REVENUE RECOGNITION (Tables)

3 Months Ended

Mar. 31, 2018

Schedule of Estimated Revenue Expected to be Recognized in Future Related to Performance Obligations

The following table includes estimated revenue expected to be recognized in future periods related to performance obligations that are unsatisfied or partially unsatisfied at the end of the reporting period. The estimated revenues do not include amounts of royalties or unexercised contract renewals:

	Remainder of 2018		2019		2020		2021
License and related revenues	$	7,340	$	5,067	$	3,000	$	1,500

Summary of Disaggregated Revenue by Primary Geographical Market, Major Product Line and Timing

The following table provides information about disaggregated revenue by primary geographical market, major product line and timing of revenue recognition (in thousands):

	Three months ended March 31, 2018 (unaudited)
	Licensing and related revenues		Royalties		Total
Primary geographical markets
United States	$	1,360	$	347	$	1,707
Europe and Middle East		1,338		1,115		2,453
Asia Pacific		7,385		6,024		13,409
Total	$	10,083	$	7,486	$	17,569
Major product/service lines
DSP products (DSP cores and platforms)	$	7,375	$	6,878	$	14,253
Connectivity products (Bluetooth, Wi-Fi and SATA/SAS)		2,708		608		3,316
Total	$	10,083	$	7,486	$	17,569
Timing of revenue recognition
Products transferred at a point in time	$	7,524	$	7,486	$	15,010
Products and services transferred over time		2,559		—		2,559
Total	$	10,083	$	7,486	$	17,569

Summary of Trade Receivables, Contract Assets and Contract Liabilities from Contracts with Customers

The following table provides information about trade receivables, contract assets and contract liabilities from contracts with customers (in thousands):

	March 31, 2018 (unaudited)
Trade receivables	$	13,902
Accrued revenues (short-term contract assets)		2,455
Accrued revenues (royalties)		6,970
Deferred revenues (short-term contract liabilities)		4,973

ASU 2014-09

Schedule of Changes in Accumulated Balances of Other Comprehensive Income (Loss), Net of Taxes

In accordance with ASC 606, the disclosure of the impact of adoption to the Company’s condensed consolidated statements of income and balance sheets was as follows:

	Three months ended March 31, 2018 (unaudited)
	As reported			Balance without adopting ASC 606			Effect of change higher/(lower)
Revenues:
Licensing and related revenue	$	10,083		$	9,564		$	519
Royalties		7,486			9,968			(2,482	)
Total revenues		17,569			19,532			(1,963	)
Cost of revenues		1,972			1,972			—
Gross profit		15,597			17,560			(1,963	)
Operating expenses:
Sales and marketing		3,176			3,166			10
Other operating expenses		15,329			15,329			—
Total operating expenses		18,505			18,495			10
Operating income		(2,908	)		(935	)		(1,973	)
Financial income, net		927			927			—
Income (loss) before taxes on income		(1,981	)		(8	)		(1,973	)
Income taxes		201			464			(263	)
Net income (loss)	$	(2,182	)	$	(472	)	$	(1,710	)
Basic net income per share	$	(0.10	)	$	(0.02	)	$	(0.08	)
Diluted net income per share	$	(0.10	)	$	(0.02	)	$	(0.08	)
	March 31, 2018 (unaudited)
	As reported			Balance without adopting ASC 606			Effect of change higher/(lower)
Assets:
Trade receivables	$	13,902		$	13,856		$	46
Accrued revenues	$	9,425		$	2,314		$	7,111
Prepaid expenses and other current assets	$	4,136		$	4,531		$	(395	)
Liabilities:
Deferred revenues	$	4,973		$	5,056		$	(83	)
Stockholders’ Equity:
Retained earnings	$	60,204		$	53,359		$	6,845