The Company is a global provider of instruments, systems, subsystems and process control solutions that measure, monitor, deliver, analyze, power and control critical parameters of advanced manufacturing processes to improve process performance and productivity for its customers. The Company’s products are derived from its core competencies in pressure measurement and control, flow measurement and control, gas and vapor delivery, gas composition analysis, electronic control technology, reactive gas generation and delivery, power generation and delivery, vacuum technology, lasers, photonics, optics, precision motion control, vibration control and laser-based manufacturing systems solutions. The Company also provides services relating to the maintenance and repair of its products, installation services and training. The Company’s primary served markets include semiconductor, industrial technologies, life and health sciences, research and defense.

The Company’s Chief Operating Decision Maker (“CODM”) utilizes financial information to make decisions about allocating resources and assessing performance for the entire Company, which is used in the decision making process to assess performance. Effective February 1, 2019, in conjunction with its acquisition of ESI, the Company created a third reportable segment known as the Equipment & Solutions segment in addition to its two then-existing reportable segments: the Vacuum & Analysis segment and the Light & Motion segment.

The Vacuum & Analysis segment provides a broad range of instruments, components and subsystems which are derived from the Company’s core competencies in pressure measurement and control, flow measurement and control, gas and vapor delivery, gas composition analysis, electronic control technology, reactive gas generation and delivery, power generation and delivery and vacuum technology.

The Light & Motion segment provides a broad range of instruments, components and subsystems which are derived from the Company’s core competencies in lasers, photonics, optics, precision motion control and vibration control.

The Equipment & Solutions segment provides laser-based manufacturing systems solutions for the micro-machining industry that enable customers to optimize production. The Equipment & Solutions segment’s primary served markets include flexible and rigid PCB processing/fabrication, semiconductor wafer processing, and passive component manufacturing and testing. The Equipment & Solutions segment’s systems incorporate specialized laser technology and proprietary control software to efficiently process the materials and components that are an integral part of electronic devices and systems.

The Company derives its segment results directly from the manner in which results are reported in its management reporting system. The accounting policies that the Company uses to derive reportable segment results are substantially the same as those used for external reporting purposes. The Company does not disclose external or intersegment revenues separately by reportable segment as this information is not presented to the CODM for decision making purposes.

	Three Months Ended March 31,
	2020		2019
Vacuum & Analysis	$	319.3	$	234.4
Light & Motion		165.4		194.0
Equipment & Solutions		51.0		35.2
	$	535.7	$	463.6

The following table sets forth a reconciliation of segment gross profit to consolidated net income:

	Three Months Ended March 31,
	2020		2019
Gross profit by reportable segment:
Vacuum & Analysis	$	140.8	$	98.1
Light & Motion		75.6		92.9
Equipment & Solutions		23.2		7.1
Total gross profit by reportable segment		239.6		198.1
Operating expenses:
Research and development		42.4		38.9
Selling, general and administrative		87.2		82.5
Acquisition and integration costs		2.2		30.2
Restructuring and other		0.4		1.9
Fees and expenses related to repricing of Term Loan Facility		—		5.8
Amortization of intangible assets		16.3		15.7
Asset impairments		1.2		—
Income from operations		89.9		23.1
Interest income		0.7		1.7
Interest expense		8.9		9.1
Other expense, net		0.4		0.3
Income before income taxes		81.3		15.4
Provision for income taxes		12.2		2.9
Net income	$	69.1	$	12.5

The following table sets forth capital expenditures by reportable segment for the three months ended March 31, 2020 and 2019:

	Vacuum & Analysis		Light & Motion		Equipment & Solutions		Total
Three Months Ended March 31, 2020:
Capital expenditures	$	4.1	$	4.0	$	1.9	$	10.0
Three Months Ended March 31, 2019:
Capital expenditures	$	7.5	$	5.1	$	1.9	$	14.5

The following table sets forth depreciation and amortization by reportable segment for the three months ended March 31, 2020 and 2019:

	Vacuum & Analysis		Light & Motion		Equipment & Solutions		Total
Three Months Ended March 31, 2020:
Depreciation and amortization	$	4.9	$	13.4	$	10.1	$	28.4
Three Months Ended March 31, 2019
Depreciation and amortization	$	4.1	$	14.1	$	7.0	$	25.2

Total income tax expense is not presented by reportable segment because the necessary information is not available or used by the CODM.

March 31, 2020:	Vacuum & Analysis		Light & Motion		Equipment & Solutions		Corporate, Eliminations & Other			Total
Segment assets:
Accounts receivable	$	196.1	$	158.6	$	57.7	$	(31.4	)	$	381.0
Inventory, net		227.2		174.5		72.4		0.1			474.2
Total segment assets	$	423.3	$	333.1	$	130.1	$	(31.3	)	$	855.2

December 31, 2019:	Vacuum & Analysis		Light & Motion		Equipment & Solutions		Corporate, Eliminations & Other			Total
Segment assets:
Accounts receivable	$	185.9	$	147.2	$	40.1	$	(32.1	)	$	341.1
Inventory, net		224.8		163.7		73.5		0.1			462.1
Total segment assets	$	410.7	$	310.9	$	113.6	$	(32.0	)	$	803.2

The following is a reconciliation of segment assets to consolidated total assets:

	March 31, 2020		December 31, 2019
Total segment assets	$	855.2	$	803.2
Cash and cash equivalents and short-term investments		503.4		524.0
Other current assets		98.0		106.3
Property, plant and equipment, net		238.2		241.9
Right-of-use asset		127.1		64.5
Goodwill and intangible assets, net		1,604.1		1,623.1
Other assets		48.9		53.3
Consolidated total assets	$	3,474.9	$	3,416.3

Information about the Company’s operations in different geographic regions is presented in the tables below. Net revenues to unaffiliated customers are based on the location in which the sale originated. Transfers between geographic areas are at tax transfer prices and have been eliminated from consolidated net revenues.

	Three Months Ended March 31,
	2020		2019
Net revenues:
United States	$	231.5	$	224.4
South Korea		76.0		35.8
China		49.7		37.8
Japan		39.9		42.1
Germany		34.5		38.1
Other		104.1		85.4
	$	535.7	$	463.6

Long-lived assets:⁽¹⁾	March 31, 2020		December 31, 2019
United States	$	273.3	$	208.3
Europe		37.7		41.4
Asia		84.2		89.6
	$	395.2	$	339.3

Goodwill associated with each of the Company’s reportable segments is as follows:

	March 31, 2020		December 31, 2019
Reportable segment:
Vacuum & Analysis	$	196.1	$	196.7
Light & Motion		387.4		388.5
Equipment & Solutions		472.9		473.3
Total goodwill	$	1,056.4	$	1,058.5

The Company groups its product offerings into three groups based upon the similarity of product function as follows:

	Three Months Ended March 31,
	2020		2019
Advanced Manufacturing Components	$	425.9	$	371.4
Global Service		74.5		66.2
Advanced Manufacturing Systems		35.3		26.0
	$	535.7	$	463.6

Advanced manufacturing components are comprised of product revenues from the Company’s Vacuum & Analysis and Light & Motion segments. Global service is comprised of total service revenues for all three of the Company’s reportable segments. Advanced manufacturing systems is comprised of product revenues for the Company’s Equipment & Solutions segment.

For the three months ended March 31, 2020, the Company had two customers that each accounted for 10% or more of the Company’s total net revenues. Net revenues from Applied Materials, Inc. and LAM Research Corporation constituted 11% and 10% of the Company’s total net revenues for the period, respectively. For the three months ended March 31, 2019, no single customer accounted for 10% or more of the Company’s total net revenues.