Accounting Standards to be Adopted in Future PeriodsIncome Taxes. In December 2023, the FASB issued ASU No.
2023-09 (“ASU 2023-09”), Improvements to Income Tax
Disclosures. The guidance is intended to improve income tax
disclosure requirements by requiring (i) consistent categories
and greater disaggregation of information in the rate
reconciliation and (ii) the disaggregation of income taxes paid by
jurisdiction. The guidance makes several other changes to the
income tax disclosure requirements. The amendments in ASU
2023-09 are effective for fiscal years beginning after December
15, 2024, with early adoption permitted, and are required to be
applied prospectively with the option of retrospective application.
We are evaluating the impact of the standard on our income tax
disclosures.
Expenses. In November 2024, the FASB issued ASU No. 2024-03
(“ASU 2024-03”), Disaggregation of Income Statement Expenses.
The guidance primarily will require enhanced disclosures about
certain types of expenses. The amendments in ASU 2024-03 are
effective for fiscal years beginning after December 15, 2026, and
interim periods within fiscal years beginning after December 15,
2027 and may be applied either on a prospective or retrospective
basis. We are evaluating the impact of the standard on our
disclosures.
Credit Losses. In July 2025, the FASB issued ASU No. 2025-05
(“ASU 2025-05”), Financial Instruments–Credit Losses. The
guidance provides an optional practical expedient when applying
the guidance related to the estimation of expected credit losses
for current accounts receivable and current contract assets
resulting from transactions arising from contracts with
customers. The amendments in ASU 2025-05 are effective for
fiscal years beginning after December 15, 2025, and interim
reporting periods, with early adoption permitted. We are
evaluating the impact of the standard on our financial
statements.
Internal-Use Software. In September 2025, the FASB issued ASU
No. 2025-06 (“ASU 2025-06”), Intangibles–Goodwill and Other–
Internal-Use Software. The guidance modernizes and clarifies the
threshold for when an entity is required to start capitalizing
software costs and is based on when (i) management has
authorized and committed to funding the software project and (ii)
it is probable that the project will be completed and the software
will be used to perform the function intended. The amendments
in ASU 2025-06 are effective for fiscal years beginning after
December 15, 2027, and interim reporting periods, with early
adoption permitted. We are evaluating the impact of the standard
on our financial statements.
Derivatives and Hedging and Revenue from Contracts with
Customers. In September 2025, the FASB issued ASU No.
2025-07 (“ASU 2025-07”), Derivatives and Hedging (Topic 815)
and Revenue from Contracts with Customers (Topic 606). The
guidance refines the scope of Topic 815 to clarify which
contracts are subject to derivative accounting. The guidance also
provides clarification under Topic 606 for share-based payments
from a customer in a revenue contract. The amendments in ASU
2025-07 are effective for fiscal years beginning after December
15, 2026, and interim reporting periods, with early adoption
permitted. We are evaluating the impact of the standard on our
financial statements.
Adopted Accounting Standards
Segment Reporting. In November 2023, the Financial Accounting
Standards Board (“FASB”) issued ASU No. 2023-07 (“ASU
2023-07”), Improvements to Reportable Segment Disclosures.
The guidance primarily requires enhanced disclosures about
significant segment expenses. We adopted the guidance
beginning with our year ended November 30, 2025, which
impacted our disclosures only.