Quarterly report pursuant to Section 13 or 15(d)

Composition of Certain Financial Statement Captions

v3.4.0.3
Composition of Certain Financial Statement Captions
3 Months Ended
Mar. 31, 2016
Compositions of Certain Financial Statement Captions [Abstract]  
COMPOSITION OF CERTAIN FINANCIAL STATEMENT CAPTIONS
COMPOSITION OF CERTAIN FINANCIAL STATEMENT CAPTIONS
(In thousands)
March 31,
2016
 
December 31,
2015
Accounts receivable, net
 
 
 
Accounts receivable
$
248,120

 
$
219,043

Less: allowance for doubtful accounts
(43,641
)
 
(25,168
)
 
$
204,479

 
$
193,875

Inventories, net
 
 
 
Consumable supplies
$
20,759

 
$
22,265

Finished products
14,790

 
13,404

Work in-process
1,205

 
1,215

Raw materials
5,051

 
3,848

Less: inventory reserve
(1,230
)
 
(1,051
)
 
$
40,575

 
$
39,681

Prepaid expenses and other current assets
 
 
 
Other receivables
15,122

 
11,946

Taxes recoverable
6,076

 
3,076

Prepaid supplies
10,265

 
8,773

Prepaid insurance
1,736

 
2,206

Other
306

 
903

 
$
33,505

 
$
26,904

Intangible assets, net:
 
 
 
Customer relationships
$
451,489

 
$
449,972

Technologies
151,818

 
151,709

Trade names
50,461

 
50,416

Licenses
23,467

 
23,432

Covenants not to compete
8,619

 
8,612

Product registrations
7,797

 
7,512

Other
4,481

 
5,600

Less: accumulated amortization
(72,727
)
 
(59,101
)
 
$
625,405

 
$
638,152

Accrued expenses:
 
 
 
Deferred revenue
$
74,375

 
$
70,246

Employee benefits
40,791

 
29,751

Contingent consideration
21,208

 
22,164

Taxes payable
5,986

 
7,605

Capital leases short-term
5,287

 
5,373

Clinical trials
5,850

 
2,505

Milestone payment
4,914

 
5,000

Professional fees
707

 
1,506

Other
23,224

 
23,749

 
$
182,342

 
$
167,899

 
 
 
 
(In thousands)
March 31,
2016
 
December 31,
2015
Other long-term liabilities:
 
 
 
Deferred revenue
$
143,520

 
$
162,634

Line of credit
72,343

 
72,107

Contingent consideration
34,674

 
32,258

Mortgages and other debts payable
2,366

 
2,523

Capital leases long-term
8,861

 
9,285

Other
14,048

 
13,663

 
$
275,812

 
$
292,470


All of the intangible assets and goodwill acquired relate to our acquisitions of principally OPKO Renal, OPKO Biologics, EirGen and Bio-Reference. We do not anticipate capitalizing the cost of product registration renewals, rather we expect to expense these costs, as incurred. Our goodwill is not tax deductible for income tax purposes in any jurisdiction we operate in.
At March 31, 2016, the changes in value of the intangible assets and goodwill are primarily due to foreign currency fluctuations between the Chilean and Mexican pesos, the Euro and the Shekel against the U.S. dollar.
The following table reflects the changes in Goodwill during the three months ended March 31, 2016.
 
2016
(In thousands)
Balance at January 1st
 
Purchase accounting adjustments
 
Foreign exchange
 
Balance at March 31st
Pharmaceuticals
 
 
 
 
 
 
 
CURNA
$
4,827

 
$

 
$

 
$
4,827

EirGen
81,139

 

 
3,443

 
84,582

FineTech
11,698

 

 

 
11,698

OPKO Chile
4,517

 

 
195

 
4,712

OPKO Biologics
139,784

 

 

 
139,784

OPKO Health Europe
7,191

 

 
296

 
7,487

OPKO Renal
2,069

 

 

 
2,069

 
 
 
 
 
 
 
 
Diagnostics
 
 
 
 
 
 
 
Bio Reference
441,158

 
(321
)
 

 
440,837

OPKO Diagnostics
17,977

 

 

 
17,977

OPKO Lab
32,988

 

 

 
32,988

 
$
743,348

 
$
(321
)
 
$
3,934

 
$
746,961