XML 55 R38.htm IDEA: XBRL DOCUMENT
v3.6.0.2

Income Taxes (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2016
Income Taxes |
Schedule of income before income taxes | Income before income taxes includes the following components (in thousands):
|  | Year Ended |
--- | --- | --- | ---
|  | December 31, 2016 |  | January 2, 2016 |  | January 3, 2015 |
Domestic |  | $ | 4,313 |  | $ | 2,249 |  | $ | 38,174 |
Foreign |  |  | 60,183 |  |  | 28,014 |  |  | 10,866 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
|  | $ | 64,496 |  | $ | 30,263 |  | $ | 49,040 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Schedule of provision for income taxes | The provision for income taxes consists of the following (in thousands):
|  | Year Ended |
--- | --- | --- | ---
|  | December 31, 2016 |  | January 2, 2016 |  | January 3, 2015 |
Current: |  |  |  |  |  |  |  |  |  |
Domestic |  | $ | 2,639 |  | $ | 951 |  | $ | 7,083 |
International |  |  | 4,421 |  |  | 3,015 |  |  | 882 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total Current |  |  | 7,060 |  |  | 3,966 |  |  | 7,965 |
Deferred: |  |  |  |  |  |  |  |  |  |
Domestic |  |  | (2,430 | ) |  | (5,825 | ) |  | 2,352 |
International |  |  | (1,628 | ) |  | 2,536 |  |  | 702 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total Deferred |  |  | (4,058 | ) |  | (3,289 | ) |  | 3,054 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Provision for income taxes |  | $ | 3,002 |  | $ | 677 |  | $ | 11,019 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Schedule of reconciliation of statutory tax rate to effective tax rate | The reconciliation of the federal statutory tax rate to the Company's effective tax rate is as follows:
|  | Year Ended |
--- | --- | --- | ---
|  | December 31, 2016 |  | January 2, 2016 |  | January 3, 2015 |
Federal statutory rate |  |  | 35.0 | % |  | 35.0 | % |  | 35.0 | %
Foreign tax rate benefit |  |  | (27.2 | ) |  | (30.7 | ) |  | (3.5 | )
Research and development tax credits |  |  | (4.1 | ) |  | (5.6 | ) |  | (8.6 | )
Release of prior year unrecognized tax benefits |  |  | (1.7 | ) |  | (1.9 | ) |  | (2.6 | )
Excess officer compensation |  |  | 1.4 |  |  | 3.2 |  |  | 2.3 |
Change in cost-sharing treatment of stock-based compensation |  |  | (0.5 | ) |  | (7.1 | ) |  | — |
Change in prior period valuation allowance |  |  | (0.6 | ) |  | 8.8 |  |  | (1.4 | )
Other |  |  | 2.4 |  |  | 0.5 |  |  | 1.3 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Effective Tax Rate |  |  | 4.7 | % |  | 2.2 | % |  | 22.5 | %
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Schedule of significant components of deferred taxes | Significant components of the Company's deferred taxes as of December 31, 2016 and January 2, 2016 are as follows (in thousands):
|  | December 31, 2016 |  | January 2, 2016 |
--- | --- | --- | --- | --- | ---
Deferred tax assets: |  |  |  |  |  |  |
Net operating loss carryforwards |  | $ | 21,187 |  | $ | 25,869 |
Research and development tax credit carryforwards |  |  | 15,068 |  |  | 13,335 |
Stock-based compensation |  |  | 7,396 |  |  | 8,757 |
Capitalized research and development |  |  | 6,802 |  |  | 8,741 |
Deferred income on shipments to distributors |  |  | 9,338 |  |  | 7,413 |
Expected future cost-sharing adjustment |  |  | 29,719 |  |  | 25,896 |
Accrued liabilities and other |  |  | 11,321 |  |  | 8,619 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
|  |  | 100,831 |  |  | 98,630 |
Less: Valuation allowance |  |  | (12,361 | ) |  | (10,264 | )
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
|  |  | 88,470 |  |  | 88,366 |
Deferred tax liabilities: |  |  |  |  |  |  |
Acquired intangible assets |  |  | 25,785 |  |  | 33,020 |
Depreciation and amortization |  |  | 2,939 |  |  | 2,349 |
Unremitted foreign earnings for expected future cost-sharing adjustment |  |  | 31,165 |  |  | 27,495 |
Prepaid expenses and other |  |  | 3,069 |  |  | 1,991 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
|  |  | 62,958 |  |  | 64,855 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Net deferred tax assets |  | $ | 25,512 |  | $ | 23,511 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Summary of activity related to gross unrecognized tax benefits | The following table summarizes the activity related to gross unrecognized tax benefits (in thousands):
|  | Year Ended |
--- | --- | --- | ---
|  | December 31, 2016 |  | January 2, 2016 |  | January 3, 2015 |
Beginning balance |  | $ | 3,610 |  | $ | 3,929 |  | $ | 4,998 |
Additions based on tax positions related to current year |  |  | 439 |  |  | 432 |  |  | 465 |
Additions based on tax positions related to prior years |  |  | 99 |  |  | — |  |  | 58 |
Reductions for tax positions as a result of a lapse of the applicable statute of limitations |  |  | (1,094 | ) |  | (751 | ) |  | (1,592 | )
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Ending balance |  | $ | 3,054 |  | $ | 3,610 |  | $ | 3,929 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 + Details
Name: | us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 + Details
Name: | us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32687-109319 + Details
Name: | us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of income before income tax between domestic and foreign jurisdictions. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)(1)(i)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 + Details
Name: | us-gaap_ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the change in unrecognized tax benefits. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 55 -Paragraph 217 -URI http://asc.fasb.org/extlink&oid=51663037&loc=d3e36027-109320 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15A -URI http://asc.fasb.org/extlink&oid=6907707&loc=SL6600010-109319 + Details
Name: | us-gaap_ScheduleOfUnrecognizedTaxBenefitsRollForwardTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration