v3.26.1
Accrued Expenses and Other Current Liabilities
 6 Months Ended
Jun. 30, 2026
Payables and Accruals [Abstract]  
Accrued Expenses and Other Current Liabilities Accrued Expenses and Other Current Liabilities
The components of accrued expenses and other current liabilities were as follows:
(in millions)June 30, 2026December 31, 2025
Accrued rebates$259.7 $205.5 
Employee compensation and related costs153.8 209.2 
Professional and consulting services51.4 58.2 
Other137.2 113.9 
Accrued expenses and other current liabilities$602.0 $586.7 
Product Warranty Costs
The Company provides a four-year warranty on its Controllers and Personal Diabetes Managers (“PDMs”) sold in the United States and Europe and a five-year warranty on Controllers and PDMs sold in Canada and may replace Pods that do not function in accordance with product specifications. The Company estimates its warranty obligation at the time the product is shipped based on historical experience and the estimated cost to service the claims. Costs to service claims include current product costs, reclaim costs, shipping and handling costs, and direct and incremental distribution and customer service support costs. Since the Company continues to introduce new products and versions, the anticipated performance of the product over the warranty period is also considered in estimating warranty reserves. Warranty expense is recorded in cost of revenue in the consolidated statements of income.
Reconciliations of the changes in the Company’s product warranty liability were as follows: 
Three Months Ended June 30,Six Months Ended June 30,
(in millions)2026202520262025
Product warranty liability at beginning of period$24.7 $16.1 $16.8 $13.9 
Warranty expense - voluntary medical device corrections25.3 — 37.0 — 
Warranty expense - other8.5 6.8 15.4 14.4 
Change in estimate(3.6)— (3.6)— 
Warranty fulfillment(21.5)(5.8)(32.2)(11.2)
Product warranty liability at end of period$33.4 $17.1 $33.4 $17.1 
During the six months ended June 30, 2026, we issued two voluntary medical device corrections (“MDCs”), one in March and the other in May related to separate manufacturing issues that caused a tear in the cannula of certain Omnipod products.