| Disclosure of Disposal Groups |
The following table summarizes the carrying values of the assets and liabilities classified as held-for-sale in our consolidated balance sheets:
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(in thousands) |
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July 3, 2026 |
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December 31, 2025 |
Assets |
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Accounts receivable, net |
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$ |
— |
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$ |
38,895 |
Inventories |
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|
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— |
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|
23,890 |
Prepaids and other current assets |
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— |
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13,207 |
Property and equipment, net |
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|
|
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|
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— |
|
|
1,296 |
Goodwill |
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|
|
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|
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— |
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|
123,479 |
Deferred income taxes, net |
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|
|
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|
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— |
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|
8,742 |
Other non-current assets |
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— |
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14,452 |
Assets held for sale |
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$ |
— |
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$ |
223,961 |
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Liabilities |
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Current portion of other borrowings |
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$ |
— |
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$ |
5,605 |
Accounts payable |
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— |
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8,004 |
Deferred revenue |
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— |
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26,577 |
Other current liabilities |
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— |
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22,936 |
Other long-term borrowings |
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— |
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8,076 |
Other non-current liabilities |
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— |
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|
14,473 |
Liabilities to be disposed of |
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$ |
— |
|
$ |
85,671 |
The following table presents key components of "Income (loss) from discontinued operations, net of tax" for all periods presented:
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Three Months Ended |
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Six Months Ended |
(in thousands) |
July 3, 2026 |
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June 27, 2025 |
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July 3, 2026 |
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June 27, 2025 |
Revenue |
$ |
39,493 |
|
$ |
51,109 |
|
$ |
89,564 |
|
$ |
99,366 |
Cost of revenue |
|
12,643 |
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|
17,102 |
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|
28,244 |
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|
33,265 |
Total gross profit |
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26,850 |
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|
34,007 |
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61,320 |
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|
66,101 |
Operating expenses: |
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Research and development |
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10,124 |
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11,450 |
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24,341 |
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23,135 |
Selling, general and administrative |
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21,952 |
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17,711 |
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44,915 |
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|
35,029 |
Restructuring and related charges |
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— |
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|
222 |
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— |
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|
222 |
Total operating expenses |
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32,076 |
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29,383 |
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|
69,256 |
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58,386 |
Income (loss) from discontinued operations |
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(5,226) |
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|
4,624 |
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(7,936) |
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|
7,715 |
Interest expense, net |
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(163) |
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|
(163) |
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(261) |
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|
(326) |
Other income, net |
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— |
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|
1,551 |
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— |
|
|
2,000 |
Loss on sale of discontinued operations |
|
(6,251) |
|
|
— |
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|
(6,251) |
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|
— |
Income (loss) from discontinued operations before income taxes |
|
(11,640) |
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|
6,012 |
|
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(14,448) |
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|
9,389 |
Provision for income taxes |
|
7,735 |
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|
2,284 |
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|
7,266 |
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|
2,090 |
Income (loss) from discontinued operations, net of tax |
$ |
(19,375) |
|
$ |
3,728 |
|
$ |
(21,714) |
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$ |
7,299 |
The following table presents the significant operating and investing cash flow items related to the Video business:
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Six Months Ended |
(in thousands) |
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July 3, 2026 |
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June 27, 2025 |
Operating activities: |
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Stock-based compensation |
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$ |
8,619 |
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$ |
5,490 |
Depreciation |
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— |
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|
520 |
Investing activities: |
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Purchase of property and equipment |
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$ |
172 |
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$ |
468 |
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