Document and Entity Information
Document and Entity Information Document - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Jan. 23, 2019 | Jun. 30, 2018 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | RUDOLPH TECHNOLOGIES INC | ||
Trading Symbol | RTEC | ||
Entity Central Index Key | 1,094,392 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 30,907,380 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 926,907,335 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current Assets: | ||
Cash and cash equivalents | $ 112,388 | $ 67,770 |
Marketable securities | 62,684 | 109,589 |
Accounts receivable, less allowance of $691 in 2018 and $460 in 2017 | 64,194 | 65,283 |
Inventories | 96,820 | 67,521 |
Income taxes receivable | 6,111 | 7,220 |
Prepaid expenses and other current assets | 8,710 | 4,699 |
Total current assets | 350,907 | 322,082 |
Property, plant and equipment, net | 18,874 | 17,342 |
Goodwill | 22,495 | 22,495 |
Identifiable intangible assets, net | 7,448 | 8,632 |
Deferred income taxes | 12,810 | 14,879 |
Other assets | 5,506 | 492 |
Total assets | 418,040 | 385,922 |
Current liabilities: | ||
Accounts payable | 16,981 | 13,471 |
Accrued liabilities: | ||
Payroll and related expenses | 10,648 | 10,408 |
Royalties | 611 | 494 |
Warranty | 2,441 | 2,427 |
Deferred revenue | 6,767 | 6,223 |
Other current liabilities | 7,543 | 9,284 |
Total current liabilities | 44,991 | 42,307 |
Other non-current liabilities | 11,161 | 10,461 |
Total liabilities | 56,152 | 52,768 |
Commitments and contingencies (Note 9) | ||
Stockholders’ equity: | ||
Preferred stock, $0.001 par value, 5,000 shares authorized, no shares issued and outstanding at December 31, 2018 and 2017 | ||
Common stock, $0.001 par value, 100,000 shares authorized, 30,906 and 31,604 issued and outstanding at December 31, 2018 and 2017, respectively. | 31 | 32 |
Additional paid-in capital | 369,893 | 386,196 |
Accumulated other comprehensive loss | (1,263) | (1,205) |
Accumulated deficit | (6,773) | (51,869) |
Total stockholders’ equity | 361,888 | 333,154 |
Total liabilities and stockholders’ equity | $ 418,040 | $ 385,922 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Allowance for Doubtful Accounts Receivable, Current | $ 691 | $ 460 |
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Preferred Stock, Shares Authorized | 5,000,000 | 5,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 |
Common Stock, Shares, Issued | 30,906,000 | 31,604,000 |
Common Stock, Shares, Outstanding | 30,906,000 | 31,604,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Consolidated Statements Of Operations [Abstract] | |||
Revenue | $ 273,784 | $ 255,098 | $ 232,780 |
Cost of revenue | 125,505 | 120,503 | 109,229 |
Gross profit | 148,279 | 134,595 | 123,551 |
Operating expenses: | |||
Research and development | 49,053 | 46,986 | 44,964 |
Selling, general and administrative | 46,608 | 39,381 | 38,562 |
Amortization | 1,534 | 1,940 | 2,320 |
Patent litigation income | 0 | (13,000) | (14,643) |
Total operating expenses | 97,195 | 75,307 | 71,203 |
Operating income | 51,084 | 59,288 | 52,348 |
Interest (income) expense, net | (2,206) | (971) | 2,834 |
Other expense (income), net | (56) | 457 | (354) |
Income before provision for income taxes | 53,346 | 59,802 | 49,868 |
Provision for income taxes | 8,250 | 26,893 | 12,916 |
Net income | $ 45,096 | $ 32,909 | $ 36,952 |
Earnings per share: | |||
Basic | $ 1.42 | $ 1.05 | $ 1.19 |
Diluted | $ 1.40 | $ 1.02 | $ 1.16 |
Weighted average number of shares outstanding: | |||
Basic | 31,671 | 31,491 | 31,128 |
Diluted | 32,200 | 32,162 | 31,790 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Consolidated Statement Of Comprehensive Income [Abstract] | |||
Net income | $ 45,096 | $ 32,909 | $ 36,952 |
Other comprehensive income (loss): | |||
Change in net unrealized gains (losses) on investments, net of tax | 136 | (89) | (37) |
Change in currency translation adjustments | (194) | 1,663 | (119) |
Total comprehensive income | $ 45,038 | $ 34,483 | $ 36,796 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Loss [Member] | Retained Earnings [Mmember] |
Balance at Dec. 31, 2015 | $ 270,678 | $ 31 | $ 394,928 | $ (2,623) | $ (121,658) |
Balance, Shares at Dec. 31, 2015 | 30,949 | ||||
Issuance of shares through share-based compensation plans, net | 850 | 850 | |||
Issuance of shares through share-based compensation plans, net, Shares | 713 | ||||
Repurchase of common stock | (8,044) | (8,044) | |||
Repurchase of common stock, Shares | (615) | ||||
Net income | 36,952 | 36,952 | |||
Share-based compensation | 4,775 | 4,775 | |||
Tax benefit for share-based compensation plans | 792 | 792 | |||
Share-based compensation plan withholdings | (1,587) | (1,587) | |||
Redemption of stock warrants, shares | 80 | ||||
Redemption of stock warrants | (10,525) | (10,525) | |||
Currency translation | (119) | (119) | |||
Unrealized gain (loss) on investments | (37) | (37) | |||
Balance at Dec. 31, 2016 | 293,735 | $ 31 | 381,189 | (2,779) | (84,706) |
Balance, shares at Dec. 31, 2016 | 31,127 | ||||
Redemption of stock warrants | 10,525 | 10,525 | |||
Issuance of shares through share-based compensation plans, net | 624 | $ 1 | 623 | ||
Issuance of shares through share-based compensation plans, net, Shares | 375 | ||||
Net income | 32,909 | 32,909 | |||
Share-based compensation | 5,670 | 5,670 | |||
Cumulative effect of a change in accountingfor share-based compensation | 72 | (72) | |||
Share-based compensation plan withholdings | (1,358) | (1,358) | |||
Redemption of stock warrants, shares | 102 | ||||
Currency translation | 1,663 | 1,663 | |||
Unrealized gain (loss) on investments | (89) | (89) | |||
Balance at Dec. 31, 2017 | 333,154 | $ 32 | 386,196 | (1,205) | (51,869) |
Balance, shares at Dec. 31, 2017 | 31,604 | ||||
Issuance of shares through share-based compensation plans, net | 624 | 624 | |||
Issuance of shares through share-based compensation plans, net, Shares | 363 | ||||
Repurchase of common stock | (21,069) | $ (1) | (21,068) | ||
Repurchase of common stock, Shares | (1,061) | ||||
Net income | 45,096 | 45,096 | |||
Share-based compensation | 6,062 | 6,062 | |||
Share-based compensation plan withholdings | (1,921) | (1,921) | |||
Currency translation | (194) | (194) | |||
Unrealized gain (loss) on investments | 136 | 136 | |||
Balance at Dec. 31, 2018 | $ 361,888 | $ 31 | $ 369,893 | $ (1,263) | $ (6,773) |
Balance, shares at Dec. 31, 2018 | 30,906 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | |||
Net income | $ 45,096 | $ 32,909 | $ 36,952 |
Adjustments to reconcile net income to net cash and cash equivalents provided by operating activities: | |||
Depreciation | 4,848 | 3,990 | 3,677 |
Amortization of convertible note discount and issuance costs | 2,154 | ||
Amortization of intangibles | 1,534 | 1,940 | 2,320 |
Foreign currency exchange loss | 255 | 457 | 592 |
Gain on disposal of property, plant and equipment | (946) | ||
Change in fair value of contingent consideration | 1,010 | 133 | 170 |
Share-based compensation | 6,062 | 5,670 | 4,775 |
Provision for doubtful accounts and inventory valuation | 3,335 | 3,608 | 2,971 |
Deferred income taxes | 2,163 | 17,207 | 5,011 |
Change in operating assets and liabilities: | |||
Accounts receivable | 706 | 430 | (9,279) |
Income taxes | 1,056 | (4,727) | (3,021) |
Inventories | (31,545) | (4,218) | 4,003 |
Prepaid expenses and other assets | (3,101) | (1,686) | 2,038 |
Accounts payable | 3,512 | 3,198 | 1,169 |
Deferred revenue | 545 | (1,122) | 896 |
Other liabilities | (382) | 6,382 | (6,057) |
Net cash and cash equivalents provided by operating activities | 35,094 | 64,171 | 47,425 |
Cash flows from investing activities: | |||
Purchases of marketable securities | (140,018) | (164,661) | (146,865) |
Proceeds from sales of marketable securities | 186,332 | 143,349 | 175,460 |
Purchases of property, plant and equipment | (7,542) | (10,210) | (3,291) |
Cash advance on convertible note receivable | (5,000) | ||
Purchase of intangible assets | (1,000) | (2,000) | |
Proceeds from sale of property, plant & equipment | 1,165 | ||
Net cash and cash equivalents provided by (used in) investing activities | 33,772 | (32,522) | 24,469 |
Cash flows from financing activities: | |||
Payment of senior convertible debt | (60,000) | ||
Redemption of stock warrants | (1,025) | (9,500) | |
Purchases of common stock | (21,069) | (8,044) | |
Tax payments related to shares withheld for share-based compensation plans | (1,921) | (1,358) | (1,587) |
Payment of contingent consideration for acquired business | (1,543) | (792) | (622) |
Issuance of shares through share-based compensation plans | 624 | 623 | 850 |
Net cash and cash equivalents used in financing activities | (23,909) | (2,552) | (78,903) |
Effect of exchange rate changes on cash and cash equivalents | (339) | 814 | 314 |
Net increase (decrease) in cash and cash equivalents | 44,618 | 29,911 | (6,695) |
Cash and cash equivalents at beginning of year | 67,770 | 37,859 | 44,554 |
Cash and cash equivalents at end of year | 112,388 | 67,770 | 37,859 |
Supplemental disclosure of cash flow information: | |||
Income taxes paid, net | $ 4,301 | 14,605 | 10,980 |
Interest paid | 2,250 | ||
Litigation settlement received | $ 13,000 | $ 14,643 |
Organization and Nature of Oper
Organization and Nature of Operations | 12 Months Ended |
Dec. 31, 2018 | |
Organization And Nature Of Operations [Abstract] | |
Organization and Nature of Operations | 1. Organization and Nature of Operations: Rudolph Technologies, Inc. is a worldwide leader in the design, development, manufacture and support of process control tools that perform macro-defect inspections and metrology, lithography systems, and process control analytical software used by semiconductor and advanced packaging device manufacturers. The Company has branch sales and service offices in South Korea, Taiwan and Singapore and wholly-owned sales and service subsidiaries in the United States, Europe, Japan and China. The Company operates in a single reportable segment and is a provider of process characterization equipment and software for wafer fabs and advanced packaging facilities. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Summary Of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. A. Consolidation: The consolidated financial statements reflect the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated. B. Revenue Recognition: Adoption of ASC Topic 606, “Revenue from Contracts with Customers” On January 1, 2018, the Company adopted Topic 606 using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The Company did not record a cumulative impact due to the adoption of Topic 606. Revenue Recognition Revenue is recognized when control of the promised goods or services are transferred to the Company’s customers in an amount that reflects the consideration the Company expects to be entitled to receive in exchange for those goods or services. The Company accounts for a contract when it has approval and commitment from both parties, the rights of the parties and payment terms are identified, the contract has commercial substance and collectability of consideration is probable. The Company has elected to account for shipping and handling activities as the fulfillment of a promise to transfer goods to the customer and therefore records these activities under the caption “Cost of revenue.” Sales tax and any other taxes collected concurrent with revenue producing activities are excluded from revenue. Incidental items that are immaterial in the context of the contract are recognized as expense. These accounting policy elections are consistent with the manner in which the Company has historically recorded these items. Contracts with customers may include multiple performance obligations. For such arrangements, the Company allocates revenue to each performance obligation based on its relative standalone selling price. The Company generally determines standalone selling prices based on the prices charged to customers or the expected cost plus margin. Disaggregated Revenue The following table presents the Company’s revenue disaggregated by revenue source: Year Ended December 31, 2018 2017 2016 Systems $ 205,073 $ 191,411 $ 165,601 Software licensing, support and maintenance 29,168 25,473 29,795 Parts 28,658 27,143 25,343 Services 10,885 11,071 12,041 Total revenue $ 273,784 $ 255,098 $ 232,780 The following table represents a disaggregation of revenue by timing of revenue: Year Ended December 31, 2018 Point-in-time $ 257,124 Over-time 16,660 Total revenue $ 273,784 See Note 14 of the Notes to the Consolidated Financial Statements for additional discussion of the Company’s disaggregated revenue in detail. Systems Revenue Revenue from systems is recognized when the Company transfers control of the product to the customer. To indicate transfer of control, the Company must have a present right to payment, legal title must have passed to the customer and the customer must have the significant risks and rewards of ownership. The Company generally transfers control for system sales when the customer or the customer’s agent picks up the system at the Company’s facility. Payment for the majority of the Company’s systems have 80-90% of the invoice amount due within 30 days and the remaining amount due upon completion of installation, recalibration and qualification by the customer. The Company provides an assurance warranty on its systems for a period of twelve to fifteen months against defects in material and workmanship. The Company provides for the estimated cost of product warranties at the time revenue is recognized. Depending on the terms of the systems arrangement, the Company may also defer the recognition of a portion of the consideration expected to be received because the Company has to satisfy a future obligation (e.g., installation, training and extended warranties). The Company uses an observable price to determine the standalone selling price for separate performance obligations or a cost plus margin approach when one is not available. Software Licensing, Support and Maintenance Revenue Revenue from software licenses provides the customer with a right to use the software as it exists when made available to the customer. Revenue from software licenses are recognized upfront at the point in time when the software is made available to the customer. Revenue from licensing support and maintenance is recognized as the support and maintenance are provided, which is over the contract period. Payment for software licensing, support and maintenance is generally due in 30 days. Parts Revenue Revenue from parts is recognized when the Company transfers control of the product, which typically occurs when the Company ships the product from its facilities to the customer. Payment for parts is generally due in 30 days. Services Revenue Revenue from services primarily consists of service contracts, which provide additional maintenance coverage beyond the Company’s assurance warranty on its products, service labor, consulting and training. Revenue from service contracts is recognized ratably over the term of the service contract. Revenue from service labor, consulting and training is recognized as services are performed. Payment for services is generally due in 30 days. Contract Liabilities The Company records contract liabilities when the customer has been billed in advance of the Company completing its performance obligations. These amounts are recorded as deferred revenue in the Consolidated Balance Sheets. Changes in deferred revenue were as follows: Year Ended December 31, 2018 Balance, beginning of the period $ 7,206 Deferral of revenue 19,326 Recognition of deferred revenue (18,452 ) Balance, ending of the period $ 8,080 Practical Expedients The Company generally expenses sales commissions when incurred because the amortization period is one year or less. These costs are recorded within selling, general and administrative expenses. The Company does not adjust the amount of consideration for the effects of a significant financing component as the payment terms are generally one year or less. The Company does not disclose the value of remaining performance obligations for contracts with an original expected length of one year or less and contracts for which the Company recognizes revenue in the amount to which it has the right to invoice. C. Estimates: The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Significant estimates made by management include the allowance for doubtful accounts, excess and obsolete inventory, fair value of assets acquired and liabilities assumed in a business combination (including contingent consideration), recoverability and useful lives of property, plant and equipment and identifiable intangible assets, recoverability of goodwill, recoverability of deferred tax assets, liabilities for product warranty, contingencies, including litigation reserves and share-based payments and liabilities for tax uncertainties. Actual results could differ from those estimates. D. Cash and Cash Equivalents: Cash and cash equivalents include cash and highly liquid debt instruments with original maturities of three months or less when purchased. E. Marketable Securities: The Company determined that all of its investment securities are to be classified as available-for-sale. Available-for-sale debt securities are carried at fair value, with the unrealized gains and losses reported in stockholders’ equity under the caption “Accumulated other comprehensive loss.” Realized gains and losses and, interest and dividends on available-for-sale securities are included in interest income and other, net. Available-for-sale securities are classified as current assets regardless of their maturity date if they are available for use in current operations. The Company reviews its investment portfolio to identify and evaluate investments that have indications of possible impairment. Factors considered in determining whether a loss is other-than-temporary include the length of time and extent to which fair value has been less than the cost basis, credit quality and the Company’s ability and intent to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value. When a decline in fair value is determined to be other-than-temporary, unrealized losses on available-for-sale securities are charged against earnings. The specific identification method is used to determine the gains and losses on marketable securities. For additional information on the Company’s marketable securities, see Note 4 of Notes to the Consolidated Financial Statements. F. Allowance for Doubtful Accounts: The Company evaluates the collectability of accounts receivable based on a combination of factors. Where the Company is aware of circumstances that may impair a specific customer’s ability to meet its financial obligation, the Company records a specific allowance against amounts due, thereby reducing the net recognized receivable to the amount management reasonably believes will be collected. For all other customers, the Company recognizes allowances for doubtful accounts based on the length of time the receivables are outstanding, industry and geographic concentrations, the current business environment and historical experience. G. Inventories: Inventories are stated at the lower of cost or net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less predictable costs of completion, disposal and transportation. Cost is generally determined on a first-in, first-out basis, and includes material, labor and manufacturing overhead costs. The Company reviews and sets standard costs as needed, but at a minimum, on an annual basis, at current manufacturing costs in order to approximate actual costs. The Company evaluates inventories for excess quantities and obsolescence. The Company establishes inventory reserves when conditions exist that suggest that inventory may be in excess of anticipated demand or is obsolete based upon assumptions about historical and future demand for the Company’s products and market conditions. In addition, inventories are evaluated for potential obsolescence due to the effect of known and anticipated engineering design changes. Once a reserve has been established, it is maintained until the item to which it relates is scrapped or sold. H. Property, Plant and Equipment: Property, plant and equipment are stated at cost. Depreciation of property, plant and equipment is computed using the straight-line method over the estimated useful lives of the assets, which are fifteen years for buildings, four to seven years for machinery and equipment, seven years for furniture and fixtures, and three years for computer equipment. Leasehold improvements are amortized using the straight-line method over the lesser of the lease term or the estimated useful life of the related asset. Repairs and maintenance costs are expensed as incurred and major renewals and betterments are capitalized. I. Impairment of Long-Lived Assets: Long-lived assets, such as property, plant, and equipment, and identifiable acquired intangible assets with definite useful lives, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized in the amount by which the carrying amount of the asset exceeds the fair value of the asset, which is generally based on discounted cash flows. J. Goodwill and Intangible Assets: Intangible assets with finite useful lives are amortized using the straight-line method over their estimated useful lives. Goodwill and intangible assets with indefinite useful lives are not amortized but are tested for impairment at least annually and when there are indications of impairment. Goodwill impairment is deemed to exist if the net book value of a reporting unit exceeds its estimated fair value. The Company has the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the Company elects this option and after assessing the totality of events or circumstances, the Company determines that it is not likely that the fair value of its reporting unit is less than its carrying amount, then performing the two-step impairment test is unnecessary. The Company has not elected this option to date. The Company estimates the fair value of its reporting unit using the market value of its common stock at October 31 multiplied by the number of outstanding common shares (market capitalization) and an implied control premium as if it were to be acquired by a single stockholder. The Company also obtains information on completed sales of similar companies in the related industry to estimate the implied control premium for the Company. If the results of the initial market capitalization test produce results that are below the reporting unit carrying value, the Company will also consider if the market capitalization is temporarily low and, if so, we may also perform a discounted cash flow test. The Company tested for goodwill impairment on October 31, 2018. No impairments were noted. For additional information on the Company’s goodwill and purchased intangible assets, see Note 5 of Notes to the Consolidated Financial Statements. K. Concentration of Credit Risk: Financial instruments, which potentially subject the Company to concentrations of credit risk, consist primarily of accounts receivable, cash and cash equivalents and marketable securities. The Company performs ongoing credit evaluations of its customers and generally does not require collateral for sales on credit. The Company maintains allowances for potential credit losses. The Company maintains cash and cash equivalents and marketable securities with higher credit quality issuers and monitors the amount of credit exposure to any one issuer. L. Warranties: The Company generally provides a warranty on its products for a period of twelve to fifteen months against defects in material and workmanship. The Company provides for the estimated cost of product warranties at the time revenue is recognized. M. Income Taxes: The Company accounts for income taxes using the asset and liability approach for deferred taxes which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in the Company’s consolidated financial statements or tax returns. A valuation allowance is recorded to reduce a deferred tax asset to that portion which more likely than not will be realized. The Company does not record tax expense impact for foreign withholding taxes and outside basis differences on the undistributed earnings of its foreign operations as it is the Company’s intention to permanently re-invest undistributed earnings. For additional information on the Company’s income taxes, see Note 12 of Notes to the Consolidated Financial Statements. N. Translation of Foreign Currencies: The Company has branch operations in Taiwan, Singapore and South Korea and wholly-owned subsidiaries in the United States, Europe, Japan and China. Its international subsidiaries and branches operate primarily through the use of local functional currencies. A substantial portion of the Company’s international systems sales are denominated in U.S. dollars with the exception of Japan. Consequently, we have relatively little exposure to foreign currency exchange risk with respect to these sales. Assets and liabilities are translated at exchange rates in effect at the balance sheet date, and income and expense accounts and cash flow items are translated at average monthly exchange rates during the period. Net exchange gains or losses resulting from the translation of foreign financial statements and the effect of exchange rates on intercompany transactions of a long-term investment nature are recorded directly as a separate component of stockholders’ equity under the caption, “Accumulated other comprehensive loss.” Any foreign currency gains or losses related to transactions are included in operating results. The Company had accumulated exchange losses resulting from the translation of foreign operation financial statements of $1,273 and $1,079 as of December 31, 2018 and 2017, respectively. O. Share-based Compensation: Share-based awards are measured based on the grant-date fair value of the award and recognized over the period from the service inception date through the date the employee is no longer required to provide service to earn the award. Effective upon the Company’s adoption of Accounting Standards Update (“ASU”) No. 2016-09, “Improvements to Employee Share-Based Payment Accounting” on January 1, 2017, forfeitures are accounted for as they occur. Prior to the adoption of ASU No. 2016-09, expected forfeitures were included in determining share-based compensation expense. For additional information on the Company’s share-based compensation plans, see Note 10 of Notes to the Consolidated Financial Statements. P. Research and Development Costs: Expenditures for research and development are expensed as incurred. Q . Fair Value of Financial Instruments: The carrying amounts of the Company’s financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities, approximate fair value due to their short maturities. The estimated fair value of these obligations is based, primarily, on a market approach, comparing the Company’s interest rates to those rates the Company believes it would reasonably receive upon re-entry into the market. Judgment is required to estimate the fair value using available market information and appropriate valuation methods. For additional information on the Company’s fair value of financial instruments, see Note 3 of Notes to the Consolidated Financial Statements. R . Derivative Instruments and Hedging Activities: The Company, when it considers it to be appropriate, enters into forward contracts to hedge the economic exposures arising from foreign currency denominated transactions. At December 31, 2018 and 2017, these contracts included the future sale of Japanese Yen to purchase U.S. dollars. The foreign currency forward contracts were entered into by the Company’s Japanese subsidiary to hedge a portion of certain intercompany obligations. The forward contracts are not designated as hedges for accounting purposes and therefore, the change in fair value is recorded in selling, general and administrative expenses in the Consolidated Statements of Operations. The Company records its forward contracts at fair value in either prepaid expenses and other current assets or other current liabilities in the Consolidated Balance Sheets. The dollar equivalent of the U.S. dollar forward contracts and related fair values as of December 31, 2018 and 2017 were as follows: December 31, 2018 2017 Notional amount 6,746 8,417 Fair value of asset (liability) (32 ) 45 During the year ended December 31, 2018, the Company recognized a loss of $81 on maturities of forward contracts. For the years ended December 31, 2017 and 2016, the Company recorded gains of $105 and $417 on maturities of forward contracts, respectively. The aggregate notional amounts of matured contracts were $8,465, $9,582 and $6,641 for 2018, 2017 and 2016, respectively. S . Contingencies and Litigation The Company is subject to the possibility of losses from various contingencies, including certain legal proceedings, lawsuits and other claims. The Company accrues for a loss contingency when it concludes that the likelihood of a loss is probable and the amount of the loss can be reasonably estimated. If the Company concludes that loss contingencies that could be material to any one of its financial statements are not probable, but are reasonably possible, or are probable, but cannot be estimated, then the Company discloses the nature of the loss contingencies, together with an estimate of the range of possible loss or a statement that such loss is not reasonably estimable. The Company expenses as incurred the costs of defending legal claims against the Company. The Company does not recognize gain contingencies until realized. See Note 9 of the Notes to the Consolidated Financial Statements, “Commitments and Contingencies” for a detailed description. T . Recent Accounting Pronouncements: Recently Adopted Effective January 1, 2018, the Company adopted ASU No. 2016-16, “Income Tax (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory.” This ASU, which is part of the simplification initiative of the Financial Accounting Standards Board (“FASB”), is intended to reduce the complexity of U.S. GAAP and diversity in practice related to the tax consequences of certain types of intra-entity asset transfers, particularly those involving intellectual property. The adoption of ASU No. 2016-16 did not have any impact on the Company’s consolidated financial position, results of operations, and cash flows. Effective January 1, 2018, the Company adopted ASU No. 2016-15, “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments.” This ASU provides guidance on statement of cash flows presentation for eight specific cash flow issues where diversity in practice exists. The Company retrospectively adopted ASU No. 2018-15 resulting in a reclassification related to contingent consideration payments made after a business combination. The reclassification of $0.2 million from cash flows from financing activities to cash flows from operating activities is reflected in the Consolidated Statement of Cash Flows for the twelve month period ended December 31, 2017. Adoption of additional guidance under ASU No. 2016-15 did not have a material impact on the Company’s consolidated financial position, results of operations, and cash flows. Effective January 1, 2018, the Company adopted ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” which supersedes nearly all existing revenue recognition guidance. The core principle of this ASU is that revenue should be recognized to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Recently Issued In August 2018, the FASB issued ASU No. 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement.” This ASU is part of the FASB’s larger disclosure framework project intended to improve the effectiveness of financial statement footnote disclosure. ASU No. 2018-13 modifies required fair value disclosures related primarily to level 3 investments. This ASU is effective for annual periods beginning after December 15, 2019 and interim periods within those annual periods. The adoption of ASU No. 2018-13 is not expected to have a material effect on the Company’s consolidated financial position, results of operations, and cash flows. In June 2018, the FASB issued ASU No. 2018-07, “Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting.” This ASU expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. An entity should apply the requirements of Topic 718 to nonemployee awards except for specific guidance on inputs to an option pricing model and the attribution of cost. The ASU is effective for the fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. The adoption of ASU No. 2018-07 is not expected to have a material effect on the Company’s consolidated financial position, results of operations, and cash flows. In February 2018, the FASB issued ASU No. 2018-02, “Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.” The new guidance allows companies to reclassify stranded tax effects resulting from the Tax Cuts and Jobs Act (the “Tax Act”) from accumulated other comprehensive income to retained earnings. The guidance also requires certain new disclosures regardless of a company’s election. The standard is effective for annual periods beginning after December 15, 2018 and for interim periods within those annual periods, with earlier adoption permitted. The adoption of ASU No. 2018-02 is not expected to have a material effect on the Company’s consolidated financial position, results of operations, and cash flows. In May 2017, the FASB issued ASU No. 2017-09, “Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting.” This ASU amends the scope of modification accounting for share-based payment arrangements and provides guidance on the types of changes to the terms or conditions of share-based payment awards to which an entity would be required to apply modification accounting under Accounting Standards Codification (“ASC”) 718. The ASU is effective for the fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years. The adoption of ASU No. 2017-09 is not expected to have a material effect on the Company’s consolidated financial position, results of operations, and cash flows, if any. In January 2017, the FASB issued ASU No. 2017-04, “Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment.” This ASU eliminates Step 2 from the goodwill impairment test. Accordingly, if the carrying amount of a reporting unit exceeds its fair value, an impairment loss will be recognized in an amount equal to the excess, limited to the total amount of goodwill allocated to the reporting unit. The ASU is effective for the fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years. The Company is currently evaluating the effect the adoption of ASU No. 2017-04 will have on its consolidated financial position, results of operations, and cash flows, if any. In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326),” which introduces new guidance for the accounting for credit losses on instruments within its scope. Given the breadth of that scope, this ASU will impact both financial services and non-financial services entities. The standard is effective for fiscal years beginning after December 15, 2020. The Company is currently evaluating the effect the adoption of ASU No. 2016-13 will have on its consolidated financial position, results of operations, and cash flows, if any. In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842).” ASU No. 2016-02 requires that lessees recognize virtually all of their leases on the balance sheet, by recording a right-of-use asset and lease liability. The provisions of this guidance are effective for annual periods beginning after December 31, 2018, and for interim periods therein. The Company expects to adopt ASU No. 2016-02 upon its effective date of January 1, 2019 using the modified retrospective method and the Company will also elect the package of practical expedients. The Company anticipates the impact of adoption will be an increase to long-term assets and total liabilities of $14,000 to $15,000 as of January 1, 2019. Recently issued accounting guidance not discussed above is not applicable or did not have, or is not expected to have, a material impact to the Company. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 3. Fair Value Measurements: The Company applies a three-level valuation hierarchy for fair value measurements. This hierarchy prioritizes the inputs into three broad levels. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the asset or liability. Level 3 inputs are unobservable inputs based on management’s assumptions used to measure assets and liabilities at fair value. A financial asset’s or liability’s fair value measurement classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The following tables provide the assets and liabilities carried at fair value measured on a recurring basis at December 31, 2018 and December 31, 2017: Fair Value Measurements Using Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2018 Assets: Available-for-sale debt securities: Municipal notes and bonds $ 62,684 $ — $ 62,684 $ — Total assets $ 62,684 $ — $ 62,684 $ — Liabilities: Contingent consideration - acquisitions $ 2,060 $ — $ — $ 2,060 Foreign currency forward contracts 32 — 32 — Total liabilities $ 2,092 $ — $ 32 $ 2,060 December 31, 2017 Assets: Available-for-sale debt securities: Municipal notes and bonds $ 109,589 $ — $ 109,589 $ — Foreign currency forward contracts 45 — 45 — Total assets $ 109,634 $ — $ 109,634 $ — Liabilities: Contingent consideration - acquisitions $ 2,593 $ — $ — $ 2,593 Total liabilities $ 2,593 $ — $ — $ 2,593 The Company’s available-for-sale debt securities classified as Level 2 are valued using observable inputs to quoted market prices, benchmark yields, reported trades, broker/dealer quotes or alternative pricing sources with reasonable levels of price transparency. The foreign currency forward contracts are primarily measured based on the foreign currency spot and forward rates quoted by the banks or foreign currency dealers. Investment prices are obtained from third party pricing providers, which model prices utilizing the above observable inputs, for each asset class. Level 3 liabilities consisted of contingent consideration related to an acquisition for which the Company uses a discounted cash flow model to value these liabilities. The Level 3 assumptions used in the discounted cash flow model for the contingent consideration included projected revenue, timing of cash flows and estimates of discount rates of 9.2% and 8.6% for the years ended December 31, 2018 and 2017, respectively. A significant decrease in the projected revenue or increase in discount rates could result in a significantly lower fair value measurement for the contingent consideration. This table presents a reconciliation of all liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the year ended December 31, 2018: Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Balance at December 31, 2017 $ 2,593 Total loss due to remeasurement included in selling, general and administrative expense 1,010 Additions — Payments (1,543 ) Transfer into (out of) Level 3 — Balance at December 31, 2018 $ 2,060 See Note 4 for additional discussion regarding the fair value of the Company’s marketable securities. Fair Value of Other Financial Instruments The carrying value of cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities approximates fair value because of the short-term maturity of these instruments. The estimated fair value of these obligations is based, primarily, on a market approach, comparing the Company’s interest rates to those rates the Company believes it would reasonably receive upon re-entry into the market. Judgment is required to estimate the fair value using available market information and appropriate valuation methods. |
Marketable Securities
Marketable Securities | 12 Months Ended |
Dec. 31, 2018 | |
Marketable Securities [Abstract] | |
Marketable Securities | 4. Marketable Securities: The Company has evaluated its investment policies and determined that all of its marketable securities, which are comprised of debt securities, are to be classified as available-for-sale. The Company’s available-for-sale debt securities are carried at fair value, with the unrealized gains and losses reported in Stockholders’ equity under the caption “Accumulated other comprehensive loss.” Realized gains and losses on available-for-sale securities are included in “Other expense (income)” on the Consolidated Statements of Operations. The Company records other-than-temporary impairment charges for its available-for-sale debt securities when it intends to sell the securities, it is more-likely-than not that it will be required to sell the securities before a recovery, or when it does not expect to recover the entire amortized cost basis of the securities. The cost of securities sold is based on the specific identification method. The Company has determined that the gross unrealized losses on its marketable securities at December 31, 2018 and 2017 are temporary in nature. The Company reviews its investment portfolio to identify and evaluate marketable securities that have indications of possible impairment. Factors considered in determining whether a loss is other-than-temporary include the length of time and extent to which fair value has been less than the cost basis, credit quality and the Company’s ability and intent to hold the securities for a period of time sufficient to allow for any anticipated recovery in market value. At December 31, 2018 and 2017, marketable securities are categorized as follows: Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value December 31, 2018 Municipal notes and bonds $ 62,681 $ 43 $ 40 $ 62,684 Total marketable securities $ 62,681 $ 43 $ 40 $ 62,684 December 31, 2017 Municipal notes and bonds $ 109,750 $ — $ 161 $ 109,589 Total marketable securities $ 109,750 $ — $ 161 $ 109,589 The amortized cost and estimated fair value of marketable securities classified by the maturity date listed on the security, regardless of the Consolidated Balance Sheet classification, is as follows at December 31, 2018 and 2017: December 31, 2018 December 31, 2017 Amortized Cost Fair Value Amortized Cost Fair Value Due within one year $ 47,767 $ 47,732 $ 104,742 $ 104,605 Due after one through five years 14,914 14,952 5,008 4,984 Due after five through ten years — — — — Due after ten years — — — — Total marketable securities $ 62,681 $ 62,684 $ 109,750 $ 109,589 The following table summarizes the estimated fair value and gross unrealized holding losses of marketable securities, aggregated by investment instrument and period of time in an unrealized loss position, at December 31, 2018 and 2017. In Unrealized Loss Position For Less Than 12 Months In Unrealized Loss Position For Greater Than 12 Months Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses December 31, 2018 Municipal notes and bonds $ 27,952 $ 30 $ 4,671 $ 10 Total marketable securities $ 27,952 $ 30 $ 4,671 $ 10 December 31, 2017 Municipal notes and bonds $ 98,805 $ 161 $ — $ — Total marketable securities $ 98,805 $ 161 $ — $ — See Note 3 for additional discussion regarding the fair value of the Company’s marketable securities. |
Goodwill and Purchased Intangib
Goodwill and Purchased Intangible Assets | 12 Months Ended |
Dec. 31, 2018 | |
Identifiable Intangible Assets [Abstract] | |
Goodwill and Purchased Intangible Assets | 5. Goodwill The gross amount of goodwill at both December 31, 2018 and 2017 was $215,367. Reflecting an impairment charge of $192,872 in 2008, the carrying amount of goodwill totaled $22,495 and remained unchanged over both the years ended December 31, 2018 and 2017. Purchased Intangible Assets Purchased intangible assets as of December 31, 2018 and 2017 are as follows: Gross Carrying Amount Accumulated Amortization Net December 31, 2018 Finite-lived intangibles: Developed technology $ 66,177 $ 59,692 $ 6,485 Customer and distributor relationships 9,560 9,082 478 Trade names 4,361 3,876 485 Total identifiable intangible assets $ 80,098 $ 72,650 $ 7,448 December 31, 2017 Finite-lived intangibles: Developed technology $ 65,827 $ 58,522 $ 7,305 Customer and distributor relationships 9,560 8,818 742 Trade names 4,361 3,776 585 Total identifiable intangible assets $ 79,748 $ 71,116 $ 8,632 Intangible asset amortization expense amounted to $1,534 |
Convertible Note Receivable
Convertible Note Receivable | 12 Months Ended |
Dec. 31, 2018 | |
Receivables [Abstract] | |
Convertible Note Receivable | 6. Convertible Note Receivable: The Company entered into a convertible loan agreement with Simax Precision Technologies Limited (“Simax”) on May 31, 2018. Simax may borrow from the Company up to $15,000 in multiple promissory notes. The Company expects to be a supplier of lithography modules to Simax which is focused on the manufacture, sale and service of lithography systems. The convertible notes will bear a rate of interest of 4.25% per annum payable on a semi-annual basis. The convertible notes provide the Company with the option to convert the outstanding indebtedness into equity. If the Company does not elect to exercise its option to convert the notes, Simax will repay the principal amount outstanding and any outstanding interest in equal installments beginning on the fifth anniversary of the loan date and continuing on a quarterly basis over the next three years. As of December 31, 2018, the Convertible notes receivable balance was $5,000 with accrued interest of $41. |
Balance Sheet Details
Balance Sheet Details | 12 Months Ended |
Dec. 31, 2018 | |
Balance Sheet Detail [Abstract] | |
Balance Sheet Details | 7. Balance Sheet Details: Inventories Inventories are comprised of the following: December 31, 2018 2017 Materials $ 61,025 $ 39,765 Work-in-process 21,910 20,923 Finished goods 13,885 6,833 Total inventories $ 96,820 $ 67,521 The Company has established reserves of $11,678 and $13,035 at December 31, 2018 and 2017, respectively, for slow moving and obsolete inventory. During 2018, the Company recorded a net charge in cost of revenue of $3,042 for the write-down of inventory for excess parts, for older product lines and for parts that were rendered obsolete by design and engineering advancements. In 2018, the Company disposed of $4,398 of inventory. During 2017, the Company recorded a net charge in cost of revenue of $3,833 for the write-down of inventory for excess parts, for older product lines and for parts that were rendered obsolete by design and engineering advancements. In 2017, the Company disposed of $1,343 of inventory. Property, Plant and Equipment Property, plant and equipment, net, is comprised of the following: December 31, 2018 2017 Land and building $ 2,584 $ 2,584 Machinery and equipment 29,097 29,870 Furniture and fixtures 3,226 3,201 Computer equipment and software 7,906 5,444 Leasehold improvements 9,448 9,472 52,261 50,571 Accumulated depreciation (33,387 ) (33,229 ) Total property, plant and equipment, net $ 18,874 $ 17,342 Depreciation expense amounted to $4,848, $3,990 and $3,677 for the years ended December 31, 2018, 2017 and 2016, respectively. Other assets Other assets is comprised of the following: December 31, 2018 2017 Convertible note receivable $ 5,000 $ — Other 506 492 Total other assets $ 5,506 $ 492 Other current liabilities Other current liabilities is comprised of the following: December 31, 2018 2017 Contingent consideration - acquisitions $ 1,422 $ 634 Customer deposits 1,135 5,561 Accrued inventory 1,103 384 Intangible asset acquisition - Stella Alliance 150 100 Deferred rent 75 151 Other 3,658 2,454 Total other current liabilities $ 7,543 $ 9,284 Other non-current liabilities Other non-current liabilities is comprised of the following: December 31, 2018 2017 Unrecognized tax benefits (including interest) $ 5,409 $ 4,660 Contingent consideration - acquisitions 638 1,959 Deferred revenue 1,314 983 Deferred rent 1,405 750 Other 2,395 2,109 Total non-current liabilities $ 11,161 $ 10,461 |
Debt Obligations
Debt Obligations | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt Obligations | 8. Debt Obligations: On July 25, 2011, the Company issued $60,000 aggregate principal amount of 3.75% Convertible Senior Notes due 2016 (the “Notes”) at par. The Notes were issued pursuant to an indenture, dated as of July 25, 2011, between the Company and Bank of New York Mellon Trust Company, N.A., as Trustee, which included a form of Note. The Notes provided for the payment of interest semi-annually in arrears on January 15 and July 15 of each year, beginning January 15, 2012, at an annual rate of 3.75%. Concurrently with the issuance of the Notes, the Company purchased a convertible note hedge and sold a warrant. Each of the convertible note hedge and warrant transactions were entered into with an affiliate of the initial purchaser of the Notes. On July 15, 2016, the Company redeemed all of its outstanding 3.75% Convertible Senior Notes with an aggregate principle amount of $60,000. Under the terms of the indenture, holders of the Notes were paid cash up to the aggregate principal amount of the notes and were issued shares of common stock for the remainder of the conversion, with any fractional shares paid in cash. The conversion resulted in the issuance of 540 shares of common stock of the Company to the bondholders, but resulted in no dilution to Rudolph shareholders as these shares were covered by the convertible note hedge that was entered into by the Company in 2011 at the time of issuance of the Notes. The sale of the warrant gave the holder the right to purchase 4,634 shares of the Company’s common stock at a strike price of $17.00 per share. The warrant has a series of daily expiration dates beginning in October 2016 and ending in January 2017. From October 13, 2016 to December 31, 2016, the holder exercised 4,248 warrants, which settled for 80 shares of the Company’s common stock and $10,525 payable in cash, of which $9,500 was paid as of December 31, 2016 and $1,025 was paid in January 2017, at a weighted average stock price of $19.82 per share. The remaining 386 warrants were exercised in January 2017 by the holder for 102 shares of the Company’s common stock at a weighted average stock price of $23.13 per share. The following table presents the amount of interest cost recognized relating to the Notes during the years ended December 31, 2018, 2017 and 2016. December 31, 2018 2017 2016 Contractual interest coupon $ — $ — $ 1,186 Amortization of interest discount — — 1,893 Amortization of debt issuance costs — — 261 Total interest cost recognized $ — $ — $ 3,340 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies [Abstract] | |
Commitments and Contingencies | 9. Intellectual Property Indemnification Obligations The Company has entered into agreements with customers that include limited intellectual property indemnification obligations that are customary in the industry. These guarantees generally require the Company to compensate the other party for certain damages and costs incurred as a result of third party intellectual property claims arising from these transactions. The nature of the intellectual property indemnification obligations prevents the Company from making a reasonable estimate of the maximum potential amount it could be required to pay to its customers. Historically, the Company has not made any indemnification payments under such agreements and no amount has been accrued in the accompanying consolidated financial statements with respect to these indemnification guarantees. Warranty Reserves The Company generally provides a warranty on its products for a period of 12 to 15 months against defects in material and workmanship. The Company estimates the costs that may be incurred during the warranty period and records a liability in the amount of such costs at the time revenue is recognized. The Company’s estimate is based primarily on historical experience. The Company periodically assesses the adequacy of its recorded warranty liabilities and adjusts the amounts as necessary. Settlements of warranty reserves are generally associated with sales that occurred during the 12 to 15 months prior to the year-end and warranty accruals are related to sales during the same year. Changes in the Company’s warranty reserves are as follows: Year Ended December 31, 2018 2017 2016 Balance, beginning of the period $ 2,427 $ 1,788 $ 1,894 Accruals 3,486 3,464 2,405 Usage (3,472 ) (2,825 ) (2,511 ) Balance, end of the period $ 2,441 $ 2,427 $ 1,788 Legal Matters From time to time, the Company is subject to legal proceedings and claims in the ordinary course of business. As of December 31, 2018, there are no legal proceedings pending or threatened against the Company that management believes are likely to have a material adverse effect on the Company’s consolidated financial position or otherwise. Lease Agreements The Company rents space for its corporate headquarters, manufacturing and service operations and sales offices, which expire through 2029. Total rent expense for these facilities amounted to $3,311, $3,292 and $3,296 for the years ended December 31, 2018, 2017 and 2016, respectively. The Company also leases certain equipment pursuant to operating leases, which expire through 2023. Rent expense related to these leases amounted to $98, $111 and $99 for the years ended December 31, 2018, 2017 and 2016, respectively. Total future minimum lease payments under noncancelable operating leases as of December 31, 2018 amounted to $3,170 for 2019 2020 2021 2022 2023 Royalty Agreements Under various licensing agreements, the Company is obligated to pay royalties based on net sales of products sold. There are no minimum annual royalty payments. Royalty expense amounted to $1,904, $1,117 and $586 for the years ended December 31, 2018, 2017 and 2016, respectively. Open and Committed Purchase Orders The Company has open and committed purchase orders of $71,752 as of December 31, 2018. Line of Credit The Company has a credit agreement with a bank that provides for a line of credit which is secured by the marketable securities the Company has with the bank. The Company is permitted to borrow up to 70% of the value of eligible securities held at the time the line of credit is accessed. The available line of credit as of December 31, 2018 was approximately $93,920 with an available interest rate of 4.0%. The credit agreement is available to the Company until such time that either party terminates the arrangement at their discretion. The Company has not utilized the line of credit to date. |
Share-Based Compensation and Em
Share-Based Compensation and Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Share Based Compensation And Employee Benefit Plans [Abstract] | |
Share-Based Compensation and Employee Benefit Plans | 10. Share-Based Compensation Plans The Company’s share-based compensation plans are intended to attract and retain employees and to provide an incentive for them to assist the Company to achieve long-range performance goals and to enable them to participate in long-term growth of the Company. The Company settles restricted stock unit awards and stock option exercises with newly issued common shares. The Company established the 2018 Stock Plan (the “2018 Plan”) effective May 16, 2018. The 2018 Plan provides for the grant of 3,240 stock awards and stock options to employees, directors and consultants at an exercise price equal to or greater than the fair market value of the common stock on the date of grant. Shares of common stock available for future grants from a previous stock plan totaled 128 and were carried forward into the allocated balance of the 2018 Plan. Restricted stock units granted under the 2018 Plan typically vest over a three to five-year period for employees and one year for directors; however, other vesting periods are allowable under the 2018 Plan. Restricted stock units granted to employees have time based or performance based vesting. If options were to be granted under the 2018 Plan, they would typically grade vest over a five-year period and expire ten years from the date of grant. As of December 31, 2018, there were shares of common stock available for issuance pursuant to future grants under the 2018 Plan totaling 3,332. The Company established the 2009 Stock Plan (the “2009 Plan”) effective November 1, 2009. The 2009 Plan provided for the grant of 3,300 stock options and other stock awards to employees, directors and consultants at an exercise price equal to or greater than the fair market value of the common stock on the date of grant. Shares of common stock available for future grants from a previous stock plan totaled 2,558 and were carried forward into the allocated balance of the 2009 Plan. Options granted under the 2009 Plan typically grade vested over a five-year period and expire ten years from the date of grant. Restricted stock units granted under the 2009 Plan typically vest over a three to five-year period for employees and one year for directors; however, other vesting periods are allowable under the 2009 Plan. Restricted stock units granted to employees have time based or performance based vesting. In the second quarter of 2018, the 2009 Plan was terminated and therefore as of December 31, 2018, there were no shares of common stock available for issuance pursuant to future grants under the 2009 Plan. As of December 31, 2017, there were 2,049 shares of common stock available for issuance pursuant to future grants under the 2009 Plan. The following table reflects share-based compensation expense by type of award: Year Ended December 31, 2018 2017 2016 Share-based compensation expense: Restricted stock units, including all performance and market based awards $ 6,062 $ 5,433 $ 4,457 Stock options — 237 318 Total share-based compensation 6,062 5,670 4,775 Tax effect on share-based compensation 1,362 2,052 1,743 Net effect on net income $ 4,700 $ 3,618 $ 3,032 Effect on earnings per share: Basic $ (0.15 ) $ (0.11 ) $ (0.10 ) Diluted $ (0.15 ) $ (0.11 ) $ (0.10 ) Restricted Stock Unit Activity A summary of the Company’s restricted stock unit activity with respect to the years ended December 31, 2016, 2017 and 2018 follows: Number of Shares Weighted Average Grant Date Fair Value Nonvested at December 31, 2015 1,169 $ 11.40 Granted 429 $ 13.20 Vested (413 ) $ 10.80 Forfeited (49 ) $ 11.14 Nonvested at December 31, 2016 1,136 $ 12.30 Granted 280 $ 22.70 Vested (321 ) $ 11.90 Forfeited (81 ) $ 13.78 Nonvested at December 31, 2017 1,014 $ 14.88 Granted 283 $ 27.99 Vested (404 ) $ 14.26 Forfeited (99 ) $ 17.79 Nonvested at December 31, 2018 794 $ 19.51 Included in the number of shares granted in the table directly above are market performance-based restricted stock units (“MPRSUs”) granted to executives in the first quarters of 2018 and 2017. The MPRSUs cliff vest at the end of the three years period and have a maximum potential to vest at 200% based on TSR performance. The related share-based compensation expense is determined based on the estimated fair value of the underlying shares on the date of grant and is recognized straight-line over the vesting term. The following table provides details of the MPRSUs granted during the twelve month periods ended December 31, 2018 and 2017: Year Ended December 31, 2018 2017 Granted 53 38 Maximum vest potential shares 105 76 Estimated fair value per share $ 30.76 $ 25.30 As of December 31, 2018, there was $9,517 of total unrecognized compensation cost related to restricted stock units granted under the plans. That cost is expected to be recognized over a weighted average period of 2.1 years. Stock Option Activity A summary of the Company’s stock option activity with respect to the years ended December 31, 2016, 2017 and 2018 follows: Shares Weighted Average Exercise Price Per Share Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value Outstanding at December 31, 2015 490 $ 9.46 Granted — — Exercised (231 ) 7.76 Expired (44 ) 14.74 Forfeited — — Outstanding at December 31, 2016 215 10.19 Granted — — Exercised (142 ) 9.14 Expired — — Forfeited — — Outstanding at December 31, 2017 73 $ 12.22 Granted — — Exercised (26 ) Expired — — Forfeited — — Outstanding at December 31, 2018 47 $ 12.22 4.0 $ 384 Vested or expected to vest at December 31, 2018 47 $ 12.22 4.0 $ 384 Exercisable at December 31, 2018 47 $ 12.22 4.0 $ 384 The total intrinsic value of the stock options exercised during 2018, 2017 and 2016 was $384, $853 and $1,312, respectively. All options outstanding and exercisable at December 31, 2018 had an exercise price of $12.22. As of December 31, 2018, there was no unrecognized compensation cost related to stock options granted under the plans. Non-Employee Stock Options At December 31, 2018 and 2017, the fair value of outstanding stock options to non-employees was $126 and $268, respectively. Employee Stock Purchase Plan The Company established an Employee Stock Purchase Plan (the “ESPP”) effective November 1, 2018. The Company’s prior employee stock purchase plan, effective November 1, 2009 was terminated in the fourth quarter of 2018. Under the terms of the ESPP, eligible employees may have up to 15% of eligible compensation deducted from their pay and applied to the purchase of shares of Company common stock. The price the employee must pay for each share of stock will be 95% of the fair market value of Company common stock at the end of the applicable six-month purchase period. The ESPP is intended to qualify under Section 423 of the Internal Revenue Code and is a non-compensatory plan as defined by FASB ASC 718, “Stock Compensation.” No stock-based compensation expense attributable to employee stock purchase plan was recorded for the years ended December 31, 2018, 2017 and 2016. Through the Company’s employee stock purchase plans, employees purchased 13, 11 and 15 shares during the twelve months ended December 31, 2018, 2017 and 2016, respectively. As of December 31, 2018 and 2017, there were 1,500 and 2,251 shares available for issuance under the Company’s employee stock purchase plans, respectively. 401(k) Savings Plan The Company has a 401(k) savings plan that allows employees to contribute up to 100% of their annual compensation to the Plan on a pre-tax or after tax basis, limited to a maximum annual amount as set periodically by the Internal Revenue Service. The plan provides a 50% match of all employee contributions up to 6 percent of the employee’s salary. Company matching contributions to the plan totaled $1,118, $1,047 and $1,017 for the years ended December 31, 2018, 2017 and 2016, respectively. Profit Sharing Program The Company has a profit sharing program, wherein a percentage of pre-tax profits, at the discretion of the Board of Directors, is provided to all employees who have completed a stipulated employment period. The Company did not make contributions to this program for the years ended December 31, 2018, 2017 and 2016. |
Other Expense (Income), Net
Other Expense (Income), Net | 12 Months Ended |
Dec. 31, 2018 | |
Other Income Expense [Abstract] | |
Other Expense (Income), Net | 11. Other Expense (Income), Net: Other expense (income), net is comprised of the following: Year Ended December 31, 2018 2017 2016 Foreign currency exchange losses (gains), net $ 255 $ 457 $ 592 Gain on casualty insurance claim (302 ) — — Other (9 ) — (946 ) Total other expense (income), net $ (56 ) $ 457 $ (354 ) |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Taxes [Abstract] | |
Income Taxes | 12. The components of income tax expense are as follows: Year Ended December 31, 2018 2017 2016 Current: Federal $ 4,423 $ 6,020 $ 6,084 State 1,038 507 983 Foreign 626 3,159 838 6,087 9,686 7,905 Deferred: Federal 1,961 17,034 4,765 State (73 ) 643 184 Foreign 275 (470 ) 62 2,163 17,207 5,011 Total income tax expense $ 8,250 $ 26,893 $ 12,916 The income before tax is comprised of the following: Year Ended December 31, 2018 2017 2016 Domestic operations $ 49,089 $ 57,079 $ 47,599 Foreign operations $ 4,257 $ 2,723 $ 2,269 The provision for income taxes differs from the amount of income tax determined by applying the applicable U.S. federal income tax rate of 21% for the year ended December 31, 2018, and 35% for years ended December 31, 2017 and 2016 to income before provision for income taxes as follows: Year Ended December 31, 2018 2017 2016 Federal income tax provision at statutory rate $ 11,203 $ 20,931 $ 17,454 State taxes, net of federal effect 747 573 822 Foreign taxes, net of federal effect 17 (238 ) (1,613 ) Domestic manufacturing benefit — (1,569 ) (1,244 ) FDII Deduction, related to the Tax Act (2,217 ) — — GILTI income net of S250 deduction, related to the Tax Act 113 — — Section 162(m) 526 — — Research tax credit (2,298 ) (1,559 ) (692 ) Deferred tax true-up 57 41 (1,644 ) Remeasurement of deferred tax balances, related to the Tax Act (33 ) 8,020 — Transition tax on foreign earnings, related to the Tax Act 138 (106 ) — Other (3 ) 800 (167 ) Provision for income taxes $ 8,250 $ 26,893 $ 12,916 Effective tax rate 15 % 45 % 26 % The U.S. government enacted the Tax Act on December 22, 2017. The Tax Act makes broad and complex changes to the U.S. tax code that affected 2017, including, but not limited to, (1) requiring a one-time transition tax on certain unrepatriated earnings of foreign subsidiaries that is payable over eight years and (2) bonus depreciation that will allow for full expensing of qualified property. The Tax Act also establishes new tax laws that affected 2018, including, but not limited to, (1) reduction of the U.S. federal corporate tax rate; (2) the creation of the Base Erosion and Anti-Abuse (“BEAT”), a new minimum tax; (3) a general elimination of U.S. federal income taxes on dividends from foreign subsidiaries; (4) a new provision designed to tax Global Intangible Low-Taxed Income (“GILTI”), which allows for the possibility of using foreign tax credits and a deduction of up to 50 percent to offset the income tax liability (subject to some limitations); (5) the repeal of the domestic production activity deduction; (6) limitations on the deductibility of certain executive compensation; (7) limitations on the use of foreign tax credits to reduce the U.S. income tax liability; and (8) a new provision designed to allow a benefit for the foreign-derived intangible income (“FDII”). In 2018 we evaluated the effects and have determined what accounting policies needed to change and we have calculated the impact of the above provisions. At December 31, 2018, the Company has completed its accounting for the tax effects of enactment of the Tax Act and, therefore, recorded final adjustments as follows: • Reduction of U.S. federal corporate tax rate: The Tax Act reduces the corporate tax rate to 21 percent, effective January 1, 2018. For certain of its deferred tax assets and deferred tax liabilities, the Company has recorded a provisional decrease of $8.0 million, respectively, with a corresponding net adjustment to deferred income tax expense of $8.0 million for the year ended December 31, 2017. During the fourth quarter of 2018, the Company completed the accounting for such revaluation and determined that no adjustment was required. Despite the completion of the Company’s accounting for the Tax Act under SAB 118, many aspects of the law remain unclear and the Company expects ongoing guidance to be issued at both the federal and state levels. The Company will continue to monitor and assess the impact of any new developments. • Transition tax: The transition tax is a tax on previously deferred earnings and profits (“E&P”) of certain of its foreign subsidiaries. To determine the amount of the transition tax, the Company must determine, in addition to other factors, the amount of post-1986 E&P of the relevant subsidiaries, as well as the amount of non-U.S. income taxes paid on such earnings. The Company was able to make a reasonable estimate of the transition tax in the prior year ended on December 31, 2017 and recorded a provisional transition tax obligation of $1.5 million with a corresponding adjustment to current income tax expense. The Company also computed a Section 78 foreign tax credit from the post-1986 E&P of the relevant subsidiaries that resulted in a current income tax benefit of $1.5 million. An additional $0.1 million was expensed in the third quarter of 2018 due to finalization of the prior year provisional Tax Act calculations. • Valuation allowances: The Company, as of December 31, 2017, had to assess whether its valuation allowance analyses are affected by various aspects of the Tax Act. Since, as discussed herein, the Company has recorded provisional amounts related to certain portions of the Tax Act, any corresponding determination of the need for or change in a valuation allowance is also provisional. The Company concluded that with all the facts that are available at this point in time that that a full valuation allowance on all carry forward foreign tax credits were needed. The Company recorded the valuation allowance as of December 31, 2017 in the amount of $1.5 million with a corresponding adjustment to current income tax expense. Per the completion of the analysis in 2018, the Company concluded that a full valuation allowance of the foreign tax credits is still required against such deferred tax assets. As of December 31, 2018, the Company’s foreign tax credit carry forwards have a full valuation allowance recorded in the amount of $2.2 million. Deferred tax assets and liabilities are comprised of the following: December 31, 2018 2017 Research and development credit carryforward $ 198 $ 216 Reserves and accruals not currently deductible 1,969 1,883 Deferred revenue 1,201 1,075 Domestic net operating loss carryforwards 832 892 Foreign net operating loss and credit carryforwards 3,146 2,551 Intangibles 4,402 5,388 Share-based compensation 1,259 1,500 Inventory obsolescence reserve 2,774 3,260 Other 810 1,135 Gross deferred tax assets 16,591 17,900 Valuation allowance for deferred tax assets (3,172 ) (2,447 ) Deferred tax assets after valuation allowance 13,419 15,453 Gross deferred tax liabilities (609 ) (574 ) Net deferred tax assets $ 12,810 $ 14,879 At December 31, 2018 and 2017, the Company had recorded valuation allowances of $3,172 and $2,447, respectively, on certain of the Company’s deferred tax assets to reflect the deferred tax assets at the net amount that is more likely than not to be realized. The Company recorded a full valuation allowance on all foreign tax credits as of December 31, 2018 in the amount of $2,155, as well as increases to China net operating loss valuation allowance in the amount of $112 based on current year utilization and offset by write-downs of expired net operating losses. In assessing the realizability of deferred tax assets, the Company uses a more likely than not standard. If it is determined that it is more-likely-than-not that deferred tax assets will not be realized, a valuation allowance must be established against the deferred tax assets. The ultimate realization of the assets is dependent on the generation of future taxable income during the periods in which the associated temporary differences become deductible. Management considers the scheduled reversal of deferred income tax liabilities, projected future taxable income and tax planning strategies when making this assessment. In making the determination that it is more likely than not that the Company’s deferred tax assets will be realized as of December 31, 2018, the Company relied primarily on projected future taxable income. At December 31, 2018, the Company had federal, state and foreign net operating loss carryforwards of $497, $205 and $990, respectively. The federal, state and foreign net operating loss carryforwards expire on various dates through December 31, 2032, December 31, 2032 and December 31, 2026, respectively. At December 31, 2018, the Company had federal and state research & development credits and foreign tax credit carryforwards of $0, $318 and $2,155, respectively. The state research & development credits are set to expire at various dates through December 21, 2024. The foreign tax credit is set to expire at various dates through December 31, 2028. A provision has not been made at December 31, 2018 for U.S. nor foreign withholding taxes recorded on approximately $7,914 of undistributed earnings of the Company’s foreign subsidiaries in Europe and Japan nor on any additional outside basis differences inherent in these entities because it is the present intention of management to permanently reinvest these undistributed earnings. The estimated amount of additional tax would not be expected to have a significant impact on the Company’s results of operations. The total amount of unrecognized tax benefits are as follows: December 31, 2018 2017 2016 Balance, beginning of the period $ 4,880 $ 4,827 $ 5,236 Gross increases—tax positions in prior period 496 171 118 Gross decreases—tax positions in prior period (61 ) (362 ) (735 ) Gross increases—current-period tax positions 213 244 208 Lapse of statute of limitations — — — Balance, end of the period $ 5,528 $ 4,880 $ 4,827 Included in the Company’s unrecognized tax benefit ending balance at December 31, 2018 and 2017 are unrecognized tax benefits of $4,995 and $4,403, respectively, which would be reflected as an adjustment to income tax expense if recognized. The year over year increase from 2017 to 2018 is primarily due to additional unrecognized tax benefits related to federal tax exposures. It is reasonably possible that certain amounts of unrecognized tax benefits may reverse in the next 12 months; however, the Company does not expect such reversals to have a significant impact on its results of operations or financial position. The Company recognizes accrued interest and penalties related to unrecognized tax benefits in income tax expense. During the years ended December 31, 2018, 2017 and 2016, the Company recognized approximately $199, $246 and $76, respectively, in interest and penalties expense associated with uncertain tax positions. As of December 31, 2018 and 2017, the Company had accrued interest and penalties expense related to unrecognized tax benefits of $1,445 and $1,190, respectively. The Company is subject to U.S. federal income tax as well as income tax in multiple state and foreign jurisdictions. The Company files U.S. federal, U.S. state and foreign tax returns. For U.S. federal tax purposes, the Company is generally no longer subject to tax examinations for years 2014 and prior. For U.S. state tax returns, the Company is generally no longer subject to tax examinations for years 2013 and prior. For foreign tax purposes, the Company is generally no longer subject to examination for tax periods 2013 and prior. Certain carryforward tax attributes generated in prior years remain subject to examination and adjustment. The Company believes that adequate amounts have been reserved for any adjustments that may ultimately result from any future examinations of these years. In the normal course of business, the Company is subject to tax audits in various jurisdictions, and such jurisdictions may assess additional income taxes or other taxes against it. Although the Company believes its tax estimates are reasonable, the final determination of tax audits and any related litigation could be materially different from the Company’ s historical income tax provisions and accruals. The results of an audit or litigation could have a material adverse effect on the Company’ s results of operations or cash flows in the period or periods for which that determination is made. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Dec. 31, 2016 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Accumulated Other Comprehensive Loss | 13. Accumulated Other Comprehensive Loss: Comprehensive income includes net income, foreign currency translation adjustments, and net unrealized gains and losses on available-for-sale debt securities. See the Consolidated Statements of Comprehensive Income for the effect of the components of comprehensive income on the Company’s net income. The components of accumulated other comprehensive loss, net of tax, are as follows: Foreign currency translation adjustments Net unrealized (gains) losses on marketable securities Accumulated other comprehensive loss (income) Balance at December 31, 2016 $ 2,742 $ 37 $ 2,779 Net current period other comprehensive income (1,663 ) 89 (1,574 ) Reclassifications — — — Balance at December 31, 2017 1,079 126 1,205 Net current period other comprehensive loss 194 (136 ) 58 Reclassifications — — — Balance at December 31, 2018 $ 1,273 $ (10 ) $ 1,263 |
Segment Reporting and Geographi
Segment Reporting and Geographic Information | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting And Geographic Information [Abstract] | |
Segment Reporting and Geographic Information | 14. The Company is engaged in the design, development, manufacture and support of high-performance control metrology, defect inspection, advanced packaging lithography and data analysis systems used by microelectronics device manufacturers. The Company and its subsidiaries currently operate in a single operating segment: the design, development, manufacture and support of high-performance process control defect inspection and metrology, advanced packaging lithography and process control software systems used by microelectronics device manufacturers. Therefore the Company has one reportable segment. The Company’s chief operating decision maker is the Chief Executive Officer (the “CEO”). The CEO allocates resources and assesses performance of the business and other activities at the reportable segment level. The following table lists the different sources of revenue: Year Ended December 31, 2018 2017 2016 Systems and Software: Process control $ 190,098 70 % $ 177,177 70 % $ 146,652 63 % Lithography 14,975 5 % 14,234 5 % 18,949 8 % Software licensing, support and maintenance 29,168 11 % 25,473 10 % 29,795 13 % Parts 28,658 10 % 27,143 11 % 25,343 11 % Services 10,885 4 % 11,071 4 % 12,041 5 % Total revenue $ 273,784 100 % $ 255,098 100 % $ 232,780 100 % The Company’s significant operations outside the United States include sales, service and application offices in Europe and Asia. For geographical revenue reporting, revenue is attributed to the geographic location in which the product is shipped. Revenue by geographic region is as follows: Year Ended December 31, 2018 2017 2016 Revenue from third parties: United States $ 43,944 $ 36,104 $ 30,876 Taiwan 45,312 63,079 68,211 South Korea 51,750 44,180 15,556 Singapore 14,371 12,775 35,517 Austria 719 2,601 2,049 Japan 22,361 18,943 11,875 Germany 14,913 15,580 9,759 China 63,243 35,925 33,720 Other Europe 11,541 21,167 18,720 Other Asia 5,630 4,744 6,497 Total revenue $ 273,784 $ 255,098 $ 232,780 In 2018, sales to SK Hynix Inc. accounted for 12.2% of the Company’s revenue. No individual end user customer accounted for more than 10% of the Company’s revenue in 2017 and 2016. The Company does not have purchase contracts with any of its customers that obligate them to continue to purchase its products. At December 31, 2018 and 2017, no individual customer accounted for more than 10% of net accounts receivable. Substantially all of the Company’s long-lived assets are located within the United States of America. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Loss Per Share [Abstract] | |
Earnings Per Share | 15. Basic earnings per share is calculated using the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed in the same manner and also gives effect to all dilutive common stock equivalent shares outstanding during the period. Potential common shares that would have the effect of increasing diluted earnings per share are considered to be anti-dilutive. In accordance with U.S. GAAP, these shares were not included in calculating diluted earnings per share. For the year ended December 31, 2018, the weighted average number of restricted stock units and stock options excluded from the computation of diluted earnings per share were 52 and 0, respectively. For the year ended December 31, 2017, the weighted average number of restricted stock units and stock options excluded from the computation of diluted earnings per share were 8 and 0, respectively. For the year ended December 31, 2016, the weighted average number of restricted stock units and stock options excluded from the computation of diluted earnings per share were 0 and 39, respectively. For the years ended December 31, 2017 and 2016, diluted earnings per share-weighted average shares outstanding included the effect resulting from assumed conversion of the Notes and warrants. The Company’s basic and diluted earnings per share amounts are as follows: December 31, 2018 2017 2016 Numerator: Net income $ 45,096 $ 32,909 $ 36,952 Denominator: Basic earnings per share - weighted average shares outstanding 31,671 31,491 31,128 Effect of potential dilutive securities: Restricted stock units and stock options - dilutive shares 529 670 467 Convertible senior notes - dilutive shares — — 103 Warrants - dilutive shares — 1 92 Diluted earnings per share - weighted average shares outstanding 32,200 32,162 31,790 Earnings per share: Basic $ 1.42 $ 1.05 $ 1.19 Diluted $ 1.40 $ 1.02 $ 1.16 |
Share Repurchase Authorization
Share Repurchase Authorization | 12 Months Ended |
Dec. 31, 2018 | |
Share Repurchase Program [Abstract] | |
Share Repurchase Authorization | 16. Shares Repurchase Authorization: In October 2018, the Board of Directors approved a new share repurchase authorization, which allows the Company to repurchase up to $ 40,000 worth of shares of its common stock. The authorization provides for repurchases to be made in the open market or through negotiated transactions from time to time. The share repurchase authorization has no expiration date and may be discontinued at any time. In addition, during the fourth quarter of 2018, the Company completed the purchase of the remaining shares available under the prior 3,000 share repurchase authorization. During the twelve months ended December 31, 2018, the Company repurchased 1,061 shares of common stock under its two share repurchase authorizations and those shares were subsequently retired. At December 31, 2018, there were $33,239 available for future share repurchases. The following table summarizes the Company’s stock repurchases for December 31, 2018, 2017 and 2016: Year Ended December 31, 2018 2017 2016 Shares of common stock repurchased 1,061 — 615 Cost of stock repurchased $ 21,069 $ - $ 8,044 Average price paid per share $ 19.86 $ - $ 13.07 |
Quarterly Consolidated Financia
Quarterly Consolidated Financial Data (unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Consolidated Financial Data Unaudited [Abstract] | |
Quarterly Consolidated Financial Data (unaudited) | 17. Quarterly Consolidated Financial Data (unaudited): The following tables present certain unaudited consolidated quarterly financial information for the years ended December 31, 2018 and 2017. In the opinion of the Company’s management, this quarterly information has been prepared on the same basis as the consolidated financial statements and includes all adjustments (consisting only of normal recurring adjustments) necessary to present fairly the information for the periods presented. The results of operations for any quarter are not necessarily indicative of results for the full year or for any future period. Year-over-year quarterly comparisons of the Company’s results of operations may not be meaningful, as the sequential quarterly comparisons set forth below tend to reflect the cyclical activity of the semiconductor industry as a whole. Other quarterly fluctuations in expenses are related directly to sales activity and volume and may also reflect the timing of operating expenses incurred throughout the year, and changes in tax rates. Quarters Ended March 31, 2018 June 30, 2018 September 30, 2018 December 31, 2018 Total Revenue $ 73,096 $ 77,476 $ 60,432 $ 62,780 $ 273,784 Gross profit 42,421 41,736 31,454 32,668 148,279 Income before income taxes 17,674 17,290 8,368 10,014 53,346 Net income 15,130 14,697 7,187 8,082 45,096 Income per share: Basic $ 0.48 $ 0.46 $ 0.23 $ 0.26 $ 1.42 Diluted $ 0.47 $ 0.45 $ 0.22 $ 0.26 $ 1.40 Weighted average number of shares outstanding: Basic 31,662 31,859 31,901 31,268 31,671 Diluted 32,317 32,437 32,408 31,645 32,200 Quarters Ended March 31, 2017 June 30, 2017 September 30, 2017 December 31, 2017 Total Revenue $ 60,679 $ 67,418 $ 66,920 $ 60,081 $ 255,098 Gross profit 31,868 35,456 35,145 32,126 134,595 Income before income taxes 9,607 12,752 25,663 11,780 59,802 Net income (loss) 7,151 9,193 17,369 (804 ) 32,909 Income (loss) per share: Basic $ 0.23 $ 0.29 $ 0.55 $ (0.03 ) $ 1.05 Diluted $ 0.22 $ 0.29 $ 0.54 $ (0.03 ) $ 1.02 Weighted average number of shares outstanding: Basic 31,290 31,501 31,571 31,597 31,491 Diluted 32,058 32,146 32,170 31,597 32,162 |
Schedule of Valuation and Quali
Schedule of Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2018 | |
Valuation And Qualifying Accounts [Abstract] | |
Schedule of Valuation and Qualifying Accounts Disclosure | SCHEDULE OF VALUATION AND QUALIFYING ACCOUNTS (In thousands) Column A Column B Column C Column D Column E Description Balance at Beginning of Period Charged to (Recovery of) Costs and Expense Charged to Other Accounts (net) Deductions Balance at End of Period Year 2018: Allowance for doubtful accounts $ 460 $ 293 $ — $ 62 $ 691 Deferred tax valuation allowance 2,447 725 — — 3,172 Year 2017: Allowance for doubtful accounts $ 680 $ (222 ) $ — $ (2 ) $ 460 Deferred tax valuation allowance 1,924 626 (103 ) — 2,447 Year 2016: Allowance for doubtful accounts $ 713 $ 5 $ — $ 38 $ 680 Deferred tax valuation allowance 2,205 71 (352 ) — 1,924 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Summary Of Significant Accounting Policies [Abstract] | |
Consolidation | A. Consolidation: The consolidated financial statements reflect the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated. |
Revenue Recognition | B. Revenue Recognition: Adoption of ASC Topic 606, “Revenue from Contracts with Customers” On January 1, 2018, the Company adopted Topic 606 using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The Company did not record a cumulative impact due to the adoption of Topic 606. Revenue Recognition Revenue is recognized when control of the promised goods or services are transferred to the Company’s customers in an amount that reflects the consideration the Company expects to be entitled to receive in exchange for those goods or services. The Company accounts for a contract when it has approval and commitment from both parties, the rights of the parties and payment terms are identified, the contract has commercial substance and collectability of consideration is probable. The Company has elected to account for shipping and handling activities as the fulfillment of a promise to transfer goods to the customer and therefore records these activities under the caption “Cost of revenue.” Sales tax and any other taxes collected concurrent with revenue producing activities are excluded from revenue. Incidental items that are immaterial in the context of the contract are recognized as expense. These accounting policy elections are consistent with the manner in which the Company has historically recorded these items. Contracts with customers may include multiple performance obligations. For such arrangements, the Company allocates revenue to each performance obligation based on its relative standalone selling price. The Company generally determines standalone selling prices based on the prices charged to customers or the expected cost plus margin. Disaggregated Revenue The following table presents the Company’s revenue disaggregated by revenue source: Year Ended December 31, 2018 2017 2016 Systems $ 205,073 $ 191,411 $ 165,601 Software licensing, support and maintenance 29,168 25,473 29,795 Parts 28,658 27,143 25,343 Services 10,885 11,071 12,041 Total revenue $ 273,784 $ 255,098 $ 232,780 The following table represents a disaggregation of revenue by timing of revenue: Year Ended December 31, 2018 Point-in-time $ 257,124 Over-time 16,660 Total revenue $ 273,784 See Note 14 of the Notes to the Consolidated Financial Statements for additional discussion of the Company’s disaggregated revenue in detail. Systems Revenue Revenue from systems is recognized when the Company transfers control of the product to the customer. To indicate transfer of control, the Company must have a present right to payment, legal title must have passed to the customer and the customer must have the significant risks and rewards of ownership. The Company generally transfers control for system sales when the customer or the customer’s agent picks up the system at the Company’s facility. Payment for the majority of the Company’s systems have 80-90% of the invoice amount due within 30 days and the remaining amount due upon completion of installation, recalibration and qualification by the customer. The Company provides an assurance warranty on its systems for a period of twelve to fifteen months against defects in material and workmanship. The Company provides for the estimated cost of product warranties at the time revenue is recognized. Depending on the terms of the systems arrangement, the Company may also defer the recognition of a portion of the consideration expected to be received because the Company has to satisfy a future obligation (e.g., installation, training and extended warranties). The Company uses an observable price to determine the standalone selling price for separate performance obligations or a cost plus margin approach when one is not available. Software Licensing, Support and Maintenance Revenue Revenue from software licenses provides the customer with a right to use the software as it exists when made available to the customer. Revenue from software licenses are recognized upfront at the point in time when the software is made available to the customer. Revenue from licensing support and maintenance is recognized as the support and maintenance are provided, which is over the contract period. Payment for software licensing, support and maintenance is generally due in 30 days. Parts Revenue Revenue from parts is recognized when the Company transfers control of the product, which typically occurs when the Company ships the product from its facilities to the customer. Payment for parts is generally due in 30 days. Services Revenue Revenue from services primarily consists of service contracts, which provide additional maintenance coverage beyond the Company’s assurance warranty on its products, service labor, consulting and training. Revenue from service contracts is recognized ratably over the term of the service contract. Revenue from service labor, consulting and training is recognized as services are performed. Payment for services is generally due in 30 days. Contract Liabilities The Company records contract liabilities when the customer has been billed in advance of the Company completing its performance obligations. These amounts are recorded as deferred revenue in the Consolidated Balance Sheets. Changes in deferred revenue were as follows: Year Ended December 31, 2018 Balance, beginning of the period $ 7,206 Deferral of revenue 19,326 Recognition of deferred revenue (18,452 ) Balance, ending of the period $ 8,080 Practical Expedients The Company generally expenses sales commissions when incurred because the amortization period is one year or less. These costs are recorded within selling, general and administrative expenses. The Company does not adjust the amount of consideration for the effects of a significant financing component as the payment terms are generally one year or less. The Company does not disclose the value of remaining performance obligations for contracts with an original expected length of one year or less and contracts for which the Company recognizes revenue in the amount to which it has the right to invoice. |
Estimates | C. Estimates: The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Significant estimates made by management include the allowance for doubtful accounts, excess and obsolete inventory, fair value of assets acquired and liabilities assumed in a business combination (including contingent consideration), recoverability and useful lives of property, plant and equipment and identifiable intangible assets, recoverability of goodwill, recoverability of deferred tax assets, liabilities for product warranty, contingencies, including litigation reserves and share-based payments and liabilities for tax uncertainties. Actual results could differ from those estimates. |
Cash and Cash Equivalents | D. Cash and Cash Equivalents: Cash and cash equivalents include cash and highly liquid debt instruments with original maturities of three months or less when purchased. |
Marketable Securities | E. Marketable Securities: The Company determined that all of its investment securities are to be classified as available-for-sale. Available-for-sale debt securities are carried at fair value, with the unrealized gains and losses reported in stockholders’ equity under the caption “Accumulated other comprehensive loss.” Realized gains and losses and, interest and dividends on available-for-sale securities are included in interest income and other, net. Available-for-sale securities are classified as current assets regardless of their maturity date if they are available for use in current operations. The Company reviews its investment portfolio to identify and evaluate investments that have indications of possible impairment. Factors considered in determining whether a loss is other-than-temporary include the length of time and extent to which fair value has been less than the cost basis, credit quality and the Company’s ability and intent to hold the investment for a period of time sufficient to allow for any anticipated recovery in market value. When a decline in fair value is determined to be other-than-temporary, unrealized losses on available-for-sale securities are charged against earnings. The specific identification method is used to determine the gains and losses on marketable securities. For additional information on the Company’s marketable securities, see Note 4 of Notes to the Consolidated Financial Statements. |
Allowance for Doubtful Accounts | F. Allowance for Doubtful Accounts: The Company evaluates the collectability of accounts receivable based on a combination of factors. Where the Company is aware of circumstances that may impair a specific customer’s ability to meet its financial obligation, the Company records a specific allowance against amounts due, thereby reducing the net recognized receivable to the amount management reasonably believes will be collected. For all other customers, the Company recognizes allowances for doubtful accounts based on the length of time the receivables are outstanding, industry and geographic concentrations, the current business environment and historical experience. |
Inventories | G. Inventories: Inventories are stated at the lower of cost or net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less predictable costs of completion, disposal and transportation. Cost is generally determined on a first-in, first-out basis, and includes material, labor and manufacturing overhead costs. The Company reviews and sets standard costs as needed, but at a minimum, on an annual basis, at current manufacturing costs in order to approximate actual costs. The Company evaluates inventories for excess quantities and obsolescence. The Company establishes inventory reserves when conditions exist that suggest that inventory may be in excess of anticipated demand or is obsolete based upon assumptions about historical and future demand for the Company’s products and market conditions. In addition, inventories are evaluated for potential obsolescence due to the effect of known and anticipated engineering design changes. Once a reserve has been established, it is maintained until the item to which it relates is scrapped or sold. |
Property Plant and Equipment | H. Property, Plant and Equipment: Property, plant and equipment are stated at cost. Depreciation of property, plant and equipment is computed using the straight-line method over the estimated useful lives of the assets, which are fifteen years for buildings, four to seven years for machinery and equipment, seven years for furniture and fixtures, and three years for computer equipment. Leasehold improvements are amortized using the straight-line method over the lesser of the lease term or the estimated useful life of the related asset. Repairs and maintenance costs are expensed as incurred and major renewals and betterments are capitalized. |
Impairment of Long-Lived Assets | I. Impairment of Long-Lived Assets: Long-lived assets, such as property, plant, and equipment, and identifiable acquired intangible assets with definite useful lives, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized in the amount by which the carrying amount of the asset exceeds the fair value of the asset, which is generally based on discounted cash flows. |
Goodwill and Intangible Assets | J. Goodwill and Intangible Assets: Intangible assets with finite useful lives are amortized using the straight-line method over their estimated useful lives. Goodwill and intangible assets with indefinite useful lives are not amortized but are tested for impairment at least annually and when there are indications of impairment. Goodwill impairment is deemed to exist if the net book value of a reporting unit exceeds its estimated fair value. The Company has the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the Company elects this option and after assessing the totality of events or circumstances, the Company determines that it is not likely that the fair value of its reporting unit is less than its carrying amount, then performing the two-step impairment test is unnecessary. The Company has not elected this option to date. The Company estimates the fair value of its reporting unit using the market value of its common stock at October 31 multiplied by the number of outstanding common shares (market capitalization) and an implied control premium as if it were to be acquired by a single stockholder. The Company also obtains information on completed sales of similar companies in the related industry to estimate the implied control premium for the Company. If the results of the initial market capitalization test produce results that are below the reporting unit carrying value, the Company will also consider if the market capitalization is temporarily low and, if so, we may also perform a discounted cash flow test. The Company tested for goodwill impairment on October 31, 2018. No impairments were noted. For additional information on the Company’s goodwill and purchased intangible assets, see Note 5 of Notes to the Consolidated Financial Statements. |
Concentration of Credit Risk | K. Concentration of Credit Risk: Financial instruments, which potentially subject the Company to concentrations of credit risk, consist primarily of accounts receivable, cash and cash equivalents and marketable securities. The Company performs ongoing credit evaluations of its customers and generally does not require collateral for sales on credit. The Company maintains allowances for potential credit losses. The Company maintains cash and cash equivalents and marketable securities with higher credit quality issuers and monitors the amount of credit exposure to any one issuer. |
Warranties | L. Warranties: The Company generally provides a warranty on its products for a period of twelve to fifteen months against defects in material and workmanship. The Company provides for the estimated cost of product warranties at the time revenue is recognized. |
Income Taxes | M. Income Taxes: The Company accounts for income taxes using the asset and liability approach for deferred taxes which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in the Company’s consolidated financial statements or tax returns. A valuation allowance is recorded to reduce a deferred tax asset to that portion which more likely than not will be realized. The Company does not record tax expense impact for foreign withholding taxes and outside basis differences on the undistributed earnings of its foreign operations as it is the Company’s intention to permanently re-invest undistributed earnings. For additional information on the Company’s income taxes, see Note 12 of Notes to the Consolidated Financial Statements. |
Translation of Foreign Currencies | N. Translation of Foreign Currencies: The Company has branch operations in Taiwan, Singapore and South Korea and wholly-owned subsidiaries in the United States, Europe, Japan and China. Its international subsidiaries and branches operate primarily through the use of local functional currencies. A substantial portion of the Company’s international systems sales are denominated in U.S. dollars with the exception of Japan. Consequently, we have relatively little exposure to foreign currency exchange risk with respect to these sales. Assets and liabilities are translated at exchange rates in effect at the balance sheet date, and income and expense accounts and cash flow items are translated at average monthly exchange rates during the period. Net exchange gains or losses resulting from the translation of foreign financial statements and the effect of exchange rates on intercompany transactions of a long-term investment nature are recorded directly as a separate component of stockholders’ equity under the caption, “Accumulated other comprehensive loss.” Any foreign currency gains or losses related to transactions are included in operating results. The Company had accumulated exchange losses resulting from the translation of foreign operation financial statements of $1,273 and $1,079 as of December 31, 2018 and 2017, respectively. |
Share-based Compensation | O. Share-based Compensation: Share-based awards are measured based on the grant-date fair value of the award and recognized over the period from the service inception date through the date the employee is no longer required to provide service to earn the award. Effective upon the Company’s adoption of Accounting Standards Update (“ASU”) No. 2016-09, “Improvements to Employee Share-Based Payment Accounting” on January 1, 2017, forfeitures are accounted for as they occur. Prior to the adoption of ASU No. 2016-09, expected forfeitures were included in determining share-based compensation expense. For additional information on the Company’s share-based compensation plans, see Note 10 of Notes to the Consolidated Financial Statements. |
Research and Development Costs | P. Research and Development Costs: Expenditures for research and development are expensed as incurred. |
Fair Value of Financial Instruments | Q . Fair Value of Financial Instruments: The carrying amounts of the Company’s financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities, approximate fair value due to their short maturities. The estimated fair value of these obligations is based, primarily, on a market approach, comparing the Company’s interest rates to those rates the Company believes it would reasonably receive upon re-entry into the market. Judgment is required to estimate the fair value using available market information and appropriate valuation methods. For additional information on the Company’s fair value of financial instruments, see Note 3 of Notes to the Consolidated Financial Statements. |
Derivative Instruments and Hedging Activities | R . Derivative Instruments and Hedging Activities: The Company, when it considers it to be appropriate, enters into forward contracts to hedge the economic exposures arising from foreign currency denominated transactions. At December 31, 2018 and 2017, these contracts included the future sale of Japanese Yen to purchase U.S. dollars. The foreign currency forward contracts were entered into by the Company’s Japanese subsidiary to hedge a portion of certain intercompany obligations. The forward contracts are not designated as hedges for accounting purposes and therefore, the change in fair value is recorded in selling, general and administrative expenses in the Consolidated Statements of Operations. The Company records its forward contracts at fair value in either prepaid expenses and other current assets or other current liabilities in the Consolidated Balance Sheets. The dollar equivalent of the U.S. dollar forward contracts and related fair values as of December 31, 2018 and 2017 were as follows: December 31, 2018 2017 Notional amount 6,746 8,417 Fair value of asset (liability) (32 ) 45 During the year ended December 31, 2018, the Company recognized a loss of $81 on maturities of forward contracts. For the years ended December 31, 2017 and 2016, the Company recorded gains of $105 and $417 on maturities of forward contracts, respectively. The aggregate notional amounts of matured contracts were $8,465, $9,582 and $6,641 for 2018, 2017 and 2016, respectively. |
Contingencies and Litigation | S . Contingencies and Litigation The Company is subject to the possibility of losses from various contingencies, including certain legal proceedings, lawsuits and other claims. The Company accrues for a loss contingency when it concludes that the likelihood of a loss is probable and the amount of the loss can be reasonably estimated. If the Company concludes that loss contingencies that could be material to any one of its financial statements are not probable, but are reasonably possible, or are probable, but cannot be estimated, then the Company discloses the nature of the loss contingencies, together with an estimate of the range of possible loss or a statement that such loss is not reasonably estimable. The Company expenses as incurred the costs of defending legal claims against the Company. The Company does not recognize gain contingencies until realized. See Note 9 of the Notes to the Consolidated Financial Statements, “Commitments and Contingencies” for a detailed description. |
Recent Accounting Pronouncements | T . Recent Accounting Pronouncements: Recently Adopted Effective January 1, 2018, the Company adopted ASU No. 2016-16, “Income Tax (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory.” This ASU, which is part of the simplification initiative of the Financial Accounting Standards Board (“FASB”), is intended to reduce the complexity of U.S. GAAP and diversity in practice related to the tax consequences of certain types of intra-entity asset transfers, particularly those involving intellectual property. The adoption of ASU No. 2016-16 did not have any impact on the Company’s consolidated financial position, results of operations, and cash flows. Effective January 1, 2018, the Company adopted ASU No. 2016-15, “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments.” This ASU provides guidance on statement of cash flows presentation for eight specific cash flow issues where diversity in practice exists. The Company retrospectively adopted ASU No. 2018-15 resulting in a reclassification related to contingent consideration payments made after a business combination. The reclassification of $0.2 million from cash flows from financing activities to cash flows from operating activities is reflected in the Consolidated Statement of Cash Flows for the twelve month period ended December 31, 2017. Adoption of additional guidance under ASU No. 2016-15 did not have a material impact on the Company’s consolidated financial position, results of operations, and cash flows. Effective January 1, 2018, the Company adopted ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” which supersedes nearly all existing revenue recognition guidance. The core principle of this ASU is that revenue should be recognized to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Recently Issued In August 2018, the FASB issued ASU No. 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement.” This ASU is part of the FASB’s larger disclosure framework project intended to improve the effectiveness of financial statement footnote disclosure. ASU No. 2018-13 modifies required fair value disclosures related primarily to level 3 investments. This ASU is effective for annual periods beginning after December 15, 2019 and interim periods within those annual periods. The adoption of ASU No. 2018-13 is not expected to have a material effect on the Company’s consolidated financial position, results of operations, and cash flows. In June 2018, the FASB issued ASU No. 2018-07, “Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting.” This ASU expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. An entity should apply the requirements of Topic 718 to nonemployee awards except for specific guidance on inputs to an option pricing model and the attribution of cost. The ASU is effective for the fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. The adoption of ASU No. 2018-07 is not expected to have a material effect on the Company’s consolidated financial position, results of operations, and cash flows. In February 2018, the FASB issued ASU No. 2018-02, “Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.” The new guidance allows companies to reclassify stranded tax effects resulting from the Tax Cuts and Jobs Act (the “Tax Act”) from accumulated other comprehensive income to retained earnings. The guidance also requires certain new disclosures regardless of a company’s election. The standard is effective for annual periods beginning after December 15, 2018 and for interim periods within those annual periods, with earlier adoption permitted. The adoption of ASU No. 2018-02 is not expected to have a material effect on the Company’s consolidated financial position, results of operations, and cash flows. In May 2017, the FASB issued ASU No. 2017-09, “Compensation - Stock Compensation (Topic 718): Scope of Modification Accounting.” This ASU amends the scope of modification accounting for share-based payment arrangements and provides guidance on the types of changes to the terms or conditions of share-based payment awards to which an entity would be required to apply modification accounting under Accounting Standards Codification (“ASC”) 718. The ASU is effective for the fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years. The adoption of ASU No. 2017-09 is not expected to have a material effect on the Company’s consolidated financial position, results of operations, and cash flows, if any. In January 2017, the FASB issued ASU No. 2017-04, “Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment.” This ASU eliminates Step 2 from the goodwill impairment test. Accordingly, if the carrying amount of a reporting unit exceeds its fair value, an impairment loss will be recognized in an amount equal to the excess, limited to the total amount of goodwill allocated to the reporting unit. The ASU is effective for the fiscal years beginning after December 15, 2019 and for interim periods within those fiscal years. The Company is currently evaluating the effect the adoption of ASU No. 2017-04 will have on its consolidated financial position, results of operations, and cash flows, if any. In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326),” which introduces new guidance for the accounting for credit losses on instruments within its scope. Given the breadth of that scope, this ASU will impact both financial services and non-financial services entities. The standard is effective for fiscal years beginning after December 15, 2020. The Company is currently evaluating the effect the adoption of ASU No. 2016-13 will have on its consolidated financial position, results of operations, and cash flows, if any. In February 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842).” ASU No. 2016-02 requires that lessees recognize virtually all of their leases on the balance sheet, by recording a right-of-use asset and lease liability. The provisions of this guidance are effective for annual periods beginning after December 31, 2018, and for interim periods therein. The Company expects to adopt ASU No. 2016-02 upon its effective date of January 1, 2019 using the modified retrospective method and the Company will also elect the package of practical expedients. The Company anticipates the impact of adoption will be an increase to long-term assets and total liabilities of $14,000 to $15,000 as of January 1, 2019. Recently issued accounting guidance not discussed above is not applicable or did not have, or is not expected to have, a material impact to the Company. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of Disaggregation of Revenue | The following table presents the Company’s revenue disaggregated by revenue source: Year Ended December 31, 2018 2017 2016 Systems $ 205,073 $ 191,411 $ 165,601 Software licensing, support and maintenance 29,168 25,473 29,795 Parts 28,658 27,143 25,343 Services 10,885 11,071 12,041 Total revenue $ 273,784 $ 255,098 $ 232,780 The following table represents a disaggregation of revenue by timing of revenue: Year Ended December 31, 2018 Point-in-time $ 257,124 Over-time 16,660 Total revenue $ 273,784 |
Schedule of Changes in Deferred Revenue | Changes in deferred revenue were as follows: Year Ended December 31, 2018 Balance, beginning of the period $ 7,206 Deferral of revenue 19,326 Recognition of deferred revenue (18,452 ) Balance, ending of the period $ 8,080 |
Forward Contracts and Related Fair Values | The dollar equivalent of the U.S. dollar forward contracts and related fair values as of December 31, 2018 and 2017 were as follows: December 31, 2018 2017 Notional amount 6,746 8,417 Fair value of asset (liability) (32 ) 45 |
Fair Value Measurements - (Tabl
Fair Value Measurements - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements, Recurring and Nonrecurring | The following tables provide the assets and liabilities carried at fair value measured on a recurring basis at December 31, 2018 and December 31, 2017: Fair Value Measurements Using Carrying Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) December 31, 2018 Assets: Available-for-sale debt securities: Municipal notes and bonds $ 62,684 $ — $ 62,684 $ — Total assets $ 62,684 $ — $ 62,684 $ — Liabilities: Contingent consideration - acquisitions $ 2,060 $ — $ — $ 2,060 Foreign currency forward contracts 32 — 32 — Total liabilities $ 2,092 $ — $ 32 $ 2,060 December 31, 2017 Assets: Available-for-sale debt securities: Municipal notes and bonds $ 109,589 $ — $ 109,589 $ — Foreign currency forward contracts 45 — 45 — Total assets $ 109,634 $ — $ 109,634 $ — Liabilities: Contingent consideration - acquisitions $ 2,593 $ — $ — $ 2,593 Total liabilities $ 2,593 $ — $ — $ 2,593 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | This table presents a reconciliation of all liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the year ended December 31, 2018: Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Balance at December 31, 2017 $ 2,593 Total loss due to remeasurement included in selling, general and administrative expense 1,010 Additions — Payments (1,543 ) Transfer into (out of) Level 3 — Balance at December 31, 2018 $ 2,060 |
Marketable Securities - (Tables
Marketable Securities - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Marketable Securities [Abstract] | |
Schedule of Marketable Securities by Category | At December 31, 2018 and 2017, marketable securities are categorized as follows: Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value December 31, 2018 Municipal notes and bonds $ 62,681 $ 43 $ 40 $ 62,684 Total marketable securities $ 62,681 $ 43 $ 40 $ 62,684 December 31, 2017 Municipal notes and bonds $ 109,750 $ — $ 161 $ 109,589 Total marketable securities $ 109,750 $ — $ 161 $ 109,589 |
Schedule of Amortized Cost and Estimated Fair Value of Marketable Securities Classified by Maturity Date | The amortized cost and estimated fair value of marketable securities classified by the maturity date listed on the security, regardless of the Consolidated Balance Sheet classification, is as follows at December 31, 2018 and 2017: December 31, 2018 December 31, 2017 Amortized Cost Fair Value Amortized Cost Fair Value Due within one year $ 47,767 $ 47,732 $ 104,742 $ 104,605 Due after one through five years 14,914 14,952 5,008 4,984 Due after five through ten years — — — — Due after ten years — — — — Total marketable securities $ 62,681 $ 62,684 $ 109,750 $ 109,589 |
Summary of Estimated Fair Value and Gross Unrealized Holding Losses of Marketable Securities in Unrealized Loss Position | The following table summarizes the estimated fair value and gross unrealized holding losses of marketable securities, aggregated by investment instrument and period of time in an unrealized loss position, at December 31, 2018 and 2017. In Unrealized Loss Position For Less Than 12 Months In Unrealized Loss Position For Greater Than 12 Months Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses December 31, 2018 Municipal notes and bonds $ 27,952 $ 30 $ 4,671 $ 10 Total marketable securities $ 27,952 $ 30 $ 4,671 $ 10 December 31, 2017 Municipal notes and bonds $ 98,805 $ 161 $ — $ — Total marketable securities $ 98,805 $ 161 $ — $ — |
Goodwill and Purchased Intang_2
Goodwill and Purchased Intangible Assets - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Identifiable Intangible Assets [Abstract] | |
Schedule of Purchased Intangible Assets | Purchased intangible assets as of December 31, 2018 and 2017 are as follows: Gross Carrying Amount Accumulated Amortization Net December 31, 2018 Finite-lived intangibles: Developed technology $ 66,177 $ 59,692 $ 6,485 Customer and distributor relationships 9,560 9,082 478 Trade names 4,361 3,876 485 Total identifiable intangible assets $ 80,098 $ 72,650 $ 7,448 December 31, 2017 Finite-lived intangibles: Developed technology $ 65,827 $ 58,522 $ 7,305 Customer and distributor relationships 9,560 8,818 742 Trade names 4,361 3,776 585 Total identifiable intangible assets $ 79,748 $ 71,116 $ 8,632 |
Balance Sheet Details (Tables)
Balance Sheet Details (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Balance Sheet Detail [Abstract] | |
Schedule of Inventories | Inventories are comprised of the following: December 31, 2018 2017 Materials $ 61,025 $ 39,765 Work-in-process 21,910 20,923 Finished goods 13,885 6,833 Total inventories $ 96,820 $ 67,521 |
Schedule of Property, Plant and Equipment, Net | Property, plant and equipment, net, is comprised of the following: December 31, 2018 2017 Land and building $ 2,584 $ 2,584 Machinery and equipment 29,097 29,870 Furniture and fixtures 3,226 3,201 Computer equipment and software 7,906 5,444 Leasehold improvements 9,448 9,472 52,261 50,571 Accumulated depreciation (33,387 ) (33,229 ) Total property, plant and equipment, net $ 18,874 $ 17,342 |
Schedule of Other Assets | Other assets is comprised of the following: December 31, 2018 2017 Convertible note receivable $ 5,000 $ — Other 506 492 Total other assets $ 5,506 $ 492 |
Schedule of Other Current Liabilities | Other current liabilities is comprised of the following: December 31, 2018 2017 Contingent consideration - acquisitions $ 1,422 $ 634 Customer deposits 1,135 5,561 Accrued inventory 1,103 384 Intangible asset acquisition - Stella Alliance 150 100 Deferred rent 75 151 Other 3,658 2,454 Total other current liabilities $ 7,543 $ 9,284 |
Schedule of Other Non-Current Liabilities | Other non-current liabilities is comprised of the following: December 31, 2018 2017 Unrecognized tax benefits (including interest) $ 5,409 $ 4,660 Contingent consideration - acquisitions 638 1,959 Deferred revenue 1,314 983 Deferred rent 1,405 750 Other 2,395 2,109 Total non-current liabilities $ 11,161 $ 10,461 |
Debt Obligations - (Tables)
Debt Obligations - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Interest Cost Recognized Relating to Notes | The following table presents the amount of interest cost recognized relating to the Notes during the years ended December 31, 2018, 2017 and 2016. December 31, 2018 2017 2016 Contractual interest coupon $ — $ — $ 1,186 Amortization of interest discount — — 1,893 Amortization of debt issuance costs — — 261 Total interest cost recognized $ — $ — $ 3,340 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies [Abstract] | |
Schedule of Changes in Warranty Reserves | Changes in the Company’s warranty reserves are as follows: Year Ended December 31, 2018 2017 2016 Balance, beginning of the period $ 2,427 $ 1,788 $ 1,894 Accruals 3,486 3,464 2,405 Usage (3,472 ) (2,825 ) (2,511 ) Balance, end of the period $ 2,441 $ 2,427 $ 1,788 |
Share-Based Compensation and _2
Share-Based Compensation and Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Summary of Share-based Compensation Expense by Type of Award | The following table reflects share-based compensation expense by type of award: Year Ended December 31, 2018 2017 2016 Share-based compensation expense: Restricted stock units, including all performance and market based awards $ 6,062 $ 5,433 $ 4,457 Stock options — 237 318 Total share-based compensation 6,062 5,670 4,775 Tax effect on share-based compensation 1,362 2,052 1,743 Net effect on net income $ 4,700 $ 3,618 $ 3,032 Effect on earnings per share: Basic $ (0.15 ) $ (0.11 ) $ (0.10 ) Diluted $ (0.15 ) $ (0.11 ) $ (0.10 ) |
Summary of Nonvested Restricted Stock Unit Activity | A summary of the Company’s restricted stock unit activity with respect to the years ended December 31, 2016, 2017 and 2018 follows: Number of Shares Weighted Average Grant Date Fair Value Nonvested at December 31, 2015 1,169 $ 11.40 Granted 429 $ 13.20 Vested (413 ) $ 10.80 Forfeited (49 ) $ 11.14 Nonvested at December 31, 2016 1,136 $ 12.30 Granted 280 $ 22.70 Vested (321 ) $ 11.90 Forfeited (81 ) $ 13.78 Nonvested at December 31, 2017 1,014 $ 14.88 Granted 283 $ 27.99 Vested (404 ) $ 14.26 Forfeited (99 ) $ 17.79 Nonvested at December 31, 2018 794 $ 19.51 |
Summary of Company's Stock Option Activity | A summary of the Company’s stock option activity with respect to the years ended December 31, 2016, 2017 and 2018 follows: Shares Weighted Average Exercise Price Per Share Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value Outstanding at December 31, 2015 490 $ 9.46 Granted — — Exercised (231 ) 7.76 Expired (44 ) 14.74 Forfeited — — Outstanding at December 31, 2016 215 10.19 Granted — — Exercised (142 ) 9.14 Expired — — Forfeited — — Outstanding at December 31, 2017 73 $ 12.22 Granted — — Exercised (26 ) Expired — — Forfeited — — Outstanding at December 31, 2018 47 $ 12.22 4.0 $ 384 Vested or expected to vest at December 31, 2018 47 $ 12.22 4.0 $ 384 Exercisable at December 31, 2018 47 $ 12.22 4.0 $ 384 |
Market Performance Based Restricted Stock Units [Member] | |
Summary of Nonvested Restricted Stock Unit Activity | The following table provides details of the MPRSUs granted during the twelve month periods ended December 31, 2018 and 2017: Year Ended December 31, 2018 2017 Granted 53 38 Maximum vest potential shares 105 76 Estimated fair value per share $ 30.76 $ 25.30 |
Other Expense (Income), Net (Ta
Other Expense (Income), Net (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Other Income Expense [Abstract] | |
Schedule of Other Expense (Income), Net | Other expense (income), net is comprised of the following: Year Ended December 31, 2018 2017 2016 Foreign currency exchange losses (gains), net $ 255 $ 457 $ 592 Gain on casualty insurance claim (302 ) — — Other (9 ) — (946 ) Total other expense (income), net $ (56 ) $ 457 $ (354 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Taxes [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The components of income tax expense are as follows: Year Ended December 31, 2018 2017 2016 Current: Federal $ 4,423 $ 6,020 $ 6,084 State 1,038 507 983 Foreign 626 3,159 838 6,087 9,686 7,905 Deferred: Federal 1,961 17,034 4,765 State (73 ) 643 184 Foreign 275 (470 ) 62 2,163 17,207 5,011 Total income tax expense $ 8,250 $ 26,893 $ 12,916 |
Schedule of Income before Income Tax, Domestic and Foreign | The income before tax is comprised of the following: Year Ended December 31, 2018 2017 2016 Domestic operations $ 49,089 $ 57,079 $ 47,599 Foreign operations $ 4,257 $ 2,723 $ 2,269 |
Schedule of Effective Income Tax Rate Reconciliation | The provision for income taxes differs from the amount of income tax determined by applying the applicable U.S. federal income tax rate of 21% for the year ended December 31, 2018, and 35% for years ended December 31, 2017 and 2016 to income before provision for income taxes as follows: Year Ended December 31, 2018 2017 2016 Federal income tax provision at statutory rate $ 11,203 $ 20,931 $ 17,454 State taxes, net of federal effect 747 573 822 Foreign taxes, net of federal effect 17 (238 ) (1,613 ) Domestic manufacturing benefit — (1,569 ) (1,244 ) FDII Deduction, related to the Tax Act (2,217 ) — — GILTI income net of S250 deduction, related to the Tax Act 113 — — Section 162(m) 526 — — Research tax credit (2,298 ) (1,559 ) (692 ) Deferred tax true-up 57 41 (1,644 ) Remeasurement of deferred tax balances, related to the Tax Act (33 ) 8,020 — Transition tax on foreign earnings, related to the Tax Act 138 (106 ) — Other (3 ) 800 (167 ) Provision for income taxes $ 8,250 $ 26,893 $ 12,916 Effective tax rate 15 % 45 % 26 % |
Schedule of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities are comprised of the following: December 31, 2018 2017 Research and development credit carryforward $ 198 $ 216 Reserves and accruals not currently deductible 1,969 1,883 Deferred revenue 1,201 1,075 Domestic net operating loss carryforwards 832 892 Foreign net operating loss and credit carryforwards 3,146 2,551 Intangibles 4,402 5,388 Share-based compensation 1,259 1,500 Inventory obsolescence reserve 2,774 3,260 Other 810 1,135 Gross deferred tax assets 16,591 17,900 Valuation allowance for deferred tax assets (3,172 ) (2,447 ) Deferred tax assets after valuation allowance 13,419 15,453 Gross deferred tax liabilities (609 ) (574 ) Net deferred tax assets $ 12,810 $ 14,879 |
Schedule of Unrecognized Tax Benefits Roll Forward | The total amount of unrecognized tax benefits are as follows: December 31, 2018 2017 2016 Balance, beginning of the period $ 4,880 $ 4,827 $ 5,236 Gross increases—tax positions in prior period 496 171 118 Gross decreases—tax positions in prior period (61 ) (362 ) (735 ) Gross increases—current-period tax positions 213 244 208 Lapse of statute of limitations — — — Balance, end of the period $ 5,528 $ 4,880 $ 4,827 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Components of Accumulated Other Comprehensive Loss, Net of Tax | The components of accumulated other comprehensive loss, net of tax, are as follows: Foreign currency translation adjustments Net unrealized (gains) losses on marketable securities Accumulated other comprehensive loss (income) Balance at December 31, 2016 $ 2,742 $ 37 $ 2,779 Net current period other comprehensive income (1,663 ) 89 (1,574 ) Reclassifications — — — Balance at December 31, 2017 1,079 126 1,205 Net current period other comprehensive loss 194 (136 ) 58 Reclassifications — — — Balance at December 31, 2018 $ 1,273 $ (10 ) $ 1,263 |
Segment Reporting and Geograp_2
Segment Reporting and Geographic Information - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting And Geographic Information [Abstract] | |
Schedule of Revenue from External Customers by Products and Services | The following table lists the different sources of revenue: Year Ended December 31, 2018 2017 2016 Systems and Software: Process control $ 190,098 70 % $ 177,177 70 % $ 146,652 63 % Lithography 14,975 5 % 14,234 5 % 18,949 8 % Software licensing, support and maintenance 29,168 11 % 25,473 10 % 29,795 13 % Parts 28,658 10 % 27,143 11 % 25,343 11 % Services 10,885 4 % 11,071 4 % 12,041 5 % Total revenue $ 273,784 100 % $ 255,098 100 % $ 232,780 100 % |
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area | For geographical revenue reporting, revenue is attributed to the geographic location in which the product is shipped. Revenue by geographic region is as follows: Year Ended December 31, 2018 2017 2016 Revenue from third parties: United States $ 43,944 $ 36,104 $ 30,876 Taiwan 45,312 63,079 68,211 South Korea 51,750 44,180 15,556 Singapore 14,371 12,775 35,517 Austria 719 2,601 2,049 Japan 22,361 18,943 11,875 Germany 14,913 15,580 9,759 China 63,243 35,925 33,720 Other Europe 11,541 21,167 18,720 Other Asia 5,630 4,744 6,497 Total revenue $ 273,784 $ 255,098 $ 232,780 |
Earnings Per Share - (Tables)
Earnings Per Share - (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The Company’s basic and diluted earnings per share amounts are as follows: December 31, 2018 2017 2016 Numerator: Net income $ 45,096 $ 32,909 $ 36,952 Denominator: Basic earnings per share - weighted average shares outstanding 31,671 31,491 31,128 Effect of potential dilutive securities: Restricted stock units and stock options - dilutive shares 529 670 467 Convertible senior notes - dilutive shares — — 103 Warrants - dilutive shares — 1 92 Diluted earnings per share - weighted average shares outstanding 32,200 32,162 31,790 Earnings per share: Basic $ 1.42 $ 1.05 $ 1.19 Diluted $ 1.40 $ 1.02 $ 1.16 |
Share Repurchase Authorization
Share Repurchase Authorization (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Share Repurchase Program [Abstract] | |
Summary of Stock Repurchases | The following table summarizes the Company’s stock repurchases for December 31, 2018, 2017 and 2016: Year Ended December 31, 2018 2017 2016 Shares of common stock repurchased 1,061 — 615 Cost of stock repurchased $ 21,069 $ - $ 8,044 Average price paid per share $ 19.86 $ - $ 13.07 |
Quarterly Consolidated Financ_2
Quarterly Consolidated Financial Data (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Consolidated Financial Data Unaudited [Abstract] | |
Schedule of Consolidated Quarterly Financial Information | The following tables present certain unaudited consolidated quarterly financial information for the years ended December 31, 2018 and 2017 Quarters Ended March 31, 2018 June 30, 2018 September 30, 2018 December 31, 2018 Total Revenue $ 73,096 $ 77,476 $ 60,432 $ 62,780 $ 273,784 Gross profit 42,421 41,736 31,454 32,668 148,279 Income before income taxes 17,674 17,290 8,368 10,014 53,346 Net income 15,130 14,697 7,187 8,082 45,096 Income per share: Basic $ 0.48 $ 0.46 $ 0.23 $ 0.26 $ 1.42 Diluted $ 0.47 $ 0.45 $ 0.22 $ 0.26 $ 1.40 Weighted average number of shares outstanding: Basic 31,662 31,859 31,901 31,268 31,671 Diluted 32,317 32,437 32,408 31,645 32,200 Quarters Ended March 31, 2017 June 30, 2017 September 30, 2017 December 31, 2017 Total Revenue $ 60,679 $ 67,418 $ 66,920 $ 60,081 $ 255,098 Gross profit 31,868 35,456 35,145 32,126 134,595 Income before income taxes 9,607 12,752 25,663 11,780 59,802 Net income (loss) 7,151 9,193 17,369 (804 ) 32,909 Income (loss) per share: Basic $ 0.23 $ 0.29 $ 0.55 $ (0.03 ) $ 1.05 Diluted $ 0.22 $ 0.29 $ 0.54 $ (0.03 ) $ 1.02 Weighted average number of shares outstanding: Basic 31,290 31,501 31,571 31,597 31,491 Diluted 32,058 32,146 32,170 31,597 32,162 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Schedule of Disaggregation of Revenue by Revenue Source (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 273,784 | $ 255,098 | $ 232,780 |
Systems Revenue [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 205,073 | 191,411 | 165,601 |
Software Revenue [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 29,168 | 25,473 | 29,795 |
Parts Revenue [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 28,658 | 27,143 | 25,343 |
Service Revenue [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 10,885 | $ 11,071 | $ 12,041 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Disaggregation of Revenue by Timing of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 273,784 | $ 255,098 | $ 232,780 |
Transferred at Point in Time [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | 257,124 | ||
Transferred over Time [Member] | |||
Disaggregation Of Revenue [Line Items] | |||
Total revenue | $ 16,660 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Additional Information (Details) | 12 Months Ended | |||
Dec. 31, 2018USD ($)Contract | Dec. 31, 2017USD ($)Contract | Dec. 31, 2016USD ($)Contract | Jan. 01, 2019USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | ||||
Property plant and equipment method | straight-line method | |||
Accumulated exchange losses resulting from translation of foreign operation financial statements | $ 1,273,000 | $ 1,079,000 | ||
Derivative instruments, (loss) gain recognized in income, net | $ (81,000) | $ 105,000 | $ 417,000 | |
Number of Foreign Currency Derivatives Held | Contract | 8,465 | 9,582 | 6,641 | |
Cash flows from financing activities | $ 23,909,000 | $ 2,552,000 | $ 78,903,000 | |
Cash flows from operating activities | $ 35,094,000 | 64,171,000 | $ 47,425,000 | |
ASU 2016-15 [Member] | Reclassification [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Cash flows from financing activities | 200,000 | |||
Cash flows from operating activities | $ 200,000 | |||
Building [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Property plant and equipment estimated useful lives | 15 years | |||
Furniture and Fixtures [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Property plant and equipment estimated useful lives | 7 years | |||
Computer Equipment [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Property plant and equipment estimated useful lives | 3 years | |||
Minimum [Member] | ASU 2016-02 [Member] | Subsequent Event [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Long-term assets and total liabilities | $ 14,000,000 | |||
Minimum [Member] | Machinery and Equipment [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Property plant and equipment estimated useful lives | 4 years | |||
Maximum [Member] | ASU 2016-02 [Member] | Subsequent Event [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Long-term assets and total liabilities | $ 15,000,000 | |||
Maximum [Member] | Machinery and Equipment [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Property plant and equipment estimated useful lives | 7 years | |||
Systems Revenue [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Number of days for payment due from customer | 30 days | |||
Systems Revenue [Member] | Minimum [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Percentage of invoice amount due | 80.00% | |||
Assurance warranty period against defects | 12 months | |||
Systems Revenue [Member] | Maximum [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Percentage of invoice amount due | 90.00% | |||
Assurance warranty period against defects | 15 months | |||
Software Revenue [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Number of days for payment due from customer | 30 days | |||
Parts Revenue [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Number of days for payment due from customer | 30 days | |||
Service Revenue [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Number of days for payment due from customer | 30 days |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Schedule of Changes in Deferred Revenue (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Revenue From Contract With Customer [Abstract] | |
Balance, beginning of the period | $ 7,206 |
Deferral of revenue | 19,326 |
Recognition of deferred revenue | (18,452) |
Balance, ending of the period | $ 8,080 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Forward Contracts and Related Fair Values (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ||
Notional amount | $ 6,746 | $ 8,417 |
Fair value of asset (liability) | $ (32) | $ 45 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Municipal notes and bonds | $ 62,684 | $ 109,589 |
Foreign currency forward contracts | 45 | |
Total assets | 62,684 | 109,634 |
Contingent consideration - acquisitions | 2,060 | 2,593 |
Foreign currency forward contracts | 32 | |
Total liabilities | 2,092 | 2,593 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Municipal notes and bonds | 0 | 0 |
Foreign currency forward contracts | 0 | |
Total assets | 0 | 0 |
Contingent consideration - acquisitions | 0 | 0 |
Foreign currency forward contracts | 0 | |
Total liabilities | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Municipal notes and bonds | 62,684 | 109,589 |
Foreign currency forward contracts | 45 | |
Total assets | 62,684 | 109,634 |
Contingent consideration - acquisitions | 0 | 0 |
Foreign currency forward contracts | 32 | |
Total liabilities | 32 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Municipal notes and bonds | 0 | 0 |
Foreign currency forward contracts | 0 | |
Total assets | 0 | 0 |
Contingent consideration - acquisitions | 2,060 | 2,593 |
Foreign currency forward contracts | 0 | |
Total liabilities | $ 2,060 | $ 2,593 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) | Dec. 31, 2018 | Dec. 31, 2017 |
Significant Unobservable Inputs (Level 3) [Member] | Measurement Input Discount Rate [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Estimated discount rates | 0.092 | 0.086 |
Fair Value Measurements - Recon
Fair Value Measurements - Reconciliation for All Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (level 3) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Fair Value Disclosures [Abstract] | |
Balance at December 31, 2017 | $ 2,593 |
Total loss due to remeasurement included in selling, general and administrative expense | 1,010 |
Additions | 0 |
Payments | (1,543) |
Transfer into (out of) Level 3 | 0 |
Balance at December 31, 2018 | $ 2,060 |
Marketable Securities - Schedul
Marketable Securities - Schedule of Marketable Securities by Category (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 62,681 | $ 109,750 |
Gross Unrealized Holding Gains | 43 | 0 |
Gross Unrealized Holding Losses | 40 | 161 |
Fair Value | 62,684 | 109,589 |
Municipal Notes and Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 62,681 | 109,750 |
Gross Unrealized Holding Gains | 43 | 0 |
Gross Unrealized Holding Losses | 40 | 161 |
Fair Value | $ 62,684 | $ 109,589 |
Marketable Securities - Sched_2
Marketable Securities - Schedule of Amortized Cost and Estimated Fair Value of Marketable Securities Classified by Maturity Date (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Available For Sale Securities Debt Maturities Fair Value [Abstract] | ||
Amortized Cost, Due within one year | $ 47,767 | $ 104,742 |
Amortized Cost, Due after one through five years | 14,914 | 5,008 |
Amortized Cost, Due after five through ten years | 0 | 0 |
Amortized Cost, Due after ten years | 0 | 0 |
Amortized Cost, Total marketable securities | 62,681 | 109,750 |
Fair Value, Due within one year | 47,732 | 104,605 |
Fair Value, Due after one through five years | 14,952 | 4,984 |
Fair Value, Due after five through ten years | 0 | 0 |
Fair Value, Due after ten years | 0 | 0 |
Fair Value, Total marketable securities | $ 62,684 | $ 109,589 |
Marketable Securities - Summary
Marketable Securities - Summary of Estimated Fair Value and Gross Unrealized Holding Losses of Marketable Securities in Unrealized Loss Position (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Schedule of Available-for-sale Securities [Line Items] | ||
In Unrealized Loss Position For Less Than 12 Months, Fair Value | $ 27,952 | $ 98,805 |
In Unrealized Loss Position For Less Than 12 Months, Gross Unrealized Losses | 30 | 161 |
In Unrealized Loss Position For Greater Than 12 Months, Fair Value | 4,671 | 0 |
In Unrealized Loss Position For Greater Than 12 Months, Gross Unrealized Losses | 10 | 0 |
Municipal Notes and Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
In Unrealized Loss Position For Less Than 12 Months, Fair Value | 27,952 | 98,805 |
In Unrealized Loss Position For Less Than 12 Months, Gross Unrealized Losses | 30 | 161 |
In Unrealized Loss Position For Greater Than 12 Months, Fair Value | 4,671 | 0 |
In Unrealized Loss Position For Greater Than 12 Months, Gross Unrealized Losses | $ 10 | $ 0 |
Goodwill and Purchased Intang_3
Goodwill and Purchased Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Identifiable Intangible Assets [Abstract] | |||
Goodwill, gross | $ 215,367 | $ 215,367 | |
Goodwill impairment charge | 192,872 | 192,872 | |
Goodwill | 22,495 | 22,495 | |
Amortization | 1,534 | $ 1,940 | $ 2,320 |
Future amortization expense, next twelve month | 1,548 | ||
Future amortization expense, 2020 | 1,346 | ||
Future amortization expense, 2021 | 598 | ||
Future amortization expense, 2022 | 532 | ||
Future amortization expense, 2023 | $ 515 |
Goodwill and Purchased Intang_4
Goodwill and Purchased Intangible Assets - Schedule of Purchased Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Finite Lived Intangible Assets [Line Items] | ||
Finite-lived intangibles, Gross Carrying Amount | $ 80,098 | $ 79,748 |
Finite-lived intangibles, Accumulated Amortization | 72,650 | 71,116 |
Finite-lived intangibles, Net | 7,448 | 8,632 |
Developed Technology [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Finite-lived intangibles, Gross Carrying Amount | 66,177 | 65,827 |
Finite-lived intangibles, Accumulated Amortization | 59,692 | 58,522 |
Finite-lived intangibles, Net | 6,485 | 7,305 |
Customer and Distributor Relationships [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Finite-lived intangibles, Gross Carrying Amount | 9,560 | 9,560 |
Finite-lived intangibles, Accumulated Amortization | 9,082 | 8,818 |
Finite-lived intangibles, Net | 478 | 742 |
Trade Names [Member] | ||
Finite Lived Intangible Assets [Line Items] | ||
Finite-lived intangibles, Gross Carrying Amount | 4,361 | 4,361 |
Finite-lived intangibles, Accumulated Amortization | 3,876 | 3,776 |
Finite-lived intangibles, Net | $ 485 | $ 585 |
Convertible Note Receivable - A
Convertible Note Receivable - Additional Information (Details) - USD ($) | May 31, 2018 | Dec. 31, 2018 |
Loans And Leases Receivable Disclosure [Line Items] | ||
Convertible notes receivable | $ 5,000,000 | |
Accrued interest | $ 41,000 | |
Convertible Loan Agreement [Member] | Simax Precision Technologies Limited [Member] | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Funds available in multiple promissory notes | $ 15,000,000 | |
Convertible notes rate of interest | 4.25% | |
Term of repayment for principal amount and outstanding interest | 3 years |
Balance Sheet Details - Schedul
Balance Sheet Details - Schedule of Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Inventory Details [Abstract] | ||
Materials | $ 61,025 | $ 39,765 |
Work-in-process | 21,910 | 20,923 |
Finished goods | 13,885 | 6,833 |
Total inventories | $ 96,820 | $ 67,521 |
Balance Sheet Details - Additio
Balance Sheet Details - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Balance Sheet Detail [Abstract] | |||
Inventory valuation reserves | $ 11,678 | $ 13,035 | |
Inventory Write-down | 3,042 | 3,833 | |
Inventory Disposal | 4,398 | 1,343 | |
Depreciation | $ 4,848 | $ 3,990 | $ 3,677 |
Balance Sheet Details - Sched_2
Balance Sheet Details - Schedule of Property, Plant and Equipment, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 52,261 | $ 50,571 |
Accumulated depreciation | (33,387) | (33,229) |
Total property, plant and equipment, net | 18,874 | 17,342 |
Land and Building [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 2,584 | 2,584 |
Machinery and Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 29,097 | 29,870 |
Furniture and Fixtures [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 3,226 | 3,201 |
Computer Equipment and Software [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | 7,906 | 5,444 |
Leasehold Improvements [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 9,448 | $ 9,472 |
Balance Sheet Details - Sched_3
Balance Sheet Details - Schedule of Other Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Other Assets [Abstract] | ||
Convertible notes receivable | $ 5,000 | |
Other | 506 | $ 492 |
Total other assets | $ 5,506 | $ 492 |
Balance Sheet Details - Sched_4
Balance Sheet Details - Schedule of Other Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Other Liabilities Current [Abstract] | ||
Contingent consideration - acquisitions | $ 1,422 | $ 634 |
Customer deposits | 1,135 | 5,561 |
Accrued inventory | 1,103 | 384 |
Intangible asset acquisition - Stella Alliance | 150 | 100 |
Deferred rent | 75 | 151 |
Other | 3,658 | 2,454 |
Total other current liabilities | $ 7,543 | $ 9,284 |
Balance Sheet Details - Sched_5
Balance Sheet Details - Schedule of Other Non-Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Other Liabilities Noncurrent [Abstract] | ||
Unrecognized tax benefits (including interest) | $ 5,409 | $ 4,660 |
Contingent consideration - acquisitions | 638 | 1,959 |
Deferred revenue | 1,314 | 983 |
Deferred rent | 1,405 | 750 |
Other | 2,395 | 2,109 |
Total non-current liabilities | $ 11,161 | $ 10,461 |
Debt Obligations - Additional I
Debt Obligations - Additional Information (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Jul. 15, 2016 | Jul. 25, 2011 | |
Aggregate principal amount | $ 60,000 | $ 60,000 | ||
Debt instrument interest rate | 3.75% | 3.75% | ||
Issuance of shares of common stock on conversion | 540 | |||
Warrant or right to purchase shares of common stock | 386 | 4,634 | ||
Warrant or right to purchase shares of common stock, strike price | $ 17 | |||
Exercised warrants settled in shares | 102 | 4,248 | ||
Exercised warrants payable in cash | $ 10,525 | |||
Exercised warrants paid in cash | $ 1,025 | $ 9,500 | ||
Weighted average stock price | $ 23.13 | $ 19.82 | ||
Common Stock [Member] | ||||
Exercised warrants settled in shares | 80 |
Debt Obligations - Schedule of
Debt Obligations - Schedule of Interest Cost Recognized Relating to Notes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |||
Contractual interest coupon | $ 1,186 | ||
Amortization of interest discount | 1,893 | ||
Amortization of debt issuance costs | 261 | ||
Total interest cost recognized | $ 3,340 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Commitments And Contingencies [Line Items] | |||
Operating leases, rent expense | $ 3,311 | $ 3,292 | $ 3,296 |
Lease agreements expiration year | 2,029 | ||
Operating leases, equipment | $ 98 | 111 | 99 |
Operating leases, future minimum payments due | 3,170 | ||
Operating leases, future minimum payments, due in two years | 2,801 | ||
Operating leases, future minimum payments, due in three years | 2,107 | ||
Operating leases, future minimum payments, due in four years | 2,051 | ||
Operating leases, future minimum payments, due in five years | 1,725 | ||
Operating leases, future minimum payments, due thereafter | 7,484 | ||
Royalty expense | 1,904 | $ 1,117 | $ 586 |
Purchase commitment, remaining minimum amount committed | $ 71,752 | ||
Percentage of maximum borrowing capacity of value of eligible securities | 70.00% | ||
Available line of credit | $ 93,920 | ||
Available interest rate on line of credit | 4.00% | ||
Equipment [Member] | |||
Commitments And Contingencies [Line Items] | |||
Lease agreements expiration year | 2,023 | ||
Minimum [Member] | |||
Commitments And Contingencies [Line Items] | |||
Warranty period | 12 months | ||
Maximum [Member] | |||
Commitments And Contingencies [Line Items] | |||
Warranty period | 15 months |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Changes in Warranty Reserves (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Commitments And Contingencies [Abstract] | |||
Balance, beginning of the period | $ 2,427 | $ 1,788 | $ 1,894 |
Accruals | 3,486 | 3,464 | 2,405 |
Usage | (3,472) | (2,825) | (2,511) |
Balance, end of the period | $ 2,441 | $ 2,427 | $ 1,788 |
Share-Based Compensation and _3
Share-Based Compensation and Employee Benefit Plans - Additional Information (Details) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | May 16, 2018 | Dec. 31, 2015 | Nov. 01, 2009 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Share authorized available for grants | 3,300,000 | |||||
Common stock available for future grant | 2,558,000 | |||||
Share based compensation shares for issuance | 0 | 2,049,000 | ||||
Total intrinsic value of stock options exercised | $ 384,000 | $ 853,000 | $ 1,312,000 | |||
Options outstanding exercise price | $ 12.22 | $ 12.22 | $ 10.19 | $ 9.46 | ||
Options exercisable exercise price | $ 12.22 | |||||
Unrecognized compensation cost - option | $ 0 | |||||
Fair value of outstanding stock options to non-employees | $ 126,000 | $ 268,000 | ||||
Price of common stock as percentage of fair market value | 95.00% | |||||
Stock based compensation expense | $ 6,062,000 | $ 5,670,000 | $ 4,775,000 | |||
Shares purchased under ESPP | 13,000 | 11,000 | 15,000 | |||
Employee Stock Purchase Plan available | 1,500,000 | 2,251,000 | ||||
Percentage of contribution for annual compensation | 100.00% | |||||
Percentage of match of all employee contribution | 50.00% | |||||
Total matching contribution to plan | $ 1,118,000 | $ 1,047,000 | $ 1,017,000 | |||
Defined contribution plan, employer contribution under profit sharing program | 0 | 0 | 0 | |||
Employee Stock Purchase Plan [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Stock based compensation expense | $ 0 | 0 | 0 | |||
Maximum [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Eligible compensation deduction percentage on pay for purchase of common stock | 15.00% | |||||
Percentage of match on employee salary | 6.00% | |||||
Stock Option [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Options vesting period | 5 years | |||||
Options expiration period | 10 years | |||||
Stock based compensation expense | $ 237,000 | $ 318,000 | ||||
Restricted Stock Units (RSUs) [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Total unrecognized compensation cost related to restricted stock units granted | $ 9,517,000 | |||||
Unrecognized compensation cost related to restricted stock units, weighted average period | 2 years 1 month 6 days | |||||
Restricted Stock Units (RSUs) [Member] | Minimum [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Options vesting period | 3 years | |||||
Restricted Stock Units (RSUs) [Member] | Maximum [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Options vesting period | 5 years | |||||
Restricted Stock Units (RSUs) [Member] | Director [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Options vesting period | 1 year | |||||
Market Performance Based Restricted Stock Units [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Options vesting period | 3 years | |||||
Maximum potential market performance-based restricted stock units to vest percentage | 200.00% | |||||
2018 Plan [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Share authorized available for grants | 3,240,000 | |||||
Common stock available for future grant | 128,000 | |||||
Share based compensation shares for issuance | 3,332,000 | |||||
2018 Plan [Member] | Stock Option [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Options vesting period | 5 years | |||||
Options expiration period | 10 years | |||||
2018 Plan [Member] | Restricted Stock Units (RSUs) [Member] | Minimum [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Options vesting period | 3 years | |||||
2018 Plan [Member] | Restricted Stock Units (RSUs) [Member] | Maximum [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Options vesting period | 5 years | |||||
2018 Plan [Member] | Restricted Stock Units (RSUs) [Member] | Director [Member] | ||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||
Options vesting period | 1 year |
Share-Based Compensation and _4
Share-Based Compensation and Employee Benefit Plans - Summary of Share-based Compensation Expense by Type of Award (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Total share-based compensation | $ 6,062 | $ 5,670 | $ 4,775 |
Tax effect on share-based compensation | 1,362 | 2,052 | 1,743 |
Net effect on net income | $ 4,700 | $ 3,618 | $ 3,032 |
Basic | $ (0.15) | $ (0.11) | $ (0.10) |
Diluted | $ (0.15) | $ (0.11) | $ (0.10) |
Restricted Stock Units, Including All Performance and Market Based Awards [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Total share-based compensation | $ 6,062 | $ 5,433 | $ 4,457 |
Stock Option [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Total share-based compensation | $ 237 | $ 318 |
Share-Based Compensation - Summ
Share-Based Compensation - Summary of Nonvested Restricted Stock Unit Activity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Restricted Stock Units Activity [Abstract] | |||
Number of Shares, Nonvested beginning balance | 1,014,000 | 1,136,000 | 1,169,000 |
Number of Shares, Granted | 283,000 | 280,000 | 429,000 |
Number of Shares, Vested | (404,000) | (321,000) | (413,000) |
Number of Shares, Forfeited | (99,000) | (81,000) | (49,000) |
Number of Shares, Nonvested ending balance | 794,000 | 1,014,000 | 1,136,000 |
Weighted Average Grant Date Fair Value, Nonvested beginning balance | $ 14.88 | $ 12.30 | $ 11.40 |
Weighted Average Grant Date Fair Value, Granted | 27.99 | 22.70 | 13.20 |
Weighted Average Grant Date Fair Value, Vested | 14.26 | 11.90 | 10.80 |
Weighted Average Grant Date Fair Value, Forfeited | 17.79 | 13.78 | 11.14 |
Weighted Average Grant Date Fair Value, Nonvested ending balance | $ 19.51 | $ 14.88 | $ 12.30 |
Share-Based Compensation and _5
Share-Based Compensation and Employee Benefit Plans - Summary of MPRSUs Granted (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Granted | 283,000 | 280,000 | 429,000 |
Market Performance Based Restricted Stock Units [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Granted | 53,000 | 38,000 | |
Maximum vest potential shares | 105,000 | 76,000 | |
Estimated fair value per share | $ 30.76 | $ 25.30 |
Share-Based Compensation and _6
Share-Based Compensation and Employee Benefit Plans - Summary of Company's Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share Based Compensation [Abstract] | |||
Shares, Outstanding, Beginning balance | 73 | 215 | 490 |
Shares, Granted | 0 | 0 | 0 |
Shares, Exercised | (26) | (142) | (231) |
Shares, Expired | 0 | 0 | (44) |
Shares, Forfeited | 0 | 0 | 0 |
Shares, Outstanding, Ending balance | 47 | 73 | 215 |
Shares, Vested or expected to vest | 47 | ||
Shares, Exercisable | 47 | ||
Weighted Average Exercise Price, Beginning balance | $ 12.22 | $ 10.19 | $ 9.46 |
Weighted Average Exercise Price, Granted | 0 | 0 | 0 |
Weighted Average Exercise Price, Exercised | 0 | 9.14 | 7.76 |
Weighted Average Exercise Price, Expired | 0 | 0 | 14.74 |
Weighted Average Exercise Price, Forfeited | 0 | 0 | 0 |
Weighted Average Exercise Price, Ending balance | 12.22 | $ 12.22 | $ 10.19 |
Weighted Average Exercise Price, Vested or expected to vest | 12.22 | ||
Weighted Average Exercise Price, Exercisable | $ 12.22 | ||
Weighted Average Remaining Contractual Term, Outstanding | 4 years | ||
Weighted Average Remaining Contractual Term, Vested or expected to vest | 4 years | ||
Weighted Average Remaining Contractual Term, Exercisable | 4 years | ||
Aggregate Intrinsic Value, Outstanding | $ 384 | ||
Aggregate Intrinsic Value, Vested or expected to vest | 384 | ||
Aggregate Intrinsic Value, Exercisable | $ 384 |
Other Expense (Income), Net - S
Other Expense (Income), Net - Schedule of Other Expense (Income), Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Other Income Expense [Abstract] | |||
Foreign currency exchange losses (gains), net | $ 255 | $ 457 | $ 592 |
Gain on casualty insurance claim | (302) | 0 | 0 |
Other | (9) | 0 | (946) |
Total other expense (income), net | $ (56) | $ 457 | $ (354) |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current: | |||
Federal | $ 4,423 | $ 6,020 | $ 6,084 |
State | 1,038 | 507 | 983 |
Foreign | 626 | 3,159 | 838 |
Current Income Tax Expense (Benefit) | 6,087 | 9,686 | 7,905 |
Deferred: | |||
Federal | 1,961 | 17,034 | 4,765 |
State | (73) | 643 | 184 |
Foreign | 275 | (470) | 62 |
Deferred Income Tax Expense (Benefit) | 2,163 | 17,207 | 5,011 |
Total income tax expense | $ 8,250 | $ 26,893 | $ 12,916 |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income before Income Tax, Domestic and Foreign (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [Abstract] | |||
Domestic operations | $ 49,089 | $ 57,079 | $ 47,599 |
Foreign operations | $ 4,257 | $ 2,723 | $ 2,269 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Examination [Line Items] | |||||
U.S. federal income tax rate, percent | 21.00% | 35.00% | 35.00% | ||
Tax cuts and jobs act description | The U.S. government enacted the Tax Act on December 22, 2017. The Tax Act makes broad and complex changes to the U.S. tax code that affected 2017, including, but not limited to, (1) requiring a one-time transition tax on certain unrepatriated earnings of foreign subsidiaries that is payable over eight years and (2) bonus depreciation that will allow for full expensing of qualified property. The Tax Act also establishes new tax laws that affected 2018, including, but not limited to, (1) reduction of the U.S. federal corporate tax rate; (2) the creation of the Base Erosion and Anti-Abuse (“BEAT”), a new minimum tax; (3) a general elimination of U.S. federal income taxes on dividends from foreign subsidiaries; (4) a new provision designed to tax Global Intangible Low-Taxed Income (“GILTI”), which allows for the possibility of using foreign tax credits and a deduction of up to 50 percent to offset the income tax liability (subject to some limitations); (5) the repeal of the domestic production activity deduction; (6) limitations on the deductibility of certain executive compensation; (7) limitations on the use of foreign tax credits to reduce the U.S. income tax liability; and (8) a new provision designed to allow a benefit for the foreign-derived intangible income (“FDII”). In 2018 we evaluated the effects and have determined what accounting policies needed to change and we have calculated the impact of the above provisions. | ||||
Remeasurement of deferred | $ 8,000,000 | ||||
Provisional adjustment to deferred income tax expense | 8,000,000 | ||||
Adjustment to deferred income tax expense | $ 0 | ||||
Transition tax expense | $ 100,000 | 1,500,000 | |||
Section 78 FTC | 1,500,000 | ||||
Tax reform FTC valuation allowance | 1,500,000 | ||||
Deferred tax assets, valuation allowance | 3,172,000 | $ 3,172,000 | 2,447,000 | ||
Operating loss carryforward, federal | 497,000 | 497,000 | |||
Operating loss carryforward, state | 205,000 | 205,000 | |||
Operating loss carryforward, foreign | 990,000 | 990,000 | |||
Federal RD credit carryforward | 0 | 0 | |||
State RD Credit Carryforward | 318,000 | 318,000 | |||
Foreign RD credit carryforward | 2,155,000 | 2,155,000 | |||
Undistributed earnings of foreign subsidiaries | 7,914,000 | 7,914,000 | |||
Unrecognized tax benefit adjustment to income tax expense | 4,995,000 | 4,995,000 | 4,403,000 | ||
Unrecognized tax benefits, income tax penalties and interest expense | 199,000 | 246,000 | $ 76,000 | ||
Unrecognized tax benefits, income tax penalties and interest accrued | 1,445,000 | 1,445,000 | $ 1,190,000 | ||
Foreign [Member] | |||||
Income Tax Examination [Line Items] | |||||
Tax credit carry forwards valuation allowance | 2,155,000 | $ 2,155,000 | |||
Operating loss carryforwards expiration date | Dec. 31, 2026 | ||||
Foreign [Member] | Research and Development Credit [Member] | |||||
Income Tax Examination [Line Items] | |||||
Tax credit carryforward expiration date | Dec. 31, 2028 | ||||
Foreign [Member] | China [Member] | |||||
Income Tax Examination [Line Items] | |||||
Operating loss valuation allowance | $ 112,000 | $ 112,000 | |||
Federal [Member] | |||||
Income Tax Examination [Line Items] | |||||
Operating loss carryforwards expiration date | Dec. 31, 2032 | ||||
State [Member] | |||||
Income Tax Examination [Line Items] | |||||
Operating loss carryforwards expiration date | Dec. 31, 2032 | ||||
State [Member] | Research and Development Credit [Member] | |||||
Income Tax Examination [Line Items] | |||||
Tax credit carryforward expiration date | Dec. 21, 2024 |
Income Taxes - Schedule of Effe
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [Abstract] | |||
Federal income tax provision at statutory rate | $ 11,203 | $ 20,931 | $ 17,454 |
State taxes, net of federal effect | 747 | 573 | 822 |
Foreign taxes, net of federal effect | 17 | (238) | (1,613) |
Domestic manufacturing benefit | (1,569) | (1,244) | |
FDII Deduction, related to the Tax Act | (2,217) | ||
GILTI income net of S250 deduction, related to the Tax Act | 113 | ||
Section 162(m) | 526 | ||
Research tax credit | (2,298) | (1,559) | (692) |
Deferred tax true-up | 57 | 41 | (1,644) |
Remeasurement of deferred tax balances, related to the Tax Act | (33) | 8,020 | |
Transition tax on foreign earnings, related to the Tax Act | 138 | (106) | |
Other | (3) | 800 | (167) |
Total income tax expense | $ 8,250 | $ 26,893 | $ 12,916 |
Effective tax rate | 15.00% | 45.00% | 26.00% |
Income Taxes - Schedule of Ef_2
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Parenthetical) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Income Taxes [Abstract] | |
GILTI income deduction, related to Tax Act | $ 250 |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Income Taxes [Abstract] | ||
Research and development credit carryforward | $ 198 | $ 216 |
Reserves and accruals not currently deductible | 1,969 | 1,883 |
Deferred revenue | 1,201 | 1,075 |
Domestic net operating loss carryforwards | 832 | 892 |
Foreign net operating loss and credit carryforwards | 3,146 | 2,551 |
Intangibles | 4,402 | 5,388 |
Share-based compensation | 1,259 | 1,500 |
Inventory obsolescence reserve | 2,774 | 3,260 |
Other | 810 | 1,135 |
Gross deferred tax assets | 16,591 | 17,900 |
Valuation allowance for deferred tax assets | (3,172) | (2,447) |
Deferred tax assets after valuation allowance | 13,419 | 15,453 |
Gross deferred tax liabilities | (609) | (574) |
Net deferred tax assets | $ 12,810 | $ 14,879 |
Income Taxes - Schedule of Unre
Income Taxes - Schedule of Unrecognized Tax Benefits Roll Forward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [Abstract] | |||
Balance, beginning of the period | $ 4,880 | $ 4,827 | $ 5,236 |
Gross increases—tax positions in prior period | 496 | 171 | 118 |
Gross decreases—tax positions in prior period | (61) | (362) | (735) |
Gross increases—current-period tax positions | 213 | 244 | 208 |
Lapse of statute of limitations | 0 | 0 | 0 |
Balance, end of the period | $ 5,528 | $ 4,880 | $ 4,827 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss, Net of Tax (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Beginning Balance | $ (333,154) | $ (293,735) |
Ending balance | (361,888) | (333,154) |
Foreign Currency Translation Adjustments [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Beginning Balance | 1,079 | 2,742 |
Net current period other comprehensive income (loss) | 194 | (1,663) |
Reclassifications | 0 | 0 |
Ending balance | 1,273 | 1,079 |
Net Unrealized (Gains) Losses on Marketable Securities [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Beginning Balance | 126 | 37 |
Net current period other comprehensive income (loss) | (136) | 89 |
Reclassifications | 0 | 0 |
Ending balance | (10) | 126 |
Accumulated Other Comprehensive Loss (Income) [Member] | ||
Accumulated Other Comprehensive Income Loss [Line Items] | ||
Beginning Balance | 1,205 | 2,779 |
Net current period other comprehensive income (loss) | 58 | (1,574) |
Reclassifications | 0 | 0 |
Ending balance | $ 1,263 | $ 1,205 |
Segment Reporting and Geograp_3
Segment Reporting and Geographic Information - Additional Information (Details) | 12 Months Ended | ||
Dec. 31, 2018SegmentCustomer | Dec. 31, 2017Customer | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Number of reportable segments | Segment | 1 | ||
Customer Concentration Risk [Member] | Revenue [Member] | |||
Segment Reporting Information [Line Items] | |||
Segment reporting, disclosure of major customer | No individual end user customer accounted for more than 10% of the Company’s revenue in 2017 and 2016. The Company does not have purchase contracts with any of its customers that obligate them to continue to purchase its products. | No individual end user customer accounted for more than 10% of the Company’s revenue in 2017 and 2016. The Company does not have purchase contracts with any of its customers that obligate them to continue to purchase its products. | |
Customer Concentration Risk [Member] | Revenue [Member] | SK Hynix Inc. [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration risk, percentage | 12.20% | ||
Customer Concentration Risk [Member] | Accounts Receivable [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration risk, percentage | 10.00% | 10.00% | |
Number of major customer | Customer | 0 | 0 |
Segment Reporting and Geograp_4
Segment Reporting and Geographic Information - Schedule of Revenue from External Customers by Products and Services (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 273,784 | $ 255,098 | $ 232,780 |
Sales [Member] | Product [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration risk, percentage | 100.00% | 100.00% | 100.00% |
Process Control [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 190,098 | $ 177,177 | $ 146,652 |
Process Control [Member] | Sales [Member] | Product [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration risk, percentage | 70.00% | 70.00% | 63.00% |
Lithography [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 14,975 | $ 14,234 | $ 18,949 |
Lithography [Member] | Sales [Member] | Product [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration risk, percentage | 5.00% | 5.00% | 8.00% |
Software Revenue [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 29,168 | $ 25,473 | $ 29,795 |
Software Revenue [Member] | Sales [Member] | Product [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration risk, percentage | 11.00% | 10.00% | 13.00% |
Parts Revenue [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 28,658 | $ 27,143 | $ 25,343 |
Parts Revenue [Member] | Sales [Member] | Product [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration risk, percentage | 10.00% | 11.00% | 11.00% |
Service Revenue [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 10,885 | $ 11,071 | $ 12,041 |
Service Revenue [Member] | Sales [Member] | Product [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration risk, percentage | 4.00% | 4.00% | 5.00% |
Segment Reporting and Geograp_5
Segment Reporting and Geographic Information - Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 273,784 | $ 255,098 | $ 232,780 |
United States [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 43,944 | 36,104 | 30,876 |
Taiwan [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 45,312 | 63,079 | 68,211 |
South Korea [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 51,750 | 44,180 | 15,556 |
Singapore [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 14,371 | 12,775 | 35,517 |
Austria [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 719 | 2,601 | 2,049 |
Japan [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 22,361 | 18,943 | 11,875 |
Germany [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 14,913 | 15,580 | 9,759 |
China [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 63,243 | 35,925 | 33,720 |
Other Europe [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 11,541 | 21,167 | 18,720 |
Other Asia [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 5,630 | $ 4,744 | $ 6,497 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Details) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Stock Option [Member] | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of diluted earnings per share | 0 | 0 | 39 |
Restricted Stock Units (RSUs) [Member] | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of diluted earnings per share | 52 | 8 | 0 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |||||||||||
Net income | $ 8,082 | $ 7,187 | $ 14,697 | $ 15,130 | $ (804) | $ 17,369 | $ 9,193 | $ 7,151 | $ 45,096 | $ 32,909 | $ 36,952 |
Basic earnings per share - weighted average shares outstanding | 31,268 | 31,901 | 31,859 | 31,662 | 31,597 | 31,571 | 31,501 | 31,290 | 31,671 | 31,491 | 31,128 |
Restricted stock units and stock options - dilutive shares | 529 | 670 | 467 | ||||||||
Convertible senior notes - dilutive shares | 0 | 0 | 103 | ||||||||
Warrants - dilutive shares | 0 | 1 | 92 | ||||||||
Diluted earnings per share - weighted average shares outstanding | 31,645 | 32,408 | 32,437 | 32,317 | 31,597 | 32,170 | 32,146 | 32,058 | 32,200 | 32,162 | 31,790 |
Basic | $ 0.26 | $ 0.23 | $ 0.46 | $ 0.48 | $ (0.03) | $ 0.55 | $ 0.29 | $ 0.23 | $ 1.42 | $ 1.05 | $ 1.19 |
Diluted | $ 0.26 | $ 0.22 | $ 0.45 | $ 0.47 | $ (0.03) | $ 0.54 | $ 0.29 | $ 0.22 | $ 1.40 | $ 1.02 | $ 1.16 |
Share Repurchase Authorizatio_2
Share Repurchase Authorization - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2016 | Oct. 31, 2018 | |
Shares Repurchase Authorization [Line Items] | |||
Stock repurchase, number of shares authorized to be repurchased | 3,000,000 | ||
Shares of common stock repurchased | 1,061,000 | 615,000 | |
Amount available for future repurchase | $ 33,239,000 | ||
Common Stock [Member] | |||
Shares Repurchase Authorization [Line Items] | |||
Shares of common stock repurchased | 1,061,000 | ||
Number of share repurchases programs | 2 | ||
Maximum [Member] | |||
Shares Repurchase Authorization [Line Items] | |||
Stock repurchase, authorized amount | $ 40,000,000 |
Share Repurchase Authorizatio_3
Share Repurchase Authorization - Summary of Stock Repurchases (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2016 | |
Share Repurchase Program [Abstract] | ||
Shares of common stock repurchased | 1,061,000 | 615,000 |
Cost of stock repurchased | $ 21,069 | $ 8,044 |
Average price paid per share | $ 19.86 | $ 13.07 |
Quarterly Consolidated Financ_3
Quarterly Consolidated Financial Data (unaudited) - Schedule of Consolidated Quarterly Financial Information (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Quarterly Consolidated Financial Data Unaudited [Abstract] | |||||||||||
Revenue | $ 62,780 | $ 60,432 | $ 77,476 | $ 73,096 | $ 60,081 | $ 66,920 | $ 67,418 | $ 60,679 | $ 273,784 | $ 255,098 | |
Gross profit | 32,668 | 31,454 | 41,736 | 42,421 | 32,126 | 35,145 | 35,456 | 31,868 | 148,279 | 134,595 | $ 123,551 |
Income before income taxes | 10,014 | 8,368 | 17,290 | 17,674 | 11,780 | 25,663 | 12,752 | 9,607 | 53,346 | 59,802 | 49,868 |
Net income | $ 8,082 | $ 7,187 | $ 14,697 | $ 15,130 | $ (804) | $ 17,369 | $ 9,193 | $ 7,151 | $ 45,096 | $ 32,909 | $ 36,952 |
Income (loss) per share: | |||||||||||
Basic | $ 0.26 | $ 0.23 | $ 0.46 | $ 0.48 | $ (0.03) | $ 0.55 | $ 0.29 | $ 0.23 | $ 1.42 | $ 1.05 | $ 1.19 |
Diluted | $ 0.26 | $ 0.22 | $ 0.45 | $ 0.47 | $ (0.03) | $ 0.54 | $ 0.29 | $ 0.22 | $ 1.40 | $ 1.02 | $ 1.16 |
Weighted average number of shares outstanding: | |||||||||||
Basic | 31,268 | 31,901 | 31,859 | 31,662 | 31,597 | 31,571 | 31,501 | 31,290 | 31,671 | 31,491 | 31,128 |
Diluted | 31,645 | 32,408 | 32,437 | 32,317 | 31,597 | 32,170 | 32,146 | 32,058 | 32,200 | 32,162 | 31,790 |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts - Schedule of Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Allowance For Doubtful Accounts [Member] | |||
Valuation And Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | $ 460 | $ 680 | $ 713 |
Charged to (Recovery of) Costs and Expense | 293 | (222) | 5 |
Deductions | 62 | (2) | 38 |
Balance at End of Period | 691 | 460 | 680 |
Deferred Tax Valuation Allowance [Member] | |||
Valuation And Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 2,447 | 1,924 | 2,205 |
Charged to (Recovery of) Costs and Expense | 725 | 626 | 71 |
Charged to Other Accounts (net) | (103) | (352) | |
Balance at End of Period | $ 3,172 | $ 2,447 | $ 1,924 |