Company: BLCO
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0001860742-25-000004
Chunk: 347

Company: Bausch & Lomb Corp
Filing Date: 2025-02-19
Form: 10-K
Item: Item 1A
Chunk 347
---
 for variable consideration, which may be in the form of cash discounts, allowances, returns, rebates, chargebacks and distribution fees paid to customers. Provisions for variable consideration are established to reflect the Company’s best estimates of the amount of consideration to which it is entitled based on the terms of the contract. The amount of variable consideration included in the transaction price may be constrained, and is included in the net sales price only to the extent that it is probable that a significant reversal in the amount of the cumulative revenue recognized will not occur in the future period.Provisions for these deductions are recorded concurrently with the recognition of gross product sales revenue and include cash discounts and allowances, chargebacks and distribution fees, which are paid to direct customers, as well as rebates and returns, which can be paid to direct and indirect customers. Returns provision balances and volume discounts to direct customers are included in Accrued and other current liabilities. All other provisions related to direct customers are included in Trade receivables, net, while provision balances related to indirect customers are included in Accrued and other current liabilities.The following tables present the activity and ending balances of the Company’s variable consideration provisions for years 2024 and 2023: (in millions)DiscountsandAllowancesReturnsRebatesChargebacksDistributionFeesTotalReserve balance, January 1, 2023$146 $59 $188 $73 $18 $484 Current period provision368 84 729 559 28 1,768 Payments and credits(373)(77)(691)(565)(28)(1,734)Reserve balance, December 31, 2023141 66 226 67 18 518 Current period provision420 98 1,487 631 82 2,718 Payments and credits(441)(76)(1,216)(624)(74)(2,431)Reserve balance, December 31, 2024$120 $88 $497 $74 $26 $805 Included in Rebates in the table above are cooperative advertising credits due to customers of approximately $32 million and $35 million as of December 31, 2024 and 2023, respectively, which are reflected as a reduction of Trade accounts receivable, net in the Consolidated Balance Sheets. For the years ended December 31, 2024 and 2023, included in Payments and credits in the table above, are payments made, or to