Unaudited Quarterly Results

12 Months Ended

Dec. 31, 2015

Unaudited Quarterly Results [Abstract]

16 Unaudited Quarterly Results

The Company's unaudited quarterly results are summarized below (in thousands, except per share data):

			First		Second		Third		Fourth
2015			Quarter		Quarter		Quarter		Quarter		Total
Net sales			$	460,404	$	494,740	$	500,578	$	586,610	$	2,042,332
Cost of sales				189,246		208,707		206,804		237,915		842,672
	Gross profit			271,158		286,033		293,774		348,695		1,199,660
Selling and administrative expenses				119,751		122,660		124,655		128,681		495,747
Research and development expenses				28,951		30,555		30,703		28,336		118,545
Acquired in-process research and development				-		-		-		3,855		3,855
Purchased intangibles amortization				2,474		2,500		2,573		2,576		10,123
Litigation provisions				-		-		-		3,939		3,939
	Operating income			119,982		130,318		135,843		181,308		567,451
Interest expense				(8,975)		(9,046)		(9,017)		(9,205)		(36,243)
Interest income				2,340		2,500		2,736		3,135		10,711
	Income from operations before
		income taxes		113,347		123,772		129,562		175,238		541,919
Provision for income tax expense				17,286		18,115		13,281		24,184		72,866
	Net income		$	96,061	$	105,657	$	116,281	$	151,054	$	469,053
Net income per basic common share				1.16		1.28		1.42		1.85		5.70
Weighted-average number of basic
	common shares			83,025		82,564		82,036		81,650		82,336
Net income per diluted common share				1.15		1.27		1.40		1.83		5.65
Weighted-average number of diluted
	common shares and equivalents			83,752		83,332		82,784		82,382		83,087

			First		Second		Third		Fourth
2014			Quarter		Quarter		Quarter		Quarter		Total
Net sales			$	430,508	$	481,801	$	493,165	$	583,870	$	1,989,344
Cost of sales				187,719		201,853		202,222		233,119		824,913
	Gross profit			242,789		279,948		290,943		350,751		1,164,431
Selling and administrative expenses				126,635		131,930		122,226		131,916		512,707
Research and development expenses				24,746		26,977		27,279		28,724		107,726
Acquired in-process research and development				-		-		-		15,456		15,456
Purchased intangibles amortization				2,647		2,646		2,725		2,616		10,634
	Operating income			88,761		118,395		138,713		172,039		517,908
Interest expense				(7,489)		(7,971)		(9,062)		(9,669)		(34,191)
Interest income				1,458		1,700		1,762		2,103		7,023
	Income from operations before
		income taxes		82,730		112,124		131,413		164,473		490,740
Provision for income tax expense				12,428		15,595		17,916		13,181		59,120
	Net income		$	70,302	$	96,529	$	113,497	$	151,292	$	431,620
Net income per basic common share				0.83		1.14		1.36		1.82		5.12
Weighted-average number of basic
	common shares			84,977		84,462		83,663		83,217		84,358
Net income per diluted common share				0.82		1.13		1.34		1.80		5.07
Weighted-average number of diluted
	common shares and equivalents			85,873		85,177		84,401		84,015		85,151

The Company typically experiences an increase in sales in the fourth quarter, as a result of purchasing habits for capital goods of customers that tend to exhaust their spending budgets by calendar year end. Selling and administrative expenses are typically higher in the second and third quarters over the first quarter in each year as the Company's annual payroll merit increases take effect. Selling and administrative expenses will vary in the fourth quarter in relation to performance in the quarter and for the year.

In the fourth quarters of 2015 and 2014, the Company recorded $4 million and $15 million charges, respectively, related to acquired in-process research and development (see Note 2). In the fourth quarter of 2015, the company recorded a $4 million provision related to litigation (see Note 10).