Segment Reporting and Geographic Information

12 Months Ended

Dec. 31, 2019

Segment Reporting and Geographic Information

16.	Segment Reporting and Geographic Information:

The Company is engaged in the design, development, manufacture and support of high-performance control metrology, defect inspection, advanced packaging lithography and data analysis systems used by microelectronics device manufacturers. The Company and its subsidiaries currently operate in a single operating segment: the design, development, manufacture and support of high-performance process control defect inspection and metrology, advanced packaging lithography and process control software systems used by microelectronics device manufacturers. Therefore, the Company has one reportable segment. The Company’s chief operating decision maker is the Chief Executive Officer (the “CEO”). The CEO allocates resources and assesses performance of the business and other activities at the reportable segment level.

The following table lists the different sources of revenue:

	Year Ended December 31,
	2019				2018				2017
Systems and software	$	255,723	84	%	$	234,241	86	%	$	216,884	85	%
Parts		34,892	11	%		28,658	10	%		27,143	11	%
Services		15,281	5	%		10,885	4	%		11,071	4	%
Total revenue	$	305,896	100	%	$	273,784	100	%	$	255,098	100	%

The Company’s significant operations outside the United States include sales, service and application offices in Asia and Europe. For geographical revenue reporting, revenue is attributed to the geographic location to which the product is shipped. Revenue by geographic region is as follows:

	Year Ended December 31,
	2019		2018		2017
Revenue from third parties:
United States	$	46,717	$	43,944	$	36,104
Taiwan		66,601		45,312		63,079
South Korea		43,997		51,750		44,180
Singapore		10,699		14,371		12,775
Japan		29,816		22,361		18,943
Germany		4,899		14,913		15,580
China		80,017		63,243		35,925
Other Europe		18,124		12,260		23,768
Other Asia		5,026		5,630		4,744
Total revenue	$	305,896	$	273,784	$	255,098

In 2019, sales to Taiwan Semiconductor Manufacturing Co. Ltd and SK Hynix Inc. accounted for 13.4% and 13.1%, respectively, of the Company’s revenue. In 2018, sales to SK Hynix Inc. accounted for 12.2% of the Company’s revenue. No individual end user customer accounted for more than 10% of the Company’s revenue in 2017. The Company does not have purchase contracts with any of its customers that obligate them to continue to purchase its products.

At December 31, 2019, one customer, Taiwan Semiconductor Manufacturing Co. Ltd., accounted for more than 10% of net accounts receivable. At December 31, 2018, no individual customer accounted for more than 10% of net accounts receivable.

Substantially all of the Company’s long-lived assets are located within the United States of America.