Segment Information

9 Months Ended

Oct. 02, 2022

Segment Reporting [Abstract]

Segment Information

9. SEGMENT INFORMATION

We have two reportable segments, Core Illumina and GRAIL. We report segment information based on the management approach, which designates the internal reporting used by the Chief Operating Decision Maker (CODM) for making decisions and assessing performance as the source of our reportable segments. The CODM allocates resources and assesses the performance of each operating segment using information about its revenue and income (loss) from operations. We do not allocate expenses between segments. Core Illumina sells products and provides services to GRAIL, and vice versa, in accordance with contractual agreements between the entities.

Core Illumina:

Core Illumina’s products and services serve customers in the research, clinical and applied markets, and enable the adoption of a variety of genomic solutions. Core Illumina includes all of our operations, excluding the results of GRAIL.

GRAIL:

GRAIL is a healthcare company focused on early detection of multiple cancers. We acquired GRAIL on August 18, 2021. We have included the financial results of GRAIL in our condensed consolidated financial statements from the date of acquisition.

In millions	Q3 2022		Q3 2021		YTD 2022		YTD 2021
Revenue:
Core Illumina	$	1,110	$	1,106	$	3,487	$	3,325
GRAIL	10		2		32		2
Eliminations	(5)		—		(18)		—
Consolidated revenue	$	1,115	$	1,108	$	3,501	$	3,327
Income (loss) from operations:
Core Illumina	$	445	$	205	$	411	$	586
GRAIL	(4,101)		(750)		(4,460)		(750)
Eliminations	(1)		—		(3)		—
Consolidated loss from operations	$	(3,657)	$	(545)	$	(4,052)	$	(164)

Total other (expense) income, net relates primarily to Core Illumina, and we do not allocate income taxes to our segments.

In millions	October 2, 2022		January 2, 2022
Total assets:
Core Illumina	$	5,626	$	5,571
GRAIL	5,637		9,649
Eliminations	(7)		(3)
Consolidated total assets	$	11,256	$	15,217