BAXTER INTERNATIONAL INC, 10-K filed on 2/12/2026
Annual Report
v3.25.4
Cover Page - USD ($)
$ in Billions
12 Months Ended
Dec. 31, 2025
Feb. 05, 2026
Jun. 30, 2025
Entity Information [Line Items]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2025    
Current Fiscal Year End Date --12-31    
Document Transition Report false    
Entity File Number 1-4448    
Entity Registrant Name Baxter International Inc.    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 36-0781620    
Entity Address, Address Line One One Baxter Parkway,    
Entity Address, City or Town Deerfield,    
Entity Address, State or Province IL    
Entity Address, Postal Zip Code 60015    
City Area Code 224    
Local Phone Number 948.2000    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 16
Entity Common Stock, Shares Outstanding   514,490,045  
Documents Incorporated by Reference Portions of the registrant’s definitive 2025 proxy statement for use in connection with its Annual Meeting of Stockholders expected to be held on May 5, 2026 are incorporated by reference into Part III of this report.    
Amendment Flag false    
Document Fiscal Year Focus 2025    
Document Fiscal Period Focus FY    
Entity Central Index Key 0000010456    
Common stock, $1.00 par value      
Entity Information [Line Items]      
Title of 12(b) Security Common stock, $1.00 par value    
Trading Symbol BAX (NYSE)    
Security Exchange Name NYSE    
1.3% Global Notes due 2029      
Entity Information [Line Items]      
Title of 12(b) Security 1.3% Global Notes due 2029    
Trading Symbol BAX 29    
Security Exchange Name NYSE    
v3.25.4
Audit Information
12 Months Ended
Dec. 31, 2025
Audit Information [Abstract]  
Auditor Name PricewaterhouseCoopers LLP
Auditor Location Chicago, Illinois
Auditor Firm ID 238
v3.25.4
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Current assets:    
Cash and cash equivalents $ 1,966 $ 1,764
Accounts receivable, net of allowance of $63 in 2025 and $71 in 2024 1,861 1,679
Inventories 2,232 2,046
Prepaid expenses and other current assets 813 753
Current assets of discontinued operations 0 2,611
Total current assets 6,872 8,853
Property, plant and equipment, net 2,910 2,870
Goodwill 4,929 5,275
Other intangible assets, net 4,369 5,223
Operating lease right-of-use assets 276 306
Other non-current assets 699 755
Non-current assets of discontinued operations 0 2,500
Total assets 20,055 25,782
Current liabilities:    
Short-term debt 1 2,126
Current maturities of long-term debt and finance lease obligations 2 626
Accounts payable 999 968
Accrued expenses and other current liabilities 1,968 1,861
Current liabilities of discontinued operations 0 930
Total current liabilities 2,970 6,511
Long-term debt and finance lease obligations, less current portion 9,473 10,374
Operating lease liabilities 223 243
Other non-current liabilities 1,287 1,076
Non-current liabilities of discontinued operations 0 554
Total liabilities 13,953 18,758
Commitments and contingencies
Equity:    
Common stock, $1 par value, authorized 2,000,000,000 shares, issued 683,494,944 shares in 2025 and 2024 683 683
Common stock in treasury, at cost, 169,213,617 shares in 2025 and 172,567,636 shares in 2024 (10,873) (11,059)
Additional contributed capital 6,368 6,421
Retained earnings 13,705 14,929
Accumulated other comprehensive income (loss) (3,754) (4,010)
Total Baxter stockholders’ equity 6,129 6,964
Noncontrolling interests (27) 60
Total equity 6,102 7,024
Total liabilities and equity $ 20,055 $ 25,782
v3.25.4
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Allowance for doubtful accounts $ 63 $ 71
Common stock, par value (in dollars per share) $ 1 $ 1
Common stock, authorized (in shares) 2,000,000,000 2,000,000,000
Common stock, issued (in shares) 683,494,944 683,494,944
Treasury stock, shares (in shares) 169,213,617 172,567,636
v3.25.4
CONSOLIDATED STATEMENTS OF INCOME (LOSS) - USD ($)
shares in Millions, $ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Statement [Abstract]      
Net sales $ 11,244 $ 10,636 $ 10,360
Cost of sales 7,865 6,652 6,210
Gross margin 3,379 3,984 4,150
Selling, general and administrative expenses 2,890 2,967 2,953
Research and development expenses 518 590 518
Goodwill impairments 485 425 0
Other operating expense (income), net (206) (12) (28)
Operating income (loss) (308) 14 707
Interest expense, net 238 341 439
Other (income) expense, net (41) (38) 26
Income (loss) from continuing operations before income taxes (505) (289) 242
Income tax (benefit) expense 395 37 61
Income (loss) from continuing operations (900) (326) 181
Income (loss) from discontinued operations, net of tax (57) (312) 2,482
Net income (loss) (957) (638) 2,663
Less: Net income attributable to noncontrolling interests included in continuing operations 0 0 0
Less: Net income attributable to noncontrolling interest included in discontinued operations 0 11 7
Net income (loss) attributable to Baxter stockholders $ (957) $ (649) $ 2,656
Income (loss) from continuing operations per common share      
Basic (in dollars per share) $ (1.75) $ (0.64) $ 0.36
Diluted (in dollars per share) (1.75) (0.64) 0.36
Income (loss) from discontinued operations per common share      
Basic (in dollars per share) (0.12) (0.63) 4.89
Diluted (in dollars per share) (0.12) (0.63) 4.87
Net Income (loss) per common share      
Basic (in dollars per share) (1.87) (1.27) 5.25
Diluted (in dollars per share) $ (1.87) $ (1.27) $ 5.23
Weighted-average number of shares outstanding      
Basic (in shares) 513 510 506
Diluted (in shares) 513 510 508
v3.25.4
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Statement of Comprehensive Income [Abstract]      
Income (loss) from continuing operations $ (900) $ (326) $ 181
Other comprehensive income (loss) from continuing operations, net of tax:      
Currency translation adjustments, net of tax expense (benefit) of ($24) in 2025, $1 in 2024 and $(26) in 2023 160 (648) 301
Pension and other postretirement benefit plans, net of tax expense of $(17) in 2025, $(6) in 2024 and $(25) in 2023 (28) (19) (92)
Hedging activities, net of tax expense (benefit) of zero in 2025, $3 in 2024 and zero in 2023 (2) 12 (1)
Total other comprehensive income (loss) from continuing operations, net of tax 130 (655) 208
Comprehensive income (loss) from continuing operations (770) (981) 389
Other comprehensive income (loss) from discontinued operations      
Income (loss) from discontinued operations, net of tax (57) (312) 2,482
Currency translation adjustments, net of tax expense (benefit) of zero in 2025, $(7) in 2024 and $8 in 2023 137 187 97
Pension and other postretirement benefit plans, net of tax expense of $(3) in 2025, $3 in 2024 and $(2) in 2023 (11) (4) (29)
Total other comprehensive income from discontinued operations 126 183 68
Comprehensive income (loss) from discontinued operations 69 (129) 2,550
Comprehensive income (loss) (701) (1,110) 2,939
Less: Net income attributable to noncontrolling interests 0 11 7
Less: Other comprehensive income (loss) attributable to noncontrolling interests 0 (16) (3)
Comprehensive income (loss) attributable to Baxter stockholders $ (701) $ (1,105) $ 2,935
v3.25.4
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Statement of Comprehensive Income [Abstract]      
Currency translation adjustments, tax $ (24) $ 1 $ (26)
Pension and other postretirement benefits, tax (17) (6) (25)
Hedging activities, tax 0 3 0
Discontinued operations, currency translation adjustments, tax 0 (7) 8
Discontinued operations, pension and other postretirement benefits, tax $ (3) $ 3 $ (2)
v3.25.4
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($)
$ in Millions
Total
Total Baxter stockholders' equity
Common stock
Common stock in treasury
Additional contributed capital
Retained earnings
Accumulated other comprehensive income (loss)
Noncontrolling interests
Beginning of year (in shares) at Dec. 31, 2022     683,000,000          
Beginning of year at Dec. 31, 2022 $ 5,895 $ 5,833 $ 683 $ (11,389) $ 6,322 $ 14,050 $ (3,833) $ 62
Beginning of year (in shares) at Dec. 31, 2022       179,000,000        
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Net income (loss) 2,663 2,656       2,656   7
Other comprehensive income (loss) 276 279         279 (3)
Stock issued under employee benefit plans and other (in shares)       (3,000,000)        
Stock issued under employee benefit plans and other 226 226   $ 159 67      
Dividends declared on common stock (592) (592)       (592)    
End of year (in shares) at Dec. 31, 2023     683,000,000          
End of year at Dec. 31, 2023 8,468 8,402 $ 683 $ (11,230) 6,389 16,114 (3,554) 66
End of year (in shares) at Dec. 31, 2023       176,000,000        
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Net income (loss) (638) (649)       (649)   11
Other comprehensive income (loss) (472) (456)         (456) (16)
Stock issued under employee benefit plans and other (in shares)       (3,000,000)        
Stock issued under employee benefit plans and other 203 203   $ 171 32      
Dividends declared on common stock (536) (536)       (536)    
Change in noncontrolling interests (1)             (1)
End of year (in shares) at Dec. 31, 2024     683,000,000          
End of year at Dec. 31, 2024 $ 7,024 6,964 $ 683 $ (11,059) 6,421 14,929 (4,010) 60
End of year (in shares) at Dec. 31, 2024 172,567,636     173,000,000        
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Net income (loss) $ (957) (957)       (957)   0
Other comprehensive income (loss) 141 141         141 0
Stock issued under employee benefit plans and other (in shares)       (4,000,000)        
Stock issued under employee benefit plans and other 133 133   $ 186 (53)      
Dividends declared on common stock (267) (267)       (267)    
Reclassification of other comprehensive income (loss) disposed in the Kidney Care separation 115 115         115  
Disposition of noncontrolling interest associated with the Kidney Care separation (87)             (87)
End of year (in shares) at Dec. 31, 2025     683,000,000          
End of year at Dec. 31, 2025 $ 6,102 $ 6,129 $ 683 $ (10,873) $ 6,368 $ 13,705 $ (3,754) $ (27)
End of year (in shares) at Dec. 31, 2025 169,213,617     169,000,000        
v3.25.4
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Cash flows from operations      
Income (loss) from continuing operations $ (957) $ (638) $ 2,663
Income (loss) from discontinued operations, net of tax (57) (312) 2,482
Income (loss) from continuing operations (900) (326) 181
Adjustments to reconcile net income (loss) to cash flows from operations:      
Depreciation and amortization 981 997 984
Net periodic pension and other postretirement costs (32) (28) (29)
Deferred income taxes 77 (262) (256)
Stock compensation 117 114 115
Goodwill impairments 485 425 0
Indefinite-lived asset impairments 290 50 0
Other long-lived asset impairments 27 44 (11)
Gain on early extinguishment of debt (16) 0 0
Other 30 41 62
Changes in balance sheet items:      
Accounts receivable, net (132) (35) (38)
Inventories (119) (201) (128)
Prepaid expenses and other current assets 72 (125) (45)
Accounts payable 3 112 92
Accrued expenses and other current liabilities 149 44 293
Other (81) (31) (13)
Cash flows from (used in) operations – continuing operations 951 819 1,207
Cash flows from (used in) operations – discontinued operations (106) 200 519
Cash flows from (used in) operations 845 1,019 1,726
Cash flows from investing activities      
Capital expenditures (513) (446) (432)
Acquisitions of developed technology and investments (9) (14) (4)
Proceeds from sale of marketable equity securities 0 34 0
Other investing activities, net 58 16 26
Cash flows from (used in) investing activities - continuing operations (464) (410) (410)
Cash flows from (used in) investing activities - discontinued operations 3,305 (216) 3,623
Cash flows from (used in) investing activities 2,841 (626) 3,213
Cash flows from financing activities      
Issuances of debt 1,998 0 0
Increase in short term debt 0 1,830 0
Repayments of debt (5,489) (2,657) (2,634)
Net (decreases) increases in debt with original maturities of three months or less (300) 296 (301)
Cash dividends on common stock (348) (590) (586)
Proceeds from stock issued under employee benefit plans 30 71 95
Payments of contingent liabilities (50) 0 0
Other financing activities, net (57) (31) (63)
Cash flows from (used in) financing activities (4,216) (1,081) (3,489)
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash 84 (96) 26
Increase (decrease) in cash, cash equivalents and restricted cash (446) (784) 1,476
Cash, cash equivalents and restricted cash at beginning of year [1] 2,414 3,198 1,722
Cash, cash equivalents and restricted cash at end of year [1] 1,968 2,414 3,198
Less cash and cash equivalents of discontinued operations 0 648 116
Cash, cash equivalents and restricted cash $ 1,968 $ 1,766 $ 3,082
[1] The following table provides a reconciliation of cash, cash equivalents and restricted cash amounts as shown in the consolidated statement of cash flows to the amount reported in the consolidated balance sheet as of December 31, 2025, 2024, and 2023:
As of December 31 (in millions)202520242023
Cash and cash equivalents$1,966 $1,764 $3,078 
Restricted cash included in prepaid expenses and other current assets
Cash and cash equivalents of discontinued operations— 648 116 
Cash, cash equivalents and restricted cash$1,968 $2,414 $3,198 
v3.25.4
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Statement of Cash Flows [Abstract]      
Cash and cash equivalents $ 1,966 $ 1,764 $ 3,078
Restricted cash included in prepaid expenses and other current assets 2 2 4
Less cash and cash equivalents of discontinued operations 0 648 116
Cash, cash equivalents and restricted cash [1] $ 1,968 $ 2,414 $ 3,198
[1] The following table provides a reconciliation of cash, cash equivalents and restricted cash amounts as shown in the consolidated statement of cash flows to the amount reported in the consolidated balance sheet as of December 31, 2025, 2024, and 2023:
As of December 31 (in millions)202520242023
Cash and cash equivalents$1,966 $1,764 $3,078 
Restricted cash included in prepaid expenses and other current assets
Cash and cash equivalents of discontinued operations— 648 116 
Cash, cash equivalents and restricted cash$1,968 $2,414 $3,198 
v3.25.4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Nature of Operations
Baxter International Inc., through our subsidiaries (collectively, Baxter, we, our or us), provides a broad portfolio of essential healthcare products, including sterile intravenous (IV) solutions; infusion systems, administrative sets; parenteral nutrition therapies and surgical hemostat, sealant, and adhesion prevention products; connected care solutions and collaboration tools, including smart bed systems, patient monitoring systems and diagnostic technologies; respiratory health devices; advanced equipment for the surgical space, including operating room integration technologies, precision positioning devices and other accessories; injectable pharmaceuticals; inhaled anesthetics and drug compounding. These products are used by hospitals, nursing homes, rehabilitation centers, ambulatory surgery centers, doctors’ offices, kidney dialysis centers and patients at home under physician supervision. Our global footprint and the critical nature of our products and services play a key role in expanding access to healthcare in emerging and developed countries. Our business is comprised of three reportable segments: Medical Products & Therapies, Healthcare Systems & Technologies, and Pharmaceuticals which are described in Note 17.
On August 12, 2024, we entered into an Equity Purchase Agreement (EPA) with certain affiliates of Carlyle Group Inc. (Carlyle) to sell our Kidney Care business. That business, which is now known as Vantive Health LLC (Vantive) is comprised of our former Kidney Care segment. On January 31, 2025, we completed the sale of our Kidney Care business to Carlyle for an aggregate purchase price of $3.80 billion in cash, subject to certain closing cash, working capital and debt adjustments. After giving effect to certain adjustments, we received approximately $3.71 billion pre-tax cash proceeds at closing of the transaction with the net after tax proceeds of approximately $3.3 billion, prior to giving effect to certain post-closing adjustments. The financial position, results of operations and cash flows of our Kidney Care business, including the gain on sale of that business and the related cash proceeds received, are reported as discontinued operations in the accompanying consolidated financial statements, and our prior period results have been adjusted to reflect discontinued operations. See Note 2 for additional information.
Hurricane Helene
In September 2024, Hurricane Helene, which brought significant rain and extensive flooding to Western North Carolina, caused damage to certain of our assets at our North Cove facility in Marion, N.C. and disrupted operations at that facility. In response, we actively worked with customers, regulators and other stakeholders to manage inventory and minimize disruption to patient care as we worked towards resuming our North Cove manufacturing operations. The facility was fully operational by the end of the first quarter of 2025. In 2025, we recorded $133 million of pre-tax net charges related to remediation, air freight and other costs as a result of the damages caused by Hurricane Helene. In 2024, we recorded $110 million of pre-tax net charges related to damages caused by Hurricane Helene. This consisted of $44 million related to the write-off of damaged inventory and fixed assets as well as $317 million of remediation, idle facility, air freight and other costs offset by $251 million of insurance recoveries. These amounts were recorded as a component of cost of sales in the consolidated statements of income (loss) for the years ended December 31, 2025 and 2024.
Use of Estimates
The preparation of financial statements in conformity with U.S. Generally Accepted Accounting Principles (U.S. GAAP) requires us to make estimates and assumptions that affect the reported amounts and related disclosures in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
Principles of Consolidation
The consolidated financial statements include the accounts of Baxter and our majority-owned subsidiaries that we control, after elimination of intra-company balances and transactions.
Revenue Recognition
Revenue is measured as the amount of consideration we expect to receive in exchange for transferring goods or providing services. A performance obligation is a promise in a contract to transfer a distinct good or service to the
customer and is the unit of account in the contract. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. Some of our contracts have multiple performance obligations. For contracts with multiple performance obligations, we allocate the contract’s transaction price to each performance obligation using our best estimate of the standalone selling price of each distinct good or service in the contract. Our global payment terms are typically between 30-90 days.
Our primary customers are hospitals, healthcare distribution companies and government agencies that purchase healthcare products on behalf of providers. Most of our performance obligations are satisfied at a point in time. This includes sales of our broad portfolio of essential healthcare products across our business segments. We earn revenues from sterile IV solutions; infusion systems and devices; parenteral nutrition therapies; inhaled anesthetics; generic injectable pharmaceuticals; surgical hemostat and sealant products; smart bed systems; patient monitoring and diagnostic technologies; respiratory health devices; and advanced equipment for the surgical space. For most of those offerings, our performance obligation is satisfied upon delivery to the customer. Shipping and handling activities are considered to be fulfillment activities and are not considered to be a separate performance obligation.
To a lesser extent, we enter into arrangements for which revenue may be recognized over time. For example, we lease medical equipment to customers under operating lease arrangements and recognize the related revenues on a monthly basis over the lease term. Our Healthcare Systems & Technologies segment includes connected care solutions and collaboration tools that are implemented over time. We recognize revenue for these arrangements over time or at a point in time depending on our evaluation of when the customer obtains control of the promised goods or services. We also earn revenue from contract manufacturing activities, which is recognized over time as the services are performed. Revenue is recognized over time when we are creating or enhancing an asset that the customer controls as the asset is created or enhanced or our performance does not create an asset with an alternative use and we have an enforceable right to payment for performance completed.
As of December 31, 2025, we had $8.50 billion of transaction price allocated to remaining performance obligations related to executed contracts with an original duration of more than one year, which are primarily included in the Medical Product & Therapies segment. Some contracts in the United States included in this amount contain index-dependent price increases, which are not known at this time. We expect to recognize approximately 25% of this amount as revenue in 2026, 25% in 2027, 15% in 2028, 15% in 2029, 10% in 2030 and the remainder thereafter.
Significant Judgments
Revenues from product sales are recorded at the net sales price, which includes estimates of variable consideration, primarily related to rebates and distributor chargebacks. These reserves are based on estimates of the amounts earned or to be claimed on the related sales and are included in accrued expenses and other current liabilities and as reductions of accounts receivable, net on the consolidated balance sheets. Management's estimates take into consideration historical experience, current contractual and statutory requirements, specific known market events and trends, industry data and forecasted customer buying and payment patterns. Overall, these reserves reflect our best estimates of the amount of consideration to which we are entitled based on the terms of the contract using the expected value method. The amount of variable consideration included in the net sales price is limited to the amount for which it is probable that a significant reversal in revenue will not occur when the related uncertainty is resolved. Revenue recognized in the years ended December 31, 2025, 2024 and 2023 related to performance obligations satisfied in prior periods was not material. Additionally, our contracts with customers often include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately and determining the allocation of the transaction price may require significant judgment.
Practical Expedients
We apply a practical expedient to expense as incurred costs to obtain a contract with a customer when the amortization period would have been one year or less. We do not disclose the value of the transaction price that is allocated to unsatisfied performance obligations for contracts with an original expected length of less than one year. We have elected to use the practical expedient to not adjust the promised amount of consideration for the effects of a significant financing component if it is expected, at contract inception, that the period between when we transfer a promised good or service to a customer and when the customer pays for that good or service will be one year or less. Additionally, all taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and collected from a customer are excluded from revenue.
Accounts Receivable and Allowance for Doubtful Accounts
In the normal course of business, we provide credit to our customers, perform credit evaluations of these customers and maintain reserves for potential credit losses. In determining the amount of the allowance for doubtful accounts, we consider, among other items, historical credit losses, the past-due status of receivables, payment histories, other customer-specific information, current economic conditions and reasonable and supportable future forecasts. Receivables are written off when we determine that they are uncollectible.

Shipping and Handling Costs
Shipping costs incurred to physically move product from our premises to the customer’s premises are classified as selling, general and administrative (SG&A) expenses. Handling costs, which are costs incurred to store, move and prepare products for shipment, are classified as cost of sales. Approximately $373 million in 2025, $382 million in 2024 and $358 million in 2023 of shipping costs were classified in SG&A expenses.
Cash, Cash Equivalents and Restricted Cash
Cash and cash equivalents include cash, certificates of deposit and money market and other short-term funds with original maturities of three months or less. Restricted cash represents cash balances restricted as to withdrawal or use and are included in prepaid expenses and other current assets on the consolidated balance sheets.
Inventories
Inventories are stated at the lower of cost or net realizable value determined by the first-in, first-out method. We review inventories on hand at least quarterly and record provisions for estimated excess, slow-moving and obsolete inventory, as well as inventory with a carrying value in excess of net realizable value.
Property, Plant and Equipment, Net
Property, plant and equipment are stated at cost. Depreciation expense is calculated using the straight-line method over the estimated useful lives of the related assets, which range from 20 to 50 years for buildings and improvements and from three to 15 years for machinery and equipment. Leasehold improvements are amortized over the life of the related facility lease (including any renewal periods, if appropriate) or the asset, whichever is shorter. We capitalize certain computer software and software development costs incurred in connection with developing or obtaining software for internal use. Capitalized software costs are included within machinery and equipment and are amortized on a straight-line basis over the estimated useful lives of the software, which generally range from three to five years.
Research and Development
Research and development (R&D) costs, including R&D acquired in transactions that are not business combinations, are expensed as incurred. Pre-regulatory approval contingent milestone obligations to counterparties in collaborative arrangements, which include acquired R&D, are expensed when the milestone is probable to be achieved. Contingent milestone payments made to such counterparties on or after regulatory approval are capitalized and amortized over the remaining useful life of the related product. Amounts capitalized for such payments are included in other intangible assets, net.
Acquired in-process R&D (IPR&D) is the value assigned to technology or products under development acquired in a business combination which have not received regulatory approval and have no alternative future use. Acquired IPR&D is capitalized as an indefinite-lived intangible asset. Development costs incurred after the acquisition are expensed as incurred. Upon receipt of regulatory approval of the related technology or product, the indefinite-lived intangible asset is accounted for as a finite-lived intangible asset and amortized on a straight-line basis over the estimated economic life of the related technology or product, subject to annual impairment reviews as discussed below. If the R&D project is abandoned, the indefinite-lived asset is charged to expense.
Collaborative Arrangements
We periodically enter into collaborative arrangements in the normal course of business. These collaborative arrangements take a number of forms and structures and are designed to enhance and expedite long-term sales
and profitability growth. These arrangements may provide for us to obtain commercialization rights to a product under development, and require us to make upfront payments, contingent milestone payments, profit-sharing, and/or royalty payments. We may be responsible for ongoing costs associated with the arrangements, including R&D cost reimbursements to the counterparty. See the Research and Development section of this note regarding the accounting treatment of upfront and contingent milestone payments. Any royalty and profit-sharing payments during the commercialization phase are expensed as cost of sales when they become due and payable.
Restructuring Charges
We record liabilities for costs associated with exit or disposal activities in the period in which the liability is incurred. Employee termination costs are primarily recorded when actions are probable and estimable. Costs for one-time termination benefits in which the employee is required to render service until termination in order to receive the benefits are recognized ratably over the future service period. Refer to the discussion below regarding the accounting for asset impairment charges.
Goodwill, Intangible Assets and Other Long-Lived Assets
Goodwill is initially measured as the excess of the purchase price over the fair value (or other measurement attribute required by U.S. GAAP) of acquired assets and liabilities in a business combination. Management performs an impairment test in the fourth quarter of each year, or whenever events or changes in circumstances indicate that the fair value of the reporting unit is more likely than not below its carrying amount. We have the option to assess goodwill for impairment by initially performing a qualitative assessment to determine whether it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount. If we determine that it is not more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, then the quantitative goodwill impairment test is not required to be performed. If we determine that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, or if we do not elect the option to perform an initial qualitative assessment, we perform a quantitative goodwill impairment test. In the quantitative impairment test, we calculate the estimated fair value of the reporting unit. If the carrying amount of the reporting unit exceeds the estimated fair value, an impairment charge is recorded for the amount that its carrying amount, including goodwill, exceeds its fair value, limited to the total amount of goodwill allocated to that reporting unit. In a quantitative goodwill impairment test, the fair values of our reporting units are generally determined based on a discounted cash flow model (an income approach) and earnings multiples (a market approach). Significant assumptions in reporting unit fair value measurements generally include revenue growth rates, forecasted earnings before interest, taxes, depreciation and amortization (EBITDA) margins, discount rates, terminal growth rates and earnings multiples. Each of those assumptions can significantly affect the fair values of our reporting units.
Indefinite-lived intangible assets, such as IPR&D acquired in business combinations and certain trade names with indefinite lives, are subject to an impairment review annually in the fourth quarter and whenever indicators of impairment exist. We have the option to assess indefinite-lived intangible assets for impairment by first performing qualitative assessments to determine whether it is more-likely-than-not that the fair values of the indefinite-lived intangible assets are less than the carrying amounts. If we determine that it is more-likely-than-not that an indefinite-lived intangible asset is impaired, or if we elect not to perform an initial qualitative assessment, we then perform the quantitative impairment test by comparing the fair value of the indefinite-lived intangible asset with its carrying amount. If the carrying amount exceeds the fair value of the indefinite-lived intangible asset, we write the carrying amount down to the fair value.
We review the carrying amounts of long-lived assets used in operations, other than goodwill and intangible assets not subject to amortization, for potential impairment when events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In evaluating recoverability, we group assets and liabilities at the lowest level such that the identifiable cash flows relating to the group are largely independent of the cash flows of other assets and liabilities. We then compare the carrying amounts of the assets or asset groups with the related estimated undiscounted future cash flows. In the event an asset (or asset group) is not recoverable, an impairment charge is recorded as the amount by which the carrying amount of the asset (or asset group) exceeds its fair value.
Long-lived assets are classified as held for sale when certain criteria are met, including when management has committed to sell the asset, the asset is available for sale in its present condition and the sale is probable of being completed within one year of the balance sheet date. Assets held for sale are no longer depreciated or amortized and they are reported at the lower of their carrying amount or fair value less cost to sell.
See Note 4 for further information about impairments of goodwill and intangible assets recognized in the accompanying consolidated financial statements.
Investments in Debt and Equity Securities
Investments in debt securities classified as available-for-sale are measured at fair value with changes in fair value reported in other comprehensive (loss) income (OCI). Investments in marketable equity securities are classified as other non-current assets and are measured at fair value with gains and losses recognized in other (income) expense, net. We have elected to apply the measurement alternative to equity securities without readily determinable fair values. As such, our non-marketable equity securities are measured at cost, less any impairment, and are adjusted for changes in fair value resulting from observable transactions for identical or similar investments of the same issuer. Gains and losses on non-marketable equity securities are also recognized in other (income) expense, net. Noncontrolling investments in common stock or in-substance common stock are accounted for under the equity method if we have the ability to exercise significant influence over the operating and financial policies of the investee. We review our investments in debt and equity securities for impairment and adjust impaired investments to fair value through earnings, as required.
Income Taxes
Deferred taxes are recognized for the future tax effects of temporary differences between financial and income tax reporting based on enacted tax laws and rates. We maintain valuation allowances unless it is more-likely-than-not that the deferred tax asset will be realized. With respect to uncertain tax positions, we determine whether the position is more-likely-than-not to be sustained upon examination based on the technical merits of the position. Any tax position that meets the more-likely-than-not recognition threshold is measured and recognized in the consolidated financial statements at the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. The liability relating to uncertain tax positions is classified as current in the consolidated balance sheets to the extent that we anticipate making a payment within one year. Interest and penalties associated with income taxes are classified in the income tax expense (benefit) line in the consolidated statements of income (loss).
Foreign Currency Translation
Cumulative translation adjustments (CTA) related to foreign operations are included in OCI. For foreign operations in highly inflationary economies, translation gains and losses are included in other (income) expense, net, and were not material in 2025, 2024 and 2023.
Derivatives and Hedging Activities
Derivative instruments are recognized as either assets or liabilities at fair value in the consolidated balance sheets and are classified as short-term or long-term based on the scheduled maturity of the instrument. We designate certain of our derivatives and foreign-currency denominated debt as hedging instruments in cash flow, fair value or net investment hedges.
For each derivative instrument that is designated and effective as a cash flow hedge, the gain or loss on the derivative is recorded in AOCI and then recognized in earnings consistent with the underlying hedged item. Cash flow hedges are classified in cost of sales and interest expense, net, and are primarily related to forecasted intra-company sales denominated in foreign currencies and forecasted interest payments on anticipated issuances of debt, respectively.
For each derivative instrument that is designated and effective as a fair value hedge, the gain or loss on the derivative is recognized immediately to earnings, and offsets changes in fair value attributable to a particular risk, such as changes in interest rates, of the hedged item, which are also recognized in earnings. Changes in the fair value of hedge instruments designated as fair value hedges are classified in interest expense, net, as they hedge the interest rate risk associated with certain of our fixed-rate debt.
We have designated certain of our Euro-denominated senior notes as hedges of our net investment in our European operations and, as a result, mark to spot rate adjustments on the outstanding debt balances are recorded as a component of AOCI.
For derivative instruments that are not designated as hedges, the change in fair value is recorded directly to other (income) expense, net.
If it is determined that a derivative or nonderivative hedging instrument is no longer highly effective as a hedge, we discontinue hedge accounting prospectively. Gains or losses relating to terminations of effective cash flow hedges generally continue to be deferred and are recognized consistent with the loss or income recognition of the underlying hedged transactions. However, if it is probable that the hedged forecasted transactions will not occur, any gains or losses would be immediately reclassified from AOCI to earnings. If we terminate a fair value hedge, an amount equal to the cumulative fair value adjustment to the hedged item at the date of termination is amortized to earnings over the remaining term of the hedged item. If we remove a net investment hedge designation, any gain or loss recognized in AOCI are not reclassified to earnings until we sell, liquidate, or deconsolidate the foreign investments that were being hedged.
Cash flows related to the settlement of derivative instruments designated as net investment hedges of foreign operations are classified in the consolidated statements of cash flows within investing activities. Cash flows for all other derivatives, including those that are not designated as a hedge, are classified in the same line item as the cash flows of the related hedged item, which is generally within operating activities.
New Accounting Standards
Recently issued accounting standards not yet adopted
In November 2024, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, which requires disaggregated disclosure of certain expenses on an interim and annual basis in the notes to the financial statements. This standard is effective for annual consolidated financial statements for the year ending December 31, 2027 and for interim periods beginning in 2028. We are currently evaluating the impact of this new standard on our consolidated financial statements.
Recently adopted accounting pronouncements 
As of January 1, 2025, we prospectively adopted ASU 2023-09, Income Taxes (Topic 740): Improvement to Income Tax Disclosures (ASU 2023-09), which requires (1) disclosure of specific categories in the rate reconciliation and (2) additional information for reconciling items that meet a quantitative threshold. Additionally, the amendment requires disclosure of certain disaggregated information about income taxes paid, income from continuing operations before income tax expense (benefit) and income tax expense (benefit). The standard became effective for our annual consolidated financial statements for the year ended December 31, 2025. See Note 13 for further information on these disclosures.
As of January 2024, we adopted ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sales Restrictions, which (1) clarifies the guidance in Topic 820 on the fair value measurement of an equity security that is subject to contractual restrictions that prohibit the sale of an equity security and (2) requires specific disclosures related to such an equity security. The standard became effective for our annual consolidated financial statements for the year ended December 31, 2024 and for interim periods beginning in 2025. The impact of the adoption of this ASU did not have a material effect on our consolidated financial statements.
v3.25.4
DISCONTINUED OPERATIONS
12 Months Ended
Dec. 31, 2025
Discontinued Operations and Disposal Groups [Abstract]  
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS
A component of an entity is reported in discontinued operations after meeting the criteria for held-for-sale classification if the disposition represents a strategic shift that has (or will have) a major effect on the entity's operations and financial results. The consolidated financial statements reflect discontinued operations for two strategic actions, as described below.
Discontinued Operations - Kidney Care
On January 31, 2025, we completed the sale of our Kidney Care business to Carlyle for an aggregate purchase price of $3.80 billion in cash, subject to certain closing cash, working capital and debt adjustments. After giving effect to certain adjustments, we received approximately $3.71 billion pre-tax cash proceeds and recognized a pre-tax gain on the sale of $191 million ($111 million net of tax) at closing of the transaction. For the year ended
December 31, 2025, we recognized a pre-tax gain on sale of $97 million after final working capital and other adjustments.
We concluded that our Kidney Care business met the criteria to be classified as held-for-sale in August 2024. We analyzed the quantitative and qualitative factors relevant to the sale of our Kidney Care business, including its significance to our overall net income (loss), earnings (loss) per share, and net assets, and determined that those conditions for discontinued operations presentation had been met. As such, the financial position, results of operations and cash flows of that business are reported as discontinued operations in the accompanying condensed consolidated financial statements. Prior period amounts have been adjusted to reflect discontinued operations presentation.
Upon closing of the sale of the Kidney Care business, pursuant to the EPA, Baxter and Vantive entered into several agreements, including a Manufacturing and Supply Agreement (Kidney Care MSA), a Transition Services Agreement (Kidney Care TSA), a Long Term Master Services Agreement, a Distribution Agreement and certain other arrangements providing for short-term supply of saline products, and an Intellectual Property Agreement. Pursuant to the Kidney Care MSA, Baxter and the Kidney Care divested entities provide each other with certain dialysis-related products, other products, product components and fulfillment services for up to 10 years post-closing (with certain extension rights and early exit rights as provided therein). Pursuant to the Kidney Care MSA, our sales to Vantive are recognized in net sales in the consolidated statements of income (loss). Pursuant to the Kidney Care TSA, Baxter and the entities that were divested in connection with the Kidney Care sale (the Kidney Care divested entities) provide each other, on an interim basis, certain transitional services for up to 30 months post-closing (with certain extension rights and early exit rights as provided therein) to help ensure business continuity and help minimize disruptions to the operations of both parties post-closing. Services provided under the Kidney Care TSA include information technology applications and support, supply chain and certain other corporate and administrative services. Billings by us under the Kidney Care TSA are recorded in other operating income, net in the condensed consolidated statements of income. The costs to provide each respective service is recorded in the applicable expense category in the consolidated statements of income (loss).
In accordance with the EPA, we have agreed to indemnify Vantive for certain items, including taxes imposed on or with respect to the Kidney Care divested entities, for pre-closing tax periods. The net indemnification liability as of December 31, 2025 was $53 million. Further, in accordance with the EPA, Baxter recorded a contingent liability for payments to reimburse Vantive for qualifying capital expenditures of $133 million over a period of three years post sale. The contingent liability as of December 31, 2025 was $83 million based on payments made to date.
Certain of the business guarantees originally entered by us on behalf of the Kidney Care business were not released prior to the completion of the sale and remain outstanding. These legacy guarantees primarily relate to certain leases, performance contracts and ones to support regulatory requirements of the Kidney Care business. As of December 31, 2025, the total amount of Kidney Care business guarantees retained by us was approximately $35 million. Under terms of the EPA, Carlyle has agreed to indemnify us for any cost or expense, or payments made in the future under these arrangements.
Discontinued Operations - BioPharma Solutions
On September 29, 2023, we sold our BPS business to Advent International and Warburg Pincus (collectively, the buyers). Under the terms of the related Equity Purchase Agreement entered into with the buyers in May 2023, we were entitled to aggregate consideration of $4.25 billion, subject to adjustment for specified items. After giving effect to those adjustments, we received cash proceeds of $3.96 billion. We recognized a pre-tax gain on the sale of $2.88 billion ($2.59 billion net of tax), which represents the excess of (a) the $3.91 billion in net consideration received, consisting of (i) $3.96 billion in cash proceeds from the buyers, less (ii) $47 million in transaction costs, over (b) the sum of (i) the $840 million net book value of the BPS business upon the closing of the transaction and (ii) BPS's $181 million other comprehensive loss, which was reclassified to earnings.
The BPS business, provided contract manufacturing and development services, which include sterile fill-finish manufacturing and support services across clinical and commercial applications, primarily serving customers in the pharmaceutical industry. BPS was historically operated through our former, wholly-owned subsidiaries Baxter Pharmaceutical Solutions LLC, a Delaware limited liability company, and Baxter Oncology GmbH, a German limited liability company (collectively, the divested entities).
We concluded that our BPS business met the criteria to be classified as held-for-sale in May 2023. A component of an entity is reported in discontinued operations after meeting the criteria for held-for-sale classification if the
disposition represents a strategic shift that has (or will have) a major effect on the entity's operations and financial results. We analyzed the quantitative and qualitative factors relevant to the divestiture of our BPS business, including its significance to our overall net income (loss) and earnings (loss) per share, and determined that those conditions for discontinued operations presentation had been met. As such, the financial position, results of operations and cash flows of that business, including our gain from the sale of that business and the related cash proceeds received, are reported as discontinued operations in the accompanying consolidated financial statements. Prior period amounts have been adjusted to reflect discontinued operations presentation.
At closing of the transaction, Baxter Pharmaceutical Solutions LLC included a BPS manufacturing facility in Bloomington, Indiana and Baxter Oncology GmbH included a manufacturing facility in Halle Germany. Previously, Baxter Oncology GmbH included an additional manufacturing site in Bielefeld Germany that was not part of the BPS business and was transferred to another Baxter entity prior to closing of the divestiture. Accordingly, amounts related to the Bielefeld site continue to be presented as continuing operations in the accompanying consolidated financial statements.
At closing of the transaction, Baxter entered into a Transition Services Agreement (BPS TSA) and a Master Commercial Manufacturing and Supply Agreement (BPS MSA) with the divested entities. Pursuant to the BPS TSA, Baxter and the divested entities provided to each other specific transition services for a period of time post-closing to help ensure business continuity and minimize disruptions. Services provided under the BPS TSA include finance, information technology, human resources, integrated supply chain and certain other administrative services. Pursuant to the BPS MSA, the divested entities will provide development, manufacturing, regulatory and other related services for certain Baxter pharmaceutical products for up to five years post-closing (with certain extension rights as provided therein).
Results of Discontinued Operations and Assets and Liabilities of Discontinued Operations
The following table summarizes the major classes of line items included in income (loss) from discontinued operations, net of tax, for the years ended December 31, 2025, 2024 and 2023:
Kidney CareBioPharma SolutionsTotal
Year Ended December 31,Year Ended December 31,Year Ended December 31,
(in millions)202520242023202520242023202520242023
Net sales$352 $4,513 $4,453 $— $— $469 $352 $4,513 $4,922 
Cost of sales226 2,812 3,628 — — 216 226 2,812 3,844 
Gross margin126 1,701 825 — — 253 126 1,701 1,078 
Selling, general and administrative expenses116 1,203 993 — — 45 116 1,203 1,038 
Research and development expenses16 181 149 — — 16 181 150 
Goodwill impairments— 430 — — — — — 430 — 
Other operating expense (income), net— (1)— — — — — (1)— 
Operating income (loss)(6)(112)(317)— — 207 (6)(112)(110)
Interest expense, net13 13 — — (1)13 13 
Other (income) expense, net10 25 — — 10 26 
Income (loss) from discontinued operations before gain on disposition and income taxes(26)(135)(345)— — 207 (26)(135)(138)
Gain on disposition97 — — — — 2,882 97 — 2,882 
Income tax expense (benefit)128 177 (95)— — 357 128 177 262 
Income (loss) from discontinued operations, net of tax(57)(312)(250)— — 2,732 (57)(312)2,482 
Less: Net income attributable to noncontrolling interest included in discontinued operations— 11 — — — — 11 
Net income (loss) attributable to Baxter stockholders included in discontinued operations$(57)$(323)$(257)$— $— $2,732 $(57)$(323)$2,475 
For the year ended December 31, 2025, settlement of certain net working capital adjustments made in accordance with the EPA and increased indemnification liabilities reduced the gain from sale of our Kidney Care business. For the years ended December 31, 2025 and 2024, SG&A expenses include $37 million and $261 million, respectively, of separation-related costs incurred in connection with the sale of our Kidney Care business. For the year ended December 31, 2023, SG&A expenses include $196 million and $17 million, respectively, of separation-related costs incurred in connection with the sale of our Kidney Care business and the sale of BPS, respectively.
The following table summarizes the carrying amounts of the major classes of assets and liabilities classified as discontinued operations in the consolidated balance sheets as of December 31, 2024:
as of December 31 (in millions)2024
Cash and cash equivalents$648 
Accounts receivable, net of allowances942 
Inventories821 
Prepaid expenses and other current assets200 
Current assets of discontinued operations2,611 
Property, plant and equipment, net1,516 
Goodwill265 
Other intangible assets, net148 
Operating lease right-of-use assets204 
Other non-current assets367 
Non-current assets of discontinued operations2,500 
Assets of discontinued operations$5,111 
Current maturities of finance lease obligations$
Accounts payable344 
Accrued expenses and other current liabilities585 
Current liabilities of discontinued operations930 
Long-term finance lease obligations, less current portion37 
Operating lease liabilities173 
Other non-current liabilities344 
Non-current liabilities of discontinued operations554 
Liabilities of discontinued operations$1,484 
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION
12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
SUPPLEMENTAL FINANCIAL INFORMATION
SUPPLEMENTAL FINANCIAL INFORMATION
Allowance for Doubtful Accounts
The following table is a summary of changes in our allowance for doubtful accounts for the years ended December 31, 2025 and 2024.
years ended December 31
(in millions)
202520242023
Balance at beginning of period$71 $62 $50 
Charged (released) to costs and expenses(6)
Write-offs(5)(8)(4)
Currency translation adjustments10 
Balance at end of period$63 $71 $62 
Inventories
as of December 31 (in millions)
2025
2024
Raw materials$536 $510 
Work in process369 266 
Finished goods1,327 1,270 
Inventories$2,232 $2,046 
Prepaid Expenses and Other Current Assets
as of December 31 (in millions)20252024
Prepaid value added taxes$86 $167 
Prepaid income taxes175 199 
Spare parts140 123 
Contract assets71 51 
Derivative assets— 
Other341 205 
Prepaid expenses and other current assets$813 $753 
Property, Plant and Equipment, Net
as of December 31 (in millions)20252024
Land and land improvements$119 $115 
Buildings and leasehold improvements1,402 1,301 
Machinery and equipment5,454 5,047 
Equipment on lease with customers375 467 
Construction in progress704 718 
Total property, plant and equipment, at cost8,054 7,648 
Accumulated depreciation(5,144)(4,778)
Property, plant and equipment, net$2,910 $2,870 
Depreciation expense was $383 million in 2025, $372 million in 2024 and $394 million in 2023.
Other Non-Current Assets
as of December 31 (in millions)20252024
Deferred tax assets$200 $204 
Non-current receivables, net50 50 
Contract assets76 82 
Capitalized implementation costs in hosting arrangements89 102 
Pension and other postretirement benefits66 56 
Investments103 109 
Other115 152 
Other non-current assets$699 $755 
Accrued Expenses and Other Current Liabilities
as of December 31 (in millions)20252024
Common stock dividends payable$$87 
Employee compensation and withholdings397 447 
Property, payroll and certain other taxes96 96 
Contract liabilities141 131 
Restructuring liabilities127 112 
Accrued rebates215 214 
Operating lease liabilities81 80 
Income taxes payable83 121 
Pension and other postretirement benefits39 39 
Other784 534 
Accrued expenses and other current liabilities$1,968 $1,861 
Other Non-Current Liabilities
as of December 31 (in millions)20252024
Pension and other postretirement benefits$637 $678 
Deferred tax liabilities245 103 
Long-term tax liabilities146 94 
Contingent payments related to acquisitions11 
Contract liabilities36 40 
Litigation and environmental reserves31 29 
Restructuring liabilities10 
Other179 111 
Other non-current liabilities$1,287 $1,076 
Interest Expense, net
years ended December 31 (in millions)202520242023
Interest costs$304 $421 $523 
Interest costs capitalized(14)(13)(15)
Interest expense290 408 508 
Interest income(52)(67)(69)
Interest expense, net$238 $341 $439 
Other (Income) Expense, net
years ended December 31 (in millions)202520242023
Foreign exchange (gains) losses, net$18 $25 $53 
Change in fair value of marketable equity securities(1)(3)(7)
Pension and other postretirement benefit (gains) losses(45)(39)(48)
Gain on debt extinguishment(16)— — 
Equity method investment impairment— — 
Non-marketable investment impairments    — — 34 
Other, net(6)(21)(6)
Other (income) expense, net$(41)$(38)$26 
Supplemental Cash Flow Information
Non-Cash Operating and Investing Activities
Purchases of property, plant and equipment included in accounts payable and accrued liabilities as of December 31, 2025, 2024 and 2023 was $74 million, $64 million and $58 million, respectively.
Other Supplemental Information
As discussed in Note 1, Summary of Significant Accounting Policies, we have elected to prospectively adopt the guidance in ASU 2023-09. The following table is a summary of income taxes paid by jurisdiction for the year ended December 31, 2025.
year ended December 31 (in millions)2025
United States - federal$12 
United States - state and local12 
Foreign
Australia18 
Canada25 
Germany39 
Other116 
Total income taxes paid$222 
The following table is a summary of interest paid for the years ended December 31, 2025, 2024 and 2023 and income taxes paid, in accordance with the guidance prior to the adoption of ASU 2023-09, for the years ended December 31, 2024 and 2023.
years ended December 31 (in millions)202520242023
Interest paid, net of portion capitalized$303 $401 $484 
Income taxes paid$223 $174 
v3.25.4
GOODWILL AND OTHER INTANGIBLE ASSETS, NET
12 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS, NET
GOODWILL AND OTHER INTANGIBLE ASSETS, NET
Goodwill
The following is a reconciliation of goodwill by business segment.
(in millions)Medical Products & TherapiesHealthcare Systems & TechnologiesPharmaceuticalsTotal
December 31, 2023$1,241 $3,989 $563 $5,793 
Impairments— (425)— (425)
Currency translation and other(56)(14)(23)(93)
December 31, 2024$1,185 $3,550 $540 $5,275 
Impairments— (485)— (485)
Currency translation and other80 22 37 139 
December 31, 2025$1,265 $3,087 $577 $4,929 
Goodwill Impairment
In connection with our annual goodwill impairment assessment in the fourth quarter of 2025, we recorded a $485 million goodwill impairment related to our Front Line Care reporting unit within our Healthcare Systems & Technologies segment. The reduction in value was primarily due to lower forecasted operating results, a higher discount rate and a lower terminal growth rate utilized in valuing this reporting unit which contributed to reduced expected future cash flows, as well as lower earnings multiples. The fair value of the Front Line Care reporting unit was determined based on a discounted cash flow model (an income approach) and earnings multiples (a market approach) based on the guideline public company method. Significant assumptions used in the determination of the fair values of our reporting units generally include revenue growth rates, forecasted EBITDA margins, discount rates, terminal growth rates and earnings multiples. The discounted cash flow model used to determine the fair value of our Front Line Care reporting unit reflected our most recent cash flow projections, a discount rate of 10.0% and a terminal growth rate of 3.0%. Our reporting unit fair value measurements are classified as Level 3 in the fair value hierarchy because they involve significant unobservable inputs. As of December 31, 2025, the carrying amount of goodwill for our Front Line Care reporting unit was $1.52 billion. No goodwill impairments were recorded for our remaining reporting units in connection with our annual goodwill impairment tests because the fair values of those reporting units exceeded their carrying amounts.
In connection with our annual goodwill impairment assessment in the fourth quarter of 2024, we recorded a $425 million goodwill impairment related to our Front Line Care reporting unit within our Healthcare Systems & Technologies segment. The reduction in value was primarily due to lower forecasted operating results and a lower terminal growth rate utilized in valuing this reporting unit which contributed to reduced expected future cash flows, as well as lower earnings multiples. The fair value of the Front Line Care reporting unit was determined based on a discounted cash flow model (an income approach) and earnings multiples (a market approach) based on the guideline public company method. Significant assumptions used in the determination of the fair values of our reporting units generally include revenue growth rates, forecasted EBITDA margins, discount rates, terminal growth rates and earnings multiples. The discounted cash flow model used to determine the fair value of our Front Line Care reporting unit reflected our most recent cash flow projections, a discount rate of 9.5% and a terminal growth rate of 3.25%. Our reporting unit fair value measurements are classified as Level 3 in the fair value hierarchy because they involve significant unobservable inputs. As of December 31, 2024, the carrying amount of goodwill for our Front Line Care reporting unit was $1.99 billion. No goodwill impairments were recorded for our remaining
reporting units in connection with our annual goodwill impairment tests because the fair values of those reporting units exceeded their carrying amounts.
Other Intangible Assets, Net
The following is a summary of our other intangible assets.
Indefinite-lived intangible assets
(in millions)Customer relationshipsDeveloped technology,
including patents
Trade NamesOther amortized
intangible assets
Trade NamesIn process Research and DevelopmentTotal
December 31, 2024
Gross other intangible assets$3,387 $3,131 $958 $86 $680 $107 $8,349 
Accumulated amortization(878)(2,075)(107)(66)— — $(3,126)
Other intangible assets, net$2,509 $1,056 $851 $20 $680 $107 $5,223 
December 31, 2025
Gross other intangible assets$3,393 $3,208 $953 $91 $390 $107 $8,142 
Accumulated amortization(1,095)(2,434)(172)(72)— — (3,773)
Other intangible assets, net$2,298 $774 $781 $19 $390 $107 $4,369 
Intangible asset amortization expense was $598 million in 2025, $625 million in 2024 and $590 million in 2023. The anticipated annual amortization expense for definite-lived intangible assets recorded as of December 31, 2025 is $568 million in 2026, $417 million in 2027, $405 million in 2028, $383 million in 2029 and $320 million in 2030.
Intangible Asset Impairments
Impairment of Indefinite-Lived Trade Name
In connection with our annual trade name impairment assessment in the fourth quarter of 2025, we recognized a pre-tax impairment charge of $290 million to reduce the carrying amount of the Welch Allyn trade name within our Healthcare Systems & Technologies segment, an indefinite-lived intangible asset, to its estimated fair value. The reduction in value was primarily due to lower forecasted revenues and margins which contributed to a lower royalty rate and reduced expected future cash flows. The intangible asset impairment charge is classified within cost of sales in the accompanying consolidated statements of income (loss) for the year ended December 31, 2025.
The fair value of the trade name intangible asset was determined using the relief from royalty method. Significant assumptions used in the determination of the fair value of the trade name intangible assets included revenue growth rates, a discount rate and a royalty rate. The relief from royalty model used in the determination of the fair value of our trade name intangible asset during 2025 reflected our most recent revenue projections, a discount rate of 9.0% and a royalty rate of 3.0%. Our trade name intangible asset fair value measurement is classified as Level 3 in the fair value hierarchy because it involves significant unobservable inputs.
Impairment of Indefinite-Lived Intangible Assets from Our Claris Acquisition
In connection with our annual IPR&D impairment assessment in the fourth quarter of 2024, we recognized a pre-tax impairment charge of $50 million to reduce the carrying amount of an IPR&D asset to its fair value. The reduction in value was primarily due to lower forecasted revenues and margins which contributed to reduced expected future cash flows. The intangible asset impairment charge is classified within research and development expenses in the accompanying consolidated statements of income (loss) for the year ended December 31, 2024. The fair value of the IPR&D asset was determined using the multi-period excess earnings method. Significant assumptions used in the determination of the fair value of the IPR&D asset included forecasted cash flows and the discount rate. The multi-period excess earnings model used in our determination of the fair value of the IPR&D asset reflected our most recent cash flow projections and a discount rate of 11%. Our IPR&D intangible asset fair value measurement is classified as Level 3 in the fair value hierarchy because it involves significant unobservable inputs.
v3.25.4
DEBT AND CREDIT FACILITIES
12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
DEBT AND CREDIT FACILITIES
DEBT AND CREDIT FACILITIES
Debt Outstanding
At December 31, 2025 and 2024, we had the following debt outstanding:
as of December 31 (in millions)Effective interest rate as of December 31,2025¹
20251
20241
Commercial paper— %$— $300 
1.3% notes due 2025
— %— 625 
Delayed draw term loan due 2025— %— 1,826 
2.6% notes due 2026
— %— 749 
Term loan maturing 2027— %— 1,643 
7.65% debentures due 2027
7.7 %
1.915% notes due 2027
3.4 %834 1,446 
6.625% debentures due 2028
5.8 %94 94 
2.272% notes due 2028
2.4 %1,246 1,245 
1.3% notes due 2029
1.4 %876 776 
4.45% notes due 2029
4.2 %298 — 
3.95% notes due 2030
4.1 %497 497 
4.9% notes due 2030
4.6 %695 — 
1.73% notes due 2031
2.7 %647 646 
2.539% notes due 2032
2.6 %1,542 1,541 
5.65% notes due 2035
5.2 %991 — 
6.25% notes due 2037
6.3 %266 266 
3.65% notes due 2042
3.9 %
4.5% notes due 2043
4.6 %256 256 
3.5% notes due 2046
3.7 %442 441 
3.132% notes due 2051
3.2 %743 743 
Finance leases and other4.8 %38 21 
Total debt and finance lease obligations9,476 13,126 
Short-term debt (1)(2,126)
Current maturities of long-term debt and finance lease obligations(2)(626)
Long-term debt and finance lease obligations$9,473 $10,374 
1Book values include any discounts, premiums and adjustments related to hedging instruments and effective interest rates reflect amortization of those items.
Significant Debt Activity
In February 2025, we repaid $1.00 billion under our $1.64 billion five-year term loan facility maturing in 2026. In June 2025, we amended and restated this term loan facility in its entirety (as further described under "Credit Facilities" below).
In November 2025 we commenced cash tender offers for (i) any and all of our 2.6% senior unsecured notes due 2026 (the 2026 Notes) and (ii) a portion of our 1.915% senior unsecured notes due 2027 (the 2027 Notes) in an aggregate purchase price up to $600 million. The cash tender offers were settled in December 2025.
In December 2025, we issued $300 million of 4.45% senior notes due in 2029 (the 2029 Notes), $700 million of 4.9% senior notes due in 2030 (the 2030 Notes) and $1.00 billion of 5.65% senior notes due 2035 (the 2035 Notes and together with the 2029 Notes and the 2030 Notes, the Notes). The interest rate payable on each series of the Notes will be subject to adjustment from time to time if (1) Moody’s Investors Service, Inc. (Moody’s) or Standard & Poor’s Ratings Services (S&P) downgrades (or subsequently upgrades) the debt rating applicable to the Notes of a
series or (2) Moody’s or S&P ceases to rate the Notes of that series or fails to make a rating of the Notes of that series publicly available for reasons outside of our control, a “nationally recognized statistical rating organization” within the meaning of Section 3(a)(62) under the Exchange Act, selected by us as a replacement agency for Moody’s or S&P, downgrades (or subsequently upgrades), or discontinues, a rating of the Notes of that series. The indenture governing the Notes contains various covenants, which include limitations on our ability and the ability of certain of our subsidiaries to create, incur, assume or guarantee secured debt and our ability to merge or consolidate with any other entity or sell, transfer or lease all or substantially all of our properties and assets.
We used the proceeds from the Notes to fund the full repayment of the $750 million principal outstanding under the 2026 Notes (inclusive of the cash tender offer and the subsequent satisfaction and discharge with respect to the remaining 2026 Notes), the cash tender offer on the 2027 Notes in an aggregate purchase price of $600 million and repaid $645 million under the Term Loan Facility (as defined below and which was terminated in connection with this repayment). In connection with the completion of these transactions, we recognized a net pre-tax gain of $16 million from the early extinguishment of debt, which is included in other (income) expense, net in the consolidated statement of income (loss) for the year ended December 31, 2025.
In 2024, we repaid our $13 million 7.0% notes due 2024, $809 million 0.4% notes due 2024, $1.40 billion 1.322% notes due 2024, $300 million floating rate notes due 2024 and $130 million three-year term loan facility due 2024.
Credit Facilities
On June 11, 2025, we entered into an amended and restated U.S. Dollar-denominated term loan credit facility (the Term Loan Facility), which amended and restated in its entirety our prior term loan credit facility. Borrowings under the Term Loan Facility bore interest on the principal amount outstanding at either Term SOFR plus an applicable margin or a “base rate” plus an applicable margin. The Term Loan Facility, which has now been terminated, contained various covenants, including a maximum net leverage ratio. As discussed above in the Significant Debt Activity section, in December 2025 we repaid the outstanding balance under the Term Loan Facility at which time it was terminated.
On June 11, 2025, we entered into an amended and restated revolving credit facility (the Multicurrency Revolver), which amended and restated in its entirety our prior U.S. Dollar-denominated revolving credit facility and replaced our prior Euro-denominated revolving credit facility. Our Multicurrency Revolver has a maximum capacity of $2.20 billion and matures in 2030. Borrowings under the Multicurrency Revolver in U.S. dollars bear interest on the principal amount outstanding at either Term SOFR plus an applicable margin or a “base rate” plus an applicable margin. The Multicurrency Revolver contains various covenants, including a maximum net leverage ratio (which ratio was most recently increased for the four fiscal quarters ending December 31, 2025, March 31, 2026, June 30, 2026, and September 30, 2026 pursuant to a November 2025 amendment). Costs incurred in connection with the amendments to the Multicurrency Revolver (or its predecessor agreements) were not material. Borrowings in Euros are subject to a sublimit of $300 million. We may, at our option, seek to increase the aggregate commitment under the Multicurrency Revolver by up to $1.10 billion, which would result in a maximum aggregate commitment of up to $3.30 billion. There were no borrowings outstanding under the Multicurrency Revolver as of December 31, 2025 or 2024. Our commercial paper borrowing arrangements require us to maintain undrawn borrowing capacity under our Multicurrency Revolver for an amount at least equal to our outstanding commercial paper borrowings. Based on our covenant calculations as of December 31, 2025, we had capacity to draw approximately $1.79 billion under the Multicurrency Revolver.
On July 17, 2024, we entered into a credit agreement pursuant to which a group of banks provided us with senior unsecured term loans in an aggregate principal amount of up to $2.05 billion ("bridge facility"). Borrowings under the bridge facility were available in up to three drawings to fund (a) the refinancing of our 1.322% Senior Notes due November 29, 2024, our Floating Rate Notes due November 29, 2024, and certain borrowings under our existing term loan facility and (b) payment of certain U.S. tax liabilities arising from internal reorganization transactions related to the sale of our Kidney Care business. Borrowings under the bridge facility bore interest at a rate based on our long-term debt ratings in effect from time to time and the interest rate on any borrowings outstanding beyond December 31, 2024 would increase by 0.25%. We also incurred a ticking fee on undrawn commitments at a rate based on our long-term debt ratings in effect from time to time. The banks' funding commitments under the bridge facility terminated on December 31, 2024. In November 2024, we reduced the bridge facility capacity from $2.05 billion to $1.83 billion. Additionally, during the fourth quarter of 2025 we drew on the bridge facility to repay our 1.322% Senior Notes due November 29, 2024, our Floating Rate Notes due November 29, 2024 and the outstanding balance on our three-year term loan facility. There was $1.83 billion outstanding under this bridge
facility as of December 31, 2024. In January 2025, we used a portion of the approximately $3.3 billion of net after-tax cash proceeds from the sale of our Kidney Care business to repay the $1.83 billion outstanding under the bridge facility, at which time it was terminated.
We also maintain other credit arrangements, which totaled approximately $385 million and $412 million as of December 31, 2025 and 2024, respectively. There were no amounts outstanding under these arrangements as of December 31, 2025 and 2024.
As of December 31, 2025, we were in compliance with the financial covenants in the Multicurrency Revolver. The non-performance of any financial institution supporting any of the credit facilities would reduce the maximum capacity of these facilities by such institution’s respective commitment.
Commercial Paper
There was no commercial paper outstanding as of December 31, 2025. As of December 31, 2024, we had $300 million of commercial paper outstanding with a weighted-average interest rate of 4.78% and an original term of 45 days. In the first quarter of 2025, we repaid the $300 million balance outstanding as of December 31, 2024.
Future Debt Maturities
as of and for the years ended December 31 (in millions)Debt maturities
2026$— 
2027841 
20281,342 
20291,180 
20301,200 
Thereafter4,931 
Total debt maturities1
9,494 
Discounts, premiums, and adjustments relating to hedging instruments(56)
Total debt obligations1
$9,438 
1 Excludes finance leases and other of $38 million as of December 31, 2025.
v3.25.4
LEASES
12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
LEASES
LEASES
Lessee Activity
We have entered into operating and finance leases primarily for office, manufacturing, warehouse and R&D facilities, vehicles and equipment. Our leases have remaining terms from one to 37 years and some of those leases include options that provide us with the ability to extend the lease term for periods ranging from one to 10 years. Such options are included in the lease term when it is reasonably certain that the option will be exercised.
Certain of our leases include provisions for variable lease payments which are based on, but not limited to, maintenance, insurance, taxes, index escalations and usage-based amounts. For all asset classes, we have elected to apply a practical expedient to account for other services within lease contracts as components of the lease. We also have elected to apply a practical expedient for short-term leases whereby we do not recognize a lease liability and right-of-use asset for leases with a term of less than 12 months.
We classify our leases as operating or finance at the lease commencement date. Finance leases are generally those leases for which we will pay substantially all of the underlying asset’s fair value or will use the asset for all or a major part of its economic life, including circumstances in which we will ultimately own the asset. All other leases are operating leases. For finance leases, we recognize interest expense using the effective interest method and we recognize amortization expense on the right-of-use asset over the shorter of the lease term or the useful life of the asset. For operating leases, we recognize lease cost on a straight-line basis over the term of the lease.
Lease liabilities and right-of-use assets are recognized at the lease commencement date based on the present value of minimum lease payments over the lease term. We determine the present value of payments under a lease based on our incremental borrowing rate as of the lease commencement date. The incremental borrowing rate is equal to the rate of interest that we would have to pay to borrow on a collateralized basis over a similar term in an amount equal to the lease payments in a similar economic environment.
The components of lease cost for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Operating lease cost$88 $89 $94 
Finance lease cost
Amortization of right-of-use assets
Interest on lease liabilities
Variable lease cost40 54 45 
Lease cost$132 $148 $143 
The following table contains supplemental cash flow information related to leases for the years ended December 31, 2025, 2024 and 2023:
(in millions)202520242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$102 $100 $115 
Operating cash flows from finance leases
Financing cash flows from finance leases
Right-of-use operating lease assets obtained in exchange for lease obligations36 64 66 
Right-of-use finance lease assets obtained in exchange for lease obligations15 
Supplemental balance sheet information related to leases as of December 31, 2025 and 2024 include:
(in millions)20252024
Operating leases
Operating lease right-of-use assets$276 $306 
Accrued expenses and other current liabilities$81 $80 
Operating lease liabilities223 243 
Total operating lease liabilities$304 $323 
Finance leases
Property, plant and equipment, at cost$39 $33 
Accumulated depreciation(18)(15)
Property, plant and equipment, net$21 $18 
Current maturities of long-term debt and finance lease obligations$$
Long-term debt and finance lease obligations21 19 
Total finance lease liabilities$23 $21 
Lease term and discount rates as of December 31, 2025 and 2024 were:
December 31, 2025December 31, 2024
Weighted-average remaining lease term (years)
Operating leases56
Finance leases78
Weighted-average discount rate
Operating leases3.6 %3.1 %
Finance leases4.5 %4.2 %
Maturities of operating and finance lease liabilities as of December 31, 2025 were:
(in millions)Finance LeasesOperating Leases
2026$$93 
202777 
202853 
202934 
203020 
Thereafter10 60 
Total minimum lease payments30 337 
Less: imputed interest(7)(33)
Present value of lease liabilities$23 $304 
Lessor Activity
We lease medical equipment, such as smart beds and infusion pumps, to customers, often in conjunction with arrangements to provide consumable medical products such as IV fluids and inhaled anesthetics. Certain of our equipment leases are classified as sales-type leases and the remainder are operating leases. The terms of the related contracts, including the proportion of fixed versus variable payments and any options to shorten or extend the lease term, vary by customer. We allocate revenue between equipment leases and medical products based on their standalone selling prices.
The components of lease revenue for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Sales-type lease revenue$$10 $
Operating lease revenue350 380 397 
Variable lease revenue27 28 21 
Total lease revenue$385 $418 $425 
The components of our net investment in sales-type leases as of December 31, 2025 and 2024 were:
(in millions)20252024
Minimum lease payments$30 $38 
Unguaranteed residual values— (1)
Net investment in leases $30 $37 
Our net investment in sales-type leases is classified as follows in the accompanying consolidated balance sheets as of December 31, 2025 and 2024:
(in millions)20252024
Accounts receivable, net$11 $15 
Other non-current assets19 22 
Total$30 $37 
Our net investment in sales-type leases was $30 million as of December 31, 2025, of which $1 million originated in 2021 and prior, $5 million in 2022, $6 million in 2023, $10 million in 2024 and $8 million in 2025.
Maturities of sales-type and operating leases as of December 31, 2025 were:
(in millions)
Sales-type Leases1
Operating Leases
2026$15 $
2027
2028
2029
2030— 
Thereafter— — 
Total minimum lease payments$32 $28 
1 Unamortized imputed interest on minimum lease payments was $2 million as of December 31, 2025.
LEASES
LEASES
Lessee Activity
We have entered into operating and finance leases primarily for office, manufacturing, warehouse and R&D facilities, vehicles and equipment. Our leases have remaining terms from one to 37 years and some of those leases include options that provide us with the ability to extend the lease term for periods ranging from one to 10 years. Such options are included in the lease term when it is reasonably certain that the option will be exercised.
Certain of our leases include provisions for variable lease payments which are based on, but not limited to, maintenance, insurance, taxes, index escalations and usage-based amounts. For all asset classes, we have elected to apply a practical expedient to account for other services within lease contracts as components of the lease. We also have elected to apply a practical expedient for short-term leases whereby we do not recognize a lease liability and right-of-use asset for leases with a term of less than 12 months.
We classify our leases as operating or finance at the lease commencement date. Finance leases are generally those leases for which we will pay substantially all of the underlying asset’s fair value or will use the asset for all or a major part of its economic life, including circumstances in which we will ultimately own the asset. All other leases are operating leases. For finance leases, we recognize interest expense using the effective interest method and we recognize amortization expense on the right-of-use asset over the shorter of the lease term or the useful life of the asset. For operating leases, we recognize lease cost on a straight-line basis over the term of the lease.
Lease liabilities and right-of-use assets are recognized at the lease commencement date based on the present value of minimum lease payments over the lease term. We determine the present value of payments under a lease based on our incremental borrowing rate as of the lease commencement date. The incremental borrowing rate is equal to the rate of interest that we would have to pay to borrow on a collateralized basis over a similar term in an amount equal to the lease payments in a similar economic environment.
The components of lease cost for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Operating lease cost$88 $89 $94 
Finance lease cost
Amortization of right-of-use assets
Interest on lease liabilities
Variable lease cost40 54 45 
Lease cost$132 $148 $143 
The following table contains supplemental cash flow information related to leases for the years ended December 31, 2025, 2024 and 2023:
(in millions)202520242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$102 $100 $115 
Operating cash flows from finance leases
Financing cash flows from finance leases
Right-of-use operating lease assets obtained in exchange for lease obligations36 64 66 
Right-of-use finance lease assets obtained in exchange for lease obligations15 
Supplemental balance sheet information related to leases as of December 31, 2025 and 2024 include:
(in millions)20252024
Operating leases
Operating lease right-of-use assets$276 $306 
Accrued expenses and other current liabilities$81 $80 
Operating lease liabilities223 243 
Total operating lease liabilities$304 $323 
Finance leases
Property, plant and equipment, at cost$39 $33 
Accumulated depreciation(18)(15)
Property, plant and equipment, net$21 $18 
Current maturities of long-term debt and finance lease obligations$$
Long-term debt and finance lease obligations21 19 
Total finance lease liabilities$23 $21 
Lease term and discount rates as of December 31, 2025 and 2024 were:
December 31, 2025December 31, 2024
Weighted-average remaining lease term (years)
Operating leases56
Finance leases78
Weighted-average discount rate
Operating leases3.6 %3.1 %
Finance leases4.5 %4.2 %
Maturities of operating and finance lease liabilities as of December 31, 2025 were:
(in millions)Finance LeasesOperating Leases
2026$$93 
202777 
202853 
202934 
203020 
Thereafter10 60 
Total minimum lease payments30 337 
Less: imputed interest(7)(33)
Present value of lease liabilities$23 $304 
Lessor Activity
We lease medical equipment, such as smart beds and infusion pumps, to customers, often in conjunction with arrangements to provide consumable medical products such as IV fluids and inhaled anesthetics. Certain of our equipment leases are classified as sales-type leases and the remainder are operating leases. The terms of the related contracts, including the proportion of fixed versus variable payments and any options to shorten or extend the lease term, vary by customer. We allocate revenue between equipment leases and medical products based on their standalone selling prices.
The components of lease revenue for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Sales-type lease revenue$$10 $
Operating lease revenue350 380 397 
Variable lease revenue27 28 21 
Total lease revenue$385 $418 $425 
The components of our net investment in sales-type leases as of December 31, 2025 and 2024 were:
(in millions)20252024
Minimum lease payments$30 $38 
Unguaranteed residual values— (1)
Net investment in leases $30 $37 
Our net investment in sales-type leases is classified as follows in the accompanying consolidated balance sheets as of December 31, 2025 and 2024:
(in millions)20252024
Accounts receivable, net$11 $15 
Other non-current assets19 22 
Total$30 $37 
Our net investment in sales-type leases was $30 million as of December 31, 2025, of which $1 million originated in 2021 and prior, $5 million in 2022, $6 million in 2023, $10 million in 2024 and $8 million in 2025.
Maturities of sales-type and operating leases as of December 31, 2025 were:
(in millions)
Sales-type Leases1
Operating Leases
2026$15 $
2027
2028
2029
2030— 
Thereafter— — 
Total minimum lease payments$32 $28 
1 Unamortized imputed interest on minimum lease payments was $2 million as of December 31, 2025.
LEASES
LEASES
Lessee Activity
We have entered into operating and finance leases primarily for office, manufacturing, warehouse and R&D facilities, vehicles and equipment. Our leases have remaining terms from one to 37 years and some of those leases include options that provide us with the ability to extend the lease term for periods ranging from one to 10 years. Such options are included in the lease term when it is reasonably certain that the option will be exercised.
Certain of our leases include provisions for variable lease payments which are based on, but not limited to, maintenance, insurance, taxes, index escalations and usage-based amounts. For all asset classes, we have elected to apply a practical expedient to account for other services within lease contracts as components of the lease. We also have elected to apply a practical expedient for short-term leases whereby we do not recognize a lease liability and right-of-use asset for leases with a term of less than 12 months.
We classify our leases as operating or finance at the lease commencement date. Finance leases are generally those leases for which we will pay substantially all of the underlying asset’s fair value or will use the asset for all or a major part of its economic life, including circumstances in which we will ultimately own the asset. All other leases are operating leases. For finance leases, we recognize interest expense using the effective interest method and we recognize amortization expense on the right-of-use asset over the shorter of the lease term or the useful life of the asset. For operating leases, we recognize lease cost on a straight-line basis over the term of the lease.
Lease liabilities and right-of-use assets are recognized at the lease commencement date based on the present value of minimum lease payments over the lease term. We determine the present value of payments under a lease based on our incremental borrowing rate as of the lease commencement date. The incremental borrowing rate is equal to the rate of interest that we would have to pay to borrow on a collateralized basis over a similar term in an amount equal to the lease payments in a similar economic environment.
The components of lease cost for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Operating lease cost$88 $89 $94 
Finance lease cost
Amortization of right-of-use assets
Interest on lease liabilities
Variable lease cost40 54 45 
Lease cost$132 $148 $143 
The following table contains supplemental cash flow information related to leases for the years ended December 31, 2025, 2024 and 2023:
(in millions)202520242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$102 $100 $115 
Operating cash flows from finance leases
Financing cash flows from finance leases
Right-of-use operating lease assets obtained in exchange for lease obligations36 64 66 
Right-of-use finance lease assets obtained in exchange for lease obligations15 
Supplemental balance sheet information related to leases as of December 31, 2025 and 2024 include:
(in millions)20252024
Operating leases
Operating lease right-of-use assets$276 $306 
Accrued expenses and other current liabilities$81 $80 
Operating lease liabilities223 243 
Total operating lease liabilities$304 $323 
Finance leases
Property, plant and equipment, at cost$39 $33 
Accumulated depreciation(18)(15)
Property, plant and equipment, net$21 $18 
Current maturities of long-term debt and finance lease obligations$$
Long-term debt and finance lease obligations21 19 
Total finance lease liabilities$23 $21 
Lease term and discount rates as of December 31, 2025 and 2024 were:
December 31, 2025December 31, 2024
Weighted-average remaining lease term (years)
Operating leases56
Finance leases78
Weighted-average discount rate
Operating leases3.6 %3.1 %
Finance leases4.5 %4.2 %
Maturities of operating and finance lease liabilities as of December 31, 2025 were:
(in millions)Finance LeasesOperating Leases
2026$$93 
202777 
202853 
202934 
203020 
Thereafter10 60 
Total minimum lease payments30 337 
Less: imputed interest(7)(33)
Present value of lease liabilities$23 $304 
Lessor Activity
We lease medical equipment, such as smart beds and infusion pumps, to customers, often in conjunction with arrangements to provide consumable medical products such as IV fluids and inhaled anesthetics. Certain of our equipment leases are classified as sales-type leases and the remainder are operating leases. The terms of the related contracts, including the proportion of fixed versus variable payments and any options to shorten or extend the lease term, vary by customer. We allocate revenue between equipment leases and medical products based on their standalone selling prices.
The components of lease revenue for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Sales-type lease revenue$$10 $
Operating lease revenue350 380 397 
Variable lease revenue27 28 21 
Total lease revenue$385 $418 $425 
The components of our net investment in sales-type leases as of December 31, 2025 and 2024 were:
(in millions)20252024
Minimum lease payments$30 $38 
Unguaranteed residual values— (1)
Net investment in leases $30 $37 
Our net investment in sales-type leases is classified as follows in the accompanying consolidated balance sheets as of December 31, 2025 and 2024:
(in millions)20252024
Accounts receivable, net$11 $15 
Other non-current assets19 22 
Total$30 $37 
Our net investment in sales-type leases was $30 million as of December 31, 2025, of which $1 million originated in 2021 and prior, $5 million in 2022, $6 million in 2023, $10 million in 2024 and $8 million in 2025.
Maturities of sales-type and operating leases as of December 31, 2025 were:
(in millions)
Sales-type Leases1
Operating Leases
2026$15 $
2027
2028
2029
2030— 
Thereafter— — 
Total minimum lease payments$32 $28 
1 Unamortized imputed interest on minimum lease payments was $2 million as of December 31, 2025.
LEASES
LEASES
Lessee Activity
We have entered into operating and finance leases primarily for office, manufacturing, warehouse and R&D facilities, vehicles and equipment. Our leases have remaining terms from one to 37 years and some of those leases include options that provide us with the ability to extend the lease term for periods ranging from one to 10 years. Such options are included in the lease term when it is reasonably certain that the option will be exercised.
Certain of our leases include provisions for variable lease payments which are based on, but not limited to, maintenance, insurance, taxes, index escalations and usage-based amounts. For all asset classes, we have elected to apply a practical expedient to account for other services within lease contracts as components of the lease. We also have elected to apply a practical expedient for short-term leases whereby we do not recognize a lease liability and right-of-use asset for leases with a term of less than 12 months.
We classify our leases as operating or finance at the lease commencement date. Finance leases are generally those leases for which we will pay substantially all of the underlying asset’s fair value or will use the asset for all or a major part of its economic life, including circumstances in which we will ultimately own the asset. All other leases are operating leases. For finance leases, we recognize interest expense using the effective interest method and we recognize amortization expense on the right-of-use asset over the shorter of the lease term or the useful life of the asset. For operating leases, we recognize lease cost on a straight-line basis over the term of the lease.
Lease liabilities and right-of-use assets are recognized at the lease commencement date based on the present value of minimum lease payments over the lease term. We determine the present value of payments under a lease based on our incremental borrowing rate as of the lease commencement date. The incremental borrowing rate is equal to the rate of interest that we would have to pay to borrow on a collateralized basis over a similar term in an amount equal to the lease payments in a similar economic environment.
The components of lease cost for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Operating lease cost$88 $89 $94 
Finance lease cost
Amortization of right-of-use assets
Interest on lease liabilities
Variable lease cost40 54 45 
Lease cost$132 $148 $143 
The following table contains supplemental cash flow information related to leases for the years ended December 31, 2025, 2024 and 2023:
(in millions)202520242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$102 $100 $115 
Operating cash flows from finance leases
Financing cash flows from finance leases
Right-of-use operating lease assets obtained in exchange for lease obligations36 64 66 
Right-of-use finance lease assets obtained in exchange for lease obligations15 
Supplemental balance sheet information related to leases as of December 31, 2025 and 2024 include:
(in millions)20252024
Operating leases
Operating lease right-of-use assets$276 $306 
Accrued expenses and other current liabilities$81 $80 
Operating lease liabilities223 243 
Total operating lease liabilities$304 $323 
Finance leases
Property, plant and equipment, at cost$39 $33 
Accumulated depreciation(18)(15)
Property, plant and equipment, net$21 $18 
Current maturities of long-term debt and finance lease obligations$$
Long-term debt and finance lease obligations21 19 
Total finance lease liabilities$23 $21 
Lease term and discount rates as of December 31, 2025 and 2024 were:
December 31, 2025December 31, 2024
Weighted-average remaining lease term (years)
Operating leases56
Finance leases78
Weighted-average discount rate
Operating leases3.6 %3.1 %
Finance leases4.5 %4.2 %
Maturities of operating and finance lease liabilities as of December 31, 2025 were:
(in millions)Finance LeasesOperating Leases
2026$$93 
202777 
202853 
202934 
203020 
Thereafter10 60 
Total minimum lease payments30 337 
Less: imputed interest(7)(33)
Present value of lease liabilities$23 $304 
Lessor Activity
We lease medical equipment, such as smart beds and infusion pumps, to customers, often in conjunction with arrangements to provide consumable medical products such as IV fluids and inhaled anesthetics. Certain of our equipment leases are classified as sales-type leases and the remainder are operating leases. The terms of the related contracts, including the proportion of fixed versus variable payments and any options to shorten or extend the lease term, vary by customer. We allocate revenue between equipment leases and medical products based on their standalone selling prices.
The components of lease revenue for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Sales-type lease revenue$$10 $
Operating lease revenue350 380 397 
Variable lease revenue27 28 21 
Total lease revenue$385 $418 $425 
The components of our net investment in sales-type leases as of December 31, 2025 and 2024 were:
(in millions)20252024
Minimum lease payments$30 $38 
Unguaranteed residual values— (1)
Net investment in leases $30 $37 
Our net investment in sales-type leases is classified as follows in the accompanying consolidated balance sheets as of December 31, 2025 and 2024:
(in millions)20252024
Accounts receivable, net$11 $15 
Other non-current assets19 22 
Total$30 $37 
Our net investment in sales-type leases was $30 million as of December 31, 2025, of which $1 million originated in 2021 and prior, $5 million in 2022, $6 million in 2023, $10 million in 2024 and $8 million in 2025.
Maturities of sales-type and operating leases as of December 31, 2025 were:
(in millions)
Sales-type Leases1
Operating Leases
2026$15 $
2027
2028
2029
2030— 
Thereafter— — 
Total minimum lease payments$32 $28 
1 Unamortized imputed interest on minimum lease payments was $2 million as of December 31, 2025.
v3.25.4
COMMITMENTS AND CONTINGENCIES
12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES
Refer to Note 2 for information regarding contingent payments related to Vantive, recorded in accordance with the EPA.
Indemnifications
During the normal course of business, we make indemnities, commitments and guarantees pursuant to which we may be required to make payments related to specific transactions. Indemnifications include: (i) intellectual property indemnities to customers in connection with the use, sales or license of products and services; (ii) indemnities to customers in connection with losses incurred while performing services on their premises; (iii) indemnities to vendors and service providers pertaining to claims based on negligence or willful misconduct; (iv) indemnities involving the representations and warranties in certain contracts; and (v) contractual indemnities for our directors and our executive and corporate officers for services provided to or at the request of us. In addition, under our Amended and Restated Certificate of Incorporation, and consistent with Delaware General Corporation Law, we have agreed to indemnify our directors and officers for certain losses and expenses upon the occurrence of certain prescribed events. The majority of these indemnities, commitments and guarantees do not provide for any limitation on the maximum potential for future payments that we could be obligated to make. To help address some of these risks, we maintain various insurance coverages. Based on historical experience and evaluation of the agreements, we do not believe that any payments related to our indemnities will have a material impact on our financial condition or results of operations.
In accordance with the EPA, we have agreed to indemnify Vantive for certain items. Refer to Note 2 for additional information regarding these indemnifications.
Legal Contingencies
We are involved in product liability, patent, commercial, employment, and other legal matters that arise in the normal course of our business. We record a liability when a loss is considered probable and the amount can be reasonably estimated. If the reasonable estimate of a probable loss is a range, and no amount within the range is a better estimate than any other amount, the minimum amount in the range is accrued. If a loss is not probable or a probable loss cannot be reasonably estimated, no liability is recorded. We regularly review legal contingencies to
determine whether our accruals and related disclosures are adequate. The amount of ultimate loss may differ from these estimates and could have a material adverse effect on our results of operations and cash flows. As of December 31, 2025 and 2024, our total recorded reserves with respect to legal and environmental matters were $47 million and $40 million, respectively. 
We have established reserves for certain of the matters discussed below. While we believe that we have valid defenses in the matters set forth below, litigation is inherently uncertain, excessive verdicts do occur, and we may incur material judgments or enter into material settlements of claims.  
In addition to the matters described below, we remain subject to the risk of future administrative and legal actions. With respect to governmental and regulatory matters, these actions may lead to additional product recalls, injunctions, and other restrictions on our operations (including our ability to launch new products) and monetary sanctions, including significant civil or criminal penalties. With respect to intellectual property, we may be exposed to significant litigation concerning the scope of our and others’ rights. Such litigation could result in a loss of patent protection or the ability to market products, which could lead to a significant loss of sales, or otherwise materially affect future results of operations.
Novum IQ Large Volume Pump (Novum LVP)
Beginning in April 2025, we initiated a voluntary correction for the Novum LVP due to the potential for under-infusion when the pump is in "standby mode" for an extended period of time. Beginning in July 2025, we initiated voluntary corrections for the Novum LVP due to the potential for under-infusion when the pump is directed to deliver a bolus infusion or significantly increase the rate of infusion after it has been running at a lower infusion rate and the potential for over- and under-infusion related to set misloading, as well as certain software anomalies. The U.S. Food and Drug Administration (FDA) classified these voluntary corrections as Class I recalls. We have implemented certain corrections related to the recalls, and are developing additional corrections related to these recalls, some of which may require regulatory clearance or approval. In July 2025, we elected to temporarily stop distributing and installing the Novum LVP in the U.S. and Canada, except in the case of medical necessity. We have recorded estimates for sales reductions, for returns or exchanges of Novum LVP, and certain other charges, including estimates of reserves for remediation costs and inventory and contract asset write-downs associated with these Novum LVP corrections of approximately $105 million in the aggregate in 2025. We regularly review these estimates (including those associated with any future additional corrections and customer returns or exchanges) which may be subject to change in the future.
Environmental
We are involved as a potentially responsible party (PRP) for environmental clean-up costs at six Superfund sites. Additionally, we have reached an agreement in principle to resolve liability through a remedial investigation and feasibility study at a seventh Superfund site for an amount not material to Baxter. Under the U.S. Superfund statute and many state laws, generators of hazardous waste sent to a disposal or recycling site are liable for site cleanup if contaminants from that property later leak into the environment. The laws generally provide that a PRP may be held jointly and severally liable for the costs of investigating and remediating the site. Separate from these Superfund cases noted above, we are involved in ongoing environmental remediations associated with historic operations at certain of our facilities. As of December 31, 2025 and 2024, our environmental reserves, which are measured on an undiscounted basis, were $29 million. After considering these reserves, the outcome of these matters is not expected to have a material adverse effect on our financial position or results of operations.
General Litigation
In March 2020, two lawsuits were filed against us in the Northern District of Illinois by plaintiffs alleging injuries as a result of exposure to ethylene oxide used in our manufacturing facility in Mountain Home, Arkansas to sterilize certain of our products. The plaintiffs sought damages, including compensatory and punitive damages in an unspecified amount, and unspecified injunctive and declaratory relief. The parties reached an agreement to settle these lawsuits in the third quarter of 2021 for amounts that were not material to our financial results, which were paid in the fourth quarter of 2021. We have since resolved, without litigation, additional claims of injuries from exposure to ethylene oxide at Mountain Home for amounts within accruals previously established as of December 31, 2021. On October 20, 2022, a lawsuit was filed against us in the Western District of Arkansas alleging injury as a result of exposure to ethylene oxide at Mountain Home. The parties reached an agreement to settle this lawsuit in the third quarter of 2023 for an amount that was not material to our financial results, which was paid in the fourth quarter of 2023. The case was dismissed on October 17, 2023. Since December 2023, lawsuits have been filed against us in the Circuit Court of Cook County, Illinois by plaintiffs alleging injuries as a result of exposure to
ethylene oxide used by several companies, including historic use by us for sterilization at our facility in Round Lake, Illinois. The plaintiffs seek damages in an unspecified amount. In the second quarter of 2025, plaintiffs voluntarily dismissed Baxter from 30 of the filed cases, which dismissal was granted by the court, and have filed additional complaints. Thirty-eight complaints are currently filed and pending. The parties have reached an agreement in principle to resolve the remaining filed cases, for an amount not material to Baxter.
We acquired Hillrom on December 13, 2021. In July 2021, Hill-Rom, Inc., a wholly-owned subsidiary of Hillrom, received a subpoena from the United States Office of Inspector General for the Department of Health and Human Services (the DHHS) requesting documents and information related to compliance with the False Claims Act and the Anti-Kickback Statute. The subpoena was related to a lawsuit brought under the qui tam provisions of the False Claims Act. The allegations included in the unsealed complaint relate to conduct prior to our acquisition of Hillrom, and the division involved is no longer operational. Hillrom voluntarily began a related internal review, and Hillrom and Baxter cooperated fully with the DHHS and the Department of Justice (DOJ) with respect to this matter. In January 2024, the parties reached an agreement to settle the allegations. We paid the settlement amounts, which were not material to our financial results, in January 2024 and the matter was dismissed in February 2024. In October 2022, the DOJ issued a separate Civil Investigative Demand (CID) addressed to Hillrom, requesting documents and information related to compliance with the False Claims Act and the Anti-Kickback Statute. In October 2024, the DOJ issued a subpoena (the 2024 Subpoena), pursuant to 18 U.S.C. 3846, to Hillrom. The 2024 Subpoena substantially overlaps with the CID and requests additional documents relating to Hillrom's respiratory health business. Baxter is cooperating fully with the DOJ in responding to the CID and the 2024 Subpoena. The DHHS and DOJ often issue these types of requests when investigating alleged violations of the federal health care laws.
On December 28, 2021, Linet Americas, Inc. (Linet) filed a complaint against Hill-Rom Holdings, Inc., Hill-Rom Company, Inc., and Hill-Rom Services, Inc. in the United States District Court for the Northern District of Illinois, captioned Linet Americas, Inc. v. Hill-Rom Holdings, Inc.; Hill-Rom Company, Inc.; Hill-Rom Services, Inc. Linet alleges that Hillrom violated Sections 1 and 2 of The Sherman Antitrust Act of 1890, Section 3 of the Clayton Act, and the Illinois Antitrust Act by allegedly engaging in anti-competitive conduct in alleged markets for standard, ICU and birthing beds. Hillrom filed an answer to the complaint on January 28, 2022 and filed a motion challenging certain aspects of plaintiff's case on May 27, 2022, which was denied on January 17, 2024, subject to further discovery. Fact discovery is ongoing.
On June 20, 2024, Reading Hospital filed a putative class action complaint against Hill-Rom Holdings, Inc., Hill-Rom Company, Inc., and Hill-Rom Services, Inc. in the United States District Court for the Eastern District of Pennsylvania. The complaint alleges that Hillrom violated Sections 1 and 2 of The Sherman Antitrust Act and Section 3 of the Clayton Act by allegedly engaging in anti-competitive conduct in alleged markets for standard, ICU and birthing beds. The plaintiff filed the action on behalf of itself and all "direct purchasers of Standard Hospital Beds, ICU Beds, and/or Birthing Beds from Hill-Rom during a period beginning at least as early as June 20, 2020” and continuing past the date of filing. On September 30, 2024, the plaintiff filed a First Amended Complaint. On November 8, 2024, Hillrom filed a Motion to Dismiss Plaintiff's Amended Complaint. Briefing was completed in January 2025, and the court held a hearing on the motion on March 25, 2025. The court granted the motion and dismissed the case with prejudice on September 12, 2025. Reading Hospital filed a Notice of Appeal of the dismissal on October 9, 2025, and briefing is underway.
On October 16, 2025, we and certain of our current and former officers and employees were named in a class action complaint captioned Electrical Workers Pension Fund, Local 103, I.B.E.W. v. Baxter International Inc. et al. that was filed in the United States District Court for the Northern District of Illinois. The plaintiff, which allegedly purchased or otherwise acquired shares of our common stock during the specified class period, filed this putative class action on behalf of itself and those who purchased or otherwise acquired Baxter common stock between February 23, 2022 and July 30, 2025. The plaintiff alleges that we and certain former and current officers and employees violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by making allegedly false and misleading statements and failing to disclose material facts relating to Novum LVP. On December 3, 2025, an additional class action complaint was filed against us and certain of our current and former officers and employees in the United States District Court for the Northern District of Illinois, captioned City of Hallansdale Beach Police Officers' and Firefighters' Personnel Retirement Trust v. Baxter International Inc., et al. The additional complaint included substantially the same allegations for the expanded period from February 23, 2022, through October 29, 2025. Plaintiffs filed their respective motions to be appointed lead plaintiff on December 15, 2025. Those motions are pending before the court.
In November 2025, certain of our current and former directors, officers and employees were named in two derivative complaints in the United States District Court for the Northern District of Illinois, captioned Ryan Wood v. Jose E.
Almeida, et al. and Kevin Gray v. Jose E. Almeida, et al., respectively. Both complaints allege, nominally on behalf of Baxter International, Inc., breaches of fiduciary duties and violations of federal law in connection with public statements about Novum LVP. The two derivative complaints were consolidated before the court on January 6, 2026.
In addition, we have received stockholder requests for inspections of our books and records in connection with statements made about Novum LVP.
In December 2025, we received a CID from the DOJ requesting documents and information related to production of Baxter’s IV flexible containers and compliance with the False Claims Act. We are cooperating fully with the DOJ in responding to the CID.
v3.25.4
STOCKHOLDERS’ EQUITY
12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY
Stock-Based Compensation
Our stock-based compensation generally includes stock options, restricted stock units (RSUs), performance share units (PSUs) and purchases under our employee stock purchase plan. Shares issued relating to our stock-based plans are generally issued out of treasury stock.
As of December 31, 2025, approximately 40 million authorized shares are available for future awards under our stock-based compensation plans.
Stock Compensation Expense
Stock compensation expense was $117 million, $114 million and $115 million in 2025, 2024 and 2023, respectively. The related tax benefit recognized was $13 million in 2025, $8 million in 2024 and $10 million in 2023. Included in the benefit in 2025, 2024 and 2023 was tax expense for stock-based compensation shortfalls of $10 million, $9 million and $11 million, respectively.
Approximately 75% of stock compensation expense is classified in SG&A expenses, with the remainder classified in cost of sales and R&D expenses. Costs capitalized in the consolidated balance sheets at December 31, 2025 and 2024 were not material.
Stock compensation expense is based on awards expected to vest and therefore has been reduced by estimated forfeitures.
Stock Options
Stock options are granted to employees with exercise prices equal to 100% of the market value on the date of grant. Stock options granted to employees generally vest in one-third increments over a three-year period. Stock options granted to non-employee directors prior to 2023 generally vested immediately on the grant date and are issued with a six-month claw-back provision. Stock options typically have a contractual term of 10 years. The grant-date fair value, adjusted for estimated forfeitures, is recognized as expense on a straight-line basis over the substantive vesting period.
The fair value of stock options is determined using the Black-Scholes model. The weighted-average assumptions used in estimating the fair value of stock options granted during each year, along with the weighted-average grant-date fair values, were as follows:
years ended December 3120252023
Expected volatility30 %27 %
Expected life (in years)6.56.0
Risk-free interest rate4.1 %4.2 %
Dividend yield2.3 %3.0 %
Fair value per stock option$$
The expected volatility assumption required in the Black-Scholes model was calculated principally based on our historical volatility, and to a lesser extent, on implied volatility from options trading on our stock. The historical volatility was calculated over a period of time commensurate with the expected term of the options being valued. There were no options granted for the year ended December 31, 2024.
The following table summarizes stock option activity for the year ended December 31, 2025 and the outstanding stock options as of December 31, 2025.
(options and aggregate intrinsic values in thousands)OptionsWeighted-
average
exercise
price
Weighted-
average
remaining
contractual
term
(in years)
Aggregate
intrinsic
value
Outstanding as of January 1, 2025
17,381 $60.15 
Granted1,251 $31.25 
Exercised— $— 
Forfeited(771)$41.84 
Expired(4,106)$54.86 
Outstanding as of December 31, 202513,755 $60.12 3.95$— 
Vested or expected to vest as of December 31, 202513,663 $60.33 3.90$— 
Exercisable as of December 31, 202511,932 $64.09 3.32$— 
The aggregate intrinsic value in the table above represents the difference between the exercise price and our closing stock price on the last trading day of the year. There were no options exercised in 2025. The total intrinsic value of options exercised in 2024 and 2023 was $1 million and $5 million, respectively.
As of December 31, 2025, $10 million of unrecognized compensation cost related to stock options is expected to be recognized as expense over a weighted-average period of approximately 2.0 years.
RSUs
RSUs are granted to employees and non-employee directors. RSUs granted to employees generally vest in one-third increments over a three-year period. RSUs granted to non-employee directors generally vest immediately on the grant date and are issued with a six-month claw-back provision. The grant-date fair value, adjusted for estimated forfeitures, is recognized as expense on a straight-line basis over the substantive vesting period. The fair value of RSUs is determined based on the number of shares granted and the closing price of our common stock on the date of grant.
The following table summarizes nonvested RSU activity for the year ended December 31, 2025.
(share units in thousands)Share unitsWeighted-
average
grant-date
fair value
Nonvested RSUs as of January 1, 2025
6,940 $43.94 
Granted4,198 $32.63 
Vested(2,867)$46.08 
Forfeited(2,132)$41.35 
Nonvested RSUs as of December 31, 20256,139 $36.12 
As of December 31, 2025, $135 million of unrecognized compensation cost related to RSUs is expected to be recognized as expense over a weighted-average period of approximately 1.8 years. The weighted-average grant-date fair value of RSUs granted in 2025, 2024 and 2023 was $32.63, $42.37 and $39.20, respectively. The fair value of RSUs vested in 2025, 2024 and 2023 was $69 million, $46 million and $25 million, respectively.
PSUs
Our annual equity awards stock compensation program for senior management includes the issuance of PSUs. PSUs awarded in 2025 were based on our compound annual sales growth rate (CAGR) performance and our adjusted return on invested capital (ROIC) and are modified by a multiplicative modifier based on our stock performance relative to our peer group over the 3-year performance period. PSUs awarded in 2024 (which grants were made solely to our former CEO and to our current Chief Financial Officer) were based on our stock performance relative to our peer group over the 3-year performance period. PSUs awarded in 2021 through 2023 were based on our CAGR performance, our ROIC performance and on our stock performance relative to our peer group. The vesting condition for these CAGR and ROIC PSUs was set at the beginning of the 3-year performance period. Compensation cost for the CAGR and adjusted ROIC PSUs is measured based on the fair value of the awards on the date that the specific vesting terms for each award are established and the fair value of the awards is determined based on the quoted price of our stock on the grant date of the award. The compensation cost for CAGR and adjusted ROIC PSUs is adjusted at each reporting date to reflect the estimated vesting outcome.
The fair value for PSUs based on our CAGR and ROIC and awarded in 2025 is modified by a multiplicative modifier based on our stock performance relative to our peer group and the fair value of other PSUs based on our stock performance relative to our peer group (including those awarded in 2021, 2022, 2023 or 2024) is determined using a Monte Carlo model. The assumptions used in estimating the fair value of these PSUs granted during the period, along with the grant-date fair values, were as follows:
years ended December 31202520242023
Baxter volatility31 %29 %27 %
Peer group volatility
19%-53%
20%-52%
23%-54%
Correlation of returns
0.06-0.47
0.12-0.51
0.23-0.48
Risk-free interest rate3.9 %4.3 %4.6 %
Fair value per PSU$39 $57 $30 
The following table summarizes nonvested PSU activity for the year ended December 31, 2025.
(share units in thousands)Share unitsWeighted-
average
grant-date
fair value
Nonvested PSUs as of January 1, 2025
602 $42.36 
Granted1,012 $31.72 
Vested— $— 
Forfeited(350)$35.59 
Nonvested PSUs as of December 31, 20251,264 $35.97 
Unrecognized compensation cost related to all unvested PSUs of $24 million at December 31, 2025 is expected to be recognized as expense over a weighted-average period of 1.9 years.
Employee Stock Purchase Plan
Nearly all employees are eligible to participate in our employee stock purchase plan. The employee purchase price is 85% of the closing market price on the purchase date.
As of December 31, 2025, approximately six million shares of common stock were available for issuance to eligible participants.
During the year ended December 31, 2025, we issued approximately 1.3 million shares and during each of the years ended December 31, 2024 and 2023, we issued approximately 1.4 million shares under the employee stock purchase plan.
Cash Dividends
Total cash dividends declared per share for 2025, 2024, and 2023 were $0.52, $1.04 and $1.16, respectively.
A quarterly dividend of $0.17 per share ($0.68 on an annualized basis) was declared in February, May and July of 2025 and was paid in April, July and October of 2025, respectively. Our Board of Directors declared a quarterly dividend of $0.01 per share in November of 2025, which was paid in January of 2026.
Stock Repurchase Programs
As authorized by the Board of Directors, we repurchase our stock depending on our cash flows, net debt level and market conditions. In July 2012, the Board of Directors authorized a share repurchase program and the related authorization was subsequently increased a number of times. We did not repurchase any shares under this authority in 2025 or 2024. We had $1.30 billion of repurchase authority available as of December 31, 2025.  
Other
In addition to common stock, our authorized capital structure includes 100 million shares of preferred stock, no par value. As of December 31, 2025 and 2024, no shares of preferred stock were outstanding.
v3.25.4
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
Comprehensive income (loss) represents net earnings plus items that are recorded directly to shareholders' equity, such as CTA, certain gains and losses from pension and other postretirement employee benefit (OPEB) plans, certain gains and losses from hedging activities and unrealized gains and losses on available-for-sale debt securities.
The following table is a net-of-tax summary of the changes in AOCI by component for the years ended December 31, 2025, 2024, and 2023.
(in millions)CTAPension and OPEB plansHedging
activities
Available-for-sale debt securitiesTotal
Gains (losses)
Balance as of December 31, 2024$(3,430)$(475)$(108)$$(4,010)
Other comprehensive income (loss) before reclassifications171 (19)(2)— 150 
Amounts reclassified from AOCI (a)126 (20)— — 106 
Net other comprehensive income (loss)297 (39)(2)— 256 
Balance as of December 31, 2025$(3,133)$(514)$(110)$$(3,754)
(in millions)CTAPension and OPEB plansHedging
activities
Available-for-sale debt securitiesTotal
Gains (losses)
Balance as of December 31, 2023$(2,985)$(452)$(120)$$(3,554)
Other comprehensive income (loss) before reclassifications(445)(19)10 — (454)
Amounts reclassified from AOCI (a)— (4)— (2)
Net other comprehensive income (loss)(445)(23)12 — (456)
Balance as of December 31, 2024$(3,430)$(475)$(108)$$(4,010)
(in millions)CTAPension and OPEB plansHedging
activities
Available-for-sale debt securitiesTotal
Gains (losses)
Balance as of December 31, 2022$(3,386)$(331)$(119)$$(3,833)
Other comprehensive income (loss) before reclassifications216 (106)— 115 
Amounts reclassified from AOCI (a)185 (15)(6)— 164 
Net other comprehensive income (loss)401 (121)(1)— 279 
Balance as of December 31, 2023$(2,985)$(452)$(120)$$(3,554)
(a)    See table below for details about these reclassifications.
The following table is a summary of the amounts reclassified from AOCI to net income (loss) during the years ended December 31, 2025, 2024 and 2023.
Amounts reclassified from
AOCI (a)
(in millions)202520242023Location of impact
in income statement
CTA
Reclassification of cumulative translation loss to earnings from Kidney Care separation$(126)$— $— Income (loss) from discontinued operations, net of tax
Reclassification of cumulative translation loss to earnings from BPS divestiture— — (185)Income (loss) from discontinued operations, net of tax
(126)— (185)Total before tax
Less: Tax effect— — — Income tax expense (benefit)
$(126)$— $(185)Net of tax
Pension and OPEB items
Amortization of net losses and prior service costs or credits$11 $$18 Other (income) expense, net
Settlement charges— — (2)Other (income) expense, net
Pension settlement from Kidney Care separation14 — — Income (loss) from discontinued operations, net of tax
Pension settlement from BPS divestiture— — Income (loss) from discontinued operations, net of tax
25 20 Total before tax
Less: Tax effect(2)(2)(5)Income tax expense (benefit)
Less: Tax effect on pension settlement from Kidney Care separation(3)— — Income tax expense (benefit)
$20 $$15 Net of tax
Gains (losses) on hedging activities 
Foreign exchange contracts$$$16 Cost of sales
Interest rate contracts(6)(6)(6)Interest expense, net
Fair value hedges— (5)(3)Other (income) expense, net
— (3)Total before tax
Less: Tax effect— (1)Income tax expense (benefit)
$— $(2)$Net of tax
Total reclassifications for the period$(106)$$(164)Total net of tax
(a)Amounts in parentheses indicate reductions to net income.
Refer to Note 12 for additional information regarding the amortization of pension and OPEB items and Note 15 for additional information regarding hedging activity.
v3.25.4
REVENUES
12 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
REVENUES
REVENUES
Contract Balances
The timing of revenue recognition, billings and cash collections results in the recognition of trade accounts receivable, unbilled receivables, contract assets, and customer advances and deposits (contract liabilities) on our consolidated balance sheets. Net trade accounts receivable was $1.70 billion and 1.54 billion as of December 31, 2025 and 2024, respectively.
For contract manufacturing arrangements, revenue is primarily recognized throughout the production cycle, which typically lasts up to 90 days, resulting in the recognition of contract assets until the related services are completed and the customers are billed. Additionally, for certain arrangements containing a performance obligation to deliver software that can be used with medical devices, we recognize revenue upon delivery of the software, which results in the recognition of contract assets when customers are billed over time, generally over one to five years. For bundled contracts involving equipment delivered up-front and consumable medical products to be delivered over time, total contract revenue is allocated between the equipment and consumable medical products. In certain of those arrangements, a contract asset is created for the difference between the amount of equipment revenue recognized upon delivery and the amount of consideration initially receivable from the customer. In those arrangements, the contract asset becomes a trade account receivable as consumable medical products are provided and billed, generally over one to seven years.
The following table summarizes our contract assets:
as of December 31 (in millions)20252024
Contract manufacturing services$$
Software sales34 44 
Bundled equipment and consumable medical products contracts110 87 
Contract assets$147 $133 
Contract liabilities represent deferred revenues that arise as a result of cash received from customers or where the timing of billing for services precedes satisfaction of our performance obligations. Such remaining performance obligations represent the portion of the contract price for which work has not been performed and are primarily related to our installation and service contracts. We expect to satisfy the majority of the remaining performance
obligations and recognize revenue related to installation and service contracts within the next 12 months with most of the non-current performance obligations satisfied within 24 months.
The following table summarizes contract liability activity for the years ended December 31, 2025 and 2024. The contract liability balance represents the transaction price allocated to the remaining performance obligations.
year ended December 31 (in millions)20252024
Balance at beginning of period$171 $169 
New revenue deferrals605 554 
Revenue recognized upon satisfaction of performance obligations(601)(555)
Currency translation
Balance at end of period$177 $171 
In 2025 and 2024, $115 million and $103 million of revenue was recognized that was included in contract liabilities as of December 31, 2024 and 2023, respectively. In 2023, $117 million of revenue was recognized that was included in contract liabilities as of December 31, 2022.
The following table summarizes the classification of contract assets and contract liabilities as reported in the consolidated balance sheet:
as of December 31 (in millions)20252024
Prepaid expenses and other current assets$71 $51 
Other non-current assets76 82 
Contract assets$147 $133 
Accrued expenses and other current liabilities$141 $131 
Other non-current liabilities36 40 
Contract liabilities$177 $171 
Disaggregation of Net Sales
Refer to Note 17 for additional information on our net sales including the disaggregation of net sales within each of our segments and net sales by geographic location.
v3.25.4
BUSINESS OPTIMIZATION CHARGES
12 Months Ended
Dec. 31, 2025
Restructuring and Related Activities [Abstract]  
BUSINESS OPTIMIZATION CHARGES
BUSINESS OPTIMIZATION CHARGES
We are continuing to undertake actions to transform our cost structure and enhance operational efficiency. In recent years, these efforts have included restructuring the organization into verticalized segments, optimizing the manufacturing footprint, R&D operations and supply chain network, employing disciplined cost management and centralizing and streamlining certain support functions, some of which are still ongoing. We currently expect to incur additional pre-tax cash costs, primarily related to the implementation of business optimization programs, of approximately $2 million through the completion of initiatives that are currently underway. We continue to pursue cost savings initiatives, including those intended to mitigate a portion of the dis-synergies that arose as a result of the sale of our Kidney Care business, and we expect to incur additional restructuring charges and costs in future periods to implement business optimization programs. For segment reporting, business optimization charges are unallocated expenses.
We recorded the following charges related to business optimization programs in 2025, 2024 and 2023:
years ended December 31 (in millions)202520242023
Restructuring charges$162 $146 $141 
Costs to implement business optimization programs1
16 16 33 
Total business optimization charges$178 $162 $174 
1 Costs to implement business optimization programs for the years ended December 31, 2025, 2024 and 2023, respectively, consisted primarily of external consulting and transition costs, including employee compensation and related costs. The costs were primarily included within cost of sales and SG&A expenses.
The costs of restructuring actions consisted primarily of employee termination costs, contract termination costs and asset impairments. During the years ended December 31, 2025, 2024 and 2023, we recorded the following restructuring charges:
2025
(in millions)COGSSG&AR&DTotal
Employee termination costs$36 $62 $11 $109 
Contract termination and other costs11 — 15 
Asset impairments19 19 — 38 
Total restructuring charges$66 $85 $11 $162 
2024
(in millions)COGSSG&AR&DTotal
Employee termination costs$20 $48 $30 $98 
Contract termination and other costs— 
Asset impairments39 — — 39 
Total restructuring charges$62 $54 $30 $146 
2023
(in millions)COGSSG&AR&DTotal
Employee termination costs$20 $91 $10 $121 
Contract termination and other costs(1)— 
Asset impairments11 — 18 
Total restructuring charges$30 $101 $10 $141 
For the year ended December 31, 2025, $100 million of the restructuring charges reflected in the table above, consisting of employee termination costs, were related to initiatives to reduce our cost structure following the sale of our Kidney Care segment. For the year ended December 31, 2025, $28 million of the restructuring charges reflected in the table above, consisting of $14 million of asset impairment charges, $9 million of contract termination and other costs, and $5 million of employee termination costs, were related to the exit of a product line at one of our manufacturing facilities.
For the year ended December 31, 2024, $45 million of the restructuring charges reflected in the table above, consisting of employee termination costs, were related to initiatives to reduce our cost structure following the sale of our Kidney Care segment. For the year ended December 31, 2024, $46 million of the restructuring charges reflected in the table above were related to business optimization initiatives within our Healthcare Systems & Technologies segment. These charges included $21 million of long-lived asset impairment charges, $9 million of other asset write-downs related to inventory and $2 million of employee termination costs related to our decision to discontinue a product line. Additionally, these charges included $14 million of employee termination costs related to other business optimization initiatives within this segment.
For the year ended December 31, 2023, $81 million of the restructuring charges reflected in the table above, consisting of employee termination costs, were related to the implementation of our new operating model intended to streamline our operations.
The following table summarizes activity in the liability related to our restructuring initiatives.
(in millions)
Liability balance as of December 31, 2022$86 
Charges146 
Payments (101)
Reserve adjustments(23)
Currency translation(13)
Liability balance as of December 31, 202395 
Charges116 
Payments(80)
Reserve adjustments(9)
Liability balance as of December 31, 2024122 
Charges137 
Payments(118)
Reserve adjustments(13)
Currency translation
Liability balance as of December 31, 2025$133 
Reserve adjustments primarily relate to employee termination cost reserves established in prior periods.
Substantially all of our restructuring liabilities as of December 31, 2025 relate to employee termination costs, with the remaining liabilities attributable to contract termination costs. Substantially all of the cash payments for those liabilities are expected to be disbursed by the end of 2026.
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS
12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS
We sponsor a number of qualified and nonqualified pension plans for eligible employees. We also sponsor certain unfunded contributory healthcare and life insurance benefits for substantially all domestic retired employees. Newly hired employees in the United States and Puerto Rico are not eligible to participate in the pension plans but receive a higher level of company contributions in our defined contribution plans.
Reconciliation of Pension and Other Postretirement Benefit Plan Obligations, Assets and Funded Status
The benefit plan information in the table below pertains to all of our pension and OPEB plans, both in the United States and in other countries.    
Pension benefitsOPEB
as of and for the years ended December 31 (in millions)2025202420252024
Benefit obligations
Beginning of period$2,748 $2,901 $141 $154 
Service cost13 11 — — 
Interest cost136 136 
Participant contributions— — 
Actuarial (gain) loss81 (129)(3)
Benefit payments(148)(133)(15)(15)
Settlements(5)(8)— — 
Curtailment(2)— — — 
Plan Amendments— — — (2)
Foreign exchange and other34 (33)— (1)
End of period2,859 2,748 139 141 
Fair value of plan assets
Beginning of period2,228 2,350 — — 
Actual return on plan assets221 (4)— — 
Employer contributions56 46 15 15 
Participant contributions— — 
Benefit payments(148)(133)(15)(15)
Settlements(5)(8)— — 
Foreign exchange and other34 (26)— — 
End of period2,388 2,228 — — 
Funded status at December 31$(471)$(520)$(139)$(141)
Amounts recognized in the consolidated balance sheets
Noncurrent asset$66 $56 $— $— 
Current liability(24)(23)(15)(16)
Noncurrent liability(513)(553)(124)(125)
Net liability recognized at December 31$(471)$(520)$(139)$(141)
Actuarial gains and losses result from changes in actuarial assumptions (such as changes in the discount rate and revised mortality rates). Actuarial losses in 2025 and gains in 2024 related to plan benefit obligations were primarily the result of changes in discount rates.
The pension obligation information in the table above represents the projected benefit obligation (PBO). The PBO incorporates assumptions relating to future compensation levels. The accumulated benefit obligation (ABO) is the same as the PBO except that it includes no assumptions relating to future compensation levels. The ABO for all of our pension plans was $2.83 billion and $2.71 billion at the 2025 and 2024 measurement dates, respectively.
The information in the funded status table above represents the totals for all of our pension plans. The following table is information relating to the individual plans in the funded status table above that have an ABO in excess of plan assets.
as of December 31 (in millions)20252024
ABO$2,508 $2,403 
Fair value of plan assets$1,982 $1,843 
The following table presents information relating to the individual plans in the funded status table above that have a PBO in excess of plan assets (many of which also have an ABO in excess of assets and are therefore also included in the table directly above).
as of December 31 (in millions)20252024
PBO$2,519 $2,419 
Fair value of plan assets$1,982 $1,843 
Expected Net Pension and OPEB Plan Payments for the Next 10 Years
(in millions)Pension benefitsOPEB
2026$172 $15 
2027179 15 
2028186 14 
2029190 13 
2030195 13 
2031 through 20351,009 53 
Total expected net benefit payments for next 10 years$1,931 $123 
The expected net benefit payments above reflect the total net benefits expected to be paid from the plans’ assets (for funded plans) or from our assets (for unfunded plans). The federal subsidies relating to the Medicare Prescription Drug, Improvement and Modernization Act are not expected to be significant.
Amounts Recognized in AOCI
The pension and OPEB plans’ gains or losses, prior service costs or credits, and transition assets or obligations not yet recognized in net periodic benefit cost are recognized on a net-of-tax basis in AOCI and will be amortized from AOCI to net periodic benefit cost in the future. For active employees, we utilize the average future working lifetime as the amortization period for prior service. For inactive employees, we utilize the average remaining life expectancy as the amortization period for prior service.
The following table is a summary of the pre-tax losses (gains) included in AOCI at December 31, 2025 and 2024.
(in millions)Pension benefitsOPEB
Actuarial loss (gain)$680 $(27)
Prior service credit and transition obligation(2)
Total pre-tax loss (gain) recognized in AOCI at December 31, 2025$689 $(29)
Actuarial loss (gain)$642 $(42)
Prior service credit and transition obligation11 (10)
Total pre-tax loss (gain) recognized in AOCI at December 31, 2024$653 $(52)
Refer to Note 9 for the net-of-tax balances included in AOCI as of each of the year-end dates. The following table is a summary of the net-of-tax amounts recorded in OCI relating to pension and OPEB plans.
Year ended December 31 (in millions)202520242023
Gain (loss) arising during the year, net of tax of $(14) in 2025, $(6) in 2024 and $31 in 2023
$(20)$(15)$(103)
Amortization of gain (loss) to earnings, net of tax of $(3) in 2025, zero in 2024 and $(5) in 2023
(8)(4)13 
Settlement charges, net of tax of zero in 2025 and 2024 and $(1) 2023
— — (2)
Pension and other employee benefits$(28)$(19)$(92)
In 2025, 2024 and 2023, OCI activity for pension and OPEB plans was primarily related to actuarial gains and losses.
Net Periodic Benefit Cost
Year ended December 31 (in millions)202520242023
Pension benefits
Service cost$13 $11 $19 
Interest cost136 136 148 
Expected return on plan assets(176)(179)(187)
Amortization of net losses and other deferred amounts15 
Curtailment gain(1)— — 
Settlement charges— — 
Other— — 
Net periodic pension benefit cost$(22)$(17)$(12)
OPEB
Interest cost$$$
Amortization of net losses and prior service credit(17)(19)(24)
Curtailment gain— — (1)
Net periodic OPEB cost$(10)$(11)$(17)
Weighted-Average Assumptions Used in Determining Benefit Obligations at the Measurement Date
Pension benefitsOPEB
2025202420252024
Discount rate
U.S. and Puerto Rico plans5.46 %5.71 %5.13 %5.54 %
International plans3.90 %3.67 %n/an/a
Rate of compensation increase
U.S. and Puerto Rico plans4.00 %3.00 %n/an/a
International plans2.96 %3.07 %n/an/a
Annual rate of increase in the per-capita costn/an/a6.50 %6.75 %
Rate decreased ton/an/a5.00 %5.00 %
by the year endedn/an/a20322032
The assumptions above, which were used in calculating the December 31, 2025 measurement date benefit obligations, will be used in the calculation of net periodic benefit cost in 2026.
Weighted-Average Assumptions Used in Determining Net Periodic Benefit Cost
Pension benefitsOPEB
202520242023202520242023
Discount rate
U.S. and Puerto Rico plans5.71 %5.20 %5.55 %5.54 %5.11 %5.46 %
International plans3.67 %3.41 %4.11 %n/an/an/a
Expected return on plan assets
U.S. and Puerto Rico plans6.65 %6.65 %6.43 %n/an/an/a
International plans5.21 %4.86 %4.93 %n/an/an/a
Rate of compensation increase
U.S. and Puerto Rico plans3.00 %2.60 %2.93 %n/an/an/a
International plans3.06 %3.32 %3.43 %n/an/an/a
Annual rate of increase in the per-capita costn/an/an/a6.50 %6.75 %6.25 %
Rate decreased ton/an/an/a5.00 %5.00 %5.00 %
by the year endedn/an/an/a203220322029
We established the expected return on plan assets assumption primarily based on a review of historical compound average asset returns, both company-specific and relating to the broad market (based on our asset allocation), as well as an analysis of current market and economic information and future expectations. We plan to use a 7.25% assumption for our U.S. and Puerto Rico plans for 2026.
Pension Plan Assets
An investment committee of members of senior management is responsible for supervising, monitoring and evaluating the invested assets of our funded pension plans. The investment committee, which meets at least quarterly, abides by documented policies and procedures relating to investment goals, targeted asset allocations, risk management practices, allowable and prohibited investment holdings, diversification, use of derivatives, the relationship between plan assets and benefit obligations, and other relevant factors and considerations. The investment committee utilizes an Outsourced Chief Investment Officer model where investment decisions are outsourced to investment consultants, for our U.S. and Puerto Rico Plans, who in turn become co-fiduciaries with the investment committee.
Plan assets are invested using a total return investment approach whereby a mix of equity securities, debt securities and other investments are used to preserve asset values, diversify risk and exceed the planned benchmark investment return. Investment strategies and asset allocations are based on consideration of plan liabilities, the plans’ funded status and other factors, such as the plans’ demographics and liability durations. Investment performance is reviewed by the investment committee on a quarterly basis and asset allocations are reviewed on a periodic basis.
Plan assets are managed in a balanced portfolio comprised of two major components: return-seeking investments and liability hedging investments. The target allocations for plan assets are 50% in return-seeking investments and 50% in liability hedging investments and other holdings. The documented policy includes an allocation range based on each individual investment type within the major components that allows for a variance from the target allocations depending on the investment type. Return-seeking investments primarily include common stock of U.S. and international companies, common/collective trust funds, mutual funds, hedge funds, and partnership investments. Liability hedging investments and other holdings primarily include cash, money market funds with an original maturity of three months or less, U.S. and foreign government and governmental agency issues, corporate bonds, municipal securities, derivative contracts and asset-backed securities.
While the investment committee provides oversight over plan assets for U.S. and international plans, the summary above is specific to the plans in the United States. The plan assets for international plans are managed and allocated by the entities in each country, with input and oversight provided by the investment committee. The plan assets for the U.S. and international plans are included in the table below.
The following tables summarize our pension plan financial instruments that are measured at fair value on a recurring basis.
Basis of fair value measurement
(in millions)Balance at December 31, 2025Quoted prices
in active
markets for
identical assets
(Level 1)
Significant
other
observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
Measured at NAV (a)
Assets
Cash$60 
Fixed income securities
Cash equivalents$181 $— $181 $— $— 
U.S. government and government agency issues245 — 245 — — 
Corporate bonds398 — 398 — — 
Equity securities
Mutual funds743 222 521 — 
Common/collective trust funds335 — 38 — 297 
Partnership investments204 — — — 204 
Other holdings222 85 132 — 
Fair value of pension plan assets$2,388 $227 $1,468 $132 $501 
(a) Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
Basis of fair value measurement
(in millions)Balance at December 31, 2024Quoted prices
in active
markets for
identical assets
(Level 1)
Significant
other
observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
Measured at NAV (a)
Assets
Cash$52 
Fixed income securities
Cash equivalents$179 $— $179 $— $— 
U.S. government and government agency issues135 — 135 — — 
Corporate bonds357 — 357 — — 
Equity securities
Common stock353 353 — — — 
Mutual funds199 199 — — 
Common/collective trust funds540 — — — 540 
Partnership investments198 — — — 198 
Other holdings215 79 127 — 
Fair value of pension plan assets$2,228 $561 $750 $127 $738 
(a) Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
The following table is a reconciliation of changes in fair value measurements that used significant unobservable inputs (Level 3).
(in millions)Other
holdings
Balance at December 31, 2023$155 
Unrealized gains (losses)(24)
Sales(7)
Purchases
Balance at December 31, 2024127 
Unrealized gains (losses)10 
Sales(7)
Purchases
Balance at December 31, 2025$132 

The assets and liabilities of our pension plans are valued using the following valuation methods:
Investment categoryValuation methodology
Cash equivalentsThese largely consist of a short-term investment fund, U.S. dollars and foreign currencies. The fair value of the short-term investment fund is based on the net asset value.
U.S. government and government agency issuesValues are based on reputable pricing vendors, who typically use pricing matrices or models that use observable inputs.
Corporate bondsValues are based on reputable pricing vendors, who typically use pricing matrices or models that use observable inputs.
Mutual fundsValues are based on the net asset value of the units held in the respective fund which are obtained from national and international exchanges or based on the net asset value of the underlying assets of the fund provided by the fund manager.
Common/collective trust fundsValues are based on the net asset value of the units held at year end.
Partnership investmentsValues are based on the net asset value of the participation by us in the investment as determined by the general partner or investment manager of the respective partnership.
Other holdingsOther holdings includes assets valued by pricing vendors using pricing matrices or models that use observable inputs and an insurance contract held by our pension plan in the United Kingdom, which is measured using a discounted cash flow model. In addition to observable market inputs such as interest rates, the fair value measurement of the insurance contract also reflects unobservable inputs, such as qualitative judgments about pricing of similar contracts in the insurance market.
Expected Pension and OPEB Plan Funding
Our funding policy for our pension plans is to contribute amounts sufficient to meet legal funding requirements, plus any additional amounts that we may determine to be appropriate considering the funded status of the plans, tax deductibility, the cash flows generated by us, and other factors. Volatility in the global financial markets could have an unfavorable impact on future funding requirements. In 2026, we have no obligation to fund our principal plans in the United States, but we regularly reassess the amount and timing of any discretionary contributions. Conversely, we do expect to make contributions of at least $10 million to our Puerto Rico plan and $5 million to our foreign pension plans in 2026. Additionally, we expect to have net cash outflows relating to our OPEB plans of approximately $15 million in 2026.
The following table details the funded status percentage of our pension plans as of December 31, 2025, including certain plans that are unfunded in accordance with the guidelines of our funding policy outlined above.
United States and Puerto RicoInternational
as of December 31, 2025 (in millions)Qualified
plans
Nonqualified
plan
Funded
plans
Unfunded
plans
Total
Fair value of plan assets$1,890 $ n/a$498 $ n/a$2,388 
PBO2,117 185 537 20 2,859 
Funded status percentage89 %n/a93 %n/a84 %
U.S. Defined Contribution Plan
Most U.S. employees are eligible to participate in a qualified defined contribution plan. We recognized expense of $102 million in 2025, $119 million in 2024 and $116 million in 2023 related to contributions to this plan.
v3.25.4
INCOME TAXES
12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
INCOME TAXES
INCOME TAXES
Income (Loss) Before Income Tax Expense (Benefit) by Category
years ended December 31 (in millions)202520242023
United States$(1,345)$(1,499)$(1,057)
Foreign840 1,210 1,299 
Income (loss) from continuing operations before income taxes$(505)$(289)$242 
Income Tax Expense (Benefit)
years ended December 31 (in millions)202520242023
Current
United States
Federal$118 $19 $
State and local29 21 
Foreign171 259 307 
Current income tax expense (benefit)318 299 317 
Deferred
United States
Federal(34)(197)(123)
State and local37 (21)(25)
Foreign74 (44)(108)
Deferred income tax expense (benefit)77 (262)(256)
Income tax expense (benefit)$395 $37 $61 
On July 4, 2025, the United States enacted the One Big Beautiful Bill Act (OBBBA), which includes significant tax provisions, including extensions of key provisions from the 2017 Tax Cuts and Jobs Act and modifications to the U.S. international tax framework. The legislation has multiple effective dates, with certain provisions effective in 2025 and others to be implemented through 2027. The impact of the OBBBA legislation on our income tax expense for the year ending December 31, 2025 was not material. We will continue to monitor regulatory guidance and interpretations as they are issued.
Deferred Tax Assets and Liabilities
as of December 31 (in millions)20252024
Deferred tax assets
Accrued liabilities and other$403 $310 
Pension and other postretirement benefits124 131 
Tax credit and net operating loss carryforwards433 750 
Swiss tax reform net asset basis step-up103 92 
Operating lease liabilities66 139 
Valuation allowances(543)(536)
Total deferred tax assets586 886 
Deferred tax liabilities
Unremitted earnings of subsidiaries33 21 
Long-lived assets and other536 632 
Operating lease right-of-use assets62 132 
Total deferred tax liabilities631 785 
Net deferred tax asset (liability)$(45)$101 
At December 31, 2025, we had U.S. state operating loss carryforwards totaling $70 million, U.S. federal operating loss carryforwards totaling $9 million and tax credit carryforwards totaling $277 million, which includes a U.S. foreign tax credit carryforward of $235 million. The U.S. federal and state operating loss and tax credit carryforwards expire between 2026 and 2045, with $13 million of the operating loss carryforwards having no expiration date.
At December 31, 2025, with respect to our operations outside the U.S., we had operating loss carryforwards totaling $69 million and tax credit carryforwards totaling $16 million. The non-U.S. operating loss carryforwards expire between 2026 and 2044 with $47 million having no expiration date. All of the non-U.S. tax credit carryforwards have no expiration date.
Realization of the U.S. and foreign operating loss and tax credit carryforwards depends on generating sufficient future earnings. During 2025, because of a cumulative history of operating losses in the U.S., we recorded a valuation allowance against our U.S. deferred tax assets, including certain federal and state tax attributes such as foreign tax credits. Additionally, we recorded additional valuation allowance against deferred tax assets in Switzerland related to the tax basis step-up we received in connection with the 2019 Swiss tax reform. We also determined that certain tax losses in Malta would not be realizable due to legal entity restructuring activities and reduced our tax attributes and valuation allowance for the Malta losses accordingly.
The following table is a summary of changes in our deferred tax valuation allowance for the years ended December 31, 2025, 2024 and 2023.
years ended December 31 (in millions)202520242023
Balance at beginning of period$536 $584 $631 
Charged to income tax expense309 48 87 
Deductions(349)(73)(139)
Currency translation adjustments47 (23)
Balance at end of period$543 $536 $584 
Income Tax Expense (Benefit) Reconciliation
As discussed in Note 1, Summary of Significant Accounting Policies, we have elected to prospectively adopt the guidance in ASU 2023-09. The following table is a reconciliation of the income tax expense (benefit) at the U.S. statutory rate to our income tax expense (benefit) for the year ended December 31, 2025.
year ended December 31 (in millions)2025%
Income tax expense (benefit) at U.S. statutory rate$(106)21.0 %
State and local income taxes, net of federal (national) income tax effect1
62 (12.3)%
Foreign tax effects
Costa Rica
Local tax incentive rate(23)4.6 %
Other10 (2.0)%
Netherlands26 (5.1)%
Puerto Rico
Local tax incentive rate(19)3.8 %
Other(1.8)%
Switzerland
Changes in valuation allowances54 (10.7)%
Other(5)1.0 %
Other jurisdictions37 (7.3)%
Effect of cross-border tax laws
Global intangible low taxed income, net of tax credits18 (3.6)%
Effect of internal reorganization(56)11.1 %
Other(8)1.6 %
Tax credits
Foreign tax credits(24)4.8 %
Research and development tax credits(18)3.6 %
Changes in valuation allowances88 (17.4)%
Nontaxable or Non-deductible items
Non-deductible goodwill impairment90 (17.8)%
Other, net15 (3.0)%
Changes in unrecognized tax benefits246 (48.7)%
Other adjustments
Other, net(1)0.2 %
Income tax expense (benefit)$395 (78.2)%
1 State taxes in IL, IN, CA, and PA made up the majority (greater than 50 percent) of the tax effect in this category.
The following table is a reconciliation of the income tax expense (benefit) at the U.S. statutory rate to our income tax expense (benefit) for the years ended December 31, 2024 and 2023 in accordance with the guidance prior to the adoption of ASU 2023-09.
years ended December 31 (in millions)20242023
Income tax expense (benefit) at U.S. statutory rate$(61)$51 
Tax incentives(176)(200)
State and local taxes, net of federal benefit(9)(2)
Impact of foreign taxes137 190 
Non-deductible goodwill impairments86 — 
Notional interest deduction expense (benefit)(37)31 
Valuation allowances(25)(51)
Stock compensation (windfall) shortfall tax expense (benefit)10 
Research and development tax credits(19)(17)
Uncertain tax positions
Unutilized foreign tax credits15 32 
Subpart F income18 26 
Foreign tax credits(5)(7)
Pillar Two taxes11 — 
Revaluation of Swiss basis step-up deferred tax asset58 — 
Tax law changes on Section 98717 — 
Other, net(8)
Income tax expense (benefit)$37 $61 
Our effective income tax rate can differ from the 21% U.S. federal statutory rate due to a number of factors, including tax incentives, foreign rate differences, state income taxes, non-deductible expenses, non-taxable income, increases or decreases in valuation allowances and liabilities for uncertain tax positions, excess tax benefits or shortfalls on stock compensation awards, audit developments and legislative changes.
In 2025, the difference between our effective income tax rate and the U.S. federal statutory rate was primarily driven by an increase in liabilities for uncertain tax positions, an increase in the valuation allowance related to the realizability of our deferred tax assets, changes in the treatment of accumulated earnings that are considered indefinitely reinvested as of December 31, 2025 and a tax benefit driven by an entity classification election that we made for U.S. tax purposes, which resulted in a capital loss for the period.
In 2024, the difference between our effective income tax rate and the U.S. federal statutory rate was adversely impacted by a non-deductible impairment of goodwill and legislative changes under IRC Section 987 (which is the exchange gain or loss on foreign branch remittances in the U.S., effective in 2024), and a net revaluation of the Swiss basis step-up deferred tax asset and related valuation allowance that arose from Swiss tax reform legislation in 2019, partially offset by a favorable geographic earnings mix, a decrease in valuation allowance mainly related to U.S. foreign tax credit carryforward, and a tax benefit related to research and development tax credits.

In 2023, our effective income tax rate was impacted favorably by geographic earnings mix, a $50 million net tax benefit after related valuation allowances from notional interest deductions that are received by certain wholly-owned foreign subsidiaries that have financed their operations with equity capital and a $17 million tax benefit related to research and development tax credits, partially offset by tax shortfalls on stock compensation awards.
Certain of our unremitted foreign earnings are considered to be indefinitely reinvested. The determination of taxes that would be incurred upon the future remittance of such earnings is not practicable.
Our tax provisions for 2025, 2024 and 2023 do not include any significant tax charges related to either the Base Erosion and Anti-Abuse Tax (BEAT) or Global Intangible Low Taxed Income (GILTI) provisions, except for the inability to fully utilize foreign tax credits against such GILTI. Our accounting policy is to recognize any GILTI charge as a period cost.
Unrecognized Tax Benefits
We classify interest and penalties associated with income taxes in income tax expense (benefit) within the consolidated statements of income (loss). Net interest and penalties recognized were not significant during 2025, 2024 and 2023. The liability recognized related to interest and penalties was $15 million and $21 million as of December 31, 2025 and 2024, respectively. The total amount of gross unrecognized tax benefits that, if recognized, would impact the effective tax rate are $110 million, $51 million and $47 million as of December 31, 2025, 2024 and 2023, respectively.
The following table is a reconciliation of our unrecognized tax benefits for the years ended December 31, 2025, 2024 and 2023. 
as of and for the years ended (in millions)202520242023
Balance at beginning of the year$96 $89 $87 
Increase associated with tax positions taken during the current year10 
Increase (decrease) associated with tax positions taken during a prior year258 
Settlements— (1)(2)
Decrease associated with lapses in statutes of limitations(30)(7)(8)
Balance at end of the year$329 $96 $89 
Of the gross unrecognized tax benefits, $109 million and $39 million were recognized as liabilities in the consolidated balance sheets as of December 31, 2025 and 2024, respectively.
Tax Incentives
We have received tax incentives in Puerto Rico, Dominican Republic, Costa Rica, and Switzerland. The financial impact of the reductions as compared to the statutory tax rates is indicated in the income tax expense (benefit) reconciliation table above. The tax reductions as compared to the local statutory rate favorably impacted earnings (loss) by $57 million in 2025, $176 million in 2024, and $200 million in 2023, and favorably impacted earnings (loss) per diluted share by $0.11 in 2025, $0.34 in 2024 and $0.39 in 2023. The Switzerland incentive program expired at the end of 2024 and therefore did not provide any benefit in 2025, however did contribute to the benefits recognized in 2024 and 2023. The other tax incentives provide that our manufacturing operations are and will be partially exempt from local taxes with varying expirations from 2025 to 2034.
Examinations of Tax Returns
As of December 31, 2025, we had ongoing audits in the United States, Belgium, Germany, Italy and other jurisdictions. We are currently under examination by the Internal Revenue Service (IRS) for transfer pricing matters related to transactions with our manufacturing operations in Costa Rica and Puerto Rico for the 2019 and 2020 tax years. While we have not yet received a final Notice of Proposed Adjustment (NOPA) from the IRS, the examination is ongoing, and we are in the process of responding to inquiries from, and engaging in ongoing discussions with, the IRS related to certain intercompany transactions between our U.S. entities and these foreign manufacturers. As a result, we have recorded reserves for uncertain tax positions related to these transfer pricing matters for tax years 2019 through 2025. These reserves in aggregate are recorded to expense for approximately $280 million, exclusive of any potential penalties and interest. While we believe that our transfer pricing positions are well documented, properly supported, and adequate amounts have been reserved to account for any adjustments that may ultimately result from this examination, the ultimate outcome of this matter is uncertain (upon the receipt of a final NOPA or otherwise).
Tax years 2012 and forward remain open to examination by various foreign taxing authorities. While the final outcome of these matters is inherently uncertain, we believe we have made adequate tax provisions for all years subject to examination.
v3.25.4
EARNINGS (LOSS) PER SHARE
12 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
EARNINGS (LOSS) PER SHARE
EARNINGS (LOSS) PER SHARE
The numerator for both basic and diluted earnings (loss) per share (EPS) is net income (loss) attributable to Baxter stockholders. The denominator for basic EPS is the weighted-average number of shares outstanding during the period. The dilutive effect of outstanding stock options, RSUs and PSUs is reflected in the denominator for diluted EPS using the treasury stock method.
The following table is a reconciliation of net income (loss) attributable to Baxter stockholders.
years ended December 31(in millions)202520242023
Income (loss) from continuing operations$(900)$(326)$181 
Less: Net income attributable to noncontrolling interests included in continuing operations— — — 
Income (loss) from continuing operations attributable to Baxter stockholders(900)(326)181 
Income (loss) from discontinued operations(57)(312)2,482 
Less: Net income attributable to noncontrolling interests included in discontinued operations— 11 
Income (loss) from discontinued operations attributable to Baxter stockholders(57)(323)2,475 
Net income (loss) attributable to Baxter stockholders$(957)$(649)$2,656 
The following table is a reconciliation of basic shares to diluted shares.
years ended December 31(in millions)202520242023
Basic shares513 510 506 
Effect of dilutive securities— — 
Diluted shares513 510 508 
Basic and diluted shares are the same for the years ended December 31, 2025 and 2024 due to our loss from continuing operations attributable to Baxter stockholders. The effect of dilutive securities includes unexercised stock options, unvested RSUs and contingently issuable shares related to granted PSUs. The computation of diluted EPS excludes 22 million, 25 million, and 19 million equity awards in 2025, 2024 and 2023, respectively, because their inclusion would have had an anti-dilutive effect on diluted EPS. Refer to Note 8 for additional information regarding items impacting basic shares.
v3.25.4
DERIVATIVES AND HEDGING ACTIVITIES
12 Months Ended
Dec. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
DERIVATIVES AND HEDGING ACTIVITIES
DERIVATIVES AND HEDGING ACTIVITIES
Concentrations of Credit Risk
We invest excess cash in certificates of deposit or money market or other funds and diversify the concentration of cash among different financial institutions. With respect to financial instruments, where appropriate, we have diversified our selection of counterparties, and have arranged collateralization and master-netting agreements to minimize the risk of loss.
Global economic conditions and liquidity issues in certain countries have resulted, and may continue to result, in delays in the collection of receivables and credit losses. Global economic conditions, governmental actions and customer-specific factors may require us to re-evaluate the collectability of our receivables and we could potentially incur additional credit losses.
Foreign Currency and Interest Rate Risk Management
We operate on a global basis and are exposed to the risk that our earnings, cash flows and equity could be adversely impacted by fluctuations in foreign exchange and interest rates. Our hedging policy attempts to manage these risks to an acceptable level based on our judgment of the appropriate trade-off between risk, opportunity and costs.
We are primarily exposed to foreign exchange risk with respect to recognized assets and liabilities, forecasted transactions and net assets denominated in the Euro, British Pound, Chinese Renminbi, Swedish Krona, Polish Zloty, Swiss Franc, Australian Dollar, Turkish Lira, Singapore Dollar and Korean Wan. We manage our foreign currency exposures on a consolidated basis, which allows us to net exposures and take advantage of any natural offsets. In addition, we use derivative and nonderivative instruments to further reduce the net exposure to foreign exchange risk. Gains and losses on the hedging instruments offset losses and gains on the hedged transactions and reduce the earnings and equity volatility resulting from changes in foreign exchange rates. Financial market and currency volatility may limit our ability to cost-effectively hedge these exposures.
We are also exposed to the risk that our earnings and cash flows could be adversely impacted by fluctuations in interest rates. Our policy is to manage interest costs using the mix of fixed- and floating-rate debt that we believe is appropriate at that time. To manage this mix in a cost-efficient manner, we periodically enter into interest rate swaps in which we agree to exchange, at specified intervals, the difference between fixed and floating interest amounts calculated by reference to an agreed-upon notional amount.
We do not hold any instruments for trading purposes and none of our outstanding derivative instruments contain credit-risk-related contingent features.
Cash Flow Hedges
We may use options, including collars and purchased options, forwards and cross-currency swaps to hedge the foreign exchange risk to earnings relating to forecasted transactions and recognized assets and liabilities. We periodically use treasury rate locks to hedge the risk to earnings associated with movements in interest rates relating to anticipated issuances of debt.
There were no foreign exchange contracts designated as cash flow hedges outstanding as of December 31, 2025. The notional amounts of foreign exchange contracts designated as cash flow hedges were $99 million as of December 31, 2024. There were no outstanding interest rate contracts designated as cash flow hedges as of December 31, 2025 and 2024.
Fair Value Hedges
We periodically use interest rate swaps to convert a portion of our fixed-rate debt into variable-rate debt. These instruments hedge our earnings from changes in the fair value of debt due to fluctuations in the designated benchmark interest rate.
There were no outstanding interest rate contracts designated as fair value hedges as of December 31, 2025 and 2024.  
In October 2023, we entered into a foreign currency forward contract with a notional amount of $798 million and designated that derivative as a fair value hedge of our €750 million of 0.40% senior notes due May 2024. This forward contract matured in May 2024.
Net Investment Hedges
In May 2017, we issued €600 million of 1.3% senior notes due May 2025. We had designated these debt obligations as hedges of our net investment in our European operations and, as a result, mark to spot rate adjustments of the outstanding debt balances were previously recorded as a component of AOCI. In March 2025, we dedesignated this previously designated net investment hedge and concurrently entered into forward contracts to manage foreign exchange risk in earnings related to these outstanding debt balances. These forward contracts matured in May 2025.
In May 2019, we issued €750 million of 1.3% senior notes due May 2029. We have designated these debt obligations as hedges of our net investment in our European operations and, as a result, mark to spot rate adjustments of the outstanding debt balances are recorded as a component of AOCI.
In May 2019, we issued €750 million of 0.40% senior notes due May 2024, which we repaid in full on their maturity date. We had designated these debt obligations as hedges of our investment in our European operations and, as a result, mark to spot rate adjustments of the outstanding debt balances were previously recorded as a component of
AOCI. In October 2023, we dedesignated this previously designated net investment hedge and concurrently entered into a fair value hedging relationship as discussed in the “Fair Value Hedges” section above.
As of December 31, 2025, we had an accumulated pre-tax unrealized translation loss in AOCI of $3 million related to the Euro-denominated senior notes.
Dedesignations
If it is determined that a derivative or nonderivative hedging instrument is no longer highly effective as a hedge, we discontinue hedge accounting prospectively. Gains or losses relating to terminations of effective cash flow hedges generally continue to be deferred and are recognized consistent with the loss or income recognition of the underlying hedged transactions. However, if it is probable that hedged forecasted transactions will not occur, any gains or losses would be immediately reclassified from AOCI to earnings. There were no cash flow hedge dedesignations in 2025, 2024 or 2023 resulting from changes in our assessment of the probability that the hedged forecasted transactions would occur. The losses relating to these terminations continue to be deferred and are being recognized consistent with the underlying hedged item, interest expense on the issuance of debt.
If we terminate a fair value hedge, an amount equal to the cumulative fair value adjustment to the hedged item at the date of termination is amortized to earnings over the remaining term of the hedged item. There were no fair value hedges terminated in 2025, 2024 or 2023.
If we remove a net investment hedge designation, any gain or loss recognized in AOCI is not reclassified to earnings until we sell, liquidate, or deconsolidate the foreign investments that were being hedged. In both March 2025 and October 2023, we dedesignated one of our net investment hedges as discussed in the "Net Investment Hedges" section above. There were no net investment hedges terminated in 2024.
Undesignated Derivative Instruments
We use forward contracts to hedge earnings from the effects of foreign exchange relating to certain of our intra-company and third-party receivables and payables denominated in a foreign currency. These derivative instruments are generally not formally designated as hedges and the terms of these instruments generally do not exceed one month.
In March 2025, as discussed in the "Net Investment Hedges" section above, we entered into forward contracts with a notional amount of $655 million to hedge the repayment of our Euro-denominated senior notes due May 2025. These forward contracts matured in May 2025. The total notional amount of undesignated derivative instruments was $323 million and $389 million as of December 31, 2025 and 2024, respectively.
Gains and Losses on Hedging Instruments and Undesignated Derivative Instruments
The following tables summarize the gains and losses on our hedging instruments and the classification of those gains and losses within our consolidated financial statements for the years ended December 31, 2025, 2024 and 2023.
(in millions)Gain (loss)
recognized in OCI
Location of gain
(loss) in
income statement
Gain (loss) reclassified from
AOCI into income
202520242023202520242023
Cash flow hedges
Interest rate contracts$— $— $— Interest expense, net$(6)$(6)$(6)
Foreign exchange contracts(1)17 15 Cost of sales15 
Fair value hedges
Foreign exchange contracts— (3)(4)Other (income) expense, net— (5)(3)
Net investment hedges(127)87 (58)Other (income) expense, net— — — 
Total$(128)$101 $(47)$— $(3)$
Location of gain (loss) in
income statement
Gain (loss) recognized
in income
(in millions)202520242023
Fair value hedges
Foreign exchange contractsOther (income) expense, net$— $(24)$38 
Undesignated derivative instruments
Foreign exchange contractsOther (income) expense, net30 (13)
Total$30 $(37)$40 
The following table summarizes net-of-tax activity in AOCI, a component of stockholders’ equity, related to our cash flow hedges.
as of and for the year ended December 31 (in millions)202520242023
Accumulated other comprehensive income (loss) balance at beginning of year$(108)$(120)$(119)
(Loss) gain in fair value of derivatives during the year(2)10 
Amount reclassified to earnings during the year— (6)
Accumulated other comprehensive income (loss) balance at end of year$(110)$(108)$(120)
As of December 31, 2025, $4 million of deferred, net after-tax losses on derivative instruments included in AOCI are expected to be recognized in earnings during the next 12 months, coinciding with when the hedged items are expected to impact earnings.
Derivative Assets and Liabilities
The following table summarizes the classification and fair values of derivative instruments reported in the consolidated balance sheet as of December 31, 2025.
Derivatives in liability positions
(in millions)Balance sheet locationFair value
Derivative instruments designated as hedges
Net investment hedgesLong-term debt and finance lease obligations, less current portion$834 
Undesignated derivative instruments
Foreign exchange contracts
Accrued expenses and other current liabilities
Total derivative instruments$835 
The following table summarizes the classification and fair values of derivative instruments reported in the consolidated balance sheet as of December 31, 2024.
Derivatives in asset positionsDerivatives in liability positions
(in millions)Balance sheet locationFair valueBalance sheet locationFair value
Derivative instruments designated as hedges
Foreign exchange contracts
Prepaid expenses and other current assets$Accrued expenses and other current liabilities$— 
Net investment hedgesCurrent maturities of long-term debt and finance lease obligations618 
Net investment hedgesLong-term debt and finance lease obligations, less current portion727 
Undesignated derivative instruments
Foreign exchange contracts
Prepaid expenses and other current assetsAccrued expenses and other current liabilities
Total derivative instruments$$1,347 
While some of our derivatives are subject to master netting arrangements, we present our assets and liabilities related to derivative instruments on a gross basis within the consolidated balance sheets. Additionally, we are not required to post collateral for any of our outstanding derivatives.
The following table provides information on our derivative positions as if they were presented on a net basis, allowing for the right of offset by counterparty.
December 31, 2025December 31, 2024
(in millions)AssetLiabilityAssetLiability
Gross amounts recognized in the consolidated balance sheets$— $$$
Gross amount subject to offset in master netting arrangements not offset in the consolidated balance sheets— — (1)(1)
Total$— $$$
The following table presents the amounts recorded on the consolidated balance sheets related to fair value hedges:
Carrying amount of hedged itemsCumulative amount of fair value hedging adjustment included in the carrying amount of the hedged items (a)
(in millions)Balance as of December 31, 2025Balance as of December 31, 2024Balance as of December 31, 2025Balance as of December 31, 2024
Long-term debt$99 $99 $$
(a) These fair value hedges were terminated in 2018 and earlier periods.
v3.25.4
FAIR VALUE MEASUREMENTS
12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS
The fair value hierarchy consists of the following three levels:
Level 1 — Quoted prices in active markets that we have the ability to access for identical assets or liabilities;
Level 2 — Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuations in which all significant inputs are observable in the market; and
Level 3 — Valuations using significant inputs that are unobservable in the market and include the use of judgment by management about the assumptions market participants would use in pricing the asset or liability.
The following tables summarize our assets and liabilities that are measured at fair value on a recurring basis.
Basis of fair value measurement
(in millions)Balance as of December 31,
2025
Quoted prices
in active
markets for
identical assets
(Level 1)
Significant
other
observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
Assets
Available-for-sale debt securities$$— $— $
Marketable equity securities 15 15 — — 
Total$16 $15 $— $
Liabilities
Foreign exchange contracts$$— $$— 
Contingent payments related to acquisitions— — 
Indemnifications related to Kidney Care separation1
53 — — 53 
Total$61 $— $$60 
1See Note 2 for additional information.
Basis of fair value measurement
(in millions)Balance as of December 31,
2024
Quoted prices
in active
markets for
identical assets
(Level 1)
Significant
other
observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
Assets
Foreign exchange contracts$$— $$— 
Available-for-sale debt securities— — 
Marketable equity securities13 13 — — 
Total$21 $13 $$
Liabilities
Foreign exchange contracts$$— $$— 
Contingent payments related to acquisitions12 — — 12 
Total$14 $— $$12 
As of December 31, 2025 and 2024, cash and cash equivalents of $1.97 billion and $1.76 billion, respectively, included money market and other short-term funds of approximately $832 million and $583 million, respectively, that are considered Level 2 in the fair value hierarchy.
For assets that are measured using quoted prices in active markets, the fair value is the published market price per unit multiplied by the number of units held, without consideration of transaction costs. A majority of the derivatives entered into by us are valued using internal valuation techniques as no quoted market prices exist for such instruments. The principal techniques used to value these instruments are discounted cash flow and Black-Scholes models. The key inputs, which are considered observable and vary depending on the type of derivative, include contractual terms, interest rate yield curves, foreign exchange rates and volatility.
Available-for-sale debt securities, which consist of convertible debt and convertible redeemable preferred shares issued by nonpublic entities, are measured using discounted cash flow and option pricing models. Those available-for-sale debt securities are classified as Level 3 fair value measurements when there are no observable transactions near the balance sheet date due to the lack of observable data over certain fair value inputs such as equity volatility. The fair values of available-for-sale debt securities increase when interest rates decrease, equity volatility increases, or the fair values of the equity shares underlying the conversion options increase.
Contingent payments related to acquisitions, which consist of milestone payments and sales-based payments, are valued using discounted cash flow techniques incorporating management's expectations of future outcomes. The fair value of milestone payments increases as the estimated probability of payment increases or the expected timing of payments is accelerated. The fair value of sales-based payments is based upon probability-weighted future revenue estimates, and increases as revenue estimates increase, probability weighting of higher revenue scenarios increases or the expected timing of payment is accelerated.
In addition, we have contingent payments related to the Kidney Care separation, which consist of reimbursements to Vantive for certain indemnifications contemplated in the EPA. For additional information on these items see Note 2.
The following table is a reconciliation of recurring fair value measurements that use significant unobservable inputs (Level 3), which consist of indemnifications related to the Kidney Care separation, contingent payments related to acquisitions and available-for-sale debt securities.
20252024
as of and for the years ended December 31 (in millions)Indemnifications related to Kidney Care separationContingent payments related to acquisitionsAvailable-for-sale debt securitiesContingent payments related to acquisitionsAvailable-for-sale debt securities
Fair value at beginning of period$— $12 $$14 $
Additions67 — — — — 
Change in fair value recognized in earnings— — — — 
Payments(14)(5)— (2)— 
Transfers out of Level 3— (2)— — — 
Fair value at end of period$53 $$$12 $
Financial Instruments Not Measured at Fair Value
In addition to the financial instruments that we are required to recognize at fair value in the consolidated balance sheets, we have certain financial instruments that are recognized at amortized cost or some basis other than fair value. For these financial instruments, the following table provides the values recognized in the consolidated balance sheets and the estimated fair values.
Book valuesFair values(a)
as of December 31 (in millions)2025202420252024
Liabilities
Short-term debt$— $2,126 $— $2,126 
Current maturities of long-term debt — 626 — 619 
Long-term debt 9,436 10,374 8,714 9,295 
(a) These fair value amounts are classified as Level 2 within the fair value hierarchy as they are estimated based on observable inputs.
The carrying value of short-term debt approximates its fair value due to the short-term maturities of the obligations. The estimated fair values of current and long-term debt were computed by multiplying price by the notional amount of the respective debt instruments. Price is calculated using the stated terms of the respective debt instrument and yield curves commensurate with our credit risk. The carrying values of other financial instruments not presented in the table above, such as accounts receivable and accounts payable, approximate their fair values due to the short-term maturities of most of those assets and liabilities.
The carrying values of equity investments without readily determinable fair values that we measure at cost, less impairment were $50 million and $37 million at December 31, 2025 and 2024, respectively. When applicable, we also adjust the measurement of such equity investments for observable prices in orderly transactions for an identical or similar investment of the same issuer. These investments are included in Other non-current assets on our consolidated balance sheets.
v3.25.4
SEGMENT AND GEOGRAPHIC INFORMATION
12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
SEGMENT AND GEOGRAPHIC INFORMATION
SEGMENT AND GEOGRAPHIC INFORMATION
Our business is comprised of three reportable segments: Medical Products & Therapies, Healthcare Systems & Technologies, and Pharmaceuticals. The Medical Products & Therapies segment includes sales of our sterile IV solutions, infusion systems, administration sets, parenteral nutrition therapies and surgical hemostat, sealant and adhesion prevention products. The Healthcare Systems & Technologies segment includes sales of our connected care solutions and collaboration tools, including smart bed systems, patient monitoring systems and diagnostic technologies, respiratory health devices and advanced equipment for the surgical space, including operating room integration technologies, precision positioning devices, and other accessories. The Pharmaceuticals segment includes sales of specialty injectable pharmaceuticals, inhaled anesthetics and drug compounding. Other sales not allocated to a segment primarily include sales to Vantive, pursuant to the Kidney Care MSA, and sales of products and services provided directly through certain of our manufacturing facilities.
Disaggregation of Net Sales
The following tables present our U.S. and International disaggregated net sales.
for the years ended December 31202520242023
(in millions)U.S.InternationalTotalU.S.InternationalTotalU.S.InternationalTotal
Infusion Therapies & Technologies
$2,236 $1,865 $4,101 $2,279 $1,824 $4,103 $2,227 $1,733 $3,960 
Advanced Surgery
648 550 1,198 603 501 1,104 582 469 1,051 
Medical Products & Therapies2,884 2,415 5,299 2,882 2,325 5,207 2,809 2,202 5,011 
Care & Connectivity Solutions
1,372 539 1,911 1,311 503 1,814 1,263 537 1,800 
Front Line Care
871 289 1,160 843 294 1,137 905 308 1,213 
Healthcare Systems & Technologies
2,243 828 3,071 2,154 797 2,951 2,168 845 3,013 
Injectables & Anesthesia
749 603 1,352 780 593 1,373 759 588 1,347 
Drug Compounding— 1,141 1,141 — 1,038 1,038 — 902 902 
Pharmaceuticals749 1,744 2,493 780 1,631 2,411 759 1,490 2,249 
Other246 135 381 34 33 67 66 21 87 
Total Baxter$6,122 $5,122 $11,244 $5,850 $4,786 $10,636 $5,802 $4,558 $10,360 
Geographic Information
Our net sales are attributed to the following geographic regions based on the location of the customer.
for the years ended December 31 (in millions)202520242023
Net sales:
United States$6,122 $5,850 $5,802 
Emerging markets1
1,394 1,350 1,343 
Rest of world 2
3,728 3,436 3,215 
Total net sales$11,244 $10,636 $10,360 
1 Emerging markets include sales from our operations in Eastern Europe, the Middle East, Africa, Latin America and Asia (except for Japan).
2 Rest of world includes sales from our operations in Western Europe, Canada, Japan, Australia and New Zealand.
Our property, plant and equipment and operating lease right-of-use assets, net are attributed to the following geographic regions.
as of December 31 (in millions)20252024
Property, plant and equipment and operating lease right-of-use assets, net:
United States$1,609 $1,654 
Emerging markets817 793 
Rest of world 760 729 
Total property, plant and equipment and operating lease right-of-use assets, net$3,186 $3,176 
Segment Information
In the first quarter of 2025, in conjunction with the change in our Chief Executive Officer, we determined that our chief operating decision maker (CODM) was comprised of our Chair and Interim Chief Executive Officer, and our former Executive Vice President, Chief Operating Officer and Interim Group President, Medial Products & Therapies. In the third quarter of 2025, in conjunction with the appointment of Andrew Hider as our President and Chief Executive Officer, we determined that our President and Chief Executive Officer is now the CODM, who reviews the financial information presented for purposes of evaluating the performance of our segments and to make resource allocation decisions. The change in CODM during both the first and third quarter of 2025 did not result in a change in our segments.
Segment operating income is the measure of segment profitability and represents income before income taxes, interest and other non-operating income or expense, unallocated corporate costs, intangible asset amortization and other special items. Special items, which are presented below in our reconciliations of segment operating income to income (loss) from continuing operations before income taxes, are excluded from segment operating income because they are highly variable, difficult to predict and of a size that may substantially impact our reported results of operations for the period.
Corporate costs, inclusive of global functional support costs, overhead costs and other shared costs that benefit our segments are allocated to those segments. Corporate costs that are not allocated to our segments, as well as any differences between actual corporate costs and the amounts allocated to our segments, are presented as unallocated corporate costs.
Segment results include net sales, cost of sales, SG&A, R&D expenses, corporate costs that had previously been allocated to our former Kidney Care segment which did not convey in the related sale, and other segment items which are directly allocated to each segment. Billings by us under the Kidney Care TSA are included in other segment items as further described in Note 2. Beginning in 2024 annual reporting, we adopted ASU 2023-07 retrospectively. The following tables present our segment information of net sales, significant expenses and operating income during the periods presented.
For the year ended December 31, 2025
(in millions)Medical Products & TherapiesHealthcare Systems & TechnologiesPharmaceuticals
Net sales$5,299 $3,071 $2,493 
Cost of sales3,065 1,603 1,777 
Selling, general and administrative expenses1,162 873 429 
Research and development expenses209 190 101 
Other segment items(107)(36)(36)
Segment operating income$970 $441 $222 
For the year ended December 31, 2024
(in millions)Medical Products & TherapiesHealthcare Systems & TechnologiesPharmaceuticals
Net sales$5,207 $2,951 $2,411 
Cost of sales2,867 1,464 1,612 
Selling, general and administrative expenses1,176 836 396 
Research and development expenses216 184 91 
Other segment items(2)(1)(1)
Segment operating income$950 $468 $313 
For the year ended December 31, 2023
(in millions)Medical Products & TherapiesHealthcare Systems & TechnologiesPharmaceuticals
Net sales$5,011 $3,013 $2,249 
Cost of sales2,720 1,532 1,400 
Selling, general and administrative expenses1,097 822 363 
Research and development expenses222 176 86 
Other segment items— — (1)
Segment operating income$972 $483 $401 

The following table presents our reportable segment operating income and reconciliations of reportable segment operating income to income (loss) from continuing operations before income taxes.
for the years ended December 31 (in millions)202520242023
Medical Products & Therapies$970 $950 $972 
Healthcare Systems & Technologies441 468 483 
Pharmaceuticals222 313 401 
Total reportable segment operating income1,633 1,731 1,856 
Other43 18 18 
Unallocated corporate costs(86)(275)(355)
Intangible asset amortization expense(598)(625)(590)
Business optimization items(178)(162)(174)
European Medical Devices Regulation(21)(33)(41)
Indefinite-lived asset impairments(290)(50)— 
Separation-related costs(58)— — 
Legal matters(11)(17)(7)
Acquisition and integration items(27)(23)— 
Product-related reserves(113)(15)— 
Hurricane Helene Costs(133)(110)— 
Goodwill impairments(485)(425)— 
Gain on sale of long-lived asset16 — — 
Total operating income (loss)(308)14 707 
Interest expense, net238 341 439 
Other (income) expense, net(41)(38)26 
Income (loss) from continuing operations before income taxes$(505)$(289)$242 
Additional financial information for our segments is as follows:
for the years ended December 31 (in millions)202520242023
Depreciation Expense1:
Medical Products & Therapies$206 $201 $232 
Healthcare Systems & Technologies112 109 108 
Pharmaceuticals65 62 54 
Total depreciation expense$383 $372 $394 
1 Depreciation expense related to Corporate property, plant and equipment has been fully allocated to our segments and those allocations are reflected in the depreciation amounts presented herein.
Our CODM does not receive asset or capital expenditure information by segment and, accordingly, we do not report that information for our reportable segments.
v3.25.4
Insider Trading Arrangements
3 Months Ended
Dec. 31, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.4
Insider Trading Policies and Procedures
12 Months Ended
Dec. 31, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.4
Cybersecurity Risk Management and Strategy Disclosure
12 Months Ended
Dec. 31, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
We assess, identify and manage risks from cybersecurity threats through our Global Cybersecurity and Compliance Program (Cybersecurity Program). Cybersecurity risks identified in the Cybersecurity Program are integrated into our Enterprise Risk Management Program. In addition, the Cybersecurity Program seeks to incorporate consideration of cybersecurity risk into our product development, business strategy, financial planning and capital allocation decisions.
The Cybersecurity Program is currently overseen by the Board of Directors (Board) and is managed by our Chief Information Officer (CIO), who is currently serving as our interim Chief Information Security Officer (CISO) while we complete the search for a permanent CISO. The CISO's organization is responsible for cybersecurity strategy, policy, standards, risk-management architectures, and processes for the security of our corporate and manufacturing enterprise network, information assets and medical device technologies. Additionally, this organization provides governance and guidance related to secure-by-design principles and secure development practices for medical technologies. Our CIO has over 30 years of experience in information technology and has served in a number of professional services leadership roles, including as CIO over the past 15 years at three companies. The CISO’s organization monitors and manages, and works to identify and assess, cybersecurity risk through various technologies, resources, processes and policies that are updated as necessary to align with the changing threat landscape, our evolving business needs as well as global regulatory requirements. In addition, from time to time, we also utilize external auditors, assessors, and pen-testers to help evaluate the maturity of our Cybersecurity Program, including conducting penetration testing and vulnerability, risk, and maturity assessments. We also actively engage with industry experts, regulatory agencies, advocacy groups, industry peers, intelligence, and law enforcement communities as part of our continuing efforts to evaluate and enhance the effectiveness of our Cybersecurity Program and to stay abreast of the emerging cybersecurity landscape.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block] Cybersecurity risks identified in the Cybersecurity Program are integrated into our Enterprise Risk Management Program. In addition, the Cybersecurity Program seeks to incorporate consideration of cybersecurity risk into our product development, business strategy, financial planning and capital allocation decisions.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block] Program are integrated into our Enterprise Risk Management Program. In addition, the Cybersecurity Program seeks to incorporate consideration of cybersecurity risk into our product development, business strategy, financial planning and capital allocation decisions.The Cybersecurity Program is currently overseen by the Board of Directors (Board) and is managed by our Chief Information Officer (CIO), who is currently serving as our interim Chief Information Security Officer (CISO) while we complete the search for a permanent CISO. The CISO's organization is responsible for cybersecurity strategy, policy, standards, risk-management architectures, and processes for the security of our corporate and manufacturing enterprise network, information assets and medical device technologies. Additionally, this organization provides governance and guidance related to secure-by-design principles and secure development practices for medical technologies.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] The Board oversees information technology functions generally, including product related cybersecurity matters as well as our use of artificial intelligence (whether internally or in our products and services). The Audit Committee of the Board is responsible for the oversight of certain significant cybersecurity incidents, including ones related to our products and services, and, in the event of a significant cybersecurity incident, receives related updates from management on those incidents
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block]
The Cybersecurity Program and the CISO's organization maintain a cybersecurity governance and oversight framework that seeks to drive accountability for all levels of employees, including senior management and executive officers. Cybersecurity matters are generally managed by a combination of working groups, the cybersecurity compliance committee and ultimately the cybersecurity executive oversight committee, as appropriate. Our cross functional cybersecurity compliance committee is led by the CISO, is composed of members of senior management, including the CIO, and reviews matters such as cybersecurity escalations, critical remediations, and disclosure recommendations. The output from the cybersecurity compliance committee meetings is discussed at meetings of Baxter’s cybersecurity executive oversight committee, which is also led by the CISO's organization and includes the CEO, other members of the CEO's executive management including the CIO, Chief Financial Officer and General Counsel.
The Board oversees information technology functions generally, including product related cybersecurity matters as well as our use of artificial intelligence (whether internally or in our products and services). The Audit Committee of the Board is responsible for the oversight of certain significant cybersecurity incidents, including ones related to our products and services, and, in the event of a significant cybersecurity incident, receives related updates from management on those incidents. Consistent with this oversight responsibility, the Audit Committee is responsible for reviewing proposed disclosures in connection with any material cybersecurity incident consistent with our disclosure
obligations under Item 1.05 of Form 8-K. The full Board receives periodic updates on information technology and cybersecurity matters from management (including the CIO and CISO) and external advisors from time to time, and the Audit Committee receives periodic updates (including as part of continuing director education) on the evolving cybersecurity and artificial intelligence landscapes and regulatory reporting requirements.
We maintain and annually update a Cybersecurity Incident Response Plan, which is a guide for our Cyber Security Incident Response Team and business to respond to cybersecurity incidents in a coordinated manner. Additionally, we, in partnership with a third-party consultant, facilitate periodic cyber-crisis tabletop exercises with members of senior management (including our executive officers) to help us prepare for the occurrence of a significant cybersecurity event and our related response activities. Cybersecurity risks and threats, including any previous cybersecurity incidents, have not materially impacted us or our operations to date. However, we cannot provide any assurance that we will not be subject to a material cybersecurity incident in the future. See "Risks Relating to Our Operations—We may experience breaches and breakdowns affecting our information technology systems or protected information, including from obsolescence, cyber security breaches and data leakage” in Item 1A. Risk Factors of this Annual Report on Form 10-K for a discussion of cybersecurity-related risks.
Cybersecurity Risk Role of Management [Text Block]
The Cybersecurity Program and the CISO's organization maintain a cybersecurity governance and oversight framework that seeks to drive accountability for all levels of employees, including senior management and executive officers. Cybersecurity matters are generally managed by a combination of working groups, the cybersecurity compliance committee and ultimately the cybersecurity executive oversight committee, as appropriate. Our cross functional cybersecurity compliance committee is led by the CISO, is composed of members of senior management, including the CIO, and reviews matters such as cybersecurity escalations, critical remediations, and disclosure recommendations. The output from the cybersecurity compliance committee meetings is discussed at meetings of Baxter’s cybersecurity executive oversight committee, which is also led by the CISO's organization and includes the CEO, other members of the CEO's executive management including the CIO, Chief Financial Officer and General Counsel.
The Board oversees information technology functions generally, including product related cybersecurity matters as well as our use of artificial intelligence (whether internally or in our products and services). The Audit Committee of the Board is responsible for the oversight of certain significant cybersecurity incidents, including ones related to our products and services, and, in the event of a significant cybersecurity incident, receives related updates from management on those incidents. Consistent with this oversight responsibility, the Audit Committee is responsible for reviewing proposed disclosures in connection with any material cybersecurity incident consistent with our disclosure
obligations under Item 1.05 of Form 8-K. The full Board receives periodic updates on information technology and cybersecurity matters from management (including the CIO and CISO) and external advisors from time to time, and the Audit Committee receives periodic updates (including as part of continuing director education) on the evolving cybersecurity and artificial intelligence landscapes and regulatory reporting requirements.
We maintain and annually update a Cybersecurity Incident Response Plan, which is a guide for our Cyber Security Incident Response Team and business to respond to cybersecurity incidents in a coordinated manner. Additionally, we, in partnership with a third-party consultant, facilitate periodic cyber-crisis tabletop exercises with members of senior management (including our executive officers) to help us prepare for the occurrence of a significant cybersecurity event and our related response activities. Cybersecurity risks and threats, including any previous cybersecurity incidents, have not materially impacted us or our operations to date. However, we cannot provide any assurance that we will not be subject to a material cybersecurity incident in the future. See "Risks Relating to Our Operations—We may experience breaches and breakdowns affecting our information technology systems or protected information, including from obsolescence, cyber security breaches and data leakage” in Item 1A. Risk Factors of this Annual Report on Form 10-K for a discussion of cybersecurity-related risks.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] The Board oversees information technology functions generally, including product related cybersecurity matters as well as our use of artificial intelligence (whether internally or in our products and services). The Audit Committee of the Board is responsible for the oversight of certain significant cybersecurity incidents, including ones related to our products and services, and, in the event of a significant cybersecurity incident, receives related updates from management on those incidents
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] Our CIO has over 30 years of experience in information technology and has served in a number of professional services leadership roles, including as CIO over the past 15 years at three companies.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]
The Cybersecurity Program and the CISO's organization maintain a cybersecurity governance and oversight framework that seeks to drive accountability for all levels of employees, including senior management and executive officers. Cybersecurity matters are generally managed by a combination of working groups, the cybersecurity compliance committee and ultimately the cybersecurity executive oversight committee, as appropriate. Our cross functional cybersecurity compliance committee is led by the CISO, is composed of members of senior management, including the CIO, and reviews matters such as cybersecurity escalations, critical remediations, and disclosure recommendations. The output from the cybersecurity compliance committee meetings is discussed at meetings of Baxter’s cybersecurity executive oversight committee, which is also led by the CISO's organization and includes the CEO, other members of the CEO's executive management including the CIO, Chief Financial Officer and General Counsel.
The Board oversees information technology functions generally, including product related cybersecurity matters as well as our use of artificial intelligence (whether internally or in our products and services). The Audit Committee of the Board is responsible for the oversight of certain significant cybersecurity incidents, including ones related to our products and services, and, in the event of a significant cybersecurity incident, receives related updates from management on those incidents. Consistent with this oversight responsibility, the Audit Committee is responsible for reviewing proposed disclosures in connection with any material cybersecurity incident consistent with our disclosure
obligations under Item 1.05 of Form 8-K. The full Board receives periodic updates on information technology and cybersecurity matters from management (including the CIO and CISO) and external advisors from time to time, and the Audit Committee receives periodic updates (including as part of continuing director education) on the evolving cybersecurity and artificial intelligence landscapes and regulatory reporting requirements.
We maintain and annually update a Cybersecurity Incident Response Plan, which is a guide for our Cyber Security Incident Response Team and business to respond to cybersecurity incidents in a coordinated manner. Additionally, we, in partnership with a third-party consultant, facilitate periodic cyber-crisis tabletop exercises with members of senior management (including our executive officers) to help us prepare for the occurrence of a significant cybersecurity event and our related response activities. Cybersecurity risks and threats, including any previous cybersecurity incidents, have not materially impacted us or our operations to date. However, we cannot provide any assurance that we will not be subject to a material cybersecurity incident in the future. See "Risks Relating to Our Operations—We may experience breaches and breakdowns affecting our information technology systems or protected information, including from obsolescence, cyber security breaches and data leakage” in Item 1A. Risk Factors of this Annual Report on Form 10-K for a discussion of cybersecurity-related risks.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Nature of Operations
Nature of Operations
Baxter International Inc., through our subsidiaries (collectively, Baxter, we, our or us), provides a broad portfolio of essential healthcare products, including sterile intravenous (IV) solutions; infusion systems, administrative sets; parenteral nutrition therapies and surgical hemostat, sealant, and adhesion prevention products; connected care solutions and collaboration tools, including smart bed systems, patient monitoring systems and diagnostic technologies; respiratory health devices; advanced equipment for the surgical space, including operating room integration technologies, precision positioning devices and other accessories; injectable pharmaceuticals; inhaled anesthetics and drug compounding. These products are used by hospitals, nursing homes, rehabilitation centers, ambulatory surgery centers, doctors’ offices, kidney dialysis centers and patients at home under physician supervision. Our global footprint and the critical nature of our products and services play a key role in expanding access to healthcare in emerging and developed countries. Our business is comprised of three reportable segments: Medical Products & Therapies, Healthcare Systems & Technologies, and Pharmaceuticals which are described in Note 17.
On August 12, 2024, we entered into an Equity Purchase Agreement (EPA) with certain affiliates of Carlyle Group Inc. (Carlyle) to sell our Kidney Care business. That business, which is now known as Vantive Health LLC (Vantive) is comprised of our former Kidney Care segment. On January 31, 2025, we completed the sale of our Kidney Care business to Carlyle for an aggregate purchase price of $3.80 billion in cash, subject to certain closing cash, working capital and debt adjustments. After giving effect to certain adjustments, we received approximately $3.71 billion pre-tax cash proceeds at closing of the transaction with the net after tax proceeds of approximately $3.3 billion, prior to giving effect to certain post-closing adjustments. The financial position, results of operations and cash flows of our Kidney Care business, including the gain on sale of that business and the related cash proceeds received, are reported as discontinued operations in the accompanying consolidated financial statements, and our prior period results have been adjusted to reflect discontinued operations. See Note 2 for additional information.
Hurricane Helene
In September 2024, Hurricane Helene, which brought significant rain and extensive flooding to Western North Carolina, caused damage to certain of our assets at our North Cove facility in Marion, N.C. and disrupted operations at that facility. In response, we actively worked with customers, regulators and other stakeholders to manage inventory and minimize disruption to patient care as we worked towards resuming our North Cove manufacturing operations. The facility was fully operational by the end of the first quarter of 2025. In 2025, we recorded $133 million of pre-tax net charges related to remediation, air freight and other costs as a result of the damages caused by Hurricane Helene. In 2024, we recorded $110 million of pre-tax net charges related to damages caused by Hurricane Helene. This consisted of $44 million related to the write-off of damaged inventory and fixed assets as well as $317 million of remediation, idle facility, air freight and other costs offset by $251 million of insurance recoveries. These amounts were recorded as a component of cost of sales in the consolidated statements of income (loss) for the years ended December 31, 2025 and 2024.
Use of Estimates
Use of Estimates
The preparation of financial statements in conformity with U.S. Generally Accepted Accounting Principles (U.S. GAAP) requires us to make estimates and assumptions that affect the reported amounts and related disclosures in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
Principles of Consolidation
Principles of Consolidation
The consolidated financial statements include the accounts of Baxter and our majority-owned subsidiaries that we control, after elimination of intra-company balances and transactions.
Revenue Recognition
Revenue Recognition
Revenue is measured as the amount of consideration we expect to receive in exchange for transferring goods or providing services. A performance obligation is a promise in a contract to transfer a distinct good or service to the
customer and is the unit of account in the contract. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. Some of our contracts have multiple performance obligations. For contracts with multiple performance obligations, we allocate the contract’s transaction price to each performance obligation using our best estimate of the standalone selling price of each distinct good or service in the contract. Our global payment terms are typically between 30-90 days.
Our primary customers are hospitals, healthcare distribution companies and government agencies that purchase healthcare products on behalf of providers. Most of our performance obligations are satisfied at a point in time. This includes sales of our broad portfolio of essential healthcare products across our business segments. We earn revenues from sterile IV solutions; infusion systems and devices; parenteral nutrition therapies; inhaled anesthetics; generic injectable pharmaceuticals; surgical hemostat and sealant products; smart bed systems; patient monitoring and diagnostic technologies; respiratory health devices; and advanced equipment for the surgical space. For most of those offerings, our performance obligation is satisfied upon delivery to the customer. Shipping and handling activities are considered to be fulfillment activities and are not considered to be a separate performance obligation.
To a lesser extent, we enter into arrangements for which revenue may be recognized over time. For example, we lease medical equipment to customers under operating lease arrangements and recognize the related revenues on a monthly basis over the lease term. Our Healthcare Systems & Technologies segment includes connected care solutions and collaboration tools that are implemented over time. We recognize revenue for these arrangements over time or at a point in time depending on our evaluation of when the customer obtains control of the promised goods or services. We also earn revenue from contract manufacturing activities, which is recognized over time as the services are performed. Revenue is recognized over time when we are creating or enhancing an asset that the customer controls as the asset is created or enhanced or our performance does not create an asset with an alternative use and we have an enforceable right to payment for performance completed.
As of December 31, 2025, we had $8.50 billion of transaction price allocated to remaining performance obligations related to executed contracts with an original duration of more than one year, which are primarily included in the Medical Product & Therapies segment. Some contracts in the United States included in this amount contain index-dependent price increases, which are not known at this time. We expect to recognize approximately 25% of this amount as revenue in 2026, 25% in 2027, 15% in 2028, 15% in 2029, 10% in 2030 and the remainder thereafter.
Significant Judgments
Revenues from product sales are recorded at the net sales price, which includes estimates of variable consideration, primarily related to rebates and distributor chargebacks. These reserves are based on estimates of the amounts earned or to be claimed on the related sales and are included in accrued expenses and other current liabilities and as reductions of accounts receivable, net on the consolidated balance sheets. Management's estimates take into consideration historical experience, current contractual and statutory requirements, specific known market events and trends, industry data and forecasted customer buying and payment patterns. Overall, these reserves reflect our best estimates of the amount of consideration to which we are entitled based on the terms of the contract using the expected value method. The amount of variable consideration included in the net sales price is limited to the amount for which it is probable that a significant reversal in revenue will not occur when the related uncertainty is resolved. Revenue recognized in the years ended December 31, 2025, 2024 and 2023 related to performance obligations satisfied in prior periods was not material. Additionally, our contracts with customers often include promises to transfer multiple products and services to a customer. Determining whether products and services are considered distinct performance obligations that should be accounted for separately and determining the allocation of the transaction price may require significant judgment.
Practical Expedients
Practical Expedients
We apply a practical expedient to expense as incurred costs to obtain a contract with a customer when the amortization period would have been one year or less. We do not disclose the value of the transaction price that is allocated to unsatisfied performance obligations for contracts with an original expected length of less than one year. We have elected to use the practical expedient to not adjust the promised amount of consideration for the effects of a significant financing component if it is expected, at contract inception, that the period between when we transfer a promised good or service to a customer and when the customer pays for that good or service will be one year or less. Additionally, all taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and collected from a customer are excluded from revenue.
Accounts Receivable and Allowance for Doubtful Accounts
Accounts Receivable and Allowance for Doubtful Accounts
In the normal course of business, we provide credit to our customers, perform credit evaluations of these customers and maintain reserves for potential credit losses. In determining the amount of the allowance for doubtful accounts, we consider, among other items, historical credit losses, the past-due status of receivables, payment histories, other customer-specific information, current economic conditions and reasonable and supportable future forecasts. Receivables are written off when we determine that they are uncollectible.
Shipping and Handling Costs
Shipping and Handling Costs
Shipping costs incurred to physically move product from our premises to the customer’s premises are classified as selling, general and administrative (SG&A) expenses. Handling costs, which are costs incurred to store, move and prepare products for shipment, are classified as cost of sales. Approximately $373 million in 2025, $382 million in 2024 and $358 million in 2023 of shipping costs were classified in SG&A expenses.
Cash, Cash Equivalents and Restricted Cash
Cash, Cash Equivalents and Restricted Cash
Cash and cash equivalents include cash, certificates of deposit and money market and other short-term funds with original maturities of three months or less. Restricted cash represents cash balances restricted as to withdrawal or use and are included in prepaid expenses and other current assets on the consolidated balance sheets.
Inventories
Inventories
Inventories are stated at the lower of cost or net realizable value determined by the first-in, first-out method. We review inventories on hand at least quarterly and record provisions for estimated excess, slow-moving and obsolete inventory, as well as inventory with a carrying value in excess of net realizable value.
Property, Plant and Equipment, Net
Property, Plant and Equipment, Net
Property, plant and equipment are stated at cost. Depreciation expense is calculated using the straight-line method over the estimated useful lives of the related assets, which range from 20 to 50 years for buildings and improvements and from three to 15 years for machinery and equipment. Leasehold improvements are amortized over the life of the related facility lease (including any renewal periods, if appropriate) or the asset, whichever is shorter. We capitalize certain computer software and software development costs incurred in connection with developing or obtaining software for internal use. Capitalized software costs are included within machinery and equipment and are amortized on a straight-line basis over the estimated useful lives of the software, which generally range from three to five years.
Research and Development
Research and Development
Research and development (R&D) costs, including R&D acquired in transactions that are not business combinations, are expensed as incurred. Pre-regulatory approval contingent milestone obligations to counterparties in collaborative arrangements, which include acquired R&D, are expensed when the milestone is probable to be achieved. Contingent milestone payments made to such counterparties on or after regulatory approval are capitalized and amortized over the remaining useful life of the related product. Amounts capitalized for such payments are included in other intangible assets, net.
Acquired in-process R&D (IPR&D) is the value assigned to technology or products under development acquired in a business combination which have not received regulatory approval and have no alternative future use. Acquired IPR&D is capitalized as an indefinite-lived intangible asset. Development costs incurred after the acquisition are expensed as incurred. Upon receipt of regulatory approval of the related technology or product, the indefinite-lived intangible asset is accounted for as a finite-lived intangible asset and amortized on a straight-line basis over the estimated economic life of the related technology or product, subject to annual impairment reviews as discussed below. If the R&D project is abandoned, the indefinite-lived asset is charged to expense.
Collaborative Arrangements
Collaborative Arrangements
We periodically enter into collaborative arrangements in the normal course of business. These collaborative arrangements take a number of forms and structures and are designed to enhance and expedite long-term sales
and profitability growth. These arrangements may provide for us to obtain commercialization rights to a product under development, and require us to make upfront payments, contingent milestone payments, profit-sharing, and/or royalty payments. We may be responsible for ongoing costs associated with the arrangements, including R&D cost reimbursements to the counterparty. See the Research and Development section of this note regarding the accounting treatment of upfront and contingent milestone payments. Any royalty and profit-sharing payments during the commercialization phase are expensed as cost of sales when they become due and payable.
Restructuring Charges
Restructuring Charges
We record liabilities for costs associated with exit or disposal activities in the period in which the liability is incurred. Employee termination costs are primarily recorded when actions are probable and estimable. Costs for one-time termination benefits in which the employee is required to render service until termination in order to receive the benefits are recognized ratably over the future service period. Refer to the discussion below regarding the accounting for asset impairment charges.
Goodwill, Intangible Assets, and Other Long-Lived Assets
Goodwill, Intangible Assets and Other Long-Lived Assets
Goodwill is initially measured as the excess of the purchase price over the fair value (or other measurement attribute required by U.S. GAAP) of acquired assets and liabilities in a business combination. Management performs an impairment test in the fourth quarter of each year, or whenever events or changes in circumstances indicate that the fair value of the reporting unit is more likely than not below its carrying amount. We have the option to assess goodwill for impairment by initially performing a qualitative assessment to determine whether it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount. If we determine that it is not more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, then the quantitative goodwill impairment test is not required to be performed. If we determine that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, or if we do not elect the option to perform an initial qualitative assessment, we perform a quantitative goodwill impairment test. In the quantitative impairment test, we calculate the estimated fair value of the reporting unit. If the carrying amount of the reporting unit exceeds the estimated fair value, an impairment charge is recorded for the amount that its carrying amount, including goodwill, exceeds its fair value, limited to the total amount of goodwill allocated to that reporting unit. In a quantitative goodwill impairment test, the fair values of our reporting units are generally determined based on a discounted cash flow model (an income approach) and earnings multiples (a market approach). Significant assumptions in reporting unit fair value measurements generally include revenue growth rates, forecasted earnings before interest, taxes, depreciation and amortization (EBITDA) margins, discount rates, terminal growth rates and earnings multiples. Each of those assumptions can significantly affect the fair values of our reporting units.
Indefinite-lived intangible assets, such as IPR&D acquired in business combinations and certain trade names with indefinite lives, are subject to an impairment review annually in the fourth quarter and whenever indicators of impairment exist. We have the option to assess indefinite-lived intangible assets for impairment by first performing qualitative assessments to determine whether it is more-likely-than-not that the fair values of the indefinite-lived intangible assets are less than the carrying amounts. If we determine that it is more-likely-than-not that an indefinite-lived intangible asset is impaired, or if we elect not to perform an initial qualitative assessment, we then perform the quantitative impairment test by comparing the fair value of the indefinite-lived intangible asset with its carrying amount. If the carrying amount exceeds the fair value of the indefinite-lived intangible asset, we write the carrying amount down to the fair value.
We review the carrying amounts of long-lived assets used in operations, other than goodwill and intangible assets not subject to amortization, for potential impairment when events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In evaluating recoverability, we group assets and liabilities at the lowest level such that the identifiable cash flows relating to the group are largely independent of the cash flows of other assets and liabilities. We then compare the carrying amounts of the assets or asset groups with the related estimated undiscounted future cash flows. In the event an asset (or asset group) is not recoverable, an impairment charge is recorded as the amount by which the carrying amount of the asset (or asset group) exceeds its fair value.
Long-lived assets are classified as held for sale when certain criteria are met, including when management has committed to sell the asset, the asset is available for sale in its present condition and the sale is probable of being completed within one year of the balance sheet date. Assets held for sale are no longer depreciated or amortized and they are reported at the lower of their carrying amount or fair value less cost to sell.
See Note 4 for further information about impairments of goodwill and intangible assets recognized in the accompanying consolidated financial statements.
Investments in Debt and Equity Securities
Investments in Debt and Equity Securities
Investments in debt securities classified as available-for-sale are measured at fair value with changes in fair value reported in other comprehensive (loss) income (OCI). Investments in marketable equity securities are classified as other non-current assets and are measured at fair value with gains and losses recognized in other (income) expense, net. We have elected to apply the measurement alternative to equity securities without readily determinable fair values. As such, our non-marketable equity securities are measured at cost, less any impairment, and are adjusted for changes in fair value resulting from observable transactions for identical or similar investments of the same issuer. Gains and losses on non-marketable equity securities are also recognized in other (income) expense, net. Noncontrolling investments in common stock or in-substance common stock are accounted for under the equity method if we have the ability to exercise significant influence over the operating and financial policies of the investee. We review our investments in debt and equity securities for impairment and adjust impaired investments to fair value through earnings, as required.
Income Taxes
Income Taxes
Deferred taxes are recognized for the future tax effects of temporary differences between financial and income tax reporting based on enacted tax laws and rates. We maintain valuation allowances unless it is more-likely-than-not that the deferred tax asset will be realized. With respect to uncertain tax positions, we determine whether the position is more-likely-than-not to be sustained upon examination based on the technical merits of the position. Any tax position that meets the more-likely-than-not recognition threshold is measured and recognized in the consolidated financial statements at the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. The liability relating to uncertain tax positions is classified as current in the consolidated balance sheets to the extent that we anticipate making a payment within one year. Interest and penalties associated with income taxes are classified in the income tax expense (benefit) line in the consolidated statements of income (loss).
Foreign Currency Translation
Foreign Currency Translation
Cumulative translation adjustments (CTA) related to foreign operations are included in OCI. For foreign operations in highly inflationary economies, translation gains and losses are included in other (income) expense, net, and were not material in 2025, 2024 and 2023.
Derivatives and Hedging Activities
Derivatives and Hedging Activities
Derivative instruments are recognized as either assets or liabilities at fair value in the consolidated balance sheets and are classified as short-term or long-term based on the scheduled maturity of the instrument. We designate certain of our derivatives and foreign-currency denominated debt as hedging instruments in cash flow, fair value or net investment hedges.
For each derivative instrument that is designated and effective as a cash flow hedge, the gain or loss on the derivative is recorded in AOCI and then recognized in earnings consistent with the underlying hedged item. Cash flow hedges are classified in cost of sales and interest expense, net, and are primarily related to forecasted intra-company sales denominated in foreign currencies and forecasted interest payments on anticipated issuances of debt, respectively.
For each derivative instrument that is designated and effective as a fair value hedge, the gain or loss on the derivative is recognized immediately to earnings, and offsets changes in fair value attributable to a particular risk, such as changes in interest rates, of the hedged item, which are also recognized in earnings. Changes in the fair value of hedge instruments designated as fair value hedges are classified in interest expense, net, as they hedge the interest rate risk associated with certain of our fixed-rate debt.
We have designated certain of our Euro-denominated senior notes as hedges of our net investment in our European operations and, as a result, mark to spot rate adjustments on the outstanding debt balances are recorded as a component of AOCI.
For derivative instruments that are not designated as hedges, the change in fair value is recorded directly to other (income) expense, net.
If it is determined that a derivative or nonderivative hedging instrument is no longer highly effective as a hedge, we discontinue hedge accounting prospectively. Gains or losses relating to terminations of effective cash flow hedges generally continue to be deferred and are recognized consistent with the loss or income recognition of the underlying hedged transactions. However, if it is probable that the hedged forecasted transactions will not occur, any gains or losses would be immediately reclassified from AOCI to earnings. If we terminate a fair value hedge, an amount equal to the cumulative fair value adjustment to the hedged item at the date of termination is amortized to earnings over the remaining term of the hedged item. If we remove a net investment hedge designation, any gain or loss recognized in AOCI are not reclassified to earnings until we sell, liquidate, or deconsolidate the foreign investments that were being hedged.
Cash flows related to the settlement of derivative instruments designated as net investment hedges of foreign operations are classified in the consolidated statements of cash flows within investing activities. Cash flows for all other derivatives, including those that are not designated as a hedge, are classified in the same line item as the cash flows of the related hedged item, which is generally within operating activities.
New Accounting Standards
New Accounting Standards
Recently issued accounting standards not yet adopted
In November 2024, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, which requires disaggregated disclosure of certain expenses on an interim and annual basis in the notes to the financial statements. This standard is effective for annual consolidated financial statements for the year ending December 31, 2027 and for interim periods beginning in 2028. We are currently evaluating the impact of this new standard on our consolidated financial statements.
Recently adopted accounting pronouncements 
As of January 1, 2025, we prospectively adopted ASU 2023-09, Income Taxes (Topic 740): Improvement to Income Tax Disclosures (ASU 2023-09), which requires (1) disclosure of specific categories in the rate reconciliation and (2) additional information for reconciling items that meet a quantitative threshold. Additionally, the amendment requires disclosure of certain disaggregated information about income taxes paid, income from continuing operations before income tax expense (benefit) and income tax expense (benefit). The standard became effective for our annual consolidated financial statements for the year ended December 31, 2025. See Note 13 for further information on these disclosures.
As of January 2024, we adopted ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sales Restrictions, which (1) clarifies the guidance in Topic 820 on the fair value measurement of an equity security that is subject to contractual restrictions that prohibit the sale of an equity security and (2) requires specific disclosures related to such an equity security. The standard became effective for our annual consolidated financial statements for the year ended December 31, 2024 and for interim periods beginning in 2025. The impact of the adoption of this ASU did not have a material effect on our consolidated financial statements.
v3.25.4
DISCONTINUED OPERATIONS (Tables)
12 Months Ended
Dec. 31, 2025
Discontinued Operations and Disposal Groups [Abstract]  
Summary of Discontinued Operations
The following table summarizes the major classes of line items included in income (loss) from discontinued operations, net of tax, for the years ended December 31, 2025, 2024 and 2023:
Kidney CareBioPharma SolutionsTotal
Year Ended December 31,Year Ended December 31,Year Ended December 31,
(in millions)202520242023202520242023202520242023
Net sales$352 $4,513 $4,453 $— $— $469 $352 $4,513 $4,922 
Cost of sales226 2,812 3,628 — — 216 226 2,812 3,844 
Gross margin126 1,701 825 — — 253 126 1,701 1,078 
Selling, general and administrative expenses116 1,203 993 — — 45 116 1,203 1,038 
Research and development expenses16 181 149 — — 16 181 150 
Goodwill impairments— 430 — — — — — 430 — 
Other operating expense (income), net— (1)— — — — — (1)— 
Operating income (loss)(6)(112)(317)— — 207 (6)(112)(110)
Interest expense, net13 13 — — (1)13 13 
Other (income) expense, net10 25 — — 10 26 
Income (loss) from discontinued operations before gain on disposition and income taxes(26)(135)(345)— — 207 (26)(135)(138)
Gain on disposition97 — — — — 2,882 97 — 2,882 
Income tax expense (benefit)128 177 (95)— — 357 128 177 262 
Income (loss) from discontinued operations, net of tax(57)(312)(250)— — 2,732 (57)(312)2,482 
Less: Net income attributable to noncontrolling interest included in discontinued operations— 11 — — — — 11 
Net income (loss) attributable to Baxter stockholders included in discontinued operations$(57)$(323)$(257)$— $— $2,732 $(57)$(323)$2,475 
The following table summarizes the carrying amounts of the major classes of assets and liabilities classified as discontinued operations in the consolidated balance sheets as of December 31, 2024:
as of December 31 (in millions)2024
Cash and cash equivalents$648 
Accounts receivable, net of allowances942 
Inventories821 
Prepaid expenses and other current assets200 
Current assets of discontinued operations2,611 
Property, plant and equipment, net1,516 
Goodwill265 
Other intangible assets, net148 
Operating lease right-of-use assets204 
Other non-current assets367 
Non-current assets of discontinued operations2,500 
Assets of discontinued operations$5,111 
Current maturities of finance lease obligations$
Accounts payable344 
Accrued expenses and other current liabilities585 
Current liabilities of discontinued operations930 
Long-term finance lease obligations, less current portion37 
Operating lease liabilities173 
Other non-current liabilities344 
Non-current liabilities of discontinued operations554 
Liabilities of discontinued operations$1,484 
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION (Tables)
12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Allowance for Doubtful Accounts
Allowance for Doubtful Accounts
The following table is a summary of changes in our allowance for doubtful accounts for the years ended December 31, 2025 and 2024.
years ended December 31
(in millions)
202520242023
Balance at beginning of period$71 $62 $50 
Charged (released) to costs and expenses(6)
Write-offs(5)(8)(4)
Currency translation adjustments10 
Balance at end of period$63 $71 $62 
Inventories
Inventories
as of December 31 (in millions)
2025
2024
Raw materials$536 $510 
Work in process369 266 
Finished goods1,327 1,270 
Inventories$2,232 $2,046 
Prepaid Expenses and Other Current Assets
Prepaid Expenses and Other Current Assets
as of December 31 (in millions)20252024
Prepaid value added taxes$86 $167 
Prepaid income taxes175 199 
Spare parts140 123 
Contract assets71 51 
Derivative assets— 
Other341 205 
Prepaid expenses and other current assets$813 $753 
Property, Plant and Equipment, Net
Property, Plant and Equipment, Net
as of December 31 (in millions)20252024
Land and land improvements$119 $115 
Buildings and leasehold improvements1,402 1,301 
Machinery and equipment5,454 5,047 
Equipment on lease with customers375 467 
Construction in progress704 718 
Total property, plant and equipment, at cost8,054 7,648 
Accumulated depreciation(5,144)(4,778)
Property, plant and equipment, net$2,910 $2,870 
Other Non-Current Assets
Other Non-Current Assets
as of December 31 (in millions)20252024
Deferred tax assets$200 $204 
Non-current receivables, net50 50 
Contract assets76 82 
Capitalized implementation costs in hosting arrangements89 102 
Pension and other postretirement benefits66 56 
Investments103 109 
Other115 152 
Other non-current assets$699 $755 
Accrued Expenses and Other Current Liabilities
Accrued Expenses and Other Current Liabilities
as of December 31 (in millions)20252024
Common stock dividends payable$$87 
Employee compensation and withholdings397 447 
Property, payroll and certain other taxes96 96 
Contract liabilities141 131 
Restructuring liabilities127 112 
Accrued rebates215 214 
Operating lease liabilities81 80 
Income taxes payable83 121 
Pension and other postretirement benefits39 39 
Other784 534 
Accrued expenses and other current liabilities$1,968 $1,861 
Other Non-Current Liabilities
Other Non-Current Liabilities
as of December 31 (in millions)20252024
Pension and other postretirement benefits$637 $678 
Deferred tax liabilities245 103 
Long-term tax liabilities146 94 
Contingent payments related to acquisitions11 
Contract liabilities36 40 
Litigation and environmental reserves31 29 
Restructuring liabilities10 
Other179 111 
Other non-current liabilities$1,287 $1,076 
Interest Expense, net
Interest Expense, net
years ended December 31 (in millions)202520242023
Interest costs$304 $421 $523 
Interest costs capitalized(14)(13)(15)
Interest expense290 408 508 
Interest income(52)(67)(69)
Interest expense, net$238 $341 $439 
Other Expense, net
Other (Income) Expense, net
years ended December 31 (in millions)202520242023
Foreign exchange (gains) losses, net$18 $25 $53 
Change in fair value of marketable equity securities(1)(3)(7)
Pension and other postretirement benefit (gains) losses(45)(39)(48)
Gain on debt extinguishment(16)— — 
Equity method investment impairment— — 
Non-marketable investment impairments    — — 34 
Other, net(6)(21)(6)
Other (income) expense, net$(41)$(38)$26 
Other Supplemental Information The following table is a summary of income taxes paid by jurisdiction for the year ended December 31, 2025.
year ended December 31 (in millions)2025
United States - federal$12 
United States - state and local12 
Foreign
Australia18 
Canada25 
Germany39 
Other116 
Total income taxes paid$222 
The following table is a summary of interest paid for the years ended December 31, 2025, 2024 and 2023 and income taxes paid, in accordance with the guidance prior to the adoption of ASU 2023-09, for the years ended December 31, 2024 and 2023.
years ended December 31 (in millions)202520242023
Interest paid, net of portion capitalized$303 $401 $484 
Income taxes paid$223 $174 
v3.25.4
GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Tables)
12 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill
The following is a reconciliation of goodwill by business segment.
(in millions)Medical Products & TherapiesHealthcare Systems & TechnologiesPharmaceuticalsTotal
December 31, 2023$1,241 $3,989 $563 $5,793 
Impairments— (425)— (425)
Currency translation and other(56)(14)(23)(93)
December 31, 2024$1,185 $3,550 $540 $5,275 
Impairments— (485)— (485)
Currency translation and other80 22 37 139 
December 31, 2025$1,265 $3,087 $577 $4,929 
Other Intangible Assets, Net
The following is a summary of our other intangible assets.
Indefinite-lived intangible assets
(in millions)Customer relationshipsDeveloped technology,
including patents
Trade NamesOther amortized
intangible assets
Trade NamesIn process Research and DevelopmentTotal
December 31, 2024
Gross other intangible assets$3,387 $3,131 $958 $86 $680 $107 $8,349 
Accumulated amortization(878)(2,075)(107)(66)— — $(3,126)
Other intangible assets, net$2,509 $1,056 $851 $20 $680 $107 $5,223 
December 31, 2025
Gross other intangible assets$3,393 $3,208 $953 $91 $390 $107 $8,142 
Accumulated amortization(1,095)(2,434)(172)(72)— — (3,773)
Other intangible assets, net$2,298 $774 $781 $19 $390 $107 $4,369 
v3.25.4
DEBT AND CREDIT FACILITIES (Tables)
12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Debt Outstanding
At December 31, 2025 and 2024, we had the following debt outstanding:
as of December 31 (in millions)Effective interest rate as of December 31,2025¹
20251
20241
Commercial paper— %$— $300 
1.3% notes due 2025
— %— 625 
Delayed draw term loan due 2025— %— 1,826 
2.6% notes due 2026
— %— 749 
Term loan maturing 2027— %— 1,643 
7.65% debentures due 2027
7.7 %
1.915% notes due 2027
3.4 %834 1,446 
6.625% debentures due 2028
5.8 %94 94 
2.272% notes due 2028
2.4 %1,246 1,245 
1.3% notes due 2029
1.4 %876 776 
4.45% notes due 2029
4.2 %298 — 
3.95% notes due 2030
4.1 %497 497 
4.9% notes due 2030
4.6 %695 — 
1.73% notes due 2031
2.7 %647 646 
2.539% notes due 2032
2.6 %1,542 1,541 
5.65% notes due 2035
5.2 %991 — 
6.25% notes due 2037
6.3 %266 266 
3.65% notes due 2042
3.9 %
4.5% notes due 2043
4.6 %256 256 
3.5% notes due 2046
3.7 %442 441 
3.132% notes due 2051
3.2 %743 743 
Finance leases and other4.8 %38 21 
Total debt and finance lease obligations9,476 13,126 
Short-term debt (1)(2,126)
Current maturities of long-term debt and finance lease obligations(2)(626)
Long-term debt and finance lease obligations$9,473 $10,374 
1Book values include any discounts, premiums and adjustments related to hedging instruments and effective interest rates reflect amortization of those items.
Future Debt Maturities
Future Debt Maturities
as of and for the years ended December 31 (in millions)Debt maturities
2026$— 
2027841 
20281,342 
20291,180 
20301,200 
Thereafter4,931 
Total debt maturities1
9,494 
Discounts, premiums, and adjustments relating to hedging instruments(56)
Total debt obligations1
$9,438 
1 Excludes finance leases and other of $38 million as of December 31, 2025.
v3.25.4
LEASES (Tables)
12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Components of Lease Cost
The components of lease cost for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Operating lease cost$88 $89 $94 
Finance lease cost
Amortization of right-of-use assets
Interest on lease liabilities
Variable lease cost40 54 45 
Lease cost$132 $148 $143 
The following table contains supplemental cash flow information related to leases for the years ended December 31, 2025, 2024 and 2023:
(in millions)202520242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$102 $100 $115 
Operating cash flows from finance leases
Financing cash flows from finance leases
Right-of-use operating lease assets obtained in exchange for lease obligations36 64 66 
Right-of-use finance lease assets obtained in exchange for lease obligations15 
Lease term and discount rates as of December 31, 2025 and 2024 were:
December 31, 2025December 31, 2024
Weighted-average remaining lease term (years)
Operating leases56
Finance leases78
Weighted-average discount rate
Operating leases3.6 %3.1 %
Finance leases4.5 %4.2 %
Supplemental Balance Sheet Information Related To Leases
Supplemental balance sheet information related to leases as of December 31, 2025 and 2024 include:
(in millions)20252024
Operating leases
Operating lease right-of-use assets$276 $306 
Accrued expenses and other current liabilities$81 $80 
Operating lease liabilities223 243 
Total operating lease liabilities$304 $323 
Finance leases
Property, plant and equipment, at cost$39 $33 
Accumulated depreciation(18)(15)
Property, plant and equipment, net$21 $18 
Current maturities of long-term debt and finance lease obligations$$
Long-term debt and finance lease obligations21 19 
Total finance lease liabilities$23 $21 
Maturities of Operating Lease Liabilities
Maturities of operating and finance lease liabilities as of December 31, 2025 were:
(in millions)Finance LeasesOperating Leases
2026$$93 
202777 
202853 
202934 
203020 
Thereafter10 60 
Total minimum lease payments30 337 
Less: imputed interest(7)(33)
Present value of lease liabilities$23 $304 
Maturities of Finance Lease Liabilities
Maturities of operating and finance lease liabilities as of December 31, 2025 were:
(in millions)Finance LeasesOperating Leases
2026$$93 
202777 
202853 
202934 
203020 
Thereafter10 60 
Total minimum lease payments30 337 
Less: imputed interest(7)(33)
Present value of lease liabilities$23 $304 
Components of Lease Revenue
The components of lease revenue for the years ended December 31, 2025, 2024 and 2023 were:
(in millions)202520242023
Sales-type lease revenue$$10 $
Operating lease revenue350 380 397 
Variable lease revenue27 28 21 
Total lease revenue$385 $418 $425 
Components of Net Investment In Sales-Type Leases
The components of our net investment in sales-type leases as of December 31, 2025 and 2024 were:
(in millions)20252024
Minimum lease payments$30 $38 
Unguaranteed residual values— (1)
Net investment in leases $30 $37 
Our net investment in sales-type leases is classified as follows in the accompanying consolidated balance sheets as of December 31, 2025 and 2024:
(in millions)20252024
Accounts receivable, net$11 $15 
Other non-current assets19 22 
Total$30 $37 
Maturities of Sales-Type Leases
Maturities of sales-type and operating leases as of December 31, 2025 were:
(in millions)
Sales-type Leases1
Operating Leases
2026$15 $
2027
2028
2029
2030— 
Thereafter— — 
Total minimum lease payments$32 $28 
1 Unamortized imputed interest on minimum lease payments was $2 million as of December 31, 2025
Maturities of Operating Leases
Maturities of sales-type and operating leases as of December 31, 2025 were:
(in millions)
Sales-type Leases1
Operating Leases
2026$15 $
2027
2028
2029
2030— 
Thereafter— — 
Total minimum lease payments$32 $28 
1 Unamortized imputed interest on minimum lease payments was $2 million as of December 31, 2025
v3.25.4
STOCKHOLDERS’ EQUITY (Tables)
12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Stock Options Fair Value Assumptions The weighted-average assumptions used in estimating the fair value of stock options granted during each year, along with the weighted-average grant-date fair values, were as follows:
years ended December 3120252023
Expected volatility30 %27 %
Expected life (in years)6.56.0
Risk-free interest rate4.1 %4.2 %
Dividend yield2.3 %3.0 %
Fair value per stock option$$
Summary of Stock Option Activity
The following table summarizes stock option activity for the year ended December 31, 2025 and the outstanding stock options as of December 31, 2025.
(options and aggregate intrinsic values in thousands)OptionsWeighted-
average
exercise
price
Weighted-
average
remaining
contractual
term
(in years)
Aggregate
intrinsic
value
Outstanding as of January 1, 2025
17,381 $60.15 
Granted1,251 $31.25 
Exercised— $— 
Forfeited(771)$41.84 
Expired(4,106)$54.86 
Outstanding as of December 31, 202513,755 $60.12 3.95$— 
Vested or expected to vest as of December 31, 202513,663 $60.33 3.90$— 
Exercisable as of December 31, 202511,932 $64.09 3.32$— 
Summary of Nonvested RSU Activity
The following table summarizes nonvested RSU activity for the year ended December 31, 2025.
(share units in thousands)Share unitsWeighted-
average
grant-date
fair value
Nonvested RSUs as of January 1, 2025
6,940 $43.94 
Granted4,198 $32.63 
Vested(2,867)$46.08 
Forfeited(2,132)$41.35 
Nonvested RSUs as of December 31, 20256,139 $36.12 
Performance Stock Units Fair Value The assumptions used in estimating the fair value of these PSUs granted during the period, along with the grant-date fair values, were as follows:
years ended December 31202520242023
Baxter volatility31 %29 %27 %
Peer group volatility
19%-53%
20%-52%
23%-54%
Correlation of returns
0.06-0.47
0.12-0.51
0.23-0.48
Risk-free interest rate3.9 %4.3 %4.6 %
Fair value per PSU$39 $57 $30 
Summary of Nonvested Performance Stock Unit Activity
The following table summarizes nonvested PSU activity for the year ended December 31, 2025.
(share units in thousands)Share unitsWeighted-
average
grant-date
fair value
Nonvested PSUs as of January 1, 2025
602 $42.36 
Granted1,012 $31.72 
Vested— $— 
Forfeited(350)$35.59 
Nonvested PSUs as of December 31, 20251,264 $35.97 
v3.25.4
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)
12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Summary of Changes in AOCI by Component
The following table is a net-of-tax summary of the changes in AOCI by component for the years ended December 31, 2025, 2024, and 2023.
(in millions)CTAPension and OPEB plansHedging
activities
Available-for-sale debt securitiesTotal
Gains (losses)
Balance as of December 31, 2024$(3,430)$(475)$(108)$$(4,010)
Other comprehensive income (loss) before reclassifications171 (19)(2)— 150 
Amounts reclassified from AOCI (a)126 (20)— — 106 
Net other comprehensive income (loss)297 (39)(2)— 256 
Balance as of December 31, 2025$(3,133)$(514)$(110)$$(3,754)
(in millions)CTAPension and OPEB plansHedging
activities
Available-for-sale debt securitiesTotal
Gains (losses)
Balance as of December 31, 2023$(2,985)$(452)$(120)$$(3,554)
Other comprehensive income (loss) before reclassifications(445)(19)10 — (454)
Amounts reclassified from AOCI (a)— (4)— (2)
Net other comprehensive income (loss)(445)(23)12 — (456)
Balance as of December 31, 2024$(3,430)$(475)$(108)$$(4,010)
(in millions)CTAPension and OPEB plansHedging
activities
Available-for-sale debt securitiesTotal
Gains (losses)
Balance as of December 31, 2022$(3,386)$(331)$(119)$$(3,833)
Other comprehensive income (loss) before reclassifications216 (106)— 115 
Amounts reclassified from AOCI (a)185 (15)(6)— 164 
Net other comprehensive income (loss)401 (121)(1)— 279 
Balance as of December 31, 2023$(2,985)$(452)$(120)$$(3,554)
(a)    See table below for details about these reclassifications.
Summary of Reclassification from AOCI to Net Income
The following table is a summary of the amounts reclassified from AOCI to net income (loss) during the years ended December 31, 2025, 2024 and 2023.
Amounts reclassified from
AOCI (a)
(in millions)202520242023Location of impact
in income statement
CTA
Reclassification of cumulative translation loss to earnings from Kidney Care separation$(126)$— $— Income (loss) from discontinued operations, net of tax
Reclassification of cumulative translation loss to earnings from BPS divestiture— — (185)Income (loss) from discontinued operations, net of tax
(126)— (185)Total before tax
Less: Tax effect— — — Income tax expense (benefit)
$(126)$— $(185)Net of tax
Pension and OPEB items
Amortization of net losses and prior service costs or credits$11 $$18 Other (income) expense, net
Settlement charges— — (2)Other (income) expense, net
Pension settlement from Kidney Care separation14 — — Income (loss) from discontinued operations, net of tax
Pension settlement from BPS divestiture— — Income (loss) from discontinued operations, net of tax
25 20 Total before tax
Less: Tax effect(2)(2)(5)Income tax expense (benefit)
Less: Tax effect on pension settlement from Kidney Care separation(3)— — Income tax expense (benefit)
$20 $$15 Net of tax
Gains (losses) on hedging activities 
Foreign exchange contracts$$$16 Cost of sales
Interest rate contracts(6)(6)(6)Interest expense, net
Fair value hedges— (5)(3)Other (income) expense, net
— (3)Total before tax
Less: Tax effect— (1)Income tax expense (benefit)
$— $(2)$Net of tax
Total reclassifications for the period$(106)$$(164)Total net of tax
(a)Amounts in parentheses indicate reductions to net income.
v3.25.4
REVENUES (Tables)
12 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
Summary of Contract Assets and Liabilities
The following table summarizes our contract assets:
as of December 31 (in millions)20252024
Contract manufacturing services$$
Software sales34 44 
Bundled equipment and consumable medical products contracts110 87 
Contract assets$147 $133 
The following table summarizes contract liability activity for the years ended December 31, 2025 and 2024. The contract liability balance represents the transaction price allocated to the remaining performance obligations.
year ended December 31 (in millions)20252024
Balance at beginning of period$171 $169 
New revenue deferrals605 554 
Revenue recognized upon satisfaction of performance obligations(601)(555)
Currency translation
Balance at end of period$177 $171 
The following table summarizes the classification of contract assets and contract liabilities as reported in the consolidated balance sheet:
as of December 31 (in millions)20252024
Prepaid expenses and other current assets$71 $51 
Other non-current assets76 82 
Contract assets$147 $133 
Accrued expenses and other current liabilities$141 $131 
Other non-current liabilities36 40 
Contract liabilities$177 $171 
v3.25.4
BUSINESS OPTIMIZATION CHARGES (Tables)
12 Months Ended
Dec. 31, 2025
Restructuring and Related Activities [Abstract]  
Business Optimization Charges
We recorded the following charges related to business optimization programs in 2025, 2024 and 2023:
years ended December 31 (in millions)202520242023
Restructuring charges$162 $146 $141 
Costs to implement business optimization programs1
16 16 33 
Total business optimization charges$178 $162 $174 
1 Costs to implement business optimization programs for the years ended December 31, 2025, 2024 and 2023, respectively, consisted primarily of external consulting and transition costs, including employee compensation and related costs. The costs were primarily included within cost of sales and SG&A expenses.
Components of Restructuring Costs During the years ended December 31, 2025, 2024 and 2023, we recorded the following restructuring charges:
2025
(in millions)COGSSG&AR&DTotal
Employee termination costs$36 $62 $11 $109 
Contract termination and other costs11 — 15 
Asset impairments19 19 — 38 
Total restructuring charges$66 $85 $11 $162 
2024
(in millions)COGSSG&AR&DTotal
Employee termination costs$20 $48 $30 $98 
Contract termination and other costs— 
Asset impairments39 — — 39 
Total restructuring charges$62 $54 $30 $146 
2023
(in millions)COGSSG&AR&DTotal
Employee termination costs$20 $91 $10 $121 
Contract termination and other costs(1)— 
Asset impairments11 — 18 
Total restructuring charges$30 $101 $10 $141 
Summary of Activity in Reserves related to Business Optimization Initiatives
The following table summarizes activity in the liability related to our restructuring initiatives.
(in millions)
Liability balance as of December 31, 2022$86 
Charges146 
Payments (101)
Reserve adjustments(23)
Currency translation(13)
Liability balance as of December 31, 202395 
Charges116 
Payments(80)
Reserve adjustments(9)
Liability balance as of December 31, 2024122 
Charges137 
Payments(118)
Reserve adjustments(13)
Currency translation
Liability balance as of December 31, 2025$133 
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS (Tables)
12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
Reconciliation of Pension and OPEB Plan Obligations, Assets and Funded Status
The benefit plan information in the table below pertains to all of our pension and OPEB plans, both in the United States and in other countries.    
Pension benefitsOPEB
as of and for the years ended December 31 (in millions)2025202420252024
Benefit obligations
Beginning of period$2,748 $2,901 $141 $154 
Service cost13 11 — — 
Interest cost136 136 
Participant contributions— — 
Actuarial (gain) loss81 (129)(3)
Benefit payments(148)(133)(15)(15)
Settlements(5)(8)— — 
Curtailment(2)— — — 
Plan Amendments— — — (2)
Foreign exchange and other34 (33)— (1)
End of period2,859 2,748 139 141 
Fair value of plan assets
Beginning of period2,228 2,350 — — 
Actual return on plan assets221 (4)— — 
Employer contributions56 46 15 15 
Participant contributions— — 
Benefit payments(148)(133)(15)(15)
Settlements(5)(8)— — 
Foreign exchange and other34 (26)— — 
End of period2,388 2,228 — — 
Funded status at December 31$(471)$(520)$(139)$(141)
Amounts recognized in the consolidated balance sheets
Noncurrent asset$66 $56 $— $— 
Current liability(24)(23)(15)(16)
Noncurrent liability(513)(553)(124)(125)
Net liability recognized at December 31$(471)$(520)$(139)$(141)
Information Relating to Individual Plans in Funded Status that have ABO in Excess of Plan Assets The following table is information relating to the individual plans in the funded status table above that have an ABO in excess of plan assets.
as of December 31 (in millions)20252024
ABO$2,508 $2,403 
Fair value of plan assets$1,982 $1,843 
Information Relating to Individual Plans in Funded Status that have PBO in Excess of Plan Assets
The following table presents information relating to the individual plans in the funded status table above that have a PBO in excess of plan assets (many of which also have an ABO in excess of assets and are therefore also included in the table directly above).
as of December 31 (in millions)20252024
PBO$2,519 $2,419 
Fair value of plan assets$1,982 $1,843 
Expected Net Pension and OPEB Plan Payments for Next 10 Years
(in millions)Pension benefitsOPEB
2026$172 $15 
2027179 15 
2028186 14 
2029190 13 
2030195 13 
2031 through 20351,009 53 
Total expected net benefit payments for next 10 years$1,931 $123 
Summary of Pre-Tax losses Included in AOCI
The following table is a summary of the pre-tax losses (gains) included in AOCI at December 31, 2025 and 2024.
(in millions)Pension benefitsOPEB
Actuarial loss (gain)$680 $(27)
Prior service credit and transition obligation(2)
Total pre-tax loss (gain) recognized in AOCI at December 31, 2025$689 $(29)
Actuarial loss (gain)$642 $(42)
Prior service credit and transition obligation11 (10)
Total pre-tax loss (gain) recognized in AOCI at December 31, 2024$653 $(52)
Summary of Net-of-Tax Amounts Recorded in OCI Relating to Pension and OPEB Plans The following table is a summary of the net-of-tax amounts recorded in OCI relating to pension and OPEB plans.
Year ended December 31 (in millions)202520242023
Gain (loss) arising during the year, net of tax of $(14) in 2025, $(6) in 2024 and $31 in 2023
$(20)$(15)$(103)
Amortization of gain (loss) to earnings, net of tax of $(3) in 2025, zero in 2024 and $(5) in 2023
(8)(4)13 
Settlement charges, net of tax of zero in 2025 and 2024 and $(1) 2023
— — (2)
Pension and other employee benefits$(28)$(19)$(92)
Net Periodic Benefit Cost - Continuing Operations
Year ended December 31 (in millions)202520242023
Pension benefits
Service cost$13 $11 $19 
Interest cost136 136 148 
Expected return on plan assets(176)(179)(187)
Amortization of net losses and other deferred amounts15 
Curtailment gain(1)— — 
Settlement charges— — 
Other— — 
Net periodic pension benefit cost$(22)$(17)$(12)
OPEB
Interest cost$$$
Amortization of net losses and prior service credit(17)(19)(24)
Curtailment gain— — (1)
Net periodic OPEB cost$(10)$(11)$(17)
Weighted-Average Assumptions Used in Determining Benefit Obligations at Measurement Date
Pension benefitsOPEB
2025202420252024
Discount rate
U.S. and Puerto Rico plans5.46 %5.71 %5.13 %5.54 %
International plans3.90 %3.67 %n/an/a
Rate of compensation increase
U.S. and Puerto Rico plans4.00 %3.00 %n/an/a
International plans2.96 %3.07 %n/an/a
Annual rate of increase in the per-capita costn/an/a6.50 %6.75 %
Rate decreased ton/an/a5.00 %5.00 %
by the year endedn/an/a20322032
Pension benefitsOPEB
202520242023202520242023
Discount rate
U.S. and Puerto Rico plans5.71 %5.20 %5.55 %5.54 %5.11 %5.46 %
International plans3.67 %3.41 %4.11 %n/an/an/a
Expected return on plan assets
U.S. and Puerto Rico plans6.65 %6.65 %6.43 %n/an/an/a
International plans5.21 %4.86 %4.93 %n/an/an/a
Rate of compensation increase
U.S. and Puerto Rico plans3.00 %2.60 %2.93 %n/an/an/a
International plans3.06 %3.32 %3.43 %n/an/an/a
Annual rate of increase in the per-capita costn/an/an/a6.50 %6.75 %6.25 %
Rate decreased ton/an/an/a5.00 %5.00 %5.00 %
by the year endedn/an/an/a203220322029
Fair Value of Pension Plan Assets and Liabilities
The following tables summarize our pension plan financial instruments that are measured at fair value on a recurring basis.
Basis of fair value measurement
(in millions)Balance at December 31, 2025Quoted prices
in active
markets for
identical assets
(Level 1)
Significant
other
observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
Measured at NAV (a)
Assets
Cash$60 
Fixed income securities
Cash equivalents$181 $— $181 $— $— 
U.S. government and government agency issues245 — 245 — — 
Corporate bonds398 — 398 — — 
Equity securities
Mutual funds743 222 521 — 
Common/collective trust funds335 — 38 — 297 
Partnership investments204 — — — 204 
Other holdings222 85 132 — 
Fair value of pension plan assets$2,388 $227 $1,468 $132 $501 
(a) Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
Basis of fair value measurement
(in millions)Balance at December 31, 2024Quoted prices
in active
markets for
identical assets
(Level 1)
Significant
other
observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
Measured at NAV (a)
Assets
Cash$52 
Fixed income securities
Cash equivalents$179 $— $179 $— $— 
U.S. government and government agency issues135 — 135 — — 
Corporate bonds357 — 357 — — 
Equity securities
Common stock353 353 — — — 
Mutual funds199 199 — — 
Common/collective trust funds540 — — — 540 
Partnership investments198 — — — 198 
Other holdings215 79 127 — 
Fair value of pension plan assets$2,228 $561 $750 $127 $738 
(a) Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
Changes in Fair Value Measurements that Used Significant Unobservable Inputs
The following table is a reconciliation of changes in fair value measurements that used significant unobservable inputs (Level 3).
(in millions)Other
holdings
Balance at December 31, 2023$155 
Unrealized gains (losses)(24)
Sales(7)
Purchases
Balance at December 31, 2024127 
Unrealized gains (losses)10 
Sales(7)
Purchases
Balance at December 31, 2025$132 
Funded Status Percentage of Pension Plans
The following table details the funded status percentage of our pension plans as of December 31, 2025, including certain plans that are unfunded in accordance with the guidelines of our funding policy outlined above.
United States and Puerto RicoInternational
as of December 31, 2025 (in millions)Qualified
plans
Nonqualified
plan
Funded
plans
Unfunded
plans
Total
Fair value of plan assets$1,890 $ n/a$498 $ n/a$2,388 
PBO2,117 185 537 20 2,859 
Funded status percentage89 %n/a93 %n/a84 %
v3.25.4
INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Income (Loss) Before Income Tax Expense (Benefit) by Category
Income (Loss) Before Income Tax Expense (Benefit) by Category
years ended December 31 (in millions)202520242023
United States$(1,345)$(1,499)$(1,057)
Foreign840 1,210 1,299 
Income (loss) from continuing operations before income taxes$(505)$(289)$242 
Income Tax Expense (Benefit)
Income Tax Expense (Benefit)
years ended December 31 (in millions)202520242023
Current
United States
Federal$118 $19 $
State and local29 21 
Foreign171 259 307 
Current income tax expense (benefit)318 299 317 
Deferred
United States
Federal(34)(197)(123)
State and local37 (21)(25)
Foreign74 (44)(108)
Deferred income tax expense (benefit)77 (262)(256)
Income tax expense (benefit)$395 $37 $61 
Deferred Tax Assets and Liabilities
Deferred Tax Assets and Liabilities
as of December 31 (in millions)20252024
Deferred tax assets
Accrued liabilities and other$403 $310 
Pension and other postretirement benefits124 131 
Tax credit and net operating loss carryforwards433 750 
Swiss tax reform net asset basis step-up103 92 
Operating lease liabilities66 139 
Valuation allowances(543)(536)
Total deferred tax assets586 886 
Deferred tax liabilities
Unremitted earnings of subsidiaries33 21 
Long-lived assets and other536 632 
Operating lease right-of-use assets62 132 
Total deferred tax liabilities631 785 
Net deferred tax asset (liability)$(45)$101 
Summary of Valuation Allowance
The following table is a summary of changes in our deferred tax valuation allowance for the years ended December 31, 2025, 2024 and 2023.
years ended December 31 (in millions)202520242023
Balance at beginning of period$536 $584 $631 
Charged to income tax expense309 48 87 
Deductions(349)(73)(139)
Currency translation adjustments47 (23)
Balance at end of period$543 $536 $584 
Income Tax Expense (Benefit) Reconciliation
Income Tax Expense (Benefit) Reconciliation
As discussed in Note 1, Summary of Significant Accounting Policies, we have elected to prospectively adopt the guidance in ASU 2023-09. The following table is a reconciliation of the income tax expense (benefit) at the U.S. statutory rate to our income tax expense (benefit) for the year ended December 31, 2025.
year ended December 31 (in millions)2025%
Income tax expense (benefit) at U.S. statutory rate$(106)21.0 %
State and local income taxes, net of federal (national) income tax effect1
62 (12.3)%
Foreign tax effects
Costa Rica
Local tax incentive rate(23)4.6 %
Other10 (2.0)%
Netherlands26 (5.1)%
Puerto Rico
Local tax incentive rate(19)3.8 %
Other(1.8)%
Switzerland
Changes in valuation allowances54 (10.7)%
Other(5)1.0 %
Other jurisdictions37 (7.3)%
Effect of cross-border tax laws
Global intangible low taxed income, net of tax credits18 (3.6)%
Effect of internal reorganization(56)11.1 %
Other(8)1.6 %
Tax credits
Foreign tax credits(24)4.8 %
Research and development tax credits(18)3.6 %
Changes in valuation allowances88 (17.4)%
Nontaxable or Non-deductible items
Non-deductible goodwill impairment90 (17.8)%
Other, net15 (3.0)%
Changes in unrecognized tax benefits246 (48.7)%
Other adjustments
Other, net(1)0.2 %
Income tax expense (benefit)$395 (78.2)%
1 State taxes in IL, IN, CA, and PA made up the majority (greater than 50 percent) of the tax effect in this category.
The following table is a reconciliation of the income tax expense (benefit) at the U.S. statutory rate to our income tax expense (benefit) for the years ended December 31, 2024 and 2023 in accordance with the guidance prior to the adoption of ASU 2023-09.
years ended December 31 (in millions)20242023
Income tax expense (benefit) at U.S. statutory rate$(61)$51 
Tax incentives(176)(200)
State and local taxes, net of federal benefit(9)(2)
Impact of foreign taxes137 190 
Non-deductible goodwill impairments86 — 
Notional interest deduction expense (benefit)(37)31 
Valuation allowances(25)(51)
Stock compensation (windfall) shortfall tax expense (benefit)10 
Research and development tax credits(19)(17)
Uncertain tax positions
Unutilized foreign tax credits15 32 
Subpart F income18 26 
Foreign tax credits(5)(7)
Pillar Two taxes11 — 
Revaluation of Swiss basis step-up deferred tax asset58 — 
Tax law changes on Section 98717 — 
Other, net(8)
Income tax expense (benefit)$37 $61 
Reconciliation of Unrecognized Tax Benefits
The following table is a reconciliation of our unrecognized tax benefits for the years ended December 31, 2025, 2024 and 2023. 
as of and for the years ended (in millions)202520242023
Balance at beginning of the year$96 $89 $87 
Increase associated with tax positions taken during the current year10 
Increase (decrease) associated with tax positions taken during a prior year258 
Settlements— (1)(2)
Decrease associated with lapses in statutes of limitations(30)(7)(8)
Balance at end of the year$329 $96 $89 
v3.25.4
EARNINGS (LOSS) PER SHARE (Tables)
12 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
Schedule of Earnings Per Share, Basic and Diluted
The following table is a reconciliation of net income (loss) attributable to Baxter stockholders.
years ended December 31(in millions)202520242023
Income (loss) from continuing operations$(900)$(326)$181 
Less: Net income attributable to noncontrolling interests included in continuing operations— — — 
Income (loss) from continuing operations attributable to Baxter stockholders(900)(326)181 
Income (loss) from discontinued operations(57)(312)2,482 
Less: Net income attributable to noncontrolling interests included in discontinued operations— 11 
Income (loss) from discontinued operations attributable to Baxter stockholders(57)(323)2,475 
Net income (loss) attributable to Baxter stockholders$(957)$(649)$2,656 
Reconciliation of Basic Shares to Diluted Shares
The following table is a reconciliation of basic shares to diluted shares.
years ended December 31(in millions)202520242023
Basic shares513 510 506 
Effect of dilutive securities— — 
Diluted shares513 510 508 
v3.25.4
DERIVATIVES AND HEDGING ACTIVITIES (Tables)
12 Months Ended
Dec. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Summary of Gains and Losses on Derivative Instruments
The following tables summarize the gains and losses on our hedging instruments and the classification of those gains and losses within our consolidated financial statements for the years ended December 31, 2025, 2024 and 2023.
(in millions)Gain (loss)
recognized in OCI
Location of gain
(loss) in
income statement
Gain (loss) reclassified from
AOCI into income
202520242023202520242023
Cash flow hedges
Interest rate contracts$— $— $— Interest expense, net$(6)$(6)$(6)
Foreign exchange contracts(1)17 15 Cost of sales15 
Fair value hedges
Foreign exchange contracts— (3)(4)Other (income) expense, net— (5)(3)
Net investment hedges(127)87 (58)Other (income) expense, net— — — 
Total$(128)$101 $(47)$— $(3)$
Location of gain (loss) in
income statement
Gain (loss) recognized
in income
(in millions)202520242023
Fair value hedges
Foreign exchange contractsOther (income) expense, net$— $(24)$38 
Undesignated derivative instruments
Foreign exchange contractsOther (income) expense, net30 (13)
Total$30 $(37)$40 
Net of Tax Activity in Accumulated Other Comprehensive Income Related to Cash Flow Hedges
The following table summarizes net-of-tax activity in AOCI, a component of stockholders’ equity, related to our cash flow hedges.
as of and for the year ended December 31 (in millions)202520242023
Accumulated other comprehensive income (loss) balance at beginning of year$(108)$(120)$(119)
(Loss) gain in fair value of derivatives during the year(2)10 
Amount reclassified to earnings during the year— (6)
Accumulated other comprehensive income (loss) balance at end of year$(110)$(108)$(120)
Classification and Fair Value Amounts of Derivative Instruments
The following table summarizes the classification and fair values of derivative instruments reported in the consolidated balance sheet as of December 31, 2025.
Derivatives in liability positions
(in millions)Balance sheet locationFair value
Derivative instruments designated as hedges
Net investment hedgesLong-term debt and finance lease obligations, less current portion$834 
Undesignated derivative instruments
Foreign exchange contracts
Accrued expenses and other current liabilities
Total derivative instruments$835 
The following table summarizes the classification and fair values of derivative instruments reported in the consolidated balance sheet as of December 31, 2024.
Derivatives in asset positionsDerivatives in liability positions
(in millions)Balance sheet locationFair valueBalance sheet locationFair value
Derivative instruments designated as hedges
Foreign exchange contracts
Prepaid expenses and other current assets$Accrued expenses and other current liabilities$— 
Net investment hedgesCurrent maturities of long-term debt and finance lease obligations618 
Net investment hedgesLong-term debt and finance lease obligations, less current portion727 
Undesignated derivative instruments
Foreign exchange contracts
Prepaid expenses and other current assetsAccrued expenses and other current liabilities
Total derivative instruments$$1,347 
Derivative Positions Presented on Net Basis
The following table provides information on our derivative positions as if they were presented on a net basis, allowing for the right of offset by counterparty.
December 31, 2025December 31, 2024
(in millions)AssetLiabilityAssetLiability
Gross amounts recognized in the consolidated balance sheets$— $$$
Gross amount subject to offset in master netting arrangements not offset in the consolidated balance sheets— — (1)(1)
Total$— $$$
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location
The following table presents the amounts recorded on the consolidated balance sheets related to fair value hedges:
Carrying amount of hedged itemsCumulative amount of fair value hedging adjustment included in the carrying amount of the hedged items (a)
(in millions)Balance as of December 31, 2025Balance as of December 31, 2024Balance as of December 31, 2025Balance as of December 31, 2024
Long-term debt$99 $99 $$
(a) These fair value hedges were terminated in 2018 and earlier periods.
v3.25.4
FAIR VALUE MEASUREMENTS (Tables)
12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis
The following tables summarize our assets and liabilities that are measured at fair value on a recurring basis.
Basis of fair value measurement
(in millions)Balance as of December 31,
2025
Quoted prices
in active
markets for
identical assets
(Level 1)
Significant
other
observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
Assets
Available-for-sale debt securities$$— $— $
Marketable equity securities 15 15 — — 
Total$16 $15 $— $
Liabilities
Foreign exchange contracts$$— $$— 
Contingent payments related to acquisitions— — 
Indemnifications related to Kidney Care separation1
53 — — 53 
Total$61 $— $$60 
1See Note 2 for additional information.
Basis of fair value measurement
(in millions)Balance as of December 31,
2024
Quoted prices
in active
markets for
identical assets
(Level 1)
Significant
other
observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
Assets
Foreign exchange contracts$$— $$— 
Available-for-sale debt securities— — 
Marketable equity securities13 13 — — 
Total$21 $13 $$
Liabilities
Foreign exchange contracts$$— $$— 
Contingent payments related to acquisitions12 — — 12 
Total$14 $— $$12 
Reconciliation of Fair Value Measurements that Use Significant Unobservable Inputs
The following table is a reconciliation of recurring fair value measurements that use significant unobservable inputs (Level 3), which consist of indemnifications related to the Kidney Care separation, contingent payments related to acquisitions and available-for-sale debt securities.
20252024
as of and for the years ended December 31 (in millions)Indemnifications related to Kidney Care separationContingent payments related to acquisitionsAvailable-for-sale debt securitiesContingent payments related to acquisitionsAvailable-for-sale debt securities
Fair value at beginning of period$— $12 $$14 $
Additions67 — — — — 
Change in fair value recognized in earnings— — — — 
Payments(14)(5)— (2)— 
Transfers out of Level 3— (2)— — — 
Fair value at end of period$53 $$$12 $
Book Values and Fair Values of Financial Instruments For these financial instruments, the following table provides the values recognized in the consolidated balance sheets and the estimated fair values.
Book valuesFair values(a)
as of December 31 (in millions)2025202420252024
Liabilities
Short-term debt$— $2,126 $— $2,126 
Current maturities of long-term debt — 626 — 619 
Long-term debt 9,436 10,374 8,714 9,295 
(a) These fair value amounts are classified as Level 2 within the fair value hierarchy as they are estimated based on observable inputs.
v3.25.4
SEGMENT AND GEOGRAPHIC INFORMATION (Tables)
12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment Information
The following tables present our U.S. and International disaggregated net sales.
for the years ended December 31202520242023
(in millions)U.S.InternationalTotalU.S.InternationalTotalU.S.InternationalTotal
Infusion Therapies & Technologies
$2,236 $1,865 $4,101 $2,279 $1,824 $4,103 $2,227 $1,733 $3,960 
Advanced Surgery
648 550 1,198 603 501 1,104 582 469 1,051 
Medical Products & Therapies2,884 2,415 5,299 2,882 2,325 5,207 2,809 2,202 5,011 
Care & Connectivity Solutions
1,372 539 1,911 1,311 503 1,814 1,263 537 1,800 
Front Line Care
871 289 1,160 843 294 1,137 905 308 1,213 
Healthcare Systems & Technologies
2,243 828 3,071 2,154 797 2,951 2,168 845 3,013 
Injectables & Anesthesia
749 603 1,352 780 593 1,373 759 588 1,347 
Drug Compounding— 1,141 1,141 — 1,038 1,038 — 902 902 
Pharmaceuticals749 1,744 2,493 780 1,631 2,411 759 1,490 2,249 
Other246 135 381 34 33 67 66 21 87 
Total Baxter$6,122 $5,122 $11,244 $5,850 $4,786 $10,636 $5,802 $4,558 $10,360 
Segment results include net sales, cost of sales, SG&A, R&D expenses, corporate costs that had previously been allocated to our former Kidney Care segment which did not convey in the related sale, and other segment items which are directly allocated to each segment. Billings by us under the Kidney Care TSA are included in other segment items as further described in Note 2. Beginning in 2024 annual reporting, we adopted ASU 2023-07 retrospectively. The following tables present our segment information of net sales, significant expenses and operating income during the periods presented.
For the year ended December 31, 2025
(in millions)Medical Products & TherapiesHealthcare Systems & TechnologiesPharmaceuticals
Net sales$5,299 $3,071 $2,493 
Cost of sales3,065 1,603 1,777 
Selling, general and administrative expenses1,162 873 429 
Research and development expenses209 190 101 
Other segment items(107)(36)(36)
Segment operating income$970 $441 $222 
For the year ended December 31, 2024
(in millions)Medical Products & TherapiesHealthcare Systems & TechnologiesPharmaceuticals
Net sales$5,207 $2,951 $2,411 
Cost of sales2,867 1,464 1,612 
Selling, general and administrative expenses1,176 836 396 
Research and development expenses216 184 91 
Other segment items(2)(1)(1)
Segment operating income$950 $468 $313 
For the year ended December 31, 2023
(in millions)Medical Products & TherapiesHealthcare Systems & TechnologiesPharmaceuticals
Net sales$5,011 $3,013 $2,249 
Cost of sales2,720 1,532 1,400 
Selling, general and administrative expenses1,097 822 363 
Research and development expenses222 176 86 
Other segment items— — (1)
Segment operating income$972 $483 $401 
Revenue from External Customers by Geographic Areas
Our net sales are attributed to the following geographic regions based on the location of the customer.
for the years ended December 31 (in millions)202520242023
Net sales:
United States$6,122 $5,850 $5,802 
Emerging markets1
1,394 1,350 1,343 
Rest of world 2
3,728 3,436 3,215 
Total net sales$11,244 $10,636 $10,360 
1 Emerging markets include sales from our operations in Eastern Europe, the Middle East, Africa, Latin America and Asia (except for Japan).
2 Rest of world includes sales from our operations in Western Europe, Canada, Japan, Australia and New Zealand.
Geographic Information
Our property, plant and equipment and operating lease right-of-use assets, net are attributed to the following geographic regions.
as of December 31 (in millions)20252024
Property, plant and equipment and operating lease right-of-use assets, net:
United States$1,609 $1,654 
Emerging markets817 793 
Rest of world 760 729 
Total property, plant and equipment and operating lease right-of-use assets, net$3,186 $3,176 
Reconciliation of Segment Operating Income To Income Before Income Taxes
The following table presents our reportable segment operating income and reconciliations of reportable segment operating income to income (loss) from continuing operations before income taxes.
for the years ended December 31 (in millions)202520242023
Medical Products & Therapies$970 $950 $972 
Healthcare Systems & Technologies441 468 483 
Pharmaceuticals222 313 401 
Total reportable segment operating income1,633 1,731 1,856 
Other43 18 18 
Unallocated corporate costs(86)(275)(355)
Intangible asset amortization expense(598)(625)(590)
Business optimization items(178)(162)(174)
European Medical Devices Regulation(21)(33)(41)
Indefinite-lived asset impairments(290)(50)— 
Separation-related costs(58)— — 
Legal matters(11)(17)(7)
Acquisition and integration items(27)(23)— 
Product-related reserves(113)(15)— 
Hurricane Helene Costs(133)(110)— 
Goodwill impairments(485)(425)— 
Gain on sale of long-lived asset16 — — 
Total operating income (loss)(308)14 707 
Interest expense, net238 341 439 
Other (income) expense, net(41)(38)26 
Income (loss) from continuing operations before income taxes$(505)$(289)$242 
Additional financial information for our segments is as follows:
for the years ended December 31 (in millions)202520242023
Depreciation Expense1:
Medical Products & Therapies$206 $201 $232 
Healthcare Systems & Technologies112 109 108 
Pharmaceuticals65 62 54 
Total depreciation expense$383 $372 $394 
1 Depreciation expense related to Corporate property, plant and equipment has been fully allocated to our segments and those allocations are reflected in the depreciation amounts presented herein.
v3.25.4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Nature of Operations - Additional Information (Details)
12 Months Ended
Dec. 31, 2025
segment
Accounting Policies [Abstract]  
Number of segments 3
v3.25.4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Basis of Presentation - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Jan. 31, 2025
Dec. 31, 2025
Dec. 31, 2024
Discontinued Operations, Disposed of by Sale | Kidney Care      
Summary Of Significant Accounting Policies [Line Items]      
Agreed purchase price $ 3,800    
Proceeds from divestiture of businesses 3,710    
Proceeds $ 3,300    
Hurricane      
Summary Of Significant Accounting Policies [Line Items]      
Hurricane Helene Costs   $ 133 $ 110
Tangible asset write-off     44
Remediation, unused facility, freight, and other costs     317
Insurance receivable     $ 251
v3.25.4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue Recognition - Additional Information (Details)
$ in Millions
12 Months Ended
Dec. 31, 2025
USD ($)
Summary Of Significant Accounting Policies [Line Items]  
Transaction price allocated to remaining performance obligations $ 8,500
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2026-01-01  
Summary Of Significant Accounting Policies [Line Items]  
Remaining performance obligations period 1 year
Remaining revenue performance obligation, percentage of revenue expected to be recognized 25.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2027-01-01  
Summary Of Significant Accounting Policies [Line Items]  
Remaining performance obligations period 1 year
Remaining revenue performance obligation, percentage of revenue expected to be recognized 25.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2028-01-01  
Summary Of Significant Accounting Policies [Line Items]  
Remaining performance obligations period 1 year
Remaining revenue performance obligation, percentage of revenue expected to be recognized 15.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2029-01-01  
Summary Of Significant Accounting Policies [Line Items]  
Remaining performance obligations period 1 year
Remaining revenue performance obligation, percentage of revenue expected to be recognized 15.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2030-01-01  
Summary Of Significant Accounting Policies [Line Items]  
Remaining performance obligations period 1 year
Remaining revenue performance obligation, percentage of revenue expected to be recognized 10.00%
Minimum  
Summary Of Significant Accounting Policies [Line Items]  
Global payment terms 30 days
Maximum  
Summary Of Significant Accounting Policies [Line Items]  
Global payment terms 90 days
Amortization period for cost incurred to obtain contract 1 year
Contract with customer period for goods or service transfers and customer pays for goods or service 1 year
v3.25.4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Shipping and Handling Costs - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Accounting Policies [Abstract]      
Shipping costs included in marketing and administrative expenses $ 373 $ 382 $ 358
v3.25.4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Property, Plant and Equipment, Net - Additional Information (Details)
Dec. 31, 2025
Minimum | Building and Building Improvements  
Summary Of Significant Accounting Policies [Line Items]  
Estimated useful life 20 years
Minimum | Machinery and equipment  
Summary Of Significant Accounting Policies [Line Items]  
Estimated useful life 3 years
Minimum | Software and Software Development Costs  
Summary Of Significant Accounting Policies [Line Items]  
Estimated useful life 3 years
Maximum | Building and Building Improvements  
Summary Of Significant Accounting Policies [Line Items]  
Estimated useful life 50 years
Maximum | Machinery and equipment  
Summary Of Significant Accounting Policies [Line Items]  
Estimated useful life 15 years
Maximum | Software and Software Development Costs  
Summary Of Significant Accounting Policies [Line Items]  
Estimated useful life 5 years
v3.25.4
DISCONTINUED OPERATIONS - Narrative (Details) - USD ($)
$ in Millions
1 Months Ended 9 Months Ended 12 Months Ended
Jan. 31, 2025
Sep. 29, 2023
May 31, 2023
Sep. 30, 2025
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]              
Net book value   $ 840          
Other comprehensive income         $ 126 $ 183 $ 68
Manufacturing and supply agreement, period     5 years        
Indemnification Agreement              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]              
Indemnification liability, net         53    
Contingent liability for qualifying capital expenditures         $ 133    
Contingent liability, term         3 years    
Contingent liability         $ 83    
Business guarantees retained         35    
Kidney Care Manufacturing and Supply Agreement              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]              
Transaction service agreement, period 10 years            
Kidney Care Transition Services Agreement              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]              
Transaction service agreement, period 30 months            
Discontinued Operations, Disposed of by Sale              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]              
Loss on subsidiary liquidation       $ 97 97 0 2,882
Discontinued Operations, Disposed of by Sale | BioPharma Solutions              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]              
Agreed purchase price   4,250          
Proceeds from divestiture of businesses   3,910          
Pre-tax gain on sale   2,880          
Net proceeds of sale   2,590          
Loss on subsidiary liquidation         0 0 2,882
Pre-tax cash proceeds   3,960          
Transaction costs   47          
Other comprehensive income   $ 181          
Separation costs             17
Discontinued Operations, Disposed of by Sale | Kidney Care              
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]              
Agreed purchase price $ 3,800            
Proceeds from divestiture of businesses 3,710            
Pre-tax gain on sale 191            
Net proceeds of sale $ 111            
Loss on subsidiary liquidation         97 0 0
Separation costs         $ 37 $ 261 $ 196
v3.25.4
DISCONTINUED OPERATIONS - Major Classes of Line Items in Income From Discontinued Operations (Details) - USD ($)
$ in Millions
9 Months Ended 12 Months Ended
Sep. 30, 2025
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Goodwill impairments   $ 485 $ 425 $ 0
Other operating expense (income), net   (206) (12) (28)
Operating income (loss)   (308) 14 707
Interest expense, net   238 341 439
Other (income) expense, net   (41) (38) 26
Income (loss) from discontinued operations, net of tax   (57) (312) 2,482
Less: Net income attributable to noncontrolling interest included in discontinued operations   0 11 7
Net income (loss) attributable to Baxter stockholders included in discontinued operations   (57) (323) 2,475
Discontinued Operations, Disposed of by Sale        
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Net sales   352 4,513 4,922
Cost of sales   226 2,812 3,844
Gross margin   126 1,701 1,078
Selling, general and administrative expenses   116 1,203 1,038
Research and development expenses   16 181 150
Goodwill impairments   0 430 0
Other operating expense (income), net   0 (1) 0
Operating income (loss)   (6) (112) (110)
Interest expense, net   13 13 2
Other (income) expense, net   7 10 26
Income (loss) from discontinued operations before gain on disposition and income taxes   (26) (135) (138)
Gain on disposition $ 97 97 0 2,882
Income tax expense (benefit)   128 177 262
Income (loss) from discontinued operations, net of tax   (57) (312) 2,482
Less: Net income attributable to noncontrolling interest included in discontinued operations   0 11 7
Net income (loss) attributable to Baxter stockholders included in discontinued operations   (57) (323) 2,475
Discontinued Operations, Disposed of by Sale | Kidney Care        
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Net sales   352 4,513 4,453
Cost of sales   226 2,812 3,628
Gross margin   126 1,701 825
Selling, general and administrative expenses   116 1,203 993
Research and development expenses   16 181 149
Goodwill impairments   0 430 0
Other operating expense (income), net   0 (1) 0
Operating income (loss)   (6) (112) (317)
Interest expense, net   13 13 3
Other (income) expense, net   7 10 25
Income (loss) from discontinued operations before gain on disposition and income taxes   (26) (135) (345)
Gain on disposition   97 0 0
Income tax expense (benefit)   128 177 (95)
Income (loss) from discontinued operations, net of tax   (57) (312) (250)
Less: Net income attributable to noncontrolling interest included in discontinued operations   0 11 7
Net income (loss) attributable to Baxter stockholders included in discontinued operations   (57) (323) (257)
Discontinued Operations, Disposed of by Sale | BioPharma Solutions        
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]        
Net sales   0 0 469
Cost of sales   0 0 216
Gross margin   0 0 253
Selling, general and administrative expenses   0 0 45
Research and development expenses   0 0 1
Goodwill impairments   0 0 0
Other operating expense (income), net   0 0 0
Operating income (loss)   0 0 207
Interest expense, net   0 0 (1)
Other (income) expense, net   0 0 1
Income (loss) from discontinued operations before gain on disposition and income taxes   0 0 207
Gain on disposition   0 0 2,882
Income tax expense (benefit)   0 0 357
Income (loss) from discontinued operations, net of tax   0 0 2,732
Less: Net income attributable to noncontrolling interest included in discontinued operations   0 0 0
Net income (loss) attributable to Baxter stockholders included in discontinued operations   $ 0 $ 0 $ 2,732
v3.25.4
DISCONTINUED OPERATIONS - Carrying Amounts of the Assets and Liabilities Classified As Discontinued Operations (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Current assets of discontinued operations $ 0 $ 2,611
Non-current assets of discontinued operations 0 2,500
Current liabilities of discontinued operations 0 930
Non-current liabilities of discontinued operations $ 0 554
Discontinued Operations    
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]    
Cash and cash equivalents   648
Accounts receivable, net of allowances   942
Inventories   821
Prepaid expenses and other current assets   200
Current assets of discontinued operations   2,611
Property, plant and equipment, net   1,516
Goodwill   265
Other intangible assets, net   148
Operating lease right-of-use assets   204
Other non-current assets   367
Non-current assets of discontinued operations   2,500
Assets of discontinued operations   5,111
Current maturities of finance lease obligations   1
Accounts payable   344
Accrued expenses and other current liabilities   585
Current liabilities of discontinued operations   930
Long-term finance lease obligations, less current portion   37
Operating lease liabilities   173
Other non-current liabilities   344
Non-current liabilities of discontinued operations   554
Liabilities of discontinued operations   $ 1,484
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Allowance for Doubtful Accounts (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Accounts Receivable, Allowance for Credit Loss [Roll Forward]      
Balance at beginning of period $ 71 $ 62 $ 50
Charged (released) to costs and expenses (6) 7 7
Write-offs (5) (8) (4)
Currency translation adjustments 3 10 9
Balance at end of period $ 63 $ 71 $ 62
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Inventories (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Raw materials $ 536 $ 510
Work in process 369 266
Finished goods 1,327 1,270
Inventories $ 2,232 $ 2,046
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Prepaid Expenses and Other Current Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Prepaid value added taxes $ 86 $ 167
Prepaid income taxes 175 199
Spare parts 140 123
Contract assets 71 51
Derivative assets 0 8
Other 341 205
Prepaid expenses and other current assets $ 813 $ 753
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Property, Plant and Equipment, Net (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, at cost $ 8,054 $ 7,648
Accumulated depreciation (5,144) (4,778)
Property, plant and equipment (PP&E), net 2,910 2,870
Land and land improvements    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, at cost 119 115
Buildings and leasehold improvements    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, at cost 1,402 1,301
Machinery and equipment    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, at cost 5,454 5,047
Equipment on lease with customers    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, at cost 375 467
Construction in progress    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, at cost $ 704 $ 718
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Property, Plant and Equipment [Line Items]      
Depreciation expense $ 383 $ 372 $ 394
Property, Plant and Equipment      
Property, Plant and Equipment [Line Items]      
Capital expenditures incurred but not yet paid $ 74 $ 64 $ 58
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Other Non-Current Assets (Detail) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Other Assets, Noncurrent    
Deferred tax assets $ 200 $ 204
Non-current receivables, net 50 50
Contract assets 76 82
Capitalized implementation costs in hosting arrangements 89 102
Pension and other postretirement benefits 66 56
Investments 103 109
Other 115 152
Other non-current assets $ 699 $ 755
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Accrued Expenses and Other Current Liabilities (Detail) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Accounts Payable and Accrued Liabilities, Current    
Common stock dividends payable $ 5 $ 87
Employee compensation and withholdings 397 447
Property, payroll and certain other taxes 96 96
Contract liabilities 141 131
Restructuring liabilities 127 112
Accrued rebates 215 214
Operating lease liabilities 81 80
Income taxes payable 83 121
Pension and other postretirement benefits 39 39
Other 784 534
Accrued expenses and other current liabilities $ 1,968 $ 1,861
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Other Non-Current Liabilities (Detail) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Other Liabilities Noncurrent    
Pension and other postretirement benefits $ 637 $ 678
Deferred tax liabilities 245 103
Long-term tax liabilities 146 94
Contingent payments related to acquisitions 7 11
Contract liabilities 36 40
Litigation and environmental reserves 31 29
Restructuring liabilities 6 10
Other 179 111
Other non-current liabilities $ 1,287 $ 1,076
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Interest Expense, net (Detail) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Interest Income Expense Net      
Interest costs $ 304 $ 421 $ 523
Interest costs capitalized (14) (13) (15)
Interest expense 290 408 508
Interest income (52) (67) (69)
Interest expense, net $ 238 $ 341 $ 439
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Other Expense, net (Detail) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Other Income, net      
Foreign exchange (gains) losses, net $ 18 $ 25 $ 53
Change in fair value of marketable equity securities (1) (3) (7)
Pension and other postretirement benefit (gains) losses (45) (39) (48)
Gain on debt extinguishment (16) 0 0
Equity method investment impairment 9 0 0
Non-marketable investment impairments 0 0 34
Other, net (6) (21) (6)
Other (income) expense, net $ (41) $ (38) $ 26
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Income Taxes Paid (Details)
$ in Millions
12 Months Ended
Dec. 31, 2025
USD ($)
Income Tax Paid, by Individual Jurisdiction [Line Items]  
United States - federal $ 12
United States - state and local 12
Total income taxes paid 222
Australia  
Income Tax Paid, by Individual Jurisdiction [Line Items]  
Foreign income taxes paid 18
Canada  
Income Tax Paid, by Individual Jurisdiction [Line Items]  
Foreign income taxes paid 25
Germany  
Income Tax Paid, by Individual Jurisdiction [Line Items]  
Foreign income taxes paid 39
Other  
Income Tax Paid, by Individual Jurisdiction [Line Items]  
Foreign income taxes paid $ 116
v3.25.4
SUPPLEMENTAL FINANCIAL INFORMATION - Supplemental Cash Flow Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]      
Interest paid, net of portion capitalized $ 303 $ 401 $ 484
Income taxes paid   $ 223 $ 174
v3.25.4
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Schedule of Goodwill (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Goodwill [Roll Forward]      
Goodwill, beginning balance $ 5,275    
Impairments (485) $ (425) $ 0
Goodwill, ending balance 4,929 5,275  
Operating Segments      
Goodwill [Roll Forward]      
Goodwill, beginning balance 5,275 5,793  
Impairments (485) (425)  
Currency translation and other 139 (93)  
Goodwill, ending balance 4,929 5,275 5,793
Medical Products & Therapies | Operating Segments      
Goodwill [Roll Forward]      
Goodwill, beginning balance 1,185 1,241  
Impairments 0 0  
Currency translation and other 80 (56)  
Goodwill, ending balance 1,265 1,185 1,241
Healthcare Systems & Technologies | Operating Segments      
Goodwill [Roll Forward]      
Goodwill, beginning balance 3,550 3,989  
Impairments (485) (425)  
Currency translation and other 22 (14)  
Goodwill, ending balance 3,087 3,550 3,989
Pharmaceuticals | Operating Segments      
Goodwill [Roll Forward]      
Goodwill, beginning balance 540 563  
Impairments 0 0  
Currency translation and other 37 (23)  
Goodwill, ending balance $ 577 $ 540 $ 563
v3.25.4
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Additional Information (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Intangible Asset Excluding Goodwill [Line Items]          
Goodwill impairments     $ 485 $ 425 $ 0
Goodwill $ 4,929 $ 5,275 4,929 5,275  
Intangible asset amortization expense     598 625 590
Anticipated annual amortization expense of other intangible assets for 2026 568   568    
Anticipated annual amortization expense of other intangible assets for 2027 417   417    
Anticipated annual amortization expense of other intangible assets for 2028 405   405    
Anticipated annual amortization expense of other intangible assets for 2029 383   383    
Anticipated annual amortization expense of other intangible assets for 2030 $ 320   320    
Impairment Of Intangible Asset Indefinite Lived Excluding Goodwill Statement Of Income Or Comprehensive Income Extensible Enumeration Not Disclosed Flag pre-tax impairment pre-tax impairment charge      
Indefinite-lived asset impairments     $ 290 $ 50 $ 0
Claris          
Intangible Asset Excluding Goodwill [Line Items]          
Indefinite-lived asset impairments   $ 50      
Indefinite-lived intangible assets, discount rate   11.00%   11.00%  
Front Line Care | Healthcare Systems & Technologies          
Intangible Asset Excluding Goodwill [Line Items]          
Goodwill impairments $ 485 $ 425      
Discount rate 10.00% 9.50% 10.00% 9.50%  
Growth rate 3.00% 3.25% 3.00% 3.25%  
Goodwill $ 1,520 $ 1,990 $ 1,520 $ 1,990  
Trade Names | Healthcare Systems & Technologies          
Intangible Asset Excluding Goodwill [Line Items]          
Discount rate 9.00%   9.00%    
Royalty rate 0.030   0.030    
Indefinite-lived asset impairments $ 290        
v3.25.4
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Other Intangible Assets, Net (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Intangible Asset Excluding Goodwill [Line Items]    
Gross other intangible assets $ 8,142 $ 8,349
Accumulated amortization (3,773) (3,126)
Other intangible assets, net 4,369 5,223
Trade Names    
Intangible Asset Excluding Goodwill [Line Items]    
Indefinite-Lived Intangible Assets (Excluding Goodwill), Gross 390  
Indefinite-lived intangible assets 390 680
In process Research and Development    
Intangible Asset Excluding Goodwill [Line Items]    
Indefinite-Lived Intangible Assets (Excluding Goodwill), Gross 107  
Indefinite-lived intangible assets 107 107
Customer relationships    
Intangible Asset Excluding Goodwill [Line Items]    
Gross other intangible assets, finite lived 3,393 3,387
Accumulated amortization (1,095) (878)
Gross other intangible assets, net, finite-lived 2,298 2,509
Developed technology, including patents    
Intangible Asset Excluding Goodwill [Line Items]    
Gross other intangible assets, finite lived 3,208 3,131
Accumulated amortization (2,434) (2,075)
Gross other intangible assets, net, finite-lived 774 1,056
Trade Names    
Intangible Asset Excluding Goodwill [Line Items]    
Gross other intangible assets, finite lived 953 958
Accumulated amortization (172) (107)
Gross other intangible assets, net, finite-lived 781 851
Other amortized intangible assets    
Intangible Asset Excluding Goodwill [Line Items]    
Gross other intangible assets, finite lived 91 86
Accumulated amortization (72) (66)
Gross other intangible assets, net, finite-lived $ 19 $ 20
v3.25.4
DEBT AND CREDIT FACILITIES - Schedule of Debt (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
May 31, 2019
Debt Instrument [Line Items]      
Total debt and finance lease obligations $ 9,476 $ 13,126  
Short-term debt (1) (2,126)  
Current maturities of long-term debt and finance lease obligations (2) (626)  
Long-term debt and finance lease obligations $ 9,473 10,374  
Commercial paper      
Debt Instrument [Line Items]      
Effective interest rate 0.00%    
1.3% notes due 2025      
Debt Instrument [Line Items]      
Senior notes, coupon rates 1.30%    
Effective interest rate 0.00%    
Total debt and finance lease obligations $ 0 625  
Delayed draw term loan due 2025      
Debt Instrument [Line Items]      
Effective interest rate 0.00%    
Total debt and finance lease obligations $ 0 1,826  
2.6% notes due 2026      
Debt Instrument [Line Items]      
Senior notes, coupon rates 2.60%    
Effective interest rate 0.00%    
Total debt and finance lease obligations $ 0 749  
Term loan maturing 2027      
Debt Instrument [Line Items]      
Effective interest rate 0.00%    
Total debt and finance lease obligations $ 0 1,643  
7.65% debentures due 2027      
Debt Instrument [Line Items]      
Senior notes, coupon rates 7.65%    
Effective interest rate 7.70%    
Total debt and finance lease obligations $ 5 5  
1.915% notes due 2027      
Debt Instrument [Line Items]      
Senior notes, coupon rates 1.915%    
Effective interest rate 3.40%    
Total debt and finance lease obligations $ 834 1,446  
6.625% debentures due 2028      
Debt Instrument [Line Items]      
Senior notes, coupon rates 6.625%    
Effective interest rate 5.80%    
Total debt and finance lease obligations $ 94 94  
2.272% notes due 2028      
Debt Instrument [Line Items]      
Senior notes, coupon rates 2.272%    
Effective interest rate 2.40%    
Total debt and finance lease obligations $ 1,246 1,245  
1.3% notes due 2029      
Debt Instrument [Line Items]      
Senior notes, coupon rates 1.30%   1.30%
Effective interest rate 1.40%    
Total debt and finance lease obligations $ 876 776  
4.45% notes due 2029      
Debt Instrument [Line Items]      
Senior notes, coupon rates 4.45%    
Effective interest rate 4.20%    
Total debt and finance lease obligations $ 298 0  
3.95% notes due 2030      
Debt Instrument [Line Items]      
Senior notes, coupon rates 3.95%    
Effective interest rate 4.10%    
Total debt and finance lease obligations $ 497 497  
4.9% notes due 2030      
Debt Instrument [Line Items]      
Senior notes, coupon rates 4.90%    
Effective interest rate 4.60%    
Total debt and finance lease obligations $ 695 0  
1.73% notes due 2031      
Debt Instrument [Line Items]      
Senior notes, coupon rates 1.73%    
Effective interest rate 2.70%    
Total debt and finance lease obligations $ 647 646  
2.539% notes due 2032      
Debt Instrument [Line Items]      
Senior notes, coupon rates 2.539%    
Effective interest rate 2.60%    
Total debt and finance lease obligations $ 1,542 1,541  
5.65% notes due 2035      
Debt Instrument [Line Items]      
Senior notes, coupon rates 5.65%    
Effective interest rate 5.20%    
Total debt and finance lease obligations $ 991 0  
6.25% notes due 2037      
Debt Instrument [Line Items]      
Senior notes, coupon rates 6.25%    
Effective interest rate 6.30%    
Total debt and finance lease obligations $ 266 266  
3.65% notes due 2042      
Debt Instrument [Line Items]      
Senior notes, coupon rates 3.65%    
Effective interest rate 3.90%    
Total debt and finance lease obligations $ 6 6  
4.5% notes due 2043      
Debt Instrument [Line Items]      
Senior notes, coupon rates 4.50%    
Effective interest rate 4.60%    
Total debt and finance lease obligations $ 256 256  
3.5% notes due 2046      
Debt Instrument [Line Items]      
Senior notes, coupon rates 3.50%    
Effective interest rate 3.70%    
Total debt and finance lease obligations $ 442 441  
3.132% notes due 2051      
Debt Instrument [Line Items]      
Senior notes, coupon rates 3.132%    
Effective interest rate 3.20%    
Total debt and finance lease obligations $ 743 743  
Finance leases and other      
Debt Instrument [Line Items]      
Effective interest rate 4.80%    
Total debt and finance lease obligations $ 38 $ 21  
v3.25.4
DEBT AND CREDIT FACILITIES - Additional Information (Details)
€ in Millions
1 Months Ended 12 Months Ended 25 Months Ended
Jan. 31, 2025
USD ($)
Dec. 31, 2025
USD ($)
Feb. 28, 2025
USD ($)
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Dec. 31, 2025
USD ($)
Jun. 11, 2025
USD ($)
Nov. 30, 2024
USD ($)
Jul. 17, 2024
USD ($)
Oct. 31, 2023
EUR (€)
May 31, 2019
EUR (€)
Debt Instrument [Line Items]                        
Repayments of debt       $ 5,489,000,000 $ 2,657,000,000 $ 2,634,000,000            
Debt obligations   $ 9,476,000,000   9,476,000,000 13,126,000,000   $ 9,476,000,000          
Gain on early extinguishment of debt       16,000,000 0 0            
Discontinued Operations, Disposed of by Sale | Kidney Care                        
Debt Instrument [Line Items]                        
Proceeds $ 3,300,000,000                      
Commercial paper                        
Debt Instrument [Line Items]                        
Debt obligations   $ 0   $ 0 300,000,000   $ 0          
Weighted-average interest rate   4.78%   4.78%     4.78%          
Original weighted-average term       45 days                
Revolving Credit Facility                        
Debt Instrument [Line Items]                        
Line of credit, current borrowing capacity           $ 2,050,000,000.00     $ 1,830,000,000      
Revolving Credit Facility | Commercial paper                        
Debt Instrument [Line Items]                        
Line of credit, current borrowing capacity   $ 1,790,000,000   $ 1,790,000,000     $ 1,790,000,000          
Other Line Of Credit                        
Debt Instrument [Line Items]                        
Credit facility, maximum capacity   385,000,000   385,000,000 412,000,000   385,000,000          
Line of credit, borrowings outstanding   0   0 0   0          
Term loan maturing 2027                        
Debt Instrument [Line Items]                        
Repayments of debt   645,000,000 $ 1,000,000,000                  
Debt obligations   $ 1,640,000,000   $ 1,640,000,000     $ 1,640,000,000          
Debt term   5 years   5 years     5 years          
2.6% notes due 2026                        
Debt Instrument [Line Items]                        
Debt obligations   $ 0   $ 0 749,000,000   $ 0          
Senior notes, coupon rates   2.60%   2.60%     2.60%          
1.915% notes due 2027                        
Debt Instrument [Line Items]                        
Debt obligations   $ 834,000,000   $ 834,000,000 1,446,000,000   $ 834,000,000          
Senior notes, coupon rates   1.915%   1.915%     1.915%          
2026 and 2027 Senior Notes | Maximum                        
Debt Instrument [Line Items]                        
Repayments of debt   $ 600,000,000                    
4.45% notes due 2029                        
Debt Instrument [Line Items]                        
Debt obligations   $ 298,000,000   $ 298,000,000 0   $ 298,000,000          
Senior notes, coupon rates   4.45%   4.45%     4.45%          
Senior notes   $ 300,000,000   $ 300,000,000     $ 300,000,000          
4.9% notes due 2030                        
Debt Instrument [Line Items]                        
Debt obligations   $ 695,000,000   $ 695,000,000 0   $ 695,000,000          
Senior notes, coupon rates   4.90%   4.90%     4.90%          
Senior notes   $ 700,000,000   $ 700,000,000     $ 700,000,000          
5.65% notes due 2035                        
Debt Instrument [Line Items]                        
Debt obligations   $ 991,000,000   $ 991,000,000 0   $ 991,000,000          
Senior notes, coupon rates   5.65%   5.65%     5.65%          
Senior notes   $ 1,000,000,000.00   $ 1,000,000,000.00     $ 1,000,000,000.00          
2026 Senior Notes                        
Debt Instrument [Line Items]                        
Repayments of debt             $ 750,000,000          
2027 Senior Notes                        
Debt Instrument [Line Items]                        
Repayments of debt   $ 600,000,000                    
7.0% Notes Due 2024                        
Debt Instrument [Line Items]                        
Repayments of debt         $ 13,000,000              
Senior notes, coupon rates         7.00%              
0.40% Senior Notes Due May 2024                        
Debt Instrument [Line Items]                        
Repayments of debt         $ 809,000,000              
Senior notes, coupon rates         0.40%           0.40% 0.40%
Senior notes | €                     € 750 € 750
1.322% Notes Due 2024                        
Debt Instrument [Line Items]                        
Repayments of debt         $ 1,400,000,000              
Senior notes, coupon rates         1.322%              
Floating-Rate Notes Due 2024                        
Debt Instrument [Line Items]                        
Repayments of debt         $ 300,000,000              
Term Loan Due 2024                        
Debt Instrument [Line Items]                        
Repayments of debt         $ 130,000,000              
Debt term   3 years   3 years 3 years   3 years          
Revolving Credit Facility | Line of Credit                        
Debt Instrument [Line Items]                        
Credit facility, maximum capacity               $ 2,200,000,000        
Revolving Credit Facility | Revolving Credit Facility                        
Debt Instrument [Line Items]                        
Line of credit, borrowings outstanding   $ 0   $ 0     $ 0          
Revolving Credit Facility | Revolving Credit Facility | Line of Credit                        
Debt Instrument [Line Items]                        
Credit facility, maximum capacity               300,000,000        
Increase amount               1,100,000,000        
Aggregate commitment maximum amount               $ 3,300,000,000        
Senior Unsecured Term Loans | Line of Credit                        
Debt Instrument [Line Items]                        
Line of credit, borrowings outstanding $ 1,830,000,000       $ 1,830,000,000              
Senior Unsecured Term Loans | Bridge Facility                        
Debt Instrument [Line Items]                        
Credit facility, maximum capacity                   $ 2,050,000,000.00    
Senior Notes                        
Debt Instrument [Line Items]                        
Senior notes, coupon rates                   1.322%    
Interest rate       0.25%                
v3.25.4
DEBT AND CREDIT FACILITIES - Credit Facilities (Details) - USD ($)
$ in Millions
12 Months Ended
Jan. 31, 2025
Dec. 31, 2025
Dec. 31, 2024
Nov. 30, 2024
Jul. 17, 2024
Dec. 31, 2023
Discontinued Operations, Disposed of by Sale | Kidney Care            
Debt Instrument [Line Items]            
Proceeds $ 3,300          
Senior Notes            
Debt Instrument [Line Items]            
Senior notes, coupon rates         1.322%  
Interest rate   0.25%        
Bridge Facility | Senior Unsecured Term Loans            
Debt Instrument [Line Items]            
Credit facility, maximum capacity         $ 2,050  
Revolving Credit Facility            
Debt Instrument [Line Items]            
Line of credit, current borrowing capacity       $ 1,830   $ 2,050
Line of Credit | Senior Unsecured Term Loans            
Debt Instrument [Line Items]            
Line of credit, borrowings outstanding $ 1,830   $ 1,830      
v3.25.4
DEBT AND CREDIT FACILITIES - Commercial Paper (Details) - USD ($)
Dec. 31, 2025
Dec. 31, 2024
Debt Instrument [Line Items]    
Debt obligations $ 9,476,000,000 $ 13,126,000,000
Commercial paper    
Debt Instrument [Line Items]    
Debt obligations $ 0 $ 300,000,000
Weighted-average interest rate 4.78%  
v3.25.4
DEBT AND CREDIT FACILITIES - Schedule of Maturities of Long-term Debt (Details)
$ in Millions
Dec. 31, 2025
USD ($)
Debt Instrument [Line Items]  
2026 $ 0
2027 841
2028 1,342
2029 1,180
2030 1,200
Thereafter 4,931
Total debt maturities 9,494
Discounts, premiums, and adjustments relating to hedging instruments (56)
Total debt obligations $ 9,438
v3.25.4
LEASES - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Leases [Line Items]          
Net investment in sales-type leases $ 30 $ 37      
Sales-type leases, receivables $ 8 $ 10 $ 6 $ 5 $ 1
Minimum          
Leases [Line Items]          
Lessee operating and finance lease remaining term of contract 1 year        
Lessee, renewal term 1 year        
Maximum          
Leases [Line Items]          
Lessee operating and finance lease remaining term of contract 37 years        
Lessee, renewal term 10 years        
v3.25.4
LEASES - Components of Lease Cost (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]      
Operating lease cost $ 88 $ 89 $ 94
Finance lease cost      
Amortization of right-of-use assets 3 4 3
Interest on lease liabilities 1 1 1
Variable lease cost 40 54 45
Lease cost $ 132 $ 148 $ 143
v3.25.4
LEASES - Supplemental Cash Flow Information Related to Leases (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]      
Operating cash flows from operating leases $ 102 $ 100 $ 115
Operating cash flows from finance leases 3 5 3
Financing cash flows from finance leases 1 2 1
Right-of-use operating lease assets obtained in exchange for lease obligations 36 64 66
Right-of-use finance lease assets obtained in exchange for lease obligations $ 4 $ 1 $ 15
v3.25.4
LEASES - Assets and Liabilities of Lessee (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Operating leases    
Operating lease right-of-use assets $ 276 $ 306
Accrued expenses and other current liabilities $ 81 $ 80
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] Accrued expenses and other current liabilities Accrued expenses and other current liabilities
Operating lease liabilities $ 223 $ 243
Total operating lease liabilities 304 323
Finance leases    
Property, plant and equipment, at cost 39 33
Accumulated depreciation (18) (15)
Property, plant and equipment, net 21 18
Current maturities of long-term debt and finance lease obligations $ 2 $ 2
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Current maturities of long-term debt and finance lease obligations Current maturities of long-term debt and finance lease obligations
Long-term debt and finance lease obligations $ 21 $ 19
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Long-term debt and finance lease obligations, less current portion Long-term debt and finance lease obligations, less current portion
Total finance lease liabilities $ 23 $ 21
v3.25.4
LEASES - Schedule of Lease Term and Discount Rates (Details)
Dec. 31, 2025
Dec. 31, 2024
Leases [Abstract]    
Operating lease, weighted average remaining lease term 5 years 6 years
Finance lease, weighted average remaining lease term 7 years 8 years
Operating lease, weighted average discount rate 3.60% 3.10%
Finance lease, weighted average discount rate 4.50% 4.20%
v3.25.4
LEASES - Maturities of Operating and Finance Lease Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Finance Leases    
2026 $ 4  
2027 4  
2028 4  
2029 4  
2030 4  
Thereafter 10  
Total minimum lease payments 30  
Less: imputed interest (7)  
Total finance lease liabilities 23 $ 21
Operating Leases    
2026 93  
2027 77  
2028 53  
2029 34  
2030 20  
Thereafter 60  
Total minimum lease payments 337  
Less: imputed interest (33)  
Total operating lease liabilities $ 304 $ 323
v3.25.4
LEASES - Components of Operating Lease Income (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]      
Sales-type lease revenue $ 8 $ 10 $ 7
Operating lease revenue 350 380 397
Variable lease revenue 27 28 21
Total lease revenue $ 385 $ 418 $ 425
Operating Lease Income Comprehensive Income Extensible List Not Disclosed Flag Operating lease revenue Operating lease revenue Operating lease revenue
v3.25.4
LEASES - Components of Net Investment in Sales-type Lease (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Leases [Abstract]    
Minimum lease payments $ 30 $ 38
Unguaranteed residual values 0 (1)
Net investment in leases $ 30 $ 37
v3.25.4
LEASES - Components of Sales Type Lease Income (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Leases [Abstract]    
Accounts receivable, net $ 11 $ 15
Other non-current assets 19 22
Total $ 30 $ 37
v3.25.4
LEASES - Maturities of Sales-type and Operating Leases (Details)
$ in Millions
Dec. 31, 2025
USD ($)
Sales-type Leases1  
2026 $ 15
2027 9
2028 5
2029 3
2030 0
Thereafter 0
Total minimum lease payments 32
Imputed interest 2
Operating Leases  
2026 9
2027 9
2028 6
2029 3
2030 1
Thereafter 0
Present value of minimum lease payments $ 28
v3.25.4
COMMITMENTS AND CONTINGENCIES - Additional Information (Details)
$ in Millions
1 Months Ended 3 Months Ended 12 Months Ended
Mar. 31, 2020
lawsuit
Jun. 30, 2025
lawsuit
Dec. 31, 2025
USD ($)
lawsuit
site
Dec. 31, 2024
USD ($)
Nov. 30, 2025
lawsuit
Loss Contingencies [Line Items]          
Litigation reserve | $     $ 47 $ 40  
Inventory write-down | $       9  
Novum LVP Pump          
Loss Contingencies [Line Items]          
Inventory write-down | $     $ 105    
Alleging Injuries Due To Exposure Of Chemicals          
Loss Contingencies [Line Items]          
Loss contingency, number of lawsuits | lawsuit 2        
Exposure to Ethylene Oxide          
Loss Contingencies [Line Items]          
Loss contingency, number of lawsuits | lawsuit   30      
Number of complaints | lawsuit     38    
Novum LVP          
Loss Contingencies [Line Items]          
Number of complaints | lawsuit         2
Environmental Clean-up | Superfund Sites          
Loss Contingencies [Line Items]          
Number of sites | site     6    
Environmental reserves | $     $ 29 $ 29  
v3.25.4
STOCKHOLDERS’ EQUITY - Stock-based Compensation Narrative (Details) - USD ($)
shares in Millions, $ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Stockholders Equity Note [Line Items]      
Shares available for future awards under the stock-based compensation plans (in shares) 40    
Stock compensation $ 117 $ 114 $ 115
Tax benefit related to stock based compensation 13 8 10
Tax benefit related to stock based compensation, shortfall expense $ 10 $ 9 $ 11
Marketing and Administrative Expenses      
Stockholders Equity Note [Line Items]      
Stock compensation expense allocation percentage 75.00% 75.00%  
v3.25.4
STOCKHOLDERS’ EQUITY - Stock Options Narrative (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Stockholders Equity Note [Line Items]      
Number of options, granted (in shares) 1,251,000 0  
Stock options exercised (in shares) 0    
Employee stock option      
Stockholders Equity Note [Line Items]      
Vesting percentage 33.33%    
Target service period 3 years    
Stock repurchase program, period in force 6 months    
Stock options granted contractual term 10 years    
Total intrinsic value of stock options exercised   $ 1 $ 5
Unrecognized compensation cost related to all unvested $ 10    
Weighted-average period for all unvested 2 years    
Equity Option      
Stockholders Equity Note [Line Items]      
Exercise price, percent 100.00%    
v3.25.4
STOCKHOLDERS’ EQUITY - Stock Options Fair Value Assumptions (Details) - Employee stock option - $ / shares
12 Months Ended
Dec. 31, 2025
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Expected volatility 30.00% 27.00%
Expected life (in years) 6 years 6 months 6 years
Risk-free interest rate 4.10% 4.20%
Dividend yield 2.30% 3.00%
Fair value per stock (in us dollar per share) $ 9 $ 9
v3.25.4
STOCKHOLDERS’ EQUITY - Summary of Stock Option Activity (Detail) - USD ($)
$ / shares in Units, $ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Number of options    
Number of options, outstanding at beginning of year (in shares) 17,381,000  
Number of options, granted (in shares) 1,251,000 0
Number of options, exercised (in shares) 0  
Number of options, forfeited (in shares) (771,000)  
Number of options, expired (in shares) (4,106,000)  
Number of options, outstanding at end of year (in shares) 13,755,000 17,381,000
Number of options, vested or expected to vest at end of year (in shares) 13,663,000  
Number of options , exercisable at end of year (in shares) 11,932,000  
Stock options grant weighted-average exercise price    
Weighted-average exercise price, outstanding at beginning of year (in dollars per share) $ 60.15  
Weighted-average exercise price, granted (in dollars per share) 31.25  
Weighted-average exercise price, exercised (in dollars per share) 0  
Weighted-average exercise price, forfeited (in dollars per share) 41.84  
Weighted-average exercise price, expired (in dollars per share) 54.86  
Weighted-average exercise price outstanding at end of year (in dollars per share) 60.12 $ 60.15
Weighted average exercise price vested or expected to vest at end of year (in dollars per share) 60.33  
Weighted average exercise price exercisable at end of year (in dollars per share) $ 64.09  
Stock options grant Weighted-average remaining contractual life    
Weighted average remaining contractual life, outstanding at end of year 3 years 11 months 12 days  
Weighted average remaining contractual life, vested or expected to vest at end of year 3 years 10 months 24 days  
Weighted average remaining contractual life, exercisable at end of year 3 years 3 months 25 days  
Stock options grant aggregate intrinsic value    
Aggregate intrinsic value, outstanding, ending balance $ 0  
Aggregate intrinsic value, vested or expected to vest at end of year 0  
Aggregate intrinsic value, exercisable at end of year $ 0  
v3.25.4
STOCKHOLDERS’ EQUITY - RSUs Narrative (Details) - Restricted Stock Units - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Stockholders Equity Note [Line Items]      
Target service period 3 years    
Stock repurchase program, period in force 6 months    
Unrecognized compensation cost related to all unvested $ 135    
Weighted-average period for all unvested 1 year 9 months 18 days    
Weighted average fair value (in dollars per share) $ 32.63 $ 42.37 $ 39.20
Fair value of RSUs and restricted stock vested $ 69 $ 46 $ 25
v3.25.4
STOCKHOLDERS’ EQUITY - PSUs Narrative (Details) - Performance Shares
$ in Millions
12 Months Ended
Dec. 31, 2025
USD ($)
Stockholders Equity Note [Line Items]  
Target service period 3 years
Unrecognized compensation cost related to all unvested $ 24
Weighted-average period for for recognition as expense 1 year 10 months 24 days
v3.25.4
STOCKHOLDERS’ EQUITY - Summary of Nonvested Restricted Stock Units Activity (Detail) - Restricted Stock Units - $ / shares
shares in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
RSUs shares      
Nonvested Units at beginning of year (in shares) 6,940    
Vested (in shares) (2,867)    
Forfeited (in shares) (2,132)    
Nonvested Units at end of year (in shares) 6,139 6,940  
RSUs weighted-average grant date fair value      
Weighted-average grant date fair value Nonvested Units at beginning of year (in dollars per share) $ 43.94    
Weighted-average grant date fair value Granted (in dollars per share) 32.63 $ 42.37 $ 39.20
Weighted-average grant date fair value Vested (in dollars per share) 46.08    
Weighted-average grant date fair value Forfeited (in dollars per share) 41.35    
Weighted-average grant date fair value Nonvested Units at end of year (in dollars per share) $ 36.12 $ 43.94  
Baxter Employee      
RSUs shares      
Granted (in shares) 4,198    
RSUs weighted-average grant date fair value      
Weighted-average grant date fair value Granted (in dollars per share) $ 32.63    
v3.25.4
STOCKHOLDERS' EQUITY - Performance Stock Units Fair Value Assumptions (Detail) - Performance Shares - $ / shares
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Baxter volatility 31.00% 29.00% 27.00%
Peer group volatility minimum 19.00% 20.00% 23.00%
Peer group volatility maximum 53.00% 52.00% 54.00%
Correlation of returns minimum 0.06 0.12 0.23
Correlation of returns maximum 0.47 0.51 0.48
Risk-free interest rate 3.90% 4.30% 4.60%
Fair value per PSU (in dollars per share) $ 39 $ 57 $ 30
v3.25.4
STOCKHOLDERS' EQUITY - Summary of Nonvested Performance Stock Unit Activity (Detail) - Performance Shares
shares in Thousands
12 Months Ended
Dec. 31, 2025
$ / shares
shares
PSUs shares  
Nonvested Units at beginning of year (in shares) | shares 602
Granted (in shares) | shares 1,012
Vested (in shares) | shares 0
Forfeited (in shares) | shares (350)
Nonvested Units at end of year (in shares) | shares 1,264
PSUs weighted-average grant date fair value  
Weighted-average grant date fair value Nonvested Units at beginning of year (in dollars per share) | $ / shares $ 42.36
Weighted-average grant date fair value Granted (in dollars per share) | $ / shares 31.72
Weighted-average grant date fair value Vested (in dollars per share) | $ / shares 0
Weighted-average grant date fair value Forfeited (in dollars per share) | $ / shares 35.59
Weighted-average grant date fair value Nonvested Units at end of year (in dollars per share) | $ / shares $ 35.97
v3.25.4
STOCKHOLDERS’ EQUITY - Employee Purchase Plan Narrative (Details) - USD ($)
$ / shares in Units, $ in Billions
1 Months Ended 3 Months Ended 12 Months Ended
Jan. 31, 2026
Dec. 31, 2025
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Stockholders Equity Note [Line Items]          
Shares available for future awards under the stock-based compensation plans (in shares)   40,000,000 40,000,000    
Cash dividends declared per common share (in dollars per share)     $ 0.52 $ 1.04 $ 1.16
Cash dividends declared per common share annualized basis (in dollars per share)     $ 0.68    
Remaining value available under stock repurchase programs   $ 1.3 $ 1.3    
Preferred stock authorized (in shares)   100,000,000 100,000,000    
Preferred stock, no par value (in dollars per share)   $ 0 $ 0    
Preferred stock (in shares)   0 0 0  
2024 Q1 Dividends          
Stockholders Equity Note [Line Items]          
Cash dividends declared per common share (in dollars per share)     $ 0.17    
2024 Q2 Dividends          
Stockholders Equity Note [Line Items]          
Cash dividends declared per common share (in dollars per share)     0.17    
2024 Q3 Dividends          
Stockholders Equity Note [Line Items]          
Cash dividends declared per common share (in dollars per share)     $ 0.17    
Common Class A          
Stockholders Equity Note [Line Items]          
Cash dividends declared per common share (in dollars per share)   $ 0.01      
Common Class A | Subsequent Event          
Stockholders Equity Note [Line Items]          
Cash dividends paid per common share (in dollars per share) $ 0.01        
Employee Stock Purchase Plan          
Stockholders Equity Note [Line Items]          
Employee purchase price, percent     85.00%    
Shares available for future awards under the stock-based compensation plans (in shares)   6,000,000 6,000,000    
Share issued, ESPP (in shares)     1,300,000 1,400,000 1,400,000
v3.25.4
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Summary of Changes in AOCI by Component (Detail) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]      
Beginning of year $ 7,024 $ 8,468 $ 5,895
End of year 6,102 7,024 8,468
Total      
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]      
Beginning of year (4,010) (3,554) (3,833)
Other comprehensive income (loss) before reclassifications 150 (454) 115
Amounts reclassified from AOCI 106 (2) 164
Total other comprehensive income (loss) from continuing operations, net of tax 256 (456) 279
End of year (3,754) (4,010) (3,554)
CTA      
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]      
Beginning of year (3,430) (2,985) (3,386)
Other comprehensive income (loss) before reclassifications 171 (445) 216
Amounts reclassified from AOCI 126 0 185
Total other comprehensive income (loss) from continuing operations, net of tax 297 (445) 401
End of year (3,133) (3,430) (2,985)
Pension and OPEB plans      
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]      
Beginning of year (475) (452) (331)
Other comprehensive income (loss) before reclassifications (19) (19) (106)
Amounts reclassified from AOCI (20) (4) (15)
Total other comprehensive income (loss) from continuing operations, net of tax (39) (23) (121)
End of year (514) (475) (452)
Hedging activities      
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]      
Beginning of year (108) (120) (119)
Other comprehensive income (loss) before reclassifications (2) 10 5
Amounts reclassified from AOCI 0 2 (6)
Total other comprehensive income (loss) from continuing operations, net of tax (2) 12 (1)
End of year (110) (108) (120)
Available-for-sale debt securities      
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]      
Beginning of year 3 3 3
Other comprehensive income (loss) before reclassifications 0 0 0
Amounts reclassified from AOCI 0 0 0
Total other comprehensive income (loss) from continuing operations, net of tax 0 0 0
End of year $ 3 $ 3 $ 3
v3.25.4
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Summary of Amounts Reclassification from AOCI to Net Income (Detail) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Income (loss) from discontinued operations, net of tax $ (57) $ (312) $ 2,482
Reclassifications, Income tax expense (benefit) (395) (37) (61)
Total reclassifications for the period (957) (649) 2,656
Amortization of net losses and prior service costs or credits 41 38 (26)
Settlement charges 0 0 (1)
Cost of sales (7,865) (6,652) (6,210)
Interest expense, net (238) (341) (439)
Reclassification out of Accumulated Other Comprehensive Income      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Total reclassifications for the period (106) 2 (164)
CTA | Reclassification out of Accumulated Other Comprehensive Income      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Total reclassifications for the period, before tax (126) 0 (185)
Reclassifications, Income tax expense (benefit) 0 0 0
Total reclassifications for the period (126) 0 (185)
CTA | Reclassification out of Accumulated Other Comprehensive Income | Kidney Care      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Income (loss) from discontinued operations, net of tax (126) 0 0
CTA | Reclassification out of Accumulated Other Comprehensive Income | BPS      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Income (loss) from discontinued operations, net of tax 0 0 (185)
Pension and OPEB plans | Reclassification out of Accumulated Other Comprehensive Income      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Total reclassifications for the period, before tax 25 6 20
Reclassifications, Income tax expense (benefit) (2) (2) (5)
Total reclassifications for the period 20 4 15
Amortization of net losses and prior service costs or credits 11 6 18
Settlement charges 0 0 (2)
Less: Tax effect on pension settlement from Kidney Care separation (3) 0 0
Pension and OPEB plans | Reclassification out of Accumulated Other Comprehensive Income | Kidney Care      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Income (loss) from discontinued operations, net of tax 14 0 0
Pension and OPEB plans | Reclassification out of Accumulated Other Comprehensive Income | BPS      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Income (loss) from discontinued operations, net of tax 0 0 4
Hedging activities | Reclassification out of Accumulated Other Comprehensive Income      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Total reclassifications for the period, before tax 0 (3) 7
Reclassifications, Income tax expense (benefit) 0 1 (1)
Total reclassifications for the period 0 (2) 6
Hedging activities | Reclassification out of Accumulated Other Comprehensive Income | Foreign exchange contracts      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Cost of sales 6 8 16
Hedging activities | Reclassification out of Accumulated Other Comprehensive Income | Interest rate contracts      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Interest expense, net (6) (6) (6)
Hedging activities | Reclassification out of Accumulated Other Comprehensive Income | Fair value hedges      
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]      
Amortization of net losses and prior service costs or credits $ 0 $ (5) $ (3)
v3.25.4
REVENUES - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Disaggregation of Revenue [Line Items]      
Net trade accounts receivable $ 1,700 $ 1,540  
Contract liability, revenue recognized $ 115 $ 103 $ 117
Minimum | Software sales      
Disaggregation of Revenue [Line Items]      
Revenue recognized, contract period (years) 1 year    
Minimum | Consumable Medical Products      
Disaggregation of Revenue [Line Items]      
Revenue recognized, contract period (years) 1 year    
Maximum | Software sales      
Disaggregation of Revenue [Line Items]      
Revenue recognized, contract period (years) 5 years    
Maximum | Consumable Medical Products      
Disaggregation of Revenue [Line Items]      
Revenue recognized, contract period (years) 7 years    
Maximum | Contract manufacturing services      
Disaggregation of Revenue [Line Items]      
Revenue recognized, contract period (years) 90 days    
v3.25.4
REVENUES - Summary of Contract Assets and Contract Liabilities (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Disaggregation of Revenue [Line Items]    
Contract assets $ 147 $ 133
Contract liabilities 177 171
Revenue From Contract With Customer [Roll Forward]    
Balance at beginning of period 171 169
New revenue deferrals 605 554
Revenue recognized upon satisfaction of performance obligations (601) (555)
Currency translation 2 3
Balance at end of period 177 171
Contract manufacturing services    
Disaggregation of Revenue [Line Items]    
Contract assets 3 2
Software sales    
Disaggregation of Revenue [Line Items]    
Contract assets 34 44
Bundled equipment and consumable medical products contracts    
Disaggregation of Revenue [Line Items]    
Contract assets 110 87
Prepaid expenses and other current assets    
Disaggregation of Revenue [Line Items]    
Contract assets 71 51
Other non-current assets    
Disaggregation of Revenue [Line Items]    
Contract assets 76 82
Accrued expenses and other current liabilities    
Disaggregation of Revenue [Line Items]    
Contract liabilities 141 131
Revenue From Contract With Customer [Roll Forward]    
Balance at beginning of period 131  
Balance at end of period 141 131
Other non-current liabilities    
Disaggregation of Revenue [Line Items]    
Contract liabilities 36 40
Revenue From Contract With Customer [Roll Forward]    
Balance at beginning of period 40  
Balance at end of period $ 36 $ 40
v3.25.4
BUSINESS OPTIMIZATION CHARGES - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Restructuring Cost and Reserve [Line Items]      
Expected additional pre-tax cash costs $ 2    
Restructuring charges 162 $ 146 $ 141
Inventory write-down   9  
Streamline Of Manufacturing Footprint      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 28 46  
COGS      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 66 62 30
Employee termination costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 109 98 121
Employee termination costs | Initiatives To Reduce Cost Structure | Kidney Care      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 100 45  
Employee termination costs | Streamline Of Manufacturing Footprint      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 5 2  
Employee termination costs | Restructuring Within HST Segment      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges   14  
Employee termination costs | COGS      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 36 20 20
Asset Impairment      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 38 39 18
Asset Impairment | Streamline Of Manufacturing Footprint      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 14 21  
Asset Impairment | COGS      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 19 39 11
Contract termination and other costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 15 9 2
Contract termination and other costs | Streamline Of Manufacturing Footprint      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 9    
Contract termination and other costs | COGS      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 11 $ 3 (1)
Integration Activities | Hillrom      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges     $ 81
v3.25.4
BUSINESS OPTIMIZATION CHARGES - Schedule of Business Optimization Charges (Detail) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Restructuring and Related Activities [Abstract]      
Restructuring charges $ 162 $ 146 $ 141
Costs to implement business optimization programs 16 16 33
Total business optimization charges $ 178 $ 162 $ 174
v3.25.4
BUSINESS OPTIMIZATION CHARGES - Components of Restructuring Costs (Detail) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 162 $ 146 $ 141
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] Total reportable segment operating income Total reportable segment operating income Total reportable segment operating income
Employee termination costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 109 $ 98 $ 121
Contract termination and other costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 15 9 2
Asset impairments      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 38 39 18
COGS      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 66 $ 62 $ 30
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] Total reportable segment operating income Total reportable segment operating income Total reportable segment operating income
COGS | Employee termination costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 36 $ 20 $ 20
COGS | Contract termination and other costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 11 3 (1)
COGS | Asset impairments      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 19 39 11
SG&A      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 85 $ 54 $ 101
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] Total reportable segment operating income Total reportable segment operating income Total reportable segment operating income
SG&A | Employee termination costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 62 $ 48 $ 91
SG&A | Contract termination and other costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 4 6 3
SG&A | Asset impairments      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 19 0 7
R&D      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 11 $ 30 $ 10
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] Total reportable segment operating income Total reportable segment operating income Total reportable segment operating income
R&D | Employee termination costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 11 $ 30 $ 10
R&D | Contract termination and other costs      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges 0 0 0
R&D | Asset impairments      
Restructuring Cost and Reserve [Line Items]      
Restructuring charges $ 0 $ 0 $ 0
v3.25.4
BUSINESS OPTIMIZATION CHARGES - Summary of Activity in Reserves related to Business Optimization Initiatives (Detail) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Restructuring Reserve [Roll Forward]      
Restructuring charges $ 162 $ 146 $ 141
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] Total reportable segment operating income Total reportable segment operating income Total reportable segment operating income
Severance and Other Employee Related Costs      
Restructuring Reserve [Roll Forward]      
Reserve, beginning balance $ 122 $ 95 $ 86
Restructuring charges 137 116 146
Payments (118) (80) (101)
Reserve adjustments (13) (9) (23)
Currency translation 5   (13)
Reserve, ending balance $ 133 $ 122 $ 95
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Reconciliation of Pension and OPEB Plan Obligations, Assets and Funded Status (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Benefit obligations      
End of period $ 2,859    
Fair value of plan assets      
End of period 2,388    
Amounts recognized in the consolidated balance sheets      
Noncurrent asset 66 $ 56  
Pension benefits      
Benefit obligations      
Beginning of period 2,748 2,901  
Service cost 13 11 $ 19
Interest cost 136 136 148
Participant contributions 2 3  
Actuarial (gain) loss 81 (129)  
Benefit payments (148) (133)  
Settlements (5) (8)  
Curtailment (2) 0  
Plan Amendments 0 0  
Foreign exchange and other 34 (33)  
End of period 2,859 2,748 2,901
Fair value of plan assets      
Beginning of period 2,228 2,350  
Actual return on plan assets 221 (4)  
Employer contributions 56 46  
Participant contributions 2 3  
Benefit payments (148) (133)  
Settlements (5) (8)  
Foreign exchange and other 34 (26)  
End of period 2,388 2,228 2,350
Funded status (471) (520)  
Amounts recognized in the consolidated balance sheets      
Noncurrent asset 66 56  
Current liability (24) (23)  
Noncurrent liability (513) (553)  
Net liability recognized (471) (520)  
OPEB      
Benefit obligations      
Beginning of period 141 154  
Service cost 0 0  
Interest cost 7 8 8
Participant contributions 0 0  
Actuarial (gain) loss 6 (3)  
Benefit payments (15) (15)  
Settlements 0 0  
Curtailment 0 0  
Plan Amendments 0 (2)  
Foreign exchange and other 0 (1)  
End of period 139 141 154
Fair value of plan assets      
Beginning of period 0 0  
Actual return on plan assets 0 0  
Employer contributions 15 15  
Participant contributions 0 0  
Benefit payments (15) (15)  
Settlements 0 0  
Foreign exchange and other 0 0  
End of period 0 0 $ 0
Funded status (139) (141)  
Amounts recognized in the consolidated balance sheets      
Noncurrent asset 0 0  
Current liability (15) (16)  
Noncurrent liability (124) (125)  
Net liability recognized $ (139) $ (141)  
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Additional Information (Details)
$ in Millions
Dec. 31, 2025
USD ($)
Defined Benefit Plan Disclosure [Line Items]  
Allowed variance from target allocation of plan assets 7.25%
United States  
Defined Benefit Plan Disclosure [Line Items]  
Defined benefit plan, expected future employer contributions, next fiscal year $ 10
International plans  
Defined Benefit Plan Disclosure [Line Items]  
Defined benefit plan, expected future employer contributions, next fiscal year 5
OPEB  
Defined Benefit Plan Disclosure [Line Items]  
Defined benefit plan, expected future employer contributions, next fiscal year $ 15
Return-Seeking Investments  
Defined Benefit Plan Disclosure [Line Items]  
Allowed variance from target allocation of plan assets 50.00%
Liability Hedging Investments  
Defined Benefit Plan Disclosure [Line Items]  
Allowed variance from target allocation of plan assets 50.00%
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Information Relating to Individual Plans in Funded Status Table above that have ABO in Excess of Plan Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Information relating to the individual plans in the funded status table above that have an ABO in excess of plan assets    
ABO $ 2,508 $ 2,403
Fair value of plan assets $ 1,982 $ 1,843
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Information Relating to Individual Plans in Funded Status Table that have PBO in Excess of Plan Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Information relating to the individual plans in the funded status table above that have a PBO in excess of plan assets    
PBO $ 2,519 $ 2,419
Fair value of plan assets $ 1,982 $ 1,843
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Expected Net Pension and OPEB Plan Payments for Next 10 Years (Details)
$ in Millions
Dec. 31, 2025
USD ($)
Pension benefits  
Expected Net Pension and OPEB Plan Payments for the Next 10 Years  
2026 $ 172
2027 179
2028 186
2029 190
2030 195
2031 through 2035 1,009
Total expected net benefit payments for next 10 years 1,931
OPEB  
Expected Net Pension and OPEB Plan Payments for the Next 10 Years  
2026 15
2027 15
2028 14
2029 13
2030 13
2031 through 2035 53
Total expected net benefit payments for next 10 years $ 123
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Summary of Pre-Tax losses Included in AOCI (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Pension benefits    
Summary of the pre-tax losses included in AOCI    
Actuarial loss (gain) $ 680 $ 642
Prior service credit and transition obligation 9 11
Total pre-tax loss (gain) recognized in AOCI 689 653
OPEB    
Summary of the pre-tax losses included in AOCI    
Actuarial loss (gain) (27) (42)
Prior service credit and transition obligation (2) (10)
Total pre-tax loss (gain) recognized in AOCI $ (29) $ (52)
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Summary of Net-of-Tax Amounts Recorded in OCI Relating to Pension and OPEB Plans (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Summary of the net-of-tax amounts recorded in OCI relating to pension and OPEB plans      
Gain (loss) arising during the year, net of tax of $(14) in 2025, $(6) in 2024 and $31 in 2023 $ (20) $ (15) $ (103)
Amortization of gain (loss) to earnings, net of tax of $(3) in 2025, zero in 2024 and $(5) in 2023 (8) (4) 13
Settlement charges, net of tax of zero in 2025 and 2024 and $(1) 2023 0 0 (2)
Pension and other employee benefits (28) (19) (92)
Gain (loss) arising during the year, tax expense (benefit) (14) (6) 31
Amortization of loss to earnings, tax benefit (3) 0 (5)
Settlement, tax benefit $ 0 $ 0 $ (1)
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Net Periodic Benefit Cost - Continuing Operations (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Net periodic benefit cost      
Defined Benefit Plan Net Periodic Benefit Cost Credit Settlement Gain Loss Statement Of Income Or Comprehensive Income Extensible List Not Disclosed Flag Settlement charges Settlement charges Settlement charges
Settlement charges $ 0 $ 0 $ 1
Pension benefits      
Net periodic benefit cost      
Service cost 13 11 19
Interest cost 136 136 148
Expected return on plan assets (176) (179) (187)
Amortization of net losses and other deferred amounts 6 15 6
Curtailment gain (1) 0 0
Other 0 0 1
Net periodic benefit cost (22) (17) (12)
OPEB      
Net periodic benefit cost      
Service cost 0 0  
Interest cost 7 8 8
Curtailment gain 0 0 (1)
Amortization of net losses and prior service credit (17) (19) (24)
Net periodic benefit cost $ (10) $ (11) $ (17)
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Weighted-Average Assumptions Used in Determining (Details)
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Pension benefits | United States      
Defined Benefit Plan Disclosure [Line Items]      
Discount rate 5.46% 5.71%  
Rate of compensation increase 4.00% 3.00%  
Discount rate 5.71% 5.20% 5.55%
Expected return on plan assets 6.65% 6.65% 6.43%
Rate of compensation increase 3.00% 2.60% 2.93%
Pension benefits | International plans      
Defined Benefit Plan Disclosure [Line Items]      
Discount rate 3.90% 3.67%  
Rate of compensation increase 2.96% 3.07%  
Discount rate 3.67% 3.41% 4.11%
Expected return on plan assets 5.21% 4.86% 4.93%
Rate of compensation increase 3.06% 3.32% 3.43%
OPEB      
Defined Benefit Plan Disclosure [Line Items]      
Annual rate of increase in the per-capita cost 6.50% 6.75%  
Rate decreased to 5.00% 5.00%  
Annual rate of increase in the per-capita cost 6.50% 6.75% 6.25%
Rate decreased to 5.00% 5.00% 5.00%
OPEB | United States      
Defined Benefit Plan Disclosure [Line Items]      
Discount rate 5.13% 5.54%  
Discount rate 5.54% 5.11% 5.46%
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Fair Value of Pension Plan Assets and Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets $ 2,388 $ 2,228  
Quoted prices in active markets for identical assets (Level 1)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 227 561  
Significant other observable inputs (Level 2)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 1,468 750  
Significant unobservable inputs (Level 3)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 132 127  
Fair Value, Measured at NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 501 738  
Cash      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 60 52  
Cash equivalents      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 181 179  
Cash equivalents | Quoted prices in active markets for identical assets (Level 1)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Cash equivalents | Significant other observable inputs (Level 2)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 181 179  
Cash equivalents | Significant unobservable inputs (Level 3)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Cash equivalents | Fair Value, Measured at NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
U.S. government and government agency issues      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 245 135  
U.S. government and government agency issues | Quoted prices in active markets for identical assets (Level 1)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
U.S. government and government agency issues | Significant other observable inputs (Level 2)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 245 135  
U.S. government and government agency issues | Significant unobservable inputs (Level 3)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
U.S. government and government agency issues | Fair Value, Measured at NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Corporate bonds      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 398 357  
Corporate bonds | Quoted prices in active markets for identical assets (Level 1)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Corporate bonds | Significant other observable inputs (Level 2)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 398 357  
Corporate bonds | Significant unobservable inputs (Level 3)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Corporate bonds | Fair Value, Measured at NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Common stock      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets   353  
Common stock | Quoted prices in active markets for identical assets (Level 1)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets   353  
Common stock | Significant other observable inputs (Level 2)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets   0  
Common stock | Significant unobservable inputs (Level 3)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets   0  
Common stock | Fair Value, Measured at NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets   0  
Mutual funds      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 743 199  
Mutual funds | Quoted prices in active markets for identical assets (Level 1)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 222 199  
Mutual funds | Significant other observable inputs (Level 2)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 521 0  
Mutual funds | Significant unobservable inputs (Level 3)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Mutual funds | Fair Value, Measured at NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Common/collective trust funds      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 335 540  
Common/collective trust funds | Quoted prices in active markets for identical assets (Level 1)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Common/collective trust funds | Significant other observable inputs (Level 2)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 38 0  
Common/collective trust funds | Significant unobservable inputs (Level 3)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Common/collective trust funds | Fair Value, Measured at NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 297 540  
Partnership investments      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 204 198  
Partnership investments | Quoted prices in active markets for identical assets (Level 1)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Partnership investments | Significant other observable inputs (Level 2)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Partnership investments | Significant unobservable inputs (Level 3)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 0 0  
Partnership investments | Fair Value, Measured at NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 204 198  
Other holdings      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 222 215  
Other holdings | Quoted prices in active markets for identical assets (Level 1)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 5 9  
Other holdings | Significant other observable inputs (Level 2)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 85 79  
Other holdings | Significant unobservable inputs (Level 3)      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets 132 127 $ 155
Other holdings | Fair Value, Measured at NAV      
Defined Benefit Plan Disclosure [Line Items]      
Fair value of pension plan assets $ 0 $ 0  
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Changes in Fair Value Measurements that Used Significant Unobservable Inputs (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward]    
Beginning of period $ 2,228  
End of period 2,388 $ 2,228
Significant unobservable inputs (Level 3)    
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward]    
Beginning of period 127  
End of period 132 127
Other holdings    
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward]    
Beginning of period 215  
End of period 222 215
Other holdings | Significant unobservable inputs (Level 3)    
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward]    
Beginning of period 127 155
Unrealized gains (losses) 10 (24)
Sales (7) (7)
Purchases 2 3
End of period $ 132 $ 127
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Funded Status Percentage of Company's Pension Plans (Details)
$ in Millions
Dec. 31, 2025
USD ($)
Funded status percentage of the company's pension plans  
Fair value of plan assets $ 2,388
PBO $ 2,859
Funded status percentage 84.00%
Qualified Pension Plan | United States  
Funded status percentage of the company's pension plans  
Fair value of plan assets $ 1,890
PBO $ 2,117
Funded status percentage 89.00%
Qualified Pension Plan | International plans  
Funded status percentage of the company's pension plans  
Fair value of plan assets $ 498
PBO $ 537
Funded status percentage 93.00%
Non Qualified Pension Plan | United States  
Funded status percentage of the company's pension plans  
PBO $ 185
Non Qualified Pension Plan | International plans  
Funded status percentage of the company's pension plans  
PBO $ 20
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - Pension Plan Amendments (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Defined Benefit Plan Disclosure [Line Items]    
Accumulated benefit obligation of company's pension plans $ 2,830 $ 2,710
v3.25.4
PENSION AND OTHER POSTRETIREMENT BENEFIT PROGRAMS - U.S. Defined Contribution Plan (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Retirement Benefits [Abstract]      
Defined contribution plan, contributions by employer $ 102 $ 119 $ 116
v3.25.4
INCOME TAXES - Income From Continuing Operations Before Income Tax Expense by Category (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Abstract]      
United States $ (1,345) $ (1,499) $ (1,057)
Foreign 840 1,210 1,299
Income (loss) from continuing operations before income taxes $ (505) $ (289) $ 242
v3.25.4
INCOME TAXES - Income Tax Expense Related To Continuing Operations (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Current      
Federal $ 118 $ 19 $ 1
State and local 29 21 9
Foreign 171 259 307
Current income tax expense (benefit) 318 299 317
Deferred      
Federal (34) (197) (123)
State and local 37 (21) (25)
Foreign 74 (44) (108)
Deferred income tax expense (benefit) 77 (262) (256)
Income tax expense (benefit) $ 395 $ 37 $ 61
v3.25.4
INCOME TAXES - Deferred Tax Assets and Liabilities (Detail) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Deferred tax assets        
Accrued liabilities and other $ 403 $ 310    
Pension and other postretirement benefits 124 131    
Tax credit and net operating loss carryforwards 433 750    
Swiss tax reform net asset basis step-up 103 92    
Operating lease liabilities 66 139    
Valuation allowances (543) (536) $ (584) $ (631)
Total deferred tax assets 586 886    
Deferred tax liabilities        
Unremitted earnings of subsidiaries 33 21    
Long-lived assets and other 536 632    
Operating lease right-of-use assets 62 132    
Total deferred tax liabilities 631 785    
Net deferred tax asset (liability)   $ 101    
Net deferred tax asset (liability) $ (45)      
v3.25.4
INCOME TAXES - Additional Information (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Taxes [Line Items]      
Swiss tax reform net asset basis step-up $ 103 $ 92  
Net tax benefit after valuation allowances from notional interest deductions     $ 50
Net tax benefit, offset by non-deductible income tax costs and shortfalls 18 19 17
Notional interest deduction expense (benefit)   (37) 31
Unrecognized interest and penalties expense 15 21  
Unrecognized tax benefits that, if recognized, would impact effective tax rate 110 51 47
Gross unrecognized tax benefit liability 109 39  
Tax holiday $ 57 $ 176 $ 200
Impact on earnings from continuing operations per diluted shares $ 0.11 $ 0.34 $ 0.39
Reserves for uncertain tax positions $ 280    
Tax Year No Expiration      
Income Taxes [Line Items]      
Operating loss carryforwards 13    
State and Local Jurisdiction      
Income Taxes [Line Items]      
Operating loss carryforwards 70    
Domestic Tax Jurisdiction      
Income Taxes [Line Items]      
Operating loss carryforwards 9    
Tax credit carryforwards 277    
Foreign tax credit carryforward 235    
Foreign      
Income Taxes [Line Items]      
Operating loss carryforwards 69    
Tax credit carryforwards 16    
Foreign | Tax Year No Expiration      
Income Taxes [Line Items]      
Operating loss carryforwards $ 47    
v3.25.4
INCOME TAXES - Summary of Valuation Allowance (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Deferred Tax Valuation Allowance [Roll Forward]      
Balance at beginning of period $ 536 $ 584 $ 631
Balance at end of period 543 536 584
Charged to income tax expense      
Deferred Tax Valuation Allowance [Roll Forward]      
Increase (decrease) in valuation allowance 309 48 87
Deductions      
Deferred Tax Valuation Allowance [Roll Forward]      
Increase (decrease) in valuation allowance (349) (73) (139)
Currency translation adjustments      
Deferred Tax Valuation Allowance [Roll Forward]      
Increase (decrease) in valuation allowance $ 47 $ (23) $ 5
v3.25.4
INCOME TAXES - Income Tax Expense Reconciliation 2025 (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Expense Reconciliation      
Income tax expense (benefit) at U.S. statutory rate $ (106) $ (61) $ 51
State and local taxes, net of federal benefit 62 (9) (2)
Local tax incentive rate   137 190
Other   9 (8)
Changes in valuation allowances   (25) (51)
Global intangible low taxed income, net of tax credits 18    
Effect of internal reorganization (56)    
Other (8)    
Foreign tax credits (24) (5) (7)
Research and development tax credits (18) (19) (17)
Non-deductible goodwill impairment 90 86 0
Non-deductible separation-related costs 15    
Changes in unrecognized tax benefits 246 9 6
Income tax expense (benefit) $ 395 $ 37 $ 61
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Income tax expense (benefit) at U.S. statutory rate 21.00%    
State and local income taxes, net of federal (national) income tax effect (12.30%)    
Global intangible low taxed income, net of tax credits (3.60%)    
Effect of internal reorganization 11.10%    
Other 1.60%    
Foreign tax credits 4.80%    
Research and development tax credits 3.60%    
Non-deductible goodwill impairment (17.80%)    
Other, net (3.00%)    
Changes in unrecognized tax benefits (48.70%)    
Income tax expense (benefit) (78.20%)    
Costa Rica      
Income Tax Expense Reconciliation      
Local tax incentive rate $ (23)    
Other $ 10    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Local tax incentive rate 4.60%    
Other (2.00%)    
Netherlands      
Income Tax Expense Reconciliation      
Local tax incentive rate $ 26    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Local tax incentive rate (5.10%)    
Puerto Rico      
Income Tax Expense Reconciliation      
Local tax incentive rate $ (19)    
Other $ 9    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Local tax incentive rate 3.80%    
Other (1.80%)    
Switzerland      
Income Tax Expense Reconciliation      
Changes in valuation allowances $ 54    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Changes in valuation allowances (10.70%)    
Other      
Income Tax Expense Reconciliation      
Local tax incentive rate $ 37    
Other $ (5)    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Local tax incentive rate (7.30%)    
Other 1.00%    
United States      
Income Tax Expense Reconciliation      
Other $ (1)    
Changes in valuation allowances $ 88    
Effective Income Tax Rate Reconciliation, Percent [Abstract]      
Other 0.20%    
Changes in valuation allowances (17.40%)    
v3.25.4
INCOME TAXES - Income Tax Expense Reconciliation (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Expense Reconciliation      
Income tax expense (benefit) at U.S. statutory rate $ (106) $ (61) $ 51
Tax incentives   (176) (200)
State and local taxes, net of federal benefit 62 (9) (2)
Impact of foreign taxes   137 190
Non-deductible goodwill impairments 90 86 0
Notional interest deduction expense (benefit)   (37) 31
Changes in valuation allowances   (25) (51)
Stock compensation (windfall) shortfall tax expense (benefit)   9 10
Research and development tax credits (18) (19) (17)
Changes in unrecognized tax benefits 246 9 6
Unutilized foreign tax credits   15 32
Subpart F income   18 26
Foreign tax credits (24) (5) (7)
Pillar Two taxes   11 0
Revaluation of Swiss basis step-up deferred tax asset   58 0
Tax law changes on Section 987   17 0
Other   9 (8)
Income tax expense (benefit) $ 395 $ 37 $ 61
v3.25.4
INCOME TAXES - Reconciliation of Company's Unrecognized Tax Benefits (Detail) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Reconciliation Of Unrecognized Tax Benefits Excluding Amounts Pertaining To Examined Tax Returns      
Balance at beginning of the year $ 96 $ 89 $ 87
Increase associated with tax positions taken during the current year 5 10 9
Increase (decrease) associated with tax positions taken during a prior year 258 5 3
Settlements 0 (1) (2)
Decrease associated with lapses in statutes of limitations (30) (7) (8)
Balance at end of the year $ 329 $ 96 $ 89
v3.25.4
EARNINGS (LOSS) PER SHARE - Schedule of Earnings Per Share (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Earnings Per Share [Abstract]      
Income (loss) from continuing operations $ (900) $ (326) $ 181
Less: Net income attributable to noncontrolling interests included in continuing operations 0 0 0
Less: Net income attributable to noncontrolling interest included in discontinued operations 0 11 7
Income (loss) from continuing operations attributable to Baxter stockholders (900) (326) 181
Income (loss) from discontinued operations, net of tax (57) (312) 2,482
Net income (loss) attributable to Baxter stockholders included in discontinued operations (57) (323) 2,475
Net income (loss) attributable to Baxter stockholders $ (957) $ (649) $ 2,656
v3.25.4
EARNINGS (LOSS) PER SHARE - Reconciliation of Basic Shares to Diluted Shares (Details) - shares
shares in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Reconciliation of Basic Shares to Diluted Shares      
Basic (in shares) 513 510 506
Effect of dilutive securities (in shares) 0 0 2
Diluted (in shares) 513 510 508
v3.25.4
EARNINGS (LOSS) PER SHARE - Additional Information (Details) - shares
shares in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Earnings Per Share [Abstract]      
Anti-dilutive securities excluded from computation of EPS (in shares) 22 25 19
v3.25.4
DERIVATIVES AND HEDGING ACTIVITIES - Additional Information (Details)
€ in Millions
12 Months Ended
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Mar. 31, 2025
USD ($)
Oct. 31, 2023
USD ($)
Oct. 31, 2023
EUR (€)
May 31, 2019
EUR (€)
May 31, 2017
EUR (€)
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Derivative, notional amount   $ 0 $ 0          
Derivative, fair value hedges, terminated $ 0 0 $ 0          
Derivative, net investment terminated   $ 0            
1.30% Senior Notes due May 2025                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Senior notes | €               € 600
Senior notes, coupon rates               1.30%
0.40% Senior Notes Due May 2024                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Senior notes | €           € 750 € 750  
Senior notes, coupon rates   0.40%     0.40% 0.40% 0.40%  
1.3% Senior Notes Due May 2029                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Senior notes | €             € 750  
Senior notes, coupon rates 1.30%           1.30%  
Designated as Hedging Instrument                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Derivative, notional amount $ 0              
Designated as Hedging Instrument | Forward Contracts                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Derivative, notional amount       $ 655,000,000        
Not Designated as Hedging Instrument                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Derivative, notional amount 323,000,000 $ 389,000,000            
Net investment hedge                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Accumulated pre-tax unrealized translation losses in AOCI related to euro-denominated senior notes 3,000,000              
Foreign exchange contracts                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Derivative, notional amount 0 99,000,000            
Interest rate contracts | Cash Flow Hedges                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Derivative, notional amount 0 0            
Interest rate contracts | Foreign exchange contracts                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Derivative, notional amount $ 0 $ 0            
Foreign exchange contracts                
Derivative Instruments and Hedging Activities Disclosures [Line Items]                
Derivative, notional amount         $ 798,000,000      
v3.25.4
DERIVATIVES AND HEDGING ACTIVITIES - Summary of Gains and Losses on Derivative Instruments (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Derivative Instruments, Gain (Loss) [Line Items]      
Total, gain (loss) recognized in OCI $ (128) $ 101 $ (47)
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Amortization of net losses and prior service costs or credits Amortization of net losses and prior service costs or credits Amortization of net losses and prior service costs or credits
Total, gain (loss) reclassified from AOCI into income $ 0 $ (3) $ 6
Total gain (loss) on derivative, net 30 (37) 40
Foreign exchange contracts | Other (income) expense, net      
Derivative Instruments, Gain (Loss) [Line Items]      
Gain (loss) recognized in income, undesignated derivative instruments 30 (13) 2
Cash Flow Hedges | Interest rate contracts      
Derivative Instruments, Gain (Loss) [Line Items]      
Gain (loss) recognized in OCI 0 0 0
Cash Flow Hedges | Interest rate contracts | Interest expense, net      
Derivative Instruments, Gain (Loss) [Line Items]      
Gain (loss) reclassified from AOCI into income (6) (6) (6)
Cash Flow Hedges | Foreign exchange contracts      
Derivative Instruments, Gain (Loss) [Line Items]      
Gain (loss) recognized in OCI (1) 17 15
Cash Flow Hedges | Foreign exchange contracts | Cost of sales      
Derivative Instruments, Gain (Loss) [Line Items]      
Gain (loss) reclassified from AOCI into income 6 8 15
Net investment hedge      
Derivative Instruments, Gain (Loss) [Line Items]      
Net investment hedges (127) 87 (58)
Net investment hedge | Other (income) expense, net      
Derivative Instruments, Gain (Loss) [Line Items]      
Net investment hedges 0 0 0
Foreign exchange contracts      
Derivative Instruments, Gain (Loss) [Line Items]      
Gain (loss) recognized in OCI, foreign exchange contracts 0 (3) (4)
Foreign exchange contracts | Other (income) expense, net      
Derivative Instruments, Gain (Loss) [Line Items]      
Gain (loss) reclassed into income, foreign exchange contracts 0 (5) (3)
Gain (loss) recognized in income, fair value hedge $ 0 $ (24) $ 38
v3.25.4
DERIVATIVES AND HEDGING ACTIVITIES - Net of Tax Activity in Accumulated Other Comprehensive Income Related to Cash Flow Hedges (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Accumulated other comprehensive income (loss) balance at beginning of year $ (4,010)    
Accumulated other comprehensive income (loss) balance at end of year (3,754) $ (4,010)  
Deferred, net after-tax losses on derivative instruments 4    
Continuing Operations      
AOCI Attributable to Parent, Net of Tax [Roll Forward]      
Accumulated other comprehensive income (loss) balance at beginning of year (108) (120) $ (119)
(Loss) gain in fair value of derivatives during the year (2) 10 5
Amount reclassified to earnings during the year 0 2 (6)
Accumulated other comprehensive income (loss) balance at end of year $ (110) $ (108) $ (120)
v3.25.4
DERIVATIVES AND HEDGING ACTIVITIES - Classification and Fair Value Amounts of Derivative Instruments (Detail) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Derivatives, Fair Value [Line Items]    
Derivative asset, fair value $ 0 $ 7
Total derivative instruments   7
Derivative liability, fair value 1 2
Total derivative instruments $ 835 $ 1,347
Derivative Liability, Statement of Financial Position [Extensible Enumeration] Accrued expenses and other current liabilities, Long-term debt and finance lease obligations, less current portion Accrued expenses and other current liabilities, Current maturities of long-term debt and finance lease obligations, Long-term debt and finance lease obligations, less current portion
Designated as Hedging Instrument | Long-Term Debt and Lease Obligation    
Derivatives, Fair Value [Line Items]    
Derivative liability, not subject to master netting arrangement, fair value $ 834 $ 727
Designated as Hedging Instrument | Long-Term Debt and Lease Obligation, Current    
Derivatives, Fair Value [Line Items]    
Derivative liability, not subject to master netting arrangement, fair value   618
Designated as Hedging Instrument | Foreign exchange contracts | Prepaid expenses and other current assets    
Derivatives, Fair Value [Line Items]    
Derivative asset, fair value   6
Designated as Hedging Instrument | Foreign exchange contracts | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Derivative liability, fair value   0
Not Designated as Hedging Instrument | Foreign exchange contracts | Prepaid expenses and other current assets    
Derivatives, Fair Value [Line Items]    
Derivative asset, fair value   1
Not Designated as Hedging Instrument | Foreign exchange contracts | Accrued expenses and other current liabilities    
Derivatives, Fair Value [Line Items]    
Derivative liability, fair value $ 1 $ 2
v3.25.4
DERIVATIVES AND HEDGING ACTIVITIES - Derivative Positions Presented On Net Basis (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]    
Derivative asset, fair value $ 0 $ 7
Derivative liability, fair value 1 2
Gross amount subject to offset in master netting arrangements not offset in the consolidated balance sheets, asset 0 (1)
Gross amount subject to offset in master netting arrangements not offset in the consolidated balance sheets, liability 0 (1)
Total 0 6
Total $ 1 $ 1
v3.25.4
DERIVATIVES AND HEDGING ACTIVITIES - Amounts Recorded on Condensed Consolidated Balance Sheet Related to Fair Value Hedges (Details) - Long-term debt - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Derivatives, Fair Value [Line Items]    
Carrying amount of hedged items $ 99 $ 99
Cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged item $ 2 $ 2
v3.25.4
FAIR VALUE MEASUREMENTS - Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Foreign exchange contracts   $ 7
Available-for-sale debt securities $ 1 1
Marketable equity securities 15 13
Total assets 16 21
Foreign exchange contracts 1 2
Contingent payments related to acquisitions 7 12
Total liabilities 61 14
Fair Value, Measurements, Recurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Indemnifications related to kidney care separation 53  
Quoted prices in active markets for identical assets (Level 1)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Foreign exchange contracts   0
Available-for-sale debt securities 0 0
Marketable equity securities 15 13
Total assets 15 13
Foreign exchange contracts 0 0
Contingent payments related to acquisitions 0 0
Total liabilities 0 0
Quoted prices in active markets for identical assets (Level 1) | Fair Value, Measurements, Recurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Indemnifications related to kidney care separation 0  
Significant other observable inputs (Level 2)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Foreign exchange contracts   7
Available-for-sale debt securities 0 0
Marketable equity securities 0 0
Total assets 0 7
Foreign exchange contracts 1 2
Contingent payments related to acquisitions 0 0
Total liabilities 1 2
Significant other observable inputs (Level 2) | Fair Value, Measurements, Recurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Indemnifications related to kidney care separation 0  
Significant Unobservable Inputs (Level 3)    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Foreign exchange contracts   0
Available-for-sale debt securities 1 1
Marketable equity securities 0 0
Total assets 1 1
Foreign exchange contracts 0 0
Contingent payments related to acquisitions 7 12
Total liabilities 60 $ 12
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Indemnifications related to kidney care separation $ 53  
v3.25.4
FAIR VALUE MEASUREMENTS - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Financial Instruments and Fair Value [Line Items]      
Cash and cash equivalents $ 1,966 $ 1,764 $ 3,078
Available-for-sale debt securities      
Financial Instruments and Fair Value [Line Items]      
Transfers out of Level 3 0 0  
Other Assets      
Financial Instruments and Fair Value [Line Items]      
Other equity investments without readily determinable fair values 50 37  
Fair Value, Inputs, Level 2      
Financial Instruments and Fair Value [Line Items]      
Cash and cash equivalents 1,970 1,760  
Money market funds, at carrying value $ 832 $ 583  
v3.25.4
FAIR VALUE MEASUREMENTS - Reconciliation of Fair Value Measurements that Use Significant Unobservable Inputs (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Dec. 31, 2025
Dec. 31, 2025
Dec. 31, 2024
Indemnifications related to Kidney Care separation      
Contingent payments related to acquisitions      
Fair value at beginning of period $ 0    
Additions 67    
Payments (14)    
Fair value at end of period 53 $ 53  
Contingent payments related to acquisitions      
Contingent payments related to acquisitions      
Fair value at beginning of period   12 $ 14
Additions   0 0
Change in fair value recognized in earnings   2 0
Payments   (5) (2)
Transfers out of Level 3   (2) 0
Fair value at end of period 7 7 12
Available-for-sale debt securities      
Available-for-sale debt securities      
Fair value at beginning of period   1 1
Additions   0 0
Change in fair value recognized in earnings   0 0
Payments   0 0
Transfers out of Level 3   0 0
Fair value at end of period $ 1 $ 1 $ 1
v3.25.4
FAIR VALUE MEASUREMENTS - Book Values and Fair Values of Financial Instruments (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Book values    
Fair Value And Carrying Value By Balance Sheet Grouping [Line Items]    
Short-term debt $ 0 $ 2,126
Current maturities of long-term debt 0 626
Long-term debt 9,436 10,374
Fair values    
Fair Value And Carrying Value By Balance Sheet Grouping [Line Items]    
Short-term debt 0 2,126
Current maturities of long-term debt 0 619
Long-term debt $ 8,714 $ 9,295
v3.25.4
SEGMENT AND GEOGRAPHIC INFORMATION - Additional Information (Details)
12 Months Ended
Dec. 31, 2025
segment
Segment Reporting [Abstract]  
Number of reportable segments 3
v3.25.4
SEGMENT AND GEOGRAPHIC INFORMATION - Financial Information of Segments (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Information [Line Items]      
Net sales $ 11,244 $ 10,636 $ 10,360
United States      
Segment Reporting Information [Line Items]      
Net sales 6,122 5,850 5,802
Non-US      
Segment Reporting Information [Line Items]      
Net sales 5,122 4,786 4,558
Operating Segments | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 5,299 5,207 5,011
Operating Segments | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 3,071 2,951 3,013
Operating Segments | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 2,493 2,411 2,249
Operating Segments | United States | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 2,884 2,882 2,809
Operating Segments | United States | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 2,243 2,154 2,168
Operating Segments | United States | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 749 780 759
Operating Segments | Non-US | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 2,415 2,325 2,202
Operating Segments | Non-US | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 828 797 845
Operating Segments | Non-US | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 1,744 1,631 1,490
Operating Segments | Infusion Therapies & Technologies | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 4,101 4,103 3,960
Operating Segments | Infusion Therapies & Technologies | United States | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 2,236 2,279 2,227
Operating Segments | Infusion Therapies & Technologies | Non-US | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 1,865 1,824 1,733
Operating Segments | Advanced Surgery | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 1,198 1,104 1,051
Operating Segments | Advanced Surgery | United States | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 648 603 582
Operating Segments | Advanced Surgery | Non-US | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 550 501 469
Operating Segments | Care & Connectivity Solutions | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 1,911 1,814 1,800
Operating Segments | Care & Connectivity Solutions | United States | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 1,372 1,311 1,263
Operating Segments | Care & Connectivity Solutions | Non-US | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 539 503 537
Operating Segments | Front Line Care | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 1,160 1,137 1,213
Operating Segments | Front Line Care | United States | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 871 843 905
Operating Segments | Front Line Care | Non-US | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 289 294 308
Operating Segments | Injectables & Anesthesia | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 1,352 1,373 1,347
Operating Segments | Injectables & Anesthesia | United States | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 749 780 759
Operating Segments | Injectables & Anesthesia | Non-US | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 603 593 588
Operating Segments | Drug Compounding | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 1,141 1,038 902
Operating Segments | Drug Compounding | United States | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 0 0 0
Operating Segments | Drug Compounding | Non-US | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 1,141 1,038 902
Other      
Segment Reporting Information [Line Items]      
Net sales 381 67 87
Other | United States      
Segment Reporting Information [Line Items]      
Net sales 246 34 66
Other | Non-US      
Segment Reporting Information [Line Items]      
Net sales $ 135 $ 33 $ 21
v3.25.4
SEGMENT AND GEOGRAPHIC INFORMATION - Geographic Information (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Revenues from External Customers and Long-Lived Assets [Line Items]      
Net sales $ 11,244 $ 10,636 $ 10,360
Total property, plant and equipment and operating lease right-of-use assets, net 3,186 3,176  
United States      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Net sales 6,122 5,850 5,802
Total property, plant and equipment and operating lease right-of-use assets, net 1,609 1,654  
Emerging markets      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Net sales 1,394 1,350 1,343
Total property, plant and equipment and operating lease right-of-use assets, net 817 793  
Rest of world      
Revenues from External Customers and Long-Lived Assets [Line Items]      
Net sales 3,728 3,436 $ 3,215
Total property, plant and equipment and operating lease right-of-use assets, net $ 760 $ 729  
v3.25.4
SEGMENT AND GEOGRAPHIC INFORMATION - Segment Information Of Net Sales And Operating Income (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Information [Line Items]      
Net sales $ 11,244 $ 10,636 $ 10,360
Cost of sales 7,865 6,652 6,210
Selling, general and administrative expenses 2,890 2,967 2,953
Research and Development Expense 518 590 518
Total reportable segment operating income (308) 14 707
Operating Segments | Medical Products & Therapies      
Segment Reporting Information [Line Items]      
Net sales 5,299 5,207 5,011
Cost of sales 3,065 2,867 2,720
Selling, general and administrative expenses 1,162 1,176 1,097
Research and Development Expense 209 216 222
Other segment items (107) (2) 0
Total reportable segment operating income 970 950 972
Operating Segments | Healthcare Systems & Technologies      
Segment Reporting Information [Line Items]      
Net sales 3,071 2,951 3,013
Cost of sales 1,603 1,464 1,532
Selling, general and administrative expenses 873 836 822
Research and Development Expense 190 184 176
Other segment items (36) (1) 0
Total reportable segment operating income 441 468 483
Operating Segments | Pharmaceuticals      
Segment Reporting Information [Line Items]      
Net sales 2,493 2,411 2,249
Cost of sales 1,777 1,612 1,400
Selling, general and administrative expenses 429 396 363
Research and Development Expense 101 91 86
Other segment items (36) (1) (1)
Total reportable segment operating income 222 313 401
Other      
Segment Reporting Information [Line Items]      
Net sales $ 381 $ 67 $ 87
v3.25.4
SEGMENT AND GEOGRAPHIC INFORMATION - Operating Income to Income from Continuing Operations Reconciliation (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Total reportable segment operating income $ (308) $ 14 $ 707
Intangible asset amortization expense 598 625 590
Indefinite-lived asset impairments 290 50 0
Goodwill impairments 485 425 0
Gain on early extinguishment of debt (16) 0 0
Interest expense, net 238 341 439
Other (income) expense, net (41) (38) 26
Income (loss) from continuing operations before income taxes (505) (289) 242
Total depreciation expense $ 383 $ 372 $ 394
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] Total reportable segment operating income Total reportable segment operating income Total reportable segment operating income
Business Combination Separately Recognized Transaction Acquisition Related Cost Expensed Statement Of Income Or Comprehensive Income Extensible Enumeration Not Disclosed Flag Acquisition and integration items Acquisition and integration items Acquisition and integration items
Reportable Segment      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Total reportable segment operating income $ (308) $ 14 $ 707
Interest expense, net 238 341 439
Other (income) expense, net (41) (38) 26
Income (loss) from continuing operations before income taxes (505) (289) 242
Operating Segments      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Goodwill impairments 485 425  
Operating Segments | Medical Products & Therapies      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Total reportable segment operating income 970 950 972
Goodwill impairments 0 0  
Total depreciation expense 206 201 232
Operating Segments | Healthcare Systems & Technologies      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Total reportable segment operating income 441 468 483
Goodwill impairments 485 425  
Total depreciation expense 112 109 108
Operating Segments | Pharmaceuticals      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Total reportable segment operating income 222 313 401
Goodwill impairments 0 0  
Total depreciation expense 65 62 54
Operating Segments | Reportable Segment      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Total reportable segment operating income 1,633 1,731 1,856
Segment Reporting, Reconciling Item, Excluding Corporate Nonsegment      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Separation-related costs (58) 0 0
Segment Reporting, Reconciling Item, Excluding Corporate Nonsegment | Reportable Segment      
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]      
Other 43 18 18
Unallocated corporate costs (86) (275) (355)
Intangible asset amortization expense (598) (625) (590)
Business optimization items (178) (162) (174)
European Medical Devices Regulation (21) (33) (41)
Indefinite-lived asset impairments (290) (50) 0
Legal matters (11) (17) (7)
Acquisition and integration items (27) (23) 0
Product-related reserves (113) (15) 0
Hurricane Helene Costs (133) (110) 0
Goodwill impairments (485) (425) 0
Gain on sale of long-lived assets $ 16 $ 0 $ 0