| Segments |
18. Segments The accounting policies of the segments are the same as those described in Note 1, “Organization and Significant Accounting Policies.” The operating segments do not make sales to each other. Effective May 1, 2024, segment adjusted gross margin is the measure of profitability used by the CODM for purposes of making decisions about allocating resources to the segments and assessing performance. Segment adjusted gross margin is defined as gross margin before intangible amortization expense including amortization of purchase accounting adjustments. Prior period segment information has been revised to align with the new segment measure of profitability. | | | | | | | | | | | | | | | Three Months Ended July 27, 2024 | | | UxS | | LMS | | MW | | Total | Revenue: | | | | | | | | | | | | | Product sales | | $ | 112,301 | | $ | 47,180 | | $ | 23 | | $ | 159,504 | Contract services | | | 7,675 | | | 4,793 | | | 17,511 | | | 29,979 | | | $ | 119,976 | | $ | 51,973 | | $ | 17,534 | | $ | 189,483 | | | | | | | | | | | | | | Segment adjusted gross margin | | $ | 67,252 | | $ | 13,272 | | $ | 4,657 | | $ | 85,181 | | | | | | | | | | | | | | Depreciation and amortization | | $ | 6,901 | | $ | 800 | | $ | 1,151 | | $ | 8,852 |
| | | | | | | | | | | | | | | Three Months Ended July 29, 2023 | | | UxS | | LMS | | MW | | Total | Revenue: | | | | | | | | | | | | | Product sales | | $ | 93,231 | | $ | 25,325 | | $ | 915 | | $ | 119,471 | Contract services | | | 4,976 | | | 5,592 | | | 22,308 | | | 32,876 | | | $ | 98,207 | | $ | 30,917 | | $ | 23,223 | | $ | 152,347 | | | | | | | | | | | | | | Segment adjusted gross margin | | $ | 50,426 | | $ | 12,323 | | $ | 5,308 | | $ | 68,057 | | | | | | | | | | | | | | Depreciation and amortization | | $ | 5,153 | | $ | 559 | | $ | 1,239 | | $ | 6,951 |
The following table (in thousands) provides a reconciliation from segment adjusted gross margin to income before income taxes: | | | | | | | | | Three Months Ended | | Three Months Ended | | | July 27, | | July 29, | | | 2024 | | 2023 | Segment adjusted gross margin | | $ | 85,181 | | $ | 68,057 | Amortization in cost of sales | | | (3,714) | | | (2,397) | Selling, general and administrative | | | (33,795) | | | (23,827) | Research and development | | | (24,613) | | | (15,466) | Interest expense, net | | | (239) | | | (2,008) | Other expense, net | | | (234) | | | (1,129) | Income before income taxes | | $ | 22,586 | | $ | 23,230 |
Identifiable segment assets are summarized in the table below. Corporate assets primarily consist of cash and cash equivalents, prepaid expenses and other current assets, long-term investments, property and equipment, net, operating lease right-of-use assets, deferred income taxes and other assets managed centrally on behalf of the business segments. | | | | | | | | | | | | | | | | | | UxS | | LMS | | MW | | Corporate | | Total | As of July 27, 2024 | | $ | 535,001 | | $ | 197,738 | | $ | 49,874 | | $ | 216,556 | | $ | 999,169 | As of April 30, 2024 | | $ | 590,619 | | $ | 165,413 | | $ | 50,767 | | $ | 209,061 | | $ | 1,015,860 |
Capital expenditures are summarized in the table below (in thousands):
| | | | | | | | | | | | | | | | | | UxS | | LMS | | MW | | Corporate | | Total | Three Months Ended July 27, 2024 | | $ | 2,151 | | $ | 1,069 | | $ | 1,353 | | $ | 857 | | $ | 5,430 | Three Months Ended July 29, 2023 | | $ | 2,054 | | $ | 642 | | $ | 638 | | $ | 298 | | $ | 3,632 |
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