Composition of Certain Financial Statement Captions (Tables)
|
12 Months Ended |
Dec. 31, 2017 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
|
Composition of Certain Financial Statement Captions |
| | | | | | | | | | For the years ended December 31, | (In thousands) | 2017 | | 2016 | Accounts receivable, net | | | | Accounts receivable | $ | 166,962 |
| | $ | 221,955 |
| Less: allowance for doubtful accounts | (1,446 | ) | | (1,671 | ) | | $ | 165,516 |
| | $ | 220,284 |
| Inventories, net | | | | Consumable supplies | $ | 21,546 |
| | $ | 23,448 |
| Finished products | 21,012 |
| | 16,143 |
| Work in-process | 5,873 |
| | 3,896 |
| Raw materials | 7,467 |
| | 4,686 |
| Less: inventory reserve | (6,565 | ) | | (945 | ) | | $ | 49,333 |
| | $ | 47,228 |
| Other current assets and prepaid expenses | | | | Other receivables | $ | 3,398 |
| | $ | 13,021 |
| Taxes recoverable | 18,138 |
| | 16,187 |
| Prepaid supplies | 8,207 |
| | 6,952 |
| Prepaid insurance | 3,532 |
| | 3,688 |
| Other | 9,238 |
| | 7,508 |
| | $ | 42,513 |
| | $ | 47,356 |
| Property, plant and equipment, net: | | | | Machinery, medical and other equipment | $ | 112,961 |
| | $ | 100,100 |
| Leasehold improvements | 34,121 |
| | 30,122 |
| Furniture and fixtures | 11,540 |
| | 11,247 |
| Automobiles and aircraft | 11,137 |
| | 13,342 |
| Software | 12,469 |
| | 10,990 |
| Building | 8,227 |
| | 5,696 |
| Land | 2,552 |
| | 2,264 |
| Construction in process | 39,397 |
| | 5,848 |
| Less: accumulated depreciation | (85,847 | ) | | (56,778 | ) | | $ | 146,557 |
| | $ | 122,831 |
| Intangible assets, net: | | | | Customer relationships | $ | 448,345 |
| | $ | 443,560 |
| Technologies | 340,921 |
| | 340,397 |
| Trade names | 50,553 |
| | 50,442 |
| Covenants not to compete | 16,372 |
| | 16,348 |
| Licenses | 10,305 |
| | 23,506 |
| Product registrations | 10,475 |
| | 7,641 |
| Other | 5,799 |
| | 5,289 |
| Less: accumulated amortization | (198,935 | ) | | (123,207 | ) | | $ | 683,835 |
| | $ | 763,976 |
| Accrued expenses: | | | | Contract liabilities | $ | 56,883 |
| | $ | 50,158 |
| Employee benefits | 50,377 |
| | 43,792 |
| Taxes payable | 4,609 |
| | 4,430 |
| Contingent consideration | 11,750 |
| | 259 |
|
| | | | | | | | | | For the years ended December 31, | (In thousands) | 2017 | | 2016 | Clinical trials | 12,191 |
| | 5,935 |
| Capital leases short-term | 3,399 |
| | 3,025 |
| Milestone payment | 4,868 |
| | 4,865 |
| Professional fees | 2,355 |
| | 4,035 |
| Other | 79,364 |
| | 58,180 |
| | $ | 225,796 |
| | $ | 174,679 |
| | | | | Other long-term liabilities: | | | | Contract liabilities | $ | 95,450 |
| | $ | 157,667 |
| Line of credit | 104,152 |
| | 38,809 |
| Contingent consideration | 29,603 |
| | 44,817 |
| Capital leases long-term | 7,786 |
| | 7,216 |
| Mortgages and other debts payable | 1,567 |
| | 717 |
| Other | 17,857 |
| | 21,908 |
| | $ | 256,415 |
| | $ | 271,134 |
|
|
Summary of Fair Values Assigned to Major Intangible Asset Classes |
The following table summarizes the fair values assigned to our major intangible asset classes upon each acquisition: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | (In thousands) | Technologies | | In-process research and development | | Customer relationships | | Product registrations | | Covenants not to compete | | Trade names | | Other | | Total identified intangible assets | | Goodwill | BioReference | $ | 100,600 |
| | $ | — |
| | $ | 389,800 |
| | $ | — |
| | $ | 7,750 |
| | $ | 47,100 |
| | $ | — |
| | $ | 545,250 |
| | $ | 401,821 |
| CURNA | — |
| | 10,000 |
| | — |
| | — |
| | — |
| | — |
| | 290 |
| | 10,290 |
| | 4,827 |
| EirGen | — |
| | 560 |
| | 34,155 |
| | — |
| | — |
| | — |
| | 3,919 |
| | 38,634 |
| | 83,373 |
| FineTech | 2,700 |
| | — |
| | 14,200 |
| | — |
| | 1,500 |
| | 400 |
| | — |
| | 18,800 |
| | 11,623 |
| OPKO Biologics | — |
| | 590,200 |
| | — |
| | — |
| | — |
| | — |
| | — |
| | 590,200 |
| | 139,784 |
| OPKO Chile | — |
| | — |
| | 3,945 |
| | 5,829 |
| | — |
| | 1,032 |
| | — |
| | 10,806 |
| | 5,441 |
| OPKO Diagnostics | 44,400 |
| | — |
| | — |
| | — |
| | — |
| | — |
| | — |
| | 44,400 |
| | 17,977 |
| OPKO Health Europe | 3,017 |
| | 1,459 |
| | 436 |
| | 2,930 |
| | 187 |
| | 349 |
| | — |
| | 8,378 |
| | 8,062 |
| OPKO Lab | 1,370 |
| | — |
| | 3,860 |
| | — |
| | 6,900 |
| | 1,830 |
| | 70 |
| | 14,030 |
| | 29,629 |
| OPKO Renal | — |
| | 191,530 |
| | — |
| | — |
| | — |
| | — |
| | 210 |
| | 191,740 |
| | 2,411 |
| Transition Therapeutics | — |
| | 41,000 |
| | — |
| | — |
| | — |
| | — |
| | — |
|
| 41,000 |
| | 3,453 |
| Weighted average amortization period | 8-12 years |
| | Indefinite |
| | 6-20 years |
| | 9 years |
| | 5 years |
| | 4-5 years |
| | 3-10 years |
| | | | Indefinite |
|
|
Summary of Valuation Allowance |
The following table reflects the changes in the allowance for doubtful accounts, provision for inventory reserve and tax valuation allowance accounts: | | | | | | | | | | | | | | | | | | (In thousands) | Beginning balance | | Charged to expense | | Written-off | | Charged to other | | Ending balance | 2017 | | | | | | | | | | Allowance for doubtful accounts | $ | (1,671 | ) | | (891 | ) | | 1,063 |
| | 53 |
| | $ | (1,446 | ) | Inventory reserve | $ | (945 | ) | | (5,390 | ) | | (230 | ) | | — |
| | $ | (6,565 | ) | Tax valuation allowance | $ | (55,415 | ) | | (82,358 | ) | | — |
| | (4,289 | ) | | $ | (142,062 | ) | 2016 | | | | | | | | | | Allowance for doubtful accounts | $ | (1,946 | ) | | (932 | ) | | 1,110 |
| | 97 |
| | $ | (1,671 | ) | Inventory reserve | $ | (1,051 | ) | | (20 | ) | | 296 |
| | (170 | ) | | $ | (945 | ) | Tax valuation allowance | $ | (42,147 | ) | | 7,726 |
| | — |
| | (20,994 | ) | | $ | (55,415 | ) |
|
Schedule of Goodwill |
The following table summarizes the changes in Goodwill during the years ended December 31, 2017 and 2016. | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 2017 | | 2016 | (In thousands) | Balance at January 1 | | Purchase Accounting Adj | | Foreign exchange and other | | Balance at December 31st | | Balance at January 1 | | Purchase accounting adjustments | | Foreign exchange | | Balance at December 31 | Pharmaceuticals | | | | | | | | | | | | | | | | CURNA | $ | 4,827 |
| |
|
| | $ | — |
| | $ | 4,827 |
| | $ | 4,827 |
| | $ | — |
| | $ | — |
| | $ | 4,827 |
| EirGen | 78,358 |
| |
| | 10,868 |
| | 89,226 |
| | 81,139 |
| | — |
| | (2,781 | ) | | 78,358 |
| FineTech | 11,698 |
| |
| | — |
| | 11,698 |
| | 11,698 |
| | — |
| | — |
| | 11,698 |
| OPKO Biologics | 139,784 |
| |
| | — |
| | 139,784 |
| | 139,784 |
| | — |
| | — |
| | 139,784 |
| OPKO Chile | 4,785 |
| |
| | 418 |
| | 5,203 |
| | 4,517 |
| | — |
| | 268 |
| | 4,785 |
| OPKO Health Europe | 6,936 |
| |
| | 962 |
| | 7,898 |
| | 7,191 |
| | — |
| | (255 | ) | | 6,936 |
| OPKO Renal | 2,069 |
| |
| | — |
| | 2,069 |
| | 2,069 |
| | — |
| | — |
| | 2,069 |
| Transition Therapeutics | 3,360 |
| |
| | 248 |
| | 3,608 |
| | — |
| | 3,453 |
| | (93 | ) | | 3,360 |
| | | | | | | | | | | | | | | | | Diagnostics | | | | | | | | |
| |
| |
| |
| BioReference | 401,821 |
| |
| | — |
| | 401,821 |
| | 441,158 |
| | (39,337 | ) | | — |
| | 401,821 |
| OPKO Diagnostics | 17,977 |
| |
| | — |
| | 17,977 |
| | 17,977 |
| | — |
| | — |
| | 17,977 |
| OPKO Lab | 32,988 |
| |
| | — |
| | 32,988 |
| | 32,988 |
| | — |
| | — |
| | 32,988 |
| | $ | 704,603 |
| | $ | — |
| | $ | 12,496 |
| | $ | 717,099 |
| | $ | 743,348 |
| | $ | (35,884 | ) | | $ | (2,861 | ) | | $ | 704,603 |
|
|