SEGMENT REPORTING

12 Months Ended

Dec. 31, 2018

SEGMENT REPORTING

SEGMENT REPORTING

17. SEGMENT REPORTING

Effective January 1, 2018, the Company reports in two reportable segments: Specialty and PBM. The Specialty segment offers a broad range of innovative solutions to address the dispensing, delivery, dosing and reimbursement of clinically intensive, high-cost specialty drugs and a wide range of applications and the PBM segment provides services designed to help the Company’s customers reduce the cost and manage the complexity of their prescription drug programs. The chief operating decision maker evaluates segment performance principally upon net sales and gross profit. Net sales, cost of sales and gross profit information by segment are as follows:

	Year Ended December 31,
	Net Sales						Cost of Sales						Gross Profit
	2018		2017		2016		2018		2017		2016		2018		2017		2016
Specialty	$	4,790,837	$	4,472,857	$	4,410,388	$	(4,510,262)	$	(4,202,766)	$	(4,144,802)	$	280,575	$	270,091	$	265,586
PBM		729,455		12,373		—		(634,021)		(8,319)		—		95,434		4,054		—
Inter-segment eliminations
		(27,768)		—		—		27,768		—		—		—		—		—
	$	5,492,524	$	4,485,230	$	4,410,388	$	(5,116,515)	$	(4,211,085)	$	(4,144,802)	$	376,009	$	274,145	$	265,586

Total assets by segment are as follows:

	December 31,		December 31,
	2018		2017
Specialty	$	1,045,174	$	1,190,188
PBM		431,185		750,235
	$	1,476,359	$	1,940,423