RBC Bearings INC Goodwill & Intangibles Disclosure
9. Goodwill and Intangible Assets
Goodwill
Goodwill balances, by segment, consist of the following:
| Aerospace & Defense | Industrial | Total | ||||||||||
| March 30, 2024 | $ | 199.2 | $ | 1,675.7 | $ | 1,874.9 | ||||||
| Translation adjustments | (2.7 | ) | (2.7 | ) | ||||||||
| March 29, 2025 | $ | 199.2 | $ | 1,673.0 | $ | 1,872.2 | ||||||
| Acquisition (1) | 127.9 | 127.9 | ||||||||||
| Translation adjustments | 3.3 | 3.3 | ||||||||||
| March 28, 2026 | $ | 327.1 | $ | 1,676.3 | $ | 2,003.4 | ||||||
| (1) | Goodwill associated with the acquisition of VACCO. |
Intangible Assets
The table below summarizes the net book value and weighted average useful lives of our intangible assets.
| Weighted | March 28, 2026 | March 29, 2025 | ||||||||||||||||||
| Average Useful Lives (Years) | Gross Carrying Amount | Accumulated Amortization | Gross Carrying Amount | Accumulated Amortization | ||||||||||||||||
| Product approvals | 24 | $ | 50.7 | $ | 24.1 | $ | 50.7 | $ | 22.2 | |||||||||||
| Customer relationships and lists(1) | 24 | 1,378.9 | 272.8 | 1,301.0 | 215.1 | |||||||||||||||
| Trade names(1) | 24 | 224.7 | 50.0 | 217.2 | 41.8 | |||||||||||||||
| Patents and trademarks | 15 | 10.3 | 6.9 | 10.0 | 6.5 | |||||||||||||||
| Domain names | 10 | 0.4 | 0.4 | 0.4 | 0.4 | |||||||||||||||
| Internal-use software(1) | 3 | 25.3 | 12.8 | 21.7 | 14.5 | |||||||||||||||
| Other(1) | 4 | 38.3 | 7.7 | 1.6 | 1.3 | |||||||||||||||
| 1,728.6 | 374.7 | 1,602.6 | 301.8 | |||||||||||||||||
| Non-amortizable repair station certifications | n/a | 24.3 | 24.3 | |||||||||||||||||
| Total | 23 | $ | 1,752.9 | $ | 374.7 | $ | 1,626.9 | $ | 301.8 | |||||||||||
| (1) | Includes $76.4 of customer relationships, $7.5 of trade names, $3.1 of internal-use software and $36.8 of funded backlog resulting from the VACCO acquisition. |
Amortization expense for definite-lived intangible assets during fiscal years 2026, 2025 and 2024 was $81.0, $71.8 and $70.4, respectively. Estimated amortization expense for the five succeeding fiscal years and thereafter is as follows:
| 2027 | $ | 86.2 | ||
| 2028 | 81.1 | |||
| 2029 | 79.0 | |||
| 2030 | 72.6 | |||
| 2031 | 69.1 | |||
| 2032 and thereafter | 965.9 |
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2026 | May 15, 2026 | Showing above |
| 2025 | May 16, 2025 | |
| 2024 | May 17, 2024 | |
| 2023 | May 19, 2023 | |
| 2022 | May 26, 2022 | |
| 2021 | May 21, 2021 | |
| 2020 | May 20, 2020 | |
| 2019 | May 23, 2019 | |
| 2018 | May 30, 2018 | |
| 2017 | May 31, 2017 | |
| 2016 | May 26, 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.