XML 19 R13.htm IDEA: XBRL DOCUMENT
v3.24.0.1

Balance Sheet Components | 3 Months Ended
--- | ---
Dec. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Balance Sheet Components | 5. Balance Sheet Components Accounts receivable, net Accounts receivable, net consist of the following:
|  | December 30, 2023 |  |  | September 30, 2023 |
(In thousands) |  |  |  |  |  |
Accounts receivable |  | $ | 146,245 |  |  | $ | 99,369 |
Allowance for credit losses |  |  | (2,369 | ) |  |  | (2,711 | )
Allowance for sales incentives |  |  | (63,065 | ) |  |  | (29,075 | )
Accounts receivable, net of allowances |  | $ | 80,811 |  |  | $ | 67,583 |
Inventories Inventories consist of the following:
|  | December 30, 2023 |  |  | September 30, 2023 |
(In thousands) |  |  |  |  |  |
Finished goods |  | $ | 113,354 |  |  | $ | 281,571 |
Component parts |  |  | 59,689 |  |  |  | 64,950 |
Inventories |  | $ | 173,043 |  |  | $ | 346,521 |
As of December 30, 2023, and September 30, 2023, inventory write-downs were $35.1 million and $29.7 million, respectively. Goodwill The following table presents the changes in carrying amount of goodwill during the three months ended December 30, 2023:
(In thousands) |  |  |
Balance as of September 30, 2023 |  | $ | 80,420 |
Effect of exchange rate changes on goodwill |  |  | 1,868 |
Balance as of December 30, 2023 |  | $ | 82,288 |
Intangible assets The following table reflects the changes in the net carrying amount of the components of intangible assets associated with the Company's acquisition activity:
|  | December 30, 2023 |
|  | Gross Carrying Amount |  |  | Accumulated Amortization |  |  | Foreign Currency Translation |  |  | Net Carrying Value |  |  | Weighted-Average Remaining Life |
(In thousands, except weighted-average remaining life) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Trade name |  | $ | 451 |  |  | $ | (131 | ) |  | $ | 7 |  |  | $ | 327 |  |  |  | 4.25 |
Technology-based |  |  | 31,480 |  |  |  | (13,062 | ) |  |  | — |  |  |  | 18,418 |  |  |  | 4.76 |
Total finite-lived intangible assets |  |  | 31,931 |  |  |  | (13,193 | ) |  |  | 7 |  |  |  | 18,745 |  |  |  | 4.75 |
In-process research and development not subject to amortization |  |  | 71,759 |  |  |  | — |  |  |  | 1,087 |  |  |  | 72,846 |  |  |  |
Total intangible assets |  | $ | 103,690 |  |  | $ | (13,193 | ) |  | $ | 1,094 |  |  | $ | 91,591 |  |  |  |
The following table summarizes the estimated future amortization expense of the Company's intangible assets as of December 30, 2023:
Fiscal years ending |  | Future Amortization Expense |
(In thousands) |  |  |
Remainder of fiscal 2024 |  | $ | 4,479 |
2025 |  |  | 3,372 |
2026 |  |  | 3,043 |
2027 |  |  | 3,027 |
2028 |  |  | 2,910 |
2029 and thereafter |  |  | 1,914 |
Total future amortization expense |  | $ | 18,745 |
Cloud Computing Arrangements Capitalized costs to implement cloud computing arrangements net of accumulated amortization are reported as a component of other noncurrent assets on the Company's condensed consolidated balance sheets were as follows:
|  | December 30, 2023 |  |  | September 30, 2023 |
Cloud computing implementation costs |  | $ | 24,177 |  |  | $ | 24,177 |
Less: accumulated amortization |  |  | 7,080 |  |  |  | 6,207 |
Cloud computing implementation costs, net |  | $ | 17,097 |  |  | $ | 17,970 |
Amortization expenses for implementation costs for cloud-based computing arrangements for the three months ended December 30, 2023, and December 31, 2022 were $0.9 million and $1.0 million, respectively. Accrued expenses Accrued expenses consisted of the following:
|  | December 30, 2023 |  |  | September 30, 2023 |
(In thousands) |  |  |  |  |  |
Accrued inventory and supply chain costs |  | $ | 33,555 |  |  | $ | 48,384 |
Accrued taxes |  |  | 28,364 |  |  |  | 11,410 |
Accrued advertising and marketing |  |  | 18,240 |  |  |  | 13,029 |
Accrued general and administrative expenses |  |  | 9,353 |  |  |  | 9,924 |
Other accrued payables |  |  | 5,100 |  |  |  | 2,672 |
Accrued product development |  |  | 3,380 |  |  |  | 4,298 |
Total accrued expenses |  | $ | 97,992 |  |  | $ | 89,717 |
Deferred revenue Amounts invoiced in advance of revenue recognition are recorded as deferred revenue on the condensed consolidated balance sheets. Deferred revenue primarily relates to revenue allocated to unspecified software upgrades and cloud-based services. Recognition of revenue for the three-month period ended December 31, 2022, includes $9.2 million of deferred revenue from the fourth quarter of fiscal 2022, related to newly launched products sold to resellers not recognized as revenue until the date general availability was reached, which was the first quarter of fiscal 2023. The following table presents the changes in the Company’s deferred revenue:
|  | Three Months Ended |
|  | December 30, 2023 |  |  | December 31, 2022 |
(In thousands) |  |  |  |  |  |
Deferred revenue, beginning of period |  | $ | 80,838 |  |  | $ | 83,470 |
Recognition of revenue included in beginning of period deferred revenue |  |  | (4,023 | ) |  |  | (11,520 | )
Revenue deferred, net of revenue recognized on contracts in the respective period |  |  | 9,090 |  |  |  | 10,031 |
Deferred revenue, end of period |  | $ | 85,905 |  |  | $ | 81,981 |
The Company expects the following recognition of deferred revenue as of December 30, 2023:
|  | For the fiscal years ending |  |  |  |
|  | 2024 |  |  | 2025 |  |  | 2026 |  |  | 2027 |  |  | 2028 and Beyond |  |  | Total |
(In thousands) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deferred revenue expected to be recognized |  | $ | 16,018 |  |  | $ | 18,685 |  |  | $ | 16,273 |  |  | $ | 13,596 |  |  | $ | 21,333 |  |  | $ | 85,905 |
Other current liabilities Other current liabilities consist of the following:
|  | December 30, 2023 |  |  | September 30, 2023 |
(In thousands) |  |  |  |  |  |
Reserve for returns |  | $ | 31,796 |  |  | $ | 21,462 |
Other |  |  | 10,378 |  |  |  | 4,172 |
Warranty liability |  |  | 8,772 |  |  |  | 7,466 |
Short-term operating lease liabilities |  |  | 1,737 |  |  |  | 1,153 |
Total other current liabilities |  | $ | 52,683 |  |  | $ | 34,253 |
The following table presents the changes in the Company’s warranty liability:
|  | December 30, 2023 |  |  | December 31, 2022 |
(In thousands) |  |  |  |  |  |
Warranty liability, beginning of period |  | $ | 7,466 |  |  | $ | 5,771 |
Provision for warranties issued during the period |  |  | 5,582 |  |  |  | 6,177 |
Settlements of warranty claims during the period |  |  | (4,276 | ) |  |  | (2,031 | )
Warranty liability, end of period |  | $ | 8,772 |  |  | $ | 9,917 |
Leases On July 13, 2023, as part of the Company's ongoing evaluation of its real estate needs and overall lease consolidation initiatives, the Company entered into a lease agreement for a new headquarters location for approximately 50,000 square feet of office space located in Goleta, California. The lease expires in May 2031, with no option to extend. The Company took possession of the leased premises in October 2023, resulting in an increase in right-of-use assets and lease liabilities totaling $7.4 million and $7.8 million, respectively. The Company intends to relocate its headquarters to this space later in fiscal 2024.

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

X
- Definition The entire disclosure for supplemental balance sheet disclosures, including descriptions and amounts for assets, liabilities, and equity. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 210 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//210/tableOfContent + Details
Name: | us-gaap_SupplementalBalanceSheetDisclosuresTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration