Derivatives and Hedging Activities (Tables)

9 Months Ended

Sep. 30, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Net Investment Hedges

The effect of net investment hedges on accumulated other comprehensive income and the condensed consolidated statements of operations for the three and nine months ended September 30, 2023 and 2022 was as follows (in thousands):

Amount of gain or (loss) recognized in accumulated other comprehensive income:
		Three Months Ended September 30,				Nine Months Ended September 30,
		2023		2022		2023		2022
Foreign currency debt		$	51,080	$	125,840	$	11,830	$	283,431
Cross-currency interest rate swaps (included component) (1)		100,788		228,210		79,700		571,532
Cross-currency interest rate swaps (excluded component) (2)		(11,957)		(23,959)		(14,775)		(92,913)
Foreign currency forward contracts (included component) (1)		9,822		33,257		8,701		48,900
Foreign currency forward contracts (excluded component) (3)		(125)		(2,998)		6		(5,289)
Total		$	149,608	$	360,350	$	85,462	$	805,661
Amount of gain or (loss) recognized in earnings:
	Location of gain or (loss)	Three Months Ended September 30,				Nine Months Ended September 30,
		2023		2022		2023		2022
Cross-currency interest rate swaps (excluded component) (2)	Interest expense	$	10,636	$	12,739	$	34,676	$	37,346
Foreign currency forward contracts (excluded component) (3)	Interest expense	492		(154)		1,136		(317)
Total		$	11,128	$	12,585	$	35,812	$	37,029

(1)Included component represents foreign exchange spot rates.

(2)Excluded component represents cross-currency basis spread and interest rates.

(3)Excluded component represents foreign currency forward points.

Schedule of Cash Flow Hedges

The effect of cash flow hedges on accumulated other comprehensive income and the condensed consolidated statements of operations for the three and nine months ended September 30, 2023 and 2022 was as follows (in thousands):

Amount of gain or (loss) recognized in accumulated other comprehensive income:
		Three Months Ended September 30,				Nine Months Ended September 30,
		2023		2022		2023		2022
Foreign currency forward and option contracts (included component) (1)		$	36,171	$	8,720	$	19,351	$	55,300
Cross-currency interest rate swaps		(865)		—		(2,280)		—
Interest rate locks		(288)		(350)		(4,681)		49,742
Total		$	35,018	$	8,370	$	12,390	$	105,042
Amount of gain or (loss) reclassified from accumulated other comprehensive income to income:
		Three Months Ended September 30,				Nine Months Ended September 30,
	Location of gain or (loss)	2023		2022		2023		2022
Foreign currency forward contracts	Revenues	$	(12,192)	$	53,874	$	(6,596)	$	89,275
Foreign currency forward contracts	Costs and operating expenses	8,676		(25,869)		12,863		(42,974)
Interest rate locks	Interest Expense	288		350		892		(376)
Total		$	(3,228)	$	28,355	$	7,159	$	45,925

(1)Included component represents foreign exchange spot rates.

Schedule of Derivatives not Designated as Hedging Instruments in the Company's Condensed Consolidated Statements of Operations

The following table presents the effect of derivatives not designated as hedging instruments in our condensed consolidated statements of operations (in thousands):

Amount of gain or (loss) recognized in earnings:
		Three Months Ended September 30,				Nine Months Ended September 30,
	Location of gain or (loss)	2023		2022		2023		2022
Embedded derivatives (1)	Revenues	$	—	$	—	$	—	$	(568)
Economic hedge of embedded derivatives (2)	Revenues	—		—		—		(983)
Foreign currency forward contracts	Other income (expense)	77,823		138,725		81,591		272,342
Cross-currency interest rate swaps	Other income (expense)	2,651		—		2,651		—
Total		$	80,474	$	138,725	$	84,242	$	270,791

(1)Embedded derivatives which are considered foreign currency forward contracts were designated as net investment hedges beginning March 31, 2022.

(2)As of September 30, 2023, we had no economic hedge of embedded derivatives outstanding.

Schedule of Derivative Instruments Recognized in the Company's Condensed Consolidated Balance Sheets

The following table presents the fair value of derivative instruments recognized in our condensed consolidated balance sheets, excluding accrued interest, as of September 30, 2023 and December 31, 2022 (in thousands):

	September 30, 2023				December 31, 2022
	Assets (1)		Liabilities (2)		Assets (1)		Liabilities (2)
Designated as hedging instruments:
Cash flow hedges
Foreign currency forward and option contracts	$	29,798	$	6,333	$	27,812	$	21,352
Cross-currency interest rate swaps	22,144		—		19,239		—
Net investment hedges
Foreign currency forward contracts	15,089		1,875		25,077		4,805
Cross-currency interest rate swaps	282,483		—		274,234		—
Total designated as hedging	349,514		8,208		346,362		26,157
Not designated as hedging instruments:
Foreign currency forward contracts	31,441		3,380		58,230		7,531
Cross-currency interest rate swaps	68,512		8,758		—		—
Total not designated as hedging	99,953		12,138		58,230		7,531
Total Derivatives	$	449,467	$	20,346	$	404,592	$	33,688

(1)As presented in our condensed consolidated balance sheets within other current assets and other assets.

(2)As presented in our condensed consolidated balance sheets within other current liabilities and other liabilities.

Schedule of Offsetting Derivative Assets and Liabilities

The following table presents information related to these offsetting arrangements, inclusive of accrued interest, as of September 30, 2023 and December 31, 2022 (in thousands):

	Gross Amounts Offset in Consolidated Balance Sheet
	Gross Amounts		Gross Amounts Offset in the Balance Sheet		Net Amounts		Gross Amounts not Offset in the Balance Sheet		Net
September 30, 2023
Derivative assets	$	475,060	$	—	$	475,060	$	(32,408)	$	442,652
Derivative liabilities	34,284		—		34,284		(32,408)		1,876
December 31, 2022
Derivative assets	$	424,516	$	—	$	424,516	$	(34,429)	$	390,087
Derivative liabilities	39,234		—		39,234		(34,429)		4,805

Schedule of Offsetting Derivative Assets and Liabilities

The following table presents information related to these offsetting arrangements, inclusive of accrued interest, as of September 30, 2023 and December 31, 2022 (in thousands):

	Gross Amounts Offset in Consolidated Balance Sheet
	Gross Amounts		Gross Amounts Offset in the Balance Sheet		Net Amounts		Gross Amounts not Offset in the Balance Sheet		Net
September 30, 2023
Derivative assets	$	475,060	$	—	$	475,060	$	(32,408)	$	442,652
Derivative liabilities	34,284		—		34,284		(32,408)		1,876
December 31, 2022
Derivative assets	$	424,516	$	—	$	424,516	$	(34,429)	$	390,087
Derivative liabilities	39,234		—		39,234		(34,429)		4,805