v3.26.3
Related Party Transactions
 9 Months Ended
Sep. 26, 2026
Related Party Transactions [Abstract]  
Related Party Transactions
Note 16 – Related Party Transactions
During 2018, we entered into a joint venture with Internet Brands to create Henry
Schein One, LLC.
Internet
Brands initially held a
26
% noncontrolling interest, which has since increased to a
33.6
% noncontrolling interest in
Henry Schein One, LLC, and a freestanding and separately exercisable right
to put its noncontrolling interest to
Henry Schein, Inc. for fair value following the fifth anniversary of the effective date of the
formation of the joint
venture.
On January 29, 2025, Henry Schein, Inc. signed a Memorandum of Understanding
with Internet Brands to
extend the time-based trigger for the exercise of our call option to July 1, 2032
and to pause the exercise by Internet
Brands of its put option for a period of
four years
, to January 29, 2029.
In connection with the formation of Henry Schein One, LLC we entered
into a
ten-year
royalty agreement with
Internet Brands whereby we will pay Internet Brands approximately $
31
million annually for the use of their
intellectual property.
During the three and nine months ended September 26, 2026,
we recorded $
8
million and $
23
million, respectively, within selling, general and administrative in our condensed consolidated statements of
income, in connection with costs related to this royalty agreement.
During the three and nine months ended
September 27, 2025, we recorded $
8
million and $
23
million, respectively, within selling, general and
administrative in our condensed consolidated statements of income,
in connection with costs related to this royalty
agreement.
As of September 26, 2026 and December 27, 2025, Henry Schein One,
LLC had a net payable balance
to Internet Brands of $
7
million and $
9
million, respectively, comprised of amounts related to results of operations
and the royalty agreement.
The components of this payable are recorded within accrued expenses: other
within our
condensed consolidated balance sheets.
We have interests in entities that we account for under the equity accounting method.
In our normal course of
business, during the three and nine months ended September 26, 2026, we
recorded net sales of $
7
million and $
21
million, respectively, to such entities.
During the three and nine months ended September 27, 2025,
we recorded
net sales of $
14
million and $
42
million, respectively, to such entities.
During the three and nine months ended
September 26, 2026, we purchased $
2
million and $
6
million, respectively, from such entities.
During the three and
nine months ended September 27, 2025, we purchased $
3
million and $
7
million, respectively, from such entities.
At September 26, 2026 and December 27, 2025, we had an aggregate $
30
million and $
39
million, respectively,
due from our equity affiliates, and $
3
million and $
7
million, respectively, due to our equity affiliates.
Certain of our facilities related to our acquisitions are leased from employees
and minority shareholders.
These
leases are classified as operating leases and have a remaining lease term ranging
from less than
a
year to
approximately
11 years
.
As of September 26, 2026, current and non-current liabilities associated
with related party
operating leases were $
5
million and $
20
million, respectively.
At September 26, 2026, related party leases
represented
6.8
% and
6.8
% of the total current and non-current operating lease liabilities, respectively.
At
December 27, 2025, current and non-current liabilities associated with
related party operating leases were $
5
million and $
22
million, respectively.
At December 27, 2025, related party leases represented
6.6
% and
8.7
% of
the total current and non-current operating lease liabilities, respectively.