XML 58 R43.htm IDEA: XBRL DOCUMENT v3.25.2
Other (Income)/Deductions—Net - Footnotes (Detail) - USD ($)
$ in Millions
3 Months Ended 6 Months Ended
Jun. 29, 2025
Jun. 30, 2024
Jun. 29, 2025
Jun. 30, 2024
Loss Contingencies [Line Items]        
Net (gains) losses recognized during the period on equity securities [1] $ (75) $ 342 $ 295 [2] $ 317 [2]
Net unrealized losses [3] (65) 344 1,230 533
Intangible asset impairment charge     317  
ViiV [Member]        
Loss Contingencies [Line Items]        
Dividend income       135
License [Member] | Biopharma [Member]        
Loss Contingencies [Line Items]        
Intangible asset impairment charge     210  
IPR&D [Member]        
Loss Contingencies [Line Items]        
Intangible asset impairment charge [4],[5]     93  
IPR&D [Member] | Biopharma [Member]        
Loss Contingencies [Line Items]        
Intangible asset impairment charge   240   240
Haleon [Member]        
Loss Contingencies [Line Items]        
Net (gains) losses recognized during the period on equity securities     144  
Net unrealized losses     1,000  
Gain on sale of equity method investment     900 150
ViiV [Member]        
Loss Contingencies [Line Items]        
Dividend income   $ 74 $ 111 $ 135
ViiV [Member] | Biopharma [Member]        
Loss Contingencies [Line Items]        
Dividend income $ 73      
[1] Reported in Other (income)/deductions––net. See Note 4.
[2] The net losses in the first six months of 2025 include, among other things, a net loss of $144 million related to our investment in Haleon, composed of unrealized losses of $1.0 billion, partially offset by $900 million in realized gains on the sales of our remaining investment.
[3] Included in net unrealized (gains)/losses are observable price changes on equity securities without readily determinable fair values. As of June 29, 2025, there were cumulative impairments and downward adjustments of $435 million and upward adjustments of $239 million. Impairments, downward and upward adjustments were not material to our operations in the second quarters and first six months of 2025 and 2024.
[4] Reflects intangible assets written down to fair value in 2025. Fair value was determined using the income approach, specifically the multi-period excess earnings method, also known as the discounted cash flow method. We started with a forecast of all the expected net cash flows for the asset and then applied an asset-specific discount rate to arrive at a net present value amount. Some of the more significant estimates and assumptions inherent in this approach include: the amount and timing of the projected net cash flows, which includes the expected impact of competitive, legal and/or regulatory forces on the product; and assumptions about the probability of technical and regulatory success (PTRS) of ongoing clinical trials, the discount rate, which seeks to reflect the various risks inherent in the projected cash flows; and the tax rate, which seeks to incorporate the geographic diversity of the projected cash flows.
[5] See Note 9.