SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES

12 Months Ended

Dec. 31, 2023

SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES

SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES

8. SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES:

Customer Concentration

The Company’s top ten customers accounted for approximately 80%, 76% and 78% of revenues in 2023, 2022 and 2021, 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 2023, 2022 and 2021 were $307.4 million, $457.7 million and $525.7 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	2023		2022		2021
Avnet	27	%	31	%	30	%
Honestar Technologies Co., Ltd.	18	%	11	%	16	%
Salcomp Group	10	%	*		*

* 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, 2023 and 2022, 86% and 87% 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	2023		2022
Avnet	39	%	42	%
Honestar Technologies Co., Ltd.	20	%	*
Salcomp Group	10	%	13	%
Flextronics Group	*		11	%

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

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)	2023		2022		2021
United States of America	$	8,676	$	25,500	$	17,238
Hong Kong/China		265,936		356,865		446,980
India		34,558		33,159		25,961
Taiwan		15,774		19,789		25,991
Korea		24,956		52,074		59,501
Western Europe (excluding Germany)		27,819		32,429		35,835
Japan		16,177		34,924		25,101
Germany		23,041		52,876		32,664
Other		27,601		43,522		34,006
Total net revenues	$	444,538	$	651,138	$	703,277