Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 30, 2014 | 2-May-14 | |
Document Information | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Mar-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Trading Symbol | 'TER | ' |
Entity Registrant Name | 'TERADYNE, INC | ' |
Entity Central Index Key | '0000097210 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 194,252,893 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Mar. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $232,626 | $341,638 |
Marketable securities | 462,150 | 586,882 |
Accounts receivable, less allowance for doubtful accounts of $2,454 and $2,912 at March 30, 2014 and December 31, 2013, respectively | 216,524 | 157,642 |
Inventories: | ' | ' |
Parts | 77,072 | 84,232 |
Assemblies in process | 15,131 | 15,539 |
Finished goods | 45,231 | 38,168 |
Inventory, Net, Total | 137,434 | 137,939 |
Deferred tax assets | 68,780 | 72,478 |
Prepayments | 131,484 | 136,374 |
Other current assets | 12,249 | 7,324 |
Total current assets | 1,261,247 | 1,440,277 |
Net property, plant and equipment | 278,727 | 275,236 |
Marketable securities | 272,068 | 271,078 |
Deferred tax assets | 5,551 | 5,217 |
Other assets | 10,574 | 14,591 |
Retirement plans assets | 9,443 | 9,342 |
Intangible assets, net | 234,020 | 252,291 |
Goodwill | 361,819 | 361,792 |
Total assets | 2,433,449 | 2,629,824 |
Current liabilities: | ' | ' |
Accounts payable | 70,597 | 62,874 |
Accrued employees' compensation and withholdings | 58,687 | 95,619 |
Deferred revenue and customer advances | 64,811 | 55,404 |
Other accrued liabilities | 65,561 | 63,712 |
Dividend payable | 11,648 | ' |
Accrued income taxes | 1,749 | 11,360 |
Current debt | ' | 186,663 |
Total current liabilities | 273,053 | 475,632 |
Long-term deferred revenue and customer advances | 13,981 | 13,756 |
Retirement plans liabilities | 92,530 | 91,517 |
Deferred tax liabilities | 50,532 | 40,686 |
Long-term other accrued liabilities | 13,523 | 23,139 |
Total liabilities | 443,619 | 644,730 |
Commitments and contingencies (Note O) | ' | ' |
SHAREHOLDERS' EQUITY | ' | ' |
Common stock, $0.125 par value, 1,000,000 shares authorized, 194,019 shares and 191,731 shares issued and outstanding at March 30, 2014 and December 31, 2013, respectively | 24,253 | 23,966 |
Additional paid-in capital | 1,405,175 | 1,390,896 |
Accumulated other comprehensive income | 4,890 | 4,000 |
Retained earnings | 555,512 | 566,232 |
Total shareholders' equity | 1,989,830 | 1,985,094 |
Total liabilities and shareholders' equity | $2,433,449 | $2,629,824 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Per Share data, unless otherwise specified | ||
Accounts receivable, less allowance for doubtful accounts | $2,454 | $2,912 |
Common stock, par value | $0.13 | $0.13 |
Common stock, shares authorized | 1,000,000 | 1,000,000 |
Common stock, shares issued | 194,019 | 191,731 |
Common stock, shares outstanding | 194,019 | 191,731 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (USD $) | 3 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 | ||
Net revenues: | ' | ' | ||
Products | $255,386 | $214,300 | ||
Services | 65,624 | 66,067 | ||
Total net revenues | 321,010 | 280,367 | ||
Cost of revenues: | ' | ' | ||
Cost of products | 124,448 | 96,793 | ||
Cost of services | 29,515 | 30,157 | ||
Total cost of revenues | 153,963 | 126,950 | ||
Gross profit | 167,047 | 153,417 | ||
Operating expenses: | ' | ' | ||
Engineering and development | 67,085 | 62,751 | ||
Selling and administrative | 78,003 | 67,890 | ||
Acquired intangible assets amortization | 18,271 | 18,036 | ||
Restructuring and other | ' | 332 | ||
Total operating expenses | 163,359 | 149,009 | ||
Income from operations | 3,688 | 4,408 | ||
Interest income | 1,036 | 1,072 | ||
Interest expense and other | 6,597 | 6,906 | ||
Loss before income taxes | -1,873 | [1],[2] | -1,426 | [1],[2] |
Income tax benefit | -2,802 | -8,015 | ||
Net income | $929 | $6,589 | ||
Net income per common share: | ' | ' | ||
Basic | $0 | $0.03 | ||
Diluted | $0 | $0.03 | ||
Weighted average common shares-basic | 193,311 | 189,686 | ||
Weighted average common shares-diluted | 236,484 | 234,757 | ||
Cash dividend declared per common share | $0.06 | ' | ||
[1] | Interest income and interest expense and other are included in Corporate and Eliminations. | |||
[2] | Included in the income (loss) before income taxes for each of the segments are charges and credits for the three months ended March 30, 2014 and March 31, 2013 that include restructuring and other, and provision for excess and obsolete inventory, as follows: |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 | ||
Net income | $929 | $6,589 | ||
Other comprehensive income (loss): | ' | ' | ||
Net unrealized gains on marketable securities arising during period, net of tax of $654, $115 | 1,139 | 200 | ||
Less: Reclassification adjustment for net gains included in net income, net of tax of $(102), $(83) | -176 | -144 | ||
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Total | 963 | 56 | ||
Defined benefit pension and post-retirement plans: | ' | ' | ||
Amortization of prior service benefit included in net periodic pension and post-retirement expense/income, net of tax of $(42), $(40) | -73 | [1] | -69 | [1] |
Other comprehensive income (loss) | 890 | -13 | ||
Comprehensive income | $1,819 | $6,576 | ||
[1] | The amortization of prior service benefit is included in the computation of net periodic pension cost and postretirement benefit; see Note N: "Retirement Plans." |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Comprehensive Income (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Net unrealized gains on marketable securities arising during period, tax | $654 | $115 |
Reclassification adjustment for net gains included in net income, tax | -102 | -83 |
Amortization of prior service benefit, tax | ($42) | ($40) |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $929 | $6,589 |
Adjustments to reconcile net income to net cash used for operating activities: | ' | ' |
Depreciation | 15,259 | 14,115 |
Amortization | 23,925 | 23,002 |
Stock-based compensation | 15,233 | 9,023 |
Provision for excess and obsolete inventory | 10,039 | 3,800 |
Deferred taxes | 12,699 | -6,183 |
Other | -141 | -987 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | -58,882 | -13,191 |
Inventories | 2,635 | -4,040 |
Prepayments and other assets | -628 | -1,070 |
Accounts payable and other accrued expenses | -45,487 | -47,404 |
Deferred revenue and customer advances | 9,632 | -10,000 |
Retirement plans contributions | -1,425 | -1,063 |
Accrued income taxes | -9,609 | -9,085 |
Net cash used for operating activities | -25,821 | -36,494 |
Cash flows from investing activities: | ' | ' |
Purchases of property, plant and equipment | -31,197 | -22,547 |
Purchases of marketable securities | -257,260 | -124,514 |
Proceeds from maturities of marketable securities | 280,322 | 119,552 |
Proceeds from sales of marketable securities | 101,363 | 21,694 |
Proceeds from life insurance | 4,391 | ' |
Net cash provided by (used for) investing activities | 97,619 | -5,815 |
Cash flows from financing activities: | ' | ' |
Issuance of common stock under employee stock purchase and stock option plans | 10,165 | 8,921 |
Payments of long-term debt | -190,975 | ' |
Payments of contingent consideration | ' | -313 |
Net cash (used for) provided by financing activities | -180,810 | 8,608 |
Decrease in cash and cash equivalents | -109,012 | -33,701 |
Cash and cash equivalents at beginning of period | 341,638 | 338,920 |
Cash and cash equivalents at end of period | $232,626 | $305,219 |
The_Company
The Company | 3 Months Ended | |||
Mar. 30, 2014 | ||||
The Company | ' | |||
A. The Company | ||||
Teradyne, Inc. (the “Company” or “Teradyne”) is a leading global supplier of automatic test equipment. Teradyne’s automatic test equipment products and services include: | ||||
• | semiconductor test (“Semiconductor Test”) systems; | |||
• | wireless test (“Wireless Test”) systems; and | |||
• | military/aerospace (“Mil/Aero”) test instrumentation and systems, storage test (“Storage Test”) systems, and circuit-board test and inspection (“Commercial Board Test”) systems (collectively these products represent “System Test”). |
Accounting_Policies
Accounting Policies | 3 Months Ended |
Mar. 30, 2014 | |
Accounting Policies | ' |
B. Accounting Policies | |
Basis of Presentation | |
The consolidated interim financial statements include the accounts of Teradyne and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated. These interim financial statements are unaudited and reflect all normal recurring adjustments that are, in the opinion of management, necessary for the fair presentation of such interim financial statements. Certain prior year’s amounts were reclassified to conform to the current year presentation. The December 31, 2013 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. | |
The accompanying financial information should be read in conjunction with the consolidated financial statements and notes thereto contained in Teradyne’s Annual Report on Form 10-K, filed with the U.S. Securities and Exchange Commission (“SEC”) on February 28, 2014, for the year ended December 31, 2013. | |
Preparation of Financial Statements and Use of Estimates | |
The preparation of consolidated financial statements requires management to make estimates and judgments that affect the amounts reported in the financial statements. Actual results may differ significantly from these estimates. |
Recently_Issued_Accounting_Pro
Recently Issued Accounting Pronouncements | 3 Months Ended |
Mar. 30, 2014 | |
Recently Issued Accounting Pronouncements | ' |
C. Recently Issued Accounting Pronouncements | |
On July 18, 2013, the FASB issued ASU 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” Under this ASU, unrecognized tax benefits will be netted against all available same-jurisdiction loss or other tax carryforwards that would be utilized, rather than only against carryforwards that are created by unrecognized tax benefits. The provisions of this ASU are effective for interim and annual periods beginning on or after December 15, 2013. Teradyne’s implementation during the three months ended March 30, 2014 of this ASU did not have a material impact on Teradyne’s financial position or results of operations. |
Financial_Instruments_and_Deri
Financial Instruments and Derivatives | 3 Months Ended | ||||||||||||||||||||
Mar. 30, 2014 | |||||||||||||||||||||
Financial Instruments and Derivatives | ' | ||||||||||||||||||||
D. Financial Instruments and Derivatives | |||||||||||||||||||||
Cash Equivalents | |||||||||||||||||||||
Teradyne considers all highly liquid investments with maturities of three months or less at the date of acquisition to be cash equivalents. | |||||||||||||||||||||
Financial Instruments | |||||||||||||||||||||
Teradyne accounts for its investments in debt and equity securities in accordance with the provisions of ASC 320-10, “Investments—Debt and Equity Securities.” ASC 320-10 requires that certain debt and equity securities be classified into one of three categories; trading, available-for-sale or held-to-maturity securities. As of March 30, 2014, Teradyne’s investments in debt and equity securities were classified as available-for-sale and recorded at their fair market value. | |||||||||||||||||||||
On a quarterly basis, Teradyne reviews its investments to identify and evaluate those that have an indication of a potential other-than-temporary impairment. Factors considered in determining whether a loss is other-than-temporary include: | |||||||||||||||||||||
• | The length of time and the extent to which the market value has been less than cost; | ||||||||||||||||||||
• | The financial condition and near-term prospects of the issuer; and | ||||||||||||||||||||
• | The intent and ability to retain the investment in the issuer for a period of time sufficient to allow for any anticipated recovery in market value. | ||||||||||||||||||||
Teradyne uses the market and income approach techniques to value its financial instruments and there were no changes in valuation techniques during the three months ended March 30, 2014. As defined in ASC 820-10 “Fair Value Measurements and Disclosures”, fair value is the price that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants. ASC 820-10 requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories: | |||||||||||||||||||||
Level 1: Quoted prices in active markets for identical assets as of the reporting date. | |||||||||||||||||||||
Level 2: Inputs other than Level 1, that are observable either directly or indirectly as of the reporting date. For example, a common approach for valuing fixed income securities is the use of matrix pricing. Matrix pricing is a mathematical technique used to value securities by relying on the securities’ relationship to other benchmark quoted prices, and therefore is considered a Level 2 input. | |||||||||||||||||||||
Level 3: Unobservable inputs that are not supported by market data. Unobservable inputs are developed based on the best information available, which might include Teradyne’s own data. | |||||||||||||||||||||
Most of Teradyne’s fixed income securities are classified as Level 2, with the exception of U.S. Treasury securities and investments in equity and debt mutual funds, which are classified as Level 1, and contingent consideration, which is classified as Level 3. The majority of Level 2 securities are priced by third party pricing vendors. These pricing vendors utilize the most recent observable market information in pricing these securities or, if specific prices are not available, use other observable inputs like market transactions involving identical or comparable securities. | |||||||||||||||||||||
There were no realized losses recorded in the three months ended March 30, 2014 and March 31, 2013. Realized gains recorded in the three months ended March 30, 2014 and March 31, 2013, were $0.3 million and $0.3 million, respectively. Realized gains are included in interest income. | |||||||||||||||||||||
During the three months ended March 30, 2014 and March 31, 2013, there were no transfers in or out of Level 1, Level 2 or Level 3 financial instruments. | |||||||||||||||||||||
The following table sets forth by fair value hierarchy Teradyne’s financial assets and liabilities that were measured at fair value on a recurring basis as of March 30, 2014 and December 31, 2013. | |||||||||||||||||||||
March 30, 2014 | |||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | ||||||||||||||||||
in Active | Other | Unobservable | |||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||
Instruments | (Level 2) | ||||||||||||||||||||
(Level 1) | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Cash | $ | 131,722 | $ | — | $ | — | $ | 131,722 | |||||||||||||
Cash equivalents | 87,894 | 13,010 | — | 100,904 | |||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||
U.S. Treasury securities | 321,296 | — | — | 321,296 | |||||||||||||||||
U.S. government agency securities | — | 191,863 | — | 191,863 | |||||||||||||||||
Commercial paper | — | 116,767 | — | 116,767 | |||||||||||||||||
Corporate debt securities | — | 82,787 | — | 82,787 | |||||||||||||||||
Equity and debt mutual funds | 14,171 | — | — | 14,171 | |||||||||||||||||
Certificates of deposit and time deposits | — | 7,257 | — | 7,257 | |||||||||||||||||
Non-U.S. government securities | — | 77 | — | 77 | |||||||||||||||||
Total | 555,083 | 411,761 | — | 966,844 | |||||||||||||||||
Derivatives | — | 209 | — | 209 | |||||||||||||||||
Total | $ | 555,083 | $ | 411,970 | $ | — | $ | 967,053 | |||||||||||||
Liabilities | |||||||||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
Total | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
Reported as follows: | |||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Cash and cash equivalents | $ | 219,616 | $ | 13,010 | $ | — | $ | 232,626 | |||||||||||||
Marketable securities | 214,230 | 247,920 | — | 462,150 | |||||||||||||||||
Long-term marketable securities | 121,237 | 150,831 | — | 272,068 | |||||||||||||||||
Other current assets | — | 209 | — | 209 | |||||||||||||||||
$ | 555,083 | $ | 411,970 | $ | — | $ | 967,053 | ||||||||||||||
Liabilities | |||||||||||||||||||||
Long-term other accrued liabilities | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
$ | — | $ | — | $ | 2,230 | $ | 2,230 | ||||||||||||||
December 31, 2013 | |||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | ||||||||||||||||||
in Active | Other | Unobservable | |||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||
Instruments | (Level 2) | ||||||||||||||||||||
(Level 1) | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Cash | $ | 117,242 | $ | — | $ | — | $ | 117,242 | |||||||||||||
Cash equivalents | 165,865 | 58,531 | — | 224,396 | |||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||
U.S. Treasury securities | 467,895 | — | — | 467,895 | |||||||||||||||||
U.S. government agency securities | — | 202,588 | — | 202,588 | |||||||||||||||||
Commercial paper | — | 105,598 | — | 105,598 | |||||||||||||||||
Corporate debt securities | — | 65,387 | — | 65,387 | |||||||||||||||||
Equity and debt mutual funds | 13,156 | — | — | 13,156 | |||||||||||||||||
Certificates of deposit and time deposits | — | 3,258 | — | 3,258 | |||||||||||||||||
Non-U.S. government securities | — | 78 | — | 78 | |||||||||||||||||
Total | 764,158 | 435,440 | — | 1,199,598 | |||||||||||||||||
Derivatives | — | 153 | — | 153 | |||||||||||||||||
Total | $ | 764,158 | $ | 435,593 | $ | — | $ | 1,199,751 | |||||||||||||
Liabilities | |||||||||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
Total | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
Reported as follows: | |||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Cash and cash equivalents | $ | 283,107 | $ | 58,531 | $ | — | $ | 341,638 | |||||||||||||
Marketable securities | 371,101 | 215,781 | — | 586,882 | |||||||||||||||||
Long-term marketable securities | 109,950 | 161,128 | — | 271,078 | |||||||||||||||||
Other current assets | — | 153 | — | 153 | |||||||||||||||||
$ | 764,158 | $ | 435,593 | $ | — | $ | 1,199,751 | ||||||||||||||
Liabilities | |||||||||||||||||||||
Long-term other accrued liabilities | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
$ | — | $ | — | $ | 2,230 | $ | 2,230 | ||||||||||||||
Contingent consideration relates to Teradyne’s acquisition of ZTEC on October 25, 2013. The total purchase price included $2.2 million in fair value of contingent consideration payable upon achievement of certain customer order and revenue targets through 2015. The maximum amount of contingent consideration that could be paid is $5.0 million. Based on the projected results for the acquisition, no value was assigned to the revenue component of the contingent consideration. | |||||||||||||||||||||
The valuation of the customer order component of the contingent consideration utilized the following assumptions: (1) probability of meeting each benchmark; (2) expected timing of meeting each benchmark; and (3) discount rate reflecting the risk associated with the expected payments. The probabilities and timing for each benchmark were estimated based on a review of the historical and projected results. A discount rate of 5.2 percent was selected based on the cost of debt for the business, as a significant portion of the risk in achieving the customer order contingent consideration was captured in the probabilities assigned to meeting each benchmark. There were no changes to the fair value of the contingent consideration during the three months ended March 30, 2014. | |||||||||||||||||||||
Changes in the fair value of Level 3 contingent consideration for the three months ended March 30, 2014 and March 31, 2013 were as follows: | |||||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended March 30, 2014 | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Balance at December 31, 2013 | $ | 2,230 | |||||||||||||||||||
Contingent consideration payments | — | ||||||||||||||||||||
Balance at March 30, 2014 | $ | 2,230 | |||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended March 31, 2013 | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Balance at December 31, 2012 | $ | 388 | |||||||||||||||||||
Contingent consideration payments | (313 | ) | |||||||||||||||||||
Balance at March 31, 2013 | $ | 75 | |||||||||||||||||||
The carrying amounts and fair values of Teradyne’s financial instruments at March 30, 2014 and December 31, 2013 were as follows: | |||||||||||||||||||||
March 30, 2014 | December 31, 2013 | ||||||||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Cash and cash equivalents | $ | 232,626 | $ | 232,626 | $ | 341,638 | $ | 341,638 | |||||||||||||
Marketable securities | 734,218 | 734,218 | 857,960 | 857,960 | |||||||||||||||||
Convertible debt(1) | — | — | 185,708 | 611,433 | |||||||||||||||||
Japan loan | — | — | 955 | 955 | |||||||||||||||||
-1 | The carrying value represents the bifurcated debt component only, while the fair value is based on quoted market prices for the convertible note which includes the equity conversion feature. | ||||||||||||||||||||
The fair values of cash and cash equivalents, accounts receivable, net and accounts payable approximate the carrying amount due to the short-term nature of these instruments. | |||||||||||||||||||||
The following tables summarize the composition of available-for-sale marketable securities at March 30, 2014 and December 31, 2013: | |||||||||||||||||||||
March 30, 2014 | |||||||||||||||||||||
Available-for-Sale | Fair Market | ||||||||||||||||||||
Value of | |||||||||||||||||||||
Investment | |||||||||||||||||||||
with Unrealized | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Market | Losses | |||||||||||||||||
Gain | (Loss) | Value | |||||||||||||||||||
(in thousands) | |||||||||||||||||||||
U.S. Treasury securities | $ | 321,184 | $ | 236 | $ | (124 | ) | $ | 321,296 | $ | 23,205 | ||||||||||
U.S. government agency securities | 191,856 | 92 | (85 | ) | 191,863 | 91,951 | |||||||||||||||
Commercial paper | 116,758 | 13 | (4 | ) | 116,767 | 38,906 | |||||||||||||||
Corporate debt securities | 81,913 | 1,337 | (463 | ) | 82,787 | 49,413 | |||||||||||||||
Equity and debt mutual funds | 11,483 | 2,725 | (37 | ) | 14,171 | 810 | |||||||||||||||
Certificates of deposit and time deposits | 7,257 | — | — | 7,257 | — | ||||||||||||||||
Non-U.S. government securities | 77 | — | — | 77 | — | ||||||||||||||||
$ | 730,528 | $ | 4,403 | $ | (713 | ) | $ | 734,218 | $ | 204,285 | |||||||||||
Reported as follows: | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Market | Fair Market | |||||||||||||||||
Gain | (Loss) | Value | Value of | ||||||||||||||||||
Investments | |||||||||||||||||||||
with Unrealized | |||||||||||||||||||||
Losses | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Marketable securities | $ | 462,031 | $ | 146 | $ | (27 | ) | $ | 462,150 | $ | 99,303 | ||||||||||
Long-term marketable securities | 268,497 | 4,257 | (686 | ) | 272,068 | 104,982 | |||||||||||||||
$ | 730,528 | $ | 4,403 | $ | (713 | ) | $ | 734,218 | $ | 204,285 | |||||||||||
December 31, 2013 | |||||||||||||||||||||
Available-for-Sale | Fair Market | ||||||||||||||||||||
Value of | |||||||||||||||||||||
Investments | |||||||||||||||||||||
with Unrealized | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Market | Losses | |||||||||||||||||
Gain | (Loss) | Value | |||||||||||||||||||
(in thousands) | |||||||||||||||||||||
U.S. Treasury securities | $ | 468,084 | $ | 94 | $ | (283 | ) | $ | 467,895 | $ | 108,212 | ||||||||||
U.S. government agency securities | 202,573 | 75 | (60 | ) | 202,588 | 84,498 | |||||||||||||||
Commercial paper | 105,583 | 16 | (1 | ) | 105,598 | 7,993 | |||||||||||||||
Corporate debt securities | 65,747 | 762 | (1,122 | ) | 65,387 | 40,355 | |||||||||||||||
Equity and debt mutual funds | 10,463 | 2,742 | (49 | ) | 13,156 | 702 | |||||||||||||||
Certificates of deposit and time deposits | 3,258 | — | — | 3,258 | — | ||||||||||||||||
Non-U.S. government securities | 78 | — | — | 78 | — | ||||||||||||||||
$ | 855,786 | $ | 3,689 | $ | (1,515 | ) | $ | 857,960 | $ | 241,760 | |||||||||||
Reported as follows: | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Market | Fair Market | |||||||||||||||||
Gain | (Loss) | Value | Value of | ||||||||||||||||||
Investments | |||||||||||||||||||||
with Unrealized | |||||||||||||||||||||
Losses | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Marketable securities | $ | 586,818 | $ | 85 | $ | (21 | ) | $ | 586,882 | $ | 137,670 | ||||||||||
Long-term marketable securities | 268,968 | 3,604 | (1,494 | ) | 271,078 | 104,090 | |||||||||||||||
$ | 855,786 | $ | 3,689 | $ | (1,515 | ) | $ | 857,960 | $ | 241,760 | |||||||||||
As of March 30, 2014, the fair market value of investments with unrealized losses was $204.3 million. Of this value, $0.9 million had unrealized losses greater than one year and $203.4 million had unrealized losses less than one year. As of December 31, 2013, the fair market value of investments with unrealized losses was $241.8 million. Of this value, $0.9 million had unrealized losses greater than one year and $240.9 million had unrealized losses less than one year. | |||||||||||||||||||||
The contractual maturities of investments held at March 30, 2014 were as follows: | |||||||||||||||||||||
March 30, 2014 | |||||||||||||||||||||
Cost | Fair Market | ||||||||||||||||||||
Value | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Due within one year | $ | 462,031 | $ | 462,150 | |||||||||||||||||
Due after 1 year through 5 years | 226,558 | 226,607 | |||||||||||||||||||
Due after 5 years through 10 years | 5,854 | 5,954 | |||||||||||||||||||
Due after 10 years | 24,602 | 25,336 | |||||||||||||||||||
Total | $ | 719,045 | $ | 720,047 | |||||||||||||||||
Contractual maturities of investments held at March 30, 2014 exclude equity and debt mutual funds as they do not have a contractual maturity date. | |||||||||||||||||||||
Derivatives | |||||||||||||||||||||
Teradyne conducts business in a number of foreign countries, with certain transactions denominated in local currencies. The purpose of Teradyne’s foreign currency management is to minimize the effect of exchange rate fluctuations on certain foreign currency denominated monetary assets and liabilities. Teradyne does not use derivative financial instruments for trading or speculative purposes. | |||||||||||||||||||||
To minimize the effect of exchange rate fluctuations associated with the remeasurement of monetary assets and liabilities denominated in foreign currencies, Teradyne enters into foreign currency forward contracts. The change in fair value of these derivatives is recorded directly in earnings, and is used to offset the change in value of the monetary assets and liabilities denominated in foreign currencies. | |||||||||||||||||||||
The notional amount of foreign currency forward contracts was $66.8 million and $74.8 million at March 30, 2014 and December 31, 2013, respectively. | |||||||||||||||||||||
The fair value of the outstanding contracts was a gain of $0.2 million and $0.2 million at March 30, 2014 and December 31, 2013, respectively. The following table summarizes the fair value of derivative instruments at March 30, 2014 and December 31, 2013: | |||||||||||||||||||||
Balance Sheet Location | March 30, | December 31, | |||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||||||
Foreign currency forward contracts | Other current assets | $ | 209 | $ | 153 | ||||||||||||||||
$ | 209 | $ | 153 | ||||||||||||||||||
Teradyne had no offsetting foreign exchange contracts at March 30, 2014 and December 31, 2013. | |||||||||||||||||||||
In the three months ended March 30, 2014 and March 31, 2013, Teradyne recorded net realized losses of $0.7 million and net realized gains of $2.2 million, respectively, related to foreign currency forward contracts hedging net monetary positions. Gains and losses on foreign currency forward contracts and foreign currency remeasurement gains and losses on monetary assets and liabilities are included in interest expense and other. | |||||||||||||||||||||
The following table summarizes the effect of derivative instruments recognized in the statement of operations during the three months ended March 30, 2014 and March 31, 2013. The table does not reflect the corresponding gains (losses) from the remeasurement of the monetary assets and liabilities denominated in foreign currencies. For the three months ended March 30, 2014 and March 31, 2013, gains (losses) from the remeasurement of the monetary assets and liabilities denominated in foreign currencies were $0.6 million and $(2.8) million, respectively. | |||||||||||||||||||||
Location of | For the Three | ||||||||||||||||||||
(Losses) Gains | Months Ended | ||||||||||||||||||||
Recognized in | |||||||||||||||||||||
Statement | |||||||||||||||||||||
of Operations | March 30, | March 31, | |||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||||||
Foreign currency forward contracts | Interest expense | $ | (747 | ) | $ | 2,248 | |||||||||||||||
and other | |||||||||||||||||||||
$ | (747 | ) | $ | 2,248 | |||||||||||||||||
See Note E: “Debt” regarding derivatives related to convertible senior notes. |
Debt
Debt | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Debt | ' | ||||||||
E. Debt | |||||||||
Loan Agreement | |||||||||
On March 31, 2009, Teradyne K.K., Teradyne’s wholly-owned subsidiary in Japan, entered into a loan agreement with a local bank in Japan to borrow approximately $10.0 million (the loan was denominated in Japanese Yen). The loan had a term of 5 years and a fixed interest rate of 0.8%. Approximately $6.0 million of the loan was collateralized by a real estate mortgage on Teradyne K.K.’s building and land in Kumamoto, Japan and approximately $4.0 million was unsecured. Teradyne, Inc. guaranteed payment of the loan obligation. The loan was amortized over the term of the loan with semiannual principal payments of approximately $1.0 million on September 30 and March 30 each year. The final principal and interest payments were made during the three months ended March 30, 2014. | |||||||||
Convertible Senior Notes | |||||||||
In April 2009, Teradyne issued 4.50% convertible senior notes (the “Notes”) at an aggregate principal amount of $190 million and a conversion price of $5.4750 or 182.65 shares of Teradyne’s common stock per $1,000 principal amount of Notes. The Notes had a maturity date of March 15, 2014. Substantially all of the Notes were converted prior to March 15, 2014 and were “net share settled,” meaning that the holders received, for each $1,000 in principal amount of Notes, $1,000 in cash and approximately 131.95 shares of Teradyne common stock (calculated by taking 182.65 shares less 50.7 shares). The 50.7 shares were determined by dividing the $1,000 principal amount by the $19.74 average trading price of Teradyne’s common stock over the 25 day trading period from February 5, 2014 to March 12, 2014. | |||||||||
Teradyne satisfied the Notes “net share settlement” by paying the aggregate principal amount of $190 million in cash and issuing 25.1 million shares of common stock. On March 13, 2014, Teradyne exercised its call option agreement entered into with Goldman, Sachs & Co. (the “hedge counterparty”) at the time of issuance of the Notes and received 25.1 million shares of Teradyne’s common stock, which were retired. | |||||||||
The hedge counterparty will subsequently be able to exercise warrants with a strike price of $7.6650. These warrants will be net share settled, with approximately 534,000 warrants settled on a daily basis over a 65-day trading period from June 17, 2014 to September 17, 2014. However, Teradyne is not obligated to issue more than 34,526,500 shares of its common stock upon exercise of the warrants (which amount represented less than 19.99% of Teradyne’s outstanding shares of common stock as of March 31, 2009, without giving effect to any shares of common stock issuable pursuant to the warrant transaction). | |||||||||
The tables below represent the components of Teradyne’s convertible senior notes: | |||||||||
March 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Debt principal | $ | — | $ | 189,998 | |||||
Unamortized debt discount | — | 4,290 | |||||||
Net carrying amount of the convertible debt | $ | — | $ | 185,708 | |||||
The interest expense on Teradyne’s convertible senior notes for the three months ended March 30, 2014 and March 31, 2013 was as follows: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Contractual interest expense | $ | 1,757 | $ | 2,137 | |||||
Amortization of the discount component and debt issue fees | 4,493 | 3,957 | |||||||
Total interest expense on the convertible debt | $ | 6,250 | $ | 6,094 | |||||
Prepayments
Prepayments | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Prepayments | ' | ||||||||
F. Prepayments | |||||||||
Prepayments consist of the following and are included in prepayments on the balance sheet: | |||||||||
March 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Contract manufacturer prepayments | $ | 108,048 | $ | 115,388 | |||||
Prepaid taxes | 9,979 | 3,281 | |||||||
Prepaid professional services | 6,134 | 6,538 | |||||||
Other prepayments | 7,323 | 11,167 | |||||||
Total prepayments | $ | 131,484 | $ | 136,374 | |||||
Deferred_Revenue_and_Customer_
Deferred Revenue and Customer Advances | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Deferred Revenue and Customer Advances | ' | ||||||||
G. Deferred Revenue and Customer Advances | |||||||||
Deferred revenue and customer advances consist of the following and are included in short and long-term deferred revenue and customer advances on the balance sheet: | |||||||||
March 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Extended warranty | $ | 33,949 | $ | 34,909 | |||||
Equipment maintenance and training | 24,650 | 22,455 | |||||||
Customer advances | 9,940 | 4,825 | |||||||
Undelivered elements | 5,477 | 6,971 | |||||||
Acceptance | 4,776 | — | |||||||
Total deferred revenue and customer advances | $ | 78,792 | $ | 69,160 | |||||
Product_Warranty
Product Warranty | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Product Warranty | ' | ||||||||
H. Product Warranty | |||||||||
Teradyne generally provides a one-year warranty on its products, commencing upon installation or shipment. A provision is recorded upon revenue recognition to cost of revenues for estimated warranty expense based on historical experience. Related costs are charged to the warranty accrual as incurred. The warranty balance below is included in other accrued liabilities on the balance sheet. | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Balance at beginning of period | $ | 6,660 | $ | 9,786 | |||||
Accruals for warranties issued during the period | 2,858 | 1,423 | |||||||
Adjustments related to pre-existing warranties | (140 | ) | (929 | ) | |||||
Settlements made during the period | (2,763 | ) | (3,205 | ) | |||||
Balance at end of period | $ | 6,615 | $ | 7,075 | |||||
When Teradyne receives revenue for extended warranty beyond one year, it is deferred and recognized on a straight-line basis over the contract period. Related costs are expensed as incurred. The extended warranty balance below is included in short and long-term deferred revenue and customer advances on the balance sheet. | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Balance at beginning of period | $ | 34,909 | $ | 28,042 | |||||
Deferral of new extended warranty revenue | 2,361 | 3,505 | |||||||
Recognition of extended warranty deferred revenue | (3,321 | ) | (2,000 | ) | |||||
Balance at end of period | $ | 33,949 | $ | 29,547 | |||||
StockBased_Compensation
Stock-Based Compensation | 3 Months Ended | ||||||||
5-May-14 | |||||||||
Stock-Based Compensation | ' | ||||||||
I. Stock-Based Compensation | |||||||||
In January 2014, Teradyne granted performance-based restricted stock units (“PRSUs”) to its executive officers with a performance metric based on relative total shareholder return (“TSR”). Teradyne’s three-year TSR performance will be measured against the Philadelphia Semiconductor Index, which consists of thirty companies in the semiconductor device and capital equipment industries. The final number of TSR PRSUs that vest will vary based upon the level of performance achieved from 200% of the target shares to 0% of the target shares. All TSR PRSUs will vest upon the three-year anniversary of the January 24, 2014 grant date. No TSR PRSUs will vest if the executive officer is no longer an employee at the end of the three-year period. The TSR PRSUs are valued using a Monte Carlo simulation model. The number of units expected to be earned, based upon the achievement of the TSR market condition, is factored into the grant date Monte Carlo valuation. Compensation expense is recognized on a straight-line basis over the three-year service period. Compensation expense is recognized regardless of the eventual number of units that are earned based upon the market condition, provided the executive officer remains an employee at the end of the three-year period. Compensation expense is reversed if the executive officer is not an employee at the end of the three-year service period. During the three months ended March 30, 2014, Teradyne granted 0.1 million TSR performance-based restricted stock unit awards with a grant date fair value of $22.06. The fair value was estimated using the Monte Carlo simulation model with the following assumptions: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | |||||||||
2014 | |||||||||
Risk-free interest rate | 0.75 | % | |||||||
Teradyne volatility-historical | 36.1 | % | |||||||
Philadelphia Semiconductor Index volatility-historical | 24.6 | % | |||||||
Dividend yield | 1.25 | % | |||||||
Expected volatility was based on the historical volatility of Teradyne’s stock and the Philadelphia Semiconductor Index over the most recent three year period. The risk-free interest rate was determined using the U.S. Treasury yield curve in effect at the time of grant. Dividend yield was based upon an estimated annual dividend amount of $0.24 per share divided by Teradyne’s January 24, 2014 stock price of $19.16. | |||||||||
During the three months ended March 30, 2014, Teradyne granted 1.4 million of service-based restricted stock unit awards to employees at a weighted average grant date fair value of $19.15 and 0.1 million of service-based stock options to executive officers at a weighted average grant date fair value of $5.49. | |||||||||
During the three months ended March 31, 2013, Teradyne granted 1.6 million of service-based restricted stock unit awards to employees at a weighted average grant date fair value of $16.57 and 0.2 million of service-based stock options to executive officers at a weighted average grant date fair value of $6.09. | |||||||||
Restricted stock unit awards granted to employees vest in equal annual installments over four years. Stock options vest in equal annual installments over four years, and have a term of seven years from the date of grant. | |||||||||
The fair value of stock options was estimated using the Black-Scholes option-pricing model with the following assumptions: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
Expected life (years) | 4 | 4 | |||||||
Risk-free interest rate | 1.2 | % | 0.6 | % | |||||
Volatility-historical | 38.8 | % | 46.8 | % | |||||
Dividend yield | 1.25 | % | 0 | % | |||||
Teradyne determined the stock options’ expected life based upon historical exercise data for executive officers, the age of the executive officers and the terms of the stock option grant. Volatility was determined using historical volatility for a period equal to the expected life. The risk-free interest rate was determined using the U.S. Treasury yield curve in effect at the time of grant. Dividend yield was based upon an estimated annual dividend amount of $0.24 per share divided by Teradyne’s January 24, 2014 stock price of $19.16. | |||||||||
Effective January 31, 2014, Michael Bradley retired as Chief Executive Officer of Teradyne. Mr. Bradley will continue to serve on Teradyne’s Board of Directors. On January 22, 2014, Teradyne entered into an agreement (the “Retirement Agreement”) with Mr. Bradley. Under the Retirement Agreement, Mr. Bradley’s unvested restricted stock units and stock options granted prior to his retirement date will continue to vest in accordance with their terms through January 31, 2017; and any vested options or options that vest during that period may be exercised for the remainder of the applicable option term. In the Retirement Agreement, Mr. Bradley agreed to be bound by non-competition and non-solicitation restrictions through January 31, 2017. In the three months ended March 30, 2014, Teradyne recorded a one-time charge to stock-based compensation expense of $6.6 million related to the Retirement Agreement. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income | 3 Months Ended | ||||||||||||
Mar. 30, 2014 | |||||||||||||
Accumulated Other Comprehensive Income | ' | ||||||||||||
J. Accumulated Other Comprehensive Income | |||||||||||||
Changes in accumulated other comprehensive income, which is presented net of tax, consist of the following: | |||||||||||||
Unrealized Gains on | Retirement Plans | Total | |||||||||||
Marketable Securities | Prior Service Credit | ||||||||||||
(in thousands) | |||||||||||||
Balance at December 31, 2013, net of tax of $794, $(284) | $ | 1,381 | $ | 2,619 | $ | 4,000 | |||||||
Other comprehensive income before reclassifications, net of tax of $654 | 1,139 | — | 1,139 | ||||||||||
Amounts reclassified from accumulated other comprehensive income, net of tax of $(102), $(42) | (176 | ) | (73 | ) | (249 | ) | |||||||
Net current period other comprehensive income | 963 | (73 | ) | 890 | |||||||||
Balance at March 30, 2014, net of tax of $1,346, $(326) | $ | 2,344 | $ | 2,546 | $ | 4,890 | |||||||
Reclassifications out of accumulated other comprehensive income to the statement of operations for the three months ended March 30, 2014 and March 31, 2013, were as follows: | |||||||||||||
Details about Accumulated | For the Three Months Ended | Affected Line Item | |||||||||||
Other Comprehensive Income | in the Statements | ||||||||||||
Components | of Operations | ||||||||||||
March 30, | March 31, | ||||||||||||
2014 | 2013 | ||||||||||||
(in thousands) | |||||||||||||
Available-for-sale marketable securities | |||||||||||||
Unrealized gains, net of tax of $102, $83 | $ | 176 | $ | 144 | Interest income | ||||||||
Amortization of defined benefit pension and postretirement plans Prior service benefit, net of tax of $42, $40 | 73 | 69 | (a) | ||||||||||
Total reclassifications, net of tax of $144, $123 | $ | 249 | $ | 213 | Net income | ||||||||
(a) | The amortization of prior service benefit is included in the computation of net periodic pension cost and postretirement benefit; see Note N: “Retirement Plans.” |
Intangible_Assets
Intangible Assets | 3 Months Ended | ||||||||||||||||
Mar. 30, 2014 | |||||||||||||||||
Intangible Assets | ' | ||||||||||||||||
K. Intangible Assets | |||||||||||||||||
Amortizable intangible assets consist of the following and are included in intangible assets, net on the balance sheet: | |||||||||||||||||
March 30, 2014 | |||||||||||||||||
Gross | Accumulated | Net | Weighted | ||||||||||||||
Carrying | Amortization | Carrying | Average | ||||||||||||||
Amount | Amount | Useful Life | |||||||||||||||
(in thousands) | |||||||||||||||||
Developed technology | $ | 362,126 | $ | 206,551 | $ | 155,575 | 6.3 years | ||||||||||
Customer relationships | 146,276 | 86,333 | 59,943 | 8.0 years | |||||||||||||
Trade names and trademarks | 33,834 | 15,332 | 18,502 | 9.0 years | |||||||||||||
Customer backlog | 1,000 | 1,000 | — | 0.4 years | |||||||||||||
Total intangible assets | $ | 543,236 | $ | 309,216 | $ | 234,020 | 7.0 years | ||||||||||
December 31, 2013 | |||||||||||||||||
Gross | Accumulated | Net | Weighted | ||||||||||||||
Carrying | Amortization | Carrying | Average | ||||||||||||||
Amount | Amount | Useful Life | |||||||||||||||
(in thousands) | |||||||||||||||||
Developed technology | $ | 362,126 | $ | 193,756 | $ | 168,370 | 6.3 years | ||||||||||
Customer relationships | 146,276 | 81,742 | 64,534 | 8.0 years | |||||||||||||
Trade names and trademarks | 33,834 | 14,447 | 19,387 | 9.0 years | |||||||||||||
Customer backlog | 1,000 | 1,000 | — | 0.4 years | |||||||||||||
Total intangible assets | $ | 543,236 | $ | 290,945 | $ | 252,291 | 7.0 years | ||||||||||
Aggregate intangible asset amortization expense was $18.3 million and $18.0 million, respectively, for the three months ended March 30, 2014 and March 31, 2013. Estimated intangible asset amortization expense for each of the five succeeding fiscal years is as follows: | |||||||||||||||||
Year | Amortization Expense | ||||||||||||||||
(in thousands) | |||||||||||||||||
2014 (remainder) | $ | 51,870 | |||||||||||||||
2015 | 53,391 | ||||||||||||||||
2016 | 53,391 | ||||||||||||||||
2017 | 47,232 | ||||||||||||||||
2018 | 22,691 |
Net_Income_per_Common_Share
Net Income per Common Share | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Net Income per Common Share | ' | ||||||||
L. Net Income per Common Share | |||||||||
The following table sets forth the computation of basic and diluted net income per common share: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands, except per | |||||||||
share amounts) | |||||||||
Net income for basic and diluted net income per share | $ | 929 | $ | 6,589 | |||||
Weighted average common shares-basic | 193,311 | 189,686 | |||||||
Effect of dilutive potential common shares: | |||||||||
Incremental shares from assumed conversion of convertible notes(1) | 20,052 | 23,386 | |||||||
Convertible note hedge warrant shares(2) | 20,942 | 18,859 | |||||||
Restricted stock units | 1,051 | 1,123 | |||||||
Stock options | 1,106 | 1,676 | |||||||
Employee stock purchase plan | 22 | 27 | |||||||
Dilutive potential common shares | 43,173 | 45,071 | |||||||
Weighted average common shares-diluted | 236,484 | 234,757 | |||||||
Net income per common share-basic | $ | 0 | $ | 0.03 | |||||
Net income per common share-diluted | $ | 0 | $ | 0.03 | |||||
-1 | Incremental shares from conversion of the convertible notes for the three months ended March 30, 2014 were calculated using the difference between the average Teradyne stock price from January 1, 2014 through March 12, 2014 and the conversion price of $5.4750, multiplied by 34.7 million shares. The result of this calculation, representing the total intrinsic value of the convertible debt, was divided by the average Teradyne stock price for the period from January 1, 2014 to March 12, 2014 and adjusted for the number of days the convertible notes were outstanding during the three months ended March 30, 2014. Incremental shares from assumed conversion of the convertible notes for the three months ended March 31, 2013 were calculated using the difference between the average Teradyne stock price for the period and the conversion price of $5.4750, multiplied by the 34.7 million shares to be issued upon conversion. The result of this calculation, representing the total intrinsic value of the convertible debt, was divided by the average Teradyne stock price for the period. | ||||||||
-2 | Convertible note hedge warrant shares for the three months ended March 30, 2014 and March 31, 2013 are calculated using the difference between the average Teradyne stock price for the period and the warrant price of $7.6650, multiplied by 34.7 million shares. The result of this calculation, representing the total intrinsic value of the warrant, is divided by the average Teradyne stock price for the period. | ||||||||
The computation of diluted net income per common share for the three months ended March 30, 2014 excludes the effect of the potential exercise of stock options to purchase approximately 0.4 million shares because the effect would have been anti-dilutive. | |||||||||
The computation of diluted net income per common share for the three months ended March 31, 2013 excludes the effect of the potential exercise of stock options to purchase approximately 0.4 million shares because the effect would have been anti-dilutive. |
Restructuring_and_Other
Restructuring and Other | 3 Months Ended | ||||||||||||
Mar. 30, 2014 | |||||||||||||
Restructuring and Other | ' | ||||||||||||
M. Restructuring and Other | |||||||||||||
Restructuring | |||||||||||||
During the three months ended March 30, 2014, Teradyne recorded no restructuring charges. During the three months ended March 31, 2013, Teradyne recorded $0.4 million of severance charges related to headcount reductions in Semiconductor Test and System Test. | |||||||||||||
Severance | Facility | Total | |||||||||||
and | Exit | ||||||||||||
Benefits | Costs | ||||||||||||
(in thousands) | |||||||||||||
Pre-2013 Activities | |||||||||||||
Balance at December 31, 2012 | $ | 243 | $ | 1,084 | $ | 1,327 | |||||||
Change in estimate | — | (553 | ) | (553 | ) | ||||||||
Cash payments | (243 | ) | (531 | ) | (774 | ) | |||||||
Balance at December 31, 2013 | $ | — | $ | — | $ | — | |||||||
2013 Activities | |||||||||||||
Q3 2013 Activity: | |||||||||||||
Provision | $ | 1,337 | $ | — | $ | 1,337 | |||||||
Cash payments | (966 | ) | — | (966 | ) | ||||||||
Balance at December 31, 2013 | 371 | — | 371 | ||||||||||
Cash payments | (161 | ) | — | (161 | ) | ||||||||
Balance at March 30, 2014 | $ | 210 | $ | — | $ | 210 | |||||||
Q4 2013 Activity: | |||||||||||||
Provision | $ | 600 | $ | — | $ | 600 | |||||||
Cash payments | (486 | ) | — | (486 | ) | ||||||||
Balance at December 31, 2013 | 114 | — | 114 | ||||||||||
Cash payments | (114 | ) | — | (114 | ) | ||||||||
Balance at March 30, 2014 | $ | — | $ | — | $ | — | |||||||
Balance at March 30, 2014 | $ | 210 | $ | — | $ | 210 | |||||||
The accrual balance for severance and benefits of $0.2 million is reflected in the accrued employees’ compensation and withholdings on the balance sheet and is expected to be paid by June 2014. |
Retirement_Plans
Retirement Plans | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Retirement Plans | ' | ||||||||
N. Retirement Plans | |||||||||
ASC 715, “Compensation—Retirement Benefits” requires an employer with defined benefit plans or other postretirement benefit plans to recognize an asset or a liability on its balance sheet for the overfunded or underfunded status of the plans as defined by ASC 715. The pension asset or liability represents a difference between the fair value of the pension plan’s assets and the projected benefit obligation. | |||||||||
Defined Benefit Pension Plans | |||||||||
Teradyne has defined benefit pension plans covering a portion of domestic employees and employees of certain non-U.S. subsidiaries. Benefits under these plans are based on employees’ years of service and compensation. Teradyne’s funding policy is to make contributions to these plans in accordance with local laws and to the extent that such contributions are tax deductible. The assets of these plans consist primarily of fixed income and equity securities. In addition, Teradyne has an unfunded supplemental executive defined benefit plan in the United States to provide retirement benefits in excess of levels allowed by the Employment Retirement Income Security Act (“ERISA”) and the Internal Revenue Code (“IRC”), as well as unfunded foreign plans. In the three months ended March 31, 2014, Teradyne contributed $0.4 million to the U.S. supplemental executive defined benefit pension plan and $0.7 million to certain qualified plans for non-U.S. subsidiaries. | |||||||||
For the three months ended March 30, 2014 and March 31, 2013, Teradyne’s net periodic pension cost was comprised of the following: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Service cost | $ | 796 | $ | 834 | |||||
Interest cost | 3,720 | 3,370 | |||||||
Expected return on plan assets | (3,342 | ) | (3,630 | ) | |||||
Amortization of unrecognized prior service cost | 34 | 41 | |||||||
Total net periodic pension cost | $ | 1,208 | $ | 615 | |||||
Postretirement Benefit Plan | |||||||||
In addition to receiving pension benefits, U.S. Teradyne employees who meet early retirement eligibility requirements as of their termination dates may participate in Teradyne’s Welfare Plan, which includes death, and medical and dental benefits up to age 65. Death benefits provide a fixed sum to retirees’ survivors and are available to all retirees. Substantially all of Teradyne’s current U.S. employees could become eligible for these benefits, and the existing benefit obligation relates primarily to those employees. | |||||||||
For the three months ended March 30, 2014 and March 31, 2013, Teradyne’s net periodic postretirement benefit was comprised of the following: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Service cost | $ | 13 | $ | 16 | |||||
Interest cost | 86 | 87 | |||||||
Amortization of unrecognized prior service benefit | (150 | ) | (150 | ) | |||||
Total net periodic postretirement benefit | $ | (51 | ) | $ | (47 | ) | |||
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 30, 2014 | |
Commitments and Contingencies | ' |
O. Commitments and Contingencies | |
Purchase Commitments | |
As of March 30, 2014, Teradyne had entered into purchase commitments for certain components and materials. The purchase commitments covered by the agreements aggregate to approximately $246.4 million, of which $236.5 million is for less than one year. | |
Legal Claims | |
Teradyne is subject to legal proceedings and claims which have arisen in the ordinary course of business. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on Teradyne’s results of operations, financial condition or cash flows. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 30, 2014 | |
Income Taxes | ' |
P. Income Taxes | |
The income tax benefit of $2.8 million for the three months ended March 30, 2014, included a $1.0 million discrete tax benefit related to disqualifying dispositions of incentive stock options and employee stock purchase plan shares and a $1.0 million discrete tax benefit related to the decrease in uncertain tax positions resulting from the change in positions and statute expiration. The income tax benefit of $8.0 million for the three months ended March 31, 2013, included an approximately $6.7 million discrete tax benefit related to the 2012 U.S. federal research and development tax credit retrospectively reinstated under the American Taxpayer Relief Act of 2012. | |
The decrease in Teradyne’s income tax benefit for the three months ended March 30, 2014 compared to the three months ended March 31, 2013, was primarily attributable to the reinstatement of the U.S. research and development tax credit in 2013 for fiscal years 2012 and 2013. The U.S. research and development tax credit expired at the end of 2013. |
Segment_Information
Segment Information | 3 Months Ended | ||||||||||||||||||||
Mar. 30, 2014 | |||||||||||||||||||||
Segment Information | ' | ||||||||||||||||||||
Q. Segment Information | |||||||||||||||||||||
Teradyne has three operating segments (Semiconductor Test, Wireless Test and System Test), which are its reportable segments. The Semiconductor Test segment includes operations related to the design, manufacturing and marketing of semiconductor test products and services. The Wireless Test segment includes operations related to design, manufacturing and marketing of wireless test products and services. The System Test segment includes operations related to design, manufacturing and marketing of products and services for military/aerospace instrumentation test, storage test and circuit-board test. Each operating segment has a segment manager who is directly accountable to and maintains regular contact with Teradyne’s chief operating decision maker (Teradyne’s chief executive officer) to discuss operating activities, financial results, forecasts, and plans for the segment. | |||||||||||||||||||||
Teradyne evaluates performance based on several factors, of which the primary financial measure is business segment income before income taxes. The accounting policies of the business segments are the same as those described in Note B: “Accounting Policies” in Teradyne’s Annual Report on Form 10-K for the year ended December 31, 2013. Segment information is as follows: | |||||||||||||||||||||
Semiconductor | Wireless | System | Corporate | Consolidated | |||||||||||||||||
Test | Test | Test | and | ||||||||||||||||||
Eliminations | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Three months ended March 30, 2014: | |||||||||||||||||||||
Net revenues | $ | 261,737 | $ | 21,210 | $ | 38,063 | $ | — | $ | 321,010 | |||||||||||
Income (loss) before income taxes(1)(2) | 34,600 | (25,085 | ) | 448 | (11,836 | ) | (1,873 | ) | |||||||||||||
Three months ended March 31, 2013: | |||||||||||||||||||||
Net revenues | $ | 211,506 | $ | 33,598 | $ | 35,263 | $ | — | $ | 280,367 | |||||||||||
Income (loss) before income taxes(1)(2) | 13,766 | (9,997 | ) | 1,530 | (6,725 | ) | (1,426 | ) | |||||||||||||
-1 | Interest income and interest expense and other are included in Corporate and Eliminations. | ||||||||||||||||||||
-2 | Included in the income (loss) before income taxes for each of the segments are charges and credits for the three months ended March 30, 2014 and March 31, 2013 that include restructuring and other, and provision for excess and obsolete inventory, as follows: | ||||||||||||||||||||
Included in the Semiconductor Test segment are charges for the following: | |||||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended | |||||||||||||||||||||
March 30, | March 31, | ||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Cost of revenues—provision for excess and obsolete inventory | $ | 6,205 | $ | 213 | |||||||||||||||||
Included in the Wireless Test segment are charges for the following: | |||||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended | |||||||||||||||||||||
March 30, | March 31, | ||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Cost of revenues—provision for excess and obsolete inventory | $ | 3,093 | $ | 2,668 | |||||||||||||||||
Included in the System Test segment are charges for the following: | |||||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended | |||||||||||||||||||||
March 30, | March 31, | ||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Cost of revenues—provision for excess and obsolete inventory | $ | 741 | $ | 919 | |||||||||||||||||
Restructuring and other | — | 244 | |||||||||||||||||||
Total | $ | 741 | $ | 1,163 | |||||||||||||||||
Shareholders_Equity
Shareholders' Equity | 3 Months Ended |
Mar. 30, 2014 | |
Shareholders' Equity | ' |
R. Shareholders’ Equity | |
Stock Repurchase Program | |
In November 2010, Teradyne’s Board of Directors authorized a stock repurchase program for up to $200 million. In the three months ended March 30, 2014 and March 31, 2013, Teradyne did not repurchase any shares. Cumulatively, as of March 30, 2014, Teradyne has repurchased 2.6 million shares of common stock for $31.2 million at an average price of $11.84. | |
Dividend | |
In January 2014, Teradyne’s Board of Directors declared an initial quarterly cash dividend of $0.06 per share to be paid on June 2, 2014 to the stockholders of record as of May 9, 2014. Payment of future cash dividends will rest within the discretion of Teradyne’s Board of Directors and will depend, among other things, upon Teradyne’s earnings, capital requirements and financial condition. |
Accounting_Policies_Policies
Accounting Policies (Policies) | 3 Months Ended |
Mar. 30, 2014 | |
Basis of Presentation | ' |
Basis of Presentation | |
The consolidated interim financial statements include the accounts of Teradyne and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated. These interim financial statements are unaudited and reflect all normal recurring adjustments that are, in the opinion of management, necessary for the fair presentation of such interim financial statements. Certain prior year’s amounts were reclassified to conform to the current year presentation. The December 31, 2013 condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. | |
The accompanying financial information should be read in conjunction with the consolidated financial statements and notes thereto contained in Teradyne’s Annual Report on Form 10-K, filed with the U.S. Securities and Exchange Commission (“SEC”) on February 28, 2014, for the year ended December 31, 2013. | |
Preparation of Financial Statements and Use of Estimates | ' |
Preparation of Financial Statements and Use of Estimates | |
The preparation of consolidated financial statements requires management to make estimates and judgments that affect the amounts reported in the financial statements. Actual results may differ significantly from these estimates. |
Financial_Instruments_and_Deri1
Financial Instruments and Derivatives (Tables) | 3 Months Ended | ||||||||||||||||||||
Mar. 30, 2014 | |||||||||||||||||||||
Schedule of Fair Value of Financial Assets and Liabilities Measured on Recurring Basis | ' | ||||||||||||||||||||
The following table sets forth by fair value hierarchy Teradyne’s financial assets and liabilities that were measured at fair value on a recurring basis as of March 30, 2014 and December 31, 2013. | |||||||||||||||||||||
March 30, 2014 | |||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | ||||||||||||||||||
in Active | Other | Unobservable | |||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||
Instruments | (Level 2) | ||||||||||||||||||||
(Level 1) | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Cash | $ | 131,722 | $ | — | $ | — | $ | 131,722 | |||||||||||||
Cash equivalents | 87,894 | 13,010 | — | 100,904 | |||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||
U.S. Treasury securities | 321,296 | — | — | 321,296 | |||||||||||||||||
U.S. government agency securities | — | 191,863 | — | 191,863 | |||||||||||||||||
Commercial paper | — | 116,767 | — | 116,767 | |||||||||||||||||
Corporate debt securities | — | 82,787 | — | 82,787 | |||||||||||||||||
Equity and debt mutual funds | 14,171 | — | — | 14,171 | |||||||||||||||||
Certificates of deposit and time deposits | — | 7,257 | — | 7,257 | |||||||||||||||||
Non-U.S. government securities | — | 77 | — | 77 | |||||||||||||||||
Total | 555,083 | 411,761 | — | 966,844 | |||||||||||||||||
Derivatives | — | 209 | — | 209 | |||||||||||||||||
Total | $ | 555,083 | $ | 411,970 | $ | — | $ | 967,053 | |||||||||||||
Liabilities | |||||||||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
Total | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
Reported as follows: | |||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Cash and cash equivalents | $ | 219,616 | $ | 13,010 | $ | — | $ | 232,626 | |||||||||||||
Marketable securities | 214,230 | 247,920 | — | 462,150 | |||||||||||||||||
Long-term marketable securities | 121,237 | 150,831 | — | 272,068 | |||||||||||||||||
Other current assets | — | 209 | — | 209 | |||||||||||||||||
$ | 555,083 | $ | 411,970 | $ | — | $ | 967,053 | ||||||||||||||
Liabilities | |||||||||||||||||||||
Long-term other accrued liabilities | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
$ | — | $ | — | $ | 2,230 | $ | 2,230 | ||||||||||||||
December 31, 2013 | |||||||||||||||||||||
Quoted Prices | Significant | Significant | Total | ||||||||||||||||||
in Active | Other | Unobservable | |||||||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||||||
Instruments | (Level 2) | ||||||||||||||||||||
(Level 1) | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Cash | $ | 117,242 | $ | — | $ | — | $ | 117,242 | |||||||||||||
Cash equivalents | 165,865 | 58,531 | — | 224,396 | |||||||||||||||||
Available-for-sale securities: | |||||||||||||||||||||
U.S. Treasury securities | 467,895 | — | — | 467,895 | |||||||||||||||||
U.S. government agency securities | — | 202,588 | — | 202,588 | |||||||||||||||||
Commercial paper | — | 105,598 | — | 105,598 | |||||||||||||||||
Corporate debt securities | — | 65,387 | — | 65,387 | |||||||||||||||||
Equity and debt mutual funds | 13,156 | — | — | 13,156 | |||||||||||||||||
Certificates of deposit and time deposits | — | 3,258 | — | 3,258 | |||||||||||||||||
Non-U.S. government securities | — | 78 | — | 78 | |||||||||||||||||
Total | 764,158 | 435,440 | — | 1,199,598 | |||||||||||||||||
Derivatives | — | 153 | — | 153 | |||||||||||||||||
Total | $ | 764,158 | $ | 435,593 | $ | — | $ | 1,199,751 | |||||||||||||
Liabilities | |||||||||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
Total | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
Reported as follows: | |||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Cash and cash equivalents | $ | 283,107 | $ | 58,531 | $ | — | $ | 341,638 | |||||||||||||
Marketable securities | 371,101 | 215,781 | — | 586,882 | |||||||||||||||||
Long-term marketable securities | 109,950 | 161,128 | — | 271,078 | |||||||||||||||||
Other current assets | — | 153 | — | 153 | |||||||||||||||||
$ | 764,158 | $ | 435,593 | $ | — | $ | 1,199,751 | ||||||||||||||
Liabilities | |||||||||||||||||||||
Long-term other accrued liabilities | $ | — | $ | — | $ | 2,230 | $ | 2,230 | |||||||||||||
$ | — | $ | — | $ | 2,230 | $ | 2,230 | ||||||||||||||
Schedule of Changes in Fair Value of Level 3 Contingent Consideration | ' | ||||||||||||||||||||
Changes in the fair value of Level 3 contingent consideration for the three months ended March 30, 2014 and March 31, 2013 were as follows: | |||||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended March 30, 2014 | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Balance at December 31, 2013 | $ | 2,230 | |||||||||||||||||||
Contingent consideration payments | — | ||||||||||||||||||||
Balance at March 30, 2014 | $ | 2,230 | |||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended March 31, 2013 | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Balance at December 31, 2012 | $ | 388 | |||||||||||||||||||
Contingent consideration payments | (313 | ) | |||||||||||||||||||
Balance at March 31, 2013 | $ | 75 | |||||||||||||||||||
Schedule of Carrying Amounts and Fair Values of Financial Instruments | ' | ||||||||||||||||||||
The carrying amounts and fair values of Teradyne’s financial instruments at March 30, 2014 and December 31, 2013 were as follows: | |||||||||||||||||||||
March 30, 2014 | December 31, 2013 | ||||||||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Cash and cash equivalents | $ | 232,626 | $ | 232,626 | $ | 341,638 | $ | 341,638 | |||||||||||||
Marketable securities | 734,218 | 734,218 | 857,960 | 857,960 | |||||||||||||||||
Convertible debt(1) | — | — | 185,708 | 611,433 | |||||||||||||||||
Japan loan | — | — | 955 | 955 | |||||||||||||||||
-1 | The carrying value represents the bifurcated debt component only, while the fair value is based on quoted market prices for the convertible note which includes the equity conversion feature. | ||||||||||||||||||||
Schedule of Available-for-Sale Marketable Securities | ' | ||||||||||||||||||||
The following tables summarize the composition of available-for-sale marketable securities at March 30, 2014 and December 31, 2013: | |||||||||||||||||||||
March 30, 2014 | |||||||||||||||||||||
Available-for-Sale | Fair Market | ||||||||||||||||||||
Value of | |||||||||||||||||||||
Investment | |||||||||||||||||||||
with Unrealized | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Market | Losses | |||||||||||||||||
Gain | (Loss) | Value | |||||||||||||||||||
(in thousands) | |||||||||||||||||||||
U.S. Treasury securities | $ | 321,184 | $ | 236 | $ | (124 | ) | $ | 321,296 | $ | 23,205 | ||||||||||
U.S. government agency securities | 191,856 | 92 | (85 | ) | 191,863 | 91,951 | |||||||||||||||
Commercial paper | 116,758 | 13 | (4 | ) | 116,767 | 38,906 | |||||||||||||||
Corporate debt securities | 81,913 | 1,337 | (463 | ) | 82,787 | 49,413 | |||||||||||||||
Equity and debt mutual funds | 11,483 | 2,725 | (37 | ) | 14,171 | 810 | |||||||||||||||
Certificates of deposit and time deposits | 7,257 | — | — | 7,257 | — | ||||||||||||||||
Non-U.S. government securities | 77 | — | — | 77 | — | ||||||||||||||||
$ | 730,528 | $ | 4,403 | $ | (713 | ) | $ | 734,218 | $ | 204,285 | |||||||||||
Reported as follows: | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Market | Fair Market | |||||||||||||||||
Gain | (Loss) | Value | Value of | ||||||||||||||||||
Investments | |||||||||||||||||||||
with Unrealized | |||||||||||||||||||||
Losses | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Marketable securities | $ | 462,031 | $ | 146 | $ | (27 | ) | $ | 462,150 | $ | 99,303 | ||||||||||
Long-term marketable securities | 268,497 | 4,257 | (686 | ) | 272,068 | 104,982 | |||||||||||||||
$ | 730,528 | $ | 4,403 | $ | (713 | ) | $ | 734,218 | $ | 204,285 | |||||||||||
December 31, 2013 | |||||||||||||||||||||
Available-for-Sale | Fair Market | ||||||||||||||||||||
Value of | |||||||||||||||||||||
Investments | |||||||||||||||||||||
with Unrealized | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Market | Losses | |||||||||||||||||
Gain | (Loss) | Value | |||||||||||||||||||
(in thousands) | |||||||||||||||||||||
U.S. Treasury securities | $ | 468,084 | $ | 94 | $ | (283 | ) | $ | 467,895 | $ | 108,212 | ||||||||||
U.S. government agency securities | 202,573 | 75 | (60 | ) | 202,588 | 84,498 | |||||||||||||||
Commercial paper | 105,583 | 16 | (1 | ) | 105,598 | 7,993 | |||||||||||||||
Corporate debt securities | 65,747 | 762 | (1,122 | ) | 65,387 | 40,355 | |||||||||||||||
Equity and debt mutual funds | 10,463 | 2,742 | (49 | ) | 13,156 | 702 | |||||||||||||||
Certificates of deposit and time deposits | 3,258 | — | — | 3,258 | — | ||||||||||||||||
Non-U.S. government securities | 78 | — | — | 78 | — | ||||||||||||||||
$ | 855,786 | $ | 3,689 | $ | (1,515 | ) | $ | 857,960 | $ | 241,760 | |||||||||||
Reported as follows: | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Fair Market | Fair Market | |||||||||||||||||
Gain | (Loss) | Value | Value of | ||||||||||||||||||
Investments | |||||||||||||||||||||
with Unrealized | |||||||||||||||||||||
Losses | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Marketable securities | $ | 586,818 | $ | 85 | $ | (21 | ) | $ | 586,882 | $ | 137,670 | ||||||||||
Long-term marketable securities | 268,968 | 3,604 | (1,494 | ) | 271,078 | 104,090 | |||||||||||||||
$ | 855,786 | $ | 3,689 | $ | (1,515 | ) | $ | 857,960 | $ | 241,760 | |||||||||||
Contractual Maturities of Investments Held | ' | ||||||||||||||||||||
The contractual maturities of investments held at March 30, 2014 were as follows: | |||||||||||||||||||||
March 30, 2014 | |||||||||||||||||||||
Cost | Fair Market | ||||||||||||||||||||
Value | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Due within one year | $ | 462,031 | $ | 462,150 | |||||||||||||||||
Due after 1 year through 5 years | 226,558 | 226,607 | |||||||||||||||||||
Due after 5 years through 10 years | 5,854 | 5,954 | |||||||||||||||||||
Due after 10 years | 24,602 | 25,336 | |||||||||||||||||||
Total | $ | 719,045 | $ | 720,047 | |||||||||||||||||
Schedule of Derivative Instruments in Statement of Financial Position at Fair Value | ' | ||||||||||||||||||||
The following table summarizes the fair value of derivative instruments at March 30, 2014 and December 31, 2013: | |||||||||||||||||||||
Balance Sheet Location | March 30, | December 31, | |||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||||||
Foreign currency forward contracts | Other current assets | $ | 209 | $ | 153 | ||||||||||||||||
$ | 209 | $ | 153 | ||||||||||||||||||
Schedule of Effect of Derivative Instruments on Statement of Operations Recognized | ' | ||||||||||||||||||||
The following table summarizes the effect of derivative instruments recognized in the statement of operations during the three months ended March 30, 2014 and March 31, 2013. The table does not reflect the corresponding gains (losses) from the remeasurement of the monetary assets and liabilities denominated in foreign currencies. For the three months ended March 30, 2014 and March 31, 2013, gains (losses) from the remeasurement of the monetary assets and liabilities denominated in foreign currencies were $0.6 million and $(2.8) million, respectively. | |||||||||||||||||||||
Location of | For the Three | ||||||||||||||||||||
(Losses) Gains | Months Ended | ||||||||||||||||||||
Recognized in | |||||||||||||||||||||
Statement | |||||||||||||||||||||
of Operations | March 30, | March 31, | |||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Derivatives not designated as hedging instruments: | |||||||||||||||||||||
Foreign currency forward contracts | Interest expense | $ | (747 | ) | $ | 2,248 | |||||||||||||||
and other | |||||||||||||||||||||
$ | (747 | ) | $ | 2,248 | |||||||||||||||||
Debt_Tables
Debt (Tables) | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Components of Convertible Senior Notes | ' | ||||||||
The tables below represent the components of Teradyne’s convertible senior notes: | |||||||||
March 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Debt principal | $ | — | $ | 189,998 | |||||
Unamortized debt discount | — | 4,290 | |||||||
Net carrying amount of the convertible debt | $ | — | $ | 185,708 | |||||
Interest Expense on Convertible Senior Notes | ' | ||||||||
The interest expense on Teradyne’s convertible senior notes for the three months ended March 30, 2014 and March 31, 2013 was as follows: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Contractual interest expense | $ | 1,757 | $ | 2,137 | |||||
Amortization of the discount component and debt issue fees | 4,493 | 3,957 | |||||||
Total interest expense on the convertible debt | $ | 6,250 | $ | 6,094 | |||||
Prepayments_Tables
Prepayments (Tables) | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Schedule of Prepayments | ' | ||||||||
Prepayments consist of the following and are included in prepayments on the balance sheet: | |||||||||
March 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Contract manufacturer prepayments | $ | 108,048 | $ | 115,388 | |||||
Prepaid taxes | 9,979 | 3,281 | |||||||
Prepaid professional services | 6,134 | 6,538 | |||||||
Other prepayments | 7,323 | 11,167 | |||||||
Total prepayments | $ | 131,484 | $ | 136,374 | |||||
Deferred_Revenue_and_Customer_1
Deferred Revenue and Customer Advances (Tables) | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Deferred Revenue and Customer Advances | ' | ||||||||
Deferred revenue and customer advances consist of the following and are included in short and long-term deferred revenue and customer advances on the balance sheet: | |||||||||
March 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Extended warranty | $ | 33,949 | $ | 34,909 | |||||
Equipment maintenance and training | 24,650 | 22,455 | |||||||
Customer advances | 9,940 | 4,825 | |||||||
Undelivered elements | 5,477 | 6,971 | |||||||
Acceptance | 4,776 | — | |||||||
Total deferred revenue and customer advances | $ | 78,792 | $ | 69,160 | |||||
Product_Warranty_Tables
Product Warranty (Tables) | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Other Accrued Liabilities | ' | ||||||||
The warranty balance below is included in other accrued liabilities on the balance sheet. | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Balance at beginning of period | $ | 6,660 | $ | 9,786 | |||||
Accruals for warranties issued during the period | 2,858 | 1,423 | |||||||
Adjustments related to pre-existing warranties | (140 | ) | (929 | ) | |||||
Settlements made during the period | (2,763 | ) | (3,205 | ) | |||||
Balance at end of period | $ | 6,615 | $ | 7,075 | |||||
Extended Product Warranty of Short and Long-Term Deferred Revenue and Customer Advances | ' | ||||||||
The extended warranty balance below is included in short and long-term deferred revenue and customer advances on the balance sheet. | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Balance at beginning of period | $ | 34,909 | $ | 28,042 | |||||
Deferral of new extended warranty revenue | 2,361 | 3,505 | |||||||
Recognition of extended warranty deferred revenue | (3,321 | ) | (2,000 | ) | |||||
Balance at end of period | $ | 33,949 | $ | 29,547 | |||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 3 Months Ended | ||||||||
5-May-14 | |||||||||
Schedule of Estimated Fair Value of TSR Performance-Based Restricted Stock Unit Awards Assumptions | ' | ||||||||
The fair value was estimated using the Monte Carlo simulation model with the following assumptions: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | |||||||||
2014 | |||||||||
Risk-free interest rate | 0.75 | % | |||||||
Teradyne volatility-historical | 36.1 | % | |||||||
Philadelphia Semiconductor Index volatility-historical | 24.6 | % | |||||||
Dividend yield | 1.25 | % | |||||||
Schedule of Estimated Fair Value of Stock Options Assumptions | ' | ||||||||
The fair value of stock options was estimated using the Black-Scholes option-pricing model with the following assumptions: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
Expected life (years) | 4 | 4 | |||||||
Risk-free interest rate | 1.2 | % | 0.6 | % | |||||
Volatility-historical | 38.8 | % | 46.8 | % | |||||
Dividend yield | 1.25 | % | 0 | % |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Tables) | 3 Months Ended | ||||||||||||
Mar. 30, 2014 | |||||||||||||
Changes in Accumulated Other Comprehensive Income | ' | ||||||||||||
Changes in accumulated other comprehensive income, which is presented net of tax, consist of the following: | |||||||||||||
Unrealized Gains on | Retirement Plans | Total | |||||||||||
Marketable Securities | Prior Service Credit | ||||||||||||
(in thousands) | |||||||||||||
Balance at December 31, 2013, net of tax of $794, $(284) | $ | 1,381 | $ | 2,619 | $ | 4,000 | |||||||
Other comprehensive income before reclassifications, net of tax of $654 | 1,139 | — | 1,139 | ||||||||||
Amounts reclassified from accumulated other comprehensive income, net of tax of $(102), $(42) | (176 | ) | (73 | ) | (249 | ) | |||||||
Net current period other comprehensive income | 963 | (73 | ) | 890 | |||||||||
Balance at March 30, 2014, net of tax of $1,346, $(326) | $ | 2,344 | $ | 2,546 | $ | 4,890 | |||||||
Reclassification Out of Accumulated Other Comprehensive Income to Statement of Operations | ' | ||||||||||||
Reclassifications out of accumulated other comprehensive income to the statement of operations for the three months ended March 30, 2014 and March 31, 2013, were as follows: | |||||||||||||
Details about Accumulated | For the Three Months Ended | Affected Line Item | |||||||||||
Other Comprehensive Income | in the Statements | ||||||||||||
Components | of Operations | ||||||||||||
March 30, | March 31, | ||||||||||||
2014 | 2013 | ||||||||||||
(in thousands) | |||||||||||||
Available-for-sale marketable securities | |||||||||||||
Unrealized gains, net of tax of $102, $83 | $ | 176 | $ | 144 | Interest income | ||||||||
Amortization of defined benefit pension and postretirement plans Prior service benefit, net of tax of $42, $40 | 73 | 69 | (a) | ||||||||||
Total reclassifications, net of tax of $144, $123 | $ | 249 | $ | 213 | Net income | ||||||||
(a) | The amortization of prior service benefit is included in the computation of net periodic pension cost and postretirement benefit; see Note N: “Retirement Plans.” |
Intangible_Assets_Tables
Intangible Assets (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 30, 2014 | |||||||||||||||||
Schedule of Amortizable Intangible Assets | ' | ||||||||||||||||
Amortizable intangible assets consist of the following and are included in intangible assets, net on the balance sheet: | |||||||||||||||||
March 30, 2014 | |||||||||||||||||
Gross | Accumulated | Net | Weighted | ||||||||||||||
Carrying | Amortization | Carrying | Average | ||||||||||||||
Amount | Amount | Useful Life | |||||||||||||||
(in thousands) | |||||||||||||||||
Developed technology | $ | 362,126 | $ | 206,551 | $ | 155,575 | 6.3 years | ||||||||||
Customer relationships | 146,276 | 86,333 | 59,943 | 8.0 years | |||||||||||||
Trade names and trademarks | 33,834 | 15,332 | 18,502 | 9.0 years | |||||||||||||
Customer backlog | 1,000 | 1,000 | — | 0.4 years | |||||||||||||
Total intangible assets | $ | 543,236 | $ | 309,216 | $ | 234,020 | 7.0 years | ||||||||||
December 31, 2013 | |||||||||||||||||
Gross | Accumulated | Net | Weighted | ||||||||||||||
Carrying | Amortization | Carrying | Average | ||||||||||||||
Amount | Amount | Useful Life | |||||||||||||||
(in thousands) | |||||||||||||||||
Developed technology | $ | 362,126 | $ | 193,756 | $ | 168,370 | 6.3 years | ||||||||||
Customer relationships | 146,276 | 81,742 | 64,534 | 8.0 years | |||||||||||||
Trade names and trademarks | 33,834 | 14,447 | 19,387 | 9.0 years | |||||||||||||
Customer backlog | 1,000 | 1,000 | — | 0.4 years | |||||||||||||
Total intangible assets | $ | 543,236 | $ | 290,945 | $ | 252,291 | 7.0 years | ||||||||||
Schedule of Estimated Intangible Asset Amortization Expense | ' | ||||||||||||||||
Estimated intangible asset amortization expense for each of the five succeeding fiscal years is as follows: | |||||||||||||||||
Year | Amortization Expense | ||||||||||||||||
(in thousands) | |||||||||||||||||
2014 (remainder) | $ | 51,870 | |||||||||||||||
2015 | 53,391 | ||||||||||||||||
2016 | 53,391 | ||||||||||||||||
2017 | 47,232 | ||||||||||||||||
2018 | 22,691 |
Net_Income_per_Common_Share_Ta
Net Income per Common Share (Tables) | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Computation of Basic and Diluted Net Income Per Common Share | ' | ||||||||
The following table sets forth the computation of basic and diluted net income per common share: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands, except per | |||||||||
share amounts) | |||||||||
Net income for basic and diluted net income per share | $ | 929 | $ | 6,589 | |||||
Weighted average common shares-basic | 193,311 | 189,686 | |||||||
Effect of dilutive potential common shares: | |||||||||
Incremental shares from assumed conversion of convertible notes(1) | 20,052 | 23,386 | |||||||
Convertible note hedge warrant shares(2) | 20,942 | 18,859 | |||||||
Restricted stock units | 1,051 | 1,123 | |||||||
Stock options | 1,106 | 1,676 | |||||||
Employee stock purchase plan | 22 | 27 | |||||||
Dilutive potential common shares | 43,173 | 45,071 | |||||||
Weighted average common shares-diluted | 236,484 | 234,757 | |||||||
Net income per common share-basic | $ | 0 | $ | 0.03 | |||||
Net income per common share-diluted | $ | 0 | $ | 0.03 | |||||
-1 | Incremental shares from conversion of the convertible notes for the three months ended March 30, 2014 were calculated using the difference between the average Teradyne stock price from January 1, 2014 through March 12, 2014 and the conversion price of $5.4750, multiplied by 34.7 million shares. The result of this calculation, representing the total intrinsic value of the convertible debt, was divided by the average Teradyne stock price for the period from January 1, 2014 to March 12, 2014 and adjusted for the number of days the convertible notes were outstanding during the three months ended March 30, 2014. Incremental shares from assumed conversion of the convertible notes for the three months ended March 31, 2013 were calculated using the difference between the average Teradyne stock price for the period and the conversion price of $5.4750, multiplied by the 34.7 million shares to be issued upon conversion. The result of this calculation, representing the total intrinsic value of the convertible debt, was divided by the average Teradyne stock price for the period. | ||||||||
-2 | Convertible note hedge warrant shares for the three months ended March 30, 2014 and March 31, 2013 are calculated using the difference between the average Teradyne stock price for the period and the warrant price of $7.6650, multiplied by 34.7 million shares. The result of this calculation, representing the total intrinsic value of the warrant, is divided by the average Teradyne stock price for the period. |
Restructuring_and_Other_Tables
Restructuring and Other (Tables) | 3 Months Ended | ||||||||||||
Mar. 30, 2014 | |||||||||||||
Restructuring and Other | ' | ||||||||||||
Severance | Facility | Total | |||||||||||
and | Exit | ||||||||||||
Benefits | Costs | ||||||||||||
(in thousands) | |||||||||||||
Pre-2013 Activities | |||||||||||||
Balance at December 31, 2012 | $ | 243 | $ | 1,084 | $ | 1,327 | |||||||
Change in estimate | — | (553 | ) | (553 | ) | ||||||||
Cash payments | (243 | ) | (531 | ) | (774 | ) | |||||||
Balance at December 31, 2013 | $ | — | $ | — | $ | — | |||||||
2013 Activities | |||||||||||||
Q3 2013 Activity: | |||||||||||||
Provision | $ | 1,337 | $ | — | $ | 1,337 | |||||||
Cash payments | (966 | ) | — | (966 | ) | ||||||||
Balance at December 31, 2013 | 371 | — | 371 | ||||||||||
Cash payments | (161 | ) | — | (161 | ) | ||||||||
Balance at March 30, 2014 | $ | 210 | $ | — | $ | 210 | |||||||
Q4 2013 Activity: | |||||||||||||
Provision | $ | 600 | $ | — | $ | 600 | |||||||
Cash payments | (486 | ) | — | (486 | ) | ||||||||
Balance at December 31, 2013 | 114 | — | 114 | ||||||||||
Cash payments | (114 | ) | — | (114 | ) | ||||||||
Balance at March 30, 2014 | $ | — | $ | — | $ | — | |||||||
Balance at March 30, 2014 | $ | 210 | $ | — | $ | 210 | |||||||
Retirement_Plans_Tables
Retirement Plans (Tables) | 3 Months Ended | ||||||||
Mar. 30, 2014 | |||||||||
Postretirement Benefit Plans | ' | ||||||||
Net Periodic Pension and Postretirement Cost (Benefit) | ' | ||||||||
For the three months ended March 30, 2014 and March 31, 2013, Teradyne’s net periodic postretirement benefit was comprised of the following: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Service cost | $ | 13 | $ | 16 | |||||
Interest cost | 86 | 87 | |||||||
Amortization of unrecognized prior service benefit | (150 | ) | (150 | ) | |||||
Total net periodic postretirement benefit | $ | (51 | ) | $ | (47 | ) | |||
Defined Benefit Pension Plans | ' | ||||||||
Net Periodic Pension and Postretirement Cost (Benefit) | ' | ||||||||
For the three months ended March 30, 2014 and March 31, 2013, Teradyne’s net periodic pension cost was comprised of the following: | |||||||||
For the Three Months | |||||||||
Ended | |||||||||
March 30, | March 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Service cost | $ | 796 | $ | 834 | |||||
Interest cost | 3,720 | 3,370 | |||||||
Expected return on plan assets | (3,342 | ) | (3,630 | ) | |||||
Amortization of unrecognized prior service cost | 34 | 41 | |||||||
Total net periodic pension cost | $ | 1,208 | $ | 615 | |||||
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | ||||||||||||||||||||
Mar. 30, 2014 | |||||||||||||||||||||
Segment Information | ' | ||||||||||||||||||||
Segment information is as follows: | |||||||||||||||||||||
Semiconductor | Wireless | System | Corporate | Consolidated | |||||||||||||||||
Test | Test | Test | and | ||||||||||||||||||
Eliminations | |||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Three months ended March 30, 2014: | |||||||||||||||||||||
Net revenues | $ | 261,737 | $ | 21,210 | $ | 38,063 | $ | — | $ | 321,010 | |||||||||||
Income (loss) before income taxes(1)(2) | 34,600 | (25,085 | ) | 448 | (11,836 | ) | (1,873 | ) | |||||||||||||
Three months ended March 31, 2013: | |||||||||||||||||||||
Net revenues | $ | 211,506 | $ | 33,598 | $ | 35,263 | $ | — | $ | 280,367 | |||||||||||
Income (loss) before income taxes(1)(2) | 13,766 | (9,997 | ) | 1,530 | (6,725 | ) | (1,426 | ) | |||||||||||||
-1 | Interest income and interest expense and other are included in Corporate and Eliminations. | ||||||||||||||||||||
-2 | Included in the income (loss) before income taxes for each of the segments are charges and credits for the three months ended March 30, 2014 and March 31, 2013 that include restructuring and other, and provision for excess and obsolete inventory, as follows: | ||||||||||||||||||||
Semiconductor Test | ' | ||||||||||||||||||||
Schedule of Segment Reporting Information by Segment Charges | ' | ||||||||||||||||||||
Included in the Semiconductor Test segment are charges for the following: | |||||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended | |||||||||||||||||||||
March 30, | March 31, | ||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Cost of revenues—provision for excess and obsolete inventory | $ | 6,205 | $ | 213 | |||||||||||||||||
Wireless Test | ' | ||||||||||||||||||||
Schedule of Segment Reporting Information by Segment Charges | ' | ||||||||||||||||||||
Included in the Wireless Test segment are charges for the following: | |||||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended | |||||||||||||||||||||
March 30, | March 31, | ||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Cost of revenues—provision for excess and obsolete inventory | $ | 3,093 | $ | 2,668 | |||||||||||||||||
System Test | ' | ||||||||||||||||||||
Schedule of Segment Reporting Information by Segment Charges | ' | ||||||||||||||||||||
Included in the System Test segment are charges for the following: | |||||||||||||||||||||
For the Three Months | |||||||||||||||||||||
Ended | |||||||||||||||||||||
March 30, | March 31, | ||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Cost of revenues—provision for excess and obsolete inventory | $ | 741 | $ | 919 | |||||||||||||||||
Restructuring and other | — | 244 | |||||||||||||||||||
Total | $ | 741 | $ | 1,163 | |||||||||||||||||
Financial_Instruments_and_Deri2
Financial Instruments and Derivatives - Additional Information (Detail) (USD $) | 3 Months Ended | 3 Months Ended | 12 Months Ended | ||||
Mar. 30, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Oct. 25, 2013 | Oct. 25, 2013 | Mar. 30, 2014 | Dec. 31, 2013 | |
ZTEC Instruments, Inc. | ZTEC Instruments, Inc. | Foreign Currency Forward Contracts | Foreign Currency Forward Contracts | ||||
Maximum | |||||||
Financial Instruments and Fair Value [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Available-for-sale securities, realized gain | $300,000 | $300,000 | ' | ' | ' | ' | ' |
Available-for-sale securities, realized losses | 0 | 0 | ' | ' | ' | ' | ' |
Contingent consideration | ' | ' | ' | 2,200,000 | 5,000,000 | ' | ' |
Contingent consideration discount rate | 5.20% | ' | ' | ' | ' | ' | ' |
Changes to fair value of contingent consideration | 0 | ' | ' | ' | ' | ' | ' |
Fair market value of investments with unrealized losses | 204,285,000 | ' | 241,760,000 | ' | ' | ' | ' |
Fair market value of investments with unrealized losses greater than one year | 900,000 | ' | 900,000 | ' | ' | ' | ' |
Fair market value of investments with unrealized losses less than one year | 203,400,000 | ' | 240,900,000 | ' | ' | ' | ' |
Notional amount of foreign currency forward contracts | ' | ' | ' | ' | ' | 66,800,000 | 74,800,000 |
Gains (losses) on foreign currency transactions | 600,000 | -2,800,000 | ' | ' | ' | 200,000 | 200,000 |
Realized (losses) gains on foreign currency contracts | ($700,000) | $2,200,000 | ' | ' | ' | ' | ' |
Schedule_of_Fair_Value_of_Fina
Schedule of Fair Value of Financial Assets and Liabilities Measured on Recurring Basis (Detail) (USD $) | Mar. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | $734,218 | $857,960 |
Derivatives | 209 | 153 |
U.S. Treasury Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 321,296 | 467,895 |
U.S. Government Agency Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 191,863 | 202,588 |
Commercial Paper | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 116,767 | 105,598 |
Corporate Debt Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 82,787 | 65,387 |
Equity And Debt Mutual Funds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 14,171 | 13,156 |
Certificates of Deposit and Time Deposits | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 7,257 | 3,258 |
Non-U.S. Government Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 77 | 78 |
Fair Value, Measurements, Recurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Derivatives | 209 | 153 |
Total including derivatives | 967,053 | 1,199,751 |
Contingent consideration | 2,230 | 2,230 |
Liabilities | 2,230 | 2,230 |
Fair Value, Measurements, Recurring | Cash | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Cash and Cash equivalents | 131,722 | 117,242 |
Fair Value, Measurements, Recurring | Cash Equivalents | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Cash and Cash equivalents | 100,904 | 224,396 |
Fair Value, Measurements, Recurring | U.S. Treasury Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 321,296 | 467,895 |
Fair Value, Measurements, Recurring | U.S. Government Agency Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 191,863 | 202,588 |
Fair Value, Measurements, Recurring | Commercial Paper | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 116,767 | 105,598 |
Fair Value, Measurements, Recurring | Corporate Debt Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 82,787 | 65,387 |
Fair Value, Measurements, Recurring | Equity And Debt Mutual Funds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 14,171 | 13,156 |
Fair Value, Measurements, Recurring | Certificates of Deposit and Time Deposits | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 7,257 | 3,258 |
Fair Value, Measurements, Recurring | Non-U.S. Government Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 77 | 78 |
Fair Value, Measurements, Recurring | Subtotal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 966,844 | 1,199,598 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Total including derivatives | 555,083 | 764,158 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | Cash | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Cash and Cash equivalents | 131,722 | 117,242 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | Cash Equivalents | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Cash and Cash equivalents | 87,894 | 165,865 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | U.S. Treasury Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 321,296 | 467,895 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | Equity And Debt Mutual Funds | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 14,171 | 13,156 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | Subtotal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 555,083 | 764,158 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Derivatives | 209 | 153 |
Total including derivatives | 411,970 | 435,593 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Cash Equivalents | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Cash and Cash equivalents | 13,010 | 58,531 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | U.S. Government Agency Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 191,863 | 202,588 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Commercial Paper | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 116,767 | 105,598 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Corporate Debt Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 82,787 | 65,387 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Certificates of Deposit and Time Deposits | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 7,257 | 3,258 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Non-U.S. Government Securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 77 | 78 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Subtotal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Available for sale securities | 411,761 | 435,440 |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Contingent consideration | 2,230 | 2,230 |
Liabilities | $2,230 | $2,230 |
Schedule_of_Reported_Financial
Schedule of Reported Financial Assets and Liabilities (Detail) (Fair Value, Measurements, Recurring, USD $) | Mar. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | $967,053 | $1,199,751 |
Liabilities | 2,230 | 2,230 |
Cash and Cash Equivalents | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 232,626 | 341,638 |
Marketable securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 462,150 | 586,882 |
Long-term marketable securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 272,068 | 271,078 |
Other current assets | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 209 | 153 |
Long-term other accrued liabilities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Liabilities | 2,230 | 2,230 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 555,083 | 764,158 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | Cash and Cash Equivalents | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 219,616 | 283,107 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | Marketable securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 214,230 | 371,101 |
Quoted Prices in Active Markets for Identical Instruments (Level 1) | Long-term marketable securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 121,237 | 109,950 |
Significant Other Observable Inputs (Level 2) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 411,970 | 435,593 |
Significant Other Observable Inputs (Level 2) | Cash and Cash Equivalents | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 13,010 | 58,531 |
Significant Other Observable Inputs (Level 2) | Marketable securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 247,920 | 215,781 |
Significant Other Observable Inputs (Level 2) | Long-term marketable securities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 150,831 | 161,128 |
Significant Other Observable Inputs (Level 2) | Other current assets | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Assets | 209 | 153 |
Significant Unobservable Inputs (Level 3) | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Liabilities | 2,230 | 2,230 |
Significant Unobservable Inputs (Level 3) | Long-term other accrued liabilities | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | ' |
Liabilities | $2,230 | $2,230 |
Schedule_of_Changes_in_Fair_Va
Schedule of Changes in Fair Value of Level 3 Contingent Consideration (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Fair Value Measurements | ' | ' |
Beginning Balance | $2,230 | $388 |
Contingent consideration payments | ' | -313 |
Ending Balance | $2,230 | $75 |
Schedule_of_Carrying_Amounts_a
Schedule of Carrying Amounts and Fair Values of Financial Instruments (Detail) (USD $) | Mar. 30, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2009 | |
In Thousands, unless otherwise specified | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions | ' | ' | ' | ' | ' | |
Cash and cash equivalents, Carrying Value | $232,626 | $341,638 | $305,219 | $338,920 | ' | |
Convertible debt, Carrying Value | ' | 185,708 | ' | ' | ' | |
Japan loan, Carrying Value | ' | ' | ' | ' | 10,000 | |
Carrying Value | ' | ' | ' | ' | ' | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions | ' | ' | ' | ' | ' | |
Cash and cash equivalents, Carrying Value | 232,626 | 341,638 | ' | ' | ' | |
Marketable securities, Carrying Value | 734,218 | 857,960 | ' | ' | ' | |
Convertible debt, Carrying Value | ' | 185,708 | [1] | ' | ' | ' |
Japan loan, Carrying Value | ' | 955 | ' | ' | ' | |
Fair Value | ' | ' | ' | ' | ' | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions | ' | ' | ' | ' | ' | |
Cash and cash equivalents, Fair Value | 232,626 | 341,638 | ' | ' | ' | |
Marketable securities, Fair Value | 734,218 | 857,960 | ' | ' | ' | |
Convertible debt, Fair Value | ' | 611,433 | [1] | ' | ' | ' |
Japan loan, Fair Value | ' | $955 | ' | ' | ' | |
[1] | The carrying value represents the bifurcated debt component only, while the fair value is based on quoted market prices for the convertible note which includes the equity conversion feature. |
Schedule_of_Available_for_Sale
Schedule of Available for Sale Marketable Securities (Detail) (USD $) | Mar. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | $730,528 | $855,786 |
Available-for-sale marketable securities, Unrealized Gain | 4,403 | 3,689 |
Available-for-sale marketable securities, Unrealized (Loss) | -713 | -1,515 |
Available-for-sale marketable securities, Fair Market Value | 734,218 | 857,960 |
Available-for-sale marketable securities, Fair Market Value of Investment with Unrealized Losses | 204,285 | 241,760 |
U.S. Government Agency Securities | ' | ' |
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | 191,856 | 202,573 |
Available-for-sale marketable securities, Unrealized Gain | 92 | 75 |
Available-for-sale marketable securities, Unrealized (Loss) | -85 | -60 |
Available-for-sale marketable securities, Fair Market Value | 191,863 | 202,588 |
Available-for-sale marketable securities, Fair Market Value of Investment with Unrealized Losses | 91,951 | 84,498 |
U.S. Treasury Securities | ' | ' |
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | 321,184 | 468,084 |
Available-for-sale marketable securities, Unrealized Gain | 236 | 94 |
Available-for-sale marketable securities, Unrealized (Loss) | -124 | -283 |
Available-for-sale marketable securities, Fair Market Value | 321,296 | 467,895 |
Available-for-sale marketable securities, Fair Market Value of Investment with Unrealized Losses | 23,205 | 108,212 |
Commercial Paper | ' | ' |
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | 116,758 | 105,583 |
Available-for-sale marketable securities, Unrealized Gain | 13 | 16 |
Available-for-sale marketable securities, Unrealized (Loss) | -4 | -1 |
Available-for-sale marketable securities, Fair Market Value | 116,767 | 105,598 |
Available-for-sale marketable securities, Fair Market Value of Investment with Unrealized Losses | 38,906 | 7,993 |
Corporate Debt Securities | ' | ' |
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | 81,913 | 65,747 |
Available-for-sale marketable securities, Unrealized Gain | 1,337 | 762 |
Available-for-sale marketable securities, Unrealized (Loss) | -463 | -1,122 |
Available-for-sale marketable securities, Fair Market Value | 82,787 | 65,387 |
Available-for-sale marketable securities, Fair Market Value of Investment with Unrealized Losses | 49,413 | 40,355 |
Equity And Debt Mutual Funds | ' | ' |
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | 11,483 | 10,463 |
Available-for-sale marketable securities, Unrealized Gain | 2,725 | 2,742 |
Available-for-sale marketable securities, Unrealized (Loss) | -37 | -49 |
Available-for-sale marketable securities, Fair Market Value | 14,171 | 13,156 |
Available-for-sale marketable securities, Fair Market Value of Investment with Unrealized Losses | 810 | 702 |
Certificates of Deposit and Time Deposits | ' | ' |
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | 7,257 | 3,258 |
Available-for-sale marketable securities, Fair Market Value | 7,257 | 3,258 |
Non-U.S. Government Securities | ' | ' |
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | 77 | 78 |
Available-for-sale marketable securities, Fair Market Value | $77 | $78 |
Schedule_of_Reported_Available
Schedule of Reported Available for Sale Marketable Securities (Detail) (USD $) | Mar. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | $730,528 | $855,786 |
Available-for-sale marketable securities, Unrealized Gain | 4,403 | 3,689 |
Available-for-sale marketable securities, Unrealized (Loss) | -713 | -1,515 |
Available-for-sale marketable securities, Fair Market Value | 734,218 | 857,960 |
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | 204,285 | 241,760 |
Marketable securities | ' | ' |
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | 462,031 | 586,818 |
Available-for-sale marketable securities, Unrealized Gain | 146 | 85 |
Available-for-sale marketable securities, Unrealized (Loss) | -27 | -21 |
Available-for-sale marketable securities, Fair Market Value | 462,150 | 586,882 |
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | 99,303 | 137,670 |
Long-term marketable securities | ' | ' |
Schedule of Available-for-sale Securities | ' | ' |
Available-for-sale marketable securities, Cost | 268,497 | 268,968 |
Available-for-sale marketable securities, Unrealized Gain | 4,257 | 3,604 |
Available-for-sale marketable securities, Unrealized (Loss) | -686 | -1,494 |
Available-for-sale marketable securities, Fair Market Value | 272,068 | 271,078 |
Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | $104,982 | $104,090 |
Contractual_Maturities_of_Inve
Contractual Maturities of Investments Held (Detail) (USD $) | Mar. 30, 2014 |
In Thousands, unless otherwise specified | |
Schedule of Available-for-sale Securities | ' |
Due within one year, cost | $462,031 |
Due after 1 year through 5 years, cost | 226,558 |
Due after 5 years through 10 years, cost | 5,854 |
Due after 10 years, cost | 24,602 |
Total, cost | 719,045 |
Due within one year, fair value | 462,150 |
Due after 1 year through 5 years, fair value | 226,607 |
Due after 5 years through 10 years, fair value | 5,954 |
Due after 10 years, fair value | 25,336 |
Total, fair value | $720,047 |
Schedule_of_Effect_of_Derivati
Schedule of Effect of Derivative Instruments in Statement of Operations Recognized (Detail) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 | Dec. 31, 2013 |
Fair Value, Option, Quantitative Disclosures | ' | ' | ' |
Derivatives asset not designated as hedging instruments | $209 | ' | $153 |
Foreign currency forward contracts derivatives not designated as hedging instruments, (Losses) Gains Recognized in Statement of Operations | -747 | 2,248 | ' |
Interest Expense and Other | ' | ' | ' |
Fair Value, Option, Quantitative Disclosures | ' | ' | ' |
Foreign currency forward contracts derivatives not designated as hedging instruments, (Losses) Gains Recognized in Statement of Operations | -747 | 2,248 | ' |
Not Designated as Hedging Instrument | Foreign Currency Forward Contracts | Other current assets | ' | ' | ' |
Fair Value, Option, Quantitative Disclosures | ' | ' | ' |
Derivatives asset not designated as hedging instruments | $209 | ' | $153 |
Debt_Additional_Information_De
Debt - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 1 Months Ended | 1 Months Ended | 3 Months Ended | |||
Mar. 31, 2009 | Mar. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Mar. 31, 2009 | Mar. 30, 2014 | Apr. 30, 2009 | Mar. 30, 2014 | |
Maximum | Maximum | 4.50% Convertible Senior Notes Due March 15, 2014 | 4.50% Convertible Senior Notes Due March 15, 2014 | |||||
Debt Instrument | ' | ' | ' | ' | ' | ' | ' | ' |
Borrowings from local bank | $10,000,000 | ' | ' | ' | ' | ' | ' | ' |
Term of loan, years | '5 years | ' | ' | ' | ' | ' | ' | ' |
Debt instrument, interest rate, stated percentage | 0.80% | ' | ' | ' | ' | ' | 4.50% | ' |
Loan collateralized by real estate mortgage | 6,000,000 | ' | ' | ' | ' | ' | ' | ' |
Unsecured loan | 4,000,000 | ' | ' | ' | ' | ' | ' | ' |
Semiannual principal payments of loan | ' | 1,000,000 | 1,000,000 | ' | ' | ' | ' | ' |
Aggregate principal amount | ' | ' | ' | 189,998,000 | ' | ' | 190,000,000 | ' |
Initial debt conversion price | ' | ' | ' | ' | ' | ' | $5.47 | ' |
Conversion rate in number of shares | ' | ' | ' | ' | ' | ' | 182.65 | 131.95 |
Additional aggregate principal amount | ' | ' | ' | ' | ' | ' | 1,000 | ' |
Senior notes maturity date | ' | ' | ' | ' | ' | ' | 15-Mar-14 | ' |
Number of shares excluded for conversion rate calculation | ' | ' | ' | ' | ' | ' | ' | 50.7 |
Trading days used to determine average price per share | ' | ' | ' | ' | ' | ' | ' | '25 days |
Average trading price of common shares | ' | ' | ' | ' | ' | ' | ' | $19.74 |
Payments of long-term debt | ' | $190,975,000 | ' | ' | ' | ' | ' | $190,000,000 |
Stock issued in conversion of notes | ' | ' | ' | ' | ' | ' | ' | 25,100,000 |
Stock received and retired | ' | ' | ' | ' | ' | ' | ' | 25,100,000 |
Strike price per share of warrant | ' | $7.67 | ' | ' | ' | ' | ' | ' |
Warrants settled on a daily basis | ' | 534,000 | ' | ' | ' | ' | ' | ' |
Warrant settlement period | ' | '65 days | ' | ' | ' | ' | ' | ' |
Common stock shares issuable upon exercise of the warrants | ' | ' | ' | ' | ' | 34,526,500 | ' | ' |
Percentage of warrant price in excess of closing price of common stock | ' | ' | ' | ' | 19.99% | ' | ' | ' |
Components_of_Convertible_Seni
Components of Convertible Senior Notes (Detail) (USD $) | Mar. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Debt Instrument | ' | ' |
Debt principal | ' | $189,998 |
Unamortized debt discount | ' | 4,290 |
Net carrying amount of the convertible debt | ' | $185,708 |
Interest_Expense_on_Convertibl
Interest Expense on Convertible Senior Notes (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Debt Instrument | ' | ' |
Contractual interest expense | $1,757 | $2,137 |
Amortization of the discount component and debt issue fees | 4,493 | 3,957 |
Total interest expense on the convertible debt | $6,250 | $6,094 |
Schedule_of_Prepayments_Detail
Schedule of Prepayments (Detail) (USD $) | Mar. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Prepaid Expenses [Line Items] | ' | ' |
Contract manufacturer prepayments | $108,048 | $115,388 |
Prepaid taxes | 9,979 | 3,281 |
Prepaid professional services | 6,134 | 6,538 |
Other prepayments | 7,323 | 11,167 |
Prepayments | $131,484 | $136,374 |
Deferred_Revenue_and_Customer_2
Deferred Revenue and Customer Advances (Detail) (USD $) | Mar. 30, 2014 | Dec. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||||
Deferred Revenue Arrangement | ' | ' | ' | ' |
Extended warranty | $33,949 | $34,909 | $29,547 | $28,042 |
Equipment maintenance and training | 24,650 | 22,455 | ' | ' |
Customer advances | 9,940 | 4,825 | ' | ' |
Undelivered elements | 5,477 | 6,971 | ' | ' |
Acceptance | 4,776 | ' | ' | ' |
Total deferred revenue and customer advances | $78,792 | $69,160 | ' | ' |
Warranty_Accrual_Included_in_O
Warranty Accrual Included in Other Accrued Liabilities (Detail) (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Schedule of Accrued Liabilities [Line Items] | ' | ' |
Balance at beginning of period | $6,660 | $9,786 |
Accruals for warranties issued during the period | 2,858 | 1,423 |
Adjustments related to pre-existing warranties | -140 | -929 |
Settlements made during the period | -2,763 | -3,205 |
Balance at end of period | $6,615 | $7,075 |
Extended_Product_Warranty_Incl
Extended Product Warranty Included in Short and Long-Term Deferred Revenue and Customer Advances (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Schedule of Accrued Liabilities [Line Items] | ' | ' |
Balance at beginning of period | $34,909 | $28,042 |
Deferral of new extended warranty revenue | 2,361 | 3,505 |
Recognition of extended warranty deferred revenue | -3,321 | -2,000 |
Balance at end of period | $33,949 | $29,547 |
Stock_Based_Compensation_Addit
Stock Based Compensation - Additional Information (Detail) (USD $) | 3 Months Ended | 1 Months Ended | 3 Months Ended | 1 Months Ended | ||||||||
Share data in Millions, except Per Share data, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 | Mar. 30, 2014 | Mar. 31, 2013 | Mar. 30, 2014 | Mar. 30, 2014 | Jan. 24, 2014 | Jan. 31, 2014 | Mar. 30, 2014 | Jan. 24, 2014 | Jan. 31, 2014 | Jan. 31, 2014 |
Service-Based Restricted Stock Units | Service-Based Restricted Stock Units | Restricted Stock Units | Stock Options | Stock Options | TSR Performance-Based Restricted Stock Units | TSR Performance-Based Restricted Stock Units | TSR Performance-Based Restricted Stock Units | TSR Performance-Based Restricted Stock Units | TSR Performance-Based Restricted Stock Units | |||
Employees | Maximum | Minimum | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total shareholder return performance measurement period | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' |
Percentage of vesting of target shares upon performance achieved | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200.00% | 0.00% |
Restricted stock unit awards to employees | ' | ' | 1.4 | 1.6 | ' | ' | ' | ' | 0.1 | ' | ' | ' |
Weighted average grant date fair value of restricted stock units granted | ' | ' | $19.15 | $16.57 | ' | ' | ' | ' | $22.06 | ' | ' | ' |
Estimated annual dividend amount per share | ' | ' | ' | ' | ' | $0.24 | ' | ' | $0.24 | ' | ' | ' |
Stock price | ' | ' | ' | ' | ' | ' | $19.16 | ' | ' | $19.16 | ' | ' |
Number of service-based stock options granted to executive officers | 0.1 | 0.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average grant date fair value of stock options granted to executive officers | $5.49 | $6.09 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of stock granted to employees and executive officers vest in equal installments | ' | ' | ' | ' | '4 years | '4 years | ' | ' | ' | ' | ' | ' |
Stock options term | '7 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock based compensation expense related to retirement agreement | $6,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule_of_Estimated_Fair_Val
Schedule of Estimated Fair Value of TSR Performance-Based Restricted Stock Unit Awards Assumptions (Detail) (TSR Performance-Based Restricted Stock Units) | 3 Months Ended |
Mar. 30, 2014 | |
TSR Performance-Based Restricted Stock Units | ' |
Share-based Compensation Arrangement by Share-based Payment Award | ' |
Risk-free interest rate | 0.75% |
Teradyne volatility-historical | 36.10% |
Philadelphia Semiconductor Index volatility-historical | 24.60% |
Dividend yield | 1.25% |
Schedule_of_Estimated_Fair_Val1
Schedule of Estimated Fair Value of Stock Options Assumptions (Detail) (Stock Options) | 3 Months Ended | |
Mar. 30, 2014 | Mar. 31, 2013 | |
Stock Options | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award | ' | ' |
Expected life (years) | '4 years | '4 years |
Risk-free interest rate | 1.20% | 0.60% |
Volatility-historical | 38.80% | 46.80% |
Dividend yield | 1.25% | 0.00% |
Changes_in_Accumulated_Other_C
Changes in Accumulated Other Comprehensive Income Balances (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Beginning balance | $4,000 | ' |
Other comprehensive income before reclassifications, net of tax | 1,139 | ' |
Amounts reclassified from accumulated other comprehensive income, net of tax | -249 | -213 |
Other comprehensive income (loss) | 890 | -13 |
Ending balance | 4,890 | ' |
Unrealized Gains on Marketable Securities | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Beginning balance | 1,381 | ' |
Other comprehensive income before reclassifications, net of tax | 1,139 | ' |
Amounts reclassified from accumulated other comprehensive income, net of tax | -176 | ' |
Other comprehensive income (loss) | 963 | ' |
Ending balance | 2,344 | ' |
Retirement Plans Prior Service Benefit | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' |
Beginning balance | 2,619 | ' |
Amounts reclassified from accumulated other comprehensive income, net of tax | -73 | ' |
Other comprehensive income (loss) | -73 | ' |
Ending balance | $2,546 | ' |
Changes_in_Accumulated_Other_C1
Changes in Accumulated Other Comprehensive Income Balances (Parenthetical) (Detail) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 | Dec. 31, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Other comprehensive income before reclassifications, tax | $654 | $115 | ' |
Amounts reclassified from accumulated other comprehensive income, tax | -102 | -83 | ' |
Amounts reclassified from accumulated other comprehensive income, tax | -42 | -40 | ' |
Unrealized gains on marketable securities, tax | 1,346 | ' | 794 |
Retirement plans prior service benefit, tax | -326 | ' | -284 |
Unrealized Gains on Marketable Securities | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Other comprehensive income before reclassifications, tax | 654 | ' | ' |
Amounts reclassified from accumulated other comprehensive income, tax | -102 | ' | ' |
Retirement Plans Prior Service Benefit | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income, tax | ($42) | ' | ' |
Reclassification_Out_of_Accumu
Reclassification Out of Accumulated Other Comprehensive Income to Statement of Operations (Detail) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ||
Unrealized gains | $176 | $144 | ||
Prior service benefit | 73 | [1] | 69 | [1] |
Total reclassifications | $249 | $213 | ||
[1] | The amortization of prior service benefit is included in the computation of net periodic pension cost and postretirement benefit; see Note N: "Retirement Plans." |
Reclassification_Out_of_Accumu1
Reclassification Out of Accumulated Other Comprehensive Income to Statement of Operations (Parenthetical) (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' |
Unrealized gains, tax | $102 | $83 |
Prior service benefit, tax | 42 | 40 |
Total reclassifications, tax | $144 | $123 |
Schedule_of_Amortizable_Intang
Schedule of Amortizable Intangible Assets (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Dec. 31, 2013 |
Finite-Lived Intangible Assets | ' | ' |
Gross Carrying Amount | $543,236 | $543,236 |
Accumulated Amortization | 309,216 | 290,945 |
Net Carrying Amount | 234,020 | 252,291 |
Weighted Average Useful Life, years | '7 years | '7 years |
Developed technology | ' | ' |
Finite-Lived Intangible Assets | ' | ' |
Gross Carrying Amount | 362,126 | 362,126 |
Accumulated Amortization | 206,551 | 193,756 |
Net Carrying Amount | 155,575 | 168,370 |
Weighted Average Useful Life, years | '6 years 3 months 18 days | '6 years 3 months 18 days |
Customer Relationships | ' | ' |
Finite-Lived Intangible Assets | ' | ' |
Gross Carrying Amount | 146,276 | 146,276 |
Accumulated Amortization | 86,333 | 81,742 |
Net Carrying Amount | 59,943 | 64,534 |
Weighted Average Useful Life, years | '8 years | '8 years |
Trade names and trademarks | ' | ' |
Finite-Lived Intangible Assets | ' | ' |
Gross Carrying Amount | 33,834 | 33,834 |
Accumulated Amortization | 15,332 | 14,447 |
Net Carrying Amount | 18,502 | 19,387 |
Weighted Average Useful Life, years | '9 years | '9 years |
Customer backlog | ' | ' |
Finite-Lived Intangible Assets | ' | ' |
Gross Carrying Amount | 1,000 | 1,000 |
Accumulated Amortization | $1,000 | $1,000 |
Weighted Average Useful Life, years | '4 months 24 days | '4 months 24 days |
Intangible_Assets_Additional_I
Intangible Assets - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Goodwill and Intangible Assets Disclosure [Line Items] | ' | ' |
Aggregate intangible asset amortization expense | $18,271 | $18,036 |
Schedule_of_Estimated_Intangib
Schedule of Estimated Intangible Asset Amortization Expense (Detail) (USD $) | Mar. 30, 2014 |
In Thousands, unless otherwise specified | |
Finite-Lived Intangible Assets | ' |
2014 (remainder) | $51,870 |
2015 | 53,391 |
2016 | 53,391 |
2017 | 47,232 |
2018 | $22,691 |
Computation_of_Basic_and_Dilut
Computation of Basic and Diluted Net Income Per Common Share (Detail) (USD $) | 3 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 | ||
Net Income Loss Per Common Share | ' | ' | ||
Net income for basic and diluted net income per share | $929 | $6,589 | ||
Weighted average common shares-basic | 193,311 | 189,686 | ||
Incremental shares from assumed conversion of convertible notes | 20,052 | [1] | 23,386 | [1] |
Convertible note hedge warrant shares | 20,942 | [2] | 18,859 | [2] |
Employee stock purchase plan | 22 | 27 | ||
Dilutive potential common shares | 43,173 | 45,071 | ||
Weighted average common shares-diluted | 236,484 | 234,757 | ||
Net income per common share-basic | $0 | $0.03 | ||
Net income per common share-diluted | $0 | $0.03 | ||
Restricted Stock Units | ' | ' | ||
Net Income Loss Per Common Share | ' | ' | ||
Incremental shares attributable to share based payment arrangements | 1,051 | 1,123 | ||
Stock Option | ' | ' | ||
Net Income Loss Per Common Share | ' | ' | ||
Incremental shares attributable to share based payment arrangements | 1,106 | 1,676 | ||
[1] | Incremental shares from conversion of the convertible notes for the three months ended March 30, 2014 were calculated using the difference between the average Teradyne stock price from January 1, 2014 through March 12, 2014 and the conversion price of $5.4750, multiplied by 34.7 million shares. The result of this calculation, representing the total intrinsic value of the convertible debt, was divided by the average Teradyne stock price for the period from January 1, 2014 to March 12, 2014 and adjusted for the number of days the convertible notes were outstanding during the three months ended March 30, 2014. Incremental shares from assumed conversion of the convertible notes for the three months ended March 31, 2013 were calculated using the difference between the average Teradyne stock price for the period and the conversion price of $5.4750, multiplied by the 34.7 million shares to be issued upon conversion. The result of this calculation, representing the total intrinsic value of the convertible debt, was divided by the average Teradyne stock price for the period. | |||
[2] | Convertible note hedge warrant shares for the three months ended March 30, 2014 and March 31, 2013 are calculated using the difference between the average Teradyne stock price for the period and the warrant price of $7.6650, multiplied by 34.7 million shares. The result of this calculation, representing the total intrinsic value of the warrant, is divided by the average Teradyne stock price for the period. |
Computation_of_Basic_and_Dilut1
Computation of Basic and Diluted Net Income Per Common Share (Parenthetical) (Detail) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Convertible Notes | ' | ' |
Net Income Loss Per Common Share | ' | ' |
Initial debt conversion price | $5.47 | $5.47 |
Shares that would be issued upon conversion | 34.7 | 34.7 |
Convertible Notes Hedge Warrant | ' | ' |
Net Income Loss Per Common Share | ' | ' |
Initial debt conversion price | $7.67 | $7.67 |
Shares that would be issued upon conversion | 34.7 | 34.7 |
Net_Income_Per_Common_Share_Ad
Net Income Per Common Share - Additional Information (Detail) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Net Income Loss Per Common Share | ' | ' |
Exercise of stock options | 0.4 | 0.4 |
Restructuring_and_Other_Additi
Restructuring and Other - Additional Information (Detail) (USD $) | 3 Months Ended | |
Mar. 30, 2014 | Mar. 31, 2013 | |
System Test and Semiconductor Test | ||
Restructuring Cost and Reserve | ' | ' |
Restructuring charges | $0 | ' |
Severance benefit and charges | ' | 400,000 |
Accrual balance for severance and benefits | $210,000 | ' |
Schedule_of_Restructuring_and_
Schedule of Restructuring and Other Net (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Dec. 31, 2013 |
Restructuring Cost and Reserve | ' | ' |
Provision | $0 | ' |
Ending balance | 210 | ' |
Pre-2013 Activities | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning Balance | ' | 1,327 |
Change in estimate | ' | -553 |
Cash payments | ' | -774 |
Ending balance | ' | ' |
Q3 2013 Activity | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning Balance | 371 | ' |
Provision | ' | 1,337 |
Cash payments | -161 | -966 |
Ending balance | 210 | 371 |
Q4 2013 Activity | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning Balance | 114 | ' |
Provision | ' | 600 |
Cash payments | -114 | -486 |
Ending balance | ' | 114 |
Severance and Benefits | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Ending balance | 210 | ' |
Severance and Benefits | Pre-2013 Activities | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning Balance | ' | 243 |
Cash payments | ' | -243 |
Ending balance | ' | ' |
Severance and Benefits | Q3 2013 Activity | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning Balance | 371 | ' |
Provision | ' | 1,337 |
Cash payments | -161 | -966 |
Ending balance | 210 | 371 |
Severance and Benefits | Q4 2013 Activity | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning Balance | 114 | ' |
Provision | ' | 600 |
Cash payments | -114 | -486 |
Ending balance | ' | 114 |
Facility Exit Costs | Pre-2013 Activities | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning Balance | ' | 1,084 |
Change in estimate | ' | -553 |
Cash payments | ' | -531 |
Ending balance | ' | ' |
Retirement_Plans_Additional_In
Retirement Plans - Additional Information (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 30, 2014 |
U.S. Supplemental Executive Defined Benefit Pension Plan | ' |
Defined Benefit Plan Disclosure | ' |
Contribution to defined benefit pension plans | $0.40 |
Foreign Pension Plans, Defined Benefit | ' |
Defined Benefit Plan Disclosure | ' |
Contribution to defined benefit pension plans | $0.70 |
Schedule_of_Net_Periodic_Pensi
Schedule of Net Periodic Pension and Postretirement Cost (Benefit) (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Defined Benefit Pension Plans | ' | ' |
Defined Benefit Plan Disclosure | ' | ' |
Service cost | $796 | $834 |
Interest cost | 3,720 | 3,370 |
Expected return on plan assets | -3,342 | -3,630 |
Amortization of unrecognized prior service benefit | 34 | 41 |
Total net periodic pension/ postretirement cost (benefit) | 1,208 | 615 |
Postretirement Benefit Plans | ' | ' |
Defined Benefit Plan Disclosure | ' | ' |
Service cost | 13 | 16 |
Interest cost | 86 | 87 |
Amortization of unrecognized prior service benefit | -150 | -150 |
Total net periodic pension/ postretirement cost (benefit) | ($51) | ($47) |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 30, 2014 |
Purchase Commitment, Excluding Long-term Commitment | ' |
Aggregate purchase commitments | 246.4 |
Purchase commitments less than one year | 236.5 |
Maximum | ' |
Purchase Commitment, Excluding Long-term Commitment | ' |
Purchase commitments period | '1 year |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | |
Mar. 30, 2014 | Mar. 31, 2013 | |
Income Taxes [Line Items] | ' | ' |
Income tax benefit | ($2,802,000) | ($8,015,000) |
Discrete tax benefit related to disqualifying dispositions of incentive stock options and employee stock purchase plan shares | 1,000,000 | ' |
Discrete tax benefit related to decrease in uncertain tax positions | 1,000,000 | ' |
Discrete tax benefit related to the 2012 U.S. federal research and development tax credit | ' | $6,700,000 |
Schedule_of_Segment_Informatio
Schedule of Segment Information (Detail) (USD $) | 3 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 | ||
Segment Reporting Information [Line Items] | ' | ' | ||
Net revenues | $321,010 | $280,367 | ||
Income (loss) before income taxes | -1,873 | [1],[2] | -1,426 | [1],[2] |
Semiconductor Test | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ||
Net revenues | 261,737 | 211,506 | ||
Income (loss) before income taxes | 34,600 | [1],[2] | 13,766 | [1],[2] |
Wireless Test | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ||
Net revenues | 21,210 | 33,598 | ||
Income (loss) before income taxes | -25,085 | [1],[2] | -9,997 | [1],[2] |
System Test | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ||
Net revenues | 38,063 | 35,263 | ||
Income (loss) before income taxes | 448 | [1],[2] | 1,530 | [1],[2] |
Corporate And Eliminations | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ||
Income (loss) before income taxes | ($11,836) | [1],[2] | ($6,725) | [1],[2] |
[1] | Interest income and interest expense and other are included in Corporate and Eliminations. | |||
[2] | Included in the income (loss) before income taxes for each of the segments are charges and credits for the three months ended March 30, 2014 and March 31, 2013 that include restructuring and other, and provision for excess and obsolete inventory, as follows: |
Schedule_of_Segment_Reporting_
Schedule of Segment Reporting Information by Segment Charges (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 30, 2014 | Mar. 31, 2013 |
Segment Reporting Information [Line Items] | ' | ' |
Restructuring and other | ' | $332 |
Semiconductor Test | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Cost of revenues-provision for excess and obsolete inventory | 6,205 | 213 |
System Test | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Cost of revenues-provision for excess and obsolete inventory | 741 | 919 |
Restructuring and other | ' | 244 |
Total | 741 | 1,163 |
Wireless Test | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Cost of revenues-provision for excess and obsolete inventory | $3,093 | $2,668 |
Shareholders_Equity_Additional
Shareholders' Equity - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 40 Months Ended | 1 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Jan. 31, 2014 | Mar. 30, 2014 | Mar. 31, 2013 | Mar. 30, 2014 | Nov. 30, 2010 |
Maximum | |||||
Stockholders Equity Note Disclosure [Line Items] | ' | ' | ' | ' | ' |
Stock repurchase program, authorized amount | ' | ' | ' | ' | $200 |
Repurchase of stock, shares | ' | 0 | 0 | 2.6 | ' |
Repurchase of stock, value | ' | ' | ' | $31.20 | ' |
Common stock average price | ' | ' | ' | $11.84 | ' |
Dividends payable, amount per share | $0.06 | ' | ' | ' | ' |
Dividends payable, date to be paid | 2-Jun-14 | ' | ' | ' | ' |
Dividends payable, record date | 9-May-14 | ' | ' | ' | ' |