Organization and Summary of Significant Accounting Policies (Tables)

3 Months Ended

Mar. 31, 2022

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Schedule of Revenues by Source

The following table presents revenues by source (in thousands):

	Three Months Ended March 31,
	2022 (As Restated)		2021
Products	$	67,412	$	76,252
Services and other		4,578		4,779
Total	$	71,990	$	81,031

Schedule of Information Revenues by Geographical Concentration

The following table present revenues by geographical concentration (in thousands):

	Three Months Ended March 31,
	2022 (As Restated)		2021
Americas	$	22,924	$	20,169
Europe, Middle East, Africa		16,393		17,918
Asia		32,673		42,944
Total	$	71,990	$	81,031

Schedule of Allowances for Credit Losses

Activity under the Company’s allowance for credit losses is comprised as follows (in thousands):

	Three Months Ended March 31,
	2022			2021
Balance at beginning of period	$	17,735		$	3,954
Charged to expense, net of recoveries		(752	)		14,228
Utilization/write offs/exchange rate differences		—			(94	)
Cumulative effect of ASC 326 adoption		401			—
Foreign exchange impact		(326	)		(148	)
Balance at end of period	$	17,058		$	17,940

Summary of Effect of Restatement on Previously Reported Unaudited Condensed Consolidated Balance Sheet, Statement of Comprehensive Loss and Statement of Cash Flows

The following table presents the effect of the restatement on the Company's previously reported unaudited condensed consolidated balance sheet as of March 31, 2022 (in thousands, except par value).

	March 31, 2022
	As Previously Reported			Adjustments				As Restated
Assets
Current assets:
Cash and cash equivalents	$	34,160		$	—			$	34,160
Restricted cash		6,343			—				6,343
Accounts receivable - trade, net		82,607			(3,657	)	(a)		78,950
Other receivables		9,898			—				9,898
Inventories		66,459			3,626		(a)		70,085
Contract assets		902			—				902
Prepaid expenses and other current assets		13,039			(3,020	)	(b)		10,019
Total current assets		213,408			(3,051	)			210,357
Property, plant and equipment, net		10,277			—				10,277
Right-of-use assets from operating leases		11,751			—				11,751
Goodwill		6,145			—				6,145
Intangible assets, net		4,820			—				4,820
Other assets		9,904			—				9,904
Total assets	$	256,305		$	(3,051	)		$	253,254
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable - trade	$	63,774		$	—			$	63,774
Contract liabilities		7,103			1,403		(a)		8,506
Operating lease liabilities		3,927			—				3,927
Accrued and other liabilities		16,832			84		(b)		16,916
Total current liabilities		91,636			1,487				93,123
Contract liabilities - non-current		2,881			—				2,881
Operating lease liabilities - non-current		11,029			—				11,029
Pension liabilities		16,106			—				16,106
Other long-term liabilities		3,704			—				3,704
Total liabilities		125,356			1,487				126,843
Stockholders’ equity:
Common stock		27			—				27
Additional paid-in capital		226,163			—				226,163
Accumulated other comprehensive loss		(4,793	)		—				(4,793	)
Accumulated deficit		(90,448	)		(4,538	)			(94,986	)
Total stockholders’ equity		130,949			(4,538	)	(a)		126,411
Total liabilities and stockholders’ equity	$	256,305		$	(3,051	)		$	253,254

The impact of each error for the corresponding period in the above table is described below:

(a) Error corrections relating to the timing of revenue recognition with respect to certain customer projects.

(b) Tax impact on the error corrections relating to the timing of revenue recognition with respect to certain customer projects.

The following table presents the effect of the restatement on the Company's previously reported unaudited condensed consolidated statement of comprehensive income (loss) for the three months ended March 31, 2022 (in thousands, except per share data).

	Three Months Ended March 31, 2022
	As Previously Reported			Adjustments				As Restated
Net revenue	$	77,040		$	(5,050	)	(a)	$	71,990
Cost of revenue		50,215			(3,616	)	(a)		46,599
Gross profit		26,825			(1,434	)			25,391
Operating expenses:
Research and product development		11,844			—				11,844
Selling, marketing, general and administrative		17,742			—				17,742
Restructuring and other charges		436			—				436
Amortization of intangible assets		294			—				294
Total operating expenses		30,316			—				30,316
Operating loss		(3,491	)		(1,434	)			(4,925	)
Interest income		37			—				37
Interest expense		(127	)		—				(127	)
Other expense, net		(800	)		—				(800	)
Loss before income taxes		(4,381	)		(1,434	)			(5,815	)
Income tax provision (benefit)		(1,333	)		3,104		(b)		1,771
Net loss		(3,048	)		(4,538	)			(7,586	)
									-
Foreign currency translation adjustments		(268	)		—				(268	)
Comprehensive loss	$	(3,316	)	$	(4,538	)		$	(7,854	)
Net loss per share									-
Basic	$	(0.11	)	$	(0.17	)		$	(0.28	)
Diluted	$	(0.11	)	$	(0.17	)		$	(0.28	)
Weighted average shares outstanding
Basic		27,530							27,530
Diluted		27,530							27,530

The impact of each error for the corresponding period in the above table is described below:

(a) Error corrections relating to the timing of revenue recognition with respect to certain customer projects.

(b) Tax impact on the error corrections relating to the timing of revenue recognition with respect to certain customer projects.

The following table presents the effect of the restatement on the Company's previously reported unaudited condensed consolidated statement of cash flows for the three months ended March 31, 2022 (in thousands).

	Three Months Ended March 31, 2022
	As Previously Reported			Adjustments				As Restated
Cash flows from operating activities:
Net loss	$	(3,048	)	$	(4,538	)	(a)(b)	$	(7,586	)
Adjustments to reconcile net loss to net cash   provided by (used in) operating activities:
Depreciation and amortization		1,081			—				1,081
Stock-based compensation		2,671			—				2,671
Provision for inventory write-down		705			—				705
Provision for credit losses, net of recoveries		(752	)		—				(752	)
Provision for sales returns		1,448			—				1,448
Provision for warranty expense		121			—				121
Unrealized loss (gain) on foreign currency transactions		874			—				874
Subsidiary dissolution		(68	)		—				(68	)
Changes in operating assets and liabilities excluding effects of acquisition:
Accounts receivable		2,761			3,657		(a)		6,418
Other receivable		126			—				126
Inventories		(10,931	)		(3,626	)	(a)		(14,557	)
Contract assets		1,261			—				1,261
Prepaid expenses and other assets		(7,577	)		3,020		(b)		(4,557	)
Accounts payable		1,586			—				1,586
Contract liabilities		(1,446	)		1,403		(a)		(43	)
Accrued and other liabilities		456			84		(b)		540
Net cash used in operating activities		(10,732	)		—				(10,732	)
Cash flows from investing activities:
Purchases of property, plant and equipment		(1,317	)		—				(1,317	)
Acquisition of business, net of cash acquired		—			—				—
Net cash used in investing activities		(1,317	)		—				(1,317	)
Cash flows from financing activities:
Payments for debt issue costs		(178	)		—				(178	)
Proceeds from exercise of stock awards and employee stock plan purchases		156			—				156
Net cash provided by (used in) financing activities		(22	)		—				(22	)
Effect of exchange rate changes on cash, cash equivalents and restricted cash		(903	)		—				(903	)
Net increase in cash, cash equivalents and restricted cash		(12,974	)		—				(12,974	)
Cash, cash equivalents and restricted cash at beginning of period		53,639			—				53,639
Cash, cash equivalents and restricted cash at end of period	$	40,665		$	—			$	40,665

The impact of each error for the corresponding period in the above table is described below:

(a) Error corrections relating to the timing of revenue recognition with respect to certain customer projects.

(b) Tax impact on the error corrections relating to the timing of revenue recognition with respect to certain customer projects.