Segment and Geographic Information (Tables)

12 Months Ended

Dec. 31, 2024

Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas

The following table summarizes information about geographic areas (in thousands):


	United States		Europe		Greater China		Other		Total
Year Ended December 31, 2024
Revenue	$	306,766	$	217,880	$	164,147	$	225,722	$	914,515
Long-lived assets	56,948		15,655		14,844		16,025		$	103,472
Year Ended December 31, 2023
Revenue	$	288,324	$	220,665	$	164,115	$	164,443	$	837,547
Long-lived assets	62,946		17,005		17,028		15,958		$	112,937
Year Ended December 31, 2022
Revenue	$	343,835	$	234,643	$	227,447	$	200,165	$	1,006,090
Long-lived assets	66,928		14,725		1,334		3,370		$	86,357

Schedule of Segment Reporting Information, by Segment

The following table summarizes significant segment expenses, which represents the difference between segment revenue and segment net income, (in thousands):


	Year Ended December 31,
	2024		2023		2022
Revenue	$	914,515	$	837,547	$	1,006,090
Less:
Cost of revenue (1)	288,721		236,306		284,185
Gross profit	625,794		601,241		721,905
Less:
Research, development, and engineering expenses
Salaries and fringe benefits	79,544		78,762		76,448
Incentive compensation (2)	4,711		1,446		3,447
Stock-based compensation	14,628		16,480		17,693
Depreciation and amortization	3,229		3,056		2,649
Other segment expenses (3)	37,703		39,656		40,896
Total research, development, and engineering expenses	139,815		139,400		141,133
Selling, general, and administrative expenses
Salaries and fringe benefits	179,898		166,612		150,696
Incentive compensation (2)	45,565		35,513		40,716
Stock-based compensation	35,849		36,309		34,796
Depreciation and amortization	16,936		11,759		10,702
Other segment expenses (3)	92,666		88,946		75,197
Total selling, general, and administrative expenses	370,914		339,139		312,107
Loss (recovery) from fire	—		(8,000)		20,779
Restructuring charges	—		—		1,657
Operating income	115,065		130,702		246,229
Foreign currency gain (loss)	1,531		(10,039)		(1,837)
Investment income	13,971		14,093		6,715
Other income (expense)	922		592		(412)
Income before income tax expense	131,489		135,348		250,695
Income tax expense	25,318		22,114		35,170
Net income	$	106,171	$	113,234	$	215,525

(1) Cost of revenue includes depreciation and amortization expense (including amortization of acquired technologies) of $12,524,000, $7,065,000, and $6,270,000 for 2024, 2023, and 2022, respectively.

(2) Incentive compensation includes company bonus and sales commissions.

(3) Other segment expenses include outside services, prototyping materials, sales demonstration equipment, travel and entertainment, marketing programs, and rent, among other less significant expenses.