Segment Reporting and Foreign Operations

12 Months Ended

Dec. 31, 2019

Segment Reporting [Abstract]

Segment Reporting and Foreign Operations

13.SEGMENT REPORTING AND FOREIGN OPERATIONS

We report our operations in two operating segments: cardiovascular and endoscopy. Our cardiovascular segment consists of cardiology and radiology medical device products which assist in diagnosing and treating coronary artery disease, peripheral vascular disease and other non-vascular diseases and includes embolotherapeutic, cardiac rhythm management ("CRM"), electrophysiology ("EP"), critical care, Cianna Medical, interventional oncology and spine devices, and breast cancer localization and guidance. Our endoscopy segment consists of gastroenterology and pulmonology medical device products which assist in the palliative treatment of expanding esophageal, tracheobronchial and biliary strictures caused by malignant tumors. We evaluate the performance of our operating segments based on operating income (loss). See Note 2 for a detailed breakout of our sales by operating segment and product group, disaggregated between domestic and international sales.

During the years ended December 31, 2019, 2018 and 2017, we had international sales of approximately $419.1 million, $386.3 million and $307.1 million, respectively, or approximately 42%, 44% and 42%, respectively, of net sales, primarily in China, Japan, Germany, France, the United Kingdom, Australia, and Russia. China represents our most significant international sales market with sales of approximately $113.3 million, $92.7 million, and $73.4 million for the years ended December 31, 2019, 2018 and 2017, respectively. International sales are attributed based on location of the customer receiving the product.

Our long-lived assets (which are comprised of our net property, plant and equipment) by geographic area at December 31, 2019, 2018 and 2017, consisted of the following (in thousands):

	2019		2018		2017
United States	$	273,816	$	231,864	$	202,504
Ireland		44,912		45,283		45,671
Other foreign countries		60,057		54,305		44,645
Total	$	378,785	$	331,452	$	292,820

Financial information relating to our reportable operating segments and reconciliations to the consolidated totals for the years ended December 31, 2019, 2018 and 2017, are as follows (in thousands):

	2019		2018		2017
Net Sales
Cardiovascular	$	960,981	$	849,477	$	700,613
Endoscopy		33,871		33,276		27,239
Total net sales		994,852		882,753		727,852
Operating Expenses
Cardiovascular		382,313		321,461		281,095
Endoscopy		34,619		14,692		12,089
Total operating expenses		416,932		336,153		293,184
Operating Income
Cardiovascular		25,780		49,289		24,819
Endoscopy		(10,346)		9,328		8,250
Total operating income		15,434		58,617		33,069
Total other income (expense) - net		(13,241)		(9,098)		2,812
Income tax expense (benefit)		(3,258)		7,502		8,358
Net income	$	5,451	$	42,017	$	27,523

Total assets by business segment at December 31, 2019, 2018 and 2017, consisted of the following (in thousands):

	2019		2018		2017
Cardiovascular	$	1,745,057	$	1,588,970	$	1,103,806
Endoscopy		12,264		31,042		8,005
Total	$	1,757,321	$	1,620,012	$	1,111,811

Total depreciation and amortization by business segment for the years ended December 31, 2019, 2018 and 2017 consisted of the following (in thousands):

	2019		2018		2017
Cardiovascular	$	91,151	$	68,722	$	52,700
Endoscopy		949		824		882
Total	$	92,100	$	69,546	$	53,582

Total capital expenditures for property and equipment by business segment for the years ended December 31, 2019, 2018 and 2017 consisted of the following (in thousands):

	2019		2018		2017
Cardiovascular	$	77,631	$	63,032	$	38,437
Endoscopy		542		292		186
Total	$	78,173	$	63,324	$	38,623