NOVANTA INC, 10-Q filed on 8/5/2025
Quarterly Report
v3.25.2
Document and Entity Information - shares
 6 Months Ended
Jun. 27, 2025
Jul. 28, 2025
Cover [Abstract]    
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Jun. 27, 2025  
Document Fiscal Year Focus 2025  
Document Fiscal Period Focus Q2  
Trading Symbol NOVT  
Entity Registrant Name NOVANTA INC.  
Entity Central Index Key 0001076930  
Current Fiscal Year End Date --12-31  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Common Stock, Shares Outstanding   35,973,631
Entity Current Reporting Status Yes  
Entity Shell Company false  
Entity File Number 001-35083  
Entity Tax Identification Number 98-0110412  
Entity Address, Address Line One 125 Middlesex Turnpike  
Entity Address, City or Town Bedford  
Entity Address, State or Province MA  
Entity Address, Country US  
Entity Address, Postal Zip Code 01730  
City Area Code 781  
Local Phone Number 266-5700  
Document Quarterly Report true  
Document Transition Report false  
Entity Incorporation, State or Country Code A3  
Entity Interactive Data Current Yes  
Security Exchange Name NASDAQ  
Title of 12(b) Security Common shares, no par value  
v3.25.2
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Current assets    
Cash and cash equivalents $ 109,912 $ 113,989
Accounts receivable, net of allowance of $610 and $505, respectively 161,202 151,026
Inventories 168,065 144,606
Prepaid income taxes and income taxes receivable 8,160 8,076
Prepaid expenses and other current assets 14,761 15,951
Total current assets 462,100 433,648
Property, plant and equipment, net 118,876 113,135
Operating lease assets 44,107 42,908
Deferred tax assets 26,980 22,887
Other assets 6,283 5,991
Intangible assets, net 203,630 185,844
Goodwill 649,093 584,098
Total assets 1,511,069 1,388,511
Current liabilities    
Current portion of long-term debt 5,203 4,691
Accounts payable 88,973 76,890
Income taxes payable 12,937 16,000
Current portion of operating lease liabilities 10,302 9,879
Accrued expenses and other current liabilities 64,523 60,331
Total current liabilities 181,938 167,791
Long-term debt 454,037 411,949
Operating lease liabilities 41,086 40,548
Deferred tax liabilities 20,776 13,093
Income taxes payable 4,971 4,941
Other liabilities 6,815 4,491
Total liabilities 709,623 642,813
Commitments and contingencies (Note 15)
Stockholders’ equity:    
Preferred shares, no par value; Authorized shares: 7,000; No shares issued and outstanding
Common shares, no par value; Authorized shares: unlimited; Issued and outstanding: 35,973 and 35,938, respectively 423,856 423,856
Additional paid-in capital 85,468 84,214
Retained earnings 293,254 267,549
Accumulated other comprehensive loss (1,132) (29,921)
Total stockholders' equity 801,446 745,698
Total liabilities and stockholders’ equity $ 1,511,069 $ 1,388,511
v3.25.2
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
$ in Thousands
 6 Months Ended 12 Months Ended
Jun. 27, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Accounts receivable, allowance $ 610 $ 505
Preferred shares, no par value $ 0 $ 0
Preferred shares, Authorized 7,000,000 7,000,000
Preferred shares, Issued 0 0
Preferred shares, outstanding 0 0
Common shares, Authorized Unlimited Unlimited
Common shares, no par value $ 0 $ 0
Common shares, Issued 35,973,000 35,938,000
Common shares, outstanding 35,973,000 35,938,000
v3.25.2
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Income Statement [Abstract]        
Revenue $ 241,049 $ 235,864 $ 474,415 $ 466,780
Cost of revenue 134,303 132,175 263,315 262,675
Gross profit 106,746 103,689 211,100 204,105
Operating expenses:        
Research and development and engineering 25,289 23,731 48,527 46,977
Selling, general and administrative 47,103 44,793 92,699 88,323
Amortization of purchased intangible assets 6,871 6,907 12,425 12,657
Restructuring, acquisition, and related costs 12,572 2,543 10,117 4,826
Total operating expenses 91,835 77,974 163,768 152,783
Operating income 14,911 25,715 47,332 51,322
Interest income (expense), net (5,815) (8,266) (11,459) (16,520)
Foreign exchange transaction gains (losses), net (2,744) (264) (3,112) (585)
Other income (expense), net (563) (55) (554) (171)
Income before income taxes 5,789 17,130 32,207 34,046
Income tax provision 1,292 3,375 6,502 5,615
Net income $ 4,497 $ 13,755 $ 25,705 $ 28,431
Earnings per common share (Note 5):        
Basic $ 0.12 $ 0.38 $ 0.71 $ 0.79
Diluted $ 0.12 $ 0.38 $ 0.71 $ 0.79
Weighted average common shares outstanding—basic 36,022 35,946 36,023 35,930
Weighted average common shares outstanding—diluted 36,076 36,092 36,103 36,110
v3.25.2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Statement of Comprehensive Income [Abstract]        
Net income $ 4,497 $ 13,755 $ 25,705 $ 28,431
Other comprehensive income (loss):        
Foreign currency translation adjustments, net of tax [1] 20,399 580 28,957 (3,816)
Pension liability adjustments, net of tax [2] (185) 187 (168) 470
Total other comprehensive income (loss) 20,214 767 28,789 (3,346)
Total consolidated comprehensive income $ 24,711 $ 14,522 $ 54,494 $ 25,085
[1] The tax effect on this component of comprehensive income (loss) was nominal for all periods presented.
[2] The tax effect on this component of comprehensive income (loss) was nominal for all periods presented. See Note 4 to the Consolidated Financial Statements for the total amount of pension liability adjustments reclassified out of accumulated other comprehensive income (loss).
v3.25.2
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)
shares in Thousands, $ in Thousands
Total
Common Stock
Additional Paid-In Capital
Retained Earnings
Accumulated Other Comprehensive Loss
Balance at Dec. 31, 2023 $ 673,460 $ 423,856 $ 70,180 $ 203,462 $ (24,038)
Balance (in shares) at Dec. 31, 2023   35,814      
Net income 28,431     28,431  
Common shares issued under stock plans (in shares)   136      
Common shares withheld for taxes on vested stock awards (8,861)   (8,861)    
Common shares withheld for taxes on vested stock awards (in shares)   (55)      
Share-based compensation 12,308   12,308    
Other comprehensive income (loss), net of tax (3,346)       (3,346)
Balance at Jun. 28, 2024 701,992 $ 423,856 73,627 231,893 (27,384)
Balance (in shares) at Jun. 28, 2024   35,895      
Balance at Mar. 29, 2024 681,715 $ 423,856 67,872 218,138 (28,151)
Balance (in shares) at Mar. 29, 2024   35,891      
Net income 13,755     13,755  
Common shares issued under stock plans (in shares)   7      
Common shares withheld for taxes on vested stock awards (476)   (476)    
Common shares withheld for taxes on vested stock awards (in shares)   (3)      
Share-based compensation 6,231   6,231    
Other comprehensive income (loss), net of tax 767       767
Balance at Jun. 28, 2024 701,992 $ 423,856 73,627 231,893 (27,384)
Balance (in shares) at Jun. 28, 2024   35,895      
Balance at Dec. 31, 2024 745,698 $ 423,856 84,214 267,549 (29,921)
Balance (in shares) at Dec. 31, 2024   35,938      
Net income 25,705     25,705  
Common shares issued under stock plans (in shares)   132      
Common shares withheld for taxes on vested stock awards (7,187)   (7,187)    
Common shares withheld for taxes on vested stock awards (in shares)   (51)      
Repurchases of common shares (6,157)   (6,157)    
Repurchases of common shares (in shares)   (46)      
Share-based compensation 14,598   14,598    
Other comprehensive income (loss), net of tax 28,789       28,789
Balance at Jun. 27, 2025 801,446 $ 423,856 85,468 293,254 (1,132)
Balance (in shares) at Jun. 27, 2025   35,973      
Balance at Mar. 28, 2025 769,755 $ 423,856 78,488 288,757 (21,346)
Balance (in shares) at Mar. 28, 2025   35,964      
Net income 4,497     4,497  
Common shares issued under stock plans (in shares)   13      
Common shares withheld for taxes on vested stock awards (518)   (518)    
Common shares withheld for taxes on vested stock awards (in shares)   (4)      
Share-based compensation 7,498   7,498    
Other comprehensive income (loss), net of tax 20,214       20,214
Balance at Jun. 27, 2025 $ 801,446 $ 423,856 $ 85,468 $ 293,254 $ (1,132)
Balance (in shares) at Jun. 27, 2025   35,973      
v3.25.2
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Cash flows from operating activities:    
Net income $ 25,705 $ 28,431
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization 29,144 27,045
Provision for inventory excess and obsolescence 1,690 5,741
Share-based compensation 14,598 12,308
Deferred income taxes (5,174) (7,711)
Write-off of unamortized deferred financing costs 426  
Inventory acquisition fair value adjustments   2,777
Loss (gain) on disposal of fixed assets (4,089) 116
Other 651 748
Changes in assets and liabilities which (used)/provided cash, excluding effects from business acquisitions:    
Accounts receivable (2,251) 1,223
Inventories (14,257) (6,586)
Prepaid income taxes, income taxes receivable, prepaid expenses and other current assets 3,104 1,056
Accounts payable, income taxes payable, accrued expenses and other current liabilities (3,479) 8,934
Other non-current assets and liabilities 688 (158)
Net cash provided by operating activities 46,756 73,924
Cash flows from investing activities:    
Cash paid for business acquisitions, net of working capital adjustments (63,173) (191,200)
Purchases of property, plant and equipment (7,672) (11,352)
Proceeds from sale of property, plant and equipment 5,537  
Net cash used in investing activities (65,308) (202,552)
Cash flows from financing activities:    
Borrowings under revolving credit facilities 72,805 198,000
Repayments under term loan and revolving credit facilities (41,017) (67,344)
Payments of debt issuance costs (3,391)  
Payments of withholding taxes from share-based awards (7,187) (8,861)
Repurchases of common shares (6,157)  
Other financing activities (2,952) (355)
Net cash provided by financing activities 12,101 121,440
Effect of exchange rates on cash and cash equivalents 2,374 605
Decrease in cash and cash equivalents (4,077) (6,583)
Cash and cash equivalents, beginning of the period 113,989 105,051
Cash and cash equivalents, end of the period 109,912 98,468
Supplemental disclosure of cash flow information:    
Cash paid for interest 12,090 16,491
Cash paid for income taxes 15,090 8,035
Income tax refunds received $ 299 $ 739
v3.25.2
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Pay vs Performance Disclosure        
Net Income (Loss) $ 4,497 $ 13,755 $ 25,705 $ 28,431
v3.25.2
Insider Trading Arrangements
 3 Months Ended
Jun. 27, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
Rule 10b5-1 Arr Modified Flag false
Non-Rule 10b5-1 Arr Modified Flag false
v3.25.2
Basis of Presentation
 6 Months Ended
Jun. 27, 2025
Accounting Policies [Abstract]  
Basis of Presentation

1. Basis of Presentation

Novanta Inc. (collectively with its subsidiaries, referred to as “Novanta”, the “Company”, “we”, “us”, “our”) is a leading global supplier of core technology solutions that give medical and advanced industrial original equipment manufacturers (“OEMs”) a competitive advantage. Novanta combines deep proprietary technology expertise and competencies in precision medicine, precision manufacturing, robotics and automation, and advanced surgery with a proven ability to solve complex technical challenges. This enables Novanta to engineer core components and sub-systems that deliver extreme precision and performance, tailored to the customers' demanding applications.

The accompanying unaudited interim consolidated financial statements have been prepared by the Company in United States (“U.S.”) dollars and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”), the instructions to Form 10-Q and the provisions of Regulation S-X pertaining to interim financial statements. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the U.S. have been condensed or omitted. The interim consolidated financial statements and notes included in this report should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. In the opinion of management, these interim consolidated financial statements include all adjustments and accruals of a normal and recurring nature necessary to fairly state the results of the interim periods presented. The results for interim periods are not necessarily indicative of results to be expected for the full year or for any future periods.

The Company’s unaudited interim consolidated financial statements are prepared for each quarterly period ending on the Friday closest to the end of the calendar quarter, with the exception of the fourth quarter which always ends on December 31.

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenue and expenses during the reporting periods. Estimates and assumptions are reviewed on an on-going basis and the effects of revisions are reflected in the period in which such revisions are deemed to be necessary. The Company evaluates its estimates based on historical experience, current conditions, and various other assumptions that it believes are reasonable under the circumstances. Actual results could differ significantly from these estimates.

Recent Accounting Pronouncements

The following table provides a brief description of recent Accounting Standards Updates (“ASU”) issued by the Financial Accounting Standards Board (“FASB”):

Standard

 

Description

 

Effective Date

 

Effect on the Financial Statements or Other Significant Matters

In October 2023, the FASB issued ASU 2023-06, “Disclosure Improvements: Codification Amendments in Response to SEC’s Disclosure Update and Simplification Initiative.”

 

ASU 2023-06 clarifies or improves disclosure and presentation requirements of a variety of topics, which allow users to easily compare entities subject to the SEC’s existing disclosure requirements with those entities that were not previously subject to such requirements and align the requirements in the FASB Accounting Standards Codification with the SEC’s regulations.

 

The effective date for each amendment in ASU 2023-06 will be the date on which the SEC’s removal of that related disclosure from Regulation S-X or Regulation S-K becomes effective, with early adoption prohibited.

 

The Company is currently evaluating the impact of ASU 2023-06 on its consolidated financial statement disclosures.

Standard

 

Description

 

Effective Date

 

Effect on the Financial Statements or Other Significant Matters

In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740) -Improvements to Income Tax Disclosures."

 

ASU 2023-09 provides more transparency about income tax information through improvements to income tax disclosures primarily related to the rate reconciliation and income taxes paid.

 

The amendments in ASU 2023-09 are effective for annual periods beginning after December 15, 2024. Early adoption is permitted.

 

The amendments in this update affects financial statement disclosure only and, as a result, will have no impact on results of operations, cash flows or financial condition.

In November 2024, the FASB issued ASU 2024-03, “Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses.”

 

ASU 2024-03 improves financial reporting by requiring that public business entities disclose additional information about specific expense categories in the notes to financial statements at both interim and annual reporting periods.

 

The amendments in ASU 2024-03 are effective for annual reporting periods beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027, with early adoption permitted.

 

ASU 2024-03 affects financial statement disclosure only and, as a result, will have no impact on results of operations, cash flows or financial condition.

 
v3.25.2
Revenue
 6 Months Ended
Jun. 27, 2025
Revenue from Contract with Customer [Abstract]  
Revenue

2. Revenue

The Company accounts for its revenue transactions in accordance with Accounting Standards Codification (“ASC”) Topic 606, “Revenue from Contracts with Customers,” which requires entities to recognize revenue in a way that depicts the transfer of control over goods or services to customers at an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.

The Company recognizes revenue when control of promised goods or services is transferred to the customer. The transfer of control generally occurs upon shipment when title and risk of loss pass to the customer. The vast majority of the Company’s revenue is generated from the sale of distinct products. Revenue is measured as the amount of consideration the Company expects to receive in exchange for such products, which is generally at contractually stated prices. Sales taxes and value added taxes collected concurrently with revenue generating activities are excluded from revenue.

Performance Obligations

Substantially all of the Company’s revenue is recognized at a point in time, upon shipment, rather than over time.

At the request of its customers, the Company may perform professional services, generally for the maintenance and repair of products previously sold to those customers and for engineering services. Professional services are typically short in duration and aggregate to less than 3% of the Company’s consolidated revenue. Revenue is typically recognized at a point in time when control transfers to the customer upon completion of professional services. These services generally involve a single distinct performance obligation. The consideration expected to be received in exchange for such services is normally the contractually stated amount.

The Company occasionally sells separately priced non-standard/extended warranty services or preventative maintenance plans with the sale of products. The transfer of control over the service plans is over time. The Company recognizes the related revenue ratably over the terms of the service plans. The transaction price of a contract is allocated to each performance obligation based on its relative standalone selling price. Standalone selling prices are generally determined based on the prices charged to customers or using the expected cost plus a margin.

Shipping & Handling Costs

The Company accounts for shipping and handling activities that occur after the transfer of control over the related goods as fulfillment activities rather than performance obligations. Shipping and handling fees charged to customers are recognized as revenue and the related costs are recorded in cost of revenue at the time of transfer of control.

Warranties

The standard warranty periods for the Company’s products are typically 12 months to 36 months. The Company recognizes estimated liabilities associated with standard warranty periods for its products in accordance with the provisions of ASC 450, “Contingencies,” as the Company has the ability to ascertain the likelihood of the liabilities and can reasonably estimate the amount of the liabilities. A provision for the estimated cost related to standard warranties is recorded as cost of revenue at the time revenue is recognized. The Company’s estimate of the costs to service the warranty obligations is based on historical experience and expectations of future conditions. To the extent that the Company’s experience in warranty claims or costs associated with servicing those claims differ from the original estimates, revisions to the estimated warranty liabilities are recorded at that time, with offsetting adjustments to cost of revenue.

Practical Expedients and Exemptions

The Company expenses incremental direct costs of obtaining a contract when incurred because the expected amortization period is typically one year or less. These costs are recorded within selling, general and administrative expenses in the consolidated statement of operations.

The Company does not adjust the promised amount of consideration for the effects of a financing component because the transfer of a promised good to a customer and the customer’s payment for that good are typically one year or less. The Company does not disclose the value of the remaining performance obligation for contracts with an original expected length of one year or less.

Contract Liabilities

Contract liabilities consist of deferred revenue and advance payments from customers, including amounts that are refundable. These contract liabilities are classified as either current or long-term liabilities in the consolidated balance sheet based on the timing of when the Company expects to recognize the related revenue. As of June 27, 2025 and December 31, 2024, contract liabilities were $7.1 million and $5.9 million, respectively, and are included in accrued expenses and other current liabilities and other liabilities in the accompanying consolidated balance sheets. The increase in the contract liability balance during the six months ended June 27, 2025 is primarily due to cash payments received in advance of satisfying performance obligations, partially offset by $2.6 million of revenue recognized during the period that was included in the contract liability balance as of December 31, 2024.

Disaggregated Revenue

See Note 16 for the Company’s disaggregation of revenue by segment, geography and end market. The following table presents revenues disaggregated by the capabilities of the underlying products and technologies during the three and six months ended June 27, 2025 and June 28, 2024, respectively (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Precision Manufacturing

$

43,837

 

 

$

49,343

 

 

$

88,416

 

 

$

103,502

 

Robotics and Automation

 

77,835

 

 

 

67,386

 

 

 

156,423

 

 

 

130,616

 

Automation Enabling Technologies

 

121,672

 

 

 

116,729

 

 

 

244,839

 

 

 

234,118

 

 

 

 

 

 

 

 

 

 

 

 

 

Precision Medicine

 

59,161

 

 

 

67,710

 

 

 

113,173

 

 

 

132,311

 

Advanced Surgery

 

60,216

 

 

 

51,425

 

 

 

116,403

 

 

 

100,351

 

Medical Solutions

 

119,377

 

 

 

119,135

 

 

 

229,576

 

 

 

232,662

 

Total Revenue

$

241,049

 

 

$

235,864

 

 

$

474,415

 

 

$

466,780

 
v3.25.2
Business Combinations
 6 Months Ended
Jun. 27, 2025
Business Combinations [Abstract]  
Business Combinations

3. Business Combinations

On April 8, 2025, the Company acquired 100% of the outstanding stock of Keonn Technologies, S.L. (“Keonn”) pursuant to the terms of a Share Purchase Agreement. At the closing date, Keonn became a wholly-owned subsidiary of the Company. Keonn is a manufacturer of Radio-Frequency Identification (“RFID”) solutions, based in Barcelona, Spain.

The acquisition of Keonn has been accounted for as a business combination under ASC 805, Business Combinations (“ASC 805”). Under ASC 805, assets acquired and liabilities assumed in a business combination are recorded at their fair value as of the acquisition date. The Company’s consolidated financial statements include results of operations for Keonn from the April 8, 2025 acquisition date.

Consideration Transferred

Pursuant to the Share Purchase Agreement, the Company acquired all outstanding equity of Keonn for estimated total purchase consideration of $75.4 million, which consists of:

 

Cash consideration

$

67,218

 

Deferred consideration

 

3,674

 

Estimated fair value of contingent consideration

 

4,537

 

Estimated total purchase consideration

$

75,429

 

Contingent consideration represents additional payments that the Company may be required to make in the future, between €0 and €20.0 million (approximately $21.9 million as of the acquisition date), depending on the achievement of specified revenue targets by Keonn during fiscal years 2025 through 2027, as well as maintaining certain minimum gross margin targets during the applicable periods. The fair value of the contingent consideration was determined based on a Monte Carlo simulation model in an option pricing framework at the acquisition date, whereby a range of possible scenarios were simulated. Refer to Note 6 for additional information on the valuation assumptions utilized in the Monte Carlo simulation. Deferred consideration is related to a purchase price holdback and customary closing and net working capital adjustments which will be resolved within four years of the acquisition date. The liabilities for contingent and deferred consideration are included in other current and long-term liabilities on the consolidated balance sheets, based on their respective settlement dates. These liabilities are remeasured at the end of each reporting period until related contingencies are resolved.

Allocation of Purchase Price

The purchase price is allocated based upon a valuation of the fair values of assets acquired and liabilities assumed. Assets acquired and liabilities assumed have been recorded at their estimated fair values as of the acquisition date. The excess of the purchase price over the fair values of the acquired tangible assets, identifiable intangible assets and assumed liabilities was recorded as goodwill. The fair values of identifiable intangible assets were based on valuations using an income approach, specifically the multi-period excess earnings method for customer relationships and the relief-from-royalty method for developed technologies and trade name. The process for estimating the fair values of identifiable intangible assets requires the use of significant estimates and assumptions, including revenue growth rates, customer attrition rates, royalty rates, discount rates, technology obsolescence curves, and EBITDA margins. The Company’s estimates and assumptions in determining the estimated fair value of certain assets and liabilities are subject to change within the measurement period (up to one year from the acquisition date) as a result of additional information to be obtained with regard to facts and circumstances that existed as of the acquisition date.

Based upon the Company’s preliminary valuation, the purchase price for Keonn was allocated as follows (in thousands):

 

Purchase Price

 

 

Allocation

 

Cash

$

4,045

 

Accounts receivable

 

1,977

 

Inventory

 

5,377

 

Property, plant and equipment

 

1,401

 

Operating lease assets

 

3,124

 

Intangible assets

 

32,326

 

Goodwill

 

44,214

 

Other assets

 

1,412

 

Total assets acquired

 

93,876

 

Accounts payable

 

1,593

 

Operating lease liabilities

 

3,124

 

Debt

 

2,504

 

Deferred tax liabilities

 

7,150

 

Other liabilities

 

4,076

 

Total liabilities assumed

 

18,447

 

Total assets acquired, net of liabilities assumed

 

75,429

 

Less: cash acquired

 

4,045

 

Purchase price, net of cash acquired

$

71,384

 

The fair value of intangible assets for Keonn is comprised of the following:

 

 

 

 

 

 

Estimated Fair

 

 

Amortization

 

Value
(In thousands)

 

 

Period

Developed technologies

$

9,753

 

 

9 years

Customer relationships

 

21,477

 

 

9 years

Trade name

 

1,096

 

 

14 years

Total

$

32,326

 

 

 

The preliminary purchase price allocation resulted in $32.3 million of identifiable intangible assets and $44.2 million of goodwill. As the Keonn acquisition was structured as a stock acquisition for income tax purposes, the goodwill is not deductible. The goodwill recorded represents the anticipated incremental value of future cash flows potentially attributable to: (i) Keonn’s ability to grow the business with existing and new customers, including leveraging the Company’s customer base; (ii) Keonn’s ability to grow the business through new product introductions; and (iii) cost improvements due to the integration of Keonn’s operations into the Company’s existing infrastructure.

The operating results of Keonn were included in the Company's results of operations beginning on April 8, 2025. Keonn contributed revenues of $6.2 million and a loss before income taxes of $0.7 million to the Company's operating results for the six months ended June 27, 2025. The loss before income taxes from Keonn for the period from the acquisition date through June 27, 2025 included amortization of purchased intangible assets of $1.8 million.

The pro forma financial information reflecting the operating results of Keonn, as if it had been acquired as of January 1, 2024, would not differ materially from the operating results of the Company as reported for the year ended December 31, 2024.

Acquisition Costs

Acquisition costs are expensed in the periods in which the costs are incurred and included in restructuring, acquisition and related costs in the consolidated statements of operations. Acquisition-related costs for Keonn were $2.1 million for the six months ended June 27, 2025.
v3.25.2
Accumulated Other Comprehensive Loss
 6 Months Ended
Jun. 27, 2025
Equity [Abstract]  
Accumulated Other Comprehensive Loss

4. Accumulated Other Comprehensive Loss

Changes in accumulated other comprehensive loss were as follows (in thousands):

 

Total Accumulated

 

 

 

 

 

 

 

 

Other

 

 

Cumulative

 

 

Pension

 

 

Comprehensive

 

 

Translation

 

 

Liability

 

 

Loss

 

 

Adjustments

 

 

Adjustments

 

Balance at December 31, 2024

$

(29,921

)

 

$

(23,686

)

 

$

(6,235

)

Other comprehensive income (loss)

 

28,380

 

 

 

28,957

 

 

 

(577

)

Amounts reclassified from accumulated other comprehensive loss

 

409

 

 

 

—

 

 

 

409

 

Balance at June 27, 2025

$

(1,132

)

 

$

5,271

 

 

$

(6,403

)

The amounts reclassified from accumulated other comprehensive loss were included in other income (expense) in the consolidated statements of operations.
v3.25.2
Earnings per Common Share
 6 Months Ended
Jun. 27, 2025
Earnings Per Share [Abstract]  
Earnings per Common Share

5. Earnings per Common Share

Basic earnings per common share is computed by dividing net income by the weighted average number of common shares outstanding during the period. Fully vested restricted stock units and deferred stock units granted to members of the Company’s Board of Directors are included in the calculation of weighted average number of common shares outstanding.

For diluted earnings per common share, the denominator includes the dilutive effect of outstanding common share equivalents. The dilutive effects of outstanding common share equivalents, including outstanding service-based restricted stock units, stock options and performance-based restricted stock units, are determined using the treasury stock method. Performance-based restricted stock units are considered contingently issuable shares, the vesting of which may be based on achievement of specified company financial performance metrics (“attainment-based PSUs”), certain market conditions (“market-based PSUs”) or a hybrid of company financial performance metrics and market conditions (“hybrid PSUs”). The dilutive effects of market-based PSUs are included in the weighted average common share calculation based on the number of shares, if any, that would be issuable as of the end of the reporting period, assuming the end of the reporting period is also the end of the performance period. The dilutive effects of attainment-based and hybrid PSUs are included in the weighted average common share calculation based on the cumulative achievement against the performance targets only when the performance targets have been achieved as of the end of the reporting period.

The following table sets forth the computation of basic and diluted earnings per common share (amounts in thousands, except per share data):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Numerators:

 

 

 

 

 

 

 

 

 

 

 

Net income

$

4,497

 

 

$

13,755

 

 

$

25,705

 

 

$

28,431

 

 

 

 

 

 

 

 

 

 

 

 

 

Denominators:

 

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding— basic

 

36,022

 

 

 

35,946

 

 

 

36,023

 

 

 

35,930

 

Dilutive common share equivalents

 

54

 

 

 

146

 

 

 

80

 

 

 

180

 

Weighted average common shares outstanding— diluted

 

36,076

 

 

 

36,092

 

 

 

36,103

 

 

 

36,110

 

Antidilutive common share equivalents excluded from above

 

344

 

 

 

166

 

 

 

260

 

 

 

119

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per Common Share:

 

 

 

 

 

 

 

 

 

 

 

Basic

$

0.12

 

 

$

0.38

 

 

$

0.71

 

 

$

0.79

 

Diluted

$

0.12

 

 

$

0.38

 

 

$

0.71

 

 

$

0.79

 

For the three and six months ended June 27, 2025, 291 thousand shares of attainment-based PSUs and hybrid PSUs were excluded from the calculation of the denominator because they were considered contingently issuable shares and the related performance targets had not been achieved as of June 27, 2025.

For the three and six months ended June 28, 2024, 177 thousand shares of attainment-based PSUs and hybrid PSUs were excluded from the calculation of the denominator because they were considered contingently issuable shares and the related performance targets had not been achieved as of June 28, 2024.
v3.25.2
Fair Value Measurements
 6 Months Ended
Jun. 27, 2025
Fair Value Disclosures [Abstract]  
Fair Value Measurements

6. Fair Value Measurements

ASC 820, “Fair Value Measurements,” establishes a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the third is considered unobservable:

•
Level 1: Quoted prices for identical assets or liabilities in active markets which the Company can access
•
Level 2: Observable inputs other than those described in Level 1
•
Level 3: Unobservable inputs

Current Assets and Liabilities

The Company’s cash equivalents are highly liquid investments with original maturities of three months or less, which represent assets measured at fair value on a recurring basis. The Company determines the fair value of cash equivalents using a market approach based on quoted prices in active markets. The fair values of cash equivalents, accounts receivable, income taxes receivable, accounts payable, income taxes payable and accrued expenses and other current liabilities approximate their carrying values because of their short-term nature.

Foreign Currency Contracts

The Company addresses market risks from changes in foreign currency exchange rates through a risk management program that includes the use of derivative financial instruments to mitigate certain balance sheet foreign currency transaction exposures. The Company uses foreign currency forward contracts as a part of its strategy to manage exposures related to foreign currency denominated monetary assets and liabilities. The fair value of these foreign currency forward contracts is reported either in other current assets or in other current liabilities as of the end of the reporting period.

Contingent Considerations

On April 8, 2025, the Company completed the acquisition of Keonn. Pursuant to the purchase and sale agreement, the former shareholders of Keonn (the “Sellers”) are eligible to receive contingent consideration based on the achievement of specified revenue targets by Keonn during fiscal years 2025 through 2027. Payment of this contingent consideration is also subject to Keonn maintaining certain minimum gross margin percentage during the applicable periods. The undiscounted range of potential contingent consideration is between €0 and €20.0 million (approximately $21.9 million). If the performance conditions are met, the contingent consideration will be payable annually, with the first payment due in the second quarter of 2026. As of the acquisition date, the estimated fair value of the contingent consideration was €4.1 million (approximately $4.5 million), determined using the Monte Carlo valuation method. This amount was recorded as part of the purchase price. Subsequent changes in the estimated fair value are recognized in the consolidated statement of operations in restructuring, acquisition, and related costs until the liability is fully settled. There have been no changes in the fair value of the contingent consideration since the acquisition date.

Summary by Fair Value Hierarchy

The following table summarizes the fair values of the Company’s assets and liabilities measured at fair value on a recurring basis as of June 27, 2025 (in thousands):

 

 

 

 

Quoted Prices in

 

 

 

 

 

Significant Other

 

 

 

 

 

Active Markets for

 

 

Significant Other

 

 

Unobservable

 

 

 

 

 

Identical Assets

 

 

Observable Inputs

 

 

Inputs

 

 

Fair Value

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets

 

 

 

 

 

 

 

 

 

 

 

Prepaid expenses and other current assets:

 

 

 

 

 

 

 

 

 

 

 

Foreign currency forward contracts

$

200

 

 

$

—

 

 

$

200

 

 

$

—

 

 

$

200

 

 

$

—

 

 

$

200

 

 

$

—

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

Accrued expenses and other current liabilities:

 

 

 

 

 

 

 

 

 

 

 

Contingent considerations - Current

$

4,461

 

 

$

—

 

 

$

—

 

 

$

4,461

 

Contingent considerations - Long term

 

458

 

 

 

—

 

 

 

—

 

 

 

458

 

Foreign currency forward contracts

 

302

 

 

 

—

 

 

 

302

 

 

 

—

 

 

$

5,221

 

 

$

—

 

 

$

302

 

 

$

4,919

 

The following table summarizes the fair values of the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2024 (in thousands):

 

 

 

 

Quoted Prices in

 

 

 

 

 

Significant Other

 

 

 

 

 

Active Markets for

 

 

Significant Other

 

 

Unobservable

 

 

 

 

 

Identical Assets

 

 

Observable Inputs

 

 

Inputs

 

 

Fair Value

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets

 

 

 

 

 

 

 

 

 

 

 

Prepaid expenses and other current assets:

 

 

 

 

 

 

 

 

 

 

 

Foreign currency forward contracts

$

1,226

 

 

$

—

 

 

$

1,226

 

 

$

—

 

 

$

1,226

 

 

$

—

 

 

$

1,226

 

 

$

—

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

Accrued expenses and other current liabilities:

 

 

 

 

 

 

 

 

 

 

 

Contingent considerations - Current

$

57

 

 

$

—

 

 

$

—

 

 

$

57

 

Foreign currency forward contracts

 

1,401

 

 

 

—

 

 

 

1,401

 

 

 

—

 

 

$

1,458

 

 

$

—

 

 

$

1,401

 

 

$

57

 

Changes in the fair value of Level 3 contingent considerations during the six months ended June 27, 2025 were as follows (in thousands):

 

Amount

 

Balance at December 31, 2024

$

57

 

Acquisition of Keonn

 

4,537

 

Payments

 

—

 

Fair value adjustments

 

—

 

Effect of foreign exchange rates

 

325

 

Balance at June 27, 2025

$

4,919

 

 

The following table provides qualitative information associated with the fair value measurement of the Company’s Level 3 liabilities:

Liability

June 27, 2025

Fair Value

(in thousands)

Valuation Technique

Unobservable Inputs

Percentage Applied

Contingent consideration (Keonn)

$4,856

Monte Carlo method

Historical and projected revenue from fiscal year 2025 to 2027

N/A

 

 

 

 

 

 

Gross Profit Premium

 

8.8%

 

 

 

 

 

 

Revenue risk premium

 

8.0%

 

 

 

 

 

 

Gross Profit Volatility

 

44.0%

 

 

 

 

 

 

Revenue Volatility

 

40.0%

 

 

 

 

 

 

Credit spread

 

3.6%

See Note 10 to Consolidated Financial Statements for a discussion of the estimated fair value of the Company’s outstanding debt.
v3.25.2
Foreign Currency Contracts
 6 Months Ended
Jun. 27, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Foreign Currency Contracts

7. Foreign Currency Contracts

The Company addresses market risks from changes in foreign currency exchange rates through a risk management program that includes the use of derivative financial instruments to mitigate certain foreign currency transaction exposures from future settlement of non-functional currency monetary assets and liabilities as of the end of a period. The Company does not enter into derivative transactions for speculative purposes. Gains and losses on these derivative financial instruments substantially offset losses and gains on the underlying hedged exposures and are included in foreign exchange transaction gains (losses) in the consolidated statements of operations. Furthermore, the Company manages its exposures to counterparty risks on derivative instruments by entering into contracts with a diversified group of major financial institutions and by actively monitoring outstanding positions.

As of June 27, 2025, the aggregate notional amount and fair value of the Company’s foreign currency forward contracts was $54.4 million and a net loss of $0.1 million, respectively. As of December 31, 2024, the aggregate notional amount and fair value of the Company’s foreign currency forward contracts was $187.4 million and a net loss of $0.2 million, respectively.

The Company recognized an aggregate net loss of $2.1 million and $1.8 million for the three and six months ended June 27, 2025 and an aggregate net gain of $1.0 million and $2.2 million for the three and six months ended June 28, 2024. These amounts were included in foreign exchange transaction gains (losses) in the consolidated statements of operations.
v3.25.2
Goodwill and Intangible Assets
 6 Months Ended
Jun. 27, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets

8. Goodwill and Intangible Assets

Goodwill

Goodwill is recorded when the consideration paid for a business combination exceeds the fair value of net tangible and identifiable intangible assets acquired. The Company tests its goodwill balances for impairment annually as of the beginning of the second quarter or more frequently if indicators are present or changes in circumstances suggest that an impairment may exist. The Company performed the most recent annual goodwill and indefinite-lived intangible asset impairment test as of the beginning of the second quarter of 2025 and noted no impairment.

The following table summarizes changes in goodwill during the six months ended June 27, 2025 (in thousands):

 

Amount

 

Balance at beginning of the period

$

584,098

 

Goodwill acquired from Keonn acquisition

 

44,214

 

Effect of foreign exchange rate changes

 

20,781

 

Balance at end of the period

$

649,093

 

 

Goodwill by reportable segment as of June 27, 2025 was as follows (in thousands):

 

Reportable Segment

 

 

 

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

Goodwill

$

447,763

 

 

$

352,559

 

 

$

800,322

 

Accumulated impairment of goodwill

 

(119,507

)

 

 

(31,722

)

 

 

(151,229

)

Total

$

328,256

 

 

$

320,837

 

 

$

649,093

 

Goodwill by reportable segment as of December 31, 2024 was as follows (in thousands):

 

Reportable Segment

 

 

 

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

Goodwill

$

439,980

 

 

$

295,347

 

 

$

735,327

 

Accumulated impairment of goodwill

 

(119,507

)

 

 

(31,722

)

 

 

(151,229

)

Total

$

320,473

 

 

$

263,625

 

 

$

584,098

 

Intangible Assets

Intangible assets as of June 27, 2025 and December 31, 2024, respectively, are summarized as follows (in thousands):

 

June 27, 2025

 

 

December 31, 2024

 

 

Gross Carrying
Amount

 

 

Accumulated
Amortization

 

 

Net Carrying
Amount

 

 

Gross Carrying
Amount

 

 

Accumulated
Amortization

 

 

Net Carrying
Amount

 

Amortizable intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Patents and developed technologies

$

236,374

 

 

$

(172,760

)

 

$

63,614

 

 

$

218,867

 

 

$

(159,041

)

 

$

59,826

 

Customer relationships

 

296,698

 

 

 

(177,267

)

 

 

119,431

 

 

 

265,156

 

 

 

(158,938

)

 

 

106,218

 

Trademarks and trade names

 

25,352

 

 

 

(17,794

)

 

 

7,558

 

 

 

23,367

 

 

 

(16,594

)

 

 

6,773

 

Amortizable intangible assets

 

558,424

 

 

 

(367,821

)

 

 

190,603

 

 

 

507,390

 

 

 

(334,573

)

 

 

172,817

 

Non-amortizable intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trade names

 

13,027

 

 

 

—

 

 

 

13,027

 

 

 

13,027

 

 

 

—

 

 

 

13,027

 

Total intangible assets

$

571,451

 

 

$

(367,821

)

 

$

203,630

 

 

$

520,417

 

 

$

(334,573

)

 

$

185,844

 

All definite-lived intangible assets are amortized either on a straight-line basis or an economic benefit basis over their remaining estimated useful life. Amortization expense for patents and developed technologies is included in cost of revenue in the accompanying consolidated statements of operations. Amortization expense for customer relationships and definite-lived trademarks, trade names and other intangibles is included in operating expenses in the accompanying consolidated statements of operations. Amortization expense was as follows (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Amortization expense – cost of revenue

$

4,220

 

 

$

3,685

 

 

$

7,781

 

 

$

7,377

 

Amortization expense – operating expenses

 

6,871

 

 

 

6,907

 

 

 

12,425

 

 

 

12,657

 

Total amortization expense

$

11,091

 

 

$

10,592

 

 

$

20,206

 

 

$

20,034

 

 

As of June 27, 2025, estimated amortization expense for each of the five succeeding years and thereafter was as follows (in thousands):

Year Ending December 31,

 

Cost of Revenue

 

 

Operating
Expenses

 

 

Total

 

2025 (remainder of year)

 

$

8,517

 

 

$

13,889

 

 

$

22,406

 

2026

 

 

15,057

 

 

 

23,003

 

 

 

38,060

 

2027

 

 

12,128

 

 

 

19,131

 

 

 

31,259

 

2028

 

 

10,318

 

 

 

16,076

 

 

 

26,394

 

2029

 

 

7,446

 

 

 

12,455

 

 

 

19,901

 

Thereafter

 

 

10,148

 

 

 

42,435

 

 

 

52,583

 

Total

 

$

63,614

 

 

$

126,989

 

 

$

190,603

 
v3.25.2
Supplementary Balance Sheet Information
 6 Months Ended
Jun. 27, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Supplementary Balance Sheet Information

9. Supplementary Balance Sheet Information

The following tables provide the details of selected balance sheet items as of the periods indicated (in thousands):

Inventories

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Raw materials

$

109,415

 

 

$

92,198

 

Work-in-process

 

26,005

 

 

 

24,719

 

Finished goods

 

31,997

 

 

 

27,327

 

Demo and consigned inventory

 

648

 

 

 

362

 

Total inventories

$

168,065

 

 

$

144,606

 

Accrued Expenses and Other Current Liabilities

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Accrued compensation and benefits

$

17,261

 

 

$

28,361

 

Accrued warranty

 

4,809

 

 

 

4,805

 

Contract liabilities, current portion

 

6,906

 

 

 

5,715

 

Accrued restructuring

 

13,477

 

 

 

6,131

 

Accrued earn-outs and contingent considerations

 

4,461

 

 

 

57

 

Other

 

17,609

 

 

 

15,262

 

Total

$

64,523

 

 

$

60,331

 

Accrued Warranty

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

Balance at beginning of the period

$

4,805

 

 

$

5,292

 

Provision charged to cost of revenue

 

1,151

 

 

 

595

 

Warranty liabilities acquired from acquisitions

 

—

 

 

 

76

 

Use of provision

 

(1,249

)

 

 

(913

)

Foreign currency exchange rate changes

 

102

 

 

 

(11

)

Balance at end of the period

$

4,809

 

 

$

5,039

 

 

Other Long-Term Liabilities

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Finance lease obligations

$

2,779

 

 

$

3,175

 

Other

 

4,036

 

 

 

1,316

 

Total

$

6,815

 

 

$

4,491

 
v3.25.2
Debt
 6 Months Ended
Jun. 27, 2025
Debt Disclosure [Abstract]  
Debt

10. Debt

Outstanding debt consisted of the following (in thousands):

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Senior Credit Facilities – term loans

$

5,300

 

 

$

4,710

 

Less: unamortized debt issuance costs

 

(97

)

 

 

(19

)

Total current portion of long-term debt

$

5,203

 

 

$

4,691

 

 

 

 

 

 

 

Senior Credit Facilities – term loans

$

146,283

 

 

$

65,698

 

Senior Credit Facilities – revolving credit facility

 

313,495

 

 

 

348,751

 

Less: unamortized debt issuance costs

 

(5,741

)

 

 

(2,500

)

Total long-term debt

$

454,037

 

 

$

411,949

 

 

 

 

 

 

 

Total Senior Credit Facilities

$

459,240

 

 

$

416,640

 

Senior Credit Facilities

On June 27, 2025, the Company entered into an amended and restated credit agreement (the “Fourth Amended and Restated Credit Agreement”) with existing and new lenders for an aggregate credit facility of approximately $1.0 billion, consisting of a €65.3 million euro-denominated 5-year term loan facility (the “Euro Term Loans”), a $75.0 million U.S. Dollar denominated 5-year term loan facility (the “U.S. Term Loans” and together with the Euro Term Loans, the “Term Loans”), and an $850.0 million 5-year revolving credit facility (the “Revolving Facility”, and together with the Euro Term Loans and the U.S. Term Loans, collectively, the “Senior Credit Facilities”). The Senior Credit Facilities mature in June 2030 and include an uncommitted “accordion” feature pursuant to which the commitments thereunder may be increased by an additional $350.0 million in aggregate, subject to the satisfaction of certain customary conditions. In connection with the Fourth Amended and Restated Credit Agreement, the Company capitalized $4.3 million deferred financing costs and recorded a $0.4 million loss from the write-off of a portion of the unamortized deferred financing costs.

The outstanding principal balance under the Euro Term Loans is payable in quarterly installments of €1.1 million (approximately $1.3 million), beginning in September 2025, with the remaining balance due upon maturity. The U.S. Term Loans requires quarterly installments of $0.5 million starting in September 2026, increasing to $0.9 million beginning in September 2027, with the remaining balance also due upon maturity. The Company may make additional principal payments at any time, which will reduce the next scheduled installment. Borrowings under the Revolving Facility may be repaid at any time prior to maturity. The Company made principal payments of €2.3 million ($2.5 million) towards the Term Loans and $38.5 million towards its Revolving Facility during the six months ended June 27, 2025.

The Company is required to satisfy certain financial and non-financial covenants under the Fourth Amended and Restated Credit Agreement. The Fourth Amended and Restated Credit Agreement also contains customary events of default. The Company was in compliance with these covenants as of June 27, 2025.

Liens

The Company’s obligations under the Senior Credit Facilities are secured, on a senior basis, by a lien on substantially all of the assets of Novanta Inc.

Fair Value of Debt

As of June 27, 2025 and December 31, 2024, the outstanding balance of the Company’s debt approximated its fair value based on current rates available to the Company for debt of similar maturities. The fair value of the Company’s debt is classified as Level 2 under the fair value hierarchy.
v3.25.2
Leases
 6 Months Ended
Jun. 27, 2025
Leases [Abstract]  
Leases

11. Leases

Most leases held by the Company expire between 2025 and 2037. In the U.K., where longer lease terms are more common, the Company has a land lease that extends through 2078. Certain leases include one or more options to renew the lease terms from one to ten years and options to terminate the leases within one year. The exercise of lease renewal or termination options is at the Company’s sole discretion; therefore, the majority of renewal options to extend the lease terms are not included in the Company’s right-of-use assets and operating lease liabilities as they are not reasonably certain of being exercised. The Company regularly evaluates the renewal options and includes the renewal periods in the lease term when they are reasonably certain of being exercised. The depreciable lives of the right-of-use assets and leasehold improvements are limited to the expected lease terms.

The following table summarizes the components of lease costs (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Operating lease cost

$

2,881

 

 

$

2,834

 

 

$

5,620

 

 

$

5,801

 

Finance lease cost

 

 

 

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

150

 

 

 

150

 

 

 

301

 

 

 

301

 

Interest on lease liabilities

 

50

 

 

 

60

 

 

 

102

 

 

 

122

 

Variable lease cost

 

394

 

 

 

342

 

 

 

670

 

 

 

593

 

Total lease cost

$

3,475

 

 

$

3,386

 

 

$

6,693

 

 

$

6,817

 

 

The following table provides additional details of balance sheet information related to the Company’s leases (in thousands, except lease term and discount rate):

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Operating leases

 

 

 

 

 

Operating lease right-of-use assets

$

44,107

 

 

$

42,908

 

 

 

 

 

 

 

Current portion of operating lease liabilities

$

10,302

 

 

$

9,879

 

Operating lease liabilities

 

41,086

 

 

 

40,548

 

Total operating lease liabilities

$

51,388

 

 

$

50,427

 

 

 

 

 

 

 

Finance leases

 

 

 

 

 

Property, plant and equipment, gross

$

9,582

 

 

$

9,582

 

Accumulated depreciation

 

(7,175

)

 

 

(6,874

)

Finance lease assets included in property, plant and equipment, net

$

2,407

 

 

$

2,708

 

 

 

 

 

 

 

Accrued expenses and other current liabilities

$

780

 

 

$

759

 

Other liabilities

 

2,779

 

 

 

3,175

 

Total finance lease liabilities

$

3,559

 

 

$

3,934

 

 

 

 

 

 

 

Weighted-average remaining lease term (in years):

 

 

 

 

 

Operating leases

 

7.5

 

 

 

7.4

 

Finance leases

 

4.0

 

 

 

4.5

 

 

 

 

 

 

 

Weighted-average discount rate:

 

 

 

 

 

Operating leases

 

4.79

%

 

 

4.82

%

Finance leases

 

5.54

%

 

 

5.54

%

The following table provides additional details of cash flow information related to the Company’s leases (in thousands):

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

Cash paid for lease liabilities:

 

 

 

 

 

Operating cash outflows related to finance leases

$

102

 

 

$

122

 

Operating cash outflows related to operating leases

$

5,019

 

 

$

4,314

 

Financing cash outflows related to finance leases

$

375

 

 

$

355

 

 

 

 

 

 

 

Supplemental non-cash information:

 

 

 

 

 

Right-of-use assets obtained in exchange for new operating lease liabilities(1)

$

3,602

 

 

$

9,623

 

(1) The amount for the six months ended June 27, 2025 includes $3.1 million of right-of-use assets acquired as part of the Keonn acquisition. The amount for the six months ended June 28, 2024 includes $8.1 million of right-of-use assets acquired as part of the Motion Solutions Parent Corp. acquisition.

Future minimum lease payments under operating and finance leases expiring subsequent to June 27, 2025, including operating leases associated with facilities that have been vacated as a result of the Company’s restructuring actions, are summarized as follows (in thousands):

Year Ending December 31,

Operating Leases

 

 

Finance Leases

 

2025 (remainder of year)

$

6,201

 

 

$

477

 

2026

 

11,324

 

 

 

979

 

2027

 

9,765

 

 

 

1,003

 

2028

 

6,731

 

 

 

1,003

 

2029

 

5,852

 

 

 

502

 

Thereafter

 

22,932

 

 

 

—

 

Total minimum lease payments

 

62,805

 

 

 

3,964

 

Less: Interest

 

(11,417

)

 

 

(405

)

Present value of lease liabilities

$

51,388

 

 

$

3,559

 
v3.25.2
Preferred and Common Shares and Share-Based Compensation
 6 Months Ended
Jun. 27, 2025
Share-Based Payment Arrangement [Abstract]  
Preferred and Common Shares and Share-Based Compensation

12. Preferred and Common Shares and Share-Based Compensation

Preferred Shares

In May 2021, the Company’s shareholders approved a special resolution to amend the Company’s articles to authorize up to 7.0 million preferred shares for future issuance. The Company’s Board of Directors is authorized to designate and issue one or more series of preferred shares, fix the rights, preferences and designation, as deemed necessary or advisable, relating to the preferred shares, provided that no shares of any series may be entitled to more than one vote per share. As of June 27, 2025, no preferred shares had been issued and outstanding.

Common Share Repurchases

In February 2020, the Company’s Board of Directors approved a share repurchase plan (the “2020 Repurchase Plan”), authorizing the repurchase of $50.0 million worth of the Company’s common shares. During the six months ended June 27, 2025, the Company repurchased 46 thousand shares under the 2020 Repurchase Plan for an aggregate purchase price of $6.2 million and an average price of $134.54 per share. As of June 27, 2025, the Company had $43.3 million available for future share repurchases under the 2020 Repurchase Plan.

Share-Based Compensation Expense

The table below summarizes share-based compensation expense recorded in the consolidated statements of operations (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Selling, general and administrative

$

6,390

 

 

$

5,552

 

 

$

12,526

 

 

$

10,649

 

Research and development and engineering

 

649

 

 

 

601

 

 

 

1,264

 

 

 

1,160

 

Cost of revenue

 

459

 

 

 

78

 

 

 

808

 

 

 

499

 

Total share-based compensation expense

$

7,498

 

 

$

6,231

 

 

$

14,598

 

 

$

12,308

 

Share-based compensation expense reported in selling, general and administrative expenses included expenses related to restricted stock units granted to the members of the Company’s Board of Directors of $1.6 million and $1.5 million during the six months ended June 27, 2025 and June 28, 2024, respectively.

Restricted Stock Units

The Company’s restricted stock units (“RSUs”) have generally been issued with vesting periods ranging from zero to four years and vest based solely on service conditions. Accordingly, the Company recognizes compensation expense on a straight-line

basis over the requisite service period. The Company reduces the compensation expense by an estimated forfeiture rate which is based on anticipated forfeitures and historical forfeiture experience.

The table below summarizes activities relating to RSUs issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the six months ended June 27, 2025:

 

Shares
(In thousands)

 

 

Weighted
Average Grant
Date Fair Value

 

Unvested at December 31, 2024

 

198

 

 

$

154.43

 

Granted

 

299

 

 

$

131.05

 

Vested

 

(83

)

 

$

148.01

 

Forfeited

 

(17

)

 

$

154.08

 

Unvested at June 27, 2025

 

397

 

 

$

138.18

 

Expected to vest as of June 27, 2025

 

357

 

 

 

 

The total fair value of RSUs that vested during the six months ended June 27, 2025 was $11.5 million based on the market price of the underlying shares on the date of vesting.

Performance Stock Units

The Company typically grants PSUs that are based on the Company’s financial performance metrics, market conditions, or a hybrid of company financial performance metrics and market conditions. These PSUs generally cliff vest on the first day following the end of the specified performance period.

The number of common shares to be issued upon settlement following vesting of attainment-based PSUs is determined based on the Company’s financial performance metrics over the specified performance period against the targets established by the Company’s Board of Directors at the time of grant and will be in the range of zero to 200% of the target number of shares. The Company recognizes the related compensation expense ratably over the performance period based on the number of shares that are deemed probable of vesting at the end of the specified performance period. This probability assessment is performed quarterly and the cumulative effect of a change in the estimated compensation expense, if any, is recognized in the consolidated statement of operations in the period in which such determination is made.

The number of common shares to be issued upon settlement following vesting of market-based PSUs is determined based on the relative market performance of the Company’s common shares compared to the Russell 2000 Index over the specified performance period using a payout formula established by the Company’s Board of Directors at the time of grant and will be in the range of zero to 200% of the target number of shares. The Company recognizes the related compensation expense based on the fair value of the market-based PSUs, determined using the Monte-Carlo valuation method as of the grant date, on a straight-line basis from the grant date to the end of the specified performance period. Compensation expense on market-based PSUs will not be affected by the number of shares that will ultimately vest at the end of the specified performance period.

The number of common shares to be issued upon settlement following vesting of PSU awards that are based on the achievement of a hybrid of company financial performance metrics and market conditions (“Hybrid PSUs”) is determined based on the Company's financial performance metrics achieved over the specified performance period against the targets established by the Company's Board of Directors at the time of grant and a market-based multiplier based on the percentile ranking of the relative market performance of the Company’s common shares compared to the Russell 2000 Index companies. The payout will be in the range of zero to 260% of the target number of shares. The Company determines the fair value of these Hybrid PSUs using the Monte-Carlo valuation method as of the grant date. The Company recognizes compensation expense associated with the Hybrid PSUs ratably over the performance period based on the fair value of the PSUs as of the grant date and the number of shares that are deemed probable of vesting based on the estimated achievement of the pertinent company financial performance metrics at the end of the specified performance period. The probability assessment is performed quarterly and the cumulative effect of a change in the estimated compensation expense, if any, is recognized in the consolidated statement of operations in the period in which such determination is made.

The table below summarizes the activities relating to the performance-based awards issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the six months ended June 27, 2025:

 

Shares
(In thousands)

 

 

Weighted
Average Grant-
Date Fair Value

 

Unvested at December 31, 2024

 

227

 

 

$

165.13

 

Granted

 

157

 

 

$

133.11

 

Performance adjustments(1)

 

(7

)

 

$

140.62

 

Vested

 

(49

)

 

$

139.41

 

Forfeited

 

(14

)

 

$

167.02

 

Unvested at June 27, 2025

 

314

 

 

$

153.67

 

Expected to vest as of June 27, 2025

 

260

 

 

 

 

(1) The amount shown represents performance adjustments related to the performance-based awards vested during the six months ended June 27, 2025.

The unvested PSUs are shown at target payout levels in the table above. As of June 27, 2025, the maximum number of common shares that could be earned under these PSU grants was approximately 617 thousand shares.

The total fair value of PSUs that vested during the six months ended June 27, 2025 was $7.2 million based on the market price of the underlying common shares on the date of vesting.

The grant-date fair value per unit of the hybrid PSUs granted during the six months ended June 27, 2025 was estimated using the Monte Carlo valuation method with the following assumptions:

 

Six Months Ended June 27, 2025

 

Grant-date stock price

$

142.80

 

Expected volatility

 

36.94

%

Risk-free interest rate

 

4.18

%

Expected annual dividend yield

 

—

 

Fair value

$

160.93

 

Stock Options

The table below summarizes the activities relating to stock options issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the six months ended June 27, 2025:

 

 

 

 

 

 

 

 

 

 

 

 

 

Shares
(In thousands)

 

 

Weighted
Average Exercise Price

 

Outstanding as of December 31, 2024

 

149

 

 

$

139.17

 

Granted

 

—

 

 

$

—

 

Exercised

 

(4

)

 

$

135.86

 

Forfeited or expired

 

(4

)

 

$

156.91

 

Outstanding as of June 27, 2025

 

141

 

 

$

138.77

 

Exercisable as of June 27, 2025

 

94

 

 

 

 

Expected to vest as of June 27, 2025

 

47

 

 

 

 
v3.25.2
Income Taxes
 6 Months Ended
Jun. 27, 2025
Income Tax Disclosure [Abstract]  
Income Taxes

13. Income Taxes

The Company determines its estimated annual effective tax rate at the end of each interim period based on full year forecasted pre-tax income and facts known at that time. The estimated annual effective tax rate is applied to the year-to-date pre-tax income at the end of each interim period with the cumulative effect of any changes in the estimated annual effective tax rate being recorded in

the period in which the changes are determined. The tax effect of significant unusual items is reflected in the period in which they occur. Since the Company is incorporated in Canada, it is required to use Canada’s statutory tax rate of 29.0% in the determination of the estimated annual effective tax rate.

The Company maintains a valuation allowance on balances of certain U.S. state net operating losses, credits and certain non-U.S. tax attributes that the Company has determined are not more likely than not to be realized. A valuation allowance is required when, based upon an assessment of various factors, including recent operating loss history, anticipated future earnings, and prudent and reasonable tax planning strategies, it is more likely than not that some portion of the deferred tax assets will not be realized. In conjunction with the Company’s ongoing review of its actual results and anticipated future earnings, the Company continuously reassesses the possibility of adding a new or additional valuation allowance or releasing the valuation allowance currently in place on its deferred tax assets.

The Company’s effective tax rate of 22.3% for the three months ended June 27, 2025 differs from the Canadian statutory tax rate of 29.0% primarily due to the mix of income earned in jurisdictions with varying tax rates, estimated U.S. tax benefits for Foreign Derived Intangible Income (“FDII”) and R&D tax credits, and U.K. patent box deductions; partially offset by various non-deductible transaction-related and compensation expenses and uncertain tax position accruals.

The Company’s effective tax rate of 20.2% for the six months ended June 27, 2025 differs from the Canadian statutory tax rate of 29.0% primarily due to the mix of income earned in jurisdictions with varying tax rates, estimated U.S. tax benefits for Foreign Derived Intangible Income (“FDII”) and R&D tax credits, and U.K. patent box deductions; partially offset by various non-deductible transaction-related and compensation expenses and uncertain tax position accruals.

The Company’s effective tax rate of 19.7% for the three months ended June 28, 2024 differs from the Canadian statutory tax rate of 29.0% primarily due to the mix of income earned in jurisdictions with varying tax rates, estimated deductions for Foreign Derived Intangible Income, U.K. patent box deductions and R&D tax credits, partially offset by disallowed compensation deductions, uncertain tax position accruals, and Pillar Two inclusion.

The Company’s effective tax rate of 16.5% for the six months ended June 28, 2024 differs from the Canadian statutory tax rate of 29.0% primarily due to the mix of income earned in jurisdictions with varying tax rates, estimated deductions for Foreign Derived Intangible Income, U.K. patent box deductions, R&D tax credits, and windfall tax benefits upon vesting of certain share-based compensation awards, partially offset by disallowed compensation deductions, uncertain tax position accruals, and Pillar Two inclusion. For the six months ended June 28, 2024, the tax benefits upon vesting of certain share-based compensation awards had a benefit of 3.5% on the Company’s effective tax rate.

On July 4, 2025, the U.S. enacted H.R.1 - One Big Beautiful Bill Act (the “Act”). The Act contains numerous income tax provisions, such as the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act and modifications to the international tax framework. The legislation has multiple effective dates, with certain provisions effective in 2025 and others implemented through 2027. The Company is currently assessing its impact on our consolidated financial statements.
v3.25.2
Restructuring, Acquisition, and Related Costs
 6 Months Ended
Jun. 27, 2025
Restructuring and Related Activities [Abstract]  
Restructuring, Acquisition, and Related Costs

14. Restructuring, Acquisition, and Related Costs

The following table summarizes restructuring, acquisition, and related costs in the accompanying consolidated statements of operations (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

2025 restructuring

$

6,836

 

 

$

—

 

 

$

6,836

 

 

$

—

 

2024 restructuring

 

3,385

 

 

 

2,523

 

 

 

3,975

 

 

 

3,071

 

2020 restructuring

 

—

 

 

 

—

 

 

 

(3,595

)

 

 

—

 

Total restructuring charges

 

10,221

 

 

 

2,523

 

 

 

7,216

 

 

 

3,071

 

Acquisition and related charges

 

2,351

 

 

 

20

 

 

 

2,901

 

 

 

1,755

 

Total restructuring, acquisition, and related costs

$

12,572

 

 

$

2,543

 

 

$

10,117

 

 

$

4,826

 

 

2025 Restructuring

The Company initiated the 2025 restructuring program in the second quarter of 2025 in order to streamline operations and align with our long-term goals. The 2025 restructuring program includes measures to regionalize manufacturing operations, expedite the closure of certain sites, streamline management structures, and implement cost-saving strategies in areas anticipated to have a minimal long-term impact on the Company's overall business performance. During both the three and six months ended June 27, 2025, the Company recorded $6.8 million in severance, facility related and other charges in connection with the 2025 restructuring program. As of June 27, 2025, the Company had incurred cumulative costs of $6.8 million related to this restructuring program. The Company anticipates substantially completing the 2025 restructuring program by the end of 2026. Total restructuring charges related to this program are expected to range between $20.0 million to $25.0 million.

The following table summarizes restructuring costs associated with the 2025 restructuring program by reportable segment (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Automation Enabling Technologies

$

940

 

 

$

—

 

 

$

940

 

 

$

—

 

Medical Solutions

 

4,202

 

 

 

—

 

 

 

4,202

 

 

 

—

 

Unallocated

 

1,694

 

 

 

—

 

 

 

1,694

 

 

 

—

 

Total

$

6,836

 

 

$

—

 

 

$

6,836

 

 

$

—

 

2024 Restructuring

As a result of the Company’s acquisitions and ongoing integration activities, the Company initiated the 2024 restructuring program in the first quarter of 2024 in order to reduce operating complexity. During the three and six months ended June 27, 2025, the Company recorded $3.4 million and $4.0 million, respectively, in severance, facility related and other charges in connection with the 2024 restructuring program. As of June 27, 2025, the Company had incurred cumulative costs of $14.5 million related to this restructuring program. The Company anticipates substantially completing the 2024 restructuring program by the end of 2025 and expects to incur additional restructuring charges of $1.5 million to $2.5 million related to the 2024 restructuring program.

The following table summarizes restructuring costs associated with the 2024 restructuring program by reportable segment (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Automation Enabling Technologies

$

445

 

 

$

1,810

 

 

$

931

 

 

$

2,089

 

Medical Solutions

 

2,930

 

 

 

360

 

 

 

3,012

 

 

 

566

 

Unallocated

 

10

 

 

 

353

 

 

 

32

 

 

 

416

 

Total

$

3,385

 

 

$

2,523

 

 

$

3,975

 

 

$

3,071

 

2020 Restructuring

As a result of the Company’s ongoing evaluations and efforts to reduce its operating costs, while improving efficiency and effectiveness, the Company initiated the 2020 restructuring program in the third quarter of 2020. This program was focused on reducing operating complexity in the Company, including reducing infrastructure costs and streamlining the Company’s operating model to better serve its customers. In addition, the program was focused on cost reduction actions to improve gross margins for the overall company. As of June 27, 2025, the Company had incurred cumulative costs of $13.1 million related to the 2020 restructuring program. The 2020 restructuring program activities were completed in the fourth quarter of 2023. In January 2025, the Company sold a facility from the 2020 restructuring program and recorded a $3.6 million gain in the Company’s Automation Enabling Technologies segment.

Roll-forward of Accrued Expenses Related to Restructuring

The following table summarizes the accrual activities, by component, related to the Company’s restructuring plans recorded in the accompanying consolidated balance sheets (in thousands):

 

Total

 

 

Employee Related

 

 

Facility Related

 

 

Facility Sale

 

 

Other

 

Balance at December 31, 2024

$

6,751

 

 

$

5,690

 

 

$

1,061

 

 

$

—

 

 

$

—

 

Restructuring charges

 

7,216

 

 

 

9,191

 

 

 

1,503

 

 

 

(4,325

)

 

 

847

 

Cash payments

 

1,849

 

 

 

(2,573

)

 

 

(335

)

 

 

5,537

 

 

 

(780

)

Non-cash write-offs and other adjustments

 

(1,839

)

 

 

719

 

 

 

(1,346

)

 

 

(1,212

)

 

 

—

 

Balance at June 27, 2025

$

13,977

 

 

$

13,027

 

 

$

883

 

 

$

—

 

 

$

67

 

Acquisition and Related Charges

Acquisition costs in connection with business combinations, including advisor, legal, valuation, and other professional or consulting fees, totaled $2.4 million and $2.9 million for the three and six months ended June 27, 2025, and less than $0.1 million and $1.8 million for the three and six months ended June 28, 2024. The majority of acquisition and related costs for the three and six months ended June 27, 2025 and the three and six months ended June 28, 2024 were included in unallocated costs.
v3.25.2
Commitments and Contingencies
 6 Months Ended
Jun. 27, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

15. Commitments and Contingencies

Purchase Commitments

There have been no material changes to the Company’s purchase commitments since December 31, 2024.

Legal Contingencies

The Company is subject to various legal proceedings and claims that arise in the ordinary course of business. The Company reviews the status of each significant matter and assesses the potential financial exposure on a quarterly basis. If the potential loss from any claim or legal proceeding is considered probable and the amount can be reasonably estimated, the Company accrues a liability for the estimated loss. Significant judgment is required in both the determination of probability and the determination as to whether an exposure is reasonably estimable. Because of uncertainties related to these matters, accruals are based only on the best information available as of the date of the consolidated balance sheet. As additional information becomes available, the Company reassesses the potential liability related to any pending claims and litigation and may revise its estimates. When a material loss contingency is considered reasonably possible but not probable, the Company does not record a liability, but instead discloses the nature and the amount of the claim, and an estimate of the potential loss or a range of potential losses, if such an estimate can be reasonably made. Legal fees are expensed as incurred. The Company does not believe that the outcome of outstanding claims will have a material adverse effect on its consolidated financial statements but there can be no assurance that any such claims, or any similar claims, would not have a material adverse effect on its consolidated financial statements.

Guarantees and Indemnifications

In the normal course of its operations, the Company executes agreements that provide for indemnification and guarantees to counterparties in transactions such as business dispositions, sale of assets, sale of products, and operating leases. Additionally, the by-laws of the Company require it to indemnify certain current or former directors, officers, and employees of the Company against expenses incurred by them in connection with each proceeding in which they are involved as a result of serving or having served in certain capacities. Indemnification is not available with respect to a proceeding as to which it has been adjudicated that the person did not act in good faith in the reasonable belief that the action was in the best interests of the Company. Certain of the Company’s officers and directors are also a party to indemnification agreements with the Company. These indemnification agreements provide, among other things, that the director or officer shall be indemnified to the fullest extent permitted by applicable law against all expenses, judgments, fines and amounts paid in settlement actually and reasonably incurred by such director or officer in connection with any proceeding by reason of their relationship with the Company. In addition, the indemnification agreements provide for the advancement of expenses incurred by such director or officer in connection with any proceeding covered by the indemnification agreement, subject to the conditions set forth therein and to the extent such advancement is not prohibited by law. The indemnification agreements also set out the procedures for determining entitlement to indemnification, the requirements relating to

notice and defense of claims for which indemnification is sought, the procedures for enforcement of indemnification rights, the limitations on and exclusions from indemnification, and the minimum levels of directors and officers liability insurance to be maintained by the Company.

v3.25.2
Segment Information
 6 Months Ended
Jun. 27, 2025
Segment Reporting [Abstract]  
Segment Information

16. Segment Information

Reportable Segments

The Company’s Chief Operating Decision Maker (“CODM”) is the Chief Executive Officer. The CODM utilizes financial information to make decisions about allocating resources and assessing performance for the entire Company. The CODM evaluates the performance of, and allocates resources to, its segments based on revenue, gross profit and operating income. The Company’s reportable segments have been identified based on commonality and adjacency of end markets and customers amongst the Company’s individual product lines.

During the fourth quarter of 2024, the Company updated its organizational structure and re-aligned its financial reporting structure under two reportable segments: Automation Enabling Technologies and Medical Solutions. Prior to the reorganization, the Company's historical reportable segments were: Precision Medicine and Manufacturing, Robotics and Automation, and Medical Solutions. Prior period segment financial information has been recast to align with the new reportable segments herein, as well as in Notes 8 and 14.

Automation Enabling Technologies

The Automation Enabling Technologies segment designs, manufactures and markets laser beam delivery components, laser beam delivery solutions, CO2 lasers, solid state lasers, ultrafast lasers, optical and inductive encoders, precision motors, integrated stepper motors, servo drives, motion control solutions, intelligent robotic end-of-arm technology solutions, and air bearing spindles to customers worldwide. The segment serves highly demanding applications for advanced industrial processes, advanced industrial and medical robotics, other medical and life science automation applications, and medical laser procedures such as ophthalmology applications. The vast majority of the segment’s product offerings are sold to OEM customers. The segment sells the majority of these products directly, utilizing a highly technical sales force, and also sells some indirectly, through resellers and distributors.

Medical Solutions

The Medical Solutions segment designs, manufactures and markets a range of medical grade technologies, including medical insufflators and endoscopic pumps and related disposables, laser beam delivery solutions, video processing and streaming and capture, machine vision technologies, radio-frequency identification (“RFID”) technologies, barcode identification technologies, thermal chart recorders, light and color measurement technologies, touch panel displays, and advanced motion control solutions. The vast majority of the segment’s product offerings are sold to OEM customers. The segment sells the majority of these products directly, utilizing a highly technical sales force, and also sells some indirectly, through resellers and distributors.

Reportable Segment Financial Information

Results of operations, depreciation and amortization expenses by reportable segments for the periods indicated were as follows (in thousands):

 

Three Months Ended June 27, 2025

 

 

Six Months Ended June 27, 2025

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

Revenue

$

121,672

 

 

$

119,377

 

 

$

241,049

 

 

$

244,839

 

 

$

229,576

 

 

$

474,415

 

Cost of revenue

 

62,136

 

 

 

66,973

 

 

 

 

 

 

124,559

 

 

 

129,009

 

 

 

 

Amortization of purchased intangible assets

 

1,330

 

 

 

2,890

 

 

 

 

 

 

2,689

 

 

 

5,092

 

 

 

 

Segment gross profit

 

58,206

 

 

 

49,514

 

 

 

107,720

 

 

 

117,591

 

 

 

95,475

 

 

 

213,066

 

Research and development and engineering

 

9,269

 

 

 

16,169

 

 

 

 

 

 

18,708

 

 

 

30,125

 

 

 

 

Selling, general and administrative

 

18,331

 

 

 

15,064

 

 

 

 

 

 

37,489

 

 

 

29,794

 

 

 

 

Amortization of purchased intangible assets

 

2,347

 

 

 

4,524

 

 

 

 

 

 

4,755

 

 

 

7,670

 

 

 

 

Restructuring, acquisition, and related costs

 

1,385

 

 

 

7,132

 

 

 

 

 

 

(1,724

)

 

 

7,232

 

 

 

 

Segment operating income

 

26,874

 

 

 

6,625

 

 

 

33,499

 

 

 

58,363

 

 

 

20,654

 

 

 

79,017

 

Unallocated costs

 

—

 

 

 

—

 

 

 

(18,588

)

 

 

—

 

 

 

—

 

 

 

(31,685

)

Interest income (expense), net

 

—

 

 

 

—

 

 

 

(5,815

)

 

 

—

 

 

 

—

 

 

 

(11,459

)

Other income (expense), net

 

—

 

 

 

—

 

 

 

(3,307

)

 

 

—

 

 

 

—

 

 

 

(3,666

)

Income before income taxes

$

26,874

 

 

$

6,625

 

 

$

5,789

 

 

$

58,363

 

 

$

20,654

 

 

$

32,207

 

 

 

Three Months Ended June 28, 2024

 

 

Six Months Ended June 28, 2024

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

Revenue

$

116,729

 

 

$

119,135

 

 

$

235,864

 

 

$

234,118

 

 

$

232,662

 

 

$

466,780

 

Cost of revenue

 

60,168

 

 

 

67,679

 

 

 

 

 

 

120,485

 

 

 

132,862

 

 

 

 

Amortization of purchased intangible assets

 

1,566

 

 

 

2,119

 

 

 

 

 

 

3,136

 

 

 

4,241

 

 

 

 

Segment gross profit

 

54,995

 

 

 

49,337

 

 

 

104,332

 

 

 

110,497

 

 

 

95,559

 

 

 

206,056

 

Research and development and engineering

 

9,977

 

 

 

13,901

 

 

 

 

 

 

19,974

 

 

 

27,167

 

 

 

 

Selling, general and administrative

 

18,893

 

 

 

12,815

 

 

 

 

 

 

37,388

 

 

 

26,437

 

 

 

 

Amortization of purchased intangible assets

 

2,796

 

 

 

4,111

 

 

 

 

 

 

5,597

 

 

 

7,060

 

 

 

 

Restructuring, acquisition, and related costs

 

1,810

 

 

 

361

 

 

 

 

 

 

2,089

 

 

 

727

 

 

 

 

Segment operating income

 

21,519

 

 

 

18,149

 

 

 

39,668

 

 

 

45,449

 

 

 

34,168

 

 

 

79,617

 

Unallocated costs

 

—

 

 

 

—

 

 

 

(13,953

)

 

 

—

 

 

 

—

 

 

 

(28,295

)

Interest income (expense), net

 

—

 

 

 

—

 

 

 

(8,266

)

 

 

—

 

 

 

—

 

 

 

(16,520

)

Other income (expense), net

 

—

 

 

 

—

 

 

 

(319

)

 

 

—

 

 

 

—

 

 

 

(756

)

Income before income taxes

$

21,519

 

 

$

18,149

 

 

$

17,130

 

 

$

45,449

 

 

$

34,168

 

 

$

34,046

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

Depreciation and Amortization Expenses

2025

 

 

2024

 

 

2025

 

 

2024

 

Automation Enabling Technologies

$

5,445

 

 

$

5,869

 

 

$

10,921

 

 

$

11,725

 

Medical Solutions

 

9,745

 

 

 

7,813

 

 

 

17,424

 

 

 

14,410

 

Unallocated

 

391

 

 

 

434

 

 

 

799

 

 

 

910

 

Total

$

15,581

 

 

$

14,116

 

 

$

29,144

 

 

$

27,045

 

 

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Accounts Receivable

 

 

 

 

 

Automation Enabling Technologies

$

66,164

 

 

$

70,829

 

Medical Solutions

 

95,038

 

 

 

80,197

 

Total accounts receivable

$

161,202

 

 

$

151,026

 

Inventories

 

 

 

 

 

Automation Enabling Technologies

$

96,046

 

 

$

89,009

 

Medical Solutions

 

72,019

 

 

 

55,597

 

Total inventories

$

168,065

 

 

$

144,606

 

Total segment assets

$

329,267

 

 

$

295,632

 

Revenue by Geography

The Company aggregates geographic revenue based on the customer locations where products are shipped to. Revenue by geography was as follows (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

United States

$

128,118

 

 

$

123,391

 

 

$

251,764

 

 

$

240,472

 

Germany

 

27,258

 

 

 

31,919

 

 

 

55,735

 

 

 

65,100

 

Rest of Europe

 

34,847

 

 

 

32,528

 

 

 

66,628

 

 

 

63,499

 

China

 

21,777

 

 

 

19,014

 

 

 

43,211

 

 

 

36,085

 

Rest of Asia-Pacific

 

24,667

 

 

 

25,334

 

 

 

48,046

 

 

 

52,590

 

Other

 

4,382

 

 

 

3,678

 

 

 

9,031

 

 

 

9,034

 

Total

$

241,049

 

 

$

235,864

 

 

$

474,415

 

 

$

466,780

 

The majority of revenue from the Automation Enabling Technologies and Medical Solutions segments are generated from sales to customers within the United States and Europe. Each segment also generates revenue across the other geographies, with no significant concentration of any segment’s remaining revenue.

Revenue by End Market

The Company primarily operates in two end markets: the medical market and the advanced industrial market. Revenue by end market was approximately as follows:

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Medical

 

54

%

 

 

58

%

 

 

54

%

 

 

57

%

Advanced Industrial

 

46

%

 

 

42

%

 

 

46

%

 

 

43

%

Total

 

100

%

 

 

100

%

 

 

100

%

 

 

100

%

 

The majority of the revenue from the Automation Enabling Technologies segment is generated from sales to customers in the advanced industrial market. The majority of the revenue from the Medical Solutions segment is generated from sales to customers in the medical market.
v3.25.2
Basis of Presentation (Policies)
 6 Months Ended
Jun. 27, 2025
Accounting Policies [Abstract]  
Basis of Presentation

1. Basis of Presentation

Novanta Inc. (collectively with its subsidiaries, referred to as “Novanta”, the “Company”, “we”, “us”, “our”) is a leading global supplier of core technology solutions that give medical and advanced industrial original equipment manufacturers (“OEMs”) a competitive advantage. Novanta combines deep proprietary technology expertise and competencies in precision medicine, precision manufacturing, robotics and automation, and advanced surgery with a proven ability to solve complex technical challenges. This enables Novanta to engineer core components and sub-systems that deliver extreme precision and performance, tailored to the customers' demanding applications.

The accompanying unaudited interim consolidated financial statements have been prepared by the Company in United States (“U.S.”) dollars and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”), the instructions to Form 10-Q and the provisions of Regulation S-X pertaining to interim financial statements. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the U.S. have been condensed or omitted. The interim consolidated financial statements and notes included in this report should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. In the opinion of management, these interim consolidated financial statements include all adjustments and accruals of a normal and recurring nature necessary to fairly state the results of the interim periods presented. The results for interim periods are not necessarily indicative of results to be expected for the full year or for any future periods.

The Company’s unaudited interim consolidated financial statements are prepared for each quarterly period ending on the Friday closest to the end of the calendar quarter, with the exception of the fourth quarter which always ends on December 31.
Use of Estimates

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenue and expenses during the reporting periods. Estimates and assumptions are reviewed on an on-going basis and the effects of revisions are reflected in the period in which such revisions are deemed to be necessary. The Company evaluates its estimates based on historical experience, current conditions, and various other assumptions that it believes are reasonable under the circumstances. Actual results could differ significantly from these estimates.
Recent Accounting Pronouncements

Recent Accounting Pronouncements

The following table provides a brief description of recent Accounting Standards Updates (“ASU”) issued by the Financial Accounting Standards Board (“FASB”):

Standard

 

Description

 

Effective Date

 

Effect on the Financial Statements or Other Significant Matters

In October 2023, the FASB issued ASU 2023-06, “Disclosure Improvements: Codification Amendments in Response to SEC’s Disclosure Update and Simplification Initiative.”

 

ASU 2023-06 clarifies or improves disclosure and presentation requirements of a variety of topics, which allow users to easily compare entities subject to the SEC’s existing disclosure requirements with those entities that were not previously subject to such requirements and align the requirements in the FASB Accounting Standards Codification with the SEC’s regulations.

 

The effective date for each amendment in ASU 2023-06 will be the date on which the SEC’s removal of that related disclosure from Regulation S-X or Regulation S-K becomes effective, with early adoption prohibited.

 

The Company is currently evaluating the impact of ASU 2023-06 on its consolidated financial statement disclosures.

Standard

 

Description

 

Effective Date

 

Effect on the Financial Statements or Other Significant Matters

In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740) -Improvements to Income Tax Disclosures."

 

ASU 2023-09 provides more transparency about income tax information through improvements to income tax disclosures primarily related to the rate reconciliation and income taxes paid.

 

The amendments in ASU 2023-09 are effective for annual periods beginning after December 15, 2024. Early adoption is permitted.

 

The amendments in this update affects financial statement disclosure only and, as a result, will have no impact on results of operations, cash flows or financial condition.

In November 2024, the FASB issued ASU 2024-03, “Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses.”

 

ASU 2024-03 improves financial reporting by requiring that public business entities disclose additional information about specific expense categories in the notes to financial statements at both interim and annual reporting periods.

 

The amendments in ASU 2024-03 are effective for annual reporting periods beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027, with early adoption permitted.

 

ASU 2024-03 affects financial statement disclosure only and, as a result, will have no impact on results of operations, cash flows or financial condition.

 
Revenue Recognition

Performance Obligations

Substantially all of the Company’s revenue is recognized at a point in time, upon shipment, rather than over time.

At the request of its customers, the Company may perform professional services, generally for the maintenance and repair of products previously sold to those customers and for engineering services. Professional services are typically short in duration and aggregate to less than 3% of the Company’s consolidated revenue. Revenue is typically recognized at a point in time when control transfers to the customer upon completion of professional services. These services generally involve a single distinct performance obligation. The consideration expected to be received in exchange for such services is normally the contractually stated amount.

The Company occasionally sells separately priced non-standard/extended warranty services or preventative maintenance plans with the sale of products. The transfer of control over the service plans is over time. The Company recognizes the related revenue ratably over the terms of the service plans. The transaction price of a contract is allocated to each performance obligation based on its relative standalone selling price. Standalone selling prices are generally determined based on the prices charged to customers or using the expected cost plus a margin.

Shipping & Handling Costs

The Company accounts for shipping and handling activities that occur after the transfer of control over the related goods as fulfillment activities rather than performance obligations. Shipping and handling fees charged to customers are recognized as revenue and the related costs are recorded in cost of revenue at the time of transfer of control.

Warranties

The standard warranty periods for the Company’s products are typically 12 months to 36 months. The Company recognizes estimated liabilities associated with standard warranty periods for its products in accordance with the provisions of ASC 450, “Contingencies,” as the Company has the ability to ascertain the likelihood of the liabilities and can reasonably estimate the amount of the liabilities. A provision for the estimated cost related to standard warranties is recorded as cost of revenue at the time revenue is recognized. The Company’s estimate of the costs to service the warranty obligations is based on historical experience and expectations of future conditions. To the extent that the Company’s experience in warranty claims or costs associated with servicing those claims differ from the original estimates, revisions to the estimated warranty liabilities are recorded at that time, with offsetting adjustments to cost of revenue.

Practical Expedients and Exemptions

The Company expenses incremental direct costs of obtaining a contract when incurred because the expected amortization period is typically one year or less. These costs are recorded within selling, general and administrative expenses in the consolidated statement of operations.

The Company does not adjust the promised amount of consideration for the effects of a financing component because the transfer of a promised good to a customer and the customer’s payment for that good are typically one year or less. The Company does not disclose the value of the remaining performance obligation for contracts with an original expected length of one year or less.

Contract Liabilities

Contract liabilities consist of deferred revenue and advance payments from customers, including amounts that are refundable. These contract liabilities are classified as either current or long-term liabilities in the consolidated balance sheet based on the timing of when the Company expects to recognize the related revenue. As of June 27, 2025 and December 31, 2024, contract liabilities were $7.1 million and $5.9 million, respectively, and are included in accrued expenses and other current liabilities and other liabilities in the accompanying consolidated balance sheets. The increase in the contract liability balance during the six months ended June 27, 2025 is primarily due to cash payments received in advance of satisfying performance obligations, partially offset by $2.6 million of revenue recognized during the period that was included in the contract liability balance as of December 31, 2024.

Disaggregated Revenue

See Note 16 for the Company’s disaggregation of revenue by segment, geography and end market. The following table presents revenues disaggregated by the capabilities of the underlying products and technologies during the three and six months ended June 27, 2025 and June 28, 2024, respectively (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Precision Manufacturing

$

43,837

 

 

$

49,343

 

 

$

88,416

 

 

$

103,502

 

Robotics and Automation

 

77,835

 

 

 

67,386

 

 

 

156,423

 

 

 

130,616

 

Automation Enabling Technologies

 

121,672

 

 

 

116,729

 

 

 

244,839

 

 

 

234,118

 

 

 

 

 

 

 

 

 

 

 

 

 

Precision Medicine

 

59,161

 

 

 

67,710

 

 

 

113,173

 

 

 

132,311

 

Advanced Surgery

 

60,216

 

 

 

51,425

 

 

 

116,403

 

 

 

100,351

 

Medical Solutions

 

119,377

 

 

 

119,135

 

 

 

229,576

 

 

 

232,662

 

Total Revenue

$

241,049

 

 

$

235,864

 

 

$

474,415

 

 

$

466,780

 
v3.25.2
Revenue (Tables)
 6 Months Ended
Jun. 27, 2025
Revenue from Contract with Customer [Abstract]  
Schedule of Net Revenues Disaggregated by the Capabilities of the Underlying Products and Technologies The following table presents revenues disaggregated by the capabilities of the underlying products and technologies during the three and six months ended June 27, 2025 and June 28, 2024, respectively (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Precision Manufacturing

$

43,837

 

 

$

49,343

 

 

$

88,416

 

 

$

103,502

 

Robotics and Automation

 

77,835

 

 

 

67,386

 

 

 

156,423

 

 

 

130,616

 

Automation Enabling Technologies

 

121,672

 

 

 

116,729

 

 

 

244,839

 

 

 

234,118

 

 

 

 

 

 

 

 

 

 

 

 

 

Precision Medicine

 

59,161

 

 

 

67,710

 

 

 

113,173

 

 

 

132,311

 

Advanced Surgery

 

60,216

 

 

 

51,425

 

 

 

116,403

 

 

 

100,351

 

Medical Solutions

 

119,377

 

 

 

119,135

 

 

 

229,576

 

 

 

232,662

 

Total Revenue

$

241,049

 

 

$

235,864

 

 

$

474,415

 

 

$

466,780

 
v3.25.2
Business Combinations (Tables)
 6 Months Ended
Jun. 27, 2025
Business Combinations [Abstract]  
Summary of Estimated Total Purchase Consideration

Pursuant to the Share Purchase Agreement, the Company acquired all outstanding equity of Keonn for estimated total purchase consideration of $75.4 million, which consists of:

 

Cash consideration

$

67,218

 

Deferred consideration

 

3,674

 

Estimated fair value of contingent consideration

 

4,537

 

Estimated total purchase consideration

$

75,429

 
Summary of Preliminary Valuation, Fair Values of Assets Acquired and Liabilities Assumed Purchase Price Allocation

Based upon the Company’s preliminary valuation, the purchase price for Keonn was allocated as follows (in thousands):

 

Purchase Price

 

 

Allocation

 

Cash

$

4,045

 

Accounts receivable

 

1,977

 

Inventory

 

5,377

 

Property, plant and equipment

 

1,401

 

Operating lease assets

 

3,124

 

Intangible assets

 

32,326

 

Goodwill

 

44,214

 

Other assets

 

1,412

 

Total assets acquired

 

93,876

 

Accounts payable

 

1,593

 

Operating lease liabilities

 

3,124

 

Debt

 

2,504

 

Deferred tax liabilities

 

7,150

 

Other liabilities

 

4,076

 

Total liabilities assumed

 

18,447

 

Total assets acquired, net of liabilities assumed

 

75,429

 

Less: cash acquired

 

4,045

 

Purchase price, net of cash acquired

$

71,384

 
Fair Value of Intangible Assets

The fair value of intangible assets for Keonn is comprised of the following:

 

 

 

 

 

 

Estimated Fair

 

 

Amortization

 

Value
(In thousands)

 

 

Period

Developed technologies

$

9,753

 

 

9 years

Customer relationships

 

21,477

 

 

9 years

Trade name

 

1,096

 

 

14 years

Total

$

32,326

 

 

 
v3.25.2
Accumulated Other Comprehensive Loss (Tables)
 6 Months Ended
Jun. 27, 2025
Equity [Abstract]  
Components of Accumulated Other Comprehensive Loss

Changes in accumulated other comprehensive loss were as follows (in thousands):

 

Total Accumulated

 

 

 

 

 

 

 

 

Other

 

 

Cumulative

 

 

Pension

 

 

Comprehensive

 

 

Translation

 

 

Liability

 

 

Loss

 

 

Adjustments

 

 

Adjustments

 

Balance at December 31, 2024

$

(29,921

)

 

$

(23,686

)

 

$

(6,235

)

Other comprehensive income (loss)

 

28,380

 

 

 

28,957

 

 

 

(577

)

Amounts reclassified from accumulated other comprehensive loss

 

409

 

 

 

—

 

 

 

409

 

Balance at June 27, 2025

$

(1,132

)

 

$

5,271

 

 

$

(6,403

)
v3.25.2
Earnings per Common Share (Tables)
 6 Months Ended
Jun. 27, 2025
Earnings Per Share [Abstract]  
Computation of Basic and Diluted Earnings per Common Share

The following table sets forth the computation of basic and diluted earnings per common share (amounts in thousands, except per share data):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Numerators:

 

 

 

 

 

 

 

 

 

 

 

Net income

$

4,497

 

 

$

13,755

 

 

$

25,705

 

 

$

28,431

 

 

 

 

 

 

 

 

 

 

 

 

 

Denominators:

 

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding— basic

 

36,022

 

 

 

35,946

 

 

 

36,023

 

 

 

35,930

 

Dilutive common share equivalents

 

54

 

 

 

146

 

 

 

80

 

 

 

180

 

Weighted average common shares outstanding— diluted

 

36,076

 

 

 

36,092

 

 

 

36,103

 

 

 

36,110

 

Antidilutive common share equivalents excluded from above

 

344

 

 

 

166

 

 

 

260

 

 

 

119

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per Common Share:

 

 

 

 

 

 

 

 

 

 

 

Basic

$

0.12

 

 

$

0.38

 

 

$

0.71

 

 

$

0.79

 

Diluted

$

0.12

 

 

$

0.38

 

 

$

0.71

 

 

$

0.79

 
v3.25.2
Fair Value Measurements (Tables)
 6 Months Ended
Jun. 27, 2025
Fair Value Disclosures [Abstract]  
Fair Values of Assets and Liabilities Measured at Fair Value on Recurring Basis

The following table summarizes the fair values of the Company’s assets and liabilities measured at fair value on a recurring basis as of June 27, 2025 (in thousands):

 

 

 

 

Quoted Prices in

 

 

 

 

 

Significant Other

 

 

 

 

 

Active Markets for

 

 

Significant Other

 

 

Unobservable

 

 

 

 

 

Identical Assets

 

 

Observable Inputs

 

 

Inputs

 

 

Fair Value

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets

 

 

 

 

 

 

 

 

 

 

 

Prepaid expenses and other current assets:

 

 

 

 

 

 

 

 

 

 

 

Foreign currency forward contracts

$

200

 

 

$

—

 

 

$

200

 

 

$

—

 

 

$

200

 

 

$

—

 

 

$

200

 

 

$

—

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

Accrued expenses and other current liabilities:

 

 

 

 

 

 

 

 

 

 

 

Contingent considerations - Current

$

4,461

 

 

$

—

 

 

$

—

 

 

$

4,461

 

Contingent considerations - Long term

 

458

 

 

 

—

 

 

 

—

 

 

 

458

 

Foreign currency forward contracts

 

302

 

 

 

—

 

 

 

302

 

 

 

—

 

 

$

5,221

 

 

$

—

 

 

$

302

 

 

$

4,919

 

The following table summarizes the fair values of the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2024 (in thousands):

 

 

 

 

Quoted Prices in

 

 

 

 

 

Significant Other

 

 

 

 

 

Active Markets for

 

 

Significant Other

 

 

Unobservable

 

 

 

 

 

Identical Assets

 

 

Observable Inputs

 

 

Inputs

 

 

Fair Value

 

 

(Level 1)

 

 

(Level 2)

 

 

(Level 3)

 

Assets

 

 

 

 

 

 

 

 

 

 

 

Prepaid expenses and other current assets:

 

 

 

 

 

 

 

 

 

 

 

Foreign currency forward contracts

$

1,226

 

 

$

—

 

 

$

1,226

 

 

$

—

 

 

$

1,226

 

 

$

—

 

 

$

1,226

 

 

$

—

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

Accrued expenses and other current liabilities:

 

 

 

 

 

 

 

 

 

 

 

Contingent considerations - Current

$

57

 

 

$

—

 

 

$

—

 

 

$

57

 

Foreign currency forward contracts

 

1,401

 

 

 

—

 

 

 

1,401

 

 

 

—

 

 

$

1,458

 

 

$

—

 

 

$

1,401

 

 

$

57

 
Changes in Fair Value of Level 3 Contingent Considerations

Changes in the fair value of Level 3 contingent considerations during the six months ended June 27, 2025 were as follows (in thousands):

 

Amount

 

Balance at December 31, 2024

$

57

 

Acquisition of Keonn

 

4,537

 

Payments

 

—

 

Fair value adjustments

 

—

 

Effect of foreign exchange rates

 

325

 

Balance at June 27, 2025

$

4,919

 

 
Schedule Of Qualitative Information Associated With Fair Value Measurement of Company's Level 3 Liabilities

The following table provides qualitative information associated with the fair value measurement of the Company’s Level 3 liabilities:

Liability

June 27, 2025

Fair Value

(in thousands)

Valuation Technique

Unobservable Inputs

Percentage Applied

Contingent consideration (Keonn)

$4,856

Monte Carlo method

Historical and projected revenue from fiscal year 2025 to 2027

N/A

 

 

 

 

 

 

Gross Profit Premium

 

8.8%

 

 

 

 

 

 

Revenue risk premium

 

8.0%

 

 

 

 

 

 

Gross Profit Volatility

 

44.0%

 

 

 

 

 

 

Revenue Volatility

 

40.0%

 

 

 

 

 

 

Credit spread

 

3.6%
v3.25.2
Goodwill and Intangible Assets (Tables)
 6 Months Ended
Jun. 27, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Summary of Changes in Goodwill

The following table summarizes changes in goodwill during the six months ended June 27, 2025 (in thousands):

 

Amount

 

Balance at beginning of the period

$

584,098

 

Goodwill acquired from Keonn acquisition

 

44,214

 

Effect of foreign exchange rate changes

 

20,781

 

Balance at end of the period

$

649,093

 

 
Goodwill by Reportable Segment

Goodwill by reportable segment as of June 27, 2025 was as follows (in thousands):

 

Reportable Segment

 

 

 

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

Goodwill

$

447,763

 

 

$

352,559

 

 

$

800,322

 

Accumulated impairment of goodwill

 

(119,507

)

 

 

(31,722

)

 

 

(151,229

)

Total

$

328,256

 

 

$

320,837

 

 

$

649,093

 
Goodwill by reportable segment as of December 31, 2024 was as follows (in thousands):

 

Reportable Segment

 

 

 

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

Goodwill

$

439,980

 

 

$

295,347

 

 

$

735,327

 

Accumulated impairment of goodwill

 

(119,507

)

 

 

(31,722

)

 

 

(151,229

)

Total

$

320,473

 

 

$

263,625

 

 

$

584,098

 
Intangible Assets

Intangible assets as of June 27, 2025 and December 31, 2024, respectively, are summarized as follows (in thousands):

 

June 27, 2025

 

 

December 31, 2024

 

 

Gross Carrying
Amount

 

 

Accumulated
Amortization

 

 

Net Carrying
Amount

 

 

Gross Carrying
Amount

 

 

Accumulated
Amortization

 

 

Net Carrying
Amount

 

Amortizable intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Patents and developed technologies

$

236,374

 

 

$

(172,760

)

 

$

63,614

 

 

$

218,867

 

 

$

(159,041

)

 

$

59,826

 

Customer relationships

 

296,698

 

 

 

(177,267

)

 

 

119,431

 

 

 

265,156

 

 

 

(158,938

)

 

 

106,218

 

Trademarks and trade names

 

25,352

 

 

 

(17,794

)

 

 

7,558

 

 

 

23,367

 

 

 

(16,594

)

 

 

6,773

 

Amortizable intangible assets

 

558,424

 

 

 

(367,821

)

 

 

190,603

 

 

 

507,390

 

 

 

(334,573

)

 

 

172,817

 

Non-amortizable intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trade names

 

13,027

 

 

 

—

 

 

 

13,027

 

 

 

13,027

 

 

 

—

 

 

 

13,027

 

Total intangible assets

$

571,451

 

 

$

(367,821

)

 

$

203,630

 

 

$

520,417

 

 

$

(334,573

)

 

$

185,844

 
Amortization Expense of Intangible Assets Amortization expense was as follows (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Amortization expense – cost of revenue

$

4,220

 

 

$

3,685

 

 

$

7,781

 

 

$

7,377

 

Amortization expense – operating expenses

 

6,871

 

 

 

6,907

 

 

 

12,425

 

 

 

12,657

 

Total amortization expense

$

11,091

 

 

$

10,592

 

 

$

20,206

 

 

$

20,034

 

 
Estimated Amortization Expense

As of June 27, 2025, estimated amortization expense for each of the five succeeding years and thereafter was as follows (in thousands):

Year Ending December 31,

 

Cost of Revenue

 

 

Operating
Expenses

 

 

Total

 

2025 (remainder of year)

 

$

8,517

 

 

$

13,889

 

 

$

22,406

 

2026

 

 

15,057

 

 

 

23,003

 

 

 

38,060

 

2027

 

 

12,128

 

 

 

19,131

 

 

 

31,259

 

2028

 

 

10,318

 

 

 

16,076

 

 

 

26,394

 

2029

 

 

7,446

 

 

 

12,455

 

 

 

19,901

 

Thereafter

 

 

10,148

 

 

 

42,435

 

 

 

52,583

 

Total

 

$

63,614

 

 

$

126,989

 

 

$

190,603

 
v3.25.2
Supplementary Balance Sheet Information (Tables)
 6 Months Ended
Jun. 27, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Inventories

Inventories

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Raw materials

$

109,415

 

 

$

92,198

 

Work-in-process

 

26,005

 

 

 

24,719

 

Finished goods

 

31,997

 

 

 

27,327

 

Demo and consigned inventory

 

648

 

 

 

362

 

Total inventories

$

168,065

 

 

$

144,606

 
Accrued Expenses and Other Current Liabilities

Accrued Expenses and Other Current Liabilities

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Accrued compensation and benefits

$

17,261

 

 

$

28,361

 

Accrued warranty

 

4,809

 

 

 

4,805

 

Contract liabilities, current portion

 

6,906

 

 

 

5,715

 

Accrued restructuring

 

13,477

 

 

 

6,131

 

Accrued earn-outs and contingent considerations

 

4,461

 

 

 

57

 

Other

 

17,609

 

 

 

15,262

 

Total

$

64,523

 

 

$

60,331

 
Accrued Warranty

Accrued Warranty

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

Balance at beginning of the period

$

4,805

 

 

$

5,292

 

Provision charged to cost of revenue

 

1,151

 

 

 

595

 

Warranty liabilities acquired from acquisitions

 

—

 

 

 

76

 

Use of provision

 

(1,249

)

 

 

(913

)

Foreign currency exchange rate changes

 

102

 

 

 

(11

)

Balance at end of the period

$

4,809

 

 

$

5,039

 

 
Other Long Term Liabilities

Other Long-Term Liabilities

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Finance lease obligations

$

2,779

 

 

$

3,175

 

Other

 

4,036

 

 

 

1,316

 

Total

$

6,815

 

 

$

4,491

 
v3.25.2
Debt (Tables)
 6 Months Ended
Jun. 27, 2025
Debt Disclosure [Abstract]  
Outstanding debt

Outstanding debt consisted of the following (in thousands):

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Senior Credit Facilities – term loans

$

5,300

 

 

$

4,710

 

Less: unamortized debt issuance costs

 

(97

)

 

 

(19

)

Total current portion of long-term debt

$

5,203

 

 

$

4,691

 

 

 

 

 

 

 

Senior Credit Facilities – term loans

$

146,283

 

 

$

65,698

 

Senior Credit Facilities – revolving credit facility

 

313,495

 

 

 

348,751

 

Less: unamortized debt issuance costs

 

(5,741

)

 

 

(2,500

)

Total long-term debt

$

454,037

 

 

$

411,949

 

 

 

 

 

 

 

Total Senior Credit Facilities

$

459,240

 

 

$

416,640

 
v3.25.2
Leases (Tables)
 6 Months Ended
Jun. 27, 2025
Leases [Abstract]  
Summary of Components of Lease Costs

The following table summarizes the components of lease costs (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Operating lease cost

$

2,881

 

 

$

2,834

 

 

$

5,620

 

 

$

5,801

 

Finance lease cost

 

 

 

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

150

 

 

 

150

 

 

 

301

 

 

 

301

 

Interest on lease liabilities

 

50

 

 

 

60

 

 

 

102

 

 

 

122

 

Variable lease cost

 

394

 

 

 

342

 

 

 

670

 

 

 

593

 

Total lease cost

$

3,475

 

 

$

3,386

 

 

$

6,693

 

 

$

6,817

 

 
Summary of Balance Sheet Information Related to Leases

The following table provides additional details of balance sheet information related to the Company’s leases (in thousands, except lease term and discount rate):

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Operating leases

 

 

 

 

 

Operating lease right-of-use assets

$

44,107

 

 

$

42,908

 

 

 

 

 

 

 

Current portion of operating lease liabilities

$

10,302

 

 

$

9,879

 

Operating lease liabilities

 

41,086

 

 

 

40,548

 

Total operating lease liabilities

$

51,388

 

 

$

50,427

 

 

 

 

 

 

 

Finance leases

 

 

 

 

 

Property, plant and equipment, gross

$

9,582

 

 

$

9,582

 

Accumulated depreciation

 

(7,175

)

 

 

(6,874

)

Finance lease assets included in property, plant and equipment, net

$

2,407

 

 

$

2,708

 

 

 

 

 

 

 

Accrued expenses and other current liabilities

$

780

 

 

$

759

 

Other liabilities

 

2,779

 

 

 

3,175

 

Total finance lease liabilities

$

3,559

 

 

$

3,934

 

 

 

 

 

 

 

Weighted-average remaining lease term (in years):

 

 

 

 

 

Operating leases

 

7.5

 

 

 

7.4

 

Finance leases

 

4.0

 

 

 

4.5

 

 

 

 

 

 

 

Weighted-average discount rate:

 

 

 

 

 

Operating leases

 

4.79

%

 

 

4.82

%

Finance leases

 

5.54

%

 

 

5.54

%
Summary of Cash Flow Information Related to Leases

The following table provides additional details of cash flow information related to the Company’s leases (in thousands):

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

Cash paid for lease liabilities:

 

 

 

 

 

Operating cash outflows related to finance leases

$

102

 

 

$

122

 

Operating cash outflows related to operating leases

$

5,019

 

 

$

4,314

 

Financing cash outflows related to finance leases

$

375

 

 

$

355

 

 

 

 

 

 

 

Supplemental non-cash information:

 

 

 

 

 

Right-of-use assets obtained in exchange for new operating lease liabilities(1)

$

3,602

 

 

$

9,623

 

(1) The amount for the six months ended June 27, 2025 includes $3.1 million of right-of-use assets acquired as part of the Keonn acquisition. The amount for the six months ended June 28, 2024 includes $8.1 million of right-of-use assets acquired as part of the Motion Solutions Parent Corp. acquisition.

Future Minimum Lease Payments Under Operating and Finance Leases

Future minimum lease payments under operating and finance leases expiring subsequent to June 27, 2025, including operating leases associated with facilities that have been vacated as a result of the Company’s restructuring actions, are summarized as follows (in thousands):

Year Ending December 31,

Operating Leases

 

 

Finance Leases

 

2025 (remainder of year)

$

6,201

 

 

$

477

 

2026

 

11,324

 

 

 

979

 

2027

 

9,765

 

 

 

1,003

 

2028

 

6,731

 

 

 

1,003

 

2029

 

5,852

 

 

 

502

 

Thereafter

 

22,932

 

 

 

—

 

Total minimum lease payments

 

62,805

 

 

 

3,964

 

Less: Interest

 

(11,417

)

 

 

(405

)

Present value of lease liabilities

$

51,388

 

 

$

3,559

 
v3.25.2
Preferred and Common Shares and Share-Based Compensation (Tables)
 6 Months Ended
Jun. 27, 2025
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Share-Based Compensation Expense Recorded in the Consolidated Statements of Operations

The table below summarizes share-based compensation expense recorded in the consolidated statements of operations (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Selling, general and administrative

$

6,390

 

 

$

5,552

 

 

$

12,526

 

 

$

10,649

 

Research and development and engineering

 

649

 

 

 

601

 

 

 

1,264

 

 

 

1,160

 

Cost of revenue

 

459

 

 

 

78

 

 

 

808

 

 

 

499

 

Total share-based compensation expense

$

7,498

 

 

$

6,231

 

 

$

14,598

 

 

$

12,308

 
Schedule of Share Based Payment Award Performance Stock Awards Valuation Assumptions

The grant-date fair value per unit of the hybrid PSUs granted during the six months ended June 27, 2025 was estimated using the Monte Carlo valuation method with the following assumptions:

 

Six Months Ended June 27, 2025

 

Grant-date stock price

$

142.80

 

Expected volatility

 

36.94

%

Risk-free interest rate

 

4.18

%

Expected annual dividend yield

 

—

 

Fair value

$

160.93

 
Amended and Restated 2010 Incentive Plan  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Restricted Stock Units Issued and Outstanding

The table below summarizes activities relating to RSUs issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the six months ended June 27, 2025:

 

Shares
(In thousands)

 

 

Weighted
Average Grant
Date Fair Value

 

Unvested at December 31, 2024

 

198

 

 

$

154.43

 

Granted

 

299

 

 

$

131.05

 

Vested

 

(83

)

 

$

148.01

 

Forfeited

 

(17

)

 

$

154.08

 

Unvested at June 27, 2025

 

397

 

 

$

138.18

 

Expected to vest as of June 27, 2025

 

357

 

 

 

 
Performance-Based Awards Issued and Outstanding

The table below summarizes the activities relating to the performance-based awards issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the six months ended June 27, 2025:

 

Shares
(In thousands)

 

 

Weighted
Average Grant-
Date Fair Value

 

Unvested at December 31, 2024

 

227

 

 

$

165.13

 

Granted

 

157

 

 

$

133.11

 

Performance adjustments(1)

 

(7

)

 

$

140.62

 

Vested

 

(49

)

 

$

139.41

 

Forfeited

 

(14

)

 

$

167.02

 

Unvested at June 27, 2025

 

314

 

 

$

153.67

 

Expected to vest as of June 27, 2025

 

260

 

 

 

 

(1) The amount shown represents performance adjustments related to the performance-based awards vested during the six months ended June 27, 2025.
Stock Options Issued and Outstanding

The table below summarizes the activities relating to stock options issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan during the six months ended June 27, 2025:

 

 

 

 

 

 

 

 

 

 

 

 

 

Shares
(In thousands)

 

 

Weighted
Average Exercise Price

 

Outstanding as of December 31, 2024

 

149

 

 

$

139.17

 

Granted

 

—

 

 

$

—

 

Exercised

 

(4

)

 

$

135.86

 

Forfeited or expired

 

(4

)

 

$

156.91

 

Outstanding as of June 27, 2025

 

141

 

 

$

138.77

 

Exercisable as of June 27, 2025

 

94

 

 

 

 

Expected to vest as of June 27, 2025

 

47

 

 

 

 
v3.25.2
Restructuring, Acquisition, and Related Costs (Tables)
 6 Months Ended
Jun. 27, 2025
Restructuring and Related Activities [Abstract]  
Schedule of Restructuring, Acquisition and Related Costs

The following table summarizes restructuring, acquisition, and related costs in the accompanying consolidated statements of operations (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

2025 restructuring

$

6,836

 

 

$

—

 

 

$

6,836

 

 

$

—

 

2024 restructuring

 

3,385

 

 

 

2,523

 

 

 

3,975

 

 

 

3,071

 

2020 restructuring

 

—

 

 

 

—

 

 

 

(3,595

)

 

 

—

 

Total restructuring charges

 

10,221

 

 

 

2,523

 

 

 

7,216

 

 

 

3,071

 

Acquisition and related charges

 

2,351

 

 

 

20

 

 

 

2,901

 

 

 

1,755

 

Total restructuring, acquisition, and related costs

$

12,572

 

 

$

2,543

 

 

$

10,117

 

 

$

4,826

 

 
Summary of Restructuring Charges by Reportable Segment

The following table summarizes restructuring costs associated with the 2025 restructuring program by reportable segment (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Automation Enabling Technologies

$

940

 

 

$

—

 

 

$

940

 

 

$

—

 

Medical Solutions

 

4,202

 

 

 

—

 

 

 

4,202

 

 

 

—

 

Unallocated

 

1,694

 

 

 

—

 

 

 

1,694

 

 

 

—

 

Total

$

6,836

 

 

$

—

 

 

$

6,836

 

 

$

—

 

The following table summarizes restructuring costs associated with the 2024 restructuring program by reportable segment (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Automation Enabling Technologies

$

445

 

 

$

1,810

 

 

$

931

 

 

$

2,089

 

Medical Solutions

 

2,930

 

 

 

360

 

 

 

3,012

 

 

 

566

 

Unallocated

 

10

 

 

 

353

 

 

 

32

 

 

 

416

 

Total

$

3,385

 

 

$

2,523

 

 

$

3,975

 

 

$

3,071

 
Summary of Accrual Activities by Components Related to Company's Restructuring Plans

The following table summarizes the accrual activities, by component, related to the Company’s restructuring plans recorded in the accompanying consolidated balance sheets (in thousands):

 

Total

 

 

Employee Related

 

 

Facility Related

 

 

Facility Sale

 

 

Other

 

Balance at December 31, 2024

$

6,751

 

 

$

5,690

 

 

$

1,061

 

 

$

—

 

 

$

—

 

Restructuring charges

 

7,216

 

 

 

9,191

 

 

 

1,503

 

 

 

(4,325

)

 

 

847

 

Cash payments

 

1,849

 

 

 

(2,573

)

 

 

(335

)

 

 

5,537

 

 

 

(780

)

Non-cash write-offs and other adjustments

 

(1,839

)

 

 

719

 

 

 

(1,346

)

 

 

(1,212

)

 

 

—

 

Balance at June 27, 2025

$

13,977

 

 

$

13,027

 

 

$

883

 

 

$

—

 

 

$

67

 
v3.25.2
Segment Information (Tables)
 6 Months Ended
Jun. 27, 2025
Segment Reporting [Abstract]  
Revenue, Gross Profit, Gross Profit Margin, Operating Income (Loss), and Depreciation and Amortization Expenses by Reportable Segment

 

Three Months Ended June 27, 2025

 

 

Six Months Ended June 27, 2025

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

Revenue

$

121,672

 

 

$

119,377

 

 

$

241,049

 

 

$

244,839

 

 

$

229,576

 

 

$

474,415

 

Cost of revenue

 

62,136

 

 

 

66,973

 

 

 

 

 

 

124,559

 

 

 

129,009

 

 

 

 

Amortization of purchased intangible assets

 

1,330

 

 

 

2,890

 

 

 

 

 

 

2,689

 

 

 

5,092

 

 

 

 

Segment gross profit

 

58,206

 

 

 

49,514

 

 

 

107,720

 

 

 

117,591

 

 

 

95,475

 

 

 

213,066

 

Research and development and engineering

 

9,269

 

 

 

16,169

 

 

 

 

 

 

18,708

 

 

 

30,125

 

 

 

 

Selling, general and administrative

 

18,331

 

 

 

15,064

 

 

 

 

 

 

37,489

 

 

 

29,794

 

 

 

 

Amortization of purchased intangible assets

 

2,347

 

 

 

4,524

 

 

 

 

 

 

4,755

 

 

 

7,670

 

 

 

 

Restructuring, acquisition, and related costs

 

1,385

 

 

 

7,132

 

 

 

 

 

 

(1,724

)

 

 

7,232

 

 

 

 

Segment operating income

 

26,874

 

 

 

6,625

 

 

 

33,499

 

 

 

58,363

 

 

 

20,654

 

 

 

79,017

 

Unallocated costs

 

—

 

 

 

—

 

 

 

(18,588

)

 

 

—

 

 

 

—

 

 

 

(31,685

)

Interest income (expense), net

 

—

 

 

 

—

 

 

 

(5,815

)

 

 

—

 

 

 

—

 

 

 

(11,459

)

Other income (expense), net

 

—

 

 

 

—

 

 

 

(3,307

)

 

 

—

 

 

 

—

 

 

 

(3,666

)

Income before income taxes

$

26,874

 

 

$

6,625

 

 

$

5,789

 

 

$

58,363

 

 

$

20,654

 

 

$

32,207

 

 

 

Three Months Ended June 28, 2024

 

 

Six Months Ended June 28, 2024

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

 

Automation Enabling Technologies

 

 

Medical Solutions

 

 

Total

 

Revenue

$

116,729

 

 

$

119,135

 

 

$

235,864

 

 

$

234,118

 

 

$

232,662

 

 

$

466,780

 

Cost of revenue

 

60,168

 

 

 

67,679

 

 

 

 

 

 

120,485

 

 

 

132,862

 

 

 

 

Amortization of purchased intangible assets

 

1,566

 

 

 

2,119

 

 

 

 

 

 

3,136

 

 

 

4,241

 

 

 

 

Segment gross profit

 

54,995

 

 

 

49,337

 

 

 

104,332

 

 

 

110,497

 

 

 

95,559

 

 

 

206,056

 

Research and development and engineering

 

9,977

 

 

 

13,901

 

 

 

 

 

 

19,974

 

 

 

27,167

 

 

 

 

Selling, general and administrative

 

18,893

 

 

 

12,815

 

 

 

 

 

 

37,388

 

 

 

26,437

 

 

 

 

Amortization of purchased intangible assets

 

2,796

 

 

 

4,111

 

 

 

 

 

 

5,597

 

 

 

7,060

 

 

 

 

Restructuring, acquisition, and related costs

 

1,810

 

 

 

361

 

 

 

 

 

 

2,089

 

 

 

727

 

 

 

 

Segment operating income

 

21,519

 

 

 

18,149

 

 

 

39,668

 

 

 

45,449

 

 

 

34,168

 

 

 

79,617

 

Unallocated costs

 

—

 

 

 

—

 

 

 

(13,953

)

 

 

—

 

 

 

—

 

 

 

(28,295

)

Interest income (expense), net

 

—

 

 

 

—

 

 

 

(8,266

)

 

 

—

 

 

 

—

 

 

 

(16,520

)

Other income (expense), net

 

—

 

 

 

—

 

 

 

(319

)

 

 

—

 

 

 

—

 

 

 

(756

)

Income before income taxes

$

21,519

 

 

$

18,149

 

 

$

17,130

 

 

$

45,449

 

 

$

34,168

 

 

$

34,046

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

Depreciation and Amortization Expenses

2025

 

 

2024

 

 

2025

 

 

2024

 

Automation Enabling Technologies

$

5,445

 

 

$

5,869

 

 

$

10,921

 

 

$

11,725

 

Medical Solutions

 

9,745

 

 

 

7,813

 

 

 

17,424

 

 

 

14,410

 

Unallocated

 

391

 

 

 

434

 

 

 

799

 

 

 

910

 

Total

$

15,581

 

 

$

14,116

 

 

$

29,144

 

 

$

27,045

 

 

 

June 27,

 

 

December 31,

 

 

2025

 

 

2024

 

Accounts Receivable

 

 

 

 

 

Automation Enabling Technologies

$

66,164

 

 

$

70,829

 

Medical Solutions

 

95,038

 

 

 

80,197

 

Total accounts receivable

$

161,202

 

 

$

151,026

 

Inventories

 

 

 

 

 

Automation Enabling Technologies

$

96,046

 

 

$

89,009

 

Medical Solutions

 

72,019

 

 

 

55,597

 

Total inventories

$

168,065

 

 

$

144,606

 

Total segment assets

$

329,267

 

 

$

295,632

 
Schedule of Geographic Revenue

The Company aggregates geographic revenue based on the customer locations where products are shipped to. Revenue by geography was as follows (in thousands):

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

United States

$

128,118

 

 

$

123,391

 

 

$

251,764

 

 

$

240,472

 

Germany

 

27,258

 

 

 

31,919

 

 

 

55,735

 

 

 

65,100

 

Rest of Europe

 

34,847

 

 

 

32,528

 

 

 

66,628

 

 

 

63,499

 

China

 

21,777

 

 

 

19,014

 

 

 

43,211

 

 

 

36,085

 

Rest of Asia-Pacific

 

24,667

 

 

 

25,334

 

 

 

48,046

 

 

 

52,590

 

Other

 

4,382

 

 

 

3,678

 

 

 

9,031

 

 

 

9,034

 

Total

$

241,049

 

 

$

235,864

 

 

$

474,415

 

 

$

466,780

 
Revenue By End Market

The Company primarily operates in two end markets: the medical market and the advanced industrial market. Revenue by end market was approximately as follows:

 

Three Months Ended

 

 

Six Months Ended

 

 

June 27,

 

 

June 28,

 

 

June 27,

 

 

June 28,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Medical

 

54

%

 

 

58

%

 

 

54

%

 

 

57

%

Advanced Industrial

 

46

%

 

 

42

%

 

 

46

%

 

 

43

%

Total

 

100

%

 

 

100

%

 

 

100

%

 

 

100

%

 
v3.25.2
Revenue - Additional Information (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 27, 2025
Dec. 31, 2024
Revenue [Line Items]    
Incremental direct costs of obtaining a contract, practical expedient true  
Effects of a financing component, practical expedient true  
Remaining performance obligation for contracts, optional exemption true  
Contract liabilities $ 7.1 $ 5.9
Revenue recognized $ 2.6  
Warranties    
Revenue [Line Items]    
Standard product warranty description The standard warranty periods for the Company’s products are typically 12 months to 36 months. The Company recognizes estimated liabilities associated with standard warranty periods for its products in accordance with the provisions of ASC 450, “Contingencies,” as the Company has the ability to ascertain the likelihood of the liabilities and can reasonably estimate the amount of the liabilities.  
Minimum | Warranties    
Revenue [Line Items]    
Standard warranty period on products 12 months  
Maximum | Warranties    
Revenue [Line Items]    
Standard warranty period on products 36 months  
Maximum | Professional Services    
Revenue [Line Items]    
Percentage of revenue for professional services 3.00%  
v3.25.2
Revenue - Schedule of Net Revenues Disaggregated by the Capabilities of the Underlying Products and Technologies (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Disaggregation of Revenue [Line Items]        
Total Revenue $ 241,049 $ 235,864 $ 474,415 $ 466,780
Automation Enabling Technologies        
Disaggregation of Revenue [Line Items]        
Total Revenue 121,672 116,729 244,839 234,118
Automation Enabling Technologies | Precision Manufacturing        
Disaggregation of Revenue [Line Items]        
Total Revenue 43,837 49,343 88,416 103,502
Automation Enabling Technologies | Robotics and Automation        
Disaggregation of Revenue [Line Items]        
Total Revenue 77,835 67,386 156,423 130,616
Medical Solutions        
Disaggregation of Revenue [Line Items]        
Total Revenue 119,377 119,135 229,576 232,662
Medical Solutions | Precision Medicine        
Disaggregation of Revenue [Line Items]        
Total Revenue 59,161 67,710 113,173 132,311
Medical Solutions | Advanced Surgery        
Disaggregation of Revenue [Line Items]        
Total Revenue $ 60,216 $ 51,425 $ 116,403 $ 100,351
v3.25.2
Business Combinations - Additional Information (Details)
$ in Thousands
 3 Months Ended 6 Months Ended
Apr. 08, 2025
USD ($)
Apr. 08, 2025
EUR (€)
Jun. 27, 2025
USD ($)
Jun. 27, 2025
USD ($)
Jun. 28, 2024
USD ($)
Jun. 27, 2025
USD ($)
Jun. 28, 2024
USD ($)
Dec. 31, 2024
USD ($)
Business Acquisition [Line Items]                
Goodwill     $ 649,093 $ 649,093   $ 649,093   $ 584,098
Amortization of purchased intangible assets       6,871 $ 6,907 12,425 $ 12,657  
Acquisition-related costs       $ 2,351 $ 20 2,901 $ 1,755  
Keonn Technologies, S.L                
Business Acquisition [Line Items]                
Business acquisition, date of acquisition Apr. 08, 2025 Apr. 08, 2025            
Percentage of shares acquired 100.00%              
Estimated total purchase consideration $ 75,429              
Contingent consideration payable $ 21,900              
Business combination measurement period for estimated fair value of certain assets and liabilities subject to change 1 year 1 year            
Intangible assets $ 32,326              
Goodwill $ 44,214              
Revenues           6,200    
Income before income taxes           700    
Amortization of purchased intangible assets     $ 1,800          
Acquisition-related costs           $ 2,100    
Keonn Technologies, S.L | Minimum                
Business Acquisition [Line Items]                
Contingent consideration payable | €   € 0            
Keonn Technologies, S.L | Maximum                
Business Acquisition [Line Items]                
Contingent consideration payable | €   € 20,000,000            
v3.25.2
Business Combinations - Summary of Estimated Total Purchase Consideration (Details) - Keonn Technologies, S.L
$ in Thousands
Apr. 08, 2025
USD ($)
Business Combination [Line Items]  
Cash consideration $ 67,218
Deferred consideration 3,674
Estimated fair value of contingent consideration 4,537
Estimated total purchase consideration $ 75,429
v3.25.2
Business Combinations - Summary of Preliminary Valuation, Fair Values of Assets Acquired and Liabilities Assumed Purchase Price Allocation (Details) - USD ($)
$ in Thousands
Apr. 08, 2025
Jun. 27, 2025
Dec. 31, 2024
Business Combination [Line Items]      
Goodwill   $ 649,093 $ 584,098
Keonn Technologies, S.L      
Business Combination [Line Items]      
Cash $ 4,045    
Accounts receivable 1,977    
Inventory 5,377    
Property, plant and equipment 1,401    
Operating lease assets 3,124    
Intangible assets 32,326    
Goodwill 44,214    
Other assets 1,412    
Total assets acquired 93,876    
Accounts payable 1,593    
Operating lease liabilities 3,124    
Debt 2,504    
Deferred tax liabilities 7,150    
Other liabilities 4,076    
Total liabilities assumed 18,447    
Total assets acquired, net of liabilities assumed 75,429    
Less: cash acquired 4,045    
Purchase price, net of cash acquired $ 71,384    
v3.25.2
Business Combinations - Fair Value of Intangible Assets (Details) - Keonn Technologies, S.L
$ in Thousands
Apr. 08, 2025
USD ($)
Acquired Finite Lived Intangible Assets [Line Items]  
Estimated Fair Value $ 32,326
Developed Technologies  
Acquired Finite Lived Intangible Assets [Line Items]  
Estimated Fair Value $ 9,753
Amortization Period 9 years
Customer Relationships  
Acquired Finite Lived Intangible Assets [Line Items]  
Estimated Fair Value $ 21,477
Amortization Period 9 years
Trade Name  
Acquired Finite Lived Intangible Assets [Line Items]  
Estimated Fair Value $ 1,096
Amortization Period 14 years
v3.25.2
Accumulated Other Comprehensive Loss (Details)
$ in Thousands
 6 Months Ended
Jun. 27, 2025
USD ($)
Accumulated Other Comprehensive Income Loss [Line Items]  
Beginning Balance $ 745,698
Ending Balance 801,446
Total Accumulated Other Comprehensive Loss  
Accumulated Other Comprehensive Income Loss [Line Items]  
Beginning Balance (29,921)
Other comprehensive income (loss) 28,380
Amounts reclassified from accumulated other comprehensive loss 409
Ending Balance (1,132)
Cumulative Translation Adjustments  
Accumulated Other Comprehensive Income Loss [Line Items]  
Beginning Balance (23,686)
Other comprehensive income (loss) 28,957
Ending Balance 5,271
Pension Liability Adjustments  
Accumulated Other Comprehensive Income Loss [Line Items]  
Beginning Balance (6,235)
Other comprehensive income (loss) (577)
Amounts reclassified from accumulated other comprehensive loss 409
Ending Balance $ (6,403)
v3.25.2
Computation of Basic and Diluted Earnings per Common Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Numerators:        
Net income $ 4,497 $ 13,755 $ 25,705 $ 28,431
Denominators:        
Weighted average common shares outstanding—basic 36,022 35,946 36,023 35,930
Dilutive common share equivalents 54 146 80 180
Weighted average common shares outstanding— diluted 36,076 36,092 36,103 36,110
Antidilutive common share equivalents excluded from above 344 166 260 119
Earnings per common share (Note 5):        
Basic $ 0.12 $ 0.38 $ 0.71 $ 0.79
Diluted $ 0.12 $ 0.38 $ 0.71 $ 0.79
v3.25.2
Earnings per Common Share - Additional Information (Details) - shares
shares in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Attainment-Based PSUs and Hybrid PSUs [Member]        
Computation Of Earnings Per Share [Line Items]        
Contingently issuable shares excluded from calculation of weighted average common shares outstanding 291 177 291 177
v3.25.2
Fair Value Measurements - Business Combination Contingent Consideration - Additional Information (Details) - Apr. 08, 2025 - Keonn Technologies, S.L
€ in Millions
USD ($)
EUR (€)
USD ($)
Business Acquisition [Line Items]      
Fair value of contingent consideration   € 4.1 $ 4,500,000
Undiscounted low range of contingent consideration | €   0.0  
Undiscounted high range of contingent consideration   € 20.0 $ 21,900,000
Changes in fair value of contingent consideration | $ $ 0    
v3.25.2
Fair Values of Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value Measurements Recurring - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Assets    
Assets, fair value $ 200 $ 1,226
Liabilities    
Liabilities, fair value 5,221 1,458
Prepaid Expenses and Other Current Assets    
Assets    
Foreign currency forward contracts 200 1,226
Accrued Expenses and Other Current Liabilities    
Liabilities    
Contingent considerations - Current 4,461 57
Contingent considerations - Long-term 458  
Foreign currency forward contracts 302 1,401
Significant Other Observable Inputs (Level 2)    
Assets    
Assets, fair value 200 1,226
Liabilities    
Liabilities, fair value 302 1,401
Significant Other Observable Inputs (Level 2) | Prepaid Expenses and Other Current Assets    
Assets    
Foreign currency forward contracts 200 1,226
Significant Other Observable Inputs (Level 2) | Accrued Expenses and Other Current Liabilities    
Liabilities    
Foreign currency forward contracts 302 1,401
Significant Other Unobservable Inputs (Level 3)    
Liabilities    
Liabilities, fair value 4,919 57
Significant Other Unobservable Inputs (Level 3) | Accrued Expenses and Other Current Liabilities    
Liabilities    
Contingent considerations - Current 4,461 $ 57
Contingent considerations - Long-term $ 458  
v3.25.2
Fair Value Measurements - Changes in Fair Value of Level 3 Contingent Considerations (Details) - Significant Other Unobservable Inputs (Level 3)
$ in Thousands
 6 Months Ended
Jun. 27, 2025
USD ($)
Fair Value Liabilities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items]  
Beginning balance $ 57
Acquisition of Keonn 4,537
Effect of foreign exchange rates 325
Ending balance $ 4,919
v3.25.2
Fair Value Measurements - Summary of Qualitative Information Associated with Fair Value Measurement of Level 3 Liabilities (Details) - Keonn Technologies, S.L
$ in Thousands, € in Millions
 6 Months Ended
Jun. 27, 2025
USD ($)
Apr. 08, 2025
EUR (€)
Apr. 08, 2025
USD ($)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Estimated fair value of contingent consideration   € 4.1 $ 4,500
Level 3      
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Estimated fair value of contingent consideration $ 4,856    
Valuation Technique Monte Carlo method    
Percentage applied, Gross profit premium 8.80%    
Percentage applied, Revenue risk premium 8.00%    
Percentage applied, Gross profit volatility 44.00%    
Percentage applied, Revenue volatility 40.00%    
Percentage applied, Credit spread 3.60%    
v3.25.2
Foreign Currency Contracts - Additional Information (Details) - Foreign Currency Forward Contracts - USD ($)
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Dec. 31, 2024
Derivative [Line Items]          
Notional amount of foreign currency forward contracts $ 54,400,000   $ 54,400,000   $ 187,400,000
Net gain (loss) on foreign currency forward contracts     (100,000)   $ (200,000)
Foreign Exchange Transaction Gains (Losses)          
Derivative [Line Items]          
Net gain (loss) on foreign currency forward contracts $ (2,100,000) $ 1,000,000 $ (1,800,000) $ 2,200,000  
v3.25.2
Goodwill and Intangible Assets - Additional Information (Details)
 6 Months Ended
Jun. 27, 2025
USD ($)
Goodwill [Line Items]  
Impairment of goodwill and intangible assets $ 0
v3.25.2
Summary of Changes in Goodwill (Details)
$ in Thousands
 6 Months Ended
Jun. 27, 2025
USD ($)
Goodwill [Line Items]  
Balance at beginning of the period $ 584,098
Effect of foreign exchange rate changes 20,781
Balance at end of the period 649,093
Keonn Technologies, S.L  
Goodwill [Line Items]  
Goodwill acquired from Keonn acquisition $ 44,214
v3.25.2
Goodwill By Reportable Segment (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Goodwill [Line Items]    
Goodwill $ 800,322 $ 735,327
Accumulated impairment of goodwill (151,229) (151,229)
Total 649,093 584,098
Automation Enabling Technologies    
Goodwill [Line Items]    
Goodwill 447,763 439,980
Accumulated impairment of goodwill (119,507) (119,507)
Total 328,256 320,473
Medical Solutions    
Goodwill [Line Items]    
Goodwill 352,559 295,347
Accumulated impairment of goodwill (31,722) (31,722)
Total $ 320,837 $ 263,625
v3.25.2
Intangible Assets (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Schedule of Intangible Assets Disclosure [Line Items]    
Amortizable intangible assets, gross carrying amount $ 558,424 $ 507,390
Amortizable intangible assets, accumulated amortization (367,821) (334,573)
Amortizable intangible assets, net carrying amount 190,603 172,817
Non-amortizable intangible assets 13,027 13,027
Gross carrying amount 571,451 520,417
Net carrying amount 203,630 185,844
Patents and Developed Technologies    
Schedule of Intangible Assets Disclosure [Line Items]    
Amortizable intangible assets, gross carrying amount 236,374 218,867
Amortizable intangible assets, accumulated amortization (172,760) (159,041)
Amortizable intangible assets, net carrying amount 63,614 59,826
Customer Relationships    
Schedule of Intangible Assets Disclosure [Line Items]    
Amortizable intangible assets, gross carrying amount 296,698 265,156
Amortizable intangible assets, accumulated amortization (177,267) (158,938)
Amortizable intangible assets, net carrying amount 119,431 106,218
Trademarks and Trade Names    
Schedule of Intangible Assets Disclosure [Line Items]    
Amortizable intangible assets, gross carrying amount 25,352 23,367
Amortizable intangible assets, accumulated amortization (17,794) (16,594)
Amortizable intangible assets, net carrying amount $ 7,558 $ 6,773
v3.25.2
Amortization Expense of Intangible Assets (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Goodwill and Intangible Assets Disclosure [Abstract]        
Amortization expense – cost of revenue $ 4,220 $ 3,685 $ 7,781 $ 7,377
Amortization expense - operating expenses 6,871 6,907 12,425 12,657
Total amortization expense $ 11,091 $ 10,592 $ 20,206 $ 20,034
v3.25.2
Estimated Amortization Expense (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Finite Lived Intangible Assets [Line Items]    
Cost of Revenue, 2025 (remainder of year) $ 8,517  
Cost of Revenue, 2026 15,057  
Cost of Revenue, 2027 12,128  
Cost of Revenue, 2028 10,318  
Cost of Revenue, 2029 7,446  
Cost of Revenue, Thereafter 10,148  
Amortizable intangible assets cost of revenue, net carrying amount 63,614  
Operating Expenses, 2025 (remainder of year) 13,889  
Operating Expenses, 2026 23,003  
Operating Expenses, 2027 19,131  
Operating Expenses, 2028 16,076  
Operating Expenses, 2029 12,455  
Operating Expenses, Thereafter 42,435  
Amortizable intangible assets operating expenses, net carrying amount 126,989  
2025 (remainder of year) 22,406  
2026 38,060  
2027 31,259  
2028 26,394  
2029 19,901  
Thereafter 52,583  
Amortizable intangible assets, net carrying amount $ 190,603 $ 172,817
v3.25.2
Inventories (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Inventory Disclosure [Abstract]    
Raw materials $ 109,415 $ 92,198
Work-in-process 26,005 24,719
Finished goods 31,997 27,327
Demo and consigned inventory 648 362
Total inventories $ 168,065 $ 144,606
v3.25.2
Accrued Expenses and Other Current Liabilities (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Jun. 28, 2024
Dec. 31, 2023
Other Liabilities Disclosure [Abstract]        
Accrued compensation and benefits $ 17,261 $ 28,361    
Accrued warranty 4,809 4,805 $ 5,039 $ 5,292
Contract liabilities, current portion 6,906 5,715    
Accrued restructuring 13,477 6,131    
Accrued earn-outs and contingent considerations 4,461 57    
Other 17,609 15,262    
Total $ 64,523 $ 60,331    
v3.25.2
Accrued Warranty (Details) - USD ($)
$ in Thousands
 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Product Warranties Disclosures [Abstract]    
Balance at beginning of the period $ 4,805 $ 5,292
Provision charged to cost of revenue 1,151 595
Warranty liabilities acquired from acquisitions   76
Use of provision (1,249) (913)
Foreign currency exchange rate changes 102 (11)
Balance at end of the period $ 4,809 $ 5,039
v3.25.2
Other Long Term Liabilities (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Other Liabilities Disclosure [Abstract]    
Finance lease obligations $ 2,779 $ 3,175
Other 4,036 1,316
Total $ 6,815 $ 4,491
v3.25.2
Outstanding Debt (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Debt Instrument [Line Items]    
Total current portion of long-term debt $ 5,203 $ 4,691
Total long-term debt 454,037 411,949
Total Senior Credit Facilities 459,240 416,640
Term Loans    
Debt Instrument [Line Items]    
Current portion of long-term debt, Gross 146,283 65,698
Long-term debt, Gross 5,300 4,710
Term Loan And Revolving Credit Facility    
Debt Instrument [Line Items]    
Less: unamortized debt issuance costs (5,741) (2,500)
Less: unamortized debt issuance costs (97) (19)
Revolving Facility    
Debt Instrument [Line Items]    
Long-term debt, Gross $ 313,495 $ 348,751
v3.25.2
Debt - Additional Information (Details)
 6 Months Ended
Jun. 27, 2025
USD ($)
Jun. 27, 2025
EUR (€)
Jun. 27, 2025
USD ($)
Jun. 27, 2025
EUR (€)
Jun. 28, 2024
USD ($)
Jun. 27, 2025
EUR (€)
Debt Instrument [Line Items]            
Write-off of unamortized deferred financing costs     $ 426,000      
Repayment of debt     41,017,000   $ 67,344,000  
Fourth Amended and Restated Credit Agreement            
Debt Instrument [Line Items]            
Maximum borrowing capacity $ 1,000,000,000   1,000,000,000      
Write-off of unamortized deferred financing costs 400,000          
Deferred financing costs 4,300,000   4,300,000      
Fourth Amended and Restated Credit Agreement | Term Loans            
Debt Instrument [Line Items]            
Maximum borrowing capacity $ 75,000,000   75,000,000      
Senior credit facilities maturity period 5 years 5 years        
Repayment of debt     2,500,000 € 2,300,000    
Fourth Amended and Restated Credit Agreement | Euro Term Loans            
Debt Instrument [Line Items]            
Maximum borrowing capacity | €           € 65,300,000
Senior credit facilities maturity period 5 years 5 years        
Fourth Amended and Restated Credit Agreement | Revolving Facility            
Debt Instrument [Line Items]            
Maximum borrowing capacity $ 850,000,000   850,000,000      
Senior credit facilities maturity period 5 years 5 years        
Line of credit facility accordion potential feature $ 350,000,000   350,000,000      
Repayment of debt     $ 38,500,000      
Original maturity date Jun. 30, 2030 Jun. 30, 2030        
Fourth Amended and Restated Credit Agreement | Euro Term Loans Facility Beginning in September 2025            
Debt Instrument [Line Items]            
Debt instrument, frequency of periodic payment quarterly quarterly        
Quarterly installments payable on term loan $ 1,300,000 € 1,100,000        
Fourth Amended and Restated Credit Agreement | U.S. Term Loans Facility Starting in September 2026            
Debt Instrument [Line Items]            
Debt instrument, frequency of periodic payment quarterly quarterly        
Quarterly installments payable on term loan $ 500,000          
Fourth Amended and Restated Credit Agreement | U.S. Term Loans Facility Beginning in September 2027            
Debt Instrument [Line Items]            
Quarterly installments payable on term loan $ 900,000          
v3.25.2
Leases - Additional Information (Details)
 6 Months Ended
Jun. 27, 2025
Lessee Lease Description [Line Items]  
Lease renewal terms and termination description Certain leases include one or more options to renew the lease terms from one to ten years and options to terminate the leases within one year.
Minimum  
Lessee Lease Description [Line Items]  
Lease agreement expiration year 2025
Lease renewal terms 1 year
Maximum  
Lessee Lease Description [Line Items]  
Lease agreement expiration year 2037
Lease renewal terms 10 years
Lease termination period 1 year
Land | Maximum  
Lessee Lease Description [Line Items]  
Lease agreement expiration year 2078
v3.25.2
Summary of Components of Lease Costs (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Leases [Abstract]        
Operating lease cost $ 2,881 $ 2,834 $ 5,620 $ 5,801
Finance lease cost        
Amortization of right-of-use assets 150 150 301 301
Interest on lease liabilities 50 60 102 122
Variable lease cost 394 342 670 593
Total lease cost $ 3,475 $ 3,386 $ 6,693 $ 6,817
v3.25.2
Summary of Balance Sheet Information Related to Leases (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Operating leases    
Operating lease right-of-use assets $ 44,107 $ 42,908
Current portion of operating lease liabilities 10,302 9,879
Operating lease liabilities 41,086 40,548
Total operating lease liabilities 51,388 50,427
Finance leases    
Finance lease right-of-use assets gross 9,582 9,582
Finance lease right-of-use assets accumulated depreciation (7,175) (6,874)
Finance lease assets included in property, plant and equipment, net $ 2,407 $ 2,708
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] Property, plant and equipment, net Property, plant and equipment, net
Current portion of finance lease liabilities $ 780 $ 759
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] Accrued expenses and other current liabilities Accrued expenses and other current liabilities
Noncurrent portion of finance lease liabilities $ 2,779 $ 3,175
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] Other liabilities Other liabilities
Total finance lease liabilities $ 3,559 $ 3,934
Weighted-average remaining lease term (in years):    
Operating leases 7 years 6 months 7 years 4 months 24 days
Finance leases 4 years 4 years 6 months
Weighted-average discount rate:    
Operating leases 4.79% 4.82%
Finance leases 5.54% 5.54%
v3.25.2
Summary of Cash Flow Information Related to Leases (Details) - USD ($)
$ in Thousands
 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Cash paid for lease liabilities:    
Operating cash outflows related to finance leases $ 102 $ 122
Operating cash outflows related to operating leases 5,019 4,314
Financing cash outflows related to finance leases 375 355
Supplemental non-cash information:    
Right-of-use assets obtained in exchange for new operating lease liabilities $ 3,602 $ 9,623
v3.25.2
Summary of Cash Flow Information Related to Leases (Parenthetical) (Details) - USD ($)
$ in Thousands
 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Lessee, Lease, Description [Line Items]    
Right-of-use assets acquired $ 3,602 $ 9,623
Keonn Technologies, S.L    
Lessee, Lease, Description [Line Items]    
Right-of-use assets acquired $ 3,100  
Motion Solutions Parent Corp.    
Lessee, Lease, Description [Line Items]    
Right-of-use assets acquired   $ 8,100
v3.25.2
Future Minimum Lease Payments Under Operating and Finance Leases (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Operating Lease    
2025 (remainder of year) $ 6,201  
2026 11,324  
2027 9,765  
2028 6,731  
2029 5,852  
Thereafter 22,932  
Total minimum lease payments 62,805  
Less: Interest (11,417)  
Present value of lease liabilities 51,388 $ 50,427
Finance Lease    
2025 (remainder of year) 477  
2026 979  
2027 1,003  
2028 1,003  
2029 502  
Thereafter 0  
Total minimum lease payments 3,964  
Less: Interest (405)  
Present value of lease liabilities $ 3,559 $ 3,934
v3.25.2
Preferred and Common Shares and Share-based Compensation - Additional Information (Details) - USD ($)
 1 Months Ended 3 Months Ended 6 Months Ended
May 31, 2021
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Dec. 31, 2024
Feb. 29, 2020
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Preferred shares, Authorized 7,000,000.0 7,000,000   7,000,000   7,000,000  
Preferred shares, voting rights one vote per share            
Preferred shares, Issued   0   0   0  
Preferred shares, outstanding   0   0   0  
Repurchase of common stock       $ 6,157,000      
Share-based compensation expense recognized   $ 7,498,000 $ 6,231,000 14,598,000 $ 12,308,000    
Selling, General and Administrative Expenses              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Share-based compensation expense recognized   $ 6,390,000 $ 5,552,000 $ 12,526,000 10,649,000    
Hybrid PSUs              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Expected annual dividend yield       0.00%      
Amended and Restated 2010 Incentive Plan | Employee Stock Option              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Stock options, Granted       0      
Amended and Restated 2010 Incentive Plan | Restricted Stock Units and Deferred Stock Units | Board of Directors | Selling, General and Administrative Expenses              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Share-based compensation expense recognized       $ 1,600,000 $ 1,500,000    
Amended and Restated 2010 Incentive Plan | Restricted Stock Units (RSUs)              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Total fair value of stock units vested       $ 11,500,000      
Amended and Restated 2010 Incentive Plan | Restricted Stock Units (RSUs) | Maximum              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Vesting period       4 years      
Amended and Restated 2010 Incentive Plan | Restricted Stock Units (RSUs) | Minimum [Member]              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Vesting period       0 years      
Amended and Restated 2010 Incentive Plan | Attainment-based PSUs | Maximum              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Range of percentage of shares to be issued upon settlement following vesting of target number of shares       200.00%      
Amended and Restated 2010 Incentive Plan | Attainment-based PSUs | Minimum [Member]              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Range of percentage of shares to be issued upon settlement following vesting of target number of shares       0.00%      
Amended and Restated 2010 Incentive Plan | Market-based PSUs | Maximum              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Range of percentage of shares to be issued upon settlement following vesting of target number of shares       200.00%      
Amended and Restated 2010 Incentive Plan | Market-based PSUs | Minimum [Member]              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Range of percentage of shares to be issued upon settlement following vesting of target number of shares       0.00%      
Amended and Restated 2010 Incentive Plan | Hybrid PSUs | Maximum              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Range of percentage of shares to be issued upon settlement following vesting of target number of shares       260.00%      
Amended and Restated 2010 Incentive Plan | Hybrid PSUs | Minimum [Member]              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Range of percentage of shares to be issued upon settlement following vesting of target number of shares       0.00%      
Amended and Restated 2010 Incentive Plan | Performance Stock Units              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Total fair value of stock units vested       $ 7,200,000      
Maximum number of common shares to be earned under these PSU grants   617,000   617,000      
2020 Repurchase Plan              
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]              
Common stock repurchase program authorized amount             $ 50,000,000
Shares repurchased       46,000      
Repurchase of common stock       $ 6,200,000      
Shares repurchased, average cost per share       $ 134.54      
Available for share repurchases   $ 43,300,000   $ 43,300,000      
v3.25.2
Share-Based Compensation Expense Recorded in the Consolidated Statements of Operations (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]        
Share-based compensation expense $ 7,498 $ 6,231 $ 14,598 $ 12,308
Selling, General and Administrative        
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]        
Share-based compensation expense 6,390 5,552 12,526 10,649
Research and Development and Engineering        
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]        
Share-based compensation expense 649 601 1,264 1,160
Cost of Revenue        
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]        
Share-based compensation expense $ 459 $ 78 $ 808 $ 499
v3.25.2
Restricted Stock Units Issued and Outstanding (Details) - Amended and Restated 2010 Incentive Plan - Restricted Stock Units (RSUs)
shares in Thousands
 6 Months Ended
Jun. 27, 2025
$ / shares
shares
Restricted Stock Units  
Unvested, Beginning Balance 198
Granted 299
Vested (83)
Forfeited (17)
Unvested, Ending Balance 397
Expected to vest at end of period 357
Weighted Average Grant Date Fair Value  
Unvested, Beginning Balance | $ / shares $ 154.43
Granted | $ / shares 131.05
Vested | $ / shares 148.01
Forfeited | $ / shares 154.08
Unvested, Ending Balance | $ / shares $ 138.18
v3.25.2
Performance-Based Awards Issued and Outstanding (Details) - Amended and Restated 2010 Incentive Plan - Performance Stock Units
shares in Thousands
 6 Months Ended
Jun. 27, 2025
$ / shares
shares
Performance-based Awards  
Unvested, Beginning Balance 227
Granted 157
Performance adjustments (7)
Vested (49)
Forfeited (14)
Unvested, Ending Balance 314
Expected to vest at end of period 260
Weighted Average Grant Date Fair Value  
Unvested, Beginning Balance | $ / shares $ 165.13
Granted | $ / shares 133.11
Performance adjustment | $ / shares 140.62
Vested | $ / shares 139.41
Forfeited | $ / shares 167.02
Unvested, Ending Balance | $ / shares $ 153.67
v3.25.2
Fair Value of TSR Performance-Based Restricted Stock Units Estimated Using Monte-Carol Valuation Method (Details) - Hybrid PSUs
 6 Months Ended
Jun. 27, 2025
$ / shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Grant-date stock price $ 142.80
Expected volatility 36.94%
Risk-free interest rate 4.18%
Expected annual dividend yield 0.00%
Fair value $ 160.93
v3.25.2
Preferred and Common Shares and Share-based Compensation - Stock Options Issued and Outstanding (Details) - Amended and Restated 2010 Incentive Plan - Employee Stock Option
shares in Thousands
 6 Months Ended
Jun. 27, 2025
$ / shares
shares
Stock options  
Outstanding as of December 31, 2024 149
Granted 0
Exercised (4)
Forfeited or expired (4)
Outstanding as of June 27, 2025 141
Exercisable as of June 27, 2025 94
Expected to vest as of June 27, 2025 47
Weighted Average Exercise Price  
Weighted Average Exercise Price, Outstanding as of December 31, 2024 | $ / shares $ 139.17
Weighted Average Exercise Price, Exercised | $ / shares 135.86
Weighted Average Exercise Price, Forfeited or expired | $ / shares 156.91
Weighted Average Exercise Price, Outstanding as of March 28, 2025 | $ / shares $ 138.77
v3.25.2
Income Taxes - Additional Information (Details)
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Income Taxes [Line Items]        
Effective tax rate on income from operations 22.30% 19.70% 20.20% 16.50%
Effective tax rate on income from operations       3.50%
Canada Revenue Agency | CANADA        
Income Taxes [Line Items]        
Statutory tax rate 29.00% 29.00% 29.00% 29.00%
v3.25.2
Schedule of Restructuring, Acquisition and Related Costs (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Restructuring Cost And Reserve [Line Items]        
Total restructuring charges $ 10,221 $ 2,523 $ 7,216 $ 3,071
Acquisition and related charges 2,351 20 2,901 1,755
Total restructuring, acquisition, and related costs 12,572 2,543 10,117 4,826
2025 Restructuring        
Restructuring Cost And Reserve [Line Items]        
Total restructuring charges 6,836 0 6,836 0
2024 Restructuring        
Restructuring Cost And Reserve [Line Items]        
Total restructuring charges 3,385 2,523 3,975 3,071
2020 Restructuring        
Restructuring Cost And Reserve [Line Items]        
Total restructuring charges $ (0) $ 0 $ (3,595) $ 0
v3.25.2
Restructuring, Acquisition, and Related Costs - Additional Information (Details) - USD ($)
$ in Thousands
 1 Months Ended 3 Months Ended 6 Months Ended
Jan. 31, 2025
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Restructuring, Acquisition, and Related Costs [Line Items]          
Acquisition and related charges   $ 2,351 $ 20 $ 2,901 $ 1,755
Finders' Fees, Legal, Valuation And Other Professional Or Consulting Fees          
Restructuring, Acquisition, and Related Costs [Line Items]          
Acquisition and related charges   2,400 $ 100 $ 2,900 $ 1,800
2025 Restructuring          
Restructuring, Acquisition, and Related Costs [Line Items]          
Restructuring and related cost description       The Company initiated the 2025 restructuring program in the second quarter of 2025 in order to streamline operations and align with our long-term goals. The 2025 restructuring program includes measures to regionalize manufacturing operations, expedite the closure of certain sites, streamline management structures, and implement cost-saving strategies in areas anticipated to have a minimal long-term impact on the Company's overall business performance. During both the three and six months ended June 27, 2025, the Company recorded $6.8 million in severance, facility related and other charges in connection with the 2025 restructuring program. As of June 27, 2025, the Company had incurred cumulative costs of $6.8 million related to this restructuring program. The Company anticipates substantially completing the 2025 restructuring program by the end of 2026. Total restructuring charges related to this program are expected to range between $20.0 million to $25.0 million.  
Restructuring cumulative costs incurred   6,800   $ 6,800  
2025 Restructuring | Minimum          
Restructuring, Acquisition, and Related Costs [Line Items]          
Restructuring costs   20,000   20,000  
2025 Restructuring | Maximum          
Restructuring, Acquisition, and Related Costs [Line Items]          
Restructuring costs   25,000   25,000  
2025 Restructuring | Severance, Facility Related, and Other Charges          
Restructuring, Acquisition, and Related Costs [Line Items]          
Severance cost   6,800   $ 6,800  
2024 Restructuring          
Restructuring, Acquisition, and Related Costs [Line Items]          
Restructuring and related cost description       As a result of the Company’s acquisitions and ongoing integration activities, the Company initiated the 2024 restructuring program in the first quarter of 2024 in order to reduce operating complexity. During the three and six months ended June 27, 2025, the Company recorded $3.4 million and $4.0 million, respectively, in severance, facility related and other charges in connection with the 2024 restructuring program. As of June 27, 2025, the Company had incurred cumulative costs of $14.5 million related to this restructuring program. The Company anticipates substantially completing the 2024 restructuring program by the end of 2025 and expects to incur additional restructuring charges of $1.5 million to $2.5 million related to the 2024 restructuring program.  
Restructuring cumulative costs incurred   14,500   $ 14,500  
2024 Restructuring | Minimum          
Restructuring, Acquisition, and Related Costs [Line Items]          
Restructuring costs   1,500   1,500  
2024 Restructuring | Maximum          
Restructuring, Acquisition, and Related Costs [Line Items]          
Restructuring costs   2,500   2,500  
2024 Restructuring | Severance, Facility Related, and Other Charges          
Restructuring, Acquisition, and Related Costs [Line Items]          
Severance cost   3,400   $ 4,000  
2020 Restructuring          
Restructuring, Acquisition, and Related Costs [Line Items]          
Restructuring and related cost description       As a result of the Company’s ongoing evaluations and efforts to reduce its operating costs, while improving efficiency and effectiveness, the Company initiated the 2020 restructuring program in the third quarter of 2020. This program was focused on reducing operating complexity in the Company, including reducing infrastructure costs and streamlining the Company’s operating model to better serve its customers. In addition, the program was focused on cost reduction actions to improve gross margins for the overall company. As of June 27, 2025, the Company had incurred cumulative costs of $13.1 million related to the 2020 restructuring program. The 2020 restructuring program activities were completed in the fourth quarter of 2023. In January 2025, the Company sold a facility from the 2020 restructuring program and recorded a $3.6 million gain in the Company’s Automation Enabling Technologies segment.  
Restructuring cumulative costs incurred   $ 13,100   $ 13,100  
Gain on sale of facility $ 3,600        
v3.25.2
Summary of Restructuring Charges by Reportable Segment (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Restructuring Cost And Reserve [Line Items]        
Restructuring costs $ 10,221 $ 2,523 $ 7,216 $ 3,071
2025 Restructuring        
Restructuring Cost And Reserve [Line Items]        
Restructuring costs 6,836 0 6,836 0
2025 Restructuring | Automation Enabling Technologies        
Restructuring Cost And Reserve [Line Items]        
Restructuring costs 940 0 940 0
2025 Restructuring | Medical Solutions        
Restructuring Cost And Reserve [Line Items]        
Restructuring costs 4,202 0 4,202 0
2025 Restructuring | Unallocated        
Restructuring Cost And Reserve [Line Items]        
Restructuring costs 1,694 0 1,694 0
2024 Restructuring        
Restructuring Cost And Reserve [Line Items]        
Restructuring costs 3,385 2,523 3,975 3,071
2024 Restructuring | Automation Enabling Technologies        
Restructuring Cost And Reserve [Line Items]        
Restructuring costs 445 1,810 931 2,089
2024 Restructuring | Medical Solutions        
Restructuring Cost And Reserve [Line Items]        
Restructuring costs 2,930 360 3,012 566
2024 Restructuring | Unallocated        
Restructuring Cost And Reserve [Line Items]        
Restructuring costs 10 353 32 416
2020 Restructuring        
Restructuring Cost And Reserve [Line Items]        
Restructuring costs $ (0) $ 0 $ (3,595) $ 0
v3.25.2
Summary of Accrual Activities by Components Related to Company's Restructuring Charges (Details)
$ in Thousands
 6 Months Ended
Jun. 27, 2025
USD ($)
Restructuring Cost And Reserve [Line Items]  
Accrued expense beginning balance $ 6,751
Restructuring charges 7,216
Cash payments 1,849
Non-cash write-offs and other adjustments (1,839)
Accrued expense ending balance 13,977
Employee Related  
Restructuring Cost And Reserve [Line Items]  
Accrued expense beginning balance 5,690
Restructuring charges 9,191
Cash payments (2,573)
Non-cash write-offs and other adjustments 719
Accrued expense ending balance 13,027
Facility Related  
Restructuring Cost And Reserve [Line Items]  
Accrued expense beginning balance 1,061
Restructuring charges 1,503
Cash payments (335)
Non-cash write-offs and other adjustments (1,346)
Accrued expense ending balance 883
Facility Sale  
Restructuring Cost And Reserve [Line Items]  
Accrued expense beginning balance 0
Restructuring charges (4,325)
Cash payments 5,537
Non-cash write-offs and other adjustments (1,212)
Accrued expense ending balance 0
Other Restructuring Charges  
Restructuring Cost And Reserve [Line Items]  
Accrued expense beginning balance 0
Restructuring charges 847
Cash payments (780)
Non-cash write-offs and other adjustments 0
Accrued expense ending balance $ 67
v3.25.2
Segment Information - Additional Information (Details)
 6 Months Ended
Jun. 27, 2025
EndMarket
Segment
Segment Reporting [Abstract]  
Number of reportable segments | Segment 2
Number of primary end market segments | EndMarket 2
Segment Reporting, CODM, Individual Title and Position or Group Name [Extensible Enumeration] srt:ChiefExecutiveOfficerMember
Segment Reporting, CODM, Profit (Loss) Measure, How Used, Description The CODM utilizes financial information to make decisions about allocating resources and assessing performance for the entire Company.
v3.25.2
Results of Operations Reportable Segment (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Segment Reporting Information [Line Items]        
Revenue $ 241,049 $ 235,864 $ 474,415 $ 466,780
Cost of revenue 134,303 132,175 263,315 262,675
Amortization of purchased intangible assets 4,220 3,685 7,781 7,377
Gross profit 106,746 103,689 211,100 204,105
Research and development and engineering 25,289 23,731 48,527 46,977
Selling, general and administrative 47,103 44,793 92,699 88,323
Amortization of purchased intangible assets 6,871 6,907 12,425 12,657
Restructuring, acquisition, and related costs 12,572 2,543 10,117 4,826
Interest income (expense), net (5,815) (8,266) (11,459) (16,520)
Other income (expense), net (563) (55) (554) (171)
Income before income taxes 5,789 17,130 32,207 34,046
Operating Segments        
Segment Reporting Information [Line Items]        
Revenue 241,049 235,864 474,415 466,780
Gross profit 107,720 104,332 213,066 206,056
Segment operating income 33,499 39,668 79,017 79,617
Operating Segments | Automation Enabling Technologies        
Segment Reporting Information [Line Items]        
Revenue 121,672 116,729 244,839 234,118
Cost of revenue 62,136 60,168 124,559 120,485
Amortization of purchased intangible assets 1,330 1,566 2,689 3,136
Gross profit 58,206 54,995 117,591 110,497
Research and development and engineering 9,269 9,977 18,708 19,974
Selling, general and administrative 18,331 18,893 37,489 37,388
Amortization of purchased intangible assets 2,347 2,796 4,755 5,597
Restructuring, acquisition, and related costs 1,385 1,810 (1,724) 2,089
Segment operating income 26,874 21,519 58,363 45,449
Income before income taxes 26,874 21,519 58,363 45,449
Operating Segments | Medical Solutions        
Segment Reporting Information [Line Items]        
Revenue 119,377 119,135 229,576 232,662
Cost of revenue 66,973 67,679 129,009 132,862
Amortization of purchased intangible assets 2,890 2,119 5,092 4,241
Gross profit 49,514 49,337 95,475 95,559
Research and development and engineering 16,169 13,901 30,125 27,167
Selling, general and administrative 15,064 12,815 29,794 26,437
Amortization of purchased intangible assets 4,524 4,111 7,670 7,060
Restructuring, acquisition, and related costs 7,132 361 7,232 727
Segment operating income 6,625 18,149 20,654 34,168
Income before income taxes 6,625 18,149 20,654 34,168
Segment Reporting, Reconciling Item, Excluding Corporate Nonsegment        
Segment Reporting Information [Line Items]        
Unallocated costs (18,588) (13,953) (31,685) (28,295)
Interest income (expense), net (5,815) (8,266) (11,459) (16,520)
Other income (expense), net $ (3,307) $ (319) $ (3,666) $ (756)
v3.25.2
Depreciation and Amortization Expenses by Reportable Segment (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Depreciation and Amortization Expenses        
Depreciation and amortization expenses $ 15,581 $ 14,116 $ 29,144 $ 27,045
Unallocated        
Depreciation and Amortization Expenses        
Depreciation and amortization expenses 391 434 799 910
Medical Solutions | Operating Segments        
Depreciation and Amortization Expenses        
Depreciation and amortization expenses 9,745 7,813 17,424 14,410
Automation Enabling Technologies | Operating Segments        
Depreciation and Amortization Expenses        
Depreciation and amortization expenses $ 5,445 $ 5,869 $ 10,921 $ 11,725
v3.25.2
Accounts Receivable and Inventory by Reportable Segments (Details) - USD ($)
$ in Thousands
Jun. 27, 2025
Dec. 31, 2024
Accounts Receivable    
Total accounts receivable $ 161,202 $ 151,026
Inventories    
Total inventories 168,065 144,606
Total segment assets 329,267 295,632
Medical Solutions    
Accounts Receivable    
Total accounts receivable 95,038 80,197
Inventories    
Total inventories 72,019 55,597
Automation Enabling Technologies    
Accounts Receivable    
Total accounts receivable 66,164 70,829
Inventories    
Total inventories $ 96,046 $ 89,009
v3.25.2
Schedule of Geographic Revenue (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Segment Reporting Information [Line Items]        
Revenue $ 241,049 $ 235,864 $ 474,415 $ 466,780
United States        
Segment Reporting Information [Line Items]        
Revenue 128,118 123,391 251,764 240,472
Germany        
Segment Reporting Information [Line Items]        
Revenue 27,258 31,919 55,735 65,100
Rest of Europe        
Segment Reporting Information [Line Items]        
Revenue 34,847 32,528 66,628 63,499
China        
Segment Reporting Information [Line Items]        
Revenue 21,777 19,014 43,211 36,085
Rest of Asia-Pacific        
Segment Reporting Information [Line Items]        
Revenue 24,667 25,334 48,046 52,590
Other Countries        
Segment Reporting Information [Line Items]        
Revenue $ 4,382 $ 3,678 $ 9,031 $ 9,034
v3.25.2
Schedule of Revenue by End Market (Details)
 3 Months Ended 6 Months Ended
Jun. 27, 2025
Jun. 28, 2024
Jun. 27, 2025
Jun. 28, 2024
Segment Reporting Information [Line Items]        
Total revenue by end market 100.00% 100.00% 100.00% 100.00%
Medical        
Segment Reporting Information [Line Items]        
Total revenue by end market 54.00% 58.00% 54.00% 57.00%
Advanced Industrial        
Segment Reporting Information [Line Items]        
Total revenue by end market 46.00% 42.00% 46.00% 43.00%