Segment Reporting (Tables)

9 Months Ended

Sep. 26, 2020

The following is a summary of certain financial data for each of our segments. Reportable segment information is presented on the same basis as our condensed consolidated financial statements, except for net revenue and associated costs applicable to revenue, which are presented on a cash basis, including point of sales for managed care payors and excluding the effects of unearned and deferred revenue, consistent with what the chief operating decision maker (“CODM”) regularly reviews. Asset information is not included in the following summary since the CODM does not regularly review such information for the reportable segments. Our reportable segment profit measure is earnings before interest, tax, depreciation and amortization (“EBITDA”), or net revenue, less costs applicable to revenue, less SG&A expenses. Depreciation and amortization, asset impairment, litigation settlement and other corporate costs that are not allocated to the reportable segments, including interest expense are excluded from segment EBITDA. There are no revenue transactions between our reportable segments. We measure assets in our reportable segments on the same basis as consolidated assets. There have been no changes from prior periods in the measurement methods used to determine reportable segment profit or loss, and there have been no asymmetrical allocations to segments.


	Three Months Ended September 26, 2020
In thousands	Owned & Host		Legacy		Corporate/Other		Reconciliations		Total
Segment product revenues	$	323,159	$	24,900	$	57,906	$	(2,629)	$	403,336
Segment services and plans revenues	73,241		15,332		—		(6,556)		82,017
Total net revenue	396,400		40,232		57,906		(9,185)		485,353
Cost of products	86,945		11,676		50,154		(501)		148,274
Cost of services and plans	55,680		6,108		747		—		62,535
Total costs applicable to revenue	142,625		17,784		50,901		(501)		210,809
SG&A	128,206		13,068		49,244		—		190,518
Asset impairment	—		—		7,150		—		7,150


Other expense (income), net	—		—		(154)		—		(154)
EBITDA	$	125,569	$	9,380	$	(49,235)	$	(8,684)
Depreciation and amortization									22,236
Interest expense, net									12,475
Income before income taxes									$	42,319


	Three Months Ended September 28, 2019
In thousands	Owned & Host		Legacy		Corporate/Other		Reconciliations		Total
Segment product revenues	$	270,171	$	25,252	$	63,173	$	(2,807)	$	355,789
Segment services and plans revenues	63,267		14,103		1		(1,258)		76,113
Total net revenue	333,438		39,355		63,174		(4,065)		431,902
Cost of products	77,670		11,681		55,684		(517)		144,518
Cost of services and plans	53,465		6,519		—		—		59,984
Total costs applicable to revenue	131,135		18,200		55,684		(517)		204,502
SG&A	128,054		13,920		48,316		—		190,290
Asset impairment	—		—		3,516		—		3,516
Other expense, net	—		—		146		—		146
Loss on extinguishment of debt	—		—		9,786		—		9,786
EBITDA	$	74,249	$	7,235	$	(54,274)	$	(3,548)
Depreciation and amortization									22,336
Interest expense, net									7,873
Income (loss) before income taxes									$	(6,547)


	Nine Months Ended September 26, 2020
In thousands	Owned & Host		Legacy		Corporate/Other		Reconciliations		Total
Segment product revenues	$	782,502	$	65,572	$	174,950	$	(17,140)	$	1,005,884
Segment services and plans revenues	172,829		36,530		—		(179)		209,180
Total net revenue	955,331		102,102		174,950		(17,319)		1,215,064
Costs of products	223,759		32,173		150,198		(3,851)		402,279
Costs of services and plans	149,847		17,270		747		—		167,864
Total costs applicable to revenue	373,606		49,443		150,945		(3,851)		570,143
SG&A	349,624		37,260		133,957		—		520,841
Asset impairment	—		—		20,916		—		20,916
Litigation settlement	—		—		4,395		—		4,395
Other expense (income), net	—		—		(312)		—		(312)
Debt issuance costs	—		—		136		—		136
EBITDA	$	232,101	$	15,399	$	(135,087)	$	(13,468)
Depreciation and amortization									68,970
Interest expense, net									35,432
Income (loss) before income taxes									$	(5,457)


	Nine Months Ended September 28, 2019
In thousands	Owned & Host		Legacy		Corporate/Other		Reconciliations		Total
Segment product revenues	$	827,957	$	81,178	$	189,389	$	(2,042)	$	1,096,482
Segment services and plans revenues	191,117		42,019		12		(7,062)		226,086
Total net revenue	1,019,074		123,197		189,401		(9,104)		1,322,568
Costs of products	239,975		38,123		166,533		(454)		444,177
Costs of services and plans	155,710		19,090		1		—		174,801
Total costs applicable to revenue	395,685		57,213		166,534		(454)		618,978
SG&A	387,345		42,041		137,058		—		566,444
Asset impairment	—		—		7,387		—		7,387
Other expense, net	—		—		975		—		975
Loss on extinguishment of debt	—		—		9,786		—		9,786
EBITDA	$	236,044	$	23,943	$	(132,339)	$	(8,650)
Depreciation and amortization									63,570
Interest expense, net									25,902
Income before income taxes									$	29,526