Annual report pursuant to Section 13 and 15(d)

GOODWILL AND OTHER INTANGIBLE ASSETS

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GOODWILL AND OTHER INTANGIBLE ASSETS
 12 Months Ended
Sep. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS GOODWILL AND OTHER INTANGIBLE ASSETS:
Changes to goodwill during the years ended September 30, 2023 and 2022, follow.
Memorialization Industrial Technologies SGK Brand Solutions Consolidated
Net goodwill at September 30, 2021 $ 366,360  $ 92,577  $ 314,850  $ 773,787 
Additions during period —  17,013  —  17,013 
Translation and other adjustments (4,578) (2,568) (25,779) (32,925)
Goodwill write-down —  —  (82,454) (82,454)
Net goodwill at September 30, 2022 361,782  107,022  206,617  675,421 
Additions during period 2,322  6,757  2,100  11,179 
Divestiture during period —  (2,525) —  (2,525)
Translation and other adjustments 1,911  3,819  8,304  14,034 
Net goodwill at September 30, 2023 $ 366,015  $ 115,073  $ 217,021  $ 698,109 

The net goodwill balances at September 30, 2023 and 2022 included $261,186 of accumulated impairment losses. Accumulated impairment losses at September 30, 2023 and 2022 were $5,000, $23,946, and $232,240 for the Memorialization, Industrial Technologies and SGK Brand Solutions segments, respectively.

Fiscal 2023:

In fiscal 2023, the additions reflect the acquisition of Eagle Granite Company within the Memorialization segment, the purchase of the remaining ownership interest in an Industrial Technologies subsidiary, and small acquisitions within the SGK Brand Solutions segment.
The Company performed its annual impairment review of goodwill and indefinite-lived intangible assets in the second quarter of fiscal 2023 (January 1, 2023) and determined that the estimated fair values for all goodwill reporting units exceeded their carrying values, therefore no impairment charges were necessary. The estimated fair value of the Company's SGK Brand Solutions reporting unit exceeded the carrying value (expressed as a percentage of carrying value) by approximately 9% as of January 1, 2023. In light of the limited excess fair value over carrying value and further declines experienced by the SGK Brand Solutions reporting unit, management determined that a triggering event occurred during the fourth quarter of fiscal 2023, resulting in an interim assessment of goodwill for the reporting unit, as of September 1, 2023. The results of this review indicated that the estimated fair value of the Company's SGK Brand Solutions reporting unit exceeded the carrying value (expressed as a percentage of carrying value) by approximately 4%. The fair value for the reporting unit was determined using level 3 inputs (including estimates of revenue growth, EBITDA contribution and the discount rates) and a combination of the income approach using the estimated discounted cash flows and a market-based valuation methodology. If current projections are not achieved or specific valuation factors outside the Company's control (such as discount rates and continued economic and industry challenges) significantly change, additional goodwill write-downs may be necessary in future periods.
Fiscal 2022:

In fiscal 2022, the additions to Industrial Technologies goodwill reflects the acquisition of OLBRICH and R+S Automotive.
In fiscal 2022, in its assessment of the potential impacts of weakened economic conditions (particularly in Europe), increases in the cost of certain materials, labor, and other inflation-related pressures, and unfavorable changes in foreign exchange rates on the estimated future earnings and cash flows for the SGK Brand Solutions reporting unit, and in light of the limited excess fair value over carrying value for this reporting unit, management determined a triggering event occurred, resulting in a re-evaluation of goodwill for the reporting unit, as of September 1, 2022. As a result of this interim assessment, the Company recorded a goodwill write-down totaling $82,454 during the fiscal 2022 fourth quarter. Subsequent to this write-down, the fair value of the SGK Brand Solutions reporting unit approximated its carrying value at September 1, 2022. The fair value for the reporting unit was determined using level 3 inputs (including estimates of revenue growth, EBITDA contribution and the discount rates) and a combination of the income approach using the estimated discounted cash flows and a market-based valuation methodology.

The following tables summarize the carrying amounts and related accumulated amortization for intangible assets as of September 30, 2023 and 2022, respectively.
Carrying
Amount		 Accumulated
Amortization		 Net
September 30, 2023  
Indefinite-lived trade names $ 30,540  $ —  $ 30,540 
Definite-lived trade names 151,185  (122,474) 28,711 
Customer relationships 378,161  (280,910) 97,251 
Copyrights/patents/other 19,375  (15,399) 3,976 
  $ 579,261  $ (418,783) $ 160,478 
September 30, 2022      
Indefinite-lived trade names $ 30,540  $ —  $ 30,540 
Definite-lived trade names 150,528  (117,572) 32,956 
Customer relationships 380,593  (248,464) 132,129 
Copyrights/patents/other 20,878  (14,349) 6,529 
  $ 582,539  $ (380,385) $ 202,154 


The net change in intangible assets during fiscal 2023 included the impact of foreign currency fluctuations during the period, additional amortization, additions related to the Eagle acquisition, and disposals related to a small divestiture within the Industrial Technologies segment.
Amortization expense on intangible assets was $42,068, $57,084, and $84,233 in fiscal 2023, 2022 and 2021, respectively. Fiscal year amortization expense is estimated to be approximately $35,380 in 2024, $20,394 in 2025, $14,158 in 2026, $13,081 in 2027 and $11,030 in 2028.