Segment Information

6 Months Ended

Sep. 29, 2017

Segment Reporting [Abstract]

Segment Information

Segment Information

We have the following two reporting segments, which are the same as our operating segments:

• Enterprise Security.Our Enterprise Security segment solutions protect organizations so they can securely conduct business while leveraging new platforms and data. Our Enterprise Security segment includes our endpoint protection products, endpoint management, messaging protection products, information protection products, cyber security services, website security and advanced web and cloud security offerings. Our enterprise endpoint, network security and management offerings support evolving endpoints and networks, providing advanced threat protection while helping reduce cost and complexity. These products and solutions are delivered through various methods, such as software, appliance, virtual appliance, Software-as-a-Service (“SaaS”) and managed services.

• Consumer Digital Safety.Our Consumer Digital Safety segment focuses on providing a comprehensive Digital Safety solution to protect information, devices, networks and the identities of consumers. This solution includes our Norton-branded services, which provide multi-layer security across major desktop and mobile operating systems, public Wi-Fi connections, and home networks, to defend against increasingly complex online threats to individuals, families and small businesses, and our LifeLock-branded identity protection services. Our LifeLock-branded identity protection services primarily consist of identifying and notifying users of identity-related and other events and assisting users in remediating their impact. With the addition of LifeLock-branded identity protection services, we are providing a comprehensive digital safety solution designed to protect information across devices, customer identities and the connected home and family and accelerating our leadership in Consumer Digital Safety to protect all aspects of consumers’ digital lives.

Operating segments are based upon the nature of our business and how our business is managed. Our Chief Operating Decision Makers (“CODM”), comprised of our Chief Executive Officer (“CEO”) and Chief Financial Officer (“CFO”), use our operating segment financial information to evaluate segment performance and to allocate resources.

There were no inter-segment sales for the periods presented. The following table summarizes the operating results of our reporting segments:

	Three Months Ended				Six Months Ended
(In millions)	September 29, 2017		September 30, 2016		September 29, 2017		September 30, 2016
Total Segments:
Net revenues	$	1,240	$	979	$	2,415	$	1,863
Operating income	$	399	$	249	$	723	$	502
Enterprise Security:
Net revenues	$	686	$	574	$	1,332	$	1,055
Operating income	$	147	$	25	$	241	$	53
Consumer Digital Safety:
Net revenues	$	554	$	405	$	1,083	$	808
Operating income	$	252	$	224	$	482	$	449

We do not allocate to our operating segments certain operating expenses that we manage separately at the corporate level and are not used in evaluating the results of, or in allocating resources to, our segments. These unallocated expenses consist of stock-based compensation expense; amortization of intangible assets; restructuring, transition and other charges; and acquisition and integration costs.

The following table provides a reconciliation of our total reportable segments’ operating income to our total operating income (loss):

	Three Months Ended						Six Months Ended
(In millions)	September 29, 2017			September 30, 2016			September 29, 2017			September 30, 2016
Total segment operating income	$	399		$	249		$	723		$	502
Reconciling items:
Stock-based compensation expense	176			85			323			134
Amortization of intangible assets	116			69			230			89
Restructuring, transition and other	97			64			185			134
Acquisition and integration costs	19			43			38			51
Total consolidated operating income (loss) from continuing operations	$	(9	)	$	(12	)	$	(53	)	$	94