QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 04-2742817 | |
(State of Incorporation) | (I.R.S. Employer Identification No.) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||
Common Stock, par value $0.01 per share | VICR | The NASDAQ Stock Market LLC |
Large accelerated filer | Smaller reporting company | ☐ | ||||
Accelerated filer | ☐ | Emerging growth company | ☐ | |||
Non-accelerated filer | ☐ |
Common Stock, $.01 par value | ||||
Class B Common Stock, $.01 par value | 11,758,218 |
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September 30, 2020 | December 31, 2019 | September 30, 2021 | December 31, 2020 | |||||||||||||
Assets | ||||||||||||||||
Current assets: | ||||||||||||||||
Cash and cash equivalents | $ | 203,605 | $ | 84,668 | $ | 178,663 | $ | 161,742 | ||||||||
Accounts receivable, less allowance of $82 in 2020 and $59 in 2019 | 41,136 | 38,115 | ||||||||||||||
Short-term investments | 50,217 | 50,166 | ||||||||||||||
Accounts receivable, net | 51,080 | 40,999 | ||||||||||||||
Inventories, net | 58,169 | 49,187 | 63,409 | 57,269 | ||||||||||||
Other current assets | 6,872 | 7,096 | 6,633 | 6,756 | ||||||||||||
Total current assets | 309,782 | 179,066 | 350,002 | 316,932 | ||||||||||||
Long-term deferred tax assets, net | 189 | 205 | 221 | 226 | ||||||||||||
Long-term investments, net | 2,591 | 2,510 | 2,598 | 2,517 | ||||||||||||
Property, plant and equipment, net | 65,780 | 56,952 | 104,446 | 74,843 | ||||||||||||
Other assets | 1,777 | 1,994 | 1,563 | 1,721 | ||||||||||||
Total assets | $ | 380,119 | $ | 240,727 | $ | 458,830 | $ | 396,239 | ||||||||
Liabilities and Equity | ||||||||||||||||
Current liabilities: | ||||||||||||||||
Accounts payable | $ | 11,911 | $ | 9,005 | $ | 18,346 | $ | 14,121 | ||||||||
Accrued compensation and benefits | 13,248 | 10,410 | 13,994 | 14,094 | ||||||||||||
Accrued expenses | 2,417 | 2,690 | 3,589 | 2,624 | ||||||||||||
Short-term lease liabilities | 1,563 | 1,520 | 1,625 | 1,629 | ||||||||||||
Sales allowances | 736 | 741 | 1,661 | 597 | ||||||||||||
Income taxes payable | 62 | 57 | 10 | 139 | ||||||||||||
Short-term deferred revenue and customer prepayments | 8,061 | 5,507 | 3,390 | 7,309 | ||||||||||||
Total current liabilities | 37,998 | 29,930 | 42,615 | 40,513 | ||||||||||||
Long-term deferred revenue | 813 | 1,054 | 493 | 733 | ||||||||||||
Contingent consideration obligations | 265 | 451 | — | 227 | ||||||||||||
Long-term income taxes payable | 575 | 567 | 564 | 643 | ||||||||||||
Long-term lease liabilities | 2,880 | 2,855 | 3,504 | 2,968 | ||||||||||||
Total liabilities | 42,531 | 34,857 | 47,176 | 45,084 | ||||||||||||
Commitments and contingencies (Note 11) | ||||||||||||||||
Commitments and contingencies (Note 10) | 0 | 0 | ||||||||||||||
Equity: | ||||||||||||||||
Vicor Corporation stockholders’ equity: | ||||||||||||||||
Class B Common Stock: 10 votes per share, $.01 par value, 14,000,000 shares authorized, 11,758,218 shares issued and outstanding in 2020 and 2019 | 118 | 118 | ||||||||||||||
Common Stock: 1 vote per share, $.01 par value, 62,000,000 shares authorized 43,146,143 shares issued and 31,511,337 shares outstanding in 2020; 40,403,058 shares issued and 28,768,252 shares outstanding in 2019 | 433 | 405 | ||||||||||||||
Class | 118 | 118 | ||||||||||||||
Common Stock: 1 vote per share, $.01 par value, 62,000,000 shares authorized 43,635,881 shares issued and 32,001,075 shares outstanding in 2021; 43,204,671 shares issued and 31,569,865 shares outstanding in 2020 | 437 | 433 | ||||||||||||||
Additional paid-in capital | 326,026 | 201,251 | 342,014 | 328,392 | ||||||||||||
Retained earnings | 149,815 | 143,098 | 208,753 | 161,008 | ||||||||||||
Accumulated other comprehensive loss | (203 | ) | (383 | ) | (1,040 | ) | (204 | ) | ||||||||
Treasury stock at cost: 11,634,806 shares in 2020 and 2019 | (138,927 | ) | (138,927 | ) | ||||||||||||
Treasury stock at cost: 11,634,806 shares in 2021 and 2020 | (138,927 | ) | (138,927 | ) | ||||||||||||
Total Vicor Corporation stockholders’ equity | 337,262 | 205,562 | 411,355 | 350,820 | ||||||||||||
Noncontrolling interest | 326 | 308 | 299 | 335 | ||||||||||||
Total equity | 337,588 | 205,870 | 411,654 | 351,155 | ||||||||||||
Total liabilities and equity | $ | 380,119 | $ | 240,727 | $ | 458,830 | $ | 396,239 | ||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Net revenues | $ | 84,911 | $ | 78,112 | $ | 269,083 | $ | 212,274 | ||||||||
Cost of revenues | 42,098 | 44,765 | 131,699 | 121,278 | ||||||||||||
Gross margin | 42,813 | 33,347 | 137,384 | 90,996 | ||||||||||||
Operating expenses: | ||||||||||||||||
Selling, general and administrative | 17,322 | 15,212 | 50,865 | 47,036 | ||||||||||||
Research and development | 13,519 | 12,032 | 39,818 | 38,197 | ||||||||||||
Total operating expenses | 30,841 | 27,244 | 90,683 | 85,233 | ||||||||||||
Income from operations | 11,972 | 6,103 | 46,701 | 5,763 | ||||||||||||
Other income (expense), net: | ||||||||||||||||
Total unrealized gains on available-for-sale securities, net | 37 | 36 | 81 | 81 | ||||||||||||
Less: portion of gains recognized in other comprehensive income | (36 | ) | (35 | ) | (78 | ) | (78 | ) | ||||||||
Net credit gains recognized in earnings | 1 | 1 | 3 | 3 | ||||||||||||
Other income (expense), net | 393 | 333 | 996 | 712 | ||||||||||||
Total other income (expense), net | 394 | 334 | 999 | 715 | ||||||||||||
Income before income taxes | 12,366 | 6,437 | 47,700 | 6,478 | ||||||||||||
(Benefit) provision for income taxes | (886 | ) | 651 | (30 | ) | (249 | ) | |||||||||
Consolidated net income | 13,252 | 5,786 | 47,730 | 6,727 | ||||||||||||
Less: Net (loss) income attributable to noncontrolling interest | (7 | ) | 1 | (15 | ) | 10 | ||||||||||
Net income attributable to Vicor Corporation | $ | 13,259 | $ | 5,785 | $ | 47,745 | $ | 6,717 | ||||||||
Net income per common share attributable to Vicor Corporation: | ||||||||||||||||
Basic | $ | 0.30 | $ | 0.13 | $ | 1.10 | $ | 0.16 | ||||||||
Diluted | $ | 0.29 | $ | 0.13 | $ | 1.06 | $ | 0.15 | ||||||||
Shares used to compute net income per common share attributable to Vicor Corporation: | ||||||||||||||||
Basic | 43,710 | 43,164 | 43,573 | 41,814 | ||||||||||||
Diluted | 45,034 | 44,743 | 44,905 | 43,567 |
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||
Net revenues | $ | 78,112 | $ | 70,772 | $ | 212,274 | $ | 199,852 | ||||||||
Cost of revenues | 44,765 | 37,770 | 121,278 | 106,647 | ||||||||||||
Gross margin | 33,347 | 33,002 | 90,996 | 93,205 | ||||||||||||
Operating expenses: | ||||||||||||||||
Selling, general and administrative | 15,212 | 15,443 | 47,036 | 45,846 | ||||||||||||
Research and development | 12,032 | 11,507 | 38,197 | 34,433 | ||||||||||||
Total operating expenses | 27,244 | 26,950 | 85,233 | 80,279 | ||||||||||||
Income from operations | 6,103 | 6,052 | 5,763 | 12,926 | ||||||||||||
Other income (expense), net: | ||||||||||||||||
Total unrealized gains on available-for-sale | 36 | 11 | 81 | 50 | ||||||||||||
Less: portion of gains recognized in other comprehensive income | (35 | ) | (10 | ) | (78 | ) | (47 | ) | ||||||||
Net credit gains recognized in earnings | 1 | 1 | 3 | 3 | ||||||||||||
Other income (expense), net | 333 | 145 | 712 | 670 | ||||||||||||
Total other income (expense), net | 334 | 146 | 715 | 673 | ||||||||||||
Income before income taxes | 6,437 | 6,198 | 6,478 | 13,599 | ||||||||||||
Less: Provision (benefit) for income taxes | 651 | 266 | (249 | ) | 805 | |||||||||||
Consolidated net income | 5,786 | 5,932 | 6,727 | 12,794 | ||||||||||||
1 | (5 | ) | 10 | 8 | ||||||||||||
Net income attributable to Vicor Corporation | $ | 5,785 | $ | 5,937 | $ | 6,717 | $ | 12,786 | ||||||||
Net income per common share attributable to Vicor Corporation: | ||||||||||||||||
Basic | $ | 0.13 | $ | 0.15 | $ | 0.16 | $ | 0.32 | ||||||||
Diluted | $ | 0.13 | $ | 0.14 | $ | 0.15 | $ | 0.31 | ||||||||
Shares used to compute net income per common share attributable to Vicor Corporation: | ||||||||||||||||
Basic | 43,164 | 40,332 | 41,814 | 40,279 | ||||||||||||
Diluted | 44,743 | 42,194 | 43,567 | 41,435 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||
Consolidated net income | $ | 5,786 | $ | 5,932 | $ | 6,727 | $ | 12,794 | ||||||||
Foreign currency translation gains (losses), net of tax (1) | 84 | (11 | ) | 110 | 74 | |||||||||||
Unrealized gains on available-for-sale | 35 | 10 | 78 | 47 | ||||||||||||
Other comprehensive income (loss) | 119 | (1 | ) | 188 | 121 | |||||||||||
Consolidated comprehensive income | 5,905 | 5,931 | 6,915 | 12,915 | ||||||||||||
Less: Comprehensive income (loss) attributable to noncontrolling interest | 7 | (6 | ) | 18 | 13 | |||||||||||
Comprehensive income attributable to Vicor Corporation | $ | 5,898 | $ | 5,937 | $ | 6,897 | $ | 12,902 | ||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Consolidated net income | $ | 13,252 | $ | 5,786 | $ | 47,730 | $ | 6,727 | ||||||||
Foreign currency translation (losses) gains, net of tax (1) | (12 | ) | 84 | (283 | ) | 110 | ||||||||||
Unrealized (losses) gains on available-for-sale securities, net of tax (1) | (215 | ) | 35 | (574 | ) | 78 | ||||||||||
Other comprehensive (loss) income | (227 | ) | 119 | (857 | ) | 188 | ||||||||||
Consolidated comprehensive income | 13,025 | 5,905 | 46,873 | 6,915 | ||||||||||||
Less: Comprehensive (loss) income attributable to noncontrolling interest | (7 | ) | 7 | (36 | ) | 18 | ||||||||||
Comprehensive income attributable to Vicor Corporation | $ | 13,032 | $ | 5,898 | $ | 46,909 | $ | 6,897 | ||||||||
(1) | The deferred tax assets associated with 2020.available-for-sale |
Nine Months Ended | ||||||||
September 30, | ||||||||
2020 | 2019 | |||||||
Operating activities: | ||||||||
Consolidated net income | $ | 6,727 | $ | 12,794 | ||||
Adjustments to reconcile consolidated net income to net cash provided by operating activities: | ||||||||
Depreciation and amortization | 8,175 | 7,647 | ||||||
Stock-based compensation expense, net | 4,286 | 2,292 | ||||||
Provision (benefit) for doubtful accounts | 23 | (138 | ) | |||||
Increase (decrease) in long-term income taxes payable | 8 | (1 | ) | |||||
(Decrease) increase in long-term deferred revenue | (241 | ) | 902 | |||||
Gain on disposal of equipment | (9 | ) | (23 | ) | ||||
Deferred income taxes | 16 | 24 | ||||||
Credit gain on available-for-sale | (3 | ) | (3 | ) | ||||
Change in current assets and liabilities, net | (3,742 | ) | (6,955 | ) | ||||
Net cash provided by operating activities | 15,240 | 16,539 | ||||||
Investing activities: | ||||||||
Additions to property, plant and equipment | (16,837 | ) | (9,122 | ) | ||||
Proceeds from sale of equipment | 9 | 23 | ||||||
Decrease (increase) in other assets | 135 | (37 | ) | |||||
Net cash used for investing activities | (16,693 | ) | (9,136 | ) | ||||
Financing activities: | ||||||||
Proceeds from employee stock plans | 10,836 | 3,423 | ||||||
Proceeds from public offering of Common Stock | 109,681 | — | ||||||
Payment of contingent consideration obligations | (186 | ) | (198 | ) | ||||
Net cash provided by financing activities | 120,331 | 3,225 | ||||||
Effect of foreign exchange rates on cash | 59 | 44 | ||||||
Net increase in cash and cash equivalents | 118,937 | 10,672 | ||||||
Cash and cash equivalents at beginning of period | 84,668 | 70,557 | ||||||
Cash and cash equivalents at end of period | $ | 203,605 | $ | 81,229 | ||||
Nine Months Ended | ||||||||
September 30, | ||||||||
2021 | 2020 | |||||||
Operating activities: | ||||||||
Consolidated net income | $ | 47,730 | $ | 6,727 | ||||
Adjustments to reconcile consolidated net income to net cash provided by (used for) operating activities: | ||||||||
Depreciation and amortization | 8,564 | 8,175 | ||||||
Stock-based compensation expense | 5,005 | 4,286 | ||||||
Decrease in long-term deferred revenue | (240 | ) | (241 | ) | ||||
Decrease in contingent consideration obligations | (74 | ) | — | |||||
Gain on disposal of equipment | — | (9 | ) | |||||
Decrease in other assets | 56 | 135 | ||||||
(Decrease) ncrease in long-term income taxes payablei | (79 | ) | 8 | |||||
Deferred income taxes | 5 | 16 | ||||||
Credit gain on available-for-sale securities | (3 | ) | (3 | ) | ||||
Provision for doubtful accounts | — | 23 | ||||||
Change in current assets and liabilities, net | (20,737 | ) | (3,742 | ) | ||||
Net cash provided by operating activities | 40,227 | 15,375 | ||||||
Investing activities: | ||||||||
Purchases of short-term investments | (50,706 | ) | — | |||||
Sales or maturities of short-term investments | 50,000 | — | ||||||
Additions to property, plant and equipment | (30,942 | ) | (16,837 | ) | ||||
Proceeds from sale of equipment | — | 9 | ||||||
Net cash used for investing activities | (31,648 | ) | (16,828 | ) | ||||
Financing activities: | ||||||||
Proceeds from employee stock plans | 8,621 | 10,836 | ||||||
Payment of contingent consideration obligations | (153 | ) | (186 | ) | ||||
Proceeds from public offering of Common Stock | — | 109,681 | ||||||
Net cash provided by financing activities | 8,468 | 120,331 | ||||||
Effect of foreign exchange rates on cash | (126 | ) | 59 | |||||
Net increase in cash and cash equivalents | 16,921 | 118,937 | ||||||
Cash and cash equivalents at beginning of period | 161,742 | 84,668 | ||||||
Cash and cash equivalents at end of period | $ | 178,663 | $ | 203,605 | ||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Three months ended September 30, 2021 | ||||||||||||||||||||||||||||||||||||
Balance on June 30, 2021 | $ | 118 | $ | 436 | $ | 336,278 | $ | 195,494 | $ | (813 | ) | $ | (138,927 | ) | $ | 392,586 | $ | 306 | $ | 392,892 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 1 | 3,869 | 3,870 | 3,870 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 1,867 | 1,867 | 1,867 | |||||||||||||||||||||||||||||||||
Components of comprehensive income (loss), net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 13,259 | 13,259 | (7 | ) | 13,252 | |||||||||||||||||||||||||||||||
Other comprehensive loss | (227 | ) | (227 | ) | — | (227 | ) | |||||||||||||||||||||||||||||
Total comprehensive income (loss) | 13,032 | (7 | ) | 13,025 | ||||||||||||||||||||||||||||||||
Balance on September 30, 2021 | $ | 118 | $ | 437 | $ | 342,014 | $ | 208,753 | $ | (1,040 | ) | $ | (138,927 | ) | $ | 411,355 | $ | 299 | $ | 411,654 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Nine months ended September 30, 2021 | ||||||||||||||||||||||||||||||||||||
Balance on December 31, 2020 | $ | 118 | $ | 433 | $ | 328,392 | $ | 161,008 | $ | (204 | ) | $ | (138,927 | ) | $ | 350,820 | $ | 335 | $ | 351,155 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 4 | 8,617 | 8,621 | 8,621 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 5,005 | 5,005 | 5,005 | |||||||||||||||||||||||||||||||||
Components of comprehensive income (loss), net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 47,745 | 47,745 | (15 | ) | 47,730 | |||||||||||||||||||||||||||||||
Other comprehensive loss | (836 | ) | (836 | ) | (21 | ) | (857 | ) | ||||||||||||||||||||||||||||
Total comprehensive income (loss) | 46,909 | (36 | ) | 46,873 | ||||||||||||||||||||||||||||||||
Balance on September 30, 2021 | $ | 118 | $ | 437 | $ | 342,014 | $ | 208,753 | $ | (1,040 | ) | $ | (138,927 | ) | $ | 411,355 | $ | 299 | $ | 411,654 | ||||||||||||||||
Three months ended September 30, 2020 | Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | |||||||||||||||||||||||||||
Balance on June 30, 2020 | $ | 118 | $ | 431 | $ | 320,988 | $ | 144,030 | $ | (316 | ) | $ | (138,927 | ) | $ | 326,324 | $ | 319 | $ | 326,643 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 2 | 3,449 | 3,451 | 3,451 | ||||||||||||||||||||||||||||||||
Additional expenses associated with issuance of Common Stock in public offering (see Note 5) | (51 | ) | (51 | ) | (51 | ) | ||||||||||||||||||||||||||||||
Stock-based compensation expense | 1,640 | 1,640 | 1,640 | |||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 5,785 | 5,785 | 1 | 5,786 | ||||||||||||||||||||||||||||||||
Other comprehensive income | 113 | 113 | 6 | 119 | ||||||||||||||||||||||||||||||||
Total comprehensive income | 5,898 | 7 | 5,905 | |||||||||||||||||||||||||||||||||
Balance on September 30, 2020 | $ | 118 | $ | 433 | $ | 326,026 | $ | 149,815 | $ | (203 | ) | $ | (138,927 | ) | $ | 337,262 | $ | 326 | $ | 337,588 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Three months ended September 30, 2020 | ||||||||||||||||||||||||||||||||||||
Balance on June 30, 2020 | $ | 118 | $ | 431 | $ | 320,988 | $ | 144,030 | $ | (316 | ) | $ | (138,927 | ) | $ | 326,324 | $ | 319 | $ | 326,643 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 2 | 3,449 | 3,451 | 3,451 | ||||||||||||||||||||||||||||||||
Additional expenses associated with issuance of Common Stock in public offering | (51 | ) | (51 | ) | (51 | ) | ||||||||||||||||||||||||||||||
Stock-based compensation expense | 1,640 | 1,640 | 1,640 | |||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 5,785 | 5,785 | 1 | 5,786 | ||||||||||||||||||||||||||||||||
Other comprehensive income | 113 | 113 | 6 | 119 | ||||||||||||||||||||||||||||||||
Total comprehensive income | 5,898 | 7 | 5,905 | |||||||||||||||||||||||||||||||||
Balance on September 30, 2020 | $ | 118 | $ | 433 | $ | 326,026 | $ | 149,815 | $ | (203 | ) | $ | (138,927 | ) | $ | 337,262 | $ | 326 | $ | 337,588 | ||||||||||||||||
Nine months ended September 30, 2020 | Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | |||||||||||||||||||||||||||
Balance on December 31, 2019 | $ | 118 | $ | 405 | $ | 201,251 | $ | 143,098 | $ | (383 | ) | $ | (138,927 | ) | $ | 205,562 | $ | 308 | $ | 205,870 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 10 | 10,826 | 10,836 | 10,836 | ||||||||||||||||||||||||||||||||
Issuance of Common Stock in public offering, net (see Note 5) | 18 | 109,663 | 109,681 | 109,681 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 4,286 | 4,286 | 4,286 | |||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 6,717 | 6,717 | 10 | 6,727 | ||||||||||||||||||||||||||||||||
Other comprehensive income | 180 | 180 | 8 | 188 | ||||||||||||||||||||||||||||||||
Total comprehensive income | 6,897 | 18 | 6,915 | |||||||||||||||||||||||||||||||||
Balance on September 30, 2020 | $ | 118 | $ | 433 | $ | 326,026 | $ | 149,815 | $ | (203 | ) | $ | (138,927 | ) | $ | 337,262 | $ | 326 | $ | 337,588 | ||||||||||||||||
Three months ended September 30, 2019 | Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | |||||||||||||||||||||||||||
Balance on June 30, 2019 | $ | 118 | $ | 403 | $ | 196,698 | $ | 135,849 | $ | (278 | ) | $ | (138,927 | ) | $ | 193,863 | $ | 453 | $ | 194,316 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 1 | 1,715 | 1,716 | 1,716 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 753 | 753 | 753 | |||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 5,937 | 5,937 | (5 | ) | 5,932 | |||||||||||||||||||||||||||||||
Other comprehensive loss | — | (1 | ) | (1 | ) | |||||||||||||||||||||||||||||||
Total comprehensive income | 5,937 | (6 | ) | 5,931 | ||||||||||||||||||||||||||||||||
Balance on September 30, 2019 | $ | 118 | $ | 404 | $ | 199,166 | $ | 141,786 | $ | (278 | ) | $ | (138,927 | ) | $ | 202,269 | $ | 447 | $ | 202,716 | ||||||||||||||||
Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | ||||||||||||||||||||||||||||
Nine months ended September 30, 2020 | ||||||||||||||||||||||||||||||||||||
Balance on December 31, 2019 | $ | 118 | $ | 405 | $ | 201,251 | $ | 143,098 | $ | (383 | ) | $ | (138,927 | ) | $ | 205,562 | $ | 308 | $ | 205,870 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 10 | 10,826 | 10,836 | 10,836 | ||||||||||||||||||||||||||||||||
Issuances of Common Stock in public offering | 18 | 109,663 | 109,681 | 109,681 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 4,286 | 4,286 | 4,286 | |||||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 6,717 | 6,717 | 10 | 6,727 | ||||||||||||||||||||||||||||||||
Other comprehensive income | 180 | 180 | 8 | 188 | ||||||||||||||||||||||||||||||||
Total comprehensive income | 6,897 | 18 | 6,915 | |||||||||||||||||||||||||||||||||
Balance on September 30, 2020 | $ | 118 | $ | 433 | $ | 326,026 | $ | 149,815 | $ | (203 | ) | $ | (138,927 | ) | $ | 337,262 | $ | 326 | $ | 337,588 | ||||||||||||||||
Nine months ended September 30, 2019 | Class B Common Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total Vicor Corporation Stockholders’ Equity | Noncontrolling Interest | Total Equity | |||||||||||||||||||||||||||
Balance on December 31, 2018 | $ | 118 | $ | 402 | $ | 193,457 | $ | 129,000 | $ | (394 | ) | $ | (138,927 | ) | $ | 183,656 | $ | 434 | $ | 184,090 | ||||||||||||||||
Issuance of Common Stock under employee stock plans | 2 | 3,421 | 3,423 | 3,423 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | 2,292 | 2,292 | 2,292 | |||||||||||||||||||||||||||||||||
Other | (4 | ) | (4 | ) | (4 | ) | ||||||||||||||||||||||||||||||
Components of comprehensive income, net of tax: | ||||||||||||||||||||||||||||||||||||
Net income | 12,786 | 12,786 | 8 | 12,794 | ||||||||||||||||||||||||||||||||
Other comprehensive income | 116 | 116 | 5 | 121 | ||||||||||||||||||||||||||||||||
Total comprehensive income | 12,902 | 13 | 12,915 | |||||||||||||||||||||||||||||||||
Balance on September 30, 2019 | $ | 118 | $ | 404 | $ | 199,166 | $ | 141,786 | $ | (278 | ) | $ | (138,927 | ) | $ | 202,269 | $ | 447 | $ | 202,716 | ||||||||||||||||
September 30, 2020 | December 31, 2019 | |||||||
Raw materials | $ | 43,165 | $ | 35,901 | ||||
Work-in-process | 8,090 | 5,184 | ||||||
Finished goods | 6,914 | 8,102 | ||||||
$ | 58,169 | $ | 49,187 | |||||
September 30, 2021 | December 31, 2020 | |||||||
Raw materials | $ | 46,912 | $ | 42,556 | ||||
Work-in-process | 11,207 | 7,424 | ||||||
Finished goods | 5,290 | 7,289 | ||||||
$ | 63,409 | $ | 57,269 | |||||
September 30, 2021 | ||||||||||||
Cash and Cash Equivalents | Short-Term Investments | Long-Term Investments | ||||||||||
Measured at fair value: | ||||||||||||
Available-for-sale debt securities: | ||||||||||||
Money market funds | $ | 89,254 | $ | — | $ | — | ||||||
U.S. Treasury Obligations | — | 50,217 | — | |||||||||
Failed Auction Security | — | — | 2,598 | |||||||||
Total | 89,254 | 50,217 | 2,598 | |||||||||
Other measurement basis: | ||||||||||||
Cash on hand | 89,409 | — | — | |||||||||
Total | $ | 178,663 | $ | 50,217 | $ | 2,598 | ||||||
December 31, 2020 | ||||||||||||
Cash and Cash Equivalents | Short-Term Investments | Long-Term Investments | ||||||||||
Measured at fair value: | ||||||||||||
Available-for-sale debt securities: | ||||||||||||
Money market funds | $ | 69,493 | $ | — | $ | — | ||||||
U.S. Treasury Obligations | 19,998 | 50,166 | — | |||||||||
Failed Auction Security | — | — | 2,517 | |||||||||
Total | 89,491 | 50,166 | 2,517 | |||||||||
Other measurement basis: | ||||||||||||
Cash on hand | 72,251 | — | — | |||||||||
Total | $ | 161,742 | $ | 50,166 | $ | 2,517 | ||||||
September 30, 2021 | Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||
U.S. Treasury Obligations | $ | 50,216 | $ | 1 | $ | — | $ | 50,217 | ||||||||
Failed Auction Security | 3,000 | — | 402 | 2,598 |
September 30, 2020 | Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||
Failed Auction Security | $ | 3,000 | $ | — | $ | 409 | $ | 2,591 | ||||||||
December 31, 2019 | Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||||||||||||||||||
December 31, 2020 | Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||||||||||||||||||
U.S. Treasury Obligations | $ | 70,172 | $ | — | $ | 8 | $ | 70,164 | ||||||||||||||||||||||||
Failed Auction Security | $ | 3,000 | $ | — | $ | 490 | $ | 2,510 | 3,000 | — | 483 | 2,517 | ||||||||||||||||||||
Cost | Estimated Fair Value | |||||||
U.S. Treasury Obligations: | ||||||||
Maturities greater than three months but less than one year | $ | 50,216 | $ | 50,217 | ||||
$ | 50,216 | $ | 50,217 | |||||
Cost | Estimated Fair Value | |||||||
Due in twenty to forty years | $ | 3,000 | $ | 2,591 | ||||
Cost | Estimated Fair Value | |||||||
Failed Auction Security: | ||||||||
Due in twenty to forty years | $ | 3,000 | $ | 2,598 | ||||
2021 | 2020 | |||||||||||||||
2020 | 2019 | |||||||||||||||
Balance at the beginning of the period | $ | 37 | $ | 41 | $ | 33 | $ | 37 | ||||||||
Reductions in the amount related to credit gain for which other-than- temporary impairment was not previously recognized | (3 | ) | (3 | ) | (3 | ) | (3 | ) | ||||||||
Balance at the end of the period | $ | 34 | $ | 38 | $ | 30 | $ | 34 | ||||||||
Using | ||||||||||||||||||||||||||||||||
Using | Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level | Total Fair Value as of September 30, 2021 | ||||||||||||||||||||||||||||
Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Fair Value as of September 30, 2020 | |||||||||||||||||||||||||||||
Cash equivalents: | ||||||||||||||||||||||||||||||||
Money market funds | $ | 9,677 | $ | — | $ | — | $ | 9,677 | $ | 89,254 | $ | — | $ | — | $ | 89,254 | ||||||||||||||||
Long-term investments: | ||||||||||||||||||||||||||||||||
Short-term investments: | ||||||||||||||||||||||||||||||||
U.S. Treasury Obligations | 50,217 | — | — | 50,217 | ||||||||||||||||||||||||||||
Long-term investment: | ||||||||||||||||||||||||||||||||
Failed Auction Security | — | — | 2,591 | 2,591 | — | — | 2,598 | 2,598 | ||||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||
Contingent consideration obligations | — | — | (265 | ) | (265 | ) |
Using | ||||||||||||||||
Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Fair Value as of December 31, 2019 | |||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 9,630 | $ | — | $ | — | $ | 9,630 | ||||||||
Long-term investments: | ||||||||||||||||
Failed Auction Security | — | — | 2,510 | 2,510 | ||||||||||||
Liabilities: | ||||||||||||||||
Contingent consideration obligations | — | — | (451 | ) | (451 | ) |
Using | ||||||||||||||||
Significant | ||||||||||||||||
Quoted Prices in Active Markets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Fair Value as of December 31, 2020 | |||||||||||||
Cash equivalents: | ||||||||||||||||
Money market funds | $ | 69,493 | $ | — | $ | — | $ | 69,493 | ||||||||
U.S. Treasury Obligations | 19,998 | — | — | 19,998 | ||||||||||||
Short-term investments: | ||||||||||||||||
U.S. Treasury Obligations | 50,166 | — | — | 50,166 | ||||||||||||
Long-term investment: | ||||||||||||||||
Failed Auction Security | — | — | 2,517 | 2,517 | ||||||||||||
Liabilities: | ||||||||||||||||
Contingent consideration obligations | — | — | (227 | ) | (227 | ) |
Fair Value | Valuation Technique | Unobservable Input | Weighted Average | |||||||
Failed Auction Security | $ | 2,598 | Discounted cash flow | | Cumulative probability of earning the maximum rate until maturity | 0.15% | ||||
Cumulative probability of principal return prior to maturity | 94.71% | |||||||||
Cumulative probability of default | 5.14% | |||||||||
Liquidity risk premium | 5.00% | |||||||||
Recovery rate in default | 40.00% |
Fair Value | Valuation Technique | Unobservable Input | Weighted Average | |||||||||||
Failed Auction Security | $ | 2,591 | Discounted cash flow | Cumulative probability of earning the maximum rate until maturity | 0.11 | % | ||||||||
Cumulative probability of principal return prior to maturity | 94.75 | % | ||||||||||||
Cumulative probability of default | 5.14 | % | ||||||||||||
Liquidity risk premium | 5.00 | % | ||||||||||||
Recovery rate in default | 40.00 | % |
Balance at the beginning of the period | $ | 2,510 | $ | 2,517 | |||
Credit gain on available-for-sale | 3 | 3 | |||||
Gain included in Other comprehensive income | 78 | 78 | |||||
Balance at the end of the period | $ | 2,591 | $ | 2,598 | |||
Balance at the beginning of the period | $ | 451 | ||
Payments | (186 | ) | ||
Balance at the end of the period | $ | 265 | ||
Three Months Ended September 30, 2021 | ||||||||||||||||||||||||
Three Months Ended September 30, 2020 | Brick Products | Advanced Products | Total | |||||||||||||||||||||
Brick Products | Advanced Products | Total | ||||||||||||||||||||||
United States | $ | 16,905 | $ | 4,391 | $ | 21,296 | $ | 19,741 | $ | 12,178 | $ | 31,919 | ||||||||||||
Europe | 4,456 | 2,050 | 6,506 | 6,185 | 1,324 | 7,509 | ||||||||||||||||||
Asia Pacific | 25,878 | 23,926 | 49,804 | 14,936 | 29,934 | 44,870 | ||||||||||||||||||
All other | 454 | 52 | 506 | 582 | 31 | 613 | ||||||||||||||||||
$ | 47,693 | $ | 30,419 | $ | 78,112 | $ | 41,444 | $ | 43,467 | $ | 84,911 | |||||||||||||
Nine Months Ended September 30, 2021 | ||||||||||||||||||||||||
Nine Months Ended September 30, 2020 | Brick Products | Advanced Products | Total | |||||||||||||||||||||
Brick Products | Advanced Products | Total | ||||||||||||||||||||||
United States | $ | 57,880 | $ | 17,205 | $ | 75,085 | $ | 58,032 | $ | 35,083 | $ | 93,115 | ||||||||||||
Europe | 18,451 | 5,218 | 23,669 | 24,605 | 3,604 | 28,209 | ||||||||||||||||||
Asia Pacific | 60,917 | 50,076 | 110,993 | 66,309 | 79,926 | 146,235 | ||||||||||||||||||
All other | 2,390 | 137 | 2,527 | 1,309 | 215 | 1,524 | ||||||||||||||||||
$ | 139,638 | $ | 72,636 | $ | 212,274 | $ | 150,255 | $ | 118,828 | $ | 269,083 | |||||||||||||
Three Months Ended September 30, 2020 | ||||||||||||||||||||||||
Three Months Ended September 30, 2019 | Brick Products | Advanced Products | Total | |||||||||||||||||||||
Brick Products | Advanced Products | Total | ||||||||||||||||||||||
United States | $ | 25,265 | $ | 4,290 | $ | 29,555 | $ | 16,905 | $ | 4,391 | $ | 21,296 | ||||||||||||
Europe | 5,577 | 889 | 6,466 | 4,456 | 2,050 | 6,506 | ||||||||||||||||||
Asia Pacific | 14,510 | 18,875 | 33,385 | 25,878 | 23,926 | 49,804 | ||||||||||||||||||
All other | 1,130 | 236 | 1,366 | 454 | 52 | 506 | ||||||||||||||||||
$ | 46,482 | $ | 24,290 | $ | 70,772 | $ | 47,693 | $ | 30,419 | $ | 78,112 | |||||||||||||
Nine Months Ended September 30, 2020 | ||||||||||||||||||||||||
Nine Months Ended September 30, 2019 | Brick Products | Advanced Products | Total | |||||||||||||||||||||
Brick Products | Advanced Products | Total | ||||||||||||||||||||||
United States | $ | 73,289 | $ | 16,562 | $ | 89,851 | $ | 57,880 | $ | 17,205 | $ | 75,085 | ||||||||||||
Europe | 17,960 | 3,517 | 21,477 | 18,451 | 5,218 | 23,669 | ||||||||||||||||||
Asia Pacific | 46,908 | 37,618 | 84,526 | 60,917 | 50,076 | 110,993 | ||||||||||||||||||
All other | 2,955 | 1,043 | 3,998 | 2,390 | 137 | 2,527 | ||||||||||||||||||
$ | 141,112 | $ | 58,740 | $ | 199,852 | $ | 139,638 | $ | 72,636 | $ | 212,274 | |||||||||||||
Three Months Ended September 30, 2021 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 29,801 | $ | 36,066 | $ | 65,867 | ||||||
Stocking distributors, net of sales allowances | 11,405 | 2,075 | 13,480 | |||||||||
Non-recurring engineering | 238 | 3,846 | 4,084 | |||||||||
Royalties | — | 1,462 | 1,462 | |||||||||
Other | — | 18 | 18 | |||||||||
$ | 41,444 | $ | 43,467 | $ | 84,911 | |||||||
Nine Months Ended September 30, 2021 | ||||||||||||||||||||||||
Three Months Ended September 30, 2020 | Brick Products | Advanced Products | Total | |||||||||||||||||||||
Brick Products | Advanced Products | Total | ||||||||||||||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 40,916 | $ | 27,422 | $ | 68,338 | $ | 111,223 | $ | 97,767 | $ | 208,990 | ||||||||||||
Stocking distributors, net of sales allowances | 6,661 | 1,463 | 8,124 | 38,586 | 10,847 | 49,433 | ||||||||||||||||||
Non-recurring engineering | 116 | 1,499 | 1,615 | 446 | 8,643 | 9,089 | ||||||||||||||||||
Royalties | — | 17 | 17 | — | 1,518 | 1,518 | ||||||||||||||||||
Other | — | 18 | 18 | — | 53 | 53 | ||||||||||||||||||
$ | 47,693 | $ | 30,419 | $ | 78,112 | $ | 150,255 | $ | 118,828 | $ | 269,083 | |||||||||||||
Nine Months Ended September 30, 2020 | ||||||||||||
Brick Products | Advanced Products | Total | ||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 116,127 | $ | 62,233 | $ | 178,360 | ||||||
Stocking distributors, net of sales allowances | 23,097 | 6,101 | 29,198 | |||||||||
Non-recurring engineering | 414 | 4,231 | 4,645 | |||||||||
Royalties | — | 17 | 17 | |||||||||
Other | — | 54 | 54 | |||||||||
$ | 139,638 | $ | 72,636 | $ | 212,274 | |||||||
Three Months Ended September 30, 2020 | ||||||||||||||||||||||||
Three Months Ended September 30, 2019 | Brick Products | Advanced Products | Total | |||||||||||||||||||||
Brick Products | Advanced Products | Total | ||||||||||||||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 39,705 | $ | 22,574 | $ | 62,279 | $ | 40,916 | $ | 27,422 | $ | 68,338 | ||||||||||||
Stocking distributors, net of sales allowances | 6,522 | 1,734 | 8,256 | 6,661 | 1,463 | 8,124 | ||||||||||||||||||
Non-recurring engineering | 163 | (36 | ) | 127 | 116 | 1,499 | 1,615 | |||||||||||||||||
Royalties | 92 | — | 92 | — | 17 | 17 | ||||||||||||||||||
Other | — | 18 | 18 | — | 18 | 18 | ||||||||||||||||||
$ | 46,482 | $ | 24,290 | $ | 70,772 | $ | 47,693 | $ | 30,419 | $ | 78,112 | |||||||||||||
Nine Months Ended September 30, 2020 | ||||||||||||||||||||||||
Nine Months Ended September 30, 2019 | Brick Products | Advanced Products | Total | |||||||||||||||||||||
Brick Products | Advanced Products | Total | ||||||||||||||||||||||
Direct customers, contract manufacturers and non-stocking distributors | $ | 120,496 | $ | 49,524 | $ | 170,020 | $ | 116,127 | $ | 62,233 | $ | 178,360 | ||||||||||||
Stocking distributors, net of sales allowances | 19,750 | 7,817 | 27,567 | 23,097 | 6,101 | 29,198 | ||||||||||||||||||
Non-recurring engineering | 762 | 1,319 | 2,081 | 414 | 4,231 | 4,645 | ||||||||||||||||||
Royalties | 104 | 24 | 128 | — | 17 | 17 | ||||||||||||||||||
Other | — | 56 | 56 | — | 54 | 54 | ||||||||||||||||||
$ | 141,112 | $ | 58,740 | $ | 199,852 | $ | 139,638 | $ | 72,636 | $ | 212,274 | |||||||||||||
September 30, 2020 | December 31, 2019 | Change | September 30, 2021 | December 31, 2020 | Change | |||||||||||||||||||
Accounts receivable | $ | 41,136 | $ | 38,115 | $ | 3,021 | $ | 51,080 | $ | 40,999 | $ | 10,081 | ||||||||||||
Short-term deferred revenue and customer prepayments | (8,061 | ) | (5,507 | ) | (2,554 | ) | (3,390 | ) | (7,309 | ) | 3,919 | |||||||||||||
Long-term deferred revenue | (813 | ) | (1,054 | ) | 241 | (493 | ) | (733 | ) | 240 | ||||||||||||||
Deferred expenses | 1,588 | 1,897 | (309 | ) | 848 | 1,650 | (802 | ) | ||||||||||||||||
Sales allowances | (736 | ) | (741 | ) | 5 | (1,661 | ) | (597 | ) | (1,064 | ) |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||||||||
Cost of revenues | $ | 296 | $ | 86 | $ | 692 | $ | 228 | $ | 259 | $ | 296 | $ | 739 | $ | 692 | ||||||||||||||||
Selling, general and administrative | 846 | 482 | 2,313 | 1,507 | 1,033 | 846 | 2,665 | 2,313 | ||||||||||||||||||||||||
Research and development | 498 | 185 | 1,281 | 557 | 575 | 498 | 1,601 | 1,281 | ||||||||||||||||||||||||
Total stock-based compensation | $ | 1,640 | $ | 753 | $ | 4,286 | $ | 2,292 | $ | 1,867 | $ | 1,640 | $ | 5,005 | $ | 4,286 | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||||||||
Stock options | $ | 1,420 | $ | 514 | $ | 3,663 | $ | 1,556 | $ | 1,661 | $ | 1,420 | $ | 4,328 | $ | 3,663 | ||||||||||||||||
ESPP | 220 | 239 | 623 | 736 | 206 | 220 | 677 | 623 | ||||||||||||||||||||||||
Total stock-based compensation | $ | 1,640 | $ | 753 | $ | 4,286 | $ | 2,292 | $ | 1,867 | $ | 1,640 | $ | 5,005 | $ | 4,286 | ||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||
Provision (benefit) for income taxes | $ | 651 | $ | 266 | $ | (249 | ) | $ | 805 | |||||||
Effective income tax rate | 10.1 | % | 4.3 | % | (3.8 | )% | 5.9 | % |
Three Months Ende d | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
(Benefit) provision for income taxes | $ | (886) | $ | 651 | $ | (30) | $ | (249) | ||||||||
Effective income tax rate | (7.2)% | 10.1% | (0.1)% | (3.8)% |
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Numerator: | ||||||||||||||||
Net income attributable to Vicor Corporation | $ | 13,259 | $ | 5,785 | $ | 47,745 | $ | 6,717 | ||||||||
Denominator: | ||||||||||||||||
Denominator for basic net income per share-weighted average shares (1) | 43,710 | 43,164 | 43,573 | 41,814 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Employee stock options (2) | 1,324 | 1,579 | 1,332 | 1,753 | ||||||||||||
Denominator for diluted net income per share – adjusted weighted-average shares and assumed conversions | 45,034 | 44,743 | 44,905 | 43,567 | ||||||||||||
Basic net income per share | $ | 0.30 | $ | 0.13 | $ | 1.10 | $ | 0.16 | ||||||||
Diluted net income per share | $ | 0.29 | $ | 0.13 | $ | 1.06 | $ | 0.15 | ||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||
Numerator: | ||||||||||||||||
Net income attributable to Vicor Corporation | $ | 5,785 | $ | 5,937 | $ | 6,717 | $ | 12,786 | ||||||||
Denominator: | ||||||||||||||||
Denominator for basic net income per share-weighted average shares (1) | 43,164 | 40,332 | 41,814 | 40,279 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Employee stock options (2) | 1,579 | 1,862 | 1,753 | 1,156 | ||||||||||||
Denominator for diluted net income per share – adjusted weighted-average shares and assumed conversions | 44,743 | 42,194 | 43,567 | 41,435 | ||||||||||||
Basic net income per share | $ | 0.13 | $ | 0.15 | $ | 0.16 | $ | 0.32 | ||||||||
Diluted net income per share | $ | 0.13 | $ | 0.14 | $ | 0.15 | $ | 0.31 | ||||||||
(1) | Denominator represents weighted average number of shares of Common Stock and Class B Common Stock outstanding. |
(2) | Options to purchase 76,114 and 134,822 shares of Common Stock for the three and nine months ended September 30, 2021, respectively, and options to purchase 265,725 and 130,027 shares of Common Stock for the three and nine months ended September 30, 2020, |
Increase (decrease) | ||||||||||||||||
2021 | 2020 | $ | % | |||||||||||||
Brick Products | $ | 41,444 | $ | 47,693 | $ | (6,249 | ) | (13.1 | )% | |||||||
Advanced Products | 43,467 | 30,419 | 13,048 | 42.9 | % | |||||||||||
Total | $ | 84,911 | $ | 78,112 | $ | 6,799 | 8.7 | % | ||||||||
Increase | ||||||||
Compensation | $ | 725 | 7.0 | % (1) | ||||
Legal fees | 568 | 178.7 | % (2) | |||||
Commissions | 205 | 29.5 | % (3) | |||||
Travel expense | 169 | 94.7 | % (4) | |||||
Outside services | 152 | 29.9 | % (5) | |||||
Advertising | 148 | 22.9 | % (6) | |||||
Employment recruiting | 131 | 179.1 | % (7) | |||||
Other, net | 12 | 0.5 | % | |||||
$ | 2,110 | 13.9 | % | |||||
(1) | Increase primarily attributable to annual compensation adjustments in May 2021 and higher stock-based compensation expense associated with stock options awarded in June 2021. |
(2) | Increase primarily attributable to an increase in activity related to the SynQor litigation (see Note 10 to the Condensed Consolidated Financial Statements) and for certain corporate legal matters. |
(3) | Increase primarily attributable to an increase in net revenues subject to commissions. |
(4) | Increase primarily attributable to a resumption of travel by the Company’s sales and marketing personnel, though still at levels significantly lower than prior to the COVID 19 pandemic. |
(5) | Increase primarily attributable to an increase in the use of outside service providers at our Andover, MA facility. |
(6) | Increase primarily attributable to increases in sales support expenses, direct mailings, and advertising in trade publications. |
(7) | Increase primarily attributable to an increase in employee recruitment activities at Andover. |
Increase | ||||||||||||||||
2020 | 2019 | $ | % | |||||||||||||
Brick Products | $ | 47,693 | $ | 46,482 | $ | 1,211 | 2.6 | % | ||||||||
Advanced Products | 30,419 | 24,290 | 6,129 | 25.2 | % | |||||||||||
Total | $ | 78,112 | $ | 70,772 | $ | 7,340 | 10.4 | % | ||||||||
Increase (decrease) | ||||||||
Travel expense | $ | (690 | ) | (79.4 | )%(1) | |||
Commissions | (191 | ) | (21.6 | )%(2) | ||||
Outside services | (173 | ) | (25.4 | )%(3) | ||||
Compensation | 812 | 8.6 | %(4) | |||||
Other, net | 11 | 0.4 | % | |||||
$ | (231 | ) | (1.5 | )% | ||||
Increase (decrease) | Increase (decrease) | |||||||||||||||
Compensation | $ | 730 | 8.8 | %(1) | $ | 710 | 7.9 | % (1) | ||||||||
Facilities allocations | 99 | 16.7 | % | |||||||||||||
Project and pre-production materials | 583 | 42.3 | % (2) | |||||||||||||
Deferred costs | (144 | ) | (71.6 | )%(2) | 149 | 43.2 | % (3) | |||||||||
Project and pre-production materials | (144 | ) | (9.5 | )%(3) | ||||||||||||
Employment recruiting | 99 | 464.7 | % | |||||||||||||
Outside services | 42 | 57.1 | % | |||||||||||||
Overhead absorption | (209 | ) | (69.7) | % (4) | ||||||||||||
Other, net | (16 | ) | (1.3 | )% | 113 | 5.1 | % | |||||||||
$ | 525 | 4.6 | % | $ | 1,487 | 12.4 | % | |||||||||
(1) | Increase primarily attributable to annual compensation adjustments in May 2021 and higher stock-based compensation expense associated with stock options awarded in June |
(2) | Increase primarily attributable to |
(3) | Increase primarily attributable to a decrease in non-recurring engineering projects for which the related revenues |
Decrease primarily attributable to |
2020 | 2019 | Increase (decrease) | 2021 | 2020 | Increase (decrease) | |||||||||||||||||||
Interest income | $ | 267 | $ | 7 | $ | 260 | ||||||||||||||||||
Rental income | $ | 198 | $ | 198 | $ | — | 198 | 198 | — | |||||||||||||||
Foreign currency gains (losses), net | 140 | (142 | ) | 282 | ||||||||||||||||||||
Interest income | 7 | 74 | (67 | ) | ||||||||||||||||||||
Gain on disposals of equipment | 3 | 1 | 2 | |||||||||||||||||||||
Foreign currency (losses) gains, net | (110 | ) | 140 | (250 | ) | |||||||||||||||||||
Gains on disposals of equipment | 39 | 3 | 36 | |||||||||||||||||||||
Other, net | (14 | ) | 15 | (29 | ) | — | (14 | ) | 14 | |||||||||||||||
$ | 334 | $ | 146 | $ | 188 | $ | 394 | $ | 334 | $ | 60 | |||||||||||||
2020 | 2019 | 2021 | 2020 | |||||||||||||
Provision for income taxes | $ | 651 | $ | 266 | ||||||||||||
(Benefit) provision for income taxes | $ | (886 | ) | $ | 651 | |||||||||||
Effective income tax rate | 10.1 | % | 4.3 | % | (7.2 | )% | 10.1 | % |
Increase (decrease) | Increase | |||||||||||||||||||||||||||||||
2020 | 2019 | $ | % | 2021 | 2020 | $ | % | |||||||||||||||||||||||||
Brick Products | $ | 139,638 | $ | 141,112 | $ | (1,474 | ) | (1.0 | )% | $ | 150,255 | $ | 139,638 | $ | 10,617 | 7.6 | % | |||||||||||||||
Advanced Products | 72,636 | 58,740 | 13,896 | 23.7 | % | 118,828 | 72,636 | 46,192 | 63.6 | % | ||||||||||||||||||||||
Total | $ | 212,274 | $ | 199,852 | $ | 12,422 | 6.2 | % | $ | 269,083 | $ | 212,274 | $ | 56,809 | 26.8 | % | ||||||||||||||||
Increase (decrease) | Increase (decrease) | |||||||||||||||||||
Compensation | $ | 2,349 | 8.2 | %(1) | $ | 1,920 | 6.2 | % | (1 | ) | ||||||||||
Legal fees | 468 | 46.7 | %(2) | 756 | 51.5 | % | (2 | ) | ||||||||||||
Advertising expense | 399 | 20.0 | % | (3 | ) | |||||||||||||||
Outside services | 224 | 15.1 | % | (4 | ) | |||||||||||||||
Employment recruiting | 210 | 112.9 | % | (5 | ) | |||||||||||||||
Depreciation and amortization | 241 | 11.7 | %(3) | 155 | 6.7 | % | (6 | ) | ||||||||||||
Bad debt expense | 161 | 116.7 | % | |||||||||||||||||
Outside services | (146 | ) | (8.9 | )% | ||||||||||||||||
Commissions | 129 | 5.2 | % | |||||||||||||||||
Facilities allocations | (186 | ) | (14.5 | )% | 127 | 11.6 | % | |||||||||||||
Advertising expense | (252 | ) | (11.2 | )%(4) | ||||||||||||||||
Travel expense | (1,397 | ) | (61.8 | )%(5) | ||||||||||||||||
Other, net | (48 | ) | (0.7 | )% | (91 | ) | (1.9 | )% | ||||||||||||
$ | 1,190 | 2.6 | % | $ | 3,829 | 8.1 | % | |||||||||||||
(1) | Increase primarily attributable to |
(2) | Increase primarily attributable to |
(3) | Increase primarily attributable to increases in sales support expenses, direct mailings, and advertising in trade publications. |
(4) | Increase primarily attributable to an increase in the use of outside service providers at our Andover, MA facility. |
(5) | Increase primarily attributable to an increase in employee recruitment activities at Andover. |
(6) | Increase attributable to net additions of furniture and fixtures and capitalization of building improvements. |
Increase (decrease) | Increase (decrease) | |||||||||||||||
Compensation | $ | 2,088 | 8.4 | %(1) | $ | 1,678 | 6.2 | % (1) | ||||||||
Project and pre-production materials | 1,122 | 23.7 | %(2) | 229 | 3.9 | % (2) | ||||||||||
Facilities allocations | 206 | 11.1 | % (3) | |||||||||||||
Deferred costs | 516 | 44.4 | %(3) | 166 | 25.7 | % (4) | ||||||||||
Supplies | 92 | 9.4 | % | |||||||||||||
Employment recruiting | 85 | 169.6 | % | |||||||||||||
Freight | 74 | 72.6 | % | |||||||||||||
Computer expense | 73 | 15.0 | % | |||||||||||||
Overhead absorption | (1,039 | ) | (133.8 | )% (5) | ||||||||||||
Other, net | 38 | 0.6 | % | 57 | 1.7 | % | ||||||||||
$ | 3,764 | 10.9 | % | $ | 1,621 | 4.2 | % | |||||||||
(1) | Increase primarily attributable to |
(2) | Increase primarily attributable to |
(3) | Increase primarily attributable to an increase in utilities and building maintenance expenses. |
(4) | Increase primarily attributable to a decrease in non-recurring engineering projects for which the related revenues |
(5) | Decrease primarily attributable to an increase in R&D personnel incurring time on production activities, compared to R&D activities. |
2020 | 2019 | Increase (decrease) | 2021 | 2020 | Increase (decrease) | |||||||||||||||||||
Interest income | $ | 736 | $ | 77 | $ | 659 | ||||||||||||||||||
Rental income | $ | 594 | $ | 594 | $ | — | 594 | 594 | — | |||||||||||||||
Interest income | 77 | 236 | (159 | ) | ||||||||||||||||||||
Foreign currency gains (losses), net | 23 | (202 | ) | 225 | ||||||||||||||||||||
Gain on disposals of equipment | 9 | 23 | (14 | ) | ||||||||||||||||||||
Foreign currency (losses) gains, net | (285 | ) | 23 | (308 | ) | |||||||||||||||||||
(Losses) gains on disposals of equipment | (67 | ) | 9 | (76 | ) | |||||||||||||||||||
Other, net | 12 | 22 | (10 | ) | 21 | 12 | 9 | |||||||||||||||||
$ | 715 | $ | 673 | $ | 42 | $ | 999 | $ | 715 | $ | 284 | |||||||||||||
2020 | 2019 | 2021 | 2020 | |||||||||||||
(Benefit) provision for income taxes | $ | (249 | ) | $ | 805 | |||||||||||
Benefit for income taxes | $ | (30 | ) | $ | (249 | ) | ||||||||||
Effective income tax rate | (3.8 | )% | 5.9 | % | (0.1 | )% | (3.8 | )% |
Increase (decrease) | ||||
Cash and cash equivalents | $ | 118,937 | ||
Accounts receivable | 3,021 | |||
Inventories, net | 8,982 | |||
Other current assets | (224 | ) | ||
Accounts payable | (2,906 | ) | ||
Accrued compensation and benefits | (2,838 | ) | ||
Accrued expenses | 273 | |||
Short-term lease liabilities | (43 | ) | ||
Sales allowances | 5 | |||
Income taxes payable | (5 | ) | ||
Short-term deferred revenue | (2,554 | ) | ||
$ | 122,648 | |||
Increase (decrease) | ||||
Cash and cash equivalents | $ | 16,921 | ||
Short-term investments | 51 | |||
Accounts receivable | 10,081 | |||
Inventories, net | 6,140 | |||
Other current assets | (123) | |||
Accounts payable | (4,225) | |||
Accrued compensation and benefits | 100 | |||
Accrued expenses | (965) | |||
Sales allowances | (1,064) | |||
Short-term lease liabilities | 4 | |||
Income taxes payable | 129 | |||
Short-term deferred revenue | 3,919 | |||
$ | 30,968 | |||
32.1 | Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | ||
32.2 | Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | ||
101.INS | Inline XBRL Instance Document – the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | ||
101.SCH | Inline XBRL Taxonomy Extension Schema Document. | ||
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document. | ||
101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document. | ||
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document. | ||
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document. | ||
104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |
(1) | Filed as an exhibit to the Company’s Annual Report on Form 10-K filed on March 29, 2001 (FileNo. 000-18277) and incorporated herein by reference. |
(2) | Filed as an exhibit to the Company’s Current Report on Form 8-K filed on June 4, 2020 (FileNo. 000-18277) and incorporated herein by reference. |
VICOR CORPORATION | ||||||
Date: | By: | /s/ Patrizio Vinciarelli | ||||
Patrizio Vinciarelli | ||||||
Chairman of the Board, President and | ||||||
Chief Executive Officer | ||||||
(Principal Executive Officer) | ||||||
Date: | By: | /s/ James | ||||
James | ||||||
Vice President, Chief Financial Officer | ||||||
(Principal Financial Officer) |