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Segment and Major Customers Information
9 Months Ended
Sep. 30, 2018
Segment Reporting [Abstract]  
Segment and Major Customers Information
Segment and Major Customers Information
Disaggregation of revenue by geography
We conduct business globally and are primarily managed on a geographic basis. Our Chief Executive Officer, who is our chief operating decision maker, reviews financial information presented on a consolidated basis accompanied by information about revenue by geographic region for purposes of allocating resources and evaluating financial performance. We define our regions into United States ("U.S."), Europe, the Middle East, and Africa ("EMEA"), Asia Pacific and Japan ("APAC"), and all remaining geographies (primarily Latin America and Canada) included in Others. There are no segment managers who are held accountable for operations, operating results, and plans for levels, components, or types of products or services below the consolidated unit level. Accordingly, we are considered to be in a single reportable segment and operating unit structure.
Revenue by geographic region based on the billing address is as follows (in thousands):
 
Three Months Ended September 30,
 
2018
 
2017*
 
2018
 
2017*
 
2018
 
2017*
 
2018
 
2017*
 
US
 
EMEA
 
APAC
 
Other
Product and related subscription and support
$
78,297

 
$
77,220

 
$
21,583

 
$
19,631

 
$
21,537

 
$
18,729

 
$
5,594

 
$
6,342

Cloud subscription and managed services
32,973

 
29,741

 
7,095

 
4,978

 
5,692

 
4,609

 
2,883

 
1,924

Professional services
22,823

 
24,837

 
5,015

 
4,636

 
3,832

 
2,432

 
4,327

 
2,287

Total revenue
$
134,093

 
$
131,798

 
$
33,693

 
$
29,245

 
$
31,061

 
$
25,770

 
$
12,804

 
$
10,553


 
Nine Months Ended September 30,
 
2018
 
2017*
 
2018
 
2017*
 
2018
 
2017*
 
2018
 
2017*
 
US
 
EMEA
 
APAC
 
Other
Product and related subscription and support
$
227,029

 
$
224,334

 
$
64,901

 
$
57,818

 
$
62,072

 
$
55,118

 
$
16,493

 
$
15,942

Cloud subscription and managed services
93,222

 
89,183

 
20,202

 
13,142

 
16,511

 
14,250

 
8,125

 
5,210

Professional services
68,175

 
72,647

 
14,738

 
10,797

 
10,408

 
9,312

 
11,541

 
6,094

Total revenue
$
388,426

 
$
386,164

 
$
99,841

 
$
81,757

 
$
88,991

 
$
78,680

 
$
36,159

 
$
27,246


We generate revenue from sales of our products and related subscriptions and support, cloud subscription and managed services, and professional services. Our product and related subscription and support revenue consists primarily of revenue from the sale of our intelligence-dependent security appliances and software, subscriptions to our Dynamic Threat Intelligence (DTI) updates, and support and maintenance. Our intelligent-dependent security appliances include NX (network security), EX (email security), HX (endpoint security), and FX (file security). Product and related subscription and support also includes our enterprise forensic solutions (PX) network forensics appliance and our central management system (CMS) management appliance. Because these PX and CMS appliances are not dependent on regular threat intelligence updates, revenue is recognized upon shipment. Cloud subscription and managed services consists of revenue from the sale of our cloud-based email security, our Threat Analytics Platform (TAP), our Helix orchestration and automation platform, and our standalone threat intelligence subscriptions. Professional services revenue consists of revenue from the sale of security consulting services, including incident response, compromise and security program assessments, red teaming and training. The following table depicts the disaggregation of revenue according to revenue type and is consistent with how we evaluate our financial performance (in thousands):
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2018

2017*
 
2018
 
2017*
Revenue by Category
 
 
 
 
 
 
 
Product and related subscription and support
$
127,011

 
$
121,922

 
$
370,495

 
$
353,213

Cloud subscription and managed services
48,642

 
41,252

 
138,060

 
121,787

Professional services
35,998

 
34,192

 
104,862

 
98,847

Total revenue
$
211,651

 
$
197,366

 
$
613,417

 
$
573,847


*Certain prior period amounts have been adjusted as a result of adoption of the new revenue recognition standard.
Long lived assets by geography
Long lived assets by geographic region based on physical location is as follows (in thousands):
 
As of September 30, 2018
 
As of December 31, 2017
Property and Equipment, net:
 
 
 
United States
$
77,596

 
$
60,202

International
8,655

 
11,155

Total property and equipment, net
$
86,251

 
$
71,357


For the three months ended September 30, 2018 and 2017, one distributor represented 20% and 19%, respectively, and one reseller represented 16% and 14%, respectively, of our total revenue. For the nine months ended September 30, 2018 and 2017, one distributor represented 20% and 19%, respectively, and one reseller represented 15% and 12%, respectively, of our total revenue. As of September 30, 2018 and December 31, 2017, no customer represented 10% or more of our net accounts receivable balance for either period.