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Basis of Presentation
6 Months Ended
Jun. 28, 2025
Basis of Presentation [Abstract]  
Basis of Presentation
Note 1 – Basis of Presentation
Our condensed consolidated financial statements include the accounts of Henry
 
Schein, Inc., and all of our
controlled subsidiaries and VIE (“we”, “us” and “our”).
 
All intercompany accounts and transactions are eliminated
in consolidation.
 
Investments in unconsolidated affiliates for which we have the ability to influence
 
the operating
or financial decisions are accounted for under the equity method.
 
Certain prior period amounts have been
reclassified to conform to the current period presentation.
 
These reclassifications, individually and in the
aggregate, did not have a material impact on our condensed consolidated
 
financial condition, results of operations
or cash flows.
Our accompanying unaudited condensed consolidated financial statements
 
have been prepared in accordance with
accounting principles generally accepted in the United States
 
(“U.S. GAAP”) for interim financial information and
with the instructions to Form 10-Q and Article 10 of Regulation S-X.
 
Accordingly, they do not include all of the
information and footnote disclosures required by U.S. GAAP for complete
 
financial statements.
The unaudited interim condensed consolidated financial statements should be
 
read in conjunction with the audited
consolidated financial statements and notes to the consolidated financial
 
statements contained in our Annual Report
on Form 10-K for the year ended December 28, 2024 and with the information
 
contained in our other publicly-
available filings with the Securities and Exchange Commission.
 
The condensed consolidated financial statements
reflect all adjustments considered necessary for a fair presentation of
 
the consolidated results of operations and
financial position for the interim periods presented.
 
All such adjustments are of a normal recurring nature.
 
The preparation of consolidated financial statements in conformity with
 
accounting principles generally accepted in
the United States requires us to make estimates and assumptions that
 
affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of
 
the financial statements and the reported
amounts of revenues and expenses during the reporting period.
 
Actual results could differ from those estimates.
 
The results of operations for the three and six months ended June 28,
 
2025 are not necessarily indicative of the
results to be expected for any other interim period or for the year ending
 
December 27, 2025.
Our condensed consolidated financial statements reflect estimates and
 
assumptions made by us that affect, among
other things, our goodwill, long-lived asset and definite-lived intangible
 
asset valuation; inventory valuation; equity
investment valuation; assessment of the annual effective tax rate; valuation of
 
deferred income taxes and income
tax contingencies; the allowance for credit losses; hedging activity; supplier
 
rebates; measurement of compensation
cost for certain share-based performance awards and cash bonus plans; and
 
pension plan assumptions.
The primary beneficiary of a VIE is required to consolidate the assets and
 
liabilities of the VIE.
 
We are deemed to
be the primary beneficiary of the VIE when we have the power to direct activities
 
that most significantly affect its
economic performance and have the obligation to absorb the majority of
 
its losses or the right to receive benefits
that could potentially be significant to the VIE.
 
In determining whether we are the primary beneficiary, we
consider factors such as ownership interest, debt investments, management
 
representation, authority to control
decisions, and contractual and substantive participating rights of each party.
 
For this VIE, related to our U.S. trade
accounts receivable securitization as discussed in
 
the trade accounts receivable transferred to the
VIE are pledged as collateral to the related debt.
 
The VIE’s creditors have recourse to us for losses on these trade
accounts receivable.
 
At June 28, 2025 and December 28, 2024, certain trade accounts
 
receivable that can only be
used to settle obligations of this VIE were $
440
 
million and $
241
 
million, respectively, and the liabilities of this
VIE where the creditors have recourse to us were $
330
 
million and $
150
 
million, respectively.