Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2023 | Jul. 25, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-35907 | |
Entity Registrant Name | IQVIA HOLDINGS INC. | |
Entity Incorporation, State | DE | |
Entity Tax Identification Number | 27-1341991 | |
Entity Address, Street | 2400 Ellis Rd. | |
Entity Address, City | Durham | |
Entity Address, State | NC | |
Entity Address, Postal Zip Code | 27703 | |
City Area Code | 919 | |
Local Phone Number | 998-2000 | |
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 | |
Title of Each Class | Common Stock, par value $0.01 per share | |
Trading Symbol | IQV | |
Name of Each Exchange on which Registered | NYSE | |
Entity Common Stock, Shares Outstanding | 183,122,255 | |
Current Fiscal Year End Date | --12-31 | |
Entity Central Index Key | 0001478242 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Statement [Abstract] | ||||
Revenues | $ 3,728 | $ 3,541 | $ 7,380 | $ 7,109 |
Cost of revenues, exclusive of depreciation and amortization | 2,443 | 2,331 | 4,841 | 4,654 |
Selling, general and administrative expenses | 482 | 483 | 995 | 971 |
Depreciation and amortization | 259 | 270 | 512 | 525 |
Restructuring costs | 20 | 4 | 37 | 11 |
Income from operations | 524 | 453 | 995 | 948 |
Interest income | (4) | (2) | (10) | (3) |
Interest expense | 169 | 94 | 310 | 180 |
Other (income) expense, net | (16) | 33 | (42) | 43 |
Income before income taxes and equity in earnings (losses) of unconsolidated affiliates | 375 | 328 | 737 | 728 |
Income tax expense | 81 | 71 | 152 | 142 |
Income before equity in earnings (losses) of unconsolidated affiliates | 294 | 257 | 585 | 586 |
Equity in earnings (losses) of unconsolidated affiliates | 3 | (1) | 1 | (5) |
Net income | 297 | 256 | 586 | 581 |
Net Income (Loss) Attributable to Parent, Total | $ 297 | $ 256 | $ 586 | $ 581 |
Earnings per share attributable to common stockholders: | ||||
Basic (in dollars per share) | $ 1.61 | $ 1.36 | $ 3.17 | $ 3.07 |
Diluted (in dollars per share) | $ 1.59 | $ 1.34 | $ 3.12 | $ 3.02 |
Weighted average common shares outstanding: | ||||
Basic (in shares) | 184.4 | 188.3 | 185.1 | 189.2 |
Diluted (in shares) | 186.7 | 191.1 | 187.6 | 192.2 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 297 | $ 256 | $ 586 | $ 581 |
Comprehensive income (loss) adjustments: | ||||
Unrealized gains (losses) on derivative instruments, net of income tax expense (benefit) of $8, $(1), $11, $8 | 22 | (7) | 32 | 23 |
Defined benefit plan adjustments, net of income tax expense of $—, $—, $—, $— | 0 | (4) | 1 | (6) |
Foreign currency translation, net of income tax (benefit) expense of $(3), $84, $(32), $111 | (44) | (281) | (34) | (321) |
Reclassification adjustments: | ||||
Reclassifications on derivative instruments included in net income, net of income tax (expense) benefit of $(3), $4, $(11), $4 | (7) | 14 | (32) | 13 |
Comprehensive income (loss) | $ 268 | $ (22) | $ 553 | $ 290 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Unrealized (losses) gains on derivative instruments, income tax (benefit) expense | $ 8 | $ (1) | $ 11 | $ 8 |
Defined benefit plan adjustments, income tax (benefit) expense | 0 | 0 | 0 | 0 |
Foreign currency translation, income tax expense (benefit) | (3) | 84 | (32) | 111 |
(Gain) losses on derivative instruments included in net income, income tax expense | $ (3) | $ 4 | $ (11) | $ 4 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 1,382 | $ 1,216 |
Trade accounts receivable and unbilled services, net | 3,139 | 2,917 |
Prepaid expenses | 179 | 151 |
Income taxes receivable | 45 | 43 |
Investments in debt, equity and other securities | 110 | 93 |
Other current assets and receivables | 474 | 561 |
Total current assets | 5,329 | 4,981 |
Property and equipment, net | 510 | 532 |
Operating lease right-of-use assets | 319 | 331 |
Investments in debt, equity and other securities | 101 | 68 |
Investments in unconsolidated affiliates | 107 | 94 |
Goodwill | 14,178 | 13,921 |
Other identifiable intangibles, net | 4,942 | 4,820 |
Deferred income taxes | 115 | 118 |
Deposits and other assets, net | 435 | 472 |
Total assets | 26,036 | 25,337 |
Current liabilities: | ||
Accounts payable and accrued expenses | 3,007 | 3,316 |
Unearned income | 1,844 | 1,797 |
Income taxes payable | 208 | 161 |
Current portion of long-term debt | 1,344 | 152 |
Other current liabilities | 140 | 152 |
Total current liabilities | 6,543 | 5,578 |
Long-term debt, less current portion | 12,433 | 12,595 |
Deferred income taxes | 367 | 464 |
Operating lease liabilities | 242 | 264 |
Other liabilities | 703 | 671 |
Total liabilities | 20,288 | 19,572 |
Commitments and contingencies (Note 8) | ||
Stockholders’ equity: | ||
Common stock and additional paid-in capital, 400.0 shares authorized as of June 30, 2023 and December 31, 2022, $0.01 par value, 257.0 shares issued and 183.1 shares outstanding as of June 30, 2023; 256.4 shares issued and 185.7 shares outstanding as of December 31, 2022 | 10,952 | 10,898 |
Retained earnings | 3,920 | 3,334 |
Treasury stock, at cost, 73.9 and 70.7 shares as of June 30, 2023 and December 31, 2022, respectively | (8,364) | (7,740) |
Accumulated other comprehensive loss | (760) | (727) |
Total stockholders’ equity | 5,748 | 5,765 |
Total liabilities and stockholders’ equity | $ 26,036 | $ 25,337 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares shares in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Common stock, shares authorized (in shares) | 400 | 400 |
Common stock, par value, ( in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares issued (in shares) | 257 | 256.4 |
Common stock, shares outstanding (in shares) | 183.1 | 185.7 |
Treasury stock, shares (in shares) | 73.9 | 70.7 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Operating activities: | ||
Net income | $ 586 | $ 581 |
Adjustments to reconcile net income to cash provided by operating activities: | ||
Depreciation and amortization | 512 | 525 |
Amortization of debt issuance costs and discount | 8 | 7 |
Stock-based compensation | 125 | 75 |
(Earnings) losses from unconsolidated affiliates | (1) | 5 |
(Gain) loss on investments, net | (10) | 29 |
Benefit from deferred income taxes | (70) | (28) |
Changes in operating assets and liabilities: | ||
Change in accounts receivable, unbilled services and unearned income | (134) | (143) |
Change in other operating assets and liabilities | (197) | (214) |
Net cash provided by operating activities | 819 | 837 |
Investing activities: | ||
Acquisition of property, equipment and software | (324) | (338) |
Acquisition of businesses, net of cash acquired | (444) | (464) |
Purchases of marketable securities, net | (4) | (3) |
Investments in unconsolidated affiliates, net of payments received | (13) | (10) |
Investments in debt and equity securities | (36) | 0 |
Other | 3 | 3 |
Net cash used in investing activities | (818) | (812) |
Financing activities: | ||
Proceeds from issuance of debt | 1,250 | 1,250 |
Payment of debt issuance costs | (18) | (5) |
Repayment of debt and principal payments on finance leases | (77) | (47) |
Proceeds from revolving credit facility | 1,559 | 1,150 |
Repayment of revolving credit facility | (1,784) | (1,250) |
Payments related to employee stock option plans | (58) | (69) |
Repurchase of common stock | (619) | (893) |
Contingent consideration and deferred purchase price payments | (71) | (21) |
Net cash provided by financing activities | 182 | 115 |
Effect of foreign currency exchange rate changes on cash | (17) | (78) |
Increase in cash and cash equivalents | 166 | 62 |
Cash and cash equivalents at beginning of period | 1,216 | 1,366 |
Cash and cash equivalents at end of period | $ 1,382 | $ 1,428 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Millions, $ in Millions | Total | Common Stock | Treasury Stock, Common | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive (Loss) Income |
Beginning balance (in shares) at Dec. 31, 2021 | 255.8 | 65.2 | ||||
Beginning balance at Dec. 31, 2021 | $ 6,042 | $ 3 | $ (6,572) | $ 10,774 | $ 2,243 | $ (406) |
Increase (Decrease) in Stockholders' Equity | ||||||
Issuance of common stock (in shares) | 0.4 | |||||
Issuance of common stock | (67) | (67) | ||||
Repurchase of common stock (in shares) | (1.7) | |||||
Repurchase of common stock | (403) | $ (403) | ||||
Stock-based compensation | 35 | 35 | ||||
Net income | 325 | 325 | ||||
Unrealized gains on derivative instruments, net of tax | 30 | 30 | ||||
Defined benefit plan adjustments, net of income tax expense of $—, $—, $—, $— | (2) | (2) | ||||
Foreign currency translation, net of tax | (40) | (40) | ||||
Reclassification adjustments, net of tax | (1) | (1) | ||||
Ending balance (in shares) at Mar. 31, 2022 | 256.2 | 66.9 | ||||
Ending balance at Mar. 31, 2022 | 5,919 | $ 3 | $ (6,975) | 10,742 | 2,568 | (419) |
Beginning balance (in shares) at Dec. 31, 2021 | 255.8 | 65.2 | ||||
Beginning balance at Dec. 31, 2021 | 6,042 | $ 3 | $ (6,572) | 10,774 | 2,243 | (406) |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 581 | |||||
Unrealized gains on derivative instruments, net of tax | 23 | |||||
Defined benefit plan adjustments, net of income tax expense of $—, $—, $—, $— | (6) | |||||
Foreign currency translation, net of tax | (321) | |||||
Ending balance (in shares) at Jun. 30, 2022 | 256.3 | 69.7 | ||||
Ending balance at Jun. 30, 2022 | 5,352 | $ 3 | $ (7,565) | 10,787 | 2,824 | (697) |
Beginning balance (in shares) at Mar. 31, 2022 | 256.2 | 66.9 | ||||
Beginning balance at Mar. 31, 2022 | 5,919 | $ 3 | $ (6,975) | 10,742 | 2,568 | (419) |
Increase (Decrease) in Stockholders' Equity | ||||||
Issuance of common stock (in shares) | 0.1 | |||||
Issuance of common stock | (2) | (2) | ||||
Repurchase of common stock (in shares) | (2.8) | |||||
Repurchase of common stock | (590) | $ (590) | ||||
Stock-based compensation | 47 | 47 | ||||
Net income | 256 | 256 | ||||
Unrealized gains on derivative instruments, net of tax | (7) | (7) | ||||
Defined benefit plan adjustments, net of income tax expense of $—, $—, $—, $— | (4) | (4) | ||||
Foreign currency translation, net of tax | (281) | (281) | ||||
Reclassification adjustments, net of tax | 14 | 14 | ||||
Ending balance (in shares) at Jun. 30, 2022 | 256.3 | 69.7 | ||||
Ending balance at Jun. 30, 2022 | $ 5,352 | $ 3 | $ (7,565) | 10,787 | 2,824 | (697) |
Beginning balance (in shares) at Dec. 31, 2022 | 185.7 | 256.4 | 70.7 | |||
Beginning balance at Dec. 31, 2022 | $ 5,765 | $ 3 | $ (7,740) | 10,895 | 3,334 | (727) |
Increase (Decrease) in Stockholders' Equity | ||||||
Issuance of common stock (in shares) | 0.5 | |||||
Issuance of common stock | (58) | (58) | ||||
Repurchase of common stock (in shares) | (0.7) | |||||
Repurchase of common stock | (129) | $ (129) | ||||
Stock-based compensation | 69 | 69 | ||||
Net income | 289 | 289 | ||||
Unrealized gains on derivative instruments, net of tax | 10 | 10 | ||||
Defined benefit plan adjustments, net of income tax expense of $—, $—, $—, $— | 1 | 1 | ||||
Foreign currency translation, net of tax | 10 | 10 | ||||
Reclassification adjustments, net of tax | (25) | (25) | ||||
Ending balance (in shares) at Mar. 31, 2023 | 256.9 | 71.4 | ||||
Ending balance at Mar. 31, 2023 | $ 5,932 | $ 3 | $ (7,869) | 10,906 | 3,623 | (731) |
Beginning balance (in shares) at Dec. 31, 2022 | 185.7 | 256.4 | 70.7 | |||
Beginning balance at Dec. 31, 2022 | $ 5,765 | $ 3 | $ (7,740) | 10,895 | 3,334 | (727) |
Increase (Decrease) in Stockholders' Equity | ||||||
Net income | 586 | |||||
Unrealized gains on derivative instruments, net of tax | 32 | |||||
Defined benefit plan adjustments, net of income tax expense of $—, $—, $—, $— | 1 | |||||
Foreign currency translation, net of tax | $ (34) | |||||
Ending balance (in shares) at Jun. 30, 2023 | 183.1 | 257 | 73.9 | |||
Ending balance at Jun. 30, 2023 | $ 5,748 | $ 3 | $ (8,364) | 10,949 | 3,920 | (760) |
Beginning balance (in shares) at Mar. 31, 2023 | 256.9 | 71.4 | ||||
Beginning balance at Mar. 31, 2023 | 5,932 | $ 3 | $ (7,869) | 10,906 | 3,623 | (731) |
Increase (Decrease) in Stockholders' Equity | ||||||
Issuance of common stock (in shares) | 0.1 | |||||
Issuance of common stock | 0 | 0 | ||||
Repurchase of common stock (in shares) | (2.5) | |||||
Repurchase of common stock | (495) | $ (495) | ||||
Stock-based compensation | 43 | 43 | ||||
Net income | 297 | 297 | ||||
Unrealized gains on derivative instruments, net of tax | 22 | 22 | ||||
Defined benefit plan adjustments, net of income tax expense of $—, $—, $—, $— | 0 | |||||
Foreign currency translation, net of tax | (44) | (44) | ||||
Reclassification adjustments, net of tax | $ (7) | (7) | ||||
Ending balance (in shares) at Jun. 30, 2023 | 183.1 | 257 | 73.9 | |||
Ending balance at Jun. 30, 2023 | $ 5,748 | $ 3 | $ (8,364) | $ 10,949 | $ 3,920 | $ (760) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies The Company IQVIA Holdings Inc. (together with its subsidiaries, the “Company” or “IQVIA”) is a leading global provider of advanced analytics, technology solutions and clinical research services to the life sciences industry. With approximately 87,000 employees, the Company conducts business in more than 100 countries. Unaudited Interim Financial Information The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial information. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair statement of the Company’s financial condition and results of operations have been included. Operating results for the periods presented are not necessarily indicative of the results that may be expected for the year ending December 31, 2023. As such, the information included in this Quarterly Report on Form 10-Q should be read in conjunction with the Company’s audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022. The balance sheet as of December 31, 2022 has been derived from the audited consolidated financial statements of the Company, but does not include all the disclosures required by GAAP. Recently Issued Accounting Standards Accounting pronouncements adopted In September 2022, the Financial Accounting Standards Board ("FASB") issued new accounting guidance, Accounting Standards Update ("ASU") 2022-04, Liabilities - Supplier Finance Programs |
Revenues by Geography, Concentr
Revenues by Geography, Concentration of Credit Risk and Remaining Performance Obligations | 6 Months Ended |
Jun. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenues by Geography, Concentration of Credit Risk and Remaining Performance Obligations | Revenues by Geography, Concentration of Credit Risk and Remaining Performance Obligations The following tables represent revenues by geographic region and reportable segment for the three and six months ended June 30, 2023 and 2022: Three Months Ended June 30, 2023 (in millions) Technology & Research & Contract Sales & Total Revenues: Americas $ 772 $ 979 $ 70 $ 1,821 Europe and Africa 531 536 49 1,116 Asia-Pacific 153 581 57 791 Total revenues $ 1,456 $ 2,096 $ 176 $ 3,728 Three Months Ended June 30, 2022 (in millions) Technology & Research & Contract Sales & Total Revenues: Americas $ 716 $ 866 $ 88 $ 1,670 Europe and Africa 540 532 43 1,115 Asia-Pacific 152 552 52 756 Total revenues $ 1,408 $ 1,950 $ 183 $ 3,541 Six Months Ended June 30, 2023 (in millions) Technology & Research & Contract Sales & Total Revenues: Americas $ 1,507 $ 1,965 $ 150 $ 3,622 Europe and Africa 1,087 1,027 96 2,210 Asia-Pacific 306 1,130 112 1,548 Total revenues $ 2,900 $ 4,122 $ 358 $ 7,380 Six Months Ended June 30, 2022 (in millions) Technology & Research & Contract Sales & Total Revenues: Americas $ 1,397 $ 1,812 $ 179 $ 3,388 Europe and Africa 1,136 1,039 89 2,264 Asia-Pacific 314 1,033 110 1,457 Total revenues $ 2,847 $ 3,884 $ 378 $ 7,109 No individual customer represented 10% or more of consolidated revenues for the three and six months ended June 30, 2023 or 2022. |
Trade Accounts Receivable, Unbi
Trade Accounts Receivable, Unbilled Services and Unearned Income | 6 Months Ended |
Jun. 30, 2023 | |
Receivables [Abstract] | |
Trade Accounts Receivable, Unbilled Services and Unearned Income | Trade Accounts Receivable, Unbilled Services and Unearned Income Trade accounts receivables and unbilled services consist of the following: (in millions) June 30, 2023 December 31, 2022 Trade accounts receivable $ 1,339 $ 1,329 Unbilled services 1,828 1,624 Trade accounts receivable and unbilled services 3,167 2,953 Allowance for doubtful accounts (28) (36) Trade accounts receivable and unbilled services, net $ 3,139 $ 2,917 Unbilled services and unearned income were as follows: (in millions) June 30, 2023 December 31, 2022 Change Unbilled services $ 1,828 $ 1,624 $ 204 Unearned income (1,844) (1,797) (47) Net balance $ (16) $ (173) $ 157 Unbilled services, which is comprised of approximately 66% and 61% of unbilled receivables and 34% and 39% of contract assets as of June 30, 2023 and December 31, 2022, respectively, increased by $204 million as compared to December 31, 2022. Contract assets are unbilled services for which invoicing is based on the timing of certain milestones related to service contracts for clinical research whereas unbilled receivables are billable upon the passage of time. Unearned income increased by $47 million over the same period resulting in an increase of $157 million in the net balance of unbilled services and unearned income between June 30, 2023 and December 31, 2022. The change in the net balance is driven by the difference in timing of revenue recognition in accordance with Accounting Standards Codification ("ASC") 606, Revenue from Contracts with Customers , primarily related to the Company’s Research & Development Solutions contracts (which is based on the percentage of costs incurred) versus the timing of invoicing, which is based on certain milestones. The majority of the unearned income balance as of the beginning of the year is expected to be recognized in revenues during the year ended December 31, 2023. Bad debt expense recognized on the Company’s trade accounts receivable was immaterial for the three and six months ended June 30, 2023 and 2022. Accounts Receivable Factoring Arrangements The Company has accounts receivable factoring agreements to sell certain eligible unsecured trade accounts receivable, either based on automatic arrangements or at its option, without recourse, to unrelated third-party financial institutions for cash. During the six months ended June 30, 2023, through its accounts receivable factoring arrangements that the Company utilizes most frequently, the Company factored approximately $394 million of customer invoices on a non-recourse basis and received approximately $385 million in cash proceeds from the sales. The fees associated with these transactions were immaterial. The Company has other accounts receivable arrangements for which the activity associated with them is immaterial. |
Goodwill
Goodwill | 6 Months Ended |
Jun. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Goodwill The following is a summary of goodwill by reportable segment for the six months ended June 30, 2023: (in millions) Technology & Analytics Solutions Research & Development Solutions Contract Sales & Medical Solutions Consolidated Balance as of December 31, 2022 $ 11,520 $ 2,247 $ 154 $ 13,921 Business combinations 55 180 — 235 Impact of foreign currency fluctuations and other 16 9 (3) 22 Balance as of June 30, 2023 $ 11,591 $ 2,436 $ 151 $ 14,178 |
Derivatives
Derivatives | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives The fair values of the Company’s derivative instruments and the line items on the accompanying condensed consolidated balance sheets to which they were recorded are summarized in the following table: (in millions) Balance Sheet Classification June 30, 2023 December 31, 2022 Assets Liabilities Notional Assets Liabilities Notional Derivatives designated as hedging instruments: Interest rate swaps Other current assets, other assets and other current liabilities $ 37 $ — $ 1,800 $ 42 $ — $ 1,800 Foreign exchange forward contracts Other current assets and other current liabilities 5 — 134 2 2 122 Total derivatives $ 42 $ — $ 44 $ 2 The pre-tax effect of the Company’s cash flow hedging instruments on other comprehensive income is summarized in the following table: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2023 2022 2023 2022 Interest rate swaps $ 18 $ 15 $ (5) $ 55 Foreign exchange forward contracts 2 (5) 5 (7) Total $ 20 $ 10 $ — $ 48 The Company expects $41 million of pre-tax unrealized gains related to its foreign exchange contracts and interest rate derivatives included in accumulated other comprehensive (loss) income (“AOCI”) as of June 30, 2023 to be reclassified into earnings within the next twelve months. As of June 30, 2023, the Company's foreign currency denominated debt balance (net of original issue discount) designated as a hedge of its net investment in certain foreign subsidiaries totaled €5,203 million ($5,665 million). The amount of foreign exchange (losses) gains related to the net investment hedge included in the cumulative translation adjustment component of AOCI for the six months ended June 30, 2023 and 2022 was $(92) million and $466 million, respectively. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The Company records certain assets and liabilities at fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. A three-level fair value hierarchy that prioritizes the inputs used to measure fair value is described below. This hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows: • Level 1 — Quoted prices in active markets for identical assets or liabilities. • Level 2 — Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. • Level 3 — Unobservable inputs that are supported by little or no market activity. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs. The carrying values of cash, cash equivalents, accounts receivable and accounts payable approximated their fair values as of June 30, 2023 and December 31, 2022 due to their short-term nature. As of June 30, 2023 and December 31, 2022, the fair value of total debt was $13,360 million and $12,281 million, respectively, as determined under Level 2 measurements for these financial instruments. Recurring Fair Value Measurements The following table summarizes the fair value of the Company’s financial assets and liabilities that are measured and reported at fair value on a recurring basis as of June 30, 2023: (in millions) Level 1 Level 2 Level 3 Total Assets: Marketable securities $ 135 $ — $ — $ 135 Derivatives — 42 — 42 Total $ 135 $ 42 $ — $ 177 Liabilities: Derivatives $ — $ — $ — $ — Contingent consideration — — 146 146 Total $ — $ — $ 146 $ 146 The following table summarizes the fair value of the Company’s financial assets and liabilities that are measured and reported at fair value on a recurring basis as of December 31, 2022: (in millions) Level 1 Level 2 Level 3 Total Assets: Marketable securities $ 122 $ — $ — $ 122 Derivatives — 44 — 44 Total $ 122 $ 44 $ — $ 166 Liabilities: Derivatives $ — $ 2 $ — $ 2 Contingent consideration — — 173 173 Total $ — $ 2 $ 173 $ 175 Below is a summary of the valuation techniques used in determining fair value: Marketable securities — The Company values trading and available-for-sale securities using the quoted market value of the securities held. Derivatives — Derivatives consist of foreign exchange contracts and interest rate swaps. The fair value of foreign exchange contracts is based on observable market inputs of spot and forward rates or using other observable inputs. The fair value of the interest rate swaps is the estimated amount that the Company would receive or pay to terminate such agreements, taking into account market interest rates and the remaining time to maturities or using market inputs with mid-market pricing as a practical expedient for bid-ask spread. Contingent consideration — The Company values contingent consideration related to business combinations using a weighted probability calculation of potential payment scenarios discounted at rates reflective of the risks associated with the expected future cash flows. Assumptions used to estimate the fair value of contingent consideration include various financial metrics (revenue performance targets and operating forecasts) and the probability of achieving the specific targets. Based on the assessments of the probability of achieving specific targets, as of June 30, 2023, the Company has accrued approximately 50% of the maximum contingent consideration payments that could potentially become payable. The following table summarizes the changes in Level 3 financial assets and liabilities measured on a recurring basis for the six months ended June 30, 2023: (in millions) Contingent Consideration Balance as of December 31, 2022 $ 173 Business combinations 57 Contingent consideration paid (68) Revaluations included in earnings and foreign currency translation adjustments (16) Balance as of June 30, 2023 $ 146 The current portion of contingent consideration is included within accrued expenses and the long-term portion is included within other liabilities on the accompanying condensed consolidated balance sheets. Revaluations of contingent consideration are recognized in other (income) expense, net on the accompanying condensed consolidated statements of income. A change in significant unobservable inputs could result in a higher or lower fair value measurement of contingent consideration. Non-recurring Fair Value Measurements |
Credit Arrangements
Credit Arrangements | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Credit Arrangements | Credit Arrangements The following is a summary of the Company’s revolving credit facilities as of June 30, 2023: Facility Interest Rates $2,000 million (revolving credit facility) U.S. Dollar Term SOFR plus a margin of 1.25% plus a 10 basis credit spread adjustment as of June 30, 2023 $110 million (receivables financing facility) U.S. Dollar LIBOR Market Index Rate (5.22% as of June 30, 2023) plus 0.90% The following table summarizes the Company’s debt at the dates indicated: (dollars in millions) June 30, 2023 December 31, 2022 Revolving Credit Facility due 2026: U.S. Dollar denominated borrowings—U.S. Dollar Term SOFR at average floating rates of 6.45% $ 200 $ 425 Senior Secured Credit Facilities: Term A Loan due 2026—U.S. Dollar Term SOFR at average floating rates of 6.45% 1,306 1,343 Term A Loan due 2026—Euribor at average floating rates of 4.85% 311 314 Term A Loan due 2027—U.S. Dollar Term SOFR at average floating rates of 6.45% 1,187 1,219 Term B Loan due 2024—Euribor at average floating rates of 5.60% 1,192 1,172 Term B Loan due 2025—U.S. Dollar LIBOR at average floating rates of 7.29% 670 670 Term B Loan due 2025—U.S. Dollar LIBOR at average floating rates of 7.29% 861 860 Term B Loan due 2025—Euribor at average floating rates of 5.60% 568 559 5.0% Senior Notes due 2027—U.S. Dollar denominated 1,100 1,100 5.0% Senior Notes due 2026—U.S. Dollar denominated 1,050 1,050 5.700% Senior Secured Notes due 2028—U.S. Dollar denominated 750 — 6.500% Senior Notes due 2030—U.S. Dollar denominated 500 — 2.875% Senior Notes due 2025—Euro denominated 457 450 2.25% Senior Notes due 2028—Euro denominated 784 771 2.875% Senior Notes due 2028—Euro denominated 774 761 1.750% Senior Notes due 2026—Euro denominated 599 589 2.250% Senior Notes due 2029—Euro denominated 980 964 Receivables financing facility due 2024—U.S. Dollar LIBOR at average floating rates of 6.09% Revolving Loan Commitment 110 110 Term Loan 440 440 Principal amount of debt 13,839 12,797 Less: unamortized discount and debt issuance costs (62) (50) Less: current portion (1,344) (152) Long-term debt $ 12,433 $ 12,595 Contractual maturities of long-term debt as of June 30, 2023 are as follows: (in millions) Remainder of 2023 $ 76 2024 1,894 2025 2,709 2026 3,304 2027 2,069 Thereafter 3,787 $ 13,839 Senior Secured Credit Facilities As of June 30, 2023, the Company’s Fifth Amended and Restated Credit Agreement provided financing through several senior secured credit facilities of up to $8,095 million, which consisted of $6,295 million principal amounts of debt outstanding (as detailed in the table above), and $1,795 million of available borrowing capacity on the $2,000 million revolving credit facility and standby letters of credit. The revolving credit facility is comprised of a $1,175 million senior secured revolving facility available in U.S. dollars, a $600 million senior secured revolving facility available in U.S. dollars, Euros, Swiss Francs and other foreign currencies, and a $225 million senior secured revolving facility available in U.S. dollars and Yen. On April 17, 2023, the Company increased the capacity of its senior secured revolving credit facility by $500 million U.S. dollars, bringing the total capacity of the revolving credit facility to $2,000 million. At the same time, the Company also amended the benchmark rate of the U.S. dollar revolving credit facility and the U.S. dollar Term A Loans from U.S. dollar LIBOR to U.S. dollar SOFR plus a 10 basis point Credit Spread Adjustment. Senior Notes On May 23, 2023, IQVIA Inc. (the “Issuer”), a wholly owned subsidiary of the Company, completed the issuance and sale of $750 million in gross proceeds of the Issuer’s 5.700% senior secured notes due 2028 (the “Senior Secured Notes”) and $500 million in gross proceeds of 6.500% senior notes due 2030 (the “Senior Notes” and, together with the Senior Secured Notes, the “Notes”). The Senior Secured Notes were issued pursuant to an Indenture, dated May 23, 2023 (the “Secured Notes Indenture”), among the Issuer, U.S. Bank Trust Company, National Association, as trustee of the Senior Secured Notes and as collateral agent, and the Company and certain subsidiaries of the Issuer as guarantors. The Senior Notes were issued pursuant to an Indenture, dated May 23, 2023, among the Issuer, U.S. Bank Trust Company, National Association, as trustee of the Senior Notes, and certain subsidiaries of the Issuer as guarantors (the “Senior Notes Indenture” and, together with the Secured Notes Indenture, the “Indentures”). The net proceeds from the notes offering were used to repay existing borrowings under the Issuer’s revolving credit facility and to pay fees and expenses related to the Notes offering. The Notes have not been registered under the Securities Act of 1933, as amended, or the securities laws of any other jurisdiction. Pursuant to a registration rights agreement entered into in connection with the Notes offering, the Issuer and the guarantors agreed, among other things, to use commercially reasonable efforts to, within certain time periods, file a registration statement with respect to a registered offer to exchange the Senior Secured Notes for new exchange notes, have the exchange offer registration statement declared effective, and complete the exchange offer promptly thereafter, unless the Senior Secured Notes are redeemed earlier. The Senior Secured Notes are secured obligations of the Issuer, will mature on May 15, 2028, unless earlier repurchased or redeemed in accordance with their terms, and bear interest at the rate of 5.700% per year, with interest payable semi-annually on May 15 and November 15 of each year, beginning on November 15, 2023. The Senior Notes are unsecured obligations of the Issuer, will mature on May 15, 2030, unless earlier repurchased or redeemed in accordance with their terms, and bear interest at the rate of 6.500% per year, with interest payable semi-annually on May 15 and November 15 of each year, beginning on November 15, 2023. The Issuer may redeem (i) the Senior Secured Notes prior to April 15, 2028 subject to a customary make-whole premium, and thereafter subject to a redemption price equal to 100% of the principal amount thereof plus accrued and unpaid interest and (ii) the Senior Notes prior to their final stated maturity, subject to a customary make-whole premium, at any time prior to May 15, 2026 (subject to a customary “equity claw” redemption right) and thereafter subject to a redemption premium declining from 3.250% to 0.000%. Restrictive Covenants |
Contingencies
Contingencies | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | Contingencies The Company and its subsidiaries are involved in legal and tax proceedings, claims and litigation arising in the ordinary course of business. Management periodically assesses the Company’s liabilities and contingencies in connection with these matters based upon the latest information available. For those matters where management currently believes it is probable that the Company will incur a loss and that the probable loss or range of loss can be reasonably estimated, the Company has recorded an accrual in the consolidated financial statements based on its best estimates of such loss. In other instances, because of the uncertainties related to either the probable outcome or the amount or range of loss, management is unable to make a reasonable estimate of a liability, if any. However, even in many instances where the Company has recorded an estimated liability, the Company is unable to predict with certainty the final outcome of the matter or whether resolution of the matter will materially affect the Company’s results of operations, financial position or cash flows. As additional information becomes available, the Company adjusts its assessments and estimates of such liabilities accordingly. The Company routinely enters into agreements with third parties, including its clients and suppliers, all in the normal course of business. In these agreements, the Company sometimes agrees to indemnify and hold harmless the other party for any damages such other party may suffer as a result of potential intellectual property infringement and other claims. The Company has not accrued a liability with respect to these matters generally, as the exposure is considered remote. Based on its review of the latest information available, management does not expect the impact of pending legal and tax proceedings, claims and litigation, either individually or in the aggregate, to have a material adverse effect on the Company’s results of operations, cash flows or financial position. However, one or more unfavorable outcomes in any claim or litigation against the Company could have a material adverse effect for the period in which it is resolved. The following is a summary of certain legal matters involving the Company. On February 13, 2014, a group of approximately 1,200 medical doctors and 900 private individuals filed a civil lawsuit with the Seoul Central District Court against IMS Korea and two other defendants, the Korean Pharmaceutical Association (“KPA”) and the Korean Pharmaceutical Information Center (“KPIC”). The civil lawsuit alleges KPA and KPIC collected their personal information in violation of applicable privacy laws without the necessary consent through a software system installed on pharmacy computer systems in Korea, and that personal information was transferred to IMS Korea and sold to pharmaceutical companies. On September 11, 2017, the District Court issued a final decision that the encryption in use by the defendants since June 2014 was adequate to meet the requirements of the Korean Personal Information Privacy Act (“PIPA”) and the sharing of non-identified information for market research purposes was allowed under PIPA. The District Court also found an earlier version of encryption was insufficient to meet PIPA requirements, but no personal data had been leaked or re-identified. The District Court did not award any damages to plaintiffs. Approximately 280 medical doctors and 200 private individuals appealed the District Court decision. On May 3, 2019, the Appellate Court issued a final decision in which it concluded all of the non-identified information transferred by KPIC to IMS Korea for market research purposes violated PIPA, but did not award any damages to plaintiffs (affirming the District Court’s decision on this latter point). On May 24, 2019, approximately 247 plaintiffs appealed the Appellate Court’s decision to the Supreme Court. The Company believes the appeal is without merit and is vigorously defending its position. On July 23, 2015, indictments were issued by the Seoul Central District Prosecutors’ Office in South Korea against 24 individuals and companies alleging improper handling of sensitive health information in violation of, among others, South Korea’s Personal Information Protection Act. IMS Korea and two of its employees were among the individuals and organizations indicted. Although there is no assertion that IMS Korea used patient identified health information in any of its offerings, prosecutors allege that certain of IMS Korea’s data suppliers should have obtained patient consent when they converted sensitive patient information into non-identified data and that IMS Korea had not taken adequate precautions to reduce the risk of re-identification. On February 14, 2020, the Seoul Central District Court acquitted IMS Korea and its two employees of the charges of improper handling of sensitive health information, and the Prosecutor's Office appealed. On December 23, 2021, the appellate court affirmed the judgment of the Seoul Central District Court. The Prosecutor's Office has appealed to the Supreme Court. The Company intends to vigorously defend its position on appeal. On January 10, 2017, Quintiles IMS Health Incorporated and IMS Software Services Ltd. (collectively “IQVIA Parties”), filed a lawsuit in the U.S. District Court for the District of New Jersey against Veeva Systems, Inc. (“Veeva”) alleging Veeva unlawfully used IQVIA Parties intellectual property to improve Veeva data offerings, to promote and market Veeva data offerings and to improve Veeva technology offerings. IQVIA Parties seek injunctive relief, appointment of a monitor, the award of compensatory and punitive damages and reimbursement of all litigation expenses, including reasonable attorneys’ fees and costs. On March 13, 2017, Veeva filed counterclaims alleging anticompetitive business practices in violation of the Sherman Act and state laws. Veeva claims damages in excess of $200 million, and is seeking punitive damages and litigation costs, including attorneys’ fees. We believe the counterclaims are without merit, reject all counterclaims raised by Veeva and intend to vigorously defend IQVIA Parties’ position and pursue our claims against Veeva. Since the initial filings, the parties have filed additional litigations against each other, primarily concerning the use of IQVIA data with various other Veeva products. The parties are engaged in the discovery process in connection with these lawsuits. On May 7, 2021, the Court issued an order and opinion (the “Order”) in which it found significant evidence that Veeva had (1) misappropriated IQVIA data and unlawfully used it to improve Veeva data offerings, (2) engaged in a cover-up by deleting significant evidence of its theft of IQVIA’s trade secrets, and (3) improperly withheld certain evidence in furtherance of a crime and/or fraud against IQVIA. The Court imposed five sanctions against Veeva, including ordering three separate adverse inference instructions be issued to the jury and that IQVIA be permitted to present evidence to the jury of Veeva’s destruction efforts. Veeva is currently appealing the Order. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders’ Equity Preferred Stock The Company is authorized to issue 1.0 million shares of preferred stock, $0.01 per share par value. No shares of preferred stock were issued or outstanding as of June 30, 2023 or December 31, 2022. Equity Repurchase Program As of June 30, 2023, the total stock repurchase authorization under the Company's equity repurchase program (the "Repurchase Program") was $9,725 million. The Repurchase Program does not obligate the Company to repurchase any particular amount of common stock, and it may be modified, extended, suspended or discontinued at any time. During the six months ended June 30, 2023, the Company repurchased 3.2 million shares of its common stock for $619 million under the Repurchase Program. As of June 30, 2023, the Company had remaining authorization to repurchase up to $736 million of its common stock under the Repurchase Program. In addition, from time to time, the Company has repurchased and may continue to repurchase common stock through private or other transactions outside of the Repurchase Program. |
Business Combinations
Business Combinations | 6 Months Ended |
Jun. 30, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Business Combinations | Business CombinationsThe Company completed several individually immaterial acquisitions during the six months ended June 30, 2023. The Company’s assessment of fair value, including the valuation of certain identified intangibles, and the purchase price allocation related to these acquisitions is preliminary and subject to change upon completion. Further adjustments may be necessary as additional information related to the fair values of assets acquired and liabilities assumed is assessed during the measurement period (up to one year from the acquisition date). The Company recorded goodwill from these acquisitions, primarily attributable to assembled workforce, expected synergies and new customer relationships. The condensed consolidated financial statements include the results of the acquisitions subsequent to their respective closing dates. Pro forma information is not presented as pro forma results of operations would not be materially different to the actual results of operations of the Company. The following table provides certain preliminary financial information for these acquisitions: (in millions) June 30, 2023 Assets acquired: Cash and cash equivalents $ 10 Other assets 33 Goodwill 235 Other identifiable intangibles 258 Liabilities assumed: Other liabilities (16) Deferred income taxes, long-term (4) Net assets acquired (1) $ 516 (1) Net assets acquired includes contingent consideration and deferred purchase price of $62 million. The portion of goodwill deductible for income tax purposes was preliminarily assessed as $180 million. The following table provides a summary of the preliminary estimated fair value of certain intangible assets acquired: (in millions) Amortization Period June 30, 2023 Other identifiable intangibles: Customer relationships 10 - 15 years $ 205 Backlog 2 years 51 Software and related assets 5 years 1 Databases 5 years 1 Total Other identifiable intangibles $ 258 |
Restructuring
Restructuring | 6 Months Ended |
Jun. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring The Company has continued to take restructuring actions in 2023 to align its resources and reduce overcapacity to adapt to changing market conditions and integrate acquisitions. These actions include consolidating functional activities, eliminating redundant positions, and aligning resources with customer requirements. These restructuring actions are expected to continue throughout 2023 and into 2024. The following amounts were recorded for the restructuring plans: (in millions) Severance and Balance as of December 31, 2022 $ 26 Expense, net of reversals 37 Payments (29) Balance as of June 30, 2023 $ 34 The reversals were due to changes in estimates primarily resulting from the redeployment of staff and higher than expected voluntary terminations. Restructuring costs are not allocated to the Company’s reportable segments as they are not part of the segment performance measures regularly reviewed by management. The Company expects that the majority of the restructuring accruals as of June 30, 2023 will be paid in 2023 and 2024. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income TaxesThe Company's effective income tax rate was 21.6% and 21.6% in the second quarter of 2023 and 2022, and 20.6% and 19.5% in the first six months of 2023 and 2022, respectively. The effective income tax rate in the second quarter and in the first six months of 2023 and 2022 was favorably impacted as a result of excess tax benefits recognized upon settlement of share-based compensation awards. For the second quarter of 2023 and 2022 this impact was $2 million and $1 million, respectively, and for the first six months of 2023 and 2022 this impact was $10 million and $14 million, respectively. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive (Loss) Income | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive (Loss) Income | Accumulated Other Comprehensive (Loss) Income Below is a summary of the components of AOCI: (in millions) Foreign Derivative Defined Income Total Balance as of December 31, 2022 $ (825) $ 44 $ (8) $ 62 $ (727) Other comprehensive (loss) income before reclassifications (66) 43 1 21 (1) Reclassification adjustments — (43) — 11 (32) Balance as of June 30, 2023 $ (891) $ 44 $ (7) $ 94 $ (760) Below is a summary of the adjustments for amounts reclassified from AOCI into the condensed consolidated statements of income and the affected financial statement line item: (in millions) Affected Financial Statement Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Derivative instruments: Interest rate swaps Interest expense $ 2 $ (7) $ 18 $ (7) Foreign exchange forward contracts Revenues 8 (11) 25 (10) Total before income taxes 10 (18) 43 (17) Income taxes 3 (4) 11 (4) Total net of income taxes $ 7 $ (14) $ 32 $ (13) |
Segments
Segments | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Segments | Segments The following table presents the Company’s operations by reportable segment. The Company is managed through three reportable segments, Technology & Analytics Solutions, Research & Development Solutions and Contract Sales & Medical Solutions. Technology & Analytics Solutions provides mission critical information, technology solutions and real world insights and services to the Company's life science clients. Research & Development Solutions, which primarily serves biopharmaceutical customers, provides outsourced clinical research and clinical trial related services. Contract Sales & Medical Solutions provides health care provider (including contract sales) and patient engagement services to both biopharmaceutical clients and the broader healthcare market. Certain costs are not allocated to our segments and are reported as general corporate and unallocated expenses. These costs primarily consist of stock-based compensation and expenses related to integration activities and acquisitions. The Company also does not allocate depreciation and amortization or impairment charges, if any, to its segments. Asset information by segment is not presented, as this measure is not used by the chief operating decision maker to assess the Company’s performance. The Company’s reportable segment information is presented below: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2023 2022 2023 2022 Revenues Technology & Analytics Solutions $ 1,456 $ 1,408 $ 2,900 $ 2,847 Research & Development Solutions 2,096 1,950 4,122 3,884 Contract Sales & Medical Solutions 176 183 358 378 Total revenues 3,728 3,541 7,380 7,109 Cost of revenues, exclusive of depreciation and amortization Technology & Analytics Solutions 876 828 1,734 1,662 Research & Development Solutions 1,417 1,348 2,803 2,670 Contract Sales & Medical Solutions 150 155 304 322 Total cost of revenues, exclusive of depreciation and amortization 2,443 2,331 4,841 4,654 Selling, general and administrative expenses Technology & Analytics Solutions 210 196 435 415 Research & Development Solutions 211 204 423 415 Contract Sales & Medical Solutions 14 15 29 31 General corporate and unallocated 47 68 108 110 Total selling, general and administrative expenses 482 483 995 971 Segment profit Technology & Analytics Solutions 370 384 731 770 Research & Development Solutions 468 398 896 799 Contract Sales & Medical Solutions 12 13 25 25 Total segment profit 850 795 1,652 1,594 General corporate and unallocated (47) (68) (108) (110) Depreciation and amortization (259) (270) (512) (525) Restructuring costs (20) (4) (37) (11) Total income from operations $ 524 $ 453 $ 995 $ 948 |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following table reconciles the basic to diluted weighted average shares outstanding: Three Months Ended June 30, Six Months Ended June 30, (in millions, except per share data) 2023 2022 2023 2022 Numerator: Net income $ 297 $ 256 $ 586 $ 581 Denominator: Basic weighted average common shares outstanding 184.4 188.3 185.1 189.2 Effect of dilutive stock options and share awards 2.3 2.8 2.5 3.0 Diluted weighted average common shares outstanding 186.7 191.1 187.6 192.2 Earnings per share attributable to common stockholders: Basic $ 1.61 $ 1.36 $ 3.17 $ 3.07 Diluted $ 1.59 $ 1.34 $ 3.12 $ 3.02 Stock-based awards will have a dilutive effect under the treasury method when the respective period's average market value of the Company's common stock exceeds the exercise proceeds. Performance awards are included in diluted earnings per share based on if the performance targets have been met at the end of the reporting period. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Pay vs Performance Disclosure | ||||
Net income | $ 297 | $ 256 | $ 586 | $ 581 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jun. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Unaudited Interim Financial Information | Unaudited Interim Financial Information The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) for interim financial information. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair statement of the Company’s financial condition and results of operations have been included. Operating results for the periods presented are not necessarily indicative of the results that may be expected for the year ending December 31, 2023. As such, the information included in this Quarterly Report on Form 10-Q should be read in conjunction with the Company’s audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022. The balance sheet as of December 31, 2022 has been derived from the audited consolidated financial statements of the Company, but does not include all the disclosures required by GAAP. |
Recently Issued Accounting Standards | Recently Issued Accounting Standards Accounting pronouncements adopted In September 2022, the Financial Accounting Standards Board ("FASB") issued new accounting guidance, Accounting Standards Update ("ASU") 2022-04, Liabilities - Supplier Finance Programs |
Revenues by Geography, Concen_2
Revenues by Geography, Concentration of Credit Risk and Remaining Performance Obligations (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Revenues by Geographic Region and Reportable Segment | The following tables represent revenues by geographic region and reportable segment for the three and six months ended June 30, 2023 and 2022: Three Months Ended June 30, 2023 (in millions) Technology & Research & Contract Sales & Total Revenues: Americas $ 772 $ 979 $ 70 $ 1,821 Europe and Africa 531 536 49 1,116 Asia-Pacific 153 581 57 791 Total revenues $ 1,456 $ 2,096 $ 176 $ 3,728 Three Months Ended June 30, 2022 (in millions) Technology & Research & Contract Sales & Total Revenues: Americas $ 716 $ 866 $ 88 $ 1,670 Europe and Africa 540 532 43 1,115 Asia-Pacific 152 552 52 756 Total revenues $ 1,408 $ 1,950 $ 183 $ 3,541 Six Months Ended June 30, 2023 (in millions) Technology & Research & Contract Sales & Total Revenues: Americas $ 1,507 $ 1,965 $ 150 $ 3,622 Europe and Africa 1,087 1,027 96 2,210 Asia-Pacific 306 1,130 112 1,548 Total revenues $ 2,900 $ 4,122 $ 358 $ 7,380 Six Months Ended June 30, 2022 (in millions) Technology & Research & Contract Sales & Total Revenues: Americas $ 1,397 $ 1,812 $ 179 $ 3,388 Europe and Africa 1,136 1,039 89 2,264 Asia-Pacific 314 1,033 110 1,457 Total revenues $ 2,847 $ 3,884 $ 378 $ 7,109 |
Trade Accounts Receivable, Un_2
Trade Accounts Receivable, Unbilled Services and Unearned Income (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Receivables [Abstract] | |
Schedule of Trade Accounts Receivable and Unbilled Services | Trade accounts receivables and unbilled services consist of the following: (in millions) June 30, 2023 December 31, 2022 Trade accounts receivable $ 1,339 $ 1,329 Unbilled services 1,828 1,624 Trade accounts receivable and unbilled services 3,167 2,953 Allowance for doubtful accounts (28) (36) Trade accounts receivable and unbilled services, net $ 3,139 $ 2,917 |
Schedule of Net Contract Assets (Liabilities) | Unbilled services and unearned income were as follows: (in millions) June 30, 2023 December 31, 2022 Change Unbilled services $ 1,828 $ 1,624 $ 204 Unearned income (1,844) (1,797) (47) Net balance $ (16) $ (173) $ 157 |
Goodwill (Tables)
Goodwill (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Goodwill by Reportable Segment | The following is a summary of goodwill by reportable segment for the six months ended June 30, 2023: (in millions) Technology & Analytics Solutions Research & Development Solutions Contract Sales & Medical Solutions Consolidated Balance as of December 31, 2022 $ 11,520 $ 2,247 $ 154 $ 13,921 Business combinations 55 180 — 235 Impact of foreign currency fluctuations and other 16 9 (3) 22 Balance as of June 30, 2023 $ 11,591 $ 2,436 $ 151 $ 14,178 |
Derivatives (Tables)
Derivatives (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Fair Values of Derivative Instruments Designated as Hedges | The fair values of the Company’s derivative instruments and the line items on the accompanying condensed consolidated balance sheets to which they were recorded are summarized in the following table: (in millions) Balance Sheet Classification June 30, 2023 December 31, 2022 Assets Liabilities Notional Assets Liabilities Notional Derivatives designated as hedging instruments: Interest rate swaps Other current assets, other assets and other current liabilities $ 37 $ — $ 1,800 $ 42 $ — $ 1,800 Foreign exchange forward contracts Other current assets and other current liabilities 5 — 134 2 2 122 Total derivatives $ 42 $ — $ 44 $ 2 |
Schedule of Effect of Cash Flow Hedging Instruments on Other Comprehensive (Loss) Income | The pre-tax effect of the Company’s cash flow hedging instruments on other comprehensive income is summarized in the following table: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2023 2022 2023 2022 Interest rate swaps $ 18 $ 15 $ (5) $ 55 Foreign exchange forward contracts 2 (5) 5 (7) Total $ 20 $ 10 $ — $ 48 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Summary of Fair Value of Financial Assets and Liabilities Measured on Recurring Basis | The following table summarizes the fair value of the Company’s financial assets and liabilities that are measured and reported at fair value on a recurring basis as of June 30, 2023: (in millions) Level 1 Level 2 Level 3 Total Assets: Marketable securities $ 135 $ — $ — $ 135 Derivatives — 42 — 42 Total $ 135 $ 42 $ — $ 177 Liabilities: Derivatives $ — $ — $ — $ — Contingent consideration — — 146 146 Total $ — $ — $ 146 $ 146 The following table summarizes the fair value of the Company’s financial assets and liabilities that are measured and reported at fair value on a recurring basis as of December 31, 2022: (in millions) Level 1 Level 2 Level 3 Total Assets: Marketable securities $ 122 $ — $ — $ 122 Derivatives — 44 — 44 Total $ 122 $ 44 $ — $ 166 Liabilities: Derivatives $ — $ 2 $ — $ 2 Contingent consideration — — 173 173 Total $ — $ 2 $ 173 $ 175 |
Schedule of Changes in Level 3 Financial Assets and Liabilities Measured on Recurring Basis | The following table summarizes the changes in Level 3 financial assets and liabilities measured on a recurring basis for the six months ended June 30, 2023: (in millions) Contingent Consideration Balance as of December 31, 2022 $ 173 Business combinations 57 Contingent consideration paid (68) Revaluations included in earnings and foreign currency translation adjustments (16) Balance as of June 30, 2023 $ 146 |
Credit Arrangements (Tables)
Credit Arrangements (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Summary of Credit Facilities | The following is a summary of the Company’s revolving credit facilities as of June 30, 2023: Facility Interest Rates $2,000 million (revolving credit facility) U.S. Dollar Term SOFR plus a margin of 1.25% plus a 10 basis credit spread adjustment as of June 30, 2023 $110 million (receivables financing facility) U.S. Dollar LIBOR Market Index Rate (5.22% as of June 30, 2023) plus 0.90% |
Summary of Debt | The following table summarizes the Company’s debt at the dates indicated: (dollars in millions) June 30, 2023 December 31, 2022 Revolving Credit Facility due 2026: U.S. Dollar denominated borrowings—U.S. Dollar Term SOFR at average floating rates of 6.45% $ 200 $ 425 Senior Secured Credit Facilities: Term A Loan due 2026—U.S. Dollar Term SOFR at average floating rates of 6.45% 1,306 1,343 Term A Loan due 2026—Euribor at average floating rates of 4.85% 311 314 Term A Loan due 2027—U.S. Dollar Term SOFR at average floating rates of 6.45% 1,187 1,219 Term B Loan due 2024—Euribor at average floating rates of 5.60% 1,192 1,172 Term B Loan due 2025—U.S. Dollar LIBOR at average floating rates of 7.29% 670 670 Term B Loan due 2025—U.S. Dollar LIBOR at average floating rates of 7.29% 861 860 Term B Loan due 2025—Euribor at average floating rates of 5.60% 568 559 5.0% Senior Notes due 2027—U.S. Dollar denominated 1,100 1,100 5.0% Senior Notes due 2026—U.S. Dollar denominated 1,050 1,050 5.700% Senior Secured Notes due 2028—U.S. Dollar denominated 750 — 6.500% Senior Notes due 2030—U.S. Dollar denominated 500 — 2.875% Senior Notes due 2025—Euro denominated 457 450 2.25% Senior Notes due 2028—Euro denominated 784 771 2.875% Senior Notes due 2028—Euro denominated 774 761 1.750% Senior Notes due 2026—Euro denominated 599 589 2.250% Senior Notes due 2029—Euro denominated 980 964 Receivables financing facility due 2024—U.S. Dollar LIBOR at average floating rates of 6.09% Revolving Loan Commitment 110 110 Term Loan 440 440 Principal amount of debt 13,839 12,797 Less: unamortized discount and debt issuance costs (62) (50) Less: current portion (1,344) (152) Long-term debt $ 12,433 $ 12,595 |
Schedule of Contractual Maturities of Long-term Debt | Contractual maturities of long-term debt as of June 30, 2023 are as follows: (in millions) Remainder of 2023 $ 76 2024 1,894 2025 2,709 2026 3,304 2027 2,069 Thereafter 3,787 $ 13,839 |
Business Combinations (Tables)
Business Combinations (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table provides certain preliminary financial information for these acquisitions: (in millions) June 30, 2023 Assets acquired: Cash and cash equivalents $ 10 Other assets 33 Goodwill 235 Other identifiable intangibles 258 Liabilities assumed: Other liabilities (16) Deferred income taxes, long-term (4) Net assets acquired (1) $ 516 (1) Net assets acquired includes contingent consideration and deferred purchase price of $62 million. |
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination | The following table provides a summary of the preliminary estimated fair value of certain intangible assets acquired: (in millions) Amortization Period June 30, 2023 Other identifiable intangibles: Customer relationships 10 - 15 years $ 205 Backlog 2 years 51 Software and related assets 5 years 1 Databases 5 years 1 Total Other identifiable intangibles $ 258 |
Restructuring (Tables)
Restructuring (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Summary of Amounts Recorded for Restructuring Plans | The following amounts were recorded for the restructuring plans: (in millions) Severance and Balance as of December 31, 2022 $ 26 Expense, net of reversals 37 Payments (29) Balance as of June 30, 2023 $ 34 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive (Loss) Income (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Summary of Components of AOCI | Below is a summary of the components of AOCI: (in millions) Foreign Derivative Defined Income Total Balance as of December 31, 2022 $ (825) $ 44 $ (8) $ 62 $ (727) Other comprehensive (loss) income before reclassifications (66) 43 1 21 (1) Reclassification adjustments — (43) — 11 (32) Balance as of June 30, 2023 $ (891) $ 44 $ (7) $ 94 $ (760) |
Summary of Adjustments for (Gains) Losses Reclassified from AOCI into Condensed Consolidated Statements of Income and Affected Financial Statement Line Item | Below is a summary of the adjustments for amounts reclassified from AOCI into the condensed consolidated statements of income and the affected financial statement line item: (in millions) Affected Financial Statement Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Derivative instruments: Interest rate swaps Interest expense $ 2 $ (7) $ 18 $ (7) Foreign exchange forward contracts Revenues 8 (11) 25 (10) Total before income taxes 10 (18) 43 (17) Income taxes 3 (4) 11 (4) Total net of income taxes $ 7 $ (14) $ 32 $ (13) |
Segments (Tables)
Segments (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Reconciliation of Revenues and Income from Segments to Consolidated | Asset information by segment is not presented, as this measure is not used by the chief operating decision maker to assess the Company’s performance. The Company’s reportable segment information is presented below: Three Months Ended June 30, Six Months Ended June 30, (in millions) 2023 2022 2023 2022 Revenues Technology & Analytics Solutions $ 1,456 $ 1,408 $ 2,900 $ 2,847 Research & Development Solutions 2,096 1,950 4,122 3,884 Contract Sales & Medical Solutions 176 183 358 378 Total revenues 3,728 3,541 7,380 7,109 Cost of revenues, exclusive of depreciation and amortization Technology & Analytics Solutions 876 828 1,734 1,662 Research & Development Solutions 1,417 1,348 2,803 2,670 Contract Sales & Medical Solutions 150 155 304 322 Total cost of revenues, exclusive of depreciation and amortization 2,443 2,331 4,841 4,654 Selling, general and administrative expenses Technology & Analytics Solutions 210 196 435 415 Research & Development Solutions 211 204 423 415 Contract Sales & Medical Solutions 14 15 29 31 General corporate and unallocated 47 68 108 110 Total selling, general and administrative expenses 482 483 995 971 Segment profit Technology & Analytics Solutions 370 384 731 770 Research & Development Solutions 468 398 896 799 Contract Sales & Medical Solutions 12 13 25 25 Total segment profit 850 795 1,652 1,594 General corporate and unallocated (47) (68) (108) (110) Depreciation and amortization (259) (270) (512) (525) Restructuring costs (20) (4) (37) (11) Total income from operations $ 524 $ 453 $ 995 $ 948 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table reconciles the basic to diluted weighted average shares outstanding: Three Months Ended June 30, Six Months Ended June 30, (in millions, except per share data) 2023 2022 2023 2022 Numerator: Net income $ 297 $ 256 $ 586 $ 581 Denominator: Basic weighted average common shares outstanding 184.4 188.3 185.1 189.2 Effect of dilutive stock options and share awards 2.3 2.8 2.5 3.0 Diluted weighted average common shares outstanding 186.7 191.1 187.6 192.2 Earnings per share attributable to common stockholders: Basic $ 1.61 $ 1.36 $ 3.17 $ 3.07 Diluted $ 1.59 $ 1.34 $ 3.12 $ 3.02 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional Information (Detail) Employee in Thousands | Jun. 30, 2023 Employee Country |
Summary Of Significant Accounting Policies [Line Items] | |
Number of employees | Employee | 87 |
Minimum | |
Summary Of Significant Accounting Policies [Line Items] | |
Number of countries (more than) | Country | 100 |
Revenues by Geography, Concen_3
Revenues by Geography, Concentration of Credit Risk and Remaining Performance Obligations - Summary of Revenues by Geographic Region and Reportable Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Disaggregation of Revenue | ||||
Total revenues | $ 3,728 | $ 3,541 | $ 7,380 | $ 7,109 |
Americas | ||||
Disaggregation of Revenue | ||||
Total revenues | 1,821 | 1,670 | 3,622 | 3,388 |
Europe and Africa | ||||
Disaggregation of Revenue | ||||
Total revenues | 1,116 | 1,115 | 2,210 | 2,264 |
Asia-Pacific | ||||
Disaggregation of Revenue | ||||
Total revenues | 791 | 756 | 1,548 | 1,457 |
Technology & Analytics Solutions | ||||
Disaggregation of Revenue | ||||
Total revenues | 1,456 | 1,408 | 2,900 | 2,847 |
Technology & Analytics Solutions | Americas | ||||
Disaggregation of Revenue | ||||
Total revenues | 772 | 716 | 1,507 | 1,397 |
Technology & Analytics Solutions | Europe and Africa | ||||
Disaggregation of Revenue | ||||
Total revenues | 531 | 540 | 1,087 | 1,136 |
Technology & Analytics Solutions | Asia-Pacific | ||||
Disaggregation of Revenue | ||||
Total revenues | 153 | 152 | 306 | 314 |
Research & Development Solutions | ||||
Disaggregation of Revenue | ||||
Total revenues | 2,096 | 1,950 | 4,122 | 3,884 |
Research & Development Solutions | Americas | ||||
Disaggregation of Revenue | ||||
Total revenues | 979 | 866 | 1,965 | 1,812 |
Research & Development Solutions | Europe and Africa | ||||
Disaggregation of Revenue | ||||
Total revenues | 536 | 532 | 1,027 | 1,039 |
Research & Development Solutions | Asia-Pacific | ||||
Disaggregation of Revenue | ||||
Total revenues | 581 | 552 | 1,130 | 1,033 |
Contract Sales & Medical Solutions | ||||
Disaggregation of Revenue | ||||
Total revenues | 176 | 183 | 358 | 378 |
Contract Sales & Medical Solutions | Americas | ||||
Disaggregation of Revenue | ||||
Total revenues | 70 | 88 | 150 | 179 |
Contract Sales & Medical Solutions | Europe and Africa | ||||
Disaggregation of Revenue | ||||
Total revenues | 49 | 43 | 96 | 89 |
Contract Sales & Medical Solutions | Asia-Pacific | ||||
Disaggregation of Revenue | ||||
Total revenues | $ 57 | $ 52 | $ 112 | $ 110 |
Revenues by Geography, Concen_4
Revenues by Geography, Concentration of Credit Risk and Remaining Performance Obligations - Additional Information (Detail) - Customer | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | ||||
Number of customer accounting for ten percent or more of revenue | 0 | 0 | 0 | 0 |
Revenues by Geography, Concen_5
Revenues by Geography, Concentration of Credit Risk and Remaining Performance Obligations - Future Obligation Terms (Detail) $ in Billions | Jun. 30, 2023 USD ($) |
Disaggregation of Revenue | |
Revenue expected to be recognized in future from remaining performance obligations | $ 31 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01 | |
Disaggregation of Revenue | |
Percentage of remaining performance obligations on which revenue is expected to be recognized (in percent) | 30% |
Unearned income recognition period | 12 months |
Trade Accounts Receivable, Un_3
Trade Accounts Receivable, Unbilled Services and Unearned Income - Trade Accounts Receivable and Unbilled Services (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Receivables, Net, Current [Abstract] | ||
Trade accounts receivable | $ 1,339 | $ 1,329 |
Unbilled services | 1,828 | 1,624 |
Trade accounts receivable and unbilled services | 3,167 | 2,953 |
Allowance for doubtful accounts | (28) | (36) |
Trade accounts receivable and unbilled services, net | $ 3,139 | $ 2,917 |
Trade Accounts Receivable, Un_4
Trade Accounts Receivable, Unbilled Services and Unearned Income - Schedule of Net Contract Assets (Liabilities) (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
Unbilled Contracts Receivables | ||
Unbilled services, beginning balance | $ 1,624 | |
Change | 204 | |
Unbilled services, ending balance | 1,828 | |
Unearned Income | ||
Unearned income, beginning balance | (1,797) | |
Change | (47) | |
Unearned income, ending balance | (1,844) | |
Net change in balance | 157 | |
Net balance, beginning balance | $ (16) | $ (173) |
Trade Accounts Receivable, Un_5
Trade Accounts Receivable, Unbilled Services and Unearned Income - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | |
Receivables [Abstract] | |||
Unbilled receivables (percentage) | 66% | 66% | 61% |
Contract assets (percentage) | 34% | 34% | 39% |
Increase in unbilled services | $ 204 | ||
Decrease in unearned income | 47 | ||
Net change in balance | 157 | ||
Trade accounts receivable | $ 394 | $ 394 | |
Cash proceeds from trade accounts | $ 385 |
Goodwill - Summary of Goodwill
Goodwill - Summary of Goodwill by Reportable Segment (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Goodwill | |
Beginning balance | $ 13,921 |
Business combinations | 235 |
Impact of foreign currency fluctuations and other | 22 |
Ending balance | 14,178 |
Technology & Analytics Solutions | |
Goodwill | |
Beginning balance | 11,520 |
Business combinations | 55 |
Impact of foreign currency fluctuations and other | 16 |
Ending balance | 11,591 |
Research & Development Solutions | |
Goodwill | |
Beginning balance | 2,247 |
Business combinations | 180 |
Impact of foreign currency fluctuations and other | 9 |
Ending balance | 2,436 |
Contract Sales & Medical Solutions | |
Goodwill | |
Beginning balance | 154 |
Business combinations | 0 |
Impact of foreign currency fluctuations and other | (3) |
Ending balance | $ 151 |
Derivatives - Summary of Fair V
Derivatives - Summary of Fair Values of Derivative Instruments Designated as Hedges (Detail) - USD ($) | Jun. 30, 2023 | Dec. 31, 2022 |
Derivatives, Fair Value | ||
Assets | $ 42,000,000 | $ 44,000,000 |
Liabilities | 0 | 2,000,000 |
Derivatives designated as hedging instruments: | Other current assets and other current liabilities | Foreign exchange forward contracts | ||
Derivatives, Fair Value | ||
Assets | 5,000,000 | 2,000,000 |
Liabilities | 0 | 2,000,000 |
Notional | 134,000,000 | 122,000,000 |
Derivatives designated as hedging instruments: | Other current assets, other assets and other current liabilities | Interest rate swaps | ||
Derivatives, Fair Value | ||
Assets | 37,000,000 | 42,000,000 |
Liabilities | 0 | 0 |
Notional | $ 1,800,000,000 | $ 1,800,000,000 |
Derivatives - Effect of Cash Fl
Derivatives - Effect of Cash Flow Hedging Instruments on Other Comprehensive (Loss) Income (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosures | ||||
Effect of cash flow hedging instruments on other comprehensive (loss) income | $ 20 | $ 10 | $ 0 | $ 48 |
Foreign Currency Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months | 41 | 41 | ||
Foreign exchange forward contracts | ||||
Derivative Instruments and Hedging Activities Disclosures | ||||
Effect of cash flow hedging instruments on other comprehensive (loss) income | 2 | (5) | 5 | (7) |
Interest rate swaps | ||||
Derivative Instruments and Hedging Activities Disclosures | ||||
Effect of cash flow hedging instruments on other comprehensive (loss) income | $ 18 | $ 15 | $ (5) | $ 55 |
Derivatives - Additional Inform
Derivatives - Additional Information (Detail) € in Millions, $ in Millions | Jun. 30, 2023 EUR (€) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) |
Derivative Instruments and Hedging Activities Disclosures | |||
Foreign exchange loss related to net investment hedge | $ (92) | $ 466 | |
Net Investment Hedging | |||
Derivative Instruments and Hedging Activities Disclosures | |||
Long-term debt | € 5,203 | $ 5,665 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Percentage accrued of maximum consideration payments to become payable | 50% | |
Other identifiable intangibles, net | $ 4,942 | $ 4,820 |
Level 1 and Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Fair value of total debt | 13,360 | $ 12,281 |
Level 3 | Fair Value, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Assets, Fair Value Disclosure | 19,303 | |
Cost and equity method investments | 183 | |
Goodwill | 14,178 | |
Other identifiable intangibles, net | $ 4,942 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value of Financial Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Assets: | ||
Marketable securities | $ 110 | $ 93 |
Derivatives | 42 | 44 |
Recurring Fair Value Measurements | ||
Assets: | ||
Marketable securities | 135 | 122 |
Derivatives | 42 | 44 |
Total | 177 | 166 |
Liabilities: | ||
Derivatives | 0 | 2 |
Contingent consideration | 146 | 173 |
Total | 146 | 175 |
Recurring Fair Value Measurements | Level 1 | ||
Assets: | ||
Marketable securities | 135 | 122 |
Derivatives | 0 | 0 |
Total | 135 | 122 |
Liabilities: | ||
Derivatives | 0 | 0 |
Contingent consideration | 0 | 0 |
Total | 0 | 0 |
Recurring Fair Value Measurements | Level 2 | ||
Assets: | ||
Marketable securities | 0 | 0 |
Derivatives | 42 | 44 |
Total | 42 | 44 |
Liabilities: | ||
Derivatives | 0 | 2 |
Contingent consideration | 0 | 0 |
Total | 0 | 2 |
Recurring Fair Value Measurements | Level 3 | ||
Assets: | ||
Marketable securities | 0 | 0 |
Derivatives | 0 | 0 |
Total | 0 | 0 |
Liabilities: | ||
Derivatives | 0 | 0 |
Contingent consideration | 146 | 173 |
Total | $ 146 | $ 173 |
Fair Value Measurements - Chang
Fair Value Measurements - Changes in Level 3 Financial Assets and Liabilities Measured on Recurring Basis (Detail) - Contingent consideration $ in Millions | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation | |
Beginning balance | $ 173 |
Business combinations | 57 |
Contingent consideration paid | (68) |
Revaluations included in earnings and foreign currency translation adjustments | (16) |
Ending balance | $ 146 |
Credit Arrangements - Summary o
Credit Arrangements - Summary of Credit Facilities (Detail) | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Revolving Credit Facility | USD Revolving Credit Facility | |
Line of Credit Facility | |
Interest rate description | U.S. Dollar Term SOFR plus a margin of 1.25% plus a 10 basis credit spread adjustment as of June 30, 2023 |
Facility | $ 2,000,000,000 |
Interest rate spread on base rate | 0.10% |
Revolving Credit Facility | USD Revolving Credit Facility | LIBOR | |
Line of Credit Facility | |
Rate | 1.25% |
Facility | Receivables Financing Facility | |
Line of Credit Facility | |
Interest rate description | U.S. Dollar LIBOR Market Index Rate (5.22% as of June 30, 2023) plus 0.90% |
Facility | $ 110,000,000 |
Rate | 5.22% |
Facility | Receivables Financing Facility | LIBOR | |
Line of Credit Facility | |
Interest rate spread on base rate | 0.90% |
Credit Arrangements - Summary_2
Credit Arrangements - Summary of Debt (Detail) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2023 | Apr. 17, 2023 | Dec. 31, 2022 | |
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 13,839 | $ 12,797 | |
Less: unamortized discount and debt issuance costs | (62) | (50) | |
Less: current portion | (1,344) | (152) | |
Long-term debt | 12,433 | 12,595 | |
U.S Dollars | Senior Secured Term A Loan, 3.03% | SOFR | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 1,187 | 1,219 | |
Average floating rate | 6.45% | ||
U.S Dollars | Senior Secured Notes Due 2028, 5.700% | Senior Notes | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 750 | 0 | |
Rate | 5.70% | ||
U.S Dollars | Senior Notes Due 2030, 6.500% | Senior Notes | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 500 | 0 | |
Rate | 6.50% | ||
U.S Dollars | Term Loan | LIBOR | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 440 | 440 | |
U.S Dollars | Due in 2024 | Senior Secured Term B Loan, 1.85% | LIBOR | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 500 | ||
U.S Dollars | Due in 2024 | Receivable Financing Facilities | LIBOR | |||
Senior Secured Credit Facilities: | |||
Average floating rate | 6.09% | ||
U.S Dollars | Due in 2025 | Senior Secured Term B Loan, 1.85% | LIBOR | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 670 | 670 | |
Average floating rate | 7.29% | ||
U.S Dollars | Due in 2025 | Senior Secured Term B Loan 1.97% | LIBOR | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 861 | 860 | |
Average floating rate | 7.29% | ||
U.S Dollars | Due in 2026 | Senior Secured Term A Loan, 1.47% | LIBOR | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 1,306 | 1,343 | |
Average floating rate | 6.45% | ||
U.S Dollars | Due in 2026 | 5.0% Senior Notes | Senior Notes | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 1,050 | 1,050 | |
Rate | 5% | ||
U.S Dollars | Due in 2027 | 5.0% Senior Notes | Senior Notes | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 1,100 | 1,100 | |
Rate | 5% | ||
EUR Dollars | Due in 2024 | Senior Secured Term B Loan, 2.00% | Euribor Rate | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 1,192 | 1,172 | |
Average floating rate | 5.60% | ||
EUR Dollars | Due in 2025 | Senior Secured Term B Loan, 2.00% | Euribor Rate | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 568 | 559 | |
Average floating rate | 5.60% | ||
EUR Dollars | Due in 2025 | 2.875% Senior Notes | Senior Notes | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 457 | 450 | |
Rate | 2.875% | ||
EUR Dollars | Due in 2026 | Senior Secured Term A Loan, 1.25% | Euribor Rate | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 311 | 314 | |
Average floating rate | 4.85% | ||
EUR Dollars | Due in 2026 | 1.75% Senior Notes | Senior Notes | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 599 | 589 | |
Rate | 1.75% | ||
EUR Dollars | Due in 2028 | 2.875% Senior Notes | Senior Notes | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 774 | 761 | |
Rate | 2.875% | ||
EUR Dollars | Due in 2028 | 2.25% Senior Notes | Senior Notes | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 784 | 771 | |
Rate | 2.25% | ||
EUR Dollars | Due in 2029 | 2.25% Senior Notes | Senior Notes | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 980 | 964 | |
Rate | 2.25% | ||
Revolving Credit Facility | U.S Dollars | LIBOR | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 200 | 425 | |
Average floating rate | 6.45% | ||
Revolving Credit Facility | U.S Dollars | Revolving Loan Commitment | LIBOR | |||
Senior Secured Credit Facilities: | |||
Principal amount of debt | $ 110 | $ 110 |
Credit Arrangements - Contractu
Credit Arrangements - Contractual Maturities of Long-term Debt (Detail) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Debt Disclosure [Abstract] | ||
Remainder of 2022 | $ 76 | |
2024 | 1,894 | |
2025 | 2,709 | |
2026 | 3,304 | |
2027 | 2,069 | |
Thereafter | 3,787 | |
Principal amount of debt | $ 13,839 | $ 12,797 |
Credit Arrangements - Senior Se
Credit Arrangements - Senior Secured Credit Facilities (Detail) - USD ($) $ in Millions | May 23, 2023 | Jun. 30, 2023 | Apr. 17, 2023 | Dec. 31, 2022 |
Line of Credit Facility | ||||
Principal amount of debt | $ 13,839 | $ 12,797 | ||
LIBOR | Revolving Credit Facility | U.S Dollars | ||||
Line of Credit Facility | ||||
Principal amount of debt | 200 | 425 | ||
Senior Secured Term A Loan, 3.03% | SOFR | U.S Dollars | ||||
Line of Credit Facility | ||||
Principal amount of debt | 1,187 | 1,219 | ||
Senior Secured Credit Facilities, Fifth Amended and Restated Credit Agreement | ||||
Line of Credit Facility | ||||
Aggregate maximum principal amount | 8,095 | |||
Principal amount | 6,295 | |||
Senior Secured Credit Facilities, Revolving Credit Facility And Standby Letters Of Credit | ||||
Line of Credit Facility | ||||
Aggregate maximum principal amount | 2,000 | $ 2,000 | ||
Available borrowing capacity | 1,795 | |||
Senior Secured Credit Facilities, Revolving Credit Facility And Standby Letters Of Credit | U.S Dollars | ||||
Line of Credit Facility | ||||
Principal amount | 1,175 | |||
Senior Secured Credit Facilities, Revolving Credit Facility And Standby Letters Of Credit | U.S. dollars, Euros, Swiss Francs And Other Foreign Currencies | ||||
Line of Credit Facility | ||||
Principal amount | 600 | |||
Senior Secured Credit Facilities, Revolving Credit Facility And Standby Letters Of Credit | US Dollars And Yen | ||||
Line of Credit Facility | ||||
Principal amount | 225 | |||
Senior Secured Term B Loan, 1.85% | LIBOR | Due in 2024 | U.S Dollars | ||||
Line of Credit Facility | ||||
Principal amount of debt | $ 500 | |||
Senior Notes Due 2030, 6.500% | U.S Dollars | Senior Notes | ||||
Line of Credit Facility | ||||
Principal amount of debt | $ 500 | 0 | ||
Rate | 6.50% | |||
Senior Notes Due 2030, 6.500% | Minimum | ||||
Line of Credit Facility | ||||
Redemption price percentage | 0% | |||
Senior Notes Due 2030, 6.500% | Maximum | ||||
Line of Credit Facility | ||||
Redemption price percentage | 3.25% | |||
Senior Notes Due 2030, 6.500% | U.S Dollars | Senior Notes | ||||
Line of Credit Facility | ||||
Principal amount of debt | $ 500 | |||
Rate | 6.50% | |||
Senior Secured Notes Due 2028, 5.700% | U.S Dollars | Senior Notes | ||||
Line of Credit Facility | ||||
Principal amount of debt | $ 750 | $ 0 | ||
Rate | 5.70% | |||
Senior Secured Notes Due 2028, 5.700% | U.S Dollars | Senior Notes | ||||
Line of Credit Facility | ||||
Principal amount of debt | $ 750 | |||
Rate | 5.70% |
Contingencies - Additional Info
Contingencies - Additional Information (Detail) $ in Millions | Jul. 14, 2020 private_individual | May 24, 2019 medical_doctor | Sep. 11, 2017 medical_doctor | Sep. 11, 2017 private_individual | May 13, 2017 USD ($) | Jul. 23, 2015 private_individual | Feb. 13, 2014 medical_doctor | Feb. 13, 2014 private_individual | Feb. 13, 2014 Defendant |
KPIC | |||||||||
Loss Contingencies | |||||||||
Number of plaintiffs | 247 | 280 | 200 | 1,200 | 900 | ||||
Number of defendants | Defendant | 2 | ||||||||
Seoul Central District Prosecutors | |||||||||
Loss Contingencies | |||||||||
Number of defendants | 24 | ||||||||
Seoul Central District Prosecutors | Employee | |||||||||
Loss Contingencies | |||||||||
Number of defendants | 2 | 2 | |||||||
Veeva | Minimum | |||||||||
Loss Contingencies | |||||||||
Amount of damages claimed | $ | $ 200 |
Stockholders' Equity (Detail)
Stockholders' Equity (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||||||
Jul. 31, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Dec. 31, 2022 | Feb. 10, 2022 | |
Class of Stock | ||||||||
Preferred stock, authorized (shares) | 1,000,000 | 1,000,000 | ||||||
Preferred stock, par value (usd per share) | $ 0.01 | $ 0.01 | ||||||
Preferred stock, shares issued (shares) | 0 | 0 | 0 | |||||
Preferred stock, shares outstanding (shares) | 0 | 0 | 0 | |||||
Repurchase of stock, value | $ 495,000,000 | $ 129,000,000 | $ 590,000,000 | $ 403,000,000 | ||||
Equity Repurchase Under Repurchase Program | ||||||||
Class of Stock | ||||||||
Equity repurchase program authorized amount | $ 9,725,000,000 | |||||||
Repurchase of stock (in shares) | 3,200,000 | |||||||
Repurchase of stock, value | $ 619,000,000 | |||||||
Equity available for repurchase under the repurchase program | $ 736,000,000 | $ 736,000,000 | ||||||
Equity Repurchase Under Repurchase Program | Subsequent Event | ||||||||
Class of Stock | ||||||||
Equity repurchase program authorized amount | $ 11,725,000,000 | |||||||
Equity available for repurchase under the repurchase program | 2,736,000,000 | |||||||
Equity repurchase program additional authorized amount | $ 2,000,000,000 |
Business Combinations - Schedul
Business Combinations - Schedule of Recognized Identified Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
Assets acquired: | ||
Goodwill | $ 14,178 | $ 13,921 |
Several Individually Immaterial Acquisitions | ||
Assets acquired: | ||
Cash and cash equivalents | 10 | |
Other assets | 33 | |
Goodwill | 235 | |
Other identifiable intangibles | 258 | |
Liabilities assumed: | ||
Other liabilities | (16) | |
Deferred income taxes, long-term | (4) | |
Net assets acquired | 516 | |
Contingent consideration and deferred payments | $ 62 |
Business Combinations - Narrati
Business Combinations - Narrative (Details) $ in Millions | Jun. 30, 2023 USD ($) |
Several Individually Immaterial Acquisitions | |
Business Acquisition [Line Items] | |
Portion of goodwill deductible for income tax purposes | $ 180 |
Business Combinations - Indefin
Business Combinations - Indefinite-Lived Intangible Assets Acquired as Part of Business Combination (Details) - Several Individually Immaterial Acquisitions $ in Millions | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Business Acquisition [Line Items] | |
Total Other identifiable intangibles | $ 258 |
Customer relationships | |
Business Acquisition [Line Items] | |
Total Other identifiable intangibles | 205 |
Backlog | |
Business Acquisition [Line Items] | |
Total Other identifiable intangibles | 51 |
Software and related assets | |
Business Acquisition [Line Items] | |
Total Other identifiable intangibles | $ 1 |
Databases | |
Business Acquisition [Line Items] | |
Amortization Period | 5 years |
Total Other identifiable intangibles | $ 1 |
Minimum | Customer relationships | |
Business Acquisition [Line Items] | |
Amortization Period | 10 years |
Minimum | Backlog | |
Business Acquisition [Line Items] | |
Amortization Period | |
Minimum | Software and related assets | |
Business Acquisition [Line Items] | |
Amortization Period | |
Maximum | Customer relationships | |
Business Acquisition [Line Items] | |
Amortization Period | 15 years |
Maximum | Backlog | |
Business Acquisition [Line Items] | |
Amortization Period | 2 years |
Maximum | Software and related assets | |
Business Acquisition [Line Items] | |
Amortization Period | 5 years |
Restructuring - Summary of Amou
Restructuring - Summary of Amounts Recorded for Restructuring Plans (Detail) - Severance and Related Costs $ in Millions | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Restructuring Reserve | |
Restructuring reserves, beginning balance | $ 26 |
Expense, net of reversals | 37 |
Payments | (29) |
Restructuring reserves, ending balance | $ 34 |
Income Taxes - Narratives (Deta
Income Taxes - Narratives (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate (percent) | 21.60% | 21.60% | 20.60% | 19.50% |
Tax impact of share-based compensation awards | $ 2 | $ 1 | $ 10 | $ 14 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive (Loss) Income - Summary of Components of AOCI (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Statement of Other Comprehensive Income | |
Beginning balance | $ 5,765 |
Ending balance | 5,748 |
Income Taxes | |
Beginning balance | 62 |
Other comprehensive (loss) income before reclassifications | 21 |
Reclassification adjustments | 11 |
Ending balance | 94 |
Other comprehensive (loss) income before reclassifications | (1) |
Reclassification adjustments | (32) |
Foreign Currency Translation | |
Statement of Other Comprehensive Income | |
Beginning balance | (825) |
Other comprehensive (loss) income before reclassifications | (66) |
Reclassification adjustments | 0 |
Ending balance | (891) |
Derivative Instruments | |
Statement of Other Comprehensive Income | |
Beginning balance | 44 |
Other comprehensive (loss) income before reclassifications | 43 |
Reclassification adjustments | (43) |
Ending balance | 44 |
Defined Benefit Plans | |
Statement of Other Comprehensive Income | |
Beginning balance | (8) |
Other comprehensive (loss) income before reclassifications | 1 |
Reclassification adjustments | 0 |
Ending balance | (7) |
Total | |
Statement of Other Comprehensive Income | |
Beginning balance | (727) |
Ending balance | $ (760) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive (Loss) Income - Summary of Adjustments for (Gains) Losses Reclassified from AOCI into Condensed Consolidated Statements of Income and Affected Financial Statement Line Item (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ||||
Total before income taxes | $ 10 | $ (18) | $ 43 | $ (17) |
Income taxes | 3 | (4) | 11 | (4) |
Total net of income taxes | 7 | (14) | 32 | (13) |
Interest rate swaps | Interest expense | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ||||
Total before income taxes | 2 | (7) | 18 | (7) |
Foreign exchange forward contracts | Revenues | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income | ||||
Total before income taxes | $ 8 | $ (11) | $ 25 | $ (10) |
Segments - Additional Informati
Segments - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2023 Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Segments - Operations by Report
Segments - Operations by Reportable Segments (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Segment Reporting Information | ||||
Revenues | $ 3,728 | $ 3,541 | $ 7,380 | $ 7,109 |
Cost of revenues, exclusive of depreciation and amortization | 2,443 | 2,331 | 4,841 | 4,654 |
Selling, general and administrative expenses | 482 | 483 | 995 | 971 |
Segment profit | 850 | 795 | 1,652 | 1,594 |
Depreciation and amortization | (259) | (270) | (512) | (525) |
Restructuring costs | (20) | (4) | (37) | (11) |
Income from operations | 524 | 453 | 995 | 948 |
Technology & Analytics Solutions | ||||
Segment Reporting Information | ||||
Revenues | 1,456 | 1,408 | 2,900 | 2,847 |
Cost of revenues, exclusive of depreciation and amortization | 876 | 828 | 1,734 | 1,662 |
Segment profit | 370 | 384 | 731 | 770 |
Research & Development Solutions | ||||
Segment Reporting Information | ||||
Revenues | 2,096 | 1,950 | 4,122 | 3,884 |
Cost of revenues, exclusive of depreciation and amortization | 1,417 | 1,348 | 2,803 | 2,670 |
Segment profit | 468 | 398 | 896 | 799 |
Contract Sales & Medical Solutions | ||||
Segment Reporting Information | ||||
Revenues | 176 | 183 | 358 | 378 |
Cost of revenues, exclusive of depreciation and amortization | 150 | 155 | 304 | 322 |
Segment profit | 12 | 13 | 25 | 25 |
Operating Segments | Technology & Analytics Solutions | ||||
Segment Reporting Information | ||||
Selling, general and administrative expenses | 210 | 196 | 435 | 415 |
Operating Segments | Research & Development Solutions | ||||
Segment Reporting Information | ||||
Selling, general and administrative expenses | 211 | 204 | 423 | 415 |
Operating Segments | Contract Sales & Medical Solutions | ||||
Segment Reporting Information | ||||
Selling, general and administrative expenses | 14 | 15 | 29 | 31 |
General corporate and unallocated | ||||
Segment Reporting Information | ||||
Selling, general and administrative expenses | 47 | 68 | 108 | 110 |
Segment profit | $ (47) | $ (68) | $ (108) | $ (110) |
Earnings Per Share - Reconciles
Earnings Per Share - Reconciles the Basic to Diluted Weighted Average Shares Outstanding (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 297 | $ 256 | $ 586 | $ 581 |
Denominator: | ||||
Basic weighted average common shares outstanding (in shares) | 184.4 | 188.3 | 185.1 | 189.2 |
Effect of dilutive stock options and share awards (in shares) | 2.3 | 2.8 | 2.5 | 3 |
Diluted weighted average common shares outstanding (in shares) | 186.7 | 191.1 | 187.6 | 192.2 |
Earnings per share attributable to common stockholders: | ||||
Basic (in dollars per share) | $ 1.61 | $ 1.36 | $ 3.17 | $ 3.07 |
Diluted (in dollars per share) | $ 1.59 | $ 1.34 | $ 3.12 | $ 3.02 |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) - shares shares in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Earnings Per Share [Abstract] | ||||
Antidilutive securities excluded from computation of earnings per share, amount (in shares) | 1.2 | 0.7 | 1.1 | 0.5 |