Goodwill and Intangible Assets

12 Months Ended

Feb. 28, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

3. Goodwill and Intangible Assets

Goodwill and indefinite-lived intangible assets are not amortized but are subject to annual impairment tests. Other intangible assets are amortized on a straight-line basis over the estimated useful lives.

Changes in goodwill by segment for fiscal years 2025 and 2024 were as follows (in thousands):


	As of February 28, 2025
Segment	Beginning Balance		Acquisitions		Currency Translation Adjustment		Ending Balance
Metal Coatings	$	177,675	$	—	$	(1,605)	$	176,070
Precoat Metals	527,793		—		—		527,793
Total	$	705,468	$	—	$	(1,605)	$	703,863


	As of February 29, 2024
Segment	Beginning Balance		Acquisitions(1)		Currency Translation Adjustment		Ending Balance
Metal Coatings	$	177,696	$	—	$	(21)	$	177,675
Precoat Metals	524,816		2,977		—		527,793
Total	$	702,512	$	2,977	$	(21)	$	705,468

(1) Represents the purchase price adjustments during the measurement period for the Precoat acquisition.

Amortizable intangible assets consisted of the following as of February 28, 2025 and February 29, 2024 (in thousands):


		As of
	Weighted-Average Life (Years)	February 28, 2025		February 29, 2024

Customer related intangibles	25	$	474,234	$	475,441
Non-compete agreements	15	6,698		6,793
Trademarks / Tradenames	34	35,774		35,774

Technology	15	36,000		36,000


Gross intangible assets		552,706		554,008
Less accumulated amortization		(132,361)		(110,078)
Total amortizable intangible assets, net		$	420,345	$	443,930

In addition to its amortizable intangible assets, we have recorded indefinite-lived intangible assets of $1.5 million on the consolidated balance sheets as of February 28, 2025 and February 29, 2024, related to certain tradenames acquired as part of prior business acquisitions.

The following table outlines the classification of amortization expense in the consolidated statements of income for fiscal 2025, 2024, and 2023 (in thousands):


	Year Ended
	February 28, 2025		February 29, 2024		February 28, 2023
Cost of sales	$	—	$	—	$	7,124
Selling, general and administrative	23,111		23,960		15,489
Total amortization expense	$	23,111	$	23,960	$	22,613

The following table summarizes the estimated amortization expense for the next five fiscal years and beyond (in thousands):


Fiscal Year:	Amortization Expense
2026	$	22,460
2027	22,454
2028	21,527
2029	21,370
2030	21,370
Thereafter	311,164
Total	$	420,345