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Segments
12 Months Ended
Dec. 31, 2019
Segment Reporting [Abstract]  
Segments

20. Segments

The following table presents the Company’s operations by reportable segment. The Company is managed through three reportable segments, Technology & Analytics Solutions, Research & Development Solutions and Contract Sales & Medical Solutions. Technology & Analytics Solutions provides mission critical information, technology solutions and real world solutions and services to the Company’s life science clients. Research & Development Solutions, which primarily serves biopharmaceutical customers, provides outsourced clinical research and clinical trial related services. Contract Sales & Medical Solutions provides health care provider (including contract sales) and patient engagement services to both biopharmaceutical customers and the broader healthcare market. Prior period segment results have been recast to conform to immaterial changes to management reporting in 2017.

Certain costs are not allocated to our segments and are reported as general corporate and unallocated expenses. These costs primarily consist of stock-based compensation and expenses to integration activities and acquisitions. We also do not allocate depreciation and amortization or impairment charges to our segments.  Prior period segment results have been recast to conform to changes to management reporting in 2019. The recast impacts the allocation of selling, general and administrative expenses for 2018 and 2017. Asset information by segment is not presented, as this measure is not used by the chief operating decision maker to assess the Company’s performance.

 

 

 

Year Ended December 31,

 

(in millions)

 

2019

 

 

2018

 

 

2017

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

Technology & Analytics Solutions

 

$

4,486

 

 

$

4,137

 

 

$

3,682

 

Research & Development Solutions

 

 

5,788

 

 

 

5,465

 

 

 

5,105

 

Contract Sales & Medical Solutions

 

 

814

 

 

 

810

 

 

 

915

 

Total revenues

 

 

11,088

 

 

 

10,412

 

 

 

9,702

 

Costs of revenue

 

 

 

 

 

 

 

 

 

 

 

 

Technology & Analytics Solutions

 

 

2,663

 

 

 

2,343

 

 

 

1,967

 

Research & Development Solutions

 

 

3,936

 

 

 

3,721

 

 

 

3,566

 

Contract Sales & Medical Solutions

 

 

701

 

 

 

682

 

 

 

768

 

Total costs of revenue

 

 

7,300

 

 

 

6,746

 

 

 

6,301

 

Selling, general and administrative expenses

 

 

 

 

 

 

 

 

 

 

 

 

Technology & Analytics Solutions

 

 

722

 

 

 

753

 

 

 

717

 

Research & Development Solutions

 

 

711

 

 

 

689

 

 

 

678

 

Contract Sales & Medical Solutions

 

 

61

 

 

 

67

 

 

 

78

 

General corporate and unallocated

 

 

240

 

 

 

207

 

 

 

149

 

Total selling, general and administrative expenses

 

 

1,734

 

 

 

1,716

 

 

 

1,622

 

Segment profit

 

 

 

 

 

 

 

 

 

 

 

 

Technology & Analytics Solutions

 

 

1,101

 

 

 

1,041

 

 

 

998

 

Research & Development Solutions

 

 

1,141

 

 

 

1,055

 

 

 

861

 

Contract Sales & Medical Solutions

 

 

52

 

 

 

61

 

 

 

69

 

Total segment profit

 

 

2,294

 

 

 

2,157

 

 

 

1,928

 

General corporate and unallocated

 

 

(240

)

 

 

(207

)

 

 

(149

)

Depreciation and amortization

 

 

(1,202

)

 

 

(1,141

)

 

 

(1,011

)

Impairment charges

 

 

 

 

 

0

 

 

 

(40

)

Restructuring costs

 

 

(75

)

 

 

(68

)

 

 

(63

)

Total income from operations

 

$

777

 

 

$

741

 

 

$

665