Goodwill and Intangible Assets

6 Months Ended

Feb. 28, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Through multiple acquisitions, we acquired definite-lived intangible assets consisting primarily of customer relationships, patented technology, distribution networks, and trademarks and trade names associated with specific products, which are amortized over their estimated useful lives. Indefinite-lived intangible assets consist of trade names that are expected to generate cash flows indefinitely.

We recorded amortization expense for definite-lived intangible assets of $9.3 million and $10.3 million during the three months ended February 28, 2023 and 2022, respectively, and $22.9 million and $20.6 million during the six months ended February 28, 2023 and 2022, respectively. Amortization expense is generally recorded on a straight-line basis.

The following table summarizes the expected amortization expense for the next five fiscal years as of the date presented (in millions):


Fiscal Year	February 28, 2023
2023	$	41.5
2024	36.9
2025	29.4
2026	26.7
2027	25.2

The following table summarizes the changes in the carrying amount of goodwill by segment during the periods presented (in millions):


	ABL		ISG		Total
Balance as of August 31, 2022	$	1,014.2	$	70.1	$	1,084.3


Derecognitions for divestitures	(0.7)		—		(0.7)
Foreign currency translation adjustments	(1.2)		(2.1)		(3.3)
Balance as of February 28, 2023	$	1,012.3	$	68.0	$	1,080.3


	ABL		ISG		Total
Balance as of August 31, 2021	$	1,022.2	$	72.5	$	1,094.7

Adjustments to provisional amounts from acquired businesses	0.6		—		0.6
Foreign currency translation adjustments	(2.6)		(0.3)		(2.9)
Balance as of February 28, 2022	$	1,020.2	$	72.2	$	1,092.4

Further discussion of goodwill and other intangible assets is included within the Significant Accounting Policies footnote of the Notes to Consolidated Financial Statements within our Form 10-K.