THERMO FISHER SCIENTIFIC INC. 10-Q

Item 1. Financial Statements CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) March 29, December 31, (In millions except share and per share amounts) 2025 2024 Assets Current assets: Cash and cash equivalents $ 4,134 $ 4,009 Short-term investments 1,813 1,561 Accounts receivable, less allowances of $ 165 and $ 173 8,455 8,191 Inventories 5,224 4,978 Contract assets, net 1,366 1,435 Other current assets 2,387 1,964 Total current assets 23,378 22,137 Property, plant and equipment, net 9,331 9,306 Acquisition-related intangible assets, net 15,323 15,533 Other assets 4,516 4,492 Goodwill 46,493 45,853 Total assets $ 99,041 $ 97,321 Liabilities, redeemable noncontrolling interest and equity Current liabilities: Short-term obligations and current maturities of long-term obligations $ 2,819 $ 2,214 Accounts payable 3,049 3,079 Accrued payroll and employee benefits 1,419 1,988 Contract liabilities 2,866 2,852 Other accrued expenses 3,022 3,199 Total current liabilities 13,174 13,332 Deferred income taxes 1,041 1,268 Other long-term liabilities 3,971 3,989 Long-term obligations 31,370 29,061 Redeemable noncontrolling interest 128 120 Equity: Thermo Fisher Scientific Inc. shareholders’ equity: Preferred stock, $ 100 par value, 50,000 shares authorized; none issued — — Common stock, $ 1 par value, 1,200,000,000 shares authorized; 444,246,082 and 443,841,240 shares issued 444 444 Capital in excess of par value 18,111 17,962 Retained earnings 54,447 53,102 Treasury stock at cost, 66,752,170 and 63,066,906 shares ( 21,269 ) ( 19,226 ) Accumulated other comprehensive income/(loss) ( 2,343 ) ( 2,697 ) Total Thermo Fisher Scientific Inc. shareholders’ equity 49,390 49,584 Noncontrolling interests ( 33 ) ( 33 ) Total equity 49,357 49,551 Total liabilities, redeemable noncontrolling interest and equity $ 99,041 $ 97,321 The accompanying notes are an integral part of these condensed consolidated financial statements. 3 THERMO FISHER SCIENTIFIC INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) Three months ended March 29, March 30, (In millions except per share amounts) 2025 2024 Revenues Product revenues $ 5,980 $ 5,955 Service revenues 4,384 4,390 Total revenues 10,364 10,345 Costs and operating expenses: Cost of product revenues 3,125 2,939 Cost of service revenues 3,004 3,201 Selling, general and administrative expenses 2,078 2,183 Research and development expenses 342 331 Restructuring and other costs 98 29 Total costs and operating expenses 8,648 8,682 Operating income 1,716 1,663 Interest income 203 279 Interest expense ( 303 ) ( 363 ) Other income/(expense) 3 10 Income before income taxes 1,620 1,589 Benefit from/(provision for) income taxes ( 95 ) ( 281 ) Equity in earnings/(losses) of unconsolidated entities ( 14 ) 23 Net income 1,511 1,331 Less: net income/(losses) attributable to noncontrolling interests and redeemable noncontrolling interest 4 4 Net income attributable to Thermo Fisher Scientific Inc. $ 1,507 $ 1,328 Earnings per share attributable to Thermo Fisher Scientific Inc. Basic $ 3.99 $ 3.47 Diluted $ 3.98 $ 3.46 Weighted average shares Basic 378 382 Diluted 379 384 The accompanying notes are an integral part of these condensed consolidated financial statements. 4 THERMO FISHER SCIENTIFIC INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) Three months ended March 29, March 30, (In millions) 2025 2024 Comprehensive income/(loss) Net income $ 1,511 $ 1,331 Other comprehensive income/(loss): Currency translation adjustment: Currency translation adjustment (net of tax provision (benefit) of $( 207 ) and $ 166 ) 360 456 Unrealized gains/(losses) on available-for-sale debt securities Unrealized holding losses arising during the period (net of tax (provision) benefit of $ 0 and $ 0 ) — ( 1 ) Unrealized gains/(losses) on hedging instruments: Reclassification adjustment for losses included in net income (net of tax (provision) benefit of $ 0 and $ 0 ) 1 1 Pension and other postretirement benefit liability adjustments: Pension and other postretirement benefit liability adjustments arising during the period (net of tax (provision) benefit of $ 1 and $ 0 ) ( 3 ) 1 Amortization of net loss included in net periodic pension cost (net of tax (provision) benefit of $ 0 and $ 0 ) 1 — Total other comprehensive income/(loss) 358 457 Comprehensive income/(loss) 1,869 1,788 Less: comprehensive income/(loss) attributable to noncontrolling interests and redeemable noncontrolling interest 8 1 Comprehensive income attributable to Thermo Fisher Scientific Inc. $ 1,861 $ 1,787 The accompanying notes are an integral part of these condensed consolidated financial statements. 5 THERMO FISHER SCIENTIFIC INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) Three months ended March 29, March 30, (In millions) 2025 2024 Operating activities Net income $ 1,511 $ 1,331 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation of property, plant and equipment 276 285 Amortization of acquisition-related intangible assets 429 551 Change in deferred income taxes ( 279 ) ( 253 ) Stock-based compensation 75 70 Other net non-cash expenses 135 53 Changes in assets and liabilities, excluding the effects of acquisitions ( 1,425 ) ( 787 ) Net cash provided by operating activities 723 1,251 Investing activities Purchases of property, plant and equipment ( 362 ) ( 347 ) Proceeds from sale of property, plant and equipment 12 4 Proceeds from cross-currency interest rate swap interest settlements 87 64 Purchases of investments ( 264 ) ( 1,758 ) Other investing activities, net 1 7 Net cash used in investing activities ( 527 ) ( 2,030 ) Financing activities Net proceeds from issuance of debt 2,840 1,205 Repayment of debt ( 838 ) — Purchases of company common stock ( 2,000 ) ( 3,000 ) Dividends paid ( 149 ) ( 135 ) Other financing activities, net 45 110 Net cash used in financing activities ( 102 ) ( 1,821 ) Exchange rate effect on cash 37 22 Increase (decrease) in cash, cash equivalents and restricted cash 132 ( 2,578 ) Cash, cash equivalents and restricted cash at beginning of period 4,040 8,097 Cash, cash equivalents and restricted cash at end of period $ 4,172 $ 5,519 The accompanying notes are an integral part of these condensed consolidated financial statements. 6 THERMO FISHER SCIENTIFIC INC. CONDENSED CONSOLIDATED STATEMENTS OF REDEEMABLE NONCONTROLLING INTEREST AND EQUITY (Unaudited) Redeemable Noncontrolling Interest Common Stock Capital in Excess of Par Value Retained Earnings Treasury Stock Accumulated Other Comprehensive Items Total Thermo Fisher Scientific Inc. Shareholders’ Equity Noncontrolling Interests Total Equity (In millions) Shares Amount Shares Amount Three months ended March 29, 2025 Balance at December 31, 2024 $ 120 444 $ 444 $ 17,962 $ 53,102 63 $ ( 19,226 ) $ ( 2,697 ) $ 49,584 $ ( 33 ) $ 49,551 Issuance of shares under stock plans — — — 74 — — ( 24 ) — 50 — 50 Stock-based compensation — — — 75 — — — — 75 — 75 Purchases of company common stock — — — — — 4 ( 2,000 ) — ( 2,000 ) — ( 2,000 ) Dividends declared ($ 0.43 per share) — — — — ( 163 ) — — — ( 163 ) — ( 163 ) Net income/(loss) 5 — — — 1,507 — — — 1,507 — 1,507 Other comprehensive items 3 — — — — — — 354 354 1 355 Contributions from (distributions to) noncontrolling interest — — — — — — — — — ( 1 ) ( 1 ) Excise tax from stock repurchases — — — — — — ( 18 ) — ( 18 ) — ( 18 ) Balance at March 29, 2025 $ 128 444 $ 444 $ 18,111 $ 54,447 67 $ ( 21,269 ) $ ( 2,343 ) $ 49,390 $ ( 33 ) $ 49,357 Three months ended March 30, 2024 Balance at December 31, 2023 $ 118 442 $ 442 $ 17,286 $ 47,364 56 $ ( 15,133 ) $ ( 3,224 ) $ 46,735 $ ( 11 ) $ 46,724 Issuance of shares under stock plans — 1 1 126 — — ( 24 ) — 103 — 103 Stock-based compensation — — — 70 — — — — 70 — 70 Purchases of company common stock — — — — — 6 ( 3,000 ) — ( 3,000 ) — ( 3,000 ) Dividends declared ($ 0.39 per share) — — — — ( 149 ) — — — ( 149 ) — ( 149 ) Net income/(loss) 4 — — — 1,328 — — — 1,328 — 1,328 Other comprehensive items ( 3 ) — — — — — — 460 460 — 460 Contributions from (distributions to) noncontrolling interest — — — — — — — — — ( 1 ) ( 1 ) Excise tax from stock repurchases — — — — — — ( 29 ) — ( 29 ) — ( 29 ) Balance at March 30, 2024 $ 119 443 $ 443 $ 17,482 $ 48,542 61 $ ( 18,186 ) $ ( 2,764 ) $ 45,516 $ ( 12 ) $ 45,504 The accompanying notes are an integral part of these condensed consolidated financial statements. 7 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 1. Nature of Operations and Summary of Significant Accounting Policies Nature of Operations Thermo Fisher Scientific Inc. (the company or Thermo Fisher) enables customers to make the world healthier, cleaner and safer by helping them accelerate life sciences research, solve complex analytical challenges, increase laboratory productivity, and improve patient health through diagnostics and the development and manufacture of life-changing therapies. Markets served include pharmaceutical and biotech, academic and government, industrial and applied, as well as healthcare and diagnostics. Interim Financial Statements The interim condensed consolidated financial statements presented herein have been prepared by the company, are unaudited and, in the opinion of management, reflect all adjustments of a normal recurring nature necessary for a fair statement of the financial position at March 29, 2025, the results of operations for the three-month periods ended March 29, 2025 and March 30, 2024, and the cash flows for the three-month periods ended March 29, 2025 and March 30, 2024. Interim results are not necessarily indicative of results for a full year. The condensed consolidated balance sheet presented as of December 31, 2024, has been derived from the audited consolidated financial statements as of that date. The condensed consolidated financial statements and notes are presented as permitted by Form 10-Q and do not contain all information that is included in the annual financial statements and notes thereto of the company. The condensed consolidated financial statements and notes included in this report should be read in conjunction with the 2024 financial statements and notes included in the company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC). Certain reclassifications of prior year amounts have been made to conform to the current year presentation. Note 1 to the consolidated financial statements for 2024 describes the significant accounting estimates and policies used in preparation of the consolidated financial statements. There have been no material changes in the company’s significant accounting policies during the three months ended March 29, 2025. Amounts and percentages reported within these condensed consolidated financial statements are presented and calculated based on underlying unrounded amounts. As a result, the sum of components may not equal corresponding totals due to rounding. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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. The company’s estimates include, among others, asset reserve requirements as well as the amounts of future cash flows associated with certain assets and businesses that are used in assessing the risk of impairment. Actual results could differ from those estimates. Recent Accounting Pronouncements The following table provides a description of recent accounting pronouncements adopted and those standards not yet adopted with potential for a material impact on the company's financial statements or disclosures. 8 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Standard Description Required adoption timing and approach Impact of adoption or other significant matters Standards recently adopted ASU No. 2022-04, Liabilities-Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations New guidance to disclose information about supplier finance programs. Among other things, the new guidance requires expanded disclosure about key program terms, payment terms, and amounts outstanding for obligations under supplier finance programs for each period presented. Some aspects adopted in 2023 using a retrospective method and other aspects adopted in 2024 using a prospective method Not material ASU No. 2023-07, Segment Reporting (Topic 280): Improving Reportable Segment Disclosures Among other things, new guidance to disclose significant segment expenses and other items by reportable segment as well as information about the chief operating decision maker. 2024 annual report and interim periods thereafter using a retrospective method Increased disclosures in Note 11 Standards not yet adopted ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures Among other things, new guidance to disclose additional information about the tax rate reconciliation and income taxes paid. 2025 annual report and interim periods thereafter using a prospective or retrospective method Will increase disclosures in Note 7 ASU No. 2024-03, Income Statement-Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses New guidance to disclose specified information about certain costs and expenses. 2027 annual report and interim periods thereafter using a prospective or retrospective method Will increase disclosures in Note 6 Note 2 . Supplemental Balance Sheet Information Inventories The components of inventories are as follows: (In millions) March 29, 2025 December 31, 2024 Raw materials $ 1,862 $ 1,803 Work in process 874 755 Finished goods 2,488 2,420 Inventories $ 5,224 $ 4,978 Contract-related Balances Contract asset and liability balances are as follows: (In millions) March 29, 2025 December 31, 2024 Current contract assets, net $ 1,366 $ 1,435 Noncurrent contract assets, net 4 6 Current contract liabilities 2,866 2,852 Noncurrent contract liabilities 1,127 1,138 In the three months ended March 29, 2025, the company recognized revenues of $ 1.36 billion that were included in the contract liabilities balance at December 31, 2024. In the three months ended March 30, 2024, the company recognized revenues of $ 1.32 billion that were included in the contract liabilities balance at December 31, 2023. Remaining Performance Obligations The aggregate amount of the transaction price allocated to the remaining performance obligations for all open customer contracts as of March 29, 2025, was $ 24.54 billion. The company will recognize revenues for these performance obligations as they are satisfied, approximately 54 % of which is expected to occur within the next twelve months . Amounts expected to occur thereafter generally relate to contract manufacturing, clinical research and extended warranty service agreements, which typically have durations of three to five years . 9 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 3 . Debt and Other Financing Arrangements The company’s debt and other financing arrangements are as follows: Effective interest rate at March 29, March 29, December 31, (Dollars in millions) 2025 2025 2024 0.125 % 5.5 -Year Senior Notes, Due 3/1/2025 (euro-denominated) $ — $ 828 2.00 % 10 -Year Senior Notes, Due 4/15/2025 (euro-denominated) 2.07 % 693 663 0.853 % 3 -Year Senior Notes, Due 10/20/2025 (Japanese yen-denominated) 1.05 % 149 142 0.00 % 4 -Year Senior Notes, Due 11/18/2025 (euro-denominated) 0.15 % 596 569 3.20 % 3 -Year Senior Notes, Due 1/21/2026 (euro-denominated) 3.38 % 541 518 1.40 % 8.5 -Year Senior Notes, Due 1/23/2026 (euro-denominated) 1.52 % 758 725 4.953 % 3 -Year Senior Notes, Due 8/10/2026 5.18 % 600 600 0.832 % 1.5 -Year Senior Notes, Due 9/7/2026 (Swiss franc-denominated) 1.15 % 466 — 5.00 % 3 -Year Senior Notes, Due 12/5/2026 5.25 % 1,000 1,000 1.45 % 10 -Year Senior Notes, Due 3/16/2027 (euro-denominated) 1.65 % 541 518 1.75 % 7 -Year Senior Notes, Due 4/15/2027 (euro-denominated) 1.96 % 650 621 1.054 % 5 -Year Senior Notes, Due 10/20/2027 (Japanese yen-denominated) 1.18 % 193 184 4.80 % 5 -Year Senior Notes, Due 11/21/2027 5.00 % 600 600 0.790 % 3 -Year Senior Notes, Due 1/6/2028 (Swiss franc-denominated) 1.39 % 100 — 0.50 % 8.5 -Year Senior Notes, Due 3/1/2028 (euro-denominated) 0.77 % 866 828 1.6525 % 4 -Year Senior Notes, Due 3/7/2028 (Swiss franc-denominated) 1.79 % 375 364 0.77 % 5 -Year Senior Notes, Due 9/6/2028 (Japanese yen-denominated) 0.90 % 193 184 1.375 % 12 -Year Senior Notes, Due 9/12/2028 (euro-denominated) 1.46 % 650 621 1.75 % 7 -Year Senior Notes, Due 10/15/2028 1.89 % 700 700 5.00 % 5 -Year Senior Notes, Due 1/31/2029 5.24 % 1,000 1,000 1.125 % 4 -Year Senior Notes, Due 3/7/2029 (Swiss franc-denominated) 1.26 % 358 — 1.95 % 12 -Year Senior Notes, Due 7/24/2029 (euro-denominated) 2.07 % 758 725 2.60 % 10 -Year Senior Notes, Due 10/1/2029 2.74 % 900 900 1.279 % 7 -Year Senior Notes, Due 10/19/2029 (Japanese yen-denominated) 1.44 % 31 30 1.120 % 5 -Year Senior Notes, Due 1/6/2030 (Swiss franc-denominated) 1.25 % 266 — 4.977 % 7 -Year Senior Notes, Due 8/10/2030 5.12 % 750 750 0.80 % 9 -Year Senior Notes, Due 10/18/2030 (euro-denominated) 0.88 % 1,895 1,812 0.875 % 12 -Year Senior Notes, Due 10/1/2031 (euro-denominated) 1.13 % 975 932 2.00 % 10 -Year Senior Notes, Due 10/15/2031 2.23 % 1,200 1,200 1.8401 % 8 -Year Senior Notes, Due 3/8/2032 (Swiss franc-denominated) 1.92 % 471 457 2.375 % 12 -Year Senior Notes, Due 4/15/2032 (euro-denominated) 2.54 % 650 621 1.49 % 10 -Year Senior Notes, Due 10/20/2032 (Japanese yen-denominated) 1.60 % 42 40 4.95 % 10 -Year Senior Notes, Due 11/21/2032 5.09 % 600 600 1.4175 % 8 -Year Senior Notes, Due 3/7/2033 (Swiss franc-denominated) 1.49 % 397 — 5.086 % 10 -Year Senior Notes, Due 8/10/2033 5.20 % 1,000 1,000 1.125 % 12 -Year Senior Notes, Due 10/18/2033 (euro-denominated) 1.20 % 1,624 1,553 5.20 % 10 -Year Senior Notes, Due 1/31/2034 5.34 % 500 500 3.65 % 12 -Year Senior Notes, Due 11/21/2034 (euro-denominated) 3.76 % 812 777 1.50 % 12 -Year Senior Notes, Due 9/6/2035 (Japanese yen-denominated) 1.58 % 143 137 2.0375 % 12 -Year Senior Notes, Due 3/7/2036 (Swiss franc-denominated) 2.10 % 369 358 1.520 % 12 -Year Senior Notes, Due 1/6/2037 (Swiss franc-denominated) 1.56 % 353 — 1.6524 % 12 -Year Senior Notes, Due 3/6/2037 (Swiss franc-denominated) 1.71 % 244 — 10 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Effective interest rate at March 29, March 29, December 31, (Dollars in millions) 2025 2025 2024 2.875 % 20 -Year Senior Notes, Due 7/24/2037 (euro-denominated) 2.94 % 758 725 1.50 % 20 -Year Senior Notes, Due 10/1/2039 (euro-denominated) 1.73 % 975 932 2.80 % 20 -Year Senior Notes, Due 10/15/2041 2.90 % 1,200 1,200 1.625 % 20 -Year Senior Notes, Due 10/18/2041 (euro-denominated) 1.77 % 1,354 1,294 2.069 % 20 -Year Senior Notes, Due 10/20/2042 (Japanese yen-denominated) 2.13 % 97 93 5.404 % 20 -Year Senior Notes, Due 8/10/2043 5.50 % 600 600 2.02 % 20 -Year Senior Notes, Due 9/6/2043 (Japanese yen-denominated) 2.06 % 193 184 5.30 % 30 -Year Senior Notes, Due 2/1/2044 5.37 % 400 400 1.49 % 20 -Year Senior Notes, Due 1/6/2045 (Swiss franc-denominated) 1.54 % 210 — 1.8975 % 20 -Year Senior Notes, Due 3/7/2045 (Swiss franc-denominated) 1.95 % 153 — 4.10 % 30 -Year Senior Notes, Due 8/15/2047 4.23 % 750 750 1.875 % 30 -Year Senior Notes, Due 10/1/2049 (euro-denominated) 1.98 % 1,083 1,035 1.47 % 25 -Year Senior Notes, Due 1/6/2050 (Swiss franc-denominated) 1.49 % 371 — 2.00 % 30 -Year Senior Notes, Due 10/18/2051 (euro-denominated) 2.07 % 812 777 2.382 % 30 -Year Senior Notes, Due 10/18/2052 (Japanese yen-denominated) 2.43 % 222 212 Other 74 73 Total borrowings at par value 34,261 31,332 Unamortized discount ( 96 ) ( 95 ) Unamortized debt issuance costs ( 176 ) ( 164 ) Total borrowings at carrying value 33,989 31,072 Finance lease liabilities 200 202 Less: Short-term obligations and current maturities 2,819 2,214 Long-term obligations $ 31,370 $ 29,061 The effective interest rates for the fixed-rate debt include the stated interest on the notes, the accretion of any discounts/premiums and the amortization of any debt issuance costs. See Note 4 for fair value information pertaining to the company’s long-term borrowings. Credit Facilities The company has a revolving credit facility (the Facility) with a bank group that provides for up to $ 5.00 billion of unsecured multi-currency revolving credit. The Facility expires on January 7, 2027. The revolving credit agreement calls for interest at either a Term Secured Overnight Financing Rate (SOFR), a Euro Interbank Offered Rate (EURIBOR)-based rate (for funds drawn in euro), or a rate based on the prime lending rate of the agent bank, at the company’s option. The agreement contains affirmative, negative and financial covenants, and events of default customary for facilities of this type. The covenants in the Facility include a Consolidated Net Interest Coverage Ratio (Consolidated EBITDA to Consolidated Net Interest Expense), as such terms are defined in the Facility. Specifically, the company has agreed that, so long as any lender has any commitment under the Facility, any letter of credit is outstanding under the Facility, or any loan or other obligation is outstanding under the Facility, it will maintain a minimum Consolidated Net Interest Coverage Ratio of 3.5 :1.0 as of the last day of any fiscal quarter. As of March 29, 2025, no borrowings were outstanding under the Facility, although available capacity was reduced by immaterial outstanding letters of credit. Commercial Paper Programs The company has commercial paper programs pursuant to which it may issue and sell unsecured, short-term promissory notes (CP Notes). Under the U.S. program, a) maturities may not exceed 397 days from the date of issue and b) the CP Notes are issued on a private placement basis under customary terms in the commercial paper market and are not redeemable prior to maturity nor subject to voluntary prepayment. Under the euro program, maturities may not exceed 183 days and may be denominated in euro, U.S. dollars, Japanese yen, British pounds sterling, Swiss franc, Canadian dollars or other currencies. 11 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Under both programs, the CP Notes are issued at a discount from par (or premium to par, in the case of negative interest rates), or, alternatively, are sold at par and bear varying interest rates on a fixed or floating basis. Senior Notes Interest is payable annually on the euro and public Swiss franc-denominated fixed rate senior notes and semi-annually on all other senior notes. Each of the U.S. dollar and euro-denominated fixed rate senior notes, and Japanese yen-denominated and Swiss franc-denominated private placement notes may be redeemed at a redemption price of 100 % of the principal amount plus a specified make-whole premium and accrued interest, together with swap breakage costs payable to holders of the Japanese yen-denominated and Swiss franc-denominated private placement notes who have entered into cross-currency swap agreements. The company is subject to certain affirmative and negative covenants under the indentures and note purchase agreement governing the senior notes, the most restrictive of which limits the ability of the company to pledge certain property and assets as security under borrowing arrangements. The company was in compliance with all covenants related to its senior notes at March 29, 2025. Thermo Fisher Scientific (Finance I) B.V. (Thermo Fisher International), a wholly-owned finance subsidiary of the company, issued each of the following notes outstanding as of March 29, 2025, included in the table above (collectively, the “Euronotes”) in registered public offerings: the 0.00 % Senior Notes due 2025, the 0.80 % Senior Notes due 2030, the 1.125 % Senior Notes due 2033, the 1.625 % Senior Notes due 2041, and the 2.00 % Senior Notes due 2051. The company has fully and unconditionally guaranteed all of Thermo Fisher International’s obligations under the Euronotes and all of Thermo Fisher International’s other debt securities, and no other subsidiary of the company will guarantee these obligations. Thermo Fisher International is a “finance subsidiary” as defined in Rule 13-01(a)(4)(vi) of the Exchange Act, with no assets or operations other than those related to the issuance, administration and repayment of the Euronotes and other debt securities issued by Thermo Fisher International from time to time. The financial condition, results of operations and cash flows of Thermo Fisher International are consolidated in the financial statements of the company. Note 4 . Fair Value Measurements Fair Value Measurements The following tables present information about the company’s financial assets and liabilities measured at fair value on a recurring basis: March 29, Quoted prices in active markets Significant other observable inputs Significant unobservable inputs (In millions) 2025 (Level 1) (Level 2) (Level 3) Assets Cash equivalents $ 1,161 $ 1,161 $ — $ — Bank time deposits 1,810 1,810 — — Investments 50 19 — 31 Insurance contracts 232 — 232 — Derivative contracts 354 — 354 — Total assets $ 3,607 $ 2,990 $ 586 $ 31 Liabilities Derivative contracts $ 72 $ — $ 72 $ — Contingent consideration 13 — — 13 Total liabilities $ 86 $ — $ 72 $ 13 12 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) December 31, Quoted prices in active markets Significant other observable inputs Significant unobservable inputs (In millions) 2024 (Level 1) (Level 2) (Level 3) Assets Cash equivalents $ 1,103 $ 1,103 $ — $ — Bank time deposits 1,560 1,560 — — Investments 39 18 — 21 Insurance contracts 240 — 240 — Derivative contracts 460 — 460 — Total assets $ 3,401 $ 2,680 $ 700 $ 21 Liabilities Derivative contracts $ 59 $ — $ 59 $ — Contingent consideration 13 — — 13 Total liabilities $ 72 $ — $ 59 $ 13 The company determines the fair value of its insurance contracts by obtaining the cash surrender value of the contracts from the issuer. The fair value of derivative contracts is the estimated amount that the company would receive/pay upon liquidation of the contracts, taking into account the change in interest rates and currency exchange rates. The company initially measures the fair value of acquisition-related contingent consideration based on amounts expected to be transferred (probability-weighted) discounted to present value. Changes to the fair values of contingent consideration are recorded in selling, general and administrative expense. The company determines the fair value of its equity method and non-marketable equity investments that are not eligible for the net asset value (NAV) practical expedient by considering factors such as financial position, operating results and cash flows of the investee; recent transactions in the same or similar securities; significant recent events affecting the investee; the price paid by Thermo Fisher; among others. In the three-month periods ended March 29, 2025, and March 30, 2024, the company recorded $ 2 million and $ 10 million, respectively, of net gains/(losses) on investments, which are included in other income/(expense) in the accompanying statements of income. The following table provides a rollforward of the fair value, as determined by level 3 inputs (such as likelihood of achieving production or revenue milestones, as well as changes in the fair values of the investments underlying a recapitalization investment portfolio), of the contingent consideration. Three months ended March 29, March 30, (In millions) 2025 2024 Contingent consideration Beginning balance $ 13 $ 87 Payments — ( 2 ) Changes in fair value included in earnings 1 ( 2 ) Ending balance $ 13 $ 83 The following table provides a rollforward of investments classified as level 3: Three months ended March 29, (In millions) 2025 Investments Beginning balance $ 21 Purchases 11 Ending balance $ 31 13 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Fair Value of Other Financial Instruments The carrying value and fair value of the company’s debt instruments are as follows: March 29, 2025 December 31, 2024 Carrying Fair Carrying Fair (In millions) value value value value Senior notes $ 33,915 $ 31,116 $ 30,999 $ 28,454 Other 74 74 73 73 $ 33,989 $ 31,190 $ 31,072 $ 28,527 The fair value of debt instruments, excluding private placement notes, was determined based on quoted market prices and on borrowing rates available to the company at the respective period ends, which represent level 2 measurements. The fair value of private placement notes was determined based on internally developed pricing models and unobservable inputs, which represent level 3 measurements. Note 5 . Commitments and Contingencies Environmental Matters The company is currently involved in various stages of investigation and remediation related to environmental matters. The company cannot predict all potential costs related to environmental remediation matters and the possible impact on future operations given the uncertainties regarding the extent of the required cleanup, the complexity and interpretation of applicable laws and regulations, the varying costs of alternative cleanup methods and the extent of the company’s responsibility. Expenses for environmental remediation matters related to the costs of installing, operating and maintaining groundwater-treatment systems and other remedial activities related to historical environmental contamination at the company’s domestic and international facilities were not material in any period presented. At March 29, 2025, there have been no material changes to the accruals for pending environmental-related matters disclosed in the company’s 2024 financial statements and notes included in the company’s Annual Report on Form 10-K. While management believes the accruals for environmental remediation are adequate based on current estimates of remediation costs, the company may be subject to additional remedial or compliance costs due to future events such as changes in existing laws and regulations, changes in agency direction or enforcement policies, developments in remediation technologies or changes in the conduct of the company’s operations, which could have a material adverse effect on the company’s financial position, results of operations and cash flows. Litigation and Related Contingencies The company is involved in various disputes, governmental and/or regulatory inspections, inquiries, investigations and proceedings, and litigation matters that arise from time to time in the ordinary course of business. The disputes and litigation matters include product liability, intellectual property, employment and commercial issues. Due to the inherent uncertainties associated with pending litigation or claims, the company cannot predict the outcome, nor, with respect to certain pending litigation or claims where no liability has been accrued, make a meaningful estimate of the reasonably possible loss or range of loss that could result from an unfavorable outcome. The company has no material accruals for pending litigation or claims for which accrual amounts are not disclosed in the company’s 2024 financial statements and notes included in the company’s Annual Report on Form 10-K, nor are material losses deemed probable for such matters. It is reasonably possible, however, that an unfavorable outcome that exceeds the company’s current accrual estimate, if any, for one or more such matters could have a material adverse effect on the company’s results of operations, financial position and cash flows. Product Liability, Workers Compensation and Other Personal Injury Matters The company is involved in various proceedings and litigation that arise from time to time in connection with product liability, workers compensation and other personal injury matters. At March 29, 2025, there have been no material changes to the accruals for pending product liability, workers compensation, and other personal injury matters disclosed in the company’s 2024 financial statements and notes included in the company’s Annual Report on Form 10-K. Although the company believes that the amounts accrued and estimated insurance recoveries are probable and appropriate based on available information, including actuarial studies of loss estimates, the process of estimating losses and insurance recoveries involves a considerable degree of judgment by management and the ultimate amounts could vary, which could have a material adverse effect on the company’s results of operations, financial position, and cash flows. Insurance contracts do not relieve the company of its primary obligation with respect to any losses incurred. The collectability of amounts due from its insurers is subject to the solvency and willingness of the insurer to pay, as well as the legal sufficiency of the insurance claims. Management monitors the payment history as well as the financial condition and ratings of its insurers on an ongoing basis. 14 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 6. Supplemental Income Statement Information Disaggregated Revenues Revenues by type are as follows: Three months ended (In millions) March 29, 2025 March 30, 2024 Revenues Consumables $ 4,354 $ 4,328 Instruments 1,626 1,627 Services 4,384 4,390 Consolidated revenues $ 10,364 $ 10,345 Revenues by geographic region based on customer location are as follows: Three months ended (In millions) March 29, 2025 March 30, 2024 Revenues North America $ 5,513 $ 5,519 Europe 2,624 2,619 Asia-Pacific 1,891 1,861 Other regions 337 346 Consolidated revenues $ 10,364 $ 10,345 Each reportable segment earns revenues from consumables, instruments and services in North America, Europe, Asia-Pacific and other regions. Revenues by business are as follows: Three months ended (In millions) March 29, 2025 March 30, 2024 Revenues Biosciences $ 993 $ 1,059 Genetic sciences 677 637 BioProduction 671 590 Life Sciences Solutions 2,341 2,285 Chromatography and mass spectrometry 773 789 Chemical analysis 286 320 Electron microscopy 659 579 Analytical Instruments 1,718 1,687 Clinical diagnostics 263 263 ImmunoDiagnostics 217 212 Microbiology 152 153 Transplant diagnostics 113 106 Healthcare market channel 474 438 Elimination of intrasegment revenues ( 72 ) ( 63 ) Specialty Diagnostics 1,148 1,109 Laboratory products 582 624 Research and safety market channel 1,727 1,711 Pharma services 1,607 1,578 Clinical research 1,939 2,033 Elimination of intrasegment revenues ( 214 ) ( 224 ) Laboratory Products and Biopharma Services 5,640 5,723 Elimination of intersegment revenues ( 482 ) ( 460 ) Consolidated revenues $ 10,364 $ 10,345 15 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Restructuring and Other Costs In the first three months of 2025, restructuring and other costs primarily included continuing charges for headcount reductions and facility consolidations in an effort to streamline operations, impairment of long-lived assets, and, to a lesser extent, net charges for pre-acquisition litigation and other matters. In 2025, severance actions associated with facility consolidations and cost reduction measures affected approximately 1 % of the company’s workforce. As of May 2, 2025, the company has identified restructuring actions, primarily in the Laboratory Products and Biopharma Services segment, that it expects will result in additional charges of approximately $ 120 million, primarily in 2025, and expects to identify additional actions in future periods. Restructuring and other costs by segment are as follows: Three months ended (In millions) March 29, 2025 Life Sciences Solutions $ 42 Analytical Instruments 4 Specialty Diagnostics 2 Laboratory Products and Biopharma Services 45 Corporate 5 $ 98 The following table summarizes the changes in the company’s accrued restructuring balance, which is included in other accrued expenses in the accompanying balance sheets. Other amounts reported as restructuring and other costs in the accompanying statements of income have been summarized in the notes to the table. (In millions) Total (a) Balance at December 31, 2024 $ 50 Net restructuring charges incurred in 2025 (b) 43 Payments ( 34 ) Currency translation 1 Balance at March 29, 2025 $ 59 (a) The movements in the restructuring liability principally consist of severance and other costs associated with facility consolidations. (b) Excludes $ 55 million of net charges, principally $ 68 million of charges for impairment of long-lived assets in the Life Sciences Solutions and Laboratory Products and Biopharma Services segments. The company expects to pay accrued restructuring costs primarily through 2025. Earnings per Share Three months ended March 29, March 30, (In millions except per share amounts) 2025 2024 Net income attributable to Thermo Fisher Scientific Inc. $ 1,507 $ 1,328 Basic weighted average shares 378 382 Plus effect of: stock options and restricted stock units 1 2 Diluted weighted average shares 379 384 Basic earnings per share $ 3.99 $ 3.47 Diluted earnings per share $ 3.98 $ 3.46 Antidilutive stock options excluded from diluted weighted average shares 3 2 16 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 7 . Income Taxes The provision for income taxes in the accompanying statements of income differs from the provision calculated by applying the statutory federal income tax rate to income before provision for income taxes due to the following: Three months ended (In millions) March 29, 2025 March 30, 2024 Statutory federal income tax rate 21 % 21 % Provision for income taxes at statutory rate $ 340 $ 334 Increases (decreases) resulting from: Foreign rate differential ( 30 ) ( 38 ) Income tax credits ( 45 ) ( 89 ) Global intangible low-taxed income 10 12 Foreign-derived intangible income ( 27 ) ( 22 ) Excess tax benefits from stock options and restricted stock units ( 10 ) ( 33 ) Provision for (reversal of) tax reserves, net ( 28 ) 185 Intra-entity transfers — ( 102 ) Domestication transaction ( 125 ) — Provision for (reversal of) valuation allowances, net ( 12 ) 47 Withholding taxes 3 4 Tax return reassessments and settlements 3 ( 29 ) State income taxes, net of federal tax 14 19 Other, net 2 ( 6 ) Provision for/(benefit from) income taxes $ 95 $ 281 During the first quarter of 2025, the company recorded a deferred tax benefit of $ 125 million resulting from the recognition of a tax attribute related to a domestication transaction. During the first quarter of 2024, the company recorded a tax reserve and associated interest of $ 240 million related to the potential settlement of international tax audits for tax years 2009 through 2016, which were settled during 2024. The company has operations and a taxable presence in approximately 70 countries outside the U.S. The company's effective income tax rate differs from the U.S. federal statutory rate each year due to certain operations that are subject to tax incentives, state and local taxes, and foreign taxes that are different than the U.S. federal statutory rate. Unrecognized Tax Benefits As of March 29, 2025, the company had $ 0.53 billion of unrecognized tax benefits substantially all of which, if recognized, would reduce the effective tax rate. A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows: (In millions) 2025 Balance at beginning of year $ 525 Additions for tax positions of current year 8 Reductions for tax positions of prior years ( 8 ) Balance at end of period $ 525 17 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 8 . Comprehensive Income/(Loss) and Shareholders' Equity Comprehensive Income/(Loss) Changes in each component of accumulated other comprehensive income/(loss), net of tax, are as follows: (In millions) Currency translation adjustment Unrealized gains/(losses) on hedging instruments Pension and other postretirement benefit liability adjustment Total Three months ended March 29, 2025 Balance at December 31, 2024 $ ( 2,409 ) $ ( 25 ) $ ( 263 ) $ ( 2,697 ) Other comprehensive income/(loss) before reclassifications 360 — ( 3 ) 357 Amounts reclassified from accumulated other comprehensive income/(loss) ( 4 ) 1 1 ( 3 ) Net other comprehensive income/(loss) 356 1 ( 3 ) 354 Balance at March 29, 2025 $ ( 2,053 ) $ ( 24 ) $ ( 265 ) $ ( 2,343 ) Note 9 . Supplemental Cash Flow Information Three months ended (In millions) March 29, 2025 March 30, 2024 Non-cash investing and financing activities Acquired but unpaid property, plant and equipment $ 173 $ 165 Declared but unpaid dividends 164 150 Issuance of stock upon vesting of restricted stock units 65 63 Excise tax from stock repurchases 18 29 Cash, cash equivalents and restricted cash is included in the accompanying balance sheet as follows: (In millions) March 29, 2025 December 31, 2024 Cash and cash equivalents $ 4,134 $ 4,009 Restricted cash included in other current assets 16 10 Restricted cash included in other assets 22 21 Cash, cash equivalents and restricted cash $ 4,172 $ 4,040 Amounts included in restricted cash primarily represent funds held as collateral for bank guarantees, pension related deposits, and incoming cash in China awaiting government administrative clearance. Note 10 . Derivatives Derivative Contracts The following table provides the aggregate notional value of outstanding derivative contracts. (In millions) March 29, 2025 December 31, 2024 Notional amount Cross-currency interest rate swaps designated as net investment hedge - euro $ 1,000 $ 1,000 Cross-currency interest rate swaps designated as net investment hedge - Japanese yen 4,650 4,650 Cross-currency interest rate swaps designated as net investment hedge - Swiss franc 2,500 2,500 Currency exchange contracts 1,412 1,588 18 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) While certain derivatives are subject to netting arrangements with counterparties, the company does not offset derivative assets and liabilities within the balance sheet. The following tables present the fair value of derivative instruments in the accompanying balance sheets and statements of income. Fair value – assets Fair value – liabilities March 29, December 31, March 29, December 31, (In millions) 2025 2024 2025 2024 Derivatives designated as hedging instruments Cross-currency interest rate swaps $ 352 $ 458 $ 70 $ 57 Derivatives not designated as hedging instruments Currency exchange contracts 1 2 2 2 Total derivatives $ 354 $ 460 $ 72 $ 59 Gain/(loss) recognized Three months ended March 29, March 30, (In millions) 2025 2024 Derivatives designated as cash flow hedges Interest rate swaps Amount reclassified from accumulated other comprehensive items to interest expense $ ( 1 ) $ ( 1 ) Financial instruments designated as net investment hedges Foreign currency-denominated debt and other payables Included in currency translation adjustment within other comprehensive income/(loss) ( 450 ) 275 Cross-currency interest rate swaps Included in currency translation adjustment within other comprehensive income/(loss) ( 119 ) 444 Included in interest expense 68 66 Derivatives not designated as hedging instruments Currency exchange contracts Included in cost of product revenues 1 3 Included in other income/(expense) 10 ( 6 ) Gains and losses recognized on currency exchange contracts are included in the accompanying statements of income together with the corresponding, offsetting losses and gains on the underlying hedged transactions. The company uses foreign currency-denominated debt, certain foreign currency-denominated payables, and cross-currency interest rate swaps to partially hedge its net investments in foreign operations against adverse movements in exchange rates. A portion of the company’s euro-denominated senior notes, certain foreign currency-denominated payables, and its cross-currency interest rate swaps have been designated as, and are effective as, economic hedges of part of the net investment in a foreign operation. Accordingly, foreign currency transaction gains or losses due to spot rate fluctuations on the euro-denominated debt instruments and certain foreign currency-denominated payables, and contract fair value changes on the cross-currency interest rate swaps, excluding interest accruals, are included in currency translation adjustment within other comprehensive items and shareholders’ equity. The fair value of the cross-currency interest rate swaps is included in the accompanying balance sheets under the caption other assets or other long-term liabilities. The fair value of the currency exchange contracts is included in the accompanying balance sheets under the captions other current assets or other accrued expenses. See Note 1 to the consolidated financial statements for 2024 included in the company’s Annual Report on Form 10-K for additional information on the company’s risk management objectives and strategies. 19 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 11. Business Segment Information Business Segment Information The company’s financial performance is reported in four segments. During 2025, there have been no changes to the company’s basis of segmentation or in the basis of measurement of segment income. Other segment items included in the below tables consist of stock-based compensation and other incentive compensation expenses, allocations of corporate expenses and certain overhead expenses as well as elimination of intersegment and intrasegment profits. Prior period segment expense amounts have been recast to reflect the method for allocating expenses to segments in the current period. 2025 Three months ended March 29, 2025 (In millions) Life Sciences Solutions Analytical Instruments Specialty Diagnostics Laboratory Products and Biopharma Services Total Revenues Revenues from external customers $ 1,954 $ 1,677 $ 1,130 $ 5,603 $ 10,364 Intersegment revenues 387 41 18 37 482 2,341 1,718 1,148 5,640 10,846 Elimination of intersegment revenues ( 482 ) Consolidated revenues $ 10,364 Segment Income Cost of revenues 856 836 679 4,424 Selling, general, and administrative expenses 470 314 171 592 Research and development expenses 137 137 45 13 Other segment items 44 31 ( 51 ) ( 120 ) Segment income 834 399 304 731 2,269 Unallocated amounts Cost of revenues adjustments ( 11 ) Selling, general and administrative expenses adjustments ( 14 ) Restructuring and other costs ( 98 ) Amortization of acquisition-related intangible assets ( 429 ) Interest income 203 Interest expense ( 303 ) Other income/(expense) 3 Consolidated income before income taxes $ 1,620 (In millions) Unallocated amounts Life Sciences Solutions Analytical Instruments Specialty Diagnostics Laboratory Products and Biopharma Services Consolidated Segment assets $ 85,272 $ 3,018 $ 2,986 $ 1,298 $ 6,467 $ 99,041 Purchases of property, plant and equipment 36 43 44 33 205 362 Depreciation of property, plant and equipment — 59 24 22 172 276 20 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) 2024 Three months ended March 30, 2024 (In millions) Life Sciences Solutions Analytical Instruments Specialty Diagnostics Laboratory Products and Biopharma Services Total Revenues Revenues from external customers $ 1,930 $ 1,629 $ 1,099 $ 5,686 $ 10,345 Intersegment revenues 355 58 10 37 460 2,285 1,687 1,109 5,723 10,805 Elimination of intersegment revenues ( 460 ) Consolidated revenues $ 10,345 Segment Income Cost of revenues 821 799 628 4,500 Selling, general, and administrative expenses 431 318 187 585 Research and development expenses 132 132 40 17 Other segment items 61 39 ( 40 ) ( 123 ) Segment income 840 400 294 744 2,278 Unallocated amounts Cost of revenues adjustments ( 15 ) Selling, general and administrative expenses adjustments ( 19 ) Restructuring and other costs ( 29 ) Amortization of acquisition-related intangible assets ( 551 ) Interest income 279 Interest expense ( 363 ) Other income/(expense) 10 Consolidated income before income taxes $ 1,589 (In millions) Unallocated amounts Life Sciences Solutions Analytical Instruments Specialty Diagnostics Laboratory Products and Biopharma Services Consolidated Segment assets $ 83,908 $ 3,114 $ 2,671 $ 1,179 $ 6,223 $ 97,095 Purchases of property, plant and equipment 24 25 27 32 240 347 Depreciation of property, plant and equipment — 56 25 22 183 285 21 THERMO FISHER SCIENTIFIC INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 12 . Acquisitions The company’s acquisitions have historically been made at prices above the determined fair value of the acquired identifiable net assets, resulting in goodwill, primarily due to expectations of the synergies that will be realized by combining the businesses and the benefits that will be gained from the assembled workforces. These synergies include the elimination of redundant facilities, functions and staffing; use of the company’s existing commercial infrastructure to expand sales of the acquired businesses’ products and services; and use of the commercial infrastructure of the acquired businesses to cost-effectively expand sales of company products and services. Acquisitions have been accounted for using the acquisition method of accounting, and the acquired companies’ results have been included in the accompanying financial statements from their respective dates of acquisition. Pending Acquisition The company has entered into an agreement with Solventum Corporation to acquire its Purification & Filtration business for approximately $ 4.1 billion in cash. Solventum’s Purification & Filtration business is a leading provider of purification and filtration technologies used in the production of biologics as well as in medical technologies and industrial applications. The transaction, which is expected to be completed by the end of 2025, is subject to customary closing conditions, including regulatory approvals. Upon completion, Solventum’s Purification & Filtration business will become part of the Life Sciences Solutions segment. 2024 On July 10, 2024, the company acquired, within the Life Sciences Solutions segment, Olink Holding AB (publ), a Swedish-based provider of next-generation proteomics solutions. The acquisition enhances the segment’s capabilities in the high-growth proteomics market with the addition of highly differentiated solutions. It also complements the existing life sciences and mass spectrometry offerings, accelerating protein biomarker discovery and providing strong synergy opportunities. The goodwill recorded as a result of this business combination is not tax deductible. The components of the purchase price and net assets acquired are as follows: (In millions) Olink Purchase price Cash paid $ 3,215 Purchase price payable 28 Cash acquired ( 97 ) $ 3,146 Net assets acquired Definite-lived intangible assets Customer relationships $ 708 Product technology 207 Tradenames 97 Goodwill 2,302 Net tangible assets 8 Deferred tax assets (liabilities) ( 176 ) $ 3,146 The weighted-average amortization periods for definite-lived intangible assets acquired in 2024 are 19 years for customer relationships, 15 years for product technology, and 15 years for tradenames. The weighted-average amortization period for definite-lived intangible assets acquired in 2024 is 18 years. 22 THERMO FISHER SCIENTIFIC INC.