MARKET SECTORS AND MAJOR CUSTOMERS

9 Months Ended

Jul. 02, 2021

MARKET SECTORS AND MAJOR CUSTOMERS

MARKET SECTORS AND MAJOR CUSTOMERS

NOTE 10—MARKET SECTORS AND MAJOR CUSTOMERS

A summary of sales, according to the market sector within which IEC’s customers operate, follows:

	Three Months Ended				Nine Months Ended
	July 2,		June 26,		July 2,		June 26,
% of Sales by Sector	2021		2020		2021		2020
Aerospace & Defense	76	%	59	%	69	%	60	%
Medical	14	%	28	%	20	%	26	%
Industrial	10	%	13	%	11	%	14	%
	100	%	100	%	100	%	100	%

Four individual customers represented 10% or more of sales for the three months ended July 2, 2021. All four of these customers were from the aerospace & defense sector and represented 20%, 19%, 15% and 12% of sales. Four individual customers represented 10% or more of sales for the nine months ended July 2, 2021. All four of these customers were from the aerospace & defense sector and represented 23%, 13%, 12% and 12% of sales.

Four individual customers represented 10% or more of sales for the three months ended June 26, 2020. Three of these customers were from the aerospace & defense sector and represented 27%, 11% and 10% of sales. The fourth customer was from the medical sector and represented 17% of sales for the three months ended June 26, 2020. Four individual customers represented 10% or more of sales for the nine months ended June 26, 2020. Three of these customers were from the aerospace & defense sector and represented 26% and 11% and 10% of sales. The fourth customer was from the medical sector and represented 16% of sales for the nine months ended June 26, 2020.

Three individual customers represented 10% or more of receivables and accounted for 53% of the outstanding balance at July 2, 2021. Two individual customers represented 10% or more of receivables and accounted for 30% of the outstanding balance at September 30, 2020.

Credit risk associated with individual customers is periodically evaluated by analyzing the entity’s financial condition and payment history. Customers generally are not required to post collateral.