Delaware | 04-2302115 |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
20 Sylvan Road, Woburn, Massachusetts | 01801 |
(Address of principal executive offices) | (Zip Code) |
Registrant’s telephone number, including area code: (781) 376-3000 |
Large Accelerated filer þ | Accelerated filer ¨ | Non-accelerated filer ¨ | Smaller reporting company ¨ | Emerging growth company ¨ |
Class | Outstanding as of January 30, 2019 | |||
Common Stock, par value $.25 per share | 174,064,672 |
PAGE NO. | |
Three Months Ended | |||||||
December 28, 2018 | December 29, 2017 | ||||||
Net revenue | $ | 972.0 | $ | 1,051.9 | |||
Cost of goods sold | 486.9 | 515.1 | |||||
Gross profit | 485.1 | 536.8 | |||||
Operating expenses: | |||||||
Research and development | 109.2 | 98.0 | |||||
Selling, general and administrative | 47.8 | 51.3 | |||||
Amortization of intangibles | 7.4 | 4.0 | |||||
Restructuring and other charges (benefits) | (0.2 | ) | — | ||||
Total operating expenses | 164.2 | 153.3 | |||||
Operating income | 320.9 | 383.5 | |||||
Other income, net | 2.9 | 2.1 | |||||
Income before income taxes | 323.8 | 385.6 | |||||
Provision for income taxes | 38.9 | 315.2 | |||||
Net income | $ | 284.9 | $ | 70.4 | |||
Earnings per share: | |||||||
Basic | $ | 1.61 | $ | 0.38 | |||
Diluted | $ | 1.60 | $ | 0.38 | |||
Weighted average shares: | |||||||
Basic | 176.6 | 183.1 | |||||
Diluted | 177.7 | 185.5 | |||||
Cash dividends declared and paid per share | $ | 0.38 | $ | 0.32 |
Three Months Ended | |||||||
December 28, 2018 | December 29, 2017 | ||||||
Net income | $ | 284.9 | $ | 70.4 | |||
Other comprehensive income | |||||||
Fair value of investments | 0.1 | — | |||||
Comprehensive income | $ | 285.0 | $ | 70.4 |
As of | |||||||
December 28, 2018 | September 28, 2018 | ||||||
ASSETS | (unaudited) | ||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 1,085.7 | $ | 733.3 | |||
Marketable securities | 13.4 | 294.1 | |||||
Receivables, net of allowance for doubtful accounts of $0.7 and $0.6, respectively | 524.4 | 655.8 | |||||
Inventory | 493.1 | 490.2 | |||||
Other current assets | 91.9 | 88.8 | |||||
Total current assets | 2,208.5 | 2,262.2 | |||||
Property, plant and equipment, net | 1,140.6 | 1,140.9 | |||||
Goodwill | 1,189.8 | 1,189.8 | |||||
Intangible assets, net | 130.1 | 143.7 | |||||
Deferred tax assets, net | 34.7 | 36.5 | |||||
Marketable securities | 2.7 | 22.8 | |||||
Other assets | 32.5 | 33.0 | |||||
Total assets | $ | 4,738.9 | $ | 4,828.9 | |||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 156.5 | $ | 229.9 | |||
Accrued compensation and benefits | 70.8 | 85.2 | |||||
Other current liabilities | 130.0 | 74.6 | |||||
Total current liabilities | 357.3 | 389.7 | |||||
Long-term tax liabilities | 313.5 | 310.5 | |||||
Other long-term liabilities | 29.8 | 31.7 | |||||
Total liabilities | 700.6 | 731.9 | |||||
Commitments and contingencies (Note 9) | |||||||
Stockholders’ equity: | |||||||
Preferred stock, no par value: 25.0 shares authorized, no shares issued | — | — | |||||
Common stock, $0.25 par value: 525.0 shares authorized; 229.3 shares issued and 174.1 shares outstanding at December 28, 2018, and 228.4 shares issued and 177.4 shares outstanding at September 28, 2018 | 43.5 | 44.4 | |||||
Additional paid-in capital | 3,088.4 | 3,061.0 | |||||
Treasury stock, at cost | (3,036.1 | ) | (2,732.5 | ) | |||
Retained earnings | 3,950.7 | 3,732.9 | |||||
Accumulated other comprehensive loss | (8.2 | ) | (8.8 | ) | |||
Total stockholders’ equity | 4,038.3 | 4,097.0 | |||||
Total liabilities and stockholders’ equity | $ | 4,738.9 | $ | 4,828.9 |
Shares of common stock | Par value of common stock | Shares of treasury stock | Value of treasury stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive loss | Total stockholders’ equity | ||||||||||||||||||||||
Balance at September 28, 2018 | 177.4 | $ | 44.4 | 51.0 | $ | (2,732.5 | ) | $ | 3,061.0 | $ | 3,732.9 | $ | (8.8 | ) | $ | 4,097.0 | |||||||||||||
Net income | — | — | — | — | — | 284.9 | — | 284.9 | |||||||||||||||||||||
Exercise and settlement of share based awards and related tax benefit, net of shares withheld for taxes | 0.7 | 0.1 | 0.2 | (19.6 | ) | 5.1 | — | — | (14.4 | ) | |||||||||||||||||||
Share-based compensation expense | — | — | — | — | 21.3 | — | — | 21.3 | |||||||||||||||||||||
Share repurchase program | (4.0 | ) | (1.0 | ) | 4.0 | (284.0 | ) | 1.0 | — | — | (284.0 | ) | |||||||||||||||||
Dividends declared | — | — | — | — | — | (67.1 | ) | — | (67.1 | ) | |||||||||||||||||||
Other comprehensive loss | — | — | — | — | — | — | 0.6 | 0.6 | |||||||||||||||||||||
Balance at December 28, 2018 | 174.1 | $ | 43.5 | 55.2 | $ | (3,036.1 | ) | $ | 3,088.4 | $ | 3,950.7 | $ | (8.2 | ) | $ | 4,038.3 | |||||||||||||
Balance at September 29, 2017 | 183.1 | $ | 45.8 | 42.9 | $ | (1,925.0 | ) | $ | 2,893.8 | $ | 3,059.6 | $ | (8.5 | ) | $ | 4,065.7 | |||||||||||||
Net income | — | — | — | — | — | 70.4 | — | 70.4 | |||||||||||||||||||||
Exercise and settlement of share based awards and related tax benefit, net of shares withheld for taxes | 0.9 | 0.2 | 0.4 | (44.7 | ) | 14.7 | — | — | (29.8 | ) | |||||||||||||||||||
Share-based compensation expense | — | — | — | — | 27.4 | (1.9 | ) | — | 25.5 | ||||||||||||||||||||
Share repurchase program | (1.6 | ) | (0.4 | ) | 1.6 | (172.5 | ) | 0.4 | — | — | (172.5 | ) | |||||||||||||||||
Dividends declared | — | — | — | — | — | (58.8 | ) | — | (58.8 | ) | |||||||||||||||||||
Other comprehensive income | — | — | — | — | — | — | — | — | |||||||||||||||||||||
Balance at December 29, 2017 | 182.4 | $ | 45.6 | 44.9 | $ | (2,142.2 | ) | $ | 2,936.3 | $ | 3,069.3 | $ | (8.5 | ) | $ | 3,900.5 |
Three Months Ended | |||||||
December 28, 2018 | December 29, 2017 | ||||||
Cash flows from operating activities: | |||||||
Net income | $ | 284.9 | $ | 70.4 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
Share-based compensation | 20.8 | 25.8 | |||||
Depreciation | 77.5 | 63.6 | |||||
Amortization of intangible assets, including inventory step-up | 15.5 | 5.5 | |||||
Deferred income taxes | 1.8 | 21.4 | |||||
Other, net | 1.0 | — | |||||
Changes in assets and liabilities: | |||||||
Receivables, net | 131.4 | (4.1 | ) | ||||
Inventory | (5.0 | ) | 34.5 | ||||
Other current and long-term assets | (2.6 | ) | (20.6 | ) | |||
Accounts payable | (22.2 | ) | (105.4 | ) | |||
Other current and long-term liabilities | 45.9 | 269.7 | |||||
Net cash provided by operating activities | 549.0 | 360.8 | |||||
Cash flows from investing activities: | |||||||
Capital expenditures | (129.5 | ) | (28.2 | ) | |||
Purchased intangibles | — | (6.0 | ) | ||||
Purchases of marketable securities | (2.2 | ) | — | ||||
Sales and maturities of marketable securities | 303.2 | — | |||||
Net cash provided by (used in) investing activities | 171.5 | (34.2 | ) | ||||
Cash flows from financing activities: | |||||||
Repurchase of common stock - payroll tax withholdings on equity awards | (19.4 | ) | (44.7 | ) | |||
Repurchase of common stock - stock repurchase program | (284.0 | ) | (172.5 | ) | |||
Dividends paid | (67.1 | ) | (59.1 | ) | |||
Net proceeds from exercise of stock options | 2.4 | 14.4 | |||||
Net cash used in financing activities | (368.1 | ) | (261.9 | ) | |||
Net increase in cash and cash equivalents | 352.4 | 64.7 | |||||
Cash and cash equivalents at beginning of period | 733.3 | 1,616.8 | |||||
Cash and cash equivalents at end of period | $ | 1,085.7 | $ | 1,681.5 | |||
Supplemental cash flow disclosures: | |||||||
Income taxes paid | $ | 1.6 | $ | 7.2 |
Three Months Ended | |||||||
December 28, 2018 | December 29, 2017 | ||||||
United States | $ | 600.1 | $ | 626.8 | |||
China | 194.5 | 199.6 | |||||
South Korea | 99.1 | 118.3 | |||||
Taiwan | 40.7 | 72.3 | |||||
Europe, Middle East and Africa | 32.7 | 29.4 | |||||
Other Asia-Pacific | 4.9 | 5.5 | |||||
Total | $ | 972.0 | $ | 1,051.9 |
Current | Noncurrent | ||||||||||||||
Available for sale: | December 28, 2018 | September 28, 2018 | December 28, 2018 | September 28, 2018 | |||||||||||
U.S. Treasury and government | $ | 7.9 | $ | 65.0 | $ | — | $ | — | |||||||
Corporate bonds and notes | 1.4 | 204.1 | — | 12.0 | |||||||||||
Municipal bonds | 2.2 | 2.0 | 2.7 | 0.8 | |||||||||||
Other government | 1.9 | 23.0 | — | 10.0 | |||||||||||
Total | $ | 13.4 | $ | 294.1 | $ | 2.7 | $ | 22.8 |
• | Level 1 - Quoted prices in active markets for identical assets or liabilities. |
• | Level 2 - Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets with insufficient volume or infrequent transactions (less active markets), or model-driven valuations in which all significant inputs are observable or can be derived principally from, or corroborated with, observable market data. |
• | Level 3 - Fair value is derived from valuation techniques in which one or more significant inputs are unobservable, including assumptions and judgments made by the Company. |
As of December 28, 2018 | As of September 28, 2018 | ||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements | ||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||
Cash and cash equivalents* | $ | 1,085.7 | $ | 1,084.7 | $ | 1.0 | $ | — | $ | 79.3 | $ | 29.7 | $ | 49.6 | $ | — | |||||||||||||||
U.S. Treasury and government securities | 8.0 | — | 8.0 | — | 65.0 | 15.0 | 50.0 | — | |||||||||||||||||||||||
Corporate bonds and notes | 1.4 | — | 1.4 | — | 216.0 | — | 216.0 | — | |||||||||||||||||||||||
Municipal bonds | 4.8 | — | 4.8 | — | 2.8 | — | 2.8 | — | |||||||||||||||||||||||
Other government securities | 1.9 | — | 1.9 | — | 33.1 | — | 33.1 | — | |||||||||||||||||||||||
Total | $ | 1,101.8 | $ | 1,084.7 | $ | 17.1 | $ | — | $ | 396.2 | $ | 44.7 | $ | 351.5 | $ | — | |||||||||||||||
Liabilities | |||||||||||||||||||||||||||||||
Contingent consideration | $ | 3.1 | $ | — | $ | — | $ | 3.1 | $ | 3.1 | $ | — | $ | — | $ | 3.1 | |||||||||||||||
Total | $ | 3.1 | $ | — | $ | — | $ | 3.1 | $ | 3.1 | $ | — | $ | — | $ | 3.1 |
As of | |||||||
December 28, 2018 | September 28, 2018 | ||||||
Raw materials | $ | 21.5 | $ | 20.2 | |||
Work-in-process | 301.5 | 340.7 | |||||
Finished goods | 162.5 | 124.8 | |||||
Finished goods held on consignment by customers | 7.6 | 4.5 | |||||
Total inventory | $ | 493.1 | $ | 490.2 |
As of | |||||||
December 28, 2018 | September 28, 2018 | ||||||
Land and improvements | $ | 11.7 | $ | 11.6 | |||
Buildings and improvements | 258.7 | 238.0 | |||||
Furniture and fixtures | 31.8 | 31.5 | |||||
Machinery and equipment | 2,151.6 | 2,089.6 | |||||
Construction in progress | 163.3 | 179.0 | |||||
Total property, plant and equipment, gross | 2,617.1 | 2,549.7 | |||||
Accumulated depreciation | (1,476.5 | ) | (1,408.8 | ) | |||
Total property, plant and equipment, net | $ | 1,140.6 | $ | 1,140.9 |
As of | As of | |||||||||||||||||||||||
Weighted Average Amortization Period (Years) | December 28, 2018 | September 28, 2018 | ||||||||||||||||||||||
Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | |||||||||||||||||||
Customer relationships | 3.7 | $ | 28.7 | $ | (14.9 | ) | $ | 13.8 | 31.7 | (13.2 | ) | 18.5 | ||||||||||||
Developed technology and other | 5.3 | 89.9 | (30.8 | ) | 59.1 | 89.9 | (23.5 | ) | 66.4 | |||||||||||||||
Trademarks | 3.0 | 1.6 | (0.9 | ) | 0.7 | 1.6 | (0.8 | ) | 0.8 | |||||||||||||||
Capitalized software | 3.0 | 18.0 | (7.5 | ) | 10.5 | 18.0 | (6.0 | ) | 12.0 | |||||||||||||||
IPR&D | 46.0 | — | 46.0 | 46.0 | — | 46.0 | ||||||||||||||||||
Total intangible assets | $ | 184.2 | $ | (54.1 | ) | $ | 130.1 | $ | 187.2 | $ | (43.5 | ) | $ | 143.7 |
Remaining 2019 | 2020 | 2021 | 2022 | 2023 | Thereafter | ||||||||||||||||||
Amortization expense, cost of goods sold | $ | 18.1 | $ | 21.9 | $ | 0.1 | $ | 0.1 | $ | 0.1 | $ | 1.9 | |||||||||||
Amortization expense, operating expense | 15.7 | 12.4 | 9.0 | 1.0 | 1.0 | 2.8 | |||||||||||||||||
Total amortization expense | $ | 33.8 | $ | 34.3 | $ | 9.1 | $ | 1.1 | $ | 1.1 | $ | 4.7 |
Three Months Ended | |||||||
December 28, 2018 | December 29, 2017 | ||||||
United States income taxes | $ | 29.5 | $ | 304.9 | |||
Foreign income taxes | 9.4 | 10.3 | |||||
Provision for income taxes | $ | 38.9 | $ | 315.2 | |||
Effective tax rate | 12.0 | % | 81.7 | % |
Three Months Ended | |||||||
December 28, 2018 | December 29, 2017 | ||||||
Cost of goods sold | $ | 3.6 | $ | 4.1 | |||
Research and development | 12.5 | 11.2 | |||||
Selling, general and administrative | 4.7 | 10.5 | |||||
Total share-based compensation | $ | 20.8 | $ | 25.8 |
Three Months Ended | |||||||
December 28, 2018 | December 29, 2017 | ||||||
Net income | $ | 284.9 | $ | 70.4 | |||
Weighted average shares outstanding – basic | 176.6 | 183.1 | |||||
Dilutive effect of equity based awards | 1.1 | 2.4 | |||||
Weighted average shares outstanding – diluted | 177.7 | 185.5 | |||||
Net income per share – basic | $ | 1.61 | $ | 0.38 | |||
Net income per share – diluted | $ | 1.60 | $ | 0.38 | |||
Anti-dilutive common stock equivalents | 1.7 | 0.4 |
Three Months Ended | |||||
December 28, 2018 | December 29, 2017 | ||||
Net revenue | 100.0 | % | 100.0 | % | |
Cost of goods sold | 50.1 | 49.0 | |||
Gross profit | 49.9 | 51.0 | |||
Operating expenses: | |||||
Research and development | 11.2 | 9.3 | |||
Selling, general and administrative | 4.9 | 4.9 | |||
Amortization of intangibles | 0.8 | 0.4 | |||
Total operating expenses | 16.9 | 14.6 | |||
Operating income | 33.0 | 36.4 | |||
Other income, net | 0.3 | 0.2 | |||
Income before income taxes | 33.3 | 36.6 | |||
Provision for income taxes | 4.0 | 30.0 | |||
Net income | 29.3 | % | 6.6 | % |
• | Net revenue decreased by 7.6% to $972.0 million for the three months ended December 28, 2018, as compared with the corresponding period in fiscal 2018. This decrease in revenue was primarily driven by weakness in smartphone demand, partially offset by increasing radio frequency (“RF”) content per smartphone. |
• | Our ending cash, cash equivalents and marketable securities balance increased approximately 4.9% to $1,101.8 million as of December 28, 2018, from $1,050.2 million as of September 28, 2018. This increase in cash, cash equivalents and marketable securities was primarily the result of cash generated from operations of $549.0 million, partially offset by the repurchase of 4.0 million shares of common stock for $284.0 million, capital expenditures of $129.5 million, and dividend payments of $67.1 million during the three months ended December 28, 2018. |
Three Months Ended | |||||||
December 28, 2018 | Change | December 29, 2017 | |||||
(dollars in millions) | |||||||
Net revenue | $ | 972.0 | (7.6)% | $ | 1,051.9 |
Three Months Ended | |||||||
December 28, 2018 | Change | December 29, 2017 | |||||
(dollars in millions) | |||||||
Gross profit | $ | 485.1 | (9.6)% | $ | 536.8 | ||
% of net revenue | 49.9 | % | 51.0 | % |
Three Months Ended | |||||||
December 28, 2018 | Change | December 29, 2017 | |||||
(dollars in millions) | |||||||
Research and development | $ | 109.2 | 11.4% | $ | 98.0 | ||
% of net revenue | 11.2 | % | 9.3 | % |
Three Months Ended | |||||||
December 28, 2018 | Change | December 29, 2017 | |||||
(dollars in millions) | |||||||
Selling, general and administrative | $ | 47.8 | (6.8)% | $ | 51.3 | ||
% of net revenue | 4.9 | % | 4.9 | % |
Three Months Ended | |||||||
December 28, 2018 | Change | December 29, 2017 | |||||
(dollars in millions) | |||||||
Amortization of purchased intangibles | $ | 14.0 | 250.0% | $ | 4.0 | ||
Amortization of capitalized software | 1.5 | 100.0% | — | ||||
Total amortization of intangibles | $ | 15.5 | $ | 4.0 | |||
% of net revenue | 1.6 | % | 0.4 | % |
Three Months Ended | |||||||
December 28, 2018 | Change | December 29, 2017 | |||||
(dollars in millions) | |||||||
Provision for income taxes | $ | 38.9 | (87.7)% | $ | 315.2 | ||
% of net revenue | 4.0 | % | 30.0 | % |
Three Months Ended | |||||||
(in millions) | December 28, 2018 | December 29, 2017 | |||||
Cash and cash equivalents at beginning of period | $ | 733.3 | $ | 1,616.8 | |||
Net cash provided by operating activities | 549.0 | 360.8 | |||||
Net cash provided by (used in) investing activities | 171.5 | (34.2 | ) | ||||
Net cash used in financing activities | (368.1 | ) | (261.9 | ) | |||
Cash and cash equivalents at end of period | $ | 1,085.7 | $ | 1,681.5 |
• | $284.0 million related to our repurchase of 4.0 million shares of our common stock pursuant to the stock repurchase program approved by our Board of Directors on January 31, 2018; |
• | $67.1 million related to the payment of cash dividends on our common stock; and |
• | $19.4 million related to the minimum statutory payroll tax withholdings upon vesting of employee performance and restricted stock awards. |
Period | Total Number of Shares Purchased | Average Price Paid per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (1) | Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs (1) |
9/29/18-10/26/18 | 266(2) | $91.28 | — | $412.8 million |
10/27/18-11/23/18 | 1,503,214(3) | $72.67 | 1,250,000 | $323.3 million |
11/24/18-12/28/18 | 2,750,463(4) | $70.65 | 2,750,000 | $129.0 million |
Total | 4,253,943 | 4,000,000 |
Exhibit Number | Exhibit Description | Form | Incorporated by Reference | Filed Herewith | ||
File No. | Exhibit | Filing Date | ||||
10.1 | X | |||||
31.1 | X | |||||
31.2 | X | |||||
32.1 | X | |||||
32.2 | X | |||||
101.INS | XBRL Instance Document | X | ||||
101.SCH | XBRL Taxonomy Extension Schema Document | X | ||||
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document | X | ||||
101.DEF | XBRL Taxonomy Extension Definition Linkbase Document | X | ||||
101.LAB | XBRL Taxonomy Extension Label Linkbase Document | X | ||||
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document | X |
SKYWORKS SOLUTIONS, INC. | |||
Date: | February 5, 2019 | By: | /s/ Liam K. Griffin |
Liam K. Griffin | |||
President and Chief Executive Officer | |||
(Principal Executive Officer) | |||
By: | /s/ Kris Sennesael | ||
Kris Sennesael | |||
Senior Vice President and Chief Financial Officer | |||
(Principal Accounting and Financial Officer) |
1. | Purpose: The FY19 Executive Incentive Plan (the "FY19 Plan") is designed to reward key management for achieving certain financial and business objectives. |
2. | Plan Period: The FY19 Plan covers the period from September 29, 2018 through September 27, 2019. |
3. | Eligibility: This program applies to the Chief Executive Officer and his direct reporting senior executives. Other key employees may be added based upon the recommendation of the Chief Executive Officer and subsequent approval of the Compensation Committee. Those employees not covered by this plan may be eligible for other programs established by Skyworks. |
4. | Incentive Targets: Participants are eligible to earn a percentage of their base salary for attaining certain performance objectives. Nominal, target and stretch incentive awards have been established as follows (shown as a percentage of the participant’s base salary): |
Name | Incentive At Nominal | Incentive At Target | Incentive At Stretch |
CEO | 80% | 160% | 320% |
CFO | 50% | 100% | 200% |
Other SVP/VPs | 40% | 80% | 160% |
Special Participants | TBD | TBD | TBD |
5. | Metrics: The performance metrics for FY19 are as follows: |
Metric | Nominal | Target | Stretch |
Corporate Revenue ($M) | REDACTED | REDACTED | REDACTED |
Corporate Operating Income ($M)1 | REDACTED | REDACTED | REDACTED |
1 Non-GAAP operating income dollars after incentive |
Corporate | ||
Revenue | OI$ | |
All Executives | 50% | 50% |
6. | How the Plan Works: Upon completion of the Fiscal Year, the Chief Executive Officer will provide the Compensation Committee with recommendations for incentive award payments to the named participants of the plan. The Committee will review the recommendations and approve the actual amount to be paid to each participant. The Committee will rely upon the CEO for the appropriate distribution of the authorized incentive pool. All incentive award payments under the FY19 Plan, if earned, will be paid by March 15th of the calendar year following the end of the fiscal year in which the performance occurs. |
7. | Administration: Actual performance between the Nominal and Target metrics will be paid on a linear sliding scale beginning at the Nominal percentage and moving up to the Target percentage. The same linear scale will apply for performance between Target and Stretch metrics. In order to fund the incentive plans and insure the overall Company’s financial performance, the following terms apply. |
◦ | No incentive award will be paid unless the Company meets its threshold operating income goal (in dollars) after accounting for any incentive award payments. |
◦ | Incentive payments will be processed in a timely manner at the completion of the performance period. Skyworks’ CEO, subject to approval by the Compensation Committee, retains discretion to award below nominal or above Stretch and to modify all individual incentive payments to ensure equitable distribution of incentives; such modifications may include, but are not limited to, the delivery of equity or similar instruments in lieu of cash payments. |
◦ | Any payout shall be conditioned upon the Participant’s employment by the Company on the date of payment; provided, however, that the Compensation Committee may make exceptions to this requirement, in its sole discretion, including, without limitation, in the case of a participant’s termination of employment, retirement, death or disability. |
◦ | Any payments made under this Plan will be subject to the provisions of the compensation clawback policy that Skyworks implements to comply with applicable law following the SEC’s adoption of final rules related to compensation clawback policies as required by the Dodd-Frank Wall Street Reform and Consumer Protection Act. |
8. | Taxes: All awards are subject to federal, state, local and social security taxes. Payments under this Plan will not affect the base salary, which is used as the basis for Skyworks’ benefits program. |
1. | I have reviewed this quarterly report on Form 10-Q of Skyworks Solutions, 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 functions): |
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: | February 5, 2019 |
/s/ Liam K. Griffin | |
Liam K. Griffin | |
President and Chief Executive Officer |
1. | I have reviewed this quarterly report on Form 10-Q of Skyworks Solutions, 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 functions): |
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: | February 5, 2019 |
/s/ Kris Sennesael | |
Kris Sennesael | |
Senior Vice President and Chief Financial Officer |
(1) | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Liam K. Griffin |
Liam K. Griffin President and Chief Executive Officer |
February 5, 2019 |
(1) | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ Kris Sennesael |
Kris Sennesael Senior Vice President and Chief Financial Officer |
February 5, 2019 |
Document And Entity Information - shares |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Jan. 30, 2019 |
|
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Skyworks Solutions, Inc. | |
Entity Central Index Key | 0000004127 | |
Document Type | 10-Q | |
Document Period End Date | Dec. 28, 2018 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --09-27 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 174,064,672 |
Consolidated Statements Of Operations - USD ($) shares in Millions, $ in Millions |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Income Statement [Abstract] | ||
Net revenue | $ 972.0 | $ 1,051.9 |
Cost of goods sold | 486.9 | 515.1 |
Gross profit | 485.1 | 536.8 |
Operating expenses: | ||
Research and development | 109.2 | 98.0 |
Selling, general and administrative | 47.8 | 51.3 |
Amortization of intangibles | 7.4 | 4.0 |
Restructuring and other charges (benefits) | (0.2) | 0.0 |
Total operating expenses | 164.2 | 153.3 |
Operating income | 320.9 | 383.5 |
Other income, net | 2.9 | 2.1 |
Income before income taxes | 323.8 | 385.6 |
Provision for income taxes | 38.9 | 315.2 |
Net income | $ 284.9 | $ 70.4 |
Earnings per share: | ||
Basic (in dollars per share) | $ 1.61 | $ 0.38 |
Diluted (in dollars per share) | $ 1.60 | $ 0.38 |
Weighted average shares: | ||
Basic (in shares) | 176.6 | 183.1 |
Diluted (in shares) | 177.7 | 185.5 |
Cash dividends declared and paid per share (usd per share) | $ 0.38 | $ 0.32 |
Consolidated Statement of Comprehensive Income - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 284.9 | $ 70.4 |
Other comprehensive income | ||
Fair value of investments | 0.1 | 0.0 |
Comprehensive income | $ 285.0 | $ 70.4 |
Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Millions, $ in Millions |
Dec. 28, 2018 |
Sep. 28, 2018 |
---|---|---|
Current assets: | ||
Allowance for doubtful accounts | $ 0.7 | $ 0.6 |
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized | 25.0 | 25.0 |
Preferred stock, shares issued | 0.0 | 0.0 |
Common stock, par value (in dollars per share) | $ 0.25 | $ 0.25 |
Common stock, shares authorized | 525.0 | 525.0 |
Common stock, shares issued | 229.3 | 228.4 |
Common stock, shares outstanding | 174.1 | 177.4 |
Description Of Business and Basis Of Presentation |
3 Months Ended |
---|---|
Dec. 28, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION | DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION Skyworks Solutions, Inc., together with its consolidated subsidiaries (“Skyworks” or the “Company”), is empowering the wireless networking revolution. The Company’s analog semiconductors are connecting people, places, and things, spanning a number of new applications within the aerospace, automotive, broadband, cellular infrastructure, connected home, industrial, medical, military, smartphone, tablet and wearable markets. The accompanying unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial reporting. Certain information and footnote disclosures, normally included in annual consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), have been condensed or omitted pursuant to those rules and regulations. However, in management’s opinion, the financial information reflects all adjustments, including those of a normal recurring nature, necessary to present fairly the results of operations, financial position, and cash flows of the Company for the periods presented. The results of operations, financial position, and cash flows for the Company during the interim periods are not necessarily indicative of those expected for the full year. This information should be read in conjunction with the Company’s financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the fiscal year ended September 28, 2018, filed with the SEC on November 15, 2018, as amended by Amendment No. 1 to such Annual Report on Form 10-K, filed with the SEC on January 25, 2019 (the “2018 10-K”). The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, revenue, expenses, comprehensive income and accumulated other comprehensive loss that are reported in these unaudited consolidated financial statements and accompanying disclosures. The Company evaluates its estimates on an ongoing basis using historical experience and other factors, including the current economic environment. Significant judgment is required in determining the reserves for and fair value of items such as overall fair value assessments of assets and liabilities, particularly those classified as Level 2 or Level 3 in the fair value hierarchy, marketable securities, inventory, intangible assets associated with business combinations, share-based compensation, loss contingencies, and income taxes. In addition, significant judgment is required in determining whether a potential indicator of impairment of long-lived assets exists and in estimating future cash flows for any necessary impairment testing. Actual results could differ significantly from these estimates. The Company’s fiscal year ends on the Friday closest to September 30. Fiscal 2019 consists of 52 weeks and ends on September 27, 2019. Fiscal 2018 consisted of 52 weeks and ended on September 28, 2018. The first quarters ended for fiscal 2019 and 2018 each consisted of 13 weeks, and ended on December 28, 2018, and December 29, 2017, respectively. Recently Adopted Accounting Pronouncements In August 2015, the Financial Accounting Standards Board (“FASB”) deferred the effective date of Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers (Topic 606), (“ASU 2014-09”), which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and will supersede most current revenue recognition guidance. The Company adopted ASU 2014-09 at the beginning of the first quarter of fiscal 2019 using the modified retrospective approach, with the cumulative effect of applying the new guidance recognized as an adjustment to the opening retained earnings balance. The Company has determined the impact of the new revenue standard on its business processes, systems, controls and consolidated financial statements is not material. Refer to Note 2, Revenue Recognition, for additional information. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740), Intra-entity Transfers of an Asset Other than Inventory (“ASU 2016-16”). This ASU provides guidance that changes the accounting for income tax effects of intra-entity transfers of assets other than inventory. Under the new guidance, the selling (transferring) entity is required to recognize a current tax expense or benefit upon transfer of the asset. Similarly, the purchasing (receiving) entity is required to recognize a deferred tax asset or deferred tax liability, as well as the related deferred tax benefit or expense, upon receipt of the asset. The Company adopted ASU 2016-16 during the first quarter of fiscal 2019. The adoption of this standard did not have a material impact on the Company’s consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments (Topic 320), (“ASU 2016-13”). This ASU requires a financial asset (or a group of financial assets) measured on the basis of amortized cost to be presented at the net amount expected to be collected. This ASU requires that the income statement reflect the measurement of credit losses for newly recognized financial assets as well as the expected increases or decreases of expected credit losses that have taken place during the period. This ASU requires that credit losses of debt securities designated as available-for-sale be recorded through an allowance for credit losses. The ASU also limits the credit loss to the amount by which fair value is below amortized cost. The Company adopted ASU 2016-13 during the first quarter of fiscal 2019. The adoption of this standard did not have a material impact on the Company’s consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities (Topic 320), (“ASU 2016-01”). This ASU provides guidance for the recognition, measurement, presentation, and disclosure of financial assets and liabilities. The Company adopted ASU 2016-01 during the first quarter of fiscal 2019. The adoption of this standard did not have a material impact on the Company’s consolidated financial statements. Recently Issued Accounting Pronouncements In June 2018, the FASB issued ASU 2018-07, Compensation-Stock Compensation (Topic 718), Improvements to Nonemployee Share-based Payments (“ASU 2018-07”). This ASU expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. The effective date for the standard is for interim periods in fiscal years beginning after December 15, 2018, with early adoption permitted, but no earlier than the Company’s adoption date of Topic 606. The new guidance is required to be applied retrospectively with the cumulative effect recognized at the date of initial application. The Company will early adopt ASU 2018-07 during fiscal 2019 and does not expect it to have a material impact on the consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), (“ASU 2016-02”). This ASU requires lessees to reflect most leases on their balance sheet as assets and obligations. The effective date for the standard is for fiscal years beginning after December 15, 2018, with early adoption permitted. The standard is to be applied under the modified retrospective method, with elective reliefs, which requires application of the new guidance for all periods presented. The adoption of this ASU will result in an increase to the Company’s consolidated balance sheet for these assets and obligations. The Company is currently evaluating the effect that ASU 2016-02 will have on the consolidated financial statements and related disclosures. Supplemental Cash Flow Information At December 28, 2018, the Company had $13.7 million accrued to other long-term liabilities for capital equipment, and $43.0 million accrued to accounts payable for capital equipment. At September 28, 2018, the Company had $13.9 million accrued to other long-term liabilities for capital equipment, and $94.1 million accrued to accounts payable for capital equipment. These amounts accrued at December 28, 2018, and September 28, 2018, for capital equipment purchases have been excluded from the consolidated statements of cash flows for the three months ended December 28, 2018, and September 28, 2018, respectively, and are expected to be paid in subsequent periods. |
Marketable Securities |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
MARKETABLE SECURITIES | . MARKETABLE SECURITIES The Company’s portfolio of available-for-sale marketable securities consists of the following (in millions):
The contractual maturities of noncurrent available-for-sale marketable securities were due within two years or less. There were no unrealized gains or losses at December 28, 2018, and $0.1 million in unrealized losses on Municipal bonds at September 28, 2018. |
Fair Value |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FAIR VALUE | FAIR VALUE The Company groups its financial assets and liabilities measured at fair value on a recurring basis in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. These levels are:
Assets and Liabilities Measured and Recorded at Fair Value on a Recurring Basis The Company measures certain assets and liabilities at fair value on a recurring basis such as its financial instruments. There have been no transfers between Level 1, 2 or 3 assets or liabilities during the three months ended December 28, 2018. Contingent consideration related to business combinations is recorded as a Level 3 liability because management uses significant judgments and unobservable inputs to determine the fair value. The Company reassesses the fair value of its contingent consideration liabilities on a quarterly basis and records any fair value adjustments to earnings in the period that they are determined. The fair value of the contingent consideration was determined using a probabilistic Black-Scholes pricing model calibrated to the expected revenue forecast to be generated from the acquired business over a one-year period. Assets and liabilities recorded at fair value on a recurring basis consisted of the following (in millions):
* Cash equivalents included in Levels 1 and 2 consist of money market funds and corporate bonds and notes, foreign government bonds, commercial paper, and agency securities purchased with less than ninety days until maturity. There were no changes to the fair value of the Level 3 liabilities during the three months ended December 28, 2018. Assets Measured and Recorded at Fair Value on a Nonrecurring Basis The Company’s non-financial assets and liabilities, such as goodwill, intangible assets, and other long-lived assets resulting from business combinations, are measured at fair value using income approach valuation methodologies at the date of acquisition and are subsequently re-measured if there are indicators of impairment. There were no indicators of impairment identified during the three months ended December 28, 2018. |
Inventory |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventory, Net [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
INVENTORY | INVENTORY Inventory consists of the following (in millions):
|
Property, Plant And Equipment |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
PROPERTY, PLANT AND EQUIPMENT | PROPERTY, PLANT AND EQUIPMENT, NET Property, plant and equipment, net consists of the following (in millions):
|
Goodwill And Intangible Assets |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
GOODWILL AND INTANGIBLE ASSETS | GOODWILL AND INTANGIBLE ASSETS There were no changes to the carrying amount of goodwill during the three months ended December 28, 2018. The Company tests its goodwill for impairment annually as of the first day of its fourth fiscal quarter and in interim periods if certain events occur indicating the carrying value of goodwill may be impaired. There were no indicators of impairment noted during the three months ended December 28, 2018. Intangible assets consist of the following (in millions):
Fully amortized intangible assets have been eliminated from both the gross and accumulated amortization amounts. Annual amortization expense for the next five fiscal years related to intangible assets is expected to be as follows (in millions):
|
Income Taxes |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
INCOME TAXES | INCOME TAXES The provision for income taxes consists of the following components (in millions):
The difference between the Company’s effective tax rate and the 21.0% United States federal statutory rate for the three months ended December 28, 2018, resulted primarily from foreign earnings taxed at rates lower than the federal statutory rate, a benefit from foreign derived intangible income deduction (“FDII”), and research and experimentation and foreign tax credits earned, partially offset by a tax on global intangible low-taxed income (“GILTI”), and an increase in tax expense related to a change in the reserve for uncertain tax positions. The difference between the Company’s effective tax rate and the 24.6% United States federal statutory rate for the three months ended December 29, 2017, resulted primarily from a one-time charge of $257.8 million related to the mandatory deemed repatriation tax on foreign earnings, a one-time charge of $18.5 million related to the revaluation of the deferred tax assets and liabilities related to tax reform, and an increase in tax expense related to a change in the reserve for uncertain tax positions, partially offset by foreign earnings taxed at rates lower than the federal statutory rate, the domestic production activities deduction, research and experimentation tax credits earned, and a benefit of $16.2 million related to windfall stock deductions. The one-time charge related to the mandatory deemed repatriation tax was subsequently reduced to $224.6 million in the measurement period established under Staff Accounting Bulletin 118, primarily due to a change in the interpretation of the definition of cash within the computation. On December 22, 2017, the President of the United States signed into law new tax legislation (the “Tax Reform Act”). In addition to the introduction of a modified territorial tax system, the Tax Reform Act includes two new sets of provisions aimed at preventing or decreasing U.S. tax base erosion—the GILTI provisions and the base erosion and anti-abuse tax (“BEAT”) provisions. The GILTI provisions impose taxes on foreign income in excess of a deemed return on tangible assets of foreign corporations. The Company is making an accounting policy election to account for GILTI as a component of tax expense in the period in which the Company is subject to the rules and therefore will not provide any deferred tax impacts of GILTI in its consolidated financial statements for the quarter ended December 28, 2018. The BEAT provisions eliminate the deduction of certain base-erosion payments made to related foreign corporations, and impose a minimum tax if greater than regular tax. These BEAT provisions are effective for the Company beginning in fiscal 2019. The Company has analyzed the BEAT provisions for the quarter ended December 28, 2018, and is not subject to the minimum tax imposed by the BEAT provisions. Other significant provisions of the Tax Reform Act that are effective in fiscal 2019 and that have an impact on the Company’s income taxes, include the inclusion of performance-based compensation in determining the excessive compensation limitation and the benefit related to FDII. Accrued taxes of $71.6 million and $62.5 million have been included in other current liabilities within the consolidated balance sheets as of December 28, 2018, and December 29, 2017, respectively. The $224.6 million deemed repatriation tax is payable over the next eight years, $18.0 million per year for each of the next five years, followed by payments of $33.6 million, $44.9 million, and $56.1 million in years six through eight, respectively. The Company has accrued $206.6 million of the deemed repatriation tax in long-term liabilities within the consolidated balance sheet as of December 28, 2018. |
Commitments and Contingencies |
3 Months Ended |
---|---|
Dec. 28, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Legal Matters From time to time, various lawsuits, claims and proceedings have been, and may in the future be, instituted or asserted against the Company, including those pertaining to patent infringement, intellectual property, environmental hazards, product liability and warranty, safety and health, employment and contractual matters. The semiconductor industry is characterized by vigorous protection and pursuit of intellectual property rights. From time to time, third parties have asserted and may in the future assert patent, copyright, trademark and other intellectual property rights to technologies that are important to the Company’s business and have demanded and may in the future demand that the Company license their technology. The outcome of any such litigation cannot be predicted with certainty and some such lawsuits, claims or proceedings may be disposed of unfavorably to the Company. Generally speaking, intellectual property disputes often have a risk of injunctive relief, which, if imposed against the Company, could materially and adversely affect the Company’s financial condition, or results of operations. From time to time the Company may also be involved in legal proceedings in the ordinary course of business. The Company monitors the status of legal proceedings and other contingencies on an ongoing basis to ensure loss contingencies are recognized and/or disclosed in its financial statements and footnotes. The Company does not believe there are any pending legal proceedings that are reasonably possible to result in a material loss. The Company is engaged in various legal actions in the normal course of business and, while there can be no assurances, the Company believes the outcome of all pending litigation involving the Company will not have, individually or in the aggregate, a material adverse effect on its business or financial statements. Guarantees and Indemnifications The Company has made no significant contractual guarantees for the benefit of third parties. However, the Company generally indemnifies its customers from third-party intellectual property infringement litigation claims related to its products, and, on occasion, also provides other indemnities related to product sales. In connection with certain facility leases, the Company has indemnified its lessors for certain claims arising from the facility or the lease. The Company indemnifies its directors and officers to the maximum extent permitted under the laws of the state of Delaware. The duration of the indemnities varies, and in many cases is indefinite. The indemnities to customers in connection with product sales generally are subject to limits based upon the amount of the related product sales and in many cases are subject to geographic and other restrictions. In certain instances, the Company’s indemnities do not provide for any limitation of the maximum potential future payments the Company could be obligated to make. The Company has not recorded any liability for these indemnities in the accompanying consolidated balance sheets and does not expect that such obligations will have a material adverse impact on its financial statements. |
Stockholder's Equity |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
STOCKHOLDERS' EQUITY | STOCKHOLDERS’ EQUITY Stock Repurchase Program On January 31, 2018, the Board of Directors approved a stock repurchase program, pursuant to which the Company is authorized to repurchase up to $1.0 billion of its common stock from time to time prior to January 31, 2020, on the open market or in privately negotiated transactions, as permitted by securities laws and other legal requirements. During the three months ended December 28, 2018, the Company paid $284.0 million (including commissions) in connection with the repurchase of 4.0 million shares of its common stock (paying an average price of $71.00 per share). As of December 28, 2018, $129.0 million remained available under the existing stock repurchase authorization. On January 30, 2019, the Board of Directors approved a new stock repurchase program, pursuant to which the Company is authorized to repurchase up to $2.0 billion of its common stock from time to time prior to January 30, 2021, on the open market or in privately negotiated transactions, as permitted by securities laws and other legal requirements. This newly authorized stock repurchase plan replaces in its entirety the aforementioned January 31, 2018, plan. The timing and amount of any shares of the Company’s common stock that are repurchased under the new repurchase program will be determined by the Company’s management based on its evaluation of market conditions and other factors. The repurchase program may be suspended or discontinued at any time. The Company currently expects to fund the repurchase program using the Company’s working capital. Dividends On February 5, 2019, the Company announced that the Board of Directors had declared a cash dividend on its common stock of $0.38 per share, payable on March 19, 2019, to the Company’s stockholders of record as of the close of business on February 26, 2019. During the three months ended December 28, 2018, the Company declared and paid a $0.38 dividend per common share with a total charge to retained earnings of $67.1 million Share-based Compensation The following table summarizes the share-based compensation expense by line item in the Statements of Operations (in millions):
On November 15, 2017, the Company agreed to potentially issue not more than 1% of its common stock to an unaffiliated third party as a contingent consideration for its role under a multi-year collaboration agreement, upon the achievement of certain product sales milestones. The shares have been valued utilizing a probability weighted series of Black-Scholes pricing models and could be issued after mid-2020. The shares will be marked to estimated fair value each reporting period through earnings. The amount recorded in the statement of operations within selling, general and administrative expense for the three months ended December 28, 2018, is not material. |
Earnings Per Share |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
EARNINGS PER SHARE | EARNINGS PER SHARE The following table sets forth the computation of basic and diluted earnings per share (in millions, except per share amounts):
Basic earnings per share are calculated by dividing net income by the weighted average number of shares of the Company’s common stock outstanding during the period. The calculation of diluted earnings per share includes the dilutive effect of equity based awards that were outstanding during the three months ended December 28, 2018, and December 29, 2017, using the treasury stock method. Certain of the Company’s outstanding share-based awards, noted in the table above, were excluded because they were anti-dilutive, but they could become dilutive in the future. |
Revenue Recognition (Notes) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer [Text Block] | 2. REVENUE RECOGNITION Change in Accounting Policy The Company adopted ASU 2014-09, Revenue from Contracts with Customers (Topic 606), in the first quarter of fiscal 2019 for open contracts not completed as of the adoption date using the modified retrospective approach. The impact from the cumulative effect adjustment was not material and comparative information for prior periods has not been adjusted. The impact of applying the new standard on the Company’s consolidated financial statements for the quarter ended December 28, 2018, was not material, except for an increase in accounts receivable and other current liabilities in the amount of $32.8 million to reflect customer credits as a liability. Revenue Recognition Policy The Company derives its revenue primarily from the sale of semiconductor products under individual customer purchase orders, some of which have underlying master sales agreements that specify terms governing the product sales. In the absence of a sales agreement, the Company’s standard terms and conditions apply. Revenue is recognized when control of the promised goods or services is transferred to the Company’s customers, in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. The Company applies a five-step approach as defined in the new standard in determining the amount and timing of revenue to be recognized: (1) identifying the contract with a customer; (2) identifying the performance obligations in the contract; (3) determining the transaction price; (4) allocating the transaction price to the performance obligations in the contract; and (5) recognizing revenue when the corresponding performance obligation is satisfied. Performance Obligations Each distinct promise to transfer products is considered to be an identified performance obligation for which revenue is recognized at a point in time upon transfer of control of the products to the customer. Transfer of control occurs upon shipment to the distributor or direct customer or when products are pulled from consignment inventory by the customer. Point in time recognition was determined as products manufactured under non-cancellable orders create an asset with an alternative use to the Company. Returns under the Company’s general assurance warranty of products have not been material and warranty-related services are not considered a separate performance obligation. As of December 28, 2018, the amount of remaining performance obligation that has not been recognized as revenue is not material. Transaction Price Pricing adjustments and estimates of returns are treated as variable consideration for purposes of determining the transaction price. Sales returns are generally accepted at the Company’s discretion or from distributors with stock rotation rights. Stock rotation allows distributors limited levels of returns and is based on the distributor’s prior purchases. Price protection represents price discounts granted to certain distributors and is based on negotiations on sales to end customers. Variable consideration is estimated using the expected value method considering all reasonably available information, including the Company’s historical experience and its current expectations, and is reflected in the transaction price when sales are recorded. The Company records net revenue excluding taxes collected on its sales to trade customers. Contract Balances Accounts receivable represents the Company’s unconditional right to receive consideration from its customer. Payments are due within one year of invoicing and do not include a significant financing component. To date, there have been no material impairment losses on accounts receivable. There were no material contract assets or contract liabilities recorded on the consolidated balance sheet in any of the periods presented. All incremental customer contract acquisition costs are expensed as they are incurred as the amortization period of the asset that the Company otherwise would have recognized is one year or less in duration. Disaggregate Revenue The Company has a single reportable operating segment which designs, develops, manufactures and markets similar proprietary semiconductor products, including intellectual property. In reaching this conclusion, management considers the definition of the chief operating decision maker (“CODM”), how the business is defined by the CODM, the nature of the information provided to the CODM and how that information is used to make operating decisions, allocate resources and assess performance. The Company’s CODM is the president and chief executive officer. The results of operations provided to and analyzed by the CODM are at the consolidated level, and accordingly, key resource decisions and assessment of performance are performed at the consolidated level. The Company assesses its determination of operating segments at least annually. The Company disaggregates revenue from contracts with customers by geography as it believes that doing so best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. Net revenue by geographic area presented based upon the location of the original equipment manufacturers’ (“OEMs”) headquarters are as follows (in millions):
The Company’s revenue to external customers is generated principally from the sale of semiconductor products that facilitate various wireless communication applications. Accordingly, the Company considers its product offerings to be similar in nature and therefore not segregated for reporting purposes. For the three months ended December 28, 2018, and December 29, 2017, one customer accounted for 58% and 56%, respectively, of the Company’s net revenue. |
Description Of Business and Basis Of Presentation (Policies) |
3 Months Ended |
---|---|
Dec. 28, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Fiscal Period | The Company’s fiscal year ends on the Friday closest to September 30. Fiscal 2019 consists of 52 weeks and ends on September 27, 2019. Fiscal 2018 consisted of 52 weeks and ended on September 28, 2018. The first quarters ended for fiscal 2019 and 2018 each consisted of 13 weeks, and ended on December 28, 2018, and December 29, 2017, respectively. |
Recently Adopted Accounting Pronouncements and Recently Issued Accounting Pronouncements | Recently Adopted Accounting Pronouncements In August 2015, the Financial Accounting Standards Board (“FASB”) deferred the effective date of Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers (Topic 606), (“ASU 2014-09”), which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and will supersede most current revenue recognition guidance. The Company adopted ASU 2014-09 at the beginning of the first quarter of fiscal 2019 using the modified retrospective approach, with the cumulative effect of applying the new guidance recognized as an adjustment to the opening retained earnings balance. The Company has determined the impact of the new revenue standard on its business processes, systems, controls and consolidated financial statements is not material. Refer to Note 2, Revenue Recognition, for additional information. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740), Intra-entity Transfers of an Asset Other than Inventory (“ASU 2016-16”). This ASU provides guidance that changes the accounting for income tax effects of intra-entity transfers of assets other than inventory. Under the new guidance, the selling (transferring) entity is required to recognize a current tax expense or benefit upon transfer of the asset. Similarly, the purchasing (receiving) entity is required to recognize a deferred tax asset or deferred tax liability, as well as the related deferred tax benefit or expense, upon receipt of the asset. The Company adopted ASU 2016-16 during the first quarter of fiscal 2019. The adoption of this standard did not have a material impact on the Company’s consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments (Topic 320), (“ASU 2016-13”). This ASU requires a financial asset (or a group of financial assets) measured on the basis of amortized cost to be presented at the net amount expected to be collected. This ASU requires that the income statement reflect the measurement of credit losses for newly recognized financial assets as well as the expected increases or decreases of expected credit losses that have taken place during the period. This ASU requires that credit losses of debt securities designated as available-for-sale be recorded through an allowance for credit losses. The ASU also limits the credit loss to the amount by which fair value is below amortized cost. The Company adopted ASU 2016-13 during the first quarter of fiscal 2019. The adoption of this standard did not have a material impact on the Company’s consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities (Topic 320), (“ASU 2016-01”). This ASU provides guidance for the recognition, measurement, presentation, and disclosure of financial assets and liabilities. The Company adopted ASU 2016-01 during the first quarter of fiscal 2019. The adoption of this standard did not have a material impact on the Company’s consolidated financial statements. Recently Issued Accounting Pronouncements In June 2018, the FASB issued ASU 2018-07, Compensation-Stock Compensation (Topic 718), Improvements to Nonemployee Share-based Payments (“ASU 2018-07”). This ASU expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. The effective date for the standard is for interim periods in fiscal years beginning after December 15, 2018, with early adoption permitted, but no earlier than the Company’s adoption date of Topic 606. The new guidance is required to be applied retrospectively with the cumulative effect recognized at the date of initial application. The Company will early adopt ASU 2018-07 during fiscal 2019 and does not expect it to have a material impact on the consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), (“ASU 2016-02”). This ASU requires lessees to reflect most leases on their balance sheet as assets and obligations. The effective date for the standard is for fiscal years beginning after December 15, 2018, with early adoption permitted. The standard is to be applied under the modified retrospective method, with elective reliefs, which requires application of the new guidance for all periods presented. The adoption of this ASU will result in an increase to the Company’s consolidated balance sheet for these assets and obligations. The Company is currently evaluating the effect that ASU 2016-02 will have on the consolidated financial statements and related disclosures. |
Revenue Recognition | Revenue Recognition Policy The Company derives its revenue primarily from the sale of semiconductor products under individual customer purchase orders, some of which have underlying master sales agreements that specify terms governing the product sales. In the absence of a sales agreement, the Company’s standard terms and conditions apply. Revenue is recognized when control of the promised goods or services is transferred to the Company’s customers, in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. The Company applies a five-step approach as defined in the new standard in determining the amount and timing of revenue to be recognized: (1) identifying the contract with a customer; (2) identifying the performance obligations in the contract; (3) determining the transaction price; (4) allocating the transaction price to the performance obligations in the contract; and (5) recognizing revenue when the corresponding performance obligation is satisfied. |
Marketable Securities (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Marketable Securities | The Company’s portfolio of available-for-sale marketable securities consists of the following (in millions):
|
Fair Value (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis | Assets and liabilities recorded at fair value on a recurring basis consisted of the following (in millions):
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation |
Inventory (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Inventory, Net [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Inventories | Inventory consists of the following (in millions):
|
Property, Plant and Equipment (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Property, Plant And Equipment | Property, plant and equipment, net consists of the following (in millions):
|
Goodwill and Intangible Assets (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Intangible Assets Excluding Goodwill | Intangible assets consist of the following (in millions):
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Expected Annual Amortization Expense Related To Intangible Assets For The Next Five Years | Annual amortization expense for the next five fiscal years related to intangible assets is expected to be as follows (in millions):
|
Income Taxes (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Components of Income Tax Expense (Benefit) | The provision for income taxes consists of the following components (in millions):
|
Stockholder's Equity (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends Declared | During the three months ended December 28, 2018, the Company declared and paid a $0.38 dividend per common share with a total charge to retained earnings of $67.1 million |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of share-based compensation expense | The following table summarizes the share-based compensation expense by line item in the Statements of Operations (in millions):
|
Earnings Per Share (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule Of Earnings Per Share | he following table sets forth the computation of basic and diluted earnings per share (in millions, except per share amounts):
|
Revenue Recognition (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 28, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disaggregation of Revenue [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disaggregation of Revenue [Table Text Block] | The Company disaggregates revenue from contracts with customers by geography as it believes that doing so best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. Net revenue by geographic area presented based upon the location of the original equipment manufacturers’ (“OEMs”) headquarters are as follows (in millions):
|
Description Of Business and Basis Of Presentation (Details) |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Number of weeks in fiscal year | 1 year | 1 year |
Number of weeks in fiscal quarter | 3 months | 3 months |
Description Of Business and Basis Of Presentation (New Accounting Pronouncements) (Details) $ in Millions |
3 Months Ended |
---|---|
Dec. 29, 2017
USD ($)
| |
Accounting Changes and Error Corrections [Abstract] | |
Employee service share-based compensation, tax benefit from compensation expense | $ 16.2 |
Description Of Business and Basis Of Presentation (Supplemental Cash Flow Information) (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Sep. 28, 2018 |
|
Supplemental Cash Flow Elements [Abstract] | ||
Asset retirement obligations, noncurrent | $ 13.7 | $ 13.9 |
Capital expenditures incurred but not yet paid | $ 43.0 | $ 94.1 |
Marketable Securities (Details) - USD ($) $ in Millions |
Dec. 28, 2018 |
Sep. 28, 2018 |
---|---|---|
Schedule of Available-for-sale Securities [Line Items] | ||
Current | $ 13.4 | $ 294.1 |
Noncurrent | 2.7 | 22.8 |
US Treasury and Government [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Current | 7.9 | 65.0 |
Noncurrent | 0.0 | 0.0 |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Current | 1.4 | 204.1 |
Noncurrent | 0.0 | 12.0 |
US States and Political Subdivisions Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Current | 2.2 | 2.0 |
Noncurrent | 2.7 | 0.8 |
Foreign Government Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Current | 1.9 | 23.0 |
Noncurrent | $ 0.0 | $ 10.0 |
Marketable Securities Schedule of Available-for-sale Securities (Details) $ in Millions |
Dec. 28, 2018
USD ($)
|
---|---|
US Treasury and Government [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Available-for-sale Securities | $ 8.0 |
Corporate Debt Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Available-for-sale Securities | 1.4 |
US States and Political Subdivisions Debt Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Available-for-sale Securities | 4.8 |
Foreign Government Debt Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Available-for-sale Securities | $ 1.9 |
Marketable Securities Text (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Sep. 28, 2018 |
|
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Debt Maturities, Date | 2 years | |
US States and Political Subdivisions Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Debt Securities, Accumulated Gross Unrealized Loss, before Tax | $ 0.1 |
Fair Value (Fair value transfers) (Details) - USD ($) |
3 Months Ended | |
---|---|---|
Dec. 29, 2017 |
Mar. 31, 2017 |
|
Fair Value Disclosures [Abstract] | ||
Transfer of assets from L1 to L2 | $ 0 | |
Transfers of assets from L2 to L1 | 0 | |
Transfers of assets into L3 | $ 0 | |
Transfer of liabilities from L1 to L2 | 0 | |
Transfers of liabilities from L2 to L1 | $ 0 |
Fair Value (Fair Value Liabilities Measured on Recurring Basis Unobservable Input Reconciliation) (Details) - Fair Value, Measurements, Recurring [Member] $ in Millions |
Dec. 28, 2018
USD ($)
|
---|---|
Fair Value, Liabilities [Roll Forward] | |
Balance as of September 29, 2017 | $ 3.1 |
Balance as of June 29, 2018 | 3.1 |
Fair Value, Inputs, Level 3 [Member] | |
Fair Value, Liabilities [Roll Forward] | |
Balance as of September 29, 2017 | 3.1 |
Balance as of June 29, 2018 | $ 3.1 |
Inventory (Schedule Of Inventories) (Details) - USD ($) $ in Millions |
Dec. 28, 2018 |
Sep. 28, 2018 |
---|---|---|
Inventory, Net [Abstract] | ||
Raw materials | $ 21.5 | $ 20.2 |
Work-in-process | 301.5 | 340.7 |
Finished goods | 162.5 | 124.8 |
Finished goods held on consignment by customers | 7.6 | 4.5 |
Total inventory | $ 493.1 | $ 490.2 |
Property, Plant and Equipment (Schedule Of Property, Plant And Equipment) (Details) - USD ($) $ in Millions |
Dec. 28, 2018 |
Sep. 28, 2018 |
---|---|---|
Property, Plant and Equipment | ||
Total property, plant and equipment, gross | $ 2,617.1 | $ 2,549.7 |
Accumulated depreciation | (1,476.5) | (1,408.8) |
Total property, plant and equipment, net | 1,140.6 | 1,140.9 |
Land and improvements [Member] | ||
Property, Plant and Equipment | ||
Total property, plant and equipment, gross | 11.7 | 11.6 |
Building and improvements [Member] | ||
Property, Plant and Equipment | ||
Total property, plant and equipment, gross | 258.7 | 238.0 |
Furniture and fixtures [Member] | ||
Property, Plant and Equipment | ||
Total property, plant and equipment, gross | 31.8 | 31.5 |
Machinery and equipment [Member] | ||
Property, Plant and Equipment | ||
Total property, plant and equipment, gross | 2,151.6 | 2,089.6 |
Construction in progress [Member] | ||
Property, Plant and Equipment | ||
Total property, plant and equipment, gross | $ 163.3 | $ 179.0 |
Income Taxes (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Income Tax Disclosure [Abstract] | ||
United States income taxes | $ 29.5 | $ 304.9 |
Foreign income taxes | 9.4 | 10.3 |
Provision for income taxes | $ 38.9 | $ 315.2 |
Effective tax rate | 12.00% | 81.70% |
Income Taxes (Narrative) (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Federal statutory income tax rate | 21.00% | |
Employee service share-based compensation, tax benefit from compensation expense | $ 16.2 | |
taxes payable, repatriation tax | $ 224.6 | |
Repatriation of foreign earnings, amount | 257.8 | |
Cumulative Effect of New Accounting Principle in Period of Adoption | $ 18.5 | |
Statutory tax rate due to change in legislation | 24.60% | |
Accrued income taxes, current | 71.6 | $ 62.5 |
Accrued repatriation tax in long-term liabilities | 206.6 | |
Years One through Five [Member] | ||
taxes payable, repatriation tax | 18.0 | |
Year Six [Member] | ||
taxes payable, repatriation tax | 33.6 | |
Year Seven [Member] | ||
taxes payable, repatriation tax | 44.9 | |
Year Eight [Member] | ||
taxes payable, repatriation tax | $ 56.1 |
Stockholder's Equity (Share Repurchase) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions |
3 Months Ended | ||||
---|---|---|---|---|---|
Jan. 30, 2021 |
Jan. 30, 2019 |
Jan. 31, 2018 |
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Equity, Class of Treasury Stock [Line Items] | |||||
Share repurchase authorized date | Jan. 31, 2018 | ||||
Authorized amount of stock for repurchase | $ 1,000.0 | ||||
Stock repurchase program expiration date | Jan. 31, 2020 | ||||
Stock repurchased | $ 284.0 | $ 172.5 | |||
Stock repurchased (shares) | 4.0 | ||||
Average price of stock repurchased (in dollars per share) | $ 71.00 | ||||
Remaining amount authorized fro stock repurchase | $ 129.0 | ||||
Subsequent Event [Member] | |||||
Equity, Class of Treasury Stock [Line Items] | |||||
Share repurchase authorized date | Jan. 30, 2019 | ||||
Authorized amount of stock for repurchase | $ 2,000.0 | ||||
Stock repurchase program expiration date | Jan. 30, 2021 |
Stockholder's Equity (Dividend) (Details) - $ / shares |
3 Months Ended | ||||
---|---|---|---|---|---|
Mar. 19, 2019 |
Feb. 26, 2019 |
Feb. 05, 2019 |
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Dividends Payable [Line Items] | |||||
Cash dividends declared and paid per share (usd per share) | $ 0.38 | $ 0.32 | |||
Subsequent Event [Member] | Dividend Declared [Member] | |||||
Dividends Payable [Line Items] | |||||
Dividend declaration date | Feb. 05, 2019 | ||||
Dividends declared (usd per share) | $ 0.38 | ||||
dividends date to be paid | Mar. 19, 2019 | ||||
Dividends date of record | Feb. 26, 2019 |
Stockholder's Equity (Share Based Compensation) (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Share-based compensation expense | $ 20.8 | $ 25.8 |
Cost of Sales [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Share-based compensation expense | 3.6 | 4.1 |
Research and development [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Share-based compensation expense | 12.5 | 11.2 |
Selling, general and administrative [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Share-based compensation expense | $ 4.7 | $ 10.5 |
Stockholder's Equity (Details) |
3 Months Ended |
---|---|
Dec. 28, 2018 | |
Stockholders' Equity Note [Abstract] | |
Percentage of outstanding stock, maximum | 1.00% |
Earnings Per Share (Schedule Of Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Earnings Per Share [Abstract] | ||
Net income | $ 284.9 | $ 70.4 |
Weighted average shares outstanding - basic (shares) | 176.6 | 183.1 |
Dilutive effect of equity based awards (shares) | 1.1 | 2.4 |
Weighted average shares outstanding - diluted (shares) | 177.7 | 185.5 |
Net income per share - basic (usd per share) | $ 1.61 | $ 0.38 |
Net income per share - diluted (usd per share) | $ 1.60 | $ 0.38 |
Anti-dilutive common stock equivalents (shares) | 1.7 | 0.4 |
Revenue Recognition Text (Details) $ in Millions |
3 Months Ended |
---|---|
Dec. 28, 2018
USD ($)
| |
Accounting Standards Update 2014-09 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification | $ 32.8 |
Revenue Recognition (Details) - USD ($) $ in Millions |
3 Months Ended | |
---|---|---|
Dec. 28, 2018 |
Dec. 29, 2017 |
|
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 972.0 | $ 1,051.9 |
Customer Concentration Risk [Member] | Company A [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Concentration Risk, Percentage | 58.00% | 56.00% |
UNITED STATES | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 600.1 | $ 626.8 |
CHINA | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 194.5 | 199.6 |
KOREA, REPUBLIC OF | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 99.1 | 118.3 |
TAIWAN, PROVINCE OF CHINA | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 40.7 | 72.3 |
EMEA [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 32.7 | 29.4 |
Asia, Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 4.9 | $ 5.5 |
;0O@R*M6G GA(1,?HT1IXTK*WCI4DXI/1?'G<1 KG!J.I^9]P >[@7HFK42INPA>5@[%*
M3"Q.BF!O\>QD.,>)_YJVGD"G!#HGT-A++!24?V.6%9E6(])Q]CWS5[P[4#>;
MT@?#*,(_)]ZXZ*6@29J1BR>:,,>(H0O,;D80QSZ7H&LECO2_=)K 7$\W! 0*J1FP
M6JYP D(TD6KCS\SI+I*Z<+U_8;\WWI67"Q9P8N1W6\KFX*:N4T*%!R(?V/@5
M9C^1Z\SFO\,5B(+K3I1&P8@P3Z<8A&1T9E&M4/P\K6UGUG$ZB79SF;T@F N"
MI4!I_Z\@G O"UP*C@*;.C-4[+'&><38Z?/I8/=;_A+\/U #Z"&:]&"^I_
M[DD0>##P X.1Q,LF&IH(+""F3.01T$ ^ KG#%CQQ$,ZQI0'E_3CDD1;<%@
MN3?QS@.>8$ B#&2" @\>Q'?8@D80I"CR0D-UA$1Y)R.=8E(_T1H&7#ET9HU(R90K!\TV0?,.$(H(GDL!\4PB>
M2$)FF-*"^G)#,C(%09'?2ER+.7Q*PA8]56#K.$V.%*;7<9(7
MWGE@[^,CLO?P<=J_"UNWVI&+\?BRL?^5,1Y0RN8&1ZC!#S8;$BH?C@<\VW',
M1L.;;OI!;/[&^3]02P,$% @ <)!%3F08,GRW 0 T@, !D !X;"]W
M;W)K
]X
M>.+-,<7>E,$96Q'O4+Q#[[78[ \9NP:B*>8TQJ3+F#F"(?N<(EU+<4K_@Z?K
M\.VJPFV$;_]1^'F=8+=*L(L$NR7!(?E0XEK,QR+9HJ<*;!.GR9'2]#I.\L([
M#^Q=&M_D/7R<]A_<-D([&PO=V]R:W-H
M965T)*BMYY
MHR86E*+$Z[BW.N[#>)/L)]@Z@$\ /@,.,0\;$T7EC\*+/+5F(';L?2?"$V^/
M''M3!&=L1;Q#\0Z]UYSS??BQP=" 2=X7(V41D^='68'SO%HB= K$5B+<&(G^W"RY,L&OD-N:#D<1I
M)'$([':K<&&BG9';F-D(WIP1!J*QUTEZ)1][9?[&)KO>V(?0G+%=OM W>;YX
M[S+S,_"#B*;KI7?F2I]@>\YJSA5HB_Z=]MCJEV<-*-3*3#_KN9COWQPH/BQ/
M"U[?M_P?4$L#!!0 ( '"014Z8=+P$O $ -4# 9 >&PO=V]R:W-H
M965T
7BJ>Q.TC .[&$,N
MGBK?!*5/'Y3I_^./SC_Z?/F#\$M1"^? I#I*=0>>,V.2JH2!IZQZ54?:85#2
ML]2WB;KG_;FN'TC6F#.K/QR
3T):P)+Y;
M]&VIM\9"-3^^M?+-AFE\/-E('BK'4FD+?HMD0D6MD?'8&?>"CQNT;>HG#G@\
M^=T?L+98SN5Y#ADLBJ\?]N+!X?;X('0BEML<"[1_TEK2Y!"UI!6>G-!AT8LB
M%ZMU5CP*X81!=:9+"QUP2@\Z )>*T 8E?20&]9:B@VI>G$AZ]1U7PYHG824C
MBMF71KHBQ3YQ6_BN#B5$<@!6IGGD!FZ)%RT[3*&C/M2TQPR6VS+A$6:FCI%@D7",Z$SE]K(C+/6;*.@(KNV'R I
M!-L++,/ &D'0AXEJ,RYY)N;E1FQR&@9O691**CC
;
MOW.T#ZH^;#L_W]F;C/:L%VQ1U,M:X;/6J-;X]&3XN0+X\T;Y#\9$^]J=G:7^
MEO6]"6<_*1I$,@*9 FQ,:A"+1J%#W(