Goodwill and Intangibles

6 Months Ended

Jun. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLES

Goodwill

The change in carrying amount of goodwill by reporting segment was as follows (in millions):


	Installation		Other		Consolidated

Goodwill (gross) - January 1, 2024	$	375.2	$	93.6	$	468.8
Business combinations	6.6		0.6		7.2
Other adjustments	0.1		—		0.1
Goodwill (gross) - June 30, 2024	381.9		94.2		476.1
Accumulated impairment losses	(70.0)		—		(70.0)
Goodwill (net) - June 30, 2024	$	311.9	$	94.2	$	406.1

Other adjustments presented in the above table primarily include one immaterial acquisition and adjustments for the allocation of certain acquisitions still under measurement made during the six months ended June 30, 2024.

We test goodwill for impairment annually during the fourth quarter of our fiscal year or earlier if there is an impairment indicator. The accumulated impairment losses included within the above table were all associated with the Installation segment and substantially all of the impairment losses were recorded prior to the year ended December 31, 2010. During the three months ended June 30, 2024, we made the determination to wind down one of our branches. The fair value of the impaired goodwill associated with this branch was not material.

Intangibles, net

The following table provides the gross carrying amount, accumulated amortization and net book value for each major class of intangibles (in millions):


	As of June 30,						As of December 31,
	2024						2023
	Gross Carrying Amount		Accumulated Amortization		Net Book Value		Gross Carrying Amount		Accumulated Amortization		Net Book Value
Amortized intangibles:
Customer relationships	$	362.8	$	192.1	$	170.7	$	357.4	$	177.8	$	179.6
Covenants not-to-compete	33.0		25.4		7.6		32.1		23.7		8.4
Trademarks and tradenames	129.5		51.2		78.3		128.0		47.4		80.6
Backlog	21.6		21.6		—		21.6		21.5		0.1
	$	546.9	$	290.3	$	256.6	$	539.1	$	270.4	$	268.7

The gross carrying amount of intangibles increased during the six months ended June 30, 2024 primarily due to business combinations, offset by a $4.6 million intangible impairment charge related to the wind down of a single branch. For more information on business combinations and asset impairments, see Note 17, Business Combinations and Note 9, Fair Value Measurements, respectively.

Remaining estimated aggregate annual amortization expense is as follows (amounts, in millions, are for the fiscal year ended):


Remainder of 2024	$	20.6
2025	36.1
2026	32.1
2027	27.8
2028	24.5
Thereafter	115.5