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SEGMENT INFORMATION
 9 Months Ended
Sep. 30, 2022
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
Reportable Segments
In connection with the Company’s previously announced plan to separate its Solta business into an independent publicly traded entity from the remainder of Bausch Health Companies Inc., the Company had begun managing its operations in a manner which was consistent with the organizational structure of the two separate entities as proposed by the Solta IPO. As a result, during the first quarter of 2022, the Company’s CEO, who is the Company’s Chief Operating Decision Maker, commenced managing the business differently through changes in its operating and reportable segments, which necessitated a realignment of the Company’s historical segment structure. This realignment is consistent with how the Company’s CEO currently: (i) assesses operating performance on a regular basis, (ii) makes resource allocation decisions and (iii) designates responsibilities of his direct reports. Pursuant to these changes, effective in the first quarter of 2022, the Company operates in the following reportable segments: (i) Salix, (ii) International (formerly International Rx), (iii) Solta Medical, (iv) Diversified Products and (v) Bausch + Lomb. The new segment structure does not impact the Company’s reporting units but realigns the two reporting units of the former Ortho Dermatologics segment whereby its medical dermatology reporting unit (Ortho Dermatologics) is now part of the current Diversified Products segment and the Solta reporting unit is now the sole reporting unit of the new Solta Medical segment. Prior period presentation of segment revenues and segment profits has been recast to conform to the current segment reporting structure.
On June 16, 2022, the Company announced it was suspending plans for the Solta IPO; however, the Company is continuing to manage and operate the business in its current reportable segment structure. See Note 2, “SIGNIFICANT ACCOUNTING POLICIES” for additional information.
The following is a brief description of the Company’s segments:
•The Salix segment consists of sales in the U.S. of GI products. Sales of the Xifaxan® product line represented approximately 80% of the Salix segment’s revenues for each of the three and nine month periods ended September 30, 2022.
•The International segment consists of sales, with the exception of sales of Bausch + Lomb products and Solta aesthetic medical devices, outside the U.S. and Puerto Rico of branded pharmaceutical products, branded generic pharmaceutical products and OTC products.
•The Solta Medical segment consists of global sales of Solta aesthetic medical devices.
•The Diversified Products segment consists of sales in the U.S. of: (i) pharmaceutical products in the areas of neurology and certain other therapeutic classes, (ii) generic products, (iii) Ortho Dermatologics (dermatological) products and (iv) dentistry products.
•The Bausch + Lomb segment consists of global sales of Bausch + Lomb Vision Care, Surgical and Ophthalmic Pharmaceuticals products.
Segment profit is based on operating income after the elimination of intercompany transactions, including between Bausch + Lomb and other segments. Certain costs, such as Amortization of intangible assets, Asset impairments, Goodwill impairments, Restructuring, integration, separation and IPO costs and Other (income) expense, net, are not included in the measure of segment profit, as management excludes these items in assessing segment financial performance.
Corporate includes the finance, treasury, certain research and development programs, tax and legal operations of the Company’s businesses and incurs certain expenses, gains and losses related to the overall management of the Company, which are not allocated to the other business segments. In assessing segment performance and managing operations, management does not review segment assets. Furthermore, a portion of share-based compensation is considered a corporate cost, since the amount of such expense depends on company-wide performance rather than the operating performance of any single segment.
Segment Revenues and Profits
Segment revenues and profits were as follows:
Three Months Ended September 30,Nine Months Ended September 30,
(in millions)2022202120222021
Revenues:
Salix$544 $527 $1,509 $1,515 
International250 271 727 890 
Solta Medical72 74 201 219 
Diversified Products238 290 722 850 
Bausch + Lomb942 949 2,772 2,764 
$2,046 $2,111 $5,931 $6,238 
Segment profits:
Salix$391 $377 $1,067 $1,074 
International85 92 242 304 
Solta Medical33 40 88 120 
Diversified Products151 185 450 547 
Bausch + Lomb226 247 640 699 
886 941 2,487 2,744 
Corporate(218)(186)(614)(566)
Amortization of intangible assets(290)(338)(902)(1,055)
Goodwill impairments(119)— (202)(469)
Asset impairments, including loss on assets held for sale(1)(18)(15)(213)
Restructuring, integration, separation and IPO costs(10)(8)(58)(29)
Other income (expense), net(4)183 (6)(329)
Operating income244 574 690 83 
Interest income3 2 8 6 
Interest expense(385)(351)(1,157)(1,083)
Gain (loss) on extinguishment of debt570 (12)683 (62)
Foreign exchange and other7 3 4 11 
Income (loss) before income taxes$439 $216 $228 $(1,045)
Revenues by Segment and Product Category
Revenues by segment and product category were as follows:
(in millions)SalixInternationalSolta MedicalDiversified ProductsBausch + LombTotal
Three Months Ended September 30, 2022
Pharmaceuticals$543 $72 $— $206 $121 $942 
Devices— — 72 — 390 462 
OTC— 38 — 2 362 402 
Branded and Other Generics — 131 — 24 65 220 
Other revenues1 9 — 6 4 20 
$544 $250 $72 $238 $942 $2,046 
Three Months Ended September 30, 2021
Pharmaceuticals$525 $61 $— $234 $121 $941 
Devices— — 74 — 395 469 
OTC— 41 — 3 365 409 
Branded and Other Generics— 161 — 47 61 269 
Other revenues2 8 — 6 7 23 
$527 $271 $74 $290 $949 $2,111 
Nine Months Ended September 30, 2022
Pharmaceuticals$1,508 $206 $— $608 $348 $2,670 
Devices— — 201 — 1,168 1,369 
OTC— 111 — 5 1,061 1,177 
Branded and Other Generics— 386 — 91 178 655 
Other revenues1 24 18 17 60 
$1,509 $727 $201 $722 $2,772 $5,931 
Nine Months Ended September 30, 2021
Pharmaceuticals$1,509 $187 $— $699 $380 $2,775 
Devices— — 219 — 1,174 1,393 
OTC— 98 — 7 1,010 1,115 
Branded and Other Generics— 579 — 125 180 884 
Other revenues6 26 — 19 20 71 
$1,515 $890 $219 $850 $2,764 $6,238 
The top ten products for the nine months ended September 30, 2022 and 2021 represented 48% and 45% of total revenues for the nine months ended September 30, 2022 and 2021, respectively.
Geographic Information
Revenues are attributed to a geographic region based on the location of the customer and were as follows:
Three Months Ended September 30,Nine Months Ended September 30,
(in millions)2022202120222021
U.S. and Puerto Rico$1,219 $1,251 $3,524 $3,629 
China116 121 293 350 
Canada92 84 258 247 
Poland65 70 204 203 
Mexico70 66 200 191 
France44 50 159 160 
Japan47 57 148 172 
Germany55 64 112 116 
United Kingdom22 19 85 83 
Russia42 36 122 106 
Spain17 20 61 62 
Italy17 20 60 58 
South Korea19 18 58 58 
Other221 235 647 803 
$2,046 $2,111 $5,931 $6,238 
Certain reclassifications have been made and are reflected in the table above.
Major Customers
Customers that accounted for 10% or more of total revenues were as follows:
Nine Months Ended September 30,
20222021
AmerisourceBergen Corporation16%18%
McKesson Corporation (including McKesson Specialty)13%16%
Cardinal Health, Inc.11%12%