Business Segments and Geographic Information

6 Months Ended

Mar. 28, 2020

Business Segments and Geographic Information

During the first fiscal quarter of 2020 and during fiscal 2019, the Company had five reportable segments: Diagnostics, Breast Health, GYN Surgical, Medical Aesthetics and Skeletal Health. The Company completed the sale of its Medical Aesthetics business on December 30, 2019, but will continue to have operating expenses related to indemnifying CD&R for legal and tax matters that existed as of the date of disposition. The Company measures and evaluates its reportable segments based on segment revenues and operating income adjusted to exclude the effect of non-cash charges, such as intangible asset amortization expense, intangible asset and goodwill impairment charges, acquisition related fair value adjustments and integration expenses, restructuring, divestiture and facility consolidation charges and other one-time or unusual items.

Identifiable assets for the reportable segments consist of inventories, intangible assets, goodwill, and property, plant and equipment. The Company fully allocates depreciation expense to its reportable segments. The Company has presented all other identifiable assets as corporate assets. There were no inter-segment revenues during the three and six months ended March 28, 2020 and March 30, 2019. Segment information is as follows:



	Three Months Ended						Six Months Ended
	March 28, 2020			March 30, 2019			March 28, 2020			March 30, 2019
Total revenues:
Diagnostics	$	319.2		$	296.7		$	630.7		$	593.3
Breast Health	307.8			321.5			638.9			646.2
GYN Surgical	105.4			102.2			224.5			210.6
Medical Aesthetics	—			73.8			65.3			153.6
Skeletal Health	23.7			24.2			47.2			45.4
	$	756.1		$	818.4		$	1,606.6		$	1,649.1
Income (loss) from operations:
Diagnostics	$	57.3		$	31.1		$	106.8		$	74.4
Breast Health	75.9			99.0			169.8			196.8
GYN Surgical	23.9			20.5			55.4			47.6
Medical Aesthetics	(2.4		)	(473.9		)	(53.4		)	(499.1		)
Skeletal Health	1.7			0.1			2.6			(2.4		)
	$	156.4		$	(323.2	)	$	281.2		$	(182.7	)
Depreciation and amortization:
Diagnostics	$	59.3		$	61.6		$	118.4		$	123.4
Breast Health	13.1			8.9			23.1			18.2
GYN Surgical	21.1			21.9			42.1			43.9
Medical Aesthetics	—			25.1			4.1			50.6
Skeletal Health	0.2			0.1			0.4			0.3
	$	93.7		$	117.6		$	188.1		$	236.4
Capital expenditures:
Diagnostics	$	17.1		$	16.0		$	35.3		$	30.4
Breast Health	8.1			4.7			14.5			6.8
GYN Surgical	5.3			3.1			10.6			6.6
Medical Aesthetics	—			3.4			1.4			4.5
Skeletal Health	0.1			0.3			0.2			0.6
Corporate	1.1			1.8			1.1			3.0
	$	31.7		$	29.3		$	63.1		$	51.9



	March 28, 2020		September 28, 2019
Identifiable assets:
Diagnostics	$	2,193.8	$	2,276.6
Breast Health	1,243.9		1,127.8
GYN Surgical	1,284.4		1,328.6
Medical Aesthetics	—		159.3
Skeletal Health	30.2		27.3
Corporate	2,069.5		1,522.5
	$	6,821.8	$	6,442.1

The Company had no customers that represented greater than 10% of consolidated revenues during the three and six months ended March 28, 2020 and March 30, 2019.

The Company operates in the major geographic areas noted in the below chart. Revenue data is based upon customer location. Other than the United States, no single country accounted for more than 10% of consolidated revenues. The Company’s sales in Europe are predominantly derived from France, Germany and the United Kingdom. The Company’s sales in Asia-Pacific are predominantly derived from China, Australia and Japan. The “Rest of World” designation includes Canada, Latin America and the Middle East.

Revenues by geography as a percentage of total revenues were as follows:



	Three Months Ended				Six Months Ended
	March 28, 2020		March 30, 2019		March 28, 2020		March 30, 2019
United States	76.0	%	75.1	%	75.1	%	75.0	%
Europe	14.8	%	12.5	%	13.8	%	12.3	%
Asia-Pacific	5.5	%	7.9	%	7.0	%	8.1	%
Rest of World	3.7	%	4.5	%	4.1	%	4.6	%
	100.0	%	100.0	%	100.0	%	100.0	%