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Business Segment Information
 9 Months Ended
Oct. 02, 2021
Segment Reporting [Abstract]  
Business Segment Information
12 Business Segment Information
The Company’s business activities, for which discrete financial information is available, are regularly reviewed and evaluated by the chief operating decision maker. As a result of this evaluation, the Company determined that it has two operating segments: Waters
TM
and TA
TM
.
 
 
The Waters operating segment is primarily in the business of designing, manufacturing, selling and servicing LC and MS instruments, columns and other precision chemistry consumables that can be integrated and used along with other analytical instruments. The TA operating segment is primarily in the business of designing, manufacturing, selling and servicing thermal analysis, rheometry and calorimetry instruments. The Company’s two operating segments have similar economic characteristics; product processes; products and services; types and classes of customers; methods of distribution; and regulatory environments. Because of these similarities, the two segments have been aggregated into one reporting segment for financial statement purposes. Please refer to the consolidated financial statements for financial information
 
regarding the one reportable segment of the Company.
Net sales for the Company’s products and services are as follows for the three and nine months ended October 2, 2021 and September 26, 2020 (in thousands):
 
    
Three Months Ended
     
Nine Months Ended
  
    
October 2, 2021
     
September 26,
2020
     
October 2, 2021
     
September 26,
2020
  
Product net sales:
                                    
Waters instrument systems
    $ 240,475      $ 225,790      $ 717,910      $ 550,018  
Chemistry consumables
      123,045        108,175        368,478        300,525  
TA instrument systems
      55,613        42,274        155,722        114,799  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total product sales
      419,133        376,239        1,242,110        965,342  
Service net sales:
                                    
Waters service
      218,291        199,501        644,625        562,843  
TA service
      21,809        18,044        62,690        50,522  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total service sales
      240,100        217,545        707,315        613,365  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total net sales
    $ 659,233      $ 593,784      $ 1,949,425      $ 1,578,707  
    
 
 
     
 
 
     
 
 
     
 
 
  
Net sales are attributable to geographic areas based on the region of destination. Geographic sales information is presented below for the three and nine months ended October 2, 2021 and September 26, 2020 (in thousands):
 
    
Three Months Ended
     
Nine Months Ended
  
    
October 2, 2021
     
September 26,
2020
     
October 2, 2021
     
September 26,
2020
  
Net Sales:
                                    
Asia:
                                    
China
    $ 115,886      $ 115,666      $ 346,030      $ 252,713  
Japan
      44,293        44,779        139,702        131,098  
Asia Other
      94,423        75,737        268,359        219,660  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total Asia
      254,602        236,182        754,091        603,471  
Americas:
                                    
United States
      194,776        172,267        544,124        465,093  
Americas Other
      36,225        27,180        109,128        81,312  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total Americas
      231,001        199,447        653,252        546,405  
Europe
      173,630        158,155        542,082        428,831  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total net sales
    $ 659,233      $ 593,784      $ 1,949,425      $ 1,578,707  
    
 
 
     
 
 
     
 
 
     
 
 
  
 
 
Net sales by customer class are as follows for the three and nine months ended October 2, 2021 and September 26, 2020 (in thousands):
 
    
Three Months Ended
     
Nine Months Ended
  
    
October 2, 2021
     
September 26,
2020
     
October 2, 2021
     
September 26,
2020
  
Pharmaceutical
    $ 398,338      $ 343,001      $ 1,175,191      $ 926,582  
Industrial
      196,032        179,128        581,884        474,592  
Academic and government
      64,863        71,655        192,350        177,533  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total net sales
    $ 659,233      $ 593,784      $ 1,949,425      $ 1,578,707  
    
 
 
     
 
 
     
 
 
     
 
 
  
Net sales for the Company recognized at a point in time versus over time are as follows for the three and nine months ended October 2, 2021 and September 26, 2020 (in thousands):
 
    
Three Months Ended
     
Nine Months Ended
  
    
October 2,
2021
     
September 26,
2020
     
October 2,
2021
     
September 26,
2020
  
Net sales recognized at a point in time:
                                    
Instrument systems
    $ 296,088      $ 268,064      $ 873,632      $ 664,817  
Chemistry consumables
      123,045        108,175        368,478        300,525  
Service sales recognized at a point in time (time & materials)
      85,093        92,145        253,212        238,754  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total net sales recognized at a point in time
      504,226        468,384        1,495,322        1,204,096  
Net sales recognized over time:
                                    
Service and software maintenance sales recognized over time (contracts)
      155,007        125,400        454,103        374,611  
    
 
 
     
 
 
     
 
 
     
 
 
  
Total net sales
    $ 659,233      $ 593,784      $ 1,949,425      $ 1,578,707