On January 5, 2026, we adopted restructuring plans (the “2026 Restructuring Plans”) that are intended to better align our cost structure and support gross margin improvement to the Company’s target financial model, while also aligning manufacturing capabilities with current and anticipated business needs and the Company's strategic priorities. As part of this restructuring plan, the Company is consolidating the manufacturing facilities located in Carlsbad, California and Baldwin Park, California, to other manufacturing facilities.

The restructuring plans are expected to result in the Company recording restructuring charges in the aggregate amount of approximately $30.0 million to $40.0 million, estimated to be comprised primarily of $16.5 million to $22.0 million of cost related to the impairment and accelerated depreciation of property and equipment, $9.0 million to $12.5 million of costs relating to employee severance and benefits, $1.0 million to $2.0 million of impairment and accelerated amortization of right-of-use assets, and other costs totalling $3.5 million. These restructuring charges relate primarily to the Company’s Probe Cards segment, and the Company expects the majority of charges to be incurred in fiscal 2026.

Total restructuring charges included in our Condensed Consolidated Statements of Income for the three months ended March 28, 2026 were as follows (in thousands):


	Employee Severance and Benefits		Stock-based Compensation		Property and Equipment		Leases		Other Costs		Total
December 27, 2025	$	464	$	—	$	—	$	—	$	—	$	464
Restructuring charges	5,614		60		15,701		1,020		926		23,321
Cash payments	(3,491)		—		—		(58)		(926)		(4,475)

Non-cash settlement	—		(60)		(15,701)		(962)		—		(16,723)
March 28, 2026	$	2,587	$	—	$	—	$	—	$	—	$	2,587