OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION

3 Months Ended

Mar. 31, 2025

Other Balance Sheet And Statement Of Operations Information [Abstract]

OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION

The following tables contain additional detail related to certain balance sheet captions:


	March 31, 2025		December 31, 2024
Other current assets:
Prepaid taxes	$	100	$	81
Prepaid expenses	184		179
Capitalized costs to obtain and fulfill sales contracts	139		131
Foreign exchange forwards on certain assets and liabilities	8		—

Interest receivable on interest rate and cross currency swaps	42		77
Other	41		47
Total other current assets	$	514	$	515

Other assets:
Investments in non-consolidated affiliates	$	489	$	465
Deposits for real-estate leases	16		15
Indemnification assets related to acquisitions	111		109
Mutual funds, certificates of deposit and money market deposit accounts/funds	105		98
Company owned life insurance (at contract value)	49		48
Capitalized costs to obtain sales contracts	224		214
Derivative instruments designated as accounting hedges	3		58
Pension and other retirement employee benefits	61		60
Other	78		99
Total other assets	$	1,136	$	1,166

Accounts payable and accrued liabilities:
Salaries and benefits	$	163	$	133
Incentive compensation	105		452
Customer credits, advanced payments and advanced billings	155		142

Dividends	7		32
Professional service fees	38		38
Interest accrued on debt	42		92
Accounts payable	98		53
Income taxes	205		144
Pension and other retirement employee benefits	11		11
Accrued royalties	27		25
Foreign exchange forwards on certain assets and liabilities	8		21
Restructuring liability	51		46

Derivative instruments designated as accounting hedges	10		3
Interest payable on interest rate and cross currency swaps	39		60
Other	90		92
Total accounts payable and accrued liabilities	$	1,049	$	1,344






































	March 31, 2025		December 31, 2024
Other liabilities:
Pension and other retirement employee benefits	$	196	$	195

Interest accrued on UTPs	52		47
MAKS indemnification provisions	18		19
Income tax liability - non-current portion	12		12
Derivative instruments designated as accounting hedges	244		192

Other	52		52
Total other liabilities	$	574	$	517

Investments in non-consolidated affiliates:

The following table provides additional detail regarding Moody's investments in non-consolidated affiliates, as included in other assets in the consolidated balance sheets:


	March 31, 2025		December 31, 2024
Equity method investments (1)	$	139	$	127
Investments measured using the measurement alternative (2)	338		328
Other	12		10
Total investments in non-consolidated affiliates	$	489	$	465
(1) Equity securities in which the Company has significant influence over the investee but does not have a controlling financial interest in accordance with ASC Topic 323.
(2) Equity securities without readily determinable fair value for which the Company has elected to apply the measurement alternative in accordance with ASC Topic 321.

Moody's holds various investments accounted for under the equity method, the most significant of which is the Company's minority investment in CCXI. Moody's also holds various investments measured using the measurement alternative, the most significant of which is the Company's minority interest in BitSight.

Earnings from non-consolidated affiliates, which are included within other non-operating income, net, are disclosed within the table below.

Other non-operating income, net:

The following table summarizes the components of other non-operating income, net:


	Three Months Ended March 31,
	2025		2024
FX loss	$	(5)	$	(3)
Net periodic pension income - non-service and non-interest cost components	9		8
Income from investments in non-consolidated affiliates	11		—

Gain on investments	3		3
Other	1		5
Total	$	19	$	13

Charges related to asset abandonment:

During the three months ended March 31, 2025, the Company recorded charges related to asset abandonment of $2 million. These charges were related to severance incurred pursuant to a reduction in staff due to the Company's decision in 2024 to outsource the production of certain sustainability content utilized in our product offerings. Cumulative charges relating to this action as of March 31, 2025 were $45 million, which include both severance and incremental amortization expense related to the change in estimated useful lives of certain internally developed software and amortizable intangible assets that are associated with the sustainability content offerings for which production is being outsourced.