United Therapeutics Posts Strong Q3 Revenue, Net Income Growth

TL;DR

**UTHR is a buy; strong revenue and net income growth, coupled with strategic capital investments, signal a healthy future despite increased R&D spend.**

AI Summary

United Therapeutics Corporation reported robust financial performance for the three and nine months ended September 30, 2025. Total revenues increased by 6.7% to $799.5 million for the three months ended September 30, 2025, up from $748.9 million in the prior year period. For the nine months, total revenues grew by 11.7% to $2,392.5 million, compared to $2,141.5 million in 2024. Net income for the three-month period rose by 9.6% to $338.7 million from $309.1 million, and for the nine-month period, it increased by 8.6% to $970.4 million from $893.8 million. Operating expenses saw a modest increase of 1.3% to $411.0 million for the quarter, primarily driven by a 21.4% rise in research and development expenses to $127.5 million. The company significantly increased its property, plant, and equipment purchases to $347.6 million for the nine months ended September 30, 2025, up from $159.8 million in the same period of 2024, indicating substantial capital expenditure. Share repurchases remained consistent at $1,000.0 million for both nine-month periods, while cash and cash equivalents decreased by $357.1 million to $1,340.1 million as of September 30, 2025, from $1,697.2 million at the beginning of the year.

Why It Matters

United Therapeutics' continued revenue and net income growth, driven by its portfolio of FDA-approved therapies like Tyvaso DPI and Remodulin, signals strong operational execution in a competitive biotechnology landscape. The substantial increase in property, plant, and equipment purchases, up to $347.6 million, suggests significant investment in future growth and infrastructure, which could enhance long-term production capabilities or R&D. For investors, this indicates a company actively reinvesting in itself, potentially leading to sustained innovation and market share. Employees may see this as job security and opportunities for growth within an expanding organization, while customers could benefit from enhanced product availability and new therapies. The consistent $1 billion share repurchase program also demonstrates a commitment to returning value to shareholders, potentially supporting stock price stability.

Risk Assessment

Risk Level: medium — The risk level is medium due to increased R&D expenses and significant capital expenditures, which, while indicative of growth, can strain short-term liquidity. Research and development expenses increased by 21.4% to $127.5 million for the three months ended September 30, 2025, and purchases of property, plant, and equipment surged to $347.6 million for the nine months, up from $159.8 million in the prior year. Additionally, cash and cash equivalents decreased by $357.1 million to $1,340.1 million, reflecting these investments and share repurchases.

Analyst Insight

Investors should consider holding or initiating a long position in UTHR. The company's consistent revenue and net income growth, coupled with strategic investments in property, plant, and equipment, suggest a strong long-term outlook. Monitor R&D outcomes and the impact of capital expenditures on future profitability.

Financial Highlights

debt To Equity

0.12

revenue

$799.5M

operating Margin

48.6%

total Assets

$7,351.1M

total Debt

$94.6M

net Income

$338.7M

eps

$7.16

gross Margin

87.4%

cash Position

$1,340.1M

revenue Growth

+6.7%

Revenue Breakdown

Key Numbers

• $799.5M — Total revenues (Q3 2025) (Increased by 6.7% from $748.9 million in Q3 2024)
• $338.7M — Net income (Q3 2025) (Increased by 9.6% from $309.1 million in Q3 2024)
• $2,392.5M — Total revenues (9 months 2025) (Increased by 11.7% from $2,141.5 million in 9 months 2024)
• $970.4M — Net income (9 months 2025) (Increased by 8.6% from $893.8 million in 9 months 2024)
• $127.5M — Research and development expenses (Q3 2025) (Increased by 21.4% from $103.5 million in Q3 2024)
• $347.6M — Purchases of property, plant, and equipment (9 months 2025) (Increased from $159.8 million in 9 months 2024)
• $1,000.0M — Payments to repurchase common stock (9 months 2025) (Consistent with 9 months 2024)
• $1,340.1M — Cash and cash equivalents (Sept 30, 2025) (Decreased from $1,697.2 million at Dec 31, 2024)

Key Players & Entities

• UNITED THERAPEUTICS Corp (company) — Registrant
• U.S. Food and Drug Administration (regulator) — Approves therapies
• Tyvaso DPI (product) — FDA-approved therapy
• Remodulin (product) — FDA-approved therapy
• Nasdaq Global Select Market (market) — Exchange where common stock is registered
• FASB (regulator) — Issued Accounting Standards Updates
• Bloomberg (company) — Financial news outlet
• SEC (regulator) — Securities and Exchange Commission

FAQ

Risk Factors

• FDA Approval and Market Exclusivity [high — regulatory]: The company relies on FDA approvals for its key therapies like Tyvaso DPI, Tyvaso, Remodulin, Orenitram, Unituxin, and Adcirca. Any delays, rejections, or challenges to these approvals or market exclusivity could significantly impact future revenues and profitability.
• Competition and Market Adoption [medium — market]: The biotechnology market is highly competitive. The success of United Therapeutics' products depends on their ability to gain and maintain market share against existing and emerging therapies. Factors like pricing, efficacy, and patient/physician adoption are critical.
• Research and Development Investment [medium — operational]: The company significantly increased R&D expenses by 21.4% to $127.5 million in Q3 2025. While this indicates investment in future growth, it also represents a substantial ongoing cost that needs to translate into successful product development and commercialization.
• Cash Position and Capital Expenditures [medium — financial]: Cash and cash equivalents decreased by $357.1 million to $1,340.1 million as of September 30, 2025. Concurrently, capital expenditures for property, plant, and equipment surged to $347.6 million for the nine months ended September 30, 2025, up from $159.8 million in the prior year, indicating significant investment and a draw on cash reserves.
• International Operations and Compliance [medium — regulatory]: United Therapeutics derives revenues outside the U.S. from sales of certain therapies. Navigating international regulatory environments, compliance with foreign laws, and currency fluctuations present additional risks.
• Public Benefit Corporation Status [low — operational]: As a public benefit corporation, United Therapeutics has a dual purpose of developing therapies and expanding organ availability. Balancing these public benefit goals with shareholder value may introduce unique strategic considerations and potential conflicts.

Industry Context

United Therapeutics operates in the specialized biotechnology sector, focusing on treatments for chronic and life-threatening conditions, particularly pulmonary arterial hypertension (PAH) and organ transplantation technologies. The industry is characterized by high R&D costs, long development cycles, stringent regulatory oversight from bodies like the FDA, and significant competitive pressures from both large pharmaceutical companies and smaller biotech firms. Innovation and intellectual property protection are critical for success.

Regulatory Implications

The company's reliance on FDA-approved therapies means that regulatory compliance and successful navigation of the drug approval process are paramount. Any changes in FDA regulations, post-market surveillance requirements, or challenges to existing approvals could materially affect operations. Furthermore, international operations require adherence to diverse global regulatory standards.

What Investors Should Do

1. Monitor R&D spending and pipeline progress.
2. Analyze the impact of increased capital expenditures.
3. Evaluate the trend in cash and cash equivalents.
4. Assess the sustainability of revenue and net income growth.

Key Dates

• 2025-09-30: End of Q3 2025 — Reporting period for the 10-Q, showing increased revenues and net income, but a decrease in cash and cash equivalents.
• 2025-12-31: End of Fiscal Year 2024 — Reference point for year-end balance sheet figures, showing a higher cash and cash equivalents balance compared to Q3 2025.
• 2025-02-26: Filing of 2024 10-K — Provides audited financial statements and context for the current interim report.

Glossary

Tyvaso DPI

A dry powder inhalation form of treprostinil, a therapy for pulmonary arterial hypertension. (A key product contributing to United Therapeutics' revenue stream.)

Treasury Stock

Stock that a company has repurchased from the open market. It is no longer outstanding and does not have voting rights. (The company significantly increased its treasury stock balance, indicating substantial share repurchases totaling $1,000.0 million for the nine-month period.)

Accumulated Other Comprehensive Income (Loss)

Includes unrealized gains and losses on certain investments and foreign currency translation adjustments that have not been included in net income. (Shows fluctuations in the company's equity not directly tied to operational performance, such as gains on available-for-sale debt securities.)

Public Benefit Corporation

A type of for-profit corporate entity that includes a legally binding public benefit purpose in its charter, alongside its profit-making purpose. (United Therapeutics operates under this structure, aiming to balance patient welfare and technological advancement with financial returns.)

Share-based compensation

Compensation provided to employees in the form of stock options, restricted stock units, or other equity-based awards. (A significant non-cash expense that impacts net income and is adjusted for in cash flow from operations.)

Year-Over-Year Comparison

Compared to the prior year period, United Therapeutics has demonstrated strong top-line growth, with total revenues increasing by 6.7% to $799.5 million in Q3 2025 and by 11.7% to $2,392.5 million for the nine months ended September 30, 2025. Net income also saw healthy increases of 9.6% and 8.6% respectively. However, operating expenses saw a modest increase, largely driven by a significant 21.4% rise in R&D spending. A notable shift is the substantial increase in capital expenditures for property, plant, and equipment, more than doubling year-over-year for the nine-month period, while cash and cash equivalents have decreased by $357.1 million, indicating a strategic deployment of capital.

Key Financial Figures

• $0.01 — ich registered Common Stock, par value $0.01 per share UTHR Nasdaq Global Select Mar

Filing Documents

• uthr-20250930.htm (10-Q) — 2046KB
• uthrex10209302025.htm (EX-10.2) — 48KB
• uthrex31109302025.htm (EX-31.1) — 12KB
• uthrex31209302025.htm (EX-31.2) — 12KB
• uthrex32109302025.htm (EX-32.1) — 6KB
• uthrex32209302025.htm (EX-32.2) — 7KB
• 0001082554-25-000034.txt ( ) — 8928KB
• uthr-20250930.xsd (EX-101.SCH) — 46KB
• uthr-20250930_cal.xml (EX-101.CAL) — 72KB
• uthr-20250930_def.xml (EX-101.DEF) — 243KB
• uthr-20250930_lab.xml (EX-101.LAB) — 661KB
• uthr-20250930_pre.xml (EX-101.PRE) — 453KB
• uthr-20250930_htm.xml (XML) — 1485KB

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 9 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 25 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 41 Item 4.

Controls and Procedures

Controls and Procedures 41 Part II OTHER INFORMATION 42 Item 1.

Legal Proceedings

Legal Proceedings 42 Item 1A.

Risk Factors

Risk Factors 42 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 56 Item 5. Other Information 56 Item 6. Exhibits 57

SIGNATURES

SIGNATURES 58 2 United Therapeutics, a public benefit corporation Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Consolidated Financial Statements

Item 1. Consolidated Financial Statements Consolidated Balance Sheets (In millions, except share and per share data) September 30, 2025 December 31, 2024 (Unaudited) Assets Current assets: Cash and cash equivalents $ 1,340.1 $ 1,697.2 Marketable investments 1,427.5 1,569.8 Accounts receivable, no allowance for 2025 and 2024 297.7 279.3 Inventories, net 176.5 157.9 Other current assets 252.2 169.7 Total current assets 3,494.0 3,873.9 Marketable investments 1,567.3 1,475.3 Goodwill and other intangible assets, net 116.7 111.9 Property, plant, and equipment, net 1,555.6 1,222.4 Deferred tax assets, net 354.9 458.4 Other non-current assets 262.6 222.1 Total assets $ 7,351.1 $ 7,364.0 Liabilities and Stockholders' Equity Current liabilities: Accounts payable and accrued expenses $ 468.0 $ 344.5 Line of credit — 300.0 Other current liabilities 78.3 93.6 Total current liabilities 546.3 738.1 Other non-current liabilities 214.6 181.9 Total liabilities 760.9 920.0 Commitments and contingencies Stockholders' equity: Preferred stock, par value $ .01 , 10,000,000 shares authorized, no shares issued — — Common stock, par value $ .01 , 245,000,000 shares authorized, 75,708,024 and 74,997,896 shares issued, and 42,902,818 and 44,831,306 shares outstanding as of September 30, 2025 and December 31, 2024, respectively 0.8 0.8 Additional paid-in capital 2,658.7 2,698.9 Accumulated other comprehensive income (loss) 0.1 ( 3.4 ) Treasury stock, 32,805,206 and 30,166,590 shares as of September 30, 2025 and December 31, 2024, respectively ( 4,262.0 ) ( 3,474.5 ) Retained earnings 8,192.6 7,222.2 Total stockholders' equity 6,590.2 6,444.0 Total liabilities and stockholders' equity $ 7,351.1 $ 7,364.0 See accompanying notes to consolidated financial statements. Quarterly Report 3 Table of Contents

Financial Information

Part I. Financial Information Consolidated Statements of Operations (In millions, except per share data) Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 (Unaudited) (Unaudited) Total revenues $ 799.5 $ 748.9 $ 2,392.5 $ 2,141.5 Operating expenses: Cost of sales 100.9 83.1 281.0 233.8 Research and development 127.5 103.5 410.5 347.2 Selling, general, and administrative 182.6 219.2 565.2 541.2 Total operating expenses 411.0 405.8 1,256.7 1,122.2 Operating income 388.5 343.1 1,135.8 1,019.3 Interest income 46.4 49.8 148.8 149.8 Interest expense ( 3.0 ) ( 10.1 ) ( 16.4 ) ( 35.0 ) Other income, net 6.1 5.8 1.7 8.4 Total other income, net 49.5 45.5 134.1 123.2 Income before income taxes 438.0 388.6 1,269.9 1,142.5 Income tax expense ( 99.3 ) ( 79.5 ) ( 299.5 ) ( 248.7 ) Net income $ 338.7 $ 309.1 $ 970.4 $ 893.8 Net income per common share: Basic $ 7.73 $ 6.93 $ 21.76 $ 19.73 Diluted $ 7.16 $ 6.39 $ 20.17 $ 18.43 Weighted average number of common shares outstanding: Basic 43.8 44.6 44.6 45.3 Diluted 47.3 48.4 48.1 48.5 See accompanying notes to consolidated financial statements. 4 United Therapeutics, a public benefit corporation Table of Contents

Financial Information

Part I. Financial Information Consolidated Statements of Comprehensive Income (In millions) Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 (Unaudited) (Unaudited) Net income $ 338.7 $ 309.1 $ 970.4 $ 893.8 Other comprehensive income: Foreign currency translation loss included in net income — — — 2.4 Defined benefit pension plan: Actuarial loss arising during period, net of tax ( 1.0 ) — ( 3.8 ) ( 0.5 ) Actuarial gain and prior service cost included in net periodic pension cost, net of tax ( 0.6 ) ( 1.1 ) ( 1.4 ) ( 3.4 ) Total defined benefit pension plan, net of tax ( 1.6 ) ( 1.1 ) ( 5.2 ) ( 3.9 ) Available-for-sale debt securities: Unrealized gain arising during period, net of tax 1.9 23.4 9.5 20.6 Realized (gain) loss included in net income, net of tax ( 0.2 ) — ( 0.8 ) 1.1 Total gain on available-for-sale debt securities, net of tax 1.7 23.4 8.7 21.7 Other comprehensive income, net of tax 0.1 22.3 3.5 20.2 Comprehensive income $ 338.8 $ 331.4 $ 973.9 $ 914.0 During the three and nine months ended September 30, 2025 , the tax (benefit) expense in other comprehensive income was $( 0.2 ) million and $( 0.3 ) million, respectively, for the defined benefit pension plan and $ 0.7 million and $ 2.9 million, respectively, for the available-for-sale debt securities. During the three and nine months ended September 30, 2024, the tax (benefit) expense in other comprehensive income was $( 0.1 ) million and $( 0.3 ) million, respectively, for the defined benefit pension plan and $ 7.6 million and $ 7.0 million, respectively, for the available-for-sale debt securities. See accompanying notes to consolidated financial statements. Quarterly Report 5 Table of Contents

Financial Information

Part I. Financial Information Consolidated Statements of Stockholders' Equity (In millions) Three Months Ended September 30, 2025 (Unaudited) Common Stock Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Treasury Stock Retained Earnings Stockholders' Equity Shares Amount Balance, July 1, 2025 75.4 $ 0.8 $ 2,793.4 $ — $ ( 3,474.5 ) $ 7,853.9 $ 7,173.6 Net income — — — — — 338.7 338.7 Other comprehensive income, net of tax — — — 0.1 — — 0.1 Shares issued under employee stock purchase plan ( ESPP ) — — 4.3 — — — 4.3 Restricted stock units ( RSUs ) withheld for taxes — — ( 0.5 ) — — — ( 0.5 ) Share repurchase — — ( 217.8 ) — ( 782.2 ) — ( 1,000.0 ) Excise tax on net share repurchase — — — — ( 5.3 ) — ( 5.3 ) Exercise of stock options 0.3 — 40.2 — — — 40.2 Share-based compensation — — 39.1 — — — 39.1 Balance, September 30, 2025 75.7 $ 0.8 $ 2,658.7 $ 0.1 $ ( 4,262.0 ) $ 8,192.6 $ 6,590.2 Three Months Ended September 30, 2024 (Unaudited) Common Stock Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Treasury Stock Retained Earnings Stockholders' Equity Shares Amount Balance, July 1, 2024 74.5 $ 0.7 $ 2,543.1 $ ( 14.9 ) $ ( 3,443.5 ) $ 6,611.8 $ 5,697.2 Net income — — — — — 309.1 309.1 Other comprehensive income, net of tax — — — 22.3 — — 22.3 Shares issued under ESPP — — 3.8 — — — 3.8 RSUs withheld for taxes — — ( 0.4 ) — — — ( 0.4 ) Share repurchase — — 32.4 — ( 32.4 ) — — Excise tax on net share repurchase — — — — 0.6 — 0.6 Exercise of stock options 0.3 — 32.5 — — — 32.5 Share-based compensation — — 35.8 — — — 35.8 Balance, September 30, 2024 74.8 $ 0.7 $ 2,647.2 $ 7.4 $ ( 3,475.3 ) $ 6,920.9 $ 6,100.9 6 United Therapeutics, a public benefit corporation Table of Contents

Financial Information

Part I. Financial Information Nine Months Ended September 30, 2025 (Unaudited) Common Stock Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Treasury Stock Retained Earnings Stockholders' Equity Shares Amount Balance, January 1, 2025 75.0 $ 0.8 $ 2,698.9 $ ( 3.4 ) $ ( 3,474.5 ) $ 7,222.2 $ 6,444.0 Net income — — — — — 970.4 970.4 Other comprehensive income, net of tax — — — 3.5 — — 3.5 Shares issued under ESPP — — 9.2 — — — 9.2 RSUs withheld for taxes — — ( 16.0 ) — — — ( 16.0 ) Share repurchase — — ( 217.8 ) — ( 782.2 ) — ( 1,000.0 ) Excise tax on net share repurchase — — — — ( 5.3 ) — ( 5.3 ) Common stock issued for RSUs vested 0.1 — — — — — — Exercise of stock options 0.6 — 74.9 — — — 74.9 Share-based compensation — — 109.5 — — — 109.5 Balance, September 30, 2025 75.7 $ 0.8 $ 2,658.7 $ 0.1 $ ( 4,262.0 ) $ 8,192.6 $ 6,590.2 Nine Months Ended September 30, 2024 (Unaudited) Common Stock Additional Paid-in Capital Accumulated Other Comprehensive Income (Loss) Treasury Stock Retained Earnings Stockholders' Equity Shares Amount Balance, January 1, 2024 73.7 $ 0.7 $ 2,549.0 $ ( 12.8 ) $ ( 2,579.2 ) $ 6,027.1 $ 5,984.8 Net income — — — — — 893.8 893.8 Other comprehensive income, net of tax — — — 20.2 — — 20.2 Shares issued under ESPP — — 7.7 — — — 7.7 RSUs withheld for taxes — — ( 11.9 ) — — — ( 11.9 ) Share repurchase — — ( 109.7 ) — ( 890.3 ) — ( 1,000.0 ) Excise tax on net share repurchase — — — — ( 5.8 ) — ( 5.8 ) Common stock issued for RSUs vested 0.1 — — — — — — Exercise of stock options 1.0 — 126.8 — — — 126.8 Share-based compensation — — 85.3 — — — 85.3 Balance, September 30, 2024 74.8 $ 0.7 $ 2,647.2 $ 7.4 $ ( 3,475.3 ) $ 6,920.9 $ 6,100.9 See accompanying notes to consolidated financial statements. Quarterly Report 7 Table of Contents

Financial Information

Part I. Financial Information Consolidated Statements of Cash Flows (In millions) Nine Months Ended September 30, 2025 2024 (Unaudited) Cash flows from operating activities: Net income $ 970.4 $ 893.8 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 62.8 52.8 Share-based compensation expense 108.7 117.0 Impairment of property, plant, and equipment 21.7 — Other 13.9 ( 21.7 ) Changes in operating assets and liabilities: Accounts receivable ( 18.4 ) ( 62.9 ) Inventories ( 36.1 ) ( 35.3 ) Accounts payable and accrued expenses 74.7 60.7 Other assets and liabilities 17.3 ( 18.5 ) Net cash provided by operating activities 1,215.0 985.9 Cash flows from investing activities: Purchases of property, plant, and equipment ( 347.6 ) ( 159.8 ) Acquired lease intangible assets ( 5.5 ) — Deposits ( 15.5 ) ( 22.5 ) Purchases of available-for-sale debt securities ( 2,885.1 ) ( 1,167.6 ) Maturities of available-for-sale debt securities 1,098.4 1,059.0 Sales of available-for-sale debt securities 1,861.6 831.8 Purchase of investment in privately-held company ( 30.0 ) ( 0.5 ) Net cash (used in) provided by investing activities ( 323.7 ) 540.4 Cash flows from financing activities: Payments to repurchase common stock ( 1,000.0 ) ( 1,000.0 ) Proceeds from line of credit 200.0 — Repayment of line of credit ( 500.0 ) ( 300.0 ) Excise tax paid on net share repurchase ( 5.0 ) — Payments of debt issuance costs ( 11.5 ) ( 2.7 ) Proceeds from the exercise of stock options 74.9 126.8 Proceeds from the issuance of stock under ESPP 9.2 7.7 RSUs withheld for taxes ( 16.0 ) ( 11.9 ) Net cash used in financing activities ( 1,248.4 ) ( 1,180.1 ) Net (decrease) increase in cash and cash equivalents $ ( 357.1 ) $ 346.2 Cash and cash equivalents, beginning of period 1,697.2 1,207.7 Cash and cash equivalents, end of period $ 1,340.1 $ 1,553.9 Supplemental cash flow information: Cash pai

Financial Information

Part I. Financial Information

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements September 30, 2025 (Unaudited) 1. Organization and Business Description United Therapeutics Corporation is a biotechnology company focused on the development and commercialization of innovative products to address the unmet medical needs of patients with chronic and life-threatening conditions. In 2021, we converted to a Delaware public benefit corporation, with the express public benefit purpose to provide a brighter future for patients through (a) the development of novel pharmaceutical therapies; and (b) technologies that expand the availability of transplantable organs . We have approval from the U.S. Food and Drug Administration ( FDA ) to market the following therapies: Tyvaso DPI (treprostinil) Inhalation Powder ( Tyvaso DPI ), Tyvaso (treprostinil) Inhalation Solution ( Nebulized Tyvaso ), Remodulin (treprostinil) Injection ( Remodulin ), Orenitram (treprostinil) Extended-Release Tablets ( Orenitram ), Unituxin (dinutuximab) Injection ( Unituxin ), and Adcirca (tadalafil) Tablets ( Adcirca ). We also derive revenues outside the United States from sales of Nebulized Tyvaso, Remodulin, and Unituxin, and within the United States from sales of commercial ex vivo lung perfusion services. As used in these notes to our consolidated financial statements, unless the context otherwise requires, the terms " we ", " us ", " our ", and similar terms refer to United Therapeutics Corporation and its consolidated subsidiaries. 2. Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in accordance with the rules and regulations of the U.S. Securities and Exchange Commission ( SEC ) for interim financial information. Accordingly, they do not include all of the information required by U.S. generally accepted accounting principles for complete financial statements. These consolidated financial statements should be read in conjunction with our audited consolidated financial stateme

Financial Information

Part I. Financial Information 3. Investments Marketable Investments Available-for-Sale Debt Securities Available-for-sale debt securities are recorded at fair value, with the portion of the unrealized gains and losses that are not credit-related included as a component of accumulated other comprehensive income (loss) in stockholders' equity, until realized. Available-for-sale debt securities consisted of the following (in millions): As of September 30, 2025 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. government and agency securities $ 2,407.3 $ 9.1 $ ( 0.3 ) $ 2,416.1 Corporate debt securities 599.1 3.8 — 602.9 Total $ 3,006.4 $ 12.9 $ ( 0.3 ) $ 3,019.0 Reported under the following captions in our consolidated balance sheets: Cash and cash equivalents $ 44.6 Current marketable investments 1,407.1 Non-current marketable investments 1,567.3 Total $ 3,019.0 As of December 31, 2024 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. government and agency securities $ 2,473.7 $ 3.1 $ ( 3.5 ) $ 2,473.3 Corporate debt securities 568.0 1.9 ( 0.5 ) 569.4 Total $ 3,041.7 $ 5.0 $ ( 4.0 ) $ 3,042.7 Reported under the following captions in our consolidated balance sheets: Cash and cash equivalents $ 21.5 Current marketable investments 1,545.9 Non-current marketable investments 1,475.3 Total $ 3,042.7 The following tables present gross unrealized losses and fair value for those available-for-sale debt securities that were in an unrealized loss position as of September 30, 2025 and December 31, 2024, aggregated by investment category and length of time that the individual securities have been in a continuous loss position (in millions): Less than 12 months 12 months or longer Total As of September 30, 2025 Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses U.S. government and agency securities $ 289.2 $ ( 0.3 ) $ 78.6 $ — $ 367.8

Financial Information

Part I. Financial Information As of September 30, 2025 and December 31, 2024, we held 94 and 227 available-for-sale debt securities, respectively, that were in an unrealized loss position. In assessing whether the decline in fair value as of September 30, 2025 of any of these securities resulted from a credit loss, we consulted with our investment managers and reviewed the credit ratings for each security. We believe that these unrealized losses are a direct result of the current interest rate environment and do not represent an indication of credit loss. We do not intend to sell the investments in unrealized loss positions prior to their maturity and it is not more likely than not that we will be required to sell these investments before recovery of their amortized cost basis. There were no impairments due to credit loss on our available-for-sale debt securities during the three and nine months ended September 30, 2025 and 2024. The following table summarizes the contractual maturities of available-for-sale debt securities (in millions). Actual maturities may differ from contractual maturities because the issuers of certain of these debt securities have the right to call the securities or prepay their obligations under the securities with or without penalties. As of September 30, 2025 Amortized Cost Fair Value Due within one year $ 1,448.8 $ 1,451.7 Due in one to three years 1,557.6 1,567.3 Total $ 3,006.4 $ 3,019.0 Investments in Equity Securities with Readily Determinable Fair Values We held investments in equity securities with readily determinable fair values, in the aggregate, of $ 20.4 million and $ 23.9 million as of September 30, 2025 and December 31, 2024, respectively, which are included in current marketable investments in our consolidated balance sheets. Changes in the fair value of publicly-traded equity securities are recorded in our consolidated statements of operations within other income, net . See Note 4— Fair Value Measurements . In

Financial Information

Part I. Financial Information 4. Fair Value Measurements We account for certain assets and liabilities at fair value and classify these assets and liabilities within the fair value hierarchy (Level 1, Level 2, or Level 3). Our other current assets and other current liabilities have fair values that approximate their carrying values. Assets and liabilities subject to fair value measurements are as follows (in millions): As of September 30, 2025 Level 1 Level 2 Level 3 Balance Assets Money market funds (1) $ 537.6 $ — $ — $ 537.6 Time deposits (1) 203.5 — — 203.5 U.S. government and agency securities (2) — 2,416.1 — 2,416.1 Corporate debt securities (2) — 602.9 — 602.9 Equity securities (3) 20.4 — — 20.4 Total assets $ 761.5 $ 3,019.0 $ — $ 3,780.5 Liabilities Contingent consideration (4) — — 28.6 28.6 Total liabilities $ — $ — $ 28.6 $ 28.6 As of December 31, 2024 Level 1 Level 2 Level 3 Balance Assets Money market funds (1) $ 649.8 $ — $ — $ 649.8 Time deposits (1) 155.9 — — 155.9 U.S. government and agency securities (2) — 2,473.3 — 2,473.3 Corporate debt securities (2) — 569.4 — 569.4 Equity securities (3) 23.9 — — 23.9 Total assets $ 829.6 $ 3,042.7 $ — $ 3,872.3 Liabilities Contingent consideration (4) — — 24.7 24.7 Total liabilities $ — $ — $ 24.7 $ 24.7 (1) Included in cash and cash equivalents in our consolidated balance sheets. (2) Included in cash and cash equivalents and current and non-current marketable investments in our consolidated balance sheets. See Note 3— Investments — Marketable Investments — Available-for-Sale Debt Securities for further information. The fair value of these securities is principally measured or corroborated by trade data for identical securities for which related trading activity is not sufficiently frequent to be considered a Level 1 input or comparable securities that are more actively traded. (3) Included in current marketable investments in our consolidated balance sheets. Th

Financial Information

Part I. Financial Information 5. Inventories Inventories are stated at the lower of cost (first-in, first-out method) or net realizable value and consist of the following, net of reserves (in millions): September 30, 2025 December 31, 2024 Raw materials $ 31.2 $ 28.6 Work-in-progress 34.8 34.3 Finished goods 110.5 95.0 Total inventories $ 176.5 $ 157.9 6. Property, Plant, and Equipment Property, plant, and equipment consists of the following (in millions): September 30, 2025 December 31, 2024 Land and land improvements $ 263.6 $ 181.9 Buildings, building improvements, and leasehold improvements 917.0 863.8 Buildings under construction 440.0 218.2 Furniture, equipment, and v