What changed in this filing

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Item 2. Management’s Discussion and Analysis

2026-07-28 compared with 2026-05-05 · 110 added, 65 removed, 215 unchanged (45% of the section changed)

59 unchanged sentences

Foreign Currency Translation

In the first three months of 2026, approximately 30% of our revenues were denominated in currencies other than the United States dollar, which represents approximately 60 currencies.

In the first six months of 2026, approximately 30% of our revenues were denominated in currencies other than the United States dollar, which represents approximately 60 currencies.

Because a large portion of our revenues and expenses are denominated in foreign currencies and our financial statements are reported in United States dollars, changes in foreign currency exchange rates can significantly affect our results of operations.

4 unchanged sentences

As such, the differences noted below between reported results of operations and constant currency information are wholly attributable to the effects of foreign currency rate fluctuations.

For the three and six months ended June 30, 2026, foreign currency exchange rate fluctuations had an immaterial impact on our income from operations.

Consolidated Results of Operations

For information regarding our results of operations for Commercial Solutions and Research & Development Solutions, refer to “Segment Results of Operations” later in this section.

Three Months Ended March 31, Change

Three Months Ended June 30, Change

(in millions)

Revenues $ 4,368 $ 4,017 $ 351 8.7 %

For the first quarter of 2026, our revenues increased $322 million, or 8.4%, as compared to the same period in 2025.

For the second quarter of 2026, our revenues increased $351 million, or 8.7%, as compared to the same period in 2025.

This increase was comprised of constant currency revenue growth of approximately $343 million, or 8.5%, reflecting a $139 million increase in Commercial Solutions and a $204 million increase in Research & Development Solutions.

Six Months Ended June 30, Change

(in millions)

Revenues $ 8,519 $ 7,846 $ 673 8.6 %

For the first six months of 2026, our revenues increased $673 million, or 8.6%, as compared to the same period in 2025.

This increase was comprised of constant currency revenue growth of approximately $571 million, or 7.3%, reflecting a $273 million increase in Commercial Solutions and a $298 million increase in Research & Development Solutions.

Cost of Revenues, exclusive of Depreciation and Amortization

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

(in millions) 2026 2025 2026 2025

1 unchanged sentence

% of revenues 67.1 % 67.1 % 67.2 % 66.6 %

The $265 million increase in cost of revenues, exclusive of depreciation and amortization, for the three months ended March 31, 2026 as compared to the same period in 2025 included a constant currency increase of approximately $185 million, or 7.3%, reflecting a $108 million increase in Commercial Solutions and a $77 million increase in Research & Development Solutions.

For the second quarter of 2026, our cost of revenues, exclusive of depreciation and amortization increased $239 million, or 8.9%, as compared to the same period in 2025.

For the first six months of 2026, our cost of revenues, exclusive of depreciation and amortization increased $504 million, or 9.6%, as compared to the same period in 2025.

The increase for both periods is primarily due to increases in compensation and related expenses, and reimbursed expenses to support revenue growth.

Selling, General and Administrative Expenses

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

(in millions)

2026 2025 2026 2025

Selling, general and administrative expenses $ 574 $ 509 $ 1,076 $ 1,017

1 unchanged sentence

13.1 % 12.7 % 12.6 % 13.0 %

The $6 million decrease in selling, general and administrative expenses for the three months ended March 31, 2026 as compared to the same period in 2025 included a constant currency decrease of approximately $21 million, or 4.1%, reflecting a $6 million increase in Commercial Solutions, a $18 million increase in Research & Development Solutions, and a $45 million decrease in general corporate and unallocated expenses.

For the second quarter of 2026 our selling, general and administrative expenses increased $65 million, or 12.8%, as compared to the same period in 2025.

For the first six months of 2026 our selling, general and administrative expenses increased $59 million, or 5.8%, as compared to the same period in 2025.

The increase for both periods is primarily due to increases in compensation and related expenses, including stock-based compensation.

Depreciation and Amortization

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

(in millions) 2026 2025 2026 2025

1 unchanged sentence

% of revenues

The $23 million increase in depreciation and amortization for the three months ended March 31, 2026 compared to the same period in 2025 is mainly related to an increase in amortization of capitalized software costs and intangible assets from acquisitions occurring in 2025 and 2026.

6.7 % 6.9 % 6.8 % 6.9 %

The $16 million and $39 million increase in depreciation and amortization for the three and six months ended June 30, 2026 compared to the same periods in 2025 is mainly related to an increase in amortization of capitalized software costs and intangible assets from acquisitions occurring in 2025 and 2026.

Restructuring Costs

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

(in millions) 2026 2025 2026 2025

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Interest Income and Interest Expense

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

(in millions) 2026 2025 2026 2025

2 unchanged sentences

Interest income includes interest received primarily from bank balances and investments.

Interest income during the three months ended March 31, 2026 decreased as compared to the same period in 2025, primarily as a result of lower deposit rates.

Interest expense during the three months ended March 31, 2026 increased compared to the same period in 2025 as a result of higher outstanding debt balances.

Interest income during the three and six months ended June 30, 2026 decreased as compared to the same periods in 2025, primarily as a result of lower deposit rates and balances.

Interest expense during the three and six months ended June 30, 2026 increased compared to the same periods in 2025 as a result of higher outstanding debt balances.

Other Expense, Net

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

(in millions) 2026 2025 2026 2025

Other expense, net $ 12 $ 11 $ 16 $ 26

Other expense, net for the three months ended March 31, 2026 decreased compared to the same period in 2025 primarily due to more foreign currency gain on transactions, offset by adjustments in investment balances.

Other expense, net for the three months ended June 30, 2026 increased compared to the same period in 2025 primarily due to fair value investments adjustments, offset by less foreign currency loss on transactions.

Other expense, net for the six months ended June 30, 2026 decreased compared to the same period in 2025 primarily due to less foreign currency loss on transactions, offset by fair value investments adjustments.

Income Tax Expense

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

(in millions) 2026 2025 2026 2025

Income tax expense $ 60 $ 56 $ 119 $ 117

Our effective income tax rate was 18.0% and 18.9% in the first quarter of 2026 and 2025, respectively.

Our effective income tax rate in the first quarter of 2026 and 2025 was favorably impacted due to changes in the geographical mix of earnings amongst the United States and foreign tax jurisdictions.

Our effective income tax rate was 19.9% and 17.3% in the second quarter of 2026 and 2025, respectively.

Our effective income tax rate was 18.9% and 18.1% in the first six months of 2026 and 2025.

Our effective income tax rate in the second quarter and in the first six months of 2026 and 2025 was impacted due to changes in the geographical mix of earnings amongst the United States and foreign tax jurisdictions.

On December 12, 2022, the European Union member states agreed to implement the Organization for Economic Cooperation and Development’s (“OECD”) Pillar Two global corporate minimum tax rate of 15% on companies with revenues of at least €750 million, which went into effect in 2025.

In January 2026, the OECD released Administrative Guidance establishing a “side‑by‑side” system that is intended to reduce the compliance burden of calculating the Pillar 2 top-up-tax amounts for jurisdictions with similar regimes with minimum tax requirements for fiscal years beginning on or after January 1, 2026, subject to adoption by relevant jurisdictions.

This is achieved by deeming a top-up tax amount of zero as it relates to Income Inclusion Rules and Undertaxed Profits Rules for MNE groups with an ultimate parent entity in such jurisdictions;

In January 2026, the OECD released Administrative Guidance establishing a “side‑by‑side” system that is intended to reduce the compliance burden of calculating the Pillar two top-up-tax amounts for jurisdictions with similar regimes with minimum tax requirements for fiscal years beginning on or after January 1, 2026, subject to adoption by relevant jurisdictions.

This is achieved by deeming a top-up tax amount of zero as it relates to Income Inclusion Rules and Undertaxed Profits Rules for Multinational Enterprise groups with an ultimate parent entity in such jurisdictions;

however, this guidance does not affect the application of local minimum or qualified domestic top‑up taxes in foreign jurisdictions.

During the three months ended March 31, 2026, we evaluated enacted and substantively enacted Pillar Two legislation and performed calculations under applicable safe harbor frameworks to identify jurisdictions with effective tax rates below 15%, and any resulting top‑up tax was recorded as a period cost in the annual effective tax rate.

During the six months ended June 30, 2026, we evaluated enacted and substantively enacted Pillar Two legislation and performed calculations under applicable safe harbor frameworks to identify jurisdictions with effective tax rates below 15%, and any resulting top‑up tax was recorded as a period cost in the annual effective tax rate.

We continue to monitor global developments and are assessing the potential impact of these rules on our income tax provision.

Equity in Earnings (Losses) of Unconsolidated Affiliates

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

(in millions) 2026 2025 2025 2024

Equity in earnings (losses) of unconsolidated affiliates $ 17 $ (1) $ 23 $ (14)

Equity in earnings (losses) of unconsolidated affiliates for the three months ended March 31, 2026, increased compared to the same period in 2025 due to the results in the operations of our unconsolidated affiliates.

Equity in earnings (losses) of unconsolidated affiliates for the three and six months ended June 30, 2026, increased compared to the same periods in 2025 due to the results in the operations of our unconsolidated affiliates.

Segment Results of Operations

In the tables below, the Company is reflecting the recast of segment information for the three months ended March 31, 2025 based on the changes described in Note 14 included elsewhere in this Quarterly Report on Form 10-Q.

In the tables below, the Company is reflecting the recast of segment information for the three and six months ended June 30, 2025 based on the changes described in Note 14 included elsewhere in this Quarterly Report on Form 10-Q.

Revenues and profit by segment are as follows:

Three Months Ended March 31, 2026 and 2025

Three Months Ended June 30, 2026 and 2025

Segment Revenues Segment Profit

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Consolidated $ 4,368 $ 4,017 $ 506 $ 506

Six Months Ended June 30, 2026 and 2025

Segment Revenues Segment Profit

(in millions) 2026 2025 2026 2025

Commercial Solutions $ 3,547 $ 3,223 $ 800 $ 734

Research & Development Solutions 4,972 4,623 998 949

Total 8,519 7,846 1,798 1,683

General corporate and unallocated expenses (84) (79)

Depreciation and amortization (580) (541)

Restructuring costs (114) (61)

Consolidated $ 8,519 $ 7,846 $ 1,020 $ 1,002

Certain costs are not allocated to our segments and are reported as general corporate and unallocated expenses.

2 unchanged sentences

Commercial Solutions

Three Months Ended March 31, Change

Three Months Ended June 30, Change

(in millions) 2026 2025 $ %

3 unchanged sentences

Segment profit $ 419 $ 379 $ 40 10.6 %

Commercial Solutions’ revenues were $1,754 million for the first quarter of 2026, an increase of $182 million, or 11.6%, over the same period in 2025.

Six Months Ended June 30, Change

(in millions) 2026 2025 $ %

Revenues $ 3,547 $ 3,223 $ 324 10.1 %

Cost of revenues, exclusive of depreciation and amortization 2,253 2,022 231 11.4

Selling, general and administrative expenses 494 467 27 5.8

Segment profit $ 800 $ 734 $ 66 9.0 %

Commercial Solutions’ revenues were $1,793 million for the second quarter of 2026, an increase of $142 million, or 8.6%, over the same period in 2025.

This increase was comprised of constant currency revenue growth of approximately $139 million, or 8.4%, reflecting revenue growth primarily in the Americas region and to a lesser extent in the Europe and Africa region.

The constant currency revenue growth for the three months ended March 31, 2026 was primarily driven by an increase in patient solutions (formerly included in real-world solutions), and to a lesser extent by information services and commercial engagement services (formerly included in contract sales and medical solutions).

Commercial Solutions’ revenues were $3,547 million for the first six months of 2026, an increase of $324 million, or 10.1%, over the same period in 2025.

This increase was comprised of constant currency revenue growth of approximately $273 million, or 8.5%, reflecting revenue growth primarily in the Americas region and to a lesser extent in the Europe and Africa region.

The constant currency revenue growth for the three and six months ended June 30, 2026 was primarily driven by an increase in patient solutions (formerly included in real-world solutions), and to a lesser extent by commercial engagement services (formerly included in contract sales and medical solutions).

Cost of Revenues, exclusive of Depreciation and Amortization

Commercial Solutions’ cost of revenues, exclusive of depreciation and amortization, increased $141 million, or 14.4%, in the first quarter of 2026 over the same period in 2025.

This increase included a constant currency increase of approximately $108 million, or 11.0%.

The constant currency increase for the three months ended March 31, 2026 was primarily related to an increase in compensation and related expenses and to a lesser extent in reimbursed expenses and costs of acquiring and processing data to support revenue growth.

Commercial Solutions’ cost of revenues, exclusive of depreciation and amortization, increased $90 million, or 8.6%, in the second quarter of 2026, over the same period in 2025, and increased $231 million, or 11.4%, in the first six months of 2026, over the same period in 2025.

The increase for the three and six months ended June 30, 2026 was primarily related to increases in reimbursed expenses, compensation and related expenses, and costs of acquiring and processing data to support revenue growth.

Selling, General and Administrative Expenses

Commercial Solutions’ selling, general and administrative expenses increased $15 million, or 6.3%, in the first quarter of 2026 as compared to the same period in 2025, which included a constant currency increase of approximately $6 million, or 2.5%.

The constant currency increase for the three months ended March 31, 2026 was primarily related to an increase in compensation and related expenses.

Commercial Solutions’ selling, general and administrative expenses increased $12 million, or 5.2%, in the second quarter of 2026, as compared to the same period in 2025, and increased $27 million, or 5.8%, in the first six months of 2026, as compared to the same period in 2025.

The increase for the three and six months ended June 30, 2026 was primarily related to an increase in compensation and related expenses.

Research & Development Solutions

Three Months Ended March 31, Change

Three Months Ended June 30, Change

(in millions)

3 unchanged sentences

Segment profit $ 526 $ 473 $ 53 11.2 %

Research & Development Solutions’ contracted backlog increased from $34.0 billion (recast amount to reflect segment changes noted above) as of December 31, 2025 to $34.2 billion as of March 31, 2026, and we expect approximately $8.9 billion of this backlog to convert to revenues in the next twelve months.

Research & Development Solutions’ revenues were $2,397 million for the first quarter of 2026, an increase of $140 million, or 6.2%, over the same period in 2025.

This increase was comprised of constant currency revenue growth of approximately $94 million, or 4.2%, reflecting revenue growth primarily in the Americas region.

The constant currency revenue growth for the three months ended March 31, 2026 was primarily the result of volume-related increases in clinical services and lab testing.

Six Months Ended June 30, Change

(in millions)

Revenues $ 4,972 $ 4,623 $ 349 7.5 %

Cost of revenues, exclusive of depreciation and amortization 3,476 3,203 273 8.5

Research & Development Solutions’ cost of revenues, exclusive of depreciation and amortization, increased $124 million, or 8.0%, in the first quarter of 2026 over the same period in 2025.

This increase included a constant currency increase of approximately $77 million, or 5.0%.

The constant currency increase for the three months ended March 31, 2026 was primarily related to an increase in compensation and related expenses and to a lesser extent in reimbursed expenses as a result of volume-related increases in clinical services.

Selling, general and administrative expenses 498 471 27 5.7

Research & Development Solutions’ selling, general and administrative expenses increased $20 million, or 8.7%, in the first quarter of 2026 as compared to the same period in 2025, which included a constant currency increase of approximately $18 million, or 7.8%.

The constant currency increase for the three months ended March 31, 2026 was primarily related to an increase in compensation and related expenses.

Segment profit $ 998 $ 949 $ 49 5.2 %

Research & Development Solutions’ contracted backlog increased from $34.0 billion (recast amount to reflect segment changes noted above) as of December 31, 2025 to $34.2 billion as of June 30, 2026, and we expect approximately $9.2 billion of this backlog to convert to revenues in the next twelve months.

Research & Development Solutions’ revenues were $2,575 million for the second quarter of 2026, an increase of $209 million, or 8.8%, over the same period in 2025.

This increase was comprised of constant currency revenue growth of approximately $204 million, or 8.6%, reflecting revenue growth primarily in the Europe and Africa region, and to a lesser extent in the Asia-Pacific and Americas regions.

Research & Development Solutions’ revenues were $4,972 million for the first six months of 2026, an increase of $349 million, or 7.5%, over the same period in 2025.

This increase was comprised of constant currency revenue growth of approximately $298 million, or 6.4%, reflecting revenue growth primarily in the Americas region, and to a lesser extent in the Europe and Africa and Asia-Pacific regions.

The constant currency revenue growth for the three and six months ended June 30, 2026 was primarily the result of volume-related increases in clinical services and lab testing.

Cost of Revenues, exclusive of Depreciation and Amortization

Research & Development Solutions’ cost of revenues, exclusive of depreciation and amortization, increased $149 million, or 9.0%, in the second quarter of 2026, over the same period in 2025, and increased $273 million, or 8.5%, in the first six months of 2026, over the same period in 2025.

The increase for the three and six months ended June 30, 2026 was primarily related to an increase in compensation and related expenses and reimbursed expenses as a result of volume-related increases in clinical services.

Selling, General and Administrative Expenses

Research & Development Solutions’ selling, general and administrative expenses increased $7 million, or 2.9%, in the second quarter of 2026, as compared to the same period in 2025, and increased $27 million, or 5.7%, in the first six months of 2026, as compared to the same period in 2025.

The increase for the three and six months ended June 30, 2026 was primarily related to an increase in compensation and related expenses.

Liquidity and Capital Resources

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We have and expect to transfer cash from those subsidiaries to the United States and to other international subsidiaries when it is cost effective to do so.

We had a cash balance of $1,947 million as of March 31, 2026 ($635 million of which was in the United States), a decrease from $1,980 million as of December 31, 2025.

We had a cash balance of $1,909 million as of June 30, 2026 ($627 million of which was in the United States), a decrease from $1,980 million as of December 31, 2025.

Based on our current operating plan, we believe that our available cash and cash equivalents, future cash flows from operations and our ability to access funds under our revolving credit and receivables financing facilities will enable us to fund our operating requirements, capital expenditures, contractual obligations, and meet debt obligations for at least the next 12 months.

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Equity Repurchase Program

As of March 31, 2026, the total stock repurchase authorization under our equity repurchase (the "Repurchase Program") was $13,725 million.

On May 7, 2026, our Board of Directors increased the stock repurchase authorization under our equity repurchase program (the "Repurchase Program") with respect to the repurchase of our common stock by an additional $2,000 million, which increased the total amount that has been authorized under the Repurchase Program to $15,725 million.

The Repurchase Program does not obligate us to repurchase any particular amount of common stock, and it may be modified, extended, suspended or discontinued at any time.

During the three months ended March 31, 2026, we repurchased 3.2 million shares of our common stock for $552 million under the Repurchase Program.

As of March 31, 2026, we had remaining authorization to repurchase up to $1,217 million of our common stock under the Repurchase Program.

During the six months ended June 30, 2026, we repurchased 5.5 million shares of our common stock for $950 million under the Repurchase Program.

As of June 30, 2026, we had remaining authorization to repurchase up to $2,819 million of our common stock under the Repurchase Program.

In addition, from time to time, we have repurchased and may continue to repurchase common stock through private or other transactions outside of the Repurchase Program.

As of March 31, 2026, we had $15,908 million of total indebtedness, excluding $995 million of additional available borrowings under our revolving credit facility.

Our long-term debt arrangements contain customary restrictive covenants and, as of March 31, 2026, we believe we were in compliance with our restrictive covenants in all material respects.

As of June 30, 2026, we had $16,081 million of total indebtedness, excluding $1,195 million of additional available borrowings under our revolving credit facility.

Our long-term debt arrangements contain customary restrictive covenants and, as of June 30, 2026, we believe we were in compliance with our restrictive covenants in all material respects.

Senior Secured Credit Facilities

As of March 31, 2026, our Fifth Amended and Restated Credit Agreement provided financing through the senior secured credit facilities of up to $6,371 million, which consisted of $5,376 million principal amounts of debt outstanding, and $995 million of available borrowing capacity on the revolving credit facility and standby letters of credit.

As of June 30, 2026, our Fifth Amended and Restated Credit Agreement provided financing through the senior secured credit facilities of up to $6,333 million, which consisted of $5,138 million principal amounts of debt outstanding, and $1,195 million of available borrowing capacity on the revolving credit facility and standby letters of credit.

See Note 7 to our condensed consolidated financial statements included elsewhere in this Quarterly Report on Form 10-Q for additional details regarding our credit arrangements.

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Dollar denominated Term A loans due 2027 (the “Term Loan due 2027”).

The Term Loan due 2027 bears interest based on the Secured Overnight Financing Rate term rates (“Term SOFR”), plus a margin ranging from 1.125% to 2.00%, with a Term SOFR floor of 0.00% per annum.

The Term Loan due 2027 bore interest based on the Secured Overnight Financing Rate term rates (“Term SOFR”), plus a margin ranging from 1.125% to 2.00%, with a Term SOFR floor of 0.00% per annum.

The proceeds from the Term Loan due 2027 were used to repay approximately €550 million of the 1.750% senior notes due 2026 (the “1.750% Notes”) at maturity, including the payment of fees and expenses related to the offering, and for general corporate purposes.

The Term Loan due 2027 was repaid in full on June 11, 2026 with proceeds from the 4.625% senior notes due 2033 described below.

On June 11, 2026, we completed the issuance and sale of €950 million in gross proceeds of 4.625% senior notes due 2033 (the “4.625% Notes”).

The 4.625% Notes were issued pursuant to an Indenture, dated June 11, 2026, among us, U.S.

Bank National Association, as trustee of the Notes, and certain of our subsidiaries as guarantors.

The net proceeds from the 4.625% Notes offering were used to repay in full our outstanding Term Loan due 2027, to repay a portion of the existing borrowings under our revolving credit facility and to pay fees and expenses related to the offering.

The 4.625% Notes are unsecured obligations of the Company, will mature on June 15, 2033, and bear interest at the rate of 4.625% per year, with interest payable semiannually on June 15 and December 15 of each year, beginning on December 15, 2026.

We may redeem the 4.625% Notes prior to their final stated maturity, subject to a customary make-whole premium, at any time prior to June 15, 2029 (subject to a customary “equity claw” redemption right) and thereafter subject to a redemption premium declining from 1.02313% to 0.000%.

On March 16, 2026, the proceeds from the Term Loan due 2027 were used to repay all of our outstanding €550 million 1.750% Notes.

1 unchanged sentence

Receivables Financing Facility

As of March 31, 2026, no additional amounts of revolving loans were available under the receivables financing facility.

Three months ended March 31, 2026 and 2025

As of June 30, 2026, no additional amounts of revolving loans were available under the receivables financing facility.

Six months ended June 30, 2026 and 2025

Cash Flow from Operating Activities

Three Months Ended March 31,

Six Months Ended June 30,

(in millions) 2026 2025

Net cash provided by operating activities $ 1,176 $ 1,011

Cash provided by operating activities increased $50 million during the first three months of 2026 as compared to the same period in 2025.

The increase was primarily driven by increases in cash-related net income ($44 million), cash from unearned income ($41 million), and cash from accounts receivable and unbilled services ($24 million), offset by a decrease in cash from other operating assets and liabilities ($59 million).

Cash provided by operating activities increased $165 million during the first six months of 2026 as compared to the same period in 2025.

The increase was primarily driven by increases in cash from other operating assets and liabilities ($106 million), cash-related net income ($89 million), and cash from accounts receivable and unbilled services ($40 million), offset by a decrease in cash from unearned income ($70 million).

Cash Flow from Investing Activities

Three Months Ended March 31,

Six Months Ended June 30,

(in millions) 2026 2025

Net cash used in investing activities $ (577) $ (651)

Cash used in investing activities decreased $109 million during the first three months of 2026 as compared to the same period in 2025, primarily driven by less cash used for acquisitions of businesses ($97 million), cash used for investments in debt and equity securities ($19 million), cash used for acquisitions of property, equipment and software ($15 million), and cash from other ($1 million), offset by more cash used for investments in unconsolidated affiliates, net ($22 million) and cash from sales of marketable securities, net ($1 million).

Cash used in investing activities decreased $74 million during the first six months of 2026 as compared to the same period in 2025, primarily driven by less cash used for acquisitions of businesses, net of cash acquired ($115 million), less cash used for investments in debt and equity securities ($19 million), more cash from other ($2 million), and more cash from sales of marketable securities, net ($1 million), offset by more cash used for acquisitions of property, equipment and software ($32 million) and cash used for investments in unconsolidated affiliates, net ($31 million).

Cash Flow from Financing Activities

Three Months Ended March 31,

Six Months Ended June 30,

(in millions) 2026 2025

Net cash used in financing activities $ (647) $ (113)

Cash used in financing activities increased $175 million during the first three months of 2026 as compared to the same period in 2025, primarily due to less proceeds from issuance of debt, net ($1,333 million), more cash used for repurchase of common stock ($177 million), less proceeds from revolving credit facilities, net of repayments ($75 million), and more cash used for payments related to employee stock incentive plans ($5 million), offset by less cash payments for debt and principal payments on finance leases ($1,413 million) and contingent consideration and deferred purchase price accruals ($2 million).

Cash used in financing activities increased $534 million during the first six months of 2026 as compared to the same period in 2025, primarily due to less proceeds from issuance of debt, net ($2,212 million) and more cash used for payments related to employee stock incentive plans ($6 million), offset by less repayments on the revolving credit facilities, net of proceeds ($825 million), less cash payments for debt and principal payments on finance leases ($770 million), less cash used for repurchase of common stock ($82 million), less cash payments for contingent consideration and deferred purchase price accruals ($5 million), and less cash used for other ($2 million).

Information about our Guarantors and the Issuer of our Guaranteed Securities

5 unchanged sentences

(parent company), the Issuer and the Guarantor subsidiaries, which are collectively referred to as the “obligated group.” Each Guarantor subsidiary is consolidated by IQVIA Holdings Inc.

as of March 31, 2026 and December 31, 2025.

Refer to Exhibit 22.1 to this Quarterly Report on Form 10-Q for the detailed list of entities included within the obligated group as of March 31, 2026.

as of June 30, 2026 and December 31, 2025.

Refer to Exhibit 22.1 to this Quarterly Report on Form 10-Q for the detailed list of entities included within the obligated group as of June 30, 2026.

The guarantee of a Guarantor subsidiary with respect to the Notes will be automatically and unconditionally released and discharged and shall terminate and be of no further force and effect, and no further action by such Guarantor subsidiary, the Issuer, or U.S.

12 unchanged sentences

The following table contains summarized combined financial information from the Statements of Unaudited Condensed Consolidated Financial Position of the obligated group as of:

(in millions) March 31, 2026 December 31, 2025

(in millions) June 30, 2026 December 31, 2025

Total current assets (excluding amounts due from subsidiaries that are non-Guarantors) $ 891 $ 1,012

5 unchanged sentences

The following table contains summarized combined financial information from the Statements of Unaudited Condensed Consolidated Operations of the obligated group:

Three months ended Twelve months ended

(in millions) March 31, 2026 December 31, 2025

Six months ended Twelve months ended

(in millions) June 30, 2026 December 31, 2025

Net revenues $ 3,623 $ 7,137

12 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 2. Management’s Discussion and Analysis