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Segment Information | 12 Months Ended
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Dec. 31, 2023
Segment Reporting [Abstract] |
Segment Information | In the third quarter of 2023, the Company realigned its segments into three reportable segments discussed below, which align with the key elements of the advanced semiconductor manufacturing ecosystem. The current annual and succeeding annual periods will disclose the reportable segments with prior periods recast to reflect the change. •Materials Solutions: MS provides materials-based solutions, such as chemical mechanical planarization (“CMP”) slurries and pads, deposition materials, process chemistries and gases, formulated cleans, etchants and other specialty materials that enable our customers to achieve better device performance and faster time to yield, while providing for lower total cost of ownership. •Microcontamination Control: MC offers advanced solutions that improve customers’ yield, device reliability and cost by filtering and purifying critical liquid chemistries and gases used in semiconductor manufacturing processes and other high-technology industries. •Advanced Materials Handling: AMH develops solutions that improve customers’ yields by protecting critical materials during manufacturing, transportation, and storage, including products that monitor, protect, transport and deliver critical liquid chemistries, wafers, and other substrates for a broad set of applications in the semiconductor, life sciences and other high-technology industries. These segments share common business systems and processes, technology centers and technology roadmaps. With the complementary capabilities across these segments, we believe we are uniquely positioned to create new, co-optimized and increasingly integrated solutions for our customers, which should translate into improved device performance, lower cost of ownership and faster time to market. This capability has been further enhanced with the acquisition of CMC Materials. For example, we can now develop and provide complementary offerings solving customers’ complex manufacturing challenges across the deposition, CMP process and post-CMP modules with co-optimized products from each of our divisions, such as advanced deposition materials, CMP slurries, pads and post-CMP cleaning chemistries from our MS segment, CMP slurry filters from our MC segment, and CMP slurry high-purity packaging and fluid monitoring systems from our AMH segment. Segment profit is defined as net sales less direct and indirect segment operating expenses, including certain general and administrative costs for the Company’s human resources, finance and information technology functions. The Company generally accounts for inter-segment sales and transfers as if the sales or transfers were to third parties, that is, at approximate market prices. Inter-segment sales are presented as an elimination below. The remaining unallocated expenses consist mainly of the Company’s corporate functions as well as interest expense, interest income, amortization of intangible assets and income tax expense. Corporate assets consist primarily of cash and cash equivalents, property, plant and equipment, deferred tax assets and deferred tax charges. Summarized financial information for the Company’s reportable segments is shown in the following tables:
(In thousands) | 2023 |  | 2022 |  | 2021
Net sales: |  |  |  |  |
MS | 1,689,467 |  |  | 1,380,208 |  |  | 711,291 |
MC | 1,127,555 |  |  | 1,105,996 |  |  | 919,363 |
AMH | 758,648 |  |  | 846,492 |  |  | 704,946 |
Inter-segment elimination | (51,744) |  |  | (50,663) |  |  | (36,707) |
Total net sales | $ | 3,523,926 |  |  | $ | 3,282,033 |  |  | $ | 2,298,893 |
(In thousands) | 2023 |  | 2022 |  | 2021
Segment profit: |  |  |  |  |
MS | 296,375 |  |  | 219,189 |  |  | 167,807 |
MC | 395,348 |  |  | 411,475 |  |  | 321,300 |
AMH | 136,100 |  |  | 183,738 |  |  | 159,995 |
Total segment profit | $ | 827,823 |  |  | $ | 814,402 |  |  | $ | 649,102 |
(In thousands) | 2023 |  | 2022 |  | 2021
Total assets: |  |  |  |  |
MS | 6,405,693 |  |  | 7,535,706 |  |  | 1,191,465 |
MC | 1,157,414 |  |  | 1,161,636 |  |  | 946,336 |
AMH | 697,243 |  |  | 801,591 |  |  | 598,547 |
Corporate | 552,241 |  |  | 639,924 |  |  | 455,548 |
Total assets | $ | 8,812,591 |  |  | $ | 10,138,857 |  |  | $ | 3,191,896 |
(In thousands) | 2023 |  | 2022 |  | 2021
Depreciation and amortization: |  |  |  |  |
MS | 286,632 |  |  | 203,320 |  |  | 66,983 |
MC | 57,432 |  |  | 42,514 |  |  | 41,536 |
AMH | 43,096 |  |  | 33,490 |  |  | 29,648 |
Total depreciation and amortization | $ | 387,160 |  |  | $ | 279,324 |  |  | $ | 138,167 |
(In thousands) | 2023 |  | 2022 |  | 2021
Capital expenditures: |  |  |  |  |
MS | 141,851 |  |  | 151,331 |  |  | 74,410 |
MC | 227,996 |  |  | 178,800 |  |  | 69,120 |
AMH | 87,000 |  |  | 136,061 |  |  | 67,096 |
Total capital expenditures | $ | 456,847 |  |  | $ | 466,192 |  |  | $ | 210,626 |
The following table reconciles total segment profit to income before income taxes and equity in net loss of affiliate:
(In thousands) | 2023 |  | 2022 |  | 2021
Total segment profit | $ | 827,823 |  |  | $ | 814,402 |  |  | $ | 649,102 |
Less: |  |  |  |  |
Amortization of intangibles | 214,477 |  |  | 143,953 |  |  | 47,856 |
Unallocated general and administrative expenses | 114,188 |  |  | 190,468 |  |  | 49,478 |
Operating income | $ | 499,158 |  |  | $ | 479,981 |  |  | 551,768 |
Interest expense | 312,378 |  |  | 212,669 |  |  | 41,240 |
Interest income | (11,257) |  |  | (3,694) |  |  | (243) |
Other expense, net | 25,367 |  |  | 23,926 |  |  | 31,695 |
Income before income tax (benefit) expense | $ | 172,670 |  |  | $ | 247,080 |  |  | $ | 479,076 |
In the following tables, revenue is disaggregated by country or region based on the ship to location of the customer for the years ended December 31, 2023, 2022 and 2021:
| 2023
(In thousands) | MS |  | MC |  | AMH |  |  | Inter-segment |  | Total
North America | $ | 540,347 |  |  | $ | 170,816 |  |  | $ | 231,833 |  |  |  | $ | (51,744) |  |  | $ | 891,252 |
Taiwan | 231,982 |  |  | 234,078 |  |  | 124,573 |  |  |  | — |  |  | 590,633 |
South Korea | 218,192 |  |  | 120,036 |  |  | 104,957 |  |  |  | — |  |  | 443,185 |
Japan | 104,977 |  |  | 219,340 |  |  | 42,991 |  |  |  | — |  |  | 367,308 |
China | 196,970 |  |  | 229,689 |  |  | 140,245 |  |  |  | — |  |  | 566,904 |
Europe | 229,368 |  |  | 93,059 |  |  | 79,923 |  |  |  | — |  |  | 402,350 |
Southeast Asia | 167,631 |  |  | 60,537 |  |  | 34,126 |  |  |  | — |  |  | 262,294 |
| $ | 1,689,467 |  |  | $ | 1,127,555 |  |  | $ | 758,648 |  |  |  | $ | (51,744) |  |  | $ | 3,523,926 |
| 2022
(In thousands) | MS |  | MC |  | AMH |  |  | Inter-segment |  | Total
North America | $ | 422,185 |  |  | $ | 158,627 |  |  | $ | 265,510 |  |  |  | $ | (50,663) |  |  | $ | 795,659 |
Taiwan | 202,565 |  |  | 305,899 |  |  | 151,663 |  |  |  | — |  |  | 660,127 |
South Korea | 162,601 |  |  | 129,750 |  |  | 121,726 |  |  |  | — |  |  | 414,077 |
Japan | 107,239 |  |  | 183,485 |  |  | 59,278 |  |  |  | — |  |  | 350,002 |
China | 198,022 |  |  | 184,609 |  |  | 119,325 |  |  |  | — |  |  | 501,956 |
Europe | 150,914 |  |  | 85,696 |  |  | 88,405 |  |  |  | — |  |  | 325,015 |
Southeast Asia | 136,682 |  |  | 57,930 |  |  | 40,585 |  |  |  | — |  |  | 235,197 |
| $ | 1,380,208 |  |  | $ | 1,105,996 |  |  | $ | 846,492 |  |  |  | $ | (50,663) |  |  | $ | 3,282,033 |
| 2021
(In thousands) | MS |  | MC |  | AMH |  |  | Inter-segment |  | Total
North America | $ | 208,997 |  |  | $ | 133,653 |  |  | $ | 219,853 |  |  |  | $ | (36,707) |  |  | $ | 525,796 |
Taiwan | 117,056 |  |  | 225,086 |  |  | 111,968 |  |  |  | — |  |  | 454,110 |
South Korea | 97,568 |  |  | 114,211 |  |  | 105,493 |  |  |  | — |  |  | 317,272 |
Japan | 89,767 |  |  | 161,569 |  |  | 51,267 |  |  |  | — |  |  | 302,603 |
China | 102,791 |  |  | 164,471 |  |  | 97,157 |  |  |  | — |  |  | 364,419 |
Europe | 50,136 |  |  | 70,011 |  |  | 89,121 |  |  |  | — |  |  | 209,268 |
Southeast Asia | 44,976 |  |  | 50,362 |  |  | 30,087 |  |  |  | — |  |  | 125,425 |
| $ | 711,291 |  |  | $ | 919,363 |  |  | $ | 704,946 |  |  |  | $ | (36,707) |  |  | $ | 2,298,893 |
The following table summarizes property, plant and equipment, net, attributed to significant countries for the years ended December 31, 2023, 2022 and 2021:
(In thousands) | 2023 |  | 2022 |  | 2021
Property, plant and equipment, net: |  |  |  |  |
North America | $ | 747,823 |  |  | $ | 776,913 |  |  | $ | 417,549 |
South Korea | 101,107 |  |  | 84,253 |  |  | 58,725 |
Japan | 118,872 |  |  | 104,282 |  |  | 56,357 |
Malaysia | 50,183 |  |  | 46,703 |  |  | 29,443 |
China | 32,884 |  |  | 31,592 |  |  | 32,133 |
Taiwan | 412,346 |  |  | 253,285 |  |  | 58,444 |
Other | 4,828 |  |  | 96,309 |  |  | 1,447 |
| $ | 1,468,043 |  |  | $ | 1,393,337 |  |  | $ | 654,098 |
The Company reported net sales of 10 percent or more for one customer in the amount of $382.9 million, $408.6 million and $271.9 million for the years ended December 31, 2023, 2022 and 2021, respectively, all of which include sales from all the Company’s segments.

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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://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-22 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-15 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 31 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-31 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 42 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-42 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 40 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-40 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//280/tableOfContent Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-26 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 34 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-34 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-41 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-21 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-21 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 + Details
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