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Goodwill and Intangible Assets (Tables)
3 Months Ended
Mar. 31, 2023
Goodwill And Intangible Assets Disclosure [Abstract]  
Summary of Changes in Goodwill

The following table summarizes changes in goodwill during the three months ended March 31, 2023 (in thousands):

Balance at beginning of the period

$

478,897

 

Effect of foreign exchange rate changes

 

3,623

 

Balance at end of the period

$

482,520

 

Goodwill by Reportable Segment

Goodwill by reportable segment as of March 31, 2023 was as follows (in thousands):

 

Reportable Segment

 

 

 

 

 

Precision Medicine and Manufacturing

 

 

Medical Solutions

 

 

Robotics and Automation

 

 

Total

 

Goodwill

$

210,009

 

 

$

169,497

 

 

$

254,243

 

 

$

633,749

 

Accumulated impairment of goodwill

 

(102,461

)

 

 

(31,722

)

 

 

(17,046

)

 

 

(151,229

)

Total

$

107,548

 

 

$

137,775

 

 

$

237,197

 

 

$

482,520

 

Goodwill by reportable segment as of December 31, 2022 was as follows (in thousands):

 

Reportable Segment

 

 

 

 

 

Precision Medicine and Manufacturing

 

 

Medical Solutions

 

 

Robotics and Automation

 

 

Total

 

Goodwill

$

208,387

 

 

$

167,891

 

 

$

253,848

 

 

$

630,126

 

Accumulated impairment of goodwill

 

(102,461

)

 

 

(31,722

)

 

 

(17,046

)

 

 

(151,229

)

Total

$

105,926

 

 

$

136,169

 

 

$

236,802

 

 

$

478,897

 

 

Intangible Assets

Intangible assets as of March 31, 2023 and December 31, 2022, respectively, are summarized as follows (in thousands):

 

March 31, 2023

 

 

December 31, 2022

 

 

Gross Carrying
Amount

 

 

Accumulated
Amortization

 

 

Net Carrying
Amount

 

 

Gross Carrying
Amount

 

 

Accumulated
Amortization

 

 

Net Carrying
Amount

 

Amortizable intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Patents and developed technologies

$

185,977

 

 

$

(136,336

)

 

$

49,641

 

 

$

184,589

 

 

$

(132,350

)

 

$

52,239

 

Customer relationships

 

223,854

 

 

 

(127,261

)

 

 

96,593

 

 

 

222,173

 

 

 

(121,527

)

 

 

100,646

 

Trademarks and trade names

 

23,479

 

 

 

(13,912

)

 

 

9,567

 

 

 

23,311

 

 

 

(13,457

)

 

 

9,854

 

Amortizable intangible assets

 

433,310

 

 

 

(277,509

)

 

 

155,801

 

 

 

430,073

 

 

 

(267,334

)

 

 

162,739

 

Non-amortizable intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trade names

 

13,027

 

 

 

 

 

 

13,027

 

 

 

13,027

 

 

 

 

 

 

13,027

 

Totals

$

446,337

 

 

$

(277,509

)

 

$

168,828

 

 

$

443,100

 

 

$

(267,334

)

 

$

175,766

 

Amortization Expense of Intangible Assets Amortization expense was as follows (in thousands):

 

 

Three Months Ended

 

 

 

March 31,

 

 

April 1,

 

 

 

2023

 

 

2022

 

 

Amortization expense – cost of revenue

$

3,022

 

 

$

3,423

 

 

Amortization expense – operating expenses

 

5,089

 

 

 

7,342

 

 

Total amortization expense

$

8,111

 

 

$

10,765

 

 

Estimated Amortization Expense

Estimated amortization expense for each of the five succeeding years and thereafter as of March 31, 2023 was as follows (in thousands):

Year Ending December 31,

 

Cost of Revenue

 

 

Operating
Expenses

 

 

Total

 

2023 (remainder of year)

 

$

9,137

 

 

$

15,366

 

 

$

24,503

 

2024

 

 

9,895

 

 

 

17,195

 

 

 

27,090

 

2025

 

 

8,379

 

 

 

14,547

 

 

 

22,926

 

2026

 

 

6,998

 

 

 

12,379

 

 

 

19,377

 

2027

 

 

4,239

 

 

 

9,983

 

 

 

14,222

 

Thereafter

 

 

10,993

 

 

 

36,690

 

 

 

47,683

 

Total

 

$

49,641

 

 

$

106,160

 

 

$

155,801