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Segment information
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Segment information Segment information
In the first quarter of 2025, using the guidance provided in ASC 280, Segment Reporting (“ASC 280”), along with the adoption of ASU 2023-07, Segment Reporting (Topic 280), the Company reevaluated its reportable and operating segments. Based on updates to the Company’s internal operating and reporting structure and quantitative tests outlined in ASC 280, the Company now manages its business with a focus on two reportable segments; the Commercial Products segment, which includes NARCAN® products, and the MCM Products segment, which includes the Anthrax - MCM products, Smallpox - MCM products and Other Products. The Company’s Services operating segment no longer meets the quantitative threshold for determining reportable segments and is now included within “All other revenues” along with the Company’s Contracts and grants business.
The Company's Chief Operating Decision Maker (“CODM”) is its President and Chief Executive Officer. The CODM evaluates the performance of the Company's reportable segments based on segment adjusted gross margin. The Company defines segment adjusted gross margin as sales less cost of sales excluding restructuring costs, changes in fair value of financial instruments, settlement charges, net and inventory step-up provision for each reportable segment. The Company does not allocate amortization of intangible assets, research and development expenses, selling, general and administrative costs, interest and other income (expense) or taxes to each reportable segment in the operating results that are regularly reviewed by the CODM. The CODM uses these reported measures to assess segment performance, allocate resources and monitor budget and guidance versus actual results. These metrics are used by the CODM to make key operating decisions, such as decisions about allocating capital and other resources to each segment. The accounting policies for segment reporting are the same as those described in Note 2, "Summary of significant accounting policies" in the Company's Annual Report on Form 10-K for the year ended December 31, 2024. Intersegment revenue, cost of sales, and profit are eliminated in the segment measures regularly reviewed by the CODM as these activities are eliminated in consolidation and thus are not included in management’s evaluation of performance for each segment.
The Company manages its assets on a total company basis, not by segment, as the Company's operating assets are shared or commingled. Therefore, the Company’s CODM does not regularly review any asset information by segment and, accordingly, the Company does not report asset information by segment. The measure of segment assets is reported on the Condensed Consolidated Balance Sheet as "Total assets".
For all tables presented below, the prior period disclosures have been recast to conform to the current period segment presentation.
The following table presents segment information provided to the CODM, along with a reconciliation of segment adjusted gross margin to income before income taxes as reported in the Condensed Consolidated Statement of Operation for the three months ended March 31, 2025 and 2024:
Three Months Ended March 31,
20252024
Revenues reportable segments:
Commercial Products
$45.3 $118.5 
MCM Products156.6 155.4 
Reconciliation of revenue:201.9 273.9 
All other revenues (1)
20.3 26.5 
Total revenues
$222.2 $300.4 
Cost of sales reportable segments:
Commercial Products
$24.5 $52.1 
MCM Products(2)
49.2 61.8 
Total of reportable segments
$73.7 $113.9 
Segment adjusted gross margin reportable segments:
Commercial Products$20.8 $66.4 
MCM Products (2)
107.4 93.6 
Total of reportable segments
$128.2 $160.0 
Reconciliation to income before income tax:
All other revenues less other costs of revenue (1)
$6.5 $(3.8)
Amortization of intangible assets(16.3)(16.2)
Restructuring costs0.8 0.1 
Inventory step-up provision(1.8)— 
Changes in fair value of financial instruments— (0.5)
Research and development(15.1)(15.1)
Selling, general and administrative(52.4)(84.7)
Interest expense(14.7)(24.3)
Loss on assets held for sale(12.2)— 
Other, net69.7 (3.4)
Income before income taxes$92.7 $12.1 
(1) “All other revenues” and “All other revenues less other cost of revenue” includes Services and Contracts and grants revenue, and Services and Contracts and grants revenue less Cost of services, respectively.
(2) Excludes $1.8 million of inventory step-up provision for the three months ended March 31, 2025, $0.5 million of changes in fair value of financial instruments for the three months ended March 31, 2024 and $(0.8) million and $(0.1) million of restructuring costs for each of the three months ended March 31, 2025 and 2024.
The following table includes depreciation expense for each reportable segment:
Three Months Ended March 31,
20252024
Depreciation from reportable segments:
MCM Products$4.2 $5.6 
Items not included in depreciation from reportable segments:
All other segment
2.2 2.6 
Other2.7 3.5 
Total depreciation
$9.1 $11.7