2024 Q3 Form 10-Q Financial Statement

#000137371524000344 Filed on October 24, 2024

View on sec.gov

Income Statement

Concept 2024 Q3
Revenue $2.797B
YoY Change 22.25%
Cost Of Revenue $584.0M
YoY Change 17.74%
Gross Profit $2.213B
YoY Change 23.49%
Gross Profit Margin 79.12%
Selling, General & Admin $1.169B
YoY Change 15.51%
% of Gross Profit 52.82%
Research & Development $626.0M
YoY Change 14.03%
% of Gross Profit 28.29%
Depreciation & Amortization $96.00M
YoY Change -2.04%
% of Gross Profit 4.34%
Operating Expenses $1.795B
YoY Change 14.99%
Operating Profit $418.0M
YoY Change 80.95%
Interest Expense $102.0M
YoY Change 34.21%
% of Operating Profit 24.4%
Other Income/Expense, Net -$10.00M
YoY Change -28.57%
Pretax Income $516.0M
YoY Change 72.58%
Income Tax $84.00M
% Of Pretax Income 16.28%
Net Earnings $432.0M
YoY Change 78.51%
Net Earnings / Revenue 15.45%
Basic Earnings Per Share $2.09
Diluted Earnings Per Share $2.07
COMMON SHARES
Basic Shares Outstanding 206.2M shares
Diluted Shares Outstanding 208.6M shares

Balance Sheet

Concept 2024 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $5.295B
YoY Change 30.19%
Cash & Equivalents $1.885B
Short-Term Investments $3.410B
Other Short-Term Assets $1.093B
YoY Change 34.77%
Inventory
Prepaid Expenses
Receivables $1.308B
Other Receivables $0.00
Total Short-Term Assets $7.696B
YoY Change 27.29%
LONG-TERM ASSETS
Property, Plant & Equipment $1.718B
YoY Change 43.29%
Goodwill $1.291B
YoY Change 7.23%
Intangibles $214.0M
YoY Change -11.57%
Long-Term Investments $3.829B
YoY Change 30.28%
Other Assets $635.0M
YoY Change 41.11%
Total Long-Term Assets $10.74B
YoY Change 18.72%
TOTAL ASSETS
Total Short-Term Assets $7.696B
Total Long-Term Assets $10.74B
Total Assets $18.43B
YoY Change 22.15%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $165.0M
YoY Change 139.13%
Accrued Expenses $1.058B
YoY Change 5.69%
Deferred Revenue $5.457B
YoY Change 22.91%
Short-Term Debt $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $6.786B
YoY Change 21.16%
LONG-TERM LIABILITIES
Long-Term Debt $1.489B
YoY Change 0.13%
Other Long-Term Liabilities $142.0M
YoY Change 52.69%
Total Long-Term Liabilities $142.0M
YoY Change 52.69%
TOTAL LIABILITIES
Total Short-Term Liabilities $6.786B
Total Long-Term Liabilities $142.0M
Total Liabilities $9.144B
YoY Change 15.62%
SHAREHOLDERS EQUITY
Retained Earnings $3.110B
YoY Change 75.31%
Common Stock $7.126B
YoY Change 21.87%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $9.290B
YoY Change
Total Liabilities & Shareholders Equity $18.43B
YoY Change 22.15%

Cashflow Statement

Concept 2024 Q3
OPERATING ACTIVITIES
Net Income $432.0M
YoY Change 78.51%
Depreciation, Depletion And Amortization $96.00M
YoY Change -2.04%
Cash From Operating Activities $671.0M
YoY Change 115.76%
INVESTING ACTIVITIES
Capital Expenditures $202.0M
YoY Change 48.53%
Acquisitions
YoY Change
Other Investing Activities -$456.0M
YoY Change 17.22%
Cash From Investing Activities -$658.0M
YoY Change 25.33%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -292.0M
YoY Change -12.31%
NET CHANGE
Cash From Operating Activities 671.0M
Cash From Investing Activities -658.0M
Cash From Financing Activities -292.0M
Net Change In Cash -279.0M
YoY Change -48.99%
FREE CASH FLOW
Cash From Operating Activities $671.0M
Capital Expenditures $202.0M
Free Cash Flow $469.0M
YoY Change 168.0%

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us-gaap Use Of Estimates
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<div style="text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Use of Estimates</span></div>The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make certain estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements, as well as reported amounts of revenues and expenses during the reporting period. Such management estimates and assumptions include, but are not limited to, standalone selling price for each distinct performance obligation included in customer contracts with multiple performance obligations, the period of benefit for deferred commissions, valuation of intangible assets, the useful life of property and equipment and identifiable intangible assets, stock-based compensation expense and income taxes. Actual results could differ from those estimates.
us-gaap Concentration Risk Credit Risk
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<div style="text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:109%">Concentration of Credit Risk and Significant Customers</span></div><div><span><br/></span></div><div style="text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Credit risk arising from accounts receivable is mitigated to a certain extent due to our large number of customers and their dispersion across various industries and geographies. We had one customer, a U.S. federal channel partner and systems integrator, that represented 27% of our accounts receivable balance as of September 30, 2024 and 11% of our total revenues for each of the three and nine months ended September 30, 2024. Based on our periodic credit evaluations, there have been no historical collection concerns with this customer. There were no customers that individually exceeded 10% of our accounts receivable balance as of December 31, 2023 or our total revenues for each of the three and nine months ended September 30, 2023. For purposes of assessing concentration of credit risk and significant customers, a group of customers under common control or customers that are affiliates of each other are regarded as a single customer.</span></div>
us-gaap Prior Period Reclassification Adjustment Description
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<div style="text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:109%">Revision of Prior Period Financial Statement</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:109%">s</span></div><div><span><br/></span></div><div style="text-align:justify;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">During the quarter ended June 30, 2024, the Company identified an immaterial error in the condensed consolidated statements of cash flows for the period ended March 31, 2024 relating to a misclassification between investing cash outflows and financing cash outflows. The second installment payment for a business combination completed during the quarter ended September 30, 2023, totaling $184 million, was incorrectly classified as an investing cash outflow instead of a financing cash outflow. The Company determined that the error was not material to any previously issued financial statements and will revise such error in its Quarterly Report on Form 10-Q for the three months ending March 31, 2025.</span></div>
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us-gaap Amortization Of Intangible Assets
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us-gaap Amortization Of Intangible Assets
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CY2024Q3 us-gaap Property Plant And Equipment Net
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us-gaap Depreciation
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us-gaap Depreciation
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CY2024Q3 us-gaap Contract With Customer Liability Revenue Recognized
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CY2023Q3 us-gaap Contract With Customer Liability Revenue Recognized
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us-gaap Contract With Customer Liability Revenue Recognized
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us-gaap Contract With Customer Liability Revenue Recognized
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CY2024Q3 us-gaap Revenue Remaining Performance Obligation
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CY2024Q3 us-gaap Revenue Remaining Performance Obligation Percentage
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CY2024Q3 us-gaap Revenue Remaining Performance Obligation Expected Timing Of Satisfaction Period1
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CY2023Q4 now Fair Value Measurement Debt Basis Amount
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us-gaap Other Comprehensive Income Loss Net Of Tax
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CY2024Q3 us-gaap Common Stock Shares Authorized
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CY2024Q3 us-gaap Common Stock Shares Outstanding
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us-gaap Stock Issued During Period Shares New Issues
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CY2023Q2 srt Stock Repurchase Program Authorized Amount1
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CY2024Q3 us-gaap Treasury Stock Shares Acquired
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us-gaap Treasury Stock Shares Acquired
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CY2024Q3 us-gaap Treasury Stock Value Acquired Cost Method
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us-gaap Treasury Stock Value Acquired Cost Method
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us-gaap Treasury Stock Shares Acquired
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CY2023Q3 us-gaap Treasury Stock Shares Acquired
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us-gaap Treasury Stock Value Acquired Cost Method
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CY2024Q3 us-gaap Stock Repurchase Program Remaining Authorized Repurchase Amount1
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ShareBasedCompensationArrangementByShareBasedPaymentAwardNumberOfEquityIncentivePlans
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us-gaap Share Based Compensation Arrangement By Share Based Payment Award Number Of Additional Shares Authorized
ShareBasedCompensationArrangementByShareBasedPaymentAwardNumberOfAdditionalSharesAuthorized
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CY2023Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
1150000 shares
CY2023Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
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603.30
us-gaap Stock Issued During Period Shares Stock Options Exercised
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us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Exercises In Period Weighted Average Exercise Price
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us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercises In Period Total Intrinsic Value
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34000000 usd
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Forfeitures In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriod
128000 shares
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Forfeitures In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice
645.02
CY2024Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
948000 shares
CY2024Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
619.04
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Outstanding Weighted Average Remaining Contractual Term2
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm2
P6Y9M18D
CY2024Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingIntrinsicValue
261000000 usd
CY2024Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingNumber
837000 shares
CY2024Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageExercisePrice
610.33
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Vested And Expected To Vest Outstanding Weighted Average Remaining Contractual Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageRemainingContractualTerm1
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CY2024Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Aggregate Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingAggregateIntrinsicValue
238000000 usd
CY2024Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercisable Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableNumber
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CY2024Q3 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercisable Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableWeightedAverageExercisePrice
433.25
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Exercisable Weighted Average Remaining Contractual Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsExercisableWeightedAverageRemainingContractualTerm1
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CY2024Q3 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Exercisable Intrinsic Value1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsExercisableIntrinsicValue1
110000000 usd
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Vested In Period Fair Value1
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41000000 usd
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
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CY2024Q3 us-gaap Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Stock Options
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10000000 usd
CY2024Q3 us-gaap Net Income Loss
NetIncomeLoss
432000000 usd
CY2023Q3 us-gaap Net Income Loss
NetIncomeLoss
242000000 usd
us-gaap Net Income Loss
NetIncomeLoss
1041000000 usd
us-gaap Net Income Loss
NetIncomeLoss
1436000000 usd
CY2024Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
206158000 shares
CY2023Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
204464000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
205639000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
203961000 shares
CY2024Q3 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
208552000 shares
CY2023Q3 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
206277000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
208004000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
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CY2024Q3 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
2.09
CY2023Q3 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
1.18
us-gaap Earnings Per Share Basic
EarningsPerShareBasic
5.06
us-gaap Earnings Per Share Basic
EarningsPerShareBasic
7.04
CY2024Q3 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
2.07
CY2023Q3 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
1.17
us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
5.00
us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
7.00
CY2024Q3 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
1082000 shares
CY2023Q3 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
3068000000 shares
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
2715000 shares
us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
3647000000 shares
CY2024Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
84000000 usd
us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
234000000 usd
CY2023Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
57000000 usd
us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
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CY2023Q3 us-gaap Valuation Allowance Deferred Tax Asset Change In Amount
ValuationAllowanceDeferredTaxAssetChangeInAmount
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CY2024Q3 us-gaap Operating Lease Cost
OperatingLeaseCost
33000000 usd
us-gaap Operating Lease Cost
OperatingLeaseCost
98000000 usd
CY2023Q3 us-gaap Operating Lease Cost
OperatingLeaseCost
33000000 usd
us-gaap Operating Lease Cost
OperatingLeaseCost
96000000 usd
us-gaap Operating Lease Payments
OperatingLeasePayments
61000000 usd
us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability
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us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability
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CY2024Q3 us-gaap Operating Lease Weighted Average Remaining Lease Term1
OperatingLeaseWeightedAverageRemainingLeaseTerm1
P8Y
CY2024Q3 us-gaap Operating Lease Weighted Average Discount Rate Percent
OperatingLeaseWeightedAverageDiscountRatePercent
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CY2024Q3 us-gaap Lessee Operating Lease Liability Payments Remainder Of Fiscal Year
LesseeOperatingLeaseLiabilityPaymentsRemainderOfFiscalYear
31000000 usd
CY2024Q3 us-gaap Lessee Operating Lease Liability Payments Due Next Twelve Months
LesseeOperatingLeaseLiabilityPaymentsDueNextTwelveMonths
135000000 usd
CY2024Q3 us-gaap Lessee Operating Lease Liability Payments Due Year Two
LesseeOperatingLeaseLiabilityPaymentsDueYearTwo
112000000 usd
CY2024Q3 us-gaap Lessee Operating Lease Liability Payments Due Year Three
LesseeOperatingLeaseLiabilityPaymentsDueYearThree
97000000 usd
CY2024Q3 us-gaap Lessee Operating Lease Liability Payments Due Year Four
LesseeOperatingLeaseLiabilityPaymentsDueYearFour
91000000 usd
CY2024Q3 now Lessee Operating Lease Liability To Be Paid Due After Year Four
LesseeOperatingLeaseLiabilityToBePaidDueAfterYearFour
428000000 usd
CY2024Q3 us-gaap Lessee Operating Lease Liability Payments Due
LesseeOperatingLeaseLiabilityPaymentsDue
894000000 usd
CY2024Q3 us-gaap Lessee Operating Lease Liability Undiscounted Excess Amount
LesseeOperatingLeaseLiabilityUndiscountedExcessAmount
138000000 usd
CY2024Q3 us-gaap Operating Lease Liability
OperatingLeaseLiability
756000000 usd
CY2024Q3 us-gaap Unrecorded Unconditional Purchase Obligation Balance Sheet Amount
UnrecordedUnconditionalPurchaseObligationBalanceSheetAmount
50000000 usd
CY2024Q3 us-gaap Purchase Obligation
PurchaseObligation
805000000 usd
CY2024Q3 us-gaap Unrecognized Tax Benefits That Would Impact Effective Tax Rate
UnrecognizedTaxBenefitsThatWouldImpactEffectiveTaxRate
60000000 usd
CY2024Q3 us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
2797000000 usd
CY2023Q3 us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
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us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
8027000000 usd
us-gaap Revenue From Contract With Customer Excluding Assessed Tax
RevenueFromContractWithCustomerExcludingAssessedTax
6534000000 usd
CY2024Q3 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
1718000000 usd
CY2023Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
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now Percentageof U.S.Revenuesin North America
PercentageofU.S.RevenuesinNorthAmerica
0.94
now Percentageof U.S.Revenuesin North America
PercentageofU.S.RevenuesinNorthAmerica
0.94
CY2024Q3 now Percentageof U.S.Revenuesin North America
PercentageofU.S.RevenuesinNorthAmerica
0.94
CY2023Q3 now Percentageof U.S.Revenuesin North America
PercentageofU.S.RevenuesinNorthAmerica
0.94
CY2024Q3 now Percentage Of Us Net Property And Equipment North America
PercentageOfUSNetPropertyAndEquipmentNorthAmerica
0.78
CY2023Q4 now Percentage Of Us Net Property And Equipment North America
PercentageOfUSNetPropertyAndEquipmentNorthAmerica
0.79
CY2024Q3 ecd Non Rule10b51 Arr Trmntd Flag
NonRule10b51ArrTrmntdFlag
false
CY2024Q3 ecd Rule10b51 Arr Trmntd Flag
Rule10b51ArrTrmntdFlag
false
CY2024Q3 ecd Non Rule10b51 Arr Adopted Flag
NonRule10b51ArrAdoptedFlag
false

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