Segments and Geographical Information (Tables)

3 Months Ended

Mar. 31, 2022

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment

Summarized financial information by segment is as follows (in thousands):

	Three Months Ended March 31,
	2022		2021
Net revenues
Clear Aligner	$	809,696	$	753,269
Systems and Services	163,523		141,502
Total net revenues	$	973,219	$	894,771
Gross profit
Clear Aligner	$	605,696	$	584,534
Systems and Services	103,650		92,564
Total gross profit	$	709,346	$	677,098
Income from operations
Clear Aligner	$	312,719	$	327,465
Systems and Services	50,799		47,228
Unallocated corporate expenses	(165,436)		(149,247)
Total income from operations	$	198,082	$	225,446
Stock-based compensation
Clear Aligner	$	2,854	$	2,294
Systems and Services	214		171
Unallocated corporate expenses	28,553		24,776
Total stock-based compensation	$	31,621	$	27,241
Depreciation and amortization
Clear Aligner	$	13,767	$	11,120
Systems and Services	6,922		4,545
Unallocated corporate expenses	8,937		9,970
Total depreciation and amortization	$	29,626	$	25,635

The following table reconciles total segment income from operations in the table above to net income before provision for income taxes (in thousands):

	Three Months Ended March 31,
	2022		2021
Total segment income from operations	$	363,518	$	374,693
Unallocated corporate expenses	(165,436)		(149,247)
Total income from operations	198,082		225,446
Interest income	677		1,643
Other income (expense), net	(11,273)		34,532
Net income before provision for income taxes	$	187,486	$	261,621

Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas

Net revenues are presented below by geographic area (in thousands):

	Three Months Ended March 31,
	2022		2021
Net revenues 1:
U.S.	$	420,920	$	383,002
Switzerland	331,739		315,450
Other International	220,560		196,319
Total net revenues	$	973,219	$	894,771

1 Net revenues are attributed to countries based on the location of where revenues are recognized by our legal entities.

Tangible long-lived assets, which includes Property, plant and equipment, net, and Operating lease right-of-use assets, net, are presented below by geographic area (in thousands):

	March 31, 2022		December 31, 2021
Long-lived assets 1:
Switzerland	$	477,312	$	444,205
U.S.	209,220		210,582
China	126,623		125,346
Other International	453,019		423,050
Total long-lived assets	$	1,266,174	$	1,203,183

1 Long-lived assets are attributed to countries based on the location of our entity that owns or leases the assets.