SEGMENTS AND ENTITY-WIDE DISCLOSURES

Segment Reporting

Ciena has the following operating segments for reporting purposes: (i) Networking Platforms; (ii) Software and Software-Related Services; and (iii) Global Services. See Note 3 to Ciena’s Condensed Consolidated Financial Statements included in Item 1 of Part I of this report.

Ciena's long-lived assets, including equipment, building, furniture and fixtures, finite-lived intangible assets and maintenance spares, are not reviewed by Ciena's chief operating decision maker for purposes of evaluating performance and allocating resources. As of January 31, 2019, equipment, building, furniture and fixtures, net totaled $288.7 million primarily supporting asset groups within Ciena’s Networking Platforms and Software and Software-Related Services segments and supporting Ciena’s unallocated selling and general and administrative activities. As of January 31, 2019, $27.4 million of Ciena’s intangible assets, net were assigned to asset groups within Ciena’s Networking Platforms segment and $111.6 million of Ciena’s intangible assets, net were assigned to asset groups within Ciena’s Software and Software-Related Services segment. As of January 31, 2019, $65.8 million of Ciena’s Goodwill was assigned to asset groups within Ciena’s Networking Platforms segment and $232.2 million of Ciena’s Goodwill was assigned to asset groups within Ciena’s Software and Software-Related Services segment. As of January 31, 2019, all of the maintenance spares, net, totaling $46.1 million, were assigned to asset groups within Ciena’s Global Services segment.

Segment Revenue

The table below (in thousands) sets forth Ciena’s segment revenue for the respective periods:



	Quarter Ended January 31,
	2019		2018
Revenue:
Networking Platforms
Converged Packet Optical	$	548,997	$	427,401
Packet Networking	71,569		68,632
Total Networking Platforms	620,566		496,033

Software and Software-Related Services
Platform Software and Services	41,598		44,136
Blue Planet Automation Software and Services	14,974		9,351
Total Software and Software-Related Services	56,572		53,487

Global Services
Maintenance Support and Training	61,277		55,958
Installation and Deployment	30,622		30,016
Consulting and Network Design	9,490		10,641
Total Global Services	101,389		96,615

Consolidated revenue	$	778,527	$	646,135

Segment Profit

Segment profit is determined based on internal performance measures used by Ciena’s chief executive officer to assess the performance of each operating segment in a given period. In connection with that assessment, the chief executive officer excludes the following items: selling and marketing costs; general and administrative costs; significant asset impairments and restructuring costs; amortization of intangible assets; acquisition and integration costs; interest and other income, net; interest expense; and provision for income taxes.

The table below (in thousands) sets forth Ciena’s segment profit and the reconciliation to consolidated net income (loss) during the respective periods indicated:



	Quarter Ended January 31,
	2019			2018
Segment profit:
Networking Platforms	$	136,590		$	88,569
Software and Software-Related Services	18,417			23,635
Global Services	39,701			41,037
Total segment profit	194,708			153,241
Less: Non-performance operating expenses
Selling and marketing	98,113			88,515
General and administrative	39,243			38,406
Significant asset impairments and restructuring costs	2,273			5,961
Amortization of intangible assets	5,528			3,623
Acquisition and integration costs	1,608			—
Add: Other non-performance financial items
Interest expense and other income, net	(5,188		)	(12,159		)
Less: Provision for income taxes	9,139			477,940
Consolidated net income (loss)	$	33,616		$	(473,363	)

Entity-Wide Reporting

Ciena’s revenue includes $464.1 million and $383.4 million of United States revenue for the first quarter of fiscal 2019 and 2018, respectively. No other country accounted for 10% or more of total revenue in the first quarter of fiscal 2019 and 2018.

The following table reflects Ciena’s geographic distribution of equipment, building, furniture and fixtures, net, with any country accounting for at least 10% of total equipment, building, furniture and fixtures, net, specifically identified. Equipment, building, furniture and fixtures, net, attributable to geographic regions outside of the U.S. and Canada are reflected as “Other International.” For the periods below, Ciena’s geographic distribution of equipment, building, furniture and fixtures, net was as follows (in thousands):



	January 31, 2019		October 31, 2018
Canada	$	199,441	$	198,028
United States	71,256		75,479
Other International	18,016		18,560
Total	$	288,713	$	292,067

For the periods below, AT&T, a Web-scale provider and Verizon were the only customers that accounted for at least 10% of Ciena’s revenue as follows (in thousands):



	Quarter Ended January 31,
	2019		2018
AT&T	$	94,172	$	90,645
Web-scale provider	89,514		n/a
Verizon	88,775		68,445
Total	$	272,461	$	159,090



n/a	Denotes revenue representing less than 10% of total revenue for the period

The customers identified above purchased products and services from each of Ciena’s operating segments.