Meridian Bioscience (VIVO) 10-Q 11 Feb 19 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Dec. 31, 2018	Jan. 31, 2019
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Dec. 31, 2018
Document Fiscal Year Focus	2,019
Document Fiscal Period Focus	Q1
Trading Symbol	VIVO
Entity Registrant Name	MERIDIAN BIOSCIENCE INC
Entity Central Index Key	794,172
Current Fiscal Year End Date	--09-30
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		42,489,202

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Income Statement [Abstract]
NET REVENUES	$ 51,480	$ 52,283
COST OF SALES	19,908	20,273
GROSS PROFIT	31,572	32,010
OPERATING EXPENSES
Research and development	3,967	4,420
Selling and marketing	7,563	8,844
General and administrative	8,902	9,202
Restructuring costs		734
Litigation costs	589	749
Total operating expenses	21,021	23,949
OPERATING INCOME	10,551	8,061
OTHER INCOME (EXPENSE)
Interest income	149	72
Interest expense	(363)	(395)
Other, net	139	(80)
Total other expense	(75)	(403)
EARNINGS BEFORE INCOME TAXES	10,476	7,658
INCOME TAX PROVISION	2,370	1,356
NET EARNINGS	$ 8,106	$ 6,302
BASIC EARNINGS PER COMMON SHARE	$ 0.19	$ 0.15
DILUTED EARNINGS PER COMMON SHARE	$ 0.19	$ 0.15
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING-BASIC	42,446	42,263
EFFECT OF DILUTIVE STOCK OPTIONS AND RESTRICTED SHARE UNITS	459	399
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING-DILUTED	42,905	42,662
ANTI-DILUTIVE SECURITIES:
Common share options and restricted share units	684	1,034
DIVIDENDS DECLARED PER COMMON SHARE	$ 0.125	$ 0.125

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Statement of Comprehensive Income [Abstract]
NET EARNINGS	$ 8,106	$ 6,302
Other comprehensive income (loss):
Foreign currency translation adjustment	(716)	291
Unrealized gain (loss) on cash flow hedge	(577)	341
Income taxes related to items of other comprehensive income	145	(112)
Other comprehensive income (loss), net of tax	(1,148)	520
COMPREHENSIVE INCOME	$ 6,958	$ 6,822

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES
NET EARNINGS	$ 8,106	$ 6,302
Non-cash items included in net earnings:
Depreciation of property, plant and equipment	1,253	1,146
Amortization of intangible assets	829	938
Amortization of deferred instrument costs		201
Stock-based compensation	1,670	1,759
Deferred income taxes	96	(1,624)
Change in:
Accounts receivable	317	(2,989)
Inventories	(37)	(2,353)
Prepaid expenses and other current assets	539	87
Accounts payable and accrued expenses	(4,081)	1,315
Income taxes payable	991	497
Other, net	(276)	(108)
Net cash provided by operating activities	9,407	5,171
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property, plant and equipment	(1,109)	(1,234)
Net cash used for investing activities	(1,109)	(1,234)
CASH FLOWS FROM FINANCING ACTIVITIES
Dividends paid	(5,301)	(5,288)
Payments on term loan	(1,125)	(1,125)
Proceeds and tax benefits from exercises of stock options	145
Net cash used for financing activities	(6,281)	(6,413)
Effect of Exchange Rate Changes on Cash and Equivalents and Restricted Cash	(257)	115
Net Increase (Decrease) in Cash and Equivalents and Restricted Cash	1,760	(2,361)
Cash and Equivalents and Restricted Cash at Beginning of Period	60,763	58,072
Cash and Equivalents and Restricted Cash at End of Period	62,523	55,711
Cash and Equivalents	61,523	54,711
Restricted Cash	$ 1,000	$ 1,000

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
CURRENT ASSETS
Cash and equivalents	$ 61,523	$ 59,763
Accounts receivable, less allowances of $331 and $310	31,791	32,336
Inventories	41,889	41,993
Prepaid expenses and other current assets	4,411	4,961
Total current assets	139,614	139,053
PROPERTY, PLANT AND EQUIPMENT, at Cost
Land	1,158	1,160
Buildings and improvements	32,443	32,444
Machinery, equipment and furniture	59,637	50,606
Construction in progress	1,727	1,631
Subtotal	94,965	85,841
Less: accumulated depreciation and amortization	64,108	55,846
Net property, plant and equipment	30,857	29,995
OTHER ASSETS
Goodwill	54,403	54,637
Other intangible assets, net	22,265	23,113
Restricted cash	1,000	1,000
Deferred instrument costs, net		1,239
Fair value of interest rate swap	1,145	1,722
Deferred income taxes	121	130
Other assets	452	488
Total other assets	79,386	82,329
TOTAL ASSETS	249,857	251,377
CURRENT LIABILITIES
Accounts payable	6,228	6,260
Accrued employee compensation costs	4,779	7,263
Other accrued expenses	3,035	5,065
Current portion of long-term debt	5,625	5,250
Income taxes payable	1,023	335
Total current liabilities	20,690	24,173
NON-CURRENT LIABILITIES
Post-employment benefits	2,490	2,646
Long-term debt	43,438	44,930
Long-term income taxes payable	736	441
Deferred income taxes	3,861	3,769
Total non-current liabilities	50,525	51,786
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS' EQUITY
Preferred stock, no par value; 1,000,000 shares authorized; none issued
Common shares, no par value; 71,000,000 shares authorized, 42,488,602 and 42,399,962 shares issued, respectively	0	0
Additional paid-in capital	130,876	129,193
Retained earnings	52,291	49,602
Accumulated other comprehensive loss	(4,525)	(3,377)
Total shareholders' equity	178,642	175,418
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 249,857	$ 251,377

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Statement of Financial Position [Abstract]
Allowances for accounts receivable	$ 331	$ 310
Preferred stock, par value
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Common stock, par value
Common stock, shares authorized	71,000,000	71,000,000
Common stock, shares issued	42,488,602	42,399,962

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Changes in Shareholders Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Total	Common Shares Issued [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comp Income (Loss) [Member]
Beginning balance at Sep. 30, 2017	$ 169,585		$ 125,608	$ 46,923	$ (2,946)
Beginning balance, Shares at Sep. 30, 2017		42,207
Cash dividends paid	(5,288)			(5,288)
Conversion of restricted share units	0	$ 0	0	0	0
Conversion of restricted share units, Shares		100
Stock compensation expense	1,759		1,759
NET EARNINGS	6,302			6,302
Foreign currency translation adjustment	291				291
Hedging activity, net of tax	229				229
Ending balance at Dec. 31, 2017	172,878		127,367	47,937	(2,426)
Ending balance, Shares at Dec. 31, 2017		42,307
Beginning balance at Sep. 30, 2018	175,418		129,193	49,602	(3,377)
Beginning balance, Shares at Sep. 30, 2018		42,400
Cash dividends paid	(5,301)			(5,301)
Conversion of restricted share units and exercise of stock options	13		13
Conversion of restricted share units and exercise of stock options, Shares		89
Stock compensation expense	1,670		1,670
NET EARNINGS	8,106			8,106
Foreign currency translation adjustment	(716)				(716)
Hedging activity, net of tax	(432)				(432)
Adoption of ASU 2014-09 | Accounting Standards Update 2014-09 [Member]	(116)			(116)
Ending balance at Dec. 31, 2018	$ 178,642		$ 130,876	$ 52,291	$ (4,525)
Ending balance, Shares at Dec. 31, 2018		42,489

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Changes in Shareholders Equity (Unaudited) (Parenthetical) - $ / shares	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Statement of Stockholders' Equity [Abstract]
Cash dividends per common share	$ 0.125	$ 0.125

Basis of Presentation

Basis of Presentation	3 Months Ended
	Dec. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	1. Basis of Presentation The interim condensed consolidated financial statements are unaudited and are prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information, and the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. In the opinion of Management, the interim financial statements include all normal adjustments and disclosures necessary to present fairly the Company’s financial position as of December 31, 2018, the results of its operations for the three month periods ended December 31, 2018 and 2017, and its cash flows for the three month periods ended December 31, 2018 and 2017. These statements should be read in conjunction with the consolidated financial statements and footnotes thereto included in the Company’s fiscal 2018 Annual Report on Form 10-K. Financial

Significant Accounting Policies

Significant Accounting Policies	3 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
Significant Accounting Policies	2. Significant Accounting Policies A summary of the Company’s significant accounting policies is included in Note 1 to the audited consolidated financial statements of the Company’s fiscal 2018 Annual Report on Form 10-K Revenue Recognition – Adoption of New Standard On October 1, 2018, we adopted ASU No. 2014-09, Revenue from Contracts with Customers Upon adoption, we recorded a reduction of $116 to the opening balance of retained earnings as of October 1, 2018. This adjustment is related to writing off the book value of clinical diagnostic testing instruments located at customers for which there is no contractual arrangement for the instrument to be returned to the Company. Instruments placed with customers under an agreement to return the instrument to the Company were reclassified to machinery and equipment. Prior to adoption of the new guidance, all instruments placed with customers were capitalized and amortized over an estimated three-year utilization period, with the net balance reflected as deferred instrument costs. The following table summarizes the impact of the new revenue standard on our opening balance sheet: Balance at New Revenue Balance at PROPERTY, PLAN AND EQUIPMENT Machinery, equipment and furniture $ 50,606 $ 8,696 $ 59,302 Accumulated depreciation and amortization (55,846 ) (7,611 ) (63,457 ) OTHER ASSETS Deferred instrument costs, net 1,239 (1,239 ) — NON-CURRENT Deferred income taxes (3,769 ) 38 (3,731 ) SHAREHOLDERS’ EQUITY Retained earnings (49,602 ) 116 (49,486 ) The adoption of this new standard had an immaterial impact on our reported total revenues and operating income, as compared to what would have been reported under the prior standard. We expect the impact of adoption in future periods to continue to be immaterial. Our accounting policies under the new standard were applied prospectively and are noted below following the discussion of Revenue Disaggregation. Revenue Disaggregation The following tables present our revenues disaggregated by major geographic region, major product platform and disease state (Diagnostics only): Revenue by Reportable Segment & Geographic Region Three Months Ended December 31, 2018 2017 Inc (Dec) Diagnostics- Americas $ 31,147 $ 31,575 (1 )% EMEA 5,085 5,415 (6 )% ROW 433 500 (13 )% Total Diagnostics 36,665 37,490 (2 )% Life Science- Americas 4,534 5,250 (14 )% EMEA 7,455 5,185 44 % ROW 2,826 4,358 (35 )% Total Life Science 14,815 14,793 — % Consolidated $ 51,480 $ 52,283 (2 )% Revenue by Product Platform/Type Three Months Ended December 31, 2018 2017 Inc (Dec) Diagnostics- Molecular assays $ 7,298 $ 8,717 (16 )% Immunoassays & blood chemistry assays 29,367 28,773 2 % Total Diagnostics $ 36,665 $ 37,490 (2 )% Life Science- Molecular reagents $ 6,589 $ 5,688 16 % Immunological reagents 8,226 9,105 (10 )% Total Life Science $ 14,815 $ 14,793 — % Revenue by Disease State (Diagnostics only) Three Months Ended December 31, 2018 2017 Inc (Dec) Diagnostics- Gastrointestinal assays $ 18,633 $ 20,270 (8 )% Respiratory illness assays 7,977 7,486 7 % Blood chemistry assays 4,466 4,266 5 % Other 5,589 5,468 2 % Total Diagnostics $ 36,665 $ 37,490 (2 )% Revenue Policies Product Sales Revenue from contracts with customers is recognized in an amount that reflects the consideration we expect to receive in exchange for products when obligations under such contracts are satisfied. Revenue is generally recognized at a point-in-time Revenue is reduced in the period of sale for fees paid to distributors, which are inseparable from the distributor’s purchase of our product and for which we receive no goods or services in return. Revenue for the Diagnostics segment is reduced at the date of sale for product price adjustments due to certain distributors under local contracts. Management estimates accruals for distributor price adjustments based on local contract terms, sales data provided by distributors, historical statistics, current trends, and other factors. Changes to the accruals are recorded in the period that they become known. Such accruals are netted against accounts receivable. Shipping and handling costs incurred after control of the product is transferred to our customers are treated as fulfillment costs and not a separate performance obligation. Our payment terms differ by jurisdiction and customer but payment is generally required in a term ranging from 30 to 90 days from the date of shipment or satisfaction of the performance obligation. Trade accounts receivable are recorded in the accompanying Consolidated Balance Sheets at invoiced amounts less provisions for distributor price adjustments under local contracts and doubtful accounts. The allowance for doubtful accounts represents our estimate of probable credit losses and is based on historical write-off non-payment. Practical Expedients and Exemptions Revenue is recognized net of any taxes collected from customers (sales tax, value added tax, etc.), which are subsequently remitted to government authorities. Our products are generally not subject to a customer right of return except for product recall events under the rules and regulations of the Food and Drug Administration or equivalent agencies outside the United States. In this circumstance, the costs to replace affected products would be accrued at the time a loss was probable and estimable. We expense as incurred the costs to obtain contracts, as the amortization period would have been one year or less. These costs, recorded within selling and marketing expense, include our internal sales force compensation programs and certain partner sales incentive programs, as we have determined that annual compensation is commensurate with annual selling activities. Reagent Rental Arrangements Our Alethia and LeadCare product platforms require the use of instruments for the tests to be processed. In many cases a customer is given use of the instrument, provided they continue purchasing the associated tests, also referred to as “consumables” or “reagents”. If a customer stops purchasing the consumables, the instrument must be returned to Meridian. Such arrangements are common practice in the diagnostics industry and are referred to as “Reagent Rental” agreements. These agreements may also include instrument related services such as a limited replacement warranty, training and installation. We concluded that the use of the instrument and related services (collectively known as “lease elements”) are not within the scope of ASU No. 2014-09 2016-02, Leases non-lease non-lease For the portion of the transaction price allocated to the non-lease Revenue allocated to the lease elements of these Reagent Rental arrangements represent less than 1% of total revenue and are included as part of net revenues in our Condensed Consolidated Statements of Income. Recent Accounting Pronouncements – In February 2016, the FASB issued ASU 2016-02, Leases In August 2016, the FASB issued ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income Reclassifications – Certain reclassifications have been made to the prior year financial statements to conform to the current year presentation. Such reclassifications had no impact on net earnings or shareholders’ equity.

Cash and Equivalents

Cash and Equivalents	3 Months Ended
	Dec. 31, 2018
Cash and Cash Equivalents [Abstract]
Cash and Equivalents	3. Cash and Equivalents Cash and equivalents include the following components: December 31, 2018 September 30, 2018 Cash and Other Cash and Other Institutional money market funds $ 20,540 $ — $ 20,421 $ — Cash on hand - Restricted — 1,000 — 1,000 Unrestricted 40,983 — 39,342 — Total $ 61,523 $ 1,000 $ 59,763 $ 1,000

Inventories

Inventories	3 Months Ended
	Dec. 31, 2018
Inventory Disclosure [Abstract]
Inventories	4. Inventories Inventories are comprised of the following: December 31, September 30, Raw materials $ 7,123 $ 6,689 Work-in-process 12,037 12,098 Finished goods - instruments 1,224 1,191 Finished goods - kits and reagents 21,505 22,015 Total $ 41,889 $ 41,993

Intangible Assets

Intangible Assets	3 Months Ended
	Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets	5. Intangible Assets A summary of our acquired intangible assets subject to amortization, as of December 31, 2018 and September 30, 2018, is as follows: December 31, 2018 September 30, 2018 Gross Accumulated Gross Accumulated Manufacturing technologies, core products and cell lines $ 22,268 $ 14,243 $ 22,297 $ 13,974 Trade names, licenses and patents 8,613 5,463 8,647 5,267 Customer lists, customer relationships and supply agreements 24,385 13,295 24,461 13,051 Non-compete 720 720 720 720 Total $ 55,986 $ 33,721 $ 56,125 $ 33,012 The actual aggregate amortization expense for these intangible assets was $829 and $938 for the three months ended December 31, 2018 and 2017, respectively. The estimated aggregate amortization expense for these intangible assets for each of the fiscal years through fiscal 2024 is as follows: remainder of fiscal 2019 – $2,487, fiscal 2020 – $3,156, fiscal 2021 – $2,560, fiscal 2022 – $2,182, fiscal 2023 – $2,170, and fiscal 2024 – $2,166.

Restructuring

Restructuring	3 Months Ended
	Dec. 31, 2018
Restructuring and Related Activities [Abstract]
Restructuring	6. Restructuring During the second quarter of fiscal 2018, the Company began implementation of a plan to realign its business structure into two business units, Diagnostics and Life Science, supported by a global corporate team. As part of this plan, certain functions and locations within both business units were streamlined, including: (i) the elimination of certain executive management and commercial sales positions; (ii) the closing of Life Science locations in Taunton, Massachusetts and Singapore, the operations of which were transferred to locations in Memphis, Tennessee and London, England, respectively; and (iii) the transfer of certain functions performed in the Billerica, Massachusetts Diagnostics facility to the corporate headquarters in Cincinnati, Ohio. As a result of these activities, restructuring costs totaling $6,332 were recorded during the fiscal year ended September 30, 2018. A summary of the accrued liability associated with the restructuring costs as of December 31, 2018 and September 30, 2018, is as follows: December 31, September 30, Severance, other termination benefits and related costs $ 368 $ 987 Lease and other contract termination fees 8 33 Other 5 6 Total $ 381 $ 1,026

Income Taxes

Income Taxes	3 Months Ended
	Dec. 31, 2018
Income Tax Disclosure [Abstract]
Income Taxes	7. Income Taxes On December 22, 2017, the United States enacted tax reform legislation commonly known as the Tax Cuts and Jobs Act (the “tax reform act”). In applying the tax reform act during the three months ended December 31, 2017, we followed the guidance in SEC Staff Accounting Bulletin 118 (“SAB 118”), regarding the application of ASC Topic 740 in situations where a company does not have the necessary information available, prepared or analyzed in reasonable detail to complete the accounting for certain income tax effects of the tax reform act for the reporting period in which the tax reform act was enacted. SAB 118 provides for a measurement period beginning in the reporting period that includes the tax reform act’s enactment date and ending when a company has obtained, prepared and analyzed the information needed in order to complete the accounting requirements, but in no circumstances should the measurement period extend beyond one year from the enactment date. As a result, our financial statements for the three months ended December 31, 2017 reflected the effects of the tax reform act as provisional based on a reasonable estimate of the income tax effects and included a provisional noncurrent income tax payable in the amount of $854 related to the repatriation transition tax. Subsequent to the quarter ended December 31, 2017 and prior to September 30, 2018, we completed the accounting for the effects of the tax reform act. As a result, our repatriation transition tax liability was increased to $876, which is reflected as follows in the accompanying Condensed Consolidated Balance as of December 31, 2018: $140 of current income taxes payable and $736 long-term income taxes payable. In addition, during the three months ended December 31, 2017 we recorded a one-time re-measurement re-measurement re-measured

Bank Credit Arrangements

Bank Credit Arrangements	3 Months Ended
	Dec. 31, 2018
Debt Disclosure [Abstract]
Bank Credit Arrangements	8. Bank Credit Arrangements In March 2016, the Company entered into a $60,000 five-year term loan with a commercial bank. The term loan requires quarterly principal and interest payments, with interest at a variable rate tied to LIBOR, and a balloon principal payment due March 31, 2021. The required principal payments on the term loan for each of the remaining fiscal years are as follows: remainder of fiscal 2019 – $4,125, fiscal 2020 – $6,000, and fiscal 2021 – $39,000. In light of the term loan’s interest being determined on a variable rate basis, the fair value of the term loan at December 31, 2018 approximates the current carrying value reflected in the accompanying Condensed Consolidated Balance Sheet. In order to limit exposure to volatility in the LIBOR interest rate, the Company and the commercial bank also entered into an interest rate swap that effectively converts the variable interest rate on the term loan to a fixed rate of 2.76%. With an initial notional balance of $60,000, the interest rate swap was established with critical terms identical to those of the term loan, including: (i) notional reduction amounts and dates; (ii) LIBOR settlement rates; (iii) rate reset dates; and (iv) term/maturity. Due to this, the interest rate swap has been designated as an effective cash flow hedge, with changes in fair value reflected as a separate component of other comprehensive income in the accompanying Condensed Consolidated Statements of Comprehensive Income. At December 31, 2018 and September 30, 2018, the fair value of the interest rate swap was $1,145 and $1,722, respectively, and is reflected as a non-current In addition, the Company maintains a $30,000 revolving credit facility with a commercial bank, which expires March 31, 2021. There were no borrowings outstanding on this credit facility at December 31, 2018 or September 30, 2018. The term loan and the revolving credit facility are collateralized by the business assets of the Company’s U.S. subsidiaries and require compliance with financial covenants that limit the amount of debt obligations and require a minimum level of coverage of fixed charges, as defined in the borrowing agreement. As of December 31, 2018, the Company is in compliance with all covenants. The Company is also required to maintain a compensating cash balance with the bank in the amount of $1,000, and is in compliance with this requirement.

Reportable Segment and Major Cu

Reportable Segment and Major Customers Information	3 Months Ended
	Dec. 31, 2018
Segment Reporting [Abstract]
Reportable Segment and Major Customers Information	9. Reportable Segment and Major Customers Information Meridian was formed in 1976 and functions as a fully-integrated life science company with principal businesses in: (i) the development, manufacture, sale and distribution of diagnostic test kits, primarily for certain gastrointestinal and respiratory infectious diseases, and elevated blood lead levels; and (ii) the manufacture and distribution of bulk antigens, antibodies, PCR/qPCR reagents, nucleotides, competent cells, and bioresearch reagents used by researchers and other diagnostic manufacturers. Our reportable segments are Diagnostics and Life Science. The Diagnostics segment consists of manufacturing operations for infectious disease products in Cincinnati, Ohio, and manufacturing operations for blood chemistry products in Billerica, Massachusetts (near Boston), and the sale and distribution of diagnostics products domestically and abroad. This segment’s products are used by hospitals, reference labs and physician offices to detect infectious diseases and elevated lead levels in blood. The Life Science segment consists of manufacturing operations in Memphis, Tennessee; Boca Raton, Florida; London, England; and Luckenwalde, Germany, and the sale and distribution of bulk antigens, antibodies, PCR/qPCR reagents, nucleotides, competent cells, and bioresearch reagents domestically and abroad, including a sales and business development facility in Beijing, China to further pursue growing revenue opportunities in Asia. This segment’s products are used by manufacturers and researchers in a variety of applications (e.g., in-vitro next-gen Amounts due from two Diagnostics distributor customers accounted for 14% and 12% of consolidated accounts receivable at December 31, 2018 and September 30, 2018, respectively. Revenues from these two distributor customers accounted for 34% and 32% of the Diagnostics segment third-party revenues during the three months ended December 31, 2018 and 2017, respectively, and represented 24% and 23% of consolidated revenues for the fiscal 2019 and 2018 first quarters, respectively. Within our Life Science segment, two diagnostic manufacturing customers accounted for 28% and 15% of the segment’s third-party revenues during the three months ended December 31, 2018 and 2017, respectively. Segment information for the interim periods is as follows: Diagnostics Life Science Corporate (1) Eliminations (2) Total Three Months Ended December 31, 2018 Net revenues - Third-Party $ 36,665 $ 14,815 $ — $ — $ 51,480 Inter-segment 163 176 — (339 ) — Operating income 8,786 5,129 (3,391 ) 27 10,551 Goodwill (December 31, 2018) 35,213 19,190 — — 54,403 Other intangible assets, net (December 31, 2018) 21,386 879 — — 22,265 Total assets (December 31, 2018) 178,863 71,283 — (289 ) 249,857 Three Months Ended December 31, 2017 Net revenues - Third-Party $ 37,490 $ 14,793 $ — $ — $ 52,283 Inter-segment 121 192 — (313 ) — Operating income 8,569 2,943 (3,555 ) 104 8,061 Goodwill (September 30, 2018) 35,213 19,424 — — 54,637 Other intangible assets, net (September 30, 2018) 22,068 1,045 — — 23,113 Total assets (September 30, 2018) 180,978 70,341 — 58 251,377 (1) Includes Restructuring and Litigation Costs of $589 and $1,483 in the quarters ended December 31, 2018 and 2017, respectively. (2) Eliminations consist of inter-segment transactions. Transactions between segments are accounted for at established intercompany prices for internal and management purposes, with all intercompany amounts eliminated in consolidation.

Litigation Matters

Litigation Matters	3 Months Ended
	Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Litigation Matters	10. Litigation Matters On November 15, 2017, Barbara Forman filed a class action complaint in the United States District Court for the Southern District of Ohio naming Meridian, its Chief Executive Officer and Chief Financial Officer (in their capacities as such) as defendants. An amended complaint was filed on April 16, 2018 and the Company believes the essential elements of the amended complaint are the same. The complaint and the amended complaint are hereafter referred to as the “Complaint”. The Complaint seeks compensatory damages and attorneys’ fees. Meridian has filed a motion to dismiss the Complaint, to which the plaintiff responded on August 14, 2018. The motion has been fully briefed and remains pending before the court. We are unable to determine or predict the ultimate outcome or estimate the range of possible losses, if any. Accordingly, no provision for litigation losses has been included within either of the accompanying Condensed Consolidated Statements of Operations for the three months ended December 31, 2018 or December 31, 2017. On December 6, 2017, Michael Edelson filed a derivative complaint in the United States District Court for the Southern District of Ohio naming Meridian, its Chief Executive Officer, Chief Financial Officer and certain members of Meridian’s Board of Directors and Audit Committee (in their capacities as such) as defendants. The complaint alleges that Meridian made false and misleading representations concerning certain of Magellan’s lead test systems at or around the time of Meridian’s acquisition of Magellan and subsequent thereto, and the complaint alleges that certain members of the Board of Directors and Audit Committee breached their fiduciary duties in their oversight of the Company’s public disclosures and corporate governance matters. The complaint seeks compensatory damages, equitable relief relating to corporate governance matters and attorneys’ fees. The case has been stayed by agreement of the parties pending resolution of the motion to dismiss the class action described above. We are unable to determine or predict the ultimate outcome or estimate the range of possible losses, if any. Accordingly, no provision for litigation losses has been included within either of the accompanying Condensed Consolidated Statements of Operations for the three months ended December 31, 2018 or December 31, 2017. The Company maintains an insurance policy covering these matters, which has a $500 deductible. On April 17, 2018, Magellan received a subpoena from the United States Department of Justice (“DOJ”) regarding its LeadCare product line. The subpoena outlines documents to be produced, and the Company is cooperating with the DOJ in this matter. The Company maintains rigorous policies and procedures to promote compliance with applicable regulatory agencies and requirements, and is working with the DOJ to promptly respond to the subpoena. However, the Company cannot predict when the investigation will be resolved, the outcome of the investigation, or its potential impact on the Company. Approximately $540 and $0 of expense for attorneys’ fees related to this matter is included within the accompanying Condensed Consolidated Statements of Operations for the three months ended December 31, 2018 and December 31, 2017, respectively. On October 9, 2018, the Company and DiaSorin Inc. entered into a strategic collaboration to sell DiaSorin’s Helicobacter pylori H. pylori co-developed

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	3 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
Revenue Recognition	Revenue Recognition – Adoption of New Standard On October 1, 2018, we adopted ASU No. 2014-09, Revenue from Contracts with Customers Upon adoption, we recorded a reduction of $116 to the opening balance of retained earnings as of October 1, 2018. This adjustment is related to writing off the book value of clinical diagnostic testing instruments located at customers for which there is no contractual arrangement for the instrument to be returned to the Company. Instruments placed with customers under an agreement to return the instrument to the Company were reclassified to machinery and equipment. Prior to adoption of the new guidance, all instruments placed with customers were capitalized and amortized over an estimated three-year utilization period, with the net balance reflected as deferred instrument costs. The following table summarizes the impact of the new revenue standard on our opening balance sheet: Balance at New Revenue Balance at PROPERTY, PLAN AND EQUIPMENT Machinery, equipment and furniture $ 50,606 $ 8,696 $ 59,302 Accumulated depreciation and amortization (55,846 ) (7,611 ) (63,457 ) OTHER ASSETS Deferred instrument costs, net 1,239 (1,239 ) — NON-CURRENT Deferred income taxes (3,769 ) 38 (3,731 ) SHAREHOLDERS’ EQUITY Retained earnings (49,602 ) 116 (49,486 ) The adoption of this new standard had an immaterial impact on our reported total revenues and operating income, as compared to what would have been reported under the prior standard. We expect the impact of adoption in future periods to continue to be immaterial. Our accounting policies under the new standard were applied prospectively and are noted below following the discussion of Revenue Disaggregation. Revenue Disaggregation The following tables present our revenues disaggregated by major geographic region, major product platform and disease state (Diagnostics only): Revenue by Reportable Segment & Geographic Region Three Months Ended December 31, 2018 2017 Inc (Dec) Diagnostics- Americas $ 31,147 $ 31,575 (1 )% EMEA 5,085 5,415 (6 )% ROW 433 500 (13 )% Total Diagnostics 36,665 37,490 (2 )% Life Science- Americas 4,534 5,250 (14 )% EMEA 7,455 5,185 44 % ROW 2,826 4,358 (35 )% Total Life Science 14,815 14,793 — % Consolidated $ 51,480 $ 52,283 (2 )% Revenue by Product Platform/Type Three Months Ended December 31, 2018 2017 Inc (Dec) Diagnostics- Molecular assays $ 7,298 $ 8,717 (16 )% Immunoassays & blood chemistry assays 29,367 28,773 2 % Total Diagnostics $ 36,665 $ 37,490 (2 )% Life Science- Molecular reagents $ 6,589 $ 5,688 16 % Immunological reagents 8,226 9,105 (10 )% Total Life Science $ 14,815 $ 14,793 — % Revenue by Disease State (Diagnostics only) Three Months Ended December 31, 2018 2017 Inc (Dec) Diagnostics- Gastrointestinal assays $ 18,633 $ 20,270 (8 )% Respiratory illness assays 7,977 7,486 7 % Blood chemistry assays 4,466 4,266 5 % Other 5,589 5,468 2 % Total Diagnostics $ 36,665 $ 37,490 (2 )% Revenue Policies Product Sales Revenue from contracts with customers is recognized in an amount that reflects the consideration we expect to receive in exchange for products when obligations under such contracts are satisfied. Revenue is generally recognized at a point-in-time Revenue is reduced in the period of sale for fees paid to distributors, which are inseparable from the distributor’s purchase of our product and for which we receive no goods or services in return. Revenue for the Diagnostics segment is reduced at the date of sale for product price adjustments due to certain distributors under local contracts. Management estimates accruals for distributor price adjustments based on local contract terms, sales data provided by distributors, historical statistics, current trends, and other factors. Changes to the accruals are recorded in the period that they become known. Such accruals are netted against accounts receivable. Shipping and handling costs incurred after control of the product is transferred to our customers are treated as fulfillment costs and not a separate performance obligation. Our payment terms differ by jurisdiction and customer but payment is generally required in a term ranging from 30 to 90 days from the date of shipment or satisfaction of the performance obligation. Trade accounts receivable are recorded in the accompanying Consolidated Balance Sheets at invoiced amounts less provisions for distributor price adjustments under local contracts and doubtful accounts. The allowance for doubtful accounts represents our estimate of probable credit losses and is based on historical write-off non-payment. Practical Expedients and Exemptions Revenue is recognized net of any taxes collected from customers (sales tax, value added tax, etc.), which are subsequently remitted to government authorities. Our products are generally not subject to a customer right of return except for product recall events under the rules and regulations of the Food and Drug Administration or equivalent agencies outside the United States. In this circumstance, the costs to replace affected products would be accrued at the time a loss was probable and estimable. We expense as incurred the costs to obtain contracts, as the amortization period would have been one year or less. These costs, recorded within selling and marketing expense, include our internal sales force compensation programs and certain partner sales incentive programs, as we have determined that annual compensation is commensurate with annual selling activities. Reagent Rental Arrangements Our Alethia and LeadCare product platforms require the use of instruments for the tests to be processed. In many cases a customer is given use of the instrument, provided they continue purchasing the associated tests, also referred to as “consumables” or “reagents”. If a customer stops purchasing the consumables, the instrument must be returned to Meridian. Such arrangements are common practice in the diagnostics industry and are referred to as “Reagent Rental” agreements. These agreements may also include instrument related services such as a limited replacement warranty, training and installation. We concluded that the use of the instrument and related services (collectively known as “lease elements”) are not within the scope of ASU No. 2014-09 2016-02, Leases non-lease non-lease For the portion of the transaction price allocated to the non-lease Revenue allocated to the lease elements of these Reagent Rental arrangements represent less than 1% of total revenue and are included as part of net revenues in our Condensed Consolidated Statements of Income.
Recent Accounting Pronouncements	Recent Accounting Pronouncements – In February 2016, the FASB issued ASU 2016-02, Leases In August 2016, the FASB issued ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income
Reclassifications	Reclassifications – Certain reclassifications have been made to the prior year financial statements to conform to the current year presentation. Such reclassifications had no impact on net earnings or shareholders’ equity.

Significant Accounting Polici_3

Significant Accounting Policies (Tables)	3 Months Ended
	Dec. 31, 2018
Accounting Policies [Abstract]
Summary of Impact of New Revenue Standard on Opening Balance Sheet	The following table summarizes the impact of the new revenue standard on our opening balance sheet: Balance at New Revenue Balance at PROPERTY, PLAN AND EQUIPMENT Machinery, equipment and furniture $ 50,606 $ 8,696 $ 59,302 Accumulated depreciation and amortization (55,846 ) (7,611 ) (63,457 ) OTHER ASSETS Deferred instrument costs, net 1,239 (1,239 ) — NON-CURRENT Deferred income taxes (3,769 ) 38 (3,731 ) SHAREHOLDERS’ EQUITY Retained earnings (49,602 ) 116 (49,486 )
Summary of Disaggregation of Revenue	The following tables present our revenues disaggregated by major geographic region, major product platform and disease state (Diagnostics only): Revenue by Reportable Segment & Geographic Region Three Months Ended December 31, 2018 2017 Inc (Dec) Diagnostics- Americas $ 31,147 $ 31,575 (1 )% EMEA 5,085 5,415 (6 )% ROW 433 500 (13 )% Total Diagnostics 36,665 37,490 (2 )% Life Science- Americas 4,534 5,250 (14 )% EMEA 7,455 5,185 44 % ROW 2,826 4,358 (35 )% Total Life Science 14,815 14,793 — % Consolidated $ 51,480 $ 52,283 (2 )% Revenue by Product Platform/Type Three Months Ended December 31, 2018 2017 Inc (Dec) Diagnostics- Molecular assays $ 7,298 $ 8,717 (16 )% Immunoassays & blood chemistry assays 29,367 28,773 2 % Total Diagnostics $ 36,665 $ 37,490 (2 )% Life Science- Molecular reagents $ 6,589 $ 5,688 16 % Immunological reagents 8,226 9,105 (10 )% Total Life Science $ 14,815 $ 14,793 — % Revenue by Disease State (Diagnostics only) Three Months Ended December 31, 2018 2017 Inc (Dec) Diagnostics- Gastrointestinal assays $ 18,633 $ 20,270 (8 )% Respiratory illness assays 7,977 7,486 7 % Blood chemistry assays 4,466 4,266 5 % Other 5,589 5,468 2 % Total Diagnostics $ 36,665 $ 37,490 (2 )%

Cash and Equivalents (Tables)

Cash and Equivalents (Tables)	3 Months Ended
	Dec. 31, 2018
Cash and Cash Equivalents [Abstract]
Components of Cash and Cash Equivalents	Cash and equivalents include the following components: December 31, 2018 September 30, 2018 Cash and Other Cash and Other Institutional money market funds $ 20,540 $ — $ 20,421 $ — Cash on hand - Restricted — 1,000 — 1,000 Unrestricted 40,983 — 39,342 — Total $ 61,523 $ 1,000 $ 59,763 $ 1,000

Inventories (Tables)

Inventories (Tables)	3 Months Ended
	Dec. 31, 2018
Inventory Disclosure [Abstract]
Components of Inventories	Inventories are comprised of the following: December 31, September 30, Raw materials $ 7,123 $ 6,689 Work-in-process 12,037 12,098 Finished goods - instruments 1,224 1,191 Finished goods - kits and reagents 21,505 22,015 Total $ 41,889 $ 41,993

Intangible Assets (Tables)

Intangible Assets (Tables)	3 Months Ended
	Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of Acquired Intangible Assets Subject to Amortization	A summary of our acquired intangible assets subject to amortization, as of December 31, 2018 and September 30, 2018, is as follows: December 31, 2018 September 30, 2018 Gross Accumulated Gross Accumulated Manufacturing technologies, core products and cell lines $ 22,268 $ 14,243 $ 22,297 $ 13,974 Trade names, licenses and patents 8,613 5,463 8,647 5,267 Customer lists, customer relationships and supply agreements 24,385 13,295 24,461 13,051 Non-compete 720 720 720 720 Total $ 55,986 $ 33,721 $ 56,125 $ 33,012

Restructuring (Tables)

Restructuring (Tables)	3 Months Ended
	Dec. 31, 2018
Restructuring and Related Activities [Abstract]
Schedule of Accrued Liability Associated With Restructuring Costs	A summary of the accrued liability associated with the restructuring costs as of December 31, 2018 and September 30, 2018, is as follows: December 31, September 30, Severance, other termination benefits and related costs $ 368 $ 987 Lease and other contract termination fees 8 33 Other 5 6 Total $ 381 $ 1,026

Reportable Segment and Major _2

Reportable Segment and Major Customers Information (Tables)	3 Months Ended
	Dec. 31, 2018
Segment Reporting [Abstract]
Segment Information	Segment information for the interim periods is as follows: Diagnostics Life Science Corporate (1) Eliminations (2) Total Three Months Ended December 31, 2018 Net revenues - Third-Party $ 36,665 $ 14,815 $ — $ — $ 51,480 Inter-segment 163 176 — (339 ) — Operating income 8,786 5,129 (3,391 ) 27 10,551 Goodwill (December 31, 2018) 35,213 19,190 — — 54,403 Other intangible assets, net (December 31, 2018) 21,386 879 — — 22,265 Total assets (December 31, 2018) 178,863 71,283 — (289 ) 249,857 Three Months Ended December 31, 2017 Net revenues - Third-Party $ 37,490 $ 14,793 $ — $ — $ 52,283 Inter-segment 121 192 — (313 ) — Operating income 8,569 2,943 (3,555 ) 104 8,061 Goodwill (September 30, 2018) 35,213 19,424 — — 54,637 Other intangible assets, net (September 30, 2018) 22,068 1,045 — — 23,113 Total assets (September 30, 2018) 180,978 70,341 — 58 251,377 (1) Includes Restructuring and Litigation Costs of $589 and $1,483 in the quarters ended December 31, 2018 and 2017, respectively. (2) Eliminations consist of inter-segment transactions.

Significant Accounting Polici_4

Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands	Oct. 01, 2018	Dec. 31, 2018	Sep. 30, 2018
Schedule Of Accounting Policies [Line Items]
Expected instrument utilization period			3 years
Revenue, description of payment terms		30 to 90 days from the date of shipment or satisfaction of the performance obligation
Maximum [Member]
Schedule Of Accounting Policies [Line Items]
Contract cost, amortization period		1 year
Maximum [Member] | Reagent Rental Arrangements [Member] | Lease Elements [Member] | Product Concentration Risk [Member] | Revenues [Member]
Schedule Of Accounting Policies [Line Items]
Concentration risk percentage		1.00%
Accounting Standards Update 2014-09 [Member]
Schedule Of Accounting Policies [Line Items]
Reduction to opening balance of retained earnings	$ (116)

Significant Accounting Polici_5

Significant Accounting Policies - Summary of Impact of New Revenue Standard on Opening Balance Sheet (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Oct. 01, 2018	Sep. 30, 2018
PROPERTY, PLAN AND EQUIPMENT
Machinery, equipment and furniture	$ 59,637	$ 59,302	$ 50,606
Accumulated depreciation and amortization	(64,108)	(63,457)	(55,846)
OTHER ASSETS
Deferred instrument costs, net			1,239
NON-CURRENT LIABILITIES
Deferred income taxes	(3,861)	(3,731)	(3,769)
SHAREHOLDERS' EQUITY
Retained earnings	$ (52,291)	(49,486)	$ (49,602)
New Revenue Standard Adjustment [Member] | Accounting Standards Update 2014-09 [Member]
PROPERTY, PLAN AND EQUIPMENT
Machinery, equipment and furniture		8,696
Accumulated depreciation and amortization		(7,611)
OTHER ASSETS
Deferred instrument costs, net		(1,239)
NON-CURRENT LIABILITIES
Deferred income taxes		(38)
SHAREHOLDERS' EQUITY
Retained earnings		$ 116

Significant Accounting Polici_6

Significant Accounting Policies - Summary of Disaggregation of Revenue by Reportable Segment and Geographic Region (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 51,480	$ 52,283
Revenue, % change	(2.00%)
Diagnostics [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 36,665	37,490
Revenue, % change	(2.00%)
Diagnostics [Member] | Americas [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 31,147	31,575
Revenue, % change	(1.00%)
Diagnostics [Member] | EMEA [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 5,085	5,415
Revenue, % change	(6.00%)
Diagnostics [Member] | ROW [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 433	500
Revenue, % change	(13.00%)
Life Science [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 14,815	14,793
Life Science [Member] | Americas [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 4,534	5,250
Revenue, % change	(14.00%)
Life Science [Member] | EMEA [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 7,455	5,185
Revenue, % change	44.00%
Life Science [Member] | ROW [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 2,826	$ 4,358
Revenue, % change	(35.00%)

Significant Accounting Polici_7

Significant Accounting Policies - Summary of Disaggregation of Revenue by Product Platform/Type (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Segment Reporting Information [Line Items]
Revenue	$ 51,480	$ 52,283
Revenue, % change	(2.00%)
Diagnostics [Member]
Segment Reporting Information [Line Items]
Revenue	$ 36,665	37,490
Revenue, % change	(2.00%)
Diagnostics [Member] | Molecular Assays [Member]
Segment Reporting Information [Line Items]
Revenue	$ 7,298	8,717
Revenue, % change	(16.00%)
Diagnostics [Member] | Immunoassays & Blood Chemistry Assays [Member]
Segment Reporting Information [Line Items]
Revenue	$ 29,367	28,773
Revenue, % change	2.00%
Life Science [Member]
Segment Reporting Information [Line Items]
Revenue	$ 14,815	14,793
Life Science [Member] | Molecular Reagents [Member]
Segment Reporting Information [Line Items]
Revenue	$ 6,589	5,688
Revenue, % change	16.00%
Life Science [Member] | Immunological Reagents [Member]
Segment Reporting Information [Line Items]
Revenue	$ 8,226	$ 9,105
Revenue, % change	(10.00%)

Significant Accounting Polici_8

Significant Accounting Policies - Summary of Disaggregation of Revenue by Disease State (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Segment Reporting Information [Line Items]
Revenue	$ 51,480	$ 52,283
Revenue, % change	(2.00%)
Diagnostics [Member]
Segment Reporting Information [Line Items]
Revenue	$ 36,665	37,490
Revenue, % change	(2.00%)
Diagnostics [Member] | Gastrointestinal Assays [Member]
Segment Reporting Information [Line Items]
Revenue	$ 18,633	20,270
Revenue, % change	(8.00%)
Diagnostics [Member] | Respiratory Illness Assays [Member]
Segment Reporting Information [Line Items]
Revenue	$ 7,977	7,486
Revenue, % change	7.00%
Diagnostics [Member] | Blood Chemistry Assays [Member]
Segment Reporting Information [Line Items]
Revenue	$ 4,466	4,266
Revenue, % change	5.00%
Diagnostics [Member] | Other [Member]
Segment Reporting Information [Line Items]
Revenue	$ 5,589	$ 5,468
Revenue, % change	2.00%

Cash and Equivalents - Componen

Cash and Equivalents - Components of Cash and Cash Equivalents (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018	Dec. 31, 2017
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents	$ 61,523	$ 59,763	$ 54,711
Other assets	1,000	1,000
Institutional Money Market Funds [Member]
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents	20,540	20,421
Other Restricted Cash [Member]
Cash and Cash Equivalents [Line Items]
Other assets	1,000	1,000
Cash [Member]
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents	$ 40,983	$ 39,342

Inventories - Components of Inv

Inventories - Components of Inventories (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Inventory [Line Items]
Raw materials	$ 7,123	$ 6,689
Work-in-process	12,037	12,098
Total	41,889	41,993
Instruments [Member]
Inventory [Line Items]
Finished goods	1,224	1,191
Kits and Reagents [Member]
Inventory [Line Items]
Finished goods	$ 21,505	$ 22,015

Intangible Assets - Summary of

Intangible Assets - Summary of Acquired Intangible Assets Subject to Amortization (Detail) - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	$ 55,986	$ 56,125
Accumulated Amortization	33,721	33,012
Manufacturing Technologies, Core Products and Cell Lines [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	22,268	22,297
Accumulated Amortization	14,243	13,974
Trade Names, Licenses and Patents [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	8,613	8,647
Accumulated Amortization	5,463	5,267
Customer Lists, Customer Relationships, and Supply Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	24,385	24,461
Accumulated Amortization	13,295	13,051
Non-Compete Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	720	720
Accumulated Amortization	$ 720	$ 720

Intangible Assets- Additional I

Intangible Assets- Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization of intangible assets	$ 829	$ 938
Estimated amortization expense for intangible assets remainder of fiscal year 2019	2,487
2,020	3,156
2,021	2,560
2,022	2,182
2,023	2,170
2,024	$ 2,166

Restructuring - Additional Info

Restructuring - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Dec. 31, 2017	Sep. 30, 2018
Restructuring Cost and Reserve [Line Items]
Restructuring costs	$ 734
Diagnostics and Life Science Restructuring [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring costs		$ 6,332

Restructuring - Schedule of Acc

Restructuring - Schedule of Accrued Liability Associated With Restructuring Costs (Detail) - Diagnostics and Life Science Restructuring [Member] - USD ($) $ in Thousands	Dec. 31, 2018	Sep. 30, 2018
Restructuring Cost and Reserve [Line Items]
Accrued liability associated with the restructuring costs	$ 381	$ 1,026
Severance, Other Termination Benefits and Related Costs [Member]
Restructuring Cost and Reserve [Line Items]
Accrued liability associated with the restructuring costs	368	987
Lease and Other Contract Termination Fees [Member]
Restructuring Cost and Reserve [Line Items]
Accrued liability associated with the restructuring costs	8	33
Other [Member]
Restructuring Cost and Reserve [Line Items]
Accrued liability associated with the restructuring costs	$ 5	$ 6

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Income Taxes Disclosure [Line Items]
Provisional repatriation transition tax	$ 876	$ 854
Tax rate used for re-measurement of temporary differences expected to be realized during fiscal 2018		24.50%
Tax rate used for re-measurement of remaining temporary differences	21.00%
Tax benefit from tax reform act		$ 1,695
Accrued Income Taxes Current [Member]
Income Taxes Disclosure [Line Items]
Provisional repatriation transition tax	$ 140
Accrued Income Taxes Noncurrent [Member]
Income Taxes Disclosure [Line Items]
Provisional repatriation transition tax	$ 736

Bank Credit Arrangements - Addi

Bank Credit Arrangements - Additional Information (Detail) - USD ($)	3 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Mar. 22, 2016
Debt Instrument [Line Items]
Notional balance	$ 60,000,000
Interest rate swap description	(i) notional reduction amounts and dates; (ii) LIBOR settlement rates; (iii) rate reset dates; and (iv) term/maturity.
Interest rate swap asset	$ 1,145,000	$ 1,722,000
Bank credit arrangement, fixed interest rate percentage	2.76%
Credit facility with a commercial bank	$ 30,000,000
Expiration date of credit facility	Mar. 31, 2021
Borrowings outstanding under credit facility	$ 0	$ 0
Cash compensating balance	1,000,000
Magellan [Member]
Debt Instrument [Line Items]
2,019	4,125,000
2,020	6,000,000
2,021	$ 39,000,000
Five - Year Term Loan [Member] | Magellan [Member]
Debt Instrument [Line Items]
Term loan			$ 60,000,000

Reportable Segment and Major _3

Reportable Segment and Major Customers Information - Additional Information (Detail) - Customer Concentration Risk [Member] - Customer	3 Months Ended		12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Sep. 30, 2018
Two Diagnostic Manufacturing Customers [Member] | Segment, Third-Party Sales Revenue [Member] | Life Science [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Number of major customers	2	2
Concentration risk percentage	28.00%	15.00%
Two Diagnostic Distributor Customers [Member] | Segment, Third-Party Sales Revenue [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Number of major customers	2	2
Two Diagnostic Distributor Customers [Member] | Segment, Third-Party Sales Revenue [Member] | Diagnostics [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Concentration risk percentage	34.00%	32.00%
Two Diagnostic Distributor Customers [Member] | Consolidated Accounts Receivable [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Number of major customers	2		2
Concentration risk percentage	14.00%		12.00%
Two Diagnostic Distributor Customers [Member] | Revenues [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Concentration risk percentage	24.00%	23.00%

Reportable Segment and Major _4

Reportable Segment and Major Customers Information - Segment Information (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Sep. 30, 2018
Segment Reporting Information [Line Items]
NET REVENUES	$ 51,480	$ 52,283
Operating income	10,551	8,061
Goodwill	54,403		$ 54,637
Other intangible assets, net	22,265		23,113
Total assets	249,857		251,377
Operating Segments [Member] | Diagnostics [Member]
Segment Reporting Information [Line Items]
NET REVENUES	36,665	37,490
Operating income	8,786	8,569
Goodwill	35,213		35,213
Other intangible assets, net	21,386		22,068
Total assets	178,863		180,978
Net revenues	163	121
Operating Segments [Member] | Life Science [Member]
Segment Reporting Information [Line Items]
NET REVENUES	14,815	14,793
Operating income	5,129	2,943
Goodwill	19,190		19,424
Other intangible assets, net	879		1,045
Total assets	71,283		70,341
Net revenues	176	192
Corporate [Member]
Segment Reporting Information [Line Items]
Operating income	(3,391)	(3,555)
Eliminations [Member]
Segment Reporting Information [Line Items]
Operating income	27	104
Total assets	(289)		$ 58
Net revenues	$ (339)	$ (313)

Reportable Segment and Major _5

Reportable Segment and Major Customers Information - Segment Information (Parenthetical) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Corporate [Member]
Segment Reporting Information [Line Items]
Restructuring and litigation costs	$ 589	$ 1,483

Litigation Matters - Additional

Litigation Matters - Additional Information (Detail) - USD ($)	3 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Loss Contingencies [Line Items]
Amount deductible from insurance coverage	$ 500,000
Litigation costs	$ 589,000	$ 749,000
Class Action Complaint One [Member]
Loss Contingencies [Line Items]
Litigation filing date	Nov. 15, 2017
Provision for litigation losses	$ 0	0
Amended Complaint [Member]
Loss Contingencies [Line Items]
Litigation filing date	Apr. 16, 2018
Class Action Complaint Two [Member]
Loss Contingencies [Line Items]
Litigation filing date	Dec. 6, 2017
Provision for litigation losses	$ 0	0
DOJ Subpoena [Member]
Loss Contingencies [Line Items]
Litigation filing date	Apr. 17, 2018
Litigation costs	$ 540,000	0
DiaSorin Inc. [Member]
Loss Contingencies [Line Items]
Litigation costs	$ 50,000	$ 730,000