Segment Information

9 Months Ended

Sep. 27, 2014

Segment Information [Abstract]

Segment Information

Note 10 – Segment Information

Vishay operates, and its chief operating decision maker makes strategic and operating decisions with regards to assessing performance and allocating resources based on, five reporting segments: MOSFETs, Diodes, Optoelectronic Components, Resistors & Inductors, and Capacitors.

The Company evaluates business segment performance on operating income, exclusive of certain items ("segment operating income").  Only dedicated, direct selling, general, and administrative expenses of the segments are included in the calculation of segment operating income.  The Company's calculation of segment operating income excludes such selling, general, and administrative costs as global operations, sales and marketing, information systems, finance and administration groups, as well as restructuring and severance costs, executive compensation charges (credits), material gains and losses on sales of property, and other items.  Management believes that evaluating segment performance excluding such items is meaningful because it provides insight with respect to intrinsic operating results of the Company.  These items represent reconciling items between segment operating income and consolidated operating income.  Business segment assets are the owned or allocated assets used by each business.

The following tables set forth business segment information:

	MOSFETs		Diodes		Optoelectronic Components		Resistors & Inductors		Capacitors		Total
Fiscal quarter ended September 27, 2014:
Product Sales	$	121,631	$	151,444	$	67,549	$	189,419	$	107,105	$	637,148
Royalty Revenues		28		-		-		1,035		-	$	1,063
Total Revenue	$	121,659	$	151,444	$	67,549	$	190,454	$	107,105	$	638,211
Gross Margin	$	17,384	$	36,135	$	24,585	$	59,581	$	20,707	$	158,392
Fiscal quarter ended September 28, 2013:
Product Sales	$	115,143	$	140,790	$	56,796	$	176,885	$	111,910	$	601,524
Royalty Revenues		25		-		51		1,290		-	$	1,366
Total Revenue	$	115,168	$	140,790	$	56,847	$	178,175	$	111,910	$	602,890
Gross Margin	$	15,735	$	32,405	$	20,163	$	54,093	$	20,824	$	143,220

Nine fiscal months ended September 27, 2014:
Product Sales	$	358,715	$	437,944	$	188,305	$	569,944	$	324,360	$	1,879,268
Royalty Revenues		127		-		-		3,123		-	$	3,250
Total Revenue	$	358,842	$	437,944	$	188,305	$	573,067	$	324,360	$	1,882,518
Gross Margin	$	48,872	$	100,606	$	68,610	$	181,096	$	68,584	$	467,768
Nine fiscal months ended September 28, 2013:
Product Sales	$	331,473	$	406,525	$	171,419	$	510,630	$	329,821	$	1,749,868
Royalty Revenues		146		-		51		4,744		-	$	4,941
Total Revenue	$	331,619	$	406,525	$	171,470	$	515,374	$	329,821	$	1,754,809
Gross Margin	$	45,101	$	91,093	$	59,088	$	161,039	$	66,490	$	422,811

The Optoelectronic Components segment assets increased due to the Capella acquisition (see Note 2).

	Fiscal quarters ended						Nine fiscal months ended
	September 27, 2014			September 28, 2013			September 27, 2014			September 28, 2013
Operating margin reconciliation:
MOSFETs	$	7,824		$	5,313		$	19,804		$	13,828
Diodes		29,720			26,240			80,908			72,968
Optoelectronic Components		20,571			16,492			56,920			48,259
Resistors & Inductors		50,194			45,096			152,499			134,836
Capacitors		14,482			14,879			49,945			48,920
Restructuring and Severance Costs		(3,508	)		-			(18,926	)		-
U.S. Pension Settlement Charges		(15,588	)		-			(15,588	)		-
Executive Compensation Credit		-			-			-			1,778
Unallocated Selling, General, and Administrative Expenses		(58,236	)		(54,867	)		(179,608	)		(169,941	)
Consolidated Operating Income	$	45,459		$	53,153		$	145,954		$	150,648