Financial assets and liabilities measured at fair value

12 Months Ended

Dec. 31, 2024

Financial assets and liabilities measured at fair value

Under IFRS 7 (Financial Instruments: Disclosures), fair value measurements must be classified using a fair value hierarchy with the

following levels:

•level 1: quoted prices in active markets for identical assets or liabilities (without modification or repackaging);

•level 2: quoted prices in active markets for similar assets and liabilities, or valuation techniques in which all important inputs are

derived from observable market data; and

•level 3: valuation techniques in which not all important inputs are derived from observable market data.

The valuation techniques used are described in Note B.8.5.

The table below shows the balance sheet amounts of assets and liabilities measured at fair value.


		2024			2023			2022
		Level in the fair value hierarchy			Level in the fair value hierarchy			Level in the fair value hierarchy
(€ million)	Note	Level 1	Level 2	Level 3	Level 1	Level 2	Level 3	Level 1	Level 2	Level 3
Financial assets measured at fair value
Quoted equity investments	D.7.1.	467	—	—	470	—	—	387	—	—
Unquoted equity investments	D.7.1.	—	—	1,092	—	—	618	—	—	549
Quoted debt securities	D.7.2.	357	—	—	346	—	—	329	—	—
Unquoted debt securities not meeting the definition of equity instruments	D.7.3.	—	—	339	—	—	132	—	—	115
Contingent consideration relating to divestments	D.7.3. & D.11.	—	—	286	—	—	214	—	—	303
Financial assets held to meet obligations under deferred compensation plans	D.7.3. & D.11.	688	—	—	572	—	—	512	—	—
Non-current derivatives	D.7.	—	—	—	—	—	—	—	—	—
Current derivatives	D.11.	—	217	—	—	201	—	—	206	—
Mutual fund investments	D.13.	4,161	—	—	5,349	—	—	9,537	—	—
Total financial assets measured at fair value		5,673	217	1,717	6,737	201	964	10,765	206	967
Financial liabilities measured at fair value
Bayer contingent purchase consideration arising from the acquisition of Genzyme	D.18.	—	—	—	—	—	—	—	—	26
MSD contingent consideration (European vaccines business)	D.18.	—	—	72	—	—	127	—	—	204
Shire contingent consideration arising from the acquisition of Translate Bio	D.18.	—	—	568	—	—	441	—	—	380
Contingent consideration arising from acquisition of Amunix	D.18.	—	—	—	—	—	137	—	—	165
Other contingent consideration arising from business combinations and acquisitions	D.18.	—	—	1	—	—	4	—	—	4
Non-current derivatives	D.20.	—	121	—	—	164	—	—	232	—
Current derivatives	D.19.5	—	337	—	—	127	—	—	94	—
Total financial liabilities measured at fair value		—	458	641	—	291	709	—	326	779

No transfers between the different levels of the fair value hierarchy occurred during 2024.