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Segment Information
 3 Months Ended
Mar. 30, 2024
Segment Reporting [Abstract]  
Segment Information Segment Information
 
The Company and its subsidiaries design, manufacture and sell component, modules and subassemblies to empower the long-term structural themes of sustainability, connectivity and safety. The Company reports its operations by the following segments: Electronics, Transportation, and Industrial. An operating segment is defined as a component of an enterprise that engages in business activities from which it may earn revenues and incur expenses, and about which separate financial information is regularly evaluated by the Chief Operating Decision Maker (“CODM”) in deciding how to allocate resources. The CODM is the Company’s President and Chief Executive Officer (“CEO”). The CODM allocates resources to and assesses the performance of each operating segment using information about its revenue and operating income (loss) before interest and taxes, but does not evaluate the operating segments using discrete balance sheet information.

Sales, marketing, and research and development expenses are charged directly into each operating segment. Purchasing, logistics, customer service, finance, information technology, and human resources are shared functions that are allocated back to the three operating segments. The Company does not report inter-segment revenue because the operating segments do not record it. Certain expenses, determined by the CODM to be strategic in nature and not directly related to segments current results, are not allocated but identified as “Other”. Additionally, the Company does not allocate interest and other income, interest expense, or taxes to operating segments. These costs are not allocated to the segments, as management excludes such costs when assessing the performance of the segments. Although the CODM uses operating income (loss) to evaluate the segments, operating costs included in one segment may benefit other segments. Except as discussed above, the accounting policies for segment reporting are the same as for the Company as a whole.
•Electronics Segment: Consists of one of the broadest product offerings in the industry, including fuses and fuse accessories, positive temperature coefficient (“PTC”) resettable fuses, electromechanical switches and interconnect solutions, polymer electrostatic discharge (“ESD”) suppressors, varistors, reed switch based magnetic sensing, gas discharge tubes; semiconductor products such as discrete transient voltage suppressor (“TVS”) diodes, TVS diode arrays, protection and switching thyristors, silicon and silicon carbide metal-oxide-semiconductor field effect transistors (“MOSFETs”) and diodes; and insulated gate bipolar transistors (“IGBT”) technologies. The segment covers a broad range of end markets, including industrial motor drives and power conversion, automotive electronics, electric vehicle and related charging infrastructure, aerospace, power supplies, data centers and telecommunications, medical devices, alternative energy and energy storage, building and home automation, appliances, and mobile electronics.

•Transportation Segment: Consists of a wide range of circuit protection, power control and sensing technologies for global original equipment manufacturers (“OEMs”), Tier-one suppliers and parts and aftermarket distributors in passenger vehicle, heavy-duty truck and bus, off-road and recreational vehicles, material handling equipment, agricultural machinery, construction equipment and other commercial vehicle end markets. Passenger vehicle products are used in internal combustion engine, hybrid and electric vehicles including blade fuses, battery cable protectors, resettable fuses, high-current fuses, high-voltage fuses, and sensor products designed to monitor the occupant’s safety and environment as well as the vehicle’s powertrain. Commercial vehicle products include fuses, switches, circuit breakers, relays, and power distribution modules and units used in applications serving a number of end markets, including heavy-duty truck and bus, construction, agriculture, material handling and marine.

•Industrial Segment: Consists of industrial circuit protection (industrial fuses), industrial controls (protection relays, contactors, transformers, residual current devices, ground fault circuit interrupters, residual current monitors, and arc fault detection devices) and temperature sensors for use in various applications such as renewable energy and energy storage systems, industrial safety, factory automation, electric vehicle infrastructure, HVAC systems, non-residential construction, MRO, and mining.
 
Segment information is summarized as follows: 
 Three Months Ended
(in thousands)March 30, 2024April 1, 2023
Net sales  
Electronics$291,105 $358,593 
Transportation170,367 166,641 
Industrial73,913 84,548 
Total net sales$535,385 $609,782 
Depreciation and amortization
Electronics$19,841 $19,788 
Transportation8,631 11,291 
Industrial4,021 3,403 
Total depreciation and amortization$32,493 $34,482 
Operating income (loss)
Electronics$37,803 $90,162 
Transportation16,206 8,532 
Industrial4,796 17,141 
Other (a)
(3,853)(5,194)
Total operating income54,952 110,641 
Interest expense9,611 9,646 
Foreign exchange gain(5,042)(1,675)
Other income, net(5,321)(6,233)
Income before income taxes$55,704 $108,903 
 
(a) Included in “Other” Operating income for the first quarter of 2024 was $2.3 million of restructuring charges primarily related to employee termination costs and a $0.9 million impairment charge related to certain machinery and equipment in the commercial vehicle business within the Transportation segment. See Note 7, Restructuring, Impairment, and Other Charges, for further discussion. In addition, during the first quarter of 2024, the Company recognized $0.9 million of legal and professional fees and other integration expenses related to completed and contemplated acquisitions, partially offset by a gain of $0.3 million recorded for the sale of a building in the commercial vehicle business within the Transportation segment.

Included in “Other” Operating income for the first quarter of 2023 was $3.3 million of legal and professional fees and other integration expenses related to completed acquisitions, and $1.9 million of restructuring, impairment and other charges, primarily related to employee termination costs. See Note 7, Restructuring, Impairment, and Other Charges, for further discussion.

The Company’s net sales by country were as follows, classified according to the country where the customer is located: 
 Three Months Ended
(in thousands)March 30, 2024April 1, 2023
Net sales
United States$190,433 $212,195 
China115,169 133,467 
Other countries (a)
229,783 264,120 
Total net sales$535,385 $609,782 
 
The Company’s long-lived assets represent Net property, plant, and equipment, and are classified according to the country where the asset is located were as follows:
 
(in thousands)March 30, 2024December 30, 2023
Long-lived assets
United States$67,614 $73,126 
China135,255 139,736 
Mexico100,830 102,218 
Germany48,084 47,217 
Philippines71,327 73,217 
Other countries 56,325 57,639 
Total long-lived assets$479,435 $493,153 
 
The Company’s additions to long-lived assets by country were as follows:
 Three Months Ended
(in thousands)March 30, 2024April 1, 2023
Additions to long-lived assets
United States$4,806 $4,091 
China2,408 8,403 
Mexico2,330 3,744 
Germany3,230 1,234 
Philippines1,338 1,398 
Other countries 2,212 2,593 
Total additions to long-lived assets$16,324 $21,463 

(a)Each country included in other countries is less than 10% of net sales.