DERIVATIVES (Tables)

3 Months Ended

Sep. 30, 2025

Notional Amounts of Outstanding Derivative Instruments Measured in U.S. Dollar Equivalents

The following table presents the notional amounts of our outstanding derivative instruments measured in U.S. dollar equivalents:

(In millions)	September 30, 2025		June 30, 2025
Designated as Hedging Instruments
Foreign exchange contracts purchased	$	1,492	$	1,492
Interest rate contracts purchased		1,167		1,150
Not Designated as Hedging Instruments
Foreign exchange contracts purchased		11,810		15,214
Foreign exchange contracts sold		33,053		43,307
Equity contracts purchased		5,766		5,434
Equity contracts sold		2,189		2,189
Other contracts purchased		2,668		2,769
Other contracts sold		836		1,242

Fair Values of Derivative Instruments

The following table presents our derivative instruments:

(In millions)	Derivative Assets				Derivative Liabilities		Derivative Assets			Derivative Liabilities
	September 30, 2025						June 30, 2025
Designated as Hedging Instruments
Foreign exchange contracts	$	83		$	(48	)	$	89		$	(44	)
Interest rate contracts		6			0			15			0
Not Designated as Hedging Instruments
Foreign exchange contracts		202			(397	)		248			(809	)
Equity contracts		1,274			(353	)		385			(983	)
Other contracts		10			(6	)		21			(1	)
Gross amounts of derivatives		1,575			(804	)		758			(1,837	)
Gross amounts of derivatives offset in the balance sheets		(247	)		248			(258	)		260
Cash collateral received		0			(67	)		0			(99	)
Net amounts of derivatives	$	1,328		$	(623	)	$	500		$	(1,676	)
Reported as
Short-term investments	$	7		$	0		$	10		$	0
Other current assets		132			0			201			0
Equity and other investments		1,182			0			272			0
Other long-term assets		7			0			17			0
Other current liabilities		0			(570	)		0			(1,639	)
Other long-term liabilities		0			(53	)		0			(37	)
Total	$	1,328		$	(623	)	$	500		$	(1,676	)

The following table presents the fair value of our derivatives instruments on a gross basis:

(In millions)	Level 1			Level 2		Level 3			Total
September 30, 2025
Derivative assets	$	0	$	388		$	1,187		$	1,575
Derivative liabilities		0		(804	)		0			(804	)
June 30, 2025
Derivative assets		1		474			283			758
Derivative liabilities		0		(1,832	)		(5	)		(1,837	)

Gains (Losses) on Derivative Instruments

Gains (losses) on derivative instruments recognized in other income (expense), net were as follows:

(In millions)
Three Months Ended September 30,		2025			2024
Designated as Fair Value Hedging Instruments
Interest rate contracts
Derivatives	$	(1	)	$	20
Hedged items		(8	)		(32	)
Designated as Cash Flow Hedging Instruments
Foreign exchange contracts
Amount reclassified from accumulated other comprehensive loss		(5	)		49
Not Designated as Hedging Instruments
Foreign exchange contracts		381			(383	)
Equity contracts		1,579			(348	)
Other contracts		0			24

Cash Flow Hedges | Other Comprehensive Income (Loss)

Gains (Losses) on Derivative Instruments

Gains (losses), net of tax, on derivative instruments recognized in our consolidated comprehensive income statements were as follows:

(In millions)
Three Months Ended September 30,	2025			2024
Designated as Cash Flow Hedging Instruments
Foreign exchange contracts
Included in effectiveness assessment	$	(7	)	$	29