Annual report [Section 13 and 15(d), not S-K Item 405]

Concentration of Credit Risk, Significant Customers and Geographic Information

v3.25.4
Concentration of Credit Risk, Significant Customers and Geographic Information
 12 Months Ended
Dec. 31, 2025
Risks and Uncertainties [Abstract]  
Concentration of Credit Risk, Significant Customers and Geographic Information Concentration of Credit Risk, Significant Customers and Geographic Information
Concentration of Credit Risk
Financial instruments, which potentially subject the Company to concentrations of credit risk, consist primarily of cash and cash equivalents and accounts receivable. Collateral is generally not required for customer receivables. The Company limits its exposure to credit loss by placing its cash with high credit quality financial institutions. At times, such deposits may be in excess of insured limits. The Company has not experienced any losses on its deposits of cash and cash equivalents.
Significant Customers
The Company markets its products and services to manufacturers of a wide range of electronic devices (Note 1). The Company sells its products both directly to end-customers and through third-party distributors, both of which are referred to as the Company’s customers (Note 12). Revenue is also generated from sales of intellectual property, and the recipients of such intellectual property are also referred to as the Company’s customers. The Company makes periodic evaluations of the credit worthiness of its customers.
Customers comprising 10% or greater of net revenues for each of the periods presented are as follows:
Year Ended December 31,
2025 2024 2023
Percentage of total net revenue
Customer A 16  % 12  % 10  %
Customer B 12  % * *
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*    Represents less than 10% of the net revenue for the respective period.
The following table presents balances that are 10% or greater of accounts receivable, based on the Company’s billings to its customers.
December 31,
2025 2024
Percentage of gross accounts receivable
Customer C 26  % 17  %
Customer D 14  % *
Customer E 10  % *
Customer F 10  % *
Customer G * 16  %
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*    Represents less than 10% of the gross accounts receivable for the respective period.
Significant Suppliers
Suppliers comprising greater than 10% or greater of total inventory purchases are as follows:
Year Ended December 31,
2025 2024 2023
Vendor A 32  % 36  % 23  %
Vendor B 25  % 17  % 23  %
Vendor C 13  % 11  % 10  %
Geographic Information
The Company’s consolidated net revenues by geographic area based on ship-to location are as follows (in thousands):
Year Ended December 31,
2025 2024 2023
Amount % of total net revenue Amount % of total net revenue Amount % of total net revenue
Asia $ 384,684  82  % $ 269,079  75  % $ 521,433  75  %
Europe 62,105  13  % 39,470  11  % 124,556  18  %
United States 18,966  4  % 46,941  13  % 36,955  5  %
Rest of world 1,886  —  % 5,038  1  % 10,319  2  %
Total $ 467,641  100  % $ 360,528  100  % $ 693,263  100  %
The products shipped to individual countries or territories representing greater than 10% of net revenue for each of the periods presented are as follows:
Year Ended December 31,
2025 2024 2023
Percentage of total net revenue
Hong Kong 49  % 41  % 37  %
Vietnam 12  % * *
China * * 11  %
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*    Represents less than 10% of total net revenue for the respective period.
The determination of which country a particular sale is allocated to is based on the destination of the product shipment. No other individual country accounted for more than 10% of net revenue during these periods. Although a large percentage of the Company’s products is shipped to Asia, and in particular, Hong Kong, and Vietnam, the Company believes that a
significant number of the systems designed by customers and incorporating the Company’s semiconductor products are subsequently sold outside Asia to Europe, Middle East, and Africa markets and North American markets.
Long-lived assets, which consists of property and equipment, net, leased right-of-use assets, intangible assets, net, and goodwill by geographic area are as follows (in thousands):
December 31,
2025 2024
Amount % of total Amount % of total
United States $ 319,478  74  % $ 323,130  72  %
Singapore 92,519  21  % 102,112  23  %
Rest of world 19,862  5  % 25,838  6  %
Total $ 431,859  100  % $ 451,080  100  %