Segment Information

9 Months Ended

Sep. 30, 2019

SEGMENT INFORMATION Citrix has one reportable segment. The Company's chief operating decision maker (“CODM”) reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. The Company's CEO is the CODM.Revenues by Product Grouping

Revenues by product grouping were as follows (in thousands):



	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2018		2019		2018
Net revenues:
Digital Workspace revenues⁽¹⁾	$	512,838	$	508,706	$	1,562,508	$	1,467,087
Networking revenues⁽²⁾	188,191		195,421		537,628		611,386
Professional services⁽³⁾	31,872		28,349		100,605		93,560
Total net revenues	$	732,901	$	732,476	$	2,200,741	$	2,172,033


(1)	Digital Workspace revenues are primarily comprised of sales from the Company’s application virtualization solutions, which include Citrix Virtual Apps and Desktops, the Company's unified endpoint management solutions, which include Citrix Endpoint Management, related license updates and maintenance and support, Citrix Content Collaboration and cloud offerings.


(2)	Networking revenues primarily include Citrix ADC and Citrix SD-WAN, related license updates and maintenance and support and cloud offerings.

(3)

Professional services revenues are primarily comprised of revenues from consulting services and product training and certification services.

Revenues by Geographic Location

The following table presents revenues by geographic location, for the following periods (in thousands):



	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2018		2019		2018
Net revenues:
Americas	$	418,301	$	432,689	$	1,251,729	$	1,276,873
EMEA	236,081		228,236		713,282		676,942
APJ	78,519		71,551		235,730		218,218
Total net revenues	$	732,901	$	732,476	$	2,200,741	$	2,172,033

As of September 30, 2019, one distributor, the Arrow Group, accounted for 14% of the Company's total gross accounts receivable.

Strategic Service Providers

The Company defines Strategic Service Providers (SSP) as its three historically largest hyperscale Networking customers. The following table summarizes SSP revenue for the following periods (in thousands):



	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2018		2019		2018
Net revenues:
SSP revenue	$	38,475	$	34,685	$	84,307	$	136,168
Non-SSP revenue	694,426		697,791		2,116,434		2,035,865
Total net revenues	$	732,901	$	732,476	$	2,200,741	$	2,172,033

Subscription Revenue

Subscription revenue relates to fees which are generally recognized ratably over the contractual term. The Company's subscription revenue includes Software as a Service (SaaS), which primarily consists of subscriptions delivered via a cloud hosted service whereby the customer does not take possession of the software and hybrid subscription offerings; and non-SaaS, which consists primarily of on-premise licensing, hybrid subscription offerings, CSP services and the related support. The Company's hybrid subscription offerings are allocated between SaaS and non-SaaS, which are generally recognized at a point in time. The following table presents subscription revenues by SaaS and non-SaaS components, for the following periods (in thousands):



	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2018		2019		2018
Subscription:
SaaS	$	100,857	$	70,768	$	277,512	$	195,527
Non-SaaS	59,016		40,771		179,800		129,966
Total Subscription revenue	$	159,873	$	111,539	$	457,312	$	325,493