Segment Data
The Company consists of a single operating and reportable segment and uses consolidated net income as its measure of segment profit and loss. The chief operating decision maker of the Company is the Chairman and Chief Executive Officer (CEO). The Chairman and CEO reviews consolidated operating results to make decisions about how to allocate resources to the segment and assess its performance as a whole. The Company has identified the following significant segment expenses (SSEs) due to their relevance to the overall consolidated operating results (in thousands):
| | | | | | | | | | | | | | | | | |
| Years Ended December 31, |
| 2025 | | 2024 | | 2023 |
| Net sales from external customers | $ | 602,797 | | | $ | 504,421 | | | $ | 400,072 | |
| | | | | |
| Significant segment expenses: | | | | | |
| Materials | 244,316 | | | 219,755 | | | 181,434 | |
| Salaries and Benefits | 183,349 | | | 133,984 | | | 103,387 | |
| Depreciation and amortization | 19,150 | | | 14,715 | | | 11,407 | |
| Interest expense, net | 9,804 | | | 8,061 | | | 3,645 | |
| Other segment items (a) | 63,665 | | | 54,881 | | | 46,297 | |
| Income before income tax provision | 82,513 | | | 73,025 | | | 53,902 | |
| Income tax provision | 14,200 | | | 14,044 | | | 8,978 | |
| | | | | |
| Segment net income | $ | 68,313 | | | $ | 58,981 | | | $ | 44,924 | |
| | | | | |
| Segment total assets (b) | $ | 655,077 | | | $ | 628,995 | | | $ | 404,136 | |
(a)Other segment items include (production overhead, stock compensation, professional fees, and other SG&A expenses)
(b)See Consolidated Balance Sheet for details
Information about Geographic Areas
Net sales shipped to customers outside of the United States comprised approximately 16.0%, 16.7%, and 20.8% of the Company’s consolidated net sales for the years ended December 31, 2025, 2024, and 2023, respectively. Approximately 36.7% of all long-lived assets are located outside of the United States.
Information about Major Customers
Net sales to two customers comprised approximately 24.3% and 21.5%, respectively, of the Company’s consolidated net sales for the year ended December 31, 2025. Net sales to two customers comprised approximately 29.2% and 15.4%, respectively, of the Company’s consolidated net sales for the year ended December 31, 2024. Net sales to one customer comprised approximately 28.1% of the Company’s consolidated net sales for the year ended December 31, 2023.
On December 31, 2025, one customer represented approximately 32.1% of gross accounts receivable. On December 31, 2024, one customer represented approximately 34.0% of gross accounts receivable.
The Company’s products are primarily sold to customers within the Medical and Non-medical markets. Net sales by market for the years ended December 31, 2025, 2024 and 2023 are as follows (in thousands):
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| | 2025 | | 2024 | | 2023 |
| Market | | Net Sales | | % | | Net Sales | | % | | Net Sales | | % |
| | | | | | | | | | | | |
| Medical | | $ | 555,323 | | | 92.1 | % | | $ | 450,767 | | | 89.4 | % | | $ | 346,355 | | | 86.6 | % |
| Non-medical | | 47,474 | | | 7.9 | % | | 53,654 | | | 10.6 | % | | 53,717 | | | 13.4 | % |
| Net Sales | | $ | 602,797 | | | 100.0 | % | | $ | 504,421 | | | 100.0 | % | | $ | 400,072 | | | 100.0 | % |