Annual report pursuant to Section 13 and 15(d)

Segment and Geographic Information

v3.19.1
Segment and Geographic Information
12 Months Ended
Mar. 31, 2019
Segment Reporting [Abstract]  
Segment and Geographic Information
Segment and Geographic Information
The Company is organized into three reportable segments: Solid Capacitors, Film and Electrolytic, and MSA based primarily on product lines.
The reportable segments are responsible for their respective manufacturing sites as well as their research and development efforts. The Company does not allocate corporate indirect selling, general and administrative (“SG&A”) or shared R&D expenses to the segments.
Solid Capacitors
Solid Capacitors operates in ten manufacturing sites in the United States, Mexico and Asia, and operates innovation centers in the United States and Japan. Solid Capacitors primarily produces tantalum, aluminum, polymer and ceramic capacitors which are sold globally. Solid Capacitors also produces tantalum powder used in the production of tantalum capacitors.
Film and Electrolytic
Film and Electrolytic operates in nine manufacturing sites throughout Europe and Asia, and maintain product innovation centers in Italy, Portugal, and Sweden. Film and Electrolytic primarily produces film, paper, and wet aluminum electrolytic capacitors, which are sold globally. In addition, the Film and Electrolytic reportable segment designs and produces electromagnetic interference filters.
MSA
MSA operates in four manufacturing sites throughout Asia and operates a product innovation center in Japan. MSA primarily produces EMC materials and devices, piezo materials and actuators, and various types of sensors, which are sold globally.
In the following tables, revenue is disaggregated by primary geographical market, sales channel, and major product lines. The tables also include reconciliations of the disaggregated revenue with the reportable segments for the fiscal years ended 2019, 2018 and 2017 (amounts in thousands):
 
Fiscal Year Ended March 31, 2019
 
Solid Capacitors
 
Film and Electrolytic
 
MSA
 
Total
 
 
 
 
 
 
 
 
Primary geographical markets
 

 
 
 
 

 
 
Asia and the Pacific Rim ("APAC")
$
411,183

 
$
51,923

 
$
70,234

 
$
533,340

Europe, the Middle East, and Africa ("EMEA")
189,992

 
122,956

 
2,587

 
315,535

North and South America ("Americas")
297,167

 
30,462

 
10,213

 
337,842

Japan and Korea ("JPKO")
37,496

 
899

 
157,706

 
196,101

 
$
935,838

 
$
206,240

 
$
240,740

 
$
1,382,818

 
 
 
 
 
 
 
 
Sales channel
 
 
 
 
 
 
 
OEM
$
290,058

 
$
81,704

 
$
226,544

 
$
598,306

Distributor
475,190

 
100,113

 
9,315

 
584,618

EMS
170,590

 
24,423

 
4,881

 
199,894

 
$
935,838

 
$
206,240

 
$
240,740

 
$
1,382,818

 
 
 
 
 
 
 
 
Major product lines
 

 
 
 
 

 
 
Tantalum
$
563,255

 
$

 
$

 
$
563,255

Ceramics
372,583

 

 

 
372,583

Film and Electrolytic

 
206,240

 

 
206,240

MSA

 

 
240,740

 
240,740

 
$
935,838

 
$
206,240

 
$
240,740

 
$
1,382,818


 
Fiscal Year Ended March 31, 2018
 
Solid Capacitors
 
Film and Electrolytic
 
MSA
 
Total
 
 
 
 
 
 
 
 
Primary geographical markets
 

 
 
 
 

 
 
Asia and the Pacific Rim
$
350,791

 
$
58,922

 
$
70,274

 
$
479,987

Europe, the Middle East, and Africa
156,169

 
119,649

 
2,080

 
277,898

North and South America
227,582

 
22,634

 
8,889

 
259,105

Japan and Korea
36,698

 
772

 
145,721

 
183,191

 
$
771,240

 
$
201,977

 
$
226,964

 
$
1,200,181

 
 
 
 
 
 
 
 
Sales channel
 
 
 
 
 
 
 
OEM
$
262,097

 
$
86,049

 
$
215,349

 
$
563,495

Distributor
366,569

 
92,708

 
11,047

 
470,324

EMS
142,574

 
23,220

 
568

 
166,362

 
$
771,240

 
$
201,977

 
$
226,964

 
$
1,200,181

 
 
 
 
 
 
 
 
Major product lines
 

 
 
 
 

 
 
Tantalum
$
495,114

 
$

 
$

 
$
495,114

Ceramics
276,126

 

 

 
276,126

Film and Electrolytic

 
201,977

 

 
201,977

MSA

 

 
226,964

 
226,964

 
$
771,240

 
$
201,977

 
$
226,964

 
$
1,200,181



 
Fiscal Year Ended March 31, 2017
 
Solid Capacitors
 
Film and Electrolytic
 
MSA
 
Total
 
 
 
 
 
 
 
 
Primary geographical markets
 

 
 
 
 

 
 
Asia and the Pacific Rim
$
237,847

 
$
50,917

 
$

 
$
288,764

Europe, the Middle East, and Africa
128,617

 
108,820

 

 
237,437

North and South America
202,812

 
21,244

 

 
224,056

Japan and Korea
5,834

 
1,247

 

 
7,081

 
$
575,110

 
$
182,228

 
$

 
$
757,338

 
 
 
 
 
 
 
 
Sales channel
 
 
 
 
 
 
 
OEM
$
162,411

 
$
83,986

 
$

 
$
246,397

Distributor
275,591

 
79,048

 

 
354,639

EMS
137,108

 
19,194

 

 
156,302

 
$
575,110

 
$
182,228

 
$

 
$
757,338

 
 
 
 
 
 
 
 
Major product lines
 

 
 
 
 

 
 
Tantalum
$
342,184

 
 
 
 
 
$
342,184

Ceramics
232,926

 
 
 
 
 
232,926

Film and Electrolytic
 
 
182,228

 

 
182,228

MSA

 

 

 

 
$
575,110

 
$
182,228

 
$

 
$
757,338



The following highlights net sales by geographic location (amounts in thousands):
 
 
Fiscal Years Ended March 31,(1)
 
 
2019
 
2018
 
2017
United States
 
$
292,980

 
$
233,133

 
$
198,250

Hong Kong
 
188,102

 
169,073

 
121,813

Germany
 
124,805

 
105,548

 
104,755

Europe (2) (3)
 
76,149

 
64,248

 
63,863

China
 
173,148

 
163,016

 
71,223

Taiwan
 
88,853

 
78,728

 
9,147

Asia Pacific (2)
 
47,233

 
36,647

 
26,878

Japan
 
178,502

 
170,282

 
3,565

United Kingdom
 
42,472

 
37,038

 
33,837

Netherlands
 
44,065

 
39,684

 
32,478

Malaysia
 
33,748

 
28,165

 
15,177

Singapore
 
19,417

 
17,267

 
15,565

Italy
 
15,551

 
17,905

 
15,376

Hungary
 
12,245

 
13,254

 
18,856

Mexico
 
44,267

 
23,915

 
22,424

Other Countries (2)
 
1,281

 
2,278

 
4,131

Total Non-United States (3)
 
1,089,838

 
967,048

 
559,088

 
 
$
1,382,818

 
$
1,200,181

 
$
757,338

______________________________________________________________________________
(1) Revenues are attributed to countries or regions based on the location of the customer. Net Sales to one customer, TTI, Inc., exceeded 10% of total net sales as follows: $184.3 million, $133.5 million and $104.4 million in fiscal years 2019, 2018 and 2017, respectively.
(2) No country included in this caption exceeded 3% of consolidated net sales for fiscal years 2019, 2018 and 2017.
(3) Fiscal years ended March 31, 2018 and 2017 adjusted due to the adoption of ASC 606.

    
























The following tables summarize information for operating income (loss), depreciation and amortization, restructuring charges, gain (loss) on write down and disposal of long-lived assets, and capital expenditures by reportable segment for the fiscal years ended 2019, 2018 and 2017 and total assets by reportable segment for the fiscal years ended 2019 and 2018 (amounts in thousands):
 
 
Fiscal Years Ended March 31,
 
 
2019
 
2018
 
2017
Operating income (loss): (1)
 
 
 
 
 
 
Solid Capacitors
 
$
348,150

 
$
234,473

 
$
147,662

Film and Electrolytic (1)
 
8,183

 
3,622

 
(9,028
)
MSA
 
22,546

 
15,694

 

Corporate
 
(178,030
)
 
(140,937
)
 
(103,666
)
 
 
$
200,849

 
$
112,852

 
$
34,968

Depreciation and amortization expense: (1)
 
 
 
 
 
 
Solid Capacitors
 
$
28,795

 
$
27,329

 
$
20,824

Film and Electrolytic (1)
 
9,763

 
10,918

 
11,766

MSA
 
5,226

 
4,407

 

Corporate
 
8,844

 
8,007

 
5,561

 
 
$
52,628

 
$
50,661

 
$
38,151

Restructuring charges:
 
 
 
 
 
 
Solid Capacitors
 
$
4,922

 
$
983

 
$
1,333

Film and Electrolytic
 
2,717

 
5,788

 
3,738

MSA
 
452

 
3,343

 

Corporate
 
688

 
4,729

 
333

 
 
$
8,779

 
$
14,843

 
$
5,404

(Gain) loss on write down and disposal of long-lived assets
 
 
 
 
 
 
Solid Capacitors
 
$
235

 
$
689

 
$
2,303

Film and Electrolytic
 
(93
)
 
(3,356
)
 
8,339

MSA
 

 
1,272

 

Corporate
 
1,518

 
403

 
29

 
 
$
1,660

 
$
(992
)
 
$
10,671

 
 
 
 
 
 
 
Capital expenditures:
 
 
 
 
 
 
Solid Capacitors
 
$
80,700

 
$
31,249

 
$
12,300

Film and Electrolytic
 
16,000

 
12,651

 
7,955

MSA
 
13,400

 
8,481

 

Corporate
 
35,956

 
12,623

 
5,362

 
 
$
146,056

 
$
65,004

 
$
25,617

_______________________________________________________________________________
(1) Fiscal years ended March 31, 2018 and 2017 adjusted due to the adoption of ASC 606.

 
 
March 31,
 
 
2019
 
2018
Total assets:
 
 
 
 
Solid Capacitors
 
$
794,402

 
$
704,851

Film and Electrolytic (1)
 
219,711

 
240,968

MSA
 
234,419

 
254,193

Corporate
 
69,563

 
22,911

 
 
$
1,318,095

 
$
1,222,923


_______________________________________________________________________________
(1) March 31, 2018 adjusted due to the adoption of ASC 606.
The following geographic information includes Property, plant and equipment, net, based on physical location (amounts in thousands):
 
 
March 31,
 
 
2019
 
2018
United States
 
$
57,095

 
$
49,530

Japan
 
89,602

 
79,855

Thailand
 
82,389

 
74,100

Mexico
 
121,147

 
62,503

Italy
 
35,197

 
39,398

China
 
45,815

 
36,396

Portugal
 
31,872

 
29,073

Macedonia
 
12,906

 
13,723

Bulgaria
 
5,480

 
5,597

Sweden
 
4,800

 
6,005

Other (1)
 
8,977

 
9,136

Total Non-United States
 
438,185

 
355,786

 
 
$
495,280

 
$
405,316


_______________________________________________________________________________
(1) No country included in this caption exceeded 1% of consolidated Property, plant and equipment net for fiscal years 2019 and 2018.