0001709048-23-000047 | 6-K | XBRL Viewer

FAIR VALUE MEASUREMENTS (Tables)

6 Months Ended

Jun. 30, 2023

Fair value measurements of assets and liabilities [Abstract]

The carrying amounts and fair values of the Company’s financial instruments not recorded at fair value on a recurring basis are presented in the following table:


(in millions)	June 30, 2023				December 31, 2022
Financial Liabilities	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Other long-term debt	2,429		2,307		2,511		2,414
Total	$	2,429	$	2,307	$	2,511	$	2,414

RESTRUCTURING (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
RESTRUCTURING (Details) - USD ($) $ in Millions	Jun. 30, 2023	Jun. 30, 2023
Restructuring [Roll Forward]
Provision	$ 19	$ 24

INVENTORIES (Tables)

6 Months Ended

Jun. 30, 2023

Inventories [Abstract]

Schedule of inventories

The Company records inventories at the lower of cost or net realizable value for finished goods, work-in-progress, raw materials, and supplies. The Company makes inventory write-downs on an item-by-item basis, except where it may be appropriate to group similar or related items.


(in millions)	June 30, 2023		December 31, 2022
Work in progress	$	1,005	$	1,025
Raw materials and supplies	499		314

Total	$	1,504	$	1,339

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies, Changes In Accounting Estimates And Errors [Abstract]
Recent Accounting Pronouncements, Adopted	Recent Accounting Pronouncements, Adopted: Amendments to IFRS 9, IAS 39, IFRS 7 and IFRS 16 Interest Rate Benchmark Reform (“IBOR reform”) As of June 30, 2023, the Company has completed the transition of the affected rates on borrowings from USD London Interbank Offered Rate ("LIBOR") to Term Secured Overnight Financing Rate ("SOFR") and assessed the changes to be economically equivalent in accordance with IFRS 9. Any future impact has been deemed to be immaterial to the Company.

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2023
Accounting Policies, Changes In Accounting Estimates And Errors [Abstract]
Basis of Presentation and Summary of Significant Accounting Policies	Basis of Presentation and Summary of Significant Accounting Policies Statement of Compliance — The accompanying interim condensed consolidated financial statements have been prepared by management of the Company in accordance with the rules and regulations of the International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). The interim condensed consolidated financial statements do not include all the information and disclosures required in the annual consolidated financial statements prepared in accordance with IFRS as issued by the IASB and should be read in conjunction with the Company’s annual consolidated financial statements, included in GLOBALFOUNDRIES' Annual Report on Form 20-F for the year ended December 31, 2022. The interim condensed consolidated financial statements were authorized by the Audit, Risk and Compliance Committee of GLOBALFOUNDRIES’ Board of Directors on August 08, 2023, to be issued and subsequent events have been evaluated for their potential effect on the interim condensed consolidated financial statements through August 09, 2022. Significant Accounting Judgments, Estimates and Assumptions — The preparation of financial statements in accordance with International Accounting Standards (“IAS”) 34, Interim Financial Reporting, requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company’s accounting policies. In the opinion of management, all adjustments, consisting solely of normal recurring adjustments necessary for a fair presentation of the financial information for the periods indicated, have been included. The results for the three and six months ended June 30, 2023 are not necessarily indicative of the results that may be expected for the year ending December 31, 2023. Significant Accounting Policies — Except as set forth below, the accounting policies (including accounting judgements, estimates and assumptions) adopted in the preparation of the interim condensed consolidated financial statements are consistent with those followed in the preparation of the Company's annual audited consolidated financial statements contained in our Annual Report on Form 20-F for the year ended December 31, 2022. Property, Plant and Equipment — We periodically assess the estimated useful lives of property, plant and equipment. As a result of a review completed in April 2023, the Company concluded the estimated maximum useful life of certain buildings should be increased from 26 years to 50 years. This change in estimate was applied prospectively, effective beginning in the first quarter of 2023. The impact of the change in estimated useful lives of certain buildings resulted in an increase to net income before income taxes by $22 million and $23 million for the three and six months ended June 30, 2023. Recent Accounting Pronouncements, Adopted: Amendments to IFRS 9, IAS 39, IFRS 7 and IFRS 16 Interest Rate Benchmark Reform (“IBOR reform”) As of June 30, 2023, the Company has completed the transition of the affected rates on borrowings from USD London Interbank Offered Rate ("LIBOR") to Term Secured Overnight Financing Rate ("SOFR") and assessed the changes to be economically equivalent in accordance with IFRS 9. Any future impact has been deemed to be immaterial to the Company.

COMMITMENTS AND CONTINGENCIES - Unconditional Purchase Commitments (Details) - USD ($) $ in Millions	Jun. 30, 2023	Dec. 31, 2022
Other Provisions, Contingent Liabilities, and Contingent Assets [Abstract]
Contracts for operating expenditures	$ 3,238	$ 3,587
Contractual capital and operating commitments	5,111	6,361
Due within the next 12 months	$ 1,648	$ 2,732

RESTRUCTURING (Tables)

6 Months Ended

Jun. 30, 2023

Restructuring [Abstract]

Disclosure of summary of restructuring

The changes to the restructuring provisions recorded on the consolidated statements of financial position as of June 30, 2023, are summarized as follows:


(in millions)	2023
Beginning balance as of December 31, 2022	$	86
Provision	24

Amounts paid	(80)

Ending balance as of June 30, 2023	$	30

Label

Element

Value

Current Unbilled Receivables

gfs_CurrentUnbilledReceivables

$ 34,000,000

Current Unbilled Receivables

gfs_CurrentUnbilledReceivables

24,000,000

Current Unbilled Receivables

gfs_CurrentUnbilledReceivables

43,000,000

Proceeds From Sale Of Business, Classified As Investing Activities

gfs_ProceedsFromSaleOfBusinessClassifiedAsInvestingActivities

238,000,000

Proceeds From Sale Of Business, Classified As Investing Activities

gfs_ProceedsFromSaleOfBusinessClassifiedAsInvestingActivities

Other Purchases Of Goods, Related Party Transactions

gfs_OtherPurchasesOfGoodsRelatedPartyTransactions

10,000,000

Other Purchases Of Goods, Related Party Transactions

gfs_OtherPurchasesOfGoodsRelatedPartyTransactions

12,000,000

Other Purchases Of Goods, Related Party Transactions

gfs_OtherPurchasesOfGoodsRelatedPartyTransactions

23,000,000

Other Purchases Of Goods, Related Party Transactions

gfs_OtherPurchasesOfGoodsRelatedPartyTransactions

22,000,000

Adjustments For Amortization Of Deferred Income From Government Grants

gfs_AdjustmentsForAmortizationOfDeferredIncomeFromGovernmentGrants

14,000,000

Adjustments For Amortization Of Deferred Income From Government Grants

gfs_AdjustmentsForAmortizationOfDeferredIncomeFromGovernmentGrants

15,000,000

Non-Current Prepayments And Other Current Assets

gfs_NonCurrentPrepaymentsAndOtherCurrentAssets

248,000,000

Non-Current Prepayments And Other Current Assets

gfs_NonCurrentPrepaymentsAndOtherCurrentAssets

281,000,000

Current Unbilled Receivables, Amounts Invoiced

gfs_CurrentUnbilledReceivablesAmountsInvoiced

38,000,000

Current Unbilled Receivables, Amounts Invoiced

gfs_CurrentUnbilledReceivablesAmountsInvoiced

106,000,000

Amounts Payable For Property, Plant And Equipment

gfs_AmountsPayableForPropertyPlantAndEquipment

377,000,000

Amounts Payable For Property, Plant And Equipment

gfs_AmountsPayableForPropertyPlantAndEquipment

532,000,000

Amounts Payable For Intangible Assets

gfs_AmountsPayableForIntangibleAssets

57,000,000

Amounts Payable For Intangible Assets

gfs_AmountsPayableForIntangibleAssets

106,000,000

Marketable Securities, Non-current

gfs_MarketableSecuritiesNonCurrent

516,000,000

Marketable Securities, Non-current

gfs_MarketableSecuritiesNonCurrent

372,000,000

Proceeds from issuance of equity instruments