Goodwill and Other Intangible Assets

6 Months Ended

Jun. 30, 2024

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

Note 12—Goodwill and Other Intangible Assets

The changes in the carrying amount of goodwill by segment were as follows:

	Harsh				Interconnect
	Environment		Communications		and Sensor
	Solutions		Solutions		Systems		Total
Goodwill at December 31, 2023	$	2,009.3	$	2,977.5	$	2,105.6	$	7,092.4
Acquisition-related		1,174.2		4.1		49.6		1,227.9
Foreign currency translation		(12.5)		(13.7)		(32.3)		(58.5)
Goodwill at June 30, 2024	$	3,171.0	$	2,967.9	$	2,122.9	$	8,261.8

The increase in goodwill during the first six months of 2024 was primarily driven by goodwill recognized from the 2024 Acquisitions, in particular, the CIT acquisition, which was partially offset by foreign currency translation.

Other than goodwill noted above, the Company’s intangible assets as of June 30, 2024 and December 31, 2023 were as follows:

	June 30, 2024							December 31, 2023
	Weighted	Gross				Net		Gross				Net
	Average	Carrying		Accumulated		Carrying		Carrying		Accumulated		Carrying
	Life (years)	Amount		Amortization		Amount		Amount		Amortization		Amount
Customer relationships	12	$	1,289.3	$	479.3	$	810.0	$	782.6	$	450.6	$	332.0
Proprietary technology	13		350.7		158.4		192.3		365.1		146.1		219.0
Backlog and other	1		153.2		115.9		37.3		114.1		99.4		14.7
Total intangible assets (definite-lived)	11		1,793.2		753.6		1,039.6		1,261.8		696.1		565.7
Trade names (indefinite-lived)			269.1				269.1		269.1				269.1
		$	2,062.3	$	753.6	$	1,308.7	$	1,530.9	$	696.1	$	834.8

The increase in the gross carrying amount of intangible assets in the first six months of 2024 was primarily driven by certain customer relationships and acquired backlog recognized as a result of the acquisition accounting associated with the 2024 Acquisitions, in particular, the CIT acquisition, partially offset by measurement period adjustments related to certain intangible assets associated with acquisitions that closed late in 2023. Amortization expense for the three months ended June 30, 2024 and 2023 was approximately $40.4 and $18.1, respectively. Amortization expense for the six months ended June 30, 2024 and 2023 was approximately $60.8 and $41.2, respectively. Amortization expense for the three and six months ended June 30, 2024 includes $16.6 related to the amortization of acquired backlog resulting from the CIT acquisition. Amortization expense for the six months ended June 30, 2023 included $5.4 related to the amortization of acquired backlog resulting from an acquisition that closed in the first quarter of 2023. As of June 30, 2024, amortization expense relating to the Company’s current intangible assets estimated for the remainder of 2024 is approximately $92.5 (which includes the currently expected remaining amortization of acquired backlog resulting from the CIT acquisition) and for each of the next five fiscal years is approximately $103.0 in 2025, $101.4 in 2026, $94.7 in 2027, $87.3 in 2028 and $76.7 in 2029.