v3.25.2
Restructuring Charges
 6 Months Ended
Jun. 30, 2025
Restructuring and Related Activities [Abstract]  
Restructuring Charges Restructuring and Asset Impairment Charges
Restructuring
During the three and six months ended June 30, 2025, we incurred restructuring charges of $22 million and $39 million, respectively. The incurred charges primarily related to actions taken to further streamline our organization through simplification efforts in order to strengthen our competitive positioning and ability to better serve our customers.
During the three and six months ended June 30, 2024, we incurred restructuring costs of $23 million and $32 million, respectively. We incurred these charges primarily as a result of our acquisition of Evoqua and our efforts to reposition our businesses to optimize our cost structure, improve our operational efficiency and effectiveness, strengthen our competitive positioning and better serve our customers.
The following table presents the components of restructuring expense and asset impairment charges:
Three Months EndedSix Months Ended
June 30,June 30,
(in millions)2025202420252024
By component:
Severance and other charges$21 $8 $39 $17 
Asset impairment1 15 1 16 
Reversal of restructuring accruals— — (1)(1)
Total restructuring costs$22 $23 $39 $32 
Asset impairment charges4 — 8 1 
Total restructuring and asset impairment charges$26 $23 $47 $33 
By segment:
Water Infrastructure$9 $1 $22 $6 
Applied Water9 — 12 1 
Measurement and Control Solutions5 — 6 — 
Water Solutions and Services1 22 5 24 
Corporate and other2 — 2 2 
The following table displays a roll-forward of the restructuring accruals, presented on our Condensed Consolidated Balance Sheets within "Accrued and other current liabilities" and "Other non-current accrued liabilities", for the six months ended June 30, 2025 and 2024:
(in millions)20252024
Restructuring accruals - January 1$25 $24 
Restructuring costs, net39 32 
Cash payments(36)(18)
Asset impairment(1)(16)
Stock based compensation expense included within AOCL
— (2)
Foreign currency and other2 (1)
Restructuring accruals - June 30$29 $19 
By segment:
Water Infrastructure$4 $2 
Applied Water2 1 
Measurement and Control Solutions2 5 
Water Solutions and Services3 6 
Regional selling locations (a)18 3 
Corporate and other— 2 
(a)Regional selling locations consist primarily of selling and marketing organizations and related support services that incurred restructuring expense that was allocated to the segments. The liabilities associated with restructuring expense were not allocated to the segments.
The following table presents expected restructuring spend in 2025 and thereafter:
(in millions)Water InfrastructureApplied WaterMeasurement and Control SolutionsWater Solutions and ServicesCorporateTotal
Actions Commenced in 2025:
Total expected costs$37 $23 $8 $5 $4 $77 
Costs incurred during Q1 202512 2 1 1 — 16 
Costs incurred during Q2 20258 9 3 1 — 21 
Total expected costs remaining$17 $12 $4 $3 $4 $40 
Actions Commenced in 2024:
Total expected costs$15 $6 $1 $29 $1 $52 
Costs incurred in 202414 5 1 28 1 49 
Costs incurred during Q1 2025— 1 — — — 1 
Costs incurred during Q2 20251 — — — — 1 
Total expected costs remaining$— $— $— $1 $— $1 
The actions commenced in 2025 consist primarily of severance charges. The actions are expected to continue through the end of 2026.
The actions commenced in 2024 consist primarily of severance and asset impairment charges. The actions are expected to continue through the end of 2025.
Asset Impairment
During the second quarter of 2025, we recognized $4 million of impairment charges for internally developed software and software assets within our Measurement and Control Solutions and Corporate segments.
During the first quarter of 2025, we recognized $4 million of impairment charges for internally developed software within our Water Solutions and Services and Water Infrastructure segments.
During the first quarter of 2024, we recognized $1 million of impairment charges for internally developed software within Corporate.
Refer to Note 9, "Goodwill and Other Intangible Assets," for additional information.