Revenue from Contracts with Customers Revenue from Contracts with Customers (Notes)

9 Months Ended

Sep. 29, 2023

Revenue from Contract with Customer [Abstract]

Revenue from Contract with Customer [Text Block]

3. Revenue from Contracts with Customers

Product Sales Revenue

See Note 14 for presentation of the Company's net sales by product family.

Reserves for variable consideration

The following table reflects activity in the Company's sales reserve accounts:

	Rebates and Chargebacks (1)		Product Returns		Other Sales Deductions		Total
Balance as of December 31, 2021 (Predecessor)	$	241.8	$	21.5	$	9.5	$	272.8
Provisions	693.4		5.2		17.1		715.7
Payments or credits	(684.6)		(8.1)		(18.9)		(711.6)
Balance as of June 16, 2022 (Predecessor)	$	250.6	$	18.6	$	7.7	$	276.9
Balance as of June 17, 2022 (Successor)	$	250.6	$	18.6	$	7.7	$	276.9
Provisions	429.9		3.1		26.8		459.8
Payments or credits	(462.4)		(4.3)		(11.2)		(477.9)
Balance as of September 30, 2022 (Successor)	$	218.1	$	17.4	$	23.3	$	258.8
Balance as of December 30, 2022 (Successor)	$	265.3	$	16.0	$	12.7	$	294.0
Provisions	1,150.5		8.5		36.1		1,195.1
Payments or credits	(1,185.1)		(11.2)		(36.0)		(1,232.3)
Balance as of September 29, 2023 (Successor)	$	230.7	$	13.3	$	12.8	$	256.8

(1)Includes $57.2 million and $89.3 million of accrued Medicaid and $35.9 million and $55.3 million of accrued rebates as of September 29, 2023 (Successor) and December 30, 2022 (Successor), respectively, included within accrued and other current liabilities in the unaudited condensed consolidated balance sheets.

Product sales transferred to customers at a point in time and over time were as follows:

	Successor
	Three Months Ended September 29, 2023		Three Months Ended September 30, 2022
Product sales transferred at a point in time	85.1	%	82.4	%
Product sales transferred over time	14.9		17.6

	Successor				Predecessor
	Nine Months Ended September 29, 2023		Period from June 17, 2022 through September 30, 2022		Period from January 1, 2022  through June 16, 2022
Product sales transferred at a point in time	83.1	%	82.6	%	80.8	%
Product sales transferred over time	16.9		17.4		19.2

Transaction price allocated to the remaining performance obligations

The following table includes estimated revenue from contracts extending greater than one year for certain of the Company's hospital products that are expected to be recognized in the future related to performance obligations that were unsatisfied or partially unsatisfied as of September 29, 2023 (Successor):

Remainder of Fiscal 2023	$	12.6
Fiscal 2024	35.4
Fiscal 2025	17.4
Thereafter	0.2

Product Royalty Revenues

The Company licenses certain rights to Amitiza® (lubiprostone) ("Amitiza") to third parties in exchange for royalties on net sales of the product. The Company receives a double-digit royalty based on a percentage of the gross profits of the licensed products sold during the term of the agreements. The Company recognizes such royalty revenue as the related sales occur. The associated royalty revenue recognized was as follows:

	Successor
	Three Months Ended September 29, 2023		Three Months Ended September 30, 2022
Royalty revenue	$	0.2	$	18.2