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GEOGRAPHIC INFORMATION AND MAJOR CLIENTS
9 Months Ended
Sep. 30, 2017
GEOGRAPHIC INFORMATION AND MAJOR CLIENTS

12. GEOGRAPHIC INFORMATION AND MAJOR CLIENTS

Geographic Information

Operating segments are defined as components of an enterprise, about which separate financial information is available that is evaluated regularly by the chief operating decision maker (“CODM”) in deciding how to allocate resources and in assessing performance.

The Company develops and licenses software applications for customer engagement and its Pega® Platform, and provides consulting services, maintenance, and training related to its offerings. The Company derives substantially all of its revenue from the sale and support of one group of similar products and services—software that provides case management, business process management, and real-time decisioning solutions to improve customer engagement and operational excellence in the enterprise applications market. To assess performance, the Company’s CODM, who is the chief executive officer, reviews financial information on a consolidated basis. Therefore, the Company determined it has one reportable segment—Customer Engagement Solutions and one reporting unit.

The Company’s international revenue, based upon the clients’ location, is as follows:

 

     Three Months Ended
September 30,
    Nine Months Ended
September 30,
 
(Dollars in thousands)    2017     2016     2017     2016  

U.S.

   $ 95,087        53   $ 111,274        61   $ 351,330        59   $ 308,049        56

Other Americas

     8,722        5     7,952        4     30,243        5     49,494        9

U.K.

     18,485        10     21,490        12     68,003        11     77,181        14

Other EMEA(1)

     28,100        16     23,656        13     76,958        13     67,314        12

Asia Pacific

     29,421        16     18,430        10     74,508        12     48,618        9
  

 

 

    

 

 

   

 

 

    

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 
   $ 179,815        100   $ 182,802        100   $ 601,042        100   $ 550,656        100
  

 

 

    

 

 

   

 

 

    

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

 

(1)  Includes Europe, the Middle East and Africa, but excludes the United Kingdom.

 

Major Clients

Clients accounting for 10% or more of the Company’s total revenue were as follows:

 

     Three Months Ended
September 30,
     Nine Months Ended
September 30,
 
(in thousands)    2017     2016      2017      2016  

Total revenue

   $ 179,815     $ 182,802      $ 601,042      $ 550,656  

Client A

     10.6     *        *        *  

 

* Client accounted for less than 10% of total revenue.

Clients accounting for 10% or more of the Company’s total trade accounts receivable were as follows:

 

(in thousands)    September 30,
2017
    December 31,
2016
 

Total trade accounts receivable

     197,350       269,154  

Client A

     12.4     *  

 

* Client accounted for less than 10% of total trade account receivable