v3.25.1
Segment Information
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Segment Information

(10) Segment Information

The reportable segments shown below are the Company’s segments for which separate financial information is available and upon which operating results are evaluated by the chief operating decision maker (CODM), who is the President and Chief Executive Officer, to assess performance and to allocate resources. The CODM uses segment operating income to allocate resources such as employees and capital resources for each segment during the Company’s annual budgeting and forecasting process. Separate segment asset measures are not used as a basis for the CODM to evaluate the performance of or to allocate resources to the segments.

The PCB reportable segment consists of PCBs, engineered systems using customer-supplied engineering and design plans, as well as long-term contracts related to the design and manufacture of highly sophisticated intelligence, surveillance, and communications solutions, components, assemblies, and subsystems. The RF&S Components reportable segment consists of components, assemblies, subsystems, and completed systems which service its RF&S Components and certain aerospace and defense customers.

Effective January 1, 2025, the Company changed its organization structure to enhance clarity in sector performance, accountability, and operating costs by clearly allocating resources to either Aerospace and Defense, Commercial, or RF&S Components. To align the new operating model and business structure, the Company is making management organizational changes and implementing new reporting and processes to provide discrete information to manage the business. Management expects to finalize its assessment of its operating segments when the implementations and transitions are completed, which is expected by the end of 2025.

Reconciliations of net sales and segment operating income were as follows:

 

 

 

For the Quarter Ended March 31, 2025

 

 

 

PCB

 

 

RF&S Components

 

 

Total

 

 

 

(In thousands)

 

Reconciliation of net sales

 

 

 

 

 

 

 

 

 

Gross sales

 

$

642,639

 

 

$

8,820

 

 

$

651,459

 

Less: Inter-segment sales

 

 

(2,791

)

 

 

—

 

 

 

(2,791

)

Net sales

 

 

639,848

 

 

 

8,820

 

 

 

648,668

 

Less:

 

 

 

 

 

 

 

 

 

Cost of goods sold

 

 

(504,933

)

 

 

(4,779

)

 

 

(509,712

)

Operating expenses

 

 

(35,435

)

 

 

(2,449

)

 

 

(37,884

)

Segment operating income

 

$

99,480

 

 

$

1,592

 

 

 

101,072

 

Reconciliation of segment operating income

 

 

 

 

 

 

 

 

 

Other (loss) or profit:

 

 

 

 

 

 

 

 

 

Restructuring

 

 

 

 

 

 

 

 

(714

)

Other

 

 

 

 

 

 

 

 

776

 

Unallocated amounts:

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

 

 

 

 

 

 

(8,787

)

Other corporate expenses

 

 

 

 

 

 

 

 

(32,863

)

Amortization of definite-lived intangibles (1)

 

 

 

 

 

 

 

 

(9,224

)

Interest expense

 

 

 

 

 

 

 

 

(11,464

)

Other, net

 

 

 

 

 

 

 

 

2,195

 

Income before income taxes

 

 

 

 

 

 

 

$

40,991

 

 

 

 

 

For the Quarter Ended April 1, 2024

 

 

 

PCB

 

 

RF&S Components

 

 

Total

 

 

 

(In thousands)

 

Reconciliation of net sales

 

 

 

 

 

 

 

 

 

Gross sales

 

$

563,343

 

 

$

8,333

 

 

$

571,676

 

Less: Inter-segment sales

 

 

(1,502

)

 

 

(61

)

 

 

(1,563

)

Net sales

 

 

561,841

 

 

 

8,272

 

 

 

570,113

 

Less:

 

 

 

 

 

 

 

 

 

Cost of goods sold

 

 

(453,180

)

 

 

(4,343

)

 

 

(457,523

)

Operating expenses

 

 

(35,281

)

 

 

(2,268

)

 

 

(37,549

)

Segment operating income

 

$

73,380

 

 

$

1,661

 

 

 

75,041

 

Reconciliation of segment operating income

 

 

 

 

 

 

 

 

 

Other (loss) or profit:

 

 

 

 

 

 

 

 

 

Restructuring

 

 

 

 

 

 

 

 

(3,938

)

Other

 

 

 

 

 

 

 

 

864

 

Unallocated amounts:

 

 

 

 

 

 

 

 

 

Stock-based compensation

 

 

 

 

 

 

 

 

(6,787

)

Other corporate expenses

 

 

 

 

 

 

 

 

(34,348

)

Amortization of definite-lived intangibles (1)

 

 

 

 

 

 

 

 

(13,765

)

Interest expense

 

 

 

 

 

 

 

 

(12,324

)

Other, net

 

 

 

 

 

 

 

 

9,326

 

Income before income taxes

 

 

 

 

 

 

 

$

14,069

 

 

(1)
Amortization of definite-lived intangibles relates to the PCB and RF&S Components reportable segments, but is not reviewed separately by the CODM. For the quarters ended March 31, 2025 and April 1, 2024, amortization expense of $2,335 and $2,336 is included in cost of goods sold for the PCB reportable segment, respectively.

Depreciation expense by reportable segment was as follows:

 

 

 

For the Quarter Ended

 

 

 

March 31, 2025

 

 

April 1, 2024

 

 

 

(In thousands)

 

PCB

 

$

24,691

 

 

$

22,940

 

RF&S Components

 

 

423

 

 

 

466

 

Segment total

 

 

25,114

 

 

 

23,406

 

Corporate

 

 

1,749

 

 

 

1,290

 

Total

 

$

26,863

 

 

$

24,696

 

The Company markets and sells its products in approximately 50 countries. Other than the United States, the Company did not conduct business in any country in which its net sales in that country exceeded 10% of the Company’s total net sales for the quarter ended March 31, 2025. For the quarter ended April 1, 2024, net sales in Taiwan also exceeded 10% of the Company’s total net sales. Net sales are attributed to countries by the invoiced location and were as follows:

 

 

 

For the Quarter Ended

 

 

 

March 31, 2025

 

 

April 1, 2024

 

 

 

(In thousands)

 

United States

 

$

357,808

 

 

$

300,959

 

Taiwan

 

 

54,156

 

 

 

68,924

 

Other

 

 

236,704

 

 

 

200,230

 

Total net sales

 

$

648,668

 

 

$

570,113