2. REVENUES
The following table provides information about disaggregated net sales by customer category for the years ended December 31, 2025, 2024 and 2023:
| | | | | | | | | | | |
| (In millions) | 2025 | 2024 | 2023 |
| Semiconductor: | | | |
| Fabs | $ | 1,973.0 | | $ | 1,965.6 | | $ | 1,920.0 | |
| Equipment and Engineering | 469.4 | | 493.5 | | 566.8 | |
| Chemical and Materials | 320.1 | | 327.5 | | 355.2 | |
| Semi Distributor/Other | 272.5 | | 262.6 | | 326.9 | |
| Non-Semi | 161.6 | | 192.0 | | 355.0 | |
| Total net sales | $ | 3,196.6 | | $ | 3,241.2 | | $ | 3,523.9 | |
The following table provides information about current contract liabilities from contracts with customers. The contract liabilities are included in other accrued liabilities balance in the consolidated balance sheet.
| | | | | | | | | | | |
| (In millions) | 2025 | | 2024 |
| Balance at beginning of year | $ | 41.7 | | | $ | 69.1 | |
| | | |
| Revenue recognized that was included in the contract liability balance at the beginning of the period | (36.6) | | | (65.1) | |
| Increases due to cash received, excluding amounts recognized as revenue during the period | 44.8 | | | 37.7 | |
| Balance at end of year | $ | 49.9 | | | $ | 41.7 | |
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.