On November 22, 2019 Varian (NYSE: VAR) reported updates to its previously reported GAAP preliminary financial results for its fourth quarter and full fiscal year 2019 (Press release, Varian Medical Systems, NOV 22, 2019, View Source [SID1234551614]). There is no impact to Non-GAAP financial measures.

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Earlier this week the Company learned new facts and determined that the projected financial performance of its recently acquired Endocare and Alicon businesses was better than previously expected and the mix of revenues is different than previously expected, resulting in an increase in the fair value of the contingent consideration payable under earnout obligations to the sellers of the businesses. This increase in fair value has resulted in an $18.6 million increase in acquisition-related expenses in the fourth quarter of fiscal year 2019 and an $18.6 million increase in accrued liabilities as of the end of the fourth quarter of fiscal year 2019, with corresponding impacts on the company’s previously reported GAAP financial results for the fourth quarter and full fiscal year 2019. The fair value increase has no impact on the company’s previously reported Non-GAAP financial results for the periods.

Updated summary financial statements reflecting the increase in acquisition-related expenses and the increase in accrued liabilities are included below. The updated condensed consolidated financial statements also reflect other balance sheet closing item adjustments, primarily related to the company’s recent acquisition activity.