Segment Information, Revenue and Enterprise-Wide Disclosures

12 Months Ended

Dec. 31, 2019

Segment Information, Revenue and Enterprise-Wide Disclosures

Note 16 – Segment Information, Revenue and Enterprise-Wide Disclosures

Segment Reporting. For financial reporting purposes, we operate in a single segment, standard semiconductor products, through our various manufacturing and distribution facilities. We aggregate our products because the products are similar and have similar economic characteristics, use similar production processes and share the same customer type. Our primary operations include operations in Asia, North America and Europe. The accounting policies of the operating entities are the same as those described in the summary of significant accounting policies.

The tables below set forth net sales based on the location of the subsidiary producing the net sale:

2019	Asia			North America			Europe			Consolidated
Total sales	$	1,234,750		$	612,697		$	234,092		$	2,081,539
Inter-company sales		(418,377	)		(320,746	)		(93,286	)		(832,409	)
Net sales	$	816,373		$	291,951		$	140,806		$	1,249,130

Property, plant and equipment	$	379,075		$	23,104		$	67,395		$	469,574
Assets	$	1,207,331		$	216,250		$	215,803		$	1,639,384

2018	Asia			North America			Europe			Consolidated
Total sales	$	1,069,068		$	179,459		$	195,406		$	1,443,933
Inter-company sales		(150,421	)		(24,322	)		(55,201	)		(229,944	)
Net sales	$	918,647		$	155,137		$	140,205		$	1,213,989

Property, plant and equipment	$	392,445		$	30,507		$	23,883		$	446,835
Assets	$	1,095,037		$	240,540		$	190,794		$	1,526,371

2017	Asia			North America			Europe			Consolidated
Total sales	$	968,720		$	171,964		$	175,004		$	1,315,688
Inter-company sales		(128,924	)		(71,608	)		(60,952	)		(261,484	)
Net sales	$	839,796		$	100,356		$	114,052		$	1,054,204

Property, plant and equipment	$	390,850		$	44,523		$	23,796		$	459,169
Assets	$	1,061,686		$	230,997		$	195,990		$	1,488,673

Disaggregation of Revenue. We disaggregate revenue from contracts with customers into direct sales and distribution sales (“Distributors”) and by geographic area. Direct sales customers consist of those customers using our product in their manufacturing process, and Distributors are those customers who resell our products to third parties. We sell our products to customers in multiple areas of the world including Asia, Europe, and North America. Across these regions, we sell products to end users in a variety of markets such as consumer electronics, computing, communications, industrial and automotive. Further, most of our contracts are fixed-price arrangements, and are short term in nature, ranging from days to several months.

The tables below set forth the amount of net sales by type, direct sales or Distributor and the location of the customer based on the location to where the products were shipped for the twelve months ended December 31, 2019, 2018 and 2017:

	Net Sales by Type for the Twelve Months Ended December 31,
	Direct Sales									Distributor
	2019			2018			2017			2019			2018			2017
China	$	228,822		$	226,360		$	220,390		$	404,977		$	436,265		$	372,737
United States		10,161			15,644			16,522			90,435			104,598			69,755
Korea		22,099			16,562			17,765			38,269			47,398			48,083
Germany		11,559			11,770			10,879			66,496			81,944			63,423
Singapore		568			2,150			873			66,945			66,003			57,697
Taiwan		2,748			2,846			6,327			90,753			73,498			61,042
All others ⁽¹⁾		131,894			71,665			61,699			83,404			57,286			47,012
Total	$	407,851		$	346,997		$	334,455		$	841,279		$	866,992		$	719,749

	Percent of Net Sales by Type for the Twelve Months Ended December 31,
	Direct Sales									Distributor
	2019			2018			2017			2019			2018			2017
China		56	%		65	%		66	%		48	%		50	%		52	%
United States		2	%		5	%		5	%		11	%		12	%		10	%
Korea		5	%		5	%		5	%		5	%		5	%		7	%
Germany		3	%		3	%		3	%		8	%		9	%		9	%
Singapore		-			1	%		-			8	%		8	%		8	%
Taiwan		1	%		1	%		2	%		11	%		8	%		8	%
All others ⁽¹⁾		33	%		20	%		19	%		9	%		8	%		6	%
Total		100	%		100	%		100	%		100	%		100	%		100	%

	Total Net Sales for the Twelve Months Ended December 31,
	Dollar									Percent of Net Sales
	2019			2018			2017			2019			2018			2017
China	$	633,799		$	662,625		$	593,127			51	%		55	%		56	%
United States		100,596			120,242			86,277			8	%		10	%		8	%
Korea		60,368			63,960			65,848			5	%		5	%		6	%
Germany		78,055			93,714			74,302			6	%		8	%		7	%
Singapore		67,513			68,153			58,570			5	%		6	%		6	%
Taiwan		93,501			76,344			67,369			7	%		6	%		6	%
All others ⁽¹⁾		215,298			128,951			108,711			18	%		10	%		11	%
Total	$	1,249,130		$	1,213,989		$	1,054,204			100	%		100	%		100	%

(1) Represents countries with less than 3% of the total net sales of each.

The tables below set forth a summary of the above data:

	2019		2018		2017
Direct Sales
Asia	$	316,962	$	292,459	$	285,610
Americas		27,443		26,296		23,696
Europe		63,446		28,242		25,149
Total		407,851		346,997		334,455

Distributor Sales
Asia		625,615		651,659		563,661
Americas		98,095		105,458		69,755
Europe		117,569		109,875		86,333
Total		841,279		866,992		719,749

Total Sales
Asia		942,577		944,118		849,271
Americas		125,538		131,754		93,451
Europe		181,015		138,117		111,482
Total	$	1,249,130	$	1,213,989	$	1,054,204

Major customers – During the twelve months ended December 31, 2019, 2018 and 2017, one customer, a broad-based global distributor that sells to thousands of different end users, accounted for approximately 10.0% or $119.6 million, $120.0 million and $101.7 million, respectively, of our revenue. No customer accounted for 10% or greater of our outstanding accounts receivable at December 31, 2019 or 2018.