Organization and Presentation

12 Months Ended

Dec. 31, 2016

Accounting Policies [Abstract]

Organization and Presentation

1. Organization and Presentation

Novanta Inc. and its subsidiaries (collectively referred to as “Novanta”, the “Company”, “we”, “us”, “our”) design, develop, manufacture and sell precision photonic and motion control components and subsystems to Original Equipment Manufacturers (“OEMs”) in the medical and advanced industrial markets. We combine deep expertise at the intersection of photonics and motion to solve complex technical challenges. This enables us to engineer core components and sub-systems that deliver extreme precision and performance, tailored to our customers’ demanding applications. We deliver highly engineered photonics, vision and precision motion solutions to customers around the world.

Basis of Presentation

These consolidated financial statements have been prepared by the Company in U.S. dollars and in accordance with U.S. generally accepted accounting principles, applied on a consistent basis.

The consolidated financial statements include the accounts of Novanta Inc. and its wholly owned subsidiaries. Intercompany accounts and transactions have been eliminated.

As of December 31, 2016, the Company had a 41% ownership interest in Laser Quantum Limited (“Laser Quantum”), a privately held company located in the United Kingdom. As of December 31, 2016, the financial results of Laser Quantum were accounted for under the equity method of accounting. On January 10, 2017, the Company acquired approximately 35% of the shares of Laser Quantum. As a result of this transaction, the Company’s ownership position in Laser Quantum increased from approximately 41% to approximately 76%. Laser Quantum will be consolidated in the Company’s consolidated financial statements starting in January 2017.