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Intangible Assets, net | 6 Months Ended
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Sep. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract] |
Intangible Assets, net | Intangible Assets, net A reconciliation of the activity affecting intangible assets, net is as follows:
(In thousands) | Indefinite- Lived Trademarks |  | Finite-Lived Trademarks and Customer Relationships |  | Totals
Gross Carrying Amounts |  |  |  |  |
Balance — March 31, 2022 | $ | 2,476,559 |  |  | $ | 436,174 |  |  | $ | 2,912,733 |
Effects of foreign currency exchange rates | (11,701) |  |  | (3,081) |  |  | (14,782) |
Balance — September 30, 2022 | 2,464,858 |  |  | 433,093 |  |  | 2,897,951 |
Accumulated Amortization |  |  |  |  |
Balance — March 31, 2022 | — |  |  | 216,098 |  |  | 216,098 |
Additions | — |  |  | 11,257 |  |  | 11,257 |
Effects of foreign currency exchange rates | — |  |  | (346) |  |  | (346) |
Balance — September 30, 2022 | — |  |  | 227,009 |  |  | 227,009 |
Intangible assets, net - September 30, 2022 | $ | 2,464,858 |  |  | $ | 206,084 |  |  | $ | 2,670,942 |
On July 1, 2021, we completed the acquisition of certain assets from Akorn (see Note 2) and on December 15, 2021 our Australian subsidiary acquired the rights to the Zaditen brand in certain territories from Novartis Pharma AG. In connection with these acquisitions, we allocated $225.4 million to intangible assets for Akorn and $18.1 million for Zaditen. Amortization expense was $5.6 million and $11.3 million for the three and six months ended September 30, 2022, respectively, and $5.3 million and $10.2 million for the three and six months ended September 30, 2021, respectively. Finite-lived intangible assets are expected to be amortized over their estimated useful life, which ranges from a period of 10 to 30 years, and the estimated amortization expense for each of the five succeeding years and the periods thereafter is as follows (in thousands):
(In thousands) |
Year Ending March 31, | Amount
2023 (remaining six months ended March 31, 2023) | $ | 11,210 |
2024 | 22,381 |
2025 | 20,328 |
2026 | 18,081 |
2027 | 16,440 |
Thereafter | 117,644 |
| $ | 206,084 |
Under accounting guidelines, indefinite-lived assets are not amortized, but must be tested for impairment annually, or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of the asset below the carrying amount. The date of our annual impairment review was February 28, 2022, and we recorded impairment charges to intangible assets of $0.7 million in our March 31, 2022 financial statements. Additionally, at each reporting period, an evaluation must be made to determine whether events and circumstances continue to support an indefinite useful life. Intangible assets with finite lives are amortized over their respective estimated useful lives and are also tested for impairment whenever events or changes in circumstances indicate that the carrying value of the asset may not be recoverable and exceeds its fair value. We utilize the excess earnings method to estimate the fair value of our individual indefinite-lived intangible assets. The assumptions subject to significant uncertainties include the discount rate utilized in the analyses, as well as future sales, gross margins, and advertising and marketing expenses. The discount rate assumption may be influenced by such factors as changes in interest rates and rates of inflation, which can have an impact on the determination of fair value. Additionally, should the related fair values of intangible assets be adversely affected as a result of declining sales or margins caused by competition, changing consumer needs or preferences, technological advances, changes in advertising and marketing expenses, or the potential impacts of COVID-19 or inflation, we may be required to record impairment charges in the future. As of September 30, 2022, no events have occurred that would indicate potential impairment of intangible assets.

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- Definition The entire disclosure for all or part of the information related to intangible assets. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -URI https://asc.fasb.org/subtopic&trid=2144471 + Details
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