v3.26.1
Financial Instruments and Commodity Contracts (Tables)
 3 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Fair values of financial instruments and commodity contracts
The following tables summarize the gross fair values of our financial instruments and commodity contracts as of the periods presented:
June 30, 2026
AssetsLiabilitiesNet Fair Value
in millionsCurrent
Noncurrent(1)
Current
Noncurrent(1)
Assets / (Liabilities)
Derivatives designated as hedging instruments:
Cash flow hedges
Metal contracts$185 $— $(77)$(1)$107 
Currency exchange contracts11 1 (27)(1)(16)
Energy contracts5 — (2)— 3 
Interest rate swap contracts— — (1)— (1)
Net investment hedges
Currency exchange contracts— 5 — — 5 
Total derivatives designated as hedging instruments$201 $6 $(107)$(2)$98 
Derivatives not designated as hedging instruments:
Metal contracts$195 $— $(189)$(3)$3 
Currency exchange contracts18 — (34)(5)(21)
Energy contracts4 — — — 4 
Total derivatives not designated as hedging instruments$217 $— $(223)$(8)$(14)
Total derivative fair value$418 $6 $(330)$(10)$84 
March 31, 2026
AssetsLiabilitiesNet Fair Value
Current
Noncurrent(1)
Current
Noncurrent(1)
Assets / (Liabilities)
Derivatives designated as hedging instruments:
Cash flow hedges
Metal contracts$5 $1 $(445)$(2)$(441)
Currency exchange contracts10 1 (22)— (11)
Energy contracts8 — (3)— 5 
Interest rate swap contracts— — (3)— (3)
Net investment hedges
Currency exchange contracts— 4 — — 4 
Total derivatives designated as hedging instruments$23 $6 $(473)$(2)$(446)
Derivatives not designated as hedging instruments:
Metal contracts$187 $4 $(320)$— $(129)
Currency exchange contracts15 1 (31)(4)(19)
Energy contracts9 — — — 9 
Total derivatives not designated as hedging instruments$211 $5 $(351)$(4)$(139)
Total derivative fair value$234 $11 $(824)$(6)$(585)
____________________
(1)The noncurrent portions of derivative assets and liabilities are included in other long-term assets and other long-term liabilities, respectively, in the accompanying condensed consolidated balance sheets.
Summary of notional amount
The following table summarizes our notional amount:
in ktJune 30,
2026		March 31,
2026
Hedge type
Purchase (sale)
Cash flow sales(1,035)(1,141)
Not designated(186)(234)
Total, net(1,221)(1,375)
Derivative instruments, gain (loss) recognition
The following table summarizes the (gains) losses associated with the change in fair value of derivative instruments not designated as hedges and the excluded portion of designated derivatives recognized in other expenses (income), net. (Gains) losses recognized in other line items in the condensed consolidated statement of operations are separately disclosed within this footnote.
Three Months Ended
June 30
in millions20262025
Derivative instruments not designated as hedges
Metal contracts$26 $(13)
Currency exchange contracts16 (38)
Energy contracts(1)
1 1 
Loss (gain) recognized in other expenses (income), net
43 (50)
Derivative instruments designated as hedges
Loss (gain) recognized in other expenses (income), net(1)
7 (3)
Total loss (gain) recognized in other expenses (income), net
$50 $(53)
Losses (gains) recognized on balance sheet remeasurement currency exchange contracts, net
$13 $(41)
Realized losses (gains) on change in fair value of derivative instruments, net
115 (20)
Unrealized (gains) losses on change in fair value of derivative instruments, net
(78)8 
Total loss (gain) recognized in other expenses (income), net
$50 $(53)
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(1)Amount includes forward market premium/discount excluded from hedging relationship and releases to income from accumulated other comprehensive loss on balance sheet remeasurement contracts.
Summary of the impact on AOCI and earnings of derivative instruments designated as cash flow hedges
The following tables summarize the impact on accumulated other comprehensive loss and earnings of derivative instruments designated as cash flow and net investment hedges. Within the next 12 months, we expect to reclassify $64 million of gains from accumulated other comprehensive loss to earnings, before taxes.
Amount of Gain (Loss) Recognized in Other comprehensive income (Effective Portion)
Amount of Gain (Loss)
Recognized in 
Other expenses (income), net 
(Excluded Portion)
Three Months Ended June 30,
Three Months Ended June 30,
in millions2026202520262025
Cash flow hedging derivatives
Metal contracts$249 $(4)$(7)$— 
Currency exchange contracts(6)64 — — 
Energy contracts— (5)— — 
Interest rate swap contracts1 (1)— — 
Total cash flow hedging derivatives$244 $54 $(7)$— 
Net investment derivatives
Currency exchange contracts1 (17)— 2 
Total$245 $37 $(7)$2 
Gain (Loss) Reclassification
Amount of Gain (Loss) Reclassified from Accumulated other comprehensive loss into Income/(Expense) (Effective Portion)
Three Months Ended
June 30,
Location of Gain (Loss) Reclassified 
from Accumulated other comprehensive loss into Earnings
in millions20262025
Cash flow hedging derivatives
Metal contracts$(336)$99 Net sales
Currency exchange contracts4 (2)
Cost of goods sold (exclusive of depreciation and amortization)
Currency exchange contracts3 — Net sales
Currency exchange contracts(1)(1)Depreciation and amortization
Interest rate swap contracts(1)— Interest expense and amortization of debt issuance costs
Total$(331)$96 
Income before income tax provision
89 (26)
Income tax provision (benefit)
$(242)$70 
Net income from continuing operations