STAR GROUP, L.P. Goodwill & Intangibles Disclosure
11) Goodwill and Other Intangible Assets
Goodwill
A summary of changes in the Company’s goodwill during the fiscal years ended September 30, 2025 and 2024 are as follows (in thousands):
Balance as of September 30, 2023 |
|
$ |
262,103 |
|
Fiscal year 2024 business combinations |
|
|
13,726 |
|
Balance as of September 30, 2024 |
|
|
275,829 |
|
Fiscal year 2025 business combinations |
|
|
17,715 |
|
Other |
|
|
(194 |
) |
Balance as of September 30, 2025 |
|
$ |
293,350 |
|
Intangibles, net
Intangible assets subject to amortization consist of the following (in thousands):
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September 30, |
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2025 |
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2024 |
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Gross |
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Gross |
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Carrying |
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Accum. |
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Carrying |
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Accum. |
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Amount |
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Amortization |
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Net |
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|
Amount |
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|
Amortization |
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|
Net |
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Customer lists |
|
$ |
493,431 |
|
|
$ |
391,702 |
|
|
$ |
101,729 |
|
|
$ |
452,340 |
|
|
$ |
373,860 |
|
|
$ |
78,480 |
|
Trade names and other intangibles |
|
|
52,028 |
|
|
|
28,865 |
|
|
|
23,163 |
|
|
|
46,895 |
|
|
|
26,663 |
|
|
|
20,232 |
|
Total |
|
$ |
545,459 |
|
|
$ |
420,567 |
|
|
$ |
124,892 |
|
|
$ |
499,235 |
|
|
$ |
400,523 |
|
|
$ |
98,712 |
|
Amortization expense for intangible assets was $20.0 million, $18.0 million, and $18.6 million, for the fiscal years ended September 30, 2025, 2024, and 2023, respectively. Total estimated annual amortization expense related to intangible assets subject to amortization, for the year ending September 30, 2026 and the four succeeding fiscal years ending September 30, is as follows (in thousands):
|
|
Amount |
|
|
2026 |
|
$ |
18,761 |
|
2027 |
|
$ |
18,061 |
|
2028 |
|
$ |
15,916 |
|
2029 |
|
$ |
14,533 |
|
2030 |
|
$ |
12,618 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Dec 9, 2025 | Showing above |
| 2024 | Dec 4, 2024 | |
| 2023 | Dec 6, 2023 | |
| 2022 | Dec 7, 2022 | |
| 2021 | Dec 8, 2021 | |
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.