WILLIS TOWERS WATSON PLC Goodwill & Intangibles Disclosure
Note 9 — Goodwill and Other Intangible Assets
Goodwill
The components of goodwill are outlined below for the years ended December 31, 2025 and 2024.
|
|
HWC |
|
|
R&B |
|
|
Total |
|
|||
Balance at December 31, 2023 |
|
|
|
|
|
|
|
|
|
|||
Goodwill, gross |
|
$ |
7,866 |
|
|
$ |
2,821 |
|
|
$ |
10,687 |
|
Accumulated impairment losses |
|
|
(130 |
) |
|
|
(362 |
) |
|
|
(492 |
) |
Goodwill, net - December 31, 2023 |
|
|
7,736 |
|
|
|
2,459 |
|
|
|
10,195 |
|
Goodwill acquired |
|
|
— |
|
|
|
21 |
|
|
|
21 |
|
Goodwill disposals (i) |
|
|
(311 |
) |
|
|
— |
|
|
|
(311 |
) |
Impairment |
|
|
(1,042 |
) |
|
|
— |
|
|
|
(1,042 |
) |
Foreign exchange |
|
|
(18 |
) |
|
|
(46 |
) |
|
|
(64 |
) |
Balance at December 31, 2024 |
|
|
|
|
|
|
|
|
|
|||
Goodwill, gross |
|
|
7,276 |
|
|
|
2,796 |
|
|
|
10,072 |
|
Accumulated impairment losses |
|
|
(911 |
) |
|
|
(362 |
) |
|
|
(1,273 |
) |
Goodwill, net - December 31, 2024 |
|
|
6,365 |
|
|
|
2,434 |
|
|
|
8,799 |
|
Goodwill acquired |
|
|
— |
|
|
|
9 |
|
|
|
9 |
|
Foreign exchange |
|
|
41 |
|
|
|
89 |
|
|
|
130 |
|
Balance at December 31, 2025 |
|
|
|
|
|
|
|
|
|
|||
Goodwill, gross |
|
|
7,317 |
|
|
|
2,894 |
|
|
|
10,211 |
|
Accumulated impairment losses |
|
|
(911 |
) |
|
|
(362 |
) |
|
|
(1,273 |
) |
Goodwill, net - December 31, 2025 |
|
$ |
6,406 |
|
|
$ |
2,532 |
|
|
$ |
8,938 |
|
Other Intangible Assets
The following table reflects changes in the net carrying amounts of the components of finite-lived intangible assets for the years ended December 31, 2025 and 2024:
|
Client relationships |
|
|
Software |
|
|
Trademark and trade name |
|
|
Other |
|
|
Total |
|
|||||
Balance at December 31, 2023: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Intangible assets, gross |
$ |
3,807 |
|
|
$ |
729 |
|
|
$ |
1,039 |
|
|
$ |
63 |
|
|
$ |
5,638 |
|
Accumulated amortization |
|
(2,514 |
) |
|
|
(726 |
) |
|
|
(342 |
) |
|
|
(40 |
) |
|
|
(3,622 |
) |
Intangible assets, net - December 31, 2023 |
|
1,293 |
|
|
|
3 |
|
|
|
697 |
|
|
|
23 |
|
|
|
2,016 |
|
Intangible assets acquired |
|
22 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
22 |
|
Intangible asset disposals |
|
(484 |
) |
|
|
— |
|
|
|
— |
|
|
|
(17 |
) |
|
|
(501 |
) |
Amortization |
|
(177 |
) |
|
|
(2 |
) |
|
|
(43 |
) |
|
|
(4 |
) |
|
|
(226 |
) |
Foreign exchange |
|
(16 |
) |
|
|
2 |
|
|
|
— |
|
|
|
(2 |
) |
|
|
(16 |
) |
Balance at December 31, 2024: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Intangible assets, gross |
|
3,135 |
|
|
|
730 |
|
|
|
1,036 |
|
|
|
29 |
|
|
|
4,930 |
|
Accumulated amortization |
|
(2,497 |
) |
|
|
(727 |
) |
|
|
(382 |
) |
|
|
(29 |
) |
|
|
(3,635 |
) |
Intangible assets, net - December 31, 2024 |
|
638 |
|
|
|
3 |
|
|
|
654 |
|
|
|
— |
|
|
|
1,295 |
|
Intangible assets acquired |
|
14 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
14 |
|
Amortization |
|
(147 |
) |
|
|
(2 |
) |
|
|
(43 |
) |
|
|
— |
|
|
|
(192 |
) |
Foreign exchange |
|
24 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
24 |
|
Balance at December 31, 2025: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Intangible assets, gross |
|
3,239 |
|
|
|
750 |
|
|
|
1,041 |
|
|
|
29 |
|
|
|
5,059 |
|
Accumulated amortization |
|
(2,710 |
) |
|
|
(749 |
) |
|
|
(430 |
) |
|
|
(29 |
) |
|
|
(3,918 |
) |
Intangible assets, net - December 31, 2025 |
$ |
529 |
|
|
$ |
1 |
|
|
$ |
611 |
|
|
$ |
— |
|
|
$ |
1,141 |
|
The weighted-average remaining life of amortizable intangible assets at December 31, 2025 was 10.7 years.
The table below reflects the future estimated amortization expense for amortizable intangible assets for the next five years and thereafter:
Years ended December 31, |
|
|
Amortization |
|
|
2026 |
|
|
$ |
172 |
|
2027 |
|
|
|
154 |
|
2028 |
|
|
|
138 |
|
2029 |
|
|
|
117 |
|
2030 |
|
|
|
100 |
|
Thereafter |
|
|
|
460 |
|
Total |
|
|
$ |
1,141 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 25, 2026 | Showing above |
| 2024 | Feb 25, 2025 | |
| 2023 | Feb 22, 2024 | |
| 2022 | Feb 24, 2023 | |
| 2021 | Feb 24, 2022 | |
| 2020 | Feb 23, 2021 | |
| 2019 | Feb 26, 2020 | |
| 2018 | Feb 27, 2019 | |
| 2017 | Feb 28, 2018 | |
| 2016 | Mar 1, 2017 | |
| 2015 | Feb 29, 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.