Segment and Geographic Data

12 Months Ended

Dec. 31, 2023

Segment and Geographic Data [Abstract]

Segment and Geographic Data

Note 15 – Segment and Geographic Data

Vishay is a global manufacturer and supplier of electronic components.  Vishay operates, and its chief operating decision maker makes strategic and operating decisions with regards to assessing performance and allocating resources based on, six reporting segments: MOSFETs, Diodes, Optoelectronic Components, Resistors, Inductors, and Capacitors.  These segments represent groupings of product lines based on their functionality:

● Metal oxide semiconductor field effect transistors ("MOSFETs") function as solid state switches to control power.

● Diodes route, regulate, and block radio frequency, analog, and power signals; protect systems from surges or electrostatic discharge damage; or provide electromagnetic interference filtering.

● Optoelectronic components emit light, detect light, or do both.

● Resistors are basic components used in all forms of electronic circuitry to adjust and regulate levels of voltage and current. 

● Inductors use an internal magnetic field to change alternating current phase and resist alternating current.

● Capacitors store energy and discharge it when needed.

Vishay's reporting segments generate substantially all of their revenue from product sales to the industrial, automotive, telecommunications, computing, consumer products, power supplies, military and aerospace, and medical end markets.  An immaterial portion of revenues are from royalties.

The Company’s chief operating decision maker uses operating income, exclusive of certain items ("segment operating income") to make decisions, allocate resources, and assess performance, and the Company thus considers segment operating income to be its measure of segment profit or loss.  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 selling, general, and administrative costs of its global operations, sales and marketing, information systems, finance, and administration groups, as well as restructuring and severance costs, the direct impact of the COVID-19 pandemic, and other items affecting comparability.  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		Corporate / Other			Total
Year ended December 31, 2023:
Net revenues	$	778,754	$	690,540	$	243,146	$	843,472	$	347,392	$	498,741	$	-		$	3,402,045
Segment Operating Income		195,793		153,462		42,963		209,425		99,684		104,985		-		$	806,312
Depreciation expense		35,965		44,904		16,496		39,781		14,963		14,269		8,079		$	174,457
Capital expenditures		132,543		62,185		23,228		67,085		10,767		21,914		11,688		$	329,410
Total Assets as of December 31, 2023:	$	702,299	$	852,703	$	352,984	$	946,585	$	365,111	$	459,653	$	560,588		$	4,239,923
Year ended December 31, 2022:
Net revenues	$	762,260	$	765,220	$	296,384	$	832,806	$	331,086	$	509,645	$	-		$	3,497,401
Segment Operating Income		228,692		176,422		85,456		235,259		93,453		104,810		(6,661	)	$	917,431
Depreciation expense		30,551		40,014		14,065		34,903		14,927		14,286		7,118		$	155,864
Capital expenditures		90,297		69,126		27,776		76,702		35,102		15,214		11,091		$	325,308
Total Assets as of December 31, 2022:	$	672,048	$	814,017	$	385,388	$	861,870	$	322,893	$	496,924	$	312,513		$	3,865,653
Year ended December 31, 2021:
Net revenues	$	667,998	$	709,416	$	302,714	$	752,554	$	335,638	$	472,167	$	-		$	3,240,487
Segment Operating Income		148,652		145,814		82,378		190,953		97,482		85,342		-		$	750,621
Depreciation expense		30,257		40,406		14,585		34,344		14,448		17,129		8,078		$	159,247
Capital expenditures		44,227		45,772		25,068		57,729		24,377		13,099		8,100		$	218,372
Total Assets as of December 31, 2021:	$	503,937	$	815,751	$	377,815	$	783,390	$	355,353	$	496,129	$	210,882		$	3,543,257

________________

	Years ended December 31,
	2023			2022			2021
Reconciliation:
Segment Operating Income	$	806,312		$	917,431		$	750,621
Impact of COVID-19 Pandemic on Selling, General, and Administrative Expenses		-			(546	)		-
Unallocated Selling, General, and Administrative Expenses		(320,168	)		(301,399	)		(282,819	)
Consolidated Operating Income (Loss)	$	486,144		$	615,486		$	467,802
Unallocated Other Income (Expense)		(18,742	)		(21,981	)		(33,192	)
Consolidated Income Before Taxes	$	467,402		$	593,505		$	434,610

The Company has a broad line of products that it sells to OEMs, EMS companies, and independent distributors.  The distribution of sales by customer type is shown below:

	Years Ended December 31,
	2023		2022		2021
Distributors	$	1,798,291	$	2,019,842	$	1,902,499
OEMs		1,378,065		1,229,114		1,138,569
EMS companies		225,689		248,445		199,419
	$	3,402,045	$	3,497,401	$	3,240,487

Net revenues were attributable to customers in the following regions:

	Years Ended December 31,
	2023		2022		2021
Asia	$	1,255,563	$	1,347,893	$	1,392,267
Europe		1,255,652		1,146,898		1,072,025
Americas		890,830		1,002,610		776,195
	$	3,402,045	$	3,497,401	$	3,240,487

The Company generates substantially all of its revenue from product sales to end customers in the industrial, automotive, military and aerospace, medical, power supplies, telecommunications, consumer products, and computing end markets.  Sales by end market are presented below:

	Years Ended December 31,
	2023		2022		2021
Industrial	$	1,216,078	$	1,377,043	$	1,269,150
Automotive		1,202,923		1,067,499		994,039
Military and Aerospace		271,871		215,078		170,484
Medical		152,611		133,808		130,126
Other*		558,562		703,973		676,688
	$	3,402,045	$	3,497,401	$	3,240,487

*Power supplies, telecommunications, consumer products, and computing

The following table summarizes net revenues based on revenues generated by subsidiaries located within the identified geographic area:

	Years ended December 31,
	2023		2022		2021
United States	$	879,734	$	974,503	$	750,862
Germany		1,076,812		1,005,796		976,907
Other Europe		151,160		142,454		134,773
Israel		29,560		25,844		20,362
Asia		1,264,779		1,348,804		1,357,583
	$	3,402,045	$	3,497,401	$	3,240,487

The following table summarizes property and equipment based on physical location:

	December 31,
	2023		2022
United States	$	162,428	$	144,112
Germany		305,504		229,449
Other Europe		148,646		118,672
Israel		98,800		87,174
People's Republic of China		250,209		250,669
Republic of China (Taiwan)		207,515		192,456
Other Asia		108,055		98,332
Other		13,489		9,595
	$	1,294,646	$	1,130,459