Spectrum Brands Holdings, Inc.SPB

Spectrum Brands Holdings, Inc. Goodwill & Intangibles Disclosure

10-KFiled Nov 18, 20252 min read
GOODWILL AND INTANGIBLE ASSETS
Goodwill, by segment, consists of the following.
(in millions)GPCH&GTotal
As of September 30, 2023$512.1 $342.6 $854.7 
Foreign currency impact10.2 — 10.2 
As of September 30, 2024522.3 342.6 864.9 
Foreign currency impact1.9 — 1.9 
As of September 30, 2025$524.2 $342.6 $866.8 
The carrying value of indefinite lived intangible assets and definite lived intangible assets subject to amortization and accumulated amortization are as follows.
20252024
(in millions)
Gross Carrying AmountAccumulated AmortizationNetGross Carrying AmountAccumulated AmortizationNet
Amortizable intangible assets
Customer relationships
$621.3 $(465.9)$155.4 $641.8 $(452.3)$189.5 
Technology assets
75.3 (46.1)29.2 75.3 (41.0)34.3 
Tradenames
44.4 (12.9)31.5 27.9 (10.9)17.0 
Total amortizable intangible assets741.0 (524.9)216.1 745.0 (504.2)240.8 
Indefinite-lived intangible assets - tradenames721.5 — 721.5 749.6 — 749.6 
Total intangible assets$1,462.5 $(524.9)$937.6 $1,494.6 $(504.2)$990.4 
During the year ended September 30, 2025, the Company recognized impairment charges on indefinite lived intangible assets of $16.6 million, including an impairment of $15.7 million associated with the HPC segment and its PowerXL® tradename due the recognition of a triggering event attributable to declining sales expectations and a change in our direct to consumer strategy, plus an impairment of $0.9 million on other non-core strategic brands with the GPC segment as part of our annual impairment assessment.
During the year ended September 30, 2024, the Company recognized impairment charges on indefinite lived intangible assets of $45.2 million, including an impairment of $39.0 million associated with the H&G segment and its Rejuvenate® tradename due to the recognition of a triggering event due to the loss of a key distribution expansion opportunity resulting in a significant shift in the forecasted revenue, an impairment of $4.0 million associated with the HPC segment and a non-core tradename identified by a triggering event due to a change in brand strategy, and an impairment of $2.2 million associated with the GPC segment and its OmegaSea® tradename identified as part of our annual impairment assessment.
Amortization expense on intangible assets for the years ended September 30, 2025, 2024, and 2023 is as follows.
(in millions)202520242023
Amortization expense$41.6 $44.5 $42.3 
Excluding the impact of any future acquisitions or changes in foreign currency, the Company anticipates the annual amortization expense of intangible assets for the next five fiscal years will be as follows:
(in millions)
Amortization
2026$41.2 
202741.1 
202839.4 
202936.1 
203015.7 

Historical Timeline

Fiscal YearFiled
2025Nov 18, 2025Showing above
2024Nov 15, 2024
2023Nov 21, 2023
2022Nov 22, 2022
2021Nov 23, 2021
2020Nov 18, 2020
2019Nov 15, 2019
2018Nov 23, 2018
2017Nov 20, 2017
2016Nov 23, 2016
2015Nov 20, 2015

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

Income TaxesRevenueEarnings Per ShareFair ValuePP&ELeasesSegmentsDebtCommitmentsStock CompensationNew Standards