RESIDEO TECHNOLOGIES, INC., 10-Q filed on 5/6/2025
Quarterly Report
v3.25.1
Cover - shares
 3 Months Ended
Mar. 29, 2025
Apr. 28, 2025
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Mar. 29, 2025  
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 $0.001 per share  
Trading Symbol REZI  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   148,503,534
Amendment Flag false  
Document Fiscal Period Focus Q1  
Current Fiscal Year End Date --12-31  
Document Fiscal Period Focus 2025  
Entity Central Index Key 0001740332  
v3.25.1
Consolidated Balance Sheets - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Current assets:    
Cash and cash equivalents $ 577 $ 692
Accounts receivable, net 1,045 1,023
Inventories, net 1,228 1,237
Other current assets 211 220
Total current assets 3,061 3,172
Property, plant and equipment, net 411 410
Goodwill 3,084 3,072
Intangible assets, net 1,157 1,176
Other assets 361 369
Total assets 8,074 8,199
Current liabilities:    
Accounts payable 971 1,073
Accrued liabilities 607 717
Total current liabilities 1,578 1,790
Long-term debt 1,983 1,983
Obligations payable under Indemnification Agreements 728 674
Other liabilities 438 443
Total liabilities 4,727 4,890
COMMITMENTS AND CONTINGENCIES
Stockholders’ equity    
Preferred stock, $0.001 par value: 100 shares authorized, 0.5 shares issued and outstanding at March 29, 2025 and December 31, 2024 482 482
Common stock, $0.001 par value: 700 shares authorized, 156 and 148 shares issued and outstanding at March 29, 2025, respectively, and 154 and 147 shares issued and outstanding at December 31, 2024, respectively 0 0
Additional paid-in capital 2,333 2,315
Retained earnings 904 907
Accumulated other comprehensive loss, net (246) (284)
Treasury stock at cost (126) (111)
Total stockholders’ equity 3,347 3,309
Total liabilities and stockholders’ equity $ 8,074 $ 8,199
v3.25.1
Consolidated Balance Sheets (Parenthetical) - $ / shares
Mar. 29, 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) 500,000 500,000
Preferred stock, shares outstanding (in shares) 500,000 500,000
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) 156,000,000 154,000,000
Common stock, shares outstanding (in shares) 148,000,000 147,000,000
v3.25.1
Consolidated Statements of Operations - USD ($)
shares in Millions, $ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Income Statement [Abstract]    
Net revenue $ 1,770 $ 1,486
Cost of goods sold 1,259 1,086
Gross profit 511 400
Operating expenses:    
Research and development expenses 35 25
Selling, general and administrative expenses 306 231
Intangible asset amortization 30 9
Restructuring expenses 4 7
Total operating expenses 375 272
Income from operations 136 128
Other expenses, net 96 42
Interest expense, net 25 13
Income before taxes 15 73
Provision for income taxes 9 30
Net income 6 43
Less: preferred stock dividends 9 0
Net (loss) income available to common stockholders, basic (3) 43
Net (loss) income available to common stockholders, diluted $ (3) $ 43
Net (loss) income per common share:    
Basic (in dollars per share) $ (0.02) $ 0.29
Diluted (in dollars per share) $ (0.02) $ 0.29
Weighted average common shares outstanding:    
Weighted average basic number of common shares outstanding (in shares) 148 146
Diluted (in shares) 148 148
v3.25.1
Consolidated Statements of Comprehensive Income (Loss) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Statement of Comprehensive Income [Abstract]    
Net income $ 6 $ 43
Other comprehensive income (loss), net of tax:    
Foreign exchange translation gain (loss) 41 (31)
Changes in fair value of effective cash flow hedges (3) (1)
Total other comprehensive income (loss), net of tax 38 (32)
Comprehensive income $ 44 $ 11
v3.25.1
Consolidated Statements of Cash Flows - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Cash Flows From Operating Activities:    
Net income $ 6 $ 43
Adjustments to reconcile net income to net cash in operating activities:    
Depreciation and amortization 47 24
Restructuring expenses 4 7
Stock-based compensation expense 15 14
Other, net 6 3
Changes in assets and liabilities, net of acquired companies:    
Accounts receivable, net (13) 34
Inventories, net 17 7
Other current assets 9 3
Accounts payable (101) (44)
Accrued liabilities (112) (89)
Obligations payable under Indemnification Agreements 54 8
Other, net 3 (8)
Net cash (used in) provided by operating activities (65) 2
Cash Flows From Investing Activities:    
Capital expenditures (31) (21)
Other investing activities, net 0 (1)
Net cash used in investing activities (31) (22)
Cash Flows From Financing Activities:    
Repayments of long-term debt 0 (3)
Acquisition of treasury shares to cover stock award tax withholding (15) (7)
Preferred stock dividend payments (9) 0
Other financing activities, net 2 2
Net cash used in financing activities (22) (8)
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash 3 (5)
Net decrease in cash, cash equivalents and restricted cash (115) (33)
Cash, cash equivalents and restricted cash at beginning of period 693 637
Cash, cash equivalents and restricted cash at end of period 578 604
Supplemental Cash Flow Information:    
Interest paid, net of swaps 39 22
Taxes paid, net of refunds 21 28
Capital expenditures in accounts payable $ 12 $ 11
v3.25.1
Consolidated Statements of Stockholders’ Equity - USD ($)
shares in Thousands, $ in Millions
Total
Preferred Stock
Common Stock
Additional Paid-In Capital
Retained Earnings
Accumulated Other Comprehensive Loss
Treasury Stock
Preferred stock, shares, beginning balance (in shares) at Dec. 31, 2023   0          
Beginning of period at Dec. 31, 2023 $ 2,749 $ 0 $ 0 $ 2,226 $ 810 $ (194) $ (93)
Common stock, shares, beginning balance (in shares) at Dec. 31, 2023     145,389        
Treasury stock, beginning (in shares) at Dec. 31, 2023             5,536
Increase (Decrease) in Stockholders' Equity              
Net income 43       43    
Other comprehensive income (loss), net of tax (32)         (32)  
Common stock issuance, net of shares withheld for taxes (in shares)     699       335
Common stock issuance, net of shares withheld for taxes (4)     3     $ (7)
Stock-based compensation expense 14     14      
Common stock repurchases (in shares)     (75)       (75)
Common stock repurchases (1)           $ (1)
Preferred stock, shares, ending balance (in shares) at Mar. 30, 2024   0          
End of period at Mar. 30, 2024 $ 2,769 $ 0 $ 0 2,243 853 (226) $ (101)
Common stock, shares, ending balance (in shares) at Mar. 30, 2024     146,013        
Treasury stock, ending (in shares) at Mar. 30, 2024             5,946
Preferred stock, shares, beginning balance (in shares) at Dec. 31, 2024 500 500          
Beginning of period at Dec. 31, 2024 $ 3,309 $ 482 $ 0 2,315 907 (284) $ (111)
Common stock, shares, beginning balance (in shares) at Dec. 31, 2024 147,000   147,230        
Treasury stock, beginning (in shares) at Dec. 31, 2024             6,436
Increase (Decrease) in Stockholders' Equity              
Net income $ 6       6    
Other comprehensive income (loss), net of tax 38         38  
Common stock issuance, net of shares withheld for taxes (in shares)     1,263       700
Common stock issuance, net of shares withheld for taxes (13)     2     $ (15)
Stock-based compensation expense 16     16      
Preferred stock dividend $ (9)       (9)    
Preferred stock, shares, ending balance (in shares) at Mar. 29, 2025 500 500          
End of period at Mar. 29, 2025 $ 3,347 $ 482 $ 0 $ 2,333 $ 904 $ (246) $ (126)
Common stock, shares, ending balance (in shares) at Mar. 29, 2025 148,000   148,493        
Treasury stock, ending (in shares) at Mar. 29, 2025             7,136
v3.25.1
Nature of Operations and Basis of Presentation
 3 Months Ended
Mar. 29, 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 Technologies, Inc. (“Resideo”, the “Company”, “we”, “us”, or “our”) 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 leader in key product markets including home heating, ventilation, and air conditioning controls; smoke and carbon monoxide detection home safety and fire suppression products; 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.

Basis of Consolidation and Reporting

The accompanying Unaudited Consolidated Financial Statements have been prepared in accordance with United States (“U.S.”) generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the Unaudited Consolidated Financial Statements do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, the Unaudited Consolidated Financial Statements included herein contain all adjustments, which consist of normal recurring adjustments, necessary to fairly present our financial position, results of operations, and cash flows for the periods indicated. Operating results for the period from January 1, 2025 through March 29, 2025 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2025.

For additional information, refer to the Consolidated Financial Statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 (the “2024 Annual Report on Form 10-K”), filed with the United States Securities and Exchange Commission (the “SEC”) on February 20, 2025.

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.

Reclassification

For the purpose of comparability, certain prior period amounts have been reclassified to conform to current period classification.
v3.25.1
Summary of Significant Accounting Policies
 3 Months Ended
Mar. 29, 2025
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies Summary of Significant Accounting Policies
Our significant accounting policies are detailed in Note 2. Summary of Significant Accounting Policies of the Annual Report on Form 10-K for the year ended December 31, 2024. There have been no significant changes to these policies that have had a material impact on the Unaudited Consolidated Financial Statements and the accompanying disclosure notes for the three months ended March 29, 2025.

We consider the applicability and impact of all recent accounting standards updates (“ASUs”) 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.

In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): 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.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): 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. ASU 2023-09 is effective for our fiscal year ending December 31, 2025. The amendments may be applied prospectively or retrospectively. Other than the new disclosure requirements, the adoption of this guidance will not impact our Consolidated Financial Statements.
v3.25.1
Acquisitions
 3 Months Ended
Mar. 29, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Acquisitions Acquisitions
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 following table presents the preliminary purchase price allocation at fair values as of the date of acquisition. The valuation was completed, however, purchase price allocations may be subject to future adjustments for acquired working capital balances and income tax assets and liabilities within the one-year measurement period. During the three months ended March 29, 2025, measurement period adjustments were made to income tax assets and liabilities. As a result, goodwill related to the acquisition decreased by $9 million, reflecting a net decrease in income tax liabilities.

(in millions)
Assets acquired:
Cash and cash equivalents$47 
Accounts receivable49 
Inventories240 
Other current assets26 
Property, plant and equipment63 
Goodwill (1)
396 
Intangible assets
770 
Other assets69 
Total assets acquired1,660 
Liabilities assumed:
Accounts payable48 
Accrued liabilities69 
Other liabilities (2)
138 
Total liabilities assumed255 
Net assets acquired$1,405 
(1) Of the $396 million of goodwill from the acquisition, $90 million is expected to be tax deductible. Goodwill is comprised of expected synergies for the combined operations and the assembled workforce acquired in the acquisition.
(2) Includes $68 million of deferred tax liabilities.
v3.25.1
Segment Financial Data
 3 Months Ended
Mar. 29, 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 Unaudited Consolidated Financial Statements.

Products and Solutions—Our products and solutions for comfort, energy management, safety, and security benefit from trusted, well-established branded offerings such as Honeywell Home, First Alert, Resideo, Braukmann, BRK, 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 wholesale distributor of low-voltage products including security, fire, and access control, and participates significantly in the broader related markets of smart home, residential audio-visual, professional audio-visual, power management, networking, data communications, wire and cable, enterprise connectivity, and structured wiring products. In addition, ADI Global Distribution produces a full range of proprietary smart-home technology products and solutions under our own exclusive brands.

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 non-operating items such as Reimbursement 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.
Three Months Ended
(in millions)March 29, 2025March 30, 2024
Net revenue$649 $620 
Cost of goods sold380 375 
Research and development expenses27 25 
Selling, general and administrative expenses101 97 
Intangible asset amortization6 6 
Restructuring expenses(1)5 
Segment income from operations$136 $112 

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.
Three Months Ended
(in millions)March 29, 2025March 30, 2024
Net revenue$1,121 $866 
Cost of goods sold879 710 
Research and development expenses8 — 
Selling, general and administrative expenses173 102 
Intangible asset amortization23 3 
Restructuring expenses4 2 
Segment income from operations$34 $49 
The following table provides a reconciliation of segment income from operations to consolidated income before taxes.

Three Months Ended
March 29, 2025March 30, 2024
(in millions)
Segment income from operations
Products and Solutions$136 $112 
ADI Global Distribution34 49 
Total segment income from operations
170 161 
Unallocated amounts:
Selling, general and administrative expenses32 32 
Restructuring expenses1 — 
Other expenses, net96 42 
Interest expense, net25 13 
Other corporate items1 1 
Income before taxes$15 $73 

The following table provides detail on other significant segment items that are regularly reviewed by the CODM.

Three Months Ended
March 29, 2025March 30, 2024
(in millions)
Capital expenditures
Products and Solutions$20 $16 
ADI Global Distribution11 5 
Total capital expenditures$31 $21 
v3.25.1
Revenue Recognition
 3 Months Ended
Mar. 29, 2025
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
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:

Three Months Ended
(in millions)March 29, 2025March 30, 2024
Products and Solutions
Safety and Security$221 $213 
Air211 191 
Energy139 134 
Water78 82 
Total Products and Solutions649 620 
ADI Global Distribution
Americas (1)
986 746 
International (2)
135 120 
Total ADI Global Distribution1,121 866 
Total net revenue$1,770 $1,486 
(1)Americas represents North, Central, and South America.
(2)International represents all geographies that are not included in Americas.
v3.25.1
Restructuring
 3 Months Ended
Mar. 29, 2025
Restructuring and Related Activities [Abstract]  
Restructuring Restructuring
Restructuring expenses are presented in the restructuring expenses line within the Unaudited Consolidated Statements of Operations. During the three months ended March 29, 2025 and March 30, 2024, we incurred restructuring expenses of $4 million and $7 million, respectively.

We took restructuring actions, including capturing synergies from our recent acquisition, to align our cost structure based on our strategic objectives and our outlook of market conditions. The intent of these actions is to lower costs, increase margins, and position us for long-term growth. We expect to fully execute on our restructuring programs over the next 12 to 36 months, and we may incur future additional restructuring expenses associated with these plans or new plans. We are unable at this time to make a good faith determination of cost estimates, or ranges of cost estimates, associated with future phases of the programs or the total costs we may incur in connection with these programs.

The following table summarizes the status of our restructuring expenses included within accrued liabilities on the Unaudited Consolidated Balance Sheets:

Three Months EndedTwelve Months Ended
(in millions)March 29, 2025December 31, 2024
Beginning of period$31 $30 
Charges4 41 
Usage (1)
(7)(40)
End of period$28 $31 
(1) Usage primarily relates to cash payments and shares issued associated with employee termination costs.
v3.25.1
Stockholders’ Equity
 3 Months Ended
Mar. 29, 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”). During the three months ended March 29, 2025, there were no common share repurchases. During the three months ended March 30, 2024, we repurchased 0.1 million shares 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 March 29, 2025, the Company 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 Series A Cumulative Convertible Participating Preferred Stock (“Preferred Stock”) to CD&R Channel Holdings, L.P. (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 reduce 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 had an aggregate liquidation preference of $500 million as of March 29, 2025. Preferred Stock dividends accumulated during the three months ended March 29, 2025 were $9 million.

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.
v3.25.1
Stock-Based Compensation Plans
 3 Months Ended
Mar. 29, 2025
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Plans Stock-Based Compensation Plans
The following table summarizes awards granted during the relevant periods:

Three Months Ended March 29, 2025Three Months Ended March 30, 2024
(in thousands except for per share amounts)
Number of Stock Units GrantedWeighted average grant date fair value per shareNumber of Stock Units GrantedWeighted average grant date fair value per share
Performance Stock Units (“PSUs”) (1)
237$25.56 575$27.96 
Restricted Stock Units (“RSUs”)
1,519$21.32 1,783$17.82 
(1) Includes PSUs at target payout. Final common shares issued may be different based upon the actual achievement versus the performance measure target.

Stock-based compensation expense, net of tax was $16 million and $14 million for the three months ended March 29, 2025 and March 30, 2024, respectively.
v3.25.1
Inventories, net
 3 Months Ended
Mar. 29, 2025
Inventory Disclosure [Abstract]  
Inventories, net Inventories, net
The following table summarizes the details of our inventories, net:

(in millions)March 29, 2025December 31, 2024
Raw materials$157 $171 
Work in process16 14 
Finished products1,055 1,052 
Total inventories, net$1,228 $1,237 
v3.25.1
Goodwill and Intangible Assets, net
 3 Months Ended
Mar. 29, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets, net Goodwill and Intangible Assets, net
Our goodwill balance and changes in carrying value by segment follows:

(in millions)Products and SolutionsADI Global DistributionTotal
Balance as of January 1, 2025$2,015 $1,057 $3,072 
Adjustments (1)
— (9)(9)
Impact of foreign currency translation 14 7 21 
Balance as of March 29, 2025$2,029 $1,055 $3,084 
(1) Related to the measurement period adjustments associated with the Snap One acquisition. Refer to Note 3. Acquisitions for further discussion.

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

(in millions)March 29, 2025December 31, 2024
Intangible assets subject to amortization$977 $996 
Indefinite-lived intangible assets180 180 
Total intangible assets$1,157 $1,176 

Intangible assets subject to amortization consisted of the following:

March 29, 2025December 31, 2024
(in millions)Gross
Carrying
Amount		Accumulated
Amortization 		Net
Carrying
Amount		Gross
Carrying
Amount		Accumulated
Amortization 		Net
Carrying
Amount
Patents and technology$171 $(47)$124 $170 $(41)$129 
Customer relationships906 (198)708 901 (177)724 
Trademarks78 (13)65 78 (12)66 
Software231 (151)80 222 (145)77 
Intangible assets subject to amortization$1,386 $(409)$977 $1,371 $(375)$996 

Intangible assets amortization expense was $30 million for the three months ended March 29, 2025 and $9 million for the three months ended March 30, 2024.
v3.25.1
Leases
 3 Months Ended
Mar. 29, 2025
Leases [Abstract]  
Leases Leases
Total operating lease costs are as follows:

Three Months Ended
(in millions)March 29, 2025March 30, 2024
Operating lease costs:
Selling, general and administrative expenses$20 $14 
Cost of goods sold4 5 
Total operating lease costs (1)
$24 $19 
(1) Includes variable lease costs of $5 million and $3 million for the three months ended March 29, 2025 and March 30, 2024, respectively.

The following table summarizes the carrying amounts of our operating lease assets and liabilities:

(in millions)Financial Statement Line ItemMarch 29, 2025December 31, 2024
Operating lease assetsOther assets$241 $248 
Operating lease liabilities - currentAccrued liabilities$51 $51 
Operating lease liabilities - non-currentOther liabilities$207 $212 

Supplemental cash flow information related to operating leases follows:

Three Months Ended
(in millions)March 29, 2025March 30, 2024
Cash paid for operating lease liabilities$12 $9 
Non-cash activities: operating lease assets obtained in exchange for new operating lease liabilities$4 $6 
v3.25.1
Long-Term Debt
 3 Months Ended
Mar. 29, 2025
Debt Disclosure [Abstract]  
Long-Term Debt Long-Term Debt
Long-term debt is comprised of the following:

(in millions)March 29, 2025December 31, 2024
4.000% Senior Notes due 2029
$300 $300 
6.500% Senior Notes due 2032
600 600 
Variable rate A&R Term B Facility 1,115 1,115 
Gross debt2,015 2,015 
Less: current portion of long-term debt (1)
(8)(6)
Less: unamortized deferred financing costs(24)(26)
Total long-term debt$1,983 $1,983 
(1) Included within Accrued liabilities on the Unaudited Consolidated Balance Sheets.

A&R Senior Credit Facilities

In 2021, we entered into the A&R Credit Agreement with JP Morgan Chase Bank N.A. as administrative agent, which was most recently amended in December 2024 (the “A&R Credit Agreement”). The A&R Credit Agreement provides a variable secured term B loan facility (the “A&R Term B Facility”) that bears interest by reference to the term Secured Overnight Financing Rate (“Term SOFR”) plus a 1.75% interest rate margin. The A&R Credit Agreement also includes a senior secured revolving credit facility (the “A&R Revolving Credit Facility” and, together with the A&R Term B Facility, the “A&R Senior Credit Facilities”) with an aggregate capacity of $500 million and a five-year term ending in May 2031. At March 29, 2025 and December 31, 2024, the weighted average interest rate for the A&R Term B Facility, excluding the
effect of the interest rate swaps, was 6.06% and 6.13%, respectively, and there were no borrowings and no letters of credit issued under the A&R Revolving Credit Facility.

We have entered into certain interest rate swap agreements based on Term SOFR which effectively convert a portion of our variable-rate debt to fixed-rate debt. Additionally, we assumed an interest rate cap in 2024 which effectively caps the interest on a portion of our variable rate debt. Refer to Note 13. Derivative Financial Instruments for further discussion.

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”).

The Senior Notes due 2029 and Senior Notes due 2032 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.

Refer to Note 11. Long-Term Debt in our 2024 Annual Report on Form 10-K for further discussion.
v3.25.1
Derivative Financial Instruments
 3 Months Ended
Mar. 29, 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 (“Swap Agreements”) with 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. Two of the Swap Agreements matured in February 2025, each with a notional value of $70 million. As of March 29, 2025 and December 31, 2024, the Swap Agreements had a combined notional value of $420 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 1.28% over the remaining terms.

In 2024, we assumed an interest rate cap which has a current notional value of $344 million and a strike rate of 4.79% (the “Interest Rate Cap”), which effectively caps SOFR on the notional amount at that rate. The Interest Rate Cap is designated as a cash flow hedge on our variable interest rate obligations. We are required to pay a premium of $7 million at the maturity date of December 31, 2025.

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 summarizes the fair value and presentation of derivative instruments in the Unaudited Consolidated Balance Sheets as well as the changes in fair value recorded in accumulated other comprehensive loss:

Fair Value of Derivative Assets
(in millions)Financial Statement Line ItemMarch 29, 2025December 31, 2024
Derivatives designated as hedging instruments:
Interest rate derivativesOther current assets$7 $10 
Interest rate derivativesOther assets2 3 
Total derivative assets designated as hedging instruments$9 $13 
Fair Value of Derivative Liabilities
(in millions)Financial Statement Line ItemMarch 29, 2025December 31, 2024
Derivatives designated as hedging instruments:
Interest rate derivativesAccrued liabilities$6 $6 
Unrealized gainAccumulated other comprehensive loss$5 $8 
The following table summarizes the effect of derivative instruments designated as cash flow hedges on other comprehensive income and the Unaudited Consolidated Statements of Operations:

Three Months Ended
(in millions)Financial Statement Line ItemMarch 29, 2025March 30, 2024
Gains recorded in accumulated other comprehensive loss, beginning of period$8 $25 
Current period (loss) gain recognized in/reclassified from other comprehensive incomeOther comprehensive income (loss)(4)1 
Gains reclassified from accumulated other comprehensive loss to net incomeInterest expense, net1 (2)
Gains recorded in accumulated other comprehensive loss, end of period$5 $24 

Unrealized gains expected to be reclassified from accumulated other comprehensive loss in the next 12 months are estimated to be $5 million as of March 29, 2025.

Refer to Note 12. Derivative Financial Instruments in our 2024 Annual Report on Form 10-K for further discussion.
v3.25.1
Fair Value
 3 Months Ended
Mar. 29, 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 March 29, 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:

March 29, 2025December 31, 2024
(in millions)Carrying ValueFair ValueCarrying ValueFair Value
Debt
4.000% Senior Notes due 2029
$300 $274 $300 $272 
6.500% Senior Notes due 2032
600 601 600 602 
Variable rate A&R Term B Facility 1,115 1,116 1,115 1,119 
Total debt$2,015 $1,991 $2,015 $1,993 

Refer to Note 12. Long-Term Debt to the Unaudited Consolidated Financial Statements for further discussion.

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 March 29, 2025 and December 31, 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:

March 29, 2025December 31, 2024
(in millions)Carrying ValueFair ValueCarrying ValueFair Value
Assets:
Interest rate derivatives
$9 $9 $13 $13 
Liabilities:
Interest rate derivatives
$6 $6 $6 $6 

There are no material Level 1 or Level 3 assets or liabilities for the periods presented above. 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 13. Derivative Financial Instruments to the Unaudited 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 because of their short-term maturity.
v3.25.1
Accrued Liabilities
 3 Months Ended
Mar. 29, 2025
Payables and Accruals [Abstract]  
Accrued Liabilities Accrued Liabilities
Accrued liabilities consist of the following:

(in millions)March 29, 2025December 31, 2024
Obligations payable under Indemnification Agreements$140 $140 
Compensation, benefit and other employee-related88 131 
Customer rebate reserve79 112 
Current operating lease liability51 51 
Deferred revenue30 29 
Freight payable29 26 
Restructuring
28 31 
Product warranties27 27 
Taxes payable13 35 
Other (1)
122 135 
Total accrued liabilities$607 $717 
(1) Other includes accruals for advertising, legal and professional reserves, royalties, interest, short-term portion of long-term debt, and other miscellaneous items.
v3.25.1
Commitments and Contingencies
 3 Months Ended
Mar. 29, 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 are likely to continue to arise in the future.

Environment-related expenses for sites owned and operated by us are presented within cost of goods sold for operating sites. For the three months ended March 29, 2025 and March 30, 2024, environmental expenses related to these operating sites were not material. Liabilities for environmental costs were $22 million at March 29, 2025 and December 31, 2024.

Obligations Payable Under Indemnification Agreements

The Reimbursement Agreement and the Tax Matters Agreement (collectively, the “Indemnification Agreements”) are further described below.

Reimbursement Agreement

We separated from Honeywell International Inc. (“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 (the “Spin-off”). In connection with the Spin-Off, we entered into a reimbursement agreement, pursuant to which we have an obligation to make cash payments to Honeywell in amounts equal to 90% of payments for certain Honeywell environmental-liability payments (the “Reimbursement Agreement”), which include amounts billed (payments), 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 recoveries). The Reimbursement Agreement extends 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) has been less than $25 million. While the amount payable by us in respect of such liabilities arising in any given year is subject to a cap of $140 million under the Reimbursement Agreement, the estimated liability for resolution of pending and future environmental-related liabilities recorded on our balance sheets are calculated as if we were responsible for 100% of the environmental-liability payments associated with certain sites. Refer to Note 15. Commitments and Contingencies in our 2024 Annual Report on Form 10-K for further discussion.

Tax Matters Agreement

In connection with the 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 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 Spin-Off.

We are required to indemnify Honeywell for any taxes resulting from the failure of the 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 Reimbursement and Tax Matter Agreements’ liabilities:

(in millions)Reimbursement AgreementTax Matters AgreementTotal
Balance as of January 1, 2025$723 $91 $814 
Accruals for liabilities deemed probable and reasonably estimable90 — 90 
Payments to Honeywell(35)(1)(36)
Balance as of March 29, 2025$778 $90 $868 
The liabilities related to the Reimbursement and Tax Matters Agreements are included in the following balance sheet accounts:

(in millions)March 29, 2025December 31, 2024
Accrued liabilities$140 $140 
Obligations payable under Indemnification Agreements728 674 
Total indemnification liabilities$868 $814 

For the three months ended March 29, 2025 and March 30, 2024, expenses related to the Reimbursement Agreement were $90 million and $43 million, respectively. Reimbursement Agreement expenses are presented within other expense, net in the Unaudited Consolidated Statements of Operations.

We do not currently possess sufficient information to reasonably estimate the amounts of indemnification liabilities to be recorded upon future completion of studies, litigation or settlements, and neither the timing nor the amount of the ultimate costs associated with such indemnification 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.

Independent of our payments under the Reimbursement Agreement, we will have ongoing liability for certain environmental claims, which are part of our ongoing business.

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, 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 as of March 29, 2025.

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 and other liabilities. The following table summarizes information concerning recorded obligations for product warranties and product performance guarantees:

(in millions)March 29, 2025December 31, 2024
Beginning balance$35 $34 
Accruals for warranties/guarantees issued during the year8 31 
Settlement/adjustment of warranty/guarantee claims(8)(30)
Ending balance$35 $35 
v3.25.1
Income Taxes
 3 Months Ended
Mar. 29, 2025
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
For interim periods, income tax is equal to the total of (1) year-to-date pretax income multiplied by the forecasted effective tax rate plus (2) tax expense items specific to the period. In situations where we expect to report losses and where we do not expect to receive tax benefits, we apply separate forecast effective tax rates to those jurisdictions rather than including them in the consolidated forecast effective tax rate.

For the three months ended March 29, 2025 and March 30, 2024, the net tax expense was $9 million and $30 million, respectively, and consists primarily of interim period tax expense based on year-to-date pretax income multiplied by our forecasted effective tax rate. In addition to items specific to the period, our income tax rate is impacted by the mix of earnings across the jurisdictions in which we operate, non-deductible expenses, and U.S. taxation of foreign earnings.
v3.25.1
(Loss) Earnings Per Common Share
 3 Months Ended
Mar. 29, 2025
Earnings Per Share [Abstract]  
(Loss) Earnings Per Common Share (Loss) Earnings Per Common Share
The reconciliation of the numerator and denominator used for the computation of basic and diluted (loss) earnings per common share follows:
Three Months Ended
(in millions, except per share data)March 29, 2025March 30, 2024
Numerator for basic and diluted (loss) earnings per common share:
Net income$6 $43 
Less: preferred stock dividends9 — 
Net (loss) income available to common stockholders$(3)$43 
Denominator for basic and diluted (loss) earnings per common share:
Weighted average basic number of common shares outstanding148 146 
Plus: dilutive effect of common stock equivalents— 2 
Weighted average diluted number of common shares outstanding148 148 
Net (loss) income per common share:
Basic$(0.02)$0.29 
Diluted$(0.02)$0.29 

Diluted (loss) earnings per common share is computed based upon the weighted average number of common shares outstanding for the period 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.

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.

Three Months Ended
(in millions)March 29, 2025March 30, 2024
RSUs and other rights6.6 0.7 
PSUs1.4 1.2 
Preferred stock0.5 — 
v3.25.1
Pay vs Performance Disclosure - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Pay vs Performance Disclosure    
Net income $ 6 $ 43
v3.25.1
Insider Trading Arrangements
 3 Months Ended
Mar. 29, 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
v3.25.1
Summary of Significant Accounting Policies (Policies)
 3 Months Ended
Mar. 29, 2025
Accounting Policies [Abstract]  
Basis of Consolidation and Reporting
Basis of Consolidation and Reporting

The accompanying Unaudited Consolidated Financial Statements have been prepared in accordance with United States (“U.S.”) generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, the Unaudited Consolidated Financial Statements do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, the Unaudited Consolidated Financial Statements included herein contain all adjustments, which consist of normal recurring adjustments, necessary to fairly present our financial position, results of operations, and cash flows for the periods indicated. Operating results for the period from January 1, 2025 through March 29, 2025 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2025.

For additional information, refer to the Consolidated Financial Statements and notes thereto included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 (the “2024 Annual Report on Form 10-K”), filed with the United States Securities and Exchange Commission (the “SEC”) on February 20, 2025.

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.
Reclassification
Reclassification

For the purpose of comparability, certain prior period amounts have been reclassified to conform to current period classification.
Accounting Pronouncements
In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): 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.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): 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. ASU 2023-09 is effective for our fiscal year ending December 31, 2025. The amendments may be applied prospectively or retrospectively. Other than the new disclosure requirements, the adoption of this guidance will not impact our Consolidated Financial Statements.
v3.25.1
Acquisitions (Tables)
 3 Months Ended
Mar. 29, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Schedule of Preliminary Allocation of Purchase Price
The following table presents the preliminary purchase price allocation at fair values as of the date of acquisition. The valuation was completed, however, purchase price allocations may be subject to future adjustments for acquired working capital balances and income tax assets and liabilities within the one-year measurement period. During the three months ended March 29, 2025, measurement period adjustments were made to income tax assets and liabilities. As a result, goodwill related to the acquisition decreased by $9 million, reflecting a net decrease in income tax liabilities.

(in millions)
Assets acquired:
Cash and cash equivalents$47 
Accounts receivable49 
Inventories240 
Other current assets26 
Property, plant and equipment63 
Goodwill (1)
396 
Intangible assets
770 
Other assets69 
Total assets acquired1,660 
Liabilities assumed:
Accounts payable48 
Accrued liabilities69 
Other liabilities (2)
138 
Total liabilities assumed255 
Net assets acquired$1,405 
(1) Of the $396 million of goodwill from the acquisition, $90 million is expected to be tax deductible. Goodwill is comprised of expected synergies for the combined operations and the assembled workforce acquired in the acquisition.
(2) Includes $68 million of deferred tax liabilities.
v3.25.1
Segment Financial Data (Tables)
 3 Months Ended
Mar. 29, 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.
Three Months Ended
(in millions)March 29, 2025March 30, 2024
Net revenue$649 $620 
Cost of goods sold380 375 
Research and development expenses27 25 
Selling, general and administrative expenses101 97 
Intangible asset amortization6 6 
Restructuring expenses(1)5 
Segment income from operations$136 $112 

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.
Three Months Ended
(in millions)March 29, 2025March 30, 2024
Net revenue$1,121 $866 
Cost of goods sold879 710 
Research and development expenses8 — 
Selling, general and administrative expenses173 102 
Intangible asset amortization23 3 
Restructuring expenses4 2 
Segment income from operations$34 $49 
The following table provides detail on other significant segment items that are regularly reviewed by the CODM.

Three Months Ended
March 29, 2025March 30, 2024
(in millions)
Capital expenditures
Products and Solutions$20 $16 
ADI Global Distribution11 5 
Total capital expenditures$31 $21 
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 before taxes.

Three Months Ended
March 29, 2025March 30, 2024
(in millions)
Segment income from operations
Products and Solutions$136 $112 
ADI Global Distribution34 49 
Total segment income from operations
170 161 
Unallocated amounts:
Selling, general and administrative expenses32 32 
Restructuring expenses1 — 
Other expenses, net96 42 
Interest expense, net25 13 
Other corporate items1 1 
Income before taxes$15 $73 
v3.25.1
Revenue Recognition (Tables)
 3 Months Ended
Mar. 29, 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:

Three Months Ended
(in millions)March 29, 2025March 30, 2024
Products and Solutions
Safety and Security$221 $213 
Air211 191 
Energy139 134 
Water78 82 
Total Products and Solutions649 620 
ADI Global Distribution
Americas (1)
986 746 
International (2)
135 120 
Total ADI Global Distribution1,121 866 
Total net revenue$1,770 $1,486 
(1)Americas represents North, Central, and South America.
(2)International represents all geographies that are not included in Americas.
v3.25.1
Restructuring (Tables)
 3 Months Ended
Mar. 29, 2025
Restructuring and Related Activities [Abstract]  
Schedule of Restructuring Expenses
The following table summarizes the status of our restructuring expenses included within accrued liabilities on the Unaudited Consolidated Balance Sheets:

Three Months EndedTwelve Months Ended
(in millions)March 29, 2025December 31, 2024
Beginning of period$31 $30 
Charges4 41 
Usage (1)
(7)(40)
End of period$28 $31 
(1) Usage primarily relates to cash payments and shares issued associated with employee termination costs.
v3.25.1
Stock-Based Compensation Plans (Tables)
 3 Months Ended
Mar. 29, 2025
Share-Based Payment Arrangement [Abstract]  
Schedule of Stock Incentive Plan for Employees and Non-Employee Directors
The following table summarizes awards granted during the relevant periods:

Three Months Ended March 29, 2025Three Months Ended March 30, 2024
(in thousands except for per share amounts)
Number of Stock Units GrantedWeighted average grant date fair value per shareNumber of Stock Units GrantedWeighted average grant date fair value per share
Performance Stock Units (“PSUs”) (1)
237$25.56 575$27.96 
Restricted Stock Units (“RSUs”)
1,519$21.32 1,783$17.82 
(1) Includes PSUs at target payout. Final common shares issued may be different based upon the actual achievement versus the performance measure target.
v3.25.1
Inventories, net (Tables)
 3 Months Ended
Mar. 29, 2025
Inventory Disclosure [Abstract]  
Schedule of Inventories
The following table summarizes the details of our inventories, net:

(in millions)March 29, 2025December 31, 2024
Raw materials$157 $171 
Work in process16 14 
Finished products1,055 1,052 
Total inventories, net$1,228 $1,237 
v3.25.1
Goodwill and Intangible Assets, net (Tables)
 3 Months Ended
Mar. 29, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill
Our goodwill balance and changes in carrying value by segment follows:

(in millions)Products and SolutionsADI Global DistributionTotal
Balance as of January 1, 2025$2,015 $1,057 $3,072 
Adjustments (1)
— (9)(9)
Impact of foreign currency translation 14 7 21 
Balance as of March 29, 2025$2,029 $1,055 $3,084 
(1) Related to the measurement period adjustments associated with the Snap One acquisition. Refer to Note 3. Acquisitions for further discussion.
Schedule of Indefinite-Lived Intangible Assets
The following table summarizes the net carrying amount of intangible assets:

(in millions)March 29, 2025December 31, 2024
Intangible assets subject to amortization$977 $996 
Indefinite-lived intangible assets180 180 
Total intangible assets$1,157 $1,176 
Schedule of Finite-Lived Intangible Assets
The following table summarizes the net carrying amount of intangible assets:

(in millions)March 29, 2025December 31, 2024
Intangible assets subject to amortization$977 $996 
Indefinite-lived intangible assets180 180 
Total intangible assets$1,157 $1,176 

Intangible assets subject to amortization consisted of the following:

March 29, 2025December 31, 2024
(in millions)Gross
Carrying
Amount		Accumulated
Amortization 		Net
Carrying
Amount		Gross
Carrying
Amount		Accumulated
Amortization 		Net
Carrying
Amount
Patents and technology$171 $(47)$124 $170 $(41)$129 
Customer relationships906 (198)708 901 (177)724 
Trademarks78 (13)65 78 (12)66 
Software231 (151)80 222 (145)77 
Intangible assets subject to amortization$1,386 $(409)$977 $1,371 $(375)$996 
v3.25.1
Leases (Tables)
 3 Months Ended
Mar. 29, 2025
Leases [Abstract]  
Schedule of Operating Lease Expense
Total operating lease costs are as follows:

Three Months Ended
(in millions)March 29, 2025March 30, 2024
Operating lease costs:
Selling, general and administrative expenses$20 $14 
Cost of goods sold4 5 
Total operating lease costs (1)
$24 $19 
(1) Includes variable lease costs of $5 million and $3 million for the three months ended March 29, 2025 and March 30, 2024, respectively.
Schedule of Carrying Amounts of Operating Leased Assets and Liabilities
The following table summarizes the carrying amounts of our operating lease assets and liabilities:

(in millions)Financial Statement Line ItemMarch 29, 2025December 31, 2024
Operating lease assetsOther assets$241 $248 
Operating lease liabilities - currentAccrued liabilities$51 $51 
Operating lease liabilities - non-currentOther liabilities$207 $212 
Schedule of Supplemental Cash Flow Information Related to Operating Leases
Supplemental cash flow information related to operating leases follows:

Three Months Ended
(in millions)March 29, 2025March 30, 2024
Cash paid for operating lease liabilities$12 $9 
Non-cash activities: operating lease assets obtained in exchange for new operating lease liabilities$4 $6 
v3.25.1
Long-Term Debt (Tables)
 3 Months Ended
Mar. 29, 2025
Debt Disclosure [Abstract]  
Schedule of Long-Term Debt
Long-term debt is comprised of the following:

(in millions)March 29, 2025December 31, 2024
4.000% Senior Notes due 2029
$300 $300 
6.500% Senior Notes due 2032
600 600 
Variable rate A&R Term B Facility 1,115 1,115 
Gross debt2,015 2,015 
Less: current portion of long-term debt (1)
(8)(6)
Less: unamortized deferred financing costs(24)(26)
Total long-term debt$1,983 $1,983 
(1) Included within Accrued liabilities on the Unaudited Consolidated Balance Sheets.
v3.25.1
Derivative Financial Instruments (Tables)
 3 Months Ended
Mar. 29, 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 summarizes the fair value and presentation of derivative instruments in the Unaudited Consolidated Balance Sheets as well as the changes in fair value recorded in accumulated other comprehensive loss:
Fair Value of Derivative Assets
(in millions)Financial Statement Line ItemMarch 29, 2025December 31, 2024
Derivatives designated as hedging instruments:
Interest rate derivativesOther current assets$7 $10 
Interest rate derivativesOther assets2 3 
Total derivative assets designated as hedging instruments$9 $13 
Fair Value of Derivative Liabilities
(in millions)Financial Statement Line ItemMarch 29, 2025December 31, 2024
Derivatives designated as hedging instruments:
Interest rate derivativesAccrued liabilities$6 $6 
Unrealized gainAccumulated other comprehensive loss$5 $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 on other comprehensive income and the Unaudited Consolidated Statements of Operations:

Three Months Ended
(in millions)Financial Statement Line ItemMarch 29, 2025March 30, 2024
Gains recorded in accumulated other comprehensive loss, beginning of period$8 $25 
Current period (loss) gain recognized in/reclassified from other comprehensive incomeOther comprehensive income (loss)(4)1 
Gains reclassified from accumulated other comprehensive loss to net incomeInterest expense, net1 (2)
Gains recorded in accumulated other comprehensive loss, end of period$5 $24 
v3.25.1
Fair Value (Tables)
 3 Months Ended
Mar. 29, 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:

March 29, 2025December 31, 2024
(in millions)Carrying ValueFair ValueCarrying ValueFair Value
Debt
4.000% Senior Notes due 2029
$300 $274 $300 $272 
6.500% Senior Notes due 2032
600 601 600 602 
Variable rate A&R Term B Facility 1,115 1,116 1,115 1,119 
Total debt$2,015 $1,991 $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:

March 29, 2025December 31, 2024
(in millions)Carrying ValueFair ValueCarrying ValueFair Value
Assets:
Interest rate derivatives
$9 $9 $13 $13 
Liabilities:
Interest rate derivatives
$6 $6 $6 $6 
v3.25.1
Accrued Liabilities (Tables)
 3 Months Ended
Mar. 29, 2025
Payables and Accruals [Abstract]  
Schedule of Accrued Liabilities
Accrued liabilities consist of the following:

(in millions)March 29, 2025December 31, 2024
Obligations payable under Indemnification Agreements$140 $140 
Compensation, benefit and other employee-related88 131 
Customer rebate reserve79 112 
Current operating lease liability51 51 
Deferred revenue30 29 
Freight payable29 26 
Restructuring
28 31 
Product warranties27 27 
Taxes payable13 35 
Other (1)
122 135 
Total accrued liabilities$607 $717 
(1) Other includes accruals for advertising, legal and professional reserves, royalties, interest, short-term portion of long-term debt, and other miscellaneous items.
v3.25.1
Commitments and Contingencies (Tables)
 3 Months Ended
Mar. 29, 2025
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Reimbursement Agreement Liabilities
The following table summarizes information concerning the Reimbursement and Tax Matter Agreements’ liabilities:

(in millions)Reimbursement AgreementTax Matters AgreementTotal
Balance as of January 1, 2025$723 $91 $814 
Accruals for liabilities deemed probable and reasonably estimable90 — 90 
Payments to Honeywell(35)(1)(36)
Balance as of March 29, 2025$778 $90 $868 
Schedule of Reimbursement Agreement Liabilities Included in Balance Sheet Accounts
The liabilities related to the Reimbursement and Tax Matters Agreements are included in the following balance sheet accounts:

(in millions)March 29, 2025December 31, 2024
Accrued liabilities$140 $140 
Obligations payable under Indemnification Agreements728 674 
Total indemnification liabilities$868 $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:
(in millions)March 29, 2025December 31, 2024
Beginning balance$35 $34 
Accruals for warranties/guarantees issued during the year8 31 
Settlement/adjustment of warranty/guarantee claims(8)(30)
Ending balance$35 $35 
v3.25.1
(Loss) Earnings Per Common Share (Tables)
 3 Months Ended
Mar. 29, 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 (loss) earnings per common share follows:
Three Months Ended
(in millions, except per share data)March 29, 2025March 30, 2024
Numerator for basic and diluted (loss) earnings per common share:
Net income$6 $43 
Less: preferred stock dividends9 — 
Net (loss) income available to common stockholders$(3)$43 
Denominator for basic and diluted (loss) earnings per common share:
Weighted average basic number of common shares outstanding148 146 
Plus: dilutive effect of common stock equivalents— 2 
Weighted average diluted number of common shares outstanding148 148 
Net (loss) income per common share:
Basic$(0.02)$0.29 
Diluted$(0.02)$0.29 
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.

Three Months Ended
(in millions)March 29, 2025March 30, 2024
RSUs and other rights6.6 0.7 
PSUs1.4 1.2 
Preferred stock0.5 — 
v3.25.1
Nature of Operations and Basis of Presentation (Details)
space in Millions
Mar. 29, 2025
space
Products and Solutions  
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations  
Number of spaces (spaces) 150
v3.25.1
Acquisitions - Additional Information (Details) - Snap One Holdings Corp
$ in Millions
Jun. 14, 2024
USD ($)
Business Acquisition  
Percentage of equity acquired 100.00%
Cash purchase price $ 1,400
Goodwill measurement adjustment $ (9)
v3.25.1
Acquisitions - Schedule of Preliminary Allocation of Purchase Price (Details) - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Jun. 14, 2024
Assets acquired:      
Goodwill $ 3,084 $ 3,072  
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
v3.25.1
Segment Financial Data - Additional Information (Details)
 3 Months Ended
Mar. 29, 2025
segment
Segment Reporting [Abstract]  
Number of reportable segments (segments) 2
v3.25.1
Segment Financial Data - Schedule of Segment Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Segment Reporting Information    
Net revenue $ 1,770 $ 1,486
Cost of goods sold 1,259 1,086
Research and development expenses 35 25
Selling, general and administrative expenses 306 231
Intangible asset amortization 30 9
Restructuring expenses 4 7
Segment income from operations 136 128
Operating Segments    
Segment Reporting Information    
Segment income from operations 170 161
Products and Solutions    
Segment Reporting Information    
Net revenue 649 620
Products and Solutions | Operating Segments    
Segment Reporting Information    
Net revenue 649 620
Cost of goods sold 380 375
Research and development expenses 27 25
Selling, general and administrative expenses 101 97
Intangible asset amortization 6 6
Restructuring expenses (1) 5
Segment income from operations 136 112
ADI Global Distribution    
Segment Reporting Information    
Net revenue 1,121 866
ADI Global Distribution | Operating Segments    
Segment Reporting Information    
Net revenue 1,121 866
Cost of goods sold 879 710
Research and development expenses 8 0
Selling, general and administrative expenses 173 102
Intangible asset amortization 23 3
Restructuring expenses 4 2
Segment income from operations $ 34 $ 49
v3.25.1
Segment Financial Data - Schedule of Reconciliation of Segment Gross Profit and Segment Income from Operations to Consolidated Income Before Taxes (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Segment Reporting Information    
Segment income from operations $ 136 $ 128
Selling, general and administrative expenses 306 231
Restructuring expenses 4 7
Interest expense, net 25 13
Income before taxes 15 73
Operating Segments    
Segment Reporting Information    
Segment income from operations 170 161
Operating Segments | Products and Solutions    
Segment Reporting Information    
Segment income from operations 136 112
Selling, general and administrative expenses 101 97
Restructuring expenses (1) 5
Operating Segments | ADI Global Distribution    
Segment Reporting Information    
Segment income from operations 34 49
Selling, general and administrative expenses 173 102
Restructuring expenses 4 2
Corporate    
Segment Reporting Information    
Selling, general and administrative expenses 32 32
Restructuring expenses 1 0
Other expenses, net 96 42
Interest expense, net 25 13
Other corporate items $ 1 $ 1
v3.25.1
Segment Financial Data - Schedule of Other Significant Segment Items (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Segment Reporting Information    
Total capital expenditures $ 31 $ 21
Operating Segments | Products and Solutions    
Segment Reporting Information    
Total capital expenditures 20 16
Operating Segments | ADI Global Distribution    
Segment Reporting Information    
Total capital expenditures $ 11 $ 5
v3.25.1
Revenue Recognition - Additional Information (Details)
 3 Months Ended
Mar. 29, 2025
segment
Revenue from Contract with Customer [Abstract]  
Number of operating segments (segment) 2
v3.25.1
Revenue Recognition - Schedule of Revenue by Business Line and Geographic Location (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Disaggregation of Revenue    
Total net revenue $ 1,770 $ 1,486
Products and Solutions    
Disaggregation of Revenue    
Total net revenue 649 620
Products and Solutions | Safety and Security    
Disaggregation of Revenue    
Total net revenue 221 213
Products and Solutions | Air    
Disaggregation of Revenue    
Total net revenue 211 191
Products and Solutions | Energy    
Disaggregation of Revenue    
Total net revenue 139 134
Products and Solutions | Water    
Disaggregation of Revenue    
Total net revenue 78 82
ADI Global Distribution    
Disaggregation of Revenue    
Total net revenue 1,121 866
ADI Global Distribution | Americas    
Disaggregation of Revenue    
Total net revenue 986 746
ADI Global Distribution | International    
Disaggregation of Revenue    
Total net revenue $ 135 $ 120
v3.25.1
Restructuring - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Restructuring Cost and Reserve    
Restructuring expenses $ 4 $ 7
Minimum    
Restructuring Cost and Reserve    
Restructuring initiatives execution (in months) 12 months  
Maximum    
Restructuring Cost and Reserve    
Restructuring initiatives execution (in months) 36 months  
v3.25.1
Restructuring - Schedule of Restructuring Expenses (Details) - USD ($)
$ in Millions
 3 Months Ended 12 Months Ended
Mar. 29, 2025
Dec. 31, 2024
Restructuring Reserve    
Beginning of year $ 31 $ 30
Charges 4 41
Usage (7) (40)
End of year $ 28 $ 31
Restructuring Charges, Statement of Income or Comprehensive Income [Extensible Enumeration] Restructuring expenses  
v3.25.1
Stockholders’ Equity (Details) - USD ($)
$ / shares in Units, shares in Thousands
 3 Months Ended
Jun. 14, 2024
Mar. 29, 2025
Mar. 30, 2024
Dec. 31, 2024
Aug. 03, 2023
Class of Stock          
Common stock repurchases     $ 1,000,000    
Preferred stock, shares issued (in shares) 500 500   500  
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%        
Liquidation preference stock   500,000,000      
Accumulated preferred stock dividends   $ 9,000,000      
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    
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      
v3.25.1
Stock-Based Compensation Plans - Schedule of RSU and PSU Activity Related to Stock Incentive Plan (Details) - $ / shares
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Performance Stock Units (“PSUs”)    
Number of Stock Units Granted    
Number of stock units granted (in shares) 237,000 575,000
Weighted average grant date fair value per share    
Granted (in dollars per share) $ 25.56 $ 27.96
Restricted Stock Units (“RSUs”)    
Number of Stock Units Granted    
Number of stock units granted (in shares) 1,519,000 1,783,000
Weighted average grant date fair value per share    
Granted (in dollars per share) $ 21.32 $ 17.82
v3.25.1
Stock-Based Compensation Plans - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Share-Based Payment Arrangement [Abstract]    
Stock-based compensation expense, net of tax $ 16 $ 14
v3.25.1
Inventories, net (Details) - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Inventory Disclosure [Abstract]    
Raw materials $ 157 $ 171
Work in process 16 14
Finished products 1,055 1,052
Total inventories, net $ 1,228 $ 1,237
v3.25.1
Goodwill and Intangible Assets, net - Schedule of Goodwill (Details)
$ in Millions
 3 Months Ended
Mar. 29, 2025
USD ($)
Goodwill  
Goodwill, beginning balance $ 3,072
Adjustments (9)
Impact of foreign currency translation 21
Goodwill, ending balance 3,084
Products and Solutions  
Goodwill  
Goodwill, beginning balance 2,015
Adjustments 0
Impact of foreign currency translation 14
Goodwill, ending balance 2,029
ADI Global Distribution  
Goodwill  
Goodwill, beginning balance 1,057
Adjustments (9)
Impact of foreign currency translation 7
Goodwill, ending balance $ 1,055
v3.25.1
Goodwill and Intangible Assets, net - Schedule of Intangible Assets (Details) - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]    
Intangible assets subject to amortization $ 977 $ 996
Indefinite-lived intangible assets 180 180
Total intangible assets $ 1,157 $ 1,176
v3.25.1
Goodwill and Intangible Assets, net - Schedule of Other Intangible Assets With Finite Lives (Detail) - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Finite Lived Intangible Assets    
Gross Carrying Amount $ 1,386 $ 1,371
Accumulated Amortization (409) (375)
Net Carrying Amount 977 996
Patents and technology    
Finite Lived Intangible Assets    
Gross Carrying Amount 171 170
Accumulated Amortization (47) (41)
Net Carrying Amount 124 129
Customer relationships    
Finite Lived Intangible Assets    
Gross Carrying Amount 906 901
Accumulated Amortization (198) (177)
Net Carrying Amount 708 724
Trademarks    
Finite Lived Intangible Assets    
Gross Carrying Amount 78 78
Accumulated Amortization (13) (12)
Net Carrying Amount 65 66
Software    
Finite Lived Intangible Assets    
Gross Carrying Amount 231 222
Accumulated Amortization (151) (145)
Net Carrying Amount $ 80 $ 77
v3.25.1
Goodwill and Intangible Assets, net - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]    
Intangible asset amortization $ 30 $ 9
v3.25.1
Leases - Schedule of Operating Lease Costs (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Lessee Lease Description    
Total operating lease costs $ 24 $ 19
Variable lease costs 5 3
Selling, general and administrative expenses    
Lessee Lease Description    
Total operating lease costs 20 14
Cost of goods sold    
Lessee Lease Description    
Total operating lease costs $ 4 $ 5
v3.25.1
Leases - Schedule of Lease Recognized Related to Operating Leases (Details) - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Leases [Abstract]    
Operating lease assets $ 241 $ 248
Operating lease liabilities - current 51 51
Operating lease liabilities - non-current $ 207 $ 212
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] Other assets Other assets
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] Accrued liabilities Accrued liabilities
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] Other liabilities Other liabilities
v3.25.1
Leases - Schedule of Supplemental Cash Flow Information Related to Operating Leases (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Leases [Abstract]    
Cash paid for operating lease liabilities $ 12 $ 9
Non-cash activities: operating lease assets obtained in exchange for new operating lease liabilities $ 4 $ 6
v3.25.1
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Jul. 31, 2024
Aug. 31, 2021
Debt Instrument        
Gross debt $ 2,015 $ 2,015    
Less: current portion of long-term debt (8) (6)    
Less: unamortized deferred financing costs (24) (26)    
Long-term debt $ 1,983 1,983    
4.000% Senior Notes due 2029 | Senior Notes        
Debt Instrument        
Interest rate (as a percent) 4.00%     4.00%
Gross debt $ 300 300    
6.500% Senior Notes due 2032 | Senior Notes        
Debt Instrument        
Interest rate (as a percent) 6.50%   6.50%  
Gross debt $ 600 600    
Variable rate A&R Term B Facility | Senior Notes        
Debt Instrument        
Gross debt $ 1,115 $ 1,115    
v3.25.1
Long-Term Debt - Additional Information (Details) - USD ($)
 1 Months Ended
Dec. 31, 2024
Mar. 29, 2025
Jul. 31, 2024
Aug. 31, 2021
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%
Senior Notes due 2032 | Senior Notes        
Debt Instrument        
Principal amount issued     $ 600,000,000  
6.5% of Senior Unsecured Notes Due 2032 | Senior Notes        
Debt Instrument        
Interest rate (as a percent)   6.50% 6.50%  
A&R Term B Facility        
Debt Instrument        
Weighted average interest rate (as a percent) 6.13% 6.06%    
A&R Term B Facility | A&R Credit Agreement        
Debt Instrument        
Debt instrument, basis spread on variable rate (as a percent) 1.75%      
Credit facilities term (in years) 5 years      
A&R Revolving Credit Facility | A&R Revolving Credit Facility        
Debt Instrument        
Principal amount issued $ 500,000,000      
A&R Revolving Credit Facility | Senior Credit Facilities        
Debt Instrument        
Borrowings from credit facility 0 $ 0    
Letter of Credit | Senior Credit Facilities        
Debt Instrument        
Borrowings from credit facility $ 0 $ 0    
v3.25.1
Derivative Financial Instruments - Additional Information (Details)
$ in Millions
 3 Months Ended
Mar. 29, 2025
USD ($)
Feb. 28, 2025
USD ($)
Dec. 31, 2024
USD ($)
Jun. 14, 2024
USD ($)
Mar. 31, 2021
USD ($)
derivative
Derivative          
Unrealized gains expected to be reclassified from AOCI in next 12 months $ 5        
Swap Agreements          
Derivative          
Number of interest rate derivatives held | derivative         8
Notional value $ 420 $ 70 $ 560   $ 560
Fixed weighted average rate (as percent)         0.39%
Swap Agreements | Maximum          
Derivative          
Fixed weighted average rate (as percent)         1.28%
Interest Rate Cap          
Derivative          
Notional value       $ 344  
Strike rate (as a percent)       4.79%  
Premium value       $ 7  
v3.25.1
Derivative Financial Instruments - Schedule of Derivative Instruments in Statement of Financial Position (Details) - USD ($)
$ in Millions
 3 Months Ended 12 Months Ended
Mar. 29, 2025
Dec. 31, 2024
Derivative    
Total derivative assets designated as hedging instruments $ 9 $ 13
Derivative Asset, Current, Statement of Financial Position [Extensible Enumeration] Other current assets  
Derivative Asset, Statement of Financial Position [Extensible Enumeration] Other assets  
Accumulated other comprehensive loss    
Derivative    
Unrealized gain $ 5 8
Designated as Hedging Instrument | Interest rate derivatives    
Derivative    
Total derivative liabilities designated as hedging instruments 6 6
Other current assets | Designated as Hedging Instrument | Interest rate derivatives    
Derivative    
Total derivative assets designated as hedging instruments 7 10
Other assets | Designated as Hedging Instrument | Interest rate derivatives    
Derivative    
Total derivative assets designated as hedging instruments $ 2 $ 3
v3.25.1
Derivative Financial Instruments - Schedule of Effect of Derivative Instruments Designated as Cash Flow Hedges (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Derivatives used in Net Investment Hedge, Net of Tax    
Beginning of period $ 3,309 $ 2,749
End of period 3,347 2,769
Accumulated other comprehensive loss    
Derivatives used in Net Investment Hedge, Net of Tax    
Beginning of period 8 25
Current period (loss) gain recognized in/reclassified from other comprehensive income (4) 1
Gains reclassified from accumulated other comprehensive loss to net income 1 (2)
End of period $ 5 $ 24
v3.25.1
Fair Value - Schedule of Carrying Values and Estimated Fair Values of Debt Instruments (Details) - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Jul. 31, 2024
Aug. 31, 2021
Debt Instrument        
Carrying Value $ 2,015 $ 2,015    
Fair Value $ 1,991 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 $ 274 272    
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 601 602    
Variable rate A&R Term B Facility | Senior Notes        
Debt Instrument        
Carrying Value 1,115 1,115    
Fair Value $ 1,116 $ 1,119    
v3.25.1
Fair Value - Schedule of the Carrying Amount and Fair Value of Interest Rate Swap (Details) - Level 2 - Fair Value, Recurring - Interest rate derivatives - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Assets:    
Assets, Carrying Value $ 9 $ 13
Assets, Fair Value 9 13
Liabilities:    
Liabilities, Carrying Value 6 6
Liabilities, Fair Value $ 6 $ 6
v3.25.1
Accrued Liabilities (Details) - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Dec. 31, 2023
Accrued liabilities      
Obligations payable under Indemnification Agreements $ 140 $ 140  
Compensation, benefit and other employee-related 88 131  
Customer rebate reserve 79 112  
Current operating lease liability 51 51  
Deferred revenue 30 29  
Freight payable 29 26  
Restructuring 28 31 $ 30
Product warranties 27 27  
Taxes payable 13 35  
Other 122 135  
Total accrued liabilities $ 607 $ 717  
v3.25.1
Commitments and Contingencies - Additional Information (Details) - USD ($)
$ in Millions
 3 Months Ended
Oct. 29, 2018
Mar. 29, 2025
Mar. 30, 2024
Loss Contingencies      
Environmental Loss Contingency, Statement of Financial Position [Extensible Enumeration]   Cost of goods sold  
Environmental liabilities   $ 22  
Other Expense      
Loss Contingencies      
Reimbursement agreement expenses   90 $ 43
Indemnification Agreement      
Loss Contingencies      
Maximum annual reimbursement obligation amount   $ 25  
Honeywell | Indemnification Agreement      
Loss Contingencies      
Indemnification payable percentage of payments (as a percent) 90.00%    
Honeywell | Indemnification Agreement | Maximum      
Loss Contingencies      
Indemnity liability annual cap $ 140    
v3.25.1
Commitments and Contingencies - Schedule of Reimbursement Agreement Liabilities (Details) - Honeywell
$ in Millions
 3 Months Ended
Mar. 29, 2025
USD ($)
Accrual for Reimbursement Agreement  
Beginning balance $ 814
Accruals for liabilities deemed probable and reasonably estimable 90
Payments to Honeywell (36)
Ending balance 868
Reimbursement Agreement  
Accrual for Reimbursement Agreement  
Beginning balance 723
Accruals for liabilities deemed probable and reasonably estimable 90
Payments to Honeywell (35)
Ending balance 778
Tax Matters Agreement  
Accrual for Reimbursement Agreement  
Beginning balance 91
Accruals for liabilities deemed probable and reasonably estimable 0
Payments to Honeywell (1)
Ending balance $ 90
v3.25.1
Commitments and Contingencies - Schedule of Reimbursement Agreement Liabilities Included in Balance Sheet Accounts (Details) - Honeywell - USD ($)
$ in Millions
Mar. 29, 2025
Dec. 31, 2024
Loss Contingency, Classification of Accrual    
Total indemnification liabilities $ 868 $ 814
Accrued liabilities    
Loss Contingency, Classification of Accrual    
Accrued liabilities 140 140
Obligations payable under Indemnification Agreements    
Loss Contingency, Classification of Accrual    
Obligations payable under Indemnification Agreements $ 728 $ 674
v3.25.1
Commitments and Contingencies - Schedule of Recorded Obligations for Product Warranties and Product Performance Guarantee (Details) - USD ($)
$ in Millions
 3 Months Ended 12 Months Ended
Mar. 29, 2025
Dec. 31, 2024
Product Warranties and Guarantees    
Beginning balance $ 35 $ 34
Accruals for warranties/guarantees issued during the year 8 31
Settlement/adjustment of warranty/guarantee claims (8) (30)
Ending balance $ 35 $ 35
v3.25.1
Income Taxes - (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Income Tax Disclosure [Abstract]    
Provision for income taxes $ 9 $ 30
v3.25.1
(Loss) Earnings Per Common Share - Schedule of Computation of Basic and Diluted Earnings Per Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
Numerator for basic and diluted (loss) earnings per common share:    
Net income $ 6 $ 43
Less: preferred stock dividends 9 0
Net (loss) income available to common stockholders, basic (3) 43
Net (loss) income available to common stockholders, diluted $ (3) $ 43
Denominator for basic and diluted (loss) earnings per common share:    
Weighted average basic number of common shares outstanding (in shares) 148 146
Plus: dilutive effect of common stock equivalents (in shares) 0 2
Weighted average diluted number of common shares outstanding (in shares) 148 148
Net (loss) income per common share:    
Basic (in dollars per share) $ (0.02) $ 0.29
Diluted (in dollars per share) $ (0.02) $ 0.29
v3.25.1
(Loss) Earnings Per Common Share - Schedule of Potentially Dilutive Instruments (Details) - shares
shares in Millions
 3 Months Ended
Mar. 29, 2025
Mar. 30, 2024
RSUs and other rights    
Antidilutive Securities Excluded from Computation of Earnings Per Share    
Purchase of outstanding common stock were anti-dilutive (in shares) 6.6 0.7
PSUs    
Antidilutive Securities Excluded from Computation of Earnings Per Share    
Purchase of outstanding common stock were anti-dilutive (in shares) 1.4 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 0.0