Segments (Tables)

9 Months Ended

Sep. 30, 2014

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 September 30, 2014									Three Months Ended September 30, 2013
	Automation and Analytics			Medication Adherence			Total			Automation and Analytics			Medication Adherence			Total
Total revenues	$	89,546		$	22,997		$	112,543		$	75,110		$	18,929		$	94,039
Cost of revenues	38,412			14,585			52,997			30,240			11,759			41,999
Gross profit	$	51,134		$	8,412		$	59,546		$	44,870		$	7,170		$	52,040
Gross margin %	57.1		%	36.6		%	52.9		%	59.7		%	37.9		%	55.3		%

Operating expenses	38,662			7,287			45,949			35,052			6,271			41,323
Income from operations	$	12,472		$	1,125		$	13,597		$	9,818		$	899		$	10,717
Operating margin %	13.9		%	4.9		%	12.1		%	13.1		%	4.7		%	11.4		%

Interest and other income (expense), net							(706		)							25
Income before provision for income taxes							12,891									10,742
Provision for income taxes							5,591									2,987
Net income							$	7,300								$	7,755



	Nine Months Ended September 30, 2014									Nine Months Ended September 30, 2013
	Automation and Analytics			Medication Adherence			Total			Automation and Analytics			Medication Adherence			Total
Total revenues	$	255,747		$	63,612		$	319,359		$	217,688		$	57,147		$	274,835
Cost of revenues	109,345			39,933			149,278			92,465			35,595			128,060
Gross profit	$	146,402		$	23,679		$	170,081		$	125,223		$	21,552		$	146,775
Gross margin %	57.2		%	37.2		%	53.3		%	57.5		%	37.7		%	53.4		%

Operating expenses	112,572			21,400			133,972			101,425			21,106			122,531
Income from operations	$	33,830		$	2,279		$	36,109		$	23,798		$	446		$	24,244
Operating margin %	13.2		%	3.6		%	11.3		%	10.9		%	0.8		%	8.8		%

Interest and other income (expense), net							(1,003		)							(134		)
Income before provision for income taxes							35,106									24,110
Provision for income taxes							13,824									6,954
Net income							$	21,282								$	17,156

Schedule of Segment Reporting Information, by Segment

Segment depreciation and amortization, and capital expenditures were as follows (amounts in thousands):



	Three Months Ended September 30, 2014						Three Months Ended September 30, 2013
	Automation and Analytics		Medication Adherence		Total		Automation and Analytics		Medication Adherence		Total
Depreciation and amortization	$	3,460	$	1,854	$	5,314	$	2,805	$	1,683	$	4,488
Capital expenditures	$	2,635	$	785	$	3,420	$	1,311	$	745	$	2,056



	Nine Months Ended September 30, 2014						Nine Months Ended September 30, 2013
	Automation and Analytics		Medication Adherence		Total		Automation and Analytics		Medication Adherence		Total
Depreciation and amortization	$	9,402	$	5,303	$	14,705	$	8,351	$	5,381	$	13,732
Capital expenditures	$	8,802	$	1,953	$	10,755	$	3,329	$	4,478	$	7,807

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

+ References+ Details