Organization and Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Percentage of Total Revenues and Accounts Receivable by Customer

The following table sets forth the percentages of total revenue or gross accounts receivable for customers that represent 10% or more of the respective amounts for the periods shown:


	Revenue**						Gross Accounts Receivable
	Twelve Months Ended December 31,						As of December 31,
	2022		2021		2020		2022		2021
Customer A	32	%	28	%	23	%	19	%	16	%
Customer B	11	%	12	%	11	%	10	%	11	%
Customer C	26	%	21	%	18	%	17	%	13	%
Customer D	29	%	18	%	11	%	22	%	13	%
Customer E	10	%	*		*		*		*

* Less than 10%

** Total revenue for each customer is net of fees, cash discounts, and rebates directly allocable to that customer. Rebates paid to other entities are excluded; therefore, the combined value may exceed 100%.

Schedule of Error Corrections and Prior Period Adjustments

Below is a summary of the changes in our consolidated balance sheets we originally reported as of December 31, 2020 and 2021 under the ASC 470-20 legacy guidance compared to our adjusted consolidated balance sheets under the new ASU 2020-06 guidance we adopted and reflective of our four-for-one forward stock split:


Consolidated Balance Sheet	As of December 31, 2020
(In millions)	As Previously Reported		ASU 2020-06 Adjustment		Stock Split Adjustment		As Adjusted
Deferred tax assets	$	216.4	$	91.3	$	—	$	307.7
Long-term senior convertible notes	1,667.2		365.9		—		2,033.1
Common stock	0.1		—		0.3		0.4
Additional paid-in-capital	2,125.3		(398.5)		(0.3)		1,726.5
Accumulated deficit	$	(202.1)	$	123.9	$	—	$	(78.2)


Consolidated Balance Sheet	As of December 31, 2021
(In millions)	As Previously Reported		ASU 2020-06 Adjustment		Stock Split Adjustment		As Adjusted

Deferred tax assets	$	220.8	$	69.7	$	—	$	290.5

Long-term senior convertible notes	1,702.7		279.1		—		1,981.8
Common stock	0.1		—		0.3		0.4
Additional paid-in-capital	2,504.5		(395.5)		(0.3)		2,108.7
Retained earnings (accumulated deficit)	$	(47.4)	$	186.1	$	—	$	138.7

Below is a summary of the changes in our consolidated statements of operations for the twelve months ended December 31, 2020 and December 31, 2021 we originally reported at December 31, 2021 under the ASC 470-20 legacy guidance compared to our adjusted balance sheets under the new ASU 2020-06 guidance we adopted and reflective of our four-for-one forward stock split:


Consolidated Statement of Operations	Twelve Months Ended December 31, 2020
(In millions, except per share data)	As Previously Reported		ASU 2020-06 Adjustment		As Adjusted
Loss on extinguishment of debt	$	(5.9)	$	5.9	$	—
Interest expense	(84.7)		67.0		(17.7)
Income before income taxes	225.0		72.9		297.9
Income tax expense (benefit)	(268.6)		16.8		(251.8)
Net income	493.6		56.1		549.7
Basic net income per share	1.31		0.15		1.46
Diluted net income per share (1)	$	1.27	$	0.06	$	1.33

Shares used to compute diluted net income per share	389.8		30.6		420.4

(1) Dilutive net income used for diluted net income per share under ASU 2020-06 includes $11.1 million add back of interest expense, net of tax, attributable to assumed conversion of senior convertible notes.


Consolidated Statement of Operations	Twelve Months Ended December 31, 2021
(In millions, except per share data)	As Previously Reported		ASU 2020-06 Adjustment		As Adjusted
Loss on extinguishment of debt	$	(1.5)	$	1.4	$	(0.1)
Interest expense	(100.3)		81.5		(18.8)
Income before income taxes	173.9		82.9		256.8
Income tax expense	19.2		20.7		39.9
Net income	154.7		62.2		216.9
Basic net income per share	0.40		0.16		0.56
Diluted net income per share (1)	$	0.39	$	0.14	$	0.53
Shares used to compute diluted net income per share	400.4		28.4		428.8

(1) Dilutive net income used for diluted net income per share under ASU 2020-06 includes $11.4 million add back of interest expense, net of tax, attributable to assumed conversion of senior convertible notes.

Below is a summary of our consolidated balance sheet as of December 31, 2022 and consolidated statement of operations for the twelve months ended December 31, 2022 under the ASC 470-20 legacy guidance compared to the new ASU 2020-06 guidance we adopted.


Consolidated Balance Sheet	As of December 31, 2022
(In millions)	As computed under ASC 470-20		ASU 2020-06 Adjustment		As reported under ASU 2020-06
Prepaid and other current assets	$	191.5	$	1.1	$	192.6
Deferred tax assets	293.1		48.1		341.2

Current portion of long-term senior convertible notes	740.9		31.7		772.6
Long-term senior convertible notes	1,034.9		162.8		1,197.7
Additional paid-in-capital	2,652.2		(394.1)		2,258.1
Retained earnings	$	231.1	$	248.8	$	479.9


Consolidated Statement of Operations	Twelve Months Ended December 31, 2022
(In millions, except per share data)	As computed under ASC 470-20		ASU 2020-06 Adjustment		As reported under ASU 2020-06
Loss on extinguishment of debt	$	(0.4)	$	0.4	$	—
Interest expense	(101.9)		83.3		(18.6)
Income before income taxes	307.1		83.7		390.8
Income tax expense	28.6		21.0		49.6
Net income	278.5		62.7		341.2
Basic net income per share	0.72		0.16		0.88
Diluted net income per share (1)	$	0.70	$	0.12	$	0.82
Shares used to compute diluted net income per share	400.5		27.0		427.5

(1) Dilutive net income used for diluted net income per share under ASU 2020-06 includes $11.0 million add back of interest expense, net of tax, attributable to assumed conversion of senior convertible notes.

Schedule of Basic and Diluted Net Income (Loss) Per Share

The following table sets forth the computation of basic and diluted net income per share for the periods shown:


	Twelve Months Ended December 31,
	2022		2021		2020
(In millions, except per share data)			As Adjusted		As Adjusted
Net income	$	341.2	$	216.9	$	549.7
Add back interest expense, net of tax attributable to assumed conversion of senior convertible notes	11.0		11.4		11.1
Net income - diluted	$	352.2	$	228.3	$	560.8

Net income per common share
Basic	$	0.88	$	0.56	$	1.46
Diluted	$	0.82	$	0.53	$	1.33

Basic weighted average shares outstanding	389.4		386.9		377.5
Dilutive potential common stock outstanding:

Restricted stock units and performance stock units	1.0		2.1		4.0
Warrants	10.2		11.5		8.4
Senior convertible notes	26.9		28.3		30.5
Diluted weighted average shares outstanding	427.5		428.8		420.4

Schedule of Outstanding Anti-Dilutive Securities Excluded in Diluted Net Income per Share

Outstanding anti-dilutive securities not included in the diluted net income per share attributable to common stockholders calculations were as follows:


	Twelve Months Ended December 31,
	2022	2021	2020
(In millions)		As Adjusted	As Adjusted

Restricted stock units	0.4	—	0.1