XML 50 R34.htm IDEA: XBRL DOCUMENT v3.8.0.1
Segments and Geographical Information (Tables)
12 Months Ended
Dec. 31, 2017
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information, by Segment
These reportable operating segments are based on how our CODM views and evaluates our operations as well as allocation of resources. The following information relates to these segments (in thousands):
 
 
For the Year Ended December 31,
Net revenues
2017
 
2016
 
2015
    Clear Aligner
$
1,309,262

 
$
958,327

 
$
800,186

    Scanner
164,151

 
121,547

 
45,300

          Total net revenues
$
1,473,413

 
$
1,079,874


$
845,486

Gross profit
 
 
 
 
 
    Clear Aligner
$
1,019,563

 
$
747,494

 
$
628,187

    Scanner
97,384

 
67,800

 
11,923

        Total gross profit
$
1,116,947

 
$
815,294

 
$
640,110

Income from operations
 
 
 
 
 
    Clear Aligner
$
564,648

 
$
411,817

 
$
371,113

    Scanner
49,613

 
37,498

 
(12,337
)
    Unallocated corporate expenses
(260,650
)
 
(200,394
)
 
(170,142
)
         Total income from operations
$
353,611

 
$
248,921

 
$
188,634

Depreciation and amortization
 
 
 
 
 
    Clear Aligner
$
21,581

 
$
13,742

 
$
9,842

    Scanner
4,385

 
3,871

 
3,839

    Unallocated corporate expenses
11,773

 
6,389

 
4,323

         Total depreciation and amortization
$
37,739

 
$
24,002

 
$
18,004

 
The following table reconciles total segment income from operations in the table above to net income before provision for income taxes and equity losses of investee (in thousands):
 
For the Year Ended December 31,
 
 
2017
 
2016
 
2015
 
Total segment income from operations
$
614,261

 
$
449,315

 
$
358,776

 
Unallocated corporate expenses
(260,650
)
 
(200,394
)
 
(170,142
)
 
   Total income from operations
353,611

 
248,921

 
188,634

 
Interest and other income (expense), net
11,188

 
(6,355
)
 
(2,533
)
 
Net income before provision for income taxes and equity losses of investee
        
$
364,799

 
$
242,566

 
$
186,101

 

Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas
Net revenues are presented below by geographic area (in thousands): 
 
For the Year Ended December 31,
 
2017
 
2016
 
2015
Net revenues (1):
 
 
 
 
 
United States (2)
$
836,200

 
$
692,254

 
$
585,874

The Netherlands (2)
456,108

 
286,911

 
167,128

Other International
181,105

 
100,709

 
92,484

Total net revenues
$
1,473,413

 
$
1,079,874

 
$
845,486


(1) 
Net revenues are attributed to countries based on location of where revenue is recognized.
(2) Effective July 2016, we implemented a new international corporate structure. This changed the structure of our international procurement and sales operations.

Tangible long-lived assets are presented below by geographic area (in thousands):
 
As of December 31,
 
2017
 
2016
Long-lived assets (1):
 
 
 
The Netherlands
$
143,673

 
$
104,039

United States
128,171

 
43,278

Costa Rica
30,738

 
2,657

Mexico
25,090

 
17,918

China
5,480

 
461

Other International
15,641

 
6,814

Total long-lived assets
$
348,793

 
$
175,167

 

(1)  Long-lived assets are attributed to countries based on entity that owns the assets.