Balance Sheet Details

12 Months Ended

Dec. 31, 2020

Balance Sheet Related Disclosures [Abstract]

Balance Sheet Details

3. Balance Sheet Details

Accounts Receivable, net

Accounts receivable consist of the following (in thousands):

	December 31,
	2020			2019
Accounts receivable	$	23,887		$	16,436
Less allowance for doubtful accounts		(360	)		(286	)
Accounts receivable, net	$	23,527		$	16,150

Inventories, net

Inventories consist of the following (in thousands):

	December 31,
	2020			2019
Raw materials	$	6,064		$	5,822
Work-in-process		1,982			1,578
Finished goods		67,892			51,669
		75,938			59,069
Less reserve for excess and obsolete		(29,937	)		(24,215	)
Inventories, net	$	46,001		$	34,854

Property and Equipment, net

Property and equipment consist of the following (in thousands, except as indicated):

	Useful lives		December 31,
	(in years)		2020			2019
Surgical instruments		4	$	76,669		$	58,502
Machinery and equipment		7		6,562			6,038
Computer equipment		3		4,206			3,594
Office furniture and equipment		5		1,380			1,297
Leasehold improvements	various			1,761			1,761
Construction in progress	n/a			2,738			496
				93,316			71,688
Less accumulated depreciation and amortization				(56,646	)		(51,966	)
Property and equipment, net			$	36,670		$	19,722

Total depreciation expense was $9.2 million and $6.8 million for the years ended December 31, 2020 and 2019, respectively. At December 31, 2020 and 2019, assets recorded under capital leases of $0.1 million were included in the machinery and equipment balance. Amortization of assets under capital leases is included in depreciation expense.

Intangible Assets, net

Intangible assets, net consist of the following (in thousands, except as indicated):

	Remaining Avg. Useful lives		Gross		Accumulated			Intangible
December 31, 2020:	(in years)		Amount		Amortization			Assets, net
Developed product technology		12	$	35,376	$	(23,056	)	$	12,320
License agreements		1		5,536		(965	)		4,571
Trademarks and trade names		—		792		(119	)		673
Customer-related		3		7,458		(3,968	)		3,490
Distribution network		2		4,027		(1,639	)		2,388
In process research and development		7		1,278		—			1,278
Total			$	54,467	$	(29,747	)	$	24,720
	Remaining Avg. Useful lives		Gross		Accumulated			Intangible
December 31, 2019:	(in years)		Amount		Amortization			Assets, net
Developed product technology		12	$	35,376	$	(22,206	)	$	13,170
Intellectual Property		—		1,004		(1,004	)		—
License agreements		1		5,536		(740	)		4,796
Trademarks and trade names		—		792		(119	)		673
Customer-related		4		7,458		(3,481	)		3,977
Distribution network		3		4,027		(1,438	)		2,589
In process research and development		7		400		—			400
Total			$	54,593	$	(28,988	)	$	25,605

Total expense related to amortization of intangible assets was $1.8 million and $0.7 million for the years ended December 31, 2020 and 2019, respectively.

Future amortization expense related to intangible assets as of December 31, 2020 is as follows (in thousands):

Year Ending December 31,
2021	$	2,014
2022		2,014
2023		2,014
2024		1,911
2025		1,326
Thereafter		15,441
Total	$	24,720

Accrued Expenses

Accrued expenses consist of the following (in thousands):

	December 31,
	2020		2019
Commissions and sales milestones	$	6,734	$	5,299
Payroll and payroll related		12,247		7,949
Litigation settlement obligation - short-term portion		4,000		4,400
Professional fees		3,551		3,945
Royalties		2,293		1,981
Interest		619		155
Other		5,787		2,687
Total accrued expenses	$	35,231	$	26,416

Other Long-Term Liabilities

Other long-term liabilities consist of the following (in thousands):

	December 31,
	2020		2019
Litigation settlement obligation - long-term portion	$	7,634	$	10,712
Line of credit exit fee		—		600
Tax liabilities		373		373
Royalties		1,678		—
Other		1,668		266
Other long-term liabilities	$	11,353	$	11,951