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Note 15 Business Segment, Geographic and Customer Information
12 Months Ended
Oct. 01, 2022
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block] Business Segment, Geographic and Customer Information
ASC Topic 280, Segment Reporting, establishes standards for reporting information about operating segments, products and services, geographic areas of operations and major customers. Operating segments are defined as components of an enterprise for which separate financial information is available and evaluated regularly by the chief operating decision maker or decision making group in deciding how to allocate resources and in assessing performance.

The Company's operations are managed as two businesses:

1)Integrated Manufacturing Solutions (IMS). IMS is a reportable segment consisting of printed circuit board assembly and test, high-level assembly and test and direct order fulfillment.

2)Components, Products and Services (CPS). Components include printed circuit boards, backplanes and backplane assemblies, cable assemblies fabricated metal parts, precision machined parts, and plastic injected molded parts. Products include memory solutions from our Viking Technology division; high-performance storage platforms for hyperscale and enterprise solutions from our Viking Enterprise Solutions (VES) division; optical, radio frequency (RF) and microelectronics (microE) design and manufacturing services from Advanced Microsystems Technologies; defense and aerospace products from SCI Technology; and cloud-based manufacturing execution software from the Company's 42Q division. Services include design, engineering and logistics and repair.
The Company determined that it has only one reportable segment - IMS, which generated approximately 80% of the Company's total revenue in 2022. CPS consists of multiple operating segments which do not meet the quantitative threshold for being presented individually as reportable segments. Therefore, financial information for these operating segments is combined and presented in a single category entitled “Components, Products and Services”.

The accounting policies for each segment are the same as those disclosed by the Company for its consolidated financial statements. Intersegment sales consist primarily of sales of components from CPS to IMS.

The Company's chief operating decision making group is the Chief Executive Officer who allocates resources and assesses performance of operating segments based on a measure of revenue and gross profit that excludes items not directly related to the Company's ongoing business operations. These items are typically either non-recurring or non-cash in nature.

Segment information is as follows:
Year Ended
October 1, 2022October 2, 2021October 3, 2020
(In thousands)
Gross sales:
IMS$6,407,724 $5,485,612 $5,733,180 
CPS1,631,918 1,397,742 1,365,712 
Intersegment revenue(149,167)(126,711)(138,522)
   Net Sales$7,890,475 $6,756,643 $6,960,370 
Gross Profit:
IMS$462,606 $391,339 $381,638 
 CPS
193,817 177,248 156,844 
          Total656,423 568,587 538,482 
     Unallocated items (1)(15,909)(16,782)(12,775)
      Total$640,514 $551,805 $525,707 
Depreciation and amortization:
IMS$73,914 $77,076 $81,169 
CPS30,061 27,770 26,718 
Total103,975 104,846 107,887 
Unallocated corporate items (2)4,808 4,810 6,331 
Total$108,783 $109,656 $114,218 
Capital expenditures (receipt basis):
IMS$94,636 $44,672 $23,933 
CPS55,993 33,839 23,915 
Total150,629 78,511 47,848 
Unallocated corporate items (2)5,650 3,343 3,227 
Total$156,279 $81,854 $51,075 

(1)    For purposes of evaluating segment performance, management excludes certain items from its measures of gross profit. These items consist of stock-based compensation expense, amortization of intangible assets, charges or credits resulting from distressed customers and litigation settlements.

(2)    Primarily related to selling, general and administration functions.

Segment assets, consisting of accounts receivable, inventories and fixed assets, are substantially proportional to segment sales.
Net sales by geographic segment, determined based on the country in which a product is manufactured were as follows:
Year Ended
October 1,
2022
October 2,
2021
October 3,
2020
(In thousands)
Net sales:
Americas (1)$3,719,496 $3,182,849 $3,450,527 
APAC3,007,904 2,517,963 2,514,005 
EMEA1,163,075 1,055,831 995,838 
Total$7,890,475 $6,756,643 $6,960,370 
(1)    Mexico represents approximately 60% of the Americas revenue and the U.S. represents approximately 35%.
    
Percentage of net sales represented by ten largest customers48.7 %52.7 %55.5 %
Number of customers representing 10% or more of net sales

As of
October 1,
2022
October 2,
2021
(In thousands)
Property, plant and equipment, net:
Americas$367,172 $322,545 
APAC151,254 143,111 
EMEA56,744 67,329 
  Total$575,170 $532,985