Goodwill and Intangible Assets (Tables)

3 Months Ended

Apr. 03, 2020

The following table summarizes changes in goodwill during the three months ended April 3, 2020 (in thousands):

Balance at beginning of the period	$	274,710
Net working capital adjustments from a prior-year acquisition		223
Effect of foreign exchange rate changes		(6,214	)
Balance at end of the period	$	268,719

Goodwill by reportable segment as of April 3, 2020 was as follows (in thousands):

	Reportable Segment
	Photonics			Vision			Precision Motion			Total
Goodwill	$	210,107		$	158,347		$	51,494		$	419,948
Accumulated impairment of goodwill		(102,461	)		(31,722	)		(17,046	)		(151,229	)
Total	$	107,646		$	126,625		$	34,448		$	268,719

Goodwill by reportable segment as of December 31, 2019 was as follows (in thousands):

	Reportable Segment
	Photonics			Vision			Precision Motion			Total
Goodwill	$	213,413		$	160,086		$	52,440		$	425,939
Accumulated impairment of goodwill		(102,461	)		(31,722	)		(17,046	)		(151,229	)
Total	$	110,952		$	128,364		$	35,394		$	274,710

Intangible assets as of April 3, 2020 and December 31, 2019, respectively, are summarized as follows (in thousands):

	April 3, 2020							December 31, 2019
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Amortizable intangible assets:
Patents and developed technologies	$	156,336	$	(99,090	)	$	57,246	$	159,217	$	(97,523	)	$	61,694
Customer relationships		158,219		(80,352	)		77,867		161,807		(78,206	)		83,601
Customer backlog		2,206		(2,206	)		—		2,316		(2,316	)		—
Trademarks and trade names		17,490		(10,132	)		7,358		17,871		(10,018	)		7,853
Amortizable intangible assets		334,251		(191,780	)		142,471		341,211		(188,063	)		153,148
Non-amortizable intangible assets:
Trade names		13,027		—			13,027		13,027		—			13,027
Totals	$	347,278	$	(191,780	)	$	155,498	$	354,238	$	(188,063	)	$	166,175

Amortization expense was as follows (in thousands):

	Three Months Ended
	April 3,		March 29,
	2020		2019
Amortization expense – cost of revenue	$	2,734	$	2,311
Amortization expense – operating expenses		3,445		3,998
Total amortization expense	$	6,179	$	6,309

Estimated amortization expense for each of the five succeeding years and thereafter as of April 3, 2020 was as follows (in thousands):