OTHER FINANCIAL INFORMATION

9 Months Ended

Sep. 30, 2024

Other Financial Information [Abstract]

Accounts Receivable, Net

The following table summarizes our Accounts receivable, net:


(in millions)	September 30, 2024		December 31, 2023
Accounts receivable	$	5,462	$	5,495
Less: allowances for chargebacks	722		679
Less: allowances for cash discounts and other	89		101
Less: allowances for credit losses	65		56
Accounts receivable, net	$	4,587	$	4,660

The majority of our trade accounts receivable arises from product sales in the U.S. and Europe.

Inventories

The following table summarizes our Inventories:


(in millions)	September 30, 2024		December 31, 2023
Raw materials	$	1,332	$	1,246
Work in process	684		847
Finished goods	1,419		1,272
Total	$	3,435	$	3,366
Reported as:
Inventories	$	1,869	$	1,787
Other long-term assets(1)	1,566		1,578
Total	$	3,435	$	3,366

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(1) Amounts primarily consist of raw materials.

Other Current Liabilities

The following table summarizes the components of Other current liabilities:


(in millions)	September 30, 2024		December 31, 2023
Compensation and employee benefits	$	1,051	$	1,201
Income taxes payable	1,536		1,208
Allowance for sales returns	321		387
Other	1,988		2,334
Other current liabilities	$	4,896	$	5,130

Accumulated Other Comprehensive Income

The following tables summarize the changes in Accumulated other comprehensive income by component, net of tax:


(in millions)	Foreign Currency Translation		Unrealized Gains and Losses on Available-for-Sale Debt Securities, Net of Tax		Unrealized Gains and Losses on Cash Flow Hedges, Net of Tax		Total
Balance as of December 31, 2023	$	62	$	(5)	$	(29)	$	28
Net unrealized gain	38		—		20		58
Reclassifications to net income	—		5		(17)		(12)
Net current period other comprehensive income	38		5		3		45
Balance as of September 30, 2024	$	100	$	—	$	(27)	$	73


(in millions)	Foreign Currency Translation		Unrealized Gains and Losses on Available-for-Sale Debt Securities, Net of Tax		Unrealized Gains and Losses on Cash Flow Hedges, Net of Tax		Total
Balance as of December 31, 2022	$	2	$	(33)	$	33	$	2
Net unrealized (loss) gain	(3)		10		65		72
Reclassifications to net income	—		2		(44)		(42)
Net current period other comprehensive (loss) income	(3)		11		21		30
Balance as of September 30, 2023	$	(1)	$	(22)	$	54	$	31

Restructuring

During the three and nine months ended September 30, 2024, we incurred restructuring charges of $28 million and $112 million, respectively, primarily related to the initiation of reductions in our commercial and research and development workforce. We recorded $5 million and $68 million of these charges in Research and development expenses and $23 million and $45 million of these charges in Selling, general and administrative expenses on our Condensed Consolidated Statements of Operations during the three and nine months ended September 30, 2024, respectively.