Cover Page
Cover Page - shares | 3 Months Ended | |
Apr. 03, 2020 | May 01, 2020 | |
Entity Information [Line Items] | ||
Document type | 10-Q | |
Document quarterly report | true | |
Document period end date | Apr. 3, 2020 | |
Document transition report | false | |
Entity file number | 001-08089 | |
Entity registrant name | DANAHER CORPORATION | |
Amendment flag | false | |
Document fiscal year focus | 2020 | |
Document fiscal period focus | Q1 | |
Current fiscal year end date | --12-31 | |
Entity central index key | 0000313616 | |
Entity incorporation, state code | DE | |
Entity tax identification number | 59-1995548 | |
Entity address, address line one | 2200 Pennsylvania Avenue, N.W., Suite 800W | |
Entity address, city | Washington, | |
Entity address, state | DC | |
Entity address, postal zip code | 20037-1701 | |
City area code | 202 | |
Local phone number | 828-0850 | |
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 | 697,511,185 | |
Common stock | ||
Entity Information [Line Items] | ||
Title of 12(b) security | Common stock, $0.01 par value | |
Trading symbol | DHR | |
Security exchange name | NYSE | |
Preferred stock | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 4.75% Mandatory Convertible Preferred Stock, Series A, without par value | |
Trading symbol | DHR.PRA | |
Security exchange name | NYSE | |
Floating rate senior notes due 2022 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | Floating Rate Senior Notes due 2022 | |
Trading symbol | DHR F 06/30/22 | |
Security exchange name | NYSE | |
1.7% senior notes due 2022 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.700% Senior Notes due 2022 | |
Trading symbol | DHR 1.7 01/04/22 | |
Security exchange name | NYSE | |
1.7% senior notes due 2024 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.700% Senior Notes due 2024 | |
Trading symbol | DHR 1.7 03/30/24 | |
Security exchange name | NYSE | |
2.5% senior notes due 2025 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 2.500% Senior Notes due 2025 | |
Trading symbol | DHR 2.5 07/08/25 | |
Security exchange name | NYSE | |
0.2% senior notes due 2026 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 0.200% Senior Notes due 2026 | |
Trading symbol | DHR 0.2 03/18/26 | |
Security exchange name | NYSE | |
2.1% senior notes due 2026 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 2.100% Senior Notes due 2026 | |
Trading symbol | DHR 2.1 09/30/26 | |
Security exchange name | NYSE | |
1.2% senior notes due 2027 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.200% Senior Notes due 2027 | |
Trading symbol | DHR 1.2 06/30/27 | |
Security exchange name | NYSE | |
0.45% senior notes due 2028 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 0.450% Senior Notes due 2028 | |
Trading symbol | DHR 0.45 03/18/28 | |
Security exchange name | NYSE | |
2.5% senior notes due 2030 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 2.500% Senior Notes due 2030 | |
Trading symbol | DHR 2.5 03/30/30 | |
Security exchange name | NYSE | |
0.75% senior notes due 2031 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 0.750% Senior Notes due 2031 | |
Trading symbol | DHR 0.75 09/18/31 | |
Security exchange name | NYSE | |
1.35% senior notes due 2039 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.350% Senior Notes due 2039 | |
Trading symbol | DHR 1.35 09/18/39 | |
Security exchange name | NYSE | |
1.8% senior notes due 2049 | ||
Entity Information [Line Items] | ||
Title of 12(b) security | 1.800% Senior Notes due 2049 | |
Trading symbol | DHR 1.8 09/18/49 | |
Security exchange name | NYSE |
Consolidated Condensed Balance
Consolidated Condensed Balance Sheets - USD ($) $ in Millions | Apr. 03, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and equivalents | $ 4,367.7 | $ 19,912.3 |
Trade accounts receivable, net | 3,433.3 | 3,191.4 |
Inventories: | ||
Finished goods | 1,408.9 | 833.5 |
Work in process | 498 | 284.9 |
Raw materials | 668.1 | 509.9 |
Total inventories | 2,575 | 1,628.3 |
Prepaid expenses and other current assets | 766.6 | 864.6 |
Total current assets | 11,142.6 | 25,596.6 |
Property, plant and equipment, net of accumulated depreciation of $2,739.6 and $2,761.4, respectively | 2,988.5 | 2,302 |
Other long-term assets | 2,561.1 | 1,720.8 |
Goodwill | 33,725.5 | 22,712.5 |
Other intangible assets, net | 18,512.6 | 9,749.7 |
Total assets | 68,930.3 | 62,081.6 |
Current liabilities: | ||
Notes payable and current portion of long-term debt | 3,234.3 | 212.4 |
Trade accounts payable | 1,748.3 | 1,514.4 |
Accrued expenses and other liabilities | 3,483 | 3,205.3 |
Total current liabilities | 8,465.6 | 4,932.1 |
Other long-term liabilities | 6,661.1 | 5,350.9 |
Long-term debt | 22,737.2 | 21,516.7 |
Stockholders’ equity: | ||
Preferred stock, without par value, 15.0 million shares authorized; 1.65 million shares of 4.75% Mandatory Convertible Preferred Stock, Series A, issued and outstanding as of both April 3, 2020 and December 31, 2019 | 1,599.6 | 1,599.6 |
Common stock - $0.01 par value, 2.0 billion shares authorized; 837.3 million issued and 697.0 million outstanding as of April 3, 2020; 835.5 million issued and 695.5 million outstanding as of December 31, 2019 | 8.4 | 8.4 |
Additional paid-in capital | 7,629.8 | 7,564.6 |
Retained earnings | 24,608.6 | 24,166.3 |
Accumulated other comprehensive income (loss) | (2,791.3) | (3,068.3) |
Total Danaher stockholders’ equity | 31,055.1 | 30,270.6 |
Noncontrolling interests | 11.3 | 11.3 |
Total stockholders’ equity | 31,066.4 | 30,281.9 |
Total liabilities and stockholders’ equity | $ 68,930.3 | $ 62,081.6 |
Consolidated Condensed Balanc_2
Consolidated Condensed Balance Sheets Consolidated Condensed Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Millions | Apr. 03, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Property, plant and equipment, net of accumulated depreciation | $ 2,739.6 | $ 2,761.4 |
Allowance for doubtful accounts | $ 119 | $ 103.7 |
Preferred stock, dividend rate, percent | 4.75% | 4.75% |
Preferred stock, no par value | $ 0 | $ 0 |
Preferred stock, shares authorized | 15,000 | 15,000 |
Preferred stock, shares issued | 1,650 | 1,650 |
Preferred stock, shares outstanding | 1,650 | 1,650 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 2,000,000 | 2,000,000 |
Common stock, shares issued | 837,300 | 835,500 |
Common stock, shares outstanding | 697,000 | 695,500 |
Consolidated Condensed Statemen
Consolidated Condensed Statements Of Earnings - USD ($) shares in Millions, $ in Millions | 3 Months Ended | ||
Apr. 03, 2020 | Mar. 29, 2019 | ||
Income Statement [Abstract] | |||
Sales | $ 4,343.1 | $ 4,220.2 | |
Cost of sales | (1,900.3) | (1,865.3) | |
Gross profit | 2,442.8 | 2,354.9 | |
Operating costs: | |||
Selling, general and administrative expenses | (1,458.3) | (1,367.7) | |
Research and development expenses | (287) | (267.5) | |
Operating profit | 697.5 | 719.7 | |
Nonoperating income (expense): | |||
Other (expense) income, net | (1.5) | 5.1 | |
Interest expense | (47.4) | (20.5) | |
Interest income | 62.5 | 15.7 | |
Earnings from continuing operations before income taxes | 711.1 | 720 | |
Income taxes | (116) | (387.7) | |
Net earnings from continuing operations | 595.1 | 332.3 | |
Net earnings from discontinued operations, net of income taxes | 0 | 1.5 | |
Net earnings | 595.1 | 333.8 | |
Mandatory convertible preferred stock dividends | (19.6) | (6.5) | |
Net earnings attributable to common stockholders | $ 575.5 | $ 327.3 | |
Net earnings per common share: | |||
Net earnings per share from continuing operations, basic | $ 0.83 | $ 0.46 | |
Net earnings per share from continuing operations, diluted | 0.81 | 0.45 | |
Net earnings per share from discontinued operations, basic | 0 | 0 | |
Net earnings per share from discontinued operations, diluted | 0 | 0 | |
Net earnings per common share, basic | 0.83 | 0.46 | |
Net earnings per common share, diluted | $ 0.81 | $ 0.46 | [1] |
Average common stock and common equivalent shares outstanding: | |||
Basic | 697.2 | 707.6 | |
Diluted | 707.9 | 718.5 | |
[1] | * Net earnings per common share does not add due to rounding. |
Consolidated Condensed Statem_2
Consolidated Condensed Statements Of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Statement of Comprehensive Income [Abstract] | ||
Net earnings | $ 595.1 | $ 333.8 |
Other comprehensive income (loss), net of income taxes: | ||
Foreign currency translation adjustments | (153.9) | (10.8) |
Pension and postretirement plan benefit adjustments | 8.2 | 5.4 |
Unrealized gain (loss) on available-for-sale securities adjustments | 0.6 | 0.4 |
Cash flow hedge adjustments | 422.1 | 0 |
Total other comprehensive income (loss), net of income taxes | 277 | (5) |
Comprehensive income | $ 872.1 | $ 328.8 |
Consolidated Condensed Statem_3
Consolidated Condensed Statement Of Stockholders' Equity - USD ($) $ in Millions | Total | Preferred stock | Common stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive income (loss) | Noncontrolling interests |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Adoption of accounting standards | $ 0 | ||||||
Balance, beginning of period at Dec. 31, 2018 | $ 0 | $ 8.2 | $ 5,834.3 | 25,163 | $ (2,791.1) | $ 12.3 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Issuance of stock | 1,599.6 | 0.1 | 1,443.1 | ||||
Common stock-based award activity | 82.1 | ||||||
Common stock issued in connection with LYONs’ conversions, including tax benefit of $0.0 and $4.7, respectively | 16.8 | ||||||
Net earnings | $ 333.8 | 333.8 | |||||
Dividends declared | (121.8) | ||||||
Mandatory convertible preferred stock cumulative dividends | (6.5) | ||||||
Other comprehensive income (loss) | (5) | (5) | |||||
Change in noncontrolling interests | (0.2) | ||||||
Balance, end of period at Mar. 29, 2019 | 31,568.7 | 1,599.6 | 8.3 | 7,376.3 | 25,368.5 | (2,796.1) | 12.1 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Adoption of accounting standards | (7.6) | ||||||
Balance, beginning of period at Dec. 31, 2019 | 30,281.9 | 1,599.6 | 8.4 | 7,564.6 | 24,166.3 | (3,068.3) | 11.3 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Issuance of stock | 0 | 0 | 0 | ||||
Common stock-based award activity | 64.5 | ||||||
Common stock issued in connection with LYONs’ conversions, including tax benefit of $0.0 and $4.7, respectively | 0.7 | ||||||
Net earnings | 595.1 | 595.1 | |||||
Dividends declared | (125.6) | ||||||
Mandatory convertible preferred stock cumulative dividends | (19.6) | ||||||
Other comprehensive income (loss) | 277 | 277 | |||||
Change in noncontrolling interests | 0 | ||||||
Balance, end of period at Apr. 03, 2020 | $ 31,066.4 | $ 1,599.6 | $ 8.4 | $ 7,629.8 | $ 24,608.6 | $ (2,791.3) | $ 11.3 |
Consolidated Condensed Statem_4
Consolidated Condensed Statement Of Stockholders' Equity Consolidated Condensed Statement Of Stockholders' Equity (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Statement of Stockholders' Equity [Abstract] | ||
Debt conversion, converted instrument, tax benefit | $ 0 | $ 4.7 |
Consolidated Condensed Statem_5
Consolidated Condensed Statements Of Cash Flows - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Cash flows from operating activities: | ||
Net earnings | $ 595.1 | $ 333.8 |
Less: earnings from discontinued operations, net of income taxes | 0 | 1.5 |
Net earnings from continuing operations | 595.1 | 332.3 |
Noncash items: | ||
Depreciation | 141.4 | 138.7 |
Amortization | 156.4 | 157.4 |
Stock-based compensation expense | 45.2 | 35.1 |
Change in trade accounts receivable, net | 181.6 | 72.6 |
Change in inventories | (175.6) | (124.6) |
Change in trade accounts payable | 10 | 7.1 |
Change in prepaid expenses and other assets | 79.1 | 167.5 |
Change in accrued expenses and other liabilities | (207.2) | (73.4) |
Total operating cash provided by continuing operations | 826 | 712.7 |
Total operating cash provided by discontinued operations | (7) | (9.4) |
Net operating cash provided by operating activities | 819 | 703.3 |
Cash flows from investing activities: | ||
Cash paid for acquisitions | (20,734.5) | (308.2) |
Payments for additions to property, plant and equipment | (132.5) | (140.1) |
Proceeds from sales of property, plant and equipment | 0.5 | 0.5 |
Payments for purchases of investments | (37.3) | (43.2) |
All other investing activities | 35.2 | 7.8 |
Total investing cash used in continuing operations | (20,868.6) | (483.2) |
Total investing cash used in discontinued operations | 0 | (15.3) |
Net operating cash used in investing activities | (20,868.6) | (498.5) |
Cash flows from financing activities: | ||
Proceeds from the issuance of common stock in connection with stock-based compensation | 10.3 | 37.3 |
Proceeds from the sale of common stock, net of issuance costs | 0 | 1,443.2 |
Proceeds from the sale of preferred stock, net of issuance costs | 0 | 1,599.6 |
Payment of dividends | (138.1) | (112.2) |
Net proceeds from (repayments of) borrowings (maturities of 90 days or less) | 390.2 | (86.1) |
Proceeds from borrowings (maturities longer than 90 days) | 4,371.4 | 0 |
All other financing activities | (0.3) | (4) |
Net operating cash provided by financing activities | 4,633.5 | 2,877.8 |
Effect of exchange rate changes on cash and equivalents | (128.5) | 39.6 |
Net change in cash and equivalents | (15,544.6) | 3,122.2 |
Beginning balance of cash and equivalents | 19,912.3 | 787.8 |
Ending balance of cash and equivalents | 4,367.7 | 3,910 |
Supplemental disclosures: | ||
Cash interest payments | 39.2 | 42 |
Cash income tax payments | $ 60.9 | $ (6.3) |
General
General | 3 Months Ended |
Apr. 03, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
General | GENERAL The Consolidated Condensed Financial Statements included herein have been prepared by Danaher Corporation (“Danaher” or the “Company”) without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). In this quarterly report, the terms “Danaher” or the “Company” refer to Danaher Corporation, Danaher Corporation and its consolidated subsidiaries, (unless otherwise indicated or the context otherwise requires) or the consolidated subsidiaries of Danaher Corporation, as the context requires. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) have been condensed or omitted pursuant to SEC rules and regulations; however, the Company believes that the disclosures are adequate to make the information presented not misleading. The Consolidated Condensed Financial Statements included herein should be read in conjunction with the financial statements as of and for the year ended December 31, 2019 and the Notes thereto included in the Company’s 2019 Annual Report on Form 10-K filed on February 21, 2020 (the “ 2019 Annual Report”). In the opinion of the Company, the accompanying financial statements contain all adjustments (consisting of only normal recurring accruals) necessary to present fairly the financial position of the Company as of April 3, 2020 and December 31, 2019 , its results of operations for the three -month periods ended April 3, 2020 and March 29, 2019 and its cash flows for each of the three -month periods then ended. Accounting Standards Recently Adopted —In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) , which modifies the disclosures on fair value measurements by removing the requirement to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy and the policy for timing of such transfers. The ASU expands the disclosure requirements for Level 3 fair value measurements, primarily focused on changes in unrealized gains and losses included in other comprehensive income (loss). The ASU is effective for public entities for fiscal years beginning after December 15, 2019, with early adoption permitted. On January 1, 2020, the Company adopted the ASU and the ASU did not have a significant impact on the Company’s Consolidated Condensed Financial Statements . Refer to Note 6 for the Company’s fair value measurement disclosures. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends the impairment model by requiring entities to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. This may result in the earlier recognition of allowances for losses. The ASU is effective for public entities for fiscal years beginning after December 15, 2019, with early adoption permitted. In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments—Credit Losses , which provided additional implementation guidance on the previously issued ASU. On January 1, 2020, the Company adopted the ASU using the modified retrospective transition method. The Company recorded a net decrease to beginning retained earnings of $8 million as of January 1, 2020 due to the cumulative impact of adopting Topic 326. The impact to retained earnings was primarily the result of an increase in the Company’s allowance for doubtful accounts as a result of Topic 326’s requirement to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. As a result of the adoption of the ASU, the Company’s allowance for doubtful accounts as of April 3, 2020 reflects the Company’s best estimate of the expected future losses for its accounts receivables based on the current economic conditions; however, as a result of the uncertainty caused by the coronavirus (COVID-19) pandemic and other factors, these estimates may change and future actual losses may differ from the Company’s estimates. The Company will continue to monitor economic conditions and will revise the estimates of the expected future losses for accounts receivable as necessary. Accounting Standards Not Yet Adopted —In August 2018, the FASB issued ASU No. 2018-14, Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans , which amends ASC 715, Compensation—Retirement Benefits , to add, remove and clarify disclosure requirements related to defined benefit pension and other postretirement plans. The ASU is effective for public entities for fiscal years beginning after December 15, 2020, with early adoption permitted. Management has not yet completed its assessment of the impact of the new standard on the Company’s financial statements. Operating Leases —As of April 3, 2020 and December 31, 2019, operating lease right-of-use assets where the Company was the lessee were $827 million and $764 million , respectively, and are included within other long-term assets in the accompanying Consolidated Condensed Balance Sheets. The associated operating lease liabilities were $860 million and $797 million as of April 3, 2020 and December 31, 2019, respectively, and are included in accrued expenses and other liabilities and other long-term liabilities. Accumulated Other Comprehensive Income (Loss) —Accumulated other comprehensive income (loss) refers to certain gains and losses that under U.S. GAAP are included in comprehensive income (loss) but are excluded from net earnings as these amounts are initially recorded as an adjustment to stockholders’ equity. The changes in accumulated other comprehensive income (loss) by component are summarized below ($ in millions). Foreign currency translation adjustments generally relate to indefinite investments in non-U.S. subsidiaries, as well as the impact from the Company’s hedges of its net investment in foreign operations, including the Company’s cross-currency swap derivatives, net of any tax impacts. Foreign Currency Translation Adjustments Pension & Postretirement Plan Benefit Adjustments Unrealized Gain (Loss) on Available-For-Sale Securities Adjustments Cash Flow Hedge Adjustments Total For the Three-Month Period Ended April 3, 2020: Balance, December 31, 2019 $ (2,173.3 ) $ (781.5 ) $ (0.7 ) $ (112.8 ) $ (3,068.3 ) Other comprehensive income (loss) before reclassifications: (Decrease) increase (131.5 ) — 0.7 650.8 520.0 Income tax impact (22.4 ) — (0.1 ) (118.9 ) (141.4 ) Other comprehensive income (loss) before reclassifications, net of income taxes (153.9 ) — 0.6 531.9 378.6 Amounts reclassified from accumulated other comprehensive income (loss): Increase (decrease) — 10.8 (a) — (138.8 ) (b) (128.0 ) Income tax impact — (2.6 ) — 29.0 26.4 Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 8.2 — (109.8 ) (101.6 ) Net current period other comprehensive income (loss), net of income taxes (153.9 ) 8.2 0.6 422.1 277.0 Balance, April 3, 2020 $ (2,327.2 ) $ (773.3 ) $ (0.1 ) $ 309.3 $ (2,791.3 ) For the Three-Month Period Ended March 29, 2019: Balance, December 31, 2018 $ (2,098.1 ) $ (691.1 ) $ (1.9 ) $ — $ (2,791.1 ) Other comprehensive income (loss) before reclassifications: (Decrease) increase (7.3 ) — 0.5 — (6.8 ) Income tax impact (3.5 ) — (0.1 ) — (3.6 ) Other comprehensive income (loss) before reclassifications, net of income taxes (10.8 ) — 0.4 — (10.4 ) Amounts reclassified from accumulated other comprehensive income (loss): Increase — 7.1 (a) — — 7.1 Income tax impact — (1.7 ) — — (1.7 ) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 5.4 — — 5.4 Net current period other comprehensive income (loss), net of income taxes (10.8 ) 5.4 0.4 — (5.0 ) Balance, March 29, 2019 $ (2,108.9 ) $ (685.7 ) $ (1.5 ) $ — $ (2,796.1 ) (a) This accumulated other comprehensive income (loss) component is included in the computation of net periodic pension cost. Refer to Notes 9 and 11 for additional details. (b) Reflects reclassification to earnings related to hedges of certain long-term debt (refer to Note 8 for additional details). |
Revenue
Revenue | 3 Months Ended |
Apr. 03, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer | REVENUE The following tables present the Company’s revenues disaggregated by geographical region and revenue type for the three -month periods ended April 3, 2020 and March 29, 2019 ($ in millions). Sales taxes and other usage-based taxes collected from customers are excluded from revenue. Life Sciences Diagnostics Environmental & Applied Solutions Total Three-month period ended April 3, 2020: Geographical region: North America $ 620.7 $ 754.7 $ 496.9 $ 1,872.3 Western Europe 471.6 309.8 256.0 1,037.4 Other developed markets 152.8 98.7 30.3 281.8 High-growth markets (a) 405.3 463.8 282.5 1,151.6 Total $ 1,650.4 $ 1,627.0 $ 1,065.7 $ 4,343.1 Revenue type: Recurring $ 1,159.4 $ 1,427.9 $ 619.6 $ 3,206.9 Nonrecurring 491.0 199.1 446.1 1,136.2 Total $ 1,650.4 $ 1,627.0 $ 1,065.7 $ 4,343.1 Three-month period ended March 29, 2019: Geographical region: North America $ 587.3 $ 632.4 $ 449.2 $ 1,668.9 Western Europe 460.3 288.9 259.7 1,008.9 Other developed markets 149.3 92.0 28.9 270.2 High-growth markets (a) 430.0 523.5 318.7 1,272.2 Total $ 1,626.9 $ 1,536.8 $ 1,056.5 $ 4,220.2 Revenue type: Recurring $ 1,068.2 $ 1,324.1 $ 582.2 $ 2,974.5 Nonrecurring 558.7 212.7 474.3 1,245.7 Total $ 1,626.9 $ 1,536.8 $ 1,056.5 $ 4,220.2 (a) The Company defines high-growth markets as developing markets of the world experiencing extended periods of accelerated growth in gross domestic product and infrastructure which include Eastern Europe, the Middle East, Africa, Latin America and Asia (with the exception of Japan and Australia). The Company defines developed markets as all markets that are not high-growth markets. The Company sells equipment to customers as well as consumables, software licenses and services, some of which customers purchase on a recurring basis. Consumables sold for use with the equipment sold by the Company are typically critical to the use of the equipment and are typically used on a one-time or limited basis, requiring frequent replacement in the customer’s operating cycle. Examples of these consumables include reagents used in diagnostic tests, filters used in filtration, separation and purification processes and cartridges for marking and coding equipment. Additionally, some of the Company’s consumables are used on a standalone basis, such as water treatment solutions. The Company separates its goods and services between those sold on a recurring basis and those sold on a nonrecurring basis. Recurring revenue includes revenue from consumables, services, software licenses recognized over time, software-as-a-service licenses, sales-and-usage based royalties and operating-type leases (“OTLs”). Nonrecurring revenue includes sales from equipment, software licenses recognized at a point in time and sales-type leases (“STLs”). OTLs and STLs are included in the above revenue amounts. For the three-month periods ended April 3, 2020 and March 29, 2019 , lease revenue was $110 million and $106 million , respectively. Remaining performance obligations related to Topic 606, Revenue from Contracts with Customers, represent the aggregate transaction price allocated to performance obligations with an original contract term greater than one year which are fully or partially unsatisfied at the end of the period. As of April 3, 2020 , the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $2.4 billion . The Company expects to recognize revenue on approximately 46% of the remaining performance obligations over the next 12 months, 24% over the subsequent 12 months, and the remainder recognized thereafter. The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables (“contract assets”) and deferred revenue, customer deposits and billings in excess of revenue recognized (“contract liabilities”) on the Consolidated Condensed Balance Sheets. Most of the Company’s long-term contracts are billed as work progresses in accordance with the contract terms and conditions, either at periodic intervals or upon achievement of certain milestones. Often this results in billing occurring subsequent to revenue recognition resulting in contract assets. Contract assets are generally classified as other current assets in the Consolidated Condensed Balance Sheets. The balance of contract assets as of April 3, 2020 and December 31, 2019 was $120 million and $77 million , respectively. The increase in the contract asset balance during the three-month period ended April 3, 2020 was primarily due to the Cytiva Acquisition (defined below). The Company often receives cash payments from customers in advance of the Company’s performance resulting in contract liabilities. These contract liabilities are classified as either current or long-term in the Consolidated Condensed Balance Sheets based on the timing of when the Company expects to recognize revenue. As of April 3, 2020 and December 31, 2019 , contract liabilities were approximately $1.2 billion and $806 million , respectively, and are included within accrued expenses and other liabilities and other long-term liabilities in the accompanying Consolidated Condensed Balance Sheets. The increase in the contract liability balance during the three-month period ended April 3, 2020 was primarily a result of the Cytiva Acquisition and cash payments received in advance of satisfying performance obligations, partially offset by revenue recognized during the year that was included in the opening contract liability balance. Revenue recognized during the three -month periods ended April 3, 2020 and March 29, 2019 that was included in the contract liability balance on December 31, 2019 and December 31, 2018 was $268 million and $267 million , respectively. Contract assets and liabilities are reported on the accompanying Consolidated Condensed Balance Sheets on a contract-by-contract basis. |
Acquisitions
Acquisitions | 3 Months Ended |
Apr. 03, 2020 | |
Business Combinations [Abstract] | |
Acquisitions | ACQUISITIONS For a description of the Company’s acquisition activity for the year ended December 31, 2019 , reference is made to the financial statements as of and for the year ended December 31, 2019 and Note 3 thereto included in the Company’s 2019 Annual Report. The Company continually evaluates potential acquisitions that either strategically fit with the Company’s existing portfolio or expand the Company’s portfolio into a new and attractive business area. The Company has completed a number of acquisitions that have been accounted for as purchases and have resulted in the recognition of goodwill in the Company’s financial statements. This goodwill arises because the purchase prices for these businesses reflect a number of factors including the future earnings and cash flow potential of these businesses, the multiple to earnings, cash flow and other factors at which similar businesses have been purchased by other acquirers, the competitive nature of the processes by which the Company acquired the businesses, avoidance of the time and costs which would be required (and the associated risks that would be encountered) to enhance the Company’s existing product offerings to key target markets and enter into new and profitable businesses and the complementary strategic fit and resulting synergies these businesses bring to existing operations. The Company makes an initial allocation of the purchase price at the date of acquisition based upon its understanding of the fair value of the acquired assets and assumed liabilities. The Company obtains this information during due diligence and through other sources. In the months after closing, as the Company obtains additional information about these assets and liabilities, including through tangible and intangible asset appraisals, and learns more about the newly acquired business, it is able to refine the estimates of fair value and more accurately allocate the purchase price. Only facts and circumstances that existed as of the acquisition date are considered for subsequent adjustment. The Company is continuing to evaluate certain pre-acquisition contingencies associated with its 2020 acquisition of Cytiva (described below) and is also in the process of obtaining valuations of certain acquisition-related assets and liabilities in connection with this acquisition. The Company will make appropriate adjustments to the purchase price allocation prior to completion of the measurement period, as required. On March 31, 2020, the Company acquired the Biopharma business of General Electric Company’s (“GE”) Life Sciences division, now known as Cytiva, for a cash purchase price of approximately $20.7 billion (net of approximately $0.1 billion of acquired cash), subject to certain adjustments, and the assumption of approximately $0.4 billion of pension liabilities (the “Cytiva Acquisition”) . Cytiva is a leading provider of instruments, consumables and software that support the research, discovery, process development and manufacturing workflows of biopharmaceutical drugs. Cytiva had revenues of approximately $3.3 billion in 2019 and is included in the Company’s Life Sciences segment. Due to the proximity of the acquisition date to the end of the Company’s first quarter, there are no results of operations for Cytiva included in the Company’s Consolidated Condensed Statement of Earnings. The impact of the Cytiva Acquisition has been reflected in the Company’s Consolidated Condensed Balance Sheet on a preliminary basis. The acquisition is expected to provide additional sales and earnings growth opportunities for the Company’s Life Sciences segment by expanding the business’ geographic and product line diversity, including new product and service offerings that complement the Company’s current biologics workflow solutions. As a condition to obtaining certain regulatory approvals for the closing of the transaction, the Company was required to divest certain of its existing product lines in the Life Sciences segment that in the aggregate generated revenues of approximately $170 million in 2019. On April 30, 2020, the Company completed the sale of the majority of these product lines for a cash purchase price of approximately $825 million and will recognize a gain on the sale in the second quarter of 2020. The divestiture of these product lines did not represent a strategic shift with a major effect on the Company's operations and financial results and will not be reported as a discontinued operation. The Company financed the Cytiva Acquisition with approximately $3.0 billion of proceeds from the March 1, 2019 underwritten public offerings of its Common Stock and Mandatory Convertible Preferred Stock (“MCPS”), approximately $10.8 billion of proceeds from the issuance of euro-denominated and U.S. dollar-denominated long-term debt in the second half of 2019, and approximately $6.9 billion from the aggregate of proceeds from commercial paper borrowings, borrowings under the Company’s Five-Year Facility (as defined below) and cash on hand. The Company preliminarily recorded approximately $11.5 billion of goodwill related to the Cytiva Acquisition. The following summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition for the Cytiva Acquisition ($ in millions): Trade accounts receivable $ 488.3 Inventories 817.0 Property, plant and equipment 788.9 Goodwill 11,497.2 Other intangible assets, primarily technology and customer relationships 9,003.0 Trade accounts payable (250.8 ) Pension liabilities (417.2 ) Deferred tax liabilities (796.6 ) Other assets and liabilities, net (395.3 ) Net cash consideration $ 20,734.5 Pro Forma Financial Information The unaudited pro forma information for the periods set forth below gives effect to the 2020 and 2019 acquisitions as if they had occurred as of January 1, 2019 . The pro forma information is presented for informational purposes only and is not necessarily indicative of the results of operations that actually would have been achieved had the acquisitions been consummated as of that time ($ in millions, except per share amounts): Three-Month Period Ended April 3, 2020 March 29, 2019 Sales $ 5,119.5 $ 4,922.1 Net earnings from continuing operations 711.2 265.3 Diluted net earnings per common share from continuing operations (a) 0.98 0.34 (a) Diluted net earnings per common share from continuing operations is calculated by adding the interest on the Company’s LYONs to net earnings from continuing operations and deducting the MCPS dividends from net earnings from continuing operations. For the three-month periods ended April 3, 2020 and March 29, 2019 , unaudited pro forma revenue and earnings were adjusted to include the pre-tax impact of approximately $3 million and $162 million , respectively, in non-recurring adjustments related to acquisition date fair value adjustments to inventory and deferred revenue related to the Cytiva Acquisition. In addition, acquisition-related transaction costs of $59 million and $15 million associated with the Cytiva Acquisition were excluded from pro forma earnings in the three -month periods ended April 3, 2020 and March 29, 2019 |
Discontinued Operations (Notes)
Discontinued Operations (Notes) | 3 Months Ended |
Apr. 03, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | DISCONTINUED OPERATIONS On December 18, 2019, Danaher completed the separation (the “Separation”) of Envista Holdings Corporation (“Envista”). For additional details on the Separation, reference is made to the financial statements as of and for the year ended December 31, 2019 and Note 4 thereto included in the Company’s 2019 Annual Report on Form 10-K. The accounting requirements for reporting the Separation of Envista as a discontinued operation were met when the Separation was completed. Accordingly, the accompanying Consolidated Condensed Financial Statements for all periods presented reflect this business as a discontinued operation. In connection with the Separation, Danaher and Envista entered into various agreements to effect the disposition and provide a framework for their relationship after the Separation, including a separation agreement, transition services agreement, employee matters agreement, tax matters agreement, intellectual property matters agreement and Danaher Business System license agreement. These agreements provide for the allocation between Danaher and Envista of assets, employees, liabilities and obligations (including investments, property and employee benefits and tax related assets and liabilities) attributable to periods prior to, at and after Envista’s separation from Danaher and govern certain relationships between Danaher and Envista after the Separation. In addition, Danaher is also party to various commercial agreements with Envista entities. The amounts paid and received by Danaher for transition services provided under the above agreements as well as sales and purchases to and from Envista were not material to the Company’s results of operations for the three -month period ended April 3, 2020 . The key components of income from discontinued operations for the three -month period ended March 29, 2019 were as follows ($ in millions): Sales $ 659.7 Cost of sales (296.6 ) Selling, general and administrative expenses (315.7 ) Research and development expenses (43.3 ) Other income 0.1 Interest expense (2.8 ) Earnings from discontinued operations before income taxes 1.4 Income taxes 0.1 Earnings from discontinued operations, net of income taxes $ 1.5 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 3 Months Ended |
Apr. 03, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | GOODWILL AND OTHER INTANGIBLE ASSETS The following is a rollforward of the Company’s goodwill ($ in millions): Balance, December 31, 2019 $ 22,712.5 Attributable to 2020 acquisitions 11,497.2 Adjustments due to finalization of purchase price allocations 0.7 Foreign currency translation and other (484.9 ) Balance, April 3, 2020 $ 33,725.5 The carrying value of goodwill by segment is summarized as follows ($ in millions): April 3, 2020 December 31, 2019 Life Sciences $ 24,703.0 $ 13,471.8 Diagnostics 6,740.1 6,901.2 Environmental & Applied Solutions 2,282.4 2,339.5 Total $ 33,725.5 $ 22,712.5 The increase in the goodwill balance of the Life Sciences segment in the three -month period ended April 3, 2020 is a result of the Cytiva Acquisition. Refer to Note 3 for more detail. The Company has not identified any “triggering” events which indicate an impairment of goodwill in the three -month period ended April 3, 2020 . Finite-lived intangible assets are amortized over their legal or estimated useful life. The following summarizes the gross carrying value and accumulated amortization for each major category of intangible assets ($ in millions): April 3, 2020 December 31, 2019 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Finite-lived intangibles: Patents and technology $ 10,035.5 $ (970.1 ) $ 2,712.7 $ (934.1 ) Customer relationships and other intangibles 7,915.4 (2,672.4 ) 6,367.4 (2,612.3 ) Total finite-lived intangibles 17,950.9 (3,642.5 ) 9,080.1 (3,546.4 ) Indefinite-lived intangibles: Trademarks and trade names 4,204.2 — 4,216.0 — Total intangibles $ 22,155.1 $ (3,642.5 ) $ 13,296.1 $ (3,546.4 ) During the three -month period ended April 3, 2020 , the Company acquired finite-lived intangible assets, consisting primarily of developed technology and customer relationships, with a weighted average life of 14 years as a result of the Cytiva Acquisition. Refer to Note 3 for additional information on the intangible assets acquired. The Company identified impairment triggers during the first quarter of 2020 which resulted in the impairment of certain long-lived assets, including a trade name. The Company recorded impairment charges totaling $8 million in the three -month period ended April 3, 2020 |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Apr. 03, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS Accounting standards define fair value based on an exit price model, establish a framework for measuring fair value where the Company’s assets and liabilities are required to be carried at fair value and provide for certain disclosures related to the valuation methods used within a valuation hierarchy as established within the accounting standards. This hierarchy prioritizes the inputs into three broad levels as follows. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets in markets that are not active, or other observable characteristics for the asset or liability, including interest rates, yield curves and credit risks, or inputs that are derived principally from, or corroborated by, observable market data through correlation. Level 3 inputs are unobservable inputs based on the Company’s assumptions. A financial asset or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement in its entirety. A summary of financial assets and liabilities that are measured at fair value on a recurring basis were as follows ($ in millions): Balance, April 3, 2020 Quoted Prices in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Available-for-sale debt securities $ 35.4 $ — $ 35.4 $ — Investment in equity securities 150.1 17.1 — — Cross-currency swap derivative contracts 658.0 — 658.0 — Liabilities: Deferred compensation plans 71.4 — 71.4 — Balance, December 31, 2019 Quoted Prices in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Available-for-sale debt securities $ 33.7 $ — $ 33.7 $ — Investment in equity securities 110.8 — — — Cross-currency swap derivative contracts 25.7 — 25.7 — Liabilities: Cross-currency swap derivative contracts 111.7 — 111.7 — Deferred compensation plans 70.4 — 70.4 — Available-for-sale debt securities , which are included in other long-term assets in the accompanying Consolidated Condensed Balance Sheets, are measured at fair value using quoted prices reported by investment brokers and dealers based on the underlying terms of the security and comparison to similar securities traded on an active market. As of April 3, 2020 , available-for-sale debt securities primarily include U.S. Treasury Notes and corporate debt securities, which are valued based on instruments with similar terms traded on an active market. The Company’s investments in equity securities consist of investments in publicly traded equity securities and investments in non-marketable equity securities. The publicly traded securities are classified as Level 1 in the fair value hierarchy as they are measured based on quotes in active markets. For the non-marketable equity securities, the Company estimates the fair value of the investments in equity securities based on the measurement alternative and adjusts for impairments and observable price changes with a same or similar security from the same issuer within net earnings (the “Fair Value Alternative”). The Company’s investments in these equity securities are not classified in the fair value hierarchy due to the use of these measurement methods. Additionally, the Company is a limited partner in a partnership that invests in early-stage companies. While the partnership records these investments at fair value, the Company’s investment in the partnership is accounted for under the equity method of accounting and is not subject to the fair value measurement disclosures. During the three-month period ended April 3, 2020 , the Company recorded a $7 million unrealized loss ( $0.01 per diluted common share) related to a reduction in the fair value of these investments which is reflected in other (expense) income, net in the Company’s Consolidated Condensed Statement of Earnings. No significant realized gains or losses were recorded in the three -month period ended March 29, 2019 with respect to these investments. The cross-currency swap derivative contracts are used to partially hedge the Company’s net investments in foreign operations against adverse movements in exchange rates between the U.S. dollar and the Danish kroner, Japanese yen, euro and Swiss franc. The Company also uses cross-currency swap derivative contracts to hedge the exchange rate exposure from long-term debt issuances in a foreign currency other than the functional currency of the borrower. The cross-currency swap derivative contracts are classified as Level 2 in the fair value hierarchy as they are measured using the income approach with the relevant interest rates and foreign currency current exchange rates and forward curves as inputs. Refer to Note 8 for additional information. The Company has established nonqualified contribution and deferred compensation programs that permit the Company to make tax-deferred contributions to officers and certain other employees, and also permit directors, officers and certain other employees to voluntarily defer taxation on a portion of their compensation. All amounts contributed or deferred under such plans are unfunded, unsecured obligations of the Company and are presented as a component of the Company’s compensation and benefits accrual included in other long-term liabilities in the accompanying Consolidated Condensed Balance Sheets. Non-director participants may choose among alternative earning rates for the amounts they defer, which are primarily based on investment options within the Company’s 401(k) program. Changes in the deferred compensation liability under these programs are recognized based on changes in the fair value of the participants’ accounts, which are based on the applicable earnings rates. Amounts voluntarily deferred by directors and amounts unilaterally contributed to participant accounts by the Company are deemed invested in the Company’s common stock and future distributions of such contributions (as well as future distributions of any voluntary deferrals allocated at any time to the Danaher common stock investment option) will be made solely in shares of Company common stock, and therefore are not reflected in the above amounts. Fair Value of Financial Instruments The carrying amounts and fair values of the Company’s financial instruments were as follows ($ in millions): April 3, 2020 December 31, 2019 Carrying Amount Fair Value Carrying Amount Fair Value Assets: Available-for-sale debt securities $ 35.4 $ 35.4 $ 33.7 $ 33.7 Investment in equity securities 150.1 150.1 110.8 110.8 Cross-currency swap derivative contracts 658.0 658.0 25.7 25.7 Liabilities: Cross-currency swap derivative contracts — — 111.7 111.7 Notes payable and current portion of long-term debt 3,234.3 3,234.3 212.4 212.4 Long-term debt 22,737.2 22,042.6 21,516.7 21,896.9 As of April 3, 2020 and December 31, 2019 , available-for-sale debt securities and cross-currency swap derivative contracts were categorized as Level 2 and short and long-term borrowings were categorized as Level 1. The fair value of long-term borrowings was based on quoted market prices. The difference between the fair value and the carrying amounts of long-term borrowings (other than the Company’s Liquid Yield Option Notes due 2021 (the “LYONs”)) is attributable to changes in market interest rates and/or the Company’s credit ratings subsequent to the incurrence of the borrowing. In the case of the LYONs, differences in the fair value from the carrying value are attributable to changes in the price of the Company’s common stock due to the LYONs’ conversion features. The fair values of borrowings with original maturities of one year or less, as well as cash and cash equivalents, trade accounts receivable, net and trade accounts payable approximate their carrying amounts due to the short-term maturities of these instruments. |
Financing
Financing | 3 Months Ended |
Apr. 03, 2020 | |
Debt Disclosure [Abstract] | |
Financing | FINANCING As of April 3, 2020 , the Company was in compliance with all of its debt covenants. The components of the Company’s debt were as follows ($ in millions): April 3, 2020 December 31, 2019 Euro-denominated commercial paper (€4.3 billion and €4.6 billion, respectively) $ 4,616.0 $ 5,146.2 U.S. dollar-denominated commercial paper 790.2 — 364-day revolving credit facility — — Zero-coupon LYONs due 2021 33.2 33.6 0.352% senior unsecured notes due 2021 (¥30.0 billion aggregate principal amount) (the “2021 Yen Notes”) 276.7 275.8 1.7% senior unsecured notes due 2022 (€800.0 million aggregate principal amount) (the “2022 Euronotes”) 863.8 894.8 Floating rate senior unsecured notes due 2022 (€250.0 million aggregate principal amount) (the “Floating Rate 2022 Euronotes”) 270.1 279.8 2.05% senior notes due 2022 (the “2022 Biopharma Notes”) 697.3 696.9 0.5% senior unsecured bonds due 2023 (CHF 540.0 million aggregate principal amount) (the “2023 CHF Bonds”) 554.7 558.9 1.7% senior notes due 2024 (€750.0 million aggregate principal amount) (the “2024 Euronotes”) 805.5 — 5-year revolving credit facility 2,500.0 — 2.2% senior unsecured notes due 2024 (the “2024 Biopharma Notes”) 696.2 696.2 2.5% senior unsecured notes due 2025 (€800.0 million aggregate principal amount) (the “2025 Euronotes”) 862.6 893.7 3.35% senior unsecured notes due 2025 (the “2025 U.S. Notes”) 497.4 497.3 0.2% senior unsecured notes due 2026 (€1.3 billion aggregate principal amount) (the “2026 Biopharma Euronotes”) 1,343.6 1,392.3 2.1% senior notes due 2026 (€500.0 million aggregate principal amount) (the “2026 Euronotes”) 534.9 — 0.3% senior unsecured notes due 2027 (¥30.8 billion aggregate principal amount) (the “2027 Yen Notes”) 283.4 282.5 1.2% senior unsecured notes due 2027 (€600.0 million aggregate principal amount) (the “2027 Euronotes”) 644.7 668.0 0.45% senior unsecured notes due 2028 (€1.3 billion aggregate principal amount) (the “2028 Biopharma Euronotes”) 1,341.7 1,390.1 1.125% senior unsecured bonds due 2028 (CHF 210.0 million aggregate principal amount) (the “2028 CHF Bonds”) 219.3 221.0 2.6% senior unsecured notes due 2029 (the “2029 Biopharma Notes”) 794.3 794.8 2.5% senior notes due 2030 (€500.0 million aggregate principal amount) (the “2030 Euronotes”) 535.3 — 0.75% senior unsecured notes due 2031 (€1.8 billion aggregate principal amount) (the “2031 Biopharma Euronotes”) 1,880.8 1,948.7 0.65% senior unsecured notes due 2032 (¥53.2 billion aggregate principal amount) (the “2032 Yen Notes”) 489.3 487.8 1.35% senior unsecured notes due 2039 (€1.3 billion aggregate principal amount) (the “2039 Biopharma Euronotes”) 1,335.1 1,383.6 3.25% senior unsecured notes due 2029 (the “2039 Biopharma Notes”) 888.9 890.3 4.375% senior unsecured notes due 2045 (the “2045 U.S. Notes”) 499.4 499.4 1.8% senior unsecured notes due 2049 (€750.0 million aggregate principal amount) (the “2049 Biopharma Euronotes”) 801.7 830.9 3.4% senior unsecured notes due 2049 (the “2049 Biopharma Notes”) 888.4 890.2 Other 27.0 76.3 Total debt 25,971.5 21,729.1 Less: currently payable 3,234.3 212.4 Long-term debt $ 22,737.2 $ 21,516.7 For additional details regarding the Company’s debt financing, refer to Note 11 of the Company’s financial statements as of and for the year ended December 31, 2019 included in the Company’s 2019 Annual Report. The Company has historically satisfied any short-term liquidity needs that are not met through operating cash flow and available cash primarily through issuances of commercial paper under its U.S. dollar and euro-denominated commercial paper programs. The Company’s $5.0 billion unsecured, multi-year revolving credit facility with a syndicate of banks that expires on August 24, 2024 (the “ Five-Year Facility ”) and the Company’s $5.0 billion 364-day unsecured revolving credit facility with a syndicate of banks that expires on August 26, 2020 (the “ 364-Day Facility ”) (collectively, the “Credit Facilities”) are available for direct borrowings and provide support for the commercial paper programs. Given the adverse impact of COVID-19 on the availability of new borrowings in the commercial paper market, beginning in March 2020 the Company has also used borrowings under its Credit Facilities for general corporate purposes. Specifically, on March 24, 2020, the Company borrowed approximately $2.5 billion under the Five-Year Facility to fund a portion of the Cytiva Acquisition and for general corporate purposes, at an annual interest rate of 1.7% through March 31, 2020 and at an annual rate of 1.9% beginning April 1, 2020. As of April 3, 2020 , $2.5 billion was outstanding under the Five-Year Facility and no borrowings were outstanding under the 364-Day Facility. On April 7, 2020, the Company borrowed $2.5 billion under the 364-Day Facility for general corporate purposes, which may include repayment of outstanding commercial paper borrowings as they mature, at an annual interest rate of 2.3% . As of April 3, 2020 , the Company was in compliance with all covenants under the Credit Facilities. The Company may elect, upon the payment of a fee equal to 0.75% of the principal amount of the loans then outstanding and, upon the satisfaction of certain conditions, to convert any loans outstanding under the 364-Day Facility on August 26, 2020 (the “Scheduled Termination Date”) , into term loans that are due and payable one year following the Scheduled Termination Date. The Company is considering its options regarding the 364-Day Facility, including negotiating a new credit facility to replace and/or refinance all or a portion of the existing credit facility or converting borrowings under the credit facility into a term loan. The Company expects to limit borrowings under the Five-Year Facility and 364-Day Facility to amounts that would leave sufficient borrowing capacity under the facilities so that it could borrow, if needed, to repay all of the outstanding commercial paper as it matures. The Company has classified approximately $2.5 billion of its borrowings outstanding under the commercial paper programs as of April 3, 2020 as long-term debt in the accompanying Consolidated Condensed Balance Sheet as the Company had the intent and ability, as supported by availability under the Five-Year Facility, to refinance these borrowings for at least one year from the balance sheet date. Following the March 24, 2020 and April 7, 2020 borrowings under the Credit Facilities, the Company had availability under its Credit Facilities of approximately $5.0 billion for direct borrowings or to backstop commercial paper. As of May 1, 2020, approximately $3.4 billion of this $5.0 billion of availability was being used to backstop outstanding commercial paper borrowings. As of April 3, 2020 , borrowings outstanding under the Company’s U.S. dollar and euro-denominated commercial paper program had a weighted average annual interest rate of 0.2% and a weighted average remaining maturity of approximately 56 days. Debt discounts, premiums and debt issuance costs totaled $131 million and $112 million as of April 3, 2020 and December 31, 2019 , respectively, and have been netted against the aggregate principal amounts of the related debt in the components of debt table above. 2020 Debt Issuances On March 30, 2020 and April 8, 2020, Danaher Corporation completed underwritten public offerings of senior unsecured Euronotes due 2024, 2026 and 2030 (collectively the “Notes”). The following summarizes the key terms of the offerings in aggregate (€ in millions): Issue Date Aggregate Principal Amount Stated Annual Interest Rate Issue Price (as % of Principal Amount) Maturity Date Interest Payment Dates (in arrears) 2024 Euronotes March 30, 2020 € 750.0 1.700 % 99.931 % March 30, 2024 March 30 2024 Euronotes April 8, 2020 € 150.0 1.700 % 100.298 % March 30, 2024 March 30 2026 Euronotes March 30, 2020 € 500.0 2.100 % 99.717 % September 30, 2026 September 30 2026 Euronotes April 8, 2020 € 300.0 2.100 % 100.842 % September 30, 2026 September 30 2030 Euronotes March 30, 2020 € 500.0 2.500 % 99.642 % March 30, 2030 March 30 2030 Euronotes April 8, 2020 € 300.0 2.500 % 102.166 % March 30, 2030 March 30 The Company received net proceeds from the notes issued on March 30, 2020, after underwriting discounts and commissions and offering expenses, of approximately €1.7 billion (approximately $1.9 billion based on currency exchange rates as of the date of the pricing of the notes). The Company received net proceeds from the notes issued on April 8, 2020, after underwriting discounts and commissions and offering expenses, of approximately €754 million (approximately $816 million based on currency exchange rates as of the date of the pricing of the notes). Proceeds from these offerings will be used for general corporate purposes, which may include repayment of a portion of our outstanding commercial paper borrowings as they mature and/or repayment of amounts borrowed under the Company’s Credit Facilities. Guarantors of Debt The Company has guaranteed long-term debt and commercial paper issued by certain of its wholly-owned subsidiaries. The 2022 Euronotes, Floating Rate 2022 Euronotes, 2025 Euronotes and 2027 Euronotes were issued by DH Europe Finance S.A. (“Danaher International”). The 2022 Biopharma Notes, 2024 Biopharma Notes, 2026 Biopharma Euronotes, 2028 Biopharma Euronotes, 2029 Biopharma Notes, 2031 Biopharma Euronotes, 2039 Biopharma Euronotes, 2049 Biopharma Euronotes, and 2049 Biopharma Notes were issued by DH Europe Finance II S.a.r.l. (“Danaher International II”). The 2023 CHF Bonds and 2028 CHF Bonds were issued by DH Switzerland Finance S.A. (“Danaher Switzerland”). The 2021 Yen Notes, 2027 Yen Notes and 2032 Yen Notes were issued by DH Japan Finance S.A. (“Danaher Japan”). Each of Danaher International, Danaher International II, Danaher Switzerland and Danaher Japan are wholly-owned finance subsidiaries of Danaher Corporation. All of the outstanding and future securities issued by each of these entities are or will be fully and unconditionally guaranteed by the Company and these guarantees rank on parity with the Company’s unsecured and unsubordinated indebtedness. LYONs Redemption During the three -month period ended April 3, 2020 , holders of certain of the Company’s LYONs converted such LYONs into an aggregate of 10 thousand shares of the Company’s common stock, par value $0.01 |
Hedging Transactions And Deriva
Hedging Transactions And Derivative Financial Instruments | 3 Months Ended |
Apr. 03, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Hedging Transactions and Derivative Financial Instruments | HEDGING TRANSACTIONS AND DERIVATIVE FINANCIAL INSTRUMENTS The Company uses cross-currency swap derivative contracts to partially hedge its net investments in foreign operations against adverse movements in exchange rates between the U.S. dollar and the Danish kroner, Japanese yen, euro and Swiss franc. The cross-currency swap derivative contracts are agreements to exchange fixed-rate payments in one currency for fixed-rate payments in another currency and approximately $1.0 billion of these derivative contracts were outstanding as of April 3, 2020 . These contracts effectively convert U.S. dollar-denominated bonds to obligations denominated in Danish kroner, Japanese yen, euro and Swiss franc, and partially offset the impact of changes in currency rates on foreign currency denominated net investments. These contracts also reduce the interest rate from the stated interest rates on the U.S. dollar-denominated debt to the interest rates of the swaps. The changes in the spot rate of these instruments are recorded in accumulated other comprehensive income (loss) in stockholders’ equity, partially offsetting the foreign currency translation adjustment of the Company’s related net investment that is also recorded in accumulated other comprehensive income (loss) in the accompanying Consolidated Condensed Statements of Stockholders’ Equity. Any ineffective portions of net investment hedges are reclassified from accumulated other comprehensive income (loss) into earnings during the period of change. The interest income or expense from these swaps are recorded in interest expense in the accompanying Consolidated Condensed Statements of Earnings consistent with the classification of interest expense attributable to the underlying debt. These instruments mature on dates ranging from September 2025 to September 2028. The Company also uses cross-currency swap derivative contracts to hedge U.S. dollar-denominated long-term debt issuances in a foreign subsidiary whose functional currency is the euro against adverse movements in exchange rates between the U.S. dollar and the euro. These contracts effectively convert these U.S. dollar-denominated bonds to obligations denominated in euro. The changes in the fair value of these instruments are recorded in accumulated other comprehensive income (loss) in stockholders’ equity, with a reclassification from accumulated other comprehensive income (loss) to net earnings to offset the remeasurement of the hedged debt that is also recorded in net earnings. Any ineffective portions of net investment hedges are reclassified from accumulated other comprehensive income (loss) into earnings during the period of change. The interest income or expense from these swaps are recorded in interest expense in the accompanying Consolidated Condensed Statement of Earnings consistent with the classification of interest expense attributable to the underlying debt. These instruments mature on dates ranging from November 2022 to November 2049. The Company has also issued foreign currency denominated long-term debt as partial hedges of its net investments in foreign operations against adverse movements in exchange rates between the U.S. dollar and the euro, Japanese yen and Swiss franc. These foreign currency denominated long-term debt issuances are designated and qualify as nonderivative hedging instruments. Accordingly, the foreign currency translation of these debt instruments is recorded in accumulated other comprehensive income (loss) in stockholders’ equity in the accompanying Consolidated Condensed Balance Sheets, offsetting the foreign currency translation adjustment of the Company’s related net investment that is also recorded in accumulated other comprehensive income (loss). Any ineffective portions of net investment hedges are reclassified from accumulated other comprehensive income (loss) into earnings during the period of change. These instruments mature on dates ranging from March 2021 to May 2032. The Company used interest rate swap agreements to hedge the variability in cash flows due to changes in benchmark interest rates related to a portion of the U.S. debt the Company issued to fund the Cytiva Acquisition. These contracts effectively fixed the interest rate for a portion of the Company’s U.S. dollar-denominated debt equal to the notional amount of the swaps to the rate specified in the interest rate swap agreements, and were settled in November 2019. The changes in the fair value of these instruments were recorded in accumulated other comprehensive income (loss) in stockholders’ equity prior to the issuance of the debt and are subsequently being reclassified to interest expense over the life of the related debt. The following table summarizes the notional values as of April 3, 2020 and pretax impact of changes in the fair values of instruments designated as net investment hedges and cash flow hedges in accumulated other comprehensive income (“OCI”) for the three -month periods ended April 3, 2020 and March 29, 2019 ($ in millions): Original Notional Amount Notional Amount Outstanding Gain (Loss) Recognized in OCI For the Three-Month Period Ended April 3, 2020: Net investment hedges: Foreign currency contracts $ 1,875.0 $ 1,000.0 $ 93.3 Foreign currency denominated debt 8,102.9 8,102.9 156.2 Cash flow hedges: Foreign currency contracts 4,000.0 4,000.0 650.8 Total $ 14,827.9 $ 13,102.9 $ 900.3 For the Three-Month Period Ended March 29, 2019: Net investment hedges: Foreign currency contracts $ 1,875.0 $ 1,875.0 $ 14.8 Foreign currency denominated debt 7,518.3 7,518.3 137.8 Total $ 9,393.3 $ 9,393.3 $ 152.6 Gains or losses related to net investment hedges are classified as foreign currency translation adjustments in the schedule of changes in OCI in Note 1 , as these items are attributable to the Company’s hedges of its net investment in foreign operations. Gains or losses related to the cash flow hedges and interest rate swaps are classified as cash flow hedge adjustments in the schedule of changes in OCI in Note 1 . The amount reclassified to earnings for the interest rate swaps in the three -month period ended April 3, 2020 was less than $1 million . During the three -month period ended April 3, 2020 , the Company reclassified $139 million of deferred gains from accumulated other comprehensive income (loss) to net earnings related to the cross-currency swap derivative contracts that are cash flow hedges of the Company’s U.S. dollar-denominated debt. This reclassification was equal to the remeasurement loss recorded in the three -month period on the hedged debt. The Company did not reclassify any other deferred gains or losses related to net investment hedges or cash flow hedges from accumulated other comprehensive income (loss) to earnings during the three -month periods ended April 3, 2020 and March 29, 2019 . In addition, the Company did not have any ineffectiveness related to net investment hedges or interest rate swaps during the three -month periods ended April 3, 2020 and March 29, 2019 . The cash inflows and outflows associated with the Company’s derivative contracts designated as net investment hedges are classified in all other investing activities in the accompanying Consolidated Condensed Statements of Cash Flows. The cash inflows and outflows associated with the Company’s derivative contracts designated as cash flow hedges are classified in cash flows from operating activities in the accompanying Consolidated Condensed Statement of Cash Flows. The Company’s derivative instruments, as well as its nonderivative debt instruments designated and qualifying as net investment hedges, were classified in the Company’s Consolidated Condensed Balance Sheet as follows ($ in millions): April 3, 2020 December 31, 2019 Derivative assets: Prepaid expenses and other current assets $ 658.0 $ 25.7 Derivative liabilities: Accrued expenses and other liabilities — 111.7 Nonderivative hedging instruments: Long-term debt 8,102.9 6,275.9 Amounts related to the Company’s derivatives expected to be reclassified from accumulated other comprehensive income (loss) to net earnings during the next 12 months if interest rates and foreign exchange rates remain the same are not significant. |
Defined Benefit Plans
Defined Benefit Plans | 3 Months Ended |
Apr. 03, 2020 | |
Retirement Benefits [Abstract] | |
Defined Benefit Plans | DEFINED BENEFIT PLANS The following sets forth the components of the Company’s net periodic benefit (cost) of the noncontributory defined benefit pension plans ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 U.S. pension benefits: Service cost $ — $ (1.6 ) Interest cost (16.6 ) (22.2 ) Expected return on plan assets 29.1 31.6 Amortization of actuarial loss (9.0 ) (6.2 ) Amortization of prior service cost (0.2 ) (0.2 ) Net periodic pension benefit $ 3.3 $ 1.4 Non-U.S. pension benefits: Service cost $ (6.0 ) $ (5.8 ) Interest cost (4.5 ) (6.2 ) Expected return on plan assets 8.9 10.1 Amortization of actuarial loss (2.4 ) (1.1 ) Amortization of prior service credit 0.3 — Net periodic pension cost $ (3.7 ) $ (3.0 ) The following sets forth the components of the Company’s net periodic benefit cost of the other postretirement employee benefit plans ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Service cost $ (0.1 ) $ (0.1 ) Interest cost (0.8 ) (1.2 ) Amortization of prior service credit 0.5 0.5 Net periodic cost $ (0.4 ) $ (0.8 ) The net periodic benefit cost of the noncontributory defined benefit pension plans and other postretirement employee benefit plans incurred during the three -month periods ended April 3, 2020 and March 29, 2019 are reflected in the following captions in the accompanying Consolidated Condensed Statements of Earnings ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Service cost: Cost of sales $ (1.5 ) $ (2.0 ) Selling, general and administrative expenses (4.6 ) (5.5 ) Total service cost (6.1 ) (7.5 ) Other n et periodic benefit costs: Other (expense) income, net 5.3 5.1 Total $ (0.8 ) $ (2.4 ) Employer Contributions During 2020 , the Company’s cash contribution requirements for its U.S. and non-U.S. defined benefit pension plans are forecasted to be approximately $85 million and $50 million , respectively. The ultimate amounts to be contributed depend upon, among other things, legal requirements, underlying asset returns, the plan’s funded status, the anticipated tax deductibility of the contribution, local practices, market conditions, interest rates and other factors. On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was signed into law and includes a provision that allows employers to defer payment of contributions to U.S. defined benefit pension plans due in 2020 until January 1, 2021. The Company is still evaluating whether it will defer any 2020 contributions to its U.S. defined benefit pension plans pursuant to this provision. |
Income Taxes
Income Taxes | 3 Months Ended |
Apr. 03, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The following table summarizes the Company’s effective tax rate: Three-Month Period Ended April 3, 2020 March 29, 2019 Effective tax rate 16.3 % 53.8 % The effective tax rate for the three-month period ended April 3, 2020 differs from the U.S. federal statutory rate of 21.0% principally due to the impact of net discrete benefits of $27 million ( $0.04 per diluted common share) related primarily to excess tax benefits from stock-based compensation and the release of reserves for uncertain tax positions due to the expiration of statutes of limitation. The effective tax rate for the three -month period ended March 29, 2019 differs from the U.S. federal statutory rate of 21.0% principally due to the impact of net discrete charges of $245 million ( $0.34 per diluted common share) related primarily to changes in estimates associated with prior period uncertain tax positions and audit settlements, net of the release of valuation allowances associated with certain foreign tax credits, tax benefits resulting from a change in tax law and excess tax benefits from stock-based compensation. These discrete tax charges resulted in an increase of 34.0% in the reported tax rate. In the fourth quarter of 2018 and in the first quarter of 2019, the Internal Revenue Service (“IRS”) proposed significant adjustments to the Company’s taxable income for the years 2012 through 2015 with respect to the deferral of tax on certain premium income related to the Company’s self-insurance programs. For income tax purposes, the recognition of premium income has been deferred in accordance with U.S. tax laws related to insurance. The IRS is challenging the deferral of premiums for certain types of the Company’s self-insurance policies. The proposed adjustments would increase the Company’s taxable income over the 2012-2015 period by approximately $2.7 billion . Management believes the positions the Company has taken in its U.S. tax returns are in accordance with the relevant tax laws and is vigorously defending these positions. Due to the enactment of the Tax Cuts and Jobs Act in 2017 and the resulting reduction in the U.S. corporate tax rate for years after 2017, the Company revalued its deferred tax liabilities related to the temporary differences associated with this deferred premium income from 35.0% to 21.0% . If the Company is not successful in defending these assessments, the taxes owed to the IRS may be computed under the previous 35.0% statutory tax rate and the Company may be required to revalue the related deferred tax liabilities from 21.0% to 35.0% , which in addition to any interest due on the amounts assessed, would require a charge to future earnings. The ultimate resolution of this matter is uncertain, could take many years and could result in a material adverse impact to the Company’s financial statements, including its cash flows and effective tax rate. Tax authorities in Denmark have raised significant issues related to interest accrued by certain of the Company’s subsidiaries. On December 10, 2013, the Company received assessments from the Danish tax authority (“SKAT”) of approximately DKK 1.8 billion including interest (approximately $257 million based on the exchange rate as of April 3, 2020 ) , imposing withholding tax relating to interest accrued in Denmark on borrowings from certain of the Company’s subsidiaries for the years 2004-2009. The Company appealed these assessments to the Danish National Tax Tribunal in 2014. The appeal is pending, awaiting the final outcome of other, preceding withholding tax cases that were appealed to the Danish Courts and subsequently to the Court of Justice of the European Union (“CJEU”). In February 2019, the CJEU decided several of these cases and ruled that the exemption of interest payments from withholding taxes provided in the applicable European Union (“EU”) directive should be denied where taxpayers use the directive for abusive or fraudulent purposes, and that it is up to the national courts to make this determination. This decision of the CJEU now awaits application by the Danish High Court in the other, preceding withholding tax cases. SKAT has maintained a similar position related to withholding tax on interest accrued in Denmark on borrowings from certain of the Company’s subsidiaries with respect to tax years 2010-2012 and 2013-2015. On August 27, 2019 and December 16, 2019, the Company received assessments for these matters of approximately DKK 1.1 billion including interest (approximately $156 million based on the exchange rate as of April 3, 2020 ) for tax years 2010-2012 and DKK 767 million including interest (approximately $111 million based on the exchange rate as of April 3, 2020 ) for tax years 2013-2015, respectively. The Company is appealing these assessments as well. Management believes the positions the Company has taken in Denmark are in accordance with the relevant tax laws and is vigorously defending its positions. The Company intends on pursuing this matter through the Danish High Court should the appeal to the Danish National Tax Tribunal be unsuccessful. The Company will continue to monitor decisions of both the Danish courts and the CJEU and evaluate the impact of these court rulings on the Company’s tax positions in Denmark. The ultimate resolution of this matter is uncertain, could take many years, and could result in a further material adverse impact to the Company’s financial statements, including its cash flow and effective tax rate. |
Nonoperating Income (Expense)
Nonoperating Income (Expense) | 3 Months Ended |
Apr. 03, 2020 | |
Other Income and Expenses [Abstract] | |
Nonoperating Income (Expense) | NONOPERATING INCOME (EXPENSE) The Company disaggregates the service cost component of net periodic benefit costs of the noncontributory defined benefit pension plans and other postretirement employee benefit plans and presents the other components of net periodic benefit cost in other (expense) income, net. These other components include the assumed rate of return on plan assets, partially offset by amortization of actuarial losses and interest and aggregated to a gain of $5 million for both the three-month periods ended April 3, 2020 and March 29, 2019 . The Company estimates the fair value of investments in equity securities using the Fair Value Alternative and records adjustments to fair value within net earnings. Additionally, the Company is a limited partner in a partnership that invests in early-stage companies. While the partnership records these investments at fair value, the Company’s investment in the partnership is accounted for under the equity method of accounting. During the three-month period ended April 3, 2020 , the Company recorded a $7 million unrealized loss ( $0.01 per diluted common share) related to a reduction in the fair value of these investments. |
Commitments And Contingencies
Commitments And Contingencies | 3 Months Ended |
Apr. 03, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES The Company reviews the adequacy of its legal reserves on a quarterly basis and establishes reserves for loss contingencies that are both probable and reasonably estimable. For a further description of the Company’s litigation and contingencies, refer to Note 18 of the Company’s financial statements as of and for the year ended December 31, 2019 included in the Company’s 2019 Annual Report. The Company generally accrues estimated warranty costs at the time of sale. In general, manufactured products are warranted against defects in material and workmanship when properly used for their intended purpose, installed correctly and appropriately maintained. Warranty periods depend on the nature of the product and range from the date of such sale up to ten years. The amount of the accrued warranty liability is determined based on historical information such as past experience, product failure rates or number of units repaired, estimated cost of material and labor and in certain instances estimated property damage. The accrued warranty liability is reviewed on a quarterly basis and may be adjusted as additional information regarding expected warranty costs becomes known. The following is a rollforward of the Company’s accrued warranty liability ($ in millions): Balance, December 31, 2019 $ 73.3 Accruals for warranties issued during the period 10.0 Settlements made (9.5 ) Additions due to acquisitions 2.4 Effect of foreign currency translation (2.2 ) Balance, April 3, 2020 $ 74.0 |
Stock Transactions And Stock-Ba
Stock Transactions And Stock-Based Compensation | 3 Months Ended |
Apr. 03, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Stock Transactions And Stock-Based Compensation | STOCK TRANSACTIONS AND STOCK-BASED COMPENSATION Neither the Company nor any “affiliated purchaser” repurchased any shares of Company common stock during the three -month period ended April 3, 2020 . On July 16, 2013, the Company’s Board of Directors approved a repurchase program (the “Repurchase Program”) authorizing the repurchase of up to 20 million shares of the Company’s common stock from time to time on the open market or in privately negotiated transactions. As of April 3, 2020 , 20 million shares remained available for repurchase pursuant to the Repurchase Program. The following table summarizes the Company’s share activity (shares in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Preferred stock - shares issued: Balance, beginning of period 1.7 — Issuance of MCPS — 1.7 Balance, end of period 1.7 1.7 Common stock - shares issued: Balance, beginning of period 835.5 817.9 Common stock-based compensation awards 1.8 2.0 Common stock issued in connection with LYONs’ conversions — 0.5 Issuance of common stock — 12.1 Balance, end of period 837.3 832.5 On March 1, 2019, the Company completed the underwritten public offering of 12.1 million shares of Danaher common stock at a price to the public of $123.00 per share (the “Common Stock Offering”), resulting in net proceeds of approximately $1.4 billion , after deducting expenses and the underwriters’ discount of $45 million . Simultaneously, the Company completed the underwritten public offering of 1.65 million shares of its 4.75% MCPS, Series A, without par value and with a liquidation preference of $1,000 per share (the “MCPS Offering”), resulting in net proceeds of approximately $1.6 billion , after deducting expenses and the underwriters’ discount of $50 million . The Company used the net proceeds from the Common Stock Offering and the MCPS Offering to fund a portion of the cash consideration payable for, and certain costs associated with, the Cytiva Acquisition. Prior to the completion of the Cytiva Acquisition, the Company invested the net proceeds in short-term bank deposits and/or interest-bearing, investment-grade securities. Taking into account the anti-dilution adjustments as a result of the dividends paid to the Company’s common shareholders on or prior to April 3, 2020 , each share of MCPS will mandatorily convert on the mandatory conversion date, which is expected to be April 15, 2022, into between 6.6542 and 8.1513 shares of the Company’s common stock, subject to further anti-dilution adjustments. The number of shares of the Company’s common stock issuable upon conversion will be determined based on the average volume-weighted average price per share of the Company’s common stock over the 20 consecutive trading day period beginning on, and including, the 21st scheduled trading day immediately before April 15, 2022. Subject to certain exceptions, at any time prior to April 15, 2022, holders may elect to convert each share of the MCPS into 6.6542 shares of common stock, subject to further anti-dilution adjustments. In the event of a fundamental change, the MCPS will convert at the fundamental change rates specified in the certificate of designations, and the holders of MCPS would be entitled to a fundamental change make-whole dividend. Holders of MCPS will be entitled to receive, when and if declared by the Company’s Board of Directors, cumulative dividends at the annual rate of 4.75% of the liquidation preference of $1,000 per share (equivalent to $47.50 annually per share), payable in cash or, subject to certain limitations, by delivery of shares of the Company’s common stock or any combination of cash and shares of the Company’s common stock, at the Company’s election. If declared, dividends on the MCPS are payable quarterly on January 15, April 15, July 15 and October 15 of each year (to, and including, April 15, 2022), to the holders of record of the MCPS as they appear on the Company’s stock register at the close of business on the immediately preceding December 31, March 31, June 30 and September 30, respectively. For a full description of the Company’s stock-based compensation programs, refer to Note 19 of the Company’s financial statements as of and for the year ended December 31, 2019 included in the Company’s 2019 Annual Report. As of April 3, 2020 , approximately 55 million shares of the Company’s common stock were reserved for issuance under the 2007 Omnibus Incentive Plan. The following summarizes the components of the Company’s stock-based compensation expense ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Restricted stock units (“RSUs”)/performance stock units (“PSUs”): Pretax compensation expense $ 27.6 $ 21.7 Income tax benefit (5.7 ) (4.5 ) RSU/PSU expense, net of income taxes 21.9 17.2 Stock options: Pretax compensation expense 17.6 13.4 Income tax benefit (3.6 ) (2.8 ) Stock option expense, net of income taxes 14.0 10.6 Total stock-based compensation: Pretax compensation expense 45.2 35.1 Income tax benefit (9.3 ) (7.3 ) Total stock-based compensation expense, net of income taxes $ 35.9 $ 27.8 Stock-based compensation has been recognized as a component of selling, general and administrative expenses in the accompanying Consolidated Condensed Statements of Earnings. As of April 3, 2020 , $231 million of total unrecognized compensation cost related to RSUs/PSUs is expected to be recognized over a weighted average period of approximately three years . As of April 3, 2020 , $204 million of total unrecognized compensation cost related to stock options is expected to be recognized over a weighted average period of approximately three years . Future compensation amounts will be adjusted for any changes in estimated forfeitures. |
Net Earnings Per Common Share F
Net Earnings Per Common Share From Continuing Operations | 3 Months Ended |
Apr. 03, 2020 | |
Earnings Per Share [Abstract] | |
Net Earnings Per Share | NET EARNINGS PER COMMON SHARE FROM CONTINUING OPERATIONS Basic net earnings per common share (“EPS”) from continuing operations is calculated by taking net earnings from continuing operations less the MCPS dividends divided by the weighted average number of common shares outstanding for the applicable period. Diluted net EPS from continuing operations is computed based on the weighted average number of common shares outstanding increased by the number of additional shares that would have been outstanding had the potentially dilutive common shares been issued and reduced by the number of shares the Company could have repurchased with the proceeds from the issuance of the potentially dilutive shares. For the three -month period ended April 3, 2020 , approximately 2 million options to purchase shares were not included in the diluted EPS calculation as the impact of their inclusion would have been anti-dilutive. For the three -month period ended March 29, 2019 , no options to purchase shares were excluded from the diluted EPS calculation. The impact of the MCPS calculated under the if-converted method was anti-dilutive, and as such 12 million shares and 13 million shares underlying the MCPS were excluded from the diluted EPS calculation for the three -month periods ended April 3, 2020 and March 29, 2019 , respectively. Information related to the calculation of net earnings from continuing operations per common share is summarized as follows ($ and shares in millions, except per share amounts): Three-Month Period Ended April 3, 2020 March 29, 2019 Numerator: Net earnings from continuing operations $ 595.1 $ 332.3 MCPS dividends (19.6 ) (6.5 ) Net earnings from continuing operations attributable to common stockholders for Basic EPS 575.5 325.8 Adjustment for interest on convertible debentures 0.3 0.5 Net earnings from continuing operations attributable to common stockholders after assumed conversions for Diluted EPS $ 575.8 $ 326.3 Denominator: Weighted average common shares outstanding used in Basic EPS 697.2 707.6 Incremental common shares from: Assumed exercise of dilutive options and vesting of dilutive RSUs and PSUs 9.4 8.7 Assumed conversion of the convertible debentures 1.3 2.2 Weighted average common shares outstanding used in Diluted EPS 707.9 718.5 Basic EPS from continuing operations $ 0.83 $ 0.46 Diluted EPS from continuing operations $ 0.81 $ 0.45 |
Segment Information
Segment Information | 3 Months Ended |
Apr. 03, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION The Company operates and reports its results in three separate business segments consisting of the Life Sciences, Diagnostics, and Environmental & Applied Solutions segments. When determining the reportable segments, the Company aggregated operating segments based on their similar economic and operating characteristics. Operating profit represents total revenues less operating expenses, excluding nonoperating income and expense, interest and income taxes. Operating profit amounts in the Other segment consist of unallocated corporate costs and other costs not considered part of management’s evaluation of reportable segment operating performance. Intersegment amounts are not significant and are eliminated to arrive at consolidated totals. Segment results are shown below ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Sales: Life Sciences $ 1,650.4 $ 1,626.9 Diagnostics 1,627.0 1,536.8 Environmental & Applied Solutions 1,065.7 1,056.5 Total $ 4,343.1 $ 4,220.2 Operating profit: Life Sciences $ 325.6 $ 309.0 Diagnostics 251.2 233.1 Environmental & Applied Solutions 239.9 244.6 Other (119.2 ) (67.0 ) Total $ 697.5 $ 719.7 Segment identifiable assets are shown below ($ in millions): April 3, 2020 December 31, 2019 Life Sciences $ 44,765.7 $ 22,381.3 Diagnostics 14,508.4 14,442.2 Environmental & Applied Solutions 4,945.1 4,881.8 Other 4,711.1 20,376.3 Total $ 68,930.3 $ 62,081.6 |
General (Policies)
General (Policies) | 3 Months Ended |
Apr. 03, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
New accounting standards | Accounting Standards Recently Adopted —In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) , which modifies the disclosures on fair value measurements by removing the requirement to disclose the amount and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy and the policy for timing of such transfers. The ASU expands the disclosure requirements for Level 3 fair value measurements, primarily focused on changes in unrealized gains and losses included in other comprehensive income (loss). The ASU is effective for public entities for fiscal years beginning after December 15, 2019, with early adoption permitted. On January 1, 2020, the Company adopted the ASU and the ASU did not have a significant impact on the Company’s Consolidated Condensed Financial Statements . Refer to Note 6 for the Company’s fair value measurement disclosures. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which amends the impairment model by requiring entities to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. This may result in the earlier recognition of allowances for losses. The ASU is effective for public entities for fiscal years beginning after December 15, 2019, with early adoption permitted. In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments—Credit Losses , which provided additional implementation guidance on the previously issued ASU. On January 1, 2020, the Company adopted the ASU using the modified retrospective transition method. The Company recorded a net decrease to beginning retained earnings of $8 million as of January 1, 2020 due to the cumulative impact of adopting Topic 326. The impact to retained earnings was primarily the result of an increase in the Company’s allowance for doubtful accounts as a result of Topic 326’s requirement to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. As a result of the adoption of the ASU, the Company’s allowance for doubtful accounts as of April 3, 2020 reflects the Company’s best estimate of the expected future losses for its accounts receivables based on the current economic conditions; however, as a result of the uncertainty caused by the coronavirus (COVID-19) pandemic and other factors, these estimates may change and future actual losses may differ from the Company’s estimates. The Company will continue to monitor economic conditions and will revise the estimates of the expected future losses for accounts receivable as necessary. Accounting Standards Not Yet Adopted —In August 2018, the FASB issued ASU No. 2018-14, Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans , which amends ASC 715, Compensation—Retirement Benefits , to add, remove and clarify disclosure requirements related to defined benefit pension and other postretirement plans. The ASU is effective for public entities for fiscal years beginning after December 15, 2020, with early adoption permitted. Management has not yet completed its assessment of the impact of the new standard on the Company’s financial statements. |
Operating leases | Operating Leases —As of April 3, 2020 and December 31, 2019, operating lease right-of-use assets where the Company was the lessee were $827 million and $764 million , respectively, and are included within other long-term assets in the accompanying Consolidated Condensed Balance Sheets. The associated operating lease liabilities were $860 million and $797 million as of April 3, 2020 and December 31, 2019, respectively, and are included in accrued expenses and other liabilities and other long-term liabilities. |
General (Tables)
General (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Components Of Accumulated Other Comprehensive Income (Loss) | The changes in accumulated other comprehensive income (loss) by component are summarized below ($ in millions). Foreign currency translation adjustments generally relate to indefinite investments in non-U.S. subsidiaries, as well as the impact from the Company’s hedges of its net investment in foreign operations, including the Company’s cross-currency swap derivatives, net of any tax impacts. Foreign Currency Translation Adjustments Pension & Postretirement Plan Benefit Adjustments Unrealized Gain (Loss) on Available-For-Sale Securities Adjustments Cash Flow Hedge Adjustments Total For the Three-Month Period Ended April 3, 2020: Balance, December 31, 2019 $ (2,173.3 ) $ (781.5 ) $ (0.7 ) $ (112.8 ) $ (3,068.3 ) Other comprehensive income (loss) before reclassifications: (Decrease) increase (131.5 ) — 0.7 650.8 520.0 Income tax impact (22.4 ) — (0.1 ) (118.9 ) (141.4 ) Other comprehensive income (loss) before reclassifications, net of income taxes (153.9 ) — 0.6 531.9 378.6 Amounts reclassified from accumulated other comprehensive income (loss): Increase (decrease) — 10.8 (a) — (138.8 ) (b) (128.0 ) Income tax impact — (2.6 ) — 29.0 26.4 Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 8.2 — (109.8 ) (101.6 ) Net current period other comprehensive income (loss), net of income taxes (153.9 ) 8.2 0.6 422.1 277.0 Balance, April 3, 2020 $ (2,327.2 ) $ (773.3 ) $ (0.1 ) $ 309.3 $ (2,791.3 ) For the Three-Month Period Ended March 29, 2019: Balance, December 31, 2018 $ (2,098.1 ) $ (691.1 ) $ (1.9 ) $ — $ (2,791.1 ) Other comprehensive income (loss) before reclassifications: (Decrease) increase (7.3 ) — 0.5 — (6.8 ) Income tax impact (3.5 ) — (0.1 ) — (3.6 ) Other comprehensive income (loss) before reclassifications, net of income taxes (10.8 ) — 0.4 — (10.4 ) Amounts reclassified from accumulated other comprehensive income (loss): Increase — 7.1 (a) — — 7.1 Income tax impact — (1.7 ) — — (1.7 ) Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes — 5.4 — — 5.4 Net current period other comprehensive income (loss), net of income taxes (10.8 ) 5.4 0.4 — (5.0 ) Balance, March 29, 2019 $ (2,108.9 ) $ (685.7 ) $ (1.5 ) $ — $ (2,796.1 ) (a) This accumulated other comprehensive income (loss) component is included in the computation of net periodic pension cost. Refer to Notes 9 and 11 for additional details. (b) Reflects reclassification to earnings related to hedges of certain long-term debt (refer to Note 8 for additional details). |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables present the Company’s revenues disaggregated by geographical region and revenue type for the three -month periods ended April 3, 2020 and March 29, 2019 ($ in millions). Sales taxes and other usage-based taxes collected from customers are excluded from revenue. Life Sciences Diagnostics Environmental & Applied Solutions Total Three-month period ended April 3, 2020: Geographical region: North America $ 620.7 $ 754.7 $ 496.9 $ 1,872.3 Western Europe 471.6 309.8 256.0 1,037.4 Other developed markets 152.8 98.7 30.3 281.8 High-growth markets (a) 405.3 463.8 282.5 1,151.6 Total $ 1,650.4 $ 1,627.0 $ 1,065.7 $ 4,343.1 Revenue type: Recurring $ 1,159.4 $ 1,427.9 $ 619.6 $ 3,206.9 Nonrecurring 491.0 199.1 446.1 1,136.2 Total $ 1,650.4 $ 1,627.0 $ 1,065.7 $ 4,343.1 Three-month period ended March 29, 2019: Geographical region: North America $ 587.3 $ 632.4 $ 449.2 $ 1,668.9 Western Europe 460.3 288.9 259.7 1,008.9 Other developed markets 149.3 92.0 28.9 270.2 High-growth markets (a) 430.0 523.5 318.7 1,272.2 Total $ 1,626.9 $ 1,536.8 $ 1,056.5 $ 4,220.2 Revenue type: Recurring $ 1,068.2 $ 1,324.1 $ 582.2 $ 2,974.5 Nonrecurring 558.7 212.7 474.3 1,245.7 Total $ 1,626.9 $ 1,536.8 $ 1,056.5 $ 4,220.2 (a) The Company defines high-growth markets as developing markets of the world experiencing extended periods of accelerated growth in gross domestic product and infrastructure which include Eastern Europe, the Middle East, Africa, Latin America and Asia (with the exception of Japan and Australia). The Company defines developed markets as all markets that are not high-growth markets. |
Acquisitions (Tables)
Acquisitions (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Business Combinations [Abstract] | |
Fair Values Of The Assets Acquired And Liabilities Assumed | The following summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition for the Cytiva Acquisition ($ in millions): Trade accounts receivable $ 488.3 Inventories 817.0 Property, plant and equipment 788.9 Goodwill 11,497.2 Other intangible assets, primarily technology and customer relationships 9,003.0 Trade accounts payable (250.8 ) Pension liabilities (417.2 ) Deferred tax liabilities (796.6 ) Other assets and liabilities, net (395.3 ) Net cash consideration $ 20,734.5 |
Results Of Operations If Acquisition Was Consummated | The pro forma information is presented for informational purposes only and is not necessarily indicative of the results of operations that actually would have been achieved had the acquisitions been consummated as of that time ($ in millions, except per share amounts): Three-Month Period Ended April 3, 2020 March 29, 2019 Sales $ 5,119.5 $ 4,922.1 Net earnings from continuing operations 711.2 265.3 Diluted net earnings per common share from continuing operations (a) 0.98 0.34 (a) |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Key Components of Income from Discontinued Operations | The key components of income from discontinued operations for the three -month period ended March 29, 2019 were as follows ($ in millions): Sales $ 659.7 Cost of sales (296.6 ) Selling, general and administrative expenses (315.7 ) Research and development expenses (43.3 ) Other income 0.1 Interest expense (2.8 ) Earnings from discontinued operations before income taxes 1.4 Income taxes 0.1 Earnings from discontinued operations, net of income taxes $ 1.5 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Rollforward Of Goodwill | The following is a rollforward of the Company’s goodwill ($ in millions): Balance, December 31, 2019 $ 22,712.5 Attributable to 2020 acquisitions 11,497.2 Adjustments due to finalization of purchase price allocations 0.7 Foreign currency translation and other (484.9 ) Balance, April 3, 2020 $ 33,725.5 The carrying value of goodwill by segment is summarized as follows ($ in millions): April 3, 2020 December 31, 2019 Life Sciences $ 24,703.0 $ 13,471.8 Diagnostics 6,740.1 6,901.2 Environmental & Applied Solutions 2,282.4 2,339.5 Total $ 33,725.5 $ 22,712.5 |
Schedule of Acquired Finite-Lived Intangible Assets And Indefinite-Lived Intangible Assets By Major Class [Table Text Block] | The following summarizes the gross carrying value and accumulated amortization for each major category of intangible assets ($ in millions): April 3, 2020 December 31, 2019 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Finite-lived intangibles: Patents and technology $ 10,035.5 $ (970.1 ) $ 2,712.7 $ (934.1 ) Customer relationships and other intangibles 7,915.4 (2,672.4 ) 6,367.4 (2,612.3 ) Total finite-lived intangibles 17,950.9 (3,642.5 ) 9,080.1 (3,546.4 ) Indefinite-lived intangibles: Trademarks and trade names 4,204.2 — 4,216.0 — Total intangibles $ 22,155.1 $ (3,642.5 ) $ 13,296.1 $ (3,546.4 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Fair Value Disclosures [Abstract] | |
Financial Assets And Liabilities Carried At Fair Value | A summary of financial assets and liabilities that are measured at fair value on a recurring basis were as follows ($ in millions): Balance, April 3, 2020 Quoted Prices in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Available-for-sale debt securities $ 35.4 $ — $ 35.4 $ — Investment in equity securities 150.1 17.1 — — Cross-currency swap derivative contracts 658.0 — 658.0 — Liabilities: Deferred compensation plans 71.4 — 71.4 — Balance, December 31, 2019 Quoted Prices in Active Market (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Available-for-sale debt securities $ 33.7 $ — $ 33.7 $ — Investment in equity securities 110.8 — — — Cross-currency swap derivative contracts 25.7 — 25.7 — Liabilities: Cross-currency swap derivative contracts 111.7 — 111.7 — Deferred compensation plans 70.4 — 70.4 — |
Carrying Amounts And Fair Values Of Financial Instruments | The carrying amounts and fair values of the Company’s financial instruments were as follows ($ in millions): April 3, 2020 December 31, 2019 Carrying Amount Fair Value Carrying Amount Fair Value Assets: Available-for-sale debt securities $ 35.4 $ 35.4 $ 33.7 $ 33.7 Investment in equity securities 150.1 150.1 110.8 110.8 Cross-currency swap derivative contracts 658.0 658.0 25.7 25.7 Liabilities: Cross-currency swap derivative contracts — — 111.7 111.7 Notes payable and current portion of long-term debt 3,234.3 3,234.3 212.4 212.4 Long-term debt 22,737.2 22,042.6 21,516.7 21,896.9 |
Financing (Tables)
Financing (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Debt Disclosure [Abstract] | |
Components Of Debt | The components of the Company’s debt were as follows ($ in millions): April 3, 2020 December 31, 2019 Euro-denominated commercial paper (€4.3 billion and €4.6 billion, respectively) $ 4,616.0 $ 5,146.2 U.S. dollar-denominated commercial paper 790.2 — 364-day revolving credit facility — — Zero-coupon LYONs due 2021 33.2 33.6 0.352% senior unsecured notes due 2021 (¥30.0 billion aggregate principal amount) (the “2021 Yen Notes”) 276.7 275.8 1.7% senior unsecured notes due 2022 (€800.0 million aggregate principal amount) (the “2022 Euronotes”) 863.8 894.8 Floating rate senior unsecured notes due 2022 (€250.0 million aggregate principal amount) (the “Floating Rate 2022 Euronotes”) 270.1 279.8 2.05% senior notes due 2022 (the “2022 Biopharma Notes”) 697.3 696.9 0.5% senior unsecured bonds due 2023 (CHF 540.0 million aggregate principal amount) (the “2023 CHF Bonds”) 554.7 558.9 1.7% senior notes due 2024 (€750.0 million aggregate principal amount) (the “2024 Euronotes”) 805.5 — 5-year revolving credit facility 2,500.0 — 2.2% senior unsecured notes due 2024 (the “2024 Biopharma Notes”) 696.2 696.2 2.5% senior unsecured notes due 2025 (€800.0 million aggregate principal amount) (the “2025 Euronotes”) 862.6 893.7 3.35% senior unsecured notes due 2025 (the “2025 U.S. Notes”) 497.4 497.3 0.2% senior unsecured notes due 2026 (€1.3 billion aggregate principal amount) (the “2026 Biopharma Euronotes”) 1,343.6 1,392.3 2.1% senior notes due 2026 (€500.0 million aggregate principal amount) (the “2026 Euronotes”) 534.9 — 0.3% senior unsecured notes due 2027 (¥30.8 billion aggregate principal amount) (the “2027 Yen Notes”) 283.4 282.5 1.2% senior unsecured notes due 2027 (€600.0 million aggregate principal amount) (the “2027 Euronotes”) 644.7 668.0 0.45% senior unsecured notes due 2028 (€1.3 billion aggregate principal amount) (the “2028 Biopharma Euronotes”) 1,341.7 1,390.1 1.125% senior unsecured bonds due 2028 (CHF 210.0 million aggregate principal amount) (the “2028 CHF Bonds”) 219.3 221.0 2.6% senior unsecured notes due 2029 (the “2029 Biopharma Notes”) 794.3 794.8 2.5% senior notes due 2030 (€500.0 million aggregate principal amount) (the “2030 Euronotes”) 535.3 — 0.75% senior unsecured notes due 2031 (€1.8 billion aggregate principal amount) (the “2031 Biopharma Euronotes”) 1,880.8 1,948.7 0.65% senior unsecured notes due 2032 (¥53.2 billion aggregate principal amount) (the “2032 Yen Notes”) 489.3 487.8 1.35% senior unsecured notes due 2039 (€1.3 billion aggregate principal amount) (the “2039 Biopharma Euronotes”) 1,335.1 1,383.6 3.25% senior unsecured notes due 2029 (the “2039 Biopharma Notes”) 888.9 890.3 4.375% senior unsecured notes due 2045 (the “2045 U.S. Notes”) 499.4 499.4 1.8% senior unsecured notes due 2049 (€750.0 million aggregate principal amount) (the “2049 Biopharma Euronotes”) 801.7 830.9 3.4% senior unsecured notes due 2049 (the “2049 Biopharma Notes”) 888.4 890.2 Other 27.0 76.3 Total debt 25,971.5 21,729.1 Less: currently payable 3,234.3 212.4 Long-term debt $ 22,737.2 $ 21,516.7 Issue Date Aggregate Principal Amount Stated Annual Interest Rate Issue Price (as % of Principal Amount) Maturity Date Interest Payment Dates (in arrears) 2024 Euronotes March 30, 2020 € 750.0 1.700 % 99.931 % March 30, 2024 March 30 2024 Euronotes April 8, 2020 € 150.0 1.700 % 100.298 % March 30, 2024 March 30 2026 Euronotes March 30, 2020 € 500.0 2.100 % 99.717 % September 30, 2026 September 30 2026 Euronotes April 8, 2020 € 300.0 2.100 % 100.842 % September 30, 2026 September 30 2030 Euronotes March 30, 2020 € 500.0 2.500 % 99.642 % March 30, 2030 March 30 2030 Euronotes April 8, 2020 € 300.0 2.500 % 102.166 % March 30, 2030 March 30 |
Key Terms of Euronotes Offering | The components of the Company’s debt were as follows ($ in millions): April 3, 2020 December 31, 2019 Euro-denominated commercial paper (€4.3 billion and €4.6 billion, respectively) $ 4,616.0 $ 5,146.2 U.S. dollar-denominated commercial paper 790.2 — 364-day revolving credit facility — — Zero-coupon LYONs due 2021 33.2 33.6 0.352% senior unsecured notes due 2021 (¥30.0 billion aggregate principal amount) (the “2021 Yen Notes”) 276.7 275.8 1.7% senior unsecured notes due 2022 (€800.0 million aggregate principal amount) (the “2022 Euronotes”) 863.8 894.8 Floating rate senior unsecured notes due 2022 (€250.0 million aggregate principal amount) (the “Floating Rate 2022 Euronotes”) 270.1 279.8 2.05% senior notes due 2022 (the “2022 Biopharma Notes”) 697.3 696.9 0.5% senior unsecured bonds due 2023 (CHF 540.0 million aggregate principal amount) (the “2023 CHF Bonds”) 554.7 558.9 1.7% senior notes due 2024 (€750.0 million aggregate principal amount) (the “2024 Euronotes”) 805.5 — 5-year revolving credit facility 2,500.0 — 2.2% senior unsecured notes due 2024 (the “2024 Biopharma Notes”) 696.2 696.2 2.5% senior unsecured notes due 2025 (€800.0 million aggregate principal amount) (the “2025 Euronotes”) 862.6 893.7 3.35% senior unsecured notes due 2025 (the “2025 U.S. Notes”) 497.4 497.3 0.2% senior unsecured notes due 2026 (€1.3 billion aggregate principal amount) (the “2026 Biopharma Euronotes”) 1,343.6 1,392.3 2.1% senior notes due 2026 (€500.0 million aggregate principal amount) (the “2026 Euronotes”) 534.9 — 0.3% senior unsecured notes due 2027 (¥30.8 billion aggregate principal amount) (the “2027 Yen Notes”) 283.4 282.5 1.2% senior unsecured notes due 2027 (€600.0 million aggregate principal amount) (the “2027 Euronotes”) 644.7 668.0 0.45% senior unsecured notes due 2028 (€1.3 billion aggregate principal amount) (the “2028 Biopharma Euronotes”) 1,341.7 1,390.1 1.125% senior unsecured bonds due 2028 (CHF 210.0 million aggregate principal amount) (the “2028 CHF Bonds”) 219.3 221.0 2.6% senior unsecured notes due 2029 (the “2029 Biopharma Notes”) 794.3 794.8 2.5% senior notes due 2030 (€500.0 million aggregate principal amount) (the “2030 Euronotes”) 535.3 — 0.75% senior unsecured notes due 2031 (€1.8 billion aggregate principal amount) (the “2031 Biopharma Euronotes”) 1,880.8 1,948.7 0.65% senior unsecured notes due 2032 (¥53.2 billion aggregate principal amount) (the “2032 Yen Notes”) 489.3 487.8 1.35% senior unsecured notes due 2039 (€1.3 billion aggregate principal amount) (the “2039 Biopharma Euronotes”) 1,335.1 1,383.6 3.25% senior unsecured notes due 2029 (the “2039 Biopharma Notes”) 888.9 890.3 4.375% senior unsecured notes due 2045 (the “2045 U.S. Notes”) 499.4 499.4 1.8% senior unsecured notes due 2049 (€750.0 million aggregate principal amount) (the “2049 Biopharma Euronotes”) 801.7 830.9 3.4% senior unsecured notes due 2049 (the “2049 Biopharma Notes”) 888.4 890.2 Other 27.0 76.3 Total debt 25,971.5 21,729.1 Less: currently payable 3,234.3 212.4 Long-term debt $ 22,737.2 $ 21,516.7 Issue Date Aggregate Principal Amount Stated Annual Interest Rate Issue Price (as % of Principal Amount) Maturity Date Interest Payment Dates (in arrears) 2024 Euronotes March 30, 2020 € 750.0 1.700 % 99.931 % March 30, 2024 March 30 2024 Euronotes April 8, 2020 € 150.0 1.700 % 100.298 % March 30, 2024 March 30 2026 Euronotes March 30, 2020 € 500.0 2.100 % 99.717 % September 30, 2026 September 30 2026 Euronotes April 8, 2020 € 300.0 2.100 % 100.842 % September 30, 2026 September 30 2030 Euronotes March 30, 2020 € 500.0 2.500 % 99.642 % March 30, 2030 March 30 2030 Euronotes April 8, 2020 € 300.0 2.500 % 102.166 % March 30, 2030 March 30 |
Hedging Transactions And Deri_2
Hedging Transactions And Derivative Financial Instruments (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments, Gain (Loss) [Table Text Block] | The following table summarizes the notional values as of April 3, 2020 and pretax impact of changes in the fair values of instruments designated as net investment hedges and cash flow hedges in accumulated other comprehensive income (“OCI”) for the three -month periods ended April 3, 2020 and March 29, 2019 ($ in millions): Original Notional Amount Notional Amount Outstanding Gain (Loss) Recognized in OCI For the Three-Month Period Ended April 3, 2020: Net investment hedges: Foreign currency contracts $ 1,875.0 $ 1,000.0 $ 93.3 Foreign currency denominated debt 8,102.9 8,102.9 156.2 Cash flow hedges: Foreign currency contracts 4,000.0 4,000.0 650.8 Total $ 14,827.9 $ 13,102.9 $ 900.3 For the Three-Month Period Ended March 29, 2019: Net investment hedges: Foreign currency contracts $ 1,875.0 $ 1,875.0 $ 14.8 Foreign currency denominated debt 7,518.3 7,518.3 137.8 Total $ 9,393.3 $ 9,393.3 $ 152.6 |
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block] | The following table summarizes the notional values as of April 3, 2020 and pretax impact of changes in the fair values of instruments designated as net investment hedges and cash flow hedges in accumulated other comprehensive income (“OCI”) for the three -month periods ended April 3, 2020 and March 29, 2019 ($ in millions): Original Notional Amount Notional Amount Outstanding Gain (Loss) Recognized in OCI For the Three-Month Period Ended April 3, 2020: Net investment hedges: Foreign currency contracts $ 1,875.0 $ 1,000.0 $ 93.3 Foreign currency denominated debt 8,102.9 8,102.9 156.2 Cash flow hedges: Foreign currency contracts 4,000.0 4,000.0 650.8 Total $ 14,827.9 $ 13,102.9 $ 900.3 For the Three-Month Period Ended March 29, 2019: Net investment hedges: Foreign currency contracts $ 1,875.0 $ 1,875.0 $ 14.8 Foreign currency denominated debt 7,518.3 7,518.3 137.8 Total $ 9,393.3 $ 9,393.3 $ 152.6 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The Company’s derivative instruments, as well as its nonderivative debt instruments designated and qualifying as net investment hedges, were classified in the Company’s Consolidated Condensed Balance Sheet as follows ($ in millions): April 3, 2020 December 31, 2019 Derivative assets: Prepaid expenses and other current assets $ 658.0 $ 25.7 Derivative liabilities: Accrued expenses and other liabilities — 111.7 Nonderivative hedging instruments: Long-term debt 8,102.9 6,275.9 |
Defined Benefit Plans (Tables)
Defined Benefit Plans (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Defined Benefit Plans Disclosures | The net periodic benefit cost of the noncontributory defined benefit pension plans and other postretirement employee benefit plans incurred during the three -month periods ended April 3, 2020 and March 29, 2019 are reflected in the following captions in the accompanying Consolidated Condensed Statements of Earnings ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Service cost: Cost of sales $ (1.5 ) $ (2.0 ) Selling, general and administrative expenses (4.6 ) (5.5 ) Total service cost (6.1 ) (7.5 ) Other n et periodic benefit costs: Other (expense) income, net 5.3 5.1 Total $ (0.8 ) $ (2.4 ) |
Defined benefit pension plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Net Benefit Costs | The following sets forth the components of the Company’s net periodic benefit (cost) of the noncontributory defined benefit pension plans ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 U.S. pension benefits: Service cost $ — $ (1.6 ) Interest cost (16.6 ) (22.2 ) Expected return on plan assets 29.1 31.6 Amortization of actuarial loss (9.0 ) (6.2 ) Amortization of prior service cost (0.2 ) (0.2 ) Net periodic pension benefit $ 3.3 $ 1.4 Non-U.S. pension benefits: Service cost $ (6.0 ) $ (5.8 ) Interest cost (4.5 ) (6.2 ) Expected return on plan assets 8.9 10.1 Amortization of actuarial loss (2.4 ) (1.1 ) Amortization of prior service credit 0.3 — Net periodic pension cost $ (3.7 ) $ (3.0 ) |
Other postretirement benefit plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Net Benefit Costs | The following sets forth the components of the Company’s net periodic benefit cost of the other postretirement employee benefit plans ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Service cost $ (0.1 ) $ (0.1 ) Interest cost (0.8 ) (1.2 ) Amortization of prior service credit 0.5 0.5 Net periodic cost $ (0.4 ) $ (0.8 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Income Tax Disclosure [Abstract] | |
Summary Of Effective Income Tax Rate | The following table summarizes the Company’s effective tax rate: Three-Month Period Ended April 3, 2020 March 29, 2019 Effective tax rate 16.3 % 53.8 % |
Commitments And Contingencies (
Commitments And Contingencies (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Warranty Accrual | The following is a rollforward of the Company’s accrued warranty liability ($ in millions): Balance, December 31, 2019 $ 73.3 Accruals for warranties issued during the period 10.0 Settlements made (9.5 ) Additions due to acquisitions 2.4 Effect of foreign currency translation (2.2 ) Balance, April 3, 2020 $ 74.0 |
Stock Transactions And Stock-_2
Stock Transactions And Stock-Based Compensation (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Share Activity | The following table summarizes the Company’s share activity (shares in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Preferred stock - shares issued: Balance, beginning of period 1.7 — Issuance of MCPS — 1.7 Balance, end of period 1.7 1.7 Common stock - shares issued: Balance, beginning of period 835.5 817.9 Common stock-based compensation awards 1.8 2.0 Common stock issued in connection with LYONs’ conversions — 0.5 Issuance of common stock — 12.1 Balance, end of period 837.3 832.5 |
Components Of Stock-Based Compensation Program | The following summarizes the components of the Company’s stock-based compensation expense ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Restricted stock units (“RSUs”)/performance stock units (“PSUs”): Pretax compensation expense $ 27.6 $ 21.7 Income tax benefit (5.7 ) (4.5 ) RSU/PSU expense, net of income taxes 21.9 17.2 Stock options: Pretax compensation expense 17.6 13.4 Income tax benefit (3.6 ) (2.8 ) Stock option expense, net of income taxes 14.0 10.6 Total stock-based compensation: Pretax compensation expense 45.2 35.1 Income tax benefit (9.3 ) (7.3 ) Total stock-based compensation expense, net of income taxes $ 35.9 $ 27.8 |
Net Earnings Per Common Share_2
Net Earnings Per Common Share From Continuing Operations (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Earnings Per Share [Abstract] | |
Components Of Basic And Diluted Earnings Per Common Share | Information related to the calculation of net earnings from continuing operations per common share is summarized as follows ($ and shares in millions, except per share amounts): Three-Month Period Ended April 3, 2020 March 29, 2019 Numerator: Net earnings from continuing operations $ 595.1 $ 332.3 MCPS dividends (19.6 ) (6.5 ) Net earnings from continuing operations attributable to common stockholders for Basic EPS 575.5 325.8 Adjustment for interest on convertible debentures 0.3 0.5 Net earnings from continuing operations attributable to common stockholders after assumed conversions for Diluted EPS $ 575.8 $ 326.3 Denominator: Weighted average common shares outstanding used in Basic EPS 697.2 707.6 Incremental common shares from: Assumed exercise of dilutive options and vesting of dilutive RSUs and PSUs 9.4 8.7 Assumed conversion of the convertible debentures 1.3 2.2 Weighted average common shares outstanding used in Diluted EPS 707.9 718.5 Basic EPS from continuing operations $ 0.83 $ 0.46 Diluted EPS from continuing operations $ 0.81 $ 0.45 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Apr. 03, 2020 | |
Segment Reporting [Abstract] | |
Segment Results | Segment results are shown below ($ in millions): Three-Month Period Ended April 3, 2020 March 29, 2019 Sales: Life Sciences $ 1,650.4 $ 1,626.9 Diagnostics 1,627.0 1,536.8 Environmental & Applied Solutions 1,065.7 1,056.5 Total $ 4,343.1 $ 4,220.2 Operating profit: Life Sciences $ 325.6 $ 309.0 Diagnostics 251.2 233.1 Environmental & Applied Solutions 239.9 244.6 Other (119.2 ) (67.0 ) Total $ 697.5 $ 719.7 Segment identifiable assets are shown below ($ in millions): April 3, 2020 December 31, 2019 Life Sciences $ 44,765.7 $ 22,381.3 Diagnostics 14,508.4 14,442.2 Environmental & Applied Solutions 4,945.1 4,881.8 Other 4,711.1 20,376.3 Total $ 68,930.3 $ 62,081.6 |
General (Narrative) (Details)
General (Narrative) (Details) - USD ($) $ in Millions | Apr. 03, 2020 | Jan. 01, 2020 | Dec. 31, 2019 |
Operating lease, right-of-use asset | $ 827 | $ 764 | |
Operating lease, liability | $ 860 | $ 797 | |
ASU 2016-13 | |||
Effect of change in accounting principle on retained earnings | $ 8 |
General (Components of Accumula
General (Components of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning balance | $ (3,068.3) | $ (2,791.1) |
Increase (decrease) | 520 | (6.8) |
Income tax impact | (141.4) | (3.6) |
Other comprehensive income (loss) before reclassifications, net of income taxes | 378.6 | (10.4) |
Increase (decrease) | (128) | 7.1 |
Income tax impact | 26.4 | (1.7) |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | (101.6) | 5.4 |
Total other comprehensive income (loss), net of income taxes | 277 | (5) |
Ending balance | (2,791.3) | (2,796.1) |
Foreign Currency Translation Adjustments | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning balance | (2,173.3) | (2,098.1) |
Increase (decrease) | (131.5) | (7.3) |
Income tax impact | (22.4) | (3.5) |
Other comprehensive income (loss) before reclassifications, net of income taxes | (153.9) | (10.8) |
Increase (decrease) | 0 | 0 |
Income tax impact | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | 0 | 0 |
Total other comprehensive income (loss), net of income taxes | (153.9) | (10.8) |
Ending balance | (2,327.2) | (2,108.9) |
Pension & Postretirement Plan Benefit Adjustments | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning balance | (781.5) | (691.1) |
Increase (decrease) | 0 | 0 |
Income tax impact | 0 | 0 |
Other comprehensive income (loss) before reclassifications, net of income taxes | 0 | 0 |
Increase (decrease) | 10.8 | 7.1 |
Income tax impact | (2.6) | (1.7) |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | 8.2 | 5.4 |
Total other comprehensive income (loss), net of income taxes | 8.2 | 5.4 |
Ending balance | (773.3) | (685.7) |
Unrealized Gain (Loss) on Available-For-Sale Securities Adjustments | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning balance | (0.7) | (1.9) |
Increase (decrease) | 0.7 | 0.5 |
Income tax impact | (0.1) | (0.1) |
Other comprehensive income (loss) before reclassifications, net of income taxes | 0.6 | 0.4 |
Increase (decrease) | 0 | 0 |
Income tax impact | 0 | 0 |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | 0 | 0 |
Total other comprehensive income (loss), net of income taxes | 0.6 | 0.4 |
Ending balance | (0.1) | (1.5) |
Cash Flow Hedge Adjustments | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||
Beginning balance | (112.8) | 0 |
Increase (decrease) | 650.8 | 0 |
Income tax impact | (118.9) | 0 |
Other comprehensive income (loss) before reclassifications, net of income taxes | 531.9 | 0 |
Increase (decrease) | (138.8) | 0 |
Income tax impact | 29 | 0 |
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes | (109.8) | 0 |
Total other comprehensive income (loss), net of income taxes | 422.1 | 0 |
Ending balance | $ 309.3 | $ 0 |
Revenue (Narrative) (Details)
Revenue (Narrative) (Details) - USD ($) $ in Millions | Apr. 03, 2020 | Apr. 03, 2020 | Mar. 29, 2019 | Dec. 31, 2019 |
Revenue from Contract with Customer [Abstract] | ||||
Revenue, OTLs and STLs | $ 110 | $ 106 | ||
Revenue, remaining performance obligation | $ 2,400 | 2,400 | ||
Revenue, remaining performance obligation, expected satisfaction in next 12 months, percent | 46.00% | |||
Revenue, remaining performance obligation, expected satisfaction in subsequent 12 months, percent | 24.00% | |||
Contract with customer, asset, net | $ 120 | 120 | $ 77 | |
Contract with customer, liability | $ 1,200 | 1,200 | $ 806 | |
Contract with customer, liability, revenue recognized | $ 268 | $ 267 |
Revenue (Disaggregation of Reve
Revenue (Disaggregation of Revenue by Geographical Region) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Disaggregation of Revenue [Line Items] | ||
Sales | $ 4,343.1 | $ 4,220.2 |
Recurring revenue | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 3,206.9 | 2,974.5 |
Nonrecurring revenue | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 1,136.2 | 1,245.7 |
North America | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 1,872.3 | 1,668.9 |
Western Europe | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 1,037.4 | 1,008.9 |
Other developed markets | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 281.8 | 270.2 |
High-growth markets | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 1,151.6 | 1,272.2 |
Operating segments | Life Sciences | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 1,650.4 | 1,626.9 |
Operating segments | Life Sciences | Recurring revenue | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 1,159.4 | 1,068.2 |
Operating segments | Life Sciences | Nonrecurring revenue | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 491 | 558.7 |
Operating segments | Life Sciences | North America | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 620.7 | 587.3 |
Operating segments | Life Sciences | Western Europe | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 471.6 | 460.3 |
Operating segments | Life Sciences | Other developed markets | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 152.8 | 149.3 |
Operating segments | Life Sciences | High-growth markets | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 405.3 | 430 |
Operating segments | Diagnostics | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 1,627 | 1,536.8 |
Operating segments | Diagnostics | Recurring revenue | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 1,427.9 | 1,324.1 |
Operating segments | Diagnostics | Nonrecurring revenue | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 199.1 | 212.7 |
Operating segments | Diagnostics | North America | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 754.7 | 632.4 |
Operating segments | Diagnostics | Western Europe | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 309.8 | 288.9 |
Operating segments | Diagnostics | Other developed markets | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 98.7 | 92 |
Operating segments | Diagnostics | High-growth markets | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 463.8 | 523.5 |
Operating segments | Environmental & Applied Solutions | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 1,065.7 | 1,056.5 |
Operating segments | Environmental & Applied Solutions | Recurring revenue | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 619.6 | 582.2 |
Operating segments | Environmental & Applied Solutions | Nonrecurring revenue | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 446.1 | 474.3 |
Operating segments | Environmental & Applied Solutions | North America | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 496.9 | 449.2 |
Operating segments | Environmental & Applied Solutions | Western Europe | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 256 | 259.7 |
Operating segments | Environmental & Applied Solutions | Other developed markets | ||
Disaggregation of Revenue [Line Items] | ||
Sales | 30.3 | 28.9 |
Operating segments | Environmental & Applied Solutions | High-growth markets | ||
Disaggregation of Revenue [Line Items] | ||
Sales | $ 282.5 | $ 318.7 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Mar. 01, 2019 | Apr. 03, 2020 | Dec. 31, 2019 | Dec. 31, 2019 | Apr. 30, 2020 |
Business Acquisition [Line Items] | ||||||
Certain product lines, revenues | $ 170 | |||||
Goodwill | $ 11,497.2 | |||||
Subsequent event | ||||||
Business Acquisition [Line Items] | ||||||
Proceeds from sale of certain product lines | $ 825 | |||||
Cytiva | ||||||
Business Acquisition [Line Items] | ||||||
Net cash consideration | $ 20,700 | |||||
Cash acquired | 100 | |||||
Pension liabilities | 400 | 417.2 | ||||
Revenue reported by acquired entity for last annual period | $ 3,300 | |||||
Proceeds from underwritten public offerings of Common Stock and Mandatory Convertible Preferred Stock | $ 3,000 | |||||
Proceeds from term debt | $ 10,800 | |||||
Proceeds from CP borrowings and cash on hand | $ 6,900 | |||||
Goodwill | $ 11,497.2 |
Acquisitions (Fair Values Of Th
Acquisitions (Fair Values Of The Assets Acquired And Liabilities) (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Apr. 03, 2020 | Mar. 29, 2019 | Mar. 31, 2020 | |
Business Acquisition [Line Items] | |||
Goodwill | $ 11,497.2 | ||
Net cash consideration | 20,734.5 | $ 308.2 | |
Cytiva | |||
Business Acquisition [Line Items] | |||
Trade accounts receivable | 488.3 | ||
Inventories | 817 | ||
Property, plant and equipment | 788.9 | ||
Goodwill | 11,497.2 | ||
Other intangible assets, primarily technology and customer relationships | 9,003 | ||
Trade accounts payable | (250.8) | ||
Pension liabilities | (417.2) | $ (400) | |
Deferred tax liabilities | (796.6) | ||
Other assets and liabilities, net | (395.3) | ||
Net cash consideration | $ 20,734.5 |
Acquisitions (Pro Forma Financi
Acquisitions (Pro Forma Financial Information) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Business Combinations [Abstract] | ||
Sales | $ 5,119.5 | $ 4,922.1 |
Net earnings from continuing operations | $ 711.2 | $ 265.3 |
Diluted net earnings per common share from continuing operations (a) | $ 0.98 | $ 0.34 |
Acquisitions (Pro Forma Finan_2
Acquisitions (Pro Forma Financial Information) (Narrative) (Details) - Cytiva - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Fair value adjustment to inventory | ||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Pro forma earnings, adjustments | $ 3 | $ 162 |
Acquisition-related transaction costs | ||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Pro forma earnings, adjustments | $ 59 | $ 15 |
Discontinued Operations (Key Co
Discontinued Operations (Key Components of Income from Discontinued Operations) (Details) $ in Millions | 3 Months Ended |
Mar. 29, 2019USD ($) | |
Discontinued Operations and Disposal Groups [Abstract] | |
Sales | $ 659.7 |
Cost of sales | (296.6) |
Selling, general and administrative expenses | (315.7) |
Research and development expenses | (43.3) |
Other income | 0.1 |
Interest expense | (2.8) |
Earnings from discontinued operations before income taxes | 1.4 |
Income taxes | 0.1 |
Earnings from discontinued operations, net of income taxes | $ 1.5 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets (Narrative) (Details) $ in Millions | 3 Months Ended |
Apr. 03, 2020USD ($) | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Acquired finite-lived intangible assets, weighted average useful life | 14 years |
Asset impairment charges, long-lived assets | $ 8 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets (Rollforward of Goodwill) (Details) $ in Millions | 3 Months Ended |
Apr. 03, 2020USD ($) | |
Goodwill [Roll Forward] | |
Balance, beginning of period | $ 22,712.5 |
Attributable to 2020 acquisitions | 11,497.2 |
Adjustments due to finalization of purchase price allocations | 0.7 |
Foreign currency translation and other | (484.9) |
Balance, end of period | $ 33,725.5 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets (Goodwill by Segment) (Details) - USD ($) $ in Millions | Apr. 03, 2020 | Dec. 31, 2019 |
Goodwill [Line Items] | ||
Total goodwill | $ 33,725.5 | $ 22,712.5 |
Operating segments | Life Sciences | ||
Goodwill [Line Items] | ||
Total goodwill | 24,703 | 13,471.8 |
Operating segments | Diagnostics | ||
Goodwill [Line Items] | ||
Total goodwill | 6,740.1 | 6,901.2 |
Operating segments | Environmental & Applied Solutions | ||
Goodwill [Line Items] | ||
Total goodwill | $ 2,282.4 | $ 2,339.5 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets (Schedule of Finite-lived Intangible Assets And Indefinite-lived Intangible Assets By Major Class) (Details) - USD ($) $ in Millions | Apr. 03, 2020 | Dec. 31, 2019 |
Finite-lived intangibles, gross carrying amount | $ 17,950.9 | $ 9,080.1 |
Finite-lived intangibles, accumulated amortization | (3,642.5) | (3,546.4) |
Total intangibles, gross carrying amount | 22,155.1 | 13,296.1 |
Trademarks and trade names | ||
Indefinite-lived intangibles, gross carrying amount | 4,204.2 | 4,216 |
Patents and technology | ||
Finite-lived intangibles, gross carrying amount | 10,035.5 | 2,712.7 |
Finite-lived intangibles, accumulated amortization | (970.1) | (934.1) |
Customer relationships and other intangibles | ||
Finite-lived intangibles, gross carrying amount | 7,915.4 | 6,367.4 |
Finite-lived intangibles, accumulated amortization | $ (2,672.4) | $ (2,612.3) |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) $ / shares in Units, $ in Millions | 3 Months Ended |
Apr. 03, 2020USD ($)$ / shares | |
Fair Value Disclosures [Abstract] | |
Unrealized loss on investments | $ | $ (7) |
Unrealized loss on investments, per diluted common share | $ / shares | $ (0.01) |
Fair Value Measurements (Financ
Fair Value Measurements (Financial Assets and Liabilities Carried at Fair Value) (Details) - USD ($) $ in Millions | Apr. 03, 2020 | Dec. 31, 2019 |
Assets: | ||
Available-for-sale debt securities | $ 35.4 | $ 33.7 |
Investment in equity securities | 150.1 | 110.8 |
Cross-currency swap derivative contracts | 658 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 111.7 | |
Deferred compensation plans | 71.4 | 70.4 |
Quoted Prices in Active Market (Level 1) | ||
Assets: | ||
Available-for-sale debt securities | 0 | 0 |
Investment in equity securities | 17.1 | 0 |
Cross-currency swap derivative contracts | 0 | 0 |
Liabilities: | ||
Cross-currency swap derivative contracts | 0 | |
Deferred compensation plans | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Available-for-sale debt securities | 35.4 | 33.7 |
Investment in equity securities | 0 | 0 |
Cross-currency swap derivative contracts | 658 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 111.7 | |
Deferred compensation plans | 71.4 | 70.4 |
Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Available-for-sale debt securities | 0 | 0 |
Investment in equity securities | 0 | 0 |
Cross-currency swap derivative contracts | 0 | 0 |
Liabilities: | ||
Cross-currency swap derivative contracts | 0 | |
Deferred compensation plans | $ 0 | $ 0 |
Fair Value Measurements (Carryi
Fair Value Measurements (Carrying Amounts and Fair Values of Financial Instruments) (Details) - USD ($) $ in Millions | Apr. 03, 2020 | Dec. 31, 2019 |
Assets: | ||
Available-for-sale debt securities | $ 35.4 | $ 33.7 |
Investment in equity securities | 150.1 | 110.8 |
Cross-currency swap derivative contracts | 658 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 111.7 | |
Carrying Amount | ||
Assets: | ||
Available-for-sale debt securities | 35.4 | 33.7 |
Investment in equity securities | 150.1 | 110.8 |
Cross-currency swap derivative contracts | 658 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 0 | 111.7 |
Notes payable and current portion of long-term debt | 3,234.3 | 212.4 |
Long-term debt | 22,737.2 | 21,516.7 |
Fair Value | ||
Assets: | ||
Available-for-sale debt securities | 35.4 | 33.7 |
Investment in equity securities | 150.1 | 110.8 |
Cross-currency swap derivative contracts | 658 | 25.7 |
Liabilities: | ||
Cross-currency swap derivative contracts | 0 | 111.7 |
Notes payable and current portion of long-term debt | 3,234.3 | 212.4 |
Long-term debt | $ 22,042.6 | $ 21,896.9 |
Financing (Narrative) (Details)
Financing (Narrative) (Details) $ / shares in Units, shares in Thousands, € in Millions | Apr. 08, 2020USD ($) | Apr. 08, 2020EUR (€) | Apr. 07, 2020USD ($) | Apr. 03, 2020USD ($)$ / shares | Apr. 03, 2020USD ($)$ / shares | Mar. 31, 2020 | Mar. 30, 2020USD ($) | Mar. 30, 2020EUR (€) | Mar. 24, 2020USD ($) | Apr. 03, 2020USD ($)$ / sharesshares | May 01, 2020USD ($) | Dec. 31, 2019USD ($)$ / shares |
Debt Instrument [Line Items] | ||||||||||||
Debt discounts, premiums and debt issuance costs | $ 131,000,000 | $ 131,000,000 | $ 131,000,000 | $ 112,000,000 | ||||||||
Common stock, par value | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | ||||||||
Commercial paper | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Long-term commercial paper | $ 2,500,000,000 | $ 2,500,000,000 | $ 2,500,000,000 | |||||||||
Weighted average interest rate of long-term debt, interest rate | 0.20% | 0.20% | 0.20% | |||||||||
Weighted average maturity of long-term debt, at point in time | 56 days | |||||||||||
Commercial paper | Subsequent event | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Short-term and long-term commercial paper | $ 3,400,000,000 | |||||||||||
Senior notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Proceeds from issuance of debt | $ 1,900,000,000 | € 1,700 | ||||||||||
Senior notes | Subsequent event | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Proceeds from issuance of debt | $ 816,000,000 | € 754 | ||||||||||
Zero-coupon LYONs due 2021 | Convertible debt | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Shares issued under debt conversion, shares | shares | 10 | |||||||||||
Revolving credit facility | Subsequent event | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of credit | $ 5,000,000,000 | |||||||||||
Long-term debt | Revolving credit facility | 5-year revolving credit facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of credit | $ 5,000,000,000 | $ 5,000,000,000 | $ 5,000,000,000 | |||||||||
Long-term line of credit | $ 2,500,000,000 | |||||||||||
Line of credit facility, interest rate | 1.90% | 1.70% | ||||||||||
Line of credit, outstanding | 2,500,000,000 | $ 2,500,000,000 | 2,500,000,000 | |||||||||
Short-term debt | Revolving credit facility | 364-day revolving credit facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of credit | $ 5,000,000,000 | 5,000,000,000 | 5,000,000,000 | |||||||||
Debt instrument, covenants, conversion fee, percent | 0.75% | |||||||||||
Line of credit, short-term, outstanding | $ 0 | $ 0 | $ 0 | |||||||||
Short-term debt | Revolving credit facility | 364-day revolving credit facility | Subsequent event | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Long-term line of credit | $ 2,500,000,000 | |||||||||||
Line of credit facility, interest rate | 2.30% |
Financing (Components Of Debt)
Financing (Components Of Debt) (Details) € in Millions, SFr in Millions, $ in Millions, ¥ in Billions | Apr. 03, 2020CHF (SFr) | Apr. 03, 2020JPY (¥) | Apr. 03, 2020USD ($) | Apr. 03, 2020EUR (€) | Mar. 30, 2020EUR (€) | Dec. 31, 2019CHF (SFr) | Dec. 31, 2019JPY (¥) | Dec. 31, 2019USD ($) | Dec. 31, 2019EUR (€) |
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 25,971.5 | $ 21,729.1 | |||||||
Less: currently payable | 3,234.3 | 212.4 | |||||||
Long-term debt excluding currently payable | 22,737.2 | 21,516.7 | |||||||
Other | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | 27 | 76.3 | |||||||
Revolving credit facility | 364-day revolving credit facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | 0 | 0 | |||||||
Revolving credit facility | 5-year revolving credit facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | 2,500 | 0 | |||||||
Commercial paper | Euro-denominated commercial paper | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | 4,616 | € 4,300 | 5,146.2 | € 4,600 | |||||
Commercial paper | U.S. dollar-denominated commercial paper | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | 790.2 | 0 | |||||||
Senior notes | 0.352% senior notes due 2021 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 276.7 | 275.8 | |||||||
Interest rate of debt instrument | 0.352% | 0.352% | 0.352% | 0.352% | |||||
Aggregate principal amount | ¥ | ¥ 30 | ¥ 30 | |||||||
Senior notes | 1.7% senior notes due 2022 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 863.8 | 894.8 | |||||||
Interest rate of debt instrument | 1.70% | 1.70% | 1.70% | 1.70% | |||||
Aggregate principal amount | € | € 800 | 800 | |||||||
Senior notes | Floating rate senior notes due 2022 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 270.1 | 279.8 | |||||||
Aggregate principal amount | € | € 250 | 250 | |||||||
Senior notes | 2.05% senior notes due 2022 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 697.3 | 696.9 | |||||||
Interest rate of debt instrument | 2.05% | 2.05% | 2.05% | 2.05% | |||||
Senior notes | 1.7% senior notes due 2024 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 805.5 | 0 | |||||||
Interest rate of debt instrument | 1.70% | 1.70% | 1.70% | 1.70% | 1.70% | ||||
Aggregate principal amount | € | € 750 | € 750 | 0 | ||||||
Senior notes | 2.2% senior notes due 2024 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 696.2 | 696.2 | |||||||
Interest rate of debt instrument | 2.20% | 2.20% | 2.20% | 2.20% | |||||
Senior notes | 2.5% senior notes due 2025 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 862.6 | 893.7 | |||||||
Interest rate of debt instrument | 2.50% | 2.50% | 2.50% | 2.50% | |||||
Aggregate principal amount | € | € 800 | 800 | |||||||
Senior notes | 3.35% senior notes due 2025 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 497.4 | 497.3 | |||||||
Interest rate of debt instrument | 3.35% | 3.35% | 3.35% | 3.35% | |||||
Senior notes | 0.2% senior notes due 2026 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 1,343.6 | 1,392.3 | |||||||
Interest rate of debt instrument | 0.20% | 0.20% | 0.20% | 0.20% | |||||
Aggregate principal amount | € | € 1,300 | 1,300 | |||||||
Senior notes | 2.1% senior notes due 2026 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 534.9 | 0 | |||||||
Interest rate of debt instrument | 2.10% | 2.10% | 2.10% | 2.10% | 2.10% | ||||
Aggregate principal amount | € | € 500 | € 500 | 0 | ||||||
Senior notes | 0.3% senior notes due 2027 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 283.4 | 282.5 | |||||||
Interest rate of debt instrument | 0.30% | 0.30% | 0.30% | 0.30% | |||||
Aggregate principal amount | ¥ | ¥ 30.8 | 30.8 | |||||||
Senior notes | 1.2% senior notes due 2027 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 644.7 | 668 | |||||||
Interest rate of debt instrument | 1.20% | 1.20% | 1.20% | 1.20% | |||||
Aggregate principal amount | € | € 600 | 600 | |||||||
Senior notes | 0.45% senior notes due 2028 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 1,341.7 | 1,390.1 | |||||||
Interest rate of debt instrument | 0.45% | 0.45% | 0.45% | 0.45% | |||||
Aggregate principal amount | € | € 1,300 | 1,300 | |||||||
Senior notes | 2.6% senior notes due 2029 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 794.3 | 794.8 | |||||||
Interest rate of debt instrument | 2.60% | 2.60% | 2.60% | 2.60% | |||||
Senior notes | 2.5% senior notes due 2030 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 535.3 | 0 | |||||||
Interest rate of debt instrument | 2.50% | 2.50% | 2.50% | 2.50% | 2.50% | ||||
Aggregate principal amount | € | € 500 | € 500 | 0 | ||||||
Senior notes | 0.75% senior notes due 2031 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 1,880.8 | 1,948.7 | |||||||
Interest rate of debt instrument | 0.75% | 0.75% | 0.75% | 0.75% | |||||
Aggregate principal amount | € | € 1,800 | 1,800 | |||||||
Senior notes | 0.65% senior notes due 2032 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 489.3 | 487.8 | |||||||
Interest rate of debt instrument | 0.65% | 0.65% | 0.65% | 0.65% | |||||
Aggregate principal amount | ¥ | ¥ 53.2 | ¥ 53.2 | |||||||
Senior notes | 1.35% senior notes due 2039 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 1,335.1 | 1,383.6 | |||||||
Interest rate of debt instrument | 1.35% | 1.35% | 1.35% | 1.35% | |||||
Aggregate principal amount | € | € 1,300 | 1,300 | |||||||
Senior notes | 3.25% senior notes due 2039 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 888.9 | 890.3 | |||||||
Interest rate of debt instrument | 3.25% | 3.25% | 3.25% | 3.25% | |||||
Senior notes | 4.375% senior notes due 2045 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 499.4 | 499.4 | |||||||
Interest rate of debt instrument | 4.375% | 4.375% | 4.375% | 4.375% | |||||
Senior notes | 1.8% senior notes due 2049 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 801.7 | 830.9 | |||||||
Interest rate of debt instrument | 1.80% | 1.80% | 1.80% | 1.80% | |||||
Aggregate principal amount | € | € 750 | € 750 | |||||||
Senior notes | 3.4% senior notes due 2049 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 888.4 | 890.2 | |||||||
Interest rate of debt instrument | 3.40% | 3.40% | 3.40% | 3.40% | |||||
Convertible debt | Zero-coupon LYONs due 2021 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 33.2 | 33.6 | |||||||
Interest rate of debt instrument | 0.00% | 0.00% | 0.00% | 0.00% | |||||
Bonds | 0.5% senior bonds due 2023 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 554.7 | 558.9 | |||||||
Interest rate of debt instrument | 0.50% | 0.50% | 0.50% | 0.50% | |||||
Aggregate principal amount | SFr | SFr 540 | SFr 540 | |||||||
Bonds | 1.125% senior bonds due 2028 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt | $ 219.3 | $ 221 | |||||||
Interest rate of debt instrument | 1.125% | 1.125% | 1.125% | 1.125% | |||||
Aggregate principal amount | SFr | SFr 210 | SFr 210 |
Financing (Key Terms of Euronot
Financing (Key Terms of Euronotes Offering) (Details) - Senior notes - EUR (€) € in Millions | Apr. 08, 2020 | Mar. 30, 2020 | Apr. 03, 2020 | Dec. 31, 2019 |
1.7% senior notes due 2024 | ||||
Debt Instrument [Line Items] | ||||
Interest rate of debt instrument | 1.70% | 1.70% | ||
Debt Instrument, Redemption Price, Percentage | 99.931% | |||
Aggregate principal amount | € 750 | € 750 | € 0 | |
1.7% senior notes due 2024 | Subsequent event | ||||
Debt Instrument [Line Items] | ||||
Interest rate of debt instrument | 1.70% | |||
Debt Instrument, Redemption Price, Percentage | 100.298% | |||
Aggregate principal amount | € 150 | |||
2.1% senior notes due 2026 | ||||
Debt Instrument [Line Items] | ||||
Interest rate of debt instrument | 2.10% | 2.10% | ||
Debt Instrument, Redemption Price, Percentage | 99.717% | |||
Aggregate principal amount | € 500 | € 500 | 0 | |
2.1% senior notes due 2026 | Subsequent event | ||||
Debt Instrument [Line Items] | ||||
Interest rate of debt instrument | 2.10% | |||
Debt Instrument, Redemption Price, Percentage | 100.842% | |||
Aggregate principal amount | € 300 | |||
2.5% senior notes due 2030 | ||||
Debt Instrument [Line Items] | ||||
Interest rate of debt instrument | 2.50% | 2.50% | ||
Debt Instrument, Redemption Price, Percentage | 99.642% | |||
Aggregate principal amount | € 500 | € 500 | € 0 | |
2.5% senior notes due 2030 | Subsequent event | ||||
Debt Instrument [Line Items] | ||||
Interest rate of debt instrument | 2.50% | |||
Debt Instrument, Redemption Price, Percentage | 102.166% | |||
Aggregate principal amount | € 300 |
Hedging Transactions And Deri_3
Hedging Transactions And Derivative Financial Instruments (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Derivative [Line Items] | ||
Reclassification from AOCI, before tax | $ 128 | $ (7.1) |
Net investment hedges | Foreign currency contracts | ||
Derivative [Line Items] | ||
Derivative, notional amount outstanding | 1,000 | 1,875 |
Derivative, original notional amount | 1,875 | 1,875 |
Cash Flow Hedge Adjustments | ||
Derivative [Line Items] | ||
Reclassification from AOCI, before tax | 138.8 | $ 0 |
Cash Flow Hedge Adjustments | Foreign currency contracts | ||
Derivative [Line Items] | ||
Reclassification from AOCI, before tax | (139) | |
Cash Flow Hedge Adjustments | Interest rate swap | ||
Derivative [Line Items] | ||
Reclassification from AOCI, before tax | $ (1) |
Hedging Transactions And Deri_4
Hedging Transactions And Derivative Financial Instruments (Summary of Notional Values and Pretax Impact in Fair Values of Net Investment Hedges) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative and nonderivative, original notional amount | $ 14,827.9 | $ 9,393.3 |
Derivative and nonderivative, notional amount | 13,102.9 | 9,393.3 |
Derivative and nonderivative, gain (loss) recognized in OCI | 900.3 | 152.6 |
Net investment hedges | Foreign currency contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative, original notional amount | 1,875 | 1,875 |
Derivative, notional amount outstanding | 1,000 | 1,875 |
Derivative, gain (loss) recognized in OCI | 93.3 | 14.8 |
Net investment hedges | Foreign currency denominated debt | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Nonderivative, notional amount | 8,102.9 | 7,518.3 |
Nonderivative, gain (loss) recognized in OCI | 156.2 | $ 137.8 |
Cash flow hedges | Foreign currency contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative, original notional amount | 4,000 | |
Derivative, notional amount outstanding | 4,000 | |
Derivative, gain (loss) recognized in OCI | $ 650.8 |
Hedging Transactions And Deri_5
Hedging Transactions And Derivative Financial Instruments (Derivative and Nonderivative Debt Instruments) (Details) - Net investment hedges - USD ($) $ in Millions | Apr. 03, 2020 | Dec. 31, 2019 |
Prepaid expenses and other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | $ 658 | $ 25.7 |
Accrued expenses and other liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 0 | 111.7 |
Long-term debt | ||
Derivatives, Fair Value [Line Items] | ||
Nonderivative, notional amount | $ 8,102.9 | $ 6,275.9 |
Defined Benefit Plans (Narrativ
Defined Benefit Plans (Narrative) (Details) - Defined benefit pension plans $ in Millions | Apr. 03, 2020USD ($) |
U.S. pension benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected future employer contributions, current fiscal year | $ 85 |
Non-U.S. pension benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected future employer contributions, current fiscal year | $ 50 |
Defined Benefit Plans (Componen
Defined Benefit Plans (Components of Net Periodic Benefit Cost of Defined Benefit Pension Pans) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ (6.1) | $ (7.5) |
Net periodic benefit (cost) | (0.8) | (2.4) |
Defined benefit pension plans | U.S. pension benefits | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | 0 | (1.6) |
Interest cost | (16.6) | (22.2) |
Expected return on plan assets | 29.1 | 31.6 |
Amortization of actuarial loss | (9) | (6.2) |
Amortization of prior service (cost) credit | (0.2) | (0.2) |
Net periodic benefit (cost) | 3.3 | 1.4 |
Defined benefit pension plans | Non-U.S. pension benefits | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | (6) | (5.8) |
Interest cost | (4.5) | (6.2) |
Expected return on plan assets | 8.9 | 10.1 |
Amortization of actuarial loss | (2.4) | (1.1) |
Amortization of prior service (cost) credit | 0.3 | 0 |
Net periodic benefit (cost) | $ (3.7) | $ (3) |
Defined Benefit Plans (Compon_2
Defined Benefit Plans (Components of Net Periodic Benefit Cost of Other Postretirement Benefit Pension Pans) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ (6.1) | $ (7.5) |
Net periodic benefit (cost) | (0.8) | (2.4) |
Other postretirement benefit plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | (0.1) | (0.1) |
Interest cost | (0.8) | (1.2) |
Amortization of prior service (cost) credit | 0.5 | 0.5 |
Net periodic benefit (cost) | $ (0.4) | $ (0.8) |
Defined Benefit Plans (Compon_3
Defined Benefit Plans (Components of Net Periodic Benefit Cost Reflected in the Consolidated Condensed Statement of Earnings) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Total service cost | $ (6.1) | $ (7.5) |
Other (expense) income, net | 5.3 | 5.1 |
Net periodic benefit (cost) | (0.8) | (2.4) |
Cost of sales | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total service cost | (1.5) | (2) |
Selling, general and administrative expenses | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total service cost | $ (4.6) | $ (5.5) |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) $ / shares in Units, kr in Millions, $ in Millions | Dec. 31, 2017 | Apr. 03, 2020USD ($)$ / shares | Mar. 29, 2019USD ($)$ / shares | Dec. 21, 2017 | Dec. 31, 2015USD ($) | Dec. 16, 2019DKK (kr) | Aug. 27, 2019DKK (kr) | Dec. 10, 2013DKK (kr) |
Income Tax Examination [Line Items] | ||||||||
Federal statutory income tax rate, percent | 21.00% | 21.00% | 21.00% | 35.00% | ||||
Net tax benefits, impact, amount | $ 27 | $ 245 | ||||||
Net tax benefits, impact, per diluted common share | $ / shares | $ 0.04 | $ 0.34 | ||||||
Net tax benefits, impact, percent | 34.00% | |||||||
Income tax examination, proposed adjustments to taxable income | $ 2,700 | |||||||
Foreign tax authority | ||||||||
Income Tax Examination [Line Items] | ||||||||
Income tax examination, amount of tax assessments 2004-2009 | $ 257 | kr 1,800 | ||||||
Income tax examination, amount of tax assessments 2010-2012 | 156 | kr 1,100 | ||||||
Income tax examination, amount of tax assessments 2013-2015 | $ 111 | kr 767 |
Income Taxes (Summary Of Danahe
Income Taxes (Summary Of Danaher's Effective Income Tax Rate) (Details) | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Income Tax Disclosure [Abstract] | ||
Effective tax rate | 16.30% | 53.80% |
Nonoperating Income (Expense) (
Nonoperating Income (Expense) (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Other Income and Expenses [Abstract] | ||
Other nonoperating income, net pension and postretirement benefits | $ 5 | $ 5 |
Unrealized loss on investments | $ (7) | |
Unrealized loss on investments, per diluted common share | $ (0.01) |
Commitments And Contingencies_2
Commitments And Contingencies (Warranty Accrual) (Details) $ in Millions | 3 Months Ended |
Apr. 03, 2020USD ($) | |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | |
Balance, beginning of period | $ 73.3 |
Accruals for warranties issued during the period | 10 |
Settlements made | (9.5) |
Additions due to acquisitions | 2.4 |
Effect of foreign currency translation | (2.2) |
Balance, end of period | $ 74 |
Stock Transactions And Stock-_3
Stock Transactions And Stock-Based Compensation (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Apr. 03, 2020 | Dec. 31, 2019 | Mar. 01, 2019 | Apr. 03, 2020 | Mar. 29, 2019 | Apr. 15, 2022 | Jul. 16, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Authorized shares to be repurchased | 20,000,000 | ||||||
Remaining number of shares authorized to be repurchased | 20,000,000 | 20,000,000 | |||||
Common stock, proceeds from issuance | $ 0 | $ 1,443.2 | |||||
Preferred stock, shares issued | 1,650,000 | 1,650,000 | 1,650,000 | ||||
Preferred stock, dividend rate, percent | 4.75% | 4.75% | |||||
Preferred stock, proceeds from the issuance | $ 0 | $ 1,599.6 | |||||
Common shares reserved for issuance under the 2007 Omnibus Incentive Plan, shares | 55,000,000 | 55,000,000 | |||||
Restricted stock units (“RSUs”)/performance stock units (“PSUs”) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Total unrecognized compensation cost | $ 231 | $ 231 | |||||
Weighted average period for cost to be recognized | 3 years | ||||||
Stock options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Total unrecognized compensation cost | $ 204 | $ 204 | |||||
Weighted average period for cost to be recognized | 3 years | ||||||
Common stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Issuance of stock | 12,100,000 | 0 | 12,100,000 | ||||
Common stock issued, price per share | $ 123 | ||||||
Common stock, proceeds from issuance | $ 1,400 | ||||||
Payments of stock issuance costs | 45 | ||||||
Preferred stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Issuance of stock | 0 | 1,700,000 | |||||
Payments of stock issuance costs | $ 50 | ||||||
Preferred stock, shares issued | 1,650,000 | ||||||
Preferred stock, dividend rate, percent | 4.75% | ||||||
Preferred stock, liquidation preference per share | $ 1,000 | ||||||
Preferred stock, proceeds from the issuance | $ 1,600 | ||||||
Convertible preferred stock, threshold consecutive trading days | 20 | ||||||
Preferred stock, annual liquidation preference, per share | $ 47.50 | ||||||
Preferred stock | Scenario, forecast | Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Convertible preferred stock, shares issued upon conversion | 6.6542 | ||||||
Preferred stock | Scenario, forecast | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Convertible preferred stock, shares issued upon conversion | 8.1513 |
Stock Transactions And Stock-_4
Stock Transactions And Stock-Based Compensation (Summary of Share Activity) (Details) - shares shares in Millions | Mar. 01, 2019 | Apr. 03, 2020 | Mar. 29, 2019 |
Preferred stock - shares issued: | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balance, beginning of period | 1.7 | 0 | |
Issuance of stock | 0 | 1.7 | |
Balance, end of period | 1.7 | 1.7 | |
Common stock - shares issued: | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Balance, beginning of period | 835.5 | 817.9 | |
Issuance of stock | 12.1 | 0 | 12.1 |
Common stock-based compensation awards | 1.8 | 2 | |
Common stock issued in connection with LYONs’ conversions | 0 | 0.5 | |
Balance, end of period | 837.3 | 832.5 |
Stock Transactions And Stock-_5
Stock Transactions And Stock-Based Compensation (Components of Stock-Based Compensation Program) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Pretax compensation expense | $ 45.2 | $ 35.1 |
Income tax benefit | (9.3) | (7.3) |
Total stock-based compensation expense, net of income taxes | 35.9 | 27.8 |
Restricted stock units (“RSUs”)/performance stock units (“PSUs”) | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Pretax compensation expense | 27.6 | 21.7 |
Income tax benefit | (5.7) | (4.5) |
Total stock-based compensation expense, net of income taxes | 21.9 | 17.2 |
Stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Pretax compensation expense | 17.6 | 13.4 |
Income tax benefit | (3.6) | (2.8) |
Total stock-based compensation expense, net of income taxes | $ 14 | $ 10.6 |
Net Earnings Per Common Share_3
Net Earnings Per Common Share From Continuing Operations (Narrative) (Details) - shares shares in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Common stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 2 | 0 |
Preferred stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 12 | 13 |
Net Earnings Per Common Share_4
Net Earnings Per Common Share From Continuing Operations (Components of Basic and Diluted Earnings per Common Share) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | |
Apr. 03, 2020 | Mar. 29, 2019 | |
Numerator | ||
Net earnings from continuing operations | $ 595.1 | $ 332.3 |
MCPS dividends | (19.6) | (6.5) |
Net earnings from continuing operations attributable to common stockholders for Basis EPS | 575.5 | 325.8 |
Adjustment for interest on convertible debentures | 0.3 | 0.5 |
Net earnings from continuing operations attributable to common stockholders after assumed conversions for Diluted EPS | $ 575.8 | $ 326.3 |
Denominator | ||
Weighted average common shares outstanding (used in Basic EPS) | 697.2 | 707.6 |
Assumed exercise of dilutive options and vesting of dilutive RSUs and PSUs | 9.4 | 8.7 |
Assumed conversion of the convertible debentures | 1.3 | 2.2 |
Weighted average common shares outstanding (used in Diluted EPS) | 707.9 | 718.5 |
Basic EPS from continuing operations | $ 0.83 | $ 0.46 |
Diluted EPS from continuing operations | $ 0.81 | $ 0.45 |
Segment Information (Narrative)
Segment Information (Narrative) (Details) | 3 Months Ended |
Apr. 03, 2020Business | |
Segment Reporting [Abstract] | |
Number of segments reported | 3 |
Segment Information (Segment Re
Segment Information (Segment Results) (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Apr. 03, 2020 | Mar. 29, 2019 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||
Sales | $ 4,343.1 | $ 4,220.2 | |
Operating profit | 697.5 | 719.7 | |
Identifiable assets | 68,930.3 | $ 62,081.6 | |
Other | |||
Segment Reporting Information [Line Items] | |||
Operating profit | (119.2) | (67) | |
Identifiable assets | 4,711.1 | 20,376.3 | |
Life Sciences | Operating segments | |||
Segment Reporting Information [Line Items] | |||
Sales | 1,650.4 | 1,626.9 | |
Operating profit | 325.6 | 309 | |
Identifiable assets | 44,765.7 | 22,381.3 | |
Diagnostics | Operating segments | |||
Segment Reporting Information [Line Items] | |||
Sales | 1,627 | 1,536.8 | |
Operating profit | 251.2 | 233.1 | |
Identifiable assets | 14,508.4 | 14,442.2 | |
Environmental & Applied Solutions | Operating segments | |||
Segment Reporting Information [Line Items] | |||
Sales | 1,065.7 | 1,056.5 | |
Operating profit | 239.9 | $ 244.6 | |
Identifiable assets | $ 4,945.1 | $ 4,881.8 |