Document and Entity Information
Document and Entity Information | 9 Months Ended |
Sep. 30, 2023 shares | |
Document Information [Line Items] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Sep. 30, 2023 |
Document Transition Report | false |
Entity File Number | 001-13149 |
Entity Registrant Name | STRYKER CORP |
Entity Incorporation, State or Country Code | MI |
Entity Tax Identification Number | 38-1239739 |
Entity Address, Address Line One | 2825 Airview Boulevard |
Entity Address, City or Town | Kalamazoo, |
Entity Address, State or Province | MI |
Entity Address, Postal Zip Code | 49002 |
City Area Code | (269) |
Local Phone Number | 385-2600 |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 379,894,650 |
Amendment Flag | false |
Document Fiscal Year Focus | 2023 |
Document Fiscal Period Focus | Q3 |
Entity Central Index Key | 0000310764 |
Current Fiscal Year End Date | --12-31 |
Common Stock | |
Document Information [Line Items] | |
Title of each class | Common Stock, $.10 Par Value |
Trading Symbol | SYK |
Security Exchange Name | NYSE |
Senior Unsecured Notes 1.125% Due 2023 | |
Document Information [Line Items] | |
Title of each class | 1.125% Notes due 2023 |
Trading Symbol | SYK23 |
Security Exchange Name | NYSE |
Senior Unsecured Notes, 0.250% Due 2024 | |
Document Information [Line Items] | |
Title of each class | 0.250% Notes due 2024 |
Trading Symbol | SYK24A |
Security Exchange Name | NYSE |
Senior Unsecured Notes 2.125% due 2027 | |
Document Information [Line Items] | |
Title of each class | 2.125% Notes due 2027 |
Trading Symbol | SYK27 |
Security Exchange Name | NYSE |
Senior Unsecured Notes, 0.750% Due 2029 | |
Document Information [Line Items] | |
Title of each class | 0.750% Notes due 2029 |
Trading Symbol | SYK29 |
Security Exchange Name | NYSE |
Senior Unsecured Notes 2.625% due 2030 | |
Document Information [Line Items] | |
Title of each class | 2.625% Notes due 2030 |
Trading Symbol | SYK30 |
Security Exchange Name | NYSE |
Senior Unsecured Notes, 1.000% Due 2031 | |
Document Information [Line Items] | |
Title of each class | 1.000% Notes due 2031 |
Trading Symbol | SYK31 |
Security Exchange Name | NYSE |
CONSOLIDATED STATEMENTS OF EARN
CONSOLIDATED STATEMENTS OF EARNINGS (Unaudited) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||||
Net sales | $ 4,909 | $ 4,479 | $ 14,683 | $ 13,247 |
Cost of sales | 1,751 | 1,697 | 5,328 | 4,905 |
Gross profit | 3,158 | 2,782 | 9,355 | 8,342 |
Research, development and engineering expenses | 353 | 364 | 1,038 | 1,128 |
Selling, general and administrative expenses | 1,701 | 1,455 | 5,188 | 4,704 |
Recall charges, net | 9 | (4) | 12 | 14 |
Amortization of intangible assets | 164 | 159 | 486 | 469 |
Total operating expenses | 2,227 | 1,974 | 6,724 | 6,315 |
Operating income | 931 | 808 | 2,631 | 2,027 |
Other income (expense), net | (62) | 8 | (184) | (105) |
Earnings before income taxes | 869 | 816 | 2,447 | 1,922 |
Income taxes | 177 | 0 | 425 | 127 |
Net earnings | $ 692 | $ 816 | $ 2,022 | $ 1,795 |
Net earnings per share of common stock: | ||||
Basic (in dollars per share) | $ 1.82 | $ 2.16 | $ 5.33 | $ 4.75 |
Diluted (in dollars per share) | $ 1.80 | $ 2.14 | $ 5.27 | $ 4.70 |
Weighted-average shares outstanding (in millions): | ||||
Basic (in shares) | 379.8 | 378.4 | 379.5 | 378.1 |
Effect of dilutive employee stock compensation (in shares) | 4.2 | 3.4 | 4.2 | 4.1 |
Diluted (in shares) | 384 | 381.8 | 383.7 | 382.2 |
Cash dividends declared per share of common stock (in dollars per share) | $ 0.75 | $ 0.695 | $ 2.25 | $ 2.085 |
CONSOLIDATED STATEMENTS OF EA_2
CONSOLIDATED STATEMENTS OF EARNINGS (Unaudited)(Parenthetical) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||||
Anti-dilutive shares excluded from calculation of dilutive employee stock options (in shares) | 0 | 5 | 0 | 4.2 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net earnings | $ 692 | $ 816 | $ 2,022 | $ 1,795 |
Other comprehensive income (loss), net of tax: | ||||
Marketable securities | 0 | 0 | 0 | (1) |
Pension plans | (1) | 10 | (4) | 17 |
Unrealized gains (losses) on designated hedges | 2 | 8 | 4 | 33 |
Financial statement translation | 80 | 179 | (28) | 393 |
Total other comprehensive income (loss), net of tax | 81 | 197 | (28) | 442 |
Comprehensive income | $ 773 | $ 1,013 | $ 1,994 | $ 2,237 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 1,860 | $ 1,844 |
Marketable securities | 76 | 84 |
Accounts receivable, less allowance of $187 ($154 in 2022) | 3,276 | 3,565 |
Inventories: | ||
Materials and supplies | 1,299 | 1,006 |
Work in process | 342 | 348 |
Finished goods | 3,242 | 2,641 |
Total inventories | 4,883 | 3,995 |
Prepaid expenses and other current assets | 950 | 787 |
Total current assets | 11,045 | 10,275 |
Property, plant and equipment: | ||
Land, buildings and improvements | 1,650 | 1,739 |
Machinery and equipment | 4,505 | 4,066 |
Total property, plant and equipment | 6,155 | 5,805 |
Less allowance for depreciation | 3,049 | 2,835 |
Property, plant and equipment, net | 3,106 | 2,970 |
Goodwill | 15,138 | 14,880 |
Other intangibles, net | 4,731 | 4,885 |
Noncurrent deferred income tax assets | 1,406 | 1,410 |
Other noncurrent assets | 2,616 | 2,464 |
Total assets | 38,042 | 36,884 |
Current liabilities | ||
Accounts payable | 1,296 | 1,413 |
Accrued compensation | 1,223 | 1,149 |
Income taxes | 407 | 292 |
Dividends payable | 285 | 284 |
Accrued product liabilities | 224 | 230 |
Accrued expenses and other liabilities | 1,715 | 1,744 |
Current maturities of debt | 2,308 | 1,191 |
Total current liabilities | 7,458 | 6,303 |
Long-term debt, excluding current maturities | 10,382 | 11,857 |
Income taxes | 465 | 641 |
Other noncurrent liabilities | 1,832 | 1,467 |
Total liabilities | 20,137 | 20,268 |
Shareholders' equity | ||
Common stock, $0.10 par value | 38 | 38 |
Additional paid-in capital | 2,183 | 2,034 |
Retained earnings | 15,933 | 14,765 |
Accumulated other comprehensive loss | (249) | (221) |
Total shareholders' equity | 17,905 | 16,616 |
Total liabilities and shareholders' equity | $ 38,042 | $ 36,884 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts receivable | $ 187 | $ 154 |
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) - USD ($) shares in Millions, $ in Millions | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) |
Beginning balance at Dec. 31, 2021 | $ 38 | $ 1,890 | $ 13,480 | $ (531) | |
Beginning balance (in shares) at Dec. 31, 2021 | 377.5 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock under stock option and benefit plans (in shares) | 0.9 | ||||
Issuance of common stock under stock compensation and benefit plans | $ 0 | (2) | |||
Share-based compensation | 140 | ||||
Net earnings | $ 1,795 | 1,795 | |||
Cash dividends declared | (789) | ||||
Other comprehensive income (loss) | 442 | 442 | |||
Ending balance at Sep. 30, 2022 | 16,463 | $ 38 | 2,028 | 14,486 | (89) |
Ending balance (in shares) at Sep. 30, 2022 | 378.4 | ||||
Beginning balance at Jun. 30, 2022 | $ 38 | 1,989 | 13,933 | (286) | |
Beginning balance (in shares) at Jun. 30, 2022 | 378.3 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock under stock option and benefit plans (in shares) | 0.1 | ||||
Issuance of common stock under stock compensation and benefit plans | $ 0 | 6 | |||
Share-based compensation | 33 | ||||
Net earnings | 816 | 816 | |||
Cash dividends declared | (263) | ||||
Other comprehensive income (loss) | 197 | 197 | |||
Ending balance at Sep. 30, 2022 | 16,463 | $ 38 | 2,028 | 14,486 | (89) |
Ending balance (in shares) at Sep. 30, 2022 | 378.4 | ||||
Beginning balance at Dec. 31, 2022 | 16,616 | $ 38 | 2,034 | 14,765 | (221) |
Beginning balance (in shares) at Dec. 31, 2022 | 378.7 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock under stock option and benefit plans (in shares) | 1.2 | ||||
Issuance of common stock under stock compensation and benefit plans | $ 0 | (16) | |||
Share-based compensation | 165 | ||||
Net earnings | 2,022 | 2,022 | |||
Cash dividends declared | (854) | ||||
Other comprehensive income (loss) | (28) | (28) | |||
Ending balance at Sep. 30, 2023 | 17,905 | $ 38 | 2,183 | 15,933 | (249) |
Ending balance (in shares) at Sep. 30, 2023 | 379.9 | ||||
Beginning balance at Jun. 30, 2023 | $ 38 | 2,127 | 15,526 | (330) | |
Beginning balance (in shares) at Jun. 30, 2023 | 379.8 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock under stock option and benefit plans (in shares) | 0.1 | ||||
Issuance of common stock under stock compensation and benefit plans | $ 0 | 4 | |||
Share-based compensation | 52 | ||||
Net earnings | 692 | 692 | |||
Cash dividends declared | (285) | ||||
Other comprehensive income (loss) | 81 | 81 | |||
Ending balance at Sep. 30, 2023 | $ 17,905 | $ 38 | $ 2,183 | $ 15,933 | $ (249) |
Ending balance (in shares) at Sep. 30, 2023 | 379.9 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Operating activities | ||
Net earnings | $ 2,022 | $ 1,795 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation | 292 | 276 |
Amortization of intangible assets | 486 | 469 |
Asset impairments | 12 | 18 |
Share-based compensation | 165 | 140 |
Recall charges, net | 12 | 14 |
Sale of inventory stepped-up to fair value at acquisition | 0 | 12 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 266 | (186) |
Inventories | (922) | (754) |
Accounts payable | (118) | 111 |
Accrued expenses and other liabilities | 165 | 5 |
Recall-related payments | (28) | (26) |
Income taxes | (69) | (262) |
Other, net | (100) | 9 |
Net cash provided by operating activities | 2,183 | 1,621 |
Investing activities | ||
Acquisitions, net of cash acquired | (390) | (2,563) |
Purchases of marketable securities | (41) | (43) |
Proceeds from sales of marketable securities | 49 | 40 |
Purchases of property, plant and equipment | (430) | (400) |
Proceeds from settlement of net investment hedges | 0 | 197 |
Other investing, net | 2 | 7 |
Net cash used in investing activities | (810) | (2,762) |
Financing activities | ||
Proceeds (payments) on short-term borrowings, net | 540 | (376) |
Proceeds from issuance of long-term debt | 0 | 1,500 |
Payments on long-term debt | (852) | (502) |
Payments of dividends | (854) | (788) |
Cash paid for taxes from withheld shares | (121) | (89) |
Other financing, net | (21) | (48) |
Net cash provided by (used in) financing activities | (1,308) | (303) |
Effect of exchange rate changes on cash and cash equivalents | (49) | (80) |
Change in cash and cash equivalents | 16 | (1,524) |
Cash and cash equivalents at beginning of period | 1,844 | 2,944 |
Cash and cash equivalents at end of period | $ 1,860 | $ 1,420 |
Basis Of Presentation
Basis Of Presentation | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | BASIS OF PRESENTATION General Information Management believes the accompanying unaudited Consolidated Financial Statements contain all adjustments, including normal recurring items, considered necessary to fairly present the financial position of Stryker Corporation and its consolidated subsidiaries ("Stryker," the "Company," "we," "us" or "our") on September 30, 2023 and the results of operations for the three and nine months 2023. The results of operations included in these Consolidated Financial Statements may not necessarily be indicative of our annual results. These statements should be read in conjunction with our Annual Report on Form 10-K for 2022. Certain immaterial reclassifications have been made to prior year's segment operating income to conform with current year presentation in our Consolidated Financial Statements. New Accounting Pronouncements Not Yet Adopted We evaluate all Accounting Standards Updates (ASUs) issued by the Financial Accounting Standards Board (FASB) for consideration of their applicability. ASUs not included in our disclosures were assessed and determined to be either not applicable or are not expected to have a material impact on our Consolidated Financial Statements. |
Revenue Recognition
Revenue Recognition | 9 Months Ended |
Sep. 30, 2023 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | REVENUE RECOGNITION Our policies for recognizing sales have not changed from those described in our Annual Report on Form 10-K for 2022. We disaggregate our net sales by business and geographic location for each of our segments as we believe it best depicts how the nature, amount, timing and certainty of our net sales and cash flows are affected by economic factors. Beginning in the first quarter 2023 we consolidated Other MedSurg and Neurotechnology into Endoscopy as Other MedSurg and Neurotechnology (primarily Sustainability Solutions) has been fully integrated into our Endoscopy business. Endoscopy includes sales related to Other of $84 and $72 for the three months 2023 and 2022 and $252 and $218 for the nine months 2023 and 2022. We have reflected these changes in all historical periods presented. Net Sales by Business Three Months Nine Months 2023 2022 2023 2022 MedSurg and Neurotechnology: Instruments $ 628 $ 535 $ 1,833 $ 1,626 Endoscopy 738 662 2,141 1,946 Medical 798 765 2,417 2,095 Neurovascular 311 294 906 901 Neuro Cranial 384 332 1,112 992 $ 2,859 $ 2,588 $ 8,409 $ 7,560 Orthopaedics and Spine: Knees $ 515 $ 481 $ 1,643 $ 1,445 Hips 362 347 1,130 1,038 Trauma and Extremities 752 672 2,287 2,033 Spine 291 280 871 849 Other 130 111 343 322 $ 2,050 $ 1,891 $ 6,274 $ 5,687 Total $ 4,909 $ 4,479 $ 14,683 $ 13,247 Net Sales by Geography Three Months 2023 Three Months 2022 United States International United States International MedSurg and Neurotechnology: Instruments $ 503 $ 125 $ 425 $ 110 Endoscopy 610 128 551 111 Medical 660 138 625 140 Neurovascular 120 191 110 184 Neuro Cranial 315 69 274 58 $ 2,208 $ 651 $ 1,985 $ 603 Orthopaedics and Spine: Knees $ 385 $ 130 $ 365 $ 116 Hips 231 131 225 122 Trauma and Extremities 550 202 494 178 Spine 217 74 206 74 Other 87 43 85 26 $ 1,470 $ 580 $ 1,375 $ 516 Total $ 3,678 $ 1,231 $ 3,360 $ 1,119 Net Sales by Geography Nine Months 2023 Nine Months 2022 United States International United States International MedSurg and Neurotechnology: Instruments $ 1,465 $ 368 $ 1,290 $ 336 Endoscopy 1,742 399 1,585 361 Medical 1,954 463 1,686 409 Neurovascular 361 545 333 568 Neuro Cranial 910 202 819 173 $ 6,432 $ 1,977 $ 5,713 $ 1,847 Orthopaedics and Spine: Knees $ 1,207 $ 436 $ 1,078 $ 367 Hips 716 414 657 381 Trauma and Extremities 1,663 624 1,470 563 Spine 650 221 615 234 Other 233 110 243 79 $ 4,469 $ 1,805 $ 4,063 $ 1,624 Total $ 10,901 $ 3,782 $ 9,776 $ 3,471 Contract Assets and Liabilities On September 30, 2023 and December 31, 2022 contract assets recorded in our Consolidated Balance Sheets were not significant. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive (Loss) Income (AOCI) | 9 Months Ended |
Sep. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive (Loss) Income (AOCI) | ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME (AOCI) Three Months 2023 Marketable Securities Pension Plans Hedges Financial Statement Translation Total Beginning $ (1) $ 28 $ 54 $ (411) $ (330) OCI 1 (1) 11 133 144 Income taxes — 1 (2) (47) (48) Reclassifications to: Cost of sales — — (7) — (7) Other (income) expense, net (1) (1) (2) (8) (12) Income taxes — — 2 2 4 Net OCI — (1) 2 80 81 Ending $ (1) $ 27 $ 56 $ (331) $ (249) |
Derivative Instruments
Derivative Instruments | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | DERIVATIVE INSTRUMENTS We use operational and economic hedges, foreign currency exchange forward contracts, net investment hedges (both derivative and non-derivative financial instruments) and interest rate derivative instruments to manage the impact of currency exchange and interest rate fluctuations on earnings, cash flow and equity. We do not enter into derivative instruments for speculative purposes. We are exposed to potential credit loss in the event of nonperformance by counterparties on our outstanding derivative instruments but do not anticipate nonperformance by any of our counterparties. Should a counterparty default, our maximum loss exposure is the asset balance of the instrument. We have not changed our hedging strategies, accounting practices or objectives from those disclosed in our Annual Report on Form 10-K for 2022. Foreign Currency Hedges September 2023 Cash Flow Net Investment Non-Designated Total Gross notional amount $ 838 $ 1,583 $ 4,726 $ 7,147 Maximum term in years 3.1 Fair value: Other current assets $ 31 $ 95 $ 86 $ 212 Other noncurrent assets 1 11 — 12 Other current liabilities (8) — (6) (14) Other noncurrent liabilities (1) (12) — (13) Total fair value $ 23 $ 94 $ 80 $ 197 December 2022 Cash Flow Net Investment Non-Designated Total Gross notional amount $ 1,053 $ 1,598 $ 3,417 $ 6,068 Maximum term in years 3.9 Fair value: Other current assets $ 20 $ — $ 9 $ 29 Other noncurrent assets 1 89 — 90 Other current liabilities (6) — (79) (85) Other noncurrent liabilities (1) (16) — (17) Total fair value $ 14 $ 73 $ (70) $ 17 We had €1.5 billion at September 30, 2023 and December 31, 2022 in certain forward currency contracts designated as net investment hedges to hedge a portion of our investments in certain of our entities with functional currencies denominated in Euros. In addition to these derivative financial instruments designated as net investment hedges, we had €4.9 billion and €4.4 billion at September 30, 2023 and December 31, 2022 of senior unsecured notes designated as net investment hedges to selectively hedge portions of our investment in certain international subsidiaries. The currency effects of our Euro-denominated senior unsecured notes are reflected in AOCI within shareholders' equity where they offset gains and losses recorded on our net investment in international subsidiaries. The total after-tax gain (loss) recognized in OCI related to designated net investment hedges was $42 in the nine months 2023. Net Currency Exchange Rate Gains (Losses) Derivative Three Months Nine Months instrument: Recorded in: 2023 2022 2023 2022 Cash Flow Cost of sales $ 7 $ 7 $ 29 $ 10 Net Investment Other income (expense), net 8 8 25 30 Non-Designated Other income (expense), net 4 (1) 13 2 Total $ 19 $ 14 $ 67 $ 42 Pretax gains (losses) on derivatives designated as cash flow hedges of $35 and net investment hedges of $31 recorded in AOCI are expected to be reclassified to cost of sales and other income (expense), net in earnings within 12 months of September 30, 2023. This cash flow hedge reclassification is primarily due to the sale of inventory that includes previously hedged purchases. A component of the AOCI amounts related to net investment hedges is reclassified over the life of the hedge instruments as we elected to exclude the initial value of the component related to the spot-forward difference from the effectiveness assessment. Interest Rate Hedges Pretax gains of $5 recorded in AOCI related to other interest rate hedges closed in conjunction with debt issuances are expected to be reclassified to other income (expense), net in earnings within 12 months of September 30, 2023. The cash flow effect of interest rate hedges is recorded in cash flow from operations. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS Our policies for managing risk related to foreign currency, interest rates, credit and markets and our process for determining fair value have not changed from those described in our Annual Report on Form 10-K for 2022. In the third quarter 2022 we determined that certain commercial and regulatory milestones related to technology acquired in the purchase of Mobius Imaging and Cardan Robotics were no longer probable of being achieved and recorded a $110 reduction in the fair value of contingent consideration reflected in selling, general and administrative expenses. In the second quarter 2023 we recorded $192 of contingent consideration related to the acquisition of Cerus Endovascular Limited (Cerus) described in Note 7. There were no significant transfers into or out of any level of the fair value hierarchy in 2023. Assets Measured at Fair Value September December 2023 2022 Cash and cash equivalents $ 1,860 $ 1,844 Trading marketable securities 189 166 Level 1 - Assets $ 2,049 $ 2,010 Available-for-sale marketable securities: Corporate and asset-backed debt securities $ 38 $ 42 Foreign government debt securities — 1 United States agency debt securities 5 3 United States treasury debt securities 32 36 Certificates of deposit 1 2 Total available-for-sale marketable securities $ 76 $ 84 Foreign currency exchange forward contracts 224 119 Level 2 - Assets $ 300 $ 203 Total assets measured at fair value $ 2,349 $ 2,213 Liabilities Measured at Fair Value September December 2023 2022 Deferred compensation arrangements $ 189 $ 166 Level 1 - Liabilities $ 189 $ 166 Foreign currency exchange forward contracts $ 27 $ 102 Level 2 - Liabilities $ 27 $ 102 Contingent consideration: Beginning $ 121 $ 306 Additions 192 1 Change in estimate and foreign exchange (8) (137) Settlements (22) (49) Ending $ 283 $ 121 Level 3 - Liabilities $ 283 $ 121 Total liabilities measured at fair value $ 499 $ 389 Fair Value of Available for Sale Securities by Maturity September December 2023 2022 Due in one year or less $ 43 $ 53 Due after one year through three years $ 33 $ 31 On September 30, 2023 and December 31, 2022 the aggregate difference between the cost and fair value of available-for-sale marketable securities was nominal. Interest on cash and cash equivalents, short-term investments and marketable securities income was $15 and $26 in the three months and $40 and $61 in the nine months 2023 and 2022, which was recorded in other income (expense), net. |
Contingencies and Commitments
Contingencies and Commitments | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies and Commitments | CONTINGENCIES AND COMMITMENTS We are involved in various ongoing proceedings, legal actions and claims arising in the normal course of business, including proceedings related to product, labor, intellectual property and other matters, the most significant of which are more fully described below. The outcomes of these matters will generally not be known for prolonged periods of time. In certain of the legal proceedings the claimants seek damages as well as other compensatory and equitable relief that could result in the payment of significant claims and settlements and/or the imposition of injunctions or other equitable relief. For legal matters for which management had sufficient information to reasonably estimate our future obligations, a liability representing management's best estimate of the probable loss, or the minimum of the range of probable losses when a best estimate within the range is not known, is recorded. The estimates are based on consultation with legal counsel, previous settlement experience and settlement strategies. If actual outcomes are less favorable than those estimated by management, additional expense may be incurred, which could unfavorably affect future operating results. We are self-insured for certain claims and expenses. The ultimate cost to us with respect to product liability claims could be materially different than the amount of the current estimates and accruals and could have a material adverse effect on our financial position, results of operations and cash flows. In April 2022 the United States District Court for the District of Delaware issued a judgment following a jury verdict in favor of PureWick Corporation (PureWick) for its 2019 complaint seeking patent infringement damages related to our PrimaFit and PrimoFit products. Following a jury trial, the court awarded damages related to this complaint and we recorded charges of $28 in March 2022. Stryker plans to appeal the results of the trial. If ultimately successful, PureWick may seek to recover its legal fees. In June 2022 PureWick filed a motion to enhance the damages awarded, which the court denied in March 2023. In 2022 PureWick also filed a separate complaint seeking additional patent infringement damages related to our current PrimaFit products. A trial for this matter is currently set for December 2023. We are currently investigating whether certain business activities in certain foreign countries violated provisions of the Foreign Corrupt Practices Act (FCPA) and have engaged outside counsel to conduct these investigations. We have been contacted by the United States Securities and Exchange Commission, United States Department of Justice and certain other regulatory authorities and are cooperating with these agencies. At this time we are unable to predict the outcome of the investigations or the potential impact, if any, on our financial statements. Recall Matters We have conducted voluntary recalls of certain products, including our Rejuvenate and ABG II Modular-Neck hip stems and certain lot-specific sizes and offsets of LFIT Anatomic CoCr V40 Femoral Heads. Additionally, we are responsible for certain product liability claims, primarily related to certain hip products sold by Wright Medical Group N.V. (Wright) prior to its 2014 divestiture of the OrthoRecon business. We have incurred, and expect to incur in the future, costs associated with the defense and settlement of claims and lawsuits related to our recalls. Based on the information that has been received, we have recorded reserves of $198, representing our best estimate of probable loss related to recall matters globally. The final outcomes of these matters are dependent on many factors that are difficult to predict. Accordingly the ultimate cost related to these matters may be materially different than the amount of our current estimate and accruals and could have a material adverse effect on our results of operations and cash flows. Leases September 30 December 31 2023 2022 Right-of-use assets $ 491 $ 473 Lease liabilities, current $ 130 $ 121 Lease liabilities, non-current $ 369 $ 357 Other information: Weighted-average remaining lease term (years) 5.5 5.5 Weighted-average discount rate 3.73 % 3.22 % Three Months Nine Months 2023 2022 2023 2022 Operating lease cost $ 48 $ 37 $ 127 $ 110 |
Acquisitions
Acquisitions | 9 Months Ended |
Sep. 30, 2023 | |
Business Combinations [Abstract] | |
Acquisitions | ACQUISITIONS We acquire stock in companies and various assets that continue to support our capital deployment and product development strategies. In the nine months 2023 and 2022 cash paid for acquisitions, net of cash acquired was $390 and $2,563. On May 2, 2023 we acquired Cerus for net cash consideration of $289 and up to $225 in future milestone payments that had a fair value of $192 at the acquisition date. Cerus designs, develops and manufactures neurovascular products used for the treatment of hemorrhagic stroke. Cerus is part of our Neurovascular business within MedSurg and Neurotechnology. Goodwill attributable to the acquisition is not deductible for tax purposes. In February 2022 we completed the acquisition of Vocera Communications, Inc. (Vocera) for $79.25 per share, or an aggregate purchase price of $2.6 billion, net of cash acquired ($3.0 billion including convertible notes). Vocera is a leader in the digital care coordination and communication category. Vocera is part of our Medical business within MedSurg and Neurotechnology. Goodwill attributable to the acquisition reflects the strategic benefits of expanding our presence in adjacent markets, diversifying our product portfolio, advancing innovations, and accelerating our digital aspirations. This goodwill is not deductible for tax purposes . In the nine months 2022 note holders elected to redeem the 1.50% and 0.50% convertible notes assumed in the Vocera acquisition for $101 and $324. These repayments are classified as financing activities in the Consolidated Statements of Cash Flows. Share-based awards for Vocera employees vested upon our acquisition and a charge of $132 was recorded in selling, general and administrative expenses in 2022. Purchase price allocations for our significant acquisitions are: Purchase Price Allocation of Acquired Net Assets 2023 2022 Cerus Vocera Tangible assets acquired: Accounts receivable $ 1 $ 33 Inventory 2 13 Deferred income tax assets 7 91 Other assets 1 92 Debt — (425) Deferred income tax liabilities (60) (193) Other liabilities (22) (117) Intangible assets: Customer and distributor relationships — 603 Developed technology 240 175 Trade name — 18 Goodwill 312 2,273 Purchase price, net of cash acquired of $7 and $281 $ 481 $ 2,563 Weighted average amortization period at acquisition (years): Developed technologies 13 6 Customer relationships — 15 Trademarks — 9 The purchase price allocation for Cerus is based on preliminary valuations, primarily related to developed technology and deferred income taxes. Our estimates and assumptions are subject to change within the measurement period. The purchase price allocation for Vocera was finalized in the first quarter 2023 without material adjustments. Consolidated Estimated Amortization Expense Remainder of 2023 2024 2025 2026 2027 $ 159 $ 607 $ 590 $ 533 $ 512 |
Debt and Credit Facilities
Debt and Credit Facilities | 9 Months Ended |
Sep. 30, 2023 | |
Long-Term Debt, Unclassified [Abstract] | |
Debt And Credit Facilities | DEBT AND CREDIT FACILITIES We have lines of credit issued by various financial institutions that are available to fund our day-to-day operating needs. Our credit facilities require us to comply with financial and other covenants. We were in compliance with all covenants on September 30, 2023. In August 2023 we repaid the remaining balance of $650 on the $1.5 billion term loan scheduled to mature on February 22, 2025. We also issued €500 of floating rate senior notes due November 16, 2024. The notes bear interest at a base rate based on the three-month Euro Interbank Offered Rate (EURIBOR) plus 0.3%. The notes are callable at February 16, 2024, May 16, 2024 or October 16, 2024 either by us or at the option of the notes holders. These notes are classified within current maturities of debt on our Consolidated Balance Sheet as of September 30, 2023. In the first quarter 2022 our Board of Directors approved an increase to the maximum amount of commercial paper that can be outstanding from $1,500 to $2,250. On September 30, 2023 there were no borrowings outstanding under our revolving credit facility or our commercial paper program which allows for maturities up to 397 days from the date of issuance. Summary of Total Debt September December 2023 2022 Rate Due Senior unsecured notes: 1.125% November 30, 2023 $ 580 $ 585 0.600% December 1, 2023 600 599 3.375% May 15, 2024 598 596 Various November 16, 2024 527 — 0.250% December 3, 2024 895 903 1.150% June 15, 2025 648 647 3.375% November 1, 2025 749 748 3.500% March 15, 2026 996 995 2.125% November 30, 2027 788 795 3.650% March 7, 2028 598 597 0.750% March 1, 2029 841 848 1.950% June 15, 2030 992 991 2.625% November 30, 2030 679 684 1.000% December 3, 2031 783 790 4.100% April 1, 2043 392 392 4.375% May 15, 2044 396 396 4.625% March 15, 2046 983 983 2.900% June 15, 2050 642 642 Term loan — 850 Other 3 7 Total debt $ 12,690 $ 13,048 Less current maturities 2,308 1,191 Total long-term debt $ 10,382 $ 11,857 September December 2023 2022 Unamortized debt issuance costs $ 45 $ 52 Borrowing capacity on existing facilities $ 2,160 $ 2,162 Fair value of senior unsecured notes $ 11,333 $ 10,910 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXESOur effective tax rates were 20.4% and 17.4% in the three and nine months 2023 and 0.0% and 6.6% in the three and nine months 2022. The effective tax rates for the three and nine months 2023 and 2022 reflect the continued lower effective income tax rates as a result of our European operations and certain discrete tax items. The effective tax rates for the three and nine months 2022 also reflect income tax benefits of $162 due to the effective settlement of the United States federal income tax audit for years 2014 through 2018. In addition, the effective tax rate for the nine months 2022 reflects the reversal of deferred income tax on undistributed earnings of foreign subsidiaries as our revised capital plan determined that certain cash outside of the United States would no longer need to be repatriated during the period previously contemplated. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION Three Months Nine Months 2023 2022 2023 2022 MedSurg and Neurotechnology $ 2,859 $ 2,588 $ 8,409 $ 7,560 Orthopaedics and Spine 2,050 1,891 6,274 5,687 Net sales $ 4,909 $ 4,479 $ 14,683 $ 13,247 MedSurg and Neurotechnology $ 859 $ 611 $ 2,266 $ 1,870 Orthopaedics and Spine 499 534 1,701 1,616 Segment operating income $ 1,358 $ 1,145 $ 3,967 $ 3,486 Items not allocated to segments: Corporate and other $ (209) $ (144) $ (596) $ (488) Acquisition and integration-related costs 1 78 (7) (108) Amortization of intangible assets (164) (159) (486) (469) Structural optimization and other special charges (28) (58) (142) (229) Medical device regulations (19) (38) (74) (98) Recall-related matters (9) 4 (12) (14) Regulatory and legal matters 1 (20) (19) (53) Consolidated operating income $ 931 $ 808 $ 2,631 $ 2,027 There w ere no significant changes to total assets by segment from the information provided in our Annual Report on Form 10-K for 2022. |
Basis Of Presentation (Policies
Basis Of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements Not Yet Adopted We evaluate all Accounting Standards Updates (ASUs) issued by the Financial Accounting Standards Board (FASB) for consideration of their applicability. ASUs not included in our disclosures were assessed and determined to be either not applicable or are not expected to have a material impact on our Consolidated Financial Statements. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Revenue Recognition [Abstract] | |
Schedule of Disaggregated Revenue | We disaggregate our net sales by business and geographic location for each of our segments as we believe it best depicts how the nature, amount, timing and certainty of our net sales and cash flows are affected by economic factors. Beginning in the first quarter 2023 we consolidated Other MedSurg and Neurotechnology into Endoscopy as Other MedSurg and Neurotechnology (primarily Sustainability Solutions) has been fully integrated into our Endoscopy business. Endoscopy includes sales related to Other of $84 and $72 for the three months 2023 and 2022 and $252 and $218 for the nine months 2023 and 2022. We have reflected these changes in all historical periods presented. Net Sales by Business Three Months Nine Months 2023 2022 2023 2022 MedSurg and Neurotechnology: Instruments $ 628 $ 535 $ 1,833 $ 1,626 Endoscopy 738 662 2,141 1,946 Medical 798 765 2,417 2,095 Neurovascular 311 294 906 901 Neuro Cranial 384 332 1,112 992 $ 2,859 $ 2,588 $ 8,409 $ 7,560 Orthopaedics and Spine: Knees $ 515 $ 481 $ 1,643 $ 1,445 Hips 362 347 1,130 1,038 Trauma and Extremities 752 672 2,287 2,033 Spine 291 280 871 849 Other 130 111 343 322 $ 2,050 $ 1,891 $ 6,274 $ 5,687 Total $ 4,909 $ 4,479 $ 14,683 $ 13,247 Net Sales by Geography Three Months 2023 Three Months 2022 United States International United States International MedSurg and Neurotechnology: Instruments $ 503 $ 125 $ 425 $ 110 Endoscopy 610 128 551 111 Medical 660 138 625 140 Neurovascular 120 191 110 184 Neuro Cranial 315 69 274 58 $ 2,208 $ 651 $ 1,985 $ 603 Orthopaedics and Spine: Knees $ 385 $ 130 $ 365 $ 116 Hips 231 131 225 122 Trauma and Extremities 550 202 494 178 Spine 217 74 206 74 Other 87 43 85 26 $ 1,470 $ 580 $ 1,375 $ 516 Total $ 3,678 $ 1,231 $ 3,360 $ 1,119 Net Sales by Geography Nine Months 2023 Nine Months 2022 United States International United States International MedSurg and Neurotechnology: Instruments $ 1,465 $ 368 $ 1,290 $ 336 Endoscopy 1,742 399 1,585 361 Medical 1,954 463 1,686 409 Neurovascular 361 545 333 568 Neuro Cranial 910 202 819 173 $ 6,432 $ 1,977 $ 5,713 $ 1,847 Orthopaedics and Spine: Knees $ 1,207 $ 436 $ 1,078 $ 367 Hips 716 414 657 381 Trauma and Extremities 1,663 624 1,470 563 Spine 650 221 615 234 Other 233 110 243 79 $ 4,469 $ 1,805 $ 4,063 $ 1,624 Total $ 10,901 $ 3,782 $ 9,776 $ 3,471 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable | Changes in contract liabilities during the nine months 2023 were as follows: September 30 2023 Beginning contract liabilities $ 741 Revenue recognized from beginning of year contract liabilities (306) Net advance consideration received during the period 353 Ending contract liabilities $ 788 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive (Loss) Income (AOCI) (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | Three Months 2023 Marketable Securities Pension Plans Hedges Financial Statement Translation Total Beginning $ (1) $ 28 $ 54 $ (411) $ (330) OCI 1 (1) 11 133 144 Income taxes — 1 (2) (47) (48) Reclassifications to: Cost of sales — — (7) — (7) Other (income) expense, net (1) (1) (2) (8) (12) Income taxes — — 2 2 4 Net OCI — (1) 2 80 81 Ending $ (1) $ 27 $ 56 $ (331) $ (249) |
Reclassification out of Accumulated Other Comprehensive Income | Three Months 2023 Marketable Securities Pension Plans Hedges Financial Statement Translation Total Beginning $ (1) $ 28 $ 54 $ (411) $ (330) OCI 1 (1) 11 133 144 Income taxes — 1 (2) (47) (48) Reclassifications to: Cost of sales — — (7) — (7) Other (income) expense, net (1) (1) (2) (8) (12) Income taxes — — 2 2 4 Net OCI — (1) 2 80 81 Ending $ (1) $ 27 $ 56 $ (331) $ (249) |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | September 2023 Cash Flow Net Investment Non-Designated Total Gross notional amount $ 838 $ 1,583 $ 4,726 $ 7,147 Maximum term in years 3.1 Fair value: Other current assets $ 31 $ 95 $ 86 $ 212 Other noncurrent assets 1 11 — 12 Other current liabilities (8) — (6) (14) Other noncurrent liabilities (1) (12) — (13) Total fair value $ 23 $ 94 $ 80 $ 197 December 2022 Cash Flow Net Investment Non-Designated Total Gross notional amount $ 1,053 $ 1,598 $ 3,417 $ 6,068 Maximum term in years 3.9 Fair value: Other current assets $ 20 $ — $ 9 $ 29 Other noncurrent assets 1 89 — 90 Other current liabilities (6) — (79) (85) Other noncurrent liabilities (1) (16) — (17) Total fair value $ 14 $ 73 $ (70) $ 17 |
Schedule of Derivatives Instruments Statements of Financial Performance and Financial Position, Location | Derivative Three Months Nine Months instrument: Recorded in: 2023 2022 2023 2022 Cash Flow Cost of sales $ 7 $ 7 $ 29 $ 10 Net Investment Other income (expense), net 8 8 25 30 Non-Designated Other income (expense), net 4 (1) 13 2 Total $ 19 $ 14 $ 67 $ 42 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | Assets Measured at Fair Value September December 2023 2022 Cash and cash equivalents $ 1,860 $ 1,844 Trading marketable securities 189 166 Level 1 - Assets $ 2,049 $ 2,010 Available-for-sale marketable securities: Corporate and asset-backed debt securities $ 38 $ 42 Foreign government debt securities — 1 United States agency debt securities 5 3 United States treasury debt securities 32 36 Certificates of deposit 1 2 Total available-for-sale marketable securities $ 76 $ 84 Foreign currency exchange forward contracts 224 119 Level 2 - Assets $ 300 $ 203 Total assets measured at fair value $ 2,349 $ 2,213 Liabilities Measured at Fair Value September December 2023 2022 Deferred compensation arrangements $ 189 $ 166 Level 1 - Liabilities $ 189 $ 166 Foreign currency exchange forward contracts $ 27 $ 102 Level 2 - Liabilities $ 27 $ 102 Contingent consideration: Beginning $ 121 $ 306 Additions 192 1 Change in estimate and foreign exchange (8) (137) Settlements (22) (49) Ending $ 283 $ 121 Level 3 - Liabilities $ 283 $ 121 Total liabilities measured at fair value $ 499 $ 389 |
Investments Classified by Contractual Maturity Date | Fair Value of Available for Sale Securities by Maturity September December 2023 2022 Due in one year or less $ 43 $ 53 Due after one year through three years $ 33 $ 31 |
Contingencies and Commitments (
Contingencies and Commitments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Lease, Cost | Leases September 30 December 31 2023 2022 Right-of-use assets $ 491 $ 473 Lease liabilities, current $ 130 $ 121 Lease liabilities, non-current $ 369 $ 357 Other information: Weighted-average remaining lease term (years) 5.5 5.5 Weighted-average discount rate 3.73 % 3.22 % Three Months Nine Months 2023 2022 2023 2022 Operating lease cost $ 48 $ 37 $ 127 $ 110 |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | Purchase price allocations for our significant acquisitions are: Purchase Price Allocation of Acquired Net Assets 2023 2022 Cerus Vocera Tangible assets acquired: Accounts receivable $ 1 $ 33 Inventory 2 13 Deferred income tax assets 7 91 Other assets 1 92 Debt — (425) Deferred income tax liabilities (60) (193) Other liabilities (22) (117) Intangible assets: Customer and distributor relationships — 603 Developed technology 240 175 Trade name — 18 Goodwill 312 2,273 Purchase price, net of cash acquired of $7 and $281 $ 481 $ 2,563 Weighted average amortization period at acquisition (years): Developed technologies 13 6 Customer relationships — 15 Trademarks — 9 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Consolidated Estimated Amortization Expense Remainder of 2023 2024 2025 2026 2027 $ 159 $ 607 $ 590 $ 533 $ 512 |
Debt and Credit Facilities (Tab
Debt and Credit Facilities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Long-Term Debt, Unclassified [Abstract] | |
Schedule of Long-term Debt Instruments | Summary of Total Debt September December 2023 2022 Rate Due Senior unsecured notes: 1.125% November 30, 2023 $ 580 $ 585 0.600% December 1, 2023 600 599 3.375% May 15, 2024 598 596 Various November 16, 2024 527 — 0.250% December 3, 2024 895 903 1.150% June 15, 2025 648 647 3.375% November 1, 2025 749 748 3.500% March 15, 2026 996 995 2.125% November 30, 2027 788 795 3.650% March 7, 2028 598 597 0.750% March 1, 2029 841 848 1.950% June 15, 2030 992 991 2.625% November 30, 2030 679 684 1.000% December 3, 2031 783 790 4.100% April 1, 2043 392 392 4.375% May 15, 2044 396 396 4.625% March 15, 2046 983 983 2.900% June 15, 2050 642 642 Term loan — 850 Other 3 7 Total debt $ 12,690 $ 13,048 Less current maturities 2,308 1,191 Total long-term debt $ 10,382 $ 11,857 September December 2023 2022 Unamortized debt issuance costs $ 45 $ 52 Borrowing capacity on existing facilities $ 2,160 $ 2,162 Fair value of senior unsecured notes $ 11,333 $ 10,910 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
Sales and Other Financial Information by Business Segment | Three Months Nine Months 2023 2022 2023 2022 MedSurg and Neurotechnology $ 2,859 $ 2,588 $ 8,409 $ 7,560 Orthopaedics and Spine 2,050 1,891 6,274 5,687 Net sales $ 4,909 $ 4,479 $ 14,683 $ 13,247 MedSurg and Neurotechnology $ 859 $ 611 $ 2,266 $ 1,870 Orthopaedics and Spine 499 534 1,701 1,616 Segment operating income $ 1,358 $ 1,145 $ 3,967 $ 3,486 Items not allocated to segments: Corporate and other $ (209) $ (144) $ (596) $ (488) Acquisition and integration-related costs 1 78 (7) (108) Amortization of intangible assets (164) (159) (486) (469) Structural optimization and other special charges (28) (58) (142) (229) Medical device regulations (19) (38) (74) (98) Recall-related matters (9) 4 (12) (14) Regulatory and legal matters 1 (20) (19) (53) Consolidated operating income $ 931 $ 808 $ 2,631 $ 2,027 |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregated Sales Analysis (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Disaggregation of Revenue [Line Items] | ||||
Net sales | $ 4,909 | $ 4,479 | $ 14,683 | $ 13,247 |
United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 3,678 | 3,360 | 10,901 | 9,776 |
International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 1,231 | 1,119 | 3,782 | 3,471 |
Other MedSurg and Neurotechnology | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 84 | 72 | 252 | 218 |
MedSurg and Neurotechnology | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 2,859 | 2,588 | 8,409 | 7,560 |
MedSurg and Neurotechnology | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 2,208 | 1,985 | 6,432 | 5,713 |
MedSurg and Neurotechnology | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 651 | 603 | 1,977 | 1,847 |
MedSurg and Neurotechnology | Instruments | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 628 | 535 | 1,833 | 1,626 |
MedSurg and Neurotechnology | Instruments | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 503 | 425 | 1,465 | 1,290 |
MedSurg and Neurotechnology | Instruments | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 125 | 110 | 368 | 336 |
MedSurg and Neurotechnology | Endoscopy | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 738 | 662 | 2,141 | 1,946 |
MedSurg and Neurotechnology | Endoscopy | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 610 | 551 | 1,742 | 1,585 |
MedSurg and Neurotechnology | Endoscopy | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 128 | 111 | 399 | 361 |
MedSurg and Neurotechnology | Medical | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 798 | 765 | 2,417 | 2,095 |
MedSurg and Neurotechnology | Medical | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 660 | 625 | 1,954 | 1,686 |
MedSurg and Neurotechnology | Medical | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 138 | 140 | 463 | 409 |
MedSurg and Neurotechnology | Neurovascular | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 311 | 294 | 906 | 901 |
MedSurg and Neurotechnology | Neurovascular | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 120 | 110 | 361 | 333 |
MedSurg and Neurotechnology | Neurovascular | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 191 | 184 | 545 | 568 |
MedSurg and Neurotechnology | Neuro Cranial | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 384 | 332 | 1,112 | 992 |
MedSurg and Neurotechnology | Neuro Cranial | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 315 | 274 | 910 | 819 |
MedSurg and Neurotechnology | Neuro Cranial | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 69 | 58 | 202 | 173 |
Orthopaedics and Spine | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 2,050 | 1,891 | 6,274 | 5,687 |
Orthopaedics and Spine | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 1,470 | 1,375 | 4,469 | 4,063 |
Orthopaedics and Spine | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 580 | 516 | 1,805 | 1,624 |
Orthopaedics and Spine | Knees | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 515 | 481 | 1,643 | 1,445 |
Orthopaedics and Spine | Knees | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 385 | 365 | 1,207 | 1,078 |
Orthopaedics and Spine | Knees | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 130 | 116 | 436 | 367 |
Orthopaedics and Spine | Hips | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 362 | 347 | 1,130 | 1,038 |
Orthopaedics and Spine | Hips | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 231 | 225 | 716 | 657 |
Orthopaedics and Spine | Hips | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 131 | 122 | 414 | 381 |
Orthopaedics and Spine | Trauma and Extremities | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 752 | 672 | 2,287 | 2,033 |
Orthopaedics and Spine | Trauma and Extremities | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 550 | 494 | 1,663 | 1,470 |
Orthopaedics and Spine | Trauma and Extremities | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 202 | 178 | 624 | 563 |
Orthopaedics and Spine | Spine | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 291 | 280 | 871 | 849 |
Orthopaedics and Spine | Spine | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 217 | 206 | 650 | 615 |
Orthopaedics and Spine | Spine | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 74 | 74 | 221 | 234 |
Orthopaedics and Spine | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 130 | 111 | 343 | 322 |
Orthopaedics and Spine | Other | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | 87 | 85 | 233 | 243 |
Orthopaedics and Spine | Other | International | ||||
Disaggregation of Revenue [Line Items] | ||||
Net sales | $ 43 | $ 26 | $ 110 | $ 79 |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Revenue Recognition [Abstract] | ||
Contract liabilities | $ 788 | $ 741 |
Revenue Recognition - Changes i
Revenue Recognition - Changes in Contract Liabilities (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Movement In Contract Liabilities [Roll Forward] | |
Beginning contract liabilities | $ 741 |
Revenue recognized from beginning of year contract liabilities | (306) |
Net advance consideration received during the period | 353 |
Ending contract liabilities | $ 788 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive (Loss) Income (AOCI) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
AOCI, at beginning of period | $ (330) | $ (286) | $ (221) | $ (531) |
OCI | 144 | 334 | 50 | 727 |
Income taxes | (48) | (123) | (31) | (252) |
Reclassification to: cost of sales | 1,751 | 1,697 | 5,328 | 4,905 |
Reclassification to: Other (income) expense, net | (62) | 8 | (184) | (105) |
Reclassification to: Income taxes | (177) | 0 | (425) | (127) |
Net OCI | 81 | 197 | (28) | 442 |
AOCI, at end of period | (249) | (89) | (249) | (89) |
Reclassification out of Accumulated Other Comprehensive Income | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Reclassification to: cost of sales | (7) | (7) | (29) | (10) |
Reclassification to: Other (income) expense, net | (12) | (7) | (32) | (27) |
Reclassification to: Income taxes | 4 | 0 | 14 | 4 |
Net OCI | 81 | 197 | (28) | 442 |
Marketable Securities | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
AOCI, at beginning of period | (1) | (1) | (1) | 0 |
OCI | 1 | 0 | 0 | (1) |
Income taxes | 0 | 0 | 0 | 0 |
AOCI, at end of period | (1) | (1) | (1) | (1) |
Marketable Securities | Reclassification out of Accumulated Other Comprehensive Income | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Reclassification to: cost of sales | 0 | 0 | 0 | 0 |
Reclassification to: Other (income) expense, net | (1) | 0 | 0 | 0 |
Reclassification to: Income taxes | 0 | 0 | 0 | 0 |
Net OCI | 0 | 0 | 0 | (1) |
Pension Plans | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
AOCI, at beginning of period | 28 | (148) | 31 | (155) |
OCI | (1) | 11 | 2 | 15 |
Income taxes | 1 | (3) | (4) | (3) |
AOCI, at end of period | 27 | (138) | 27 | (138) |
Pension Plans | Reclassification out of Accumulated Other Comprehensive Income | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Reclassification to: cost of sales | 0 | 0 | 0 | 0 |
Reclassification to: Other (income) expense, net | (1) | 3 | (3) | 7 |
Reclassification to: Income taxes | 0 | (1) | 1 | (2) |
Net OCI | (1) | 10 | (4) | 17 |
Hedges | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
AOCI, at beginning of period | 54 | 65 | 52 | 40 |
OCI | 11 | 19 | 38 | 55 |
Income taxes | (2) | (1) | (8) | (7) |
AOCI, at end of period | 56 | 73 | 56 | 73 |
Hedges | Reclassification out of Accumulated Other Comprehensive Income | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Reclassification to: cost of sales | (7) | (7) | (29) | (10) |
Reclassification to: Other (income) expense, net | (2) | (2) | (4) | (4) |
Reclassification to: Income taxes | 2 | (1) | 7 | (1) |
Net OCI | 2 | 8 | 4 | 33 |
Financial Statement Translation | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
AOCI, at beginning of period | (411) | (202) | (303) | (416) |
OCI | 133 | 304 | 10 | 658 |
Income taxes | (47) | (119) | (19) | (242) |
AOCI, at end of period | (331) | (23) | (331) | (23) |
Financial Statement Translation | Reclassification out of Accumulated Other Comprehensive Income | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Reclassification to: cost of sales | 0 | 0 | 0 | 0 |
Reclassification to: Other (income) expense, net | (8) | (8) | (25) | (30) |
Reclassification to: Income taxes | 2 | 2 | 6 | 7 |
Net OCI | $ 80 | $ 179 | $ (28) | $ 393 |
Derivative Instruments (Forward
Derivative Instruments (Forward Currency Exchange Contracts) (Details) - Foreign Exchange Contract $ in Millions, € in Billions | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2023 | Sep. 30, 2023 USD ($) | Sep. 30, 2023 EUR (€) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 EUR (€) | |
Derivative [Line Items] | |||||
Derivative, notional amount | $ 7,147 | $ 6,068 | |||
Maximum Remaining Maturity of Foreign Currency Derivatives | 3 years 10 months 24 days | 3 years 1 month 6 days | |||
Total fair value | $ 197 | 17 | |||
Other current assets | |||||
Derivative [Line Items] | |||||
Derivative assets | 212 | 29 | |||
Other noncurrent assets | |||||
Derivative [Line Items] | |||||
Derivative assets | 12 | 90 | |||
Other current liabilities | |||||
Derivative [Line Items] | |||||
Derivative liabilities | (14) | (85) | |||
Other noncurrent liabilities | |||||
Derivative [Line Items] | |||||
Derivative liabilities | (13) | (17) | |||
Non-Designated | |||||
Derivative [Line Items] | |||||
Derivative, notional amount | 4,726 | 3,417 | |||
Total fair value | 80 | (70) | |||
Non-Designated | Other current assets | |||||
Derivative [Line Items] | |||||
Derivative assets | 86 | 9 | |||
Non-Designated | Other noncurrent assets | |||||
Derivative [Line Items] | |||||
Derivative assets | 0 | 0 | |||
Non-Designated | Other current liabilities | |||||
Derivative [Line Items] | |||||
Derivative liabilities | (6) | (79) | |||
Non-Designated | Other noncurrent liabilities | |||||
Derivative [Line Items] | |||||
Derivative liabilities | 0 | 0 | |||
Cash Flow | Designated as Hedging Instrument | |||||
Derivative [Line Items] | |||||
Derivative, notional amount | 838 | 1,053 | |||
Total fair value | 23 | 14 | |||
Cash Flow | Designated as Hedging Instrument | Other current assets | |||||
Derivative [Line Items] | |||||
Derivative assets | 31 | 20 | |||
Cash Flow | Designated as Hedging Instrument | Other noncurrent assets | |||||
Derivative [Line Items] | |||||
Derivative assets | 1 | 1 | |||
Cash Flow | Designated as Hedging Instrument | Other current liabilities | |||||
Derivative [Line Items] | |||||
Derivative liabilities | (8) | (6) | |||
Cash Flow | Designated as Hedging Instrument | Other noncurrent liabilities | |||||
Derivative [Line Items] | |||||
Derivative liabilities | (1) | (1) | |||
Net Investment | Designated as Hedging Instrument | |||||
Derivative [Line Items] | |||||
Derivative, notional amount | 1,583 | € 1.5 | 1,598 | € 1.5 | |
Total fair value | 94 | 73 | |||
Net Investment | Designated as Hedging Instrument | Other current assets | |||||
Derivative [Line Items] | |||||
Derivative assets | 95 | 0 | |||
Net Investment | Designated as Hedging Instrument | Other noncurrent assets | |||||
Derivative [Line Items] | |||||
Derivative assets | 11 | 89 | |||
Net Investment | Designated as Hedging Instrument | Other current liabilities | |||||
Derivative [Line Items] | |||||
Derivative liabilities | 0 | 0 | |||
Net Investment | Designated as Hedging Instrument | Other noncurrent liabilities | |||||
Derivative [Line Items] | |||||
Derivative liabilities | $ (12) | $ (16) |
Derivative Instruments (Narrati
Derivative Instruments (Narrative) (Details) $ in Millions, € in Billions | 9 Months Ended | |||
Sep. 30, 2023 USD ($) | Sep. 30, 2023 EUR (€) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 EUR (€) | |
Foreign Exchange Contract | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, notional amount | $ 7,147 | $ 6,068 | ||
Designated as Hedging Instrument | Foreign Exchange Contract | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
After-tax gain (loss) recognized in AOCI related to designated net investment hedges | 42 | |||
Cash flow hedge gain (loss) to be reclassified within twelve months | 35 | |||
Net investment hedges expected to be reclassified to cost of sales and other income (expense) | 31 | |||
Designated as Hedging Instrument | Foreign Exchange Contract | Net Investment | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, notional amount | 1,583 | € 1.5 | $ 1,598 | € 1.5 |
Designated as Hedging Instrument | Interest Rate Swap | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Cash flow hedge gain (loss) to be reclassified within twelve months | $ 5 | |||
Designated as Hedging Instrument | Embedded Derivative Financial Instruments | Net Investment | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Derivative, notional amount | € | € 4.9 | € 4.4 |
Derivative Instruments (Income
Derivative Instruments (Income Statement Location) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Foreign Exchange Contract | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net currency exchange rate gains (losses) | $ 19 | $ 14 | $ 67 | $ 42 |
Foreign Exchange Contract | Cost of sales | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net currency exchange rate gains (losses) | 7 | 7 | 29 | 10 |
Foreign Exchange Contract | Other income (expense), net | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net currency exchange rate gains (losses) | 4 | (1) | 13 | 2 |
Net Investment | Other income (expense), net | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net currency exchange rate gains (losses) | $ 8 | $ 8 | $ 25 | $ 30 |
Fair Value Measurements (Valuat
Fair Value Measurements (Valuation Of Financial Instruments By Pricing Categories) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | Dec. 31, 2022 | |
Assets Measured at Fair Value | |||
Available-for-sale securities, current | $ 76 | $ 76 | $ 84 |
Total assets measured at fair value | 2,349 | 2,349 | 2,213 |
Contingent consideration: | |||
Total liabilities measured at fair value | 499 | 499 | 389 |
Fair Value, Inputs, Level 1 | |||
Assets Measured at Fair Value | |||
Cash and cash equivalents | 1,860 | 1,860 | 1,844 |
Trading marketable securities | 189 | 189 | 166 |
Total assets measured at fair value | 2,049 | 2,049 | 2,010 |
Liabilities | |||
Deferred compensation arrangements | 189 | 189 | 166 |
Contingent consideration: | |||
Total liabilities measured at fair value | 189 | 189 | 166 |
Fair Value, Inputs, Level 2 | |||
Assets Measured at Fair Value | |||
Available-for-sale securities, current | 76 | 76 | 84 |
Total assets measured at fair value | 300 | 300 | 203 |
Contingent consideration: | |||
Total liabilities measured at fair value | 27 | 27 | 102 |
Fair Value, Inputs, Level 2 | Foreign currency exchange forward contracts | |||
Assets Measured at Fair Value | |||
Derivative asset | 224 | 224 | 119 |
Liabilities | |||
Foreign currency exchange forward contracts | 27 | 27 | 102 |
Fair Value, Inputs, Level 2 | Corporate and asset-backed debt securities | |||
Assets Measured at Fair Value | |||
Available-for-sale securities, current | 38 | 38 | 42 |
Fair Value, Inputs, Level 2 | Foreign government debt securities | |||
Assets Measured at Fair Value | |||
Available-for-sale securities, current | 0 | 0 | 1 |
Fair Value, Inputs, Level 2 | United States agency debt securities | |||
Assets Measured at Fair Value | |||
Available-for-sale securities, current | 5 | 5 | 3 |
Fair Value, Inputs, Level 2 | United States treasury debt securities | |||
Assets Measured at Fair Value | |||
Available-for-sale securities, current | 32 | 32 | 36 |
Fair Value, Inputs, Level 2 | Certificates of deposit | |||
Assets Measured at Fair Value | |||
Available-for-sale securities, current | 1 | 1 | 2 |
Fair Value, Inputs, Level 3 | |||
Contingent consideration: | |||
Beginning | 121 | 306 | |
Additions | 192 | 1 | |
Change in estimate and foreign exchange | (8) | (137) | |
Settlements | (22) | (49) | |
Ending | 283 | 283 | 121 |
Total liabilities measured at fair value | $ 283 | $ 283 | $ 121 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets and Liabilities Measured At Fair Value On A Recurring Basis Using Unobservable Inputs (Level 3)) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value Disclosures [Abstract] | ||
Due in one year or less | $ 43 | $ 53 |
Due after one year through three years | $ 33 | $ 31 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Fair Value Disclosures [Abstract] | |||||
Reduction of contingent consideration | $ 110 | ||||
Gain on sale of marketable securities | $ 15 | $ 26 | $ 40 | $ 61 |
Contingencies and Commitments_2
Contingencies and Commitments (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Loss Contingencies [Line Items] | |||||
Estimate of possible loss | $ 198 | $ 198 | |||
Recall-related payments | (28) | $ (26) | |||
Recall charges, net | $ 9 | $ (4) | $ 12 | $ 14 | |
PureWick | |||||
Loss Contingencies [Line Items] | |||||
Charges during period | $ 28 |
Contingencies and Commitments -
Contingencies and Commitments - Leases (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |||||
Right-of-use assets | $ 491 | $ 491 | $ 473 | ||
Lease liabilities, current | 130 | 130 | 121 | ||
Lease liabilities, non-current | $ 369 | $ 369 | $ 357 | ||
Other information: | |||||
Weighted-average remaining lease term (years) | 5 years 6 months | 5 years 6 months | 5 years 6 months | ||
Weighted-average discount rate | 3.73% | 3.73% | 3.22% | ||
Operating lease cost | $ 48 | $ 37 | $ 127 | $ 110 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
May 02, 2023 | Feb. 28, 2022 | Sep. 30, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | |
Business Acquisition [Line Items] | |||||
Acquisitions, net of cash acquired | $ 390 | $ 2,563 | |||
Payments of long-term debt | $ 852 | $ 502 | |||
Vocera | |||||
Business Acquisition [Line Items] | |||||
Aggregate purchase price of acquisitions | $ 2,600 | ||||
Consideration transferred (in dollars per share) | $ 79.25 | ||||
Business combination, consideration transferred, including convertible notes | $ 3,000 | ||||
Share-based payment expense | $ 132 | ||||
Vocera | 1.50% Convertible Notes | |||||
Business Acquisition [Line Items] | |||||
Stated interest rate | 1.50% | ||||
Payments of long-term debt | $ 101 | ||||
Vocera | 0.50% Convertible Notes | |||||
Business Acquisition [Line Items] | |||||
Stated interest rate | 0.50% | ||||
Payments of long-term debt | $ 324 | ||||
Cerus | |||||
Business Acquisition [Line Items] | |||||
Aggregate purchase price of acquisitions | $ 289 | ||||
Business acquisition, future milestone payments (up to) | 225 | ||||
Fair value of contingent consideration | $ 192 |
Acquisitions (Allocation Of The
Acquisitions (Allocation Of The Preliminary Purchase Price To The Acquired Net Assets (Details) - USD ($) $ in Millions | 1 Months Ended | |||
May 02, 2023 | Feb. 28, 2022 | Sep. 30, 2023 | Dec. 31, 2022 | |
Business Acquisition [Line Items] | ||||
Goodwill | $ 15,138 | $ 14,880 | ||
Vocera | ||||
Business Acquisition [Line Items] | ||||
Accounts receivable | $ 33 | |||
Inventory | 13 | |||
Deferred income tax assets | 91 | |||
Other assets | 92 | |||
Debt | (425) | |||
Deferred income tax liabilities | (193) | |||
Other liabilities | (117) | |||
Goodwill | 2,273 | |||
Purchase price, net of cash acquired of $7 and $281 | 2,563 | |||
Cash acquired from acquisition | 281 | |||
Vocera | Customer and distributor relationships | ||||
Business Acquisition [Line Items] | ||||
Intangible assets acquired | 603 | |||
Vocera | Developed technology | ||||
Business Acquisition [Line Items] | ||||
Intangible assets acquired | $ 175 | |||
Weighted average amortization period at acquisition (years) | 6 years | |||
Vocera | Trade name | ||||
Business Acquisition [Line Items] | ||||
Intangible assets acquired | $ 18 | |||
Vocera | Customer relationships | ||||
Business Acquisition [Line Items] | ||||
Weighted average amortization period at acquisition (years) | 15 years | |||
Vocera | Trademarks | ||||
Business Acquisition [Line Items] | ||||
Weighted average amortization period at acquisition (years) | 9 years | |||
Cerus | ||||
Business Acquisition [Line Items] | ||||
Accounts receivable | $ 1 | |||
Inventory | 2 | |||
Deferred income tax assets | 7 | |||
Other assets | 1 | |||
Debt | 0 | |||
Deferred income tax liabilities | (60) | |||
Other liabilities | (22) | |||
Goodwill | 312 | |||
Purchase price, net of cash acquired of $7 and $281 | 481 | |||
Cash acquired from acquisition | 7 | |||
Cerus | Customer and distributor relationships | ||||
Business Acquisition [Line Items] | ||||
Intangible assets acquired | 0 | |||
Cerus | Developed technology | ||||
Business Acquisition [Line Items] | ||||
Intangible assets acquired | $ 240 | |||
Weighted average amortization period at acquisition (years) | 13 years | |||
Cerus | Trade name | ||||
Business Acquisition [Line Items] | ||||
Intangible assets acquired | $ 0 |
Acquisitions (Future Amortizati
Acquisitions (Future Amortization Expense) (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Business Combinations [Abstract] | |
Remainder of 2023 | $ 159 |
2024 | 607 |
2025 | 590 |
2026 | 533 |
2027 | $ 512 |
Debt and Credit Facilities (Det
Debt and Credit Facilities (Details) | 1 Months Ended | 9 Months Ended | |||||
Aug. 31, 2023 USD ($) | Sep. 30, 2023 USD ($) | Aug. 31, 2023 EUR (€) | Dec. 31, 2022 USD ($) | Mar. 31, 2022 USD ($) | Feb. 28, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Line of Credit Facility [Line Items] | |||||||
Commercial paper | $ 0 | ||||||
Other | 3,000,000 | $ 7,000,000 | |||||
Total debt | 12,690,000,000 | 13,048,000,000 | |||||
Less current maturities | 2,308,000,000 | 1,191,000,000 | |||||
Less current maturities | 10,382,000,000 | 11,857,000,000 | |||||
Unamortized debt issuance costs | 45,000,000 | 52,000,000 | |||||
Borrowing capacity on existing facilities | 2,160,000,000 | 2,162,000,000 | |||||
Fair value of senior unsecured notes | 11,333,000,000 | 10,910,000,000 | |||||
Revolving Credit Facility | |||||||
Line of Credit Facility [Line Items] | |||||||
Borrowings outstanding under credit facility | $ 0 | ||||||
Senior Unsecured Notes 1.125% Due 2023 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 1.125% | ||||||
Unsecured debt | $ 580,000,000 | 585,000,000 | |||||
Senior Unsecured Notes, 0.600% Due 2023 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 0.60% | ||||||
Unsecured debt | $ 600,000,000 | 599,000,000 | |||||
Senior Unsecured Notes 3.375% due 2024 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 3.375% | ||||||
Unsecured debt | $ 598,000,000 | 596,000,000 | |||||
Senior Unsecured Notes, 0.250% Due 2024 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 0.25% | ||||||
Unsecured debt | $ 895,000,000 | 903,000,000 | |||||
Senior Unsecured Notes, 1.150% Due 2025 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 1.15% | ||||||
Unsecured debt | $ 648,000,000 | 647,000,000 | |||||
Senior Unsecured Notes 3.375% due 2025 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 3.375% | ||||||
Unsecured debt | $ 749,000,000 | 748,000,000 | |||||
Senior Unsecured Notes 3.500% due 2026 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 3.50% | ||||||
Unsecured debt | $ 996,000,000 | 995,000,000 | |||||
Senior Unsecured Notes 2.125% due 2027 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 2.125% | ||||||
Unsecured debt | $ 788,000,000 | 795,000,000 | |||||
Senior Unsecured Notes 3.650% due 2028 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 3.65% | ||||||
Unsecured debt | $ 598,000,000 | 597,000,000 | |||||
Senior Unsecured Notes 0.750% due 2029 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 0.75% | ||||||
Unsecured debt | $ 841,000,000 | 848,000,000 | |||||
Senior Unsecured Notes, 1.950% Due 2030 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 1.95% | ||||||
Unsecured debt | $ 992,000,000 | 991,000,000 | |||||
Senior Unsecured Notes 2.625% due 2030 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 2.625% | ||||||
Unsecured debt | $ 679,000,000 | 684,000,000 | |||||
Senior Unsecured Notes, 1.000% Due 2031 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 1% | ||||||
Unsecured debt | $ 783,000,000 | 790,000,000 | |||||
Senior Unsecured Notes 4.100% due 2043 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 4.10% | ||||||
Unsecured debt | $ 392,000,000 | 392,000,000 | |||||
Senior Unsecured Notes 4.375% due 2044 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 4.375% | ||||||
Unsecured debt | $ 396,000,000 | 396,000,000 | |||||
Senior Unsecured Notes 4.625% due 2046 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 4.625% | ||||||
Unsecured debt | $ 983,000,000 | 983,000,000 | |||||
Senior Unsecured Notes, 2.900% due 2050 | |||||||
Line of Credit Facility [Line Items] | |||||||
Stated interest rate | 2.90% | ||||||
Unsecured debt | $ 642,000,000 | 642,000,000 | |||||
Term Loan | |||||||
Line of Credit Facility [Line Items] | |||||||
Repayments of debt | $ 650,000,000 | ||||||
Debt instrument, face amount | $ 1,500,000,000 | ||||||
Long-term debt | $ 0 | 850,000,000 | |||||
Commercial Paper | |||||||
Line of Credit Facility [Line Items] | |||||||
Line of credit facility, maximum borrowing capacity | $ 2,250,000,000 | $ 1,500,000,000 | |||||
Debt instrument, maturity | 397 days | ||||||
Floating Rate Senior Notes Due November 16, 2024 | |||||||
Line of Credit Facility [Line Items] | |||||||
Unsecured debt | $ 527,000,000 | $ 0 | |||||
Floating Rate Senior Notes Due November 16, 2024 | Senior Notes | |||||||
Line of Credit Facility [Line Items] | |||||||
Debt instrument, face amount | € | € 500,000,000 | ||||||
Floating Rate Senior Notes Due November 16, 2024 | Euro Interbank Offered Rate | Senior Notes | |||||||
Line of Credit Facility [Line Items] | |||||||
Basis spread on variable rate (as a percent) | 0.30% |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate reconciliation, percent | 20.40% | 0% | 17.40% | 6.60% |
Tax settlement benefit amount | $ 162 | $ 162 |
Segment Information (Sales And
Segment Information (Sales And Other Financial Information By Business Segment) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 4,909 | $ 4,479 | $ 14,683 | $ 13,247 |
Segment operating income | 931 | 808 | 2,631 | 2,027 |
Amortization of intangible assets | (164) | (159) | (486) | (469) |
Recall-related matters | (9) | 4 | (12) | (14) |
MedSurg and Neurotechnology | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,859 | 2,588 | 8,409 | 7,560 |
Orthopaedics and Spine | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,050 | 1,891 | 6,274 | 5,687 |
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Segment operating income | 1,358 | 1,145 | 3,967 | 3,486 |
Operating Segments | MedSurg and Neurotechnology | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,859 | 2,588 | ||
Segment operating income | 859 | 611 | 2,266 | 1,870 |
Operating Segments | Orthopaedics and Spine | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,050 | 1,891 | 6,274 | 5,687 |
Segment operating income | 499 | 534 | 1,701 | 1,616 |
Corporate and other | ||||
Segment Reporting Information [Line Items] | ||||
Segment operating income | (209) | (144) | (596) | (488) |
Segment Reconciling Items | ||||
Segment Reporting Information [Line Items] | ||||
Acquisition and integration-related costs | 1 | 78 | (7) | (108) |
Amortization of intangible assets | (164) | (159) | (486) | (469) |
Structural optimization and other special charges | (28) | (58) | (142) | (229) |
Medical device regulations | (19) | (38) | (74) | (98) |
Recall-related matters | (9) | 4 | (12) | (14) |
Regulatory and legal matters | $ 1 | $ (20) | $ (19) | $ (53) |