Summary
Agilent Technologies, Inc. (A) filed this Form 8-K primarily to report the retrospective adoption of Accounting Standards Update (ASU) No. 2017-07, effective November 1, 2018. This accounting change impacts the presentation of net periodic pension and postretirement benefit costs, requiring only the service cost component to be included in operating expenses. The other components of these costs will be presented outside of operating income. While this change alters the presentation of financial statements, particularly operating income, Agilent explicitly states it has no impact on net income. The company is furnishing this report to provide restated historical financial statements, including condensed consolidated statements of operations and selected segment information for various periods in fiscal years 2017 and 2018. Investors should note that this information is furnished and not deemed "filed" under SEC regulations, meaning it does not carry the same legal implications as a standard filing.
Key Highlights
- 1Adoption of ASU 2017-07 impacting presentation of pension and postretirement benefit costs.
- 2Service cost component of benefit costs now included in operating expenses.
- 3Other components of benefit costs (interest, asset return, etc.) will be presented outside operating income.
- 4The accounting change has no impact on Agilent's net income.
- 5Company is providing restated historical financial statements for 2017 and 2018 fiscal periods.
- 6Information is furnished, not filed, and does not carry the same legal liabilities as a standard filing.
- 7Includes condensed consolidated statements of operations and selected segment information for various periods.