REVENUE

3 Months Ended

Sep. 25, 2022

Revenue from Contract with Customer [Abstract]

REVENUE

REVENUE

Deferred Revenue

Revenue of $1,542.5 million included in deferred profit at June 26, 2022 was recognized during the three months ended September 25, 2022.

The following table summarizes the transaction price for contracts that have not yet been recognized as revenue as of September 25, 2022 and when the Company expects to recognize the amounts as revenue:

	Less than 1 Year		1-3 Years			More than 3 Years			Total
	(In thousands)
Deferred revenue	$	2,540,799	$	200,655	(1)	$	13,330	(1)	$	2,754,784

(1)This amount is reported in Deferred profit on the Company's Condensed Consolidated Balance Sheets as the customers can demand the liability to be performed at any time.

Disaggregation of Revenue

The Company operates in one reportable business segment: manufacturing and servicing of wafer processing semiconductor manufacturing equipment. The Company’s material operating segments qualify for aggregation due to their customer base and similarities in economic characteristics, nature of products and services, and processes for procurement, manufacturing, and distribution.

The Company operates in seven geographic regions: United States, China, Europe, Japan, Korea, Southeast Asia, and Taiwan. For geographical reporting, revenue is attributed to the geographic location in which the customers’ facilities are located. The Company serves three primary markets: memory, foundry, and logic/integrated device manufacturing.

The following table presents the Company’s revenues disaggregated between system and its customer support-related revenue:

	Three Months Ended
	September 25, 2022		September 26, 2021
	(In thousands)
System revenue	$	3,181,987	$	2,924,883
Customer support-related revenue and other	1,892,134		1,379,582
	$	5,074,121	$	4,304,465

System revenue includes sales of new leading-edge equipment in deposition, etch and clean markets.

Customer support-related revenue includes sales of customer service, spares, upgrades, and non-leading-edge equipment from the Company’s Reliant product line.

The following table presents the Company’s revenues disaggregated by geographic region:

	Three Months Ended
	September 25, 2022		September 26, 2021
	(In thousands)
China	$	1,530,475	$	1,607,710
Taiwan	1,120,946		638,066
Korea	855,378		918,137
Southeast Asia	541,064		365,248
Japan	458,693		468,731
United States	304,977		228,211
Europe	262,588		78,362
	$	5,074,121	$	4,304,465

The following table presents the percentages of leading- and non-leading-edge equipment and upgrade revenue to each of the primary markets the Company serves:

	Three Months Ended
	September 25, 2022		September 26, 2021
Memory	52	%	64	%
Foundry	34	%	25	%
Logic/integrated device manufacturing	14	%	11	%