Goodwill and Other Long-Lived Assets

12 Months Ended

May 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Note E – Goodwill and Other Long-Lived Assets

Goodwill

The following table summarizes the changes in the carrying amount of goodwill during fiscal 2024 and fiscal 2023 by reportable operating segment:


	Consumer Products		Building Products			Total Reportable Segments			Other			Total
Balance at May 31, 2022	$	241,373	$	65,408		$	306,781		$	14,655		$	321,436
Acquisitions and purchase accounting adjustments		15,947		-			15,947			-			15,947
Translation adjustments		-		(195	)		(195	)		(1,010	)		(1,205	)
Balance at May 31, 2023		257,320		65,213			322,533			13,645			336,178
Acquisitions (1)		8,327		-			8,327			-			8,327
Impairment losses (2)		-		-			-			(14,210	)		(14,210	)
Translation adjustments		-		735			735			565			1,300
Balance at May 31, 2024	$	265,647	$	65,948		$	331,595		$	-		$	331,595

(1)

For additional information regarding our acquisitions, refer to “Note Q - Acquisitions.”

(2)

Reflects impairment charges related to the deconsolidation of our Sustainable Energy Solutions business. Refer to the “Impairment of Goodwill and Long-Lived Assets” section below for additional information.

Accumulated goodwill impairment charges within Other totaled $212,500 and $198,290 as of each May 31, 2024 and May 31, 2023.

Other Intangible Assets

Intangible assets with definite lives are amortized on a straight-line basis over their estimated useful lives, which range from 10 to 20 years. The following table summarizes other intangible assets by class as of the end of the prior two fiscal years:


	2024				2023
			Accumulated				Accumulated
	Cost		Amortization		Cost		Amortization
Indefinite-lived intangible assets:
Trademarks	$	111,681	$	-	$	108,181	$	-
Total indefinite-lived intangible assets		111,681		-		108,181		-
Definite-lived intangible assets:
Customer relationships	$	169,680	$	73,257	$	169,043	$	63,336
Non-compete agreements		2,708		2,615		2,708		2,521
Technology/know-how		20,244		7,370		19,418		5,598
Other		-		-		4,809		1,853
Total definite-lived intangible assets		192,632		83,242		195,978		73,308
Total intangible assets	$	304,313	$	83,242	$	304,159	$	73,308

Amortization expense totaled $11,787, $11,877, and $10,166 in fiscal 2024, fiscal 2023 and fiscal 2022, respectively.

Amortization expense for each of the next five fiscal years is estimated to be:


2025	$	11,500
2026	$	11,373
2027	$	10,846
2028	$	10,525
2029	$	10,525

Impairment of Goodwill and Long-Lived Assets

Fiscal 2024: On May 29, 2024, we became a noncontrolling equity partner in a new unconsolidated joint venture with Hexagon by selling 51% of the nominal share capital of our former Sustainable Energy Solutions operating segment in Europe. The book value of the disposal group exceeded its estimated fair market value (determined using Level 2 inputs), which resulted in the recording of a $32,203 impairment charge. Included in the impairment charge was goodwill with a book value of $14,210, which was deemed fully impaired and written off and long-lived assets with a carrying value of $46,215 which were written down to their estimated fair market value of $28,222.

Impairment of long-lived assets in fiscal 2024 also included a non-cash charge of $772 related to certain assets associated with a capital project at our Building Products facility in Jefferson, Ohio, that were deemed to have no alternative future use and were written down to their estimated salvage value.

Fiscal 2023: Impairment of long-lived assets in fiscal 2023 included a non-cash charge of $484 related to certain assets associated with a capital project at our Building Products facility in Jefferson, Ohio, that were deemed to have no alternative future use and were written down to their estimated salvage value.

Fiscal 2022: None