SEGMENT AND GEOGRAPHIC INFORMATION

3 Months Ended

Mar. 31, 2017

Segment Reporting [Abstract]

SEGMENT AND GEOGRAPHIC INFORMATION

SEGMENT AND GEOGRAPHIC INFORMATION

The Company internally manages two global reportable segments and reports the results of its businesses to its chief operating decision maker. The two reportable segments and their activities are described below.

• The Specialty Surgical Solutions segment includes (i) the Neurosurgery business, which sells a full line of products for neurosurgery and neuro critical care such as tissue ablation equipment, dural repair products, cerebral spinal fluid management devices, intracranial monitoring equipment, and cranial stabilization equipment and (ii) the Instruments business, which sells more than 60,000 instrument patterns and surgical and lighting products to hospitals, surgery centers, and dental, podiatry, and veterinary offices.

• The Orthopedics and Tissue Technologies segment includes such offerings as skin and wound repair, bone and joint fixation implants in the upper and lower extremities, bone grafts and nerve and tendon repair.

The Corporate and other category includes (i) various legal, finance, information systems, executive, and human resource functions, (ii) brand management, and (iii) share-based compensation costs.

The operating results of the various reportable segments as presented are not comparable to one another because (i) certain operating segments are more dependent than others on corporate functions for unallocated general and administrative and/or operational manufacturing functions, and (ii) the Company does not allocate certain manufacturing costs and general and administrative costs to the operating segment results. Net sales and profit by reportable segment for the three months ended March 31, 2017 and 2016 are as follows:

	Three Months Ended March 31,
	2017			2016
	(In thousands)
Segment Net Sales
Specialty Surgical Solutions	$	156,290		$	151,175
Orthopedics and Tissue Technologies	102,346			85,595
Total revenues	$	258,636		$	236,770
Segment Profit
Specialty Surgical Solutions	$	62,703		$	57,581
Orthopedics and Tissue Technologies	27,079			20,275
Segment profit	89,782			77,856
Amortization	(4,101		)	(3,471)
Corporate and other	(75,722		)	(52,285		)
Operating income	$	9,959		$	22,100

The Company attributes revenues to geographic areas based on the location of the customer. Total revenue by major geographic area consisted of the following:

	Three Months Ended March 31,
	2017		2016
	(In thousands)
United States	$	201,096	$	181,232
Europe	28,816		29,442
Rest of World	28,724		26,096
Total Revenues	$	258,636	$	236,770