Segment Information & Geographic Data

9 Months Ended

Sep. 26, 2020

Segment Reporting [Abstract]

Segment Information & Geographic Data

Segment Information & Geographic Data

The Company’s operations consist of two reportable segments: Asset Intelligence & Tracking (“AIT”) and Enterprise Visibility & Mobility (“EVM”). The reportable segments have been identified based on the financial data utilized by the Company’s Chief Executive Officer (the chief operating decision maker or “CODM”) to assess segment performance and allocate resources among the Company’s segments. The CODM reviews adjusted operating income to assess segment profitability. To the extent applicable, segment operating income excludes purchase accounting adjustments, amortization of intangible assets, acquisition and integration costs, impairment of goodwill and other intangibles, exit and restructuring costs, and product sourcing diversification costs. Segment assets are not reviewed by the Company’s CODM and therefore are not disclosed below.

Financial information by segment is presented as follows (in millions):

	Three Months Ended				Nine Months Ended
	September 26, 2020		September 28, 2019		September 26, 2020		September 28, 2019
Net sales:
AIT	$	346	$	373	$	992	$	1,100
EVM	788		757		2,150		2,193
Total segment Net sales	1,134		1,130		3,142		3,293
Corporate, eliminations(1)	(2)		—		(2)		—
Total Net sales	$	1,132	$	1,130	$	3,140	$	3,293
Operating income:
AIT(2)	$	79	$	93	$	216	$	269
EVM(2)	120		133		301		347
Total segment operating income	199		226		517		616
Corporate, eliminations(1)	(49)		(41)		(97)		(112)
Total Operating income	$	150	$	185	$	420	$	504

(1)To the extent applicable, amounts included in Corporate, eliminations consist of purchase accounting adjustments, amortization of intangible assets, acquisition and integration costs, impairment of goodwill and other intangibles, exit and restructuring costs, and product sourcing diversification costs.

(2)AIT and EVM segment operating income includes depreciation and share-based compensation expense. The amounts of depreciation and share-based compensation expense attributable to AIT and EVM are proportionate to each segment’s Net sales.

Information regarding the Company’s operations by geographic area is contained in the following table. Net sales amounts are attributed to geographic area based on customer location. We manage our business based on regions rather than by individual countries.

Geographic data for Net sales is as follows (in millions):

	Three Months Ended				Nine Months Ended
	September 26, 2020		September 28, 2019		September 26, 2020		September 28, 2019
North America	$	629	$	591	$	1,650	$	1,641
EMEA	340		346		1,034		1,082
Asia-Pacific	115		133		322		399
Latin America	48		60		134		171
Total Net sales	$	1,132	$	1,130	$	3,140	$	3,293