Goodwill and Franchise Value

12 Months Ended

Dec. 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND FRANCHISE VALUE

The following is a roll-forward of goodwill:


($ in millions)	Vehicle Operations		Financing Operations		Consolidated
Balance as of December 31, 2022	$	1,443.5	$	17.2	$	1,460.7

Additions through acquisitions 1	519.1		—		519.1
Reductions through divestitures	(51.1)		—		(51.1)

Currency translation	1.5		0.4		1.9
Balance as of December 31, 2023	1,913.0		17.6		1,930.6
Adjustments to purchase price allocations 2	47.7		—		47.7
Additions through acquisitions 3	167.0		—		167.0
Reductions through divestitures	(22.1)		—		(22.1)

Currency translation	(6.3)		(1.4)		(7.7)
Balance as of December 31, 2024	$	2,099.3	$	16.2	$	2,115.5

(1)Our purchase price allocations (PPA) for the 2022 acquisitions were finalized in 2023. As a result, we added $285.9 million of goodwill. Preliminary PPA for a portion of our 2023 acquisitions resulted in adding $233.2 million of goodwill.

(2)Our PPA for a portion of the 2023 acquisitions recognized in 2023 was adjusted and finalized in 2024 upon the completion of our fair value adjustments for assumed contract liabilities, acquired loan portfolio, and contingent consideration, adding $47.7 million of goodwill.

(3)Our PPA for the 2023 acquisitions were finalized in 2024. As a result, we added $146.6 million of goodwill. Preliminary PPA for a portion of our 2024 acquisitions resulted in adding $20.4 million of goodwill. Our PPA for the remaining 2024 acquisitions is preliminary and goodwill is not yet allocated to our segments. These amounts are included as a component other non-current assets until we finalize our purchase accounting. See Note 17 – Acquisitions.

The following is a roll-forward of franchise value:


($ in millions)	Franchise Value
Balance as of December 31, 2022	$	1,856.2

Additions through acquisitions1	556.5
Reductions through divestitures	(14.5)

Currency translation	4.0
Balance as of December 31, 2023	2,402.2

Additions through acquisitions2	172.5
Reductions through divestitures	(9.5)

Currency translation	(14.9)
Balance as of December 31, 2024	$	2,550.3

(1)Our PPA for the 2022 acquisitions were finalized in 2023. As a result, we added $363.1 million of franchise value. Preliminary PPA for a portion of our 2023 acquisitions resulted in adding $193.4 million of franchise value.

(2)Our PPA for the 2023 acquisitions were finalized in 2024. As a result, we added $172.5 million of franchise value. Our PPA for 2024 acquisitions is preliminary and franchise value is not yet recorded. These amounts are included as a component of other non-current assets until we finalize our purchase accounting. See Note 17 – Acquisitions.