BOSTON SCIENTIFIC CORPBSX

BOSTON SCIENTIFIC CORP Goodwill & Intangibles Disclosure

10-KFiled Feb 17, 20263 min read
NOTE C – GOODWILL AND OTHER INTANGIBLE ASSETS

The gross carrying amount of goodwill and other intangible assets and the related accumulated amortization for intangible assets subject to amortization and accumulated goodwill impairment charges are as follows:

 As of December 31, 2025As of December 31, 2024
(in millions)Gross Carrying AmountAccumulated
Amortization/
Write-offs		Gross Carrying AmountAccumulated
Amortization/
Write-offs
Technology-related$14,692 $(9,346)$14,327 $(8,605)
Patents493 (382)481 (381)
Other intangible assets2,482 (1,732)2,380 (1,612)
Amortizable intangible assets$17,667 $(11,461)$17,188 $(10,598)
Goodwill$28,182 $(9,900)$26,989 $(9,900)
IPR&D813 94 
Indefinite-lived intangible assets$813 $94 

The increase in our balance of goodwill and intangible assets is related primarily to our recent acquisitions. Refer to Note B – Acquisitions and Strategic Investments for further detail.

Intangible asset impairment charges were $46 million in 2025, $386 million in 2024 and $58 million in 2023. The impairment charges recorded in 2024 were primarily associated with amortizable intangible assets established in connection with our acquisitions of Cryterion Medical, Inc. (Cryterion) and Devoro Medical, Inc. (Devoro), which were integrated into our Cardiovascular business. Intangible assets acquired from Cryterion were impaired due to strong commercial adoption of our Farapulse™ Pulsed Field Ablation System and the resulting lower revenue projections and cannibalization of our cryoablation business in major markets like the U.S. Intangible assets acquired from Devoro were impaired following management's decision to cancel the related program in the second quarter of 2024.

During the third quarter of 2025, we performed our annual IPR&D impairment test and evaluated our indefinite-lived intangible assets for impairment and concluded the assets were not impaired. We also verified that the classification of IPR&D projects recognized within our consolidated balance sheets continues to be appropriate.
The following represents a roll forward of our goodwill balance by reportable segment:

(in millions)MedSurgCardiovascularTotal
Balance as of December 31, 2023$5,347 $9,041 $14,387 
Goodwill acquired2,172 615 2,787 
Impact of foreign currency fluctuations and purchase price and other adjustments(35)(51)(86)
Balance as of December 31, 2024$7,483 $9,606 $17,089 
Goodwill acquired173 887 1,060 
Impact of foreign currency fluctuations and purchase price adjustments53 81 134 
Balance as of December 31, 2025$7,709 $10,574 $18,282 

In the second quarter of 2025, we performed our annual goodwill impairment test utilizing the qualitative approach described in FASB ASC Topic 350 for all reporting units. After assessing the totality of events, it was determined that it was not more likely than not that the fair value of the reporting units was less than their carrying value, and it was not deemed necessary to proceed to the quantitative test.

Refer to Note A – Significant Accounting Policies for further discussion of our goodwill and intangible asset impairment testing.

Estimated Amortization expense for each of the five succeeding fiscal years based upon our amortizable intangible asset portfolio, consisting of intangible assets acquired in a business combination or asset acquisition, as well as internally developed patents, as of December 31, 2025 is as follows:

Fiscal Year(in millions)
2026$881 
2027869 
2028831 
2029786 
2030625 

These estimates do not include amortization expense associated with future acquisitions that have been announced but not yet completed as of December 31, 2025.

Historical Timeline

Fiscal YearFiled
2025Feb 17, 2026Showing above
2024Feb 18, 2025
2023Feb 20, 2024
2022Feb 23, 2023
2021Feb 23, 2022
2020Feb 23, 2021
2019Feb 25, 2020
2018Feb 19, 2019
2017Feb 20, 2018
2016Feb 23, 2017
2015Feb 24, 2016

About Goodwill & Intangibles Disclosures

Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.

Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.

Other Available Disclosures

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