Stock-Based Compensation

6 Months Ended

Jun. 30, 2026

Share-Based Payment Arrangement [Abstract]

Stock-Based Compensation

Stock-Based Compensation:

Stock-based compensation cost for stock awards and stock options is measured at grant date, based on the fair value of the award, and is recognized over the employee requisite service period. The following table presents total stock-based compensation cost included in income from continuing operations.

	Three Months Ended June 30,				Six Months Ended June 30,
($ in millions)	2026		2025		2026		2025
Cost	$	73	$	67	$	149	$	132
SG&A expense	228		244		497		461
R&D expense	198		130		358		249
Pre-tax stock-based compensation cost	498		441		1,004		842
Income tax benefits	(146)		(156)		(353)		(350)
Net stock-based compensation cost	$	352	$	285	$	651	$	492

Pre-tax stock-based compensation cost for the three months ended June 30, 2026 increased $58 million compared to the corresponding period in the prior year primarily due to an increase in restricted stock units ($79 million) due to the issuance and assumption of stock-based compensation awards in connection with recent acquisitions, offset by a decrease in performance share units ($23 million) due to adjustments related to attainment of targets.

Pre-tax stock-based compensation cost for the six months ended June 30, 2026 increased $163 million compared to the corresponding period in the prior year primarily due to increases in restricted stock units ($131 million) and performance share units ($24 million). The increases are driven by the company's annual cycle for employees, adjustments related to targets for performance share units and the issuance and assumption of stock-based compensation awards in connection with recent acquisitions.

Total unrecognized compensation cost related to non-vested awards at June 30, 2026 was $2.4 billion and is expected to be recognized over a weighted-average period of approximately 2.2 years.