View Filing Data

Print Document View Excel Document

Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Aug. 31, 2016	Oct. 03, 2016
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Aug. 31, 2016
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	Q1
Trading Symbol	ANGO
Entity Registrant Name	ANGIODYNAMICS INC
Entity Central Index Key	0001275187
Current Fiscal Year End Date	--05-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		36,884,124

Consolidated Condensed Statements of Income (Loss) (unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Income Statement [Abstract]
Net sales	$ 88,098	$ 83,753
Cost of sales (exclusive of intangible amortization)	43,066	40,382
Gross profit	45,032	43,371
Operating expenses
Research and development	6,709	6,129
Sales and marketing	19,488	21,200
General and administrative	8,168	7,914
Amortization of intangibles	4,235	4,415
Change in fair value of contingent consideration	443	355
Acquisition, restructuring and other items, net	2,417	2,143
Medical device excise tax	0	1,003
Total operating expenses	41,460	43,159
Operating income (loss)	3,572	212
Other (expenses) income
Interest expense	(723)	(800)
Interest income	4	1
Other income (expense)	50	(118)
Total other expenses, net	(669)	(917)
Income (loss) before income tax expense (benefit)	2,903	(705)
Income tax expense	1,603	70
Net income (loss)	$ 1,300	$ (775)
Income (loss) per share
Basic (in usd per share)	$ 0.04	$ (0.02)
Diluted (in usd per share)	$ 0.04	$ (0.02)
Basic weighted average shares outstanding (in shares)	36,319	35,960
Diluted weighted average shares outstanding (in shares)	36,698	35,960

Consolidated Condensed Statements of Comprehensive Income (Loss) (unaudited) - USD ($) $ in Thousands	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Statement of Comprehensive Income [Abstract]
Net Income (loss)	$ 1,300	$ (775)
Other comprehensive income (loss), before tax:
Unrealized gain on interest rate swap	0	66
Unrealized gain (loss) on marketable securities	(6)	3
Foreign currency translation (loss)	(294)	(90)
Other comprehensive (loss), before tax	(300)	(21)
Income tax (expense) benefit related to items of other comprehensive income	2	(26)
Other comprehensive (loss), net of tax	(298)	(47)
Total comprehensive income (loss), net of tax	$ 1,002	$ (822)

Consolidated Condensed Balance Sheets (unaudited) - USD ($) $ in Thousands	Aug. 31, 2016	May 31, 2016
CURRENT ASSETS
Cash and cash equivalents	$ 37,411	$ 32,333
Marketable securities	1,647	1,653
Accounts receivable, net of allowances of $4,094 and $4,372 respectively	50,124	52,867
Inventories	58,274	55,370
Prepaid income taxes	568	788
Prepaid expenses and other	4,258	3,243
Total current assets	152,282	146,254
Property, plant and equipment, net	47,230	48,284
Other assets	3,605	3,827
Intangible assets, net	162,342	166,577
Goodwill	361,252	361,252
TOTAL ASSETS	726,711	726,194
CURRENT LIABILITIES
Accounts payable	15,648	15,616
Accrued liabilities	19,214	21,896
Income taxes payable	16	46
Current portion of long-term debt	17,500	16,250
Current portion of contingent consideration	13,053	12,919
Total current liabilities	65,431	66,727
Long-term debt, net of current portion	100,652	104,291
Deferred income taxes, long-term	23,246	21,684
Contingent consideration, net of current portion	23,565	25,356
Other long-term liabilities	1,100	908
Total liabilities	213,994	218,966
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
Preferred stock, par value $.01 per share, 5,000,000 shares authorized; no shares issued and outstanding	0	0
Common stock, par value $.01 per share, 75,000,000 shares authorized; 36,881,766 and 36,420,403 shares issued and 36,739,461 and 36,278,098 shares outstanding at August 31, 2016 and May 31, 2016, respectively	366	363
Additional paid-in capital	530,259	525,775
Accumulated deficit	(14,715)	(16,015)
Treasury stock, 142,305 shares, at cost	(2,104)	(2,104)
Accumulated other comprehensive loss	(1,089)	(791)
Total stockholders’ equity	512,717	507,228
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 726,711	$ 726,194

Consolidated Condensed Balance Sheets (unaudited) (Parenthetical) - USD ($) $ in Thousands	Aug. 31, 2016	May 31, 2016
Statement of Financial Position [Abstract]
Accounts receivable, allowances	$ 4,094	$ 4,372
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	75,000,000	75,000,000
Common stock, shares issued	36,881,766	36,420,403
Common stock, shares outstanding	36,739,461	36,278,098
Treasury stock, shares	142,305	142,305

Consolidated Condensed Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Cash flows from operating activities:
Net income (loss)	$ 1,300	$ (775)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	6,153	7,113
Stock based compensation	1,684	1,626
Change in fair value of contingent consideration	443	355
Deferred income taxes	1,565	(208)
Fixed and intangible asset impairments and disposals	45	220
Change in accounts receivable allowances	(197)	109
Other	18	(13)
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable	2,822	5,925
Inventories	(3,049)	(6,922)
Prepaid expenses and other assets	(869)	(2,605)
Accounts payable, accrued and other liabilities	(2,475)	(126)
Net cash provided by operating activities	7,440	4,699
Cash flows from investing activities:
Additions to property, plant and equipment	(481)	(743)
Net cash used in investing activities	(481)	(743)
Cash flows from financing activities:
Repayment of long-term debt	(2,500)	(1,250)
Payment of contingent consideration previously established in purchase accounting	(2,100)	(2,100)
Proceeds from exercise of stock options and employee stock purchase plan	2,803	1,279
Net cash (used in) financing activities	(1,797)	(2,071)
Effect of exchange rate changes on cash and cash equivalents	(84)	(8)
Increase in cash and cash equivalents	5,078	1,877
Cash and cash equivalents at beginning of period	32,333	18,391
Cash and cash equivalents at end of period	37,411	20,268
Supplemental disclosure of non-cash investing and financing activities:
Contractual obligations for acquisition of intangibles and business	0	0
Contractual obligations for acquisition of fixed assets	$ 52	$ 111

Consolidated Condensed Statement of Stockholders' Equity (unaudited) - 3 months ended Aug. 31, 2016 - USD ($) $ in Thousands	Total	Common Stock [Member]	Common Stock [Member] Performance Shares [Member]	Common Stock [Member] Restricted Stock Units (RSUs) [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Loss [Member]	Treasury Stock [Member]
Beginning Balance at May. 31, 2016	$ 507,228	$ 363			$ 525,775	$ (16,015)	$ (791)	$ (2,104)
Beginning Balance, Shares at May. 31, 2016		36,420,403
Beginning Balance,Treasury Shares at May. 31, 2016	(142,305)							(142,305)
Net income (loss)	$ 1,300					1,300
Exercise of stock options	2,531	$ 1			2,530
Exercise of stock options, Shares		221,528
Purchase of common stock under ESPP	729	$ 1			728
Purchase of common stock under ESPP, Shares		78,647
Issuance of performance share units and restricted stock units, net	(457)	$ 1			(458)
Issuance of performance share units and restricted stock units, net, Shares			23,405	137,783
Stock based compensation	1,684				1,684
Other comprehensive income, net of tax	(298)						(298)
Ending Balance at Aug. 31, 2016	$ 512,717	$ 366			$ 530,259	$ (14,715)	$ (1,089)	$ (2,104)
Ending Balance, Shares at Aug. 31, 2016		36,881,766
Ending Balance,Treasury Shares at Aug. 31, 2016	(142,305)							(142,305.000)

Consolidated Condensed Financial Statements	3 Months Ended
Consolidated Condensed Financial Statements	Aug. 31, 2016
Accounting Policies [Abstract]
Consolidated Condensed Financial Statements	CONSOLIDATED CONDENSED FINANCIAL STATEMENTS The consolidated condensed balance sheet as of August 31, 2016, the consolidated condensed statement of stockholders’ equity and consolidated condensed statement of cash flows for the three months ended August 31, 2016 and the consolidated condensed statements of income (loss) and consolidated condensed statements of comprehensive income (loss) for the three months ended August 31, 2016 and August 31, 2015 have been prepared by us and are unaudited. The consolidated condensed balance sheet as of May 31, 2016 was derived from audited consolidated financial statements but does not include all disclosures required by accounting principles generally accepted in the United States of America. In the opinion of management, all adjustments (consisting of normal recurring adjustments) necessary to state fairly the financial position, changes in stockholders’ equity and comprehensive income, results of operations and cash flows as of and for the period ended August 31, 2016 (and for all periods presented) have been made. The unaudited interim consolidated condensed financial statements for the three months ended August 31, 2016 and August 31, 2015 include the accounts of AngioDynamics, Inc. and its wholly owned subsidiaries, collectively, the “Company”. All intercompany balances and transactions have been eliminated. Recent Developments On July 22, 2016, Michael C. Greiner was appointed Executive Vice President and Chief Financial Officer ("CFO") of the Company, effective August 16, 2016. On July 27, 2016, Peter J. Kish was designated as the principal financial officer and principal accounting officer of the Company by the Board of Directors of the Company. Mr. Kish served in this role until Mr. Greiner began his service as CFO on August 16, 2016.

Inventories

3 Months Ended

Aug. 31, 2016

Inventory Disclosure [Abstract]

Inventories

INVENTORIES

Inventories are stated at lower of cost (using the first-in, first-out method) or market. As of August 31, 2016 and May 31, 2016, inventories consisted of the following:



	Aug 31, 2016		May 31, 2016
	(in thousands)
Raw materials	$	22,584	$	21,669
Work in process	11,528		10,700
Finished goods	24,162		23,001
Inventories	$	58,274	$	55,370

Other Assets	3 Months Ended
Other Assets	Aug. 31, 2016
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Other Assets	OTHER ASSETS On March 2, 2015, the Company filed an 8-K stating that it executed a non-binding letter of intent to enter into a strategic relationship with privately-held EmboMedics Inc., which develops injectable and resorbable embolic microspheres. On April 9, 2015, the Company entered into a License, Distribution, Manufacturing and Purchase Option Agreement with EmboMedics Inc, subject to certain approvals by EmboMedics shareholders. Under the terms of the agreement, AngioDynamics received an exclusive worldwide license to market and sell, upon regulatory clearances, EmboMedics’ microsphere technology. AngioDynamics has the ability to determine the manufacturing of the products. On December 7, 2015, AngioDynamics made an initial $2.0 million purchase of non-transferable warrants in a subsidiary of EmboMedics which become exercisable upon a change of control of EmboMedics. The Company does not have significant influence, or control of the subsidiary. This initial investment is recorded at cost and the Company will review for impairment at each balance sheet date. The warrants are not exercisable at the original issue date or the balance sheet date as they only become exercisable upon a change of control, termination of the agreement or delivery of an offer notice. Based on the achievement of certain development activities, the Company will make an additional $5.0 million purchase of non-transferable warrants and an additional $4.0 million in milestone payments based on regulatory approvals. In the future, AngioDynamics could execute an exclusive option to acquire this subsidiary of EmboMedics.

Goodwill and Intangible Assets

3 Months Ended

Aug. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

GOODWILL AND INTANGIBLE ASSETS

Intangible assets other than goodwill and indefinite lived intangible assets are amortized over their estimated useful lives, which range between one and eighteen years, on either a straight-line basis or proportionately to the benefit being realized. We periodically review the estimated useful lives of our intangible assets and review such assets for impairment, based on estimated future cash flows, whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. If an intangible asset is considered to be impaired, the amount of the impairment will equal the excess of the carrying value over the fair value of the asset.

We consider our business to be a single operating segment entity, and a single reporting unit engaged in the development, manufacture and sale on a global basis of medical devices for vascular access, peripheral vascular disease, oncology and surgery.

Goodwill and other intangible assets that have indefinite useful lives are not amortized, but rather, are tested for impairment annually or more frequently if impairment indicators arise. Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in each business combination. Goodwill and intangible assets have been recorded at either incurred or allocated costs based on respective fair market values at the date of acquisition.

For goodwill, the impairment test requires a comparison of the estimated fair value of the reporting unit to which the goodwill is assigned to the sum of the carrying value of the assets and liabilities of that unit. If the sum of the carrying value of the assets and liabilities of a reporting unit exceeds the fair value of the reporting unit, the carrying value of the reporting unit’s goodwill is reduced to its implied fair value through an adjustment to the goodwill balance, resulting in an impairment charge.

We completed our annual goodwill impairment test as of December 31, 2015. At December 31, 2015, our reporting unit is the same as our one reportable segment. Our assessment of goodwill impairment indicated that the fair value of our reporting unit exceeded its carrying value and therefore goodwill was not impaired.

Even though we determined that there was no goodwill impairment as of December 31, 2015, the future occurrence of a potential indicator of impairment, such as a significant adverse change in legal, regulatory, business or economic conditions or a more-likely-than-not expectation that the reporting unit or a significant portion of the reporting unit will be sold or disposed of, would require an interim assessment for the reporting unit prior to the next required annual assessment as of December 31, 2016. We continued to assess impairment through August 31, 2016 and noted no events that would be considered a triggering event.

There were no adjustments to goodwill for the three months ended August 31, 2016.

As of August 31, 2016 and May 31, 2016, intangible assets consisted of the following:



	August 31, 2016
	Gross carrying value		Accumulated amortization			Net carrying value		Weighted avg useful life
(in thousands)								(years)
Product technologies	$	148,378	$	(53,553	)	$	94,825	10.2
Customer relationships	88,389		(48,153		)	40,236		11.9
Trademarks	28,470		(6,976		)	21,494		10.7
In process R&D acquired	3,600		—			3,600		Indefinite
Licenses	5,037		(4,009		)	1,028		9.1
Distributor relationships	2,150		(991		)	1,159		5.2
	$	276,024	$	(113,682	)	$	162,342



	May 31, 2016
	Gross carrying value		Accumulated amortization			Net carrying value		Weighted avg useful life
(in thousands)								(years)
Product technologies	$	148,387	$	(51,313	)	$	97,074	10.2
Customer relationships	88,389		(47,133		)	41,256		11.9
Trademarks	28,470		(6,242		)	22,228		10.7
In process R&D acquired	3,600		—			3,600		Indefinite
Licenses	7,931		(6,716		)	1,215		7.6
Distributor relationships	2,150		(946		)	1,204		5.2
	$	278,927	$	(112,350	)	$	166,577

- Definition

The entire disclosure for the aggregate amount of goodwill and a description of intangible assets, which may include (a) for amortizable intangible assets (also referred to as finite-lived intangible assets), the carrying amount, the amount of any significant residual value, and the weighted-average amortization period, (b) for intangible assets not subject to amortization (also referred to as indefinite-lived intangible assets), the carrying amount, and (c) the amount of research and development assets acquired and written off in the period, including the line item in the income statement in which the amounts written off are aggregated, if not readily apparent from the income statement. Also discloses (a) for amortizable intangibles assets in total and by major class, the gross carrying amount and accumulated amortization, the total amortization expense for the period, and the estimated aggregate amortization expense for each of the five succeeding fiscal years, (b) for intangible assets not subject to amortization the carrying amount in total and by major class, and (c) for goodwill, in total and for each reportable segment, the changes in the carrying amount of goodwill during the period (including the aggregate amount of goodwill acquired, the aggregate amount of impairment losses recognized, and the amount of goodwill included in the gain (loss) on disposal of a reporting unit). If any part of goodwill has not been allocated to a reportable segment, discloses the unallocated amount and the reasons for not allocating. For each impairment loss recognized related to an intangible asset (excluding goodwill), discloses: (a) a description of the impaired intangible asset and the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method for determining fair value, (c) the caption in the income statement or the statement of activities in which the impairment loss is aggregated, and (d) the segment in which the impaired intangible asset is reported. For each goodwill impairment loss recognized, discloses: (a) a description of the facts and circumstances leading to the impairment, (b) the amount of the impairment loss and the method of determining the fair value of the associated reporting unit, and (c) if a recognized impairment loss is an estimate not finalized and the reasons why the estimate is not final. May also disclose the nature and amount of any significant adjustments made to a previous estimate of an impairment loss.

+ References + Details

Accrued Liabilities

3 Months Ended

Aug. 31, 2016

Payables and Accruals [Abstract]

Accrued Liabilities

ACCRUED LIABILITIES

As of August 31, 2016 and May 31, 2016, accrued liabilities consisted of the following:



	Aug 31, 2016		May 31, 2016
	(in thousands)
Payroll and related expenses (1)	$	6,618	$	9,414
Royalties	2,345		2,489
Accrued severance	1,388		1,524
Sales and franchise taxes (2)	2,106		565
Outside services (3)	1,172		2,063
Other	5,585		5,841
	$	19,214	$	21,896

(1) Includes accrued payroll, commissions and bonus. Decrease from year end due to bonus payment in the first quarter.

(2) Includes accrued federal and state withholdings on equity, accrued VAT and state tax liabilities. Increase from year end due to tax liabilities related to equity exercises.

(3) Includes accrued legal fees. Decrease from year end due to payments made in the first quarter.

Long Term Debt	3 Months Ended
Long Term Debt	Aug. 31, 2016
Debt Disclosure [Abstract]
Long Term Debt	LONG TERM DEBT On September 19, 2013, we entered into a Credit Agreement (the “Credit Agreement”) with the lenders party thereto, JPMorgan Chase Bank, N.A., as administrative agent, Bank of America, N.A. and Keybank National Association as co-syndication agents, and J.P. Morgan Securities LLC, Merrill Lynch, Pierce, Fenner & Smith Incorporated and Keybank National Association as joint bookrunners and joint lead arrangers. The Credit Agreement provides for a $100 million senior secured term loan facility (“Term Loan”) and a $100 million senior secured revolving credit facility, which includes up to a $20 million sublimit for letters of credit and a $5 million sublimit for swingline loans (the “Revolving Facility”, and together with the Term Loan, the “Facilities”). On September 19, 2013, we borrowed $100 million under the Term Facility and approximately $41.4 million under the Revolving Facility to repay the Former Credit Agreement. As of August 31, 2016, $82.5 million and $36.4 million were outstanding under the Term Facility and Revolving Facility, respectively. As of August 31, 2016 and May 31, 2016 the carrying value of long-term debt approximates its fair market value. The proceeds of the Revolving Facility may be used for general corporate purposes of AngioDynamics and its subsidiaries. The Facilities have a five years maturity. The Term Loan has a quarterly repayment schedule equal to 5%, 5%, 10%, 15% and 65% of its principal amount in years one through five. Interest on both the Term Loan and Revolving Facility are based on a base rate or Eurodollar rate plus an applicable margin which increases as our total leverage ratio increases, with the base rate and Eurodollar rate having ranges of 0.50% to 1.25% and 1.5% to 2.25% respectively. After default, the interest rate may be increased by 2.0%. The Revolving Facility carries a commitment fee of 0.2% to 0.35% per annum on the unused portion. Our obligations under the Facilities are unconditionally guaranteed, jointly and severally, by our material direct and indirect domestic subsidiaries (the “Guarantors”). All obligations of AngioDynamics and the Guarantors under the Facilities are secured by first priority security interests in substantially all of the assets of AngioDynamics and the Guarantors. The Credit Agreement includes customary representations, warranties and covenants, and acceleration, indemnity and events of default provisions, including, among other things, two financial covenants. The first financial covenant requires us to maintain, as of the end of each of our fiscal quarters, a ratio of consolidated adjusted EBITDA minus consolidated capital expenditures to consolidated interest expense paid or payable in cash plus scheduled principal payments in respect of indebtedness under the Credit Agreement of not less than 1.35 to 1.00. The second financial covenant requires us to maintain, as of the end of each of our fiscal quarters, a ratio of consolidated total indebtedness to consolidated adjusted EBITDA of not greater than 3.75 to 1.00. We were in compliance with both covenants as of August 31, 2016.

Income Taxes

3 Months Ended

Aug. 31, 2016

Income Tax Disclosure [Abstract]

Income Taxes

INCOME TAXES

The following table presents the components of income tax expense for the three months ended August 31, 2016 and August 31, 2015 (in thousands of dollars):



	Three Months Ended
	Aug 31, 2016		Aug 31, 2015
Income (loss) before Income Taxes	$	2,903	$	(705	)
Less discrete book income (expense):
Non-taxable portion of change in fair value of contingent consideration	—		170
Ordinary income (loss) before income taxes	2,903		(875		)

Income tax expense (benefit) based on ordinary income (loss) at estimated tax rates	$	1,603	$	(376	)
Discrete tax expense (benefit):
Adjustment for elimination of the ASC 718 APIC pool	—		471
Adjustments to prior period tax liabilities	—		(25		)
Total income tax expense	$	1,603	$	70

The estimated full year effective tax rate prior to discrete items was 55.2% in the first quarter of fiscal 2017, as compared to 43.0% for the same period in fiscal 2016. The change in the effective tax rate is primarily driven by the impact of the US valuation allowance and the deferred tax liability related to intangibles that have an indefinite reversal period and cannot be used to support the deferred tax assets.

A valuation allowance is established if it is more likely than not that all, or a portion of the deferred tax asset will not be realized. The Company has established that it is more likely than not that some, or all of their deferred tax assets will not be recognized in future years. Consequently, the Company continues to maintain a full U.S. valuation allowance on its net deferred tax assets. Management will continue to reevaluate the positive and negative evidence at each reporting period and if future results as projected in the U.S. and our tax planning strategies are favorable, the valuation allowance may be removed, which could have a favorable material impact on our results of operations in the period in which it is recorded.

Share-Based Compensation	3 Months Ended
Share-Based Compensation	Aug. 31, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share-Based Compensation	SHARE-BASED COMPENSATION We have two stock-based compensation plans that provide for the issuance of up to approximately 6.8 million shares of common stock. The 2004 Stock and Incentive Award Plan (the "2004 Plan") provides for the grant of incentive options to our employees and for the grant of non-statutory stock options, restricted stock, stock appreciation rights, performance units, performance shares and other incentive awards to our employees, directors and other service providers. We also have an employee stock purchase plan. For the three months ended August 31, 2016 and August 31, 2015, share-based payment expense was $1.7 million and $1.6 million, respectively. In the three months ended August 31, 2016 and August 31, 2015, the company granted stock options and restricted stock units under the 2004 Plan to certain employees and members of the Board of Directors. Stock option awards are valued using the Black-Scholes option-pricing model and then amortized on a straight-line basis over the requisite service period of the award. Restricted stock unit awards are valued based on the closing trading value of our shares on the date of grant and then amortized on a straight-line basis over the requisite service period of the award. In the first quarter of fiscal year 2017 and 2016, the company granted performance share awards under the 2004 Plan to certain employees. The awards may be earned by achieving relative performance levels over the three years requisite service period. The performance criteria are based on the total shareholder return ("TSR") of the company's common stock relative to the TSR of the common stock of a pre-defined industry peer-group. The fair value of these awards are based on the closing trading value of our shares on the date of grant and use a Monte Carlo simulation model. As of August 31, 2016, there were $18.3 million of unrecognized compensation expenses related to share-based payment arrangements. These costs are expected to be recognized over a weighted-average period of approximately four years. The Company has sufficient shares to satisfy expected share-based payment arrangements.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References + Details

Earnings Per Share

3 Months Ended

Aug. 31, 2016

Earnings Per Share [Abstract]

Earnings Per Share

EARNINGS PER SHARE

Basic earnings per share are based on the weighted average number of common shares outstanding without consideration of potential common stock. Diluted earnings per share include the dilutive effect of potential common stock consisting of stock options, restricted stock units and performance stock units, provided that the inclusion of such securities is not antidilutive. In periods with a net loss, stock options and restricted stock units are not included in the computation of diluted loss per share as the impact would be anti-dilutive.

The following table reconciles basic to diluted weighted-average shares outstanding for the three months ended August 31, 2016 and August 31, 2015 (in thousands):



	Three Months Ended
	Aug 31, 2016	Aug 31, 2015
Basic	36,319	35,960
Effect of dilutive securities	379	—
Diluted	36,698	35,960

Securities excluded as their inclusion would be anti-dilutive	1,503	3,241

Segment and Geographic Information

3 Months Ended

Aug. 31, 2016

Segment Reporting [Abstract]

Segment and Geographic Information

SEGMENT AND GEOGRAPHIC INFORMATION

We consider our business to be a single operating segment entity engaged in the development, manufacture and sale of medical devices for vascular access, peripheral vascular disease, oncology and surgery on a global basis. Our chief operating decision maker (CEO) evaluates the various global product portfolios on a net sales basis. Executives reporting to the CEO include those responsible for commercial operations, manufacturing operations, regulatory and quality and certain corporate functions. The CEO evaluates profitability, investment and cash flow metrics on a consolidated worldwide basis due to shared infrastructure and resources.

The table below summarizes net sales by product category (in thousands of dollars):



	Three Months Ended
	Aug 31, 2016		Aug 31, 2015
Net sales
Peripheral Vascular	$	51,409	$	47,106
Vascular Access	25,005		24,645
Oncology/Surgery	11,064		11,334
Supply Agreement	620		668
Total	$	88,098	$	83,753

The table below presents net sales by geographic area based on external customer location (in thousands of dollars):



	Three Months Ended
	Aug 31, 2016		Aug 31, 2015
Net sales
United States	$	71,753	$	68,369
International	15,725		14,716
Supply Agreement	620		668
Total	$	88,098	$	83,753

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9038-108599

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 33
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8971-108599

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8595-108599

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8380-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8933-108599

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 26
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8844-108599

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 35
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8984-108599

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9054-108599

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8538-108599

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 29
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8864-108599

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8924-108599

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599

+ Details

Fair Value

3 Months Ended

Aug. 31, 2016

Fair Value Disclosures [Abstract]

Fair Value

FAIR VALUE

Our financial instruments include cash and cash equivalents, accounts receivable, marketable securities, accounts payable and contingent consideration. The carrying amount of cash and cash equivalents, accounts receivable, and accounts payable approximates fair value due to the immediate or short-term maturities. Marketable securities have been recorded at their fair value based on a valuation received from an independent third party. The contingent consideration has been recorded at fair value using the income approach.

Fair value is the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. This policy establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The policy describes three levels of inputs that may be used to measure fair value which are provided in the table below.



Level 1	Quoted prices in active markets for identical assets or liabilities. Level 1 assets include money market funds that are traded in an active exchange market.



Level 2	Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. When quoted market prices are unobservable, we obtain pricing information from an independent pricing vendor. The pricing vendor uses various pricing models for each asset class that are consistent with what other market participants would use. The inputs and assumptions to the model of the pricing vendor are derived from market observable sources including: benchmark yields, reported trades, broker/dealer quotes, issuer spreads, benchmark securities, bids, offers, and other market-related data. The pricing vendor considers all available market observable inputs in determining the evaluation for a security. Thus, certain securities may not be priced using quoted prices, but rather determined from market observable information. Included in Level 2 assets is our interest rate swap agreement which is valued using a mid-market valuation model.



Level 3	Unobservable inputs that are supported by little or no market activity and are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. This category includes the auction rate securities where independent pricing information was not able to be obtained and the contingent consideration related to the acquisition of Vortex, Microsulis and Clinical Devices. Our investments in auction-rate securities were classified as Level 3 as quoted prices were unavailable since these auction rate securities issued by New York state and local government authorities failed auction. Due to limited market information, we utilized a discounted cash flow (“DCF”) model to derive an estimate of fair value for contingent considerations for all periods presented. The assumptions used in preparing the DCF model included estimates with respect to the discount rate, amount and timing of future interest and principal payments and forward projections. Assumptions associated with the auction rate securities include the interest rate benchmarks, the probability of full repayment of the principal considering the credit quality and guarantees in place, and the rate of return required by investors to own such securities given the current liquidity risk.

The following tables provide information by level for assets and liabilities that are measured at fair value on a recurring basis as of August 31, 2016 and May 31, 2016 (in thousands of dollars):



	Fair Value Measurements using inputs considered as:						Fair Value at August 31, 2016
	Level 1		Level 2		Level 3
Financial Assets
Marketable securities
U.S. government agency obligations	$	—	$	—	$	1,647	$	1,647
Total	—		—		1,647		1,647
Total Financial Assets	$	—	$	—	$	1,647	$	1,647
Financial Liabilities
Contingent liability for acquisition earn out	—		—		36,618		36,618
Total Financial Liabilities	$	—	$	—	$	36,618	$	36,618


	Fair Value Measurements using inputs considered as:						Fair Value at May 31, 2016
	Level 1		Level 2		Level 3
Financial Assets
Marketable securities
U.S. government agency obligations	$	—	$	—	$	1,653	$	1,653
Total	—		—		1,653		1,653
Total Financial Assets	$	—	$	—	$	1,653	$	1,653
Financial Liabilities
Contingent liability for acquisition earn out	—		—		38,275		38,275
Total Financial Liabilities	$	—	$	—	$	38,275	$	38,275

There were no transfers in and out of Level 1, 2 and 3 measurements for the three months ended August 31, 2016 and May 31, 2016.

The table below presents the changes in fair value components of Level 3 instruments in the three months ended August 31, 2016 (in thousands of dollars):



	Financial Assets			Financial Liabilities
	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)			Fair Value Measurements Using Significant Unobservable Inputs (Level 3)

Balance, May 31, 2016	$	1,653		$	38,275
Total gains or losses (realized/unrealized):
Change in present value of contingent consideration (1)	—			443
Included in other comprehensive income (loss)	(6		)	—
Contingent consideration payments	—			(2,100		)
Balance, August 31, 2016	$	1,647		$	36,618

(1) Change in present value of contingent consideration is included in earnings and comprised of changes in estimated earn out payments based on projections of company performance and the amortization of the present value discount.

Contingent Liabilities for Acquisition Earn Outs

Certain of our business combinations involve the potential for the payment of future contingent consideration upon the achievement of certain product development milestones or various other performance conditions. Payment of the additional consideration is generally contingent on the acquired company reaching certain performance milestones, including attaining specified revenue levels or product development targets. Contingent consideration is recorded at the estimated fair value of the contingent payments on the acquisition date. The fair value of the contingent consideration is remeasured at the estimated fair value at each reporting period with the change in fair value recognized as income or expense within change in fair value of contingent consideration in the consolidated statements of income. We measure the initial liability and remeasure the liability on a recurring basis using Level 3 inputs as defined under authoritative guidance for fair value measurements.

The fair value of our liability for contingent consideration is determined using a discounted cash flow model applied to projected net sales, using probabilities of achieving projected net sales and projected payment dates. Projected net sales are based on our internal projections and extensive analysis of the target market and the sales potential. Increases or decreases in any valuation inputs in isolation may result in a significantly lower or higher fair value measurement in the future. At August 31, 2016, the revenue based payments are being calculated based on our current sales forecast which is at the minimums for contingent payments.

The recurring Level 3 fair value measurements of the contingent consideration liabilities include the following significant unobservable inputs as of August 31, 2016 (in thousands of dollars):



	Fair value at		Valuation
	Aug 31, 2016		Technique	Unobservable Input	Range
Revenue based payments	$	33,555	Discounted cash flow	Discount rate	4%
				Probability of achieving sales	75-100%
				Projected fiscal year of payment	2017 - 2023
Milestone based payments	3,063		Discounted cash flow	Discount rate	16%
				Probability of achieving milestone	75-100%
				Projected fiscal year of payment	2017
Total	$	36,618

At August 31, 2016, the estimated potential amount of undiscounted future contingent consideration that we expect to pay as a result of all completed acquisitions is approximately $38.7 million. The milestones, including sales projections, associated with the contingent consideration must be reached in future periods ranging from fiscal years 2017 to 2023 in order for the associated consideration to be paid.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Marketable Securities

3 Months Ended

Aug. 31, 2016

Investments, Debt and Equity Securities [Abstract]

Marketable Securities

MARKETABLE SECURITIES

Marketable securities, which are principally government agency bonds, auction rate investments and corporate commercial paper, are classified as “available-for-sale securities” and are reported at fair value, with unrealized gains and losses excluded from operations and reported as accumulated other comprehensive income (loss), net of the related tax effects, in stockholders’ equity. Cost is determined using the specific identification method. We hold investments in auction rate securities in order to generate higher than typical money market rate investment returns. Auction rate securities typically are high credit quality, generally achieved with municipal bond insurance. Credit risks are eased by the historical track record of bond insurers, which back a majority of this market. Sell orders for any security traded through an auction process could exceed bids and, in such cases, the auction fails and we may be unable to liquidate our position in the securities in the near term. As of August 31, 2016 and May 31, 2016, we had $1.6 million and $1.7 million, respectively, in investments in two auction rate securities issued by New York state and local government authorities that failed auctions. The authorities are current in their interest payments on the securities. The auction rate securities mature in 2022 and 2029.

As of August 31, 2016 and May 31, 2016, marketable securities consisted of the following (in thousands of dollars):



As of August 31, 2016	Amortized cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Available-for-sale securities
U.S. government agency obligations	$	1,800	$	—	$	(153	)	$	1,647
	$	1,800	$	—	$	(153	)	$	1,647



As of May 31, 2016	Amortized cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Available-for-sale securities
U.S. government agency obligations	$	1,800	$	—	$	(147	)	$	1,653
	$	1,800	$	—	$	(147	)	$	1,653

- Definition

The entire disclosure for investments in certain debt and equity securities.

+ References + Details

Commitments and Contingencies	3 Months Ended
Commitments and Contingencies	Aug. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	COMMITMENTS AND CONTINGENCIES Legal Proceedings The Company is involved in various legal proceedings, including commercial, intellectual property, product liability, regulatory and environmental matters of a nature considered normal for its business. The Company accrues for amounts related to these matters if it is probable that a liability has been incurred, and an amount can be reasonably estimated. The Company discloses such matters when there is at least a reasonable possibility that a material loss may have been incurred. However, the Company cannot predict the outcome of any litigation or the potential for future litigation. AngioDynamics v. biolitec On January 2, 2008, we commenced an action in the United States District Court for the Northern District of New York entitled AngioDynamics, Inc. v. biolitec, Inc. In this action, we sought judgment against biolitec for defense and indemnification in two lawsuits which we previously settled. Our claims arise out of a Supply and Distribution Agreement (“SDA”) entered into with biolitec on April 1, 2002. On September 27, 2011, the U.S. District Court granted key portions of our motion for summary judgment in our legal case against biolitec. The Court also dismissed biolitec’s counterclaims against us. The court denied one portion of our summary judgment motion, which sought to recover additional costs from biolitec, leaving this for adjudication at trial. On November 8, 2012, the Court granted partial judgment to us in the amount of $23.2 million. Biolitec appealed this judgment. On August 23, 2013, the U.S. Court of Appeals for the Second Circuit dismissed biolitec’s appeal. In October 2009, we commenced an action in the United States District Court for the District of Massachusetts entitled AngioDynamics, Inc. v. biolitec AG and Wolfgang Neuberger. The Complaint in this action was amended in March 2010. This action seeks to recover against biolitec, Inc.’s parent entities and CEO for tortiously interfering with biolitec, Inc.’s contractual obligation to defend and indemnify us, and also seeks to pierce the corporate veil of biolitec, Inc. and to invalidate certain alleged fraudulent transfers in order to hold biolitec, Inc.’s parent entities jointly and severally liable for the alleged breach of the SDA. On September 13, 2012, the Massachusetts Court granted our request for a preliminary injunction prohibiting the downstream merger of biolitec AG with its Austrian subsidiary. On April 1, 2013, the U.S. Court of Appeals for the First Circuit affirmed the preliminary injunction. On January 14, 2014, the District Court entered judgment in our favor as to liability. On March 18, 2014, the District Court entered judgment in our favor against Biolitec AG, Biomed Technology Holdings, Ltd., and Wolfgang Neuberger, jointly and severally, in the amount of $74.9 million. On March 11, 2015, the U.S. Court of Appeals for the First Circuit affirmed the judgment. The defendants petitioned to the U.S. Supreme Court for a writ of certiorari. The Supreme Court denied the petition on November 30, 2015. The defendants have also filed an appeal with the U.S. Court of Appeals for the First Circuit regarding civil contempt sanctions imposed by the Massachusetts District Court as a result of defendants’ completion of the downstream merger in violation of the Court’s injunction. On May 6, 2016, the First Circuit issued an opinion rejecting this latest appeal. On February 18, 2016, the Massachusetts District Court issued an order compelling the Massachusetts defendants to provide post-judgment discovery intended to aid us in potentially collecting our judgment. On March 21, 2016, the Massachusetts defendants noticed an appeal from this order. On August 31, 2016, the First Circuit dismissed that appeal. On June 27, 2016, we filed a motion asking the Massachusetts District Court to impose sanctions on the Massachusetts defendants for their failure to comply with the post-judgment discovery order. On November 13, 2014, the U.S. District Court for the District of Massachusetts issued summonses to four Biolitec entities - Biolitec U.S., Inc., Biolitec Holding U.S., Inc., Biolitec Medical Devices, Inc., and CeramOptec Industries, Inc. - pursuant to Massachusetts trustee process. We sought to use this process to attach the assets of these entities in order to satisfy our judgment. The trustee process was automatically stayed when the four Biolitec entities filed Chapter 7 petitions in the U.S. Bankruptcy Court for the District of Delaware. However, on November 3, 2015, the Delaware Bankruptcy Court granted our request to modify the automatic stay to allow us to seek a default against the four Biolitec entities pursuant to trustee process. On January 21, 2016, the four Chapter 7 cases were transferred at our request to the U.S. Bankruptcy Court for the District of New Jersey. On August 29, 2013, we became co-plaintiffs in an adversary proceeding in the United States Bankruptcy Court for the District of New Jersey entitled Cyganowski, Trustee, et al. v. Biolitec U.S., Inc., et al. In this action, we assert claims of conversion, unjust enrichment, tortious interference, and unfair competition against various biolitec entities for alleged violation of Bankruptcy Court settlement and sale orders under which we acquired certain assets of Biolitec, Inc. On September 3, 2013, we, along with our co-plaintiff, obtained a temporary restraining order against the defendants in this action. On January 22, 2015, the Bankruptcy Court entered a permanent injunction on our behalf for an additional two years. C.R. Bard, Inc. v. AngioDynamics, Inc. On January 11, 2012, C.R. Bard, Inc. (“Bard”) filed a suit in the United States District Court of Utah claiming certain of our implantable port products infringe on three U.S. patents held by Bard (the "Utah Action"). Bard is seeking unspecified damages and other relief. The Court denied Bard’s motion for pre-trial consolidation with separate actions it filed on the same day against Medical Components, Inc. and Smiths Medical ASD, Inc., but had asked for supplemental briefing on the issue of whether to conduct a common Markman hearing. Meanwhile, we filed petitions for reexamination in the US Patent and Trademark Office ("PTO") which seek to invalidate all three patents asserted by Bard in the litigation. Our petitions were granted and 40 of Bard's 41 patent claims were rejected and, following further proceedings, the Patent Office issued a Final Rejection of all 40 claims subject to reexamination. Thereafter, Bard filed appeals to the PTO Board of Appeals and Interferences for all three reexams. The parties completed briefing on the appeals and oral argument was held on June 18, 2015. The Patent Office has issued decisions in the three appeals. In one (issued on March 11, 2016 for US Patent No. 7,785,302), the rejections of six of the ten claims under reexamination were affirmed, but were reversed on four of the ten claims. In the second (issued on March 24, 2016 for U.S. Patent No. 7,959,615), the rejections of eight of the ten claims under reexamination were affirmed but the rejections of the other two of the ten claims were reversed. In the third (issued on March 29 for U.S. Patent No. 7,947.022) the rejections of all twenty claims under reexamination were affirmed. Bard has since filed Requests for Rehearing in all three reexamination appeals and the Company filed Requests for Rehearing in two of the reexamination appeals (the ‘302 and ‘615 patent reexaminations). Each party has filed comments in Opposition to the other party’s Rehearing Requests, and we are awaiting the PTO determinations in all three reexaminations. The Utah Action has been stayed pending final resolution of the PTO process. We believe these claims are without merit and intend to defend them vigorously. We have not recorded an expense related to the outcome of this litigation because it is not yet possible to determine if a potential loss is probable nor reasonably estimable. On March 10, 2015, C.R. Bard, Inc. and Bard Peripheral Vascular, Inc. (“Bard”) filed suit in the United States District Court for the District of Delaware claiming certain of our implantable port products infringe on three U.S. patents held by Bard (the “Delaware Action). Bard is seeking unspecified damages and other relief. The patents asserted in the Delaware Action are different than those asserted in the Utah Action. On June 1, 2015, we filed two motions in response to Bard’s Complaint - one sought transfer to the District of Utah where the Utah Action is currently pending, and the other sought dismissal of the entire complaint on grounds that none of the claims in the asserted patents is directed to patent eligible subject matter under Section 101 of the Patent Statute and in light of recent authority from the U. S. Supreme Court. On January 12, 2016, the court issued a decision denying both motions. We have since served an Answer and Counterclaim to which Bard has served a Reply. On March 10, 2016, the Court held a case management conference, and, on March 14, 2016, the court entered a Scheduling Order which set, inter alia, a Markman hearing for March 10, 2017, a summary judgment hearing for December 8, 2017 and trial for March 12, 2018. The parties have since served various discovery requests on each other; on May 27, 2016 Bard served its Infringement Contentions which identified all the port products accused of infringement; and, on June 24, 2016, we served Invalidity Contentions which detail various grounds for invalidating the three asserted patents. We believe these claims are without merit and intend to defend them vigorously. We have not recorded an expense related to the outcome of this litigation because it is not yet possible to determine if a potential loss is probable nor reasonably estimable. Governmental Investigations LC Beads In June 2014 we received a subpoena from the U.S. Department of Justice (the “DOJ”) requesting documents in relation to a criminal and civil investigation the DOJ is conducting regarding BTG International, Inc.’s LC Bead® product beginning in 2003. RITA Medical Systems and AngioDynamics, Inc., after its acquisition of RITA, was the exclusive distributor of LC Beads in the United States from 2006 through December 31, 2011. We are cooperating fully with this investigation and at this time are unable to predict its scope, duration or outcome. We are unable at this time to reasonably estimate the amount or range of any loss, although it is possible that the amount of such loss could be material. In accordance with ASC 450, "Contingencies," or "ASC 450," no amount in respect of any potential liability in this matter, including for penalties, fines or other sanctions, has been accrued in the consolidated financial statements. EVLT In April 2015 we received a subpoena from the DOJ requesting documents in relation to a criminal and civil investigation the DOJ is conducting regarding purported promotion of certain of AngioDynamics’ VenaCure EVLT products for un-cleared indications. We are cooperating fully with this investigation and at this time are unable to predict its scope, duration or outcome. We are unable at this time to reasonably estimate the amount or range of any loss, although it is possible that the amount of such loss could be material. In accordance with ASC 450, "Contingencies," or "ASC 450," no amount in respect of any potential liability in this matter, including for penalties, fines or other sanctions, has been accrued in the consolidated financial statements.

Recently Issued Accounting Pronouncements	3 Months Ended
Recently Issued Accounting Pronouncements	Aug. 31, 2016
Accounting Changes and Error Corrections [Abstract]
Recently Issued Accounting Pronouncements	RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS In August 2016, the Financial Accounting Standards Board ("FASB") issued ASU No. 2016-15, "Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments ("ASU 2016-15"). ASU 2016-15 identifies how certain cash receipts and cash payments are presented and classified in the Statement of Cash Flows under Topic 230. ASU 2016-15 is effective for the Company for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. ASU 2016-15 should be applied retrospectively and early adoption is permitted, including adoption in an interim period. The Company is currently in the process of evaluating the impact of ASU 2016-15 on its consolidated financial statements. In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, "Revenue from Contracts with Customers" ("ASU 2014-09"). ASU 2014-09 provides a single, comprehensive accounting model for revenues arising from contracts with customers that supersedes most of the existing revenue recognition guidance, including industry-specific guidance. Under this model, revenue is recognized at an amount that an entity expects to be entitled to upon transferring control of goods or services to a customer, as opposed to when risks and rewards transfer to a customer under existing revenue recognition guidance. ASU 2014-09 is effective for the Company beginning in its fiscal year 2018, and may be applied retrospectively to all prior periods presented or through a cumulative adjustment to the opening retained earnings balance in the year of adoption. The Company is currently in the process of evaluating the impact of ASU 2014-09 on its consolidated financial statements. In June 2014, the FASB issued ASU 2014-12, Accounting for Share-Based Payments When the Terms of the Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period, that clarified that entities should treat performance targets that can be met after the requisite service period of a share-based payment award as performance conditions that affect vesting. Therefore, an entity would not record compensation expense related to an award for which transfer to the employee is contingent on the entity’s satisfaction of a performance target until it becomes probable that the performance target is met. This ASU is effective for the Company in its first quarter beginning after January 1, 2016 and did not have a material impact on the Company’s consolidated financial statements. In April 2015, the FASB issued ASC Update No. 2015-03, Interest-Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. Update No. 2015-03 requires debt issuance costs related to a recognized debt liability to be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. Update No. 2015-03 is effective for annual reporting periods beginning after December 15, 2015 and interim periods within those reporting periods. Early adoption is permitted for financial statements that have not been previously issued. This update was applied retrospectively as of August 31, 2016. The deferred financing fees included in other assets of $0.8 million and $0.9 million was classified as long-term debt for the periods August 31, 2016 and May 31, 2016, respectively, in the consolidated condensed balance sheet. This update did not impact the results of our operations. In July 2015, the FASB issued ASC Update No. 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory. Update No. 2015-11 more closely aligns the measurement of inventory in U.S. GAAP with the measurement of inventory in International Financial Reporting Standards by requiring companies using the first-in, first-out and average costs methods to measure inventory using the lower of cost and net realizable value, where net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. Update No. 2015-11 is effective for annual reporting periods beginning after December 15, 2016 and interim periods within those fiscal years. Update No. 2015-11 should be applied prospectively with earlier application permitted as of the beginning of an interim or annual reporting period. The adoption of Update No. 2015-11 is not expected to have a material impact on our financial position or results of operations. In November 2015, the FASB issued ASC Update No. 2015-17, “Balance Sheet Classification of Deferred Taxes” as part of its simplification initiatives. This update requires deferred tax liabilities and assets to be classified as non-current on the consolidated condensed balance sheet for fiscal years beginning after December 15, 2016, and interim periods within those annual periods. Early application is permitted. An entity can elect to adopt prospectively or retrospectively to all periods presented. This update was applied retrospectively as of November 30, 2015. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10). Update No. 2016-01 addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. Update No. 2016-01 is effective for annual reporting periods beginning after December 15, 2017 and interim periods within those fiscal years and early application is permitted. The Company is currently in the process of evaluating the impact. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). ASU 2016-02 increases transparency and comparability among organizations by recognizing lease assets and liabilities on the balance sheet and disclosing key information about leasing arrangements. For leases with a term or twelve months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and liabilities. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018 and early application is permitted. The Company is currently in the process of evaluating the impact of ASU 2016-02 on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Based Compensation (Topic 718: Improvements to Employee Share-Based Payment Accounting. ASU 2016-09 simplifies and improves various aspects of ASC 718 for share-based payments, including income tax items and the classification of these items on the statement of cash flows. ASU 2016-09 is effective for annual periods beginning after December 31, 2016 and early application is permitted. The Company is currently in the process of evaluating the impact of ASU 2016-09 on its consolidated financial statements.

- Definition

The entire disclosure of changes in accounting principles, including adoption of new accounting pronouncements, that describes the new methods, amount and effects on financial statement line items.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Change in Accounting Principle
-URI http://asc.fasb.org/extlink&oid=6507316

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Direct Effects of a Change in Accounting Principle
-URI http://asc.fasb.org/extlink&oid=66092750

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=64853466&loc=d3e22583-107794

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Indirect Effects of a Change in Accounting Principle
-URI http://asc.fasb.org/extlink&oid=6515603

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=64853466&loc=d3e22580-107794

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 270
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.10-01.(b)(6))
-URI http://asc.fasb.org/extlink&oid=27015980&loc=d3e46468-122699

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Accounting Change
-URI http://asc.fasb.org/extlink&oid=6503790

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 250
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=64853466&loc=d3e22499-107794

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Retrospective Application
-URI http://asc.fasb.org/extlink&oid=6523989

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 270
-SubTopic 10
-Section 45
-Paragraph 13
-URI http://asc.fasb.org/extlink&oid=68064558&loc=d3e765-108305

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 270
-SubTopic 10
-Section 45
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=68064558&loc=d3e725-108305

+ Details

Restructuring	3 Months Ended
Restructuring	Aug. 31, 2016
Restructuring and Related Activities [Abstract]
Restructuring	RESTRUCTURING For the three months ended August 31, 2016 and August 31, 2015 we had a restructuring of finance, research and development, and sales and marketing organizations to improve our profitability. As part of the restructuring, we recorded $0.3 million and $1.1 million of severance and restructuring expense during the three month periods, respectively, which is included in “Acquisition, restructuring and other items, net” in the statements of income.

Recently Issued Accounting Pronouncements (Policies)	3 Months Ended
Recently Issued Accounting Pronouncements (Policies)	Aug. 31, 2016
Accounting Changes and Error Corrections [Abstract]
Recently Issued Accounting Pronouncements	RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS In August 2016, the Financial Accounting Standards Board ("FASB") issued ASU No. 2016-15, "Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments ("ASU 2016-15"). ASU 2016-15 identifies how certain cash receipts and cash payments are presented and classified in the Statement of Cash Flows under Topic 230. ASU 2016-15 is effective for the Company for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. ASU 2016-15 should be applied retrospectively and early adoption is permitted, including adoption in an interim period. The Company is currently in the process of evaluating the impact of ASU 2016-15 on its consolidated financial statements. In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, "Revenue from Contracts with Customers" ("ASU 2014-09"). ASU 2014-09 provides a single, comprehensive accounting model for revenues arising from contracts with customers that supersedes most of the existing revenue recognition guidance, including industry-specific guidance. Under this model, revenue is recognized at an amount that an entity expects to be entitled to upon transferring control of goods or services to a customer, as opposed to when risks and rewards transfer to a customer under existing revenue recognition guidance. ASU 2014-09 is effective for the Company beginning in its fiscal year 2018, and may be applied retrospectively to all prior periods presented or through a cumulative adjustment to the opening retained earnings balance in the year of adoption. The Company is currently in the process of evaluating the impact of ASU 2014-09 on its consolidated financial statements. In June 2014, the FASB issued ASU 2014-12, Accounting for Share-Based Payments When the Terms of the Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period, that clarified that entities should treat performance targets that can be met after the requisite service period of a share-based payment award as performance conditions that affect vesting. Therefore, an entity would not record compensation expense related to an award for which transfer to the employee is contingent on the entity’s satisfaction of a performance target until it becomes probable that the performance target is met. This ASU is effective for the Company in its first quarter beginning after January 1, 2016 and did not have a material impact on the Company’s consolidated financial statements. In April 2015, the FASB issued ASC Update No. 2015-03, Interest-Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. Update No. 2015-03 requires debt issuance costs related to a recognized debt liability to be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. Update No. 2015-03 is effective for annual reporting periods beginning after December 15, 2015 and interim periods within those reporting periods. Early adoption is permitted for financial statements that have not been previously issued. This update was applied retrospectively as of August 31, 2016. The deferred financing fees included in other assets of $0.8 million and $0.9 million was classified as long-term debt for the periods August 31, 2016 and May 31, 2016, respectively, in the consolidated condensed balance sheet. This update did not impact the results of our operations. In July 2015, the FASB issued ASC Update No. 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory. Update No. 2015-11 more closely aligns the measurement of inventory in U.S. GAAP with the measurement of inventory in International Financial Reporting Standards by requiring companies using the first-in, first-out and average costs methods to measure inventory using the lower of cost and net realizable value, where net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. Update No. 2015-11 is effective for annual reporting periods beginning after December 15, 2016 and interim periods within those fiscal years. Update No. 2015-11 should be applied prospectively with earlier application permitted as of the beginning of an interim or annual reporting period. The adoption of Update No. 2015-11 is not expected to have a material impact on our financial position or results of operations. In November 2015, the FASB issued ASC Update No. 2015-17, “Balance Sheet Classification of Deferred Taxes” as part of its simplification initiatives. This update requires deferred tax liabilities and assets to be classified as non-current on the consolidated condensed balance sheet for fiscal years beginning after December 15, 2016, and interim periods within those annual periods. Early application is permitted. An entity can elect to adopt prospectively or retrospectively to all periods presented. This update was applied retrospectively as of November 30, 2015. In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10). Update No. 2016-01 addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. Update No. 2016-01 is effective for annual reporting periods beginning after December 15, 2017 and interim periods within those fiscal years and early application is permitted. The Company is currently in the process of evaluating the impact. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). ASU 2016-02 increases transparency and comparability among organizations by recognizing lease assets and liabilities on the balance sheet and disclosing key information about leasing arrangements. For leases with a term or twelve months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and liabilities. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018 and early application is permitted. The Company is currently in the process of evaluating the impact of ASU 2016-02 on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, Compensation - Stock Based Compensation (Topic 718: Improvements to Employee Share-Based Payment Accounting. ASU 2016-09 simplifies and improves various aspects of ASC 718 for share-based payments, including income tax items and the classification of these items on the statement of cash flows. ASU 2016-09 is effective for annual periods beginning after December 31, 2016 and early application is permitted. The Company is currently in the process of evaluating the impact of ASU 2016-09 on its consolidated financial statements.

Inventories (Tables)

3 Months Ended

Aug. 31, 2016

Inventory Disclosure [Abstract]

Schedule of Inventories

Inventories are stated at lower of cost (using the first-in, first-out method) or market. As of August 31, 2016 and May 31, 2016, inventories consisted of the following:



	Aug 31, 2016		May 31, 2016
	(in thousands)
Raw materials	$	22,584	$	21,669
Work in process	11,528		10,700
Finished goods	24,162		23,001
Inventories	$	58,274	$	55,370

Goodwill and Intangible Assets (Tables)

3 Months Ended

Aug. 31, 2016

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets

As of August 31, 2016 and May 31, 2016, intangible assets consisted of the following:



	August 31, 2016
	Gross carrying value		Accumulated amortization			Net carrying value		Weighted avg useful life
(in thousands)								(years)
Product technologies	$	148,378	$	(53,553	)	$	94,825	10.2
Customer relationships	88,389		(48,153		)	40,236		11.9
Trademarks	28,470		(6,976		)	21,494		10.7
In process R&D acquired	3,600		—			3,600		Indefinite
Licenses	5,037		(4,009		)	1,028		9.1
Distributor relationships	2,150		(991		)	1,159		5.2
	$	276,024	$	(113,682	)	$	162,342



	May 31, 2016
	Gross carrying value		Accumulated amortization			Net carrying value		Weighted avg useful life
(in thousands)								(years)
Product technologies	$	148,387	$	(51,313	)	$	97,074	10.2
Customer relationships	88,389		(47,133		)	41,256		11.9
Trademarks	28,470		(6,242		)	22,228		10.7
In process R&D acquired	3,600		—			3,600		Indefinite
Licenses	7,931		(6,716		)	1,215		7.6
Distributor relationships	2,150		(946		)	1,204		5.2
	$	278,927	$	(112,350	)	$	166,577

Accrued Liabilities (Tables)

3 Months Ended

Aug. 31, 2016

Payables and Accruals [Abstract]

Accrued Liabilities

As of August 31, 2016 and May 31, 2016, accrued liabilities consisted of the following:



	Aug 31, 2016		May 31, 2016
	(in thousands)
Payroll and related expenses (1)	$	6,618	$	9,414
Royalties	2,345		2,489
Accrued severance	1,388		1,524
Sales and franchise taxes (2)	2,106		565
Outside services (3)	1,172		2,063
Other	5,585		5,841
	$	19,214	$	21,896

(1) Includes accrued payroll, commissions and bonus. Decrease from year end due to bonus payment in the first quarter.

(2) Includes accrued federal and state withholdings on equity, accrued VAT and state tax liabilities. Increase from year end due to tax liabilities related to equity exercises.

(3) Includes accrued legal fees. Decrease from year end due to payments made in the first quarter.

Income Taxes (Tables)

3 Months Ended

Aug. 31, 2016

Income Tax Disclosure [Abstract]

Components of Income Tax Expense/(Benefit)

The following table presents the components of income tax expense for the three months ended August 31, 2016 and August 31, 2015 (in thousands of dollars):



	Three Months Ended
	Aug 31, 2016		Aug 31, 2015
Income (loss) before Income Taxes	$	2,903	$	(705	)
Less discrete book income (expense):
Non-taxable portion of change in fair value of contingent consideration	—		170
Ordinary income (loss) before income taxes	2,903		(875		)

Income tax expense (benefit) based on ordinary income (loss) at estimated tax rates	$	1,603	$	(376	)
Discrete tax expense (benefit):
Adjustment for elimination of the ASC 718 APIC pool	—		471
Adjustments to prior period tax liabilities	—		(25		)
Total income tax expense	$	1,603	$	70

Earnings Per Share (Tables)

3 Months Ended

Aug. 31, 2016

Earnings Per Share [Abstract]

Reconciliation of Basic to Diluted Weighted-Average Shares Outstanding

The following table reconciles basic to diluted weighted-average shares outstanding for the three months ended August 31, 2016 and August 31, 2015 (in thousands):



	Three Months Ended
	Aug 31, 2016	Aug 31, 2015
Basic	36,319	35,960
Effect of dilutive securities	379	—
Diluted	36,698	35,960

Securities excluded as their inclusion would be anti-dilutive	1,503	3,241

Segment and Geographic Information (Tables)

3 Months Ended

Aug. 31, 2016

Segment Reporting [Abstract]

Summary of Net Sales by Product Category

The table below summarizes net sales by product category (in thousands of dollars):



	Three Months Ended
	Aug 31, 2016		Aug 31, 2015
Net sales
Peripheral Vascular	$	51,409	$	47,106
Vascular Access	25,005		24,645
Oncology/Surgery	11,064		11,334
Supply Agreement	620		668
Total	$	88,098	$	83,753

Summary of Net Sales by Geographic Area

The table below presents net sales by geographic area based on external customer location (in thousands of dollars):



	Three Months Ended
	Aug 31, 2016		Aug 31, 2015
Net sales
United States	$	71,753	$	68,369
International	15,725		14,716
Supply Agreement	620		668
Total	$	88,098	$	83,753

Fair Value (Tables)

3 Months Ended

Aug. 31, 2016

Fair Value Disclosures [Abstract]

Fair Value of Assets and Liabilities Measured on a Recurring Basis

The following tables provide information by level for assets and liabilities that are measured at fair value on a recurring basis as of August 31, 2016 and May 31, 2016 (in thousands of dollars):



	Fair Value Measurements using inputs considered as:						Fair Value at August 31, 2016
	Level 1		Level 2		Level 3
Financial Assets
Marketable securities
U.S. government agency obligations	$	—	$	—	$	1,647	$	1,647
Total	—		—		1,647		1,647
Total Financial Assets	$	—	$	—	$	1,647	$	1,647
Financial Liabilities
Contingent liability for acquisition earn out	—		—		36,618		36,618
Total Financial Liabilities	$	—	$	—	$	36,618	$	36,618


	Fair Value Measurements using inputs considered as:						Fair Value at May 31, 2016
	Level 1		Level 2		Level 3
Financial Assets
Marketable securities
U.S. government agency obligations	$	—	$	—	$	1,653	$	1,653
Total	—		—		1,653		1,653
Total Financial Assets	$	—	$	—	$	1,653	$	1,653
Financial Liabilities
Contingent liability for acquisition earn out	—		—		38,275		38,275
Total Financial Liabilities	$	—	$	—	$	38,275	$	38,275

Fair Value Measurements Using Significant Unobservable Inputs

The table below presents the changes in fair value components of Level 3 instruments in the three months ended August 31, 2016 (in thousands of dollars):



	Financial Assets			Financial Liabilities
	Fair Value Measurements Using Significant Unobservable Inputs (Level 3)			Fair Value Measurements Using Significant Unobservable Inputs (Level 3)

Balance, May 31, 2016	$	1,653		$	38,275
Total gains or losses (realized/unrealized):
Change in present value of contingent consideration (1)	—			443
Included in other comprehensive income (loss)	(6		)	—
Contingent consideration payments	—			(2,100		)
Balance, August 31, 2016	$	1,647		$	36,618

Summary Showing the Recurring Fair Value Measurements of the Contingent Consideration Liability

The recurring Level 3 fair value measurements of the contingent consideration liabilities include the following significant unobservable inputs as of August 31, 2016 (in thousands of dollars):



	Fair value at		Valuation
	Aug 31, 2016		Technique	Unobservable Input	Range
Revenue based payments	$	33,555	Discounted cash flow	Discount rate	4%
				Probability of achieving sales	75-100%
				Projected fiscal year of payment	2017 - 2023
Milestone based payments	3,063		Discounted cash flow	Discount rate	16%
				Probability of achieving milestone	75-100%
				Projected fiscal year of payment	2017
Total	$	36,618

Marketable Securities (Tables)

3 Months Ended

Aug. 31, 2016

Investments, Debt and Equity Securities [Abstract]

Marketable Securities

As of August 31, 2016 and May 31, 2016, marketable securities consisted of the following (in thousands of dollars):



As of August 31, 2016	Amortized cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Available-for-sale securities
U.S. government agency obligations	$	1,800	$	—	$	(153	)	$	1,647
	$	1,800	$	—	$	(153	)	$	1,647



As of May 31, 2016	Amortized cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Available-for-sale securities
U.S. government agency obligations	$	1,800	$	—	$	(147	)	$	1,653
	$	1,800	$	—	$	(147	)	$	1,653

Inventories - Schedule of Inventories (Detail) - USD ($) $ in Thousands	Aug. 31, 2016	May 31, 2016
Inventory Disclosure [Abstract]
Raw materials	$ 22,584	$ 21,669
Work in process	11,528	10,700
Finished goods	24,162	23,001
Inventories	$ 58,274	$ 55,370

Other Assets (Details) $ in Millions	Dec. 07, 2015 USD ($)
Investments in and Advances to Affiliates [Line Items]
Payments to Acquire Equity Method Investments	$ 2.0
Equity Method Investment, Contingent Consideration	4.0
Warrant [Member]
Investments in and Advances to Affiliates [Line Items]
Equity Method Investment, Contingent Consideration	$ 5.0

Goodwill and Intangible Assets - Additional Information (Detail)	3 Months Ended
	Aug. 31, 2016
Maximum [Member]
Finite-Lived Intangible Assets [Line Items]
Estimated useful life of intangible assets other than goodwill	18 years
Minimum [Member]
Finite-Lived Intangible Assets [Line Items]
Estimated useful life of intangible assets other than goodwill	1 year

Goodwill and Intangible Assets - Intangible Assets (Detail) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Aug. 31, 2016	May 31, 2015	May 31, 2016
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, excluding goodwill	$ 276,024		$ 278,927
Accumulated amortization	(113,682)		(112,350)
Net carrying value, excluding goodwill	162,342		166,577
Research and Development [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, indefinite lived intangible items	3,600		3,600
Net carrying value, indefinite lived intangible items	3,600		3,600
Product Technologies [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, finite intangible items	148,378		148,387
Accumulated amortization	(53,553)		(51,313)
Net carrying value, finite intangible items	$ 94,825		97,074
Weighted avg useful life	10 years 2 months 12 days	10 years 2 months 12 days
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, finite intangible items	$ 88,389		88,389
Accumulated amortization	(48,153)		(47,133)
Net carrying value, finite intangible items	$ 40,236		41,256
Weighted avg useful life	11 years 10 months 12 days	11 years 10 months 12 days
Trademarks [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, finite intangible items	$ 28,470		28,470
Accumulated amortization	(6,976)		(6,242)
Net carrying value, finite intangible items	$ 21,494		22,228
Weighted avg useful life	10 years 8 months 12 days	10 years 8 months 12 days
Licenses [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, finite intangible items	$ 5,037		7,931
Accumulated amortization	(4,009)		(6,716)
Net carrying value, finite intangible items	$ 1,028		1,215
Weighted avg useful life	9 years 1 month 12 days	7 years 7 months 12 days
Distributor Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Gross carrying value, finite intangible items	$ 2,150		2,150
Accumulated amortization	(991)		(946)
Net carrying value, finite intangible items	$ 1,159		$ 1,204
Weighted avg useful life	5 years 2 months 12 days	5 years 2 months 12 days

Accrued Liabilities - Summary of Accrued Liabilities (Detail) - USD ($) $ in Thousands	Aug. 31, 2016	May 31, 2016
Other Liabilities Disclosure [Abstract]
Payroll and related expenses	$ 6,618	$ 9,414
Royalties	2,345	2,489
Accrued severance	1,388	1,524
Sales and franchise taxes	2,106	565
Outside services	1,172	2,063
Other	5,585	5,841
Total	$ 19,214	$ 21,896

Long Term Debt - Additional Information (Detail) $ in Thousands	Sep. 19, 2013 USD ($)	Aug. 31, 2016 USD ($)	May 31, 2016 USD ($)
Debt Instrument [Line Items]
Long-term debt, net of current portion		$ 100,652	$ 104,291
Ratio for debt service coverage	1.35
Ratio of indebtedness to consolidated EBITDA	3.75
New Credit Agreement [Member]
Debt Instrument [Line Items]
Percentage of increase in interest	2.00%
New Credit Agreement [Member] \| Base Rate [Member] \| Minimum [Member] \| JP Morgan Chase [Member]
Debt Instrument [Line Items]
Stated interest rate	0.50%
New Credit Agreement [Member] \| Base Rate [Member] \| Maximum [Member] \| JP Morgan Chase [Member]
Debt Instrument [Line Items]
Stated interest rate	1.25%
New Credit Agreement [Member] \| Eurodollar [Member] \| Minimum [Member] \| JP Morgan Chase [Member]
Debt Instrument [Line Items]
Stated interest rate	1.50%
New Credit Agreement [Member] \| Eurodollar [Member] \| Maximum [Member] \| JP Morgan Chase [Member]
Debt Instrument [Line Items]
Stated interest rate	2.25%
Term Loan [Member]
Debt Instrument [Line Items]
Long-term debt, net of current portion		82,500
Term Loan Facility [Member] \| New Credit Agreement [Member]
Debt Instrument [Line Items]
Senior secured term loan facility	$ 100,000
Term loan quarterly repayment, year one	5.00%
Term loan quarterly repayment, year two	5.00%
Term loan quarterly repayment, year three	10.00%
Term loan quarterly repayment, year four	15.00%
Term loan quarterly repayment, year five	65.00%
Senior Secured Revolving Credit Facility [Member] \| New Credit Agreement [Member]
Debt Instrument [Line Items]
Senior secured term loan facility	$ 100,000
Debt maturity	5 years
Senior Secured Revolving Credit Facility [Member] \| New Credit Agreement [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Commitment fee percentage	0.20%
Senior Secured Revolving Credit Facility [Member] \| New Credit Agreement [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Commitment fee percentage	0.35%
Letters of Credit [Member] \| New Credit Agreement [Member]
Debt Instrument [Line Items]
Senior secured term loan facility	$ 20,000
Swingline Loans [Member] \| New Credit Agreement [Member]
Debt Instrument [Line Items]
Senior secured term loan facility	5,000
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Long-term debt, net of current portion		$ 36,400
Revolving Credit Facility [Member] \| New Credit Agreement [Member]
Debt Instrument [Line Items]
Initial amount borrowed under revolving facility	$ 41,400

Income Taxes - Components of Income Tax Expense/(Benefit) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Income Tax Disclosure [Abstract]
Income (loss) before income tax expense (benefit)	$ 2,903	$ (705)
Non-taxable portion of change in fair value of contingent consideration	0	170
Ordinary income (loss) before income taxes	2,903	(875)
Effective Income Tax Rate Reconciliation, Other Reconciling Items, Amount [Abstract]
Income tax expense / (benefit) based on ordinary income / (loss) at estimated tax rates	1,603	(376)
Discrete tax expense (benefit):
Adjustment for elimination of the ASC 718 APIC pool	0	471
Adjustments to prior period tax liabilities	0	(25)
Total income tax expense (benefit)	$ 1,603	$ 70

Income Taxes - Additional Information (Detail)	3 Months Ended
Income Taxes - Additional Information (Detail)	Aug. 31, 2016	Aug. 31, 2015
Income Tax Disclosure [Abstract]
Estimated federal statutory income tax rate	55.20%	43.00%

Share-Based Compensation (Details) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Amount of shares issuable through two stock-based compensation plans	6.8
Charges against income for share-based payment arrangements	$ 1.7	$ 1.6
Unrecognized compensation expenses related to share-based payment arrangements	$ 18.3
Recognition period	4 years
Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Requisite service period	3 years	3 years

Earnings Per Share - Reconciliation of Basic to Diluted Weighted-Average Shares Outstanding (Detail) - shares shares in Thousands	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Earnings Per Share [Abstract]
Basic (shares)	36,319	35,960
Effect of dilutive securities (shares)	379	0
Diluted (shares)	36,698	35,960
Securities excluded as their inclusion would be anti-dilutive (shares)	1,503	3,241

Segment and Geographic Information - Additional Information (Detail)	3 Months Ended
	Aug. 31, 2016 Segment
Segment Reporting [Abstract]
Number of segments (segment)	1

Segment and Geographic Information - Summary of Net Sales by Product Category (Detail) - USD ($) $ in Thousands	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Segment Reporting Information [Line Items]
Net sales	$ 88,098	$ 83,753
Peripheral Vascular [Member]
Segment Reporting Information [Line Items]
Net sales	51,409	47,106
Vascular Access [Member]
Segment Reporting Information [Line Items]
Net sales	25,005	24,645
Oncology/Surgery [Member]
Segment Reporting Information [Line Items]
Net sales	11,064	11,334
Supply Agreement [Member]
Segment Reporting Information [Line Items]
Net sales	$ 620	$ 668

Segment and Geographic Information - Summary of Net Sales by Geographic Area (Detail) - USD ($) $ in Thousands	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Net Sales
Net sales	$ 88,098	$ 83,753
Supply Agreement [Member]
Net Sales
Net sales	620	668
Reportable Geographical Components [Member] \| United States [Member]
Net Sales
Net sales	71,753	68,369
Reportable Geographical Components [Member] \| International [Member]
Net Sales
Net sales	15,725	14,716
Reportable Geographical Components [Member] \| Supply Agreement [Member]
Net Sales
Net sales	$ 620	$ 668

Fair Value - Additional Information (Detail) $ in Millions	Aug. 31, 2016 USD ($)
Fair Value Disclosures [Abstract]
Potential amount of undiscounted future contingent consideration	$ 38.7

Fair Value - Fair Value of Assets and Liabilities Measured on a Recurring Basis (Detail) - USD ($) $ in Thousands	Aug. 31, 2016	May 31, 2016
Recurring [Member]
Financial Assets
Marketable securities	$ 1,647	$ 1,653
Total Financial Assets	1,647	1,653
Financial Liabilities
Total Financial Liabilities	36,618	38,275
Recurring [Member] \| U.S. Government Agency Obligations [Member]
Financial Assets
Marketable securities	1,647	1,653
Contingent Consideration Earn Out Liability [Member]
Financial Liabilities
Total Financial Liabilities	36,618
Contingent Consideration Earn Out Liability [Member] \| Recurring [Member]
Financial Liabilities
Total Financial Liabilities		38,275
Level 1 [Member] \| Recurring [Member]
Financial Assets
Marketable securities	0	0
Total Financial Assets	0	0
Financial Liabilities
Total Financial Liabilities	0	0
Level 1 [Member] \| Recurring [Member] \| U.S. Government Agency Obligations [Member]
Financial Assets
Marketable securities	0	0
Level 1 [Member] \| Contingent Consideration Earn Out Liability [Member] \| Recurring [Member]
Financial Liabilities
Total Financial Liabilities	0
Level 2 [Member] \| Recurring [Member]
Financial Assets
Marketable securities	0	0
Total Financial Assets	0	0
Financial Liabilities
Total Financial Liabilities	0	0
Level 2 [Member] \| Recurring [Member] \| U.S. Government Agency Obligations [Member]
Financial Assets
Marketable securities	0	0
Level 2 [Member] \| Contingent Consideration Earn Out Liability [Member] \| Recurring [Member]
Financial Liabilities
Total Financial Liabilities	0
Level 3 [Member] \| Recurring [Member]
Financial Assets
Marketable securities	1,647	1,653
Total Financial Assets	1,647	1,653
Financial Liabilities
Total Financial Liabilities	36,618	38,275
Level 3 [Member] \| Recurring [Member] \| U.S. Government Agency Obligations [Member]
Financial Assets
Marketable securities	1,647	1,653
Level 3 [Member] \| Contingent Consideration Earn Out Liability [Member] \| Recurring [Member]
Financial Liabilities
Total Financial Liabilities	$ 36,618	$ 38,275

Fair Value - Fair Value Measurements Using Significant Unobservable Inputs (Detail) $ in Thousands	3 Months Ended
	Aug. 31, 2016 USD ($)
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Financial assets, begining balance	$ 1,653
Included in other comprehensive income, assets	(6)
Contingent consideration - Clinical Devices, assets	0
Financial assets, ending balance	1,647
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Financial liabilities, begining balance	38,275
Change in Fair Value of Contingent Consideration	443
Included in other comprehensive income, liabilities	0
Financial liabilities, ending balance	36,618
Clinical Devices B.V [Member]
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Contingent consideration - Clinical Devices, liabilities	$ (2,100)

Fair Value - Summary Showing the Recurring Fair Value Measurements of the Contingent Consideration Liability (Detail) - USD ($) $ in Thousands	3 Months Ended
	Aug. 31, 2016	May 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value	$ 36,618	$ 38,275
Contingent Consideration Earn Out Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total fair value financial liabilities	36,618
Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total fair value financial liabilities	36,618	38,275
Recurring [Member] \| Contingent Consideration Earn Out Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total fair value financial liabilities		38,275
Level 3 [Member] \| Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total fair value financial liabilities	36,618	38,275
Level 3 [Member] \| Recurring [Member] \| Contingent Consideration Earn Out Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total fair value financial liabilities	36,618	$ 38,275
Level 3 [Member] \| Revenue Based Payments [Member] \| Recurring [Member] \| Contingent Consideration Earn Out Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value	$ 33,555
Discount rate	4.00%
Level 3 [Member] \| Revenue Based Payments [Member] \| Minimum [Member] \| Recurring [Member] \| Contingent Consideration Earn Out Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Probability of payment	75.00%
Level 3 [Member] \| Revenue Based Payments [Member] \| Maximum [Member] \| Recurring [Member] \| Contingent Consideration Earn Out Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Probability of payment	100.00%
Level 3 [Member] \| Milestone Based Payments [Member] \| Recurring [Member] \| Contingent Consideration Earn Out Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value	$ 3,063
Discount rate	16.00%
Level 3 [Member] \| Milestone Based Payments [Member] \| Minimum [Member] \| Recurring [Member] \| Contingent Consideration Earn Out Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Probability of payment	75.00%
Level 3 [Member] \| Milestone Based Payments [Member] \| Maximum [Member] \| Recurring [Member] \| Contingent Consideration Earn Out Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Probability of payment	100.00%

Marketable Securities - Additional Information (Detail) $ in Millions	Aug. 31, 2016 USD ($) Investment	May 31, 2016 USD ($)
Marketable Securities [Abstract]
Investments in auction rate securities that failed auctions \| $	$ 1.6	$ 1.7
Number of investments (investment) \| Investment	2

Marketable Securities - Marketable Securities (Detail) - USD ($) $ in Thousands	Aug. 31, 2016	May 31, 2016
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	$ 1,800	$ 1,800
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(153)	(147)
Fair Value	1,647	1,653
U.S. Government Agency Obligations [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	1,800	1,800
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(153)	(147)
Fair Value	$ 1,647	$ 1,653

Commitments and Continfencies - Additional Information (Detail) $ in Millions										3 Months Ended
	Mar. 29, 2016 claim	Mar. 24, 2016 claim	Mar. 11, 2016 claim	Jun. 01, 2015 motion	Mar. 10, 2015 patent	Mar. 18, 2014 USD ($)	Nov. 08, 2012 USD ($)	Jan. 11, 2012 reexamination_appeal claim	Jan. 02, 2008 Lawsuit	Aug. 31, 2016 Petition reexamination_appeal
Loss Contingencies [Line Items]
Litigation settlement amount \| $						$ 74.9
Biolitec [Member]
Loss Contingencies [Line Items]
Number of lawsuits against biolitec previously settled for which seeking defense and indemnification \| Lawsuit									2
Partial judgment granted \| $							$ 23.2
C.R. Bard, Inc. [Member]
Loss Contingencies [Line Items]
Number of petitions filed for reexamination of patents \| Petition										3
The Utah Action [Member]
Loss Contingencies [Line Items]
Patent claims								41,000
Number of claims dismissed	20	8	6					40
Number of reexaminations \| reexamination_appeal								3
Number of pending claims		10	10
Number of claims reversed		2	4
The Utah Action [Member] \| Pending Litigation [Member]
Loss Contingencies [Line Items]
Number of reexaminations \| reexamination_appeal										2
The Delaware Action [Member]
Loss Contingencies [Line Items]
Number of patents allegedly infringed upon				2	3
C.R. Bard, Inc. [Member] \| The Utah Action [Member] \| Pending Litigation [Member]
Loss Contingencies [Line Items]
Number of reexaminations \| reexamination_appeal										3

Recently Issued Accounting Pronouncements (Details) - Accounting Standards Update 2015-03 [Member] - USD ($) $ in Millions	Aug. 31, 2016	May 31, 2016
Other Assets [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Deferred financing fees	$ (0.8)	$ (0.9)
Long-term Debt [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Deferred financing fees	$ 0.8	$ 0.9

Restructuring - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Selling and Marketing Expense [Member]
Restructuring Cost and Reserve [Line Items]
Severance expense	$ 0.3	$ 1.1