Form 8-K Keysight Technologies, For: Jan 16

January 16, 2019 4:35 PM


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 8-K
 
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
 
Date of Report (Date of earliest event reported): January 16, 2019
 
KEYSIGHT TECHNOLOGIES, INC.
(Exact name of registrant as specified in its charter)
 
Delaware
 
001-36334
 
46-4254555
(State or other jurisdiction
 
(Commission File Number)
 
(IRS Employer
of incorporation)
 
 
 
Identification No.)
 
1400 Fountaingrove Parkway Santa Rosa CA
 
95403
(Address of principal executive offices)
 
(Zip Code)
 
Registrant’s telephone number, including area code (800) 829-4444
 
 
(Former name or former address, if changed since last report.)
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
 
o            Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
 
o            Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
 
o            Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
 
o            Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 12b-2 of the Exchange Act.Emerging growth company o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o





Item 8.01 Other Events.

On January 16, 2019, Keysight Technologies, Inc. (the "Company") issued a press release to announce the completion of an organizational change to align its services business with its customers and end markets. A copy of the press release is attached hereto as Exhibit 99.1. The new segment reporting structure also reflects the retrospective application of ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, which we adopted on November 1, 2018.

This Current Report on Form 8-K including Exhibit 99.1 should be read in conjunction with the Annual Report on Form 10-K and other filings.  The information contained in this report, including Exhibit 99.1 attached hereto, is being furnished and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of Section 18. Furthermore, the information contained in this report shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.




Item 9.01 Financial Statements and Exhibits.

(d) Exhibits
 
The following is furnished as an exhibit to this report and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended:

Exhibit No.
 
Description
 



2



SIGNATURE
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 
 
KEYSIGHT TECHNOLOGIES, INC.
 
 
 
 
 
By:
/s/ Jeffrey K. Li
 
Name:
Jeffrey K. Li
 
Title:
Vice President, Assistant General Counsel and
 
 
Assistant Secretary
 
 
 
 
Date: January 16, 2019
 


3



EXHIBIT INDEX

Exhibit No.
 
Description
 


4
Exhibit 99.1



Keysight Technologies Announces Change to Segment Reporting

SANTA ROSA, Calif., Jan. 16, 2019 - Keysight Technologies, Inc. (NYSE: KEYS), a leading technology company that helps enterprises, service providers, and governments accelerate innovation to connect and secure the world, today announced that, in the first quarter of fiscal year 2019, it completed an organizational change to align its services business with its customers and end markets.

The alignment of services to the Communications Solutions Group (CSG) and Electronic Industrial Solutions Group (EISG) segments is a logical next step in Keysight’s customer solutions oriented go-to-market strategy, to fully reflect our services delivery within the markets served and further enable services growth. With this change from four reported segments to three, services, which was previously reported as Services Solutions Group (SSG), will now be reported in the segment in which the services are delivered.

Beginning in the first quarter of fiscal year 2019, the company will report segment operating results for: Communications Solutions Group (CSG), Electronic Industrial Solutions Group (EISG) and Ixia Solutions Group (ISG).


Historical Financial Information

Historical financial segment information under the new operating segment structure for the four quarters and full year for fiscal years 2016, 2017 and 2018 is provided below. In addition, the new segment reporting structure also reflects the retrospective application of ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, which the company adopted on November 1, 2018. Additional segment information is available on the company’s website at investor.keysight.com. Keysight historical results in aggregate remain unchanged.


About Keysight Technologies

Keysight Technologies, Inc. (NYSE: KEYS) is a leading technology company that helps enterprises, service providers, and governments accelerate innovation to connect and secure the world. Keysight's solutions optimize networks and bring electronic products to market faster and at a lower cost with offerings from design simulation, to prototype validation, to manufacturing test, to optimization in networks and cloud environments. Customers span the worldwide communications ecosystem, aerospace and defense, automotive, energy, semiconductor and general electronics end markets. Keysight generated revenues of $3.9B in fiscal year 2018. More information is available at www.keysight.com.

# # #



1


Additional information about Keysight Technologies is available in the newsroom at www.keysight.com/go/news and on FacebookGoogle+LinkedInTwitter and YouTube.

EDITORIAL CONTACT:
Denise Idone
+ 1 631-849-3500
denise.idone@keysight.com
INVESTOR CONTACT:
Jason Kary
+1 707-577-6916
jason.kary@keysight.com
Source: IR-KEYS




2


Keysight Technologies, Inc.
Communications Solutions Group (CSG)
Restated for ASU 2017-07 and Services Solutions Group (SSG) Realignment
(Unaudited)

2018
 
Q1
 
Q2
 
Q3
 
Q4
 
FY18
($ in millions, except margins data)
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
Net revenue
 
$
420

$

$
80

$
500

 
$
536

$

$
91

$
627

 
$
515

$

$
89

$
604

 
$
566

$

$
94

$
661

 
$
2,037

$

$
354

$
2,392

Cost of goods sold
 
164

2

48

214

 
206

2

54

262

 
197

2

54

253

 
205

2

56

263

 
772

8

212

992

Gross margin %
 
60.9
%
 
 
57.2
%
 
61.7
%
 
 
58.2
%
 
61.7
%
 
 
58.1
%
 
63.7
%
 
 
60.1
%
 
62.1
%
 
 
58.5
%
Research and development
 
80

3


84

 
87

3


89

 
81

3

1

85

 
83

3

1

87

 
331

11

2

345

Selling, general and administrative
 
118

4

20

142

 
120

3

23

146

 
124

3

22

149

 
124

3

26

153

 
486

13

91

590

Other operating expense (income), net
 
(2
)


(2
)
 
(2
)

(1
)
(3
)
 
(2
)


(2
)
 
(1
)

(1
)
(2
)
 
(7
)

(2
)
(9
)
Income from operations
 
59

(8
)
12

63

 
126

(9
)
14

132

 
114

(7
)
13

120

 
155

(8
)
12

159

 
454

(33
)
51

474

Operating margin %
 
14.0
%
 
 
12.6
%
 
23.5
%
 
 
21.0
%
 
22.2
%
 
 
19.8
%
 
27.4
%
 
 
24.1
%
 
22.3
%
 
 
19.8
%
Segment assets
 
$
1,700

 
$
240

$
1,940

 
$
1,801

 
$
254

$
2,055

 
$
1,801

 
$
258

$
2,059

 
$
1,854

 
$
261

$
2,115

 
$
1,854

 
$
261

$
2,115

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2017
 
Q1
 
Q2
 
Q3
 
Q4
 
FY17
($ in millions, except margins data)
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
Net revenue
 
$
434

$

$
76

$
510

 
$
424

$

$
78

$
502

 
$
418

$

$
86

$
504

 
$
462

$

$
86

$
548

 
$
1,738

$

$
326

$
2,064

Cost of goods sold
 
171

1

46

218

 
164

1

47

212

 
163

1

48

212

 
171

1

50

223

 
669

3

192

865

Gross margin %
 
60.5
%
 
 
57.2
%
 
61.3
%
 
 
57.7
%
 
61.2
%
 
 
58.1
%
 
62.9
%
 
 
59.4
%
 
61.5
%
 
 
58.1
%
Research and development
 
76

2


78

 
73

2


75

 
75

1


77

 
78

2


80

 
302

6

1

310

Selling, general and administrative
 
117

2

19

137

 
114

2

20

136

 
116

1

20

138

 
116

2

23

140

 
463

6

82

551

Other operating expense (income), net
 
(2
)


(2
)
 
(2
)

(1
)
(3
)
 
(1
)

(1
)
(2
)
 
(2
)


(2
)
 
(7
)

(2
)
(9
)
Income from operations
 
72

(4
)
11

79

 
75

(5
)
11

81

 
66

(3
)
17

80

 
98

(4
)
13

107

 
311

(16
)
53

347

Operating margin %
 
16.7
%
 
 
15.6
%
 
17.6
%
 
 
16.1
%
 
15.7
%
 
 
15.9
%
 
21.3
%
 
 
19.5
%
 
17.9
%
 
 
16.8
%
Segment assets
 
$
1,661

 
$
198

$
1,859

 
$
1,674

 
$
207

$
1,881

 
$
1,679

 
$
230

$
1,909

 
$
1,739

 
$
237

$
1,976

 
$
1,739

 
$
237

$
1,976

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2016
 
Q1
 
Q2
 
Q3
 
Q4
 
FY16
($ in millions, except margins data)
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
Net revenue
 
$
440

$

$
73

$
513

 
$
446

$

$
72

$
519

 
$
424

$

$
79

$
503

 
$
442

$

$
83

$
525

 
$
1,752

$

$
309

$
2,060

Cost of goods sold
 
175

1

44

221

 
174

1

44

219

 
162

1

45

209

 
176

2

48

225

 
687

6

182

874

Gross margin %
 
60.1
%
 
 
57.0
%
 
61.1
%
 
 
57.8
%
 
61.7
%
 
 
58.5
%
 
60.3
%
 
 
57.1
%
 
60.8
%
 
 
57.6
%
Research and development
 
76

2

2

79

 
76

1

2

79

 
75

1


77

 
76

2


78

 
303

6

4

313

Selling, general and administrative
 
113

2

18

133

 
115

2

19

137

 
112

3

19

133

 
117

3

20

141

 
457

11

76

544

Other operating expense (income), net
 
(3
)


(3
)
 
(2
)


(3
)
 
(2
)


(2
)
 
(2
)


(3
)
 
(9
)

(2
)
(11
)
Income from operations
 
78

(5
)
11

83

 
84

(5
)
7

87

 
77

(5
)
15

86

 
75

(7
)
16

84

 
314

(23
)
49

340

Operating margin %
 
17.7
%
 
 
16.2
%
 
18.9
%
 
 
16.7
%
 
18.1
%
 
 
17.2
%
 
17.1
%
 
 
15.9
%
 
17.9
%
 
 
16.5
%
Segment assets
 
$
1,744

 
$
198

$
1,942

 
$
1,798

 
$
204

$
2,002

 
$
1,792

 
$
210

$
2,002

 
$
1,805

 
$
210

$
2,015

 
$
1,805

 
$
210

$
2,015


Keysight adopted ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, retrospectively effective November 1, 2018.
Segment data reflect the results of our reportable segments under Keysight's management reporting system which are not necessarily in conformity with GAAP financial measures. Net revenue for Communications Solutions Group excludes the impact of fair value adjustments to acquisition related deferred revenue balances for the Anite acquisition of $5 million for Q1'16, $4 million for Q2'16, $3 million for Q3'16, $1 million for Q2'17 and $1 million for Q2'18, respectively. Income from operations of our reporting segments exclude, among other things, charges related to the amortization of acquisition-related balances, share based compensation, restructuring and related costs, acquisition and integration costs, separation and related costs, Northern California wildfire-related costs and Goodwill impairment.
The sum of the quarters may not tie to total due to rounding.

1


Keysight Technologies, Inc.
Electronic Industrial Solutions Group (EISG)
Restated for ASU 2017-07 and Services Solutions Group (SSG) Realignment
(Unaudited)

2018
 
Q1
 
Q2
 
Q3
 
Q4
 
FY18
($ in millions, except margins data)
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
Net revenue
 
$
203

 
$
26

$
229

 
$
255

$

$
26

$
282

 
$
258

$

$
27

$
285

 
$
249

$

$
27

$
275

 
$
965

$

$
106

$
1,071

Cost of goods sold
 
83

1

15

99

 
99

1

16

116

 
95

1

16

112

 
98

1

15

114

 
375

3

62

441

Gross margin %
 
59.0
%
 
 
56.6
%
 
61.3
%
 
 
59.0
%
 
63.1
%
 
 
60.9
%
 
60.6
%
 
 
58.7
%
 
61.1
%
 
 
58.9
%
Research and development
 
33

1


34

 
36

1


37

 
36

1


37

 
36

1


37

 
141

4

1

145

Selling, general and administrative
 
50

2

6

58

 
55

1

7

63

 
55

1

7

63

 
54

1

7

61

 
212

5

27

245

Other operating expense (income), net
 
(1
)


(1
)
 
(1
)


(1
)
 
(1
)


(1
)
 
(1
)


(1
)
 
(4
)

(1
)
(4
)
Income from operations
 
37

(3
)
4

38

 
67

(3
)
4

68

 
74

(3
)
5

75

 
63

(3
)
4

64

 
241

(12
)
17

245

Operating margin %
 
18.5
%
 
 
16.9
%
 
26.0
%
 
 
23.9
%
 
28.5
%
 
 
26.5
%
 
25.5
%
 
 
23.3
%
 
25.0
%
 
 
22.9
%
Segment assets
 
$
774

 
$
72

$
846

 
$
813

 
$
75

$
888

 
$
828

 
$
77

$
905

 
$
812

 
$
76

$
888

 
$
812

 
$
76

$
888

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2017
 
Q1
 
Q2
 
Q3
 
Q4
 
FY17
($ in millions, except margins data)
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
Net revenue
 
$
192

$

$
24

$
216

 
$
220

$

$
24

$
244

 
$
218

$

$
21

$
239

 
$
206

$

$
24

$
230

 
$
836

$

$
93

$
929

Cost of goods sold
 
77


14

91

 
84


13

98

 
85


14

99

 
80


13

93

 
326

1

54

381

Gross margin %
 
59.9
%
 
 
57.6
%
 
61.8
%
 
 
60.0
%
 
61.1
%
 
 
58.7
%
 
61.3
%
 
 
59.6
%
 
61.1
%
 
 
59.0
%
Research and development
 
28



28

 
31



32

 
30



30

 
32

1


33

 
121

2


123

Selling, general and administrative
 
46

1

6

53

 
49

1

6

55

 
49


5

55

 
50

1

6

56

 
194

3

23

219

Other operating expense (income), net
 
(1
)


(1
)
 
(1
)


(1
)
 
(1
)


(1
)
 



(1
)
 
(3
)

(1
)
(4
)
Income from operations
 
42

(1
)
4

44

 
57

(2
)
5

61

 
55

(1
)
2

56

 
45

(2
)
5

48

 
199

(6
)
15

209

Operating margin %
 
21.7
%
 
 
20.4
%
 
26.1
%
 
 
24.8
%
 
25.3
%
 
 
23.4
%
 
21.8
%
 
 
21.0
%
 
23.8
%
 
 
22.5
%
Segment assets
 
$
746

 
$
59

$
805

 
$
764

 
$
63

$
827

 
$
772

 
$
65

$
837

 
$
798

 
$
68

$
866

 
$
798

 
$
68

$
866

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2016
 
Q1
 
Q2
 
Q3
 
Q4
 
FY16
($ in millions, except margins data)
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
Net revenue
 
$
191

$

$
22

$
213

 
$
193

$

$
24

$
216

 
$
191

$

$
24

$
215

 
$
201

$

$
25

$
226

 
$
776

$

$
94

$
870

Cost of goods sold
 
82


13

96

 
78

1

14

93

 
75


14

89

 
81

1

15

97

 
316

2

56

375

Gross margin %
 
57.2
%
 
 
55.0
%
 
59.4
%
 
 
57.0
%
 
60.7
%
 
 
58.3
%
 
59.6
%
 
 
57.2
%
 
59.2
%
 
 
56.9
%
Research and development
 
27



28

 
27


1

29

 
27



27

 
27

1


28

 
108

2

1

112

Selling, general and administrative
 
46

1

5

52

 
47

1

6

54

 
46

1

6

52

 
47

1

6

54

 
186

4

23

212

Other operating expense (income), net
 
(1
)


(1
)
 
(1
)


(1
)
 
(1
)


(1
)
 
(1
)


(1
)
 
(4
)


(4
)
Income from operations
 
38

(2
)
3

38

 
40

(2
)
3

42

 
44

(2
)
4

47

 
47

(3
)
4

48

 
169

(8
)
14

175

Operating margin %
 
19.7
%
 
 
18.1
%
 
20.9
%
 
 
19.1
%
 
23.1
%
 
 
21.5
%
 
23.3
%
 
 
21.4
%
 
21.8
%
 
 
20.1
%
Segment assets
 
$
748

 
$
59

$
807

 
$
770

 
$
63

$
833

 
$
773

 
$
64

$
837

 
$
773

 
$
63

$
836

 
$
773

 
$
63

$
836


Keysight adopted ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, retrospectively effective November 1, 2018.
Segment data reflect the results of our reportable segments under Keysight's management reporting system which are not necessarily in conformity with GAAP financial measures. Income from operations of our reporting segments exclude, among other things, charges related to the amortization of acquisition-related balances, share based compensation, restructuring and related costs, acquisition and integration costs, separation and related costs, Northern California wildfire-related costs and Goodwill impairment.
The sum of the quarters may not tie to total due to rounding.

2


Keysight Technologies, Inc.
Ixia Solutions Group (ISG)
Restated for ASU 2017-07 and Services Solutions Group (SSG) Realignment
(Unaudited)

2018
 
Q1
 
Q2
 
Q3
 
Q4
 
FY18
($ in millions, except margins data)
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
Net revenue
 
$
127

$

$

$
127

 
$
90

$

$

$
90

 
$
119

$

$

$
119

 
$
115

$

$

$
115

 
$
451

$

$

$
451

Cost of goods sold
 
31



31

 
22



22

 
29



29

 
34



34

 
116



116

Gross margin %
 
75.6
%
 
 
75.5
%
 
75.8
 %
 
 
75.6
 %
 
75.6
%
 
 
75.5
%
 
70.5
%
 
 
70.3
 %
 
74.3
%
 
 
74.2
%
Research and development
 
25



26

 
30



30

 
31



31

 
32



32

 
118

1


119

Selling, general and administrative
 
52



53

 
46

1


47

 
49

1


50

 
49

1


49

 
196

3


199

Other operating expense (income), net
 




 




 




 




 




Income from operations
 
18



18

 
(7
)
(2
)

(10
)
 
10

(1
)

9

 

(1
)

(1
)
 
21

(4
)

16

Operating margin %
 
14.5
%
 
 
14.1
%
 
(8.4
)%
 
 
(10.6
)%
 
8.1
%
 
 
7.1
%
 
0.4
%
 
 
(0.5
)%
 
4.7
%
 
 
3.6
%
Segment assets
 
$
2,056

 
$

$
2,056

 
$
2,018

 
$

$
2,018

 
$
2,036

 
$

$
2,036

 
$
1,327

 
$

$
1,327

 
$
1,327

 
$

$
1,327

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2017
 
Q1
 
Q2(a)
 
Q3
 
Q4
 
FY17
($ in millions, except margins data)
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
 
As Reported
ASU
2017-07
SSG
Restated
Net revenue
 




 
$
12

$

$

$
12

 
$
120

$

$

$
120

 
$
124

$

$

$
124

 
$
256

$

$

$
256

Cost of goods sold
 




 
3



3

 
27



27

 
30



30

 
60



60

Gross margin %
 




 
77.1
 %
 
 
77.0
 %
 
77.0
%
 
 
76.8
%
 
76.2
%
 
 
76.2
 %
 
76.6
%
 
 
76.5
%
Research and development
 




 
4



4

 
21



21

 
25



26

 
50



51

Selling, general and administrative
 




 
7



7

 
47



47

 
49



49

 
103



103

Other operating expense (income), net
 




 




 




 




 




Income from operations
 




 
(2
)


(2
)
 
24



24

 
20



20

 
42



42

Operating margin %
 




 
(12.9
)%
 
 
(13.1
)%
 
19.9
%
 
 
19.6
%
 
16.4
%
 
 
16.2
 %
 
16.6
%
 
 
16.3
%
Segment assets
 




 
$
1,959

 
$

$
1,959

 
$
2,055

 
$

$
2,055

 
$
2,063

 
$

$
2,063

 
$
2,063

 
$

$
2,063


(a) The Ixia Solutions Group operating results include activity for 13 days during the period, from the date of acquisition, April 18, 2017, through April 30, 2017.

Keysight adopted ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, retrospectively effective November 1, 2018.

Segment data reflect the results of our reportable segments under Keysight's management reporting system which are not necessarily in conformity with GAAP financial measures. Net revenue for Ixia Solutions Group excludes the impact of fair value adjustments to acquisition related deferred revenue balances for the Ixia acquisition of $4 million for Q2'17, $31 million for Q3'17, $24 million for Q4'17, $19 million for Q1'18, $8 million for Q2'18, $4 million for Q3'18 and $4 million for Q4'18, respectively. Income from operations of our reporting segments exclude, among other things, charges related to the amortization of acquisition-related balances, share based compensation, restructuring and related costs, acquisition and integration costs, separation and related costs, Northern California wildfire-related costs, Goodwill impairment.

The sum of the quarters may not tie to total due to rounding.



3

Categories

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