Company: COHU
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001437749-25-024281
Chunk: 45

Company: COHU INC
Filing Date: 2025-08-01
Form: 10-Q
Item: Item 1
Chunk 45
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 performance obligation. Parts and labor are covered under the terms of the warranty agreement. The warranty provision is based on historical and projected experience by product and configuration.

27

Cohu, Inc.

Notes to Unaudited Condensed Consolidated Financial Statements

June 28, 2025

Changes in accrued warranty were as follows (in thousands):

			Three Months Ended

			Six Months Ended

			June 28,

			June 29,

			June 28,

			June 29,

			2025

			2024

			2025

			2024

			Balance at beginning of period

			$
			2,837

			$
			4,295

			$
			3,093

			$
			5,017

			Warranty expense accruals

			1,306

			896

			2,091

			1,802

			Warranty payments

			(907
			)

			(1,407
			)

			(1,948
			)

			(3,035
			)

			Balance at end of period

			$
			3,236

			$
			3,784

			$
			3,236

			$
			3,784

Accrued warranty amounts expected to be incurred after one year are included in noncurrent other accrued liabilities in the condensed consolidated balance sheet. These amounts totaled $0.2 million and $0.1 million at June 28, 2025, and December 28, 2024, respectively.

			14.

			Subsequent Event

One Big Beautiful Bill Act

On July 4, 2025, the President signed into law the One Big Beautiful Bill Act (the “Act”), which introduced significant changes to the U.S. federal income tax code. The Act includes provisions affecting corporate tax rates on specified eligible income, timing of tax deductibility of depreciation, interest expense and research and development costs, and the taxation of foreign income. The effects of these changes will be recognized in the period in which the legislation was enacted. We currently do not expect the Act to have a material impact on our financial statements provided we maintain a valuation allowance on the majority of our net operating losses and other US federal deferred tax assets. We will continue to evaluate the broader implications of the Act, including the potential