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PERRIGO COMPANY PLC SELECTED SEGMENT INFORMATION QUARTERS AND FISCAL YEAR 2016 (in millions) (unaudited) Three Months Ended Year Ended Consumer Self-Care Americas

Key Takeaway: SELECTED SEGMENT INFORMATION QUARTERS AND FISCAL YEAR 2016 Three Months Ended Year Ended Consumer Self-Care Americas April 2, 2016 July 2, 2016 October 1, 2016 December 31, 2016 December 31, 2016 Net sales $ 639.1 $ 629.9 $ 611.2 $ 626.8 $ 2,507.0 Gross profit $

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SELECTED SEGMENT INFORMATION
QUARTERS AND FISCAL YEAR 2016
Three Months Ended Year Ended
Consumer Self-Care Americas April 2, 2016 July 2, 2016 October 1, 2016 December 31, 2016 December 31, 2016
Net sales $ 639.1 $ 629.9 $ 611.2 $ 626.8 $ 2,507.0
Gross profit $ 202.7 $ 227.5 $ 205.2 $ 215.6 $ 851.0
R&D expense $ 18.9 $ 18.8 $ 18.3 $ 18.2 $ 74.2
DSG&A expense $ 74.9 $ 77.9 $ 74.6 $ 81.5 $ 308.9
Operating income $ 107.3 $ 124.4 $ 105.0 $ 88.9 $ 425.6
Selected ratios as a percentage of reported net sales
Gross profit 31.7 % 36.1 % 33.6 % 34.4 % 33.9 %
R&D expense 3.0 % 3.0 % 3.0 % 2.9 % 3.0 %
DSG&A expense 11.7 % 12.4 % 12.2 % 13.0 % 12.3 %
Operating income 16.8 % 19.7 % 17.2 % 14.2 % 17.0 %
Three Months Ended Year Ended
Consumer Self-Care International April 2, 2016 July 2, 2016 October 1, 2016 December 31, 2016 December 31, 2016
Net sales $ 420.1 $ 399.5 $ 358.3 $ 401.9 $ 1,579.8
Gross profit $ 192.7 $ 182.1 $ 148.2 $ 145.1 $ 668.1
R&D expense $ 10.5 $ 10.0 $ 10.5 $ 9.6 $ 40.6
DSG&A expense $ 173.2 $ 167.2 $ 148.2 $ 160.0 $ 648.6
Operating income (loss) $ (398.1 ) $ 0.1 $ (1,617.5 ) $ (68.9 ) $ (2,084.4 )
Selected ratios as a percentage of reported net sales
Gross profit 45.9 % 45.6 % 41.4 % 36.1 % 42.3 %
R&D expense 2.5 % 2.5 % 2.9 % 2.4 % 2.6 %
DSG&A expense 41.2 % 41.9 % 41.4 % 39.8 % 41.1 %
Operating income (loss) (94.8 )% - % (451.5 )% (17.1 )% (131.9 )%
Three Months Ended Year Ended
Prescription Pharmaceuticals April 2, 2016 July 2, 2016 October 1, 2016 December 31, 2016 December 31, 2016
Net sales $ 267.5 $ 293.3 $ 271.0 $ 283.4 $ 1,115.2
Gross profit $ 127.9 $ 129.4 $ 121.8 $ 121.5 $ 500.6
R&D expense $ 14.1 $ 16.6 $ 19.7 $ 12.0 $ 62.4
DSG&A expense $ 25.2 $ 24.9 $ 29.5 $ 34.1 $ 113.7
Operating income (loss) $ 88.6 $ 87.9 $ 72.6 $ (269.0 ) $ (19.9 )
Selected ratios as a percentage of reported net sales
Gross profit 47.8 % 44.1 % 44.9 % 42.9 % 44.9 %
R&D expense 5.3 % 5.7 % 7.3 % 4.2 % 5.6 %
DSG&A expense 9.4 % 8.5 % 10.9 % 12.0 % 10.2 %
Operating income (loss) 33.1 % 30.0 % 26.8 % (94.9 )% (1.8 )%
SELECTED SEGMENT INFORMATION
QUARTERS AND FISCAL YEAR 2017
Three Months Ended Year Ended
Consumer Self-Care Americas April 1, 2017 July 1, 2017 September 30, 2017 December 31, 2017 December 31, 2017
Net sales $ 582.8 $ 604.8 $ 598.8 $ 643.5 $ 2,429.9
Gross profit $ 196.6 $ 210.0 $ 211.4 $ 225.7 $ 843.7
R&D expense $ 16.6 $ 18.0 $ 13.8 $ 17.5 $ 65.9
DSG&A expense $ 71.4 $ 75.7 $ 70.4 $ 61.6 $ 279.1
Operating income $ 83.2 $ 110.5 $ 129.6 $ 147.6 $ 470.9
Selected ratios as a percentage of reported net sales
Gross profit 33.7 % 34.7 % 35.3 % 35.1 % 34.7 %
R&D expense 2.8 % 3.0 % 2.3 % 2.7 % 2.7 %
DSG&A expense 12.3 % 12.5 % 11.8 % 9.6 % 11.5 %
Operating income 14.3 % 18.3 % 21.6 % 22.9 % 19.4 %
Three Months Ended Year Ended
Consumer Self-Care International April 1, 2017 July 1, 2017 September 30, 2017 December 31, 2017 December 31, 2017
Net sales $ 354.7 $ 356.9 $ 343.0 $ 351.6 $ 1,406.2
Gross profit $ 162.1 $ 167.3 $ 157.4 $ 164.4 $ 651.2
R&D expense $ 10.4 $ 9.9 $ 10.3 $ 10.2 $ 40.8
DSG&A expense $ 149.3 $ 152.2 $ 141.5 $ 147.9 $ 590.9
Operating income (loss) $ (1.6 ) $ (5.5 ) $ 2.0 $ 2.4 $ (2.7 )
Selected ratios as a percentage of reported net sales
Gross profit 45.7 % 46.9 % 45.9 % 46.8 % 46.3 %
R&D expense 2.9 % 2.8 % 3.0 % 2.9 % 2.9 %
DSG&A expense 42.1 % 42.6 % 41.3 % 42.1 % 42.0 %
Operating income (loss) (0.5 )% (1.5 )% 0.6 % 0.7 % (0.2 )%
Three Months Ended Year Ended
Prescription Pharmaceuticals April 1, 2017 July 1, 2017 September 30, 2017 December 31, 2017 December 31, 2017
Net sales $ 237.6 $ 260.0 $ 273.0 $ 283.8 $ 1,054.4
Gross profit $ 95.5 $ 119.6 $ 120.0 $ 119.5 $ 454.6
R&D expense $ 11.1 $ 12.7 $ 12.4 $ 17.9 $ 54.1
DSG&A expense $ 21.5 $ 11.8 $ 22.5 $ 35.4 $ 91.2
Operating income $ 84.0 $ 74.8 $ 81.7 $ 65.6 $ 306.1
Selected ratios as a percentage of reported net sales
Gross profit 40.2 % 46.0 % 44.0 % 42.1 % 43.1 %
R&D expense 4.7 % 4.9 % 4.6 % 6.3 % 5.1 %
DSG&A expense 9.0 % 4.5 % 8.3 % 12.5 % 8.6 %
Operating income 35.4 % 28.8 % 29.9 % 23.1 % 29.0 %
SELECTED SEGMENT INFORMATION
QUARTERS AND FISCAL YEAR 2018
Three Months Ended Year Ended
Consumer Self-Care Americas March 31, 2018 June 30, 2018 September 29, 2018 December 31, 2018 December 31, 2018
Net sales $ 601.6 $ 596.9 $ 596.2 $ 616.9 $ 2,411.6
Gross profit $ 205.9 $ 202.5 $ 189.5 $ 191.1 $ 789.0
R&D expense $ 15.2 $ 66.4 $ 13.8 $ 15.3 $ 110.7
DSG&A expense $ 71.5 $ 72.4 $ 73.0 $ 65.4 $ 282.3
Operating income (loss) $ 118.6 $ 64.6 $ (119.0 ) $ 110.2 $ 174.4
Selected ratios as a percentage of reported net sales
Gross profit 34.2 % 33.9 % 31.8 % 31.0 % 32.7 %
R&D expense 2.5 % 11.1 % 2.3 % 2.5 % 4.6 %
DSG&A expense 11.9 % 12.1 % 12.2 % 10.6 % 11.7 %
Operating income (loss) 19.7 % 10.8 % (20.0 )% 17.9 % 7.2 %
Three Months Ended Year Ended
Consumer Self-Care International March 31, 2018 June 30, 2018 September 29, 2018 December 31, 2018 December 31, 2018
Net sales $ 377.8 $ 357.9 $ 334.2 $ 329.4 $ 1,399.3
Gross profit $ 185.9 $ 173.2 $ 158.6 $ 151.0 $ 668.7
R&D expense $ 10.6 $ 11.2 $ 10.3 $ 11.8 $ 43.9
DSG&A expense $ 162.4 $ 156.5 $ 134.9 $ 145.0 $ 598.8
Operating income (loss) $ 12.3 $ 4.0 $ (4.7 ) $ (4.8 ) $ 6.8
Selected ratios as a percentage of reported net sales
Gross profit 49.2 % 48.4 % 47.5 % 45.8 % 47.8 %
R&D expense 2.8 % 3.1 % 3.1 % 3.6 % 3.1 %
DSG&A expense 43.0 % 43.7 % 40.3 % 44.0 % 42.8 %
Operating income (loss) 3.3 % 1.1 % (1.4 )% (1.5 )% 0.5 %
Three Months Ended Year Ended
Prescription Pharmaceuticals March 31, 2018 June 30, 2018 September 29, 2018 December 31, 2018 December 31, 2018
Net sales $ 237.6 $ 231.6 $ 202.8 $ 248.8 $ 920.8
Gross profit $ 100.9 $ 95.3 $ 76.8 $ 100.9 $ 373.9
R&D expense $ 12.6 $ 14.4 $ 19.5 $ 17.5 $ 64.0
DSG&A expense $ 24.1 $ 22.6 $ 20.7 $ 21.1 $ 88.5
Operating income $ 61.2 $ 53.6 $ 36.1 $ 63.7 $ 214.6
Selected ratios as a percentage of reported net sales
Gross profit 42.5 % 41.1 % 37.9 % 40.6 % 40.6 %
R&D expense 5.3 % 6.2 % 9.6 % 7.0 % 6.9 %
DSG&A expense 10.1 % 9.8 % 10.2 % 8.5 % 9.6 %
Operating income 25.8 % 23.1 % 17.8 % 25.6 % 23.3 %
SELECTED SEGMENT INFORMATION
Three Months Ended
Consumer Self-Care Americas March 30, 2019
Net sales $ 581.8
Gross profit $ 184.0
R&D expense $ 15.6
DSG&A expense $ 73.3
Operating income $ 94.2
Selected ratios as a percentage of reported net sales
Gross profit 31.6 %
R&D expense 2.7 %
DSG&A expense 12.6 %
Operating income 16.2 %
Three Months Ended
Consumer Self-Care International March 30, 2019
Net sales $ 350.8
Gross profit $ 168.4
R&D expense $ 10.3
DSG&A expense $ 149.4
Operating income $ 8.1
Selected ratios as a percentage of reported net sales
Gross profit 48.0 %
R&D expense 2.9 %
DSG&A expense 42.6 %
Operating income 2.3 %
Three Months Ended
Prescription Pharmaceuticals March 30, 2019
Net sales $ 241.9
Gross profit $ 96.4
R&D expense $ 14.3
DSG&A expense $ 21.6
Operating income $ 60.6
Selected ratios as a percentage of reported net sales
Gross profit 39.9 %
R&D expense 5.9 %
DSG&A expense 8.9 %
Operating income 25.1 %
ADJUSTED SELECTED SEGMENT INFORMATION(1)
QUARTERS AND FISCAL YEAR 2016
Three Months Ended Year Ended
Consumer Self-Care Americas April 2, 2016 July 2, 2016 October 1, 2016 December 31, 2016 December 31, 2016
Adjusted net sales $ 592.0 $ 587.8 $ 590.2 N/A $ 2,396.8
Adjusted gross profit $ 211.3 $ 233.8 $ 215.2 $ 228.2 $ 888.5
Adjusted R&D expense $ 18.3 $ 18.3 $ 18.1 N/A $ 72.9
Adjusted DSG&A expense $ 65.5 $ 69.2 $ 65.9 $ 65.0 $ 265.6
Adjusted operating income $ 127.4 $ 146.3 $ 131.3 $ 145.0 $ 550.0
Selected ratios as a percentage of adjusted net sales
Adjusted gross profit 35.7 % 39.8 % 36.5 % 36.4 % 37.1 %
Adjusted R&D expense 3.1 % 3.1 % 3.1 % N/A 3.0 %
Adjusted DSG&A expense 11.1 % 11.8 % 11.2 % 10.4 % 11.1 %
Adjusted operating income 21.5 % 24.9 % 22.2 % 23.1 % 22.9 %
Three Months Ended Year Ended
Consumer Self-Care International April 2, 2016 July 2, 2016 October 1, 2016 December 31, 2016 December 31, 2016
Adjusted net sales N/A $ 399.4 $ 358.1 N/A $ 1,579.5
Adjusted gross profit $ 205.6 $ 200.1 $ 165.2 $ 169.2 $ 740.1
Adjusted R&D expense $ 10.3 $ 9.8 $ 10.1 $ 9.5 $ 39.7
Adjusted DSG&A expense $ 142.2 $ 134.1 $ 116.8 $ 124.7 $ 517.8
Adjusted operating income $ 53.0 $ 56.2 $ 38.3 $ 35.1 $ 182.6
Selected ratios as a percentage of adjusted net sales
Adjusted gross profit 48.9 % 50.1 % 46.1 % 42.1 % 46.9 %
Adjusted R&D expense 2.5 % 2.4 % 2.8 % 2.4 % 2.5 %
Adjusted DSG&A expense 33.9 % 33.6 % 32.6 % 31.0 % 32.8 %
Adjusted operating income 12.6 % 14.1 % 10.7 % 8.7 % 11.6 %
Three Months Ended Year Ended
Prescription Pharmaceuticals April 2, 2016 July 2, 2016 October 1, 2016 December 31, 2016 December 31, 2016
Adjusted gross profit $ 153.2 $ 155.2 $ 148.9 $ 149.9 $ 607.2
Adjusted DSG&A expense $ 24.9 N/A $ 24.3 $ 24.9 $ 99.0
Adjusted operating income $ 114.3 $ 113.7 $ 104.9 $ 113.0 $ 445.9
Selected ratios as a percentage of reported net sales
Adjusted gross profit 57.3 % 52.9 % 55.0 % 52.9 % 54.5 %
Adjusted DSG&A expense 9.3 % N/A 9.0 % 8.8 % 8.9 %
Adjusted operating income 42.7 % 38.8 % 38.7 % 39.8 % 40.0 %
(1) See Table I for reconciliation to GAAP numbers
ADJUSTED SELECTED SEGMENT INFORMATION(1)
QUARTERS AND FISCAL YEAR 2017
Three Months Ended Year Ended
Consumer Self-Care Americas April 1, 2017 July 1, 2017 September 30, 2017 December 31, 2017 December 31, 2017
Adjusted gross profit $ 209.0 $ 222.1 $ 223.5 $ 237.8 $ 892.4
Adjusted DSG&A expense $ 66.6 $ 70.9 $ 65.6 $ 65.3 $ 268.4
Adjusted operating income $ 125.7 $ 133.3 $ 144.1 $ 155.0 $ 558.1
Selected ratios as a percentage of reported net sales
Adjusted gross profit 35.9 % 36.7 % 37.3 % 37.0 % 36.7 %
Adjusted DSG&A expense 11.4 % 11.7 % 10.9 % 10.1 % 11.0 %
Adjusted operating income 21.6 % 22.0 % 24.1 % 24.1 % 23.0 %
Three Months Ended Year Ended
Consumer Self-Care International April 1, 2017 July 1, 2017 September 30, 2017 December 31, 2017 December 31, 2017
Adjusted gross profit $ 182.4 $ 187.8 $ 178.9 $ 186.1 $ 735.2
Adjusted R&D expense $ 10.2 $ 9.5 $ 10.0 $ 9.9 $ 39.6
Adjusted DSG&A expense $ 122.8 $ 124.4 $ 112.0 $ 120.8 $ 480.0
Adjusted operating income $ 49.5 $ 53.8 $ 57.0 $ 55.4 $ 215.7
Selected ratios as a percentage of reported net sales
Adjusted gross profit 51.4 % 52.6 % 52.2 % 52.9 % 52.3 %
Adjusted R&D expense 2.9 % 2.7 % 2.9 % 2.8 % 2.8 %
Adjusted DSG&A expense 34.6 % 34.9 % 32.6 % 34.3 % 34.1 %
Adjusted operating income 13.9 % 15.1 % 16.6 % 15.8 % 15.3 %
Three Months Ended Year Ended
Prescription Pharmaceuticals April 1, 2017 July 1, 2017 September 30, 2017 December 31, 2017 December 31, 2017
Adjusted gross profit $ 117.8 $ 142.1 $ 141.2 $ 141.2 $ 542.3
Adjusted DSG&A expense $ 21.4 $ 20.5 $ 22.4 $ 25.7 $ 90.0
Adjusted operating income $ 85.3 $ 108.9 $ 106.3 $ 97.6 $ 398.1
Selected ratios as a percentage of reported net sales
Adjusted gross profit 49.6 % 54.7 % 51.7 % 49.7 % 51.4 %
Adjusted DSG&A expense 9.0 % 7.9 % 8.2 % 9.1 % 8.5 %
Adjusted operating income 35.9 % 41.9 % 39.0 % 34.4 % 37.8 %
(1) See Table I for reconciliation to GAAP numbers
ADJUSTED SELECTED SEGMENT INFORMATION(1)
QUARTERS AND FISCAL YEAR 2018
Three Months Ended Year Ended
Consumer Self-Care Americas March 31, 2018 June 30, 2018 September 29, 2018 December 31, 2018 December 31, 2018
Adjusted gross profit $ 216.4 $ 213.1 $ 200.1 $ 196.6 $ 826.2
Adjusted R&D expense N/A $ 16.4 N/A N/A $ 60.7
Adjusted DSG&A expense $ 66.8 $ 67.6 $ 68.3 $ 60.7 $ 263.4
Adjusted operating income $ 134.3 $ 129.0 $ 118.0 $ 120.7 $ 502.0
Selected ratios as a percentage of reported net sales
Adjusted gross profit 36.0 % 35.7 % 33.6 % 31.9 % 34.3 %
Adjusted R&D expense N/A 2.7 % N/A N/A 2.5 %
Adjusted DSG&A expense 11.1 % 11.3 % 11.4 % 9.8 % 10.9 %
Adjusted operating income 22.3 % 21.6 % 19.8 % 19.6 % 20.8 %
Three Months Ended Year Ended
Consumer Self-Care International March 31, 2018 June 30, 2018 September 29, 2018 December 31, 2018 December 31, 2018
Adjusted gross profit $ 208.4 $ 195.0 $ 179.8 $ 171.9 $ 755.1
Adjusted R&D expense $ 10.3 $ 10.9 $ 10.1 $ 11.6 $ 42.9
Adjusted DSG&A expense $ 132.7 $ 128.1 $ 105.6 $ 117.7 $ 484.1
Adjusted operating income $ 65.4 $ 55.9 $ 64.2 $ 42.6 $ 228.1
Selected ratios as a percentage of reported net sales
Adjusted gross profit 55.2 % 54.5 % 53.8 % 52.2 % 54.0 %
Adjusted R&D expense 2.7 % 3.0 % 3.0 % 3.5 % 3.1 %
Adjusted DSG&A expense 35.1 % 35.8 % 31.6 % 35.7 % 34.6 %
Adjusted operating income 17.3 % 15.6 % 19.2 % 12.9 % 16.3 %
Three Months Ended Year Ended
Prescription Pharmaceuticals March 31, 2018 June 30, 2018 September 29, 2018 December 31, 2018 December 31, 2018
Adjusted gross profit $ 121.8 $ 115.9 $ 97.4 $ 121.9 $ 457.0
Adjusted DSG&A expense N/A $ 22.4 $ 20.6 $ 20.9 $ 88.0
Adjusted operating income $ 85.1 $ 79.1 $ 57.4 $ 83.4 $ 305.0
Selected ratios as a percentage of reported net sales
Adjusted gross profit 51.2 % 50.0 % 48.1 % 49.0 % 49.6 %
Adjusted DSG&A expense N/A 9.7 % 10.1 % 8.4 % 9.6 %
Adjusted operating income 35.8 % 34.1 % 28.3 % 33.5 % 33.1 %
(1) See Table I for reconciliation to GAAP numbers
ADJUSTED SELECTED SEGMENT INFORMATION(1)
Three Months Ended
Consumer Self-Care Americas March 30, 2019
Adjusted gross profit $ 189.4
Adjusted DSG&A expense $ 67.4
Adjusted operating income $ 106.3
Selected ratios as a percentage of reported net sales
Adjusted gross profit 32.5 %
Adjusted DSG&A expense 11.6 %
Adjusted operating income 18.3 %
Three Months Ended
Consumer Self-Care International March 30, 2019
Adjusted gross profit $ 189.2
Adjusted R&D expense $ 10.2
Adjusted DSG&A expense $ 124.9
Adjusted operating income $ 54.1
Selected ratios as a percentage of reported net sales
Adjusted gross profit 53.9 %
Adjusted R&D expense 2.9 %
Adjusted DSG&A expense 35.6 %
Adjusted operating income 15.4 %
Three Months Ended
Prescription Pharmaceuticals March 30, 2019
Adjusted gross profit $ 117.6
Adjusted DSG&A expense $ 21.5
Adjusted operating income $ 81.9
Selected ratios as a percentage of reported net sales
Adjusted gross profit 48.6 %
Adjusted DSG&A expense 8.9 %
Adjusted operating income 33.9 %
(1) See Table I for reconciliation to GAAP numbers
Table I
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2016
(in millions)
(unaudited)
Three Months Ended
April 2, 2016
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 639.1 $ 202.7 $ 18.9 $ 74.9 $ 107.3
As a % of reported net sales 31.7 % 3.0 % 11.7 % 16.8 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ - $ 12.8 $ - $ (5.3 ) $ 18.1
Operating results attributable to held-for-sale business* (47.1 ) (7.0 ) (0.6 ) (3.9 ) (2.5 )
Restructuring charges and other termination benefits - - - - 1.5
Acquisition and integration-related charges and contingent consideration adjustments - 2.8 - (0.2 ) 3.0
Adjusted $ 592.0 $ 211.3 $ 18.3 $ 65.5 $ 127.4
As a % of adjusted net sales 35.7 % 3.1 % 11.1 % 21.5 %
* Held-for-sale business includes U.S. VMS business.
Three Months Ended
July 2, 2016
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 629.9 $ 227.5 $ 18.8 $ 77.9 $ 124.4
As a % of reported net sales 36.1 % 3.0 % 12.4 % 19.7 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ - $ 12.4 $ - $ (5.1 ) $ 17.5
Impairment charges - - - - 6.2
Operating results attributable to held-for-sale business* (42.1 ) (7.2 ) (0.5 ) (3.7 ) (3.1 )
Restructuring charges and other termination benefits - - - - 0.3
Acquisition and integration-related charges and contingent consideration adjustments - 1.1 - 0.1 1.0
Adjusted $ 587.8 $ 233.8 $ 18.3 $ 69.2 $ 146.3
As a % of adjusted net sales 39.8 % 3.1 % 11.8 % 24.9 %
* Held-for-sale business includes U.S. VMS business.
Three Months Ended
October 1, 2016
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 611.2 $ 205.2 $ 18.3 $ 74.6 $ 105.0
As a % of reported net sales 33.6 % 3.0 % 12.2 % 17.2 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ - $ 12.6 $ - $ (5.1 ) $ 17.7
Impairment charges - - - - 3.4
Operating results attributable to held-for-sale business* (21.0 ) (3.4 ) (0.2 ) (3.1 ) (0.1 )
Restructuring charges and other termination benefits - - - - 4.0
Unusual litigation - - - - -
Acquisition and integration-related charges and contingent consideration adjustments - 0.8 - (0.5 ) 1.3
Adjusted $ 590.2 $ 215.2 $ 18.1 $ 65.9 $ 131.3
As a % of adjusted net sales 36.5 % 3.1 % 11.2 % 22.2 %
* Held-for-sale business includes U.S. VMS business.
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2016
(in millions)
(unaudited)
Three Months Ended
December 31, 2016
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 626.8 $ 215.6 $ 18.2 $ 81.5 $ 88.9
As a % of reported net sales 34.4 % 2.9 % 13.0 % 14.2 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 12.6 $ (5.1 ) $ 17.7
Impairment charges - - (0.1 )
Restructuring charges and other termination benefits - - 27.1
Unusual litigation - (10.2 ) 10.2
Acquisition and integration-related charges and contingent consideration adjustments - (1.2 ) 1.2
Adjusted $ 228.2 $ 65.0 $ 145.0
As a % of reported net sales 36.4 % 10.4 % 23.1 %
Year Ended
December 31, 2016
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 2,507.0 $ 851.0 $ 74.2 $ 308.9 $ 425.6
As a % of reported net sales 33.9 % 3.0 % 12.3 % 17.0 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ - $ 50.4 $ - $ (20.6 ) $ 71.0
Impairment charges - - - - 9.5
Operating results attributable to held-for-sale business* (110.2 ) (17.6 ) (1.3 ) (10.7 ) (5.7 )
Restructuring charges and other termination benefits - - - - 32.9
Unusual litigation - - - (10.2 ) 10.2
Acquisition and integration-related charges and contingent consideration adjustments - 4.7 - (1.8 ) 6.5
Adjusted $ 2,396.8 $ 888.5 $ 72.9 $ 265.6 $ 550.0
As a % of adjusted net sales 37.1 % 3.0 % 11.1 % 22.9 %
* Held-for-sale business includes U.S. VMS business.
Three Months Ended
April 2, 2016
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 420.1 $ 192.7 $ 10.5 $ 173.2 $ (398.1 )
As a % of reported net sales 45.9 % 2.5 % 41.2 % (94.8 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 12.9 $ (0.2 ) $ (29.7 ) $ 42.8
Impairment charges - - - 403.9
Restructuring charges and other termination benefits - - - 3.1
Acquisition and integration-related charges and contingent consideration adjustments - - (1.3 ) 1.3
Adjusted $ 205.6 $ 10.3 $ 142.2 $ 53.0
As a % of reported net sales 48.9 % 2.5 % 33.9 % 12.6 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2016
(in millions)
(unaudited)
Three Months Ended
July 2, 2016
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 399.5 $ 182.1 $ 10.0 $ 167.2 $ 0.1
As a % of reported net sales 45.6 % 2.5 % 41.9 % - %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ - $ 17.3 $ (0.2 ) $ (29.3 ) $ 46.8
Operating results attributable to held-for-sale business* (0.1 ) 0.7 - (4.0 ) 4.7
Restructuring charges and other termination benefits - - - - 4.8
Acquisition and integration-related charges and contingent consideration adjustments - - - 0.2 (0.2 )
Adjusted $ 399.4 $ 200.1 $ 9.8 $ 134.1 $ 56.2
As a % of adjusted net sales 50.1 % 2.4 % 33.6 % 14.1 %
* Held-for-sale business includes the European Sports Brand.
Three Months Ended
October 1, 2016
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 358.3 $ 148.2 $ 10.5 $ 148.2 $ (1,617.5 )
As a % of reported net sales 41.4 % 2.9 % 41.4 % (451.5 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ - $ 16.9 $ (0.4 ) $ (28.8 ) $ 46.1
Impairment charges - - - - 1,604.5
Operating results attributable to held-for-sale business* (0.2 ) 0.1 - (2.8 ) 2.9
Restructuring charges and other termination benefits - - - - 2.5
Acquisition and integration-related charges and contingent consideration adjustments - - - 0.2 (0.2 )
Adjusted $ 358.1 $ 165.2 $ 10.1 $ 116.8 $ 38.3
As a % of adjusted net sales 46.1 % 2.8 % 32.6 % 10.7 %
* Held-for-sale business includes the European Sports Brand.
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2016
(in millions)
(unaudited)
Three Months Ended
December 31, 2016
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 401.9 $ 145.1 $ 9.6 $ 160.0 $ (68.9 )
As a % of reported net sales 36.1 % 2.4 % 39.8 % (17.1 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 20.6 $ (0.1 ) $ (27.5 ) $ 48.2
Impairment charges - - - 34.0
Operating results attributable to held-for-sale business* 3.5 - (6.8 ) 10.3
Restructuring charges and other termination benefits - - - 10.5
Acquisition and integration-related charges and contingent consideration adjustments - - (1.0 ) 1.0
Adjusted $ 169.2 $ 9.5 $ 124.7 $ 35.1
As a % of reported net sales 42.1 % 2.4 % 31.0 % 8.7 %
* Held-for-sale business includes the European Sports Brand.
Year Ended
December 31, 2016
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 1,579.8 $ 668.1 $ 40.6 $ 648.6 $ (2,084.4 )
As a % of reported net sales 42.3 % 2.6 % 41.1 % (131.9 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ - $ 67.7 $ (0.9 ) $ (115.3 ) $ 183.9
Impairment charges - - - - 2,042.4
Operating results attributable to held-for-sale business* (0.3 ) 4.3 - (13.6 ) 17.9
Restructuring charges and other termination benefits - - - - 20.9
Acquisition and integration-related charges and contingent consideration adjustments - - - (1.9 ) 1.9
Adjusted $ 1,579.5 $ 740.1 $ 39.7 $ 517.8 $ 182.6
As a % of adjusted net sales 46.9 % 2.5 % 32.8 % 11.6 %
* Held-for-sale business includes the European Sports Brand.
Three Months Ended
April 2, 2016
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 267.5 $ 127.9 $ 14.1 $ 25.2 $ 88.6
As a % of reported net sales 47.8 % 5.3 % 9.4 % 33.1 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 25.3 $ (0.2 ) $ 25.6
Acquisition and integration-related charges and contingent consideration adjustments - (0.1 ) 0.1
Adjusted $ 153.2 $ 24.9 $ 114.3
As a % of reported net sales 57.3 % 9.3 % 42.7 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2016
(in millions)
(unaudited)
Three Months Ended
July 2, 2016
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 293.3 $ 129.4 $ 16.6 $ 24.9 $ 87.9
As a % of reported net sales 44.1 % 5.7 % 8.5 % 30.0 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 25.8 $ 25.8
Adjusted $ 155.2 $ 113.7
As a % of reported net sales 52.9 % 38.8 %
Three Months Ended
October 1, 2016
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 271.0 $ 121.8 $ 19.7 $ 29.5 $ 72.6
As a % of reported net sales 44.9 % 7.3 % 10.9 % 26.8 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 27.1 $ (0.2 ) $ 27.3
Acquisition and integration-related charges and contingent consideration adjustments - (5.0 ) 5.0
Adjusted $ 148.9 $ 24.3 $ 104.9
As a % of reported net sales 55.0 % 9.0 % 38.7 %
Three Months Ended
December 31, 2016
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 283.4 $ 121.5 $ 12.0 $ 34.1 $ (269.0 )
As a % of reported net sales 42.9 % 4.2 % 12.0 % (94.9 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 28.4 $ (0.1 ) $ 28.5
Impairment charges - - 342.4
Restructuring charges and other termination benefits - - 2.0
Unusual litigation - (8.2 ) 8.2
Acquisition and integration-related charges and contingent consideration adjustments - (0.9 ) 0.9
Adjusted $ 149.9 $ 24.9 $ 113.0
As a % of reported net sales 52.9 % 8.8 % 39.8 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2016
(in millions)
(unaudited)
Year Ended
December 31, 2016
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 1,115.2 $ 500.6 $ 62.4 $ 113.7 $ (19.9 )
As a % of reported net sales 44.9 % 5.6 % 10.2 % (1.8 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 106.6 $ (0.5 ) $ 107.2
Impairment charges - - 342.4
Restructuring charges and other termination benefits - - 2.0
Unusual litigation - (8.2 ) 8.2
Acquisition and integration-related charges and contingent consideration adjustments - (6.0 ) 6.0
Adjusted $ 607.2 $ 99.0 $ 445.9
As a % of reported net sales 54.5 % 8.9 % 40.0 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2017
(in millions)
(unaudited)
Three Months Ended
April 1, 2017
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 582.8 $ 196.6 $ 16.6 $ 71.4 $ 83.2
As a % of reported net sales 33.7 % 2.8 % 12.3 % 14.3 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 12.4 $ (4.8 ) $ 17.2
Restructuring charges and other termination benefits - - 23.7
Acquisition and integration-related charges and contingent consideration adjustments - - 1.6
Adjusted $ 209.0 $ 66.6 $ 125.7
As a % of reported net sales 35.9 % 11.4 % 21.6 %
Three Months Ended
July 1, 2017
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 604.8 $ 210.0 $ 18.0 $ 75.7 $ 110.5
As a % of reported net sales 34.7 % 3.0 % 12.5 % 18.3 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 12.1 $ (4.8 ) $ 16.9
Impairment charges - - 4.1
Restructuring charges and other termination benefits - - 4.3
Acquisition and integration-related charges and contingent consideration adjustments - - (2.5 )
Adjusted $ 222.1 $ 70.9 $ 133.3
As a % of reported net sales 36.7 % 11.7 % 22.0 %
Three Months Ended
September 30, 2017
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 598.8 $ 211.4 $ 13.8 $ 70.4 $ 129.6
As a % of reported net sales 35.3 % 2.3 % 11.8 % 21.6 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 12.1 $ (4.8 ) $ 16.9
Impairment charges - - 0.4
Restructuring charges and other termination benefits - - (0.8 )
Acquisition and integration-related charges and contingent consideration adjustments - - (2.0 )
Adjusted $ 223.5 $ 65.6 $ 144.1
As a % of reported net sales 37.3 % 10.9 % 24.1 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2017
(in millions)
(unaudited)
Three Months Ended
December 31, 2017
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 643.5 $ 225.7 $ 17.5 $ 61.6 $ 147.6
As a % of reported net sales 35.1 % 2.7 % 9.6 % 22.9 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 12.1 $ (4.8 ) $ 16.9
Unusual litigation - 10.2 (10.2 )
Restructuring charges and other termination benefits - - 0.2
Acquisition and integration-related charges and contingent consideration adjustments - (1.7 ) 0.5
Adjusted $ 237.8 $ 65.3 $ 155.0
As a % of reported net sales 37.0 % 10.1 % 24.1 %
Year Ended
December 31, 2017
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 2,429.9 $ 843.7 $ 65.9 $ 279.1 $ 470.9
As a % of reported net sales 34.7 % 2.7 % 11.5 % 19.4 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 48.7 $ (19.2 ) $ 67.9
Impairment charges - - 4.5
Unusual litigation - 10.2 (10.2 )
Restructuring charges and other termination benefits - - 27.4
Acquisition and integration-related charges and contingent consideration adjustments - (1.7 ) (2.4 )
Adjusted $ 892.4 $ 268.4 $ 558.1
As a % of reported net sales 36.7 % 11.0 % 23.0 %
Three Months Ended
April 1, 2017
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 354.7 $ 162.1 $ 10.4 $ 149.3 $ (1.6 )
As a % of reported net sales 45.7 % 2.9 % 42.1 % (0.5 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 19.8 $ (0.2 ) $ (26.5 ) $ 46.6
Impairment charges - - - 1.1
Operating results attributable to held-for-sale business* 0.5 - - 0.5
Restructuring charges and other termination benefits - - - 2.9
Adjusted $ 182.4 $ 10.2 $ 122.8 $ 49.5
As a % of reported net sales 51.4 % 2.9 % 34.6 % 13.9 %
* Held-for-sale business includes the European Sports Brand.
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2017
(in millions)
(unaudited)
Three Months Ended
July 1, 2017
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 356.9 $ 167.3 $ 9.9 $ 152.2 $ (5.5 )
As a % of reported net sales 46.9 % 2.8 % 42.6 % (1.5 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 20.5 $ (0.4 ) $ (27.8 ) $ 48.6
Impairment charges - - - 3.7
Restructuring charges and other termination benefits - - - 6.4
Acquisition and integration-related charges and contingent consideration adjustments - - - 0.6
Adjusted $ 187.8 $ 9.5 $ 124.4 $ 53.8
As a % of reported net sales 52.6 % 2.7 % 34.9 % 15.1 %
Three Months Ended
September 30, 2017
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 343.0 $ 157.4 $ 10.3 $ 141.5 $ 2.0
As a % of reported net sales 45.9 % 3.0 % 41.3 % 0.6 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 21.5 $ (0.3 ) $ (29.5 ) $ 51.5
Restructuring charges and other termination benefits - - - 3.5
Adjusted $ 178.9 $ 10.0 $ 112.0 $ 57.0
As a % of reported net sales 52.2 % 2.9 % 32.6 % 16.6 %
Three Months Ended
December 31, 2017
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 351.6 $ 164.4 $ 10.2 $ 147.9 $ 2.4
As a % of reported net sales 46.8 % 2.9 % 42.1 % 0.7 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 21.7 $ (0.3 ) $ (29.5 ) $ 51.4
Restructuring charges and other termination benefits - - - 3.6
Acquisition and integration-related charges and contingent consideration adjustments - - 2.4 (2.0 )
Adjusted $ 186.1 $ 9.9 $ 120.8 $ 55.4
As a % of reported net sales 52.9 % 2.8 % 34.3 % 15.8 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2017
(in millions)
(unaudited)
Year Ended
December 31, 2017
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 1,406.2 $ 651.2 $ 40.8 $ 590.9 $ (2.7 )
As a % of reported net sales 46.3 % 2.9 % 42.0 % (0.2 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 83.5 $ (1.2 ) $ (113.3 ) $ 198.1
Impairment charges - - - 4.8
Operating results attributable to held-for-sale business* 0.5 - - 0.5
Restructuring charges and other termination benefits - - - 16.4
Acquisition and integration-related charges and contingent consideration adjustments - - 2.4 (1.4 )
Adjusted $ 735.2 $ 39.6 $ 480.0 $ 215.7
As a % of reported net sales 52.3 % 2.8 % 34.1 % 15.3 %
* Held-for-sale business includes the European Sports Brand.
Three Months Ended
April 1, 2017
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 237.6 $ 95.5 $ 11.1 $ 21.5 $ 84.0
As a % of reported net sales 40.2 % 4.7 % 9.0 % 35.4 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 22.4 $ (0.1 ) $ 22.6
Impairment charges - - 11.1
Gain/loss on divestitures - - (21.8 )
Restructuring charges and other termination benefits - - 5.6
Operating results attributable to held-for-sale business (0.1 ) - (0.1 )
Acquisition and integration-related charges and contingent consideration adjustments - - (16.1 )
Adjusted $ 117.8 $ 21.4 $ 85.3
As a % of reported net sales 49.6 % 9.0 % 35.9 %
Three Months Ended
July 1, 2017
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 260.0 $ 119.6 $ 12.7 $ 11.8 $ 74.8
As a % of reported net sales 46.0 % 4.9 % 4.5 % 28.8 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 22.5 $ (0.1 ) $ 22.6
Unusual litigation - 8.8 (8.8 )
Impairment charges - - 19.6
Gain/loss on divestitures - - (1.1 )
Restructuring charges and other termination benefits - - 0.4
Acquisition and integration-related charges and contingent consideration adjustments - - 1.4
Adjusted $ 142.1 $ 20.5 $ 108.9
As a % of reported net sales 54.7 % 7.9 % 41.9 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2017
(in millions)
(unaudited)
Three Months Ended
September 30, 2017
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 273.0 $ 120.0 $ 12.4 $ 22.5 $ 81.7
As a % of reported net sales 44.0 % 4.6 % 8.3 % 29.9 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 21.2 $ (0.1 ) $ 21.3
Impairment charges - - 4.0
Restructuring charges and other termination benefits - - 0.2
Acquisition and integration-related charges and contingent consideration adjustments - - (0.9 )
Adjusted $ 141.2 $ 22.4 $ 106.3
As a % of reported net sales 51.7 % 8.2 % 39.0 %
Three Months Ended
December 31, 2017
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 283.8 $ 119.5 $ 17.9 $ 35.4 $ 65.6
As a % of reported net sales 42.1 % 6.3 % 12.5 % 23.1 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 21.7 $ 0.3 $ 21.3
Unusual litigation - (10.0 ) 10.0
Impairment charges - - 0.1
Gain/loss on divestitures - - (0.3 )
Restructuring charges and other termination benefits - - 0.2
Acquisition and integration-related charges and contingent consideration adjustments - - 0.7
Adjusted $ 141.2 $ 25.7 $ 97.6
As a % of reported net sales 49.7 % 9.1 % 34.4 %
Year Ended
December 31, 2017
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 1,054.4 $ 454.6 $ 54.1 $ 91.2 $ 306.1
As a % of reported net sales 43.1 % 5.1 % 8.6 % 29.0 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 87.8 $ - $ 87.8
Unusual litigation - (1.2 ) 1.2
Impairment charges - - 34.8
Gain/loss on divestitures - - (23.2 )
Restructuring charges and other termination benefits - - 6.4
Operating results attributable to held-for-sale business (0.1 ) - (0.1 )
Acquisition and integration-related charges and contingent consideration adjustments - - (14.9 )
Adjusted $ 542.3 $ 90.0 $ 398.1
As a % of reported net sales 51.4 % 8.5 % 37.8 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2018
(in millions)
(unaudited)
Three Months Ended
March 31, 2018
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 601.6 $ 205.9 $ 15.2 $ 71.5 $ 118.6
As a % of reported net sales 34.2 % 2.5 % 11.9 % 19.7 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 10.5 $ (4.7 ) $ 15.2
Restructuring charges and other termination benefits - - 0.4
Acquisition and integration-related charges and contingent consideration adjustments - - 0.1
Adjusted $ 216.4 $ 66.8 $ 134.3
As a % of reported net sales 36.0 % 11.1 % 22.3 %
Three Months Ended
June 30, 2018
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 596.9 $ 202.5 $ 66.4 $ 72.4 $ 64.6
As a % of reported net sales 33.9 % 11.1 % 12.1 % 10.8 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 10.6 $ - $ (4.8 ) $ 15.3
Impairment charges - - - 0.6
Acquisition and integration-related charges and contingent consideration adjustments - (50.0 ) - 48.5
Adjusted $ 213.1 $ 16.4 $ 67.6 $ 129.0
As a % of reported net sales 35.7 % 2.7 % 11.3 % 21.6 %
Three Months Ended
September 29, 2018
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 596.2 $ 189.5 $ 13.8 $ 73.0 $ (119.0 )
As a % of reported net sales 31.8 % 2.3 % 12.2 % (20.0 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 10.6 $ (4.7 ) $ 15.3
Impairment charges - - 221.7
Adjusted $ 200.1 $ 68.3 $ 118.0
As a % of reported net sales 33.6 % 11.4 % 19.8 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2018
(in millions)
(unaudited)
Three Months Ended
December 31, 2018
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 616.9 $ 191.1 $ 15.3 $ 65.4 $ 110.2
As a % of reported net sales 31.0 % 2.5 % 10.6 % 17.9 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 5.5 $ (4.7 ) $ 10.2
Impairment charges - - 0.3
Adjusted $ 196.6 $ 60.7 $ 120.7
As a % of adjusted net sales 31.9 % 9.8 % 19.6 %
Year Ended
December 31, 2018
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 2,411.6 $ 789.0 $ 110.7 $ 282.3 $ 174.4
As a % of reported net sales 32.7 % 4.6 % 11.7 % 7.2 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 37.2 $ - $ (18.9 ) $ 56.0
Impairment charges - - - 222.6
Restructuring charges and other termination benefits - - - 0.4
Acquisition and integration-related charges and contingent consideration adjustments - (50.0 ) - 48.6
Adjusted $ 826.2 $ 60.7 $ 263.4 $ 502.0
As a % of reported net sales 34.3 % 2.5 % 10.9 % 20.8 %
Three Months Ended
March 31, 2018
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 377.8 $ 185.9 $ 10.6 $ 162.4 $ 12.3
As a % of reported net sales 49.2 % 2.8 % 43.0 % 3.3 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 22.5 $ (0.3 ) $ (29.7 ) $ 52.5
Restructuring charges and other termination benefits - - - 0.6
Adjusted $ 208.4 $ 10.3 $ 132.7 $ 65.4
As a % of reported net sales 55.2 % 2.7 % 35.1 % 17.3 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2018
(in millions)
(unaudited)
Three Months Ended
June 30, 2018
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 357.9 $ 173.2 $ 11.2 $ 156.5 $ 4.0
As a % of reported net sales 48.4 % 3.1 % 43.7 % 1.1 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 21.8 $ (0.3 ) $ (28.4 ) $ 50.4
Impairment charges - - - 1.0
Restructuring charges and other termination benefits - - - 0.5
Adjusted $ 195.0 $ 10.9 $ 128.1 $ 55.9
As a % of reported net sales 54.5 % 3.0 % 35.8 % 15.6 %
Three Months Ended
September 29, 2018
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 334.2 $ 158.6 $ 10.3 $ 134.9 $ (4.7 )
As a % of reported net sales 47.5 % 3.1 % 40.3 % (1.4 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 21.2 $ (0.2 ) $ (27.9 ) $ 49.4
Impairment charges - - - 0.1
Unusual litigation - - (1.4 ) 1.4
Restructuring charges and other termination benefits - - - 18.0
Adjusted $ 179.8 $ 10.1 $ 105.6 $ 64.2
As a % of reported net sales 53.8 % 3.0 % 31.6 % 19.2 %
Three Months Ended
December 31, 2018
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income (Loss)
Reported $ 329.4 $ 151.0 $ 11.8 $ 145.0 $ (4.8 )
As a % of reported net sales 45.8 % 3.6 % 44.0 % (1.5 )%
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 20.9 $ (0.2 ) $ (25.5 ) $ 46.6
Impairment charges - - - 0.7
Unusual litigation - - (1.8 ) 1.8
Restructuring charges and other termination benefits - - - (1.7 )
Adjusted $ 171.9 $ 11.6 $ 117.7 $ 42.6
As a % of reported net sales 52.2 % 3.5 % 35.7 % 12.9 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2018
(in millions)
(unaudited)
Year Ended
December 31, 2018
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 1,399.3 $ 668.7 $ 43.9 $ 598.8 $ 6.8
As a % of reported net sales 47.8 % 3.1 % 42.8 % 0.5 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 86.4 $ (1.0 ) $ (111.5 ) $ 198.9
Impairment charges - - - 1.8
Unusual litigation - - (3.2 ) 3.2
Restructuring charges and other termination benefits - - - 17.4
Adjusted $ 755.1 $ 42.9 $ 484.1 $ 228.1
As a % of reported net sales 54.0 % 3.1 % 34.6 % 16.3 %
Three Months Ended
March 31, 2018
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 237.6 $ 100.9 $ 12.6 $ 24.1 $ 61.2
As a % of reported net sales 42.5 % 5.3 % 10.1 % 25.8 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 20.9 $ 20.9
Gain/loss on divestitures - (1.2 )
Restructuring charges and other termination benefits - 0.2
Acquisition and integration-related charges and contingent consideration adjustments - 4.0
Adjusted $ 121.8 $ 85.1
As a % of reported net sales 51.2 % 35.8 %
Three Months Ended
June 30, 2018
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 231.6 $ 95.3 $ 14.4 $ 22.6 $ 53.6
As a % of reported net sales 41.1 % 6.2 % 9.8 % 23.1 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 20.6 $ (0.2 ) $ 20.8
Acquisition and integration-related charges and contingent consideration adjustments $ - $ - $ 4.7
Adjusted $ 115.9 $ 22.4 $ 79.1
As a % of reported net sales 50.0 % 9.7 % 34.1 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
QUARTERS AND FISCAL YEAR 2018
(in millions)
(unaudited)
Three Months Ended
September 29, 2018
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 202.8 $ 76.8 $ 19.5 $ 20.7 $ 36.1
As a % of reported net sales 37.9 % 9.6 % 10.2 % 17.8 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 20.6 $ (0.1 ) $ 20.8
Acquisition and integration-related charges and contingent consideration adjustments - - 0.5
Adjusted $ 97.4 $ 20.6 $ 57.4
As a % of reported net sales 48.1 % 10.1 % 28.3 %
Three Months Ended
December 31, 2018
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 248.8 $ 100.9 $ 17.5 $ 21.1 $ 63.7
As a % of reported net sales 40.6 % 7.0 % 8.5 % 25.6 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 21.0 $ (0.2 ) $ 21.1
Gain/loss on divestitures - - (0.2 )
Acquisition and integration-related charges and contingent consideration adjustments - - (1.2 )
Adjusted $ 121.9 $ 20.9 $ 83.4
As a % of reported net sales 49.0 % 8.4 % 33.5 %
Year Ended
December 31, 2018
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 920.8 $ 373.9 $ 64.0 $ 88.5 $ 214.6
As a % of reported net sales 40.6 % 6.9 % 9.6 % 23.3 %
Adjustments:
Amortization expense primarily related to acquired intangible assets $ 83.1 $ (0.5 ) $ 83.6
Gain/loss on divestitures - - (1.4 )
Restructuring charges and other termination benefits - - 0.2
Acquisition and integration-related charges and contingent consideration adjustments - - 8.0
Adjusted $ 457.0 $ 88.0 $ 305.0
As a % of reported net sales 49.6 % 9.6 % 33.1 %
Table I (continued)
PERRIGO COMPANY PLC
RECONCILIATION OF NON-GAAP MEASURES
FIRST QUARTER 2019
(in millions)
(unaudited)
Three Months Ended
March 30, 2019
Consumer Self-Care Americas Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 581.8 $ 184.0 $ 15.6 $ 73.3 $ 94.2
As a % of reported net sales 31.6 % 2.7 % 12.6 % 16.2 %
Adjustments:
Amortization expense related primarily to acquired intangible assets $ 5.4 $ (4.7 ) $ 10.1
Unusual litigation - (1.2 ) 1.2
Impairment charges - - 4.1
Restructuring charges and other termination benefits - - 0.8
Acquisition and integration-related charges and contingent consideration adjustments - - (4.1 )
Adjusted $ 189.4 $ 67.4 $ 106.3
As a % of reported net sales 32.5 % 11.6 % 18.3 %
Three Months Ended
March 30, 2019
Consumer Self-Care International Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 350.8 $ 168.4 $ 10.3 $ 149.4 $ 8.1
As a % of reported net sales 48.0 % 2.9 % 42.6 % 2.3 %
Adjustments:
Amortization expense related primarily to acquired intangible assets $ 20.8 $ (0.1 ) $ (24.2 ) $ 45.1
Restructuring charges and other termination benefits - - - 0.6
Unusual litigation - - (0.3 ) 0.3
Adjusted $ 189.2 $ 10.2 $ 124.9 $ 54.1
As a % of reported net sales 53.9 % 2.9 % 35.6 % 15.4 %
Three Months Ended
March 30, 2019
Prescription Pharmaceuticals Net Sales Gross Profit R&D Expense DSG&A Expense Operating Income
Reported $ 241.9 $ 96.4 $ 14.3 $ 21.6 $ 60.6
As a % of reported net sales 39.9 % 5.9 % 8.9 % 25.1 %
Adjustments:
Amortization expense related primarily to acquired intangible assets $ 21.2 $ (0.1 ) $ 21.3
Gain/loss on divestitures - - (1.3 )
Acquisition and integration-related charges and contingent consideration adjustments - - 1.3
Adjusted $ 117.6 $ 21.5 $ 81.9
As a % of reported net sales 48.6 % 8.9 % 33.9 %
Last updated: May 8, 2019