Concentration of Risk

12 Months Ended

Jan. 31, 2021

The following significant customers accounted for at least 10% of net sales in one or more of the periods indicated:


	Fiscal Year Ended
(percentage of net sales)	January 31, 2021		January 26, 2020		January 27, 2019
Trend-tek Technology Ltd. (and affiliates)	17	%	13	%	14	%
Frontek Technology Corporation (and affiliates)	16	%	11	%	11	%
CEAC International Ltd. (and affiliates)	11	%	8	%	8	%
Arrow Electronics (and affiliates)	9	%	9	%	10	%
Samsung Electronics (and affiliates)	2	%	4	%	8	%
Premier Technical Sales Korea, Inc. (and affiliates) (1)	6	%	7	%	4	%

(1) Premier is a distributor with a concentration of sales to Samsung Electronics (and affiliates). The above percentages represent the Company's estimate of the sales activity related to Samsung Electronics (and affiliates) that is passing through this distributor.

The following table shows the customers that have an outstanding receivable balance that represents at least 10% of total net receivables as of the dates indicated:


	Balance as of
(percentage of net receivables)	January 31, 2021		January 26, 2020

Trend-tek Technology Ltd. (and affiliates)	14	%	13	%
CEAC International Ltd. (and affiliates)	14	%	11	%
Frontek Technology Corporation (and affiliates)	10	%	11	%

For fiscal years 2021, 2020 and 2019, authorized distributors accounted for approximately 82%, 72% and 68%, respectively, of the Company’s net sales. Generally, the Company does not have long-term contracts with its distributors and most can terminate their agreement with little or no notice. For fiscal year 2021, the Company's largest distributors were based in Asia.

Outside Subcontractors and Suppliers

The Company relies on a limited number of third-party subcontractors and suppliers for the production of silicon wafers, packaging and certain other tasks. Disruption or termination of supply sources or subcontractors, including due to the COVID-19 pandemic or natural disasters such as an earthquake or other causes, could delay shipments and could have a material adverse effect on the Company. Although there are generally alternate sources for these materials and services, qualification of the alternate sources could cause delays sufficient to have a material adverse effect on the Company. A significant amount of the Company’s third-party subcontractors and suppliers, including third-party foundries that supply silicon wafers, are located in the U.S., Taiwan, China and Israel. A significant amount of the Company’s assembly and test operations are conducted by third-party contractors in China, Malaysia, Taiwan, Thailand, South Korea and the Philippines.