Discontinued Operations and Equity-Method Investment (Tables)

6 Months Ended

Jul. 04, 2021

Business Combinations, Disposal Groups, Including Discontinued Operations, Equity Method Investments And Research And Development Arrangement [Abstract]

Summarized Financial Information of Discontinued Operations

Components of Income from discontinued operations––net of tax:
	Three Months Ended(a)				Six Months Ended(a)
(MILLIONS)	July 4, 2021		June 28, 2020		July 4, 2021		June 28, 2020
Revenues	$	—	$	1,937	$	27	$	3,883
Costs and expenses:
Cost of sales	—		458		14		900
Selling, informational and administrative expenses	6		371		(2)		703
Research and development expenses	—		54		1		105
Amortization of intangible assets	—		36		—		72
Restructuring charges and certain acquisition-related costs	—		2		—		17
Other (income)/deductions––net	—		1		1		71
Pre-tax income/(loss) from discontinued operations	(6)		1,015		13		2,015
Provision/(benefit) for taxes on income	(30)		122		(19)		241
Income from discontinued operations––net of tax	$	24	$	893	$	32	$	1,774

(a)In the second quarter of 2021, Income from discontinued operations—net of tax reflects post-closing adjustments directly related to our discontinued operations, including tax and benefits-related adjustments. In the first six months of 2021, Income from discontinued operations—net of tax also includes the operations of the Mylan-Japan collaboration, which terminated during Pfizer’s international first quarter of 2021, and a post-closing adjustment for a legal matter directly related to the discontinued Upjohn Business. In the three and six months ended June 28, 2020, Income from discontinued operations—net of tax relates to the Upjohn Business and the Mylan-Japan collaboration and includes the change in accounting principle in the first quarter of 2021 to MTM Accounting, which has been applied on a retrospective basis for all prior periods presented. See Note 1C.

Equity Method Investment

Summarized financial information for our equity method investee, the Consumer Healthcare JV, for the three and six months ending March 31, 2021, the most recent period available, and for the three and six months ending March 31, 2020, is as follows:
	Three Months Ended				Six Months Ended
(MILLIONS)	March 31, 2021		March 31, 2020		March 31, 2021		March 31, 2020
Net sales	$	3,180	$	3,503	$	6,275	$	6,691
Cost of sales	(1,169)		(1,394)		(2,356)		(3,205)
Gross profit	$	2,011	$	2,109	$	3,919	$	3,486
Income from continuing operations	483		425		716		471
Net income	483		425		716		471
Income attributable to shareholders	461		405		682		441