METTLER TOLEDO INTERNATIONAL INC/MTD

METTLER TOLEDO INTERNATIONAL INC/ Goodwill & Intangibles Disclosure

10-KFiled Feb 6, 20262 min read
GOODWILL AND OTHER INTANGIBLE ASSETS
The following table shows the changes in the carrying amount of goodwill for the years ended December 31:
20252024
Balance at beginning of year$668,914 $670,108 
Goodwill acquired55,998 5,897 
Goodwill disposed— (175)
Foreign currency translation14,313 (6,916)
Balance at year end$739,225 $668,914 
Goodwill and indefinite-lived assets are reviewed for impairment on an annual basis in the fourth quarter. The Company completed its impairment review and determined that there had been no impairment of these assets through December 31, 2025. The Company identified no triggering events or other circumstances which indicated the carrying amount of goodwill or intangible assets may not be recoverable.
The components of other intangible assets as of December 31 are as follows:
 20252024
Gross
Amount		Accumulated
Amortization		Intangibles, NetGross
Amount		Accumulated
Amortization		Intangibles, Net
Customer relationships$331,229 $(133,460)$197,769 $289,178 $(116,812)$172,366 
Proven technology and patents132,247 (93,025)39,222 123,971 (80,634)43,337 
Tradenames (finite life)8,476 (6,555)1,921 7,853 (5,308)2,545 
Tradenames (indefinite life)35,795 — 35,795 35,088 — 35,088 
Other14,285 (10,082)4,203 12,426 (8,619)3,807 
 $522,032 $(243,122)$278,910 $468,516 $(211,373)$257,143 
The Company recognized amortization expense associated with the above intangible assets of $28.5 million, $27.1 million, and $27.6 million for the years ended December 31, 2025, 2024, and 2023, respectively. The annual aggregate amortization expense based on the current balance of other intangible assets is estimated at $28.6 million for 2026, $27.8 million for 2027, $25.1 million for 2028, $23.0 million for 2029, and $22.0 million for 2030. The finite-lived intangible assets are amortized on a straight-line basis over periods ranging from 3 to 45 years. The straight-line method of amortization reflects an appropriate allocation of the cost of the intangible assets to earnings in proportion to the amount of economic benefits obtained by the Company in each reporting period. Purchased intangibles amortization was $27.3 million, $21.1 million after tax, $25.9 million, $20.1 million after tax, and $26.4 million, $20.5 million after tax, for the years ended December 31, 2025, 2024, and 2023, respectively.
In addition to the above amortization, the Company recorded amortization expense associated with capitalized software, which is included in property, plant, and equipment in Note 8, of $45.8 million, $45.6 million, and $44.4 million for the years ended December 31, 2025, 2024, and 2023, respectively.

Historical Timeline

Fiscal YearFiled
2025Feb 6, 2026Showing above
2024Feb 7, 2025
2023Feb 9, 2024
2022Feb 10, 2023
2021Feb 11, 2022
2020Feb 8, 2021
2019Feb 7, 2020
2018Feb 8, 2019
2017Feb 9, 2018
2016Feb 2, 2017
2015Feb 4, 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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