REVENUE

6 Months Ended

Dec. 24, 2023

Revenue from Contract with Customer [Abstract]

REVENUE

REVENUE

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				Six Months Ended
	December 24, 2023		December 25, 2022		December 24, 2023		December 25, 2022
	(In thousands)
Systems revenue	$	2,299,286	$	3,547,518	$	4,355,941	$	6,729,505
Customer support-related revenue and other	1,458,973		1,730,051		2,884,380		3,622,185
	$	3,758,259	$	5,277,569	$	7,240,321	$	10,351,690

Systems 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				Six Months Ended
	December 24, 2023		December 25, 2022		December 24, 2023		December 25, 2022
	(In thousands)
China	$	1,493,395	$	1,263,507	$	3,180,706	$	2,793,982
Korea	711,951		1,077,052		1,259,896		1,932,430
Japan	512,845		575,945		837,365		1,034,638
Taiwan	499,883		991,173		742,373		2,112,119
United States	218,789		503,238		501,013		808,215
Europe	175,767		337,818		414,236		600,406
Southeast Asia	145,629		528,836		304,732		1,069,900
	$	3,758,259	$	5,277,569	$	7,240,321	$	10,351,690

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				Six Months Ended
	December 24, 2023		December 25, 2022		December 24, 2023		December 25, 2022
Memory	48	%	50	%	43	%	50	%
Foundry	38	%	31	%	37	%	33	%
Logic/integrated device manufacturing	14	%	19	%	20	%	17	%

Deferred Revenue

Revenue of $364.1 million and $925.8 million included in deferred profit at June 25, 2023 was recognized during the three and six months ended December 24, 2023, representing 20% and 50%, respectively, of the $1,837.9 million of deferred revenue as of June 25, 2023.

The following table summarizes the transaction price for contracts that have not yet been recognized as revenue as of December 24, 2023 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	$	1,593,577	$	289,311	(1)	$	45,156	(1)	$	1,928,044

(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.