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Intangible Assets, Net
 9 Months Ended
Jun. 30, 2020
Intangible Assets Net Excluding Goodwill [Abstract]  
Intangible Assets, Net

 

Note 14.  Intangible assets, net

 

 

 

June 30, 2020

 

 

September 30, 2019

 

 

 

Gross

Carrying

Value

 

 

Accumulated

Amortization

 

 

Net

Carrying

Amount

 

 

Gross

Carrying

Value

 

 

Accumulated

Amortization

 

 

Net

Carrying

Amount

 

Intangible assets with finite lives:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Customer relationships and contracts:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Aerospace

 

$

281,683

 

 

$

(192,890

)

 

$

88,793

 

 

$

281,683

 

 

$

(181,995

)

 

$

99,688

 

Industrial

 

 

412,644

 

 

 

(51,883

)

 

 

360,761

 

 

 

407,683

 

 

 

(43,986

)

 

 

363,697

 

Total

 

$

694,327

 

 

$

(244,773

)

 

$

449,554

 

 

$

689,366

 

 

$

(225,981

)

 

$

463,385

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Intellectual property:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Aerospace

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Industrial

 

 

15,750

 

 

 

(15,565

)

 

 

185

 

 

 

19,201

 

 

 

(18,705

)

 

 

496

 

Total

 

$

15,750

 

 

$

(15,565

)

 

$

185

 

 

$

19,201

 

 

$

(18,705

)

 

$

496

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Process technology:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Aerospace

 

$

76,371

 

 

$

(62,946

)

 

$

13,425

 

 

$

76,371

 

 

$

(59,913

)

 

$

16,458

 

Industrial

 

 

87,733

 

 

 

(20,992

)

 

 

66,741

 

 

 

92,820

 

 

 

(24,926

)

 

 

67,894

 

Total

 

$

164,104

 

 

$

(83,938

)

 

$

80,166

 

 

$

169,191

 

 

$

(84,839

)

 

$

84,352

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Backlog:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Aerospace

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Industrial

 

 

41,590

 

 

 

(41,590

)

 

 

—

 

 

 

40,500

 

 

 

(40,500

)

 

 

—

 

Total

 

$

41,590

 

 

$

(41,590

)

 

$

—

 

 

$

40,500

 

 

$

(40,500

)

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other intangibles:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Aerospace

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Industrial

 

 

225

 

 

 

(156

)

 

 

69

 

 

 

1,541

 

 

 

(1,249

)

 

 

292

 

Total

 

$

225

 

 

$

(156

)

 

$

69

 

 

$

1,541

 

 

$

(1,249

)

 

$

292

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Intangible asset with indefinite life:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tradename:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Aerospace

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Industrial

 

 

65,184

 

 

 

—

 

 

 

65,184

 

 

 

63,467

 

 

 

—

 

 

 

63,467

 

Total

 

$

65,184

 

 

$

—

 

 

$

65,184

 

 

$

63,467

 

 

$

—

 

 

$

63,467

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total intangibles:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Aerospace

 

$

358,054

 

 

$

(255,836

)

 

$

102,218

 

 

$

358,054

 

 

$

(241,908

)

 

$

116,146

 

Industrial

 

 

623,126

 

 

 

(130,186

)

 

 

492,940

 

 

 

625,212

 

 

 

(129,366

)

 

 

495,846

 

Consolidated Total

 

$

981,180

 

 

$

(386,022

)

 

$

595,158

 

 

$

983,266

 

 

$

(371,274

)

 

$

611,992

 

 

Woodward tests the indefinite lived tradename intangible asset for impairment during the fourth quarter of each fiscal year, or at any time there is an indication the indefinite lived tradename intangible asset is more-likely-than-not impaired, commonly referred to as triggering events.  

In the first quarter of fiscal year 2020, Woodward determined that the approved plan to divest of the disposal group (see Note 10, Sale of businesses) represented a triggering event requiring the long-lived assets attributable to the disposal group be assessed for impairment.  Given the facts and circumstances at that time, Woodward determined that the remaining value of the intangible assets of the disposal group was not recoverable and a $200 non-cash impairment charge was recorded for the nine-months ended June 30, 2020.

For the three and nine-months ended June 30, 2020 and 2019, Woodward recorded amortization expense associated with intangibles of the following:

 

 

 

Three-Months Ended

 

 

Nine-Months Ended

 

 

 

June 30,

 

 

June 30,

 

 

 

2020

 

 

2019

 

 

2020

 

 

2019

 

Amortization expense

 

$

9,728

 

 

$

11,305

 

 

$

29,481

 

 

$

45,470

 

 

Future amortization expense associated with intangibles is expected to be:

 

Year Ending September 30:

 

 

 

 

2020 (remaining)

 

$

9,788

 

2021

 

 

40,084

 

2022

 

 

37,975

 

2023

 

 

36,923

 

2024

 

 

33,146

 

Thereafter

 

 

372,058

 

 

 

$

529,974