Cover Page
Cover Page shares in Millions | 6 Months Ended |
Jun. 30, 2024 shares | |
Entity Information [Line Items] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Jun. 30, 2024 |
Document Transition Report | false |
Entity File Number | 1-14037 |
Entity Registrant Name | Moody’s Corporation |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 13-3998945 |
Entity Address, Address Line One | 7 World Trade Center at 250 Greenwich Street |
Entity Address, City or Town | New York |
Entity Address, State or Province | NY |
Entity Address, Postal Zip Code | 10007 |
City Area Code | (212) |
Local Phone Number | 553-0300 |
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 (in shares) | 182.1 |
Entity Central Index Key | 0001059556 |
Document Fiscal Period Focus | Q2 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2024 |
Common Stock, par value $0.01 per share | |
Entity Information [Line Items] | |
Title of 12(b) Security | Common Stock, par value $0.01 per share |
Trading Symbol | MCO |
Security Exchange Name | NYSE |
1.75% Senior Notes Due 2027 | |
Entity Information [Line Items] | |
Title of 12(b) Security | 1.75% Senior Notes Due 2027 |
Trading Symbol | MCO 27 |
Security Exchange Name | NYSE |
0.950% Senior Notes Due 2030 | |
Entity Information [Line Items] | |
Title of 12(b) Security | 0.950% Senior Notes Due 2030 |
Trading Symbol | MCO 30 |
Security Exchange Name | NYSE |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Income Statement [Abstract] | ||||
Revenue | $ 1,817 | $ 1,494 | $ 3,603 | $ 2,964 |
Expenses | ||||
Operating | 469 | 426 | 936 | 854 |
Selling, general, and administrative | 446 | 415 | 859 | 801 |
Depreciation and amortization | 110 | 93 | 210 | 181 |
Restructuring | 2 | 10 | 7 | 24 |
Charges related to asset abandonment | 15 | 0 | 15 | 0 |
Total expenses | 1,042 | 944 | 2,027 | 1,860 |
Operating income | 775 | 550 | 1,576 | 1,104 |
Non-operating (expense) income, net | ||||
Interest expense, net | (63) | (71) | (125) | (119) |
Other non-operating income, net | 7 | 13 | 20 | 13 |
Total non-operating (expense) income, net | (56) | (58) | (105) | (106) |
Income before provision for income taxes | 719 | 492 | 1,471 | 998 |
Provision for income taxes | 166 | 115 | 341 | 120 |
Net Income | 553 | 377 | 1,130 | 878 |
Less: Net income attributable to noncontrolling interests | 1 | 0 | 1 | 0 |
Net income attributable to Moody's | $ 552 | $ 377 | $ 1,129 | $ 878 |
Earnings per share attributable to Moody's common shareholders | ||||
Basic (in usd per share) | $ 3.03 | $ 2.05 | $ 6.19 | $ 4.79 |
Diluted (in usd per share) | $ 3.02 | $ 2.05 | $ 6.16 | $ 4.77 |
Weighted average number of shares outstanding | ||||
Basic (in shares) | 182.3 | 183.5 | 182.5 | 183.4 |
Diluted (in shares) | 183 | 184.1 | 183.2 | 184.1 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income | $ 553 | $ 377 | $ 1,130 | $ 878 |
Foreign Currency Adjustments: | ||||
Foreign currency translation adjustments - Pre Tax | (39) | 51 | (154) | 160 |
Foreign currency translation adjustments - Tax | 0 | 0 | 0 | (2) |
Foreign currency translation adjustments - Net of Tax | (39) | 51 | (154) | 158 |
Net gains on net investment hedges - Pre Tax | 43 | (37) | 144 | (113) |
Net gains on net investment hedges - Tax | (11) | 9 | (38) | 28 |
Net gains on net investment hedges - Net of Tax | 32 | (28) | 106 | (85) |
Cash Flow Hedges: | ||||
Reclassification of losses included in net income - Pre Tax | 0 | 0 | 1 | 1 |
Reclassification of losses included in net income - Tax | 0 | (1) | 0 | (1) |
Reclassification of losses included in net income - Net of Tax | 0 | (1) | 1 | 0 |
Pension and Other Retirement Benefits: | ||||
Amortization of actuarial gains and prior service credits included in net income - Pre Tax | (1) | (2) | (1) | (2) |
Amortization of actuarial gains and prior service credits included in net income, tax expense (benefit) | 0 | 1 | 0 | 1 |
Amortization of actuarial gains and prior service credits included in net income | (1) | (1) | (1) | (1) |
Net actuarial and prior service costs - Pre Tax | (2) | 0 | (3) | 0 |
Net actuarial and prior service costs - Tax | 1 | 0 | 1 | 0 |
Net actuarial and prior service costs - Net of Tax | (1) | 0 | (2) | 0 |
Total other comprehensive (loss) income - Pre Tax | 1 | 12 | (13) | 46 |
Total other comprehensive (loss) income - Tax | (10) | 9 | (37) | 26 |
Total other comprehensive (loss) income - Net of Tax | (9) | 21 | (50) | 72 |
Comprehensive income | 544 | 398 | 1,080 | 950 |
Less: comprehensive income attributable to noncontrolling interests | 0 | 2 | 0 | (1) |
Comprehensive Income Attributable to Moody's | $ 544 | $ 396 | $ 1,080 | $ 951 |
CONSOLIDATED BALANCE SHEETS (UN
CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 2,635 | $ 2,130 |
Short-term investments | 63 | 63 |
Accounts receivable, net of allowance for credit losses of $35 in 2024 and $35 in 2023 | 1,694 | 1,659 |
Other current assets | 489 | 489 |
Total current assets | 4,881 | 4,341 |
Property and equipment, net of accumulated depreciation of $1,378 in 2024 and $1,272 in 2023 | 652 | 603 |
Operating lease right-of-use assets | 242 | 277 |
Goodwill | 5,891 | 5,956 |
Intangible assets, net | 1,930 | 2,049 |
Deferred tax assets, net | 267 | 258 |
Other assets | 1,150 | 1,138 |
Total assets | 15,013 | 14,622 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 1,000 | 1,076 |
Current portion of operating lease liabilities | 108 | 108 |
Current portion of long-term debt | 688 | 0 |
Deferred revenue | 1,423 | 1,316 |
Total current liabilities | 3,219 | 2,500 |
Non-current portion of deferred revenue | 59 | 65 |
Long-term debt | 6,253 | 7,001 |
Deferred tax liabilities, net | 465 | 402 |
Uncertain tax positions | 207 | 196 |
Operating lease liabilities | 254 | 306 |
Other liabilities | 618 | 676 |
Total liabilities | 11,075 | 11,146 |
Contingencies | ||
Shareholders' equity: | ||
Preferred stock, par value $0.01 per share; 10,000,000 shares authorized; no shares issued and outstanding | 0 | 0 |
Capital surplus | 1,324 | 1,228 |
Retained earnings | 15,478 | 14,659 |
Treasury stock, at cost; 160,818,154 and 160,430,754 shares of common stock at June 30, 2024 and December 31, 2023, respectively | (12,410) | (12,005) |
Accumulated other comprehensive loss | (617) | (567) |
Total Moody's shareholders' equity | 3,778 | 3,318 |
Noncontrolling interests | 160 | 158 |
Total shareholders' equity | 3,938 | 3,476 |
Total liabilities, noncontrolling interests, and shareholders' equity | 15,013 | 14,622 |
Series Common Stock | ||
Shareholders' equity: | ||
Common stock | 0 | 0 |
Non Series Common Stock | ||
Shareholders' equity: | ||
Common stock | $ 3 | $ 3 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Accounts receivable, allowances | $ 35 | $ 35 |
Accumulated depreciation, property and equipment | $ 1,378 | $ 1,272 |
Preferred stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Treasury stock, shares (in shares) | 160,818,154 | 160,430,754 |
Series Common Stock | ||
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, shares issued (in shares) | 0 | 0 |
Common stock, shares outstanding (in shares) | 0 | 0 |
Non Series Common Stock | ||
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (in shares) | 342,902,272 | 342,902,272 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Cash flows from operating activities | ||
Net Income | $ 1,130 | $ 878 |
Reconciliation of net income to net cash provided by operating activities: | ||
Depreciation and amortization | 210 | 181 |
Stock-based compensation | 109 | 97 |
Deferred income taxes | 25 | 21 |
Expected credit losses | 10 | 9 |
Changes in assets and liabilities: | ||
Accounts receivable | (64) | 112 |
Other current assets | (6) | 78 |
Other assets | (1) | (24) |
Lease obligations | (15) | (9) |
Accounts payable and accrued liabilities | (82) | (86) |
Deferred revenue | 120 | 97 |
Uncertain tax positions and other non-current tax liabilities | 12 | (120) |
Other liabilities | 13 | (22) |
Net cash provided by operating activities | 1,461 | 1,212 |
Cash flows from investing activities | ||
Capital additions | (171) | (127) |
Purchases of investments | (87) | (53) |
Sales and maturities of investments | 81 | 81 |
Purchases of investments in non-consolidated affiliates | (2) | (2) |
Sales of investments in non-consolidated affiliates | 0 | 1 |
Cash paid for acquisitions, net of cash acquired | (12) | (3) |
Net cash used in investing activities | (191) | (103) |
Cash flows from financing activities | ||
Repayment of notes | 0 | (200) |
Proceeds from stock-based compensation plans | 45 | 31 |
Treasury shares | (384) | (108) |
Repurchase of shares related to stock-based compensation | (82) | (64) |
Dividends | (309) | (283) |
Dividends to noncontrolling interests | (1) | 0 |
Net cash used in financing activities | (731) | (624) |
Effect of exchange rate changes on cash and cash equivalents | (34) | 24 |
Increase in cash and cash equivalents | 505 | 509 |
Cash and cash equivalents, beginning of period | 2,130 | 1,769 |
Cash and cash equivalents, end of period | $ 2,635 | $ 2,278 |
CONSOLIDATED STATEMENT OF SHARE
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Millions | Total | Total Moody's Shareholders' Equity | Common Stock | Capital Surplus | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Loss | Non- Controlling Interests |
Common stock, shares issued beginning balance (in shares) at Dec. 31, 2022 | 342,900,000 | |||||||
Treasury stock, common, beginning balance (shares) at Dec. 31, 2022 | (159,700,000) | |||||||
Beginning Balance at Dec. 31, 2022 | $ 2,689 | $ 2,519 | $ 3 | $ 1,054 | $ 13,618 | $ (11,513) | $ (643) | $ 170 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net Income | 878 | 878 | 878 | 0 | ||||
Dividends | (284) | (283) | (283) | (1) | ||||
Stock-based compensation | 97 | 97 | 97 | |||||
Shares issued for stock-based compensation plans at average cost, net | (31) | (31) | (27) | $ (4) | ||||
Shares issued for stock-based compensation plans at average cost, net (in shares) | 700,000 | |||||||
Treasury shares repurchased, inclusive of excise tax | (109) | (109) | 0 | $ (109) | ||||
Treasury shares repurchased, inclusive of excise tax (in shares) | (400,000) | |||||||
Currency translation adjustment, net of net investment hedge activity (net of tax) | 73 | 74 | 74 | (1) | ||||
Net actuarial losses (net of tax) | 0 | |||||||
Amortization of actuarial gains and prior service credits | (1) | (1) | (1) | |||||
Common stock, shares issued ending balance (in shares) at Jun. 30, 2023 | 342,900,000 | |||||||
Treasury stock, common, ending balance (shares) at Jun. 30, 2023 | (159,400,000) | |||||||
Ending Balance at Jun. 30, 2023 | 3,312 | 3,144 | $ 3 | 1,124 | 14,213 | $ (11,626) | (570) | 168 |
Common stock, shares issued beginning balance (in shares) at Mar. 31, 2023 | 342,900,000 | |||||||
Treasury stock, common, beginning balance (shares) at Mar. 31, 2023 | (159,400,000) | |||||||
Beginning Balance at Mar. 31, 2023 | 3,058 | 2,891 | $ 3 | 1,068 | 13,979 | $ (11,570) | (589) | 167 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net Income | 377 | 377 | 377 | 0 | ||||
Dividends | (144) | (143) | (143) | (1) | ||||
Stock-based compensation | 50 | 50 | 50 | |||||
Shares issued for stock-based compensation plans at average cost, net | 17 | 17 | 6 | $ 11 | ||||
Shares issued for stock-based compensation plans at average cost, net (in shares) | 300,000 | |||||||
Treasury shares repurchased, inclusive of excise tax | (67) | (67) | 0 | $ (67) | ||||
Treasury shares repurchased, inclusive of excise tax (in shares) | (300,000) | |||||||
Currency translation adjustment, net of net investment hedge activity (net of tax) | 23 | 21 | 21 | 2 | ||||
Net actuarial losses (net of tax) | 0 | |||||||
Amortization of actuarial gains and prior service credits | (1) | (1) | (1) | |||||
Net realized and unrealized gain on cash flow hedges | (1) | (1) | (1) | |||||
Common stock, shares issued ending balance (in shares) at Jun. 30, 2023 | 342,900,000 | |||||||
Treasury stock, common, ending balance (shares) at Jun. 30, 2023 | (159,400,000) | |||||||
Ending Balance at Jun. 30, 2023 | $ 3,312 | 3,144 | $ 3 | 1,124 | 14,213 | $ (11,626) | (570) | 168 |
Common stock, shares issued beginning balance (in shares) at Dec. 31, 2023 | 342,900,000 | |||||||
Treasury stock, common, beginning balance (shares) at Dec. 31, 2023 | (160,430,754) | (160,400,000) | ||||||
Beginning Balance at Dec. 31, 2023 | $ 3,476 | 3,318 | $ 3 | 1,228 | 14,659 | $ (12,005) | (567) | 158 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net Income | 1,130 | 1,129 | 1,129 | 1 | ||||
Dividends | (311) | (310) | (310) | (1) | ||||
Stock-based compensation | 111 | 111 | 111 | |||||
Shares issued for stock-based compensation plans at average cost, net | (37) | (37) | (15) | $ (22) | ||||
Shares issued for stock-based compensation plans at average cost, net (in shares) | 600,000 | |||||||
Noncontrolling interest resulting from majority acquisition | 2 | 0 | 2 | |||||
Treasury shares repurchased, inclusive of excise tax | (383) | (383) | 0 | $ (383) | ||||
Treasury shares repurchased, inclusive of excise tax (in shares) | (1,000,000) | |||||||
Currency translation adjustment, net of net investment hedge activity (net of tax) | (48) | (48) | (48) | 0 | ||||
Net actuarial losses (net of tax) | (2) | (2) | (2) | |||||
Amortization of actuarial gains and prior service credits | (1) | (1) | (1) | |||||
Net realized and unrealized gain on cash flow hedges | $ 1 | 1 | 1 | |||||
Common stock, shares issued ending balance (in shares) at Jun. 30, 2024 | 342,900,000 | |||||||
Treasury stock, common, ending balance (shares) at Jun. 30, 2024 | (160,818,154) | (160,800,000) | ||||||
Ending Balance at Jun. 30, 2024 | $ 3,938 | 3,778 | $ 3 | 1,324 | 15,478 | $ (12,410) | (617) | 160 |
Common stock, shares issued beginning balance (in shares) at Mar. 31, 2024 | 342,900,000 | |||||||
Treasury stock, common, beginning balance (shares) at Mar. 31, 2024 | (160,300,000) | |||||||
Beginning Balance at Mar. 31, 2024 | 3,735 | 3,575 | $ 3 | 1,252 | 15,081 | $ (12,153) | (608) | 160 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net Income | 553 | 552 | 552 | 1 | ||||
Dividends | (156) | (155) | (155) | (1) | ||||
Stock-based compensation | 57 | 57 | 57 | |||||
Shares issued for stock-based compensation plans at average cost, net | 22 | 22 | 15 | $ 7 | ||||
Shares issued for stock-based compensation plans at average cost, net (in shares) | 200,000 | |||||||
Treasury shares repurchased, inclusive of excise tax | (264) | (264) | $ (264) | |||||
Treasury shares repurchased, inclusive of excise tax (in shares) | (700,000) | |||||||
Currency translation adjustment, net of net investment hedge activity (net of tax) | (7) | (7) | (7) | 0 | ||||
Net actuarial losses (net of tax) | (1) | (1) | (1) | |||||
Amortization of actuarial gains and prior service credits | $ (1) | (1) | (1) | |||||
Common stock, shares issued ending balance (in shares) at Jun. 30, 2024 | 342,900,000 | |||||||
Treasury stock, common, ending balance (shares) at Jun. 30, 2024 | (160,818,154) | (160,800,000) | ||||||
Ending Balance at Jun. 30, 2024 | $ 3,938 | $ 3,778 | $ 3 | $ 1,324 | $ 15,478 | $ (12,410) | $ (617) | $ 160 |
CONSOLIDATED STATEMENT OF SHA_2
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (UNAUDITED) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Statement of Stockholders' Equity [Abstract] | ||||
Dividends (in usd per share) | $ 0.85 | $ 0.77 | $ 1.70 | $ 1.54 |
Currency translation adjustment, net of net investment hedge activity, tax expense (benefit) | $ 11 | $ (9) | $ 38 | $ (26) |
Net actuarial gains and prior service cost, tax expense (benefit) | 1 | 0 | 1 | 0 |
Amortization of actuarial gains and prior service credits included in net income, tax expense (benefit) | $ 0 | (1) | $ 0 | $ (1) |
Net losses on cash flow hedges - Tax | $ (1) |
DESCRIPTION OF BUSINESS AND BAS
DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION | DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION Moody’s is a global integrated risk assessment firm that empowers organizations to anticipate, adapt and thrive in a new era of exponential risk. Our data, analytical solutions and insights help decision-makers identify opportunities and manage the risks of doing business with others. Moody’s reports in two reportable segments: MA and MIS. MA is a global provider of: i) decision solutions; ii) research and insights; and iii) data and information, which help companies make better and faster decisions. MA leverages its unique assets and specialized industry knowledge across multiple risks such as credit, market, financial crime, supply chain, catastrophe and climate to deliver integrated risk assessment solutions that enable business leaders to identify, measure and manage the implications of interrelated risks and opportunities. MIS publishes credit ratings and provides assessment services on a wide range of debt obligations, programs and facilities, and the entities that issue such obligations in markets worldwide, including various corporate, financial institution and governmental obligations, and structured finance securities. These interim financial statements have been prepared in accordance with the instructions to Form 10-Q and should be read in conjunction with the Company’s consolidated financial statements and related notes in the Company’s 2023 annual report on Form 10-K filed with the SEC on February 14, 2024. The results of interim periods are not necessarily indicative of results for the full year or any subsequent period. In the opinion of management, all adjustments (including normal recurring accruals) considered necessary for a fair presentation of financial position, results of operations and cash flows at the dates and for the periods presented have been included. The year-end consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP. Certain reclassifications have been made to prior period amounts to conform to the current presentation. Recently Issued Accounting Standards In November 2023, the FASB issued ASU 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" ("ASU No. 2023-07"), which expands segment disclosure requirements for public entities. ASU No. 2023-07 will require entities to disclose significant segment expenses by reportable segment if they are regularly provided to the CODM and included in each reported measure of segment profit or loss. In addition, this ASU permits entities to disclose more than one measure of segment profit or loss used by the CODM. Additionally, disclosure of the CODM’s title and position will be required on an annual basis, as well as an explanation of how the CODM uses the reported measure(s). Furthermore, all existing annual disclosures about segment profit or loss and assets must be provided on an interim basis in addition to disclosure of significant segment expenses and other segment items. This ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, and requires retrospective application to all prior periods presented in the financial statements. The Company is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures. In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU No. 2023-09"), which is intended to enhance the transparency and decision usefulness of income tax disclosures. The amendments in ASU No. 2023-09 require entities to disclose additional income tax information, primarily related to greater disaggregation of the entity's ETR reconciliation and income taxes paid by jurisdiction disclosures. This ASU is effective for annual periods beginning after December 15, 2024, and should be applied on a prospective basis; however, retrospective application is permitted. The Company is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures. Reclassification of Previously Reported Revenue by LOB In the first quarter of 2024, pursuant to the integration of RMS into the Company's order-to-cash systems, the Company reclassified certain prior year revenue by geography disclosures. The impact of the reclassification was not material and prior year revenue disclosures have been reclassified to conform to this new presentation, which is disclosed in Note 2. |
REVENUES
REVENUES | 6 Months Ended |
Jun. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | REVENUES Revenue by Category The following table presents the Company’s revenues disaggregated by LOB: Three Months Ended June 30, Six Months Ended 2024 2023 2024 2023 MA: Decision Solutions (DS) Banking $ 131 $ 123 $ 265 $ 254 Insurance 147 133 291 266 KYC 88 78 175 148 Total DS 366 334 731 668 Research and Insights (R&I) 226 217 448 432 Data and Information (D&I) 210 196 422 384 Total external revenue 802 747 1,601 1,484 Intersegment revenue 4 4 7 7 Total MA 806 751 1,608 1,491 MIS: Corporate Finance (CFG) Investment-grade 120 94 267 209 High-yield 85 46 152 78 Bank loans 147 68 302 127 Other accounts (1) 173 157 333 307 Total CFG 525 365 1,054 721 Structured Finance (SFG) Asset-backed securities 34 32 67 59 RMBS 25 25 49 50 CMBS 22 14 39 28 Structured credit 50 31 89 63 Other accounts — — 1 1 Total SFG 131 102 245 201 Financial Institutions (FIG) Banking 115 97 236 197 Insurance 61 35 120 68 Managed investments 15 10 27 16 Other accounts 4 3 7 6 Total FIG 195 145 390 287 Public, Project and Infrastructure Finance (PPIF) Public finance / sovereign 67 54 126 106 Project and infrastructure 87 73 169 150 Total PPIF 154 127 295 256 Total ratings revenue 1,005 739 1,984 1,465 MIS Other 10 8 18 15 Total external revenue 1,015 747 2,002 1,480 Intersegment revenue 49 46 96 91 Total MIS 1,064 793 2,098 1,571 Eliminations (53) (50) (103) (98) Total MCO $ 1,817 $ 1,494 $ 3,603 $ 2,964 (1) Other includes: recurring monitoring fees of a rated debt obligation and/or entities that issue such obligations as well as fees from programs such as commercial paper, medium term notes, and ICRA corporate finance revenue. The following table presents the Company’s revenues disaggregated by LOB and geographic area: Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 U.S. Non-U.S Total U.S. Non-U.S Total MA: Decision Solutions $ 138 $ 228 $ 366 $ 133 $ 201 $ 334 Research and Insights 124 102 226 119 98 217 Data and Information 76 134 210 68 128 196 Total MA 338 464 802 320 427 747 MIS: Corporate Finance 342 183 525 239 126 365 Structured Finance 92 39 131 60 42 102 Financial Institutions 104 91 195 73 72 145 Public, Project and Infrastructure Finance 98 56 154 83 44 127 Total ratings revenue 636 369 1,005 455 284 739 MIS Other — 10 10 — 8 8 Total MIS 636 379 1,015 455 292 747 Total MCO $ 974 $ 843 $ 1,817 $ 775 $ 719 $ 1,494 Six Months Ended June 30, 2024 Six Months Ended June 30, 2023 U.S. Non-U.S Total U.S. Non-U.S Total MA: Decision Solutions $ 276 $ 455 $ 731 $ 265 $ 403 $ 668 Research and Insights 246 202 448 237 195 432 Data and Information 153 269 422 135 249 384 Total MA 675 926 1,601 637 847 1,484 MIS: Corporate Finance 714 340 1,054 485 236 721 Structured Finance 168 77 245 121 80 201 Financial Institutions 202 188 390 136 151 287 Public, Project and Infrastructure Finance 184 111 295 159 97 256 Total ratings revenue 1,268 716 1,984 901 564 1,465 MIS Other — 18 18 — 15 15 Total MIS 1,268 734 2,002 901 579 1,480 Total MCO $ 1,943 $ 1,660 $ 3,603 $ 1,538 $ 1,426 $ 2,964 The following table presents the Company’s reportable segment revenues disaggregated by segment and geographic region: Three Months Ended June 30, Six Months Ended 2024 2023 2024 2023 MA: U.S. $ 338 $ 320 $ 675 $ 637 Non-U.S.: EMEA 319 298 635 585 Asia-Pacific 82 70 167 148 Americas 63 59 124 114 Total Non-U.S. 464 427 926 847 Total MA 802 747 1,601 1,484 MIS: U.S. 636 455 1,268 901 Non-U.S.: EMEA 247 181 473 354 Asia-Pacific 82 75 152 146 Americas 50 36 109 79 Total Non-U.S. 379 292 734 579 Total MIS 1,015 747 2,002 1,480 Total MCO $ 1,817 $ 1,494 $ 3,603 $ 2,964 The following table summarizes the split between Transaction Revenue and Recurring Revenue: Three Months Ended June 30, 2024 2023 Transaction Recurring Total Transaction Recurring Total Decision Solutions $ 35 $ 331 $ 366 $ 43 $ 291 $ 334 10 % 90 % 100 % 13 % 87 % 100 % Research and Insights $ 3 $ 223 $ 226 $ 3 $ 214 $ 217 1 % 99 % 100 % 1 % 99 % 100 % Data and Information $ 1 $ 209 $ 210 $ 1 $ 195 $ 196 — % 100 % 100 % 1 % 99 % 100 % Total MA (1) $ 39 $ 763 $ 802 $ 47 $ 700 $ 747 5 % 95 % 100 % 6 % 94 % 100 % Corporate Finance $ 388 $ 137 $ 525 $ 236 $ 129 $ 365 74 % 26 % 100 % 65 % 35 % 100 % Structured Finance $ 76 $ 55 $ 131 $ 48 $ 54 $ 102 58 % 42 % 100 % 47 % 53 % 100 % Financial Institutions $ 115 $ 80 $ 195 $ 73 $ 72 $ 145 59 % 41 % 100 % 50 % 50 % 100 % Public, Project and Infrastructure Finance $ 110 $ 44 $ 154 $ 84 $ 43 $ 127 71 % 29 % 100 % 66 % 34 % 100 % MIS Other $ 3 $ 7 $ 10 $ 2 $ 6 $ 8 30 % 70 % 100 % 25 % 75 % 100 % Total MIS $ 692 $ 323 $ 1,015 $ 443 $ 304 $ 747 68 % 32 % 100 % 59 % 41 % 100 % Total Moody's Corporation $ 731 $ 1,086 $ 1,817 $ 490 $ 1,004 $ 1,494 40 % 60 % 100 % 33 % 67 % 100 % Six Months Ended June 30, 2024 2023 Transaction Recurring Total Transaction Recurring Total Decision Solutions $ 72 $ 659 $ 731 $ 83 $ 585 $ 668 10 % 90 % 100 % 12 % 88 % 100 % Research and Insights $ 7 $ 441 $ 448 $ 8 $ 424 $ 432 2 % 98 % 100 % 2 % 98 % 100 % Data and Information $ 2 $ 420 $ 422 $ 1 $ 383 $ 384 — % 100 % 100 % — % 100 % 100 % Total MA (1) $ 81 $ 1,520 $ 1,601 $ 92 $ 1,392 $ 1,484 5 % 95 % 100 % 6 % 94 % 100 % Corporate Finance $ 787 $ 267 $ 1,054 $ 466 $ 255 $ 721 75 % 25 % 100 % 65 % 35 % 100 % Structured Finance $ 135 $ 110 $ 245 $ 94 $ 107 $ 201 55 % 45 % 100 % 47 % 53 % 100 % Financial Institutions $ 237 $ 153 $ 390 $ 143 $ 144 $ 287 61 % 39 % 100 % 50 % 50 % 100 % Public, Project and Infrastructure Finance $ 206 $ 89 $ 295 $ 169 $ 87 $ 256 70 % 30 % 100 % 66 % 34 % 100 % MIS Other $ 4 $ 14 $ 18 $ 3 $ 12 $ 15 22 % 78 % 100 % 20 % 80 % 100 % Total MIS $ 1,369 $ 633 $ 2,002 $ 875 $ 605 $ 1,480 68 % 32 % 100 % 59 % 41 % 100 % Total Moody's Corporation $ 1,450 $ 2,153 $ 3,603 $ 967 $ 1,997 $ 2,964 40 % 60 % 100 % 33 % 67 % 100 % (1) Revenue from software implementation services and risk management advisory projects, while classified by management as transactional revenue, is recognized over time under GAAP (please also refer to the following table). The following table presents the timing of revenue recognition: Three Months Ended June 30, 2024 Six Months Ended June 30, 2024 MA MIS Total MA MIS Total Revenue recognized at a point in time $ 18 $ 692 $ 710 $ 39 $ 1,369 $ 1,408 Revenue recognized over time 784 323 1,107 1,562 633 2,195 Total $ 802 $ 1,015 $ 1,817 $ 1,601 $ 2,002 $ 3,603 Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 MA MIS Total MA MIS Total Revenue recognized at a point in time $ 22 $ 443 $ 465 $ 49 $ 875 $ 924 Revenue recognized over time 725 304 1,029 1,435 605 2,040 Total $ 747 $ 747 $ 1,494 $ 1,484 $ 1,480 $ 2,964 Unbilled receivables, deferred revenue and remaining performance obligations Unbilled receivables For certain MA arrangements, the timing of when the Company has the unconditional right to consideration and recognizes revenue occurs prior to invoicing the customer. In addition, certain MIS arrangements contain contractual terms whereby the customers are billed in arrears for annual monitoring services, requiring revenue to be accrued as an unbilled receivable as such services are provided. The following table presents the Company's unbilled receivables, which are included within accounts receivable, net, at June 30, 2024 and December 31, 2023: As of June 30, 2024 As of December 31, 2023 MA MIS MA MIS Unbilled Receivables $ 139 $ 466 $ 119 $ 415 Deferred revenue The Company recognizes deferred revenue when a contract requires a customer to pay consideration to the Company in advance of when revenue related to that contract is recognized. This deferred revenue is relieved when the Company satisfies the related performance obligation and revenue is recognized. Significant changes in the deferred revenue balances during the three and six months ended June 30, 2024 and 2023 are as follows: Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 MA MIS Total MA MIS Total Balance at March 31, $ 1,312 $ 361 $ 1,673 $ 1,288 $ 360 $ 1,648 Changes in deferred revenue Revenue recognized that was included in the deferred revenue balance at the beginning of the period (529) (117) (646) (592) (116) (708) Increases due to amounts billable excluding amounts recognized as revenue during the period 365 93 458 417 91 508 Effect of exchange rate changes (2) (1) (3) 3 1 4 Total changes in deferred revenue (166) (25) (191) (172) (24) (196) Balance at June 30, $ 1,146 $ 336 $ 1,482 $ 1,116 $ 336 $ 1,452 Six Months Ended June 30, 2024 Six Months Ended June 30, 2023 MA MIS Total MA MIS Total Balance at December 31, $ 1,111 $ 270 $ 1,381 $ 1,055 $ 278 $ 1,333 Changes in deferred revenue Revenue recognized that was included in the deferred revenue balance at the beginning of the period (752) (155) (907) (788) (160) (948) Increases due to amounts billable excluding amounts recognized as revenue during the period 803 224 1,027 830 216 1,046 Effect of exchange rate changes (16) (3) (19) 19 2 21 Total changes in deferred revenue 35 66 101 61 58 119 Balance at June 30, $ 1,146 $ 336 $ 1,482 $ 1,116 $ 336 $ 1,452 Deferred revenue - current $ 1,145 $ 278 $ 1,423 $ 1,115 $ 270 $ 1,385 Deferred revenue - non-current $ 1 $ 58 $ 59 $ 1 $ 66 $ 67 For the MA segment, the decrease in deferred revenue for the three months ended June 30, 2024 and 2023 was primarily due to the recognition of annual subscription and maintenance billings from December and January. For the six months ended June 30, 2024 and 2023, the increase in deferred revenue is primarily attributable to the high concentration of billings in the first quarter. For the MIS segment, the change in the deferred revenue balance for all periods presented was primarily related to the significant portion of contract renewals that occur during the first quarter and are generally recognized over a one year period. Remaining performance obligations Remaining performance obligations in the MA segment include both amounts recorded as deferred revenue on the balance sheet as of June 30, 2024 as well as amounts not yet invoiced to customers as of June 30, 2024, largely reflecting future revenue related to signed multi-year arrangements for hosted and installed subscription-based products. As of June 30, 2024, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $3.6 billion. The Company expects to recognize into revenue approximately 60% of this balance within one year, approximately 25% of this balance between one Remaining performance obligations in the MIS segment largely reflect deferred revenue related to monitoring fees for certain structured finance products, primarily CMBS, where the issuers can elect to pay the monitoring fees for the life of the security in advance. As of June 30, 2024, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $91 million. The Company expects to recognize into revenue approximately 25% of this balance within one year, approximately 50% of this balance between one |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 6 Months Ended |
Jun. 30, 2024 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION Presented below is a summary of the stock-based compensation cost and associated tax benefit included in the accompanying consolidated statements of operations: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Stock-based compensation cost $ 56 $ 50 $ 109 $ 97 Tax benefit $ 12 $ 12 $ 24 $ 22 During the first half of 2024, the Company granted 0.2 million employee stock options, which had a weighted average grant date fair value of $120.42 per share. The Company also granted 0.5 million shares of restricted stock in the first half of 2024, which had a weighted average grant date fair value of $372.33 per share. Both the employee stock options and restricted stock generally vest ratably over four years. Additionally, the Company granted 0.2 million shares of performance-based awards whereby the number of shares that ultimately vest are based on the achievement of certain non-market-based performance metrics of the Company over a period of two The following weighted average assumptions were used in determining the fair value using the Black-Scholes option-pricing model for options granted in 2024: Expected dividend yield 0.91 % Expected stock volatility 28 % Risk-free interest rate 4.34 % Expected holding period 5.9 years Unrecognized stock-based compensation expense at June 30, 2024 was $21 million and $328 million for unvested stock options and restricted stock, respectively, which is expected to be recognized over a weighted average period of 1.9 years and 2.7 years, respectively. Additionally, there was $66 million of unrecognized stock-based compensation expense relating to the aforementioned non-market-based performance-based awards, which is expected to be recognized over a weighted average period of 2.5 years. The following table summarizes information relating to stock option exercises and restricted stock vesting: Six Months Ended 2024 2023 Exercise of stock options: Proceeds from stock option exercises $ 34 $ 21 Aggregate intrinsic value $ 43 $ 44 Tax benefit realized upon exercise $ 7 $ 10 Number of shares exercised 0.2 0.2 Vesting of restricted stock: Fair value of shares vested $ 176 $ 147 Tax benefit realized upon vesting $ 43 $ 34 Number of shares vested 0.5 0.5 Vesting of performance-based restricted stock: Fair value of shares vested $ 40 $ 24 Tax benefit realized upon vesting $ 9 $ 3 Number of shares vested 0.1 0.1 |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Jun. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Moody’s ETR was 23.1% and 23.4% for the three months ended June 30, 2024 and 2023, respectively. Moody’s ETR for the six months ended June 30, 2024 and 2023 was 23.2% and 12.0%, respectively. The increase in the ETR for the six months ended June 30, 2024 compared to the same period in the prior year was primarily due to tax benefits recognized in the first quarter of 2023, which reflect the resolution of uncertain tax positions in various U.S. and non-U.S. tax jurisdictions and will not recur in 2024. The Company’s year-to-date provision for income taxes differs from the tax computed by applying its estimated annual ETR to the pre-tax earnings primarily due to the excess tax benefits from stock-based compensation of $19 million. The Company classifies interest related to UTPs in interest expense, net in its consolidated statements of operations. Penalties, if incurred, would be recognized in other non-operating income, net. The Company had a net increase in its UTP reserves of $5 million, net of federal tax, during the second quarter of 2024 and an increase in its UTPs of $11 million, net of federal tax, during the first six months of 2024. Moody’s is subject to U.S. federal income tax as well as income tax in various state, local and foreign jurisdictions. The Company’s U.S. federal income tax returns for 2019 through 2020 are currently under examination and 2021 through 2022 remain open to examination. The Company’s New York City tax returns for 2018 through 2022 are currently under examination. The Company’s U.K. tax returns for 2017 through 2022 remain open to examination. For ongoing audits, it is possible the balance of UTPs could decrease in the next twelve months as a result of the settlement of such audits, which might involve the payment of additional taxes, the adjustment of certain deferred taxes and/or the recognition of tax benefits. It is also possible that new issues will be raised by tax authorities which could necessitate increases to the balance of UTPs. As the Company is unable to predict the timing or outcome of these audits, it is unable to estimate the amount of future changes to the balance of UTPs at this time. However, the Company believes that it has adequately provided for its financial exposure relating to all open tax years, by tax jurisdiction, in accordance with the applicable provisions of ASC Topic 740 regarding UTPs. The following table shows the amount the Company paid for income taxes: Six Months Ended June 30, 2024 2023 Income taxes paid $ 276 $ 122 Effective in 2024, multiple foreign jurisdictions in which the Company operates have enacted legislation to adopt a minimum tax rate described in the Global Anti-Base Erosion tax model rules (referred to as GloBE or Pillar II) issued by the OECD. A minimum ETR of 15% applies to multinational companies with consolidated revenue above €750 million. Under the GloBE rules, a company is required to determine a combined ETR for all entities located in a jurisdiction. If the jurisdictional effective tax rate is less than 15%, an additional tax generally will be due to bring the jurisdictional ETR up to 15%. We have evaluated the impact of the Pillar II global minimum tax rules on our consolidated financial statements and related disclosures. As of June 30, 2024, the Pillar II minimum tax requirement is not expected to have a material impact upon our full-year results of operations or financial position. |
RECONCILIATION OF WEIGHTED AVER
RECONCILIATION OF WEIGHTED AVERAGE SHARES OUTSTANDING | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
RECONCILIATION OF WEIGHTED AVERAGE SHARES OUTSTANDING | RECONCILIATION OF WEIGHTED AVERAGE SHARES OUTSTANDING Below is a reconciliation of basic to diluted shares outstanding: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Basic 182.3 183.5 182.5 183.4 Dilutive effect of shares issuable under stock-based compensation plans 0.7 0.6 0.7 0.7 Diluted 183.0 184.1 183.2 184.1 Anti-dilutive options to purchase common shares and restricted stock as well as contingently issuable restricted stock which are excluded from the table above 0.4 0.4 0.4 0.5 The calculation of basic shares outstanding is based on the weighted average number of shares of common stock outstanding during the reporting period. The calculation of diluted EPS requires certain assumptions regarding the use of both cash proceeds and assumed proceeds that would be received upon the exercise of stock options and vesting of restricted stock outstanding as of June 30, 2024 and 2023. |
CASH EQUIVALENTS AND INVESTMENT
CASH EQUIVALENTS AND INVESTMENTS | 6 Months Ended |
Jun. 30, 2024 | |
Cash and Cash Equivalents [Abstract] | |
CASH EQUIVALENTS AND INVESTMENTS | CASH EQUIVALENTS AND INVESTMENTS The table below provides additional information on the Company’s cash equivalents and investments: As of June 30, 2024 Balance sheet location Cost Gains/(Losses) Fair Value Cash and cash equivalents Short-term Other Certificates of deposit and money market deposit accounts/funds (1) $ 1,597 $ — $ 1,597 $ 1,533 $ 63 $ 1 Mutual funds $ 97 $ 10 $ 107 $ — $ — $ 107 As of December 31, 2023 Balance sheet location Cost Gains/(Losses) Fair Value Cash and cash Short-term Other Certificates of deposit and money market deposit accounts/funds (1) $ 1,178 $ — $ 1,178 $ 1,112 $ 63 $ 3 Mutual funds $ 91 $ 6 $ 97 $ — $ — $ 97 (1) Consists of time deposits, money market deposit accounts and money market funds. The remaining contractual maturities for the certificates of deposits classified as short-term investments are one month to 12 months at both June 30, 2024 and December 31, 2023. The remaining contractual maturities for the certificates of deposits classified in other assets are 14 months at both June 30, 2024 and December 31, 2023. Time deposits with a maturity of less than 90 days at time of purchase are classified as cash and cash equivalents. In addition, the Company invested in COLI. As of June 30, 2024 and December 31, 2023, the contract value of the COLI was $48 million and $47 million, respectively. |
DERIVATIVE INSTRUMENTS AND HEDG
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | 6 Months Ended |
Jun. 30, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES The Company is exposed to global market risks, including risks from changes in FX rates and changes in interest rates. Accordingly, the Company uses derivatives in certain instances to manage financial exposures that occur in the normal course of business. The Company does not hold or issue derivatives for speculative purposes. Derivatives and non-derivative instruments designated as accounting hedges: Fair Value Hedges Interest Rate Swaps The Company has entered into interest rate swaps to convert the fixed interest rate on certain of its long-term debt to a floating interest rate based on the SOFR. The purpose of these hedges is to mitigate the risk associated with changes in the fair value of the long-term debt, thus the Company has designated these swaps as fair value hedges. The fair value of the swaps is adjusted quarterly with a corresponding adjustment to the carrying value of the debt. The changes in the fair value of the swaps and the underlying hedged item generally offset and the net cash settlements on the swaps are recorded each period within interest expense, net in the Company’s consolidated statements of operations. The following table summarizes the Company’s interest rate swaps designated as fair value hedges: Notional Amount Hedged Item Nature of Swap As of June 30, 2024 As of December 31, 2023 Floating Interest Rate 2017 Senior Notes due 2028 Pay Floating/Receive Fixed $ 500 $ 500 SOFR 2020 Senior Notes due 2025 Pay Floating/Receive Fixed 300 300 SOFR 2014 Senior Notes due 2044 Pay Floating/Receive Fixed 300 300 SOFR 2018 Senior Notes due 2048 Pay Floating/Receive Fixed 300 300 SOFR 2018 Senior Notes due 2029 Pay Floating/Receive Fixed 400 400 SOFR 2022 Senior Notes due 2052 Pay Floating/Receive Fixed 500 500 SOFR 2022 Senior Notes due 2032 Pay Floating/Receive Fixed 250 250 SOFR Total $ 2,550 $ 2,550 Refer to Note 13 for information on the cumulative amount of fair value hedging adjustments included in the carrying amount of the above hedged items. The following table summarizes the impact to the statements of operations of the Company’s interest rate swaps designated as fair value hedges: Total amounts of financial statement line item presented in the statements of operations in which the effects of fair value hedges are recorded Amount of income/(loss) recognized in the consolidated statements of operations Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Interest expense, net $ (63) $ (71) $ (125) $ (119) Description Location on Consolidated Statements of Operations Net interest settlements and accruals on interest rate swaps Interest expense, net $ (24) $ (21) $ (49) $ (39) Fair value changes on interest rate swaps Interest expense, net $ 7 $ (46) $ (22) $ — Fair value changes on hedged debt Interest expense, net $ (7) $ 46 $ 22 $ — Net investment hedges Debt designated as net investment hedges The Company has designated €500 million of the 2015 Senior Notes Due 2027 and €750 million of the 2019 Senior Notes due 2030 as net investment hedges to mitigate FX exposure related to a portion of the Company’s euro net investment in certain foreign subsidiaries against changes in euro/USD exchange rates. These hedges are designated as accounting hedges under the applicable sections of ASC Topic 815 and will end upon the repayment of the notes in 2027 and 2030, respectively, unless terminated early at the discretion of the Company. Cross currency swaps designated as net investment hedges The Company enters into cross-currency swaps to mitigate FX exposure related to a portion of the Company’s euro net investment in certain foreign subsidiaries against changes in euro/USD exchange rates. The following tables provide information on the cross-currency swaps designated as net investment hedges under ASC Topic 815: June 30, 2024 Pay Receive Nature of Swap Notional Amount Weighted Average Interest Rate Notional Amount Weighted Average Interest Rate Pay Fixed/Receive Fixed € 965 2.91% $ 1,014 4.41% Pay Floating/Receive Floating 2,138 Based on ESTR 2,250 Based on SOFR Total € 3,103 $ 3,264 December 31, 2023 Pay Receive Nature of Swap Notional Amount Weighted Average Interest Rate Notional Amount Weighted Average Interest Rate Pay Fixed/Receive Fixed € 765 3.67% $ 800 5.25% Pay Floating/Receive Floating 2,138 Based on ESTR 2,250 Based on SOFR Total € 2,903 $ 3,050 As of June 30, 2024 these hedges will expire and the notional amounts will be settled as follows unless terminated early at the discretion of the Company: Years Ending December 31, Notional Amount (Pay) Notional Amount (Receive) 2026 € 450 $ 500 2027 531 550 2028 588 600 2029 573 614 2031 481 500 2032 480 500 Total € 3,103 $ 3,264 The following table provides information on the gains/(losses) on the Company’s net investment and cash flow hedges: Derivative and Non-Derivative Instruments in Net Investment Hedging Relationships Amount of Gain/(Loss) Recognized in AOCL on Derivative, net of Tax Amount of Loss Reclassified from AOCL into Income, net of Tax Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Three Months Ended June 30, Three Months Ended June 30, Three Months Ended June 30, 2024 2023 2024 2023 2024 2023 Cross currency swaps $ 24 $ (24) $ — $ — $ 11 $ 14 Long-term debt 8 (4) — — — — Total net investment hedges $ 32 $ (28) $ — $ — $ 11 $ 14 Derivatives in Cash Flow Hedging Relationships Cross currency swap $ — $ — $ — $ 1 $ — $ — Interest rate contracts — — — — — — Total cash flow hedges $ — $ — $ — $ 1 $ — $ — Total $ 32 $ (28) $ — $ 1 $ 11 $ 14 Derivative and Non-Derivative Instruments in Net Investment Hedging Relationships Amount of Gain/(Loss) Recognized in AOCL on Derivative, net of Tax Amount of Loss Reclassified from AOCL into Income, net of Tax Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Six Months Ended June 30, Six Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 2024 2023 Cross currency swaps $ 75 $ (63) $ — $ — $ 22 $ 30 Long-term debt 31 (22) — — — — Total net investment hedges $ 106 $ (85) $ — $ — $ 22 $ 30 Derivatives in Cash Flow Hedging Relationships Cross currency swaps $ — $ — $ — $ 1 $ — $ — Interest rate contracts — — (1) (1) — — Total cash flow hedges $ — $ — $ (1) $ — $ — $ — Total $ 106 $ (85) $ (1) $ — $ 22 $ 30 The cumulative amount of net investment hedge and cash flow hedge gains (losses) remaining in AOCL is as follows: Cumulative Gains/(Losses), net of tax June 30, 2024 December 31, 2023 Net investment hedges Cross currency swaps $ 96 $ 21 FX forwards 29 29 Long-term debt 34 3 Total net investment hedges $ 159 $ 53 Cash flow hedges Interest rate contracts $ (44) $ (45) Cross currency swaps 1 1 Total cash flow hedges (43) (44) Total net gain in AOCL $ 116 $ 9 Derivatives not designated as accounting hedges: Foreign exchange forwards The Company also enters into foreign exchange forward contracts to mitigate the change in fair value on certain assets and liabilities denominated in currencies other than a subsidiary’s functional currency. These forward contracts are not designated as accounting hedges under the applicable sections of ASC Topic 815. Accordingly, changes in the fair value of these contracts are recognized immediately in other non-operating income, net, in the Company’s consolidated statements of operations along with the FX gain or loss recognized on the assets and liabilities denominated in a currency other than the subsidiary’s functional currency. These contracts have expiration dates at various times through October 2024. The following table summarizes the notional amounts of the Company’s outstanding foreign exchange forwards: June 30, 2024 December 31, 2023 Notional amount of currency pair (1) : Sell Buy Sell Buy Contracts to sell USD for GBP $ 544 £ 428 $ 513 £ 407 Contracts to sell USD for JPY $ 25 ¥ 4,000 $ 14 ¥ 2,000 Contracts to sell USD for CAD $ 48 C$ 65 $ 147 C$ 200 Contracts to sell USD for SGD $ 82 S$ 110 $ 50 S$ 67 Contracts to sell USD for EUR $ — € — $ 60 € 55 Contracts to sell USD for INR $ 23 ₹ 1,900 $ 23 ₹ 1,900 Contracts to sell USD for AUD $ — A$ — $ 5 A$ 8 Contracts to sell CAD for USD C$ — $ — C$ 25 $ 19 (1) € = euro, £ = British pound, S$ = Singapore dollar, $ = U.S. dollar, ¥ = Japanese yen, C$ = Canadian dollar, ₹= Indian Rupee, A$ = Australian dollar Total Return Swaps The Company has entered into total return swaps to mitigate market-driven changes in the value of certain liabilities associated with the Company's deferred compensation plans. The fair value of these swaps at June 30, 2024 and related gains in the three and six months ended June 30, 2024 were not material. The notional amount of the total return swaps as of June 30, 2024 and December 31, 2023 was $62 million and $58 million, respectively. The following table summarizes the impact to the consolidated statements of operations relating to the gains and losses on the Company’s derivatives which are not designated as hedging instruments: Derivatives not designated as accounting hedges Location on Consolidated Statements of Operations Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 FX forwards Other non-operating income, net $ (5) $ 10 $ (18) $ 15 Total return swaps Operating expense $ 1 $ — $ 4 $ — Total return swaps SG&A expense $ — $ — $ 1 $ — The table below shows the classification between assets and liabilities on the Company’s consolidated balance sheets for the fair value of the derivative instrument as well as the carrying value of its non-derivative debt instruments designated and qualifying as net investment hedges: Derivative and Non-Derivative Instruments Balance Sheet Location June 30, 2024 December 31, 2023 Assets: Derivatives designated as accounting hedges: Cross-currency swaps designated as net investment hedges Other assets $ 18 $ 3 Derivatives not designated as accounting hedges: FX forwards on certain assets and liabilities Other current assets — 13 Total assets $ 18 $ 16 Liabilities: Derivatives designated as accounting hedges: Interest rate swaps designated as fair value hedges Accounts payable and accrued liabilities $ 11 $ — Cross-currency swaps designated as net investment hedges Other liabilities 97 183 Interest rate swaps designated as fair value hedges Other liabilities 194 183 Total derivatives designated as accounting hedges 302 366 Non-derivatives designated as accounting hedges: Long-term debt designated as net investment hedge Long-term debt 1,339 1,381 Derivatives not designated as accounting hedges: FX forwards on certain assets and liabilities Accounts payable and accrued liabilities 5 — Total liabilities $ 1,646 $ 1,747 |
GOODWILL AND OTHER ACQUIRED INT
GOODWILL AND OTHER ACQUIRED INTANGIBLE ASSETS | 6 Months Ended |
Jun. 30, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER ACQUIRED INTANGIBLE ASSETS | GOODWILL AND OTHER ACQUIRED INTANGIBLE ASSETS The following table summarizes the activity in goodwill for the periods indicated: Six Months Ended June 30, 2024 MA MIS Consolidated Gross goodwill Accumulated Net Gross goodwill Accumulated impairment Net Gross goodwill Accumulated Net Balance at beginning $ 5,681 $ (12) $ 5,669 $ 287 $ — $ 287 $ 5,968 $ (12) $ 5,956 Additions/ adjustments (1) 14 — 14 2 — 2 16 — 16 Foreign currency translation adjustments (79) — (79) (2) — (2) (81) — (81) Ending balance $ 5,616 $ (12) $ 5,604 $ 287 $ — $ 287 $ 5,903 $ (12) $ 5,891 Year Ended December 31, 2023 MA MIS Consolidated Gross goodwill Accumulated impairment charge Net goodwill Gross goodwill Accumulated impairment charge Net goodwill Gross goodwill Accumulated impairment charge Net goodwill Balance at beginning $ 5,474 $ (12) $ 5,462 $ 377 $ — $ 377 $ 5,851 $ (12) $ 5,839 Additions/ adjustments (2) 90 — 90 (87) — (87) 3 — 3 Foreign currency translation 117 — 117 (3) — (3) 114 — 114 Ending balance $ 5,681 $ (12) $ 5,669 $ 287 $ — $ 287 $ 5,968 $ (12) $ 5,956 (1) The 2024 additions/adjustments primarily relate to certain immaterial acquisitions which were completed in the first quarter of 2024. (2) The 2023 additions/adjustments primarily relate to a reallocation of goodwill pursuant to a realignment of certain components of the Company's ESG business in the first quarter of 2023. Acquired intangible assets and related amortization consisted of: June 30, December 31, Customer relationships $ 2,038 $ 2,065 Accumulated amortization (594) (556) Net customer relationships 1,444 1,509 Software/product technology 665 674 Accumulated amortization (392) (364) Net software/product technology 273 310 Database 178 179 Accumulated amortization (90) (82) Net database 88 97 Trade names 197 199 Accumulated amortization (78) (72) Net trade names 119 127 Other (1) 52 52 Accumulated amortization (46) (46) Net other 6 6 Total acquired intangible assets, net $ 1,930 $ 2,049 (1) Other intangible assets primarily consist of trade secrets, covenants not to compete, and acquired ratings methodologies and models. Amortization expense relating to acquired intangible assets is as follows: Three Months Ended June 30, Six Months Ended 2024 2023 2024 2023 Amortization expense $ 48 $ 50 $ 97 $ 101 |
RESTRUCTURING
RESTRUCTURING | 6 Months Ended |
Jun. 30, 2024 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING | RESTRUCTURING On June 30, 2022, the chief executive officer of Moody’s approved the 2022 - 2023 Geolocation Restructuring Program. T he Company estimates that the program will result in annualized savings of $145 million to $165 million per year. This program related to the Company's post-COVID-19 geolocation strategy and other strategic initiatives and included the rationalization and exit of certain leased office spaces and a reduction in staff, including the relocation of certain job functions. Cumulative charges related to this program are shown in the table below. The savings generated from the 2022 - 2023 Geolocation Restructuring Program are expected to strengthen the Company's operating margin, with a portion being deployed to support strategic investments, including the Company's workplace of the future program and employee retention initiatives. The 2022 - 2023 Geolocation Restructuring Program was substantially completed at the end of 2023. Cash outlays associated with this program, which primarily relate to personnel-related costs, are expected to be $130 million to $140 million, substantially all of which are expected to be paid by the end of 2024. Total expense included in the accompanying consolidated statements of operations relating to the aforementioned restructuring program is below: 2022 - 2023 Geolocation Restructuring Program Three months ended June 30, Six months ended June 30, Cumulative expense incurred 2024 2023 2024 2023 Employee Termination Costs $ 2 $ 9 $ 7 $ 22 $ 143 Real Estate Related Costs — 1 — 2 63 Other Costs — — — — 1 Total Restructuring $ 2 $ 10 $ 7 $ 24 $ 207 Changes to the restructuring liability during the first half of 2024 were as follows: Balance as of December 31, 2023 $ 36 2022 - 2023 Geolocation Restructuring Program: Cost incurred and adjustments 7 Cash payments (29) Balance as of June 30, 2024 $ 14 The restructuring liability is primarily comprised of employee termination costs, with an immaterial amount of real estate-related and other costs. As of June 30, 2024, substantially all of the remaining $14 million restructuring liability is expected to be paid out in 2024. |
FAIR VALUE
FAIR VALUE | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE | FAIR VALUE The tables below present information about items that are carried at fair value at June 30, 2024 and December 31, 2023: Fair Value Measurement as of June 30, 2024 Description Balance Level 1 Level 2 Assets: Derivatives (1) $ 18 $ — $ 18 Money market funds/mutual funds 117 117 — Total $ 135 $ 117 $ 18 Liabilities: Derivatives (1) $ 307 $ — $ 307 Total $ 307 $ — $ 307 Fair Value Measurement as of December 31, 2023 Description Balance Level 1 Level 2 Assets: Derivatives (1) $ 16 $ — $ 16 Money market funds/mutual funds 107 107 — Total $ 123 $ 107 $ 16 Liabilities: Derivatives (1) $ 366 $ — $ 366 Total $ 366 $ — $ 366 (1) Represents fair value of certain derivative contracts as more fully described in Note 7 to the consolidated financial statements. The following are descriptions of the methodologies utilized by the Company to estimate the fair value of its derivative contracts, money market mutual funds and mutual funds: Derivatives: In determining the fair value of the derivative contracts in the table above, the Company utilizes industry standard valuation models. Where applicable, these models project future cash flows and discount the future amounts to a present value using spot rates, forward points, currency volatilities, interest rates as well as the risk of non-performance of the Company and the counterparties with whom it has derivative contracts. The Company established strict counterparty credit guidelines and only enters into transactions with financial institutions that adhere to these guidelines. Accordingly, the risk of counterparty default is deemed to be minimal. Money market funds and mutual funds: The mutual funds in the table above are deemed to be equity securities with readily determinable fair values with changes in the fair value recognized through net income under ASC Topic 321. The fair value of these instruments is determined using Level 1 inputs as defined in the ASC Topic 820. |
OTHER BALANCE SHEET AND STATEME
OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION | 6 Months Ended |
Jun. 30, 2024 | |
Other Balance Sheet And Statement Of Operations Information [Abstract] | |
OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION | OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION The following tables contain additional detail related to certain balance sheet captions: June 30, 2024 December 31, 2023 Other current assets: Prepaid taxes $ 83 $ 115 Prepaid expenses 162 133 Capitalized costs to obtain and fulfill sales contracts 119 116 Foreign exchange forwards on certain assets and liabilities — 13 Interest receivable on interest rate and cross currency swaps 79 79 Other 46 33 Total other current assets $ 489 $ 489 Other assets: Investments in non-consolidated affiliates $ 523 $ 521 Deposits for real-estate leases 15 16 Indemnification assets related to acquisitions 115 111 Mutual funds, certificates of deposit and money market deposit accounts/funds 108 100 Company owned life insurance (at contract value) 48 47 Capitalized costs to obtain sales contracts 198 196 Derivative instruments designated as accounting hedges 18 3 Pension and other retirement employee benefits 40 41 Other 85 103 Total other assets $ 1,150 $ 1,138 Accounts payable and accrued liabilities: Salaries and benefits $ 140 $ 130 Incentive compensation 196 345 Customer credits, advanced payments and advanced billings 137 105 Dividends 6 7 Professional service fees 77 46 Interest accrued on debt 74 83 Accounts payable 57 23 Income taxes 104 108 Pension and other retirement employee benefits 15 15 Accrued royalties 20 24 Foreign exchange forwards on certain assets and liabilities 5 — Restructuring liability 14 35 Derivative instruments designated as accounting hedges 11 — Interest payable on interest rate and cross currency swaps 66 67 Other 78 88 Total accounts payable and accrued liabilities $ 1,000 $ 1,076 June 30, 2024 December 31, 2023 Other liabilities: Pension and other retirement employee benefits $ 191 $ 190 Interest accrued on UTPs 42 36 MAKS indemnification provisions 19 19 Income tax liability - non-current portion 12 15 Derivative instruments designated as accounting hedges 291 366 Other 63 50 Total other liabilities $ 618 $ 676 Investments in non-consolidated affiliates: The following table provides additional detail regarding Moody's investments in non-consolidated affiliates, as included in other assets in the consolidated balance sheets: June 30, 2024 December 31, 2023 Equity method investments (1) $ 187 $ 186 Investments measured using the measurement alternative (2) 327 327 Other 9 8 Total investments in non-consolidated affiliates $ 523 $ 521 (1) Equity securities in which the Company has significant influence over the investee but does not have a controlling financial interest in accordance with ASC Topic 323. (2) Equity securities without readily determinable fair value for which the Company has elected to apply the measurement alternative in accordance with ASC Topic 321. Moody's holds various investments accounted for under the equity method, the most significant of which is the Company's minority investment in CCXI. Moody's also holds various investments measured using the measurement alternative, the most significant of which is the Company's minority interest in BitSight. Earnings from non-consolidated affiliates, which are included within other non-operating income, net, are disclosed within the table below. Other non-operating income, net: The following table summarizes the components of other non-operating income, net: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 FX loss (1) $ (4) $ (5) $ (7) $ (31) Net periodic pension income - non-service and non-interest cost components 8 9 16 18 Income from investments in non-consolidated affiliates 2 1 2 3 Gain on investments 5 5 8 11 Other (2) (4) 3 1 12 Total $ 7 $ 13 $ 20 $ 13 (1) The amount for the six months ended June 30, 2023 includes a $23 million loss recorded pursuant to an immaterial out-of-period adjustment relating to the 2022 fiscal year. (2) The amount for the six months ended June 30, 2023 reflects a benefit of $9 million related to the favorable resolutions of various tax matters. Charges related to asset abandonment: Costs of $15 million recorded in the second quarter of 2024 relate to severance incurred pursuant to a reduction in staff due to the Company's decision to outsource the production of certain sustainability content utilized in our product offerings. Additionally, the Company has reduced the estimated useful lives of certain internally developed software and amortizable intangible assets that are associated with the sustainability content offerings for which production is being outsourced. The Company expects to incur approximately $30 million in incremental amortization expense related to the change in estimated useful lives of these assets in the second half of 2024. |
COMPREHENSIVE INCOME AND ACCUMU
COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS | COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS The following tables show changes in AOCL by component (net of tax): Three Months Ended June 30, 2024 2023 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance at March 31, $ (57) $ (43) $ (635) $ 127 $ (608) $ (47) $ (44) $ (626) $ 128 $ (589) Other comprehensive income/(loss) before reclassifications (1) — (39) 32 (8) — — 49 (28) 21 Amounts reclassified from AOCL (1) — — — (1) (1) (1) — — (2) Other comprehensive income/(loss) (2) — (39) 32 (9) (1) (1) 49 (28) 19 Balance at June 30, $ (59) $ (43) $ (674) $ 159 $ (617) $ (48) $ (45) $ (577) $ 100 $ (570) Six Months Ended June 30, 2024 2023 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance at December 31, $ (56) $ (44) $ (520) $ 53 $ (567) $ (47) $ (45) $ (736) $ 185 $ (643) Other comprehensive (loss)/income before reclassifications (2) — (154) 106 (50) — — 159 (85) 74 Amounts reclassified from AOCL (1) 1 — — — (1) — — — (1) Other comprehensive (loss)/income (3) 1 (154) 106 (50) (1) — 159 (85) 73 Balance at June 30, $ (59) $ (43) $ (674) $ 159 $ (617) $ (48) $ (45) $ (577) $ 100 $ (570) |
INDEBTEDNESS
INDEBTEDNESS | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
INDEBTEDNESS | INDEBTEDNESS The Company’s debt is recorded at its carrying value, which represents the issuance amount plus or minus any issuance premium or discount, except for certain debt as depicted in the table below, which is recorded at the carrying value adjusted for the fair value of an interest rate swap used to hedge the fair value of the note. The following table summarizes total indebtedness: June 30, 2024 Notes Payable: Principal Amount Fair Value of Interest Rate Swaps (1) Unamortized (Discount) Premium Unamortized Debt Issuance Costs Carrying Value 5.25% 2014 Senior Notes, due 2044 $ 600 $ (37) $ 3 $ (4) $ 562 1.75% 2015 Senior Notes, due 2027 536 — — (1) 535 3.25% 2017 Senior Notes, due 2028 500 (25) (2) (1) 472 4.25% 2018 Senior Notes, due 2029 400 (39) (1) (2) 358 4.875% 2018 Senior Notes, due 2048 400 (39) (6) (3) 352 0.950% 2019 Senior Notes, due 2030 803 — (2) (3) 798 3.75% 2020 Senior Notes, due 2025 700 (11) — (1) 688 3.25% 2020 Senior Notes, due 2050 300 — (4) (3) 293 2.55% 2020 Senior Notes, due 2060 300 — (2) (3) 295 2.00% 2021 Senior Notes, due 2031 600 — (6) (4) 590 2.75% 2021 Senior Notes, due 2041 600 — (12) (5) 583 3.10% 2021 Senior Notes, due 2061 500 — (7) (5) 488 3.75% 2022 Senior Notes, due 2052 500 (42) (8) (5) 445 4.25% 2022 Senior Notes, due 2032 500 (12) (2) (4) 482 Total debt $ 7,239 $ (205) $ (49) $ (44) $ 6,941 Current portion (688) Total long-term debt $ 6,253 December 31, 2023 Notes Payable: Principal Amount Fair Value of Interest Rate Swaps (1) Unamortized (Discount) Premium Unamortized Debt Issuance Costs Carrying Value 5.25% 2014 Senior Notes, due 2044 $ 600 $ (34) $ 3 $ (4) $ 565 1.75% 2015 Senior Notes, due 2027 552 — — (1) 551 3.25% 2017 Senior Notes, due 2028 500 (26) (2) (2) 470 4.25% 2018 Senior Notes, due 2029 400 (34) (2) (2) 362 4.875% 2018 Senior Notes, due 2048 400 (36) (6) (3) 355 0.950% 2019 Senior Notes, due 2030 829 — (2) (4) 823 3.75% 2020 Senior Notes, due 2025 700 (16) (1) (1) 682 3.25% 2020 Senior Notes, due 2050 300 — (4) (3) 293 2.55% 2020 Senior Notes, due 2060 300 — (2) (3) 295 2.00% 2021 Senior Notes, due 2031 600 — (6) (4) 590 2.75% 2021 Senior Notes, due 2041 600 — (12) (5) 583 3.10% 2021 Senior Notes, due 2061 500 — (7) (5) 488 3.75% 2022 Senior Notes, due 2052 500 (29) (8) (5) 458 4.25% 2022 Senior Notes, due 2032 500 (8) (2) (4) 486 Total long-term debt $ 7,281 $ (183) $ (51) $ (46) $ 7,001 (1) The fair value of interest rate swaps in the tables above represents the cumulative amount of fair value hedging adjustments included in the carrying value of the hedged debt. Credit Facility On May 6, 2024, the Company entered into a five-year senior, unsecured revolving credit facility with the capacity to borrow up to $1.25 billion, which expires in May 2029. The 2024 Credit Facility replaces the Company's $1.25 billion 2021 Credit Facility that was scheduled to mature in December 2026. Further information on the key terms of these revolving credit facilities is below: June 30, 2024 December 31, 2023 Issue Date Capacity Maturity Drawn Undrawn Drawn Undrawn 2021 Credit Facility December 17, 2021 $ 1,250 December 17, 2026 (Terminated in 2024) $ — $ — $ — $ 1,250 2024 Credit Facility May 6, 2024 $ 1,250 May 6, 2029 $ — $ 1,250 $ — $ — Interest on borrowings under the 2024 Credit Facility is payable at rates that are based on an adjusted term SOFR Rate plus a premium that can range from 80.5 BPS to 122.5 BPS, depending on the Company’s index debt ratings, as set forth in the 2024 Credit Facility. The Company also has the option to choose other rates, such as those based on adjusted Daily Simple SOFR or an alternate base rate, as set forth in the 2024 Credit Facility. Regardless of borrowing activity under the 2024 Credit Facility, the Company pays quarterly fees for the 2024 Credit Facility that can range from 7 BPS of the 2024 Credit Facility amount to 15 BPS, depending on the Company’s index debt ratings. The 2024 Credit Facility contains certain customary covenants and also contains a financial covenant that requires the Company to maintain a total debt to EBITDA Ratio of (i) not more than 4 to 1 at the end of any fiscal quarter or (ii) not more than 4.5 to 1 as of the end of the first three consecutive quarters immediately following any acquisition with consideration in excess of $500 million, subject to certain conditions as set forth in the 2024 Credit Facility. Notes Payable At June 30, 2024, the Company was in compliance with all covenants contained within all of the debt agreements. All of the debt agreements contain cross default provisions which state that default under one of the aforementioned debt instruments could in turn permit lenders under other debt instruments to declare borrowings outstanding under those instruments to be immediately due and payable. As of June 30, 2024, there were no such cross defaults. The repayment schedule for the Company’s borrowings is as follows: Year Ending December 31, Year Ending Total 2024 (After June 30,) $ — 2025 700 2026 — 2027 536 2028 500 Thereafter 5,503 Total $ 7,239 Interest expense, net The following table summarizes the components of interest as presented in the consolidated statements of operations and the cash paid for interest: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Income $ 23 $ 15 $ 45 $ 25 Expense on borrowings (1) (74) (75) (148) (145) (Expense) income on UTPs and other tax related liabilities (2) (5) (4) (9) 14 Net periodic pension costs - interest component (7) (7) (13) (13) Interest expense, net $ (63) $ (71) $ (125) $ (119) Interest paid (3) $ 51 $ 47 $ 151 $ 143 (1) Expense on borrowings includes interest on long-term debt, as well as realized gains/losses related to interest rate swaps and cross currency swaps, which are more fully discussed in Note 7. (2) The amount for the six months ended June 30, 2023 reflects a $22 million reduction of tax-related interest expense primarily related to the resolutions of tax matters. (3) Interest paid includes net settlements on interest rate swaps, which are more fully discussed in Note 7. The fair value and carrying value of the Company’s debt as of June 30, 2024 and December 31, 2023 are as follows: June 30, 2024 December 31, 2023 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value Total debt $ 6,941 $ 6,121 $ 7,001 $ 6,402 The fair value of the Company’s debt is estimated based on quoted prices in active markets as of the reporting date, which are considered Level 1 inputs within the fair value hierarchy. |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2024 | |
Leases [Abstract] | |
LEASES | LEASES The Company has operating leases, substantially all of which relate to the lease of office space. The Company’s leases which are classified as finance leases are not material to the consolidated financial statements. Certain of the Company’s leases include options to renew, with renewal terms that can extend the lease term from one year to 20 years at the Company’s discretion. The following table presents the components of the Company’s lease cost: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Operating lease cost $ 21 $ 23 $ 43 $ 47 Sublease income (2) (2) (4) (4) Variable lease cost 6 5 11 10 Total lease cost $ 25 $ 26 $ 50 $ 53 The following tables present other information related to the Company’s operating leases: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Cash paid for amounts included in the measurement of operating lease liabilities $ 29 $ 30 $ 59 $ 60 Right-of-use assets obtained in exchange for new operating lease liabilities $ 1 $ 19 $ 5 $ 24 June 30, 2024 June 30, 2023 Weighted-average remaining lease term 4.1 years 4.8 years Weighted-average discount rate applied to operating leases 3.2 % 3.2 % The following table presents a maturity analysis of the future minimum lease payments included within the Company’s operating lease liabilities at June 30, 2024: Year Ending December 31, Operating Leases 2024 (After June 30,) $ 60 2025 108 2026 89 2027 71 2028 20 After 2028 36 Total lease payments (undiscounted) 384 Less: Interest 22 Present value of lease liabilities: $ 362 Lease liabilities - current $ 108 Lease liabilities - noncurrent $ 254 |
CONTINGENCIES
CONTINGENCIES | 6 Months Ended |
Jun. 30, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
CONTINGENCIES | CONTINGENCIES Given the nature of the Company's activities, Moody’s and its subsidiaries are subject to legal and tax proceedings, governmental, regulatory and legislative investigations, subpoenas and other inquiries, and claims and litigation by governmental and private parties that are based on ratings assigned by MIS or that are otherwise incidental to the Company’s business. Moody’s and MIS also are subject to periodic reviews, inspections, examinations and investigations by regulators in the U.S. and other jurisdictions, any of which may result in claims, legal proceedings, assessments, fines, penalties or restrictions on business activities. MIS is responding to SEC requests for documents and information in connection with an investigation of MIS’s compliance with record preservation requirements relating to certain business communications sent over electronic messaging channels that have not been approved by MIS. The SEC has been conducting similar investigations of the record preservation practices of other NRSROs and other registrants subject to record preservation requirements. MIS has reached an agreement in principle with the SEC Division of Enforcement to resolve the investigation. The agreement, which remains subject to final SEC approval, includes the payment of a $20 million civil monetary penalty. The Company has accrued that amount in its consolidated financial statements. Moody’s also is subject to ongoing tax audits as addressed in Note 4 to the consolidated financial statements. Management periodically assesses the Company’s liabilities and contingencies in connection with these matters based upon the latest information available. For claims, litigation and proceedings and governmental investigations and inquiries not related to income taxes, the Company records liabilities in the consolidated financial statements when it is both probable that a liability has been incurred and the amount of loss can be reasonably estimated and periodically adjusts these as appropriate. When the reasonable estimate of the loss is within a range of amounts, the minimum amount of the range is accrued unless some higher amount within the range is a better estimate than another amount within the range. In instances when a loss is reasonably possible but uncertainties exist related to the probable outcome and/or the amount or range of loss, management does not record a liability but discloses the contingency if material. As additional information becomes available, the Company adjusts its assessments and estimates of such matters accordingly. Moody’s also discloses material pending legal proceedings pursuant to SEC rules and other pending matters as it may determine to be appropriate. In view of the inherent difficulty of assessing the potential outcome of legal proceedings, governmental, regulatory and legislative investigations and inquiries, claims and litigation and similar matters and contingencies, particularly when the claimants seek large or indeterminate damages or assert novel legal theories or the matters involve a large number of parties, the Company often cannot predict what the eventual outcome of the pending matters will be or the timing of any resolution of such matters. The Company also may be unable to predict the impact (if any) that any such matters may have on how its business is conducted, on its competitive position or on its financial position, results of operations or cash flows. As the process to resolve any pending matters progresses, management will continue to review the latest information available and assess its ability to predict the outcome of such matters and the effects, if any, on its operations and financial condition and to accrue for and disclose such matters as and when required. However, because such matters are inherently unpredictable and unfavorable developments or resolutions can occur, the ultimate outcome of such matters, including the amount of any loss, may differ from those estimates. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 6 Months Ended |
Jun. 30, 2024 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION The Company is organized into two operating segments: MA and MIS and accordingly, the Company reports in two reportable segments: MA and MIS. Revenue for MA and expenses for MIS include an intersegment fee charged to MIS from MA for certain MA products and services utilized in MIS’s ratings process. Additionally, revenue for MIS and expenses for MA include intersegment fees charged to MA for the rights to use and distribute content, data and products developed by MIS. These intersegment fees are generally based on the market value of the products and services being transferred between the segments. Overhead expenses include costs such as rent and occupancy, information technology and support staff such as finance, human resources and legal. Such costs and corporate expenses that exclusively benefit one segment are fully charged to that segment. For overhead costs and corporate expenses that benefit both segments, costs are allocated to each segment based on the segment’s share of full-year 2018 actual revenue which comprises a “Baseline Pool” established in 2019, which will remain fixed over time. In subsequent periods, incremental overhead costs (or reductions thereof) will be allocated to each segment based on the prevailing shares of total revenue represented by each segment. “Eliminations” in the following table represent intersegment revenue/expense. Moody’s does not report the Company’s assets by reportable segment, as this metric is not used by the CODM to allocate resources to the segments. Consequently, it is not practical to show assets by reportable segment. Financial Information by Segment The table below shows revenue and Adjusted Operating Income by reportable segment. Adjusted Operating Income is a financial metric utilized by the Company’s CODM to assess the profitability of each reportable segment. Refer to Note 2 for further details on the components of the Company’s revenue. Three Months Ended June 30, 2024 2023 MA MIS Eliminations Consolidated MA MIS Eliminations Consolidated Total external revenue $ 802 $ 1,015 $ — $ 1,817 $ 747 $ 747 $ — $ 1,494 Intersegment revenue 4 49 (53) — 4 46 (50) — Revenue 806 1,064 (53) 1,817 751 793 (50) 1,494 Operating, SG&A 576 392 (53) 915 541 350 (50) 841 Adjusted Operating Income $ 230 $ 672 $ — $ 902 $ 210 $ 443 $ — $ 653 Add: Depreciation and 90 20 — 110 74 19 — 93 Restructuring 1 1 — 2 8 2 — 10 Charges related to asset abandonment 15 — — 15 — — — — Operating Income $ 775 $ 550 Six Months Ended June 30, 2024 2023 MA MIS Eliminations Consolidated MA MIS Eliminations Consolidated Total external revenue $ 1,601 $ 2,002 $ — $ 3,603 $ 1,484 $ 1,480 $ — $ 2,964 Intersegment revenue 7 96 (103) — 7 91 (98) — Revenue 1,608 2,098 (103) 3,603 1,491 1,571 (98) 2,964 Operating, SG&A 1,140 758 (103) 1,795 1,067 686 (98) 1,655 Adjusted Operating Income $ 468 $ 1,340 $ — $ 1,808 $ 424 $ 885 $ — $ 1,309 Add: Depreciation and amortization 172 38 — 210 144 37 — 181 Restructuring 3 4 — 7 16 8 — 24 Charges related to asset abandonment 15 — — 15 — — — — Operating Income $ 1,576 $ 1,104 The table below shows cumulative restructuring expense incurred through June 30, 2024 by reportable segment. MA MIS Total 2022 - 2023 Geolocation Restructuring Program $ 111 $ 96 $ 207 The 2022 - 2023 Geolocation Restructuring Program is more fully discussed in Note 9. Consolidated Revenue Information by Geographic Area Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 United States $ 974 $ 775 $ 1,943 $ 1,538 Non-U.S.: EMEA 566 479 1,108 939 Asia-Pacific 164 145 319 294 Americas 113 95 233 193 Total Non-U.S. 843 719 1,660 1,426 Total $ 1,817 $ 1,494 $ 3,603 $ 2,964 |
Description of Business and B_2
Description of Business and Basis of Presentation - (Policies) | 6 Months Ended |
Jun. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In November 2023, the FASB issued ASU 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" ("ASU No. 2023-07"), which expands segment disclosure requirements for public entities. ASU No. 2023-07 will require entities to disclose significant segment expenses by reportable segment if they are regularly provided to the CODM and included in each reported measure of segment profit or loss. In addition, this ASU permits entities to disclose more than one measure of segment profit or loss used by the CODM. Additionally, disclosure of the CODM’s title and position will be required on an annual basis, as well as an explanation of how the CODM uses the reported measure(s). Furthermore, all existing annual disclosures about segment profit or loss and assets must be provided on an interim basis in addition to disclosure of significant segment expenses and other segment items. This ASU is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, and requires retrospective application to all prior periods presented in the financial statements. The Company is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures. In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU No. 2023-09"), which is intended to enhance the transparency and decision usefulness of income tax disclosures. The amendments in ASU No. 2023-09 require entities to disclose additional income tax information, primarily related to greater disaggregation of the entity's ETR reconciliation and income taxes paid by jurisdiction disclosures. This ASU is effective for annual periods beginning after December 15, 2024, and should be applied on a prospective basis; however, retrospective application is permitted. The Company is currently evaluating the impact of adopting this ASU on its consolidated financial statements and disclosures. Reclassification of Previously Reported Revenue by LOB In the first quarter of 2024, pursuant to the integration of RMS into the Company's order-to-cash systems, the Company reclassified certain prior year revenue by geography disclosures. The impact of the reclassification was not material and prior year revenue disclosures have been reclassified to conform to this new presentation, which is disclosed in Note 2. |
REVENUES (Tables)
REVENUES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table presents the Company’s revenues disaggregated by LOB: Three Months Ended June 30, Six Months Ended 2024 2023 2024 2023 MA: Decision Solutions (DS) Banking $ 131 $ 123 $ 265 $ 254 Insurance 147 133 291 266 KYC 88 78 175 148 Total DS 366 334 731 668 Research and Insights (R&I) 226 217 448 432 Data and Information (D&I) 210 196 422 384 Total external revenue 802 747 1,601 1,484 Intersegment revenue 4 4 7 7 Total MA 806 751 1,608 1,491 MIS: Corporate Finance (CFG) Investment-grade 120 94 267 209 High-yield 85 46 152 78 Bank loans 147 68 302 127 Other accounts (1) 173 157 333 307 Total CFG 525 365 1,054 721 Structured Finance (SFG) Asset-backed securities 34 32 67 59 RMBS 25 25 49 50 CMBS 22 14 39 28 Structured credit 50 31 89 63 Other accounts — — 1 1 Total SFG 131 102 245 201 Financial Institutions (FIG) Banking 115 97 236 197 Insurance 61 35 120 68 Managed investments 15 10 27 16 Other accounts 4 3 7 6 Total FIG 195 145 390 287 Public, Project and Infrastructure Finance (PPIF) Public finance / sovereign 67 54 126 106 Project and infrastructure 87 73 169 150 Total PPIF 154 127 295 256 Total ratings revenue 1,005 739 1,984 1,465 MIS Other 10 8 18 15 Total external revenue 1,015 747 2,002 1,480 Intersegment revenue 49 46 96 91 Total MIS 1,064 793 2,098 1,571 Eliminations (53) (50) (103) (98) Total MCO $ 1,817 $ 1,494 $ 3,603 $ 2,964 (1) Other includes: recurring monitoring fees of a rated debt obligation and/or entities that issue such obligations as well as fees from programs such as commercial paper, medium term notes, and ICRA corporate finance revenue. The following table presents the Company’s revenues disaggregated by LOB and geographic area: Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 U.S. Non-U.S Total U.S. Non-U.S Total MA: Decision Solutions $ 138 $ 228 $ 366 $ 133 $ 201 $ 334 Research and Insights 124 102 226 119 98 217 Data and Information 76 134 210 68 128 196 Total MA 338 464 802 320 427 747 MIS: Corporate Finance 342 183 525 239 126 365 Structured Finance 92 39 131 60 42 102 Financial Institutions 104 91 195 73 72 145 Public, Project and Infrastructure Finance 98 56 154 83 44 127 Total ratings revenue 636 369 1,005 455 284 739 MIS Other — 10 10 — 8 8 Total MIS 636 379 1,015 455 292 747 Total MCO $ 974 $ 843 $ 1,817 $ 775 $ 719 $ 1,494 Six Months Ended June 30, 2024 Six Months Ended June 30, 2023 U.S. Non-U.S Total U.S. Non-U.S Total MA: Decision Solutions $ 276 $ 455 $ 731 $ 265 $ 403 $ 668 Research and Insights 246 202 448 237 195 432 Data and Information 153 269 422 135 249 384 Total MA 675 926 1,601 637 847 1,484 MIS: Corporate Finance 714 340 1,054 485 236 721 Structured Finance 168 77 245 121 80 201 Financial Institutions 202 188 390 136 151 287 Public, Project and Infrastructure Finance 184 111 295 159 97 256 Total ratings revenue 1,268 716 1,984 901 564 1,465 MIS Other — 18 18 — 15 15 Total MIS 1,268 734 2,002 901 579 1,480 Total MCO $ 1,943 $ 1,660 $ 3,603 $ 1,538 $ 1,426 $ 2,964 The following table summarizes the split between Transaction Revenue and Recurring Revenue: Three Months Ended June 30, 2024 2023 Transaction Recurring Total Transaction Recurring Total Decision Solutions $ 35 $ 331 $ 366 $ 43 $ 291 $ 334 10 % 90 % 100 % 13 % 87 % 100 % Research and Insights $ 3 $ 223 $ 226 $ 3 $ 214 $ 217 1 % 99 % 100 % 1 % 99 % 100 % Data and Information $ 1 $ 209 $ 210 $ 1 $ 195 $ 196 — % 100 % 100 % 1 % 99 % 100 % Total MA (1) $ 39 $ 763 $ 802 $ 47 $ 700 $ 747 5 % 95 % 100 % 6 % 94 % 100 % Corporate Finance $ 388 $ 137 $ 525 $ 236 $ 129 $ 365 74 % 26 % 100 % 65 % 35 % 100 % Structured Finance $ 76 $ 55 $ 131 $ 48 $ 54 $ 102 58 % 42 % 100 % 47 % 53 % 100 % Financial Institutions $ 115 $ 80 $ 195 $ 73 $ 72 $ 145 59 % 41 % 100 % 50 % 50 % 100 % Public, Project and Infrastructure Finance $ 110 $ 44 $ 154 $ 84 $ 43 $ 127 71 % 29 % 100 % 66 % 34 % 100 % MIS Other $ 3 $ 7 $ 10 $ 2 $ 6 $ 8 30 % 70 % 100 % 25 % 75 % 100 % Total MIS $ 692 $ 323 $ 1,015 $ 443 $ 304 $ 747 68 % 32 % 100 % 59 % 41 % 100 % Total Moody's Corporation $ 731 $ 1,086 $ 1,817 $ 490 $ 1,004 $ 1,494 40 % 60 % 100 % 33 % 67 % 100 % Six Months Ended June 30, 2024 2023 Transaction Recurring Total Transaction Recurring Total Decision Solutions $ 72 $ 659 $ 731 $ 83 $ 585 $ 668 10 % 90 % 100 % 12 % 88 % 100 % Research and Insights $ 7 $ 441 $ 448 $ 8 $ 424 $ 432 2 % 98 % 100 % 2 % 98 % 100 % Data and Information $ 2 $ 420 $ 422 $ 1 $ 383 $ 384 — % 100 % 100 % — % 100 % 100 % Total MA (1) $ 81 $ 1,520 $ 1,601 $ 92 $ 1,392 $ 1,484 5 % 95 % 100 % 6 % 94 % 100 % Corporate Finance $ 787 $ 267 $ 1,054 $ 466 $ 255 $ 721 75 % 25 % 100 % 65 % 35 % 100 % Structured Finance $ 135 $ 110 $ 245 $ 94 $ 107 $ 201 55 % 45 % 100 % 47 % 53 % 100 % Financial Institutions $ 237 $ 153 $ 390 $ 143 $ 144 $ 287 61 % 39 % 100 % 50 % 50 % 100 % Public, Project and Infrastructure Finance $ 206 $ 89 $ 295 $ 169 $ 87 $ 256 70 % 30 % 100 % 66 % 34 % 100 % MIS Other $ 4 $ 14 $ 18 $ 3 $ 12 $ 15 22 % 78 % 100 % 20 % 80 % 100 % Total MIS $ 1,369 $ 633 $ 2,002 $ 875 $ 605 $ 1,480 68 % 32 % 100 % 59 % 41 % 100 % Total Moody's Corporation $ 1,450 $ 2,153 $ 3,603 $ 967 $ 1,997 $ 2,964 40 % 60 % 100 % 33 % 67 % 100 % (1) Revenue from software implementation services and risk management advisory projects, while classified by management as transactional revenue, is recognized over time under GAAP (please also refer to the following table). The following table presents the timing of revenue recognition: Three Months Ended June 30, 2024 Six Months Ended June 30, 2024 MA MIS Total MA MIS Total Revenue recognized at a point in time $ 18 $ 692 $ 710 $ 39 $ 1,369 $ 1,408 Revenue recognized over time 784 323 1,107 1,562 633 2,195 Total $ 802 $ 1,015 $ 1,817 $ 1,601 $ 2,002 $ 3,603 Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 MA MIS Total MA MIS Total Revenue recognized at a point in time $ 22 $ 443 $ 465 $ 49 $ 875 $ 924 Revenue recognized over time 725 304 1,029 1,435 605 2,040 Total $ 747 $ 747 $ 1,494 $ 1,484 $ 1,480 $ 2,964 |
Company's Reportable Segment Revenues Disaggregated by Segment and Geographic Region | The following table presents the Company’s reportable segment revenues disaggregated by segment and geographic region: Three Months Ended June 30, Six Months Ended 2024 2023 2024 2023 MA: U.S. $ 338 $ 320 $ 675 $ 637 Non-U.S.: EMEA 319 298 635 585 Asia-Pacific 82 70 167 148 Americas 63 59 124 114 Total Non-U.S. 464 427 926 847 Total MA 802 747 1,601 1,484 MIS: U.S. 636 455 1,268 901 Non-U.S.: EMEA 247 181 473 354 Asia-Pacific 82 75 152 146 Americas 50 36 109 79 Total Non-U.S. 379 292 734 579 Total MIS 1,015 747 2,002 1,480 Total MCO $ 1,817 $ 1,494 $ 3,603 $ 2,964 Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 United States $ 974 $ 775 $ 1,943 $ 1,538 Non-U.S.: EMEA 566 479 1,108 939 Asia-Pacific 164 145 319 294 Americas 113 95 233 193 Total Non-U.S. 843 719 1,660 1,426 Total $ 1,817 $ 1,494 $ 3,603 $ 2,964 |
Schedule of Unbilled Receivables | The following table presents the Company's unbilled receivables, which are included within accounts receivable, net, at June 30, 2024 and December 31, 2023: As of June 30, 2024 As of December 31, 2023 MA MIS MA MIS Unbilled Receivables $ 139 $ 466 $ 119 $ 415 |
Schedule of Changes in the Deferred Revenue Balances | Significant changes in the deferred revenue balances during the three and six months ended June 30, 2024 and 2023 are as follows: Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 MA MIS Total MA MIS Total Balance at March 31, $ 1,312 $ 361 $ 1,673 $ 1,288 $ 360 $ 1,648 Changes in deferred revenue Revenue recognized that was included in the deferred revenue balance at the beginning of the period (529) (117) (646) (592) (116) (708) Increases due to amounts billable excluding amounts recognized as revenue during the period 365 93 458 417 91 508 Effect of exchange rate changes (2) (1) (3) 3 1 4 Total changes in deferred revenue (166) (25) (191) (172) (24) (196) Balance at June 30, $ 1,146 $ 336 $ 1,482 $ 1,116 $ 336 $ 1,452 Six Months Ended June 30, 2024 Six Months Ended June 30, 2023 MA MIS Total MA MIS Total Balance at December 31, $ 1,111 $ 270 $ 1,381 $ 1,055 $ 278 $ 1,333 Changes in deferred revenue Revenue recognized that was included in the deferred revenue balance at the beginning of the period (752) (155) (907) (788) (160) (948) Increases due to amounts billable excluding amounts recognized as revenue during the period 803 224 1,027 830 216 1,046 Effect of exchange rate changes (16) (3) (19) 19 2 21 Total changes in deferred revenue 35 66 101 61 58 119 Balance at June 30, $ 1,146 $ 336 $ 1,482 $ 1,116 $ 336 $ 1,452 Deferred revenue - current $ 1,145 $ 278 $ 1,423 $ 1,115 $ 270 $ 1,385 Deferred revenue - non-current $ 1 $ 58 $ 59 $ 1 $ 66 $ 67 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Stock-Based Compensation Cost and Associated Tax Benefit | Presented below is a summary of the stock-based compensation cost and associated tax benefit included in the accompanying consolidated statements of operations: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Stock-based compensation cost $ 56 $ 50 $ 109 $ 97 Tax benefit $ 12 $ 12 $ 24 $ 22 |
Weighted Average Assumptions used in Determining Fair Value for Options Granted | The following weighted average assumptions were used in determining the fair value using the Black-Scholes option-pricing model for options granted in 2024: Expected dividend yield 0.91 % Expected stock volatility 28 % Risk-free interest rate 4.34 % Expected holding period 5.9 years |
Stock Option Exercises and Restricted Stock Vesting | The following table summarizes information relating to stock option exercises and restricted stock vesting: Six Months Ended 2024 2023 Exercise of stock options: Proceeds from stock option exercises $ 34 $ 21 Aggregate intrinsic value $ 43 $ 44 Tax benefit realized upon exercise $ 7 $ 10 Number of shares exercised 0.2 0.2 Vesting of restricted stock: Fair value of shares vested $ 176 $ 147 Tax benefit realized upon vesting $ 43 $ 34 Number of shares vested 0.5 0.5 Vesting of performance-based restricted stock: Fair value of shares vested $ 40 $ 24 Tax benefit realized upon vesting $ 9 $ 3 Number of shares vested 0.1 0.1 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes Paid | The following table shows the amount the Company paid for income taxes: Six Months Ended June 30, 2024 2023 Income taxes paid $ 276 $ 122 |
RECONCILIATION OF WEIGHTED AV_2
RECONCILIATION OF WEIGHTED AVERAGE SHARES OUTSTANDING (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
Reconciliation of Basic to Diluted Shares Outstanding | Below is a reconciliation of basic to diluted shares outstanding: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Basic 182.3 183.5 182.5 183.4 Dilutive effect of shares issuable under stock-based compensation plans 0.7 0.6 0.7 0.7 Diluted 183.0 184.1 183.2 184.1 Anti-dilutive options to purchase common shares and restricted stock as well as contingently issuable restricted stock which are excluded from the table above 0.4 0.4 0.4 0.5 |
CASH EQUIVALENTS AND INVESTME_2
CASH EQUIVALENTS AND INVESTMENTS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Cash and Cash Equivalents [Abstract] | |
Schedule of Cash and Cash Equivalents and Investments | The table below provides additional information on the Company’s cash equivalents and investments: As of June 30, 2024 Balance sheet location Cost Gains/(Losses) Fair Value Cash and cash equivalents Short-term Other Certificates of deposit and money market deposit accounts/funds (1) $ 1,597 $ — $ 1,597 $ 1,533 $ 63 $ 1 Mutual funds $ 97 $ 10 $ 107 $ — $ — $ 107 As of December 31, 2023 Balance sheet location Cost Gains/(Losses) Fair Value Cash and cash Short-term Other Certificates of deposit and money market deposit accounts/funds (1) $ 1,178 $ — $ 1,178 $ 1,112 $ 63 $ 3 Mutual funds $ 91 $ 6 $ 97 $ — $ — $ 97 (1) Consists of time deposits, money market deposit accounts and money market funds. The remaining contractual maturities for the certificates of deposits classified as short-term investments are one month to 12 months at both June 30, 2024 and December 31, 2023. The remaining contractual maturities for the certificates of deposits classified in other assets are 14 months at both June 30, 2024 and December 31, 2023. Time deposits with a maturity of less than 90 days at time of purchase are classified as cash and cash equivalents. |
DERIVATIVE INSTRUMENTS AND HE_2
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | The following table summarizes the Company’s interest rate swaps designated as fair value hedges: Notional Amount Hedged Item Nature of Swap As of June 30, 2024 As of December 31, 2023 Floating Interest Rate 2017 Senior Notes due 2028 Pay Floating/Receive Fixed $ 500 $ 500 SOFR 2020 Senior Notes due 2025 Pay Floating/Receive Fixed 300 300 SOFR 2014 Senior Notes due 2044 Pay Floating/Receive Fixed 300 300 SOFR 2018 Senior Notes due 2048 Pay Floating/Receive Fixed 300 300 SOFR 2018 Senior Notes due 2029 Pay Floating/Receive Fixed 400 400 SOFR 2022 Senior Notes due 2052 Pay Floating/Receive Fixed 500 500 SOFR 2022 Senior Notes due 2032 Pay Floating/Receive Fixed 250 250 SOFR Total $ 2,550 $ 2,550 June 30, 2024 Pay Receive Nature of Swap Notional Amount Weighted Average Interest Rate Notional Amount Weighted Average Interest Rate Pay Fixed/Receive Fixed € 965 2.91% $ 1,014 4.41% Pay Floating/Receive Floating 2,138 Based on ESTR 2,250 Based on SOFR Total € 3,103 $ 3,264 December 31, 2023 Pay Receive Nature of Swap Notional Amount Weighted Average Interest Rate Notional Amount Weighted Average Interest Rate Pay Fixed/Receive Fixed € 765 3.67% $ 800 5.25% Pay Floating/Receive Floating 2,138 Based on ESTR 2,250 Based on SOFR Total € 2,903 $ 3,050 |
Gains and Losses on Derivatives Designated as Hedging Instruments | The following table summarizes the impact to the statements of operations of the Company’s interest rate swaps designated as fair value hedges: Total amounts of financial statement line item presented in the statements of operations in which the effects of fair value hedges are recorded Amount of income/(loss) recognized in the consolidated statements of operations Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Interest expense, net $ (63) $ (71) $ (125) $ (119) Description Location on Consolidated Statements of Operations Net interest settlements and accruals on interest rate swaps Interest expense, net $ (24) $ (21) $ (49) $ (39) Fair value changes on interest rate swaps Interest expense, net $ 7 $ (46) $ (22) $ — Fair value changes on hedged debt Interest expense, net $ (7) $ 46 $ 22 $ — |
Schedule of Net Investment Hedges, Notional Amount That Will Be Settled At Expiry | As of June 30, 2024 these hedges will expire and the notional amounts will be settled as follows unless terminated early at the discretion of the Company: Years Ending December 31, Notional Amount (Pay) Notional Amount (Receive) 2026 € 450 $ 500 2027 531 550 2028 588 600 2029 573 614 2031 481 500 2032 480 500 Total € 3,103 $ 3,264 |
Amount of Gain/(Loss) Recognized in AOCI on Derivative Net Investment Hedging Relationships (Effectiveness Portion) | The following table provides information on the gains/(losses) on the Company’s net investment and cash flow hedges: Derivative and Non-Derivative Instruments in Net Investment Hedging Relationships Amount of Gain/(Loss) Recognized in AOCL on Derivative, net of Tax Amount of Loss Reclassified from AOCL into Income, net of Tax Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Three Months Ended June 30, Three Months Ended June 30, Three Months Ended June 30, 2024 2023 2024 2023 2024 2023 Cross currency swaps $ 24 $ (24) $ — $ — $ 11 $ 14 Long-term debt 8 (4) — — — — Total net investment hedges $ 32 $ (28) $ — $ — $ 11 $ 14 Derivatives in Cash Flow Hedging Relationships Cross currency swap $ — $ — $ — $ 1 $ — $ — Interest rate contracts — — — — — — Total cash flow hedges $ — $ — $ — $ 1 $ — $ — Total $ 32 $ (28) $ — $ 1 $ 11 $ 14 Derivative and Non-Derivative Instruments in Net Investment Hedging Relationships Amount of Gain/(Loss) Recognized in AOCL on Derivative, net of Tax Amount of Loss Reclassified from AOCL into Income, net of Tax Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Six Months Ended June 30, Six Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 2024 2023 Cross currency swaps $ 75 $ (63) $ — $ — $ 22 $ 30 Long-term debt 31 (22) — — — — Total net investment hedges $ 106 $ (85) $ — $ — $ 22 $ 30 Derivatives in Cash Flow Hedging Relationships Cross currency swaps $ — $ — $ — $ 1 $ — $ — Interest rate contracts — — (1) (1) — — Total cash flow hedges $ — $ — $ (1) $ — $ — $ — Total $ 106 $ (85) $ (1) $ — $ 22 $ 30 |
Components of Accumulated Other Comprehensive Income | The cumulative amount of net investment hedge and cash flow hedge gains (losses) remaining in AOCL is as follows: Cumulative Gains/(Losses), net of tax June 30, 2024 December 31, 2023 Net investment hedges Cross currency swaps $ 96 $ 21 FX forwards 29 29 Long-term debt 34 3 Total net investment hedges $ 159 $ 53 Cash flow hedges Interest rate contracts $ (44) $ (45) Cross currency swaps 1 1 Total cash flow hedges (43) (44) Total net gain in AOCL $ 116 $ 9 The following tables show changes in AOCL by component (net of tax): Three Months Ended June 30, 2024 2023 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance at March 31, $ (57) $ (43) $ (635) $ 127 $ (608) $ (47) $ (44) $ (626) $ 128 $ (589) Other comprehensive income/(loss) before reclassifications (1) — (39) 32 (8) — — 49 (28) 21 Amounts reclassified from AOCL (1) — — — (1) (1) (1) — — (2) Other comprehensive income/(loss) (2) — (39) 32 (9) (1) (1) 49 (28) 19 Balance at June 30, $ (59) $ (43) $ (674) $ 159 $ (617) $ (48) $ (45) $ (577) $ 100 $ (570) Six Months Ended June 30, 2024 2023 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance at December 31, $ (56) $ (44) $ (520) $ 53 $ (567) $ (47) $ (45) $ (736) $ 185 $ (643) Other comprehensive (loss)/income before reclassifications (2) — (154) 106 (50) — — 159 (85) 74 Amounts reclassified from AOCL (1) 1 — — — (1) — — — (1) Other comprehensive (loss)/income (3) 1 (154) 106 (50) (1) — 159 (85) 73 Balance at June 30, $ (59) $ (43) $ (674) $ 159 $ (617) $ (48) $ (45) $ (577) $ 100 $ (570) |
Summary of Notional Amounts of Outstanding Foreign Exchange Forwards | The following table summarizes the notional amounts of the Company’s outstanding foreign exchange forwards: June 30, 2024 December 31, 2023 Notional amount of currency pair (1) : Sell Buy Sell Buy Contracts to sell USD for GBP $ 544 £ 428 $ 513 £ 407 Contracts to sell USD for JPY $ 25 ¥ 4,000 $ 14 ¥ 2,000 Contracts to sell USD for CAD $ 48 C$ 65 $ 147 C$ 200 Contracts to sell USD for SGD $ 82 S$ 110 $ 50 S$ 67 Contracts to sell USD for EUR $ — € — $ 60 € 55 Contracts to sell USD for INR $ 23 ₹ 1,900 $ 23 ₹ 1,900 Contracts to sell USD for AUD $ — A$ — $ 5 A$ 8 Contracts to sell CAD for USD C$ — $ — C$ 25 $ 19 |
Gains and Losses Recognized in Consolidated Statement of Operations on Derivatives Not Designated as Hedging instruments | The following table summarizes the impact to the consolidated statements of operations relating to the gains and losses on the Company’s derivatives which are not designated as hedging instruments: Derivatives not designated as accounting hedges Location on Consolidated Statements of Operations Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 FX forwards Other non-operating income, net $ (5) $ 10 $ (18) $ 15 Total return swaps Operating expense $ 1 $ — $ 4 $ — Total return swaps SG&A expense $ — $ — $ 1 $ — |
Fair Value of Derivative Instruments | The table below shows the classification between assets and liabilities on the Company’s consolidated balance sheets for the fair value of the derivative instrument as well as the carrying value of its non-derivative debt instruments designated and qualifying as net investment hedges: Derivative and Non-Derivative Instruments Balance Sheet Location June 30, 2024 December 31, 2023 Assets: Derivatives designated as accounting hedges: Cross-currency swaps designated as net investment hedges Other assets $ 18 $ 3 Derivatives not designated as accounting hedges: FX forwards on certain assets and liabilities Other current assets — 13 Total assets $ 18 $ 16 Liabilities: Derivatives designated as accounting hedges: Interest rate swaps designated as fair value hedges Accounts payable and accrued liabilities $ 11 $ — Cross-currency swaps designated as net investment hedges Other liabilities 97 183 Interest rate swaps designated as fair value hedges Other liabilities 194 183 Total derivatives designated as accounting hedges 302 366 Non-derivatives designated as accounting hedges: Long-term debt designated as net investment hedge Long-term debt 1,339 1,381 Derivatives not designated as accounting hedges: FX forwards on certain assets and liabilities Accounts payable and accrued liabilities 5 — Total liabilities $ 1,646 $ 1,747 |
GOODWILL AND OTHER ACQUIRED I_2
GOODWILL AND OTHER ACQUIRED INTANGIBLE ASSETS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Activity in Goodwill | The following table summarizes the activity in goodwill for the periods indicated: Six Months Ended June 30, 2024 MA MIS Consolidated Gross goodwill Accumulated Net Gross goodwill Accumulated impairment Net Gross goodwill Accumulated Net Balance at beginning $ 5,681 $ (12) $ 5,669 $ 287 $ — $ 287 $ 5,968 $ (12) $ 5,956 Additions/ adjustments (1) 14 — 14 2 — 2 16 — 16 Foreign currency translation adjustments (79) — (79) (2) — (2) (81) — (81) Ending balance $ 5,616 $ (12) $ 5,604 $ 287 $ — $ 287 $ 5,903 $ (12) $ 5,891 Year Ended December 31, 2023 MA MIS Consolidated Gross goodwill Accumulated impairment charge Net goodwill Gross goodwill Accumulated impairment charge Net goodwill Gross goodwill Accumulated impairment charge Net goodwill Balance at beginning $ 5,474 $ (12) $ 5,462 $ 377 $ — $ 377 $ 5,851 $ (12) $ 5,839 Additions/ adjustments (2) 90 — 90 (87) — (87) 3 — 3 Foreign currency translation 117 — 117 (3) — (3) 114 — 114 Ending balance $ 5,681 $ (12) $ 5,669 $ 287 $ — $ 287 $ 5,968 $ (12) $ 5,956 (1) The 2024 additions/adjustments primarily relate to certain immaterial acquisitions which were completed in the first quarter of 2024. (2) The 2023 additions/adjustments primarily relate to a reallocation of goodwill pursuant to a realignment of certain components of the Company's ESG business in the first quarter of 2023. |
Acquired Intangible Assets and Related Amortization | Acquired intangible assets and related amortization consisted of: June 30, December 31, Customer relationships $ 2,038 $ 2,065 Accumulated amortization (594) (556) Net customer relationships 1,444 1,509 Software/product technology 665 674 Accumulated amortization (392) (364) Net software/product technology 273 310 Database 178 179 Accumulated amortization (90) (82) Net database 88 97 Trade names 197 199 Accumulated amortization (78) (72) Net trade names 119 127 Other (1) 52 52 Accumulated amortization (46) (46) Net other 6 6 Total acquired intangible assets, net $ 1,930 $ 2,049 (1) Other intangible assets primarily consist of trade secrets, covenants not to compete, and acquired ratings methodologies and models. |
Amortization Expense Relating to Acquired Intangible Assets | Amortization expense relating to acquired intangible assets is as follows: Three Months Ended June 30, Six Months Ended 2024 2023 2024 2023 Amortization expense $ 48 $ 50 $ 97 $ 101 |
RESTRUCTURING (Tables)
RESTRUCTURING (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Expenses Included in Consolidated Statements of Operations | Total expense included in the accompanying consolidated statements of operations relating to the aforementioned restructuring program is below: 2022 - 2023 Geolocation Restructuring Program Three months ended June 30, Six months ended June 30, Cumulative expense incurred 2024 2023 2024 2023 Employee Termination Costs $ 2 $ 9 $ 7 $ 22 $ 143 Real Estate Related Costs — 1 — 2 63 Other Costs — — — — 1 Total Restructuring $ 2 $ 10 $ 7 $ 24 $ 207 The table below shows cumulative restructuring expense incurred through June 30, 2024 by reportable segment. MA MIS Total 2022 - 2023 Geolocation Restructuring Program $ 111 $ 96 $ 207 |
Changes to the Restructuring Liability | Changes to the restructuring liability during the first half of 2024 were as follows: Balance as of December 31, 2023 $ 36 2022 - 2023 Geolocation Restructuring Program: Cost incurred and adjustments 7 Cash payments (29) Balance as of June 30, 2024 $ 14 |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments Carried at Fair Value on Recurring Basis | The tables below present information about items that are carried at fair value at June 30, 2024 and December 31, 2023: Fair Value Measurement as of June 30, 2024 Description Balance Level 1 Level 2 Assets: Derivatives (1) $ 18 $ — $ 18 Money market funds/mutual funds 117 117 — Total $ 135 $ 117 $ 18 Liabilities: Derivatives (1) $ 307 $ — $ 307 Total $ 307 $ — $ 307 Fair Value Measurement as of December 31, 2023 Description Balance Level 1 Level 2 Assets: Derivatives (1) $ 16 $ — $ 16 Money market funds/mutual funds 107 107 — Total $ 123 $ 107 $ 16 Liabilities: Derivatives (1) $ 366 $ — $ 366 Total $ 366 $ — $ 366 (1) Represents fair value of certain derivative contracts as more fully described in Note 7 to the consolidated financial statements. |
OTHER BALANCE SHEET AND STATE_2
OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Other Balance Sheet And Statement Of Operations Information [Abstract] | |
Additional Details Related to Certain Balance Sheet Captions | The following tables contain additional detail related to certain balance sheet captions: June 30, 2024 December 31, 2023 Other current assets: Prepaid taxes $ 83 $ 115 Prepaid expenses 162 133 Capitalized costs to obtain and fulfill sales contracts 119 116 Foreign exchange forwards on certain assets and liabilities — 13 Interest receivable on interest rate and cross currency swaps 79 79 Other 46 33 Total other current assets $ 489 $ 489 Other assets: Investments in non-consolidated affiliates $ 523 $ 521 Deposits for real-estate leases 15 16 Indemnification assets related to acquisitions 115 111 Mutual funds, certificates of deposit and money market deposit accounts/funds 108 100 Company owned life insurance (at contract value) 48 47 Capitalized costs to obtain sales contracts 198 196 Derivative instruments designated as accounting hedges 18 3 Pension and other retirement employee benefits 40 41 Other 85 103 Total other assets $ 1,150 $ 1,138 Accounts payable and accrued liabilities: Salaries and benefits $ 140 $ 130 Incentive compensation 196 345 Customer credits, advanced payments and advanced billings 137 105 Dividends 6 7 Professional service fees 77 46 Interest accrued on debt 74 83 Accounts payable 57 23 Income taxes 104 108 Pension and other retirement employee benefits 15 15 Accrued royalties 20 24 Foreign exchange forwards on certain assets and liabilities 5 — Restructuring liability 14 35 Derivative instruments designated as accounting hedges 11 — Interest payable on interest rate and cross currency swaps 66 67 Other 78 88 Total accounts payable and accrued liabilities $ 1,000 $ 1,076 June 30, 2024 December 31, 2023 Other liabilities: Pension and other retirement employee benefits $ 191 $ 190 Interest accrued on UTPs 42 36 MAKS indemnification provisions 19 19 Income tax liability - non-current portion 12 15 Derivative instruments designated as accounting hedges 291 366 Other 63 50 Total other liabilities $ 618 $ 676 |
Investments in and Advances to Affiliates | The following table provides additional detail regarding Moody's investments in non-consolidated affiliates, as included in other assets in the consolidated balance sheets: June 30, 2024 December 31, 2023 Equity method investments (1) $ 187 $ 186 Investments measured using the measurement alternative (2) 327 327 Other 9 8 Total investments in non-consolidated affiliates $ 523 $ 521 (1) Equity securities in which the Company has significant influence over the investee but does not have a controlling financial interest in accordance with ASC Topic 323. (2) Equity securities without readily determinable fair value for which the Company has elected to apply the measurement alternative in accordance with ASC Topic 321. |
Other Non-Operating | The following table summarizes the components of other non-operating income, net: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 FX loss (1) $ (4) $ (5) $ (7) $ (31) Net periodic pension income - non-service and non-interest cost components 8 9 16 18 Income from investments in non-consolidated affiliates 2 1 2 3 Gain on investments 5 5 8 11 Other (2) (4) 3 1 12 Total $ 7 $ 13 $ 20 $ 13 (1) The amount for the six months ended June 30, 2023 includes a $23 million loss recorded pursuant to an immaterial out-of-period adjustment relating to the 2022 fiscal year. (2) The amount for the six months ended June 30, 2023 reflects a benefit of $9 million related to the favorable resolutions of various tax matters. |
COMPREHENSIVE INCOME AND ACCU_2
COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Income | The cumulative amount of net investment hedge and cash flow hedge gains (losses) remaining in AOCL is as follows: Cumulative Gains/(Losses), net of tax June 30, 2024 December 31, 2023 Net investment hedges Cross currency swaps $ 96 $ 21 FX forwards 29 29 Long-term debt 34 3 Total net investment hedges $ 159 $ 53 Cash flow hedges Interest rate contracts $ (44) $ (45) Cross currency swaps 1 1 Total cash flow hedges (43) (44) Total net gain in AOCL $ 116 $ 9 The following tables show changes in AOCL by component (net of tax): Three Months Ended June 30, 2024 2023 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance at March 31, $ (57) $ (43) $ (635) $ 127 $ (608) $ (47) $ (44) $ (626) $ 128 $ (589) Other comprehensive income/(loss) before reclassifications (1) — (39) 32 (8) — — 49 (28) 21 Amounts reclassified from AOCL (1) — — — (1) (1) (1) — — (2) Other comprehensive income/(loss) (2) — (39) 32 (9) (1) (1) 49 (28) 19 Balance at June 30, $ (59) $ (43) $ (674) $ 159 $ (617) $ (48) $ (45) $ (577) $ 100 $ (570) Six Months Ended June 30, 2024 2023 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance at December 31, $ (56) $ (44) $ (520) $ 53 $ (567) $ (47) $ (45) $ (736) $ 185 $ (643) Other comprehensive (loss)/income before reclassifications (2) — (154) 106 (50) — — 159 (85) 74 Amounts reclassified from AOCL (1) 1 — — — (1) — — — (1) Other comprehensive (loss)/income (3) 1 (154) 106 (50) (1) — 159 (85) 73 Balance at June 30, $ (59) $ (43) $ (674) $ 159 $ (617) $ (48) $ (45) $ (577) $ 100 $ (570) |
INDEBTEDNESS (Tables)
INDEBTEDNESS (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
Summary of Total Indebtedness | The following table summarizes total indebtedness: June 30, 2024 Notes Payable: Principal Amount Fair Value of Interest Rate Swaps (1) Unamortized (Discount) Premium Unamortized Debt Issuance Costs Carrying Value 5.25% 2014 Senior Notes, due 2044 $ 600 $ (37) $ 3 $ (4) $ 562 1.75% 2015 Senior Notes, due 2027 536 — — (1) 535 3.25% 2017 Senior Notes, due 2028 500 (25) (2) (1) 472 4.25% 2018 Senior Notes, due 2029 400 (39) (1) (2) 358 4.875% 2018 Senior Notes, due 2048 400 (39) (6) (3) 352 0.950% 2019 Senior Notes, due 2030 803 — (2) (3) 798 3.75% 2020 Senior Notes, due 2025 700 (11) — (1) 688 3.25% 2020 Senior Notes, due 2050 300 — (4) (3) 293 2.55% 2020 Senior Notes, due 2060 300 — (2) (3) 295 2.00% 2021 Senior Notes, due 2031 600 — (6) (4) 590 2.75% 2021 Senior Notes, due 2041 600 — (12) (5) 583 3.10% 2021 Senior Notes, due 2061 500 — (7) (5) 488 3.75% 2022 Senior Notes, due 2052 500 (42) (8) (5) 445 4.25% 2022 Senior Notes, due 2032 500 (12) (2) (4) 482 Total debt $ 7,239 $ (205) $ (49) $ (44) $ 6,941 Current portion (688) Total long-term debt $ 6,253 December 31, 2023 Notes Payable: Principal Amount Fair Value of Interest Rate Swaps (1) Unamortized (Discount) Premium Unamortized Debt Issuance Costs Carrying Value 5.25% 2014 Senior Notes, due 2044 $ 600 $ (34) $ 3 $ (4) $ 565 1.75% 2015 Senior Notes, due 2027 552 — — (1) 551 3.25% 2017 Senior Notes, due 2028 500 (26) (2) (2) 470 4.25% 2018 Senior Notes, due 2029 400 (34) (2) (2) 362 4.875% 2018 Senior Notes, due 2048 400 (36) (6) (3) 355 0.950% 2019 Senior Notes, due 2030 829 — (2) (4) 823 3.75% 2020 Senior Notes, due 2025 700 (16) (1) (1) 682 3.25% 2020 Senior Notes, due 2050 300 — (4) (3) 293 2.55% 2020 Senior Notes, due 2060 300 — (2) (3) 295 2.00% 2021 Senior Notes, due 2031 600 — (6) (4) 590 2.75% 2021 Senior Notes, due 2041 600 — (12) (5) 583 3.10% 2021 Senior Notes, due 2061 500 — (7) (5) 488 3.75% 2022 Senior Notes, due 2052 500 (29) (8) (5) 458 4.25% 2022 Senior Notes, due 2032 500 (8) (2) (4) 486 Total long-term debt $ 7,281 $ (183) $ (51) $ (46) $ 7,001 (1) The fair value of interest rate swaps in the tables above represents the cumulative amount of fair value hedging adjustments included in the carrying value of the hedged debt. |
Schedule of Line of Credit Facilities | Further information on the key terms of these revolving credit facilities is below: June 30, 2024 December 31, 2023 Issue Date Capacity Maturity Drawn Undrawn Drawn Undrawn 2021 Credit Facility December 17, 2021 $ 1,250 December 17, 2026 (Terminated in 2024) $ — $ — $ — $ 1,250 2024 Credit Facility May 6, 2024 $ 1,250 May 6, 2029 $ — $ 1,250 $ — $ — |
Principal Payments Due on Long-Term Borrowings | The repayment schedule for the Company’s borrowings is as follows: Year Ending December 31, Year Ending Total 2024 (After June 30,) $ — 2025 700 2026 — 2027 536 2028 500 Thereafter 5,503 Total $ 7,239 |
Summary of Components of Interest as Presented in Consolidated Statements of Operations | The following table summarizes the components of interest as presented in the consolidated statements of operations and the cash paid for interest: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Income $ 23 $ 15 $ 45 $ 25 Expense on borrowings (1) (74) (75) (148) (145) (Expense) income on UTPs and other tax related liabilities (2) (5) (4) (9) 14 Net periodic pension costs - interest component (7) (7) (13) (13) Interest expense, net $ (63) $ (71) $ (125) $ (119) Interest paid (3) $ 51 $ 47 $ 151 $ 143 (1) Expense on borrowings includes interest on long-term debt, as well as realized gains/losses related to interest rate swaps and cross currency swaps, which are more fully discussed in Note 7. (2) The amount for the six months ended June 30, 2023 reflects a $22 million reduction of tax-related interest expense primarily related to the resolutions of tax matters. (3) Interest paid includes net settlements on interest rate swaps, which are more fully discussed in Note 7. |
Fair Value and Carrying Value of Long-Term Debt | The fair value and carrying value of the Company’s debt as of June 30, 2024 and December 31, 2023 are as follows: June 30, 2024 December 31, 2023 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value Total debt $ 6,941 $ 6,121 $ 7,001 $ 6,402 |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Leases [Abstract] | |
Components of Lease Cost | The following table presents the components of the Company’s lease cost: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Operating lease cost $ 21 $ 23 $ 43 $ 47 Sublease income (2) (2) (4) (4) Variable lease cost 6 5 11 10 Total lease cost $ 25 $ 26 $ 50 $ 53 |
Schedule of Operating Leases Information | The following tables present other information related to the Company’s operating leases: Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Cash paid for amounts included in the measurement of operating lease liabilities $ 29 $ 30 $ 59 $ 60 Right-of-use assets obtained in exchange for new operating lease liabilities $ 1 $ 19 $ 5 $ 24 June 30, 2024 June 30, 2023 Weighted-average remaining lease term 4.1 years 4.8 years Weighted-average discount rate applied to operating leases 3.2 % 3.2 % |
Lessee, Operating Lease, Liability, Maturity | The following table presents a maturity analysis of the future minimum lease payments included within the Company’s operating lease liabilities at June 30, 2024: Year Ending December 31, Operating Leases 2024 (After June 30,) $ 60 2025 108 2026 89 2027 71 2028 20 After 2028 36 Total lease payments (undiscounted) 384 Less: Interest 22 Present value of lease liabilities: $ 362 Lease liabilities - current $ 108 Lease liabilities - noncurrent $ 254 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Segment Reporting [Abstract] | |
Financial Information by Segment | The table below shows revenue and Adjusted Operating Income by reportable segment. Adjusted Operating Income is a financial metric utilized by the Company’s CODM to assess the profitability of each reportable segment. Refer to Note 2 for further details on the components of the Company’s revenue. Three Months Ended June 30, 2024 2023 MA MIS Eliminations Consolidated MA MIS Eliminations Consolidated Total external revenue $ 802 $ 1,015 $ — $ 1,817 $ 747 $ 747 $ — $ 1,494 Intersegment revenue 4 49 (53) — 4 46 (50) — Revenue 806 1,064 (53) 1,817 751 793 (50) 1,494 Operating, SG&A 576 392 (53) 915 541 350 (50) 841 Adjusted Operating Income $ 230 $ 672 $ — $ 902 $ 210 $ 443 $ — $ 653 Add: Depreciation and 90 20 — 110 74 19 — 93 Restructuring 1 1 — 2 8 2 — 10 Charges related to asset abandonment 15 — — 15 — — — — Operating Income $ 775 $ 550 Six Months Ended June 30, 2024 2023 MA MIS Eliminations Consolidated MA MIS Eliminations Consolidated Total external revenue $ 1,601 $ 2,002 $ — $ 3,603 $ 1,484 $ 1,480 $ — $ 2,964 Intersegment revenue 7 96 (103) — 7 91 (98) — Revenue 1,608 2,098 (103) 3,603 1,491 1,571 (98) 2,964 Operating, SG&A 1,140 758 (103) 1,795 1,067 686 (98) 1,655 Adjusted Operating Income $ 468 $ 1,340 $ — $ 1,808 $ 424 $ 885 $ — $ 1,309 Add: Depreciation and amortization 172 38 — 210 144 37 — 181 Restructuring 3 4 — 7 16 8 — 24 Charges related to asset abandonment 15 — — 15 — — — — Operating Income $ 1,576 $ 1,104 |
Restructuring Expenses Included in Consolidated Statements of Operations | Total expense included in the accompanying consolidated statements of operations relating to the aforementioned restructuring program is below: 2022 - 2023 Geolocation Restructuring Program Three months ended June 30, Six months ended June 30, Cumulative expense incurred 2024 2023 2024 2023 Employee Termination Costs $ 2 $ 9 $ 7 $ 22 $ 143 Real Estate Related Costs — 1 — 2 63 Other Costs — — — — 1 Total Restructuring $ 2 $ 10 $ 7 $ 24 $ 207 The table below shows cumulative restructuring expense incurred through June 30, 2024 by reportable segment. MA MIS Total 2022 - 2023 Geolocation Restructuring Program $ 111 $ 96 $ 207 |
Company's Reportable Segment Revenues Disaggregated by Segment and Geographic Region | The following table presents the Company’s reportable segment revenues disaggregated by segment and geographic region: Three Months Ended June 30, Six Months Ended 2024 2023 2024 2023 MA: U.S. $ 338 $ 320 $ 675 $ 637 Non-U.S.: EMEA 319 298 635 585 Asia-Pacific 82 70 167 148 Americas 63 59 124 114 Total Non-U.S. 464 427 926 847 Total MA 802 747 1,601 1,484 MIS: U.S. 636 455 1,268 901 Non-U.S.: EMEA 247 181 473 354 Asia-Pacific 82 75 152 146 Americas 50 36 109 79 Total Non-U.S. 379 292 734 579 Total MIS 1,015 747 2,002 1,480 Total MCO $ 1,817 $ 1,494 $ 3,603 $ 2,964 Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 United States $ 974 $ 775 $ 1,943 $ 1,538 Non-U.S.: EMEA 566 479 1,108 939 Asia-Pacific 164 145 319 294 Americas 113 95 233 193 Total Non-U.S. 843 719 1,660 1,426 Total $ 1,817 $ 1,494 $ 3,603 $ 2,964 |
Description of Business and B_3
Description of Business and Basis of Presentation - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2024 segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of reportable segments | 2 |
Revenues - Revenue by Category
Revenues - Revenue by Category (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,817 | $ 1,494 | $ 3,603 | $ 2,964 |
Eliminations | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | (53) | (50) | (103) | (98) |
Eliminations | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | (53) | (50) | (103) | (98) |
MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 802 | 747 | 1,601 | 1,484 |
MA | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 806 | 751 | 1,608 | 1,491 |
MA | Eliminations | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 4 | 4 | 7 | 7 |
MA | Decision Solutions (DS) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 366 | 334 | ||
MA | Decision Solutions (DS) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 366 | 334 | 731 | 668 |
MA | Decision Solutions (DS) | DS Banking Product and Service | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 131 | 123 | 265 | 254 |
MA | Decision Solutions (DS) | Insurance | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 147 | 133 | 291 | 266 |
MA | Decision Solutions (DS) | KYC | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 88 | 78 | 175 | 148 |
MA | Research and Insights (R&I) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 226 | 217 | ||
MA | Research and Insights (R&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 226 | 217 | 448 | 432 |
MA | Data and Information (D&I) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 210 | 196 | ||
MA | Data and Information (D&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 210 | 196 | 422 | 384 |
MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,015 | 747 | 2,002 | 1,480 |
MIS | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,064 | 793 | 2,098 | 1,571 |
MIS | Eliminations | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 49 | 46 | 96 | 91 |
MIS | Corporate Finance (CFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 525 | 365 | ||
MIS | Corporate Finance (CFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 525 | 365 | 1,054 | 721 |
MIS | Corporate Finance (CFG) | Investment-grade | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 120 | 94 | 267 | 209 |
MIS | Corporate Finance (CFG) | High-yield | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 85 | 46 | 152 | 78 |
MIS | Corporate Finance (CFG) | Bank loans | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 147 | 68 | 302 | 127 |
MIS | Corporate Finance (CFG) | Other accounts | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 173 | 157 | 333 | 307 |
MIS | Structured Finance (SFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 131 | 102 | ||
MIS | Structured Finance (SFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 131 | 102 | 245 | 201 |
MIS | Structured Finance (SFG) | Other accounts | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 0 | 0 | 1 | 1 |
MIS | Structured Finance (SFG) | Asset-backed securities | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 34 | 32 | 67 | 59 |
MIS | Structured Finance (SFG) | RMBS | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 25 | 25 | 49 | 50 |
MIS | Structured Finance (SFG) | CMBS | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 22 | 14 | 39 | 28 |
MIS | Structured Finance (SFG) | Structured credit | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 50 | 31 | 89 | 63 |
MIS | Financial Institutions (FIG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 195 | 145 | ||
MIS | Financial Institutions (FIG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 195 | 145 | 390 | 287 |
MIS | Financial Institutions (FIG) | Insurance | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 61 | 35 | 120 | 68 |
MIS | Financial Institutions (FIG) | Other accounts | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 4 | 3 | 7 | 6 |
MIS | Financial Institutions (FIG) | Banking | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 115 | 97 | 236 | 197 |
MIS | Financial Institutions (FIG) | Managed investments | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 15 | 10 | 27 | 16 |
MIS | Public, Project and Infrastructure Finance (PPIF) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 154 | 127 | ||
MIS | Public, Project and Infrastructure Finance (PPIF) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 154 | 127 | 295 | 256 |
MIS | Public, Project and Infrastructure Finance (PPIF) | Public finance / sovereign | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 67 | 54 | 126 | 106 |
MIS | Public, Project and Infrastructure Finance (PPIF) | Project and infrastructure | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 87 | 73 | 169 | 150 |
MIS | Total ratings revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,005 | 739 | ||
MIS | Total ratings revenue | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,005 | 739 | 1,984 | 1,465 |
MIS | MIS Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 10 | 8 | ||
MIS | MIS Other | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 10 | $ 8 | $ 18 | $ 15 |
Revenues - Revenues Disaggregat
Revenues - Revenues Disaggregated by Line of Business and Geographical Area (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,817 | $ 1,494 | $ 3,603 | $ 2,964 |
United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 974 | 775 | 1,943 | 1,538 |
Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 843 | 719 | 1,660 | 1,426 |
MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 802 | 747 | 1,601 | 1,484 |
MA | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 806 | 751 | 1,608 | 1,491 |
MA | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 338 | 320 | 675 | 637 |
MA | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 338 | 320 | 675 | 637 |
MA | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 464 | 427 | 926 | 847 |
MA | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 464 | 427 | 926 | 847 |
MA | Decision Solutions (DS) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 366 | 334 | ||
MA | Decision Solutions (DS) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 366 | 334 | 731 | 668 |
MA | Decision Solutions (DS) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 138 | 133 | ||
MA | Decision Solutions (DS) | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 276 | 265 | ||
MA | Decision Solutions (DS) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 228 | 201 | ||
MA | Decision Solutions (DS) | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 455 | 403 | ||
MA | Research and Insights (R&I) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 226 | 217 | ||
MA | Research and Insights (R&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 226 | 217 | 448 | 432 |
MA | Research and Insights (R&I) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 124 | 119 | ||
MA | Research and Insights (R&I) | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 246 | 237 | ||
MA | Research and Insights (R&I) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 102 | 98 | ||
MA | Research and Insights (R&I) | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 202 | 195 | ||
MA | Data and Information (D&I) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 210 | 196 | ||
MA | Data and Information (D&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 210 | 196 | 422 | 384 |
MA | Data and Information (D&I) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 76 | 68 | ||
MA | Data and Information (D&I) | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 153 | 135 | ||
MA | Data and Information (D&I) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 134 | 128 | ||
MA | Data and Information (D&I) | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 269 | 249 | ||
MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,015 | 747 | 2,002 | 1,480 |
MIS | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,064 | 793 | 2,098 | 1,571 |
MIS | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 636 | 455 | 1,268 | 901 |
MIS | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 636 | 455 | 1,268 | 901 |
MIS | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 379 | 292 | 734 | 579 |
MIS | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 379 | 292 | 734 | 579 |
MIS | Corporate Finance (CFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 525 | 365 | ||
MIS | Corporate Finance (CFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 525 | 365 | 1,054 | 721 |
MIS | Corporate Finance (CFG) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 342 | 239 | ||
MIS | Corporate Finance (CFG) | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 714 | 485 | ||
MIS | Corporate Finance (CFG) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 183 | 126 | ||
MIS | Corporate Finance (CFG) | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 340 | 236 | ||
MIS | Structured Finance (SFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 131 | 102 | ||
MIS | Structured Finance (SFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 131 | 102 | 245 | 201 |
MIS | Structured Finance (SFG) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 92 | 60 | ||
MIS | Structured Finance (SFG) | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 168 | 121 | ||
MIS | Structured Finance (SFG) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 39 | 42 | ||
MIS | Structured Finance (SFG) | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 77 | 80 | ||
MIS | Financial Institutions (FIG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 195 | 145 | ||
MIS | Financial Institutions (FIG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 195 | 145 | 390 | 287 |
MIS | Financial Institutions (FIG) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 104 | 73 | ||
MIS | Financial Institutions (FIG) | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 202 | 136 | ||
MIS | Financial Institutions (FIG) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 91 | 72 | ||
MIS | Financial Institutions (FIG) | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 188 | 151 | ||
MIS | Public, Project and Infrastructure Finance (PPIF) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 154 | 127 | ||
MIS | Public, Project and Infrastructure Finance (PPIF) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 154 | 127 | 295 | 256 |
MIS | Public, Project and Infrastructure Finance (PPIF) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 98 | 83 | ||
MIS | Public, Project and Infrastructure Finance (PPIF) | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 184 | 159 | ||
MIS | Public, Project and Infrastructure Finance (PPIF) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 56 | 44 | ||
MIS | Public, Project and Infrastructure Finance (PPIF) | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 111 | 97 | ||
MIS | Total ratings revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,005 | 739 | ||
MIS | Total ratings revenue | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,005 | 739 | 1,984 | 1,465 |
MIS | Total ratings revenue | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 636 | 455 | ||
MIS | Total ratings revenue | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,268 | 901 | ||
MIS | Total ratings revenue | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 369 | 284 | ||
MIS | Total ratings revenue | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 716 | 564 | ||
MIS | MIS Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 10 | 8 | ||
MIS | MIS Other | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 10 | 8 | 18 | 15 |
MIS | MIS Other | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 0 | 0 | ||
MIS | MIS Other | United States | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 0 | 0 | ||
MIS | MIS Other | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 10 | $ 8 | ||
MIS | MIS Other | Non-U.S. | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 18 | $ 15 |
Revenues - Consolidated Revenue
Revenues - Consolidated Revenue Information by Geographic Area (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 1,817 | $ 1,494 | $ 3,603 | $ 2,964 |
MA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 802 | 747 | 1,601 | 1,484 |
MA | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 806 | 751 | 1,608 | 1,491 |
MIS | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,015 | 747 | 2,002 | 1,480 |
MIS | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 1,064 | 793 | 2,098 | 1,571 |
United States | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 974 | 775 | 1,943 | 1,538 |
United States | MA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 338 | 320 | 675 | 637 |
United States | MA | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 338 | 320 | 675 | 637 |
United States | MIS | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 636 | 455 | 1,268 | 901 |
United States | MIS | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 636 | 455 | 1,268 | 901 |
Non-U.S. | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 843 | 719 | 1,660 | 1,426 |
Non-U.S. | MA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 464 | 427 | 926 | 847 |
Non-U.S. | MA | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 464 | 427 | 926 | 847 |
Non-U.S. | MIS | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 379 | 292 | 734 | 579 |
Non-U.S. | MIS | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 379 | 292 | 734 | 579 |
EMEA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 566 | 479 | 1,108 | 939 |
EMEA | MA | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 319 | 298 | 635 | 585 |
EMEA | MIS | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 247 | 181 | 473 | 354 |
Asia-Pacific | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 164 | 145 | 319 | 294 |
Asia-Pacific | MA | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 82 | 70 | 167 | 148 |
Asia-Pacific | MIS | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 82 | 75 | 152 | 146 |
Americas | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 113 | 95 | 233 | 193 |
Americas | MA | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 63 | 59 | 124 | 114 |
Americas | MIS | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 50 | $ 36 | $ 109 | $ 79 |
Revenues - Transaction and Rela
Revenues - Transaction and Relationship Revenue (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,817 | $ 1,494 | $ 3,603 | $ 2,964 |
Percentage of revenues | 100% | 100% | 100% | 100% |
Transaction Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 731 | $ 490 | $ 1,450 | $ 967 |
Percentage of revenues | 40% | 33% | 40% | 33% |
Recurring Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,086 | $ 1,004 | $ 2,153 | $ 1,997 |
Percentage of revenues | 60% | 67% | 60% | 67% |
MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 802 | $ 747 | $ 1,601 | $ 1,484 |
MA | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 806 | $ 751 | $ 1,608 | $ 1,491 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MA | Decision Solutions (DS) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 366 | $ 334 | ||
MA | Decision Solutions (DS) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 366 | $ 334 | $ 731 | $ 668 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MA | Research and Insights (R&I) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 226 | $ 217 | ||
MA | Research and Insights (R&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 226 | $ 217 | $ 448 | $ 432 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MA | Data and Information (D&I) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 210 | $ 196 | ||
MA | Data and Information (D&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 210 | $ 196 | $ 422 | $ 384 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MA | Transaction Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 39 | $ 47 | $ 81 | $ 92 |
MA | Transaction Revenue | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Percentage of revenues | 5% | 6% | 5% | 6% |
MA | Transaction Revenue | Decision Solutions (DS) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 35 | $ 43 | $ 72 | $ 83 |
Percentage of revenues | 10% | 13% | 10% | 12% |
MA | Transaction Revenue | Research and Insights (R&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 3 | $ 3 | $ 7 | $ 8 |
Percentage of revenues | 1% | 1% | 2% | 2% |
MA | Transaction Revenue | Data and Information (D&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1 | $ 1 | $ 2 | $ 1 |
Percentage of revenues | 0% | 1% | 0% | 0% |
MA | Recurring Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 763 | $ 700 | $ 1,520 | $ 1,392 |
MA | Recurring Revenue | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Percentage of revenues | 95% | 94% | 95% | 94% |
MA | Recurring Revenue | Decision Solutions (DS) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 331 | $ 291 | $ 659 | $ 585 |
Percentage of revenues | 90% | 87% | 90% | 88% |
MA | Recurring Revenue | Research and Insights (R&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 223 | $ 214 | $ 441 | $ 424 |
Percentage of revenues | 99% | 99% | 98% | 98% |
MA | Recurring Revenue | Data and Information (D&I) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 209 | $ 195 | $ 420 | $ 383 |
Percentage of revenues | 100% | 99% | 100% | 100% |
MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,015 | $ 747 | $ 2,002 | $ 1,480 |
MIS | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,064 | $ 793 | $ 2,098 | $ 1,571 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MIS | Corporate Finance (CFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 525 | $ 365 | ||
MIS | Corporate Finance (CFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 525 | $ 365 | $ 1,054 | $ 721 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MIS | Structured Finance (SFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 131 | $ 102 | ||
MIS | Structured Finance (SFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 131 | $ 102 | $ 245 | $ 201 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MIS | Financial Institutions (FIG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 195 | $ 145 | ||
MIS | Financial Institutions (FIG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 195 | $ 145 | $ 390 | $ 287 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MIS | Public, Project and Infrastructure Finance (PPIF) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 154 | $ 127 | ||
MIS | Public, Project and Infrastructure Finance (PPIF) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 154 | $ 127 | $ 295 | $ 256 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MIS | MIS Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 10 | $ 8 | ||
MIS | MIS Other | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 10 | $ 8 | $ 18 | $ 15 |
Percentage of revenues | 100% | 100% | 100% | 100% |
MIS | Transaction Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 692 | $ 443 | $ 1,369 | $ 875 |
MIS | Transaction Revenue | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Percentage of revenues | 68% | 59% | 68% | 59% |
MIS | Transaction Revenue | Corporate Finance (CFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 388 | $ 236 | $ 787 | $ 466 |
Percentage of revenues | 74% | 65% | 75% | 65% |
MIS | Transaction Revenue | Structured Finance (SFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 76 | $ 48 | $ 135 | $ 94 |
Percentage of revenues | 58% | 47% | 55% | 47% |
MIS | Transaction Revenue | Financial Institutions (FIG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 115 | $ 73 | $ 237 | $ 143 |
Percentage of revenues | 59% | 50% | 61% | 50% |
MIS | Transaction Revenue | Public, Project and Infrastructure Finance (PPIF) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 110 | $ 84 | $ 206 | $ 169 |
Percentage of revenues | 71% | 66% | 70% | 66% |
MIS | Transaction Revenue | MIS Other | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 3 | $ 2 | $ 4 | $ 3 |
Percentage of revenues | 30% | 25% | 22% | 20% |
MIS | Recurring Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 323 | $ 304 | $ 633 | $ 605 |
MIS | Recurring Revenue | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Percentage of revenues | 32% | 41% | 32% | 41% |
MIS | Recurring Revenue | Corporate Finance (CFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 137 | $ 129 | $ 267 | $ 255 |
Percentage of revenues | 26% | 35% | 25% | 35% |
MIS | Recurring Revenue | Structured Finance (SFG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 55 | $ 54 | $ 110 | $ 107 |
Percentage of revenues | 42% | 53% | 45% | 53% |
MIS | Recurring Revenue | Financial Institutions (FIG) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 80 | $ 72 | $ 153 | $ 144 |
Percentage of revenues | 41% | 50% | 39% | 50% |
MIS | Recurring Revenue | Public, Project and Infrastructure Finance (PPIF) | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 44 | $ 43 | $ 89 | $ 87 |
Percentage of revenues | 29% | 34% | 30% | 34% |
MIS | Recurring Revenue | MIS Other | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 7 | $ 6 | $ 14 | $ 12 |
Percentage of revenues | 70% | 75% | 78% | 80% |
Revenues - Revenue Recognition
Revenues - Revenue Recognition Timing (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | $ 1,817 | $ 1,494 | $ 3,603 | $ 2,964 |
At Point in Time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 710 | 465 | 1,408 | 924 |
Over Time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 1,107 | 1,029 | 2,195 | 2,040 |
MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 802 | 747 | 1,601 | 1,484 |
MA | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 806 | 751 | 1,608 | 1,491 |
MA | At Point in Time | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 18 | 22 | 39 | 49 |
MA | Over Time | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 784 | 725 | 1,562 | 1,435 |
MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 1,015 | 747 | 2,002 | 1,480 |
MIS | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 1,064 | 793 | 2,098 | 1,571 |
MIS | At Point in Time | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 692 | 443 | 1,369 | 875 |
MIS | Over Time | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | $ 323 | $ 304 | $ 633 | $ 605 |
Revenues - Unbilled Receivables
Revenues - Unbilled Receivables (Detail) - Accounts Receivable - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
MA | ||
Disaggregation of Revenue [Line Items] | ||
Unbilled Receivables | $ 139 | $ 119 |
MIS | ||
Disaggregation of Revenue [Line Items] | ||
Unbilled Receivables | $ 466 | $ 415 |
Revenues - Schedule of Changes
Revenues - Schedule of Changes in the Deferred Revenue Balances (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Change in Contract with Customer, Liability [Abstract] | |||||
Beginning Balance | $ 1,673 | $ 1,648 | $ 1,381 | $ 1,333 | |
Revenue recognized that was included in the deferred revenue balance at the beginning of the period | (646) | (708) | (907) | (948) | |
Increases due to amounts billable excluding amounts recognized as revenue during the period | 458 | 508 | 1,027 | 1,046 | |
Effect of exchange rate changes | (3) | 4 | (19) | 21 | |
Total changes in deferred revenue | (191) | (196) | 101 | 119 | |
Ending Balance | 1,482 | 1,452 | 1,482 | 1,452 | |
Deferred revenue | 1,423 | 1,385 | 1,423 | 1,385 | $ 1,316 |
Non-current portion of deferred revenue | 59 | 67 | 59 | 67 | $ 65 |
MA | |||||
Change in Contract with Customer, Liability [Abstract] | |||||
Beginning Balance | 1,312 | 1,288 | 1,111 | 1,055 | |
Revenue recognized that was included in the deferred revenue balance at the beginning of the period | (529) | (592) | (752) | (788) | |
Increases due to amounts billable excluding amounts recognized as revenue during the period | 365 | 417 | 803 | 830 | |
Effect of exchange rate changes | (2) | 3 | (16) | 19 | |
Total changes in deferred revenue | (166) | (172) | 35 | 61 | |
Ending Balance | 1,146 | 1,116 | 1,146 | 1,116 | |
Deferred revenue | 1,145 | 1,115 | 1,145 | 1,115 | |
Non-current portion of deferred revenue | 1 | 1 | 1 | 1 | |
MIS | |||||
Change in Contract with Customer, Liability [Abstract] | |||||
Beginning Balance | 361 | 360 | 270 | 278 | |
Revenue recognized that was included in the deferred revenue balance at the beginning of the period | (117) | (116) | (155) | (160) | |
Increases due to amounts billable excluding amounts recognized as revenue during the period | 93 | 91 | 224 | 216 | |
Effect of exchange rate changes | (1) | 1 | (3) | 2 | |
Total changes in deferred revenue | (25) | (24) | 66 | 58 | |
Ending Balance | 336 | 336 | 336 | 336 | |
Deferred revenue | 278 | 270 | 278 | 270 | |
Non-current portion of deferred revenue | $ 58 | $ 66 | $ 58 | $ 66 |
Revenues - Expected Recognition
Revenues - Expected Recognition Period for Remaining Performance Obligations (Detail) $ in Millions | Jun. 30, 2024 USD ($) |
MA | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, amount | $ 3,600 |
MA | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, percentage | 60% |
MA | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | Minimum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, period | 1 year |
MA | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, percentage | 25% |
MA | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | Minimum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, period | 1 year |
MA | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | Maximum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, period | 2 years |
MIS | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, amount | $ 91 |
MIS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, percentage | 25% |
MIS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-07-01 | Minimum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, period | 1 year |
MIS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, percentage | 50% |
MIS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | Minimum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, period | 1 year |
MIS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | Maximum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, period | 5 years |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-Based Compensation Cost and Associated Tax Benefit (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | ||||
Tax benefit | $ 12 | $ 12 | $ 24 | $ 22 |
Stock-based compensation cost | $ 56 | $ 50 | $ 109 | $ 97 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) $ / shares in Units, shares in Millions, $ in Millions | 6 Months Ended |
Jun. 30, 2024 USD ($) $ / shares shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Employee stock options, granted (in shares) | shares | 0.2 |
Employee stock options, weighted average grant date fair value (in usd per share) | $ / shares | $ 120.42 |
Restricted Stock | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Other than options, shares granted (in shares) | shares | 0.5 |
Other than options, weighted average grant date fair value (in usd per share) | $ / shares | $ 372.33 |
Award vesting period | 4 years |
Unrecognized compensation expense | $ | $ 328 |
Weighted average period to recognize expense | 2 years 8 months 12 days |
Employee Stock Option | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting period | 4 years |
Unrecognized compensation expense | $ | $ 21 |
Weighted average period to recognize expense | 1 year 10 months 24 days |
Performance Based Restricted Stock | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Other than options, shares granted (in shares) | shares | 0.2 |
Other than options, weighted average grant date fair value (in usd per share) | $ / shares | $ 361.83 |
Unrecognized compensation expense | $ | $ 66 |
Weighted average period to recognize expense | 2 years 6 months |
Performance Based Restricted Stock | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting period | 2 years |
Performance Based Restricted Stock | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting period | 4 years |
Stock-Based Compensation - Weig
Stock-Based Compensation - Weighted Average Assumptions used in Determining Fair Value for Options Granted (Detail) - Share-Based Payment Arrangement | 6 Months Ended |
Jun. 30, 2024 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected dividend yield | 0.91% |
Expected stock volatility | 28% |
Risk-free interest rate | 4.34% |
Expected holding period | 5 years 10 months 24 days |
Stock-Based Compensation - St_2
Stock-Based Compensation - Stock Option Exercises and Restricted Stock Vesting (Detail) - USD ($) shares in Millions, $ in Millions | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | ||
Proceeds from stock option exercises | $ 34 | $ 21 |
Aggregate intrinsic value | 43 | 44 |
Tax benefit realized upon exercise | $ 7 | $ 10 |
Number of shares exercised (shares) | 0.2 | 0.2 |
Restricted Stock | ||
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | ||
Fair value of shares vested | $ 176 | $ 147 |
Tax benefit realized upon vesting | $ 43 | $ 34 |
Number of shares vested (shares) | 0.5 | 0.5 |
Performance Based Restricted Stock | ||
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | ||
Fair value of shares vested | $ 40 | $ 24 |
Tax benefit realized upon vesting | $ 9 | $ 3 |
Number of shares vested (shares) | 0.1 | 0.1 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rate (percent) | 23.10% | 23.40% | 23.20% | 12% |
Excess tax benefits from stock compensation | $ 19 | |||
Unrecognized tax benefits, period increase (decrease), net of federal tax | $ 5 | $ 11 | ||
Income tax examination, description | Moody’s is subject to U.S. federal income tax as well as income tax in various state, local and foreign jurisdictions. The Company’s U.S. federal income tax returns for 2019 through 2020 are currently under examination and 2021 through 2022 remain open to examination. The Company’s New York City tax returns for 2018 through 2022 are currently under examination. The Company’s U.K. tax returns for 2017 through 2022 remain open to examination. |
Income Taxes - Income Taxes Pai
Income Taxes - Income Taxes Paid (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | ||
Income taxes paid | $ 276 | $ 122 |
Reconciliation of Weighted Av_3
Reconciliation of Weighted Average Shares Outstanding - Reconciliation of Basic to Diluted Shares Outstanding (Detail) - shares shares in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Earnings Per Share [Abstract] | ||||
Basic (in shares) | 182.3 | 183.5 | 182.5 | 183.4 |
Dilutive effect of shares issuable under stock-based compensation plans (in shares) | 0.7 | 0.6 | 0.7 | 0.7 |
Diluted (in shares) | 183 | 184.1 | 183.2 | 184.1 |
Anti-dilutive options to purchase common shares and restricted stock as well as contingently issuable restricted stock which are excluded from the table above (in shares) | 0.4 | 0.4 | 0.4 | 0.5 |
Cash Equivalents and Investme_3
Cash Equivalents and Investments (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2024 | Dec. 31, 2023 | |
Cash and Cash Equivalents [Line Items] | ||
Cash and cash equivalents | $ 2,635 | $ 2,130 |
Short-term investments | 63 | 63 |
Other assets | 1,150 | 1,138 |
Certificates of deposit and money market deposit accounts/funds | ||
Cash and Cash Equivalents [Line Items] | ||
Cost | 1,597 | 1,178 |
Gains/(Losses) | 0 | 0 |
Fair Value | 1,597 | 1,178 |
Cash and cash equivalents | 1,533 | 1,112 |
Short-term investments | 63 | 63 |
Other assets | 1 | 3 |
Mutual funds | ||
Cash and Cash Equivalents [Line Items] | ||
Cost | 97 | 91 |
Gains/(Losses) | 10 | 6 |
Fair Value | 107 | 97 |
Cash and cash equivalents | 0 | 0 |
Short-term investments | 0 | 0 |
Other assets | $ 107 | $ 97 |
Cash Equivalents and Investme_4
Cash Equivalents and Investments (Footnote) (Detail) - Certificates of deposit and money market deposit accounts/funds | Jun. 30, 2024 | Dec. 31, 2023 |
Short-term Investments | Minimum | ||
Cash and Cash Equivalents [Line Items] | ||
Securities maturity period | 1 month | 1 month |
Short-term Investments | Maximum | ||
Cash and Cash Equivalents [Line Items] | ||
Securities maturity period | 12 months | 12 months |
Other assets | Maximum | ||
Cash and Cash Equivalents [Line Items] | ||
Securities maturity period | 14 months | |
Cash and Cash Equivalents | Maximum | ||
Cash and Cash Equivalents [Line Items] | ||
Securities maturity period | 90 days |
Cash Equivalents and Investme_5
Cash Equivalents and Investments (Narrative) (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Cash and Cash Equivalents [Abstract] | ||
Company owned life insurance (at contract value) | $ 48 | $ 47 |
Derivative Instruments And He_3
Derivative Instruments And Hedging Activities - Schedule of Interest Rate Swap (Details) - Fair Value Hedging - Interest Rate Swap - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2024 | Dec. 31, 2023 | |
Derivative [Line Items] | ||
Notional Amount | $ 2,550 | $ 2,550 |
2017 Senior Notes due 2028 | ||
Derivative [Line Items] | ||
Notional Amount | $ 500 | $ 500 |
Floating Interest Rate | SOFR | SOFR |
2020 Senior Notes due 2025 | ||
Derivative [Line Items] | ||
Notional Amount | $ 300 | $ 300 |
Floating Interest Rate | SOFR | SOFR |
2014 Senior Notes due 2044 | ||
Derivative [Line Items] | ||
Notional Amount | $ 300 | $ 300 |
Floating Interest Rate | SOFR | SOFR |
2018 Senior Notes due 2048 | ||
Derivative [Line Items] | ||
Notional Amount | $ 300 | $ 300 |
Floating Interest Rate | SOFR | SOFR |
2018 Senior Notes due 2029 | ||
Derivative [Line Items] | ||
Notional Amount | $ 400 | $ 400 |
Floating Interest Rate | SOFR | SOFR |
2022 Senior Notes due 2052 | ||
Derivative [Line Items] | ||
Notional Amount | $ 500 | $ 500 |
Floating Interest Rate | SOFR | SOFR |
2022 Senior Notes due 2032 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | $ 250 |
Floating Interest Rate | SOFR | SOFR |
Derivative Instruments And He_4
Derivative Instruments And Hedging Activities - Summary of Net Gain (Loss) on Interest Rate Swaps Designated in Fair Value Hedge (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest expense, net | $ (63) | $ (71) | $ (125) | $ (119) |
Designated as Hedging Instrument | Interest Rate Swap | Net interest settlements and accruals on interest rate swaps | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net interest settlements and accruals on interest rate swaps | (24) | (21) | (49) | (39) |
Designated as Hedging Instrument | Interest Rate Swap | Interest Expense | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Fair value changes on interest rate swaps | 7 | (46) | (22) | 0 |
Fair value changes on hedged debt | $ (7) | $ 46 | $ 22 | $ 0 |
Derivative Instruments And He_5
Derivative Instruments And Hedging Activities - Additional Information (Detail) € in Millions, $ in Millions | Jun. 30, 2024 USD ($) | Jun. 30, 2024 EUR (€) | Dec. 31, 2023 USD ($) |
Not Designated as Accounting Hedges | Total return swaps | |||
Derivative [Line Items] | |||
Notional Amount | $ | $ 62 | $ 58 | |
1.75% 2015 Senior Notes, due 2027 | Net Investment Hedging | Designated as Hedging Instrument | Cross currency swaps | |||
Derivative [Line Items] | |||
Notional Amount | € 500 | ||
2019 Senior Notes Due 2030 | Net Investment Hedging | Designated as Hedging Instrument | Cross currency swaps | |||
Derivative [Line Items] | |||
Notional Amount | € 750 |
Derivative Instruments And He_6
Derivative Instruments And Hedging Activities - Summary of Notional Amounts of Outstanding Cross Currency Swap (Detail) - Cross currency swaps - Net Investment Hedging € in Millions, $ in Millions | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2024 USD ($) | Dec. 31, 2023 USD ($) | Jun. 30, 2024 EUR (€) | Dec. 31, 2023 EUR (€) | |
Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | € 3,103 | € 2,903 | ||
Currency Paid | 3.67% | ||||
Derivative [Line Items] | ||||
Notional Amount | € | € 965 | € 765 | ||
Weighted Average Interest Rate | 2.91% | 3.67% | 2.91% | 3.67% |
Currency Paid | Based on ESTR | ||||
Derivative [Line Items] | ||||
Notional Amount | € | € 2,138 | € 2,138 | ||
Floating Interest Rate | Based on ESTR | Based on ESTR | ||
Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | $ 3,264 | $ 3,050 | ||
Currency Received | 5.25% | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | $ 1,014 | $ 800 | ||
Weighted Average Interest Rate | 4.41% | 5.25% | 4.41% | 5.25% |
Currency Received | Based on SOFR | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | $ 2,250 | $ 2,250 | ||
Floating Interest Rate | Based on SOFR | Based on SOFR |
Derivative Instruments And He_7
Derivative Instruments And Hedging Activities - Schedule of Notional Amount of Net Investment Hedges (Detail) - Cross currency swaps € in Millions, $ in Millions | Jun. 30, 2024 USD ($) | Jun. 30, 2024 EUR (€) | Dec. 31, 2023 USD ($) | Dec. 31, 2023 EUR (€) |
Net Investment Hedging | Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | € 3,103 | € 2,903 | ||
Net Investment Hedging | Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | $ 3,264 | $ 3,050 | ||
Net Investment Hedging | Designated as Hedging Instrument | Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | 3,103 | |||
Net Investment Hedging | Designated as Hedging Instrument | Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | 3,264 | |||
2026 | Designated as Hedging Instrument | Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | 450 | |||
2026 | Designated as Hedging Instrument | Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | 500 | |||
2027 | Designated as Hedging Instrument | Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | 531 | |||
2027 | Designated as Hedging Instrument | Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | 550 | |||
2028 | Designated as Hedging Instrument | Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | 588 | |||
2028 | Designated as Hedging Instrument | Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | 600 | |||
2029 | Designated as Hedging Instrument | Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | 573 | |||
2029 | Designated as Hedging Instrument | Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | 614 | |||
2031 | Designated as Hedging Instrument | Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | 481 | |||
2031 | Designated as Hedging Instrument | Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | 500 | |||
2032 | Designated as Hedging Instrument | Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | € 480 | |||
2032 | Designated as Hedging Instrument | Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | $ 500 |
Derivative Instruments And He_8
Derivative Instruments And Hedging Activities - Gains (Losses) Recognized in AOCI and Reclassified from AOCI on Derivatives (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | $ 32 | $ (28) | $ 106 | $ (85) |
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Reclassified from AOCI into Income, net of Tax | 0 | 1 | (1) | 0 |
Total, Amount of Gain/(Loss) Reclassified from AOCI into Income, net of Tax | 0 | 1 | (1) | 0 |
Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 11 | 14 | 22 | 30 |
Net Investment Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net Investment Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | 32 | (28) | 106 | (85) |
Net investment hedges - reclassification of gains included in net income - Net of Tax | 0 | 0 | 0 | 0 |
Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 11 | 14 | 22 | 30 |
Cash Flow Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | 0 | 0 | 0 | 0 |
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Reclassified from AOCI into Income, net of Tax | 0 | 1 | (1) | 0 |
Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 0 | 0 | 0 | 0 |
Cross currency swaps | Net Investment Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net Investment Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | 24 | (24) | 75 | (63) |
Net investment hedges - reclassification of gains included in net income - Net of Tax | 0 | 0 | 0 | 0 |
Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 11 | 14 | 22 | 30 |
Cross currency swaps | Cash Flow Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | 0 | 0 | 0 | 0 |
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Reclassified from AOCI into Income, net of Tax | 0 | 1 | 0 | 1 |
Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 0 | 0 | 0 | 0 |
Long-term debt | Net Investment Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net Investment Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | 8 | (4) | 31 | (22) |
Net investment hedges - reclassification of gains included in net income - Net of Tax | 0 | 0 | 0 | 0 |
Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 0 | 0 | 0 | 0 |
Interest rate contracts | Cash Flow Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | 0 | 0 | 0 | 0 |
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Reclassified from AOCI into Income, net of Tax | 0 | 0 | (1) | (1) |
Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | $ 0 | $ 0 | $ 0 | $ 0 |
Derivative Instruments And He_9
Derivative Instruments And Hedging Activities - Cumulative Amount of Unrecognized Hedge Losses Recorded in AOCI (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | $ (617) | $ (567) |
Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | 116 | 9 |
Net Investment Hedging | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | 159 | 53 |
Net Investment Hedging | Cross currency swaps | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | 96 | 21 |
Net Investment Hedging | FX forwards | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | 29 | 29 |
Net Investment Hedging | Long-term debt | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | 34 | 3 |
Cash Flow Hedging | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | (43) | (44) |
Cash Flow Hedging | Cross currency swaps | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | 1 | 1 |
Cash Flow Hedging | Interest rate contracts | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | $ (44) | $ (45) |
Derivative Instruments And H_10
Derivative Instruments And Hedging Activities - Summary of Notional Amounts of Outstanding Foreign Exchange Forwards (Detail) - Not Designated as Accounting Hedges € in Millions, ₨ in Millions, ¥ in Millions, £ in Millions, $ in Millions, $ in Millions, $ in Millions, $ in Millions | Jun. 30, 2024 USD ($) | Jun. 30, 2024 EUR (€) | Jun. 30, 2024 GBP (£) | Jun. 30, 2024 JPY (¥) | Jun. 30, 2024 CAD ($) | Jun. 30, 2024 SGD ($) | Jun. 30, 2024 INR (₨) | Jun. 30, 2024 AUD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2023 EUR (€) | Dec. 31, 2023 GBP (£) | Dec. 31, 2023 JPY (¥) | Dec. 31, 2023 CAD ($) | Dec. 31, 2023 SGD ($) | Dec. 31, 2023 INR (₨) | Dec. 31, 2023 AUD ($) |
Contracts to sell USD for GBP | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | $ 544 | £ 428 | $ 513 | £ 407 | ||||||||||||
Contracts to sell USD for JPY | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 25 | ¥ 4,000 | 14 | ¥ 2,000 | ||||||||||||
Contracts to sell USD for CAD | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 48 | $ 65 | 147 | $ 200 | ||||||||||||
Contracts to sell USD for SGD | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 82 | $ 110 | 50 | $ 67 | ||||||||||||
Contracts to sell USD for EUR | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 0 | € 0 | 60 | € 55 | ||||||||||||
Contracts to sell USD for INR | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 23 | ₨ 1,900 | 23 | ₨ 1,900 | ||||||||||||
Contracts to sell USD for AUD | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 0 | $ 0 | 5 | $ 8 | ||||||||||||
Contracts to sell CAD for USD | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | $ 0 | $ 0 | $ 19 | $ 25 |
Derivative Instruments And H_11
Derivative Instruments And Hedging Activities - Summary of Net Gain (Loss) on Foreign Exchange Forwards Not Designated as Hedging Instruments (Detail) - Not Designated as Accounting Hedges - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Other non-operating income, net | FX forwards | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Foreign exchange forwards amount of gain (loss) recognized in income | $ (5) | $ 10 | $ (18) | $ 15 |
Operating expense | Total return swaps | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Foreign exchange forwards amount of gain (loss) recognized in income | 1 | 0 | 4 | 0 |
SG&A expense | Total return swaps | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Foreign exchange forwards amount of gain (loss) recognized in income | $ 0 | $ 0 | $ 1 | $ 0 |
Derivative Instruments And H_12
Derivative Instruments And Hedging Activities - Fair Value of Derivative Instruments (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Derivatives, Fair Value [Line Items] | ||
Assets | $ 18 | $ 16 |
Liabilities | 1,646 | 1,747 |
Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 302 | 366 |
Designated as Hedging Instrument | Long-term debt | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 1,339 | 1,381 |
Designated as Hedging Instrument | Cross currency swaps | Other assets | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 18 | 3 |
Designated as Hedging Instrument | Cross currency swaps | Accounts payable and accrued liabilities | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 11 | 0 |
Designated as Hedging Instrument | Cross currency swaps | Other liabilities | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 97 | 183 |
Designated as Hedging Instrument | Interest Rate Swap | Other liabilities | Fair Value Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 194 | 183 |
Not Designated as Accounting Hedges | FX forwards | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 0 | 13 |
Not Designated as Accounting Hedges | FX forwards | Accounts payable and accrued liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | $ 5 | $ 0 |
Goodwill And Other Acquired I_3
Goodwill And Other Acquired Intangible Assets - Activity in Goodwill (Detail) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Jun. 30, 2024 | Dec. 31, 2023 | |
Goodwill [Roll Forward] | ||
Beginning balance, goodwill gross | $ 5,851 | |
Beginning balance, Accumulated impairment charge | (12) | |
Beginning balance, goodwill net | 5,839 | |
Additions/ adjustments | $ 16 | 3 |
Foreign currency translation adjustments | (81) | 114 |
Ending balance, goodwill gross | 5,903 | 5,968 |
Ending balance, Accumulated impairment charge | (12) | (12) |
Ending balance, goodwill net | 5,891 | 5,956 |
MA | ||
Goodwill [Roll Forward] | ||
Beginning balance, goodwill gross | 5,474 | |
Beginning balance, Accumulated impairment charge | (12) | |
Beginning balance, goodwill net | 5,462 | |
Additions/ adjustments | 14 | 90 |
Foreign currency translation adjustments | (79) | 117 |
Ending balance, goodwill gross | 5,616 | 5,681 |
Ending balance, Accumulated impairment charge | (12) | (12) |
Ending balance, goodwill net | 5,604 | 5,669 |
MIS | ||
Goodwill [Roll Forward] | ||
Beginning balance, goodwill gross | 377 | |
Beginning balance, Accumulated impairment charge | 0 | |
Beginning balance, goodwill net | 377 | |
Additions/ adjustments | 2 | (87) |
Foreign currency translation adjustments | (2) | (3) |
Ending balance, goodwill gross | 287 | 287 |
Ending balance, Accumulated impairment charge | 0 | 0 |
Ending balance, goodwill net | $ 287 | $ 287 |
Goodwill And Other Acquired I_4
Goodwill And Other Acquired Intangible Assets - Acquired Intangible Assets and Related Amortization (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, net | $ 1,930 | $ 2,049 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 2,038 | 2,065 |
Accumulated amortization | (594) | (556) |
Acquired intangible assets, net | 1,444 | 1,509 |
Software/product technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 665 | 674 |
Accumulated amortization | (392) | (364) |
Acquired intangible assets, net | 273 | 310 |
Database | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 178 | 179 |
Accumulated amortization | (90) | (82) |
Acquired intangible assets, net | 88 | 97 |
Trade names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 197 | 199 |
Accumulated amortization | (78) | (72) |
Acquired intangible assets, net | 119 | 127 |
Other | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 52 | 52 |
Accumulated amortization | (46) | (46) |
Acquired intangible assets, net | $ 6 | $ 6 |
Goodwill And Other Acquired I_5
Goodwill And Other Acquired Intangible Assets - Amortization Expense Relating to Acquired Intangible Assets (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization expense | $ 48 | $ 50 | $ 97 | $ 101 |
Restructuring - Additional Info
Restructuring - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | 27 Months Ended | |
Jun. 30, 2024 | Dec. 31, 2024 | Dec. 31, 2023 | |
Restructuring Cost and Reserve [Line Items] | |||
Remaining restructuring liability | $ 14 | $ 36 | |
2022-2023 Geolocation Restructuring Program | |||
Restructuring Cost and Reserve [Line Items] | |||
Payments for restructuring | 29 | ||
Minimum | 2022-2023 Geolocation Restructuring Program | Forecast | |||
Restructuring Cost and Reserve [Line Items] | |||
Payments for restructuring | $ 130 | ||
Minimum | Estimated Annual Savings | 2022-2023 Geolocation Restructuring Program | |||
Restructuring Cost and Reserve [Line Items] | |||
Effect on future earnings, amount | 145 | ||
Maximum | 2022-2023 Geolocation Restructuring Program | Forecast | |||
Restructuring Cost and Reserve [Line Items] | |||
Payments for restructuring | $ 140 | ||
Maximum | Estimated Annual Savings | 2022-2023 Geolocation Restructuring Program | |||
Restructuring Cost and Reserve [Line Items] | |||
Effect on future earnings, amount | $ 165 |
Restructuring - Restructuring E
Restructuring - Restructuring Expenses Included in Consolidated Statements of Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring | $ 2 | $ 10 | $ 7 | $ 24 |
2022-2023 Geolocation Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring | 2 | 10 | 7 | 24 |
Cost incurred to date | 207 | 207 | ||
2022-2023 Geolocation Restructuring Program | Employee Severance | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring | 2 | 9 | 7 | 22 |
Cost incurred to date | 143 | 143 | ||
2022-2023 Geolocation Restructuring Program | Real Estate | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring | 0 | 1 | 0 | 2 |
Cost incurred to date | 63 | 63 | ||
2022-2023 Geolocation Restructuring Program | Other Restructuring | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring | 0 | $ 0 | 0 | $ 0 |
Cost incurred to date | $ 1 | $ 1 |
Restructuring - Changes in Rest
Restructuring - Changes in Restructuring Liability (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2024 USD ($) | |
Restructuring Reserve [Roll Forward] | |
Restructuring liability, Beginning Balance | $ 36 |
Restructuring liability, Ending Balance | $ 14 |
Restructuring, incurred cost, statement of income or comprehensive income | Restructuring charges |
2022-2023 Geolocation Restructuring Program | |
Restructuring Reserve [Roll Forward] | |
Cost incurred and adjustments | $ 7 |
Cash payments and adjustments | $ (29) |
Fair Value - Financial Instrume
Fair Value - Financial Instruments Carried at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Assets: | ||
Total | $ 135 | $ 123 |
Liabilities: | ||
Total | 307 | 366 |
Derivatives | ||
Assets: | ||
Derivatives | 18 | 16 |
Liabilities: | ||
Derivatives | 307 | 366 |
Money market funds/mutual funds | ||
Assets: | ||
Money market funds/mutual funds | 117 | 107 |
Level 1 | ||
Assets: | ||
Total | 117 | 107 |
Liabilities: | ||
Total | 0 | 0 |
Level 1 | Derivatives | ||
Assets: | ||
Derivatives | 0 | 0 |
Liabilities: | ||
Derivatives | 0 | 0 |
Level 1 | Money market funds/mutual funds | ||
Assets: | ||
Money market funds/mutual funds | 117 | 107 |
Level 2 | ||
Assets: | ||
Total | 18 | 16 |
Liabilities: | ||
Total | 307 | 366 |
Level 2 | Derivatives | ||
Assets: | ||
Derivatives | 18 | 16 |
Liabilities: | ||
Derivatives | 307 | 366 |
Level 2 | Money market funds/mutual funds | ||
Assets: | ||
Money market funds/mutual funds | $ 0 | $ 0 |
OTHER BALANCE SHEET AND STATE_3
OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION - Additional Details Related to Certain Balance Sheet Captions (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Derivative [Line Items] | ||
Salaries and benefits | $ 140 | $ 130 |
Incentive compensation | 196 | 345 |
Customer credits, advanced payments and advanced billings | 137 | 105 |
Dividends | 6 | 7 |
Professional service fees | 77 | 46 |
Accounts payable | 57 | 23 |
Income taxes | 104 | 108 |
Pension and other retirement employee benefits | 15 | 15 |
Accrued royalties | 20 | 24 |
Foreign exchange forwards on certain assets and liabilities | 5 | 0 |
Restructuring liability | 14 | 35 |
Derivative instruments designated as accounting hedges | 11 | 0 |
Other | 78 | 88 |
Accounts payable and accrued liabilities | 1,000 | 1,076 |
Other current assets: | ||
Prepaid taxes | 83 | 115 |
Prepaid expenses | 162 | 133 |
Capitalized costs to obtain and fulfill sales contracts | 119 | 116 |
Foreign exchange forwards on certain assets and liabilities | 0 | 13 |
Interest receivable on interest rate and cross currency swaps | 79 | 79 |
Other | 46 | 33 |
Total other current assets | 489 | 489 |
Other assets: | ||
Investments in non-consolidated affiliates | 523 | 521 |
Deposits for real-estate leases | 15 | 16 |
Indemnification assets related to acquisitions | 115 | 111 |
Mutual funds and fixed deposits | 108 | 100 |
Company owned life insurance (at contract value) | 48 | 47 |
Costs to obtain sales contracts | 198 | 196 |
Derivative instruments designated as accounting hedges | 18 | 3 |
Pension and other retirement employee benefits | 40 | 41 |
Other | 85 | 103 |
Total other assets | 1,150 | 1,138 |
Accounts payable and accrued liabilities: | ||
Salaries and benefits | 140 | 130 |
Incentive compensation | 196 | 345 |
Customer credits, advanced payments and advanced billings | 137 | 105 |
Dividends | 6 | 7 |
Professional service fees | 77 | 46 |
Accounts payable | 57 | 23 |
Income taxes | 104 | 108 |
Pension and other retirement employee benefits | 15 | 15 |
Accrued royalties | 20 | 24 |
Foreign exchange forwards on certain assets and liabilities | 5 | 0 |
Restructuring liability | 14 | 35 |
Derivative instruments designated as accounting hedges | 11 | 0 |
Other | 78 | 88 |
Total accounts payable and accrued liabilities | 1,000 | 1,076 |
Other liabilities: | ||
Pension and other retirement employee benefits | 191 | 190 |
Interest accrued on UTPs | 42 | 36 |
MAKS indemnification provisions | 19 | 19 |
Income tax liability - non-current portion | 12 | 15 |
Derivative instruments designated as accounting hedges | 291 | 366 |
Other | 63 | 50 |
Total other liabilities | 618 | 676 |
Swap | ||
Derivative [Line Items] | ||
Interest accrued on debt | 66 | 67 |
Accounts payable and accrued liabilities: | ||
Interest accrued on debt | 66 | 67 |
Debt | ||
Derivative [Line Items] | ||
Interest accrued on debt | 74 | 83 |
Accounts payable and accrued liabilities: | ||
Interest accrued on debt | $ 74 | $ 83 |
OTHER BALANCE SHEET AND STATE_4
OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION - Investments in Non-Consolidated Affiliates (Details) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Other Balance Sheet And Statement Of Operations Information [Abstract] | ||
Equity method investments | $ 187 | $ 186 |
Investments measured using the measurement alternative | 327 | 327 |
Other | 9 | 8 |
Total investments in non-consolidated affiliates | $ 523 | $ 521 |
OTHER BALANCE SHEET AND STATE_5
OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION - Other Non-Operating Interest (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Other Balance Sheet And Statement Of Operations Information [Abstract] | ||||
FX loss | $ (4) | $ (5) | $ (7) | $ (31) |
Net periodic pension income - non-service and non-interest cost components | 8 | 9 | 16 | 18 |
Income from investments in non-consolidated affiliates | 2 | 1 | 2 | 3 |
Gain on investments | 5 | 5 | 8 | 11 |
Other | (4) | 3 | 1 | 12 |
Total | $ 7 | $ 13 | $ 20 | 13 |
Loss recorded pursuant to an immaterial out-of-period adjustment, net of tax | 23 | |||
Other non operating income (expense) other, favorable resolutions of various tax matters | $ 9 |
OTHER BALANCE SHEET AND STATE_6
OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2024 | Jun. 30, 2024 | Jun. 30, 2023 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Charges related to asset abandonment | $ 15 | $ 0 | $ 15 | $ 0 | |
Employee Severance | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Charges related to asset abandonment | $ 15 | ||||
Forecast | Accelerated Amortization Charges Of Capitalized Software Assets | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Charges related to asset abandonment | $ 30 |
Comprehensive Income And Accu_3
Comprehensive Income And Accumulated Other Comprehensive Loss - Changes in Components of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | $ 3,735 | $ 3,058 | $ 3,476 | $ 2,689 |
Ending Balance | 3,938 | 3,312 | 3,938 | 3,312 |
Total | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (608) | (589) | (567) | (643) |
Other comprehensive income/(loss) before reclassifications | (8) | 21 | (50) | 74 |
Amounts reclassified from AOCL | (1) | (2) | 0 | (1) |
Other comprehensive income/(loss) | (9) | 19 | (50) | 73 |
Ending Balance | (617) | (570) | (617) | (570) |
Pension and Other Retirement Benefits | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (57) | (47) | (56) | (47) |
Other comprehensive income/(loss) before reclassifications | (1) | 0 | (2) | 0 |
Amounts reclassified from AOCL | (1) | (1) | (1) | (1) |
Other comprehensive income/(loss) | (2) | (1) | (3) | (1) |
Ending Balance | (59) | (48) | (59) | (48) |
Cash Flow Hedges | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (43) | (44) | (44) | (45) |
Other comprehensive income/(loss) before reclassifications | 0 | 0 | 0 | 0 |
Amounts reclassified from AOCL | 0 | (1) | 1 | 0 |
Other comprehensive income/(loss) | 0 | (1) | 1 | 0 |
Ending Balance | (43) | (45) | (43) | (45) |
Foreign Currency Translation Adjustments | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (635) | (626) | (520) | (736) |
Other comprehensive income/(loss) before reclassifications | (39) | 49 | (154) | 159 |
Amounts reclassified from AOCL | 0 | 0 | 0 | 0 |
Other comprehensive income/(loss) | (39) | 49 | (154) | 159 |
Ending Balance | (674) | (577) | (674) | (577) |
Net Investment Hedges | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | 127 | 128 | 53 | 185 |
Other comprehensive income/(loss) before reclassifications | 32 | (28) | 106 | (85) |
Amounts reclassified from AOCL | 0 | 0 | 0 | 0 |
Other comprehensive income/(loss) | 32 | (28) | 106 | (85) |
Ending Balance | $ 159 | $ 100 | $ 159 | $ 100 |
Indebtedness - Summary of Total
Indebtedness - Summary of Total Indebtedness (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Debt Instrument [Line Items] | ||
Principal Amount | $ 7,239 | $ 7,281 |
Fair Value of Interest Rate Swap | (205) | (183) |
Unamortized (Discount) Premium | (49) | (51) |
Unamortized Debt Issuance Costs | (44) | (46) |
Carrying Value | 6,941 | 7,001 |
Current portion | (688) | 0 |
Long-term debt | $ 6,253 | $ 7,001 |
5.25% 2014 Senior Notes, due 2044 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 5.25% | 5.25% |
Principal Amount | $ 600 | $ 600 |
Fair Value of Interest Rate Swap | (37) | (34) |
Unamortized (Discount) Premium | 3 | 3 |
Unamortized Debt Issuance Costs | (4) | (4) |
Carrying Value | $ 562 | $ 565 |
1.75% 2015 Senior Notes, due 2027 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 1.75% | 1.75% |
Principal Amount | $ 536 | $ 552 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | 0 | 0 |
Unamortized Debt Issuance Costs | (1) | (1) |
Carrying Value | $ 535 | $ 551 |
3.25% 2017 Senior Notes, due 2028 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 3.25% | 3.25% |
Principal Amount | $ 500 | $ 500 |
Fair Value of Interest Rate Swap | (25) | (26) |
Unamortized (Discount) Premium | (2) | (2) |
Unamortized Debt Issuance Costs | (1) | (2) |
Carrying Value | $ 472 | $ 470 |
4.25% 2018 Senior Notes, due 2029 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 4.25% | 4.25% |
Principal Amount | $ 400 | $ 400 |
Fair Value of Interest Rate Swap | (39) | (34) |
Unamortized (Discount) Premium | (1) | (2) |
Unamortized Debt Issuance Costs | (2) | (2) |
Carrying Value | $ 358 | $ 362 |
4.875% 2018 Senior Notes, due 2048 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 4.875% | 4.875% |
Principal Amount | $ 400 | $ 400 |
Fair Value of Interest Rate Swap | (39) | (36) |
Unamortized (Discount) Premium | (6) | (6) |
Unamortized Debt Issuance Costs | (3) | (3) |
Carrying Value | $ 352 | $ 355 |
0.950% Senior Notes Due 2030 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 0.95% | 0.95% |
Principal Amount | $ 803 | $ 829 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (2) | (2) |
Unamortized Debt Issuance Costs | (3) | (4) |
Carrying Value | $ 798 | $ 823 |
3.75% 2020 Senior Notes, due 2025 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 3.75% | 3.75% |
Principal Amount | $ 700 | $ 700 |
Fair Value of Interest Rate Swap | (11) | (16) |
Unamortized (Discount) Premium | 0 | (1) |
Unamortized Debt Issuance Costs | (1) | (1) |
Carrying Value | $ 688 | $ 682 |
3.25% 2020 Senior Notes, due 2050 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 3.25% | 3.25% |
Principal Amount | $ 300 | $ 300 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (4) | (4) |
Unamortized Debt Issuance Costs | (3) | (3) |
Carrying Value | $ 293 | $ 293 |
2.55% 2020 Senior Notes, due 2060 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 2.55% | 2.55% |
Principal Amount | $ 300 | $ 300 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (2) | (2) |
Unamortized Debt Issuance Costs | (3) | (3) |
Carrying Value | $ 295 | $ 295 |
2.00% 2021 Senior Notes, due 2031 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 2% | 2% |
Principal Amount | $ 600 | $ 600 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (6) | (6) |
Unamortized Debt Issuance Costs | (4) | (4) |
Carrying Value | $ 590 | $ 590 |
2.75% 2021 Senior Notes, due 2041 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 2.75% | 2.75% |
Principal Amount | $ 600 | $ 600 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (12) | (12) |
Unamortized Debt Issuance Costs | (5) | (5) |
Carrying Value | $ 583 | $ 583 |
3.10% 2021 Senior Notes, due 2061 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 3.10% | 3.10% |
Principal Amount | $ 500 | $ 500 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (7) | (7) |
Unamortized Debt Issuance Costs | (5) | (5) |
Carrying Value | $ 488 | $ 488 |
3.75% 2022 Senior Notes, due 2052 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 3.75% | 3.75% |
Principal Amount | $ 500 | $ 500 |
Fair Value of Interest Rate Swap | (42) | (29) |
Unamortized (Discount) Premium | (8) | (8) |
Unamortized Debt Issuance Costs | (5) | (5) |
Carrying Value | $ 445 | $ 458 |
4.25% 2022 Senior Notes, due 2032 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 4.25% | 4.25% |
Principal Amount | $ 500 | $ 500 |
Fair Value of Interest Rate Swap | (12) | (8) |
Unamortized (Discount) Premium | (2) | (2) |
Unamortized Debt Issuance Costs | (4) | (4) |
Carrying Value | $ 482 | $ 486 |
Indebtedness - Schedule of Cred
Indebtedness - Schedule of Credit Facilities (Details) - USD ($) | Jun. 30, 2024 | May 06, 2024 | Dec. 31, 2023 | Dec. 17, 2021 |
2021 Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Maximum borrowing capacity | $ 1,250,000,000 | |||
Drawn | $ 0 | $ 0 | ||
Undrawn | 0 | 1,250,000,000 | ||
2024 Credit Facility | ||||
Line of Credit Facility [Line Items] | ||||
Maximum borrowing capacity | $ 1,250,000,000 | |||
Drawn | 0 | 0 | ||
Undrawn | $ 1,250,000,000 | $ 0 |
Indebtedness - Additional Infor
Indebtedness - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | ||
May 06, 2024 | Jun. 30, 2024 | Dec. 17, 2021 | |
Debt Instrument [Line Items] | |||
Debt instrument, covenant compliance | At June 30, 2024, the Company was in compliance with all covenants contained within all of the debt agreements. All of the debt agreements contain cross default provisions which state that default under one of the aforementioned debt instruments could in turn permit lenders under other debt instruments to declare borrowings outstanding under those instruments to be immediately due and payable. As of June 30, 2024, there were no such cross defaults. | ||
2024 Credit Facility | |||
Debt Instrument [Line Items] | |||
Debt instrument, term | 5 years | ||
Line of credit facility, maximum borrowing capacity | $ 1,250 | ||
2024 Credit Facility | Term Loan Facility Any Fiscal Quarter | |||
Debt Instrument [Line Items] | |||
Debt instrument, covenant, maximum debt-To-EBITDA ratio | 4 | ||
2024 Credit Facility | Term Loan Facility First Three Consecutive Quarters immediately following Any acquisition | |||
Debt Instrument [Line Items] | |||
Debt instrument, covenant, maximum debt-To-EBITDA ratio | 4.5 | ||
2021 Credit Facility | |||
Debt Instrument [Line Items] | |||
Line of credit facility, maximum borrowing capacity | $ 1,250 | ||
Minimum | 2024 Credit Facility | |||
Debt Instrument [Line Items] | |||
Debt instrument, basis spread on variable rate | 0.805% | ||
Debt instrument facility fee basis points | 0.07% | ||
Additional consideration to be paid to sellers | $ 500 | ||
Maximum | 2024 Credit Facility | |||
Debt Instrument [Line Items] | |||
Debt instrument, basis spread on variable rate | 1.225% | ||
Debt instrument facility fee basis points | 0.15% |
Indebtedness - Principal Paymen
Indebtedness - Principal Payments Due on Long-Term Borrowings (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Debt Disclosure [Abstract] | ||
2024 (After June 30,) | $ 0 | |
2025 | 700 | |
2026 | 0 | |
2027 | 536 | |
2028 | 500 | |
Thereafter | 5,503 | |
Total principal payment | $ 7,239 | $ 7,281 |
Indebtedness - Summary of Compo
Indebtedness - Summary of Components of Interest as Presented in Consolidated Statements of Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Debt Disclosure [Abstract] | ||||
Income | $ 23 | $ 15 | $ 45 | $ 25 |
Expense on borrowings | (74) | (75) | (148) | (145) |
Income (expense) on UTPs and other tax related liabilities | (5) | (4) | (9) | 14 |
Net periodic pension costs - interest component | (7) | (7) | (13) | (13) |
Interest expense, net | (63) | (71) | (125) | (119) |
Interest paid | $ 51 | $ 47 | $ 151 | 143 |
Unrecognized tax benefits, income tax penalties and interest expense, reduction of tax-related interest expense related to resolution of tax matters | $ 22 |
Indebtedness - Fair Value and C
Indebtedness - Fair Value and Carrying Value of Long-Term Debt (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Debt Instrument [Line Items] | ||
Carrying Value | $ 6,941 | $ 7,001 |
Level 2 | ||
Debt Instrument [Line Items] | ||
Estimated Fair Value | $ 6,121 | $ 6,402 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Lessee, Lease, Description [Line Items] | ||||
Restructuring charges | $ 2 | $ 10 | $ 7 | $ 24 |
2022-2023 Geolocation Restructuring Program | ||||
Lessee, Lease, Description [Line Items] | ||||
Restructuring charges | 2 | 10 | 7 | 24 |
Real Estate | 2022-2023 Geolocation Restructuring Program | ||||
Lessee, Lease, Description [Line Items] | ||||
Restructuring charges | $ 0 | $ 1 | $ 0 | $ 2 |
Minimum | ||||
Lessee, Lease, Description [Line Items] | ||||
Lessee, operating lease, renewal term (years) | 1 year | 1 year | ||
Maximum | ||||
Lessee, Lease, Description [Line Items] | ||||
Lessee, operating lease, renewal term (years) | 20 years | 20 years |
Leases - Components of Lease Co
Leases - Components of Lease Cost (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Lease, Cost [Abstract] | ||||
Operating lease cost | $ 21 | $ 23 | $ 43 | $ 47 |
Sublease income | (2) | (2) | (4) | (4) |
Variable lease cost | 6 | 5 | 11 | 10 |
Total lease cost | $ 25 | $ 26 | $ 50 | $ 53 |
Leases - Operating Leases Infor
Leases - Operating Leases Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Leases [Abstract] | ||||
Cash paid for amounts included in the measurement of operating lease liabilities | $ 29 | $ 30 | $ 59 | $ 60 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 1 | $ 19 | $ 5 | $ 24 |
Weighted-average remaining lease term (years) | 4 years 1 month 6 days | 4 years 9 months 18 days | 4 years 1 month 6 days | 4 years 9 months 18 days |
Weighted-average discount rate applied to operating leases (percent) | 3.20% | 3.20% | 3.20% | 3.20% |
Leases - Operating Leases, Futu
Leases - Operating Leases, Future Minimum Payment (Detail) - USD ($) $ in Millions | Jun. 30, 2024 | Dec. 31, 2023 |
Leases [Abstract] | ||
2024 (After June 30,) | $ 60 | |
2025 | 108 | |
2026 | 89 | |
2027 | 71 | |
2028 | 20 | |
2028 | 36 | |
Total lease payments (undiscounted) | 384 | |
Less: Interest | 22 | |
Present value of lease liabilities: | 362 | |
Lease liabilities - current | 108 | $ 108 |
Lease liabilities - noncurrent | $ 254 | $ 306 |
Contingencies - Additional Info
Contingencies - Additional Information (Detail) $ in Millions | Jun. 30, 2024 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Estimated litigation liability | $ 20 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2024 segment | |
Segment Reporting Information [Line Items] | |
Number of operating segments (segment) | 2 |
Number of reportable segments | 2 |
Segment Information - Financial
Segment Information - Financial Information by Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | $ 1,817 | $ 1,494 | $ 3,603 | $ 2,964 |
Operating, SG&A | 915 | 841 | 1,795 | 1,655 |
Adjusted Operating Income | 902 | 653 | 1,808 | 1,309 |
Depreciation and amortization | 110 | 93 | 210 | 181 |
Restructuring | 2 | 10 | 7 | 24 |
Charges related to asset abandonment | 15 | 0 | 15 | 0 |
Operating income | 775 | 550 | 1,576 | 1,104 |
Eliminations | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | (53) | (50) | (103) | (98) |
Operating, SG&A | (53) | (50) | (103) | (98) |
Adjusted Operating Income | 0 | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 | 0 |
Restructuring | 0 | 0 | 0 | 0 |
Charges related to asset abandonment | 0 | 0 | 0 | 0 |
MA | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 802 | 747 | 1,601 | 1,484 |
MA | Eliminations | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 4 | 4 | 7 | 7 |
MA | Operating Segments | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 806 | 751 | 1,608 | 1,491 |
Operating, SG&A | 576 | 541 | 1,140 | 1,067 |
Adjusted Operating Income | 230 | 210 | 468 | 424 |
Depreciation and amortization | 90 | 74 | 172 | 144 |
Restructuring | 1 | 8 | 3 | 16 |
Charges related to asset abandonment | 15 | 0 | 15 | 0 |
MIS | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 1,015 | 747 | 2,002 | 1,480 |
MIS | Eliminations | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 49 | 46 | 96 | 91 |
MIS | Operating Segments | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 1,064 | 793 | 2,098 | 1,571 |
Operating, SG&A | 392 | 350 | 758 | 686 |
Adjusted Operating Income | 672 | 443 | 1,340 | 885 |
Depreciation and amortization | 20 | 19 | 38 | 37 |
Restructuring | 1 | 2 | 4 | 8 |
Charges related to asset abandonment | $ 0 | $ 0 | $ 0 | $ 0 |
Segment Information - Cumulativ
Segment Information - Cumulative Restructuring Expense (Details) - 2022-2023 Geolocation Restructuring Program $ in Millions | Jun. 30, 2024 USD ($) |
Segment Reporting Information [Line Items] | |
Cost incurred to date | $ 207 |
MA | |
Segment Reporting Information [Line Items] | |
Cost incurred to date | 111 |
MIS | |
Segment Reporting Information [Line Items] | |
Cost incurred to date | $ 96 |
Segment Information - Consolida
Segment Information - Consolidated Revenue Information by Geographic Area (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 1,817 | $ 1,494 | $ 3,603 | $ 2,964 |
United States | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 974 | 775 | 1,943 | 1,538 |
Non-U.S. | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 843 | 719 | 1,660 | 1,426 |
EMEA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 566 | 479 | 1,108 | 939 |
Asia-Pacific | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 164 | 145 | 319 | 294 |
Americas | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 113 | $ 95 | $ 233 | $ 193 |