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Identifiable Intangible Assets

9 Months Ended

Sep. 30, 2025

NOTE 5 – Identifiable intangible assets:

Identifiable intangible assets consisted of the following:


	Gross carrying amount net of impairment				Accumulated amortization				Net carrying amount
	September 30, 2025		December 31, 2024		September 30, 2025		December 31, 2024		September 30, 2025		December 31, 2024
	(U.S. $ in millions)
Product rights	$	16,338	$	15,915	$	12,872	$	11,998	$	3,466	$	3,917
Trade names		595		568		331		300		264		268
In process research and development		206		233		—		—		206		233

Total	$	17,139	$	16,716	$	13,203	$	12,298	$	3,936	$	4,418

Product rights and trade names

Product rights and trade names are assets presented at amortized cost. Product rights and trade names represent a portfolio of pharmaceutical products in various therapeutic categories from various acquisitions with a weighted average life period of approximately 8 years.

Amortization of intangible assets was $144 million and $146 million in the three months ended September 30, 2025 and 2024, respectively.

Amortization of intangible assets was $436 million and $444 million in the nine months ended September 30, 2025 and 2024, respectively.

IPR&D

Teva’s IPR&D are assets that have not yet been approved in its major markets. IPR&D carries intrinsic risks that the asset might not succeed in advanced phases and may be impaired in future periods.

Intangible assets impairments

Impairments of long-lived intangible assets for the three months ended September 30, 2025 and 2024 were $64 million and $28 million, respectively.

Impairments in the third quarter of 2025 consisted of:

(a)

Identifiable product rights of $57 million, mainly related to updated market assumptions regarding price and volume of products mainly in the U.S.; and

(b)

IPR&D assets of $7 million, mainly related to generic pipeline products resulting from development progress and changes in other key valuation indications mainly in the U.S. (e.g., market size, competition assumptions, legal landscape and launch date).

Impairments in the third quarter of 2024 consisted of identifiable product rights of $28 million, mainly due to updated market assumptions regarding price and volume of products mainly in the U.S.

Impairments of long-lived intangible assets for the nine months ended September 30, 2025 and 2024 were $227 million and $169 million, respectively.

Impairments in the first nine months of 2025 consisted of:

(a)

Identifiable product rights of $210 million due to: (i) $123 million mainly related to updated market assumptions regarding price and volume of products in Europe and in the U.S., and (ii) $87 million mainly related to a change in Teva’s commercial plan regarding certain products as part of its optimization efforts mainly in the U.S.; and

(b)

IPR&D assets of $17 million, mainly related to generic pipeline products resulting from development progress and changes in other key valuation indications mainly in the U.S. (e.g., market size, competition assumptions, legal landscape and launch date).

Impairments in the first nine months of 2024 consisted of:

(a)

Identifiable product rights of $136 million, mainly due to updated market assumptions regarding price and volume of products mainly in the U.S.; and

(b)

IPR&D assets of $33 million, mainly due to generic pipeline products resulting from development progress and changes in other key valuation indications mainly in the U.S. (e.g., market size, competition assumptions, legal landscape and launch date).

The fair value measurement of the impaired intangible assets in the first nine months ended September 30, 2025, is based on significant unobservable inputs in the market and thus represents a Level 3 measurement within the fair value hierarchy. The discount rate applied ranged between

8.25

% to 9.25%. A probability of success factor of

was used in the fair value calculation to reflect inherent regulatory and commercial risk of IPR&D.