPulse, Inc., or RadioPulse, for a total consideration of $15.7 million. Based in South Korea, RadioPulse is a fabless semiconductor company that develops, manufactures and sells wireless network technology solutions based on the ZigBee ® protocol, which combines microcontrollers and radio frequency devices. RadioPulse’s solutions are designed to enable a broad range of power-sensitive applications in the industrial, medical, consumer, smart grid and Internet of Things, or IoT, markets. RadioPulse offers a complementary product portfolio to our product lines. The consideration included cash consideration paid at closing of $14.7 million and $1.0 million related to an adjustment to eliminate debt owed to us for funds advanced prior to closing. The acquisition also included potential earnout payments aggregating up to $6.0 million payable over three years based on certain financial thresholds related to net revenues, gross profit and net income in calendar years 2015, 2016 and 2017. Based on our valuation, the fair value of the liability for the earnout payment was estimated to be nil as of June 30, 2016 and March 31, 2016. In connection with the acquisition, we incurred and expensed $248,000 in legal and consulting costs and $249,000 in acquisition-related compensation costs during fiscal 2016. The following table summarizes the values of the assets acquired and liabilities assumed at the acquisition date (in thousands): Purchase Consideration Allocation Cash, restricted cash and cash equivalents $ 196 Accounts receivable 1,497 Inventories 534 Property, plant and equipment 24 Prepaid expenses and other current assets 547 Identifiable intangible assets 2,867 Short-term borrowings (2,354 ) Accounts payable (614 ) Accruals and other liabilities (1,926 ) Total identifiable net liabilities 771 Goodwill 14,887 Total purchase consideration $ 15,658 Identifiable intangible assets consisted of developed intellectual property, in-process research and development expenses, customer relationships, and contract backlog. The value reflected in the table represents the purchase price allocation. The valuation of the acquired intangibles was classified as a level 3 measurement under the fair value measurement guidance because the valuation was based on significant unobservable inputs and involved management judgment and assumptions about market participants and pricing. We did not recognize any liability with respect to the contingent consideration based upon our analysis. Identified intangible assets resulting from the RadioPulse acquisition consisted of the following (in thousands): Estimated Fair Value Amortization Useful Life (In thousands) Method (In months) (unaudited) Developed intellectual property $ 1,005 Accelerated 60 In-process research and development expenses (1) 1,188 Straight-line 60 Customer relationships 500 Accelerated 36 Contract backlog 174 Straight-line 6 Total $ 2,867 (1) Amortization starts after the completion of the research and development activities of the related projects. In determining the fair value of the acquired intangible assets, we determined the appropriate unit of measure, the exit market and the highest and best use for the assets. The income approach was used to estimate the fair value. The income approach indicates the fair value of an asset based on the value of the cash flows that the asset can be expected to generate in the future through a discounted cash flow method. The income approach was used to determine the fair values of developed intellectual property, in-process research and development expenses, contract backlog and customer relationships. The goodwill arising from the acquisition was largely attributable to the synergies expected to be realized after our acquisition and integration of RadioPulse and to the workforce acquired in the transaction. The goodwill is not deductible for tax purposes. The results of operations and financial position of RadioPulse were immaterial compared to our financial statements and therefore pro-forma financial statements have not been separately presented. |
Note 4 - Fair Value
Note 4 - Fair Value | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | 4. Fair Value We account for certain assets and liabilities at fair value. In determining fair value, we consider its principal or most advantageous market and the assumptions that market participants would use when pricing, such as inherent risk, restrictions on sale and risk of non-performance. The fair value hierarchy is based upon the observability of inputs used in valuation techniques. Observable inputs (highest level) reflect market data obtained from independent sources, while unobservable inputs (lowest level) reflect internally developed market assumptions. The fair value measurements are classified under the following hierarchy: Level 1 — Quoted prices for identical instruments in active markets. Level 2 — Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs or significant value-drivers are observable in active markets. Level 3 — Model-derived valuations in which one or more significant inputs or significant value drivers are unobservable. Fair Value Measurements on a Recurring Basis Assets and liabilities measured at fair value on a recurring basis, excluding accrued interest components, consisted of the following types of instruments as of June 30, 2016 and March 31, 2016 (in thousands): June 30, 2016 (1) March 31, 2016 (1) Fair Value Measured at Fair Value Measured at Reporting Date Using Reporting Date Using Description Total Level 1 Level 2 Total Level 1 Level 2 (unaudited) (unaudited) Assets Money market funds (2) $ 89,440 $ 89,440 $ - $ 115,974 $ 115,974 $ - Marketable equity securities (3) 1,879 1,879 - 1,749 1,749 - Auction rate preferred securities (3) 350 - 350 350 - 350 Total Assets Measured at Fair Value $ 91,669 $ 91,319 $ 350 $ 118,073 $ 117,723 $ 350 (1) We did not have any recurring fair value measurements of assets or liabilities whose fair value was measured using significant unobservable inputs. (2) Included in "Cash and cash equivalents" on our unaudited condensed consolidated balance sheets. (3) Included in "Other assets" on our unaudited condensed consolidated balance sheets. We measure our marketable securities and derivative contracts at fair value. Marketable securities are valued using the quoted market prices and are therefore classified as Level 1 estimates. We review any impairment to determine whether it is other than temporarily impaired. This review is based on factors such as length of time of impairment, extent to which the fair value is below the cost basis, financial conditions of the issuer of the security, our expectations of future recoveries and our ability and intent to hold or sell the securities. Based on our review, we recognized an other than temporary impairment loss of $151,000 and $0 in marketable equity securities during the three months ended June 30, 2016 and June 30, 2015 respectively. From time to time, we use derivative instruments to manage exposure to changes in interest rates and currency exchange rates. The fair values of these instruments are recorded on the balance sheets. The changes in the fair value of these instruments are recorded in the current period’s statement of operations and are included in other income (expense), net. All of our derivative instruments are traded on over-the-counter markets where quoted market prices are not readily available. For those derivatives, we measure fair value using prices obtained from the counterparties with whom we have traded. The counterparties price the derivatives based on models that use primarily market observable inputs, such as yield curves and option volatilities. Accordingly, we classify these derivatives as Level 2. We held no derivative instruments at June 30, 2016 and March 31, 2016. Auction rate preferred securities, or ARPS, are stated at par value based upon observable inputs including historical redemptions received from the ARPS issuers. Our ARPS have credit ratings of A + , are 100% collateralized and continue to pay interest in accordance with their contractual terms. Additionally, the collateralized asset value ranges exceed the value of our ARPS by approximately 200 percent. Accordingly, the remaining ARPS balance was categorized as Level 2 for fair value measurement in accordance with the authoritative guidance provided by FASB and was recorded at full par value on the unaudited condensed consolidated balance sheets as of June 30, 2016 and March 31, 2016. We currently believe that the ARPS values are not impaired and as such, no impairment has been recognized against the investment. If future auctions fail to materialize and the credit rating of the issuers deteriorates, we may be required to record an impairment charge against the value of our ARPS. Cash and cash equivalents are recognized and measured at amounts that approximate fair value in our unaudited condensed consolidated financial statements. Accounts receivable and prepaid expenses and other current assets are financial assets with carrying values that approximate fair value. Accounts payable and accrued expenses and other current liabilities are financial liabilities with carrying values that approximate fair value. Our debt, which primarily consists of loans from banks, approximated fair value as the interest rates either adjusted according to the market rates or the interest rates approximated the market rates. The estimated fair value of our debt was approximately $79.0 million and $87.1 million as of June 30, 2016 and March 31, 2016, respectively. Our debt is categorized as Level 2 for fair value measurement. Our pension liabilities, net of plan assets approximated fair value. See Note 10, “Pension Plans” for a discussion of pension liabilities. The fair value of contingent consideration for a business acquisition is classified as Level 3 estimate. See Note 3, “Business Combinations” for a discussion of fair value of contingent consideration. |
Note 5 - Accounts Receivable
Note 5 - Accounts Receivable | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 5. Accounts Receivable Accounts receivable consist of the following (in thousands): June 30, March 31, 2016 2016 (unaudited) Accounts receivable, gross $ 43,751 $ 41,219 Allowances (2,688 ) (2,779 ) Accounts receivable, net $ 41,063 $ 38,440 |
Note 6 - Other Assets
Note 6 - Other Assets | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Other Assets Disclosure [Text Block] | 6. Other Assets Other assets consist of the following (in thousands): June 30, March 31, 2016 2016 (unaudited) Marketable equity securities $ 1,879 $ 1,749 Auction rate preferred securities 350 350 Long-term equity method investments 11,250 10,977 Other items 692 686 Total $ 14,171 $ 13,762 |
Note 7 - Inventories
Note 7 - Inventories | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Inventory Disclosure [Text Block] | 7. Inventories Inventories consist of the following (in thousands): June 30, March 31, 2016 2016 (unaudited) Raw materials $ 18,252 $ 18,269 Work in process 40,285 41,549 Finished goods 27,119 29,786 Total $ 85,656 $ 89,604 |
Note 8 - Accrued Expenses and O
Note 8 - Accrued Expenses and Other Current Liabilities | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Accrued Expenses and Other Current Liabilities Disclosure [Text Block] | 8. Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consist of the following (in thousands): June 30, March 31, 2016 2016 (unaudited) Uninvoiced goods and services $ 11,152 $ 8,824 Compensation and benefits 7,204 7,540 Income taxes 2,690 2,066 Commissions, royalties and other 2,529 2,860 Total $ 23,575 $ 21,290 |
Note 9 - Borrowing Arrangements
Note 9 - Borrowing Arrangements | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 9. Borrowing Arrangements Revolving Credit Agreement On November 20, 2015, we entered into a Revolving Credit Agreement with a syndicate of banks for a line of credit of $125.0 million. The agent for the banks is Bank of the West, or BOTW. The obligations are guaranteed by four of our subsidiaries. The loan is collateralized pursuant to a Contingent Collateral Agreement, under which the assets of the parent company and the four subsidiaries could be subject to security interest for the benefit of the banks in the event of a loan default. The Revolving Credit Agreement expires on November 20, 2017. The credit agreement provides different interest rate alternatives under which we may borrow funds. We may elect to borrow based on LIBOR plus a margin or an alternative base rate plus a margin. The margin can range from 0.75% to 2.5%, depending on interest rate alternatives and on our leverage of liabilities to effective tangible net worth. The applicable interest rate as of June 30, 2016 was 2.56%. An unused commitment fee is also payable. It ranges from 0.25% to 0.625%, depending on leverage. In relation to the execution of the credit agreement, we incurred loan costs that were deferred and reduced our “Long term loans, net of current portion” on our unaudited consolidated balance sheets. Those costs are being amortized over the two-year life of the credit agreement. The unamortized balance at June 30, 2016 and March 31, 2016 was $257,000 and $304,000, respectively. The terms of the facility impose restrictions on the company’s ability to undertake certain transactions, to create liens on assets and to incur subsidiary indebtedness. In addition, the credit agreement is subject to a set of financial covenants, including minimum effective tangible net worth, the ratio of cash, cash equivalents and accounts receivable to current liabilities, profitability, a leverage ratio and a minimum amount of U.S. domestic cash on hand. At June 30, 2016, we complied with all of these financial covenants. At June 30, 2016 and March 31, 2016, the outstanding principal balances under the credit agreement were $73.0 million and $80.0 million, respectively. The credit agreement also includes a $10.0 million letter of credit subfacility. See Note 16, “Commitments and Contingencies” for further information regarding the terms of the subfacility. IKB Deutsche Industriebank In April 2015, we entered into a loan with IKB Deutsche Industriebank, or IKB. Under the agreement, we borrowed €6.5 million, or about $7.2 million at the time. The loan has a term ending March 31, 2022 and bears a fixed annual interest rate of 1.75%. Each fiscal quarter a principal payment of €232,000, or about $258,000, and a payment of accrued interest are required. Financial covenants for a ratio of indebtedness to cash flow, a ratio of equity to total assets and a minimum stockholders’ equity for the German subsidiary must be satisfied for the loan to remain in good standing. Compliance with these covenants is required annually at March 31. We complied with all of these financial covenants at March 31, 2016. The loan may be prepaid in whole or in part with a modest penalty. The loan is also collateralized by a security interest in the facility in Lampertheim, Germany. At June 30, 2016, the outstanding principal balance was €5.3 million, or about $5.9 million. At March 31, 2016, the outstanding principal balance was €5.6 million, or about $6.3 million . Loans Assumed from Business Acquisitions Our outstanding balances relating to loans assumed upon business acquisitions at June 30, 2016 and March 31, 2016 were $344,000 and $1.1 million, respectively. These loans consisted of certain short-term facilities from financial institutions and loans from government agencies to support the research and development activities. |
Note 10 - Pension Plans
Note 10 - Pension Plans | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | 10. Pension Plans We maintain three defined benefit pension plans: one for United Kingdom employees, one for German employees, and one for Philippine employees. We deposit funds for the United Kingdom and Philippine plans with financial institutions and make payments to former German employees directly. We accrue for the unfunded portion of the obligations. The measurement date for projected benefit obligations and plan assets is March 31. As of June 30, 2016, the German defined benefit plan was completely unfunded and we accrued for its obligations. The United Kingdom and German plans have been curtailed. As such, the plans are closed to new entrants and no credit is provided for additional periods of service. We expect to contribute approximately $1.1 million to the United Kingdom and the Philippines plans in the fiscal year ending March 31, 2017. The net periodic pension expense includes the following components (in thousands): Three Months Ended June 30, 2016 2015 (unaudited) Service cost $ 28 $ 26 Interest cost on projected benefit obligation 352 368 Expected return on plan assets (323 ) (438 ) Recognized actuarial loss 48 45 Net periodic pension expense $ 105 $ 1 Information on Plan Assets We report and measure the plan assets of our defined benefit pension plans at fair value. The table below sets forth the fair value of our plan assets as of June 30, 2016 and March 31, 2016, using the same three-level hierarchy of fair-value inputs described in Note 4, “Fair Value” (in thousands): June 30, 2016 March 31, 2016 Description Level 1 Level 2 Total Level 1 Level 2 Total (unaudited) (unaudited) Cash and cash funds $ 17 $ - $ 17 $ 121 $ - $ 121 Equity 398 - 398 351 - 351 Fixed interest 1,326 94 1,420 1,225 96 1,321 Mutual funds 13,156 13,203 26,359 13,527 13,394 26,921 Total $ 14,897 $ 13,297 $ 28,194 $ 15,224 $ 13,490 $ 28,714 |
Note 11 - Employee Equity Incen
Note 11 - Employee Equity Incentive Plans | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 11. Employee Equity Incentive Plans Stock Purchase and Stock Option Plans The 2009 Equity Incentive Plan, the 2011 Equity Incentive Plan and the 2013 Equity Incentive Plan On September 10, 2009, our stockholders approved the 2009 Equity Incentive Plan, or the 2009 Plan, under which 900,000 shares of our common stock are reserved for the grant of stock options and other equity incentives. On September 16, 2011, our stockholders approved the 2011 Equity Incentive Plan, or the 2011 Plan, under which 600,000 shares of our common stock are reserved for the grant of stock options and other equity incentives. On August 30, 2013, our stockholders approved the 2013 Equity Incentive Plan, or the 2013 Plan, under which 2,000,000 shares of our common stock are reserved for the grant of stock options and other equity incentives. The 2009 Plan, the 2011 Plan and the 2013 Plan are referred to as the Plans. Stock Options Under the Plans, nonqualified and incentive stock options may be granted to employees, consultants and non-employee directors. Generally, the per share exercise price shall not be less than 100% of the fair market value of a share on the grant date. The Board of Directors has the full power to determine the provisions of each option issued under the Plans. While we may grant options that become exercisable at different times or within different periods, we have primarily granted options that vest over four years. The options, once granted, expire ten years from the date of grant. Stock Awards Stock awards, denominated restricted stock under the 2009 Plan and the 2011 Plan, may be granted to any employee, director or consultant under the Plans. Pursuant to a stock award, we will issue shares of common stock. Shares that are subject to the restriction will be released from restriction if certain requirements, including continued performance of services, are met. Stock Appreciation Rights Awards of stock appreciation rights, or SARs, may be granted to employees, consultants and non-employee directors pursuant to the Plans. A SAR is payable on the difference between the market price at the time of exercise and the exercise price at the date of grant. In any event, the exercise price of a SAR shall not be less than 100% of the fair market value of a share on the grant date and shall expire no later than ten years from the grant date. Upon exercise, the holder of a SAR shall be entitled to receive payment either in cash or a number of shares by dividing such cash amount by the fair market value of a share on the exercise date. Restricted Stock Units Restricted stock units, denominated performance units in the 2009 Plan, may be granted to employees, consultants and non-employee directors under the Plan. Each restricted stock unit shall have a value equal to the fair market value of one share. After the applicable performance period has ended, the holder will be entitled to receive a payment, either in cash or in the form of shares, based on the number of restricted stock units earned over the performance period, to be determined as a function of the extent to which the corresponding performance goals or other vesting provisions have been achieved. The 2016 Equity Incentive Plan On June 9, 2016, the Board of Directors approved the adoption of the 2016 Equity Incentive Plan, or the 2016 Plan, under which 2,000,000 shares of the common stock will be reserved for the grant of stock options and other equity incentives. As of June 30, 2016, the 2016 Plan is subject to our stockholders' approval. Employee Stock Purchase Plan The Board of Directors has approved the Amended and Restated 1999 Employee Stock Purchase Plan, or the Purchase Plan, and reserved a total of 1,550,000 shares of common stock for issuance under the Purchase Plan. Under the Purchase Plan, all eligible employees may purchase our common stock at a price equal to 85% of the lower of the fair market value at the beginning of the offer period or the semi-annual purchase date. Stock purchases are limited to 15% of an employee’s eligible compensation. During the three months ended June 30, 2016, there were 55,231 shares purchased under the Purchase Plan, leaving approximately 185,010 shares available for purchase under the Purchase Plan in the future. Stock-Based Compensation The following table summarizes the effects of stock-based compensation charges (in thousands): Three Months Ended June 30, Statement of Operations Classifications 2016 2015 (unaudited) Cost of goods sold $ 100 $ 122 Research, development and engineering (1) 303 460 Selling, general and administrative expenses 452 406 Stock-based compensation effect in income before taxes 855 988 Provision for income taxes (2) 342 346 Net stock-based compensation effects in net income $ 513 $ 642 (1) Includes acquisition related compensation expenses of $249,000 during the quarter ended June 30, 2015. (2) Calculated at the U.S. statutory income tax rate of 40% in fiscal 2017 and 35% in fiscal 2016. During the three months ended June 30, 2016, the unaudited condensed consolidated statements of operations and cash flows do not reflect any tax benefit for the tax deduction from option exercises and other awards. As of June 30, 2016, approximately $6.8 million in stock-based compensation is to be recognized for unvested stock options granted under our equity incentive plans. The unrecognized compensation cost is expected to be recognized over a weighted average period of 2.8 years. The Black-Scholes option pricing model is used to estimate the fair value of options granted under our equity incentive plans and rights to acquire stock granted under our stock purchase plan. The weighted average estimated fair values of employee stock option grants and rights granted under the Purchase Plan, as well as the weighted average assumptions that were used in calculating such values during the three months ended June 30, 2016 and 2015, were based on estimates at the date of grant as follows: Stock Options Purchase Plan Three Months Ended June 30, Three Months Ended June 30, 2016 2015 2016 2015 (unaudited) (unaudited) Weighted average estimated fair value of grant per share $ 3.96 $ 6.32 $ 3.94 $ 3.15 Risk-free interest rate 1.4 % 2.0 % 0.26 % 0.1 % Expected term in years 6.41 6.75 1.00 1.00 Volatility 41.0 % 50.7 % 42.9 % 33.7 % Dividend yield 1.41 % 1.01 % 1.42 % 1.11 % Activity with respect to outstanding stock options for the three months ended June 30, 2016 was as follows: Weighted Average Number of Exercise Price Intrinsic Value Shares Per Share (000) (1) (unaudited) Balance at March 31, 2016 5,234,397 $ 10.40 Options granted 222,000 $ 10.97 Options exercised (27,897 ) $ 6.53 $ 130 Options expired (5,000 ) $ 9.73 Balance at June 30, 2016 5,423,500 $ 10.44 Exercisable at June 30, 2016 3,684,916 $ 10.03 Exercisable at March 31, 2016 3,619,563 $ 9.93 (1) Represents the difference between the exercise price and the value of our common stock at the time of exercise. |
Note 12 - Accumulated Other Com
Note 12 - Accumulated Other Comprehensive Income (Loss) | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Comprehensive Income (Loss) Note [Text Block] | 12. Accumulated Other Comprehensive Income (Loss) The components and the changes in accumulated other comprehensive income (loss), net of tax, for the three months ended June 30, 2016 and 2015 were as follows (in thousands): Foreign Currency Unrealized Gains (Losses) on Securities Defined Benefit Pension Plans Accumulated Other Comprehensive Income (Loss) (unaudited) Balance as of March 31, 2016 $ (10,639 ) $ (82 ) $ (9,545 ) $ (20,266 ) Other comprehensive income (loss) before reclassifications (2,825 ) 85 - (2,740 ) Net loss reclassified from accumulated other comprehensive income (loss) - 90 - 90 Net current period other comprehensive income (loss) (2,825 ) 175 - (2,650 ) Balance as of June 30, 2016 $ (13,464 ) $ 93 $ (9,545 ) $ (22,916 ) Foreign Currency Unrealized Gains (Losses) on Securities Defined Benefit Pension Plans Accumulated Other Comprehensive Income (Loss) (unaudited) Balance as of March 31, 2015 $ (13,577 ) $ 7 $ (9,518 ) $ (23,088 ) Other comprehensive income (loss) before reclassifications 2,692 (117 ) - 2,575 Net current period other comprehensive income (loss) 2,692 (117 ) - 2,575 Balance as of June 30, 2015 $ (10,885 ) $ (110 ) $ (9,518 ) $ (20,513 ) The amounts reclassified out of accumulated other comprehensive income (loss) for the three months ended June 30, 2016 and 2015 are as follows (in thousands): Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Impacted Line Item on Unaudited Condensed Consolidated Income Statements Three Months Ended June 30, 2016 2015 (unaudited) Impairment of marketable securities (151 ) - Other income (expense), net Subtotal (151 ) - Income before income tax provision Tax impact 61 - Provision for income tax Total reclassifications for the period $ (90 ) $ - Net income |
Note 13 - Computation of Earnin
Note 13 - Computation of Earnings Per Share | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 13. Computation of Earnings per Share Basic and diluted earnings per share are calculated as follows (in thousands, except per share amounts): Three Months Ended June 30, 2016 2015 (unaudited) Net income $ 3,019 $ 2,985 Weighted average shares - basic 31,401 31,746 Weighted average shares - diluted 32,001 32,733 Net income per share - basic $ 0.10 $ 0.09 Net income per share - diluted $ 0.09 $ 0.09 Diluted weighted average shares included approximately 600,000 and 987,000 common equivalent shares from stock options for the three months ended June 30, 2016 and 2015. Basic net income available per common share is computed using net income and the weighted average number of common shares outstanding during the period. Diluted net income per common share is computed using net income and the weighted average number of common shares outstanding, assuming dilution, which includes potentially dilutive common shares outstanding during the period. Potentially dilutive common shares include the assumed exercise of stock options using the treasury stock method. During the three months ended June 30, 2016 and 2015, there were outstanding options to purchase 2,889,670 and 868,702 shares, respectively, that were not included in the computation of diluted net income per share since the exercise prices of the options exceeded the market price of the common stock and thus their inclusion would be anti-dilutive. These options could dilute earnings per share in future periods if the market price of the common stock increases. |
Note 14 - Segment and Geographi
Note 14 - Segment and Geographic Information | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 14. Segment and Geographic Information We have a single operating segment and reportable segment. We design develop, manufacture and market high performance semiconductor products. Our Chief Executive Officer and our President, together, have been identified as the chief operating decision makers. Our chief operating decision makers review financial information presented as one operating segment for the purpose of making decisions, allocating resources and assessing financial performance. Our net revenues by major geographic area (based on destination) were as follows (in thousands): Three Months Ended June 30, 2016 2015 (unaudited) United States $ 19,501 $ 20,133 Europe and the Middle East France 3,450 2,040 Germany 8,599 8,077 Italy 1,076 1,264 Netherlands 1,140 695 United Kingdom 3,627 3,220 Other 5,953 6,697 Asia Pacific China 22,640 21,235 Japan 1,718 3,322 Korea 4,695 6,136 Malaysia 804 1,242 Singapore 3,007 3,117 Thailand 811 1,043 Other 1,747 1,484 Rest of the World India 900 1,132 Other 970 1,210 Total $ 80,638 $ 82,047 The following table sets forth net revenues for each of our product groups for the three months ended June 30, 2016 and 2015 (in thousands): Three Months Ended June 30, 2016 2015 (unaudited) Power semiconductors $ 56,479 $ 54,978 Integrated circuits 20,382 22,484 Systems and RF power semiconductors 3,777 4,585 Total $ 80,638 $ 82,047 For the three months ended June 30, 2016 and 2015, one distributor accounted for 13.8% and 10.7% of our net revenues in each period, respectively. For the three months ended June 30, 2016, another distributor accounted for 10.6% of our net revenues. |
Note 15 - Income Taxes
Note 15 - Income Taxes | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 15. Income Taxes For the three months ended June 30, 2016 and 2015, we recorded income tax provisions of $2.3 million and $1.7 million, reflecting effective tax rates of 42.7% and 35.8%, respectively. Our effective tax rates for the quarters ended June 30, 2016 and 2015 were affected by non-benefitted losses incurred in certain tax jurisdictions. For both periods, the effective tax rates reflected estimates of annual income in domestic and foreign jurisdictions, as adjusted by certain tax items. |
Note 16 - Commitments and Conti
Note 16 - Commitments and Contingencies | 3 Months Ended |
Jun. 30, 2016 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 16. Commitments and Contingencies Revolving Credit Agreement On November 20, 2015, we entered into Revolving Credit Agreement with a syndicate of banks whose agent is BOTW for a line of credit of $125.0 million. All amounts owed under the credit agreement are due and payable on November 20, 2017. Borrowings may be repaid and re-borrowed at any time during the term of the credit agreement. The obligations are guaranteed by four of our subsidiaries. The loan is collateralized pursuant to a Contingent Collateral Agreement under which the assets of the parent company and the four subsidiaries could be subject to security interests for the benefit of the banks in the event of a loan default. The credit agreement includes a letter of credit subfacility, under which BOTW agrees to issue letters of credit of up to $10.0 million. However, borrowing under this subfacility is limited to the extent of availability under the $125.0 million revolving line of credit. During the first quarter ended June 30, 2016, we made a principal repayment of $7.0 million. At June 30, 2016, the outstanding principal under the credit agreement was $73.0 million. See Note 9, “Borrowing Arrangements” for further information regarding the terms of the credit agreement. Other Commitments and Contingencies On occasion, we provide limited indemnification to customers against intellectual property infringement claims related to our products. To date, we have not experienced significant activity or claims related to such indemnifications. We also provide in the normal course of business indemnification to our officers, directors and selected parties. We are unable to estimate any potential future liability, if any. Therefore, no liability for these indemnification agreements has been recorded as of June 30, 2016 and March 31, 2016. On July 1, 2016, in connection with an income tax audit of our subsidiary in the Philippines for fiscal year ended March 31, 2010, we received a notice from the Philippine Bureau of Internal Revenue, or BIR, that they upheld an initial assessment for a deficiency of income taxes, inclusive of interest and penalties, of approximately $2.5 million. In accordance with our rights, we have filed an appeal before the Philippine Court of Tax Appeals, or CTA. While there are no assurances that we will prevail, we believe that we have a valid legal reason to challenge the BIR’s decision and that our appeal before the CTA will merit a favorable resolution. Accordingly, we have not accrued any amount for this matter. |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | The accompanying interim unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. The unaudited condensed consolidated financial statements include the accounts of IXYS Corporation and its wholly-owned subsidiaries. The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and judgments that affect the amounts reported in the financial statements and accompanying notes. The accounting estimates that require management’s most difficult judgments include, but are not limited to, revenue reserves, inventory valuation, accounting for income taxes, and allocation of purchase price in business combinations. All significant intercompany transactions have been eliminated in consolidation. All adjustments of a normal recurring nature that, in the opinion of management, are necessary for a fair statement of the results for the interim periods have been made. The condensed consolidated balance sheet as of March 31, 2016 has been derived from our audited consolidated balance sheet as of that date. It is recommended that the interim financial statements be read in conjunction with our audited consolidated financial statements and notes thereto for the fiscal year ended March 31, 2016, or fiscal 2016, contained in our Annual Report on Form 10-K. Interim results are not necessarily indicative of the operating results expected for later quarters or the full fiscal year. Our fiscal years end March 31. References to any numerically identified year preceded by the word “fiscal” are references to the year ending on March 31 of such numerically identified year. |
New Accounting Pronouncements, Policy [Policy Text Block] | In May 2014, Financial Accounting Standards Board, or FASB, issued a new standard on the recognition of revenue from contracts with customers, which includes a single set of rules and criteria for revenue recognition to be used across all industries. The revenue standard’s core principle is built on the contract between a vendor and a customer for the provision of goods and services. It attempts to depict the exchange of rights and obligations between the parties in the pattern of revenue recognition based on the consideration to which the vendor is entitled. To accomplish this objective, the standard requires five basic steps: identify the contract with the customer, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to the performance obligations in the contract, and recognize revenue when or as the entity satisfies a performance obligation. This standard is effective for annual reporting periods beginning after December 15, 2017, including interim periods during the annual period. Early adoption is prohibited for annual periods commencing before December 15, 2016. Different transition methods are available — full retrospective method, retrospective with certain practical expedients, and a modified retrospective (cumulative effect) approach. We are currently evaluating the impact of the adoption of the standard on our consolidated financial statements including selection of the transition method. In March 2016, FASB issued an amended guidance on the topic of revenue from contracts with customers relating to revenue recognition to clarify the implementation guidance on principal versus agent considerations and to address how an entity should assess whether it is the principal or the agent in contracts that include three or more parties. The effective date and transition requirements for these amendments are the same as the effective date and transition requirements of the new revenue recognition standard. We are currently evaluating the impact of these amendments on our financial statements. In April 2016, FASB issued an amended guidance to clarify the following two aspects relating revenue recognition: identifying performance obligations and the licensing implementation guidance, while retaining the related principles for those areas. Before an entity can identify its performance obligation in a contract with a customer, the entity first identifies the promised goods or services in the contract. The amendments are expected to reduce the cost and complexity of applying the guidance on identifying promised goods or services. The amendments include implementation guidance on determining whether an entity’s promise to grant a license provides a customer with either a right to use the entity’s intellectual property or a right to access the entity’s intellectual property. The amendments are intended to improve the operability and understandability of the licensing implementation guidance. The effective date and transition requirements for the amendments are the same as the effective date and transition requirements relating to the new revenue recognition standard. We are currently evaluating the impact of these amendments and the transition alternatives on our consolidated financial statements. In May 2016, FASB issued an amended guidance on the topic of revenue from contracts with customers which would affect the narrow aspects of Topic 606, including assessing the collectibility criterion and accounting for contracts that do not meet the criteria for identifying the contracts with a customer, presentation of sales taxes and other similar taxes collected from customers, noncash consideration, contract modifications at transition, completed contracts at transition, and technical correction. The effective date and transition requirements for the amendments are the same as the effective date and transition requirements relating to the new revenue recognition standard. We are currently evaluating the impact of these amendments and the transition alternatives on our consolidated financial statements. In July 2015, FASB issued an amendment to modify the inventory measurement guidance in Topic 330, Inventory and interim periods during the annual period. The new standard is required to be applied prospectively with earlier application permitted as of the beginning of an interim or annual reporting period. We do not expect this change to have a significant impact on our consolidated financial statements. In January 2016, the FASB issued authoritative guidance that modifies how entities measure equity investments and present changes in the fair value of financial liabilities. Under the new guidance, entities will have to measure equity investments that do not result in consolidation and are not accounted under the equity method at fair value and recognize any changes in fair value in net income unless the investments qualify for the new practicality exception. A practicality exception will apply to those equity investments that do not have a readily determinable fair value and do not qualify for the practical expedient to estimate fair value under Accounting Standards Codification, or ASC 820, Fair Value Measurements, and as such these investments may be measured at cost. This guidance is effective for financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. We are currently evaluating the impact of this standard on our consolidated financial statements. In February 2016, FASB issued amended guidance for lease arrangements, which requires lessees to recognize the followings for all leases with terms longer than 12 months: a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis and a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. The amendment is effective for financial statements issued for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. We are currently evaluating the impact of this amended guidance on our consolidated financial statements. In March 2016, FASB issued amended guidance to simplify the transition to the equity method of accounting. This standard eliminates the requirement that when an existing cost method investment qualifies for use of the equity method, an investor must restate its historical financial statements, as if the equity method had been used during all previous periods. Additionally, any unrealized gain or loss in accumulated other comprehensive income (loss) will be recognized through earnings at the point an investment qualifies for the equity method. The amended guidance is effective for financial statements issued for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. It should be applied prospectively. Early adoption is permitted. We are currently evaluating the impact of this amended guidance on our consolidated financial statements. In March, 2016, FASB issued amended guidance which simplifies several aspects of the accounting for employee share-based payment awards, including forfeitures, employer tax withholding on share-based compensation and excess tax benefits or deficiencies. The amended guidance also clarifies the statement of cash flows presentation for share-based awards. The guidance is effective for financial statements issued for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. Early adoption is permitted in any interim or annual period for which financial statements have not yet been issued or have not been made available for issuance. We are currently evaluating the impact of this amended guidance on our consolidated financial statements. In June 2016, FASB issued amended guidance which replaces the incurred loss impairment methodology in the current guidance with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The amendments affect financial assets and net investment in leases that are not accounted for at fair value through net income. The new guidance is effective for financial statements issued for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is allowed as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. We are currently evaluating the impact of this amended guidance on our consolidated financial statements. |
Note 3 - Business Combinations
Note 3 - Business Combinations (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | Purchase Consideration Allocation Cash, restricted cash and cash equivalents $ 196 Accounts receivable 1,497 Inventories 534 Property, plant and equipment 24 Prepaid expenses and other current assets 547 Identifiable intangible assets 2,867 Short-term borrowings (2,354 ) Accounts payable (614 ) Accruals and other liabilities (1,926 ) Total identifiable net liabilities 771 Goodwill 14,887 Total purchase consideration $ 15,658 |
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] | Estimated Fair Value Amortization Useful Life (In thousands) Method (In months) (unaudited) Developed intellectual property $ 1,005 Accelerated 60 In-process research and development expenses (1) 1,188 Straight-line 60 Customer relationships 500 Accelerated 36 Contract backlog 174 Straight-line 6 Total $ 2,867 |
Note 4 - Fair Value (Tables)
Note 4 - Fair Value (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | June 30, 2016 (1) March 31, 2016 (1) Fair Value Measured at Fair Value Measured at Reporting Date Using Reporting Date Using Description Total Level 1 Level 2 Total Level 1 Level 2 (unaudited) (unaudited) Assets Money market funds (2) $ 89,440 $ 89,440 $ - $ 115,974 $ 115,974 $ - Marketable equity securities (3) 1,879 1,879 - 1,749 1,749 - Auction rate preferred securities (3) 350 - 350 350 - 350 Total Assets Measured at Fair Value $ 91,669 $ 91,319 $ 350 $ 118,073 $ 117,723 $ 350 |
Note 5 - Accounts Receivable (T
Note 5 - Accounts Receivable (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | June 30, March 31, 2016 2016 (unaudited) Accounts receivable, gross $ 43,751 $ 41,219 Allowances (2,688 ) (2,779 ) Accounts receivable, net $ 41,063 $ 38,440 |
Note 6 - Other Assets (Tables)
Note 6 - Other Assets (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Other Assets, Noncurrent [Table Text Block] | June 30, March 31, 2016 2016 (unaudited) Marketable equity securities $ 1,879 $ 1,749 Auction rate preferred securities 350 350 Long-term equity method investments 11,250 10,977 Other items 692 686 Total $ 14,171 $ 13,762 |
Note 7 - Inventories (Tables)
Note 7 - Inventories (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | June 30, March 31, 2016 2016 (unaudited) Raw materials $ 18,252 $ 18,269 Work in process 40,285 41,549 Finished goods 27,119 29,786 Total $ 85,656 $ 89,604 |
Note 8 - Accrued Expenses and30
Note 8 - Accrued Expenses and Other Current Liabilities (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Accrued Expenses and Other Current Liabilities [Table Text Block] | June 30, March 31, 2016 2016 (unaudited) Uninvoiced goods and services $ 11,152 $ 8,824 Compensation and benefits 7,204 7,540 Income taxes 2,690 2,066 Commissions, royalties and other 2,529 2,860 Total $ 23,575 $ 21,290 |
Note 10 - Pension Plans (Tables
Note 10 - Pension Plans (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Net Benefit Costs [Table Text Block] | Three Months Ended June 30, 2016 2015 (unaudited) Service cost $ 28 $ 26 Interest cost on projected benefit obligation 352 368 Expected return on plan assets (323 ) (438 ) Recognized actuarial loss 48 45 Net periodic pension expense $ 105 $ 1 |
Defined Benefit Plan Plan Assets Fair Value [Table Text Block] | June 30, 2016 March 31, 2016 Description Level 1 Level 2 Total Level 1 Level 2 Total (unaudited) (unaudited) Cash and cash funds $ 17 $ - $ 17 $ 121 $ - $ 121 Equity 398 - 398 351 - 351 Fixed interest 1,326 94 1,420 1,225 96 1,321 Mutual funds 13,156 13,203 26,359 13,527 13,394 26,921 Total $ 14,897 $ 13,297 $ 28,194 $ 15,224 $ 13,490 $ 28,714 |
Note 11 - Employee Equity Inc32
Note 11 - Employee Equity Incentive Plans (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block] | Three Months Ended June 30, Statement of Operations Classifications 2016 2015 (unaudited) Cost of goods sold $ 100 $ 122 Research, development and engineering (1) 303 460 Selling, general and administrative expenses 452 406 Stock-based compensation effect in income before taxes 855 988 Provision for income taxes (2) 342 346 Net stock-based compensation effects in net income $ 513 $ 642 |
Schedule of Employee Service Share Based Compensation Fair Value Assumptions and Methodology [Table Text Block] | Stock Options Purchase Plan Three Months Ended June 30, Three Months Ended June 30, 2016 2015 2016 2015 (unaudited) (unaudited) Weighted average estimated fair value of grant per share $ 3.96 $ 6.32 $ 3.94 $ 3.15 Risk-free interest rate 1.4 % 2.0 % 0.26 % 0.1 % Expected term in years 6.41 6.75 1.00 1.00 Volatility 41.0 % 50.7 % 42.9 % 33.7 % Dividend yield 1.41 % 1.01 % 1.42 % 1.11 % |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Weighted Average Number of Exercise Price Intrinsic Value Shares Per Share (000) (1) (unaudited) Balance at March 31, 2016 5,234,397 $ 10.40 Options granted 222,000 $ 10.97 Options exercised (27,897 ) $ 6.53 $ 130 Options expired (5,000 ) $ 9.73 Balance at June 30, 2016 5,423,500 $ 10.44 Exercisable at June 30, 2016 3,684,916 $ 10.03 Exercisable at March 31, 2016 3,619,563 $ 9.93 |
Note 12 - Accumulated Other C33
Note 12 - Accumulated Other Comprehensive Income (Loss) (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Foreign Currency Unrealized Gains (Losses) on Securities Defined Benefit Pension Plans Accumulated Other Comprehensive Income (Loss) (unaudited) Balance as of March 31, 2016 $ (10,639 ) $ (82 ) $ (9,545 ) $ (20,266 ) Other comprehensive income (loss) before reclassifications (2,825 ) 85 - (2,740 ) Net loss reclassified from accumulated other comprehensive income (loss) - 90 - 90 Net current period other comprehensive income (loss) (2,825 ) 175 - (2,650 ) Balance as of June 30, 2016 $ (13,464 ) $ 93 $ (9,545 ) $ (22,916 ) Foreign Currency Unrealized Gains (Losses) on Securities Defined Benefit Pension Plans Accumulated Other Comprehensive Income (Loss) (unaudited) Balance as of March 31, 2015 $ (13,577 ) $ 7 $ (9,518 ) $ (23,088 ) Other comprehensive income (loss) before reclassifications 2,692 (117 ) - 2,575 Net current period other comprehensive income (loss) 2,692 (117 ) - 2,575 Balance as of June 30, 2015 $ (10,885 ) $ (110 ) $ (9,518 ) $ (20,513 ) |
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Impacted Line Item on Unaudited Condensed Consolidated Income Statements Three Months Ended June 30, 2016 2015 (unaudited) Impairment of marketable securities (151 ) - Other income (expense), net Subtotal (151 ) - Income before income tax provision Tax impact 61 - Provision for income tax Total reclassifications for the period $ (90 ) $ - Net income |
Note 13 - Computation of Earn34
Note 13 - Computation of Earnings Per Share (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended June 30, 2016 2015 (unaudited) Net income $ 3,019 $ 2,985 Weighted average shares - basic 31,401 31,746 Weighted average shares - diluted 32,001 32,733 Net income per share - basic $ 0.10 $ 0.09 Net income per share - diluted $ 0.09 $ 0.09 |
Note 14 - Segment and Geograp35
Note 14 - Segment and Geographic Information (Tables) | 3 Months Ended |
Jun. 30, 2016 | |
Notes Tables | |
Revenue from External Customers by Geographic Areas [Table Text Block] | Three Months Ended June 30, 2016 2015 (unaudited) United States $ 19,501 $ 20,133 Europe and the Middle East France 3,450 2,040 Germany 8,599 8,077 Italy 1,076 1,264 Netherlands 1,140 695 United Kingdom 3,627 3,220 Other 5,953 6,697 Asia Pacific China 22,640 21,235 Japan 1,718 3,322 Korea 4,695 6,136 Malaysia 804 1,242 Singapore 3,007 3,117 Thailand 811 1,043 Other 1,747 1,484 Rest of the World India 900 1,132 Other 970 1,210 Total $ 80,638 $ 82,047 |
Revenue from External Customers by Products and Services [Table Text Block] | Three Months Ended June 30, 2016 2015 (unaudited) Power semiconductors $ 56,479 $ 54,978 Integrated circuits 20,382 22,484 Systems and RF power semiconductors 3,777 4,585 Total $ 80,638 $ 82,047 |
Note 3 - Business Combination36
Note 3 - Business Combinations (Details Textual) - RadioPulse [Member] - USD ($) | May 01, 2015 | Jun. 30, 2015 |
Business Combination, Consideration Transferred | $ 15,700,000 | |
Payments to Acquire Businesses, Gross | 14,700,000 | |
Business Combination, Consideration Transferred, Other | 1,000,000 | |
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 6,000,000 | |
Business Combination, Contingent Consideration Arrangements, Earnout Payment Period | 3 years | |
Business Acquisition, Transaction Costs | $ 248,000 | |
Employee Service Share-based Compensation, Cash Flow Effect, Cash Used to Settle Awards | $ 249,000 | $ 249,000 |
Note 3 - Business Combination37
Note 3 - Business Combinations - Purchase Price Allocation (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 | May 01, 2015 |
RadioPulse [Member] | |||
Cash, restricted cash and cash equivalents | $ 196 | ||
Accounts receivable | 1,497 | ||
Inventories | 534 | ||
Property, plant and equipment | 24 | ||
Prepaid expenses and other current assets | 547 | ||
Identifiable intangible assets | 2,867 | ||
Short-term borrowings | (2,354) | ||
Accounts payable | (614) | ||
Accruals and other liabilities | (1,926) | ||
Total identifiable net liabilities | 771 | ||
Goodwill | 14,887 | ||
Total purchase consideration | $ 15,658 | ||
Goodwill | $ 42,313 | $ 42,355 |
Note 3 - Business Combination38
Note 3 - Business Combinations - Acquired Finite-Lived Intangible Assets (Details) $ in Thousands | May 01, 2015USD ($) | |
Developed Technology Rights [Member] | ||
Fair Value | $ 1,005 | |
Finite-Lived Intangible Assets, Amortization Method | Accelerated | |
Acquired Finite-Lived Intangible Assets, Estimated Useful Life | 5 years | |
In Process Research and Development [Member] | ||
Fair Value | $ 1,188 | [1] |
Finite-Lived Intangible Assets, Amortization Method | Straight-line | [1] |
Acquired Finite-Lived Intangible Assets, Estimated Useful Life | 5 years | [1] |
Customer Relationships [Member] | ||
Fair Value | $ 500 | |
Finite-Lived Intangible Assets, Amortization Method | Accelerated | |
Acquired Finite-Lived Intangible Assets, Estimated Useful Life | 3 years | |
Order or Production Backlog [Member] | ||
Fair Value | $ 174 | |
Finite-Lived Intangible Assets, Amortization Method | Straight-line | |
Acquired Finite-Lived Intangible Assets, Estimated Useful Life | 180 days | |
Fair Value | $ 2,867 | |
[1] | Amortization starts after the completion of the research and development activities of the related projects. |
Note 4 - Fair Value (Details Te
Note 4 - Fair Value (Details Textual) - USD ($) | 3 Months Ended | 12 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | Mar. 31, 2016 | |
Other than Temporary Impairment Losses, Investments | $ 151,000 | $ 0 | |
Auction Rate Preferred Securities Percentage Collateralized | 100.00% | 100.00% | |
Collateralized Asset Value Exceeding Value of ARPS Percentage | 200.00% | 200.00% | |
Debt, Long-term and Short-term, Combined Amount | $ 79,000,000 | $ 87,100,000 |
Note 4 - Fair Value - Assets an
Note 4 - Fair Value - Assets and Liabilities Measured at Fair Value (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 | |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | |||
Assets | |||
Money market funds | [1],[2] | $ 89,440 | $ 115,974 |
Marketable equity securities | [2],[3] | 1,879 | 1,749 |
Auction rate preferred securities | [2],[3] | ||
Total Assets Measured at Fair Value | [2] | 91,319 | 117,723 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Assets | |||
Money market funds | [1],[2] | ||
Marketable equity securities | [2],[3] | ||
Auction rate preferred securities | [2],[3] | 350 | 350 |
Total Assets Measured at Fair Value | [2] | 350 | 350 |
Fair Value, Measurements, Recurring [Member] | |||
Assets | |||
Money market funds | [1],[2] | 89,440 | 115,974 |
Marketable equity securities | [2],[3] | 1,879 | 1,749 |
Auction rate preferred securities | [2],[3] | 350 | 350 |
Total Assets Measured at Fair Value | [2] | 91,669 | 118,073 |
Marketable equity securities | 1,879 | 1,749 | |
Auction rate preferred securities | $ 350 | $ 350 | |
[1] | Included in "Cash and cash equivalents" on our unaudited condensed consolidated balance sheets. | ||
[2] | We did not have any recurring fair value measurements of assets or liabilities whose fair value was measured using significant unobservable inputs. | ||
[3] | Included in "Other assets" on our unaudited condensed consolidated balance sheets. |
Note 5 - Accounts Receivable -
Note 5 - Accounts Receivable - Accounts Receivable, Net (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 |
Accounts receivable, gross | $ 43,751 | $ 41,219 |
Allowances | (2,688) | (2,779) |
Accounts receivable, net | $ 41,063 | $ 38,440 |
Note 6 - Other Assets - Other A
Note 6 - Other Assets - Other Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 |
Marketable equity securities | $ 1,879 | $ 1,749 |
Auction rate preferred securities | 350 | 350 |
Long-term equity method investments | 11,250 | 10,977 |
Other items | 692 | 686 |
Total | $ 14,171 | $ 13,762 |
Note 7 - Inventories - Inventor
Note 7 - Inventories - Inventories (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 |
Raw materials | $ 18,252 | $ 18,269 |
Work in process | 40,285 | 41,549 |
Finished goods | 27,119 | 29,786 |
Total | $ 85,656 | $ 89,604 |
Note 8 - Accrued Expenses and44
Note 8 - Accrued Expenses and Other Current Liabilities - Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 |
Uninvoiced goods and services | $ 11,152 | $ 8,824 |
Compensation and benefits | 7,204 | 7,540 |
Income taxes | 2,690 | 2,066 |
Commissions, royalties and other | 2,529 | 2,860 |
Total | $ 23,575 | $ 21,290 |
Note 9 - Borrowing Arrangemen45
Note 9 - Borrowing Arrangements (Details Textual) | Nov. 20, 2015USD ($) | Apr. 01, 2015EUR (€) | Jun. 30, 2016EUR (€) | Jun. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016EUR (€) | Mar. 31, 2016USD ($) | Apr. 01, 2015USD ($) |
Bank of West Amended and Restated Credit Agreement November 20, 2015 [Member] | Minimum [Member] | ||||||||
Line of Credit Facility Basis Spread on Variable Rate | 0.75% | 0.75% | ||||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.25% | 0.25% | ||||||
Bank of West Amended and Restated Credit Agreement November 20, 2015 [Member] | Maximum [Member] | ||||||||
Line of Credit Facility Basis Spread on Variable Rate | 2.50% | 2.50% | ||||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.625% | 0.625% | ||||||
Bank of West Amended and Restated Credit Agreement November 20, 2015 [Member] | ||||||||
Line of Credit Facility, Initiation Date | Nov. 20, 2015 | |||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 125,000,000 | |||||||
Line of Credit Facility, Interest Rate at Period End | 2.56% | 2.56% | ||||||
Debt Issuance Costs, Net | $ 257,000 | $ 304,000 | ||||||
Long-term Line of Credit | 73,000,000 | 80,000,000 | ||||||
Available Credit Line for Letter of Credit | $ 10,000,000 | |||||||
Line of Credit Facility, Expiration Date | Nov. 20, 2017 | |||||||
April 2015 IKB Deutsche Industriebank Loan Payable [Member] | ||||||||
Debt Instrument, Face Amount | € 6,500,000 | $ 7,200,000 | ||||||
Debt Instrument, Interest Rate, Stated Percentage | 1.75% | 1.75% | ||||||
Debt Instrument, Periodic Payment, Principal | € 232,000 | $ 258,000 | ||||||
Long-term Debt, Gross | € 5,300,000 | 5,900,000 | € 5,600,000 | 6,300,000 | ||||
Debt Instrument, Maturity Date | Mar. 31, 2022 | |||||||
Notes Payable, Other Payables [Member] | ||||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Long-term Debt | $ 344,000 | $ 1,100,000 |
Note 10 - Pension Plans (Detail
Note 10 - Pension Plans (Details Textual) $ in Millions | 12 Months Ended | |
Mar. 31, 2017USD ($) | Jun. 30, 2016 | |
United Kingdom and the Philippines Plans [Member] | Scenario, Forecast [Member] | ||
Defined Benefit Plans, Estimated Future Employer Contributions in Current Fiscal Year | $ 1.1 | |
Number of Defined Benefit Plans | 3 |
Note 10 - Pension Plans - Net P
Note 10 - Pension Plans - Net Periodic Pension Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Service cost | $ 28 | $ 26 |
Interest cost on projected benefit obligation | 352 | 368 |
Expected return on plan assets | (323) | (438) |
Recognized actuarial loss | 48 | 45 |
Net periodic pension expense | $ 105 | $ 1 |
Note 10 - Pension Plans - Infor
Note 10 - Pension Plans - Information on Plan Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2016 | Mar. 31, 2016 |
Fair Value, Inputs, Level 1 [Member] | Cash and Cash Equivalents [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | $ 17 | $ 121 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 398 | 351 |
Fair Value, Inputs, Level 1 [Member] | Fixed Income Funds [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 1,326 | 1,225 |
Fair Value, Inputs, Level 1 [Member] | Mutual Fund [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 13,156 | 13,527 |
Fair Value, Inputs, Level 1 [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 14,897 | 15,224 |
Fair Value, Inputs, Level 2 [Member] | Cash and Cash Equivalents [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | ||
Fair Value, Inputs, Level 2 [Member] | Equity Securities [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | ||
Fair Value, Inputs, Level 2 [Member] | Fixed Income Funds [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 94 | 96 |
Fair Value, Inputs, Level 2 [Member] | Mutual Fund [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 13,203 | 13,394 |
Fair Value, Inputs, Level 2 [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 13,297 | 13,490 |
Cash and Cash Equivalents [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 17 | 121 |
Equity Securities [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 398 | 351 |
Fixed Income Funds [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 1,420 | 1,321 |
Mutual Fund [Member] | ||
Defined Benefit Plan, Fair Value of Plan Assets | 26,359 | 26,921 |
Defined Benefit Plan, Fair Value of Plan Assets | $ 28,194 | $ 28,714 |
Note 11 - Employee Equity Inc49
Note 11 - Employee Equity Incentive Plans (Details Textual) - USD ($) | May 01, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 09, 2016 | Aug. 30, 2013 | Sep. 16, 2011 | Sep. 10, 2009 |
Plan 2009 [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 900,000 | ||||||
Plan 2011 [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 600,000 | ||||||
Plan 2013 [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 2,000,000 | ||||||
Stock Options of Plans Two Thousand and Nine Two Thousand and Eleven and Two Thousand and Thirteen [Member] | Minimum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent | 100.00% | ||||||
Stock Options of Plans Two Thousand and Nine Two Thousand and Eleven and Two Thousand and Thirteen [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | ||||||
Stock Appreciation Rights of Plans Two Thousand and Nine Two Thousand and Eleven and Two Thousand and Thirteen [Member] | Minimum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent | 100.00% | ||||||
Stock Appreciation Rights of Plans Two Thousand and Nine Two Thousand and Eleven and Two Thousand and Thirteen [Member] | Maximum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | ||||||
Plan 2016 [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 2,000,000 | ||||||
Employee Stock Purchase Plan 1999 [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 1,550,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent | 85.00% | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Maximum Employee Subscription Rate | 15.00% | ||||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 55,231 | ||||||
Common Stock, Capital Shares Reserved for Future Issuance | 185,010 | ||||||
RadioPulse [Member] | |||||||
Employee Service Share-based Compensation, Cash Flow Effect, Cash Used to Settle Awards | $ 249,000 | $ 249,000 | |||||
Estimated Statutory Income Tax Rate | 40.00% | 35.00% | |||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 6,800,000 | ||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 2 years 292 days |
Note 11 - Employee Equity Inc50
Note 11 - Employee Equity Incentive Plans - Allocated Share-based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | |||
Cost of Sales [Member] | ||||
Stock-based Compensation Effect in Income before Taxes | $ 100 | $ 122 | ||
Research and Development Expense [Member] | ||||
Stock-based Compensation Effect in Income before Taxes | 303 | 460 | [1] | |
Selling, General and Administrative Expenses [Member] | ||||
Stock-based Compensation Effect in Income before Taxes | 452 | 406 | ||
Stock-based Compensation Effect in Income before Taxes | 855 | 988 | ||
Provision for income taxes | [2] | 342 | 346 | |
Net stock-based compensation effects in net income | $ 513 | $ 642 | ||
[1] | Includes acquisition related compensation expenses of $249,000 during the quarter ended June 30, 2015. | |||
[2] | Calculated at the U.S. statutory federal income tax rate of 40% in fiscal 2017 and 35% in fiscal 2016. |
Note 11 - Employee Equity Inc51
Note 11 - Employee Equity Incentive Plans - Fair Value and Assumptions (Details) - $ / shares | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Employee Stock Option [Member] | ||
Weighted average estimated fair value of grant per share (in dollars per share) | $ 3.96 | $ 6.32 |
Risk-free interest rate | 1.40% | 2.00% |
Expected term in years | 6 years 149 days | 6 years 273 days |
Volatility | 41.00% | 50.70% |
Dividend yield | 1.41% | 1.01% |
Employee Stock Purchase Plan 1999 [Member] | ||
Weighted average estimated fair value of grant per share (in dollars per share) | $ 3.94 | $ 3.15 |
Risk-free interest rate | 0.26% | 0.10% |
Expected term in years | 1 year | 1 year |
Volatility | 42.90% | 33.70% |
Dividend yield | 1.42% | 1.11% |
Note 11 - Employee Equity Inc52
Note 11 - Employee Equity Incentive Plans - Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Jun. 30, 2016 | Mar. 31, 2016 | ||
Options outstanding, beginning of period (in shares) | 5,234,397 | ||
Weighted average exercise price per share, beginning balance (in dollars per share) | $ 10.40 | ||
Options oustanding, Options granted (in shares) | 222,000 | ||
Weighted average exercise price per share, Options granted (in dollars per share) | $ 10.97 | ||
Options oustanding, Options exercised (in shares) | (27,897) | ||
Weighted average exercise price per share, Options exercised (in dollars per share) | $ 6.53 | ||
Options exercised, Intrinsic Value | [1] | $ 130 | |
Options oustanding, Options expired (in shares) | (5,000) | ||
Weighted average exercise price per share, Options expired (in dollars per share) | $ 9.73 | ||
Options oustanding, ending balance (in shares) | 5,423,500 | ||
Weighted average exercise price per share, ending balance (in dollars per share) | $ 10.44 | ||
Options exercisable (in shares) | 3,684,916 | 3,619,563 | |
Weighted average exercise price per share, exercisable (in dollars per share) | $ 10.03 | $ 9.93 | |
[1] | Represents the difference between the exercise price and the value of our common stock at the time of exercise. |
Note 12 - Accumulated Other C53
Note 12 - Accumulated Other Comprehensive Income (Loss) - AOCI Change (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | ||
Accumulated Other Comprehensive Income (Loss) Net Of Tax, Beginning of Period | $ (10,639) | $ (13,577) |
Other comprehensive income (loss) before reclassifications | (2,825) | 2,692 |
Net loss reclassified from accumulated other comprehensive income (loss) | ||
Net current period other comprehensive income (loss) | (2,825) | 2,692 |
Accumulated Other Comprehensive Income (Loss) Net Of Tax, End of Period | (13,464) | (10,885) |
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | ||
Accumulated Other Comprehensive Income (Loss) Net Of Tax, Beginning of Period | (82) | 7 |
Other comprehensive income (loss) before reclassifications | 85 | (117) |
Net loss reclassified from accumulated other comprehensive income (loss) | 90 | |
Net current period other comprehensive income (loss) | 175 | (117) |
Accumulated Other Comprehensive Income (Loss) Net Of Tax, End of Period | 93 | (110) |
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | ||
Accumulated Other Comprehensive Income (Loss) Net Of Tax, Beginning of Period | (9,545) | (9,518) |
Other comprehensive income (loss) before reclassifications | ||
Net loss reclassified from accumulated other comprehensive income (loss) | ||
Net current period other comprehensive income (loss) | ||
Accumulated Other Comprehensive Income (Loss) Net Of Tax, End of Period | (9,545) | (9,518) |
AOCI Attributable to Parent [Member] | ||
Accumulated Other Comprehensive Income (Loss) Net Of Tax, Beginning of Period | (20,266) | (23,088) |
Other comprehensive income (loss) before reclassifications | (2,740) | 2,575 |
Net loss reclassified from accumulated other comprehensive income (loss) | 90 | |
Net current period other comprehensive income (loss) | (2,650) | 2,575 |
Accumulated Other Comprehensive Income (Loss) Net Of Tax, End of Period | (22,916) | $ (20,513) |
Accumulated Other Comprehensive Income (Loss) Net Of Tax, Beginning of Period | (20,266) | |
Accumulated Other Comprehensive Income (Loss) Net Of Tax, End of Period | $ (22,916) |
Note 12 - Accumulated Other C54
Note 12 - Accumulated Other Comprehensive (Loss) - AOCI Reclass (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Other-than-Temporary Impairment Attributable to Parent [Member] | ||
Other income (expense), net | $ (151) | |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Income before Income Tax Provision | (151) | |
Tax impact | 61 | |
Total reclassifications for the period | (90) | |
Other income (expense), net | 815 | (790) |
Income before Income Tax Provision | 5,271 | 4,647 |
Tax impact | (2,252) | (1,662) |
Total reclassifications for the period | $ 3,019 | $ 2,985 |
Note 13 - Computation of Earn55
Note 13 - Computation of Earnings Per Share (Details Textual) - shares | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Weighted Average Number Diluted Shares Outstanding Adjustment | 600,000 | 987,000 |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 2,889,670 | 868,702 |
Note 13 - Computation of Earn56
Note 13 - Computation of Earnings per Share - Computation of Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Net income | $ 3,019 | $ 2,985 |
Weighted average shares - basic (in shares) | 31,401 | 31,746 |
Weighted average shares - diluted (in shares) | 32,001 | 32,733 |
Net income per share - basic (in dollars per share) | $ 0.10 | $ 0.09 |
Net income per share - diluted (in dollars per share) | $ 0.09 | $ 0.09 |
Note 14 - Segment and Geograp57
Note 14 - Segment and Geographic Information (Details Textual) | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Distributor 1 [Member] | ||
Number of Entity Wide Revenue Major Customers | 1 | 1 |
Concentration Risk, Percentage | 13.80% | 10.70% |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Distributor 2 [Member] | ||
Number of Entity Wide Revenue Major Customers | 1 | |
Concentration Risk, Percentage | 10.60% | |
Number of Reportable Segments | 1 | 1 |
Number of Operating Segments | 1 | 1 |
Note 14 - Segment and Geograp58
Note 14 - Segment and Geographic - Segment and Geographic Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
UNITED STATES | ||
Net Revenues | $ 19,501 | $ 20,133 |
FRANCE | ||
Net Revenues | 3,450 | 2,040 |
GERMANY | ||
Net Revenues | 8,599 | 8,077 |
ITALY | ||
Net Revenues | 1,076 | 1,264 |
NETHERLANDS | ||
Net Revenues | 1,140 | 695 |
UNITED KINGDOM | ||
Net Revenues | 3,627 | 3,220 |
Other Europe and the Middle East Regions [Member] | ||
Net Revenues | 5,953 | 6,697 |
CHINA | ||
Net Revenues | 22,640 | 21,235 |
JAPAN | ||
Net Revenues | 1,718 | 3,322 |
KOREA, REPUBLIC OF | ||
Net Revenues | 4,695 | 6,136 |
MALAYSIA | ||
Net Revenues | 804 | 1,242 |
SINGAPORE | ||
Net Revenues | 3,007 | 3,117 |
THAILAND | ||
Net Revenues | 811 | 1,043 |
Other Asia Pacific Regions [Member] | ||
Net Revenues | 1,747 | 1,484 |
INDIA | ||
Net Revenues | 900 | 1,132 |
Other Rest of the World [Member] | ||
Net Revenues | 970 | 1,210 |
Net Revenues | $ 80,638 | $ 82,047 |
Note 14 - Segment and Geograp59
Note 14 - Segment and Geographic Information - Revenue by Product Line (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Power Semiconductors [Member] | ||
Net Revenues | $ 56,479 | $ 54,978 |
Integrated Circuits [Member] | ||
Net Revenues | 20,382 | 22,484 |
Systems and RF Power Semiconductors [Member] | ||
Net Revenues | 3,777 | 4,585 |
Net Revenues | $ 80,638 | $ 82,047 |
Note 15 - Income Taxes (Details
Note 15 - Income Taxes (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Income Tax Expense (Benefit) | $ 2,252 | $ 1,662 |
Effective Income Tax Rate Reconciliation, Percent | 42.70% | 35.80% |
Note 16 - Commitments and Con61
Note 16 - Commitments and Contingencies (Details Textual) - USD ($) | Nov. 20, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Jul. 01, 2016 | Mar. 31, 2016 |
Bank of West Amended and Restated Credit Agreement November 20, 2015 [Member] | |||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 125,000,000 | ||||
Available Credit Line for Letter of Credit | $ 10,000,000 | ||||
Repayments of Debt | $ 7,000,000 | ||||
Long-term Line of Credit | 73,000,000 | $ 80,000,000 | |||
Line of Credit Facility, Initiation Date | Nov. 20, 2015 | ||||
Line of Credit Facility, Expiration Date | Nov. 20, 2017 | ||||
Subsequent Event [Member] | Foreign Tax Authority [Member] | Bureau of Internal Revenue [Member] | |||||
Loss Contingency, Estimate of Possible Loss | $ 2,500,000 | ||||
Repayments of Debt | $ 7,970,000 | $ 449,000 |