Goodwill and Other Intangible Assets

9 Months Ended

Sep. 30, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

The changes in the carrying amount of goodwill by segment for the nine months ended September 30, 2023, are as follows:


(Amounts in millions)	Commercial & Industrial Group		Snap-on Tools Group		Repair Systems & Information Group		Total
Balance as of December 31, 2022	$	302.9	$	12.4	$	730.0	$	1,045.3
Currency translation	(5.9)		—		(3.5)		(9.4)

Balance as of September 30, 2023	$	297.0	$	12.4	$	726.5	$	1,035.9

Additional disclosures related to other intangible assets are as follows:


	September 30, 2023						December 31, 2022
(Amounts in millions)	Gross Carrying Value		Accumulated Amortization		Net Carrying Value		Gross Carrying Value		Accumulated Amortization		Net Carrying Value
Amortized other intangible assets:
Customer relationships	$	211.3	$	(159.1)	$	52.2	$	212.1	$	(150.8)	$	61.3
Developed technology	35.9		(28.7)		7.2		35.8		(26.0)		9.8
Internally developed software	187.3		(145.3)		42.0		179.6		(137.2)		42.4
Patents	50.9		(26.1)		24.8		48.4		(25.6)		22.8
Trademarks	3.8		(2.4)		1.4		3.9		(2.4)		1.5
Other	7.4		(4.0)		3.4		7.7		(4.0)		3.7
Total	496.6		(365.6)		131.0		487.5		(346.0)		141.5
Non-amortized trademarks	132.0		—		132.0		134.1		—		134.1
Total other intangible assets	$	628.6	$	(365.6)	$	263.0	$	621.6	$	(346.0)	$	275.6

Snap-on completed its annual impairment testing of goodwill and other indefinite-lived intangible assets in the second quarter of 2023, the results of which did not result in any impairment. Provisions for the impairment of goodwill and/or other intangible assets could arise in a future period due to significant and unanticipated changes in circumstances, such as declines in profitability and cash flow due to long-term deterioration in macroeconomic, industry and market conditions, the loss of key customers, changes in technology or markets, changes in key personnel or litigation, a sustained decrease in share price and/or other events. As of September 30, 2023, the company had no accumulated impairment losses.

The weighted-average amortization periods related to other intangible assets are as follows:


			In Years
Customer relationships			14
Developed technology			5
Internally developed software			6
Patents			15
Trademarks			9
Other			39

The weighted-average amortization period for all amortizable intangible assets on a combined basis is 12 years. Intangible asset renewal costs are expensed as incurred.

The aggregate amortization expense was $6.8 million and $20.7 million for the respective three and nine month periods ended September 30, 2023, and $7.2 million and $21.6 million for the respective three and nine month periods ended October 1, 2022. Based on current levels of amortizable intangible assets and estimated weighted-average useful lives, estimated annual amortization expense is expected to be $27.2 million in 2023, $21.9 million in 2024, $15.8 million in 2025, $11.9 million in 2026, $10.4 million in 2027, and $9.1 million in 2028.