Equity (Tables)

3 Months Ended

Mar. 31, 2024

Stockholders' Equity Note [Abstract]

Summary of share-based compensation expense

Stock-based compensation expense is principally related to awards issued pursuant to the AbbVie 2013 Incentive Stock Program and the AbbVie Amended and Restated 2013 Incentive Stock Program and is summarized as follows:


	Three months ended March 31,
(in millions)		2024		2023
Cost of products sold		$	22	$	20
Research and development		133		117
Selling, general and administrative		193		176
Pre-tax compensation expense		348		313
Tax benefit		60		55
After-tax compensation expense		$	288	$	258

Summary of quarterly cash dividends

The following table summarizes quarterly cash dividends declared during 2024 and 2023:


2024				2023
Date Declared	Payment Date	Dividend Per Share		Date Declared	Payment Date	Dividend Per Share
02/15/24	05/15/24	$	1.55	10/26/23	02/15/24	$	1.55
				09/08/23	11/15/23	$	1.48
				06/22/23	08/15/23	$	1.48
				02/16/23	05/15/23	$	1.48

Summary of changes in balances of each component of accumulated other comprehensive loss

The following table summarizes the changes in each component of accumulated other comprehensive loss, net of tax, for the three months ended March 31, 2024:


(in millions)	Foreign currency translation adjustments		Net investment hedging activities		Pension and post-employment benefits		Cash flow hedging activities		Total
Balance as of December 31, 2023	$	(1,106)	$	65	$	(1,488)	$	224	$	(2,305)
Other comprehensive income (loss) before reclassifications	(396)		228		3		44		(121)
Net losses (gains) reclassified from accumulated other comprehensive loss	—		(21)		7		(14)		(28)
Net current-period other comprehensive income (loss)	(396)		207		10		30		(149)
Balance as of March 31, 2024	$	(1,502)	$	272	$	(1,478)	$	254	$	(2,454)

The following table summarizes the changes in each component of accumulated other comprehensive loss, net of tax, for the three months ended March 31, 2023:


(in millions)	Foreign currency translation adjustments		Net investment hedging activities		Pension and post-employment benefits		Cash flow hedging activities		Total
Balance as of December 31, 2022	$	(1,513)	$	464	$	(1,458)	$	308	$	(2,199)
Other comprehensive income (loss) before reclassifications	194		(202)		40		(10)		22
Net gains reclassified from accumulated other comprehensive loss	—		(22)		(2)		(31)		(55)
Net current-period other comprehensive income (loss)	194		(224)		38		(41)		(33)
Balance as of March 31, 2023	$	(1,319)	$	240	$	(1,420)	$	267	$	(2,232)

Schedule of the significant amounts reclassified out of each component of accumulated other comprehensive loss

The following table presents the impact on AbbVie’s condensed consolidated statements of earnings for significant amounts reclassified out of each component of accumulated other comprehensive loss:


	Three months ended March 31,
(in millions) (brackets denote gains)		2024		2023
Net investment hedging activities
Gains on derivative amount excluded from effectiveness testing(a)		$	(27)	$	(28)
Tax expense		6		6
Total reclassifications, net of tax		$	(21)	$	(22)
Pension and post-employment benefits
Amortization of actuarial losses (gains) and other(b)		$	8	$	(2)
Tax benefit		(1)		—
Total reclassifications, net of tax		$	7	$	(2)
Cash flow hedging activities
Gains on foreign currency forward exchange contracts(c)		$	(12)	$	(30)
Gains on treasury rate lock agreements(a)		(6)		(6)

Tax expense		4		5
Total reclassifications, net of tax		$	(14)	$	(31)

(a) Amounts are included in interest expense, net (see Note 8).

(b) Amounts are included in the computation of net periodic benefit cost (see Note 9).