Annual report pursuant to Section 13 and 15(d)

Concentration of Credit Risk

v3.6.0.2
Concentration of Credit Risk
12 Months Ended
Dec. 31, 2016
Risks And Uncertainties [Abstract]  
Concentration of Credit Risk

(13)

Concentration of Credit Risk

 

(a)

Concentration of Sales and Accounts Receivable

The following represents customers that accounted for 10% or more of total revenue during the years ended December 31, 2016, 2015 and 2014 and customers that accounted for 10% or more of total trade accounts receivable at December 31, 2016, 2015 and 2014:

 

 

 

For the Year Ended December 31,

 

 

 

2016

 

 

2015

 

 

2014

 

Percentage of net revenue

 

 

 

 

 

 

 

 

 

 

 

 

Customer A

 

 

31

%

 

 

28

%

 

 

11

%

Customer B

 

 

20

 

 

 

15

 

 

 

29

 

Customer C

 

 

6

 

 

 

12

 

 

 

9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Year Ended December 31,

 

 

 

2016

 

 

2015

 

 

2014

 

Percentage of gross trade accounts receivable

 

 

 

 

 

 

 

 

 

 

 

 

Customer A

 

 

18

%

 

 

12

%

 

 

12

%

Customer B

 

 

16

 

 

 

1

 

 

 

1

 

Customer C

 

 

13

 

 

 

0

 

 

 

7

 

Customer D

 

 

13

 

 

 

23

 

 

 

12

 

 

 

(b)

Revenue by Geography

Net revenue by geographic area are as follows. Revenue is attributed by geographic location based on the bill-to location of the Company’s customers.

 

 

 

For the Year Ended December 31,

 

 

 

2016

 

 

2015

 

 

2014

 

Percentage of net revenue

 

 

 

 

 

 

 

 

 

 

 

 

China

 

 

74

%

 

 

64

%

 

 

68

%

Other Asia

 

 

11

 

 

 

21

 

 

 

15

 

North America

 

 

10

 

 

 

9

 

 

 

11

 

Europe

 

 

5

 

 

 

6

 

 

 

6

 

 

Although the Company ships the majority of antennas to its customers in China (primarily ODM’s and distributors), the end-users of the Company’s products are much more geographically diverse.

 

(c)

Concentration of Purchases

During the year ended December 31, 2016, 2015 and 2014, all of the Company’s products were manufactured by two vendors in China. The second vendor started production in April 2013.