| QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
| TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
| (State or Other Jurisdiction of Incorporation or Organization) |
(I.R.S. Employer Identification No.) | |
| |
||
(Address of Principal Executive Offices) |
(Zip Code) | |
| Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered | ||
| ☒ | Accelerated filer | ☐ | ||||
Non-accelerated filer |
☐ | Emerging growth company | ||||
| Smaller reporting company | ||||||
Page No. |
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| Item 1. |
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1 |
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2 |
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3 |
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4 |
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5 |
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6 |
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| Item 2. |
30 |
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| Item 3. |
4 2 |
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| Item 4. |
4 2 |
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| Item 1. |
4 3 |
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| Item 1A. |
4 3 |
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| Item 2. |
4 5 |
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| Item 4. |
4 5 |
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| Item 6. |
4 6 |
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Item 1: |
Financial Statements |
June 28, 2020 |
December 31, 2019 |
|||||||
(in thousands, except per share amount) |
||||||||
ASSETS |
||||||||
Current assets: |
||||||||
Cash and cash equivalents |
$ | $ | ||||||
Marketable securities |
||||||||
Accounts receivable, less allowance for doubtful accounts of $ |
||||||||
Inventories, net |
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Prepayments and other current assets |
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Total current assets |
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Property, plant and equipment, net |
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Operating lease right-of-use |
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Marketable securities |
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Deferred tax assets |
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Retirement plans assets |
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Other assets |
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Acquired intangible assets, net |
||||||||
Goodwill |
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Total assets |
$ | $ | ||||||
LIABILITIES |
||||||||
Current liabilities: |
||||||||
Accounts payable |
$ | $ | ||||||
Accrued employees’ compensation and withholdings |
||||||||
Deferred revenue and customer advances |
||||||||
Other accrued liabilities |
||||||||
Operating lease liabilities |
||||||||
Contingent consideration |
||||||||
Income taxes payable |
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Total current liabilities |
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Retirement plans liabilities |
||||||||
Long-term deferred revenue and customer advances |
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Long-term contingent consideration |
||||||||
Long-term other accrued liabilities |
||||||||
Deferred tax liabilities |
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Long-term operating lease liabilities |
||||||||
Long-term income taxes payable |
||||||||
Debt |
||||||||
Total liabilities |
||||||||
Commitments and contingencies (See Note Q) |
||||||||
SHAREHOLDERS’ EQUITY |
||||||||
Common stock, $ |
||||||||
Additional paid-in capital |
||||||||
Accumulated other comprehensive loss |
( |
) | ( |
) | ||||
Retained earnings (accumulated deficit) |
( |
) | ||||||
Total shareholders’ equity |
||||||||
Total liabilities and shareholders’ equity |
$ | $ | ||||||
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, 2020 |
June 30, 2019 |
June 28, 2020 |
June 30, 2019 |
|||||||||||||
(in thousands, except per share amount) |
||||||||||||||||
| Revenues: |
||||||||||||||||
| Products |
$ | $ | $ | $ | ||||||||||||
| Services |
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| |
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| Total revenues |
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| Cost of revenues: |
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| Cost of products |
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| Cost of services |
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| |
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| Total cost of revenues (exclusive of acquired intangible assets amortization shown separately below) |
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| Gross profit |
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| Operating expenses: |
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| Selling and administrative |
||||||||||||||||
| Engineering and development |
||||||||||||||||
| Acquired intangible assets amortization |
||||||||||||||||
| Restructuring and other |
( |
) | ( |
) | ||||||||||||
| |
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| Total operating expenses |
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| |
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| Income from operations |
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| Non-operating (income) expense: |
||||||||||||||||
| Interest income |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
| Interest expense |
||||||||||||||||
| Other (income) expense, net |
( |
) | ( |
) | ||||||||||||
| |
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|||||||||
| Income before income taxes |
||||||||||||||||
| Income tax provision |
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| |
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|
|||||||||
| Net income |
$ | $ | $ | $ | ||||||||||||
| |
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|
|||||||||
| Net income per common share: |
||||||||||||||||
| Basic |
$ | $ | $ | $ | ||||||||||||
| |
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|
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| Diluted |
$ | $ | $ | $ | ||||||||||||
| |
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| Weighted average common shares—basic |
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| Weighted average common shares—diluted |
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| |
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|
|||||||||
| Cash dividend declared per common share |
$ | $ | $ | $ | ||||||||||||
| |
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|
|
|
|
|
|
|||||||||
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, |
June 30, |
June 28, |
June 30, |
|||||||||||||
2020 |
2019 |
2020 |
2019 |
|||||||||||||
(in thousands) |
||||||||||||||||
| Net income |
$ | $ | $ | $ | ||||||||||||
| Other comprehensive income, net of tax: |
||||||||||||||||
| Foreign currency translation adjustment, net of tax of $ |
||||||||||||||||
| Available-for-sale |
||||||||||||||||
| Unrealized gains on debt securities arising during period, net of tax of $ |
||||||||||||||||
| Less: Reclassification adjustment for gains included in net income, net of tax of $( |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Defined benefit retirement plans: |
||||||||||||||||
| Amortization of prior service credit, net of tax of $ |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
| |
|
|
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|
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|
|||||||||
| Other comprehensive income |
||||||||||||||||
| |
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|
|||||||||
| Comprehensive income |
$ | $ | $ | $ | ||||||||||||
| |
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|
|||||||||
| Common Stock Shares |
Common Stock Par Value |
Additional Paid-in Capital |
Accumulated Other Comprehensive Loss |
(Accumulated Deficit) Retain ed Earnings |
Total Shareholders’ Equity |
|||||||||||||||||||
(in thousands) |
||||||||||||||||||||||||
| For the Three Months Ended June 28, 2020 |
||||||||||||||||||||||||
| Balance, March 29, 2020 |
$ | $ | $ | ( |
) | $ | ( |
) | $ | |||||||||||||||
| Net issuance of common stock under stock-based plans |
( |
) | ( |
) | ||||||||||||||||||||
| Stock-based compensation expense |
||||||||||||||||||||||||
| Repurchase of common stock |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||
| Cash dividends ($ |
( |
) | ( |
) | ||||||||||||||||||||
| Net income |
||||||||||||||||||||||||
| Other comprehensive income |
||||||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Balance, June 28, 2020 |
$ | $ | $ | ( |
) | $ | $ | |||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| For the Three Months Ended June 30, 2019 |
||||||||||||||||||||||||
| Balance, March 31, 2019 |
$ | $ | $ | ( |
) | $ | ( |
) | $ | |||||||||||||||
| Net issuance of common stock under stock-based plans |
||||||||||||||||||||||||
| Stock-based compensation expense |
||||||||||||||||||||||||
| Repurchase of common stock |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||
| Cash dividends ($ |
( |
) | ( |
) | ||||||||||||||||||||
| Net income |
||||||||||||||||||||||||
| Other comprehensive income |
||||||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Balance, June 30, 2019 |
$ | $ | $ | ( |
) | $ | ( |
) | $ | |||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| For the Six Months Ended June 28, 2020 |
||||||||||||||||||||||||
| Balance, December 31, 2019 |
$ | $ | $ | ( |
) | $ | ( |
) | $ | |||||||||||||||
| Net issuance of common stock under stock-based plans |
( |
) | ( |
) | ||||||||||||||||||||
| Stock-based compensation expense |
||||||||||||||||||||||||
| Repurchase of common stock |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||
| Cash dividends ($ |
( |
) | ( |
) | ||||||||||||||||||||
| Net income |
||||||||||||||||||||||||
| Other comprehensive income |
||||||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Balance, June 28, 2020 |
$ | $ | $ | ( |
) | $ | $ | |||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| For the Six Months Ended June 30, 2019 |
||||||||||||||||||||||||
| Balance, December 31, 2018 |
$ | $ | $ | ( |
) | $ | ( |
) | $ | |||||||||||||||
| Net issuance of common stock under stock-based plans |
||||||||||||||||||||||||
| Stock-based compensation expense |
||||||||||||||||||||||||
| Repurchase of common stock |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||||
| Cash dividends ($ |
( |
) | ( |
) | ||||||||||||||||||||
| Net income |
||||||||||||||||||||||||
| Other comprehensive income |
||||||||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Balance, June 30, 2019 |
$ | $ | $ | ( |
) | $ | ( |
) | $ | |||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
For the Six Months Ended |
||||||||
June 28, 2020 |
June 30, 2019 |
|||||||
(in thousands) |
||||||||
Cash flows from operating activities: |
||||||||
Net income |
$ | $ | ||||||
Adjustments to reconcile net income from operations to net cash provided by operating activities: |
||||||||
Depreciation |
||||||||
Amortization |
||||||||
Stock-based compensation |
||||||||
Contingent consideration adjustment |
( |
) | ||||||
Provision for excess and obsolete inventory |
||||||||
Deferred taxes |
( |
) | ||||||
Gains on investments |
( |
) | ( |
) | ||||
Retirement plan actuarial (gains) losses |
( |
) | ||||||
Other |
||||||||
Changes in operating assets and liabilities, net of businesses acquired: |
||||||||
Accounts receivable |
( |
) | ( |
) | ||||
Inventories |
( |
) | ( |
) | ||||
Prepayments and other assets |
( |
) | ( |
) | ||||
Accounts payable and other liabilities |
( |
) | ||||||
Deferred revenue and customer advances |
||||||||
Retirement plans contributions |
( |
) | ( |
) | ||||
Income taxes |
( |
) | ||||||
Net cash provided by operating activities |
||||||||
Cash flows from investing activities: |
||||||||
Purchases of property, plant and equipment |
( |
) | ( |
) | ||||
Purchases of marketable securities |
( |
) | ( |
) | ||||
Proceeds from maturities of marketable securities |
||||||||
Proceeds from sales of marketable securities |
||||||||
Proceeds from life insurance |
||||||||
Acquisition of businesses, net of cash acquired |
( |
) | ||||||
Net cash used for investing activities |
( |
) | ( |
) | ||||
Cash flows from financing activities: |
||||||||
Issuance of common stock under stock purchase and stock option plans |
||||||||
Repurchase of common stock |
( |
) | ( |
) | ||||
Dividend payments |
( |
) | ( |
) | ||||
Payments related to net settlement of employee stock compensation awards |
( |
) | ( |
) | ||||
Payments of contingent consideration |
( |
) | ( |
) | ||||
Net cash used for financing activities |
( |
) | ( |
) | ||||
Effects of exchange rate changes on cash and cash equivalents |
( |
) | ( |
) | ||||
Decrease in cash and cash equivalents |
( |
) | ( |
) | ||||
Cash and cash equivalents at beginning of period |
||||||||
Cash and cash equivalents at end of period |
$ | $ | ||||||
Supplemental cash flow disclosure |
||||||||
Non-cash investing activities: |
||||||||
Capital expenditures incurred but not yet paid |
$ | $ | ||||||
• |
semiconductor test (“Semiconductor Test”) systems; |
• |
defense/aerospace (“Defense/Aerospace”) test instrumentation and systems, storage and system level test (“Storage Test”) systems, and circuit-board test and inspection (“Production Board Test”) systems (collectively these products represent “System Test”); |
• |
industrial automation (“Industrial Automation”) products; and |
• |
wireless test (“Wireless Test”) systems. |
Purchase Price Allocation |
||||
(in thousands) |
||||
Goodwill |
$ | |||
Intangible assets |
||||
Tangible assets acquired and liabilities assumed: |
||||
Other current assets |
||||
Non-current assets |
||||
Accounts payable and current liabilities |
( |
) | ||
Long-term other liabilities |
( |
) | ||
Total purchase price |
$ | |||
Fair Value |
Estimated Useful Life |
|||||||
(in thousands) |
(in years) |
|||||||
Developed technology |
$ | |||||||
Trademarks and tradenames |
||||||||
Customer relationships |
||||||||
Backlog |
||||||||
Total intangible assets |
$ | |||||||
For the Three Months Ended |
For the Six Months Ended |
|||||||
June 30, 2019 |
June 30, 2019 |
|||||||
(in thousands) |
||||||||
Revenue |
$ | $ | ||||||
Net income |
||||||||
Net income per common share: |
||||||||
Basic |
$ | $ | ||||||
Diluted |
$ | $ | ||||||
Semiconductor Test |
Industrial Automation |
|||||||||||||||||||||||||||||||||||
System on a Chip |
Memory |
System Test |
Universal Robots |
Mobile Industrial Robots |
AutoGuide |
Wireless Test |
Corporate and Other |
Total |
||||||||||||||||||||||||||||
(in thousands) |
||||||||||||||||||||||||||||||||||||
For the Three Months Ended June 28, 2020 (1) |
||||||||||||||||||||||||||||||||||||
Timing of Revenue Recognition |
||||||||||||||||||||||||||||||||||||
Point in Time |
$ | $ | $ | $ | $ | $ | $ | $ | ( |
) | $ | |||||||||||||||||||||||||
Over Time |
||||||||||||||||||||||||||||||||||||
Total |
$ | $ | $ | $ | $ | $ | $ | $ | ( |
) | $ | |||||||||||||||||||||||||
Geographical Market |
||||||||||||||||||||||||||||||||||||
Asia Pacific |
$ | $ | $ | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
Americas |
( |
) | ||||||||||||||||||||||||||||||||||
Europe, Middle East and Africa |
||||||||||||||||||||||||||||||||||||
Total |
$ | $ | $ | $ | $ | $ | $ | $ | ( |
) | $ | |||||||||||||||||||||||||
For the Three Months Ended June 30, 2019 (1) |
||||||||||||||||||||||||||||||||||||
Timing of Revenue Recognition |
||||||||||||||||||||||||||||||||||||
Point in Time |
$ | $ | $ | $ | $ | $ | — | $ | $ | ( |
) | $ | ||||||||||||||||||||||||
Over Time |
— | — | — | |||||||||||||||||||||||||||||||||
Total |
$ | $ | $ | $ | $ | $ | — | $ | $ | ( |
) | $ | ||||||||||||||||||||||||
Geographical Market |
||||||||||||||||||||||||||||||||||||
Asia Pacific |
$ | $ | $ | $ | $ | $ | — | $ | $ | — | $ | |||||||||||||||||||||||||
Americas |
— | ( |
) | |||||||||||||||||||||||||||||||||
Europe, Middle East and Africa |
— | — | ||||||||||||||||||||||||||||||||||
Total |
$ | $ | $ | $ | $ | $ | — | $ | $ | ( |
) | $ | ||||||||||||||||||||||||
For the Six Months Ended June 28, 2020 (2) |
||||||||||||||||||||||||||||||||||||
Timing of Revenue Recognition |
||||||||||||||||||||||||||||||||||||
Point in Time |
$ | $ | $ | $ | $ | $ | $ | $ | ( |
) | $ | |||||||||||||||||||||||||
Over Time |
||||||||||||||||||||||||||||||||||||
Total |
$ | $ | $ | $ | $ | $ | $ | $ | ( |
) | $ | |||||||||||||||||||||||||
Geographical Market |
||||||||||||||||||||||||||||||||||||
Asia Pacific |
$ | $ | $ | $ | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
Americas |
( |
) | ||||||||||||||||||||||||||||||||||
Europe, Middle East and Africa |
||||||||||||||||||||||||||||||||||||
Total |
$ | $ | $ | $ | $ | $ | $ | $ | ( |
) | $ | |||||||||||||||||||||||||
For the Six Months Ended June 30, 2019 (2) |
||||||||||||||||||||||||||||||||||||
Timing of Revenue Recognition |
||||||||||||||||||||||||||||||||||||
Point in Time |
$ | $ | $ | $ | $ | $ | — | $ | $ | ( |
) | $ | ||||||||||||||||||||||||
Over Time |
— | — | — | |||||||||||||||||||||||||||||||||
Total |
$ | $ | $ | $ | $ | $ | — | $ | $ | ( |
) | $ | ||||||||||||||||||||||||
Geographical Market |
||||||||||||||||||||||||||||||||||||
Asia Pacific |
$ | $ | $ | $ | $ | $ | — | $ | $ | — | $ | |||||||||||||||||||||||||
Americas |
— | ( |
) | |||||||||||||||||||||||||||||||||
Europe, Middle East and Africa |
— | — | ||||||||||||||||||||||||||||||||||
Total |
$ | $ | $ | $ | $ | $ | — | $ | $ | ( |
) | $ | ||||||||||||||||||||||||
| (1) | Includes $ million and $ Revenue from Contracts with Customers.” |
| (2) | Includes $ Revenue from Contracts with Customers.” |
June 28, 2020 |
December 31, 2019 |
|||||||
(in thousands) |
||||||||
Raw material |
$ | $ | ||||||
Work-in-process |
||||||||
Finished goods |
||||||||
| $ | $ | |||||||
June 28, 2020 |
||||||||||||||||
Quoted Prices in Active Markets for Identical Instruments (Level 1) |
Significant Other Observable Inputs (Level 2) |
Significant Unobservable Inputs (Level 3) |
Total |
|||||||||||||
(in thousands) |
||||||||||||||||
| Assets |
||||||||||||||||
| Cash |
$ | $ | — | $ | — | $ | ||||||||||
| Cash equivalents |
— | |||||||||||||||
| Available-for-sale |
— | |||||||||||||||
| U.S. Treasury securities |
— | — | ||||||||||||||
| Commercial paper |
— | — | ||||||||||||||
| Corporate debt securities |
— | — | ||||||||||||||
| Certificates of deposit and time deposits |
— | — | ||||||||||||||
| Debt mutual funds |
— | — | ||||||||||||||
| U.S. government agency securities |
— | — | ||||||||||||||
| Non-U.S. government securities |
— | — | ||||||||||||||
| Equity securities: |
||||||||||||||||
| Mutual funds |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| $ | $ | $ | — | $ | ||||||||||||
| Derivative assets |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | $ | $ | — | $ | |||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Liabilities |
||||||||||||||||
| Contingent consideration |
$ | — | $ | — | $ | $ | ||||||||||
| Derivative liabilities |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | — | $ | $ | $ | |||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Reported as follows: |
||||||||||||||||
(Level 1) |
(Level 2) |
(Level 3) |
Total |
|||||||||||||
(in thousands) |
||||||||||||||||
| Assets |
||||||||||||||||
| Cash and cash equivalents |
$ | $ | $ | — | $ | |||||||||||
| Marketable securities |
— | — | ||||||||||||||
| Long-term marketable securities |
— | |||||||||||||||
| Prepayments and other current assets |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | $ | $ | — | $ | |||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Liabilities |
. | |||||||||||||||
| Other current liabilities |
$ | — | $ | $ | — | $ | ||||||||||
| Contingent consideration |
— | — | ||||||||||||||
| Long-term contingent consideration |
— | — | ||||||||||||||
| Total |
$ | — | $ | $ | $ | |||||||||||
| |
|
|
|
|
|
|
|
|||||||||
December 31, 2019 |
||||||||||||||||
Quoted Prices in Active Markets for Identical Instruments (Level 1) |
Significant Other Observable Inputs (Level 2) |
Significant Unobservable Inputs (Level 3) |
Total |
|||||||||||||
(in thousands) |
||||||||||||||||
| Assets |
||||||||||||||||
| Cash |
$ | $ | — | $ | — | |||||||||||
| Cash equivalents |
— | |||||||||||||||
| Available-for-sale |
— | |||||||||||||||
| Corporate debt securities |
— | — | ||||||||||||||
| Commercial paper |
— | — | ||||||||||||||
| U.S. Treasury securities |
— | — | ||||||||||||||
| U.S. government agency securities |
— | — | ||||||||||||||
| Debt mutual funds |
— | — | ||||||||||||||
| Certificates of deposit and time deposits |
— | — | ||||||||||||||
| Non-U.S. government securities |
— | — | ||||||||||||||
| Equity securities: |
||||||||||||||||
| Equity mutual funds |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| $ | $ | $ | — | $ | ||||||||||||
| Derivative assets |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | $ | $ | — | $ | |||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Liabilities |
||||||||||||||||
| Contingent consideration |
$ | — | $ | — | $ | $ | ||||||||||
| Derivative liabilities |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | — | $ | $ | $ | |||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Reported as follows: |
||||||||||||||||
(Level 1) |
(Level 2) |
(Level 3) |
Total |
|||||||||||||
(in thousands) |
||||||||||||||||
| Assets |
||||||||||||||||
| Cash and cash equivalents |
$ | $ | $ | — | $ | |||||||||||
| Marketable securities |
— | — | ||||||||||||||
| Long-term marketable securities |
— | |||||||||||||||
| Prepayments and other current assets |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | $ | $ | — | $ | |||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Liabilities |
||||||||||||||||
| Other accrued liabilities |
$ | — | $ | $ | — | $ | ||||||||||
| Contingent consideration |
— | — | ||||||||||||||
| Long-term contingent consideration |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total |
$ | — | $ | $ | $ | |||||||||||
| |
|
|
|
|
|
|
|
|||||||||
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, |
June 30, |
June 28, |
June 30, |
|||||||||||||
2020 |
2019 |
2020 |
2019 |
|||||||||||||
(in thousands) |
||||||||||||||||
| Balance at beginning of period |
$ | $ | $ | $ | ||||||||||||
| Foreign currency impact |
( |
) | ( |
) | ||||||||||||
| Payments (a)(b) |
( |
) | ( |
) | ||||||||||||
| Fair value adjustment (c)(d) |
( |
) | ( |
) | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Balance at end of period |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| (a) | In the six months ended June 28, 2020, Teradyne paid $ earn-out in connection with the acquisition of MiR. |
| (b) | In the six months ended June 30, 2019, Teradyne paid $ |
| (c) | In the three and six months ended June 28, 2020, the fair value of contingent consideration for the earn-outs in connection with the acquisition of MiR decreased by $ , due to higher f . or e casted results |
| (d) | In the three and six months ended June 30, 2019, the fair value of contingent consideration for the earn-out in connection with the acquisition of MiR decreased by $ |
| Liability |
June 28, 2020 Fair |
Valuation Technique |
Unobservable Inputs |
Weighted Average |
||||||||
(in thousands) |
||||||||||||
| Contingent consideration (AutoGuide) |
$ | Monte Carlo Simulation | Revenue volatility | % | ||||||||
| Discount Rate | % | |||||||||||
| Contingent consideration (MiR) |
$ | Monte Carlo Simulation | Revenue volatility | % | ||||||||
| Discount Rate | % | |||||||||||
June 28, 2020 |
December 31, 2019 |
|||||||||||||||
Carrying Value |
Fair Value |
Carrying Value |
Fair Value |
|||||||||||||
(in thousands) |
||||||||||||||||
| Assets |
||||||||||||||||
| Cash and cash equivalents |
$ | $ | $ | $ | ||||||||||||
| Marketable securities |
||||||||||||||||
| Derivative assets |
||||||||||||||||
| Liabilities |
||||||||||||||||
| Contingent consideration |
||||||||||||||||
| Derivative liabilities |
||||||||||||||||
| Convertible debt (1) |
||||||||||||||||
| (1) | The carrying value represents the bifurcated debt component only, while the fair value is based on quoted market prices for the convertible note, which includes the equity conversion features. |
June 28, 2020 |
||||||||||||||||||||
Available-for-Sale |
||||||||||||||||||||
Cost |
Unrealized Gain |
Unrealized (Loss) |
Fair Market Value |
Fair Market Value of Investments with Unrealized Losses |
||||||||||||||||
(in thousands) |
||||||||||||||||||||
| U.S. Treasury securities |
$ | $ | $ | ( |
) | $ | $ | |||||||||||||
| Commercial paper |
||||||||||||||||||||
| Corporate debt securities |
( |
) | ||||||||||||||||||
| Certificates of deposit and time deposits |
— | — | ||||||||||||||||||
| Debt mutual funds |
— | — | ||||||||||||||||||
| U.S. government agency securities |
||||||||||||||||||||
| Non-U.S. government securities |
— | — | — | |||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|||||||||||
| $ | $ | $ | ( |
) | $ | $ | ||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|||||||||||
Cost |
Unrealized Gain |
Unrealized (Loss) |
Fair Market Value |
Fair Market Value of Investments with Unrealized Losses |
||||||||||||||||
(in thousands) |
||||||||||||||||||||
| Marketable securities |
$ | $ | $ | ( |
) | $ | $ | |||||||||||||
| Long-term marketable securities |
( |
) | ||||||||||||||||||
| $ | $ | $ | ( |
) | $ | $ | ||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|||||||||||
December 31, 2019 |
||||||||||||||||||||
Available-for-Sale |
||||||||||||||||||||
Cost |
Unrealized Gain |
Unrealized (Loss) |
Fair Market Value |
Fair Market Value of Investments with Unrealized Losses |
||||||||||||||||
(in thousands) |
||||||||||||||||||||
Corporate debt securities |
$ | $ | $ | ( |
) | $ | $ | |||||||||||||
Commercial paper |
( |
) | ||||||||||||||||||
U.S. Treasury securities |
( |
) | ||||||||||||||||||
U.S. government agency securities |
( |
) | ||||||||||||||||||
Debt mutual funds |
— | — | ||||||||||||||||||
Certificates of deposit and time deposits |
— | — | — | |||||||||||||||||
Non-U.S. government securities |
— | — | — | |||||||||||||||||
| $ | $ | $ | ( |
) | $ | $ | ||||||||||||||
Cost |
Unrealized Gain |
Unrealized (Loss) |
Fair Market Value |
Fair Market Value of Investments with Unrealized Losses |
||||||||||||||||
(in thousands) |
||||||||||||||||||||
Marketable securities |
$ | $ | $ | ( |
) | $ | $ | |||||||||||||
Long-term marketable securities |
( |
) | ||||||||||||||||||
| $ | $ | $ | ( |
) | $ | $ | ||||||||||||||
June 28, 2020 |
||||||||
Cost |
Fair Market Value |
|||||||
(in thousands) |
||||||||
Due within one year |
$ | $ | ||||||
Due after 1 year through 5 years |
||||||||
Due after 5 years through 10 years |
||||||||
Due after 10 years |
||||||||
Total |
$ | $ | ||||||
Balance Sheet Location |
June 28, 2020 |
December 31, 2019 |
||||||||||
(in thousands) |
||||||||||||
Derivatives not designated as hedging instruments: |
||||||||||||
Foreign exchange contracts |
Prepayments | $ | $ | |||||||||
Foreign exchange contracts |
Other current liabilities | ( |
) | ( |
) | |||||||
Total derivatives |
$ | ( |
) | $ | ||||||||
Location of (Gains) Losses |
For the Three Months Ended |
For the Six Months Ended |
||||||||||||||||
Recognized in |
June 28, |
June 30, |
June 28, |
June 30, |
||||||||||||||
Statement of Operations |
2020 |
2019 |
2020 |
2019 |
||||||||||||||
(in thousands) |
||||||||||||||||||
Derivatives not designated as hedging instruments: |
||||||||||||||||||
| Foreign exchange contracts | Other (income) expense, net |
$ |
$ |
$ |
$ |
|||||||||||||
| (1) | The table does not reflect the corresponding gains and losses from the remeasurement of the monetary assets and liabilities denominated in foreign currencies. |
| (2) | For the three months ended June 28, 2020, net losses from the remeasurement of monetary assets and liabilities denominated in foreign currencies were $ |
| (3) | For the three months ended June 30, 2019, net losses from the remeasurement of monetary assets and liabilities denominated in foreign currencies were $ |
June 28, 2020 |
December 31, 2019 |
|||||||
(in thousands) |
||||||||
Debt Principal |
$ | $ | ||||||
Unamortized discount |
||||||||
Net Carrying amount of convertible debt |
$ | $ | ||||||
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, 2020 |
June 30, 2019 |
June 28, 2020 |
June 30, 2019 |
|||||||||||||
(in thousands) |
||||||||||||||||
Contractual interest expense on the coupon |
$ | $ | $ | $ | ||||||||||||
Amortization of the discount component and debt issue fees recognized as interest expense |
||||||||||||||||
Total interest expense on the convertible debt |
$ | $ | $ | $ | ||||||||||||
June 28, 2020 |
December 31, 2019 |
|||||||
(in thousands) |
||||||||
Contract manufacturer and supplier prepayments |
$ | $ | ||||||
Prepaid maintenance and other services |
||||||||
Prepaid taxes |
||||||||
Other prepayments |
||||||||
Total prepayments |
$ | $ | ||||||
June 28, 2020 |
December 31, 2019 |
|||||||
(in thousands) |
||||||||
Maintenance, service and training |
$ | $ | ||||||
Extended warranty |
||||||||
Customer advances, undelivered elements and other |
||||||||
Total deferred revenue and customer advances |
$ | $ | ||||||
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, 2020 |
June 30, 2019 |
June 28, 2020 |
June 30, 2019 |
|||||||||||||
(in thousands) |
||||||||||||||||
Balance at beginning of period |
$ | $ | $ | $ | ||||||||||||
Accruals for warranties issued during the period |
||||||||||||||||
Accruals related to pre-existing warranties |
||||||||||||||||
Settlements made during the period |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
Acquisition |
— | — | ||||||||||||||
Balance at end of period |
$ | $ | $ | $ | ||||||||||||
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, 2020 |
June 30, 2019 |
June 28, 2020 |
June 30, 2019 |
|||||||||||||
(in thousands) |
||||||||||||||||
Balance at beginning of period |
$ |
$ |
$ |
$ |
||||||||||||
Deferral of new extended warranty revenue |
||||||||||||||||
Recognition of extended warranty deferred revenue |
( |
) |
( |
) |
( |
) |
( |
) | ||||||||
Balance at end of period |
$ |
$ |
$ |
$ |
||||||||||||
For the Six Months Ended |
||||||||
June 28, 2020 |
June 30, 2019 |
|||||||
| Risk-free interest rate |
% | % | ||||||
| Teradyne volatility-historical |
% | % | ||||||
| NYSE Composite Index volatility-historical |
% | % | ||||||
| Dividend yield |
% | % | ||||||
For the Six Months Ended |
||||||||
June 28, 2020 |
June 30, 2019 |
|||||||
| Expected life (years) |
||||||||
| Risk-free interest rate |
% | % | ||||||
| Volatility-historical |
% | % | ||||||
| Dividend yield |
% | % | ||||||
Foreign Currency Translation Adjustment |
Unrealized Gains (Losses) on Marketable Securities |
Retirement Plans Prior Service Credit |
Total |
|||||||||||||
(in thousands) |
||||||||||||||||
| Six Months Ended June 28, 2020 |
||||||||||||||||
| Balance at December 31, 2019, net of tax of $ |
$ | ( |
) | $ | $ | $ | ( |
) | ||||||||
| Other comprehensive income before reclassifications, net of tax of $ |
||||||||||||||||
| Amounts reclassified from accumulated other comprehensive income, net of tax of $ |
( |
) | ( |
) | ( |
) | ||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Net current period other comprehensive income (loss), net of tax of $ |
( |
) | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Balance at June 28, 2020, net of tax of $ |
$ | ( |
) | $ | $ | $ | ( |
) | ||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Six Months Ended June 30, 2019 |
||||||||||||||||
| Balance at December 31, 2018, net of tax of $ |
$ | ( |
) | $ | ( |
) | $ | $ | ( |
) | ||||||
| Other comprehensive income before reclassifications, net of tax of $ |
||||||||||||||||
| Amounts reclassified from accumulated other comprehensive income, net of tax of $ |
( |
) | ( |
) | ( |
) | ||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Net current period other comprehensive income (loss), net of tax of $ |
( |
) | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Balance as June 30, 2019, net of tax of $ |
$ | ( |
) | $ | $ | $ | ( |
) | ||||||||
| |
|
|
|
|
|
|
|
|||||||||
Details about Accumulated Other Comprehensive Income Components |
For the Three Months Ended |
For the Six Months Ended |
Affected Line Item in the Statements of Operations |
|||||||||||||||||
June 28, 2020 |
June 30, 2019 |
June 28, 2020 |
June 30, 2019 |
|||||||||||||||||
(in thousands) |
||||||||||||||||||||
| Available-for-sale |
||||||||||||||||||||
| Unrealized gains, net of tax of $ |
$ | $ | $ | $ | Interest income | |||||||||||||||
| Defined benefit retirement plans: |
||||||||||||||||||||
| Amortization of prior service credit , net of tax of $ |
(a) | |||||||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||||||
| Total reclassifications, net of tax of $ |
$ | $ | $ | $ | Net income | |||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||||||
| (a) | The amortization of prior service benefit is included in the computation of net periodic pension cost and postretirement benefit. See Note P: “Retirement Plans.” |
Industrial Automation |
System Test |
Wireless Test |
Semiconductor Test |
Total |
||||||||||||||||
(in thousands) |
||||||||||||||||||||
Balance at December 31, 2019 |
||||||||||||||||||||
Goodwill |
$ | $ | $ | $ | $ | |||||||||||||||
Accumulated impairment losses |
— | ( |
) | ( |
) | ( |
) | ( |
) | |||||||||||
AutoGuide acquisition |
( |
) | — | — | — | ( |
) | |||||||||||||
Foreign currency translation adjustment |
— | — | ||||||||||||||||||
Balance at June 28, 2020 |
||||||||||||||||||||
Goodwill |
||||||||||||||||||||
Accumulated impairment losses |
— | ( |
) | ( |
) | ( |
) | ( |
) | |||||||||||
| $ | $ | $ | $ | $ | ||||||||||||||||
Gross Carrying Amount |
Accumulated Amortization |
Foreign Currency Translation Adjustment |
Net Carrying Amount |
|||||||||||||
(in thousands) |
||||||||||||||||
Balance at June 28, 2020 |
||||||||||||||||
Developed technology |
$ | $ | ( |
) | $ | ( |
) | $ | ||||||||
Customer relationships |
( |
) | ( |
) | ||||||||||||
Tradenames and trademarks |
( |
) | ( |
) | ||||||||||||
Total intangible assets |
$ | $ | ( |
) | $ | ( |
) | $ | ||||||||
Balance at December 31, 2019 |
||||||||||||||||
Developed technology |
$ | $ | ( |
) | $ | ( |
) | $ | ||||||||
Customer relationships |
( |
) | ( |
) | ||||||||||||
Tradenames and trademarks |
( |
) | ( |
) | ||||||||||||
Backlog |
( |
) | — | — | ||||||||||||
Total intangible assets |
$ | $ | ( |
) | $ | ( |
) | $ | ||||||||
Year |
Amortization Expense |
|||
(in thousands) |
||||
2020 (remainder) |
||||
2021 |
||||
2022 |
||||
2023 |
||||
2024 |
||||
Thereafter |
||||
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, |
June 30, |
June 28, |
June 30, |
|||||||||||||
2020 |
2019 |
2020 |
2019 |
|||||||||||||
(in thousands, except per share amounts) |
||||||||||||||||
Net income for basic and diluted net income per share |
$ | $ | $ | $ | ||||||||||||
Weighted average common shares-basic |
||||||||||||||||
Effect of dilutive potential common shares: |
||||||||||||||||
Incremental shares from assumed conversion of convertible notes (1) |
||||||||||||||||
Convertible note hedge warrant shares (2) |
||||||||||||||||
Restricted stock units |
||||||||||||||||
Stock options |
||||||||||||||||
Employee stock purchase plan |
||||||||||||||||
Dilutive potential common shares |
||||||||||||||||
Weighted average common shares-diluted |
||||||||||||||||
Net income per common share-basic |
$ | $ | $ | $ | ||||||||||||
Net income per common share-diluted |
$ | $ | $ | $ | ||||||||||||
| (1) | Incremental shares from assumed conversion of the convertible notes was calculated using the difference between the average Teradyne stock price for the period and the conversion price of $ |
| (2) | Convertible notes hedge warrant shares were calculated using the difference between the average Teradyne stock price for the period and the warrant price of $ |
For the Three Months Ended |
||||||||||||||||
June 28, 2020 |
June 30, 2019 |
|||||||||||||||
United States |
Foreign |
United States |
Foreign |
|||||||||||||
(in thousands) |
||||||||||||||||
| Service cost |
$ | $ | $ | $ | ||||||||||||
| Interest cost |
||||||||||||||||
| Expected return on plan assets |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
| Net actuarial loss |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total net periodic pension cost |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
For the Six Months Ended |
||||||||||||||||
June 28, 2020 |
June 30, 2019 |
|||||||||||||||
United States |
Foreign |
United States |
Foreign |
|||||||||||||
(in thousands) |
||||||||||||||||
| Service cost |
$ | $ | $ | $ | ||||||||||||
| Interest cost |
||||||||||||||||
| Expected return on plan assets |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
| Net actuarial loss |
— | — | ||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total net periodic pension cost |
$ | $ | $ | $ | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, 2020 |
June 30, 2019 |
June 28, 2020 |
June 30, 2019 |
|||||||||||||
(in thousands) |
||||||||||||||||
| Service cost |
$ | $ | $ | $ | ||||||||||||
| Interest cost |
||||||||||||||||
| Amortization of prior service credit |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
| Net actuarial (gain) loss |
( |
) | ( |
) | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total net periodic postretirement benefit (credit) cost |
$ | ( |
) | $ | $ | ( |
) | $ | ||||||||
| |
|
|
|
|
|
|
|
|||||||||
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, 2020 |
June 30, 2019 |
June 28, 2020 |
June 30, 2019 |
|||||||||||||
| US statutory federal tax rate |
% | % | % | % | ||||||||||||
| Discrete benefit related to release of reserves for uncertain tax positions |
( |
) | ( |
) | ||||||||||||
| Foreign taxes |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
| International provisions of the U.S. Tax Cuts and Jobs Act of 2017 |
( |
) | ( |
) | ||||||||||||
| Tax credits |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
| Discrete benefit related to equity compensation |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
| Discrete expense related to U.S. transition tax |
||||||||||||||||
| Other, net |
||||||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Effective tax rate |
% | % | % | % | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
Semiconductor Test |
System Test |
Industrial Automation |
Wireless Test |
Corporate and Other |
Consolidated |
|||||||||||||||||||
(in thousands) |
||||||||||||||||||||||||
Three Months Ended June 28, 2020 |
||||||||||||||||||||||||
Revenues |
$ | $ | $ | $ | $ | ( |
) | $ | ||||||||||||||||
Income (loss) before income taxes (1)(2) |
( |
) | ( |
) | ||||||||||||||||||||
Total assets (3) |
||||||||||||||||||||||||
Three Months Ended June 30, 2019 |
||||||||||||||||||||||||
Revenues |
$ | $ | $ | $ | $ | ( |
) | $ | ||||||||||||||||
Income before income taxes (1)(2) |
( |
) | ||||||||||||||||||||||
Total assets (3) |
||||||||||||||||||||||||
Six Months Ended June 28, 2020 |
||||||||||||||||||||||||
Revenues |
$ | $ | $ | $ | $ | ( |
) | $ | ||||||||||||||||
Income (loss) before income taxes (1)(2) |
( |
) | ( |
) | ||||||||||||||||||||
Total assets (3) |
||||||||||||||||||||||||
Six Months Ended June 30, 2019 |
||||||||||||||||||||||||
Revenues |
$ | $ | $ | $ | $ | ( |
) | $ | ||||||||||||||||
Income (loss) before income taxes (1)(2) |
( |
) | ||||||||||||||||||||||
Total assets (3) |
||||||||||||||||||||||||
| (1) | Included in Corporate and Other are: contingent consideration adjustments, severance charges, interest income, interest expense, net foreign exchange gains (losses), pension and postretirement plans actuarial (gains) losses, intercompany eliminations and acquisition related charges. |
| (2) | Included in income (loss) before taxes are charges and credits related to restructuring and other, and inventory charges. |
| (3) | Total assets are attributable to each segment. Corporate assets consist of cash and cash equivalents, marketable securities and certain other assets. |
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, 2020 |
June 30, 2019 |
June 28, 2020 |
June 30, 2019 |
|||||||||||||
(in thousands) |
(in thousands) |
|||||||||||||||
Semiconductor Test: |
||||||||||||||||
Contract termination settlement charge |
$ |
$ |
$ |
$ |
||||||||||||
Cost of revenues—inventory charge |
||||||||||||||||
Restructuring and other—employee severance |
||||||||||||||||
Wireless Test: |
||||||||||||||||
Cost of revenues—inventory charge |
||||||||||||||||
Industrial Automation: |
||||||||||||||||
Restructuring and other—acquisition related expenses and compensation |
||||||||||||||||
System Test: |
||||||||||||||||
Cost of revenues—inventory charge |
||||||||||||||||
Corporate and Other: |
||||||||||||||||
Restructuring and other—AutoGuide contingent consideration adjustment |
||||||||||||||||
Restructuring and other—acquisition related expenses and compensation |
||||||||||||||||
Restructuring and other – other |
||||||||||||||||
Restructuring and other—MiR contingent consideration adjustment |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
Item 2: |
Management’s Discussion and Analysis of Financial Condition and Results of Operations |
| • | semiconductor test (“Semiconductor Test”) systems; |
| • | defense/aerospace (“Defense/Aerospace”) test instrumentation and systems, storage and system level test (“Storage Test”) systems, and circuit-board test and inspection (“Production Board Test”) systems (collectively these products represent “System Test”); |
| • | industrial automation (“Industrial Automation”) products; and |
| • | wireless test (“Wireless Test”) systems. |
For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
June 28, 2020 |
June 30, 2019 |
June 28, 2020 |
June 30, 2019 |
|||||||||||||
| Percentage of revenues: |
||||||||||||||||
| Revenues: |
||||||||||||||||
| Products |
88 | % | 81 | % | 87 | % | 80 | % | ||||||||
| Services |
12 | 19 | 13 | 20 | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total revenues |
100 | 100 | 100 | 100 | ||||||||||||
| Cost of revenues: |
||||||||||||||||
| Cost of products |
38 | 34 | 38 | 34 | ||||||||||||
| Cost of services |
5 | 8 | 5 | 8 | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total cost of revenues (exclusive of acquired intangible assets amortization shown separately below) |
44 | 43 | 43 | 42 | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Gross profit |
56 | 57 | 57 | 58 | ||||||||||||
| Operating expenses: |
||||||||||||||||
| Selling and administrative |
14 | 19 | 15 | 20 | ||||||||||||
| Engineering and development |
11 | 14 | 12 | 15 | ||||||||||||
| Acquired intangible assets amortization |
1 | 2 | 1 | 2 | ||||||||||||
| Restructuring and other |
3 | (2 | ) | 1 | (1 | ) | ||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Total operating expenses |
29 | 34 | 29 | 36 | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Income from operations |
27 | 24 | 28 | 21 | ||||||||||||
| Non-operating (income) expense: |
||||||||||||||||
| Interest income |
— | (1 | ) | — | (1 | ) | ||||||||||
| Interest expense |
1 | 1 | 1 | 1 | ||||||||||||
| Other (income) expense, net |
— | — | — | — | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Income before income taxes |
26 | 23 | 27 | 21 | ||||||||||||
| Income tax provision |
3 | 6 | 3 | 2 | ||||||||||||
| |
|
|
|
|
|
|
|
|||||||||
| Net income |
23 | % | 17 | % | 24 | % | 20 | % | ||||||||
| |
|
|
|
|
|
|
|
|||||||||
For the Three Months Ended |
||||||||||||
June 28, 2020 |
June 30, 2019 |
Dollar Change |
||||||||||
(in millions) |
||||||||||||
| Semiconductor Test |
$ | 659.1 | $ | 374.9 | $ | 284.2 | ||||||
| System Test |
71.8 | 73.4 | (1.6 | ) | ||||||||
| Industrial Automation |
58.8 | 74.7 | (15.9 | ) | ||||||||
| Wireless Test |
49.2 | 41.2 | 8.0 | |||||||||
| Corporate and Other |
(0.3 | ) | — | (0.3 | ) | |||||||
| |
|
|
|
|
|
|||||||
| $ | 838.7 | $ | 564.2 | $ | 274.5 | |||||||
| |
|
|
|
|
|
|||||||
For the Three Months Ended |
||||||||
June 28, 2020 |
June 30, 2019 |
|||||||
| Taiwan |
51 | % | 27 | % | ||||
| China |
14 | 20 | ||||||
| United States |
7 | 14 | ||||||
| Japan |
7 | 6 | ||||||
| Europe |
6 | 9 | ||||||
| Korea |
6 | 9 | ||||||
| Thailand |
3 | 4 | ||||||
| Singapore |
2 | 3 | ||||||
| Philippines |
2 | 2 | ||||||
| Malaysia |
1 | 3 | ||||||
| Rest of World |
1 | 3 | ||||||
| |
|
|
|
|||||
| 100 | % | 100 | % | |||||
| |
|
|
|
|||||
| (1) | Revenues attributable to a country are based on location of customer site. |
For the Three Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar/Point |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Gross profit |
$ | 471.5 | $ | 323.9 | $ | 147.6 | ||||||
| Percent of total revenues |
56.2 | % | 57.4 | % | (1.2 | ) | ||||||
For the Three Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Selling and administrative |
$ | 113.3 | $ | 108.8 | $ | 4.5 | ||||||
| Percent of total revenues |
13.5 | % | 19.3 | % | ||||||||
For the Three Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Engineering and development |
$ | 94.1 | $ | 81.4 | $ | 12.7 | ||||||
| Percent of total revenues |
11.2 | % | 14.4 | % | ||||||||
For the Three Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Interest income |
$ | (1.4 | ) | $ | (4.4 | ) | $ | 3.0 | ||||
| Interest expense |
6.0 | 5.8 | 0.2 | |||||||||
| Other (income) expense, net |
(4.0 | ) | 1.4 | (5.4 | ) | |||||||
For the Three Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Semiconductor Test |
$ | 228.8 | $ | 91.4 | $ | 137.4 | ||||||
| System Test |
19.2 | 23.5 | (4.3 | ) | ||||||||
| Wireless Test |
14.5 | 10.9 | 3.6 | |||||||||
| Industrial Automation |
(11.4 | ) | (3.7 | ) | (7.7 | ) | ||||||
| Corporate and Other (1) |
(33.8 | ) | 9.1 | (42.9 | ) | |||||||
| |
|
|
|
|
|
|||||||
| $ | 217.3 | $ | 131.2 | $ | 86.1 | |||||||
| |
|
|
|
|
|
|||||||
| (1) | Included in Corporate and Other are the following: contingent consideration adjustments, employee severance, interest (income) and expense, net foreign exchange (gains) and losses, pension and postretirement plans actuarial (gains) losses, intercompany eliminations, and certain acquisition related charges and compensation. |
For the Six Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Semiconductor Test |
$ | 1,143.6 | $ | 715.8 | $ | 427.8 | ||||||
| System Test |
187.9 | 131.6 | 56.3 | |||||||||
| Industrial Automation |
119.1 | 140.9 | (21.8 | ) | ||||||||
| Wireless Test |
92.7 | 70.3 | 22.4 | |||||||||
| Corporate and Other |
(0.3 | ) | (0.2 | ) | (0.1 | ) | ||||||
| |
|
|
|
|
|
|||||||
| $ | 1,543.0 | $ | 1,058.3 | $ | 484.6 | |||||||
| |
|
|
|
|
|
|||||||
For the Six Months Ended |
||||||||
June 28, |
June 30, |
|||||||
2020 |
2019 |
|||||||
| Taiwan |
41 | % | 23 | % | ||||
| China |
15 | 19 | ||||||
| Korea |
10 | 10 | ||||||
| United States |
9 | 14 | ||||||
| Europe |
7 | 10 | ||||||
| Japan |
7 | 9 | ||||||
| Thailand |
4 | 4 | ||||||
| Malaysia |
2 | 3 | ||||||
| Singapore |
2 | 4 | ||||||
| Philippines |
2 | 3 | ||||||
| Rest of World |
1 | 1 | ||||||
| |
|
|
|
|||||
| 100 | % | 100 | % | |||||
| |
|
|
|
|||||
| (1) | Revenues attributable to a country are based on location of customer site. |
For the Six Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar/Point |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Gross profit |
$ | 877.0 | $ | 611.6 | $ | 265.4 | ||||||
| Percent of total revenues |
56.8 | % | 57.8 | % | (1.0 | ) | ||||||
For the Six Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Selling and administrative |
$ | 224.6 | $ | 210.8 | $ | 13.8 | ||||||
| Percent of total revenues |
14.6 | % | 19.9 | % | ||||||||
For the Six Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Engineering and development |
$ | 179.3 | $ | 158.2 | $ | 21.1 | ||||||
| Percent of total revenues |
11.6 | % | 15.0 | % | ||||||||
For the Six Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Interest income |
$ | (4.1 | ) | $ | (9.4 | ) | $ | 5.3 | ||||
| Interest expense |
11.6 | 11.3 | 0.3 | |||||||||
| Other (income) expense, net |
2.8 | — | 2.8 | |||||||||
For the Six Months Ended |
||||||||||||
June 28, |
June 30, |
Dollar |
||||||||||
2020 |
2019 |
Change |
||||||||||
(in millions) |
||||||||||||
| Semiconductor Test |
$ | 382.6 | $ | 174.4 | $ | 208.2 | ||||||
| System Test |
67.6 | 38.9 | 28.7 | |||||||||
| Wireless Test |
24.7 | 14.6 | 10.1 | |||||||||
| Industrial Automation |
(26.7 | ) | (9.0 | ) | (17.7 | ) | ||||||
| Corporate and Other (1) |
(33.8 | ) | 6.3 | (40.1 | ) | |||||||
| |
|
|
|
|
|
|||||||
| $ | 414.4 | $ | 225.2 | $ | 189.2 | |||||||
| |
|
|
|
|
|
|||||||
| (1) | Included in Corporate and Other are, contingent consideration adjustments, employee severance, interest income, interest expense, net foreign exchange (gains) and losses, pension and postretirement plan actuarial (gains) losses, intercompany eliminations, and acquisition related expenses. |
Payments Due by Period |
||||||||||||||||||||||||
Total |
Less than 1 year |
1-3 years |
3-5 years |
More than 5 years |
Other |
|||||||||||||||||||
(in thousands) |
||||||||||||||||||||||||
| Purchase obligations |
$ | 544,225 | $ | 534,282 | $ | 9,943 | $ | — | $ | — | $ | — | ||||||||||||
| Convertible debt |
459,987 | — | — | 459,987 | — | — | ||||||||||||||||||
| Retirement plans contributions |
130,826 | 5,216 | 10,386 | 10,318 | 104,906 | — | ||||||||||||||||||
| Transition tax payable (1) |
88,157 | 13,227 | 15,795 | 34,539 | 24,596 | — | ||||||||||||||||||
| Operating lease obligations |
77,692 | 23,956 | 31,508 | 13,367 | 8,861 | — | ||||||||||||||||||
| Interest on long-term debt |
20,125 | 5,750 | 11,500 | 2,875 | — | — | ||||||||||||||||||
| Fair value of contingent consideration |
49,737 | 16,789 | 32,948 | — | — | — | ||||||||||||||||||
| Other long-term liabilities reflected on the balance sheet under GAAP (2) |
90,336 | — | 47,470 | 7,700 | 464 | 34,702 | ||||||||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | 1,461,085 | $ | 599,220 | $ | 159,550 | $ | 528,786 | $ | 138,827 | $ | 34,702 | ||||||||||||
| |
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| (1) | Represents the transition tax liability associated with our accumulated foreign earnings as a result of enactment of the Tax Reform Act on December 22, 2017. |
| (2) | Included in other long-term liabilities are liabilities for customer advances, extended warranty, uncertain tax positions, deferred tax liabilities and other obligations. For certain long-term obligations, we are unable to provide a reasonably reliable estimate of the timing of future payments relating to these obligations and therefore we included these amounts in the column marked “Other.” |
Item 3: |
Quantitative and Qualitative Disclosures about Market Risks |
Hypothetical Change in Teradyne Stock Price |
Fair Value |
Estimated change in fair value |
Hypothetical percentage increase (decrease) in fair value |
|||||||||
| 10% Increase |
$ | 1,314,002 | $ | 115,333 | 9.6 | % | ||||||
| No Change |
1,198,669 | — | — | |||||||||
| 10% Decrease |
1,085,067 | (113,602 | ) | (9.5 | ) | |||||||
Item 4: |
Controls and Procedures |
Item 1: |
Legal Proceedings |
Item 1A: |
Risk Factors |
| • | make it difficult to make payments on this indebtedness and our other obligations; |
| • | make it difficult to obtain any necessary future financing for working capital, capital expenditures, debt service requirements or other purposes; |
| • | require the dedication of a substantial portion of any cash flow from operations to service for indebtedness, thereby reducing the amount of cash flow available for other purposes, including capital expenditures; and |
| • | limit our flexibility in planning for, or reacting to, changes in our business and the industries in which we compete. |
Item 2: |
Unregistered Sales of Equity Securities and Use of Proceeds |
| Period |
(a) Total Number of Shares (or Units) Purchased |
(b) Average Price Paid per Share (or Unit) |
(c) Total Number of Shares (or Units) Purchased as Part of Publicly Announced Plans or Programs |
(d) Maximum Number (or Approximate Dollar Value) of Shares (or Units) that may Yet Be Purchased Under the Plans or Programs |
||||||||||||
| March 30, 2020 – April 26, 2020 |
174 | $ | 54.57 | 173 | $ | 911,535 | ||||||||||
| April 27, 2020 – May 24, 2020 |
5 | $ | 57.88 | — | $ | 911,535 | ||||||||||
| May 25, 2020 – June 28, 2020 |
1 | $ | 69.05 | — | $ | 911,535 | ||||||||||
| |
|
|
|
|
|
|||||||||||
| 180 | (1) | $ | 54.78 | (1) | 173 | |||||||||||
| |
|
|
|
|
|
|||||||||||
| (1) | Includes approximately eight thousand shares at an average price of $59.13 withheld from employees for the payment of taxes. |
Item 4: |
Mine Safety Disclosures |
Item 6: |
Exhibits |
| TERADYNE, INC. Registrant /s/ SANJAY MEHTA |
| Sanjay Mehta Vice President, Chief Financial Officer and Treasurer (Duly Authorized Officer and Principal Financial Officer) August 3, 2020 |
Exhibit 31.1
CERTIFICATIONS
I, Mark E. Jagiela, certify that:
1. I have reviewed this quarterly report on Form 10-Q of Teradyne, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent function):
a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date: August 3, 2020
| By: | /S/ MARK E. JAGIELA | |
| Mark E. Jagiela | ||
| Chief Executive Officer |
Exhibit 31.2
CERTIFICATIONS
I, Sanjay Mehta, certify that:
1. I have reviewed this quarterly report on Form 10-Q of Teradyne, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent function):
a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date: August 3, 2020
| By: | /S/ SANJAY MEHTA | |
| Sanjay Mehta | ||
| Chief Financial Officer |
Exhibit 32.1
CERTIFICATION PURSUANT TO
18 U.S.C SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Quarterly Report of Teradyne, Inc. (the “Company”) on Form 10-Q for the period ended June 28, 2020 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Mark E. Jagiela, Chief Executive Officer of the Company, certify pursuant to 18 U.S.C (S) 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge:
(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and
(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of the dates and for the periods expressed in the Report.
| /S/ MARK E. JAGIELA |
| Mark E. Jagiela |
| Chief Executive Officer |
| August 3, 2020 |
Exhibit 32.2
CERTIFICATION PURSUANT TO
18 U.S.C SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Quarterly Report of Teradyne, Inc. (the “Company”) on Form 10-Q for the period ended June 28, 2020 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Sanjay Mehta, Chief Financial Officer of the Company, certify pursuant to 18 U.S.C (S) 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge:
(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and
(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of the dates and for the periods expressed in the Report.
| /S/ SANJAY MEHTA |
| Sanjay Mehta |
| Chief Financial Officer |
| August 3, 2020 |
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Accounts receivable, less allowance for doubtful accounts | $ 1,829 | $ 1,736 |
| Common stock, par value | $ 0.125 | $ 0.125 |
| Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
| Common stock, shares issued | 165,806 | 166,410 |
| Common stock, shares outstanding | 165,806 | 166,410 |
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|||||||||
| Revenues: | ||||||||||||
| Total revenues | $ 838,661 | [1] | $ 564,178 | [1] | $ 1,543,016 | [2] | $ 1,058,277 | [2] | ||||
| Cost of revenues: | ||||||||||||
| Total cost of revenues (exclusive of acquired intangible assets amortization shown separately below) | 367,188 | 240,260 | 665,993 | 446,724 | ||||||||
| Gross profit | 471,473 | 323,918 | 877,023 | 611,553 | ||||||||
| Operating expenses: | ||||||||||||
| Selling and administrative | 113,259 | 108,811 | 224,647 | 210,824 | ||||||||
| Engineering and development | 94,102 | 81,434 | 179,261 | 158,225 | ||||||||
| Acquired intangible assets amortization | 8,941 | 10,083 | 18,832 | 20,717 | ||||||||
| Restructuring and other | 37,222 | (10,404) | 29,616 | (5,292) | ||||||||
| Total operating expenses | 253,524 | 189,924 | 452,356 | 384,474 | ||||||||
| Income from operations | 217,949 | 133,994 | 424,667 | 227,079 | ||||||||
| Non-operating (income) expense: | ||||||||||||
| Interest income | (1,368) | (4,384) | (4,119) | (9,373) | ||||||||
| Interest expense | 6,043 | 5,800 | 11,594 | 11,320 | ||||||||
| Other (income) expense, net | (4,017) | 1,401 | 2,833 | (24) | ||||||||
| Income before income taxes | 217,291 | 131,177 | 414,359 | 225,156 | ||||||||
| Income tax provision | 28,383 | 33,780 | 49,261 | 18,621 | ||||||||
| Net income | $ 188,908 | $ 97,397 | $ 365,098 | $ 206,535 | ||||||||
| Net income per common share: | ||||||||||||
| Basic | $ 1.14 | $ 0.57 | $ 2.20 | $ 1.20 | ||||||||
| Diluted | $ 1.05 | $ 0.55 | $ 2.02 | $ 1.16 | ||||||||
| Weighted average common shares—basic | 165,789 | 171,241 | 166,189 | 172,387 | ||||||||
| Weighted average common shares—diluted | 180,257 | 178,590 | 180,497 | 177,781 | ||||||||
| Cash dividend declared per common share | $ 0.10 | $ 0.09 | $ 0.20 | $ 0.18 | ||||||||
| Product [Member] | ||||||||||||
| Revenues: | ||||||||||||
| Total revenues | $ 734,630 | $ 457,511 | $ 1,345,536 | $ 850,953 | ||||||||
| Cost of revenues: | ||||||||||||
| Total cost of revenues (exclusive of acquired intangible assets amortization shown separately below) | 322,732 | 193,299 | 582,728 | 358,667 | ||||||||
| Service [Member] | ||||||||||||
| Revenues: | ||||||||||||
| Total revenues | 104,031 | 106,667 | 197,480 | 207,324 | ||||||||
| Cost of revenues: | ||||||||||||
| Total cost of revenues (exclusive of acquired intangible assets amortization shown separately below) | $ 44,456 | $ 46,961 | $ 83,265 | $ 88,057 | ||||||||
| ||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Foreign currency translation adjustments, tax | $ 0 | $ 0 | $ 0 | $ 0 |
| Unrealized gains (losses) on marketable securities arising during period, net of tax | 1,084 | 678 | 1,271 | 1,256 |
| Reclassification adjustment for (gains) losses included in net income, net of tax | (277) | (6) | (421) | (26) |
| Amortization of prior service credit, net of tax | $ 0 | $ (11) | $ (1) | $ (21) |
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Common Stock, Dividends, Per Share, Cash Paid | $ 0.10 | $ 0.09 | $ 0.10 | $ 0.09 |
The Company |
6 Months Ended | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||
| The Company | A. THE COMPANY Teradyne, Inc. (“Teradyne”) is a leading global supplier of automation equipment for test and industrial applications. Teradyne designs, develops, manufactures and sells automatic test systems used to test semiconductors, wireless products, data storage and complex electronics systems in the consumer electronics, wireless, automotive, industrial, computing, communications, and aerospace and defense industries. Teradyne’s industrial automation products include collaborative robotic arms, autonomous mobile robots, and advanced robotic control software used by global manufacturing and light industrial customers to improve quality, increase manufacturing and material handling efficiency and decrease manufacturing costs. Teradyne’s automatic test equipment and industrial automation products and services include:
|
Accounting Policies |
6 Months Ended |
|---|---|
Jun. 28, 2020 | |
| Accounting Policies | B. ACCOUNTING POLICIES Basis of Presentation The consolidated interim financial statements include the accounts of Teradyne and its wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated. These interim financial statements are unaudited and reflect all normal recurring adjustments that are, in the opinion of management, necessary for the fair statement of such interim financial statements. Certain prior year amounts were reclassified to conform to the current year presentation. The December 31, 2019 condensed consolidated balance sheet data was derived from audited financial statements but does not include all disclosures required by United States of America generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. The accompanying financial information should be read in conjunction with the consolidated financial statements and notes thereto contained in Teradyne’s Annual Report on Form 10-K, filed with the U.S. Securities and Exchange Commission (“SEC”) on March 2, 2020, for the year ended December 31, 2019. Preparation of Financial Statements and Use of Estimates The preparation of consolidated financial statements requires management to make estimates and judgments that affect the amounts reported in the financial statements. Due to the COVID-19 pandemic, there has been uncertainty and disruption in the global economy and our markets. Teradyne is not aware of any specific event or circumstance that would require an update to its estimates or judgments or a revision of the carrying value of its assets or liabilities as of August 3, 2020, the date of issuance of this Quarterly Report on Form 10-Q. These estimates may change, as new events occur and additional information is obtained. Actual results could differ significantly from these estimates under different assumptions or conditions.Goodwill On January 26, 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2017-04, “Intangibles—Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment.” 2017-04 did not have a material impact on the consolidated statement of operations, cash flows, or earnings per share. Teradyne assesses goodwill for impairment at least annually in the fourth quarter, as of December 31, on a reporting unit basis, or more frequently, when events and circumstances occur indicating that the recorded goodwill may be impaired. Under ASU 2017-04, goodwill impairment will be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. All other goodwill impairment guidance will remain largely unchanged. Entities will continue to have the option to perform a qualitative assessment to determine if a quantitative impairment test is necessary. The same one-step impairment test will be applied to goodwill at all reporting units, even those with zero or negative carrying amounts. Entities will be required to disclose the amount of goodwill at reporting units with zero or negative carrying amounts. Credit Losses In June 2016, the FASB issued ASU
2016-13, “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This standard introduced the expected credit losses methodology for the measurement of credit losses on financial assets that are not measured at fair value through net income and replaces the “incurred loss” model with an “expected credit loss” model that requires consideration of a broader range of information to estimate expected credit losses over the lifetime of the asset. Teradyne adopted this standard on January 1, 2020 on a modified retrospective basis. The adoption of ASU 2016-13 did not have a material impact on the consolidated statement of operations, balance sheets, cash flows, or earnings per share. |
Acquisitions |
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| Acquisitions | C. ACQUISITIONS AutoGuide LLC On November 13, 2019, Teradyne acquired 100% of the membership interests of AutoGuide, LLC (“AutoGuide”), a maker of high-payload autonomous mobile robots (“AMRs”), based in Chelmsford, MA, an emerging and fast growing segment of the global forklift market. The total purchase price was approximately $81.6 million, which included cash paid of approximately $57.6 million and $24.0 million in fair value of contingent consideration payable upon achievement of certain performance targets, extending potentially through 2022. At June 28, 2020, the maximum contingent consideration that could be paid is $106.9 million. The contingent consideration is payable upon achievement of certain thresholds and targets for revenue and earnings before interest and taxes for periods from January 1, 2019 to December 31, 2020, January 1, 2019 to December 31, 2021, and January 1, 2019 to December 31, 2022. The valuation of the contingent consideration is dependent on the following assumptions: forecasted revenues, revenue volatility, earnings before interest and taxes, and discount rate. These assumptions were estimated based on a review of the historical and projected results. The AutoGuide acquisition was accounted for as a bu s iness combination and, accordingly, the results have been included in Teradyne’s consolidated results of operations from the date of acquisition. AutoGuide’s AMRs are used for material transport of payloads up to 4,500 kg in manufacturing, warehouse and logistics applications. These products complement Mobile Industrial Robots Aps (“MiR”) lower payload products and expand the Industrial Automation segment, which is a key component of Teradyne’s growth strategy. The allocation of the total purchase price to AutoGuide’s net tangible assets and identifiable intangible assets was based on their estimated fair values as of the acquisition date. The excess of the purchase price over the identifiable intangible assets and net tangible assets in the amount of $41.2 million was allocated to goodwill, which is deductible for tax purposes. AutoGuide’s results have been included in Teradyne’s Industrial Automation segment from the date of acquisition. The following table represents the final allocation of the purchase price:
Teradyne estimated the fair value of intangible assets using the income approach. Forecasted revenues is the key assumption for estimating the fair value. Acquired intangible assets are amortized on a straight-line basis over their estimated useful lives. Components of these intangible assets and their estimated useful lives at the acquisition date are as follows:
The following unaudited pro forma information gives effect to the acquisition of AutoGuide as if the acquisition occurred on January 1, 2018. The unaudited pro forma results are not necessarily indicative of what actually would have occurred had the acquisition been in effect for the periods presented:
Lemsys SA On January 30, 2019, Teradyne acquired all of the issued and outstanding shares of Lemsys SA (“Lemsys”) for a total purchase price of approximately $9.1 million. Lemsys strengthens Teradyne’s position in the electrification trends of vehicles, solar and wind power, and industrial applications. The Lemsys acquisition was accounted for as a business combination and, accordingly, the results have been included in Teradyne’s Semiconductor Test segment from the date of acquisition. Teradyne’s final allocation of the purchase price was goodwill of $1.4 million, which is not deductible for tax purposes, acquired intangible assets of $4.6 million with an average estimated useful life of 5.2 years, and $3.1 million of net tangible assets. The acquisition was not material to Teradyne’s consolidated financial statements. |
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Revenue |
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| Revenue | D. REVENUE Disaggregation of Revenue The following table provides information about disaggregated revenue by timing of revenue recognition, primary geographical market, and major product lines.
Contract Balances During the three and six months ended June 28, 2020, Teradyne recognized $21.1 million and $60.6 million, respectively, that was previously included within the deferred revenue and customer advances balances. During the three and six months ended June 30, 2019, Teradyne recognized $13.3 million and $33.4 million, respectively, that was previously included within the deferred revenue and customer advances balances. This revenue primarily relates to undelivered hardware, extended warranties, training, application support, and post contract support. Each of these represents a distinct performance obligation. Teradyne expects to recognize 69% of the remaining performance obligation in the next 12 months, 26% in 1-3 years, and the remainder thereafter.Accounts Receivable Teradyne sells certain trade accounts receivables on a
non-recourse basis to third-party financial institutions pursuant to factoring agreements. Teradyne accounts for these transactions as sales of receivables and presents cash proceeds as cash provided by operating activities in the consolidated statements of cash flows. Total trade accounts receivable sold under the factoring agreements were $50.0 million and $40.4 million for the three months ended June 28, 2020 and June 30, 2019, respectively and $96.8 million and $82.1 million for the six months ended June 28, 2020 and June 30, 2019, respectively. Factoring fees for the sales of receivables were recorded in interest expense and were not material. |
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Inventories |
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| Inventories | E. INVENTORIES Inventories, net consisted of the following at June 28, 2020 and December 31, 2019:
Inventory reserves at June 28, 2020 and December 31, 2019 were $107.4 million and $103.6 million, respectively. |
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Financial Instruments |
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| Financial Instruments | F. FINANCIAL INSTRUMENTS Cash Equivalents Teradyne considers all highly liquid investments with maturities of three months or less at the date of acquisition to be cash equivalents. Marketable Securities Teradyne’s available-for-sale During the three and six months ended June 28, 2020 and June 30, 2019, there were no transfers in or out of Level 1, Level 2, or Level 3 financial instruments. Realized gains recorded in the three and six months ended June 28, 2020 were $1.6 million and $3.0 million, respectively. Realized losses recorded in the three and six months ended June 28, 2020 were $0.1 million and $0.2 million , respe . Realized gains recorded in the three and six months ended June 30, 2019 were $0.1 million and $0.2 million, respectively. Realized losses recorded in the six months ended June 30, 2019 were $0.1 million. Realized gains and losses are included in other (income) expense, net. ctively Unrealized gains . Unrealized losses on equity securities recorded in the six months ended June 28, 2020 were $6.0 million. Unrealized gains on equity securities recorded in the three and six months ended June 30, 2019 were $0.9 million and $3.7 million, respectively . Unrealized gains and losses on equity securities are included in other (income) expense, net. Unrealized gains and losses on available-for-sale The cost of securities sold is based on the specific identification method. The following table sets forth by fair value hierarchy Teradyne’s financial assets and liabilities that were measured at fair value on a recurring basis as of June 28, 2020 and December 31, 2019.
Changes in the fair value of Level 3 contingent consideration for the three and six months ended June 28, 2020 and June 30, 2019 were as follows:
The following table provides quantitative information associated with the fair value measurement of Teradyne’s Level 3 financial instruments:
As of June 28, 2020, the significant unobservable inputs used in the Monte Carlo simulation to fair value the AutoGuide and MiR contingent consideration include forecasted revenues, revenue volatility, earnings before interest and taxes, and discount rate. Increases or decreases in the inputs would result in a higher or lower fair value measurement. As of June 28, 2020, the maximum amount of contingent consideration that could be paid in connection with the acquisition of AutoGuide is $106.9 million. The earn-out periods end on December 31, 2020, December 31, 2021 and December 31, 2022.As of June 28, 2020, the maximum amount of contingent consideration that could be paid in connection with the acquisition of MiR is $63.5 million. The remaining earn-out period ends on December 31, 2020.The carrying amounts and fair values of Teradyne’s financial instruments at June 28, 2020 and December 31, 2019 were as follows:
The fair values of accounts receivable, net and accounts payable approximate the carrying value due to the short-term nature of these instruments. The following table summarizes the composition of available-for-sale
Reported as follows:
The following table summarizes the composition of available-for-sale
Reported as follows:
As of June 28, 2020 and December 31, 2019, the fair market value of investments with unrealized losses less than one year totaled $20.2 million and $23.6 million, respectively. Teradyne reviews its investments to identify and evaluate investments that have an indication of possible impairment. Based on this review, Teradyne determined that the unrealized losses related to these investments at June 28, 2020 and December 31, 2019 were not other than temporary. The contractual maturities of investments in available-for-sale
Contractual maturities of investments in available-for-sale d ebt mutual funds with a fair market value of $6.9 mi as they do not have a contractual maturity date.ll ion, Derivatives Teradyne conducts business in a number of foreign countries, with certain transactions denominated in local currencies. The purpose of Teradyne’s foreign currency management is to minimize the effect of exchange rate fluctuations on certain foreign currency denominated monetary assets and liabilities. Teradyne does not use derivative financial instruments for trading or speculative purposes. To minimize the effect of exchange rate fluctuations associated with the remeasurement of monetary assets and liabilities denominated in foreign currencies, Teradyne enters into foreign currency forward contracts. The change in fair value of these derivatives is recorded directly in earnings, and is used to offset the change in value of monetary assets and liabilities denominated in foreign currencies. The notional amount of foreign currency forward contracts at June 28, 2020 and December 31, 2019 was $125.0 million and $144.9 million, respectively. Gains and losses on foreign currency forward contracts and foreign currency remeasurement gains and losses on monetary assets and liabilities are included in other (income) expense, net. The following table summarizes the fair value of derivative instruments as of June 28, 2020 and December 31, 2019:
The following table summarizes the effect of derivative instruments recognized in the statement of operations for the three and six months ended June 28, 2020 and June 30, 2019:
See Note G: “Debt” regarding derivatives related to the convertible senior notes. |
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Debt |
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| Debt | G. DEBT Convertible Senior Notes On December 12, 2016, Teradyne completed a private offering of $460.0 million aggregate principal amount of 1.25% convertible senior unsecured notes (the “Notes”) due December 15, 2023 and received net proceeds, after issuance costs, of approximately $450.8 million, $33.0 million of which was used to pay the net cost of the convertible note hedge transactions and $50.1 million of which was used to repurchase 2.0 million shares of Teradyne’s common stock under its existing stock repurchase program from purchasers of the Notes in privately negotiated transactions effected through one of the initial purchasers or its affiliates conducted concurrently with the pricing of the Note offering. The Notes will mature on December 15, 2023, unless earlier repurchased or converted. The Notes bear interest from December 12, 2016 at a rate of 1.25% per year payable semiannually in arrears on June 15 and December 15 of each year. The Notes will be convertible at the option of the noteholders at any time prior to the close of business on the business day immediately preceding September 15, 2023, only under the following circumstances: (1) during any calendar quarter beginning after March 31, 2017 (and only during such calendar quarter), if the closing sale price of Teradyne’s common stock, for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter is greater than 130% of the conversion price on each applicable trading day; (2) during the five business day period after any five consecutive trading day period (the “measurement period”) in which the trading price (as defined in the Indenture) per $1,000 principal amount of Notes for each trading day of the measurement period was less than 98% of the product of the closing sale price of the Teradyne’s common stock and the conversion rate on each such trading day; and (3) upon the occurrence of specified corporate events. On or after September 15, 2023 until the close of business on the second scheduled trading day immediately preceding the maturity date, holders may convert their Notes at any time, regardless of the foregoing circumstances. Teradyne may satisfy its conversion obligation by paying or delivering cash, shares of its common stock or a combination of cash and shares of its common stock, at Teradyne’s election. As of June 28, 2020, the conversion price was approximately $31.59 per share of Teradyne’s common stock. The conversion rate is subject to adjustment under certain circumstances. As of August 3, 2020, nine holders exercised the option to convert eighteen thousand dollars’ worth of Notes. Concurrent with the offering of the Notes, Teradyne entered into convertible note hedge transactions (the “Note Hedge Transactions”) with the initial purchasers or their affiliates (the “Option Counterparties”). The Note Hedge Transactions cover, subject to customary anti-dilution adjustments, the number of shares of the common stock that underlie the Notes, with a strike price equal to the conversion price of the Notes of $31.59. The Note Hedge Transactions cover, subject to customary anti-dilution adjustments, approximately 14.6 million shares of Teradyne’s common stock. Separately and concurrent with the pricing of the Notes, Teradyne entered into warrant transactions with the Option Counterparties (the “Warrant Transactions”) in which it sold net-share-settled (or, at its election subject to certain conditions, cash-settled) warrants to the Option Counterparties. The Warrant Transactions cover, subject to customary anti-dilution adjustments, approximately 14.6 million shares of common stock. As of June 28, 2020, the strike price of the warrants was approximately $39.64 per share. The strike price is subject to adjustment under certain circumstances. The Warrant Transactions could have a dilutive effect to Teradyne’s common stock to the extent that the market price per share of Teradyne’s common stock, as measured under the terms of the Warrant Transactions, exceeds the applicable strike price of the warrants.The Note Hedge Transactions are expected to reduce the potential dilution to Teradyne’s common stock upon any conversion of the Notes. However, the Warrant Transactions could separately have a dilutive effect to the extent that the market value per share of Teradyne’s common stock exceeds the applicable strike price of the warrant. The net cost of the Note Hedge Transactions, after being partially offset by the proceeds from the sale of the warrants, was approximately $33.0 million. In connection with establishing their initial hedge of these convertible note hedge and warrant transactions, the Option Counterparties have entered into various derivative transactions with respect to Teradyne’s common stock and/or purchased shares of Teradyne’s common stock or other securities, including the Notes, concurrent with, or shortly after, the pricing of the Notes. In addition, the Option Counterparties may modify their hedge positions by entering into or unwinding various derivative transactions with respect to Teradyne’s common stock or by selling Teradyne’s common stock or other securities, including the Notes, in secondary market transactions (and may do so during any observation period related to the conversion of the Notes). These activities could adversely affect the value of Teradyne’s common stock and the Notes. Teradyne considered the guidance of ASC 815-40, “Derivatives and Hedging—Contracts in Entity’s Own Equity,” fixed-for-fixed Teradyne assessed whether the convertible note hedge should be classified as equity under ASC 815-40. In the Note Hedge Transactions contract the settlement terms permit net cash settlement or net share settlement, at the option of Teradyne. Therefore, the criteria as set forth in ASC 815-40 were evaluated by Teradyne. In reviewing the criteria, Teradyne noted the following: (1) the convertible note hedge does not require Teradyne to issue shares; (2) there is no requirement to net cash settle the convertible note hedge for failure to make timely filings with the SEC; (3) in the case of termination, the convertible note hedge is settled in the same consideration as the holders of the underlying stock; (4) the counterparty does not have rights that rank higher than those of a shareholder of the stock underlying the convertible note hedge; and (5) there is no requirement to post collateral. Based on its analysis of those criteria, Teradyne concluded that the convertible note hedge should be recorded in equity and no further adjustment should be made in future periods to adjust the value of the convertible note hedge.Teradyne analyzed the Warrant Transactions under ASC 815-40, “Derivatives and Hedging—Contracts in Entity’s Own Equity,” paid-in capital. Teradyne does not recognize subsequent changes in fair value of the warrants in its financial statements.The provisions of ASC 470-20, “Debt with Conversion and Other Options, 470-20 requires Teradyne to separately account for the liability (debt) and equity (conversion feature) components of the Notes in a manner that reflects Teradyne’s nonconvertible debt borrowing rate at the date of issuance when interest cost is recognized in subsequent periods. Teradyne allocated $100.8 million of the $460.0 million principal amount of the Notes to the equity component, which represents a discount to the debt and will be amortized to interest expense using the effective interest method through December 2023. Accordingly, Teradyne’s effective annual interest rate on the Notes will be approximately 5.0%. The Notes are classified as long-term debt in the balance sheet based on their December 15, 2023 maturity date. Debt issuance costs of approximately $7.2 million are being amortized to interest expense using the effective interest method over the term of the Notes. As of June 28, 2020, debt issuance costs were approximately $3.8 million.The below tables represent the key components of Teradyne’s convertible senior notes:
As of June 28, 2020, the remaining unamortized discount was $57.7 million, which will be amortized over 3.5 years using the effective interest rate method. The carrying amount of the equity component was $100.8 million. As of June 28, 2020, the if-converted value of the Notes was $1,192.0 million.Revolving Credit Facility On May 1, 2020, Teradyne entered into a credit agreement (the “Credit Agreement”) with Truist Bank, as administrative agent and collateral agent, and the lenders party thereto. The Credit Agreement provides for a , senior secured revolving credit facility of $400.0 million (the “Credit Facility”). The Credit Agreement further provides that, subject to customary conditions, Teradyne may seek to obtain from existing or new lenders incremental commitments under the Credit Facility in an aggregate principal amount not to exceed $150.0 million. Proceeds from the Credit Facility may be used for general corporate purposes and working capital. During the three months ended June 28, 2020, Teradyne incurred $3.5 million in costs related to the revolving credit facility. These costs are being amortized over the term of the revolving credit facility and are included in interest expense in the statement of operations. As of August 3, 2020, Teradyne has not borrowed any funds under the Credit Facility. The interest rates applicable to loans under the Credit Facility are, at Teradyne’s option, equal to either a base rate plus a margin ranging from 0.50% to 1.25% per annum or LIBOR, a minimum of 0.75%, plus a margin ranging from 1.50% to 2.25% per annum, based on the consolidated leverage ratio of Teradyne. In addition, Teradyne will pay a commitment fee on the unused portion of the commitments under the Credit Facility ranging from 0.25% to 0.40% per annum, based on the then applicable consolidated leverage ratio. Teradyne is not required to repay any loans under the Credit Facility prior to maturity, subject to certain customary exceptions. Teradyne is permitted to prepay all or any portion of the loans under the Credit Facility prior to maturity without premium or penalty, other than customary LIBOR breakage costs. The Credit Agreement contains customary events of default, representations, warranties and affirmative and negative covenants that, among other things, limit Teradyne’s ability to sell assets, grant liens on assets, incur other secured indebtedness and make certain investments and restricted payments, all subject to exceptions set forth in the Credit Agreement. The Credit Agreement also requires Teradyne to satisfy two financial ratios measured as of the end of each fiscal quarter: a consolidated leverage ratio and an interest coverage ratio. The Credit Facility is guaranteed by certain of Teradyne’s domestic subsidiaries and collateralized by assets of Teradyne and such subsidiaries, including a pledge of 65% of the capital stock of certain foreign subsidiaries. As of August 3, 2020, Teradyne was in compliance with all covenants . |
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Prepayments |
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| Prepayments | H. PREPAYMENTS Prepayments consist of the following and are included in prepayments and other assets on the balance sheet:
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| Deferred Revenue and Customer Advances | I. DEFERRED REVENUE AND CUSTOMER ADVANCES Deferred revenue and customer advances consist of the following and are included in short and long-term deferred revenue and customer advances on the balance sheet:
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Product Warranty |
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| Product Warranty | J. PRODUCT WARRANTY Teradyne generally provides a one-year warranty on its products, commencing upon installation, acceptance or shipment. A provision is recorded upon revenue recognition to cost of revenues for estimated warranty expense based on historical experience. Related costs are charged to the warranty accrual as incurred. The balance below is included in other accrued liabilities.
When Teradyne receives revenue for extended warranties, beyond one year, it is deferred and recognized on a straight-line basis over the contract period. Related costs are expensed as incurred. The balance below is included in short and long-term deferred revenue and customer advances.
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Stock-Based Compensation |
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| Stock-Based Compensation | K. STOCK-BASED COMPENSATION Under Teradyne’s stock compensation plans, Teradyne grants service-based restricted stock units, performance-based restricted stock units and stock options, and employees are eligible to purchase Teradyne’s common stock through its Employee Stock Purchase Plan (“ESPP”). Service-based restricted stock unit awards granted to employees vest in equal annual installments over four years. Restricted stock unit awards granted to non-employee directors vest after a one-year period, with 100% of the award vesting on the earlier of (a) the first anniversary of the grant date or (b) the date of the following year’s Annual Meeting of Shareholders. Teradyne expenses the cost of the restricted stock unit awards subject to service-based vesting, which is determined to be the fair market value of the shares at the date of grant, ratably over the period during which the restrictions lapse.Performance-based restricted stock units (“PRSUs”) granted to Teradyne’s executive officers may have a performance metric based on relative total shareholder return (“TSR”). Teradyne’s TSR performance is measured against the New York Stock Exchange (“NYSE”) Composite Index. The final number of TSR PRSUs that vest will vary based upon the level of performance achieved from 0% to 200% of the target shares capped at four times the grant date value for grants prior to 2019. The TSR PRSUs will vest upon the three-year anniversary of the grant date. The TSR PRSUs are valued using a Monte Carlo simulation model. The number of units expected to be earned, based upon the achievement of the TSR market condition, is factored into the grant date Monte Carlo valuation. Compensation expense is recognized on a straight-line basis over the shorter of the three-year service period or the period from the grant to the date described in the retirement provisions below. Compensation expense for executive officers meeting the retirement provisions prior to the grant date is recognized during the 365 days following the grant. Compensation expense is recognized regardless of the eventual number of units that are earned based upon the market condition, provided the executive officer remains an employee at the end of the three-year period. Compensation expense is reversed if at any time during the service period the executive officer is no longer an employee, subject to the retirement and termination eligibility provisions noted below. PRSUs granted to Teradyne’s executive officers may also have a performance metric based on three-year cumulative non-GAAP profit before interest and tax (“PBIT”) as a percent of Teradyne’s revenue. Non-GAAP PBIT is a financial measure equal to GAAP income from operations less restructuring and other, net; amortization of acquired intangible assets; acquisition and divestiture related charges or credits; pension actuarial gains and losses; non-cash convertible debt interest expense; and other non-recurring gains and charges. The final number of PBIT PRSUs that vest will vary based upon the level of performance achieved from 0% to 200% of the target shares. The PBIT PRSUs will vest upon the three-year anniversary of the grant date. Compensation expense is recognized on a straight-line basis over the shorter of the three-year service period or the period from the grant date to the date described in the retirement provisions below. Compensation expense for executive officers meeting the retirement provisions prior to the grant date is recognized during the 365 days following the grant. Compensation expense is recognized based on the number of units that are earned based upon the three-year Teradyne PBIT as a percent of Teradyne’s revenue, provided the executive officer remains an employee at the end of the three-year period subject to the retirement and termination eligibility provisions noted below.If a PRSU recipient’s employment ends prior to the determination of the performance percentage due to (1) permanent disability or death or (2) retirement or termination other than for cause, after attaining both at least age and at least ten years of service, then all or a portion of the recipient’s PRSUs (based on the actual performance percentage achieved on the determination date) will vest on the date the performance percentage is determined. Except as set forth in the preceding sentence, no PRSUs will vest if the executive officer is no longer an employee at the end of the three-year period. Stock options to purchase Teradyne’s common stock at 100% of the fair market value on the grant date vest in equal annual installments over four years from the grant date and have a maximum term of seven years. During the six months ended June 28, 2020 and June 30, 2019, Teradyne granted 0.4 million and 0.8 million of service-based restricted stock unit awards to employees at a weighted average grant date fair value of $70.52 and $36.84, respectively , and 0.1 million of service-based restricted stock unit awards to non-employee directors at a weighted average grant date fair value of $64.99 and $48.03, respectively.During the six months ended June 28, 2020 and June 30, 2019, Teradyne granted 0.1 million of PBIT PRSUs with a grant date fair value of $70.94 and $36.88, respectively. During the six months ended June 28, 2020 and June 30, 2019, Teradyne granted 0.1 million of TSR PRSUs, with a grant date fair value of $89.93 and $51.51, respectively. The fair value was estimated using the Monte Carlo simulation model with the following assumptions:
Expected volatility was based on the historical volatility of Teradyne’s stock and the NYSE Composite Index over the most recent three-year period. The risk-free interest rate was determined using the U.S. Treasury yield curve in effect at the time of grant. Dividend yield was based upon an estimated annual dividend amount of $0.40 per share divided by Teradyne’s stock price on the grant date of $72.10 for the 2020 grant and an estimated annual dividend amount of $0.36 per share divided by Teradyne’s stock price on the grant date of $36.75 for the 2019 grant. During the six months ended June 28, 2020 and June 30, 2019, Teradyne granted 0.1 million of service-based stock options to executive officers at a weighted average grant date fair value of $20.67 and $10.61, respectively. The fair value of stock options was estimated using the Black-Scholes option-pricing model with the following assumptions:
Teradyne determined the stock options’ expected life based upon historical exercise data for executive officers, the age of the executive officers and the terms of the stock option grant. Volatility was determined using historical volatility for a period equal to the expected life. The risk-free interest rate was determined using the U.S. Treasury yield curve in effect at the time of grant. Dividend yield was based upon an estimated annual dividend amount of $0.40 per share divided by Teradyne’s stock price on the grant date of $72.10 for the 2020 grant and an estimated annual dividend amount of $0.36 per share divided by Teradyne’s stock price on the grant date of $37.95 for the 2019 grant. |
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Accumulated Other Comprehensive (Loss) Income |
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| Accumulated Other Comprehensive Income (Loss) | L. ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME Changes in accumulated other comprehensive (loss) income, which are presented net of tax, consist of the following:
Reclassifications out of accumulated other comprehensive (loss) income to the statement of operations for the three and six months ended June 28, 2020 and June 30, 2019 were as follows:
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Goodwill and Acquired Intangible Assets |
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| Goodwill and Intangible Assets | M. GOODWILL AND ACQUIRED INTANGIBLE ASSETS Goodwill Teradyne performs its annual goodwill impairment test as required under the provisions of ASC 350-10, “Intangibles—Goodwill and Other” reporting unit exceeds its estimated fair value. The changes in the carrying amount of goodwill by reportable segments for the six months ended June 28, 2020, were as follows:
Intangible Assets Teradyne reviews long-lived assets for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable or that the useful lives of these assets are no longer appropriate. Amortizable intangible assets consist of the following and are included in intangible assets, net on the balance sheet:
Aggregate intangible asset amortization expense was $8.9 million and $18.8 million, respectively, for the three and six months ended June 28, 2020 and $10.1 million and $20.7 million, respectively, for the three and six months ended June 30, 2019. Estimated intangible asset amortization expense for each of the five succeeding fiscal years is as follows:
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Net Income Per Common Share |
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| Net Income per Common Share | N. NET INCOME PER COMMON SHARE The following table sets forth the computation of basic and diluted net income per common share:
The computation of diluted net income per common share for the three and six months ended June 28, 2020 excludes the effect of the potential vesting of 0.1 million and 0.2 million, respectively , of restricted stock units because the effect would have been anti-dilutive. The computation of diluted net income per common share for the three and six months ended June 30, 2019 excludes the effect of the potential vesting of 0.2 million and 0.4 million of stock options, respectively , because the effect would have been anti-dilutive. |
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Restructuring and Other |
6 Months Ended |
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Jun. 28, 2020 | |
| Restructuring and Related Activities [Abstract] | |
| Restructuring and Other | O. RESTRUCTURING AND OTHER During the three months ended June 28, 2020, Teradyne recorded a $29.9 million charge for the increase in the fair value of the AutoGuide contingent consideration liability, a $4.0 million contract termination settlement charge , $3.1 million of acquisition related compensation and expenses, and $0.8 million of other expenses, partially offset by a $0.6 million gain for the decrease in the fair value of the MiR contingent consideration liability. During the three months ended June 30, 2019, Teradyne recorded a $11.7 million gain for the decrease in the fair value of the MiR contingent consideration liability, partially offset by $0.8 million recorded for severance charges primarily in Semiconductor Test and $0.5 million of acquisition related compensation and expenses. During the six months ended June 28, 2020, Teradyne recorded a $22.8 million charge for the increase in the fair value of the AutoGuide contingent consideration liabilities, $4.5 million of acquisition related compensation and expenses, a charge , $1.1 million of other expenses, and $0.8 million of severance charges primarily in Semiconductor Test, partially offset by a $3.6 million gain for the decrease in the fair value of the MiR contingent consideration liability. During the six months ended June 30, 2019, Teradyne recorded a $8.7 million gain for the decrease in the fair value of the MiR contingent consideration liability, partially offset by $1.8 million of acquisition related compensation and expenses, and $1.6 million recorded for severance charges primarily in Semiconductor Test. |
Retirement Plans |
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| Retirement Plans | P. RETIREMENT PLANS ASC 715, “Compensation—Retirement Benefits” Defined Benefit Pension Plans Teradyne has defined benefit pension plans covering a portion of domestic employees and employees of certain non-U.S. subsidiaries. Benefits under these plans are based on employees’ years of service and compensation. Teradyne’s funding policy is to make contributions to these plans in accordance with local laws and to the extent that such contributions are tax deductible. The assets of the U.S. qualified pension plan consist primarily of fixed income and equity securities. In addition, Teradyne has unfunded qualified foreign plans as well as an unfunded supplemental executive defined benefit plan in the United States to provide retirement benefits in excess of levels allowed by the Employment Retirement Income Security Act (“ERISA”) and the Internal Revenue Code (“IRC”).In the six months ended June 28, 2020, Teradyne contributed $1.4 million to the U.S. supplemental executive defined benefit pension plan and $0.4 million to certain qualified pension plans for non-U.S. subsidiaries.For the three and six months ended June 28, 2020 and June 30, 2019, Teradyne’s net periodic pension cost was comprised of the following:
Postretirement Benefit Plan In addition to receiving pension benefits, Teradyne employees in the United States who meet early retirement eligibility requirements as of their termination dates may participate in Teradyne’s Welfare Plan, which includes medical and dental benefits up to age 65. Death benefits provide a fixed sum to retirees’ survivors and are available to all retirees. Substantially all of Teradyne’s current U.S. employees could become eligible for these benefits, and the existing benefit obligation relates primarily to those employees. For the three and six months ended June 28, 2020 and June 30, 2019, Teradyne’s net periodic postretirement benefit cost was comprised of the following:
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Commitments and Contingencies |
6 Months Ended |
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Jun. 28, 2020 | |
| Commitments and Contingencies | Q. COMMITMENTS AND CONTINGENCIES Purchase Commitments As of June 28, 2020, Teradyne had entered into purchase commitments for certain components and materials. The purchase commitments covered by the agreements aggregate to approximately $544.2 million, of which $534.3 million is for less than one year. Legal Claims Teradyne is subject to various legal proceedings and claims which have arisen in the ordinary course of business such as, but not limited to, patent, employment, commercial and environmental matters. Teradyne believes that it has meritorious defenses against all pending claims and intends to vigorously contest them. While it is not possible to predict or determine the outcomes of any pending claims or to provide possible ranges of losses that may arise, Teradyne believes the potential losses associated with all of these actions are unlikely to have a material adverse effect on its business, financial position or results of operations. |
Income Taxes |
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| Income Taxes | R. INCOME TAXES A reconciliation of the United States federal statutory corporate tax rate to Teradyne’s effective tax rate was as follows:
On a quarterly basis, Teradyne evaluates the realizability of the deferred tax assets by jurisdiction and assesses the need for a valuation allowance. As of June 28, 2020, Teradyne believes that it will ultimately realize the deferred tax assets recorded on the condensed consolidated balance sheet. However, should Teradyne believe that it is more-likely-than-not that the deferred tax assets would not be realized, the tax provision would increase in the period in which Teradyne determined that the realizability was not likely. Teradyne considers the probability of future taxable income and historical profitability, among other factors, in assessing the realizability of the deferred tax assets.As of June 28, 2020 and December 31, 2019, Teradyne had $21.4 million and $21.2 million, respectively, of reserves for uncertain tax positions. The $0.2 million net increase in reserves for uncertain tax positions is associated with U.S. research and development tax credits generated in the current year. As of June 28, 2020, Teradyne estimates that it is reasonably possible that the balance of unrecognized tax benefits may decrease by approximately $1.1 million in the next twelve months as a result of a lapse of statutes of limitation. The estimated decrease relates to transfer pricing. Teradyne recognizes interest and penalties related to income tax matters in income tax expense. As of June 28, 2020 and December 31, 2019, $1.7 million and $1.4 million, respectively, of interest and penalties were accrued for uncertain tax positions. For the six months ended June 28, 2020 and June 30, 2019, expense of $0.3 million and $0.1 million, respectively, was recorded for interest and penalties related to income tax items. Teradyne qualifies for a tax holiday in Singapore by fulfilling the requirements of an agreement with the Singapore Economic Development Board under which certain headcount and spending requirements must be met. The tax savings due to the tax holiday for the six months ended June 28, 2020 was $13.6 million, or $0.08 per diluted share. The tax savings due to the tax holiday for the six months ended June 30, 2019 was $7.0 million, or $0.04 per diluted share. The tax holiday is scheduled to expire on December 31, 2020. Teradyne is currently in discussion with the Singapore Economic Development Board with respect to extension of the tax holiday for periods after December 31, 2020. |
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Segment Information |
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| Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Segment Information | S. SEGMENT INFORMATIO N Teradyne has four reportable segments (Semiconductor Test, System Test, Industrial Automation and Wireless Test). Each of the Semiconductor Test, System Test, and Wireless Test segments is also an individual operating segment. The Industrial Automation reportable segment consists of operating segments with discrete financial information, which have been combined into one reportable segment as they share similar economic characteristics, types of products, production processes and distribution channels. The Semiconductor Test segment includes operations related to the design, manufacturing and marketing of semiconductor test products and services. The System Test segment includes operations related to the design, manufacturing and marketing of products and services for defense/aerospace instrumentation test, storage and system level test, and circuit-board test. The Industrial Automation segment includes operations related to the design, manufacturing and marketing of collaborative robotic arms, autonomous mobile robots and advanced robotic control software. The Wireless Test segment includes operations related to the design, manufacturing and marketing of wireless test products and services. Teradyne evaluates performance based on several factors, of which the primary financial measure is business segment income (loss) before income taxes. The accounting policies of the business segments in effect are described in Note B: “Accounting Policies” in Teradyne’s Annual Report on Form 10-K for the year ended December 31, 2019.Segment information for the three and six months ended June 28, 2020 and June 30, 2019 is as follows:
Included in each segment are charges and credits in the following line items in the statements of operations:
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Shareholders' Equity |
6 Months Ended |
|---|---|
Jun. 28, 2020 | |
| Equity [Abstract] | |
| Shareholders' Equity | T. SHAREHOLDERS’ EQUITY Stock Repurchase Program In January 2020, Teradyne’s Board of Directors authorized a new stock repurchase program for up to $1.0 billion of common stock. Effective April 1, 2020, Teradyne suspended its share repurchase program. During the six months ended June 28, 2020, Teradyne repurchased 1.5 million shares of common stock for $88.5 million at an average price of $58.33 per share. During the six months ended June 30, 2019, Teradyne repurchased 6.5 million shares of common stock for $247.2 million at an average price of $38.20 per share. The total price includes commissions and is recorded as a reduction to retained earnings. Dividend Holders of Teradyne’s common stock are entitled to receive dividends when they are declared by Teradyne’s Board of Directors. In January 2020 and May 2020, Teradyne’s Board of Directors declared a quarterly cash dividend of $0.10 per share. Dividend payments for the three and six months ended June 28, 2020 were $16.6 million and $33.3 million, respectively. In January 2019 and May 2019, Teradyne’s Board of Directors declared a quarterly cash dividend of $0.09 per share. Dividend payments for the three and six months ended June 30, 2019 were $15.4 million and $31.0 million, respectively. While Teradyne declared a quarterly cash dividend and has suspended its share repurchase program, it may reduce or eliminate the cash dividend and may implement a new share repurchase program in the future. Future cash dividends and stock repurchases are subject to the discretion of Teradyne’s Board of Directors, which will consider, among other things, Teradyne’s earnings, capital requirements and financial condition. |
Accounting Policies (Policies) |
6 Months Ended |
|---|---|
Jun. 28, 2020 | |
| Basis of Presentation | Basis of Presentation The consolidated interim financial statements include the accounts of Teradyne and its wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated. These interim financial statements are unaudited and reflect all normal recurring adjustments that are, in the opinion of management, necessary for the fair statement of such interim financial statements. Certain prior year amounts were reclassified to conform to the current year presentation. The December 31, 2019 condensed consolidated balance sheet data was derived from audited financial statements but does not include all disclosures required by United States of America generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. The accompanying financial information should be read in conjunction with the consolidated financial statements and notes thereto contained in Teradyne’s Annual Report on Form 10-K, filed with the U.S. Securities and Exchange Commission (“SEC”) on March 2, 2020, for the year ended December 31, 2019. |
| Preparation of Financial Statements and Use of Estimates | Preparation of Financial Statements and Use of Estimates The preparation of consolidated financial statements requires management to make estimates and judgments that affect the amounts reported in the financial statements. Due to the
COVID-19 pandemic, there has been uncertainty and disruption in the global economy and our markets. Teradyne is not aware of any specific event or circumstance that would require an update to its estimates or judgments or a revision of the carrying value of its assets or liabilities as of August 3, 2020, the date of issuance of this Quarterly Report on Form 10-Q. These estimates may change, as new events occur and additional information is obtained. Actual results could differ significantly from these estimates under different assumptions or conditions. |
| Goodwill | Goodwill On January 26, 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2017-04, “Intangibles—Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment.” 2017-04 did not have a material impact on the consolidated statement of operations, cash flows, or earnings per share. Teradyne assesses goodwill for impairment at least annually in the fourth quarter, as of December 31, on a reporting unit basis, or more frequently, when events and circumstances occur indicating that the recorded goodwill may be impaired. Under ASU 2017-04, goodwill impairment will be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. All other goodwill impairment guidance will remain largely unchanged. Entities will continue to have the option to perform a qualitative assessment to determine if a quantitative impairment test is necessary. The same one-step impairment test will be applied to goodwill at all reporting units, even those with zero or negative carrying amounts. Entities will be required to disclose the amount of goodwill at reporting units with zero or negative carrying amounts. |
| Credit Losses | Credit Losses In June 2016, the FASB issued ASU
2016-13, “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This standard introduced the expected credit losses methodology for the measurement of credit losses on financial assets that are not measured at fair value through net income and replaces the “incurred loss” model with an “expected credit loss” model that requires consideration of a broader range of information to estimate expected credit losses over the lifetime of the asset. Teradyne adopted this standard on January 1, 2020 on a modified retrospective basis. The adoption of ASU 2016-13 did not have a material impact on the consolidated statement of operations, balance sheets, cash flows, or earnings per share. |
Acquisitions (Tables) |
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| Final Allocation of Purchase Price | The following table represents the final allocation of the purchase price:
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| Components of Intangible Assets and Their Estimated Useful Lives at Acquisition Date | Components of these intangible assets and their estimated useful lives at the acquisition date are as follows:
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| Pro Forma Results Under Acquisitions | The unaudited pro forma results are not necessarily indicative of what actually would have occurred had the acquisition been in effect for the periods presented:
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Revenue (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Disaggregated Revenue by Primary Geographical Market, Major Product Line and Timing of Revenue Recognition | The following table provides information about disaggregated revenue by timing of revenue recognition, primary geographical market, and major product lines.
|
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Inventories (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Composition of Inventories, Net | Inventories, net consisted of the following at June 28, 2020 and December 31, 2019:
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Financial Instruments (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of Fair Value of Financial Assets and Liabilities Measured on Recurring Basis | The following table sets forth by fair value hierarchy Teradyne’s financial assets and liabilities that were measured at fair value on a recurring basis as of June 28, 2020 and December 31, 2019.
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| Schedule of Changes in Fair Value of Level 3 Contingent Consideration | Changes in the fair value of Level 3 contingent consideration for the three and six months ended June 28, 2020 and June 30, 2019 were as follows:
|
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| Quantitative Information Associated With Fair Value Measurement of Level 3 Financial Instrument | The following table provides quantitative information associated with the fair value measurement of Teradyne’s Level 3 financial instruments:
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| Schedule of Carrying Amounts and Fair Values of Financial Instruments | The carrying amounts and fair values of Teradyne’s financial instruments at June 28, 2020 and December 31, 2019 were as follows:
|
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| Schedule of Available-for-Sale Marketable Securities | The following table summarizes the composition of available-for-sale
Reported as follows:
The following table summarizes the composition of available-for-sale
Reported as follows:
|
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| Contractual Maturities of Investments Held | The contractual maturities of investments in available-for-sale
|
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| Schedule of Derivative Instruments in Statement of Financial Position at Fair Value | The following table summarizes the fair value of derivative instruments as of June 28, 2020 and December 31, 2019:
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| Schedule of Effect of Derivative Instruments on Statement of Operations Recognized | The following table summarizes the effect of derivative instruments recognized in the statement of operations for the three and six months ended June 28, 2020 and June 30, 2019:
See Note G: “Debt” regarding derivatives related to the convertible senior notes. |
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Debt (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Components of Convertible Senior Notes | The below tables represent the key components of Teradyne’s convertible senior notes:
|
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Prepayments (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Prepayments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of Prepayments and other assets | Prepayments consist of the following and are included in prepayments and other assets on the balance sheet:
|
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Deferred Revenue and Customer Advances (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Revenue Recognition and Deferred Revenue [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Deferred Revenue and Customer Advances | Deferred revenue and customer advances consist of the following and are included in short and long-term deferred revenue and customer advances on the balance sheet:
|
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Product Warranty (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Other Accrued Liabilities | Related costs are charged to the warranty accrual as incurred. The balance below is included in other accrued liabilities.
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| Extended Product Warranty of Short and Long-Term Deferred Revenue and Customer Advances | The balance below is included in short and long-term deferred revenue and customer advances.
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Stock-Based Compensation (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of Estimated Fair Value of TSR Performance-Based Restricted Stock Unit Awards Assumptions | The fair value was estimated using the Monte Carlo simulation model with the following assumptions:
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| Fair Value of Stock Options Using Assumptions | The fair value of stock options was estimated using the Black-Scholes option-pricing model with the following assumptions:
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Accumulated Other Comprehensive (Loss) Income (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Changes in Accumulated Other Comprehensive (Loss) Income | Changes in accumulated other comprehensive (loss) income, which are presented net of tax, consist of the following:
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| Reclassifications Out of Accumulated Other Comprehensive Income to Statements of Operations | Reclassifications out of accumulated other comprehensive (loss) income to the statement of operations for the three and six months ended June 28, 2020 and June 30, 2019 were as follows:
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Goodwill and Acquired Intangible Assets (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Changes in Carrying Amount of Goodwill by Segment | The changes in the carrying amount of goodwill by reportable segments for the six months ended June 28, 2020, were as follows:
|
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| Schedule of Estimated Intangible Assets Amortization Expense | Estimated intangible asset amortization expense for each of the five succeeding fiscal years is as follows:
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| Wireless Test | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Schedule of Amortizable Intangible Assets | Amortizable intangible assets consist of the following and are included in intangible assets, net on the balance sheet:
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Net Income Per Common Share (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Computation of Basic and Diluted Net Income (Loss) Per Common Share | The following table sets forth the computation of basic and diluted net income per common share:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Retirement Plans (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Defined Benefit Pension Plans | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Net Periodic Pension and Postretirement Benefit Costs |
|
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| Postretirement Benefit Plans | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Net Periodic Pension and Postretirement Benefit Costs | For the three and six months ended June 28, 2020 and June 30, 2019, Teradyne’s net periodic postretirement benefit cost was comprised of the following:
|
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Income Taxes (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Reconciliation of Effective Tax Rate | A reconciliation of the United States federal statutory corporate tax rate to Teradyne’s effective tax rate was as follows:
|
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Segment Information (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Segment Information | Segment information for the three and six months ended June 28, 2020 and June 30, 2019 is as follows:
|
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| Schedule of Segment Reporting Information by Segment Charges | Included in each segment are charges and credits in the following line items in the statements of operations:
|
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Final Allocation of Purchase Price (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
Apr. 25, 2018 |
|---|---|---|---|
| Business Acquisition [Line Items] | |||
| Goodwill | $ 422,003 | $ 416,431 | |
| Mobile Industrial Robots (MiR) | |||
| Business Acquisition [Line Items] | |||
| Goodwill | $ 41,223 | ||
| Intangible assets | 37,660 | ||
| Other current assets | 3,661 | ||
| Non-current assets | 1,227 | ||
| Accounts payable and current liabilities | (1,223) | ||
| Long-term other liabilities | (949) | ||
| Total purchase price | $ 81,599 |
Components of Intangible Assets and Their Estimated Useful Lives at Acquisition Date (Detail) - Mobile Industrial Robots (MiR) $ in Thousands |
Apr. 25, 2018
USD ($)
|
|---|---|
| Business Acquisition [Line Items] | |
| Total intangible assets, fair value | $ 37,660 |
| Total intangible assets, estimated useful life, years | 6 years 1 month 6 days |
| Developed technology | |
| Business Acquisition [Line Items] | |
| Total intangible assets, fair value | $ 24,590 |
| Total intangible assets, estimated useful life, years | 6 years |
| Trademarks and tradenames | |
| Business Acquisition [Line Items] | |
| Total intangible assets, fair value | $ 7,360 |
| Total intangible assets, estimated useful life, years | 6 years |
| Customer Relationships | |
| Business Acquisition [Line Items] | |
| Total intangible assets, fair value | $ 5,450 |
| Total intangible assets, estimated useful life, years | 7 years |
| Customer backlog | |
| Business Acquisition [Line Items] | |
| Total intangible assets, fair value | $ 260 |
| Total intangible assets, estimated useful life, years | 3 months 18 days |
Pro Forma Results Under Acquisition (Detail) - Mobile Industrial Robots (MiR) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | 6 Months Ended |
|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2019 |
|
| Business Acquisition [Line Items] | ||
| Revenue | $ 565,978 | $ 1,061,577 |
| Net income | $ 95,948 | $ 203,237 |
| Net income per common share, basic | $ 0.56 | $ 1.18 |
| Net income per common share, diluted | $ 0.54 | $ 1.14 |
Revenue - Additional Information (Detail) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Deferred Revenue And Customer Advances | $ 21.1 | $ 13.3 | $ 60.6 | $ 33.4 |
| Deferred Revenue and Trade Accounts Receivable | $ 50.0 | $ 40.4 | $ 96.8 | $ 82.1 |
| Short-term Contract with Customer [Member] | ||||
| Revenue, Remaining Performance Obligation, Percentage | 69.00% | 69.00% | ||
| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction Period | 12 months | |||
| Long-term Contract with Customer [Member] | ||||
| Revenue, Remaining Performance Obligation, Percentage | 26.00% | 26.00% | ||
| Long-term Contract with Customer [Member] | Maximum [Member] | ||||
| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction Period | 3 years | |||
| Long-term Contract with Customer [Member] | Minimum [Member] | ||||
| Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction Period | 1 year | |||
Disaggregated Revenue by Primary Geographical Market, Major Product Line and Timing of Revenue Recognition (Parenthetical) (Detail) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Accounting Policies [Abstract] | ||||
| Revenue on leases | $ 2.5 | $ 1.7 | $ 4.3 | $ 3.4 |
Composition of Inventories, Net (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Inventory Disclosure [Abstract] | ||
| Raw material | $ 106,610 | $ 118,595 |
| Work-in-process | 29,710 | 32,695 |
| Finished goods | 69,768 | 45,401 |
| Inventories, net | $ 206,088 | $ 196,691 |
Inventories - Additional Information (Detail) - USD ($) $ in Millions |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Inventory [Line Items] | ||
| Inventory reserves | $ 107.4 | $ 103.6 |
Financial Instruments - Additional Information (Detail) - USD ($) |
3 Months Ended | 6 Months Ended | 12 Months Ended | ||
|---|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
Dec. 31, 2019 |
|
| Financial Instruments and Fair Value [Line Items] | |||||
| Available-for-sale securities, realized gain | $ 1,600,000 | $ 100,000 | $ 3,000,000.0 | $ 200,000 | |
| Available-for-sale securities, realized loss | 100,000 | 200,000 | 100,000 | ||
| Fair market value of investments with unrealized losses less than one year | 20,200,000 | 20,200,000 | $ 23,600,000 | ||
| Unrealized Gain (loss) on contracts | 400,000 | 1,300,000 | 1,600,000 | 1,900,000 | |
| Equity securities unrealized gain loss | $ 900,000 | $ 3,700,000 | |||
| Equity securities unrealized (gains) loss | 3,700,000 | 6,000,000.0 | |||
| Debt Mutual Funds | |||||
| Financial Instruments and Fair Value [Line Items] | |||||
| Available for sale securities with out contractual maturity date | 6,900 | 6,900 | |||
| Mobile Industrial Robots (MiR) | |||||
| Financial Instruments and Fair Value [Line Items] | |||||
| Maximum amount of contingent consideration paid for acquisition | 63,500,000 | 63,500,000 | |||
| Autoguide LLC [Member] | |||||
| Financial Instruments and Fair Value [Line Items] | |||||
| Maximum amount of contingent consideration paid for acquisition | $ 106,900,000 | 106,900,000 | |||
| Foreign Exchange Contracts | |||||
| Financial Instruments and Fair Value [Line Items] | |||||
| Unrealized Gain (loss) on contracts | $ 125,000,000.0 | $ 144,900,000 | |||
Schedule of Fair Value of Financial Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | $ 313,775 | $ 216,021 |
| U.S. Treasury Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 165,305 | 42,382 |
| Commercial Paper | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 63,844 | 54,149 |
| Corporate Debt Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 63,218 | 97,307 |
| Certificates of Deposit and Time Deposits | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 9,506 | 4,751 |
| U.S. Government Agency Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 4,425 | 9,952 |
| Debt Mutual Funds | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 6,876 | 6,888 |
| Non-U.S. Government Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 601 | 592 |
| Fair Value, Measurements, Recurring | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Total | 1,062,190 | 1,015,717 |
| Derivative assets | 30 | 528 |
| Total | 1,062,220 | 1,016,245 |
| Contingent consideration | 49,737 | 39,705 |
| Derivative liabilities | 222 | 203 |
| Total | 49,959 | 39,908 |
| Fair Value, Measurements, Recurring | Cash | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Cash and cash equivalents | 345,312 | 311,975 |
| Fair Value, Measurements, Recurring | Cash Equivalents | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Cash and cash equivalents | 380,119 | 461,949 |
| Fair Value, Measurements, Recurring | U.S. Treasury Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 165,305 | 42,382 |
| Fair Value, Measurements, Recurring | Commercial Paper | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 63,844 | 54,149 |
| Fair Value, Measurements, Recurring | Corporate Debt Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 63,218 | 97,307 |
| Fair Value, Measurements, Recurring | Certificates of Deposit and Time Deposits | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 9,506 | 4,751 |
| Fair Value, Measurements, Recurring | U.S. Government Agency Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 4,425 | 9,952 |
| Fair Value, Measurements, Recurring | Debt Mutual Funds | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 6,876 | 6,888 |
| Fair Value, Measurements, Recurring | Non-U.S. Government Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 601 | 592 |
| Fair Value, Measurements, Recurring | Equity Mutual Funds | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale equity securities | 22,984 | 25,772 |
| Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Total | 701,519 | 754,920 |
| Total | 701,519 | 754,920 |
| Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | Cash | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Cash and cash equivalents | 345,312 | 311,975 |
| Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | Cash Equivalents | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Cash and cash equivalents | 326,347 | 410,285 |
| Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | Debt Mutual Funds | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 6,876 | 6,888 |
| Quoted Prices in Active Markets for Identical Instruments (Level 1) | Fair Value, Measurements, Recurring | Equity Mutual Funds | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale equity securities | 22,984 | 25,772 |
| Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Total | 360,671 | 260,797 |
| Derivative assets | 30 | 528 |
| Total | 360,701 | 261,325 |
| Derivative liabilities | 222 | 203 |
| Total | 222 | 203 |
| Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Cash Equivalents | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Cash and cash equivalents | 53,772 | 51,664 |
| Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | U.S. Treasury Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 165,305 | 42,382 |
| Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Commercial Paper | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 63,844 | 54,149 |
| Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Corporate Debt Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 63,218 | 97,307 |
| Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Certificates of Deposit and Time Deposits | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 9,506 | 4,751 |
| Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | U.S. Government Agency Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 4,425 | 9,952 |
| Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Non-U.S. Government Securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Available for sale securities | 601 | 592 |
| Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Contingent consideration | 49,737 | 39,705 |
| Total | $ 49,737 | $ 39,705 |
Schedule of Reported Financial Assets and Liabilities (Detail) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | $ 1,062,220 | $ 1,016,245 |
| Liabilities | 49,959 | 39,908 |
| Other Current Liabilities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Liabilities | 222 | 203 |
| Cash and Cash Equivalents | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 725,431 | 773,924 |
| Marketable securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 229,791 | 137,303 |
| Long-term marketable securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 106,968 | 104,490 |
| Prepayments and other current assets | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 30 | 528 |
| Contingent Consideration | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Liabilities | 16,789 | 9,106 |
| Long Term Contingent Consideration | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Liabilities | 32,948 | 30,599 |
| Quoted Prices in Active Markets for Identical Instruments (Level 1) | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 701,519 | 754,920 |
| Quoted Prices in Active Markets for Identical Instruments (Level 1) | Cash and Cash Equivalents | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 671,659 | 722,260 |
| Quoted Prices in Active Markets for Identical Instruments (Level 1) | Long-term marketable securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 29,860 | 32,660 |
| Significant Other Observable Inputs (Level 2) | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 360,701 | 261,325 |
| Liabilities | 222 | 203 |
| Significant Other Observable Inputs (Level 2) | Other Current Liabilities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Liabilities | 222 | 203 |
| Significant Other Observable Inputs (Level 2) | Cash and Cash Equivalents | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 53,772 | 51,664 |
| Significant Other Observable Inputs (Level 2) | Marketable securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 229,791 | 137,303 |
| Significant Other Observable Inputs (Level 2) | Long-term marketable securities | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 77,108 | 71,830 |
| Significant Other Observable Inputs (Level 2) | Prepayments and other current assets | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Assets | 30 | 528 |
| Significant Unobservable Inputs (Level 3) | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Liabilities | 49,737 | 39,705 |
| Significant Unobservable Inputs (Level 3) | Contingent Consideration | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Liabilities | 16,789 | 9,106 |
| Significant Unobservable Inputs (Level 3) | Long Term Contingent Consideration | ||
| Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
| Liabilities | $ 32,948 | $ 30,599 |
Schedule of Changes in Fair Value of Level 3 Contingent Consideration (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
| Balance at beginning of period | $ 20,472 | $ 38,313 | $ 39,705 | $ 70,543 |
| Foreign currency impact | 6 | 206 | (355) | (405) |
| Payments | 0 | 0 | (8,852) | (34,590) |
| Fair value adjustment | 29,259 | (11,672) | 19,239 | (8,701) |
| Balance at end of period | $ 49,737 | $ 26,847 | $ 49,737 | $ 26,847 |
Schedule of Changes in Fair Value of Level 3 Contingent Consideration (Parenthetical) (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
| Payments of contingent consideration | $ 8,852 | $ 27,615 | ||
| Increase (decrease) in contingent consideration | 19,239 | (8,701) | ||
| Universal Robots (UR) | ||||
| Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
| Payments of contingent consideration | 30,800 | |||
| Increase (decrease) in contingent consideration | 3,800 | |||
| Avionics Interface Technologies, LLC | ||||
| Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
| Payments of contingent consideration | 8,900 | |||
| MiR | ||||
| Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
| Payments of contingent consideration | $ 600 | $ 11,700 | ||
| Increase (decrease) in contingent consideration | 3,600 | $ 8,700 | ||
| Autoguide LLC [Member] | ||||
| Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
| Payments of contingent consideration | $ 29,900 | |||
| Increase (decrease) in contingent consideration | $ 22,800 | |||
Quantitative Information Associated With Fair Value Measurement of Level 3 Financial Instrument (Detail) - Monte Carlo Simulation $ in Thousands |
6 Months Ended |
|---|---|
|
Jun. 28, 2020
USD ($)
| |
| Mobile Industrial Robots (MiR) | |
| Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
| Target achievement, volatility | 10.00% |
| Discount rate | 0.80% |
| Autoguide LLC [Member] | |
| Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
| Target achievement, volatility | 15.50% |
| Discount rate | 1.80% |
| Significant Unobservable Inputs (Level 3) | Mobile Industrial Robots (MiR) | |
| Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
| Contingent consideration | $ 0 |
| Significant Unobservable Inputs (Level 3) | Autoguide LLC [Member] | |
| Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
| Contingent consideration | $ 49,737 |
Schedule of Carrying Amounts and Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Fair Value, Balance Sheet Grouping, Financial Statement Captions | ||
| Marketable securities | $ 313,775 | $ 216,021 |
| Carrying Value | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions | ||
| Cash and cash equivalents | 725,431 | 773,924 |
| Marketable securities | 336,759 | 241,793 |
| Derivative assets | 30 | 528 |
| Contingent consideration | 49,737 | 39,705 |
| Derivative liabilities | 222 | 203 |
| Convertible debt | 402,305 | 394,687 |
| Fair Value | ||
| Fair Value, Balance Sheet Grouping, Financial Statement Captions | ||
| Cash and cash equivalents | 725,431 | 773,924 |
| Marketable securities | 336,759 | 241,793 |
| Derivative assets | 30 | 528 |
| Contingent consideration | 49,737 | 39,705 |
| Derivative liabilities | 222 | 203 |
| Convertible debt | $ 1,198,669 | $ 1,010,275 |
Schedule of Available for Sale Marketable Securities (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | $ 305,170 | $ 211,596 |
| Available-for-sale marketable securities, Unrealized Gain | 8,756 | 4,687 |
| Available-for-sale marketable securities, Unrealized (Loss) | (151) | (262) |
| Available-for-sale marketable securities, Fair Market Value | 313,775 | 216,021 |
| Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | 20,156 | 23,999 |
| U.S. Treasury Securities | ||
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | 163,586 | 42,167 |
| Available-for-sale marketable securities, Unrealized Gain | 1,734 | 431 |
| Available-for-sale marketable securities, Unrealized (Loss) | (15) | (216) |
| Available-for-sale marketable securities, Fair Market Value | 165,305 | 42,382 |
| Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | 18,709 | 17,556 |
| Commercial Paper | ||
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | 63,774 | 54,124 |
| Available-for-sale marketable securities, Unrealized Gain | 70 | 26 |
| Available-for-sale marketable securities, Unrealized (Loss) | 0 | (1) |
| Available-for-sale marketable securities, Fair Market Value | 63,844 | 54,149 |
| Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | 0 | 1,391 |
| Corporate Debt Securities | ||
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | 56,672 | 93,267 |
| Available-for-sale marketable securities, Unrealized Gain | 6,682 | 4,081 |
| Available-for-sale marketable securities, Unrealized (Loss) | (136) | (41) |
| Available-for-sale marketable securities, Fair Market Value | 63,218 | 97,307 |
| Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | 1,447 | 2,009 |
| Certificates of Deposit and Time Deposits | ||
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | 9,498 | 4,751 |
| Available-for-sale marketable securities, Unrealized Gain | 8 | |
| Available-for-sale marketable securities, Fair Market Value | 9,506 | 4,751 |
| U.S. Government Agency Securities | ||
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | 4,353 | 9,942 |
| Available-for-sale marketable securities, Unrealized Gain | 72 | 14 |
| Available-for-sale marketable securities, Unrealized (Loss) | 0 | (4) |
| Available-for-sale marketable securities, Fair Market Value | 4,425 | 9,952 |
| Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | 0 | 3,043 |
| Debt Mutual Funds | ||
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | 6,686 | 6,753 |
| Available-for-sale marketable securities, Unrealized Gain | 190 | 135 |
| Available-for-sale marketable securities, Fair Market Value | 6,876 | 6,888 |
| Non-U.S. Government Securities | ||
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | 601 | 592 |
| Available-for-sale marketable securities, Fair Market Value | $ 601 | $ 592 |
Schedule of Reported Available for Sale Marketable Securities (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | $ 305,170 | $ 211,596 |
| Available-for-sale marketable securities, Unrealized Gain | 8,756 | 4,687 |
| Available-for-sale marketable securities, Unrealized (Loss) | (151) | (262) |
| Available-for-sale marketable securities, Fair Market Value | 313,775 | 216,021 |
| Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | 20,156 | 23,999 |
| Marketable securities | ||
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | 229,471 | 137,144 |
| Available-for-sale marketable securities, Unrealized Gain | 331 | 160 |
| Available-for-sale marketable securities, Unrealized (Loss) | (11) | (1) |
| Available-for-sale marketable securities, Fair Market Value | 229,791 | 137,303 |
| Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | 17,366 | 2,922 |
| Long-term marketable securities | ||
| Schedule of Available-for-sale Securities | ||
| Available-for-sale marketable securities, Cost | 75,699 | 74,452 |
| Available-for-sale marketable securities, Unrealized Gain | 8,425 | 4,527 |
| Available-for-sale marketable securities, Unrealized (Loss) | (140) | (261) |
| Available-for-sale marketable securities, Fair Market Value | 83,984 | 78,718 |
| Available-for-sale marketable securities, Fair Market Value of Investments with Unrealized Losses | $ 2,790 | $ 21,077 |
Contractual Maturities of Investments in Debt Securities Held (Detail) $ in Thousands |
Jun. 28, 2020
USD ($)
|
|---|---|
| Schedule of Available-for-sale Securities | |
| Due within one year, cost | $ 229,471 |
| Due after 1 year through 5 years, cost | 21,054 |
| Due after 5 years through 10 years, cost | 13,762 |
| Due after 10 years, cost | 34,197 |
| Total, cost | 298,484 |
| Due within one year, fair market value | 229,791 |
| Due after 1 year through 5 years, fair market value | 21,587 |
| Due after 5 years through 10 years, fair market value | 14,974 |
| Due after 10 years, fair maket value | 40,547 |
| Total, fair market value | $ 306,899 |
Schedule of Derivative Instruments in Statement of Financial Position at Fair Value (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Derivatives, Fair Value [Line Items] | ||
| Derivative assets (liabilities), net | $ (192) | $ 325 |
| Not Designated as Hedging Instrument | Foreign currency forward contracts | Prepayments | ||
| Derivatives, Fair Value [Line Items] | ||
| Derivative assets | 30 | 528 |
| Not Designated as Hedging Instrument | Foreign currency forward contracts | Other Current Liabilities | ||
| Derivatives, Fair Value [Line Items] | ||
| Derivative liabilities | $ (222) | $ (203) |
Schedule of Effect of Derivative Instruments in Statement of Operations Recognized (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Other (income) expense, net | ||||
| Derivative Instruments, Gain (Loss) [Line Items] | ||||
| Losses on derivatives recognized in statements of operations | $ 470 | $ 239 | $ 4,481 | $ 4,173 |
Schedule of Effect of Derivative Instruments in Statement of Operations Recognized (Parenthetical) (Detail) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Derivative Instruments, Gain (Loss) [Line Items] | ||||
| Gains (losses) on foreign currency transactions | $ 0.4 | $ 1.3 | $ 1.6 | $ 1.9 |
Debt - Additional Information (Detail) $ / shares in Units, $ in Thousands, shares in Millions |
6 Months Ended | ||||||
|---|---|---|---|---|---|---|---|
|
Jun. 28, 2020
USD ($)
$ / shares
|
May 01, 2020
USD ($)
|
Dec. 12, 2016
USD ($)
Customer
shares
|
Jun. 28, 2020
USD ($)
$ / shares
shares
|
Jun. 30, 2019
USD ($)
shares
|
Jun. 30, 2020
USD ($)
|
Dec. 31, 2019
USD ($)
|
|
| Debt Instrument | |||||||
| Repurchase of common stock | $ 88,465 | $ 247,222 | |||||
| Repurchase of stock, shares | shares | 1.5 | 6.5 | |||||
| Term of loan, years | 3 years | ||||||
| Line of Credit Facility, Maximum Borrowing Capacity | $ 400,000 | ||||||
| Line of Credit Facility, Capacity Available for Specific Purpose Other than for Trade Purchases | $ 150,000 | ||||||
| Line of Credit Facility, Interest Rate Description | The interest rates applicable to loans under the Credit Facility are, at Teradyne’s option, equal to either a base rate plus a margin ranging from 0.50% to 1.25% per annum or LIBOR, a minimum of 0.75%, plus a margin ranging from 1.50% to 2.25% per annum, based on the consolidated leverage ratio of Teradyne. In addition, Teradyne will pay a commitment fee on the unused portion of the commitments under the Credit Facility ranging from 0.25% to 0.40% per annum, based on the then applicable consolidated leverage ratio. | ||||||
| Collateral Pledged [Member] | |||||||
| Debt Instrument | |||||||
| Line of Credit Facility, Interest Rate Description | 65 | ||||||
| 1.25% Convertible Senior Unsecured Notes Due December 15, 2023 | |||||||
| Debt Instrument | |||||||
| Aggregate principal amount | $ 459,987 | $ 460,000 | $ 459,987 | $ 460,000 | |||
| Debt instrument, interest rate, stated percentage | 1.25% | ||||||
| Debt instrument, net proceeds after issuance costs | $ 31,590 | $ 450,800 | |||||
| Payment for net cost of convertible note hedges net of warrant proceeds | 33,000 | $ 33,000 | |||||
| Repurchase of common stock | $ 50,100 | ||||||
| Repurchase of stock, shares | shares | 2.0 | ||||||
| Senior notes maturity date | Dec. 15, 2023 | ||||||
| Debt instrument, frequency of periodic payment | payable semiannually in arrears on June 15 and December 15 of each year | ||||||
| Debt instrument, conversion option expiration date | Sep. 15, 2023 | ||||||
| Debt instrument conversion price | $ / shares | $ 31.59 | $ 31.59 | |||||
| Shares that would be issued upon conversion | shares | 14.6 | ||||||
| Strike price per share of warrant | $ / shares | $ 39.64 | ||||||
| Debt instrument, convertible, carrying amount of equity component | $ 100,800 | $ 100,800 | |||||
| Debt instrument, effective annual interest rate | 5.00% | 5.00% | |||||
| Financing cost | $ 7,200 | $ 7,200 | $ 3,800 | ||||
| Debt issuance costs, amortization period | 7 years | ||||||
| Unamortized discount | 57,700 | $ 57,700 | |||||
| Debt Instrument, convertible, remaining discount amortization period | 3 years 6 months | ||||||
| Value of notes converted | $ 1,192,000 | ||||||
| Debt Instrument, Face Amount | 459,987 | $ 460,000 | 459,987 | $ 460,000 | |||
| 1.25% Convertible Senior Unsecured Notes Due December 15, 2023 | Conversion option one | |||||||
| Debt Instrument | |||||||
| Trading days measurement period | Customer | 20 | ||||||
| Consecutive trading days measurement period | Customer | 30 | ||||||
| Percentage of conversion price | 130.00% | ||||||
| 1.25% Convertible Senior Unsecured Notes Due December 15, 2023 | Conversion option two | |||||||
| Debt Instrument | |||||||
| Aggregate principal amount | $ 1,000 | ||||||
| Trading days measurement period | Customer | 5 | ||||||
| Consecutive trading days measurement period | Customer | 5 | ||||||
| Percentage of closing sale price of common stock and conversion rate product | 98.00% | ||||||
| Debt Instrument, Face Amount | $ 1,000 | ||||||
| Revolving Credit Facility | |||||||
| Debt Instrument | |||||||
| Revolving credit facility costs incurred | $ 3,500 | $ 3,500 | |||||
| Term of revolving credit facility | 3 years | 3 years | |||||
Components of Convertible Senior Notes (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
Dec. 12, 2016 |
|---|---|---|---|
| Debt Instrument | |||
| Net carrying amount of convertible debt | $ 402,305 | $ 394,687 | |
| 1.25% Convertible Senior Unsecured Notes Due December 15, 2023 | |||
| Debt Instrument | |||
| Debt principal | 459,987 | 460,000 | $ 460,000 |
| Unamortized discount | 57,682 | 65,313 | |
| Net carrying amount of convertible debt | $ 402,305 | $ 394,687 |
Interest Expense on Convertible Senior Notes (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Debt Instrument | ||||
| Contractual interest expense on the coupon | $ 1,438 | $ 1,438 | $ 2,875 | $ 2,875 |
| Amortization of the discount component and debt issue fees recognized as interest expense | 3,839 | 3,653 | 7,631 | 7,262 |
| Total interest expense on the convertible debt | $ 5,277 | $ 5,091 | $ 10,506 | $ 10,137 |
Schedule of Prepayments and Other Assets (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Dec. 31, 2019 |
|---|---|---|
| Prepaid And Other Current Assets [Line Items] | ||
| Contract manufacturer and supplier prepayments | $ 191,029 | $ 143,392 |
| Prepaid maintenance and other services | 10,316 | 8,046 |
| Prepaid taxes | 6,665 | 8,503 |
| Other prepayments | 14,171 | 16,753 |
| Total prepayments | $ 222,181 | $ 176,694 |
Deferred Revenue and Customer Advances (Detail) - USD ($) $ in Thousands |
Jun. 28, 2020 |
Mar. 29, 2020 |
Dec. 31, 2019 |
Jun. 30, 2019 |
Mar. 31, 2019 |
Dec. 31, 2018 |
|---|---|---|---|---|---|---|
| Deferred Revenue Arrangement | ||||||
| Maintenance, service and training | $ 75,144 | $ 63,815 | ||||
| Extended warranty | 40,178 | $ 33,503 | 30,677 | $ 28,716 | $ 27,242 | $ 27,422 |
| Customer advances, undelivered performance obligations and other | 64,536 | 56,358 | ||||
| Total deferred revenue and customer advances | $ 179,858 | $ 150,850 |
Warranty Accrual Included in Other Accrued Liabilities (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Product Warranty Liability [Line Items] | ||||
| Balance at beginning of period | $ 10,971 | $ 7,752 | $ 8,996 | $ 7,909 |
| Accruals for warranties issued during the period | 6,200 | 2,295 | 11,267 | 5,360 |
| Accruals related to pre-existing warranties | 356 | 694 | 1,412 | 2,024 |
| Settlements made during the period | (4,511) | (2,608) | (8,659) | (7,174) |
| Acquisition | 0 | 14 | ||
| Balance at end of period | $ 13,016 | $ 8,133 | $ 13,016 | $ 8,133 |
Extended Product Warranty of Short and Long-Term Deferred Revenue and Customer Advances (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Product Warranty Liability [Line Items] | ||||
| Balance at beginning of period | $ 33,503 | $ 27,242 | $ 30,677 | $ 27,422 |
| Deferral of new extended warranty revenue | 11,450 | 5,476 | 19,050 | 11,296 |
| Recognition of extended warranty deferred revenue | (4,775) | (4,002) | (9,549) | (10,002) |
| Balance at end of period | $ 40,178 | $ 28,716 | $ 40,178 | $ 28,716 |
Stock-Based Compensation - Additional Information (Detail) - $ / shares shares in Millions |
6 Months Ended | |
|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Stock price | $ 72.10 | $ 37.95 |
| Stock Options | Measurement Input, Expected Dividend Payment [Member] | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Estimated annual dividend amount per share | $ 0.40 | $ 72.10 |
| Restricted Stock Units | Employees | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Period of stock granted to employees and executive officers vest in equal annual installments | 4 years | |
| Percentage of awards vesting on the first anniversary of grant date | 100.00% | |
| Restricted Stock Units | Director | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Period of stock granted to employees and executive officers vest in equal annual installments | 1 year | |
| TSR Performance-Based Restricted Stock Units | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Total shareholder return performance measurement period | 3 years | 3 years |
| Share-based compensation arrangement by share-based payment award, description | capped at four times the grant date value for grants prior to 2019 | |
| Minimum age of retirement to be eligible for PRSUs | 60 years | |
| Minimum years of service for retirement to be eligible for PRSUs | 10 years | |
| Restricted stock unit awards granted | 0.1 | |
| Weighted average grant date fair value of restricted stock units granted | $ 89.93 | $ 51.51 |
| Stock price | 0.36 | $ 36.75 |
| TSR Performance-Based Restricted Stock Units | Measurement Input, Expected Dividend Payment [Member] | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Estimated annual dividend amount per share | $ 0.40 | |
| TSR Performance-Based Restricted Stock Units | Share-based Compensation Award, Tranche One | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Percentage of vesting of target shares upon performance achieved | 0.00% | 0.00% |
| TSR Performance-Based Restricted Stock Units | Share-based Compensation Award, Tranche Two | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Percentage of vesting of target shares upon performance achieved | 200.00% | 200.00% |
| TSR Performance-Based Restricted Stock Units | Non Employees | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Restricted stock unit awards granted | 0.1 | |
| Weighted average grant date fair value of restricted stock units granted | $ 64.99 | $ 48.03 |
| Employee Stock Purchase Plan | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Percentage of common stock price paid | 100.00% | |
| PBIT Performance-Based Restricted Stock Units | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Restricted stock unit awards granted | 0.1 | |
| Weighted average grant date fair value of restricted stock units granted | $ 70.94 | $ 36.88 |
| Service-Based Restricted Stock Units | Employees | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Restricted stock unit awards granted | 0.4 | 0.8 |
| Weighted average grant date fair value of restricted stock units granted | $ 70.52 | $ 36.84 |
| Service-Based Restricted Stock Units | Executive Officer | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Restricted stock unit awards granted | 0.1 | |
| Weighted average grant date fair value of restricted stock units granted | $ 20.67 | $ 10.61 |
Schedule of Estimated Fair Value of TSR Performance-Based Restricted Stock Unit Awards Assumptions (Detail) - TSR Performance-Based Restricted Stock Units |
6 Months Ended | |
|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Risk-free interest rate | 1.50% | 2.60% |
| Expected historical volatility | 34.90% | 31.90% |
| Dividend yield | 0.60% | 1.00% |
| New York Stock Exchange Composite Index | ||
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Expected historical volatility | 11.40% | 11.90% |
Schedule of Estimated Fair Value of Stock Options Grant Using Black Scholes Option Pricing Model (Detail) - Stock Options |
6 Months Ended | |
|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Share-based Compensation Arrangement by Share-based Payment Award | ||
| Expected life (years) | 5 years | 5 years |
| Risk-free interest rate | 1.60% | 2.50% |
| Volatility-historical | 31.60% | 30.10% |
| Dividend yield | 0.60% | 1.00% |
Changes in Accumulated Other Comprehensive (Loss) Income (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
| Balance | $ 1,550,673 | $ 1,470,228 | $ 1,480,158 | $ 1,522,354 |
| Other comprehensive income | 18,613 | 8,115 | 10,354 | 5,449 |
| Balance | 1,744,551 | 1,479,412 | 1,744,551 | 1,479,412 |
| Foreign Currency Translation Reclassification Adjustments | ||||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
| Balance | (23,514) | (12,523) | ||
| Other comprehensive loss before reclassifications, net of tax | 7,026 | 983 | ||
| Amounts reclassified from accumulated other comprehensive income (loss), net of tax | 0 | 0 | ||
| Other comprehensive income | 7,026 | 983 | ||
| Balance | (16,488) | (11,540) | (16,488) | (11,540) |
| Unrealized Gains (Losses) on Marketable Securities | ||||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
| Balance | 3,480 | (1,845) | ||
| Other comprehensive loss before reclassifications, net of tax | 4,830 | 4,637 | ||
| Amounts reclassified from accumulated other comprehensive income (loss), net of tax | (1,499) | (97) | ||
| Other comprehensive income | 3,331 | 4,540 | ||
| Balance | 6,811 | 2,695 | 6,811 | 2,695 |
| Amortization of Prior Service Credit | ||||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
| Balance | 1,180 | 1,328 | ||
| Other comprehensive loss before reclassifications, net of tax | 0 | 0 | ||
| Amounts reclassified from accumulated other comprehensive income (loss), net of tax | (2) | (37) | (3) | (74) |
| Other comprehensive income | (3) | (74) | ||
| Balance | 1,177 | 1,254 | 1,177 | 1,254 |
| Accumulated Other Comprehensive Income (Loss) | ||||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
| Balance | (27,113) | (15,706) | (18,854) | (13,040) |
| Other comprehensive loss before reclassifications, net of tax | 11,856 | 5,620 | ||
| Amounts reclassified from accumulated other comprehensive income (loss), net of tax | (985) | (64) | (1,502) | (171) |
| Other comprehensive income | 18,613 | 8,115 | 10,354 | 5,449 |
| Balance | $ (8,500) | $ (7,591) | $ (8,500) | $ (7,591) |
Changes in Accumulated Other Comprehensive (Loss) Income (Parenthetical) (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||||
|---|---|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
Dec. 31, 2019 |
Dec. 31, 2018 |
|
| Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
| Amounts reclassified from accumulated other comprehensive income (loss), tax | $ (277) | $ (17) | $ (422) | $ (47) | ||
| Foreign currency translation adjustments, tax | 0 | 0 | 0 | 0 | $ 0 | |
| Unrealized (losses) gains on marketable securities, tax | 1,796 | 709 | 1,796 | 709 | 946 | $ (521) |
| Retirement plans prior service benefit, tax | (1,125) | (1,102) | (1,125) | (1,102) | $ (1,124) | $ (1,081) |
| Foreign Currency Translation Reclassification Adjustments | ||||||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
| Other comprehensive income (loss) before reclassifications, tax | 0 | 0 | ||||
| Amounts reclassified from accumulated other comprehensive income (loss), tax | 0 | 0 | ||||
| Other comprehensive income (loss), tax | 0 | 0 | ||||
| Unrealized (Losses) Gains on Marketable Securities | ||||||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
| Other comprehensive income (loss) before reclassifications, tax | 1,271 | 1,256 | ||||
| Amounts reclassified from accumulated other comprehensive income (loss), tax | (277) | (6) | (421) | (26) | ||
| Other comprehensive income (loss), tax | 850 | 1,230 | ||||
| Amortization of Prior Service Credit | ||||||
| Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||
| Other comprehensive income (loss) before reclassifications, tax | 0 | 0 | ||||
| Amounts reclassified from accumulated other comprehensive income (loss), tax | $ 0 | $ (11) | (1) | (21) | ||
| Other comprehensive income (loss), tax | $ (1) | $ (21) | ||||
Reclassifications Out of Accumulated Other Comprehensive Income to Statements of Operations (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
| Interest income (expense) | $ 983 | $ 27 | $ 1,499 | $ 97 |
| Amortization of Prior Service Credit | ||||
| Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
| Reclassifications, net of tax | 2 | 37 | 3 | 74 |
| Accumulated Other Comprehensive Income (Loss) | ||||
| Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
| Reclassifications, net of tax | $ 985 | $ 64 | $ 1,502 | $ 171 |
Reclassifications Out of Accumulated Other Comprehensive Income to Statements of Operations (Parenthetical) (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
| Reclassifications, tax | $ 277 | $ 17 | $ 422 | $ 47 |
| Unrealized (Losses) Gains on Marketable Securities | ||||
| Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
| Reclassifications, tax | 277 | 6 | 421 | 26 |
| Amortization of Prior Service Credit | ||||
| Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
| Reclassifications, tax | $ 0 | $ 11 | $ 1 | $ 21 |
Goodwill and Acquired Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Goodwill and Intangible Assets Disclosure [Line Items] | ||||
| Acquired intangible assets amortization | $ 8,941 | $ 10,083 | $ 18,832 | $ 20,717 |
Changes in Carrying Amount of Goodwill by Segment (Detail) - USD ($) $ in Thousands |
12 Months Ended | |
|---|---|---|
Dec. 31, 2019 |
Jun. 28, 2020 |
|
| Goodwill [Line Items] | ||
| Foreign currency translation adjustment | $ 5,721 | |
| Goodwill | 1,178,997 | $ 1,184,569 |
| Accumulated impairment losses | (762,566) | (762,566) |
| Goodwill | 416,431 | 422,003 |
| Autoguide LLC | ||
| Goodwill [Line Items] | ||
| Goodwill acquisition | (149) | |
| Industrial Automation | ||
| Goodwill [Line Items] | ||
| Foreign currency translation adjustment | 5,671 | |
| Goodwill | 396,483 | 402,005 |
| Goodwill | 396,483 | 402,005 |
| Industrial Automation | Autoguide LLC | ||
| Goodwill [Line Items] | ||
| Goodwill acquisition | (149) | |
| Wireless Test | ||
| Goodwill [Line Items] | ||
| Goodwill | 361,819 | 361,819 |
| Accumulated impairment losses | (353,843) | (353,843) |
| Goodwill | 7,976 | 7,976 |
| Semiconductor Test | ||
| Goodwill [Line Items] | ||
| Foreign currency translation adjustment | 50 | |
| Goodwill | 261,996 | 262,046 |
| Accumulated impairment losses | (260,540) | (260,540) |
| Goodwill | 1,456 | 1,506 |
| System Test | ||
| Goodwill [Line Items] | ||
| Goodwill | 158,699 | 158,699 |
| Accumulated impairment losses | (148,183) | (148,183) |
| Goodwill | $ 10,516 | $ 10,516 |
Schedule of Amortizable Intangible Assets (Detail) - USD ($) $ in Thousands |
6 Months Ended | 12 Months Ended |
|---|---|---|
Jun. 28, 2020 |
Dec. 31, 2019 |
|
| Finite-Lived Intangible Assets | ||
| Gross Carrying Amount | $ 507,576 | $ 507,836 |
| Accumulated Amortization | (393,581) | (375,008) |
| Foreign Currency Translation Adjustment | (6,432) | (7,348) |
| Net Carrying Amount | 107,563 | 125,480 |
| Developed technology | ||
| Finite-Lived Intangible Assets | ||
| Gross Carrying Amount | 361,787 | 361,787 |
| Accumulated Amortization | (292,394) | (279,000) |
| Foreign Currency Translation Adjustment | (5,095) | (5,709) |
| Net Carrying Amount | 64,298 | 77,078 |
| Customer Relationships | ||
| Finite-Lived Intangible Assets | ||
| Gross Carrying Amount | 75,669 | 75,669 |
| Accumulated Amortization | (61,730) | (59,077) |
| Foreign Currency Translation Adjustment | (295) | (455) |
| Net Carrying Amount | 13,644 | 16,137 |
| Trademarks and tradenames | ||
| Finite-Lived Intangible Assets | ||
| Gross Carrying Amount | 70,120 | 70,120 |
| Accumulated Amortization | (39,457) | (36,671) |
| Foreign Currency Translation Adjustment | (1,042) | (1,184) |
| Net Carrying Amount | $ 29,621 | 32,265 |
| Backlog | ||
| Finite-Lived Intangible Assets | ||
| Gross Carrying Amount | 260 | |
| Accumulated Amortization | $ (260) |
Schedule of Estimated Intangible Asset Amortization Expense (Detail) $ in Thousands |
Jun. 28, 2020
USD ($)
|
|---|---|
| Finite-Lived Intangible Assets | |
| 2020 (remainder) | $ 11,721 |
| 2021 | 20,804 |
| 2022 | 19,911 |
| 2023 | 19,430 |
| 2024 | 19,123 |
| Thereafter | $ 16,574 |
Computation of Basic and Diluted Net Income Per Common Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | ||||||
|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|||||
| Net Income Loss Per Common Share | ||||||||
| Net income for basic and diluted net income per share | $ 188,908 | $ 97,397 | $ 365,098 | $ 206,535 | ||||
| Weighted average common shares-basic | 165,789 | 171,241 | 166,189 | 172,387 | ||||
| Incremental shares from assumed conversion of convertible notes | [1] | 7,599 | 4,364 | 7,466 | 3,275 | |||
| Convertible note hedge warrant shares | [2] | 5,824 | 1,778 | 5,658 | 889 | |||
| Employee stock purchase plan | 0 | 22 | 13 | 16 | ||||
| Dilutive potential common shares | 14,468 | 7,349 | 14,308 | 5,394 | ||||
| Weighted average common shares-diluted | 180,257 | 178,590 | 180,497 | 177,781 | ||||
| Net income per common share-basic | $ 1.14 | $ 0.57 | $ 2.20 | $ 1.20 | ||||
| Net income per common share-diluted | $ 1.05 | $ 0.55 | $ 2.02 | $ 1.16 | ||||
| Restricted Stock Units | ||||||||
| Net Income Loss Per Common Share | ||||||||
| Incremental shares attributable to share based payment arrangements | 913 | 1,002 | 1,038 | 1,012 | ||||
| Stock Options | ||||||||
| Net Income Loss Per Common Share | ||||||||
| Incremental shares attributable to share based payment arrangements | 132 | 183 | 133 | 202 | ||||
| ||||||||
Computation of Basic and Diluted Net Income Per Common Share (Parenthetical) (Detail) shares in Millions |
3 Months Ended |
|---|---|
|
Jun. 28, 2020
$ / shares
shares
| |
| Convertible Notes | |
| Net Income Loss Per Common Share | |
| Initial debt conversion price | $ / shares | $ 31.59 |
| Shares that would be issued upon conversion | shares | 14.6 |
| Convertible Notes Hedge Warrant | |
| Net Income Loss Per Common Share | |
| Initial debt conversion price | $ / shares | $ 39.64 |
| Shares that would be issued upon conversion | shares | 14.6 |
Net Income Per Common Share - Additional Information (Detail) - shares shares in Millions |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Net Income Loss Per Common Share | ||||
| Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0.1 | 0.2 | 0.2 | 0.4 |
Restructuring and Other - Additional Information (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Restructuring Cost and Reserve | ||||
| Contingent consideration adjustment | $ 19,239 | $ (8,701) | ||
| Semiconductor Test | ||||
| Restructuring Cost and Reserve | ||||
| Contingent consideration adjustment | $ (11,700) | (8,700) | ||
| Severance benefit and charges | $ 800 | 800 | 800 | 1,800 |
| Acquisition related costs | 3,100 | 4,500 | ||
| Impairment charges fixed assets | 4,000 | 500 | 1,600 | |
| Contract termination settlement fee | 4,000 | $ 0 | 4,000 | 0 |
| Restructuring and other | 1,100 | |||
| Universal Robots (UR) | ||||
| Restructuring Cost and Reserve | ||||
| Contingent consideration adjustment | $ 3,800 | |||
| TER Corporate And Eliminations | Universal Robots (UR) | ||||
| Restructuring Cost and Reserve | ||||
| Contingent consideration adjustment | 29,900 | 22,800 | ||
| TER Corporate And Eliminations | Mobile Industrial Robots (MiR) | ||||
| Restructuring Cost and Reserve | ||||
| Contingent consideration adjustment | $ (600) | $ (3,600) | ||
Retirement Plans - Additional Information (Detail) $ in Millions |
6 Months Ended |
|---|---|
|
Jun. 28, 2020
USD ($)
| |
| United States Plans | |
| Defined Benefit Plan Disclosure | |
| Contribution to defined benefit pension plans | $ 1.4 |
| U.S. Supplemental Executive Defined Benefit Pension Plan | |
| Defined Benefit Plan Disclosure | |
| Contribution to defined benefit pension plans | $ 0.4 |
Schedule of Net Periodic Pension and Postretirement (income) Cost (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Defined Benefit Plan Disclosure | ||||
| Net actuarial (gain) loss | $ (99) | $ 448 | ||
| UNITED STATES | ||||
| Defined Benefit Plan Disclosure | ||||
| Service cost | $ 433 | $ 399 | 866 | 804 |
| Interest cost | 1,523 | 1,799 | 3,045 | 3,595 |
| Expected return on plan assets | (1,232) | (1,510) | (2,464) | (3,021) |
| Net actuarial (gain) loss | 180 | 252 | 180 | 252 |
| Total net periodic pension (credit) cost | 904 | 940 | 1,627 | 1,630 |
| Foreign Pension Plans, Defined Benefit | ||||
| Defined Benefit Plan Disclosure | ||||
| Service cost | 208 | 192 | 417 | 381 |
| Interest cost | 119 | 176 | 238 | 349 |
| Expected return on plan assets | (15) | (7) | (31) | (14) |
| Total net periodic pension (credit) cost | 312 | 361 | 624 | 716 |
| Postretirement Benefit Plans | ||||
| Defined Benefit Plan Disclosure | ||||
| Service cost | 17 | 11 | 28 | 20 |
| Interest cost | 58 | 88 | 120 | 173 |
| Amortization of prior service cost | (2) | (48) | (4) | (95) |
| Net actuarial (gain) loss | (279) | 196 | (279) | 196 |
| Total net periodic pension (credit) cost | $ (206) | $ 247 | $ (135) | $ 294 |
Commitments and Contingencies - Additional Information (Detail) $ in Millions |
Jun. 28, 2020
USD ($)
|
|---|---|
| Purchase Commitment, Excluding Long-term Commitment | |
| Aggregate purchase commitments | $ 544.2 |
| Purchase commitments less than one year | $ 534.3 |
Schedule of Reconciliation of Effective Tax Rate (Detail) |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Income Tax Disclosure [Line Items] | ||||
| US statutory federal tax rate | 21.00% | 21.00% | 21.00% | 21.00% |
| Foreign taxes | (4.60%) | (5.80%) | (5.10%) | (4.70%) |
| Discrete benefit related to release of reserves for uncertain tax positions | 0.10% | (0.30%) | 0.10% | (11.50%) |
| International provisions of the U.S. Tax Cuts and Jobs Act of 2017 | (1.90%) | 1.90% | (1.10%) | 0.80% |
| Tax credits | (1.40%) | (2.10%) | (1.60%) | (2.50%) |
| Discrete benefit related to equity compensation | (0.10%) | (0.50%) | (2.00%) | (2.00%) |
| Discrete expense related to U.S. transition tax | 0.00% | 11.20% | 0.00% | 6.50% |
| Other, net | 0.00% | 0.40% | 0.60% | 0.70% |
| Effective tax rate | 13.10% | 25.80% | 11.90% | 8.30% |
Income Taxes - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions |
6 Months Ended | ||
|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Dec. 31, 2019 |
|
| Income Taxes [Line Items] | |||
| Tax savings due to the tax holiday | $ 13.6 | $ 7.0 | |
| Tax savings due to the tax holiday, per share | $ 0.08 | $ 0.04 | |
| Reduction in un recognized tax benefits | $ 1.1 | ||
| Accrued interest and penalties | 1.7 | $ 1.4 | |
| Interest and penalties related to income tax, expense (benefit) | 0.3 | $ 0.1 | |
| Uncertain tax positions | 21.4 | $ 21.2 | |
| Net increase in reserves for uncertain tax positions | $ 0.2 | ||
Segment Information - Additional Information (Detail) |
6 Months Ended |
|---|---|
|
Jun. 28, 2020
Segments
| |
| Segment Reporting Information [Line Items] | |
| Number of Operating Segments | 4 |
Schedule of Segment Information (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
Dec. 31, 2019 |
|||||||||
| Segment Reporting Information [Line Items] | |||||||||||||
| Revenues | $ 838,661 | [1] | $ 564,178 | [1] | $ 1,543,016 | [2] | $ 1,058,277 | [2] | |||||
| Income (loss) before income taxes | 217,291 | 131,177 | 414,359 | 225,156 | |||||||||
| Total assets | 3,249,189 | 2,671,514 | 3,249,189 | 2,671,514 | $ 2,787,014 | ||||||||
| Semiconductor Test | |||||||||||||
| Segment Reporting Information [Line Items] | |||||||||||||
| Revenues | 659,147 | 374,898 | 1,143,636 | 715,751 | |||||||||
| Income (loss) before income taxes | 228,787 | 91,355 | 382,603 | 174,404 | |||||||||
| Total assets | 1,192,355 | 745,073 | 1,192,355 | 745,073 | |||||||||
| System Test | |||||||||||||
| Segment Reporting Information [Line Items] | |||||||||||||
| Revenues | 71,806 | [1] | 73,407 | [1] | 187,882 | [2] | 131,627 | [2] | |||||
| Income (loss) before income taxes | 19,193 | 23,535 | 67,600 | 38,875 | |||||||||
| Total assets | 126,164 | 123,460 | 126,164 | 123,460 | |||||||||
| Industrial Automation | |||||||||||||
| Segment Reporting Information [Line Items] | |||||||||||||
| Revenues | 58,776 | 74,726 | 119,081 | 140,862 | |||||||||
| Income (loss) before income taxes | (11,403) | (3,730) | (26,738) | (9,025) | |||||||||
| Total assets | 662,103 | 601,676 | 662,103 | 601,676 | |||||||||
| Wireless Test | |||||||||||||
| Segment Reporting Information [Line Items] | |||||||||||||
| Revenues | 49,185 | [1] | 41,236 | [1] | 92,670 | [2] | 70,277 | [2] | |||||
| Income (loss) before income taxes | 14,482 | 10,930 | 24,702 | 14,558 | |||||||||
| Total assets | 108,066 | 93,232 | 108,066 | 93,232 | |||||||||
| Corporate And Others [Member] | |||||||||||||
| Segment Reporting Information [Line Items] | |||||||||||||
| Revenues | (253) | (89) | (253) | (240) | |||||||||
| Income (loss) before income taxes | (33,768) | 9,087 | (33,808) | 6,344 | |||||||||
| Total assets | $ 1,160,501 | $ 1,108,073 | $ 1,160,501 | $ 1,108,073 | |||||||||
| |||||||||||||
Schedule of Segment Reporting Information by Segment Charges (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
|
| Segment Reporting Information [Line Items] | ||||
| Restructuring and other-employee severance | $ 37,222 | $ (10,404) | $ 29,616 | $ (5,292) |
| Contingent consideration adjustment | 19,239 | (8,701) | ||
| Universal Robots (UR) | ||||
| Segment Reporting Information [Line Items] | ||||
| Contingent consideration adjustment | 3,800 | |||
| Semiconductor Test | ||||
| Segment Reporting Information [Line Items] | ||||
| Restructuring and other | 1,100 | |||
| Cost of revenues-inventory charge | 3,799 | 2,278 | 6,825 | 3,452 |
| Restructuring and other-employee severance | 0 | 0 | 0 | 924 |
| Contingent consideration adjustment | (11,700) | (8,700) | ||
| Contract termination settlement charge | 4,000 | 0 | 4,000 | 0 |
| System Test | ||||
| Segment Reporting Information [Line Items] | ||||
| Cost of revenues-inventory charge | 0 | 0 | 0 | 763 |
| Industrial Automation | ||||
| Segment Reporting Information [Line Items] | ||||
| Restructuring and other | 0 | 0 | 790 | 1,695 |
| Wireless Test | ||||
| Segment Reporting Information [Line Items] | ||||
| Cost of revenues-inventory charge | 1,582 | 829 | 2,155 | 1,168 |
| Corporate And Eliminations | Restructuring and other | ||||
| Segment Reporting Information [Line Items] | ||||
| Restructuring and other | 750 | 0 | 750 | 0 |
| Corporate And Eliminations | Universal Robots (UR) | Restructuring and other | ||||
| Segment Reporting Information [Line Items] | ||||
| Contingent consideration adjustment | 2,974 | 0 | 3,715 | 0 |
| Corporate And Eliminations | Mobile Industrial Robots (MiR) | Restructuring and other | ||||
| Segment Reporting Information [Line Items] | ||||
| Contingent consideration adjustment | (668) | (11,671) | (3,546) | (8,668) |
| Corporate And Eliminations | AutoGuide [Member] | Restructuring and other | ||||
| Segment Reporting Information [Line Items] | ||||
| Contingent consideration adjustment | $ 29,927 | $ 0 | $ 22,785 | $ 0 |
Shareholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions |
3 Months Ended | 6 Months Ended | ||||||
|---|---|---|---|---|---|---|---|---|
Jun. 28, 2020 |
Jun. 30, 2019 |
Jun. 28, 2020 |
Jun. 30, 2019 |
May 31, 2020 |
Jan. 31, 2020 |
May 31, 2019 |
Jan. 31, 2019 |
|
| Cumulative repurchases, shares | 1.5 | 6.5 | ||||||
| Common stock average price | $ 58.33 | $ 38.20 | ||||||
| Dividends Payable, Amount Per Share | $ 0.10 | $ 0.10 | $ 0.09 | $ 0.09 | ||||
| Dividend payment | $ 16,600 | $ 15,400 | $ 33,266 | $ 31,019 | ||||
| Share Repurchase Program [Member] | ||||||||
| Cumulative repurchases, value | 88,500 | $ 247,200 | ||||||
| Maximum [Member] | ||||||||
| Stock repurchase program, authorized amount | $ 1,000,000 | $ 1,000,000 | ||||||