Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 26, 2020 | Oct. 26, 2020 | |
Document Information [Line Items] | ||
Entity Central Index Key | 0000855658 | |
Entity Registrant Name | Lattice Semiconductor Corp | |
Amendment Flag | false | |
Current Fiscal Year End Date | --01-02 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2020 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 26, 2020 | |
Document Transition Report | false | |
Entity File Number | 000-18032 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 93-0835214 | |
Entity Address, Address Line One | 5555 NE Moore Court | |
Entity Address, City or Town | Hillsboro | |
Entity Address, State or Province | OR | |
Entity Address, Postal Zip Code | 97124 | |
City Area Code | 503 | |
Local Phone Number | 268-8000 | |
Title of 12(b) Security | Common Stock, $.01 par value | |
Trading Symbol | LSCC | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 136,155,870 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | |
Revenue | $ 103,042 | $ 103,469 | $ 300,947 | $ 303,856 |
Cost of revenue | 40,736 | 42,030 | 120,502 | 124,727 |
Gross margin | 62,306 | 61,439 | 180,445 | 179,129 |
Operating expenses: | ||||
Research and development | 22,439 | 20,032 | 66,590 | 59,074 |
Selling, general, and administrative | 23,758 | 21,078 | 70,797 | 61,618 |
Amortization of acquired intangible assets | 603 | 3,389 | 3,846 | 10,168 |
Restructuring charges | 2,692 | 252 | 4,178 | 4,719 |
Total operating expenses | 49,492 | 44,751 | 145,411 | 135,579 |
Income from operations | 12,814 | 16,688 | 35,034 | 43,550 |
Interest expense | (792) | (2,022) | (2,914) | (10,547) |
Other expense, net | (70) | (61) | (83) | (2,017) |
Income before income taxes | 11,952 | 14,605 | 32,037 | 30,986 |
Income tax (benefit) expense | (655) | 1,066 | 634 | 1,480 |
Net income | $ 12,607 | $ 13,539 | $ 31,403 | $ 29,506 |
Net income per share: | ||||
Basic (in dollars per share) | $ 0.09 | $ 0.10 | $ 0.23 | $ 0.22 |
Diluted (in dollars per share) | $ 0.09 | $ 0.10 | $ 0.22 | $ 0.21 |
Shares used in per share calculations: | ||||
Basic (in shares) | 135,598 | 132,997 | 134,903 | 132,065 |
Diluted (in shares) | 141,524 | 138,894 | 140,763 | 137,679 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | |
Net income | $ 12,607 | $ 13,539 | $ 31,403 | $ 29,506 |
Other comprehensive income: | ||||
Translation adjustments, net of tax | 859 | (93) | 899 | (7) |
Change in actuarial valuation of defined benefit pension | (507) | 0 | (507) | 0 |
Unrealized gain related to marketable securities, net of tax | 0 | 0 | 0 | 42 |
Reclassification adjustment for gains related to marketable securities included in Other income (expense), net of tax | 0 | 0 | 0 | (53) |
Comprehensive income | $ 12,959 | $ 13,446 | $ 31,795 | $ 29,488 |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands | Sep. 26, 2020 | Dec. 28, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 182,268 | $ 118,081 |
Accounts receivable, net of allowance for credit losses | 72,989 | 64,917 |
Inventories | 59,488 | 54,980 |
Prepaid expenses and other current assets | 24,205 | 24,452 |
Total current assets | 338,950 | 262,430 |
Property and equipment, less accumulated depreciation of $108,604 at September 26, 2020 and $125,990 at December 28, 2019 | 39,782 | 39,230 |
Operating lease right-of-use assets | 21,614 | 23,591 |
Intangible assets, net | 3,496 | 6,977 |
Goodwill | 267,514 | 267,514 |
Deferred income taxes | 483 | 478 |
Other long-term assets | 10,592 | 11,796 |
Total assets | 682,431 | 612,016 |
Current liabilities: | ||
Accounts payable and accrued expenses | 59,742 | 60,255 |
Accrued payroll obligations | 15,148 | 13,404 |
Current portion of long-term debt | 8,382 | 21,474 |
Current portion of operating lease liabilities | 4,562 | 4,686 |
Total current liabilities | 87,834 | 99,819 |
Long-term debt, net of current portion | 162,215 | 125,072 |
Long-term operating lease liabilities, net of current portion | 19,505 | 21,438 |
Other long-term liabilities | 35,984 | 38,028 |
Total liabilities | 305,538 | 284,357 |
Contingencies (Note 11) | 0 | 0 |
Stockholders' equity: | ||
Preferred stock, $.01 par value, 10,000,000 shares authorized, none issued and outstanding | 0 | 0 |
Common stock, $.01 par value, 300,000,000 shares authorized; 136,078,000 shares issued and outstanding as of September 26, 2020 and 133,883,000 shares issued and outstanding as of December 28, 2019 | 1,361 | 1,339 |
Additional paid-in capital | 779,630 | 762,213 |
Accumulated deficit | (401,887) | (433,290) |
Accumulated other comprehensive loss | (2,211) | (2,603) |
Total stockholders' equity | 376,893 | 327,659 |
Total liabilities and stockholders' equity | $ 682,431 | $ 612,016 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) $ in Thousands | Sep. 26, 2020 | Dec. 28, 2019 |
Accumulated depreciation | $ 108,604 | $ 125,990 |
Preferred stock, par value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 300,000,000 | 300,000,000 |
Common stock, shares issued (in shares) | 136,078,000 | 133,883,000 |
Common stock, shares outstanding (in shares) | 136,078,000 | 133,883,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 26, 2020 | Sep. 28, 2019 | |
Cash flows from operating activities: | ||
Net income | $ 31,403 | $ 29,506 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 19,263 | 24,682 |
Stock-based compensation expense | 30,228 | 13,335 |
Reduction in the carrying amount of right-of-use assets | 4,464 | 4,372 |
Amortization of debt issuance costs and discount | 300 | 1,539 |
Impairment of operating lease right-of-use asset (recorded in Restructuring charges) | 0 | 977 |
Loss on refinancing of long-term debt | 0 | 2,235 |
Other non-cash adjustments | (101) | (63) |
Changes in assets and liabilities: | ||
Accounts receivable, net | (8,072) | 13,457 |
Inventories | (4,508) | 7,424 |
Prepaid expenses and other assets | (3,516) | (8,741) |
Accounts payable and accrued expenses | 1,861 | (196) |
Accrued payroll obligations | 1,744 | 2,063 |
Operating lease liabilities, current and long-term portions | (4,331) | (5,571) |
Income taxes payable | 223 | (202) |
Net cash provided by operating activities | 68,958 | 84,817 |
Cash flows from investing activities: | ||
Capital expenditures | (9,781) | (11,729) |
Cash paid for software licenses | (6,850) | (5,745) |
Proceeds from sales of and maturities of short-term marketable securities | 0 | 9,655 |
Net cash used in investing activities | (16,631) | (7,819) |
Cash flows from financing activities: | ||
Restricted stock unit tax withholdings | (19,934) | (7,813) |
Proceeds from issuance of common stock | 7,145 | 16,178 |
Proceeds from issuance of long-term debt | 50,000 | 206,500 |
Original issue discount and debt issuance costs | 0 | (2,086) |
Repayment of debt | (26,250) | (311,408) |
Net cash provided by (used in) financing activities | 10,961 | (98,629) |
Effect of exchange rate change on cash | 899 | (7) |
Net increase in cash and cash equivalents | 64,187 | (21,638) |
Beginning cash and cash equivalents | 118,081 | 119,051 |
Ending cash and cash equivalents | 182,268 | 97,413 |
Interest paid | 2,849 | 9,932 |
Operating lease payments | 5,786 | 6,540 |
Income taxes paid, net of refunds | 2,317 | 1,922 |
Accrued purchases of plant and equipment | 549 | 1,841 |
Operating lease right-of-use assets obtained in exchange for lease obligations | $ 2,274 | $ 404 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Balances (in shares) at Dec. 29, 2018 | 129,728,000 | ||||
Balances at Dec. 29, 2018 | $ 1,297 | $ 736,274 | $ (476,783) | $ (2,331) | $ 258,457 |
Net income | $ 0 | 0 | 29,506 | 0 | 29,506 |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of shares withheld for employee taxes (in shares) | 3,774,000 | ||||
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of shares withheld for employee taxes | $ 38 | 8,327 | 0 | 0 | 8,365 |
Stock-based compensation related to stock options, ESPP and RSUs | 0 | 13,335 | 0 | 0 | 13,335 |
Translation adjustments, net of tax | 0 | 0 | 0 | (7) | (7) |
Change in actuarial valuation of defined benefit pension | 0 | ||||
Unrealized loss related to marketable securities, net of tax | 0 | 0 | 0 | 42 | 42 |
Recognized gain on redemption of marketable securities, previously unrealized | $ 0 | 0 | 0 | (53) | (53) |
Balances (in shares) at Sep. 28, 2019 | 133,502,000 | ||||
Balances at Sep. 28, 2019 | $ 1,335 | 757,936 | (447,277) | (2,349) | 309,645 |
Balances (in shares) at Jun. 29, 2019 | 132,536,000 | ||||
Balances at Jun. 29, 2019 | $ 1,325 | 756,924 | (460,816) | (2,256) | 295,177 |
Net income | $ 0 | 0 | 13,539 | 0 | 13,539 |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of shares withheld for employee taxes (in shares) | 966,000 | ||||
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of shares withheld for employee taxes | $ 10 | (4,668) | 0 | 0 | (4,658) |
Stock-based compensation related to stock options, ESPP and RSUs | 0 | 5,680 | 0 | 0 | 5,680 |
Translation adjustments, net of tax | $ 0 | 0 | 0 | (93) | (93) |
Change in actuarial valuation of defined benefit pension | 0 | ||||
Unrealized loss related to marketable securities, net of tax | 0 | ||||
Recognized gain on redemption of marketable securities, previously unrealized | 0 | ||||
Balances (in shares) at Sep. 28, 2019 | 133,502,000 | ||||
Balances at Sep. 28, 2019 | $ 1,335 | 757,936 | (447,277) | (2,349) | $ 309,645 |
Balances (in shares) at Dec. 28, 2019 | 133,883,000 | 133,883,000 | |||
Balances at Dec. 28, 2019 | $ 1,339 | 762,213 | (433,290) | (2,603) | $ 327,659 |
Net income | $ 0 | 0 | 31,403 | 0 | 31,403 |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of shares withheld for employee taxes (in shares) | 2,195,000 | ||||
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of shares withheld for employee taxes | $ 22 | (12,811) | 0 | 0 | (12,789) |
Stock-based compensation related to stock options, ESPP and RSUs | 0 | 30,228 | 0 | 0 | 30,228 |
Translation adjustments, net of tax | 0 | 0 | 0 | 899 | 899 |
Change in actuarial valuation of defined benefit pension | $ 0 | 0 | 0 | (507) | (507) |
Unrealized loss related to marketable securities, net of tax | 0 | ||||
Recognized gain on redemption of marketable securities, previously unrealized | $ 0 | ||||
Balances (in shares) at Sep. 26, 2020 | 136,078,000 | 136,078,000 | |||
Balances at Sep. 26, 2020 | $ 1,361 | 779,630 | (401,887) | (2,211) | $ 376,893 |
Balances (in shares) at Jun. 27, 2020 | 135,147,000 | ||||
Balances at Jun. 27, 2020 | $ 1,351 | 779,836 | (414,494) | (2,563) | 364,130 |
Net income | $ 0 | 0 | 12,607 | 0 | 12,607 |
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of shares withheld for employee taxes (in shares) | 931,000 | ||||
Common stock issued in connection with the exercise of stock options, ESPP and vested RSUs, net of shares withheld for employee taxes | $ 10 | (10,694) | 0 | 0 | (10,684) |
Stock-based compensation related to stock options, ESPP and RSUs | 0 | 10,488 | 0 | 0 | 10,488 |
Translation adjustments, net of tax | 0 | 0 | 0 | 859 | 859 |
Change in actuarial valuation of defined benefit pension | $ 0 | 0 | 0 | (507) | (507) |
Unrealized loss related to marketable securities, net of tax | 0 | ||||
Recognized gain on redemption of marketable securities, previously unrealized | $ 0 | ||||
Balances (in shares) at Sep. 26, 2020 | 136,078,000 | 136,078,000 | |||
Balances at Sep. 26, 2020 | $ 1,361 | $ 779,630 | $ (401,887) | $ (2,211) | $ 376,893 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Basis of Presentation and Significant Accounting Policies [Text Block] | 1 Lattice Semiconductor Corporation, a Delaware corporation, and its subsidiaries (“Lattice,” the “Company,” “we,” “us,” or “our”) develop technologies that we monetize through differentiated programmable logic semiconductor products, system solutions, design services, and licenses. Lattice was founded in 1983 Basis of Presentation and Use of Estimates The accompanying Consolidated Financial Statements are unaudited and have been prepared in accordance with U.S. Generally Accepted Accounting Principles ("U.S. GAAP") and pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). In our opinion, they include all adjustments, consisting only of normal recurring adjustments, necessary for the fair presentation of results for the interim periods. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted as permitted by the SEC's rules and regulations for interim reporting. These Consolidated Financial Statements should be read in conjunction with our audited financial statements and notes thereto included in our Annual Report on Form 10 December 28, 2019 2019 10 The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and judgments affecting the amounts reported in our consolidated condensed financial statements and the accompanying notes. The actual results that we experience may September 26, 2020, 19 may We describe our accounting methods and practices in more detail in our 2019 10 no 2019 10 Fiscal Reporting Periods We report based on a 52 53 December 31. 2020 53 January 2, 2021, 2019 52 December 28, 2019. third 2020 third 2019 September 26, 2020 September 28, 2019 nine 13 39 Concentrations of Risk Distributors have historically accounted for a significant portion of our total revenue. Revenue attributable to distributors as a percentage of total revenue was 82% and 81% for the third 2020 2019 nine September 26, 2020 September 28, 2019, Distributors also account for a substantial portion of our net accounts receivable. Our two September 26, 2020 December 28, 2019 No 10% Recently Issued Accounting Standards In December 2019, 2019 12, Income Taxes (Topic 740 December 15, 2020. may not 2019 12 |
Note 2 - Net Income Per Share
Note 2 - Net Income Per Share | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 2 Our calculation of the diluted share count includes the number of shares from our equity awards with market conditions or performance conditions that would be issuable under the terms of such awards at the end of the reporting period. For equity awards with a market condition, the number of shares included in the diluted share count as of September 26, 2020 is determined by measuring the achievement of the market condition as of the end of the reporting period. For equity awards with a performance condition, no September 26, 2020 two four not See "Note 9 to our consolidated financial statements for further discussion of our equity awards with market conditions or performance conditions. A summary of basic and diluted Net income per share is presented in the following table: Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (in thousands, except per share data) 2020 2019 2020 2019 Net income $ 12,607 $ 13,539 $ 31,403 $ 29,506 Shares used in basic Net income per share 135,598 132,997 134,903 132,065 Dilutive effect of stock options, RSUs, ESPP shares, and equity awards with a market condition or performance condition 5,926 5,897 5,860 5,614 Shares used in diluted Net income per share 141,524 138,894 140,763 137,679 Basic Net income per share $ 0.09 $ 0.10 $ 0.23 $ 0.22 Diluted Net income per share $ 0.09 $ 0.10 $ 0.22 $ 0.21 The computation of diluted Net income per share excludes the effects of stock options, restricted stock units ("RSUs"), Employee Stock Purchase Plan ("ESPP") shares, and equity awards with a market condition or performance condition that are antidilutive, aggregating approximately the following number of shares: Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (in thousands) 2020 2019 2020 2019 Stock options, RSUs, ESPP shares, and equity awards with a market condition or performance condition excluded as they are antidilutive 370 909 514 328 |
Note 3 - Revenue From Contracts
Note 3 - Revenue From Contracts With Customers | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Revenue from Contract with Customer [Text Block] | 3 Disaggregation of revenue The following tables provide information about revenue from contracts with customers disaggregated by major class of revenue, revenue by channel, and by geographical market, based on ship-to location of the end customer, where available, and ship-to location of distributor otherwise: Major Class of Revenue Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Product $ 96,650 94 % $ 97,477 94 % $ 285,871 95 % $ 287,185 95 % Licensing and services 6,392 6 % 5,992 6 % 15,076 5 % 16,671 5 % Total revenue $ 103,042 100 % $ 103,469 100 % $ 300,947 100 % $ 303,856 100 % Revenue by Channel Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Product revenue - Distributors $ 84,409 82 % $ 84,135 81 % $ 245,016 81 % $ 248,234 82 % Product revenue - Direct 12,241 12 % 13,342 13 % 40,855 14 % 38,951 13 % Licensing and services revenue 6,392 6 % 5,992 6 % 15,076 5 % 16,671 5 % Total revenue $ 103,042 100 % $ 103,469 100 % $ 300,947 100 % $ 303,856 100 % Revenue by Geographical Market Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 United States $ 10,455 10 % $ 9,296 9 % $ 33,634 11 % $ 32,352 11 % Other Americas 4,857 5 % 2,838 3 % 12,772 4 % 9,518 3 % Americas 15,312 15 % 12,134 12 % 46,406 15 % 41,870 14 % China 58,122 56 % 57,301 55 % 154,086 51 % 157,648 52 % Taiwan 7,505 7 % 6,796 7 % 24,957 8 % 14,147 5 % Japan 4,346 4 % 10,262 10 % 18,780 6 % 31,534 10 % Other Asia 9,766 10 % 5,285 5 % 25,169 9 % 22,171 7 % Asia 79,739 77 % 79,644 77 % 222,992 74 % 225,500 74 % Europe 7,991 8 % 11,691 11 % 31,549 11 % 36,486 12 % Total revenue $ 103,042 100 % $ 103,469 100 % $ 300,947 100 % $ 303,856 100 % Contract balances Our contract assets relate to our rights to consideration for licenses and royalties due to us as a member of the HDMI consortium, with collection dependent on events other than the passage of time, such as collection of licenses and royalties from customers by the HDMI licensing agent. The balance results primarily from the amount of estimated revenue related to HDMI that we have recognized to date, but which has not first nine 2020 (In thousands) Contract assets as of December 28, 2019 $ 5,569 Revenues recorded during the period 11,660 Transferred to Accounts receivable or collected (12,091 ) Contract assets as of September 26, 2020 $ 5,138 Contract liabilities are included in Accounts payable and accrued expenses on our Consolidated Balance Sheets. The following table summarizes activity during the first nine 2020 (In thousands) Contract liabilities as of December 28, 2019 $ 2,313 Accruals for estimated future stock rotation and scrap returns 4,474 Less: Release of accruals for recognized stock rotation and scrap returns (2,571 ) Prepayment for performance obligations expected to be satisfied within three months 336 Less: Revenue recognized on satisfaction of performance obligations (179 ) Contract liabilities as of September 26, 2020 $ 4,373 The impact to revenue from the release of accruals for recognized stock rotation and scrap returns was offset by the processing of return merchandise authorizations totaling approximately $3.0 million, yielding a net revenue reduction of approximately $0.4 million for the first nine 2020 |
Note 4 - Balance Sheet Componen
Note 4 - Balance Sheet Components | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Supplemental Balance Sheet Disclosures [Text Block] | 4 Accounts Receivable Accounts receivable do not September 26, December 28, (In thousands) 2020 2019 Accounts receivable $ 73,043 $ 65,023 Less: Allowance for credit losses (54 ) (106 ) Accounts receivable, net of allowance for credit losses $ 72,989 $ 64,917 Inventories September 26, December 28, (In thousands) 2020 2019 Work in progress $ 38,691 $ 39,855 Finished goods 20,797 15,125 Total inventories $ 59,488 $ 54,980 Property and Equipment – Geographic Information Our Property and equipment, net by country at the end of each period was as follows: September 26, December 28, (In thousands) 2020 2019 United States $ 29,830 $ 32,313 China 1,390 1,683 Philippines 2,589 2,683 Taiwan 5,224 1,885 Japan 555 283 Other 194 383 Total foreign property and equipment, net 9,952 6,917 Total property and equipment, net $ 39,782 $ 39,230 Accounts Payable and Accrued Expenses Included in Accounts payable and accrued expenses in the Consolidated Balance Sheets are the following balances: September 26, December 28, (In thousands) 2020 2019 Trade accounts payable $ 40,113 $ 44,350 Liability for non-cancelable contracts 7,769 6,964 Other accrued expenses 11,860 8,941 Total accounts payable and accrued expenses $ 59,742 $ 60,255 Cloud Based Computing Implementation Costs Under the guidance in ASU 2018 15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350 40 first nine 2020 (In thousands) Cloud based computing implementation costs as of December 28, 2019 $ 2,543 Costs capitalized 646 Amortization (388 ) Cloud based computing implementation costs as of September 26, 2020 $ 2,801 |
Note 5 - Long-term Debt
Note 5 - Long-term Debt | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Long-term Debt [Text Block] | 5 On May 17, 2019, five five 2019 10 During the first nine 2020 second 2020 first 2021. first 2020. September 26, December 28, (In thousands) 2020 2019 Principal amount $ 171,875 $ 148,125 Unamortized original issuance discount and debt costs (1,278 ) (1,579 ) Less: Current portion of long-term debt (8,382 ) (21,474 ) Long-term debt, net of current portion and unamortized debt issue costs $ 162,215 $ 125,072 As of September 26, 2020 s 1.62%, and the effective interest rate on the revolving loan was 1.42%. We pay a commitment fee of 0.20% on the unused portion of the revolving loan. Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Contractual interest $ 663 $ 1,686 $ 2,667 $ 8,991 Amortization of original issuance discount and debt costs 92 324 300 1,539 Total interest expense related to long-term debt $ 755 $ 2,010 $ 2,967 $ 10,530 Expected future principal payments are based on the schedule of required quarterly installments. With the accelerated principal payments we made during the second 2020, second 2021. September 26, 2020 Fiscal year (in thousands) 2020 (remaining 3 months) $ - 2021 13,125 2022 17,500 2023 13,125 2024 128,125 $ 171,875 |
Note 6 - Restructuring
Note 6 - Restructuring | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Restructuring and Related Activities Disclosure [Text Block] | 6 In March 2020, “Q1 2020 Q1 2020 third 2020 September 26, 2020, Q1 2020 Under the Q2 2019 2019 10 third 2020 nine September 26, 2020. third 2019 nine September 28, 2019. September 26, 2020 Q2 2019 Q2 2019 Under the June 2017 2019 10 third 2020 third 2020 nine September 26, 2020. third 2019 nine September 28, 2019. September 26, 2020 June 2017 June 2017 These expenses were recorded to Restructuring charges on our Consolidated Statements of Operations. The restructuring accrual balance is presented in Accounts payable and accrued expenses and in Other long-term liabilities on our Consolidated Balance Sheets. The following table displays the activity related to our restructuring plans: (In thousands) Severance & Related (1) Lease Termination & Fixed Assets Software Contracts & Engineering Tools (2) Other (3) Total Accrued Restructuring at December 28, 2019 $ 160 $ 6,585 $ — $ 865 $ 7,610 Restructuring charges 1,733 2,132 — 313 4,178 Costs paid or otherwise settled (1,254 ) (1,275 ) — (526 ) (3,055 ) Accrued Restructuring at September 26, 2020 $ 639 $ 7,442 $ — $ 652 $ 8,733 Accrued Restructuring at December 29, 2018 $ 1,814 $ 8,630 $ 218 $ 18 $ 10,680 Restructuring charges 625 2,482 — 1,612 4,719 Costs paid or otherwise settled (2,279 ) (3,714 ) (218 ) (96 ) (6,307 ) Accrued Restructuring at September 28, 2019 $ 160 $ 7,398 $ - $ 1,534 $ 9,092 ( 1 Includes employee relocation and outplacement costs ( 2 Includes cancellation of contracts, asset impairments, and accelerated depreciation on certain enterprise resource planning and customer relationship management systems ( 3 Beginning in the second 2019, Q2 2019 |
Note 7 - Leases
Note 7 - Leases | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Lessee, Operating Leases [Text Block] | 7 We have operating leases for corporate offices, sales offices, research and development facilities, storage facilities, and a data center, the terms of which are described in our 2019 10 2027, September 26, 2020 third 2020 2019, first nine 2020 2019, The following table presents the lease balance classifications within the Consolidated Balance Sheets and summarizes their activity during the first nine 2020 Operating lease right-of-use assets (in thousands) Balance as of December 28, 2019 $ 23,591 Right-of-use assets obtained for new lease contracts during the period 2,274 Reduction in the carrying amount of right-of-use assets during the period (4,464 ) Adjustments for present value and foreign currency effects 213 Balance as of September 26, 2020 $ 21,614 Operating lease liabilities (in thousands) Balance as of December 28, 2019 $ 26,124 Lease liabilities incurred for new lease contracts during the period 2,274 Accretion of lease liabilities 1,247 Operating cash used by payments on lease liabilities (5,786 ) Adjustments for present value, foreign currency, and restructuring liability effects 208 Balance as of September 26, 2020 24,067 Less: Current portion of operating lease liabilities (4,562 ) Long-term operating lease liabilities, net of current portion $ 19,505 Maturities of operating lease liabilities as of September 26, 2020 Fiscal year (in thousands) 2020 (remaining 3 months) $ 1,086 2021 6,313 2022 5,121 2023 5,030 2024 4,848 Thereafter 6,774 Total lease payments 29,172 Less: amount representing interest (4,966 ) Less: amount representing restructuring liability adjustments (139 ) Total lease liabilities $ 24,067 Prior to 2020 842 September 26, 2020 |
Note 8 - Intangible Assets
Note 8 - Intangible Assets | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | 8 On our Consolidated Balance Sheets at September 26, 2020 December 28, 2019 third 2020, third We recorded amortization expense related to intangible assets on the Consolidated Statements of Operations as presented in the following table: Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Research and development $ 17 $ 14 $ 45 $ 41 Amortization of acquired intangible assets 603 3,389 3,846 10,168 $ 620 $ 3,403 $ 3,891 $ 10,209 |
Note 9 - Stock-based Compensati
Note 9 - Stock-based Compensation | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Share-based Payment Arrangement [Text Block] | 9 Total stock-based compensation expense included in our Consolidated Statements of Operations is presented in the following table: Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Cost of revenue $ 834 $ 453 $ 2,322 $ 982 Research and development 2,633 1,658 7,461 4,029 Selling, general, and administrative 7,021 3,569 20,445 8,324 Total stock-based compensation $ 10,488 $ 5,680 $ 30,228 $ 13,335 Market-Based and Performance-Based Stock Compensation In 2018 2019, 2019 10 first 2020, 2020. first 2020. In the first 2020, three 2000 one second third th may th zero th 25 th 75 th During the third 2020, 75th one third During the second 2020, first four two four he first quarter of fiscal 2020 , the market condition for awards granted to certain executives in the first 2019 th percentile of the condition, and the first first 2020, third q 2020 2019 first nine 2020 2019, (Shares in thousands) Total Balance, December 28, 2019 1,163 Granted 349 Effect of vesting multiplier 440 Vested (816 ) Cancelled (14 ) Balance, September 26, 2020 1,122 |
Note 10 - Income Taxes
Note 10 - Income Taxes | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 10 We are subject to federal and state income tax as well as income tax in the foreign jurisdictions in which we operate. For the third 2020 2019 first nine 2020 2019, three nine September 26, 2020 September 28, 2019 three nine September 26, 2020 three nine September 28, 2019 We updated our evaluation of the valuation allowance position in the United States through September 26, 2020 not not Our liability recorded for uncertain tax positions (including penalties and interest) was $23.0 million and $24.6 million at September 26, 2020 December 28, 2019 We are not not |
Note 11 - Contingencies
Note 11 - Contingencies | 9 Months Ended |
Sep. 26, 2020 | |
Notes to Financial Statements | |
Legal Matters and Contingencies [Text Block] | 11 Legal Matters On or about December 19, 2018, 2008. January 2019, not From time to time, we are exposed to certain additional asserted and unasserted potential claims. We review the status of each significant matter and assess its potential financial exposure. If the potential loss from any claim or legal proceeding is considered probable and a range of possible losses can be estimated, we then accrue a liability for the estimated loss. Legal proceedings are subject to uncertainties, and the outcomes are difficult to predict. Because of such uncertainties, accruals are based only on the best information available at the time. As additional information becomes available, we reassess the potential liability related to pending claims and litigation and may |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 26, 2020 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation and Use of Estimates The accompanying Consolidated Financial Statements are unaudited and have been prepared in accordance with U.S. Generally Accepted Accounting Principles ("U.S. GAAP") and pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). In our opinion, they include all adjustments, consisting only of normal recurring adjustments, necessary for the fair presentation of results for the interim periods. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted as permitted by the SEC's rules and regulations for interim reporting. These Consolidated Financial Statements should be read in conjunction with our audited financial statements and notes thereto included in our Annual Report on Form 10 December 28, 2019 2019 10 The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and judgments affecting the amounts reported in our consolidated condensed financial statements and the accompanying notes. The actual results that we experience may September 26, 2020, 19 may We describe our accounting methods and practices in more detail in our 2019 10 no 2019 10 |
Fiscal Period, Policy [Policy Text Block] | Fiscal Reporting Periods We report based on a 52 53 December 31. 2020 53 January 2, 2021, 2019 52 December 28, 2019. third 2020 third 2019 September 26, 2020 September 28, 2019 nine 13 39 |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentrations of Risk Distributors have historically accounted for a significant portion of our total revenue. Revenue attributable to distributors as a percentage of total revenue was 82% and 81% for the third 2020 2019 nine September 26, 2020 September 28, 2019, Distributors also account for a substantial portion of our net accounts receivable. Our two September 26, 2020 December 28, 2019 No 10% |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Standards In December 2019, 2019 12, Income Taxes (Topic 740 December 15, 2020. may not 2019 12 |
Note 2 - Net Income Per Share (
Note 2 - Net Income Per Share (Tables) | 9 Months Ended |
Sep. 26, 2020 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (in thousands, except per share data) 2020 2019 2020 2019 Net income $ 12,607 $ 13,539 $ 31,403 $ 29,506 Shares used in basic Net income per share 135,598 132,997 134,903 132,065 Dilutive effect of stock options, RSUs, ESPP shares, and equity awards with a market condition or performance condition 5,926 5,897 5,860 5,614 Shares used in diluted Net income per share 141,524 138,894 140,763 137,679 Basic Net income per share $ 0.09 $ 0.10 $ 0.23 $ 0.22 Diluted Net income per share $ 0.09 $ 0.10 $ 0.22 $ 0.21 Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (in thousands) 2020 2019 2020 2019 Stock options, RSUs, ESPP shares, and equity awards with a market condition or performance condition excluded as they are antidilutive 370 909 514 328 |
Note 3 - Revenue From Contrac_2
Note 3 - Revenue From Contracts With Customers (Tables) | 9 Months Ended |
Sep. 26, 2020 | |
Notes Tables | |
Disaggregation of Revenue [Table Text Block] | Major Class of Revenue Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Product $ 96,650 94 % $ 97,477 94 % $ 285,871 95 % $ 287,185 95 % Licensing and services 6,392 6 % 5,992 6 % 15,076 5 % 16,671 5 % Total revenue $ 103,042 100 % $ 103,469 100 % $ 300,947 100 % $ 303,856 100 % Revenue by Channel Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Product revenue - Distributors $ 84,409 82 % $ 84,135 81 % $ 245,016 81 % $ 248,234 82 % Product revenue - Direct 12,241 12 % 13,342 13 % 40,855 14 % 38,951 13 % Licensing and services revenue 6,392 6 % 5,992 6 % 15,076 5 % 16,671 5 % Total revenue $ 103,042 100 % $ 103,469 100 % $ 300,947 100 % $ 303,856 100 % Revenue by Geographical Market Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 United States $ 10,455 10 % $ 9,296 9 % $ 33,634 11 % $ 32,352 11 % Other Americas 4,857 5 % 2,838 3 % 12,772 4 % 9,518 3 % Americas 15,312 15 % 12,134 12 % 46,406 15 % 41,870 14 % China 58,122 56 % 57,301 55 % 154,086 51 % 157,648 52 % Taiwan 7,505 7 % 6,796 7 % 24,957 8 % 14,147 5 % Japan 4,346 4 % 10,262 10 % 18,780 6 % 31,534 10 % Other Asia 9,766 10 % 5,285 5 % 25,169 9 % 22,171 7 % Asia 79,739 77 % 79,644 77 % 222,992 74 % 225,500 74 % Europe 7,991 8 % 11,691 11 % 31,549 11 % 36,486 12 % Total revenue $ 103,042 100 % $ 103,469 100 % $ 300,947 100 % $ 303,856 100 % |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block] | (In thousands) Contract assets as of December 28, 2019 $ 5,569 Revenues recorded during the period 11,660 Transferred to Accounts receivable or collected (12,091 ) Contract assets as of September 26, 2020 $ 5,138 (In thousands) Contract liabilities as of December 28, 2019 $ 2,313 Accruals for estimated future stock rotation and scrap returns 4,474 Less: Release of accruals for recognized stock rotation and scrap returns (2,571 ) Prepayment for performance obligations expected to be satisfied within three months 336 Less: Revenue recognized on satisfaction of performance obligations (179 ) Contract liabilities as of September 26, 2020 $ 4,373 |
Note 4 - Balance Sheet Compon_2
Note 4 - Balance Sheet Components (Tables) | 9 Months Ended |
Sep. 26, 2020 | |
Notes Tables | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | September 26, December 28, (In thousands) 2020 2019 Accounts receivable $ 73,043 $ 65,023 Less: Allowance for credit losses (54 ) (106 ) Accounts receivable, net of allowance for credit losses $ 72,989 $ 64,917 |
Schedule of Inventory, Current [Table Text Block] | September 26, December 28, (In thousands) 2020 2019 Work in progress $ 38,691 $ 39,855 Finished goods 20,797 15,125 Total inventories $ 59,488 $ 54,980 |
Property, Plant and Equipment [Table Text Block] | September 26, December 28, (In thousands) 2020 2019 United States $ 29,830 $ 32,313 China 1,390 1,683 Philippines 2,589 2,683 Taiwan 5,224 1,885 Japan 555 283 Other 194 383 Total foreign property and equipment, net 9,952 6,917 Total property and equipment, net $ 39,782 $ 39,230 |
Schedule of Accounts Payable and Accrued Liabilities [Table Text Block] | September 26, December 28, (In thousands) 2020 2019 Trade accounts payable $ 40,113 $ 44,350 Liability for non-cancelable contracts 7,769 6,964 Other accrued expenses 11,860 8,941 Total accounts payable and accrued expenses $ 59,742 $ 60,255 |
Schedule of Capitalized Software Costs [Table Text Block] | (In thousands) Cloud based computing implementation costs as of December 28, 2019 $ 2,543 Costs capitalized 646 Amortization (388 ) Cloud based computing implementation costs as of September 26, 2020 $ 2,801 |
Note 5 - Long-term Debt (Tables
Note 5 - Long-term Debt (Tables) | 9 Months Ended |
Sep. 26, 2020 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | September 26, December 28, (In thousands) 2020 2019 Principal amount $ 171,875 $ 148,125 Unamortized original issuance discount and debt costs (1,278 ) (1,579 ) Less: Current portion of long-term debt (8,382 ) (21,474 ) Long-term debt, net of current portion and unamortized debt issue costs $ 162,215 $ 125,072 |
Interest Income and Interest Expense Disclosure [Table Text Block] | Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Contractual interest $ 663 $ 1,686 $ 2,667 $ 8,991 Amortization of original issuance discount and debt costs 92 324 300 1,539 Total interest expense related to long-term debt $ 755 $ 2,010 $ 2,967 $ 10,530 |
Schedule of Maturities of Long-term Debt [Table Text Block] | Fiscal year (in thousands) 2020 (remaining 3 months) $ - 2021 13,125 2022 17,500 2023 13,125 2024 128,125 $ 171,875 |
Note 6 - Restructuring (Tables)
Note 6 - Restructuring (Tables) | 9 Months Ended |
Sep. 26, 2020 | |
Notes Tables | |
Schedule of Restructuring Reserve by Type of Cost [Table Text Block] | (In thousands) Severance & Related (1) Lease Termination & Fixed Assets Software Contracts & Engineering Tools (2) Other (3) Total Accrued Restructuring at December 28, 2019 $ 160 $ 6,585 $ — $ 865 $ 7,610 Restructuring charges 1,733 2,132 — 313 4,178 Costs paid or otherwise settled (1,254 ) (1,275 ) — (526 ) (3,055 ) Accrued Restructuring at September 26, 2020 $ 639 $ 7,442 $ — $ 652 $ 8,733 Accrued Restructuring at December 29, 2018 $ 1,814 $ 8,630 $ 218 $ 18 $ 10,680 Restructuring charges 625 2,482 — 1,612 4,719 Costs paid or otherwise settled (2,279 ) (3,714 ) (218 ) (96 ) (6,307 ) Accrued Restructuring at September 28, 2019 $ 160 $ 7,398 $ - $ 1,534 $ 9,092 |
Note 7 - Leases (Tables)
Note 7 - Leases (Tables) | 9 Months Ended |
Sep. 26, 2020 | |
Notes Tables | |
Lessee, Operating Lease Right-of-Use Assets and Liabilities [Table Text Block] | Operating lease right-of-use assets (in thousands) Balance as of December 28, 2019 $ 23,591 Right-of-use assets obtained for new lease contracts during the period 2,274 Reduction in the carrying amount of right-of-use assets during the period (4,464 ) Adjustments for present value and foreign currency effects 213 Balance as of September 26, 2020 $ 21,614 Operating lease liabilities (in thousands) Balance as of December 28, 2019 $ 26,124 Lease liabilities incurred for new lease contracts during the period 2,274 Accretion of lease liabilities 1,247 Operating cash used by payments on lease liabilities (5,786 ) Adjustments for present value, foreign currency, and restructuring liability effects 208 Balance as of September 26, 2020 24,067 Less: Current portion of operating lease liabilities (4,562 ) Long-term operating lease liabilities, net of current portion $ 19,505 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Fiscal year (in thousands) 2020 (remaining 3 months) $ 1,086 2021 6,313 2022 5,121 2023 5,030 2024 4,848 Thereafter 6,774 Total lease payments 29,172 Less: amount representing interest (4,966 ) Less: amount representing restructuring liability adjustments (139 ) Total lease liabilities $ 24,067 |
Note 8 - Intangible Assets (Tab
Note 8 - Intangible Assets (Tables) | 9 Months Ended |
Sep. 26, 2020 | |
Notes Tables | |
Finite-lived Intangible Assets Amortization Expense [Table Text Block] | Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Research and development $ 17 $ 14 $ 45 $ 41 Amortization of acquired intangible assets 603 3,389 3,846 10,168 $ 620 $ 3,403 $ 3,891 $ 10,209 |
Note 9 - Stock-based Compensa_2
Note 9 - Stock-based Compensation (Tables) | 9 Months Ended |
Sep. 26, 2020 | |
Notes Tables | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block] | Three Months Ended Nine Months Ended September 26, September 28, September 26, September 28, (In thousands) 2020 2019 2020 2019 Cost of revenue $ 834 $ 453 $ 2,322 $ 982 Research and development 2,633 1,658 7,461 4,029 Selling, general, and administrative 7,021 3,569 20,445 8,324 Total stock-based compensation $ 10,488 $ 5,680 $ 30,228 $ 13,335 |
Share-based Payment Arrangement, Performance Shares, Activity [Table Text Block] | (Shares in thousands) Total Balance, December 28, 2019 1,163 Granted 349 Effect of vesting multiplier 440 Vested (816 ) Cancelled (14 ) Balance, September 26, 2020 1,122 |
Note 1 - Basis of Presentation
Note 1 - Basis of Presentation (Details Textual) - Sell-through Distributors Concentration Risk [Member] | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | Dec. 28, 2019 | |
Revenue Benchmark [Member] | |||||
Concentration Risk, Percentage | 82.00% | 81.00% | 81.00% | 82.00% | |
Accounts Receivable [Member] | Large Distributor One [Member] | |||||
Concentration Risk, Percentage | 53.00% | 40.00% | |||
Accounts Receivable [Member] | Large Distributor Two [Member] | |||||
Concentration Risk, Percentage | 31.00% | 38.00% |
Note 2 - Net Income Per Share -
Note 2 - Net Income Per Share - Net Income (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | |
Net income | $ 12,607 | $ 13,539 | $ 31,403 | $ 29,506 |
Shares used in basic Net income per share (in shares) | 135,598 | 132,997 | 134,903 | 132,065 |
Dilutive effect of stock options, RSUs, ESPP shares, and equity awards with a market condition or performance condition (in shares) | 5,926 | 5,897 | 5,860 | 5,614 |
Shares used in diluted Net income per share (in shares) | 141,524 | 138,894 | 140,763 | 137,679 |
Basic (in dollars per share) | $ 0.09 | $ 0.10 | $ 0.23 | $ 0.22 |
Diluted (in dollars per share) | $ 0.09 | $ 0.10 | $ 0.22 | $ 0.21 |
Stock options, RSUs, ESPP shares, and equity awards with a market condition or performance condition excluded as they are antidilutive (in shares) | 370 | 909 | 514 | 328 |
Note 3 - Revenue From Contrac_3
Note 3 - Revenue From Contracts With Customers (Details Textual) $ in Millions | 9 Months Ended |
Sep. 26, 2020USD ($) | |
Revenue From Contract With Customer, Processing Of Return Merchandise Authorizations | $ 3 |
Revenue From Contract With Customer, Net Impact From Release Of Accruals Offsetting By Return Merchandise Authorization | $ 0.4 |
Note 3 - Revenue From Contrac_4
Note 3 - Revenue From Contracts With Customers - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 26, 2020 | Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | |
Revenue | $ 103,042 | $ 103,042 | $ 103,469 | $ 300,947 | $ 303,856 |
Percentage of revenue | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% |
UNITED STATES | |||||
Revenue | $ 10,455 | $ 9,296 | $ 33,634 | $ 32,352 | |
Percentage of revenue | 10.00% | 9.00% | 11.00% | 11.00% | |
Other Americas [Member] | |||||
Revenue | $ 4,857 | $ 2,838 | $ 12,772 | $ 9,518 | |
Percentage of revenue | 5.00% | 3.00% | 4.00% | 3.00% | |
Americas [Member] | |||||
Revenue | $ 15,312 | $ 12,134 | $ 46,406 | $ 41,870 | |
Percentage of revenue | 15.00% | 12.00% | 15.00% | 14.00% | |
CHINA | |||||
Revenue | $ 58,122 | $ 57,301 | $ 154,086 | $ 157,648 | |
Percentage of revenue | 56.00% | 55.00% | 51.00% | 52.00% | |
TAIWAN, PROVINCE OF CHINA | |||||
Revenue | $ 7,505 | $ 6,796 | $ 24,957 | $ 14,147 | |
Percentage of revenue | 7.00% | 7.00% | 8.00% | 5.00% | |
JAPAN | |||||
Revenue | $ 4,346 | $ 10,262 | $ 18,780 | $ 31,534 | |
Percentage of revenue | 4.00% | 10.00% | 6.00% | 10.00% | |
Other Asia [Member] | |||||
Revenue | $ 9,766 | $ 5,285 | $ 25,169 | $ 22,171 | |
Percentage of revenue | 10.00% | 5.00% | 9.00% | 7.00% | |
Asia [Member] | |||||
Revenue | $ 79,739 | $ 79,644 | $ 222,992 | $ 225,500 | |
Percentage of revenue | 77.00% | 77.00% | 74.00% | 74.00% | |
Europe [Member] | |||||
Revenue | $ 7,991 | $ 11,691 | $ 31,549 | $ 36,486 | |
Percentage of revenue | 8.00% | 11.00% | 11.00% | 12.00% | |
Product [Member] | |||||
Revenue | $ 96,650 | $ 97,477 | $ 285,871 | $ 287,185 | |
Percentage of revenue | 94.00% | 94.00% | 95.00% | 95.00% | |
Product [Member] | Sales Channel, Through Intermediary [Member] | |||||
Revenue | $ 84,409 | $ 84,135 | $ 245,016 | $ 248,234 | |
Percentage of revenue | 82.00% | 81.00% | 81.00% | 82.00% | |
Product [Member] | Sales Channel, Directly to Consumer [Member] | |||||
Revenue | $ 12,241 | $ 13,342 | $ 40,855 | $ 38,951 | |
Percentage of revenue | 12.00% | 13.00% | 14.00% | 13.00% | |
License and Service [Member] | |||||
Revenue | $ 6,392 | $ 6,392 | $ 5,992 | $ 15,076 | $ 16,671 |
Percentage of revenue | 6.00% | 6.00% | 6.00% | 5.00% | 5.00% |
Note 3 - Revenue From Contrac_5
Note 3 - Revenue From Contracts With Customers - Contract Balance (Details) $ in Thousands | 9 Months Ended |
Sep. 26, 2020USD ($) | |
Contract assets, balance | $ 5,569 |
Revenues recorded during the period | 11,660 |
Transferred to Accounts receivable or collected | (12,091) |
Contract assets, balance | 5,138 |
Contract liabilities | 2,313 |
Accruals for estimated future stock rotation and scrap returns | 4,474 |
Less: Release of accruals for recognized stock rotation and scrap returns | (2,571) |
Prepayment for performance obligations expected to be satisfied within three months | 336 |
Less: Revenue recognized on satisfaction of performance obligations | (179) |
Contract liabilities | $ 4,373 |
Note 4 - Balance Sheet Compon_3
Note 4 - Balance Sheet Components - Accounts Receivable (Details) - USD ($) $ in Thousands | Sep. 26, 2020 | Dec. 28, 2019 |
Accounts receivable | $ 73,043 | $ 65,023 |
Less: Allowance for credit losses | (54) | (106) |
Accounts receivable, net of allowance for credit losses | $ 72,989 | $ 64,917 |
Note 4 - Balance Sheet Compon_4
Note 4 - Balance Sheet Components - Inventories (Details) - USD ($) $ in Thousands | Sep. 26, 2020 | Dec. 28, 2019 |
Work in progress | $ 38,691 | $ 39,855 |
Finished goods | 20,797 | 15,125 |
Total inventories | $ 59,488 | $ 54,980 |
Note 4 - Balance Sheet Compon_5
Note 4 - Balance Sheet Components - Property and Equipment (Details) - USD ($) $ in Thousands | Sep. 26, 2020 | Dec. 28, 2019 |
Total property and equipment, net | $ 39,782 | $ 39,230 |
UNITED STATES | ||
Total property and equipment, net | 29,830 | 32,313 |
CHINA | ||
Total property and equipment, net | 1,390 | 1,683 |
PHILIPPINES | ||
Total property and equipment, net | 2,589 | 2,683 |
TAIWAN, PROVINCE OF CHINA | ||
Total property and equipment, net | 5,224 | 1,885 |
JAPAN | ||
Total property and equipment, net | 555 | 283 |
Other [Member] | ||
Total property and equipment, net | 194 | 383 |
Non-US [Member] | ||
Total property and equipment, net | $ 9,952 | $ 6,917 |
Note 4 - Balance Sheet Compon_6
Note 4 - Balance Sheet Components - Accounts Payable and Accrued Expenses (Details) - USD ($) $ in Thousands | Sep. 26, 2020 | Dec. 28, 2019 |
Trade accounts payable | $ 40,113 | $ 44,350 |
Liability for non-cancelable contracts | 7,769 | 6,964 |
Other accrued expenses | 11,860 | 8,941 |
Total accounts payable and accrued expenses | $ 59,742 | $ 60,255 |
Note 4 - Balance Sheet Compon_7
Note 4 - Balance Sheet Components - Capitalized Software Costs (Details) $ in Thousands | 9 Months Ended |
Sep. 26, 2020USD ($) | |
Cloud based computing implementation costs as of December 28, 2019 | $ 2,543 |
Costs capitalized | 646 |
Amortization | (388) |
Cloud based computing implementation costs as of September 26, 2020 | $ 2,801 |
Note 5 - Long-term Debt (Detail
Note 5 - Long-term Debt (Details Textual) - USD ($) $ in Thousands | May 17, 2019 | Sep. 26, 2020 | Sep. 28, 2019 |
Debt Instrument, Face Amount | $ 171,875 | ||
Repayments of Long-term Debt, Total | 26,250 | $ 311,408 | |
Credit Agreement, May 17, 2019 [Member] | Revolving Credit Facility [Member] | |||
Debt Instrument, Term (Year) | 5 years | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 75,000 | ||
Proceeds from Lines of Credit, Total | $ 50,000 | ||
Debt Instrument, Interest Rate, Effective Percentage | 1.42% | ||
Line of Credit Facility, Commitment Fee Percentage | 0.20% | ||
Credit Agreement, May 17, 2019 [Member] | Secured Term Loan [Member] | |||
Debt Instrument, Term (Year) | 5 years | ||
Debt Instrument, Face Amount | $ 175,000 | ||
Repayments of Long-term Debt, Total | $ 26,300 | ||
Repayments of Long Term Debt, Accelerated Principal Payments | $ 13,100 | ||
Debt Instrument, Interest Rate, Effective Percentage | 1.62% |
Note 5 - Long-term Debt - Fair
Note 5 - Long-term Debt - Fair Value of Long-term Debt (Details) - USD ($) $ in Thousands | Sep. 26, 2020 | Dec. 28, 2019 |
Principal amount | $ 171,875 | $ 148,125 |
Unamortized original issuance discount and debt costs | (1,278) | (1,579) |
Less: Current portion of long-term debt | (8,382) | (21,474) |
Long-term debt, net of current portion and unamortized debt issue costs | $ 162,215 | $ 125,072 |
Note 5 - Long-term Debt - Inter
Note 5 - Long-term Debt - Interest Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | |
Contractual interest | $ 663 | $ 1,686 | $ 2,667 | $ 8,991 |
Amortization of original issuance discount and debt costs | 92 | 324 | 300 | 1,539 |
Total interest expense related to long-term debt | $ 755 | $ 2,010 | $ 2,967 | $ 10,530 |
Note 5 - Long-term Debt - Expec
Note 5 - Long-term Debt - Expected Future Principal Payments (Details) $ in Thousands | Sep. 26, 2020USD ($) |
2020 (remaining 3 months) | $ 0 |
2021 | 13,125 |
2022 | 17,500 |
2023 | 13,125 |
2024 | 128,125 |
Debt Instrument, Face Amount | $ 171,875 |
Note 6 - Restructuring (Details
Note 6 - Restructuring (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | Jun. 27, 2020 | |
Q1 2020 Plan [Member] | |||||
Restructuring and Related Costs, Incurred Cost, Total | $ 0.6 | ||||
Restructuring and Related Cost, Cost Incurred to Date | 2 | $ 2 | |||
Q2 2019 Sales Plan [Member] | |||||
Restructuring and Related Costs, Incurred Cost, Total | 0.1 | $ (0.1) | 0.1 | $ 2.3 | |
Restructuring and Related Cost, Cost Incurred to Date | $ 2 | ||||
June 2017 Plan [Member] | |||||
Restructuring and Related Costs, Incurred Cost, Total | 2 | $ 0.4 | 2.1 | $ 2.4 | |
Restructuring and Related Cost, Cost Incurred to Date | 21.2 | 21.2 | |||
June 2017 Plan [Member] | Minimum [Member] | |||||
Restructuring and Related Cost, Expected Cost, Total | 22 | 22 | |||
June 2017 Plan [Member] | Maximum [Member] | |||||
Restructuring and Related Cost, Expected Cost, Total | 23.5 | $ 23.5 | |||
June 2017 Plan [Member] | Vacated Facility [Member] | |||||
Restructuring and Related Costs, Incurred Cost, Total | $ 1.9 |
Note 6 - Restructuring - Activi
Note 6 - Restructuring - Activity Related to Restructuring Plans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | ||
Accrued Restructuring | $ 7,610 | $ 10,680 | |||
Restructuring charges | $ 2,692 | $ 252 | 4,178 | 4,719 | |
Costs paid or otherwise settled | (3,055) | (6,307) | |||
Accrued Restructuring | 8,733 | 9,092 | 8,733 | 9,092 | |
Employee Severance [Member] | |||||
Accrued Restructuring | [1] | 160 | 1,814 | ||
Restructuring charges | [1] | 1,733 | 625 | ||
Costs paid or otherwise settled | [1] | (1,254) | (2,279) | ||
Accrued Restructuring | [1] | 639 | 160 | 639 | 160 |
Lease Termination and Fixed Assets [Member] | |||||
Accrued Restructuring | 6,585 | 8,630 | |||
Restructuring charges | 2,132 | 2,482 | |||
Costs paid or otherwise settled | (1,275) | (3,714) | |||
Accrued Restructuring | 7,442 | 7,398 | 7,442 | 7,398 | |
Software Contracts and Engineering Tools [Member] | |||||
Accrued Restructuring | [2] | 0 | 218 | ||
Restructuring charges | [2] | 0 | 0 | ||
Costs paid or otherwise settled | [2] | 0 | (218) | ||
Accrued Restructuring | [2] | 0 | 0 | 0 | 0 |
Other Restructuring [Member] | |||||
Accrued Restructuring | [3] | 865 | 18 | ||
Restructuring charges | [3] | 313 | 1,612 | ||
Costs paid or otherwise settled | [3] | (526) | (96) | ||
Accrued Restructuring | [3] | $ 652 | $ 1,534 | $ 652 | $ 1,534 |
[1] | Includes employee relocation and outplacement costs | ||||
[2] | Includes cancellation of contracts, asset impairments, and accelerated depreciation on certain enterprise resource planning and customer relationship management systems | ||||
[3] | Beginning in the second quarter of fiscal 2019, "Other" included termination fees on the cancellation of certain contracts under the Q2 2019 Sales Plan |
Note 7 - Leases (Details Textua
Note 7 - Leases (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 26, 2020 | Sep. 26, 2020 | Sep. 28, 2019 | |
Operating Lease, Weighted Average Remaining Lease Term (Year) | 5 years 1 month 6 days | 5 years 1 month 6 days | |
Operating Lease, Weighted Average Discount Rate, Percent | 7.00% | 7.00% | |
Operating Lease, Cost | $ 1.9 | $ 5.7 | $ 5.8 |
Operating Lease Liability for Previously Restructured Facilities | $ 7.4 | $ 7.4 |
Note 7 - Leases - Lease Balance
Note 7 - Leases - Lease Balance Classifications Within the Consolidated Balance Sheets and Lease Activity (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 26, 2020 | Sep. 28, 2019 | Dec. 28, 2019 | |
Balance | $ 23,591 | ||
Right-of-use assets obtained for new lease contracts during the period | 2,274 | $ 404 | |
Reduction in the carrying amount of right-of-use assets during the period | (4,464) | (4,372) | |
Adjustments for present value and foreign currency effects | 213 | ||
Balance | 21,614 | ||
Balance | 26,124 | ||
Lease liabilities incurred for new lease contracts during the period | 2,274 | ||
Accretion of lease liabilities | 1,247 | ||
Operating cash used by payments on lease liabilities | (5,786) | $ (6,540) | |
Adjustments for present value, foreign currency, and restructuring liability effects | 208 | ||
Balance | 24,067 | ||
Less: Current portion of operating lease liabilities | (4,562) | $ (4,686) | |
Long-term operating lease liabilities, net of current portion | $ 19,505 | $ 21,438 |
Note 7 - Leases - Maturities of
Note 7 - Leases - Maturities of Operating Lease Liabilities (Details) - USD ($) $ in Thousands | Sep. 26, 2020 | Dec. 28, 2019 |
2020 (remaining 3 months) | $ 1,086 | |
2021 | 6,313 | |
2022 | 5,121 | |
2023 | 5,030 | |
2024 | 4,848 | |
Thereafter | 6,774 | |
Total lease payments | 29,172 | |
Less: amount representing interest | (4,966) | |
Less: amount representing restructuring liability adjustments | (139) | |
Total lease liabilities | $ 24,067 | $ 26,124 |
Note 8 - Intangible Assets (Det
Note 8 - Intangible Assets (Details Textual) - USD ($) $ in Millions | Sep. 26, 2020 | Dec. 28, 2019 |
Finite-Lived Intangible Assets, Accumulated Amortization | $ 131.3 | $ 127.4 |
Licensing Agreements [Member] | ||
Finite-Lived Intangible Assets, Net, Ending Balance | $ 0.4 |
Note 8 - Intangible Assets - Am
Note 8 - Intangible Assets - Amortization Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 29, 2020 | Sep. 28, 2019 | Sep. 29, 2020 | Sep. 28, 2019 | |
Amortization of intangible assets | $ 620 | $ 3,403 | $ 3,891 | $ 10,209 |
Research and Development Expense [Member] | ||||
Amortization of intangible assets | 17 | 14 | 45 | 41 |
Amortization of Acquired Intangible Assets [Member] | ||||
Amortization of intangible assets | $ 603 | $ 3,389 | $ 3,846 | $ 10,168 |
Note 9 - Stock-based Compensa_3
Note 9 - Stock-based Compensation (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 26, 2020 | Jun. 27, 2020 | Mar. 28, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | |
Share-based Payment Arrangement, Expense | $ 10,488 | $ 5,680 | $ 30,228 | $ 13,335 | ||
Restricted Stock Units (RSUs) [Member] | ||||||
Share-based Payment Arrangement, Expense | $ 1,800 | |||||
Restricted Stock Units (RSUs) [Member] | Executive Officer [Member] | ||||||
Share-based Payment Arrangement, Expense | $ 5,600 | $ 900 | $ 16,500 | $ 2,900 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year) | 3 years | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage Of Grants Tested Each Year | 50.00% | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage Of Market Condition Achieved | 75.00% | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Percentage | 33.30% | |||||
Restricted Stock Units (RSUs) [Member] | Executive Officer [Member] | Share-based Payment Arrangement, Tranche One [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage Of Market Condition Achieved | 75.00% | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage, Based on Market Conditions | 200.00% | |||||
Restricted Stock Units (RSUs) [Member] | Executive Officer [Member] | Share-based Payment Arrangement, Tranche One [Member] | Maximum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage, Based on Market Conditions | 250.00% | 250.00% | ||||
Restricted Stock Units (RSUs) [Member] | Executive Officer [Member] | Share-based Payment Arrangement, Tranche One [Member] | Minimum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage, Based on Market Conditions | 200.00% | 200.00% | ||||
Restricted Stock Units (RSUs) [Member] | Executive Officer [Member] | Share-based Payment Arrangement, Tranche Two [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage Of Market Condition Achieved | 55.00% | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage, Based on Market Conditions | 100.00% | |||||
Restricted Stock Units (RSUs) [Member] | Executive Officer [Member] | Share-based Payment Arrangement, Tranche Three [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage Of Market Condition Achieved | 25.00% | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 0.00% |
Note 9 - Stock-Based Compensa_4
Note 9 - Stock-Based Compensation - Stock-based Compensation (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | |
Total stock-based compensation | $ 10,488 | $ 5,680 | $ 30,228 | $ 13,335 |
Cost of Sales [Member] | ||||
Total stock-based compensation | 834 | 453 | 2,322 | 982 |
Research and Development Expense [Member] | ||||
Total stock-based compensation | 2,633 | 1,658 | 7,461 | 4,029 |
Selling, General and Administrative Expenses [Member] | ||||
Total stock-based compensation | $ 7,021 | $ 3,569 | $ 20,445 | $ 8,324 |
Note 9 - Stock-Based Compensa_5
Note 9 - Stock-Based Compensation - Activity For Awards With Market or Performance Condition (Details) - Performance Shares [Member] shares in Thousands | 9 Months Ended |
Sep. 26, 2020shares | |
Balance (in shares) | 1,163 |
Granted (in shares) | 349 |
Effect of vesting multiplier (in shares) | 440 |
Vested (in shares) | (816) |
Cancelled (in shares) | (14) |
Balance (in shares) | 1,122 |
Note 10 - Income Taxes (Details
Note 10 - Income Taxes (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 26, 2020 | Sep. 28, 2019 | Sep. 26, 2020 | Sep. 28, 2019 | Dec. 28, 2019 | |
Income Tax Expense (Benefit), Total | $ (655) | $ 1,066 | $ 634 | $ 1,480 | |
Other Noncurrent Liabilities [Member] | |||||
Liability for Uncertainty in Income Taxes, Noncurrent | $ 23,000 | $ 23,000 | $ 24,600 | ||
Domestic Tax Authority [Member] | |||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 21.00% | 21.00% | 21.00% | |
Foreign Tax Authority [Member] | Office of the Tax Commissioner, Bermuda [Member] | |||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 0.00% |
Note 11 - Contingencies (Detail
Note 11 - Contingencies (Details Textual) $ in Millions | Dec. 19, 2018USD ($) |
Alleged Violation of the Lanham Act [Member] | |
Loss Contingency, Damages Sought, Value | $ 138 |