Derivatives (Tables)

6 Months Ended

Jun. 30, 2026

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Notional Amounts of Foreign Currency Forward Contracts

The aggregate equivalent United States dollar notional amounts of foreign currency forward contracts as of June 30, 2026 and December 31, 2025 were as follows (in millions):


	June 30, 2026		December 31, 2025
Contracts designated as hedges:
Euro	$	276.6	$	283.8
Canadian dollar		135.2		142.9
British pound		120.8		120.0
Australian dollar		65.6		73.4
Swiss franc		61.1		59.2
Swedish krona		35.8		33.4
Other (a)		47.1		49.4
Contracts not designated as hedges:
Euro	$	473.5	$	437.6
British pound		151.2		144.3
Mexican peso		109.8		86.4
Australian dollar		109.0		72.8
Philippine peso		91.5		59.9
Singapore dollar		52.5		33.8
Indian rupee		48.5		50.6
Kuwaiti dinar		41.1		81.6
Canadian dollar		36.7		38.0
Brazilian real		31.8		28.5
Indonesian rupiah		29.1		30.0
Swedish krona		28.9		25.5
Swiss franc	(b)			36.9
Chinese yuan	(b)			33.2
Thai baht	(b)			29.3
Other (a)		155.8		106.5

(a)

Comprised of exposures to various currencies; none of these individual currency exposures is greater than $25 million.

(b)

Amount is below $25 million for the relevant period; therefore, the balance has been included within “Other.”

Fair Value of Derivatives

The following table summarizes the fair value of derivatives reported in the Company’s Condensed Consolidated Balance Sheets as of June 30, 2026 and December 31, 2025 (in millions):


	Derivative Assets					Derivative Liabilities
		Fair Value					Fair Value
	Balance Sheet	June 30,		December 31,		Balance Sheet	June 30,		December 31,
	Location	2026		2025		Location	2026		2025
Derivatives designated as hedges:
Foreign currency cash flow hedges	Other assets	$	16.2	$	11.4	Other liabilities	$	19.6	$	37.6
Derivatives not designated as hedges:
Foreign currency	Other assets		6.3		3.9	Other liabilities		3.7		2.6
Total derivatives		$	22.5	$	15.3		$	23.3	$	40.2

Schedule of Amount and Location of Gains/(Losses) from Hedging Activities

The following table presents the pre-tax amount of unrealized gains/(losses) recognized in other comprehensive income from cash flow hedges for the three and six months ended June 30, 2026 and 2025 (in millions):


	Three Months Ended June 30,					Six Months Ended June 30,
	2026		2025			2026		2025
Foreign currency derivatives (a)	$	2.0	$	(52.7	)	$	12.5	$	(71.8	)

(a)

Gains/(losses) of $(4.2) million and $0.6 million for the three months ended June 30, 2026 and 2025, respectively, and $(4.5) million and $2.8 million for the six months ended June 30, 2026 and 2025, respectively, represent the amounts excluded from the assessment of effectiveness and recognized in other comprehensive income, for which an amortization approach is applied.

The following table presents the location and amounts of pre-tax net gains/(losses) from cash flow hedging relationships recognized in the Condensed Consolidated Statements of Income for the three and six months ended June 30, 2026 and 2025 (in millions):


	Three Months Ended June 30,
	2026						2025
	Revenues			Interest Expense			Revenues			Interest Expense
Total amounts presented in the Condensed Consolidated Statements of Income in which the effects of cash flow hedges are recorded	$	1,013.2		$	(39.5	)	$	1,026.1		$	(36.7	)
Gains/(losses) on cash flow hedges:
Foreign currency derivatives:
Losses reclassified from AOCL into earnings		(4.2	)		—			(4.1	)		—
Amount excluded from effectiveness testing recognized in earnings based on an amortization approach		1.4			—			2.5			—
Interest rate derivatives:
Gains/(losses) reclassified from AOCL into earnings		—			(0.1	)		—			0.1


	Six Months Ended June 30,
	2026						2025
	Revenues			Interest Expense			Revenues			Interest Expense
Total amounts presented in the Condensed Consolidated Statements of Income in which the effects of cash flow hedges are recorded	$	1,995.9		$	(75.7	)	$	2,009.7		$	(69.3	)
Gains/(losses) on cash flow hedges:
Foreign currency derivatives:
Losses reclassified from AOCL into earnings		(10.8	)		—			(1.5	)		—
Amount excluded from effectiveness testing recognized in earnings based on an amortization approach		3.3			—			4.6			—
Interest rate derivatives:
Gains/(losses) reclassified from AOCL into earnings		—			(0.1	)		—			0.1

Undesignated Hedges

The following table presents the location and amount of pre-tax net gains/(losses) from undesignated hedges in the Condensed Consolidated Statements of Income on derivatives for the three and six months ended June 30, 2026 and 2025 (in millions):


		Three Months Ended					Six Months Ended
		June 30,					June 30,
Derivatives	Location	2026		2025			2026		2025
Foreign currency derivatives (a)	Selling, general, and administrative	$	10.7	$	(21.4	)	$	11.6	$	(30.5	)

(a)

The Company uses foreign currency forward contracts to offset foreign exchange rate fluctuations on settlement assets and obligations as well as certain foreign currency denominated positions. Foreign exchange gains/(losses) on settlement assets and obligations, cash balances, and other assets and liabilities, not including amounts related to derivative activity as displayed above and included in Selling, general, and administrative in the Condensed Consolidated Statements of Income, were $(13.0) million and $25.7 million for the three months ended June 30, 2026 and 2025, respectively, and $(24.3) million and $37.9 million for the six months ended June 30, 2026 and 2025, respectively.