Note 9—Goodwill and Intangible Assets

The following table summarizes changes in goodwill (in millions):

Balance at December 31, 2023

 

$

8,969.5

 

Acquisitions completed in the current year

 

 

325.7

 

Adjustments to prior acquisitions

 

 

0.8

 

Effect of foreign currency translation

 

 

(77.9

)

Balance at December 31, 2024

 

$

9,218.1

 

Acquisitions completed in the current year

 

 

589.2

 

Adjustments to prior acquisitions

 

 

(0.1

)

Effect of foreign currency translation

 

 

184.1

 

Balance at December 31, 2025

 

$

9,991.3

 

A summary of the components of intangible assets is as follows (in millions):

 

 

December 31,

 

 

 

2025

 

 

2024

 

 

 

Gross Amount

 

Accumulated Amortization

 

Net Amount

 

 

Gross Amount

 

Accumulated Amortization

 

Net Amount

 

Customer relationships

 

$

5,791.5

 

$

(3,186.6

)

$

2,604.9

 

 

$

5,280.2

 

$

(2,796.1

)

$

2,484.1

 

Completed technology

 

 

1,851.7

 

 

(1,328.2

)

 

523.5

 

 

 

1,746.4

 

 

(1,210.1

)

 

536.3

 

Trade names

 

 

304.2

 

 

(194.8

)

 

109.4

 

 

 

285.4

 

 

(174.6

)

 

110.8

 

Total intangible assets

 

$

7,947.4

 

$

(4,709.6

)

$

3,237.8

 

 

$

7,312.0

 

$

(4,180.8

)

$

3,131.2

 

Total estimated amortization expense, related to intangible assets, for each of the next five years and thereafter, as of December 31, 2025, is expected to approximate (in millions):

Year Ending December 31,

 

 

 

2026

 

$

489.1

 

2027

 

 

481.2

 

2028

 

 

405.3

 

2029

 

 

369.0

 

2030

 

 

336.8

 

Thereafter

 

 

1,156.4

 

Total

 

$

3,237.8

 

Amortization expense associated with customer relationships, completed technology and other amortizable intangible assets was $483.9 million, $482.2 million and $505.3 million for the years ended December 31, 2025, 2024 and 2023, respectively.

Net capitalized software costs of $505.2 million and $390.4 million are included in the December 31, 2025 and 2024 Consolidated Balance Sheets, respectively, under “Intangible and other assets”. Accumulated amortization related to capitalized software costs totaled $577.5 million and $422.8 million as of December 31, 2025 and 2024, respectively.

Amortization expense related to capitalized software development costs was $148.7 million, $124.4 million and $91.3 million for each of the years ended December 31, 2025, 2024, and 2023, respectively.

Historical Timeline

Fiscal YearFiled
2025Feb 26, 2026Showing above
2024Mar 3, 2025
2023Feb 28, 2024
2022Feb 28, 2023
2021Feb 25, 2022
2020Feb 25, 2021
2019Feb 28, 2020
2018Mar 1, 2019

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.