Goodwill and Intangible Assets, Net

6 Months Ended

Jun. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets, Net

Goodwill and Intangible Assets, Net

The Company tests goodwill at least annually for possible impairment. The Company completes the annual testing of impairment for goodwill on the later of January 1 or the first day of each fiscal year. In addition to its annual test, the Company regularly evaluates whether events or circumstances have occurred that may indicate a potential impairment of goodwill.

The process of testing goodwill for impairment involves the determination of the fair value of the applicable reporting units. The test consists of the comparison of the fair value to the carrying value of the reporting unit to determine if the carrying value exceeds the fair value. If the carrying value of the reporting unit exceeds its fair value, an impairment loss in an amount equal to that excess is recognized up to the amount of goodwill. The Company performed its annual impairment testing for its reporting units as of January 1, 2024, its annual impairment testing date for fiscal year 2024. There were no impairments measured in the periods presented. While the Company believes that its estimates of current value are reasonable, if actual results differ from the estimates and judgments used, including such items as future cash flows and the volatility inherent in markets which the Company serves, impairment charges against the carrying value of those assets could be required in the future.

The changes in the carrying amount of goodwill for the six months ended June 30, 2024 were as follows:

	Life Sciences		Diagnostics		Consolidated
	(In thousands)
Balance at December 31, 2023	$	4,587,938	$	1,945,612	$	6,533,550
Foreign currency translation	(25,686)		(10,893)		(36,579)
Balance at June 30, 2024	$	4,562,252	$	1,934,719	$	6,496,971

Identifiable intangible asset balances by category were as follows:

	June 30, 2024		December 31, 2023
	(In thousands)
Patents	$	27,808	$	27,811
Less: Accumulated amortization	(26,181)		(26,072)
Net patents	1,627		1,739
Trade names and trademarks	143,930		145,542
Less: Accumulated amortization	(82,645)		(73,781)
Net trade names and trademarks	61,285		71,761
Licenses	26,866		27,018
Less: Accumulated amortization	(17,077)		(16,551)
Net licenses	9,789		10,467
Core technology	1,572,822		1,582,458
Less: Accumulated amortization	(673,335)		(607,814)
Net core technology	899,487		974,644
Customer relationships	2,820,177		2,842,531
Less: Accumulated amortization	(966,878)		(878,821)
Net customer relationships	1,853,299		1,963,710
Total	$	2,825,487	$	3,022,321

Total amortization expense related to amortizable intangible assets was $90.6 million and $181.9 million for the three and six months ended June 30, 2024, respectively, and $92.8 million and $184.6 million for the three and six months ended July 2, 2023, respectively. Estimated amortization expense related to amortizable intangible assets is $177.5 million for the remainder of fiscal year 2024, $332.9 million for fiscal year 2025, $326.8 million for fiscal year 2026, $299.8 million for fiscal year 2027, and $274.3 million for fiscal year 2028