XML 86 R14.htm IDEA: XBRL DOCUMENT v3.24.2
SEGMENT INFORMATION
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
The Company has four operating segments that are organized primarily by product. They generally have overlapping geographical presence, customer bases, distribution channels, and regulatory oversight with the exception of Wellspect Healthcare, which has a more discrete market and regulatory environment specific to the medical device industry. These operating segments, which also form the Company’s reportable segments, are identified in accordance with how the Company’s chief operating decision maker (“CODM”) regularly reviews financial results and uses this information to evaluate the Company’s performance and allocate resources.

The Company evaluates performance of the segments based on net sales and adjusted operating income. Segment adjusted operating income is defined as operating income before income taxes and before certain corporate headquarters unallocated costs, goodwill and intangible asset impairments, restructuring and other costs, interest expense, net, other expense (income), net, amortization of intangible assets, and depreciation resulting from the fair value step-up of property, plant, and equipment from business combinations. Asset and other balance sheet information is not reported to the CODM.

The Company’s segment information for the three and six months ended June 30, 2024 and 2023 was as follows:

Net Sales
Three Months EndedSix Months Ended
(in millions)2024202320242023
Connected Technology Solutions$253 $309 $500 $574 
Essential Dental Solutions375 377 739 763 
Orthodontic and Implant Solutions276 270 547 529 
Wellspect Healthcare80 72 151 140 
Total net sales$984 $1,028 $1,937 $2,006 

Segment Adjusted Operating Income
Three Months EndedSix Months Ended
(in millions)2024202320242023
Connected Technology Solutions$3 $26 $5 $32 
Essential Dental Solutions125 125 240 250 
Orthodontic and Implant Solutions42 49 84 98 
Wellspect Healthcare24 21 47 39 
Segment adjusted operating income194 221 376 419 
Reconciling items expense (income):
All other (a)
69 83 148 171 
Intangible asset impairments— — 6 — 
Restructuring and other costs21 5 22 64 
Interest expense, net17 22 35 42 
Other (income) expense, net(1)12 (8)18 
Amortization of intangible assets54 53 108 106 
Income before income taxes$34 $46 $65 $18 
(a) Includes unassigned corporate headquarters costs.