v3.26.1
Financial Instruments
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
Financial Instruments Financial Instruments
Investments in Equity and Debt Securities
The following table summarizes certain fair value information at June 30, 2026 and December 31, 2025 for investment assets measured at fair value on a recurring basis, as well as the carrying amount and amortized cost of certain other investments: 
Fair Value Measurements Using
Carrying
Amount		CostQuoted Prices in Active Markets for Identical Assets
(Level 1)		Significant Other
Observable Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)		Fair
Value
June 30, 2026
Cash equivalents(1)
$4,410 $4,410 $4,410 $— $— $4,410 
Short-term investments:
Available-for-sale debt securities(2)
$14 $14 $5 $9 $— $14 
Other securities46 46 — 12 34 46 
Short-term investments$60 
Noncurrent investments:
Available-for-sale debt securities(2)
$367 $379 $67 $300 $— $367 
Other securities83 52 — 2 81 83 
Marketable equity securities796 527 796 — — 796 
Equity investments without readily determinable fair values(3)
1,073 
Equity method investments(3)
1,537 
Noncurrent investments$3,856 
December 31, 2025
Cash equivalents(1)
$4,392 $4,392 $4,392 $— $— $4,392 
Short-term investments:
Available-for-sale debt securities(2)
$16 $16 $9 $7 $— $16 
Other securities89 89 — 12 78 89 
Short-term investments$105 
Noncurrent investments:
Available-for-sale debt securities(2)
$360 $368 $69 $291 $— $360 
Other securities85 54 — 2 83 85 
Marketable equity securities223 292 223 — — 223 
Equity investments without readily determinable fair values(3)
846 
Equity method investments(3)
1,288 
Noncurrent investments$2,802 
(1) We consider all highly liquid investments with a maturity of three months or less from the date of purchase to be cash equivalents. The cost of these investments approximates fair value.
(2) For available-for-sale debt securities, amounts disclosed represent the securities' amortized cost.
(3) Fair value disclosures are not applicable for equity method investments and investments accounted for under the measurement alternative for equity investments.
Debt
Below are the details of our issuance of long-term debt in 2026. The cash proceeds were used for general corporate purposes, including the repayment of outstanding commercial paper and the funding of a portion of the upfront cash consideration and related fees and expenses payable in connection with our acquisitions of Centessa and Kelonia.
Date of IssuanceAmountMaturity
Stated Interest Rate
May 2026$9,000 2028-2066
4.150%-5.700%(1)
(1) Included in the 2028 and 2029 tranches are an aggregate $1.3 billion of floating-rate notes, with interest reset and paid quarterly using Secured Overnight Financing Rate (SOFR) plus 0.350 and 0.460 percent, respectively.
The following table summarizes the carrying amount and fair value using Level 2 inputs for our short-term and long-term debt:
June 30, 2026December 31, 2025
Carrying
Amount		Fair ValueCarrying
Amount		Fair Value
Short-term commercial paper borrowings$5,284 $5,280 $— $— 
Long-term debt, including current portion49,624 46,555 42,503 39,799 
Contingent Consideration
Contingent consideration is additional consideration payable as a result of an acquisition accounted for as a business combination that is contingent on the achievement of certain development, success-based regulatory, or sales-based milestones. Contingent consideration liabilities are carried at fair value, estimated using a discounted cash flow analysis and Level 3 inputs. These inputs include projections of expected cash payments associated with the agreed upon milestones based primarily on probabilities of technical success, timing of the potential milestone events for the compounds, and estimated discount rates. The following table summarizes the fair value for our contingent consideration liabilities:
June 30, 2026December 31, 2025
Other current liabilities$814 $34 
Other noncurrent liabilities1,704 217 
During 2026, the increase in contingent consideration liabilities primarily related to our acquisition of Kelonia. See Note 4 for additional information.
Hedging
As a global company, we face foreign currency risk exposure from fluctuating currency exchange rates, primarily the U.S. dollar against the euro, Japanese yen, and Chinese yuan. We manage foreign currency risk primarily through the use of foreign currency debt and foreign currency forward contracts. Our foreign currency-denominated notes designated as accounting hedges had carrying amounts of $3.6 billion and $6.0 billion as of June 30, 2026 and December 31, 2025, respectively. The following table summarizes the aggregate outstanding notional amounts of our foreign currency forward contracts in U.S. dollar equivalent:
June 30, 2026December 31, 2025
PurchaseSellPurchaseSell
Designated as accounting hedges$246 $— $67 $— 
Not designated as accounting hedges17,869 10,123 14,281 9,264 
The following table summarizes the effects of significant hedging activity on our consolidated condensed financial statements:
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
Recognized in other–net, (income) expense:
Foreign currency forward contracts not designated as accounting hedges$(53)$(651)$(150)$(639)
Recognized in other comprehensive income (loss):
Foreign currency-denominated notes:
Designated as accounting hedges17 (485)132 (688)
Foreign currency forward contracts:
Designated as accounting hedges— (965)(30)(1,293)