Stock-based Compensation Expense and Share Repurchase Programs

3 Months Ended

Mar. 31, 2022

Share-based Payment Arrangement [Abstract]

Stock-based Compensation Expense and Share Repurchase Programs

Stock-based compensation expense

During the three months ended March 31, 2022 and 2021, we recognized the following stock-based compensation expense:


	Three Months Ended March 31,
		2022		2021
		(in millions)
Stock-based compensation expense by type of award:
Restricted stock units (including PSUs)		$	118.2	$	100.8
Stock options		5.5		10.6
ESPP share issuances		6.8		5.6
Stock-based compensation expense related to inventories		(0.2)		(1.8)
Total stock-based compensation expense included in costs and expenses		$	130.3	$	115.2

Stock-based compensation expense by line item:
Cost of sales		$	2.2	$	1.4
Research and development expenses		80.4		72.8
Selling, general and administrative expenses		47.7		41.0
Total stock-based compensation expense included in costs and expenses		130.3		115.2
Income tax effect		(36.0)		(31.3)
Total stock-based compensation expense, net of tax		$	94.3	$	83.9

Share repurchase programs

In November 2020, our Board of Directors approved a share repurchase program (the “2020 Share Repurchase Program”), pursuant to which we repurchased $500.0 million of our common stock in 2020 and the first quarter of 2021. During the three months ended March 31, 2021, we repurchased 2.0 million shares of our common stock under the 2020 Share Repurchase Program for an aggregate of $424.9 million.

In June 2021, our Board of Directors approved a share repurchase program (the “2021 Share Repurchase Program”), pursuant to which we are authorized to repurchase up to $1.5 billion of our common stock by December 31, 2022. During the three months ended March 31, 2022, we did not repurchase any shares of our common stock under the 2021 Share Repurchase Program. As of March 31, 2022, a total of $499.7 million remained authorized for repurchases of common stock under the 2021 Share Repurchase Program.