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Segment Information
9 Months Ended
Jul. 30, 2016
Segment Reporting [Abstract]  
Segment Information
Segment Information
In the first quarter of fiscal 2016, the Company implemented an organizational change designed to accelerate the Company's capability as a solutions provider to the rapidly evolving market for applications referred to as the Internet of Things. As a result of this organizational change, the Company re-evaluated its reporting structure and concluded that the Company continues to operate in one reportable segment based on the aggregation of seven operating segments. The Company designs, develops, manufactures and markets a broad range of integrated circuits (ICs). The Chief Executive Officer has been identified as the Company's Chief Operating Decision Maker. The Company has determined that all of the Company's operating segments share the following similar economic characteristics, and therefore meet the criteria established for operating segments to be aggregated into one reportable segment, namely:
The primary source of revenue for each operating segment is the sale of ICs.
The ICs sold by each of the Company's operating segments are manufactured using similar semiconductor manufacturing processes and raw materials in either the Company’s own production facilities or by third-party wafer fabricators using proprietary processes.
The Company sells its products to tens of thousands of customers worldwide. Many of these customers use products spanning all operating segments in a wide range of applications.
The ICs marketed by each of the Company's operating segments are sold globally through a direct sales force, third-party distributors, independent sales representatives and via the Company's website to the same types of customers.
All of the Company's operating segments share a similar long-term financial model as they have similar economic characteristics. The causes for variation in operating and financial performance are the same among the Company's operating segments and include factors such as (i) life cycle and price and cost fluctuations, (ii) number of competitors, (iii) product differentiation and (iv) size of market opportunity. Additionally, each operating segment is subject to the overall cyclical nature of the semiconductor industry. Lastly, the number and composition of employees and the amounts and types of tools and materials required for production of products are similar for each operating segment.
Revenue Trends by End Market
The following table summarizes revenue by end market. The categorization of revenue by end market is determined using a variety of data points including the technical characteristics of the product, the “sold to” customer information, the “ship to” customer information and the end customer product or application into which the Company’s product will be incorporated. As data systems for capturing and tracking this data evolve and improve, the categorization of products by end market can vary over time. When this occurs, the Company reclassifies revenue by end market for prior periods. Such reclassifications typically do not materially change the sizing of, or the underlying trends of results within, each end market.
 
Three Months Ended
 
July 30, 2016
 
August 1, 2015
 
Revenue
 
% of
Revenue*
 
Y/Y%
 
Revenue
 
% of
Revenue
Industrial
$
374,735

 
43
%
 
(3
)%
 
$
384,473

 
45
%
Automotive
134,617

 
15
%
 
3
 %
 
130,228

 
15
%
Consumer
186,101

 
21
%
 
(10
)%
 
206,656

 
24
%
Communications
174,138

 
20
%
 
23
 %
 
142,008

 
16
%
Total revenue
$
869,591

 
100
%
 
1
 %
 
$
863,365

 
100
%

____________
* The sum of the individual percentages does not equal the total due to rounding.

 
Nine Months Ended
 
July 30, 2016
 
August 1, 2015
 
Revenue
 
% of
Revenue
 
Y/Y%
 
Revenue
 
% of
Revenue
Industrial
$
1,107,853

 
46
%
 
(2
)%
 
$
1,128,116

 
46
%
Automotive
399,129

 
17
%
 
1
 %
 
393,696

 
16
%
Consumer
393,518

 
16
%
 
(5
)%
 
412,102

 
17
%
Communications
517,286

 
21
%
 
(1
)%
 
522,456

 
21
%
Total revenue
$
2,417,786

 
100
%
 
(2
)%
 
$
2,456,370

 
100
%


Revenue Trends by Geographic Region
Revenue by geographic region, based on the primary location of the Company's customers’ design activity for its products, for the three- and nine-month periods ended July 30, 2016 and August 1, 2015 were as follows:
 
Three Months Ended
 
Nine Months Ended
Region
July 30, 2016
 
August 1, 2015
 
July 30, 2016
 
August 1, 2015
United States
$
334,455

 
$
359,682

 
$
846,407

 
$
870,522

Rest of North and South America
22,677

 
20,186

 
64,812

 
65,546

Europe
232,324

 
221,270

 
694,200

 
711,253

Japan
73,753

 
80,489

 
213,938

 
245,395

China
146,069

 
126,188

 
425,732

 
383,356

Rest of Asia
60,313

 
55,550

 
172,697

 
180,298

Total revenue
$
869,591

 
$
863,365

 
$
2,417,786

 
$
2,456,370

In the three- and nine-month periods ended July 30, 2016 and August 1, 2015, the predominant country comprising “Rest of North and South America” is Canada; the predominant countries comprising “Europe” are Germany, Sweden, France and the United Kingdom; and the predominant countries comprising “Rest of Asia” are South Korea and Taiwan.