Company: DHR
Filing Date: 2025-10-21
Form Type: 10-Q
Source: 0000313616-25-000182
Chunk: 126

Company: DANAHER CORP /DE/
Filing Date: 2025-10-21
Form: 10-Q
Item: Item 8
Chunk 126
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, net of incremental year-over-year cost savings associated with continuing productivity improvement initiatives and cost structure improvements.  Refer to Note 8 to the accompanying Consolidated Condensed Financial Statements for additional information regarding the impairment charges. 

R&D expenses (consisting principally of internal and contract engineering personnel costs) as a percentage of sales decreased during the three-month period ended September 26, 2025 and remained essentially flat during the nine-month period ended September 26, 2025 as compared to the comparable periods of 2024.  The decrease in the three-month period was primarily a result of the timing of spending on new product research and the impact of higher year-over-year sales.  In the nine-month period, increased R&D spending correlated to the increase in sales. 

OTHER INCOME (EXPENSE), NET 

For a description of the Company’s other income (expense), net during the three and nine-month periods ended September 26, 2025 and September 27, 2024, refer to Note 7 to the accompanying Consolidated Condensed Financial Statements. 

INTEREST COSTS AND FINANCING 

For a discussion of the Company’s outstanding indebtedness, refer to Note 10 to the accompanying Consolidated Condensed Financial Statements.  

Interest expense of $67 million and $210 million for the three and nine-month periods ended September 26, 2025, respectively, was $20 million lower and $7 million lower than the comparable periods of 2024, due primarily to a lower average interest rate on the Company’s commercial paper borrowings versus the comparable periods of 2024, partially offset by the impact of currency exchange rates.

Interest income of $3 million and $17 million for the three and nine-month periods ended September 26, 2025, respectively, was $1 million lower and $86 million lower than the comparable periods of 2024, due primarily to lower average cash balances in 2025 as a result of share repurchases.

INCOME TAXES

The following table summarizes the Company’s effective tax rate: 

Three-Month Period EndedNine-Month Period EndedSeptember 26, 2025September 27, 2024September 26, 2025September 27, 2024Effective tax rate15.6 %16.3 %15.5 %15.6 %

The Company operates globally, including in certain jurisdictions with lower tax rates than the U.S. federal statutory rate.  Therefore, the impact of Danaher’s