Note 3 - Revenue From Contracts With Customers

12 Months Ended

Dec. 30, 2023

Notes to Financial Statements

Revenue from Contract with Customer [Text Block]

Note 3 - Revenue from Contracts with Customers

Disaggregation of Revenue

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

	Year Ended
Revenue by Channel	December 30,				December 31,				January 1,
(In thousands)	2023				2022				2022
Distributors	$	644,181	87	%	$	591,229	89	%	$	449,650	87	%
Direct		92,973	13	%		69,127	11	%		65,677	13	%
Total revenue	$	737,154	100	%	$	660,356	100	%	$	515,327	100	%
Revenue by Geographical Market
(In thousands)
China		239,192	32	%		296,917	45	%		281,237	55	%
Japan		110,403	15	%		90,902	14	%		47,915	9	%
Other Asia		94,170	13	%		77,085	12	%		55,416	10	%
Asia		443,765	60	%		464,904	71	%		384,568	74	%
Americas		145,839	20	%		100,260	15	%		80,870	16	%
Europe		147,550	20	%		95,192	14	%		49,889	10	%
Total revenue	$	737,154	100	%	$	660,356	100	%	$	515,327	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 Founders consortium. 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 distributed to us by the HDMI licensing agent. Contract assets are recorded in Prepaid expenses and other current assets in our Consolidated Balance Sheets.

The following table summarizes activity during the periods presented:

(In thousands)
Contract assets as of January 1, 2022	$	5,672
Revenues recorded during the period		15,848
Transferred to Accounts receivable or collected		(14,173	)
Contract assets as of December 31, 2022	$	7,347
Revenues recorded during the period		12,941
Transferred to Accounts receivable or collected		(9,094	)
Contract assets as of December 30, 2023	$	11,194

Contract liabilities are included in Accrued liabilities on our Consolidated Balance Sheets. The following table summarizes activity during the periods presented:

(In thousands)
Contract liabilities as of January 1, 2022	$	4,768
Prepaid customer deposit		12,811
Accruals for estimated future stock rotation and scrap returns		6,142
Less: Release of accruals for recognized stock rotation and scrap returns		(6,055	)
Contract liabilities as of December 31, 2022	$	17,666
Less: Product shipments from prepaid customer deposit		(12,946	)
Accruals for estimated future stock rotation and scrap returns		9,867
Less: Release of accruals for recognized stock rotation and scrap returns		(9,283	)
Contract liabilities as of December 30, 2023	$	5,304