Income Taxes (Tables)

12 Months Ended

Dec. 30, 2023

Income Tax Disclosure [Abstract]

Components of Income Tax Expense

The components of income tax expense are as follows:

	Year Ended
	December 30, 2023			December 31, 2022			January 1, 2022
Current:
Federal	$	28,326		$	47,963		$	21,791
State		879			987			1,007
Foreign		4,647			2,901			3,153
		33,852			51,851			25,951
Deferred:
Federal		(22,429	)		(31,622	)		(9,475	)
State		242			(1,506	)		(540	)
Foreign		(242	)		(473	)		(2,603	)
		(22,429	)		(33,601	)		(12,618	)
Total income tax expense	$	11,423		$	18,250		$	13,333

Income before Tax

The income before tax is comprised of the following:

	Year Ended
	December 30, 2023		December 31, 2022		January 1, 2022
Domestic operations	$	107,640	$	239,527	$	136,143
Foreign operations	$	24,942	$	2,057	$	19,539

Income Before Provision for Income Taxes

The provision for income taxes differs from the amount of income tax determined by applying the applicable U.S. federal income tax rate of 21% for the years ended December 30, 2023, December 31, 2022 and January 1, 2022, to income before provision for income taxes as follows:

	Year Ended
	December 30, 2023			December 31, 2022			January 1, 2022
Federal income tax provision at statutory rate	$	27,842		$	50,732		$	32,693
State taxes, net of federal effect		942			467			1,066
Foreign taxes, net of federal effect		(2,323	)		(481	)		(3,817	)
Foreign Derived Intangible Income (“FDII”) Deduction		(12,958	)		(25,445	)		(11,061	)
US tax on foreign source income		513			1,423			1,721
Non-deductible officer's compensation		2,301			1,910			689
Research and development tax credit		(6,430	)		(7,146	)		(3,607	)
Tax impact of audit and statute closures		(1,563	)		(1,526	)		(1,987	)
Change in valuation allowance		2,180			(276	)		(178	)
Impact of the CARES Act		—			—			(732	)
Other		919			(1,408	)		(1,454	)
Provision for income taxes	$	11,423		$	18,250		$	13,333
Effective tax rate		9	%		8	%		9	%

Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities are comprised of the following:

	December 30, 2023			December 31, 2022
Deferred tax assets:
Reserves and accruals	$	16,658		$	17,231
Deferred revenue		4,082			3,512
Share-based compensation		3,495			3,942
Tax credit carryforward		13,960			12,197
Net operating losses		1,088			1,643
Depreciation and amortization		156			125
Capitalized research and development		34,165			20,234
Operating lease liabilities		3,744			4,162
Other		2,875			4,044
Gross deferred tax assets		80,223			67,090
Less: valuation allowance		(13,960	)		(11,772	)
Total deferred tax assets after valuation allowance		66,263			55,318
Deferred tax liabilities:
Depreciation and amortization		(43,908	)		(52,927	)
Operating lease right of use assets		(3,519	)		(4,890	)
Other		—			(89	)
Gross deferred tax liabilities		(47,427	)		(57,906	)
Net deferred tax assets (liabilities)	$	18,836		$	(2,588	)

Unrecognized Tax Benefits

The total amount of unrecognized tax benefits are as follows:

	Year Ended
	December 30, 2023			December 31, 2022			January 1, 2022
Balance, beginning of the period	$	13,010		$	12,373		$	13,486
Gross increases—tax positions in prior period		29			456			156
Gross decreases—tax positions in prior period		(100	)		—			(204	)
Gross increases—current-period tax positions		1,785			1,729			1,193
Closure of audit/statute limitation		(1,582	)		(1,548	)		(2,258	)
Balance, end of the period	$	13,142		$	13,010		$	12,373