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Industry Segment, Geographic Information and Significant Customers
3 Months Ended
Mar. 28, 2015
Segment Reporting [Abstract]  
Industry Segment, Geographic Information and Significant Customers
Industry Segment, Geographic Information and Significant Customers
The Company operates in two reportable segments, the home robots business unit and the defense and security robots business unit. The nature of products and types of customers for the two segments vary significantly. As such, the segments are managed separately.
Home Robots
The Company’s home robots business unit offers products to consumers through a network of retail businesses throughout the United States, to various countries through international distributors and retailers, and through the Company’s on-line store. The Company’s home robots business unit includes mobile robots used in the maintenance of households.
Defense and Security
The Company’s defense and security robots business unit offers products to the U.S. Department of Defense through a small U.S. government-focused sales force and distributors, and to other North American and international entities through small domestic and international sales teams, as well as through North American and international distributors. The Company’s defense and security robots are used to increase warfighters', law enforcement's, security forces' and first responders' safety and productivity.
Other
The Company’s other revenue and cost of revenue result from other smaller business units that do not meet the criteria of a reportable segment, as well as other operational costs not directly attributable to the home robots or defense and security reportable segments included in cost of revenue.
The table below presents segment information about revenue, cost of revenue, gross margin and income before income taxes:
 
 
Three Months Ended
 
(In thousands)
 
March 28, 2015
 
March 29, 2014
Revenue:
 
 
 
Home Robots
$
111,085

 
$
108,035

Defense & Security
6,526

 
5,602

Other (1)
350

 
567

Total revenue
117,961

 
114,204

Cost of revenue:

 
 
Home Robots
54,282

 
53,595

Defense & Security
4,358

 
3,518

Other (2)
5,613

 
5,381

Total cost of revenue
64,253

 
62,494

Gross margin:

 
 
Home Robots
56,803

 
54,440

Defense & Security
2,168

 
2,084

Other
(5,263
)
 
(4,814
)
Total gross margin
53,708

 
51,710

Research and development
19,032

 
16,934

Selling and marketing
14,188

 
14,532

General and administrative
12,589

 
12,264

Other income (expense), net
(794
)
 
(187
)
Income before income taxes
$
7,105

 
$
7,793



(1)
Other revenue results from other smaller business units that do not meet the criteria of a reportable segment.

(2)
Other cost of revenue results from other smaller business units that do not meet the criteria of a reportable segment, as well as other operational costs not directly attributable to the home robots or defense and security reportable segments.
Geographic Information
For the three months ended March 28, 2015 and March 29, 2014, sales to non-U.S. customers accounted for 62.0% and 60.8% of total revenue, respectively.
Significant Customers
For the three months ended March 28, 2015, the Company generated 14.9% and 11.6%, respectively, of total revenue from two of its international distributors of home robots products. For the three months ended March 29, 2014, the Company generated 20.0% and 13.1%, respectively, of total revenue from two of its international distributors of home robots products.