Business segment information (Tables)

9 Months Ended

Sep. 30, 2016

Schedule of Net Sales by SBU Reporting Segment

The tables below present net sales by SBU reporting segment. Net sales include product sales and marketing service fees. Marketing service fees, which are recorded on a net basis, are comprised of fees earned for the marketing of Trinity Evolution^®, Trinity ELITE^® and Versashield™ in the Biologics segment.

	Three Months Ended September 30,
(U.S. Dollars, in thousands)	2016		2015		Change

BioStim	$	42,956	$	41,559		3.4	%
Biologics		14,335		14,639		(2.1	)%
Extremity Fixation		24,314		24,694		(1.5	)%
Spine Fixation		16,892		20,259		(16.6	)%
Total net sales	$	98,497	$	101,151		(2.6	)%

	Nine Months Ended September 30,
(U.S. Dollars, in thousands)	2016		2015		Change

BioStim	$	128,758	$	119,962		7.3	%
Biologics		42,685		43,874		(2.7	)%
Extremity Fixation		75,840		72,103		5.2	%
Spine Fixation		53,968		55,928		(3.5	)%
Total net sales	$	301,251	$	291,867		3.2	%

Summary of Net Margin by SBU Reporting Segment

The table below presents net margin by SBU reporting segment for the three and nine months ended September 30, 2016 and 2015:

	Three Months Ended September 30,						Nine Months Ended September 30,
(U.S. Dollars, in thousands)	2016			2015			2016			2015

BioStim	$	19,996		$	16,834		$	54,980		$	47,634
Biologics		6,821			6,296			19,642			19,525
Extremity Fixation		8,834			6,442			24,170			22,607
Spine Fixation		1,388			1,938			5,925			4,582
Corporate		(139	)		(353	)		(581	)		(955	)
Total net margin		36,900			31,157			104,136			93,393
General and administrative		18,581			19,348			53,341			63,423
Research and development		6,858			6,523			21,294			18,819
Restatements and related costs		691			1,147			1,481			9,276
Charges related to U.S. Government resolutions		1,499			–			14,369			–
Operating income	$	9,271		$	4,139		$	13,651		$	1,875