Company: BKR
Filing Date: 2025-07-23
Form Type: 10-Q
Source: 0001701605-25-000107
Chunk: 26

Company: Baker Hughes Co
Filing Date: 2025-07-23
Form: 10-Q
Item: Part I, Item 1
Chunk 26
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 $1,281 million, respectively, and is comprised mainly of the Company's investment in Abu Dhabi National Oil Company Drilling, and is recorded primarily in "All other current assets" in the condensed consolidated statements of financial position. The Company measured its investments at fair value based on quoted prices in active markets. Net gains (losses) related to the Company's equity securities with readily determinable fair values are reported in "Other (income) expense, net" in the condensed consolidated statements of income (loss). See "Note 17. Other (Income) Expense, Net" for further information.FAIR VALUE DISCLOSURE OF FINANCIAL INSTRUMENTSThe Company's financial instruments include cash and cash equivalents, receivables, certain investments, accounts payable, short and long-term debt, and derivative financial instruments. Except for long-term debt, the estimated fair value of these financial instruments as of June 30, 2025 and December 31, 2024 approximates their carrying value as reflected in the condensed consolidated financial statements. For further information on the fair value of the Company's debt, see "Note 8. Debt."

Baker Hughes Company 2025 Second Quarter Form 10-Q | 15

Baker Hughes CompanyNotes to Unaudited Condensed Consolidated Financial Statements

DERIVATIVES AND HEDGINGThe Company uses derivatives to manage its risks and does not use derivatives for speculation. The table below summarizes the fair value of all derivatives, including hedging instruments and embedded derivatives. June 30, 2025December 31, 2024AssetsLiabilitiesAssetsLiabilitiesDerivatives accounted for as hedgesCurrency exchange contracts$2 $— $2 $(2)Interest rate swap contracts— (32)— (45)Derivatives not accounted for as hedgesCurrency exchange contracts and other15 (12)9 (17)Total derivatives$17 $(44)$11 $(64)Derivatives are classified in the condensed consolidated statements of financial position depending on their respective maturity date. As of June 30, 2025 and December 31, 2024, $16 million and $9 million of derivative assets are recorded in "All other current assets" and $1 million and $3 million are recorded in "All other assets" in the condensed consolidated statements of financial position, respectively. As of June 30, 2025 and December 31, 2024, $12 million and $16 million