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Operating Segment Information
 3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Operating Segment Information Operating Segment Information
Our reporting structure is comprised of the following strategic operating segments: AES and EMS. The remaining operations, which represent our non-core businesses, are reported in the Other operating segment.
Our AES operating segment designs, develops, manufactures and sells circuit materials, ceramic substrate materials, busbars and cooling solutions for applications in electric and hybrid electric vehicles (EV/HEV), automotive (i.e., advanced driver assistance systems (ADAS)), aerospace and defense (i.e., antenna systems, communication systems and phased array radar systems), renewable energy (i.e., wind and solar), wireless infrastructure (i.e., power amplifiers, antennas and small cells), mass transit, industrial (variable frequency drives), connected devices (i.e., mobile internet devices and thermal solutions) and wired infrastructure (i.e., computing and internet protocol (IP) infrastructure) markets.
Our EMS operating segment designs, develops, manufactures and sells engineered material solutions for a wide variety of applications and markets. These include polyurethane and silicone materials used in cushioning, gasketing and sealing, and vibration management applications for EV/HEV, general industrial, portable electronics, automotive, mass transit, aerospace and defense and footwear and impact mitigation markets; customized silicones used in flex heater and semiconductor thermal applications for EV/HEV, general industrial, portable electronics, automotive, mass transit, aerospace and defense and medical markets; and polytetrafluoroethylene and ultra-high molecular weight polyethylene materials used in wire and cable protection, electrical insulation, conduction and shielding, hose and belt protection, vibration management, cushioning, gasketing and sealing, and venting applications for EV/HEV, general industrial, automotive and aerospace and defense markets.
Our Other operating segment consists of elastomer components for applications in the general industrial market, as well as elastomer floats for level sensing in fuel tanks, motors, and storage tanks applications in the general industrial and automotive markets.
The following table presents a disaggregation of revenue from contracts with customers and other pertinent financial information, for the periods indicated; inter-segment sales have been eliminated from the net sales data:
(Dollars in thousands)Advanced Electronics SolutionsElastomeric Material SolutionsOtherTotal
Three Months Ended March 31, 2023
Net sales - recognized over time$62,419 $8,966 $3,911 $75,296 
Net sales - recognized at a point in time73,449 93,275 1,827 168,551 
Total net sales$135,868 $102,241 $5,738 $243,847 
Operating income$(5,509)$3,217 $2,040 $(252)
Three Months Ended March 31, 2022
Net sales - recognized over time$70,486 $3,046 $4,373 $77,905 
Net sales - recognized at a point in time62,667 107,194 500 170,361 
Total net sales$133,153 $110,240 $4,873 $248,266 
Operating income$1,304 $16,997 $1,590 $19,891 
Net sales by operating segment and by geographic area were as follows:
(Dollars in thousands)
Net Sales(1)
Region/CountryAdvanced Electronics SolutionsElastomeric Material SolutionsOtherTotal
Three Months Ended March 31, 2023
United States$21,549 $41,869 $1,131 $64,549 
Other Americas2,301 9,256 131 11,688 
Total Americas23,850 51,125 1,262 76,237 
China38,436 20,175 2,399 61,010 
Other APAC24,837 6,995 522 32,354 
Total APAC63,273 27,170 2,921 93,364 
Germany24,001 8,034 143 32,178 
Other EMEA24,744 15,912 1,412 42,068 
Total EMEA48,745 23,946 1,555 74,246 
Total net sales$135,868 $102,241 $5,738 $243,847 
Three Months Ended March 31, 2022
United States$29,207 $45,389 $843 $75,439 
Other Americas973 2,587 168 3,728 
Total Americas30,180 47,976 1,011 79,167 
China36,079 30,987 1,814 68,880 
Other APAC20,097 6,716 508 27,321 
Total APAC56,176 37,703 2,322 96,201 
Germany20,553 8,738 270 29,561 
Other EMEA26,244 15,823 1,270 43,337 
Total EMEA46,797 24,561 1,540 72,898 
Total net sales$133,153 $110,240 $4,873 $248,266 
(1)Net sales are allocated to countries based on the location of the customer. The table above lists individual countries with 10% or more of net sales for the periods indicated.
Revenue from Contracts with Customers
We have contract assets primarily related to unbilled revenue for revenue recognized related to products that are deemed to have no alternative use whereby we have the right to payment. Revenue is recognized in advance of billing to the customer in these circumstances as billing is typically performed at the time of shipment to the customer. The unbilled revenue is included in contract assets on the condensed consolidated statements of financial position.
Contract assets by operating segment were as follows:
(Dollars in thousands)March 31, 2023December 31, 2022
Advanced Electronics Solutions37,862 $33,736 
Elastomeric Material Solutions5,409 1,584 
Other3,475 3,533 
Total contract assets46,746 $38,853 
We did not have any contract liabilities as of March 31, 2023 or December 31, 2022. No impairment losses were recognized for the three-month periods ended March 31, 2023 and 2022, respectively, on any receivables or contract assets arising from our contracts with customers.