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Summary of Significant Accounting Policies (Tables) | 12 Months Ended
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Jan. 02, 2016
Accounting Policies [Abstract] |
Fair Value Measurements, Recurring and Nonrecurring | The following tables represent the Company’s fair value hierarchy for its financial assets (in thousands):
January 2, 2016 | Adjusted Basis Cost |  | Gross Unrealized Gains |  | Gross Unrealized (Losses) |  | Estimated Fair Value |  | Cash and Cash Equivalents
Cash | $ | 57,168 |  |  | $ | — |  |  | $ | — |  |  | $ | 57,168 |  |  | $ | 57,168 |
Level 1: |  |  |  |  |  |  |  |  |
Bank time deposits | 55,000 |  |  | — |  |  | — |  |  | 55,000 |  |  | 55,000 |
Money market funds | 20,149 |  |  | — |  |  | — |  |  | 20,149 |  |  | 20,149 |
Subtotal | 75,149 |  |  | — |  |  | — |  |  | 75,149 |  |  | 75,149 |
Level 2: |  |  |  |  |  |  |  |  |
None | — |  |  | — |  |  | — |  |  | — |  |  | — |
Level 3: |  |  |  |  |  |  |  |  |
None | — |  |  | — |  |  | — |  |  | — |  |  | — |
Total assets measured at fair value | $ | 132,317 |  |  | $ | — |  |  | $ | — |  |  | $ | 132,317 |  |  | $ | 132,317 |
January 3, 2015 | Adjusted Basis Cost |  | Gross Unrealized Gains |  | Gross Unrealized (Losses) |  | Estimated Fair Value |  | Cash and Cash Equivalents
Cash | $ | 92,888 |  |  | $ | — |  |  | $ | — |  |  | $ | 92,888 |  |  | $ | 92,888 |
Level 1: |  |  |  |  |  |  |  |  |
Bank time deposits | 40,500 |  |  | — |  |  | — |  |  | 40,500 |  |  | 40,500 |
Money market funds | 1,065 |  |  | — |  |  | — |  |  | 1,065 |  |  | 1,065 |
Subtotal | 41,565 |  |  | — |  |  | — |  |  | 41,565 |  |  | 41,565 |
Level 2: |  |  |  |  |  |  |  |  |
None | — |  |  | — |  |  | — |  |  | — |  |  | — |
Level 3: |  |  |  |  |  |  |  |  |
None | — |  |  | — |  |  | — |  |  | — |  |  | — |
Total assets measured at fair value | $ | 134,453 |  |  | $ | — |  |  | $ | — |  |  | $ | 134,453 |  |  | $ | 134,453 |
Components of Property and Equipment | Property and equipment are stated at cost. Depreciation is calculated using the straight-line method over estimated useful lives as follows:
| Useful Lives
Building | 39 years
Building improvements | 7 to 10 years
Leasehold improvements | Lesser of useful life or term of lease
Machinery and equipment | 5 years
Vehicles | 5 years
Tooling | 3 years
Computer equipment | 2 to 6 years
Furniture and office equipment | 2 to 6 years
Demonstration units | 3 years
Property and equipment, net consists of the following (in thousands):
| January 2, 2016 |  | January 3, 2015
Building and building improvements | $ | 78,877 |  |  | $ | 30,678 |
Machinery and equipment | 42,460 |  |  | 38,588 |
Land | 23,738 |  |  | 22,894 |
Computer equipment | 15,023 |  |  | 13,035 |
Tooling | 13,079 |  |  | 12,317 |
Leasehold improvements | 7,734 |  |  | 9,912 |
Furniture and office equipment | 8,885 |  |  | 4,864 |
Demonstration units | 973 |  |  | 972 |
Vehicles | 45 |  |  | 45 |
Construction-in-progress | 7,124 |  |  | 25,731 |
Total property and equipment | 197,938 |  |  | 159,036 |
Accumulated depreciation and amortization | (65,472 | ) |  | (57,084 | )
Total | $ | 132,466 |  |  | $ | 101,952 |
Changes in Product Warranty Accrual | Changes in the product warranty accrual were as follows (in thousands):
| Year Ended
| January 2, 2016 |  | January 3, 2015 |  | December 28, 2013
Warranty accrual, beginning of period | $ | 1,416 |  |  | $ | 1,161 |  |  | $ | 838 |
Accrual for warranties issued | 800 |  |  | 1,144 |  |  | 1,560 |
Changes in pre-existing warranties (including changes in estimates) | 61 |  |  | 138 |  |  | 52 |
Settlements made | (1,055 | ) |  | (1,027 | ) |  | (1,289 | )
Warranty accrual, end of period | $ | 1,222 |  |  | $ | 1,416 |  |  | $ | 1,161 |
Computation of Basic and Diluted Net Income Per Share | The computation of basic and diluted net income per share attributable to Masimo Corporation stockholders is as follows (in thousands, except per share data):
| Year ended
| January 2, 2016 |  | January 3, 2015 |  | December 28, 2013
Net income attributable to stockholders of Masimo Corporation: |  |  |  |  |
Net income including noncontrolling interest | $ | 81,500 |  |  | $ | 74,363 |  |  | $ | 55,721 |
Net income (loss) attributable to the noncontrolling interest | (1,800 | ) |  | 1,845 |  |  | (2,660 | )
Net income attributable to Masimo Corporation stockholders | $ | 83,300 |  |  | $ | 72,518 |  |  | $ | 58,381 |
Basic net income per share attributable to Masimo Corporation stockholders: |  |  |  |  |
Net income attributable to Masimo Corporation stockholders | $ | 83,300 |  |  | $ | 72,518 |  |  | $ | 58,381 |
Weighted-average shares outstanding - basic | 51,311 |  |  | 54,708 |  |  | 56,690 |
Basic net income per share attributable to Masimo Corporation stockholders | $ | 1.62 |  |  | $ | 1.33 |  |  | $ | 1.03 |
Diluted net income per share attributable to Masimo Corporation stockholders: |  |  |  |  |
Weighted-average shares outstanding | 51,311 |  |  | 54,708 |  |  | 56,690 |
Diluted share equivalents: stock options and RSUs | 2,396 |  |  | 863 |  |  | 790 |
Weighted-average shares outstanding - diluted | 53,707 |  |  | 55,571 |  |  | 57,480 |
Diluted net income per share attributable to Masimo Corporation stockholders | $ | 1.55 |  |  | $ | 1.30 |  |  | $ | 1.02 |
Supplemental Schedule of Cash Flow | Supplemental Cash Flow Information (in thousands)
|  | Year ended
|  | January 2, 2016 |  | January 3, 2015 |  | December 28, 2013
Cash paid during the year for: |  |  |  |  |  |
Interest (net of amounts capitalized) |  | $ | 2,293 |  |  | $ | 469 |  |  | $ | 28 |
Income taxes |  | 36,194 |  |  | 19,863 |  |  | 29,979 |
Noncash investing and financing activities: |  |  |  |  |  |
Assets acquired under capital leases |  | $ | — |  |  | $ | — |  |  | $ | 352 |
Unpaid purchases of property, plant and equipment |  | 4,371 |  |  | 12,155 |  |  | 507 |
Unsettled common stock repurchases |  | 4,815 |  |  | — |  |  | — |

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- Definition Tabular disclosure of the changes in the guarantor's aggregate product warranty liability, including the beginning balance of the aggregate product warranty liability, the aggregate reductions in that liability for payments made (in cash or in kind) under the warranty, the aggregate changes in the liability for accruals related to product warranties issued during the reporting period, the aggregate changes in the liability for accruals related to preexisting warranties (including adjustments related to changes in estimates), and the ending balance of the aggregate product warranty liability. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 460 -SubTopic 10 -Section 50 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=51674963&loc=d3e12565-110249 + Details
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