Variable Interest Entity

6 Months Ended

Mar. 31, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

The Company has substantial governance rights over Profarma Distribuidora de Produtos Farmacêuticos S.A. ("Profarma"), which allow it to direct the activities that significantly impact Profarma’s economic performance. As such, the Company consolidates the operating results of Profarma in its consolidated financial statements. The Company is not obligated to provide future financial support to Profarma.

The following assets and liabilities of Profarma are included in the Company's Consolidated Balance Sheets:



(in thousands)	March 31, 2020		September 30, 2019
Cash and cash equivalents	$	15,589	$	9,431
Accounts receivables, net	129,875		154,491
Inventories	164,998		185,602
Prepaid expenses and other	57,821		64,119
Property and equipment, net	24,700		30,961
Goodwill	82,309		82,309
Other intangible assets	75,655		74,429
Other long-term assets	53,381		9,169
Total assets	$	604,328	$	610,511

Accounts payable	$	168,452	$	165,053
Accrued expenses and other	34,141		49,191
Short-term debt	90,496		106,439
Long-term debt	47,768		60,973
Deferred income taxes	36,858		42,371
Other long-term liabilities	40,886		5,303
Total liabilities	$	418,601	$	429,330

Profarma's assets can only be used to settle its obligations, and its creditors do not have recourse to the general credit of the Company.