Revenue from Contracts with Customers (Notes)

12 Months Ended

Dec. 29, 2023

Revenue from Contract with Customer [Abstract]

Revenue from Contract with Customer

5. Revenue from Contracts with Customers

Product Sales Revenue

 See Note 20 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 25, 2020 (Predecessor)	196.5		26.6		12.3		235.4
Provisions	2,087.1		23.7		55.2		2,166.0
Payments or credits	(2,041.8)		(28.8)		(58.0)		(2,128.6)
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 (Predecessor)	$	250.6	$	18.6	$	7.7	$	276.9
Provisions	804.4		7.0		36.7		848.1
Payments or credits	(789.7)		(9.6)		(31.7)		(831.0)
Balance as of December 30, 2022 (Predecessor)	$	265.3	$	16.0	$	12.7	$	294.0
Provisions	1,368.8		9.9		43.3		1,422.0
Payments or credits	(1,410.1)		(13.1)		(42.3)		(1,465.5)
Balance as of November 14, 2023 (Predecessor)	$	224.0	$	12.8	$	13.7	$	250.5
Balance as of November 15, 2023 (Successor)	$	224.0	$	12.8	$	13.7	$	250.5
Provisions	173.0		3.0		6.9		182.9
Payments or credits	(195.4)		(1.3)		(9.3)		(206.0)
Balance as of December 29, 2023 (Successor)	$	201.6	$	14.5	$	11.3	$	227.4

(1)Includes $59.0 million and $89.3 million of accrued Medicaid and $35.1 million and $55.3 million of accrued rebates as of December 29, 2023 (Successor) and December 30, 2022 (Predecessor), respectively, included within accrued and other current liabilities in the consolidated balance sheets.

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

	Successor		Predecessor
	Period from November 15, 2023 through December 29, 2023		Period from December 31, 2022 through November 14, 2023		Period from June 17, 2022 through December 30, 2022		Period from January 1, 2022 through June 16, 2022		Year Ended December 31, 2021
Product sales transferred at a point in time	85.3	%	83.2	%	83.0	%	80.8	%	79.4	%
Product sales transferred over time	14.7		16.8		17.0		19.2		20.6

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 December 29, 2023 (Successor):

Fiscal 2024 (1)	$	41.6
Fiscal 2025 (1)	23.7
Thereafter	4.2

(1)Certain estimated revenue included in the above table may not be recognized as a result of the Company's plan to cease commercialization of the StrataGraft product as further described in Note 22.

Costs to fulfill a contract

As of December 29, 2023 (Successor) and December 30, 2022 (Predecessor), the total net book value of the devices used in the Company's portfolio of drug-device combination products, which are used in satisfying future performance obligations and reflected in property, plant and equipment, net, on the consolidated balance sheets was $0.6 million and $10.3 million, respectively. The associated depreciation expense recognized during the period November 15, 2023 through December 29, 2023 (Successor), the period December 31, 2022 through November 14, 2023 (Predecessor), the period June 17, 2022 through December 30, 2022 (Predecessor), the period January 1, 2022 through June 16, 2022 (Predecessor), and fiscal 2021 (Predecessor) was zero, $1.9 million, $1.0 million, $2.9 million, and $6.1 million, respectively.

Product Royalty Revenues

The Company licensed certain rights to Amitiza to third parties in exchange for royalties on net sales of the product. Prior to 2023, the Company received 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 recognized such royalty revenue as the related sales occurred. The associated royalty revenue recognized was as follows:

	Successor		Predecessor
	Period from November 15, 2023 through December 29, 2023		Period from December 31, 2022 through November 14, 2023		Period from June 17, 2022 through December 30, 2022		Period from January 1, 2022 through June 16, 2022		Year Ended December 31, 2021
Royalty revenue	$	0.1	$	4.3	$	36.2	$	34.9	$	102.4