Goodwill and Acquired Intangible Assets

3 Months Ended

Mar. 29, 2026

Goodwill and Intangible Assets Disclosure [Abstract]

N. GOODWILL AND ACQUIRED INTANGIBLE ASSETS

Goodwill

Goodwill is considered impaired when the carrying value of a reporting unit exceeds its estimated fair value. Teradyne performs its annual goodwill impairment test as required under the provisions of Accounting Standards Codification (“ASC”) 350-10, “Intangibles—Goodwill and Other” on December 31 of each fiscal year unless there are negative qualitative factors relating to macroeconomic conditions, industry and market considerations, cost factors, overall financial performance, and other relevant events and changes during an interim period. The presence of such factors could, under certain circumstances, be a triggering event that causes us to perform a goodwill impairment test. The Company did not identify a triggering event and no impairment test of goodwill was required.

The changes in the carrying amount of goodwill by reportable segments for the three months ended March 29, 2026, were as follows:


	Robotics			Semiconductor Test			Product Test			Total
	(in thousands)
Balance at December 31, 2025
Goodwill	$	416,401		$	263,598		$	603,586		$	1,283,585
Accumulated impairment losses		—			(260,540	)		(502,026	)		(762,566	)
Total Goodwill		416,401			3,058			101,560			521,019
Foreign currency translation adjustment		(6,834	)		(10	)		—			(6,844	)
Balance at March 29, 2026
Goodwill	$	409,567		$	263,588		$	603,586		$	1,276,741
Accumulated impairment losses		—			(260,540	)		(502,026	)		(762,566	)
Total Goodwill	$	409,567		$	3,048		$	101,560		$	514,175

Intangible Assets

Teradyne reviews long-lived assets for impairment whenever events or changes in business circumstances indicate that the carrying amount of the assets may not be fully recoverable or that the useful lives of these assets are no longer appropriate. For the three months ended March 29, 2026, the Company did not record any intangible asset impairment.

Amortizable intangible assets consist of the following and are included in intangible assets, net on the balance sheet:


	Gross Carrying Amount (1)		Accumulated Amortization (1)			Foreign Currency Translation Adjustment			Net Carrying Amount
	(in thousands)
Balance at March 29, 2026
Developed technology	$	225,435	$	(188,330	)	$	60		$	37,165
Customer relationships		49,120		(44,942	)		204			4,382
Tradenames and trademarks		40,487		(31,955	)		(1,100	)		7,432
Total intangible assets	$	315,042	$	(265,227	)	$	(836	)	$	48,979
Balance at December 31, 2025
Developed technology	$	250,025	$	(211,662	)	$	60		$	38,423
Customer relationships		56,480		(51,953	)		204			4,731
Tradenames and trademarks		40,487		(31,339	)		(1,031	)		8,117
Total intangible assets	$	346,992	$	(294,954	)	$	(767	)	$	51,271

(1)

In the three months ended March 29, 2026, $32.0 million of amortizable intangible assets became fully amortized and have been eliminated from the gross carrying amount and accumulated amortization.

Aggregate intangible asset amortization expense was $2.2 million and $4.6 million, respectively, for the three months ended March 29, 2026, and March 30, 2025.

Estimated intangible asset amortization expense for each of the five succeeding fiscal years and thereafter is as follows:


Year	Amortization Expense
	(in thousands)
2026	$	6,005
2027		6,955
2028		6,874
2029		5,536
2030		4,436
Thereafter		19,173