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Segment Information
 6 Months Ended
Dec. 31, 2011
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
Segment Information
The Company discloses certain information regarding operating segments, products and services, geographic areas of operation and major customers. This reporting is based upon the “management approach”: how management organizes the Company’s operating segments for which separate financial information is (i) available and (ii) evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. Adept’s chief operating decision maker is its Chief Executive Officer, or CEO.
Adept’s business is focused towards delivering intelligent flexible production automation products, components and services for assembly, packaging, material handling and lab automation applications under two operating segments: Robotics and Services and Support.
•
The Robotics segment provides intelligent motion control systems, production automation software, including vision-guidance and application software, and robot mechanisms, including robots with autonomous capabilities, to customers.
•
The Services and Support segment provides support services to customers including: spare parts for, and/or remanufacture of, robot mechanisms; information regarding the use of the Company’s automation equipment; ongoing support of installed systems; consulting services for applications; and training courses ranging from system operation and maintenance to advanced programming, geared towards manufacturing engineers who design and implement automation lines.
The Company evaluates performance and allocates resources based on segment revenue and segment operating income. Segment operating income is comprised of income before unallocated research, development and engineering expenses, unallocated selling, general and administrative expenses, interest income, and interest and other expenses.
Management does not fully allocate research, development and engineering expenses and selling, general and administrative expenses when making capital spending and expense funding decisions or assessing segment performance. There is no inter-segment revenue recognized. Transfers of materials or labor between segments are recorded at cost.
Segment information for total assets and capital expenditures is not presented as such information is not used in measuring segment performance or allocating resources between segments. The operating results for the Company’s identified segments are presented as follows (in thousands).
 
 
Three Months Ended
 
Six Months Ended
(unaudited)
December 31, 2011
 
December 25, 2010
 
December 31, 2011
 
December 25, 2010
Revenues:
 
 
 
 
 
 
 
Robotics
$
12,874

 
$
10,154

 
$
26,098

 
$
22,104

Services and Support
2,278

 
3,175

 
5,673

 
5,839

Total revenues
$
15,152

 
$
13,329

 
$
31,771

 
$
27,943

Segment operating income:
 
 
 
 
 
 
 
Robotics
$
3,271

 
$
311

 
$
4,993

 
$
2,289

Services and Support
245

 
676

 
1,118

 
1,077

Segment operating income
3,516

 
987

 
6,111

 
3,366

Unallocated research, development and engineering and general and administrative expenses
(3,994
)
 
(2,738
)
 
(6,907
)
 
(5,697
)
Restructuring charges
(423
)
 
—

 
(423
)
 
—

Amortization of intangible assets
(116
)
 
(58
)
 
(233
)
 
(116
)
Operating loss
(1,017
)
 
(1,809
)
 
(1,452
)
 
(2,447
)
Net interest expense
(58
)
 
(13
)
 
(113
)
 
(25
)
Foreign currency exchange (loss) gain
(121
)
 
70

 
(221
)
 
(300
)
Loss before income taxes
$
(1,196
)
 
$
(1,752
)
 
$
(1,786
)
 
$
(2,772
)
Goodwill
At December 31, 2011, Adept had $3.0 million in goodwill due to the acquisition of MobileRobots in the fourth quarter of fiscal 2010, and the acquisition of InMoTx in the third quarter of fiscal 2011. All of the goodwill is carried in the Robotics segment, and none is allocated to the Service and Support segment.
Management also assesses the Company’s performance, operations and assets by geographic areas, and, therefore, revenue and long-lived assets related to continuing operations are summarized in the following tables (in thousands):
 
 
Three Months Ended
 
Six Months Ended
(unaudited)
December 31, 2011
 
December 25, 2010
 
December 31, 2011
 
December 25, 2010
Revenues:
 
 
 
 
 
 
 
United States
$
4,683

 
$
4,236

 
$
8,195

 
$
8,851

Europe
6,576

 
7,048

 
14,967

 
12,580

Asia
2,265

 
1,800

 
6,426

 
6,027

All other countries
1,628

 
245

 
2,183

 
485

Total
$
15,152

 
$
13,329

 
$
31,771

 
$
27,943

 
(unaudited)
December 31, 2011
 
June 30, 2011
Long-lived assets:
 
 
 
United States
$
1,796

 
$
1,492

All other countries
421

 
396

Total long-lived tangible assets
$
2,217

 
$
1,888

Adept’s revenues are reported by geographic region based on the ship to location of the customer order. Revenues by country are broken out when they exceed 10% of total revenue or deemed useful.