Note 10 - Cash, Cash Equivalents, Investments and Restricted Cash

3 Months Ended

Mar. 31, 2024

Notes to Financial Statements

Financial Instruments Disclosure [Text Block]

10. CASH, CASH EQUIVALENTS, INVESTMENTS AND RESTRICTED CASH

The following is a summary of the Company’s cash, cash equivalents and debt investments (in thousands):

	March 31,		December 31,
	2024		2023
Cash	$	363,038	$	392,329
Money market funds		125,235		135,514
Certificates of deposit		166,157		127,123
Corporate debt securities		60,380		95,101
U.S. treasuries and government agency bonds		571,579		358,409
Auction-rate securities backed by student-loan notes		518		567
Total	$	1,286,907	$	1,109,043

	March 31,		December 31,
	2024		2023
Reported as:
Cash and cash equivalents	$	488,273	$	527,843
Short-term investments		798,116		580,633
Investment within other long-term assets		518		567
Total	$	1,286,907	$	1,109,043

The following table summarizes the contractual maturities of the short-term and long-term available-for-sale investments as of March 31, 2024 (in thousands):

	Amortized Cost		Fair Value
Due in less than 1 year	$	738,665	$	737,861
Due in 1 - 5 years		60,667		60,255
Due in greater than 5 years		525		518
Total	$	799,857	$	798,634

Gross realized gains and losses recognized on the sales of available-for-sale investments were not material for the periods presented.

The following tables summarize the unrealized gain and loss positions related to the available-for-sale investments (in thousands):

	March 31, 2024
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
Money market funds	$	125,235	$	-	$	-		$	125,235
Certificates of deposit		166,157		-		-			166,157
Corporate debt securities		61,353		1		(974	)		60,380
U.S. treasuries and government agency bonds		571,822		7		(250	)		571,579
Auction-rate securities backed by student-loan notes		525		-		(7	)		518
Total	$	925,092	$	8	$	(1,231	)	$	923,869

	December 31, 2023
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
Money market funds	$	135,514	$	-	$	-		$	135,514
Certificates of deposit		127,123		-		-			127,123
Corporate debt securities		96,636		4		(1,539	)		95,101
U.S. treasuries and government agency bonds		358,177		327		(95	)		358,409
Auction-rate securities backed by student-loan notes		574		-		(7	)		567
Total	$	718,024	$	331	$	(1,641	)	$	716,714

The following tables present information about the available-for-sale investments that had been in a continuous unrealized loss position for less than 12 months and for greater than 12 months (in thousands):

	March 31, 2024
	Less than 12 Months					Greater than 12 Months					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
Corporate debt securities	$	5,436	$	(9	)	$	51,943	$	(965	)	$	57,379	$	(974	)
U.S. treasuries and government agency bonds		509,959		(250	)		-		-			509,959		(250	)
Auction-rate securities backed by student-loan notes		-		-			518		(7	)		518		(7	)
Total	$	515,395	$	(259	)	$	52,461	$	(972	)	$	567,856	$	(1,231	)

	December 31, 2023
	Less than 12 Months					Greater than 12 Months					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
Corporate debt securities	$	20,792	$	(19	)	$	70,806	$	(1,520	)	$	91,598	$	(1,539	)
U.S. treasuries and government agency bonds		97,599		(95	)		-		-			97,599		(95	)
Auction-rate securities backed by student-loan notes		-		-			567		(7	)		567		(7	)
Total	$	118,391	$	(114	)	$	71,373	$	(1,527	)	$	189,764	$	(1,641	)

An impairment exists when the fair value of an investment is less than its amortized cost basis. As of March 31, 2024 and December 31, 2023, the Company did not consider the impairment of its investments to be a result of credit losses. The Company typically invests in highly rated securities, with the primary objective of minimizing the potential risk of principal loss. The Company’s investment policy generally requires securities to be investment grade and limits the amount of credit exposure to any one issuer. When evaluating a debt security for impairment, management reviews factors such as the Company’s intent to sell, or whether it will more likely than not be required to sell, the security before recovery of its amortized cost basis, the extent to which the fair value of the security is less than its cost, the financial condition of the issuer and the credit quality of the investment.

Restricted Cash

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported on the Condensed Consolidated Balance Sheets to the amounts reported on the Condensed Consolidated Statements of Cash Flows (in thousands):

	March 31,		December 31,
	2024		2023
Cash and cash equivalents	$	488,273	$	527,843
Restricted cash included in other current assets		-		33,204
Restricted cash included in other long-term assets		125		134
Total cash, cash equivalents and restricted cash reported on the Condensed Consolidated Statements of Cash Flows	$	488,398	$	561,181

The restricted cash included in other current assets as of December 31, 2023 was related to preliminary purchase consideration held in a trust account in connection with the Company’s acquisition of Axign and was paid in January 2024. See Note 4 for additional information. As of March 31, 2024 and  December 31, 2023, restricted cash included in other long-term assets was related to a security deposit that is set aside in a bank account and cannot be withdrawn by the Company under the terms of a lease agreement. The restriction will end upon the expiration of the lease.