RESIDEO TECHNOLOGIES, INC., 10-K filed on 2/24/2026
Annual Report
v3.25.4
Cover - USD ($)
$ in Billions
 12 Months Ended
Dec. 31, 2025
Feb. 17, 2026
Jun. 27, 2025
Cover [Abstract]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date Dec. 31, 2025    
Current Yes Fiscal Year End --12-31    
Document Transition Report false    
Entity File Number 001-38635    
Entity Registrant Name Resideo Technologies, Inc.    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 82-5318796    
Entity Address, Address Line One 16100 N. 71st Street    
Entity Address, Address Line Two Suite 550    
Entity Address, City or Town Scottsdale    
Entity Address, State or Province AZ    
Entity Address, Postal Zip Code 85254    
City Area Code 480    
Local Phone Number 573-5340    
Title of 12(b) Security Common Stock, par value $0.001 per share    
Trading Symbol REZI    
Security Exchange Name NYSE    
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 false    
Entity Shell Company false    
Entity Public Float     $ 3.3
Entity Common Stock, Shares Outstanding   151,247,101  
Documents Incorporated by Reference
DOCUMENTS INCORPORATED BY REFERENCE
Portions of the registrant’s proxy statement to be filed with the Securities and Exchange Commission pursuant to Regulation 14A in connection with the registrant’s 2026 Annual Meeting of Shareholders (the “2026 Proxy Statement”), which will be filed subsequent to the date hereof, are incorporated by reference into Part III of this Form 10-K. The 2026 Proxy Statement will be filed with the Securities and Exchange Commission not later than 120 days following the end of the registrant’s fiscal year ended December 31, 2025 		   
Amendment Flag false    
Document Fiscal Period Focus FY    
Document Fiscal Year Focus 2025    
Entity Central Index Key 0001740332    
v3.25.4
Audit Information
 12 Months Ended
Dec. 31, 2025
Audit Information [Abstract]  
Auditor Name Deloitte & Touche LLP
Auditor Location Minneapolis, Minnesota
Auditor Firm ID 34
v3.25.4
Consolidated Balance Sheets - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Current assets:    
Cash and cash equivalents $ 661 $ 692
Accounts receivable, net 1,073 1,023
Inventories, net 1,354 1,237
Other current assets 270 220
Total current assets 3,358 3,172
Property, plant and equipment, net 447 410
Goodwill 3,100 3,072
Intangible assets, net 1,091 1,176
Other assets 437 369
Total assets 8,433 8,199
Current liabilities:    
Accounts payable 1,131 1,073
Total accrued liabilities 624 717
Total current liabilities 1,755 1,790
Long-term debt 3,167 1,983
Non-current obligations payable under the Indemnification Agreement 0 583
Other liabilities 594 534
Total liabilities 5,516 4,890
COMMITMENTS AND CONTINGENCIES (Note 15)
Stockholders’ equity    
Preferred stock, $0.001 par value, 100 shares authorized, 0.5 shares issued and outstanding, and $500 liquidation preference at December 31, 2025 and December 31, 2024 482 482
Common stock, $0.001 par value: 700 shares authorized, 158 and 150 shares issued and outstanding at December 31, 2025, respectively, and 154 and 147 shares issued and outstanding at December 31, 2024, respectively 0 0
Additional paid-in capital 2,391 2,315
Retained earnings 345 907
Accumulated other comprehensive income (loss) (157) (284)
Treasury stock at cost (144) (111)
Total stockholders’ equity 2,917 3,309
Total liabilities and stockholders’ equity $ 8,433 $ 8,199
v3.25.4
Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, shares authorized (in shares) 100,000,000 100,000,000
Preferred stock, shares issued (in shares)   500,000
Preferred stock, shares outstanding (in shares)   500,000
Liquidation preference stock $ 500 $ 500
Common stock, par value (in dollars per share) $ 0.001 $ 0.001
Common stock, shares authorized (in shares) 700,000,000 700,000,000
Common stock, shares issued (in shares) 158,000,000 154,000,000
Common stock, shares outstanding (in shares) 150,000,000 147,000,000
v3.25.4
Consolidated Statements of Operations - USD ($)
shares in Millions, $ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Statement [Abstract]      
Net revenue $ 7,472 $ 6,761 $ 6,242
Cost of goods sold 5,276 4,860 4,546
Gross profit 2,196 1,901 1,696
Operating expenses:      
Research and development expenses 167 111 109
Selling, general and administrative expenses 1,266 1,138 960
Intangible asset amortization 122 80 38
Restructuring, impairment and extinguishment costs 16 52 42
Business separation costs 18 0 0
Total operating expenses 1,589 1,381 1,149
Income from operations 607 520 547
Indemnification Agreement expense 972 211 178
Other expense (income), net (43) 7 (9)
Interest expense, net 135 81 65
Net income (loss) before taxes (457) 221 313
Provision for income taxes 70 105 103
Net income (loss) (527) 116 210
Less: preferred stock dividends 35 19 0
Less: undistributed income allocated to preferred stockholders 0 6 0
Net income (loss) available to common stockholders, basic (562) 91 210
Net income (loss) available to common stockholders, diluted $ (562) $ 91 $ 210
Earnings (loss) per common share:      
Basic (in dollars per share) $ (3.77) $ 0.62 $ 1.43
Diluted (in dollars per share) $ (3.77) $ 0.61 $ 1.42
Weighted average common shares outstanding:      
Weighted average basic number of common shares outstanding (in shares) 149 146 147
Diluted (in shares) 149 149 148
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]      
Net income (loss) $ (527) $ 116 $ 210
Other comprehensive income (loss), net of tax:      
Foreign exchange translation gain (loss) 132 (88) 47
Pension liability adjustments 3 15 (12)
Changes in fair value of effective cash flow hedges (8) (17) (17)
Total other comprehensive income (loss), net of tax 127 (90) 18
Comprehensive income (loss) $ (400) $ 26 $ 228
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 Operating Activities:      
Net income (loss) $ (527) $ 116 $ 210
Adjustments to reconcile net income (loss) to net cash in operating activities:      
Depreciation and amortization 195 144 98
Restructuring, impairment and extinguishment costs 16 52 42
Stock-based compensation expense 57 59 44
Other, net (36) (24) (42)
Changes in assets and liabilities, net of acquired companies:      
Accounts receivable, net (29) (18) 19
Inventories, net (92) (71) 32
Other current assets (54) (5) 6
Accounts payable 30 127 18
Accrued liabilities (107) 4 (34)
Non-current obligations payable under the Indemnification Agreement (583) 71 38
Other, net (7) (11) 9
Net cash provided by (used in) operating activities (1,137) 444 440
Cash Flows From Investing Activities:      
Acquisitions, net of cash acquired 0 (1,337) (16)
Capital expenditures (116) (80) (105)
Proceeds from sale of business 77 0 86
Other investing activities, net 0 8 (9)
Net cash used in investing activities (39) (1,409) (44)
Cash Flows From Financing Activities:      
Proceeds from issuance of long-term debt, net 1,198 1,176 0
Proceeds from issuance of preferred stock, net of issuance costs 0 482 0
Preferred stock dividend payments (35) (12) 0
Acquisition of treasury stock to cover stock award tax withholding (29) (17) (17)
Repayments of long-term debt (9) (605) (12)
Common stock repurchases 0 (1) (41)
Other financing activities, net 3 8 6
Net cash provided by (used in) financing activities 1,128 1,031 (64)
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash 17 (10) (24)
Net increase (decrease) in cash, cash equivalents and restricted cash (31) 56 308
Cash, cash equivalents and restricted cash at beginning of year 693 637 329
Cash, cash equivalents and restricted cash at end of year $ 662 $ 693 $ 637
v3.25.4
Consolidated Statements of Stockholders’ Equity - USD ($)
$ in Millions
Total
Preferred Stock
Common Stock
Additional Paid-In Capital
Retained Earnings
Accumulated Other Comprehensive Income (Loss)
Treasury Stock
Preferred stock, shares, beginning balance (in shares) at Dec. 31, 2022   0          
Beginning of period at Dec. 31, 2022 $ 2,529 $ 0 $ 0 $ 2,176 $ 600 $ (212) $ (35)
Common stock, shares, beginning balance (in shares) at Dec. 31, 2022     146,222,000        
Treasury stock, beginning (in shares) at Dec. 31, 2022             2,050,000
Increase (Decrease) in Stockholders' Equity              
Net income (loss) 210       210    
Other comprehensive income (loss), net of tax 18         18  
Common stock issuance, net of shares withheld for taxes (in shares)     1,726,000       927,000
Common stock issuance, net of shares withheld for taxes (11)     6     $ (17)
Stock-based compensation expense 44     44      
Common stock repurchases (in shares)     (2,559,000)       (2,559,000)
Common stock repurchases (41)           $ (41)
Preferred stock, shares, ending balance (in shares) at Dec. 31, 2023   0          
End of period at Dec. 31, 2023 2,749 $ 0 $ 0 2,226 810 (194) $ (93)
Common stock, shares, ending balance (in shares) at Dec. 31, 2023     145,389,000        
Treasury stock, ending (in shares) at Dec. 31, 2023             5,536,000
Increase (Decrease) in Stockholders' Equity              
Net income (loss) 116       116    
Other comprehensive income (loss), net of tax (90)         (90)  
Common stock issuance, net of shares withheld for taxes (in shares)     1,916,000       825,000
Common stock issuance, net of shares withheld for taxes (9)     8     $ (17)
Preferred stock issuance, net of issuance costs (in shares)   500,000          
Preferred stock issuance, net of issuance costs 482 $ 482          
Stock-based compensation awards issued for acquisition of Snap One 17     17      
Stock-based compensation expense 64     64      
Preferred stock dividend (19)       (19)    
Common stock repurchases (in shares)     (75,000)       (75,000)
Common stock repurchases $ (1)     0     $ (1)
Preferred stock, shares, ending balance (in shares) at Dec. 31, 2024 500,000 500,000          
End of period at Dec. 31, 2024 $ 3,309 $ 482 $ 0 2,315 907 (284) $ (111)
Common stock, shares, ending balance (in shares) at Dec. 31, 2024 147,000,000   147,230,000        
Treasury stock, ending (in shares) at Dec. 31, 2024             6,436,000
Increase (Decrease) in Stockholders' Equity              
Net income (loss) $ (527)       (527)    
Other comprehensive income (loss), net of tax 127         127  
Common stock issuance, net of shares withheld for taxes (in shares)     2,644,000       1,280,000
Common stock issuance, net of shares withheld for taxes (17)     16     $ (33)
Stock-based compensation expense 60     60      
Preferred stock dividend (35)       (35)    
Preferred stock, shares, ending balance (in shares) at Dec. 31, 2025   500,000          
End of period at Dec. 31, 2025 $ 2,917 $ 482 $ 0 $ 2,391 $ 345 $ (157) $ (144)
Common stock, shares, ending balance (in shares) at Dec. 31, 2025 150,000,000   149,874,000        
Treasury stock, ending (in shares) at Dec. 31, 2025             7,716,000
v3.25.4
Nature of Operations and Basis of Presentation
 12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Nature of Operations and Basis of Presentation Nature of Operations and Basis of Presentation
Nature of Operations

Resideo is a global manufacturer, developer, and distributor of technology-driven sensing and controls products and solutions that help homeowners and businesses stay connected and in control of their comfort, security, energy use, and smart living. We are a leading player in key product markets including home heating, ventilation, and air conditioning controls; smoke and carbon monoxide detection home safety and fire suppression; and security. Our global footprint serves residential and commercial end-markets. Our solutions and services can be found in over 150 million residential and commercial spaces globally, with tens of millions of new devices sold annually. We manage our business operations through two business segments: Products and Solutions and ADI Global Distribution.

Basis of Consolidation and Reporting

The accompanying Consolidated Financial Statements include the accounts of the Company and our wholly-owned subsidiaries and have been prepared in accordance with U.S. GAAP. All intercompany accounts, transactions, and profits arising from consolidated entities have been eliminated in consolidation. For the purpose of comparability, certain prior period amounts have been reclassified to conform to current period classification.

Reporting Period

We report financial information on a fiscal quarter basis using a modified four-four-five week calendar. Our fiscal calendar begins on January 1 and ends on December 31. We have elected the first, second, and third quarters to end on a Saturday in order to not disrupt business processes. The effects of this election are generally not significant to reported results for any quarter and only exist within a reporting year.

Announced Future Spin-Off of ADI Global Distribution Segment
On July 30, 2025, we announced our intention to separate the ADI Global Distribution segment through a tax-free spin-off to our shareholders. Following the completion of the announced future ADI Spin-Off, the Products and Solutions segment would continue to operate as Resideo and ADI Global Distribution would become an independent public company. In connection with the announced future ADI Spin-Off, we incurred third-party advisory, consulting, legal, and other costs that are incremental and one-time in nature. We expect to incur such costs through the completion of the separation of the businesses. Business separation costs were $18 million as reflected in the Consolidated Statements of Operations for the year ended December 31, 2025.
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
We consider the following policies in the preparation of our Consolidated Financial Statements and the uncertainties that could impact our financial condition, results of operations and cash flows.
(a) Use of Estimates—The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, revenue and expenses, and related disclosures of contingent assets and liabilities within the Consolidated Financial Statements and accompanying notes. Estimates are used for, but not limited to, provisions for expected credit losses and inventory reserves, revenue recognition, accounting for income taxes, accounting for business combinations and dispositions, valuation of reporting units for purposes of assessing goodwill for impairment, valuation of long-lived asset groups for impairment testing, the useful lives of long-lived assets, accruals for employee benefits, stock-based compensation, pension benefits, indemnification liabilities, deferred taxes, warranties, and certain contingencies. We base our estimates on historical experience, market participant fair value considerations, projected future cash flows, and various other factors that are believed to be reasonable under the circumstances. Actual results could differ from those estimates.
(b) Business Combinations—Our acquisitions are accounted for under ASC 805, Business Combinations. Accordingly, the assets and liabilities of acquired companies are included on the Consolidated Balance Sheets from the acquisition date, adjusted to reflect their fair value. Intangible assets are measured and recognized at fair value and amortized over their estimated useful lives. We recognize goodwill equal to the difference between the purchase price and the fair value of identifiable assets and liabilities. Acquisition-related costs are recognized as incurred.
We estimate the fair value of acquired assets and liabilities as of the acquisition date utilizing either a cost or income approach. Determining the fair value of acquired intangible assets involves significant estimates and assumptions, including, but not limited to, forecasted revenue growth rates, customer attrition rates, market-participant discount rates, assumed royalty rates, and income tax rates. The valuation of tangible and intangible assets and liabilities resulting from an acquisition is subject to management review and may change materially between the preliminary allocation and end of the purchase price allocation period, which is a maximum of one year.

Customer relationships are valued using the multi-period excess earnings method. The multi-period excess earnings method estimates the discounted net earnings attributable to the customer relationships that are acquired after considering items, such as possible customer attrition. Estimated useful lives and the length and trend of the projected cash flow period are determined based on the expected attrition of the customer relationships, which is based on our historical experience and future expectations for renewing and extending similar customer relationships.

Technology and trade names are valued using the relief from royalty method to estimate the cost savings based on what we would otherwise have to pay for royalties or license fees on revenue earned by using the asset. The useful lives of the assets are determined based on management’s estimate of the period of time the technology or name will be in use. Refer to Note 3. Acquisitions and Divestitures of the Notes to Consolidated Financial Statements for additional information.
(c) Cash, Cash Equivalents and Restricted Cash—Cash and cash equivalents may consist of cash on hand, money market instruments, time deposits, and highly liquid investments. All highly liquid investments with original maturities of three months or less are considered cash equivalents. Cash and cash equivalents that are restricted as to the withdrawal or use under terms of certain contractual agreements are recorded in other current assets on the Consolidated Balance Sheets and primarily relate to collateral to support certain bank guarantees. Restricted cash for the periods presented was not material. Cash, cash equivalents, and restricted cash are carried at cost, which approximates fair value.

(d) Accounts Receivable, net of Allowance for Credit Losses—Accounts receivable are recorded at the invoiced amount, presented net of allowance for credit losses and do not bear interest. We review the adequacy of the allowance for credit losses on an ongoing basis using historical collection trends and aging of receivables. Management also periodically evaluates individual customers’ financial condition, credit history, and the current economic conditions to make adjustments to the allowance when it is considered necessary. Account balances are written off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. Allowance for credit losses was not material as of December 31, 2025 and 2024.

(e) Concentration of Credit Risk—Credit risk represents the loss that would be recognized at the reporting date if counterparties failed to perform as contracted. We continually monitor the creditworthiness of our customers to which we grant credit terms in the normal course of business. The terms and conditions of credit sales are designed to mitigate or eliminate concentrations of credit risk with any single customer. Management does not believe we are exposed to any significant concentrations of credit risk that arise from cash and cash equivalent investments or accounts receivable.

(f) Inventories—Inventories are stated at the lower of cost or net realizable value with cost being determined using the moving-average method or first in, first out (“FIFO”) method. Inventory reserves are maintained for obsolete and surplus items.

The following table summarizes the details of our inventories, net:
December 31,
(in millions)20252024
Raw materials$154 $171 
Work in process16 14 
Finished products1,184 1,052 
Total inventories, net$1,354 $1,237 

(g) Property, Plant and Equipment—Property, plant and equipment are stated at cost, less accumulated depreciation. For financial reporting purposes, the straight-line method of depreciation is used over the estimated useful lives. Leasehold improvements are capitalized and amortized using the straight-line method over the shorter of their estimated useful lives or the term of the underlying lease. Depreciation is recognized in cost of sales, research and development, and selling, general and administrative expenses based on the nature and use of the underlying assets.
The following table summarizes the details of our property, plant and equipment, including useful lives:

December 31,
(in millions)20252024Useful Lives
Machinery and equipment$705 $618 
3-16 years
Buildings and improvements376 339 
6-50 years
Construction in progress83 80 NA
Land11 9 NA
Gross property, plant and equipment1,175 1,046 
Accumulated depreciation(728)(636)
Total property, plant and equipment, net$447 $410 
NA = Not applicable; assets categorized as construction in progress and land are not depreciated.

Depreciation expense was $73 million, $64 million, and $59 million for the years ended December 31, 2025, 2024 and 2023, respectively.

(h) Impairment of Long-Lived Assets—We assess the recoverability of the carrying amount of property, plant and equipment if events or changes in circumstances indicate that the carrying amount of the related group of assets may not be recoverable. We perform an impairment test primarily utilizing the replacement cost method (a Level 3 valuation method) for the fair value of property, plant and equipment. If the expected undiscounted cash flows are less than the carrying amount of the asset an impairment loss is recognized as the amount by which the carrying amount of the asset exceeds its fair value.

(i) Goodwill and Intangible Assets—We review the carrying values of goodwill and indefinite-lived intangible assets whenever events or changes in circumstances indicate that such carrying values may not be recoverable as well as annually, on the first day of the fourth quarter. The fair values calculated during the goodwill and indefinite-lived intangible asset impairment test use the market approach in combination with the income approach for the reporting units. We use the relief from royalty method for the indefinite-lived intangible assets. The fair values are Level 3 valuations based on certain unobservable inputs including estimated future cash flows and discount rates aligned with market-based assumptions, that would be utilized by market participants in valuing these assets or prices of similar assets. If the carrying value of a reporting unit exceeds its fair value, we record a goodwill impairment loss at the amount by which the carrying amount of a reporting unit exceeds its fair value, not to exceed the total amount of goodwill allocated to that reporting unit.

For definite-lived intangible assets, cost is generally amortized on a straight-line basis over the asset’s estimated economic life. Definite-lived intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the related carrying amounts may not be recoverable. In these circumstances, they are tested for impairment based on undiscounted cash flows and, if impaired, written down to estimated fair value based on either discounted cash flows or appraised values. Refer to Note 9. Goodwill and Other Intangible Assets, net of the Notes to Consolidated Financial Statements.

(j) Restructuring—We enter into various restructuring initiatives, optimization projects, strategic transactions, and other business activities that may include the recognition of exit or disposal costs. Exit or disposal costs are typically costs of termination benefits, such as severance, and costs associated with the closure or consolidation of operating facilities. Impairment of property and equipment and other current or long-term assets as a result of a restructuring initiative is recognized as a reduction of the appropriate asset. Refer to Note 6. Restructuring of the Notes to Consolidated Financial Statements.

(k) Derivatives—We have interest rate swap agreements and had an interest rate cap agreement which was settled on December 31, 2025. Our interest rate swap agreements effectively modify our exposure to interest rate risk by converting floating rate debt to a fixed rate for the term of the swap agreements, reducing the impact of interest rate changes on future interest expense. These agreements involve the receipt of floating rate amounts in exchange for fixed rate interest payments over the life of the agreement without an exchange of the underlying principal amount. Our interest rate cap agreement protected us from increases in interest rates above the capped rate.

Our interest rate derivative agreements are designated as cash flow hedges with hedge effectiveness assessed at inception and quarterly thereafter. To the extent the hedging relationship is highly effective, the unrealized gains or losses on the
swaps and interest rate cap are recorded in accumulated other comprehensive income (loss) and reclassified into earnings within interest expense, net when the payments occur. We classify our cash flows related to interest rate swap agreements as operating activities in the Consolidated Statements of Cash Flows.

The fair values of the interest rate derivatives are reflected as an other asset or liability on the Consolidated Balance Sheets and the change in fair value is reported in accumulated other comprehensive income (loss). The fair values of the interest rate derivatives are estimated as the net present value of projected cash flows based upon forward interest rates at the balance sheet date. We do not offset fair value amounts recognized in our Consolidated Balance Sheets for presentation purposes. Refer to Note 12. Derivative Financial Instruments of the Notes to Consolidated Financial Statements.
(l) Warranties and Guarantees—Expected warranty costs for products sold are recognized based on an estimate of the amount that will eventually be required to settle such obligations. These accruals are based on factors such as historical experience, warranty period, and various other considerations. Costs of product recalls, which may include the cost of replacing the product as well as the customer’s cost of the recall, including labor to remove and replace the recalled part, are accrued as part of the warranty accrual when an obligation becomes probable and can be reasonably estimated. We periodically adjust these provisions to reflect actual experience and other facts and circumstances that impact the status of existing claims. Refer to Note 15. Commitments and Contingencies of the Notes to Consolidated Financial Statements.

(m) Leases—Included on our Consolidated Balance Sheets are certain operating leases which are reported as a component of other assets and other liabilities with the short-term portion of the lease liability reported as a component of accrued liabilities. The leased assets represent our right to use an underlying asset for the lease term and the lease liabilities represent our obligation to make lease payments arising from the lease. An incremental borrowing rate is used to calculate the present value of the remaining lease payments.

Each contract is reviewed at inception to determine if it contains a lease and whether the lease qualifies as an operating or financing lease. For short-term leases (leases with a term of 12 months or less), right-of-use assets or lease liabilities are not recognized on our Consolidated Balance Sheets. Operating leases are expensed on a straight-line basis over the term of the lease. In determining the lease term, we consider the probability of exercising renewal or early termination options. In addition to the monthly base rent, we are often charged separately for common area maintenance, utilities, and taxes, which are considered non-lease components. These non-lease component payments are expensed as incurred and are not included in operating lease assets or liabilities.

Right-of-use assets are reviewed for impairment whenever events or circumstances indicate that the carrying amount of the assets may not be recoverable in accordance with our long-lived asset impairment assessment policy. We perform an impairment test primarily utilizing the income method to estimate the fair value of right-of-use assets, which incorporates Level 3 inputs such as internal business plans, real estate market capitalization and rental rates, and discount rates. Refer to Note 10. Leases of the Notes to Consolidated Financial Statements.

(n) Revenue Recognition—We enter into contracts that pertain to products, which are accounted for as separate performance obligations and are typically one year or less in duration. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. For product sales, typically each product sold to a customer represents a distinct performance obligation. Revenue is measured as the amount of consideration expected to be received in exchange for our products. We recognize the majority of our revenue from performance obligations outlined in contracts with our customers that are satisfied at a point in time, generally when the product has shipped from our facility and control has transferred to the customer. For certain products, it is industry practice that customers take title to products upon delivery, at which time revenue is then recognized. For contracts with multiple performance obligations, we allocate the contract’s transaction price to each performance obligation based on the relative standalone selling price (“SSP”). Judgment is required to determine the SSP for each distinct performance obligation that is not sold separately. In instances where SSP is not directly observable, the primary method used to estimate the SSP is the expected cost plus an estimated-margin approach. For services, revenue is recognized ratably over the contract period in an amount that reflects the consideration expected to be received in exchange for those services as the customer receives such services on a consistent basis throughout the contract period. Allowances for cash discounts, volume rebates, and other customer incentive programs, as well as gross customer returns, among others, are recorded as a reduction of sales.

Revenue is adjusted for variable consideration, which includes customer volume rebates and prompt payment discounts. We measure variable consideration by estimating expected outcomes using analysis and inputs based upon anticipated performance, historical data, and current and forecasted information. Customer returns are recorded as a reduction to sales on an actual basis throughout the year at the time of sale and also include an estimate at the end of each reporting period for future customer returns related to sales recorded prior to the end of the period. We generally estimate customer returns
based upon the time lag that historically occurs between the sale date and the return date, while also factoring in any new business conditions that might impact the historical analysis such as new product introduction. Measurement of variable consideration is reviewed by management periodically and revenue is adjusted accordingly. We do not have significant financing components.

Sales, use, and value added taxes collected and remitted to various government authorities are not recognized as revenue and are reported on a net basis. Shipping and handling fees billed to customers are included in cost of goods sold. Refer to Note 5. Revenue Recognition of the Notes to Consolidated Financial Statements.

(o) Royalty—In connection with the Honeywell Spin-Off, we entered into a 40-year Trademark License Agreement (the “Trademark Agreement”) with Honeywell that authorizes our use of certain licensed trademarks in the operation of Resideo’s business for the advertising, sale, and distribution of certain licensed products. In exchange, we pay a royalty fee of 1.5% of net revenue of the licensed products to Honeywell, which is recorded in selling, general and administrative expense in the Consolidated Statements of Operations. Refer to Note 15. Commitments and Contingencies of the Notes to Consolidated Financial Statements.

(p) Indemnification Agreement—In connection with the Honeywell Spin-Off, we entered into an Indemnification Agreement pursuant to which we had an obligation to make cash payments to Honeywell in amounts equal to 90% of payments, which include amounts billed, with respect to certain environmental claims, remediation and, to the extent arising after the Honeywell Spin-Off, hazardous exposure or toxic tort claims, in each case, including consequential damages (the liabilities) in respect of specified Honeywell properties contaminated through historical business operations prior to the Honeywell Spin-Off (Honeywell Sites), including the legal and other costs of defending and resolving such liabilities, less 90% of Honeywell’s net insurance receipts relating to such liabilities, and less 90% of the net proceeds received by Honeywell in connection with (i) affirmative claims relating to such liabilities, (ii) contributions by other parties relating to such liabilities, and (iii) certain property sales. The amount payable in respect of such liabilities arising in any given year was subject to a cap of $140 million. Indemnification Agreement expense is presented in the Consolidated Statements of Operations. The liability is presented in non-current obligations payable under the Indemnification Agreement on the Consolidated Balance Sheets.

On July 30, 2025, we entered into a definitive agreement with Honeywell to terminate the Indemnification Agreement. As a result, we are no longer required to make any further payments to Honeywell under the Indemnification Agreement. Refer to Note 15. Commitments and Contingencies of the Notes to Consolidated Financial Statements.

(q) Environmental—We accrue costs related to environmental matters when it is probable that we have incurred a liability related to a contaminated site and the amount can be reasonably estimated. Environmental costs for our owned, operating sites are presented within cost of goods sold in the Consolidated Statements of Operations. Refer to Note 15. Commitments and Contingencies of the Notes to Consolidated Financial Statements.

(r) Tax Matters Agreement—The Tax Matters Agreement provides that Resideo is required to indemnify Honeywell for any taxes (and reasonable expenses) resulting from the failure of the Honeywell Spin-Off and related internal transactions to qualify for their intended tax treatment under U.S. federal, state and local income tax law, as well as foreign tax law, where such taxes result from (a) breaches of covenants and representations we make and agree to in connection with the Honeywell Spin-Off, (b) the application of certain provisions of U.S. federal income tax law to these transactions or (c) any other action taken or omission made (other than actions expressly required or permitted by the Separation and Distribution Agreement, the Tax Matters Agreement or other ancillary agreements) after the consummation of the Honeywell Spin-Off that gives rise to these taxes. As of December 31, 2025 and 2024, we had an indemnity outstanding to Honeywell for past and potential future tax payments of $88 million and $91 million, respectively, which are presented within other liabilities on the Consolidated Balance Sheets. Refer to Note 15. Commitments and Contingencies of the Notes to Consolidated Financial Statements.

(s) Research and Development—We conduct research and development activities, which consist primarily of the development of new products and solutions as well as enhancements and improvements to existing products that substantially change the product. Research and development costs primarily relate to employee compensation and consulting fees, which are expensed as incurred.

(t) Defined Contribution Plans—Certain eligible employees participate in our various defined contribution plans. These plans have various terms depending on the country of employment. For the years ended December 31, 2025, 2024 and
2023, we recognized compensation expense related to the defined contribution plans of $29 million, $23 million, and $22 million, respectively.

(u) Stock-Based Compensation Plans—The principal awards issued under our stock-based compensation plans, which are described in Note 8. Stock-Based Compensation Plans, are restricted stock units (“RSUs”), performance stock units (“PSUs”) and stock option awards. The cost for such awards is measured at the grant date based on the fair value of the award. Some awards are issued with a market condition, which are valued on the grant date utilizing the Monte Carlo simulation model. Stock options are also issued under our stock-based compensation plans and are valued on the grant date using the Black-Scholes option pricing model. The Black-Scholes option pricing model and the Monte Carlo simulation model require estimates of future stock price volatility, expected term, risk-free interest rate, and forfeitures.

For all stock-based compensation, the fair value of the award is recognized as expense over the requisite service period (generally the vesting period of the equity award) and is included in either selling, general and administrative expenses or restructuring, impairment and extinguishment costs in the Consolidated Statements of Operations based on the nature of the expense. Our time-based restricted stock awards are typically subject to graded vesting over a service period, while our performance- or market-based awards are typically subject to cliff vesting at the end of the service period.

(v) Pension—We disaggregate the service cost component of net benefit costs and report those costs in the same line item or items in the Consolidated Statements of Operations as other compensation costs arising from services rendered by the pertinent employees during the period. The other non-service components of net benefit costs are required to be presented separately from the service cost component and outside of income from operations.

We have recorded the service cost component of pension expense in costs of goods sold and selling, general and administrative expenses based on the classification of the employees it relates to. The remaining components of net benefit costs within pension expense, primarily interest costs and expected return on plan assets, are recorded in other expense (income), net. We recognize net actuarial gains or losses in excess of 10% of the greater of the fair value of plan assets or the plans’ projected benefit obligation (the “corridor”) annually in the fourth quarter of each year. This adjustment is reported in other expense (income), net in the Consolidated Statements of Operations. Refer to Note 7. Pension Plans of the Notes to Consolidated Financial Statements.

(w) Fair Value Accounting—We classify and disclose assets and liabilities that are carried at fair value in one of the following three categories:

Level 1—quoted market prices in active markets for identical assets and liabilities
Level 2—observable market-based inputs or unobservable inputs that are corroborated by market data
Level 3—unobservable inputs that are not corroborated by market data

Financial and non-financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Refer to Note 13. Fair Value of the Notes to Consolidated Financial Statements.

(x) Foreign Currency Translation and Remeasurement—Assets and liabilities of operations outside the U.S. with a functional currency other than U.S. dollars are translated into U.S. dollars using year-end exchange rates. Revenue, costs, and expenses are translated at the average exchange rates in effect during the year. Foreign currency translation gains and losses are included as a component of accumulated other comprehensive income (loss) on the Consolidated Financial Statements. For the years ended December 31, 2025, 2024 and 2023, foreign currency remeasurement and transaction gains (losses) totaled a gain of $16 million, a loss of $1 million, and not material, respectively, and are included in other expenses (income), net in the Consolidated Statements of Operations.

(y) Advertising Costs—Advertising costs are expensed as incurred. For the years ended December 31, 2025, 2024 and 2023, total advertising costs totaled $44 million, $41 million, and $37 million, respectively, and are included in selling, general and administrative expenses.

(z) Income Taxes—Significant judgment is required in evaluating tax positions. We established additional reserves for income taxes when, despite the belief that tax positions are fully supportable, there remain certain positions that do not meet the minimum recognition threshold. The approach for evaluating certain and uncertain tax positions is defined by the authoritative guidance, which determines when a tax position is more likely than not to be sustained upon examination by the applicable taxing authority. In the normal course of business, we are examined by various federal, state, and foreign tax authorities. We regularly assess the potential outcomes of these examinations and any future examinations for the current or prior years in determining the adequacy of our provision for income taxes. We continually assess the likelihood and amount of potential adjustments and adjust the income tax provision, the current tax liability and deferred taxes in the
period in which the facts that give rise to a change in estimate become known. Refer to Note 17. Income Taxes of the Notes to Consolidated Financial Statements.

(aa) Accounting Pronouncements—We consider the applicability and impact of all recent accounting standards updates (“ASU”) issued by the Financial Accounting Standards Board (“FASB”). ASUs not listed below were assessed and determined to be either not applicable or are expected to have an immaterial impact on our Consolidated Financial Statements.

Adopted Accounting Pronouncements

In December 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures, which includes amendments that further enhance income tax disclosures, primarily through standardization and disaggregation of rate reconciliation categories and income taxes paid by jurisdiction. We adopted annual requirements under ASU 2023-09 on January 1, 2025 which have been incorporated into Note 17. Income Taxes to our Consolidated Financial Statements on a prospective basis.

Recent Accounting Pronouncements

In November 2024, the FASB issued ASU 2024-03, Income Statement – Reporting Comprehensive Income - Expense Disaggregation Disclosure (Topic 220): Disaggregation of Income Statement Expenses. This ASU requires entities to disaggregate operating expenses into specific categories, such as purchases of inventory, employee compensation, depreciation, and amortization, to provide enhanced transparency into the nature and function of expenses. The guidance is effective for annual reporting years beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027. We are currently assessing the impact of adoption to our Consolidated Financial Statements and related disclosures.
v3.25.4
Acquisitions and Divestitures
 12 Months Ended
Dec. 31, 2025
Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract]  
Acquisitions and Divestitures Acquisitions and Divestitures
2025

In the fourth quarter of 2025, we sold our Resideo Grid Services business in a cash transaction for $77 million, subject to working capital and other closing adjustments. The sale resulted in a $52 million pre-tax gain on sale which is included in other expense (income), net in the Consolidated Statements of Operations. As a result of the transaction, we derecognized $26 million of goodwill. This divestiture relates to our Products and Solutions segment and will enable us to better focus on our core strategy to be a leader in residential controls and sensing products serving our professional contractor and integrator customer base. The divested business did not represent a strategic shift that has a major effect on our operations and financial results, and, as such, it was not presented as discontinued operations.

2024

On June 14, 2024, we acquired 100% of the issued and outstanding equity of Snap One Holdings Corp. (“Snap One”), a leading provider of smart-living products, services, and software to professional integrators, for an aggregate purchase price of $1.4 billion. The business is included within the ADI Global Distribution segment.
During the first quarter of 2025, measurement period adjustments were made to income tax assets and liabilities within the one-year measurement period. As a result, goodwill related to the acquisition decreased by $9 million, reflecting a net decrease in income tax liabilities. We completed accounting for the acquisition of Snap One in June 2025, and the following table presents the final fair values of assets acquired and liabilities assumed as of the date of acquisition:

(in millions)
Assets acquired:
Cash and cash equivalents$47 
Accounts receivable49 
Inventories240 
Other current assets26 
Property, plant and equipment63 
Goodwill (1)
396 
Intangible assets (2)
770 
Other assets69 
Total assets acquired1,660 
Liabilities assumed:
Accounts payable48 
Accrued liabilities69 
Other liabilities (3)
138 
Total liabilities assumed255 
Net assets acquired$1,405 
(1) Of the $396 million of goodwill from the acquisition, $90 million is being amortized for tax purposes and is expected to be deductible over time. Goodwill is comprised of expected synergies for the combined operations and the assembled workforce acquired in the acquisition.
(2) Includes customer relationships of $590 million, technology of $110 million, and trademarks of $70 million with weighted average useful lives of 12, 7, and 10 years, respectively.
(3) Includes $68 million of deferred tax liabilities.

We expensed approximately $34 million of costs related to the acquisition of Snap One during the twelve months ended December 31, 2024. These costs are included in selling, general and administrative expenses in the accompanying Consolidated Statements of Operations and consisted primarily of advisory, insurance, and legal fees. We assumed $21 million of seller success fees which were paid upon the closing of the acquisition.

Snap One’s contribution in the period post-acquisition for the year ended December 31, 2024 was $553 million of revenue and an immaterial impact to operating income.

Unaudited Pro Forma Financial Information

On a pro forma basis, assuming the acquisition occurred at the beginning of 2023, Resideo’s net revenue for years ended December 31, 2024 and 2023 would have been $7,222 million and $7,303 million, respectively. Snap One’s contribution to unaudited pro forma operating income is not materially different on a pro forma basis than the amounts reported for both periods. Acquisition-related costs of $34 million would have been reported in 2023 on a pro forma basis. The pro forma results are presented for informational purposes only and are not necessarily indicative of what the actual results of operations of the combined company would have been if the acquisition had occurred on January 1, 2023, nor are they indicative of future results of operations.

2023

Genesis Cable—On October 16, 2023, we sold the Genesis Cable business in a cash transaction for $86 million, subject to working capital and other closing adjustments. We recognized a pre-tax gain of $18 million in other expense (income), net in our Consolidated Statements of Operations, which includes $5 million of divestiture related costs. The divested business did not represent a strategic shift that has a major effect on our operations and financial results, and, as such, it was not presented as discontinued operations.
Sfty AS—On August 9, 2023, we acquired 100% of the outstanding equity of Sfty AS, a developer of cloud-based services providing alerts to multifamily homes and property managers with smoke, carbon monoxide, and water leak detection products. We report Sfty AS’s results within the Products and Solutions segment. We completed the accounting for the acquisition during the fourth quarter of 2023, which did not result in any material adjustments.

BTX Technologies, Inc.— On January 23, 2023, we acquired 100% of the outstanding equity of BTX Technologies, Inc., a leading distributor of professional audio, video, data communications, and broadcast equipment. We report BTX Technologies, Inc.’s results within the ADI Global Distribution segment. We completed the accounting for the acquisition during the fourth quarter of 2023, which did not result in any material adjustments.
v3.25.4
Segment Financial Data
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment Financial Data Segment Financial Data
We monitor our operations through two reportable segments: Products and Solutions and ADI Global Distribution, with Corporate reported separately. We identified these segments because we have organized our business and reporting structure into Products and Solutions and ADI Global Distribution. Segment information is evaluated by our Chief Executive Officer who is also the Chief Operating Decision Maker (“CODM”). The CODM uses income from operations to evaluate the performance of the overall business, make investing decisions, and allocate resources predominantly in the annual budget and forecasting process and the monthly results review, which includes variance analysis against the forecast, the budget, and the prior year. Disaggregated assets by segment are not used to allocate resources or to assess performance of the segments and therefore, segment assets have not been disclosed. Capital expenditures for each segment are reviewed by the CODM. The accounting policies used to derive segment results are substantially the same as those used in preparing the Consolidated Financial Statements.

Products and Solutions—Our Products and Solutions segment is a leading building products manufacturer focused on residential controls and sensing solutions. Our products and solutions for comfort, energy management, safety, and security benefit from trusted, well-established branded offerings such as Braukmann, BRK, First Alert, Honeywell Home, Resideo, and others. Our offerings include temperature and humidity control, water and air solutions, smoke and carbon monoxide detection home safety products, residential and small business security products, video cameras, other home-related lifestyle convenience solutions, cloud infrastructure, installation and maintenance tools, and related software. We also sell components to manufacturers of water heaters, heat pumps, and boilers.

ADI Global Distribution—Our ADI Global Distribution segment is a leading, global specialty distributor of professionally installed low-voltage products, including security and AV solutions, serving commercial and residential markets through an omnichannel go-to-market platform. ADI Global Distribution sells primarily to licensed professional installers, dealers, and integrators. We offer an expansive list of products from leading suppliers across key specialty low-voltage categories. ADI complements our third-party supplier products with a suite of exclusive brands and services offerings.

Corporate—Corporate expenses include costs related to the corporate functions such as the executive function, legal, accounting, tax, treasury, corporate development, human resources, investor relations, and information technology. Additionally, unallocated amounts for restructuring, impairment and extinguishment costs, business separation costs, and non-operating items such as Indemnification Agreement expense, interest income (expense), other income (expense), and provision for income taxes are reported within Corporate.
Segment results of operations for Products and Solutions, including significant segment expenses that are regularly reviewed by the CODM, are included in the table below:
Years Ended December 31,
(in millions) 202520242023
Net revenue
$2,688 $2,564 $2,672 
Cost of goods sold1,557 1,514 1,640 
Research and development expenses128 94 108 
Selling, general and administrative expenses417 416 428 
Intangible asset amortization26 23 23 
Restructuring and impairment costs
5 14 27 
Segment income from operations
$555 $503 $446 

Segment results of operations for ADI Global Distribution, including significant segment expenses that are regularly reviewed by the CODM, are included in the table below:

Years Ended December 31,
(in millions) 202520242023
Net revenue
$4,784 $4,197 $3,570 
Cost of goods sold3,719 3,346 2,902 
Research and development expenses39 17 — 
Selling, general and administrative expenses712 566 407 
Intangible asset amortization94 54 11 
Restructuring and impairment costs
8 19 12 
Segment income from operations
$212 $195 $238 

The following table provides a reconciliation of segment income from operations to consolidated income (loss) before taxes:

Years Ended December 31,
202520242023
(in millions)
Segment income from operations
Products and Solutions$555 $503 $446 
ADI Global Distribution212 195 238 
Total segment income from operations767 698 684 
Unallocated amounts:
Selling, general and administrative expenses137 156 125 
Restructuring, impairment and extinguishment costs3 19 3 
Business separation costs18 — — 
Indemnification Agreement expense972 211 178 
Other expense (income), net(43)7 (9)
Interest expense, net135 81 65 
Other corporate items
2 3 9 
Income (loss) before taxes$(457)$221 $313 
The following table provides detail on cash paid for capital expenditures, which are regularly reviewed by the CODM:

Years Ended December 31,
202520242023
(in millions)
Capital expenditures
Products and Solutions
$62 $55 $77 
ADI Global Distribution
54 25 26 
Total segment capital expenditures
116 80 103 
Corporate activities
— — 2 
Total capital expenditures
$116 $80 $105 

Capital expenditures in accounts payable for the years ended December 31, 2025, 2024, and 2023 was $25 million, $22 million, and $14 million, respectively.
v3.25.4
Revenue Recognition
 12 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. For product sales, typically each product sold to a customer represents a distinct performance obligation. We recognize the majority of our revenue from performance obligations outlined in contracts with our customers that are satisfied at a point in time. Our revenue satisfied over time is not material. We have contract liabilities of $41 million and $40 million as of December 31, 2025 and 2024, respectively, which primarily relate to deferred revenues associated with the ADI Global Distribution operating segment. Additionally, contract assets were not material as of December 31, 2025 and 2024.

The timing of satisfaction of performance obligations does not significantly vary from the typical timing of payment. For some contracts, we may be entitled to receive an advance payment.

We have applied the practical expedient to not disclose the value of remaining performance obligations for (i) contracts with an original expected term of one year or less or (ii) contracts for which we recognize revenue in proportion to the amount we have the right to invoice for services performed.

Disaggregated Revenue

We have two operating segments: Products and Solutions and ADI Global Distribution. Disaggregated revenue information for Products and Solutions is presented by product grouping, while ADI Global Distribution is presented by region.
The following table presents revenue by business line and geographic location, as we believe this presentation best depicts how the nature, amount, timing, and uncertainty of net revenue and cash flows are affected by economic factors:

Years Ended December 31,
(in millions)202520242023
Products and Solutions
Safety and Security$963 $885 $965 
Air841 858 862 
Energy563 512 525 
Water321 309 320 
Total Products and Solutions2,688 2,564 2,672 
ADI Global Distribution
Americas (1)
4,189 3,680 3,085 
International (2)
595 517 485 
Total ADI Global Distribution4,784 4,197 3,570 
Total net revenue$7,472 $6,761 $6,242 
(1)Americas represents North, Central, and South America.
(2)International represents all geographies that are not included in Americas.
v3.25.4
Restructuring
 12 Months Ended
Dec. 31, 2025
Restructuring and Related Activities [Abstract]  
Restructuring Restructuring
We took restructuring actions, including capturing synergies from our acquisition of Snap One, to align our cost structure based on our strategic objectives and our outlook of market conditions. The intent of these actions is to improve our operating efficiency and position us for long-term growth. We expect to fully execute on our restructuring programs over the next 12 months, and the estimated cost of these actions is approximately $21 million. We may incur additional restructuring expenses associated with these plans or new plans in the future.

The following table summarizes information concerning recorded obligations for our restructuring programs included within accrued liabilities on the Consolidated Balance Sheets. Amounts associated with impairment and extinguishment costs are not included in the table below because those amounts are charged directly against the relevant assets and debt, respectively.

December 31,
(in millions)202520242023
Beginning of period$31 $30 $27 
Charges15 41 34 
Usage (1)
(25)(40)(31)
End of period$21 $31 $30 
(1) Usage primarily relates to cash payments and shares issued associated with employee termination costs.
v3.25.4
Pension Plans
 12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
Pension Plans Pension Plans
Pension benefits for some U.S. employees are provided through non-contributory, qualified, and non-qualified defined benefit plans, which are currently frozen. We also sponsor defined benefit pension plans for non-U.S. employees in Germany, Switzerland, Netherlands, Belgium, India, Austria, and France.
The following table summarizes the balance sheet impact, including the benefit obligations, assets, and funded status associated with the pension plans:

U.S. Plans Non-U.S. Plans
(in millions)202520242023202520242023
Change in benefit obligation:
Benefit obligation at beginning of year$209 $234 $281 $98 $108 $96 
Service cost2 2 3 4 4 4 
Interest cost12 12 13 3 3 3 
Actuarial losses (gains) (1)
6 (16)23 (14)(5)8 
Net benefits paid(15)(2)(3)— — 4 
Settlements and curtailments (2)
— (21)(83)(3)(4)(13)
Foreign currency translation and other— — — 12 (8)6 
Benefit obligation at end of year214 209 234 100 98 108 
Change in plan assets:
Fair value of plan assets at beginning of year181 197 262 24 26 27 
Actual return on plan assets18 7 20 — 1 1 
Employer contributions10 — — 3 2 2 
Net benefits paid(15)(2)(3)— — 4 
Settlements and curtailments (2)
— (21)(83)(3)(4)(11)
Foreign currency translation and other— — 1 3 (1)3 
Fair value of plan assets at end of year194 181 197 27 24 26 
Funded status of plans (3)
$(20)$(28)$(37)$(73)$(74)$(82)
(1) Primarily driven by actuarial assumptions.
(2) Settlement accounting was triggered in 2024 and 2023, resulting in a remeasurement of our U.S. qualified defined benefit pension plan.
(3) The amounts recognized in accrued liabilities on the Consolidated Balance Sheets were $2 million at December 31, 2025 and 2024. The amounts recognized in other liabilities on the Consolidated Balance Sheets were $92 million and $100 million at December 31, 2025 and 2024, respectively.

Actuarial losses and prior service costs recognized in accumulated other comprehensive income (loss) associated with pension plans at December 31, 2025 and 2024 are immaterial, and therefore, any amortization into net periodic pension cost over the next fiscal year is also immaterial.

The components of net periodic benefit cost (income), excluding service costs, are included in other expense (income), net in the Consolidated Statements of Operations for the years ended December 31, 2025, 2024, and 2023 and are as follows:

U.S. Plans Non-U.S. Plans
(in millions)202520242023202520242023
Net periodic benefit cost (income)
Service cost$2 $2 $3 $4 $4 $4 
Interest cost12 12 13 3 3 3 
Expected return on plan assets(10)(10)(11)(1)(1)(1)
Amortization of actuarial losses (gains)— — 2 (11)— — 
Other (1)
— — 5 — — (2)
Net periodic benefit cost (income)$4 $4 $12 $(5)$6 $4 
(1) Other includes immaterial impacts from amortization of prior service credit and settlements.
The following table outlines the impacts of the pensions on other comprehensive income (loss):

U.S. Plans Non-U.S. Plans
(in millions)202520242023202520242023
Pension liability adjustments
Actuarial losses (gains)$(1)$(13)$14 $(13)$(6)$9 
Actuarial (losses) gains recognized during the year— (1)(8)11 — — 
Other— — 1 (1)— (1)
Total recognized in other comprehensive (income) loss (1)(14)7 (3)(6)8 
Net periodic benefit cost (income)4 4 12 (5)6 4 
Total recognized in net periodic benefit cost (income) and other comprehensive (income) loss$3 $(10)$19 $(8)$— $12 

Significant actuarial assumptions used in determining the benefit obligations and net periodic benefit cost (income) for benefit plans are presented in the following table as weighted averages:

U.S. Plans Non-U.S. Plans
202520242023202520242023
Actuarial assumptions used to determine benefit obligations as of December 31:
Discount rate5.7 %5.0 %5.2 %3.1 %3.0 %3.4 %
Interest crediting rate6.0 %6.0 %6.0 %2.2 %2.3 %2.5 %
Expected annual rate of compensation increase3.5 %3.5 %3.5 %2.5 %2.7 %2.6 %
Actuarial assumptions used to determine net periodic benefit cost (income) for the year ended December 31:
Discount rate - benefit obligation5.6 %5.7 %5.0 %3.8 %3.0 %3.0 %
Interest crediting rate6.0 %6.0 %6.0 %0.4 %0.4 %2.2 %
Expected rate of return on plan assets5.7 %5.5 %5.3 %1.1 %1.1 %3.4 %
Expected annual rate of compensation increase3.5 %3.5 %3.5 %2.3 %2.5 %2.7 %

The U.S. pension plan discount rate reflects the rate at which the associated liabilities could be settled at December 31 and was determined from a modeling process that involves matching the expected cash outflows of its benefit plans to a yield curve constructed from a portfolio of high-quality, fixed income debt instruments. We use the single weighted-average yield of this hypothetical portfolio as a discount rate benchmark.

The expected rate of return on U.S. plan assets of 5.7% is a long-term rate based on historical plan asset returns over varying long-term periods combined with current market conditions and broad asset mix considerations. We review the expected rate of return on an annual basis and revise it as appropriate. For non-U.S. benefit plans, actuarial assumptions reflect economic, market factors, and demographic developments relevant to each country.
The following amounts relate to pension plans with accumulated benefit obligations exceeding the fair value of plan assets at December 31, 2025 and 2024:

U.S. PlansNon-U.S. Plans
(in millions)2025202420252024
Projected benefit obligation$214 $209 $93 $97 
Accumulated benefit obligation$212 $207 $86 $89 
Fair value of plan assets$194 $181 $20 $23 

The amounts related to pension plans with projected benefit obligations exceeding the fair value of the plan assets at December 31, 2025 and 2024 are not materially different from the table above.

We utilize a third-party investment management firm and have an internal investment committee that monitors adherence to the investment guidelines. We employ an investment approach whereby a mix of equities and fixed income investments are used to maximize the long-term return of plan assets for a prudent level of risk. Risk tolerance is established through careful consideration of plan liabilities and plan funded status. The investment portfolio contains a diversified blend of equity and fixed income investments. Furthermore, equity investments are diversified across U.S. and non-U.S. stocks, as well as growth, value, and small and large capitalizations. Other assets such as real estate and hedge funds may be used to improve portfolio diversification. The non-U.S. investment policies are different for each country as local regulations, funding requirements, and financial and tax considerations are part of the funding and investment allocation process in each country.

A majority of the U.S. pension plan assets as of December 31, 2025 do not have published pricing and are valued using Net Asset Value (“NAV”). As a practical expedient, assets valued using NAV have not been classified in the fair value hierarchy. NAV and fair value by asset category are as follows for December 31, 2025 and 2024:

U.S. Plans NAV
(in millions)20252024
Cash and cash equivalents$3 $2 
Equity64 58 
Government bonds16 10 
Corporate bonds52 50 
Real estate / property23 22 
Other36 39 
Total assets at fair value$194 $181 

The fair values of the non-U.S. pension plan assets by asset category are as follows for December 31, 2025 and 2024:

Non-U.S. Plans
20252024
(in millions)TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3
Equity$8 $8 $— $— $7 $7 $— $— 
Government bonds6 — 6 — 5 — 5 — 
Insurance contracts7 — — 7 6 — — 6 
Other6 — — 6 6 — — 6 
Total assets at fair value$27 $8 $6 $13 $24 $7 $5 $12 

Refer to Note 13. Fair Value of the Notes to Consolidated Financial Statements.

Government bonds and corporate bonds held as of December 31, 2025 and 2024 are valued either by using pricing models, bids provided by brokers or dealers, quoted prices of securities with similar characteristics, or discounted cash flows and as
such include adjustments for certain risks that may not be observable such as credit and liquidity risks. Real estate, insurance contracts, and other investments as of December 31, 2025 and 2024 are classified as Level 3 as there are neither quoted prices nor other observable inputs for pricing. Insurance contracts are issued by insurance companies and are valued at cash surrender value, which approximates the contract fair value. Other investments consist of a collective pension foundation that is valued and allocated by the plan administrator.

We utilize the services of retirement and investment consultants to actively manage the assets of our pension plans. We have established asset allocation targets and investment guidelines based on the guidance of the consultants. Our target allocations are 35% fixed income investments, 33% global equity investments, 12% global real estate investments, and 20% cash and other investments.

Our general funding policy for qualified defined benefit pension plans is to contribute amounts at least sufficient to satisfy regulatory funding standards. In 2025, we made contributions of $10 million to the U.S. pension plans and expect to make contributions of $10 million in 2026.

Benefit payments are expected to be approximately $18 million per year through 2028, $17 million per year through 2030 and $80 million in aggregate from 2031 to 2036 for our U.S. pension plans and $3 million in 2026, $4 million per year through 2028, $7 million in 2029, $4 million in 2030, and $26 million in aggregate from 2031 to 2036 for our non-U.S. pension plans.
v3.25.4
Stock-Based Compensation Plans
 12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Plans Stock-Based Compensation Plans
The Stock Incentive Plan, which consists of the Amended and Restated 2018 Stock Incentive Plan of Resideo Technologies, Inc. and its Affiliates and the 2018 Stock Incentive Plan for Non-Employee Directors of Resideo Technologies, Inc., provides for the grant of stock options, stock appreciation rights, restricted stock units, restricted stock, and other stock-based awards. At December 31, 2025, 27.8 million shares of our common stock are authorized under the Stock Incentive Plan and 7.6 million are available to be granted in the future.

Our stock-based compensation expense, net of tax was $59 million, $64 million, and $43 million for the years ended December 31, 2025, 2024, and 2023. Stock-based compensation expense is included in either selling, general and administrative expenses or restructuring, impairment and extinguishment costs in the Consolidated Statements of Operations based on the nature of the expense.

Restricted Stock Units and Performance Stock Units

RSUs are issued to certain key employees and to non-employee directors. These awards entitle the holder to receive one share of common stock for each unit upon vesting. RSUs typically become fully vested over a three-year period following the grant date; however, RSUs granted to our non-employee directors have a one-year service period. We expense the grant-date fair value of these awards on a straight-line basis over the vesting period.

PSUs are issued to certain key employees. The number of shares of common stock that may ultimately be issued as settlement for each award may range from 0% to 200% of the target award, subject to the achievement of our market-based Total Shareholder Return (“TSR”) relative to the performance of the S&P SmallCap 600 Index over a three-year performance period for a portion of the PSUs. A portion of the PSUs granted in 2025 are separately subject to the achievement of a performance-based return on invested capital (“ROIC”). PSUs typically vest at the end of a three-year period and upon achievement of the performance target.
The fair value of market-based PSUs based on relative TSR was estimated using a Monte Carlo simulation model. For PSUs issued during the years ended December 31, 2025, 2024 and 2023, the calculation of the fair value of these awards was calculated using the following assumptions:

Years Ended December 31,
202520242023
Expected volatility45.2%
45.9% - 47.6%
63.4%
Risk-free interest rate %4.3%
3.9% - 4.3%
4.2%
Expected term (in years)2.88
2.39 - 2.90
2.88
Dividend yield (1)
—%—%—%
(1) We have never declared or paid any cash dividends on our common stock and we currently do not intend to pay cash dividends on our common stock.

The following table summarizes activity related to the Stock Incentive Plan for employees and non-employee directors:

PSUs (1)
RSUs
(in thousands except for per share amounts)
Number of
Performance
Stock Units 		Weighted
Average Grant
Date Fair Value
Per Share		Number of
Restricted
Stock Units 		Weighted
Average Grant
Date Fair Value
Per Share
Non-vested as of January 1, 20251,680$31.33 5,749$19.65 
Granted23725.56 2,26322.25 
Vested(341)36.11 (2,704)19.97 
Forfeited(311)33.12 (537)19.24 
Non-vested as of December 31, 20251,265$28.51 4,771$20.75 
(1) Includes PSUs at target payout. Final common shares issued may be different based upon the actual achievement versus the performance measure target.

Weighted average grant date fair value per share of awards granted during the years ended December 31, 2024 and 2023 was $27.94 and $29.89, respectively, for PSUs and $19.59 and $18.79, respectively, for RSUs.

As of December 31, 2025, unrecognized compensation cost related to unvested awards granted to employees and non-employee directors under the Stock Incentive Plan is as follows:

(in millions)Unrecognized Compensation CostWeighted-Average Period
RSUs$61 1 year, 8 months
PSUs10 11 months
Total unrecognized compensation cost$71 
The fair value of shares vested follows:

Years Ended December 31,
(in millions)202520242023
RSUs$67 $47 $29 
PSUs7 — 14 
Total$74 $47 $43 

Stock Options

Stock option awards entitle the holder to purchase shares of our common stock at a specific price when the options vest. Stock options typically vest over 3 years from the date of grant and expire 7 years from the grant date. There were no stock options granted to employees during the twelve months ended December 31, 2025, 2024, or 2023.
The following table summarizes stock option activity related to the Stock Incentive Plan:

Stock Options
Number of
Stock
Options
(in thousands)		Weighted
Average
Exercise
Price		Weighted
Average
Contractual
Life
Aggregate
Intrinsic
Value (1)
(in millions)
Stock Options outstanding as of January 1, 20251,006$14.34 2.3 years$9 
Expired(28)24.39 
Exercised(608)17.15 
Stock Options outstanding and exercisable as of December 31, 2025370$8.97 1.4 years$10 
(1) Represents the total intrinsic value (the difference between the fair market value of our common stock as of January 1, 2025 and December 31, 2025, respectively, and the exercise price, multiplied by the number of in-the-money service-based common stock options) that would have been received by the option holders had all option holders exercised their options on January 1, 2025 and December 31, 2025, respectively. This amount is subject to change based on changes to the fair market value of our common stock.

For the year ended December 31, 2025, there was no unrecognized compensation cost related to stock options as all stock option awards were fully vested. Cash received from stock options exercised during the year ended December 31, 2025 was $7 million, while amounts received in 2024 and 2023 were not material.
v3.25.4
Goodwill and Intangible Assets, net
 12 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets, net Goodwill and Other Intangible Assets, net
Our goodwill balance and changes in carrying value by segment were as follows:

(in millions)Products and SolutionsADI Global DistributionTotal
Balance at January 1, 2024$2,045 $660 $2,705 
Acquisitions (1)
— 405 405 
Impact of foreign currency translation(30)(8)(38)
Balance as of December 31, 20242,015 1,057 3,072 
Divestitures (1)
(26)— (26)
Adjustments (1)
— (9)(9)
Impact of foreign currency translation 47 16 63 
Balance as of December 31, 2025$2,036 $1,064 $3,100 
(1) Refer to Note 3. Acquisitions and Divestitures for additional information.

The following table summarizes the net carrying amount of intangible assets:

December 31,
(in millions)20252024
Intangible assets subject to amortization$911 $996 
Indefinite-lived intangible assets180 180 
Total intangible assets$1,091 $1,176 
Intangible assets subject to amortization consisted of the following:

December 31, 2025
(in millions)Gross
Carrying
Amount		Accumulated
Amortization 		Net
Carrying
Amount		Useful LivesWeighted Average Amortization
Patents and technology$170 $(63)$107 
5 - 10 years
8 years
Customer relationships912 (253)659 
7 - 15 years
13 years
Trademarks79 (20)59 
5 - 10 years
10 years
Software256 (170)86 
3 - 7 years
5 years
Total intangible assets subject to amortization$1,417 $(506)$911 


December 31, 2024
(in millions)Gross
Carrying
Amount		Accumulated
Amortization 		Net
Carrying
Amount		Useful LivesWeighted Average Amortization
Patents and technology$170 $(41)$129 
5 - 10 years
8 years
Customer relationships901 (177)724 
7 - 15 years
13 years
Trademarks78 (12)66 
5 - 10 years
10 years
Software222 (145)77 
2 - 12 years
5 years
Total intangible assets subject to amortization$1,371 $(375)$996 

Intangible assets are amortized on a straight-line basis or a basis consistent with the expected future cash flows over their expected useful lives. Intangible assets amortization expense was $122 million, $80 million, and $38 million during the years ended December 31, 2025, 2024 and 2023, respectively.

The estimated aggregate amortization on these intangible assets for each of the next five years as of December 31, 2025, follows:

(in millions)Amortization Expense
2026$119 
2027$110 
2028$106 
2029$96 
2030$85 
v3.25.4
Leases
 12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Leases Leases
We are party to operating leases for the majority of our manufacturing sites, offices, engineering and lab sites, stocking locations, warehouses, automobiles, and certain equipment. Certain real estate leases include variable rental payments which adjust periodically based on inflation. Other variable amounts paid under operating leases, such as taxes and common area maintenance, are charged to selling, general and administrative expenses as incurred. Generally, lease agreements do not contain any material residual value guarantees or material restrictive covenants.
Total operating lease costs were as follows:

Years Ended December 31,
(in millions)202520242023
Operating lease cost:
Selling, general and administrative expenses$82 $69 $57 
Cost of goods sold19 16 20 
Total operating lease costs (1)
$101 $85 $77 
(1) Total operating lease costs include variable lease costs of $18 million, $17 million, and $22 million for the years ended December 31, 2025, 2024, and 2023, respectively.

The following table summarizes the carrying amounts of our operating leased assets and liabilities along with key inputs used to discount our lease liabilities:

December 31,
(in millions, except weighted-average data)Financial Statement Line Item20252024
Operating lease assetsOther assets$327 $248 
Operating lease liabilities - currentAccrued liabilities$57 $51 
Operating lease liabilities - non-currentOther liabilities$289 $212 
Weighted-average remaining term6.89 years5.95 years
Weighted-average incremental borrowing rate6.36 %6.08 %

The following table summarizes our future minimum lease payments under our non-cancelable leases as of December 31, 2025:

(in millions)Commitments
2026$72 
202770 
202862 
202948 
203040 
Thereafter137 
Total lease payments429 
Less: Imputed interest(83)
Present value of operating lease liabilities$346 

Supplemental cash flow information related to operating leases follows:

Years Ended December 31,
(in millions)202520242023
Cash paid for operating lease liabilities$69 $41 $36 
Non-cash activities: operating lease assets obtained in exchange for new operating lease liabilities (1)
$126 $116 $39 
(1) The year ended December 31, 2024 includes $61 million of operating lease assets acquired from the Snap One acquisition.

As of December 31, 2025, we have additional operating leases that have not yet commenced. Obligations under these leases are not material. Additionally, as a lessor, we lease all or a portion of certain owned and subleased properties. Rental income for the years ended December 31, 2025, 2024, and 2023 was not material.
v3.25.4
Long-Term Debt
 12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Long-Term Debt Long-Term Debt
Long-term debt is comprised of the following:

December 31,
(in millions)20252024
4.000% Senior Notes due 2029
$300 $300 
6.500% Senior Notes due 2032
600 600 
Variable rate A&R Term B Facility 2,331 1,115 
Gross debt3,231 2,015 
Less: current portion of long-term debt (1)
(18)(6)
Less: unamortized deferred financing costs(46)(26)
Total long-term debt$3,167 $1,983 
(1) Included within accrued liabilities on the Consolidated Balance Sheets.

Aggregate required principal payments on long-term debt outstanding at December 31, 2025, follows:

(in millions)Payments
2026$18 
202718 
2028536 
2029318 
203018 
Thereafter2,323 
Total$3,231 

A&R Credit Agreement

In 2021, we entered into a credit agreement with JPMorgan Chase Bank N.A. as administrative agent which was most recently amended on August 13, 2025 (as amended, the “A&R Credit Agreement”). As part of the August 2025 amendment, we issued $1,225 million of incremental term loans which mature in August 2032. Net proceeds of $1,198 million were primarily used to fund the termination of the Indemnification Agreement. A 1.00% prepayment premium is payable in connection with certain repricing transactions if executed within six months of the closing date. Refer to Note 15. Commitments and Contingencies of the Notes to the Consolidated Financial Statements for further discussion.

In addition to the $1,222 million of remaining principal on the incremental term loans, the A&R Credit Agreement includes $518 million of term loans maturing in February 2028 and $591 million of term loans maturing in June 2031 (together, the “A&R Term B Facility”). As a result of the August 2025 amendment, the A&R Term B Facility bears interest at a rate per annum based on Term SOFR plus an interest rate margin of 2.00% per annum. As of December 31, 2025 and December 31, 2024, the weighted average interest rate on the A&R Term B Facility, excluding the impact of the interest rate swaps, was 5.76% and 6.13%, respectively.

The A&R Credit Agreement also includes a senior secured revolving credit facility (the “A&R Revolving Credit Facility”) with an aggregate capacity of $500 million and a five-year term ending in June 2029. There were no outstanding borrowings and no letters of credit issued under the A&R Revolving Credit Facility.

We are obligated to make quarterly principal payments throughout the term of the A&R Term B Facility according to the amortization provisions in the A&R Credit Agreement. In addition to paying interest on outstanding borrowings under the A&R Revolving Credit Facility, we are required to pay a quarterly commitment fee between 0.25% and 0.35% based on the unused portion of the A&R Revolving Credit Facility depending on our consolidated leverage ratio. Up to $75 million may be utilized under the A&R Revolving Credit Facility for the issuance of letters of credit to us or any of our subsidiaries.
The A&R Credit Agreement includes customary affirmative and negative covenants and reporting requirements, including limitations on indebtedness, liens, investments, and other restricted transactions. All obligations under the A&R Credit Agreement are unconditionally guaranteed jointly and severally by us and substantially all of the direct and indirect wholly owned subsidiaries of ours that are organized under the laws of the U.S. (collectively, the “Guarantors”). The A&R Credit Agreement is secured on a first priority basis by the equity interests of each direct subsidiary of ours, as well as the tangible and intangible personal property and material real property of ours and each of the Guarantors. As of December 31, 2025, we are in compliance with all covenants.

We have entered into certain interest rate swap agreements based on Term SOFR that effectively convert a portion of our variable-rate debt to fixed-rate debt. Additionally, we assumed the Interest Rate Cap in 2024 with a maturity date of December 31, 2025 that effectively capped the interest on a portion of our variable rate debt. Refer to Note 12. Derivative Financial Instruments of the Notes to Consolidated Financial Statements.

Senior Notes

In August 2021, we issued $300 million in principal amount of 4.000% Senior Notes due 2029 (“Senior Notes due 2029”).

In July 2024, we issued $600 million in aggregate principal of 6.500% Senior Notes due 2032 (“Senior Notes due 2032” and together with the Senior Notes due 2029, the “Senior Notes”).

We may, at our option, redeem the Senior Notes in whole (at any time) or in part (from time to time), at varying prices based on the timing of the redemption. The Senior Notes are senior unsecured obligations of Resideo guaranteed by Resideo’s existing and future domestic subsidiaries and rank equally with all of Resideo’s senior unsecured debt and senior to all of Resideo’s subordinated debt. The Senior Notes limit us and our restricted subsidiaries’ ability to, among other things, incur additional secured indebtedness; enter into certain sale and leaseback transactions; incur liens; and consolidate, merge or sell all or substantially all of our assets. These covenants are subject to a number of limitations and exceptions. Additionally, upon certain events constituting a change of control together with a ratings downgrade, the holders of the Senior Notes have the right to require us to offer to repurchase the Senior Notes at a purchase price equal to 101% of their principal amount, plus accrued and unpaid interest, to (but not including) the date of purchase.

Interest Paid

At December 31, 2025, 2024 and 2023, cash paid for interest net of interest rate derivative receipts was $136 million, $78 million, and $80 million, respectively.
v3.25.4
Derivative Financial Instruments
 12 Months Ended
Dec. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments Derivative Financial Instruments
In March 2021, we entered into eight interest rate swap agreements with several financial institutions for a combined notional value of $560 million. The Swap Agreements were entered into to reduce the consolidated interest rate risk associated with variable rate long-term debt and designated as cash flow hedges.

During 2023, we modified two of the Swap Agreements, each with a notional value of $70 million, by blending the asset positions of the original interest rate swap agreements into new interest rate swap agreements and extending the term of our hedged positions to February 2027. The new pay-fixed interest rate swap agreements qualify as hybrid instruments in accordance with Accounting Standards Codification 815, Derivatives and Hedging, consisting of financing components and embedded at-market derivatives that were designated as cash flow hedges. The amounts remaining in accumulated other comprehensive income (loss) for the modified interest rate swap agreements were amortized as a reduction to interest expense over the effective period of the original interest rate swap agreements, or May 2024. The financing components are accounted for at amortized cost over the life of the swap while the embedded at-market derivatives are accounted for at fair value.

Two of the Swap Agreements matured in February 2025, two matured in May 2025, two mature in February 2026, and two mature in February 2027. As of December 31, 2025 and 2024, the Swap Agreements had a combined notional value of $280 million and $560 million, respectively. The remaining Swap Agreements effectively convert a portion of our variable interest rate obligations to a rate based on Term SOFR with a minimum rate of 0.39% per annum to a base fixed weighted average rate of 1.57% over the remaining terms. We designated the Swap Agreements as cash flow hedges of the variability in expected cash outflows for interest payments.
In 2024, in connection with our acquisition of Snap One, we assumed an interest rate cap that matured on December 31, 2025. At its maturity, the Interest Rate Cap had a notional value of $342 million and a strike rate of 4.79%, which effectively capped SOFR on the notional amount at that rate. The Interest Rate Cap qualified as a hybrid instrument consisting of a financing component and an embedded at-market derivative that was designated as a cash flow hedge on our A&R Term B Facility as of the Snap One acquisition date. Pursuant to the terms of the Interest Rate Cap, we paid a premium of $7 million at the maturity date of December 31, 2025; therefore, the instrument was fully settled and is no longer outstanding.

The Swap Agreements and Interest Rate Cap (referred to collectively as “interest rate derivatives”) are adjusted to fair value on a quarterly basis. The following tables summarize the fair value and presentation of derivative instruments in the Consolidated Balance Sheets as well as the changes in fair value recorded in accumulated other comprehensive income (loss):

Fair Value of Derivative Assets
Years Ended December 31,
(in millions)Financial Statement Line Item20252024
Derivatives designated as hedging instruments:
Interest rate derivativesOther current assets$2 $10 
Interest rate derivativesOther assets1 3 
Total derivative assets designated as hedging instruments$3 $13 
Fair Value of Derivative Liabilities
Years Ended December 31,
(in millions)Financial Statement Line Item20252024
Derivatives designated as hedging instruments:
Interest rate derivativesAccrued liabilities$— $6 
Unrealized gainAccumulated other comprehensive income (loss)$— $8 

The following table summarizes the effect of derivative instruments designated as cash flow hedges in other comprehensive income (loss) in the Consolidated Statements of Operations:

Years Ended December 31,
(in millions)Financial Statement Line Item20252024
Gains recorded in accumulated other comprehensive income (loss), beginning of year
$8 $25 
Current period losses recognized in/reclassified from other comprehensive income (loss)Other comprehensive income (loss)(10)(16)
Gains reclassified from accumulated other comprehensive income (loss) to net income (loss)Interest expense, net2 (1)
Gains recorded in accumulated other comprehensive income (loss), end of year
$— $8 

Unrealized gains expected to be reclassified from accumulated other comprehensive income (loss) in the next 12 months are estimated to be immaterial as of December 31, 2025.
v3.25.4
Fair Value
 12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Fair Value Fair Value
The estimated fair value of our financial instruments held, and when applicable, issued to finance our operations, is summarized below. Certain estimates and judgments are required to develop fair value amounts. The fair value amounts shown below are not necessarily indicative of the amounts that we would realize upon disposition nor do they indicate our intent or ability to dispose of the financial instrument. There were no material changes in the methodologies used in our valuation practices as of December 31, 2025.

The fair values of long-term debt instruments were determined using quoted market prices in inactive markets or discounted cash flows based upon current observable market interest rates and therefore were classified as Level 2 measurements in the fair value hierarchy.

The following table provides a summary of the carrying amount and fair value of outstanding debt:

December 31, 2025December 31, 2024
(in millions)Carrying ValueFair ValueCarrying ValueFair Value
Debt
4.000% Senior Notes due 2029
$300 $291 $300 $272 
6.500% Senior Notes due 2032
600 615 600 602 
Variable rate A&R Term B Facility 2,331 2,339 1,115 1,119 
Total debt$3,231 $3,245 $2,015 $1,993 

As of December 31, 2025 and 2024, there were no borrowings and no letters of credit issued under the A&R Revolving Credit Facility. Refer to Note 11. Long-Term Debt of the Notes to Consolidated Financial Statements.

Foreign Currency Risk Management—We conduct business on a multinational basis in a wide variety of foreign currencies. We are exposed to market risks from changes in currency exchange rates. These exposures may impact future earnings and/or operating cash flows. The exposure to market risk for changes in foreign currency exchange rates arises from international trade transactions, foreign currency denominated monetary assets and liabilities, and international financing activities between subsidiaries. We rely on natural offsets to address these market risk exposures. As of December 31, 2025 and 2024, we had no forward or option hedging contracts.

Interest Rate Risk—We have exposure to movements in interest rates associated with cash and borrowings. We may enter into various interest rate protection agreements in order to limit the impact of movements in interest rates.

The following table provides a summary of the carrying amount and fair value of our interest rate derivatives:

December 31, 2025December 31, 2024
(in millions)Carrying Value
Fair Value
Carrying ValueFair Value
Assets:
Interest rate derivatives$3 $3 $13 $13 
Liabilities:
Interest rate derivatives$— $— $6 $6 

The fair values of derivative financial instruments have been determined based on market value equivalents at the balance sheet date, taking into account the current interest rate environment and therefore were classified as Level 2 measurements in the fair value hierarchy. Refer to Note 12. Derivative Financial Instruments of the Notes to Consolidated Financial Statements for further discussion.

The carrying amounts of cash and cash equivalents, accounts receivable, other current assets, accounts payable, and accrued liabilities approximate fair value due to their short-term maturity.
v3.25.4
Accrued Liabilities
 12 Months Ended
Dec. 31, 2025
Payables and Accruals [Abstract]  
Accrued Liabilities Accrued Liabilities
Accrued liabilities consist of the following:

December 31,
(in millions)20252024
Compensation, benefit and other employee-related$137 $131 
Customer rebate reserve129 112 
Current operating lease liability57 51 
Current obligations payable under the Indemnification Agreement— 140 
Other (1)
301 283 
Total accrued liabilities$624 $717 
(1) Other includes accruals for taxes payable, deferred revenue, freight payable, interest, product warranties, restructuring, current portion of long-term debt, legal and professional reserves, advertising, royalties, and other miscellaneous items.
v3.25.4
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Environmental Matters

We are subject to various federal, state, local, and foreign government requirements relating to the protection of the environment and accrue costs related to environmental matters when it is probable that we have incurred a liability related to a contaminated site and the amount can be reasonably estimated. We believe that, as a general matter, our policies, practices, and procedures are properly designed to prevent unreasonable risk of environmental damage and personal injury and that our handling, manufacture, use, and disposal of hazardous substances are in accordance with environmental and safety laws and regulations. We have incurred remedial response and voluntary cleanup costs for site contamination. Additional claims and costs involving environmental matters may arise in the future.

Environmental expenses for sites owned and operated by us are presented within cost of goods sold for operating sites. For the years ended December 31, 2025, 2024, and 2023, environmental expenses related to these operating sites were not material. Liabilities for environmental costs were $22 million for the years ended December 31, 2025 and 2024.

Obligations Payable Under the Indemnification Agreement and Tax Matters Agreement

Indemnification Agreement

We separated from Honeywell on October 29, 2018, becoming an independent publicly traded company as a result of a pro rata distribution of our common stock to shareholders of Honeywell. In connection with the Honeywell Spin-Off, we entered into an indemnification and reimbursement agreement, pursuant to which we had an obligation to make cash payments associated with Honeywell’s environmental liabilities which were capped at $140 million annually (the “Indemnification Agreement”). Pursuant to its terms, the Indemnification Agreement extended until the earlier of (1) December 31, 2043; or (2) December 31 of the third consecutive anniversary where the annual reimbursement obligation (including accrued amounts) had been less than $25 million.

On July 30, 2025, we entered into a definitive agreement with Honeywell to terminate the Indemnification Agreement (the “Termination Agreement”). We paid our regularly scheduled payments of $35 million each in the first quarter, second quarter, and third quarter of 2025, and subject to the terms and conditions of the Termination Agreement, we made a pre-tax, one-time cash payment of $1,590 million to Honeywell in August 2025 (the “Closing”). Proceeds from the incremental term loans issued under the A&R Credit Agreement in August 2025, together with a portion of our cash on hand, were utilized to fund the payment required under the Termination Agreement. Refer to Note 11. Long-Term Debt of the Notes to Consolidated Financial Statements for further discussion. Upon the Closing, the Indemnification Agreement terminated. As a result, we are no longer required to make any further payments to Honeywell under the Indemnification Agreement, and the associated affirmative and negative covenants no longer apply.
Tax Matters Agreement

In connection with the Honeywell Spin-Off, we entered into the Tax Matters Agreement with Honeywell, pursuant to which we are responsible and will indemnify Honeywell for certain taxes, including certain income taxes, sales taxes, VAT, and payroll taxes, relating to the business for all periods, including periods prior to the consummation of the Honeywell Spin-Off. In addition, the Tax Matters Agreement addresses the allocation of liability for taxes that are incurred as a result of restructuring activities undertaken to effectuate the Honeywell Spin-Off.

We are required to indemnify Honeywell for any taxes resulting from the failure of the Honeywell Spin-Off and related internal transactions to qualify for their intended tax treatment under U.S. federal, state and local income tax law, as well as foreign tax law, where such taxes result from our action or omission not permitted by the Separation and Distribution Agreement between Honeywell and Resideo dated as of October 19, 2018 or the Tax Matters Agreement.

The following table summarizes information concerning the Indemnification Agreement and Tax Matters Agreement liabilities:

(in millions)
Indemnification Agreement
Tax Matters AgreementTotal
Beginning balance, January 1, 2024$652 $97 $749 
Accruals for liabilities deemed probable and reasonably estimable211 (2)209 
Payments to Honeywell(140)(4)(144)
Balance as of January 1, 2025723 91 814 
Accruals for liabilities deemed probable and reasonably estimable972 (3)969 
Payments to Honeywell(1,695)— (1,695)
Balance as of December 31, 2025$— $88 $88 

The liabilities related to the Indemnification Agreement and Tax Matters Agreement are included in the following balance sheet accounts:

December 31,
(in millions)20252024
Accrued liabilities$— $140 
Non-current obligations payable under the Indemnification Agreement— 583 
Other liabilities88 91 
Total indemnification liabilities$88 $814 

Neither the timing nor the amount of the ultimate costs associated with such Tax Matters Agreement liability payments can be determined although they could be material to our consolidated results of operations and operating cash flows in the periods recognized or paid.

Trademark Agreement

We entered into a 40-year Trademark Agreement with Honeywell that authorizes our use of the Honeywell Home trademark in the operation of our business for the advertising, sale and distribution of certain licensed products. In exchange, we pay Honeywell a royalty fee of 1.5% based on net revenue related to such licensed products, which is recorded in selling, general and administrative expense in the Consolidated Statements of Operations. For the year ended December 31, 2025 royalty fees were $16 million and $18 million each for the years ended December 31, 2024 and 2023.

Other Matters

We are subject to lawsuits, investigations and disputes arising out of the conduct of our business, including matters relating to commercial transactions, government contracts, product liability, acquisitions and divestitures, employee matters, intellectual property, trade and tax compliance, compliance with laws and environmental, health, and safety matters. We
recognize a liability for any contingency that is probable of occurrence and reasonably estimable. We continually assess the likelihood of adverse judgments or outcomes in these matters, as well as potential ranges of possible losses, based on a careful analysis of each matter with the assistance of outside legal counsel and, if applicable, other experts. No such matters are material to our financial statements.
Warranties and Guarantees

In the normal course of business, we issue product warranties and product performance guarantees. We accrue for the estimated cost of product warranties and product performance guarantees based on contract terms and historical experience at the time of sale. Adjustments to initial obligations for warranties and guarantees are made as changes to the obligations become reasonably estimable. Product warranties and product performance guarantees are included in accrued liabilities and other liabilities on the Consolidated Balance Sheets. The following table summarizes information concerning recorded obligations for product warranties and product performance guarantees:

Years Ended December 31,
(in millions)202520242023
Beginning balance$35 $34 $48 
Accruals for warranties/guarantees issued during the year30 31 24 
Settlement/adjustment of warranty/guarantee claims(29)(30)(38)
Ending balance$36 $35 $34 

Purchase Commitments

Our unconditional purchase obligations include purchase commitments with suppliers and other obligations entered into during the normal course of business regarding the purchase of goods and services. For the years ended December 31, 2025, 2024, and 2023, purchases related to these obligations were $220 million, $276 million, and $91 million, respectively.

The following table summarizes the future aggregate payments on these obligations as of December 31, 2025:

(in millions)Payments
2026$130 
202731 
20289 
20298 
2030 and thereafter— 
Total$178 
v3.25.4
Stockholders’ Equity
 12 Months Ended
Dec. 31, 2025
Stockholders' Equity Note [Abstract]  
Stockholders’ Equity Stockholders’ Equity
Share Repurchase Program

On August 3, 2023, we announced that our Board of Directors authorized a share repurchase program for the repurchase of up to $150 million of our common stock over an unlimited time period (the “Share Repurchase Program”). Under the Share Repurchase Program, we may repurchase common stock from time-to-time through various methods, including in open market transactions, block trades, accelerated share repurchases, privately negotiated transactions, derivative transactions, or otherwise, certain of which may be made pursuant to a trading plan meeting the requirements of Rule 10b5-1 under the Securities Exchange Act of 1934, as amended, in compliance with applicable state and federal securities laws. The Share Repurchase Program can be modified or terminated by our Board of Directors at any time.

The timing, as well as the number and value of common stock repurchased under the Share Repurchase Program, will be determined at our discretion and will depend on a variety of factors, including our assessment of the intrinsic value and market price of our common stock, general market and economic conditions, available liquidity, compliance with our debt
and other agreements, applicable legal requirements, the nature of other investment opportunities available to us, and other considerations.

During the twelve months ended December 31, 2025, there were no common stock repurchases. During the twelve months ended December 31, 2024, we repurchased 0.1 million of common stock in the open market at a total cost of $1 million. Common stock repurchases are recorded at cost and presented as a reduction to stockholders’ equity. As of December 31, 2025, we had approximately $108 million of authorized repurchases remaining under the Share Repurchase Program.

Preferred Stock

On June 14, 2024, in connection with our acquisition of Snap One, we issued 500,000 shares of Preferred Stock to the CD&R Stockholder for an aggregate purchase price of $500 million pursuant to an investment agreement dated April 15, 2024. In connection with the issuance of the Preferred Stock, we incurred direct and incremental expenses of $18 million which reduced the Preferred Stock carrying value.

The Preferred Stock is convertible perpetual participating preferred stock of the Company, with an initial conversion price equal to $26.92, and accrues dividends at a rate of 7% per annum, payable in cash or in kind. The Preferred Stock votes on an as-converted basis together with common stockholders.

The Preferred Stock can be converted into our common stock at the holder’s option at any time. We can also force conversion of all (but not less than all) of the outstanding shares of Preferred Stock if at any time our common stock trading price exceeds 200% of the then-effective conversion price for at least 20 out of 30 trailing trading days. Following the third anniversary of the closing date, we have the option to redeem the Preferred Stock for an aggregate redemption price equal to two times the sum of the Accumulated Amount (as defined in the Certificate of Designations) plus any interim accrued and unpaid dividends (calculated at 1X instead of 2X) on such share of Preferred Stock in effect at the time of redemption. In the event of a change of control, we will have the option to purchase all (but not less than all) of the outstanding shares of Preferred Stock at a price per share equal to 150% of the sum of the Accumulated Amount plus any interim accrued and unpaid dividends (calculated at 100% instead of 150%) on such share of Preferred Stock in effect at the time of such purchase.
v3.25.4
Income Taxes
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
Income tax expense is based on pretax financial accounting income. Deferred income taxes are recognized for the temporary differences between the recorded amounts of assets and liabilities for financial reporting purposes and such amounts for income tax purposes.

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted in the U.S. It includes a broad range of tax reform provisions affecting businesses, including extending and modifying certain key Tax Cuts and Jobs Act provisions (both U.S. and non-U.S.). The tax effects of the OBBBA have been reflected in our financial results for the period ended December 31, 2025, with no material impact to the effective tax rate. We continue to assess the overall impact of potential changes as developments occur, consistent with our practice of monitoring all tax law changes.

The following is a summary of the components of income before provision for income taxes:

Years Ended December 31,
(in millions)202520242023
U.S.$(793)$(65)$76 
Non-U.S.336 286 237 
Total$(457)$221 $313 
The components of the provision for income taxes consisted of the following for 2025:

Year Ended December 31,
(in millions)2025
Current:
U.S. federal$4 
U.S. state and local4 
Non-U.S.54 
Total current62 
Deferred:
U.S. federal(14)
U.S. state and local3 
Non-U.S.19 
Total deferred8 
Total income tax expense:
U.S. federal(10)
U.S. state and local7 
Non-U.S.73 
Total income tax expense
$70 

The components of the provision for income taxes consisted of the following for 2024 and 2023:

Years Ended December 31,
(in millions)20242023
Current:
U.S.$76 $80 
Non-U.S.60 51 
Total current136 131 
Deferred:
U.S. federal(23)(6)
Non-U.S.(8)(22)
Total deferred(31)(28)
Total provision$105 $103 
The reconciliation of income tax computed at the U.S. federal statutory tax rate to the effective income tax rate is as follows for 2025:

Year Ended December 31,
2025
$%
Federal statutory tax rate
$(96)21.0 %
State and local income taxes, net of federal income tax effect (1)
7 (1.5)
Foreign tax effects
Switzerland
Cantonal tax16 (3.5)
Statutory tax rate difference(34)7.4 
Other
2 (0.4)
Germany
Changes in valuation allowances6 (1.3)
Other3 (0.7)
Other foreign jurisdictions8 (1.8)
Effect of cross-border tax laws
3 (0.7)
Tax credits
(5)1.1 
Changes in valuation allowances
(1)0.2 
Nontaxable or nondeductible items
Non-deductible Indemnification Agreement costs204 (44.5)
Interest expense deduction(61)13.4 
§162(m) excess officer compensation
6 (1.3)
Other4 (0.9)
Changes in unrecognized tax benefits8 (1.8)
Total
$70 (15.3)%
(1) State taxes in New York, Florida, Pennsylvania and Tennessee made up the majority (greater than 50%) of the tax effect in this category.

The reconciliation of income tax computed at the U.S. federal statutory tax rate to the effective income tax rate is as follows for 2024 and 2023:

Years Ended December 31,
20242023
U.S. federal statutory income tax rate21.0 %21.0 %
Impact of foreign operations(0.9)(0.9)
U.S. state income taxes4.9 4.4 
Non-deductible Indemnification Agreement costs18.1 10.9 
Executive compensation over $1 million
2.4 1.6 
U.S. taxation of foreign earnings3.1 2.8 
Tax credits(2.3)(0.8)
Change in tax basis in foreign assets (1)
(0.9)(6.5)
All other items, net1.8 0.2 
Effective income tax rate47.2 %32.7 %
(1) The 2024 impact represents subsequent adjustment to tax basis, net of valuation allowance, based on refinement of the step-up calculation. The 2023 impact represents the initial recognition of a step-up in the tax basis of intangible assets recorded under Switzerland tax reform, net of valuation allowance.
Deferred income taxes reflect the net impact of temporary differences between the amounts of assets and liabilities recognized for financial reporting purposes and such amounts recognized for income tax purposes. The tax effects of the temporary differences as of December 31, 2025 and 2024 are as follows:

Years Ended December 31,
(in millions)20252024
Deferred tax assets:
Pension$14 $17 
Intangibles (1)
29 27 
Other asset basis differences43 44 
Operating lease liabilities89 60 
Employee compensation and benefits29 30 
Inventory costing and related reserves16 15 
Capitalized research and development2 56 
Other accruals and reserves28 27 
§163(j) carryforward63 13 
Net operating losses, capital losses, and tax credits104 81 
Other12 18 
Gross deferred tax assets429 388 
Valuation allowance(93)(86)
Total deferred tax assets$336 $302 
Deferred tax liabilities:
Intangibles$(191)$(191)
Property, plant and equipment(10)(9)
Operating lease assets(84)(56)
Other(6)(10)
Total deferred tax liabilities$(291)$(266)
Net deferred tax asset$45 $36 
(1) A valuation allowance brings the net deferred tax effect of the allowed step-up of intangible assets recorded under Switzerland tax reform to the amount more likely than not to be realized.

Valuation allowance

In assessing the need for a valuation allowance, we consider whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. We evaluate our ability to realize the tax benefits associated with deferred tax assets by analyzing the relative impact of all the available positive and negative evidence regarding our forecasted taxable income using both historical and projected future operating results, the reversal of existing taxable temporary differences, taxable income in prior carry-back years (if permitted), and the availability of tax planning strategies. The ultimate realization of deferred tax assets is dependent upon the generation of certain types of future taxable income during the periods in which those temporary differences become deductible. In making this assessment, we consider the scheduled reversal of deferred tax liabilities, our ability to carry back the deferred tax asset, projected future taxable income, and tax planning strategies. A valuation allowance is recorded in each jurisdiction when it is more likely than not that the deferred income tax asset will not be realized. Changes in deferred tax asset valuation allowances typically impact income tax expense.

We maintain a valuation allowance of $93 million against a portion of deferred tax assets. Valuation allowances principally relate to foreign net operating loss carryforwards. As of December 31, 2025, we have deferred tax assets relating to foreign net operating loss carryforwards of $63 million. These tax losses can be carried forward to offset the income tax liabilities
on future income in these countries. Cumulative tax losses of $58 million can be carried forward indefinitely, while the remaining $5 million of tax losses must be used during tax years 2025 to 2045.

The rollforward of the valuation allowance on deferred taxes is as follows for the periods indicated:

Years Ended December 31,
(in millions)202520242023
Beginning balance$86 $75 $63 
Additions / (Subtractions)7 11 12 
Ending balance$93 $86 $75 

As of December 31, 2025, our total undistributed earnings of foreign affiliates were $1.6 billion, of which $1.1 billion was not considered indefinitely reinvested. While these earnings would not be subject to incremental U.S. tax, if we were to actually distribute these earnings, they could be subject to additional foreign income taxes and/or withholding taxes payable in foreign jurisdictions. Thus, we provide for foreign income taxes payable upon future distributions of the earnings not considered indefinitely reinvested annually. For the year ended December 31, 2025, the tax charge related to earnings that are not considered indefinitely reinvested is not material. Determination of the unrecognized deferred foreign income tax liability related to these undistributed earnings is not practicable due to the complexities associated with this hypothetical calculation.

Uncertain tax positions

The table below sets forth the changes to our gross unrecognized tax benefit as a result of uncertain tax positions, excluding interest and penalties for the years ended December 31, 2025, 2024, and 2023:

Years Ended December 31,
(in millions)202520242023
Unrecognized tax benefits at beginning of year$24 $22 $22 
Decreases related to positions taken on items from prior years— — (1)
Increases related to positions taken in the current year16 8 5 
Decreases due to expiration of statutes of limitations(5)(6)(4)
Unrecognized tax benefits at end of year$35 $24 $22 

Included in the balance of unrecognized tax benefits as of December 31, 2025 and December 31, 2024, are potential benefits of $35 million and $24 million, respectively, that if recognized would affect the effective tax rate.

We report accrued interest and penalties related to unrecognized tax benefits in income tax expense. For the year ended December 31, 2025, we recognized no net expense for interest and penalties for unrecognized tax benefits and had net accumulated accrued interest and penalties of $2 million as of December 31, 2025. For the year ended December 31, 2024, we recognized no net expense for interest and penalties relating to unrecognized tax benefits and had net accumulated accrued interest and penalties of $2 million as of December 31, 2024.

Open tax periods

We file income tax returns in the U.S. federal jurisdiction, all states, and various local and foreign jurisdictions. Our U.S. federal tax returns are no longer subject to income tax examinations for taxable years before 2022. With limited exception, state, local, and foreign income tax returns for taxable years before 2021 are no longer subject to examination.
Income taxes paid, net of refunds

The following table presents the income taxes paid, net of refunds, disaggregated by jurisdiction for the year ended December 31, 2025:

Year Ended December 31,
(in millions)2025
U.S. federal$20 
U.S. state and local
16 
Foreign
Canada
7 
Mexico
13 
Switzerland
26 
Other foreign jurisdictions11 
Total income tax payments, net of refunds
$93 

Income taxes paid, net of refunds was $162 million and $123 million for the years ended December 31, 2024 and 2023, respectively.
v3.25.4
Earnings (Loss) Per Common Share
 12 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
Earnings (Loss) Per Common Share Earnings (Loss) Per Common Share
The reconciliation of the numerator and denominator used for the computation of basic and diluted earnings (loss) per common share follows:

Years Ended December 31,
(in millions, except per share data)202520242023
Numerator for basic and diluted earnings (loss) per common share:
Net income (loss)$(527)$116 $210 
Less: preferred stock dividends35 19 — 
Less: undistributed income allocated to preferred stockholders— 6 — 
Net income (loss) available to common stockholders$(562)$91 $210 
Denominator for basic and diluted earnings (loss) per common share:
Basic149 146147
Plus: dilutive effect of common stock equivalents— 31
Weighted average diluted number of common shares outstanding149149148
Earnings (loss) per common share
Basic$(3.77)$0.62 $1.43 
Diluted$(3.77)$0.61 $1.42 

Diluted earnings (loss) per common share is computed based upon the weighted average number of common shares outstanding for the year plus the dilutive effect of common stock equivalents using the if-converted method and treasury stock method using the average market price of our common stock for the period, except when the inclusion of such instruments would be antidilutive.
The following potentially dilutive instruments, presented as a weighted average of the instruments outstanding, were excluded from the calculation of diluted (loss) earnings per common share because their effect would have been antidilutive, and in the case of certain PSUs, the contingency has not been satisfied.

Years Ended December 31,
(in millions)202520242023
RSUs and other rights5.9 0.7 1.5 
PSUs2.5 0.7 1.2 
Preferred stock0.5 0.3 — 
v3.25.4
Geographic Areas - Financial Data
 12 Months Ended
Dec. 31, 2025
Segments, Geographical Areas [Abstract]  
Geographic Areas - Financial Data Geographic Areas - Financial Data
Revenue and long-lived assets by geography are as follows:

Net Revenue (1)
Long-Lived Assets (2)
Years Ended December 31,December 31,
(in millions)202520242023202520242023
U.S.$5,817 $5,232 $4,720 $494 $412 $332 
Europe1,098 1,046 1,065 159 138 143 
Other International557 483 457 121 108 107 
Total$7,472 $6,761 $6,242 $774 $658 $582 
(1)Net revenue is classified according to the country of origin. Included in U.S. net revenue are export sales of $66 million, $57 million, and $41 million for the years ended December 31, 2025, 2024, and 2023, respectively.
(2)Long-lived assets are comprised of property, plant and equipment, net and right-of-use lease assets.
v3.25.4
Subsequent Events
 12 Months Ended
Dec. 31, 2025
Subsequent Events [Abstract]  
Subsequent Events Subsequent Events
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 maintain an Enterprise Risk Management (“ERM”) program, which is managed by members of senior management, designed to identify, assess, and monitor key risks that are aligned with our strategic and business objectives. Our policies and processes are based on recognized frameworks established by the National Institute of Standards and Technology (“NIST”), the International Organization for Standardization and other applicable industry standards. We apply NIST best practices in how we implement security and privacy controls. We use NIST to define our practice in conducting risk assessments as well as to define our approach in managing internet of things (“IOT”) device security. We have identified various cybersecurity risks that could adversely affect our business, results of operations, and financial condition, including violation of privacy laws, intellectual property theft, fraud, business interruption or ransomware, harm to customers or employees and other legal and reputational risks.

Our Chief Information Security Officer (“CISO”) oversees our information security program, leading a team responsible for enterprise-wide cybersecurity strategy, policy, process, standards, and architecture. Our CISO holds a master’s in information security and an MBA in technology management and has over twenty-five years of technology leadership experience, along with other certifications in efficiency and project management. Beyond the CISO, the security team in charge of incident management has a strong bench of experienced information security practitioners holding diverse degrees in science, technology, computer science, and mathematics. Members of the operations team have certifications such as the Certified Information Systems Security Professional (“CISSP”), Certified Information Security Manager (“CISM”), Offensive Security Certified Professional (“OSCP”), Certified Ethical Hacker, and many more. They all come from backgrounds that complement professions in security and all of them have at least several years of industry experience.

Internal and external experts regularly evaluate our information security program, with results reported to senior management and our Board of Directors. We actively collaborate with vendors, industry experts, and intelligence and law enforcement communities to continually assess and enhance the effectiveness of our information security policies and procedures.

We follow a structured framework linked to specific security standards and the procedural practices that the security team employs in supporting associated activities. Our information security team works closely with our managed security service provider to triage identified anomalies and alerts that are raised as risks and work across the Company to validate the risk and act as deemed appropriate. The global security operations center (“SOC”) within the CISO’s organization is responsible for incident management including identification, assessment of initial threat, notification of key stakeholders, containment, remediation, and recovery. We have a cross-functional team prepared to respond in a timely manner to the incident and assess our obligations when incidents occur.

We use technical safeguards to protect our systems from cybersecurity threats, including firewalls and access controls. As part of our risk management practice, and given the rapidly changing regulatory landscape, we focus on making relevant privacy and cybersecurity training available to all employees, this includes mandatory training for all users on privacy and security best practices, as well as awareness training tied to our phishing campaigns. Topics included in our yearly training include best practices in password hygiene, phishing awareness, data privacy, and other focus areas. We periodically test our policies and practices to guard against cybersecurity threats and engage in audits, threat modeling, vulnerability testing, and table top exercises.

We have an established practice to oversee and manage third-party service providers in order to protect our interests related to cybersecurity threats. The Contract and Procurement Security Services (“CPSS”) process has several key requirements of third-party vendors who manage or control our electronic information resources to ensure they protect our interests in cybersecurity, including: adherence to cybersecurity best practices, such as the NIST Cybersecurity Framework; completion of a security assessment questionnaire prior to any contract execution; and through application of our GRC (Governance, Risk, and Compliance) Tool, which triggers automatic annual security reviews of vendors. The security compliance team within the CISO’s organization actively reviews and assesses third-party responses and takes appropriate actions based on such responses.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block] We maintain an Enterprise Risk Management (“ERM”) program, which is managed by members of senior management, designed to identify, assess, and monitor key risks that are aligned with our strategic and business objectives. Our policies and processes are based on recognized frameworks established by the National Institute of Standards and Technology (“NIST”), the International Organization for Standardization and other applicable industry standards. We apply NIST best practices in how we implement security and privacy controls. We use NIST to define our practice in conducting risk assessments as well as to define our approach in managing internet of things (“IOT”) device security. We have identified various cybersecurity risks that could adversely affect our business, results of operations, and financial condition, including violation of privacy laws, intellectual property theft, fraud, business interruption or ransomware, harm to customers or employees and other legal and reputational risks.
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]
The Board and the committees of the Board oversee our risk profile and exposures relating to matters within the scope of their authority. Among other matters, the Audit Committee is charged with oversight of Resideo’s risks relating to enterprise-wide cybersecurity, including review of the state of our cybersecurity policies and programs and steps
management has taken to monitor and control such exposures. Cybersecurity review with the CISO is a regular standing calendar item of the Audit Committee in connection with its overall ERM program oversight. In addition, our Audit Committee provides oversight of our product technology and software cybersecurity program. The Audit Committee, together with the CISO, provide the full Board with visibility into the risks that impact us and the plans to mitigate them. The CISO’s reports to the committees and the Board include insights on operations, business cyber risks, emerging threats and key strategic initiatives driving improved security capabilities, and special topics around what we are doing to strengthen Resideo’s security posture.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] the Audit Committee is charged with oversight of Resideo’s risks relating to enterprise-wide cybersecurity, including review of the state of our cybersecurity policies and programs and steps management has taken to monitor and control such exposures.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] Cybersecurity review with the CISO is a regular standing calendar item of the Audit Committee in connection with its overall ERM program oversight
Cybersecurity Risk Role of Management [Text Block] The global security operations center (“SOC”) within the CISO’s organization is responsible for incident management including identification, assessment of initial threat, notification of key stakeholders, containment, remediation, and recovery.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block]
The Board and the committees of the Board oversee our risk profile and exposures relating to matters within the scope of their authority. Among other matters, the Audit Committee is charged with oversight of Resideo’s risks relating to enterprise-wide cybersecurity, including review of the state of our cybersecurity policies and programs and steps
management has taken to monitor and control such exposures. Cybersecurity review with the CISO is a regular standing calendar item of the Audit Committee in connection with its overall ERM program oversight. In addition, our Audit Committee provides oversight of our product technology and software cybersecurity program. The Audit Committee, together with the CISO, provide the full Board with visibility into the risks that impact us and the plans to mitigate them. The CISO’s reports to the committees and the Board include insights on operations, business cyber risks, emerging threats and key strategic initiatives driving improved security capabilities, and special topics around what we are doing to strengthen Resideo’s security posture.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] Our CISO holds a master’s in information security and an MBA in technology management and has over twenty-five years of technology leadership experience, along with other certifications in efficiency and project management. Beyond the CISO, the security team in charge of incident management has a strong bench of experienced information security practitioners holding diverse degrees in science, technology, computer science, and mathematics. Members of the operations team have certifications such as the Certified Information Systems Security Professional (“CISSP”), Certified Information Security Manager (“CISM”), Offensive Security Certified Professional (“OSCP”), Certified Ethical Hacker, and many more. They all come from backgrounds that complement professions in security and all of them have at least several years of industry experience.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block] The CISO’s reports to the committees and the Board include insights on operations, business cyber risks, emerging threats and key strategic initiatives driving improved security capabilities, and special topics around what we are doing to strengthen Resideo’s security posture.
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]  
Basis of Consolidation and Reporting
Basis of Consolidation and Reporting

The accompanying Consolidated Financial Statements include the accounts of the Company and our wholly-owned subsidiaries and have been prepared in accordance with U.S. GAAP. All intercompany accounts, transactions, and profits arising from consolidated entities have been eliminated in consolidation. For the purpose of comparability, certain prior period amounts have been reclassified to conform to current period classification.

Reporting Period

We report financial information on a fiscal quarter basis using a modified four-four-five week calendar. Our fiscal calendar begins on January 1 and ends on December 31. We have elected the first, second, and third quarters to end on a Saturday in order to not disrupt business processes. The effects of this election are generally not significant to reported results for any quarter and only exist within a reporting year.

Announced Future Spin-Off of ADI Global Distribution Segment
On July 30, 2025, we announced our intention to separate the ADI Global Distribution segment through a tax-free spin-off to our shareholders. Following the completion of the announced future ADI Spin-Off, the Products and Solutions segment would continue to operate as Resideo and ADI Global Distribution would become an independent public company. In connection with the announced future ADI Spin-Off, we incurred third-party advisory, consulting, legal, and other costs that are incremental and one-time in nature. We expect to incur such costs through the completion of the separation of the businesses. Business separation costs were $18 million as reflected in the Consolidated Statements of Operations for the year ended December 31, 2025.
Use of Estimates Use of Estimates—The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, revenue and expenses, and related disclosures of contingent assets and liabilities within the Consolidated Financial Statements and accompanying notes. Estimates are used for, but not limited to, provisions for expected credit losses and inventory reserves, revenue recognition, accounting for income taxes, accounting for business combinations and dispositions, valuation of reporting units for purposes of assessing goodwill for impairment, valuation of long-lived asset groups for impairment testing, the useful lives of long-lived assets, accruals for employee benefits, stock-based compensation, pension benefits, indemnification liabilities, deferred taxes, warranties, and certain contingencies. We base our estimates on historical experience, market participant fair value considerations, projected future cash flows, and various other factors that are believed to be reasonable under the circumstances. Actual results could differ from those estimates.
Business Combinations Business Combinations—Our acquisitions are accounted for under ASC 805, Business Combinations. Accordingly, the assets and liabilities of acquired companies are included on the Consolidated Balance Sheets from the acquisition date, adjusted to reflect their fair value. Intangible assets are measured and recognized at fair value and amortized over their estimated useful lives. We recognize goodwill equal to the difference between the purchase price and the fair value of identifiable assets and liabilities. Acquisition-related costs are recognized as incurred.
We estimate the fair value of acquired assets and liabilities as of the acquisition date utilizing either a cost or income approach. Determining the fair value of acquired intangible assets involves significant estimates and assumptions, including, but not limited to, forecasted revenue growth rates, customer attrition rates, market-participant discount rates, assumed royalty rates, and income tax rates. The valuation of tangible and intangible assets and liabilities resulting from an acquisition is subject to management review and may change materially between the preliminary allocation and end of the purchase price allocation period, which is a maximum of one year.

Customer relationships are valued using the multi-period excess earnings method. The multi-period excess earnings method estimates the discounted net earnings attributable to the customer relationships that are acquired after considering items, such as possible customer attrition. Estimated useful lives and the length and trend of the projected cash flow period are determined based on the expected attrition of the customer relationships, which is based on our historical experience and future expectations for renewing and extending similar customer relationships.

Technology and trade names are valued using the relief from royalty method to estimate the cost savings based on what we would otherwise have to pay for royalties or license fees on revenue earned by using the asset. The useful lives of the assets are determined based on management’s estimate of the period of time the technology or name will be in use. Refer to Note 3. Acquisitions and Divestitures of the Notes to Consolidated Financial Statements for additional information.
Cash, Cash Equivalents and Restricted Cash Cash, Cash Equivalents and Restricted Cash—Cash and cash equivalents may consist of cash on hand, money market instruments, time deposits, and highly liquid investments. All highly liquid investments with original maturities of three months or less are considered cash equivalents. Cash and cash equivalents that are restricted as to the withdrawal or use under terms of certain contractual agreements are recorded in other current assets on the Consolidated Balance Sheets and primarily relate to collateral to support certain bank guarantees. Restricted cash for the periods presented was not material. Cash, cash equivalents, and restricted cash are carried at cost, which approximates fair value.
Accounts Receivable, net of Allowance for Credit Losses Accounts Receivable, net of Allowance for Credit Losses—Accounts receivable are recorded at the invoiced amount, presented net of allowance for credit losses and do not bear interest. We review the adequacy of the allowance for credit losses on an ongoing basis using historical collection trends and aging of receivables. Management also periodically evaluates individual customers’ financial condition, credit history, and the current economic conditions to make adjustments to the allowance when it is considered necessary. Account balances are written off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. Allowance for credit losses was not material as of December 31, 2025 and 2024.
Concentration of Credit Risk Concentration of Credit Risk—Credit risk represents the loss that would be recognized at the reporting date if counterparties failed to perform as contracted. We continually monitor the creditworthiness of our customers to which we grant credit terms in the normal course of business. The terms and conditions of credit sales are designed to mitigate or eliminate concentrations of credit risk with any single customer. Management does not believe we are exposed to any significant concentrations of credit risk that arise from cash and cash equivalent investments or accounts receivable.
Inventories Inventories—Inventories are stated at the lower of cost or net realizable value with cost being determined using the moving-average method or first in, first out (“FIFO”) method. Inventory reserves are maintained for obsolete and surplus items.
Property, Plant and Equipment Property, Plant and Equipment—Property, plant and equipment are stated at cost, less accumulated depreciation. For financial reporting purposes, the straight-line method of depreciation is used over the estimated useful lives. Leasehold improvements are capitalized and amortized using the straight-line method over the shorter of their estimated useful lives or the term of the underlying lease. Depreciation is recognized in cost of sales, research and development, and selling, general and administrative expenses based on the nature and use of the underlying assets.
Impairment of Long-Lived Assets Impairment of Long-Lived Assets—We assess the recoverability of the carrying amount of property, plant and equipment if events or changes in circumstances indicate that the carrying amount of the related group of assets may not be recoverable. We perform an impairment test primarily utilizing the replacement cost method (a Level 3 valuation method) for the fair value of property, plant and equipment. If the expected undiscounted cash flows are less than the carrying amount of the asset an impairment loss is recognized as the amount by which the carrying amount of the asset exceeds its fair value.
Goodwill and Intangible Assets Goodwill and Intangible Assets—We review the carrying values of goodwill and indefinite-lived intangible assets whenever events or changes in circumstances indicate that such carrying values may not be recoverable as well as annually, on the first day of the fourth quarter. The fair values calculated during the goodwill and indefinite-lived intangible asset impairment test use the market approach in combination with the income approach for the reporting units. We use the relief from royalty method for the indefinite-lived intangible assets. The fair values are Level 3 valuations based on certain unobservable inputs including estimated future cash flows and discount rates aligned with market-based assumptions, that would be utilized by market participants in valuing these assets or prices of similar assets. If the carrying value of a reporting unit exceeds its fair value, we record a goodwill impairment loss at the amount by which the carrying amount of a reporting unit exceeds its fair value, not to exceed the total amount of goodwill allocated to that reporting unit.For definite-lived intangible assets, cost is generally amortized on a straight-line basis over the asset’s estimated economic life. Definite-lived intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the related carrying amounts may not be recoverable. In these circumstances, they are tested for impairment based on undiscounted cash flows and, if impaired, written down to estimated fair value based on either discounted cash flows or appraised values.
Restructuring Restructuring—We enter into various restructuring initiatives, optimization projects, strategic transactions, and other business activities that may include the recognition of exit or disposal costs. Exit or disposal costs are typically costs of termination benefits, such as severance, and costs associated with the closure or consolidation of operating facilities. Impairment of property and equipment and other current or long-term assets as a result of a restructuring initiative is recognized as a reduction of the appropriate asset.
Derivatives Derivatives—We have interest rate swap agreements and had an interest rate cap agreement which was settled on December 31, 2025. Our interest rate swap agreements effectively modify our exposure to interest rate risk by converting floating rate debt to a fixed rate for the term of the swap agreements, reducing the impact of interest rate changes on future interest expense. These agreements involve the receipt of floating rate amounts in exchange for fixed rate interest payments over the life of the agreement without an exchange of the underlying principal amount. Our interest rate cap agreement protected us from increases in interest rates above the capped rate.
Our interest rate derivative agreements are designated as cash flow hedges with hedge effectiveness assessed at inception and quarterly thereafter. To the extent the hedging relationship is highly effective, the unrealized gains or losses on the
swaps and interest rate cap are recorded in accumulated other comprehensive income (loss) and reclassified into earnings within interest expense, net when the payments occur. We classify our cash flows related to interest rate swap agreements as operating activities in the Consolidated Statements of Cash Flows.
The fair values of the interest rate derivatives are reflected as an other asset or liability on the Consolidated Balance Sheets and the change in fair value is reported in accumulated other comprehensive income (loss). The fair values of the interest rate derivatives are estimated as the net present value of projected cash flows based upon forward interest rates at the balance sheet date. We do not offset fair value amounts recognized in our Consolidated Balance Sheets for presentation purposes.
Warranties and Guarantees Warranties and Guarantees—Expected warranty costs for products sold are recognized based on an estimate of the amount that will eventually be required to settle such obligations. These accruals are based on factors such as historical experience, warranty period, and various other considerations. Costs of product recalls, which may include the cost of replacing the product as well as the customer’s cost of the recall, including labor to remove and replace the recalled part, are accrued as part of the warranty accrual when an obligation becomes probable and can be reasonably estimated. We periodically adjust these provisions to reflect actual experience and other facts and circumstances that impact the status of existing claims.
Leases Leases—Included on our Consolidated Balance Sheets are certain operating leases which are reported as a component of other assets and other liabilities with the short-term portion of the lease liability reported as a component of accrued liabilities. The leased assets represent our right to use an underlying asset for the lease term and the lease liabilities represent our obligation to make lease payments arising from the lease. An incremental borrowing rate is used to calculate the present value of the remaining lease payments.
Each contract is reviewed at inception to determine if it contains a lease and whether the lease qualifies as an operating or financing lease. For short-term leases (leases with a term of 12 months or less), right-of-use assets or lease liabilities are not recognized on our Consolidated Balance Sheets. Operating leases are expensed on a straight-line basis over the term of the lease. In determining the lease term, we consider the probability of exercising renewal or early termination options. In addition to the monthly base rent, we are often charged separately for common area maintenance, utilities, and taxes, which are considered non-lease components. These non-lease component payments are expensed as incurred and are not included in operating lease assets or liabilities.
Right-of-use assets are reviewed for impairment whenever events or circumstances indicate that the carrying amount of the assets may not be recoverable in accordance with our long-lived asset impairment assessment policy. We perform an impairment test primarily utilizing the income method to estimate the fair value of right-of-use assets, which incorporates Level 3 inputs such as internal business plans, real estate market capitalization and rental rates, and discount rates.
Revenue Recognition Revenue Recognition—We enter into contracts that pertain to products, which are accounted for as separate performance obligations and are typically one year or less in duration. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. For product sales, typically each product sold to a customer represents a distinct performance obligation. Revenue is measured as the amount of consideration expected to be received in exchange for our products. We recognize the majority of our revenue from performance obligations outlined in contracts with our customers that are satisfied at a point in time, generally when the product has shipped from our facility and control has transferred to the customer. For certain products, it is industry practice that customers take title to products upon delivery, at which time revenue is then recognized. For contracts with multiple performance obligations, we allocate the contract’s transaction price to each performance obligation based on the relative standalone selling price (“SSP”). Judgment is required to determine the SSP for each distinct performance obligation that is not sold separately. In instances where SSP is not directly observable, the primary method used to estimate the SSP is the expected cost plus an estimated-margin approach. For services, revenue is recognized ratably over the contract period in an amount that reflects the consideration expected to be received in exchange for those services as the customer receives such services on a consistent basis throughout the contract period. Allowances for cash discounts, volume rebates, and other customer incentive programs, as well as gross customer returns, among others, are recorded as a reduction of sales.
Revenue is adjusted for variable consideration, which includes customer volume rebates and prompt payment discounts. We measure variable consideration by estimating expected outcomes using analysis and inputs based upon anticipated performance, historical data, and current and forecasted information. Customer returns are recorded as a reduction to sales on an actual basis throughout the year at the time of sale and also include an estimate at the end of each reporting period for future customer returns related to sales recorded prior to the end of the period. We generally estimate customer returns
based upon the time lag that historically occurs between the sale date and the return date, while also factoring in any new business conditions that might impact the historical analysis such as new product introduction. Measurement of variable consideration is reviewed by management periodically and revenue is adjusted accordingly. We do not have significant financing components.
Sales, use, and value added taxes collected and remitted to various government authorities are not recognized as revenue and are reported on a net basis. Shipping and handling fees billed to customers are included in cost of goods sold.
Royalty Royalty—In connection with the Honeywell Spin-Off, we entered into a 40-year Trademark License Agreement (the “Trademark Agreement”) with Honeywell that authorizes our use of certain licensed trademarks in the operation of Resideo’s business for the advertising, sale, and distribution of certain licensed products. In exchange, we pay a royalty fee of 1.5% of net revenue of the licensed products to Honeywell, which is recorded in selling, general and administrative expense in the Consolidated Statements of Operations.
Indemnification Agreement Indemnification Agreement—In connection with the Honeywell Spin-Off, we entered into an Indemnification Agreement pursuant to which we had an obligation to make cash payments to Honeywell in amounts equal to 90% of payments, which include amounts billed, with respect to certain environmental claims, remediation and, to the extent arising after the Honeywell Spin-Off, hazardous exposure or toxic tort claims, in each case, including consequential damages (the liabilities) in respect of specified Honeywell properties contaminated through historical business operations prior to the Honeywell Spin-Off (Honeywell Sites), including the legal and other costs of defending and resolving such liabilities, less 90% of Honeywell’s net insurance receipts relating to such liabilities, and less 90% of the net proceeds received by Honeywell in connection with (i) affirmative claims relating to such liabilities, (ii) contributions by other parties relating to such liabilities, and (iii) certain property sales. The amount payable in respect of such liabilities arising in any given year was subject to a cap of $140 million. Indemnification Agreement expense is presented in the Consolidated Statements of Operations. The liability is presented in non-current obligations payable under the Indemnification Agreement on the Consolidated Balance Sheets. On July 30, 2025, we entered into a definitive agreement with Honeywell to terminate the Indemnification Agreement. As a result, we are no longer required to make any further payments to Honeywell under the Indemnification Agreement.
Environmental Environmental—We accrue costs related to environmental matters when it is probable that we have incurred a liability related to a contaminated site and the amount can be reasonably estimated. Environmental costs for our owned, operating sites are presented within cost of goods sold in the Consolidated Statements of Operations.
Tax Matters Agreement Tax Matters Agreement—The Tax Matters Agreement provides that Resideo is required to indemnify Honeywell for any taxes (and reasonable expenses) resulting from the failure of the Honeywell Spin-Off and related internal transactions to qualify for their intended tax treatment under U.S. federal, state and local income tax law, as well as foreign tax law, where such taxes result from (a) breaches of covenants and representations we make and agree to in connection with the Honeywell Spin-Off, (b) the application of certain provisions of U.S. federal income tax law to these transactions or (c) any other action taken or omission made (other than actions expressly required or permitted by the Separation and Distribution Agreement, the Tax Matters Agreement or other ancillary agreements) after the consummation of the Honeywell Spin-Off that gives rise to these taxes.
Research and Development Research and Development—We conduct research and development activities, which consist primarily of the development of new products and solutions as well as enhancements and improvements to existing products that substantially change the product. Research and development costs primarily relate to employee compensation and consulting fees, which are expensed as incurred.
Defined Contribution Plans Defined Contribution Plans—Certain eligible employees participate in our various defined contribution plans. These plans have various terms depending on the country of employment.
Stock-Based Compensation Plans Stock-Based Compensation Plans—The principal awards issued under our stock-based compensation plans, which are described in Note 8. Stock-Based Compensation Plans, are restricted stock units (“RSUs”), performance stock units (“PSUs”) and stock option awards. The cost for such awards is measured at the grant date based on the fair value of the award. Some awards are issued with a market condition, which are valued on the grant date utilizing the Monte Carlo simulation model. Stock options are also issued under our stock-based compensation plans and are valued on the grant date using the Black-Scholes option pricing model. The Black-Scholes option pricing model and the Monte Carlo simulation model require estimates of future stock price volatility, expected term, risk-free interest rate, and forfeitures.
For all stock-based compensation, the fair value of the award is recognized as expense over the requisite service period (generally the vesting period of the equity award) and is included in either selling, general and administrative expenses or restructuring, impairment and extinguishment costs in the Consolidated Statements of Operations based on the nature of the expense. Our time-based restricted stock awards are typically subject to graded vesting over a service period, while our performance- or market-based awards are typically subject to cliff vesting at the end of the service period.
Pension Pension—We disaggregate the service cost component of net benefit costs and report those costs in the same line item or items in the Consolidated Statements of Operations as other compensation costs arising from services rendered by the pertinent employees during the period. The other non-service components of net benefit costs are required to be presented separately from the service cost component and outside of income from operations.We have recorded the service cost component of pension expense in costs of goods sold and selling, general and administrative expenses based on the classification of the employees it relates to. The remaining components of net benefit costs within pension expense, primarily interest costs and expected return on plan assets, are recorded in other expense (income), net. We recognize net actuarial gains or losses in excess of 10% of the greater of the fair value of plan assets or the plans’ projected benefit obligation (the “corridor”) annually in the fourth quarter of each year. This adjustment is reported in other expense (income), net in the Consolidated Statements of Operations.
Fair Value Accounting Fair Value Accounting—We classify and disclose assets and liabilities that are carried at fair value in one of the following three categories:
Level 1—quoted market prices in active markets for identical assets and liabilities
Level 2—observable market-based inputs or unobservable inputs that are corroborated by market data
Level 3—unobservable inputs that are not corroborated by market data

Financial and non-financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Refer to Note 13. Fair Value of the Notes to Consolidated Financial Statements.
Foreign Currency Translation and Remeasurement Foreign Currency Translation and Remeasurement—Assets and liabilities of operations outside the U.S. with a functional currency other than U.S. dollars are translated into U.S. dollars using year-end exchange rates. Revenue, costs, and expenses are translated at the average exchange rates in effect during the year. Foreign currency translation gains and losses are included as a component of accumulated other comprehensive income (loss) on the Consolidated Financial Statements. For the years ended December 31, 2025, 2024 and 2023, foreign currency remeasurement and transaction gains (losses) totaled a gain of $16 million, a loss of $1 million, and not material, respectively, and are included in other expenses (income), net in the Consolidated Statements of Operations.
Advertising Cost Advertising Costs—Advertising costs are expensed as incurred. For the years ended December 31, 2025, 2024 and 2023, total advertising costs totaled $44 million, $41 million, and $37 million, respectively, and are included in selling, general and administrative expenses.
Income Taxes Income Taxes—Significant judgment is required in evaluating tax positions. We established additional reserves for income taxes when, despite the belief that tax positions are fully supportable, there remain certain positions that do not meet the minimum recognition threshold. The approach for evaluating certain and uncertain tax positions is defined by the authoritative guidance, which determines when a tax position is more likely than not to be sustained upon examination by the applicable taxing authority. In the normal course of business, we are examined by various federal, state, and foreign tax authorities. We regularly assess the potential outcomes of these examinations and any future examinations for the current or prior years in determining the adequacy of our provision for income taxes. We continually assess the likelihood and amount of potential adjustments and adjust the income tax provision, the current tax liability and deferred taxes in the period in which the facts that give rise to a change in estimate become known.
Accounting Pronouncements Accounting Pronouncements—We consider the applicability and impact of all recent accounting standards updates (“ASU”) issued by the Financial Accounting Standards Board (“FASB”). ASUs not listed below were assessed and determined to be either not applicable or are expected to have an immaterial impact on our Consolidated Financial Statements.
Adopted Accounting Pronouncements

In December 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures, which includes amendments that further enhance income tax disclosures, primarily through standardization and disaggregation of rate reconciliation categories and income taxes paid by jurisdiction. We adopted annual requirements under ASU 2023-09 on January 1, 2025 which have been incorporated into Note 17. Income Taxes to our Consolidated Financial Statements on a prospective basis.

Recent Accounting Pronouncements

In November 2024, the FASB issued ASU 2024-03, Income Statement – Reporting Comprehensive Income - Expense Disaggregation Disclosure (Topic 220): Disaggregation of Income Statement Expenses. This ASU requires entities to disaggregate operating expenses into specific categories, such as purchases of inventory, employee compensation, depreciation, and amortization, to provide enhanced transparency into the nature and function of expenses. The guidance is effective for annual reporting years beginning after December 15, 2026 and interim reporting periods beginning after December 15, 2027. We are currently assessing the impact of adoption to our Consolidated Financial Statements and related disclosures.
v3.25.4
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Schedule of Inventories
The following table summarizes the details of our inventories, net:
December 31,
(in millions)20252024
Raw materials$154 $171 
Work in process16 14 
Finished products1,184 1,052 
Total inventories, net$1,354 $1,237 
Schedule of Property, Plant and Equipment
The following table summarizes the details of our property, plant and equipment, including useful lives:

December 31,
(in millions)20252024Useful Lives
Machinery and equipment$705 $618 
3-16 years
Buildings and improvements376 339 
6-50 years
Construction in progress83 80 NA
Land11 9 NA
Gross property, plant and equipment1,175 1,046 
Accumulated depreciation(728)(636)
Total property, plant and equipment, net$447 $410 
NA = Not applicable; assets categorized as construction in progress and land are not depreciated.
v3.25.4
Acquisitions and Divestitures (Tables)
 12 Months Ended
Dec. 31, 2025
Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract]  
Schedule of Preliminary Allocation of Purchase Price
(in millions)
Assets acquired:
Cash and cash equivalents$47 
Accounts receivable49 
Inventories240 
Other current assets26 
Property, plant and equipment63 
Goodwill (1)
396 
Intangible assets (2)
770 
Other assets69 
Total assets acquired1,660 
Liabilities assumed:
Accounts payable48 
Accrued liabilities69 
Other liabilities (3)
138 
Total liabilities assumed255 
Net assets acquired$1,405 
(1) Of the $396 million of goodwill from the acquisition, $90 million is being amortized for tax purposes and is expected to be deductible over time. Goodwill is comprised of expected synergies for the combined operations and the assembled workforce acquired in the acquisition.
(2) Includes customer relationships of $590 million, technology of $110 million, and trademarks of $70 million with weighted average useful lives of 12, 7, and 10 years, respectively.
(3) Includes $68 million of deferred tax liabilities.
v3.25.4
Segment Financial Data (Tables)
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Schedule of Segment Information
Segment results of operations for Products and Solutions, including significant segment expenses that are regularly reviewed by the CODM, are included in the table below:
Years Ended December 31,
(in millions) 202520242023
Net revenue
$2,688 $2,564 $2,672 
Cost of goods sold1,557 1,514 1,640 
Research and development expenses128 94 108 
Selling, general and administrative expenses417 416 428 
Intangible asset amortization26 23 23 
Restructuring and impairment costs
5 14 27 
Segment income from operations
$555 $503 $446 

Segment results of operations for ADI Global Distribution, including significant segment expenses that are regularly reviewed by the CODM, are included in the table below:

Years Ended December 31,
(in millions) 202520242023
Net revenue
$4,784 $4,197 $3,570 
Cost of goods sold3,719 3,346 2,902 
Research and development expenses39 17 — 
Selling, general and administrative expenses712 566 407 
Intangible asset amortization94 54 11 
Restructuring and impairment costs
8 19 12 
Segment income from operations
$212 $195 $238 
The following table provides detail on cash paid for capital expenditures, which are regularly reviewed by the CODM:

Years Ended December 31,
202520242023
(in millions)
Capital expenditures
Products and Solutions
$62 $55 $77 
ADI Global Distribution
54 25 26 
Total segment capital expenditures
116 80 103 
Corporate activities
— — 2 
Total capital expenditures
$116 $80 $105 
Schedule of Reconciliation of Operating Profit (Loss) from Segments to Consolidated
The following table provides a reconciliation of segment income from operations to consolidated income (loss) before taxes:

Years Ended December 31,
202520242023
(in millions)
Segment income from operations
Products and Solutions$555 $503 $446 
ADI Global Distribution212 195 238 
Total segment income from operations767 698 684 
Unallocated amounts:
Selling, general and administrative expenses137 156 125 
Restructuring, impairment and extinguishment costs3 19 3 
Business separation costs18 — — 
Indemnification Agreement expense972 211 178 
Other expense (income), net(43)7 (9)
Interest expense, net135 81 65 
Other corporate items
2 3 9 
Income (loss) before taxes$(457)$221 $313 
v3.25.4
Revenue Recognition (Tables)
 12 Months Ended
Dec. 31, 2025
Revenue from Contract with Customer [Abstract]  
Schedule of Revenue By Business Line and Geographic Location
The following table presents revenue by business line and geographic location, as we believe this presentation best depicts how the nature, amount, timing, and uncertainty of net revenue and cash flows are affected by economic factors:

Years Ended December 31,
(in millions)202520242023
Products and Solutions
Safety and Security$963 $885 $965 
Air841 858 862 
Energy563 512 525 
Water321 309 320 
Total Products and Solutions2,688 2,564 2,672 
ADI Global Distribution
Americas (1)
4,189 3,680 3,085 
International (2)
595 517 485 
Total ADI Global Distribution4,784 4,197 3,570 
Total net revenue$7,472 $6,761 $6,242 
(1)Americas represents North, Central, and South America.
(2)International represents all geographies that are not included in Americas.
v3.25.4
Restructuring (Tables)
 12 Months Ended
Dec. 31, 2025
Restructuring and Related Activities [Abstract]  
Schedule of Restructuring and Impairment Expense
The following table summarizes information concerning recorded obligations for our restructuring programs included within accrued liabilities on the Consolidated Balance Sheets. Amounts associated with impairment and extinguishment costs are not included in the table below because those amounts are charged directly against the relevant assets and debt, respectively.

December 31,
(in millions)202520242023
Beginning of period$31 $30 $27 
Charges15 41 34 
Usage (1)
(25)(40)(31)
End of period$21 $31 $30 
(1) Usage primarily relates to cash payments and shares issued associated with employee termination costs.
v3.25.4
Pension Plans (Tables)
 12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
Schedule of Balance Sheet Impact, Including Benefit Obligations, Assets and Funded Status
The following table summarizes the balance sheet impact, including the benefit obligations, assets, and funded status associated with the pension plans:

U.S. Plans Non-U.S. Plans
(in millions)202520242023202520242023
Change in benefit obligation:
Benefit obligation at beginning of year$209 $234 $281 $98 $108 $96 
Service cost2 2 3 4 4 4 
Interest cost12 12 13 3 3 3 
Actuarial losses (gains) (1)
6 (16)23 (14)(5)8 
Net benefits paid(15)(2)(3)— — 4 
Settlements and curtailments (2)
— (21)(83)(3)(4)(13)
Foreign currency translation and other— — — 12 (8)6 
Benefit obligation at end of year214 209 234 100 98 108 
Change in plan assets:
Fair value of plan assets at beginning of year181 197 262 24 26 27 
Actual return on plan assets18 7 20 — 1 1 
Employer contributions10 — — 3 2 2 
Net benefits paid(15)(2)(3)— — 4 
Settlements and curtailments (2)
— (21)(83)(3)(4)(11)
Foreign currency translation and other— — 1 3 (1)3 
Fair value of plan assets at end of year194 181 197 27 24 26 
Funded status of plans (3)
$(20)$(28)$(37)$(73)$(74)$(82)
(1) Primarily driven by actuarial assumptions.
(2) Settlement accounting was triggered in 2024 and 2023, resulting in a remeasurement of our U.S. qualified defined benefit pension plan.
(3) The amounts recognized in accrued liabilities on the Consolidated Balance Sheets were $2 million at December 31, 2025 and 2024. The amounts recognized in other liabilities on the Consolidated Balance Sheets were $92 million and $100 million at December 31, 2025 and 2024, respectively.
Schedule of Net Periodic Benefit Cost and Other Amounts Recognized in Comprehensive Income
The components of net periodic benefit cost (income), excluding service costs, are included in other expense (income), net in the Consolidated Statements of Operations for the years ended December 31, 2025, 2024, and 2023 and are as follows:

U.S. Plans Non-U.S. Plans
(in millions)202520242023202520242023
Net periodic benefit cost (income)
Service cost$2 $2 $3 $4 $4 $4 
Interest cost12 12 13 3 3 3 
Expected return on plan assets(10)(10)(11)(1)(1)(1)
Amortization of actuarial losses (gains)— — 2 (11)— — 
Other (1)
— — 5 — — (2)
Net periodic benefit cost (income)$4 $4 $12 $(5)$6 $4 
(1) Other includes immaterial impacts from amortization of prior service credit and settlements.
Schedule of Net Periodic Benefit (Income) Cost Other Than The Service Cost Included in Other Expense, Net
The following table outlines the impacts of the pensions on other comprehensive income (loss):

U.S. Plans Non-U.S. Plans
(in millions)202520242023202520242023
Pension liability adjustments
Actuarial losses (gains)$(1)$(13)$14 $(13)$(6)$9 
Actuarial (losses) gains recognized during the year— (1)(8)11 — — 
Other— — 1 (1)— (1)
Total recognized in other comprehensive (income) loss (1)(14)7 (3)(6)8 
Net periodic benefit cost (income)4 4 12 (5)6 4 
Total recognized in net periodic benefit cost (income) and other comprehensive (income) loss$3 $(10)$19 $(8)$— $12 
Schedule of Significant Actuarial Assumptions Used in Determining Benefit Obligations and Net Periodic Benefit (Income) Cost
Significant actuarial assumptions used in determining the benefit obligations and net periodic benefit cost (income) for benefit plans are presented in the following table as weighted averages:

U.S. Plans Non-U.S. Plans
202520242023202520242023
Actuarial assumptions used to determine benefit obligations as of December 31:
Discount rate5.7 %5.0 %5.2 %3.1 %3.0 %3.4 %
Interest crediting rate6.0 %6.0 %6.0 %2.2 %2.3 %2.5 %
Expected annual rate of compensation increase3.5 %3.5 %3.5 %2.5 %2.7 %2.6 %
Actuarial assumptions used to determine net periodic benefit cost (income) for the year ended December 31:
Discount rate - benefit obligation5.6 %5.7 %5.0 %3.8 %3.0 %3.0 %
Interest crediting rate6.0 %6.0 %6.0 %0.4 %0.4 %2.2 %
Expected rate of return on plan assets5.7 %5.5 %5.3 %1.1 %1.1 %3.4 %
Expected annual rate of compensation increase3.5 %3.5 %3.5 %2.3 %2.5 %2.7 %
Schedule of Amounts Relate to Pension Plans with Accumulated Benefit Obligations Exceeding Fair Value of Plan Assets
The following amounts relate to pension plans with accumulated benefit obligations exceeding the fair value of plan assets at December 31, 2025 and 2024:

U.S. PlansNon-U.S. Plans
(in millions)2025202420252024
Projected benefit obligation$214 $209 $93 $97 
Accumulated benefit obligation$212 $207 $86 $89 
Fair value of plan assets$194 $181 $20 $23 
Schedule of NAV and Fair Values of Both U.S. and Non-U.S. Pension Plans Assets by Asset Category
A majority of the U.S. pension plan assets as of December 31, 2025 do not have published pricing and are valued using Net Asset Value (“NAV”). As a practical expedient, assets valued using NAV have not been classified in the fair value hierarchy. NAV and fair value by asset category are as follows for December 31, 2025 and 2024:

U.S. Plans NAV
(in millions)20252024
Cash and cash equivalents$3 $2 
Equity64 58 
Government bonds16 10 
Corporate bonds52 50 
Real estate / property23 22 
Other36 39 
Total assets at fair value$194 $181 

The fair values of the non-U.S. pension plan assets by asset category are as follows for December 31, 2025 and 2024:

Non-U.S. Plans
20252024
(in millions)TotalLevel 1Level 2Level 3TotalLevel 1Level 2Level 3
Equity$8 $8 $— $— $7 $7 $— $— 
Government bonds6 — 6 — 5 — 5 — 
Insurance contracts7 — — 7 6 — — 6 
Other6 — — 6 6 — — 6 
Total assets at fair value$27 $8 $6 $13 $24 $7 $5 $12 
v3.25.4
Stock-Based Compensation Plans (Tables)
 12 Months Ended
Dec. 31, 2025
Share-Based Payment Arrangement [Abstract]  
Schedule of Fair Values Estimated for PSUs
The fair value of market-based PSUs based on relative TSR was estimated using a Monte Carlo simulation model. For PSUs issued during the years ended December 31, 2025, 2024 and 2023, the calculation of the fair value of these awards was calculated using the following assumptions:

Years Ended December 31,
202520242023
Expected volatility45.2%
45.9% - 47.6%
63.4%
Risk-free interest rate %4.3%
3.9% - 4.3%
4.2%
Expected term (in years)2.88
2.39 - 2.90
2.88
Dividend yield (1)
—%—%—%
(1) We have never declared or paid any cash dividends on our common stock and we currently do not intend to pay cash dividends on our common stock.
Schedule of Stock Incentive Plan for Employees and Non-Employee Directors
The following table summarizes activity related to the Stock Incentive Plan for employees and non-employee directors:

PSUs (1)
RSUs
(in thousands except for per share amounts)
Number of
Performance
Stock Units 		Weighted
Average Grant
Date Fair Value
Per Share		Number of
Restricted
Stock Units 		Weighted
Average Grant
Date Fair Value
Per Share
Non-vested as of January 1, 20251,680$31.33 5,749$19.65 
Granted23725.56 2,26322.25 
Vested(341)36.11 (2,704)19.97 
Forfeited(311)33.12 (537)19.24 
Non-vested as of December 31, 20251,265$28.51 4,771$20.75 
(1) Includes PSUs at target payout. Final common shares issued may be different based upon the actual achievement versus the performance measure target.
Schedule of Unrecognized Compensation Cost Related to Unvested Awards
As of December 31, 2025, unrecognized compensation cost related to unvested awards granted to employees and non-employee directors under the Stock Incentive Plan is as follows:

(in millions)Unrecognized Compensation CostWeighted-Average Period
RSUs$61 1 year, 8 months
PSUs10 11 months
Total unrecognized compensation cost$71 
Schedule of Fair Value of Shares Vested
The fair value of shares vested follows:

Years Ended December 31,
(in millions)202520242023
RSUs$67 $47 $29 
PSUs7 — 14 
Total$74 $47 $43 
Schedule of Stock Option Activity Related to the Stock Incentive Plan
The following table summarizes stock option activity related to the Stock Incentive Plan:

Stock Options
Number of
Stock
Options
(in thousands)		Weighted
Average
Exercise
Price		Weighted
Average
Contractual
Life
Aggregate
Intrinsic
Value (1)
(in millions)
Stock Options outstanding as of January 1, 20251,006$14.34 2.3 years$9 
Expired(28)24.39 
Exercised(608)17.15 
Stock Options outstanding and exercisable as of December 31, 2025370$8.97 1.4 years$10 
(1) Represents the total intrinsic value (the difference between the fair market value of our common stock as of January 1, 2025 and December 31, 2025, respectively, and the exercise price, multiplied by the number of in-the-money service-based common stock options) that would have been received by the option holders had all option holders exercised their options on January 1, 2025 and December 31, 2025, respectively. This amount is subject to change based on changes to the fair market value of our common stock.
v3.25.4
Goodwill and Intangible Assets, net (Tables)
 12 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
Our goodwill balance and changes in carrying value by segment were as follows:

(in millions)Products and SolutionsADI Global DistributionTotal
Balance at January 1, 2024$2,045 $660 $2,705 
Acquisitions (1)
— 405 405 
Impact of foreign currency translation(30)(8)(38)
Balance as of December 31, 20242,015 1,057 3,072 
Divestitures (1)
(26)— (26)
Adjustments (1)
— (9)(9)
Impact of foreign currency translation 47 16 63 
Balance as of December 31, 2025$2,036 $1,064 $3,100 
(1) Refer to Note 3. Acquisitions and Divestitures for additional information.
Schedule of Indefinite-Lived Intangible Assets
The following table summarizes the net carrying amount of intangible assets:

December 31,
(in millions)20252024
Intangible assets subject to amortization$911 $996 
Indefinite-lived intangible assets180 180 
Total intangible assets$1,091 $1,176 
Schedule of Finite-Lived Intangible Assets
The following table summarizes the net carrying amount of intangible assets:

December 31,
(in millions)20252024
Intangible assets subject to amortization$911 $996 
Indefinite-lived intangible assets180 180 
Total intangible assets$1,091 $1,176 
Intangible assets subject to amortization consisted of the following:

December 31, 2025
(in millions)Gross
Carrying
Amount		Accumulated
Amortization 		Net
Carrying
Amount		Useful LivesWeighted Average Amortization
Patents and technology$170 $(63)$107 
5 - 10 years
8 years
Customer relationships912 (253)659 
7 - 15 years
13 years
Trademarks79 (20)59 
5 - 10 years
10 years
Software256 (170)86 
3 - 7 years
5 years
Total intangible assets subject to amortization$1,417 $(506)$911 


December 31, 2024
(in millions)Gross
Carrying
Amount		Accumulated
Amortization 		Net
Carrying
Amount		Useful LivesWeighted Average Amortization
Patents and technology$170 $(41)$129 
5 - 10 years
8 years
Customer relationships901 (177)724 
7 - 15 years
13 years
Trademarks78 (12)66 
5 - 10 years
10 years
Software222 (145)77 
2 - 12 years
5 years
Total intangible assets subject to amortization$1,371 $(375)$996 
Schedule of Estimated Aggregate Amortization On Intangible Assets
The estimated aggregate amortization on these intangible assets for each of the next five years as of December 31, 2025, follows:

(in millions)Amortization Expense
2026$119 
2027$110 
2028$106 
2029$96 
2030$85 
v3.25.4
Leases (Tables)
 12 Months Ended
Dec. 31, 2025
Leases [Abstract]  
Schedule of Operating Lease Expense
Total operating lease costs were as follows:

Years Ended December 31,
(in millions)202520242023
Operating lease cost:
Selling, general and administrative expenses$82 $69 $57 
Cost of goods sold19 16 20 
Total operating lease costs (1)
$101 $85 $77 
(1) Total operating lease costs include variable lease costs of $18 million, $17 million, and $22 million for the years ended December 31, 2025, 2024, and 2023, respectively.
Schedule of Carrying Amounts of Operating Leased Assets and Liabilities
The following table summarizes the carrying amounts of our operating leased assets and liabilities along with key inputs used to discount our lease liabilities:

December 31,
(in millions, except weighted-average data)Financial Statement Line Item20252024
Operating lease assetsOther assets$327 $248 
Operating lease liabilities - currentAccrued liabilities$57 $51 
Operating lease liabilities - non-currentOther liabilities$289 $212 
Weighted-average remaining term6.89 years5.95 years
Weighted-average incremental borrowing rate6.36 %6.08 %
Schedule of Maturities of Operating Lease Liabilities
The following table summarizes our future minimum lease payments under our non-cancelable leases as of December 31, 2025:

(in millions)Commitments
2026$72 
202770 
202862 
202948 
203040 
Thereafter137 
Total lease payments429 
Less: Imputed interest(83)
Present value of operating lease liabilities$346 
Schedule of Supplemental Cash Flow Information Related to Operating Leases
Supplemental cash flow information related to operating leases follows:

Years Ended December 31,
(in millions)202520242023
Cash paid for operating lease liabilities$69 $41 $36 
Non-cash activities: operating lease assets obtained in exchange for new operating lease liabilities (1)
$126 $116 $39 
(1) The year ended December 31, 2024 includes $61 million of operating lease assets acquired from the Snap One acquisition.
v3.25.4
Long-Term Debt (Tables)
 12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Schedule of Long-Term Debt
Long-term debt is comprised of the following:

December 31,
(in millions)20252024
4.000% Senior Notes due 2029
$300 $300 
6.500% Senior Notes due 2032
600 600 
Variable rate A&R Term B Facility 2,331 1,115 
Gross debt3,231 2,015 
Less: current portion of long-term debt (1)
(18)(6)
Less: unamortized deferred financing costs(46)(26)
Total long-term debt$3,167 $1,983 
(1) Included within accrued liabilities on the Consolidated Balance Sheets.
Schedule of Maturities of Long-Term Debt
Aggregate required principal payments on long-term debt outstanding at December 31, 2025, follows:

(in millions)Payments
2026$18 
202718 
2028536 
2029318 
203018 
Thereafter2,323 
Total$3,231 
v3.25.4
Derivative Financial Instruments (Tables)
 12 Months Ended
Dec. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments in Consolidated Balance Sheets and Pre-Tax Gain (Loss) in Accumulated Other Comprehensive Loss The following tables summarize the fair value and presentation of derivative instruments in the Consolidated Balance Sheets as well as the changes in fair value recorded in accumulated other comprehensive income (loss):
Fair Value of Derivative Assets
Years Ended December 31,
(in millions)Financial Statement Line Item20252024
Derivatives designated as hedging instruments:
Interest rate derivativesOther current assets$2 $10 
Interest rate derivativesOther assets1 3 
Total derivative assets designated as hedging instruments$3 $13 
Fair Value of Derivative Liabilities
Years Ended December 31,
(in millions)Financial Statement Line Item20252024
Derivatives designated as hedging instruments:
Interest rate derivativesAccrued liabilities$— $6 
Unrealized gainAccumulated other comprehensive income (loss)$— $8 
Schedule of Effect of Derivative Instruments Designated as Cash Flow Hedges
The following table summarizes the effect of derivative instruments designated as cash flow hedges in other comprehensive income (loss) in the Consolidated Statements of Operations:

Years Ended December 31,
(in millions)Financial Statement Line Item20252024
Gains recorded in accumulated other comprehensive income (loss), beginning of year
$8 $25 
Current period losses recognized in/reclassified from other comprehensive income (loss)Other comprehensive income (loss)(10)(16)
Gains reclassified from accumulated other comprehensive income (loss) to net income (loss)Interest expense, net2 (1)
Gains recorded in accumulated other comprehensive income (loss), end of year
$— $8 
v3.25.4
Fair Value (Tables)
 12 Months Ended
Dec. 31, 2025
Fair Value Disclosures [Abstract]  
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments
The following table provides a summary of the carrying amount and fair value of outstanding debt:

December 31, 2025December 31, 2024
(in millions)Carrying ValueFair ValueCarrying ValueFair Value
Debt
4.000% Senior Notes due 2029
$300 $291 $300 $272 
6.500% Senior Notes due 2032
600 615 600 602 
Variable rate A&R Term B Facility 2,331 2,339 1,115 1,119 
Total debt$3,231 $3,245 $2,015 $1,993 
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The following table provides a summary of the carrying amount and fair value of our interest rate derivatives:

December 31, 2025December 31, 2024
(in millions)Carrying Value
Fair Value
Carrying ValueFair Value
Assets:
Interest rate derivatives$3 $3 $13 $13 
Liabilities:
Interest rate derivatives$— $— $6 $6 
v3.25.4
Accrued Liabilities (Tables)
 12 Months Ended
Dec. 31, 2025
Payables and Accruals [Abstract]  
Schedule of Accrued Liabilities
Accrued liabilities consist of the following:

December 31,
(in millions)20252024
Compensation, benefit and other employee-related$137 $131 
Customer rebate reserve129 112 
Current operating lease liability57 51 
Current obligations payable under the Indemnification Agreement— 140 
Other (1)
301 283 
Total accrued liabilities$624 $717 
(1) Other includes accruals for taxes payable, deferred revenue, freight payable, interest, product warranties, restructuring, current portion of long-term debt, legal and professional reserves, advertising, royalties, and other miscellaneous items.
v3.25.4
Commitments and Contingencies (Tables)
 12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Reimbursement Agreement Liabilities
The following table summarizes information concerning the Indemnification Agreement and Tax Matters Agreement liabilities:

(in millions)
Indemnification Agreement
Tax Matters AgreementTotal
Beginning balance, January 1, 2024$652 $97 $749 
Accruals for liabilities deemed probable and reasonably estimable211 (2)209 
Payments to Honeywell(140)(4)(144)
Balance as of January 1, 2025723 91 814 
Accruals for liabilities deemed probable and reasonably estimable972 (3)969 
Payments to Honeywell(1,695)— (1,695)
Balance as of December 31, 2025$— $88 $88 
Schedule of Reimbursement Agreement Liabilities Included in Balance Sheet Accounts
The liabilities related to the Indemnification Agreement and Tax Matters Agreement are included in the following balance sheet accounts:

December 31,
(in millions)20252024
Accrued liabilities$— $140 
Non-current obligations payable under the Indemnification Agreement— 583 
Other liabilities88 91 
Total indemnification liabilities$88 $814 
Schedule of Recorded Obligations for Product Warranties and Product Performance Guarantee The following table summarizes information concerning recorded obligations for product warranties and product performance guarantees:
Years Ended December 31,
(in millions)202520242023
Beginning balance$35 $34 $48 
Accruals for warranties/guarantees issued during the year30 31 24 
Settlement/adjustment of warranty/guarantee claims(29)(30)(38)
Ending balance$36 $35 $34 
Schedule of Long-Term Purchase Commitment
The following table summarizes the future aggregate payments on these obligations as of December 31, 2025:

(in millions)Payments
2026$130 
202731 
20289 
20298 
2030 and thereafter— 
Total$178 
v3.25.4
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Income Before Taxes
The following is a summary of the components of income before provision for income taxes:

Years Ended December 31,
(in millions)202520242023
U.S.$(793)$(65)$76 
Non-U.S.336 286 237 
Total$(457)$221 $313 
The components of the provision for income taxes consisted of the following for 2025:

Year Ended December 31,
(in millions)2025
Current:
U.S. federal$4 
U.S. state and local4 
Non-U.S.54 
Total current62 
Deferred:
U.S. federal(14)
U.S. state and local3 
Non-U.S.19 
Total deferred8 
Total income tax expense:
U.S. federal(10)
U.S. state and local7 
Non-U.S.73 
Total income tax expense
$70 
Schedule of Components of Income Tax Expense (Benefit)
The components of the provision for income taxes consisted of the following for 2024 and 2023:

Years Ended December 31,
(in millions)20242023
Current:
U.S.$76 $80 
Non-U.S.60 51 
Total current136 131 
Deferred:
U.S. federal(23)(6)
Non-U.S.(8)(22)
Total deferred(31)(28)
Total provision$105 $103 
Schedule of Federal Statutory Income Tax Rate Reconciliation with Effective Income Tax Rate
The reconciliation of income tax computed at the U.S. federal statutory tax rate to the effective income tax rate is as follows for 2025:

Year Ended December 31,
2025
$%
Federal statutory tax rate
$(96)21.0 %
State and local income taxes, net of federal income tax effect (1)
7 (1.5)
Foreign tax effects
Switzerland
Cantonal tax16 (3.5)
Statutory tax rate difference(34)7.4 
Other
2 (0.4)
Germany
Changes in valuation allowances6 (1.3)
Other3 (0.7)
Other foreign jurisdictions8 (1.8)
Effect of cross-border tax laws
3 (0.7)
Tax credits
(5)1.1 
Changes in valuation allowances
(1)0.2 
Nontaxable or nondeductible items
Non-deductible Indemnification Agreement costs204 (44.5)
Interest expense deduction(61)13.4 
§162(m) excess officer compensation
6 (1.3)
Other4 (0.9)
Changes in unrecognized tax benefits8 (1.8)
Total
$70 (15.3)%
(1) State taxes in New York, Florida, Pennsylvania and Tennessee made up the majority (greater than 50%) of the tax effect in this category.

The reconciliation of income tax computed at the U.S. federal statutory tax rate to the effective income tax rate is as follows for 2024 and 2023:

Years Ended December 31,
20242023
U.S. federal statutory income tax rate21.0 %21.0 %
Impact of foreign operations(0.9)(0.9)
U.S. state income taxes4.9 4.4 
Non-deductible Indemnification Agreement costs18.1 10.9 
Executive compensation over $1 million
2.4 1.6 
U.S. taxation of foreign earnings3.1 2.8 
Tax credits(2.3)(0.8)
Change in tax basis in foreign assets (1)
(0.9)(6.5)
All other items, net1.8 0.2 
Effective income tax rate47.2 %32.7 %
(1) The 2024 impact represents subsequent adjustment to tax basis, net of valuation allowance, based on refinement of the step-up calculation. The 2023 impact represents the initial recognition of a step-up in the tax basis of intangible assets recorded under Switzerland tax reform, net of valuation allowance.
Schedule of Deferred Tax Liabilities and Assets
Deferred income taxes reflect the net impact of temporary differences between the amounts of assets and liabilities recognized for financial reporting purposes and such amounts recognized for income tax purposes. The tax effects of the temporary differences as of December 31, 2025 and 2024 are as follows:

Years Ended December 31,
(in millions)20252024
Deferred tax assets:
Pension$14 $17 
Intangibles (1)
29 27 
Other asset basis differences43 44 
Operating lease liabilities89 60 
Employee compensation and benefits29 30 
Inventory costing and related reserves16 15 
Capitalized research and development2 56 
Other accruals and reserves28 27 
§163(j) carryforward63 13 
Net operating losses, capital losses, and tax credits104 81 
Other12 18 
Gross deferred tax assets429 388 
Valuation allowance(93)(86)
Total deferred tax assets$336 $302 
Deferred tax liabilities:
Intangibles$(191)$(191)
Property, plant and equipment(10)(9)
Operating lease assets(84)(56)
Other(6)(10)
Total deferred tax liabilities$(291)$(266)
Net deferred tax asset$45 $36 
(1) A valuation allowance brings the net deferred tax effect of the allowed step-up of intangible assets recorded under Switzerland tax reform to the amount more likely than not to be realized.
Schedule of Valuation Allowance
The rollforward of the valuation allowance on deferred taxes is as follows for the periods indicated:

Years Ended December 31,
(in millions)202520242023
Beginning balance$86 $75 $63 
Additions / (Subtractions)7 11 12 
Ending balance$93 $86 $75 
Schedule of Unrecognized Tax Benefits Roll Forward
The table below sets forth the changes to our gross unrecognized tax benefit as a result of uncertain tax positions, excluding interest and penalties for the years ended December 31, 2025, 2024, and 2023:

Years Ended December 31,
(in millions)202520242023
Unrecognized tax benefits at beginning of year$24 $22 $22 
Decreases related to positions taken on items from prior years— — (1)
Increases related to positions taken in the current year16 8 5 
Decreases due to expiration of statutes of limitations(5)(6)(4)
Unrecognized tax benefits at end of year$35 $24 $22 
Schedule of Cash Flow, Supplemental Disclosures
The following table presents the income taxes paid, net of refunds, disaggregated by jurisdiction for the year ended December 31, 2025:

Year Ended December 31,
(in millions)2025
U.S. federal$20 
U.S. state and local
16 
Foreign
Canada
7 
Mexico
13 
Switzerland
26 
Other foreign jurisdictions11 
Total income tax payments, net of refunds
$93 
v3.25.4
Earnings (Loss) Per Common Share (Tables)
 12 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
Schedule of Computation of Basic and Diluted Earnings Per Share
The reconciliation of the numerator and denominator used for the computation of basic and diluted earnings (loss) per common share follows:

Years Ended December 31,
(in millions, except per share data)202520242023
Numerator for basic and diluted earnings (loss) per common share:
Net income (loss)$(527)$116 $210 
Less: preferred stock dividends35 19 — 
Less: undistributed income allocated to preferred stockholders— 6 — 
Net income (loss) available to common stockholders$(562)$91 $210 
Denominator for basic and diluted earnings (loss) per common share:
Basic149 146147
Plus: dilutive effect of common stock equivalents— 31
Weighted average diluted number of common shares outstanding149149148
Earnings (loss) per common share
Basic$(3.77)$0.62 $1.43 
Diluted$(3.77)$0.61 $1.42 
The following potentially dilutive instruments, presented as a weighted average of the instruments outstanding, were excluded from the calculation of diluted (loss) earnings per common share because their effect would have been antidilutive, and in the case of certain PSUs, the contingency has not been satisfied.

Years Ended December 31,
(in millions)202520242023
RSUs and other rights5.9 0.7 1.5 
PSUs2.5 0.7 1.2 
Preferred stock0.5 0.3 — 
v3.25.4
Geographic Areas - Financial Data (Tables)
 12 Months Ended
Dec. 31, 2025
Segments, Geographical Areas [Abstract]  
Schedule of Geographic Areas
Revenue and long-lived assets by geography are as follows:

Net Revenue (1)
Long-Lived Assets (2)
Years Ended December 31,December 31,
(in millions)202520242023202520242023
U.S.$5,817 $5,232 $4,720 $494 $412 $332 
Europe1,098 1,046 1,065 159 138 143 
Other International557 483 457 121 108 107 
Total$7,472 $6,761 $6,242 $774 $658 $582 
(1)Net revenue is classified according to the country of origin. Included in U.S. net revenue are export sales of $66 million, $57 million, and $41 million for the years ended December 31, 2025, 2024, and 2023, respectively.
(2)Long-lived assets are comprised of property, plant and equipment, net and right-of-use lease assets.
v3.25.4
Nature of Operations and Basis of Presentation (Details)
space in Millions
Dec. 31, 2025
space
Products and Solutions  
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations  
Number of spaces (spaces) 150
v3.25.4
Nature of Operations and Basis of Presentation - Basis of Consolidation and Reporting (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]      
Business separation costs $ 18 $ 0 $ 0
v3.25.4
Summary of Significant Accounting Policies - Inventories (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Accounting Policies [Abstract]    
Raw materials $ 154 $ 171
Work in process 16 14
Finished products 1,184 1,052
Total inventories, net $ 1,354 $ 1,237
v3.25.4
Summary of Significant Accounting Policies - Property, Plant, and Equipment (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Property, Plant and Equipment      
Gross property, plant and equipment $ 1,175 $ 1,046  
Accumulated depreciation (728) (636)  
Total property, plant and equipment, net 447 410  
Depreciation 73 64 $ 59
Machinery and equipment      
Property, Plant and Equipment      
Gross property, plant and equipment $ 705 618  
Machinery and equipment | Minimum      
Property, Plant and Equipment      
Property, plant and equipment, useful lives (in years) 3 years    
Machinery and equipment | Maximum      
Property, Plant and Equipment      
Property, plant and equipment, useful lives (in years) 16 years    
Buildings and improvements      
Property, Plant and Equipment      
Gross property, plant and equipment $ 376 339  
Buildings and improvements | Minimum      
Property, Plant and Equipment      
Property, plant and equipment, useful lives (in years) 6 years    
Buildings and improvements | Maximum      
Property, Plant and Equipment      
Property, plant and equipment, useful lives (in years) 50 years    
Construction in progress      
Property, Plant and Equipment      
Gross property, plant and equipment $ 83 80  
Land      
Property, Plant and Equipment      
Gross property, plant and equipment $ 11 $ 9  
v3.25.4
Summary of Significant Accounting Policies - Royalty (Details) - Honeywell - Trademarks
 12 Months Ended
Dec. 31, 2025
Disaggregation of Revenue  
Trademark license agreement (in years) 40 years
Selling, general and administrative expenses  
Disaggregation of Revenue  
Royalty fee percentage of net revenue 1.50%
v3.25.4
Summary of Significant Accounting Policies - Reimbursement Agreement (Details) - Honeywell - Indemnification Agreement
$ in Millions
Oct. 29, 2018
USD ($)
Summary Of Significant Accounting Policies [Line Items]  
Indemnification payable percentage of payments (as a percent) 90.00%
Indemnification payable percentage of net insurance receipts 90.00%
Indemnification payable percentage of net proceeds received 90.00%
Maximum  
Summary Of Significant Accounting Policies [Line Items]  
Indemnity liability annual cap $ 140
v3.25.4
Summary of Significant Accounting Policies - Tax Matters Agreement (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Income Taxes    
Non-current obligations payable under the Indemnification Agreement $ 0 $ 583
Tax Matters Agreement | Honeywell    
Income Taxes    
Non-current obligations payable under the Indemnification Agreement $ 88 $ 91
v3.25.4
Summary of Significant Accounting Policies - Defined Contribution Plans (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Accounting Policies [Abstract]      
Compensation expense related to employer contributions $ 29 $ 23 $ 22
v3.25.4
Summary of Significant Accounting Policies - Pension (Details)
 12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Defined benefit plan net actuarial gains and losses in excess of fair value of plan assets or plan's projected benefit obligation percentage 10.00%
v3.25.4
Summary of Significant Accounting Policies - Foreign Currency Translation and Remeasurement (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Accounting Policies [Abstract]    
Foreign currency remeasurement and transaction gains (losses) $ 16 $ (1)
v3.25.4
Summary of Significant Accounting Policies - Advertising Costs (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Accounting Policies [Abstract]      
Advertising costs $ 44 $ 41 $ 37
v3.25.4
Acquisitions and Divestitures - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended 7 Months Ended 12 Months Ended
Jun. 14, 2024
Oct. 16, 2023
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Aug. 09, 2023
Jan. 23, 2023
Business Combination                  
Proceeds from sale of business         $ 77 $ 0 $ 86    
Goodwill, not allocated, amount         26        
Cash purchase price         $ 0 1,337 16    
Net revenue           7,222 $ 7,303    
Snap One Holdings Corp                  
Business Combination                  
Percentage of equity acquired 100.00%                
Goodwill measurement adjustment $ (9)                
Cash purchase price $ 1,400                
Acquisition costs           34      
Debt repayment           $ 21      
Net revenue       $ 553          
Sfty SA                  
Business Combination                  
Percentage of equity acquired               100.00%  
BTX Technologies, Inc.                  
Business Combination                  
Percentage of equity acquired                 100.00%
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Resideo Grid Services                  
Business Combination                  
Proceeds from sale of business     $ 77            
Gain on disposition of business     52            
Goodwill, not allocated, amount     $ 26            
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Genesis Cable                  
Business Combination                  
Proceeds from sale of business   $ 86              
Gain on disposition of business   18              
Divestiture related costs   $ 5              
v3.25.4
Acquisitions and Divestitures - Schedule of Preliminary Allocation of Purchase Price (Details) - USD ($)
$ in Millions
Jun. 14, 2024
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Assets acquired:        
Goodwill   $ 3,100 $ 3,072 $ 2,705
Snap One Holdings Corp        
Assets acquired:        
Cash and cash equivalents $ 47      
Accounts receivable 49      
Inventories 240      
Other current assets 26      
Property, plant and equipment 63      
Goodwill 396      
Intangible assets 770      
Other assets 69      
Total assets acquired 1,660      
Liabilities assumed:        
Accounts payable 48      
Accrued liabilities 69      
Other liabilities 138      
Total liabilities assumed 255      
Net assets acquired 1,405      
Goodwill partially deductible for tax purposes 90      
Deferred tax liabilities 68      
Snap One Holdings Corp | Customer relationships        
Liabilities assumed:        
Acquisition fair value $ 590      
Weighted average useful lives (in years) 12 years      
Snap One Holdings Corp | Technology        
Liabilities assumed:        
Acquisition fair value $ 110      
Weighted average useful lives (in years) 7 years      
Snap One Holdings Corp | Trademarks        
Liabilities assumed:        
Acquisition fair value $ 70      
Weighted average useful lives (in years) 10 years      
v3.25.4
Segment Financial Data - Additional Information (Details)
$ in Millions
 12 Months Ended
Dec. 31, 2025
USD ($)
segment
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Segment Reporting [Abstract]      
Number of operating segments (segment) 2    
Number of reportable segments (segments) 2    
Capital expenditures in accounts payable | $ $ 25 $ 22 $ 14
v3.25.4
Segment Financial Data - Schedule of Segment Information (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Information      
Net revenue $ 7,472 $ 6,761 $ 6,242
Cost of goods sold 5,276 4,860 4,546
Research and development expenses 167 111 109
Selling, general and administrative expenses 1,266 1,138 960
Intangible asset amortization 122 80 38
Restructuring and impairment costs 16 52 42
Segment income from operations 607 520 547
Products and Solutions      
Segment Reporting Information      
Net revenue 2,688 2,564 2,672
ADI Global Distribution      
Segment Reporting Information      
Net revenue 4,784 4,197 3,570
Operating Segments      
Segment Reporting Information      
Segment income from operations 767 698 684
Operating Segments | Products and Solutions      
Segment Reporting Information      
Net revenue 2,688 2,564 2,672
Cost of goods sold 1,557 1,514 1,640
Research and development expenses 128 94 108
Selling, general and administrative expenses 417 416 428
Intangible asset amortization 26 23 23
Restructuring and impairment costs 5 14 27
Segment income from operations 555 503 446
Operating Segments | ADI Global Distribution      
Segment Reporting Information      
Net revenue 4,784 4,197 3,570
Cost of goods sold 3,719 3,346 2,902
Research and development expenses 39 17 0
Selling, general and administrative expenses 712 566 407
Intangible asset amortization 94 54 11
Restructuring and impairment costs 8 19 12
Segment income from operations $ 212 $ 195 $ 238
v3.25.4
Segment Financial Data - Schedule of Reconciliation of Segment Gross Profit and Segment Income from Operations to Consolidated Income Before Taxes (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Information      
Segment income from operations $ 607 $ 520 $ 547
Selling, general and administrative expenses 1,266 1,138 960
Restructuring, impairment and extinguishment costs 3 19 3
Business separation costs 18 0 0
Indemnification Agreement expense 972 211 178
Other expense (income), net (43) 7 (9)
Interest expense, net 135 81 65
Other corporate items 2 3 9
Net income (loss) before taxes (457) 221 313
Operating Segments      
Segment Reporting Information      
Segment income from operations 767 698 684
Operating Segments | Products and Solutions      
Segment Reporting Information      
Segment income from operations 555 503 446
Selling, general and administrative expenses 417 416 428
Operating Segments | ADI Global Distribution      
Segment Reporting Information      
Segment income from operations 212 195 238
Selling, general and administrative expenses 712 566 407
Corporate activities      
Segment Reporting Information      
Selling, general and administrative expenses $ 137 $ 156 $ 125
v3.25.4
Segment Financial Data - Schedule of Other Significant Segment Items (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Information      
Total capital expenditures $ 116 $ 80 $ 105
Operating Segments      
Segment Reporting Information      
Total capital expenditures 116 80 103
Operating Segments | Products and Solutions      
Segment Reporting Information      
Total capital expenditures 62 55 77
Operating Segments | ADI Global Distribution      
Segment Reporting Information      
Total capital expenditures 54 25 26
Corporate activities      
Segment Reporting Information      
Total capital expenditures $ 0 $ 0 $ 2
v3.25.4
Revenue Recognition - Additional Information (Details)
$ in Millions
 12 Months Ended
Dec. 31, 2025
USD ($)
segment
Dec. 31, 2024
USD ($)
Revenue from Contract with Customer [Abstract]    
Contract liability | $ $ 41 $ 40
Number of operating segments (segment) | segment 2  
v3.25.4
Revenue Recognition - Performance Obligation (Details)
Dec. 31, 2025
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2026-01-01  
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue, remaining performance obligation, expected timing of satisfaction, period (in years) 1 year
v3.25.4
Revenue Recognition - Schedule of Revenue by Business Line and Geographic Location (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Disaggregation of Revenue      
Total net revenue $ 7,472 $ 6,761 $ 6,242
Products and Solutions      
Disaggregation of Revenue      
Total net revenue 2,688 2,564 2,672
Products and Solutions | Safety and Security      
Disaggregation of Revenue      
Total net revenue 963 885 965
Products and Solutions | Air      
Disaggregation of Revenue      
Total net revenue 841 858 862
Products and Solutions | Energy      
Disaggregation of Revenue      
Total net revenue 563 512 525
Products and Solutions | Water      
Disaggregation of Revenue      
Total net revenue 321 309 320
ADI Global Distribution      
Disaggregation of Revenue      
Total net revenue 4,784 4,197 3,570
ADI Global Distribution | Americas      
Disaggregation of Revenue      
Total net revenue 4,189 3,680 3,085
ADI Global Distribution | International      
Disaggregation of Revenue      
Total net revenue $ 595 $ 517 $ 485
v3.25.4
Restructuring - Additional Information (Details)
$ in Millions
 12 Months Ended
Dec. 31, 2025
USD ($)
Restructuring Cost and Reserve  
Restructuring costs expected cost remaining $ 21
Minimum  
Restructuring Cost and Reserve  
Restructuring initiatives execution (in months) 12 months
v3.25.4
Restructuring - Schedule of Restructuring Expenses (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Restructuring Reserve      
Beginning of period $ 31 $ 30 $ 27
Charges 15 41 34
Usage (25) (40) (31)
End of period $ 21 $ 31 $ 30
Restructuring Charges, Statement of Income or Comprehensive Income Flag Restructuring, impairment and extinguishment costs    
v3.25.4
Pension Plans - Schedule of Balance Sheet Impact, Including Benefit Obligations, Assets and Funded Status (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Change in plan assets:      
Defined benefit liability, current $ 2 $ 2  
Defined benefit liability, non-current 92 100  
Pension Plan | U.S. Plans      
Change in benefit obligation:      
Benefit obligation at beginning of year 209 234 $ 281
Service cost 2 2 3
Interest cost 12 12 13
Actuarial losses (gains) 6 (16) 23
Net benefits paid (15) (2) (3)
Settlements and curtailments 0 (21) (83)
Foreign currency translation and other 0 0 0
Benefit obligation at end of year 214 209 234
Change in plan assets:      
Fair value of plan assets at beginning of year 181 197 262
Actual return on plan assets 18 7 20
Employer contributions 10 0 0
Net benefits paid (15) (2) (3)
Settlements and curtailments 0 (21) (83)
Foreign currency translation and other 0 0 1
Fair value of plan assets at end of year 194 181 197
Funded status of plans (20) (28) (37)
Pension Plan | Non-U.S. Plans      
Change in benefit obligation:      
Benefit obligation at beginning of year 98 108 96
Service cost 4 4 4
Interest cost 3 3 3
Actuarial losses (gains) (14) (5) 8
Net benefits paid 0 0 4
Settlements and curtailments (3) (4) (13)
Foreign currency translation and other 12 (8) 6
Benefit obligation at end of year 100 98 108
Change in plan assets:      
Fair value of plan assets at beginning of year 24 26 27
Actual return on plan assets 0 1 1
Employer contributions 3 2 2
Net benefits paid 0 0 4
Settlements and curtailments (3) (4) (11)
Foreign currency translation and other 3 (1) 3
Fair value of plan assets at end of year 27 24 26
Funded status of plans $ (73) $ (74) $ (82)
v3.25.4
Pension Plans - Schedule of Net Periodic Benefit (Income) Cost and Other Amounts Recognized in Comprehensive Income (Details) - Pension Plan - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
U.S. Plans      
Pension liability adjustments      
Service cost $ 2 $ 2 $ 3
Interest cost 12 12 13
Expected return on plan assets (10) (10) (11)
Amortization of actuarial losses (gains) 0 0 2
Other 0 0 5
Net periodic benefit cost (income) 4 4 12
Non-U.S. Plans      
Pension liability adjustments      
Service cost 4 4 4
Interest cost 3 3 3
Expected return on plan assets (1) (1) (1)
Amortization of actuarial losses (gains) (11) 0 0
Other 0 0 (2)
Net periodic benefit cost (income) $ (5) $ 6 $ 4
v3.25.4
Pension Plans - Schedule of Net Periodic Benefit (Income) Cost Other Than The Service Cost Included in Other Expense, Net (Details) - Pension Plan - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
U.S. Plans      
Pension liability adjustments      
Actuarial losses (gains) $ (1) $ (13) $ 14
Actuarial (losses) gains recognized during the year 0 (1) (8)
Other 0 0 1
Total recognized in other comprehensive (income) loss (1) (14) 7
Net periodic benefit cost (income) 4 4 12
Total recognized in net periodic benefit cost (income) and other comprehensive (income) loss 3 (10) 19
Non-U.S. Plans      
Pension liability adjustments      
Actuarial losses (gains) (13) (6) 9
Actuarial (losses) gains recognized during the year 11 0 0
Other (1) 0 (1)
Total recognized in other comprehensive (income) loss (3) (6) 8
Net periodic benefit cost (income) (5) 6 4
Total recognized in net periodic benefit cost (income) and other comprehensive (income) loss $ (8) $ 0 $ 12
v3.25.4
Pension Plans - Schedule of Significant Actuarial Assumptions Used in Determining Benefit Obligations and Net Periodic Benefit (Income) Cost (Details) - Pension Plan
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
U.S. Plans      
Actuarial assumptions used to determine benefit obligations as of December 31:      
Discount rate 5.70% 5.00% 5.20%
Interest crediting rate 6.00% 6.00% 6.00%
Expected annual rate of compensation increase 3.50% 3.50% 3.50%
Actuarial assumptions used to determine net periodic benefit cost (income) for the year ended December 31:      
Discount rate - benefit obligation 5.60% 5.70% 5.00%
Interest crediting rate 6.00% 6.00% 6.00%
Expected rate of return on plan assets 5.70% 5.50% 5.30%
Expected annual rate of compensation increase 3.50% 3.50% 3.50%
Non-U.S. Plans      
Actuarial assumptions used to determine benefit obligations as of December 31:      
Discount rate 3.10% 3.00% 3.40%
Interest crediting rate 2.20% 2.30% 2.50%
Expected annual rate of compensation increase 2.50% 2.70% 2.60%
Actuarial assumptions used to determine net periodic benefit cost (income) for the year ended December 31:      
Discount rate - benefit obligation 3.80% 3.00% 3.00%
Interest crediting rate 0.40% 0.40% 2.20%
Expected rate of return on plan assets 1.10% 1.10% 3.40%
Expected annual rate of compensation increase 2.30% 2.50% 2.70%
v3.25.4
Pension Plans - Additional Information (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Fixed Income Investments      
Pension liability adjustments      
Pension assets allocation targets percentage 35.00%    
Global Equity Investments      
Pension liability adjustments      
Pension assets allocation targets percentage 33.00%    
Global Real Estate Investments      
Pension liability adjustments      
Pension assets allocation targets percentage 12.00%    
Cash And Other Investments      
Pension liability adjustments      
Pension assets allocation targets percentage 20.00%    
U.S. Plans      
Pension liability adjustments      
Contirbution amount year one $ 10    
Contirbution amount year two $ 10    
Pension Plan | U.S. Plans      
Pension liability adjustments      
Expected rate of return on plan assets 5.70% 5.50% 5.30%
Benefit payments through year one $ 18    
Benefit payments through year two 18    
Benefit payments through year three 18    
Benefit payments through year four 17    
Benefit payments through year five 17    
Benefit payments after year five $ 80    
Pension Plan | Non-U.S. Plans      
Pension liability adjustments      
Expected rate of return on plan assets 1.10% 1.10% 3.40%
Benefit payments through year one $ 3    
Benefit payments through year two 4    
Benefit payments through year three 4    
Benefit payments through year four 7    
Benefit payments through year five 4    
Benefit payments after year five $ 26    
v3.25.4
Pension Plans - Schedule of Amounts Relate to Pension Plans with Accumulated Benefit Obligations Exceeding Fair Value of Plan Assets (Details) - Pension Plan - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
U.S. Plans    
Pension liability adjustments    
Projected benefit obligation $ 214 $ 209
Accumulated benefit obligation 212 207
Fair value of plan assets 194 181
Non-U.S. Plans    
Pension liability adjustments    
Projected benefit obligation 93 97
Accumulated benefit obligation 86 89
Fair value of plan assets $ 20 $ 23
v3.25.4
Pension Plans - Schedule of NAV and Fair Values of U.S. Pension Plans Assets by Asset Category (Details) - Pension Plan - U.S. Plans NAV - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Pension liability adjustments        
Total assets at fair value $ 194 $ 181 $ 197 $ 262
NAV        
Pension liability adjustments        
Total assets at fair value 194 181    
NAV | Cash and cash equivalents        
Pension liability adjustments        
Total assets at fair value 3 2    
NAV | Equity        
Pension liability adjustments        
Total assets at fair value 64 58    
NAV | Government bonds        
Pension liability adjustments        
Total assets at fair value 16 10    
NAV | Corporate bonds        
Pension liability adjustments        
Total assets at fair value 52 50    
NAV | Real estate / property        
Pension liability adjustments        
Total assets at fair value 23 22    
NAV | Other        
Pension liability adjustments        
Total assets at fair value $ 36 $ 39    
v3.25.4
Pension Plans - Schedule of Fair Values of Non-U.S. Pension Plans Assets by Asset Category (Details) - Pension Plan - Non-U.S. Plans - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Pension liability adjustments        
Total assets at fair value $ 27 $ 24 $ 26 $ 27
Equity        
Pension liability adjustments        
Total assets at fair value 8 7    
Government bonds        
Pension liability adjustments        
Total assets at fair value 6 5    
Insurance contracts        
Pension liability adjustments        
Total assets at fair value 7 6    
Other        
Pension liability adjustments        
Total assets at fair value 6 6    
Level 1        
Pension liability adjustments        
Total assets at fair value 8 7    
Level 1 | Equity        
Pension liability adjustments        
Total assets at fair value 8 7    
Level 1 | Government bonds        
Pension liability adjustments        
Total assets at fair value 0 0    
Level 1 | Insurance contracts        
Pension liability adjustments        
Total assets at fair value 0 0    
Level 1 | Other        
Pension liability adjustments        
Total assets at fair value 0 0    
Level 2        
Pension liability adjustments        
Total assets at fair value 6 5    
Level 2 | Equity        
Pension liability adjustments        
Total assets at fair value 0 0    
Level 2 | Government bonds        
Pension liability adjustments        
Total assets at fair value 6 5    
Level 2 | Insurance contracts        
Pension liability adjustments        
Total assets at fair value 0 0    
Level 2 | Other        
Pension liability adjustments        
Total assets at fair value 0 0    
Level 3        
Pension liability adjustments        
Total assets at fair value 13 12    
Level 3 | Equity        
Pension liability adjustments        
Total assets at fair value 0 0    
Level 3 | Government bonds        
Pension liability adjustments        
Total assets at fair value 0 0    
Level 3 | Insurance contracts        
Pension liability adjustments        
Total assets at fair value 7 6    
Level 3 | Other        
Pension liability adjustments        
Total assets at fair value $ 6 $ 6    
v3.25.4
Stock-Based Compensation Plans - Additional Information (Details) - USD ($)
$ / shares in Units, $ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award      
Shares available for issuance (in shares) 27,800,000    
Number of shares available for grant (in shares) 7,600,000    
Stock-based compensation expense, net of tax $ 59 $ 64 $ 43
Proceeds from stock options exercised $ 7 $ 0 $ 0
Restricted Stock      
Share-based Compensation Arrangement by Share-based Payment Award      
Vesting period (in years) 3 years    
Restricted Stock Units (“RSUs”)      
Share-based Compensation Arrangement by Share-based Payment Award      
Granted (in dollars per share) $ 22.25 $ 19.59 $ 18.79
Restricted Stock Units (“RSUs”) | Non-Employee Directors      
Share-based Compensation Arrangement by Share-based Payment Award      
Vesting period (in years) 1 year    
PSUs      
Share-based Compensation Arrangement by Share-based Payment Award      
Vesting period (in years) 3 years    
Granted (in dollars per share) $ 25.56 $ 27.94 $ 29.89
PSUs | Minimum      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based payment arrangement, option, percentage of target awards that may be issued 0.00%    
PSUs | Maximum      
Share-based Compensation Arrangement by Share-based Payment Award      
Share-based payment arrangement, option, percentage of target awards that may be issued 200.00%    
Stock Options      
Share-based Compensation Arrangement by Share-based Payment Award      
Vesting period (in years) 3 years    
Expiration period (in years) 7 years    
v3.25.4
Stock-Based Compensation Plans - Schedule of PSU's (Details)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Minimum      
Share-based Compensation Arrangement by Share-based Payment Award      
Expected term of options (in years)   2 years 4 months 20 days  
PSUs      
Share-based Compensation Arrangement by Share-based Payment Award      
Expected stock price volatility (as percentage) 45.20%   63.40%
Expected volatility, minimum   45.90%  
Expected volatility, maximum   47.60%  
Risk-free interest rate (as percentage) 4.30%   4.20%
Risk-free interest rate (as percentage), minimum   3.90%  
Risk-free interest rate (as percentage), maximum   4.30%  
Expected term of options (in years) 2 years 10 months 17 days   2 years 10 months 17 days
Dividend yield (as percentage) 0.00% 0.00% 0.00%
PSUs | Maximum      
Share-based Compensation Arrangement by Share-based Payment Award      
Expected term of options (in years)   2 years 10 months 24 days  
v3.25.4
Stock-Based Compensation Plans - Schedule of RSU and PSU Activity Related to Stock Incentive Plan (Details) - $ / shares
shares in Thousands
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
PSUs      
Number of Stock Units Granted      
Non-vested, beginning balance (in shares) 1,680    
Number of stock units granted (in shares) 237    
Vested (in shares) (341)    
Forfeited (in shares) (311)    
Non-vested, ending balance (in shares) 1,265 1,680  
Weighted average grant date fair value per share      
Non-vested, beginning balance (in dollars per share) $ 31.33    
Granted (in dollars per share) 25.56 $ 27.94 $ 29.89
Vested (in dollars per share) 36.11    
Forfeited (in dollars per share) 33.12    
Non-vested, ending balance (in dollars per share) $ 28.51 $ 31.33  
Restricted Stock Units (“RSUs”)      
Number of Stock Units Granted      
Non-vested, beginning balance (in shares) 5,749    
Number of stock units granted (in shares) 2,263    
Vested (in shares) (2,704)    
Forfeited (in shares) (537)    
Non-vested, ending balance (in shares) 4,771 5,749  
Weighted average grant date fair value per share      
Non-vested, beginning balance (in dollars per share) $ 19.65    
Granted (in dollars per share) 22.25 $ 19.59 $ 18.79
Vested (in dollars per share) 19.97    
Forfeited (in dollars per share) 19.24    
Non-vested, ending balance (in dollars per share) $ 20.75 $ 19.65  
v3.25.4
Stock-Based Compensation Plans - Unrecognized Compensation Cost Related to Unvested Awards (Details)
$ in Millions
 12 Months Ended
Dec. 31, 2025
USD ($)
Share-based Compensation Arrangement by Share-based Payment Award  
Unrecognized Compensation Cost $ 71
RSUs  
Share-based Compensation Arrangement by Share-based Payment Award  
Unrecognized Compensation Cost $ 61
Weighted-Average Period (in years) 1 year 8 months
PSUs  
Share-based Compensation Arrangement by Share-based Payment Award  
Unrecognized Compensation Cost $ 10
Weighted-Average Period (in years) 11 months
v3.25.4
Stock-Based Compensation Plans - Fair Value of Shares Vested (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award      
Fair value of RSUs and PSUs vested $ 74 $ 47 $ 43
Restricted Stock Units (“RSUs”)      
Share-based Compensation Arrangement by Share-based Payment Award      
Fair value of RSUs and PSUs vested 67 47 29
PSUs      
Share-based Compensation Arrangement by Share-based Payment Award      
Fair value of RSUs and PSUs vested $ 7 $ 0 $ 14
v3.25.4
Stock-Based Compensation Plans - Schedule of Stock Option Activity (Details) - USD ($)
$ / shares in Units, $ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Number of Stock Options (in thousands)    
Options outstanding, beginning balances (in shares) 1,006,000  
Expired (in shares) (28,000)  
Exercised (in shares) (608,000)  
Options outstanding, ending balances (in shares) 370,000 1,006,000
Weighted Average Exercise Price    
Options outstanding, beginning balance (in dollars per share) $ 14.34  
Expired (in dollars per share) 24.39  
Exercised (in dollars per share) 17.15  
Options outstanding, ending balance (in dollars per share) $ 8.97 $ 14.34
Stock Options Additional Disclosures    
Weighted Average Contractual Life (in years) 1 year 4 months 24 days 2 years 3 months 18 days
Aggregate Intrinsic Value of shares outstanding $ 10 $ 9
v3.25.4
Goodwill and Intangible Assets, net - Schedule of Goodwill (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Goodwill    
Goodwill, beginning balance $ 3,072 $ 2,705
Acquisitions   405
Divestitures (26)  
Adjustments (9)  
Impact of foreign currency translation 63 (38)
Goodwill, ending balance 3,100 3,072
Products and Solutions    
Goodwill    
Goodwill, beginning balance 2,015 2,045
Acquisitions   0
Divestitures (26)  
Adjustments 0  
Impact of foreign currency translation 47 (30)
Goodwill, ending balance 2,036 2,015
ADI Global Distribution    
Goodwill    
Goodwill, beginning balance 1,057 660
Acquisitions   405
Divestitures 0  
Adjustments (9)  
Impact of foreign currency translation 16 (8)
Goodwill, ending balance $ 1,064 $ 1,057
v3.25.4
Goodwill and Intangible Assets, net - Schedule of Intangible Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]    
Intangible assets subject to amortization $ 911 $ 996
Indefinite-lived intangible assets 180 180
Total intangible assets $ 1,091 $ 1,176
v3.25.4
Goodwill and Intangible Assets, net - Schedule of Other Intangible Assets With Finite Lives (Detail) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Finite Lived Intangible Assets    
Gross Carrying Amount $ 1,417 $ 1,371
Accumulated Amortization (506) (375)
Net Carrying Amount 911 996
Patents and technology    
Finite Lived Intangible Assets    
Gross Carrying Amount 170 170
Accumulated Amortization (63) (41)
Net Carrying Amount $ 107 $ 129
Patents and technology | Minimum    
Finite Lived Intangible Assets    
Useful lives (in years) 5 years 5 years
Patents and technology | Maximum    
Finite Lived Intangible Assets    
Useful lives (in years) 10 years 10 years
Patents and technology | Weighted Average    
Finite Lived Intangible Assets    
Useful lives (in years) 8 years 8 years
Customer relationships    
Finite Lived Intangible Assets    
Gross Carrying Amount $ 912 $ 901
Accumulated Amortization (253) (177)
Net Carrying Amount $ 659 $ 724
Customer relationships | Minimum    
Finite Lived Intangible Assets    
Useful lives (in years) 7 years 7 years
Customer relationships | Maximum    
Finite Lived Intangible Assets    
Useful lives (in years) 15 years 15 years
Customer relationships | Weighted Average    
Finite Lived Intangible Assets    
Useful lives (in years) 13 years 13 years
Trademarks    
Finite Lived Intangible Assets    
Gross Carrying Amount $ 79 $ 78
Accumulated Amortization (20) (12)
Net Carrying Amount $ 59 $ 66
Trademarks | Minimum    
Finite Lived Intangible Assets    
Useful lives (in years) 5 years 5 years
Trademarks | Maximum    
Finite Lived Intangible Assets    
Useful lives (in years) 10 years 10 years
Trademarks | Weighted Average    
Finite Lived Intangible Assets    
Useful lives (in years) 10 years 10 years
Software    
Finite Lived Intangible Assets    
Gross Carrying Amount $ 256 $ 222
Accumulated Amortization (170) (145)
Net Carrying Amount $ 86 $ 77
Software | Minimum    
Finite Lived Intangible Assets    
Useful lives (in years) 3 years 2 years
Software | Maximum    
Finite Lived Intangible Assets    
Useful lives (in years) 7 years 12 years
Software | Weighted Average    
Finite Lived Intangible Assets    
Useful lives (in years) 5 years 5 years
v3.25.4
Goodwill and Intangible Assets, net - Additional Information (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]      
Intangible asset amortization $ 122 $ 80 $ 38
v3.25.4
Goodwill and Intangible Assets, net - Schedule of Estimated Aggregate Amortization on Intangible Assets (Details)
$ in Millions
Dec. 31, 2025
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
2026 $ 119
2027 110
2028 106
2029 96
2030 $ 85
v3.25.4
Leases - Schedule of Operating Lease Costs (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Lessee Lease Description      
Total operating lease costs $ 101 $ 85 $ 77
Selling, general and administrative expenses      
Lessee Lease Description      
Total operating lease costs 82 69 57
Cost of goods sold      
Lessee Lease Description      
Total operating lease costs $ 19 $ 16 $ 20
v3.25.4
Leases - Additional Information (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]      
Variable lease costs $ 18 $ 17 $ 22
v3.25.4
Leases - Schedule of Lease Recognized Related to Operating Leases (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Leases [Abstract]    
Operating lease assets $ 327 $ 248
Current operating lease liability 57 51
Operating lease liabilities - non-current $ 289 $ 212
Operating Lease, Right-of-Use Asset, Statement of Financial Position Flag Other assets Other assets
Operating Lease, Liability, Current, Statement of Financial Position Flag Total accrued liabilities Total accrued liabilities
Operating Lease, Liability, Noncurrent, Statement of Financial Position Flag Other liabilities Other liabilities
Weighted-average remaining lease term (years) 6 years 10 months 20 days 5 years 11 months 12 days
Weighted-average incremental borrowing rate (as a percent) 6.36% 6.08%
v3.25.4
Leases - Schedule of Maturities of Operating Lease Liabilities (Details)
$ in Millions
Dec. 31, 2025
USD ($)
Leases [Abstract]  
2026 $ 72
2027 70
2028 62
2029 48
2030 40
Thereafter 137
Total lease payments 429
Less: Imputed interest (83)
Present value of operating lease liabilities $ 346
v3.25.4
Leases - Schedule of Supplemental Cash Flow Information Related to Operating Leases (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Lessee Lease Description      
Cash paid for operating lease liabilities $ 69 $ 41 $ 36
Non-cash activities: operating lease assets obtained in exchange for new operating lease liabilities $ 126 116 $ 39
Snap One Holdings Corp      
Lessee Lease Description      
Non-cash activities: operating lease assets obtained in exchange for new operating lease liabilities   $ 61  
v3.25.4
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Aug. 31, 2025
Dec. 31, 2024
Jul. 31, 2024
Aug. 31, 2021
Debt Instrument          
Total $ 3,231   $ 2,015    
Less: current portion of long-term debt (18)   (6)    
Less: unamortized deferred financing costs (46)   (26)    
Total long-term debt $ 3,167   1,983    
Senior Notes          
Debt Instrument          
Total   $ 1,222      
4.000% Senior Notes due 2029 | Senior Notes          
Debt Instrument          
Interest rate (as a percent) 4.00%       4.00%
Total $ 300   300    
6.500% Senior Notes due 2032 | Senior Notes          
Debt Instrument          
Interest rate (as a percent) 6.50%     6.50%  
Total $ 600   600    
Variable rate A&R Term B Facility | Senior Notes          
Debt Instrument          
Total $ 2,331   $ 1,115    
v3.25.4
Long-Term Debt - Scheduled Principal Repayments Under Senior Credit Facilities and Senior Notes (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Debt Disclosure [Abstract]    
2026 $ 18  
2027 18  
2028 536  
2029 318  
2030 18  
Thereafter 2,323  
Total $ 3,231 $ 2,015
v3.25.4
Long-Term Debt - Additional Information (Details) - USD ($)
 1 Months Ended 12 Months Ended
Jun. 30, 2023
Aug. 31, 2025
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Jul. 31, 2024
Aug. 31, 2021
Debt Instrument              
Proceeds from issuance of long-term debt, net     $ 1,198,000,000 $ 1,176,000,000 $ 0    
Interest paid, net of swaps     $ 136,000,000 $ 78,000,000 $ 80,000,000    
4.000% Senior Notes due 2029              
Debt Instrument              
Redemption price percentage     101.00%        
4.000% Senior Notes due 2029 | Senior Notes              
Debt Instrument              
Principal amount issued             $ 300,000,000
Interest rate (as a percent)     4.00%       4.00%
6.5% of Senior Unsecured Notes Due 2032 | Senior Notes              
Debt Instrument              
Principal amount issued           $ 600,000,000  
Interest rate (as a percent)     6.50%     6.50%  
A&R Term B Facility              
Debt Instrument              
Weighted average interest rate (as a percent)     5.76% 6.13%      
A&R Term B Facility | A&R Revolving Credit Facility              
Debt Instrument              
Principal amount issued   $ 1,225,000,000          
Proceeds from issuance of long-term debt, net   $ 1,198,000,000          
Prepayment premium payable (as a percent)   1.00%          
Debt instrument, basis spread on variable rate (as a percent)   2.00%          
Amended And Restated Term B Facility February 2028 | A&R Revolving Credit Facility              
Debt Instrument              
Principal amount issued   $ 518,000,000          
Amended And Restated Term B Facility May 2031 | A&R Revolving Credit Facility              
Debt Instrument              
Principal amount issued   $ 591,000,000          
A&R Revolving Credit Facility | A&R Revolving Credit Facility              
Debt Instrument              
Principal amount issued $ 500,000,000            
Credit facilities term (in years) 5 years            
A&R Revolving Credit Facility | Senior Credit Facilities              
Debt Instrument              
Borrowings from credit facility     $ 0 $ 0      
A&R Revolving Credit Facility | A&R Credit Agreement | Maximum              
Debt Instrument              
Borrowings from credit facility     75,000,000        
Letter of Credit | Senior Credit Facilities              
Debt Instrument              
Borrowings from credit facility     $ 0 $ 0      
Revolving Credit Facility | Minimum | Line of Credit              
Debt Instrument              
Line of credit facility, commitment fee (as percent)     0.25%        
Revolving Credit Facility | Maximum | Line of Credit              
Debt Instrument              
Line of credit facility, commitment fee (as percent)     0.35%        
v3.25.4
Derivative Financial Instruments - Additional Information (Details)
$ in Millions
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Mar. 31, 2021
derivative
Derivative        
Fixed weighted average rate (as percent) 0.39%      
Maximum        
Derivative        
Fixed weighted average rate (as percent) 1.57%      
Interest rate derivatives        
Derivative        
Number of interest rate derivatives held | derivative       8
Notional value $ 280 $ 560 $ 70  
Interest Rate Swap I        
Derivative        
Notional value     70  
Interest Rate Swap II        
Derivative        
Notional value     70  
Interest Rate Swap III        
Derivative        
Notional value     70  
Interest Rate Swap IV        
Derivative        
Notional value     70  
Interest Rate Swap V        
Derivative        
Notional value     70  
Interest Rate Swap VI        
Derivative        
Notional value     $ 70  
Interest Rate Cap        
Derivative        
Notional value   $ 342    
Strike rate (as a percent)   4.79%    
Premium value   $ 7    
v3.25.4
Derivative Financial Instruments - Schedule of Derivative Instruments in Statement of Financial Position (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Derivative    
Total derivative assets designated as hedging instruments $ 3 $ 13
Accumulated other comprehensive income (loss) $ (157) (284)
Derivative Asset, Current, Statement of Financial Position Flag Other current assets  
Derivative Asset, Statement of Financial Position Flag Other assets  
Designated as Hedging Instrument | Interest rate derivatives    
Derivative    
Total derivative liabilities designated as hedging instruments $ 0 6
Other current assets | Designated as Hedging Instrument | Interest rate derivatives    
Derivative    
Total derivative assets designated as hedging instruments 2 10
Other assets | Designated as Hedging Instrument | Interest rate derivatives    
Derivative    
Total derivative assets designated as hedging instruments 1 3
Accumulated other comprehensive income (loss)    
Derivative    
Accumulated other comprehensive income (loss) $ 0 $ 8
v3.25.4
Derivative Financial Instruments - Schedule of Effect of Derivative Instruments Designated as Cash Flow Hedges (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Derivatives used in Net Investment Hedge, Net of Tax    
Beginning of period $ 3,309 $ 2,749
End of period 2,917 3,309
Accumulated other comprehensive income (loss)    
Derivatives used in Net Investment Hedge, Net of Tax    
Beginning of period 8 25
Current period losses recognized in/reclassified from other comprehensive income (loss) (10) (16)
Gains reclassified from accumulated other comprehensive income (loss) to net income (loss) 2 (1)
End of period $ 0 $ 8
v3.25.4
Fair Value - Schedule of Carrying Values and Estimated Fair Values of Debt Instruments (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Jul. 31, 2024
Aug. 31, 2021
Debt Instrument        
Carrying Value $ 3,231 $ 2,015    
Fair Value $ 3,245 1,993    
4.000% Senior Notes due 2029 | Senior Notes        
Debt Instrument        
Interest rate (as a percent) 4.00%     4.00%
Carrying Value $ 300 300    
Fair Value $ 291 272    
6.500% Senior Notes due 2032 | Senior Notes        
Debt Instrument        
Interest rate (as a percent) 6.50%   6.50%  
Carrying Value $ 600 600    
Fair Value 615 602    
Variable rate A&R Term B Facility | Senior Notes        
Debt Instrument        
Carrying Value 2,331 1,115    
Fair Value $ 2,339 $ 1,119    
v3.25.4
Fair Value - Additional Information (Details) - Senior Credit Facilities - USD ($)
Dec. 31, 2025
Dec. 31, 2024
A&R Revolving Credit Facility    
Debt Instrument    
Borrowings from credit facility $ 0 $ 0
Letter of Credit    
Debt Instrument    
Borrowings from credit facility $ 0 $ 0
v3.25.4
Fair Value - Schedule of the Carrying Amount and Fair Value of Interest Rate Swap (Details) - Level 2 - Interest rate derivatives - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Assets:    
Assets, Carrying Value $ 3 $ 13
Assets, Fair Value 3 13
Liabilities:    
Liabilities, Carrying Value 0 6
Liabilities, Fair Value $ 0 $ 6
v3.25.4
Accrued Liabilities (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Accrued liabilities    
Compensation, benefit and other employee-related $ 137 $ 131
Customer rebate reserve 129 112
Current operating lease liability 57 51
Current obligations payable under the Indemnification Agreement 0 140
Other 301 283
Total accrued liabilities $ 624 $ 717
v3.25.4
Commitments and Contingencies - Additional Information (Details) - USD ($)
$ in Millions
 1 Months Ended 3 Months Ended 12 Months Ended
Aug. 31, 2025
Sep. 27, 2025
Jun. 28, 2025
Mar. 29, 2025
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Oct. 29, 2018
Loss Contingencies                
Environmental loss contingency, statement of financial position flag         Cost of goods sold      
Environmental liabilities         $ 22 $ 22    
Purchase obligations         178      
Purchase Commitments                
Loss Contingencies                
Purchase obligations         220 276 $ 91  
Indemnification Agreement                
Loss Contingencies                
Maximum annual reimbursement obligation amount         $ 25      
Honeywell                
Loss Contingencies                
Installment payments for indemnification liability   $ 35 $ 35 $ 35        
Payments to settle indemnification agreement $ 1,590              
Honeywell | Trademark Agreement                
Loss Contingencies                
Trademark license agreement (in years)         40 years      
Royalty fee on net revenue         1.50%      
Royalty expense         $ 16 $ 18 $ 18  
Honeywell | Indemnification Agreement | Maximum                
Loss Contingencies                
Indemnity liability annual cap               $ 140
v3.25.4
Commitments and Contingencies - Schedule of Reimbursement Agreement Liabilities (Details) - Honeywell - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Accrual for Reimbursement Agreement    
Beginning balance $ 814 $ 749
Accruals for liabilities deemed probable and reasonably estimable 969 209
Payments to Honeywell (1,695) (144)
Ending balance 88 814
Indemnification Agreement    
Accrual for Reimbursement Agreement    
Beginning balance 723 652
Accruals for liabilities deemed probable and reasonably estimable 972 211
Payments to Honeywell (1,695) (140)
Ending balance 0 723
Tax Matters Agreement    
Accrual for Reimbursement Agreement    
Beginning balance 91 97
Accruals for liabilities deemed probable and reasonably estimable (3) (2)
Payments to Honeywell 0 (4)
Ending balance $ 88 $ 91
v3.25.4
Commitments and Contingencies - Schedule of Reimbursement Agreement Liabilities Included in Balance Sheet Accounts (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Loss Contingency, Classification of Accrual      
Non-current obligations payable under the Indemnification Agreement $ 0 $ 583  
Honeywell      
Loss Contingency, Classification of Accrual      
Accrued liabilities 0 140  
Other liabilities 88 91  
Total indemnification liabilities 88 814 $ 749
Honeywell | Obligations Payable Under Indemnification Agreements      
Loss Contingency, Classification of Accrual      
Non-current obligations payable under the Indemnification Agreement $ 0 $ 583  
v3.25.4
Commitments and Contingencies - Schedule of Recorded Obligations for Product Warranties and Product Performance Guarantee (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Product Warranties and Guarantees      
Beginning balance $ 35 $ 34 $ 48
Accruals for warranties/guarantees issued during the year 30 31 24
Settlement/adjustment of warranty/guarantee claims (29) (30) (38)
Ending balance $ 36 $ 35 $ 34
v3.25.4
Commitments and Contingencies - Schedule of Purchase Commitments (Details)
$ in Millions
Dec. 31, 2025
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
2026 $ 130
2027 31
2028 9
2029 8
2030 and thereafter 0
Total $ 178
v3.25.4
Stockholders’ Equity (Details) - USD ($)
 12 Months Ended
Jun. 14, 2024
Dec. 31, 2025
Dec. 31, 2024
Aug. 03, 2023
Class of Stock        
Preferred stock, shares issued (in shares) 500,000   500,000  
Preferred stock, purchase price $ 500,000,000 $ 482,000,000 $ 482,000,000  
Direct and incremental expenses $ 18,000,000      
Preferred stock, per share conversion price (in dollar per share) $ 26.92      
Preferred stock, coupon rate (as a percent) 7.00%      
Stock trading price exceeds (as a percent) 200.00%      
Preferred stock redemption rate upon change of control (as a percent) 150.00%      
Preferred stock redemption rate (as a percent) 100.00%      
Minimum        
Class of Stock        
Number of trailing days, trigger 20 days      
Maximum        
Class of Stock        
Number of trailing days, trigger 30 days      
Common Stock        
Class of Stock        
Common stock repurchases (in shares)   0 100,000  
Common stock repurchases     $ 1,000,000  
Share Repurchase Program        
Class of Stock        
Stock repurchase program, authorized amount       $ 150,000,000
Share Repurchase Program | Common Stock        
Class of Stock        
Remaining authorized repurchase amount   $ 108,000,000    
v3.25.4
Income Taxes - Schedule of Income Before Taxes (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Abstract]      
U.S. $ (793) $ (65) $ 76
Non-U.S. 336 286 237
Net income (loss) before taxes $ (457) $ 221 $ 313
v3.25.4
Income Taxes - Schedule of Components of Income Tax Expense (Benefit) (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Current:      
U.S. federal $ 4 $ 76 $ 80
U.S. state and local 4    
Non-U.S. 54 60 51
Total current 62 136 131
Deferred:      
U.S. federal (14) (23) (6)
U.S. state and local 3    
Non-U.S. 19 (8) (22)
Total deferred 8 (31) (28)
Total income tax expense:      
U.S. federal (10)    
U.S. state and local 7    
Non-U.S. 73    
Total provision $ 70 $ 105 $ 103
v3.25.4
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation, Income Tax expense (Benefit) (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
$      
Federal statutory tax rate $ (96)    
State and local income taxes, net of federal income tax effect 7    
Effect of cross-border tax laws 3    
Tax credits (5)    
Nontaxable or nondeductible items      
Non-deductible Indemnification Agreement costs 204    
Interest expense deduction (61)    
§162(m) excess officer compensation 6    
Other 4    
Changes in unrecognized tax benefits 8    
Total provision $ 70 $ 105 $ 103
%      
Federal statutory tax rate 21.00% 21.00% 21.00%
State and local income taxes, net of federal income tax effect (1.50%) 4.90% 4.40%
Impact of foreign operations   (0.90%) (0.90%)
Executive compensation over $1 million   2.40% 1.60%
U.S. taxation of foreign earnings   3.10% 2.80%
Tax credits 1.10% (2.30%) (0.80%)
Change in tax basis in foreign assets   (0.90%) (6.50%)
Other   1.80% 0.20%
Effect of cross-border tax laws (0.70%)    
Tax credits (1.10%) 2.30% 0.80%
Nontaxable or nondeductible items      
Non-deductible Indemnification Agreement costs (44.50%) 18.10% 10.90%
Interest expense deduction 13.40%    
§162(m) excess officer compensation (1.30%)    
Other (0.90%)    
Changes in unrecognized tax benefits (1.80%)    
Effective income tax rate (15.30%) 47.20% 32.70%
Switzerland      
$      
Cantonal tax $ 16    
Foreign tax effects (34)    
Other $ 2    
%      
Cantonal tax (3.50%)    
Impact of foreign operations 7.40%    
Other (0.40%)    
Germany      
$      
Other $ 3    
Changes in valuation allowances $ 6    
%      
Other (0.70%)    
Changes in valuation allowances (1.30%)    
Other foreign jurisdictions      
$      
Foreign tax effects $ 8    
%      
Impact of foreign operations (1.80%)    
U.S. Plans      
$      
Changes in valuation allowances $ (1)    
%      
Changes in valuation allowances 0.20%    
v3.25.4
Income Taxes - Schedule of Deferred Tax Liabilities and Assets (Details) - USD ($)
$ in Millions
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Deferred tax assets:        
Pension $ 14 $ 17    
Intangibles 29 27    
Other asset basis differences 43 44    
Operating lease liabilities 89 60    
Employee compensation and benefits 29 30    
Inventory costing and related reserves 16 15    
Capitalized research and development 2 56    
Other accruals and reserves 28 27    
§163(j) carryforward 63 13    
Net operating losses, capital losses, and tax credits 104 81    
Other 12 18    
Gross deferred tax assets 429 388    
Valuation allowance (93) (86) $ (75) $ (63)
Total deferred tax assets 336 302    
Deferred tax liabilities:        
Intangibles (191) (191)    
Property, plant and equipment (10) (9)    
Operating lease assets (84) (56)    
Other (6) (10)    
Total deferred tax liabilities (291) (266)    
Net deferred tax asset $ 45 $ 36    
v3.25.4
Income Taxes - Additional Information (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Taxes        
Valuation allowance $ 93 $ 86 $ 75 $ 63
Net operating loss carryforwards 63      
Undistributed earnings from foreign subsidiaries 1,600      
Undistributed earnings from foreign subsidiaries not considered indefinitely reinvested 1,100      
Unrecognized tax benefits 35 24 22 $ 22
Accrued interest and penalties expense 2 2    
Taxes paid, net of refunds 93 $ 162 $ 123  
Non-U.S.        
Income Taxes        
Operating carryforward not subject to expiration 58      
Operating carryforward subject to expiration $ 5      
v3.25.4
Income Taxes - Schedule of Valuation Allowance (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Valuation Allowance, Deferred Taxes      
Beginning balance $ 86 $ 75 $ 63
Additions / (Subtractions) 7 11 12
Ending balance $ 93 $ 86 $ 75
v3.25.4
Income Taxes - Unrecognized Tax Benefits (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Unrecognized Tax Benefits      
Unrecognized tax benefits at beginning of year $ 24 $ 22 $ 22
Decreases related to positions taken on items from prior years 0 0 (1)
Increases related to positions taken in the current year 16 8 5
Decreases due to expiration of statutes of limitations (5) (6) (4)
Unrecognized tax benefits at end of year $ 35 $ 24 $ 22
v3.25.4
Income Taxes - Net of Refunds, Disaggregated by Jurisdiction (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Paid, by Individual Jurisdiction [Line Items]      
U.S. federal $ 20    
U.S. state and local 16    
Total income tax payments, net of refunds 93 $ 162 $ 123
Canada      
Income Tax Paid, by Individual Jurisdiction [Line Items]      
Foreign 7    
Mexico      
Income Tax Paid, by Individual Jurisdiction [Line Items]      
Foreign 13    
Switzerland      
Income Tax Paid, by Individual Jurisdiction [Line Items]      
Foreign 26    
Other foreign jurisdictions      
Income Tax Paid, by Individual Jurisdiction [Line Items]      
Foreign $ 11    
v3.25.4
Earnings (Loss) Per Common Share - Schedule of Computation of Basic and Diluted Earnings Per Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Numerator for basic and diluted earnings (loss) per common share:      
Net income (loss) $ (527) $ 116 $ 210
Less: preferred stock dividends 35 19 0
Less: undistributed income allocated to preferred stockholders 0 6 0
Net income (loss) available to common stockholders, basic (562) 91 210
Net income (loss) available to common stockholders, diluted $ (562) $ 91 $ 210
Denominator for basic and diluted earnings (loss) per common share:      
Basic (in shares) 149 146 147
Plus: dilutive effect of common stock equivalents (in shares) 0 3 1
Weighted average diluted number of common shares outstanding (in shares) 149 149 148
Earnings (loss) per common share      
Basic (in dollars per share) $ (3.77) $ 0.62 $ 1.43
Diluted (in dollars per share) $ (3.77) $ 0.61 $ 1.42
v3.25.4
Earnings (Loss) Per Common Share - Schedule of Potentially Dilutive Instruments (Details) - shares
shares in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
RSUs and other rights      
Antidilutive Securities Excluded from Computation of Earnings Per Share      
Purchase of outstanding common stock were anti-dilutive (in shares) 5.9 0.7 1.5
PSUs      
Antidilutive Securities Excluded from Computation of Earnings Per Share      
Purchase of outstanding common stock were anti-dilutive (in shares) 2.5 0.7 1.2
Preferred stock      
Antidilutive Securities Excluded from Computation of Earnings Per Share      
Purchase of outstanding common stock were anti-dilutive (in shares) 0.5 0.3 0.0
v3.25.4
Geographic Areas - Financial Data - Schedule of Geographic Areas (Details) - USD ($)
$ in Millions
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Revenues From External Customers And Long Lived Assets      
Net revenue $ 7,472 $ 6,761 $ 6,242
Long-lived assets 774 658 582
U.S.      
Revenues From External Customers And Long Lived Assets      
Net revenue 5,817 5,232 4,720
Long-lived assets 494 412 332
U.S. | Export Sales      
Revenues From External Customers And Long Lived Assets      
Net revenue 66 57 41
Europe      
Revenues From External Customers And Long Lived Assets      
Net revenue 1,098 1,046 1,065
Long-lived assets 159 138 143
Other International      
Revenues From External Customers And Long Lived Assets      
Net revenue 557 483 457
Long-lived assets $ 121 $ 108 $ 107