TEVA PHARMACEUTICAL INDUSTRIES LTD, DEF 14A filed on 3/31/2026
Proxy Statement (definitive)
v3.26.1
Cover
 12 Months Ended
Dec. 31, 2025
Document Information [Line Items]  
Document Type DEF 14A
Amendment Flag false
Entity Information [Line Items]  
Entity Registrant Name TEVA PHARMACEUTICAL INDUSTRIES LIMITED
Entity Central Index Key 0000818686
v3.26.1
Pay vs Performance Disclosure - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Pay vs Performance Disclosure          
Pay vs Performance Disclosure, Table
Pay Versus Performance Disclosure
In accordance with rules adopted by the SEC pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, we provide the following disclosure regarding executive compensation for our principal executive officer (“PEO”) and
Non-PEO
NEOs and Company performance for the fiscal years listed below. The HR and Compensation Committee did not consider the pay versus performance disclosure below in making its pay decisions for any of the years shown.
 
Year
  
Summary
Compensation
Table Total for
PEO 1
($)
(1)
    
Summary
Compensation
Table Total
for PEO 2
($)
(1)
    
Compensation
Actually Paid
to PEO 1
($)
(1)(2)(3)
    
Compensation
Actually Paid
to PEO 2
($)
(1)(2)(3)
    
Average
Summary
Compensation
Table Total
for
Non-PEO

NEOs
($)
(1)
    
Average
Compensation
Actually Paid
to
Non-PEO

NEOs
($)
(1)(2)(3)
     
Value of Initial
Fixed $100
Investment based
on:
(4)
     
Net
Income
($ Millions)
    
Net
Revenue
($ Millions)
(5)
  
  
TSR
($)
    
Peer
Group
TSR
($)
  
(a)
  
(b)
    
(b)
    
(c)
    
(c)
    
(d)
    
(e)
     
(f)
    
(g)
     
(h)
    
(i)
  
2025
    
 
  
 
  
 
  
 
19,168,709
 
    
 
  
 
  
 
  
 
54,984,668
 
  
 
6,594,524
 
  
 
13,059,337
 
   
 
323.42
 
  
 
156.35
 
   
 
1,418
 
  
 
17,258
 
2024
    
 
  
 
  
 
  
 
15,518,947
 
    
 
  
 
  
 
  
 
40,920,263
 
  
 
5,645,290
 
  
 
12,940,595
 
   
 
228.39
 
  
 
118.45
 
   
 
(1,959)
 
  
 
16,544
 
2023
    
 
  
 
  
 
  
 
25,706,880
 
    
 
  
 
  
 
  
 
26,191,537
 
  
 
4,522,802
 
  
 
4,825,132
 
   
 
108.19
 
  
 
109.31
 
   
 
(615)
 
  
 
15,846
 
2022
  
 
15,529,138
 
    
 
  
 
  
 
  
 
17,214,057
 
    
 
  
 
  
 
  
 
3,977,166
 
  
 
4,426,020
 
   
 
94.51
 
  
 
107.97
 
   
 
(2,499)
 
  
 
14,925
 
2021
  
 
14,681,772
 
    
 
  
 
  
 
  
 
7,570,056
 
    
 
  
 
  
 
  
 
3,740,840
 
  
 
3,075,466
 
   
 
83.01
 
  
 
113.11
 
   
 
456
 
  
 
15,878
 
(1)
Kåre Schultz (PEO 1) was our PEO in 2021 and 2022. Richard Francis (PEO 2) was the CEO for the years 2023 through 2025. The individuals comprising the
Non-PEO
NEOs for each year presented are listed below.
 
2021
  
2022
  
2023
  
2024
  
2025
Eli Kalif
  
Eli Kalif
  
Eli Kalif
  
Eli Kalif
  
Eli Kalif
Dr. Sven Dethlefs
  
Dr. Sven Dethlefs
  
Richard Daniell
  
Dr. Eric Hughes
  
Dr. Eric Hughes
Eric Drapé
  
Mark Sabag
  
Eric Drapé
  
Richard Daniell
  
Christine Fox
Mark Sabag
  
Eric Drapé
  
Mark Sabag
  
Christine Fox
  
Evan Lippman
 
(2)
The amounts shown for Compensation Actually Paid have been calculated in accordance with Item 402(v) of Regulation
S-K
and do not reflect compensation actually earned, realized, or received by the Company’s NEOs. These amounts reflect the Summary Compensation Table Total with certain adjustments as described in footnote 3 below.
(3)
Compensation Actually Paid reflects the exclusions and inclusions of certain amounts for the PEO and the
Non-PEO
NEOs as set forth below. Equity values are calculated in accordance with FASB
ASC
Topic 718. Amounts in the Exclusion of Stock Awards column are the totals from the Stock Awards columns set forth in the Summary Compensation Table.
 
Year
   
Summary Compensation
Table Total for PEO 2
($)
       
Exclusion of Stock
Awards and Option
Awards for PEO 2
($)
       
Inclusion of Equity
Values for PEO 2
($)
       
Compensation Actually
Paid to PEO 2
($)
  
2025
   
 
19,168,709
 
     
 
-11,999,970
 
     
 
47,815,929
 
     
 
54,984,668
 
 
Year
   
Average Summary
Compensation Table
Total for Non-PEO NEOs

($)
       
Average Exclusion of
Stock Awards and
Option Awards for
Non-PEO
NEOs
($)
       
Average Inclusion of
Equity Values for
Non-PEO
NEOs
($)
       
Average Compensation
Actually Paid to
Non-PEO
NEOs
($)
  
2025
   
 
6,594,524
 
     
 
-3,962,481
 
     
 
10,427,294
 
     
 
13,059,337
 
The amounts in the Inclusion of Equity Values in the tables above are derived from the amounts set forth in the following tables:
 
Year
   
Year-End
Fair
Value of
Equity Awards
Granted
During Year
That Remained
Unvested as of
Last Day of
Year for
PEO 2
($)
     
Change in Fair
Value from
Last Day of
Prior Year to
Last Day of
Year of
Unvested
Equity Awards
for
PEO 2
($)
     
Vesting-Date
Fair Value of
Equity Awards
Granted
During Year
that Vested
During Year
for
PEO 2
($)
     
Change in Fair
Value from
Last Day of
Prior Year to
Vesting Date
of Unvested
Equity Awards
that Vested
During Year
for
PEO 2
($)
     
Fair Value at
Last Day of
Prior Year of
Equity Awards
Forfeited
During Year
for
PEO 2
($)
     
Value of
Dividends or
Other
Earnings Paid
on Equity
Awards Not
Otherwise
Included for
PEO 2
($)
     
Total -
Inclusion of
Equity
Values for
PEO 2
($)
  
2025
   
 
23,093,808
 
   
 
26,331,365
 
   
 
0
 
   
 
-1,609,244
 
   
 
0
 
   
 
0
 
   
 
47,815,929
 
 
Year
   
Average Year-
End Fair Value
of Equity
Awards
Granted
During Year
That Remained
Unvested as of
Last Day of
Year for
Non-PEO

NEOs
($)
     
Average
Change in Fair
Value from
Last Day of
Prior Year to
Last Day of
Year of
Unvested
Equity
Awards for
Non-PEO

NEOs
($)
     
Average
Vesting-Date
Fair Value of
Equity Awards
Granted
During Year
that Vested
During Year
for
Non-PEO

NEOs
($)
     
Average
Change in Fair
Value from
Last Day of
Prior Year to
Vesting Date
of Unvested
Equity Awards
that Vested
During Year
for
Non-PEO

NEOs
($)
     
Average Fair
Value at Last
Day of Prior
Year of Equity
Awards
Forfeited
During Year
for
Non-PEO

NEOs
($)
     
Average Value
of Dividends
or Other
Earnings Paid
on Equity
Awards Not
Otherwise
Included for
Non-PEO

NEOs
($)
     
Total -
Average
Inclusion of
Equity Values
for
Non-PEO

NEOs
($)
  
2025
   
 
7,636,986
 
   
 
3,409,406
 
   
 
0
 
   
 
-619,098
 
   
 
0
 
   
 
0
 
   
 
10,427,294
 
(4)
The Peer Group TSR set forth in this table utilizes the Dow Jones U.S. Select Pharmaceuticals Index, which we also utilize in the stock performance graph required by Item 201(e) of Regulation
S-K
included in our Annual Report for the year ended December 31, 2025. The comparison assumes $100 was invested for the period starting December 31, 2020, through the end of the listed year in the Company and in the Dow Jones U.S. Select Pharmaceuticals Total Return Index, respectively. Historical stock performance is not necessarily indicative of future stock performance.
(5)
We determined Net Revenue to be the most important financial performance measure used to link Company performance to Compensation Actually Paid to our PEO and
Non-PEO
NEOs in 2025. This performance measure may not have been the most important financial performance measure for years 2021 through 2024 and we may determine a different financial performance measure to be the most important financial performance measure in future years.
       
Company Selected Measure Name Net Revenue        
Named Executive Officers, Footnote
(1)
Kåre Schultz (PEO 1) was our PEO in 2021 and 2022. Richard Francis (PEO 2) was the CEO for the years 2023 through 2025. The individuals comprising the
Non-PEO
NEOs for each year presented are listed below.
 
2021
  
2022
  
2023
  
2024
  
2025
Eli Kalif
  
Eli Kalif
  
Eli Kalif
  
Eli Kalif
  
Eli Kalif
Dr. Sven Dethlefs
  
Dr. Sven Dethlefs
  
Richard Daniell
  
Dr. Eric Hughes
  
Dr. Eric Hughes
Eric Drapé
  
Mark Sabag
  
Eric Drapé
  
Richard Daniell
  
Christine Fox
Mark Sabag
  
Eric Drapé
  
Mark Sabag
  
Christine Fox
  
Evan Lippman
        
Peer Group Issuers, Footnote The Peer Group TSR set forth in this table utilizes the Dow Jones U.S. Select Pharmaceuticals Index, which we also utilize in the stock performance graph required by Item 201(e) of Regulation
S-K
included in our Annual Report for the year ended December 31, 2025. The comparison assumes $100 was invested for the period starting December 31, 2020, through the end of the listed year in the Company and in the Dow Jones U.S. Select Pharmaceuticals Total Return Index, respectively. Historical stock performance is not necessarily indicative of future stock performance. 		       
Adjustment To PEO Compensation, Footnote
(3)
Compensation Actually Paid reflects the exclusions and inclusions of certain amounts for the PEO and the
Non-PEO
NEOs as set forth below. Equity values are calculated in accordance with FASB
ASC
Topic 718. Amounts in the Exclusion of Stock Awards column are the totals from the Stock Awards columns set forth in the Summary Compensation Table.
 
Year
   
Summary Compensation
Table Total for PEO 2
($)
       
Exclusion of Stock
Awards and Option
Awards for PEO 2
($)
       
Inclusion of Equity
Values for PEO 2
($)
       
Compensation Actually
Paid to PEO 2
($)
  
2025
   
 
19,168,709
 
     
 
-11,999,970
 
     
 
47,815,929
 
     
 
54,984,668
 
 
The amounts in the Inclusion of Equity Values in the tables above are derived from the amounts set forth in the following tables:
 
Year
   
Year-End
Fair
Value of
Equity Awards
Granted
During Year
That Remained
Unvested as of
Last Day of
Year for
PEO 2
($)
     
Change in Fair
Value from
Last Day of
Prior Year to
Last Day of
Year of
Unvested
Equity Awards
for
PEO 2
($)
     
Vesting-Date
Fair Value of
Equity Awards
Granted
During Year
that Vested
During Year
for
PEO 2
($)
     
Change in Fair
Value from
Last Day of
Prior Year to
Vesting Date
of Unvested
Equity Awards
that Vested
During Year
for
PEO 2
($)
     
Fair Value at
Last Day of
Prior Year of
Equity Awards
Forfeited
During Year
for
PEO 2
($)
     
Value of
Dividends or
Other
Earnings Paid
on Equity
Awards Not
Otherwise
Included for
PEO 2
($)
     
Total -
Inclusion of
Equity
Values for
PEO 2
($)
  
2025
   
 
23,093,808
 
   
 
26,331,365
 
   
 
0
 
   
 
-1,609,244
 
   
 
0
 
   
 
0
 
   
 
47,815,929
 
 
        
Non-PEO NEO Average Total Compensation Amount $ 6,594,524 $ 5,645,290 $ 4,522,802 $ 3,977,166 $ 3,740,840
Non-PEO NEO Average Compensation Actually Paid Amount $ 13,059,337 12,940,595 4,825,132 4,426,020 3,075,466
Adjustment to Non-PEO NEO Compensation Footnote
(3)
Compensation Actually Paid reflects the exclusions and inclusions of certain amounts for the PEO and the
Non-PEO
NEOs as set forth below. Equity values are calculated in accordance with FASB
ASC
Topic 718. Amounts in the Exclusion of Stock Awards column are the totals from the Stock Awards columns set forth in the Summary Compensation Table.
 
Year
   
Average Summary
Compensation Table
Total for Non-PEO NEOs

($)
       
Average Exclusion of
Stock Awards and
Option Awards for
Non-PEO
NEOs
($)
       
Average Inclusion of
Equity Values for
Non-PEO
NEOs
($)
       
Average Compensation
Actually Paid to
Non-PEO
NEOs
($)
  
2025
   
 
6,594,524
 
     
 
-3,962,481
 
     
 
10,427,294
 
     
 
13,059,337
 
Year
   
Average Year-
End Fair Value
of Equity
Awards
Granted
During Year
That Remained
Unvested as of
Last Day of
Year for
Non-PEO

NEOs
($)
     
Average
Change in Fair
Value from
Last Day of
Prior Year to
Last Day of
Year of
Unvested
Equity
Awards for
Non-PEO

NEOs
($)
     
Average
Vesting-Date
Fair Value of
Equity Awards
Granted
During Year
that Vested
During Year
for
Non-PEO

NEOs
($)
     
Average
Change in Fair
Value from
Last Day of
Prior Year to
Vesting Date
of Unvested
Equity Awards
that Vested
During Year
for
Non-PEO

NEOs
($)
     
Average Fair
Value at Last
Day of Prior
Year of Equity
Awards
Forfeited
During Year
for
Non-PEO

NEOs
($)
     
Average Value
of Dividends
or Other
Earnings Paid
on Equity
Awards Not
Otherwise
Included for
Non-PEO

NEOs
($)
     
Total -
Average
Inclusion of
Equity Values
for
Non-PEO

NEOs
($)
  
2025
   
 
7,636,986
 
   
 
3,409,406
 
   
 
0
 
   
 
-619,098
 
   
 
0
 
   
 
0
 
   
 
10,427,294
 
        
Compensation Actually Paid vs. Total Shareholder Return LOGO        
Compensation Actually Paid vs. Net Income LOGO        
Compensation Actually Paid vs. Company Selected Measure LOGO        
Total Shareholder Return Vs Peer Group LOGO        
Tabular List, Table
Tabular List of Most Important Financial and
Non-Financial
Performance Measures
The following table presents the financial and
non-financial
performance measures that the Company considers to have been the most important in linking Compensation Actually Paid to our PEO and other NEOs for 2025 to Company performance. The measures in this table are not ranked.
 
Net Revenue
Free Cash Flow
Non-GAAP
Earnings Per Share
Stock Price
        
Total Shareholder Return Amount $ 323.42 228.39 108.19 94.51 83.01
Peer Group Total Shareholder Return Amount 156.35 118.45 109.31 107.97 113.11
Net Income (Loss) $ 1,418,000,000 $ (1,959,000,000) $ (615,000,000) $ (2,499,000,000) $ 456,000,000
Company Selected Measure Amount 17,258,000,000 16,544,000,000 15,846,000,000 14,925,000,000 15,878,000,000
Measure:: 1          
Pay vs Performance Disclosure          
Name Net Revenue        
Measure:: 2          
Pay vs Performance Disclosure          
Name Free Cash Flow        
Measure:: 3          
Pay vs Performance Disclosure          
Name Non-GAAP Earnings Per Share        
Measure:: 4          
Pay vs Performance Disclosure          
Name Stock Price        
Kare Schultz [Member]          
Pay vs Performance Disclosure          
PEO Total Compensation Amount       $ 15,529,138 $ 14,681,772
PEO Actually Paid Compensation Amount       $ 17,214,057 $ 7,570,056
PEO Name       Kåre Schultz Kåre Schultz
Richard Francis [Member]          
Pay vs Performance Disclosure          
PEO Total Compensation Amount $ 19,168,709 $ 15,518,947 $ 25,706,880    
PEO Actually Paid Compensation Amount $ 54,984,668 $ 40,920,263 $ 26,191,537    
PEO Name Richard Francis Richard Francis Richard Francis    
PEO | Richard Francis [Member] | Equity Awards Adjustments          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount $ 47,815,929        
PEO | Richard Francis [Member] | Year-end Fair Value of Equity Awards Granted in Covered Year that are Outstanding and Unvested          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 23,093,808        
PEO | Richard Francis [Member] | Year-over-Year Change in Fair Value of Equity Awards Granted in Prior Years That are Outstanding and Unvested          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 26,331,365        
PEO | Richard Francis [Member] | Vesting Date Fair Value of Equity Awards Granted and Vested in Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
PEO | Richard Francis [Member] | Change in Fair Value as of Vesting Date of Prior Year Equity Awards Vested in Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount (1,609,244)        
PEO | Richard Francis [Member] | Prior Year End Fair Value of Equity Awards Granted in Any Prior Year that Fail to Meet Applicable Vesting Conditions During Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
PEO | Richard Francis [Member] | Dividends or Other Earnings Paid on Equity Awards not Otherwise Reflected in Total Compensation for Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
PEO | Richard Francis [Member] | Stock Awards and Option Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount (11,999,970)        
Non-PEO NEO | Equity Awards Adjustments          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 10,427,294        
Non-PEO NEO | Year-end Fair Value of Equity Awards Granted in Covered Year that are Outstanding and Unvested          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 7,636,986        
Non-PEO NEO | Year-over-Year Change in Fair Value of Equity Awards Granted in Prior Years That are Outstanding and Unvested          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 3,409,406        
Non-PEO NEO | Vesting Date Fair Value of Equity Awards Granted and Vested in Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
Non-PEO NEO | Change in Fair Value as of Vesting Date of Prior Year Equity Awards Vested in Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount (619,098)        
Non-PEO NEO | Prior Year End Fair Value of Equity Awards Granted in Any Prior Year that Fail to Meet Applicable Vesting Conditions During Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
Non-PEO NEO | Dividends or Other Earnings Paid on Equity Awards not Otherwise Reflected in Total Compensation for Covered Year          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount 0        
Non-PEO NEO | Stock Awards and Option Awards [Member]          
Pay vs Performance Disclosure          
Adjustment to Compensation, Amount $ (3,962,481)        
v3.26.1
Award Timing Disclosure
 12 Months Ended
Dec. 31, 2025
Award Timing Disclosures [Line Items]  
Award Timing MNPI Disclosure
Equity Granting Practices
The Company did not grant any share options to executive officers, including NEOs, in the last completed fiscal year. In recent years, the HR and Compensation Committee’s equity compensation awards have included only PSUs and RSUs; the last time that share options were issued to executive officers was in 2018.
In late January or early February of each year, the HR and Compensation Committee and the Board review and approve the value and amount of the equity compensation to be awarded to executive officers. The grant of approved equity awards then typically occurs in late February or early March, which is after the filing of the company’s Annual Report on Form
10-K,
which is generally filed in
mid-February
as well as after the Company’s fourth quarter and
year-end
earnings release, which is generally filed on Form
8-K
in late January or early February. The
value
of the grant for
non-employee
directors is approved by shareholders and is typically granted in early June, after the annual general meeting of shareholders.
The HR and Compensation Committee and the Board do not generally grant share options or other equity awards during periods in which there is material nonpublic information about our Company, including (1) outside a “trading window” established in connection with the public release of earnings information under our Insider Trading Policy or (2) at any time during the four business days prior to or the one business day following the filing of our periodic reports or the filing or furnishing of a Form
8-K
that discloses material nonpublic information. The HR and Compensation Committee does not take material nonpublic information into account when determining the timing and terms of equity awards. Share options may occasionally be awarded on an
off-cycle
basis, including to new hires. The Company has not timed the disclosure of material nonpublic information to affect the value of executive compensation.
Award Timing Method The Company did not grant any share options to executive officers, including NEOs, in the last completed fiscal year. In recent years, the HR and Compensation Committee’s equity compensation awards have included only PSUs and RSUs; the last time that share options were issued to executive officers was in 2018.
Award Timing MNPI Considered false
Award Timing, How MNPI Considered
The HR and Compensation Committee and the Board do not generally grant share options or other equity awards during periods in which there is material nonpublic information about our Company, including (1) outside a “trading window” established in connection with the public release of earnings information under our Insider Trading Policy or (2) at any time during the four business days prior to or the one business day following the filing of our periodic reports or the filing or furnishing of a Form
8-K
that discloses material nonpublic information. The HR and Compensation Committee does not take material nonpublic information into account when determining the timing and terms of equity awards. Share options may occasionally be awarded on an
off-cycle
basis, including to new hires. The Company has not timed the disclosure of material nonpublic information to affect the value of executive compensation.
MNPI Disclosure Timed for Compensation Value false
v3.26.1
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