Note 3 - Revenue From Contracts With Customers

3 Months Ended

Apr. 03, 2021

Notes to Financial Statements

Revenue from Contract with Customer [Text Block]

Disaggregation of revenue

The following tables provide information about revenue from contracts with customers disaggregated by major class of revenue, revenue by channel, and by geographical market, based on ship-to location of the customer:

	Three Months Ended
Major Class of Revenue	April 3,				March 28,
(In thousands)	2021				2020
Product	$	111,592	96	%	$	93,225	96	%
Licensing and services		4,124	4	%		4,091	4	%
Total revenue	$	115,716	100	%	$	97,316	100	%
Revenue by Channel
(In thousands)
Product revenue - Distributors	$	98,779	85	%	$	75,455	78	%
Product revenue - Direct		12,813	11	%		17,770	18	%
Licensing and services revenue		4,124	4	%		4,091	4	%
Total revenue	$	115,716	100	%	$	97,316	100	%
Revenue by Geographical Market
(In thousands)
United States	$	9,110	8	%	$	13,319	14	%
Other Americas		6,733	6	%		3,268	3	%
Americas		15,843	14	%		16,587	17	%
China		67,119	58	%		43,499	45	%
Taiwan		2,814	2	%		9,859	10	%
Japan		7,777	7	%		7,999	8	%
Other Asia		10,680	9	%		7,336	8	%
Asia		88,390	76	%		68,693	71	%
Europe		11,483	10	%		12,036	12	%
Total revenue	$	115,716	100	%	$	97,316	100	%

Contract balances

Our contract assets relate to our rights to consideration for licenses and royalties due to us as a member of the HDMI consortium, with collection dependent on events other than the passage of time, such as collection of licenses and royalties from customers by the HDMI licensing agent. The balance results primarily from the amount of estimated revenue related to HDMI that we have recognized to date, but which has not yet been collected by the agent. Contract assets are included in Prepaid expenses and other current assets on our Consolidated Balance Sheets. The following table summarizes activity during the first three months of fiscal 2021:

(In thousands)
Contract assets as of January 2, 2021	$	5,611
Revenues recorded during the period		3,855
Transferred to Accounts receivable or collected		(3,586	)
Contract assets as of April 3, 2021	$	5,880

Contract liabilities are included in Accrued expenses on our Consolidated Balance Sheets. The following table summarizes activity during the first three months of fiscal 2021:

(In thousands)
Contract liabilities as of January 2, 2021	$	3,068
Accruals for estimated future stock rotation and scrap returns		1,845
Contract liabilities as of April 3, 2021	$	4,913