XML 32 R11.htm IDEA: XBRL DOCUMENT

DISCONTINUED OPERATIONS	6 Months Ended
DISCONTINUED OPERATIONS	Jun. 30, 2026
Discontinued Operations and Disposal Groups [Abstract]
DISCONTINUED OPERATIONS	4. DISCONTINUED OPERATIONS The Company sold (i) its Critical Care product group ("Critical Care") to Becton, Dickinson and Company (“BD”) in September 2024 and (ii) a business that was not focused on implantable medical innovations for structural heart diseases (the “non-core product group”) in December 2025 (collectively, the “discontinued product groups”). The Company determined that the conditions for the discontinued operations presentation had been met with respect to the discontinued product groups for the three and six months ended June 30, 2025. In 2025, the Company paid BD $36.3 million for certain working capital adjustments in connection with the sale of Critical Care. In connection with the sale of its non-core product group, the Company entered into a transition services agreement (“TSA”) with the buyer to provide certain support services for up to one year from the closing date of the sale (with certain extension rights as provided therein), the impact of which has not been and is not expected to be material. In connection with the sale of Critical Care, the Company entered into a TSA with BD to provide certain support services for up to 36 months from the closing date of the sale (with certain extension rights as provided therein). These support services may be in the areas of accounting, information technology, human resources, quality assurance, regulatory affairs, customer support, and global supply chain, among others. In connection with the TSA, the Company recorded an unfavorable contract liability, which is recognized over the TSA term. As of June 30, 2026 and December 31, 2025, the remaining unfavorable contract liability was $22.8 million and $37.3 million, respectively, included in Accrued and Other Liabilities and Other Liabilities. In addition, Edwards and BD entered into other agreements to provide a framework for the ongoing activities between the Company and BD after the sale and until the end of the TSA including, but not limited to, a manufacturing and supply agreement, a quality agreement, and interim operating model agreements to support the commercial operations until there has been a full transfer of all regulatory licenses to BD and completion of services under the TSA agreement. Under these agreements, the Company will continue to provide certain services to BD during the term of these agreements including serving as an undisclosed selling and purchasing agent for the Critical Care product group on behalf of BD for a period of up to 36 months. As of June 30, 2026, the Company had a net payable of approximately $113.9 million to BD related to the services under the agreements. The Company recorded income from the TSA of $11.5 million and $24.7 million during the three and six months ended June 30, 2026, respectively, which is recorded in Other Operating Income.