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Business Segment Information
12 Months Ended
Sep. 30, 2020
Segment Reporting [Abstract]  
Business Segment Information Business Segment Information
The Company is organized based upon the products and services it provides to its customers. The Company's operations are comprised of the Pharmaceutical Distribution Services reportable segment and other operating segments that are not significant enough to require separate reportable segment disclosure and, therefore, have been included in Other for the purpose of reportable segment presentation. Other consists of operating segments that focus on global commercialization services and animal health (MWI Animal Health). The operating segments that focus on global commercialization services include AmerisourceBergen Consulting Services ("ABCS") and World Courier.
The chief operating decision maker ("CODM") of the Company is the Chairman, President & Chief Executive Officer of the Company, whose function is to allocate resources to, and assess the performance of, the Company's operating segments. The CODM does not review assets by operating segment for the purpose of assessing performance or allocating resources.
The Pharmaceutical Distribution Services reportable segment distributes a comprehensive offering of brand-name, specialty brand-name and generic pharmaceuticals, over-the-counter healthcare products, home healthcare supplies and equipment, and related services to a wide variety of healthcare providers, including acute care hospitals and health systems, independent and chain retail pharmacies, mail order pharmacies, medical clinics, long-term care and alternate site pharmacies, and other customers. Through a number of operating businesses, the Pharmaceutical Distribution Services reportable segment provides pharmaceutical distribution (including plasma and other blood products, injectible pharmaceuticals, vaccines, and other specialty pharmaceutical products) and additional services to physicians who specialize in a variety of disease states, especially oncology, and to other healthcare providers, including hospitals and dialysis clinics. Additionally, the Pharmaceutical Distribution Services reportable segment provides data analytics, outcomes research, and additional services for biotechnology and pharmaceutical manufacturers. The Pharmaceutical Distribution Services reportable segment also provides pharmacy management, staffing and additional consulting services, and supply management software to a variety of retail and institutional healthcare providers. Additionally, it delivers packaging solutions to institutional and retail healthcare providers.
MWI is a leading animal health distribution company in the United States and in the United Kingdom. MWI sells pharmaceuticals, vaccines, parasiticides, diagnostics, micro feed ingredients, and various other products to customers in both the companion animal and production animal markets. Additionally, MWI offers demand-creating sales force services to manufacturers. ABCS, through a number of operating businesses, provides a full suite of integrated manufacturer services that range from clinical trial support to product post-approval and commercialization support. World Courier, which operates in over 50 countries, is a leading global specialty transportation and logistics provider for the biopharmaceutical industry.
The following illustrates reportable and operating segment disaggregated revenue as required by ASC 606 for the periods indicated:
 Fiscal Year Ended September 30,
(in thousands)202020192018
Pharmaceutical Distribution Services$182,467,189 $172,813,537 $161,699,343 
Other:
MWI Animal Health4,216,462 3,975,232 3,789,759 
Global Commercialization Services3,308,640 2,893,109 2,542,971 
Total Other7,525,102 6,868,341 6,332,730 
Intersegment eliminations(98,365)(92,757)(92,438)
Revenue$189,893,926 $179,589,121 $167,939,635 
Intersegment eliminations primarily represent the elimination of certain Pharmaceutical Distribution Services reportable segment sales to MWI.
The following illustrates reportable segment operating income information for the periods indicated:
 Fiscal Year Ended September 30,
(in thousands)202020192018
Pharmaceutical Distribution Services$1,807,001 $1,671,251 $1,626,748 
Other400,139 380,660 355,091 
Intersegment eliminations(2,693)(659)(609)
Total segment operating income$2,204,447 $2,051,252 $1,981,230 
The following reconciles total segment operating income to income before income taxes for the periods indicated:
 Fiscal Year Ended September 30,
(in thousands)202020192018
Total segment operating income$2,204,447 $2,051,252 $1,981,230 
Gain from antitrust litigation settlements9,076 145,872 35,938 
LIFO (expense) credit(7,422)22,544 (67,324)
PharMEDium remediation costs(16,165)(69,423)(66,204)
PharMEDium shutdown costs(43,206)— — 
New York State Opioid Stewardship Act(14,800)22,000 (22,000)
Contingent consideration adjustment12,153 — — 
Acquisition-related intangibles amortization(110,478)(159,848)(174,751)
Employee severance, litigation, and other(6,807,307)(330,474)(183,520)
Goodwill impairment— — (59,684)
Impairment of PharMEDium assets(361,652)(570,000)— 
Operating (loss) income(5,135,354)1,111,923 1,443,685 
Other (income) loss(1,581)(12,952)25,469 
Interest expense, net137,883 157,769 174,699 
Loss on consolidation of equity investments— — 42,328 
Loss on early retirement of debt22,175 — 23,766 
(Loss) income before income taxes$(5,293,831)$967,106 $1,177,423 
Segment operating income is evaluated by the CODM of the Company and excludes gain from antitrust litigation settlements; LIFO (expense) credit; PharMEDium remediation costs; PharMEDium shutdown costs; New York State Opioid Stewardship Act; contingent consideration adjustment; acquisition-related intangibles amortization; employee severance, litigation, and other; goodwill impairment; and impairment of PharMEDium assets. Segment measures were adjusted in fiscal 2020 to exclude PharMEDium shutdown costs and contingent consideration adjustment as the CODM excludes these costs in the measurement of segment performance. All corporate office expenses are allocated to the operating segment level.
    The Company incurred remediation costs in connection with the suspended production activities at PharMEDium (see Note 1). These remediation costs are primarily classified in Cost of Goods sold in the Consolidated Statements of Operations. The Company incurred costs in connection with exiting the PharMEDium compounding business. These shutdown costs are primarily classified in Distribution, Selling, and Administrative expenses in the Consolidated Statement of Operations.
One of the Company's non-wholly-owned subsidiaries, Profarma, which the Company consolidates based on certain governance rights (see Note 3), adjusted its previous estimate of contingent consideration related to the purchase price of one of its prior business acquisitions.
    The Company recorded a $13.7 million gain on the sale of an equity investment in Other (Income) Loss in the Company's Consolidated Statement of Operations in the fiscal year ended September 30, 2019.
    The Company recorded a $30.0 million impairment of a non-customer note receivable related to a start-up venture in Other (Income) Loss in the Company's Consolidated Statement of Operations in the fiscal year ended September 30, 2018.
    The following illustrates depreciation and amortization by reportable segment for the periods indicated:
Fiscal Year Ended September 30,
(in thousands)202020192018
Pharmaceutical Distribution Services$203,062 $232,735 $225,608 
Other77,522 69,824 64,768 
Acquisition-related intangibles amortization110,478 159,848 174,751 
Total depreciation and amortization$391,062 $462,407 $465,127 
Depreciation and amortization includes depreciation and amortization of property and equipment and intangible assets, but excludes amortization of deferred financing costs and other debt-related items, which are included in interest expense, net.
The following illustrates capital expenditures by reportable segment for the periods indicated:
Fiscal Year Ended September 30,
(in thousands)202020192018
Pharmaceutical Distribution Services$201,144 $210,161 $190,191 
Other168,533 100,061 146,220 
Total capital expenditures$369,677 $310,222 $336,411