Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Dec. 30, 2017	Mar. 01, 2018	Jul. 01, 2017
Document And Entity Information [Abstract]
Entity Registrant Name	IRIDEX CORP
Entity Central Index Key	0001006045
Document Type	10-K
Document Period End Date	Dec. 30, 2017
Amendment Flag	false
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	FY
Current Fiscal Year End Date	--12-30
Trading Symbol	IRIX
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float			$ 59,582,384
Entity Common Stock, Shares Outstanding		11,627,515

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 30, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 21,707	$ 23,747
Accounts receivable, net of allowance for doubtful accounts of $226 as of December 30, 2017 and $230 as of December 31, 2016	7,863	10,025
Inventories	9,381	11,643
Prepaid expenses and other current assets	500	450
Total current assets	39,451	45,865
Property and equipment, net	1,403	1,534
Intangible assets, net	116	132
Goodwill	533	533
Other long-term assets	143	80
Total assets	41,646	48,144
Current liabilities:
Accounts payable	1,724	1,994
Accrued compensation	2,459	2,346
Accrued expenses	2,153	2,135
Accrued warranty	1,536	310
Deferred revenue	2,520	1,383
Total current liabilities	10,392	8,168
Long-term liabilities:
Accrued warranty	199	293
Other long-term liabilities	533	523
Total liabilities	11,124	8,984
Stockholders’ equity:
Preferred stock, $0.01 par value, 2,000,000 shares authorized, no shares issued and outstanding
Common stock, $0.01 par value: Authorized: 30,000,000 shares; Issued and outstanding 11,596,274 and 11,304,736 shares as of December 30, 2017 and December 31, 2016, respectively	126	124
Additional paid-in capital	59,385	55,158
Accumulated deficit	(28,989)	(16,122)
Total stockholders’ equity	30,522	39,160
Total liabilities and stockholders’ equity	$ 41,646	$ 48,144

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Dec. 30, 2017	Dec. 31, 2016
Statement Of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 226	$ 230
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	2,000,000	2,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	30,000,000	30,000,000
Common stock, shares issued	11,596,274	11,304,736
Common stock, shares outstanding	11,596,274	11,304,736

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 30, 2017	Sep. 30, 2017	Jul. 01, 2017	Apr. 01, 2017	Dec. 31, 2016	Oct. 01, 2016	Jul. 02, 2016	Apr. 02, 2016	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Income Statement [Abstract]
Total revenues	$ 10,243	$ 10,865	$ 10,002	$ 10,483	$ 12,530	$ 9,789	$ 11,908	$ 11,931	$ 41,593	$ 46,158	$ 41,757
Cost of revenues	8,073	6,492	5,507	6,018	6,967	5,544	6,174	6,634	26,090	25,319	21,804
Gross profit	2,170	4,373	4,495	4,465	5,563	4,245	5,734	5,297	15,503	20,839	19,953
Operating expenses:
Research and development	1,278	1,428	1,528	1,496	1,358	1,256	1,392	1,359	5,730	5,365	5,214
Sales and marketing	4,195	3,769	3,654	2,923	3,069	2,378	2,405	2,429	14,541	10,281	8,901
General and administrative	1,880	2,422	2,054	1,904	2,092	1,858	2,331	1,357	8,260	7,638	5,550
Gain on sale of intellectual property		(175)							(175)
Impairment of long-lived assets	35				120				35	120
Total operating expenses	7,388	7,444	7,236	6,323	6,639	5,492	6,128	5,145	28,391	23,404	19,665
(Loss) income from operations	(5,218)	(3,071)	(2,741)	(1,858)	(1,076)	(1,247)	(394)	152	(12,888)	(2,565)	288
Other (expense) income, net	(88)	(16)	(1)	(2)	(8)	(51)	(21)	(11)	(107)	(91)	3
(Loss) income from operations before (benefit from) provision for income taxes	(5,306)	(3,087)	(2,742)	(1,860)	(1,084)	(1,298)	(415)	141	(12,995)	(2,656)	291
(Benefit from) provision for income taxes	(151)	9	8	6	9,731	(627)	(87)	40	(128)	9,057	(183)
Net (loss) income	$ (5,155)	$ (3,096)	$ (2,750)	$ (1,866)	$ (10,815)	$ (671)	$ (328)	$ 101	$ (12,867)	$ (11,713)	$ 474
Net (loss) income per share:
Basic	$ (0.44)	$ (0.27)	$ (0.24)	$ (0.16)	$ (1.04)	$ (0.07)	$ (0.03)	$ 0.01	$ (1.11)	$ (1.15)	$ 0.05
Diluted	$ (0.44)	$ (0.27)	$ (0.24)	$ (0.16)	$ (1.04)	$ (0.07)	$ (0.03)	$ 0.01	$ (1.11)	$ (1.15)	$ 0.05
Weighted average shares used in computing net (loss) income per common share:
Basic									11,555	10,173	9,962
Diluted									11,555	10,173	10,128

Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Statement Of Income And Comprehensive Income [Abstract]
Net (loss) income	$ (12,867)	$ (11,713)	$ 474
Comprehensive (loss) income	$ (12,867)	$ (11,713)	$ 474

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Deficit
Beginning Balance, value at Jan. 03, 2015	$ 33,736	$ 108	$ 38,511	$ (4,883)
Beginning Balance, shares at Jan. 03, 2015		9,786,695
Issuance of common stock under stock option plan	$ 1,027	$ 3	1,024
Issuance of common stock under stock option plan, shares	277,733	277,733
Employee stock-based compensation expense	$ 895		895
Release of restricted stock, value	(606)		(606)
Release of restricted stock, shares		144,756
Repurchase of employee share awards	(275)		(275)
Stock repurchase	$ (1,563)		(1,563)
Stock repurchase, shares	(199,776)	(199,776)
Net (loss) income	$ 474			474
Ending Balance, value at Jan. 02, 2016	33,688	$ 111	37,986	(4,409)
Ending Balance, shares at Jan. 02, 2016		10,009,408
Proceeds from issuance of common stock, net of issuance costs, value	14,813	$ 12	14,801
Proceeds from issuance of common stock, net of issuance costs, shares		1,150,000
Issuance of common stock under stock option plan	$ 709	$ 1	708
Issuance of common stock under stock option plan, shares	126,077	126,077
Employee stock-based compensation expense	$ 1,821		1,821
Release of restricted stock, value	(99)		(99)
Release of restricted stock, shares		25,795
Stock repurchase	$ (59)		(59)
Stock repurchase, shares	(6,544)	(6,544)
Net (loss) income	$ (11,713)			(11,713)
Ending Balance, value at Dec. 31, 2016	$ 39,160	$ 124	55,158	(16,122)
Ending Balance, shares at Dec. 31, 2016	11,304,736	11,304,736
Proceeds from issuance of common stock, net of issuance costs, value	$ 2,263	$ 2	2,261
Proceeds from issuance of common stock, net of issuance costs, shares		172,500
Issuance of common stock under stock option plan	$ 377		377
Issuance of common stock under stock option plan, shares	64,380	64,380
Employee stock-based compensation expense	$ 1,922		1,922
Release of restricted stock, value	$ (333)		(333)
Release of restricted stock, shares		54,658
Stock repurchase, shares	0
Net (loss) income	$ (12,867)			(12,867)
Ending Balance, value at Dec. 30, 2017	$ 30,522	$ 126	$ 59,385	$ (28,989)
Ending Balance, shares at Dec. 30, 2017	11,596,274	11,596,274

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Operating activities:
Net (loss) income	$ (12,867)	$ (11,713)	$ 474
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Gain on sale of intellectual property	(175)
Impairment of long-lived assets	35	120
Depreciation and amortization	858	648	522
Change in fair value of earn-out liability	260	95	5
Stock-based compensation	1,922	1,821	895
Deferred income taxes		8,985	(209)
Provision for doubtful accounts		122	62
Changes in operating assets and liabilities:
Accounts receivable	2,162	(865)	(1,007)
Inventories	2,091	(537)	(1,987)
Prepaid expenses and other current assets	(50)	(64)	124
Other long-term assets	(63)	84	57
Accounts payable	(270)	(229)	465
Accrued compensation	113	774	(291)
Accrued expenses	25	478	(36)
Accrued warranty	1,132		134
Deferred revenue	1,137	72	132
Other long-term liabilities	125	65	67
Net cash used in operating activities	(3,565)	(144)	(593)
Investing activities:
Acquisition of property and equipment	(575)	(1,062)	(875)
Proceeds from sale of intellectual property	175
Payment on earn-out liability	(382)	(406)	(423)
Net cash used in investing activities	(782)	(1,468)	(1,298)
Financing activities:
Proceeds from issuance of common stock, net of issuance costs	2,263	14,813
Proceeds from stock option exercises	377	709	1,027
Taxes paid related to net share settlements of equity awards	(333)	(99)	(606)
Repurchase of employee share awards			(275)
Repurchase of common stock		(59)	(1,563)
Net cash provided by (used in) financing activities	2,307	15,364	(1,417)
Net (decrease) increase in cash and cash equivalents	(2,040)	13,752	(3,308)
Cash and cash equivalents, beginning of year	23,747	9,995	13,303
Cash and cash equivalents, end of year	21,707	23,747	9,995
Cash paid during the year for:
Income taxes	7	$ 22	$ 27
Supplemental disclosure of non-cash activities:
Transfer of inventory to property and equipment	$ 171

Organization	12 Months Ended
Organization	Dec. 30, 2017
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Organization	1. Organization Description of Business. IRIDEX Corporation (“IRIDEX”, the “Company”, “we”, “us”, or “our”) is a leading worldwide provider of therapeutic based laser systems, delivery devices and consumable instrumentation used to treat sight-threatening eye diseases in ophthalmology. Our ophthalmology products are sold in the United States predominantly through a direct and independent sales force and internationally through independent distributors.

Summary of Significant Accounting Policies

12 Months Ended

Dec. 30, 2017

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

2. Summary of Significant Accounting Policies

Financial Statement Presentation.

The consolidated financial statements include the accounts of IRIDEX and our wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation.

Our fiscal year always ends on the Saturday closest to December 31. Fiscal 2017 ended on December 30, 2017 (“FY 2017”), Fiscal 2016 ended on December 31, 2016 (“FY 2016”) and Fiscal 2015 ended on January 2, 2016 (“FY 2015”). Fiscal years 2017, 2016 and 2015 each included 52 weeks of operations.

Use of Estimates.

The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues, and expenses and the related disclosure of contingent assets and liabilities. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. In addition, any change in these estimates or their related assumptions could have an adverse effect on our operating results.

Cash and Cash Equivalents.

We consider all highly liquid debt instruments with insignificant interest rate risk and an original maturity of three months or less when purchased to be cash equivalents. Cash equivalents consist primarily of cash deposits in money market funds that are available for withdrawal without restriction.

Sales Returns Allowance and Allowance for Doubtful Accounts.

We estimate future product returns related to current period product revenue. We analyze historical returns, and changes in customer demand and acceptance of our products when evaluating the adequacy of the sales returns allowance. Significant management judgment and estimates must be made and used in connection with establishing the sales returns allowance in any accounting period. Material differences may result in the amount and timing of our revenue for any period if management made different judgments or utilized different estimates. Our provision for sales returns is recorded net of the associated costs. The balance for the provision for sales returns was $570 thousand and $44 thousand as of December 30, 2017 and December 31, 2016, respectively, and is recorded within the deferred revenue accounts in the consolidated balance sheets.

Similarly management must make estimates regarding the uncollectibility of accounts receivable. We are exposed to credit risk in the event of non-payment by customers to the extent of amounts recorded on the consolidated balance sheets. As sales levels change, the level of accounts receivable would likely also change. In addition, in the event that customers were to delay their payments to us, the levels of accounts receivable would likely increase. We maintain allowances for doubtful accounts for estimated losses resulting from the inability of our customers to make required payments. The allowance for doubtful accounts is based on past payment history with the customer, analysis of the customer’s current financial condition, the aging of the accounts receivable balance, customer concentration and other known factors.

A reconciliation of the changes in our allowance for doubtful accounts balances for the years ended December 30, 2017, December 31, 2016 and January 2, 2016 are as follows (in thousands):

	Balance at							Balance
	Beginning of							at End of
Description	The period		Additions		(Deductions)			The period
Allowance for doubtful accounts Years ended

December 30, 2017		230		24		(28	)		226

December 31, 2016		140		128		(38	)		230

January 2, 2016		223		62		(145	)		140

Inventories.

Inventories are stated at the lower of cost or net realizable value and include on-hand inventory physically held at our facility, sales demo inventory and service loaner inventory. Cost is determined on a standard cost basis which approximates actual cost on a first-in, first-out (“FIFO”) method. Lower of cost or net realizable value is evaluated by considering obsolescence, excessive levels of inventory, deterioration and other factors. Adjustments to reduce the cost of inventory to its net realizable value, if required, are made for estimated excess, obsolescence or impaired inventory and are charged to cost of revenues. Once the cost of the inventory is reduced, a new lower-cost basis for that inventory is established, and subsequent changes in facts and circumstances do not result in the restoration or increase in that newly established cost basis. Factors influencing these adjustments include changes in demand, product life cycle and development plans, component cost trends, product pricing, physical deterioration and quality issues. Revisions to these adjustments would be required if these factors differ from our estimates.

As part of our normal business, we generally utilize various finished goods inventory as either sales demos to facilitate the sale of our products to prospective customers, or as loaners that we allow our existing customers to use while we repair their products. We are amortizing these demos and loaners over an estimated useful life of four years. The amortization of the demos is charged to sales and marketing expense while the amortization on the loaners is charged to cost of revenues. The gross value of demos and loaners was $2.4 million and $1.6 million and the accumulated amortization was $850 thousand and $490 thousand as of December 30, 2017 and December 31, 2016, respectively. The net book value of demos and loaners is charged to cost of revenues when such demos or loaners are sold.

Property and Equipment.

Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are calculated on a straight–line basis over the estimated useful lives of the assets, which is generally three years. Leasehold improvements are amortized over the lesser of their estimated useful lives or the lease term. Repairs and maintenance costs are expensed as incurred.

Valuation of Goodwill and Intangible Assets.

Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in a business combination. The Company reviews goodwill for impairment on an annual basis or whenever events or changes in circumstances indicate the carrying value may not be recoverable. The Company performs an annual impairment test by comparing the fair value of a reporting unit with its carrying amount. An impairment charge should be recognized for the amount by which the carrying amount exceed the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. In addition, income tax effects from any tax deductible goodwill carrying amount of the reporting unit should be considered when measuring the goodwill impairment loss, if applicable. The Company has determined that it has a single reporting unit for purposes of performing its goodwill impairment test. As the Company uses the market approach to assess impairment, its common stock price is an important component of the fair value calculation. If the Company’s stock price continues to experience significant price and volume fluctuations, this will impact the fair value of the reporting unit and can lead to potential impairment in future periods. The Company performed its annual impairment test during the second quarter of fiscal 2017 and determined that its goodwill was not impaired. As of December 30, 2017, we had not identified any factors that indicated there was an impairment of our goodwill and determined that no additional impairment analysis was then required.

Intangible assets with definite lives are amortized over the useful life of the asset. We review our amortizing intangible assets for impairment whenever events or changes in circumstances indicate that their carrying value may not be recoverable. An asset is considered impaired if its carrying amount exceeds the future non-discounted net cash flow the asset is expected to generate. If an asset is considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the asset exceeds its fair value. In such circumstances, we conduct an impairment analysis in accordance with Accounting Standard Codification (“ASC”) 350, “Intangibles – Goodwill and Other” (“ASC 350”).

Revenue Recognition.

Our revenues arise from the sale of laser consoles, delivery devices, consumables and service and support activities. Revenue from product sales is recognized upon receipt of a purchase order and product shipment provided that no significant obligations remain and collectibility is reasonably assured. Shipments are generally made with Free-On-Board (“FOB”) shipping point terms, whereby title passes upon shipment from our dock. Any shipments with FOB receiving point terms are recorded as revenue when the shipment arrives at the receiving point. Cost is recognized as product sales revenue is recognized. The Company’s sales may include post-sales obligations for training or other deliverables. For revenue arrangements such as these, we recognize revenue in accordance with Accounting Standards Codification (“ASC”) 605, “Revenue Recognition, Multiple-Element Arrangements”. The Company allocates revenue among deliverables in multiple-element arrangements using the relative selling price method. Revenue allocated to each element is recognized when the basic revenue recognition criteria is met for each element. The Company is required to apply a hierarchy to determine the selling price to be used for allocating revenue to deliverables: (i) vendor-specific objective evidence of selling price (“VSOE”), (ii) third-party evidence of selling price (“TPE”) and (iii) best estimate of the selling price (“ESP”). In general, the Company is unable to establish VSOE or TPE for all of the elements in the arrangement; therefore, revenue is allocated to these elements based on the Company’s ESP, which the Company determines after considering multiple factors such as management approved pricing guidelines, geographic differences, market conditions, competitor pricing strategies, internal costs and gross margin objectives. These factors may vary over time depending upon the unique facts and circumstances related to each deliverable. As a result, the Company’s ESP for products and services could change. Revenues for post-sales obligations are recognized as the obligations are fulfilled.

In 2017 we implemented LAP that some of our domestic customers have utilized. Under the LAP, we ship a G6 laser along with an initial purchase of G6 probes and an agreement to purchase additional G6 probes. Ownership on the console is transferred to the customer after they purchase the additional required number of probes on or before the end of a specified period. As title on the console does not transfer until the earlier of when the additional required probes are purchased or at the end of the term, in accordance with the multiple element arrangement guidance under ASC 605, the Company has determined that revenue should be recognized when that uncertainty is resolved.

In international regions, we utilize distributors to market and sell our products. We recognize revenue upon shipment for sales to these independent, third-party distributors as we have no continuing obligations subsequent to shipment. Generally our distributors are responsible for all marketing, sales, installation, training and warranty labor coverage for our products. Our standard terms and conditions do not provide price protection or stock retention rights to any of our distributors.

Royalty revenues are typically based on licensees’ net sales of products that utilize our technology and are recognized as earned in accordance with the contract terms when royalties from licensees can be reliably measured and collectibility is reasonably assured, such as upon the earlier of the receipt of a royalty statement from the licensee or upon payment by the licensee.

Taxes Collected from Customers and Remitted to Governmental Authorities.

Taxes collected from customers and remitted to governmental authorities are recognized on a net basis in the accompanying consolidated statements of operations as well as accrued expenses to the degree which is appropriate.

Deferred Revenue.

Revenue related to service contracts is deferred and recognized on a straight line basis over the period of the applicable service period. Costs associated with these service arrangements are recognized as incurred. Deferred revenue also includes the provision for sales returns. A reconciliation of the changes in our deferred revenue balances for the years ended December 30, 2017 and December 31, 2016 are as follows (in thousands):


FY 2015: Balance as of January 2, 2016	$	1,311
Additions to deferral		1,430
Revenue recognized		(1,358	)
FY 2016: Balance as of December 31, 2016		1,383
Additions to deferral		2,451
Revenue recognized		(1,314	)
FY 2017: Balance as of December 30, 2017	$	2,520

Warranty.

We provide reserves for the estimated cost of product warranties at the time revenue is recognized based on historical experience of known product failure rates and expected material and labor costs to provide warranty services. We generally provide a two-year warranty on our products. In March 2017, the Company began offering a 5 year warranty on the laser heads for its IQ 532/577 laser consoles. Actual warranty costs incurred have not materially differed from those accrued. The Company’s warranty policy is applicable to products which are considered defective in their performance or fail to meet the product specifications. Warranty costs are reflected in the statement of operations as cost of revenues. Additionally, from time to time, specific warranty accruals may be made if unforeseen technical problems arise. If estimates are determined to be greater than the actual amounts necessary, we may reverse a portion of such provisions in future periods. Warranty costs are reflected in the consolidated statements of operations as costs of revenues. A reconciliation of the changes in our warranty liability for the years ended December 30, 2017 and December 31, 2016 are as follows (in thousands):


FY 2015: Balance as of January 2, 2016	$	603
Accruals for product warranties		469
Cost of warranty claims		(469	)
FY 2016: Balance as of December 31, 2016		603
Accruals for product warranties		1,476
Cost of warranty claims		(344	)
FY 2017: Balance as of December 30, 2017	$	1,735

Shipping and Handling Costs.

Our shipping and handling costs billed to customers are included in revenues and the associated expense is recorded in cost of revenues for all periods presented. Shipping and handling costs amounted to $0.3 million for each of the fiscal years 2017, 2016 and 2015.

Research and Development.

Research and development expenditures are charged to operations as incurred.

Advertising.

Advertising and promotion costs are expensed as they are incurred; such costs were approximately $0.2 million in 2017, $0.1 million in 2016 and 2015 and are included in sales and marketing expenses in the accompanying consolidated statements of operations.

Income Taxes.

We account for income taxes in accordance with ASC 740, “Income Taxes” (“ASC 740”), which requires that deferred tax assets and liabilities be recognized using enacted tax rates for the effect of temporary differences between the book and tax bases of recorded assets and liabilities. Under ASC 740, the liability method is used in accounting for income taxes. Deferred tax assets and liabilities are determined based on the differences between financial reporting and the tax basis of assets and liabilities, and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. ASC 740 also requires that deferred tax assets be reduced by a valuation allowance if it is more likely than not that some or all of the deferred tax asset will not be realized. We annually evaluate the realizability of our deferred tax assets by assessing our valuation allowance and by adjusting the amount of such allowance, if necessary. The factors used to assess the likelihood of realization include our forecast of future taxable income and available tax planning strategies that could be implemented to realize the net deferred tax assets. In 2014, we released valuation allowance against most of our deferred tax assets except that we retained a valuation allowance for certain deferred tax assets associated with our California research and development credit (“CA R&D credit”). In 2016, based on the Company's recent history of earnings and its forecasted losses, management believes on the more likely than not basis that a full valuation allowance is required. Accordingly, in the fourth quarter of fiscal year 2017, the Company provided a full valuation allowance on its federal and states deferred tax assets.

Accounting for Uncertainty in Income Taxes.

We account for uncertain tax positions in accordance with ASC 740. ASC 740 seeks to reduce the diversity in practice associated with certain aspects of measurement and recognition in accounting for income taxes. ASC 740 prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax provision that an entity takes or expects to take in a tax return. Additionally, ASC 740 provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosures, and transition. Under ASC 740, an entity may only recognize or continue to recognize tax positions that meet a "more-likely-than-not" threshold. In accordance with our accounting policy, we recognize accrued interest and penalties related to unrecognized tax benefits as a component of income tax expense. There were no accrued interest and penalties during the years ended December 30, 2017 and December 31, 2016.

Accounting for Stock-Based Compensation.

The Company accounts for stock-based compensation granted to employees and directors, including employees stock option awards, restricted stock and restricted stock units in accordance with ASC 718, “Compensation – Stock Compensation” (“ASC 718”). Accordingly, stock-based compensation cost is measured at grant date, based on the fair value of the award, and is recognized as expense over the employee’s service period. The Company recognizes compensation expense on a ratable basis over the requisite service period of the award.

The Company values options using the Black-Scholes option pricing model. Restricted stock and time-based restricted stock units are valued at the grant date fair value of the underlying common shares. Performance-based restricted stock units with market conditions are valued using the Monte Carlo simulation model. The Black-Scholes option pricing model requires the use of highly subjective and complex assumptions which determine the fair value of stock-based awards, including the option’s expected term and the price volatility of the underlying stock. The Monte Carlo simulation model incorporates assumptions for the holding period, risk-free interest rate, stock price volatility and dividend yield.

Concentration of Credit Risk and Other Risks and Uncertainties.

Our cash and cash equivalents are deposited in demand and money market accounts. Deposits held with banks may exceed the amount of insurance provided on such deposits. Generally these deposits may be redeemed upon demand and therefore, bear minimal risk.

We market our products to distributors and end-users throughout the world. Sales to international distributors are generally made on open credit terms and letters of credit. Management performs ongoing credit evaluations of our customers and maintains an allowance for potential credit losses. Historically, we have not experienced any significant losses related to individual customers or a group of customers in any particular geographic area. For the years ended December 30, 2017, December 31, 2016 and January 2, 2016, no single customer accounted for greater than 10% of total revenues. As of December 30, 2017 and December 31, 2016, no customer accounted for more than 10% of accounts receivable balance.

Our products require approvals from the Food and Drug Administration and international regulatory agencies prior to commercialized sales. Our future products may not receive required approvals. If we were denied such approvals, or if such approvals were delayed, it would have a materially adverse impact on our business, results of operations and financial condition.

Reliance on Certain Suppliers.

Certain components and services used to manufacture and develop our products are presently available from only one or a limited number of suppliers or vendors. The loss of any of these suppliers or vendors would potentially require a significant level of hardware and/or software development efforts to incorporate the products or services into our products.

Net Income per Share.

Basic net income per share is based upon the weighted average number of common shares outstanding during the period. Diluted net income per share is based upon the weighted average number of common shares outstanding and dilutive common stock equivalents outstanding during the period. Common stock equivalents consist of incremental common shares issuable upon the exercise of stock options, release (vesting) of restricted stock units and awards, and the conversion of Series A Preferred Stock into common stock and are calculated under the treasury stock method. Common stock equivalent shares from unexercised stock options and unvested restricted stock units are excluded from the computation for periods in which we incur a net loss or if the exercise price of such options is greater than the average market price of our common stock for the period as their effect would be anti-dilutive. See Note 15 - Computation of Basic and Diluted Net Income Per Common Share.

Reclassifications

Certain reclassifications have been made to the prior year statements included in these consolidated financial statements to conform to the current year presentation. The reclassifications had no impact on previously reported net loss or accumulated deficit.

Recently Issued and Adopted Accounting Standards.

In May 2014, as part of its ongoing efforts to assist in the convergence of accounting principles generally accepted in the United States (“U.S. GAAP”) and International Financial Reporting Standards (“IFRS”), the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers (Topic 606).” The new guidance sets forth a new five-step revenue recognition model which replaces the prior revenue recognition guidance in its entirety and is intended to eliminate numerous industry-specific pieces of revenue recognition guidance that have historically existed in U.S. GAAP. The underlying principle of the new standard is that a business or other organization will recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects what it expects in exchange for the goods or services. The standard also requires more detailed disclosures and provides additional guidance for transactions that were not addressed completely in the prior accounting guidance. The ASU provides alternative methods of initial adoption and is effective for annual and interim periods beginning after December 15, 2017. The FASB has issued several updates to the standard which i) defer the original effective date from January 1, 2017 to January 1, 2018, while allowing for early adoption as of January 1, 2017 (ASU 2015-14); ii) clarify the application of the principal versus agent guidance (ASU 2016-08); iii) clarify the guidance on inconsequential and perfunctory promises and licensing (ASU 2016-10); and (iv) clarify the guidance on certain sections of the guidance providing technical corrections and improvements (ASU 2016-10). In May 2016, the FASB issued ASU 2016-12, “Revenue from Contracts with Customers (Topic 606) Narrow-Scope Improvements and Practical Expedients”, to address certain narrow aspects of the guidance including collectibility criterion, collection of sales taxes from customers, noncash consideration, contract modifications and completed contracts. This issuance does not change the core principle of the guidance in the initial topic issued in May 2014. We will be adopting the standard using the modified retrospective method. The adoption of this standard in fiscal year 2018 is not expected to have a material impact on our consolidated financial statements.

In July 2015, the FASB issued ASU 2015-11, “Simplifying the Measurement of Inventory.” Under this ASU, inventory will be measured at the “lower of cost and net realizable value” and options that currently exist for “market value” will be eliminated. The ASU defines net realizable value as the “estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation.” No other changes were made to the current guidance on inventory measurement. ASU 2015-11 is effective for interim and annual periods beginning after December 15, 2016. Early application is permitted and should be applied prospectively. The adoption of this standard in fiscal year 2017 did not have a material impact on our consolidated financial statements.

In February 2016, the FASB issued ASU 2016-02, "Leases," amending ASC 842. This ASU requires us to recognize on the balance sheet the assets and liabilities for the rights and obligations created by leases with terms of more than twelve months. This ASU also requires disclosures enabling the users of financial statements to understand the amount, timing and uncertainty of cash flows arising from leases. This new standard will become effective for annual periods beginning after December 15, 2018 (including interim reporting periods within those periods). Early adoption is permitted as of the beginning of an interim or annual reporting period. We are currently evaluating the impact of this new standard on our consolidated financial statements.

In March 2016, the FASB issued ASU No. 2016-09, “Improvements to Employee Share-Based Payment Accounting” as part of its simplification initiative, which involves several aspects of accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The ASU is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. Prior to ASU 2016-09, tax benefits in excess of compensation cost (“windfalls”) were recorded in equity, and tax deficiencies (“shortfalls”) were recorded in equity to the extent of previous windfalls, and then to the income statement. While the simplification reduces some of the administrative complexities by eliminating the need to track a “windfall pool,” it increases the volatility of income tax expense. The ASU also removes the requirement to delay recognition of a windfall tax benefit until it reduces current taxes payable. Under the new guidance, the benefit is recorded when it arises, subject to normal valuation allowance considerations. Under the new guidance, entities are permitted to make an accounting policy election for the impact of forfeitures on the recognition of expense for share-based payment awards. Forfeitures can be estimated or recognized when they occur. Estimates of forfeitures are still required in certain circumstances, such as at the time of modification of an award or issuance of a replacement award in a business combination. As of January 1, 2017, the Company adopted ASU 2016-09 on a modified retrospective basis for the income statement impact of forfeitures and income taxes. Accordingly, the Company did not change forfeiture method as of January 1, 2017, therefore, there was no retained earnings impact. As of January 1, 2017, the Company also recognized an excess windfall, net of operating loss carry-forwards that were converted into deferred tax net operating losses, of $1.39 million, with a corresponding increase in valuation allowance of $1.39 million.

In August 2016, the FASB issued ASU 2016-15 "Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments." The amendment gives guidance and reduces diversity in practice with respect to certain types of cash flows. This ASU is effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. An entity that elects early adoption must adopt all of the amendments in the same period. We are currently evaluating the impact of this guidance on our consolidated financial statements.

In October 2016, the FASB issued ASU 2016-16, to ASC 740 "Income Taxes," which simplifies the recording of an inter-entity transfer of assets other than inventory. The new guidance requires that a company recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The new guidance becomes effective for annual reporting periods beginning after December 15, 2017 and must be applied using a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the adoption period. The Company is currently evaluating the impact of this guidance on our financial statements and the timing of adoption.

In May 2017, the FASB issued ASU 2017-09, “Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting.” The amendments in ASU 2017-09 include guidance on determining which changes to the terms and conditions of share-based payment awards require an entity to apply modification accounting under Topic 718. These amendments require the entity to account for the effects of a modification unless all of the following conditions are met: the fair value (or calculated value or intrinsic value, if such an alternative measurement method is used) of the modified award is the same as the fair value (or value using an alternative measurement method) of the original award immediately before the original award is modified. If the modification does not affect any of the inputs to the valuation technique that the entity uses to value the award, the entity is not required to estimate the value immediately before and after the modification; the vesting conditions of the modified award are the same as the vesting conditions of the original award immediately before the original award is modified; and the classification of the modified award as an equity instrument or a liability instrument is the same as the classification of the original award immediately before the original award is modified. This guidance is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period, with early adoption permitted. We are currently evaluating the effect of the adoption of this guidance on our consolidated financial statements.

Fair Value Measurement

12 Months Ended

Dec. 30, 2017

Fair Value Disclosures [Abstract]

Fair Value Measurement

3. Fair Value Measurement

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below:

•

Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities.

•

Level 2: Directly or indirectly observable inputs as of the reporting date through correlation with market data, including quoted prices for similar assets and liabilities in active markets and quoted prices in markets that are not active. Level 2 also includes assets and liabilities that are valued using models or other pricing methodologies that do not require significant judgment since the input assumptions used in the models, such as interest rates and volatility factors, are corroborated by readily observable data from actively quoted markets for substantially the full term of the financial instrument.

•

Level 3: Unobservable inputs that are supported by little or no market activity and reflect the use of significant management judgment. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions.

In determining fair value, we utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as considers counterparty credit risk in our assessment of fair value.

The carrying amounts of our financial assets and liabilities, including cash and cash equivalents, accounts receivable, accounts payable, and accrued expenses as of December 30, 2017 and December 31, 2016, approximate fair value because of the short maturity of these instruments.

As of December 30, 2017 and December 31, 2016, financial assets and liabilities measured and recognized at fair value on a recurring basis and classified under the appropriate level of the fair value hierarchy as described above was as follows (in thousands):

	As of December 30, 2017								As of December 31, 2016
	Fair Value Measurements								Fair Value Measurements
(in thousands)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets:
Money market funds	$	20,950	$	—	$	—	$	20,950	$	8,270	$	—	$	—	$	8,270
Liabilities:
Earn-out liability	$	—	$	—	$	572	$	572	$	—	$	—	$	694	$	694

The Company’s Level 1 financial assets are money market funds whose fair values are based on quoted market prices. The Company does not have any Level 2 financial assets or liabilities. The fair value of the earn-out liability arising from the acquisition of RetinaLabs, Inc. is classified within Level 3 of the fair value hierarchy since it is based on significant unobservable inputs. The significant unobservable inputs include projected royalties and discount rates to present value the payments. A significant increase (decrease) in the projected royalty payments in isolation could result in a significantly higher (lower) fair value measurement and a significant increase (decrease) in the discount rate in isolation could result in a significantly lower (higher) fair value measurement. The fair value of the earn-out liability is calculated on a quarterly basis by the Company based on a collaborative effort of the Company’s operations, finance and accounting groups as additional information becomes available. Any change in the fair value adjustment is recorded in the statement of operations of that period. The decrease in re-measurement of the contingent earn-out was due to a decrease in expected future revenues to be generated from these acquisitions. The deal was structured with an earn-out component. The earn-out liability is included in accrued expenses and other long-term liabilities in the consolidated balance sheets.

Charges related to fair value adjustments were $260 thousand, $95 thousand and $5 thousand for the fiscal years 2017, 2016 and 2015, respectively

The following table presents quantitative information about the inputs and valuation methodologies used for our fair value measurements classified in Level 3 of the fair value hierarchy as of December 30, 2017 and December 31, 2016.

As of December 30, 2017	Fair Value (in thousands)		Valuation Technique	Significant Unobservable Input	Weighted Average (range)
Earn-out liability	$	572	Discounted cash flow	Projected royalties (in thousands)	$1,622
				Discount rate	10.90% (10.90% - 27.00%)

As of December 31, 2016	Fair Value (in thousands)		Valuation Technique	Significant Unobservable Input	Weighted Average (range)
Earn-out liability	$	694	Discounted cash flow	Projected royalties (in thousands)	$2,154
				Discount rate	11.22% (11.22% - 27.00%)

The following table provides a reconciliation of the beginning and ending balances of the contingent consideration – cash (Level 3 liabilities) (in thousands):

Balance as of January 2, 2016	$	1,005
Payments against earn-out		(406	)
Change in fair value of earn-out liability		95
Balance as of December 31, 2016		694
Payments against earn-out		(382	)
Change in fair value of earn-out liability		260
Balance as of December 30, 2017	$	572

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Inventories

12 Months Ended

Dec. 30, 2017

Inventory Disclosure [Abstract]

Inventories

4. Inventories

The components of our inventories are as follows (in thousands):

	FY 2017		FY 2016
	December 30, 2017		December 31, 2016
Raw materials	$	4,147	$	5,331
Work in process		1,567		2,337
Finished goods		3,667		3,975
Total inventories	$	9,381	$	11,643

Property and Equipment

12 Months Ended

Dec. 30, 2017

Property Plant And Equipment [Abstract]

Property and Equipment

5. Property and Equipment

The components of our property and equipment are as follows (in thousands):

	FY 2017			FY 2016
	December 30, 2017			December 31, 2016
Equipment	$	10,088		$	9,560
Leasehold improvements		2,364			2,309
Less: accumulated depreciation and amortization		(11,049	)		(10,335	)
Property and equipment, net	$	1,403		$	1,534

Depreciation expense related to property and equipment was $842 thousand, $632 thousand and $506 thousand for the fiscal years 2017, 2016 and 2015, respectively.

Intangible Assets

12 Months Ended

Dec. 30, 2017

Goodwill And Intangible Assets Disclosure [Abstract]

Intangible Assets

7. Intangible Assets

The components of our purchased intangible assets as of December 30, 2017 are as follows (in thousands):

	Useful Lives	FY 2017 Annual Amortization		Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Useful Lives Remaining
Customer relations	15 Years	$	16	$	240	$	124	$	116	7.25 Years
Patents	Varies		-		600		600		-	Varies
		$	16	$	840	$	724	$	116

The components of our purchased intangible assets as of December 31, 2016 are as follows (in thousands):

	Useful Lives	FY 2016 Annual Amortization		Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Useful Lives Remaining
Customer relations	15 Years	$	16	$	240	$	108	$	132	8.25 Years
Patents	Varies		-		720		720		-	Varies
		$	16	$	960	$	828	$	132

Aggregate amortization expense for each of the fiscal years 2017, 2016 and 2015 was $16 thousand. The amortization of customer relations was charged to sales and marketing expense and the amortization of patents was charged to cost of revenues.

Estimated future amortization expense for purchased intangible assets is as follows (in thousands):

Fiscal Year:
2018	$	16
2019		16
2020		16
2021		16
2022		16
Thereafter		36
Total	$	116

Accrued Expenses

12 Months Ended

Dec. 30, 2017

Payables And Accruals [Abstract]

Accrued Expenses

8. Accrued Expenses

The components of our accrued expenses are as follows (in thousands):

	FY 2017		FY 2016
	December 30, 2017		December 31, 2016
Customer deposits	$	509	$	496
Earn-out – short term		337		305
Distributor commission		293		171
Sales and use tax payable		57		94
Royalties payable		82		66
Other accrued expenses		875		1,003
Total accrued expenses	$	2,153	$	2,135

Commitments and Contingencies

12 Months Ended

Dec. 30, 2017

Commitments And Contingencies Disclosure [Abstract]

Commitments and Contingencies

9. Commitments and Contingencies

Lease Agreements.

We lease our operating facilities in Mountain View, California, under a non-cancelable operating lease that was initially scheduled to expire in February 28, 2022. In April 2017, we executed an agreement to extend the term of the lease through February 28, 2022. There are no remaining options to extend or renew the terms of this lease. Rent expense for fiscal years 2017, 2016 and 2015 was $1.1 million, $0.9 million and $0.8 million, respectively.

Future minimum lease payments under current operating leases as of December 30, 2017 are summarized as follows (in thousands):

Fiscal Year	Operating Lease Payments
2018	$	1,098
2019		1,358
2020		1,443
2021		1,484
2022		304
Total future minimum lease payments	$	5,687

Manufacture and Supply Agreement.

Future minimum payments for manufacture and supply commitments as of December 30, 2017 are summarized as follows (in thousands):

Fiscal Year	Contract Manufacturing and Supply Commitments
2018	$	5,736
2019		6,709
Total contract manufacturing and supply commitments	$	12,445

License Agreements.

We are obligated to pay royalties equivalent to 5% of sales on certain products under certain license agreements with termination dates as early as the end of 2018 and as late as the end of 2021. Royalty expense, charged to cost of revenues, was approximately $0.3 million, $0.3 million, and $0.1 million for the fiscal years 2017, 2016 and 2015, respectively.

Indemnification Arrangements.

We enter into standard indemnification arrangements in our ordinary course of business. Pursuant to these arrangements, we indemnify, hold harmless, and agree to reimburse the indemnified parties for losses suffered or incurred by the indemnified party, generally our business partners or customers, in connection with any trade secret, copyright, patent or other intellectual property infringement claim by any third-party with respect to our products. The term of these indemnification agreements is generally perpetual any time after the execution of the agreement. The maximum potential amount of future payments we could be required to make under these agreements is not determinable. We have never incurred costs to defend lawsuits or settle claims related to these indemnification agreements. As a result, we believe the estimated fair value of these agreements is minimal.

We have entered into indemnification agreements with our directors and officers that may require us to indemnify our directors and officers against liabilities that may arise by reason of their status or service as directors or officers, other than liabilities arising from willful misconduct of a culpable nature; to advance their expenses incurred as a result of any proceeding against them as to which they could be indemnified; and to make good faith determination whether or not it is practicable for us to obtain directors and officers insurance. We currently have directors and officers liability insurance.

In general, management believes that claims which are pending or known to be threatened, will not have a material adverse effect on our financial position or results of operations and are adequately covered by our liability insurance. However, it is possible that cash flows or results of operations could be materially affected in any particular period by the unfavorable resolution of one of more of these contingencies or because of the diversion of management’s attention and the incurrence of significant expenses.

Stockholders' Equity

12 Months Ended

Dec. 30, 2017

Equity [Abstract]

Stockholders' Equity

10. Stockholders’ Equity

1998 Stock Plan.

The 1998 Stock Plan (the “1998 Plan”), as amended, provides for the granting to employees (including officers and non-employee directors) of incentive stock options and for the granting to employees (including officers and non-employee directors) and consultants of nonstatutory stock options, stock purchase rights (“SPRs”), restricted stock, restricted stock units (“RSUs”), performance shares, performance units and stock appreciation rights. The exercise price of incentive stock options and stock appreciation rights granted under the 1998 Plan must be at least equal to the fair market value of the shares at the time of grant. With respect to any recipient who owns stock possessing more than 10% of the voting power of our outstanding capital stock, the exercise price of any option or SPR granted must be at least equal to 110% of the fair market value at the time of grant. Options granted under the 1998 Plan are exercisable at such times and under such conditions as determined by the administrator; generally over a four year period. The maximum term of incentive stock options granted to any recipient must not exceed ten years; provided, however, that the maximum term of an incentive stock option granted to any recipient possessing more than 10% of the voting power of our outstanding capital stock must not exceed five years. In the case of SPRs, unless the administrator determines otherwise, we have a repurchase option exercisable upon the voluntary or involuntary termination of the purchaser’s employment with us for any reason (including death or disability). Such repurchase option lapses at a rate determined by the administrator. The purchase price for shares repurchased is the original price paid by the purchaser. As of December 30, 2017 and January 2, 2016, no shares were subject to repurchase. The form of consideration for exercising an option or stock purchase right, including the method of payment, is determined by the administrator. The 1998 Plan expired in February 2008.

2008 Equity Incentive Plan.

On June 11, 2008, the shareholders approved the adoption of the 2008 Equity Incentive Plan, (the “Incentive Plan”). There are no material changes in the Incentive Plan from the 1998 Plan. In 2014, the stockholders approved an amendment to the Incentive Plan for purposes of complying with Section 162(m) of the Internal Revenue Code of 1986, as amended, to increase the share reserve under the Incentive Plan, and to make certain other amendments to the terms of the Incentive Plan. The maximum aggregate number of shares that may be awarded and sold under the Incentive Plan is 300,000 shares plus any shares subject to stock options or similar awards granted under the 1998 Plan that expire or otherwise terminate without having been exercised in full and shares issued pursuant to awards granted under the 1998 Plan that are forfeited to us on or after February 23, 2008, which was the date the 1998 Plan expired.

The following table summarizes information regarding activity in our stock option plans during the fiscal years ended 2017, 2016 and 2015 (in thousands except share and per share data):

				Outstanding Options
	Shares Available for Grant			Number of Shares			Weighted Average Exercise Price
Balances as of January 3, 2015		854,117			833,795		$	4.88
Additional shares reserved		1,000			—			—
Options granted		(170,300	)		170,300			9.38
Restricted stock granted		(227,905	)		—			—
Options exercised		—			(277,733	)		3.70
Options cancelled		174,870			(174,870	)		4.71
Awards cancelled		146,000			—			—
Options expired		(7,000	)		—			—
Balances as of January 2, 2016		770,782			551,492			6.92
Additional shares reserved		—			—			—
Options granted		(112,277	)		112,277			13.71
Restricted stock granted		(286,294	)		—			—
Options exercised		—			(126,077	)		5.62
Options cancelled		66,707			(66,707	)		7.37
Awards cancelled		66,000			—			—
Options expired		-			—			—
Balances as of December 31, 2016		504,918			470,985			8.69
Additional shares reserved		650,000			—			—
Options granted		(524,400	)		524,400			9.90
Restricted stock granted		(141,692	)		—			—
Options exercised		—			(64,380	)		5.86
Options cancelled		73,694			(73,694	)		10.47
Awards cancelled		32,039			—			—
Options expired		—			—			—
Balances as of December 30, 2017		594,559			857,311		$	9.49

There were 1,451,870 shares reserved for future issuance under the stock option plans as of December 30, 2017.

The following table summarizes information with respect to stock options outstanding and exercisable as of December30, 2017

	Options Outstanding						Options Vested and Exercisable
Range of Exercise Prices	Number of Shares Outstanding		Weighted Average Remaining Contractual Life (years)		Weighted Average Exercise Price		Number of Shares Exercisable		Weighted Average Exercise Price
$3.46 - $6.30		97,542		2.11	$	4.94		97,542	$	4.94
$6.83 - $8.58		96,655		4.13	$	7.93		61,551	$	8.06
$8.60 - $9.40		84,000		5.82	$	9.06		25,202	$	8.87
$9.54 - $9.54		385,000		6.56	$	9.54		32,709	$	9.54
$10.14 - $10.73		69,374		4.25	$	10.62		45,774	$	10.63
$11.04 - $11.04		5,300		5.32	$	11.04		2,209	$	11.04
$11.16 - $11.16		24,900		6.32	$	11.16		—	$	-
$12.85 - $12.85		27,500		3.66	$	12.85		8,235	$	12.85
$14.61 - $14.61		38,000		5.41	$	14.61		5,940	$	14.61
$16.29 - $16.29		29,040		5.52	$	16.29		10,674	$	16.29
$3.46 - $16.29		857,311		5.33	$	9.49		289,836	$	8.25

The determination of the fair value of options granted is computed using the Black-Scholes option pricing model with the following weighted average assumptions:

	Employee Stock Option Plan
	FY 2017			FY 2016			FY 2015
Average risk free interest rate		1.83	%		1.33	%		1.38	%
Expected life (in years)	4.55 years			4.55 years			4.55 years
Dividend yield		—			—			—
Average volatility		41.8	%		44.5	%		49.3	%

The weighted average grant date fair value of options granted as calculated using the Black-Scholes option pricing was $3.68, $5.06, and $3.95 per share for the fiscal years 2017, 2016 and 2015, respectively.

Option pricing models require the input of various subjective assumptions, including the option’s expected life and the price volatility of the underlying stock. The expected stock price volatility is based on analysis of our stock price history over a period commensurate with the expected term of the options, trading volume of our stock, look-back volatilities and Company specific events that affected volatility in a prior period. The expected term of employee stock options represents the weighted average period the stock options are expected to remain outstanding and is based on the history of exercises and cancellations on all past option grants made, the contractual term, the vesting period and the expected remaining term of the outstanding options. The risk-free interest rate is based on the U.S. Treasury interest rates whose term is consistent with the expected life of the stock options. No dividend yield is included as we have not issued any dividends and does not anticipate issuing any dividends in the future.

The following table shows stock-based compensation expense by functional line item in the consolidated statements of operations for 2017, 2016 and 2015 (in thousands):

	FY 2017		FY 2016		FY 2015
	Year Ended		Year Ended		Year Ended
	December 30, 2017		December 31, 2016		January 2, 2016
Cost of revenues	$	152	$	119	$	223
Research and development		354		134		176
Sales and marketing		307		164		185
General and administrative		1,109		1,404		311
Total stock-based compensation expense	$	1,922	$	1,821	$	895

Stock-based compensation expense capitalized to inventory was immaterial for 2017, 2016, and 2015.

Information regarding stock options outstanding, exercisable and expected to vest as of December 30, 2017 is summarized below:

	Number of		Weighted Average		Weighted Average Remaining Contractual		Aggregate Intrinsic Value
	Shares		Exercise Price		Life (years)		(thousands)
Options outstanding		857,311	$	9.49		5.33	$	278
Options vested and expected to vest		773,545	$	9.43		5.22	$	278
Options exercisable		289,836	$	8.25		3.65	$	272

The aggregate intrinsic value in the table above represents the total pretax intrinsic value (the difference between our closing stock price on the last trading day of fiscal 2017 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on December 30, 2017. This amount is subject to change due to changes to the fair market value of our common stock. The total intrinsic value of options exercised for fiscal years 2017, 2016 and 2015 was approximately $0.3 million, $0.8 million, and $1.5 million, respectively.

As of December 30, 2017, there was $4.0 million of total unrecognized compensation cost related to non-vested share-based compensation arrangements under both of the plans. The cost is expected to be recognized over a weighted average period of 3.31 years.

Cash flows resulting from excess tax benefits are classified as a part of cash flows from financing activities. Excess tax benefits are realized tax benefits from tax deductions for exercised stock options and vested restricted stock units and awards in excess of the deferred tax asset attributable to stock-based compensation expense for such stock-based awards. Excess tax benefits are considered realized when the tax deductions reduce taxes that otherwise would be payable. Excess tax benefits classified as a financing cash inflow for each of the fiscal year 2017, 2016 and 2015 were $0.

Restricted Stock Awards/Restricted Stock Units

Effective for the 2011 fiscal year and thereafter, each non-employee member of the Board of Directors received an annual equity award of either restricted stock or RSU, at the election of such Board member, in each case equal to $20 thousand worth of our common stock (determined at the fair market value of the shares at the time such award is granted) under our Incentive Plan. Each equity award or RSU vests in full on the one-year anniversary of the date of grant provided that the non-employee member continues to serve on the Board through such date.

Summary of Restricted Stock Units and Awards

We recognize the estimated compensation expense of restricted stock units and awards, net of estimated forfeitures, over the vesting term. The estimated compensation expense is based on the fair value of our common stock on the date of grant.

Information regarding the restricted stock units outstanding, vested and expected to vest as of December 30, 2017 is summarized below:

Number of

Weighted Average

Remaining Contractual

Life (years)

Aggregate Intrinsic

Value (thousands)

Restricted stock units outstanding

361,148

1.42

2,752

Restricted stock units vested and expected to vest

314,234

1.11

2,394

The intrinsic value of the restricted stock units is calculated based on the closing price of our shares as quoted on the NASDAQ Global Market on the last trading day of the year, December 29, 2017, of $7.62.

The majority of the restricted stock units that were released in fiscal year 2017 were net-share settled such that we withheld shares with value equivalent to the employees’ minimum statutory obligation for the applicable income and other employment taxes, and remitted the cash to the appropriate taxing authorities. The total shares withheld were based on the value of the restricted stock units on their release date as determined by our closing stock price. These net-share settlements had the effect of share repurchases as they reduced and retired the number of shares that would have otherwise been issued as a result of the release and did not represent an expense to us. For the fiscal year ended December 30, 2017, 80,009 shares of restricted stock units were released with an intrinsic value of approximately $1.0 million. We withheld 26,640 shares to satisfy approximately $333 thousand of employees’ minimum tax obligation on the released restricted stock units.

Information regarding the RSU activity during the years ended December 30, 2017, December 31, 2016 and January 2, 2016 is summarized below:

	Number of Shares			Weighted Average Grant Date Fair Value
Outstanding as of January 3, 2015		277,390		$	5.52
Restricted stock units granted		225,392		$	8.66
Restricted stock units released		(209,193	)	$	4.82
Restricted stock units forfeited		(146,000	)	$	8.28
Outstanding as of January 2, 2016		147,589		$	8.59
Restricted stock units granted		285,005		$	11.89
Restricted stock units released		(30,789	)	$	8.30
Restricted stock units forfeited		(66,000	)	$	9.67
Outstanding as of December 31, 2016		335,805		$	11.20
Restricted stock units granted		137,391		$	9.88
Restricted stock units released		(80,009	)	$	12.37
Restricted stock units forfeited		(32,039	)	$	11.44
Outstanding as of December 30, 2017		361,148		$	10.42

During the year ended December 30, 2017, the Company awarded 137,391 restricted stock units at a weighted average grant date fair value of $9.88 per share. Of this amount, 123,500 stock units represent performance based shares that are subject to service, performance and market vesting conditions with a weighted average grant date fair value of $9.92 per share.

RSUs granted with market conditions are valued using the Monte Carlo simulation model and compensation expense is recognized ratably during the service period even if the market condition is not satisfied. To the extent that the market condition is not met, the RSUs will not vest and will be cancelled.

RSUs granted with performance conditions are valued at the grant date fair value of the underlying common shares. The Company make a determination regarding the probability of the performance criteria being achieved and compensation expense is recognized ratably over the vesting period, if it is expected that the performance criteria will be met.

Information regarding the restricted stock awards activity during the year ended December 30, 2017, December 31, 2016 and January 2, 2016 is summarized below:

	Number of Shares			Weighted Average Grant Date Fair Value
Outstanding as of January 3, 2015		2,445		$	8.18
Restricted stock awards granted		2,513		$	7.96
Restricted stock awards released		(2,445	)	$	7.96
Outstanding as of January 2, 2016		2,513		$	7.96
Restricted stock awards granted		1,289		$	15.51
Restricted stock awards released		(2,513	)	$	7.96
Outstanding as of December 31, 2016		1,289		$	15.51
Restricted stock awards granted		4,301		$	9.30
Restricted stock awards released		(1,289	)	$	15.51
Outstanding as of December 30, 2017		4,301		$	9.30

Stock Repurchase Program.

In February 2013, the Board of Directors approved a one year $3.0 million stock repurchase program that replaced the prior two year $4.0 million stock repurchase program. In February 2014, the Board of Directors approved the extension of the plan for an additional year. In July 2014, the Board of Directors approved an extension of the plan for an additional year and authorized an additional $3.0 million of stock repurchases. In August 2015, the Board of Directors approved a further extension of the plan for another year and authorized an additional $2.0 million of stock repurchases. On September 9, 2015, the Company made a payment to James H. Mackaness, our former Chief Financial Officer and Chief Operating Officer, of approximately $275 thousand in cash in exchange for Mr. Mackaness’ agreement to cancel vested stock options exercisable for an aggregate of 92,656 shares of our common stock. This payment to Mr. Mackaness was made using funds authorized and available under the stock repurchase program discussed above, and resulted in a reduction of the approximate dollar value of shares that may yet be purchased under this program. During the year ended December 30, 2017, the Company did not repurchased any shares while for the years ended December 31, 2016 and January 2, 2016, the Company repurchased 6,544 and 199,776 shares at an average price of $9.00 and $7.92 per share, respectively. As of December 30, 2017, we have repurchased 843,785 shares for approximately $6.7 million under this program. The remaining balance of approximately $1.0 million approved under the plan was not used when the plan lapsed in August 2016.

Employee Benefit Plan	12 Months Ended
Employee Benefit Plan	Dec. 30, 2017
Employee Benefits And Share Based Compensation [Abstract]
Employee Benefit Plan	11. Employee Benefit Plan We have a plan known as the Iridex Corporation Profit Sharing/401(k) Plan Trust to provide retirement benefits through the deferred salary deductions for substantially all U.S. employees. Employees may contribute up to 15% of their annual compensation to the plan, limited to a maximum amount set by the Internal Revenue Service. The plan also provides for Company contributions at the discretion of the Board of Directors. Prior to the start of fiscal 2009, we suspended the matching contributions. Subsequent to December 28, 2013, we reinstated a Company match in the amount of 50% of employee contributions up to a maximum of $3 thousand. In 2017, 2016 and 2015, total matching contributions made by the Company were $248 thousand, $226 thousand, and $218 thousand, respectively.

Income Taxes

12 Months Ended

Dec. 30, 2017

Income Tax Disclosure [Abstract]

Income Taxes

12. Income Taxes

Loss (income) from operations before (benefit from) provision for income taxes was comprised of the following:

	FY 2017			FY 2016			FY 2015
	Year Ended			Year Ended			Year Ended
	December 30, 2017			December 31, 2016			January 2, 2016
United States	$	(12,800	)	$	(2,656	)	$	291
Foreign		(195	)		—			—
Total	$	(12,995	)	$	(2,656	)	$	291

The (benefit from) provision for income taxes includes:

	FY 2017			FY 2016			FY 2015
	Year Ended			Year Ended			Year Ended
	December 30, 2017			December 31, 2016			January 2, 2016
Current:
Federal	$	(90	)	$	-		$	(4	)
State		16			4			30
		(74	)		4			26
Deferred:
Federal		(55	)		9,271			(12	)
State		1			(218	)		(197	)
		(54	)		9,053			(209	)
(Benefit from) provision for income taxes	$	(128	)	$	9,057		$	(183	)

Our effective tax rate differs from the statutory federal income tax rate as shown in the following schedule:

	FY 2017			FY 2016			FY 2015
	Year Ended			Year Ended			Year Ended
	December 30, 2017			December 31, 2016			January 2, 2016
Income tax provision at statutory rate		34.0	%		34.0	%		34.0	%
State income taxes, net of federal benefit		2.4	%		9.6	%		(70.8	)%
Permanent differences		(0.0	)%		(1.5	)%		12.0	%
Research and development credits		0.6	%		3.0	%		(34.8	)%
Change in valuation allowance		(34.9	)%		(387.4	)%		—
Foreign rate differential		(0.5	)%		—			—
Other		(3.0	)%		1.3	%		(3.3	)%
Effective tax rate		1.0	%		(341.0	)%		(62.9	)%

The tax effect of temporary differences and carryforwards that give rise to significant portions of the net deferred tax assets are presented below (in thousands):

	FY 2017			FY 2016
	Year Ended			Year Ended
	December 30, 2017			December 31, 2016
Net operating losses	$	5,757		$	4,411
Research and development credits		2,839			2,113
Accruals and reserves		2,031			2,158
Deferred revenue		341			104
Property and equipment		314			396
Intangible assets		495			783
Stock compensation		528			972
Other tax credits		1			90
Net deferred tax asset		12,306			11,027
Valuation allowance		(12,320	)		(11,095	)
Net deferred tax liabilities	$	(14	)	$	(68	)

Our accounting for deferred taxes involves the evaluation of a number of factors concerning the realizability of our deferred tax assets. Assessing the realizability of deferred tax assets is dependent upon several factors, including the likelihood and amount, if any, of future taxable income in relevant jurisdictions during the periods in which those temporary differences become deductible. Our management forecasts taxable income by considering all available positive and negative evidence including our history of operating income or losses and our financial plans and estimates which are used to manage the business. These assumptions require significant judgment about future taxable income. The amount of deferred tax assets considered realizable is subject to adjustment in future periods if estimates of future taxable income are reduced.

As of December 30, 2017, based on the Company's recent history of earnings and its forecasted losses, management believes on the more likely than not basis that a full valuation allowance is required. Accordingly, in the fourth quarter of fiscal year 2017, the Company provided a full valuation allowance on its federal and states deferred tax assets. As of December 30, 2017, the Company had federal and State net operating loss (“NOL”) carry forwards of $21.5 million and $16.7 million respectively. The federal NOL will begin to expire in 2032 and the state NOL will begin to expire in 2020.

In December 2015, Congress passed a tax extenders package, Protecting Americans from Tax Hikes (PATH) Act of 2015, and permanently extended the federal R&D credit. The Company has federal and state research credit carry forwards of approximately $1.8 million and $2.6 million, respectively, available to and development credits are subject to IRC sections 382 and 383. In the event of a change in ownership as defined by these code sections, the usage of the above mentioned NOL’s and credits may be limited.

On December 22, 2017, the current U.S. presidential administration signed the Tax Cuts and Jobs Act ("Tax Reform") into legislation. Under ASC 740, the effects of changes in tax rates and laws are recognized in the period in which the new legislation is enacted. In the case of US federal income taxes, the enactment date is the date the bill becomes law. With respect to this legislation, we expect a financial statement impact of approximately $90 thousand related to a refundable AMT and an adjustment to the indefinite-lived deferred tax liability. The Company performed a re-measurement of deferred tax assets and liabilities as a result of the decrease in the corporate Federal income tax rate from 35% to 21% which was offset by the valuation allowance.

The Act “To provide for reconciliation pursuant to titles II and V of the concurrent resolution on the budget for fiscal year 2018” (the “Tax Reform Act”) was enacted December 22, 2017. The Tax Reform Act reduced certain federal corporate income tax rates effective January 1, 2018 and changed certain other provisions. Various provisions within the new legislation were considered but due to the Company’s valuation allowance on domestic deferred tax assets and liabilities there is no material impact to the financial statements of the federal tax rate reductions for the year ended December 31, 2017.

As a result of the Tax Reform Act, the Company has also considered the impact of the transition tax for which it has estimated that the Company would not need to accrue any amounts.

The Company accounts for uncertain tax positions in accordance with ASC 740, Income Taxes. ASC 740 seeks to reduce the diversity in practice associated with certain aspects of measurement and recognition in accounting for income taxes. ASC 740 prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax provision that an entity takes or expects to take in a tax return. Additionally, ASC 740 provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosures, and transition. Under ASC 740, an entity may only recognize or continue to recognize tax positions that meet a "more likely than not" threshold. In accordance with our accounting policy, we recognize accrued interests and penalties related to unrecognized tax benefits as a component of income tax expense. There is no accrued interest and penalty during the year ended December 30, 2017.

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):

	FY 2017		FY 2016		FY 2015
	Year Ended		Year Ended		Year Ended
	December 30, 2017		December 31, 2016		January 2, 2016
Balance at the beginning of the year	$	1,029	$	937	$	861
Additions based upon tax positions related to the current year		73		75		73
Additions based upon tax positions related to the prior year		3		17		-
Reductions based upon tax positions related to the prior year		-		-		3
Balance at the end of the year	$	1,105	$	1,029	$	937

If the ending balance of $1.1 million of unrecognized tax benefits at December 30, 2017, were recognized, $0 of the recognition would affect the income tax rate. The Company does not anticipate any material change in our unrecognized tax benefits over the next twelve months. The unrecognized tax benefits may change during the next year for items that arise in the ordinary course of business.

The Company files U.S. federal and state returns. The tax years 2010 to 2016 remain open in several jurisdictions, none of which have individual significance.

Loan and Security Agreement	12 Months Ended
Loan and Security Agreement	Dec. 30, 2017
Debt Disclosure [Abstract]
Loan and Security Agreement	13. Loan and Security Agreement In November 2016, the Company entered into a Loan and Security Agreement (“Loan Agreement”) with Silicon Valley Bank providing for a $15.0 million secured revolving loan facility (“Revolving Loan Facility”), with availability subject to an accounts receivable borrowing base formula. Borrowings under the Revolving Loan Facility accrue interest at a per annum rate equal to the Wall Street Journal Prime Rate as in effect from time to time, plus 1.5%. The Loan Agreement does not include any financial covenants. The Company may borrow, repay and reborrow funds under the Revolving Loan Facility until November 2, 2019, at which time the Revolving Loan Facility matures and all outstanding amounts must be repaid. As of December 30, 2017, there was no amount outstanding.

Business Segments and Geographical Information

12 Months Ended

Dec. 30, 2017

Segment Reporting [Abstract]

Business Segments and Geographical Information

14. Business Segments and Geographical Information

We operate in one segment, ophthalmology. We develop, manufacture and market medical devices. Our revenues arise from the sale of consoles, delivery devices, consumables, service and support activities.

Revenue information shown by geographic region is as follows (in thousands):

	FY 2017		FY 2016		FY 2015
	Year Ended		Year Ended		Year Ended
	December 30, 2017		December 31, 2016		January 2, 2016
United States	$	23,017	$	25,171	$	23,952
Europe		8,097		9,567		7,968
Rest of Americas		2,319		2,800		2,676
Asia/Pacific Rim		8,160		8,620		7,161
	$	41,593	$	46,158	$	41,757

Revenues are attributed to countries based on location of end customers. For fiscal years 2017, 2016 and 2015 no individual country accounted for more than 10% of our sales, except for the United States, which accounted for 55.3%, 54.5%, and 57.4% of revenues in 2017, 2016, and 2015 respectively.

As of December 30, 2017 and December 31, 2016, we had no long-lived assets in any country other than in the United States.

Computation of Basic and Diluted Net Income Per Common Share

12 Months Ended

Dec. 30, 2017

Earnings Per Share [Abstract]

Computation of Basic and Diluted Net Income Per Common Share

15. Computation of Basic and Diluted Net Income Per Common Share

A reconciliation of the numerator and denominator of basic and diluted net income per common share is provided as follows (in thousands, except per share amounts):

	FY 2017			FY 2016			FY 2015
	Year Ended			Year Ended			Year Ended
	December 30, 2017			December 31, 2016			January 2, 2016
Numerator:
Net (loss) income	$	(12,867	)	$	(11,713	)	$	474
Denominator:
Weighted average shares of common stock (basic)		11,555			10,173			9,962
Effect of dilutive preferred shares		—			—			—
Effect of dilutive stock options		—			—			154
Effect of dilutive contingent shares		—			—			12
Weighted average shares of common stock (diluted)		11,555			10,173			10,128
Per share data:
Basic net (loss) income per share	$	(1.11	)	$	(1.15	)	$	0.05
Diluted net (loss) income per share	$	(1.11	)	$	(1.15	)	$	0.05

As of December 30, 2017, December 31, 2016 and January 2, 2016 stock options, restricted stock units and restricted stock awards of 1,222,760, 808,079 and 399,166 shares, respectively, were excluded from the computation of diluted weighted average shares outstanding because to do so would have been anti-dilutive.

Quarterly Results (unaudited)

12 Months Ended

Dec. 30, 2017

Quarterly Financial Information Disclosure [Abstract]

Quarterly Results (unaudited)

16. Quarterly Results (unaudited)

	Fiscal Year 2017
	Q1			Q2			Q3			Q4			Year
Total revenues	$	10,483		$	10,002		$	10,865		$	10,243		$	41,593
Cost of revenues		6,018			5,507			6,492			8,073			26,090
Gross profit		4,465			4,495			4,373			2,170			15,503
Operating expenses:
Research and development		1,496			1,528			1,428			1,278			5,730
Sales and marketing		2,923			3,654			3,769			4,195			14,541
General and administrative		1,904			2,054			2,422			1,880			8,260
Gain on sale of intellectual property		—			—			(175	)		—			(175	)
Impairment of long-lived assets		—			—			—			35			35
Total operating expenses		6,323			7,236			7,444			7,388			28,391
Loss from operations		(1,858	)		(2,741	)		(3,071	)		(5,218	)		(12,888	)
Other expense, net		(2	)		(1	)		(16	)		(88	)		(107	)
Loss from operations before (benefit from) provision for income taxes		(1,860	)		(2,742	)		(3,087	)		(5,306	)		(12,995	)
Provision for (benefit from) income taxes		6			8			9			(151	)		(128	)
Net loss	$	(1,866	)	$	(2,750	)	$	(3,096	)	$	(5,155	)	$	(12,867	)
Net loss per share:
Basic	$	(0.16	)	$	(0.24	)	$	(0.27	)	$	(0.44	)	$	(1.11	)
Diluted	$	(0.16	)	$	(0.24	)	$	(0.27	)	$	(0.44	)	$	(1.11	)

	Fiscal Year 2016
	Q1			Q2			Q3			Q4			Year
Total revenues	$	11,931		$	11,908		$	9,789		$	12,530		$	46,158
Cost of revenues		6,634			6,174			5,544			6,967			25,319
Gross profit		5,297			5,734			4,245			5,563			20,839
Operating expenses:
Research and development		1,359			1,392			1,256			1,358			5,365
Sales and marketing		2,429			2,405			2,378			3,069			10,281
General and administrative		1,357			2,331			1,858			2,092			7,638
Impairment of long-lived assets		—			—			—			120			120
Total operating expenses		5,145			6,128			5,492			6,639			23,404
Income (loss) from operations		152			(394	)		(1,247	)		(1,076	)		(2,565	)
Other expense, net		(11	)		(21	)		(51	)		(8	)		(91	)
Income (loss) from operations before provision for (benefit from) income taxes		141			(415	)		(1,298	)		(1,084	)		(2,656	)
Provision for (benefit from) income taxes		40			(87	)		(627	)		9,731			9,057
Net income (loss)	$	101		$	(328	)	$	(671	)	$	(10,815	)	$	(11,713	)
Net income (loss) per share:
Basic	$	0.01		$	(0.03	)	$	(0.07	)	$	(1.04	)	$	(1.15	)
Diluted	$	0.01		$	(0.03	)	$	(0.07	)	$	(1.04	)	$	(1.15	)

Subsequent Events	12 Months Ended
Subsequent Events	Dec. 30, 2017
Subsequent Events [Abstract]
Subsequent Events	17. Subsequent Events On February 23, 2018, we initiated a voluntary recall of a specific laser accessory called the TruFocus LIO Premiere™ (“LIO”). The LIO is a headmounted indirect ophthalmoscopes that connects to our laser console and is used to view and perform retina laser treatment on a patient’s eye. There are 104 TruFocus LIO Premiere units at customer sites worldwide. We have received reports of three adverse events occurring during procedures in which the TruFocus LIO Premiere was used. Iridex has notified the FDA of this action. Recalled products were manufactured from May 26, 2017 to November 6, 2017 and distributed from June 5, 2017 to January 29, 2018. As a consequence of the recall program, the Company has estimated a decrease of $0.8 million in the fourth quarter of fiscal year 2017 revenues due to an increase in sales return allowance. Cost of sales increased by $1.3 million related to inventory write-down, replacement and other associated warranty costs. All of these financial impact has been reflected within the December 30, 2017 financial statements.

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 30, 2017

Accounting Policies [Abstract]

Financial Statement Presentation

Financial Statement Presentation.

The consolidated financial statements include the accounts of IRIDEX and our wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation.

Use of Estimates

Use of Estimates.

Cash and Cash Equivalents

Cash and Cash Equivalents.

Sales Returns Allowance and Allowance for Doubtful Accounts

Sales Returns Allowance and Allowance for Doubtful Accounts.

A reconciliation of the changes in our allowance for doubtful accounts balances for the years ended December 30, 2017, December 31, 2016 and January 2, 2016 are as follows (in thousands):

	Balance at							Balance
	Beginning of							at End of
Description	The period		Additions		(Deductions)			The period
Allowance for doubtful accounts Years ended

December 30, 2017		230		24		(28	)		226

December 31, 2016		140		128		(38	)		230

January 2, 2016		223		62		(145	)		140

Inventories

Inventories.

Property and Equipment

Property and Equipment.

Valuation of Goodwill and Intangible Assets

Valuation of Goodwill and Intangible Assets.

Revenue Recognition

Revenue Recognition.

Taxes Collected from Customers and Remitted to Governmental Authorities

Taxes Collected from Customers and Remitted to Governmental Authorities.

Deferred Revenue

Deferred Revenue.


FY 2015: Balance as of January 2, 2016	$	1,311
Additions to deferral		1,430
Revenue recognized		(1,358	)
FY 2016: Balance as of December 31, 2016		1,383
Additions to deferral		2,451
Revenue recognized		(1,314	)
FY 2017: Balance as of December 30, 2017	$	2,520

Warranty

Warranty.


FY 2015: Balance as of January 2, 2016	$	603
Accruals for product warranties		469
Cost of warranty claims		(469	)
FY 2016: Balance as of December 31, 2016		603
Accruals for product warranties		1,476
Cost of warranty claims		(344	)
FY 2017: Balance as of December 30, 2017	$	1,735

Shipping and Handling Costs

Shipping and Handling Costs.

Research and Development

Research and Development.

Research and development expenditures are charged to operations as incurred.

Advertising

Advertising.

Income Taxes

Income Taxes.

Accounting for Uncertainty in Income Taxes

Accounting for Uncertainty in Income Taxes.

Accounting for Stock-Based Compensation

Accounting for Stock-Based Compensation.

Concentration of Credit Risk and Other Risks and Uncertainties

Concentration of Credit Risk and Other Risks and Uncertainties.

Reliance on Certain Suppliers

Reliance on Certain Suppliers.

Net Income per Share

Net Income per Share.

Reclassifications

Recently Issued and Adopted Accounting Standards

Recently Issued and Adopted Accounting Standards.

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 30, 2017

Accounting Policies [Abstract]

Reconciliation of Changes in Allowance for Doubtful Accounts

A reconciliation of the changes in our allowance for doubtful accounts balances for the years ended December 30, 2017, December 31, 2016 and January 2, 2016 are as follows (in thousands):

	Balance at							Balance
	Beginning of							at End of
Description	The period		Additions		(Deductions)			The period
Allowance for doubtful accounts Years ended

December 30, 2017		230		24		(28	)		226

December 31, 2016		140		128		(38	)		230

January 2, 2016		223		62		(145	)		140

Reconciliation of Changes in Deferred Revenue

A reconciliation of the changes in our deferred revenue balances for the years ended December 30, 2017 and December 31, 2016 are as follows (in thousands):


FY 2015: Balance as of January 2, 2016	$	1,311
Additions to deferral		1,430
Revenue recognized		(1,358	)
FY 2016: Balance as of December 31, 2016		1,383
Additions to deferral		2,451
Revenue recognized		(1,314	)
FY 2017: Balance as of December 30, 2017	$	2,520

Reconciliation of Changes in Warranty Liability

A reconciliation of the changes in our warranty liability for the years ended December 30, 2017 and December 31, 2016 are as follows (in thousands):


FY 2015: Balance as of January 2, 2016	$	603
Accruals for product warranties		469
Cost of warranty claims		(469	)
FY 2016: Balance as of December 31, 2016		603
Accruals for product warranties		1,476
Cost of warranty claims		(344	)
FY 2017: Balance as of December 30, 2017	$	1,735

Fair Value Measurement (Tables)

12 Months Ended

Dec. 30, 2017

Fair Value Disclosures [Abstract]

Financial Assets and Liabilities Measured and Recognized at Fair Value on a Recurring Basis

	As of December 30, 2017								As of December 31, 2016
	Fair Value Measurements								Fair Value Measurements
(in thousands)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets:
Money market funds	$	20,950	$	—	$	—	$	20,950	$	8,270	$	—	$	—	$	8,270
Liabilities:
Earn-out liability	$	—	$	—	$	572	$	572	$	—	$	—	$	694	$	694

Quantitative Information about the Inputs and Valuation Methodologies Used for Fair Value Measurements

As of December 30, 2017	Fair Value (in thousands)		Valuation Technique	Significant Unobservable Input	Weighted Average (range)
Earn-out liability	$	572	Discounted cash flow	Projected royalties (in thousands)	$1,622
				Discount rate	10.90% (10.90% - 27.00%)

As of December 31, 2016	Fair Value (in thousands)		Valuation Technique	Significant Unobservable Input	Weighted Average (range)
Earn-out liability	$	694	Discounted cash flow	Projected royalties (in thousands)	$2,154
				Discount rate	11.22% (11.22% - 27.00%)

Reconciliation of the Changes in the Company's Earn-Out - Cash (Level 3 Liabilities) Balance

The following table provides a reconciliation of the beginning and ending balances of the contingent consideration – cash (Level 3 liabilities) (in thousands):

Balance as of January 2, 2016	$	1,005
Payments against earn-out		(406	)
Change in fair value of earn-out liability		95
Balance as of December 31, 2016		694
Payments against earn-out		(382	)
Change in fair value of earn-out liability		260
Balance as of December 30, 2017	$	572

Inventories (Tables)

12 Months Ended

Dec. 30, 2017

Inventory Disclosure [Abstract]

Components of Inventories

The components of our inventories are as follows (in thousands):

	FY 2017		FY 2016
	December 30, 2017		December 31, 2016
Raw materials	$	4,147	$	5,331
Work in process		1,567		2,337
Finished goods		3,667		3,975
Total inventories	$	9,381	$	11,643

Property and Equipment (Tables)

12 Months Ended

Dec. 30, 2017

Property Plant And Equipment [Abstract]

Component of Property and Equipment

The components of our property and equipment are as follows (in thousands):

	FY 2017			FY 2016
	December 30, 2017			December 31, 2016
Equipment	$	10,088		$	9,560
Leasehold improvements		2,364			2,309
Less: accumulated depreciation and amortization		(11,049	)		(10,335	)
Property and equipment, net	$	1,403		$	1,534

Intangible Assets (Tables)

12 Months Ended

Dec. 30, 2017

Goodwill And Intangible Assets Disclosure [Abstract]

Components of Purchased Intangible Assets

The components of our purchased intangible assets as of December 30, 2017 are as follows (in thousands):

	Useful Lives	FY 2017 Annual Amortization		Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Useful Lives Remaining
Customer relations	15 Years	$	16	$	240	$	124	$	116	7.25 Years
Patents	Varies		-		600		600		-	Varies
		$	16	$	840	$	724	$	116

The components of our purchased intangible assets as of December 31, 2016 are as follows (in thousands):

	Useful Lives	FY 2016 Annual Amortization		Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Useful Lives Remaining
Customer relations	15 Years	$	16	$	240	$	108	$	132	8.25 Years
Patents	Varies		-		720		720		-	Varies
		$	16	$	960	$	828	$	132

Estimated Future Amortization Expense for Purchased Intangible Assets

Estimated future amortization expense for purchased intangible assets is as follows (in thousands):

Fiscal Year:
2018	$	16
2019		16
2020		16
2021		16
2022		16
Thereafter		36
Total	$	116

Accrued Expenses (Tables)

12 Months Ended

Dec. 30, 2017

Payables And Accruals [Abstract]

Components of Accrued Expenses

The components of our accrued expenses are as follows (in thousands):

	FY 2017		FY 2016
	December 30, 2017		December 31, 2016
Customer deposits	$	509	$	496
Earn-out – short term		337		305
Distributor commission		293		171
Sales and use tax payable		57		94
Royalties payable		82		66
Other accrued expenses		875		1,003
Total accrued expenses	$	2,153	$	2,135

Commitments and Contingencies (Tables)

12 Months Ended

Dec. 30, 2017

Commitments And Contingencies Disclosure [Abstract]

Future Minimum Lease Payments under Current Operating Leases

Future minimum lease payments under current operating leases as of December 30, 2017 are summarized as follows (in thousands):

Fiscal Year	Operating Lease Payments
2018	$	1,098
2019		1,358
2020		1,443
2021		1,484
2022		304
Total future minimum lease payments	$	5,687

Future Minimum Payments for Manufacture and Supply Commitments

Future minimum payments for manufacture and supply commitments as of December 30, 2017 are summarized as follows (in thousands):

Fiscal Year	Contract Manufacturing and Supply Commitments
2018	$	5,736
2019		6,709
Total contract manufacturing and supply commitments	$	12,445

Stockholders' Equity (Tables)

12 Months Ended

Dec. 30, 2017

Equity [Abstract]

Summary of Activity in Stock Option Plan

The following table summarizes information regarding activity in our stock option plans during the fiscal years ended 2017, 2016 and 2015 (in thousands except share and per share data):

				Outstanding Options
	Shares Available for Grant			Number of Shares			Weighted Average Exercise Price
Balances as of January 3, 2015		854,117			833,795		$	4.88
Additional shares reserved		1,000			—			—
Options granted		(170,300	)		170,300			9.38
Restricted stock granted		(227,905	)		—			—
Options exercised		—			(277,733	)		3.70
Options cancelled		174,870			(174,870	)		4.71
Awards cancelled		146,000			—			—
Options expired		(7,000	)		—			—
Balances as of January 2, 2016		770,782			551,492			6.92
Additional shares reserved		—			—			—
Options granted		(112,277	)		112,277			13.71
Restricted stock granted		(286,294	)		—			—
Options exercised		—			(126,077	)		5.62
Options cancelled		66,707			(66,707	)		7.37
Awards cancelled		66,000			—			—
Options expired		-			—			—
Balances as of December 31, 2016		504,918			470,985			8.69
Additional shares reserved		650,000			—			—
Options granted		(524,400	)		524,400			9.90
Restricted stock granted		(141,692	)		—			—
Options exercised		—			(64,380	)		5.86
Options cancelled		73,694			(73,694	)		10.47
Awards cancelled		32,039			—			—
Options expired		—			—			—
Balances as of December 30, 2017		594,559			857,311		$	9.49

Stock Options Outstanding and Exercisable

The following table summarizes information with respect to stock options outstanding and exercisable as of December30, 2017

	Options Outstanding						Options Vested and Exercisable
Range of Exercise Prices	Number of Shares Outstanding		Weighted Average Remaining Contractual Life (years)		Weighted Average Exercise Price		Number of Shares Exercisable		Weighted Average Exercise Price
$3.46 - $6.30		97,542		2.11	$	4.94		97,542	$	4.94
$6.83 - $8.58		96,655		4.13	$	7.93		61,551	$	8.06
$8.60 - $9.40		84,000		5.82	$	9.06		25,202	$	8.87
$9.54 - $9.54		385,000		6.56	$	9.54		32,709	$	9.54
$10.14 - $10.73		69,374		4.25	$	10.62		45,774	$	10.63
$11.04 - $11.04		5,300		5.32	$	11.04		2,209	$	11.04
$11.16 - $11.16		24,900		6.32	$	11.16		—	$	-
$12.85 - $12.85		27,500		3.66	$	12.85		8,235	$	12.85
$14.61 - $14.61		38,000		5.41	$	14.61		5,940	$	14.61
$16.29 - $16.29		29,040		5.52	$	16.29		10,674	$	16.29
$3.46 - $16.29		857,311		5.33	$	9.49		289,836	$	8.25

Weighted Average Assumptions for Fair Value of Options Granted

The determination of the fair value of options granted is computed using the Black-Scholes option pricing model with the following weighted average assumptions:

	Employee Stock Option Plan
	FY 2017			FY 2016			FY 2015
Average risk free interest rate		1.83	%		1.33	%		1.38	%
Expected life (in years)	4.55 years			4.55 years			4.55 years
Dividend yield		—			—			—
Average volatility		41.8	%		44.5	%		49.3	%

Stock-Based Compensation Expense

The following table shows stock-based compensation expense by functional line item in the consolidated statements of operations for 2017, 2016 and 2015 (in thousands):

	FY 2017		FY 2016		FY 2015
	Year Ended		Year Ended		Year Ended
	December 30, 2017		December 31, 2016		January 2, 2016
Cost of revenues	$	152	$	119	$	223
Research and development		354		134		176
Sales and marketing		307		164		185
General and administrative		1,109		1,404		311
Total stock-based compensation expense	$	1,922	$	1,821	$	895

Stock Options Outstanding, Exercisable and Expected to Vest

Information regarding stock options outstanding, exercisable and expected to vest as of December 30, 2017 is summarized below:

	Number of		Weighted Average		Weighted Average Remaining Contractual		Aggregate Intrinsic Value
	Shares		Exercise Price		Life (years)		(thousands)
Options outstanding		857,311	$	9.49		5.33	$	278
Options vested and expected to vest		773,545	$	9.43		5.22	$	278
Options exercisable		289,836	$	8.25		3.65	$	272

Restricted Stock Units Outstanding, Vested and Expected to Vest

Information regarding the restricted stock units outstanding, vested and expected to vest as of December 30, 2017 is summarized below:

Number of

Weighted Average

Remaining Contractual

Life (years)

Aggregate Intrinsic

Value (thousands)

Restricted stock units outstanding

361,148

1.42

2,752

Restricted stock units vested and expected to vest

314,234

1.11

2,394

Restricted Stock Units and Awards

Information regarding the RSU activity during the years ended December 30, 2017, December 31, 2016 and January 2, 2016 is summarized below:

	Number of Shares			Weighted Average Grant Date Fair Value
Outstanding as of January 3, 2015		277,390		$	5.52
Restricted stock units granted		225,392		$	8.66
Restricted stock units released		(209,193	)	$	4.82
Restricted stock units forfeited		(146,000	)	$	8.28
Outstanding as of January 2, 2016		147,589		$	8.59
Restricted stock units granted		285,005		$	11.89
Restricted stock units released		(30,789	)	$	8.30
Restricted stock units forfeited		(66,000	)	$	9.67
Outstanding as of December 31, 2016		335,805		$	11.20
Restricted stock units granted		137,391		$	9.88
Restricted stock units released		(80,009	)	$	12.37
Restricted stock units forfeited		(32,039	)	$	11.44
Outstanding as of December 30, 2017		361,148		$	10.42

Information regarding the restricted stock awards activity during the year ended December 30, 2017, December 31, 2016 and January 2, 2016 is summarized below:

	Number of Shares			Weighted Average Grant Date Fair Value
Outstanding as of January 3, 2015		2,445		$	8.18
Restricted stock awards granted		2,513		$	7.96
Restricted stock awards released		(2,445	)	$	7.96
Outstanding as of January 2, 2016		2,513		$	7.96
Restricted stock awards granted		1,289		$	15.51
Restricted stock awards released		(2,513	)	$	7.96
Outstanding as of December 31, 2016		1,289		$	15.51
Restricted stock awards granted		4,301		$	9.30
Restricted stock awards released		(1,289	)	$	15.51
Outstanding as of December 30, 2017		4,301		$	9.30

Income Taxes (Tables)

12 Months Ended

Dec. 30, 2017

Income Tax Disclosure [Abstract]

Loss (Income) from Operations Before (Benefit from) Provision for Income Taxes

Loss (income) from operations before (benefit from) provision for income taxes was comprised of the following:

	FY 2017			FY 2016			FY 2015
	Year Ended			Year Ended			Year Ended
	December 30, 2017			December 31, 2016			January 2, 2016
United States	$	(12,800	)	$	(2,656	)	$	291
Foreign		(195	)		—			—
Total	$	(12,995	)	$	(2,656	)	$	291

(Benefit from) Provision for Income Taxes

The (benefit from) provision for income taxes includes:

	FY 2017			FY 2016			FY 2015
	Year Ended			Year Ended			Year Ended
	December 30, 2017			December 31, 2016			January 2, 2016
Current:
Federal	$	(90	)	$	-		$	(4	)
State		16			4			30
		(74	)		4			26
Deferred:
Federal		(55	)		9,271			(12	)
State		1			(218	)		(197	)
		(54	)		9,053			(209	)
(Benefit from) provision for income taxes	$	(128	)	$	9,057		$	(183	)

Effective Tax Rate Differs from the Statutory Federal Income Tax Rate

Our effective tax rate differs from the statutory federal income tax rate as shown in the following schedule:

	FY 2017			FY 2016			FY 2015
	Year Ended			Year Ended			Year Ended
	December 30, 2017			December 31, 2016			January 2, 2016
Income tax provision at statutory rate		34.0	%		34.0	%		34.0	%
State income taxes, net of federal benefit		2.4	%		9.6	%		(70.8	)%
Permanent differences		(0.0	)%		(1.5	)%		12.0	%
Research and development credits		0.6	%		3.0	%		(34.8	)%
Change in valuation allowance		(34.9	)%		(387.4	)%		—
Foreign rate differential		(0.5	)%		—			—
Other		(3.0	)%		1.3	%		(3.3	)%
Effective tax rate		1.0	%		(341.0	)%		(62.9	)%

Tax Effect of Temporary Differences and Carryforwards that Give Rise to Significant Portions of the Net Deferred Tax Assets

The tax effect of temporary differences and carryforwards that give rise to significant portions of the net deferred tax assets are presented below (in thousands):

	FY 2017			FY 2016
	Year Ended			Year Ended
	December 30, 2017			December 31, 2016
Net operating losses	$	5,757		$	4,411
Research and development credits		2,839			2,113
Accruals and reserves		2,031			2,158
Deferred revenue		341			104
Property and equipment		314			396
Intangible assets		495			783
Stock compensation		528			972
Other tax credits		1			90
Net deferred tax asset		12,306			11,027
Valuation allowance		(12,320	)		(11,095	)
Net deferred tax liabilities	$	(14	)	$	(68	)

A Reconciliation of the Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):

	FY 2017		FY 2016		FY 2015
	Year Ended		Year Ended		Year Ended
	December 30, 2017		December 31, 2016		January 2, 2016
Balance at the beginning of the year	$	1,029	$	937	$	861
Additions based upon tax positions related to the current year		73		75		73
Additions based upon tax positions related to the prior year		3		17		-
Reductions based upon tax positions related to the prior year		-		-		3
Balance at the end of the year	$	1,105	$	1,029	$	937

Business Segments and Geographical Information (Tables)

12 Months Ended

Dec. 30, 2017

Segment Reporting [Abstract]

Revenue Information by Geographic Region

Revenue information shown by geographic region is as follows (in thousands):

	FY 2017		FY 2016		FY 2015
	Year Ended		Year Ended		Year Ended
	December 30, 2017		December 31, 2016		January 2, 2016
United States	$	23,017	$	25,171	$	23,952
Europe		8,097		9,567		7,968
Rest of Americas		2,319		2,800		2,676
Asia/Pacific Rim		8,160		8,620		7,161
	$	41,593	$	46,158	$	41,757

Computation of Basic and Diluted Net Income Per Common Share (Tables)

12 Months Ended

Dec. 30, 2017

Earnings Per Share [Abstract]

Reconciliation of Numerator and Denominator of Basic and Diluted Net Income Per Common Share

A reconciliation of the numerator and denominator of basic and diluted net income per common share is provided as follows (in thousands, except per share amounts):

	FY 2017			FY 2016			FY 2015
	Year Ended			Year Ended			Year Ended
	December 30, 2017			December 31, 2016			January 2, 2016
Numerator:
Net (loss) income	$	(12,867	)	$	(11,713	)	$	474
Denominator:
Weighted average shares of common stock (basic)		11,555			10,173			9,962
Effect of dilutive preferred shares		—			—			—
Effect of dilutive stock options		—			—			154
Effect of dilutive contingent shares		—			—			12
Weighted average shares of common stock (diluted)		11,555			10,173			10,128
Per share data:
Basic net (loss) income per share	$	(1.11	)	$	(1.15	)	$	0.05
Diluted net (loss) income per share	$	(1.11	)	$	(1.15	)	$	0.05

Quarterly Results (unaudited) (Tables)

12 Months Ended

Dec. 30, 2017

Quarterly Financial Information Disclosure [Abstract]

Schedule of Quarterly Results

	Fiscal Year 2017
	Q1			Q2			Q3			Q4			Year
Total revenues	$	10,483		$	10,002		$	10,865		$	10,243		$	41,593
Cost of revenues		6,018			5,507			6,492			8,073			26,090
Gross profit		4,465			4,495			4,373			2,170			15,503
Operating expenses:
Research and development		1,496			1,528			1,428			1,278			5,730
Sales and marketing		2,923			3,654			3,769			4,195			14,541
General and administrative		1,904			2,054			2,422			1,880			8,260
Gain on sale of intellectual property		—			—			(175	)		—			(175	)
Impairment of long-lived assets		—			—			—			35			35
Total operating expenses		6,323			7,236			7,444			7,388			28,391
Loss from operations		(1,858	)		(2,741	)		(3,071	)		(5,218	)		(12,888	)
Other expense, net		(2	)		(1	)		(16	)		(88	)		(107	)
Loss from operations before (benefit from) provision for income taxes		(1,860	)		(2,742	)		(3,087	)		(5,306	)		(12,995	)
Provision for (benefit from) income taxes		6			8			9			(151	)		(128	)
Net loss	$	(1,866	)	$	(2,750	)	$	(3,096	)	$	(5,155	)	$	(12,867	)
Net loss per share:
Basic	$	(0.16	)	$	(0.24	)	$	(0.27	)	$	(0.44	)	$	(1.11	)
Diluted	$	(0.16	)	$	(0.24	)	$	(0.27	)	$	(0.44	)	$	(1.11	)

	Fiscal Year 2016
	Q1			Q2			Q3			Q4			Year
Total revenues	$	11,931		$	11,908		$	9,789		$	12,530		$	46,158
Cost of revenues		6,634			6,174			5,544			6,967			25,319
Gross profit		5,297			5,734			4,245			5,563			20,839
Operating expenses:
Research and development		1,359			1,392			1,256			1,358			5,365
Sales and marketing		2,429			2,405			2,378			3,069			10,281
General and administrative		1,357			2,331			1,858			2,092			7,638
Impairment of long-lived assets		—			—			—			120			120
Total operating expenses		5,145			6,128			5,492			6,639			23,404
Income (loss) from operations		152			(394	)		(1,247	)		(1,076	)		(2,565	)
Other expense, net		(11	)		(21	)		(51	)		(8	)		(91	)
Income (loss) from operations before provision for (benefit from) income taxes		141			(415	)		(1,298	)		(1,084	)		(2,656	)
Provision for (benefit from) income taxes		40			(87	)		(627	)		9,731			9,057
Net income (loss)	$	101		$	(328	)	$	(671	)	$	(10,815	)	$	(11,713	)
Net income (loss) per share:
Basic	$	0.01		$	(0.03	)	$	(0.07	)	$	(1.04	)	$	(1.15	)
Diluted	$	0.01		$	(0.03	)	$	(0.07	)	$	(1.04	)	$	(1.15	)

Summary of Significant Accounting Policies - Additional Information (Details)		1 Months Ended	12 Months Ended
	Jan. 01, 2017 USD ($)	Mar. 31, 2017	Dec. 30, 2017 USD ($) Customer	Dec. 31, 2016 USD ($) Customer	Jan. 02, 2016 USD ($) Customer
Disclosure Summary Of Significant Accounting Policies [Line Items]
Provision for sales returns			$ 570,000	$ 44,000
Gross value of demos and loaners			2,400,000	1,600,000
Accumulated amortization on inventory demos and loaners			$ 850,000	490,000
Estimated useful life of demos and loaners			4 years
Estimated useful lives of the assets			3 years
Products warranty period			2 years
Shipping and handling costs			$ 300,000	300,000	$ 300,000
Advertising and promotion costs			200,000	100,000	$ 100,000
Accrued interest and penalty incurred			0	0
Net of operating loss carry-forwards converted into deferred tax net operating losses due to windfall effect			$ 5,757,000	$ 4,411,000
ASU No. 2016-09
Disclosure Summary Of Significant Accounting Policies [Line Items]
Net of operating loss carry-forwards converted into deferred tax net operating losses due to windfall effect	$ 1,390,000
Increase in valuation allowance due to windfall effect	$ 1,390,000
Revenue, Total \| Customer Concentration Risk
Disclosure Summary Of Significant Accounting Policies [Line Items]
Number of customer accounted for total revenues and net accounts receivable \| Customer			0	0	0
Customer and supplier accounted percentage of total revenues, accounts receivable and purchases			10.00%	10.00%	10.00%
Accounts Receivable \| Customer Concentration Risk
Disclosure Summary Of Significant Accounting Policies [Line Items]
Number of customer accounted for total revenues and net accounts receivable \| Customer			0	0
Customer and supplier accounted percentage of total revenues, accounts receivable and purchases			10.00%	10.00%
IQ 532/577 Laser Consoles
Disclosure Summary Of Significant Accounting Policies [Line Items]
Products warranty period		5 years

Summary of Significant Accounting Policies - Reconciliation of Changes in Allowance for Doubtful Accounts (Details) - Allowance for Doubtful Accounts - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Valuation And Qualifying Accounts Disclosure [Line Items]
Balance at Beginning of The period	$ 230	$ 140	$ 223
Additions	24	128	62
Deductions	(28)	(38)	(145)
Balance at End of The period	$ 226	$ 230	$ 140

Summary of Significant Accounting Policies - Reconciliation of Changes in Deferred Revenue (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016
Reconciliation of the changes in the Company's deferred revenue balance
Balance, beginning of period	$ 1,383	$ 1,311
Additions to deferral	2,451	1,430
Revenue recognized	(1,314)	(1,358)
Balance, end of period	$ 2,520	$ 1,383

- Definition

The carrying amount of consideration received or receivable as of the balance sheet date on potential earnings that were not recognized as revenue in conformity with GAAP, and which are expected to be recognized as such within one year or the normal operating cycle, if longer, including sales, license fees, and royalties, but excluding interest income.

+ References + Details

Summary of Significant Accounting Policies - Reconciliation of Changes in Warranty Liability (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016
Reconciliation of the changes in the Company's warranty liability
Balance, beginning of period	$ 603	$ 603
Accruals for product warranties	1,476	469
Cost of warranty claims	(344)	(469)
Balance, end of period	$ 1,735	$ 603

Fair Value Measurement - Financial Assets and Liabilities Measured and Recognized at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands	Dec. 30, 2017	Dec. 31, 2016
Money Market Funds
Assets:
Assets, Fair Value Measurements	$ 20,950	$ 8,270
Earn Out Liability
Liabilities:
Liabilities, Fair Value Measurements	572	694
Level 1 \| Money Market Funds
Assets:
Assets, Fair Value Measurements	20,950	8,270
Level 3 \| Earn Out Liability
Liabilities:
Liabilities, Fair Value Measurements	$ 572	$ 694

Fair Value Measurement - Quantitative Information about the Inputs and Valuation Methodologies Used for Fair Value Measurements (Details) - Earn Out Liability - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016
Quantitative information about the inputs and valuation methodologies used for fair value measurements
Liabilities, Fair Value Measurements	$ 572	$ 694
Level 3
Quantitative information about the inputs and valuation methodologies used for fair value measurements
Liabilities, Fair Value Measurements	572	694
Level 3 \| Discounted Cash Flow
Quantitative information about the inputs and valuation methodologies used for fair value measurements
Liabilities, Fair Value Measurements	$ 572	$ 694
Valuation Technique, Earn-out liability	Discounted cash flow	Discounted cash flow
Level 3 \| Discounted Cash Flow \| Weighted Average
Quantitative information about the inputs and valuation methodologies used for fair value measurements
Weighted Average, Projected royalties	$ 1,622	$ 2,154
Weighted Average, Discount rate	10.90%	11.22%
Level 3 \| Discounted Cash Flow \| Minimum
Quantitative information about the inputs and valuation methodologies used for fair value measurements
Weighted Average, Discount rate	10.90%	11.22%
Level 3 \| Discounted Cash Flow \| Maximum
Quantitative information about the inputs and valuation methodologies used for fair value measurements
Weighted Average, Discount rate	27.00%	27.00%

Fair Value Measurement - Reconciliation of the Changes in the Company's Earn-Out - Cash (Level 3 Liabilities) Balance (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Reconciliation of the changes in the Company's earn-out - cash (Level 3 liabilities) balance
Balance as of beginning of the period	$ 694	$ 1,005
Payments against earn-out	(382)	(406)
Change in fair value of earn-out liability	260	95	$ 5
Balance as of the end of the period	$ 572	$ 694	$ 1,005

Inventories - Components of Inventories (Details) - USD ($) $ in Thousands	Dec. 30, 2017	Dec. 31, 2016
Inventory Disclosure [Abstract]
Raw materials	$ 4,147	$ 5,331
Work in process	1,567	2,337
Finished goods	3,667	3,975
Total inventories	$ 9,381	$ 11,643

Property and Equipment - Component of Property and Equipment (Details) - USD ($) $ in Thousands	Dec. 30, 2017	Dec. 31, 2016
Component of property and equipment
Less: accumulated depreciation and amortization	$ (11,049)	$ (10,335)
Property and equipment, net	1,403	1,534
Equipment
Component of property and equipment
Property and equipment, gross	10,088	9,560
Leasehold Improvements
Component of property and equipment
Property and equipment, gross	$ 2,364	$ 2,309

Goodwill - Additional Information (Details) - USD ($)	12 Months Ended
Goodwill - Additional Information (Details) - USD ($)	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Carrying value of goodwill	$ 533,000	$ 533,000
Impairment of goodwill	$ 0	$ 0	$ 0

Intangible Assets - Components of Purchased Intangible Assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Components of purchased intangible assets
Annual Amortization	$ 16	$ 16	$ 16
Gross Carrying Value	840	960
Accumulated Amortization	724	828
Net Carrying Value	$ 116	$ 132
Customer Relations
Components of purchased intangible assets
Useful Lives	15 years	15 years
Useful Lives Remaining	7 years 3 months	8 years 3 months
Annual Amortization	$ 16	$ 16
Gross Carrying Value	240	240
Accumulated Amortization	124	108
Net Carrying Value	116	132
Patents
Components of purchased intangible assets
Gross Carrying Value	600	720
Accumulated Amortization	$ 600	$ 720

Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Goodwill And Intangible Assets Disclosure [Abstract]
Amortization expense	$ 16	$ 16	$ 16

Intangible Assets - Estimated Future Amortization Expense for Purchased Intangible Assets (Details) - USD ($) $ in Thousands	Dec. 30, 2017	Dec. 31, 2016
Estimated future amortization expense for purchased intangible assets
2018	$ 16
2019	16
2020	16
2021	16
2022	16
Thereafter	36
Net Carrying Value	$ 116	$ 132

Accrued Expenses - Components of Accrued Expenses (Details) - USD ($) $ in Thousands	Dec. 30, 2017	Dec. 31, 2016
Components of accrued expenses
Customer deposits	$ 509	$ 496
Earn-out – short term	337	305
Distributor commission	293	171
Sales and use tax payable	57	94
Royalties payable	82	66
Other accrued expenses	875	1,003
Total accrued expenses	$ 2,153	$ 2,135

Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Millions	1 Months Ended	12 Months Ended
	Apr. 30, 2017	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Commitments and Contingencies [Line Items]
Rent expense		$ 1.1	$ 0.9	$ 0.8
Lease expiration date		Feb. 28, 2022
Royalties pay equivalent to Percentage of sales		5.00%
Royalty expense		$ 0.3	$ 0.3	$ 0.1
Early termination date of certain license agreement		2018
Late termination date of certain license agreement		2021
Fourth Amendment to Lease
Commitments and Contingencies [Line Items]
Lease expiration date	Feb. 28, 2022

Commitments and Contingencies - Future Minimum Lease Payments under Current Operating Leases (Details) $ in Thousands	Dec. 30, 2017 USD ($)
Future minimum lease payments under current operating leases
2018	$ 1,098
2019	1,358
2020	1,443
2021	1,484
2022	304
Total future minimum lease payments	$ 5,687

Commitments and Contingencies - Future Minimum Payments for Manufacture and Supply Commitments (Details) $ in Thousands	Dec. 30, 2017 USD ($)
Future minimum payments for manufacturing and supply commitments
2018	$ 5,736
2019	6,709
Total contract manufacturing and supply commitments	$ 12,445

Stockholders' Equity - Additional Information (Details) - USD ($)		12 Months Ended
	Sep. 09, 2015	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016	Jan. 03, 2015	Dec. 31, 2011	Dec. 29, 2017	Aug. 31, 2016	Aug. 31, 2015	Jul. 31, 2014	Feb. 28, 2013	Feb. 28, 2012
Exercisable period		3 years 7 months 24 days
Repurchase of shares		843,785
Shares reserved		1,451,870
Weighted-average grant date fair value of the options granted		$ 3.68	$ 5.06	$ 3.95
Total intrinsic value of options exercised		$ 300,000	$ 800,000	$ 1,500,000
Total unrecognized compensation cost related to non-vested share-based compensation arrangements		$ 4,000,000
Cost is expected to be recognized over a weighted average period		3 years 3 months 21 days
Excess tax benefits from stock-based awards		$ 0		$ 0	$ 0
Unvested restricted stock awarded		141,692	286,294	227,905
Stock repurchase program authorized amount		$ 6,700,000								$ 3,000,000	$ 3,000,000	$ 4,000,000
Remaining common stock value authorized to purchase under stock repurchase program lapsed								$ 1,000,000
Stock repurchase program additional amount authorized									$ 2,000,000
Stock repurchase, shares		0	6,544	199,776
Shares repurchased price, per share			$ 9.00	$ 7.92
Cash paid in exchange to cancel vested stock options to be exercised				$ 275,000
Number of shares, vested stock options to be exercised, canceled		73,694	66,707	174,870
James H. Mackaness
Cash paid in exchange to cancel vested stock options to be exercised	$ 275,000
Number of shares, vested stock options to be exercised, canceled	92,656
Restricted Stock Units (RSUs)
Grant of non-qualified stock option						$ 20,000
The intrinsic value of the restricted stock units							$ 7.62
Number of shares, vested		80,009	30,789	209,193
Restricted stock units released, intrinsic value		$ 1,000,000
Restricted stock units released, Shares withheld		26,640
Restricted stock units released, value withheld		$ 333,000
Unvested restricted stock awarded		137,391	285,005	225,392
Weighted-average grant date fair value of restricted stock awarded		$ 9.88	$ 11.89	$ 8.66
1998 Stock Plan
Voting rights on outstanding capital stock		10.00%
Exercise price of option		110.00%
Term of incentive stock options for major stock holders		5 years
Exercisable period		4 years
Maximum term of incentive stock options granted		10 years
Repurchase of shares		0		0
Expiration date of option Plan		2008-02
2008 Equity Incentive Plan
Grant of non-qualified stock option		300,000
Performance Award \| Restricted Stock Units (RSUs)
Unvested restricted stock awarded		123,500
Weighted-average grant date fair value of restricted stock awarded		$ 9.92

Stockholders' Equity - Summary of Activity in Stock Option Plan (Details) - $ / shares	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract]
Shares Available for Grant, Beginning Balance	504,918	770,782	854,117
Shares Available for Grant, Additional shares reserved	650,000		1,000
Shares Available for Grant, Options granted	(524,400)	(112,277)	(170,300)
Shares Available for Grant, Restricted stock granted	(141,692)	(286,294)	(227,905)
Shares Available for Grant, Options cancelled	73,694	66,707	174,870
Shares Available for Grant, Awards cancelled	32,039	66,000	146,000
Shares Available for Grant, Options expired			(7,000)
Shares Available for Grant, Ending Balance	594,559	504,918	770,782
Outstanding, Number of Shares, Beginning Balance	470,985	551,492	833,795
Number of Shares, Options granted	524,400	112,277	170,300
Number of Shares, Options exercised	(64,380)	(126,077)	(277,733)
Number of Shares, Options cancelled	(73,694)	(66,707)	(174,870)
Number of Shares, Ending Balance	857,311	470,985	551,492
Weighted Average Exercise Price, Beginning Balance	$ 8.69	$ 6.92	$ 4.88
Weighted Average Exercise Price, Options granted	9.90	13.71	9.38
Weighted Average Exercise Price, Options exercised	5.86	5.62	3.70
Weighted Average Exercise Price, Options cancelled	10.47	7.37	4.71
Weighted Average Exercise Price, Ending Balance	$ 9.49	$ 8.69	$ 6.92

Stockholders' Equity - Stock Options Outstanding and Exercisable (Details)	12 Months Ended
	Dec. 30, 2017 $ / shares shares
Range One
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	$ 3.46
Range of Exercise Prices, Upper Range Limit	$ 6.30
Options Outstanding, Number of Shares \| shares	97,542
Options Outstanding, Weighted Average Remaining Contractual Life (years)	2 years 1 month 9 days
Options Outstanding, Weighted Average Exercise Price	$ 4.94
Options Vested and Exercisable, Number of Shares Exercisable \| shares	97,542
Options Vested and Exercisable, Weighted Average Exercise Price	$ 4.94
Range Two
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	6.83
Range of Exercise Prices, Upper Range Limit	$ 8.58
Options Outstanding, Number of Shares \| shares	96,655
Options Outstanding, Weighted Average Remaining Contractual Life (years)	4 years 1 month 17 days
Options Outstanding, Weighted Average Exercise Price	$ 7.93
Options Vested and Exercisable, Number of Shares Exercisable \| shares	61,551
Options Vested and Exercisable, Weighted Average Exercise Price	$ 8.06
Range Three
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	8.60
Range of Exercise Prices, Upper Range Limit	$ 9.40
Options Outstanding, Number of Shares \| shares	84,000
Options Outstanding, Weighted Average Remaining Contractual Life (years)	5 years 9 months 25 days
Options Outstanding, Weighted Average Exercise Price	$ 9.06
Options Vested and Exercisable, Number of Shares Exercisable \| shares	25,202
Options Vested and Exercisable, Weighted Average Exercise Price	$ 8.87
Range Four
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	9.54
Range of Exercise Prices, Upper Range Limit	$ 9.54
Options Outstanding, Number of Shares \| shares	385,000
Options Outstanding, Weighted Average Remaining Contractual Life (years)	6 years 6 months 21 days
Options Outstanding, Weighted Average Exercise Price	$ 9.54
Options Vested and Exercisable, Number of Shares Exercisable \| shares	32,709
Options Vested and Exercisable, Weighted Average Exercise Price	$ 9.54
Range Five
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	10.14
Range of Exercise Prices, Upper Range Limit	$ 10.73
Options Outstanding, Number of Shares \| shares	69,374
Options Outstanding, Weighted Average Remaining Contractual Life (years)	4 years 3 months
Options Outstanding, Weighted Average Exercise Price	$ 10.62
Options Vested and Exercisable, Number of Shares Exercisable \| shares	45,774
Options Vested and Exercisable, Weighted Average Exercise Price	$ 10.63
Range Six
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	11.04
Range of Exercise Prices, Upper Range Limit	$ 11.04
Options Outstanding, Number of Shares \| shares	5,300
Options Outstanding, Weighted Average Remaining Contractual Life (years)	5 years 3 months 25 days
Options Outstanding, Weighted Average Exercise Price	$ 11.04
Options Vested and Exercisable, Number of Shares Exercisable \| shares	2,209
Options Vested and Exercisable, Weighted Average Exercise Price	$ 11.04
Range Seven
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	11.16
Range of Exercise Prices, Upper Range Limit	$ 11.16
Options Outstanding, Number of Shares \| shares	24,900
Options Outstanding, Weighted Average Remaining Contractual Life (years)	6 years 3 months 25 days
Options Outstanding, Weighted Average Exercise Price	$ 11.16
Range Eight
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	12.85
Range of Exercise Prices, Upper Range Limit	$ 12.85
Options Outstanding, Number of Shares \| shares	27,500
Options Outstanding, Weighted Average Remaining Contractual Life (years)	3 years 7 months 28 days
Options Outstanding, Weighted Average Exercise Price	$ 12.85
Options Vested and Exercisable, Number of Shares Exercisable \| shares	8,235
Options Vested and Exercisable, Weighted Average Exercise Price	$ 12.85
Range Nine
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	14.61
Range of Exercise Prices, Upper Range Limit	$ 14.61
Options Outstanding, Number of Shares \| shares	38,000
Options Outstanding, Weighted Average Remaining Contractual Life (years)	5 years 4 months 28 days
Options Outstanding, Weighted Average Exercise Price	$ 14.61
Options Vested and Exercisable, Number of Shares Exercisable \| shares	5,940
Options Vested and Exercisable, Weighted Average Exercise Price	$ 14.61
Range Ten
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	16.29
Range of Exercise Prices, Upper Range Limit	$ 16.29
Options Outstanding, Number of Shares \| shares	29,040
Options Outstanding, Weighted Average Remaining Contractual Life (years)	5 years 6 months 7 days
Options Outstanding, Weighted Average Exercise Price	$ 16.29
Options Vested and Exercisable, Number of Shares Exercisable \| shares	10,674
Options Vested and Exercisable, Weighted Average Exercise Price	$ 16.29
Range Eleven
Stock options outstanding and exercisable
Range of Exercise Prices, Lower Range Limit	3.46
Range of Exercise Prices, Upper Range Limit	$ 16.29
Options Outstanding, Number of Shares \| shares	857,311
Options Outstanding, Weighted Average Remaining Contractual Life (years)	5 years 3 months 29 days
Options Outstanding, Weighted Average Exercise Price	$ 9.49
Options Vested and Exercisable, Number of Shares Exercisable \| shares	289,836
Options Vested and Exercisable, Weighted Average Exercise Price	$ 8.25

Stockholders' Equity - Weighted Average Assumptions for Fair Value of Options Granted (Details)	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Weighted average assumptions for fair value of options granted
Average risk free interest rate	1.83%	1.33%	1.38%
Expected life (in years)	4 years 6 months 18 days	4 years 6 months 18 days	4 years 6 months 18 days
Average volatility	41.80%	44.50%	49.30%

Stockholders' Equity - Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 1,922	$ 1,821	$ 895
Cost of revenues
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense	152	119	223
Research and development
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense	354	134	176
Sales and marketing
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense	307	164	185
General and administrative
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 1,109	$ 1,404	$ 311

Stockholders' Equity - Stock Options Outstanding, Exercisable and Expected to Vest (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016	Jan. 03, 2015
Stock options outstanding, exercisable and expected to vest
Options outstanding, Number of Shares	857,311	470,985	551,492	833,795
Options outstanding, Weighted Average Exercise Price	$ 9.49	$ 8.69	$ 6.92	$ 4.88
Options outstanding, Weighted Average Remaining Contractual Life (years)	5 years 3 months 29 days
Options outstanding, Aggregate Intrinsic Value	$ 278
Options vested and expected to vest, Number of Shares	773,545
Options vested and expected to vest, Weighted Average Exercise Price	$ 9.43
Options vested and expected to vest, Weighted Average Remaining Contractual Life (years)	5 years 2 months 19 days
Options vested and expected to vest, Aggregate Intrinsic Value	$ 278
Options exercisable, Number of Shares	289,836
Options exercisable, Weighted Average Exercise Price	$ 8.25
Options exercisable, Weighted Average Remaining Contractual Life (years)	3 years 7 months 24 days
Options exercisable, Aggregate Intrinsic Value	$ 272

Stockholders' Equity - Restricted Stock Units Outstanding, Vested and Expected to Vest (Details) - Restricted Stock Units (RSUs) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016	Jan. 03, 2015
Restricted stock units outstanding, vested and expected to vest
Restricted stock units outstanding, Number of Shares	361,148	335,805	147,589	277,390
Restricted stock units outstanding, Weighted Average Remaining Contractual Life (years)	1 year 5 months 1 day
Restricted stock units outstanding, Aggregate Intrinsic Value	$ 2,752
Restricted stock units vested and expected to vest, Number of Shares	314,234
Restricted stock units vested and expected to vest, Weighted Average Remaining Contractual Life (years)	1 year 1 month 9 days
Restricted stock units vested and expected to vest, Aggregate Intrinsic Value	$ 2,394

Stockholders' Equity - Restricted Stock Units and Awards (Details) - $ / shares	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Restricted stock units and awards
Number of Shares, Restricted stock granted	141,692	286,294	227,905
Restricted Stock Units (RSUs)
Restricted stock units and awards
Outstanding, Number of Shares, Beginning Balance	335,805	147,589	277,390
Number of Shares, Restricted stock granted	137,391	285,005	225,392
Number of Shares, Restricted stock released	(80,009)	(30,789)	(209,193)
Number of Shares, Restricted stock forfeited	(32,039)	(66,000)	(146,000)
Outstanding, Number of Shares, Ending Balance	361,148	335,805	147,589
Outstanding, Weighted Average Grant Date Fair Value, Beginning Balance	$ 11.20	$ 8.59	$ 5.52
Weighted Average Grant Date Fair Value, Restricted stock granted	9.88	11.89	8.66
Weighted Average Grant Date Fair Value, Restricted stock released	12.37	8.30	4.82
Weighted Average Grant Date Fair Value, Restricted stock forfeited	11.44	9.67	8.28
Outstanding, Weighted Average Grant Date Fair Value, Ending Balance	$ 10.42	$ 11.20	$ 8.59
Restricted Stock Awards
Restricted stock units and awards
Outstanding, Number of Shares, Beginning Balance	1,289	2,513	2,445
Number of Shares, Restricted stock granted	4,301	1,289	2,513
Number of Shares, Restricted stock released	(1,289)	(2,513)	(2,445)
Outstanding, Number of Shares, Ending Balance	4,301	1,289	2,513
Outstanding, Weighted Average Grant Date Fair Value, Beginning Balance	$ 15.51	$ 7.96	$ 8.18
Weighted Average Grant Date Fair Value, Restricted stock granted	9.30	15.51	7.96
Weighted Average Grant Date Fair Value, Restricted stock released	15.51	7.96	7.96
Outstanding, Weighted Average Grant Date Fair Value, Ending Balance	$ 9.30	$ 15.51	$ 7.96

Employee Benefit Plan - Additional Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016	Dec. 28, 2013
Defined Benefit Plan Disclosure [Line Items]
Defined Contribution Plan Employee Contribution Percentage	15.00%
Employee contributions to plan in percentage				50.00%
Total matching contributions made by the company	$ 248	$ 226	$ 218
Maximum
Defined Benefit Plan Disclosure [Line Items]
Employee contributions to plan				$ 3

Income Taxes - Loss (Income) from Operations Before (Benefit from) Provision for Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 30, 2017	Sep. 30, 2017	Jul. 01, 2017	Apr. 01, 2017	Dec. 31, 2016	Oct. 01, 2016	Jul. 02, 2016	Apr. 02, 2016	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Income before (benefit from) provision for income taxes
United States									$ (12,800)	$ (2,656)	$ 291
Foreign									(195)
(Loss) income from operations before (benefit from) provision for income taxes	$ (5,306)	$ (3,087)	$ (2,742)	$ (1,860)	$ (1,084)	$ (1,298)	$ (415)	$ 141	$ (12,995)	$ (2,656)	$ 291

Income Taxes - (Benefit from) Provision for Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 30, 2017	Sep. 30, 2017	Jul. 01, 2017	Apr. 01, 2017	Dec. 31, 2016	Oct. 01, 2016	Jul. 02, 2016	Apr. 02, 2016	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Current:
Federal									$ (90)		$ (4)
State									16	$ 4	30
Total									(74)	4	26
Deferred:
Federal									(55)	9,271	(12)
State									1	(218)	(197)
Total									(54)	9,053	(209)
(Benefit from) provision for income taxes	$ (151)	$ 9	$ 8	$ 6	$ 9,731	$ (627)	$ (87)	$ 40	$ (128)	$ 9,057	$ (183)

Income Taxes - Effective Tax Rate Differs from the Statutory Federal Income Tax Rate (Details)	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Company's effective tax rate differs from the statutory federal income tax rate
Income tax provision at statutory rate	34.00%	34.00%	34.00%
State income taxes, net of federal benefit	2.40%	9.60%	(70.80%)
Permanent differences	0.00%	(1.50%)	12.00%
Research and development credits	0.60%	3.00%	(34.80%)
Change in valuation allowance	(34.90%)	(387.40%)
Foreign rate differential	(0.50%)
Other	(3.00%)	1.30%	(3.30%)
Effective tax rate	1.00%	(341.00%)	(62.90%)

Income Taxes - Tax Effect of Temporary Differences and Carryforwards that Give Rise to Significant Portions of the Net Deferred Tax Assets (Details) - USD ($) $ in Thousands	Dec. 30, 2017	Dec. 31, 2016
Tax effect of temporary differences and carryforwards that give rise to significant portions of the net deferred tax assets
Net operating losses	$ 5,757	$ 4,411
Research and development credits	2,839	2,113
Accruals and reserves	2,031	2,158
Deferred revenue	341	104
Property and equipment	314	396
Intangible assets	495	783
Stock compensation	528	972
Other tax credits	1	90
Net deferred tax asset	12,306	11,027
Valuation allowance	(12,320)	(11,095)
Net deferred tax liabilities	$ (14)	$ (68)

Income Taxes - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 29, 2018	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016	Dec. 22, 2017	Dec. 31, 2015	Jan. 03, 2015
Income Taxes [Line Items]
Refundable AMT and adjustment to indefinite-lived deferred tax liability					$ 90,000
Corporate federal income tax rate		34.00%	34.00%	34.00%
Accrued interest and penalty		$ 0
Ending balance of unrecognized tax benefits		1,105,000	$ 1,029,000	$ 937,000			$ 861,000
Unrecognized tax benefits recognition impact on income tax rate		$ 0
Earliest Tax Year
Income Taxes [Line Items]
Open Tax Year		2010
Latest Tax Year
Income Taxes [Line Items]
Open Tax Year		2016
Scenario Forecast
Income Taxes [Line Items]
Corporate federal income tax rate	21.00%
Federal
Income Taxes [Line Items]
Net operating loss		$ 21,500,000
Net operating loss expiration year		2032
Research credit						$ 1,800,000
State
Income Taxes [Line Items]
Net operating loss		$ 16,700,000
Net operating loss expiration year		2020
Research credit						$ 2,600,000

Income Taxes - A Reconciliation of the Beginning and Ending Amount of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
A reconciliation of the beginning and ending amount of unrecognized tax benefits
Balance at the beginning of the year	$ 1,029	$ 937	$ 861
Additions based upon tax positions related to the current year	73	75	73
Additions based upon tax positions related to the prior year	3	17
Reductions based upon tax positions related to the prior year			3
Balance at the end of the year	$ 1,105	$ 1,029	$ 937

Loan and Security Agreement - Additional Information (Details) - Loan Agreement - Silicon Valley Bank - Revolving Loan Facility - USD ($)	Nov. 02, 2016	Dec. 30, 2017
Line Of Credit Facility [Line Items]
Borrowings available under secured revolving loan facility	$ 15,000,000
Loan facility, maturity date	Nov. 02, 2019
Secured revolving loan facility outstanding		$ 0
Wall Street Journal Prime Rate
Line Of Credit Facility [Line Items]
Debt instrument, basis spread on variable interest rate	1.50%

- Definition

The carrying value as of the balance sheet date of the current and noncurrent portions of long-term obligations drawn from a line of credit, which is a bank's commitment to make loans up to a specific amount. Examples of items that might be included in the application of this element may consist of letters of credit, standby letters of credit, and revolving credit arrangements, under which borrowings can be made up to a maximum amount as of any point in time conditional on satisfaction of specified terms before, as of and after the date of drawdowns on the line. Includes short-term obligations that would normally be classified as current liabilities but for which (a) postbalance sheet date issuance of a long term obligation to refinance the short term obligation on a long term basis, or (b) the enterprise has entered into a financing agreement that clearly permits the enterprise to refinance the short-term obligation on a long term basis and the following conditions are met (1) the agreement does not expire within 1 year and is not cancelable by the lender except for violation of an objectively determinable provision, (2) no violation exists at the BS date, and (3) the lender has entered into the financing agreement is expected to be financially capable of honoring the agreement.

+ References + Details

Business Segments and Geographical Information - Additional Information (Details)	12 Months Ended
	Dec. 30, 2017 USD ($) Segment	Dec. 31, 2016 USD ($)	Jan. 02, 2016
Segment Reporting Information [Line Items]
Number of operating segments \| Segment	1
Long-lived assets \| $	$ 0	$ 0
Customer Concentration Risk \| Revenue, Total
Segment Reporting Information [Line Items]
Percentage of concentration risk	10.00%	10.00%	10.00%
United States \| Customer Concentration Risk \| Revenue, Total
Segment Reporting Information [Line Items]
Percentage of concentration risk	55.30%	54.50%	57.40%

Business Segments and Geographical Information - Revenue Information by Geographic Region (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 30, 2017	Sep. 30, 2017	Jul. 01, 2017	Apr. 01, 2017	Dec. 31, 2016	Oct. 01, 2016	Jul. 02, 2016	Apr. 02, 2016	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Revenues From External Customers And Long Lived Assets [Line Items]
Total revenues	$ 10,243	$ 10,865	$ 10,002	$ 10,483	$ 12,530	$ 9,789	$ 11,908	$ 11,931	$ 41,593	$ 46,158	$ 41,757
United States
Revenues From External Customers And Long Lived Assets [Line Items]
Total revenues									23,017	25,171	23,952
Europe
Revenues From External Customers And Long Lived Assets [Line Items]
Total revenues									8,097	9,567	7,968
Rest of Americas
Revenues From External Customers And Long Lived Assets [Line Items]
Total revenues									2,319	2,800	2,676
Asia/Pacific Rim
Revenues From External Customers And Long Lived Assets [Line Items]
Total revenues									$ 8,160	$ 8,620	$ 7,161

Computation of Basic and Diluted Net Income Per Common Share - Reconciliation of Numerator and Denominator of Basic and Diluted Net Income Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 30, 2017	Sep. 30, 2017	Jul. 01, 2017	Apr. 01, 2017	Dec. 31, 2016	Oct. 01, 2016	Jul. 02, 2016	Apr. 02, 2016	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Numerator:
Net (loss) income	$ (5,155)	$ (3,096)	$ (2,750)	$ (1,866)	$ (10,815)	$ (671)	$ (328)	$ 101	$ (12,867)	$ (11,713)	$ 474
Denominator:
Weighted average shares of common stock (basic)									11,555	10,173	9,962
Effect of dilutive stock options											154
Effect of dilutive contingent shares											12
Weighted average shares of common stock (diluted)									11,555	10,173	10,128
Per share data:
Basic net (loss) income per share	$ (0.44)	$ (0.27)	$ (0.24)	$ (0.16)	$ (1.04)	$ (0.07)	$ (0.03)	$ 0.01	$ (1.11)	$ (1.15)	$ 0.05
Diluted net (loss) income per share	$ (0.44)	$ (0.27)	$ (0.24)	$ (0.16)	$ (1.04)	$ (0.07)	$ (0.03)	$ 0.01	$ (1.11)	$ (1.15)	$ 0.05

Computation of Basic and Diluted Net Income Per Common Share - Additional Information (Details) - shares	12 Months Ended
	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Stock options, restricted stock units and restricted stock awards
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Shares that were excluded from the computation of diluted weighted average shares outstanding	1,222,760	808,079	399,166

Quarterly Results (unaudited) - Schedule of Quarterly Results (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 30, 2017	Sep. 30, 2017	Jul. 01, 2017	Apr. 01, 2017	Dec. 31, 2016	Oct. 01, 2016	Jul. 02, 2016	Apr. 02, 2016	Dec. 30, 2017	Dec. 31, 2016	Jan. 02, 2016
Quarterly Financial Information Disclosure [Abstract]
Total revenues	$ 10,243	$ 10,865	$ 10,002	$ 10,483	$ 12,530	$ 9,789	$ 11,908	$ 11,931	$ 41,593	$ 46,158	$ 41,757
Cost of revenues	8,073	6,492	5,507	6,018	6,967	5,544	6,174	6,634	26,090	25,319	21,804
Gross profit	2,170	4,373	4,495	4,465	5,563	4,245	5,734	5,297	15,503	20,839	19,953
Operating expenses:
Research and development	1,278	1,428	1,528	1,496	1,358	1,256	1,392	1,359	5,730	5,365	5,214
Sales and marketing	4,195	3,769	3,654	2,923	3,069	2,378	2,405	2,429	14,541	10,281	8,901
General and administrative	1,880	2,422	2,054	1,904	2,092	1,858	2,331	1,357	8,260	7,638	5,550
Gain on sale of intellectual property		(175)							(175)
Impairment of long-lived assets	35				120				35	120
Total operating expenses	7,388	7,444	7,236	6,323	6,639	5,492	6,128	5,145	28,391	23,404	19,665
(Loss) income from operations	(5,218)	(3,071)	(2,741)	(1,858)	(1,076)	(1,247)	(394)	152	(12,888)	(2,565)	288
Other expense, net	(88)	(16)	(1)	(2)	(8)	(51)	(21)	(11)	(107)	(91)	3
(Loss) income from operations before (benefit from) provision for income taxes	(5,306)	(3,087)	(2,742)	(1,860)	(1,084)	(1,298)	(415)	141	(12,995)	(2,656)	291
Provision for (benefit from) income taxes	(151)	9	8	6	9,731	(627)	(87)	40	(128)	9,057	(183)
Net (loss) income	$ (5,155)	$ (3,096)	$ (2,750)	$ (1,866)	$ (10,815)	$ (671)	$ (328)	$ 101	$ (12,867)	$ (11,713)	$ 474
Net income (loss) per share:
Basic	$ (0.44)	$ (0.27)	$ (0.24)	$ (0.16)	$ (1.04)	$ (0.07)	$ (0.03)	$ 0.01	$ (1.11)	$ (1.15)	$ 0.05
Diluted	$ (0.44)	$ (0.27)	$ (0.24)	$ (0.16)	$ (1.04)	$ (0.07)	$ (0.03)	$ 0.01	$ (1.11)	$ (1.15)	$ 0.05

Subsequent Events - Additional Information (Details) - TruFocus LIO Premiere™ $ in Millions		3 Months Ended
	Feb. 23, 2018 Unit Event	Dec. 30, 2017 USD ($)
Subsequent Event [Line Items]
Estimated decrease in revenue due to increase in sales return allowance		$ 0.8
Cost of sales increased related to inventory write-down,replacement and other associated warranty costs		$ 1.3
Subsequent Event
Subsequent Event [Line Items]
Number of premiere product units at customer sites \| Unit	104
Adverse events occured during procedure \| Event	3
Recalled products manufactured from the date	May 26, 2017
Recalled products manufactured end date	Nov. 06, 2017
Recalled products distributed from the date	Jun. 05, 2017
Recalled products distributed end date	Jan. 29, 2018

Goodwill	12 Months Ended
Goodwill	Dec. 30, 2017
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill	6. Goodwill The carrying value of goodwill was $533 thousand as of December 30, 2017 and December 31, 2016, respectively. Goodwill is tested for impairment at least annually or whenever there is a change in circumstances that indicates the carrying value of these assets may be impaired. The determination of whether any potential impairment of goodwill exists is based upon an impairment test performed in accordance with ASC 350. There was no impairment of goodwill recognized during fiscal years 2017, 2016 or 2015.