Segment Information

9 Months Ended

Oct. 26, 2014

Segment Reporting [Abstract]

Segment Information

Segment information

Segment Information

In the second quarter of fiscal year 2015, the Company completed the reassessment of its operations in light of its restructuring efforts (discussed in Note 16). Based on this reassessment, the Company identified four operating segments. The Company’s CEO continues to function as the CODM. The Company’s CODM makes operating decisions and assesses performance based on these operating segments. Three of the operating segments: Protection, Power and High Reliability Products; Signal Integrity Products; and Wireless, Sensing and Timing Products, all have similar economic characteristics and have been aggregated into one reportable segment identified in the table below as the “Semiconductor Products Group”. The Company concluded that the remaining operating segment, the Systems Innovation Group, could not be aggregated with the other operating segments and did not meet the thresholds for a separate reportable segment as defined by the guidance regarding segment disclosure. Therefore the Company has classified it as “All others” in the tables below. Historically, the Company has shown “All others” as part of the Company’s one reportable segment for the three and nine month periods ended October 27, 2013. The reportable segment has been reclassified for comparison purposes for the three and nine month periods ended October 27, 2013. The Company’s assets are commingled among the various reporting units and the CODM does not use that information in making operating decisions or assessing performance. Therefore, the Company has not included asset information by segment below.

Net sales by segment are as follows:

	Three Months Ended				Nine Months Ended
(in thousands)	October 26, 2014		October 27, 2013		October 26, 2014		October 27, 2013
Semiconductor Products Group	$	148,435	$	137,389	$	425,630	$	454,097
All others	455		3,637		1,861		14,346
Total	$	148,890	$	141,026	$	427,491	$	468,443

Income by segment and reconciliation to consolidated operating income:

	Three Months Ended						Nine Months Ended
(in thousands)	October 26, 2014			October 27, 2013			October 26, 2014			October 27, 2013
Semiconductor Products Group	$	39,905		$	29,272		$	106,383		$	110,431
All others	(3,185		)	(885		)	(7,234		)	(539		)
Operating Income by segment	36,720			28,387			99,149			109,892
Items to reconcile segment operating income to consolidated income before taxes
Intangible amortization and impairments	6,423			7,349			19,292			25,016
Stock-based compensation expense	7,935			6,829			21,056			21,610
Inventory write-down	—			—			1,052			—
Restructuring charges	—			—			1,001			—
Other non-segment related expenses	(762		)	606			(261		)	2,042
Amortization of fair value adjustments related to acquired PP&E	314			338			993			3,424
Interest expense, net	1,462			1,818			4,437			16,462
Non-operating (income) expense, net	(216		)	259			407			1,264
Income before taxes	$	21,564		$	11,188		$	51,172		$	40,074

Geographic Information

The Company generates virtually all of its sales from its Semiconductor Products Group through sales of analog and mixed-signal devices.

Net sales activity by geographic region is as follows:

	Three Months Ended				Nine Months Ended
	October 26, 2014		October 27, 2013		October 26, 2014		October 27, 2013
Asia-Pacific	72	%	71	%	74	%	73	%
North America	18	%	16	%	15	%	16	%
Europe	10	%	13	%	11	%	11	%
	100	%	100	%	100	%	100	%

The Company generally attributes sales to a country based on the ship-to address. The table below summarizes sales activity to countries that represented greater than 10% of total net sales for one or more of the periods presented:

	Three Months Ended				Nine Months Ended
(percentage of total sales)	October 26, 2014		October 27, 2013		October 26, 2014		October 27, 2013
China (including Hong Kong)	41	%	36	%	37	%	34	%
United States	10	%	17	%	12	%	16	%
Japan	10	%	10	%	11	%	11	%
South Korea	9	%	10	%	9	%	11	%

Income (loss) from continuing operations before income taxes is as follows:

	Three Months Ended						Nine Months Ended
(in thousands)	October 26, 2014			October 27, 2013			October 26, 2014			October 27, 2013
Domestic	$	(2,858	)	$	(3,746	)	$	(13,997	)	$	(21,991	)
Foreign	24,422			14,934			65,169			62,065
Total	$	21,564		$	11,188		$	51,172		$	40,074