Reporting Segment And Geographic Information

12 Months Ended

Jan. 03, 2014

Segment Reporting, Measurement Disclosures [Abstract]

Reporting Segment And Geographic Information

REPORTING SEGMENT AND GEOGRAPHIC INFORMATION

Trimble is a designer and distributor of positioning products and applications enabled by GPS, optical, laser, and wireless communications technology. The Company provides products for diverse applications in its targeted markets.

To achieve distribution, marketing, production, and technology advantages, the Company manages its operations in the following four segments:

• Engineering and Construction - Consists of hardware and software solutions for a variety of applications including:  survey, heavy civil and building construction; infrastructure, geospatial, railway, mining and utilities.

• Field Solutions - Consists of hardware and software solutions for applications including agriculture, mapping and geographic information systems (GIS), utilities, and energy distribution.

• Mobile Solutions - Consists of hardware and software solutions that enable end-users to monitor and manage their mobile work, mobile workers and mobile assets.

• Advanced Devices - The various operations that comprise this segment are aggregated on the basis that these operations, taken as a whole, do not exceed 10% of the Company's total revenue, operating income and assets. This segment is comprised of the Embedded Technologies and Timing, Military and Advanced Systems, Applanix, Trimble Outdoors, and ThingMagic businesses.

The Company’s Chief Operating Decision Maker (CODM), its Chief Executive Officer, evaluates each of its segment’s performance and allocates resources based on segment operating income before income taxes and some corporate allocations. The Company and each of its segments employ consistent accounting policies. In each of its segments the Company sells many individual products. For this reason it is impracticable to segregate and identify revenue for each of these individual products or group of products.

The following table presents revenue, operating income, depreciation expense and identifiable assets for the four segments. Operating income is revenue less cost of sales and operating expense, excluding general corporate expense, amortization of purchased intangible assets, amortization of acquisition-related inventory step-up, acquisition costs and restructuring costs. The identifiable assets that CODM views by segment are accounts receivable, inventories and goodwill.

Fiscal Years	2013		2012		2011
(in thousands)
Engineering & Construction
Revenue	$	1,222,040	$	1,089,424	$	906,497
Operating income	251,258		207,174		149,015
Depreciation expense	12,022		10,563		9,581
Field Solutions
Revenue	$	473,891	$	481,962	$	413,721
Operating income	173,114		182,134		160,139
Depreciation expense	633		555		595
Mobile Solutions
Revenue	$	465,138	$	348,147	$	218,540
Operating income	63,961		32,459		4,461
Depreciation expense	4,579		3,679		2,154
Advanced Devices
Revenue	$	127,055	$	120,580	$	105,307
Operating income	26,577		19,166		13,891
Depreciation expense	787		880		901
Total
Revenue	$	2,288,124	$	2,040,113	$	1,644,065
Operating income	514,910		440,933		327,506
Depreciation expense	18,021		15,677		13,231

At the End of Fiscal Year	2013		2012		2011
(in thousands)
Engineering & Construction
Accounts receivable	$	185,634	$	171,580	$	160,218
Inventories	171,863		148,241		128,433
Goodwill	1,080,240		958,103		697,237
Field Solutions
Accounts receivable	$	62,859	$	71,465	$	63,542
Inventories	39,554		44,738		51,756
Goodwill	88,651		68,684		68,268
Mobile Solutions
Accounts receivable	$	70,174	$	59,720	$	36,465
Inventories	27,664		30,598		31,262
Goodwill	796,094		763,386		508,260
Advanced Devices
Accounts receivable	$	19,265	$	20,712	$	14,976
Inventories	15,230		16,952		20,612
Goodwill	24,485		25,526		23,927
Total
Accounts receivable	$	337,932	$	323,477	$	275,201
Inventories	254,311		240,529		232,063
Goodwill	1,989,470		1,815,699		1,297,692

A reconciliation of the Company’s consolidated segment operating income to consolidated income before income taxes is as follows:

Fiscal Years	2013			2012			2011
(in thousands)
Consolidated segment operating income	$	514,910		$	440,933		$	327,506
Unallocated corporate expense	(86,788		)	(82,203		)	(70,310		)
Acquisition costs	(13,544		)	(20,455		)	(14,892		)
Amortization of purchased intangible assets	(162,841		)	(125,707		)	(85,902		)
Consolidated operating income	251,737			212,568			156,402
Non-operating income, net	1,127			16,856			11,052
Consolidated income before taxes	$	252,864		$	229,424		$	167,454

Unallocated corporate expense includes general corporate expense, amortization of acquisition-related inventory step-up and restructuring cost. The geographic distribution of Trimble’s revenue and long-lived assets is summarized in the tables below. Other non-US geographies include Canada, and countries in South and Central America, the Middle East, and Africa. Revenue is defined as revenue from external customers.

Fiscal Years	2013		2012		2011
(in thousands)
Revenue (1):
United States	$	1,131,230	$	962,865	$	733,171
Europe	535,559		456,472		402,548
Asia Pacific	317,237		320,131		251,234
Other non-US countries	304,098		300,645		257,112
Total consolidated revenue	$	2,288,124	$	2,040,113	$	1,644,065

(1) Revenue is attributed to countries based on the location of the customer.

No single customer or country other than the United States accounted for 10% or more of Trimble’s total revenue in fiscal years 2013, 2012, and 2011.

Property and equipment, net by geographic area was as follows:

At the End of Fiscal Year	2013		2012
(in thousands)
Property and equipment, net:
United States	$	112,034	$	70,838
Europe	20,159		17,550
Asia Pacific and other non-US countries	10,782		8,502
Total property and equipment, net	$	142,975	$	96,890