Goodwill and Intangible Assets

12 Months Ended

Dec. 31, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets Disclosure

Goodwill and Intangible Assets

The following table summarizes the activity in Goodwill, by segment during the years ended December 31, 2025 and 2024:


	Prevention & Recovery		Reconstructive		Total
	(In thousands)
Balance, January 1, 2024	$	1,101,495	$	959,398	$	2,060,893
Goodwill attributable to acquisitions (1)	—		320,375		320,375
Goodwill impairment	(315,000)		(330,000)		(645,000)
Impact of foreign currency translation	(18,633)		(24,926)		(43,559)
Balance, December 31, 2024	767,862		924,847		1,692,709
Goodwill attributable to divestiture (2)	(18,823)		—		(18,823)
Goodwill impairment	(379,833)		(662,006)		(1,041,839)
Impact of foreign currency translation	31,725		54,527		86,252
Balance, December 31, 2025	$	400,931	$	317,368	$	718,299

(1) Includes purchase accounting adjustments associated with acquisitions discussed in Note 5 “Acquisitions and Divestitures.”

(2) As a result of the Dr Comfort Divestiture, the Company allocated a portion of the P&R goodwill to the Dr Comfort assets. The divestiture was completed on October 7, 2025. Includes the impairment from the sale totaling $7.9 million, which is reflected within the Goodwill impairment charge on the Consolidated Statements of Operations. See Note 5 “Acquisitions and Divestitures” for further information.

The Company performed a quantitative impairment test as of December 31, 2025 and determined the carrying value of each of the P&R and Recon reporting units exceeded their fair value due to a sustained decrease in our publicly quoted share price and market capitalization relative to the carrying values. As a result, the Company recognized a non-cash Goodwill impairment charge of $501.0 million ($157.6 million for the P&R reporting unit and $343.4 million for the Recon reporting unit). The Company performed an interim quantitative impairment test as of October 3, 2025 and determined the carrying value of each of the Prevention & Recovery and Reconstructive reporting units exceeded their fair values. As a result, the Company recognized a non-cash goodwill impairment charge of $540.8 million in the quarter ended October 3, 2025 ($222.3 million for the P&R reporting unit and $318.6 million for the Recon reporting unit). Including the charges from the year ended December 31, 2024, the accumulated non-cash goodwill impairment loss is $1,686.8 million ($694.8 million for the Prevention & Recovery reporting unit and $992.0 million for the Recon reporting unit). See Note 2 “Summary of Significant Accounting Policies - Impairment of Goodwill and Indefinite-Lived Intangible Assets” for further information regarding impairment of Goodwill.

The following table summarizes the Company’s Intangible assets, excluding Goodwill:


	Year Ended December 31,
	2025				2024
	Gross Carrying Amount		Accumulated Amortization		Gross Carrying Amount		Accumulated Amortization
	(In thousands)
Definite-Lived Intangible Assets
Acquired customer relationships	$	701,091	$	(400,630)	$	681,594	$	(343,441)
Acquired technology	842,452		(319,201)		776,567		(246,292)
Acquired trade names	489,567		(141,087)		498,013		(121,687)
Software	108,558		(56,694)		102,887		(49,352)
Other intangible assets	35,311		(22,654)		32,081		(12,941)
	$	2,176,979	$	(940,266)	$	2,091,142	$	(773,713)

Amortization expense related to acquired intangible assets, including acquired customer relationships, acquired technology, and acquired trade names, are presented on the face of the Consolidated Statements of Operations. Other intangible assets amortization expense consists primarily of amortization of software intangibles and is recorded as a component of Selling, general, and administrative expense in the Consolidated Statements of Operations. Total amortization expense is $184.5 million, $172.2 million, and $140.2 million for the years ended December 31, 2025, 2024 and 2023, respectively.

See Note 2 “Summary of Significant Accounting Policies” for discussion regarding impairment of Intangible assets.

Expected Amortization Expense

The Company’s expected annual amortization expense for intangible assets for the next five years is as follows:


	December 31, 2025
	(In thousands)
2026	$	182,538
2027	170,243
2028	132,629
2029	115,770
2030	106,982

Enovis CORP 10-K