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SEGMENT INFORMATION | 3 Months Ended
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Jan. 31, 2020
Segment Reporting [Abstract] |
SEGMENT INFORMATION | SEGMENT INFORMATION We are a technology company that helps enterprises, service providers and governments accelerate innovation to connect and secure the world by providing electronic design and test solutions that are used in the simulation, design, validation, manufacture, installation, optimization and secure operation of electronics systems in the communications, networking and electronics industries. We also offer customization, consulting and optimization services throughout the customer's product lifecycle, including start-up assistance, asset management, up-time services, application services and instrument calibration and repair. Our operating segments were determined based primarily on how the chief operating decision maker views and evaluates our operations. Segment operating results are regularly reviewed by the chief operating decision maker to make decisions about resources to be allocated to each segment and to assess performance. Other factors, including market separation and customer specific applications, go-to-market channels, products and services and manufacturing are considered in determining the formation of these operating segments. To more effectively and efficiently address customer solution needs across the communications ecosystem as the network transforms, in the first quarter of fiscal 2020, we completed an organizational change to manage our Ixia Solutions Group within our Communications Solutions Group. This change enables us to create improved go-to-market and product development alignment, as well as accelerate solution synergies in 5G as this new technology is deployed globally. As a result, we now have two reportable operating segments, Communications Solutions Group (“CSG”) and Electronic Industrial Solutions Group (“EISG”). T he Communications Solutions Group serves customers spanning the worldwide commercial communications and aerospace, defense, and government end markets. The group’s solutions consist of electronic design and test software, instruments, systems and related services. These solutions are used in the simulation, design, validation, manufacturing, installation, and optimization of electronic equipment and networks. The Electronic Industrial Solutions Group provides test and measurement solutions and related services across a broad set of electronic industrial end markets, focusing on high-value applications in the automotive and energy industry and measurement solutions for consumer electronics, education, general electronics design and manufacturing, and semiconductor design and manufacturing. The group provides electronic design and test software, instruments and systems and related services used in the simulation, design, validation, manufacturing, installation and optimization of electronic equipment. A significant portion of the segments' expenses arise from shared services and infrastructure that we have historically provided to the segments in order to realize economies of scale and to efficiently use resources. These expenses, collectively called corporate charges, include legal, accounting, real estate, insurance services, information technology services, treasury and other corporate infrastructure expenses. Charges are allocated to the segments, and the allocations have been determined on a basis that we considered to be a reasonable reflection of the utilization of services provided to or benefits received by the segments. The following tables reflect the results of our reportable segments under our management reporting system. These results are not necessarily in conformity with GAAP. The performance of each segment is measured based on several metrics, including income from operations. These results are used, in part, by the chief operating decision maker in evaluating the performance of, and in allocating resources to, each of the segments. Prior period amounts have been revised to conform to the new organizational structure. The profitability of each of the segments is measured after excluding share-based compensation expense, amortization of acquisition-related balances, acquisition and integration costs, restructuring and related costs, northern California wildfire-related impacts, interest income, interest expense and other items as noted in the reconciliations below.
| Communications Solutions Group |  | Electronic Industrial Solutions Group |  | Total Segments
| (in millions)
Three months ended January 31, 2020: |  |  |  |  |
Total net and segment revenue | $ | 818 |  |  | $ | 277 |  |  | $ | 1,095 |
Segment income from operations | $ | 201 |  |  | $ | 73 |  |  | $ | 274 |
Three months ended January 31, 2019: |  |  |  |  |
Total net revenue | $ | 749 |  |  | $ | 257 |  |  | $ | 1,006 |
Amortization of acquisition-related balances | 3 |  |  | — |  |  | 3 |
Total segment revenue | $ | 752 |  |  | $ | 257 |  |  | $ | 1,009 |
Segment income from operations | $ | 150 |  |  | $ | 54 |  |  | $ | 204 |
The following table reconciles reportable operating segments’ income from operations to our total enterprise income before taxes:
| Three Months Ended
| January 31,
| 2020 |  | 2019
| (in millions)
Total reportable operating segments' income from operations | $ | 274 |  |  | $ | 204 |
Share-based compensation expense | (39 | ) |  | (27 | )
Amortization of acquisition-related balances | (59 | ) |  | (54 | )
Acquisition and integration costs | (2 | ) |  | (2 | )
Northern California wildfire-related impacts | 32 |  |  | — |
Other | (3 | ) |  | — |
Income from operations, as reported | 203 |  |  | 121 |
Interest income | 6 |  |  | 4 |
Interest expense | (19 | ) |  | (20 | )
Other income (expense), net | 12 |  |  | 15 |
Income before taxes, as reported | $ | 202 |  |  | $ | 120 |
The following table presents assets directly managed by each segment. Unallocated assets primarily consist of cash and cash equivalents, investments and other assets.
| Communications Solutions Group |  | Electronic Industrial Solutions Group |  | Total Segments
| (in millions)
Assets: |  |  |  |  |  |  |
As of January 31, 2020 | $ | 3,888 |  |  | $ | 989 |  |  | $ | 4,877 |
As of October 31, 2019 | $ | 3,671 |  |  | $ | 928 |  |  | $ | 4,599 |
The increase in segment assets as of January 31, 2020 as compared to October 31, 2019 is primarily due to the addition of operating lease right-of-use assets as a result of adoption of ASU 2016-02, Leases, on November 1, 2019.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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