v3.25.1
Goodwill and Intangible Assets
3 Months Ended
May 03, 2025
Goodwill and Intangible Assets [Abstract]  
Goodwill and Intangible Assets 3. Goodwill and Intangible Assets

Goodwill

Goodwill balances by segment were as follows ($ in millions):

May 3, 2025

February 1, 2025

May 4, 2024

Gross Carrying Amount

Cumulative Impairment

Gross Carrying Amount

Cumulative Impairment

Gross Carrying Amount

Cumulative Impairment

Domestic

$

1,450 

$

(542)

$

1,450 

$

(542)

$

1,450 

$

(67)

International

608 

(608)

608 

(608)

608 

(608)

Total

$

2,058 

$

(1,150)

$

2,058 

$

(1,150)

$

2,058 

$

(675)


In fiscal 2025, we recorded a goodwill impairment of $475 million within the Domestic segment for the Best Buy Health reporting unit. The restructuring activity that commenced in the first quarter of fiscal 2026 was a triggering event to evaluate the Best Buy Health reporting unit for impairment. No further goodwill impairment was identified. Refer to Note 2, Restructuring, for additional information.

Definite-Lived Intangible Assets

We have definite-lived intangible assets recorded within Other assets on our Condensed Consolidated Balance Sheets as follows ($ in millions):

May 3, 2025

February 1, 2025

May 4, 2024

Gross Carrying
Amount(1)

Accumulated
Amortization(1)

Gross Carrying
Amount

Accumulated
Amortization

Gross Carrying
Amount

Accumulated
Amortization

Weighted-Average Useful Life Remaining
as of May 3, 2025 (in years)

Customer relationships

$

339 

$

282 

$

360 

$

285 

$

360 

$

278 

8.2 

Tradenames

87 

76 

92 

79 

108 

72 

1.4 

Developed technology

56 

56 

64 

61 

64 

60 

-

Total

$

482 

$

414 

$

516 

$

425 

$

532 

$

410 

7.1 

(1)Gross carrying amount and accumulated amortization as of May 3, 2025, excludes $34 million and $16 million, respectively, of definite-lived intangible assets related to the exit of a component of our Best Buy Health business. See Note 2, Restructuring, for additional information.

Amortization expense was as follows ($ in millions):

Three Months Ended

Statement of Earnings Location

May 3, 2025

May 4, 2024

Amortization expense

Selling, general and administrative expenses

$

5 

$

6 

Amortization expense expected to be recognized in future periods is as follows ($ in millions):

Amortization Expense

Remainder of fiscal 2026

$

11 

Fiscal 2027

13 

Fiscal 2028

8 

Fiscal 2029

7 

Fiscal 2030

6 

Fiscal 2031

5 

Thereafter

18