GOODWILL AND OTHER INTANGIBLE ASSETS (Notes)

6 Months Ended

Apr. 30, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND OTHER INTANGIBLE ASSETS

GOODWILL AND OTHER INTANGIBLE ASSETS

The following table presents goodwill balances and the movements for each of our reportable segments during the six months ended April 30, 2023:

	Life Sciences and Applied Markets		Diagnostics and Genomics		Agilent CrossLab		Total
	(in millions)
Goodwill as of October 31, 2022	$	1,743	$	1,953	$	256	$	3,952
Foreign currency translation impact	8		2		3		13
Goodwill arising from acquisitions and adjustments	—		15		—		15
Goodwill as of April 30, 2023	$	1,751	$	1,970	$	259	$	3,980

The component parts of other intangible assets as of April 30, 2023 and October 31, 2022 are shown in the table below:

 

	Other Intangible Assets
	Gross Carrying Amount		Accumulated Amortization		Net Book Value
	(in millions)
As of October 31, 2022
Purchased technology	$	1,733	$	1,068	$	665
Trademark/Tradename	196		148		48
Customer relationships	180		105		75
Backlog	8		8		—
Third-party technology and licenses	32		9		23
Total amortizable intangible assets	2,149		1,338		811
In-Process R&D	10		—		10
Total	$	2,159	$	1,338	$	821
As of April 30, 2023
Purchased technology	$	1,784	$	1,118	$	666
Trademark/Tradename	196		156		40
Customer relationships	182		122		60
Backlog	8		8		—
Third-party technology and licenses	33		11		22
Total amortizable intangible assets	2,203		1,415		788
In-Process R&D	10		—		10
Total	$	2,213	$	1,415	$	798

During the six months ended April 30, 2023, we recorded additions of $15 million to goodwill and $49 million to other intangible assets in our diagnostics and genomics and life sciences and applied markets segments related to two acquisitions. During the six months ended April 30, 2023, other intangible assets in total increased $2 million due to the impact of foreign currency translation.

In general, for U.S. federal tax purposes, goodwill from asset purchases is amortizable; however, any goodwill created as part of a stock acquisition is not deductible. 

Each quarter we review the events and circumstances to determine if impairment of indefinite-lived intangible assets and goodwill is indicated. During the three and six months ended April 30, 2023 and 2022 we did not identify any triggering events or circumstances which would indicate an impairment of goodwill or indefinite-lived intangible assets.

Amortization expense of intangible assets was $38 million and $74 million for three and six months ended April 30, 2023, respectively. Amortization expense of intangible assets was $51 million and $102 million for the three and six months ended April 30, 2022, respectively.

Future amortization expense related to existing finite-lived purchased intangible assets for the remainder of fiscal year 2023 and for each of the next five fiscal years and thereafter is estimated below:

Estimated future amortization expense:
(in millions)
Remainder of 2023	$	74
2024	$	133
2025	$	109
2026	$	80
2027	$	78
2028	$	71
Thereafter	$	243