REVENUE

9 Months Ended

Mar. 26, 2023

Revenue from Contract with Customer [Abstract]

REVENUE

REVENUE

Deferred Revenue

Revenue of $149.1 million and $1,881.8 million included in deferred profit at June 26, 2022 was recognized during the three and nine months ended March 26, 2023, respectively.

The following table summarizes the transaction price for contracts that have not yet been recognized as revenue as of March 26, 2023 and when the Company expects to recognize the amounts as revenue:

	Less than 1 Year		1-3 Years			More than 3 Years			Total
	(In thousands)
Deferred revenue	$	1,731,567	$	243,733	(1)	$	27,444	(1)	$	2,002,744

(1)This amount is reported in Deferred profit on the Company's Condensed Consolidated Balance Sheets as the customers can demand the liability to be performed at any time.

Disaggregation of Revenue

The Company operates in one reportable business segment: manufacturing and servicing of wafer processing semiconductor manufacturing equipment. The Company’s material operating segments qualify for aggregation due to their customer base and similarities in economic characteristics, nature of products and services, and processes for procurement, manufacturing, and distribution.

The Company operates in seven geographic regions: United States, China, Europe, Japan, Korea, Southeast Asia, and Taiwan. For geographical reporting, revenue is attributed to the geographic location in which the customers’ facilities are located. The Company serves three primary markets: memory, foundry, and logic/integrated device manufacturing.

The following table presents the Company’s revenues disaggregated between system and its customer support-related revenue:

	Three Months Ended				Nine Months Ended
	March 26, 2023		March 27, 2022		March 26, 2023		March 27, 2022
	(In thousands)
System revenue	$	2,256,033	$	2,650,842	$	8,985,538	$	8,315,898
Customer support-related revenue and other	1,613,536		1,409,574		5,235,721		4,275,587
	$	3,869,569	$	4,060,416	$	14,221,259	$	12,591,485

System revenue includes sales of new leading-edge equipment in deposition, etch and clean markets.

Customer support-related revenue includes sales of customer service, spares, upgrades, and non-leading-edge equipment from the Company’s Reliant product line.

The following table presents the Company’s revenues disaggregated by geographic region:

	Three Months Ended				Nine Months Ended
	March 26, 2023		March 27, 2022		March 26, 2023		March 27, 2022
	(In thousands)
Korea	$	847,728	$	961,300	$	2,780,158	$	2,947,657
China	839,710		1,277,502		3,633,692		3,966,185
Taiwan	713,708		663,494		2,825,827		2,074,681
United States	594,426		309,161		1,402,641		782,170
Japan	406,219		342,329		1,440,857		1,324,996
Europe	311,843		128,149		912,249		387,685
Southeast Asia	155,935		378,481		1,225,835		1,108,111
	$	3,869,569	$	4,060,416	$	14,221,259	$	12,591,485

The following table presents the percentages of leading- and non-leading-edge equipment and upgrade revenue to each of the primary markets the Company serves:

	Three Months Ended				Nine Months Ended
	March 26, 2023		March 27, 2022		March 26, 2023		March 27, 2022
Memory	32	%	66	%	46	%	62	%
Foundry	46	%	21	%	18	%	26	%
Logic/integrated device manufacturing	22	%	13	%	36	%	12	%