Business Segment Data

12 Months Ended

Jun. 30, 2014

Segment Reporting [Abstract]

Business Segment Data

Note 18—Business Segment Data

The accounting principles applied at the operating segment level in determining income from operations are the same as those applied at the consolidated financial statement level. While revenues are specifically identified with our Infotainment segment and the automotive audio portion of our Lifestyle segment, costs, expenses and assets for these businesses are allocated based on relative revenues or other measures of activity that management believes are reasonable.

We design, manufacture and market high-quality, high fidelity audio products and electronic systems for the infotainment, automotive audio, home audio and professional markets. Our chief operating decision maker evaluates performance and allocates resources based on net sales, operating income and working capital in each of the reporting segments.

Infotainment

Our Infotainment segment designs, manufactures and markets infotainment systems for vehicle applications to be installed primarily as original equipment by automotive manufacturers.

Lifestyle

Our Lifestyle segment designs, manufactures and markets automotive audio systems for vehicle applications to be installed primarily as original equipment by automotive manufacturers and a wide range of mid-to high-end audio and consumer electronics for home, multimedia and mobile applications. Our Lifestyle audio products feature some of the world’s most recognized audio brands, including AKG, Harman/Kardon, Infinity, JBL, Lexicon, Logic 7, Mark Levinson, Revel, Selenium and yurbuds Powered by JBL.

Professional

Our Professional segment designs, manufactures and markets an extensive range of loudspeakers, power amplifiers, digital signal processors, microphones, headphones, mixing consoles, lighting systems, video and control solutions and information delivery systems used by audio professionals in concert halls, stadiums, airports, houses of worship and other public spaces. We also provide high-quality products to the sound reinforcement, music instrument support and broadcast and recording segments of the professional audio market. We offer complete systems solutions for professional installations and users around the world. Our Professional products are marketed globally under brand names including AKG, AMX, BSS, Crown, dbx, DigiTech, JBL Professional, Lexicon, Martin, Selenium, Soundcraft and Studer.

Other

Our Other segment includes compensation, benefits and occupancy costs for corporate employees, net of reporting segment allocations, expenses associated with new technology innovation and our corporate brand identity campaign.

The following table presents Net sales, Operating income (loss), Assets, Goodwill, Capital expenditures and Depreciation and amortization by each reporting segment:

	Year Ended June 30,
	2014			2013			2012
Net sales:
Infotainment	$	2,838,904		$	2,283,247		$	2,401,562
Lifestyle		1,656,094			1,338,355			1,330,798
Professional		853,144			672,805			630,731
Other		341			3,435			987
Total	$	5,348,483		$	4,297,842		$	4,364,078
Operating income (loss):
Infotainment	$	195,403		$	90,799		$	180,529
Lifestyle		170,517			137,477			151,490
Professional		114,057			85,810			72,997
Other		(150,250	)		(112,835	)		(104,770	)
Total	$	329,727		$	201,251		$	300,246
Assets:
Infotainment	$	1,191,124		$	1,094,118
Lifestyle		1,561,216			1,192,610
Professional		1,044,233			468,910
Other		329,017			480,047
Total	$	4,125,590		$	3,235,685
Goodwill:
Infotainment	$	17,080		$	8,576
Lifestyle		137,950			107,438
Professional		385,922			118,328
Total	$	540,952		$	234,342
Capital expenditures:
Infotainment	$	91,472		$	54,364		$	66,050
Lifestyle		43,042			25,587			24,467
Professional		12,533			11,839			10,187
Other		10,094			9,892			11,832
Total	$	157,141		$	101,682		$	112,536
Depreciation and amortization:
Infotainment	$	65,912		$	63,009		$	66,130
Lifestyle		34,581			36,572			33,401
Professional		20,866			16,882			13,638
Other		10,969			11,705			9,056
Total	$	132,328		$	128,168		$	122,225

During fiscal years 2014, 2013 and 2012 we did not record any goodwill impairment charges. Refer to Note 8—Goodwill and Intangible Assets, Net for more information.

The following table presents Net sales and long-lived assets and net assets by geographic area as of and for the years ended June 30, 2014, 2013 and 2012. Net sales are attributable to geographic areas based upon the location of the customer.

	Year Ended June 30,
	2014		2013		2012
Net sales:
U.S.	$	1,626,814	$	1,181,113	$	966,955
Germany		1,722,739		1,482,036		1,662,432
Other Europe		969,021		819,074		916,813
Other		1,029,909		815,619		817,878
Total	$	5,348,483	$	4,297,842	$	4,364,078
Long-lived assets:
U.S.	$	339,226	$	169,311
Germany		141,987		137,387
Other Europe		141,481		128,457
Other		69,193		50,141
Total	$	691,887	$	485,296
Net Assets
U.S.	$	124,339	$	148,056
Germany		563,972		499,490
Other Europe		950,027		857,487
Other		154,683		139,838
Total	$	1,793,021	$	1,644,871