Note 10 - Segment and Geographic Information

12 Months Ended

Dec. 26, 2020

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

10.  Segment and Geographic Information

We applied the provisions of ASC Topic 280, Segment Reporting, (“ASC 280”), which sets forth a management approach to segment reporting and establishes requirements to report selected segment information quarterly and to report annually entity-wide disclosures about products, major customers and the geographies in which the entity holds material assets and reports revenue. An operating segment is defined as a component that engages in business activities whose operating results are reviewed by the chief operating decision maker and for which discrete financial information is available. We determined that our four identified operating segments are: Test Handler Group (THG), Semiconductor Tester Group (STG), Interface Solutions Group (ISG) and PCB Test Group (PTG). Our THG, STG and ISG operating segments qualify for aggregation under ASC 280 due to similarities in their customers, their economic characteristics, and the nature of products and services provided. As a result, we report in two segments, Semiconductor Test & Inspection and PCB Test.

(in thousands)	2020			2019			2018
Net sales by segment:
Semiconductor Test & Inspection	$	585,240		$	540,878		$	443,276
PCB Test		50,767			42,451			8,492
Total consolidated net sales for reportable segments	$	636,007		$	583,329		$	451,768
Segment profit (loss) before tax:
Semiconductor Test & Inspection	$	(2,497	)	$	(45,072	)	$	2,489
PCB Test		6,971			2,635			(5,154	)
Profit (loss) for reportable segments		4,474			(42,437	)		(2,665	)
Other unallocated amounts:
Corporate expenses		(4,384	)		(9,848	)		(25,457	)
Interest expense		(13,759	)		(20,556	)		(4,977	)
Interest income		224			764			1,187
Gain on extinguishment of debt		268			-			-
Loss from continuing operations before taxes	$	(13,177	)	$	(72,077	)	$	(31,912	)

(in thousands)	2020		2019		2018
Depreciation and amortization by segment deducted in arriving at profit (loss):
Semiconductor Test & Inspection	$	51,548	$	56,621	$	24,634
PCB Test		1,198		2,250		1,413
Total depreciation and amortization	$	52,746	$	58,871	$	26,047
Capital expenditures by segment:
Semiconductor Test & Inspection	$	18,616	$	17,831	$	4,957
PCB Test		44		169		10
Total consolidated capital expenditures	$	18,660	$	18,000	$	4,967

(in thousands)	2020		2019		2018
Total assets by segment:
Semiconductor Test & Inspection	$	968,028	$	998,756	$	1,038,053
PCB Test		66,826		56,938		57,762
Total assets for reportable segments		1,034,854		1,055,694		1,095,815
Corporate, principally cash and investments		55,492		18,398		34,367
Discontinued operations		-		3,618		3,820
Total consolidated assets	$	1,090,346	$	1,077,710	$	1,134,002

During the last three years, the following customers of our Semiconductor Test & Inspection segment that comprised 10% or greater of our consolidated net sales were as follows:

	2020		2019			2018
Intel		*		11.1	%		*

*No single customer exceeded 10% of consolidated net sales for the years ended December 26, 2020 and December 29, 2018.

No customer of our PCB Test segment exceeded 10% of consolidated net sales for the years ended December 26, 2020, December 28, 2019 and December 29, 2018.

Net sales to customers, attributed to countries based on product shipment destination, were as follows:

(in thousands)	2020		2019		2018
China	$	143,360	$	118,213	$	90,255
United States		108,694		71,963		61,177
Taiwan		83,685		75,725		25,074
Malaysia		57,893		61,826		61,793
Philippines		56,272		51,683		46,421
Rest of the world		186,103		203,919		167,048
Total, net	$	636,007	$	583,329	$	451,768

Geographic location of our property, plant and equipment and other long-lived assets was as follows:

(in thousands)	2020		2019
Property, plant and equipment:
Germany	$	19,817	$	25,234
United States		17,800		16,671
Japan		13,231		9,964
Malaysia		3,986		7,151
Philippines		9,333		8,637
Rest of the world		2,749		3,255
Total, net	$	66,916	$	70,912
Goodwill and other intangible assets:
Germany	$	232,925	$	228,476
United States		177,585		207,642
Malaysia		45,435		44,140
Singapore		13,469		13,915
Switzerland		5,006		8,190
Japan		3,703		3,872
Rest of the world		7,866		7,453
Total, net	$	485,989	$	513,688