SEGMENT INFORMATION

12 Months Ended

Dec. 30, 2023

SEGMENT INFORMATION

SEGMENT INFORMATION

NOTE 12  SEGMENT INFORMATION

An operating segment is defined as a component of an enterprise for which discrete financial information is available and is reviewed regularly by the Chief Operating Decision Maker (“CODM”), or decision- making group, to evaluate performance and make operating decisions. The Company has identified its CODM as the Chief Executive Officer (“CEO”).

The Company’s organizational structure and management reporting supports two operating segments: Mobileye and Moovit. The CODM evaluates performance, makes operating decisions and allocates resources based on the financial data of these operating segments. Operating segments do not record inter-segment revenue. Mobileye is the Company’s only reportable operating segment and Moovit is presented within “Other” as per ASC 280, Segment Reporting.

Segment performance is the operating income reported excluding the amortization of acquisition-related intangible assets. The CODM uses segment performance to allocate resources (including employees and financial resources) to segments in the annual budget and forecasting process and also uses that measure to assess the segment performance. The measure of assets has not been disclosed for each segment as it is not regularly reviewed by the CODM.

The accounting policies of the individual segments are the same as those described in the Significant Accounting Policies in Note 2.

The following is segment results for each year:

	Year ended December 30, 2023
					Amounts not
					allocated to
U.S. dollars in millions	Mobileye		Other		segments		Consolidated
Revenues	$	2,045	$	34	$	—	$	2,079
Cost of revenues		620		6		406		1,032
Research and development, net		848		41		—		889
Sales and marketing		38		12		68		118
General and administrative		62		11		—		73
Segment performance	$	477	$	(36)	$	(474)	$	(33)
Interest income (expense) with related party, net								—
Other financial income (expense), net								49
Income (loss) before taxes on income								16
Share-based compensation		233		19		—		252
Depreciation of property and equipment		39		—		—		39

	Year ended December 31, 2022
					Amounts not
					allocated to
U.S. dollars in millions	Mobileye		Other		segments		Consolidated
Revenues	$	1,843	$	26	$	—	$	1,869
Cost of revenues		473		5		469		947
Research and development, net		747		42		—		789
Sales and marketing		34		11		75		120
General and administrative		34		12		4		50
Segment performance	$	555	$	(44)	$	(548)	$	(37)
Interest income (expense) with related party, net								(6)
Other financial income (expense), net								11
Income (loss) before taxes on income								(32)
Share-based compensation		158		16		—		174
Depreciation of property and equipment		23		—		—		23

	Year ended December 25, 2021
					Amounts not
					allocated to
U.S. dollars in millions	Mobileye		Other		segments		Consolidated
Revenues	$	1,363	$	23	$	—	$	1,386
Cost of revenues		308		4		419		731
Research and development, net		505		39		—		544
Sales and marketing		30		14		90		134
General and administrative		21		13		—		34
Segment performance	$	499	$	(47)	$	(509)	$	(57)
Interest income (expense) with related party, net								3
Other financial income (expense), net								(3)
Income (loss) before taxes on income								(57)
Share-based compensation		85		12		—		97
Depreciation of property and equipment		17		—		—		17

Total revenues based on the country that the product was shipped to were as follows:

	Year ended
	December 30,		December 31,		December 25,
U.S. dollars in millions	2023		2022		2021
China		640		551		270
USA		437		472		363
Germany		353		268		263
South Korea		164		115		107
United Kingdom		150		221		198
Poland		97		69		24
Hungary		94		87		66
Czech Republic		50		8		—
Singapore		21		25		42
Rest of World		73		53		53
Total	$	2,079	$	1,869	$	1,386

We generate the majority of our revenue from the sale of our EyeQ^TM SoCs to OEMs through sales to Tier 1 automotive suppliers. EyeQ^TM SoC sales represented approximately 89%, 89%, and 94% of our revenue for each of the years ended December 30, 2023, December 31, 2022 and December 25, 2021, respectively.

Major Customers

Revenue from major customers that amount to 10% or more of total revenue:

	Year ended
	December 30,		December 31,		December 25,
	2023		2022		2021
Percent of total revenues
Customer A	30	%	38	%	35	%
Customer B	24	%	18	%	19	%
Customer C	14	%	15	%	17	%

Accounts receivable balances of major customers that amount to 10% or more of total accounts receivable balance:

	As of
	December 30,		December 31,
	2023		2022
Percent of total accounts receivables balance
Customer A	44	%	32	%
Customer B	10	%	19	%
Customer C	22	%	25	%