GIBRALTAR INDUSTRIES, INC.ROCK

GIBRALTAR INDUSTRIES, INC. Goodwill & Intangibles Disclosure

10-KFiled Feb 26, 20263 min read
GOODWILL AND INTANGIBLE ASSETS
Goodwill
The following table summarizes the goodwill attributable to the Company's reporting units for the periods presented (in thousands):
ResidentialAgtechInfrastructureTotal
Balance at December 31, 2023$213,576 $83,899 $31,678 $329,153 
Other changes (1)(4,406)(1,558)— (5,964)
Balance at December 31, 2024209,170 82,341 31,678 323,189 
Acquired goodwill52,577 38,281 — 90,858 
Other changes (1)— 985 — 985 
Balance at December 31, 2025$261,747 $121,607 $31,678 $415,032 
(1) Other changes in the carrying amounts of goodwill includes adjustment to foreign currency translation in 2025 and 2024 within Agtech, and an adjustment to prior year acquisition and sale of business in 2024 within Residential.
Goodwill is recognized net of accumulated impairment losses of $133.2 million as of December 31, 2025 and 2024. No goodwill impairment charges were recognized during the years ended December 31, 2025, 2024, and 2023.
Annual and Interim Impairment Testing
The Company tests goodwill and indefinite-lived intangible assets for impairment on an annual basis as of October 31 and at interim dates when indicators of impairment are present. In 2025, 2024, and 2023, no indicators of impairment were identified as of interim dates; therefore, no interim tests were performed.
The Company conducted its annual goodwill impairment test for its six reporting units as of October 31, 2025. A qualitative analysis was conducted for all six reporting units. The qualitative impairment test consists of comparing the fair value of a reporting unit with its carrying value including goodwill. For additional disclosure of the Company's assessment approach, refer to Note 1 "Summary of Significant Accounting Policies".
As a result of the Company's annual testing for 2025, 2024, and 2023, none of the reporting units with goodwill as of the testing date had carrying values in excess of their fair values.
Intangible Assets
Intangible assets consisted of the following (in thousands):
 December 31, 2025December 31, 2024
 Gross
Carrying
Amount		Accumulated
Amortization		Gross
Carrying
Amount		Accumulated
Amortization
Indefinite-lived intangible assets:
Trademarks$19,570 $— $19,570 $— 
Finite-lived intangible assets:
Trademarks13,300 2,253 2,250 1,473 
Unpatented technology26,698 22,851 26,569 20,919 
Customer relationships139,835 30,743 50,650 21,302 
Non-compete agreements500 500 709 634 
Backlog3,500 3,500 — — 
183,833 59,847 80,178 44,328 
Total intangible assets$203,403 $59,847 $99,748 $44,328 
The following table summarizes intangible asset impairment for the years ended December 31 (in thousands):
202520242023
Indefinite-lived trademarks (1)$— $6,000 $3,200 
(1) Rebranding initiatives that resulted in the discontinuation of certain indefinite-lived trademarks in the Agtech segment in 2024 and 2023.
The Company recognized amortization expense related to the definite-lived intangible assets. The following table summarizes amortization expense for the years ended December 31 (in thousands):
202520242023
Amortization expense$15,275 $6,337 $6,181 
Amortization expense related to intangible assets is estimated as follows for the next five years ended December 31 (in thousands):
20262027202820292030
Amortization expense$13,018 $12,387 $12,147 $12,085 $11,045 

Historical Timeline

Fiscal YearFiled
2025Feb 26, 2026Showing above
2024Feb 19, 2025
2023Feb 21, 2024
2022Feb 22, 2023
2021Feb 23, 2022
2020Feb 25, 2021
2019Feb 28, 2020
2018Feb 27, 2019
2017Feb 27, 2018
2016Feb 21, 2017
2015Feb 18, 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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