Goodwill and Intangible Assets

6 Months Ended

Sep. 30, 2024

Goodwill and Intangible Assets

Goodwill and Intangible Assets

Note 14: Goodwill and Intangible Assets

During the first quarter of fiscal 2025, the Company recorded a measurement period adjustment to reduce the fair value of the acquired Scott Springfield Manufacturing trade name by $9.6 million. This purchase accounting adjustment resulted in a $7.4 million increase in goodwill. See Note 2 for additional information.

As a result of the segment realignment during the first quarter of fiscal 2025, the Company’s goodwill now resides entirely within the Climate Solutions segment. The following table presents a roll forward of the carrying value of goodwill from March 31, 2024 to September 30, 2024.

	Climate Solutions
Goodwill, March 31, 2024	$	230.9
Acquisition adjustment		7.4
Effect of exchange rate changes		2.4
Goodwill, September 30, 2024	$	240.7

Intangible assets consisted of the following:

	September 30, 2024						March 31, 2024
	Gross				Net		Gross				Net
	Carrying		Accumulated		Intangible		Carrying		Accumulated		Intangible
	Value		Amortization		Assets		Value		Amortization		Assets
Customer relationships	$	151.5	$	(37.8)	$	113.7	$	150.5	$	(26.3)	$	124.2
Trade names		53.6		(19.9)		33.7		62.8		(18.5)		44.3
Acquired technology		32.8		(14.4)		18.4		32.5		(12.7)		19.8
Total intangible assets	$	237.9	$	(72.1)	$	165.8	$	245.8	$	(57.5)	$	188.3

The Company recorded amortization expense of $6.9 million and $2.0 million for the three months ended September 30, 2024 and 2023, respectively. The Company recorded amortization expense of $13.8 million and $4.0 million for the six months ended September 30, 2024 and 2023, respectively. The Company estimates that it will record approximately $14.0 million of amortization expense during the remainder of fiscal 2025. The Company estimates that it will record approximately $18.0 million, $16.0 million, $16.0 million, and $15.0 million of annual amortization expense in fiscal 2026 through 2029, respectively.