SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES

12 Months Ended

Dec. 31, 2021

SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES

8. SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES:

Customer Concentration

The Company’s top ten customers accounted for approximately 78%, 62% and 54% of revenues in 2021, 2020 and 2019, respectively. A significant portion of these revenues are attributable to sales of the Company’s products to distributors of electronic components. These distributors sell the Company’s products to a broad, diverse range of end users, including OEMs and merchant power supply manufacturers. Sales to distributors in 2021, 2020 and 2019 were $525.7 million, $367.7 million and $304.6 million, respectively. Direct sales to OEMs and power-supply manufacturers accounted for the remainder.

The following customers represented 10% or more of the Company’s net revenues for the respective years:


	Year Ended December 31,
Customer	2021		2020		2019
Avnet	30	%	19	%	11	%
Honestar Technologies Co., Ltd.	16	%	11	%	*

*Total customer revenue was less than 10% of net revenues.

No other customers accounted for 10% or more of the Company’s net revenues in the periods presented.

Concentration of Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk consisted principally of cash investments and trade receivables. The Company does not have any off-balance-sheet credit exposure related to its customers. As of December 31, 2021 and 2020, 86% and 90% of accounts receivable were concentrated with the Company’s top ten customers, respectively.

The following customers represented 10% or more of accounts receivable:


	December 31,		December 31,
Customer	2021		2020
Avnet	45	%	50	%
Powertech Distribution Ltd.	*	%	10	%

*Total customer accounts receivable was less than 10% of net accounts receivables.

No other customers accounted for 10% or more of the Company’s accounts receivable in the periods presented.

Geographic Net Revenues

The Company markets its products globally through its sales personnel and a worldwide network of independent sales representatives and distributors. Geographic net revenues based on “bill to” customer locations were as follows:


	Year Ended December 31,
(In thousands)	2021		2020		2019
United States of America	$	17,238	$	11,065	$	10,662
Hong Kong/China		446,980		306,938		237,341
Taiwan		25,991		21,650		36,297
Korea		59,501		40,059		30,395
Western Europe (excluding Germany)		35,835		33,564		36,025
Japan		25,101		17,453		15,496
Germany		32,664		23,242		20,197
Other		59,967		34,347		34,256
Total net revenues	$	703,277	$	488,318	$	420,669