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Segments (Tables)
6 Months Ended
Jun. 30, 2014
Segment Reporting [Abstract]  
Reconciliation of Operating Profit (Loss) from Segments to Consolidated
The contributions of our operating segments to net revenues and income from operations, and the reconciliation to total net income, were as follows (amounts in thousands):
 
Three Months Ended June 30, 2014
 
Three Months Ended June 30, 2013
 
Automation and Analytics
 
Medication Adherence
 
Total
 
Automation and Analytics
 
Medication Adherence
 
Total
Total revenues
$
84,702

 
$
20,350

 
$
105,052

 
$
73,866

 
$
19,820

 
$
93,686

Cost of revenues
35,992

 
13,020

 
49,012

 
31,936

 
12,382

 
44,318

Gross profit
$
48,710

 
$
7,330

 
$
56,040

 
$
41,930

 
$
7,438

 
$
49,368

Gross margin %
57.5
%
 
36.0
%
 
53.3
%
 
56.8
%
 
37.5
%
 
52.7
%
 
 
 
 
 
 
 
 
 
 
 
 
Operating expenses
36,508

 
6,974

 
43,482

 
33,808

 
6,201

 
40,009

Income from operations
$
12,202

 
$
356

 
$
12,558

 
$
8,122

 
$
1,237

 
$
9,359

Operating margin %
14.4
%
 
1.7
%
 
12.0
%
 
11.0
%
 
6.2
%
 
10.0
%
 
 
 
 
 
 
 
 
 
 
 
 
Interest and other income (expense), net
 
 
 
 
(40
)
 
 
 
 
 
63

Income before provision for income taxes
 
 
 
 
12,518

 
 
 
 
 
9,422

Provision for income taxes
 
 
 
 
4,729

 
 
 
 
 
3,406

Net income
 
 
 
 
$
7,789

 
 
 
 
 
$
6,016



 
Six Months Ended June 30, 2014
 
Six Months Ended June 30, 2013
 
Automation and Analytics
 
Medication Adherence
 
Total
 
Automation and Analytics
 
Medication Adherence
 
Total
Total revenues
$
166,201

 
$
40,615

 
$
206,816

 
$
142,579

 
$
38,217

 
$
180,796

Cost of revenues
70,932

 
25,349

 
96,281

 
62,212

 
23,849

 
86,061

Gross profit
$
95,269

 
$
15,266

 
$
110,535

 
$
80,367

 
$
14,368

 
$
94,735

Gross margin %
57.3
%
 
37.6
%
 
53.4
%
 
56.4
%
 
37.6
%
 
52.4
%
 
 
 
 
 
 
 
 
 
 
 
 
Operating expenses
73,910

 
14,113

 
88,023

 
66,912

 
14,296

 
81,208

Income from operations
$
21,359

 
$
1,153

 
$
22,512

 
$
13,455

 
$
72

 
$
13,527

Operating margin %
12.9
%
 
2.8
%
 
10.9
%
 
9.4
%
 
0.2
%
 
7.5
%
 
 
 
 
 
 
 
 
 
 
 
 
Interest and other income (expense), net
 
 
 
 
(296
)
 
 
 

 
(159
)
Income before provision for income taxes
 
 
 
 
22,216

 
 
 
 
 
13,368

Provision for income taxes
 
 
 
 
8,233

 
 
 
 
 
3,967

Net income
 
 
 
 
$
13,983

 
 
 
 
 
$
9,401

Schedule of Segment Reporting Information, by Segment
Segment depreciation and amortization, and capital expenditures were as follows (amounts in thousands):
 
Three Months Ended June 30, 2014
 
Three Months Ended June 30, 2013
 
Automation and Analytics
 
Medication Adherence
 
Total
 
Automation and Analytics
 
Medication Adherence
 
Total
Depreciation and amortization
$
3,044

 
$
1,735

 
$
4,779

 
$
2,963

 
$
1,809

 
$
4,772

Capital expenditures
$
4,419

 
$
365

 
$
4,784

 
$
1,018

 
$
1,395

 
$
2,413


 
Six Months Ended June 30, 2014
 
Six Months Ended June 30, 2013
 
Automation and Analytics
 
Medication Adherence
 
Total
 
Automation and Analytics
 
Medication Adherence
 
Total
Depreciation and amortization
$
5,942

 
$
3,449

 
$
9,391

 
$
5,862

 
$
3,382

 
$
9,244

Capital expenditures
$
6,167

 
$
1,168

 
$
7,335

 
$
2,018

 
$
3,733

 
$
5,751