XML 40 R27.htm IDEA: XBRL DOCUMENT
v3.22.4

Balance Sheet Details (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2022
Balance Sheet Related Disclosures [Abstract] |
Inventories | Inventories consist of the following (in thousands):
|  | December 31, |
|  | 2022 |  |  | 2021 |
Raw materials |  | $ | 13,928 |  |  | $ | 14,671 |
Work-in-process |  |  | 3,032 |  |  |  | 5,712 |
Finished goods |  |  | 84,561 |  |  |  | 71,320 |
Inventories |  | $ | 101,521 |  |  | $ | 91,703 |
Property and Equipment, Net | Property and equipment, net consist of the following (in thousands, except as indicated):
|  | Useful Life |  | December 31, |
|  | (in years) |  | 2022 |  |  | 2021 |
Surgical instruments |  | 4 |  | $ | 158,906 |  |  | $ | 130,432 |
Machinery and equipment |  | 7 |  |  | 9,502 |  |  |  | 11,092 |
Computer equipment |  | 3 |  |  | 4,753 |  |  |  | 5,694 |
Office furniture and equipment |  | 5 |  |  | 4,760 |  |  |  | 3,861 |
Leasehold improvements |  | various |  |  | 2,965 |  |  |  | 1,754 |
Construction in progress |  | n/a |  |  | 15,360 |  |  |  | 7,292 |
|  |  |  |  | 196,246 |  |  |  | 160,125 |
Less: accumulated depreciation |  |  |  |  | (94,294 | ) |  |  | (72,724 | )
Property and equipment, net |  |  |  | $ | 101,952 |  |  | $ | 87,401 |
Schedule of Goodwill | The change in the carrying amount of goodwill during the year ended December 31, 2022 included the following (in thousands):
December 31, 2021 |  | $ | 39,689 |
Purchase price allocation adjustment |  |  | 1,628 |
Foreign currency fluctuation |  |  | (1,542 | )
December 31, 2022 |  | $ | 39,775 |
Intangible Assets, Net | Intangible assets, net consist of the following (in thousands, except as indicated):
|  | Remaining Weighted Avg. Useful Life |  | Gross |  |  | Accumulated |  |  | Intangible |
December 31, 2022: |  | (in years) |  | Amount |  |  | Amortization |  |  | Assets, net |
Developed product technology |  | 7 |  | $ | 75,896 |  |  | $ | (13,420 | ) |  | $ | 62,476 |
Trademarks and trade names |  | 8 |  |  | 5,421 |  |  |  | (987 | ) |  |  | 4,434 |
Customer relationships |  | 4 |  |  | 14,240 |  |  |  | (6,906 | ) |  |  | 7,334 |
Distribution network |  | 2 |  |  | 2,413 |  |  |  | (2,041 | ) |  |  | 372 |
Total amortized intangible assets |  |  |  |  | 97,970 |  |  |  | (23,354 | ) |  |  | 74,616 |
Software in development |  | n/a |  |  | 2,503 |  |  |  |  |  |  | 2,503 |
In-process research and development |  | n/a |  |  | 5,662 |  |  |  |  |  |  | 5,662 |
Total intangible assets |  |  |  | $ | 106,135 |  |  | $ | (23,354 | ) |  | $ | 82,781 |
|  |  |  | . |  |  |  |  |  |  |
|  | Remaining Weighted Avg. Useful Life |  | Gross |  |  | Accumulated |  |  | Intangible |
December 31, 2021: |  | (in years) |  | Amount |  |  | Amortization |  |  | Assets, net |
Developed product technology |  | 12 |  | $ | 74,543 |  |  | $ | (5,768 | ) |  | $ | 68,775 |
Trademarks and trade names |  | 10 |  |  | 5,732 |  |  |  | (477 | ) |  |  | 5,255 |
Customer relationships |  | 5 |  |  | 14,732 |  |  |  | (5,264 | ) |  |  | 9,468 |
Distribution network |  | 3 |  |  | 2,413 |  |  |  | (1,840 | ) |  |  | 573 |
Total amortized intangible assets |  |  |  |  | 97,420 |  |  |  | (13,349 | ) |  |  | 84,071 |
In-process research and development |  | n/a |  |  | 1,203 |  |  |  |  |  |  | 1,203 |
Total intangible assets |  |  |  | $ | 98,623 |  |  | $ | (13,349 | ) |  | $ | 85,274 |
Schedule of Intangible Assets, Future Expected Amortization Expense | Future amortization expense related to intangible assets as of December 31, 2022 is as follows (in thousands):
Year Ending December 31, |  |  |
2023 |  | $ | 12,402 |
2024 |  |  | 12,300 |
2025 |  |  | 10,811 |
2026 |  |  | 10,811 |
2027 |  |  | 8,939 |
Thereafter |  |  | 19,353 |
Total |  | $ | 74,616 |
Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consist of the following (in thousands):
|  | December 31, |
|  | 2022 |  |  | 2021 |
Payroll and payroll related |  | $ | 19,764 |  |  | $ | 18,449 |
Commissions and sales milestones |  |  | 17,444 |  |  |  | 12,420 |
Accrued legal expenses |  |  | 8,345 |  |  |  | 4,290 |
Royalties |  |  | 4,758 |  |  |  | 3,466 |
Orthotec litigation settlement obligation |  |  | 3,968 |  |  |  | 4,400 |
Inventory in -transit |  |  | 3,548 |  |  |  | 2,089 |
Debt issuance costs |  |  | 2,690 |  |  |  | — |
Administration fees |  |  | 1,912 |  |  |  | 1,698 |
Other taxes payable |  |  | 1,955 |  |  |  | 3,004 |
Professional fees |  |  | 1,238 |  |  |  | 394 |
Interest |  |  | 1,122 |  |  |  | 1,045 |
Other |  |  | 5,638 |  |  |  | 4,294 |
Total accrued expenses and other current liabilities |  | $ | 72,382 |  |  | $ | 55,549 |
Schedule of Other Long-Term Liabilities | Other long-term liabilities consist of the following (in thousands):
|  | December 31, |
|  | 2022 |  |  | 2021 |
Royalties |  | $ | 5,739 |  |  | $ | 5,833 |
Orthotec litigation settlement obligation |  |  | — |  |  |  | 3,587 |
Income tax-related liabilities |  |  | 980 |  |  |  | 1,522 |
Contract liabilities |  |  | 3,047 |  |  |  | 2,897 |
Other |  |  | 1,777 |  |  |  | 3,222 |
Other long-term liabilities |  | $ | 11,543 |  |  | $ | 17,061 |

X
- References No definition available. + Details
Name: | us-gaap_BalanceSheetRelatedDisclosuresAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of other noncurrent liabilities. + References No definition available. + Details
Name: | us-gaap_OtherNoncurrentLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of physical assets used in the normal conduct of business and not intended for resale. Includes, but is not limited to, balances by class of assets, depreciation and depletion expense and method used, including composite depreciation, and accumulated deprecation. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 360 -SubTopic 10 -Section 50 -Paragraph 1 -URI https://asc.fasb.org/extlink&oid=6391035&loc=d3e2868-110229 + Details
Name: | us-gaap_PropertyPlantAndEquipmentTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the components of accrued liabilities. + References No definition available. + Details
Name: | us-gaap_ScheduleOfAccruedLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of assets, excluding financial assets and goodwill, lacking physical substance with a finite life, by either major class or business segment. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=66006027&loc=d3e16323-109275 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 1 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=66006027&loc=d3e16265-109275 + Details
Name: | us-gaap_ScheduleOfFiniteLivedIntangibleAssetsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of goodwill by reportable segment and in total which includes a rollforward schedule. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (h) -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (c) -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (g) -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 4: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 5: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 6: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 7: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1A -URI https://asc.fasb.org/extlink&oid=121556970&loc=SL108378252-109267 Reference 8: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 9: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 10: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 2 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13854-109267 Reference 11: http://www.xbrl.org/2003/role/exampleRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 55 -Paragraph 24 -URI https://asc.fasb.org/extlink&oid=122137925&loc=d3e14258-109268 Reference 12: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 + Details
Name: | us-gaap_ScheduleOfGoodwillTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the carrying amount as of the balance sheet date of merchandise, goods, commodities, or supplies held for future sale or to be used in manufacturing, servicing or production process. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(6)(c)) -URI https://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(6)(b)) -URI https://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(6)(a)) -URI https://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section 50 -Paragraph 1 -URI https://asc.fasb.org/extlink&oid=6361739&loc=d3e7789-107766 + Details
Name: | us-gaap_ScheduleOfInventoryCurrentTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the amount of amortization expense expected to be recorded in succeeding fiscal years for finite-lived intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=66006027&loc=d3e16323-109275 + Details
Name: | us-gaap_ScheduleofFiniteLivedIntangibleAssetsFutureAmortizationExpenseTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration