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SEGMENT REPORTING AND GEOGRAPHIC INFORMATION
 9 Months Ended
Mar. 31, 2024
Segment Reporting [Abstract]  
SEGMENT REPORTING AND GEOGRAPHIC INFORMATION SEGMENT REPORTING AND GEOGRAPHIC INFORMATION
Accounting Standards Codification 280, Segment Reporting, establishes standards for reporting information about operating segments. Operating segments are defined as components of an enterprise about which separate financial information is evaluated regularly by the chief operating decision maker (“CODM”) in deciding how to allocate resources and in assessing performance. Our CODM is our Chief Executive Officer.
We have three reportable segments: Semiconductor Process Control; Specialty Semiconductor Process; and PCB, Display and Component Inspection. The reportable segments are determined based on several factors including, but not limited to, customer base, homogeneity of products, technology, delivery channels and similar economic characteristics.
Semiconductor Process Control
The Semiconductor Process Control segment offers a comprehensive portfolio of inspection, metrology and data analytics products, and related services, which helps IC manufacturers achieve target yield throughout the entire semiconductor fabrication process, from R&D to final volume production. Our differentiated products and services are designed to provide comprehensive solutions that help our customers accelerate development and production ramp cycles, achieve higher and more stable semiconductor die yields and improve their overall profitability. This reportable segment is comprised of two operating segments, Wafer Inspection and Patterning and GSS.
Specialty Semiconductor Process
The Specialty Semiconductor Process segment develops and sells advanced vacuum deposition and etching process tools, which are used by a broad range of specialty semiconductor customers, including manufacturers of microelectromechanical systems (“MEMS”), radio frequency (“RF”) communication chips and power semiconductors for automotive and industrial applications. This reportable segment is comprised of one operating segment.
PCB, Display and Component Inspection
The PCB, Display and Component Inspection segment enables electronic device manufacturers to inspect, test and measure PCBs, flat panel displays and ICs to verify their quality, pattern the desired electronic circuitry on the relevant substrate and perform three-dimensional shaping of metalized circuits on multiple surfaces. This reportable segment is comprised of two operating segments, PCB and Display and Component Inspection.
The CODM assesses the performance of each operating segment and allocates resources to those segments based on total revenues and segment gross profit and does not evaluate the segments using discrete asset information. Segment gross profit excludes corporate allocations and effects of changes in foreign currency exchange rates, amortization of intangible assets, amortization of inventory fair value adjustments, and transaction costs associated with our acquisitions related to costs of revenues.
The following is a summary of results for each of our three reportable segments for the indicated periods:
 Three Months Ended March 31,Nine Months Ended March 31,
(In thousands)2024202320242023
Semiconductor Process Control:
Revenues$2,096,005 $2,171,557 $6,425,562 $7,226,711 
Segment gross profit1,343,467 1,367,886 4,148,335 4,622,905 
Specialty Semiconductor Process:
Revenues130,649 128,438 407,433 414,390 
Segment gross profit69,280 65,328 219,859 216,408 
PCB, Display and Component Inspection:
Revenues133,399 131,923 412,474 502,627 
Segment gross profit(949)43,361 96,036 182,899 
Totals:
Revenues for reportable segments$2,360,053 $2,431,918 $7,245,469 $8,143,728 
Segment gross profit$1,411,798 $1,476,575 $4,464,230 $5,022,212 

The following table reconciles total reportable segment revenues to total revenues for the indicated periods:
 Three Months Ended March 31,Nine Months Ended March 31,
(In thousands)2024202320242023
Total revenues for reportable segments$2,360,053 $2,431,918 $7,245,469 $8,143,728 
Corporate allocations and effects of changes in foreign currency exchange rates(223)690 (1,957)(2,809)
Total revenues$2,359,830 $2,432,608 $7,243,512 $8,140,919 
The following table reconciles total segment gross profit to income before income taxes for the indicated periods:
 Three Months Ended March 31,Nine Months Ended March 31,
(In thousands)2024202320242023
Total segment gross profit$1,411,798 $1,476,575 $4,464,230 $5,022,212 
Acquisition-related charges, corporate allocations and effects of changes in foreign currency exchange rates(1)
45,853 49,313 138,240 136,651 
R&D321,590 328,276 953,222 979,617 
SG&A237,514 238,393 714,403 735,469 
Impairment of goodwill and purchased intangible assets70,474 — 289,474 — 
Interest expense79,981 74,774 228,417 223,449 
Loss on extinguishment of debt— — — 13,286 
Other expense (income), net(45,622)(14,864)(104,515)(79,944)
Income before income taxes$702,008 $800,683 $2,244,989 $3,013,684 
__________________
(1)Acquisition-related charges primarily include amortization of intangible assets and other acquisition-related costs classified or presented as part of costs of revenues.
Our significant operations outside the United States include manufacturing facilities in China, Germany, Israel and Singapore and sales, marketing and service offices in Japan, the rest of the Asia Pacific region and Europe. For geographical revenue reporting, revenues are attributed to the geographic location in which the customer is located. Long-lived assets consist of land, property and equipment, net, and are attributed to the geographic region in which they are located.
The following is a summary of revenues by geographic region, based on ship-to location, for the indicated periods:
(Dollar amounts in thousands)Three Months Ended March 31,Nine Months Ended March 31,
2024202320242023
Revenues:
China$996,885 42 %$635,018 26 %$3,050,609 42 %$2,156,380 26 %
Taiwan433,916 18 %478,855 20 %1,214,518 17 %1,996,188 24 %
Japan267,045 11 %215,531 9 %792,179 11 %702,986 9 %
North America246,993 10 %341,376 14 %761,319 11 %941,771 12 %
Korea201,290 9 %468,226 19 %731,783 10 %1,466,624 18 %
Europe and Israel129,350 6 %209,136 9 %421,148 6 %542,823 7 %
Rest of Asia84,351 4 %84,466 3 %271,956 3 %334,147 4 %
Total$2,359,830 100 %$2,432,608 100 %$7,243,512 100 %$8,140,919 100 %
The following is a summary of revenues by major product categories for the indicated periods:
(Dollar amounts in thousands)Three Months Ended March 31,Nine Months Ended March 31,
2024202320242023
Revenues:
Wafer Inspection$987,709 42 %$1,027,191 42 %$3,164,391 43 %$3,386,273 42 %
Patterning539,296 23 %611,631 25 %1,512,168 21 %2,206,263 27 %
Specialty Semiconductor Process116,449 5 %114,896 5 %364,830 5 %374,882 5 %
PCB, Display and Component Inspection68,332 3 %69,495 3 %216,794 3 %312,582 4 %
Services590,461 25 %529,124 22 %1,715,670 24 %1,578,418 19 %
Other57,583 2 %80,271 3 %269,659 4 %282,501 3 %
Total$2,359,830 100 %$2,432,608 100 %$7,243,512 100 %$8,140,919 100 %
Wafer Inspection and Patterning products are offered in the Semiconductor Process Control segment. Services are offered in multiple segments. Other includes primarily refurbished systems, remanufactured legacy systems, and enhancements and upgrades for previous-generation products that are part of the Semiconductor Process Control segment.
In the three months ended March 31, 2024, one customer accounted for approximately 14% of total revenues. In the three months ended March 31, 2023, two customers accounted for approximately 18% and 16% of total revenues, respectively. In the nine months ended March 31, 2024, one customer accounted for approximately 12% of total revenues. In the nine months ended March 31, 2023, two customers accounted for approximately 20% and 15% of total revenues, respectively. One customer and two customers on an individual basis accounted for greater than 10% of accounts receivable, net, at March 31, 2024 and at June 30, 2023, respectively.
Land, property and equipment, net by geographic region as of the dates indicated below were as follows: 
As ofAs of
(In thousands)March 31, 2024June 30, 2023
Land, property and equipment, net:
United States$701,223 $672,561 
Singapore150,808 150,989 
Europe129,824 74,015 
Israel89,445 92,815 
Rest of Asia34,978 41,461 
Total$1,106,278 $1,031,841