Reportable Segments

6 Months Ended

Jun. 28, 2019

12. Reportable Segments

In the first quarter of 2019, the Company elected to reorganize its organizational and reporting structure to capture efficiencies and operating leverage from our recent acquisitions. The Company now operates and reports results for two operating segments: Semiconductor Products and Solutions (“SPS”) and Semiconductor Services Business (“SSB”). These segments are organized primarily by the nature of the products and service they provide. The Company’s Chief Executive Officer (chief operating decision maker) views and evaluates operations based on the results of each of the reportable segments. The following table describes each segment:

Segment

Product or Services

Markets Served

Geographic Areas

SPS

Assembly

Weldments

Machining

Fabrication

Semiconductor

United States

Asia

Europe

SSB

Cleaning

Analytics

Semiconductor

United States

Asia

Europe

The Company uses segment profit or loss as the primary measure of profitability to evaluate operating performance and to allocate capital resources. Segment profit or loss is defined as a segment’s income or loss from continuing operations before other income and income taxes included in the accompanying consolidated condensed statements of operations.

Any intercompany sales and associated profit (and any other intercompany items) are eliminated from segment results. There were no significant intercompany eliminations for the periods presented.

Segment Data

	Three Months Ended				Six Months Ended
	June 28,		June 29,		June 28,		June 29,
	2019		2018		2019		2018
Revenues:
SPS	$	210,390	$	290,213	$	410,635	$	605,055
SSB		54,977		—		114,873		—
Total segment revenues	$	265,367	$	290,213	$	525,508	$	605,055

Gross profit:
SPS	$	29,317	$	46,065	$	54,998	$	94,869
SSB		18,852		—		37,968		—
Total segment gross profit	$	48,169	$	46,065	$	92,966	$	94,869

Operating profit:
SPS	$	6,368	$	22,664	$	10,692	$	49,572
SSB		2,603		—		6,459		—
Total segment operating profit	$	8,971	$	22,664	$	17,151	$	49,572

					June 28,		December 28,
					2019		2018
Assets
SPS					$	819,970	$	802,715
SSB						188,988		162,762
Total segment assets					$	1,008,958	$	965,477

At June 28, 2019, approximately $80.4 million and $3.3 million of the Company’s net long-lived assets were located in Asia and Europe, respectively, and the remaining balances were located in the United States. At June 29, 2018, approximately $10.0 million and $1.5 million of the Company’s net long-lived assets were located in Asia and the Czech Republic, respectively, and the remaining balances were located in the United States.