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Goodwill and Intangible Assets (Tables)
9 Months Ended
Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Components of Goodwill by Business Segment

The Company performs its annual goodwill impairment assessment on April 1st of each year. In accordance with ASC 350, Intangibles-Goodwill and Other, the Company initially assesses qualitative factors to determine whether the existence of events or circumstances indicates that it is more likely than not that the fair value of a reporting unit is less than its carrying value. If the Company determines, based on this assessment, that it is more likely than not that the fair value of the reporting unit is less than its carrying value, it performs a quantitative goodwill impairment test by comparing the reporting unit’s fair value with its carrying value. An impairment loss is recognized for the amount by which the reporting unit’s carrying value exceeds its fair value, up to the total amount of goodwill allocated to the reporting unit. No impairment loss is recognized if the fair value of the reporting exceeds its carrying value.

During the quarter ended June 30, 2020, the Company completed the annual goodwill impairment test for its six reporting units, including Automation Solutions, Contamination Control Solutions and Global Semiconductor Services within the Brooks Semiconductor Solutions Group segment, as well as Sample Repository Solutions, Life Sciences Products and GENEWIZ within the Brooks Life Sciences segment. Based on the test results, the Company determined that no adjustment to goodwill was necessary. The Company conducted a qualitative assessment for the three reporting units within the Brooks Semiconductor Solutions Group segment and determined that it was more likely than not that their fair values were greater than their carrying values. As a result of the analysis, the Company did not perform the quantitative assessment for these reporting units, and therefore, did not recognize any impairment losses. The Company performed the quantitative goodwill impairment test for the three reporting units within the Brooks Life Sciences segment and determined that no adjustment to goodwill was necessary since the estimated fair values exceed their book values.

The changes in the Company’s goodwill by reportable segment at June 30, 2020 and September 30, 2019 are as follows (in thousands):

    

Brooks

    

    

    

Semiconductor

Solutions

Brooks

Group

Life Sciences

Other

Total

Gross goodwill, at September 30, 2019

$

636,791

$

440,755

$

26,014

$

1,103,560

Accumulated goodwill impairments

 

(588,944)

 

 

(26,014)

 

(614,958)

Goodwill, net of accumulated impairments, at September 30, 2019

 

47,847

 

440,755

 

 

488,602

Acquisitions and adjustments

 

316

 

11,144

 

 

11,460

Gross goodwill, at June 30, 2020

637,107

451,899

26,014

1,115,020

Accumulated goodwill impairments

 

(588,944)

 

 

(26,014)

 

(614,958)

Goodwill, net of accumulated impairments, at June 30, 2020

$

48,163

$

451,899

$

$

500,062

Components of Identifiable Intangible Assets

The components of the Company’s identifiable intangible assets as of June 30, 2020 and September 30, 2019 are as follows (in thousands):

June 30, 2020

September 30, 2019

Accumulated

Net Book

Accumulated

Net Book

    

Cost

    

Amortization

    

Value

    

Cost

    

Amortization

    

Value

Patents

$

8,251

$

5,013

$

3,238

$

5,302

$

4,628

$

674

Completed technology

 

88,736

 

46,504

 

42,232

 

88,288

 

38,778

 

49,510

Trademarks and trade names

 

25,604

 

8,425

 

17,179

 

25,340

 

5,807

 

19,533

Customer relationships

 

268,913

 

104,942

 

163,971

 

265,450

 

84,047

 

181,403

Other intangibles

236

233

3

231

183

48

$

391,740

$

165,117

$

226,623

$

384,611

$

133,443

$

251,168

Schedule of Future Amortization Expense

Estimated future amortization expense for the intangible assets for the remainder of fiscal year 2020, the subsequent four fiscal years and thereafter is as follows (in thousands):

Fiscal year ended September 30, 

    

  

2020

$

10,454

2021

 

38,714

2022

 

35,459

2023

 

32,170

2024

 

27,211

Thereafter

 

82,615

$

226,623