v3.26.1
Segments
 3 Months Ended
Mar. 28, 2026
Segment Reporting [Abstract]  
Segments Segments
The Company operates two reporting segments: U.S. and International. These segments align with the Company’s operating structure and are based on the geographic markets in which the Company sells its products. Both segments sell the Company’s portfolio of products to healthcare institutions, physicians, patients, distributors and dealers.
The Company identifies a business as an operating segment if (i) it engages in business activities from which it may earn revenues and incur expenses; (ii) its operating results are regularly reviewed by the Chief Operating Decision Maker (“CODM”); and (iii) it has available discrete financial information. The Company’s CODM is its President and Chief Executive Officer, who uses segment Adjusted EBITDA to make decisions regarding the allocation of resources, assess performance and to develop annual budgets and forecasts. The Company does not disclose segment information by asset, as the CODM does not review or use such information to allocate resources or to assess the operating results and financial performance.
The following table presents segment Adjusted EBITDA reconciled to income (loss) before income taxes:
Three Months Ended March 28, 2026
U.S.InternationalConsolidated
Net sales$116,445 $15,644 $132,089 
Adjusted cost of sales(a)
24,898 6,335 
Adjusted selling expense(b)
38,240 3,322 
Adjusted marketing expense(b)
5,886 753 
Adjusted general and administrative expense(b)
24,242 2,581 
Adjusted research and development expense(c)
2,289 — 
Adjusted other segment income(d)
(252)(120)
Adjusted EBITDA21,142 2,773 23,915 
Reconciliation to income before taxes:
Interest expense, net(4,326)
Depreciation and amortization(11,205)
Restructuring costs(454)
Shareholder litigation costs(19)
Equity compensation(3,264)
Other items(e)
(130)
Income before income taxes$4,517 
Three Months Ended March 29, 2025
U.S.InternationalConsolidated
Net sales$110,520 $13,356 $123,876 
Adjusted cost of sales(a)
25,397 5,158 
Adjusted selling expense(b)
34,716 3,199 
Adjusted marketing expense(b)
6,311 871 
Adjusted general and administrative expense(b)
23,317 1,966 
Adjusted research and development expense(c)
2,825 3 
Adjusted other segment loss(d)
899 2 
Adjusted EBITDA17,055 2,157 19,212 
Reconciliation to loss before income taxes:
Interest expense, net(7,509)
Depreciation and amortization(11,865)
Shareholder litigation costs(23)
Equity compensation(2,414)
Loss on disposal of a business(81)
Other items(e)
(737)
Loss before income taxes$(3,417)
(a)Adjusted cost of sales used in calculating segment Adjusted EBITDA excludes depreciation and amortization.
(b)Adjusted selling, general and administrative expense used in the calculation of segment Adjusted EBITDA excludes certain acquisition and related costs, shareholder litigation costs, certain restructuring costs, asset impairments, debt refinancing, equity-based compensation expense and other segment items—charges associated with strategic transactions, such as potential divestitures and a transformative project to redesign systems and information processing.
(c)Adjusted research and development expense used in calculating segment Adjusted EBITDA excludes depreciation and amortization, and equity-based compensation expense.
(d)Adjusted other segment (income) expense primarily consists of foreign currency transaction and remeasurement gains and losses and other certain nonrecurring items.
(e)During the three months ended March 28, 2026, other items primarily consisted of individually immaterial items that are not indicative of the Company’s ongoing operating performance. During the three months ended March 29, 2025, other items primarily consisted of expenses related to the divestiture of the Advanced Rehabilitation Business.