Note 12 - Significant Customers and Industry Segment Information
|12 Months Ended|
Mar. 25, 2017
|Notes to Financial Statements|
|Segment Reporting Disclosure [Text Block]||
The Company has
tworeportable segments: Giga-tronics Division and Microsource. Giga-tronics Division produces a broad line of test and measurement equipment used in the development, test and maintenance of wireless communications products and systems, flight navigational equipment, electronic defense systems and automatic testing systems and designs, manufactures, and markets a line of switching devices that link together many specific purpose instruments that comprise automatic test systems. Microsource develops and manufactures a broad line of Yttrium, Iron and Garnet (YIG) tuned oscillators, filters and microwave synthesizers, which are used in a wide variety of microwave instruments or devices.
The accounting policies for the segments are the same as those described in the "Summary of Significant Accounting Policies". The Company evaluates the performance of its segments and allocates resources to them based on earnings before income taxes. Segment net sales include sales to external customers. Inter-segment activities are eliminated in consolidation. Assets include accounts receivable, inventories, equipment, cash, deferred income taxes, prepaid expenses and other long- term assets. The Company accounts for inter-segment sales and transfers at terms that allow a reasonable profit to the seller. During the periods reported there were
nosignificant inter-segment sales or transfers.
The Company's reportable operating segments are strategic business units that offer different products and services. They are managed separately because each business utilizes different technology and requires different accounting systems. The Company’s chief operating decision maker is considered to be the Company’s Chief Executive Officer (“CEO”). The CEO reviews financial information presented on a consolidated basis accompanied by disaggregated information about revenues and pre-tax income or loss by operating segment.
The tables below present information for the fiscal years ended in
The Company’s Giga-tronics Division and Microsource segments sell to agencies of the U.S. government and U.S. defense- related customers. In fiscal
2016,U.S. government and U.S. defense-related customers accounted for
71%of sales, respectively. During fiscal
2017,the Boeing Company accounted for
33%of the Company’s consolidated revenues at
March 25, 2017and was included in the Microsource segment. A
secondcustomer, CSRA LLC (CSRA acted as Prime Contractor for the United States Navy) accounted for
20%of the Company’s consolidated revenues at
March 25, 2017was included in the Giga-tronics Division reporting segment. A
thirdcustomer, Lockheed Martin accounted for
14%of the Company’s revenue and was included in the Microsource segment.
2016,the Boeing Company accounted for
32%of the Company’s consolidated revenues at
March 26, 2016and was included in the Microsource segment. A
secondcustomer, DFAS accounted for
11%of the Company’s consolidated revenues at
March 26, 2016was included in the Giga-tronics Division reporting segment.
Export sales accounted for
4%of the Company’s sales in fiscal
2016,respectively. Export sales by geographical area for these fiscal years are shown below:
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.
Reference 1: http://www.xbrl.org/2003/role/presentationRef